Letter of Transmittal

14 February, 2007

Mr. Darius Cheung (CEO)

tenCube Pte. Ltd
Blk S15 #01-08B, 3 Science Drive 2
Singapore 117543

Dear Mr. Darius Cheung,

The following proposal outlines the purpose and objectives of the Xcent Consulting Team
for the strategy analysis and development for tenCube Pte. Ltd. We have included a
proposed schedule and budget. The proposal is subject to your approval, and may be
amended if necessary.

Upon your approval, please sign the attached letter of acceptance (Appendix B) and
return it by February 27, 2007 to:

Dr Kim H.W., SOC1, #05-10 [Xcent Consulting]

Information Systems Department
School of Computing
National University of Singapore
3 Science Drive 2
Singapore 117543

If you have any questions concerning the proposal, please contact the team through
(+65) 97500523 (Soe Hla Win), or (+65) 97914034 (Deepa Ramanathan).

We look forward to working with you and the other members of your company on this
project.

Sincerely,

…………………………………………………………. …………………………………………………………..
Deepa Ramanathan Duong Hinh Bao

…………………………………………………………. …………………………………………………………..
Lok Fang Fang, Stella Ng Min Jia

…………………………………………………………. …………………………………………………………..
Seah Mui Yen, Elaine Soe Hla Win

………………………………………………………….
Zhu Yuan, June

cc: Dr. KIM Hee-Woong

Proposal for New
Business Model
Development
A Consultancy Project for Indian Cuisine @ The Deck.
 Innova Consulting Pte Ltd
Creating a better world.

Executive Summary

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 Innova Consulting Pte Ltd
Creating a better world.

Table of Contents
EXECUTIVE SUMMARY............................................................................................................................1
TABLE OF CONTENTS...............................................................................................................................2
1. BACKGROUND.........................................................................................................................................3
2. PURPOSE....................................................................................................................................................4
3. PLAN OF ACTION....................................................................................................................................6
PHASE 1: PRIMARY AND SECONDARY MARKET RESEARCH.....................................................................6
PHASE 2: MARKETING STRATEGY DEVELOPMENT..................................................................................7
PHASE 3: ANALYSIS AND DEVELOPMENT OF PROPOSED IDEAS.................................................................7
STRATEGIC PLANNING PROCESS..........................................................................................................7
MARKETING MIX MODEL (4PS).........................................................................................................8
PHASE 4: FINAL REPORT AND PRESENTATION.......................................................................................8

4. BENEFITS...................................................................................................................................................9
5. KEY DELIVERABLES...........................................................................................................................10
6. SCHEDULE..............................................................................................................................................11
7. BUDGET...................................................................................................................................................13
8. RESPONSIBILITIES...............................................................................................................................14
8.1 THE PROSPECT’S RESPONSIBILITIES.............................................................................................14
8.2 THE CONSULTANTS’ RESPONSIBILITIES.........................................................................................14

9. QUALIFICATIONS.................................................................................................................................15

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1. Background
Indian Cuisine @ The Deck is an Indian Cuisine stall in NUS arts canteen, aka The Deck. The
business was started in Year 2003 in The Deck to provide authentic Indian food for NUS students
and staff. The owner and chef of the stall is Mr Bala, who has a total of 14 years of experience in
hotel/food industry and 4 years of specialization in Indian Cuisine. Mr Bala takes charge and
ownership of 2 canteen stalls in 2 different institutions.

Indian Cuisine @ The Deck aims to provide for its customers the most popular range of Indian
food in Singapore, which includes prata, murtabak, and other familiar Indian dishes to the locals.
The products are priced affordably to the students, and their quality is satisfying to the customers.
The stall itself is also well situated in the busiest canteen of NUS. Being the only Indian food stall
in the Deck, Indian Cuisine @ The Deck receives no competition from the same genre within the
vicinity.

The operating style of Indian Cuisine @ The Deck is plain traditional. It is staffed by Mr Bala
himself and 2 other family members as helpers. Generally, the daily operations include only
cooking, cashiering, serving and food preparation. Mr Bala assumes responsibility of the more
technically involved cooking such as prata and murtabak making, and his helpers would serve the
rest such as the orders for noodle and rice. Food preparation would be handled by every staff as it
is not concurrent with the rest of the tasks. Besides the daily routines, Mr Bala takes full
responsibility of the management of supply chain, logistic and accounting.

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2. Purpose
Indian Cuisine @ The Deck is aspired to expand its operation and generate more revenue. It has
seen the emergence of a supper crowd, and the growth of a health-conscious segment amongst the
student and staff population. It has also observed that amongst the range of offered product, prata
and murtabak have far greater demand and potential for revenue making than the rest. To
capitalize in these new opportunities, Indian Cuisine @ The Deck need to device new strategies
to fulfill its unrealized potential and to attract these new customer groups to suffice the goal of
expansion.

However, Indian Cuisine @ The Deck currently lacks knowledge, the resources and the
organizational structure to support any plan that exploits the above opportunities. As such, the
business requested for a consultation service to help Indian Cuisine @ The Deck creates a
platform to take advantage of its underutilized strength, expand his business and attract new
customers. This would include the creation of a new business model, the invention of new values
for the customers and a marked improvement in organizational efficiency.

The scope of the requested consultation service can be summarized by the following:
1. Identify the targeted customers, analyze their needs and design the strategies which
generate values that match their expectations.
2. Develop a new system of operation in order to achieve greater economical values and
gain higher level of customer satisfaction.

At the end of the consultation project, Indian Cuisine @ The Deck would be able to embark on its
expansion campaign.

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Innova Consulting Pte Ltd
Creating a better world.

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3. Plan of Action

Phase 1 Primary and Secondary Market Research

Phase 2 Marketing Strategy Development

Phase 3 Analysis and Development of Proposed Ideas

Phase 4 Final Report and Presentation

Phase 1: Primary and Secondary Market Research

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Market Survey

Provides accurate information on the requirements of

target group

Allow the creation of a well thought out marketing

mix

Achieves maximum satisfaction for customers

Phase 2: Marketing Strategy Development

Phase 3: Analysis and Development of Proposed Ideas

Strategic Planning Process

Budgeting
Consolidation
And approval

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Marketing Mix Model (4Ps)

Place
Product

Market
Mix

Promotion
Price

Phase 4: Final Report and Presentation

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4. Benefits
At the end of the consultation project, Indian Cuisine @ The Deck could materialize the
following benefits:

1. Ability to take full advantage of its current strength – This includes the
building of strategy and operation mode around profitable products, i.e. prata and
murtabak. The benefit is in 2-folds: first, the maximization of profit from
profitable products; second, the minimization of cost from less gainful products.

2. Marked expansion of customer base – With the attraction of new customers and
the more frequent spending from the existing customers, Indian Cuisine @ The
Deck develops a larger market share in its current market environment.

3. Rationalized business system – Business processes would be streamlined and

run in a systematic manner to optimize efficiency and cost-effectiveness. In this
mode, Indian Cuisine @ The Deck could cultivate a unique competitive
advantage in the current and future competing environment.

4. Clear outlook, position and strategy – Indian Cuisine @ The Deck could gain a
comprehensible view of the environment, its own position and the business
strategy it employs.

5. Platform for future expansion – Given the new abilities and a sound business
system, further expansion strategy could be readily adopted in the near future.

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5. Key Deliverables

At the end of the consultation project, Indian Cuisine @ The Deck will receive the key
deliverables as the following:

1. Final Report – This report consists of the following list of key components:
a. Market Analysis Report – this report will illustrate the findings in the market
research and analysis phase.
b. Business Design Report – this report will summarize the objectives, the research
findings of business model and the final design of the business system for India
Cuisine @ The Deck.
c. Product Design Report – this report will elaborate the final design of the new
product based on the research and the focus of Indian Cuisine @ The Deck.
2. Formal Presentation – the final presentation will focus on the recommendation of
Innova Consulting, the research outcome that leads to it and the evidence that
supports it.

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 Innova Consulting Pte Ltd
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6. Schedule
The following Gantt Chart illustrate the proposed project schedule:

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7. Budget
Expenses Unit(s) Estimated Amount (SGD$)
General Expenses
Mileage: (15 cents) per Kilometer 7 trips, 13 km per direction, 6 persons 163.80
Reproduction: (5 cents) per page 100 pages 5.00
Computer CDs: (50 cents) per disk 10 disks 5.00
Contingency: 10% of total 17.38
Survey Expenses
Reproduction: (5 cents) per page 200 pages 10.00
Business Reply Envelopes: (10 cents) per envelope 50 Envelopes 5.00
Postage Business Reply: (30 cents) per return 50 return 15.00
No.9 or No. 10 Envelopes: (30 cents) per envelope 50 envelopes 15.00
Postage Metered or Stamped: (30 cents) per envelope 50 envelopes 15.00
Telephone: (20 cents) per call 50 calls 10.00
Final Report Expenses
Linen quality paper: (10 cents) per page 4 units * 60 pages 24.00
Report Covers: (40 cents) per report 4 units 1.60
Binding of Report: (5 dollars) per report 4 units 20.00
Reproduction: (5 cents) per page 4 units * 60 pages 12.00
TOTAL ESTIMATED AMOUNT 318.78

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8. Responsibilities

8.1 The Prospect’s Responsibilities

1. Information Provision and collaboration

a. Prospect would be required to respond to requests for information, approval of
decisions and authorization of actions required for the purpose of consulting
services within 5 working days.
b. The Prospect’s representative would have to be available to meet with the
consultants at least once a week unless there are extraordinary circumstances.

2. Providing Expertise – It would be required for the prospect to aid in the preparation
of food for the purpose of market testing and in the creation of new recipes as
required.

3. Reimbursement of expenses – this refers to the prompt reimbursement of used by

the consultants for expenses incurred in the course of performing consultation service.

8.2 The Consultants’ Responsibilities

1. Communication – Innova Consulting should communicate regularly the project

progress to the Indian Cuisine @ The Deck through weekly status reports.

2. Objective obligation – Innova Consulting is to fully commit itself to fulfill all

obligations described in this document within the stated deadlines.

3. Deliverables – All deliverables are to be sent to the Indian Cuisine @ The Deck for
review at least 2 working days before each stated deadline.

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9. Qualifications

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