Appendix Utilities The estimated utilities for the restaurant would be approximately RM3,500 monthly. The electrical bills will carry the highest portion of the bills as there are several heavy electrical appliances working 24/7. Appendix Insurance The restaurant had purchased an insurance package named 'SME Insurance Package' from AIG Malaysia Insurance Berhad. The selected insurance package basically covered all the necessary protections required. The exact list of protections is attached below. One Policy for all your business needs. Occupation: General Practice Medical Clinic (PIAM Code: 1214) Class Sum Insured (RM) Property (Fire Including Peril BOW, Explosion & RSMD) 300,000.00 Burglary 20,000.00 Money on Premises 5,000.00 Money in Transit 5,000.00 Glass 3,000.00 Public Liability 100,000.00 Employer's Liability 300,000.00 Group Personal Accident 50,000.00 Fidelity Gurantee 1,000.00 Gross Premium 1,599.30 Stamp Duty 10.00 Total Premium 1,609.30 * The above is an illustration based on the pre - underwritten conditions for Class IA construction under the SME Package product As stated clearly in the figure, the insurance premium is amounted at RM1,609.30 per annum. Rivalry among competitors (High) Better Chance is a great and unique idea to start with. However, it still falls under the Food & Beverage industry, which basically means there are huge numbers of existing and emerging competitors. Hence, the selling point of Better Chance is the revolutionary concept of operating a restaurant business. Besides, the quality of the food materials is incomparable due to the fact that the source of supplies is locally produced by the committed and hardworking 'ex-convicts', where only the qualified crops are sent to the kitchen. Although there are several restaurants in Kuching, Sarawak that had adapted to serve organic foods, the reliability of their source will be the deciding factor on customers' choice. In terms of the pricing, there isn't much advantages as we focus on the service and quality to ensure better customer experience.
Porter 5 Forces Definition A method commonly used to breakdown and study the competitive nature of a business or an industry. There are five main factors which are threat of substitute, threat of new entrants, bargaining power of buyers, bargaining power of supplier and lastly the rivalry among competitors (Boyce, P 2020). Each force has respective potential in negatively affecting the business. Hence, it is a strategic tool widely used by both new and existing companies to justify the profitability of their businesses.