THE STRATEGY

Strategy and Implementation Summary

JJB will succeed by offering consumers high quality coffee, espresso, and bakery products with personal service at a competitive price.

Competitive Edge

JJB's competitive edge is the relatively low level of competition in the local area in this particular niche.

Sales Strategy

As the chart and table show, JJB anticipates sales of about $491,000 in the first year, $567,000 in the second year, and $655,000 in the third year of the plan.

Sales Forecast
	Year 1	Year 2	Year 3
Unit Sales
Espresso Drinks	135,000	148,500	163,350
Pastry Items	86,000	94,600	104,060
Other	0	0	0
Total Unit Sales	221,000	243,100	267,410
Unit Prices	Year 1	Year 2	Year 3
Espresso Drinks	$3.00	$3.15	$3.31
Pastry Items	$1.00	$1.05	$1.10
Other	$0.00	$0.00	$0.00
Sales
Espresso Drinks	$405,000	$467,775	$540,280
Pastry Items	$86,000	$99,330	$114,726
Other	$0	$0	$0
Total Sales	$491,000	$567,105	$655,006
Direct Unit Costs	Year 1	Year 2	Year 3
Espresso Drinks	$0.25	$0.26	$0.28
Pastry Items	$0.50	$0.53	$0.55
Other	$0.00	$0.00	$0.00
Direct Cost of Sales
Espresso Drinks	$33,750	$38,981	$45,023
Pastry Items	$43,000	$49,665	$57,363
Other	$0	$0	$0
Subtotal Direct Cost of Sales	$76,750	$88,646	$102,386