OVERVIEW

Skittles is a variety entertainment and dining establishment located in Washington, D.C. . Our mission is to provide our patrons with a

unique blend of live entertainment while delivering a top quality dining experience. We will do this by emphasizing service excellence

and the highest level of performance in all aspects of our operations and services. Our prominent services include live entertainment,

ranging in form from comedy to jazz performances to poetry recitals and others. We also offer lunch, dinner, drinks and dancing to our

customers.

The restaurant is operated by its several partners who have an equal share in ownership. The partners are Tracy Jackson, James Johnson,

Sonja Dawkins, Kevin Brown and Steffi Carr. The restaurant is ideally located on the D.C. waterfront. There it will be easily accessible

to a large cross section of consumers and make it possible to provide patrons with a safe and controlled environment.

Our establishment brings a relatively new concept to the Districts restaurant industry. What we provide is an everchanging mix of live

entertainment to customers while serving all of their drinking and dining needs as well. We are somewhat of a one stop, night on the

town, in that we provide not only the drinking and dining needs of person going out but we also provide, in the same location and

depending on the night, everything from dancing to live music performances to

a night of comedy entertainment. Because of its uniqueness to the marketplace in D.C., Skittles has an excellent opportunity to establish

itself and become a force in the restaurant/entertainment community in the District. This is partly because of the limited direct

competition the company has to face. Although direct competition is limited, there are several establishments which we feel will pose

competition to us in the market. They include Blues Alley, Hogates, H.I. Ribsters, Phillips, Gang Plank, The Wharf, and Club 721.

Despite the threats which the competition poses to the restaurant, we are still very confident in the ability of this concept and restaurant

to thrive and succeed in the District.

SITUATION ANALYSIS

We, the owners of Skittles, are very enthusiastic about our chances of success with this new and exciting restaurant concept. Our

enthusiasm was bolstered even more by what was revealed to us after performing a situation analysis for the company. The analysis

showed that as a company, our strengths and the opportunities that exist, far outweigh our weaknesses and the threats we perceive

ourselves having to face. This indicates to us that with hard work and a total team commitment, Skittles will be a definite success. As for

the particulars that were revealed through the analysis they are as follows.

First, the businesses internal strengths include the location of the restaurant, because of its convenient access to all the residents in the

Metro Area. Another strength is the room for growth that we have as a company, because without it the company would reach its

maximum potential in a relatively short time and then have no where to go but down. Also we have a strength in our prices which, for

the services and the variety of entertainment we provide, are better than favorable when compared with the competitions prices. Finally,

our internal strengths include the variety which we provide for our customers, both in the services and in the entertainment which we

deliver.

Next, there are the internal weaknesses that we have as a business and they include, first our inexperience with being managers and

operators of a business as well as the inexperience in dealing with the real world, unforeseen problems that are bound to arise with a

new business. Secondly, there is the fact that as of yet we don't have an established customer base to rely on. Also, we also don't have a

loyal market of consumers whom we can depend on even during the most difficult economic periods. Finally, there is the fact that we

don't have the established reputation for service and excellence that some of our competitors may have with the consumers in the area.

Next, the situation analysis turned to the external factors that would be affecting our establishment. These factors include both our

opportunities and the threats that we will have to face. First, there were the opportunities which include, the economic situation in the

district which has the mayor and other prominent officials

encouraging and supporting the formation of new businesses in the District in hopes of creating more revenue for the city. This is an

opportunity because with the cooperation from the city and the powers that be, it will be less difficult to deal with all of the red tape

and bureaucracy one has to go through when starting a business. Secondly, there the opportunity to become a tourist attraction, because

we are located in the nations capitol which receives millions of visitors on a yearly basis. By becoming a city hot spot, it would enhance

our reputation not only with the local residents but nation wide as well. It would increase our business revenue drastically if we could

become one of the "must see" places for visitors to the capitol. The second opportunity has a direct relationship with the third and final

opportunity which is to franchise and branch out. If we are successful in becoming a tourist attraction, that would open up markets for us

all over the country in places where people don't have but want the services and entertainment concept which we provide to our

customers.

The final segment covered in our analysis was the threats we perceived ourselves having to deal with. They include, first the many

hassles and the bureaucracy we would have to deal with, such as obtaining the proper licenses, zoning and building permits and meeting

the required health, building and safety codes and regulations. Secondly, there is the threat posed by the slow economy we are currently

faced with. It is causing more people to opt to stay at home rather than going out. Finally there is the threat posed by the competition in

the District for disposable income. Because D.C. is the U.S. Capitol, there are many establishments which provide a variety of things to do

for the consumer which will make attracting those disposable dollars all the more difficult for a new business.

Over the coming year, it will be our goal to build on the strengths that we posses and to take full and complete advantage of the

opportunities that exist for Skittles in the D.C. market. We also plan, to the best of our ability, to overcome the threats which await us

and to eliminate as many, if not all, of our internal weaknesses. This will be achieved through strong management leadership, dedication

to the company and careful decision making and planning on the part of Skittles owners and all of our employees.

ORGANIZATION OBJECTIVES

Since we are a new organization , there are many marketing objectives that we have yet to achieve and which we will strive to

accomplish within the next year of business. Three of the more prominent objectives we have include first, establishing and maintaining a

high level of customer loyalty and a large loyal market base in the D.C. metro area. Secondly, we seek to eliminate all of our internal

weaknesses. Third and most importantly, we want to provide our customers with the most outstanding and superior quality of service

found anywhere.

As a new business, we are faced with the task of having to find a place for ourselves in the market among consumers. We can best make

a place for ourselves by establishing a large , loyal base of consumers. We plan to achieve this objective by providing patrons with an

experience like no other and by delivering top quality entertainment. We will be able to determine if the objective has been achieved by

monitoring the increase or decrease in the level of regular repeat customers over the next year.

Our second objective is one in which we have a great deal of concern. It is to eliminate our internal weaknesses. While we are

concerned, we feel most confident about getting it achieved. This is because internal weaknesses are those which we have the most ability

to influence and change. Currently our internal weaknesses include inexperience in management and a lack of a loyal customer base, to

name a few. We will determine if the objective has been reached by performing a second situation analysis at the end of the year and

comparing it with our current analysis.

The third objective we have is probably the one most essential to determining our future in the marketplace. It is to provide our

customers with the most outstanding quality of service found anywhere. By achieving this objective we will have little problem with

achieving our first objective of developing a loyal customer base. This is because if we deliver a high quality of service excellence to our

patrons, they will only naturally think highly of us and want return to our establishment. Also, by delivering outstanding quality in all

aspects of the company, it will help to develop a positive reputation in the eyes of the consumers which will lead to more business for

the restaurant which will in turn lead to more profits for the business. We will determine if the objective has been accomplished by

getting feedback from customers after they've had the Skittles experience. Surveys will be taken randomly throughout the year to

determine if service and overall quality is being maintained, improving, or getting worse.

In any event we feel the achievement of these goals are essential to our remaining a viable venture in the marketplace and we plan to do

everything within our powers to make certain that they are achieved.

PERCEPTION OF GOODS

Skittles target market will find the restaurant to be ideal for their dining and entertainment pleasure. This is because our services as well

as our marketing are geared towards attracting and satisfying the wants and needs of our target market. Through our reasearch, we have

found that our target demographics enjoy jazz, live music, and comedy, as well as full course dining when going out. By inquiring of the

specific target market demographics, we have determineed exactly what they want in terms of entertainment and dining. As a result, we

have focused our endeavors to meet those needs.

HOW IS USP MANIFESTED?

The unique selling position of Skittles will be manifested by our ability to provide a variety of live entertainment forms. It will further

be manifested in our ability to provide for our customers, dining excellence as well as fun and excitement, all in the same location. In

addition, our ability to cater not only to those looking for live entertainment fun but also those who wish to use our establishment for

business purposes as well as other private functions will add to creating a distinct U.S.P. for Skittles.

BRAND NAME DISCUSSION

Skittles was chosen as the name of our establishment because the word skittles has now become synonymous with a variety of flavors.

This is, we feel the most appropriate name to describe what it is that we have to offer our consumers in terms of goods and services, a

wide variety. In the entertainment, as well as in the dining options and the overall concept of our business, ,Skittles the restaurant much

like Skittles the candy, will provide a rainbow of variety and flavors to its customers.

ADVERTISING OVERALL PLAN

Skittles overall campaign will utilize several mediums and techniques in order to get the publics awareness of our existence up. The

mediums we plan to utilize include flyers, posters, billboards and newspapers. The advertising campaign will be somewhat aggressive in

its approach because we are a new entity trying to create a niche for ourselves in a very competitve environment. The advertisements will

be targeted to appeal to the wantrs and sensibilities of our specific target market. We will accomplish this by focusing the ads on the

entertainment and the variety aspects of our restaurant. Likewise, we will convey through our ads a sense of the atmosphere and

ambiance which exists at Skittles. The ads will be run in major papersd tri-weekly, while billboards, posters and metro ads will be

continuos in their display. We will make use of free passes for entertainment and meal discount coupons as well. As with any product ,

we are hoping that word of mouth will also help in establishing the reputation of Skittles as a great place for entertainment and dinning.

DISCUSSION OF SUPPLY TO RESTAURANT

The supply of Skittles' food and beverages will be handled through a combination of several wholesale and retail suppliers. For our beef,

pork, lamb and veal supply we will utilize the National Beef and Provision Co. of Baltimore MD. The prince Wm Co. Poultry and Egg

Company will provide our needs in those areas. Our seafood will be acquired fresh from the D.C. Wharf. Finally, our liquor and

alcoholic beverages will be providerd by two suppliers. The F Wine Specialists will supply our wine needs while the International

Distribution Corportion will supply all of our other alcohic beverages and the Pepsi Bottling Co. will supply our Fountain

Sodas/beverages.

To insure for our customers, the freshest food posible. Our meats, seafood, poultry and vegatables will be ordered weekly. To add,

because all of our suppliers are in the D.C. area and in such close proximity, we will receive our supplies by way of refrigerated trucks.

Again with the furthest supplier being in Baltimore, we are assured that our oders will be delivered within 24 hours of the reciept by the

suppliers.

Segmentation

The Washington, D.C. market is the 6th largest MSA market according to the Office of Management and Budget. With a consumer

market population of over 4 million people Washington,D.C offers a wide, diversive ethnic make-up of Whites,Black,Asians,Hispanics and

Other ethnic groups, with the White and Black Populations being the majority.

Furthermore the Washington D.C. market has an effective buying income of over 88 million dollars, and had retail sales in excess of

31million. (SRDS August 1993)

Young adults Adults Middle Aged Seniors

18-24 25-34 35-49 50+

Racial Diversity: High degree and Some degree and Very small degree Extremely small degree

highly intergrated some intergration and seperated and secluded.

Maritial Status High degree of Some degree of singles Medium degree of married High degree og married

Single individuals Some degree of married some divorced and singled some divorced and widowed

Attitude towards Service Speed and Professionalism Value required, honesty extremly patient, avoid Expects Respect, and Honesty

are k y aspectts professionalism demanded extra cost and Personable receives discounts.

The above segmentation chart shows the age divison of adults in Washington, D.C. The base selected for this chart is the Age of the

Consumer Market Population of Washington,D.C. The reason we chose age as our base is because it is the easiest way to divide and

segment a consumer population. Furthermore the base starts at age 18 because Skittles will provide adult entertainment and will be

serving alcholic beverages.

We chose Racial Diversity, Maritial Status and Attitudes toward Service as our descriptors because Skittles will cater to a cornicopia

of people with a high degree of ethnic diversity; married, single and divorced individuals as well as different attitudes and perceptions

towards service. In doing so we noticed that there was a some degree of disparity among the Young Adults and Adults; within the

descriptor of Maritial Status; generally the Young Adults were single, because many of them were either still in school or recent

graduates.While the Adults were recent newlyweds and some still single. With the Middle Aged having a high degree of people being

married and some divorcees. Finally the Seniors had a extremly high degree of married couples with some being widowed.

Within the descriptor of Racial Diversity there were some differences.There is a high degree of Racial Diversity and intergration

within the younger ages that gradually decreases as the adults get older. Also since Washington ,D,C. has such highly diversified

communities ranging from Whites, Blacks, Hispanics,Asians, and others it would be ideal to offer a resturant that would and could cater

to all people regardless of their ethnic orgin.

PERSONAL SELLING MESSAGE

Skittles servers will be trained to provide customers with both quality service and congeniality. To ensure that our employees are both

courteous and respectful when dealing with customers, we will establish an incentive program for our employees which will be based on

customer responses toward the service they receive. Ideally, the interaction of a Skittles server and a customer should be similar to the

following dialogue:

Server: Good evening, my name is Jacque and I'll be your waiter for this evening. Would you care for any appetizers or Drinks at this

time?

Cust.: No thank you, we're not quite ready to order yet so could you give us a few minutes please.

Server: Certainly. (returns shortly) Are you ready to order now?

Cust.: Yes, we are ready to order.

Server: May I recommend our specials.

Cust.: Thank you, but we would like to order ...

Server: Would you like anything to drink?

Cust.: We'll have ...

Server: O.K. I'll be right back with your drinks.(returns) Here are your drinks and your dinner will be ready shortly. (leaves and returns

w/ food) Here is your dinner, I hope you enjoy it. If there is anything that I can get you please let me know.

Cust.: Thank You.

The server will then check regularly to see if everything is fine with the customers and after they are finished with their meals, he will

again check with them.

Server: Would you like any dessert or is there anything else that I can do for you?

Cust.: No thank you, we are ready for the bill please.

Server: Of course.

The server then will deliver through our computerized billing process, the bill to the customer.