Managerial Accounting powerpoint

South Bend Beer
Exchange
Sarah Niespodziany
(Co-president)
Bar
Bartender
(Supervises
wait staff)
Logan Montague
(Co-president)
Resturant
Hostess
(Supervises
Servers)
South Bend Beer Exchange
Mission Statement
Our mission here at South Bend Beer Exchange is to provide a
safe and entertaining social atmosphere to newcomers and
patrons alike. The food and drink we sell meets the highest
standards of quality and freshness while striving to continuously
exceed the expectations of our customers through our attentive
service and energetic attitude, resembling the excitement of the
stock market.
Founded by Sarah and Logan
 Originally created in Kalamazoo: James
Flora 2010

Philosophy
Our philosophy is to form long lasting relationships
not only with our customers but with our employees
and the community as well. Beer Exchange bases the
pricing of 28 draught beers on real-time sales, like the
stock market, resulting in an ever-evolving happy hour.
Occasional “market crashes” will occur daily, dropping
beer prices to their all-time low. This creates a fun
and interactive drinking environment. The market
price fluctuation also keeps the customers buying.
Key Business Ideas: Why We’re Different
A fun and interactive “game” keeping
customers entertained for hours.
Market “CRASHES” causes prices to fluctuate
Example of how beer prices are displayed in real
time for customers with red indicating the price
was lowered an green indicating price has risen.
PORTER’S FIVE FOCUSES
1. Intensity of Existing Rivalry
Fast industry growth rate
2.Threats of Substitution
Lower quality
Product differentiation
Limited number of Substitutes
3.Threats of New Competitors
High capital required
Strong distribution network required
High sunk costs limit competition
Industry requires economies of scale
4. Bargaining Power of Suppliers
Diverse substitution channel
Critical production inputs smaller
Volume is critical to suppliers
5. Bargaining Power of Customers
Limited buyer information availability
Product is important to customer
Large number of customers
Limited buyer
Findings and Outcomes
Location is Key
◦ College students: Notre Dame, Holy Cross,
Saint Mary’s
◦ Notre Dame games/events of all types
Bar Side
◦ Busiest Thursday-Saturday August-May
Restaurant
◦ Makes up for loss of college students during
summer months
Future Expansion
To be decided after one year of business
If business does well..
 Possibly buy building for larger space
and total ownership
 Expand to other college towns
throughout the state and even country
◦ IU Bloomington
◦ Purdue
◦ Indianapolis
Outlook for the Business Venture
Audience Questions
Feel free to ask any questions or provide any
suggestions to improve our business plan.