Introduction
With the rapid development of globalization, “Made in China” has become a symbol of China in recent years. Although China’s products increasingly popular in the Britain, the Chinese cuisine attracts the British as well. It is hard to look for a person who never eat Chinese cuisine in the Britain. “Chinese food has become one of the country's dominant ethnic cuisines since it was popularized in the 50s and 60s.” (Warwicker, 2014). Due to the large territory and different nationalities, China has a number of different cuisines. Generally, Chinese food can be roughly divided into four regional cuisines, Shandong Cuisine, Sichuan Cuisine, Guangdong Cuisine (Cantonese Cuisine) and Fujian Cuisine. Sichuan cuisine mainly uses the chili peppers and prickly ash to increase the flavor of the food. One of the most famous dishes Kung Pao Chicken coming from the Sichuan cuisine. There are several Cantonese snack restaurants which also called dim sum restaurants in the London. Compared with the Cantonese snack, Sichuan snack mainly serves a different kind of spicy noodles and dumplings. It is common to see a Sichuan snack restaurant fill with customers in China. As the center of global economy and culture, London has a large population of 8.623 million (Ukpopulation2016.com, 2016). In addition, London is a vibrant and receptive city, the residents live in the London dare to try the new things and eating is a must activity that everyone will do every day. Therefore, it has a large market for the restaurant especially a Chinese restaurant. This new business plan is about to open a Sichuan snack restaurant in London. In fact, there are some Sichuan restaurants served several Sichuan snack in London. Compared with those Sichuan restaurants, Sichuan snack restaurant only concentrates on the range of snack. For example, in Sichuan snack restaurant, it does not offer Sichuan main course like Kung Pao Chicken. Sichuan snack restaurant is more like a fast food restaurant like KFC. It does not need a large space which means a small room with 10 seats will be enough for the restaurant. Noodles and dumplings will be made advanced and put in the thermos tray to keep it hot. There are only several dishes for the customers, the menu is simply displayed above the cashier counter. As a fast food restaurant, it depends on smooth and rapid production to provide the fast service to the customer. The restaurant aims to become the most popular and largest fast food restaurant in London with its fast, cheap and healthy dishes. In order to achieve this, dishes may need some changes to adjust the local resident’s flavor. The allergy should also be considered as a large issue. The restaurant may hire two full-time employees and open from 10 a.m. to 8 p.m. every day. The restaurant aims to make £0.3 million revenues in the first year. In addition, the cost of food will keep under 40% of revenue and the cost of employee labor will keep under 20% of revenue to ensure the maximum net profit. The total sales will increase to £1 million per year after 3 years.

Analysis of the Market/environment
London is the city which has the highest fast food consumption in the Britain. The different culture and cultural tastes have made a large impact on the fast food industry. Fast food is benefiting from two trends in the UK. Firstly, the hectic lifestyle makes people less willing to cook for themselves. They are also attracted by the affordable price of fast food. In addition, fast food can continue to improve the quality and diversity in the UK. The increasingly health conscious and quality encourage players to adapt their offer. The fast food industry has 2% growth in 2015 in the UK (Euromonitor.com, 2016). White-collar workers in the office have stopped bring their lunch, instead, they prefer to eat different fast food. Kids are getting more money from their parents to buy their meal, naturally, fast food always comes to their first choice. Moreover, a research made by JAYMI (2013) presents that each British spends £110 on takeaways every month. An average of 12 takeaways is purchased per person per month which means there are over 100 million takeaways purchased in London every month. In addition, Chinese fast food had already replaced fish and chips becoming the favorite takeaways for the nation. However, Overweight and obese has become a hot issue in the Britain. Sedghi (2014) point out that over 55% of British adults are suffering the overweight problems. The traditional fast food like burger, fried chicken, and fish and chips contains lots of calories which is the main cause of overweight in the Britain (Gregory, McTyre, and Dipietro, 2006). Be aware of the overweight issue, British start looking for the healthy fast food to replace the traditional fast food. With the increasing of the market share of Chinese takeaway and the growth of fast food industry, this is a large opportunity to open a Sichuan snack restaurant. The main competitors are traditional fast food brands like McDonald’s and other Chinese fast food. McDonald’s has a large group of loyal customers. As the leader in the fast food industry, it has more than 200 restaurants located densely in the London. For example, if a customer missed a McDonald’s on the high street, there is another one not far away in the shopping mall. This means that the customer would be easy to look for a McDonald’s whenever, wherever, they want to eat. It is very hard to compete with McDonald’s. Compare with other Chinese fast food, the Sichuan snack aims to deliver the totally different taste of Chinese food. Since British has already adopted the common Chinese fast food, it is a huge challenge to convince them to accept the new flavor of Chinese fast food. The main competitive strategy for the restaurant is low cost with the focused market. The price will set between £6 to £8 per meal with drinks. The market can be separated into 4 parts; for age, it focuses on the single, youngster currently enrolled in college and high school. For a family unit, it attracts the young family with children. For gender, it targets both male and female. For income, most of the customers come from the low to medium individuals. The restaurant will concentrate on fast, cheap and healthy food with special flavor which is the unique selling point.

Marketing and Sales plan
The core competitive advantages of the restaurant, compared to other fast food restaurants, are healthy and special flavor. The primary target markets are teenagers and youngsters from 15 to 25 years old. The brand building efforts could take place within these teenagers. They prefer seeking a value and delicious meal that will not stretch their budget due to the limit and fixed income from their parents. In addition, teenagers are always willing to try new things. The secondary target market is between the ages 25 to 35 which with medium income. They are more flexible in budget compared with teenagers and discover more than a price. Euromonitor (2016) argued that there are some needs among our target market, wants variety and flavor in its food, looks for speed of service, wants an entertaining and fun experience, insists upon a clean, friendly, and attractive environment, adopts a global lifestyle, is computer literate, enjoys eating out, has an active lifestyle, comes from various ethnic backgrounds. These finds may help the restaurant develop a proper strategy for the future. Cadogan (2009) believes that marketing strategy should focus on the right market and product mix in order to maximum the profit and benefit the company to achieve their goals. As the majority of the customers are 15 to 35 years old and have limited income, the restaurant may locate to this demographic group within a 5-mile radius. The restaurant will mail the coupon to the potential customers to attract them come to eat. The loyalty programs will be set up and invite our customers to become the members. The customer will be rewarded according to the frequency they visit. For example, the customer will get a free drink after 3 visits. Ultimately, the restaurant will offer a free meal for a customer after 10 visits. The restaurant may decide a specific date as member’s day to provide a discount to the members every month. In addition, the restaurant can collect money for the charity which may add the value to the brand. The market budget will be 0 due to none advertising. The restaurant delivers the coupon to the customers by hand. Therefore, as a fast food restaurant, it will focus on the low cost with the specific target market, teenagers. It is hard to forecast the market share because there are too many competitors. The graph stated below is the monthly sales forecast.

The first month sales will around 1500 units due to a new business and the forecast total sales will be 33000 units in the first year. it is easy to find out that the sales increased month by month except summer vacation. Due to the target market are teenagers, they may go travel or go back to their hometown during the summer vacation which leads the decline of the sales. As mentioned before, the price of the meal will between £6 and £8. Therefore, the average price of the product is £7 and the average cost of the product is £3. The breakeven analysis will state below.
Units Price: £7
Estimated fixed costs per year (salary, rent, power usage): £84000
Cost per unit: £3
Yearly units break-even point: 84000/ (7-3) =21000 units
Thus, the restaurant needs to sell 21000 units per year to meet the breakeven point.

Due to the large investment in equipment and rents, restaurant wishes to start to gain net profit after 1 years. The forecast table has stated below which support to calculate the forecast growth rate of sales. | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | SalesForecast | 1600 | 1800 | 2200 | 2400 | 2800 | 2900 | 2700 | 2500 | 3100 | 3400 | 3600 | 4000 |
The growth rate of sales can be calculating by using this formula (Kotler, 2000).
(Current month’s total sales – Previous month’s total sales)/ Previous month’s total sales) x 100
For example, the February growth rate is (1800-1600)/1600 x 100%=12.5%
Therefore, the graph below presented that the forecast growth rate in sales in the first year. From the graph, it shows that the sales have a negative growth in July and August. As mentioned before, the summer vacation caused our main target market, teenagers, go travel which caused the decline in sales.

Operational plan
An Operational Plan is a detailed plan used to provide a clear picture of how a team, section or department will contribute to the achievement of the organization’s strategic goals (Slack, Chambers and Johnston, 2010). At the beginning of the business, the restaurant will register with the local authority (Gov.uk, 2016). The safety and health standard will be followed during the food making process (Food.gov.uk, 2016). The kitchen appliance like heat, pan, cooking spade will be imported from China which is a lower price and suitable for a Chinese chef. The restaurant will be 50 square meters with approximate 10 seats. Cooperating with Britain-based Chinese supermarket to get the raw material like noodles and flavoring. As the long-term business partner, the restaurant will negotiate with Chinese supermarket to get the lowest price of the material. In the future, when the consumption of product increased significantly, the restaurant will have the leverage to ask for lower price. The material will be delivered from Chinese supermarket every week to ensure the freshness of the product. The business between the restaurant and Chinese supermarket will be paid by cash every time. The food will be premade in the morning and put in the thermos tray. Only when food drops to 5 units, the chef will start to cook new food. The unit of the food will be cooked depends on the daily sale and chef will not cook new food 1 hour before the closing time. The opening time of the restaurant is 10 a.m. to 8 p.m. The restaurant will hire 2 full-time employees at the beginning and part-time employees will be hired depends on the sales. The 2 full-time employees will be trained as the chef and cashier. They will have 3 days break each month and the average of working time is 6 hours per day. The working time will be flexible depends on the peak and off-peak time. There will only be one employee in the restaurant during the off-peak time like 2 p.m. to 5 p.m. The wage for the employee is £1800 per month which meet the minimum wage in the Britain (Gov.uk, 2016). The restaurant will ask for the feedback from our customers in the first month to adjust our flavor, as a return, customers will get some vouchers from the restaurant. In addition, the internet has changed people’s lifestyle in the modem society, the restaurant will cooperate with food delivery service company like Just eat and Hungryhouse which means customers can order online and eat at home.

Financial plan
It is not a large business for opening a fast food restaurant, I will invest £20000 at the beginning. As a small business, the restaurant would not borrow money from the bank at the beginning and the business will not expand until having enough cash.
Capital requirement: £10000
Start-up expense (e.g. rents, decoration): £7000
Start-up assets (e.g. equipment): £3000
Final start-up cash: £10000
The restaurant will open with £10000 cash and the table below is the monthly forecast cash flow.
The variable cost of each meal is £3 which state as material part in the table. Rent will be paid every 4 months which is £6000. Britain government (2014) state that the tax rate for the fast food restaurant is 20% for each sale. The full-time employee wage is £2000 per month. Due to the uncertain situation, the part-time employees may have needed after increasing in September. Thus, at the end of the year, the restaurant may hold £9700 cash in hand. The profit and loss statement will state below. Sales | £231,000 | Cost of sales | £99,000 | Gross profit | £132,000 | Gross margin | 57.14% | Expense | | Payroll | £49,300 | Marketing | £0 | Depreciation | £100 | Rent | £18,000 | Utilties | £12,000 | Others | £1,800 | PBIT | £50,800 | Taxes | £46,200 | Net Profit | £4,600 | Net Margin | 2% |

In the first year, the net profit margin is very low. With the increasing sales of the product in the future, the net profit margin will increase as well. Followed is the balance sheet for the restaurant at the end of the year. Assets: | | | Cash | | £9,700 | Equipment | | £3,000 | Prepaid rent | | £6,000 | Total assets | | £18,700 | | | | Liabilities and equity: | | | Bank loan | | £0 | Equity | | £18,700 | Total | | £18,700 |
Due to the restaurant is a cash basis business, there are no liabilities. In addition, at the end of the year, the restaurant will pay next 4 months’ rents to the landlord. The breakeven analysis has already stated in the sales plan section.

SWOT analysis
Strengths
* The fast food restaurant provides cheap value food which between £6 to £8. * It has a great location around the university and schools. * It has a loyalty program to encourage our customers’ consumption. * Healthy food is our core competitive advantage. * I am an ambitious activist. * It is not traditional Chinese fast food restaurant; it offers special flavor food.
Weakness
* It is a new restaurant that needs to attract potential customers. * The minimum salary and taxes rate are so high. * Overly depend on the suppliers. * It is my first time to start a business * Weak technology support which may lose customers
Opportunities
* Overweight makes customers be aware of the traditional fast food like fried chicken. * Chinese take away becomes most popular fast food in the Britain and has over 33% market share (Stones, 2015).
Threats
* Traditional fast food franchises like KFC invest lots of money in advertising. * There is a number of Chinese fast food restaurants in one area.

Recommendation and Conclusion
As a new restaurant, I may invite potential customers to come to taste the product for free at the beginning. If they like it, they can post it on the social media that I can provide a discount for their next visit. I will keep negotiating with our suppliers to put down the price of the material. Alternatively, I may choose another Chinese supermarket. I will keep training myself to become a successful entrepreneur. For example, interviewing some fast food manager to learn the experience of management. The restaurant may pick a location to avoid the direct competition to traditional fast food franchises. Compete with other Chinese fast food, the restaurant will focus on the innovation to produce the different flavor of fast food. The restaurant can set up own website and delivery group to expand the business. London is a large market for the fast food restaurant. However, the fast food industry is heavy competition. McDonald’s closed hundreds of stores in 2015 approved the cruelness of this industry (Wahba, 2015). Fast food restaurant should stop expanding while the healthy issue is forcing the restaurant transformation (Wahba, 2015). As a freshman into a new business, I should keep an eye on the economy situation and market. In order to survive in the industry, innovation played the most important role for the modem business.

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