Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry!

Investment Plan for

Valentino

2011-2012

Final Draft 8th October 2011

Editor: George

Position: Director of Valentino

Employee No. 12114331

Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry! - 1 -

1 Background of the Valentino

Valentino Chocolate has been producing Italy’s finest chocolates for more than 30

years. Valentino chocolates are made in Turin, they are luxury products with a

unique taste, and have won many international awards.

During the past ten years,

Valentino has expand rapidly .It now

has almost 300 employees,75

company-owned shops, and a

turnover of 90 million.

However, in the last two years,

sales growth has slow down and

cost have risen. This has caused a

fall in profits.

2 Product Categories

Today, Valentino Chocolate are making over 30 different quality chocolates, with

respect for tradition and a passion for taste. Here is the chart of Valentino’s main

products.

Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry! - 2 -

3 Difficulties we are facing

Considering the continued slowdown in profit of Valentino, Marketing Department

has made an earnest and thorough investigation

We need optimize technology process to improve efficiency and enhance products

quality.

We must motivate the staff's enthusiasm for their job and expand the market as

soon as possible.

4 Problem-solving Methods

Consideration for the expand and long term development of Valentino, we believe

the investment in productions, sale and market is the most effective way to help

Valentino out of mass , promote staff’s work motivation, and become an

international business.

WE BELIEVE:

Market-oriented and quality products are our guidelines.

Velentino can continue to grow, but only it develops new products and finds new

markets.

5 Objects

To solve our current problem and enable Valentino to become a competitive

international business, we propose an investment of €1.5 million.

Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry! - 3 -

6 Investment Options

7 Strategy and implementation

The Broad of Directors has agreed the following investment plan:

Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry! - 4 -

Firstly, we need to invest in more research and development. Considering

consumer's expense psychology, many customers are fond of trying new products,

especially those accord with the future health concepts. Obviously, when keeping

Classical products, it is extremely important for Valentino to specialize in new

creations. We recommend, each month Valentino should present a new chocolate,

based on an exclusive design or an original taste.

Secondly, we must buy new machinery as soon as possible. At present, the delays

in production, which were caused by old machines breaking down, causes a series

problem to Valentino. Updating old machines timely will end the delays and speed

up the product renewal to respond market swiftly.

Thirdly, we need explore the market in all areas.

We decide to invest in an existing group of cafés. If we become a partner in cafés,

we can sell and promote Valentino chocolates with coffees. This investment will

boost sales and raise the awareness of Valentino effectively.

Valentino – A passion for chocolates!

To become the best chocolate & gift company in the industry! - 5 -

We need finance a market

survey and research trips to

the US in a suitable time

period. In order to find new

markets to sale its production

and appropriate for

international expansion, we

believe the US market is one of

the most perspective markets

all over the world. We need to

assess the market potential for

Valentino products Contact agents.

We will build up online sales system step by step for over time. As the most popular

sales platform, no doubt “network marketing” is an effective way to increase sales

and profits.

8 Timeline

9 Evaluation

The heads of the departments concerned will hand in a monthly progress report. The

Board will then meet to assess the progress made in all areas. The performance and

profit will be paid close attention.