Greetings, friends. Today, I will discuss a business in which the company imposes a substantial markup.
The business concept I am about to present is so absurd that I find it hard to imagine any company or entity could achieve such a substantial markup within these industries.
In this post, I will discuss both the businessman and the customer, addressing the implications for both parties.
If you are a subscriber to this High Markup Business post, this information may be really beneficial and could protect you from excessive markup.
If you have arrived to explore the concept of engaging in business as discussed in this High Markup essay, then these compelling concepts may complicate your life. What, then, is the issue concerning high markup businesses?
- Bottled Water or Reverse Osmosis Water Plant –
Numerous locations currently experience significant challenges regarding access to potable water; specifically, the use of safe drinking water poses considerable difficulties in major metropolitan areas and some public facilities. The substantial demand for water or packaged reverse osmosis water in such locations indicates that establishing a water bottling or packaging facility could be a lucrative venture.
This business has a significantly high markup or an exceedingly high cost margin.
Initiating a Reverse Osmosis Plant:
This business can be established with a modest investment of Rs 1.5-2 lakh in the initial phase. This business requires minimal manpower; labour can be adjusted based on the plant’s capacity.
In the facility, it is advisable to employ a qualified or seasoned individual for water testing, as maintaining water quality is essential for market competitiveness.
Attempt to develop a similar water facility where a sustainable natural water source will be accessible for the forthcoming years, as water filtration incurs significant expenses. I possess numerous water plants that exhibit substantial water flow during the filtration process. Let us contribute. It is profoundly erroneous to desecrate the bounty of nature.
To do this, you can implement a straightforward measure by providing wastewater for public daily use, so creating a possibility to sell wastewater as well.
By using this simple measure, you will eliminate water waste and create a potential for supplementary money.
Required Area:
In the early stages, you may establish this compact water facility in an area of 15 by 20 feet or greater, depending on your specifications. For bottling or packaging water, a somewhat bigger space may be required.
Upon generating some revenue, you may add an automated water bottling system, which will save both labour costs and time expenditure.
Methods for Organising Funds:
I previously said that in the beginning phase, you should limit your investment in this firm to 1.5-2 lakhs. If you own funds, it is OK; otherwise, you may ask for a bank loan for this business. Currently, you can obtain a Mudra Loan to initiate this small enterprise.
A Mudra loan typically provides 1.5 to 2 lakh rupees, with a relatively low interest rate. Refrain from pursuing any form of private loan, as I advise you; I am also a Financial Advisor. I am recommending you for the Government Mudra Loan or a Business Loan.
Methods for Engaging Consumers:
I will outline several straightforward actions that you can implement in your organisation to effectively engage consumers and secure a substantial market share. Let us examine each item.
You may modify your water bottle by consulting the manager or proprietor of the hotel or restaurant.
You can offer door-to-door delivery of large water bottles; as competition intensifies, consider reducing prices or enhancing service quality to attract customers.
One can augment the volume of marka water by allocating a greater margin to the roadside water vendors.
You may provide water bottles or packets to train vendors, since the railway station experiences high demand. This will yield a profit margin while simultaneously increasing sales; this is my assertion.
These are straightforward techniques for water delivery; if you possess an innovative concept, you may also implement it.
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