在墨西哥創設中文學校之商業企畫書 - 政大學術集成

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(1)國立政治大學商學院國際經營管理英語碩士學位學程 International MBA Program College of Commerce National Chengchi University. 碩士論文政治. 大. 立Master’s Thesis. ‧. ‧ 國. 學 Mexico. n. al. Ch. engchi. er. io. sit. y. Nat. Business Plan For a Chinese Language Institute in i n U. v. 在墨西哥創設中文學校之商業企畫書 Student: Carlos Orlando Cruz Pérez Advisor: Cheng-Hsien Tsai. 中華民國一〇七年六月 June 2018.

(2) 在墨西哥創設中文學校之商業企畫書. Business Plan For a Chinese Language Institute in Mexico. 研究生：古睿森. Student: Carlos Orlando Cruz Pérez. 指導教授：蔡政憲. 立. Advisor: Cheng-Hsien Tsai 政治大. ‧ 國. 學 ‧. 國立政治大學. Nat. y. 商學院國際經營管理英語碩士學位學程. n. C. A Thesis. er. io. al. sit. 碩士論文. i n U. v. h e n hMBA Submitted to International i Program gc. National Chengchi University in partial fulfillment of the Requirements for the degree of Master in Business Administration 中華民國一〇七年五月 May 2018.

(3) Acknowledgements A mi familia, la fuente de mis fuerzas; gracias por permitirme estar lejos y al mismo tiempo acompañarme en este viaje. A mi mamá, Martha, eres una gran mujer y la parte blanda de mi ser, la parte de mí que siente. Gracias por siempre extrañarme y al mismo tiempo aceptarme lejos, gracias por creerme cuando te decía que todo iba bien, aunque de vez en vez estaba triste y quería verte. Extraño estar cerca de ti y abrazarte, y quiero que sepas que todo esto que hago es porque quiero ser mejor cada día, pero, sobre todo, como tú me enseñaste, quiero ser el más. 治政 feliz; a mi papá, Orlando, el hombre más inteligente 大 que conozco, gracias por guiarme y 立 enseñarme a ser más de lo que creo que puedo ser, a ser humilde y profesional; pero tu ‧ 國. 學. profesionalismo y conocimientos no son lo que más admiro de ti, admiro lo difícil que es. ‧. caminar contigo en la calle porque siempre hay alguien que te conoce y quiere saludarte, eso es lo más grande sobre ti; a mi hermano, Luis, aunque nunca he sido el mejor ejemplo de hermano. y. Nat. io. sit. mayor o del que más se ha aprendido, siempre has estado ahí conmigo, tienes toda mi. n. al. er. admiración porque todo en lo que participas lo haces ver tan fácil, y en más ocasiones que las. Ch. i n U. v. que no, he sido yo quien ha seguido tu ejemplo; a mi hermana, Lupita, la persona más creativa,. engchi. alegre, ingeniosa, libre y dulce que conozco, no me es posible divertirme a la hora de la comida si no estás tú. Los amo. To my dearest Emily, the inspiration for all that I do, you are without a doubt, the best part of me and an important piece of my future. Your hard work, passion for education and to always do things right have always made a profound impact on me. Thank you for sticking with me through all this journey, the best is yet to come. I love you.. i.

(4) Abstract In this thesis I provide a business plan for the establishment of a Chinese Language Institute in the city of Querétaro, México. The city of Querétaro is and advantageous location for the operations of this institute. It is highly developed and ranked the most innovative in the country for its industry and education, which is reflected in its population’s levels of education,. 政治大. professional capabilities and income. The city is also attractive to foreign investment for the. 立. establishment of their operations, and more recently, attracting interest from Asian corporations.. ‧ 國. 學. With competitive prices, academic excellence and comprehensive materials, we expect to serve. ‧. the population in Queretaro ranging of ages between 3 and 45. We will deliver quality services. sit. y. Nat. io. n. al. er. with mandarin native-speaking professors who will additional have a background and training. i n U. v. in teaching and languages. This will be our main differentiator. We believe this will provide. Ch. engchi. students of all ages with the tools and preparation to be competitive in the global panorama in which we live today.. Keywords: Mandarin, language, school, Mexico, Queretaro, education. ii.

(5) TABLE OF CONTENTS List of Figures and Tables………………………………...…………………………………………….… i Acknowledgements ……………………………………………………………...……………………….…ii Abstract ...………………………..………………………………………………………………………….…iii. 1. COMPANY INTRODUCTION ........................................................................................... 1. 政治大 1.1. Mission ............................................................................................................................ 1 立. ‧ 國. 學. 1.2. Vision ............................................................................................................................... 1. ‧. 1.3. Objectives ........................................................................................................................ 2. Nat. 1.3.2.. Specific ............................................................................................................... 2. n. al. er. sit. y. General................................................................................................................ 2. io. 1.3.1.. Ch. engchi. i n U. v. 1.4. Key Success Factors ........................................................................................................ 2 1.5. Service Overview ............................................................................................................. 5 1.6. Company Ownership ....................................................................................................... 6 1.6.1.. Management team and staff ................................................................................ 7. 2. MARKET ANALYSIS.......................................................................................................... 9 2.1. Industry Overview ........................................................................................................... 9 iii.

(6) 2.2. Querétaro and the Language Learning Industry ........................................................... 12 2.2.1.. Economy ........................................................................................................... 13. 2.2.2.. Demographics and Segmentation ..................................................................... 15. 2.3. Industry Players ............................................................................................................. 16 2.4. Business Opportunity..................................................................................................... 18. 政治大 3. BUSINESS MODEL ........................................................................................................... 22 立. ‧ 國. 學. 3.1. Value Proposition........................................................................................................... 22. ‧. 3.2. Customer Segments ....................................................................................................... 22. y. Nat. n. al. er. io. sit. 3.3. Channels ........................................................................................................................ 23. i n U. v. 3.4. Customer Relationships ................................................................................................. 24. Ch. engchi. 3.4.1.. Reaching customers .......................................................................................... 24. 3.4.2.. Retaining customers ......................................................................................... 25. 3.4.3.. Growing customers ........................................................................................... 27. 3.5. Revenue.......................................................................................................................... 28 3.5.1.. Type of Revenue Streams ................................................................................. 28. 3.5.2.. Pricing Mechanism ........................................................................................... 28 iv.

(7) 3.5.3.. Ways to Generate Revenue Stream .................................................................. 28. 3.6. Key Partners. ................................................................................................................. 29 3.7. Key Resources. ............................................................................................................... 29 3.8. Key Activities ................................................................................................................. 31 3.8.1. 3.8.2.. Development of study programs....................................................................... 31. 政治大 Teaching............................................................................................................ 31 立 Marketing ......................................................................................................... 31. 3.8.4.. Sales and customer services ............................................................................. 32. 3.8.5.. Immigration assistance ..................................................................................... 32. ‧. ‧ 國. 學. 3.8.3.. sit. y. Nat. n. al. er. io. 3.9. Cost Structure ................................................................................................................ 32. Ch. i n U. v. 3.9.1.. Value-driven...................................................................................................... 32. 3.9.2.. Fixed costs ........................................................................................................ 33. 3.9.3.. Variable costs. ................................................................................................... 33. engchi. 4. PRODUCTS ........................................................................................................................ 34 4.1. Mandarin Courses ......................................................................................................... 34 4.1.1.. Kindergarten program....................................................................................... 34. v.

(8) 4.1.2.. Kids-A program ................................................................................................ 34. 4.1.3.. Kids-B program ................................................................................................ 35. 4.1.4.. Teens program .................................................................................................. 35. 4.1.5.. Adults program ................................................................................................. 35. 4.2. Private Lessons .............................................................................................................. 36. 政治大. 4.3. Mandarin Courses for Schools ...................................................................................... 36. 立. ‧ 國. 學. 4.4. Mandarin Courses for Companies ................................................................................ 37. ‧. 4.5. Summer Courses in Taiwan ........................................................................................... 37. y. Nat. al. er. io. sit. 5. Marketing Plan and Sales Strategy ................................................................................... 38. n. 5.1. Selling Proposition ........................................................................................................ 38. Ch. engchi. i n U. v. 5.2. Positioning Strategy ...................................................................................................... 38 5.3. Pricing Strategy ............................................................................................................. 38 5.3.1.. Value-based pricing .......................................................................................... 38. 5.3.2.. Price discrimination. ......................................................................................... 39. 5.4. Promotion Strategy ........................................................................................................ 39 5.4.1.. Push Marketing ................................................................................................. 39 vi.

(9) 5.4.2.. Pull Marketing .................................................................................................. 40. 5.4.3.. Search engine optimization (SEO) ................................................................... 41. 5.4.4.. Content Marketing ............................................................................................ 41. 5.4.5.. Email Marketing ............................................................................................... 42. 5.4.6.. Social Media ..................................................................................................... 43. 政治大. 6. Strategic Framework .......................................................................................................... 44. 立. ‧ 國. 學. 6.1. SWOT Analysis .............................................................................................................. 44 Strengths ........................................................................................................... 44. 6.1.2.. Weaknesses ....................................................................................................... 45. 6.1.3.. Opportunities .................................................................................................... 45. 6.1.4.. Threats .............................................................................................................. 46. ‧. 6.1.1.. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. 6.1.5.. Strategies for maximizing strengths and opportunities .................................... 46. 6.1.6.. Strategies for mitigating weaknesses and threats ............................................. 46. 6.2. Porter's 5 Forces Model ................................................................................................ 47 6.2.1.. Competition in the industry .............................................................................. 47. 6.2.2.. Potential of new entrants into the industry ....................................................... 47. 6.2.3.. Power of suppliers ............................................................................................ 47 vii.

(10) 6.2.4.. Power of customers .......................................................................................... 48. 6.2.5.. Threat of substitute products ............................................................................ 48. 7. Financial Plan ..................................................................................................................... 49 7.1. General Financial Assumptions .................................................................................... 49 7.1.1. 7.1.2.. Initial Financing................................................................................................ 49. 政治大 Prices ................................................................................................................ 49 立 Number of students ........................................................................................... 50. 7.1.4.. Other Assumptions ........................................................................................... 51. ‧. ‧ 國. 學. 7.1.3.. io. sit. y. Nat. 7.2. Startup Costs ................................................................................................................. 52. n. al. er. 7.3. Income Statement ........................................................................................................... 53. Ch. engchi. i n U. v. 7.4. Sensitivity Analysis ........................................................................................................ 54. 8. Conclusions ......................................................................................................................... 55. 9. Bibliography ........................................................................................................................ 57. viii.

(11) List of Figures and Tables FIGURE 1. WHY DID YOU STUDY ENGLISH. ............................................................................... 11 FIGURE 2. DISTRIBUTION OF THE POPULATION UN THE STATE OF QUERETARO BY AGE AND GENDER. . 15. FIGURE 3. PRICES IN THE FIRST 3 YEARS, YEARLY INCREMENT OF 5%. ....................................... 50 FIGURE 4. ESTIMATED NUMBER OF STUDENTS IN CENTER. ......................................................... 51. 政治大. FIGURE 5. AMOUNTS OF DIFFERENT SERVICES, FOR CALCULATION PURPOSES. FIRST 2 YEARS... 51. 立. FIGURE 6. OTHER FINANCIAL ASSUMPTIONS. ............................................................................. 52. ‧ 國. 學. FIGURE 7. START-UP EXPENSES ................................................................................................. 52. ‧. FIGURE 8. INCOME STATEMENT, FIRST 3 YEARS. ........................................................................ 53. n. er. io. sit. y. Nat. al. Ch. engchi. ix. i n U. v.

(12) 1. COMPANY. INTRODUCTION. Our institution is a new business venture in the city of Querétaro, México that will provide high-quality Mandarin lessons to students as young as 3 years old to business professionals. Our teaching programs are the result of the work of experienced Mandarin teachers who have had the opportunity of working in Mexico to understand the dynamics of Mexican students, their needs, and the best ways to approach and engage with them. The focus of our company is to provide a good and friendly learning environment for our students. 1.1. Mission. 政治大. 立. To transform the future of language education in Mexico by providing tools to students to. ‧ 國. 學. become true citizens of the world.. ‧. To develop and nurture every student and help them achieve personal growth, personal. io. sit. y. Nat. achievement and the best learning outcome for their individual circumstances, ability, and needs.. n. al. er. Our company strives to create life-changing and long-lasting experiences and to help the. Ch. i n U. v. students make ambitious, well-informed and broad-minded choices about the way they lead their future lives.. engchi. 1.2. Vision 2019: Establish our first center in the city of Querétaro with study plans in place for students of all ages. 2025: Become one of the leading language education centers in Mexico that provides the opportunity for our students to reach out to the world; open a new center in one new city, such as in Tijuana, Baja California. 1.

(13) 1.3. Objectives. 1.3.1. General To be one of the leading language education centers in Mexico, aimed towards middle and high class, primarily in the city of Querétaro, México.. 1.3.2. Specific . Position our Institute as the top choice for those who decide to study a new language,. 政治大 Establish a solid base of customers and by year 1 start offering our services to education 立 serving as an alternative or complementary to English language.. . ‧ 國. . 學. institutions to embed our programs into their curriculum.. Achieve increases in sales revenues of 10-15% every year in the first 5 years.. ‧. 1.4. Key Success Factors. Nat. y. Location – We have chosen to start the operations of our institution in the City of. sit. . n. al. er. io. Querétaro. Querétaro is placed as the 5th most competitive state in Mexico1. It is the first. i n U. v. place in the Innovation sub index, third in the government sub index and sixth in the. Ch. engchi. economy sub index. The sub index of Innovation measures the capability of the states to successfully compete in the economy of the country; particularly in sectors with high added value, knowledge-intensive and cutting-edge technology.2 A state with the most innovative economic sectors can attract and retaining more talent and investment. As a specific location for the institute it is proposed to start operations in the vicinity of 1. Índice de Competitividad Estatal (ICE 2016) del Instituto Mexicano para la Competitividad, A.C. (IMCO). This. index, through 100 markers, grouped in 10 sub-indexes, measures different dimensions of competitivity, and evaluates the capability of each state to attract and retain talent and investment. 2. Ibidem. Chapter X. INNOVACIÓN Y SOFISTICACIÓN EN LOS SECTORES ECONÓMICOS 2.

(14) Loma Dorada. The area is characterized for having access to the main streets in the city such as Bernardo Quintana, Los Arcos, Zaragoza, Constituyentes, México-Querétaro Highway and the Libramiento Sur Poniente. This area has shown great development in urbanization and design as well as the general landscape of the zone. Currently, residential properties in Loma Dorada are valued between $2.5 Million pesos3 and $20 million pesos4.. 政治大. This residential area is perfectly located: it is 5 minutes away from commercial areas,. 立. restaurants, hospitals and schools. And 10 minutes away from Querétaro’s downtown.. ‧ 國. 學. . Importance of Mandarin language in modern landscape – When it comes to the. ‧. world's ten most spoken languages, numbers tend to vary considerably between sources.. sit. y. Nat. According to Ethnologue, Chinese is by far the most spoken language across the world. io. er. with 1.28 billion speakers.5 International businesses prefer to hire people who speak more than one language. China has become a huge market, and business leaders are. al. n. v i n Cspeak looking for people who can and operate successfully in a Chinese cultural h e Chinese ngchi U context. Knowing Chinese may give you an edge when competing for an important position. . Native Taiwanese teachers with experience teaching foreign students – The profile of the teachers sought after for the instruction of our classes are Taiwanese, graduated with a teaching related degree or applied Chinese. Professional experience not required. 3. $136,766.00 USD / $3,985,655.00 NTD. 4. $2,094,133.00 USD / $31,885,245.00 NTD. 5. Ethnologue. Languages of the world. Summary by Language Size. https://www.ethnologue.com/statistics/size 3.

(15) but desirable. Above all, a person with strong character and adaptability. Interested in exploring new countries and most importantly a true passion for education. . Result-oriented teaching plans that are specific for different ages and specific learning stages – Our Academic Director and lead teacher Emily Liu (YiZhen Liu) is an experienced professional in language teaching. She has over 4 years of experience working in Mexico as a Mandarin Language teacher. She has taught groups of children. 政治大 teens and adults. Professor Liu is responsible for the creation of a series of books for the 立. in private schools in Toluca, Estado de México. She is equally experienced teaching. ‧ 國. 學. instruction of Chinese language lessons to children in the kinder garden level. She has. also developed teaching plans for lessons directed to kids and adults in all stages of their. ‧. language training. She will be responsible of the creation of the programs taught in our. y. sit. Relationship with the Taipei’s Economic and Cultural Office in Mexico – Taipei’s. io. er. . Nat. institution as well as the selection of the talent that will constitute the teaching staff.. Economic and Cultural Office in Mexico (Oficina Económica y Cultural de Taipei en. al. n. v i n C and México) has a permanent contact with Taiwanese nationals in Mexican h eclose ngchi U. territory; as well as having always supported and strived for the development of missions that promote the culture, language and activity of Taiwan in Mexico. We have personally met the Head of Mission, Director of the Office S.C. Carlos Liao who will support the venture described in this document. . Relationship with different universities and language centers in Taiwan – Through previous personal and professional experiences, the author of this thesis, as well as Professor Liu have met different Universities in Taiwan and their Language Centers. These Institutions will serve as source for the talent we expect to hire for our own project, 4.

(16) as well as being partners for the development of future international programs, like cultural trips and language courses for Mexican students to visit Taiwan. . Knowledge of a comprehensive network of Chinese language professors in Mexico and Taiwan – In relation with the preceding point, professor Liu personally knows and have trained Chinese language teachers who have had previous experience in Mexico and have expressed their interest in going back to Mexico.. . Customer management – Native teachers, effective teaching programs, adequate. 政治大. material, achievable goals for the students like certifications, and trips to Taiwan will. 立. enable us to have a good customer relationship retention and optimization. The most. ‧. ‧ 國. service.. 學. effective way to keep customers is to make them as successful as possible in using our. sit. y. Nat. 1.5. Service Overview. io. er. Our goal is to provide effective teaching of Chinese language, enabling our students to have more and better opportunities professionally and academically; broadening their horizon as of. al. n. v i n C htheir future throughUlearning mandarin. We will be set in a what possibilities they can have for engchi growing and urbanized area, with a population of considerable acquisitive power. We will provide quality in teaching, in our materials, always with a competitive price.. The institution will have specific programs for different age groups, like kinder garden, primary school, secondary school, teens and adults. Each one utilizing materials appropriate for their ages and cognitive reach. Our institution will offer a modern and comfortable environment. The classrooms are going to be designed to hold small groups; we want to offer our customers the guarantee of studying in 5.

(17) small groups for a greater personalization of the experience. Classrooms will be equipped with the sufficient elements for the development of the classes, we will make use of technological tools and constantly be looking for the most innovative resources that can improve the experience of our students in the classroom. Our reception will be welcoming and enabled for services that can generate additional streams of revenue for the institution. 1.6. Company Ownership. 立. 政治大. The company will be constituted as a Sociedad de Responsabilidad Limitada de Capital. ‧ 國. 學. Variable 6 , according to the laws in Mexico. Sociedad de responsabilidad limitada is the organization constituted between partners that are only responsible for the payment of their. ‧. contributions, but the parts of the organization are not represented by negotiable titles of. Nat. sit. er. io. allows7.. y. property or credit; these can only be forfeited or transferred in the specific cases that the law. al. n. v i n C h (S. De R. L.)Uand the Sociedad De Responsabilidad Sociedad De Responsabilidad Limitada engchi. Limitada De Capital Variable (S. De R.L. De C.V.) are nonnegotiable stock limited liability corporations of two or more persons whose liabilities for acts of the corporation are limited to their capital contribution. The abbreviation "S.A." or "S. De R.L.. De C.V." after the name of the company merely indicates that the company is incorporated under this corporate form in the way "inc:' is used in. 6. Ley General de Sociedades Mercantiles. Capítulo IV. Articles 58-86. Last published reform of February 24 th,. 2018. 7. Ibidem. Art 58. 6.

(18) the United States. The addition of "De C.V." indicates that the corporation has variable capital, which simply means that the corporation may increase or decrease its capital stock within the limits established by the corporation's by-laws, without having to formally amend its corporate charter. Most corporations, regardless of their form, will opt for variable capital because of this added flexibility. Our institution will be owned in equal parts by Carlos Orlando Cruz Pérez and YiZhen Liu.. 政治大. 1.6.1. Management team and staff. 立. Co-Chief Executive Officer. Administration. Carlos Orlando Cruz Pérez. Committed,. 學. ‧ 國. . qualified and talented business administration, sales and customer service professional, with Legal background, with over 5 years of experience. Proven ability to combine. ‧. vision, ingenuity, and strong business acumen with well-developed leadership qualities. Nat. sit. y. to successfully support the sales of services and products, business administration, and. n. al. er. io. customer satisfaction. Focused on results and the development of the people around me.. i n U. v. With strong experience in education services, specifically in a mandarin teaching. Ch. engchi. institution. Passionate about enabling students to fulfill and thrive academically and professionally. . Co-Chief Executive Officer. Academic Affairs. YiZhen Liu. Yizhen Liu or Miss Emily as most of her students refer to her is a Taiwanese educator. Dedicated to spreading the mandarin language and educating kids with the best programs available; when they are not available or do not serve the student, she will create them. She is passionate about quality education, creating good conditions for the teachers to work, and designing adequate material for the best development of the students in mandarin language 7.

(19) learning. She has had previous experience working in Mexico, leading students of all ages and presenting outstanding results. The staff of the institution will be oriented with the same vision and philosophy of the directors and will include, but not be limited to: . Teaching staff, professors, responsible for the instruction of our courses.. . Office Manager.. . Receptionist.. . Sales and marketing team.. . Cleaning staff.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. 8. i n U. v.

(20) 2. MARKET ANALYSIS 2.1. Industry Overview In Mexico, the industry for Chinese Language Learning is very limited and virtually inexistent; the more adequate category would be generally, Language Learning, as a whole. In which English has the most dominant position. Despite its shared border with the United States, Mexico has a challenge with limited English. 政治大. language proficiency. It ranks below several other Latin American nations for English ability8.. 立. A study conducted for 6 years found that the percentage of adults that are able of speaking. ‧ 國. 學. another language is 13%. Although a generational gap was found; meanwhile 19% of adults under the age of 30 were proficient on a second language, among adults above 50 years of age,. ‧. the percentage was only of 6%9.. y. Nat. io. sit. In Mexico, factors like education level or socio-economic position are determining when. n. al. er. accessing to another language; this is clear when we observe that 38% of University students. Ch. i n U. v. are proficient in a second language, a tendency that is repeated in the 33% that belongs to higher. engchi. socioeconomic level and is proficient in a second language10. Urbanization also has an important role when accessing to studies in a second language. In urban zones, 16% of the population claims being proficient in another language, meanwhile in rural zones, the part of the population that can speak a second language amounts only to the. 8. Mexican Institute for Competitiveness (IMCO). 9. Consulta Mitofsky. ¿Habla usted otro idioma además del español? 2015. www.consulta.mx/¿Habla usted otro. idioma además del español? 10. Ibidem 9.

(21) 4%11. This as well translates into a small population for people who can effectively train English language, let alone, any other language. We find paramount to fill those spots with Taiwanese natives since local practitioners lack the proficiency to be trainers. A 2015 study by the British Council – English in Mexico: An examination of policy, perceptions and influencing factors12 – found that the size of the language learning market in the country. 政治大. is approximately 23.9 million people, including every level and type of study from public. 立. schools to private institutions to self-access channels. This is equivalent to about 21% of the. ‧ 國. 學. Mexican population.. ‧. Having not coming to existence a dominant institution or system that dominates the Chinese. sit. y. Nat. language teaching part of the industry, our institution can position itself as the institution that. io. er. grabs the position. Additionally, the lack of statistically significant data to assess the potential impact of Chinese language in Mexico, data retrieved from a study made by the British Council. al. n. v i n C English indicates that people who had learnt it: 45% to improve their employment prospects; h e n did gchi U 43% as they needed to acquire English as a skill for university; 22% as it allowed them to access more information sources; 11% as it was necessary for their job, 9% to travel, 8% as they were encouraged by their friends and family, 8% so they could create a wider personal and professional network, 3% said it could help them gain social standing13.. 11. Ibidem. 12. English in Mexico: An examination of policy, perceptions and influencing factors. British Council. May 2015. 13. English in Mexico: An examination of policy, perceptions and influencing factors. British Council. May 2015.. P34 10.

(22) Figure 1. Why Did You Study English.. 立. 政治大. ‧. ‧ 國. 學. Source: British Council, Education Intelligence, Latin America Databank 2014. sit. y. Nat. io. er. Figure 1 shows that the Mexican consumer, in search for proficiency in a foreign language expects an improvement in their professional career. And it has been true, Mexico and China,. al. n. v i n Cahmanufacturing country, for example compete nowadays as e n g c h i U disputing the market in the United States of America. China is the second place, after United States of America, as country of origin of Mexican imports14 It has been a recurring topic in the 2017-2018 political landscape the renegotiation of the North American Free Trade Agreement (NAFTA), the implementation of sanctions and tariffs for products going into the United States and even a symbol of the current presidency in the United States has been the construction of a wall in the southern border of the United States of America.. 14. MIT. “Origins- Mexico,” Observatory of Economic Complexity. 11.

(23) It seems to be a divorce between the Mexican and American economies. Thus, two potential solutions circulate among the public opinion. The first consist in strengthening the domestic market. In other words, it is needed that Mexico consumes more from the local industries to detonate new business opportunities. The second solution pretends to promote the diversification of the Mexican international commerce, taking greater advantage of the existing commercial treaties, and seeking for new ones. Countries like Japan, Germany. 政治大. and China have reached to Mexico in a display of support.. 立. More specifically, Mexico and China have built bridges from 2001 to 2006 to facilitate the. ‧ 國. 學. creation of binational committees that will establish permanent dialogue mechanisms15. Despite all the complications and tribulations, the decision of keeping an open dialogue between Mexico. ‧. and China provides certain degree of certainty, necessary to face the challenges brought by the. Nat. sit. er. io. of maturity.. y. Trump Administration in the United States. The Sino-Mexican relationship is reaching a stage. al. n. v i n Clanguage Not having a proper player for the industry in Mexico that specializes in the h e n gtraining chi U. instruction of Chinese language, given the socio-politic moment we are going through, represents an opportunity for our company to successfully stablish and more importantly, to thrive in the Mexican Market. 2.2. Querétaro and the Language Learning Industry Querétaro, officially Estado Libre y Soberano de Querétaro16, is divided into 18 municipalities.. 15. Cornejo, R., “México y China: Diplomacia, Competencia Económica y Percepciones,” International Forum,. Vol. 48, No. 1/2 (191/192) (Jan. – Jun., 2008), pp. 330-351. 16. Free and Sovereign State of Querétaro 12.

(24) Its capital city is Santiago de Querétaro. It is strategically located in North-Central Mexico, in a region known as Bajío. It is bordered by the states of San Luis Potosí to the north, Guanajuato to the west, Hidalgo to the east, Estado de México to the southeast and Michoacán to the southwest. Santiago de Querétaro, known simply as Querétaro, is the capital and largest city of the state of Querétaro. Querétaro as a city represents an excellent opportunity for business and, particularly, Chinese language institutions. As it has been mentioned previously, education level is determining when. 政治大. accessing to another language income, population is more prone to learning a language different. 立. from Spanish17. Population in Querétaro seems as an ideal customer for Chinese language, the. ‧ 國. 學. state occupies an important place in competitiveness and innovation. Querétaro is a state with a higher level of education. According to IMCO (Mexican Institute for. ‧. Competitiveness), in their competitiveness study of the states in Mexico, 25% of the schools in. Nat. sit. y. Querétaro were graded as “GOOD” or “EXCELLENT”18 in the test PLANEA applied by the. n. al. er. io. Mexican Ministry of Education. And in the same test, Querétaro has around 30% of the students. i n U. v. in the country graded as “GOOD” or “EXCELLENT”19 in the individual grades.. 2.2.1. Economy. Ch. engchi. The City of Querétaro has repeatedly been recognized as the metropolitan area with the best quality of life and as one of the safest cities in Mexico and as the most dynamic in Latin America. It is a strong business and economic center and a vigorous service city that is experiencing an. 17. Consulta Mitofsky. ¿Habla usted otro idioma además del español? 2015. www.consulta.mx/¿Habla usted otro. idioma además del español? 18. Mexican Institute of Competitiveness. State Competitiveness Index. Inclusive Society, educated and healthy. chapter. Quality School sub-index. 19. Mexican Institute of Competitiveness. State Competitiveness Index. Inclusive Society, educated and healthy. chapter. Academic Performance sub-index. 13.

(25) ongoing social and economic revitalization. Querétaro has seen an outstanding industrial and economic development since the mid-1990s. Querétaro metropolitan area has the 2nd highest GDP per capita among Mexico's metropolitan areas with a little less than 20,000 USD2021. The city is the fastest-growing in the country, their economy is based on IT and data centers, logistics services, aircraft manufacturing and maintenance, automotive and machinery industries, and the production of chemicals and food products. The region of Querétaro also has a rapidly growing vineyards agriculture22. Wine production in Querétaro is now the second largest in. 政治大. Mexico after that of the Baja California region.. 立. All this has caused the city and the metropolitan area to attract many migrants from other parts. ‧ 國. Aerospace,. 學. of Mexico and the world. Querétaro is the host for major corporations such as Bombardier Kellogg's,. Samsung. Electronics,. Daewoo,. Colgate-Palmolive,. Harman. ‧. International Industries, General Electric, Michelin, Tetra Pak, Siemens Mexico, New Holland,. Nat. sit. y. ArvinMeritor, Autoliv, TRW Automotive, Tremec, Valeo, Funai, Procter & Gamble, Nestlé,. n. al. er. io. Pilgrim's Pride, Santander Bank's call center for Latin America, Mabe Mexico, Irizar, Scania,. i n U. v. Hitachi, Kostal, Aernnova, Dana, Dow Chemical, Bose, Alpha Hilex, Saint-Gobain, Flex-N-. Ch. engchi. Gate, and ThyssenKrupp, among others23.. 20. PIB de Querétaro, con tendencia de aceleración. https://www.eleconomista.com.mx/estados/PIB-de-Queretaro-. con-tendencia-de-aceleracion-20180117-0182.html. January 2018 21. PIB per cápita en el municipio de Querétaro está 108 por ciento arriba del nivel nacional.. http://codigoqro.mx/2017/05/11/pib-per-capita-en-el-municipio-de-queretaro-esta-108-por-ciento-arriba-delnivel-nacional/. December 2017 22. Producción de vino, ancla turística en Qro. https://www.eleconomista.com.mx/estados/Produccion-de-vino-. ancla-turistica-en-Qro-20180223-0004.html. February 2018 23. Companies Manufacturing in Queretaro, Mexico. https://insights.offshoregroup.com/queretaros-. manufacturing-industry 14.

(26) 2.2.2. Demographics and Segmentation The city of Querétaro has a total of 878,931 inhabitants which are distributed in 431,607 males and 447,324 female individuals 24 . The distribution of these inhabitants is adequate for the development of education activities and additional training. Queretaro is a State with higher degree of education and overall income. It has shown to be particularly attractive for industry to be stablished in the state and city of Queretaro due to its level of innovation, education and prosperity. Queretaro is a young and educated state, which makes it the ideal candidate for the. 政治大. development of our entrepreneurial venture. The next figure shows the distribution of the. 立. population by age of interest for our institution, with attention to the younger part of the. ‧ 國. 學. population.. Figure 2. Distribution of the population un the State of Queretaro by age and gender.. Female. sit. y. Male. n. 2,038,372.00 2,038,372.00 2,038,372.00 9.34% 4.82% 4.51% al v 4.65% C h 9.42% U n i 4.77% e9.20% ngchi 4.64% 4.56% 9.77% 4.85% 4.92% 8.30% 3.96% 4.34% 32.66% 15.41% 17.26%. er. io. Total Population Age 5-9 Age 10-14 Age 15-19 Age 20-24 Age 25-29 Age 30-49. Querétaro. ‧. Nat. Age Group. Source: Anuario estadístico y geográfico de Querétaro 2017. Querétaro’s statistic and geographic annual report 2017. Instituto Nacional de Estadística y Geografía, Gobierno del Estado de Querétaro.. 24. Anuario estadístico y geográfico de Querétaro 2017. Querétaro’s statistic and geographic annual report 2017.. Instituto Nacional de Estadística y Geografía, Gobierno del Estado de Querétaro. 15.

(27) 2.3. Industry Players There is an estimated number of 26 language institutes in the city of Querétaro, where the predominant language taught and practiced is English. There were 3 schools that offer Chinese language in Querétaro, however, their main products are English and occasionally French and German. With regard to these schools offer Chinese language courses, they do it by demand: getting the teacher when a considerable number of students is registered. They claim the professor is native, but at the moment of this report, it has been confirmed that it is not always. 政治大. the case. . 立. Globoworld. Language Conversation Group 25 . This institution locates in downtown. ‧ 國. 學. Queretaro. According to its website, it offer classes for kids, moms and students and companies. Its methodology focuses on the development of conversation skills. The academical offer of. ‧. Globoworld has English, Spanish, French, German, Portuguese, Mandarin, Italian, Korean,. sit. y. Nat. Japanese, Russian.. n. al. er. io. There is no clear idea of the characteristics of its classes; there are indications that its groups. i n U. v. open when multiple students register. One seems to be able to take his or her classes anywhere,. Ch. engchi. even by the phone, which leaves room for interpretation as of the characteristics of its services. Information has been requested for costs, characteristics of the groups and classes, and information about the teachers. There has been no response. . Language Services Center. Escuela de Idiomas 26 . Located in downtown Queretaro.. They offer a wide selection of courses in languages, as well as interpretation services and translations. The principal of the institution, Carlos Alvarado, describes their language services. 25. Globo World. http://thegloboworld.com/. 26. Language Services Center. Escuela de Idiomas http://www.languageservicescenter.com.mx/index.html 16.

(28) as flexible and adaptable to the needs of the students. They offer English, French, Italian, Portuguese, German, Korean, Russian, Arabic, Japanese, Mandarin, sign language and Spanish. Their professors are Mexican. Carlos Alvarado, 31 years of age, professor, translator and principal. He teaches Spanish, English, French, Italian, Portuguese, German and Japanese; Erick García, 24 years of age, professor, translator and interpreter. He teaches Spanish, English, French, German, Mandarin and Japanese; Karla García, 24 years of age, professor and academic coordinator. She teaches Spanish, English and French; Luis Rodrigo Pesce, professor. He teaches English and German.. 立. 政治大. The institution did not provide cost for their service.. ‧ 國. 學. . Languages International. Escuela de Idiomas27. Also located in downtown Queretaro.. According to their website they offer classes for all ages and companies; summer courses; they. ‧. offer their services to schools and homework clubs for English courses; preparation for. Nat. sit. y. certification exams in English and French; and translation and interpretation services. Their. n. al. er. io. methodology is not described on their website. The academical offer, according to their public. i n U. v. information, includes English, Spanish, French, German, Portuguese, Mandarin, Italian, Arabic,. Ch. engchi. Hindi, Polish, Danish, Japanese and Russian.. There is no clear idea of the characteristics of their classes, they have confirmed to have individual or group lessons, with flexible schedules and native professors, however the information hasn’t been confirmed. Information has been requested for costs, characteristics of the groups and classes, and information about the teachers. Their cost per hour-class is $300 MXN28.. 27. Languages International. Escuela de Idiomas.. http://www.escueladeidiomasqueretaro.com/index.html#languages-queretaro 28. $16.45 USD 17.

(29) An advantage that these institutions provide to the project described in this work is that they all offer Spanish lessons for foreign people. Since the profile we will be looking for our teachers is that they are Taiwanese, graduated with a teaching related degree or applied Chinese, having institutions at hand for Spanish lessons will allow us to offer additional services for our academic staff, helping them to adapt to the lifestyle in Mexico.. 2.4. Business Opportunity My objective is to setup a new institute for the teaching of Mandarin Language Center in the. 政治大. city of Querétaro, México. This venture was chosen due to my passion for the education industry,. 立. specifically for language service businesses, in which I have had a firsthand experience in. ‧ 國. 學. Mexico. Besides, I have access to a network of mandarin teachers in Taiwan and have knowledge of the providers and publishers necessary to have a running language school. We. ‧. have an immediate source of comprehensive and very-well adapted education plans to cover. Nat. sit. y. the necessities of students of all ages. It is planned that the first target segment of the population. al. n. professionals.. er. io. would be kinder-garden students and teens; designing later programs ideal for adults and. Ch. engchi. i n U. v. The population of students in ages ranging from 5 to 15, which is the group intended to target first, is a growing segment in the state of Queretaro29 and particularly in the capital city. More importantly, these are children and potential students whose parents are – generally – in their early 30´s to early 40´s; this is an important indirect target segment. These are parents who understand the importance of learning a second language, whose personal work experience may have led them to understand also that Chinese language represents an opportunity of. 29. Anuario estadístico y geográfico de Querétaro 2017. Querétaro’s statistic and geographic annual report 2017.. Instituto Nacional de Estadística y Geografía, Gobierno del Estado de Querétaro. 18.

(30) competitiveness for their children. I further observe that there is a movement starting in Queretaro, where more language schools are offering Chinese language; and our institution can capitalize from that. Although English remains as one of the most dominant languages to learn in Mexico, it is estimated that around 13% of the population learns another language different from Spanish; and in total, less than 5% of the population in Mexico is English-proficient30, opening the door for a proposal that can be innovative and accessible to the public. In México, Mandarin is. 政治大. frequently considered as the key to success, markets for Chinese speaking professionals are. 立. increasing and it appears to be, not just a complementary language to English, but rather an. ‧ 國. 學. entire alternative. In order to find a Mandarin course however, the majority of people learn in Language centers with Mexican professors who may have had previous travel or education. ‧. experience in Chinese speaking countries; in other cases, Chinese or Taiwanese individuals may. Nat. sit. y. offer mandarin lessons individually. In both cases, these people is often unprepared, with no. n. al. er. io. credentials to properly teach and don’t have the appropriate material for this task.. i n U. v. What we offer is high-quality mandarin language education with an affordable tuition fee, but. Ch. engchi. more importantly, with high quality education, comprehensive programs and native professors with the adequate credentials to lead in a classroom. The selected location, Queretaro, is the 5th most competitive state in Mexico where population has access to higher education and has also become Mexico’s innovation center.. The industry is signaling a need for professionals who are. 30. “Inglés es posible: Propuesta de una Agenda Nacional”; 2015; p16; IMCO 19.

(31) proficient in Chinese language.. It has become increasingly interesting for Chinese companies to stablish their operations in Mexican territory. Companies like Cheerson and Huawei have operations in the metropolitan area of the state, this is due to the fast-growing industry environment in Queretaro. Industry has grown too, increasing from 428 companies in 2003 to more than 1,300, companies by the end of 2013. “That’s an increase of 208% on foreign direct investment (FDI)” said Hugo. 政治大. Mandujano, director of Investment Promotion for the State of Querétaro in an interview for. 立. IndustryWeek31; he continued “A lot of this is thanks to a continued commitment to development. ‧ 國. 學. and education, because the goal of the government in Querétaro is have the highest percentage of educated people in the whole country. That makes a big difference for us. Previous governors,. ‧. previous administrations, probably going back two or three of administrations, helped set up. Nat. sit. y. goals and milestones in terms of trying to achieve competitiveness within the state. So, we have. n. al. er. io. made great efforts to put the proper infrastructure and support for education, in place.”. i n U. v. The arrival of Huawei, as a leading company in communications, will contribute to the arrival. Ch. engchi. of more companies from Chinese origin. Huawei’s investment was announced for 1500 million dollars, over 5 years, for the construction of 6 technology and service centers, for of which Will be located in Queretaro only32. Similarly to Mexico, China is also a country that is shifting in this economy, deaccelerating the impulse for manufacturing towards service and finish goods industries. These changes demand new strategies, not only from the government, but from the population and institutions like ours. 31. Why is Industry in Querétaro, Mexico Growing so Quickly?. http://www.industryweek.com. 2014. 32. Querétaro se abre a inversión china. https://www.eleconomista.com.mx 20.

(32) to design study plans that can capitalize on this opportunity. The pursuit of more competitive education here in the region, an education focused on competencies, is key. A growing economy, a highly educated population, and a thriving industrial panorama establishes the base for a Chinese language center in Queretaro. It demands, that this institution is dedicated, professional and innovative. With native-speaking professors, graduated from Taiwanese Universities with a degree in education or applied Chinese, we can achieve high levels of quality education.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. 21. i n U. v.

(33) 3. BUSINESS MODEL 3.1. Value Proposition “Ofrecemos el idioma del futuro, hoy” “Maestros nativos, programas diseñados para ti, aprende el idioma que más gente habla en el mundo”. “We bring the language of the future, today”. 治政 “Native-speaking teachers, comprehensive programs designed 大 for you, learn the language most 立 people in the world speaks” ‧ 國. 學. 3.2. Customer Segments. ‧. In Mexico, the most prosperous economic sectors are automobile industry, education and training, energy, construction, telecommunications and tourism33.. y. Nat. io. sit. The behavior of the consumer in Mexico has evolved as the country has peaks of prosperity and. n. al. er. access to services. Although the acquisitive power of the Mexican consumer has grown, so has. Ch. i n U. v. the prices of products and services. For this reason, people seek for higher-quality products and. engchi. services, for those that give value for their expense. Consumers wishes to create relationships with the brands, for which customer service is a powerful factor to consider in the purchase decision of people. A McKinsey survey shows that consumers in Mexico have responded actively when the country has experience economic: over 70 percent of Mexicans said they have cut spending. Mexican consumers reported that they had changed their purchasing habits and had significantly reduced. 33. México: Llegar al consumidor. Santander Trade. santandertrade.com/analizar-mercados/mexico/llegar-al-. consumidor 22.

(34) their outlays in the leisure and travel categories. Education is one important exception in Mexico: over two-thirds of the country’s consumers have increased their spending on school supplies, and significant minorities are spending more on extracurricular activities (45%) and remedial classes (39%)34. In response to these characteristics, Our first target customers are middle and high-income families that have an income of more than $50,000.00 MXN35 per month; to families composed of parents who are from 30 to 45 years old, with children 5-17 years old, studying at primary,. 政治大. secondary schools and high-schools in in the metropolitan area of the city of Querétaro. More. 立. specifically, our targets are parents who are professional office workers or parents who are self-. ‧ 國. 學. employed, who are well-educated with at least a bachelor’s degree, sophisticated buyers, with skills of technology and knowledge of events occurring in the world, who are more open-. ‧. minded to new things in the first period of product launching. Theses urban families spend. Nat. sit. y. between 3 to 7% of their monthly income for children’s education. They are characterized by a. n. al. er. io. new urban lifestyle, living in the area of Loma Dorada in the city of Queretaro.. i n U. v. An equally important segment we plan to target is the students of 18 years of age and above,. Ch. engchi. university students who wish to have a competitive edge in the labor market. They tend to beare English-language proficient and wish to learn another language.. 3.3. Channels . A direct sales channel will include our sales force visiting our customer segment and. bring them in, this may include private schools, youth centers, universities and companies (parents of the students).. 34. Understanding Mexico’s evolving consumers. McKinsey&Company. 2012. 35. $2750.00USD 23.

(35) . A website is another direct channel that can be under the company’s control. We can use. this mean to convey the messages and content created by the institution itself for the consumption of students. . At the center, it is imperative to generate leads when people visit the center to ask for. information. . By employing our own channels, we can create a direct relationship with the customer,. and also generate higher profit margins. However, you will require more investment to create. 政治大. the infrastructure to deliver your product to the market, and the production to market loop will. 立. be slower.. ‧ 國. 學. . Additionally, we will leverage from partners and their channels; we will use the platform. of schools where students from those institutions can have a special deal when registering in. ‧. our institution, this way schools can advertise our services without being there. We offer a. Nat. sit. y. benefit for the school as for the student.. n. al 3.4.1. Reaching customers. er. io. 3.4. Customer Relationships. . Ch. engchi. i n U. v. Content Marketing. It is of extreme importance to constantly be issuing content relevant for creating a movement. To transmit the importance of the mandarin language, we will continuously deliver important information related to the language, and specially to convey the message that learning Chinese is easy, learning Chinese will prepare you for the future, learning Chinese will give you a competitive advantage at academic and professional levels.. . Search Engine Optimization. More and more its proven the importance of technology in business. SEO will allow our institution to create a name and keep information relevant to and available online; which is the way we consume media, get information 24.

(36) and validate purchasing decisions nowadays. The more people are exposed to our institute’s name and brand; and more importantly, share it, the higher our content will rank in search results, which is one of the most effective ways of getting our institution noticed by our customers. . Email marketing. From content creation and SEO, we can effectively start creating traffic on our web platforms. This traffic can give us access to a rich resource of potential customers. When customers subscribe to receive information and news regarding our. 政治大. services, we will be able to potentially acquire customers without having to invest in an. 立. extensive sales force. Ideally, to get those customers who were indecisive about the. ‧ 國. . 學. language.. Social Media. social media can elevate the recognition of our institution significantly in. ‧. our target customer segment’s estimation. Social media platforms like Facebook and. Nat. sit. y. twitter will provide the institution with an important tool of communication with current. n. al. er. io. and potential customers, these are also a good platform for sharing the content we create.. i n U. v. Other platforms like blogs or YouTube are ideal for creating content that people can. Ch. engchi. access to and generate interest for our services.. All these instances will be supported by analytics and will be adjusted over time, maximizing their impact.. 3.4.2. Retaining customers . Customer success management. Combining the high-quality teaching plans with the capable, we pretend to create an environment in which the customer can aspire to having tangible knowledge, measurable and progressively improved. We have foreseen the possibility of having official certifications in Chinese language proficiency; test like the Test of Chinese as a Foreign Language adjust to the Common European Framework of 25.

(37) Reference for Languages. . Showing results. Having satisfied customers who are learning is important for any education institution, however we must create a platform through which our current students can show their progress and learning. We believe is imperative that they participate in our content creation exercises.. . Customer Service. Since we are aiming towards a middle-high and high-end market segments, we understand the importance of providing excellent customer service. This. 政治大. service must reflect the qualities that our customers see in themselves and the. 立. expectation they have for the outcome of the courses.. ‧ 國. 學. . Continuous and permanent improvement, open communication with our customers. Addressing the pain points of our customers and resolving problems with our services. ‧. for them, will translate in retaining them for much longer.. Nat. y. Discounts and loyalty benefits. Providing discounts for the customers who pay longer. sit. . n. al. er. io. periods for their customers will invite them to remain with us longer; more importantly,. i n U. v. will incentivize others to do the same to make the best of a discount. Special prices for. Ch. engchi. customers who have been with us longer time or those who have siblings registered with us will also be considered as a good service by the customer. . Classes with small groups, will improve the quality of the teaching-learning process; teachers can do their job in a favorable environment and students can receive more attention in their learning. The more time a member of staff –academic or administrative– spends with the customer, getting to know them and therefore providing a level of personalization, the more likely it is to reassure the customer that the company truly knows them and therefore keep pulling them back to the brand.. . Culture activities and communal activities. Getting our customers engaged in the 26.

(38) learning of the language happens in the classroom; however, we believe that the customers wish to participate in activities that educates them on cultural aspects related to the language. Traditions coming from Taiwan or China can be taught to our students to keep their interest growing for the learning of the language. Likewise, having our foreign teaching staff engaged in Mexican traditions and activities will invite our students to interact in a more casual manner with them and share their own traditions and promote exchange. . 政治大. Through our relationship with the Taiwanese representatives in Mexico we will seek for. 立. scholarships and possibilities to travel to Taiwan to continue and reinforce their learning. ‧ 國. 學. experience. These are not only achievable goals for students, but we would be granting these benefits to students with higher level and those who have been part of the. ‧. institution the longest. This is another effective way to invite our customers to remain. sit. y. Nat. with us.. n. al. er. io. 3.4.3. Growing customers. i n U. v. For us to continue to sell to our customers we have some bi-products that can be of interest for our current base of students. . Ch. engchi. Private lessons, these are important for students who wish to continue to be invested in the learning progress, they want to improve in a series of skills that their teacher may have detected that needs to be worked on, these will come at a premium price.. . Additional learning material. Additional to the books and in-class materials, we will sell books and media for the students to consume. These are going to maintain the student engaged and serve as a new stream of revenue.. . Summer programs, these summer programs are going to be related to the scholarship programs from the Taiwan Office, their characteristics will depend on the university that 27.

(39) is hosting the program in Taiwan. The summer programs can signify and aspiration for the students as a medium-term goal in their learning of the language. . Siblings discount, when siblings or relatives register together there are going to be discounts in place, inviting the impulse of having more people registered at once.. . Referral program, when students bring new students to the institution, they will be granted discounts and benefits for their contribution. It will create interest in students actively participating in the promotion of the institution, in exchange of discounts and benefits.. 立. 學. ‧ 國. 3.5. Revenue. 政治大. 3.5.1. Type of Revenue Streams. Recurring Revenues, our customers will have to pay a registration fee. After that, they will have. ‧. to continue to make monthly payments in exchange for the services in the center.. y. Nat. sit. 3.5.2. Pricing Mechanism. n. al. er. io. We will use fix pricing, based on the customer segment it will serve. This is adjusted to our. i n U. v. policy of having especial programs for different age groups and product. We will serve kids,. Ch. engchi. teens, adults, professionals, schools and companies.. 3.5.3. Ways to Generate Revenue Stream . Asset sales. Books and materials. Every student will have to buy a set of books to participate in class, these books will belong then to them, their materials will change according to their age group and proficiency level.. . Subscription fees. Monthly fees. Our students will make monthly payments; these payments will represent their access to their classes. When not making a payment in the correspondent due date, a commission fee will be charged. Special pricing can be considered when making the payment of multiple months or yearly payments. 28.

(40) 3.6. Key Partners. . Universities in Taiwan. These Universities will provide different key resources for our institution. Collaboration agreement with these institutions can benefit our venture with summer programs where we can send our students, these programs can be custom made for us and provide all the amenities that our students expect from the quality level of our institution. Additionally, these universities will be the main source of our teaching staff, graduates who wish to have international experience will be attracted to participate. 政治大. in our institution in an environment where they can develop their teaching skills.. 立. . Education institutions in Querétaro. We have the objective to introduce our programs in. ‧ 國. 學. schools of all levels; however, when that is not possible, we will stablish an agreement with the institutions to allow us to promote our center in their facilities and to their. ‧. communities, offering discounts and loyalty programs for their students. In this way we. Nat. io. the door for direct collaboration with them.. al. n. . er. sit. y. can start generating a new culture among their students and possibly in the future, open. i n U. v. Taipei’s Economic and Cultural Office in Mexico (Oficina Económica y Cultural de. Ch. engchi. Taipei en México). Will support the development of this venture as an exercise of spreading the knowledge of the culture and language of Taiwan Mexico, as well as being the provider of scholarships and academic programs for our students as part of their aspirations in learning Chinese language.. 3.7. Key Resources. . Knowledge of the industry. YiZhen and I have worked for over 5 years in the Chinese learning industry in Mexico, we have had a first-hand experience of the conditions that students and professors have to overcome to perform at high levels. We have also experienced the fears and uncertainties of the customers when presented with a new 29.

(41) language like mandarin. We share a passion for education and believe that this language can provide great opportunities for the students. . Academic excellence. YiZhen Liu is a professional of education, with experience in teaching individuals of all ages in Mexico and Taiwan, she has designed teaching programs for kindergarten groups and all the way to adults. She is constantly working with professors finding about their needs and helping them with the experience of teaching in a foreign country. She is committed to education and high-quality service.. . 政治大. Network. Over our years of experience in the industry we have created a network of. 立. professionals who have the experience teaching in Mexico; we have met schools of all. ‧ 國. 學. levels learning from their experience with the language. These institutions know the importance of the language and are looking for programs that can benefit their students. ‧. but also programs that show professionalism and integrity.. Nat. y. Relationship with the Taipei’s Economic and Cultural Office in Mexico. Taipei’s. sit. . n. al. er. io. Economic and Cultural Office in Mexico (Oficina Económica y Cultural de Taipei en. i n U. v. México) has a permanent and close contact with Taiwanese nationals in Mexican. Ch. engchi. territory; as well as having always supported and strived for the development of missions that promote the culture, language and activity of Taiwan in Mexico. We have personally met the Head of Mission, Director of the Office S.C. Carlos Liao; Whom we trust, will entirely support the venture described in this document. This relationship is vital for our institution in maintaining the relationship with Taiwanese teachers in Mexican territory, as well as serving a source of academic programs that can benefit our students like scholarships for studying in Taiwan. . Relationship with different universities and language Centers in Taiwan. Through previous personal and professional experiences, the author of this thesis, as well as 30.

(42) Professor Liu have met different Universities in Taiwan and their Language Centers. These Institutions will serve as source for the talent we expect to hire for our own project, as well as being partners for the development of future international programs, like cultural trips and language courses for Mexican students to visit Taiwan. . Knowledge of a comprehensive network of Chinese languages professors in Mexico and Taiwan. In relation with the preceding point, Professor Liu personally knows and have trained Chinese language teachers who have had previous experience in Mexico. 政治大. and have expressed their interest in going back to Mexico.. 立. 學. ‧ 國. 3.8. Key Activities. 3.8.1. Development of study programs. The teaching staff, under the direction of the academic directors and serving to the necessities. ‧. of the students will be constantly generating material and teaching programs that adapt, not. Nat. sit. y. only to the necessities of the students, but will also be sensible and result oriented.. n. al. er. io. This will serve as our research and development department. The department will constantly. i n U. v. look at the latest trends in education and teaching techniques, adapt them to the current needs. Ch. engchi. of the customer, and help our customersachieve the purpose for which they join our institution.. 3.8.2. Teaching This will be our main activity. Being in the classroom, putting in motion the teaching plans created for that purpose and reporting back on their effectiveness and suggesting changes when they are necessary. This company will be oriented towards the customer, but that will only be achievable if we serve first to the teachers, helping them perform. Hearing from their teaching experience is paramount.. 3.8.3. Marketing Another key activity will be marketing and creating a movement, generating awareness of the 31.

(43) importance of the language. Being constantly in the mind of the customer, being perceived as a high-quality institution that deliver on measurable results is one of our priorities. 3.8.4. Sales and customer services Sales and customer services play a key role in the purchase and post purchase behavior and experience of our customers. This activity is crucial to ensuring that the company will build a community of loyal customers who will become advocates in the market of our services and drive more business in through word of mouth, telling their own experience and showing the. 政治大. results they have experienced.. 立. Customer services are regularly enacted when there is a problem that needs to be solved, so it. ‧ 國. 學. will be imperative to be continuously in processes of improvement in our services, including those services served in the classroom and the front desk; this way we can be certain that our. ‧. customer service activities can be oriented towards enhancing the experience of our customers. Nat. sit. y. and not only resolve on complaints.. n. al. er. io. 3.8.5. Immigration assistance. i n U. v. Since the professional profile of the teachers sought after for the instruction of our classes are. Ch. engchi. Taiwanese, graduated with a teaching related degree or applied Chinese; it will be a permanent activity in our institution to manage the relationship with the immigration authorities in Mexico, to ensure the legality of our activities and give certainty to our professors of the institution they are working at.. 3.9. Cost Structure 3.9.1. Value-driven We will focus on the value we provide to our customers, hence taking the value-driven approach. This strategy is characterized by complete focus on the creation and delivery of a high value, value proposition which is highly customized to the customer segment’s preferences. We thrive 32.

(44) to pride ourselves on our customer services, learning experiences and performance. We focus our efforts into creating an experience for which customers are willing to pay competitive prices on the upper part of the spectrum. Our employees are encouraged to anticipate individual customer’s needs; as stated before, both in the classroom and at the front desk.. 3.9.2. Fixed costs Fixed costs will be the main cost driver in the organization, salaries and maintenance of the physical space of the institution will be the biggest economic burden. Book imports, legal fees. 政治大. and administrative expenses will also occupy a big space in budget planning.. 立. Our main fixed cost will include but will not be limited to: Rent of building for stablishing the institute;. . Services and utilities;. . Salaries;. . Media presence in magazines and social media;. . Insurance for the property and others related to the operation of the school;. . Taxes;. ‧. ‧ 國. 學. . n. er. io. sit. y. Nat. 3.9.3. Variable costs.. al. Ch. engchi. i n U. v. The following are some examples of variable costs in which we may incur: . Commissions for sales people (if applicable, see channels) These can be translated into bonuses for the administrative staff, responsible of sales.. . Credit card fees.. . Immigration costs (when hiring new academic staff, the amount in money to be paid for the immigration process will depend on the number of teachers who are joining the institution) 33.