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Company Background

Franchise Entertainment Group

The Franchise Entertainment Group, founded and wholly owned by Paul Uniacke and Eddie Nedelko, operates more than 750 Video Ezy, Blockbuster and EzyDVD stores across Australia, including both company-owned and franchisee-owned stores, and some 500 stores in other Asia Pacific countries. It is responsible for over $800M in sales and over 120 million movie rentals per year in Australia alone.

The Group's aim is to grow and enhance franchisee profitability in the exciting and competitive home entertainment market.

Paul Uniacke and Eddie Nedelko acquired the master franchise for Video Ezy Australasia in 2005, and formed the Franchise Entertainment Group in 2007 when they expanded with the acquisition of Blockbuster Australia and New Zealand in 2007. The Group further grew with the acquisition of EzyDVD in 2009.

Need for change

- consumers are looking for convenient ways to hire DVD's.

- The growth of households having home computers connected to the internet is resulting in the explosion of on-line retail store websites.

Impact of change

The likely impact of changes on the company and its operations as follow:

More operational cost, labour cost and website maintenance costs will increase

Will generate more revenue

Leading a new market trend - buying DVDs from Kiosks

Provide more options to customers to buy your product

Better rapport in the industry

Will help in competing with others

Project goals and objectives

DVD Kiosks

GOAL:
The goal is to have 200 DVD Kiosks in place in shopping centres by the end of the year, each of which is hiring 100 videos per week on average.

OBJECTIVES
- Design and develop Video Ezy and Blockbuster branded DVD kiosks by the end of .......
- Select .......number of titles
- Select.........number of shopping centres
- Manufacture of Kiosk and stock ...............videos by ......
- Negotiate walkway space rental agreements with 200 shopping centres by end of October.
- 200 DVD kiosks in place in shopping centres by the end of ...............
- Each DVD kiosk to be hiring ........videos per week on average by the end of the yearMajor change requirements in Company's Operation due to planned changes

For the DVD kiosks, the following major change requirements will be required:

- R&D of prototype kiosks

- Skilled labour to repair the kiosks and update kiosks

- DVD's stocking in the kiosks.

For the on-line movie streaming, the following major change requirements will be required:

- Development and maintenance of the changes to the company websites

- Uploadingof movies available for rental

- Customer Service Staff

Attachment:- Task.rar

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