Problem Statement

So basically in Pakistan people faces many challenges as Pakistan is developing country and struggling
with low economy and high inflation rate and due to this people have low purchasing power like if we
talk about middle class they cannot afford high quality products besides to spend on cloths they prefer
to spend it on their other necessary expenses. The inflation rate is so high people cannot afford cloths
like formal wear and bridal wear because its quite expensive and lets say they buy it then after wearing
two to three times it will useless for them. The thrift clothing industry faces challenges related to public
awareness, limited accessibility to quality second-hand garments, and cultural perceptions. Overcoming
these hurdles is crucial for promoting sustainable fashion and making affordable, pre-loved clothing
more widely embraced in the local market.

Novelty statement

The main entities which make us different from other is we are providing pre loved clothes in different
categories like we are providing bridal or formal wear and minimal dresses and have different rates like
for elite class we have different price range and for middle class we have prices which are according to
them so they have affordability and have options and also we offer dresses on rent like there are many
dresses which costs high like bridal dresses and people cannot afford so they can rent it for their event.

Feasibility analysis

Concept statement

As we discussed it earlier that we have major issue of buying quite expensive clothes for any event
wedding etc because of inflation rate people thinks 100 times before buying expensive cloths like we
talk about someone who wants to buy 4 lac bridal dress for her wedding and lets say she will wear it on
her day and after her wedding wear it 2 times then after that it will useless for her so by providing
solution of this problem we create our business setup not conventionally but through online we will act
as a middleman providing preloved cloths for example taking cloths from different persons who want to
sell there cloths whether it is bridal formal whatever with 20% commission and sell it to other clients or
we can rent it. Buying second-hand clothes in Pakistan is like discovering hidden treasures – it's
affordable, eco-friendly and offering a diverse array of pre-loved garments that transcend trends and
embrace individuality and by choosing us consumers actively participate in a movement that values the
longevity of clothing, extending its lifespan and reducing the demand for new production. This not only
results in cost-effective wardrobes but also contributes to the reduction of textile waste, a critical aspect
in addressing the environmental impact of the fashion industry. We bring budget-friendly wedding and
formal wear to Pakistan by repurposing gently used clothing.
Surveys

Market Visit

As we are doing online business so we did not go to any market physically for visit so we done our
market research through visiting different wesites and seeing people preferences and focus latest trends
and taking feedbacks and by collaborating with different fashion influencers through different social
media platforms like as we know now people are very fond of social apps like Instagram Facebook etc.

First Screen

Part 1 Strength of the business idea

1. Extent to which the idea

 Takes advantage of an environmental trend

The idea of thrift clothing promotes reusing and recycling [Link] moderately takes advantage of the
environmental trends, considering the increasing interest in sustainable and second hand fashion. It also
provide items with consumer preferences as it is eco friendly and according to trends.

 Solves the problem

The effectiveness of idea in solving a problem in thrift clothing depends on factors like accessibility,
affordability, and sustainability. It is strongly solving the problem of people in many ways like we provide
clothes in a good budget for the people who cannot afford that much on clothes also there is no
compromise in our quality.

 Addressing an unfilled gap in the marketplace

So thrift clothing moderately addresses an unfilled gap in the market place through providing quality
clothes in a good budget as we know about the economy of Pakistan and the rate of inflation because of
this people cannot afford to spent much money on [Link] also provide sustainable choices which is
good for environment.
 2. Timeliness of entry to market
The timeliness of entering in thrift clothing depends on various factors including current trends,
customer preferences, and competition by doing market research to understand demand,
identifying unique selling propositions, seeing consumers likes and dislikes and staying updated
about fashion will help you in entering market. Timeliness of entry to market in thrift clothing is
moderate
3. Extent to which the idea add value for its buyer or end user
The value of thrift clothing lies in affordability, sustainability, and unique finds. Buyers enjoy
cost savings, reduced environmental impact, and the opportunity to discover one-of-a-kind
pieces, contributing to a more sustainable and budget-friendly fashion experience.
4. Extend to which the customer is satisfied by competing products that are already available
Customer satisfaction with thrift clothing varies based on individual preferences, quality, pricing, and the
variety of items offered by competing products. Factors like the condition of the clothing, uniqueness of
finds, and overall shopping experience contribute to satisfaction. Some customers appreciate the
affordability and sustainability of thrift clothing, while others may prioritize brand-new items.
Ultimately, the satisfaction level is subjective and depends on the diverse expectations and preferences
of thrift shoppers.

5. Degree to which the idea requires customers to change their basic practices or behaviors
Thrifting Typically requires customers to shift from traditional retail habits by embracing pre-
owned items, exploring diverse stores, and being open to varied styles. It involves a change in
mindset towards sustainable fashion and a willingness to invest time in searching for hidden
treasures rather than opting for quick, mass-produced fashion

Part 2 Industry Related Issues

1. Number of Competitors:
The number of competitors in the thrift clothing industry can vary widely, influenced by factors
such as location, market size, and the rise of online platforms. Researching specific regions or
platforms will provide more accurate information.

2. Stage of Industry Life Cycle:

The thrift clothing industry may be in a growth phase, driven by sustainability trends, or a mature
phase with established players. The industry's stage can impact strategies, innovation, and market
saturation.
3. Importance of Products and Services to Customers:
Thrift clothing holds importance for customers seeking affordability, sustainability, and unique
fashion finds. The appeal lies in offering a diverse range of items at lower prices compared to
traditional retail.

4. Industry Operating Margins:

Operating margins in the thrift clothing industry can be influenced by factors like overhead costs,
pricing strategies, and the efficiency of supply chains. Margins may vary among physical stores
and online platforms, reflecting the challenges and opportunities within the sector

Part 3 Target market and customer related issues

1. Target Market Identification:
Identifying a target market for a new thrift clothing venture involves understanding
demographics, psychographics, and behaviors of potential customers. Consider factors like age,
lifestyle, and sustainability preferences to define the specific audience.

2. Creating Barriers to Entry:

Establishing a strong brand, unique inventory, and effective marketing can create barriers to
entry for competitors. Building customer loyalty, securing exclusive partnerships, or
implementing efficient supply chain practices can also contribute.

3. Purchasing Power of Customers:

Understanding the purchasing power of the target market is crucial. Pricing strategies should
align with the affordability expectations of thrift shoppers, ensuring accessibility while
maintaining profitability.

4. Ease of Customer Awareness:

Utilizing effective marketing channels, both online and offline, can enhance the visibility of the
new thrift clothing venture. Leveraging social media, partnerships, and targeted advertising can
help reach and engage the intended audience.

5. Growth Potential of Target Market:

Assessing the growth potential involves considering market trends, consumer preferences, and
broader economic factors. If the target market is aligned with sustainability trends and has a
growing interest in thrift shopping, it may indicate favorable growth prospects. Regular market
research can provide insights into evolving trends and potential shifts in consumer behavior.

Part 4 Founders related issues

1. Founders experience in the industry
Consider the founders' familiarity with thrift clothing operations, such as inventory management,
pricing strategies, and understanding the unique challenges of sourcing and curating second-hand
items. Additionally, explore any past successes or challenges they've faced in the thrift clothing
space to gauge their ability to navigate the industry landscape effectively under experience in the
industry
2. Founders skills as they relate to the proposed new venture product or service
Evaluate the founders' specific skills relevant to the thrift clothing venture, including their
expertise in areas like fashion curation, quality assessment, online or retail merchandising, and
marketing strategies tailored to the second-hand market. A diverse skill set can contribute to the
success of the proposed venture
3. Extent of the founders professional and social networks in the relevant industry
Assess the founders' professional connections within the thrift clothing industry, considering
relationships with suppliers, distributors, and other key stakeholders. Additionally, evaluate their
social network to gauge potential partnerships, collaborations, and marketing opportunities
within the thrift clothing community. A robust network can provide valuable support and
resources for the new venture.
4. Extent to which the proposed new venture meets the founders personal goals and
aspirations
Examine the alignment between the proposed thrift clothing venture and the founders' personal
goals and aspirations. Ensure that the founders are genuinely passionate about the mission of the
business, as this alignment can drive commitment, resilience, and long-term dedication to the
success of the venture
5. Likelihood that a team can be put together to lunch and grow the new venture
Evaluate the founders' ability to assemble a capable team for the thrift clothing venture,
considering their recruitment skills, industry connections, and leadership experience. Assessing
the potential team's expertise in areas such as operations, marketing, and e-commerce can
provide insights into the likelihood of effectively launching and growing the new venture.

Part 5 Financial issues

1. Initial capital investment
Initial capital investment in thrift clothing businesses can vary based on factors like location,
inventory size, and marketing efforts. It's crucial to carefully estimate costs for inventory
acquisition, store setup, and marketing to ensure a successful start.
2. Numbers of revenue drivers
Revenue drivers for thrift clothing stores include the volume and variety of inventory, pricing
strategy, marketing effectiveness, and customer engagement. Diversifying revenue streams
through online sales or curated collections can also contribute to financial success
3. Time to break even
Time to break even depends on factors such as location foot traffic, pricing strategy, and
operational efficiency. A detailed financial projection considering these variables will provide
insights into when the business is expected to cover its initial investment.
4. Financial performance of similar businesses
Studying the financial performance of similar thrift clothing businesses, especially those in the
same market or region, can offer valuable benchmarks. Analyzing their success factors and
challenges can help in making informed financial decisions
5. Ability to fund initial product development and initial startup expenses from personal
funds or via bootstrapping
Funding initial product development and startup expenses through personal funds or
bootstrapping requires careful financial planning. Assessing personal financial capacity and
exploring cost-effective strategies can be essential for a sustainable and successful launch.

Porter five forces model

Threats of new entrants

The fancy thrift clothing market in Pakistan presents unique challenges and barriers that
contribute to a notable threat level for potential new entrants.

1. Cultural Sensitivity and Consumer Preferences:

Pakistan has a diverse cultural landscape, and consumer preferences for clothing can vary
significantly across regions. New entrants may find it challenging to understand and cater to
these diverse preferences, especially in the realm of fancy thrift clothing, where style, color, and
design play crucial roles. Existing players may have a better grasp of these nuances, making it
difficult for newcomers to quickly establish themselves.
2. Quality and Authenticity Concerns:
Consumer trust in the authenticity and quality of fancy thrift clothing is paramount. Established
thrift stores in Pakistan may have already built a reputation for providing genuine and high-
quality items. New entrants face the hurdle of convincing customers of the authenticity of their
products, potentially requiring significant investment in quality control measures and transparent
sourcing practices.

3. Supply Chain and Sourcing Challenges:

Building an effective supply chain for fancy thrift clothing, which includes sourcing unique and
stylish items, can be challenging. Established players may have longstanding relationships with
suppliers and a well-organized supply chain, giving them a competitive advantage. New entrants
may struggle to secure reliable sources for fashionable thrift items, impacting their ability to
offer a diverse and appealing inventory.

4. Regulatory Compliance and Import Restrictions:

Compliance with local regulations, especially regarding the import of second-hand clothing, is
crucial. New entrants may face hurdles in navigating these regulations, potentially leading to
delays or operational setbacks. Understanding and adhering to import restrictions and
compliance standards are vital for the success of fancy thrift clothing businesses in Pakistan.

5. Marketing and Differentiation:

Successfully entering the fancy thrift clothing market requires effective marketing and
differentiation strategies. Established thrift stores may already have a recognizable brand and
customer base. New entrants must invest in creative marketing efforts to distinguish themselves
in a competitive landscape, highlighting their unique offerings and attracting fashion-conscious
consumers.
 Bargaining power of buyers
The bargaining power of buyers for fancy thrift clothing in Pakistan is influenced by various
factors. Firstly, the availability of alternative options in the market plays a crucial role. If buyers
have multiple sources for similar fancy thrift clothing, their bargaining power increases as they
can easily switch between suppliers.

Economic conditions also impact bargaining power. In a thriving economy, buyers might have
higher disposable income, giving them more negotiation leverage. Conversely, in a downturn,
buyers may be more price-sensitive, strengthening their bargaining power.

The uniqueness and scarcity of certain thrift items can affect bargaining power. If a particular
fancy thrift piece is rare or in high demand, buyers might have less negotiating power as sellers
can dictate terms due to limited availability.

Social and cultural trends also contribute. If fancy thrift clothing aligns with current fashion
trends or societal preferences, buyers may find fewer opportunities to negotiate as sellers
capitalize on the demand.

Additionally, the online marketplace has transformed the dynamics. Buyers can easily compare
prices and quality across various platforms, enhancing their bargaining power. Customer reviews
and ratings also empower buyers by providing insights into the reputation and reliability of
sellers.

Government policies and regulations can impact the bargaining power of buyers. For instance, if
there are consumer protection laws in place, buyers may feel more secure and confident, thereby
increasing their ability to negotiate.
 Bargaining power of suppliers

The bargaining power of suppliers in the fancy thrift clothing market in Pakistan is influenced by
several factors. Firstly, the availability of unique and high-quality thrift items can impact
supplier bargaining power. If suppliers possess rare or in-demand items, they may have a
stronger position in negotiations.

Additionally, the number of suppliers in the market plays a crucial role. A limited number of
suppliers may give them more control, allowing them to dictate prices or terms. Conversely, a
diverse supplier base may diminish individual suppliers' bargaining power.

Economic conditions can also affect suppliers' bargaining power. If the economy is thriving,
suppliers may have more options and be less dependent on specific buyers. On the other hand, in
a challenging economic environment, suppliers might be more willing to negotiate to secure
business.

Government regulations and trade policies can further shape supplier dynamics. If regulations
are stringent, suppliers may face higher costs or limitations, potentially reducing their bargaining
power. Conversely, lax regulations may empower suppliers by providing them with flexibility.

The relationships between buyers and suppliers are pivotal. Strong, long-term partnerships can
enhance the bargaining power of suppliers, as mutual trust and understanding develop. However,
if buyers can easily switch between suppliers, it weakens the bargaining power of individual
suppliers.

Lastly, technological advancements and the ability of suppliers to adapt to new trends can impact
their bargaining power. Suppliers with innovative capabilities or those quick to embrace
technology may have a competitive edge, strengthening their position in negotiations.
Intensity of competitive rivalry
The intensity of competitive rivalry within the Fancy Thrift Clothing sector in Pakistan is
influenced by various factors that shape the dynamics of the industry. Firstly, the market is
characterized by a plethora of players, ranging from established brands to emerging local labels,
creating a highly fragmented landscape. This diversity fosters intense competition as companies
strive to differentiate themselves through unique designs, pricing strategies, and marketing
approaches.

Consumer demand and preferences play a pivotal role in driving rivalry. The ever-evolving
fashion trends and rapidly changing consumer tastes contribute to a constant need for innovation
and adaptability. As a result, competitors engage in a continuous race to anticipate and meet
customer expectations, intensifying the competitive environment.
Pricing strategies also contribute significantly to rivalry. Given the diverse economic landscape
in Pakistan, thrift clothing brands face the challenge of offering attractive prices without
compromising on quality. Price wars and discounting initiatives are common, leading to thin
profit margins and increased rivalry as companies vie for cost-conscious consumers.

Distribution channels and market reach are additional factors influencing competitive intensity.
Brands with a robust and extensive distribution network can gain a competitive edge by reaching
a wider audience. As such, companies invest in expanding their presence across different regions
and channels, contributing to heightened rivalry as they compete for market share.

Government regulations and economic conditions further impact competitive dynamics. Changes
in trade policies, taxation, or economic downturns can create challenges for thrift clothing
brands, influencing their ability to compete effectively. Companies must navigate these external
factors to maintain a competitive position.
Threats of substitute
The Fancy Thrift Clothing industry in Pakistan faces several threats from substitutes, which can
impact consumer choices and market dynamics. One significant substitute threat comes from the
fast fashion retail sector. Fast fashion brands often produce trendy and affordable clothing at a
rapid pace, appealing to consumers looking for up-to-the-minute styles without the secondhand
nature of thrift clothing. The convenience and quick turnover of new styles in fast fashion stores
can divert customers away from thrift options.

Another substitute threat arises from traditional retail outlets and local markets that offer new
and budget-friendly clothing. Consumers seeking brand-new items at competitive prices may opt
for these alternatives over thrift clothing. This is particularly relevant for those who prioritize the
freshness and exclusivity of new garments.

E-commerce platforms, both local and international, contribute to the substitute threat by
providing a vast array of clothing options at the click of a button. The convenience of online
shopping, coupled with frequent sales and discounts, can lure customers away from the unique
appeal of thrift clothing.

Cultural and societal attitudes towards secondhand items also play a role in the substitute threat.
While thrift shopping has gained popularity, some segments of the population may still prefer
brand-new clothing due to concerns about hygiene or perceptions of social status. Overcoming
these attitudes poses a challenge for the thrift clothing sector.

Furthermore, the rise of sustainable and eco-friendly fashion can act as a substitute threat.
Consumers increasingly prioritize environmentally conscious choices, and brands focusing on
sustainability may attract customers who view thrift shopping as less aligned with their values.

Business model canvas

The business model canvas for a thrift clothing store involves various key elements that
contribute to the overall strategy and operations. Here's an in-depth exploration of each
component, providing a comprehensive overview.
1. Customer Segments:

 Target Audience: Identify the specific demographics and psychographics of customers

interested in thrift clothing, including budget-conscious individuals, eco-conscious
consumers, and fashion enthusiasts seeking unique pieces.
2. Value Proposition:

 Affordable Fashion: Offer a wide range of high-quality, gently-used clothing at

affordable prices.
Sustainability: Promote environmental consciousness by extending the lifecycle of clothing items
through resale.
 Unique Finds: Provide customers with a curated selection of unique and vintage pieces
that may not be readily available in traditional retail.
3. Channels:

 Physical Stores: Establish a network of thrift stores strategically located in areas with
high foot traffic or a target customer base.
 Online Platform: Create a user-friendly website or app for online shopping, catering to
customers who prefer the convenience of digital platforms.
4. Customer Relationships:

 Personalized Shopping Experience: Implement loyalty programs, personalized

recommendations, and excellent customer service to build strong relationships.
 Community Engagement: Foster a sense of community through social media, events, and
initiatives supporting local causes.
5. Revenue Streams:

 Product Sales: Generate revenue through the sale of thrifted clothing items, accessories,
and potentially other related products.
 Membership Programs: Offer subscription-based models or loyalty programs with
exclusive benefits for recurring revenue.
6. Key Resources:

 Inventory: Establish reliable sources for acquiring a diverse and continuously updated
inventory of second-hand clothing.
 Staff: Train knowledgeable and customer-friendly staff to ensure a positive shopping
experience.
 Technology: Invest in an efficient POS system, online platform, and inventory
management tools.
7. Key Activities:

 Sourcing and Curating: Regularly source pre-owned clothing, curate collections, and
maintain high standards for product quality.
 Marketing and Branding: Develop marketing strategies to promote the store's unique
value proposition and build brand awareness.
8. Key Partnerships:

 Suppliers: Build partnerships with suppliers, possibly individuals or organizations

contributing to the inventory.
 Local Communities: Collaborate with local communities, influencers, and organizations
to enhance visibility and support sustainable practices.
9. Cost Structure:

 Inventory Costs: Include costs associated with acquiring, cleaning, and maintaining the
thrifted inventory.
 Operational Costs: Cover expenses related to rent, utilities, staffing, and marketing
efforts.
 Technology Investments: Allocate budget for the development and maintenance of online
platforms.
10. External Factors:

 Regulatory Compliance: Stay informed and compliant with regulations related to second-
hand goods and retail.
 Economic Trends: Monitor economic trends that may impact consumer spending habits
and adjust strategies accordingly.
Successful thrift clothing business combines affordability, sustainability, and a unique shopping
experience to cater to a diverse customer base. Adaptability, community engagement, and
strategic partnerships are crucial in navigating the competitive landscape of the fashion industry
while maintaining a commitment to environmental responsibility.