PREF-48/July, 2002/REV May 2006/2
2
1 INTRODUCTION
1.1 Project Brief
This objective of this document is to provide information regarding investment opportunity for setting up an Internet Café, with focus on product differentiation i.e., providing some unique services (Video/Audio Chat, Web Developing) which are not offered by a typical
Internet Café. The business can be established in any of the major cities of the country.
1.2 Opportunity Rationale
In a short period of three decades, computer has become a household item all around the world. With the introduction of Internet, in the 90s, computers became a significant medium to communicate with people around the world. It became a source of information and now there is an increasing number of businesses shifting toward e-Commerce, which means doing business on the Internet. From a few hundred thousand pages on the Internet in 1994, there are now over a billion pages and these are being added at the rate of about a million new pages every day.
Internet was introduced in early 90’s in Pakistan, and since then, it has been on a tremendous growth because of incentives provided by Government of Pakistan to promote
Computer related fields, such as computer education, Internet Service Providers, etc.
The demand of Internet in the country has been growing since its introduction. From few
ISPs in 90s, now (2005), there are more than 40 operating in Pakistan. There are more than7.5 million Internet users in Pakistan and the number is growing at a tremendous rate.
There were only 29 cities with Internet facility in August 2000, which has expanded to around 1898 cities by 2005.
Given the income level and low purchasing power of majority of Internet users in Pakistan, opening an Internet café to cater to this segment is a viable project.
1.3 Proposed Capacity
The proposed project is based on 20 computer systems.
1.4 Total Project Cost
The total cost of the project is approximately Rs. 1.110