Syam, Dwi Valkino (2024) Investor decision analysis for the new business opportunity (Nara sports project - Pejaten Tennis court 2024). Graduate thesis, Institut IPMI.

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Abstract

The Garmin connect actual report 2023 highlights a notable 76% increase in tennis participation, reflecting the sport's popularity with numerous courts and events available across the country. Nara sports is seizing this momentum by proposing a new business venture : a tennis court facility in Pejaten, South Jakarta. They are looking to crowdfund this project, offering investors a 40% profit share, while the landlord and Nara Sports would each receive 30%. This study serves two main purposes : to enhance academic understanding of decision-making under uncertainty and to provide potential investors with crucial insights before committing to this opportunity. The pitch includes comprehensive investment requirements and projections for both worst-case and best-case revenue scenarios. Conducted between May and July 2024, This research uses a quantitative approach to assess the economic viability of the project over five years, employing capital budgeting methods. Additionally, various decision-making and risk assessment methods, including maximax, maximin, realism, equally likely, minimax, EMV, and EOL. were applied, a qualitative approach was also used to gauge market feedback from tennis players in Jakarta, aged 18-59, on their preferences and needs. The study's findings indicate that the project's payback period of 2.27 years is favorable compared to the five-year time horizon, with a positive NPV of Rp 345.926.439, a PI of 1.67, and and IRR of 34%, all of which support the project's acceptance. The monte carlo sensitivity analysis further showed a 100% probability of a positive NPV with no chance of loss. Market surveys revealed that potential customers prioritize court availability, proximity, ease of access, supporting facilities, and cleanliness. The result suggest that investors should proceed with Nara sports proposal. This thesis contributes to the theoretical understanding of investment decision-making under uncertainty and offers a practical framework for evaluating the feasibility and profitability of sports facility investments. Future research could explore similar opportunities in other sports or locations, compare risk assessment methods, and examine the long-term impacts of such investments on community health and local economies.

Item Type:	Thesis (Graduate)
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HJ Public Finance
Divisions:	Thesis > Master of Business Administration
Depositing User:	Dwi Selviyana
Date Deposited:	10 Sep 2024 02:52
Last Modified:	10 Sep 2024 02:52
URI:	http://repository.ipmi.ac.id/id/eprint/2574

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