1

Caribbean Internet Café

Performance Management and
Control, ACC 287.5
David E. Platt, Ph.D.

Caribbean Internet Café
Primary Case-Study Objectives

2





Observe the diversity of business measurement issues.
Introduce fundamental costing issues.
Identify strategic and non-financial issues that are
critical for decision making.

Caribbean Internet Café
Cost Summary

3



Here is a listing of costs to be incurred (pg. 3-4). How
can we organize this data in a useful way?

Equipment
Waiter-tutors
Manager
Building lease
Utilities
Utility deposit
Internet link
Internet service
Insurance
Advertising, mktg, promo
Pre-opening advertising
Other up-front costs
Miscellaneous admin/main

Usage
Qty
Unit
from Exhibit 1
180 hrs/wk
1 per month
1 per month
1 per month
1 ea
1 per month
on demand
1 per month
1 per month
1 ea
1 ea
1 per month

Cost
Jamaica $
1,426,000
J$
40
J$
40,000
J$
30,000
J$
15,000
J$
7,000
J$
10,000
J$
60
J$
10,000
J$
10,000
20,000
120,000
J$
50,000

$
$
$
$
$
$
$
$
$

$

US $
40,743
1
1,143
857
429
200
286
2
286
286
571
3,429
1,429

Unit
per hour
per month
per month
per month
per month
per computer per hour connected
per month
per month

Caribbean Internet Café
Cost Summary

4



Here is a listing of costs to be incurred. How can we
organize this data in a useful way?
Usage
Qty

Start-up Cost...

-4 /coffee /one-time 000 052 067 088 1 10 104 105 11 114 12 120 120/computer/hour 125 135 140 143 144 147 15 180 2 20 200 235 236 24 248 250 286 287.5 3 30 337 34 340 360 374 383 4 40 400 407 426 429 44 450 456 467 479 48 480 492 5 50 500 52 533 571 573 6 60 60/computer/hour 600 639 650 7 706 728 743 750 8 816 857 9 917 943 978 acc admin/main advertis analysi analyz annual artwork avail averag barrier base beverag build busi cafe café caribbean case case-studi cash china cm coffe competit comput concessionari connect contribut control cost cover critic cultur current custom d data david decis demand deposit depreci differ divers e ea entri environ equip esp est excl exhibit factor financi fix flow flower food front fundament furnitur general grant hardwar hour hr/visit hrs/wk identifi incur insur interest internet introduc invest isp issu j jamaica jtl key leas least left life link liquid list loan look loss low make manag margin market measur miscellan mktg model month multi multi-year new non non-financi o object observ one one-tim ongo open oper organ ownership p penetr per perform person pg ph.d platt popul portion pre pre-open price primari profit promo purpos qti r rate reinvest reput requir revenu risk sensit servic similar softwar start start-up strateg studi summari takeaway target time total tutor unit up-front us usag use util variabl ventur visit waiter waiter-tutor way x year yrs