Virtual Booth

Micro and small enterprises (micro-SMEs) often face challenges in accurately calculating product costs and determining optimal selling prices. Many rely on manual calculations or intuitive decision-making, which can lead to inconsistent profit margins, hidden losses, and unsustainable business practices. This project introduces CostSmart, an AI-driven pricing intelligence system designed to support micro-business owners in making structured, data-driven pricing decisions.

CostSmart integrates key financial modelling concepts such as Cost-Volume-Profit (CVP) analysis, automated cost breakdown (materials, labour, and overhead), and break-even analysis into a simple and user-friendly mobile interface. The system enables users to calculate product costs efficiently, simulate different pricing scenarios, and analyse the impact of pricing decisions in real time. Additionally, CostSmart incorporates AI-based recommendations that provide actionable insights to improve profit margins and optimise pricing strategies.

The proposed solution is specifically tailored for micro-SME users with minimal technical knowledge, emphasising usability, accessibility, and practical application. By transforming complex costing processes into intuitive workflows, CostSmart reduces reliance on guesswork and enhances financial decision-making capabilities among entrepreneurs.

In terms of impact, CostSmart improves cost accuracy, increases pricing confidence, and supports sustainable business growth. The system also demonstrates strong commercialisation potential through a freemium business model, with scalability across micro-SME sectors in Malaysia and the ASEAN region.

Overall, CostSmart contributes to digital financial empowerment by bridging the gap between complex financial analysis and everyday business decision-making.