About

Nearr

I. About Nearr Enterprise Inc.

Nearr Enterprise Inc. (hereinafter referred to as "Nearr")is invested by Kering Zhaipei (Beijing) Technology Service Co., Ltd. (hereinafter referred to as "Kering Zhaipei",www.kaiyunjia.com), and was founded on September 12, 2022, in New Jersey, United States of America, with an investment of $500,000 as starting capital. 225 Willow Brook Road, Unit 14, Freehold NJ 07728 is the registered headquarter office. In addition, it has already a satellite office at 401 Park Ave S, 10th Floor Office Unit 1044, New York, NY 10016. Nearr's objective is to build fast farm-to-table connectivity for fresh fruits and vegetables by leveraging business model innovation and an electric citywide delivery network to become the most responsive local living service platform.

(1) Stage 1 (September 2022 -- October 2023): Through "innovation of community group buying " and "the use of electric vehicles in distribution network", Nearr can reduce the price of fresh vegetables and fruits for users, can reduce the delivery cost and build the awareness of Nearr. Establish a habit of buying fresh fruits and vegetables through Nearr App. Users can order products in the App and will get the products delivered the next day.

(2) Stage 2 (October 2023-October 2025): To analyze users' consumption habits, predict users' demand for fresh vegetables and fruits, and purchase products from supply chain partners by using big data and artificial intelligence technology. Users can order products through the App and will get the products delivered within 4 hours.

(3) Stage 3 (October 2025 - October 2027): To establish data collaboration and services with other local life service providers by using the software system developed by itself. Users can order multiple local life services on Nearr App. Nearr has grown up to be a local life service platform for users. Users can order products through the App and have them delivered within an hour. Users order services through the App, and the local service provider can respond in real-time.

II. Nearr Business Model

Through business model innovation, the application of electric vehicles, and intelligent management, Nearr provides an e-commerce service for "Order today, next-day delivery" by the Nearr App, utilizing an efficient intra-city delivery network. The Procedure of Nearr Service.

1. Based on the operation mode of "Community Group Buying", users can order fresh vegetables and fruits from Nearr App;

2. At 4:00 pm, order estimation will be given to suppliers;

3. 8:00 pm is the cut-off time for orders (Orders later than 8:00 pm will be deemed as next-day orders). After collecting orders, Nearr will place procurement orders to suppliers from 9:00 pm;

4. Nearr suppliers will deliver the products Nearr ordered at Nearr sorting centers at 1:00 am the next day;

5. From 3:00 am to 6:00 am, the staff at Nearr sorting centers will sort the products into packages. All the sorting work is managed by a software system to ensure every user's products ordered can be well prepared;

6. Nearr transportation management system will plan the routes of delivery based on the locations of users;

7. At 9:00 am, users can pick up their products at the place planned, or they can order from Nearr home delivery service at their own cost.

At first, users will be able to use the App to order fresh fruits and vegetables with "Order today, next-day delivery".

In the future, users will be able to use the App to book parcel delivery services, intra-city direct delivery services, and other services. In terms of business efficiency, Nearr will rely on live streaming, social media, and artificial intelligence technologies to keep in touch with users online, answer their questions, and provide them with valuable product and service recommendations to meet their needs. In terms of business model, the operation of Nearr includes five key parts: App software system, marketing (new customer acquisition), supply chain management, sorting center management and distribution scheduling, customer services, etc. Nearr's business model, with one-day inventory cycle, is a model innovation allowing for less damage and risk. From September 2022 to October 2023, Nearr focuses on initiating its business operation in Middlesex and Monmouth counties. The soft opening started with the App launch, sorting center setup, and five electric commercial vehicles preparation.

According to the algorithm planning of the software system, each electric commercial truck is distributed in a fixed area and covered in the form of cellular, to provide services for customers in the area as best as possible. At the same time, with the help of marketing and supply chain management, we provide the e-commerce service of "Order today, next-day delivery" for customers within the operation area. Nearr uses the preorder model. Users buy through the App first and Nearr then purchases from the suppliers. It's an innovation. On Nearr, inventory takes only one day. When the soft opening is completed, it will be accelerated to other parts of the eastern United States. As a business strategy, Nearr will collaborate with electric vehicle manufacturers, as well as other financial partners, to provide operational support services to the "Last-mile deliveryman partner", such as financial services, automated notification services, and automated route planning services. The last-mile delivery is responsible for the fixed area. The deliveryman and the company serve the users in the area well through the "partnership" mode, which can not only improve the work efficiency of the delivery but also allow the last mile deliveryman partner [1] to obtain satisfactory income and job opportunities for a long time.

The typical feature of the Nearr business model is "Online Order by App + Next-Day Delivery/Pickup".

III Bright future of Nearr

Nearr has created a new business model by combining community group buying and fresh food e-commerce. In the process of development, Nearr will develop high-frequency user habits, a high-density intra-city delivery network, and a localized supply chain system.

1) High-frequency user habits. On average, each user may buy five times fresh vegetables and fruits from Nearr each month.

2) High-density intra-city delivery network. Each of Nearr's sorting centers covers a service of about 12 miles, and each center will cooperate with about 20 last mile deliveryman partners. Nearr plans to expand and develop, along with cellular coverage, into a high-density, intra-city delivery network. The network, which can quickly respond to users' needs, is expected to achieve "4-hour delivery" in the future, meaning that users can get their products four

hours after they placed the orders. By utilizing Nearr TMS management system, the intra-city delivery network not only implements the delivery services from Sorting Center to users but also implements the services from the users to Sorting Center.

3) Localized supply chain system. Each Sorting Center can have its own supply chain system, and Nearr will use the ERP system to manage the supply chain in a differentiated way. Each Sorting Center works with surrounding farms and wholesalers to form a differentiated supply chain system. Meanwhile, Nearr will also develop new features on the App to assist farms, wholesalers, and service providers in conveniently using Social Media to promote their products and services. Each Sorting Center will be with a local KOL (Key Option Leader). Based on this, Nearr is expected to become the leading local service platform in the US. Farms, wholesalers, and even facilitators surrounding each Sorting Center will be able to use Nearr App to establish connections with users.

[1]Alast mile deliveryman partner of Nearr is an individual or a company that rents delivery vehicles and performs the role of the deliveryman, assisting marketing and services, and is responsible for user experience. A delivery partner of Nearr is as a McDonald's franchisee.