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CASE STUDY

Establishing a new international brand of Engine Lubricating Oil in the country.


Status: Authorized dealer and Sole distributor based at Rawalpindi.
Introduction:
We are planning to establish a new company in Pakistan by assuming a position of Sole
Distributor and Authorized Agents for further distribution in Pakistan. You are required to study
this aspect of Automobile industry in Pakistan. A comprehensive study will be required. Pl visit
the link to see the specifications and product range.
http://www.carbooil.de/products.html
Plan:
Class may initially work together to formulate a Table of Contents based on this working paper
and submit for approval. This work then distributed among students for a high level of
professional input. Individual work then combined together by Class CR by placing a separator
for each student for grading. This will carry the weight of two assignments.
First part will be based on the table of contents, portion of work assigned to student and his/her
work plan and second part will be actual input. Students will submit there work twice a week for
review and further improvement until final grading is done.
Few aspects to be studied are listed below as reference. Students may include any other
parameter(s) of their choice.
Types of lubricating oils for vehicle engines w.r.t. categories/ grades, types and price
comparison. Engines: Petrol, Diesel, Petrol/CNG. Diesel: Commercial (Truks etc) Public
Tpt (Buses, vans, ) domestic (cars) already used and available in the market.
Types of vehicle Engines w.r.t. categories of oil
Lubricating oil market in Pakistan ( list brand and types of oil offered, packing , price etc
for each vehicle type)
o Local brands (Market Share)
o International brands (Market Share)
Frequency of replenishment / replacement of Lubricating oil (Factors peculiar to Pakistan)
i.e change of oil/ kilometer traveled of each oil type & category
o Environmental effect
o Road Conditions
o Usage of Vehicles
- Types of oil used by people maintaining expensive vehicles (Mercedes, BMW, Audi,
Axio, Honda, Premio, Pirus etc) and market share?
Consumer Details (%age) Any financial data be provided
o Domestic user base
o Corporate/Commercial user base
o Govt/ Defense user base
Gaps in the consumer market for lubricants oils in Pakistan Vs Supply from
local/imported sources
Will there be any market for a new good quality product in Pakistan market
Any data on reprocessed oil/low quality oil used in the market.(adulteration)
Vision / Strategy for new entrants in Pakistan market for Lubricant oil.
Challenges for new entrants to survive in Pakistani market for lubricant oils.
Identifying barriers to growth and developing strategies to overcome them such as:
o Political
o Economical
o Quality / Technology
o Social / Geography

Marketing / Sales promotion plan / strategy,


Distribution network, Distribution plan i.e. initial coverage, how many cities to be
included in first phase, how to source/find distributors. Terms and conditions to appoint
distributors
Import duties/Taxes on oil import
Proposed budget for Marketing
Total financial requirement for this business
Office organization and HR for this business
Any other question comes to your mind.