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Company Profile

Nishat Mills Limited is the flagship company of Nishat Group. It was established in 1951. It is one of
the most modern, largest vertically integrated textile companies in Pakistan. Nishat Mills Limited has
227,640 spindles, 789 Toyota air jet looms. The Company also has the most modern textile dyeing
and processing units, 2 stitching units for home textile, Two stitching units for garments and Power
Generation facilities with a capacity of 120 MW. The Companys total export for the year 2015 was Rs.
39.868 billion (US$ 393.683 million). Due to the application of prudent management policies,
consolidation of operations, a strong balance sheet and an effective marketing strategy, the growth
trend is expected to continue in the years to come. The Company's production facilities comprise of
spinning, weaving, processing, stitching and power generation.

http://www.nishatmillsltd.com/nishat/company-profile.htm

Nishat Mills
1. 1. FINAL PROJECT BUSINESS STRATEGY NISHAT MILLS SUBMITTED BY: FATIMA
KAUSER 0006 SIDRA ZAKA 0009 NEELAM 0010 BENISH 0011
2. 2. 1 MISSION STATEMENT To provide quality products to customers and explore new
markets to promote/expand sales of the Company(1,2,3,5) through good governance and
foster a sound and dynamic team(9), so as to achieve optimum prices of products of the
Company(6) for sustainable and equitable growth and prosperity of the Company(5).
PROBLEM Although the mission statement is good but it does not include technology
and concern for public image which are most important component of mission statement.
REVISED MISSION STATEMENT To provide quality products to customers and explore
new markets to promote/expand sales of the Company(1,2,3,5) through good governance
and foster a sound and dynamic team and citizenship(8,9), so as to achieve optimum
prices of products of the Company(6) with the use of best available technology(4). PEST
ANALYSIS POLITICAL FACTOR The largest problem that the industry faces today is
political factor .Political (Legal) Aspects Industry will not be able to gain success, good
reputation and trust if it will not consider legal and political sector as part of their strategy.
Political and legal sectors include the needs of the company to follow the given policies
and regulations of the government in order to be considered as legal. In this manner,
industry should be able to consider political and legal aspects so as to show that they
value the policies and regulations of the government in any of the business operations. Tax policy - Employment laws - Political stability - Environmental regulations - Trade and
tariff restrictions. Political Instability effect the textile industry and risk level increase in this
situation and policies are change and cost of production high because overall industry
faces troubles due to political instability and its a tough time because political instability
in country Govt. Policies its also effect the Nishat textile Law & Order govt. and political
parties insure this now Nawaz Sharif promote the business or industrial sector in country
but the Asif Zardari dont focus to promote this sector so law and order change according
to the political parties and leaders Positive Relations its play a vital role to promote
3. 3. 2 this industry if political stability in our country so our export increases and business
opportunities increases day by day and govt. revenues increase and unemployment low
and develop country give different business opportunities Terrorism & Corruption its
increases day by day in our country .In Karachi and Rawalpindi cities faces very hard and
sewer condition due to terrorism so the business condition is very bad day by day and

business shutdown and crises level high and poorly level increase due to these factors .In
this people purchasing power low and textile faces a lot of problems Political Situation its
not satisfactory due to rapid changes in the govt. and every govt. set its own trade
policies ,rules and laws and different tax policies so in this govt. should apply sustainable
policies for the beneficial of the exporter as well as invertors Effect On International
Market its also effect the international Nishat textile buyers e.g. UK, Japan etc. Govt.
Sanctions if relations are not positive to other country so its also effect on Nishat textile
export products e.g. India and Pakistan relations etc. ECONOMIC FACTORS Economic
Stability Growth has immensely contributed towards economic stability of the country
.Moreover, when the finished goods are domestically available, it helps keep prices down
and fluctuations due to international market influences are less likely to strike populace.
Improvement in Balance of Payments Textile industry has brought structural changes in
the pattern of foreign trade of the country. Today, the Textile sector account for about US$
10.2 billion export of the country. On one hand, this sector helps reduce import bills of
textile products and on the other hand, it contributes in earning foreign exchange thereby
helping towards keeping balance of payment in control. Following table presents a
comparison of years 2008-09 and 2009-10 with respect to exports of different textile
products. Greater Employment Nishat provides more employment opportunities to the
unemployed people. It is a source of providing employment opportunities. Collateral
Industrial Development of one industry leads to the development and expansion of other
industries. A number of industries and work opportunities are directly or indirectly related
with Textile Sector. For example, colors and dies, plastics, printing, machinery etc are
equally affected by booms or busts in Textile sector. Enhanced Government Revenues
Any industrial development is bound to increase government
4. 4. 3 revenues. Though textile sector is still zero rated for the purposes of sales tax on
exports yet the tax on domestic supply and income tax contribute greatly to government
revenues. Diversification of Economy Development in textile sector has helped in
diversifying economy by reducing dependence on mere production and export of raw
material. It also instilled diversification by stimulating collateral industrial development. It
is also a source of Foreign exchange earnings. SOCIAL, CULTURE, DEMOGRAPHIS &
ENVIRONMENTAL FORCES Nishat Mills Ltd. is a large organization and according to its
claims of social responsibility it provides its employees with good attitude to work and
leisure and a safe work environment. Now what this organization is
doingundercorporatesocial responsibilityis alsovenerable.Changesinsocial trends
canhaveimpact ondemand for a firm's products and the availability, attitudes to work,
income distribution and willingness of individuals to
work.Insocialfactorsdemographicshavealotofimportance. Pakistan Culture is generally
considered to be the basic identity of Pakistan nation as their trends, History, Silent
Features, rituals and way of life forms their culture of living, and this culture becomes
their distinctiveness. Pakistan has a very unique mixed culture in which the various
cultures from different provinces combines together to form an amalgamation of ethics,
values, norms and beliefs which forms a very charming and attractive national culture of
Pakistan. The people of Pakistan should stick to their own Pakistan culture and should
always promote it by being its brand ambassador so that the entire world show know and
praise them due to their exquisite culture of Pakistan. Demographics include age
structure of the population; gender; family size and composition; changing nature of

occupationsetc.SomeimportantsocialfactorsthataffectNishatMillsLimitedareas:
Healthconsciousness Populationgrowthrate Agedistribution Careerattitudes
Emphasisonsafety
5. 5. 4 Pakistan is facing all the problems mentioned above. The government has been
unable to provide the manufacturing sector with what it needs to flourish. International
buyers are reluctant to do business in Pakistan as orders placed in Pakistan are often
delayed due to unavoidable circumstances such as electricity shortages, gas shortages,
and petroleum levy and sudden increase in its prices. The high cost of doing business is
because of intensive increase in the rate of interest which has increased the problems of
the industry. The change in the lifestyle of the people affects the growing demand of the
Nishat Mill Ltd products. The change in the lifestyle and needs in different demographics
also affect the demand of the customers. Due to all these changes Nishat Mills Ltd is
performing excellent for the excellence organization as well as for the customer. As
thelifestyleofpeoplechangestheirneedschange, soNishatMillsLtdis theretofulfilltheir
requirements regardingclothingadmirably. Its products areavailablefor
differentagegroupsandgender. Environmental factors include the weather and climate
change. Changes in temperature can impact on many
industriesincludingfarming,tourismandinsurance.Withmajorclimatechangesoccurringdueto
globalwarming and withgreaterenvironmental awarenessthis external factor is
becomingasignificant issue forfirms to consider.
Thegrowingdesiretoprotecttheenvironmentishavinganimpactonmanyindustries
andNishatMillsLtdisone ofthemthatareconsciousaboutwhatisgoodfortheenvironment.
General moves towards more environmental friendly products and processes are
affecting demand patterns and
creatingbusinessopportunities.Pakistanisbeautifulcountrywhereallfourweatherseasonsem
erge.SoNishathas launched seasonal varieties to fit according to the weather. On the
other side to save the environment from being
pollutedittakesprecautionarymeasureslikeithassetupawatertreatmentplant. Better Living
Standards Textile sector development helped in increasing the value of output per worker.
The income of the labor, due to higher productivity increased resulting in better living
standards of growing middle class. Growth in textile sector enhanced social welfare in a
multitude of ways. Better and greater employment opportunities, meeting domestic
needs, generating revenue and thereby positively affecting public social spending etc. all
lead to social welfare. Growth in textile sector enhanced social welfare in a multitude of
ways. Better and greater
6. 6. 5 employment opportunities, meeting domestic needs, generating revenue and there
by positively affecting public social spending etc. all lead to social welfare.
TECHNOLOGICAL FACTORS In this era of advancement technology can help to touch
the sky of success. Technology creates new products and processes. It can also reduce
the cost, improve quality and lead to innovation. These developments can benefit the
consumers as well as the organization. Nishat is taking care of technological factors to be
successful in todays tough competition. Nishat has a very well developed research and
development department and facility members who are working very hard to develop new
and improved methods to reduce the production time. Nishat has made extension in its
present setup by installation of well advanced technology imported from Japan, China
and France. Mostly processes are automated. Modern cost and energy effective

machines are taking place of workers and ultimately reducing the cost of company.
Internet development helps Nishat to reduce its advertisement cost and get quick
feedback from its customers. GLOBLE CHALLANGES FOR NISHAT MILLS LTD The
industry is facing competition from other developing countries like Bangladesh, India and
China in its major export markets i.e. the EU and the USA. Also the current recession in
the West has resulted in a slowdown in demand for textile products. Due to all the other
problems faced by the Textile Industry, its production capacity and quality is getting low.
So Pakistan is lagging behind its competitors in the sphere of this international and
regional competition. This is a huge threat to the Textile Industry of Pakistan. Global
recession has badly affected the textile sector of Pakistan. This recession caused a very
high rate of inflation, which, in 2010, had increased to a whopping 25% as compared to a
7.9% of 2008. What occurred afterwards is what we call the domino effect. The value of
the Rupee crashed. The above all situation of the economy badly affected the textile
industry. The demand for textile product cut down locally & internationally as well. The
export order reduced due to unpredictable conditions of Pakistan & political instability.
The cut down in the production of
7. 7. 6 textile cause further unemployment level which decrease the living standard of
peoples. CHALLENGE: To get maximum benefit from quota free regime, all out efforts
are needed to boost textile exports and increase access to the international markets. To
boost the exports, the State Bank of Pakistan has introduced three facilitating schemes
for the exporters namely, Foreign Currency Export Financing Scheme (FCEFS), Political
Risk Guarantee Scheme (PRGS) and the Export Guarantee Scheme (EGS). The bank
would provide 210 days credit facility to exporters for South America as compared to 120
days credit facility to other market. The textile industry of Pakistan plays an important role
in earning foreign exchange, providing employment to the country. But with the ending of
quota system in world, Pakistan textile loses share in world trade of textile products.
Nishat textile products will have a big potential to capture big share of world trade but
there are lots of reasons which forces to step back from using the full capacity of textile
machinery to earn more and more foreign exchange for the country. In Upcoming year,
Pakistan textile exports Are 10-11 billion US dollars approximately. Government of
Pakistan is not serious in Resolving problems like shortage of electricity and gas which
forces the textile exporters Not to take orders because not fulfil the orders on time. With
these reasons import of Textile machinery declined year on year basis. With all these
reasons Nishat textile Owners use latest machinery which is more efficient and up to the
mark with the Competing countries. Although Nishat has very strong image in the market
nationwide financially and product wise but it has small market share in the global textile
industry due to the sound competitors likes china, and Bangladesh etc. COMPETITVE
FORCES OF NISHAT MILLS LTD Nishat Mills Limited ("Nishat") is a public company
incorporated in Pakistan and listed on all three Pakistani stock exchanges. Nishat is
engaged in textile manufacturing. Which involves spinning, combing, weaving, bleaching,
dyeing, and printing, stitching, buying, and selling of textiles? They deal with yarn, linen,
cloth and other goods including fabrics made from raw cotton, synthetic fiber and cloth.
The Company is engaged in the business of textile manufacturing and of spinning,
combing,
8. 8. 7 weaving, bleaching, dyeing printing, stitching, buying, selling and otherwise dealing
in yarn, linen, cloth and other goods and fabrics made from raw cotton, synthetic fiber and

cloth, and to generate, accumulate, distribute and supply electricity. Company is providing
quality products to its customers within the Pakistan and outside the Pakistan. Presently
company is exporting its all kinds if apparel products. MAJOR COMPETITORS Nishat
competitors are Crescen Chenab Arzoo Alkarm Sitara Firdous Kohinoor Amtex But main
competitors of Nishat Mill are Crescent Textile Mills Chenab Textile THREATS AND
OPPERTUNITIES: THREATS New competitors Nishat competitors are Crescen,t Chenab
Arzoo, Alkarms, Sitara, Kohinoor, Amtex but main competitors of Nishat Mill are"
Crescent Textile Mills and" Chenab Textile" Though we cannot avoid competition but we
can always stay ahead of them by reforming our strategies and educating our
entrepreneurs so as to move one step forward in every aspect. Fashion life cycle Fashion
changes day by day these days. Media has so much penetrated in our daily lives
9. 9. 8 that we easily adapt ourselves as it wants us to. This has resulted in shortening the
fashion lifecycle thus increasing the fashion risk. Now the buyer does not want to wait
long for his consignment because he is insecure that by the time it will reach to him he
will lost its demand due to change in fashion. Therefore, they prefer to buy from
neighboring countries even at higher cost to get their products instantly rather than to wait
weeks or months for their consignments to reach them. Stiff competition from developing
countries especially China and India. Pricing pressure Location disadvantage
International labor and environmental laws. OPPERTUNITIES: Organization can expand
product lines. Currently the Nishat not dealing in knitwear they can expand their product
line by producing knitwear. They have plants and the extra cost for the production will be
low for Nishat. And they also have better market repute. Organization can reduce the cost
by proper utilization of resources. If the cost of different matters which is not utilizing
properly is controlled by the Nishat management they can produce more in a few costs. It
has to develop a further systematic process for controlling and managing resources.
Organization can hire more well-educated and experienced person. They can take
advantages by hiring more skilled people and they should hire young, fresh and energetic
staff for their betterment. Shift in domestic market to branded readymade garments.
Increased disposable income. Emerging mall culture and retail expansion.
10. 10. 9 PORTERS 5 FORCES ANALYSIS OF NISHAT MILLS LTD Michael porter an
authority on competitive advantage contends that a corporation is most concerned with
the intensity of competition within its industry. Bargaining power of suppliers Bargaining
power of customers Rivalry among existing firms Threat of new Entrants Threat of
substitute products BARGAINING POWER OF SUPPLIERS The bargaining power of
suppliers in an industry tries to evaluate the scene of the supply market of the textile and
clothing industry. The main raw material of textile and clothing industry is cotton. The
textile industry in Pakistan achieves cost advantage in the segment of apparel as well as
home textiles with the help of unending supply of local staple cotton which have been
domestically produced. Further, Government and other policy makers have taken
definitive steps for improving the amount and quality of cotton yield for making sure that
higher productivity can be achieved.
11. 11. 10 BARGAINING POWER OF CUSTOMERS The bargaining power of customers is
also a threat for a firm operating in industry. The buyers affect the profitability in such a
way that he wants discounts and other services which might lower the margin of profit for
the company. The demand forces inside the industry can be evaluated with the help of
bargaining power which the buyers of the industry possess. RIVALRY AMONG

EXISTING FIRMS The amount of rivalry within the competitors who already exist in the
industry is highly dependent on the following factors: the structure of competition, the
structure of industry costs, strategic objectives, and degree of differentiation, entry and
exit barriers, and switching costs .Another threat for Nishat mills is the hyper competition
in industry. The firms currently in the industry are also the threat for Nishat mills because
their actions affect the profitability of the Nishat mills .Suppose if one competitor reduces
the prices so Nishat will also have to reduce which in result will affect the profitability of
company. THREAT OF NEW ENTRANTS This factor that is threat of new entrants helps
in increasing the competitive nature inside the industry to a greater level. On the other
hand the threat is also instrumental in bringing increased amount of capacity in the
market. Threat of new Entrants For Nishat mills there has been a threat of entering new
firms, So to defend themselves from this threat they gain economies of scale And the
other barriers which Nishat mills create for entrants are; Product differentiation &
Switching cost. THREAT OF SUBSTITUTE PRODUCTS The factor of threat of
substitutes is dependent upon several different factors. These factors are the relative
price and performance of substitutes, consumers interest in the substitute products and
the cost the consumers have to bear for switching to other substitutes The substitute
product means any product which satisfies the same needs. So substitute products in
market are also a major threat for Nishat mills.
12. 12. 11 LIST OF THREATS AND OPPERTUNITIES: OPPERTUNITIES: 1. Organization
can expand product lines. 2. Organization can reduce the cost by proper utilization of
resources. 3. Organization can hire more well-educated and experienced person. 4. Shift
in domestic market to branded readymade garments. 5. Increased disposable income. 6.
Emerging mall culture and retail expansion. 7. There would be a great opportunity of
increase in exports if NML follow the international standards and provide high quality
products to the customers at competitive prices. 8. NML should try to implement the
latest ISO standards including ISO14000series, which will improve their image and
customer satisfaction in the local market as well as in international market. 9. NML can
explore the new markets for exports by giving the different incentives to its employees in
the export department, which will improve its profitability. 10. Nishat can introduce its
garments in the local market by using the same stitching unit. This is also a great
opportunity. THREATS: 1. Fashion life cycle. 2. Stiff competition from developing
countries especially China and India. 3. Pricing pressure. 4. Location disadvantage. 5.
International labor and environmental laws. 6. There is no consistency in the government
policies regarding textile sector. 7. Incidents like September 11, 2001 attacks would also
be a major threat. 8. Political conditions of the country affect both NML and its customers
as well hesitate before signing new contacts. 9. Increasing rate of electricity and GST are
also big threats.
13. 13. 12 10. Currency fluctuations and exchange rates can also create problems for NML.
11. Government is focusing on the industrialization and is giving different incentives to the
investors. It is also a big threat because the number of competitors will increase. 12.
More and more competitors (National and International) are entering in the same markets
and offering attractive prices to the customers. EXTERNAL FACTOR EVALUATION
MATRIX (EFE MATRIX) KEY EXTERNAL FACTORS OPPORTUNITIES Weight Rating
Weighted score Expansion of product line .15 3 0.45 Implementation of ISO standards .
10 3 0.3 Exploration of new markets .10 2 0.2 Concern for employees .15 4 0.6 Proper

utilization of resources .10 4 0.4 Shift to branded readymade garments .05 2 0.1
THREATS International labor and environmental laws. .05 3 0.15 Currency fluctuations
and exchange rates .08 4 0.32 Inconsistency of governmental polices .08 3 0.24 Political
condition of country .05 3 0.15 competitors .05 3 0.15 Increasing rate of electricity and
GST .04 2 0.08 Total 1.00 3.14
14. 14. 13 COMPETITIVE PROFILE MATRIX (CPM) CPM NISHAT MILL GULL AHMAD
FIRDOUS Critical success factor Weight Rating Score Rating Score Rating Score
Advertisement 0.15 4 0.6 3 0.45 3 0.45 Product quality 0.10 3 0.3 3 0.3 2 0.2 Price
competition 0.10 2 0.2 3 0.3 4 0.4 Management 0.10 4 0.4 3 0.3 2 0.2 Financial position
0.10 4 0.4 3 0.3 2 0.2 Customer loyalty 0.15 4 0.6 4 0.6 2 0.3 Technology 0.15 3 0.45 3
0.45 2 0.3 Global expansion 0.05 2 0.1 1 0.05 1 0.05 Market share 0.05 3 0.15 3 0.15 1
0.05 Goodwill 0.05 3 0.15 3 0.15 1 0.05 Total 1.00 3.35 3.05 2.2 Note: Rate 4 refers to
most important and rate 1 refers to less important.
15. 15. 14 RESOURCE BASE VIEW Its an internal analysis of Nishat textile its show the
resources, competences, core competences, competitive advantage of Nishat textile, and
sustain position. Resources of Nishat textile huge amount of investment in business,
assets machinery, brand name, employees, infrastructure, and better quality of material.
Competences of Nishat textile is the use of resources in appropriate and better way so
they are not wasted. Core competences of Nishat textile is advance machineries and
technology, well-educated employees ,well management system , better coordination with
employees and management, feedback system, better MIS system. Competitive
advantage of Nishat textile is high quality and standard products, strong security system,
highly motivated workforce, customer loyalty with brand, ISO 9001-2000 implementation,
well discipline culture and environment that enables Nishat textile to compete with other
competitors and achieve the competitive advantage. Sustain competitive advantage of
Nishat textile is its product according to the trends and fashion to win its customer.

Company Profile
Nishat Mills Limited is the flagship company of Nishat Group. It was established in 1951. It is one of
the most modern, largest vertically integrated textile company in Pakistan. Nishat Mills Limited has
199,536 spindles, 604 Toyota air jet looms and 40 Sulzer shuttle-less looms. The Company also has
the most modern textile dyeing and processing units, 2 stitching units and Power Generation facilities
with a capacity of 89 MW. The Companys total export for the year 2011 was Rs. 35.610 billion (US$
416 million). Due to the application of prudent management policies, consolidation of operations, a
strong balance sheet and an effective marketing strategy, the growth trend is expected to continue in
the years to come. The Company's production facilities comprise of spinning, weaving, processing,
stitching and power generation.

Over the Years


1951

Nishat Mills Limited commenced its business as partnership.

1959

The company incorporated as private limited company.

1961

Nishat Mills Limited was listed on Karachi Stock Exchange.

1989

The Company was listed on Lahore Stock Exchange.

1992

The Company was listed on Islamabad Stock Exchange.

1996

Acquired the operating assets of Nishat Tek Limited and Nishat Fabrics Limited.

2005

Acquired the assets of Umer Fabrics Limited.

2008

Acquired the assets of Nishat Apparel Limited.

ision Statement
To transform the Company into a modern and dynamic yarn, cloth and processed cloth and finished
product manufacturing Company that is fully equipped to play a meaningful role on sustainable basis
in the economy of Pakistan. To transform the Company into a modern and dynamic power generating
Company that is fully equipped to play a meaningful role on sustainable basis in the economy of
Pakistan.

The Group

Nishat group of companies is a premier business house of Pakistan.


The group has presence in all major sectors including Textiles,
Cement, Banking, Insurance, Power Generation, Hotel Business,
Agriculture, Dairy and Paper Products. Today, Nishat Group is
considered to be at par with multinationals operating locally in
terms of its quality products and management skills. Following is the
list of companies in the group.
Associated Companies Listed

Adamjee Insurance Limited

www.adamjeeinsurance.c
om

DG Khan Cement Company Limited

www.dgcement.com

Lalpir Power Limited

www.lalpir.com

MCB Bank Limited

www.mcb.com.pk

Nishat Chunian Limited

www.nishat.net

Nishat Power Limited

www.nishatpower.com

Pakgen Power Limited

www.pakgenpower.com

Associated Companies Unlisted


Adamjee Life Assurance Limited

www.adamjeelife.com

Nishat Dairy (Private) Limited

www.nishatdairy.com

Nishat Hospitality (Private) Limited

www.nishathospitality.co
m

Nishat Papers Products Company Limited

www.nishatpaper.com

Pakistan Aviators and Aviation (Private)


Limited

www.pakistanaviators.co
m

Security General Insurance Company


Limited

www.sgicl.com

Nishat Linen (Private) Limited


Nishat Hotels and Properties Limited
Nishat (Aziz Avenue) Hotel and Properties
Limited

Nishat (Gulberg) Hotel and Properties


Limited
Nishat (Raiwind) Hotel and Properties
Limited
Nishat Agriculture Farming (Private) Limited
Nishat Automobile (Private) Limited
Nishat Developers (Private) Limited
Nishat Commodities (Private) Limited
Nishat Real Estates Development Company
(Private) Limited
Nishat Farms Supplies (Private) Limited
Nishat International FZE
Nishat Global China Company Limited
Nishat UK (Private) Limited
Nishat Linen Trading LLC
Nishat USA Inc.

Marketing Mix of a New Product Offering - Energy Drink


1. 1. Mr. StarEnergy Drink GROUP 7 Tirup Patel - 171 Shubham Bhakarh - 167 Vivek Jhala
- 175 Nischay Gupta - 148 Roochira Tanwani - 158 Priyanka Kamath - 154
2. 2. History Jolt Cola was released in the 1980s. Jolt Cola pioneered the marketing
strategy which has been still used until today by marketers for energy drink. Targets of
the marketing research are younger audience, mostly students, young professionals, and
people on-the-go. Energy drinks become significant in 1997 with products like Red Bull
and similar products. In Japan and UK, energy drinks were known for as far as the early
1960s and 1929 respectively.
3. 3. Energy Drinks-General Introduction Energy Drink suddenly takes the market of
beverage by storms. This type of non-carbonated drink has shrunk carbonate soft drink
market in a short period of time. Energy drink claims to be healthier beverage type
Energy beverage industry targets towards those people who need some sort of energy
boost
4. 4. Overview of Energy Drink TargetAudience The primary consumer group of energy
drinks includes extreme sports enthusiasts, young adults and teenagers. This may be
the result that many energy drinks are sponsored or created by extreme sports teams,
stars, etc. This crowd is a group excited by speed, energy, flash, and instant thrill.
5. 5. Male teenagers and people in their 20s are most likely to believe in the fact that
energy drinks will give them the boost they need. The popularity of energy drinks may
have risen due to busier schedules and more complicated lives people are going through.
6. 6. P : Product
7. 7. ProductFeatures No caffeine, taurine. Natural and Highly Nutritional. 100% fat
free. Tasty. Available in various flavours. Original, Martini, Mojito, Tequila sunrise
Attractive Designing and Packaging.
8. 8. P : Price
9. 9. Price Existing Energy drinks are highly priced. All the existing energy drinks are
available for around Rs.90/- Due to such prices many of the masses wanting to buy an
energy drink, go for any low priced soft drink to rehydrate, at the expense of nutrition.
Mr. Star would be available for Rs.39 which would be affordable for every segment of the
society. The powder packet of Mr. star would be available for Rs.20.
10. 10. P : PROMOTION
11. 11. Advertisement and Promotion schemes Since our product already has many well
set competitors in the market , we have to make sure the public is well informed of our
product. Thus we plan to undertake as many as possible advertisement and promotion
schemes possible.
12. 12. TELEVISION ADVERTISING Ad campaigns on Prime TV Channels such as NDTV
good times, MTV, TLC, Channel V, Zoom, VH1, Star World and a few more. RADIO
Advertising on popular radio channels like 104.00 fm, red fm, etc BILL BOARD
ADVERTISEMENT MAGAZINES
13. 13. Free distribution of samples in colleges To promote the drink we will give out 50
free samples outside colleges once a week for the first month. We will also sponsor
various college events and festivals where we can distribute free samples.

14. 14. Organize various sports events. We will organize sport events like marathons,
etc where we can promote Mr. Star Associate with gyms. We will have tie ups with
gyms to promote our product.
15. 15. Interactive website. New Media Promotion: Facebook, Twitter, etc Advertising
and promoting on social networking websites will also help.
16. 16. P : PLACE
17. 17. Distribution (or place) is one of the four elements of marketing mix. Frequently
there may be a chain of intermediaries, each passing the product down the chain to the
next organization, before it finally reaches the consumer or end-user. This process is
known as the distribution chain or the channel.
18. 18. Distribution ChannelOur distribution channel is consistent as followed by
mostcompanies and involves a lot of intermediaries. However we plan to sell our products
both directly i.e. through ourcampaign outlets and indirectly i.e. via Agents , Wholesalers
and Retailers.Since it is new launch, we would primarily like to focus onproduction and
quality of the product. But once the product is accepted, we will shift our focus towards
distribution as till then even we will be sure of our production plans as per response.
19. 19. Distribution Channel Manufacturer Agents Wholesaler Retailer s s Consumer s
20. 20. Product Outlets As per our distribution strategy we plan to make the product
advertisements visible every where to the customers. Other than this it is also very
important for the product to be easily available to the customers. Thus, we plan to make
sure that the product must be available in the following places :- Local drug or medical
store Local general stores Malls and Super Markets College and office canteens
Clubs
21. 21. Branding
22. 22. Why is it required ? New Product Big Competitors Late entry Growing Indian
market Misconceptions
23. 23. Brand Elements Name Mr. Star Logo Orange coloured star Tagline
Makes you invincible Colour Scheme Orange & Black Sounds
24. 24. Brand Ambassador 1985 NESs Mario
25. 25. Ad 1
26. 26. Brand Equity Added value endowed on products and services. Important
intangible asset to the firm that has psychological and financial value. Brand Equity
Models : BAV Aaker BRANDZ
27. 27. Brand Asset Valuator Differentiation (degree of difference) Relevance (breadth of its
appeal) Esteem (respect for the brand) Knowledge (How familiar customers are)
28. 28. Aaker Model Ten attributes of a brand that can be used to assess its strength. HIP
OR POPULAT DIFFERENTIATION BRAND PERSONALITYSATISFACTION OR
LOYALTY ORGANIZATIONAL ASSOCIATIONS PERCEIVED QUALITY BRAND
AWARENESSLEADERSHIP OR POPULARITY MARKET SHARE PERCEIVED VALUE
MARKET PRICE
29. 29. BRANDZ MODEL Strong Relationship Bonding (Nothing beats it) Advantage
(compared to others) Performance (Can it deliver) Relevance (Does it offer something)
Presence (Do I know it) Weak Relationship
30. 30. Ad 2
31. 31. Competitors in the market Red bull Xxx Burn Cloud 9
32. 32. SWOT ANALYSIS STRENGTHS WEAKNESSESOPPORTUNITIES THREATS

33. 33. STRENGTHS Cheap. Non carbonated. Non - caffeine. Different


Flavours. Instant Energizer & hydrator. Ready to Drink Concentrate. Marketing
and distribution network. WEAKNESSES Brand image. Low marketing budget.
Consumer awareness Low demand in tier 2- tier 3 cities Considered as an
Artificial/preservative based product.
34. 34. OPPORTUNITIES Good Market Potential. Upcoming Sector in the Noncarbonated drink Segment. Increasing Awareness about health.THREATS
Established & Strong Players. Conventional methods of Hydration still prevalent.
Cheaper alternatives.
35. 35. SEGMENTATION ,TARGET,POSITIONING
36. 36. SEGMENTING, TARGET,POSITIONING AGE GROUP : 18 TO 28 HEALTH
CONCIOUS PEOPLE WHO ARE AVERSE TO ALCHOHOL COLLEGE STUDENTS
WHO NEED TO STAY AWAKE LATE AT NIGHT, HECTIC SCHEDULES WORKING
CLASS PPL WHO NEED THAT EXTRA BOOST OF ENERGY ATHLETICS WHO
NEED ENERGY AFTER EXHAUSTIVE FIELD ACTIVITIES PARTY ANIMALS
37. 37. SEGMENTING TARGETING ANDPOSITIONING SHOULD BE POPULAR AMONG
YOUTH IN THE URBAN AREAS. TARGET : TIER ONE AND TIER TWO CITIES
CONCENTRATION IN METRO CITIES IT SHOULD BE PERCIEVED AS A HEALTHY
DRINK UNLIKE ITS COMPETITORS EASY SOLUTION TO TODAYS STRESSFUL
AND HECTIC LIFE
38. 38. Porters Generic Business Strategy Broad Target Cost differentiation leadershi
pCompetitive Scope Focused cost Focused leadership differentiation Narrow target Low
cost Differentiated Competitive Advantage
39. 39. DIFFERENTIATION PRODUCT DIFFERENTIATIONMAINLY THE HEALTHY
INGREDIENTS
40. 40. DIFFERENTIATION
41. 41. COST DIFFERENTIATION RS 30 to Rs 40 to Rs 60 Above R 40 50 to70 80We have
been very sensitive in responding to our customer survey. Thus theproduct is priced at rs
35. its just what the consumers are willing to shell. competito redbull cluud9 burn Mr star r
price 80 65 75 35
42. 42. Effects of the stratergy Major benefit : expected to sell more cans than its
competitor in a span of one year. Mr STAR is half the price of its competitors thus later
it may invite competative pricing from other small competitors like cloud9 and Burn in the
future. There may be an entry of other organic and herbal energy drinks in the future
which may eat into our profits. As in the Indian market herbal and organic energy drinks
are unexplored. It cannot be called a focus stratergy as we are targeting the same market
segment as our competitors.
43. 43. Timing stratergy We are not the first movers to bring the product to the market,
however we are the very first ones to differentiate the product. Redbull was launched in
2002 (first movers) Cloud9 was launched in 2008 Mr star to be launched in 2011
44. 44. Market challenger stratergy Flank attack : attack the weekness of the competitor.
Since redbull is a market leader with a 62% dominance in the market followed by cloud9
with 20 % share.
45. 45. Flank attack We choose to attack the weakness of the competitor. We will spread
awareness on the high caffine content and its ill effects by organzing marathons in

46.
47.

48.

49.

50.

51.

52.

colleges and having tie ups with leading gymnasiums and fitness centres whereby our
sales representatives will be wearing tshirts reading say no to caffiene
46. Marketing challenger Stratergy
47. By pass attack Again since its a low cost product and has low caffaine contents
MR STAR aims to overcome its competitors by positioning itself as a 100 % natural
energy drink. Ready drink plus powder form available.
48. Market Distribution Brand Loyalty for Star Ltd. will be advantageous. Mr.Star will
be given to club DJs, empty cans will also be left on tables in hot spots such as trendy
bars, clubs and pubs. Wide target audience to grow beyond the boundaries of existing
energy drinks. Coverage of a large section of the society in lower cost.
49. Market Distribution Easily accessible in most retail stores, provision stores,
supermarkets. Using pick-up trucks as mobile displays A long term tie up with Star
Bazaar Tie ups with gymnasiums and fitness centres. Cans of the drink will be given
out free to people on the street who will be identified as being in need of energy.
50. Conclusion Mr.Star will be a caffeine free and taurine free energy drink for a wide
range of audience. Students who need energy for a hectic life style, sportsperson,
working class people. Different packaging and designing will gain consumer
attraction. Low cost and availability in cans and also in powder form will differentiate
the product from competitors.
51. Conclusion Redbull, our major competitor can currently be considered a monopoly
in the Indian market. Targeting the weakness of the competitor. The drink will be
healthy and nutritious along with being 100% fat free. Star Ltd. Being a developed
company in the market, will be an advantage for Mr.Star.
52. Conclusion Mr.Star will be an easy and healthy way to acquire energy in the day to
day hectic life. THANK YOU

MR.FIT
1. 1. Levi Strauss& Co. A Market Analysis By:- Md. Akram Sec-A
2. 2. Levi Strauss & Co. was threatened by competition, because barriers of entry were
relatively low in the jeans market. Some of Levis major competitors include: Calvin
Klein Gap Jeans VF Corp (Lee, Wrangler) Tommy Hilfiger
3. 3. The entrance of new competitors had many effects on Levis. -Levis no longer had
monopoly power -more competitive prices lower profits Availability of substitutes Levis
Consumers started buying from competitors which lowered Levis market share.
4. 4. Also Competitors successfully started grabbing Levis market due to heavy
advertisement and branding. Branding was especially effective for companies like
Calvin Klein that targeted high-end consumers.
5. 5. Levis failed to recognize and enter a new and booming premium jeans market,
originating in 2000 and led by brands such as Seven For All Mankind, True Religion, and
Rock & Republic. Levis executives themselves admitted failing to see the premium

6.

7.
8.

9.

jeans trend, and the company was forced into cost- cutting, closing dozens of factories
and laying off thousands of workers.
6. With the rise of competitors and decrease in brand image, Levi Strauss & Co. made
use of edgy advertisements. Brand Loyalty & Brand Image -Many of Levis ads stress
brand loyalty to maintain existing customers. -Some TV ads were set in the late 1800s,
stressing the historic value of the company. At the same time, Levis ads stressed the
youthfulness of their brand jeans. TV advertisements were more innovative and
targeted younger crowds.These marketing strategies however did not help with
theworldwide decrease demand for jeans. This implies that
7. Demand Price In order to maintain revenues, the company released the Levis
signature jeans. This product line appealed to the low-end consumers.
8. In 2002, Levi Strauss & Co. made an agreement with the largest retailer Wal-Mart as
a supply-chain strategy to mass-market consumers. Levis Signature brand to be sold in
Wal-Mart stores exclusively This was an excellent strategic move because Wal-Mart
was making large sales while Levis could not keep up in sales. This had potential to
benefit both the parties. By 2002, Wal-Mart was #1 in the Fortune 500 list & Levi Strauss
& Co. was ranked #383. This partnership was a great success.
9. Thank You

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