UNIVERSITY OF ECOLORY AND

MANAGEMENT

Subject: BUSINESS ECONOMICS

Submitted To:
Md. Raqibul Islam
Guided by: AGMIESZKA KOS

Submission Date: 19th January, 2017

Bangladesh
(Chittagong)

About me.....

This is Md.Raqibul Islam. I came from

Bangladesh, a subcontinent country of
Asia. I completed my graduation from
BIMS. I have finished my H.S.C from
B.A.F sahin college and completed my
level-10 from Collegiate school. Now
here in Poland, I am going to continue
my masters program in that world
ranking university.

I love travelling..
Travel means going from one place to the other by
road, air, sea, etc. People may travel because of
different purposes. Different feelings appear in
peoples souls, when they are getting to some place. I
love travelling by bus. Because while travelling, I
always want to enjoy each and every historical place
of a country which may easy by bus travelling.

STARSHIP FULL CREAM MILK

POWDER

Executive Summary
Abul Khair Company is one of the premier corporations
in Bangladesh. Its purpose is to provide branded
products and services of superior quality and value that
improve the lives of the consumers, now and for
generations to come.
Abul Khair Company believes that an abundant and
leveraged diverse strategy is a competitive advantage.
Their goal is to grow that competitive edge by fostering
an inclusive culture. Diversity is a business strategy for
Abul Khair Company. It's an intentional choice that
creates sustainable competitive advantage. Here we have
discussed how Abul Khair Company plans and uses
diverse strategies to improve its products growth and
market share segment the market and target each of the
segmented market. Finally, we have depicted how Abul
Khair Company gains competitive advantage by
creating product, service, channel, people and image
differentiation.

Overview of Abul Khair Company

Abul Khair Consumer Products Ltd is one of the largest &
rapidly growing companies in Bangladesh. It is one of
oldest companies of Bangladesh. It was established in
1954.
It is now one of the most successful companies in terms
and professionalism and management excellence. The
main Business objectives are to prove guaranteed
quality, fair & competitive price and optimum services
leading to total consumer satisfaction. It has numerous
number of business units. Starship is one of the most
renowned brand of Abul Khair Company. Abul Khair
Company launched the brand Starship on 25 December
1995 with a vision to be the market leader in its
category through providing quality products to the
market. Starship brand already contains Fruit Juice and
Milk, Starship Chocolate Milk, Starship Mango Milk,
Starship Mango Juice, Starship Pineapple Juice, Starship
Orange Juice, Starship Full Cream Milk Powder etc.
Mission
Abul Khair Companys corportate mission is to create
brand demand, image and customer confidence by
ensuring quality, availability and rich communication
with ultimate consumer.
Vision
>To achieve quality leadership that can be produced
efficiently and in efficient way.
>To achieve sustained growth in all brand category
>To build strong brand awareness and brand
image in the mind of consumers
>To ensure availability and affordability of its products

Product Description
Starship Full Cream Milk Powder is used as drinking milk
for children. It can also be used as an important
ingredient for making various types of home made
sweets, tea, coffee. It also used in different types of rich
dilates. It contains best quality cows milk from which
only water is removed, butterfat, protein, Calcium,
Sodium, Zink, moisture, vitamin A, vitamin B, vitamin D
etc.
Abul khair group already has a strong brand image but
Starship Milk Powder has declining sales growth because
of its weak promotional activities. If it is possible to add
some additional features and can be communicated these
through strong communication channel it will manage to
increase its sales growth. Good packaging will also help
us to attract potential customers.
Market Analysis
Market research
Abul Khair Company has a huge number of competitors in
its Milk Category. Using marketing research Abul Khair
Company identifies the specific features and benefits that
its target segments consider. Feedback from market
tests, surveys and focus groups will help it to make
Starship Milk Powder more attractive to the customers. It
measures and analyzes customers attitudes toward
competing brands and products. Brand awareness
research will help it to determine the effectiveness and
efficiency of its messages and media.

Segmentation:
The market segmentation strategy of Abul Khair Company is given below:
Segmenta
tion

Geographi
c

Country

Abroad

Behavior
al

Demograp
hic

Age

Income

Family
size

User status

Occasion

Abul Khair Company makes the segmentation of Starship full cream milk powder on the basis
of three dimensions:
Geographical Segmentation:
Under geographical segmentation they have considered own country and abroad.
Demographic Segmentation:
Demographically they have considered age, income and family size. In case of age they took
into consideration significantly the age limit of 2 to 10and 11 to 16 and the people of all ages.
In case of income we are emphasizing the income range of under 10000,10000-30000,3000050000 and 50000 above. In case of family size it considers family consists of 1-2,3-4 and 5
above.
Behavioral Segmentation:
In behavioral segmentation we are trying non user ,ex usr ,potential user to permanent user.

Market targeting

Target Market

Teenagers &
Children

Middle Class

Upper Middle
Class

Lower Middle
Class

Our target market for Starship Full cream milk powder will be teenagers and children
because they need sufficient calories and nutritious food which they can avail from the
Starship full cream milk powder. In category of social class we are taking into consideration
upper class, upper middle class, middle class and lower middle class.
Because upper middle class people wants quality at any price and middle class and lower
middle class people want quality at affordable price.
4.4 Differentiation and Positioning:
Our product will be nutritious and delicious. It will be relatively more affordable comparing
with good quality competitive brands. We will try to make it available everywhere and
whenever customer will want. Our brand image will also differentiate our product as it will
carry an attractive logo. Our product will ensure its position in the mind of consumers
through its taste and nutritious food value.
5.0 Competitive analysis:
We know very well that in Bangladesh milk powder market is very competitive. There are
many foreign brands and also local brands. Some of the leading foreign brands are:
1.Redcow
2.Dano
3.Nido
4.Anchor
5.Nestle

1.Horlicks
2.Boost

Some of the local competitors are:

1.Diploma
2.Fresh
3.Quality
It has to mentioned that although Horlicks, Boost, Nestle are not in the milk powder category
they will also be the competitor for our differentiated product Starship Choco-Mix Milk Powder.
Each of our competitor has a healthy amount of market share. Significant number of market
share is shown below:

Position

Beverage Company

Market Share

1st

Dano

21%

2nd

Diploma

17%

3rd

Nido

15%

4th

Redcow

12%

5th

Fresh

8%

6th

Starship

5%

Strengths of competitors:
Abul Khair Companys nearest competitors:
Ensure high quality in their products
Strong promotion
Strong sales promotion
Attractive TVC promotion
5.2 Weaknesses of Competitors:
High price
In competing with these strong competitors Abul Khair Company will increase sales
incentives to its retailers, it will also give discounts on large sale, it will price its products
lower than its competitors in consideration of affordability.

Operations
To cope up with companys mission company should attempt to
run its operation as smoothly as possible. To run its operation in a
silky way Abul Khair Company should consider the following
issues:
It is not extending its product lines. Its major weakness was in its
promotion channel and some managerial problems are also
available. It will not currently think of adding new business units
rather developing the current major weakness in its different
premises. It will also identify how it can increase its profitability by
reducing manufacturing cost, delivery cost, and acquiring
promotional efficiency.
Abul Khair Company will hire more skilled personnel in different
departments for quality control, branding, selling, and promotion.
Marketing executive must have the ability to understand the
perception of consumer. They must understand quickly if there
are any changes in the preference of market and they must
inform these to the production managers about what customers
want. They must also give proper instruction to the product
managers so that they can ensure total quality according to the
consumers choice. Promotional manager must have the ability to
make its consumers understand how Starship can give proper
solution to their problem. They must make them aware of their
demands because in most cases customers themselves do not
know what the actual benefit they want from the product they will
buy. To create a strong position in the consumers mind a strong
brand image is essential. An experience and skilled brand
manager knows what kinds of branding will easily and quickly
attract consumers and capture a substantial position in their
mind. A selling executive must know how to capture large shelves
space of retailer. He must be able to make retailer understand
how his product can generate highest profit for him by providing
great benefit to the consumers. Moreover for pulling demand from
customers a group of skilled and experienced employees must be
employed in the organization. Some times it may give proper
training to bring out maximum talent from the personnel.

Abul Khair Company Limited does not need additional

space to extend its industry. It will establish some small
depot offices in big cities. They can easily control over the
sales growth of remote areas. From one head office it
might be quiet tough to control over those areas.
Abul Khair Company Limited does not have the
management staff to handle the development, marketing
and ongoing supports of the product. Without efficient
management staff a company can not run the overall
operation smoothly. In that case they will be ultimate
sufferer in the long run. That is why the company should
appoint the appropriate staff to accurate place. Thus they
can perform their duties efficiently and effectively.
7.0 Marketing Objectives
We are aiming to capture 15 percent of the market share during
first year. 20 percent in the second year and 35 percent in the
third year,
In the first year we will focus on raising awareness and creating
brand image.
In the second year we will try to cross break-even point and gain
profit.

SWOT Analysis
Strength
Improved Technology
Ensuring Affordable Price
Efficient Worker
Strong Financial Resources
Strong Company Brand Image
Weakness
Lack of product variability
Lack of current product quality
Weak current marketing promotion

Opportunity
Available raw material
Increasing demand
High promotional opportunity
Good transportation system
Threats
Existence of many competition in the market
High price of raw material
New local competition might arise
Political disorder
Product Development
As Starship milk powder lacks many attributes necessary
to attract customers Abul Khair Company Limited is going
to add some new features to the product.
Quality Improvement
To ensure quality of milk Abul Khair Company Limited will
first ensure the quality raw materials of milk. Raw
materials will be collected from local farmers, because
they will be highly loyal to Abul Khair Comapany Limited
and likely to follow important instructions about nutrition.
For example they are provided with the information to
avoid urea in cattles food so that there will not be any bad
impact of urea in milk. It will also outsource raw materials
from the reliable dairy milk companies like Aftab Dairy Milk
Company and Savar Dairy Milk Company.
Instant Mixing
Previously Starship Milk powder would not be mixed up
with water. So this feature will be improved. It will be
instantly mixed up with water.
Adding New Flavorc
It will add choco-flavor in Starship Milk Powder which will
be very attractive to the children those who do not like to
drink milk for its smell. It will help them to get nutrition

as well. The flavor will be collected from good quality Flavor Company
named LABH Group Of Companies of India. The flavor is formulated from
natural ingredients which will be helpful for health.

Marketing Mixc
Product
As described earlier we will improve our product quality. We will use
quality raw materials in our product. We will bring a differentiated product
Starship Choco-Mix Milk powder for children and teenagers. Choco flavor
will be added for the purpose of making our product more attractive to the
them. Our product will be different in quantity for different price. We will
provide 25gm, 75gm, 400gm, 1000gm packet for our existing normal
Starship Full Cream Milk powder. For our differentiated product Choco-Mix
milk powder we will bring 25gm, 75gm and 400gm packet. Building a
strong brand image is an integral part of our product strategy. The brand
and logo will be displayed on the product and its packaging will be so
attractive and durable. The ingredients that have been used previously in
the Starship Milk Powder is shown below through a table:

Ingredients

Each 100 gm

Protein

26

Lactose

38

Fat

26

Moisture

Minerals

Calcium

0.97

Phosphorus

0.75

Vitamin A

1092

Riboflavin

1.48

Thiamine

0.26

Vitamin D

400

Energy

499

Thaisine

0.68

Thasine(equivalent)

6.75

Pentatonic Acid

2.87

Pyridoxine

0.33

Biotin

0.044

Colin

88.3

Zink

21

Conclusion
Abul Khair Companys major objective is to increase the
market share of its declining product Starship Full Cream
Milk Powder and to increase its relative growth. Its
another objective is to differentiate itself from its
competitors through providing quality products at
standard price. Increasing brand awareness is another
objective of Abul Khair Company Ltd. This fact is
indicated by its strong focus on high promotion and
different kinds of image building programs. Moreover, it
is willing to be the market leader through performing the
maximum activities possible in the competitive market.

Thank you