University of Caloocan City

College of Business and Accountancy

Camarin Business Campus

I. Introduction

I.1 Company Profile

In 2000, young and dynamic entrepreneurs saw the need to develop and create

the leading manufacturer of P.E.T bottles in the Philippines. Eventually in 2001 a

lot with an area of 4.5 hectares was purchase to accommodate the plant and

warehouse with all its facilities was realized.

The main aim is to provide a steady supply of high quality P.E.T. (Polyethylene

Terephthalate) products as well as best service to leading companies especially

those engaged in condiments and beverages, cooking oil, bottled water and other

chemical / pharmaceutical ventures.

Company Purpose

To provide sufficient supply of high quality P.E.T. products as well as best services

to leading companies engaged in beverages, condiments, purified or mineral

water, cooking oil, agricultural and pharmaceutical products.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Vision:

McBride PET Corporation is a God-centered company that provides high quality

plastic packaging in the ASEAN region in terms of quality, diversity of product,

sales, recognition and customer satisfaction.

Mission:

As a God-centered company, McBride PET Corporation aims to continuously

provide diversified and high quality plastic packaging for a wide-range of consumer

products through innovation. It aims to be the leader in the countrys plastic

packaging industry by dominating the market share while maintaining efficiency in

its business processes without harming the environment. It values loyalty through

services that results in good customer relations and satisfaction. It takes pride in

creating and providing jobs for Filipino citizens, in contributing to the evolution of

the countrys packaging industry. It commits to perform business functions with

utmost honesty and integrity.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Companys Product

Beverages Bottles: Twirl, Bullet, V-Type, Spiral Type

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

II. Marketing Channel Analysis

1. What are the current flows involve?

The current flow involve to them was the information flow.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

2. What is the current channels structure?

Manufacturer Agent Business Buyer

From manufacturer to agent to their business buyer, this is the first structure that

the McBride Corporation using. The McBride Corporation itself is the manufacturer,

they manufacture their product at the Kaybiga Plant. From the Kaybiga Plant they

will transfer the plastic bottles to the Bagbaguin, Meycuayan, Bulacan Plant or to

their plant at Laguna.

The agent represent the producer to the client, they are the one who assists the

negotiation between the manufacturer and the client. They do not own the product

directly, but they take possession of the products in the distribution process. He

acts on behalf of the seller which is the McBride Corporation (manufacturer) and

has no right to modify prices for products.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Manufacturer Agent Wholesaler Business

Buyer

From manufacturer to agent to wholesaler to business buyer, this distribution

involves more than one intermediary before the product gets into the hands of the

business buyer.

The McBride PET Corporation made their PET bottles at the Kaybiga Plant,

afterwards they deliver it at the Bagbaguin, Meycuayan, Bulacan Plant and at the

Laguna Plant.

Then it will go through the agent. The agent here is the bridge for the manufacturer

and the wholesaler and not on the final business. Like in the first structure, the

agent here can have a possession in the goods but they do not own any of it and

they are not allowed to change what the price is.

After that, it will go through the wholesaler of the products. In McBride PET

Corporation they called it trading. They are the one who will bought a large

quantities of products to the manufacturer and then they are the one who will sell

it to the other businesses or the final user.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

3. Does a firm operates through a multi-channel strategy?

Yes, the McBride Corporation is operating a multi-channel strategy. They do have

a website that their possible client may visit, to overlook what type of PET bottles

that the McBride Corporation offer. They also have a Facebook page and Twitter

account that the possible clients may follow in order to get some information about

them. We all know that social media has taken an increasingly more vital role in a

business firm wanting to promote their product.

Another multi-channel that the McBride PET Corporation using is the wholesale

distributor channel, this type of multi-channel strategy is one of the known strategy

that the other companies is also using. In here the wholesaler will buy a bulk in

McBride PET Corporation before distributing it to other small business.

Using a multi-channel strategy is effective and very helpful to the company. By

using many communicative platforms to reach the audience increases the chances

of receiving feedback from a variety of customers on the overall performance. The

more diverse platforms used in trying to reach customers, the more the potential

customers are likely to reach out to purchase goods and services. And the more

potential customers or client, the more revenues or profit for the company.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

4. What is the percentage of revenue or sales that flows through each

channel?

Wholesaler

There is a minimum order for the wholesaler which is one bag. The one bag is

consisting of three hundred fifty (350) pieces of bottles. That is the required

minimum orders in order to buy a wholesale products in McBride PET Corporation.

They give lower price to the wholesaler rather than to the final business it is

because the wholesaler will sell it again to another firms or businesses needed a

PET bottles.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

5. What are the levels of importance of a company given to distribution,

compare by the other elements of marketing mix?

Product

Their product is their number one focus of course, it is because the McBride PET

Corporation is assuring that they are giving a high quality products to their clients.

They have different kinds of PET bottles that the client may order. These are the

bottles used in purified water, beverages and condiments, bottles used in cooking

oil, bottles used in agricultural products and the bottles used in pharmaceutical

products. They also offer their preform PET bottles

Price

The price of the product is dependent on what type PET bottles and the quantities

of the product that the client may order. The McBride PET Corporation is giving

extra effort in pricing their products they want to make sure that the price they are

giving is the right price for that specific products. In terms of delivering the products

to the client McBride PET Corporation has a free shifting within metro manila.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Promotion

In terms of promoting their products, they do not give much time on promoting

them. Even though they have a website, Facebook page and flyers these are not

enough for them to be the well-known PET bottles manufacturer. As part of their

promotion they are joining an exhibit expo especially on rural areas for them to

demonstrate their products to other potential buyers.

Place

They are distributing their product within the Philippines only. Mostly they distribute

their products within Metro Manila but they are trying to reach out the rural areas.

People

The McBride Corporation is giving importance to their employees. They are

motivating their employees by recognizing and by giving a rewards for the

achievements of their employees and for their suggestions and improvements.

They treat each other with respect and sensitivity. They develop, trained and

empower employees in order to take the initiative and to decide what is right. For

the McBride PET Corporation treating their employees right will help them to grow

more in the industry.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Process

They also give focus on the production of their. In order to satisfy the customer

they are assuring that the quality of the product has made while making the

products. There is a person who is in-charge to check if the bottle has been made

has the quality which the company offered.

Physical Evidence

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

SWOT Analysis of the Company in terms of Distribution of products

Strength

One of the strength of the McBride PET Corporation is they are using a multi-

channel strategy. Having their own delivery trucks is also a strength of the

company. They have a skilled agents.

Weakness

Lack numbers of delivery in terms of large number of products. Goal

incompatibilities of the channel members.

Opportunities

There is a possibility that their products will be distributed on rural areas. The

distribution channel should adopt latest technology and tools to shift the products

in their target market.

Threats

Delayed of distributing caused by a large number of product or other reasons.

Implementation of truck bans in some places here in Metro Manila. Other

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

competitors use latest technology and tools. Competitors have superior access to

channels of distribution. Failure of suppliers to meet quality requirements

SWOT Analysis of the Company

Strength

They have more than 550 clients. They do have a great relationship with their

client. Quality processes and procedures in making the product. They are giving a

high quality of products.

Weakness

They are not the most popular PET manufacturer in the Philippines. Lack of

Promotional strategies.

Opportunities

There is a possibility that the client of their competitors will transfer to McBride

Corporation. Improved access to potential new customers and markets. Increased

sales to existing customers,

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

Threats

Legal environment is one of their threats. Many competitors is in line with this kind

of business. Taxation is introduced in the product.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

III. Suggested improvements based on SWOT analysis

Suggestion to their Distribution Process

The McBride PET Corporation is a known PET manufacturer in urban areas, why

they try to reach out firms or businesses needed a PET bottles in some rural areas.

One of their weakness is they are lack on delivery trucks which is bad to the

company for the reason of they cannot distribute the products properly, thats why

they must add some delivery trucks in their company. And lastly they must try to

add some new agents in order to get more clients and more revenues might come

to their company.

Suggestion to their Company

They are supplying a high quality PET bottles they need to continue doing it, in

order to get a satisfied customer. They must try to improve their promotional

strategies. Having a website, Facebook page and flyers is not enough for them to

be known by some other firms. The company is growing fast they should start

adding their agents.

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 University of Caloocan City
College of Business and Accountancy
Camarin Business Campus

IV. Conclusion

The distribution channels play an important role in the provision of products of any

company in any market. The timely provision of products in the local markets can

help the clients to get their required products. The staff of the company should be

smart and vigilant, which can have capability to meet the requirements of the

clients. The distribution channel should have latest models of vehicle, which can

run round the clock to meet their business demands.

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