New product development

[Featuring Polo t- shirt]

A Project Report On

An assigned report submitted to: Ashraf Bin Azad Principle of management

Prepared by
Group: E Saiduzzaman Md. [Roll: 05-06225-3] Chaki tonmoy [Roll: 00-00000-1] Ashikur rahman [Roll: 00-00000-2] Md minhaz [Roll: 00-00000-3]

Department of Business Administration

American International University-Bangladesh
Banani, Dhaka-1213
November 26, 2008

LETTER OF TRANSMITTAL
26th november, 2008 ashraf bin azad Faculty, Department of Business Administration American International university-Bangladesh Banani, Dhaka-1213

Permission for submitting the project report Dear Sir, We are pleased to submit our project report on New product development. Our report focused on marketing practices on Polo T- Shirt. And tries to give an in depth analysis in terms of SWOT analysis, Competitor analysis and various other marketing issues. We gathered the information as much as possible. Much of our information comes from the companys own and partly from the web site. We enjoyed working on this report and hope you will find it innovative. Sincerely yours,

Saiduzzaman md Roll: 06-07378-3

Chaki tonmoy Roll: 06-06267-1

Ashikur rahman Roll: 06-06706-2

Md minhaz Roll: 06-07501-3

ACKNOWLEDGEMENT
All praises for the Almighty Allah, the most merciful and beneficent, for giving us sufficient opportunity to study in B.B.A. program (American International UniversityBangladesh). We are indebted to many people for providing us encouragement and support during our learning and working while making this project report and we want to show our gratefulness to these people. We are very much grateful to ashraf bin azad, our respected course instructor of principle of management, who provides us opportunity to do this project. It was not possible for us to perform this project without her sincere permission, constant support and inspiration. We express our gratefulness to her. Thanks to the authority, employees of Rehan garment for helping us in every possible way. Our cordial thanks to Mr. Rehan, Owner & CEO of Rehan garment for his enormous help and assistance, for providing us the required information about garment marketing practices using his valuable time. We would also like to thank our friends and peers for their encouragement, support, and suggestions, which helped us to make this project a successful one.

Executive summary:
Todays business captured a very big space in our life. Every one wants to setup their new business. For that they are trying do to do new thing. And we are also trying to launch a product, which doesnt need that much of investment but can earn a good profit. We are trying to do business, which is related to garments. We dont have that much of money to invest. Thats why will produce one product of garments that is POLO T-shirt.

TABLE OF CONTENTS

Particulars INTRODUCTION Our objectives Introduction of our product- polo t- shirt

Page No. 5 5 6 6 6-7 7 8 8 9 10 10 11 12 12

Causess of choise
Capital budgeting Steps of selling MARKET ANALYSIS TERGET MARKET SEGMENTATION OF OUR PRODUCT COMPETITOR ANALYSIS
PRODUCT DEVOLOPMENT

Swot analysis Advertising CONCLUSION

Introduction:
our product is related to garment. It is called POLO T-shirt. We see many types of T-shirt in the market. If any one wants to buy a quality T-shirt he/she should have to spend a big amount of money. But our product is different. The quality of our product is really good

and public need not to spend very big amount to buy it. it is export quality and has various type of design.

Our objectives:
Is to serve the best quality to ours public Is to make sure the cheapest rate Is to make better design and colors then others Is to attract the foreign buyers.

Introduction of our product polo-t shirt:

as we said before that we want to do garment business. So we choose the one product. That is polo T-shirt. Our product is little different then normal polo T-shirt. We will make different shape then others. Our product will have two different type of border under the Sleeve. The collar of the T-shirt will have different color then all part.

Causes of choice:

There is number of reasons to choice polo t- shirt as our product. Polo t- shirt is that product that can be used by any aged people at any time. Its not only one that product of garment which can be used by a specific age or group or gender of people. It can be used by all. 2nd its is a profitable business. It doesnt need that much of investment but can earn a good profit. The costing price of not that much of high. 3rd the raw material of the product is so much available.

Capital budgeting:
as we said before, we will set up a small business first, we didnt invest huge number of money. We are four members and we are investing 1.25 lakhs each. That means our total budget is 5-lakh taka. We will rent a house in suitable place. We will not spend not more then ten thousand for rent. Then we have to need to buy the machine. As we are starting small business we will buy only five machines at the beginning. Each of them will take Sixty thousand. That means the machine cost would be three-lakh taka. Then comes the raw material. We need different types of waive and button to make our product. we will buy the one lakh takas raw material first. We will keep Rest of the money for office and another expense. After making our product, we see that there is 2300 piece of t-shairt we made. And the costing price of each one is 42 taka with all the expenses. Then we set a price to sell our product. we set 62 taka for each one.

Steps of selling:

We will take some steps to sell our product.

The first step is, we will sell our Product to local buying house. That will not give us much profit but can sell a big quantity.

Then we can sell directly to the retailer. In that case we have to go directly to the market. Then we have to convince the retailer that why he/she should by our product. in that case we can earn a good profit. We can sell 1 t- shirt more then 62 taka, but quantity would be less. If we capture 10 or 15 shops that will buy our product, our selling quantity would be huge.

If our business speared much and if we collect good amount from our business, we will make our own showroom and brand. The 1st advantage of own showroom is we can sell our product directly to the customers. And we can sell our product in the rate of retailer. If the retailer sell 1 t- shirt in 100 taka, we can sell it 90 or 95 taka in our own showroom.

Market analysis:

In recent time, polo t- shirt has captured a big market of garment sector. This is not formal so any one can were that at any time. The age of the people who by a huge number of polo t- shirt mainly is 14-40. They r very much choosy to buying that. They want various colors and design. And also want different type of shape like full-slive or half-slive and also they want which is fit to their body. Most of them want different colors of collar then the whole t- shirt body color.

The price is different in the basis of quality. One color t- shirts selling price is 60-70 taka. If it is a high brand it will take more. The price of the different colors of one t- shirt is more then 100 taka. This is the one, which has very good market demand.

Target market:
Every aged people wear polo t- shirt. It can be wear by 10 years old kid and also can by 50 years old, old people. But our main target market is 14- 40. In this age, they buy their own. And they can spend much for a t- shirt is its good.

Segmentation of our product:

We have segmented our product in three different part. 1st we keep 10 16 years old kid in one pattern. They always choose color full t- shirt. So we have to thik differently for them. For that we have to make more colorful t- shirt then them. 2nd we keep 17-35 years old people in another pattern. They r more depends on style. They dont like many color full t- shirts. Some of them dont like the pocket in the chest.

3rd we keep 36-48 years old people in the last pattern. This age people are more depends on comfortable. So we have to produce more soft and thin t- shirt which is much comfortable.

Competitor analysis:
We analysis and found two types competitor for us. No 1 is local garments. There is number of local garments which is producing polo t- shirt like us. Rehan garments, shitol garments, shotorupa garments etc are the big industries which are producing big quantity of polo t- shirt in a day. And also purchasing a huge quantity of t- shirt in market. There are also quite a few small garments like us, which are producing the product.

No 2 are the brands. There are also number of brands in Bangladesh, which are famous for polo t- shirt. Cats- eye, crocodile, diesel, wastes, moods etc are the most famous brand. Though they are famous but people have to spend a big amount to buy 1 t- shirt.

Product development:
After analyzing the computer and market we found that, we need to develop our product a little bit. Most of the People want design, which is made by weive. We also found a small group of people doesnt like different colors collar then the body. They want the same color which in the body. So we need to make our product in the basis of this analysis. We have to make different types of design, which is attractive. On the other hand we have to put the same colors collar.

SWOT analysis:
Strength: the strength of our product is its price. We are giving much lower price then others. If any customer wants to buy a brand t- shirt he/she have to spend 700-1000. But as our production cost is low we can sell is in a lower price. If any one wants to buy a local garments t- shirt he/she have to buy 150-200 tk. And comparing them we also selling much lower then them in here also. We are giving much better quality in terms of our price. Weakness: the main weakness of our product is we are relatively new in market. People needs time to depend on our product.

Opportunities: we have a big opportunity if we keep our promise to the customers. That is lower price better quality. If we can attract the local customers with our quality, we can earn a good profit from the local market. The best opportunity we would like to have, that is exporting. There is lots of opportunities for the country like Bangladesh to go internationally. If our quality is good, we can easily attract the foreign buyers too. If we are success to do that we can earn a huge amount then the local market.

Threats: the first threat that we have that is from our local competitor. If we want to run in that race we have to compute very well then them. We have to depend on our product quality to win it. In first we will face some difficulty to attack the customer, this is the survival period that we must not fail.

Advertising:
As we are relatively new in market and we dont have much investment, we will do business to business advertising. Our buying house and the retailer shop will do advertising for us. When our business spread we will give our product add on television, radio, or on billboard.

Conclusion: