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“Distribution Channel of king Brand Cement.”

Executive Summary The topic of the report is “Distribution Channel of king Brand Cement.” This report is broadly categorized in three parts. In part one is introduction. In this part purpose of the study; statement of the problem; products components; price components; place components and objective of the study is discussed. Part two is Background of Bashundhara Group; Mission Statement and The Group’s Efforts.

In the part three is

discussed about Bashundhara group (MCML). In this part about Product Components; Current Distribution Network in Dhaka City; Dealers list at Dhaka Zone of the Meghan Cement Mills Ltd.; Discussion regarding place components. And part 4; continually is discussed about Conclusion; Bibliography. Purpose of the Study The main purpose of the study is to fulfill the requirement of 3 credits course.. It will help students to have the practical idea about working in corporate environment. This report is a requirement of the Business Communication. Program. But at the same time it is a great opportunity for the to share the practical experience in the market. A theory and short-term experience doesn’t fulfill the necessity of requiring a quality of jumping in the practical job market, where it is competitive and deserve more. Statement of the Problem King Brand cement use to be very popular in the Dhaka Market as local cement company. The management of Meghan cement wants to know, distribution channel need to change or not for the Dhaka market. Therefore, as a researcher do not have enough understanding to proceed with the research project. Thus need to explore or identify the problems in current distribution channel of Meghan Cement Product Components


1. From dept interview, it explored that end user purchase their cement based on recommendation of the masons, Architect’s Opinion, retailer’s pushing and some others factors including weight, price, depend on use and loyalty towards the particular brand. It also indicates that Meghna Cement has a lack of brand image. 2. Some other findings that quality of king brand Cement is batter price is so much high. And for the high price it lost its market value. But in trams of performance of this product is c compared with the foreign cement. 3. Here, it explored that product is not available, price is high compare to competitors price is fluctuating every day, there is no credit facility from the company, company can not deliver on time product, and factory location is so much far from the Dhaka city. 4. In context of packaging, it is explored that to develop the packaging system is essential. For said reason end user think that retailers mix less quality cement with that bag and sometimes end user also think that cement weight is not accurate. It means that 50 kags cement is not there. Another problem is paper sack; during rainy season cement looses its quality. Objectives of the study The main objectives of the study are to determine distribution channel of MCML. Therefore, following issues are considered as broad objectives. •

To find out the current problems with the products components.

To find out the current problems with the price components.

To find out the current problems with the place components.

To find out the current problems with the promotion components.

To address the board objectives some specific objectives has been developed. They are as follow•

To know the effects of board name in selling products. Therefore, it will help to take decision for the management regarding brand image.

To know current packaging situation, explore problems if any. It will help to know whether the current strategy should be change or not.


To know problem of the pricing policy of the product, and try to find out whether it needs to be change or not.

To know the approach of the sales representative towards the retailers. It will help to increase the efficiency of the sales representative.

To identify the problem of the existing sales promotions campaign, it will help to take necessary steps for the future promotions.

To know the problems of the running distribution network.

Part Two Background of the Bashundhara Group The Bashundhara Group of Companies started off as a real-estate venture known as “Bashundhara” under the aegis of the Group’s first concern The East- West Property Development (Pvt.) Ltd. This Project turned out to be very successful and had helped foster the growth of trust and confidence of the urban people in: Bashundhara”. Dhaka’s burgeoning population, combined with a conspicuously slow growth of housing- led to the landmark success of Bashundhara. Driven By the ramifications of this success, Bashundhara geared up to invest in new fields, including manufacturing and trading. More enterprises were established in the early 1990s, covering diverse activities involving the production of cement, paper and pulp, tissue paper, steel, LPG bottling and distribution, and a trading company, among others. All these had happened in a span of less than 10 years. During this period, additional schemes on land development and real estate were lunched and these focused more sharply on increasing responsiveness to client needs. At present, the group employees over 3500 people. The group’s first publicity-traded company, Meghna Cement Mills Limited, is currently listed on the two stock Exchanges of Bangladesh. The Group now has 14 major concerns located in different areas of the country. The mostrecent addition to the Group is a multi-faceted shopping mall-cum-recreation centre called the Bashundhara City (BCDL). The BCDL is one further step in our longstanding effort to strengthen our links with the general public through the unique offering of commercial operations and recreation facilities less than one roof. It houses theme parks, food courts, multi-screen cinemas, fitness centers, space for over 2800 shops, basement-level parking for


over a thousand vehicles, skating and bowling rinks, a supermarket, and office space spread over several floors. The Group has come a long way in reaching these goals by listening to client needs, learning real-time lessons from past projects, innovating and partnering. Through major investment undertakings, Bashundhara has meaningfully contributed to the economy's stability in financial and capital markets. Underlying all of the Group's activities are the common threads of change, flexibility, and fostering closer ties with the Government, the City Corporation and our clients. Most of its projects have been success stories - this fact alone is enough to justify a sense of confidence in the Group's future. Mission Statement Bashundhara Group (BG) is a leading private-sector industrial conglomerate in Bangladesh. It currently has 14 on-going concerns, ranging from real estate development and management to manufacturing and services. The BG strives to work in partnership with the Government for promoting sustainable development, environment preservation, and employmentgeneration and poverty reduction. The BG has a particular focus on urban housing, recreation centers, and commercial ventures. Thus, the motto of the Group is “For the People, for the Country”. At the crux of all industrial processes deployed at the Group’s enterprises stands the need to ensure environmental stability. As a result, conscious efforts are made to use recycled material as industrial input. The Group's efforts seek to •

Create affordable housing (developed land & homes) for people.

Foster better living environments and pleasant surroundings.

Ensure environmental balance and sustainability.

Use re-cycled raw material in industrial production.

Treat industrial effluents.

Establish recreational and shopping facilities for people.

Develop a meaningful partnership with others for development.

Provide better working conditions for its staff members.


The BG works in close partnership with the City Corporations, the Government of Bangladesh, other private sector companies, multilateral institutions, the environment department, and myriad financial institutions. The BG has its headquarters in Dhaka, Bangladesh. Its Chairman and a Board of Directors frame the Group’s policies. The Managing Director acts as the Chief Executive Officer. Projects of Bashundhara Group East West Property Development Ltd. The EWPD has two core on-going projects at this time: the Bashundhara Baridhara Land Project and the Riverview Land Project. The Baridhara Project is a sprawling residential complex covering over 3500 acres and 25,000 plots. The plots come in the following sizes: 3, 4, 5, 7.5 and 10 kathas. At the present time, the Company is offering plots in Blocks - M, N, and P (shown on map) with a very competitive pricing scheme and easy repayment methods. Most of these plots are now ready for immediate home-construction.

After a successful take-off of the Baridhara land project, Bashundhara took the added initiative of developing an apartment project within the complex itself. This venture focuses particularly on fixed-income urban groups. Pricing and payment options are flexible and can be attuned to the financial circumstances of particular buyers. The Baridhara Apartment Project is now accepting bookings from the general public and expatriate Bangladeshis for allotment of apartments located in Blocks- A, E, G and I of the Baridhara land project. Floor measurements of these apartments range from 1100 to 2600 square-feet. It is expected that these apartments will be ready for hand-over to their owners within three years. In close proximity to these apartment blocks, construction has begun for the establishment of the following facilities: a modern hospital, an international school, two well-known universities, a super market, a sports zone, parks and a mosque. An impressive range of sizes and designs are being offered, and prices range from Taka 1350 to Taka 1625 per square-feet.


Layout Map of Riverview Land Project The Riverview Land Project is located by the side of the scenic River Buriganga. It is conveniently located in close proximity to the China-Bangladesh Joint Venture Bridge-1 (also known as the Buriganga Bridge-1). Thus, it is very well linked to the major roads that connect with the city of Dhaka. The main business hub of Dhaka, the Motijheel Commercial Area, is no more than 3 kilometres away from the Project site, as is the popular junction – the Babu Bazaar Bridge. This is a mammoth project where it is expected that vital services will be available, including schools, colleges, a private university, shopping centres, a mosque, and a hospital. The Project is constituted with six blocks – A, B, C, D, E, and F. The sizes of individual plots are: 3, 3.5, 4, 5, 7.5, and 10 kathas (One Katha = 66.91 square metres). This project comes as a fulfillment of a long-standing desire of the residents of “old” Dhaka City to establish a well-structured and modern residential complex, in close proximity to the river and some heritage sites of “old” Dhaka. Experts have carried out the Project’s layout and regional in-site planning. The site is now poised for rapid growth and planned habitation - at very affordable prices. The contact details of the Corporate Office are shown belowBashundhara Corporate Bashundhara

Group, Office, City


13/ka/1

Panthapath

Dhaka-1205 Bangladesh Phone:

(880-2)8158025-

34

Fax: 880-2-9128319 Web

Site:

www.bashundharagroup.com

E-mail: bgc@bdcom.com Part Three Over View of The Bashundhara Group (MCML) Meghan Cement Mills Ltd.

The Meghana Cement Mills Limited (MCML) was the first undertaking Bashundhara Group in the manufacturing sector. This enterprise produces world-class cement and, as a testimony to this, stands the fact that the concern has been awarded the ISO-9001 certification for sustained quality control effort. The Company markets its cement under the registered trademark of “King brand".


The factory of this Company is located in the south-western part of Bangladesh at Mongla Port Industrial Area, in Mongla, Bagerhat under the Khulna Division. The Mongla Port is the second-largest seaport of Bangladesh. The Jetty of this Company is situated on the eastern side of the river 'Possur'. This river is also connected with many other rivers of the country. Given this favorable geographical scenario, it is easy to implement a year-round delivery and raw material transportation to and from the MCML factory site to remote corners of Bangladesh. The factory stands close to the Mongla-Khulna Highway as well.

The Meghana Cement Mills Ltd. is the largest domestic cement-producing unit in Bangladesh. Its excellent quality-control standards have helped the Company acquire the ISO-9001 certification. The product of the Mill is being marketed under the trademark of 'King Brand Cement'. This brand now has a steady market share, thanks to its consistently high quality. The Mill was set up in 1995 on 10.5 acres of land and went into commercial production in January 1996. It has two computerized production units and two automated packaging plants. The mill has its own jetty with facilities for speedy unloading of raw materials from ships. In addition, the unique barge loaders are capable of quick loading (capacity of 5,600 bags per hour) of the finished and bagged cement for delivery to the buyers. There are six silos within the mill premises to store clinker. These units are equipped with control elements to regulate humidity and temperature, which are the vital for the shelf life of stored cement and cement-making ingredients. The Mill has two stand-by generators to provide electric power during phases of


power supply failure of the national power grid. The Plant also has a well-equipped quality assurance and testing laboratory.

Bashundhara's "King" Brand cement is well-known throughout Bangladesh. The weight of each marketed bag is always perfect due to the adoption of an automated packaging system. There is a laboratory, equipped with modern equipment within the Mill premises to conduct tests at each hour for every shift covering every stage of the production process. The most recent quality standards, namely BS and ASTM, have also been in incorporated in this brand of cement. The factory's environmental standards are high, thanks to regular inspections by the Company's senior scientific staff members.

The Company has been awarded the coveted ISO-9001 Certification in the year 2000 by the National Quality Assurance (NQA), registered by the National Accreditation of Certificate Boards, UK.


Sales Bashundhara 13/ka/1 Phone Fax E-mail

and City, Dhaka-1205,

Panthapath, : : :

Marketing Level-16

Bangladesh 880-2-8158025-34 880-2-9128319 bgc@bdcom.com

Bashundhara Cement Sack plant In the 1970s, Bangladeshi cement producers had been using simple multi-wall paper sacks for packaging cement. Scarcity of basic raw material for manufacturing cement such as lime stone and gypsum and inadequate industrial infrastructure had forced the country to import almost 90% of its requirement of cement till the late nineties, most of which used to come in paper sacks. With the commissioning of Meghna Cement Mills Ltd. - a concern of the Bashundhara Group - the largest domestic cement plant in the country in January 1996, the nation's cement industry leaped into a new era of self-sufficiency. An accelerated economy, spurred by a booming construction and housing industry, had made Bangladesh one of the most popular destinations for cement producers. With the arrival of several local companies and a few international cement giants in the field of cement production, there occurred a spectacular growth of output over the last 5 years. Coupled with it, the demand for cement packaging bags went up by mammoth proportions. At the peak of this demand cycle, Bashundhara's paper sack manufacturing unit went into production in June 2000. At the beginning, this plant received orders from about 50 different cement producers, local and international. In June 2000, the first ever-pasted paper sack manufacturing unit was established within the premises of Hazrat Shahjalal Newsprint Industries Ltd., an enterprise of Bashundhara Group, situated at Meghnaghat - about 28 kms from the capital city of Dhaka. Windmill & Holsters of Germany - a world leader in the field, supplied the paper sack converting line. The highspeed sack line for manufacturing multi-wall cement sacks makes use of a strong plastic-type


additional wall for added strength and prevention of moisture seepage. The manufacturing capacity of this unit is over 60 million multi-wall paper sacks per annum. Bashundhara Group takes pride in being instrumental in making Bangladesh self sufficient in the production of paper sacks so that the import of paper sacks comes to a halt. The buzzword was "QUALITY & SERVICE" on which the entire manufacturing & marketing policy of the Bashundhara Group is based. The paper grade/quality of raw material is vital for bag performance. Experimental work has confirmed the fact that tensile energy absorption (TEA) of the paper can be used to predict bag performance. Bags, when dropped, are subjected to impact loads far in excess of their ultimate tensile strength. Only by dissipating this energy over a period of time can these tensile forces be contained. Therefore, the distance through which the tensile force acts (i.e. stretch) and the total time must also be taken into account. The Swedish Kraft paper used by Bashundhara for making sacks gives a very high energy absorbing capacity. The adhesive used for pasting the sacks is a specially-developed modified potato starch imported from Holland to make room for firm bonding, even at high humidity levels. It is due to the factors noted above that the Bashundhara sacks performed better than most bags imported earlier in monsoon-prone hot and humid environment. Due to the excellent product quality, Bashundhara's cement sacks are still in high demand and many cement manufacturers of the country have orders lined up with this plant. The plant is capable of printing any kind of logo/labels on the bags and there is a choice of several color combinations. Bashundhara Trading Company Ltd The BTCL serves as the general trading arm of the Group. It supports the import, export, sales and marketing endeavors of the Group's many enterprises. It helps develop marketing channels and methods. This unit also operates as a private trading company engaged in the acquisition of basic raw materials and finished products for private buyers - outside the domain of the Bashundhara Group. It was launched in the year 1993, initially to support backward linkages and marketing strategies for the Group. Bashundhara Industrial Complex Ltd The Bashundhara Industrial Complex Limited was set up in the year 2000 as the second plant of Bashundhara’s cement producing concern, the Meghna Cement Mills Limited. The Bashundhara Industrial Complex Limited was set up in the year 2000 as the second plant of Bashundhara’s cement producing concern, the Meghna Cement Mills Limited. It began production in 2002 and is now a profitable and viable enterprise of the Bashundhara family. It has immediate plans to also deal in trading, clearing and forwarding, and shipping-related business. The BICL is now engaged in carrying out studies on a proposed project that will enable the Company to set up its own dockyards and shipyards in Chittagong, Bangladesh. At a later stage, the BICL has plans to get more intricately involved in inland water transport for movement of passengers and cargo within the country. Bashundhara Communication & Networks Ltd Bashundhara Communications & Networks Limited (BCNL) is the telecom services provider arm of the Bashundhara Group. BCNL’s vision is “To Provide Quality Telecom Services at


affordable cost to the people of Bangladesh�. BCNL proposes to build high-bandwidth networks to provide the various telecom services that are now in shortfall. BCNL seeks to provide a wide array of telecom services across Bangladesh that include Fixed Wireless Access (basic services), Mobile and Data over optical backbone in the medium term, and build its own International Gateway over the long term. BCNL would like to position itself as a convergent telecom services provider, with initial entry into Fixed Wireless Services and expanding into Mobile over the medium haul.

MARKETING PLANNING FOR 2005 OF KING BRAND CEMENT A target has been prepared of 2, 40, 00,000 Bags (1, 00,000 MT Per month) for 2005. The value of this target is Tk. 528, 00, 00,000. An expenditure budget has been calculated of Tk. 5, 28, 00,000, which is 1.00% of total sale. Growth has been taken 115.50 % over last year. Details planning and data are appended bellow. Sale in 2004: Quantity In MT In Bags In Taka Target for 2005: Quantity In MT In Bags In Taka

Daily 1,546 30,936 68,06,103 Daily 3,333 66,660 1,46,65,200

Growth taken over 2004 (In Taka): 2005 2004 Deference Ratio

Monthly 46,405 9,28,105 20,41,83,100

Yearly 5,56,863 11137260 245,01,97,200

Monthly 1,00,000 20,00,000 44,00,00,000

Yearly 12,00,000 2,40,00,000 528,00,00,000

528,00,00,000 245,01,97,200 282,98,02,800 115.50 %

Expenditure Budget for 2005: Sp. Commission 3,12,00,000 (65% of Total Target = 1,56,00,000 Bags. X Tk. 2) Sales Promotion/Scheme 1,00,00,000 (Ad, Gift, Conf.) Sign Board 10,00,000 (100 x Tk. 10,000) Ad. On Double Decker 50,00,000 Others 56,00,000 Total Expenditure 5,28,00,000 Exp. Ratio 1.00% Tk. 2.20 Per Bag


Objective: •

To achieve this target we will make profit.

We will regain our market share gradually.

Growths will 132.59 % over last year.

Program to be taken in two spells. In 1st spell 60% & 2nd spell 40%.

We have to given benefit to our Dealers silently. (Gifts through Scheme & Sp. Commission)

It will not create under rating problem in the market.

Target has been taken total 1, 44, 00,000 Bags in 6 months (60% of total target).

Value of this target is Tk.316, 80, 00,000.

The budget of this Scheme is Tk.52, 97,200

Ratio of budget is 0.16 % of sales.

Each Dealer will get 01 scratch card for each 5000 Bags lifting in each month.

Every Dealer will get maximum gifts & Sp. Commission.

The prize will distribute through a program at 5 stars Hotel.

It will create our image.

Strategy: 1. Quality: •

Needed quality product.

2. Price fixation: 2 • To be given us the price calculation reports on each LC. •

To be given us prior information, before declaration of price enhancement or decrease.

To be given us the price calculation reports on each LC.

Needed to sale in Dhaka at break-even price.

There may be a price fixation committee. GM and I will be the member of the committee.

We want to make profit at western zone.


3. Outstanding: •

No further credit facility to anyone up-to June’05. We will reduce at 50% of previous outstanding up-to June’05.

It will require to sale on credit from July’05.

We need delivery, remittance and outstanding report on daily basis from accounts department.

4). Problems & Suggestions: •

Needed 5 Cargo Vessels as chartered.

Needed 01 Bashundhara Cargo more for Western Zone.

We will give 115.50% growth over 2004. (Excepting institutional sales)

If anybody contributes in sales from any institutions that may not be include in our sales, but it to be made through sales & marketing department.

No interference of other department/ persons.

After each quarter, management will take feedback from us.

Facility of each member of S&M department will be increased. i.e. salary, D.A., mobile phone ceiling, incentives.

We need 4(four) field-forces more.

We need 1(one) asst. officer & 1(one) peon.

We need 1.00% expenditure of annual sales to achieve the target for 2005.

I need non-ceiling mobile phone & direct T&T phone.

I need full time car with driver & maintenance for extensive tour to achieve the target of Tk. 528, 00, 00,000 for 2005.

Needed to give incentives to Field Forces.

5. Promotional Expenses / Scheme: Target has been taken total 1, 44, 00,000 Bags in 6 months (60% of total target). Value of this target is Tk. 316, 80, 00,000. And the budget of this Scheme is Tk.52, 97,200. Ratio is 0.16 %. Each Dealer will get 01 scratch card for each 5000 Bags in a month. The prize will distribute through a program.


Sl. No 01 02 03 04 05 06 07 08 09 10 11 12

Name of Gifts

Price

Qty.

Value

Car (Station Wagon) Motor Cycle Fridge Washing Machine Color TV Micro Woven DVD Player Box Fan Charger Light Wrist Watch Iron Prize Bond Total Scratch Card

5,00,000 70,000 25,000 10,000 10,000 10,000 4,000 1,500 1,000 1,000 500 100 à

2 5 6 10 10 10 25 100 100 500 965 1147 2880

10,00,000 3,50,000 1,50,000 1,00,000 1,00,000 1,00,000 1,00,000 1,50,000 1,00,000 5,00,000 4,82,500 1,14,700 32,47,200

Expenses for Program(Dinner)

1000

250 Per

2,50,000

Other Expenses for program (Artist ,Hotel Rent for Dealers) Paper Ad 75,000 Total Expenses in Jan – Jun’05 Total Expenses in July - Dec’05

Remarks

2880 x 5000 Bags =1,44,00,000 Bags

3,00,000 24 18,00,000 insert 52,97,200 47,02,800

TShirt,Cap,Def. Gifts,Mason Conf. To be done.

Marketing Mix Marketing Mix as the set of controllable, technical marketing tools that the firm blend to produce the response it wants in the target market .the marketing mix consists of everything the firm can do to influence the demand for its product. Marketing mix is the set of marketing tools that the firm uses to persuade its marketing objectives in the target market. Mc Carthy classified these tools in to four groups that he called the four Ps of marketing. The main possibilities can be collected in to four groups of variables know the four Ps- these are given bellow-


MARKETING Product Promotion Product Varity Quality Design Features Brand name Packaging Sizes Services Warranties Returns

Price

Place

List Price

Channels

Sales Promotion

Discount

Coverage

Advertising

Allowance

Assortments

Sales Force

Payment Period

Locations

Public Relation

Credit terms

Inventory

Direct Marketing

Transport


Marketing Mix Strategy

Promotion mix

Sales Promotion Offering mix

Product Company

Service Price

Advertising Sales Fours Public Relations Direct mail, Telemarketing and Internet

Distribution Channels Distribution Channels


Marketing Mix Marketing Management Introduction The Marketing Mix, a basic tool of Marketing managers, is defined by Microsoft Encarta World English Dictionary as: “marketing mix (plural marketing mixes) noun mixture of marketing techniques: the particular mixture of marketing techniques, for example, pricing, packaging, and advertising, used to promote the sale of a product” (2000). Marketing Mix is also known as the Four P’s. The Four P’s stand for Product, Price, Place, and Promotion. This paper will look at the Marketing Mix by explaining what the Four P’s are and show how a business would use the mix to market a product or service. The Four P’s The Marketing Mix is used to market a product or service, this is done by using the Four P’s to establish what the Product is, the Price, the Place and the Promotion. Marketing managers bring the elements of the Four P’s together, combining them to achieve a greater result from their combination then each of the individual effects of the Four P’s (Anderson, Vincze 2000). The Four P’s consist of the following: • Product – This is the good or service that the company provides. However it is more then the product or service itself, it is also the benefits that meet The Marketing Mix model (also known as the 4 P's) can be used by marketers as a tool to assist in implementing the marketing strategy. Marketing managers use this method to attempt to generate the optimal response in the target market by blending 4 (or 5, or 7) variables in an optimal way. It is important to understand that the Marketing Mix principles are controllable variables. The Marketing Mix can be adjusted on a frequent basis to meet the changing needs of the target group and the other dynamics of the marketing environment. Product Product: "Anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. In includes physical ob-jects, services, persons, places, organizations and ideas. “Historically, the thinking was: a good product will sell itself. However there are no bad products anymore in today's highly competitive markets. Plus there are many laws giving customers the right to send back products that he perceives as bad. Therefore the question on product has become: does the organization create what its intended customers want? Define the characteristics of your product or service that meets the needs of your customers. Functionality; Quality; Appearance; Packaging; Brand; Service; Support; Warranty. Price Price: "The amount of money charged for a product or service, or the sum of the values that consumers exchange for the benefits of having or using the product or service.” How much are the intended customers willing to pay? Here we decide on a pricing strategy - do not let it just happen! Even if you decide not to ask (enough) money for a product or service, you must


realize that this is a conscious decision and forms part of the pricing strategy. Although competing on price is as old as mankind, the consumer is often still sensitive for price discounts and special offers. Price has also an irrational side: something that is expensive must be good. Permanently competing on price is for many companies not a very sensible approach. List Price; Discounts; Financing; Leasing Options; Allowances. Place "All the company activities that make the product or service available to target customers.� Available at the right place, at the right time, in the right quantities? Some of the recent major changes in business have come about by changing Place. Think of the Internet and mobile telephones. Locations; Logistics; Channel members; Channel Motivation; Market Coverage; Service Levels; Internet; Mobile. Promotion Promotion: "Activities that communicate the product or service and its merits to target customers and persuade them to buy." (How) are the chosen target groups informed or educated about the organization and its products? This includes all the weapons in the marketing armory - advertising, selling, sales promotions, Public Relations, etc. While the other three P's have lost much of their meanings in today's markets, Promotion has become the most important P to focus on. Advertising; Public Relations; Message; Direct Sales; Sales; Media; Budget. The function of the Marketing Mix is to help develop a package (mix) that will not only satisfy the needs of the customers within the target markets, but simultaneously to maximize the performance of the organization. There have been many attempts to increase the number of P's from 4 to 5P's in the Marketing Mix model. The most frequently mentioned one being People or Personnel. Many people have already heard about the "4-Ps of marketing". Generally speaking, the socalled "marketing mix" is a framework which acts as a guideline for marketers to implement a marketing concept. It consists of a set of major decision areas that a company needs to manage in order to at least satisfy consumer needs. According to Kotler et al. (1999) the mix is a set of "controllable tactical marketing tools [...] that the firm blends to produce the response it wants in the target market". Hence, in an effective marketing programme all of those elements are "mixed" to successfully achieve the company's marketing objectives. However, the 4-Ps approach has often been criticised in the past. Some critics for example argue that "it oversimplifies the reality of marketing management" (quoted in Jobber 1998). Furthermore, in the context of relationship marketing (to consumers) or key-account management (in industrial marketing), it could be argued to add "partnerships" as an additional "P" to the marketing mix as well. Main reason for this addition would be the growing focus in marketing toward long-term orientation that needs to be considered in most marketing concepts. As one can observe from various marketing related discussion boards on the net (or from the marketing literature), there is no clear "yes" or "no" regarding the usefulness of any possible extension to the traditional 4-Ps approach in marketing.


The biggest advantage of this discussion however is probably that those who discuss it deepen their own knowledge – not only about the marketing mix in particular but also about marketing in general.

Note that four pest represent the seller’s view of the marketing tools available for influencing buyers. From a buyer’s point of view, each marketing tools is designed to deliver a customer benefit. Robert Lauterborn suggested that the sellers four Ps correspond to the customers four Cs.

Product

Customer Demand

Price

Customer Cost

Place

Convenience

Promotion

Communication


The Reasons of Buying: Price components Sr. No. Particular 1 Brand Loyalty 2 Reasonable Price 3 Customer Demand 4 High Quality

% of Cases 10% 5% 25% 60%


Sr. No.

Name of the Brand

Commission

Rate with Carrying cost in the Dhaka city

1

King Brand

No

274 Tk.

2

Holcim Black

5 Tk.

285 Tk.

3

Holcim Red

5 Tk.

301 Tk.

4

Holcim Black

Developer

266 Tk.

5

Holcim Red

Developer

288 Tk.

6

Scan

5 Tk.

286 Tk.

7

Cemex super Shakti

5 Tk.

254 Tk.

8

Anwar cement

6 Tk.

254. Tk.

9

Saven Rings

2 Tk .

256 Tk.

10

Tigeer

5 Tk.

258 Tk.

11

Crown

4 Tk.

265 Tk.

12

Shah

3 Tk.

258 Tk.

13

Mir

2 Tk

257 Tk.

14

Fresh

2 Tk.

255 Tk

15

Akij

-

267

16

Primer

6 Tk.

255

Place components Sr.

Name of the factory

P.Capacity

Locatiom

no. 1 2 3 4 5 6 7

Akij Cement Aman Cement Anwar Cement Bangla Cement Bangal Tiger Cement Cemex(BD) Ltd. Hedielbarg(Scan= Rubi)

Million M.T. .333 .210 .500 .030 .210 .450 1.85

Nabinagar, N. Gonj Ullaphara, Sirahgonj Gazaria. Munshigonj Mahmudnagar, N.Gonj Palash, Nr shindig Dhaka Madangonj, Dhaka katchpur


8 9 10 11 12 13 14 15 16 17 18 19 20 21

Metropalitan Cement M.I Cement Mir Cement Modern Cement M.T.C. Cement Padma Cement Premeier Cement Rowsaan Cement Salam Cement S.C.O Cement Seven Circles Cement Shah Cement Sirajgong Cemenrt Unique Cement

.80 .420 .100 .210 .450 .180 .600 .100 .050 .120 .390 1.200 .100 .300

Mukterpur, Dhaka Mukterpur, Dhaka Murapara Rupgonj Meghna Bridge, Dhaka Meghnaghat, Dhaka Sahjadpur, Sirajgonj Mukthpur, Dhaka B.C.C Ind. Sirajgong B.C.C Ind. Sirajgong Gajaria, Munshigonj Kaligonj, G Pur Dhaka Mukthpur, Dhaka Bhelkuchi, Sirajgong Meghnaghat, Dhaka

The Reasons of Not Buying:

Lack of Advertisment Lack of Distribution

Doubt about Quality

High Price


Sr. No. Particular

% of Cases

1

Lack of Advertisements

10%

2

Lack of Distribution

5%

3

Doubt About Quality

20%

4

High Price

65%


70

60

50

40

30

Percent

20

10 0 Strongly Agree

Agree

Disagree

Strongly Disagree

The Packing of King brand Cement creat impact on new purchaser Sr. No. Particular

% of Cases

1

Strongly Agree

10%

2

Agree

60%

3

Disagree

20%

4

Strongly disagree

65%


50

40

30

20

Percent

10

0 Excellent

Satisfactory

Average

Below Average

Measurement of Customer Attitude of Product

Sr. No. Particular

% of Cases

1

Excellent

25%

2

Satisfactory

45%

3

Average

25%

4

Below Average

5%


70

60

50

40

30

Percent

20

10 0 Strongly agree

Agree

Disagree

Strongly Disagree

The quality of Cement unchanged in existing packaging


Sr. No. Particular

% of Cases

1

Strongly agree

25%

2

Agree

60%

3

Disagree

10%

4

Strongly disagree

5%


70

60

50

40

30

Percent

20

10 0 Very High

High

Reasonable

Very Cheap

Measurment of the pricing Strategy

Sr. No. Particular

% of Cases

1

Very High

60%

2

High

25%

3

Reasonable

10%

4

Very Cheap

5%


60

50

40

30

Percent

20

10

0 Strongly Agree

Agree

Disagree

strongly Disagree

The sales representative of king brand Cement is co-operative

Sr. No. Particular

% of Cases

1

Strongly Agree

20%

2

Agree

55%

3

Disagree

20%

4

Strongly disagree

5%


Sr. No. Particular

% of Cases

1

Agree

25%

2

Disagree

65%

3

Strongly disagree

10%


60

50

40

30

Percent

20

10

0 Strongly Agree

Agree

Disagree

Strongly disagree

Promotional strategy has increased sale of king brand cement

Sr. No. Particular

% of Cases

1

Strongly Agree

20%

2

Agree

55%

3

Disagree

20%

4

Strongly disagree

5%


60

50

40

30

Percent

20

10

0 Strongly Agree

Agree

Disagree

Strongly disagree

The sale has increased only for the promotional Strategy


Sr. No. Particular

% of Cases

1

Strongly Agree

25%

2

Agree

55%

3

Disagree

10%

4

Strongly disagree

10%

Discussion regarding product Components From dept interview, it explored that end user purchase their cement based on recommendation of the masons, Architect’s Opinion, retailer’s pushing and some others factors including weight, price, depend on use and loyalty towards the particular brand. It also indicates that Meghna Cement has a lack of brand image. Some other findings that quality of king brand Cement is batter price is so much high. And for the high price it lost its market value. But in trams of performance of this product is c compared with the foreign cement. Here, it explored that product is not available, price is high compare to competitors price is fluctuating every day, there is no credit facility from the company, company can not deliver on time product, and factory location is so much far from the Dhaka city.


In context of packaging, it is explored that to develop the packaging system is essential. For said reason end user think that retailers mix less quality cement with that bag and sometimes end user also think that cement weight is not accurate. It means that 50 kegs cement is not there. Another problem is paper sack; during rainy season cement looses its quality. Current Distribution Network in Dhaka city

Retailers

Factory

Developer

Dealer

Sales Officer

After Producing the Cement from the factory Dealers purchases the product from the company to sale the retailers and their customers. And always dealer can sales the product to the retailer and developer by the direction of companies sales officer. After purchases the product retailer sales to the developer and end-users. Dealer also sales the product individually to any kinds of customer. On the other hand company’s sales officer can direct sale to the dealer, Retailer, developer and the end-user. Companies sale officer also can sales the product directly from the factory. The Current Distribution Network in Dhaka city of king brand cement is done by above maintaining procedure. Dealers list at Dhaka Zone of the Meghna Cement Mills Ltd.


S.N.

Name of the Dealer

Area

Contact No

1.

Dhaka Builders

Mirpur

8010054

2.

United Brothers

Pagla

7415276

7415191

3.

Dhaka Builders

Pagla

7604560

7415035

4.

Sheema trading

Pagla

7604263

7415100

5.

Mintu Enterprise

Pagla

7415112

7415722

6.

Madina Trading

Pagla

7415116

7604425-26

7.

Rita Traders

Pagla

7604771

8.

Mollah & Brothers

Pagla

7415166

7604273-74

9.

Masud Trading

Pagla

7415282

9337311

Discussion Regarding Place Components 1. After analyzing the secondary data, it revealed that 21 cement factories are near the Dhaka city and it is also mentionable that the market leader of Dhaka, Shah Cement locates near Dhaka city. 2. In dept interview, retailers have said that they are not getting cement on time in the cement sector on time delivery is important, for example, a builder wants to mould a roof on Friday. Therefore, he informed to the retailer on Wednesday or Thursday for a particular brand. Then retailer contacts with dealer or company to get the product. If


company or dealer fails to supply the product just in time, than retailer has to supply the product which is available on that time 3. After analyzing the current distribution Network it is found that, at first dealer is getting the product from factory and sells to the retailer, developers, and end user. 4. Another findings is company s sales representative collect order from the developers and retailers, they place those order to the dealers than the dealer acquired some amount of profit, but if it sales on credit that time risk is totally on company. Therefore, it is clear that, current distribution channel has created problem.

Part Four Conclusion King Brand Cement of Bashundhara Group was a pleasant experience while doing a research on identifying the problems regarding Distribution Channel s research the researcher has got introduce with real life. For the said reason, the researcher had to work with the retailers, dealers, and employees of the Meghna King Brand Cement. It has given the researcher a Practical idea about the forma and orthodox official environment before entering in the job market. After analyzing the secondary data, it has reviled that there are more than twenty one cement factories have been located with in 100 kilometers of Dhaka city. It is very threatened information for the Meghna Cement, as the factory of Meghna has located at Mongla. From the dept interview analysis, researcher has explored the following information. Meghan has lost its brand image. Retailers are not getting on time delivery. Price is fluctuating tremendously compare to its competitors. Retailers are not enjoying any kind of credit/commission from the company. Retailers are facing troubles for loose packet of the product. There was a communication gap between retailers and sales representatives. When company sales through sales representative to the retailers, they have taken the product from dealers, if dealers supply the product on credit to the retailers, ultimately the company is bearing the credit as they also supply the product to the dealers on credit, that is why the risk regarding the product supply is very high for the company. Bibliography


Booms, B. H. and Mary-Joe Bitner (1981), "Marketing Strategies and Organization Structures for Service Firms", in Marketing of Services, J. H. Donnelly and W. R. George, Eds. Chicago: American Marketing Association.

Jobber, David (1998), Principles and Practice of Marketing (2nd ed.). London: McGraw-Hill Publishing.

Kotler, Philip, Gary Armstrong, John Saunders, and Veronica Wong (1999), Principles of Marketing (2nd European ed.). London: Prentice Hall Europe.

Annual report, King Brand Cement, 2003

Annual report, King Brand Cement, 2004

Directory of Bangladesh Cement manufacturing association.

Marketing Management (Philip Kotler)

htt: //www. bashundharagroup.com/mcml/aboutus.html

htt: //www. bashundharagroup.com

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“distribution channel of king brand cement ”  

The topic of the report is “Distribution Channel of king Brand Cement.” This report is broadly categorized in three parts. In part one is i...

“distribution channel of king brand cement ”  

The topic of the report is “Distribution Channel of king Brand Cement.” This report is broadly categorized in three parts. In part one is i...

Profile for lawjuris
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