STALLIONS-BD AGRO LTD

Marketing Planning
ALOHA Supreme Oil

Valued Management of STALLIONS-BD LTD 8/1/2010

The Paper was written by

Sayed Imam ID Number: 09-93135-2 Signature: Arunangshu Paul ID Number: 09-93134-2 Signature: Md. Anisur Rahman ID Number: 09-93030-2 Signature: Rahbar Mahmood ID Number: 09-93133-2 Signature: Sadia Afrin ID Number: 09-93170-2 Signature:

The Paper was written for

Md. Rajib Alam Signature: Faculty of MBA (Marketing)

CONTENT
Executive Summary----------------------------------page1-3
Company profile Board of directors

Market Situation Analysis-------------------------- page 4-13

Major industry players in Bangladesh Market summary Target market: SWOT analysis Possible Major Competitors: Product offerings: Product content

Marketing strategy-------------------------------------page 14-28

Branding Target market Market Positioning Strategies For consumer For distribution channels Awareness by Market Research

Financials--------------------------------------------------page 29-34
Financial objective Sales forecast Expense forecast Breakeven analysis

Control Process------------------------------------------page 35-36

Implementation

Executive Summary
In this report we are writing about a consumer product which is Cholesterol free oil branded by the name of ALOHA Supreme Cholesterol free oil; introduced by STALLIONS -BD, the company originally formed as printing & packaging industry, later moved toward trading consumer products and now we are going to established itself as Cholesterol free oil manufacturing company in Bangladesh. Here in this report we are going to analysis the current market situation including market summary, major industry players of oil manufacturing/supplying companies, target market analysis which are consumer & business market, SWOT analysis of the company which shows the strength, weakness, opportunities and threats created by others, the possible competitors of our product, content of the product mainly the ingredients, marketing strategies include target market, market positioning, strategies including promotional activities, market capturing formulas, maintaining relationship with our business partners and consumers and to hold the market share and how we will expand it and finally the financial analysis which includes sales forecast, expense forecast, breakeven analysis, and control process of the organization.

Company profile
STALLIONS-BD was formed in 1994 as a printing and packaging industry for international and domestic market, later it went into trading of consumer products like chips, vegetable oil, spices, sauce, jam, jelly and other related cooking ingredients. The companys turnover is well maintained by its board of directors. In year 2009 the new board of directors decided to manufacture its own branded Cholesterol free oil, the company wants to launch its first Cholesterol free oil in between mid of 2011. The Cholesterol free oil would be the first product of this manufacturing unit, later on it will move toward rice, dal, sugar and salt refining. Currently the company is focusing on its Cholesterol free oil manufacturing unit. Consumer item was not the main focus when the original company was formed but now with growing market demand of Cholesterol free oil and for having a good trading experience, the company decided this strategy to manufacture its own branded Cholesterol free oil.

Name of Organization: STALLIONS-BD AGRO Limited Brand: ALOHA Supreme Oil Product: Cholesterol free oil Year of establishment: January 1st, 2010
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Estimated project budget: taka 160,000,000.00

Board of directors:
Rahbar Mahmood Position: Chairman Sayed Imam Position: Managing Director Arunangshu Paul Position: Finance Director Sadia Afrin Position: Human Resource Director Md. Anisur Rahman Position: Sales & Marketing Director

Market Situation Analysis:

After salt, edible oils are possibly the most important ingredient in cooking. One of the most interesting facts about household consumption patterns in Bangladesh is the high rate of growth of branded edible oils rather than open or loose cooking oils. Even today, especially in rural Bangladesh and small towns, the majority of households purchase cooking oil from the nearby oil press or the grocer who sells unbranded oil that comes in wholesale packs. Till about fifteen years ago branded cooking oils were seen to be an item of middle class and elite consumption, mostly produced by multinational companies through their Bangladeshi arms. The total size of the indigenously produced and branded edible oil consumer market in Bangladesh is about 360,000 metric tons per year, consumed by some 29 million households (Source: Bangladesh Audit). Retail

Major industry players in Bangladesh

Here we are showing current situation of regular branded cooking oils which are very much popular in Bangladesh. Currently Rupchanda is being considered as market leader in this business and others are as followers.

Rupchanda

TRIPTI

TEER

DADA

FRESH

PUSTI

QUALITY

JAYA

S.Alam

Market share of different brands in Bangladesh is given below, here we have given the collective data based on the regular food oil companies in Bangladesh, we are concluding by market leader, challenger & followers.

Name of brand Rupchanda Mostafa Teer Tripti Fresh Pusti Quality Jaya Dada S.Alam Other

Market share in % 37% 10% 13% 10% 8% 7% 5% 3% 5% 2% 3%

Source: Bangladesh Retail Audit-2009

Others Dada Jaya 5% 3% 3% Quality 5% Pusti 7% Fresh 8% Tripti 10% Teer 12%

S.alam 2%

Marektshare

Rupchanda 36%

Mostafa 9%

Market summary

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Target market:
We are targeting our market by segmenting it in consumer market & business market.

Consumer market:
We are segmenting the consumer market by family size and social classes exist in Bangladesh. Family size Social class/Income Level According to income level; consumers like monthly, weekly or daily basis may buy our oil from our retailers. A mini pack of 250ml has been introduced for a daily basis use, the family who dont like to waste, they may use it or the familys who are very much health conscious they may use this product. Our research says a four person average family needs at best 250ml of oil in their food daily. Low income range people may also buy this product if they dont like to go for a 2 liter oil container. The average customers will buy 5 liter 250ml Cholesterol free oil according to their requirement. It will depend on their income, food eating habit, oil consumption and food pattern. The average selling patterns shows that mainly 5 liters to 1 liter containers are mainly sold all over Bangladesh, our main target would be those customers. The future forecast says a lot of things but we must learn what our actual customer would like to see from us after using our product. Most of the family in our country is joint-family structured based, a large number of this is shifting to the single family size, for this our target would be the customers of individual and single family and joint family, our packing size would be according to their demand of consumption.

Business market: a. Hotels and restaurants:

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1. Five stars: Pan pacific, Sheraton, Westin, Radisson,

all these are world class five star rating hotels, our target will be to convince the master chef to use our branded oil, the restaurant food chain mainly select and segment by the master chef itself, we have to let him/her/ team know that our oil is good for health for both normal customers and for those who has cholesterol problem, the taste of the oil would be same as before, only change will be in ingredient which is very much suitable than other existing oil in the market and they can get this oil from us in a corporate price. Also in the customer menu, we will let them have this option of regular oil and Cholesterol free oil, its customer choice, but our target will be like so that customer participate to choice our oil.
2. Three star: there are more than fifty; three star

hotel located all around Bangladesh, we will also target the chef and the purchase department to buy our Cholesterol free oil, also we will offer them a good amount of commission in a manner so that they may not refuse us, as our product is world class, we strongly believe that it wont be a big issue to convince them as we have hired some of the best marketing executives from different related organizations who knows how to deal with purchase department or committee.
3. Regular hotel: even though five, four & three star

hotels are known as corporate client, a big number of local restaurants are available all around Bangladesh who fulfills the need of the main stream. We also are going to target them cause, even if we count on a daily basis, a min of one liter to five liters will be required for each restaurants, if we convert it to weekly or monthly basis, it would generate a huge amount of revenue. We have to make them
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aware of the fact that, a lot of customer visits local restaurant every day, if the restaurant uses good oil, customer would definitely come to visit them and we have to make sure that they dont use same type of oil for later days.
4. Catering

service: a good amount of number of catering service and event management company are in Bangladesh, a good example is community centers, if we consider a community center may arrange three parties in a week, a minimum of hundred liter of oil required for each week, four hundred plus minus a month, which is also generating a handsome amount of revenue for our company. Fukruddin biriyani, Hazi biriyani, Kusturi, Dhansiri, nandan, KFC, BBQ, Pizza Hut, Tanduri, Radhuni etc.

SWOT analysis
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The overall evaluation of a companys strengths, weaknesses, opportunities and threats is called SWOT analysis. Its a way of monitoring the external and internal environment of a company. Strength and weaknesses are measured from internal environment and opportunities and threats are measured from external environment. Strengths: a) The company has strong management b) Latest and efficient machineries and technologies will be use for production c) Have a secured line of raw material supply d) Well trained and skilled employees e) Extensive distribution network f) High Quality of the product

Weakness: a) The company is coming in the market with a new product b) The people has less knowledge about cholesterol free oils c) The product (Cholesterol free oil) price is slightly higher than the existing products (Regular oils) in the market

Opportunities: a) Have opportunity of Market/Product development b) People in the metropolitan areas are inclined towards branded products c) The Cholesterol free oil is becoming popular and can be advertised to gain the market share among health conscious people

Threat: a) Already there are many companies Competitive environment exists 14 in the market. So

b) People always get substitutions. If they think product price is higher than they will switch to other brand c) Increase price of raw materials and other necessary things d) If Import & export duty & other Government VAT & TAX issue e) Competitors invested huge amount for promotional activities to gain their market share

Possible Major Competitors:

Our main competition will not be with all the companies exist in the market, because we have a unique product along with other existing brands. But in the competitive market we have to compete with other companies for catching the market share. For that we think some companys product like Rupchada, Teer, Pusti will be our main competitors. Rupchanda: It is the product of Bangladesh edible oil and they have the largest market share. As of early November, the promotional campaign of rupchanda includes the price cutting, press release for their new oil packaging, posters and posters in public transport. The rupchanda considered as the main competitor because these are under the same genre. It draws the attention of our target audience due to the well-known products. Right now it captures almost 37% share of total market. Teer: It has become one of the best-selling oil in 2009. Teer Refined Soya bean Oil a flagship product from City Group. They spent a huge amount of money for promotional activities. Currently they have secured almost 13% of total market. They are trying to be the market leader from market challenger. They do not only contain unique elements in their products but an educational message as the main character strives to achieve the market share. 15

Tripti: In order to differentiate from the main competitors, Tripti promoted as a mothers first choice. They took huge promotional campaign to get rid of the target markets confusion between it and Teer. In order to attract a larger audience and make them aware of this product, creative promotional campaigns with some noises are taken. They are trying to make online campaign interactive and fun. In order to let more people, their target group in particular, to notice that they having a function collaborating highway. with well-known restaurants in the Dhaka-Chittagong

Product offerings:

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Product contain
Fats and oil are essential for our organic activities. But our body cannot create these by itself. It is available in different food items but through fat items we get it. Fatty acid is one of the essential elements of fat. The most important fatty acids for human body are OMEGA-3 & OMEGA-6. Omega 3 develops body resistance of human being and mostly available in human brain in finished condition. Omega-6 controls different organic activities. Though both of them are chemically in the same family but they work differently. More over; they work against each other and in competition. The ideal ratio of this two essential fatty acid in food should be 1:1. Unfortunately the presence of Omega-6 in our daily food items exists up to 40 times than omega-3. This causes diabetes, aljaimers, obesity and heart diseases. In most of the brands available in the market dont maintain this ratio properly. But in our product we are strictly following this. Nutritional information: Amount per serving: 10.0 g: Calories Sodium Saturates Monounsaturate d Polyunsaturated Cholesterol 90.0 (cal) 0.0g 1.5g 2.2g 6.3g 0.0g

Vitamin A enriched: Omega-3 (min) 25.0g per 100g Omega-6 (min) 25.0g per 100g

Marketing strategy

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Our target strategy will be mainly based on Marketing strategy and Sales forecast strategy. We are implementing the product development technique, existing market, new product. The definition of marketing strategy says, find the demand of market, develop your product and earn profit by customer satisfaction. We have done our survey, we have talked with the distributors, wholesalers, retailers, our potential customers, and we know what demand we have in the market, now its time for the implementation. Our product is highly enriched in quality and in taste, we are launching a product which is already in market but no one still introduced this Cholesterol free oil like we are going to do, we will get Cholesterol free oil in market with a very expensive price as its only being imported from mainly USA and UK, now as we are implementing a manufacturing plant in Bangladesh, we definitely can sell this Cholesterol free oil less than current market price. A five liter can is being sold 1500-2500tk depending on the brand, where as we are launching our own brand on only 500tk as the labor is still cheap in Bangladesh. We will do some serious type of promotional activities, we have to make such a impression that people has to come to us, from branding to launching, from distributor to retailer to customers, we have to be very much conscious to capture their mind and heart. No matter what strategy do we need to follow, we will do, our main target will be maximizing the profit for our organization, if our organization gets benefit, and we get benefit too. We will call the press, TV, radio media on the product launching ceremony, we will give each of the staff a 5liter of Cholesterol free oil as a gift, we will try to bring health minister for the launching ceremony, so that people may understand that even the government is also concern for the common peoples health.

Mission: our main mission to be the market leader of cooking oil industry in near future.

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Every company wants to be a giant in market, so do we, currently we are in a position of zero but we have an unique product which will be our key of success. Innovative techniques will be added to capture the market share, thats why we have hired some of the most experienced sales and marketing team for our company.

Branding:
Branding is a very important part of any product, a product always known by its brand name, image and quality. We have chosen this word ALOHA cause it can be pronounced very easily, literally anyone can understand & pronounce it. ALOHA means hello in Hawaiian language, as we are a very new company in Bangladesh, we are welcoming our customer by saying hello. In future we are going to launch new type of oil branding with new innovative names. There are typically four levels of meaning conveyed by a brand name. The following is an analysis of what ALOHA brand names convey Brand ALOHA supreme oil Premium quality, high prestige Tasty food, ease cooking Healthy life Cooking expert, Traditional Flavor

Level Attribute Benefit Value Personality

Target market:
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Our target market would be whole Bangladesh including all the division of it, main focus would be on the major cities first, as we are very much new in this market, later on, we will move to different segments.. We are going to introduce the following product lines: a) b) c) d) e) f) g) 20 liter plastic container 10 liter plastic container 5 liter plastic container 2 liter plastic container 1 liter plastic container 500mili liter plastic container and 250mili liter mini pack

Our packaging will be done in a way so that we may target any kind of consumer & business market at a same time. Our target market is segmented in few sections: Business market: 20lts plastic container 10 liter plastic container 5liter plastic container Consumer market: 5liter plastic container 2liter plastic container 1 liter plastic container 500mili plastic container and 250mili mini pack

We have described who is our business and consumer market earlier, we are packing this big container as the business market dont buy their raw material every day, specially which products are long lasted, so when they will buy, they will buy in bulk, it would save their time and money if they buy it from us. According to income level consumers like monthly, weekly or daily basis customer may buy our oil from our retailers. a mini pack of 250ml has been introduced for a daily basis use, the family who dont like to waste they may use it or the familys who are very much health awareness they may use this product, our research says a four person average family needs at best 250ml of oil in their food daily. Low income range people may also buy this product if they dont like to go for a 2liter oil container. The average customers will buy 5 liter 250ml Cholesterol free oil according to their requirement. It will depend on their income, food eating 20

habit, oil consumption and food pattern. The average selling patterns shows that mainly 5 liters to 1 liter containers are mainly sold all over Bangladesh, our main target would be those customers. The future forecast says a lot but we must learn what our actual customer would like to see from us after using our product. Most of the family in our country is joint-family structured based, a large number of this is shifting to the single family size, for this our target would be the customers of individual and single family and joint family, our packing size would be according to their demand of consumption.

Market Positioning:
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We would like to position our company as one of the largest food oil selling company in Bangladesh, currently we are targeting only Bangladesh afterward we would move to South East Asia, then Asia, then rest of the globe by creating a very strong position in the market. This would be our first Cholesterol free oil launched in Bangladeshi market, there are few large companies who are currently capturing the market of oil by manufacturing or by importing, a few of them are in top position as market leader and most of them are following the market follower policy. The big companies are dominating cause of their huge investment and promotional activities, their product quality might not be that much of enriched like ours but currently they are in existing market with a major market share. Where we are coming as a new comer and we will follow the market follower strategy for few years but we are not here to be a market follower, our main target would be to be the market leader someday. Company like us cannot challenge them with a unique product right now; we are only going to serve a portion of the total market which is known as niche market but we are going to act as market follower in this case. Our main advantage is only that we are introducing Cholesterol free oil where as other companies are selling normal oil. Right now, our position is in zero. We have to take it higher than others, if we can cross the barrier of 15% of the total market, we will create a threat to the existing big companies and they will definitely change their marketing policies and strategies. We must understand that, we cannot dominant the market right now as the major market share are on regular oil; we will create threat also opportunity for them. Only a single advantage what we got is maybe for two to three years we might dominant the niche market for our good will and brand position and for high demand of Cholesterol free oil but, after that other companies will introduce same product maybe with our compete price or less as their business is already established. So we cant just loose our growing market share, in any mean we have to control the market share and grow it as much as possible.

Strategies
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Every company takes necessary steps to sell their product in the market, even though our product is highly enriched but without any sales promotion activities or strategy, we cant get a good response from our target audience. People buy those whom they remember every time when they imagine that particular product; we have to take strategies so that our brand name always stays in their mind whenever they remember cooking oil. Whenever they goes to shopping center or local stores, they must remember our brand and oil, that will be our first strategy, and obviously if our product dont show high quality then these promotional activities wont have any effect. So our prior strategy will be sell high quality product in a competitive price to the customers. We will apply marketing strategy and sales strategy/ promotional activities, we have done our survey, we have talked with the distributors, wholesalers, retailers, and we know what demand do we have in the market, now its time for the implementation. Now the sales promotion activities would be as follow We are taking some strategies for both our target customers and the distribution channels.

For consumer:
Website: We will launch a full dynamic website where we will give a full information about our company, about our companys mission, vision and objectives, messages from board of directors, list of the board of directors, background of board of directors, our product range, our product specification, our standard quality rating certified by different organizations, ISO certificates, our production equipments, our distribution channels, our sales promotional activities, our new product launching section, feedback section, contact section and a full bulletin board and a discuss forum where both employees and customer can interact same time so that we may get live feedback or suggestion from our customers. Even we will have a live chat option, we will give add to some paid popular website like yahoo, msn, Google, Amazon, CNN, bbc.co.uk, gumtree.com, also on some of the most famous websites like cell bazaar, clickbd, bdtradeinfo.com etc, 23

the daily newspapers websites like prothom observer, the daily news, BDnews24.com.bd etc. Newspaper:

alo,

janakantha,

One of the oldest and most effective media is newspaper, will call a newspaper media conference where we will give a detailed idea of our company and our product and for what reason we want to launch this Cholesterol free oil in Bangladesh, we will invite all those medias who has a min of 5% of the total market newspaper readers. If its possible we would take the media to our factory for having an inspection, photo session will be allowed but not every part of the factory, and we wont revile our secrets to them as our business policy wont permit us. Radio: After 2006, radio industry has shown a huge improvement and currently its one of the most famous media all around the country, a huge number of old, young generation are fan of it, we will advertise our product in radio too, maybe as sponsor of a radio program, or any message full commercial related to health awareness. Television: A large number of invest would go on this sector, a full 30 second length of TV commercial will be made by some celebrities and it will be shown of all the television channels, also we will be sponsor partner of two soap opera and four general program, mostly on interval and in news our commercial advertize will be shown. Discount/ scratch card: Time to time for our promotional activities, we will provided 5-10% discount or for cash back, we will give scratch card with the oil container from different retailers and shops.

Quiz contest: We will do a monthly quiz contest on news paper, a gift voucher of 500tk, 1000tk and 2000tk will be given to the winner. 24

Student sponsorship scholarship: We will provide ten students of junior school, ten students of High school, five students of college and two students of university a fulltime sponsorship and scholarship depending on their merits and financial status. Afterward maybe they will be given preference to be a proud member of our company. Social work: Beautification of road or cleaning up the road or areas, tree plantation, or making awareness of Cholesterol free oil, smoking, drugs or anti corruption campaign will be sponsor by us. Cooking contest: In every three month we will arrange a cooking contest amount five hundred contestant, we will give taka 25,000tk , 20,000tk, 15,000tk to the winners of the contestants, a entry fee of two hundred would be charged for that and venue would be selected by us, it will be a three day cooking festival, the first three recipes will be published in selected magazines with the name, picture of the contestant and the original recipes sponsored by us. Wall poster: we wont stick any poster on the wall, we dont want to destroy the beautiful walls of the high rising building, we will use posters with thread, all the papers will be made by recycle paper, front page will show our product and advertize and back page will be shown recycle symbol and signs for green and healthy environment. Billboard: We will print PVC billboard in the important and VIP roads, Dhaka Chittagong, Chittagong Commila, Commila-Shylhet, Dhaka Mymensing, Dhaka- Rajhshahi highways, we will try to put the billboards on eye level, not too far, not too near, as appropriate as it should be. Banner:

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Small 4X2 feet banner will be hang on VIP roads all around major cities and Metropolitan areas, and in villages. Game sponsorship: Bangladesh is a game loving country. We will arrange different type of games as cricket, football and some local games in school, college and in university. Magazines: We will publish a full four colored commercial advertize on the magazine back cover or in inner page with full details of our product and its usefulness. Articles: We will publish the usefulness of Cholesterol free oil and our product in details in newspaper, magazine, cooking books and in e-blogs, we will maximize our profit also make people aware about the regular oil and our Cholesterol free oil. Mobile SMSs: As this is a very expensive media, we will do this kind of advertizing later on when our company will be properly established, maybe after when we will reach breakeven point, we will consider this strategy. Email: we will send email to different internet community like face book, hi5 etc, also we will try to send email to executives of different companies making aware about our product & usefulness, we will take professional help of different consulting firms to collect the mail ids. Also we will communicate with our wholesaler, distributor, agent, retailer through mail; all the promotional activities or new offering will be announced through mail.

Local announcement:

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one of the oldest and most effective way, where there is no TV or radio or medias, especially in villages, we will announced Micking, it is effective as we have seen different product launching. Public TV ads in road: There are few Road TVs situated in Dhaka and a few major cities, we will show our 30second long commercial add on there, it will be expensive but it got a huge impact, all level of people actually do look at the TV when they are in the road, especially when there is a traffic jam, they do look at the TV. TV actors: We will use some popular TV/Movie actor or singers to do our champagne, like say a 10seconds jingle for the usefulness of Cholesterol free product and it will be sponsored by our brand. Mainly in TV, magazine, newspaper, or in radio media it will be published or shown or heard. Free samples: We will provide free samples of 250ml pack to different schools, college & universities, shopping centers especially where the females are gathered. Like girls school, Ladies club, school gates, girls colleges. Also we will provide free samples in departmental stores like buy a specific amount of product & get the oil free.

For distribution channels:

High paid commission: every other oil company is paying commission to the retailers or distributors, we will also offer them commission, if the competitor

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market is giving 5%, we will offer 7% but the scale shouldnt exceed a scale, because we dont want to create chaos among the competitors, it might go against us. Sales target gift: We will give sales target to the distributors or the wholesalers, if they can matches our expectations we will great them with corporate gifts, also a very high percentage of commission as gift. We will provide rewards to the distributor like vacation voucher, expensive cell phones, watches, suits, corporate gift items, or vacation trip inside or outside Bangladesh. Reward as best retailer: We will choose ten best retailers among the cities. We will call a ceremonial meeting and will provide gifts like diary, notebook, banner, TV, ac, fridge or cell phones etc.

Awareness by:
Doctor: we will do our main marketing through the doctors, we wont directly ask them to our marketing, we will call conference and it will be covered by different medias, the issue will be hygienic and health and safety, it will be sponsored by our brand and whole auditorium will be covered by our logo, motto, features and product pictures and healthy awareness features. Doctor can suggest the patients to use Cholesterol free oil, cause actually this is good for health, we have seen that most of the babies and young generation are getting bulky and fatty for taking regular oil and fats, if we can reduce this amount, it will be beneficial for the society too. We have some motivation budget for the Doctors & the related area. NGO: we will take help of NGOs for marketing our product, NGOOs do go those places where we might not think to go, they go to the rural and urban areas, their medical facilities might teach the people of

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the awareness of the Cholesterol free oil and also they may help us to distribute this oil. Health ministry: we will arrange seminar or conference with Health ministry, where they will discuss the usefulness of Cholesterol free oil and also this program will be covered by press and media and we will cover the whole auditorium with our product pictures, motto, logo and product specification, we will take aggressive marketing policy in this cases. Community clubs: We will decorate some part of different community clubs with our 2X5 feet banners in a manner so that it may catch the eyes of the people who visits there, especially it will be displayed in lobby or4 in main entrance. We will print leaflets and give it to the wholesaler, distributor, retailers, and consumers through post mail, by hand, with newspapers or with magazines.

Market Research
Before establishment of this oil based company, we went to actual market where we have done some research by the following procedure to get some feedback of the buyer & seller through our questionnaires. Our 29

research & development team prepared some questionnaires which is applicable for any kind of consumer from a housewife to officer, businessman to rickshaw puller, in simple word, everyone surrounded. i. How much oil do you use monthly: 1. 3liter 2. 5liter 3. 8liter 4. others ii. What brand of oil do you use: 1. Rupchada 2. Teer 3. Jaya 4. Mustafa 5. Fresh 6. Others iii. Why are you using this oil: 1. For price 2. For packaging 3. For quality 4. Availability 5. Brand image iv. Do you think you are satisfied with your existing brand of oil: 1. Yes 2. No 3. maybe v. Have you heard the name of Cholesterol free oil: 1. Yes 2. no vi. From where did you learnt/heard about it: 1. Newspaper 2. Television 3. Internet 4. Person to person marketing 5. Leaflet 6. Wall poster 7. Educational institutions vii. Do you think soyabeen oil or vegetable oil or olive oil, palm oil is good for health: 1. Soya been oil 2. Vegetable oil 3. Olive oil 30

4. Palm oil viii. Have you heard the name of ALOHA Cholesterol free oil 1. Yes 2. No 3. maybe ix. Do you think cholesterol free oil is 1. extremely important 2. very important somewhat important 3. not very important 4. not at all important for our health x. Do you think Cholesterol free oil is good for health: 1. Yes 2. Maybe xi. Are you willing to pay if the price for Cholesterol free oil is higher than regular oil: 1. Yes 2. maybe xii. What kind of packaging would you like to buy: 1. liter 2. 2 liters 3. 4 liters 4. 5 liters 5. 10 liters 6. Minipack xiii. Do doctors recommend you regular oil or Cholesterol free oil: 1. Regular oil 2. Cholesterol free oil xiv. What is the most important consideration of yours when you buy your oil: 1. .. 2. ..

Financials
Financial objective:
Our total budget of this project is 160,000,000.00 taka including land, factory building, equipments, advertising expense, operating expense; it 31

would also cover the salary of the factory worker to the office manager for onward three months. For our marketing expense we have 30,000,000.00 taka which is sufficient enough. We have a time limit of three years to get in the breakeven point, our expected break even time period would be three years, and it would actually depend on the sales how much we may gain or lose.

Sales forecast:
Here, we are showing a forecast of our future marketed product and its impact, as this oil is very much enriched and promising; we believe market will love it. Whatever figure we are showing in here, even if we can achieve 60- 75% of it, it would be worth a lot, as our company is not taking any loan from market or from any financial institution, we dont have to pay back to anyone except the shareholders and directors, so it would be very much ensured that we might get into the breakeven point before our forecasted time barrier. 1 liter oil= 100tk; would be our retail price, we have survey that 1 liter of normal oils retail price is 95tk, as we are introducing a very new concept in the market so for first six month we will sell it on 100tk and afterward again by the popularity gain/loss, we will take it either to 90-95 taka a liter. The forecast which we are predicting by survey the actual market is given below, we are calculating a minimum amount in here, our believe is that all the figure would at least go 30-40% higher as shown below. Still we are calculating as low as possible cause we might not get as we are expecting both in positive and negative way.

One simple little calculation is given below just to understand the revenue generation of a month; we are giving a figure based on 60-70% of our product production range, its not actual calculation, just for basic idea. 20liter plastic container: 100 a month 100X 20X 100tk=200000 taka 10 liter plastic container: 500 a month 500X 10X 100=500000tk 32

5liter plastic container: 1000 a month 1000*5* 100=500000 2liter plastic container: 5000 a month=5000X2X100=1000000tk 1 liter plastic container: 10000 a month=10000000tk 500mili plastic container: 20000 a month= 1000000tk 250mili mini pack: 50000 a month= 1250000 Total=5450000tk a month Here if the figure goes according to this way, we might go to breakeven point before thirty six months to reach our breakeven point because breakeven point is at 40333 liter/month and sales forecast shows that we can sell 54500liter/month. And afterward it will be in total profit zone if we can maintain our product quality and customers satisfaction.

Expense forecast:
Our companys expenses are shortly noted in here, major expenses and relative expenses like Land cost, Factory building cost, Equipment cost, Production cost, Electricity consumption cost, Gas consumption cost Others/utilities, Transport cost for producing 60,000 liters of oil comes around 3,000,000 taka

We need funds for Advertisement, printed materials, total sales and marketing expense, sample packs which we are going to offer the market for free. Our total budget for the promotion and advertizing yearly budget 10000000taka which we are dividing in to 850000tka per month which is sufficient enough, we are assuming.

Breakeven analysis:
The projected breakeven analysis is given below as our assumption based on our market survey.

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The budget goes as simple as below Fixed cost: Land in Sripur-Gazipur: 2.5Bigha cost of 20,000,000 taka Equipments: 50,000,000 taka Factory: 10,000,000.00 taka Variable cost: Advertizing: 30,000,000 Salary: 25,200,000 Office expenses: 7,200,000 Others: 2,800,000 Total cost: 145,200,000 Breakeven point: Breakeven quantity: 1,452,000 liters Breakeven price: 145,200,000 taka Our calculation shows that we may reach the breakeven point in 36 month, if we can sell 40333 liter/month.

Here if the figure goes according to this way, we might go to breakeven point before thirty six month months to reach our breakeven point. And afterward it will be in total profit zone if we can maintain our product quality and customers satisfaction. The calculations are based on raw datas, our production cost is 40.00taka per liter & we are giving commission to the distributor & retailer taka 10.00 & 40.00 taka will be our profit, if we may get this trend to the end of breakeven point , we may achieve our target by the required thirty six months. We are currently going to serve only 2-3% of the total market & even if this sounds very less but according to our investment, surrounding information's, it will be more than enough for a new company like ours.

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Control Process
Implementation:
To do our project effectively and efficiently we have to maintain a very tight schedule for our marketing plan, website design, advertizing champagne, development relationship with the distribution channels. The brief are given below. Our marketing team must do all these before

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schedule cause we are going for oil production just after we finishes our marketing part. Marketing plan: Start date: September 1st, 2010 End date: January 31st 2011 Budget: Manager: Department: Marketing Website design plan: Start date: September 1st, 2010 End date: November 30th, 2010 Budget: 50,000taka Manager: Department: Marketing Advertizing plan: Start date: September 1st, 2010 End date: December 31st, 2010 Budget: 5,000,000taka Manager: Department: marketing Distribution channel plan: Start date: September 1st, 2010 End date: November 1st 2010 Budget: 200,000 Manager: Department: Marketing

Product launching: Start date: July 1st, 2011 Department: Sales All the responsible key persons and companies has been chosen for our Jingle making, advertizing making, newspapers, magazines has been chosen for regular advertise launching, TV media are covered too, for Printing purpose for offset and digital, we have already choose two vendors, we have hired one company for designing and launching our website. Another marketing team is working to develop a distribution channel with major cities; we will choose limited number of distribution 36

channel at the very beginning of our company. All the marketing plans which we have discussed in our report are in the pipeline, one after one will be executed very soon.

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