You are on page 1of 12

Contents

Executive Summary: ........................................................................................................................................ 3


Company Description: ..................................................................................................................................... 3
Strategic Focus and Plan: ............................................................................................................................... 5
Mission Statement: ...................................................................................................................................... 5
Goals: .............................................................................................................................................................. 5
Non Financial Goals:................................................................................................................................. 5
Financial Goals: ......................................................................................................................................... 5
Core Competency and Sustainable Competitive Advantage ................................................................... 5
SWOT Analysis ............................................................................................................................................... 6
Strenghts ................................................................................................... Error! Bookmark not defined.
Weakness .................................................................................................................................................. 7
Opportunities ............................................................................................................................................. 7
Threats ........................................................................................................................................................ 7
Competitor Analysis ..................................................................................................................................... 7
Haier ........................................................................................................................................................... 7
Q Mobile ..................................................................................................................................................... 7
Customer Analysis ............................................................................................................................................ 8
Segmentation ................................................................................................................................................ 8
Target Market ................................................................................................................................................ 9
Point of Difference ................................................................................................................................... 9
Marketing Program ........................................................................................................................................... 9
Product Strategy ........................................................................................................................................... 9
Promotion ................................................................................................................................................ 10
Financial Data and Projection ....................................................................................................................... 11


Executive Summary:
Entering the smart phone market was not an option for us, but a necessity. The future
belongs to smart hand held devices. Moving forward, I believe we will soon see regular
featured phones (within certain price segments) replaced by smart phones. The world is
changing swiftly and consumers today expect access to information at their fingertips.
We are moving from a device-led environment towards one that is led by solutions. And
only smart phones are capable of providing better software solutions to consumers in
the shape of varied applications.
Company Description:
Orient Group of Companies has been on the forefront of design and
development, by coming up with new products and increasing its
presence in all its featured markets. Established in Lahore in1957,
today the Orient Group of Companies is one of the largest consumer
goods companies of Pakistan.
Orients products have proven themselves in functional performance
parameters set by international industry experts. With the vision to
become leaders of the industry, Orient strives to make each of its
products, with careful R&D and intensive innovation. Orient aims to
give its customers new and original products each year, which can be
value beyond the ordinary in every household.
Business name:
Orient Group of Companies.

Business structure:

Orient is a registered company with Security Exchange Commission of Pakistan.
Business location:

26-KM Multan Road Lahore.

Date established:

It was established in 1957.

Business owner(s):

Mian Abdul Rehman Talat
Mian Talat Mahmood Fazal
Mian Ahmed Fazal
Mian Zubair Fazal

Owner/s experience:

Mian Talat Mahmood Fazal:

Mian Talat Mahmood Fazal is the Managing Director of Orient Group of Companies.
With over 30 years of experience in the consumer electronics business, Mr. Talat
Mahmood Fazal is a strategic thinker with an eye towards the bigger picture. As
the captain of the ship, he has steered Orient Group of companies through the
tides of time. Under his guidance and leadership, The Orient Group of companies
has transformed into one of the largest consumer electronics group in Pakistan.

Mian Ahmed Fazal:
Mian Ahmed Fazal is the Executive Director of the Orient Group of Companies. A
target driven mind, Mr. Ahmed Fazal keeps a keen sight towards the current and
future trends, and technological advancements, all the while setting challenging
deadlines and creating a benchmark for excellence that is shaping Orient Group of
Companies as one of the leading names in the business. He is particularly
instrumental in automating the Sales module of Orient Group of Companies with
the current state of the art proprietary ERP (SAP), thus channelizing the sales
infrastructure that has efficiently streamlined the revenue generation for the
company.

Mian Zubair Fazal:
Orient Group of Companies began with the Photo Goods Industry. Even after 50
years, and many divisions, the photo business remains photographic business of
Orient Group of Companies. Now with the partnership with Samsung electronics,
the innovative range of Samsung photographic appliances are now part of the of
the Orients family of products, being managed brilliantly by Mr. Zubair Fazal.

Mian Abdul Rehman Talat:
Coming from the world of Information technology, Mr. Abdul Rehman Talat is a
relatively new entrant in the consumer electronics business. However, with a tech
savvy background, this field is right up his alley. No company today can survive
without an integrated marketing strategy, especially using digital media to create
user awareness effectively and Mr. Abdul Rehmans creative ideas in this regards
are paving the way for the Orient Group of Companies bright and shining future.

Products or Services:
ACs
Refrigerator
Microwaves
Water Dispenser
Cooling System
LCD/LED TVs
Vacuum Cleaner
Strategic Focus and Plan:
Mission Statement:
Goals:
Orient is a technology leader in the market, as they always focus towards innovation.
They always tries to come up with new ideas which can make customer life easier.
Orient always been in the opinion that it shoul;d make its customer use there products
to make life easier. Orient want to achieve the following goals in the near future.
Non-Financial Goals:
To retain its image in the mind of customer for introducing user friendly
products.
Enter the new industry of cell phone markets with Smart technology.
To achieve the national wide distribution across all over Pakistan.
To add a new cell phone model within 6 Months.
To be the market leader in the cell phone industry like they are leading the home
appliances industry.
Financial Goals:
Entering the smart phone industry will make the earning per share grow by 3%
annually, after a successful launch.
There will be a decrease in the debt equity of the company by at least 16%.
Obtain financing to expand manufacturing capabilities, increase distribution, and
introduce new product line.
Core Competency and Sustainable Competitive Advantage

The top management is highly qualified and have much technological knowledge which
helps them to innovate new features in the product line. They have always been
focused towards the technological development. They provide distinctive, high quality
products, and related accessories using the latest technology in the market. They
deliver these products to the customers, using effective manufacturing and distributive
system, that helps to maintain the company quality standards. Orient's innovation
throughout the business strategy, marketing, management, organization, ideas and
institutions in various aspects and areas of the enterprise which integrates all the
resources to continue to play the advantages of Haier, Haier and create tremendous
value.
In terms of core competency orient seeks to achieve a unique ability to provide
distinctive high quality cell phones according to the demand of the Pakistani market.
They will


Sales Analysis


Sales for your overall market

Sales for your business

Sales for your competitors

.

Sales for overall market
Smartphones sales grew by 50 percent or 63 million units during first quarter, as
compared with duration last year, and reached 210 million units. This is almost half of
overall mobile phones sales that stood at 425 million units.
Sales for our business
We are introducing the new smart phone with distinct features and network supported
handsets. In the first year we are expecting to gain a market share of 5.9%, and an
increase of 16% annually. We would be selling around 50,000 units per month with the
price tag of Rs. 24,999/-
Sales for our competitors
Q-Mobile
Q mobile has expanded its import has doubled to 600,000 to 700,000 mobile handsets
per month.
Haier
Haier has recently launched its smart phone and in the first quarter they have achieved
sales around 80,000 units per month across all over Pakistan.



SWOT Analysis
Strengths
Diversity among products.
Orient as brand name in the market.
Already in the field of technology.
Weakness
Lack in understanding customer preference.
Lack of user centered design.
Lack of brand awareness on the globe only national level.
Opportunities
Development of Mobile phone industry.
High % of mobile user in the market.
A strong demand for the highly innovative products in the market.
High disposable income in the emerging cities.
Low tarrif rates offered by the service providers.
3G & 4G service introduction.
Threats
Landline phone service.
High competition in the market.
High bargaining power of the consumers.
Competitor Analysis

Orient Curve is one of the best smart phone which has a software of android Kitkat 4.4,
which is one of the latest model with captive display. I find most important to talk about
Q mobile and Haier, which is part of Googles Android operating system. I find these two
companies the most important, because Q Mobile and Haier are the targeting the
market with low prices. If Orient wants to achieve the leadership position it has to deal
with this two companies Q Mobile and Haier.

Haier has recently launched its mobile, they have penetrated into the market by giving
smart phone to the Upper middle class with the basic android apps. Whereas Q Mobile
has launched cell phone with a wide range of cell phones for lower to upper class.

Haier
Haier entered the Pakistani smartphone market for first time in November 2013 with its
Android Phone. The smartphone has been great success and by now. Currently the
Haier has 6.8 % market share in Pakistan. Haier has a very diversified customer base
such that some of the Haier users are children, students, average adults, and
businessmen and women.

Q Mobile
Q Mobile is the market leader with 65% of the market share in the rural areas of
Pakistan. In the second quarter of 2013 Q Mobile overtook Nokia with 29% market
share in the Rural market. In this region Nokia has been the market leader since 1990.
Customer Analysis
The customers are divided on the basis of following terms:
Segmentation
Targeting
Positioning
Segmentation
Using a segmentation strategy means recognizing smaller market segments and
targeting those with products suitable for that specific customer group. We have
segmented the market on the following features to gain a good market share.
Geographical
Demographics
Psychographics
Behavior
Geographical
On the basis of geographical location we have divide the market in four parts Punjab, Sindh
Balochistan and KPK. In the first quarter we will only be supplying the Punjab region. After that
we would be giving it to the other regions as well.
Demographics
They are based on the following aspects:
15-40 Age Group
Male and Female
Income Level
Social Class
Psychographics
They are based on the following aspects:
Lifestyle
Personality
Motive
Behavioral
Price Senstivity
Product usage
Benefits Sought




Target Market
We are targeting the youth and middle aged people who want everything on their finger tips:
SMS Conscious People
Multimedia Users
Upper Middle Class
Internet Surfing People (3G & 4G Enabled Handsets)
Photography Lovers
High Quality HD Videos
Point of Difference
We are creating difference in our handsets on the following prospects:
Quality
Software
Battery Timing
Resale Value
User Friendly
Multimedia Supported
HDMI Supported
Marketing Program
Product Strategy
The products should be stylish and attractive with the current trends and technology. One of the
most seen trends is to use a touch screen mobile handsets with the advent of IPhone. If the
emerging markets and trends are focused, then style and design will play an important role as the
Pakistani consumers are mostly young and middle aged with an increasing amount of disposable
income for this they look towards brand which are fashionable.
Product Features

We are taking the first step towards making smart phones available to all Pakistani
consumers at an affordable price, so that everyone can use the latest mobile
technology. Orient Curve is equipped with a 2ghz Octacore processor with a 4.7-inch
capacitive LCD touch screen. It is a Dual SIM smart phone with the Android OS (4.4
Kitkat) operating system. The phone has two cameras, one on the front with 12 Mega
Pixels and one on the back with 2.8 Mega Pixels, making it the only phone in this price
segment capable of Skype video chat and the phone is, of course, wifi capable.

Price
The price of this Orient Curve with distinct feature is Rs. 24,999/-. We will be using the market
penetration strategy in order to gain a huge market share. Orient retail price will be issued to
the distributor for strict implementation. Strict monitoring will be implemented to ensure that
retailer would not dilute the brand by selling it at a lower or higher price.
Place
Orient is getting its products to the market through distributors. It will mainly sells its
smartphones through Mobile operators and retailers, which is common for the industry.
According to the marketing mix analysis for Orient, the company mainly focuses on
product component of the marketing mix. Orient will offer great variety of product at a
different price levels. Given the variability in products and series, at this point it is
hard to understand the strategic choices of the company. It is even impossible to
assess the decisions regarding the new series Orient Curve, which are of interest for
my analysis.
Promotion
Nokia makes use of advertising on television, newspapers, radio and billboards. There
is no information on any current or near past promotional campaigns. We would be
using the following promotional tools:
Advertising
Executive Series
Youth Series
HD Series
Sales Promotion
Privilege Cards
Public Relations
Dealer Commission

Financial Data and Projection

Months Unit Price Total Revenue Cost Promotion Profit
Jul-14 50,000 24,999 1,249,950,000 749,970,000 62,497,500 437,482,500
Aug-14 52,950 24,999 1,323,697,050 780,981,260 66,184,853 476,530,938
Sep-14 56,074 24,999 1,401,795,176 813,041,202 70,089,759 518,664,215
14-Oct 59,382 24,999 1,484,501,091 846,165,622 74,225,055 564,110,415
14-Nov 62,886 24,999 1,572,086,656 880,368,527 78,604,333 613,113,796
14-Dec 66,596 24,999 1,664,839,768 915,661,873 83,241,988 665,935,907
14-Jan 70,525 24,999 1,763,065,315 952,055,270 88,153,266 722,856,779



Per Unit Price 24999

Cost 14999 60% of Sales

Promotion 1250 5% of Sales

Per Unit Profit 8750


0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
1,600,000,000
1,800,000,000
2,000,000,000
Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15
Total Revenue
Total Revenue














0
100,000,000
200,000,000
300,000,000
400,000,000
500,000,000
600,000,000
700,000,000
800,000,000
Jul-14 Aug-14Sep-14 Oct-14 Nov-14Dec-14 Jan-15
Profit
Profit

You might also like