Professional Documents
Culture Documents
A Report On
“AKIJ FOOD AND BEVERAGE LIMITED”
Submitted to
ISLAM MD HAMIDUL
Submitted by
MD.ABDULLAH ZABIRR (08-12484-3)
CHOWDHURY MD. SHAHARIAR (07-09063-2)
-ZAMAN K.M. ALIM-UZ (07-08118-1)
SABRINA NAZNIN (08-12489-3)
LETTER OF TRANSMITTAL
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ISLAM MD HAMIDUL
Lecturer,
Marketing department,
American International University Bangladesh.
Dear Sir,
We are pleased to submit our Group project report on “Communication strategy and
integrated marketing communication of Akij Food and Beverages Ltd” (AFBL). Our
report focused on the present condition of the communication strategy and integrated
marketing communications of AFBL .We have gathered information as much as possible.
We tried to gather both primary and secondary data. Much of our secondary data came
from, newspapers, and partly from the web site. Other data came from primary sources.
The entire duration of preparing this report has been immensely helpful to us, a golden
opportunity to look outside the regular classroom and to the real world. A lot of lessons
were learnt and lots of experiences were gained. Developing interpersonal skills, taking
formal interviews and of course handling each and every detail were just to name a few.
Truly this will help us in our future life.
We enjoyed working on this report and hope you will find it innovative.
Sincerely yours,
Acknowledgement
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All praises to the Almighty Allah, who has bestowed his kindness upon us by giving us
the opportunity, time, courage, strength and patience to carry out and complete the report
properly.
We are very much thankful to our honorable course instructor, Hamidul Islam sir for his
valuable and intellectual guidance to prepare this project.
We are very much grateful to Hamidul Islam sir for giving us his valuable time.
Then we must thank all of our respondents for cooperating with us by giving answers of
all the questions we asked without any hesitation. Without their help it was not possible
to complete this project.
Finally we must not loose opportunity of expressing our sincere appreciation to some of
our friends Rony and Ifti who shared and inspired us all the time.
Executive Summary
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Akij Food and Beverage Limited (AFBL) is the sister concern of Akij Group, one of the
prominent and leading business houses in Bangladesh. The official inauguration of that
concern started in the beginning of 2007. From the beginning AFBL launched two new
carbonated soft drinks clemon and farm fresh UHT pure milk products in the market.
AFBL has successfully come up with a variety of its products like carbonated soft drinks
mojo, lemu speed energy drink, cheeky monkey snakes and spa drinking water. The main
marketing policy of the company is they use to undertake huge advertisement and
promotional activities to create brand awareness and product positioning among the
mindset of the target customers. Not only that AFBL started to change the concept of
advertisement of soft drinks too by using new creative and concepts. And they were
successful in terms of market share and positioning in the competitive soft drinks market
of Bangladesh.
By using the reputation and market demand, Akij Food and Beverage Limited lunched a
new category of soft drinks that is natural pure fruit juice under the Brand name of
“Frutika” in August 2008. They targeted the holy month of Ramadan to launch the new
product into the market. In that time they also undertake a huge advertisement and
promotional campaign following their previous concept Mojo and Lemo. The used
different medias to draw the attention of the consumers like:
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Basically they used all the elements of marketing communication tools to create
awareness and position their Brand. And they were successful enough to draw the
positive attention of the customers. At present they are offering three flavor of Frutika
like Mango, Orange and Grapes. In all of the cases they offer in two sizes of pack that are
250ml (at taka 25) and 1000ml (at taka 70) plastic bottle.
After collecting all the related information and data analysis, we found that the
advertisement and promotional activities were very much successful to create brand
awareness and product appeal among the target customers. But it is found that comparing
with the other existing brand, price of Frutika is premium about 25-30% more. So the
customers are not satisfied about this issue. More over there is another vital point to be
noted that Frutika if offering only three flavor (mango, orange and grape) and providing
only in two pack sizes (250ml and 1000ml plastic bottle rater any other sizes and foil
pack). That is why customers are not feeling convenient while purchasing Frutika fruit
juices.
Table of contents
Letter of transmittal
Acknowledgement
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Executive Summary
Chapter 1: Introduction
Chapter 4: Recommendations
Chapter 5: Conclusion
Appendix
INTRODUCTION
We are prepared a report on Akij Food and Beverages Ltd. of Akij Group. Akij Group is
one of the biggest company in our country.. Akij Group is also involved in socio-cultural
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activities. The Group has been operating a sizeable orphanage free of charge in district
town. The Group has also acquired a modern mother & children hospital previously
owned by Save the Children (UK). The hospital is being operated as a non-profitable
concern by Ad-Din Welfare Trust.
We are student of BBA program. So we prepared Report about “Akij Food and
Beverages Ltd of Akij Group” as a partial requirement for fulfillment of Bachelor of
Business Administration (BBA). We have collected primary & secondary data from the
respected related respondents & finally analyzed the information. Akij Group's ceaseless
efforts with dynamic management and support from our numerous clients have led our
Group in diversifying its business activities.
Our primary objectives is how can write an effective report. Develop our knowledge
about report writing. We write a report about “Akij Food and Beverages Ltd. of Akij
Group which is one of the largest company in our country so, we gather knowledge about
this company as fur as we can.
History of Akij Group stretches back to later part of the forties. In its infancy, the Group
started in humble way with jute trading which was known as the golden fiber of the
country, earning highest amount of foreign exchange.Akij Group's ceaseless efforts with
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dynamic management and support from our numerous clients have led our Group in
diversifying its business activities. In the second phase, the Group went into
manufacturing handmade cigarettes popularly known as biris. This sector gave a real
boost to the revenue earning of the Group as well as making a substantial contribution to
government exchequer. With the passage of time, the Group undertook new ventures and
presently there are 15 units of industries under its umbrella like cigarettes, handmade
cigarettes, printing & packaging, textiles, hand board, pharmaceutical, leather processing
and real-estate business are in operation, catering jobs for more that 32,000 people in
various categories. The Group has plans for setting up more projects. The projects are
already in pipeline. Foreign investors have shown keen interest in joining with us for
joint ventures. The matter is under our active consideration and will hopefully soon
mature. This will also help the nation's economy growth and will create job opportunities
to various professionals.Akij Group is also involved in socio-cultural activities. The
Group has been operating a sizeable orphanage free of charge in district town. The Group
has also acquired a modern mother & children hospital previously owned by Save the
Children (UK). The hospital is being operated as a non-profitable concern by Ad-Din
Welfare Trust. consists of 14 big companies with diverse activities and different products,
and launched its venture as a small jute trader more than 50 years ago. Since then it has
been progressing with tremendous pace in the industrial arena of
Bangladesh. From its humble beginning, it has been developed into a huge corporation of
infallible quality and excellent service. It highly values its consumers as unique
individuals and always ensures quality merchandise to suit the needs of each distinct
consumer group. It works hard to preserve the environment and culture of Bangladesh,
side by side, plays an outstanding role to develop the country economically advanced.
The industrial wastage means little to them because their factories have been built up
with recycling and the environment concept. A large number of people are employed by
the group and cared for as members of the Akij family. The non-profit concerns are also
involved in sustaining development of the country. Flexibility is the niche of the group to
cope with the current versatile market. We went to the headquarters of the Akij Group to
take an interview of Sheikh Akij Uddin, chairman & managing director of the group and
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Sheikh Jamil Uddin, director (textile). All the corporate offices of the Group are housed
in the Akij Chamber, an 11-storied building, located at Dilkusha commercial area, one of
the busiest business hubs of the Dhaka City, the capital of Bangladesh. When we reached
there, Sheikh Jamil welcomed us. He is an energetic and visionary young man with
professional approach who looks after the Akij Textile Mills Ltd, one of the top ten
textile mills of the country considering all aspects quality, modern management, utility,
full unit chilling system, use of vision shield, a foreign-fiber detector. During an
interview with Sheikh Akij, he remarked, "We seriously need more patriotic and
sympathetic people in the industrial arena." He was asked what was the driving force
behind his tremendous success in the industrial arena of Bangladesh. "Uncompromising
quality even in adverse market situation and consistency of it was the main force behind
our success. In case of textile business, high strength, evenness and contamination-free
yarn are the attributes of our products," he responded. "Creative new ventures, innovative
production line to save time and increase efficiency; sticking to commitment in every
step of the way; passing on the benefits of the innovative policies to our customers; and
win-win policy for both the producer and customers have enormously helped us to gain
trust and confidence of our stakeholders," revealed Sheikh Akij. In response to our
question, how and why they were motivated to establish a textile mills, "Prospect, high
demand-supply gap, employment creation as well as the Group's decision to venture into
a new arena of industrial production were the main motivating forces behind the initiative
of establishing the Akij Textile Mills Ltd," Sheikh Jamil told us. "As always, we took a
very professional approach before establishing the textile mills. To gain first-hand
knowledge on textile, the chairman of the group and I visited the ITMA 1995 held in
Milan, Italy. The plan to establish Akij Textile Mills was conceived in 1995 and the mill
was established in 1998 with initially 10,000 spindles. It went to commercial production
in the same year," he narrated. "We are not the biggest, but we are applying the latest
textile technology and modern management to be the best," told Jamil. "We use the
benchmark of Ulster Statistics for top 5-25% textile mills globally," he claimed. Total
marketing of Akij Textile Mills Ltd is managed by Md. Jahangir Hossain, an MBA from
the Institute of Business Administration (IBA), University of Dhaka and B. Sc. engineer
from Bangladesh University of Engineering and Technology (BUET), Dhaka. He
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informed us, "Most of the spinning mills having more efficient, high quality production
facilities were set up in the 90s for high-value addition and reducing dependency on
imported yarn. In Bangladesh, spinning is almost self-sufficient in yarn production for
export oriented knit sub-sector. Bangladesh spinners are using the latest technology of the
world compared to that in India, Pakistan and China. At Akij Textile Mills Ltd, due to the
consistent quality, the product itself makes our job easier to win the market and all other
Ps (Price, Promotion & Place) of marketing mix complement each other and are pulling
in the same direction." After the preliminary interview with the chairman and director
(textile), we started for the textile mill premises located at Golora, Charkhanda in
Manikgonj district, one and a half-hour drive from Dhaka City.The factory building is
situated on 45 acres of lands with provision for further expansion. The yarn produced by
Akij Textile Mills Ltd is sold to the export oriented knit and woven garments industries.
The Mills' production capacity is around 50 tons per day - 25 tons combed and carded
from Ring Spinning, 20 tons from Schlafhorst Autocoro and 5 tons from BD Rotors. The
Mills can produce all yarn counts from Net 6 to Net 100. The counts mostly being
produced are Net 20 to Net 40 combed and carded 100% cotton yarn from Ring Spinning,
Net 6 to Net 26 from Schlafhorst Autocoro machine and Net 7 to Net 16 from BD Rotors.
The blow rooms are equipped with Vision Shields - foreign fiber (contamination)
detectors. From the process of bale breaking to the packaging of yarn, everything is done
with automation and state-of-the-art technology.
We wanted to do some in-depth interviews. But due to lack time we could not do any in-
depth interview. We also had to face very bad weather while collecting data from the
field. Some of our respondents did not want to give interview. So, it was difficult to
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convince them. Sometimes they were not present at the time of field work. So, we had to
revisit them for collecting data.
Research Methodology:
There are two sources of data collecting. One is primary and other is secondary. In our
research we have used secondary source.
We had talked with 25 people having different cases. So the sample size of our research
was 25.
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Probability: Among the samples 4 samples was probable. That means those sample was
selected by lottery method.
Non-probability: 21 samples were non-probable among the entire sample. Those samples
were purposive sample.
There are different methods and instruments to collect data. We had used the most
common and widely used technique of data collection. The method is survey method. It is
a method of gathering primary data from a sample of individuals based on-
Frutica Mango Juice: Now a days this is one of the most famous juice item in the
exist market. By the headline “that make the mind refresh” it begins its business from the
year 2007.
From the very beginning the company made its price per 250 ml bottle and 1 liter bottle
is 20 and 70 taka respectively.
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Frutica Grape Juice: This is another juice item from AFBL. It is also famous as well
as the mango juice of this company.
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Mojo Soft Drinks: Mojo is the most renowned soft drinks of AFBL. This drink just
bring its publicity with its quality maintaining.
1.5 liter = 60 tk
2 liter = 70 tk
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Lemo Soft Drinks: Akij food and beverage also launched the soft drinks product
Lemu with Mojo.
1.5 liter = 60 tk
2 liter = 70 tk
Brand name Market price Demand of the Supply of the Quality of the
product product product
Brand name Market price Demand of the Supply of the Quality of the
product product product
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Cheese Puffs
Brand name Market price Demand of the Supply of the Quality of the
product product product
Cheese Puffs 100 gm = 10 tk 1000 packet per 2000 packet per Good
day. day.
UHT Milk: Farm fresh milk is standardized at 3.5% fat, 8.5% SNF (Full Cream),
UHT (Ultra High Temperature) treated and aseptically packed in 5 layer 5 color printed
imported poly pouch for at least three months open shelf life at ambient temperature
condition. The product can be kept and transported in ambient temperature and by non-
refrigerator trucks. Even no need of refrigerated storage in retail outlets.
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Farm fresh 250 gm = 180 tk 200 jar per 250 jar per Good
Ghee day. day.
500 gm = 350 tk
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Product Strategy
Promotion Strategy
Advertisement: Television, billboards, posters, Print media.
Sales Promotion: Different promotional activities has been performed, e.g. a
seminar in BUET introducing SCM from Department of IPE. The official drink of
the event was ‘Clemon’.
Public Relations: Clemon Beach Carnival yearly. Sponsors Clemon- Activate
Bangladesh Sports Development Pilot Project under Active Bangladesh Foundation
(ABF).
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Direct Marketing: All the promotional activities for customer as direct marketing
and greetings are given to the traders.
Place Strategy
Transport: The transportation is upon the choice of the distributors. They may
use their own transport or else the company has arrangement for transporting the
goods.
Price Strategy:
List Price: Decided as competitive price. The prices of various sizes are: 250ml=
Tk.12; 500ml= Tk.20; 1000ml= Tk.40; 2000ml= Tk.65
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Credit terms: With all the dealers dealing is done in credit. Only the dealers of
high business volume enjoys credit term allowance for clearing due payments at
an early date.
Customer Solution
As a product Clemon has been designed to provide customers a clear lemon carbonated
beverage as per demanded sizes for self and family/group consumption at a close similar
quality comparing to similar products in the market.
We made an inquiry regarding customers find solution for meeting the need of
lemon flavored clear carbonated beverage within Clemon’s target range The
percentage shows:
CustomerSolutionBrands
50.00%
45.00%
40.00%
35.00%
30.00%
25.00%
Brand
20.00%
Nam es
15.00%
10.00%
5.00%
0.00%
7up Sprite Clem on, PranU p&
Upper 10& Chaser
BrandNames FizzU p
Customer Cost
The component “Price” of the marketing mix determined by keeping an eye on
customer’s willingness to spend for a beverage product comparing to similar
products of other brands. The other pricing factors regarding allowances and
credit terms are also justified according to reasonability.
Conveniences
Clemon is available at local grocery stores, fast food shops and super markets to
ensure customers convenience
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Communications
Clemon is being advertised using almost all the Medias which communicate
better with the targeted group.
Within the target group the media which communicates with them the most is
Television Advertisements and radio and billboards communicate in a smaller
scale.
MediaCommunicatingwithTarget
Market
98%
Print Media
Television
Poster
Radio
Typesof Media
The company of Akij Food and Beverage has a product line of almost
all the types of drink and snacks. “Clemon” fulfilled the line of
carbonated beverage by adding the lemon flavored carbonated
beverages.
Recommendation
So, considering all of the factors and feedback from the respondents we have given some
suggestions and recommendation in our Recommendation part. The major
recommendations are given below:
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#. Frutika is being marketed to the mass population only in three flavors like mango,
orange and grapes. But the other flavor like lemon, pineapple and mixed fruit are very
much fond of by the customers. So they should introduce some new flavor to make their
product lines stronger than the existing one.
#. They don’t have any 500ml pack. Not only that in foil pack they are absent in the
market. So they should immediately introduce their products in different available and
reason pack size that are convenient to the customers like 500ml, 150ml junior pack and
2000 ml family size too.
#. Business creates problems (such as air and water pollution, resource depletion) and
should therefore help to solve them; Corporations are citizens in our society and should
not try to avoid their obligations as citizens. Businesses often have the resources
necessary to solve the social problems as many business organizations often have surplus
revenues. Business is a partner in our society, along with the government and the general
Population.
We think that if the management considers the above mentioned recommendations and
cope up with the changing market demand Frutika will be able to lead the fruit juice
market of Bangladesh for along time.
Conclusion
Akij Group is one of the fastest business conglomerates in Bangladesh. Akij Group
growth is day by day increase and it Coverage: Around 90% of Bangladesh based on the
Annual Report-2008.The company of Akij Food and Beverage has a product line of
almost all the types of drink and snacks. We made an inquiry regarding customers find
solution for meeting the need of lemon flavored clear carbonated beverage within
Clemon’s target range the percentage is very good. It has not been long since Akij group
brought out Mojo and Lemu. They have already gained huge popularity. The recent
success of Akij group is Frutika, which delivers the promise of no preservatives.
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The Group has plans for setting up more projects. The projects are already in pipeline.
Foreign investors have shown keen interest in joining with us for joint ventures. The
matter is under our active consideration and will hopefully soon mature. This will also
help the nation's economy growth and will create job opportunities to various
professionals.
Akij Group is also involved in socio-cultural activities. The Group has been operating a
sizeable orphanage free of charge in district town. The Group has also acquired a modern
mother & children hospital previously owned by Save the Children (UK). The hospital is
being operated as a non-profitable concern.
But the company needs to be more concerned about society and environment. Because
Industries are most responsible for pollution that could occur harm for environment. And
AFBL also need to be involved with more social event. Because have the resources
necessary to solve the social problems as many business organizations often have surplus
revenues.
Appendix - Questionnaire
(The information collected from this questionnaire will be used for research purpose
and will be kept secret)
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Name:
………………………………………………........................................
.......................
a) Yes
b) No
a) Advertisement b) Friends
a) Yes
b) No
a) Mango
b) Orange
c) Grape
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a) Apple
b) Pineapple
c) Lemon
d) Guava
6. How much you are satisfied about the farm fresh milk?
a) Very much satisfied
b) Satisfied
c) Moderately satisfied
d) Not satisfied at all
7. How frequently you buy and drink frutika, Lemu,
Clemon, Mojo or speed?
c) Both
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c) 500ml
b) Departmental stores
c) Super mall
a) Yes
b) No
Considering Priority
Factor
Taste
Ingredient Chart
Nutrition factor
Brand Name
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Price
Advertisements
Packaging
Promotional
Supports
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Bibliography
1. http://www.akij.net/
2. http://www.akijfood.com/History.aspx
3. http://www.scribd.com/doc/18827268/Akij-Group-Financial-
Overview
4. http://www.docstoc.com/docs/10190235/Business-
Communication
5. http://www.oppapers.com/essays/Akij/263009
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