CHAPTER ONE

INTRODUCTION

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1.1 Introduction
From very first emergence and inception of modern civilization, Bank plays a pivotal role
in case of overall financial and socio economic development of any modern country. The
economic development of a country largely depends upon the efficiency of the banking.
Banks in Bangladesh play a significant role compared to other financial Institutions. With
a view to acquiring theoretical knowledge about the practical orientation and experiences
of dynamic business world, it is obligatory to undertake an extensive study to prepare a
term paper by the students of BBA program, Dhaka International University, who are
desirous to the successful completion of their BBA degree. As part of the program, I am
highly proud to join with Janata Bank Limited as Intern and selecting topic Promotional
Activities of Janata Bank. I was placed in Janata Bank Limited, Kamarpara Branch for
a period of three months. This internship is an orientation to the entire working activities
of Janata Bank Limited, and a study on an overall banking area. However, I had worked
there in several departments, but I had to select an area of study in which I can make
detailed research and present my understanding in the report. This report is an attempt to
map out a document, which clearly explains the existing situation in a comprehensive
way regarding the advertisement and promotion strategy of Janata Bank Ltd. This
affiliation report is originated as a partial fulfillment of the BBA program, DIU. This
report is a mandatory for the completion of BBA program and it carries 9 credits as well.
After completing my three months internship period, I am adjusting my theoretical
knowledge with my practical experience in this report. The main purpose of internship
program is to expose the students to the professional life. The internship program has the
following three phases:
1. Orientation of the organization: To introduce the internee with the structure,
function and performance of the organization.
2. The project part: Pertaining to a particular problem or searching topic matching
with the internees capacity, interest on the organization.
3. The report writing: To summarize the internees analysis finding and
achievements in the preceding two phases.

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1.2 Background Of The Study
The report title Promotional Activities of Janata Bank has been prepared as a partial
fulfillment of BBA Program in Dhaka International University. Student are required to
undertake internship program. For this purpose each of the students is required to attach
with an organization. During the internship period, a student has to prepare a report on the
organization where he is assigned. He has also to undertake and involve in investigation
on the organization for detailed study.

The basic purpose of this attachment is to expose the student to the real business world.
This exposure acquaints his with the practices of modern business world. This exposure is
very helpful is seeing for oneself how things move and to find the gap as well as the
similarities between theoretical and practical knowledge.

1.3 Objectives of the Report

Each and every activity has its own definite objective. If the objective is fixed and the one
is confident, he or she can enjoy the work without any difficulty. Objectives should be
obvious and relevant so that it can be accomplished. Objectives that are included in the
report need to focus and explore.

Broad Objective: Apart from fulfilling the course requirement BUS 490, I am practicing
this report to learn and know in detail about the Marketing strategies and techniques
which Janata Bank uses as their advertising and promotional tools. The main objective of
the report is to make an in depth analysis and evaluation of current advertisement and
promotion strategies of Janata Bank ltd. and recommend as per requirements.

Specific Objectives:
To present major marketing policies and practices regarding advertisement and
promotion of JBL.
To analysis the pros and cons of the conventional ideas about Promotion of Bank
Products.
To evaluate promotional strategy of JBL and how they formulate their strategy?
To examine the efficiency level of its present advertisement strategies.
To recommend some better strategies and suggest it for their policy implication.
To give some ideas about its management and organization structure.

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1.4 Scope of the study
This study taken within JBL through the internship was done in Kamarpara Branch,
Uttara. The research will deal to identify how JBL conducting its advertising and
promotional activities. Here I intended to explore the different aspects of promotion and
advertisement of Janata Bank Ltd. including its overall performance. Since the time
allocated for the internship was very limited, it was bit difficult to cover up every pros
and cons of the marketing techniques. From this report, banker, banking clients as well as
students, teacher, and researchers will be benefited.

1.5 Rationale of the Study

With the growing competition among nationalized, foreign and private commercial banks,
every organization are trying to evaluate their traditional banking service to a better
standard, to meet the challenging needs. Therefore, they pay attention on better
performance and existence through effective Advertising and Promotional tasks. Under
the above circumstances, it has become necessary for Janata Bank Limited, one of the
private commercial banks, to focus its attention towards the improvement, who are
actually executing the policies undertaken by the top management will have a chance to
communicate their feelings and will have the feedback about their dealings from the
customer.

1.6 Importance of the Study

The study encompasses an area that is Promotional Activities of Janata Bank Every
organization believes that Marketing for any organization plays a very important role.
They believe because the success of any organization depend on how they formulate their
marketing strategy in terms of segmenting the market, choosing target market, Promoting
their goods, making existing clients to loyal clients by satisfying their needs and attracting
new clients through providing superior quality to ensure long run performance and reach
marketing goals. In other words, how the effective service is ensured, how they are
responsible for making the best effort for delivering the better service, how they can
identify the customer dissatisfaction towards their service and how these dissatisfaction
can be altered with satisfaction. This is the aim of every Company to create new
customers and hold them for long time. Hence for Advertisement and Promotion is very
much needed as a Marketing strategy. The report will help the bank to identify its current

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position and hence find out ways to reduce the gap between what they are expecting to
gain and what they are actually achieving. It will also help to identify future prospects for
the bank. It identifies attitudes and opinions of the customers i.e. how customers feel
about the banking service. This will help Janata bank to formulate comprehensive master
plan regarding advertisement and promotion.

1.7 Limitations of the Report

However, I have given utmost effort to prepare this report but there are some limitations
of the study. Such are as follows:
Customers are very busy and they do not want to answer questions. They try to
avoid any interview and it is a major problem of preparing the report.
In order to make the report meaningful relevant information is very crucial. One
of the limitations of the study was insufficiency of information, which was
required for the study. There are various information the bank was not ready to
provide due to security and other corporate obligations.
Due to time limitation, many of the aspects could not be discussed in the present
report. Learning all the functions and preparing as well within just 90 days is
really tough.
Available data also could not be verified. In most cases, I simply did not have any
option but to furnish with data without verification.
JBL as a commercial bank they are very busy and they could not able to give me
enough time for discussion about various topics.

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 CHAPTER TWO
LITERATURE REVIEW

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Literature Review
2.1 Promotion & Consumption:
Does consumption respond to promotion? Many studies have focused on the effects of
promotion on brand switching, purchase quantity, and stockpiling and have documented
that promotion makes consumers switch brands and purchase earlier or more. The
consumers consumption decision has long been ignored, and it remains unclear how
promotion affects consumption (Blattberg et al. 1995). Conventional choice models
cannot be used to address this issue because many of these models assume constant
consumption rates over time (usually defined as the total purchases over the entire sample
periods divided by the number of time periods). While this assumption can be appropriate
for some product categories such as detergent and diapers, it might not hold for many
other product categories, such as packaged tuna, candy, orange juice, or yogurt. For these
categories, promotion can actually stimulate consumption in addition to causing brand
switching and stockpiling. Thus, for product categories with a varying consumption rate,
it is critical to recognize the responsiveness of consumption to promotion in order to
measure the effectiveness of promotion on sales more precisely

Emerging literature in behavioural and economic theory has provided supporting

evidence that consumption for some product categories responds to promotion. Using an
experimental approach, Wansink (1996) establishes that significant holding costs pressure
consumers to consume more of the product. Wansink and Deshpande (1994) show that
when the product is perceived as widely substitutable, consumers will consume more of it
in place of its close substitutes. They also show that higher perishability increases
consumption rates. Adopting scarcity theory, Folkes et al. (1993) show that consumers
curb consumption of products when supply is limited because they perceive smaller
quantities as more valuable. Chandon and Wansink (2002) show that stockpiling
increases consumption of high convenience products more than that of low-convenience
products. In an analytical study, Assuncao and Meyer (1993) show that consumption is an
endogenous decision variable driven by promotion and promotion-induced stockpiling
resulting from forward-looking behaviour.

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There are some recent empirical papers addressing the promotion effect on consumer
stockpiling behaviour under price or promotion uncertainty. Erdem and Keane (1996) and
Gonul and Srinivasan (1996) establish that consumers are forward looking. Erdem et al.
(2003) explicitly model consumers expectations about future prices with an exogenous
consumption rate. In their model, consumers form future price expectations and decide
when, what, and how much to buy. Sun et al. (2003) demonstrate that ignoring forward
looking behaviour leads to an over estimation of promotion elasticity.

2.2 Sales Promotion and Consumer Response/ Preference:

Consumer promotions are now more pervasive than ever. Witness 215 billion
manufacturer coupons distributed in 1986, up 500% in the last decade (Manufacturers
Coupon Control Center 1988), and manufacturer expenditures on trade incentives to
feature or display brands totalling more than $20 billion in the same year, up 800% in the
last decade (Alsop 1986; Kessler 1986). So far, not much work has been done to identify
the purchasing strategies that consumers adopt in response to particular promotions, or to
study how pervasive these strategies are in a population of interest. Blattberg, Peacock
and Sen (1976) define a purchase strategy as a general buying pattern which "incorporates
several dimensions of buying behaviour such as brand loyalty, private brand proneness
and deal proneness." A greater understanding of the different types of consumer
responses to promotions can help managers to develop effective promotional programs as
well as provide new insights for consumer behaviour theorists who seek to understand the
influence of different types of environmental cues on consumer behaviour.

Blattberg, Eppen, and Liebermann (1981), Gupta (1988), Neslin, Henderson, and Quelch
(1985), Shoemaker (1979), Ward and Davis (1978), and Wilson, Newman, and Hastak
(1979) find evidence that promotions are associated with purchase acceleration in terms
of an increase in quantity purchased and, to a lesser extent, decreased inter purchase
timing. Researchers studying the brand choice decision-for example, Guadagni and Little
(1983) and Gupta (1988)-have found promotions to be associated with brand switching.
Montgomery (1971), Schneider and Currim (1990), and Webster (1965) found that
promotion-prone households were associated with lower levels of brand loyalty.
Blattberg, Peacock, and Sen (1976, 1978) describe 16 purchasing strategy segments based
on three purchase dimensions: brand loyalty (single brand, single brand shifting, many

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brands), type of brand preferred (national, both national and private label), and price
sensitivity (purchase at regular price, purchase at deal price). There are other variables
that may be used to describe purchase strategies, examples are whether the household
purchases a major or minor (share) national brand, store brand, or generic, or whether it is
store-loyal or not. McAlister (1983) and Neslin and Shoemaker (1983) use certain
segments derived from those of Blattberg, Peacock, and Sen but add a purchase
acceleration variable to study the profitability of product promotions.

Throughout the world, consumer sales promotions are an integral part of the marketing
mix for many consumer products. Marketing managers use price-oriented promotions
such as coupons, rebates, and price discounts to increase sales and market share, entice
trial, and encourage brand switching. Non-price promotions such as sweepstakes,
frequent user clubs, and premiums add excitement and value to brands and may
encourage brand loyalty (e.g., Aaker 1991; Shea, 1996). In addition, consumers like
promotions. They provide utilitarian benefits such as monetary savings, added value,
increased quality, and convenience, as well as hedonic benefits such as entertainment,
exploration, and self expression (Chandon, Laurent, and Wansink, 1997).

A large body of literature has examined consumer response to sales promotions, most
notably coupons (e.g.. Sawyer and Dickson, 1984; Bawa and Shoemaker, 1987 and 1989;
Gupta, 1988; Blattberg and Neslin, 1990; Kirshnan and Rao, 1995; Leone and Srinivasan,
1996). Despite this, important gaps remain to be studied. It is generally agreed that sales
promotions are difficult to standardize because of legal, economic, and cultural
differences (e.g., Foxman, Tansuhaj, and Wong, 1988; Kashani and Quelch, 1990; Huff
and Alden, 1998). Multinational firms should therefore understand how consumer
response to sales promotions differs between countries or states or province.

2.3 Sales Promotion Types and Preferences:

At this point, it is useful to define what mean by the terms "expected price" and "price
promotion." Following Thaler (1985), it is viewed that the price consumers use as a
reference in making purchase decisions as the price they expect to pay prior to a purchase
occasion. Further, the expected price may also be called the "internal reference price"
(Klein and Oglethorpe 1987) as opposed to an external reference price such as the

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manufacturers' suggested list price. Finally, a brand is on price promotion when it is
offered with a temporary price cut that is featured in newspaper advertising and/ or
brought to consumers' attention with a store display sign.

The price expectations hypothesis has been used to provide an alternative explanation for
the observed adverse long-term effect of price promotions on brand choice (Kalwani et al.
1990). Previous research has shown that repeat purchase probabilities of a brand after a
promotional purchase are lower than the corresponding values after a non promotional
purchase (Dodson, Tybout, and Sternthal 1978; Guadagni and Little 1983; Shoemaker
and Shoaf 1977). Dodson, Tybout, and Sternthal evoke self-perception theory to predict
that if a purchase is induced by an external cause (such as a price promotion) as opposed
to an internal cause (e.g., the brand will be reduced when the external cause is removed.
Alternatively, Kalwani et al. argue that consumers form expectations of a brand's price on
the basis of, among other things, its past prices and the frequency with which it is price
promoted. Consumers' reactions to a retail price then may depend on how the retail price
compares with the price they expect to pay for the brand.

Specifically, during a price promotion, they are apt to perceive a price "gain" and react
positively; correspondingly, when the deal is retracted, they are apt to perceive a price
"loss" and are unlikely to purchase the brand. Neslin and Shoemaker (1989) offer yet
another alternative explanation for the phenomenon of lower repeat purchase rates after
promotional purchases. They argue that the lower repeat purchase rates may be the result
of statistical aggregation rather than actual declines in the purchase probabilities of
individual consumers after a promotional purchase. Specifically, "if the promotion attracts
many consumers who under non promotion circumstances would have very low
probabilities of buying the brand, then on the next purchase occasion the low probabilities
of these consumers bring down the average repurchase rate among promotional
purchases".

The behaviour of households that have low probabilities of buying a brand upon the
retraction of a deal can be explained readily in a price expectation framework. It has been
suggested that the price they expect to pay for the brand may be close to the deal price
and they may forego purchasing the focal brand when it is not promoted because its retail
price far exceeds what they expect to pay for it.

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It has been investigated that the impact of price promotions on consumers' price
expectations and brand choice in an interactive computer-controlled experiment. Manohar
U. Kalwani and Chi Kin Yim discussed that expected prices were elicited directly from
respondents in the experiment and used in the empirical investigations of the impact of
price promotions on consumers' price expectations. Further, rather than studying the
impact of just a single price pro- motion and its retraction, they assessed the significance
of the dynamic or long-term effects of a sequence of price promotions. They have
concluded that both the price promotion frequency and the size of price discounts have a
significant adverse impact on a brand's expected price.

Consistent with the findings of Raman and Bass (1988) and Gurumurthy and Little
(1989), they also found evidence in support of a region of relative price insensitivity
around the expected price such that changes in price within that region produce no
pronounced change in consumers' perceptions. Price changes outside that region,
however, are found to have a significant effect on consumer response. Further, they
discussed that promotion expectations are just as important as price expectations in
understanding consumer purchase behaviour. In particular, consumers who have been
exposed to frequent price promotions in support of a given brand may come to form
promotion expectations and typically will purchase the brand only when it is price
promoted. Added to it, in the case of price expectations, consumer response to promotion
expectations was asymmetric in that losses loom larger than gains.

Applying Helson's (1964) adaptation-level theory to price perceptions, Sawyer and

Dickson (1984) suggest that price promotions may work in the short run because
consumers may use the brand's regular price as a reference and then are induced by the
lower deal price to purchase the brand. However, frequent temporary price promotions
may also lower the brand's expected price and lead consumers to defer purchases of the
brand when it is offered at the regular price.

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2.4 The Valence of a Promotion:
The price-quality literature has found that a relatively lower price generally is interpreted
as an indicator of inferior quality and that this effect is magnified when only price
information is available to make a judgment (e.g., Etgar and Malhotra 1981; Monroe and
Petroshius 1981; Olson 1977; Rao and Monroe 1988). Although the economic aspect of
price leads to reduced demand at higher prices, the quality inference leads to enhanced
demand at higher prices or requires a trade-off between price and inferred quality
(Hagerty 1978; Levin and Johnson 1984). The extent to which consumers use price as an
indicator of quality depends on the availability of alternative diagnostic information
(Szybillo and Jacoby 1974).

Rao and Monroe (19B8) find evidence that, with increased product familiarity, people
increasingly used intrinsic (versus extrinsic) product quality cues to make quality
judgments. The greater the amount of other information available, the smaller will be the
effect of price on perceived quality (Rao and Monroe 1988). Because price promotions
reduce price and because lower prices are associated with lower quality, we predict that
when other information diagnostic of quality is not available, offering price promotions
will lead to inferences of lower quality.

Predictions of a negative effect also are implied by attribution theory. Attribution theory
suggests that consumers assign causes for managerial actions (for a review of attribution
theory applications to marketing, see Folkes 1988). When consumers are exposed to a
promotion, they attribute a reason for it. These attributions may be to the brand or to some
external force. A study that examines attribution valence finds that brand-specific
attributions for a promotion were valenced negatively, whereas non brand reasons were
positive or neutral (Lichtenslein, Burton, and OHara 1989).

When subjects were asked why a brand might promote, the brand-specific reasons they
gave were associated with perceptions of poorer quality, whereas the non brand reasons
were neutral or complimentary to the brand.

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Similarly, Lichtenstein and Bearden (1986) examine product, circumstance, and person
attributions for a promotion. They find that product attributions were valenced negatively,
for example, "because the car is inferior" and "because the car has poor styling."
Therefore, if consumers undertake attributional thinking when exposed to a price
promotion and if these attributions are to the brand, the attributions are more likely to lead
to unfavourable brand evaluations.

3.5 When Promotion is Informative The preceding leads to the question: What is the
likelihood that a given promotion will be attributed to brand related factors rather than
external, situational factors? Attribution theorists, starting with Heider (1958), have found
that observers attribute another person's behaviour to intrinsic or dispositional qualities rather
than to situational factors, even when the behaviour easily could be explainable by the latter.
This phenomenon, called the "fundamental attribution error" (or "correspondent inference
theory"; Jones and Davis 1965), predicts that consumers attribute promotional behaviour to
the disposition of the brand rather than industry characteristics. Thus, because consumers are
more likely to attribute promotions to brand-related (versus industry-related) factors and
because these factors are typically negative, offering a promotion should affect brand
evaluations unfavourably.

Literature suggests that when price promotions serve an informational function, they are
likely to have a negative effect on pre trial brand evaluation. The issue of whether price
promotions affect brand evaluations therefore might be restated to ask when they serve an
informational function. The promotion's information value is context-specific. One context in
which a promotion may be perceived as containing information relevant to brand quality is
when the act of promoting is a deviation from past behaviour. This indicates there has been a
change, and a re evaluation of the brand may be in order.

To illustrate, if a brand that has been promoted frequently in the past is promoted currently,
the current promotion conveys little that is new about the brand to consumers, and they are
not likely to give the current behaviour much thought. Conversely, if a brand that has never
been promoted in the past is promoted, this is informative and more likely to lead to a re
evaluation of the brand. This construct, formally termed "consistency" in the attribution
literature, has been shown to affect the extent to which people make personality inferences
about another person given his or her actions (Einhorn and Hogarth 1986; Hastie 1984; Hilton
and Slugoski 1986; Jones and Davis 1965; Kelly 1967, 1972). Consistent with this logic, in

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the context of reference prices, Lichtenstein and Bearden (1989) find that consumers' price
perceptions were dependent on the consistency of merchants' price claim policies. Consumers
should find promotional behaviour more informative of a brand's quality when it is
inconsistent with past behaviour than when it is consistent. The valence (the intrinsic positive
or negative characteristic) of a behaviour has been well researched in social psychology and
shown to affect the salience (Fiske 1980) and the processing of information (Fiske 1980;
Skowronski and Carlston 1989), Taylor (1991) summarizes the differential effects of positive
and negative information, arguing that they have asymmetric effects. These effects include,
for example, that negative experiences are elaborated upon more than positive experiences,
that people search more for negative (versus positive) information when making judgments,
and that they weight this information more heavily because they find it more diagnostic than
positive information (e.g., Fiske 1980; Hamilton and Zanna 1972. 1974; Herr, Kardes, and
Kim 1991; Kanouse and Hanson 1972).

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CHAPTER THREE
Methodology

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3.1 Methodology of Study
The study requires a systematic procedure from selection of the topic to preparation of the
final report. To perform the study, the data sources were to be identified and collected, to
be classified, analyzed, interpreted and presented in a systematic manner and key points
were to be found out. The overall process of methodology has been given below:

3.1.1 Sources of Data

For collecting the required data, I have used both primary and secondary sources of data.
These are given below:

Primary data Sources

I have collected primary data by interviewing clients, executives and officer of JBL,
Kamarpara branch. I have also included valuable insights of the employees. These data
help me to determine the business development trend of the branch.
For primary data: I have conducted a survey of few respondents to collect the
observations and analyze the data for evaluating the business development trend of the
branch.
Face-to-face conversation with clients visited the branch. Practical with experience in the
different desk of the department of the branch covered. Relevant field study as
provided by the officer concern.

Secondary Data Sources

Annual Report of Janata Bank Ltd (2014).
Website of the Janata Bank Ltd (www. janatabankbd.com).
Various book articles regarding general banking functions, Foreign exchange
operations and credit policies.
Different procedure manual published by Janata Bank Ltd. Published documents.
Official files.
Different publication of Bangladesh bank and Bangladesh economic reviews.

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3.2 Data Collection Procedure
Both qualitative and quantitative data collection procedure has utilized in this report. The
qualitative data was collected by informal discussion with the officers and employees of
(JBL). And the quantitative data was collected through survey with a structured
questionnaire. The survey was conducted among the clients of (JBL). The secondary data
was collected from the websites, articles, books and newspapers related to the terms of
the report.

3.2.1 Sampling plan

Population:
All the customer of Janata Bank Limited, Kamarpara Branch.
Sample element:
The individual customer random of Janata Bank Limited (JBL).
Sample frame:
No well structured sample frame was found-50.
Sampling procedure:
Non-probability convenience sampling procedure is used in the survey.

3.2.2 Data analysis and reporting

After collection of entire data, different approaches are widely used to analyze and
organize the data such as qualitative approach. Descriptive statistics (mainly average,
frequency, Percentage) has been applied for analysis. Statistical Package for Social
Science (SPSS) software, SPSS 11.5 & 16.0 was used to find out the result or data output.
MS Word 2007 & MS Excel 2007 have utilized to arrange and present the data.

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 CHAPTER FOUR
ORGANIZATIONAL OVERVIEW

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4.1 History Of Janata Bank Ltd
Janata means people. This is a progressive Bank. Immediately after the emergence of
Bangladesh in 1971, the erstwhile United Bank Limited and Union Bank Limited were
nationalized and renamed as Janata Bank. It has been operating since its inception in 1972
both in Bangladesh and overseas. Janata Bank Ltd. has been playing a significant role in
the economic development of the country by mobilizing savings and distributing funds
into different productive sectors. It is also a major player in the fields of micro-credit and
software development.
Janata Bank Limited, one of the state owned commercial banks in Bangladesh, has an
authorized capital of Tk. 30,000 million (approx. US$ 375 million), paid up capital of Tk.
19,140.00 million, reserve of Tk. 20,321.54 million and retained surplus Tk.
353.39million. The Bank has a total asset of Tk. 629,454.14 million as on 31st December
2014.
Janata Bank Limited operates through 904 branches including 4 overseas branches at
United Arab Emirates. It is linked with 1,242 foreign correspondents all over the world.
The Bank employs more than 14 (fourteen) thousand persons. The corporate head office
is located at Dhaka with 35 (thirty five) Divisions. As a part the conscious development
of existing Human Resources, Janata Bank through its three training institutes during the
year 2003 imparted training to 4699 officers and staffs. It computerized All of their 904
branches; ONLINE Banking in 174 important branches under important branches under
implementation; We have installed 15 ATM booths and shared 4102 ATM of other banks
across the country. The Board of Directors is composed of 11 members headed by a
Chairman. The Directors are representatives from both public and private sectors. The
Bank is headed by the Managing Director (Chief Executive), who is a reputed banker.

4.2 Vision of Janata Bank Ltd.

To become the effective largest commercial bank in Bangladesh to support socio-
economic development of the country and to be a leading bank in South Asia.
4.3 Mission of Janata Bank Ltd.
The mission of the bank is to actively participate in the socio- economic development of
the nation by operating a commercially sound banking organization, providing credit to
viable borrowers, efficiently delivered and competitively priced, simultaneously
protecting depositors funds and providing a satisfactory return on equity to the owners.

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4.4 Janata Bank at a Glance
Particulars Description

Name Janata Bank Ltd.

Status Public Limited Company

Chairman Shaikh Md. Wahid-uz-Zaman

Managing Director Md.Abdus Salam

Authorized Capital Tk. 30000 million (approx. US$ 375 million).

Paid up capital Tk. 19140 million.

Reserve fund & other Tk.20, 321.54 million and retained surplus Tk. 353.39
fund
IPO Size Tk. 10,000 million.
Face Value Tk. 100.00.

Offer Price Tk. 1000.00 (including a premium of Tk. 900).

Net interest income Tk. 2,249.84 mn 31.12.4

Profit/ (Loss) after tax Tk. 3813.15 mn 31.12.14

Retained Earnings Tk. 2,746.06 million as on 31.12.14

Total Liabilities Tk. 589,992.60 million as on 31.12.14.

NAV per share Tk. 206.17 as on 31.12.14

EPS (restated) Tk. 19.92 (considering bonus & rights issue)

Major Product All kinds of commercial banking, merchant

banking and Islamic banking operation

Deposit Tk.516,010 million on December, 31, 12,2014

Credit Tk.319,773 million. As Dec.31, 2014.

Investment tk.196,713 million as on 31st December, 2014

Treasury Tk 200000 million

Website http://www.janatabank-bd.com

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4.5 JBL Network in Bangladesh Map

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4.6 Organizational Structure of Janata Bank Ltd.

There are 11 members of Board of Directors manages Janata Bank Limited. For
efficient operation of the bank the Board of directors forms an Executive Committee
Members. Besides, a management Committee looks after the affairs of the bank. The
Bank maintains transparency in its entire works. All decisions of the management come
through discussions in appropriate forum and required follow-ups are also made to see
their effectiveness. Here are the management team given in a chart and he hierarchy of
the JBL is given in next page-

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4.7 Objectives of the Bank:
Alongside up gradation and diversification of banking service to provide
maximum satisfaction to the respected clients, nourishing saving habit among the
general people by offering them attractive savings oriented products, thereby
assisting economic development.
To build up a deep-rooted and harmonious banker-customer relationships by
dispensing prompt and improved services to the clients.
Use the hard-earned investment of their valued shareholders. Simultaneously, play
their due part in developing a vibrant capital market by ensuring more effective
participation of the Bank in the share market.
To make best use of latest technologies for giving the clients a taste of modern
banking so as to encourage them to continue and feel proud of banking with JBL.
Respond to the need of the time by participating in syndicated large loans
financing, thereby expanding the area of investment of the Bank.
To gain confidence of all quarters involved in the economic development of the
country through pursuance of a policy of continuous adjustment and coordination
of the Banks external trade programmers with the dynamism inherent in the
international trade and payments system.

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 CHAPTER FIVE
Analysis and Findings

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5.1 Role of Promotion and Advertisement in Banking Industry
It is said that the banking sector mirrors the larger economy - its linkages to all sectors
make it a proxy for what is happening in the economy as a whole. Indeed, the Bangladesh
banking sector today has the same sense of excitement and opportunity that is evident in
the Bangladesh economy. The banking industry in Bangladesh has become more and
more developed and is functioning progressively. Customers have more opportunities for
selection of more suitable places to buy and use banking services and satisfy all their
demands. However, at the same time, they have also become more fastidious and expect
higher standards from banks, such as more friendliness in service styles, more
effectiveness in solving all their complaints, or more modernization when it comes to
equipment and tools. Here the terms 'Marketing' and 'Banking' blend together
inextricably. Marketing has lately entered the banking industry not in the form of
marketing concept, but in the forms of advertising and promotion concept. It has been
realized that marketing transcends advertising and friendliness. Earlier, it was recognized
that personal selling was not necessary. The bankers even eliminated the word 'selling'
and they called the function of customer-contact 'business development function'.
However, gradually they have begun to realize that marketing is a lot more than smiling
and friendly tellers. Bank executives and marketers faced with ongoing challenges can
make better business decisions with the help of software, data and analytic services from
Mapping Analytics:

1. Who are my best customers and how can I keep them?

2. Where is the greatest market potential to find new customers?
3. What locations should I choose to expand our branch network?
4. Is our network of bank branches optimized for maximum performance?

The answer to each of these questions depends in large part on geography and location.
That means working with Mapping Analytics - experts in mapping and Bank Customer
Segmentation Analysis. Banking is a personalized service-oriented industry. The
marketing approach involves anticipating, identifying, reciprocating (through designing
and delivering customer- oriented service), and satisfying the customer's needs and wants
effectively, efficiently, and profitably. To bring satisfaction to customers, banks have had

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to improve their service quality to keep their old customers and attract more new and
potential ones.

5.2 Advertising strategies of Janata Bank Ltd.

Advertising may be defined as a controlled form of non-personal presentation message
about specific ideas or services from an identified sponsor via a specific communication
medium designed to inform and persuade selected audiences to undertake actions desired
by the sponsor. In recent years, the role of advertising in the banking industry in both
personal and corporate markets has expanded dramatically and the financial services
industry is now one of the most important sources of advertising revenue. In developing
advertising strategy, the bank must first ensure that it conforms to overall marketing
strategy. The process of developing advertising strategy of Janata Bank Ltd then consists
of the following steps:
1. Set advertising
2. Establish copy platform
3. Develop the media plan
4. Set the advertising expenditure level
5. Measure advertising effectiveness

5.2.1 Promotional Decision:

Promotion forms an important component of any marketing campaign. The intangible
dominant product services are not easily advertised. The intangible is difficult to depict in
advertising whether the media is print, TV or radio. Services advertising should thus
emphasize tangible cues that will help the customers understand and evaluate the service.
The following tips may be taken in this connection.

5.2.2 Segmentation:
To provide better services, Janata Bank Ltd divided the banking sector lots of
segmentation. Segmentation just depends based on the lots of element. When the
marketing team divided the market under the segmentation, then they consider the feature
of the customers, financial condition of the customers, local area and business nature of
the geographical area.

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5.2.3 Targeting& Positioning:
Janata Bank is the bank of mass people. People of all income groups are the target
customer of this bank. This bank all time searches the unused money from the general
people as their valuable capital.

5.3 Advertisement of Banks products

Deposit Services
Loan Services

5.3.1 Deposit Services

Under deposit products the customers can maintain different types accounts such as:
Current Account, Savings Account, SID, FDR and Foreign Currency Account. But the
others are considered as deposit schemes. All Schemes:
Monthly Savings Scheme
Lakhpati Deposit Scheme
Millionaire Deposit Scheme
Money Multiplier
Monthly Benefit Scheme
Corepati Deposit scheme
Double Growth Deposit Scheme
Triple Growth deposit Scheme
Rural Deposit scheme
Education Savings Scheme
Deposit Scheme

3.3.2 Monthly Savings Scheme (MSS)

Savings is the best friend in everybody's life. Small savings can build up a successful
future. In case of emergencies, this savings can help in a major way. Janata Bank Ltd has
introduced Monthly Savings Scheme (MSS) that allows one to save on a monthly basis
and get a handsome return upon maturity. If anyone wants to build up a significant
savings to carry out one's cherished dream, Mss is the best way of JBL. This MSS is
known to DPS in other banks.

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Advertisement Analysis:
When they first introduced this new scheme, the customers have known about it from
online and by personal selling.

Target group:
For MSS, the main target customers are the housewife and the lower income group
people. During my internship period, I have seen that the people of Kamarpara, they
mainly come to deposit their money. The women and men who are working in garments
beside the bank, they also come to save money from their monthly income. The rate sheet
is given to all the customers.

The Government takes 10% from the payable interest. The customers have to deposit the
installment in every month. If anyone fails to deposit then she or he has to given 50 tk
after the month.

5.3.3 Marriage Deposit Scheme

In our country marriage of children, especially girl is a great headache for the parents as it
involves expense of considerable amount. Parents get relief and can have peace of mind if
they can arrange the necessary fund for marriage of their children, no matter whether they
survive or not until the marriage occasion. It can be a great help to the parents if there is
any scope of deposit of a reserved amount as per their financial capacity. Janata Bank
Limited has introduced Marriage Deposit Scheme, which offers the customers an
opportunity to build up their cherished fund by monthly deposit of small amount at their
affordable capacity.

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Advertisement analysis:
The parents can know about this scheme from the bank. They can collect a rate sheet of
marriage deposit scheme. The employees sometimes go personally to the known people
and tell them about the facilities of this scheme.

Target group:
For this scheme the target group is the young girls and boys. In maximum time I haves
seen that the parents who have the girl's they are always anxious about their child's
marriage. So when they come to the bank and know about the facilities of this scheme,
they feel secure for future time.
The rate sheet is:

5.3.4 Education Savings Scheme

Every parent wants to impart proper education to his or her children. Yet, there is no
arrangement of free education to the citizens from the government level. Parents can get
relief and can have peace of mind if they can arrange the necessary fund for higher
education of their children. Considering this matter, JBL has introduced 'Education
Savings Scheme' which offers one an opportunity to build up his cherished fund by
monthly deposit of small amount at affordable capacity deposit to meet the educational
expenses. Under this Scheme, the customers have the different attractive options to avail
the future benefit.

Advertisement analysis
Janata Bank Limited has arranged some programs in colleges and universities. The
students can inform from those programs and from online. They can save their money by
depositing money.

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Target group
The students who are well educated but sometimes they cannot manage their study
expenses for their financial crisis. They can use this scheme for their better future life. At
that program, they try to motivate the students about the savings money. As a result, the
students do not go for other bad habits. It is a success of the Bank.

5.3.5 Lakhpoti Deposit Scheme

In Bangladesh most of the people want to become lakhpoti. Especially the lower and
lower middle class income group they wish to do it. Like every process, this procedure
should have a right plan. Keeping the thinking in mind JBL has introduced "Lakhopati
Scheme" which has flexibility in report of maturity and monthly installment as per
affordable capacity. Advertisement analysis The middle class people are interested to
deposit this scheme. Because if they deposit only 2435 tk as an installment for 3 years
then they will get One Lakh taka. It's a huge pleasure for a customer if he can properly
maintain this scheme. For 5 years it will have to deposit only 1315 taka.

5.3.6 Millionaire Deposit Scheme

It is a dream for many small savers to become a Millionaire. Janata Bank has introduced
'Millionaire Deposit Scheme' which has flexibility in respect of period and monthly
deposit as per one's affordable capacity for giving a sum of Tk l million i.e. Tk l0 (ten)
lakh at a time. Advertisement analysis The customers can know about the scheme from
online advertisement. There is no any billboard, poster, TV advertisement. The people
who always use the internet they can easily visit the Janata Bank's web site and can
informed about the all schemes.

5.3.7 Kotipati Deposit Scheme

It is feasible for high-income group who have strong determination and savings habit. If
anyone decides and plans to save money from his regular income, he can own Tk 1.00
crore easily by making a planned savings. In this regard, JBL has introduced "Kotipati
Deposit Scheme" offering the savings plan. Advertisement analysis The officers
sometimes go for marketing and advertise their products. In this case, they try to convince
the people. Nevertheless, I came to know while working in this Bank that this scheme is
not so much popular. Mainly the MSS is so much popular.

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5.3.8 Double/triple Growth Deposit Scheme
For people who have cash flow at this moment and want to get it doubled/tripled quickly.
JBL has introduced Double/Triple Growth Deposit Scheme which offers anyone to make
double/triple money within 6(six) years and 9.5 (nine and a half) years respectively
resulting a high rate of interest. Advertising analysis: For advertising this scheme, Janata
Bank uses "Personal selling" as an element of the promotional Mix. Mainly it is the direct
contact between buyer and seller. In this bank, sometimes the junior level officers go for
marketing and try to capture the customers.

5.4 Loan Services:

Lending is the core function of commercial bank. For a bank, good loans, credits, or
advances are most profitable assets. The largest portion of operating income is derived
from lending. A commercial bank usually wins over its competitors only on the quality
and quantity of lending. It is therefore, indispensable for a bank to have a well thought
policy for executing its lending operation. General loan facility includes the letter of
credit, Bank Guarantee, Cash Credit, SOD, Lease Finance, Export Finance, LDBP, and
House Building Loan. The others are:

5.4.1 SME Credit Scheme

Double Loan
Festival Credit Shop/Business office renovation loan
Loan for women entrepreneur
Working capital
Flexible working loan
Loan for purchase of possession right for shop/Business
Janata Bank Limited gives the Capital Machinery Loan. Business is a running process.
For its maintenance there is always need of machinery. The customers can know about
the loan from online or through the SME service centers. For any kind of business
purpose, this loan is given if they have two years experience. The loan receiver must have
to be 20-60 years. They will have to be capable to pay the loan amount from their
business.

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5.4.2 Personal Loan for Women
Janata Bank limited always tries to help the poor women or women entrepreneurs who
want to do something for their safety. This product is designed especially for the working
women and housewives. Housewives with reasonable income of the spouses are also
eligible to avail this loan. The loan can be availed for the purchase of domestic device,
house renovation etc. Our sales team goes to some villages and they talk with the women
who are capable to earn money.

5.4.3 Car Loan:

This is given to accelerate the transport facility national wide It's interest rate is 16.00% It
is paid to equal monthly installment Others conditions are almost same as the industrial
loan. The customers can easily know about this loan facility from the online. There is
some advertisement against this Loan in Newspaper.

5.4.4 House Building Loan:

This loan is given for the construction of dwelling house. At a monthly installment, this
loan is given at 13% interest rate. But in this bank, this type of Loan is not given in a
frequent moment.

3.4.5 Agricultural Loan:

It is given from the branch wise of Janata bank Limited. The interest rate is 12.00-
13.00%. The poor farmers can get this Loan so the outside of Dhaka city, wherever the
branches of Janata Bank Ltd. are located the branch people try to motivate to take this
loan. Because in the rural area everywhere it is not available of TV and the internet.

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5.5 Promotion Strategy of Janata Bank Ltd
In order to sell goods and services or promote an idea, Promotion acts as the coordinator
of all seller initiated efforts to set up channels of information and persuasion. The basic
tools used to accomplish an organization's communication objectives are often referred to
as the Promotional mix. There are mainly four parts of Promotional Mix:
1. Advertising
2. Sales Promotion
3. Public Relations
4. Personal Selling

But besides them we can recognize extra two tools Direct Marketing and Interactive
Marketing as the major promotional mix elements. How the Janata Bank Limited is going
to use the promotional tools through its different activities are given below:
Janata Bank Limited does not use all the tools of promotional tools. This bank only uses
direct marketing and personal selling as their advertising procedure. In the TV news,
Janata Bank sponsors for reminding the customers. They believe on a variety of
promotional elements to progress their products and services through intermediaries
directly to the customers. They think that Personal Selling is effective in creating brand
image, conveying information, creating awareness and can generate a behavioral
response. As we know that Direct Marketing is in itself a form of Advertising. Trough
mail, print, or TV adds they make a direct response with the customers. In the
newspapers, Janata Bank gives ads for their social marketing activities. Like, AIDS, Drug
Addiction, to help poor children, to save the ACID victim etc.
Vigilance & Control Division (VCD) and Marketing & Development Division (MDD) at
Janata Bank Ltd Head office will jointly arrange for well publicity of the brand name of
new deposit scheme with its important features by the national newspaper and electronic
media (TV). Every branch will show special and attractive banners of the new offering
for awareness. Leaflet, placard, festoon, poster and brochure will be supplied to each

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branch for distribution and exhibit to all important places with the differentiation feature
and attractive. The Janata Bank Ltd also offers to their marketing employees (Field
worker) extra incentive, if they fulfill the following chart. It is the financial motivation to
their marketing employees. As a result, they express their better effort in banking service.
Sl. No. Deposit (TK) Number of new Accounts Cash Prize 1 1,00,000 10 100 tk. 2
2,00,000 12 200 tk. 3 3,00,000 14 350 tk. 4 4,00,000 16 475 tk. 5 5,00,000 18 600 tk. 6
6,00,000 20 750 tk. 7 7,00,000 23 985 tk. This table indicates that, when a banker
arranges to open number of 10 accounts which value will be 1.00 lac then she/he will get
extra 100 Tk. next one account. The fillip the 12 accounts and value will be 2.00 lac then
banker gets extra 200 Tk for extra one account. The Janata Bank Ltd. by this way
maintain the extra account commission to promotion their banks employees.

5.6 Developing Promotion Strategy of Janata Bank Ltd.

Several activities are involved in designing the promotion strategy including:
1. Setting communication objectives.
2. Deciding the role of each of the components that make up the promotion program.
3. Determining the promotion budget.
4. Selecting the strategy for each promotion component.
5. Integrating and implementing the promotion component strategies. 6. Evaluating
the effectiveness of the integrated promotion strategies.

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5.7 Promotional activities of Janata Bank Ltd.
Through CSR Promotional activity of a bank can include anything that will promote the
bank to the people. Normally, these can include advertisement in Billboards, TV
commercials or paper ads etc; CSR activities, brandings, sponsorships. Janata Bank Ltd.
occasionally gives advertisement and notices in daily newspapers. For example, any new
branch opening information or new products etc. Billboards of Janata Bank Ltd. are not
that much visible in the road. Janata Bank Ltd has many CSR activities all over the
country. At least 2% of our annual profit of every year is put aside for the foundation to
conduct Corporate Social Responsibilities (CSR) activities. These include
Healthcare service.
Scholarship program for brilliant poor student.
Education Promotion Scheme (Interest free loan).
Helping people affected by natural calamities.
Helping people in slum areas.
Donation to educational institutions to setup computer lab.

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5.7.1 Scholarship Program
From a social responsibility, Janata Bank Limited has arranged some programs. So that
the people can have their mind that name of Janata Bank Limited. They have donated to
the S.S.C passing students. The amount was 42,000 tk. Janata bank limited helps the poor
children with some money. For this program, the students are influenced to study more,
besides this JBL tries to remind people of their bank. Providing monthly scholarship to
60 social-advantage deprived students having GPA 5.0 at SSC & HSC exam.
Scholarships to Underprivileged Student. Scholarship to the children of JBL Employee.

5.7.2 Health This Bank has also helped the patients.

For treatment purpose they used 25,000 tk. Janata Bank frequently arranges Free Eye
Camp. Especially in rural area where people are not solvent and does not have enough
medical facility.

5.7.3 Training Program

Janata Bank provides various training program to physically challenged people. Recently
in Sunamgonj district they arranged computer training for speak impaired.

5.7.4 Blood Donation Program

For blood donation program, they expend 54,830 tk. So that nobody dies because of
blood, Janata Bank arranges blood donation program. They collect blood from volunteers,
and deposit it to blood bank.

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5.8 SWOT Analysis

Strength:
The attribute with which customers were highly satisfied but gave less importance was
tagged as the strength areas of the bank. Some attributes that give Janata Bank Ltd. a
better standing in the competition. These are:

Large number of customers

Location of the branches
Professionalism of the employees
Rates on savings

Weakness:
Some weaknesses of the bank were pointed out in the survey, which had low satisfaction
scores and were somewhat less important to customers. But in order to improve overall
satisfaction these attributes should be considered.
Slow decision making due to large hierarchy
Solution searching tendency of employees
Location of the ATMs
Willingness to help

Opportunities:
Opportunities are the ones that hold bright prospects for Janata Bank Ltd. identifying that
where it should build its strength. These opportunities are:
Reliability of the statement
Fees and service charges
Location of the branch
Savings service

Threats:
Threats are ones that represent danger for the bank in its future growth and are
responsible for the downgrading of customer satisfaction. Some of the threats are:
Location of the ATMs
Technology of bank
phone banking service
Neatness of employees
Friendliness of employees

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5.9 Findings

(JBL) promotional activities are not in satisfactory level. Most of the customers
think (JBL) needs more advertise their brand and service.
Janata Bank Limited (JBL) gives opportunity to their employees to participate in
decision making. As a result the Customers give the better services from the
employees.
The largest parts of the account holders and Customer or Clients of (JBL) are
Male.
Customers are satisfied with wide range of services by (UBL). But their ATM
facilities are not in satisfactory level.
(JBL) branches situated at convenient location.
Employees of (JBL) are capable to realize customers needs & they are so
friendly to customers.
Interior & Exterior designs of (JBL) branches are attractive.
Waiting time is reasonable & transaction in (UBL) is reliable.

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 CHAPTER SIX
Conclusion and Recommendations

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6.1 Conclusion
Consumer banking industry has been treated as a prospective financial sector in
Bangladesh. More and more banks are entering the industry. The industry became so
attractive that since trustworthy Banks like JBL has entered the market and wants to lead
the market for which they need to ensure best customer services and follow the extended
marketing mix for advertisement and promotion. However, the entrance of banks like JBL
has brought revolutionary changes in banking services. People get better services but at
some sectors customers are dissatisfied and those factors like availability of ATM, good
delivery services and recreational facilities to be prcised needs to be improved. In some
cases people are not well informed about the service they can have from a Bank. To let
people know about the company, every company uses different types of promotional
tools. However, directersonal Selling is used in a wide range but besides this JBL must
have to use other tools to advertise their bank's products and services. Such billboard is
one of the most popular using promotional tools to the company. As it is cheap and
mostly seen in an open place, most of the company likes to use this tool because of its
wide repeated exposure. A research was done on Advertisement and Promotion strategy
of Janata Bank Limited. Different people gave different opinion. From the survey, it can
be said that they want to see more advertisement on Television, newspaper. Customer is
the king of any company so before taking any decision in case of advertising should
identify what types of ads the customers really want from them. Most of the customers
are aware of TV advertisement, newspaper advertisements. Advertising is a crucial role
for the customer to recall the brand name repeatedly. The more advertisements will be
presented in front of the customers the more they will focus to Janata Bank Limited. I
hope that JBL will be able to spread their business with increasing various schemes &
other utility services. The study on Advertisement and Promotion Strategy of Janata Bank
Ltd. is cased out with full co- operation of the customers. As far as possible within the
given limits the study is completed with the satisfaction of many people. The data
collected are analyzed scientifically.

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6.2 Recommendations

The following points are recommended after the study

Janata Bank Limited must be developed their ATM booth services.
The management should give more emphasis on the advertisement of the bank
about their operations.
Computer facilities should be increased.
Training should be arranged for the employees for increasing expertise in using
modern technology.
The bank should take new marketing strategy which will responds and take
effective steps to increase faith on them.
(JBL) is suggested to make a feeling that they have the best interest in the
customers heart. They should organize various customer related programs and
offer more customized services like SMS banking, Q-cash, Internet banking
Mobile banking etc.
Janata Bank Limited (JBL) should introduce more safety and health policy.
The promotional activities should increase like TV advertisement, Newspaper
advertisement, billboard advertisement etc.

Bank should grant investment portfolio to more new entrepreneurs, businessmen as well
as new companies. (JBL) should also implement better delivery system to ensure quality
service to its large group of clients.

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 References
Books:
Kotler Philip, Gary Armstrong. 2013. Principles of Marketing 13th ed. Dorling
Kindersley (India) Pvt. Ltd.
Malhotra K. Noresh, Satyabhushan Dash. 2013. Marketing Research 13th ed.
Dorling Kindersley (India) Pvt. Ltd.
Wilson, R. (1995). Marketing strategies for Bank financial products. New
Horizon, 39, 7-9.
Woelfel, C. J. (1993). Encyclopedia of banking and finance. Chicago: Probus
Publishing Company.
A Book on Lending Guidelines and Credit Risk Management of Janata Bank Ltd.
Alam, M. (1997), Budgetary process in uncertain contexts: a study of state-
owned enterprise in Bangladesh, Management Accounting Research, vol.8, no.2
pp147- 167.Chiwhury, L R. A Textbook in Bankers Advances. 2nded. Dhaka:
Fair Corporation, 2003
Dess, G., Lumpkin, G. & Eisner, A. (2008), Strategic Management: text and
cases. 4th ed. McGraw-Hill/Irwin: New York.
Cooper, D. & Schindler, P. (2008), Business Research Methods. 10th ed.
McGraw- Hill: New York.

Official Websites:
www.janatabank- bd.com
www.google.com.bd
www.bangladeshbankorg.com

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