Chapter-One

Introduction

1
1.1 Background of the Study:

Bengal Group takes pride in developing Bangladesh economy through establishing

diversified industries. The Group is recognized as one of the leading and fastest
growing industries in Bangladesh having a wide range of activities in the field of
plastics, adhesives, metal, paper, real estate, agro, food, bank, insurance, and
energy industry.

Today Bengal Group is one of the largest plastic processing companies in the
Southeast Asia producing 1.5 million pieces of plastic apparel hangers, more than
500,000 pieces of poly bags, 200,000 meters of strapping bands, 100,000 pieces of
packaging tapes, and 150,000 pieces of woven sacks each day.

Bengal Group is the leading processor of plastic in the country whose journey was
started in the year 1969. Over the period company has traveled a long way and
entered into the Export Market. The company is the winner of ‘National Export
Trophy’.

Bengal Group Industries limited is incorporated in the year 1969 engaged in the
business of plastic processing and food processing. Major products of the
company are: hanger for export market, oven sack bag for cement packaging,
plastic furniture & Biscuit.

Company believes in quality of product and quality in service that is rendered to

its valued customer. Quality and perfection doesn’t come in a day. For proving
quality experiences over years are required, which we are posing.

2
Company follows a proactive marketing strategy, i.e., they recognize the customer
need, transform the need to product quality and deliver them the product with
distinctive service.

Company as a group is generating highest revenue in the industry (plastic), it

processes and sales almost 30 MT per day.

Major business of the company (hanger manufacturing) may be hampered if the

garments industry goes in a down trend but the company is planning to enter in
export market, which will protect the revenue earning.

Company follows a 3 tier operation system i.e., bottom line worker (lower
management), supervisors (mid management), and decision makers (top
management).

Time management, employee motivation and positive work environment is to

increase productivity which the company follow as a philosophy.

1.2 Origin of the Study

As part of the Project Program of Department of Business Administration course
requirement, I was assigned for doing my study in Bengal Group. My project was
“Marketing Mix (4P) of Bengal Group, which was assigned by my project supervisor
Khadizatul Ferdous, Lecturer Department of Business Administration at Sonargaon

University.

3
1.3 Rational of the Study

Master of Business Administration (MBA) is a professional course and the Project

program is an important part of MBA program. Project creates a unique opportunity for
the student to apply their theoretical knowledge into practice and gain valuable real world
business experience. During the internship period, student can also realize existing
business condition apart from having opportunities to solve the problem using various
analytical tools.

This report focuses on the Marketing Mix (4P) of Bengal Group in indirectly. By nature
the market of RFL is competitive, as several are operating in the market. So in this case
“Marketing Mix (4P) of Bengal Group” is a very important factor to compete in the
market and achieve the organizational goal.

1.4 Objective of study

The broad objectives of this report is to identify the state of Marketing Mix (4P) of
Bengal Group”.
1.4.2 Specific Objective:
I. The types Bengal Group makes some loyal customer specially
Bangladesh and foreign market by providing different of products.
II. to focus on some key points of Bengal Group in terms of depending
on GROUP marketing
III. To identify the performance of marketing activities according to the
marketing executives of Bengal Group.
IV. To make some recommendations based on the findings of the study.

4
1.5. Research Methodology:

The main objective of research work is to find out the market position of the
Bengal’s product. To fulfill the research work a lot of data required are question
is designed for collecting data from loyal customers of Bengal Group from
Dhaka city. Questionnaire included different types of information such as social
economic and plastic furniture information.

I have used both primary and secondary information to prepare my report. I tried
to interview different people of the department without questionnaire otherwise;
they will not give answer to my questions. I have also used some secondary data
published in the newsletter of the GROUP, brochures, catalogs, website and from
some books and magazines. On top of that, I use to note down my daily activities
and always try to follow the culture of Bengal Group to gather maximum
information.

1.5.2 Data Collection:

I have prepared the report to collect by the following two types of data. Majority
of the study is based on primary data. However some secondary data source is
used for background study.

1. Primary Data collection sources were done by direct interview to

the targeted respondents and by administering questionnaires of
Bengal Group.

2. Secondary Data were collected from books, published documents,

Annual Sales Meeting report of Bengal Group, survey reports,
Internet and journals.

5
1.5.3 Data Analysis Techniques (Research techniques):
In this study I used some types of exploratory research technique.
These are:

I used Depth Interview method with the distributor and the Sales Representative
(S.R) of Bengal Group.

I used case study method to obtain information about the competitors.

I also used Survey techniques for gaining information about the perception of the
customers and actor of outlets about the products of Bengal Group.

1.6 Limitation of the Study:

Every task has some limitation. I was trying to make as possible as error free
report. My research paper has some limitations. My finding limitations are listed
in the bellow:

 Lack of experience may also act as constraint in the way of meticulous

exploration on the topic. I was not more experienced about the research
process. I was to work with my limited ability to make it as good as
possible.

 Not having an accurate database about the outlets in Bengal Group that
caused waste of time.

 Workload during the internship program at the work place was also a
barrier to prepare this report.

6
 It is quite difficult to complete for such research program for one person in
a certain time limit.

 I think two (2) month time is not enough to understand the major activities
of marketing division about distribution of a product.

 There was time limitation for this research project. That made difficult to
get all information.

7
 Chapter-Two
Literature Review

8
2.1 Marketing Mix:
The marketing mix is probably the most famous phase in marketing. The elements are the
marketing “tactics” also known as the “four Ps” marketing decisions generally fall into
the followings four controllable categories:
 Product
 Price
 Place(distribution)
 Promotion

Product: "Anything that can be offered to a market for attention, acquisition, use
or consumption that might satisfy a want or need. In includes physical objects,
services, persons, places, organizations and ideas."
Price: "The amount of money charged for a product or service, or the sum of the
values that consumers exchange for the benefits of having or using the product or
service."
Promotion: "Activities that communicate the product or service and its merits to
target customers and persuade them to buy."
Place: "All the company activities that make the product or service available to
target customers."

9
 Product
Variety
Quality
Design
Features
Brand Name
Packaging
Services
Promotion Price
Advertising Least Price
Personal Selling Discount
Sales Promotion Allowance
Marketing
Public relation Mix Payment Period
Returns
Credit Terms

Place
Channels
Coverage
Assortments
Location
Inventory
Transportation
Logistics

Figure: Four P’s of Marketing Mix

10
2.2 4ps in Details

 Product:

The product is the most important aspect of the marketing mix. The product can be
a service or even a holiday destination. Products have both tangible and intangible
benefits. Tangible benefits include benefits which can be measured such as the top
speed of a car. Intangible benefits are benefits that cannot be measured such as the
enjoyment the customer will get from the product.

It is important that the product is changed as necessary to bring it up to date and

prevent it from being overtaken by competitors.

Exactly what product or service are you going to sell to this market? Define it in
terms of what it does for your customer. How does it help your customer to
achieve, avoid or preserve something? You must be clear about the benefit you
offer and how the customer's life or work will be improved if he or she buys what
you sell The term "product" refers to tangible, physical products as well as
services. Here are some examples of the product decisions to be made.

 Brand name

 Functionality

 Styling

 Quality

 Safety

 Packaging

 Repairs and Support

 Warranty

 Accessories and services

 Price:

11
The product is the most important aspect of the marketing mix. The product can be
a service. It is very important that the correct price is charged for a product. If the
price is too high consumers will avoid the product as they will believe it to be too
expensive yet if the product is priced too low they may believe that there is
something wrong with the product for it to be so cheap. Also if the company
charges too low a price, it may not cover its costs. There are many different
pricing strategies that companies can use to decide on a price for their product
including market and psychological pricing methods.

Exactly how much are you going to charge for your product or service, and on
what basis? How are you going to price it to sell at retail? How are you going to
sell it at wholesale? How are you going to charge for volume discounts? Is your
price correct based on your costs and the prices of your competitors?

Some examples of pricing decisions to be made include:

 Pricing strategy (skim, penetration, etc.)

 Suggested retail price

 Volume discounts and wholesale pricing

 Cash and early payment discounts

 Seasonal pricing

 Bundling

 Price flexibility

 Price discrimination

Value pricing is also common in luxury items. Sometimes, the higher the price,
the more you sell: Fashionable clothing or restaurants for snob people. Of course
value pricing is limited by the price elasticity as you have already learnt in
Economics.

 Place:

12
The product is the most important aspect of the marketing mix. The product can be
a service. The place is where you can expect to find your customer and
consequently, where the sale is realized. Knowing this place, you have to look for
a distribution channel in order to reach your customer.

The place is not where is located your business but where our customers are. For a
retailer it is the same but for a boat producer located in Philippines the real place is
the entire world. Do not confuse positioning and place. Here place means the real
physical position of the customer in a geographic area or along a distribution
channel.

Distribution is about getting the products to the customer. Some examples of

distribution decisions include:

 Distribution channels

 Market coverage (inclusive, selective, or exclusive

distribution)

 Specific channel members

 Inventory management

 Warehousing

 Distribution centers

 Order processing

 Transportation

 Reverse logistics

It exists today, with the internet, more channels than in the past but basically, you
have to consider three main distribution channels:

 Selling to the customers:

13
Whether you sell by yourself (as retailer) whether you employ a sales force, you
are in these cases in front of the final customer. There are not intermediaries
between you and him. Unfortunately, except for the retailer business, this situation
is far to be the general case.

 Selling to the retailers:

For example, you manufacture the fun boards and you sell them to the Arizona
retailers. This practice could be a bit complicated.

 Selling to the wholesalers:

There are maybe four or five sport articles wholesalers in Arizona. You sell your
fun boards to these big men. On turn the wholesalers sell the fun boards to the
retailers which finally sell to their customers

As you can see, the choice of your distribution channel heavily depends on
your product and place in the productive process. If you are in coal mining, do
not expect to sell some coal buckets to the final consumer.

 Promotion:

The product is the most important aspect of the marketing mix. The product can be
a service in the context of the marketing mix; promotion represents the various
aspects of marketing communication, that is, the communication of information
about the product with the goal of generating a positive customer response.
Marketing communication decisions include:

 Promotional strategy (push, pull, etc.)

 Advertising

 Personal selling & sales force

 Sales promotions

14
  Public relations & publicity

 Marketing communications budget

Advertising, public relations and so on are included in promotion and

consequently in the 4Ps. Sometimes, packaging becomes a fifth P. As promotion is
closely linked to the sales, I will mention here the most common features about the
sale strategy.

Definition:

The function of promotion is to affect the customer behavior in order to close

a sale. Of course, it must be consistent with the buying process described in the
consumer analysis. Promotion includes mainly three topics: advertisement, public
relations, and sales promotions.

Advertisement:

It takes many forms: TV, radio, internet, newspapers, yellow pages, and so on. You
have to take notice about three important notions:

Reach is the percentage of the target market which is affected by your

advertisement. For example, if you advertise on radio you must know how many
people belonging to your segment can be affected.

Frequency is the number of time a person is exposed to your message. It is said

that a person must be exposed seven times to the message before to be aware of it.
Reach frequency gives the gross rating point. You have to evaluate it before any
advertisement campaign.

Message: Sometimes, it is called a creative. Anyway, the message must: get

attraction, capture interest, create desire and finally require action that is to say
close the sale.

Public relations: Public relations are more subtle and rely mainly on your own
personality. For example, you can deliver public speeches on subjects such as

15
economics, geo-economics, futurology to several organizations (civic groups,
political groups, fraternal organizations, professional associations) These speeches
will enable you to develop new relationships and their cost is nil.

Sales promotion: It includes fair trades, coupons, and discounts and is linked to
the sales strategy.

16
 Chapter-Three
Profile of Bengal Group

17
 3.1. History of the Organization:

1969
Started operation with a single hand operated plastic injection molding machine in
a rented premise in the old Dhaka by Morshed Alam.

1971-2000
Bengal Group has global change and within the time Bengal has developed. On
that time Bengal opens lot of brand product and service.

2001
Power Utility Bangladesh Ltd. - an energy company to contribute in the power
sector to meet the country’s fastest growing demand for electricity by installing
power plants at strategic locations in Bangladesh.

Bengal garment and fabric sector is the progressing processor of garments and
fabric product, in the country whose journey was started in the year 2001. Over the
period the company has traveled a long way and entered into the national area an
also the foreign market.

2004
Acquired ‘Rahmania Biscuits & Bread Industries Ltd.’ a biscuits making factory
located at Noakhali, Bangladesh. The plant is capable of making soft biscuits with
a capacity of 500 kg per hour. Later named as ‘Romania Food & Beverage Ltd.’

18
Bengal Agro Estate Ltd. – aim to process fruit and vegetables to meet the
country’s growing demand and to export to other countries. Recently, the company
allotted 100 acres of land in Gazipur from the Government of Bangladesh (GOB)
to grow and process different types of vegetables and fruits.

Bengal Concept & Holdings Ltd. - a development and construction company

established to develop large-scale construction projects mainly high raised
buildings, shopping malls, super markets, residential apartments and plots.
Currently it took a project named ‘Golden Bengal’ – a 20-storied mixed-type
construction on a 1.25 acres of land in the posh area of Dhaka City with a cost of
US $25 millions.

Hamilton Metal Corporation Ltd.- manufacturer of metal hooks and clips for
apparel hangers of other Group companies. The plant is installed with four
bending and forming machines with a fully automatic electroplating line. Installed
capacity to produce 500,000 pieces of metal hooks and 800,000 pieces of metal
clips per day.

3.2. Objectives and Mission Statement of the Organization:

Vision: “The vision is to survive in the world market in a competitive age”.

19
Mission: Our mission is to strive continuously to exceed customers’ expectations
for achieving unlimited excellence by providing greater value to our customers
than our competitors.

Goals: Our goal is to be the best company in our industry and it is our policy to
deliver total quality goods and services to all of our customers. We accomplish this
by adopting a set of quality policy throughout the organization.

Objectives: The main objective of the research report is to find out the marketing
practices of Bengal Group. The Bengal Group makes some loyal customer
specially Bangladesh and foreign market by providing different types of product.

3.3 Special Features of Bengal Group:

 Started the journey in 1969.

 Yearly production capacity is 9000 MT.
 75 different capacity injection molding machines are used for
production.
 7 manufacturing units throughout the country.
 Yearly turnover is around 400 crore Taka.
 70% of revenue comes from export.
 Flagship product is Hanger.
 Second product is furniture.

Bengal’s Commitment:

Bengal Group is committed to being a leader in the industry and a strong partner
with our communities. We strive to create a work environment where all people

20
are treated equally and with respect, and we are mindful of the environment and
our role in protecting it.

3.4 Brief description of the corporation:

Basic Corporate Structure:

The basic corporate structure BENGAL GROUP is as follows:

Bengal group of company has a “Board of Directors” headed by a chairman. Chief
Executive of Bengal group is called “Managing Director” who is normally
appointed by Bengal.
Managing Director is responsible for all sorts of performances of Bengal Group in
Bangladesh. He is liable to “The Board of Directors” of Bengal Group of
Bangladesh. This Board of Directors has executive members and non-executive
members. Executive members are Managing Director, Deputy Managing Director.
Non-executives members are non-executive representatives from Bengal group,
Investment Corporation of Bangladesh (ICB), Ministry of Finance and Ministry of
Religious Affairs.

Figure no-2.1: The Board of Directors of Bengal Group

Chairman

Managing Deputy Non-Exec. Non-Exec. Rep. of Non-Exec.

Director Managing Rep. ICB Rep. Bengal Rep. of
Director MORA Bengal
Rep.
Bengal

21
Executive Committee of Bengal:

Executive committee is a very strong internal body in Bengal Group of

Bangladesh, which is called “Executive Committee” (EXCO). EXCO is comprised
of all the Departmental Heads. It can take any decision related to the management
of the departments any time, but, later it is to be endorsed by the “Board of
Directors”.

Figure no-2.2: The Executive Committee of BENGAL

Managing
Director

Deputy Managing
Director

Head of Head of Head Head Head of Head of Head of Head of

Brand Trade of of Plastic HRD CORA IT
Marketing Marketing Operation Finance wares
s

22
3.5 Departments of BENGAL:

Bengal Group of Bangladesh has divided its total organization into various
departments and dressed them with positions as required for smooth functioning
and achieving the target of the organization.
Bengal group of Bangladesh has different departments, they are, Production
Department, Marketing Department, Leaf Department, Finance Department,
Human Resource Department, Corporate Regulatory Affairs (CORA) Department
and IT Department.

3.6 Production Department:

Bengal Group Company produces plastic wares in its own factory at Gajipur
-Dhaka. The factory runs six days in a week in multiple shifts. The production
department is headed by the Production Director. The production department has
been running very successfully to meet the market demand.

3.7 The major divisions of Dhaka factory are:

 Primary Manufacturing Department (PMD)

 Secondary Manufacturing Department (SMD)

3.8 Primary Manufacturing Department (PMD):

The main function of PMD is to process and blend the tobacco to use for the final
product.

23
3.9 Secondary Manufacturing Department (SMD):

Secondary Manufacturing Department is divided in to different sections, these are:

 Plastic Wares Making Department (CMD)
 Plastic Wares Packing Department (CPD)

3.10 Finance Department:

Finance Department of Bengal Group of Bangladesh has to deal with a wide range
of activities. Finance Department ensures the custodianship of all company assets
by verifying their physical existence, monitors and assesses proper informational
needs pertinent to company’s interest, develops accounting procedures and ensure
the achievement of the financial growth of the company. Finance Department
finances the equipment, personnel and operational facilities. It prepares and
verifies consolidated financial statements of all centralized and decentralized cost
centers and cost units.

24
Figure no-2.3: The Finance Department of Bengal Group

Head of Finance

Process Finance Manger Senior Corporate Corporate Reporting

Brand/Trade/CORA/Supp Finance Manager Manager
ly Chain

Deputy. Corp. Deputy. Asst.

Fin.Mngr. Corporate Corporate Fin
Treasury Coordinating
Accounts & Finance Mngr Mngr.
Manager Officer
Excise Costing A/C Payable

Dy Treasury
Manger

3.11 Board of Directors:

Bengal Group's Board of Directors is composed of world-class leaders with

diverse perspectives and solid experience. The mission of the Board is to diversify
the businesses by installing new industries in order to create more jobs. The Board
is also promoting the long-term value and health of the Group.

25
Bengal group of company has a “Board of Directors” headed by a chairman. Chief
Executive of Bengal group is called “Managing Director” who is normally
appointed by Bengal.

Managing Director is responsible for all sorts of performances of Bengal Group in

Bangladesh. He is liable to “The Board of Directors” of Bengal Group of
Bangladesh. This Board of Directors has executive members and non-executive
members. Executive members are Managing Director, Deputy Managing Director.
Non-executives members are non-executive representatives from Bengal group,
Investment Corporation of Bangladesh (ICB), Ministry of Finance and Ministry of
Religious Affairs.

Chairman – Morshed Alam

Mr. Morshed Alam, age 58, is the founder Chairman of the Group. After
completion of his education he established Bengal Plastic Industries Ltd., the
largest plastic processing industry in the country. Mr. Alam also serves as a
director and the chairman of EC committee at Mercantile Bank Ltd., and the
Chairman of Desh General Insurance Company Ltd. Mr. Alam ia an experienced
and resourceful entrepreneur. He received his BS in Business in 1968. He has
traveled many countries in the world and is capable of implementing and operating
any projects.

Director- Md Jashim Uddin

Mr. Jashim Uddin, age 39, joined our Board as Director in 1980. He holds a BS in
Business. He is the President of Bangladesh Plastic Goods Manufacturers &

26
Exporters Association (BPGMEA). He is responsible for operation and marketing
division of the Group. For his remarkable contribution in the economy, the
Government of Bangladesh (GOB) has awarded him ‘Commercially Important
Person’ (CIP).

Director- Humayun Kabir (Bablu)

Mr. Humayun Kabir (Bablu), age 33, joined the Board of Directors in 1997. He is
looking after the production and information technology (IT) of the Group. He is
graduated from California State University, Los Angeles where he received a BS
in Production & Operations Management (POM) with a minor in Computer
Information System (CIS) in 1996
Director- Bilkis Nahar

Mrs. Bilkis Nahar, age 48, joined the Board of Directors in 1980. She is
resourceful and experienced. She has traveled Far East, India, Middle East, and the
USA.

Director- Firoz Alam

Mr. Firoz Alam, age 31, joined the Board in 1998. He is the Managing Director of
Bengal Ploy & Paper Sack LtdHe received his BS in Business Administration
from Los Angeles City College, Los Angeles, California, USA.

Director- Shamsul Alam

Mr. Shamsul Alam, age 29, joined the Board in 1995. He is the Managing Director
of Bengal Adhesive & Chemical Products Ltd. He received BBA from Dhaka
University.

27
Director- Saiful Alam

Mr. Saiful Alam, age 27, joined the Board in 2003 after completion of his
education. He overseas the construction projects of the Group. He has successfully
completed three large size constructions of the Group including Bengal Plastic-
expansion project, Bengal Poly & Paper Sack in Tongi, and Bengal Build-up
constructions in DEPZ, Savar, Bangladesh. He holds a BA in Business from
Dhaka University.
Bengal’s Business Overview:

We are the largest plastic processing company in Bangladesh consuming more

than 350 metric tons of resigns each day. We are active in plastics, adhesives,
metal, paper, real estate, agro, food, and energy industry. The Group is recognized
as one of the leading and fastest growing industries in Bangladesh.

3.12 Department of Bengal Group:

Bengal Poly & Paper Sack Ltd.

Bengal Poly & Paper Bags Limited (BPPSL) is the leading manufacturer of woven
bags in Bangladesh producing world class PP & PE woven bags. It’s a company of
Bengal Group of Industries, an ISO 9001:2000 & ISO 14001 organization. Bengal
Group is the largest plastic processing company in Bangladesh, which comprises
of different industrial units operating in diversified plastics processing.

Woven PP or PE sacks are a very much efficient, cost effective and timesaving
way of shipping divided large quantities of dry commodities. Woven poly bags are
enjoying an increasing acceptance and popularity in the packing and material

28
handling industry for their wide variety of usage, flexibility, strength etc. These
bags are mostly used in packing of fertilizer, poultry feed, food grains, seeds,
flour, salt, sugar, cement, and other palletized and powdered materials.

2002 Bengal Poly & Paper Sack Ltd. - PP Woven Sacks manufacturing industry at
Tongi, Gazipur, Bangladesh with a capacity to produce 200,000 woven sacks of
different types. The company is meeting the demand of cement industries,
fertilizer industries, and poultry/fish feed industries by supplying quality woven
sacks.

Bengal Garment and Fabric Sector:

Bengal garment and fabric sector is the progressing processor of garments and
fabric product, in the country whose journey was started in the year 2001. Over the
period the company has traveled a long way and entered into the national area an
also the foreign market.

Plastic Wares Making Department:

Bengal Plastic Industries Ltd., established in 1969, a 100% export oriented plastic
industry, has worked continuously with inherited expertise and know-how in the
field. It is now the largest manufacturer and exporter of plastic injection and
extrusion molded products in Bangladesh, catering to the plastic packaging
products needs of a global clientele. Bengal Plastic is an affiliate of renowned
BENGAL GROUP OF INDUSTRIES.

Working experience of more than three decades in the field of plastic processing
has contributed to shape the company to what it is today. With our expertise, we

29
can efficiently produce and supply the smallest to the largest injection and
extrusion molded plastic products in a cost effective, timely manner.
BPIL has four large production facilities to produce plastic injection and extrusion
molded products, and all these are situated in the capital city of Dhaka, equipped
with the latest, state-of-the-art, automated machinery imported from Japan,
Germany and USA. Qualified engineers, trained and professional technicians and
skilled labor are employed for proper and efficient running of the plants and
machinery.

BPIL prides in itself for being the only plastic industry in Bangladesh accredited
with ISO9001 certification, ISO 14001 ENVIRONMENTAL MANAGEMENT
SYSTEM Certifications. Further, it is one of the most admired companies in
Bangladesh for excellent corporate governance, management practice and social
responsibilities.

In determining the quality of our products and services, there is only one important
judge – you, our customer. Now and for the future, we want to earn your highest
approval in every area of our business. Our Customer Service and Sales
Representatives are here to help you and will do everything possible to insure your
apparel hanger requirements in Bangladesh and in abroad, in a cost effective,
timely manner.

The processed plastic from the PWMD is used in the machines for making plastic
goods. In this department plastic goods are produced with the help of different
machines.

30
Corporate and Regulatory Affairs Department (CORA):

The Consumers and Regulatory Affairs (CORA) Department is headed by Head of

CORA. The responsibility of this department is to maintain good relation between
the company and the Government, public and the media. CORA department
believes in a philosophy that Company is a corporate citizen in the community, so
it has a conscious duty to the society’s well being, which is called corporate social
responsibility. In this regard this department initiates various community
development programs.

IT Department:

Information Technology is very important in to today’s world of business. In order

to keep pace with the changing IT field, Bengal has given special emphasis on it.
The IT department of Bengal is headed by the head of IT. Under him there are
technology IT manager, services IT manager, Marketing IT manager, supply IT
manager, finance and HR IT manager and IT CORA manager.

Present address & Location:

Corporate Head Office
Bengal House
75 Gulshan Avenue
Gulshan 1, Dhaka 1212
Bangladesh
Phone: +880 2 988 8248 (switch board)
Fax: +880 2 882 7507

No. of Employees:

31
Bengal Group employs more than 200 people in Bangladesh, all of whom share an
extraordinary commitment to excellence. It is one of the reputed, well-organized,
leading and largest business entities in Bangladesh having a wide range of
activities in plastics, adhesives, metal, paper, real estate, agro, food, bank,
insurance, and energy industry.

Our employees play a vital role in ensuring the success of our daily business
activities. Every employee, manager and director throughout the organization is
expected to adhere to our core values of Integrity, Teamwork, Excellence and
Accountability. These values are also the basis on which we build the trust and
integrity that will allow our businesses to continue to succeed.

Bengal Group's commitment to acting with Integrity, Excellence, Teamwork and

Accountability contributes to our being a good citizen and socially responsible in
the communities in which we reside. We strive to enhance the well being of our
communities by respecting the diversity of people and cultures.

3.13 SWOT Analysis:

SWOT analysis means the analysis of strength, weaknesses, threats &

opportunities of the company. Strength and weakness is internal subject.
Opportunity and Threat is subject to external environment. It happens frequently
within the organization to assess own status through SWOT analysis. With this
analysis, Bengal Group tries to find their strength and weaknesses, as well as they
formulate strategies by analyzing the opportunities & threats that exist in the
society.

32
This analysis will give a picture of the competitiveness of this company in
comparison to that of its competition.

Strength of the Bengal Group.

1. A new innovative product.
2. Location of the business
3. Uses of modern technology.
4. A proven tract record in defect-free manufacturer.
5. Expertise in providing consistently good customer service.
6. Proprietary technology and registered trade mark.
7. Highly experiences and efficient employees.
8. Long term collective learning and managerial know-how.
9. Reputation of the company.
10. Available capital
11. Huge market demand
12. Modern machineries for production.

Weakness of the Bengal Group.

Bengal Group has weakness in the following competitive field. These weaknesses
are reducing the competitiveness in the battle with the competitors:

1. Cost of raw materials is increasing day by day.

2. Countrywide distribution network is not as strong as competitors.
3. Sarong adherence to ethics resulting in inflexibilities.
4. Higher production cost.
5. Centralization of authority.

33
Opportunities of the Bengal Group.

A market vacated by an ineffective competitor.

1. Low labor cost
2. Tax free import of raw material
3. GSP facility
4. Availability of labor
5. Continuous color innovation
6. Few competitors
7. Expanding the company’s product line to meet a broader range of customer
needs.

Threats of the Bengal Group.

1. Political unrest
2. Globalization
3. Insufficient power supply
4. Port corruption
5. Increasing textile industries
6. Unavailability of bonded warehouse
7. Likely entry of the potential new competitors.
8. Growing bargaining power of suppliers.

34
 Chapter-Four
Findings and Analysis:

35
4.1 Findings and Analysis:

4.a. Product

Project & Product Profile:

Bengal Group has several product lines these are following-

Product Information
Brand: Bengal Wares
Range: Armless Chair, Arm Chair, Baby Chair, Stool & Table
Quality: Export grade
Supplementary: Material Handling Crate
Usages: Indoor & Outdoor
Color: Wide variety
Design: Aesthetic & Classic

Product Attribute:

 Less pressure on trees thus saves the environment.

 No wastage is generated thus no pollution.
 Broken materials are recyclable.
 Attractive colors match with the decoration of home.
 Weather proof – ensure rough use.
 Warranty for 3 years against breakage.

Last Word:
o It gives you value for money as it is economical

36
 o Life time is 5 years – no tension
o Light weight – enjoy the flexibility to move
o Maintenance free – save money
o Attractive color – add prestige
o Save tree – live green
o Enjoy all benefit – Buy Bengal Wares

We don’t just talk about the quality of our products, we are committed to it. Our
goal is to be the best company in our industry and it is our policy to deliver total
quality goods and services to all our customers.–

In 1978 Manufactured household utensils such as plastic Jug, plate and other
plastic domestic wares.

In 1980 Bengal Adhesive and Chemical Products – manufactures adhesives for

various industrial usages such as wooden furniture industry, shoe industry, lather
industry and others.

37
In 1981 Registered Bengal Plastic Industries Ltd. as limited company with the
Joint Stock Company, Dhaka, Bangladesh.

In 1991 Introduced Plastic Apparel Hangers in Bangladesh for 100% export

oriented garment industries for exporting to the U.S.A. and the EU.

In 1993 Approved by Coca-Cola Export Corporation, Atlanta, Georgia, USA to

manufacture Molded Bottle Crates for Coca-Cola for the territory of Bangladesh

In1994 Became the licensee manufacturer of Batts Inc., Michigan, USA, which
later acquired by A&E Products Group LP- a TYCO International Limited
Company. A&E Products Group is the largest apparel hanger manufacturer in the
world with more than 50 distribution centers in over 28 countries.

In 1999 Grew up as the largest plastic processing plant in Bangladesh with 72

Injection Molding Machines capacity from 250 tons to 1600 tons consuming more
than 250 tons of raw materials each day.

Initiated an expansion plan of US $5 million for installing the single largest

production facility at Zerabo, Savar, Dhaka - 15 km away from the Dhaka
International Airport with 20 acres of land area and 120,000 square feet of
production area along with 36 units of Injection Molding Machines, 4 film
extruder machines, a set of printing and converting machines for manufacturing

38
garment hangers, poly bags, packaging tapes, and strapping bands. The plant is
completed on April 2000.

In 2000 Acquired a Chinese plastic factory (Build-up Plastics BD Ltd.) with 12

injection molding machines in Dhaka Export Processing Zone, Bangladesh for a
price of US $2 million, later named as ‘Bengal Build-up BD Ltd.’

In 2003 Added Molded Furniture in the production fleet by manufacturing 12

different types of plastic chairs, 4 types of plastic tables, and other large molded
products.

• Bengal Corrugated Carton Industries Ltd. - a packaging unit to produce

corrugated cartons to supply to the entire Group companies with a capacity of
50,000 pieces of cartons of different sizes each day. Now, it is fulfilling all the
demand of our entire sister companies.

Bengal Plastic Industries Ltd. is expanding its molded furniture production

capacity by installing 1600 tons and 850 tons presses.

39
Romania Food & Beverage Ltd. is expanding its biscuit production capacity by
installing 1.2 ton per hour capacity oven line.

Bengal Concept & Holdings Ltd. initiated its ‘Golden Bengal’ project at Gulshan
Tejgaon Link Road near Gulshan Diplomatic Zones.

Bengal Concept & Holdings Ltd.- a development and construction company

established to develop large-scale construction projects mainly high raised
buildings, shopping malls, super markets, residential apartments and plots.
Currently it took a project named ‘Golden Bengal’ – a 20-storied mixed-type
construction on a 1.25 acres of land in the posh area of Dhaka City with a cost of
US $25 millions.

Bengal Poly & Paper Sack Ltd.:

Bengal Poly & Paper Bags Limited (BPPSL) is the leading manufacturer of woven
bags in Bangladesh producing world class PP & PE woven bags. It’s a company of
Bengal Group of Industries, an ISO 9001:2000 & ISO 14001 organization. Bengal
Group is the largest plastic processing company in Bangladesh, which comprises
of different industrial units operating in diversified plastics processing.

Woven PP or PE sacks are a very much efficient, cost effective and timesaving
way of shipping divided large quantities of dry commodities. Woven poly bags are
enjoying an increasing acceptance and popularity in the packing and material
handling industry for their wide variety of usage, flexibility, strength etc. These

40
bags are mostly used in packing of fertilizer, poultry feed, food grains, seeds,
flour, salt, sugar, cement, and other palletized and powdered materials.

Customer satisfaction is our prime target. BPPSL is committed to provide the best
and quickest service to its valued customers. Our expert technical hands are
always there to meet the customer queries and/or problems.

BPPSL has installed state-of-the-art machinery to produce the best quality sacks to
match different packing requirements. A keen attention to quality is always in
everybody's mind to ensure the best quality sacks. Throughout the manufacturing
process quality is stringently maintained, high performance and long term
durability is ensured as a consequence.

Advantages of PP Woven Sacks

Low cost

Flexibility

High strength

Anti-skid treated to prevent slipping

Can be stored under open sky for its UV

stability

Water proof for inner liners &

lamination

Bengal Garment and Fabric Sector:

41
After independence of Bangladesh in 1971, started full pledged production of Jute
& Textile Spare Parts, which were used to import from India and Europe.

Bengal garment and fabric sector is the progressing processor of garments and
fabric product, in the country whose journey was started in the year 2001. Over the
period the company has traveled a long way and entered into the national area an
also the foreign market.

In 1995 Bengal Overseas Corporation Ltd., - imports and exports various products
to/from Bangladesh. It is now successfully representing leading global industrial
brands in Bangladesh, such as Rinnai Japan, Cornelious UK, Crown Cork & Seal
USA, Videojet USA, and Linnex USA.

In 1998 became the licensee of Scheoller Wavin System, Germany- the leading
manufacturer and designer of Bottle Crates for Coca-Cola, Pepsi-Cola and other
major soft drinks with licensees and production partners in more than 50 countries
in the world.
Product Quality:

 Company will ensure consistent quality of product acceptable to customers.

42
  Company will emphasize on producing error free products for its
customers.
 Company will ensure adequate quality testing before dispatch of products
to market.

Product Attribution:

 Company will attribute its products (weight, color, gloss etc) in consistent
with market requirement.
 Insert design will be the company’s intellectual property; company will not
copy the competitors design to avoid litigation.
 Suggestion for improvement shall always be entertained.

New Product:

 Company will launch new products time to time to meet customer changing
requirements.
 Company will launch new products at its own to create jerk in the market
 Idea of new product to be screened from sales team, customers, support
service providers and focus group.

Warranty:

Three years warranty from the date of sales will be given for company’s product.

First year of warranty will be replacement warranty.

43
Remaining two years will be buy back warranty i.e., customers will have to pay
50% of the value during taking replacement of damaged goods during the stated
warranty period.

For any sort of warranty customers require to produce purchase invoice.

If it becomes hassle for customer to produce invoice during taking replacement of
damaged goods, company will follow the manufacturing date.

Company’s decision will be bind up on any dispute raising out of replacement /

warranty issue.

We are the largest plastic processing company in Bangladesh consuming more

than 350 metric tons of resigns each day. We are active in plastics, adhesives,
metal, paper, real estate, agro, food, and energy industry. The Group is recognized
as one of the leading and fastest growing industries in Bangladesh.

44
4.2 Marketing Mix:

The 4P’s: “Marketing mix is the set of marketing tools that the firm uses to pursue
its marketing objectives in the largest market”. The components are: product, price
place (distribution) and promotion. These tools constitute Bengal Group marketing
mix.

Product: Price:
(Chair, Table, Ware product (10-19,00.00 tk)
Biscuits & Food items etc.)

Consumer
Of
Bengal Group

Distribution:
(Dhaka, Ckittagong, Shylhet,
Khulna & Bagura) Promotion:
(Marketing Promotion, Add)

Bengal Group Marketing Mix

Figure-3.1: Marketing Mix-4P’s

The other 3 P’s: The organization involved in international and global business
have incorporated additional 3P’s (political, PR, packets), which are equally

45
important for competitive and responsive marketing, Bengal Group has considered
these additional P’s in their own way.

Company Orientation towards Marketplace:

There are five competing concepts under which organizations conduct marketing
activities: the production concepts, product concept, selling concept, marketing
concept, and social marketing concept. Organization may follow various existing
concepts in their marketing program. However, Bengal Group follows a mix
consisting of production, product, selling and marketing concepts.

Marketing Approaches:

1. Marketing Objectives:

a. To ensure right merchandise for the right stores in right volume.

b. To minimize inventory level.
c. To ensure required depth in sizes in stores.
d. To optimize business with higher stock turn.

46
4.3 Methodology followed in Marketing:

a. Develop customer profile according to-

(1) Customer origin

(2) Life style
(3) Needs/ wants
(4) Buying power

b. Develop store profile according to-

(1) Target customer

(2) Store location atmosphere
(3) Product range
(4) Price range

c. Classification in line with store profile considering-

(1) Type of product

(2) Design content
(3) Price impact
(4) Sourcing

47
d. Distribution as per individual store sales volume.

Product Development:

Before initiating a new product development process, following aspects need due
attention:

1. Recommendation by the marketing department

2. Fixed price
3. Production requirements
4. Warehouse inventories
5. Store information- retail information system, feedback
a. Consumption feedback
b. Supplier feedback
c. Computer information

6. Resection of fabric line

7. Product selection ad development takes reference of:

a. Market trend
b. Magazine information
c. Trend in neighbor market
d. Catalog includes upcoming design
e. Product mix including no of lines, new article, modifications etc.

48
Basic Consideration for Development:

1. Category, material sources, input of merchandiser. Evaluation through

technical know-how, developing production guide.
2. Conduct feasibility study
3. Costing: Cost effectiveness of the item in question.
4. Decision for acceptance that is made based on sale trend.
5. Considerations on constraints: overhead, establishment, and production
capacity.

Product Research & Development:

It seats in monthly meeting together with-

a. Designer
b. Plant manager
c. Plant engineer
d. Merchandise
e. Lab chemist
f. Costing and Efficiency manager
g. Managing Director.

Discussion on ideas explaining existing product, modification, profit increase and

reduction of operations of any items seems unnecessary.
Bengal Group evaluation of R & D based on monthly sales is made up.

Product Life Cycle (PLC):

49
PLC- An ideal model: “Most product life cycle curves are portrayed as bell-
shaped. This curve is typically into four stages. Those are introduction, growth,
maturity and decline. – Graph with products.

Bengal Group PLC:

Maturity stage

Growth stage

Declining stage

Life Span

Introduction Stage
No product
1. Romania Biscuits
2. Food items 1. Chair, Table, Furnisher etc.

Figure-3.2: Product Life Cycle

 Introduction Stage- As per Bengal Group standard, it develops several product

lines. Here management obtains market reactions as to the acceptability by the
ultimate consumers along with modifications suggested.

50
 Growth Stage- Bengal Group has the modern and sophisticated distribution
network. The feedback from the outlets is so raped that the management receives
sales turnover report on the next day of sales. From the sales turnover and revenue
earned, the management determines the growth of the product.

 Maturity Stage- Company understands about the maturity of the product is the
same as mentioned in the growth stage but in opposite direction, e.g. When the
revenue earned does not increase, it means it is in the mature stage. Slow mover
used by Bengal Group is the indication of the mature product.

 Decline Stage- Sales turnover, and revenue generation differences from the
maturity stage helps to determine start of the decline stage.

51
Awards, Achievement & Quality Assurance:

We have upgraded our manufacturing facilities, service quality,

and management performance. Consequence is, we have
succeeded to pass through the stringent criteria of International
Standardization Organization (ISO).

Our relentless strive for excellence is aimed to ensure highest

customers’ satisfaction.

Bengal Group accomplishes this by operating and maintaining modern and

efficient state-of-the-art production plants accredited with ISO 9001:2000. Bengal

52
Group received ‘National Export Trophy’ in 1999 and 2001 from the Prime
Minister of Bangladesh for our outstanding achievement in exports.
Bengal Plastic Industries Ltd. also received ISO 9001:2000 certification for
quality management system and ISO 14001 certification for environmental
system. Bengal Plastic is the only company in Bangladesh having both the
certifications.

4.b. Target customers:

Income: Bengal Group’s targets people are middle class whose income into 5,000-
10,000.

Age: Baby kids 1-4 years. Mainly the age of target peoples are considered 16-45
years.

Location: The location of target customers is urban and rural area.

Life style: The life style of target customer is middle class people.

Sex: Sex of target people is male and female.

4.4. Price:

Cost plus pricing method will be followed in long run but presently for higher
distribution reach penetration-pricing method may be followed.
Base price for all dealers will be equal to protect geographical cannibalization of
product and to protect the dealers appointed in different locations.

53
Volume based schemes may be offered time to time for facilitating dealers over
competitors and for quick liquidation of inventory.

The price of the company charges is somewhere between one that is too low to
produce a profit and one that is too high to produce any demand. The company
must consider competitor’s prices and other external and internal factors to find
the best price between these two extremes

Company sets prices by selecting a general pricing approach that includes one or
more of three sets of factors. These approaches are the cost based approach; the
buyer based approach and sealed bid approach.

Price List for Plastic Furniture

SL. # MODEL DESCRIPTION DEALER UNIT

PRICE (TK) PRICE MRP
(TK)

HIGH BACK CHAIR

1. BW 101 SUNFLOWER 410.00

2. BW 102 STRAIGHT RIBS 410.00
3. BW 103 INCLINED WIDE MAT 410.00

MEDIUM BACK CHAIR

4. BW 104 FLOWER WITH LEAVES 380.00

5. BW 105 CROWN 380.00
6. BW 106 STRAIGHT PLAN THIN 380.00

54
 MAT
ARMLESS HIGH BACK CHAIR

7. BW 107 TWO WAYS RIBS 330.00

8. BW 108 INCLINED PACKED MAT 330.00
9. BW 109 STRAIGHT PLAIN 330.00
MEDIUM

BABY CHAIR

10. BW 110 WINNIE THE POOH 110.00

11. BW 111 DONALD DUCK 110.00
12. BW 112 MICKEY MOUSE 110.00

VICTORIAN MEDIUM BACK CHAIR

13. BW 113 CROWN WITH LEAVES 390.00
14. BW 114 PLANTS AND LEAVES 390.00
15. BW 115 INCLINED MAT 390.00

VICTORIAN ARMLESS CHAIR

16. BW 116 WOOD CURVED 340.00

17. BW 117 LOTUS 340.00
18. BW 118 RIBBON KNOT 340.00

LOW BACK ARMLESS CHAIR

19. BW 119 WITH THREE CIRCLE 315.00

20. BW 120 WITH STRAIGHT 315.00
STREAM

CLASSIC TABLE

55
21. BW 201 SIX SEATER DELUX 1,800.00
TABLE
22. BW 202 SIX SEATER DELUX 2,250.00
TABLE (WITH FOLDING)
23. BW 203 4 SEATER VICTORIAN 1,400.00
TABLE (CENTRAL
STAND)
24. BW 204 4 SEATER VICTORIAN 1,750.00
TABLE (WITH FOLDING)
25. BW 205 4 SEATER VICTORIAN 1,400.00
TABLE (CORNER STAND)
26. BW 206 CLASSIC 4 SEATER 1,500.00
ROUND TABLE
(CENTRAL STAND)
27. BW 207 CLASSIC 4 SEATER 1,700.00
ROUND TABLE (WITH
FOLDING)
28. BW 208 CLASSIC 4 SEATER 1,500.00
ROUND TABLE (CORNER)
29. BW 209 CLASSIC SQUARE TABLE 1,600.00
(CENTRAL STRANSD)
30. BW 210 CLASSIC SQUARE TABLE 1,900.00
(WITH FOLDING)
31. BW 211 CLASSIC SQUARE TABLE 1,600.00
(CORNER)
32. BW 212 VICTORIAN SIDE TABLE 300.00

STOOL

33. BW 301 INCLINED MAT 100.00

34. BW 302 SUNSHINE 100.00
35. BW 303 PLAIN NET 100.00
36. BW 304 SHORT LEG 80.00

56
Competition based Pricing:

Consumers will base their judgments of a product value on the prices that
competitors charge for similar products. One form of competition- based pricing is
going- rate pricing, in which a firm bases its price largely in competitors prices,
with less attention paid to its own costs or to demand. The firm might charge the
same, more, or less than its major competitors.

Competition based pricing is also used when firms bid for job. Using scaled-bid
pricing, a firm bases its price on how its thanks competitors will price rather than
on its own costs or on the demand. The firm wants to win contract and wining the
contract requires fixing price less than other firms.

4.3. Distribution:

Map:
Distribution Network: Bengal Group maintains a distribution strategy
incorporating wide distribution network covering the whole market. Company
keeps opening more and more channel to cover the new area.

The network is mainly maintained by a group of experience and skill marketing

team. Distribution of goods is maintained by the warehouse dept. The distribution
network include-

57
Bengal Group Distribution Map

Figure-3.3: The Distribution Network

Bengal Group sales and service centre coverage areas are Dhaka, Chittagong,
Shylhet, Khulna and Bagura city but it objectives to send the product urban and
rural area. The Bengal Group supplies the product basically by high way.

Delivery:

Delivery of goods to the dealers only to be made from the depot under which the
dealer is attached.

Dealers will receive FOR destination delivery from the depots.

If any dealer doesn’t order adequate quantity he might be late to receive material
in order to minimize transportation cost. In circumstance, Sales officers should
plan accordingly to collect orders.

Appointment of Dealers:

58
  Dealer to be appointed at every visible point.
 A security deposit from dealers to be taken (minimum Tk. 10,000 &
maximum Tk. 50,000)
 Against security deposit no interest will be given.
 A dealer will allow a credit of 2 times of his security deposit.
 For getting credit a dealer must have to sign an agreement and provide 3
(three) numbers undated cheque (UDC) to the company. Amount of UDC
will be the balance of credit limit and security deposit.
 Before appointment concern sales officer must have to submit a dealer
interview / visit repot in a prescribed format along with an appointment
form.
 Dealer interview form to be signed by Sales Officer, Area Sales Manager
(ASM) & Regional Sales Manager (RSM).
 Dealer appointment form to be initiated by RSM and duly signed by GM
(S&M) and approved by Director.
 During appointment Dhaka & periphery dealers must have to meet
Director(s).
 Any big party (security deposit Tk.50,000/=) appointed outside Dhaka must
have to meet Director(s).

Documentation for Dealer Appointment:

 Up – to – date trade license of the dealer.

 Bank solvency certificate.
 3 (three) number of UDC from the same account for which solvency
certificate is provided.

59
  Signed agreement with dealers seal, signature on agreement must have to
match with signature on UDC.
 2 (two) copy Attested photograph of dealer.
 DD / Pay order as security deposit.

Payment:
 Dealers will be paying by DD / Cheque / PO.
 Company officials are not allowed to receive any cash from the market.
 Cheques will be treated as payment only after encashment.
 All payments to be raised in favor of any scheduled bank located at Dhaka.
 Company will bear the cost of DD / Pay Order.

Credit Clearance:
 Every order should obtain clearance from accounts before dispatch for
conformity of credit limit.
 Depot in-charges are not allowed to dispatch any goods except clearance
from accounts department.
 Accounts department will maintain up-to-date customer accounts.
4.5. Environmental Issues:

60
Bengal Group is committed to environmental excellence, instilling high
environmental values in all employees and maintaining good corporate citizenship
in the communities in which we operate. Bengal Group’s all units are responsible
for complying with environmental laws and regulations applicable to their
facilities and operating in a manner that conserves natural resources and protects
the environment.

4.6 The Environmental Forces Analysis:

Bengal Group is business organization involves in producing various types of

product. It uses the inputs as yarn, dies, manpower, technology and other
resources. Through the working procedures it convents the inputs in to output as
the products. Its consumers are people of Bangladesh and foreigners. Like any
other organization Bengal Group is greatly having a number of external
environmental factors. Bengal Group has a number of stakeholders starting from
its directors, management staffs, local suppliers, buyers, service providers and
local governmental bodies. Before carrying out an analysis the environments of
Bengal Group, it is essential to discuss about business environment itself.

Business Environment:
Factors, forces, circumstances in and around an actor, which have varying degrees
of influences on the success or failure of this actor. The word ‘environment’ does
not only concern to the natural or ecological environment; it, as a genetic concept,
includes the totality of external environmental forces. A business is influenced by
a number of internal and external environmental factors like a ‘fish’ lives in a
pond. Again, these internal and external environments may b e two types: micro
and macro depending upon the strength of influencing power.

L E P E S T C:

61
Business environment may be categorized either in totality or in its specific
elements. The major environmental elements are: Legal, Ecological, Political,
Economic, Social, Technical and competitive; which in totality is termed as the
acronym of L E P E S T C. The figure shows the categorization of the business
environment and indicates the influences on the organization and interaction
within themselves.

Legal Ecological

Competitive Organization Political

(Bengal Group)

Technological Economic
( )

Social

Figure-3.4: Business environment.

LEPESTC Analysis for Bengal Group

Legal & Political:

Bengal Group, like other organizations, operates its activities on some legal
framework recommended by the political government of Bangladesh. China
claims that Taiwan is a part of their main land; whereas Taiwan claims them as a

62
fee and sovereign country. Bangladesh has not recognized Taiwan as a free and
independent country; hence both the countries do not have any embassy in any
country. From the very beginning Bengal Group is facing problem in getting visa
and work permits for the directors and the foreign workers. In the International
airport the Taiwanese people experienced lot of harassment by the immigration
policy. However, Bangladesh government is in favor of foreign investment; and
hence the Board of Invest (BOI) helped in registration and induction of foreign
workers in the factory. Bangladesh Government is proving 12% GSP facilities to
the foreign buyers so that they can buy fabric from Bengal Group and spend their
money in Bangladesh. The government has also issued a 5 years i8ndemnity bond
to this organization so that is can bring its machineries and raw materials from out
side sources without giving taxes for 5 years. The government has promised to
give some cash incentives to the local buyers producing garments under back-to-
back LC. As Bengal Group is labor-based factory, its productivity is greatly
influenced by the local condition of law and enforces activities. The recent
political volatility has been a reasonable impact on the productivity of the factory.

Economic:
As society changes rapidly, socioeconomic data also changes rapidly, particularly
in the developing countries. In this research, the questions are selected in such a
way that the following socioeconomic data are gathered from the customer of
plastic furniture.
(a) Education level
(b) Employment status
(c) Income level

The Bengal Group highly concerns with production and sales so as to make yearly
turnover is around 400 crore Taka, contributed by both parties equally.. And all the

63
raw materials including yarn and chemicals are being imported from different
countries. About 200 Bangladeshi workers are working in production plants,
marketing and commercial and administration section. Hence the economic status
of both the countries including inflation rate, annual growth rate, exchange rate,
balance or payment, wages structure, money circulation etc influence the
economic condition of this organization. The local system of VAT, Taxes and
customers play a vital role in profit margin. Bengal Group’s is to operate its
activities in two different countries following different economic systems. Hence
its production and trade business in different countries are affected by the nature of
economic system, economic reformations and range of economic goals.
Nevertheless, with all the economic constraints, the organization could make
profit.

he Ecological Environment: Environmental pollution has an impact on a number

of areas, which affect the business activities directly and indirectly. Fr the global
economy to become ecologically sustainable, it is essential to organize business
and industry along ecologically sound principles. Since it is often difficult to
confine ecological problems within individual countries it is becoming apparent
that ‘world solution’ need to be sought. At the present situation it has become
importance of agreeing trade-off between economic development and
environmental protection. Bengal Group is producing fleece fabric, which are used
for making garment of ladies and children. The foreign buyers are very much
concern about the quality of International Standard, especially of children
garments. Hence the factory is to fulfill the requirement of the foreigners by
ensuring toxic free chemical used in production process. It has also to ensure that
the whole production process does not pollute water and air. This factory has a
full-fledged effluent plant so as to ensure pollution free environment. The
organization has been issued with ISO 9001 and ISO 14001 certificates.

64
Social & Culture: Like any other organization Bengal Group is very much
affected by social & cultural environments. Bengal Group’s main business is with
the people of two different societies having 200 local people working in different
capacities. Sometimes cultural confrontation takes places between the workers of
Bangladesh and foreigners. In hence the management, sometimes, feels
embracement when the foreign Supervisor fires a local worker. Again, the foreign
in charge do not like local workers praying in side the factory at workers.

.f. Competitors: Like other modern production plant, Bengal Group has its
competitors in four dimensional as per Michael Porter theory of competitors. In
the global market, Bengal Group plastic product has a number of competitors they
are following:

i. VIP
ii. Tanin
iii. Croma
iv. Others

4.7. Promotion:

The organization follow both trade and consumer promotion in different times
based on the requirement of the business environment.
The organization will determine the promotion programs and expenses involved
with the promotion judiciously.
Organization will ensure adequate campaign for each and every promotion
program.

65
Corporate Image: The following factors help to build the corporate image.
1. Use of safe chemical
2. Standard pricing
3. Continuous Improvement in promotional sectors.
4. Effluent treatment plant
5. Buyer’s confidence on the fabric

Product Image: Bengal Group makes promotion of its product in the following
ways.

1. Wide distribution network, easily obtainable.

2. Product support: defective merchandise is changed within one or twp week.

Promotion Approaches:

1. Team work
2. Sales planning considering-
a. Past history sales distribution
b. People’s habit and behavior
c. Company production target
d. Inventory: company follows FIFO method
e. Seasonal promotion: company gives seasonal promotion through
pick season and off pick season. In off pick season it reduces its
price for increasing sales.

Promotion Mix:

66
1. Personal Selling- Selling is productive function, benefiting both buyers and
sellers. At Bengal Group’s, personal selling is characterized by:
a. alternative means of selling
b. creative selling
c. Training of sales people about schedule and monitoring
d. Knowledge on stock
e. Experience
f. Ambition: belongingness of salespeople to the company
g. Attitude of sales people
h. Personal selling skill

Comparative Promotion Tools

Of Bengal Group

Advertising
Sales promotion
Direct Sales

Public Relations

Figure-3.5: Promotion Mix

2. Direct Sale- This is institutional sale. Major country people and foreigner
come under this portion.

67
 3. Advertisements- It is a non personal presentation. The company should
follow print advertising through publishing magazines, company’s
prospectus etc.

Organization will support the market and sales team by expending on

advertisement rationally based on the industry expenses
For advertisement organization will initiate both below the line and above
the line activities

As a part of advertisement company will provide adequate point of sales

materials (like shop sign, leaflet, catalogues, flyers, banners etc.)
As printing and electronic media is very expensive, company will go with
these Medias judiciously but company will take care that there is no
withdrawal affect on such advertisement schedule.

4. Sales Promotion- The major considerations are:

a. major products
b. month in promotion
c. customer incentives
d. slow mover’s sales promotion

Demand:
In marketing there are the following types of demand.

Negative demand, No demand, In Latent demand, Declining demand, Irregular

demand, Full demand, Overfull demand & Unwholesome demand

Bengal Group is facing overfull demand during the pick season and full demand
during the normal season.

68
Bengal Group Marketing Process at Glance:

1. Product item Selection: It is the first stage of marketing for Bengal Group,
here the consumers decide what type of product they need and what are
available in the shop. They give their opinion about specific type of
product.

2. Price Negotiation: Here the customer negotiates the price with the
marketing people and set the reasonable price.

3. Quantity Breakdown: Marketing people take the quantity break down

from customer. For example which item and how much quantity is clearly
mentioned.

4. Prepared Sample: Company should send to its valuable customers as a

sample.

5. Proceed for production: When customer give approval about the sample
then factory goes for whole demand production.

6. Prepare Document: After production they delivered to client and submit

the entire necessary document to the bank for money receive.

Client List:

The Bengal Group has a wide number of clients both home and abroad, dealt by its
experienced marketing team.

69
 Chapter-Five
Recommendation and Conclusion

70
5.1. Recommendation

1. Increasing Market Share: Presently Bengal Group should increase

market place and distribution area of national boundary as well as
foreign market. As it cannot fulfill the total demand of market in its
present infrastructure in can increase its infrastructure and machineries
to; produce more. Only more production can increase its market Place.

It can increase its production with present infrastructure if management can

motivate employees. If employees are motivated and know the company
objectives they will be devoted themselves to attain the objectives and production
will automatically; increase.
The major employee motivation tools that Bengal Group can follow are-

● Increasing the salary of the employees

● Give extra allowances

71
 ● Give target to the workers and keep rewarding system for best
worker.
● Transport may be provided to boost up employee.
● 100% Eid bonus facilities may be implemented with extra incentives
on profit.
● Give the job security of the employee.

Increasing Employee Skill Regarding their Job: There is no doubt that Bengal
Group has skill and experience team for operation of marketing. They are working
on the basis of experience but job knowledge. They should knowledge with their
respective section. For this-

● In house training may be arranged periodically.

● Marks may be added regarding machinery knowledge during
marketing promotion.
● The management may take certain training so that employee takes
initiative to learn.

Welfare oriented program: In addition to present PR activities, the company can

do more in this field; it can distribute ware product among the poor people during
winter season, it should donate for Green & clean city. It can contribute for the
slum people and also it can tale some action against environment pollution by
observing tree plantation program. These activities will help to remain in the
minds of people and will attract customer.

Increasing promotional add. budget: There is a saying that, “publicity brings

expansion”. Without publicity no company can remain long time. Bengal Group is
lacking from this side, it should increase its ad budget. As it is 100% export

72
oriented and deals with country and foreign customers, it can give advertisement
to the international business journal. It can arrange concert as a sponsor to inform
more people about product. International TV channel etc and also can arrange
conference or workshop to discuss about the product and it’s improve. Regarding
post MFA situation. These activities surely increase the sales turnover of the
company.

5.2 Conclusion:

Bengal Group is leading marketing company plastic, Food and beverage, holdings,
manufactured marketer in Bangladesh. The major issues covered in this
dissertation are organization, management, production and marketing system of
Bengal Group. Though it has a lot of limitation and barriers but it should be
organized well marketing promotional campaign.

Company believes in quality of product and quality in service that is rendered to

its valued customer. Quality and perfection doesn’t come in a day. For proving
quality experiences over years are required, which we are posing.

Company follows a proactive marketing strategy, i.e., they recognize the customer
need, transform the need to product quality and deliver them the product with
distinctive service.

73
A chairman who has a board of directors under him heads Bengal Group. One of
the directors is appointed as Managing director who actually look after the
organization. Under the MD a number of managers are working, who are heading
various departments. Managers have under them a number of supervisors and
staff.

References:

 Philip Kotler, Kevin Lane Keller, Kevin Keller; 2008; A FRAMEWORK FOR
MARKETING MANAGEMENT; International Edition; Prentice Hall
 Philip Kotler; Gary Armstrong; 2007; Principle of Marketing; 12th Edition;
Prentice-Hall, India
 Website: www. Bengal Group -bd.com
 Classmates of Stamford University
 Marketing Management- ( Philip Kotler).
 Marketing Resea- (Malhotra)

74
Appendix:

Table

1. Figure-2.1: The Board of Directors of Bengal Group

2. Figure-2.2: The executive committee of Bengal Group
3. Figure-2.3: The finance Department of Bengal Group
4. Figure-3.1: Marketing mix
5. Figure-3.2: Product lifecycle
6. Figure-3.3: The distribution network of Bengal Group Ware Product
7. Figure-3.4: Business environment
8. Figure-3.5: Promotion mix

75
76