Part 1: Marketing Environment Audit

MACRO ENVIRONMENT
DEMOGRAPHICS:
This is defined as the common characteristics of the population such as its size, distribution and growth. As the people are the ones that constitute the market, the demographics play an important role in the macro environment of the company. Since, the population of Pakistan is increasing at a rapid rate, it comprises mainly of younger generation. The bread is mostly consumed by the young generation, the school going children. Realizing this fact, dominos exploits the situation in its favor by attracting the younger population. As far as the distribution of the population is concerned, Bake Parlor apparently caters to mostly to the upper and the middle classes of the society.

Since its a food product, increasing trends in populations have resulted in more sales of Bake Parlor bread and other items. Other common variables in the Demographics also have their impact on this product, such as income and age. Since incomes in general, have risen in the last decade, the company has experienced an increase in the demand of their product. Since Bake Parlor is a product that is completely mass marketed, upwards or downwards changes in the age demographics could only have a positive result in their demand.

ECONOMIC ENVIRONMENT:
Like all the other products and services, the economic changes in the environment have a considerable effect on Bake Parlor as well. The most important among all economic factors is Inflation. Researches have shown that inflation has gone into double figures in the recent years and prices are rising persistently. This has adversely affected Bake Parlor as the cost of production, mainly labour, input, material and overhead costs, have risen sharply. As a result of all this, being a small company, they were unable to match this rise in costs, resulting in reducing their output. Also, changes in the fiscal policies have exerted further pressure on the company in the

form of increased tax costs. Once again, consistently maintaining their sales pricen a period of several years has resulted in a fall in profits.

NATURAL ENVIRONMENT:
Energy crisis in recent years have adversely affected operations in all industries. Power crisis and rising fuel costs in the global market have further worsened the conditions for Bake Parlor. Due to long power outages production process slows down and with fuel prices sky-high transportation costs have increased massively in the last few years. The local-market potatoprices have also recently experienced a rise, adversely affecting their cost of production.

POLITICAL ENVIRONMENT:
These comprise of the general political conditions, monetary and fiscal policies, government legislation and relationship with the industries. It is common knowledge that the political climate of Pakistan keeps on changing drastically, therefore creating a deep impact on the operations and profits of the company. The most obvious influence is the law and order situation and the political instability, This especially applies to Karachi where terrorism and unanticipated political events and strikes are the norm of the day. Despite this fact, the management at Bake Parlor believes that political changes do not have a significant impact on their business, as people feel hungry and they need to eat. However, no one can deny the fact that deteriorating political condition cut downs the business profits and leads to a temporary slump.

In a country like Pakistan, a companys operations are highly affected by the changes in political environment such as Government instability, strikes and extortions A recent example for Bake Parlor could be the last week of December 2007, where the death of a senior political leader lead to a much greater chaos and strikes all over the country. It is also evident that some political parties favour the growth of industries in particular regions/cities, which can result in both favourable/adverse outcomes for the company.

CULTURAL ENVIRONMENT:
In our local culture, it is essential for all food to be Halal and free from Alcohol. Other than that, the culture of having bread in breakfast is a somewhat unique characteristic that is found commonly in the Indo-Pak region. In this area, the company was fortunate enough to

enter the market with such a great vision and had the first movers advantage since it was the first company to manufacture bread in Pakistan.

Part-11 Marketing Strategy Audit:

Vision "To attain sustainable competitive advantage at a global front by associating 'Bake Parlor' with nutritious, scrumptious and diversified food product range." Mission Bake Parlor offers 'more for less' by providing a diversified product range with premium quality and extra quantity at an affordable price. We consistently monitor our ingredient mix by analyzing our consumers eating habits so as to provide food that is easy to cook and fun to eat. We acknowledge the global food commodity needs and consider it our responsibility to make the most out of limited resources through optimization. We decipher opportunities and make the most out of them. Our operational efforts are subject to continuous improvement and our success trickles down to our customers, employees, business partners, community and environment that is how we aim to sustain it.

Marketing OBJECTIVE:
The term objectives may be defined as simply a desired outcome. Marketing objectives are derived from the overall corporate objectives of the organization. Like all objectives, they are a statement of what is to be achieved and these particular objectives relate to products and markets.

Bake Parlors Marketing objectives are: To able to capture the essence of success as a Global company.

To be the first choice of every customer

To focus on unique selling proposition

To provide convenience
A Company may have either and/or both short and long-term objectives. Members of Bake Parlor believe in teamwork and they work in harmony with each other. They frequently get together on meetings to discuss and establish marketing objectives. However, there is no fixed set of objectives. These may vary from time to time and from segment to segment. The long-term objective of Bake Parlor is to increase their level of sales and to have complete market coverage .

Core Values and Goals:

Integrity: Passion: They are always true to promises and committed to deliver. To establish Bakeparlor as an internationally recognized brand by delivering superior value and ensuring customer satisfaction. Are an integrated whole, with harmony and cooperation as the basic business foundations.

Cohesion:

Innovation: Explore the farthest boundaries of the nutritious diet plan.

Marketing Strategies
Strategies are basically broad plans of action by which an organization intends to reach its objectives. In order to enter into a market, an organization may either use a differentiation on strategy, market aggregation strategy or a multiple segment strategy. As far as dawn is concerned, we can say that it employs sandwich strategy. That is, it as target markets. Bake Parlor believes that their system provides better delivery service, is a powerful marketing tool and is a significant competitive advantage. It also operates a programme to improve customer service through regular customer surveys that measure performance indicators, such as service, quality and value. Extensive use is made of these customer surveys that score stores and reward staff by measuring key attributes of cleanliness, accuracy of delivery, product quality and speed of service.

The result of both the market surveys and experience has created the Bake Parlorproduct and service that is so popular today. The general public enjoys a combination of traditional breads, side items and new innovative products plus regular specials that ensure that Bake Parlor have something in their list to suit most tastes. Bake Parlor uses latest Marketing strategies fro the promotion of their product .e.g. scratch cards are used.

Bake parlor has developed a history of entrepreneurial excellence ever since its inception in 1926. Its management techniques, quality standard and passion for growth have propelled uthem to the top of the Pakistani food industry. Their product diversification and market development strategies have enabled them to grow tenfold within a decade. Bake Parlor practices both horizontal and vertical integration by owning all entities from flour mills to trading companies. More than 500 employees constitute our workforce nationwide in plants and corporate offices, and a thriving culture of teamwork to accomplish specific tasks and co-ordinate with other departments; this approach includes Cross-Functional Teams and Permanent Teams. Bake Parlor recognizes the significant probability of a global food crisis in the near future and being a responsible corporate citizen is developing effective strategies to protect consumers and maintain service standards, provided that the a stable economic situation persists. Their position as a major wheat producer and player in the food industry places greater responsibility on us to protect consumer interests and environmental scanning is our number one priority. To put these principles in practice theyve successfully acquired memberships to ISO 9001, Snacks Food Association (SFA) and accreditation from Food and Drug Authority (FDA) of USA and utilizing these platforms to provide quality food at the same price levels. Together they hope to emancipate a new era of food revolution adhering to our core competencies of excellent customer service and differentiated products. Constant innovation and redefining our core processes is a daily mantra and we aim at, nay we foretell of greater things to come.

Future Marketing Strategies

Bake parlor should open online ordering through the website in Pakistan.

Bake Parlor should keep on preparing new items to keep attracting their segment of market.