Knowledge Inn

PTCL Subsidiaries

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PTCL Subsidiaries

PTCL has following subsidiaries:

Ufone…Pakistan Telecommunication Mobile Limited

Ufone GSM is a Pakistani GSM cellular service provider. It is one of six GSM Mobile companies in Pakistan and is a subsidiary of Pakistan Telecommunication Company. It has a subscriber base of 20.05 million as of July 2009. It is currently owned by United Arab Emirates based Etisalat.

The company commenced its operations under the brand name of Ufone from Islamabad on January 29 2001. Ufone expanded its coverage and has added new cities and highways to its coverage network.

Operating Performance

Ufone's operational performance has been very encouraging. Despite the stiff competition in Pakistan telecom market which has led to reduction of prices to bare minimum level, due to its aggressive policies and exercising strict control over expenses the Company managed to improve its revenue and after-tax profit by 87% and 54% respectively, as compared to last year.

Industrial Analysis of PTCL

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Industrial Analysis of PTCL

PTCL is the exclusive provider of basic telephony in

Pakistan

with over 3.2 million telephone lines in service. Besides providing fixed line, value added and other ancillary services, PTCL owns subsidiaries that provide cellular and Internet services. Since its transformation from a public sector corporation into a publicly listed corporate entity in 1996, PTCL has implemented an aggressive restructuring program, the primary aim of which is to improve profitability through increased customer focus and efficiency and to prepare the company for the highly competitive environment envisaged once PTCL's exclusivity on fixed telephony expires in December 2002.

Now PTCL has only one subsidiary:

Ufone

Company's Objectives

Being a public Limited Company whose majority shares are controlled by GoP (through Ministry of IT) PTCL is responsible to provide telecommunication services in the country on affordable price while ensuring that the telecom service become accessible throughout the country. Since exclusivity of PTCL has ended on 1^st Jan 2003, the telecom sector of

Pakistan

has entered into a new era and PTCL is slowly moving towards competition in basic telecom services. The company's objectives are as follows:

Increase services choice for all consumers of telecom services at competitive and affordable prices.
Increase private investment in the telecom sector and encourage local telecom manufacturing/services industry.
Enhance ling-run benefits to the Government's financial position by expanding the taxable revenue base.
Accelerate expansion of telecom infrastructure to extent telecom services to unserved and underserved area.
Encourage fair competition among services providers, while maintaining leadership in a telecom sector.
Maintain consistency with the Pakistan IT and Internet promotion police of low prices for BW and internet access.

Regular Activities

As stated above, PTCL is actively engaged in developing telecommunication infrastructure throughout the country. This entails undertaking of various projects with a view to enhance the communication provisioning capabilities of the company. Apart from this, physical provisioning of telephone communicates to the customers while maintaining quality of services remains the hallmark of PTCL activities. In addition, the management is also responsible to manage the activities of its subsidiary i.e. Ufone, While Ufone has become one of the leading mobile operators in a limited period of time grabbing about 25% of market share.

Privatization of PTCL

The growth of the cellular sector in Pakistan can also be attributable to good governance policies of the government of

Pakistan

and the Privatization Commission. In April 2006, Emirates Telecommunication Corporation, which is commonly known as Etisalat, has assumed management control of Pakistan Telecommunication Corporation Ltd – part of the $2.6bn deal to buy a 26% stake in PTCL. The successful privatization of PTCL, and consequently Ufone, is hailed as ushering in a new era for telecommunications in

Pakistan

Now, under the management of Etisalat, Ufone will concentrate on customer needs and benefits and is more determined than ever to be the leading cellular player in the market. Ufone has been known for providing superb propositions and quality service to its customers. With the new expected investment, Ufone can now aggressively expand its network coverage.

Emirate Telecommunication Company Etisalat

Emirates Telecommunication Corporation - Etisalat was founded in 1976 as a joint-stock company between International Aeradio Limited, a British Company, and local partners. In 1983 the ownership structure changed -

United Arab Emirates

government held a 60% share in the company and the remaining 40% were publicly traded.

In 1991 the UAE central government issued Federal Law No. 1, which gave the corporation the right to provide the telecommunications wired and wireless services in the country and between UAE and other countries. It also gave the firm the right to issue licenses for owning, importing, and manufacturing, using or operating telecommunication equipment. This practically gave Etisalat both regulatory and control powers, which completed the monopoly of the telecom giant in the UAE. In order to safeguard the country's economic development, the law made provisions for the development of the telecommunication sector in the country.

An important milestone was Etisalat's commencement of international operations in January 2001, when under the brand name of Ufone it started operating out of Islamabad.

Today Etisalat stands 140th among the Financial Times Top 500 Corporations in the world in terms of market capitalization, and is ranked by The Middle East magazine as the 6th largest company in the Middle East in terms of capitalization and revenues. The Corporation is the largest contributor outside the oil sector to development programmes of the UAE Federal Government.

Etisalat has also won accolades from across the region for its nationalization programme.

Among the acquisitions of Etisalat in 2005 was a 26% management stake in Pakistan Telecommunications (PCTL) that was put on sale by the government of

Pakistan

as part of a large privatization initiative. In order to outbid competitors (which included Singapore Telecoms and China Mobile), Etisalat offered USD $2.56 billion for the stake. According to some analysts, the telecom has overpaid, as the bid went far beyond the estimated USD $2 billion value of the package.

Mr. Obaid Saeed Bin Mes'har, Chief Executive officer, Eitsalat says that the new Management will take steps for improving quality, reorganization and extension of PTCL service to more areas, he further added that technical staff might be sent to Africa and other countries after imparting additional training to them. Mr. Obaid aimed at utilizing the expertise the skills of PTCL employees in a proper way and that no PTCL employee would be relieved.

Emirates Telecommunications Corporation (Eitsalat) was the highest bidder for the acquisition of a 26 per cent stake in Pakistan Telecommunication Corporation Limited (PTCL). This latest win reflects the determination of Etisalat to strengthen its position as the leading telecommunications company in the region.

The acquisition of 26 per cent of PTCL provides Eitsalat International access to the management of the company and a pool of experienced professionals.

PTCL Background HiStorical

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Historical Background

1947 Posts & Telegraph Dept established
1961 Pakistan Telegraph & Telephone Deptt.
1990-91 Pakistan Telecom Corporation
1995 About 5% of PTC assets transferred to PTA, FAB & NTC.
1996 PTCL Formed listed on all Stock Exchanges of Pakistan.
1998 Mobile(Ufone)& Internet(PakNet)subsidiaries established.
2000 Telecom Policy Finalized
2003 Telecom Deregulation Policy Announced
2006 Etisalat Takes Over PTCL's management

Four Bodies of PTCL

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Four Bodies of PTCL

Under the PTC Reorganization Act, 1996 the telecommunication sectors was split up into four bodies.

Pakistan Telecommunication Company Limited (PTCL)
Pakistan Telecommunication Authority (PTA)
National Telecommunication Corporation(NTC)
Frequency Allocation Board (FAB)

Pakistan Telecommunication Company Limited (PTCL)

A company established to undertake the telecommunication business formally carried by

Pakistan

, is Pakistan Telecommunication Company Limited (PTCL). Pakistan Telecommunication Corporation (PTC) was transformed into Pakistan Telecommunication Company Limited (PTCL) on January 1, 1996 under Pakistan Telecommunication Reorganization Act, 1996 according to which PTCL took over all the properties, assets, rights and obligations of PTC.

Pakistan

Telecommunication Authority (PTA)

Pakistan Telecommunication Authority is a regulatory body responsible for monitoring the telecommunication business in

Pakistan

. It frames rules and regulations for private telecom companies such as mobile phone companies, Internet service providers, paging companies and pay card phone companies. It also issues licenses to the new companies entering into this business.

National Telecommunication Corporation (NTC)

National Telecommunication Corporation (NTC) is responsible to provide the telecommunication services to the various departments of government and armed services.

Frequency Allocation Board (FAB)

Pakistan Telecommunication Company Limited is the primary provider of telecom services in

Pakistan

. The range of its services includes basic telephone, telegraph, fax, telex, E-mail, digital cross connect, Public data network, Internet, ISDN and other digital facilities. The total number of installed telephone lines (ALI) at June 30, 1998 was 35, 19,877 while the total number of actual lines in service (ALIS) was 26, 60,898. The difference between ALI and ALIS is due to pending and potential future demands.

Corporate Responsibility of PTCL

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PTCL employees donate One-Day salary for IDPs

Pakistan Telecommunication Company Limited employees have contributed their one day salary that amounts Rs. 20 million for the support of internally displaced people of Swat and other affected areas.

CEO and President of PTCL Mr. Walid Irshaid called on Prime Minister Syed Yousuf Raza Gilani at PM's House and presented him a cheque of Rs. 20 million on behalf of PTCL employees for PM's Special Fund for the Relief of Victims of Terrorism.
While thanking PTCL employees for their generous contribution and appreciating their willingness to help IDPs, Mr. Waild Irshaid said that PTCL employees have exhibited their profound sense of sharing and empathy on this occasion. This highly speaks of the strong commitment of our employees with this national cause."
"Contribution from our employees during these days specially donating one day salary for IDPs in these testing times shall be greatly helpful in mitigating IDPs miseries and will go a long way in their rehabilitation process.

Donation to SOS Villages

PTCL keeping with its healthy tradition of supporting non-governmental organisations recently donated a sum of Rs.2.5 million to the SOS Villages. As most people would be aware, SOS is an organisation that looks after the well-being and education of orphans and the destitute.

Last year, PTCL organised a special event at the SOS Village Rawalpindi, which the then Prime Minister of

Pakistan

, Mr. Shaukat Aziz, attended. He handed over a cheque of Rs.2.5 million, donated by PTCL for this noble cause, to the SOS Children's Village.

PTCL as a socially aware and responsible entity is determined to do its utmost in furthering worthy causes that contribute to the lives of individuals and help better the standards of society as a whole.

Scholarships for Persons with Disabilities

Another recent CSR initiative taken by PTCL was announced at the World Telecommunication Day held on May 17, 2008. This year the worldwide theme for the Day was "Connecting Persons with Disabilities." To raise awareness of this theme and support initiates focusing on less privileged persons, PTCL chose to become the lead sponsor of the World Telecom Day event in Islamabad contributing PKR 6.8 Million.

During his address at the event, PTCL's President/CEO, Mr. Walid Irshaid announced five academic scholarships per year for persons with disabilities so that they could pursue their career of choice by obtaining higher education at any university with

Pakistan

. PTCL would bear the full tuition costs and living expenses of those awarded these scholarships. PKR 1.5Million was announced focusing on the education of the special people

Collaboration with Universal Service Fund (USF)

The Universal Service Fund (USF) and PTCL have entered in a contract to provide basic telephony and data services to the population in the yet un-served areas of Baluchistan districts of Pishin, Killa Abdullah and Quetta. PTCL is making consistent efforts to enhance

Pakistan

's capacity to develop and produce a globally competitive telecom sector and industry.

Making a determined effort develop Pishin, a far flung area of Baluchistan is a clear manifestation of PTCL's resolve to bridge the digital divide. With the support of USF, PTCL is set to extend the benefits of its ubiquitous network coverage to the under-served communities in the un-served areas. PTCL is contributing Rs. 149 million to this endeavor in an effort to bring information and communication technology to the remotest areas. The total costs of the projects is PKR 2000 Million out of which PTCL contribution is PKR 1275 Million while USFCo contribution is PKR 725 Million.

Thus, PTCL, as a socially responsible corporate entity, has been pursuing different social causes touching on areas of culture, sports, music, environment and general welfare by supporting different initiatives. As such, PTCL's CSR activities and new ventures are warmly welcomed.

Donation to Earthquake victims in Balochistan

Earthquake struck the western telecom region Quetta leaving terrifying effects in the region. Mr. Walid Irshaid President & CEO PTCL donated Rs.10 Million for the reconstruction and rehabilitation of the area.

Sponsoring Event at LUMS

PTCL was the lead sponsor for Synergies 2008; the 1st ever Business School Competition in

Pakistan

organized by Lahore University of Management Sciences costing PKR 1 Million.

Board of Directors at PTCL

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Board of Directors

	Mr. Naguibullah Malik Chairman PTCL Board Secretary IT & Telecom Division, Ministry of Information Technology Government of Pakistan, Islamabad
	Mr. Abdulrahim Abdulla Abdulrahim Al Nooryani Chairman & Chief Executive Officer, Etisalat International Pakistan L.L.C Executive Vice President Contracts & Administration Etisalat, UAE.
	Mr. Salman Siddique Secretary (Finance), Ministry of Finance Government of Pakistan, Islamabad
	Mr. Abdulaziz Ahmed Saleh Ahmed Al Sawaleh Chief Human Resources Officer Etisalat, UAE
	Mr. Mushtaq Ahmad Bhatti Member Telecom Government of Pakistan, Islamabad
	Mr. Fadhil Mohamed Erhama Al Ansari Executive Vice President Engineering Etisalat, UAE
	Mr. Khursheed Ahmed Junejo Ambassador, Embassy of Pakistan Abu Dhabi, UAE
	Mr. Abdulaziz Hamad Omran Taryam General Manager, Northern Emirates Etisalat, UAE
	Dr. Ahmed Al Jarwan General Manager Real Estate Etisalat, UAE
	Ms. Farah Qamar Company Secretary PTCL PTCL Headquarters, Islamabad

PTCL History

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History of PTCL

From the beginnings of Posts & Telegraph Department in 1947 and establishment of Pakistan Telephone & Telegraph Department in 1962, PTCL has been a major player in telecommunication in

Pakistan

. Despite having established a network of enormous size, PTCL workings and policies have attracted regular criticism from other smaller operators and the civil society of

Pakistan

Pakistan Telecommunication Corporation (PTC) took over operations and functions from Pakistan Telephone and Telegraph Department under Pakistan Telecommunication Corporation Act 1991. This coincided with the Government's competitive policy, encouraging private sector participation and resulting in award of licenses for cellular, card-operated pay-phones, paging and, lately, data communication services.

Pursuing a progressive policy, the Government in 1991, announced its plans to privatize PTCL, and in 1994 issued six million vouchers exchangeable into 600 million shares of the would-be PTCL in two separate placements. Each had a par value of Rs. 10 per share. These vouchers were converted into PTCL shares in mid-1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance formed the basis for PTCL monopoly over basic telephony in the country. The provisions of the Ordinance were lent permanence in October 1996 through Pakistan Telecommunication (Reorganization) Act. The same year, Pakistan Telecommunication Company Limited was formed and listed on all stock exchanges of

Pakistan

PTCL launched its mobile and data services subsidiaries in 2001 by the name of Ufone and PakNet respectively. None of the brands made it to the top slots in the respective competitions. Lately, however, Ufone had increased its market share in the cellular sector. The PakNet brand has effectively dissolved over the period of time. Recent DSL services launched by PTCL reflects this by the introduction of a new brand name and operation of the service being directly supervised by PTCL.

As telecommunication monopolies head towards an imminent end, services and infrastructure providers are set to face even bigger challenges. The post-monopoly era came with

Pakistan

's Liberalization in Telecommunication in January 2003. On the Government level, a comprehensive liberalization policy for telecom sector is in the offering.

Last Year, in middle of 2005 Government of Pakistan had decided to sell at least 26 percent of this company to some private agency. There were three participants in the bet for privatization of PTCL. Etisalat, a Dubai based company was able to get the shares with a large margin in the bet.

Last year when Government was going to privatize the company there was country wide protest and strike by PTCL workers. They even disrupted Phone lines of some big Government institutions like Punjab University Lahore and many lines of public sector were also blocked. Military had to take over the management of all the Exchanges in the country. They arrested many workers and put them behind bars. The contention between Government and employees ended with a 30% increase in the salaries of workers.

There have been various changes in the company due to privatization. Such examples include the VSS (Voluntary Separation Scheme for its employees), ERP (SAP based), restructuring, B& CC (Billing and Customer Care Software) etc. Another seemingly minor change was change of brand identity (logo) that will present PTCL's new face after privatization, with greater focus on customer satisfaction and bringing about of new advancements in telecom for Pakistani consumers.

Vision Mission and Core Values of PTCL

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Vision

To be the leading Information and Communication Technology Service Provider in the region by achieving customer satisfaction and maximizing shareholders' value'.

The future is unfolding around us. In times to come, we will be the link that allows global communication. We are striving towards mobilizing the world for the future. By becoming partners in innovation, we are ready to shape a future that offers telecom services that bring us closer.

Mission

To achieve our vision by having:

An organizational environment that fosters professionalism, motivation and quality
An environment that is cost effective and quality conscious
Services that are based on the most optimum technology
"Quality" and "Time" conscious customer service
Sustained growth in earnings and profitability

Core Values

Professional Integrity
Customer Satisfaction
Teamwork
Company Loyalty

PTC - Pakistan Telecommunication Corporation

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Pakistan Telecommunication Corporation (PTC)

The government of

Pakistan

pursued the deregulation and liberalization policy in production and service industry during the decade. The major change in this regard was privatization and deregulation of many of the departments of government of

Pakistan

. The decade of 1990s brought about many changes in the economic structure of

Pakistan

. The objective was to reduce the burden of the government, minimize the bureaucratic influence and improve the efficiency of these departments.

A major breakthrough in the history of telecommunication in the country occurred with the gradual deregulation and privatization of T&T. At the first stage Pakistan Telephone & Telegraph Department (T&T) was converted into a statutory corporation Pakistan Telecommunication Corporation. On December 15, 1990 the PT&T department was transformed into Pakistan Telecommunication Corporation with a legal identity separate from the Government. This change in the statute, introduced by the Government of Pakistan enabled PTC to move from administrative to contractual relationship with its customers. It provided the opportunity for the development of telecommunication facilities to an unprecedented level and also for an increased customer satisfaction.

T&T - Pakistan Telephone & Telegraph

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Pakistan

Telephone & Telegraph (T&T)

Pakistan

Post and

Pakistan

Telephone & Telegraph (PT&T) under the presidential ordinance was the first step towards reforms in the telecommunication sector. It was made in 1962, when the Ayub Khan's government decided to split up the P&T department into two separate departments. Director General headed this department. The decision making power was concentrated with the post of DG, while the responsibilities were delegated to General Managers and Chief Engineers throughout the organization. The PT&T were in fact a civil service department under the ministerial control. The PT&T organizational structure had 20 Chief Engineers and General Managers reporting directly to the Director General. The centralized structure of PT&T caused inefficiency in operations and long delay in implementing decisions. At the time of inception of PTC the total number of employees working in PT&T was 45686 and the total network comprised of 922,000 telephone lines.

P & T.. Pakistan Post and Telegraph

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Pakistan

Post & Telegraph (P&T)

This department started its telephone service with only 12346 telephone lines and seven telegraph offices all over

Pakistan

. All the telephone system at that time was manual. This department continued its business up to 1962. At the time of independence the postal and telecommunication services were performed by a single department known as Pakistan Post & Telegraph (P&T). The Government of Pakistan adopted the Government of India Telegraph act 1885 to control and direct the activities of telecommunication.

Telecommunication History

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History of Telecommunication

From the humble beginnings of Posts & Telegraph Department in 1947 and establishment of Pakistan Telephone & Telegraph Department in 1962, to this very day here is a story of commitment and vision. The history of telecommunication in the Sub-Continent is as old as the history of our slavery. In the subcontinent, before Independence this sector was under the Indian Post & Telegraph Department and developed as a successful industry.

The role of telecommunication in

Pakistan

can be broadly divided into four phases.

Pakistan's Telecom Sector

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Telecom Sector of Pakistan

Since the inception of

Pakistan

, basic telecom services were being provided by a monopolist, previously called as Telephone and Telegraph department (T&T). The department was being run by the government and played multiple roles as regulator, policy maker, operator and service provider in the country. The T& T department was later converted into a corporation. Although the corporation was earning huge profits from the services, it was re-investing the same profits into the sector for the provision of more telecom service but the investment was not enough. Further, with the technological advancement, more and more telecom services were becoming available but there was not enough money available with the corporation to install new telecom systems for the provision of modern services. Resultantly, a digital divide prevailed in

Pakistan

keeping it behind its neighbors and other comparable countries in terms of telecom access. Cellular mobile services in Pakistan commenced in 90s when two cellular mobile telephone licenses were awarded to Paktel and Pak Com (Instaphone) for provision of cellular mobile telephony in

Pakistan

. Currently there are six cellular players in the market. There has been a tremendous growth in Cellular market. By the end of 2008 cellular mobile services were available in 7100 cities/towns and villages. LDI segment witnessed blooming health during 2008 wherein telecom consumers enjoyed cheap international dialing. Deregulation process of the telecommunication sector of AJK and NAs that was finalized in 2006-07 resulted in the award of licenses to five existing cellular operators. In 2007, PTA established ITU Asia Pacific Center of Excellence (CoE) PTA node for Policy and Regulations and conducted two training workshops for ITU members. In 2009 total teledensity in Pakistan has reached 62% which stands well above other regional economies, of which the fixed line teledensity is 4.1% & cellular 59.8%.

Difference among Stree, Anxiety, Depression

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Depression is a state of low mood and aversion to activity that can affect a person's thoughts, behaviour, feelings and physical well-being..

Anxiety is a generalized mood condition that can often occur without an identifiable triggering stimulus...

Stress is your body's way of responding to any kind of demand. It can be caused by both good and bad experiences. When people feel stressed by something going on around them, their bodies react by releasing chemicals into the blood. These chemicals give people more energy and strength, which can be a good thing if their stress is caused by physical danger. But this can also be a bad thing, if their stress is in response to something emotional and there is no outlet for this extra energy and strength. This class will discuss different causes of stress, how stress affects you, the difference between 'good' or 'positive' stress and 'bad' or 'negative' stress, and some common facts about how stress affects people today........

Sample Questioner for Nestle Research

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QUESTIONEIR

What brand of water beverages you use to drink?

(a)Nestle

(b) Aqua fina

(d) Other

Why you use above related brand?

(a)Quality and taste

(b) Price

(d) Availability

Whose marketing through advertising is strong ?

(a) Nestle

(b) Aqua fina

(d) Other

Nestle has strong brand image , due to its purity ?

(a) Strongly agree

(b) Agree

(d) Strongly disagree

Whose taste is best ?

(a) Nestle

(b) Aqua fina

(d) Other

Whose distribution network is strong ?

(a) Nestle

(b) Aqua fina

(d) Other

Whose brand is easily available ?

(a) Nestle

(b) Aqua fina

(d) Other

Which bottle quality is good ?

(a) Nestle

(b) Aqua fina

(d) Other

Ever you like to see expiry date before you drunk your favorite brand ?

(a) Yes

(b) No

What you like it to buy ?

(a) Corner shop

(b) Super store

(d) Which one is near

Ever you like to do experiment to change your brand ?

(a) Yes

(b) No

RESPONDENT PROFILE:-

Name_________________ occupation_______________

Age__________________ contact number____________

Gender________________

CONCLUSIONS

According to data analysis people do not believe that competitors of nestle are shrinking its share because:

Ø NESTLE has strong brand image on the basis of purity

Ø NESTLE always segment the exact customers, e.g all doctors prefer to use NESTLE pure life water

Ø CARE pharmacy do not believe that till now any of NESTLE competitors are successful to compete on the basis of quality

Ø Nestle has positioned among people as HEALTH provider brand

Recommendations for NESTLE:-

· KEEP THE TASTE NICE

· INCREASE ADVERTISING & SHOW YOUR COMPETITIVE EDGE

· INCREASE LOYALITY OF CUSTOMER WITH BRAND THROUGH ATTRACTIVE PACKAGES

· KEEP THE PRICE LOW,BECAUSE THE DAY WHEN PRICE WILL COMPETITOR WILL BE VERY NEAR TO YOUR PRICE YOUR SALES WILL BE BOOST UP.

· INCREASE ITS DITRIBUTION NETWORK

· TRY TO GET MORE & MORE PARTY ORDERS

· GIVE KEEN INTEREST TO CRM

· INCREASE INCENTIVES & PROMOTIONAL ACTIVITIES

· More focus on C & D Class Shops by revisiting Shop wise data.

· Training of ASM's by Regional Head as a Coach / Team Leader.

· Training courses/workshops for team

· Conduct Training Sessions of Salesmen at least once a month at Regional Level.

· Hiring of Quality Sales people is in process in Faisalabad City.

· Re-define roles & responsibilities of every Individual in order to bring ownership and sense of responsibility.

· Weekly Meeting with Distributors and Sales Team in order to review weekly target closing

Neslte Market Analysis

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Market Analysis Nestle

Major players in this industry are:

Ø AQUAFINA

Ø Kinley

Ø Sufi

Ø First

Ø Others

MARKETING MIX

PRODUCT:

Product packaging

Plastic bottles

Ø 500 ml

Ø 1500 ml

Labeling

Ø sticker containing ingredients

Ø on the other side USP of the product is specified

USP

Ø purity

Ø Taste of NESTLE water is much nice than AQAUAFINA

Pricing Policy

On going rate price

Almost the prices of all bottled water is same

500 ML 18

1500ML 35

DISTRIBUTION

NESTLE has its own distribution network

They provide products to shopkeepers & end consumer itself

PROMOTION

l ADVERTISING STRATEGY

l TV

l RADIO

l NEWSPAPER

l MAGAZINE

l BILLBOARD

l BUSINESS TO BUSINESS PROMOTION

(YELLOW PAGES)

· Giving incentives to shopkeepers

· Incentives for ASMs

· Stands,t-shirts,chiller,etc for sales promotion & BRAND loyality

DATA ANALYSIS TECHNIQUE

Questioner & data collection from references

Hypothesis:-

Ho: market share of nestle is shrinking due to its competitors

H1: market share of nestle is not shrinking due to its

competitors

sample size:-

MALES--------------- 45

FEMALES----------- 15

Nestle and Market

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        WORLD WATER BOTTLED MARKET

    Annually consumption                     189billion liter

Estimated sales                                             $ 200 billion

Consumption growth                                   7 % per year

PAKISTANI BOTTLED WATER

People using bottled water                                  7 to 8 %

Annually consumption                              1.7 billion liter water

Estimated sales                                          RS 20 billion

Consumption growth                                1.7 % per year

                            ECONOMIC SURVEY

Pakistan's biggest consumer markets include:

CITES

POPULATION

Karachi

15 million

Lahore

9 million

Rawalpindi

3.0 million

Faisalabad

2.6 million

Multan

1.6 million

Gujranwala

1.3 million

Hyderabad

1.3 million

Islamabad

1.3 million

peshawar

1.0 million

Population and growth:

population

180 million

Growth rate

4.09%

Urban population

56 million

Urban Population growth rate

2.10%

Size of middle class

82 million

Middle class growth

3%

Age structure:

agePop Age category                                                               n

Population & %age

0-14 years

64.5 million

39%

15-64 years

94.5 million

57%

65 years and over

7.0 million

4%

Target market

Target market is same as of AQAUFINA

First target was to capture people of age 14-40

Now kids & children

Point of Purchse

Point of purchasing of plastic is THAILAND

& water from PUBLIC SOURCE

COMPETITIVE ADVANTAGE

·        Its purity is its competitive advantage

·        Its promotional activities regarding after sale is attractive

Like if any bottle in pet is leaked but sealed,then it is replaced while no competitor do like this,which create more security for business customer

·        More care in filteration process as compare to AQUAFINA

MARKET GROWTH OF NESTLE

NESTLE IS LEADING THE MARKET WITH MARKET SHARE OF 52%

Nestle BCG

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BCG Matrix

Stars

The stars are the high relative market share and high market growth. Nestle beverages i.e. are somewhat the stars in their business, because with the high quality and new designs which comes every now and then makes them more popular among the customers, because customer with upper class wants the quality and nestle offers the best quality food items.

Cash Cows

The cash cows are their baby food items i.e. nestle cerelace and other baby food products. Company has to take measures to make these products as stars.

Dogs

The pharmaceutical products are nestle Dog, because it has low-share business with low growth market especially when we talk about Pakistani market. The company has to think on what it can do by improving the low share and growth market.

Question Marks

The question marks are the breakfast cereals. They have high market growth but low market share. The company has to decide about which question mark they should try to build into the stars and which one of these should be phased out.

Nestle SWOT

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SWOT ANALYSIS OF NESTLE

· STRENGTH

· LARGE MARKET SHARE

· ALREADY EXISTING IN MARKET AS COMPARE TO COMPETITORS

· IT IS KNOWN AS PURE WATER

· BEST STAFF,SPECIAL R & D dept

· Resources

· Brand Image

· Consumer Pull

· category focused sales

· WEAKNESSES

· Advertisement / Promotional Campaigns

· Weak distribution due to less VANS

· Less Number of Chillers

· High turn over of salesmen

· Low Trade Offer as compare to competitor

· Food Services accounts e.g. Restaurants, Bus stands, Railway stations

· High price

· Less party orders due to high price

· OPPORTUNITY

· Changing Lifestyle

· Faisalabad City Developing on Fast Track

· Increasing literacy rate

· Sub Standard Quality of Drinking Water

· Very low per capita consumption of NPL

· Big Shop Universe

· Threats

· High Trade offers by Aquafina & Kinley

· Rising Inflation Rate

· Low prices of competitor

· Awareness of customer is increasing

BRANDS of Nestle

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NESTLE BRANDS

Quality is an essential ingredient in all the Nestlé brands and also Nestlé brands maintain nutritional balance in a fast pace world, that is why people around the globe choose. The detail of the Nestlé brand is as follows:

v Baby foods (Nestlé Cerelac, NAN)

v Breakfast cereals (Nestlé Cereals)

v Dairy products (Milkpak, NIDO, Nespray, Nestlé Yogurts, Everyday)

v Ice-creams (Movenpick, Dreyer's)

v Chocolate confectionary (Kit Kat, Smarties, Toffo)

v Beverages (Nescafe, Milo, Nestlé juices)

v Food service (Nestlé Jumbo Bottle)

v Prepared foods (Maggi, Powered Soups)

v Bottled water ( Nestlé Pure Life, Nestlé Aquarral)

v Pet care (Pro Plan, Purine, ONE, Fancy feast, Dog Chow, Cat Chow, Felix, Alpo)

v Pharmaceuticals (Ophthalmic drugs, lens-care solutions & optical surgical Instruments)

Nestle in Today's Market

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Nestle is now the world's largest food company. It is present on all five continents, has an annual turnover of 74.7 billion Swiss francs, runs 509 factories in 83 countries and employs about 231,000 people the world over.

The Company owes its current status to the pioneering spirit inherited from its founders which continues to inspire it, to its concern with quality and to its constant search for new ways of satisfying man's nutritional needs.

Wherever possible, it sets up factories locally, employs personnel from the country concerned and relies on indigenous raw materials. Its agricultural services provide assistance to improve the quality and yield of the raw materials it uses. Much attention is devoted to professional training and to the integration of the Company in its economic and social environment.

VISION:

To provide PURE WATER to consumer

MISSION:

To add up minerals best for digestive system of human body

Short term goals

To boost the sales

Creating value for customer

Long term goals

Keep the loyalty of customer with NESTLE

HISTORICAL DEVELOPMENT

1866	Company's foundation.
1905	Merger between Nestlé & Anglo-Swiss Condensed Milk.
1929	Merger with Peter-Cailler-Kohler Chocolates Suissee S.A.
1947	Merger with Alimentana S.A. (Maggi).
1971	Merger with Ursina-Franck (Switzerland).
1985	Acquisition of Carnation (USA).
1988	Acquisition of Buitoni-Perugina (Italy).
1988	Acquisition of Rowntree (GB).
1992	Acquisition of Perrier (France).
1995	Nestlé acquires Victor Schmidt & Sohne, Austria's oldest confectionary, including the famous "Mozartkugeln".
1997	Nestlé, through the Perrier Vittel Group, expands its min activities with the outright acquisition of San Pellegrino.
1998 1998	Nestlé acquires Spillers Petfoods of the UK and strengthen in the petfood business which began in 1985 with the Carnation Friskies brand & introduced Nestlé Pure Life. Nestlé Pure Life 1.5 - liter bottle was introduced in Pakistan.
1999 2000	Divestiture of Findus brand (except in Switzerland and its parts of Nestlé's frozen food business in Europe. Divestiture of Hills Bros., MJB and Chase & Sanborn roast ground coffee brands (USA). Nesle Pure Life Jumbo Service (5 Gallon) was introduced.

Nestle History

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Henri Nestlé founded Nestlé in 1866 in Switzerland. Nestlé means 'little nest' in Swiss German. Nestlé first customer was a premature infant who could tolerate neither his mother's milk nor any other conventional substitute. Thus, Henri's ultimate goal was to help fight the problem of infant mortality due to malnutrition for which he developed a product combining various cow's milk, wheat flour and sugar and name it Farine Lactee Nestlé, which was the first product of Nestlé being marketed in Europe.

In 1974, Jules Monnerat purchased Nestlé and collectively they launched a condensed milk product of its own. In 1905, Nestlé got merged with Anglo-Swiss condensed milk.

After some time, when Nestlé got fully established and all its operation were properly functioning in Europe and was gaining fame around Europe, then Nestlé decided to set up production plants around the globe to ensure the growth of the organization and to become multinational.

The decision to set up industrial operation in new market needs a lot of research, as there are various factors that effect the growth of the organization and turns out to be a loss for the company. Such factors are as follows

v The availability of raw material

v Cost factor

v Economic climate

v Consumer purchasing power

v Consumer tastes

The decision to become multinational turned fruitful for Nestlé and today Nestlé has its own operations and products in America, England, India, Brazil, Australia, Pakistan, Hungary, France, Belgium, Italy, Spain and various other countries around the globe.

Sample Executive Summary Nestle

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This report, regarding Nestlé water. It starts with an introduction about Nestlé followed by the history of Nestlé. It gives a briefing about Nestlé.

This report also includes the market mix of the product. All the 4P's of marketing mix for the product has been discussed and explained to reveal the significance of its pricing, product, placing and promotional activities along with the strength and weaknesses of the organization. The report shows an internal architecture of the working of the Nestlé confectionary business. It gives a detail about the supporting department that has helped the business in their daily working.

Also it discusses the objectives, policies of the organization along with their competitors at national level. There are also some suggestions/recommendations for the business.

LG Research Methodology

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Research Methodology:

Research methodology is considered as the nerve of the project. Without a proper well-organized research plan, it is impossible to complete the project and reach to any conclusion. The project was based on the survey plan. The main objective of survey was to collect appropriate data, which work as a base for drawing conclusion and getting result.

Therefore, research methodology is the way to systematically solve the research problem. Research methodology not only talks of the methods but also logic behind the methods used in the context of a research study and it explains why a particular method has been used in the preference of the other methods

Research design

Research design is important primarily because of the increased complexity in the market as well as marketing approaches available to the researchers. In fact, it is the key to the evolution of successful marketing strategies and programmers. It is an important tool to study buyer's behavior, consumption pattern, brand loyalty, and focus market changes. A research design specifies the methods and procedures for conducting a particular study. According to Kerlinger, "Research Design is a plan, conceptual structure, and strategy of investigation conceived as to obtain answers to research questions and to control variance.

Type of research is Descriptive Research

The type of research adopted for study is descriptive. Descriptive studies are undertaken in many circumstances when the researches is interested to know the characteristic of certain group such as age, sex, education level, occupation or income. A descriptive study may be necessary in cases when a researcher is

interested in knowing the proportion of people in a given population who have in particular manner, making projections of a certain thing, or determining the relationship between two or more variables. The objective of such study is to answer the "who, what, when, where and how" of the subject under investigation. There is a general feeling that descriptive studies are factual and

very simple. This is not necessarily true. Descriptive study can be complex, demanding a high degree of scientific skill on part of the researcher.

Descriptive studies are well structured. An exploratory study needs to be flexible in its approach, but a descriptive study in contrast tends to be rigid and its approach cannot be changed every now and then. It is therefore necessary, the researcher give sufficient thought to framing research.

Questions and deciding the types of data to be collected and the procedure to be used in this purpose. Descriptive studies can be divided into two broad categories: Cross Sectional and Longitudinal Sectional. A cross sectional study is concerned with a sample of elements from a given population. Thus, it may deal with household, dealers, retail stores, or other entities. Data on a number of characteristics from sample elements are collected and analyzed. Cross sectional studies are of two types: Field study and Survey. Although the distinction between them is not clear- cut , there are some practical differences, which need different techniques and skills. Field studies are ex-post-factor scientific

inquiries that aim at finding the relations and interrelations among variables in a real setting. Such studies are done in live situations like communities, schools, factories, and organizations.

Another type of cross sectional study is survey result, which has been taken by me. A major strength of survey research is its wide scope. Detail information can be obtained from a sample of large population .Besides; it is economical as more information can be collected per unit of cost. In addition, it is obvious that a sample survey needs less time than a census inquiry. Descriptive research

includes survey and fact finding enquiries of different kinds of the major purpose. Descriptive research is description of the state of affairs, as it exists at present. The main characteristic of this method is that the researcher has no control over the variables; he can only report what has happened or what is happening. The methods of research utilized in descriptive research are survey

methods of all kinds including comparative and co relational methods. The reason for using such needs to be flexile in its approach, but a descriptive study

LG CUSTOMER SERVICE

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CUSTOMER SERVICE:

The best and the biggest international brands are here in India –but the irony if it all: where is the after-sales-service? So integral to a brand, so critical for its success and so taken for granted in developed markets! In India, after sales service is, for want of a better description, the pits. So what's stopping the best companies from pulling out all the stops when it comes to providing the best service? Do customers expect for too much? Or is it that in India they don't really care. Brand Equity fanned out to MNC as well as Indian consumer durable companies, stockiest and dealers, analysts and market researchers to get feel of what's really keeping after sales from being used as a cutting edge marketing tool in pushing products across categories. Customers support following the purchase of a product or service. In some cases, after-sales service can be almost as important as the initial purchase. The manufacturer, retailer, or service provider determines what is included in any warranty (or guarantee) package. This will include the duration of the warranty traditionally one year from the date of purchase, but increasingly two or more year's maintenance and/or replacement policy, items included/excluded, labor costs, and speed of response. In the case of a service provider, after-sales service might include additional training or helpdesk availability. Of equal importance is the customer's perception of the degree of willingness with which a supplier deals with a question or complaint, speed of response, and action taken.

LG also had a big problem of after sale service in India. During the project we also came to know that after sale service becomes the big issue in the region. Customers as well as dealer were facing the problem of after sales service. Because of this problem many dealer in the region were not ready to sell LG product. So it becomes the big issue. But LG has taken some solid steps towards improving customer's perception and experience of after sales service. Because it very important in competitive market to provide the best service. L G Electronics has signed a memorandum of understanding with 23 Industrial Training Institutes to strengthen its after sales service in India. The company aims to recruit 10,000 people by the end of this year as a part of its branding strategy to focus on service and move away from discounting. L G Electronics has identified eight states with high after sales service call rates to ink the deals with the ITI. Y V Verma, director HR and management system, LG Electronics said, "The Company was trying to find a solution for effective after sales service since last two years. There is a huge need of trained manpower for the after sales service to align with the company's expansion and focus on the GSM mobiles and the personal computer segments."

1. In the initial phase the company has entered into agreements with ITIs in the states like Maharashtra, Gujarat, Delhi, Punjab, Assam, and Karnataka and is in the last leg of signing with Uttar Pradesh.

2. L G Electronics, with 1200 service centers, has already recruited 300 students and plans to beef up the number to 10,000 by the year-end.

3. "The company has offered a scholarship to the selected students for the last six months of their training program,"

4. The company will invest Rs 8 crore (Rs 80 million) in employee development program this year with an aim to attain a 8 per cent attrition rate.

5. The company moved away from the discounting strategy since last year and is putting thrust on the quality and service in its brand communication to position LG as a premium consumer electronics brand.

6. At the top, the Service Division in Korea reports to the Global CMO. (as mentioned in Dermot's public interview in ET on Wednesday). This shows commitment that Service must be made into a marketing differentiator, and leveraged thus.

7. LG has the widest service network across the country; some estimates put it at a significant multiple of service-infrastructure from our nearest competitor. While the sale size may also be a nice multiple from nearest, it shows the company is ready to put our money where our mouth is.

8. The company has introduced a 211 service - once you register your complaint, we will call you back in 2 hours (hence 2), set up an appointment for the next convenient day for you (hence the first 1), and show up in the promised 1-hour slot (hence the second 1). If the next convenient day for you is the next day, that's great too. It's a disruptive action in an industry (including LG) having traditionally shied away from

its service responsibilities, and thus not leveraging any mileage from it.

9. The company is promoting 211 through ATL, probably the first time after sales service is being communicated in this fashion by any product company. You may have seen the TV commercial or heard the radio advert or seen the newspaper ad or in-shop posters, both of which revolve around prompt response.

10.The first LG-owned service centre opened in Gurgaon. (Service in India generally works through authorized service centers, in LG's case they work exclusively for LG.) A company-owned service centre tries that much harder, knows things better, and can even contribute as a revenue center.

Objective of the project

Primary objective

 The main objective of filed survey during the project was to find out the market share of the LG and also calculate the display share.

 Find out the positional dealer who can sale the LG product in large volume.

 The main objective of research was to identify potential dealer and development these dealer. So LG can make them their direct dealer.

 This will ease the dependence on the some big dealer like Maharashtra and Mahaveer electronics.

 Find out the problem faced by the dealer in sales and the distribution.

Secondary objective

 The Objective was to find out that how far the exhibitions are helpful in branding,

 While purchasing the consumer durables which parameter is most important for the consumer?

 Do the consumers prefer the financial facility for buying consumer durable?

 How frequently consumers change the consumer durable?

 To enhances the knowledge of consumer durable market.

 To increases the knowledge consumer durable product of LG.

 To enhances the knowledge about the marketing and branding

activity.

LG Supply Chain Management

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The logistics (Supply Chain Management):-

Logistics is the art and science of managing and controlling the flow of goods, energy, information, and other resources like products, services, and people, from the source of production to the marketplace. It is difficult to accomplish any marketing or manufacturing without logistical support. It involves the integration of information, transportation, inventory, warehousing, material handling, and packaging. The operating responsibility of logistics is the geographical repositioning of raw materials, work in process, and finished inventories where required at the lowest cost possible.

Logistics Management is that part of the supply chain, which plans, implements and controls the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers' requirements.

5R's of Logistic followed by LG:

1. Right Time

2. Right Place

3. Right Condition

4. Right Cost

5. Right Handling

The LG Factory is located at NOIDA & . There are three types of

Warehouse-

1. Mother Warehouse

2. Branch Warehouse

3. Spare part warehouse

The mother warehouse is that where the products from the factory are kept and from that warehouse, the products are sent to the branch warehouse. A warehouse is a commercial building for storage of goods. Warehouses are used by manufacturers, importers, exporters, wholesalers, transport businesses, customs, etc. They are usually large plain buildings in industrial areas of cities and towns. They come equipped with loading docks to load and unload trucks; or sometimes are loaded directly from railways, airports, or seaports. They also often have cranes and forklifts for moving goods, which are usually placed on ISO standard pallets loaded into pallet racks.

In warehouse 7 locations is set up for the products.

Loc 1, Loc 2, Loc 3, Loc 4 , Loc 5 ,Loc6, Loc 7

Loc 1 – selling

Loc 2 - second sale

Loc 3 - insurance claim

Loc 4 - write off material

Loc 5 – destroy the item

Loc 6 - court case material

Loc 7 - for repair

5's of warehouse, which the LG strictly follow.

1. Sweeping

2. Sorting

3. Systematic Arrangement

4. Simplification

5. Self- discipline

In warehouse, the products are pinup with 3-color paper to get the knowledge about the delivery.

1. Red Card – To stop the product going into market,

2. Green card – To allow the product for delivery in market,

3. Yellow Card – After the product labeled with green, allow this

to move in market

Distribution Time:-

• Local delivery – 4 hrs.

• Upcountry delivery - 12 hrs.

• Within 200 km. – 24 hrs.

• Beyond 200 km. – 48 hrs.

The above distribution time is the time of delivery of products from warehouse to the market place, which the logistic department follows to fulfill the demand in the market at right time. In LG, we have the following process, which is followed in logistic through ERP.

· Order Processing

· Invoicing

· Indenting

· Report

Order Processing booking for dealers /distributors

Invoicing after billing process/bill generation

Indenting requirement (Production Unit to branch unit)

Report distributed to all

In warehouse, there are two mode of dispersion of product from one place to another within.

a) Hydraulic

b) Manual

In addition, there are 35 fire extinguishers to prevent the accidental hazard within the warehouse due to fire. These fire extinguishers are valid up to year 2011. One has to follow the rule of "NO Smoking" within the warehouse

Logistics Ten Commandments – Golden Rules

1 - Warehouse 5S – to be strictly followed – FG – 2, 5 & 7 to be properly maintained.

2 - 100% Bar-coding for all inward & outward transaction.

3 - Follow standard pick – ship process religiously.

4 – No inventory mismatch, shortage or excess – monthly 100% physical stocktaking.

5 – Nil 30+ for FG – 2, 3 & 5.

6 – Nil transit damage.

7 – File insurance claim within 2 days. Settle all claim all within 30 days.

8 – No inter – branch transfer without HO clearance.

9 – PSI feeding into system by 25th of every month. Ensure 90% accuracy.

10 – Apply physical FMFO.

Problem

1- In transit material damage checking.

2- Cost target achievement.

3- Natural events tracking.

4- Fluctuation in demand-supply Equipments

1- 100% Bar code scanner.

2- ERP – Invoice Generation Process.

3- Hydraulic Trolleys for material movement.

4- Pallets for safety of material.

LG market share of consumer appliances and consumer electronic

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LG market share of consumer appliances and consumer electronic:-

LG position of CTV in various states in India

LG position of REF in various states in India

LG position of WM in various states in India

LG position of AC in various States in India

LG position of Audio & Home Theater in various in India

LG position of DVD in various in India

LG position of MWO in various states in India

This analysis is based on the ORG survey conducted by LG which represent the LG position of different consumer durables in various states in India. We selected different brand in different category as per the market share and the demand of product in market. This analysis represents the LG market position during the period of March 2008. It shows that LG has captured maximum market share almost in every category. LG and Samsung have the maximum market in consumer durable market but LG dominate the almost all the category in consumer durable. Prominent consumer electronic company, LG Electronics Inc. has said that it expects the sale of its products in India to up by 15 per cent in 2008. Moon Bum Shin, managing director of LG Electronics India has said that the company has earmarked 4.8 billion rupees for investment purpose in India this year. The said money will be used to market as well as manufacture new products. LG Electronics, informed that its sales of GSM mobile phones, color televisions, air conditioners and other household goods in the Indian market was to the tune of 95 billion rupees ($2.4 billion) in 2007. As per Shin's estimate, the sales in 2008 would be around 110 billion rupees. In order to achieve its target, Shin said LG Electronics will concentrate on catering to the high-end consumer market which will help boost sales this year. India churns out six (6) per cent of LG Electronics global revenues of $42 billion. The Indian branch of LG exports to 40 countries. Shin remarked that the company was targeting an increase of exports to $300 million in 2008 from $230 million in 2007.

LG PUNE

LG Pune is the branch office of LGEIL. It is located in J.M Road. In 2004 LGEIL opened second factory which is located in Ranjangaon. This plant manufactures all product including DVD writers and GSM mobiles. Thus it became first company to manufacture DVD writers in India. The ODP plant aims to reach a manpower base of 1500 people and an investment of Rs 300 crore till 2010. LG India will become the export hub for LG Worldwide, catering to the Middle East and African markets. The company aims to touch an export turnover of $3 billion by 2010 from India, which will contribute to 30 per cent of the Indian arm's turnover. , India, October 6, 2004 -- LGE announced 3 growth strategies aimed at the 1.1 billion people of India making the Indian market the second largest global production base following China. Under this strategy LGE has projected 2007 revenues in India will exceed US$10 billion, 10 times that of 2004.

The three strategies for the Indian market that the global electronics giant disclosed included: penetrate the south-western market of India through the new plant near Mumbai, the second largest city in India, in addition to the existing northern plant; installs a new GSM handset production line in the new plant and use it as its second-largest global GSM handset production line after the Qingdao plant in China; and expand the current 750 R&D staff in India to 1,500 by 2007, striving to develop premium products and export 30% of India-manufactured products to Asia, Middle East and Africa markets by 2007. LG Electronics' second new plant in Pune, India covers a total area of 211,200 square meters and is currently equipped with a production line to manufacture 600,000 TVs and one million refrigerators a year. The company is set to add production lines of air conditioners, washing machines, monitors, and electronic ovens, by 2005. Also, LG Electronics is poised to install a GSM handset production line in the new plant by early next year. The GSM handset line envisages a capacity of manufacturing 2 million handsets annually, and the company expands it to become a global GSM handset production base with a capacity of an annual 10 million units by 2010. In connection with its three growth strategies for the Indian market, LG Electronics will invest a total of US$150 million in establishing facilities and boosting R&D efforts in India by 2007. Specifically, it will invest US$53 million in the second plant, another US$43 million in establishing the GSM line, and US$54 million in securing R&D manpower and boosting other efforts. Through these strategies, LG Electronics aims to penetrate the global market by using China and India as its core production bases, while operating its plants in Changwon and Gumi, Korea, as its main production bases. This way, the company is pushing to penetrate the global home appliance market. The present capacity of the facility is of 1 lakh unit per year and it shall cater to the need of the domestic markets. LG plans to upscale its operations to a figure of 2.5 lakh units a year in the near future. The plant in addition to its current manufacturing facility at Greater Noida will enable the company to enhance its consumer reach and reiterate it's commitment towards providing

superior technology products to the India consumer. The key strategies being implemented include increasing the number of its regional offices from six to eight. LG has split its southern regional office into two, one comprising the states of Tamil Nadu

and Kerala and the other consisting of Andhra Pradesh and Karnataka. In addition, it has split one of its northern regional offices by making Uttar Pradesh a separate region after spinning it out from Delhi NCR. The other four regional offices take care of East, Gujarat and Madhya Pradesh, Maharashtra & Goa and Punjab, Haryana & Rajasthan respectively. In the coming year, LG is also repositioning its marketing spends, resulting in a significant increase in its mass media expenditure for better brand visibility. LG had a marketing budget of Rs 320 crore in 2007 with a 60:40 split in favor of below-the-line activities. Next year, the company plans to increase the share of mass media even as overall marketing spends would be raised by just about 10-15%.

LG India challenges

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The challenges faced by LG when entered in Indian market

1. Low brand awareness about LG in India.

2. One of the last MNCs entered in India (Samsung, Panasonic

entered in 1995 in India).

3. High import duty

4. Compitition from local market players and other MNCs in

consumer durable segment.

5. Price sensitiveness of the Indian consumer

LGEI over comes these challenges to emerge as

Innovative marketing strategy

1. Launch new technologies in consumer electronic and home

appliances.

2. LG was the first brand to enter in cricket in big way a way,

by sponsoring the 1999 world cup followed it up in 2003 as

well.

3. LG brought in four captains of the Indian cricket team to

endorse its products. LG invested more then US$ 8 million

on advertising and marketing in this sport.

4. LG has differentiated its product using technology and

health benefits. CTV has "Golden eye technology" Air

conditioner has "Health air system" and microwave ovens

have the "Health wave system".

Local and efficient manufacturing to reduce the cost

To overcome high import duties LG manufactures TV refrigerator in India at manufacturing facility at Noida and . LGEI had already commissioned contract manufacturing at Mohali Kolkata and Bhopal for CTVs. This has helped LGEI to reduce cost. LGEI implementing the "Digital manufacturing system" (DMS) as the cost cutting innovation this system is follow-up to the six sigma exercise LGEI had initiate earlier.

R&D potential

LG has the research and development facilities in Bangalore and . Both the unit carry out R&D department for the domestic as well as the parent company it also dose customize R&D for the specific countries to which it export product.

Regional channel and wide distribution network

1. LG has adopted the regional distribution channel in India.

All the distributers work directly with the company. This

has resulted in quicker rotation of the stock and better

penetration into B, C, D, class market.

2. LG also follows the stock rotation policy rather then

dumping stock on channel partners.

Product localization:-

1. Product localization is the key strategy used by the LG

2. LG came out with Hindi and regional language menus on its TVs.

3. Introduced the low-priced "Cineplus" and "Sampooma" for the rural market.

4. LG was the first brand to introduce gaming in TVs in continuations of its association with cricket LG introduce cricket game in CTVs

MAJOR KEY SUCCESS FACTORS:

1. Innovative marketing - LG was the first brand to enter cricket

in a big way, by sponsoring the 1999 World Cup and followed

it up in 2003 as well.

2. Local and efficient manufacturing to reduce cost - To overcome

high import duties, LG manufactures PC monitors and

refrigerators in India at its manufacturing facility at Noida,

Delhi.

3. Commissioned contract manufacturing at Mohali, Kolkata and

Bhopal for CTVs.

4. Product localization - Product localization is a key strategy

used by LG. It came out with Hindi and regional language

menus on its TV.

5. Regional distribution model - This has resulted in quicker

rotation of stocks and better penetration into the B, C and D

class markets.

6. Leveraging India's IT advantage - LG Electronics has awarded

a contract to develop IT solutions to LG Soft India (LGSI). The

project involves development and support for ERP, SCM, CRM

and IT-enabled services for LG.

Strategies adopted by the organization:

LG follows 10 commandments which are as follows.

1. Foster working environment-5S Environment

2. Fast execution is key to success

3. Transparent and fast communication-open communication

4. Update market -knowledge –Demographics

5. Win –Win relationship with the trade partners

6. Customer is the king

7. Even Billing –Road to ach supplier A

8. Be in touch with the market (70% Market, 30% Office).

9. Plan and Execute annual marketing Calendar-Time to market

10.Display share of 50% -to get 50% consumer share.

LG INDIA

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LG Electronics India Pvt. Ltd., a wholly owned subsidiary of LG Electronics, South Korea was established in January 1997 after clearance from the Foreign Investment Promotion Board (FIPB). LG set up a state-of-the art manufacturing facility at Greater Noida, near Delhi, in 1998, with an investment of Rs 500 Crores.

LG corporate office is located at Plot no.51, Udyog Vihar, Kasna Road, Greater Noida, India. This facility manufactured Color Televisions, Washing Machines, Air-Conditioners and Microwave Ovens.

''Company is setting up a chain of exclusive premium showrooms. LG plans to launch 60 premium Brand Shoppes by the end of the first quarter of this year. At present, LG has a total of 83 LG stores across the country, of which 45 are shops and 38 are exclusive stores. Brand shops will be placed in the premium segment and the target audience will comprise buyers interested in premium and high end products.

LG Brand Shoppe goes beyond the concept of a normal exclusive store by having a more interactive environment and additional lifestyle orientation on display so that the customer can actually experience the LG products in his or her own home settings.

LG Electronics India Ltd (LGEIL), consumer durables leader with 27% market share, is planning a brand new image. To attract inspirational and young consumers across India, company will roll out a new marketing strategy. The exercise will cost the company Rs 360 crore.

LG Electronics India is the fastest growing company in the consumer electronics, home appliances, and computer peripherals industry today. LG Electronics is continually providing, superior technology products & value for money to more than 50 lakh households in India. LGEIL is celebrating the 11th anniversary this year.

LG Soft India the innovation wing of LG Electronics in Bangalore is LG Electronics' largest R&D centre outside Korea. We at LGSI focus on niche technology areas such as mobile application development, digital video broadcast and biometrics software and support LG Electronics with our expertise. Motivated by a passion for technology, a strong work culture and loyalty to the organization, we are determined to see LG become one of the top three brands globally.

Prominent consumer electronic company, LG Electronics Inc. has said that it expects the sale of its products in India to up by 15 per cent in 2008. Moon Bum Shin, managing director of LG Electronics India has said that the company has earmarked 4.8 billion rupees for investment purpose in India this year. The said money will be used to market as well as manufacture new products.

LG Electronics, which is originally a South Korean Company with branch in India, informed that its sales of GSM mobile phones, color televisions, air conditioners and other household goods in the Indian market was to the tune of 95 billion rupees ($2.4 billion) in 2007. As per Shin's estimate, the sales in 2008 would be around 110 billion rupees. In order to achieve its target, Shin said LG Electronics will concentrate on catering to the high-end consumer market which will help boost sales this year. India churns out six (6) per cent of LG Electronics global revenues of $42 billion. The Indian branch of LG exports to 40 countries.

Code of conduct of LG

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1. Responsibility and obligations to customers :

• Respect for Customers

• Creating Value

• Providing Value

2. Fair competition

• Pursuit of Free Competition

• Compliance with Laws and Regulations

3. Fair Transaction :

• Equal Opportunity

• Fair Transaction Procedure

• Support and Aid for Business Partners

4. Basic Ethics for Employees

• Basic Ethics

• Completion of Duty

• Self Development

• Fairness in Performance

• Avoidance of conflict with company interest

5. Corporate Responsibilities to employees

• Respect for human dignity

• Fair Treatment

• Promoting Creativity

6. Responsibilities to society and country

• Rational Business Development

• Protection of stock holder interest

• Contribution to social development

• Environmental Conservation

LG Mission

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The mission of LG is to provide the customers with utmost satisfaction through leadership. The fundamental policy of development is to secure product leadership that the Customers may have the utmost satisfaction.

The Internal Culture of LG

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The Internal Culture of LG

LG practices four cultures

1. Learning Culture

2. Boundary less Environment

3. A Carrier

4. Growth

According to LG, the Learning Culture continuously helps the employee to learn more and more to develop the habit of continuous learning.

Boundary less Environment means that there is no difference between the levels of employees. There is transparency between the work and mutual understanding between all the employees.

A carrier is highly growing in LG and one who is the employee can develop their carrier largely. A new comer will feel fully comfortable in the company and for a new comer the company is very helpful in the overall growth of personality.

Growth in LG is very high for those who are in the company and for those who want to join in LG. The company is growing with fast innovation and the BLUE Ocean strategy is one of the examples of growth.

CITES	POPULATION
Karachi	15 million
Lahore	9 million
Rawalpindi	3.0 million
Faisalabad	2.6 million
Multan	1.6 million
Gujranwala	1.3 million
Hyderabad	1.3 million
Islamabad	1.3 million
peshawar	1.0 million

Urban population	56 million
Urban Population growth rate	2.10%

agePop Age category n	Population & %age
0-14 years	64.5 million 39%
15-64 years	94.5 million 57%
65 years and over	7.0 million 4%

Knowledge Inn

PTCL Subsidiaries

Ufone GSM is a Pakistani GSM cellular service provider. It is one of six GSM Mobile companies in Pakistan and is a subsidiary of Pakistan Telecommunication Company. It has a subscriber base of 20.05 million as of July 2009. It is currently owned by United Arab Emirates based Etisalat.

Operating Performance

Industrial Analysis of PTCL

PTCL Background HiStorical

Four Bodies of PTCL

Corporate Responsibility of PTCL

PTCL employees donate One-Day salary for IDPs

Donation to SOS Villages

Scholarships for Persons with Disabilities

Donation to Earthquake victims in Balochistan

Sponsoring Event at LUMS

Board of Directors at PTCL

Mr. Naguibullah Malik

Mr. Abdulrahim Abdulla Abdulrahim Al Nooryani

Mr. Salman Siddique

Mr. Abdulaziz Ahmed Saleh Ahmed Al Sawaleh

Mr. Mushtaq Ahmad Bhatti

Mr. Fadhil Mohamed Erhama Al Ansari

Mr. Khursheed Ahmed Junejo

Mr. Abdulaziz Hamad Omran Taryam

Dr. Ahmed Al Jarwan

Ms. Farah Qamar

PTCL History

Vision Mission and Core Values of PTCL

Vision

Mission

Core Values

PTC - Pakistan Telecommunication Corporation

T&T - Pakistan Telephone & Telegraph

P & T.. Pakistan Post and Telegraph

Telecommunication History

Pakistan's Telecom Sector

Difference among Stree, Anxiety, Depression

Sample Questioner for Nestle Research

Neslte Market Analysis

Nestle and Market

Nestle BCG

Nestle SWOT

BRANDS of Nestle

Nestle in Today's Market

Nestle History

Sample Executive Summary Nestle

LG Research Methodology

LG CUSTOMER SERVICE

LG Supply Chain Management

LG market share of consumer appliances and consumer electronic

LG India challenges

LG INDIA

Code of conduct of LG

LG Mission

The Internal Culture of LG