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ASSIGNMENT

ON

BUSINESS PORTFOLIO OF AKIJ GROUP BANGLADESH

COURSE ID : EIB 507

COURSE SUPERVISOR : MANSURA AKHTER

COURSE TITLE : PRINCIPLES OF MARKETING

EMBA PROGRAM

DEPARTMENT OF INTERNATIONAL BUSINESS

UNIVERSITY OF DHAKA

GROUP NAME : DREAM CATCHER

Date of Submission: December 05, 2013

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GROUP INFO

Group Name : Dream Catcher

Group Leader :Md. Shariful Islam

Group Members

NAME STUDENTID

IqbalShahriar 80129011

Mohammad Asif Hossain 80129028

Md. Shariful Islam 80129036

Saleh Rafiq Choudhury 801310016

Md. Towhiduzzaman Jewel 801310042

Md. TanvirElahi 801311059

A.K.M. AsrafulAmin 801311088

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ACKNOWLEDGEMENT

By the grace of Almighty Allah, the most benevolent merciful, we have been successfully to complete this report on “Akij group”. Then we are grateful to our adorable parents who had bring us in this world and given the opportunity to study and our course instructor Monsura Akhter who have given better direction to complete this assignment . We do not claim that this assignment is original in presentation. We have collected materials from different source. We greatly acknowledge all suggestions received to enhance further the value of this assignment. The suggestion has been incorporated whenever possible. We are trying to give our best efforts not withstanding small errors do creep into the assignment. We are ever great full to our followers for drawing our attention to such, so that they may be squashed. We are extremely grateful to our honorable teacher, Mansura Akhter, Lecturer of Marketing, Department of International Business, University of Dhaka, who constantly took keen interest in boosting our morale and inspire of his busy schedule. While every effort has been made to ensure accuracy, it cannot be claimed that the assignment is absolutely error-free. Incase of any confusion or doubt on any aspects of this assignment, we are may be contacted in any time.

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Contents

Introduction 05

Origin of the Assignment 05

Objective of the Assignment 05

General Objective 05

Specific Objective 05

Scope of the Assignment 05

Limitations 05

Company Information 0

Background

History of Akij Group

Enterprises under AKIJ Group

Products Of Akij Group

Akij Jute Mills Ltd

Akij Match Factory Ltd

Akij Food And Beverage Ltd

Akij Cement Company Ltd

Dhaka Tobacco Industries

Akij Textile Mills Ltd

Akij Particle Board Mills Ltd

Akij Printing & Packaging Ltd

Akij Institute Of Technology

Akij Computer Ltd

Business Portfolio

Product & Service Decisions

Width

Length

Depth

Consistency

Conclusion

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1.0 Introduction 1.1 Origin of the Assignment : This assignment is prepared with respect to the course of Principles of Marketing (EIB-507). We are assigned to prepare a assignment by our honorable course instructor Monsura Akhter.Our task is to make a Product analysis report on Akij Group. 1.2 Objective of the Assignment: 1.2.1 General Objective: The general objective of our assignment is to analyze the current business portfolio and product and service decisions . We have focused on all the companies and subcompanies that Akij Group posses . 1.2.2 Specific Objective:

To define the enacted environment of the Akij Group .

To explore the strategic business unit of Akij Group .

To explore the growth share matrix of different product .

To explore the marketing share of different product .

To explore the product line and mix decisions of different product .

1.3 Scope of the Assignment: This assignment is created on product details of Akij Group . This report will help people understand business portfolio and product & service decisions . 1.4 Limitations :

The company had followed some privacy policy . For that reason it is sometime defficult for us to calculate the growth share and market share.

Because of some unfortuanate reasons , not all the employees were helpful in giving information nor were thye very much acquainted with the concept of preparing a an assignment like this.

Because of this we have to look out in online information but sorry to say that is not that informative .

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2.0 Company Information: 2.1 Background: Akij Corporation Limited is the most organized distribution company in the country. Akij Group is country’s one of the leading business conglomerates. Initially Akij Corporation Limited was known as Amin Enterprise and started its operation in 1992. In June 1997 Amin Enterprise was renamed as Aminuddin Enterprise Limited and in 2001. Aminuddin Enterprise Limited was again renamed as Akij Corporation Limited. Akij Corporation Limited is responsible for the marketing and distribution of three industries of Akij Group namely Dhaka Tobacco Industries, Akij Match Factory Limited and Akij Zarda (chewing tobacco) Factory. 2.2 History of Akij Group: History of Akij Group stretches back to later part of the forties. In its infancy, the Groupstarted in humble way with jute trading which was known as the golden fiber of the country, earning highest amount of foreign exchange. Akij Group's ceaseless efforts with dynamic management and support from their numerous clients have led their Group in diversifying its business activities. In the second phase, the Group went into manufacturing handmade cigarettes popularly known as biri’s.This sector gave a real boost to the revenue earning of the Group as well as making a substantial contribution to government exchequer. With the passage of time, the Group undertook new ventures and presently there are 15 units of industries under its umbrella like cigarettes, handmade cigarettes, printing & packaging, textiles, hand board, pharmaceutical, leather processing and real-estate business are in operation, catering jobs for more that 32,000 people in various categories.The Group has plans for setting up more projects. The projects are already in pipeline.Foreign investors have shown keen interest in joining with us for joint ventures. The matter is under our active consideration and will hopefully soon mature. This will also help the nation's economy growth and will create job opportunities to various professionals. Akij Group is also involved in socio-cultural activities. The Group has been operating a sizeable orphanage free of charge in district town. The Group has also acquired a modernmother & children hospital previously owned by Save the Children (UK). The hospital is being operated as a non-profitable concern by Ad-Din Welfare Trust. Contract address: Akij Chamber 73, Dilkusha Commercial Area, Dhaka - 1000, BangladeshPhone: (+880-2)9563008-9, 7169017-8, Fax: (+880-2)9564519, e-mail:info@akij.net

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3.0 Enterprises of Akij Group Enterprises under AKIJ Group

Akij Biri Factory Ltd.

Akij Cement Company Ltd.

Akij Computer Ltd.

Akij Corporation Ltd.

Akij Food & Beverage Ltd.

Akij Institute of Technology.

Akij Jute Mills Ltd.

Akij Match Factory Ltd.

Akij Online Ltd.

Akij Particle & Hard Board Mills Ltd.

Akij Pharmaceuticals Ltd.

Akij Printing & Packaging Ltd.

Akij Real Estate Ltd.

Akij Textile Mills Ltd.

Akij Zarda Factory Ltd.

Ad-Din Hospital (Philanthropic).

Dhaka Tobacco Industries (Cigarettes).

Dhaka Tobacco Industries (Leaf).

Navaron Printing and Packages Ltd.

S.A.F Industries Ltd.

Ajik Gas Company Ltd. 3.1 Products Of Akij Group : 3.1.1 AKIJ JUTE MILLS LTD. : A K I J J U T E M I L L S L T D . a u n i t o f A k i j G r o u p i s a 1 0 0 % e x p o r t o r i e n t e d J u t e y a r n Industry catering to the need to carpet manufacturers and other end users of jute yarn allover the world.

Count 3 lbs (9.6 Nm/16 Lea/104 Tex) to200 lbs (0.14 Nm/0.24 Lea/6890 Tex)

Ply 2 to 5 Ply Quality CRX/CRT/CRM/Axminister Make-up a) Wooden, Plastic, Paper Cones, and

Tubes(parallel spool). b) Coreless Spool.8 Winding Precision &Mackroll. Joints Spliced, Latex and Weaver's knots. Packing Yarn may be packed in stretch wrapped pallets

/gunny bags and paper made cartons. Capacity 20,000 M.Tons(Approx) per annum.

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Speciality High number of doubling in drawing andcomputerized feeding in the spreader for excellent regularity of yarn

3.1.2 AKIJ MATCH FACTORY LTD. :

Akij Match Factory Ltd. has been established in the year 1992 at a beautiful site near Muktarpur Ghat on the bank of river Sitalakshaya. It is a fully automatic match factory which produces 100% Carburized high quality safety matches.

Dolphin

Firefox

3.1.3. AKIJ FOOD AND BEVERAGE LTD. : Akij Food & Beverage Ltd (AFBL) a big name in Food processing & marketing sectors s t a r t e d t h e i r j o u r n e y o f f i c i a l l y o n 2 0 0 6 w i t h t h r e e p r o d u c t s b u t w i t h i n t h i s s i x y e a r company able to add lot of products on its rosters. Product Category Brand Name Cola Mojo Cloudy Lemon Lemu Clear Lemon Clemon Energy Drink Speed Drinking Water Spa Juice Frutika Milk Firm Fresh UHT Milk Malt Beverage Wild Brew Cheese Flavoured Snacks (Crackers) Cheese Puffs Real Potato Chips O’Potato Spicey Cocktail 3.1.4 AKIJ CEMENT COMPANY LTD.

AKIJ Cement has established a foot hole in the cement market. It was established in1995. Encouraged by consumer’s response and confidence AKIJ Cement is in the process of expanding its capacity by many folds.

Akij Cement

3.1.5 DHAKA TOBACCO INDUSTRIES Dhaka Tobacco Industries came under control of Akij Group during the late seventies after the government decided to disinvest and handover the factory, which was up till then state-run, to private sector.

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High Segment:

a) Castle Full Flavor

b) Castle LightsPresently DTI enjoys more than 10% market share in this segment.

Medium Segment:

a) NavyPresently DTI are contributing 48% market share in this segment.

Lower Medium Segment:

a) Sheikh b) Real Presently DTI are enjoying more than 80% market share in this segment. Low Segment: a) Five Star b) K-2 c) Surma & d) Read & White DTI’s market share in this segment is about 50%. 3.1.6 Akij Textile Mills Ltd. A sister concern of Akij Group, Akij Textile Mills Ltd (ATML) has been in operation s i n c e 1 9 9 8 . O n e o f t h e b i g g e s t c o n g l o m e r a t e s i n B a n g l a d e s h , t h e c o m p a n y h a s b e e n operating its business by supplying excellent quality yarn primarily in the export market. Products of Akij Textile Mills Ltd include: •Yarn Dyed Fabrics (Oxford, Chambray, Fill-a-Fill etc) •Olid Dyed Fabrics (Twill, Canvas etc) 3.1.7. Akij Particle Board Mills Ltd. A k i j P a r t i c l e & H a r d B o a r d M i l l s L t d . h a s c o m e w i t h t h e b e s t p a r t i c l e b o a r d i n Bangladesh. It started business in the year 2001 & already it has created a place in the market for improved quality. The factory is situated at Torraghat in Manikgonj District on the bank of the river Kaliganga. There are about 1001-5000 employees in this factory.

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3.1.8 AKIJ PRINTING & PACKAGING LTD. Akij printing & Packaging Ltd (APPL) is one of the biggest printing & packages in Bangladesh. It was established in 1974. The most modern and sophisticated technology of APPL have ensured the high quality printing and packaging including the best quality wide format digital printing system in Bangladesh. Two factories situated in Tongi and Navaran provide almost all the packaging required by the group. Besides this, they also provide packaging for other companies. 3.1.9 AKIJ INSTITUTE OF TECHNOLOGY. I t i s f i r m ’ s d e t e r m i n a t i o n t o i m p a r t c o r p o r a t e , a c a d e m i c , p r o f e s s i o n a l a n d p a c k a g e training and the uncompromising quality of IT education designed for various segment of the society. The curriculum has been prepared to meet International Standard in view of ensuring a better career of its students. Nowadays, this institute providing Bangladesh government approved 4 years B.Sc. honors in Computer Science under National University. It has five campuses in different divisional cities, to ensure world-class education at students' doorsteps. 3.1.10 Akij Computer Ltd. A k i j c o m p u t e r l i m i t e d e n c o m p a s s e s 3 s e p a r a t e a r e a s o f t h e I T i n d u s t r y : S y s t e m Integration, Software Development & Design Services and balanced on two divisions, Hardware & Software. Akij computer was first introduced in 1997.

4.0 Business Portfolio :

An autonomous division or organizational unit, small enough to be flexible and large enough to exercise control over most of the factors affecting its long-term performance. Because strategic business units are more agile (and usually have independent missions and objectives), they allow the owning conglomerate to respond quickly to changing economic or market situations.

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Product Portfolio of Akij Group Considering the products of Akij Group with the assessment of growth–share matrix

1. Cash cows is where company has high market share in a slow-growing industry. These units typically generate cash in excess of the amount of cash needed to maintain the business. They are regarded as staid and boring, in a "mature" market, and every corporation would be thrilled to own as many as possible. They are to be "milked" continuously with as little investment as possible, since such investment would be wasted in an industry with low growth.

The product of Akij group which fell into the cash cow group are

Firebox five star cigarette

2. Dogs, more charitably called pets, are units with low market share in a mature, slow-growing industry. These units typically "break even", generating barely enough cash to maintain the business's market share. Though owning a break-even unit provides the social benefit of providing jobs and possible synergies that assist other business units, from an accounting point of view such a unit is worthless, not generating cash for the company. They depress a profitable

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company's return on assets ratio, used by many investors to judge how well a company is being managed. Dogs, it is thought, should be sold off.

The product of Akij group which fell into the Dogs group are

Lemu

Red & White

surma and diamond

legend white

Akij computer akij pharmaceuticals

3. Question marks (also known as problem children) are business operating in a high market growth, but having a low market share. They are a starting point for most businesses. Question marks have a potential to gain market share and become stars, and eventually cash cows when market growth slows. If question marks do not succeed in becoming a market leader, then after perhaps years of cash consumption, they will degenerate into dogs when market growth declines. Question marks must be analyzed carefully in order to determine whether they are worth the investment required to grow market share.

The product of Akij group which fell into the Question marks group are

spa

checky monkey

akij cement

akij textile(yarn)

k-2

castle light

akij ceramics

akij printing and packaging

akij securities

akij real estate

4. Stars are units with a high market share in a fast-growing industry. They are successful question marks and become a market leader in a high growth sector. The hope is that stars become next cash cows. Stars require high funding to fight competitions and maintain a growth rate. When growth slows, if they have been able to maintain their category leadership stars become cash cows, else they become dogs due to low relative market share.

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The product of Akij group which fell into the stars group are

mojo

clemon

speed

frutika

navy

sheikh

akij particle board

akij CNG conversion

akij textile

akij zarda

5.0 Product & Service Decisions Line

A group of related products manufactured by a single company. The same company might also offer more than one product line. The cosmetic company might have a special product line geared toward teenagers and another line geared toward women older than 60, in addition to its regular product line, that can be used by women of any age. 1 all goods made by a manufacturing firm 2 a group of closely related commodities made by the same process and for the same purpose and differing only in style, model, or size

5.1 Width

The width of a company's product mix pertains to the number of product lines that a company sells. For example, if a company has two product lines, its product mix width is two. Small and upstart businesses will usually not have a wide product mix. It is more practical to start with some basic products and build market share. Later on, a company's technology may allow the company to diversify into other industries and build the width of the product mix.

The Akij group has total 21 product width.

5.2 Length

Product mix length pertains to the number of total products or items in a company's product mix, according to Philip Kotler's textbook "Marketing Management: Analysis, Planning, Implementation and Control." For example, ABC company may have two product lines, and five brands within each product line. Thus, ABC's product mix length would be 10. Companies that have multiple product lines will sometimes keep track of their average length per product line. In the above case, the average length of an ABC Company's product line is five.

Considering the main products of the Akij group we can have toatal 25 lengths of products mix.

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5.3 Depth

Depth of a product mix pertains to the total number of variations for each product. Variations can include size, flavor and any other distinguishing characteristic. For example, if a company sells three sizes and two flavors of toothpaste, that particular brand of toothpaste has a depth of six. Just like length, companies sometimes report the average depth of their product lines; or the depth of a specific product line.

After considering and assessing the product lengths of Akij group we found that the Akij group has only two products which has two depths.

1. Sheikh Cigerette a) Sheikh White b) Sheikh Red

2. Mojo Cola a) Mojo Regular b) Mojo Light

5.4 Consistency

Product mix consistency pertains to how closely related product lines are to one another--in terms of use, production and distribution. A company's product mix may be consistent in distribution but vastly different in use. For example, a small company may sell its health bars and health magazine in retail stores. However, one product is edible and the other is not. The production consistency of these products would vary as well.

After considering the product mix we came to a decision that the Akij group has very large amount of products and the products rarely have any consistency.

6.0 Conclusion:

The surface-level competitive performance of Akij Group of Industries is rather good, a sindicated by quantitative expansions of its exports to major international markets over the t i m e p e r i o d . M o r e o v e r , t h e g r o u p o f i n d u s t r y h a s a l r e a d y i n i t i a t e d t h e p r o c e s s o f enhancing its deep-level competitive performance. Some important areas which require more attention to sustain and enhance deep-level competitiveness of the industry arereduction in “production and distribution” time, expansion of linkages, compliance withcode of conduct of buyers and changes in product/market composition. The Government of Bangladesh should also provide more active policy support