Introduction

Our marketing plan is on Kings confectionery which focuses on opening new outlets in Bangladeshi market. we chose Kings confectionrey as the subject of our marketing plan because it hasa huge market potential with a wide varity of proudct mix in Bangladesh. Kings confectionary has previously operated business successfully in Malaysia & India. Thus there is no question about the potential of the product & how it can adapt in foreign markets. Furthermore it proves the ability of the Kings confectionery to meet the challenges & grab the opportunities of the foreign market. Moreover as a muslim country Malaysia is very similar to our country in terms of Eating habbit & culture. Thus, doing business in Bangladesh with a Malaysian product seems very reasonable as the barriers to entry is low, transportation cost is low, necessary market information is available. At the later parts of the paper we discuss these topics in more detail.

Objective of the study:

Primary Objective:To identify factors that matter in international marketing. By doing this term paper, we will be able to know consumers perception about Kings Confectionery. We will also able to know the consumers demands and needs about the taste, environment and appearance about Kings Confectionery, how they choose a confectionery, consumers choosing motives and preferences. We will explore what they feel about different confectioneries. We will also provide the overview of Kings Confectionery and will try to give some recommendation for it.

Specific Objectives: What can be the forecasted sales and profit of the company? What are the strengths and weaknesses a company may have to deal with? What are the opportunities& threats a company may face? How our product can be adapted for the market? How we should conduct business against odds (culture, politics, laws, environment etc.) in a foreign market? What can be our promotional activities for our target market? How we aregoing to distribute our product? What are the channels of distribution we can follow? How we can determine our price for different activities. In what way we are going to fulfill the payment? How we are going to project our pro forma financial statements and budgets? What are the resources we need to meet the international marketing demand?

Methodology of the study:Nature of study: Tentative and ExplanatorySource of information: Both Primary and SecondaryPrimary Sources:Question Method Quantitative Techniques

Sampling MethodConvenient Sampling

Sample Size 60

Information Collection Instrument Structured Questionnaires for the respondents

Description Mainly who visited Kings Confectionery and usually visits otherconfectioneries.

Secondary Sources:Information was mainly collected from websites, magazines and by visiting different confectioneries in Dhanmondi, Banani and Gulshan.Analysis of Information:Statistical techniques through Microsoft Excel were used to analyze the collected data through survey.

Presentation of information:Collected and calculated information are presented in graphical forms and Microsoft Power Point Slides.

Limitation of the Study:1. Due to privacy and official confidentiality, the authority of Kings Confectionery did not provide enough information.2. Lacking of information among consumers was another major problem. In many cases, we found some people not have any clear idea about the bakeries. Even some people were not interested to answer the questions.3. As the questionnaire language was in English, many people could not understand the questions and answer well.4. Time shortage was one of the major problems.5. In some cases, people did not want to read and answer carefully. So, sometimes the answers varied a lot from person to person.6. Lack of complete information from different sources.

Company Overview:King's Bakery began its journey of growth and excellence with a beginning of a single outlet in 1973. Back then King's Bakery produced cakes which rapidly became synonymous with birthday parties and celebrations of joyful occasions like weddings, career promotions, graduations and festivities in the Malaysian household. King's Bakery was incorporated in 1993. Our products were certified HALAL by Jabatan Kemajuan Islam Malaysia in 1996 to realize the Company's vision of serving quality bakery products to multicultural societies. Kings Confectionary (Bangladesh) Ltd is a Bangladesh-Malaysia joint venture. They have started their journey in Bangladesh, back in February 2003 with only one shop in Banani, Dhaka. It was a very large and well decorated shop. Later they have opened 5 other shops in Dhanmondi, Mirpur Road, Uttara, Wari, Mogbazar and they have also opened one in Chittagong.They have since opened 6 other shops in 2004 at Dhanmondi Plaza, Shop No. 114 (Ground Floor), Road No. 6, Dhanmondi R/A (Mirpur Road), Dhaka, in 2005 at Plot No. 12, Road No. 14/A, sector No. 04, Uttara, Dhaka, in 2008 at House No: 08, Sector 7, RabindraShoroni, Uttara Model Town Dhaka, in 2011 at 15/2 A, Rankin Street, Wari, Dhaka, in 2012 at 55,56 ShahidSelinaParvinSarak, Mogbazar, Dhaka, in 2008 at Sekender Plaza, 815, C.D.A Avenue (1st floor), Dampara, Chittagong.Their main competitors are Coopers , Shumis hot cake, Hotcake & Mr. Baker. While Hot Breads has been there for awhile, After King's entrance in the confectionery market. King's has become quite a rage in a very short while and for birthday parties and other special occasions "a cake from King's" has been become a must for the affluent members of the society.They maintain high level of hygiene standard and quality control in their manufacturing processes, storage procedures, packing and product freshness. Freshly baked products are delivered in covered refrigerated truck twice daily to their shops. Their Banani shop gets its stock replenished directly from their production unit upstair

A. Marketing Objective:To gain sustainable distribution coverage by establishing a strong brand value and holding highest market share.

3.1 Profile of the Target Market:Different people of different characteristics have their own individual choices. We can understand the buying behavior by analyzing the market segmentations based on differences in the consumption behavior of different group of consumers. Their lifestyle, monthly income, Service taking, patterns of spending money and time, age group, gender, demographic, psychographic, social and economicare the factors that determine the buying decisions. To understand and communicate with the target market in a more efficient manner we conducted a survey and collected sample data and opinion from random consumers. In this report we will discuss depending on the results of survey that we have done on 40 people. Here we tried to identify many factors so that we can work on improving and attract more people towards Kings Confectionery.3.1.1 Gender:Through the gender segmentation we have separated the market in two parts such as male and female. Though our country is male dominated when it comes to purchase confectionery items, females are more involved than the males. We made our survey based on 60 peoples opinion. Among these people 58% were male and 42% were female. In the survey 25 people were male and 35 were female.

Strategy: From the survey we can see that there are more female customers than male. So Kings Confectionery should attract more male customers by the side of female customers Kings Confectionery should provide different foodstuff for both male and female. Because the gap between the two ratios in not very high.3.1.2 Age Segmentation:Age is one of the most important factors to identify the consumers behavior towards Kings Confectionery. Age carries culturally defined behavioral and attitudinal norms. It affects our self-concept and lifestyles. To find out the responsiveness about the Kings Confectionery we asked questions to different age group of our sample to find out the variation of consumer behavior in different age.We have surveyed different people of different age groups. Among them we found 3% who are less than 15, 32% is in 16-25, 37% is in 26-35, 13% is in 36-45 and 15% is in over 45 segment.

Strategy: Should concentrate on the customers who are older than 16 years and under 35 years. A huge number of customers are under this segment. Have to focus more on the people who are above 35 years. Kings Confectionery should use newspaper, magazines and bill boards to attract these customers.

3.1.3 Education:Education has a strong influence on ones tastes and preferences. It also influences how one thinks, makes decisions, and relates to others. However, education seldom provides a complete explanation for consumption patterns. Those with a limited education are generally at disadvantage not only in earning money but in spending it wisely.

From the pie chart we can clearly see that most two major sections are post graduate and graduate which is 30% & 50%. The rest are H.S.C 13% and 7% are S.S.C. so we can see that most of the customersare well educated.

Strategy: Should go for people who are Graduate and post graduate because the graduate rate is 50% and post graduate rate is 30%. As most of the customers are well educated Kings Confectionery should give more emphasis on the quality, taste and their environment.

3.1.4 Occupation:Occupation directly influences ones values, lifestyle, and all aspects of the consumption process. In our questionnaire we have asked question to identify which professions respondents are appropriate target customer of Kings Confectionery.

From the pie chart above, we can see that the maximum numbers of customers are employee and student which is 40% and 35%. The rest is 7% businessman and 18% people from other various occupation.Strategy: Should focus on the employees and students. Because from the above chart we can see that 75% area are covered by employees and students. The promotional activities can be based on colleges and universities.

3.1.5 Social Class:Income is highly influential in determining social class. To identify the respondents social class we asked them about their individual income to find their actual position in the society.

From our survey we found that 28% has a monthly income of 5,000-10,000tk; 12% peoples income are around 10,000-20,000tk; 23% peoples income are around 20,000-40,000tk; 14% peoples income are around 40,000-50,000tk; and the other 23% has a income of above 50,000 Tk.

Strategy: Kings Confectionery should focus upper, middle and lower class people. Because there are customers that belongs to each of these social classes. For the upper class they can follow the value positioning method of more for more. For middle class customers, they have to reduce the cost a little bit thus reducing the products quantity. For lower class customers, the quantity should be much less than the others and price should also be reduced but the quality should remain the same.

3.1.6 Other Findings3.1.6.1 Spending on confectionery items every month:From our survey we tried to find out how much people spend on confectionery items every month.

We found that 4% people spends less than 100tk on confectionery items every month, 20% people spend 100-500tk, 28% people spend 500-1000tk, 30% people spend 1000-2000tk and 18% people spend more than 2000tk on confectionery items every month.Strategy: Should focus on the customers who spend more money. For the customers who spend less money(less than 500), give them the products in a less quantity. Kings confectionery should reduce the price and quantity for the people who spend 500-1000tk. The customers who spend 1000-2000tk try to bring them in above 2000 category. Because it will be better to capture the customers who spends more money.

3.1.6.2 Types of confectioneries that people most preferred:In our survey we tried to find out the desired confectioneries that people prefer. The preference differs from one person to another. It depends on their choice and their personality.

In the above picture we can see that most preferred confectionery is Kings Confectionery. People gave 27% on Kings Confectionery, 18% for both Mr.Baker and Shumis Hot Cake, 15% for California Pastry Shop, 14% for Captains World and 8% for Coopers.Strategy: People prefer Kings Confectionery the most. So they should maintain the image. They can capture Mr.Bakers and Sumis Hot Cakes customers if they go for more advertisement. They should maintain their variety of products because they have more variety than the other confectioneries.

3.1.6.2.1 Influencing Factors:In our survey we tried to find out the influencing factors that contribute while purchasing confectionery items.

From the Graph we can see that most influencing factor is family. 58% people are influenced by family while purchasing confectionery items. 32% people are self-influenced and the rest 10% are influenced by friends. We can see that no one is influenced by the celebrity factor.

Strategy: Kings Confectionery can use word of mouth to attract the customers. They can make some promotion that will show that Kings Confectionery is a good place from where people can purchase confectionery items for their family. The promotion will also focus the self-judgment. Also make promotions which will focus group of friends.

3.1.6.2.2 Sources of information:From our survey we tried to find out from where the customers get the information about Kings Confectionery. Then it will be easy for Kings Confectionery to make their next approach.

From the above figure, we can see that 50% people know from physically seeing the outlet. 47% people get the information from friends and relatives. Only 3% know the information from magazines. No one gets the information from the TV channels and newspapers.Strategy: Establish more outlets throughout the country. Give better products and service to customers so that they will tell their known ones about Kings Confectionery.

Sales Forecast:

Here in this graph we are assuming that from the next five consecutive years we are going to have a growing sales rate at a slow rate. Our main focus on cakes. Besides that it is showing a trend in the unit and total sales. Our unit production is minimum 1000kg approximately per month and it grows at an increasing rate with rising demand. We charge .

Profit Forecast:

Here in this graph we are assuming that from the next five consecutive years we are going to have challenging situation in the first year with loss. Then from the next year a growing revenue rate at a slow rate occurs profit. Besides that it is showing a trend in the estimated revenue and estimated expenses while budgetary changes. When we are spending a lot on marketing it is causing loss but when we are investing on manufacturing to improve production then its causing profit because of economies of scale.

Market Penetration & Coverage:Our primary marketing area will be Dhaka and Chittagong. In these two parts of Bangladesh is a highly strong market for confectionary item. At first, our main concern will be making sure the availability of product in each zone of these areas. Then we will gradually expand the market to cover the whole areas.

B. SWOT Analysis:

Strengths: Local Labor Availability: The labors, those are required for the production (from purchasing raw material, processining, storing, packaging, to the delivery of the finished goods) is locally easily available.Effective Distribution System:Our distribution system for procuring raw material as well as delivering the finished products to the customers is very strong.Finished products are being delivered through trucks, private transport at the right time.Effectiveness of Sales Force:Though oursales forces are not very much educated yet they are having a lot of experience in that particular field. And are great positive impact on the selling and distributing of their products.Product Competitiveness: Confectionary products have a very good demand in Bangladesh.Bangladesi people feel so much attraction on confectionary products. Our quality is very good.Our production cost is competitively good. We use only fruit colour and our taste is very different from others. Weaknesses:Lack of experience of international trade: As a developing company, we have low experience of international trade.Lack of Capital: It is quite difficult now to invest much more on international marketing for the time being.Opportunities:Unavailability of confectionary product: We have figured out that there is limited confectionary product in Bangladesh. Which is an advantage for us to enter into their market.Good relationship with Bangladesh: Our country has a good relationship with Bangladesh. So, we can tell that there is no political/legal barrier to do international marketing with Bangladesh.Large potential population: Nearly 17core people live in this country. This large population translates into a large amount of consumption. This very large segment of people is potential enough to be our target customer.Rising purchasing power: It is no more needy people that much now, whereas they are now more capable to meet their needs. So, they will be legitimate enough to purchase our product.

Threats:Entry barrier: As already people are know about bakery item so there is nothing new to them. So, this can make a barrier for us to just enter into the market.Competitors access to channels of distribution: As our competitors there is local companies of Bangladesh so it is quite natural that they have superior access to channels of distribution.Quota Imposition: We know that bangladesh has their own companies who makes bakery item. So, to save their own company government can impose a quota on our product in the future.

C. Product adaptation or modification

Packaging Component:

a. Paper box packagingb. Poly bag packaging

Support Service Components:a. Guaranty of color: We will provide the best quality in production to ensure that the color will be the real food color. b. Guaranty of materials: We use quality raw materials to produce confectionary items and so we can guarantee the quality food.c. Pre-taste facility: Before purchase people can taste our food. If they like our food they can buy. Otherwise it is not a problem at all .if they dont buyd.

D. Promotion Mix:

Advertising:a. Objective: To increase the revenue and gain the highest brand value.b. Media Mix: Newspaper, Banners, Leaflets, Billboard, and Retailer name fascia.c. Message: The message must be clear & consistent across all types of media. It should be short, simple & noticeable.

Sales promotions:a. Objective:To increase the market share and as well as the revenue.b. Discount: Promotional discount will be available. Not less than 10% and not above 30%.

Other Promotional Method:We will sponsor cultural festivals and will also participate in fairs and cultural programs to promote and display our products.

E. Distribution: From origin to destinationMode of Transportation:To transport the row materials and finished good out late to out late we mainly use road transportation system. We have our own transportation system. We have some covert vanAdvantages of road transport:.

a) Economical for short distance: Road transport is economical for short distance. Again, the loading and unloading charges are reduced due to direct transportation. Where the distance is short, road transport is not only economical, but also quicker.

b) Less overhead cost: There is less overhead cost. The cost of maintaining. Again, wages paid to drivers and others is less as compare to others again the money spend on the maintenance of roads is comparatively less as compare to maintenance of covert vans along the other transportation system.

c) Flexibility: The road transport offers more flexibility than that of any other transportation. The Vehicle can be diverted to different routes, in case of blockage or accident.

Disadvantages of road transport:a) Not suitable for bulky goods: road transport is not suitable to carry a sensitive goods, such as bakery items . It also not suitable to carry items of low grades because of the cost involves in transporting such good.

b) Political problem: Sometimes strike from any political party hampers road transportation and creates barrier for the business and makes it delay to deliver the goods to destination on time.

c) Breakdowns and delays: Because of poor conditions of roads, there are often breakdowns. This causes unnecessary delays in transportation.

d) Lack of informative in rates: There is no informative in transport rates. This is because; road transport is operated by private parties. Different rates are charged by different operators

F. Channel of Distribution

Factory: We collect raw material from across the country and produce good in our own factory. And distribute finished goods through our zonal outlet.WhoOutlet:We will maintain a central out late at our factory and will also maintain zonal out late in each zone. We will always keep stock to ensure the proper distribution.Our zonal operation shall not be large.

Pro forma financial Statements&Budgets

Marketing BudgetYear

(All figures on approximate basis)20152016201720182019

Selling Expenses 5,000.00 7,000.00 10,000.00 12,000.00 14,000.00

Advertising/Promotional Expenses 10,000.00 10,000.00 10,000.00 10,000.00 10,000.00

Distribution Expenses 4,000.00 6,000.00 8,000.00 10,000.00 12,000.00

Product Cost 49,500.00 72,000.00 94,500.00 139,500.00 229,500.00

Other Costs 33,000.00 33,000.00 33,000.00 33,000.00 33,000.00

All amounts are in USD

Pro Forma Annual Profit And Loss Statement Year

Expected Revenue20152016201720182019

Dhaka 50,000.00 75,000.00 100,000.00 150,000.00 250,000.00

Chittagong 40,000.00 60,000.00 80,000.00 120,000.00 200,000.00

Total Estimated Revenue 90,000.00 135,000.00 180,000.00 270,000.00 450,000.00

Expected Expenditures

Manufacturing Costs

Raw Materials 30,000.00 45,000.00 60,000.00 90,000.00 150,000.00

Wages 15,000.00 22,500.00 30,000.00 45,000.00 75,000.00

Factory Overhead 4,500.00 4,500.00 4,500.00 4,500.00 4,500.00

Selling & Marketing

Selling Expenses 5,000.00 7,000.00 10,000.00 12,000.00 14,000.00

Advertising/Promotional Expenses 10,000.00 10,000.00 10,000.00 10,000.00 10,000.00

Distribution Expenses 4,000.00 6,000.00 8,000.00 10,000.00 12,000.00

Administrative

Office Overhead 4,000.00 4,000.00 4,000.00 4,000.00 4,000.00

Warehouse 7,000.00 7,000.00 7,000.00 7,000.00 7,000.00

Salaries 22,000.00 22,000.00 22,000.00 22,000.00 22,000.00

Total Estimated Expenses 101,500.00 128,000.00 155,500.00 204,500.00 298,500.00

Estimated Net Profit (11,500.00) 7,000.00 24,500.00 65,500.00 151,500.00

Recommendation:After conducting the total research work on Kings Confectionery we have some recommendation as follows: Promotional activities:Kings Confectionery can do some promotional activities. They can do this by word of mouth marketing because a person does not follow celebrities to buy confectionery items. Taste and Appearance:They should always work to improve their taste in order capture the market from their competitors. Because when purchasing from confectionery the main thing that the customers want is good taste. They should also work on their appearance because the appearance is a good factor to create a better image than the competitors. Pricing:Kings Confectionery should offer products with less price but they should not compromise their quality. They may reduce the quantity because they are reducing the price.

ConclusionKings Confectionery is a well-established confectionery in our country. Though different people have different perceptions about them but overall truth is people like Kings Confectionery for their tasty sweets and variety of foods. People think purchasing from Kings Confectionery exposes their status. This type of brand image is very good.

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