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1
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
1. Firstly we would thank Allah for giving us the opportunity
and the resources to be able to do something productive
with our lives.
2. Then our sincere thanks to Sir Sohail Ayaz for helping us
throughout this report.
3. Lastly we would like to thank our families for their
incessant support and approval.
2
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Name Roll No
Muhammad Akhtar Farhan 02
Muhammad Asad Abbas 20
Mubashar Ali 23
MBE-4th Semester(Session-2013-2015)
Department of Economics
BZU Multan
3
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
1. Introduction
2. Mission
3. Vision
4. Objectives
5. Operational Goals
6. External Assessment
7. Environment Scanning
8. Industrial Analysis
9. SWOT Analysis
10.Successful Strategies
11.Recommendations
12.Conclusion
4
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Engro Foods Limited is subsidiary of Engro Corporation which is
one of the most reputed enterprises in Pakistan with more than 40
years of diversified business operations in the areas of fertilizer and
chemicals.
Top quality brands like Olper’s, Olper’s Lite, Tarang, Omore,
Olfrute, Dairy Omung, Al Safa, Tarraka and Omung Lassi have been
successfully launched.
Engro Foods has already set up two processing plants at Sukkur and
Sahiwal and a Dairy Farm at Nara.
Engro Foods is now venturing into North American market starting
from Halal Foods category and acquired a company launched Meat
products with name of AL SAFA.
5
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
“Build branded food business to improve
quality of life by offering tasty, affordable and
high nutritional products to our consumers
while maximizing stakeholder’s value.”
6
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
”Aim at transforming the company within the
five years into first national food industry
giant, then into regional force and finally into
a global player.”
7
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Engro Foods main objectives are to supply
everyone their favorite Olper’s Milk and to satisfy
the consumer need and wants.
 Engro Foods second objective is to increase the
value for the stakeholders and company value. We
want to be the major player in the food industry.
8
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
1. Customer Value Creation
Target profitable customer segments
Increase customer value
Increase customer/market awareness
2. Internal Operations
Improve operational efficiencies as it relates
to the customer experience
3. Competitive Advantage
Improve competitive position
9
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Suppler Relationship
Competitive Solutions
Community Relationship
Political Solution
The Economy
Society
Technology
Brand & Reputations
10
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
11
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Political Factor
Economic Factor
Social Factor
Technological Factor
12
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Political Factors:
It includes rules and regulation by the government. Every
organization can run it’s operation sucessfully when it follows
the laws rules and regultion related to them.
Economic Factor:
Every organization have impact by it’s economic factorsand
they must respond economically.
Social Factors:
The improvement inlitracy rate brings awarness about tetra
packing, this will enhace tetra packing’s sales e.g olpers, tarang,
olfrut etc
Technological Factors:
This factor also effects environment. Technology brings
competitive advantage for any organization.
13
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
4 May 2015
Master of Business in Economics_Session
2013-2015 BZU Multan
14
15
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
16
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
1. Efficient milk collection system.
2. Keeping high quality standards
3. Successful diversification
4. Product Innovation
5. Strong Financial Position
6. Huge Capacity for Production
7. Growing Sales
17
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Engro Foods is having only one its own dairy farms
Centralize Decisions
High Price
Less Promotion Activities
Selective Target Market
High milk collection & distribution costs.
Local Company
Unable to fulfill the demand of local powder milk
market
18
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Flexible government policies for food industry.
Expansion of Food Business
Awareness of Packed Milk
Availability of Raw Material
Market Capitalization
Diversification
Export Opportunities
19
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Competition with Nestle, Haleeb, Walls. and the new
enters
Mature Market
High inflation rate.
International Marketing Standards
Change in prices might create certain barriers in terms of the
profit margins
Low purchasing power.
Recessionary period in business cycle.
High Taxes
Seasonal Factors
Suppliers Behavior
20
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
1. Market Penetration
2. Market Development
3. Product Development
4. Backward Integration
5. Forward
6. Diversification
21
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Engro Foods should have much diversified bi-product line
of dairy products like Nestle & Haleeb.
They should introduce new promotions to get customers’
attention.
EFL should expand its dairy farms so that they can get
competitive advantage.
EFL should focus on Market Penetration, Market
Development and Product Development strategies with
more efforts to be the market leader.
They should go expand its capacity to enter into in
international market like Nestle.
22
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015
Engro is going to be a market leader due to
different reason like its financial position,
product quality, R & D, market share, sales
growth etc. Its price is more or less equal
to its competitors; it matches its quality
with its competitors and capturing its
competitor’s share from market. Engro is
using its brand name and its packaging is
good to promote its products and EFL is
becoming very popular as compared to its
competitors.
23
Master of Business in Economics_Session
2013-2015 BZU Multan
4 May 2015

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Engro Foods

  • 1. 1 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 2. 1. Firstly we would thank Allah for giving us the opportunity and the resources to be able to do something productive with our lives. 2. Then our sincere thanks to Sir Sohail Ayaz for helping us throughout this report. 3. Lastly we would like to thank our families for their incessant support and approval. 2 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 3. Name Roll No Muhammad Akhtar Farhan 02 Muhammad Asad Abbas 20 Mubashar Ali 23 MBE-4th Semester(Session-2013-2015) Department of Economics BZU Multan 3 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 4. 1. Introduction 2. Mission 3. Vision 4. Objectives 5. Operational Goals 6. External Assessment 7. Environment Scanning 8. Industrial Analysis 9. SWOT Analysis 10.Successful Strategies 11.Recommendations 12.Conclusion 4 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 5. Engro Foods Limited is subsidiary of Engro Corporation which is one of the most reputed enterprises in Pakistan with more than 40 years of diversified business operations in the areas of fertilizer and chemicals. Top quality brands like Olper’s, Olper’s Lite, Tarang, Omore, Olfrute, Dairy Omung, Al Safa, Tarraka and Omung Lassi have been successfully launched. Engro Foods has already set up two processing plants at Sukkur and Sahiwal and a Dairy Farm at Nara. Engro Foods is now venturing into North American market starting from Halal Foods category and acquired a company launched Meat products with name of AL SAFA. 5 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 6. “Build branded food business to improve quality of life by offering tasty, affordable and high nutritional products to our consumers while maximizing stakeholder’s value.” 6 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 7. ”Aim at transforming the company within the five years into first national food industry giant, then into regional force and finally into a global player.” 7 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 8. Engro Foods main objectives are to supply everyone their favorite Olper’s Milk and to satisfy the consumer need and wants.  Engro Foods second objective is to increase the value for the stakeholders and company value. We want to be the major player in the food industry. 8 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 9. 1. Customer Value Creation Target profitable customer segments Increase customer value Increase customer/market awareness 2. Internal Operations Improve operational efficiencies as it relates to the customer experience 3. Competitive Advantage Improve competitive position 9 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 10. Suppler Relationship Competitive Solutions Community Relationship Political Solution The Economy Society Technology Brand & Reputations 10 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 11. 11 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 12. Political Factor Economic Factor Social Factor Technological Factor 12 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 13. Political Factors: It includes rules and regulation by the government. Every organization can run it’s operation sucessfully when it follows the laws rules and regultion related to them. Economic Factor: Every organization have impact by it’s economic factorsand they must respond economically. Social Factors: The improvement inlitracy rate brings awarness about tetra packing, this will enhace tetra packing’s sales e.g olpers, tarang, olfrut etc Technological Factors: This factor also effects environment. Technology brings competitive advantage for any organization. 13 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 14. 4 May 2015 Master of Business in Economics_Session 2013-2015 BZU Multan 14
  • 15. 15 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 16. 16 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 17. 1. Efficient milk collection system. 2. Keeping high quality standards 3. Successful diversification 4. Product Innovation 5. Strong Financial Position 6. Huge Capacity for Production 7. Growing Sales 17 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 18. Engro Foods is having only one its own dairy farms Centralize Decisions High Price Less Promotion Activities Selective Target Market High milk collection & distribution costs. Local Company Unable to fulfill the demand of local powder milk market 18 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 19. Flexible government policies for food industry. Expansion of Food Business Awareness of Packed Milk Availability of Raw Material Market Capitalization Diversification Export Opportunities 19 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 20. Competition with Nestle, Haleeb, Walls. and the new enters Mature Market High inflation rate. International Marketing Standards Change in prices might create certain barriers in terms of the profit margins Low purchasing power. Recessionary period in business cycle. High Taxes Seasonal Factors Suppliers Behavior 20 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 21. 1. Market Penetration 2. Market Development 3. Product Development 4. Backward Integration 5. Forward 6. Diversification 21 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 22. Engro Foods should have much diversified bi-product line of dairy products like Nestle & Haleeb. They should introduce new promotions to get customers’ attention. EFL should expand its dairy farms so that they can get competitive advantage. EFL should focus on Market Penetration, Market Development and Product Development strategies with more efforts to be the market leader. They should go expand its capacity to enter into in international market like Nestle. 22 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015
  • 23. Engro is going to be a market leader due to different reason like its financial position, product quality, R & D, market share, sales growth etc. Its price is more or less equal to its competitors; it matches its quality with its competitors and capturing its competitor’s share from market. Engro is using its brand name and its packaging is good to promote its products and EFL is becoming very popular as compared to its competitors. 23 Master of Business in Economics_Session 2013-2015 BZU Multan 4 May 2015