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Made under the guidance of:
Mr. AMAN ARORA
By: AKSHAY KAUSHAL
MBA IB
UBS PANJAB UNIVERSITY
DISTRIBUTION NETWORK ANALYSIS
OF
AFRICAN & MIDDLE EAST COUNTRIES
2. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Analysis of 20 competitors across 44 African and 13 Middle East
countries on the following parameters:
• Overall Sales country wise
• Type of Dealers country wise
• Distribution Network country wise
• Mapping of the Locations country wise
• Product portfolio country wise
• Analysis of individual Country
SCOPE OF THE PROJECT
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3. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
• Data collected will give the complete picture about the
countries business and preferable locations
• Knowledge of the presence of competitors in different
countries will help in making entry strategies.
• Analysis done on the country will help in knowing about the
political conditions, competition level and substitutive
products
• Sales figures will help in analyzing VE’s presence against the
competitors.
DELIVERABLES
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4. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
DATA Collection Methods
• Reports by international agencies like Frost & Sullivan and KPMG
• Dealers websites and company’s websites as Mercedes Benz-
International corporate website, Ghabbour Auto etc.
• International Automobile agencies like OICA, NAAMSA, SIAM
Research Tools & Models Used
• Microsoft Office
• E-Spatial Online Mapping Software
• SWOT Analysis
• Porter’s Five Forces Model
METHODOLOGY & RESEARCH TOOLS USED
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5. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
MARKET
SHARE
(EICHER)
HIGH
Gabon
Liberia
Sierra Leone
Benin
Burkina Faso
Kenya Middle East
Tanzania Saudi Arabia
Nigeria UAE
Zambia Oman
Mozambique Qatar
Ghana Bahrain
Uganda Iraq
Ethiopia Kuwait
Cameroon
Ivory Coast
Madagascar
Democratic Republic of Congo
MEDIUM PRIORITY INCREASE MARKET SHARE
LOW
LOW PRIORITY HIGH PRIORITY
Guinea Bissau Middle East
Sao Tome Syria
Equatorial Guinea Jordan
Comoros Island Yemen
Chad
Mali
Niger
Mauritania
Togo
Congo
Senegal
Central African Republic
Lesotho
Swaziland
Malawi
Botswana
South Africa Middle East
Algeria Iran
Egypt Israel
Morocco
Tunisia
Angola
Zimbabwe
Namibia
Libya
LOW(less than 200 units sold per year) HIGH(more than 200 units sold per year)
TOTAL INDUSTRIAL VOLUME
RESULTS (ANALYSIS)
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7. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Name of the Country: Egypt
Location: North East Part of Africa (North Zone)
GDP:
Population: 88,936,000
Main Business: Crude Oil and Textile Industry
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Total: 989 Billion $ Per Capita: 11,194$
LEFT/RIGHT Hand Wheel Drive LEFT
Number of Units Sold(Commercial Vehicles) + Pickup Trucks 75,600
Number of units Produced(CV) 9,190
LD MD HD Total(Trucks+ Buses)
6000 800 4500 13,100
EGYPT
8. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Main Commercial Vehicle Brands:
CV BRANDS
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Mercedes Benz Hyundai Trucks Iveco Trucks FAW Motors
Mitsubishi Fuso Renault Trucks Scania DAF Trucks
Chevrolet Trucks Volvo Trucks TATA Freightliner
Toyota Hino MAN Trucks Ashok Leyland
9. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Single Brand Dealers: Location Multi Brand Dealers: Location
Mercedes Benz
Manufacturing Commercial Vehicles Alex, Aga, Salhya, Obour,
Luxor, Sharm, Hurghada
Ghabbour Auto
(Mitsubishi Fuso & Volvo)
+20 (0) 2 3910 0485
Alexandria,
Dimletta, Mahsoura, Cairo, Suez,
Assiout, Hurghada, Luxor
Freightliner
Triangle Heavy Equipment Cairo, Giza Al Futtiam Group
(IVECO)
+20 2 26186000
Cairo
Chevrolet Trucks Egyptian International
Motors
(Hyundai)
+20 2 35390819
Cairo, Alexandria,
Mansoura,
Suez,
Luxor,
Hurghada,
Sohag
Al Mansour Automobile Alex, Aga, Salhya, Obour,
Luxor, Sharm, Hurghada,
Cairo,Giza
Hino Motors
Aljico Misr Co Ltd Cairo, Giza
Renault Trucks
Arab Trading and insurance co. El Obour
Renault Trucks Egypt Cairo
MAN Trucks
Gorica Egypt Group Giza,Cairo,
El Obour, Alexadria,
Minia , Toshka, Luxor
DEALERS
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10. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Single Brand Dealers: Location Single Brand Dealers: Location
Scania FAW TRUCKS
SMG Engineering Automotive Company Giza, Cairo Wamco Motors Cairo
TATA TRUCKS DAF Trucks
Techno trade SAE Cairo, Alex, Aga, Obour,
Luxor, Sharm, Hurghada
Attar Equipment Enterprises Cairo
Ashok Leyland
Individual Players
Mr Rammy Abbas
Mr Barbari
Mr Tameer Sultan
Mrs Rania El Sayad
Almazha
Abour
Zamalek
Ramadan city
DEALERS
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11. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Prime Locations: Giza, Cairo, El Obour, Alexandria, Toshka,
Luxor, Hurghada, Mansoura, Suez
LOCATIONS SPATIAL ANALYSIS
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12. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Product Portfolio
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Light duty (5-8.5 T) Medium duty (9 – 14 T) Heavy duty(16- above T)
Mitsubishi Canter 110, 130 Volvo FE, FL Mercedes Benz Axor,Actros
Chevrolet T SERIES Mitsubishi FP519 Volvo FM, FH, FMX
HINO 300 Series Chevrolet N Series Freightliner 108SD,112SD,114SD
Hino 500 Series Hino 700 Series
Renault D, K, C Renault D, K, C
MAN TGM MAN TGS, CLA, TGX
Iveco Daily Scania P, G, R
FAW Conventional Trucks Iveco New Stralis Hi-Way
FAW Straight Trucks Iveco New Trakker
DAF CF Iveco Astra
TATA SK407, SFC407, LPT713 FAW Dump trucks
TATA LPT715, LPT809, LPTA713 DAF XF
TATA LPT709, LPK713 TATA LPT913,LPT1116,1518
Hyundai HD Range TATA LPT1513,LPT1918
Iveco Euro Cargo TATA LPT 2523,LPTA1623
TATA K5MVF,K5DEF,K7CEF
TATA V3TVF,V3TXF,M2SEF
PRIMA 2528,2538,4028,
PRIMA 4038,4938
Ashok Leyland1612,1613,1618
Hyundai HD Range
PRODUCT PORTFOLIO
13. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Porter’s Five Forces model
PORTER’S FIVE FORCES MODEL
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Competitive
Rivalry
Threat of new
entrants
Bargaining power
of Buyers
Threat Of
Substitutes
Bargaining power
of Suppliers/
Distributors
Threat of new entrants
Low
•Unstable government
•Mostly desert area
•Left hand wheel drive
Competitive Rivalry
•High as similar portfolio competitors
are present in the market
Bargaining power of buyers
•High as a number of products are
available
Bargaining power of distributors
•Very high as only a few distributors
are present
Threat of Substitutes
•Switching cost is low
14. DEPARTMENT-EXPORTS
DISTRIBUTION NETWORK OF AFRICAN AND MIDDLE EAST COUNTRIES
JULY 6,2015
Following are the few recommendations I would like to put forth:
• Online tracking of the CV’s location so that the supply chain is
improved
• Latin American countries should also be taken into
consideration due to huge potential in CV sales
• Signing up with international agencies like OICA for statistical
data will help in getting the details about each and every
country of the world
RECOMMENDATIONS
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SALES OF COMMERCIAL VEHICLES 2014 (Including pickup trucks)OICA
AFRICA-469,103 units LATIN AMERICA- 1,581,383 units
