Marketing

Report on
A Case Study
On EMBRAER executive jets Bangladesh

Principles of Marketing
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Date of submission: 20 November 2012
JAGANNATH UNIVERSITY
Department of Accounting and Information systems
Faculty of Business Studies
Date of Submission : 23 September, 2013
Group Phoenix
Section : A
Session : 2010-2011
BBA 6th batch
Department of AIS
Jagannath University
Prepared For
Mr. Md. Babar
Assistant Professor
Department of Accounting & Information Systems
Prepared By
A Case Study On
(Market Segmentation, Target Marketing & Positioning)

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Details
Group Leader : Dipongkor Paul Serial Name of the Members ID No. 1. Dipongkor Paul 114411 2. Imran Hossain 114489 3. Md. Sumon Ahmed 114493 4. Dibosh Sarkar 114517 5. Tahmina Afrose 114521 6. Sujon Nag 114533 7. Farhana Ahmed 114537 8. Koushik Haldar 114587
Group Name: Phoenix

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23 September, 2013
MD. BABAR
Course Instructor
Department of AIS
Subject: Letter regarding submission of Report on “Market Segmentation, Targeting & Positioning Strategy”
Dear Sir,
We feel immense pleasure in presenting to your good self, the term report on “MARKET SEGMENTATION, TARGETING & POSITIONING STRATEGY” as part of our course requirement. We found this report to be truly challenging in many aspects, indeed very interesting in relation to the various interpretational and engrossing exercises. In this report we have applied our contextual knowledge in real life scenarios. In making the study, we had to take help from the various sources of internet and class lectures of our course teacher. We are grateful to him for extending generous help.
We acknowledge the contributions to our course teacher for the guidance. We have tried to use our academic knowledge on real life case.
We are pleased to be granted this vital opportunity and grateful for your versatile assistance. We hope that our work will please you.
Yours Sincerely,
Dipongkor Paul
Roll: 114411
On behalf of the Group “Phoenix”
Section- A
Department of AIS
Letter of Transmittal

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Conducting an analysis on “Embraer Executive Jets” is a rewarding task that requires both mental stamina and attention to detail. The varied nature of the matters dealt with has entitled references too many sources, starting from books to class lecture and to all of these we gladly acknowledge our ineptness for the ideas and information they have provided.
Now, we are glad to thank our honorable course teacher Md. Babar, whose vast support, advice, encouragement and guidance ensured that this analysis saw the light of day. Whenever we face any kind of obstacle, we went towards him and he never made us upset. We are really thankful to him for his humble attitude toward us.
Last but not the least, our group members who‟s devoted afford make it easy for all of us to accomplish the report within the time at an efficient manner. If they were not being so loyal to their work it would not be possible to systematize a high-quality project like that.
Acknowledgement

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The global business jet industry consists of six principal producers that accounted for nearly all production worldwide during 2006–11. Deliveries of business jets reached an all-time high in days. Beside this, In Bangladesh, day by day, the necessity of the jet craft is growing day by day. Nonetheless, the share of global production and market held by Embraer increasing day by day during the period under examination as the economic downturn cut the profitability of small and medium-sized enterprises, which are leading sealing of business jet aircraft, and created an ongoing investment environment. So that it is clearly mention that Bangladesh will be its potential market.
Executive Summary

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Title Page No.
Letter of Transmittal 4
Acknowledgement 5
Executive Summary 6
Chapter One: Introduction
1.01 Background of the study; 10
1.02 Object of the Study; 10
1.03 Methodology of the study; 11
1.04 Scope of the study; 13
1.05 Limitation of the study; 13
1.06 Literature Review; 14
Chapter Two: Company Profile
2.01 Introduction; 17
2.02 Tradition & background; 18
2.03 Evolution; 19
2.04 Mission of the company; 20
2.05 Vision of the company ; 20
2.06 Products of the company; 21
Chapter Three: Analysis of marketing strategy
3.01 Market Overview; 27
3.02 Market Segments; 28
3.03 Target Markets; 29
3.04 Positioning Strategy; 30
Chapter Four: Findings, Recommendations & Conclusion
4.01 Findings; 35
4.02 Recommendations; 37
4.03 Conclusion; 37
Appendix 38
Reference 43
Table of Contents

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Chapter One
Introduction

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Market segmentation is a marketing strategy that involves dividing a broad target market into subsets of consumers, who have common needs, and then designing and implementing strategies to target their needs and desires using media channels and other touch-points that best allow to reach them.
Market segments allow companies to create product differentiation strategies to target them.
A target market is a group of customers that the business has decided to aim its marketing efforts and ultimately its merchandise towards. A well-defined target market is the first element to a marketing strategy. The marketing mix variables of product, place (distribution), promotion and price are the four elements of a marketing mix strategy that determine the success of a product in the marketplace
Market positioning means identifying and attempting to occupy a market niche for a brand, product or service utilizing traditional marketing placement strategies (i.e. price, promotion, distribution, packaging, and competition).
Positioning is also defined as the way by which the marketers attempt to create a distinct impression in the customer's mind.
This Paper consists of five main sections. Section one consists of Introduction of the base topic on which the paper has been made; Section two consists of Company Profile; Section three consists of Analysis and findings of the case study; Section four consists of

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1.01 Background of the study
As we know this is a research project, we focused on market segmentation, targeting & positioning. Now the question is how? We will focus on the research method. In contrast we will try to adapt any type of method to get into segment of market, target consumer & product positioning in the consumers mind because without satisfying the consumers no company can survive. We have chosen Embraer as our preferred Company. Like how they segment their markets, target customers & set position and put smile on the faces of audience and consumers. This includes how they identify attractive market segments and choose the target marketing strategy and also how they position their products for maximum competitive advantage in the market place.
1.02 Object of the study
As we are working on market segmentation, target marketing and positioning research project, our primary objective is to get in the mind of marketers. We have find out how they are getting something and how they want to get something. Marketers always want to put a smile on their consumer face. They always care about what their consumer think, how they think. We have chosen an airlines company whose main objective is to manufacture jets and sell or rent them. So we have to research about their marketing strategy of segmentation, targeting and positioning.

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1.03 Methodology of the Study
The primary data of this research paper has been collected from the official website of the Embraer Company. The web address has been given in the reference at the end of the Chapter 5. The secondary data has been collected from the websites of the clients of the said company who resides in Bangladesh. Some data has also been collected from different websites that relates to the topic of the case study. A set of survey questionnaire was created for a little survey of data collection. Some examples are:
 How many segmentation of market they have for their product?
 How they target market?
 What kind of customers they target?
1) How many segmentation of market they have for their product?
37%
9%
18%
9%
27%
Market Sementation
Geogrphic
Psychographic
Demographic
Socuo-cultural
Behavioral

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2) How they target market?
3) What kind of customers they target?
25%
75%
Target markets
Differentiated
Concentrated
38%
23%
8%
31%
Types of customers
Airlines Companies
Multinational Companies
Multimillioniars
Rentals

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1.04 Scope of the Study
Thirteen questions were randomly asked to general people two of which were broad. Those broad questions were asked only to know people‟s preferences – What people like and what not. There were total respondents. They were asked about what they like, why they like, how they like and other important things to understand their behavior towards different types of products & services. After knowing about their behavior and preferences it would be a lot easier to make good, creative and effective services. We got the information from the customers whom are habituated to get service from Embraer that most of them like to travel in second class. But the VIP class is for the elite persons. If the persons feel comfort after getting the service from Embraer they will tell about it to the nearest people. So it shows that good service will make people have the service it again and again which may create good word of mouth. Mostly old aged people care about comfortable travelling service, because they care about health. Almost all aged people like this type of comfortable service. But slightly young boys and girls like it more because they care about new technology and are trendy.
1.05 Limitations of the Study
We are using very unfamiliar method thus it has some limitations. It might bring some negative results. People have different taste so people should think rationally. Research work is very much comprehensive. It is an accumulation of both information and creative thinking which requires a great effort and a long sound planning. Because of some unavoidable reasons; we, sometime, faced problem in some portion of the report. But we tried our level best to overcome this.
On top of that our topic was about segmentation, targeting & positioning strategy of a company which is a very comprehensive topic in today‟s world. But studying this topic we found some new concept as well. In this respect there may be some lacking in the report because of our knowledge limitation. There may be some errors and lacking but all these errors are totally unintentional. At the end we are very happy to present this report to the readers and its success will depend on the positive response of the readers.

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1.06 Literature Review
Hudson (2008) summarized the criteria that used usually for segmenting hospitality and tourism markets as: demographic segmentation; psychographic segmentation; geographic segmentation; benefit segmentation; behavior segmentation.
Mintel (2002) went further to add another form of segmentation, i.e. criterion segmentation, and identified two main segments in the „e-travel market segmentation of customers‟ - lookers and bookers.
McCabe (2009) was more focused and pointed to three bases for marketing segmentation which are: Demographic, Behavioral and Psychographic.
The various segmentation criteria reflected the differences between customers and the need to select the right target market.
Armstrong and Kotler (2000) asserted the importance of targeting the right market to fit an organization‟s capabilities.
Hudson (2008-95) strongly supported their point and stated:
“There is no area in the market plan that surpasses the selection of target markets in importance”.
Armstrong and Kotler (2000) pointed to the impossibility of an organization targeting a large market if it suffers from lack of staff abilities to enable the company to serve this large population of customers. There are various assessment criteria which result in successfully targeting a market.
McCabe (2009) stated five characteristics which help marketers to designate the targeted market: attainable; measurable; large enough; defendable; sustainable.
Baineset al. (2008) pointed to another approach to select the appropriate target market which builds on assessing the attractiveness of each of several factors, such as: market growth; segment profitability; segment size; competitive intensity within the segment; the cyclical nature of the industry (i.e. the seasonality of the industry).
Hudson (2008) highlighted different key criteria for the target market: well defined; accessible; identifiable; homogeneous; networking; the same needs and reasons for purchasing the service

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or product. Thus, the previous criteria for the target market can be summarized as: identifiable; measurable; large enough; accessible; attainable; sustainable; defendable; homogeneous (common criteria including common needs to purchase the product); networking; profitable. The decision for adopting the previous characteristics relied on the employed targeting approach in the organization.
Armstrong and Kotler (2000) and Baineset al. (2008) stated three main targeting approaches: undifferentiated marketing (one marketing mix for the whole market); differentiated marketing (various marketing mixes for various market segments); concentrated marketing (one marketing mix for various targeted segments).
The appropriateness of each of these approaches depends on the organization‟s size, financial resources and type of business.
Positioning is the third phase of the STP process.
Baineset al. (2008) & McCabe (2009) clarified how it should work. In this phase, the product will be adjusted according to the results of the marketing research results, followed by creating an image fitting the targeted segments‟ values.
Furthermore, Hudson (2008) pointed to using this phase in achieving sustainable advantage over competitors.
McCabe (2009) and Hudson’s (2008) understanding of positioning was clear in the Phoenix- based case in China which changed its original plan of building four and five-star hotels to building 100 three-star hotels.
There are different ways to achieve a good position in the market.
Tapp (2005) and Combe (2006) pointed to differentiation.
Additionally, Baineset al. (2008) named two ways to position the brand: „functionally‟ and „expressively‟ (symbolically). By „functionally‟ Baineset al. (2008) emphasized the features and benefits. „Expressively‟ reflected various elements: ego, social and the hedonic satisfaction.
Hudson (2008) was more specific and mentioned three steps to achieve a good position in the market: product differentiation prioritizing and selecting the competitive advantage communicating and delivering the position.
Armstrong and Kotler (2000) reorder these steps in strongly recommending identifying the right competitive advantage to differentiate the product.
In brief, a complete STP process should help marketers to achieve better position in the market and attain the right target market

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Chapter Two
Company Profile

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2.01 Introduction
Today, Embraer is the world‟s fourth-largest commercial aircraft manufacturer. Its ERJ 135/145 airframe served as the foundation for the company‟s first business jet, the Legacy 600, which was introduced in 1999. In the past decade, Embraer has developed the Phenom 100 and 300 small-cabin jets, the Legacy 450 and 500 midsize jets and the Lineage 1000 bizliner. The longer-range Legacy 650 was certified last year.
Embraer stands on the proud shoulders of Brazilian aviation pioneers whose work dates back to the early 18th Century and the dawn of powered flight. The father of Brazilian aviation, Alberto Santos-Dumont, is heralded as the first person to make a controlled flight in an engine-powered air vehicle, the Hydrogen Dirigible No. 1, in 1898. He later won the 1901 Deutsch de la Meurthe prize for piloting a dirigible around the Eiffel Tower for half an hour. In 1906, three years after the Wright brothers successfully flew in the United States; Santos-Dumont made his first public flight in a heavier-than-air aircraft known as the 14-bis, in Champs de Bagatelle, on the outskirts of Paris.
Embraer‟s aviation roots are strong and deep. Now the world‟s third largest aircraft manufacturer and a leading force in aerospace technology and innovation, Embraer has delivered more than 5,000 executive, commercial and defense aircraft in its 40+ years which are now operating in over 90 countries.

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2.02 Tradition & background
ONE COULD SAY IT’S THE HAT THAT LAUNCHED A THOUSAND
SHIPS
One hundred years ago, a young Brazilian aviator wowed the people of Paris with the successful flight of his monoplane design. This man was Alberto Santos-Dumont, and the signature Panama hat he wore made him stand out in a crowd. Inspired by Santos-Dumont, Embraer is one of the world‟s leading aircraft manufacturers, a position achieved through the commitment to full customer satisfaction. Throughout its 40-year history, Embraer has been involved in all aspects of aviation. In Addition to design, development, manufacturing, sales and technical support for commercial, agricultural and executive aviation, Embraer also offers integrated solutions for defense and security. It has produced more than 5,000 aircraft that operate in 80 countries on five continents, and it is the market leader for commercial jets with up to 120 seats. Embraer manufactures some of the best executive jets in operation, and is now entering a new level in the defense segment.

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2.03 Evolution
Created on August 19, 1969, Embraer - Empresa Brasileira de Aeronáutica, was a mixed capital company under government control. With the support of the Brazilian Government, the Company would transform science and technology into engineering and industrial capability. In addition to starting the production of the Bandeirante, Embraer was commissioned by the Brazilian Government to manufacture the EMB 326 Xavante, an advanced trainer and ground attack jet, under license of Italian company Aermacchi. Other developments that marked the beginning of Embraer‟s activities were the EMB 400 Urupema high-performance glider and the EMB 200 Ipanema agricultural airplane.
By the end of the 70‟s, the development of new products, such as the EMB 312 Tucano and the EMB 120 Brasilia, followed by the AMX program in cooperation with the company‟s Aeritalia (now Alenia) and Aermacchi, allowed Embraer to reach a new technological and industrial level. The entry into service of the new EMBRAER 170/190 family of commercial aviation in 2004, the confirmation of Embraer‟s definitive presence in the executive aviation market with the launch of new products, as well as the expansion of its operations into the aviation services market, established solid foundations for the future development of the Company.

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2.04 Mission
Embraer‟s business is to generate value for its shareholders by fully satisfying its customers in the global aviation market. By “generate value”, we mean maximizing the Company‟s value and ensuring its perpetuity, acting with integrity and social environmental awareness. The Company concentrates on three business segments and markets: Commercial Aviation, Executive Aviation, and Defense Systems. The values that mold the attitudes and unite actions to ensure the Company‟s perpetuity are:
- Our people; - Our customers; - Company excellence; - Boldness and innovation; - Global presence; - Sustainable future
2.05 Vision
Embraer invests in its global presence. To achieve this goal, Embraer brings together the best technological and financial conditions, in addition to all production, sales, and service resources. The company has operating units in several places around the world. Embraer is a multinational corporation headquartered in Brazil with facilities located in the United States, France, China, Singapore and Portugal. Our global presence includes manufacturing, service centers, customer support, parts distribution centers and sales offices. Embraer Executive Jets is headquarted in Melbourne, FL, USA along with a Phenom assembly line, our global Customer Center and the future home of Embraer Engineering and Technology Center USA. Legacy, Lineage, and additional Phenom manufacturing, along with aircraft design and development and Customer Support Contact Center, are located at the corporate headquarters in São José dos Campos and other locations in Brazil.

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2.06 Products of the Company
Here are some products of the Company-
Embraer Executive Jets: Embraer Phenom 100
General characteristics
 Capacity: 4 passengers standard (6 max)
 Payload: 595 kg (1,312 lb)
 Length: 12.80 m (42 ft 1 in)
 Wingspan: 12.30 m (40 ft 4 in)
 Height: 4.4 m (14 ft 3 in)
 Useful load: 1,535 kg (3,384 lb)
 Max. takeoff weight: 4,750 kg (10,472 lb)
 Power plant: 2 × Pratt & Whitney Canada PW617F-E turbofans, 7.2 kN (1,695 lbf) each
Performance
 Maximum speed: 722 km/h,449 mp/h (390 ktas)
 Range: 2,182 km
 Service ceiling: 12,500 m (41,000 ft)

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Embraer Executive Jets: Embraer Phenom 300
 Capacity: 6 passengers (standard configuration) maximum of 9 incl. 1 in cockpit
 Length: 15.9 m
 Wingspan: 16.2 m
 Height: 5 m
 Max takeoff weight: 7,951 kg
 Power plant: 2 × Pratt & Whitney Canada PW535E turbofans, 14.2 kN (3,200 lbf) thrust
each
Performance
 Maximum speed: 834 km/h
 Range: 3,650 km
 Service ceiling: 13,716 m

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Embraer Executive Jets: Embraer Legacy 450
 Capacity: 7 to 10 passengers
 Length: 19.15 m
 Height: 6.74 m
 Max takeoff weight: 17,690.40 kg
 Fuel capacity: 7,949.34 l
 Power plant: 2 × Honeywell HTF7500E
Performance
 Maximum speed: Mach 0.83
 Range: 4,260 km
 Service ceiling: 14,000 m
 Minimum Take Off Distance: 1,524.00 m

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 Capacity: up to 12 passengers, 8 standard
 Length: 20.52 m
 Height: 6.73 m
 Power plant: 2 × Honeywell HTF7500E Turbofan engines, 29.1 kN (6,500 lbf) thrust
each
Performance
 Range: 5,556 km at Mach 0.78
 Rate of climb: 19.1 m/s

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 Capacity: 13 passengers
 Length: 26.33 m (86 ft 5 in)
 Wingspan: 21.17 m (68 ft 11 in)
 Height: 6.76 m (22 ft 2 in)
 Empty weight: 16,000 kg (30,000 lb)
 Max. takeoff weight: 22,500 kg (49,604 lb)
 Power plant: 2 × Rolls-Royce AE 3007/A1P turbofans, 39,2 kN (8,810 lbs) each
Performance
 Maximum speed: 834 km/h (450 kt, 518 mph)
 Range: 6,060 km (3,250 nm, 3,740 mi)

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Chapter Three
Analysis of Marketing Strategy

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3.01 Market Overview
Now-a-days airlines business is very popular. It considered as a well established sector in the North American market, a growing sector in the European market and a developing but promising sector in Asian market. We believe this could present an opportunity for long-term growth and a potential for increased profitability in Bangladesh.
It is one of the most important parts of modern business for marketing research and analysis. If anyone goes to the whole potential market, it will bring only disaster for the company. We have to select a target segment from the potential market and communicate with them in order to inform them about the service of any particular company. The services Embraer offers are unique and exclusive. So they have to identify the consumer segment that is willing to take these unique and exclusive services and is affordable of experience them.

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3.02 Market Segmentation
Market segmentation is a marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs, and then designing and implementing strategies to target their needs and desires using media channels and other touch-points that best allow to reach them
Geographic Segmentation
Embraer is a Brazilian aircraft manufacturing company. They import their aircrafts directly in Bangladesh and provide those executive jets to multi millionaire consumer as well as different airlines company or group of industries like Square, Uniliver etc.
Demographic Segmentation
In demographic segmentation, they consider those air lines companies which are new entrants as well as well-known in the market. As people from all generation now-a-days are very concerned about the recreation, they usually go to foreign country for entertainment through different aircrafts. So, multi millionaire consumer as well as different airlines company or groups of industries are their target customer.
Socio-Cultural Segmentation
Again they consider one variable, social class. As our aircraft are very expensive because they are luxurious jet so they segment the market for that consumers whose are upper class considering the affordability and consciousness.
Psychographic Segmentation
Since the air transport system is the most expensive way of transportation not everyone is able to afford this service. Therefore, they target multi millionaire who want to avail luxurious service.

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Behavioral Segmentation
There are three variables for “Embraer” like benefits, readiness and attitude toward service. “Embraer” basically segmented for airlines as well as group of industries; as consumers always try to find out the benefits in a service. As “Embraer” provides luxurious quality in relatively low price, it satisfies them better. By the readiness, they segmented as unaware (airlines who are not aware of Embraer aircraft services) and interested (airlines who are interested of Embraer aircraft services). By the attitude toward services, they segmented as enthusiastic (highly satisfied), positive (satisfied or not dissatisfied) and rational (logical airlines who have both satisfaction and dissatisfaction bout the service).
3.03 Target Markets
EMBRAER Executive Jets Bangladesh use two kinds of strategies for target marketing; differentiated and concentrated marketing.
Under differentiated marketing they offer two types of products and services. If they sell 2-3 plane in a year then they consider themselves successful and it is possible in our country if the target customers cannot buy for different reasons then EMBRAER can also offer them rent service.
Under concentrated marketing, EMBRAER target different types of multinational company, rich people in Bangladesh and also public air transportation service provider, Bangladesh Biman.
They usually make a sales team to inform and push the richest people to buy a plane that is benefited for the person also they can earn huge money from the sector. Sales people always influence the people and try to analyze every sector how they maintain and earn huge money by make a presentation slides.

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3.04 Positioning Strategy
Embraer Executive Jets are high-end products. Only multimillionaire persons can effort to buy one of the jets form out product line. Our other services are exclusive and high-end as well.
Our current marketing strategy is based upon our assessment of the worldwide commercial airline market and our assessment of the current and future needs of our customers. We actively market our aircraft to airlines and regional affiliates of major airlines through our regional offices in the United States, Europe and Asia. Our success depends to a significant extent on our ability to discern our customers‟ needs, including needs for customer service and product support, and to fill those needs in a timely and efficient manner while maintaining the high quality of our products. Our market and airline analysts focus on the long-term trends of the market, competitive analysis, product enhancement planning and airline analysis. In terms of direct marketing to our customers, we rely heavily on addressing the media, as well as participating in air shows and other cost-effective events that enhance customer awareness and brand recognition. We have regional sales offices in Le Bourget, France, Ft. Lauderdale, Florida, Beijing, China and Singapore. We sell our ERJ 145 regional jet family in the Chinese market exclusively through our joint venture in China, which has secured 11 orders from Chinese airlines since the beginning of 2004.
Unique selling position
Time is money. Save your time and earn more money. Add value to your life. Take your life and your business to another level.
Looking to continue to grow our business and to increase our profitability, we intend to continue to offer our customers cost-effective, high quality, and reliable aircraft and services. The key elements of our strategy are the following:
Continuing to market commercial aircraft
We are fully committed to continuing to market our ERJ 145 regional jet family and to aggressively market our mid-capacity aircraft, the EMBRAER 170/190 jet family. As of March 31, 2009, we had more than 870 units of the ERJ 145 jet in commercial operation. We

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are currently evidencing increased demand for the ERJ 145 jet family in the secondary market due to its reliability and strong operating benefits. We believe that airlines can continue to benefit from this regional jet family, which we believe has helped our customers over the last ten years to pursue their goal of achieving profitable operations. We believe a significant market opportunity exists for the EMBRAER 170/190 jet family with regional airlines that are expanding their fleet, increasing their penetration into higher density markets and adding longer routes, as well as with major and low-cost airlines that are right-sizing their fleet in order to adjust capacity to meet demand in less dense routes. As of March 31, 2009, we were leaders in the 70-120 seat categories in terms of number of aircraft sold. Additionally, we believe that our commercial aircraft will provide us with significant opportunities to increase our competitiveness by offering our customers a full range of jets in the 30-120 seat categories.
Strengthening Position in the Executive Jet Market
We believe that the executive jet market provides us with significant growth opportunities. We expect to offer products in all categories of the executive jet market, from the entry-level to the ultra large categories. We have developed the Legacy 600, a super midsize, the Phenom 100, an entry-level jet, and the Lineage 1000, an ultra large jet, and are developing the Phenom 300, the Legacy 450 and the Legacy 500, executive jets in the light, mid-light and mid-size categories, respectively. We have endeavored to understand and respond to market and customer needs, continually improving the product and customer support for our executive jets.
Continue to Pursue Market Niche Opportunities in the Defense and Govt. Market
We currently offer products for transportation, training, light-attack, intelligence, surveillance and reconnaissance. Since our products offer multi-mission capabilities at a competitive price and are designed to be operated in any environment at low operating costs, we believe our products meet the needs of governments in countering present threats which are a global concern, such as terrorism, drug dealing and weapon smuggling.
Continuing Focus on Customer Satisfaction and Support
We believe that our focus on customer satisfaction is fundamental to our entrepreneurial success and our business strategy. Providing high quality customer support is a key element of our customer focus and is critical to our ability to maintain long-term relationships with our customers. As the number of our aircraft in operation continues to grow, and our executive aviation business expands, we have further increased our commitment to providing our

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customers with an appropriate level of after-sale support, including technical assistance, pilot and maintenance training and spare parts, as demonstrated by the expansion of our Nashville, Tennessee, maintenance, repair and overhaul, or MRO, facility, and the acquisition of OGMA, an MRO facility in Portugal, which we began operating in March 2005. We intend to continue to focus on providing our customers with high quality customer support by expanding our presence worldwide, both through our own operations and agreements with authorized service centers. In 2007 we created a new business area called Aviation Services. We also started the construction of a service center at Williams Gateway Airport in Mesa, Arizona.
Continue to motivate our employees and improve our production processes and managerial practices.
We are constantly seeking to exceed our customers‟ expectations. In order to achieve that, we must, on a daily basis, continuously try to implement the most efficient production processes and best managerial practices. Because the success of our products and services are ultimately a combination of the contribution of our employees and the production processes we have developed over the years, we recognize that we must continue to motivate our employees and refine our production processes. To that effect, we have implemented, and intend to further develop, corporate programs based on a “lean manufacturing” philosophy, such as the Embraer Entrepreneurial Excellence Program (P3E), that are designed to strengthen our internal culture of excellence and improve the efficiency of our operations.
Looking for business growth and to increase our profitability, our strategy is to continue to offer our customers cost-effective, high quality, reliable aircraft and services. The key elements of our strategy are the following:
Strengthening our Position in the Business Jet Market.
We have developed the Legacy, a line of business jets based on the ERJ 135 regional jet. Since the launch of the Legacy in 2000 and its entry into service in 2002, we have endeavored to understand and respond to market and customer needs, continually improving the product and customer support. The knowledge accrued resulted in significant enhancements while creating the right conditions for us to identify new opportunities in the business aviation market. In May 2005, we expanded our product portfolio to complement the Legacy offering with jets for the very light and light categories. These business jets can provide companies, including fractional ownership companies, individuals and the emerging business of air taxi

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companies a cost-effective and personalized alternative to commercial airline travel.
Increasing Penetration into the Defense Market
We plan to develop and market additional defense products and thereby increase sales in this segment of our business. We intend to increase our participation in the international defense market by actively marketing our existing products initially developed for the Brazilian Air Force, including our EMB 145 Intelligence, Surveillance and Reconnaissance aircraft and the Super Tucano (ALX).
Reviewing Strategic Growth Opportunities and Enhancing Existing Relationships.
We intend to review strategic growth opportunities, which may include joint ventures and acquisitions, and other strategic transactions and enhance our existing relationship and strategic alliance with the European Aerospace and Defense Group. For example, we recently increased our customer service capabilities with the acquisition of OGMA through a consortium led by us with EADS‟ participation.

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Chapter Four
Findings, Recommendations & conclusion

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4.01 Findings
Business structure of EMBRAER Executive Jets Bangladesh:
The business and marketing strategy has been discussed in the previous chapters. The business structure of the Embraer executive jets Bangladesh is given below on the picture-

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Segmentation Strategy of Embraer Key Dimensions Segmentation Variables Logical Breakdowns
Geographic
Specific Location
Dhaka city and major divisions.
Outlets
 Sole distributer (Dhaka)
 Dealer storeroom (Different Airlines Company)
Psychographic
Lifestyle
Luxurious
Demographic
Income
High
Generation
Young and aged people
Socio-cultural
Social Class
Upper class
Behavioral
Benefits
Exclusive service
Readiness
 Unaware
 Interested
Attitude toward service
 Enthusiastic
 Positive
 Rational

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4.02 Recommendations:
1. The company needs to focus on attracting more
customers by introducing new and varieties products
and services.
2. Introduce and develop new & hi-tech jets to maintain
the existing customers as well as attracting new
customers.
3. The company may also start providing maintenance
service or selling spare parts for manufactured jets or for those which are already in
use.
4. The company should extend its size.
5. The company has to provide attractive offers so clients are available to it.
6. It has to up-to-date its current activities on regular basis.
7. Diverse market can be tackled through proper distribution channel.
8. Company should recruit efficient employee. To increase Efficiency, Company should
make arrangement of different training session to its employee.
4.03 Conclusion
In the whole procedure, we wanted to apply our text knowledge in real life in the aspect of company & marketing strategy for market segmentation, targeting & Positioning. As we could analyze any existing company of Bangladesh but due to lack of internal data, we emphasized on a multinational company. How a company uses marketing at the time of introducing new product and select different marketing strategies relative to our topic is discussed in this topic. We describe on the basis of academic knowledge in real life scenarios. This report will help us to market any product in future. As we go through the various source of internet, survey in real life, research deeply on contextual areas, we ensure our report reader and user a real taste of marketing and strategy, a company uses or adopts.

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Appendix
The Sale and Pricing Strategy of the company :
Sales and marketing
Distribution
We will introduce a new virtual tradeshow platform, providing our consumers the opportunity to attend the Embraer Executive jet tradeshow event by logging in from their own computer. These events will consist of online training sessions, online general sessions with key note speakers and online tradeshow booths all designed to educate, motivate and inform consumers about our jets. We will operate reservation call centers to support our airlines community in Dhaka which will allow us to provide flexible and extended hours of operations. We will maintain websites that allow consumers to see our aircrafts.
We will place a significant focus on building strong relationships with our consumer before, during and after their buying for customer engagement and continued loyalty. As part of this focus, we will establish ongoing social media platforms to increase awareness for both repeat and new airlines company and we will emphasize marketing through our loyalty programs. As a result, we should be able to seek our goal
Promotional Activities
Promotional strategy is one of the important things that bring success to an organization. Promotional strategy designed in a way which will encompass the images of the most treasured elements of the product, the fascinations of technologies which will shape the future. In today‟s highly competitive environment, the promotion part of the marketing mix plays a crucial role in helping advertisers stay in touch with prospective customers.

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“Embraer Aircraft” will be on the stage of introduction. The reason behind its on growth stage because we will newly entered in the market. We need the help of electronic media for publicity for our business. By this, Airlines Company will know that what kind of product, we provide.
The promotion mix of Embraer is below:
 Advertising
 Sales promotion
 Direct marketing
 Event sponsorship
 Team selling
Embraer will follow the following promotional strategies to achieve success:
Advertising - The advertising plan of Embraer will be planned in a way that it reaches all the airliners or potential users looking for an aircraft which is excellent in terms of quality. The strategy is developed to reach the target airlines through using radio, newspaper and magazine.
Advertising objectives:
To aware customers:
The main objective of their advertising is to aware customers of Embraer. Though the target market is widely spread, Embraer will inform the target customers about their products.

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To increase sales:
The second objective is to increase their sales because an advertisement helps a lot to increase the sales of any company.
To increase brand preference and loyalty:
Since the target, market is wide, so Company has to build a strong brand image over their competitors. Embraer will have loyal customers but it need to advertisement to increase it. Out of different advertising media like print, radio etc,
Sales Promotion-
Embraer will follow sales promotion as a promotional tool. Sales promotion is generally defined those activities that provide extra incentive to sales force, distributors and the ultimate consumer. Embraer follows both trade promotion and consumer Promotion:
Consumer promotion:
Embraer follows this consumer promotion but not frequently. They provided seasonal price reduction, especially in when the aircraft selling is low. It also they can provide some attractive gifts to their consumer.
Trade Promotion:
Embraer will use incentives promotional tool. In this case they use push strategy. They encourage the distributors to sell more. The activity is like, depending on the amount/number of product the distributor get discount. But in this case the dealer‟s have to sell the targeted amount first and then they will get 5% discount or sometimes-specific amount of money.
Direct marketing-
This direct marketing is only for the big institutional buyers like, defense force of Bangladesh Biman etc. in the direct marketing they provide special offer or discount for these buyers.
Personal selling-
Embraer will go for personal selling as well. They have marketing people who tried to sell Embraer aircrafts to big airlines.

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Event sponsorship-
Event sponsorship is becoming very popular and Embraer aircraft will also use it for publicity. Event sponsorship helps Embraer to establish public relations.
Advertising through electronic media-
The TV advertisement is becoming more popular and it will help the Embraer to reach more closure to consumers. TV is one of the major tools for the mass marketing. It will also help the Embraer to create brand awareness.
Team selling:
We sell Embraer executive jet through working like a team which includes marketing manager, financial analyst, aeronautical engineer etc. We need marketing manager for publicity of our jets, financial analyst for financial survey and aeronautical engineer to support the technical.
Its also we follow below this steps to convince our consumer-
 Prospecting
 Pre-approach
 Approach
 Needs identification
 Presentation
Sales Process
Sales process will be done through
 Direct sales for Jets
 Online Booking for Jet Rent
 Online booking for Flight Scheduling
 Fixed Interval Maintenance might be confirmed through phone or e-mail
Competitors:
Competitor could be Bangladesh Biman and other travel agency in our country. We should reduce price for our customer to travel short time and get discount card if the person

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travel at least 10 times in a year because the person could be our loyal customer and we also can give information in our customer by mobile short message service.
Market research:
First of all we need to collect data from different sources who will travel business purposes and which area and we need to analyses which place is safety for us for price, maintenance and other facilities. While our air plane is small and easily land anywhere that why it is our main idea to capture the market. In our country our biman could not maintain actual time. So we can get the market. Our customer is huge but they could not get benefit from Bangladesh biman so they are not travel by air.
Financial Performance of Embraer:

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Reference:
1. The Economic Times [http://economictimes.indiatimes.com/topic/History-of-aviation-in-
Bangladesh]
2. Embraer Executive Jets[www.embraerexecutivejets.com/]
3. Embraer [http://worldairlinenews.com/tag/embraer/]
4. Principles of Marketing – by Philip Kotler and Gary
Armstrong [Pearson Prentice Hall (tenth edition)]
5. Wikipedia [http://en.wikipedia.org/wiki/Main_Page]
6. Business Jets [http://bjtonline.com/business-jet-news/the-major-
business-airplane-manufacturers-at-a-glance]
End

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