AKIJ FOOD and BEVERAGE

Introduction

One of the leading business conglomerates of the country.

Facing high competition in the market.

Huge product range.

Company Background

AKIJ FOOD and BEVERAGE is a sister concern of Akij Group. 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 asAkij Corporation Limited.

AKIJ FOOD and BEVERAGE

Mission and Vision

To be the market leader in the food and beverage sector, excelling in product quality, social,

technical and marketing

Methodology

SWOT analysis,

PESTEL analysis and

Porter’s 5 forces

Their Main Products:

Mojo

Clemon

Frutika

Speed Energy Drink

Farm Fresh Milk

Cheese Puffs

Spa Mineral Water etc.

SWOT AnalysisStrength:

Quick establishment of brands like MOJO, SPEED, FRUTIKA. Quality of the products. Availability of products through mass distribution around the country. High quality machineries and manufacturing system of AFBL. Unique promotional activities. Attractive packaging in terms of color combination and design. Strong local presence Favorable brand image

Weakness: Less experience in the beverage market in terms of understanding in

timely proper customer need. Some improper promotional activities. Being new in the market AFBL considers a weakness in the entire supply-

chain-management. Lack of brand awareness Lack of consistency in promotional activities

SWOT AnalysisOpportunity:Huge profitability scope in beverage market of Bangladesh

because a sustainable growth of 6% prevails in the market.Opportunity for AFBL products to be exported in the overseas

Asian market.As a local company it will get preference from the Bangladeshi

peopleThreat:Unethical practice of the competitors, for example tax

violation, to reduce the price of the product.Companies like Coca-Cola and Pepsi to be operated as MNCs Any new company introducing unique flavored refreshing

drinks and having huge financial capabilities.Very difficult to maintain the product’s quality.

Porters 5 forces modelCriteria High Moderate Low Reason

Bargaining power of suppliers

     There are enough

competitors in the market

for bargaining

Bargaining power of

Customers

 

   There are some established

company in the market

Threat of new entrants

 

   

 There are so many local

company and some big

company in the market

Threat of substitutes

       The price of the product is

more or less same

Competitive Rivalry between

existing players      Quality of the product and

the price is almost same

Competitor Analysis

Competitors Mojo

International Giants- Coca-Cola, Pepsi

Local Brands- Royal Crown Cola (Partex Beverage) Pran Cola (Pran Foods and Beverage)

Spa Mineral Water

Farm Fresh MilkAftab MilkMilk VitaAarong MilkPran Milk

FrutikaFrutoShezan Mango JuiceSlice

Speed Energy DrinkDark HorseSharkTiger

Cheese PuffsBombay SweetsAl-AminIspahaniLays

ClemonRC LemonPran UpSprite7 UP

Segmenting and Target Market

the process of breaking down a larger target market into smaller, more homogeneous groups

of customers

Demographics

We will make different kinds of product for different family group like medium packet for nuclear

family and jumbo packet for big family

For lower income group people we will make mini packet and for higher income people we will

make medium packet and jumbo packet.

Geographic

as we are using MASS marketing strategy that is why we are going to distribute our product all

over the country

Positioningwell-known brand in Bangladesh

to be a market leader akij’s food and beverage need to concern about these things:

Meaningful to the consumer „

Credible/believable „

Unique to your brand „

Durable over time

create more awareness about our existing product also the new product by

more advertising

Promotional MixPrint-ads (on newspaper and lifestyle

magazines)Billboard adsRadio adsTelevision adsEvent SponsoringTeaser

Financial Analysis

Liquidity Analysis2009 2010 2011 2012 2013

5.62 4.47 4.30 4.23 5.48

2009 2010 2011 2012 20130

1

2

3

4

5

6

Liquidity AnalysisAcid Test Ratio

2009 2010 2011 2012 2013

4.99 3.91 3.97 4.1 4.45

2009 2010 2011 2012 20130

1

2

3

4

5

6

Profitability Performance

Net Profit Margin

2009 2010 2011 2012 2013

1.15 2.23 2.56 2.21 3.17

2009 2010 2011 2012 20130

0.5

1

1.5

2

2.5

3

3.5

Cash EfficiencyCash Cycle

2009 2010 2011 2012 2013

34 days 39 days 31 days 45 days 41days

Conclusion

As the AKIJ food and beverage of AKIJ group is a well know company in

Bangladesh but there are some food and beverage of AKIJ group which

consumer did not know about them. Lack of awareness and proper

advertising make the process is complex. So we have to consider on

improving Akij foods and beverages weakness and try to capture its

opportunities.