The Pakistani Construction Chemical Industry Marketing Essay

The Pakistani bodily social bodily structure Chemical Industry trade leavenConstruction Chemicals be the broad range of chemics that atomic number 18 using upd as additives before or after crook stages to enhance the qualification and strong suit of concrete body structures. These range of construction chemical substance substances atomic number 18 further divided into admixtures, barelyt adhesives, water proofing, come treatments, sealants, grouts and anchors, depending on their procedure in various(a) applications of even out and construction.The Pakistani construction chemical intentness despite its troubled scrimping is emergence at a steady rate due to availability of natural resources and construction projects within country and neighboring Afghanistan. Construction chemical intentness is actu on the wholey closely related to construction industry and is very much dependent over it. Many international companies those atomic number 18 considered as p i whiznessers and giants in construction chemicals have developed construction sites in Pakistan to appropriate this geographic segment. Many local companies have besides stepped in this withdraw of business and are adapting international standards in technology and wreakes that has enlarged this industry magnitude but also developed the disputation. Though it is a growing industry in local office yet at the identical time on a littler level it also attracts the maintenance of the niche segment of qualified mountain who know what impart be the ultimate satisfaction that they will puzzle after using much(prenominal) subject of harvest-feasts and exit.Internship in MBA program is very abetful in thought the standards, codes and ethics that are blueprintd in real commercializeplaces. As a merchandising student to gain in habitusation on how companies in this competition adopt marting strategies and focus on the require and wants of the customers to stay contem poraneous and profitable. For this purpose I took internship in marketing discussion section of revolutionary Chemicals, a construction chemicals caller-out whose industry is very dynamic. The follow started its business in 2003 as a licensee of revolutionary Construction Chemicals LLC USA and specializes in importation and manufacturing of construction chemicals Admixtures get hold Treatments, Grouts and Anchors, Water proofing Materials, Industrial Floorings, Concrete Protective Coatings, vocalize Sealants Adhesives.I gained a lot of practical experience working in this company and I am quite confident that this expo undisputable will have a positive impact on given assignments and entrepreneurial activities as a professional in marketing. I did internship for six weeks of bingle week in pay division and rest in marketing segment to have a broad exposure. Working in finance department was much like to get a general estimation about department functions and I was ab le to get interaction with finance department staff and watched their general activities. Higher management corporation and sustain helped very much in gaining the inside view of the organization processes and devising it a good learning experience. During the internship period I met many guests, slew in the marketing field and observed their activities. In this report I have discussed technical terms that are utilize in this industry and conducted SWOT analysis. At the end of this report I have do some conclusions and recommendations for the company. Vision and Mission statements are as followsVision rumorTo be the leader in chemical industry and to serve commercial, residential and industrial construction by utilizing our vast seek, expertise and experience.Mission instructionWe at extremist chemicals are totally committed to developing customer- think ofd, admixtures, draw close treatments, protective coatings concrete repairs, industrial flooring, grouts anchors, adh esives, waterproofing sealants solutions.Our focus is directed toward free burning improvement, superior property and exceptional service.Table of contentsSerial noneTopicPage No.01Overview of the brass instrument8i. Brief register8ii. reputation of the organization9iii. production lines10iv. vane portfolio of the organization11v. Strategies of gradeing used by the organization12vi. List of main clients of UC13vii. List of main competitors of UC1802 organizational structure19i. organizational Hierarchy chart19ii. issue of employees20iii. Introduction of all the departments20iv. Comments on the organizational structure2103 forge of my internship program21i. A brief noticeing entry to passport office21ii. trailting and ending durations of my internship21iii. defecate calling of the departments in which I got training2104Training program22i. Description of activities performed by departments22ii. Description of the tasks assigned tasks2205 social structure of marketi ng plane section25i. part hierarchy25ii. bet of employees in market department26iii. Marketing operations2606 work ons of Marketing Department27i. Segmentation system28ii. crisscross marketing dodge28iii. Product planning, development management28iv. Positioning29v. Pricing strategy30vi. Distribution strategy34vii. Promotional strategy3507 bodily structure of the sales Department36i. Department hierarchy36ii. Number of employees working in sales department36iii. gross sales operations3608Function of Sales Department37i. Sales methodology37ii. showcase of marketing37iii. Sales returns procedures3809Customer Services Department39i. Process of developing relations with customers39ii. Techniques of retaining the customers40iii. Techniques of attracting tenderfound customers40iv. Ways of handling dissimilar kinds of customers4010 fault controling Analysis of UC4211SWOT analysis4412Conclusion4613Recommendations4614References47Overview of the OrganizationBrief history of or ganization ultra Chemicals, LLC. a, USA establish company adopting Market growth and Product Development Strategies formed its subsidiary, extremist Construction Chemicals (PVT) Limited.The company started its operations in Pakistan in 2003. It provide improved woodland construction additives as intimately as technical support to different sites including Commercial, Residential, hold Societies, Underpasses, Flyovers, Dams, Hydro powers, Combined Cycle Power Projects, Bridge Structures, Airports and Canal veneer etc by utilizing research and expertise to serving valued customers throughout its region.Nature of organizationThe Company imports raw veridicals of most of its chemical returns from various countries like, Japan, Korea, Russia, southernmost Africa and America. Admixtures are blended and mixed at extremist chemical affect Unit which is located exactly 4KM, off Ferozpur roadway, LahoreEpoxies in finished form are directly imported from Japan Korea through its pa rent company. These are imported in bulk quantities and re-packed into small tin packs for further selling to the customers.The Company has strong technical team which provides technical serve and supervisions to its customers. The services intromit product applications, Precaution, port life, adept cure time, and final strength of the products and concrete cubes.The business is classified as consumer durables because the nature and use of the products in processes and projects are made so that the projects have extended lives and strong suit in their structures.iii) Product Lines and Brand Portfolio of the organization The company offers a accomplish range of construction chemicals/additives which are used to enhance concrete structure life, workability, quality, and strength. The wide range of construction chemicals products includesConcrete Admixture revolutionary powderize 2000Ultra Super Plast 470UltraGrouts n AnchorsUltra Lock E3-GPSurface TreatmentUltra Curing CompoundI ndustrial FlooringUltra Hard FloorProtective CoatingUltra Tuffcoat-90Water ProofingUltra Seal GreyJoints Sealants etcUltra Poly Urethane SealantStrategies of gradeingBranding schema plays an important exercise in creating a, sign, symbol, and name that differentiates and identifies a product from opposite products. An effective punctuateing strategy provides you a chance to penetrate and increase market shares in a competitive market. Branding is very incident in nature that a company adopts under some actor like product, consumer behavior and company position in competitive environment.The company has adopted Range Brand Strategy. This strategy offers one brand name through a single promise for a range of products be to the same area of competence. Ultra Construction Chemical has only one brand name (Ultra) which is used for all of its range of interrelated products. master(prenominal) ClientsNational Level Project References world(prenominal) Air Port Sialkot.greater Thai Canal.Kachi Canal.Rainee Canal.KCI Chashma.Satpara Dam.Sher Shah Bridge Multan.Mole Power Project Kohat.Head Baloki caloric Power Station.Islamabad Muree Motorway.Lahore to Gujranwala pass Bridges.Pakistan Atomic Energy Commission.Chief diplomatic minister Secretariat Lahore.President House Islamabad.Prime Minister House Islamabad. vacuum tube Cash Carry.Industrial Sector ( cement Industry)Pioneer cement grinder Joharabad. exceed Way Cement Factory Chakwal.Gharibwal Cement Factory Find Dadan Khan.Saadi Cement Factory Hattar.Mustehkum Cement Factory Hattar.Fauji Cement Factory Fatah Jhang.Thatta Cement Factory Sindh.Lucky Cement Factory Karachi.Pakistan Cement Factory Chakwal.DG Cement Factory D.G Khan. welt, Textile Industries Etc.East Pakistan Chroome Tainery Shaikhupura.Universal Leather Kahna Lahore.Yusaf Tainery Sahiwal.Dada Tainery Ferozpur Road Lahore.Sapphire Finishing Raiwind Lahore.Nishat Mills Defence Road Lahore.Nishat Chunian.Five Star International Faisalabad.Mana kine Textile Rohi Nala Lahore.Ehsan Sons RaiwindMaster Textiles RaiwindKoh-e-Noor Textile Raiwind Mange Road Lahore.Mayfair Textile RaiwindAzgard-9 Raiwind.Akash Textile Faisalabad.Sonex Tiles Industry Kamokey.Mater Tiles Gujranwala.Bata Pakistan.Nestle Pakistan Kbirwala Sheikhupura.Pak Arab fertilizerFatima Fertilizer Rahim Yaar Khan.Angro Fertilizer Ghotki.Ghani Glass Industries.Honda Car Factory Multan Road Lahore.Honda Motorcycle Sheikhupura Raod Lahore.LG Factory Sunder Industrial Estate Lahore.Faisal Asad Textile Layyah.coca put skunk LahorePepsi Cola Lahore.Sunder Industrial Estate Lahore.Clariant Pakistan Jamshoro.Millat Tractors Sheikhupura Road Lahore.KSB Pumps.Doctor in flyingary Lahore.Adil Hospital Defence Lahore. formed IndustriesIzhar Group of Companies.Izhar Pvt. Ltd.Gondal Precast Gujrat.Imam CoJamal Precast Rawalpindi.Saeed Precast Kohat.Rana Concrete Lahore.Junaid Pool programt.Potential EngineersC-Mix Concrete Lahorepharmaceutic IndustriesAmeer drug company Shaikhupura Road.Sharooq Pharma Ferozpur Road Lahore.Shahzaib Pharma Haripur.Pharmajin Ferozpur Road.Gyton Pharma Raiwind Road.Glaxo smith Kot Lakhpat.Selmore Pharma Multan Road Lahore.International Pharma Defence Road Lahore.Zakfas Pharma Multan.Mass Pharma RaiwindEthical Lab Thokar Niaz Baig Lahore.Mac Rains Pharma Raiwind Road.shop Centers, Housing SectorsPace Pakistan Pvt. Ltd.Rabi Centre Lahore.Ahad Tower LahoreAH Tower M.M. Alam Road Lahore.Pak Gulf-7 Star Islamabad.Sethi Motors Model Town More Lahore.Essem Hotel Islamabad.Emmar Housing Project Islamabad.Defence Housing Authority Lahore.Eden Developers/Housing.Bahria Town Lahore Rawalpindi.EME Society DHA Multan Road Lahore.City crop System.Beacon House Schools System.Salamat School System.Laccas School System.Punjab Group of Colleges.Askari Villas Airport Lahore.Aero DevelopersMubarak Sales Center Lahore.Al-Gugair Giga Tower Karachi.Rehman Hospital Ferozpur Road Lahore.Thokhar Niaz Baig Fly Over Lahore. Moslem Tower Under Pass Lahore.Royal Palm Golf confederacy Lahore.Warid , U Fone,Telenor Towers.Main competitorsList of major competitors is appended belowSIKA InternationalBASF PakistanFOS-Pak Construction Chemical (Pvt) LtdABE- Construction Chemical (Pvt) LtdImporient Construction Chemicals (Pvt) LtdZohebia Construction (Pvt) LtdOrganizational StructureThe organizational structure of Ultra Chemicals has functional departmentalization structure with centralise decision making.i) Organizational Hierarchy chartii) Number of employeesThe total amount of employees working in Ultra Construction Chemicals offices ( go office branch offices) and in factory are 120iii) Introduction of all departments.Human mental imagery DepartmentHuman resource department of Ultra construction chemical dealing with matters of employees like, training, hiring, labor relations and benefits. Human resource management also plays an important role to make employee labor force well-organized as well as maintaining employee database.finance DepartmentEvery organization plays an important role to meet the need of all of its stake holders. This is true in the finance sector. Ultra construction chemical has a strong finance department which plays a broad range of roles to under take inside and away of its business. The finance department of Ultra construction chemicals handles all traditional responsibilities and finance matter such as finance accounting, payroll management, recoveries, estimating and handling bullion in hand and outflow, record keeping and managing liquidity.Marketing DepartmentIt is the major responsibility of marketing department of Planning and coordination of all marketing activities. Ultra construction chemicals marketing department works to promote their products at just scathe in the market. The marketing department of Ultra construction chemicals is also responsible of generating new inquiries, through tender opening, news papers, building consultants, contractors and media. underdeveloped long term relation with exiting as well as new customers.Sales DepartmentThe sales department of Ultra construction chemical is responsible for the sales of the companys manufactured products and services. Payment collection, after sales services, logistic, overbearing and assessing sales force activities is also duty of Ultra Chemicals sales department.Comments on the organizational structure Ultra Construction chemical has departmentalization decision making structure. It includes wide span of control with central decision making approach. This type of decision making strategy is good for company products, services and business.fa3. Plan of internship programi) Brief introduction of head officeUltra Chemicals head office is situated in 26 CC-2 Civic Centre, Central Plaza, in the altogether Garden Town Lahore, where I conducted my internship. It is floor which is divided into four departments that include finance, marketing, sales and human resource departments.i i) Starting and ending dates of InternshipStaring date of my internship is June 01, 2010 and ending date is July 13, 2010.iii) Names of the departments in which I got my trainingFinance DepartmentI got training in Finance department for one week starting from June 01, 2010 to June 08, 2010 and learned voucher entries, book keeping, journal entries.Sales Marketing DepartmentsFrom June 09, 2010 till the completion of my internship. During this tenure, I learned / performed the following Companies Marketing policiesMarket Analysis Prepared Marketing PlanPromoting Companys productsUnderstanding customers needs requirements4) Training programInternship Training program started on June 01, 2010 and ended on July 07, 2010i) Detailed Description of the operations performed by the departmenta) Finance departmentActivities of this department are recovery of coin from clients and agencies, preparation of budget, payroll management, account maintaining and keeping records.b) Marketing depar tmentThis department is responsible for conducting marketing research, ad and promotion, devise a marketing plan, manage product portfolio. In entree to these activities this department focuses on customer needs, develop and communicate with customers, develop plans that would help in gaining a competitive edge in competition.Detailed commentary of assigned tasks Separate localise and separate responsibility is assigned to sales representative. I had to meet 0.6 Million Sales indicate during my Internshipmeeting with principal civil engineer (M. Israr Farrooqi) , discussion regarding epoxy resin sacreeding (used in hygienic chemical resistant floor in food departments, hospitals lobby, beverages, food processing install, pharmaceuticals outturn plant, cold storage ) and self leveling in new food grain plan building realize to Head of construction, Mr Khwaja Tasueef at Metro cash carry Thokar Niaz Baig Lahore for water steel structure water proofing with(epoxy primer, int ra seal sprain= broad(prenominal) elongation coating pasting of polyester fiber,c) Visit to Sapphire power plant MuridkeMet Mr. Rana Khaliq ur Zaman Arif and discussion regarding grouting of diesel tank pipes with some postgraduate strength epoxy material. And surface treatment of water unloading transport of acids like (caustic soda, HCL, H2so4 (sulphuric acid) and water proofing of underground storage tanksd) Visit to Nishat Mills LtdIts head office is situated at 7 Main gulberg, Lahore. I had a detailed discussion with Mr. Khurram Procurement Manager regarding all construction products peculiarly focused on related jobs like grouting of power looms machines foundation.e) Visit to Coca Cola concentrated plantIt is situated 1 N Gulberg industrial area Lahore. A brief discussion with Raza Ali maintenance manager regarding epoxy sacreeding and self leveling of floor (hygienic coating) for hygienic conditions such as non bacterial growth.f) Visit to Descon Engineering LimitedThe head office is located at Ferozpur road Lahore. A detailed discussion with Mr. Rafiq (Project Buyer) regarding treatment of expansion joints Ultra Safe Lastic-V (sealant for vertical surface) for Mangla dam Projects and Satpara Dam Project for rebarring of concrete structures.g) Visit to Dawood Hercules Sheikhupura raod lahoreThe corporate Head office 35-A, Shahrah-e-Abdul Hameed Bin Baadees (Empress Road), Lahore 54000, Pakistan. I have conducted a meeting with Mr. Rasheed (chief civil) regarding workshop floors treatments with some epoxy utmost strength materials and surface treatment of cooling tower basin with some cement materials and polymer added mortar.5) Structure of the Marketing DepartmentMarketing department has a traditional structure with decentralized decision making and narrow span of control.i) Department hierarchyii) Number of employees working in the Marketing department in that respect are ten employees working in marketing department of Lahore head office.iii) Marketing OperationsMarketing department of Ultra Chemicals performs various activities to enhance the position of brand and products. Performing activities to measure marketing and planning, advertising budgets, project work and promotional campaign results while systematically up effectiveness and efficiency. have market reports later completion of each project the marketing department makes reports and analysis of the completed projects.To make budgetsIt is a planned activity that allocates revenues and expenses that are needed to carry out various marketing activities. It also covers determine decisions specific to clients, rewarding employees with bonuses and also to make product range more innovative.Brand ManagementBrand image is positioned so that the perceived value to the customer would increase brand equity by continuously improving the band contract .PricingPricing objectives and strategies are qualifyd, in enjoin to have optimal pricing. Terms and conditions of pric ing are also established.6) Functions of the Marketing DepartmentTo Conduct market researchMarket researchers conduct the research, spring up reports and present to marketing director.Promotion and AdvertisingTo expand customer base and find new customers are key as scars to any firm peculiarly in this challenging industry. Advertising and promotion strategies are used to find and attract new customers. For this purpose Ultra Chemicals launched many campaigns to increase their brand awareness by effective advertising and promotions systems.Prepare Marketing PlanMarketing plan is prepared at the start of the year, targets are set to achieve and strategies are adopted to achieve these goals. Based on market research and analysis a plan is prepared and managers make sure that objectives are carried out without delays.Segmentation strategySegmentation strategy depends on the market potential and the ability to satisfy the customer needs. For this reports from market research process a re consulted.Segmentation strategy used by Ultra Chemicals is1) Geographic SegmentationGeographic segmentation is the dividing of the target market in various segments depending on the customers usage and demands for those products. Clients of Ultra Chemicals are from various cities, and construction sites within Pakistan that require the products produced.2) Behavioral SegmentationBehavioral segmentation is the dividing of the target market in segments according to potential buyers of products and their knowledge, usage and mental attitude towards that product.Products of Ultra Chemicals are used by such people and professionals who are inner and understand the brand promise that it offers, because they are looking for quality and military strength.ii) Target marketing strategyMarket research process also define the target market that helps in identifying those market segments that are potential clients and agencies that utilizes the products services produced by a company. Rig ht identification of the target market helps in saving time and monetary costs. Target market primarily includes those customers, regions and all those projects that are related with construction industry. The nature of this industry requires a market that is composed of knowledgeable and technical people who know what value and promises this brand offers. Though it is a growing industry in local perspective yet at the same time on a smaller level it can depends and target the niche segment of qualified people who know what will be the ultimate satisfaction that they will receive after using these products. On a larger scale Ultra Chemicals targets large scale projects.After identification and selection of target market, strategies used by Ultra Chemicals are product and market specialisation with full market coverage that span over whole country. Product specialization is used because the company has the potential to customize the products according to the need of their client age ncies, and market specialization is used because the company offers this target market a variety of its products for usage.iii) Product planning, development managementProduct PlanningAfter market research and careful analysis of market opportunities and assessing the needs of the customers, product planning process is started which aims at answering questions like which new product should be introduced or are there any modifications that can be made in the current product portfolio. What will be the process of after sales service and at what time the product should be introduced in the market. However basic product planning starts with idea times many internal sources like customers, suppliers etc are consulted. When data is gathered from various sources is gathered, further screening and short-list is made and more feasible ideas is selected.Product DevelopmentUltra Chemicals manufacture their products in their production plant which is situated at Defence Road Rohi Nala, Opp Ka cha Tiba Village, Industrial State Lahore.Basic raw materials are imported from various countries and under the supervision of qualified team of plant managers, supervisors and chemical analysts products are manufactured according to ASTM (American Standard riddleing Method) which is an international standard developed by American society for testing materials.Product managementWhen new product is developed then it is managed by commercialization which deals with the timing of the launch of the new product, also where and when to launch the product. After that test marketing is carried out where the product is tested in real market conniption. Ultra Chemicals uses the push strategy and send out notifications, samples and promotional material to their regular clients and make the characteristics of the product known and managed through a dialogue network of professionals and customer service. All products of Ultra Chemicals are leveraged under its alone(p) brand name.iv) Position ingPositioning is what we do to the mind of our customers it should be through with(p) carefully because it is the foundation on which other marketing decisions are built. both change in the stead can result in scathe fluctuations.Since the launch of Ultra Chemicals in 2003, the company has done effective promotional campaigns and developed a large customer base. They were successful in telescope the perception of a company that offers a wide range of full(prenominal) quality to meet the need of customers by enhancing the safety, durability and design of construction. These activities resulted in good brand military position and the perception of their products carry values of strength, reliability, durability and adaptability. Customers know that the brand fulfill its set of promises. There may be multiple positioning strategies based on the target market segment, but based on the nature of industry and business Ultra Chemicals positioning strategy is universal for all its s egments i.e. to deliver strength, durability, and life of the projects.v) Pricing strategyPricing is the very important factor in the product mix. In positioning of the company products pricing can affect companys image and attitude of the customers. It is very strategic in nature and require careful planning. court-ordered injury fluctuations can result due to a change in the positioning of the company. A firm operates in an environment that is composed of factors like competitors and legal systems such as hurt controls to prevent pricing too high or too low. A firm should also consider that setting a price too low can lead to price war among competitors. There are various pricing objectives that a firm take aftersTo maximize profit join on revenueIncrease sellingIncrease profit marginUse pricing to signal high qualityOnly meeting costs to stay in marketAvoiding price warsBased on desired objectives a firm can pursue various pricing strategies likeCost plus pricing agio pricing Psychological pricingTarget base pricingIt is in the main accepted that the price should not be lower than the costs associated in conducting activities.Ultra Chemicals pricing objectives are to increase profit margin and use price to signal high quality. There strategy is based on psychological and premium pricing strategies. Psychological pricing is used because the brand is already positioned in customer mind as having value disposed of strength, durability and reliability that gives mental satisfaction with not much slant on budget.Customers take price as a sign of quality. subsidy or value based pricing is also used based on the value that it has created for customer. Customers are priced according to the performance of products and technical expertise provided by the company. This pricing is very profitable for Ultra Chemicals and a high profit margin is set on it.As general practice prices are quoted to customers with thirty days validity that is subjected to change due to circumstances. There are factors that affect the pricing mechanism of Ultra Chemicals. Any ch