MARKETING MANAGEMENT

PEARL CAB TRANSPORTATION SERVICE

Presented By MUHAMMAD UMAIR SAJJAD

Submitted to SIR IMRAN QURESHI

Resources Corporate profile, Yahoo, Reference Books Etc Date 14th May 2008

INTRODUCTION
PEARL CAB Tel : 021 4604465-67 UAN NO. 111-732-732 Newly introduced transportation service (Established In 2007) Head Office is located in Jinnah Terminal Karachi. Collaboration with PAK CAB

SWOT ANALYSIS SITUATION ANALYSIS OF PERAL CAB

It is an acronym for the strengths and weaknesses of the firm and the environmental opportunities and threats facing the firm. Its a fairly easy and basic technique where managers gain a quick overview of the firm's strategic situation. It is based on the notion that an effective strategy derived from a good fit between a firm's internal capabilities (strengths and weaknesses) and its external situation (opportunities and threats)

SWOT Approach
OPPORTUNITIES 1. Major favorable situations 2. Change in competitive or regulatory circumstances 3. Technological changes and improved buyer/supplier relationship WEAKNESSES 1. Limitation of deficiencies in resources, skills, or capabilities that impedes the firm's effective performance. 2. Poor facilities, management skills and financial resources 3. Weak marketing skills and poor brand image 4. Concentration of sales in a few products or to a few customers.

THREATS 1. Major unfavorable situations in a firm's environment representing impediments to the firm's desired position 2. The entrance of new competitors 3. Slow market growth 4. Technological changes and new revised regulations STRENGTHS 1. Strength in resources ,skills or other advantages relative to competitors 2. Strong financial resources 3. Powerful brand image and market leadership 4. Strong buyer-supplier relationship 5. Ability to raise long and short term capital

Marketers capitalize on strengths and address weaknesses. They maximize opportunities and strive to minimize the impact of threats. Understanding the key opportunities and threats facing a firm helps its managers to identify realistic options from which to choose an appropriate strategy and clarify the most effective niche for the firm. SWOT analysis can also be used to assist in strategic analysis. Important external opportunities and threats are compared with internal strengths and weaknesses in an organized approach. The objective is to identify one of four distinct patterns matching the firm's internal and external situation. The SWOT Analysis Figure below explains this situation quite well.

STRENGHTS & OPPORTUNITIES

Attractive BRAND NAME PERAL CAB Introducing attractive packages Educated and organized Human Resource Easily Access able Providing excellence with affordability Accept innovative changes and suggestions

 Coverage all over Karachi and nation wide

WEAKNESS & THREATS

Few cars as compare to others Large competitors available with huge market share Intranet within the organization is not effective No website available All areas not covered like GAWADAR & HUB No insurance and safety provides to their staff and customers

SOME OTHER THREATS

The existence of barriers to entry (patents, rights, etc.) Product differences Brand equity Capital requirements Access to distribution government policies Number of competitors Buyer volume and information availability

B.C.G MARTIX
The BCG matrix helps the company allocate resources and is used as an analytical tool in brand marketing, product management, strategic management, and portfolio analysis

BCG MATRIX INCLUDES 4 ELEMENTS CASH COWS DOGS QUESTION MARKS STAR CASH COWS are units with high market share in a slow-growing industry. These units typically generate cash in excess of the amount of cash needed to maintain the business. They are regarded as staid and boring, in a "mature" market, and every corporation would be thrilled to own as many as possible. They are to be "milked" continuously with as little investment as possible, since such investment would be wasted in an industry with low growth. DOGS, or more charitably called pets, are units with low market share in a mature, slowgrowing industry. These units typically "break even", generating barely enough cash to maintain the business's market share. Though owning a break-even unit provides the social benefit of providing jobs and possible synergies that assist other business units, from an accounting point of view such a unit is worthless, not generating cash for the company. They depress a profitable company's return on assets ratio, used by many investors to judge how well a company is being managed. Dogs, it is thought, should be sold off. QUESTION MARKS (also known as problem child) are growing rapidly and thus consume large amounts of cash, but because they have low market shares they do not generate much cash. The result is a large net cash consumption. A question mark (also known as a "problem child") has the potential to gain market share and become a star, and eventually a cash cow when the market growth slows. If the question mark does not succeed in becoming the market leader, then after perhaps years of cash consumption it will degenerate into a dog when the market growth declines. Question marks must be analyzed carefully in order to determine whether they are worth the investment required to grow market share. STARS are units with a high market share in a fast-growing industry. The hope is that stars become the next cash cows. Sustaining the business unit's market leadership may require extra cash, but this is worthwhile if that's what it takes for the unit to remain a leader. When growth slows, stars become cash cows if they have been able to maintain their category leadership, or they move from brief stardom to dogdom.

PRACTICAL USE OF THE BCG MATRIX

For each product or service, the 'area' of the circle represents the value of its sales. The BCG Matrix thus offers a very useful 'map' of the organization's product (or service) strengths and weaknesses, at least in terms of current profitability, as well as the likely cashflows. The need which prompted this idea was, indeed, that of managing cash-flow. It was reasoned that one of the main indicators of cash generation was relative market share, and one which pointed to cash usage was that of market growth rate. Derivatives can also be used to create a 'product portfolio' analysis of IS services. So IS services can be treated accordingly.

SITUATION ANALYSIS
Situation analysis is a marketing term, and involves evaluating the situation and trends in a particular company's market. Situation analysis is often called the "three c's", which refers to the three major elements that must be studied:

Customers Costs Competition

CUSTOMERS
A customer refers to individuals or households that purchase goods and services generated within the economy. The word historically derives from "custom," meaning "habit"; a customer was someone who frequented a particular shop, who made it a habit to purchase goods there, and with whom the shopkeeper had to maintain a relationship to keep his or her "custom," meaning expected purchases in the future.

COST
In economics, business, and accounting, a cost is the value of money that has been used up to produce something, and hence is not available for use anymore. In business, the cost may be one of acquisition, in which case the amount of money expended to acquire it is counted as cost. In this case, money is the input that is gone in order to acquire the thing. This acquisition cost may be the sum of the cost of production as incurred by the original producer, and further costs of transaction as incurred by the acquirer over and above the price paid to the producer. Usually, the price also includes a mark-up for profit over the cost of production.

COMPETITION
It is the rivalry of two or more parties over something. Competition occurs naturally between living organisms which coexist in the same environment.

MARKETING MIX
The marketing mix is generally accepted as the use and specification of the four Ps describing the strategic position of a product in the marketplace. Although some marketers have added other Ps, such as personnel and packaging, the fundamental of marketing typically identifies the four Ps of the marketing mix as referring to: MARKETTING 4 Ps Product: The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. The scope of a product generally includes supporting elements such as warranties, guarantees, and support. Pricing: This refers to the process of setting a price for a product, including discounts. The price need not be monetary - it can simply be what is exchanged for the product or services, e.g. time, energy, psychology or attention. Promotion: This includes advertising, sales promotion, publicity, and personal selling, and refers to the various methods of promoting the product, brand, or company. Placement: (or distribution): refers to how the product gets to the customer; for example, point of sale placement or retailing. This fourth P has also sometimes been called Place, referring to the channel by which a product or services is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults, families, business people), etc.

MARKETING PLAN
A marketing plan is a written document that details the necessary actions to achieve one or more marketing objectives. It can be for a product or service, a brand, or a product line. It can cover one year (A marketing plan may be part of an overall business plan. Solid marketing strategy is the foundation of a well-written marketing plan. While a marketing plan contains a list of actions, a marketing plan without a sound strategic foundation is of little use.

MARKETING PLAN SUCCESS

A situation analysis is the foundation of the strategic planning process for your marketing plan. It includes an examination of both the internal factors (to identify strengths and weaknesses) and external factors (to identify opportunities and threats). A useful tool in performing a Situation Analysis is what we might call The C's of Marketing. The C's of Marketing help companies focus on key elements that apply directly to marketing. Understanding these principles is essential in developing a successful marketing plan. You can find further assistance with our Marketing Plan Success templates. The 5 C's of Marketing can be summarized as: Company - The product time line, experience in the market, etc. Collaborators (or Partners) - Distributors, suppliers, and alliances. These are any companies that you work with on a day to day basis to help your company run. Customers - This is your market. Ask yourself what benefits they are looking for. What motivates them in the purchase process? Where does the customer actually purchases your product? How the product is purchased (impulse buys, internet, etc)? Understand the quantity a customer will purchase and even trends in consumer tastes. Competitors - Both your actual and potential competitors and those that directly or indirectly compete with you. Understand their products, positioning, market shares, strengths and weaknesses. Climate (or Environment) - These are governmental policies and regulations that affect the market. It is also the economic environment around your company; which is the business cycle, inflation rate, interest rates, and other macroeconomic issues. Society's trends and fashions are found in the "climate." The technological environment is creating new ways of satisfying needs (i.e. using technology to enhance the demand for existing products).

PURPOSE FOR DESIGING PLAN

Who are the customers? What are their key characteristics? What are their needs and wants? What are their special requirements and perceptions? What do they think of the organization and its products or services?

AIMS & OBJECTIVES

Increase Profitability Provide Comfort and convenience Healthy Relationship with customers Avoiding unethical practices

MARKETING SHARE AND FACTORS INVOLVE GROWTH

Market share up to 10 12 percent Introducing packages to their customers Provide member ship cards Promotional Activities Includes (Advertising TV channels, billboards, news papers, vouchers, handouts) The Company is in growth Stage need to spend more in propositional activities.

MARKET SEGMENTATION
GEOGRAPHIC DEMOGRAHIC PSYCHOGRAPHIC

Geographic variables

Density of Area Urban, Semi-urban, Rural. Climate Hot, Cold, Humid, Rainy.

Demographic variables Age Gender Male and Female Family size Family life cycle Income Occupation Language

Psychographic variables Personality Life style Value Attitude

BEHAVIOR FACTORS
Involves customers behavior about the service Customers perception Customer experiences Influence

MARKET NEEDS
Good Healthy customer relationships Attractive packages in less cost Comfort Involve in other activities Follow up CSR (Corporate Social Responsibilities)

SERVICES THEY OFFERED

FROM ANY LOCATOPN IN KARACHI RS. 310 AIR PORT Air port to city Rs. 15/ per kilometer Half Day Rs. 15/ per kilometer Rs. 50/ for calling Rs. 100/ for an hour Keep the Cab TOYOTA COROLLA Xli with CNG 5 hours Rs. 1000/ Full Day TOYOTA COROLLA Xli with CNG 8 hours Rs. 1000/-

KEY TO SUCCESS
Customer satisfaction Provide excellent Quality service Accept positive and Negative Feedback

FOLLOWING ARE THE EXPANCES IN THE STARTING

Transportation cars Including insurance and maintains Hiring Human Resource Technical Supports systems Other Expenses

FACTORS INVOLVE REDUCING COST AND INCREASE PROFITS

 Hire Vehicles as rental bases Offering Membership (Quarterly and Annually basses) (Exciting discounts on events) INVESTMENTS FOR FUTURE BENIFITS Promotional Activities Surveys and public feed back Hire educated members Provide safety and comfort and flexible benefits to their workers Provide safety and healthy entertainment to customers