Square Consumer Products Ltd.

Consumer Product
A consumer product is generally any tangible personal property for sale and that
is used for personal, family, or household for non-business purposes. The
determination whether a good is a consumer product requires a factual finding,
on a case-by-case basis. This basis will vary from one jurisdiction to another.

The consumer products industry is comprised of a variety of products, such as

toiletries and cosmetics, small appliances, consumer durables, consumer
electronics, and other household items. This industry has seen steady growth
since the Industrial Revolution, and with the rising markets of Russia, China, and
India starting to demand more commodities, this growth is expected to continue
into the future.

Consumer Products Industry

Consumer Products include goods and services that are bought for personal and
household use such as food and clothing that are intended for direct use or
consumption. Consumer goods are classified as durables and non-durables. Fast
Moving Consumer Goods (FMCG) is a term used to describe frequently purchased
consumer goods. These products produce high levels of sales within a short
period of time, such as soap powder, CDs, cigarettes and toiletries. Your core
consumers will see the brand names of FMCG every time they open their
refrigerator doors or go to their pantries.

Consumer packaged goods (CPG) are consumable goods such as food and
beverages, footwear and apparel, tobacco and cleaning products which are
classified as non-durable goods. CPG are things that get used up and must be
replaced frequently, as opposed to durable items that people keep for a long
time, such as cars and furniture.

Pressure continues to mount in the consumer goods industry daily. A good

example of this is the apparel segment industry. The apparel manufacturers face
unpredictable fashion trends, short lifecycles, and large numbers of size, color
and style variations and long procurement lead times, all of which make it
difficult to forecast demand. The result of this is being out-of-stock of popular
items and excess stock of slow movers.

Historically the CPG industry has been slow to invest in new technology, it is
increasingly turning to computerized Web-based applications for customer
relationship management (CRM), supply chain management (SCM) and
enterprise resource planning (ERP). Today, many of the successful consumer
goods companies are separating themselves from the rest by adopting supply
chain technologies to cut costs and grow profits to deal with marketplace
challenges. A technology solution has provided the foundation for overcoming
the many challenges that these consumer goods manufacturers face.
2
1
Square Consumer Products Ltd.

Square Consumer Products Ltd.

Company Profile
Square Consumer Products Limited has started its journey in 2001 as a member
of Square Group, the leading corporate house in Bangladesh. Within a short span
of time, it has been able to create a strong foothold in the market through its
quality products and customer services. For its obsession with quality
management, the company had obtained the international quality standard ISO
9001 in 2005. Strong commitment to quality, adoption of advanced technology,
stress on human resource development, focus on continuous improvement and
introduction of new products for the growing markets has given the company a
decisive position in the industry. Recently the company achieved ISO 22000 for
its food safety management system.

Square Consumer Products Limited has introduced three popular brands in the
market namely Radhuni, Ruchi and Chashi. Radhuni is the flagship brand of the
company. Just after its introduction, Radhuni drew the attention of housewives
who demanded convenience and time saving cooking. The product range of
Radhuni is enriched with basic spices, mixed spices, cereals & pulses based
products, edible oil and dairy. On the other hand, Ruchi is providing ready-to-eat
snacks like Chanachur, Fried Dal, Banana Chips, Jhuribhaja, Peanut, Chutney,
Pickles and Honey. Ruchi has won the heart of the youngsters for its healthy,
tasty & innovative ground breaking products.

The new brand of the company, Chashi is the landmark of those products which
are collected directly from the farmers having the indigenous essence and
freshness.

The company assures to meet the increasing demand for quality products both
at home and abroad. The products with international standards are being
exported to more than 22 countries. Dedication to quality, innovative products,
customer service and reasonable price has given the company a unique position
in the food market.
2
1
Square Consumer Products Ltd.

Mission Statement
We want to be the world-class food products manufacturer in Bangladesh by
ensuring intrinsic quality products and customer services with state-of-the-art
technology and motivated employees.

Objectives

 To continue to provide the very best of what the consumer wants

 To explore new segments of market and to cater to it

 To continue to assure intrinsic quality of hygienic food products

 To enhance consumers' standard of food habit

 To ensure that the products are available at consumers' doorsteps

 To enhance the strength and skill of the organization that will contribute to
company's increasing growth both in domestic and global markets

Company Position
Square Consumer Products Limited has accomplished a number of noteworthy
feats since its journey began. These are listed below:

Year 2001:
 Square Consumer Products Limited introduced Radhuni and Ruchi in
July, 2001 in the market.
 Products at the time of launching were Chilli Powder, Turmeric
Powder, Coriander Powder and Ruchi Chanachur (Regular).

Year 2002:
Square Consumer Products Limited started exporting to South
Korea.

Year 2005:
 The company obtained ISO 9001:2000 certifications for its Quality
Management System.
 SME Award 2005 for Best Medium / Corporate Management.

Year 2009:
Square Consumer Products Limited introduced its third brand
Chashi in July.
2
1
Square Consumer Products Ltd.

Year 2010:
The company obtained ISO 22000 certification for its food safety
management systems requirement for organization in the food
chain.

Quality Assurance
As a market leader and a member of the prestigious Square Group, Square
Consumer Products Limited always delivers quality products for its customers.
The company cares for its consumers and keeps its promise by accumulating the
finest ingredients. It maintains consistent quality of the products and keeps
updating the latest technology.

Finest Ingredients
When it comes to cooking, ingredients are the first priority. Tasty and healthy
food can never be made from inferior ingredients. Using quality products like
spices and edible oil easily makes good cooking much easier. Square Consumer
Products Limited takes special care in selecting the raw materials. The company
strictly maintains superiority in procuring raw materials by collecting them from
those locations where the best quality raw materials are harvested. Thus it
contributes to the purity and authenticity of final products.

Technology
Spices have a long and ancient history, especially in our subcontinent, where
they are a part of life and heritage. But with change of time the spices
processing technology has also been changed. Square Consumer Products Ltd.
provides consumers those spices which are made from the choicest raw
materials maintaining the highest processing standards. The company uses the
state of the art technology for production process. The low temperature Grinding
technology guarantees all essential volatile oil intact along with appropriate
pulverization. The manufacturing plant of the company has a hi-tech laboratory
where the quality check is accomplished. The company uses fully automated
packaging system which ensures zero exposure to external hazard.

Manufacturing Unit
The manufacturing unit of Square Consumer Products Limited is located at
Pabna, the northern part of Bangladesh, which is prominent for agricultural
products and thus it is convenient to source specific variety of raw materials.
This gives the company the opportunity to produce food items from the best
quality raw materials. Square Consumer Products Limited's manufacturing units
are environment friendly and are equipped with modern machineries. Technical
capabilities in processing, post-harvest handling, maintaining Good
Manufacturing Practice (GMP) and modern grinding technology have given
Square Consumer Products Limited strong competitive edge in the industry.

Quality Certification
Due to the excellent quality management system Square Consumer Products
Limited obtained ISO 9001 in 2005. Moreover, the company has obtained ISO
22000 for its food safety management system. Strong commitment to quality,
2
1
Square Consumer Products Ltd.

adoption of advanced technology, stress on human resource development, focus

on continuous improvement and introduction of new products for the growing
markets has given the company a decisive position in the industry.

Square Consumer Products Limited strives to manufacture and pack all the
products following the requirements of CODEX, HACCP and FDA in order to meet
the requirement of the customers of home and abroad. The special areas of
concern of the company are:

 Focus on customer
 Leadership ability of the human resources
 Involvement of people
 Process approach
 System approach to management
 Continual improvement
 Factual approach to decision making
 Mutually beneficial supplier relationships

Major Players of This Industry

In Bangladesh some major players of this industry are-

 Square Consumer Products Ltd.

 ACI Consumer Products Ltd.
 Pran RFL Group
 Abul Khair Consumer Products Ltd.
 Aftab Consumer Products Ltd.
 Partex Consumer Products Ltd.

2
1
Square Consumer Products Ltd.

External Environment
The external environment in which an organization operates presents both
threats and opportunities. Growth or decline in international trade, national
protectionism and regional trading blocs are some examples of the political and
economic environment, which have considerable impact on the marketing of the
maritime industry.

There are different ways of classifying the types of external environment that
usually just reflect the preferences of different authors, but there are some core
types which are always identified.

External Environment Factors

External environment consist of six major components. They are
1. Global
2. Demographic
3. Economic
4. Political
5. Socio-Cultural
6. Technological

Figure: Components of External Environment

2
1
Square Consumer Products Ltd.

Global Factors

Global factors are basically Customer driven, goal oriented business activities.
Achieving sustainable, profitable growth, designed to increase restaurant visits
and grow brand loyalty among new & existing customers, further build financial
strengths are the main moto of global factors. International developments that
can impact a business for Rise of China as economic power, Rising global trade
and WTO, Intellectual property protection, Important political events: Iraq war,
Search for low cost suppliers.

Demographic Factors

Demographic factors consist with Gender Age, Income levels, Ethnicity, Race,
Geographic place of residence Family size and composition, Education,
Employment status, Birth rates, Life expectancies. Demographic factors are very
important for business nationally as well as globally.

Political factors

Political factors include areas such as tax policy, labor law, environmental law,
trade restrictions, tariffs, and political stability. Political factors may also include
goods and services which the government wants to provide or be provided and
those that the government does not want to be provided. Furthermore,
governments have great influence on the health, education, and infrastructure of
a nation.

Economic factors

Economic factors include economic growth, interest rates, exchange rates and
the inflation rate. These factors have major impacts on how businesses operate
and make decisions. For example, interest rates affect a firm's cost of capital and
therefore to what extent a business grows and expands. Exchange rates affect
the costs of exporting goods and the supply and price of imported goods in an
economy.

Social factors
2
1
Square Consumer Products Ltd.

Social factors include the cultural aspects and include health consciousness,
population growth rate, age distribution, career attitudes and emphasis on
safety. Trends in social factors affect the demand for a company's products and
how that company operates. For example, an ageing population may imply a
smaller and less-willing workforce (thus increasing the cost of labor).
Furthermore, companies may change various management strategies to adapt to
these social trends (such as recruiting older workers).

Technological factors

Technological factors include ecological and environmental aspects, such as R&D

activity, automation, technology incentives and the rate of technological change.
They can determine barriers to entry, minimum efficient production level and
influence outsourcing decisions. Furthermore, technological shifts can affect
costs, quality, and lead to innovation.

Legal factors

Legal factors include discrimination law, consumer law, antitrust law,

employment law, and health and safety law. These factors can affect how a
company operates, its costs, and the demand for its products.

External Environment Factors for Square Consumer Goods

Global Factors

In Bangladesh Square consumer products ltd. is enjoying some benefits of non

barrier from Bangladesh government. One the other hand for globalization the
market become very competitive and also expands in broad range.

Demographic Factors

In Bangladesh as a Muslim country it is easy for them to introduce foods or foods

as segment wise. The growth rate of Bangladeshi population is very high and it is
also huge populated country. That’s why they are getting benefit from this side.

Political factors
2
1
Square Consumer Products Ltd.

There are some threats from political instability in Bangladesh. Sometimes strike
can make the business harder for the company. But the government is very
liberal for export oriented company. It can add some incentive for Square
Consumer Products ltd.

Social factors

Square Consumer Products ltd. has the modern technology that can ensure the
consumer health and they also can ensure the product quality for the customer.
As a result it can create a better impact for the company.

Technological factors

Square Consumer Products ltd. has powerful R&D department. It can introduce
people the new and innovative product that consumers actually prefer for.
Besides that, they also have the modern technology implementation in their
business field.

Legal factors

Square Consumer Products ltd. follows the all labor laws and other government
issues in terms of their business. They also ensure the environmental safety and
health care issues.

Porter Five Forces Model

In conducting an external environmental scan, the farm business manager also
must assess various industry forces. Michael Porter, an authority on competitive
strategy, contends that there are five forces that should be accounted for in
conducting an industry analysis.

The five forces

The threat of the entry of new competitors

2
1
Square Consumer Products Ltd.

Profitable markets that yield high returns will attract new firms. This results in
many new entrants, which eventually will decrease profitability for all firms in the
industry. Unless the entry of new firms can be blocked by incumbents, the
abnormal profit rate will tend towards zero (perfect competition).

 The existence of barriers to entry (patents, rights, etc.) The most

attractive segment is one in which entry barriers are high and exit barriers
are low. Few new firms can enter and non-performing firms can exit easily.
 Economies of product differences
 Brand equity
 Switching costs or sunk costs
 Capital requirements
 Access to distribution
 Customer loyalty to established brands
 Absolute cost
 Industry profitability; the more profitable the industry the more attractive
it will be to new competitors

The threat of substitute products or services

The existence of products outside of the realm of the common product

boundaries increases the propensity of customers to switch to alternatives:

 Buyer propensity to substitute

 Relative price performance of substitute
 Buyer switching costs
 Perceived level of product differentiation
 Number of substitute products available in the market
 Ease of substitution. Information-based products are more prone to
substitution, as online product can easily replace material product.
 Substandard product
 Quality depreciation

The bargaining power of customers (buyers)

2
1
Square Consumer Products Ltd.

The bargaining power of customers is also described as the market of outputs:

the ability of customers to put the firm under pressure, which also affects the
customer's sensitivity to price changes.

 Buyer concentration to firm concentration ratio

 Degree of dependency upon existing channels of distribution
 Bargaining leverage, particularly in industries with high fixed costs
 Buyer volume
 Buyer switching costs relative to firm switching costs
 Buyer information availability
 Ability to backward integrate
 Availability of existing substitute products
 Buyer price sensitivity
 Differential advantage (uniqueness) of industry products
 RFM Analysis

The bargaining power of suppliers

The bargaining powers of suppliers are also described as the market of inputs.
Suppliers of raw materials, components, labor, and services (such as expertise)
to the firm can be a source of power over the firm, when there are few
substitutes. Suppliers may refuse to work with the firm, or, e.g., charge
excessively high prices for unique resources.

 Supplier switching costs relative to firm switching costs

 Degree of differentiation of inputs
 Impact of inputs on cost or differentiation
 Presence of substitute inputs
 Strength of distribution channel
 Supplier concentration to firm concentration ratio
 Employee solidarity (e.g. labor unions)
 Supplier competition - ability to forward vertically integrate and cut out
the BUYER

The intensity of competitive rivalry

2
1
Square Consumer Products Ltd.

For most industries, the intensity of competitive rivalry is the major determinant
of the competitiveness of the industry.

 Sustainable competitive advantage through innovation

 Level of advertising expense
 Powerful competitive strategy
 The visibility of proprietary items on the Web used by a company which
can intensify competitive pressures on their rivals.

How will competition react to a certain behavior by another firm? Competitive

rivalry is likely to be based on dimensions such as price, quality, and innovation.
Technological advances protect companies from competition. This applies to
products and services. Companies that are successful with introducing new
technology are able to charge higher prices and achieve higher profits, until
competitors imitate them. Examples of recent technology advantage in have
been mp3 players and mobile telephones. Vertical integration is a strategy to
reduce a business' own cost and thereby intensify pressure on its rival.

2
1
Square Consumer Products Ltd.

Figure: Porter Five Forces Model

High

High

Low High

High

Figure: Analysing Square Consumer Products Ltd. by Porter’s five forces model

Porters Five Forces Model for Square Consumer Products

Ltd.
In this model we find that The bargaining power of customers (buyers) is, the
bargaining power of suppliers are low, the threat of substitute products are high,
the threat of the entry of new competitors is hard and the intensity of
competitive rivalry is in this industry is strong.

Findings from this model

This model shows the condition of the environment analysis by Porter’s five
forces model. In this context, the bargaining power of customers (buyers) is high
for the large no of buyers as well as wide range of products. The bargaining
powers of suppliers are low here, because there are available buyers in this
ground. The threat of substitute products or services is also high here. There are
some major players are here who are competing. In this industry it is hard to
establish a new setup. It needs a huge amount of capital, land and manpower.
For that reason the entry of new competitors are not so easy. Lastly the intensity
of competitive rivalry is in this industry.
2
1
Square Consumer Products Ltd.

Strategic Group
A strategic group is a concept used in strategic management that groups
companies within an industry that have similar business models or similar
combinations of strategies. The number of groups within an industry and their
composition depends on the dimensions used to define the groups. Strategic
management professors and consultants often make use of a two dimensional
grid to position firms along an industry's two most important dimensions in order
to distinguish direct rivals (those with similar strategies or business models) from
indirect rivals. Strategy is the direction and scope of an organization over the
long term which achieves advantages for the organization while business model
refers to how the firm will generate revenues or make money.

Strategic Group Analysis

Strategic Group Analysis (SGA) aims to identify organizations with similar

strategic characteristics, following similar strategies or competing on similar
bases.
Such groups can usually be identified using two or perhaps three sets of
characteristics as the bases of competition.
 Examples of Characteristics
 Extent of product (or service) diversity.
 Extent of geographic coverage.
 Number of market segments served.
 Distribution channels used.
 Extent of branding.
 Marketing effort.
 Product (or service) quality.
 Pricing policy.

Strategic Group Map of Square Consumer Product Ltd.

(High)

Market
Leader
Square
ACI
Pran
(Consumer
Product Ltd.)
Production

Follower
Aftab
Partex
(Consumer
Product Ltd.)

Niche
Shahi
Gura
Mashala
2
1

Market Share (Low)

Figure: Strategic Group Map of Square Consumer
Products Ltd.
Square Consumer Products Ltd.

Internal Environment Analysis

The last phase of the method is an analysis of the internal environment of the
organization, thus the organization itself. The aim is to determine which skills,
knowledge and technological fortes the business possesses. This entails
conducting an internal analysis and a competence analysis.

2
1
Square Consumer Products Ltd.

Internal analysis

The internal analysis, also called SWOT analysis involves identifying the
organizations strengths and weaknesses. The strengths refer to factors that can
result in a market advantage and weaknesses to factors that give a
disadvantage because the business is unable to comply with the market needs.

Outline Its Elements

Value
Creation

Competitive
Advantage

Discovering Core
Competences

Core Competencies

Value
Chain
Capabilities Four Criteria of Analysis
Sustainable
Advantage
Resources
Tangible Outsourc
Intangible
e

Valuable
Rare
Costly to Imitate
Non Substitutable
2
1
Square Consumer Products Ltd.

Organizational Resources
Resources are inputs into a firm's production process, such as capital,
equipment, and the skills of individual employees, patents, finance, and talented
managers. Resources are either tangible or intangible in nature. With increasing
effectiveness, the set of resources available to the firm tends to become larger.
Individual resources may not yield to a competitive advantage. It is through the
synergistic combination and integration of sets of resources that competitive
advantages are formed.

Recourses of Square Consumer Products Ltd

Tangible Recourses of Square Consumer Products Ltd

Organizational Resources

Top Management: Board of Directors

A Quarterly Report on business operation and financial position is presented
before the Board of Directors for their information and review, for
implementation by the Executive Management. Every month co-ordination
meeting is held congregating all the department heads to discuss priority issues
and solve problems, if any
The Executive Management is headed by the Managing Director, the Chief
Executive Officer (CEO) who has been delegated necessary and adequate
authority by the Board of Directors. The Executive Management operates
through further delegations of authority at every echelon of the line
management. The Executive Management is responsible for preparation of
segment plans/sub-segment plans for every profit centers with budgetary targets
for every item of goods & services and is held accountable for deficiencies with
appreciation for exceptional performance. These operations are carried out by
the Executive Management through series of committees, sub-committees, ad-
hock committees, standing committees assisting the line management

Physical Resources

The manufacturing unit of Square Consumer Products Limited is located at

Pabna, the northern part of Bangladesh, which is prominent for agricultural
products and thus it is convenient to source specific variety of raw materials.
This gives the company the opportunity to produce food items from the best
quality raw materials. Square Consumer Products Limited's manufacturing units
are environment friendly and are equipped with modern machineries. Technical
capabilities in processing, post-harvest handling, maintaining Good
Manufacturing Practice (GMP) and modern grinding technology have given
Square Consumer Products Limited strong competitive edge in the industry.
2
1
Square Consumer Products Ltd.

Technological Resources
Spices have a long and ancient history, especially in our subcontinent, where
they are a part of life and heritage. But with change of time the spices
processing technology has also been changed. Square Consumer Products Ltd.
provides consumers those spices which are made from the choicest raw
materials maintaining the highest processing standards. The company uses the
state of the art technology for production process. The low temperature Grinding
technology guarantees all essential volatile oil intact along with appropriate
pulverization. The manufacturing plant of the company has a hi-tech laboratory
where the quality check is accomplished. The company uses fully automated
packaging system which ensures zero exposure to external hazard.

Intangible Recourses of Square Consumer Products Ltd

Human Resources
Square group has more than 27000 direct workforces which is large in
Bangladesh. From top to bottom they have the best employee. Turnover rate is
very low in this group.

Innovation Resources
Square Consumer Products Limited has introduced three popular brands in the
market namely Radhuni, Ruchi and Chashi. Radhuni is the flagship brand of the
company. Just after its introduction, Radhuni drew the attention of housewives
who demanded convenience and time saving cooking. The product range of
Radhuni is enriched with basic spices, mixed spices, cereals & pulses based
products, edible oil and dairy. On the other hand, Ruchi is providing ready-to-eat
snacks like Chanachur, Fried Dal, Banana Chips, Jhuribhaja, Peanut, Chutney,
Pickles and Honey. Ruchi has won the heart of the youngsters for its healthy,
tasty & innovative ground breaking products.

Organizational Capability
Capability refers to an organization’s skills in coordinating its resources & putting
them to productive use OR ‘Are the capacities for a set of resources to
integrative perform a task or activity’.

Capabilities of Square Consumer Products Ltd

Distribution
Among the all groups distribution set up of SCG is the best. It has sufficient
number of Own vehicle. So group can easily distribute its product quickly &
easily.
2
1
Square Consumer Products Ltd.

Employment
It has more ten 27000 direct employee. Again more than 3 lac people indirect
depend on this group.

Core Competencies

Resources & capability, that serves as a source of competitive advantage for a

firm over its rivals.

A core competency is a specific factor that a business sees as being central to

the way it, or its employees, works. It fulfills three key criteria:

1. It is not easy for competitors to imitate.

2. It can be leveraged widely too many products and markets.

3. It must contribute to the end consumer's experienced benefits.

Core Competence of Square Consumer Products Ltd

 Capital

 Talent Manager

 Market Leader

 Quality of the Product

In order for a resource and/or capability to provide the basis for a sustainable
competitive advantage, four questions must be answered in the positive:

1. Is the resource or capability valuable?

Does the resource or capability add value to the consumer? Does it provide a
core competence?
Does it provide or support a competitive advantage?

2. Is the resource or capability rare?

Do rival firms have the resource or capability? If not, would it be easy for rivals to
obtain?

3. Is the resource or capability hard to imitate?

2
1
Square Consumer Products Ltd.

Is the resource or capability unique? Is the resource or capability protected by

law (copyright or patent)? Was the resource or capability built over a relatively
long period? Does the resource or capability have extreme capital requirements?

4. Can the resource or capability be trumped by a substitute resource

or capability?

Is it possible to use another resource or capability to take the place of the one
being used by the firm? For example, can technology be replaced by outsourcing
to gain a cost advantage? Can outstanding engineering be replaced by high
quality design?

If the answer to ALL FOUR questions is “yes” then a sustainable competitive

advantage is present.
http://drdragon000.entryhost.com/msub3/MGMT488/lectures/Chapter4_Internal.pdf

Identify Sustainable Resources of Square Consumer Products

Ltd

Core Competencies
Yes  Capital
Valuable  Talent Manager
 Market Leader
 Qulity of the

Competitive
Yes Advantage
Rare
 Capital

Yes Value Creation

Costly to Imitate

Non Yes Above-average

Substitutable Return

According to this four criteria method, we can find out the core competencies of
Square Consumer Products Ltd. It has capital what really valuable, Talent
manger what is rare, they are the market leader what is really costly to Imitate &
Quality is non substitutable. So they can gain competitive advantage by creating
value & will earn above average return.
2
1
Square Consumer Products Ltd.

Value Chain of Square Consumer Products Ltd

SWOT Analysis
A scan of the internal and external environment is an important part of the
strategic planning process. Environmental factors internal to the firm usually can
be classified as strengths (S) or weaknesses (W), and those external to the firm
can be classified as opportunities (O) or threats (T). Such an analysis of the
strategic environment is referred to as a SWOT analysis.

The SWOT analysis provides information that is helpful in matching the firm's
resources and capabilities to the competitive environment in which it operates.
As such, it is instrumental in strategy formulation and selection. The following
diagram shows how a SWOT analysis fits into an environmental scan:

2
1
Square Consumer Products Ltd.

Strengths
A firm's strengths are its resources and capabilities that can be used as a basis
for developing a competitive advantage. Examples of such strengths include:

 Patents

 Strong brand names

 Good reputation among customers

 Cost advantages from proprietary know-how

 Exclusive access to high grade natural resources

 Favorable access to distribution networks

Weaknesses
The absence of certain strengths may be viewed as a weakness. For example,
each of the following may be considered weaknesses:

 Lack of patent protection

 A weak brand name

 Poor reputation among customers

 High cost structure

 Lack of access to the best natural resources

 Lack of access to key distribution channels

In some cases, a weakness may be the flip side of a strength. Take the case in
which a firm has a large amount of manufacturing capacity. While this capacity
may be considered a strength that competitors do not share, it also may be a
considered a weakness if the large investment in manufacturing capacity
prevents the firm from reacting quickly to changes in the strategic environment.

Opportunities
The external environmental analysis may reveal certain new opportunities for
profit and growth. Some examples of such opportunities include:

 An unfulfilled customer need

 Arrival of new technologies
 Loosening of regulations
 Removal of international trade barriers
2
1
Square Consumer Products Ltd.

Threats
Changes in the external environmental also may present threats to the firm.
Some examples of such threats include:

 Shifts in consumer tastes away from the firm's products

 Emergence of substitute products
 New regulations
 Increased trade barriers
Bradford, Robert W., Duncan, Peter J., Tarcy, Brian, Simplified Strategic Planning: A No-Nonsense
Guide for Busy People Who Want Results Fast!

SWOT of Square Consumer Products Ltd

Strength
 20 million local people are consumer of square products

 Introducer & market leader

 Hugh capital

 Strong Brand Image

Weakness
 Price is cooperatively high

 Consumer are mainly town people

Opportunity
 Villager is still waiting to consume their product.

 Demand of International Market

 Fast moving goods

 Government is giving cash Incentive

Threats
 Lots of New player is coming

 Price hick

 Political Instability
2
1
Square Consumer Products Ltd.

Findings of Internal Analysis

Internal analysis shows the current situation of the company. What are the
strengths, weaknesses, opportunities and threats? By overall examination, the
outcome is management can get the above average return from this industry
very easily. In context of Bangladesh, most weaknesses can be resolved very
easily. That’s why square consumer products ltd. is in very much potential
condition.

2
1
Square Consumer Products Ltd.

Corporate Social Responsibilities

Corporate social responsibility (CSR, also called corporate conscience, corporate
citizenship, social performance, or sustainable responsible business) is a form of
corporate self-regulation integrated into a business model. CSR policy functions
as a built-in, self-regulating mechanism whereby business monitors and ensures
its active compliance with the spirit of the law, ethical standards, and
international norms. The goal of CSR is to embrace responsibility for the
company's actions and encourage a positive impact through its activities on the
environment, consumers, employees, communities, stakeholders and all other
members of the public sphere. Furthermore, CSR-focused businesses would
proactively promote the public interest (PI) by encouraging community growth
and development, and voluntarily eliminating practices that harm the public
sphere, regardless of legality. CSR is the deliberate inclusion of PI into corporate
decision-making, which is the core business of the company or firm, and the
honoring of a triple bottom line: people, planet, profit.

CSR policy

Corporate Social Responsibility is a concept whereby companies integrate social

and environmental concerns into their business operations and in their
interaction with their stakeholders (employees, customers, shareholders,
investors, local communities, government), on a voluntary basis
2
1
Square Consumer Products Ltd.

CSR is closely linked with the principles of Sustainability, which argues that
enterprises should make decisions based not only on financial factors such as
profits or dividends, but also based on the immediate and long-term social and
environmental consequences of their activities

Potential Business Benefits

The scale and nature of the benefits of CSR for an organization can vary
depending on the nature of the enterprise, and are difficult to quantify, though
there is a large body of literature exhorting business to adopt measures beyond
financial ones. However, businesses may not be looking at short-run financial
returns when developing their CSR strategy.

The definition of CSR used within an organization can vary from the strict
"stakeholder impacts" definition used by many CSR advocates and will often
include charitable efforts and volunteering. CSR may be based within the human
resources, business development or public relations departments of an
organization, or may be given a separate unit reporting to the CEO or in some
cases directly to the board. Some companies may implement CSR-type values
without a clearly defined team or programmers.

CSR Policy of Square Consumer Products Ltd

Employment Generation
 Employing over 1200 permanent employees ensuring their consistent
welfare and security

 Emphasis on equal employment opportunity resulting in 38% women

employees

 Maintenance of sociable working environment which results in lowest

turnover rate and a highly motivated workforce

Responsibility towards the immediate neighborhood and the residents

Square is deeply involved with the communities where it operates, and hence
has an intense sense of responsibility to its neighbors.

 School in Pabna – Square Kindergarten

 Library in Pabna – Ananda Gobinda Library

 Ambulance to Pabna Municipality

 Tree Plantation in Pabna

 Job Opportunity for qualified neighbors

 Disaster Management during Flood, Cyclone etc.

2
1
Square Consumer Products Ltd.

From CSR part

For Prevention of Diseases– We have also worked as a partner in the research
study for preventing Post Partum Hemorrhage (PPH). More than 12,000 women
die due to pregnancy or pregnancy related causes every year. PPH is a single
most important cause of maternal death in Bangladesh. This study is being
conducted in association with International Centre for Diarrheal Disease
Research, Bangladesh (ICDDRB) and Obstetric and Gynecological Society of
Bangladesh (OGSB).

Protecting the natural environment:

SQUARE Consumer Products Limited is aiding in the protection of natural
environment of Bangladesh. These days pollution of natural environment has
become a burning question in this country and pollution control demands a huge
amount of investment. The government will be benefited if corporate sector
continues investing in the solution of this problem.

Contributing In Education
In a country like Bangladesh where the literacy rate is very low, the involvement
of corporate sector in the education sector can become helpful for the overall
development of the country. By providing scholarship to meritorious students,
SQUARE Pharmaceuticals Limited is facilitating the education sector of the
country. Other than providing scholarships, the SQUARE Consumer Products
Limited is also contributing by arranging several talent hunt programs to find out
talented citizens of the country. They are also performing some programs where
people’s awareness about education is growing. They also invest in the
Information Technology Training programs.

Working for Disabled People

From the cases presented in this article, it can be easily identified that SQUARE
Consumer Products Limited is working heavily for the disabled children, men and
women of this country. Thus they are helping in ensuring human rights which is a
relatively ignored issue in Bangladesh.

Women Empowerment
SQUARE Consumer Products Limited is working a lot for the women empowerment.
By providing training to this socially deprived section of the community, SQUARE
Consumer Products Limited is helping in the development of human resources and
making the women self dependent. These organizations are also working on
growing the awareness about acid abuse which is a significant problem in this
country.

Cultural Development
SQUARE Consumer Products Limited is getting involved in the cultural sector of
the country. By arranging several talent hunt programs new cultural talents are
coming in front of the country people. Definitely these kinds of programs are
expensive and these organizations are taking this responsibility.
2
1
Square Consumer Products Ltd.

Employment Creation
SQUARE Consumer Products Limited is creating employment and definitely
unemployment is a serious problem in Bangladesh. By providing with internship
programs for university graduates, the corporations are participating in the
human resources development of the country.

Future Recommendation for Square Consumer Products Ltd.

Square Consumer Products Ltd have started producing and marketing intrinsic
quality of powdered spices (Like chili, turmeric,cumin and coriander), mixed
spices and some ethnic snacks (Like Meat Curry Masala, Fish Curry Masala,
Garam Masala, Haleem Mix, Chatpati Mix, Chanachur etc.) in terms of taste,
flavor & texture. Beside these, our plans is manufacture and market various food
& beverage items very shortly. This is showing a good picture for this industry
condition of Square Consumer Products Ltd.

Square Consumer Products Ltd. has traditionally focused on their efforts and
resources on serving a relatively narrow, affluent segment of the world’s
population. These coveted consumers are likely to live in a developed market,
make regular trips to the supermarket and chemist, with less frequent trips to a
hypermarket or supercenter. To grow their business with these consumers,
Consumer Products companies leverage heavy doses of trade and consumer
promotion, while seeking to improve collaboration with retail customers to help
deliver operating efficiencies.

In this 21st century people are more consumer goods oriented. They always try to
make their life easy and dynamic. For that reason, it is a great opportunity to
make a better place in this industry. Beside that Square Consumer Product Ltd.
has a great brand value and pretty good reputation of Square Group of
Companies. They can easily make positioning in the consumers’ minds and serve
the market.

Square Consumer Products Ltd. already has the wide range of products in the
market. They can introduce some other new product with new concept. Now a
day’s people are more concern about their health. They can expand their organic
product and new product in this category.
2
1
Square Consumer Products Ltd.

References

Text Book:
Dess, G.G. and Lumpkin, G.T., 2003. “Analyzing the External Environment of the
Firm”, Strategic Management: Creating competitive advantage, McGraw-Hill,
New York.

Internet:
 http://en.wikipedia.org/wiki/Consumer_product

 http://globaledge.msu.edu/industries/consumer-products/

 http://www.squarefoods.com.bd/

 http://www.ostamyy.com/doctors/Bangladesh.htm

 http://www.driscollassociates.com/solutions/consumer-products.shtml

 http://en.wikipedia.org/wiki/Strategic_group

 http://en.wikipedia.org/wiki/SWOT_analysis

 http://www.knowhownonprofit.org/organisation/strategy/externalanalysis/e
xternal-environment-analysis

 http://www.managementstudyguide.com/environmental-scanning.htm

2
1