You are on page 1of 55

Internship Report

On

“Analysis of Market Scenario (Hot Tea Stall) of Ispahani TEA and


Competitors in Dhaka City”

Submitted by:
Md. Hasan Murad

ID# 112011058

Marketing, School of Business

Supervised by:
Nafees Imtiaj Ahmed

Lecturer

School of Business

University of Liberal Arts Bangladesh

December, 2014

Page | 1
Letter of Transmittal

December 22, 2014

Nafees Imtiaj Ahmed


Intern Supervisor
School of Business
University of Liberal Arts Bangladesh

Subject: Submission of the Internship Report on “Analysis of Market Scenario (Hot Tea
Stall) of Ispahani TEA and Competitors in Dhaka City.”

Dear Sir,
I am delighted to submit my internship report titled “Analysis of Market Scenario (Hot Tea Stall)
of Ispahani TEA and Competitors in Dhaka City” - as a part of our BBA degree requirement. I
have completed this report, which is a worthwhile experience for me as it was in such an
enjoyable task. I believe that this work has enriched both my knowledge and experience.

I believe that this report will meet your approval. If further information is required, I will be glad
to provide that any time of your convenience. Your kind advice will encourage me to do further
research in future.

Yours sincerely,

………………………
Md. Hasan Murad
ID: 112011058
ULAB School of Business

______________________________________________________________________________

Page | 2
Internship Report Approval Form

Student Name: Md. Hasan Murad______________________ ID No: 112011058__________________

Major: Marketing___________________________________ Year: 2014________________________

Local Phone: +8801670-452713________________________ Email: hasan.murad.bba@ulab.edu.bd_

---------------------------------------------------------------------------------------------------------------------------

INTERNSHIP/PROJECT INFORMATION

Internship

Organization/Project: M. M. Ispahani Limited___________________________________________


Internship /Project Report
Topic: Analysis of Market Scenario (Hot Tea Stall) of Ispahani TEA and Competitors in Dhaka City____

_____________________________________________________________________________________

_____________________________________________________________________________________
Semester (Tick one): □ spring 2014 □ summer 2014 □ fall 2014
---------------------------------------------------------------------------------------------------------------------------

SUPERVISOR APPROVAL
(Please place a Tick)

□ Approved □ Not Approved □ Partial Re-write □ Full Re-write

Remarks (If Not Approved/Pretrial/Full Rewrite): _____________________________________________________


_____________________________________________________________________________________________
_____________________________________________________________________________________________

Signature: _________________________________________________ Date: 22.12.2014

Name: Nafees Imtiaj Ahmed Title: Lecturer

E-mail: nafees.imtiaj@ulab.edu.bd Phone: +8801716-583526

Page | 3
Table of Content

Sl. Particulars Page


No. No.
i. Plagiarism Declaration Form 8
ii. Acknowledgement 9
iii Executive Summary 10
1. Chapter:1 INTRODUCTION (11-16)
1.1. Background of the Study 11
1.2. Statement of the Problem 12-13
1.3. Objectives of the Study 13
1.4. Significance of the Study 13-15
1.5. Literature Review 15
1.6. Basic Concepts of Marketing 15-16
2. Chapter:2 OVERVIEW OF THE COMPANY (17-25)
2.1. History 17
2.2. Mission 18
2.3. Values 18
2.4. Strategy 18
2.5. Organizational Chain of Command (Hierarchy for Marketing) 19
2.6. Company Businesses 20
2.6.1. Trading 20
2.6.2. Agro 20
2.6.3. Hospitality and Leisure 20
2.6.4. Packaging 20
2.6.5. Energy 21
2.6.6. Information and Communication Technology (ICT) 21
2.6.7. Poultry 21
2.6.8. Foods 21

Page | 4
2.6.9. Real Estate 21
2.6.10. Shipping 21
2.6.11. Jute 22
2.6.12. Cotton and Textiles 22
2.6.13. Tea Garden 22
2.6.14. Tea Trade 22
2.7. Sales Volume of Ispahani Tea 23
2.8. Size of Workforce 23
2.9. Ispahani’s Competition among Industries 23-24
2.10. Ispahani Tea Distribution Channel 24
2.11. Product Line in Ispahani Branded Tea 25
3. Chapter:3 INTERNSHIP ACTIVITIES (26-32)
3.1. Week 1st 26
3.2. Week 2nd 27
3.3. Week 3rd 27-28
3.4. Week 4th and 5th 29
3.5. Week 6th and 7th 29
3.6. Week 8th, 9th and 10th 30-31
3.7. Week 11th and 12th 31
3.8. Achievement on Internship Working 32
4. Chapter:4 METHODOLOGY (33-34)
4.1. Sampling 33
4.2. Data Collection 33
4.3. Sources of Data 34
4.4. Data Analysis 34
5. Chapter:5 ANALYSIS AND FINDINGS (35-45)
5.1. Questionnaire Figure 1: Type of Tea that Hot Tea Stall Use 35
5.1.1. Outcome 35
5.2. Questionnaire Figure 2: Daily Consumption of Tea (on average) 36

Page | 5
5.2.1 Outcome 36
5.3. Attributes Considered in Purchasing Tea 37
Outcome 37
5.4. Questionnaire Figure 4: Source of Tea Purchase 37
5.4.1. Outcome 37
5.5 Questionnaire Figure 5-8: Brand Awareness, Availability, Preference and Loyalty 38-39
5.5.1. Outcome 40
5.6. Questionnaire Figure 9-10: Satisfaction and Dissatisfaction behind Current Brand 40
5.6.1. Outcome 41
5.7. Questionnaire Figure 11-13: Brand Duration, Loosing and Switching Reason 41-42
5.7.1. Outcome 42
5.8. Questionnaire Figure 14 A-B: Ispahani Experience and Reason for Not 43
Purchasing
5.8.1. Outcome 43
5.9. Questionnaire Figure 15: Promotional Offer Expected by Tea Stall 44
5.9.1. Outcome 44
5.10. Lessons Learnt from Internship Organization 44
5.10.1. Time Management 45
5.10.2. Communication Skill 45
5.10.3. Relating Academic Theory with Business Practice 45
5.10.4. Data Coding and Analysis 45
6. Chapter:6 CONCLUSIONS AND RECOMMENDATIONS (46-55)
6.1. Conclusion 46
6.1.1. Summary of Findings 47
6.2. Limitations of the Study 47-48
6.3. Recommendations 48
6.3.1. Recommendations for Company 48-49
6.3.2. Recommendations for Sales People 49
6.3.3. Recommendations for Tea Stall Owner 49
6.3.4. Recommendations for Tea Lover 50

Page | 6
6.4. References 51
6.5. Appendix 52-53
6.6. Acronyms 54-55

Page | 7
PLAGIARISM DECLARATION

1. I know that plagiarism means taking and using the ideas, writings, works or
inventions of another as if they were one’s own. I know that plagiarism not
only includes verbatim copying, but also the extensive use of another
person’s ideas without proper acknowledgement (which includes the
proper use of quotation marks). I know that plagiarism covers this sort of
use of material found in textual sources and from the Internet.

2. I acknowledge and understand that plagiarism is wrong.

3. I understand that my research must be accurately referenced.

4. This assignment is my own work, or my group’s own unique group


assignment. I acknowledge that copying someone else’s assignment, or part
of it, is wrong, and that submitting identical work to others constitutes a
form of plagiarism.

5. I have not allowed, nor will I in the future allow, anyone to copy my work
with the intention of passing it off as their own work.

Name MD. HASAN MURAD_______________________

ULAB ID #112011058____________________________

Signature _____________________________ Date 22.12.2014____

Page | 8
Acknowledgement

Firstly, I would like to convey my gratefulness to Almighty Allah who has enabled me to
complete my internship report precisely.

I express my gratitude to my honorable Supervisor Mr. Nafees Imtiaj Ahmed, Lecturer, School
of Business, University of Liberal Arts Bangladesh for his guidance and co-operation, which
help me greatly to make this report. I will remember his contribution with lots of respect entire
my life.

Then I convey my thanks to Mr. Md. Shamsul Alam, Manager, Business Development for his
kindness who actually gave me the opportunity to work in such a reputed business house at
reverential department. Here I have learnt many things about research and planning through my
internship experience.

I express thanks to the executive Mr. Mir Motiul Islam who has helped me lots to conduct survey
as well as analyze the data. I have learnt things regarding data assortment from him. Another
executive Ms. Tasnuva Farhana also helped me by providing much valuable information to this
report. I do recognize her contribution. I also like to thank all the staffs of M. M. Ispahani
Limited, Corporate Office, 14/15 Motijheel C/A for their affable hospitality.

And finally, I would like to thank all the honorable teachers of ULAB School of Business, I
think it is the outcome of their teaching which helped me to think about market research to study
and also want to thank my friends for their assistance.

Page | 9
Executive Summary
M. M. Ispahani Limited is a well reputed company in Bangladesh. It is operating businesses
since 1820. The company mostly renowned for famous “Isphanni Mirzapore Tea” brand across
the country. Now it is alarming for the company in Tea business competitors are capturing the
market share position significantly especially in Tea Stall market. For the purpose of knowing
the position of Ispahani and competitors a survey has happened to figure out reason behind
Ispahani’s failure.

According to survey it has found different patterns of information of Tea Stall market scenario to
be analyzed. It has been found how much Tea Stalls are using branded Tea, amount of their daily
consumption, source of purchasing Tea (Leaf) respectively. This study also shows Tea Stall
brand awareness which Tea brand name comes first on their mind and here Ispahani has stood
top as expected. In purchasing scenario Ispahani has found also highest brand loyalty percentage
among the competitive brands including the duration. The fact is it has lost many of Tea Stall
customers due to quality failure, price affordability etc.

Though the brand Ispahani has an intensive distribution network, a significant number of Tea
Stall claimed that they are unsatisfied with Ispahani due to unavailability and it forces them to go
for another brand. This report suggests a few reason of brand unavailability as recommendation
to the company. In loosing customer loyalty segment Ispahani has lost much than the
competitors. In Dhaka city Tea Stall market, Seylon (from Abul Khayer Group of Companies) is
competing Ispahani most ferociously. A competitively less price than Ispahani makes Seylon
more profitable to Tea Stalls. It also found price is not the first concern of that Tea Stalls to
consider the attribute of a Tea brand. They mainly go for quality sustainability what kind Tea
they are using in the shop. General people do care less about the brand in Tea Stall what brand
actually they are drinking and here it totally depends on the Tea Stall Owner.

To enhance Tea sales volume the Tea Stalls were asked to say about promotional expectations
that they think needed. It found that they want Tea equipment mostly from the Tea
manufacturers. They also suggested the reasons behind Ispahani’s failure. According to Tea Stall
observation and findings this report tries to recommend some suggestions to face the challenges
of competitors by filling the gap what is actually needed by the Tea Stalls.

Page | 10
CHAPTER

1
1. INTRODUCTION

1.1. Background of the Study

Internship is considered as an important experience before having permanent job. To have a


BBA degree of Business Administration it is mandatory for doing 12 weeks internship with a
precise report as considering 6 credit hours in 12th semester. This report is supposed to submit to
University of Liberal Arts Bangladesh under the supervision of a lecturer of ULAB School of
Business through ULAB Career Services Center. This report is made within the internship period
started from September 25th 2014. It is also a great opportunity to work with professionals where
I can relate my theoretical knowledge with organizational practices. In my entire bachelor
program I did many projects on market based research, social research and few environmental
migration researches through a well defined problem and these influenced to involve in
researching for Ispahani’s tea market. This is a market research report about market scenario of
Ispahani TEA and competitors in Hot Tea Stall (HTS) where I was assigned to learn and assist
my organization team in Business Development department (Research and Planning), M. M.
Ispahani Limited. The company divides their whole tea market in 22 divisions within 6
categories of selling point (categorized shop) gradually Departmental Store (DS), Stationary
(STN), General Store (GS), Confectionary Store (CS), Hotel-Restaurant-Canteen (HORECA),
and Hot Tea Stall (HTS). I was assigned in their Analysis of Tea Market Scenario through
nationwide survey (according to Ispahani’s Divisional Market).Being influenced by my intern
organization, I took Hot Tea Stall market scenario survey in Dhaka city (includes Ispahani’s 3
divisions) as my convenience to work. In this organization I have enjoyed lots to work and to
know so many new things for the first time. To work in a sound environment I have gone
through other disciplinary works which have enriched my overall organizational experience.
Here below I am submitting a report as internship requirement of getting BBA degree that
includes an overview of the intern organization and the explanation of the report theme I am
supposed to carry out during the internship session.

Page | 11
1.2. Statement of the Problem

Tea is a common healthy drink all over the world from the ancient time. People used to drink
Tea regularly as their one of daily habits. M. M. Ispahani Limited particularly renowned for their
Tea brand through out the nation. It is running Tea business for many years as a giant market
player from the beginning. Ispahani holds 50% of branded Tea and 80% of Tea Bag market share
of the industry overall. To do the business the company is facing severe competition by other
market players significantly in metropolitan city like Dhaka, Chittagong, Comilla, and Sylhet.
The competitive brands are also from country’s reputed group of companies. For that it has been
losing its market share in both household and tea stall consumption pattern. Generally a problem
refers the distance between expectation and reality. Problem of Ispahani Tea is here losing
market share in Hot Tea Stall market significantly in city area. Why Ispahani Tea is not able to
have the expected percentage of market share is defined here as a problem. To identify the
factors of failure has identified so many problems to be faced. Here the problems those are made
me interested to do this report for enquiring the factors behind the market positioning are given
below.

 Due to excessive competition Ispahani Tea is losing its market share and here my task is
to figure out the key factors of losing and advantages provided by competitors.
 Having a great brand value here quality failure doesn’t provide it leverage as expected.
 Most of the tea in Hot Tea Stall (HTS) drinkers do less care about what brand they are
drinking and its totally depends on tea seller willingness.
 Though Ispahani follows intensive distribution channel strategy but the loophole
weakness in distribution arrangement gives opportunity to competitor’s to have growth
etc. and this is one of the major concerns of the company meeting the challenge for
capturing that lost market.
 Being a reputed Tea brand Ispahani adds a premium price to its product where the
competitive brands are sold out through comparatively low price than Ispahani and that
makes them competent having increased growth especially for some selective brands like
Seylon, Taaza etc.

Page | 12
 Competitors are booming highly in city area because of consumer awareness and huge
tea consumption rate. Generally a city area has a huge number of tea stall then country
area and here competitors start first to capture the market rapidly.

1.3. Objectives of the Study

This study is basically conducting for the brand positioning of Ispahani Tea and to know a brief
of competitor’s advantage and the strategy they are following. The given objectives are proposed
in the conception of this research. The paper aims to clarify the scenario behind Ispahani’s
limitation to compete the market (Hot Tea Stall) and needs to be fulfilled to keep sustainability.

a) Primary (or Academic) Objective: The primary objective of the study is to complete the
partial requirement of the awarding of the BBA degree from ULAB School of Business,
University of Liberal Arts Bangladesh.
b) Secondary (or Study/Research) Objective: Specific objectives proposed in this report
materials are explained below:
i. To make an overview of overall brand analysis of Ispahani Tea in Dhaka
city with an emphasis on the organizational impact.
ii. To present the organizational and necessity of consumer analysis,
marketing procedure etc.
iii. To make a review of the literature related to the functions or activities of
marketing communication in general.
iv. To explore the overall significances of marketing (Ispahani’s Brand
Awareness).
v. To make recommendations for building a business friendly environment.
1.4. Significance of the Study

Tea is used to drink as a healthy beverage in our daily life. It has become an integral part of our
life since British colonial era. History says that Tea was first originated in ancient China to be
refreshed while tiredness arises. Tea itself contains caffeine which revives us to wake up and get
ready for working. This study is all about the market scenario of Ispahani’s brand positioning in
Dhaka city tea stalls which are considered as a biggest tea market for Ispahani Tea Department.
Significance refers logic behind the report making as its necessity to face the challenges and the

Page | 13
opportunity for filling the gap. Tea branding trend changes rapidly. People take different types of
tea like Organic/Herbal Tea, Cold Tea, Ready Tea etc. In Hot Tea Stall consumer and seller
mostly consider quality tea to have. Here quality refers the nature and combination of taste, smell
and liquor. A significant percentage of Tea Stall owners considers price of the tea which also
secured their profit. In case of Ispahani’s market failure (in market share) it is important to know
the reason why existing and potential markets are shifting to competitors, the strategies lead Tea
Stall to be loyal. It is also important for my study to know what amounts (size of consumption)
of Tea Stall owners are using Ispahani brand as well as competitor’s brand. It is found that city
edge dwellers are no aware care about what brand tea they are drinking. Tea seller decides the
Tea brand by his own will or benefit. And those city edge tea sellers found in using locally
branded cheap tea to serve in a bulky amount regularly. Here some of most significances of the
study are given below.

 Hot Tea Stall owner wants quality Tea which sustains long lasted liquor in continuous
boiling. One of the competitive brands serves Tea to Hot Tea Stall in comparatively
cheap rate and that’s the issue to figure out how it happens. That particular competitive
brand is grabbing the Ispahani’s potential market day by day. Others brands are also
doing well and here the study gives importance how they (competitors) are reaching to
Tea Stall and capturing the market especially in Dhaka City.
 This study is also important for uncovering the influencing factors behind Tea Stall
success by how competitors are doing in strategy implementation. The study is designed
to take relevant information from those surveyed Hot Tea Stall to compare Ispahani’s
market position (in HTS) with others brands as well as local tea.
 Ispahani serving the nation by Tea for many years. Brand awareness of Ispahani Tea is
much higher than any other brand. When people think about Tea Ispahani comes first on
their mind. Ispahani here as a Tea brand has become a generic (category) name through
the nation but because of competitor’s growth people are getting used to choose option
or switching into another brand where they can protect buyer/consumer right best. Hot
Tea Stall owner only looks for their best profit than a good brand image. How much
brand awareness is increasing or decreasing this study is supposed show an overall
scenario of Tea market position for Ispahani’s successful Tea brands.

Page | 14
 This study is helpful to identify the reason behind switching pattern of Hot Tea Stall
owner into different competitive brands and why and whom they switched in scale of
brand loyalty in a time frame. It is found customers like hard-core loyal have switched
into another brand from Ispahani either for quality dissatisfaction or pricing. Quality and
price play a great role to select a Tea brand for Hot Tea Stall owners but there something
else that are also considered as the major influencers behind Tea brand selection
respectively.

1.5. Literature Review

Tea trading considered as one of the oldest industries in South Asia. Several studies are made by
the researchers in different perspectives. Here Tea Stall market analysis is much unique than that
studies. To figure out the market scenario for Tea Stall market is really rare to find in sources
available. Apparently, the study titled “AN EMPERICAL SUDY TO FIND OUT THE
OPTIMAL PRICE FOR HOT TEA SHOP CONSUMED TEA AND MEASURING THE
VALUE FOR MONEY PERCEPTION (VFM INDEXING) OF MIRZAPORE BOP by Umme
Salma, year 2008” matches with Hot Tea Stall market research. The theme of this study is all
about price sensitivity for an “Ideal Tea” measured through Value for Money (VFM) Indexing of
branded Mirzapore BOP Tea. It shows the psychological gap between value of price and value of
brand that finally recommends the price reduction of the brand perceived.

This study has contributed in Hot Tea Stall market scenario analysis precisely. The two of
studies are also helpful for further research upcoming. In a particular field like Tea marketing
much study will enrich the industry competitive.

1.6. Basic Concepts of Marketing

Basic concepts of marketing help an employee in the organization to relate easily what market
and sales activities company going to perform. From the early production concept business arena
has entered into marketing concept through a remarkable evolution to be survived. This makes a
company enable to fight with competitive forces using best potential. Here in below some
concepts are given as my own understanding how I can relate these terms in real life both
theoretically and practically.

Page | 15
Concepts Meaning
Marketing It means generating the relationship by understanding, conversing and providing
value to its customer. It refers a profitable cycle of revenue earned valued
customer by delivering goods and services.

Product It refers a physical good having the utilization power to meet demand.
Price Price is the value exchange of delivered product and service.
Promotion It is a set of programs that pioneers a product/service or a brand to its potential
customer.

Place It is also called distribution delivering the brand or product or service to its user.

Segmentation It means separating the customers into different group of customer approaching
distinct products or services.

Targeting It is the procedure of examining individual market segment’s possibility and


choosing one or more potential markets to go to serve.

Positioning It means a set of given values of product or service that is delivered to customer’s
mind.

Brand Brand means an identity of the particular product or service that has lots of
follower.

Line It means the application of mother brand to a new brand, product, or service
Extension having varieties of flavor, size, element etc. to meet different purposes of that
brand.

Page | 16
CHAPTER

2
2. OVERVIEW OF THE COMPANY

2.1. History

M. M. Ispahani Limited since 1820 (Certification of ISO: 9001) is one of the famous private
conglomerate industries in South Asia. Its head office was in Kolkata in 1900 and later in 1947 it
moved head office in Chittagong with many corporate offices gradually in Dhaka, Khulna,
Sylhet and Tea Estate and production zones etc. The group is creating a huge amount of
employments in many sectors day by day. In our country, it is the biggest Tea trading company
and captures a significant market share of Tea industry. “Ispahani Mirzapore Tea” is a popular
Tea brand within the country which is considered as a category/generic name of Tea more than a
brand. It has been able to make a strong distribution network where giant like Unilever can’t go
for head to head completion. The group has many subsidiary companies in different sectors. It is
also serve he nation with CSR (Corporate Social Responsibility) activities founding eye hospital
and many educational institutes as corporate philosophy. From the establishment it’s committed
to serving good quality products and services to the nation. This philosophy has been created a
good corporate image that influences the company among the community. From its beginning
Ispahani as a group is conquering the community love, dependence and support. It is established
to serve the nation with best quality products and services till the survival.

Page | 17
2.2. Mission

M. M. Ispahani Limited has a set of mission to see the business world. Some of them are given
below.

 Increasing the profit size by enhancing total sales.


 To be the market leader in the serving industry.
 Balancing the price with product and service quality.
 To secure consumer rights providing best quality food and service.

2.3. Values

Ispahani Group of Companies carries a highly ethical standard. Their values indicate some set of
criteria given here.

 Respecting the competitors among industries.


 Not to compromise with the quality issue.
 Research and development.
 Highest customer value.
 Ensuring best utilization of the resources.
 Appreciating the efforts.
 Serving the society (CSR).

2.4. Strategy

Ispahani sets the business strategies for the wellbeing of company as well as for the industry and
some of them are given below.

 Fixing a clear objective to achieve.


 Working as a team.
 Adapting with the changed environment.
 Conversing through integrity.
 Searching for the best potential.
 Caring for mutual benefit.

Page | 18
2.5. Organizational Chain of Command (Hierarchy for Marketing)

Being a conglomerate M. M. Ispahani Limited follows a horizontal chain of command as


hierarchy. Each of department has individual structure for operation. Here the model marketing
hierarchy is given below.

Designation Level

Chairman

Managing Director
Top Line Management
Directors

General Manager

Senior Manager (Sales & Marketing)

Senior Manager (Marketing)


Mid Line Management
Manager (Sales & Marketing)

Divisional Manager

Territory Manager

Territory Officer Bottom Line Management


Sales Officer

Assistant Sales Officer

Page | 19
2.6. Company Businesses

The company has different kind of business sectors in more than 13 fields of industry. Those
fields are Trading, Agro, Hospitality and Leisure, Packaging, Energy, ICT (Information and
Communication Technology), Poultry, Foods, Real Estate, Shipping, Jute, Cotton and Textiles,
Tea Garden and well established Tea Trade. A short description of these companies and
competitions is given here gradually.

2.6.1. Trading

The company has a trading wing named South East Trading Limited. It was established in 1979
and contains bigger project works like supplying for ports and shipping, utility providers (State
Owned Organization), road construction, water-sewerage etc. in our country.

2.6.2 Agro

In agriculture sector the group established Ispahani Agro Limited in 2007 as having a philosophy
behind nation’s food security including 3 different wings of seed, bio pesticide, and agro
processing. It commits to meet country’s agro industry development as operating business in a
mostly agro based economy.

2.6.3. Hospitality and Leisure

Ispahani has hospitality and Leisure business named The Avenue Hotel and Suites located in
Chittagong. For catering it owns some stores named Pitstop Bakery and Sweets, Pitstop Store
and Pitstop Restaurant in the same premise. These provide best quality food and refreshment to
the consumers.

2.6.4. Packaging

To serve with poly products for many industries like garment and textile, consumer food
packaging, see food preserving, tea packaging etc. Ispahani Marshal Limited is a pioneer poly
manufacturer in Bangladesh. It serves both domestic and multi-national companies beyond
border for many successful years.

Page | 20
2.6.5. Energy

M. M. Ispahani has a power (electricity) supplying company named Pahartali Power House for
its factory including a project agreement with Power Development Board of Bangladesh
government and that plant is situated in Chittagong nearby the one of company factories.

2.6.6. Information and Communication Technology (ICT)

Broad Band Telecom Services Limited provides ICT solution to country’s internet usage
industry. It was founded in the year of 2002. It covers 7 divisions including 48 districts of the
country in an outstanding network.

2.6.7. Poultry

In 1997 Zareen Farms Limited was established for serving eggs and chicken to meet up the
country’s protein demand as initially a public limited company joint venture with M. M. Agha
Limited. It provides 4.5 millions day-olds chicks and 5.76 million eggs per year to the market.

2.6.8. Foods

Ispahani Foods Limited is a subsidiary company of Ispahani Group and was founded in 1999
factory plant located at Gazipur. It does agricultural and food businesses like manufacturing Fast
Moving Consumer Goods (FMCG). The product category is Rice, Potato Chips, Energy Cookie
Biscuit, Chanachur, Bakery and Snacks item etc.

2.6.9. Real Estate

It has two companies named Free School Street Property Limited and Nasirabad Properties
Limited as their real estate wing. These help to develop and design companies and for third party
construction like road, building etc. Another company named Sikomi Properties Limited
provides company’s tea state water plantation facilities.

2.6.10. Shipping

In Bangladesh, MMIL has been acting as second oldest agent for many shipping lines for more
than 50 years. It operates the business as a Non Vessel Operating Common Carriers for
renowned agency like Hoegh Lines, Oslo etc.

Page | 21
2.6.11. Jute

Though Jute Industry is considered as one of the sunset industries in Bangladesh Ispahani have
glories progression in this sector. In early 1950, Chittagong Jute Manufacturing Company
Limited was established to produce jute and supply. Later another company was also established
named as Victory Jute Products Limited and because of losing demand it turned into a
warehouse business.

2.6.12. Cotton and Textiles

Pahartali Textile & Hosiery Mills is a unit of Ispahani’s thread yarn manufacturing business. It
provides categorized high quality yarns to country’s export oriented knitting industry remarkably
from the establishment year of 1954. It is termed as one of the biggest yarn suppliers among the
suppliers and most revenue earning department for Ispahani group.

2.6.13. Tea Garden

Ispahani group owns four tea gardens across the country. Mirzapore, Gazipore, Zareen tea estates
are located in Moulavi Bazar, Sylhet and Neptune tea estate is located in Chittagong. These
estates supply tea for own company and for the market dealing at the Chittagong Tea Auction.
Those gardens yield on average 1800 kilos the highest amount achieved nationally. In tea
gardens Ispahani produces a small volume Raw Rubber Sheet and its 75 percent of total
productions are being exported to the international market.

2.6.14. Tea Trade

Ispahani Mirzapore Tea is the most famous and sole largest Tea categorized brand in
Bangladesh. It pioneers the tea market segment from the very beginning of country’s tea
manufacturing history. Ispahani Tea Department is one of the most profitable revenue sections
for the company considering since its operation. It’s Tea Blending and Packaging Factory,
located in Chittagong ensures the best quality of packed both for foreign and local market to be
served. Tea .It is providing quality Tea product and for that it has been achieved ISO 9001:2008
certification because of excellence management coordination. Being as market leader in branding
arena it becomes a household consumer brand name too. Community recognizes the brand as a
category wherever it is found appreciably.

Page | 22
2.7. Sales Volume of Ispahani Tea

During my internship session I got opportunities to work in different departments of the


organization mainly under their Business Development. This development also does marketing,
research and planning for Tea Department. According to last Tea sales record (Source: Audit
2013-14), Ispahani Tea Department has been sold out to 20 millions KG Tea (approximately).

2.8. Size of Workforce

M. M. Ispahani Limited as a group provides work for more than 10000 employees and this
number of employment rate is enhancing continuously.

2.9. Ispahani‟s Competition among Industries

In Tea segment, Ispahani is the unrivaled leader of market available. Other brands like Seylon
(from Abul Khayer Group of Companies), Taaza (from Unilever), Fresh, No. 1 (from Meghna
Group of Industries), HRC (from HRC Products Limited), Tetley (marketed by ACI Limited in a
joint venture with Tata Group), Danish (from Partex-Star Group), Shaw-Wallace (from Shaw-
Wallace Bangladesh Limited), Pusti (from T. K. Group of Companies), Muskan (from S. A.
Group of Industries) and Finlay (from The Consolidated Tea and Lands Company Bangladesh
Limited) are the most branded Tea competitors in the market. In recent years only Seylon is
competing Ispahani Tea brands in city market in an increased growth rate. In my survey it is also
notable capturing of Seylon marketing especially at Hot Tea Stall market in Dhaka city. Some of
the competitors are doing well in cities or any particular locality but an intensive strong
distribution channel strategy has made Ispahani Tea brands undefeated.

In Textile section, Pahartali Textile & Hosiery Mills (PTHM) faces severe competitions in the
relevant industry. In this industry other market players like Beximco, Square, Badsha, and Desh
are the main competitive Textile manufacturers. Here PTHM’s position is well enough serving
various range of cotton yarn supply and it is considered as one of the profitable unit for Ispahani.

Ispahani Foods Limited is a developing food item manufacturer of the group. Here competitors
like Square Food & Beverage Limited, Akij Food & Beverage Limited, Pran-RFL Group,
Bombay Sweets etc. are the main market leaders among food and beverage industry. In

Page | 23
comparison of competitors success Ispahani Foods Limited can be considered as question
marked unit in order to Boston Consulting Group (BCG) matrix.

In Agro division, Ispahani Agro Limited (IAL) faces severe competitions by well established
market players. Here IAL has to face competitors like Supreme Seeds, United Seeds, Petrocam,
Lal Teer etc. are the main market players. Being a new company in agro sector since 2007, IAL
is considered as developing one for the group.

As a group Ispahani competes with other conglomerates by diversification of many units of


business. Giant like Unilever, Beximco, ACI, AFBL, Square etc. have made the industry much
competitive than earliest booming period. In only Tea sector Ispahani does the Tea marketing as
monopoly. To sustain in the industry M. M. Ispahani Limited tries to serve best quality products
and services as following set corporate ethics.

2.10. Ispahani Tea Distribution Channel

Ispahani Tea Department has an intensive distribution channel across the country. This
distribution network includes more than 490 Sales Centers under 22 divisional offices (according
to Ispahani’s segmentation). These divisional offices are gradually Barisal, Bogra, Chittagong,
Chittagong North, Chittagong South, Comilla, Dhaka, Dhaka East, Dhaka North, Dhaka South,
Dhaka West, Dinajpur, Faridpur, Jessore, Khulna, Kushtia, Kishoregonj, Mymensingh, Rajshahi,
Rangpur, Sylhet, and Tangail. Ispahani follows 4 steps distribution channel biding after auction
then tea leaf goes for blending as well as packaging at factory to division warehouse, division
warehouse to depot, depot to retailer, and retailer to consumer.

Ispahani/Manufa Division Depot Retailer Consumer


cturer Warehouse
501 Depots across DS/HTS/STN/ Tea
Tea Blend and 22 Divisions the country GS/CS/HORE Stall/Household
Packaging Factory across the CA
country

Page | 24
2.11. Product Line in Ispahani Branded Tea

Ispahani Tea segments the market demographically. Here in Bangladesh Tea consumption
pattern differs place to place. For that the company had been laughed different branded Teas
across the country as needed. Ispahani didn’t go for category extension of the most successful
Tea brands but line extension. Here some of their Tea brands (according to Line Extension) are
given below including their existing market area.

Brand Name Served Area


Blender’s Choice All Districts
Five Star Bogra
Green Spot Chittagong, Rangpur, Bogra
Hot Tea Stall All Districts
Hotel Dust Bogra
Lion Dust Rangpur and Rajshahi Divisions
Lion Leaf Rangpur and Rajshahi Divisions
Mayur Rangpur, Rajshahi and Khulna
Mirzapore BL All Districts
Mirzapore BOP All Districts
Mirzapore BRD Dhaka
Mirzapore PD All Districts
Mirzapore TB All Districts
MTB Bag in Bag All Districts
Superior Tiger Rangpur, Rajshahi and Cox’s Bazaar
Tea Stall Special All Districts
Zareen All Districts

Page | 25
CHAPTER

3
3. INTERNSHIP ACTIVITIES

Getting offer from M. M. Ispahani Limited as an intern was really an honor for me. After
interviewing I joined there one day later. In order to letter of placement, they had assigned me to
contribute in several Ad-hoc studies, particularly to be extensively involved with the study on
“Analysis of Market Scenario (Hot Tea Stall) of Ispahani Tea and Competitors”. During my
internship period I did different types of work in several departments. I have worked in Business
Development, Agro Department, Supply Chain Department, and their Textile unit Pahartali
Textile & Hosiery Mills. Each of work I have enjoyed a lot to do. Here in below some of my
internship activities are described elaborately.

3.1. Week 1st

3.1.1. Ispahani Public School and College (IPSC) Survey Serial Coding

First day at my intern organization was a remarkable day of my life. After entering into
Ispahani’s office their one of executives of Business Development greeted me with affable
hospitality. He (the Executive) introduced me with the responsible figures of the house and
brought to a desk to work. Then I had assigned for a task to coding the serial number of survey
papers. Ispahani Public School and College is Ispahani’s one of the reputed educational institute
across the country. Every year Business Development Department is responsible to do survey its
teachers, guardians and students and evaluates the overall performance of the institute for
making better decision to be improved. The quantity of the papers was 5000 in numbers. I put a
serial code of 5 digits on survey papers consecutively. The task was done for knowing the
absolute number of the sample size and tracking each of paper after database coding entry. It
took 4 days to be completed in class and section wise receptively. Then I had carried those
papers for storing by an accessible manner. If it’s necessary to check a paper I could be able to
find the selective paper in an easiest way. This survey checking is also a tower some task to do
but working through a regular process it was become simple than to be thought and enjoyable.

Page | 26
3.2. Week 2nd

3.2.1. Sorting and Translating the Feedback of Guardian and Teacher of IPSC

In next following week I was called for sorting and translating the feedback of guardian and
teacher of the institute. The survey paper is written in Bengali for conveying the proper message
to the participants. In final assessment it was needed to translate in English. There were many
kinds of feedback in the papers and I had assembled them in a format. It was instructed to omit
any irrelevant feedback from the participants. They gave feedback on institute’s satisfaction,
dissatisfaction, and recommendation in written. There was another part of questionnaire on
overall performance of the institute’s in liker’s scale (ranged 1 to 5).

3.2.2. Keeping Dealer and Retailer Attendance of Ispahani Agro Limited

In this session I was called for assisting a deputy executive of their Market Development
Division. The Deputy Executive taught me how to keep dealer and retailer meeting/workshop
attendance in a structured approach I had continued that task in a regular process when the bill
and challan arrived. I kept mainly attendance for their Seeds and Biotech wings. It’s a routine job
to train and demonstrate the dealer and retailer regarding the product/brand and their usage. IAL
has several ranges of brands like Agomoni, Meghla, Ispahani 1 & 2, Duranta, Nobin (for Hybrid
Rice), Nayantara (for Hybrid Cucumber), Jalali (for Hybrid Bitter Gourd) Red Dragon (for
Watermelon), Lonka (for Hybrid Chili), Q-phero, Bactro-D, Spodolure (Pheromone for insects
killing) etc. and these are modifying year to year for better production. That’s why it requires a
routine training and meeting for those dealer and retailer of IAL. I was responsible or recording
in where (IAL Region and Territory) the session is happening and regarding on what
brand/product of the company.

3.3. Week 3rd

3.3.1. Sorting Market Observation Report of Ispahani Tea

Then I went back to my assigned department. Here another executive taught me how to sort their
market observation report transmitted by their divisional executive. Divisional executives are
responsible for visiting the market regularly. They go to markets and take some important data as
findings what recent issue is happening. They put it on a format including recommendations and

Page | 27
then submit it to Business Development on due time. My task here was to sort the necessary
information from that Market Observation Report (MOR) and transfer it to the responsible
executive. From this MOR I have learnt how market intelligences track the market and help to
develop the brand/product systematically.

3.3.2. Sampling Distribution and Acknowledgement of IAL Brands

To boom up Ispahani Agro Limited sales company takes many effective promotional activities to
reach the market as well as the farmers. Company takes promotions like sampling (Free) various
range of seeds and biotech items, demo signboard, PVC banner, festoon, wooden framed banner,
leaflet etc. to farmer, researcher, agriculturist and entrepreneur. IAL regional and territorial
bodies are responsible to distribute these materials where needed. I recorded the date, name,
amount, place, and person of materials taken. There was tow part of this task. First one is
Distribution and second one is Acknowledgement of the materials taken. In Distribution I
recorded the materials that sent from to company stock and in Acknowledgement I recorded the
information that is received by the authorized party. According to my record statement, the
deputy executive tracks the material where it’s received and due over the phone. It was also
regular task for me while promotion bill arrives.

3.3.3. Enterprise Resource Planning (ERP)

Here I did input data for Tea and Food item on Enterprise Resource Planning database. This ERP
database includes three statements at all. These statements are Stock Position of Tea and Food,
Customer Relievable Position, and Cash in Hand. I recorded only Stock Position of Tea and
Food item in which market these are sold out. This statement matches the balance as given
formula by format. For Tea item it is counted in KG and for Non-Tea (Food) item it is counted in
packet. Later it was submitted to the executive for uploading on final database system.

Page | 28
3.4. Week 4th and 5th

3.4.1. Recording Voucher/Receipt and Tracking Farmer‟s Field Day of IAL

In these weeks I was called for assisting another executive of Ispahani Agro Limited. The
executive assigned me to record the voucher/receipt statements received only. It was also much
time consumed work for me and it takes two weeks to be finished. The amount of the
voucher/receipt was 2000 copies (approximately) from the last operation year of June 2013 to
October 2014. Beside this task I did record Farmer Field Day activities by regionally as IAL
department. Farmer Field Day is basically happened to show IAL brand performance in real
time. During harvesting farmers are invited to observe the expected production where Ispahani
brands are cultivated with greatest hospitality. This makes farmers and agriculturist loyal to
Ispahani brands effectively. There are 7 regions in this department to serve as operational area
for marketing. From this IAL department I have learnt many things on agricultural marketing for
the first time.

3.5. Week 6th and 7th

3.5.1. Preparing Tea Sales Report from Server

It’s a regular work for Business Development executive to balance the Depot In-charge (DIC)
sales amount with Brand wise sales in given format across the sales division. Here I did basically
sales balancing for Tea product inputting the KG amount of the Tea from where it is sold out. I
have continued it in most time while the responsible executives remain busy with other task and
really it’s an enjoyable work to do.

3.5.2. Promotional Top Sheet Billing

In these weeks I went for making Promotional Top Sheet Billing instructed by that IAL’s deputy
executive. I have learnt how to write a Promotional Bill and its Top Sheet. In Top Sheet whole
expenses of promotion against a certain criterion is being written elaborately. The promotion
happens in selling, training, and displaying session mostly. A significant number of expenses for
promotion are being spent on farmer/retailer/dealer hospitality like refreshment (Food),
decoration, space rent etc.

Page | 29
3.6. Week 8th, 9th and 10th

3.6.1. Keeping Entry on Purchase Order at Supply Chain Department

In these three weeks I went for assisting supply chain executives to input updated entry on sheet.
Here I tracked the indent number of Purchase Order to match with Purchase code item wise. It is
basically done for keeping a record statement to check the happened requisition, supply etc. In
this statement every particular within Purchase Order is recorded through serial number,
quantity, rate, vat, subtotal, and total amount of Taka. After inputting raw data on sheet
responsible executives make pivot table as balancing the statements needed.

3.6.2. Cross Checking of IPSC Survey Coding

In this week executives assigned me to do cross checking for IPSC survey on raw data to be
ensured that each of data was imputed and coded correctly for accurate result. In here I went for
checking every survey paper carefully and ensured then nothing remain missed.

3.6.3. Cross Checking of Ispahani Hot Tea Stall Survey

In these weeks executives found unusual significance level of factors (unexpected weight of the
factor’s percentage) behind Hot Tea Stall survey result and they want to do cross check figuring
out what’s wrong. Here I had noticed that in data entry session data operator did little mistake in
inputting and after correction of it the ultimate findings of the survey didn’t change significantly.
Then executives decided to break down the significant level and assigned to go to the papers to
check again what’s written on the papers by the surveyor. The survey sample size 1600 in
numbers and I went through these papers gradually and brought out the percentage
categorization as instructed. I also noticed that here categorization of the factors were not
classified wisely.

3.6.4. Coding of Ispahani Hot Tea Stall for Missed Division

5 out of 22 divisions of Ispahani had remained incomplete that Hot Tea Stall surveying because
of executive vacancy. Later their Kishoregonj division survey paper had arrived and I went for
coding it into a given format. There were more than 120 papers in that particular division and I
assembled those on a consequent way.

Page | 30
3.6.5. Preparing Certification of Production of Pahartali Textile & Hosiery Mills

At the end of 10th week of my intern period I wanted to do work in Textile Department. The
manager of the Textile gave a chance to work over there. Their one of commercial executives
taught me how to write a certification of production. The certification is basically prepared for
the declaration of transparency that the manufacturer is going to spin cotton yarn as ordered by
the knitters. This certificate goes to Bangladesh Textile Mill Association (BTMA) for the final
approval of delivery as well as evidence. There was a structured format to prepare the certificate
before checking a draft print out in every time.

3.7. Week 11th and 12th

3.7.1. Recording Demand Sheet of IAL

Retailer and Dealer provide sales order to IAL regional stock and as ordered responsible supply
the goods like seeds, biotech insecticides etc. It is a routine base task for the department keeping
demand record where and how amount of goods are delivering. It also shows a sales volume
what amount of goods retailer and dealer are ordering. By this demand sheet maintenance I
learned the chain of demand supply of agro products.

3.7.2. Preparing Gifting List of IAL

Over here I prepared a sheet of gifting list of Ispahani Agro Limited. IAL provides goods
complementary to high official persons for the branding Ispahani brands. It require also a record
whom and what amount complementary items are given through promotion.

3.7.3. Preparing Database for Corporate Telecom Service

Each of corporate has contract with a mobile phone operator telecom services. These two weeks
Business Development went for verifying 3G service of Grameen Phone, Robi, and Banglalink.
Here the department wants to know which telecom operator provides 3G service in which
locality across the country. I assisted to sort out the 3G coverage of those companies as well as
their limitation. Few days later, I was assigned for arranging the office postal address of
Ispahani’s executive division wise. And then I prepared another database keeping record of
divisional employee name, designation, address, depot, and cell phone number.

Page | 31
3.8. Achievement on Internship Working

At M. M. Ispahani Limited, I have learnt many things about corporate culture. The executives
are very much affable and helpful. They taught me as a teacher and the mistake I did they correct
it in well furnished manner. Each and every employee of the house is dedicated for their woks. I
have learnt the culture of respecting other and come to office on due tine and same for leaving. I
experienced here when a difficult task arrives they tries to work as a team to do their best. I have
learnt many unknown things about Microsoft Excel working, Supply Chain Management, and so
on. I performed mainly as an assistant to do the executive’s work easy. I can relate many things
here what I learned in academic term especially branding and marketing procedure of Fast
Moving Consumer Goods manufacturer. I found a little gap in job rotation of the house. If any
responsible executive remains absence then his/her work left unfinished most of the time. The
overall experience of my internship session is very positive than I thought.

Page | 32
CHAPTER

4
4. METHODOLOGY

4.1. Sampling

The study I have chosen for internship requirement, I got authorization from my intern
supervisor and honorable organization manager to fix the sample size as well surveying this
study. By comparing my ability and limitation I have fixed to study on 150 sample size based in
Dhaka city. For internship students it is suggested to fix 30 Survey Papers (Sample Size) but to
make study strong I have decided to do more survey in different angles of Dhaka city as
increasing papers. In this study I preferred to use convenient method for sampling.

4.2. Data Collection

In performing my study, the sampling survey technique has been followed to make the report as
given instruction. The whole study has been separated in parts quantitative and qualitative. In
questionnaire only few parts are set in quantitative and most of the questionnaire has been set in
qualitative approach. The survey of the study includes both open-ended and close-ended
questionnaire format to be asked for Tea Stall Owner directly. To collect data from Tea Stall
author of the study went for surveying in Dhaka Metropolitan Area best possible. The surveyed
locations are Sadarghat, Shahbag, Dhanmondi, Mohammadpur, Banani, Mohakhali, Uttara,
Mirpur, Gabtoli, Khilgaon, and Mogbazar. Roadside and circle based (nearby) Tea Stalls were
selected to survey. Any market or bazaar area has been skipped during survey due to
interviewing an interested interviewee. Market area people are too much busy with dealing than
non profitable talking. It suits best with interviewing of road side Tea Stalls and more over these
are highly noticeable to the surveyor. At first data collection has started with an expected manner
during the survey session exchanging greetings and giving a short description of survey reason
by referencing the name of organization M. M. Ispahani Limited where the surveyor has come
from. Later the session has continued through informal friendly conversation. Here in this study
both primary and secondary data are used to build a furnished report for recommending best as
linked with set objectives.

Page | 33
4.3. Sources of Data

i. Primary Data: The approach of primary data collections are as following-


 Casual and straight conversation with the Tea Stall Owner.
 Observation of the Tea Stall environment.
ii. Secondary Data: Source of secondary data collections are as following-
 A little data are collected from internet and company website.

4.4. Data Analysis

Data are the raw information of a study to observe the scenario and make possible solutions to be
challenged. Analysis of data refer the process of indication that will come through procedure of
interpretation for given statement.

In analysis section I analyzed in the same way what I have learnt in my internship session under
Business Development department of the organization.

Both surveyed primary data and internet collected data have analyzed in Microsoft Office and
Excel program. Raw data have been processed, transferred, tabulated and examined carefully.
These approaches were taken for making this report as a valuable study. Hope that it will
contribute to develop Ispahani Tea marketing in near future.

Page | 34
CHAPTER

5
5. ANALYSIS AND FINDINGS

This paper is prepared to identify the factors behind Ispahani’s market position in Dhaka city Tea
Stall market. The findings result of this report is describing below according to questionnaire
surveyed relating objectives.

5.1. Questionnaire Figure 1: Type of Tea that Hot Tea Stall Use

What type of TEA leaf do you usually use


Particular Frequency in your shop?
Loose Tea
Local tea 1%
7%
Branded Tea 138

Local tea 11 Branded


Tea
92%
Loose Tea 1
According to survey, Tea Stalls interviewed by 3 types of Tea gradually Branded, Local (area
based) and Loose. From gathered data 138 out of 150 Tea Stalls answered that they prefer
branded Tea to serve. 11 Tea Stalls found using Local and only 1 shop found in using Loose Tea.
In account of percentage, Branded found 92%, Local 7% and Loose only 1% in using.

5.1.1. Outcome

 It means Tea Stall in Dhaka city much aware about using branded Tea.
 A little portion of using Local and Loose Tea Stall could be potential for brands Tea.
 City end Tea Stall has a trend to use Local Loose Tea significantly.

Page | 35
5.2. Questionnaire Figure 2: Daily Consumption of Tea (on average)

Particular Frequency
Below 500 gm 31
500 gm to 1kg 100
Over 1 kg 19
In figure 2, Tea Stall owners are asked to say the amount (in KG) of daily consumption of Tea
(except Tea Bag). 100 of respondents are found using Tea 500 gm to 1 kg. 31 respondents below
500 gm and 19 respondents over 1 kg are found using Tea gradually.

Daily consumption of Tea (Kg)

13% 21%
Below 500 gm
500 gm to 1kg
Over 1 kg
66%

Dhaka city Tea Stall found mostly using 500 gm daily on average. According to owner of Tea
Stall sells approximately 300-500 cups of Tea in a busy day.

5.2.1. Outcome

 Over 500 gm Tea leaf daily is a common scenario of Tea Stall consumption.
 Tea Stalls stock Tea to serve more cups as demand.
 Over crowded Tea Stall needs more than 1 kg Tea leaf daily.

Page | 36
5.3. Questionnaire Figure 3: Attributes Considered in Purchasing Tea

Particular Frequency What are the attributes of tea you consider


Quality 67 while purchasing tea?
Quality
Availability 8 2% Availability
7% 21% Price
Price 53 Color
27% 3%
Color 19 Taste
17% Liquor
Taste 53 Credit
17% 6%
Liquor 84 Others
Credit 5
Others 22
Analyzing the attribute data, it’s found highest 84 times respondents told about the Liquor
quality attribute considering at purchase. Most sensitive Tea price attribute found third in
frequency of 53 times. Percentage built highest for the same Liquor 27% and lowest found 2%
for Credit facility.

5.3.1. Outcome

 Diagram refers that Tea Stalls do care much of Tea Liquor and Quality than Price.
 Price plays another significant attribute in purchasing to secure the profit best.

5.4. Questionnaire Figure 4: Source of Tea Purchase

Particular Frequency By whom do you purchase TEA?


1% Distributor
Distributor 40
23% 26% Company (Cycle
Company (Cycle man man.SO
SO) Near Shop
77
50%
Near Shop 36 Others

Others 2
Question regarding purchase source of Tea Stall seller answered highest frequency of 77 from
company having 50% of the options given. They feel convenience to take Tea from company.

5.4.1. Outcome

 It represents that for Tea manufacturer Tea Stalls are best potential to approach.

Page | 37
5.5. Questionnaire Figure 5-8: Brand Awareness, Availability, Preference and Loyalty

If you are asked to mention one TEA Particular Frequency


brand name, then which brand’s name Ispahani 112
come first on your mind? HRC 2
40%
Seylon 88
31% Finlay 4
No.1 9
Danish 28
10% Fresh 4
7%
1% 3% 1% 4% 2%
1% 0% 0% 1% Taaza 19
Shaw-Wallace 0
Pusti 0
Muskan 2
Tetley 10
Other 5

Survey has referred the highest brand awareness of Ispahani with the highest number 112
frequency. In carries the percentage among options asked to several Tea Stalls. Here Ispahani
stood first position of having 40% and Seylon has come nearby of 31% around.

Particular Frequency Which TEA brand(s) is/are available in your


Ispahani 97 area?
HRC 7
40%
Seylon 80
33%
Finlay 3
No.1 6
Danish 20
Fresh 6 8%
3% 4% 3%
Taaza 6 1% 2% 2% 2%
0% 0% 1%
Shaw-Wallace 0
Pusti 0
Muskan 2
Tetley 9
Other 7

Here question regarding brand presence Tea Stalls are asked to figure out the brands availability.
Ispahani has stood highest in the number frequency with 40% of the total scale and Seylon has
33% market share among top competitors.

Page | 38
Which TEA brand(s) do you prefer most? Particular Frequency
Ispahani 81
45% 39%
40% 35%
HRC 1
35% Seylon 72
30% Finlay 1
25%
20% No.1 9
15% 11% Danish 23
10% 4% Fresh 3
5% 0% 0% 1% 2% 0% 0% 1% 1% 3%
0% Taaza 4
Shaw-Wallace 1
Pusti 0
Muskan 2
Tetley 3
Other 6
In questioning of brand they prefer most found 39% for Ispahani, 35% Seylon, and 11% for
Danish obtaining frequency gradually 81, 72, 23.

Particular Frequency
Which TEA brand(s) do you purchasing now?
38%
Ispahani 83
35% HRC 1
Seylon 76
Finlay 1
No.1 12
11% Danish 24
5% 5% Fresh 1
0% 0% 0% 1% 0% 0% 1% 2% Taaza 3
Shaw-Wallace 1
Pusti 0
Muskan 2
Tetley 4
Other 11
To know existing brand they are using, found top for Ispahani’s highest frequency in respond. It
has obtained 38% of brand loyalty among competitors. The important thing is that Seylon found
35% of that loyalty which is alarming for Ispahani.

Page | 39
5.5.1. Outcome

 Ispahani found highest earning awareness as brand but decreasing by the competitors.
 Seylon has enhanced marketing as serving purpose of branding to come to this position.
 Tea Stalls prefer Ispahani but because of competitor’s facility they don’t go for other
brands significantly.
 The percentage of current purchasing brand indicates highest brand loyalty for Ispahani.

5.6. Questionnaire Figure 9-10: Satisfaction and Dissatisfaction behind Current Brand

Are you satisfied purchasing current


3%
brand?

Yes
Particular Frequency

No
Yes 145
97%

No 5
Its found 145 of respondents said that they are satisfied with current brand in selling. Only 5
respondents said they are unsatisfied combining the frequency gradually 145 and5 out of 150
respondents.

If not satisfied, then what is the reason


behind that? Particular Frequency
0%
Quality Quality 3
Availability
33% Availability 1
Price
50% Color Price 0
Taste
0% Color 0
0% 17% Liquor
0% Others Taste 0

Liquor 2

Others 0

Reason behind dissatisfaction, Tea seller claimed 33% of overall quality for Tea and 33% of
liquor factor. 17% of them claimed for Tea unavailability.

Page | 40
5.6.1. Outcome

 Most of seller unsatisfied on Tea brand that they are using and it refers the quality
standard is overall good for every brand.
 Few of sellers unsatisfied on Tea Liquor Quality that doesn’t match their expectation.

5.7. Questionnaire Figure 11-13: Brand Duration, Loosing and Switching Reason

Duration of using current brand Particular Frequency

0-3 Months 0-3 Months 20


14%
3-6 Months
39% 9% 6-9 Months 3-6 Months 14
2% 9-12 Months
5% 1-2 Years
6-9 Months 3
More than 2 Years
9-12 Months 7
31%
1-2 Years 47
More than 2
Years 59
Here brand loyalty on duration found 39% highest more than 2 years then following 31% over 1
year. 2 years usage got highest frequency by surveyed respondents 59 in times.

What is your just previous brand?


Particular Frequency
3% 14% Ispahani
Ispahani 87
2% Seylon
2% Fresh Seylon 32
No.1
58% Danish Fresh 3
21%
Others
No.1 3

Danish 4

Others 21
Analyzing who loose most, Ispahani has lost most in scale of frequency number 87 and close
competitor Seylon has lost 32 number of frequency given. In percentage category Ispahani

Page | 41
missed 58% more than half significantly. For Seylon it found 21%. Other lost around 14% both
Local and comparatively weaker brand like Shaw-Wallace, Pusti, Taaza, HRC, Muskan etc.

Reason to switch Particular Frequency


0%
1% Quality
9% Quality 64
Availability
18%
Availability 36
46% Price
Price 25
Personal
Relation
Personal
26% Credit Relation 2

Others Credit 0

Others 12
Tea Stall seller proclaimed that they have switched into another brand mostly for Quality matter
having 46% weighing the 64 in number of frequency. 26% defined for distribution Availability
and 18% for Price. Here Price factor has become less major issue for that Tea Stalls approached.

5.7.1. Outcome

 Most of Tea Stall doesn’t change brand frequently.


 Competitors also lost significant market share in number.
 In questioning regarding market share, Ispahani has found most challenging in position
losing more than a half in percentage.
 Tea Stalls has switched into another brand mainly because of the quality of Tea and
availability. It refers that that Tea Stalls are less price sensitive than quality and
availability.

Page | 42
5.8. Questionnaire Figure 14 A-B: Ispahani Experience and Reason for Not Purchasing

Did you ever purchase Ispahani?


14%
Particular Frequency
Yes 83
Yes No 13
86% No

Tea Stall sellers were asked about Ispahani brand usage entire their business period. They said
“Yes” 83 in frequency with the weight of 86%. Rest of the 14% said “No” in responding 13
frequency times.

If YES then why you are not purchasing now?


Particular Frequency
6%
Quality 36
Quality

19% Price Price 29


41%
1% Credit Facility
Credit Facility 1
Availability
33% Availability 17
Others

Others 5

Reasons behind not purchasing Ispahani brand found as segmenting Quality, Price, Credit,
Availability mainly. Carrying 36 frequency times Quality factor has measured here the most
significant reason for not purchasing of Ispahani. Price is the second highest factor for that.
Availability also termed as one of the significant reason factors as described.

5.8.1. Outcome

 Ispahani experience gainer here refers higher in percentage being as strong brand too.
 “No” claimers could be the potential to approach.
 Tea Stall sellers are very much unsatisfied with Isaphani Tea quality failure.
 Affordability of Ispahani price suites less with them.
 Although having an intensive distribution channel Ispahani found failure in supplying
Tea continuously.

Page | 43
5.9. Questionnaire Figure 15: Promotional Offer Expected by Tea Stall

Particular Frequency
What types of Promotional Offer do you expect from
Cup set 71
a TEA company?
Kettle 17
19%
Flask 30
Tray 31
14%
Glass 9
8% 8% 9% Light 25
7% 6% 6% 6% Umbrella 21
5%
4% 3% 3% Decoration 33
2%
Signboard 22
Cash Discount 50
Scratch Card 13
Any other gift 11
Credit 22
Others 10
Tea Stall sellers have asked for expecting some promotional offers from any Tea company. It
was said them to generate more sales influencing the expectations Gift, Cup set, Kettle, Cash
discount etc. Cup set is the most integral equipment for Tea Stall. Over here, having frequency of
71 times cup set has demanded 19% of total given expectations. 14% of Tea sellers have wanted
Cash discount for instant profit before Tea selling. Another expectation wanted by them in 9%
likely to be decorated Tea Stall wrapping sticker, festoon etc.

5.9.1. Outcome

 Promotion like providing Cup set, Kettle etc. influence Tea Stall to be loyal.
 It leads Tea Stall to sell more cups of Tea as well as for the company.
 Expectation has demanded what actually needed behind the expansion obstacles.

5.10. Lessons Learnt from Internship Organization

During Intern session at Business Development, in M. M. Ispahani Limited I have learnt many
things unknown. Here a few of the learnt lessons are given below that I have applied in my study
to prepare an informative report.

Page | 44
5.10.1. Time Management

Ispahani highly appreciates to do the assigned task on due time. It’s their corporate culture to be
defended on late. Being influence by this I was motivated to do internship task on regular basis.
From the beginning of supervisor introducing I have done this report as following internship
calendar when and whom to go. After submitting research proposal the things have happened
through a scheduled time management.

5.10.2. Communication Skill

Trained by executives I have been able survey Tea Stalls to conduct my study and to help them
in repot making. I have learnt how to communicate with Tea Stall sellers for collecting best data
available.

5.10.3. Relating Academic Theory with Business Practice

Working on Tea study I could relate a significant term of branding “Line Extension” studied
academically. In Ispahni’s Tea line there are many brands serving different segments of Tea
lover. According to “Line Extension” terminology Ispahani has extended several brands
following most popular “Mirzapore” across the national demographically.

5.10.4. Data Coding and Analysis

In internship organization, I have worked at their Business Development department. This


department is mainly assigned to do research and developmental study for Tea and Non-Tea
(food). It does research for Ispahani in many places. Survey sampling is also become large in
size. I have learnt how to code the factors found through survey and input data on sheet
precisely. I did go for cross checking as needed to break down in the factor to be mannered.

Page | 45
CHAPTER

6
6. CONCLUSIONS AND RECOMMENDATIONS

6.1. Conclusion

To be a market leader in Tea industry Ispahani has spent plenty of time and effort especially on
distribution channel to make it as intensive enough. Mostly studied Pareto principle refers 80/20
rule that 80 percent of any particular sector happens because of 20 percent of the attempt behind
market. Ispahani Tea has been followed the idea best possible to have today’s position. As a Tea
brand Ispahani has a greater brand value across the industry. Because of some mismanagement
it is losing potential market by the competitors available. This study is considered as a little
guide line to the present market scenario including few concepts to overcome the situations.

The findings can be the partial information for solving those challenges defeating the
competitors. Dhaka city is a huge market for Ispahani as a whole especially at Hot Tea Stall. The
increased population in Dhaka is being termed as prospective market for the company. More
people mean more Tea drinkers and Dhaka city gaining the same concept of urbanization.

It requires many things to make brand more successful. Often it needs extension, re-branding,
penetration, development, promotion etc to be successful as well. A few changes in strategy may
drive a brand toward success as expectation. Ispahani Tea is operating as a separate department
and has that much freedom to set the strategies needed. For many years of operation Ispahani
dealing the Tea trade where prospect arrives. Ideas are the main means to get accomplishment of
Ispahani Tea. Flexibility and adaptation thinking makes an organization to be survived. Ispahani
does the same and needs much things having utmost sustainability.

Page | 46
6.1.1. Summary of Findings

Ispahani is trading Tea business for many years. Operations from those years, It has been
established an unrivaled distribution network across the country. In Tea brand awareness it found
leader in the market available. Tea purchasing from company distributor also refers Ispahani’s
intensive distribution channel. Tea Stalls are aware much about the brand in Dhaka city locality.
In availability, preference, and purchasing Ispahani is still positions in first. A constant growth of
competitor is capturing the market wisely. Seylon has been considered here as a close
competitive brand (threat) for Ispahani. Along with Ispahani Tea Stalls found satisfied but the
inclusion of quality failure claims. Tea Stalls never switch one brand to another frequently which
is good for the company having constant sales. In losing criteria Ispahani has lost many of
customers mainly because of quality failure and same for the competitors.

6.2. Limitations of the Study

As a student this study is conducted as a requirement for BBA degree at end of my bachelor
program. During the study many limitations happened and hinder the report with drawbacks.
Some of major limitations are described below.

 This report is supposed to be made within 3 months internship session. Because of time
constraint it is not possible for making a quality research. Moreover working after
delayed office it was not possible to give extra time on the study. The survey session
happened only in holidays possible. For this report findings found narrower in result.
 Surveying Tea Stall is one of the toughest field works for any researcher. Most of time
Tea Stall owner or sellers remain busy with serving customer, making tea and so on.
They don’t want to talk anything unfruitful. Even they request to come later for
conversation. More over they don’t provide sufficient information needed. So here
surveyor needed to put information modified possible. These obstacles probably have
made this report ambiguous.
 Tea Stall study is performed as first study for author of this report. Lack of proper
experience may lead this report less worthy.
 Only author has to survey the Tea Stalls because workforce limitations. This burden of
surveying may be made author exhausted to collecting right amount of quality data.

Page | 47
 According Dhaka city population the sample size of the study is really small. Only 150
Tea Stall owners are interviewed through a given questionnaire. For this constraint the
findings might not be the actually scenario behind Hot Tea Stall market.
 Adverse weather is one of the obstacles for this study. During the survey session hot
sunny weather hindered the data collection procedure.
 Lack secondary data is also a limitation for this study.

6.3. Recommendations

Giving recommendations for the company betterment is an important part of intern report.
Analyzing the findings and own observation here I am submitting some recommendations for
various parties related to the study done.

6.3.1. Recommendations for Company

In brand awareness Ispahani has stood first in consumer or buyer mind. But because of
awareness of marketing company is losing poetical market share significantly. It is said that, “Do
not expense little on marketing just invest wisely.” There is also another saying. “One who
stopped spending money on advertisement means the same as stopping clock for time out.” Here
suggestions for Ispahani’s strategic body as follows.

 Cycle men found less active in distribution. They do not go to provide Tea to Tea Stalls
regularly that’s why other brands are getting chance to capture market respectively. May
be they lacks proper remuneration facility (as Tea Stall Owner Saying) and it needs
redesigning.
 In report findings it is found that a significant percent of Tea Stall claimed against quality
consistency. I should be checked quality assurance as ISO certification archived.
 City edged Tea Stalls like river bank market does not much aware about branded Tea.
Reason for that could be their economic class and buying power. I appreciate it’s a
potential market for branding by campaigning Tea promotion and that will have the
prospect as well.
 Market penetration strategy is needed to fill the gap between competitor’s success and
Ispahani’s failure.

Page | 48
 A well established brand like Ispahani deserves higher image than other. It leads the
company setting Tea price higher than the competitors. It is not wise to reduce or set
price as same competitors. It may harm brand image badly. Here company can add extra
amount of Tea in the same price for different ranges of packages. This sales promotion is
not only effective for Ispahani branding but also increasing the sales. Over here Ispahani
should follow as Steven Bradley said, “Don’t try to give your customers best price, give
them the best value for the price.”

6.3.2. Recommendations for Sales People

Sales people are the key successor for the company. Only these people secure revenue from the
prospect. Their achievable effort leads company to be successful. For Ispahani sales people I
suggest as follows.

 Ispahani Tea is successful mostly on intensive distribution channel. It has established


through years long effort. It’s found survey that Ispahani sales responsible and cycle man
do not go to Tea Stall on regular basis. This makes distribution heritage weaker. I will
appreciate to visit and give Tea to Tea Stall regularly.
 Having a good relationship with Tea Stalls sales representative and cycle man should
behave well and it also found complain against the sales responsible unexpected
behavior.

6.3.3. Recommendations for Tea Stall Owner

Tea Stall owner plays a great role for Tea manufacturing company as well as for the Tea lover. I
would like to suggest Tea Stall owner as follows.

 Long lasted Tea liquor doesn’t mean the quality of Tea. It might be contaminated with
chemical. Profit is mandatory for business to be survived but it is much essential to keep
public health safety by using comparatively high priced branded Tea in market available.
 Giving feedback about limitations to company may enhance sales at Tea Stall.

Page | 49
6.3.4. Recommendations for Tea Lover

Tea drinkers basically want quality Tea product which will energize their mind removing
tiredness. From a strong brand like Ispahani I would like to recommend Tea drinker as follows.

 Tea drinking is a good habit scientifically proved. Before drinking Tea make sure that
blended drink has a quality as guided.
 Exaggerated color, liquor, taste of the Tea is not the standard of measuring quality.
 Drink Tea in a healthy way.
 Loose and locally branded Tea is not hygienic for health because it could be
contaminated by harmful elements.
 Most of Tea drinker at Tea Stall does not care about what brand they are actually eating.
It is suggested that branded Tea products are responsible to secure consumer wellbeing
than a non branded one.

………………………………………………………

Page | 50
6.4. References

i. Cooper, R. Donald, and Pamela S. Schindler. Business Research Methods. 10thed.


New York, the McGraw-Hill Companies, 2008.
ii. Http://www.ispahanibd.com (accessed in September 23rd, 2014).
iii. Http://www.banglapedia.org/HT/T_0110.htm (accessed in September 23rd, 2014).
iv. Kotler, Philip, and Gary Armstrong. Principles of Marketing. 13thed, New Jersey:
Prentice Hall, 2010-2011.
v. Kotler, Philip, and Kevin Lane Keller. Marketing Management. 13thed. New Jersey:
Prentice Hall, 2010.
vi. Keller, Kevin Lane. Strategic Brand Management. 3rded. New Delhi: Prentice Hall,
2013-2014.
vii. Pearce II, John A, Richard B Robinson, Amita Mital. Strategic Management. 10thed.
New Delhi: the McGraw-Hill Companies, 2008.
viii. Salma, Umme. An Empirical Study to Find Out the Optimal Price for Hot Tea Shop
Consumed Tea and Measuring the Value for Money Perception (VFM Indexing) of
Mirzapore BOP. Dhaka: 2008. (https://www.scribd.com/doc/18275394/Internship-
Report-by-Umme-Salma - accessed in October 10th, 2014).
ix. Schiffman, G. Leon, and Lazar Lesslie Kanuk. Consumer Behavior. 10thed. New
Jersey: Prentice Hall, 2010.

Page | 51
6.5. Appendix

Questionnaire (Hot Tea Stall)

Name of the Respondent:


Name of the shop:
Address:
Contact Number:

1. What type of TEA leaf do you usually use in your shop? (Local TEA= Locally Branded
& Area Based ) ( √ )
Branded Tea
Local Tea
Loose Tea

2. Daily consumption of TEA (Kg)

3. What are the attributes of tea you consider while purchasing TEA? ( √ ) (Multiple
possible answers)
………………………………………………………………………………………
………………………………………………………………………………………
………………………………………………………………………………………
4. By whom do you purchase TEA ( √ )
From Distributors
From Company
From Nearer Shop
Others (……………)
Answers of the questions no. 5 to 8 should be ranked on the box (Rank 1 to the highest)
5. If you are asked to mention one TEA company name, then which company’s name come
first on your mind? (If there are more than one answer then spontaneously rank from the
1st)
6. Which TEA brand(s) is/are available in your area? (Rank 1 that is abundant most)
7. Which TEA brand(s) do you prefer most? (Multiple possible answer)
8. Which TEA brand(s) do you purchasing now? (Multiple possible answer)

Page | 52
Brand Q. 5 Q. 6 Q. 7 Q. 8
Name
Taaza
HRC
Tetley
Seylon
Finley
Danish
Fresh
Ispahani

9. Are you satisfied purchasing current Brand? ( √ )


Yes
No

10. If not satisfied, then what is the reason behind that? ( √ ) (Those who answered „No‟ in
Q.9)
…………………………………………………………………………………………
………………………………………………………………………………………….
11. Duration of using current Brand :

12. What is your just previous brand?

13. Reason to switch


…………………………………………………………………………………………
…………………………………………………………………………………………
14. Did you ever purchase Ispahani? If YES then why you are not purchasing now (Those
who answered other than Ispahani in Q. 8)

15. What types of Promotional offer do you expect from a TEA company?
…………………………………………………………………………………………
…………………………………………………………………………………………
Thank You

Page | 53
6.6. Acronyms

ASO : Assistant Sales Officer

BL : Best Leaf

BOP : Broken Orange Pekoe

BRD : Broken Red Dust

BTMA : Bangladesh Textile Mill Association

CS : Confectionary Shop

CSR : Corporate Social Responsibility

DS : Departmental Store

FFD : Farmer’s Field Day

GS : General Store

HORECA : Hotel Restaurant Cafeteria

HTS : Hot Tea Stall

IAL : Ispahani Agro Limited

ICT : Information and Communication Technology

IPSC : Ispahani Public School and College

MM : Mirza Mohammad

MTB : Mirzapore Tea Bag

PB : Promotional Billing

PD : Premium Dust

PTHM : Pahartali Textile and Hosiery Mills

SO : Sales Officer

STN : Stationary

TBPF : Tea Blend and Packaging Factory

Page | 54
TM : Territory Manager

TO : Territory Officer

VFM : Value for Money

Page | 55