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ARMY INSTITUTE OF BUSINESS ADMINISTRATION

Course Name: Project Work


Course Code: PRO 8509

A Consultancy Report on

ALIM INDUSTRIES LIMITED - Marketing

Submitted by:

Mr. Masud Ur Rahman


Group Member of MBA10
Program: MBA Batch: 10
ID: 201019001

Submitted to:

Mr. Golam Morshed Shahriar Tanim


Course Supervisor

Submission Date:
12th March 2021
Letter of Transmittal
12th March 2021

Mr. Golam Morshed Shahriar Tanim


Lecturer
Army Institute of Business Administration
Jalalabad Cantonment, Sylhet.

Subject: Submission of Consultancy Report on Alim Industries Limited.

Respected Sir,
With enormous inclination, I am submitting my individual assessment report about “Consultancy
Report on Alim Industries Limited: Marketing” which I had selected after the discussion with
my group members.
The report contains about overall marketing strategy of Alim Industries Limited. Due to some
constraints, I could not manage all financial activities of Alim Industries Limited. To fulfill the
requirement of a report, I had to conduct both primary researches along with my learning materials
that I have been taught during my MBA period.
Due to time constraints, I have tried as much as possible to avoid giving any vague information. If
such arises, I am prepared to clarify them.
I would like to thank you for giving me such an opportunity to prepare this report which helps me
to increase my theoretical knowledge that will be a treasure for forthcoming.
Sincerely yours,

………………..
Mr. Masud Ur Rahman
ID: 201019001
Group: MBA10
Program: MBA
Army Institute of Business Administration

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Acknowledgement
All praise goes to the Almighty Allah for giving me the strength and patience in order to complete
this project report.
At the beginning, I would like to honor my sincere gratitude to my supervisors Mr. Golam Morshed
Shahriar Tanim, Mr. Md. Ali Ashraf and Mr. Chinmoy Das Gupta who have supported me
throughout this project work with their patience and knowledge whilst allowing me the opportunity
to work in.
I express my greatest honor to Mr. Alimul Ahsan Chowdhury, Managing Director of Alim
Industries Limited, for his kind permission to allow me for preparing a consultancy report on their
organization.
I would like to thank Mr. Shahriar Hasan Sourov, Executive in Human Resource Department of
Alim Industries Limited, for providing information of Alim Industries Limited.
I am very thankful to the whole team member of Alim Industries Limited for their cooperation and
guidance. Without this, I could not have successfully conduct this project work.

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Declaration
I am Masud Ur Rahman, ID: 201019001 the student of MBA Program of Army Institution of
Business Administration, Sylhet hereby I declare that the project work titled “Consultancy
Report on Alim Industries Limited - Marketing” is prepared under the intensive supervision
and guidance of Mr. Golam Morshed Shahriar Tanim, Lecturer of Army Institute of Business
Administration.
I also declare that the project report is prepared for academic purpose only. This repost is not
submitted by others.

Sincerely yours,

---------------------------
Mr. Masud Ur Rahman
ID: 201019001
MBA 10
Army Institute of Business Administration, Sylhet

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Executive Summary
This report comprises five chapters. All these chapters concentrate on Alim Industries Limited,
more specifically its marketing sector. The first chapter is the introduction that includes
background, objective, methodology and limitation of the study. After that, I have analyzed the
overall marketing strategies in situation analysis of Alim Industries Limited. Chapter three and
four discuss the findings from my research, and my recommendations for the marketing team of
the company.

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Table of Content
Chapter Particular Page
Chapter One: 1.1 Background of the Study 1
Introduction 1.2 Objective of the Study 1
(1) 1.3 Methodology of the Study 1
1.4 Limitation of the Study 1
2.1 Market Demand for Agro-Machine 2
2.2 Market Share and Growth Rate of Alim 2–3
Industries Limited
Chapter Two: 2.3 Marketing Mix of Alim Industries Limited 3–5
Situational Analysis 2.4 Targeting Customer 5
(2 – 6) 2.5 Service Offered by AIL 5
2.6 Most Selling Product of AIL 5–6
2.7 Keeping Customers up-to-date 6
Chapter Three: Findings 7
Chapter Four: Recommendation 8
Conclusion 9
Chapter One: Introduction
1.1 Background of the Study
Like other industries, consumer preference of agricultural machineries is very necessary to identify
since consumers choice influences the industry’s development. A country’s economic prosperity
largely depends on consumers. To fulfill the level of customer satisfaction, marketing strategy
plays crucial role here. Without following marketing strategies, it is too difficult for an
organization to know how much demand it has for its product in the market.
As a part of MBA program, student has to utilize its theoretical marketing knowledge into practical
field. In order to do that, I will focus on overall marketing strategies of Alim Industries Limited.
1.2 Objective of the Study
The objective of this study is to analyze the overall marketing strategy that Alim Industries Limited
follows in order to expand its market share and capture its target market.
1.3 Methodology of the Study
The sources of all data that are used in this report provided by marketing department of Alim
Industries Limited.
1.4 Limitation of the Study
There is some confidential information for maintain secrecy that Alim Industries Limited did not
provide me. For that reason, I cannot add those data in this report.

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Chapter Two: Situational Analysis
2.1 Market Demand for Agro-Machineries
Bangladesh is predominately an agricultural country. Because, agriculture industry contributes
alone almost 21.11% in the economy of Bangladesh. To increase the production and cropping
facilities, the demands of agricultural mechanization has been rising significantly. Agricultural
mechanization in Bangladesh was started in 1960s by introducing of tractor, power tiller, deep
tube well, shallow tube well and low lifts pumps on a very limited quantity. After that, demand of
agricultural mechanization has been growing up. Following is the chart in which I tried to show
the present demand of firm machineries in Bangladesh:
Farm Machinery
Number of Unit
(Year)
Power Tiller About 700000
Tractor 60000
Rotary Tiller 4000
Weeder 250000
Seeder Transplanter 1000
Sprayer 1250000
Combine Harvester 130
Winnover 3000
Power Maize Seller 30000
Table: Market Demand of Agricultural Mechanization in Bangladesh
2.2 Market Share and Growth of Alim Industries Limited
In the earlier years, there was only one company used to bring imported agriculture machineries
in Bangladesh. Nowadays, many companies are involving in this sector and there are companies
who are producing agriculture machineries in their own production unit. Among them, Chittagong
Builders Machineries has the highest market share in this sector which is 73%. But this percentage
has been reducing, because local manufacturing companies are now entering in this industry. Now,
I am going to evaluate the market share and growth of Alim Industries Limited based on BCG
Matrix which helps to design strategic planning for long time.
Relative Market Share
High Low
Market Growth Rate

High
Star Question Mark

Low
Cash Cow Dog
Figure: BCG Matrix
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At first, if I consider overall market share and growth rate of Alim Industries Limited, then it will
be on question mark. In this stage where companies have low market share but higher growth rate.
Because, Chittagong Builders Machines is dominating this sector by having 73% of total market
share. After, ACI Motors Limited has 13% of total market share. On the other hand, the growth
rate of Alim Industries Limited is increasing yearly (in 2017, it was 14.42% and in 2018, it was
14.70%). Though Alim Industries Limited is capturing more customer from this sector, but its
market share is increasing slightly due to large number of competitors.
However, if I consider market share and growth rate for thresher of Alim Industries Limited
comparing with local manufacturers in Bangladesh, then AIL will be on star. Alim Industries
Limited first manufactured thresher machine on its own production. Currently, Alim Industries
Limited is the largest thresher manufacturer in Bangladesh. It has huge demand from market for
its thresher machine. The main reason is that cost of thresher machine of AIL is much lower than
its competitors’ price. Secondly, the design of AIL’s thresher machine is patented which gives AIL
a competitive advantage against its competitors.
2.3 Marketing Mix of Alim Industries Limited
❖ Product
Alim Industries Limited is one of the leading agricultural machinery manufacturers in Bangladesh.
It involves in various field in agriculture, such as, developing, researching, exporting, importing
and marketing agricultural machines. There are number of products that Alim Industries Limited
produces every year. Some of products it is producing are designed by Bangladesh Rice Research
Institute, Bangladesh Agriculture Research Institute. Following is the chart of AIL’ products:

Alim Power Tiller Alim Drum Seeder


Alim GN 121/151 Power Tiller Alim Bed Planter
Alim DF 12/16 Power Tiller Alim Versatile Multi-crop Planter
SAME Tiger Compact Tractor Power Tiller Operated Seeder BARI Design
SAME Commando Series Tractor Power Tiller Operated Seeder
SHAKTIMAN Rotary Tiller Alim FLW Riding Type Rice Transplanter
Alim Low Lift Pump Alim FLW Walking Type Rice Transplanter
Alim Centrifugal Pump Alim USG Applicator (BARI Design)

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Alim Axial Flow Pump Alim Foot Pump Spray
Alim Hand Reaper Alim Hand Sprayer
Alim Power Reaper Alim Tiger Power Thresher
Alim Power Tiller Operated Reaper Alim TH-7 Power Thresher BRRI Design
Header
Alim Mini Combine Harvester Alim Power Thresher
(Walking Type)
Alim Mini Combine Harvester (Riding Alim Maize Thresher BARI Design
Type)
Deadong Full Feed Harvester Alim Open Drum Thresher
Alim Lucky Star Head Feed Harvester Alim Winnover BARI Design
Alim Lucky Star Full Feed Harvester SUNCUE Ventilating Dryer
Paddle Type Aerator SUNCUE Circulating Dryer
Solar Powered Aerator Alim Hybrid Dryer BARI Design

❖ Price
The price of AIL’s product varies time to time. Because, maximum products have subsidies prices
which are set by government of Bangladesh. In below, I have attached price list of some AIL’s
product which was provided during the industry visit:
Product Price Product Price
Alim Power Tiller 55000 Alim Hand Sprayer 1000

Alim GN 121/151 Power Tiller Alim Hand Reaper 12500


119500
Alim DF 12/16 Power Tiller 95000 Alim Power Reaper 190000

Alim Drum Seeder 4200 Alim Mini Combine 533000


Harvester (Walking Type)
Power Tiller Operated Seeder 63000 Deadong Full Feed 3300000
BARI Design Harvester
Alim FLW Riding Type Rice 1750000 Alim Lucky Star Head 2225000
Transplanter Feed Harvester
Alim FLW Walking Type Rice 435000 Alim Lucky Star Full Feed 2025000
Transplanter Harvester
Alim Foot Pump Spray 6700 Alim Open Drum Thresher 30000
Alim Hand Sprayer 1000 Alim Winnover BARI 23200
Design

❖ Place
Alim Industries Limited is operating its business operation at BSCIC Industrial Estate, Gotatikor,
Sylhet. It has corporate office in Dhaka. In addition, Alim Industries Limited has 73+ dealers
across Bangladesh and zonal offices are situated in Rangpur, Comilla and Faridpur for maintaining
chain of network all over Bangladesh.

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❖ Promotion
Alim Industries Limited is running its business in Bangladesh for more than 30 years. It has gained
reputation from various sector for contributing in agriculture sector in Bangladesh. For that reason,
it has achieved recognition and certificates from government and foreign organization. But, to
expand the business in all parts of the country and outside the border, Alim Industries Limited uses
some promotional activities. These are mentioned below:
A. Social Media Platform: Alim Industries Limited has its own facebook page where it posts
its products to attract the target market.
B. Market Campaign and Fair: Every year, Alim Industries Limited joins campaign and
fair which are organized by various department of government and private organizations.
C. Business Relation with Government and Private Sector: Alim Industries Limited has
business relations with many government organization and private companies. It also
works with non-government organization for conducting corporate selling.
2.4 Targeting Customer
The target audience for Alim Industries Limited is those people who are engaging in agricultural
sector. Due to large size of this sector, generally, Alim Industries Limited uses some tools to
identify its customers. Such as:
➢ It conducts surveys on such areas where people still do not have any technological
equipment for their agricultural field.
➢ After it completed its survey successfully, it interviews its identified customers in order to
know which types of products they actually want for cultivation.
➢ If Alim Industries Limited fulfills the need of its identified customers, it trains its customer
how to operate and utilize AIL’s products effectively and efficiently.
2.5 Service Offered by AIL
After selling products, Alim Industries Limited has various services which are offered to its
customers. These are mentioned below:
1. Service department of Alim Industries Limited provides after sales services to its
customers.
2. It has breakdown offer to the customers if any kind of machine breakdown takes place.
3. It has warranty services that includes maintaining, replacing and repairing of warranted
product.
4. It also has spare parts delivery services.
5. If any customer buys products of AIL above 500000 taka, Alim Industries Limited provide
free delivery to its customers.
2.6 Most Selling Product of AIL
Though, Alim Industries Limited is one of the reputed agro-machinery manufacturers in
Bangladesh, but there are some products that it sells the most. Those products are:

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• Alim Drum Seeder
• Alim Bed Planter
• Alim Crop Planter
• Alim Power Tiller Operated Seeder (P.T.O.S)
• Alim Combine Harvester
• Alim Rice Platter
• Alim Diesel Engine.
• Alim Power Thresher
2.7 Keeping Customer Up-to-date
Keeping customer up to date about products means companies are customer centric, collecting as
much feedback as possible, and analyzing those feedback for improving customer relationship. In
that case, Alim Industries Limited has some strategies to collect feedback and make customer up
to date about its products. These strategies are given below:
1. Online Marketing such as Facebook.
2. Connecting directly with customers through SMS.
3. Attending agriculture machinery fair.
4. Displaying products at showrooms.

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Chapter Three: Findings
After analyzing the marketing strategies of Alim Industries Limited, following are some points
that I have found:
If I overview market condition of agriculture machine manufacturing sector, I can see that Alim
Industries Limited is a higher growth rate company, but has limited number of market shares. This
is because, there some companies such as Chittagang Builders Machines who are importing
agriculture machineries form China with lower price. On the other hand, Alim Industries Limited
is producing same products in its own production unit. But the main reason behind this is
manufacturing companies like Alim Industries Limited have to bear huge amount of tax for
collecting raw materials. Basically, they import their raw materials (that means spare parts) from
other countries that directly increase price of their products.
However, if we focus on local manufacturing companies and compare Alim Industries Limited
against them, then we can find that Alim Industries Limited is the leading agriculture machinery
manufacturing company in Bangladesh. It is because, Alim Industries Limited has some innovative
products by its own design that were first produced by its own production unit in Bangladesh.
After that, other local companies used that idea and tried to manufacture agriculture machineries
on their own unit. In addition, Alim Industries Limited has business relation with many
government organization and private companies that creates a space for Alim Industries Limited
to go closer with its target customers.

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Chapter Four: Recommendation
Though Alim Industries Limited has been operating its business in agriculture machine
manufacturing sector since it was established in 1990 and it is the leading local manufacturer in
Bangladesh, and it has been producing many innovative products to its customers, but there are
some humble suggestions AIL can follow in order to capture large market share and expand its
business operation in all over Bangladesh. These suggestions are mentioned below:
We have already known Alim Industries Limited is focusing on cost leadership strategy and we
have suggested them to follow both cost leadership and differentiative leadership strategy
simultaneously. From marketing point of view, Alim Industries Limited should devote more on
innovation by using these two-leadership strategies. Innovation is one of the excellent ways to
increase market share. Alim Industries Limited has to utilize innovation in such a way that it can
introduce new technology to the market that competitors are yet to offer. With innovation, Alim
Industries Limited can gain an edge over its competitors and dominate the industry.
Secondly, Alim Industries Limited must strengthen their existing customer relationship by
providing higher quality standard product. Because customers have expectation on using
machinery product that is, they can use it for long period of time. If Alim Industries Limited
satisfies its existing customer expectation, then those customers will refer other customer to use
products of AIL.
Moreover, agriculture is the main contributor that plays a vital role on the economy of Bangladesh.
There are some areas where people are still cultivating their fields by following traditional method.
In order to expand the business, Alim Industries Limited should set a new strategy to educate those
people for motivating to use agriculture machineries and discuss with them about the importance
of technology on agriculture.

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Conclusion
There is a good demand on agricultural machineries in the market. In order to fulfill the market
demand of this sector, it is very important for an organization to cope a better marketing strategy
so that it can achieve competitive advantage against its competitors. Alim Industries Limited could
be the one company that can gain a large number of market share by introducing top level
marketing strategies and contribute lot for creating sustainable agriculture in Bangladesh.

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