STRATEGIC BUSINESS MANAGEMENT

NAME: MUHAMMAD NAVEED QADIR

INTRODUCTION

General Fan Company (Pvt.) Ltd. was formed in 1954 as a small manufacturing unit for electric fans. The
company grew rapidly from its modest start because of the quality of its products. The company was one of the
major exporters of fans in 1960's to Iraq. However, the company was in trouble in late 1970's due to differences
in its partners. The present management took over the company in 1978 and Engineer Muhammad Ilyas took
over as Chief Executive of the company. Under his dynamic leadership the company grew rapidly and G.F.C.
became major recognized brand for fans in the Pakistani market.

VISION
We aim to be the Global Market Leaders of the Fan Industry and add to our portfolio of Extraordinary Quality
Home appliances, by being highly competitive on the basis of providing unmatched Strong, Reliable and
Beautifully Crafted Products.
MISSION
Our goal is to exceed customer satisfaction through supreme quality products, manufactured to the highest
standards that last a lifetime.
OBJECTIVE
1. To become a global market leader of the fan industry.
2. The expansion of portfolio of home appliances by introducing new products.
EXTERNAL ANALYSIS
OPPORTUNITIES
1. Global Warming: the increasing temperature around the world means an increased demand in the fans
and ventilating appliances.
2. Positive Population Growth Rate: Constantly increasing population of the world means increase in the
construction of houses and living spaces and an increased demand for the fans and home appliances.
3. CPEC: The China Pakistan Economic Corridor will open new markets for the industry of Pakistan.
THREATS
1. Increased Inflation: The inflation is on the rise in the country especially the prices of electricity, gas and
fuel have increased considerably which means increased cost of production and decrease in the buying
power of the consumer.
2. Unstable International Relations: The ties between Pakistan and the western world are not encouraging
in the recent past especially with the European countries and USA and the recent developments in
Afghanistan and Pakistan’s perceived role in it has not helped the situation. The threats of economic
sanctions loom large on the country and can be a serious blow for the industry specially in the export
segment.
3. Energy Crisis: The current situation of gas pressure is not helping the manufacturing sector. The experts
are anticipation an energy crisis in the near future which may leave the manufacturing industry in
distress.
 4. Other International Manufacturers: The manufacturer companies in Japan, Korea and China are a threat
as they have better R&D sections which provide more innovative products. China especially offers a
very low price of the products.
INTERNAL ANALYSIS
STRENGHTS
1. Market Leaders in the Domestic Market.
2. Exporting its products to about 30 countries.
3. The brand is registered in many countries of the world.
4. The company has the latest technology at par with the other countries manufacturing fans and appliances
like Japan, Korea, China etc.
5. G.F.C fans became a success due to the quality and durability of its products in all the markets, where
they were introduced.
WEAKNESSES
1. The company is unable to introduce innovative products.
2. Limited Product Line in appliances.
3. Lack of recognition of quality at international markets.
FORMATION
Using the SWOT analysis the General Fan Company (Pvt.) Ltd the policy of the company should be to setup an
international standard R&D department. The company should earn certificates of international quality and start
manufacturing new products.
EXECUTION
The company should allocate considerable financial resources and hire human resources to setup an effective
R&D department which will produce innovative products giving the company a competitive advantage over its
competitors. Furthers the company should apply for international quality certificates this will enable the
company to market its products at the international markets. The company should also setup new plants for
manufacturing new products and expand its product line.
EVALUATION
The company should evaluate the execution of its policy by the number of innovative products introduced, new
products added to its product line and the number of quality certificates earned from international quality
management organizations.