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DECLARATION

I declare that is my original work and has not been published before.

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ACKNOWLEDGEMENT

In the name of “Allah”, the most beneficent and merciful who gave me strength and
knowledge to complete this report. This report is a mandatory part of our degree of B.B.A
(Honors).This has proved to be a great experience.

I would like to express my gratitude to my instructors; Ms. Saira Farooqi, Ms. Manal Talat,
Ms. Fizza Abbas, Ms. Farhat Iqbal, Ms. Anum Zafar and Ms. Maryam Rehmat; who gave me
this opportunity to fulfill this report and guided me through every hindrance. I would also like
to thank my colleagues who gave many helpful comments which helped me a lot in preparing
my report.

Nothing valuable would have been possible without The Gracious Allah, my instructors and
friends. I thank you all for making me what I am today.

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PREFACE

The purpose of Report is to share the process of learning and experience that I underwent
during this research project of about Servis Shoes. The major reason behind choosing this
company was to grasp the idea of how this big company deals with the issue of sales and
profitability. I learnt a lot through my research project as I got firsthand experience of how
actually such company works.

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Kinnaird Postgraduate Programs

93, Jail Road

Lahore 54000

Pakistan

Telephone 042-37569536

Dec 2nd, 2011


Servis Shoes

Subject: Research Work for Final Dissertation

Dear Sir/Madam,

The Bachelor in Business Administration class has a course requirement for their complete
organization analysis that entails project research.

It is requested that you allow Student of to spend time and conduct research in your
Organization.

Your time and help in this connection is appreciated.

Thank you.

Ms Saira Farooqi

Head of Business Studies

TABLE OF CONTENTS
EXECUTIVE SUMMARY....................................................................................................................7

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INTRODUCTION..............................................................................................................................9
Rational of the study:................................................................................................................10
Problem Identification:.............................................................................................................10
Research Plan:..........................................................................................................................12
INTRODUCTION OF THE ORGANIZATION......................................................................................13
History.....................................................................................................................................15
Misson and vision.....................................................................................................................15
Values.......................................................................................................................................16
Servis’s Products.......................................................................................................................16
Major segmentation variables..................................................................................................17
ORGANIZATIONAL STRUCTURE.....................................................................................................21
SWOT ANALYSIS PROVIDED BY THE ORGANIZATION....................................................................22
ORGANIZATION ANALYSIS PROVIDED BY THE ORAGANIZATION..................................................25
Company objectives..................................................................................................................26
Strategies employed.................................................................................................................26
Policy Formulation Process.......................................................................................................27
ORGANIZING.................................................................................................................................29
Retail operations.......................................................................................................................30
Whole sale department............................................................................................................30
Corporate sales department.....................................................................................................30
Product development centre....................................................................................................36
Chief merchant organizing department....................................................................................31
Sourcing department................................................................................................................31
Replenishment department .....................................................................................................31
Finance and accounts department...........................................................................................31
Marketing department.............................................................................................................31
STAFFING PROCEDURE.................................................................................................................33
Recruitment:.............................................................................................................................34
Orientation...............................................................................................................................35
LEADING FUNCTION.....................................................................................................................36
Employee compensation and benifits.......................................................................................37
Incentives and motivations.......................................................................................................38
Employee Training and Career development program.............................................................38
Performance management.......................................................................................................40

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CONTROLLING..............................................................................................................................41
Contolling company’s resources...............................................................................................42
Mis (managemnt information system) department.................................................................43
Corporate Social Responsibility................................................................................................44
COMPETITORS COMPARATIVE ANALYSIS.....................................................................................45
Bata..........................................................................................................................................46
Starlet.......................................................................................................................................47
Competitive Advantage:...........................................................................................................48
SWOT ANALYSIS............................................................................................................................49
‘PEST’ Analysis..............................................................................................................................51
FINDINGS AND DATA ANALYSIS....................................................................................................52
Conclusion:...............................................................................................................................76
SUGGESTIONS AND RECOMMENDATIONS...................................................................................78
ANNEXURE....................................................................................................................................79
References:...............................................................................................................................84

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EXECUTIVE SUMMARY

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This report has been compiled as research project of final year of BBA at Kinnaird College
for Women Lahore. This report provides an analysis and evaluation of Servis shoes in
particular and the shoe industry in general.

Servis is Pakistan’s leading retailer that has set new record standards and created new
benchmarks in the retail industry. It has a heritage spanning over half a century and is today
regarded as one of the most respected corporate citizens. The Group invests actively in CSR
initiatives and projects nationally as well as abroad.

The objective of my project is to find causes for low market share of Servis shoes. The data
sources are primary. Data collection methods include structured interview with Servis’s
officials and questionnaires among consumers.

The purpose of this report was to thoroughly study the Servis brand, all the factors affecting
it, and opportunities and threats for the product in the near future. Micro environmental
analysis has also been done in line with the PEST and SWOT Analysis. The report also
highlights the critical success factors for the company to follow.

After a thorough analysis and recommendations via using different strategic tools we have
learned how to reach strategic conclusions based on competitive analysis of different
organization in the industry. The strengths and weaknesses of the company have been
analyzed. The current strategies followed by Servis shoes have also been highlighted and
recommended strategies have been proposed.

Servis is a well known brand in the shoe industry of Pakistan with a strong customer base.
However, the shoe industry carries huge potential and can be further explored with the
following steps.

 Changing pricing strategies


 Change in quality
 Selective and improved marketing campaign

A very efficient planning of resources is required. This is exactly what this report tries to aim
with its analysis and recommendations. The company should use different strategies to attack
market leader, follower and niche to increase market share.

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INTRODUCTION

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CHAPTER 1:INTRODUCTION

Rationale of the study:


Rationale of this study is to conduct a research to analyze the market share of Servis shoes. It
is to evaluate the company’s positioning in market and to check what factors are affecting its
market share. A survey is conducted to check the customer’s response to its price, quality
designing and promotion and then results have been analyzed and recommendations given.
The importance of this study is to give Servis shoes their current standing and how they can
improve its sales by changing its certain strategies towards price, quality and promotion.

Research Objectives:
Following are the general objectives of this research:

 To do the management analysis of Servis shoes

 To do the swot analysis of the company.

 To identify the problem.

 To analyze the problem and explore its causes.

 On the basis of analysis provide recommendations to firm about the solution of


problem.

Problem Identification:
The problem I picked for Servis shoes is related to its market share. Servis shoes is unable to
increase its market share. There may be a lot of reasons for low market share which I will
analyze in this project.

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Hypothesis:

Low market share of Servis shoes is may be due to poor quality of shoes, inefficient
promotional efforts and high competition. Keeping in mind these reasons I made following
hypothesis for the study:

Hypothesis: 1

Null Hypothesis: low market share is not due to poor quality of shoes.

Alternate Hypothesis: low market share is due to poor quality of shoes.

Hypothesis: 2

Null Hypothesis: low market share is not due to poor promotional efforts.

Alternate Hypothesis: low market share is due to poor promotional efforts.

Hypothesis: 3

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Null Hypothesis: low market share is not due to high competition.

Alternate Hypothesis: low market share is due to high competition

Research Plan:
In this project I will be discussing the Servis shoes specifically. Starting from history of
Servis industry and then telling the mission and vision of Servis shoes and the company
objectives. Then discussing organization structure briefly and the SWOT Analysis. The
organization will be discussed deeply through its managerial functions, departmental
functions, staffing procedures, leading functions, controlling functions. And then the
competitor’s comparative analysis will be provided. Then I will be discussing the research
problem in detail with the statistics I get from the survey. In the end I will give suggestions
and recommendations.

Research Methodology:

Target population is all customers who purchase shoes.

Sample Size: Sample size chosen is 100

Sampling technique: Random sampling

Analysis techniques:

I used two techniques for analysis:

1. Descriptive statistics (through graphs, charts etc)

2. Inferential statistics (through chi-square testing)

Chi-square:

A chi-square test (also chi squared test or χ2 test) is any statistical hypothesis test in which


the sampling distribution of the test statistic is a chi-square distribution when the null
hypothesis is true, or any in which this is asymptotically true, meaning that the sampling
distribution (if the null hypothesis is true) can be made to approximate a chi-square
distribution as closely as desired by making the sample size large enough.

So I will be applying Chi-square test to my hypothesis.

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INTRODUCTION OF THE
ORGANIZATION

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CHAPTER 2: INTRODUCTION OF ORGANIZATION

HISTORY

Service Group is well known for its consumer products and its contribution to the diversified
industrial growth of the country. Servis Group is Pakistan's largest footwear manufacturer
and exporter.
The Group was set up in 1958 and today has sales of more than PKR 9 billion. The group has
its headquarters at Lahore, factories located at Gujrat and Muridke. It operates two modern
shoe factories. The Gujrat factory was setup in 1964 and Muridke factory commenced
production in 1989.

INTRODUCTION OF SERVIS SHOES


Servis Shoes is Pakistan’s leading retailer that has set new record standards and created new
benchmarks in the retail industry. With its world class retail systems, dynamic approach to
business and highly energetic team, Servis shoes is today heading toward becoming a
regional retail player. The main business of Servis shoes is to purchase the shoes from servis
industries limited and also from leading international and national footwear brands and take
the ownership after adding up its margin. The ownership includes cost of marketing of the
shoes, logistics arrangements to circulate the shoes, management and fixed assets costs.
Servis has its own marketing network and distribution network in the country. Sales are
carried out through wholesale and retail outlets, which are located in famous trade centres in
various cities and towns all over the country.
The company’s corporate head office is located at Lahore while other regional offices are set
in different major cities of the country.
MISSION STATEMENT
Mission statement of a company states that how a company sees itself.
Mission of Service, is to satisfy its customers by providing quality and reasonable priced
footwear and other products throughout the country, and to satisfy its employees through
good management.
VISION STATEMENT
Be the fastest growing company in every market we enter.

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VALUE STATEMENT
At SSC, we believe in our employees and realize that they are the biggest asset of our
company. We respect their passion for our business and acknowledge their integrity and
commitment which is reflected in their dedication towards achieving excellence.
Our Corporate strategy of empowering our people makes them rely increasingly on teamwork
and innovation and also makes them accountable for the decisions they take.
SERVIS PRODUCTS:
It has also established some of the most loved footwear brands including:

Liza shoes are most famous among ladies. There are 108 designs in it.

There are 56 shoe designs in it including mocassions..Its minimum price is 750 and
maximum is 1700.

The unique style and amazing comfort of Calza have made it Pakistan’s most favourite
slipper. Designed to keep you light and carefree wherever you go, Calza is perfect all day
casual.

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The leading brand of sports footwear in Pakistan, Cheetah has developed a cult following
among sportsmen and has come to symbolize the sportsman’s spirit. Full of passion,
confidence and willpower, Cheetah incorporates superior technology and design that have
made it the shoes of choice for professional athletes. There are 35 designs in it. The price is
between 700-1595.

SKOOZ refers to school shoes. Their variety comes after 14 th august each year. It puts a
whole new spin on student life with comfortable and durable shoes that are perfect for fun on
and off the school yard.

TOZ brings kids a colourful world packed full of fun and adventure. The fun never stops with
TOZ. It includes:
 Brilliant colours and designs
 Contemporary styling
 Full of fun and adventure

MAJOR SEGMENTATION VARIABLES

Geographic Factors

The company has one CDC (central distribution centre) which distributes the products into
following districts.

 Peshawar
 Islamabad
 Rawalpindi
 Jhelum
 Gujrat
 Gujranwalwa

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 Sialkot
 Sargodha
 Lahore
 Faislabad
 Sahiwal
 Multan
 Bahawalpur
 Sukkur
 karachi

Psychographic Factors

Lifestyle: Culture-oriented; Sophistication-oriented

Social Class: Middle Class (lower, middle, upper), Upper Class (lower, middle, upper).

Demographic Factors

Personal Factors

Age: 5-19 years; 20-34 years; 35-49 years; 50-60 years; 60+

Gender: Male and Female

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ORGANIZATIONAL
STRUCTURE

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CHAPTER 3: ORGANIZATIONAL STRUCTURE

ORGANIZATION SETUP
To achieve gigantic results, business should be in a complete organized structure. In other
words we can say that there should exist a complete coordination between employer and
employee both a horizontal and vertical level. More especially we say
that a company should be so organized that everyone in the company has a thorough
knowledge of who is to do what and who is responsible of what. There should not be any
confusion and complication among authority and responsibility.
Servis Industries (Pvt.) Ltd. Just only performs the manufacturing activities at Gujrat and
Muridke, whereas selling activities are performed through
Servis sales Corporation, which is also a member of Servis Group of Industries. Service Sales
Corporation has its 258 retail outlets in whole of the country for
selling activities of service group on industries and every person has complete knowledge
about his/her duties and responsibilities. Therefore we can say that
servis group of industries has strong organization setup which is key element of its success.

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SWOT ANALYSIS
PROVIDED BY THE
ORGANIZATION

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CHAPTER4: SWOT ANALSIS PROVIDED BY THE COMPANY

STRENGHTS
 Pakistan’s leading retailer that has set new record standards and created new
benchmarks in the retail industry.
 The company is a quality manufacturer, believes on customer satisfaction and
comfort.
 All the operations of the company are according to the laws of Pakistan Trade Policy.
Company pays full of its Sales Tax and income tax as well as other duties to the
Government. Company plays a vital role in representing its country as they
manufacture for export purpose also.
 Accessible to all income segments in country.
 Geographical coverage
 Image of durable shoes
 Strong market share in sports and school shoes
 Brand names like Cheetah, Don Carlos are highly recognized.

WEAKNESSES
 The company has a low market share of 9.1 % in terms of value and 5.3% in terms of
volume.
 Distribution network as compared to Bata is little bit weak.
 Company don’t have their own manufacturing plant.

OPPORTUNITIES
 A lot of market size is available for Servis which is currently missed in the shoe
market.
 Foreign markets and importers are another big opportunity for the company but the
company is not availing them at present.
 There is room for SSC to open more outlets in country.
 Creation of innovation and customized products.
 Further segmentation with sports segment.
 Improve shopping experience at retail outlets.

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THREATS
 On the other hand every threat is a big opportunity. The company face a big threat in
market as some of the businessmen have sated buying products from the cheaper
markets of the world as China, Vietnam etc and they sell it here at low prices.
 Government duties and High sales tax ratio.
 Inflation is also a fearful threat for SSC.
 Aggressive marketing tactics by other shoe manufacturers.
 Different market segments have been targeted by competition.

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ORGANIZATION
ANALYSIS PROVIDED BY
THE ORGANIZATION

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CHAPTER 5: ORGANIZATION’S ANALYSIS PROVIDED BY THE


ORGANIZATION

COMPANY’S OBJECTIVES
 Our products should meet the customer expectations.
 Our basic concern is to satisfy customer.
 Our aim is to provide good job opportunities and satisfaction to people.
 We should respect our competitors.
 Employees are as important as external customers.
 Teamwork and cooperation area more important than individual action.
 Never be satisfied with the level of quality, always strive for continuous
improvement.
 The aim is to become the quality leader

SERVIS MANAGEMENT

Strategies employed.

 Servis brands are the preferred choice in their categories. Consumer insight drives all
aspects of its marketing and communication efforts.
 Servis communication to the consumer is relevant, cutting-edge, and adheres to the
highest standards of responsible communication.
 Servis is seen as the No. 1 career destination for talented, motivated and ambitious
professionals.
 Servis result-oriented organizational structure ensures effective communication and
empowered self-management.
 Fully integrated systems ( Servis, suppliers, customers) ensure efficient business
processes.
 Non-strategic activities and products are outsourced or discontinued.

Policy Formulation Process

There are sets of policies, which are uniform for everyone and strictly enforced. The
procedure for policy formulation is transparent; where everyone is given a chance to express

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one's opinion. The Chief Executive gives the ultimate approval. Policies are formulated in the
various meetings as outlined below.

Meetings are the basic way of communication at Servis. Many meetings are held with the
objective of:

 Coordination

 Defining problems

 Finding solutions

 Reporting

 To formulate policies

 To make way forwards

 To keep workplace environment congenial & friendly

 Sharing Views

 Sociability

Meetings of the Head of Departments are held after every two weeks (fortnightly).

Inter departmental meetings are held daily, once in two days, or weekly depending on the
situation and need.

Corporate meetings are held on a monthly basis.

The company’s policy is to be proactive and trouble-shooting problems.

Regular meetings are organized at each level of the organization to keep the company moving
in a systematic manner. The main objective behind these meetings is to bring forth the
employees at a forum, where they can discuss their problems, give suggestions for
improvement and development. In addition, they can share their experiences with each other.

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ORGANIZING

CHAPTER 6: ORGANIZING

OVERVIEW OF COMPANY FUNCTIONS / DEPARTMENT


Retail Operations
 Manages overall retail operations

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 Stores Management
 Sales Projections
 Revenue Generation
 Achievement of Sales Targets
 Identification of new business locations
 keeping an eye on the competitor’s strategies
 Improving Customer Services, etc.
 Over 400 outlets in18 Districts
 These 18 Districts are further divided in 3 Regions i.e. North, Central and South
headed by Operation Heads.
WHOLE SALE DEPARTMENT

 Wholesale – Business Centers

The department is responsible for sales of products in large quantities to different dealers and
retailers through its Wholesale Business Centers.

 Wholesale – Key Accounts & Modern trade

The department is responsible for key dealers and servis stalls at hyper markets such as
Makro, Metro, Hyperstar, etc.

 Wholesale Distribution

Responsible for Wholesale footwear products selling to retailers through Distributors and
Wholesale Business Centers.

CORPORATE SALES DEPARTMENT

Responsible for selling footwear products to institutions like Army, Police, Schools, etc.

PRODUCT DEVELOPMENT CENTRE

Responsible for developing full range of products keeping in mind the latest trends,
competition, and the future needs of customers. The range development team conceives new
ideas for the coming season and then gets the samples made through designers.

CHIEF MERCHANT ORGANIZING DEPARTMENT

Responsible for merchandising of all the channels such as A-Pair, FOL, Mega Stores, Best
Value Stores, Shoe Planet, etc.

 Chief Merchant Organization – Planning

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Responsible for providing a financial and fact based analytical point of view to all decisions
through consulting the historical data.

Creating profitable yet achievable financial plans. Performing assortment analytics to support
buying process.

Determining purchase commitment based on bottom up need.

Optimizing allocation effectiveness with managing inventory flows.

 Chief Merchant Organization – Supply Chain

The supply Chain focuses on the efficient execution of warehouse operations to achieve
minimum order processing lead time, efficient replenishment of articles & assortments with
an emphasis on driving down operating costs while increasing service levels

SOURCING DEPARTMENT

Responsible for taking the buying decisions. The products are acquired through various
sources including our factories in Gujrat & Muridke.

This department is also responsible for vendor development as well.

The sourcing department is also responsible for negotiating and fixing pricing issues related
to different articles.

REPLENISHMENT DEPARTMENT

Responsible for ensuring that the products are available at the shops, on the shelves, at the
right time, in coordination with planning department.

FINANCE AND ACCOUNTS DEPARTMENT

This department is responsible for taking all financial decisions for the Company and also
performs the treasury function. Management of overall accounts of SSC and its subsidiaries,
verification of stock statements, personal accounts matters, conducting business reviews,
budgetary planning and controls, arrangement of funds, disbursements of salaries, etc.
encompass the scope of the department.

MARKETING DEPARTEMNT

The decision how to market the product is taken by some of the top management and
marketing personals. Since the company believes on research based marketing so all the
representatives are directed to research about any specified product. Upon this research the
top level personals get together to take the final decisions. Marketing department is
responsible for the whole, marketing strategy. How to market an existing product and how to
launch a new product? A specified budget is allocated for the marketing and launching
purposes for the whole year. Advertisement campaigns are also launched for the different
brands by the marketing department.

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This department is responsible for all marketing support to SSC including the marketing
research, consumer insights, brand management, launching campaigns, looking after
corporate social responsibility, liaison with agencies, etc.

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STAFFING PROCEDURE

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CHAPTER 7: STAFFING PROCEDURE

RECRUITMENT POLICY

METHODOLOGY

Generally, the recruitment at SSC is done following the below methodology:

 Internal / External Advertisements


 Positions published on websites
 Word of mouth
 Head Hunters
 Personal Networking

POLICY / PROCEDURE

 Yearly manpower plan is made and finalized by the end of February every year
covering the positions that are vacant in every department and position criterion such
as qualification, experience, etc. and is followed throughout the year
 After the position identification through manpower plan, the recruitment effort starts
following the above mentioned methodology, whichever is applicable.
 Data / CVs are collected
 After preliminary screening, a short list is made based on the criteria finalized against
each position
 Shortlisted candidates are called for preliminary interviews with HR.
 Selected candidates are called for secondary interviews whereas in few cases,
unsuccessful candidates are sent rejection letters.
 Selected candidates are then interviewed by a team consisting of HR & Concerned
Department Head.
 In case of a senior position, the final interview is done by the members of
Management Team as well as COO.
 Successful candidate is given Appointment Letter.

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ORIENTATION

 A comprehensive orientation plan is then prepared for new joiners.


 The individual joining in Servis offices are introduced with the office staff and
provided familiarity with the office premises.
 Wherever required, the new joiners are sent to factory visits or shop visits.
 People joining in the HO are introduced to all the staff using the occasion of Monthly
COO Address where every new joiner introduces him / herself.

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LEADING FUNCTION

CHAPTER8: LEADIND FUNCTION

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EMPLOYEE COMPENSATION & BENEFITS

METHODOLOGY

Generally, compensation and benefits at SSC is designed based on the following:

 Industry Benchmarks
 Market Best Practices

POLICY / PROCEDURE

 Employees are provided Provident Fund with equal contribution from both the
Company and the employee.
 Company provides health insurance to the employee based on his grade seniority in
the Company. The health insurance issues cards to employees along with a list of
Panel of Hospitals from where, an employee can avail medical treatment by just
showing his card at the hospital, according to his/her limit assigned by the insurance
company.
 This insurance generally covers, Hospital Care, Room & Board, Major Medical Care,
Maternity both Normal & C-Section.
 Employees are provided Group Life Insurance as well based on their salaries. For
example, the employee getting a monthly salary of Rs. 6,000/- will get a maximum of
Life insurance to Rs. 425,000/- and employees getting a sum of Rs. 10,000/- and
above will get a maximum of Rs. 1 Million.
 Employees are also given yearly bonuses up to 3-6 Basic Salaries based on their
individual performances.
 Employees are provided Annual Leaves up to 20 days, sick 15 days, casual 10 days
and hajj leaves for 40 days.
 Leave Fare Assistance is given up to one basic salary upon availing Annual Leaves
provided the employee has complete leave year.
 Company maintained cars are given to employees based on their grades starting from
800 cc to 1800 cc.
 Mobile allowances are given to employees based on their grades.
 Welfare Scheme is also run for Field Staff of SSC generally covering areas such
medical treatments or marriage.

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INCENTIVES AND MOTIVATIONS

 Inter-department cricket tournaments are arranged occasionally for SSC employees.


 A yearly get together is offered to employees in Middle Management up to Senior
Management Cadre by COO once a year.
 Iftari Dinner is given to all SSC employees in the month of Ramzan to promote a
family environment.
 Employees in the Middle Management up to Senior Management Cadre are also
offered Apartments in Murree for their families for 3-4 Days both in summer and off
seasons.
 Annual conferences for Retail & Wholesale Field Staff are organized every year in
areas like PC Bhurban or Muzafarrabad etc.
 Annual Conferences of Middle Management up to Senior Management Cadre are
arranged abroad every year.

EMPLOYEE TRAINING

METHODOLOGY

Generally, the training at SSC is provided in two categories which is Corporate Office Staff
and field staff through following:

 In-house Trainings
 On the Job Training
 External Trainings through training institutes
 Training Abroad

POLICY / PROCEDURE

 At the start of every year, training needs assessment is conducted, based on which, a
comprehensive training calendar of all SSC Corporate Office Staff is prepared and
followed throughout the year.
 Based on the calendar, people are provided training using the above mentioned
methodology whichever is applicable.

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 In the same manner, a comprehensive training need assessment is done for Field staff
working in Retail and Wholesale Departments.
 These staffs are given training through in-house trainers, District coaches using SSC’s
Excellence Centers set up across Pakistan.
 Also a comprehensive yearly training calendar is made for field staff and followed
throughout the year.

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PERFORMANCE MANAGEMENT

METHODOLOGY

Generally, the performance reviews are conducted at SSC based on the following:

 Mid-Year Reviews
 Yearly Performance Appraisals

POLICY / PROCEDURE

 At the start of every year, all the staff members are given yearly objectives based on
which, they are to be appraised at the end of the year.
 The Appraisal form include employees view about his own performance
 Behavioural attributes aligned to areas such as Makes things happen, communicator,
develops team and people, cares for customers, innovative, team player, ethical,
planning, leadership, financial acumen, etc.
 Performance ratings based on whether the individual Didn’t meet expect, nearly meet
expect, met expect, exceeded expect, etc.
 Supervisor’s comments are put in before the final review with employee.
 HR Circulates performance appraisal forms to GM/Dept Heads on December 01
every year with employee data.
 GMs/Dept Heads pass forms down the line:
 HR conducts two 3-4 hour training sessions on Setting objectives and Performance
Appraisal Interview.
 Employee After filling up his section of performance, his/her supervisor gives his
comments.
 Supervisor then evaluates employee on his behavioural attributes.
 Supervisor conducts face to face performance review with completed forms and
agrees on his performance as well as next year objectives.
 Increments/Bonuses are finalized

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CONTROLLING

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CHAPTER 9: CONTROLLING
CONTROLLING COMPANY’S RESOURCES

The Company does permit a limited amount of personal use of these facilities, including
computer, e-mail and Internet access. However, these facilities must be used responsibly by
everyone, since misuse by even a few individuals has the potential to negatively impact
productivity, disrupt company business and interfere with the work or rights of others.
Therefore, all employees are expected to exercise responsible and ethical behavior when
using the Company’s Information Technology facilities. Any action that may expose the
Company to risks of unauthorized access to data, disclosure of information, legal liability, or
potential system failure is prohibited and may result in disciplinary action.

To protect the integrity of Servis’s computing facilities and its users against unauthorized or
improper use of those facilities, and to prevent possible use of these facilities in violation of
Company rules and policies, Servis reserves the right, without notice, to limit or restrict any
individual's use, and to inspect, copy, remove, or otherwise alter any data, file, or system
resource which may undermine the authorized use of any computing facility or which is used
in violation of Company rules or policies.
The IT department would function as the core department, for implementation of the IT
Policy, which would co-ordinate with all the other departments of Servis in order to ensure
the objectives of this policy are met.
PERSONNEL
Employees shall use servis provided information resources for servis-related business in
accordance with their job functions and responsibilities, except as otherwise provided by
management directives or other company policies.
Employees are permitted limited personal use of information resources if the use does not
result in a loss of employee productivity, interfere with official duties or business, and
involves minimal additional expense to the company. Unauthorized or improper use of
information resources may result in loss of use or limitations on use of those resources.
When using servis information resources, employees are expected to:

a) Act responsibly so as to ensure the ethical use of servis information resources.

b) Use security measures to protect the confidentiality, integrity, and availability of


information, data, and systems.

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c) Conduct them professionally in the workplace and to refrain from using information
resources for activities that are inappropriate.

d) Respect all pertinent licenses, copyrights, contracts, and other restricted or proprietary
information.

e) Safeguard their user IDs and passwords, and use them only as authorized. Any actions
taken under an assigned identification (e.g., user ID) are the responsibility of the user.

f) Respect the company property.

g) Make only appropriate use of data to which they have access.

h) Exercise good judgment regarding the reasonableness of personal use.

i) Use information resources efficiently.

MIS (MANAGEMENT INFORMATION SYSTEM) DEPARTMENT


Manufacturers need information about inventory availability, machine uptime and down time,
product cycle times, yield, waste, WIP etc. They need real-time information management
tools for continuous improvement and decision support. Only a live link to the production
floor can provide the link to the critical information that can control the supply chain's actual
ability to perform.

An Advanced ERP Interface is available which enables the user to maintain the system's Job
Queue and Product Databases from transactions created by an ERP system. An Activity File
and a Real Time Status File are maintained to provide the ERP system with real time
feedback on job starts, completions and status. Users report electronically updating inventory
records improves inventory accuracy.

Servis is an ERP (Enterprise Resource Planning) based Organization. All the departments are
linked with each other through networking called INTRANET. ERP system enhances
information flow through various business processes like production sales, inventory
planning and finance - helping companies to gain competitive advantage. Simply to
understand - ERP system organizes all of the company’s information into one centralizes
system, which is always available. A central database has been maintained at Servis where
the information related to Payables, Receivables, Fixed Assets, and Inventory etc. are saved.

A module has been established for each (payables, receivables, fixed assets, inventory and so
on). Each module is integrated with each other. This integration has increased the efficiency

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of each department, as maintaining and keeping record of data and information have become
easier. Overall effectiveness of the organization has also increased to a great extent. All the
budgeting, general accounting and treasury related works are being performed on this ERP
software.

MIS department is responsible to make sure the safety of information. They are also
responsible to take corrective measures if any problem relating to ERP arises. Moreover, any
issue relating to networking, hardware, software etc are dealt by this department. Since ERP
has been recently developed and implemented at company, therefore it still has some areas to
be improved. If any department has any query relating to its concerned module, it may ask
and instruct MIS department to make desired alterations. Furthermore, new modules are also
being constructed for the complete implementation of ERP.

CORPORATE SOCIAL RESPONSIBILITY

SSC understands its responsibility towards society as well and therefore, had looked after
around 500 families of IDP’s during SWAT operation for almost three months where, SSC
provided them with cloths, food and shelter.
SSC joined hands together to fight Cancer through setting up Shaukat Khanum donation
boxes at 400 SSC stores across the country where, every single penny returned to the
customer was donated to Shaukat Khanum box

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COMPETITOR’S
COMPARATIVE
ANALYSIS

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Chapter 10: COMPETITORS’S COMAPARTIVE ANALYSIS

Market share of companies

• Servis 5%
• Bata 6%
• Starlet 2%
• Others 87%

servis
bata
starlet
others

BATA

Bata Pakistan Ltd. was formed in Pakistan in1952. Bata's strength lies in its worldwide
presence. While local companies are self-governing, each one benefits from its link to the
international organization for back-office systems, product innovations and sourcing.
Although Bata operates in a wide variety of markets, climates and buying power Bata
companies share the same leadership points. Two important ones are product concept
development and constant improvement of business processes in order to offer customers
great value and the best possible service. Bata offers following features:

Wide product assortments

Bata collections target a wide range of customers and offer an excellent price-quality ratio.
Bata’s exclusive models along with national and international brands are carefully selected
and updated in response to market demand.
Personalized service

Qualified and enthusiastic sales associates who take customers’ satisfaction to heart. In many
countries customer service goes beyond the stores with home deliveries,orders made possible
via catalogues, the web or even call centres.

Clear product merchandisisng

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Easy-to-shop store layouts with clear product displays by category and by style.

Guaranted customer satisfaction

Any Bata store in the world we repair, exchange or refund any products with defects. We
exchange or refund unworn merchandise if you change your mind.

PRODUCTS OF BATA

 Bubble gummers
 Power
 Marie Claire
 North Star 
 Sandak
 Sundrops
 WeinBrenner
 Pata Pata

STARLET

The best located and most successful, the growth rate of Starlet shoes in Pakistan has been
recognized. The Unit is equipped with the most advanced and modern 24 station
polyurethane sole injection machine.The global fashion market is growing by leaps and
bounds and indeed, the fashion footwear industry is no exception.
There are new fashion icons and trends governing consumer choices now. Starlet makes sure
that its customers always get the cutting-edge fashion footwear that they desire, be it formal
shoes with the finest embellishments, or a profusion of delicate flowers. We ensure that
Starlet is a brand that caters to local needs. The magazine is launched for the loyalty card
members of Starlet Shoes. This magazine is delivered bi monthly at customer address via
courier.
PRODUCTS OF STARLET
It includes men, women and children shoes.
Following categories lie in men range:
• Tiger
• Jumper
• Driver
• Casual
• Sandal

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• Care
• Traveller
• Executive
Women range includes:
• Lilly
• Comfei
Children range includes:
• School shoes
• Junior shoes
Comparison of outlets
• Servis has 400 retail outlets
• Bata also has 400 retail outlets
• Starlet has 12 retail outlets
COMPETITIVE ADVANTAGE
The lines along which differentiation is adopted are explained below with reference to Servis:
Product Differentiation: Style and Design of few lines may be altered, more features may
be introduced.
Service Differentiation: Servis continue to be efficient in its delivery of products to the
distributors. It also maintains healthy relationship with its suppliers and distributors.
Image Differentiation: It sponsor celebrities for its advertisements and continue to sponsor
important events.
Personnel Differentiation: In case of Servis, it continues to hire and train people to make an
overall good impression of the company. The sales and the marketing staff should be given
training regarding proper handling of contracts and distributors.
Direct inject technology Differentiation: Servis has a main strength which makes the Servis
superior than other footwear's that is Direct Inject technology. Direct inject
technology is a technology by which company makes the shoes as a single piece, there is no
any kind of stitches etc in these shoes, and this technology is in the Gujrat factory not anywhere else.
Brand strategy differentiation: Servis brand strategy differentiates it from their competitors
and underpins their approach to product development. They continue to build a focused,
segmented and differentiated brand portfolio and commit resources to full range of brands
deployed in the key industry areas that offer the most robust source of volume and profit
growth.

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SWOT ANALYSIS

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CHAPTER 11: SWOT ANALYSIS

STRENGTHS

 It is largest shoe manufacturing company in Pakistan.


 SSC has its own outlets throughout the country.
 Good image of the company in the mind of customers.

WEAKNESSES

 High price products as perceived by the customers.


 No discount policies.

OPPORTUNITIES

 There is room for SSC to open more outlets in country.


 Company can reduce the price of products in order to capture the lower class that
increases its sale.
 Company can open its outlets in other countries.

THREATS

 SSC has threat from domestic rivals like BATA.


 Inflation is also fearful threat for SSC.
 Due to WTO more foreign companies can enter in country and can be competitor of SSC.

PEST ANALYSIS

Political Trends:

 Political instability is effecting badly to the footwear industry.


 Energy problem (high cost and power failure) is the main issue in these days, because it leads
to increase in production cost.
 The import of under-priced shoes was badly hitting the domestic footwear industry, From the
previous some years Government of the Pakistan are encouraging import and
export policies. And also encourage the foreign investors to invest in Pakistan.
 There are no many difficult formalities to import or export, any dealer can import in Pakistan
and sell by the fulfilling the certain formalities required by the law.
 Government should take measures to check the inflow of foreign footwear into Pakistani
market through the tactics of under-invoicing and miss-declaration.

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 The overall political trend is negative for industry.


Economic Trends:
 Economic crisis hit badly on footwear industry especially raw material to manufacture
 footwear.
 One of the most important problems in the growth of footwear industry is higher
energy
 prices.
 Increasing energy and inputs prices leads to an increase in the cost of Production that
 influences the expected production of the industries and the exports
 Impact of international Competition: flooding of the footwear from China and Korea.
Social Trends:
 In Pakistan the life style of people is changing with a fast pace. Their life has become
more
 money and time oriented. There is a major shift in the values of the people of
Pakistan. People now prefer western life style rather than the traditional one.
Everyone wants that he or she wear new shoes at every occasion. Especially it is a
race between ladies to have more and matching shoes with her dresses which are more
trendy and fashionable. So it overall increased demand for foot wear products
especially in young generation.
 In Pakistan people mostly purchase foot wear on the time of occasion like marriages,
Eid and on the seasonal base like in summer season shoes are different and the winter
season shoes are different. And ladies wear new trendy and fashionable shoes at every
occasion.
Technological Trends:
 New technology trends also effecting footwear industry in Pakistan. Multinational
competitors are introducing innovative techniques to manufacture footwear. Like in sports
footwear new technology is being used regarding technical aspects on that particular sport.
For processing of raw material like leather new techniques are being implemented by
multinationals.
 The process of leather includes a number of different steps during which large quantities of
water and chemicals are applied to the skins. About 130 different chemicals are used in
leather processing, depending on the trends is now in leverage technology to gain competitive
advantage.

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FINDINGS AND DATA


ANALYSIS

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CHAPTER 12: RESEARCH FINDINGS AND DATA ANALYSIS

Q. 1
What is your gender?
Cumulative
Frequency Percent Valid Percent Percent

Valid female 91 91.0 91.0 91.0

male 9 9.0 9.0 100.0

Total 100 100.0 100.0

Interpretation:

In my sample 91% of people are female and only 9 % are male.

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Q. 2

What is your monthly household income?


Cumulative
Frequency Percent Valid Percent Percent

Valid 10,000-20,000 6 6.0 6.0 6.0

20,000-30,000 10 10.0 10.0 16.0

30,000-40,000 13 13.0 13.0 29.0

40,000-50,000 12 12.0 12.0 41.0

50,000-more 59 59.0 59.0 100.0

Total 100 100.0 100.0

Interpretation:

In my sample 59% of the people have monthly income Rs.50, 000 or more. 12% people had
monthly income ranging from Rs.40, 000 – 50,000.13% people has monthly income ranging
from Rs 30,000-40,000.10% people had monthly income from Rs 20,000-30,000.Only 6%
people had monthly income ranging from Rs. 10,000 – 20,000

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Q. 3

How frequently you buy shoes?


Cumulative
Frequency Percent Valid Percent Percent

Valid once a week 14 14.0 14.0 14.0

once a month 30 30.0 30.0 44.0

once a year 18 18.0 18.0 62.0

twice a year 38 38.0 38.0 100.0

Total 100 100.0 100.0

Interpretation:

14% of people buy shoes once a week.30% buys once a month. 18% buy shoes once a year
and 38 % buy twice a year.

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Q. 4

Which company shoes do you like to wear the most?


Cumulative
Frequency Percent Valid Percent Percent

Valid Servis 16 16.0 16.0 16.0

Bata 26 26.0 26.0 42.0

hush puppies 20 20.0 20.0 62.0

starlet 16 16.0 16.0 78.0

others 22 22.0 22.0 100.0

Total 100 100.0 100.0

Interpretation:

26% of people prefer Bata which shows people have strong bonding and trust on it. 20%
people prefer Servis which is the competitor of Bata. 20% prefer hush puppies.

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Q. 5

On which basis do you prefer servis shoes?


Cumulative
Frequency Percent Valid Percent Percent

Valid quality 16 16.0 16.0 16.0

design 18 18.0 18.0 34.0

brand image 16 16.0 16.0 50.0

price 22 22.0 22.0 72.0

comfort 28 28.0 28.0 100.0

Total 100 100.0 100.0

Interpretation:

Majority of people prefer Servis shoe on the basis of comfort. And then 22% prefer on the
basis of price.16% prefer on the basis of quality and brand image.

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Q. 6

Do you agree that low market share of Servis is due to strong


competitors in the market?
Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 21 21.0 21.0 21.0

agree 24 24.0 24.0 45.0

neutral 24 24.0 24.0 69.0

disagree 19 19.0 19.0 88.0

strongly disagree 12 12.0 12.0 100.0

Total 100 100.0 100.0

Interpretation:

Majority of people agree that low market share of Servis is due to high competitors in the
market where as only 12% strongly disagree with this point of view.

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Q. 7

To what extent you are satisfied with prices of Servis shoes?


Cumulative
Frequency Percent Valid Percent Percent

Valid strongly satisfied 8 8.0 8.0 8.0

satisfied 42 42.0 42.0 50.0

neutral 21 21.0 21.0 71.0

dissatisfied 19 19.0 19.0 90.0

strongly dissatisfied 10 10.0 10.0 100.0

Total 100 100.0 100.0

Interpretation:

42% of people are satisfied with prices of Servis shoes and 19 % of people are dissatisfied.

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Q. 8

To what extent you are satisfied with quality of Servis shoes?


Cumulative
Frequency Percent Valid Percent Percent

Valid strongly satisfied 11 11.0 11.0 11.0

satisfied 21 21.0 21.0 32.0

neutral 19 19.0 19.0 51.0

dissatisfied 39 39.0 39.0 90.0

stongly dissatisfied 10 10.0 10.0 100.0

Total 100 100.0 100.0

Interpretation:

Large portion of people which is 39% is dissatisfied with the quality of servis shoes and 21%
of people are satisfied.

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Q. 9

Does the quality of Servis shoes matches with your expectations?


Cumulative
Frequency Percent Valid Percent Percent

Valid always 20 20.0 20.0 20.0

sometimes 34 34.0 34.0 54.0

never 46 46.0 46.0 100.0

Total 100 100.0 100.0

Interpretation:

20% of people says that quality of servis shoes always matches their expectations .34% of
people believe that sometimes quality of shoes matches with their expectations and 46% of
people says it never matches their expectations.

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Q. 10

Do you agree that Servis shoes designs are attractive?

Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 23 23.0 23.0 23.0

agree 23 23.0 23.0 46.0

neutral 9 9.0 9.0 55.0

disagree 31 31.0 31.0 86.0

strongly disagree 14 14.0 14.0 100.0

Total 100 100.0 100.0

Interpretation:

23% of people strongly agree that servis shoes designs are attractive and 14% of them
strongly disagree with it.

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Q. 11

Do you find your preferred shoe size easily?


Cumulative
Frequency Percent Valid Percent Percent

Valid always 26 26.0 26.0 26.0

sometimes 41 41.0 41.0 67.0

never 33 33.0 33.0 100.0

Total 100 100.0 100.0

Interpretation:

26% of people always find their preferred shoe size easily where as 33% of them never find
them easily.

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Q. 12

Do you think Servis shoe designs are good as compared to


other companies?
Cumulative
Frequency Percent Valid Percent Percent

Valid very good 17 17.0 17.0 17.0

good 33 33.0 33.0 50.0

not good 50 50.0 50.0 100.0

Total 100 100.0 100.0

Interpretation:

Low percentage of people that 17 % believes that Servis shoe designs are good as compared
to other companies where as 50% of people believes that it’s not like that.

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Q. 13

Are all designs of Servis shoes available to you at any time?


Cumulative
Frequency Percent Valid Percent Percent

Valid yes 60 60.0 60.0 60.0

no 40 40.0 40.0 100.0

Total 100 100.0 100.0

Interpretation:

60% of people says that all designs of Servis shoes are available to them any time where as
40% of people believe contrary to it.

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Q. 14

Do you agree that advertisement of Servis shoes is efficient?


Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 8 8.0 8.0 8.0

agree 22 22.0 22.0 30.0

neutral 29 29.0 29.0 59.0

disagree 26 26.0 26.0 85.0

strongly disagree 15 15.0 15.0 100.0

Total 100 100.0 100.0

Interpretation:

Small portion of people that is 8% strongly agree that advertisements of Servis shoes are
efficient and 15 % of them disagree to it.

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Q. 15

Can you recall the latest ad of Servis shoes?


Cumulative
Frequency Percent Valid Percent Percent

Valid yes 48 48.0 48.0 48.0

no 52 52.0 52.0 100.0

Total 100 100.0 100.0

Interpretation:

48 % of people can recall the latest ad of Servis shoes and 52% cant so it means that ads of
servis shoes do not come up so frequently.

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Q. 16

Do you feel comfortable while wearing Servis shoes?

Cumulative
Frequency Percent Valid Percent Percent

Valid yes 73 73.0 73.0 73.0

no 27 27.0 27.0 100.0

Total 100 100.0 100.0

Interpretation:

Majority of people feels comfortable while wearing Servis shoes where as small portion of
people that are 27% don not feel comfortable.

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Q. 17

Do Servis shoes fulfil the seasonal requirements?


Cumulative
Frequency Percent Valid Percent Percent

Valid always 34 34.0 34.0 34.0

sometimes 41 41.0 41.0 75.0

never 25 25.0 25.0 100.0

Total 100 100.0 100.0

Interpretation:

34% of people believe that Servis shoes always fulfil the seasonal requirements where as 25
% of them thinks opposite to it.

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Q. 18

Do you agree that attitude of employees at Servis outlet is cooperative?


Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 19 19.0 19.0 19.0

agree 36 36.0 36.0 55.0

neutral 15 15.0 15.0 70.0

disagree 19 19.0 19.0 89.0

strongly disagree 11 11.0 11.0 100.0

Total 100 100.0 100.0

Interpretation:

19% of people strongly agree that attitude of Servis employees at outlet is cooperative and
11% disagree to it.

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Q. 19

Do Servis shoes outlets provide reasonable discount during


sales?
Cumulative
Frequency Percent Valid Percent Percent

Valid yes 59 59.0 59.0 59.0

no 41 41.0 41.0 100.0

Total 100 100.0 100.0

Interpretation:

59% of people believe that Servis shoes provide reasonable discounts during sales where as
41% of people do not think the same.

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Q. 20

Do you agree that Servis shoes follow the latest fashion trends?
Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 7 7.0 7.0 7.0

agree 32 32.0 32.0 39.0

neutral 26 26.0 26.0 65.0

disagree 22 22.0 22.0 87.0

strongly disagree 13 13.0 13.0 100.0

Total 100 100.0 100.0

Interpretation:

32% of people agree that Servis shoes follow the latest fashion trends where as 22% of them
disagree with it.

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HYPOTHESIS TESTING THROUGH CHI-SQUARE TEST

Hypothesis: 1

Null Hypothesis: low market share is not due to poor quality of Servis shoes.

Alternate Hypothesis: low market share is due to poor quality of Servis shoes

Ho: Oi = Ei

H1: Oi ≠ Ei

Significance level: 5%

To what extent you are satisfied with quality of


Servis shoes?
Observed N Expected N Residual

strongly satisfied 11 15.0 -4.0

satisfied 21 17.0 4.0

neutral 19 7.0 12.0

dissatisfied 39 32.0 7.0

strongly dissatisfied 10 29.0 -19.0

Total 100

Test Statistics

to what extent
you are satisfied
with quality of
servis shoes?

Chi-Square 36.559a

df 4

Asymp. Sig. .000

a. 0 cells (.0%) have expected


frequencies less than 5. The
minimum expected cell frequency
is 7.0.
Interpretation:

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Since P-value (.000) is less than significance level (.05) so we found evidence against the null
hypothesis and will reject the null hypothesis which says that low market share is not due to
poor quality of Servis shoes. We will accept the alternative hypothesis that low market share
is due to poor quality of Servis shoes.

Hypothesis: 2

Null Hypothesis: low market share is not due to inefficient advertisement.

Alternate Hypothesis: low market share is due to inefficient advertisement.

Ho: Oi = Ei

H1: Oi ≠ Ei

Significance level: 5%

Do you agree that advertisement of Servis shoes is


efficient?
Observed N Expected N Residual

strongly agree 8 12.0 -4.0

agree 22 15.0 7.0

neutral 29 6.0 23.0

disagree 26 36.0 -10.0

strongly disagree 15 31.0 -16.0

Total 100

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Test Statistics

do you agree that


advertisement of
servis shoes is
efficient?

Chi-Square 103.803a

df 4

Asymp. Sig. .000

a. 0 cells (.0%) have expected


frequencies less than 5. The
minimum expected cell frequency
is 6.0.
Interpretation:

Since P-value (.000) is less than significance level (.05) so we found evidence against the null
hypothesis and will reject the null hypothesis which says that low market share is not due to
inefficient advertisement of servis shoes. We will accept the alternative hypothesis that low
market share is due to inefficient advertisement of servis shoes.

Hypothesis: 3

Null Hypothesis: low market share is not due to high competition.

Alternate Hypothesis: low market share is due to high competition.

Ho: Oi = Ei

H1: Oi ≠ Ei

Significance level: 5%

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Do you agree that low market share of servis is due


to strong competitors in the market?
Observed N Expected N Residual

strongly agree 21 26.0 -5.0

agree 24 30.0 -6.0

neutral 24 10.0 14.0

disagree 19 18.0 1.0

strongly disagree 12 16.0 -4.0

Total 100

do you agree that


low market share
of servis is due to
strong
competitors in
the market?

Chi-Square 22.817a

df 4

Asymp. Sig. .000

a. 0 cells (.0%) have


expected frequencies
less than 5. The
minimum expected cell
frequency is 10.0.

Interpretation:

Since P-value (.000) is less than significance level (.05) so we found evidence against the null
hypothesis and will reject the null hypothesis which says that low market share is not due to
high competition. We will accept the alternative hypothesis that low market share is due to
high competition in the market.

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CONCLUSION
After hypothesis testing it is found that factors involved in the declining market share of
Servis shoes are:

 Low quality of shoes


 Inefficient advertisement
 High competitors in the market

All three hypotheses prove that these factors are the cause of declining market share of Servis
shoes. One of the major factor of low market share of Servis is poor quality of Servis shoes. It
is not improving its quality where as the quality of shoes of other companies like Bata, Hush
puppies and starlet is much better than Servis so people these brands. The most important
reason for decline in sales is due to lack of marketing by Servis. There has never been a print
or media advertisement, brochures, pamphlets, billboards etc. the only marketing is the
delivery of customized calendars, diaries and souvenirs which are given only to shareholders
at the annual general meeting. This has created communication gap between existing
customers and Servis itself.. Also it has been extremely difficult to attract new customers
(except for word of mouth) when there are so many alternatives. There are a lot of
opportunities which can be utilized and effective communication for Servis can increase the
sales and revenue tremendously.

Thirdly, in recent years, Pakistan has been bombarded with so many shoe companies. Their
shoes are more trendy and fashionable. This has affected the market share of Servis. Also
Servis lack variety in features. Except for the basics, there are no fancy shoes to attract the
teenagers or even adults. People nowadays are more concerned with comfort, appearance and
other superficial attributes in even the smallest of things.

So in order to retain its market share Servis must focus on these 3 main causes which are
causing decline in market share of Servis. If these are catered well and effective planning and
execution is done Servis can generate more market share through shoes.

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SUGGESTIONS AND
RECOMMENDATIONS

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Following are some of the suggestions and recommendations to increase the


work life and sale volume of Servis shoes.
 Servis should focus on the quality of the products along with keeping consumer
preferences their priority.
 Servis should develop proper marketing division which can highlight differentiation
among Servis and its competitors.
 Focus more on existing brands and innovating them
 Proper planning for advertising is needed.
 Separate outlets for ladies Variety
 Establishment of sales promotion institutions
 Regular market surveys
 Full utilization of the available resources.
 Focus on customer awareness.
 The process of decision making can be improved.
 Can get access to the markets globally.
 Ensure full check and balance.
 Hiring should be according to production and need.
 A proper tagline should be developed which people can remember. Also
reinforcement should be done regularly to retain customers.
 Conducting a customer survey will be most helpful to assess the needs of current
customers.
 Expansion into kids segment will be profitable for the organization as this will boost
sale and increase goodwill.

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ANNEXURE

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Q1: What is your gender?

1. Male
2. Female

Q2: What is your monthly household income?(in rupees)


1. 10,000-20,000
2. 20,000-30,000
3. 30,000-40,000
4. 40,000-50,000
5. 50,000-more

Q3: How frequently you buy shoes?

1. Once aweek
2. Once a month
3. Once a year
4. Twice a year

Q4: Which company shoes do you like to wear the most?

1. Servis
2. Bata
3. Hushpuppies
4. Starlet
5. Others

Q5: On which basis do you prefer servis shoes?

1. Quality
2. Design
3. Brand
4. Price
5. Comfort

Q6: Do you agree that low market share of Servis is due to strong competitors in the market?

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1. Strongly agree
2. Agree
3. Neutral
4. Disagree
5. Strongly disagree

Q7: To what extent you are satisfied with prices of servis shoes?

1. Strongly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Strongly dissatisfied

Q8: To what extent you are satisfied with quality of Servis shoes?

1. Strongly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Strongly dissatified

Q9: Does the quality of Servis shoes matches with your expectations?
1. Always
2. Sometimes
3. Never

Q10: Do you agree that Servis shoes designs are attractive?

1. Strongly agree
2. Agree
3. Neutral
4. Disagree
5. Strongly disagree

Q11: Do you find your preferred shoe size easily?

1. Always
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2. Sometimes
3. Never

Q12: Do you think Servis shoe designs are good as compared to other companies?
1. Very good
2. Good
3. Not good
Q13: Are all designs of Servis shoes available to you at any time?

1. Yes
2. No

Q14: Do you agree that advertisement of Servis shoes is efficient?

1. Strongly agree
2. Agree
3. Neutral
4. Disagree
5. Strongly disagree

Q15: Can you recall the latest ad of Servis shoes?

1. Yes
2. No

Q16: Do you feel comfortable while wearing Servis shoes?

1. Yes
2. No

Q17: Do Servis shoes fulfil the seasonal requirements?

1. Always
2. Sometimes
3. Never

Q18: Do you agree that attitude of employees at Servis outlet is cooperative?

1. Strongly agree
2. Agree

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3. Neutral
4. Disagree
5. Strongly disagree

Q19: Do Servis shoes outlets provide reasonable discount during sales?

1. Yes
2. No

Q20: Do you agree that Servis shoes follow the latest fashion trends?
1. Strongly agree
2. Agree
3. Neutral
4. Disagree
5. Strongly disagree

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REFRENCES

www.servis.com

www.bata.pk

www.starlet.com

Business research methods by William G.zikmund

Mr Tausif Hassan –Gm human resource

Mr Naim-ul-Abid _Gm Marketing

Research Project: Market Share Analysis of Servis Shoes

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