MARKETING MIX OF

FAMILY MANDALAR
COMPANY LIMITED

Meiktila University of Economics

MBA Programme
17th batch, Meiktila Branch

By
Hein Naing Soe
MBA (I) – 65
 1. Introduction

1.1 Profile of the Family Mandalar Company Limited

Family Mandalar Co., Ltd was established in2008. It is one of the leading
construction materials company along with the role of construction which is wider in
economic sector today. The vision of the company is to manufacture high-quality products by
benevolent and well-trained employees with advanced technology. The mission of the
company is to manufacture and distribute the products that could enhance the quality of lives.
Furthermore, the company is accelerating with an aim to become one of the leading
companies nationwide and regionally, providing quality products and services to positively
contribute towards serving the community and in the development process of Myanmar. The
company is recognized by being awarded from the Ministry of Planning and Finance as one
of the top taxpaying companies in Myanmar.
There are two showrooms. One is in Yangon and another one is in Mandalay.
Showrooms 1 is located in No. 1001, Pyay Road, Insein Township, 10 mile, Yangon.
Showroom 2 is located in 25th street, between 84 & 85 streets, Aungmyaytharzan Township,
Mandalay. Showroom 1 in Yangon makes customers convenient to purchase for lower
Myanmar. Showroom 2 in Mandalay makes customers convenient to purchase for upper
Myanmar. Most of the customers are wholesalers for resale. The company serves door-to-
door delivery for customers. The factory is located in Block (304), Mingalardon Industrial
Park, Mingalardon, Garden City, Yangon. Raw materials are GI & PPGI plain sheet in coil
that are imported from China. High quality raw materials are used. The production
technology is Japan production technology. Since raw materials are imported, being produced
and finished products are checked for quality control.

1.1.1 Organization Structure of Family Mandalar Company Limited

There are many construction companies in Myanmar. Among them, Family Mandalar
Co., Ltd. is one of the construction companies. The company creates team work system and
incentive schemes to communicate with each other at work. The company emphasizes
employees’ role in the company. The company hires the right person with right quality for the
right place, right job, and right position.
A business cannot operate with one person, one machine or one department.
The company operates with various resources and departments. Departments in Family
MandalarCo., Ltd can be divided into five departments and there are employees in there.
Every department of the company carries out the respectively duty as to achieve the goals.
These departments are managed by managing director and also each department has its own
head.
 Figure (3.1) Organization Structure of Family Mandalar Company Limited

MD

GM

Sales and Financial Warehousing

HR Production
Marketing Department Department
Department Department
Department

Marketing Production Financial Warehouse

HR Manager
Manager Manager Manager Manager

Production
Admin Sale Team Accountants Staff
Team

Staff Staff Staff Cashier

Source: Family Mandalar Co., Ltd (October, 2019)

Family Mandalar Co., Ltd is organized withfive departments in the company as

described in Figure (3.1). These departments are:
(1) Human Resources Department
(2) Sales and Marketing Department
(3) Production Department
(4) Finance Department
(5) Warehousing Department
 (1) Human Resources Department
The key functions of the human resources management of Family Mandalar Co., Ltd
include recruiting people, training them, performance appraisals and motivating employees as
well as workplace communication, workplace safety, and much more. Moreover, it is
responsible for the HR department to watch the performance of each employee all the
working time and if there is something happened, it needs to report the management level.
HR department of Family Mandalar Co., Ltd is responsible for employee’s welfare,
motivation and safety.

(2) Sales and Marketing Department

Marketing department is one of the important supporting department at Family
Mandalar Co., Ltd. Marketing is a critical role for business functions to attract the customers.
This department evaluates market condition, level of competition, demand and supply
situation, advertising and personal selling etc. Marketing staffs are not only very active but
also interested in their work. They have overall responsibility for growing revenue, increasing
market share and contribution to company growth and profitability. The company’s profit or
loss mainly depends on the effort of the marketing because the marketing department is
important part of the company. They meet and discuss with the customers to fulfill their need
and want at their place and taking measurement and surveying different rooms of customers.
They make the preparation of quotation with the best price for customer. Family Mandalar
Co., Ltd has to conduct delivering goods to customers at the right time.

(3) Production Department

Production department’s main duty is to ensure the products are being produced and
to meet the customer’s quality expectations. It is the duty of the production department to
maintain the production schedule so that other departments know what is being produced and
how long it takes to produce the quantity. Marketing department relies heavily on this
production schedule to provide customers with a satisfactory time line of shipment for their
purchases. The production department has responsibility to produce goods to meet the
customers’ needs and satisfaction. It accepts the purchase order to complete and meet the
quality which are expressed in the purchase order. If the purchase order of product size is the
existing one, it doesn’t need to draw new format. If the purchase order of product size is the
new, production department needs to produce customized products.

(4) Finance Department

Finance department of Family Mandalar Co., Ltd deals with the financial report,
monthly report and daily financial transactions. This department prepares wages and salaries
based on basic pay, absenteeism, leave and fine and commissions. Accountants have to
undertake thoroughly business transactions rather than drawing monthly expenditure for
production, expenditure of market research and office miscellaneous expenditure.

(5) Warehousing Department

 Warehousing department is responsible for storing, maintaining and issuing the
materials, equipment’s and accessories which are needed for production. The basic function
of the department is to store large stock of goods. These goods are stored from the time of
their production or purchase till their consumption or use. It also provides protection of goods
from loss or damage. It collects goods from the place of production and also sends goods to
the place of delivery on request of the depositors.

2. Literature Review

2.1 Concept of Marketing Management

The marketing concept is the philosophy that firms need to analyze the needs
of their customers and then make decision to satisfy those needs, better than the competition.
According to Kotler (2007), the marketing concept is the strategy that firms implement to
satisfy customer needs, increase sales, and maximize profit. It is the belief that companies
must assess the needs of their customers first and foremost. Many firms have adopted the
marketing concept because the concept hold that achieving organizational goals depend on
determining the needs and wants of target markets and delivering the described satisfaction
more effectively and efficiency than competitors. Based on those needs, companies can make
decisions in order to satisfy their customers’ needs, better than their competition. Today
businesses hold the philosophy that their customers are driving forces of their businesses.
The marketing concept starts with a well-defined market first, focusing on customer
needs. Second, marketing activities must be coordinated through the organization. Third, the
marketing activities must work toward achieving goals and objectives of the organization.
The marketing concept is summarized the firm coordinates all the activities that affects
customer satisfaction and makes profits by creating and maintaining customer satisfaction.
Marketing has been viewed traditionally as a business activity. Business organization exists to
satisfy human needs. Consequently, marketing has been defined as the delivery of a higher standard of
living. Other definition refers to marketing as an exchange process. This process involves at least two
parties; buyer and seller. Each party gives up something of value and receive something value.
Marketing performs a major role in the management of the enterprise. Customer orientation has
become the dominant in business philosophy and now successful firms directly interested in customer
satisfaction. A major marketing role is to understand fundamental of customer satisfaction.
According to Kotler (2012), marketing is a process of identification and satisfaction
social and human needs and wants. One of the shortest definitions of marketing is “Meeting
needs profitably”. Marketing is the social process by individuals and groups obtain what they
need and want through creating and exchanging products and value with others. Marketing is
a method that arranges the output of a product into practice by putting – price, promotion,
distribution of ideas, goods and services for satisfaction. Thus, marketing needs customer
satisfaction more than the profit. Today’s marketing is about building a friendly relationship
between the company and their customer by understanding customer satisfaction. The
mission and vision of marketing is to keep the present customers for continuous growth while
looking for new customers to purchase their product.
 Setting a good marketing strategy plays an important role in the marketing activities.
Identifying a proper marketing strategy will effectively create customer value as well as
profitable customer relationships. Marketing strategy involves segmenting the market,
targeting one or more segments and positioning the product/ service towards the targeted
segments. After marketers select a target market, they direct their activities towards profitably
satisfying that segment. Although, they must reach this goal, marketing decision making can
be divided into four areas; product, price, place (distribution) and promotion (marketing
communication). The total forms the marketing mix - the blending of the four elements to fit
the needs and preferences of a specific target market.

2.2 Marketing Mix

Kotler (2007) defines marketing is “the science and art of exploring, creating and delivering
value to satisfy the needs of a target market at a profit.” Marketing identifies unfilled needs and
desires. It defines, measures, and quantifies the size of the identified market and the profit potential. It
pinpoints which segments the company is capable of serving best and it designs and promotes the
appropriate products and services. Today, marketing must be understood not in the old sense of
making a sale - “telling and selling”- but in the new sense of satisfying customer needs. If the
marketer understands consumer needs; develops products and services that provide superior customer
value; and prices, distributes, and promotes them effectively, these products will sell easily.
Marketing management is “the art and science of choosing target markets and getting, keeping, and
growing customers through creating, delivering, and communicating superior customer value”.
The marketing mix is one of the major concepts in modern marketing. Marketing mix
is “the set of tactical marketing tools that a firm blends to produce the response it wants in the
target market.” Marketing mix is a group of marketing variables that the firm combines and
controls, to produce the desired response in the target market. It consists of everything the
firm can do to influence the demand for its product. Marketing mix helps creating a brand,
product development, communication with public, building relationship with public, maintain
the business reputation and tackling the competition.
The elements of marketing mix have effects on consumer decision to buy, customer
satisfaction and customer loyalty. This is the most important aspect of the marketing process
that is, to design and develop a marketing mix to satisfy the segmented customer group by
monitoring and evaluating business can understand whether they have achieved their
objectives of the marketing plan. The possibilities are categorized into four groups of
variables-the four Ps: product, price, place and promotion.
Product means the goods and services combination a company offers to the target market.
Products offered by the firm need to be such that which creates an impact in the minds of the
customers that the products offered by them are different than those offered by the competitors. Price
is the amount of money customers must play to obtain the product. Price can be defined according to
the value and utility of the product to its customers are to be considered. Place includes company
activities that make the product available to target customers. To reach customers, suitable marketing
channel is to be chosen. Promotion refers to the activities that communicate the merits of the product
and persuade target customers to buy it. It aims at grabbing the attention of customers and instigating
them to buy it.
 Figure (2.1) Marketing Mix

Customer Solution Customer Cost

Product Price

Place Promotion
Communication
Convenience

Source: Kotlerand Armstrong (2002)

The 4P’s were formalized and developed over the years by experts to ensure the
creation and execution of a successful marketing strategy. An effective marketing strategy
combines the 4Ps of the marketing mix. It is designed to meet the company’s marketing
objectives by providing its customers with value. The 4Ps of the marketing mix are related
and combine to establish the product’s position within its target markets. Marketers must be
knowledgeable about the issues and options involved in each element of the mix. They must
also be aware of how these elements can be combined to provide an effective marketing
program.

2.2.1 Product
A product is defined by Armstrong and Kotler (2006), is anything that can be offered to a
market for attention, acquisition, use, or consumption that might satisfy want and need. A product can
be tangible different from the form of a service. Goods can also be categorized into three goods.
These are convenience goods, shopping goods and specialty goods. Convenience goods are those
which are readily available and do not require much time or effort for the consumers to make a
purchase decision on. Basic necessities may fall under this category. Shopping goods, on the other
hand, are those products that customers tend to spend a little more time deciding on. These are high
involvement products that require time and effort for research before customers can make an informed
purchase decision. Finally, there are specialty goods which carter to the needs of a narrow segment of
the market.
The product or service is the core of the marketing strategy where retailers can offer
unique attributes that differentiates their products from their competitors. Goods and services
are the two sides of the same coin which is product. Goods are the tangible item of product,
meanwhile service is intangible one. But both of these items had been created in order to
satisfy customer needs and wants. However, several things should be taken into consideration
to increase product or service range and maximize customer satisfaction, which are quality
and design; benefits and features; packing and sizing.
A product needs to be relevant: the users must have an immediate use for it. A
product needs to be functionally able to do what it is supposed to, and do it with a good
quality. A product needs to be communicated: users and potential users must know why they
need to use it, what benefits they can derive from it, and what it does difference it does to
their lives. A product needs a name that people remember and relate to. A product with a
name becomes a brand. It helps stand out from the clutter of products and names. A product
also needs good design, high technology, packaging, function, quality, different sizes and
warrantee. A product needs be adaptable with trends, time and change in segments, the
products need to lend itself to adaptation to make it more relevant and maintain its revenue
streams.

2.2.2 Price
Price is the amount of money charged for a product or service (Kotler, 2012). Price is
the only marketing mix element that produces revenue. All others (product, place, promotion)
represent cost. A pricing mistake can lead to business failure, even when all other elements of
business are sound. Price usually allows the customer to make a decision before buying or
selecting the product or services. Pricing decision is crucial in order to run a successful
business taking into consideration short-term and long-term strategies.
Pricing involves several other elements such as price strategies, discounted price, and
payment method, which can drastically improve sales of the organization. Price strategies includes
skimming pricing, penetration pricing, competitive pricing, psychological pricing, and cost-based
pricing (Kotler& Armstrong, 2013).

Skimming pricing is setting a high price when the market is price insensitive. Price
skimming can make sense when lowering the price will create less revenue. For example, the
owner of the business can set high prices if there is more demand than products. Price
skimming can be an effective short-term policy. However, one danger is that competition will
notice the high prices that consumers are willing to pay and enter the market.
In penetration pricing, a low initial price is set to reach the mass market immediately.
This strategy can also be employed at a later stage in the product’s life cycle. Penetration
pricing is likely to be more satisfactory than cream-skimming pricing when the conditions
exist; 1) the product has a highly elastic demand, 2) substantial reductions in unit costs can be
achieved through large-scale operations and 3) the product is expected to face very strong
competition soon after it is introduced to the market.
A strategy of competition pricing (going-rate pricing) is the establishment of price
based largely on those of competitors, with less attention paid to costs or demand. The firm
might charge the same, more, or less than its major competitors. Some firms may charge a bit
more or less, but they hold the amount of difference constant. Sellers psychologically
influence customers with reduced price. For example, seller set price $199 instead of $200.
They are useful it because customer would think that the purchase of the product was less
than $200. The simplest pricing method is cost-plus pricing that is, adding a standard markup
to the cost of the product. Managers often use the cost-plus method to decide product price.
2.2.3 Place
Place is an essential component of a marketing mix. According to Kotler (2012),
place includes the various activities a firm undertakes to make their product accessible and
available to target customers. The process of moving products from the producer to the
intended user is called place. Place refers to the easy availability of the product in the target
market, it implies that a suitable marketing channel is to be chosen, to reach the customers,
because the better the chain of distribution, the higher would be the coverage. Additionally,
place represents the location where a product or service can be found for consumption. It is
often referred to the distribution channel. The firm will decide when, where and how to
provide the products to customers.
It may seem simplistically possible and smarter for a company to directly distribute its
own products without the help of a channel and intermediaries. This is especially done
because the internet allows sellers and buyers to interact in real time. But in actual practice it
may not take business sense for a company to set up its own distribution operation. In cases
where a company does sell directly, there remain activities that are performed by an outside
company. Therefore, the choice of location is one of the important business decisions
especially for proprietor. This is due to the fact that well located business can often be sure of
an adequate flow of customer to its catchment area. Distribution channels are availability of a
product or service for customer use. Moreover, customers consider the delivery network as a
connection or location for a product or services location.
To become the best distribution channel to use, a company needs to analyze the
customer and understand their needs, discuss and finalize channel objectives and work out
distribution tasks and processes. The distribution chain denotes the methods by which a
product or service is processed from producer to the ultimate user.
Distribution channels are;
1. Zero level distribution – this is a process of direct distribution without any
middlemen.
2. One level distribution – this is between the companies and their ultimate users,
customers can find one agent responsible for distribution.
3. Two level distributions –there may be two level of intermediaries in businesses.

Figure (2.2) Distribution Channel

Companies Companies Companies

Wholesaler

Retailer Retailer

End user End user End user

 Zero Channel One Channel Two Channels
Source: Kotlerand Keller, (2011)

An organization needs to pay attention to place decisions, because of the importance

of the product and consumption occurring at the same time and at the same place; a place that
provides all information tocustomers. Therefore, the strategy of place needs to the effective
distribution of the firm’s products among the channels of marketing like wholesalers, or
retailers (Kotler& Keller, 2011).

2.2.4 Promotion
Promotion is an approach used to adjust international market or local market. This
approach helps customers to recognize the product or service. Sometimes, the company or
organization offers benefits like discount, bonus and samples to customer during the
promotion time. Promotion is a plan for increasing sales within a short period of product or
services. Promotion drives a customer to purchase a product or services, nevertheless
promotion becomes more reliable over long-term sales. Promotion is information that
encourages customers to a make buying decision of a product or service in the market.
Promotion is usually interested in purchasing a product or service by customer, therefore
company or organization uses promotion to convince people. The role of promotion in
marketing mix is to inform consumers about place and price of the existing product. It is
comprised of various elements like;
1. Advertising
2. Personal selling
3. Public relations
4. Sales promotion
Advertising is a paid form of non-personal communications about an organization, its
products, or its activities that is transmitted through a mass medium to a target audience. The
mass medium might be radio, television, magazines, newspapers, brochures, billboards, web
pages, direct mail or internet can lead to a quick feedback for organization. Advertising is a
non-personal communication means of goods and services by using mass communication
media and is implemented through a specific sponsor, for a fee paid impact consumer
purchase decision. It includes the name of a product or service and how that product or
service could benefit the consumer, to persuade a target market to purchase or to consume
that particular brand. Advertising is an audio or visual form of marketing communication that
employs an openly sponsored, non-personal message to promote or sell a product, service or
idea.
Personal selling is face to face communication with potential buyers to inform and
persuade them to buy an organization’s product. This interaction provides the marketer with
communication flexibility, as the seller can see or hear the potential buyer’s reactions to the
message and modify the message accordingly. The personal individualized communication
that takes place through personal allows the seller to tailor and adapt the message to the
specific needs or situations of the customer. Personal selling also involves more immediate
and precise feedback because the sales presentation can generally be assessed by the
reactions of the customer. Personal selling is an ancient art. Effective salespeople today have
more than instinct, however.
Public relation is a way of communication used by organization to impress the target
audience with an offered product image. This method can include speaking in public,
seminars, sponsorship, conferences and press release. Companies now spend hundreds of
millions of dollars each year to train them in methods of analysis and customer management
and to transform them from passive order takers into active order getters. Another important
component of an organization’s promotion mix is that of public relations. Not only must the
company relate constructively to customers, suppliers, and dealers, but also relate to a large
number of interested publics. A public is any group that has an actual or potential interest in
or impact on a company’s ability to achieve its objectives. Public Relations (PR) includes a
variety of programs to promote or protect a company’s image or individual products. The
wise company takes concrete steps to manage successful relationships with its key public.
Sales promotion is a set of marketing activities in order to set short-term increase of
sales of the offered product. Its tools are brochures, folder, packaging, attraction leaflets etc.
Sales promotion, a key ingredient in marketing campaign, consists of a collection of incentive
tools, mostly short term, designed to stimulate quicker or greater purchase of particular
products or services by consumers or the trade. Whereas advertising offers a reason to buy,
sales promotion offers an incentive. Sellers use incentive-type promotions to attract new
triers, to reward loyal customers, and to increase the repurchase rate of occasional users.
To develop effectively promotion strategy need to conduct this steps (1) select the
target audience, including potential buyers, current users and possibly others who influence
the buying decision, (2) determine the communication objectives, involving such goals as
awareness, knowledge, liking, preference, conviction and purchase, (3) decide on a budget,
including how much to spend on the total campaign (tools) as well as what to allocate to
various promotion types, (4) create a message, capturing what to say, how to say it and who
will deliver the message, (5) choose media, among them personal communication channel,
and (6) collect feedback, which includes researching how effective the communications were
in meeting the objectives (Kotler& Keller, 2011).

2.3 Marketing Mix of Family Mandalar Company Limited

 This section describes marketing mix activities of Family Mandalar Co., Ltd
Marketing mix plays an important part in overall marketing approach in every industry to
fulfil the customers’ needs and wants. Family Mandalar Co., Ltd uses marketing mix (4Ps) to
achieve customer satisfaction and to attract existing new customers. Family Mandalar Co.,
Ltd needs to focus marketing mix activities of product, price, place, and promotion. Customer
satisfaction is the main important point of every construction materials company. Thus, detail
of each marketing mix is shown in the following section.

2.3.1 Product
Product is an object made available for consumer use; it is anything that can be
offered to a market to satisfy the desire or need of a customer. Family Mandalar Co., Ltd
offers different kinds of construction materials with different quality, size and colors.

Table: Products of Family Mandalar Company Limited

Sr. No. Categories
1 GI Roofing Sheet (Plain)
2 GI 11 Lines Roofing Sheet
3 GI 9Lines (4 Stars-Green)
GI 9Lines (4 Stars-Black)
4 GI 9Lines (Green Star)
5 GI 9Lines (Elephant)
6 Aluminium Zinc Roofing 0.3mm, 0.31mm, 0.32mm, 0.36mm
Sheet 11Lines (4 Stars)
7 4 Angle Color Sheet
8 Light Sheet 9Lines
9 Plain Sheet
10 Hollow Pipe
Size
1.5’x 80’, 2’x 80’, 3’x 80’, 4’x 80’
0.3mm, 0.31mm, 0.32mm, 0.36mm
0.3mm, 0.31mm, 0.32mm, 0.36mm
0.3mm, 0.31mm, 0.32mm, 0.36mm
0.3mm, 0.31mm, 0.32mm, 0.36mm
0.32mm, 0.34mm, 0.364mm, 0.42mm
0.3mm, 0.31mm, 0.32mm, 0.36mm
0.3mm, 0.31mm, 0.32mm, 0.346mm,
0.364mm, 0.42mm
1”x1” (0.75), 1”x1” (0.85), 1”x1” (0.9),
2”x1” (1.2), 2”x1” (1), 4”x4” (1.4),
3”x3” (1.5), ¾”x¾” (0.85), 4”x2” (1.1)
1.5”x ¾” (1), 1.5”x 1.5” (0.8),1.5”x 1.5”(1)

11 Deck Sheet 0.7mm, 0.8mm, 0.85mm, 0.9mm, 0.95mm,

1cm, 1.1cm, 1.2cm, 1.4cm

12 Sun Shade Customized

13 Gutter Seal Customized
14 Gutter Bracket Customized
15 Ridge Cap Seal (Round/ Flat) Customized
16 Drain Hole 3”
17 Drain Hole 4”
18 Screw (Nail) 2”
19 Screw (Nail) 2.5”
 20 Screw (Wood) 2”
21 Screw (Wood) 2.5”
Source: Family Mandalar Co.,Ltd (October, 2019)

Products of Family Mandalar Co., Ltd are manufactured in different length, thickness
and colors. Good quality and different product designs are available in the company. Family
Mandalar Co., Ltd is popular among the construction market because updated design,
customized size and many kinds of construction materials are available in one place.
According to Table (3.1), different kinds of roofing sheets, pipe and accessories are
available for customers. The company mainly provides roofing sheets such as GI plain, GI
11Lines, GI 9Lines and 4Angle. Length of the roofing sheets are 6’, 7’, 8’, 9’, 10’, 11’, 12’,
13’ and 14’. Customers can choose 4Angle roofing sheet in many colors such as green, light
green, forest green, red, light red, blue, cream, chocolate, orange and timber. Not only 4Angle
roofing sheets but also different styles of roofing sheets such as wave tile, oriental, classic,
eagle, paragon, excellent design can give satisfaction to customers. These types of roofing
sheets can be ordered for customized thickness and length. Customers can choose the brands
like ‘Elephant’, ‘Four Stars’, and ‘Green Star’ for GI 9Lines roofing sheet.
White, light blue, dark blue and green are available for light sheet. Red, blue and
green are available for plain sheet. Hollow pipe and deck sheet with different size are
available for all types of building like home, school, hospital, office and others. Other
accessories such as gutter seal, gutter bracket, ridge cap seal (flat and round), drain hole and
screw (nail and wood) are also available. Construction materials can be bought in one place
by choosing different size, color and quality for a customer.
In production, there is quality control system. At first, it maintains the quality by
checking the quality of raw material and the right employee before production. Second, it
checks the cutting and painting in production process to get the desired quality according to
customized design. Family Mandalar Co., Ltd uses the high quality raw materials, automatic
cutting machines, automatic drilling machine and skilled persons to improve the product
quality. Finally, it checks the finished goods before distribution to the market. Japan
production technology and toxic free raw materials are used for the quality of the products.

2.3.2 Price
Family Mandalar Co., Ltd adopts both cost-based pricing and competitive pricing
strategies to penetrate the market. The company adopts the cost-based pricing strategy
because it sets the price based on the costs of production. When setting price, the company
considers competitor prices to be adaptable with the market condition. After analyzing its
costs and competitors’ prices, the company set the reasonable price for its products. Thus,
Family Mandalar Co., Ltd keeps its target profit margin and produces the customized size
with low price and reasonable quality to get the consumers’ acceptance.
The prices are set up by the head quarter of Family Mandalar Co., Ltd. According to
the customer needs and wants, Family Mandalar Co., Ltd makes its products with customized
size and design with related prices. The company always set up their price to satisfy their
customer especially.
 According to the Table in appendix, head-office of Family Mandalar Co., Ltd sets the
price of all products. The consistent price is set up for all showrooms. Family Mandalar Co.,
Ltd sells their products to the customers by using in Figure (3.2). The customers can buy the
products by using two types of payment: cash down and credit. Cash down and creditprice of
GI plain roofing sheet, hollow pipe, deck sheet and other construction accessories are the
same. Credit customers get one month to settle the debt. This system is beneficial for retailers
and wholesalers because they don’t need to invest money in their stock.
According to the customer needs, Family Mandalar Co., Ltd makes its products with
customized size and design with related prices. The company always sets up their price to
satisfy their customers especially. Regarding to the discounted policies, it can be described
with the following Table (3.2).

Table: Discount Policies of Family Mandalar Company Limited

Sr. No. Purchase Amount (Kyats) Discount (%)
1 <3,000,000 2
2 3,000,000-10,000,000 5
3 >10,000,000 8
Source: Family Mandalar Co., Ltd (October, 2019)

According to the Table (3.2), head-office of Family Mandalar Co., Ltd sets the price
of all products and also set the price discount systems. The company sets three types of
discounts; 2 percent, 5percent, and 8 percent. If the customers buy the products below
3,000,000 Kyats, the company pays two percent discount of the amount at the company
showroom. If the customers buy the products from 3,000,000 Kyats to 10,000,000 Kyats, the
customer gets 5 percent discount. If the customers buy the products amount above10,000,000
Kyats, the company gives 8 percent to customers. According to the discount policy,
customers are forced to buy the large amount to get the discount. It is only intended to
customers who pay cash down.Usually the company sets one month duration for credit
customers. But the company provides negotiation the price and duration based on the
customer request. Price for each product, total amount and credit terms are negotiated with
customers.

2.3.3 Place
The company has two major distribution channels, which are direct distribution
channel and indirect distribution channel. Family Mandalar Co., Ltd uses channels in
distribution of its products in the market with the aim of providing consumers to buy the
product at the most convenient place. It mainly uses three types of distribution channels: zero
level channel, one level channel, and two level channels. Direct channel or zero level channel
is shown in Figure (3.2).

Figure (3.2) Direct Channel or Zero Channel

Family Mandalar Co., Ltd. End User

Source: Family Mandalar Co., Ltd (October, 2019)

According to Figure (3.2), Family Mandalar Co., Ltd mainly uses direct distribution
channel because direct channel of distribution is the shortest and simplest form of distribution
channel. The company extends digital marketing since the advent of the internet. The
company has two showrooms, where the manufacturer sells its product directly to the end
customer that they are without intermediaries. There are located in convenient places such as
Yangon and Mandalay.

Table: Showrooms of Family Mandalar Company Limited

Sr. No. Name of Branch Address
1 Show Room-1 No. 1001, Pyay Road, Insein Township, 10
(Yangon) mile, Yangon.
2 Show Room – 2 No.25 Street, between 84 & 85 streets,
(Mandalay) Aungmyaytharzan Township, Mandalay.

Source: Family Mandalar Co., Ltd (October, 2019)

Showrooms 1 is located in No. 1001, Pyay Road, Insein Township, 10 mile, Yangon
and Showroom 2 is located in No.25 street, between 84 & 85 streets, Aungmyaytharzan
Township, Mandalay. Showroom 1 in Yangon makes customers convenient to purchase for
customers in lower Myanmar. Showroom 2 in Mandalay makes customers convenient to
purchase for customers in upper Myanmar. The company’s showrooms are located in down
town area of Yangon and Mandalay that the customers can easily be easily accessible.
Moreover, the customers can know the company information through internet Web page and
Facebook.

Figure (3.3) One Level Channel and Two Level Channels

Producers / Manufacturer

Wholesaler

Retailer Retailer

End User
Source: Family Mandalar Co., Ltd (October, 2019)

According to Figure (3.3), Family Mandalar Co., Ltd uses indirect channels such as
one level channels and two level channels where the manufacturer sells directly to the
retailers and wholesalers. The company mostly uses one level distribution channels. The
company sells the products to wholesalers who can resell them to end users, customers in one
level distribution channel. In two level distribution channel, the company uses intermediaries,
wholesalers and retailers to reach the products to customers.

2.3.4 Promotion
Promotion is one of the elements of marketing mix among other elements like
product, price and place which are the 4Ps of marketing. Promotion activities are necessary
and effective for the success of the company. Promotion is the attracting factor of the
customers for making buying decisions and awareness. Promotion tools are used by various
organizations. Promotion tools for B-to-B relationship can be different from tools for
customers. Family Mandalar Co., Ltd conducts some of promotion activities: advertising,
sales promotion, personal selling and public relations.

Table: Promotion Activities of Family Mandalar Company Limited

Types of
Sr. No. Promotion Activities of Family Mandalar Co., Ltd
Promotion
1 Advertising Newspaper, Pamphlet, Brochure and Catalogs, Radio,
Billboards, Social Media, Web site, Telephone

2 Personal Selling Showroom staff, Sales Teams, Trade shows, and Sale
presentations

3 Sales Promotion Discount gifts, Special promotion and New Year

Festivals.
4 Public Relations Social welfare activities and Donation
Source: Family Mandalar Co., Ltd (October, 2019)

(i) Advertising
According to Table (3.4), the company uses advertising as promotion activities. The
main advertising methods of Family Mandalar Co., Ltd uses printed media, broadcasting
media and social media. The company uses Mandalay FM for radio advertising. Advertising
in radio broadcasting are suitable for different areas such as Yangon area, Mandalay area and
other division. Today, Family Mandalar Co., Ltd also advertises in social media as Facebook
and Website. Family Mandalar Co., Ltd uses printed media such as newspaper, catalogs and
pamphlet. The company puts advertisement in Myanmar’s Light and The Mirror newspapers.
Delivery vehicles with company’s logo and employee uniform with company’s logo are
advertisements of company. Inform about products and promotions to potential and loyal
business buyers via telephone can makes customers satisfaction.
 (ii) Personal Selling
The company is more emphasized the personal selling than other promotional
activities because personal presentation by the company’s sales force for the purpose of
marking sales and building customer relationships. Personal selling is more effective for the
selling of construction materials. Family Mandalar Co., Ltd participates in trade shows and
exhibition. If sales and marketing team perform well and they received the orders from
private housing projects, office projects and governmentprojects. This project order increase
sales growth and revenue of the company. Thus, the sale staffs of Family Mandalar Co., Ltd
regularly visit and make sales calls. The sale teams are delivered to extend new markets.
They are also delivered to different areas for sales increase whenever the new products are
produced. The sale team meets and discusses with the customers for their needs and wants.

(iii) Sales Promotion

Family Mandalar Co., Ltd regularly gives special sales promotion such as Thingyan,
Thadigyut, and New Year Festivals. The company gives promotion and discounts especially
in rainy season that is intended to promote sales. The company gives short-term
incentiveprogramme to encourage the sale of a product. The company’s sales promotion
actives consist of gifts and price discounts.The company also givesthe promotion gifts and
discount for loyal customers.

(iv) Public Relations

Company’s public relations important because the company does not advertise itself
in some areas. Family Mandalar Co., Ltd also builds its brand image through public relations.
Family Mandalar Co., Ltd corporate the social activity, corporate social responsibility (CSR)
activities are done yearly such as flooded area donation. The company gives money donation
and construction materials for hospital, monastery and schools. The company emphasizes on
promotions in order to get customer satisfaction.

3. Conclusion
Family Mandalar Co., Ltd is one of the famous construction material companies in
Yangon and it has good reputation among the industry in Yangon. In exploring the marketing
mix of Family Mandalar Co., Ltd, it was found that they set their marketing strategy using
marketing mix (product, price, place and promotion). In this study, the independent variable
contains the marketing mix, 4Ps of Family Mandalar Co., Ltd (product, price, place and
promotion) and dependent variable is the customer satisfaction.
The company has a variety of products that can influence consumer satisfaction. The
products include different kinds of roofing sheet, plain sheet, hollow pipe, deck sheet, sun
shade, gutter seal, gutter bracket, ridge cap seal (flat and round), drain hole and screw (nail
and wood). The company sets cost-based pricing and competitor based pricing strategy also
known as perceived value pricing which is based on the assumptions of consumer needs and
belief. There are two channels of distribution:direct and indirect distribution. The direct
distribution involves distributing direct from manufacturer to customer and the indirect
distribution involves distributing product through intermediaries (wholesalers and retailers).
The company also performs promotion activities like advertising, sales promotion, personal
selling and public relations. Regarding with sales promotion, the company tries to attract
consumers by offering seasonal gifts, discounts as sales promotion.
This study is intended to explore the marketing mix of Family Mandalay Co., Ltd.
The second intention of this study is to analyze the customer satisfaction on marketing mix of
Family Mandalar Co., Ltd. The data were collected from 150 business buyers from Yangon.
According to the organization background of the respondents, nearly one third of the
business buyers have more than 50 employees. Most respondents answered that the number
of decision maker is one.
According to the demographic factors of the respondents, it was foundedmore male
customers than female customers. Most respondents are in the age group of between 31 and
40 years old. By marital status, married people come more than single people to the
showroom. According to most respondents are under graduated. By family income, most of
the respondents’ incomes level is above 500,001Kyats.
The results shows the maximum perception on the product such as providing varieties
of construction materials in meeting customer needs and satisfaction and the company’s
brand is popular in the market. Because all necessary construction materials can be available
at Family Mandalar Co.,Ltd.Almost all people aware the brand name of Family Mandalar
Co., Ltd like Four Stars, Green Star and Elephant roofing sheet.It provides the minimum
mean value on product that is in agree level.It means the respondents perceive that the
company provides different qualities and brands to make retailers and wholesalers convenient
in reselling.
According to the customer perception on price, providing price negotiation according
to the customer request and uniform price of products are provided at any showrooms. Many
customersagreeand prefer that the company gives price negotiation. Customersshowminimum
perception on price factor, providing reasonable prices to compare with other competitors.
Although it shows the minimum mean value but it is in the agree level that means they agree
prices are reasonable to compare with other competitors.
Customers show the maximum perception on place factors such as sufficient area for
car parking of vehicles and direct purchase the products from wholesalers. They enjoy the
location of showroom, parking area and transportation convenience. Moreover, they also feel
satisfied that they can buy the company’s products from retailers and wholesalers without
direct contact with company and showroom.Customersindicate minimum perception on place
factor because showrooms are located in main area and commercial area of the town.
Concerning with customer perception on place, most of the customers are pleased with the
company’s showroom location and distribution channels.
Customers revealmaximum perception on promotion factors such as seasonal
promotion, discounts, gifts and social welfare activities. Donation and social welfare
activities of the company give benefits to both customers and the public. Customers give
minimum perception on a factor that they get advice, product information and presentations
from showroom staff and sales team.Although it show minimum perception on one of the
promotions factor, it is included in agree level.
 The overall mean value of marketing mix (product, price, place and promotion) shows
the agree level of the respondents. It means that the respondents have preference on
marketing mix of the company and adopt that these marketing mix are essential for the
customer satisfaction of the company. It is also found that product shows the maximum mean
value and promotion shows the minimum mean value. The perception levels on all marketing
activities are important for the company. It can be concluded that the more good perception
on marketing mix activities, the more customers get satisfaction.
Moreover, the correlation of the variables showed that the marketing mix factors had
the positive correlation with customer satisfaction. The results can be indicatedthat marketing
mix factors are important for customer satisfaction. The correlation results can be seen that
price is strongly correlated with customer satisfaction. While promotion is moderately
correlated with customer satisfaction, place and product are weakly correlated. According to
the correlation results, the more the company emphasizes on marketing mix, the higher level
of customer satisfaction can be expected. It can be said that marketing mix plays an important
role in enhancing customer satisfaction.
From the multiple regression results, it is clearly observed that the marketing mix
factors such as price and place show significant effects on customer satisfaction. It can be
seen that product and promotion do not significantly affect customer satisfaction. However, if
the company fulfill the requirements for product and promotion, the customer satisfaction
will be a better picture for the company and acquire the higher level of customer satisfaction.