Pakistan’s GDP= 280 Billion USD

Sector wise breakdown:

- Manufacturing = 17%
- Services= >50%
- Agriculture = 23%

Why channels want to evaluate their performance?

- To compare their performance with the set targets

- To check the sales and market trends
- To determine the potential of the channel

What are KPIs?

- Quantitative KPIs: e.g. Sales, ROI (Tangible numbers)

- Qualitative: e.g. customer satisfaction, after sale service etc.

You need to make sure that your KPI encourage brand in the mind of the customer (build brand)

Check both quantitative and qualitative KPIs as both have inherent limitations and together provide a
better understanding

Quantitative KPIs are used more because managers performance is also dependent on these
quantitative figures

Issues with Quantitative KPIs

- Other factors can also have an effect on the quantifiable numbers which can’t be distinguished
- Focus would shift on getting better numbers and would encourage short term approach
- Focus on achieving numbers would make the company less flexible to adapt to the emerging
market trends

Traditional managers vs Entrepreneurs:

- Entrepreneurs think long term, traditional managers think short term

- Give incentives like shareholding to inculcate long term sense of decisions in traditional
managers

Agriculture Brands

- Primary Customers: Dealers

- Secondary Customers: Farmers
- Sales representatives are used to build brand image, meetings with the farmers, CSR activities
like soil testing
Credit

- Should not be given to strong dealers. It should only be given to weak dealers.
- Advantage: Opportunity to sale, improves cash flows, can charge service fees, cyclical trends,
better relationships
- Principle (How much to be given):
- Disadvantages: bad debt, slippery slope: ask for more, company will have to pay the cost of
capital to the bank on its own, market price affected: If credit given that you have to pay in 50
days then they’ll sell for less.

Trader promotion: discount to the dealers

Shopper promotion: discount to the shopper (final consumer)

Syngenta: naya saweera shop initiative

To make franchising successful: check and balance is the most critical factor as Syngenta fought with
their primary dealer due to its unethical activities

Institutional voids:

MQ (Meaning quotient): to break your own record without any extrinsic motivation, push to become a
better version of yourself

IQ (Intelligence quotient): reasoning ability

EQ(Emotional quotient): manage your own emotions in positive ways to relieve stress