Professional Documents
Culture Documents
PRAN Group was born in 1980, is the largest processors of fruits and vegetables in Bangladesh. At present
PRAN group is doing business with PRAN juice, water, pickle and jam jelly, confectionary, Dairy products
and drinks. As an extension of its business PRANs management authority has decided to introduce a
Guava Grape flavored ice cream named Ripple milk bar in addition to drinks and water. PRANs new
product is entering a market place crowded with offering from Igloo, Polar, Quality, Savoy, and other ice
cream manufacturers. PRAN has been around for many years becoming popular in all districts in
Bangladesh.
Ripple milk bar much different than a traditional ice cream in that it is made by a small counter top machine
rather than grinding it like a sno-cone machine, which results in ice so fine that it rivals real snow! The snow
is then placed in bowl or cup or mug or box, supplied from handicrafts marketing project, which may be
used as a showpieces and filled with high quality tropical fruit flavor. Since the syrup is absorbed into the
snow, it must be eaten with a spoon instead of a straw.
Because Ripple milk bar is so tender and made with the thickest, best tasting tropical fruit flavors, adults
and children of all ages and ethnic background prefer it.
As a marketing executive of PRAN I am assigned to prepare a marketing plan for a ice cream and following
sections are covered with a hypothetical financing plan for the coming year.
Every business organization needs to analyze its internal capabilities for developing strategy that it in line
with its mission. To fulfill its mission, PRAN is committed to capitalize on its key strengths and overcome its
major weakness. The strengths and weaknesses of PRAN ice cream is summarized below:
SWOT Analysis of PRAN ice cream:
Strengths:
Customer loyalty.
Availability of capital.
Financial stability.
Weaknesses:
Threats:
PRANs objectives:
Earn annual rate of return on investment of 15 percent after taxes over the next five years.
Produce a net profit of at least TK l,00,00000 by the next three years of operation with a target profit
margin of 10 percent on total sales revenue of Tk 100000000.
Achieve first year total sales revenue of TK4,50,0000, based on an average price of TK.100 per unit.
PRANs MISSION:
PRAN will produce and sell Ripple milk bar with 20 different flavored ice creams to consumers in
Bangladesh. Retail customers will be in the middle- to upper-income people, and will range in age from
children to adults.
MARKETING STRATEGY:
PRAN has- decided to market Ripple milk bar all over the country especially in the city areas. It considers
both sides the customer side and the business side. On the customer side the target market is middle to
upper class people. On the business side the target market is small to large size retail shops that want to
help their products stay in touch.
PRANs overall marketing strategy will be to create an image of offering the highest quality snow cream all
over the County. The business will be located in a high traffic area of the city. Customers will be reached
through advertisements such as magazines ads, newspaper ads; and through its grand opening
ceremonies.
A special marketing program will also be incorporated by offering special coupon prices for nearby
restaurants, motels, city pool, the shops, and the bus stations to customers who purchase any product at
PRAN.
A highlight of PRANs marketing strategy:
Positioning strategy:
Consumers typically choose products and services that give them the greatest value. In that sense PRAN
has decided to use more for less positioning strategy. It will introduce better quality product at comparatively
lower price for a given level of performance. PRAN claims that its Ice milk provides the best tent and
everyday low price. It likes to position as a testy and supper saver for all family and individual users.
Product management:
Raw Ripple milk will be packed in an air and heatproof box, mug, cup or bowl. Finished bar will be stored in
freeze with great care until served to the customers. A spoon will be given within the box for easy use. As all
the existing ice creams are melted when they come with the heat, so to solve this problem is used chemical
which makes it intact until consumption.
Main products to be sold through the PRAN will be ice cream topped with tropical and Mexican flavored in
three main sizes: small, medium, and large.
Product description (Raw materials):
One major product will be sold through PRAN ice cream which will include Ripple milk bar topped with
tropical and Mexican flavored syrups Twenty different tropical and Mexican flavored syrups will be sold and
include the following(Raw materials):
Wild Watermelon, Pina Colada, Pint Lemonade, Cherry Jubilee, Root Beer, Kiwi, Strawberry, Blue Bubble
Gum,Raspberry Red, Luscious Lime, Bodacious Banana, Tamarindo, Jamaica, Hortacha, Melon, Papaya,
Manzana, and Limon.
Ripple
milk
bar
will
be
manufactured
in
an
automatic
machine
imported
from
2.
Newspaper advertisements will be purchased during the first three months of business until a image is
built.
3.
PRAN will offer discounts to recreational groups such as children/adult cricket teams and football teams
who play in nearby facilities.
4.
5. PRAN will adopt a school and provide to individuals who are selected for having excellent attendance,
good grades, and good citizenship. Other incentives will include sponsoring a good attendance program by
purchasing a bike and raffling it to students with the best attendance. This will be a promotional strategy to
encourage business.
We want to finance growth mainly through cash flow. We recognized that this means we would have to grow
slowly. Monthly sales are the largest indicator for this business. There are some seasonal variations with the
months of match through September being the highest sales months.
General Assumptions
Year 2006
13.50%
0.00%
25%
Others
2007
Taka
Taka
45000000
Gross Revenue
45000000
31800000
1320000
Gross profit
Operating expenses:
Rent
1000000
912000
Administrative salary
366000
Miscellaneous
320000
1320000
Depreciation
75000
3993000
9207000
1200000
8007000
2001750
Net Profit
6005250
2007
Taka
Taka
45000000
Other revenue
0.00
Gross Revenue
45000000
33400000
Gross Profit
11600000
6432000
Operating expenses:
Rent
1000000
5168000
60000
1292000
Administrative salary
366000
Miscellaneous
320000
Internet expense
3000000
Depreciation
75000
1071000
Net Profit
Balance Sheet
Fort the ended 31st December 2007
2007
Taka
Taka
18000000
11643000
6357000
4560000
44000000
57243000
1600000
1. Current Assets
Accounts Receivable
Inventories
Total Current Assets
2. Fixed Assets
Equipments
(Less) Depreciation
750000
9675000
75000
66918000
675000
9000000
Investment
Total Fixed Assets
Total Assets (Total current assets + Total Fixed Assets)
Taka
Taka
33000000
34542000
Accounts payable
1542000
18000000
102500
14376000
416000
96918000
1. Current liability:
Bank Loan
Owners Equity:
Capital
Retained earnings
Total Liability and owners equity
IMPLEMENTATION CONTROL:
This marketing plan includes a detail budget, schedule and managerial assignment for every action
program. Keeping mind that a great marketing strategy can be sabotaged by poor implementation,
marketing executive of PRAN has taken necessary steps for implementation. For control purpose this plan
follows month-by-month comparison of actual versus projected sales and expenses.