master file sufi

PROJECT OF SUFI GROUP OF INDUSTRIES

Company name: SUFI Group of Industries

publicity slogan: THE NAME THAT INSPIRES TRUST,

"BUY WITH FULL CONFIDENCE AS THIS IS YOUR BEST CHOICE"

HISTORY

Mr. Hadayat Ullah Sufi started production of soap in 1952 firstly on manual line of production. Then in 1965 revolutionary step was taken and automatic mazoni soap plant which were well known in the world for their most modern technique and standard, and as it was policy of the company to go for the best, the plant having capacity of 12 ton per day (installed capacity) was installed in new premises at 12-K.M. Lahore-Sheikhpura road. Later we increased our soap making capacity by installing another Mazoni Plant having 36 ton per day capacity (installed capacity). The factory took a further step ahead and glycerin recovery plant was also installed to cover the by-product of our soap making method.M/S Hamza Vegetable Oil Refinery and Ghee Mills Pvt. Limited. are producing 130 M.Ton of ghee and cooking oil for last five years.

COMPANYPROFILE

Soon after coming into being this God gifted country (PAKISTAN) had to face so many problems. The most major share of GNP consisted on agriculture production. The only source available for industrial product was unauthorized trade with India. With the passage of time when Indo-Pak border was strictly closed, the shortage of industrial products increased and with that living of Pakistanis became harder and harder. This was the time when Government of Pakistan realized to introduce country’s industrial policy on progressive lines. As it was need of the time and there were enough initiatives available so the people who had experience in any field of industrial sector jumped in and started moving the industrial wheel

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of Pakistan in the forward direction.

At that period of time Mr. Hadayat Ullah Sufi, who himself had migrated from Amritsar (India) took the initiatives and started production of soap in 1952 firstly on manual line of production. This was in fact courage of bear handed person who invested nothing more than sincere labor in the business. God, who have promised his men to give befitting reward of sincere efforts, picked up this small institution and made it what you are seeing today in 1998. In the early days of struggle and hardship other family members also play their vital role in the progress of institution. As the time was changing industrial growth in Pakistan was picking up its pace, new ideas in industrial production were also pouring in. Now it was need of the time to walk with the pace of time.

Then in 1965 revolutionary step was taken and automatic mazoni soap plant which were well known in the world for their most modern technique and standard, and as it was policy of the company to go for the best, the plant having capacity of 12 ton per day (installed capacity) was installed in new premises at 12-K.M. Lahore-Sheikhpura road. Now the production of soap started on most modern soap plant with fully automatic system. This was a start of new era in the age of soap industry of Pakistan. Later on as our products win reputition in the market due to its high quality standard, increased our soap making capacity by installing another Mazoni Plant having 36 ton per day capacity (installed capacity). The factory took a further step ahead and glycerine recovery plant was also installed to cover the by-product of our soap making method.M/S Hamza Vegetable Oil Refinery and Ghee Mills Pvt. Limited. are producing 130 M.Ton of ghee and cooking oil for last five years. Now the entire production system of mills is undertaking a mjor change in installing automatic system of production. As a part of this job automatic plant refining and deodarization is under construction in Belgium and M/S S.A. Extraction De Smet N.V., Belgium are shipping this machinery in September and October, 1999. Then another company M/S Hadayat Soap & Chemical Industries (Pvt. Ltd. have installed an imported plant for Detergent Bar. Its productions are going to be launched very recently. Presently its trial productions have been done

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very successfully.

As regards our present total turn over for both the companies is Rs.1350 Million and volume of annual imports is around Rs. 750 Million.

Our consumers have full faith in our quality, as our products fully pay back its price to them. The most important matters which tops priority list of the company is to maintain and make every efforts to improve upon the quality standards of our products. Our entire production is supervised by very vigilant and well-equipped laboratory. We are consuming best quality material available from every corner of the world. It will be worth mentioning that some of the materials consumed in our products are not even known to our competitors that makes our products very distinctive from other available soaps in the market.

Now we are covering almost most of big as well as small cities of Pakistan and our products are within reach of maximum population of the country. Our products are also available on all the Government run stores popularly known as Utility Stores and CSD shops.

We trust on the faith of our consumers and consumers have faith in our quality. This is an ideal situation for an industrial concern and the spirit of this relationship is also picked up in our publicity slogan

"BUY WITH FULL CONFIDENCE AS THIS IS YOUR BEST CHOICE"

Mission Statement

We will provide our customers the best quality products using the latest technology available to the privileged customers in the selected market segments keeping in view the concern for survival, growth and profitability of the organization. Our philosophy is to take care of our suppliers, stock holders and the community. Our self concept and public image is to come

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up with the innovative quality products at the right time and at the right place to cater to needs of our customers. We will provide our employees a learning and friendly environment and appreciate their creative and new idea.

VISION

“Provide the best quality products to every privileged customer. We want to capture the market but will not compromise on our quality products and the image in the minds of the customers. Keeping in view the best interest of our stake holders Sufi Group is completely focused on the rapturous relationship. To achieve it we provide our employees opportunities to work with us and make sure that they learn maximum knowledge and utilize their strengths and expertise here to attain delight for customer, supplier, community and government.”

QUALITY POLICY

Sufi Group of Industries strives to meet and where possible, exceed its customers’ quality requirements.

Sufi Group of Industries has a policy to constantly strengthen them self by adopting refined skills, training and learning from mistakes to continually improve the process. They try never to repeat a mistake by going to its root cause and institute measures to prevent future recurrence.“We believe in teamwork and try to act like a family. Every member works towards improvement of processes for his own satisfaction and that of the entire family.”

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Market growth or Establishment

In1965 revolutionary step was taken and automatic mazoni soap plant which were well known in the world for their most modern technique and standard, and as it was policy of the company to go for the best, the plant having capacity of 12 ton per day (installed capacity) was installed in new premises at 12-K.M. Lahore-Sheikhpura road. Now the production of soap started on most modern soap plant with fully automatic system. This was a start of new era in the age of soap industry of Pakistan. Later on as our products win reputition in the market due to its high quality standard, increased our soap making capacity by installing another Mazoni Plant having 36 ton per day capacity (installed capacity). The factory took a further step ahead and glycerine recovery plant was also installed to cover the by-product of our soap making method.M/S Hamza Vegetable Oil Refinery and Ghee Mills Pvt. Limited. are producing 130 M.Ton of ghee and cooking oil for last five years. Now the entire production system of mills is undertaking a mjor change in installing automatic system of production. As a part of this job automatic plant refining and deodarization is under construction in Belgium and M/S S.A. Extraction De Smet N.V., Belgium are shipping this machinery in September and October, 1999. Then another company M/S Hadayat Soap & Chemical Industries (Pvt. Ltd. have installed an imported plant for Detergent Bar. Its productions are going to be launched very recently. Presently its trial productions have been done very successfully.

As regards our present total turn over for both the companies is Rs.1350 Million and volume of annual imports is around Rs. 750 Million.

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Associated with the Sufi Group

1. Sufi Soap and Chemical Industries (Pvt) Limited

Sufi Bath Soap, Sufi Powder, ToiletSoap, Sufi Vermicelli,Sufi Mini, Sufi Darja Awwal, Sufi Glycerine,Sufi Brown,Sufi Special Quality, Sufi Super, Sufi Nirol and Sufi Poly Bag 1 kg; 1/2 kg, Safon Dish Washing liquid.

We are a locally owned and operated company, with our corporate headquarters located in the capital city of Punjab, Lahore.

Since 1952 Sufi Soap and Chemical Industries Private Limited has been provided customer oriented and quality guaranteed products nation wide. Our quality has stood the test of time and our reputation speaks for itself. With our finest range of products, we have been able to cater to all our happy customers with better incentives.

Products of Sufi Soap and Chemical Industries are 1. Sufi Bath Soap 2. Sufi Powder 3. Sufi Vermicelli 4. Sufi Mini 5. Sufi Darja Awal 6. Sufi Glycerine 7. Sufi Brown 8. Sufi Special Quality 9. Sufi Super 10. Sufi Nirol 11. Sufi Toilet Soap

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2. Hamza Vegetable Oil Refinery and Ghee Mills (Pvt) Limited

Canola Cooking Oil, Soya Bean Cooking Oil, Banaspati Ghee, Sun Flower Cooking Oil.

3. Hadayat Soap and Chemical Industries (Pvt) Limited

Safon Dish Washing Soap

4. Hadayat Food Stuffs Industries (Pvt) Limited

Sufi Mineral Water

Sufi group provides quality consumer products and has gained consumers' trust for over 50 years; The name is well established in health and hygiene. Sufi introduces a new brand in the water market. Sufi Finest Drinking Water: the real source of good health. With so much dependent on water, one cannot afford to be careless about the kind and quality of water which we drink. And this is where Sufi Finest Drinking Water comes in. Pure and uncontaminated by any chemicals.

Projects:

* Sufi Textile (O.E) * Sufi Flour * Iqbal Flour * Rehman Cotton * Sufi Waste Plant * Sufi Textile (Ring) * Sufi Rice

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Sufi Group of Industries (Pvt.) Ltd. was founded in 1963. The founder of “Sufi Group” was Sufi Ghulam Rasool. From the beginning to the present “Sufi Group” is offering their products in the Textile & Food Sector. The projects working under the same management are:

Iqbal Flour Mills (Pvt.) Ltd. 1971Sufi Flour Mills 1975Rehman Cotton Ginning Factory 1980Sufi Textile Mills (O.E Spinning) 1988Sufi Rice Mills 1996Sufi Waste Recycling Plant 1997Sufi Textile Mills (Ring Spinning) 1998

our customers have full faith in our quality, as our products fully pay back its price to them. The most important matters which tops priority list of the company is to maintain and make every efforts to improve upon the quality standards of our products.

Sufi Group has developed and implemented quality management system. To better satisfy the needs of its customers and to improve the management of the company. We trust on the faith of our customers and the customers have faith in our quality products. This is an ideal situation for an industrial concern and the spirit of this relationship is also picked up in our publicity slogan"BUY WITH FULL CONFIDENCE AS THIS IS YOUR BEST CHOICE"

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SBU’s OF SUFI GROUP OF INDUSTRIES

(1) Sufi Soap Range of Sufi Soap: 1. Sufi bath soap 2. Sufi Powder 3. Sufi Vermicelli 4. Sufi Mini 5. Sufi Darja Awal 6. Sufi Glycerine 7. Sufi Brown 8. Sufi Special Quality 9. Sufi Super 10. Sufi Nirol 11. Sufi Toilet Soap

(2) Vegetable Oil and Ghee: Range of ghee and oils:

1. Canola Cooking Oil 2.Soya Bean Cooking Oil 3.Banaspati Ghee 4.Sun Flower Cooking Oil (3) Safon Dish Washing BAR / LIQUID

(4) Sufi Mineral Water

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SWOT analysis

INTRODUCTION:

Every company before making its market plan prefers to have a SWOT analysis. It is not simply enough to identify the strengths, weaknesses, opportunities, and threats of a company. In applying the SWOT analysis, it is necessary to minimize or avoid both weaknesses and threats. Weaknesses should be looked at in order to convert them into strengths. Likewise, threats should be converted into opportunities. Lastly, strengths and opportunities should be matched to optimize the potential of a firm. Applying SWOT in this fashion can obtain advantage for a company. SWOT analysis can be extremely beneficial to those who objectively analyze their company. The marketing manager should have rough outline of potential marketing activities that can be used to take advantage of capabilities and convert weaknesses and threats. However, at this stage, there will likely be many potential directions for the managers to pursue. Due to the limited resources that most firms have, it is difficult to accomplish everything at once. The manager must prioritize all marketing activities and develop specific goals and objectives for the marketing plan.

Strengths:

Sufi is one of the largest groups of industries in PAKISTAN. Exporting its good in more than 6 countries of the world. Sufi groups of industries are making 30 different products. Sufi is Pakistan’s 1st company to acquire ISO: 22000:2005 food

safety management systems. More then 50 years of excellence. The company has good market repute, due its good and consistent

quality product. Another major strength is its market share. Another major strength is that its wide range of product, only Sufi

industries is the largest groups of industries who are producing more then 30 products in every range.

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A team of professional managers with the following leadership practice performs the day to day administration of the company. Finding opportunities for constantly challenging and improving personal performance.

As per companies product they have introduced many attractive packages.

Weaknesses:

The main weakness of Sufi industries is that, they are not full filling the demand of the customers.

Even the quality is good but still the color and thickness of SUFI oil is a matter of consideration as it is different from others in market.

The quality of Sufi mineral water is not good as compare to its competitors; there are many big and reputed brands available in market so compare to that Sufi water is not good.

The main weakness of Sufi oils is that it is full of fat and high cholesterol.

It is the main weak point of Sufi industries that they have many substitutes of their products.

Another weak point of Sufi industry is that they have reduced spending for research and development in market and they are not going with the customers needs as their technologies are old from their competitors.

As their technologies are old so their generation of revenue has been decreased.

The main weakness of the company is miss-management.

OPPURTUNITIES:

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As the population is increasing new areas are discovering and new markets are developing, so Sufi has the great opportunities to bring out their products in markets.

The main opportunity for Sufi industry to increase the production of their product so that their products are available in every market.

Sufi industries have to produce such products in low prices that low income people can also get benefits of their products.

For good qualities and to attract more customers to their product they have to introduce new technologies in their products.

Changing life styles of people give Sufi a very good opportunity to make new products and new technology.

Threats:

The main threats for Sufi group of industries are their competitors. Their competitors are producing products in very good quality with

good prices. Changing life styles of people bring changes in technologies and

technology needs more money. So it is also a threat for the company to keep on spending for research and developments.

New technology wants new and improved labor and labor demand more money, so it is also a threat for the company to spend on the labor.

Political effects also effect the company’s production.

MARKET PLAN OF SUFI GROUP OF INDUSTRIES

INTRODUCTION:

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Marketing decisions generally fall into the following four controllable categories:

Product Price Place (distribution) Promotion

The term "marketing mix" became popularized after Neil H. Borden published his 1964 article, The Concept of the Marketing Mix. Borden began using the term in his teaching in the late 1940's after James Culliton had described the marketing manager as a "mixer of ingredients". The ingredients in Borden's marketing mix included product planning, pricing, branding, distribution channels, personal selling, advertising, promotions, packaging, display, servicing, physical handling, and fact finding and analysis. E. Jerome McCarthy later grouped these ingredients into the four categories that today are known as the 4 P's of marketing, depicted below:

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Now we explain marketing plan adopt by Sufi group of industries for their different SBU’s:

Marketing plan for Sufi soap and chemical industry:

PRODUCT:

Since 1952 Sufi Pakistan is providing its customers oriented and quality guaranteed product nation wide. The wide range of Sufi soap and chemical industry products are.

Sufi bath soap Sufi powder Sufi vermicelli Sufi mini Sufi darja awwal Sufi glycerine Sufi brown Sufi special quality Sufi nirol Sufi toilet soap

The wide range of products is available in different packing and in different sizes. As Sufi is the oldest industry of Pakistan it is providing its product full of quality. Sufi product has been marketed for very long time and it is at maturity stage.

Product feature:

These Sufi products all are related to house hold items. There good quality and product range give customers satisfaction. As the manufacturing of the product passed all tests then it is delivered to the customers. By the latest technology and modern machinery Sufi has its largest market share due to its good quality.

PRICE:

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Sufi has set the price according to the market and its pricing strategy is compatitive as Sufi has set the prices of its product in competition with prices of their competitors like Gaye soap.The prices of the product are very reasonable and low and customers are satisfied with the prices, as they can get good quality in low prices.

Target market:

Sufi is targeting the upper- middle class as there products is available in different prices and sizes and every place through nation wide.

Placement:

Sufi uses its complete distribution process which is:

Manufacture Distributer Wholesalers Retailers Customers.

Its biggest product range is available in all leading stores all over the Pakistan like.

Hyper star Macro Metro HKB AL-fateh store Raheem store (etc)…

Promotions:

Sufi soap and chemicals industry is using different promotional strategies to promote their product like:

T.V advertisements Billboards Door to door marketing Online adds

Marketing plan for Vegetable Oil and Ghee

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1. PRODUCT:

The product is vegetable oil and banaspati ghee it’s a Sufi product it is available in different product range and stylish packaging it has been in the market for a very long time and it is at maturity stage the product range is cooking oil and banaspati ghee it is available in:

PRODUCT RANGE & PACKAGING:

1. Tin packs of 16 Litters 10 Litters 5 Litters 2.5 Litters

2. Bottles of 5 Litters 3 Litters 1 Litters

3. Poly pack of 1kg ½ kg ¼ kg

PRODUCT FEATURES:

It is tested by the international market it never compromises on quality it is a rich source of vitamin A, D & E it enjoys strong brand image it is using the latest technology in its production units it has the largest market share due to its consistent quality.

2. PRICE:

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Sufi set prices through market survey their prices are competitive base prices they often set their prices according to the prices

of their competitors like “Rafhan & Dalda.”

Target market:

Sufi is targeting the upper class and the middle class. Their range vary in prices

3. PLACEMENT:

It is not directly sold to consumers it has the complete distribution process it uses indirect channel for distribution

Manufacturer distributer wholesaler retailer consumer

It is available in all leading stores of Pakistan for instance

HKB Akbari store Raheem store Al fateh store Macro

Hyper Star (etc)

4. PROMOTIONS:

Sufi cooking oil and banaspati ghee is using different promotional strategies to promote their product for instance

Advertisements

They are focusing on health conscious people in their advertisement.

Through TV adds Through billboards By creating web page Online advertisement Door to door selling (DDS).

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News paper adds. (specially Sunday magazines) Through promotional activities on their placements.

Market Plan for safon dish washer

(1) Product:

Safon Dish Washing Bar:

In September 1999 a company Hadayat Soap and chemical industries (Pvt LTD) have installed the imported plant for detergent bar.

Safon Dish washing detergent.

Product range:

It is available in form of powder and liquid:

Plastic Bottle 500gm, Poly bag 500gm, Poly bag 1kg

(2)Price:

Target market:

Its target market is lower class and middle class. Safon Dish washing soap is covering almost most of big as well as small cities of Pakistan and this product is within reach of maximum population of Pakistan.

Pricing:

The pricing strategy of safoon dish washing bar and detergent is competitive.

500gm bottle is available in Rs 90 1 kg pack is available in Rs 150.

(3)Placement:

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Safon Dish washing soap is covering almost most of big as well as small cities of Pakistan and this product is within reach of maximum population of Pakistan.

This product is available in:

Small towns Villages Rural areas.

It’s available in all small and big grocery shops.

(4)Promotions:

Following strategies are being used by Sufi detergent for its promotion:

(1) Banners

(2) TV Commercials

(3) Door to door marketing.

Market plan for Sufi water

1. PRODUCT:

The product is sufi finest water of sufi group it is pure and good for health it is a standardized (UHT) finest water sufi finest water never compromises on quality there are using the latest technology and it is available in every city and town of Pakistan sufi finest water is certified by ISO 22000-2005 food safety management system it is the highest global standard for food safety to ensure your health.

Packaging and range:

Sufi water is available only in bottles in the following packaging:

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250 ml 500 ml 1 Litter 1.5 Litter

Slogan:

2. PRICE:

Prices of Sufi finest water are within the customers buying power they are offering quality product with acceptable price:

250 ml bottle for RS. 500 ml bottle for RS. 1 Litter bottle for RS. 1.5 Litter bottle for RS.

They are using penetrating pricing strategy as their prices are relatively low than their competitors their competitors are “Nestle pure life”, “Aquafina” etc.

Target market:

The product caters the upper class, middle class as well as lower class people.

3. PLACEMENT:

It has the complete distribution process it uses indirect channel for distribution for instance

Manufacturer distributer wholesaler retailer consumer

It is available in all major cities of Pakistan it is available in all leading stores of Lahore for instance:

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HKB Akbari store Raheem store Al fateh store Macro Hyper Star (etc)

4. PROMOTIONS:

Sufi water through its very good promotional strategy has got very good market share for this product for water they have used door to door marketing strategy for the very first time which has worked good for this. This strategy was a big tool that now Sufi water is competing brands like aquafina and Nestle. Following strategies are being used by Sufi water for its promotion:

Advertisements

In advertisements it uses the word pure which intend people to buy this as it is pure.

Online advertisements Billboards Kiosk activities Broachers Buntings Danglers Door to door service (DDS)

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BOSTON CONSULTANCY GROUP:

According to the Boston consultancy group (BCG) some of the products of Sufi falls in star, cash cow, question mark and dogs.

According to the BCG rules following are the details of products follows in the different categories.

1. Stars (high growth, high market share):

Stars are high growth businesses or products competing in markets where they are relatively strong compared with the competition. Often they need heavy investment to sustain their growth.

The products of Sufi included in stars are as follows:

Sufi soya bean cooking oil Sufi sunflower cooking oil Sufi canola cooking oil Sufi banaspati ghee

REASONS:

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From overall market share of Sufi group of industries market share of the above products is relatively high, as these are the products which are the running products and for which Sufi is recognized and Sufi is generating heavy income through these items. But these products are being used in different edibles so they need continuous improvement on the quality, so they have to make heavy budget for research and development to sustain this product in star and to add more features in it to attract people.EG: low cholesterol, low fat etc.

2. Cash Cows (low growth, high market share):

Cash cows are low-growth businesses or products with a relatively high market share. They are mature, successful businesses with relatively little need for investment.

The products of Sufi included in cash cows are as follows:

Sufi mineral water Sufi soap special quality Sufi soap vermicelli Safon dishwashing liquid

REASONS:

From these above products of Sufi group of industries Sufi is getting heavy revenue, the market share of these products is also very high in the market if we compare them within Sufi group of industries and these products do not need budget for any research and development so we consider these all above products of Sufi as cash cow, as through these products Sufi group of industries is generating heavy revenues.

3. Dogs (low growth, low market share):

Unsurprisingly, the term “dogs” refers to businesses or products that have low relative share in unattractive, low-growth markets. Dogs may generate enough cash to break-even, but they are rarely, if ever, worth investing in.

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The products of Sufi included in dogs are as follows:

Sufi super Sufi brown Sufi nirol Sufi mini

REASONS:

The above products of Sufi group of industries are in dog category. Because these products have very little market share and growth rate of these products is very low. These products are not generating any revenue for Sufi group of industries. Now these products needs a lot of improvement to sustain in the market and to move them in question mark portion or in near future company will loose these products.

4. Question Marks (high growth, low market share):

Question marks are businesses or products with low market share but which operate in higher growth markets.This suggest that they have potential, but may require substantial investments in order to grow market share at the expense of more powerful competitors.

The products of Sufi included in question marks are as follow:

Sufi dishwashing powder Safon dishwashing bar Sufi glycerin Sufi darja awwal Sufi toilet soap

REASONS:

These above products of Sufi group of industries falls in question mark category because these products have low market share but needs a lot of budget for improvement of the product to increase its market share because it is necessary if company would not take serious attention these items will move to dogs category and then may be diminish, so these

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products needs special attention to move them in star category and to generate revenue from these items.

Conventional strategic thinking suggests there are four possible strategies for each SBU:

(1) Build Share: here the company can invest to increase market share (for example turning a "question mark" into a star)

(2) Hold: here the company invests just enough to keep the SBU in its present position

(3) Harvest: here the company reduces the amount of investment in order to maximize the short-term cash flows and profits from the SBU. This may have the effect of turning Stars into Cash Cows.

(4) Divest: the company can divest the SBU by phasing it out or selling it - in order to use the resources elsewhere (e.g. investing in the more promising "question marks").

Some limitations of the Boston Consulting Group Matrix include:

High market share is not the only success factor Market growth is not the only indicator for attractiveness of a market Sometimes Dogs can earn even more cash as Cash Cows

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MARKET GRID

INTRODUCTION:

Every company at different times uses different marketing strategies to expand itself. Sometimes they move to other geographical areas, sometimes they do advertisements, sometimes they attract their customers through advertisements, and sometimes they start making entirely different products to expand the business.

So, all these things fall in the market grid and can be explained as follows:

Market Penetration (existing markets, existing products):

With this approach, Company tries to sell more of the same things to the same people. Here they might:

Advertise, to encourage more people within your existing market to choose your product, or to use more of it

Introduce a loyalty scheme Launch price or other special offer promotions

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Increase your sales force activities, or Buy a competitor company (particularly in mature markets)

Sufi creates market penetration through:

Promotions Billboards Different sizes Packaging Availability of products

Market Development (new markets, existing products):

Here, you’re targeting new markets, or new areas of the market. You’re trying to sell more of the same things to different people. Here you might:

Target different geographical markets at home or abroad Use different sales channels, such as online or direct sales if you are

currently selling through the trade Target different groups of people, perhaps different age groups,

genders or demographic profiles from your normal customers.

For market development Sufi has put a lot of efforts to expand itself in Pakistan as they started from Lahore and today they are everywhere in Pakistan even in all big cities and small towns , villages. They had developed their market all over the Pakistan very well. Time to time they target different group of people for example, they started from lower class and than they target middle class and lower class and now their target market is all categories they are targeting lower class, middle class, as well as higher class customers.

Product Development (existing markets, new products):

Here, you’re selling more things to the same people. Here you might:

Extend your product by producing different variants, or packaging existing products it in new ways

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Develop related products or services (for example, a domestic plumbing company might add a tiling service – after all, if they’re plumbing in a new kitchen, most likely tiling will be needed!)

In a service industry, increase your time to market, customer service levels, or quality

So, if we conclude product development in the existing market new products are introduced in the same target market following are the modifications made by Sufi group of industries which is product development strategy used by Sufi.

Sufi’s modifications

1. Cooking oils soya bean cooking oil sunflower cooking oil canola cooking oil banaspati ghee

2. Soaps Toilet soap Bath soap Sufi soap vermicelli Sufi soap special quality

Business Diversification (new markets, new products):

This strategy is risky, there’s often little scope for using existing

expertise or achieving economies of scale, because you are trying to sell completely different products or services to different customers

This is where we market completely new products to new customers. There are two types of diversification, namely direct and indirect diversification.

1. Direct diversification of Sufi Cooking oils to banaspati ghee

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Dishwashing bar to liquid Sufi soap special quality to vermicelli, bath & toilet soap

2. Indirect diversification of Sufi Iqbal Flour Mills (Pvt.) Ltd Rehman Cotton Ginning Factory Sufi Textile Mills (O.E Spinning) Sufi Rice Mills Sufi Waste Recycling Plant Sufi Textile Mills (Ring Spinning) Sufi finest drinking water

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