Posted on 5th Nov 2024 12:24:26 AM Marketing
1.1 Introduction
The biological concept of the “Survival of the fittest” which could as over the long run, only those organizations survive that serve the needs of their societies effectively and efficiently, that is, that provide the benefits demanded by society at prices sufficient to cover the costs incurred producing them. For ensured the entity, the company must need to formulize proper strategies, policies and approaches which are guided by a well furnished marketing plan.
In present time computer is very important in our everyday life and internet service lunch peoples with the globalization and is changing the environment society as well as business. It helps us in the field of education, business, official function, telecommunication, recreation, space station and so on. In this 21st century, technology is transforming many aspects of business and market activities. In its broadest sense, information technology (IT) is used to conduct commerce, including within business, business to business, and business to consumers’ interaction. Moreover, today’s business firms are giving more attention towards competitors than their target market or consumers. To achieve objectives, every company takes various marketing strategies and implement in the target market which differentiate them from others and create competitive advantages.
In June 1996, the government decided to allow private entrepreneurs to act as ISPs (Internet Service Providers) using VSATs (Very Small Aperture Terminal). In 1999, there were about 22,000 account holders with 10 ISPs (8 in Dhaka and 2 in Chittagong) and the total number of users ranges around 100,000, while in 2000, there are about 50 ISPs providing Internet services to more than 250,000 Internet users. The growing demand of the society and the congenial global atmosphere towards Internet has pressurized the entrepreneurs to re-think their policies and strategies to accommodate the newly emerged rapidly enlarging target group.
Initially there were only a few UUCP (Unix-to-Unix Copy Protocol) accounts in the country and then they were replaced by IP (Internet Protocol) accounts. At a later stage low bandwidth 64Kbps VSAT (Very Small Aperture Terminal) link became the main Internet backbone of the country with 120 million people. Demand did not inclined high compared to the huge population base, because most of them live in rural areas where minimum tele-communication infrastructure is missing and at the same time purchasing power of the general communities limiting Internet connectivity with prevailing socio-economic conditions.
Akij group is one of the leading industrial groups in Bangladesh. In 1997, they took initiative to add a new dimension with its entries into the field of information technology, large scale computer and peripheral business. From the 2nd August 2002, Akij group has established its business office as name of Akij Institute of Technology, Akij Online Ltd., Akij Computer Ltd. in the market of Rajshahi. From March 2005, Akij has involved a new dimension of IT business as an Internet Service Provider (ISP). In fact in the field of information technology, Akij is “ONE STOP IT SOLUTIONS PROVIDER” as it carries hardware, software, ISP/ASP (e-commerce), and IT education. Though at present, it doesn’t achieve its’ target goals, but it is gradually increasing its business and marketing activities to its goals.
The term marketing planning is used to describe the methods of applying marketing resources to achieve marketing objectives. It is used to segment markets, identify market position, forecast and plan viable market share within each market segment. To assist these goals company has selected 5Cs approach.
The 5C’s are
· Clarity of Vision
· Community
· Consistency
· Confidence
· Control
All these factors ever changing customer’s choice, preferences, tastes, modern technology and high competition have made business very dynamic and complex in modern days. Consequently well marketing plan is essential for a firm as every firm has to trace the environmental change and perform their duties according to a proper plan. Marketing plan thus aims to target market and consists of the detailed marketing strategies and programs for achieving the products/services objectives in a target market. In fact, it is the main tool for co-ordination of all the marketing efforts. Moreover it is also aiding to make customers and competitors company’s goals oriented that are realistic.
1.2 Definition of the Problem
This report has been prepared to fulfill as a partial requirement of the MBA program as an Internship research study project held by the department of marketing, University of Rajshahi. This Internship research study project is designed to equip the MBA students with knowledge about the real life-working environment and to develop their work-related efficiencies and skills. At the end of the project, students need to submit a written Internship report to the authority of the department.
To accomplish this Internship research study project, the students are divided under their supervisors as per on the distribution system of the department. The supervisors are basically in two types: internal supervisor, and external supervisor. The internal supervisor is the departmental teacher and the external supervisor is the assigned company authority. They help the students to choose a topic or a title to work with. With the help of the supervisors, the students find out the various problem areas and ascertains as a research topic of the report.
I am doing my Internship research study project on the topic: Marketing Plan of Akij Online Ltd. (For the year 2005-2006).
The required secondary data are collected from the available referenced and published books, journals, papers, and Internet sources. Like secondary data analysis Focus groups and Depth interviews are also taken as Qualitative research.
1.3 Justification of the study
Marketing plan is the processes of deciding on marketing strategies that will help the company attain its overall strategic objectives. A marketing plan is essential for each business, product, and brand. Mainly it’s a guideline for operating business through on the basis of analyzing current market situation, environmental analysis, competitive analysis, SWOT analysis and this analysis will help in developing a appropriate marketing plan which helps the business to achieve its’ target goals or objectives.
Akij Group IT business has entered in the market of Rajshahi since 2002. Akij Online Ltd. has launched as an ISP business since April, 2005 and it's existing in the introduction stage of product life cycle. To operate its business activities properly, must be needed an exact guideline which is impossible without a good marketing plan. In this study I tried to give more emphasis on the major four importance areas:
1. Determine the current market situation of ISP business in Rajshahi;
2. Analyze the strengths and weaknesses;
3. Look at the opportunities and threats;
4. Analyze the overall effectiveness of its current strategies.
At this view point, I have felt interest to prepare a marketing plan on ISP business of Akij Online Ltd. in the market of Rajshahi as per my knowledge and experiences with the assistance of my departmental honorable teachers and supervisor and cooperation of the employees of the Akij Group-IT business Rajshahi branch office.
1.4 Objectives
To identify a specific objective or goal is very much important one to accomplish a specific task. This study is also not apart from the above noted concept. It has been conducted to focus on the following some key objectives or goals and relevant facts:
· To analyze the current market situation of the ISP industry in Rajshahi.
· To analyze the Strength, Weakness, Opportunity and Threat (SWOT analysis)
· To evaluate the current strategies.
· To suggest effective marketing plan.
1.5 Methodology of the study
1.5.1 Description of the Research Design
Fundamental to the success of any formal research project is a sound research design. A research design is purely and simply the framework or plan for a study that guides the collection and analysis of the data.
For this study, I used the Qualitative Research Design. The objective of using the Qualitative Research is to gain insights in to the problem. The reason for choosing this type of research design is that it is not always possible to use fully structured or formal methods to obtain information from respondents. It is also not easily possible to undertake a probability sampling procedure to choose the respondents. And with limited statistical knowledge, it is not conceivable to carry out a conclusive research too.
1.5.2 Sample Design
Target Population
The target population had to meet as the following criteria:
· Age 18 to 45 years old people.
· They all are Internet user.
· They have enough sound knowledge about computer and Internet services.
· They all are living in Rajshahi City Corporation areas.
Sampling Technique
For the feasible analysis, in this study the non probability sampling techniques; Convenience and Judgmental sampling techniques, have been used.
Sampling Unit
Sampling Unit is the element, or the unit containing the elements, that is available for selection at some stage of the sampling process. In this study the sampling unit is the people age in 18 to 45 years old.
Sampling Size
Sampling size refers to the number of elements to be included in the study. The sample size of this study is 40 respondents. They are:
Business users : 10 respondents
Customers/Users : 30 respondents.
Total Respondents : 40 respondents.
1.5.3 Sources of Information
Every research requires some unique types of information from different kinds of sources. The sources can be typed in two: (a) primary sources, & (b) secondary sources. In this study the two types of sources are used.
a) Primary source
Data originated by the researcher for the specific purpose of addressing the research problem at hand is called as the primary source of information. Questionnaire and Observation method used in this study for collecting data.
Questionnaire method
Structured and Unstructured questionnaire used to collect data from respondents; customers and users including students and cyber café. Each respondent was given a questionnaire to fill up. Through the questionnaires respondents were asked about their personal views and opinions on the problem of ISP business and its usages. The respondents are interviewed at Rajshahi City Corporation area including Rajshahi University Campus.
Observation method
The Internship project is designed as a practical field oriented task in the MBA program. As the MBA students we need to attend on the practical working places under a specific business firm. I have got a chance to conduct my Internship project for three months under Akij Group IT-business firms: Akij Computer Ltd., Akij Institute of Technology, and Akij Online Ltd. at the Rajshahi branch office. Within that time period I have got the chance to observe and to make conversation with the employees of the office concerning my duty and their business activities.
b) Secondary source
Data collected for some purpose other than the problem at hand is called as the secondary sources of information. I used several types of Papers, Brochures, and Documents with the assistance of Akij Group ISP business and other relevant Books, Journals, Magazines, Internet services, Previous Internship Reports etc. as secondary sources. Another source of secondary data is my survey report for Akij Online Ltd. which was executed in the duration of my Internship period by me.
1.5.4 Data collection method
For collecting required data I have used one type of questionnaire: Questionnaire for the customers and/or users. The questionnaires are formed with seven (7) point scales of measurement and short type of questions. The total questions of the questionnaire are 28. The customers and/or users questionnaire is used to collect data from the Online business users and home users. The sample questionnaires are combined in Appendix of this report.
1.5.5 Data analysis and interpretation
For data analysis and interpretation I have used some statistical formulas, scaling measurement and SPSS (Statistical Package for Social Science).
1.6 Limitations of the study
Research study is a continuing process and it is also complicated one. This is my first research project. I have tried my level best to give better performance. But despite of employing all the possible sort of efforts in making this study a better one, there are some limitations is inescapable. These are:
1) Non proper response is a common limitation of almost every research study. I had also to face such limitations due to very busy time schedule of the respondents. Though the respondents are familiar about computer but they have some lack of knowledge about ISP business and internet. That is why they were not able to provide answer to the questions properly.
2) Limited time period is another notable limitation of this study. Time duration of my Internship research study project was only three (3) months which is quite not enough for better research study.
3) Limited cost of budget is also limited me to do better study as the limited time period.
4) A few numbers of samples is a great limitation to do better study. In this study, I have chosen only forty (40) respondents to analyze the study problem as conveniently who have not proper knowledge on ISP business.
5) Student sampling is taken to evaluate the organizational position in their minds. But it is not be quite enough to do that. So we can say it as another limitation one.
6) Insufficient secondary data is the main problem for analyzing the current situation of market place.
1.7 Executive Summary
Akij Online Ltd., a new dimension of Akij Group of Company, was established and lunched in March 2005 in the market place. Now it’s in the introduction stage of product life cycle and its’ market share growth rate has increasing rapidly. The company has plans to expand its’ market through initiating new ISP technologies and to diversify its service lines. Akij Online Ltd. has every possibility to become a leading ISP company in the market place of Rajshahi within a short period of time because of solid its financial strength and better guidelines as well as appropriate strategic vision.
Marketing Goals of the Akij Online Ltd.
The goals of Akij Online Ltd. are
1. Expansion of market
2. Capture the marketing as a leader in the ISP industry
Marketing Objectives of the Company
· The next six months: To increase market share by 50%.
· Generate the brand awareness with the consumer target market 50% and business target market 40%.
· Create new subscribers 15% of the total ISP industry in Rajshahi.
Competitive Position and Market Share
Akij Online Ltd. competes in a highly growth ISP market where it has a challenger position with 33% market share.
Control Measures
Through the control Akij Online Ltd. can measures and evaluates the results of market strategies and plan by using the tools of annual plan control, profitability control, efficiency contrl and strategic control.
Marketing Strategy
In this case the company has taken strategies to retain its existing subscribers and attracted the potential customers. To achieve and to reach on the vertex of the objectives, the company must develop its strong promotional activities to inform the potential customers and diversified its service lines which satisfied different kinds of customers needs as well as it also line support service and would be developed quality such as better speed, less disconnection and less busy signal. Akij Online Ltd. also should be decentralized through appointed distributor. Based on findings it is found that Akij Online Ltd. has strong overall strategic effectiveness rather than the competitors. But the main lack found that the promotional activities which is less effective than the competitors.
TABLE OF CONTENTS
Acknowledgement
CHAPTER ONE
1.1 Introduction
1.2 Definition of the problem
1.3 Justification of the study
1.4 Objectives
1.5 Methodology of the study
1.5.1 Description of the research design
1.5.2 Sample design
1.5.3 Sources of information
1.5.4 Data collection methods
1.5.5 Data analysis and interpretation
1.6 Limitations of the study
1.7 Executive Summary
CHAPTER TWO
2.1 Background of ISP in Bangladesh
2.2 Company Profile
2.2.1 Akij Computer Ltd.
2.2.2 Akij Institute of Technology
2.2.3 Akij Online Ltd.
2.2.4 Organizational Structure
CHAPTER THREE
3.1 Current Situation Analysis
3.1.1 Definition of the ISP market
3.1.2 Nature of the customers
3.1.3 Nature of Competition
3.1.4 Nature of Competitors
3.1.5 Market Size
3.1.6 Competitive Analysis
3.1.7 Competitive Structure
3.1.8 Competitive Position and Market Share
3.1.9 Sales Analysis
3.1.10 Product Portfolio Analysis
3.1.11 Growth Share Matrix
3.1.12 Product Life Cycle
3.2 Environmental Situation
3.2.1 Economic Environment
3.2.2 Demographic Environment
3.2.3 Technological Environment
3.2.4 Political and Legal Environment
3.2.5 Cultural Environment
3.3 Current Marketing Strategies
3.3.1 Positioning
3.3.2 Service
3.3.3 Price
3.3.4 Distribution
3.3.5 Promotion
3.4 SWOT Analysis
3.4.1 Major Strengths
3.4.2 Major Weaknesses
3.4.3 Major Opportunities
3.4.4 Major Threats
CHAPTER FOUR
4.0 Action Programs
CHAPTER FIVE
5.1 Projected Profit and Loss
5.2 Projected Cash Flow
5.3 Balance Sheet – Projected
CHAPTER SIX
6.1 Annual Plan Control
6.2 Profitability Control
6.3 Efficiency Control
6.4 Strategic Control
CHAPTER SEVEN
7.1 Findings and Analysis
7.2 Evaluation of the Current Strategy
CHAPTER EIGHT
8.0 Recommendation
CHAPTER NINE
9.0 Conclusion
Appendices
Bibliography
Questionnaire
Regression Model
Internship, Report, Research, Study, Project, Marketing, Plan, Akij, Online, Limited, Institute, Computer, Information, Technology, IT, Education, Business, Official, Function, Telecommunication, Recreation, Space, Station, VSAT, ISP, ASP, UUCP, Share, Service, Environment, Goals
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