lndusLrlal MarkeLlng

Case SLudy


Ldlble Cll lndusLry ln aklsLan

SubmlLLed Lo Mlss Marlyam khan
SecLlon C
88A lll


Mohsln !avald
Muhammad Abu 8akar Chaudhry
Muhammad Salman
umalr 8laz Cheema
umalr Zafar Slddlql



8us|ness mode|

8uslness model ls a plan Lo creaLe dellver and capLure value When preparlng a buslness model we
need Lo focus on Lhe followlng polnLs

Va|ue propos|t|on
lL polnLs ouL LhaL Lhe cusLomers problem how Lo solve Lhls problem Lhe cusLomer percepLlon of
producL value ln Lhe case of edlble oll Lhe value ls Lo provlde healLh quallLy and purlLy lor Lhls
problem Lhe cusLomer can provlde oll on Lhe charL aLLached Lo Lhe nuLrlenLs CusLomers can know Lhe
oll consumpLlon can provlde nuLrlLlonal and healLh beneflLs Cll producers can make Lhe dlfferenL Skus
LhaL wlll provlde more help and convenlence 1hls can add value for consumers and can meeL Lhe
consumers healLh problems

Market segments
Ldlble oll lndusLry ln aklsLan ls dlvlded lnLo rural and urban markeLs and lowlncome groups of
populaLlon on Lhe basls of As noLed above clrcumsLances Lhe rural populaLlon sLlll uses vanaspaLl ghee
so Lhey should know Lhe beneflLs and manufacLurers should work for each lncome level of cooklng oll

Ma|n partners
ln Lhe edlble oll lndusLrys maln parLners are palm oll suppllers and Lhe local reflnerles Lo forelgn
suppllers 1hese are Lhe oll producLlon maln lndusLrlal parLners ln aklsLan

Channe|
value can be dellvered Lhrough communlcaLlon and dlsLrlbuLlon channels 1herefore producLs should
be ln reLall sLores and wholesalers

Deve|op strateg|es
aklsLan has hlgh level of oll consumpLlon lL should be selfsufflclenL ln lLs producLlon buL sLlll large
levels of lmporLs are done from abroad lL ls necessary Lo lmprove Lhe slLuaLlon 1here should be an
lncrease ln domesLlc producLlon Machlnery lmporLs could help ln Lhe producLlon process and reduced
Larlffs on lmporLs AgrlculLure should be promoLed and ollseeds Lhe CovernmenL should sLarL plannlng
Lhe same as descrlbed ln Lhe case llnally Lhe oll seed developmenL should be encouraged ln aklsLan


Va|ue ana|ys|s
uue Lo populaLlon growLh from Lhe 1970s Lo Lhe early 21sL cenLury consumpLlon of edlble oll ln
aklsLan who are consumpLlon and lL ls largely by lmporLs conLlnued Lo lncrease ln Lhls case Lhe prlce
per unlL was 201 compared Lo 90 years lL ls Lhe hlghesL ls 306 unlLs whlch ls qulLe reasonable ln Lhe
8S producLlon 201 ls 11968 (000 colors) whlch ls qulLe saLlsfacLory amounL of 306 ln Lhe 1990s Lhan
ln 13249 ln Lhe 1990s aklsLans lmporLs of palm oll 72 and 28 of soybean oll has changed
dramaLlcally Lo 3 soybean and 97 of palm oll and palm oll lmporLers as largeLs one CoLLonseed ls Lhe
mosL lmporLanL source of edlble oll vegeLable cooklng oll ln aklsLan ls a nuLrlLlonal value and malnLaln
Lhls reflnemenL process was Lo remove harmful subsLances and provlde Lhe lowesL cosL Lo consumers
good quallLy lrom Lhe dlsplay lL ls well known such as vegeLable oll rapeseed oll sunflower corn
soys healLh 1herefore consumers from vanaspaLl moved Lo a more healLhy vegeLable oll lncrease Lhe
value quallLy and healLh 8uL Lhe presenL slLuaLlon Lhe upper and mlddle class Lend Lo llke canola and
ollve oll vegeLable olls such as healLh buL lowerprlced producLs Lhe cusLomer ls saLlsfled wlLh oll
alLhough Lhe lndusLry ls noL much saLlsfacLlon ln Lhls regard lor example Lhe markeL leader such as
hydrogenaLlon ualda provlde quallLy and reduce cosL and provlde low quallLy of healLh uarda ln reLall
sLores by Lhe avallablllLy of efflclenL dlsLrlbuLlon channels creaLlng value for cusLomers lncrease
cusLomer saLlsfacLlon uarda 1arrlfs lmposed by Lhe governmenL Lo creaLe an obsLacle Lo Lhe oll
producers such as palm oll an lmporLanL raw maLerlal lnsLallaLlon of addlLlonal new Lechnology can cuL
cosLs and producLlon may lncrease Check Lhe value wlll lncrease Lhe quallLy and lmprove quallLy
orLers 3 force model
AssessmenL of Lhe mosL lnfluenLlal naLure of compeLlLlon ln an lndusLry analysls model ls Mlchael
orLers flve forces model whlch ls descrlbed as follows
orLer explalns LhaL Lhere are flve forces deLermlne lndusLry aLLracLlveness and longLerm proflLablllLy of
Lhe lndusLry 1hese flve compeLlLlve
1he LhreaL of new compeLlLors lnLo Lhe (new enLranLs)
1he LhreaL of subsLlLuLes
1he bargalnlng power of buyers
8argalnlng power of suppllers
1he degree of compeLlLlon beLween exlsLlng compeLlLors
- Lhe LhreaL of new enLranLs
new enLranLs lnLo an lndusLry can lncrease Lhe lnLenslLy of compeLlLlon Lhereby reduclng lLs
aLLracLlveness new enLranLs LhreaL depends largely on Lhe barrlers Lo enLry ln some lndusLrles whlle
oLher lndusLrles are llkely Lo enLer Lhe presence of hlgh barrlers Lo enLry 1he maln barrlers Lo access
lnclude
Lconomles of scale
CaplLal / lnvesLmenL requlremenLs
CusLomer swlLchlng cosLs
1o enLer Lhe lndusLry dlsLrlbuLlon channels
lrom Lhe exlsLlng operaLors Lhe posslblllLy of reLallaLlon aklsLans edlble oll lndusLry Lhe domesLlc
edlble oll exLracLlon Lo forelgn compeLlLlon ln Lhe sale of crude oll exporLlng counLrles Malaysla ls a
ma[or compeLlLor on Lhls markeL malnly because of Lhe Malayslan palm oll as Lhe compeLlLlon ln Lhe
lndusLry 1he maln parLlclpanLs lnclude !orda kazakh ollrelaLed lndusLrles oll
lndusLrles and kashmlr 1hls new Lrend from Malaysla aklsLan ghee manufacLurers of pressure Lhey
wlll evenLually lower Lhe prlce 1helr lack of Lhem Lhe compeLlLlon ln Lhls lndusLry because Lhe prlce ls
noL Lhe oll lndusLrys maln compeLlLlve advanLage buL Lhe buLLer / oll quallLy 1herefore Lhe LhreaL of
new enLranLs wlll be auLomaLlcally reduced because Lhe lndusLry has a very long Llme hugae markeL
share
- Lhe LhreaL of subsLlLuLes
1he exlsLence of subsLlLuLe producLs can lower lndusLry aLLracLlveness and proflLablllLy because of Lhelr
prlce levels 1hreaL of subsLlLuLe producLs depends on
8uyers are wllllng Lo replace Lhe
AlLernaLlves Lo Lhe relaLlve prlce and performance
1he cosL of swlLchlng Lo alLernaLlve
1he edlble oll lndusLry ln aklsLan ls a new unsaLuraLed vegeLable cooklng oll whlch ls consldered Lo be
more healLhy for each persons age from Lhe LradlLlonal blg oll saLuraLlon Lransfer Lspeclally people ln
Lhe lndusLrlallzed reglons pay more aLLenLlon Lo Lhls oll because of Lhelr awareness and educaLlon
compared Lo an earller Llme know how Lo comLrol Lhelr cholesLerol levels reduce Lhe number of hearL
paLlenLs 1hls change ls malnly adapLed Lo Lhe wealLhy and educaLed people a clear need for peoples
Llme Lo reallze Lhe lmporLance of healLh 8ecause Lhere are many alLernaLlve producLs on Lhe markeL so
people need Lhe producL affecL Lhelr healLh plcky lmporLs of edlble olls parL of many hlghclass more
and more lmporLanL because Lhey Lend Lo choose good quallLy producLs
- Lhe bargalnlng power of suppllers
rovlder of enLerprlse supply and Lrade ln Lhe cosL of maLerlals purchased from a suppller of goods
(such as raw maLerlals spare parLs) oLher producLs a company can have a slgnlflcanL lmpacL on
proflLablllLy lf suppllers have hlgh bargalnlng power of a company Lhen ln Lheory Lhe companys
lndusLry unaLLracLlve 1he bargalnlng power of suppllers wlll be hlgh
1here are many buyers and few domlnanL suppllers
1here ls no dlfference ln hlghvalue producLs
Suppllers LhreaLen Lo lnLegraLe lnLo back lnLo Lhe supply of buyers do noL LhreaLen
lndusLry ls noL Lhe suppller of a key cusLomer base
Cnce Lhe edlble oll lmporLed from oLher counLrles we musL conslder Lhe people of Lhelr counLry Lhe
besL quallLy and lnLeresL raLes Many cusLomers as oll has become a hlghvalue producLs ln Lhe edlble
oll lndusLry a greaLer bargalnlng power of suppllers
- Lhe bargalnlng power of buyers
8uyers need Lo creaLe an lndusLry person / organlzaLlon 1he bargalnlng power of buyers ls large
1here are a few domlnanL buyers and sellers a loL of people ln Lhe lndusLry
roducL sLandardlzaLlon
8uyers LhreaLen backward lnLegraLlon lnLo Lhe lndusLry
Suppllers do noL LhreaLen Lhe lndusLry lnLo Lhe buyers
A key suppller lndusLry group ls noL for buyers
As people become lncreaslngly aware of healLh problems make our producLs become sLandardlzed
accordlng Lo Lhe demands of consumers As a resulL of oll lndusLry research
- lnLenslLy of Lhe confronLaLlon
CompeLlLors ln an lndusLry wlll depend on Lhe lnLenslLy of compeLlLlon beLween
CompeLlLlon sLrucLure for example more compeLlLlon where Lhere are many small or equally slzed
compeLlLors compeLlLlon ls an lndusLry wlLh a clear markeL leader ln less Llme
lndusLry cosL sLrucLure for example hlgh flxed cosLs of Lhe lndusLry encourage compeLlLlon Lhrough
lower prlces Lo flll unused capaclLy
ulfferenLlaLlon lndusLrlal roducLs commodlLles (such as sLeel coal) have greaLer compeLlLlon
lndusLry compeLlLors can dlfferenLlaLe Lhelr producLs less compeLlLlve
Converslon cosLs compeLlLlon ls Lo reduce Lhe hlgh swlLchlng cosLs of buyers LhaL Lhere ls a
slgnlflcanL declslon Lo purchase a producL cosL alLernaLlve suppllers
SLraLeglc ob[ecLlves when compeLlLors are pursulng aggresslve growLh sLraLegy compeLlLlon ls more
lnLense CompeLlLors are mllklng ln a maLure lndusLry proflLs Lhe degree of compeLlLlon ls less
LxlL barrlers when barrlers Lo leavlng an lndusLry hlgh (such as planL closure cosLs) Lhen compeLlLors
Lend Lo exhlblL greaLer compeLlLlon
1hls rlvalry Look place ln counLrles and oll consumpLlon ls lmporLed from oLher reglons 1o Lhls end we
need Lo ensure LhaL Lhe compeLlLlon beLween Lhe buLLer and oll Lhe mosL lmporLanL parL 1hese ads
should deplcL Lhe prlce of Lhe declslons and cholces for consumers whaL producLs Lhey wanL Lhan
slmply prlce AL Lhe same Llme we also need Lo produce raw maLerlals ln aklsLan such as palm oll
lmporL subsLlLuLlon analysls of Lhe producLlon schedule Analysls of Lhe role of raw maLerlals and
lmporLed producLs and share Lhe resL of Lhe counLry Lo form

SWC1 analysls


A Lool Lo ldenLlfy sLrengLhs weaknesses opporLunlLles and LhreaLs Lhe organlzaLlon Speclflcally SWC1
ls a baslc slmple model LhaL can assess Lhe organlzaLlon as well as poLenLlal opporLunlLles and LhreaLs
SWC1 analysls ls Lhe analysls of lnformaLlon from Lhe envlronmenL dlvlded lnLo lnLernal (sLrengLhs and
weaknesses) and exLernal lssues (opporLunlLles and LhreaLs) SWC1 analysls of Lhe declslon once
compleLed wlll help Lhe company achleve lLs goals are whaL obsLacles musL be overcome or mlnlmlze
Lo achleve Lhe deslred resulLs SWC1 analysls we can flnd edlble oll ln aklsLan are as follows
ln aklsLans sLrengLh lles ln lLs edlble oll lndusLry has exLenslve geographlc area can be used for
culLlvaLlon of oll seeds Also Lhls so we need Lo use Lhe land As we grow coLLon wheaL and oLher
cropsWe Lhe besL weaLher condlLlons and planLlng ollseed crops are very ferLlle land where planLlng ls
easy Lo lmporL raw maLerlals SolvenL exLracLlon planL exLracLs ln less Llme whlch ls clearly a beneflL of
Chlnas oll lndusLry more oll 1hls wlll help aklsLans economy ln order Lo lncrease Lhe exporL of oll
seeds wlll maxlmlze Lhe proflLs of aklsLans edlble oll lndusLry ls Lhe sLrengLh of 124 solvenL exLracLlon
unlLs accounLlng for 12 ln Lhe domesLlc edlble oll producLlon
1here are many weaknesses leadlng Lo reduced growLh ln aklsLans oll seeds MosL of Lhe lnLernal
forces llrsLlu lead Lo a reducLlon ln Lhe producLlon process Lhere ls noL much supporL for Lhe aklsLanl
governmenL Lo lncrease Lhe producLlon of ollseed crops Cf nonLradlLlonal ways and a loL of Lechnlcal
meLhods for exLracLlng oll from Lhe seeds change Lhe governmenL spenL a loL buL falled due Lo lack of
funds Lo malnLaln Lhe process SupporL Lhe CovernmenL of aklsLans ollseed prlces are noL seL hlgh
enough Lo creaLe sLrong lasLlng lncenLlve for farmers Cllseed farmers complaln abouL Lhe largescale
lmporLer of palm oll manlpulaLlon whlch ls parLlcularly due Lo Lhe case of governmenL procuremenL
cenLer CovernmenL supporL for ollseed auLhorlzed Lhe purchase prlce buL ln Lhe real markeL resulLlng
ln meanlngless unsanlLary uslng buLLer packaglng Lo play as a weakness wrosL edlble parL
Ldlble oll lndusLry Lhe chances are very hlgh ln aklsLan as people more educaLlon and healLh hazards
and Lend Lo choose from a healLh polnL of vlew ls useful Lhlngs 1here ls consldered Lo be a hlgher
demand for palm oll palm oll dleL lncreased Lhe producLlon of a hormone LhaL can prevenL blood
cloLLlng or reduce Lhe formaLlon of a LhromboplasLln alm oll can also be used for soap candles
deLergenLs lubrlcanLs fuel agglomeraLlon resldues cosmeLlcs and oLher personal care producLs lL ls a
rlch source of vlLamln L and 8 caroLene aklsLan ls Lhe largesL consumer of palm oll ln addlLlon Lo
Chlna lndla !apan Lurope and Lhe Mlddle LasL counLrles ln addlLlon Lhe CovernmenL should Lax from
lmporLed palm oll edlble oll markeL ln aklsLan Lo sLop

aklsLans edlble oll lndusLry ls Lhe blggesL LhreaL Lo lncreased compeLlLlon from forelgn markeLs 1he
maln consumers of palm oll lmporLs consLlLuLe a large markeL ln aklsLan ls lmporLed palm oll swlLch
and leave Lhe exporL prlce Lo aLLracL manufacLurers of buLLer forclng aklsLan solvenL exLracLlon Lo
reduce Lhelr prlces Cll seed producLlon cropplng paLLerns of farmers desLroyed so LhaL farmers from
Lhe mosL
roducL lannlng
1hls ls Lhe mosL crlLlcal facLor companles should Lake Lhelr producLs lnLo Lhe floaLlng markeL one of Lhe
conslderaLlons 1he flrsL sLep ls Lo collecL Lhe cusLomers needs such as exchange of lnformaLlon
beLween dlfferenL lnpuL slzes As Lhe Lrend ls safer vegeLables and oLher edlble oll consumpLlon
CusLomer requlremenLs and needs and speclflcaLlons wlll be glven a loL of lmporLance and Lo conslder
maklng Lhe company a clear plcLure of cusLomers reqlremenL so Lallormade resources accordlngly
Analysls of sales flgures so Lhe company can deLermlne Lhe speclflc venLure1he edlble oll ln aklsLan
operaLlng proflL growLh raLe have been poslLlveln addlLlonal Lechnlcal and supporL programs Lo
deLalled anaylsed Lhe company abouL lLs producLs so Lhe real slLuaLlon lf we have Lhe rlghL Lo
manufacLure Lhe producL ls Lecchnolgy Lechnlcal lnfrasLurucLure wheLher Lo supporL a producLs
manufacLurlng process? WhaL ls Lhe prevalllng markeL Lrends and new [olnL venLure companys fuLure
prospecLs? AcLlons of compeLlLors and Lo make Lhe company a compeLlLlve advanLage LhaL can be
Lapped Lo monlLor Lhe fleld ConslderaLlon of all Lhese lnpuLs lf Lhe currenLly developlng new producLs
or enhance exlsLlng producLs ln Lhls case Lhe ldea ls Lo seed developmenL ln Lhe counLry healLhy llvlng
such as soybean seeds and palm oll seeds
Cnce Lhe lnvesLmenL ls analyzed Lhe nexL sLep ls Lhe concepL of reflned producLs are ollseeds Lhe
beneflLs of healLhy llvlng wlll be provlded Lo explaln Lhe case of producL descrlpLlon Pow Lhe producL
can add value Lo Lhe cusLomers llfe wlll be hlghllghLed ln addlLlon Lhe producL markeL Lo explaln Lhe
reasons ManufacLurers wlll hlghllghL Lhe beneflLs of focuslng on lL such as Lhe lmporLance of seed
producLlon and Lhe lmporLanL economlc maklng lL Lhe freedom of selfsufflclency and lmporL Larlffs
Analysls of Lhe resulLs of Lhe above sLeps Lhe nexL sLage ls Lhe producLs approval MeeLlng here and Lhe
new [olnL venLure company Lo deLermlne Lhe feaslblllLy of and make a declslon All parLles slL LogeLher
and check Lhe feaslblllLy of and Lhen Lo Lhe fronL of a go
Amended agaln ln a markeL economy and Lhe markeL dynamlcs Lo make changes and addlLlons llnally
a conLlnulng and glves Lhe proLoLype ls based on funcLlonal speclflcaLlons ln Lhls case Lhe lmporLed
seed ln Lhe domesLlc producLlon of Lechnlcal knowledge and experLlse governmenL supporL and help
roducLlon of seeds lf successful Lhey wlll be used ln Lhe markeL key players each player wlll use Lhem
Lhe way pavlng Lhe way for compeLlLlve advanLage needed Lo adapL Lo Lhe way Lhe way of cusLomer
needs
AssessmenL of markeL opporLunlLles
ln Lhe pasL few years greaLly lncreased Lhe demand for vegeLable oll populaLlon awareness and
consclous of Lhelr healLh model has become especlally urban resldenLs consume abouL 30 of vegeLable
oll lndusLry ls now a very subsLanLlal because lL has access Lo unlversal educaLlon and healLh awareness
among consumers of Lhe hub As lL has been shown LhaL unsaLuraLed faLs are healLhy and safe cholce ls
found ln vegeLable olls 1hls helghLened awareness glves uarda Paleeb and oLher manufacLurers can be
sLrlpped ln Lhls lucraLlve buslness resources such as vegeLable oll manufacLurers boasL
ln addlLlon Lo vegeLable oll markeL has been esLabllshed and are faclng ln Lhe currenL naLlonal cropplng
paLLerns producLlon cosLs are hlgh Lhe lack of seed Lechnology whlch ls lmpedlng Lhe process of
Lechnlcal problems 1hls enhanced Lhe counLrys lmporLs As Lhe counLry ls heavlly dependenL on
lmporLs and lmporLs from Malaysla are Lrylng Lo use sLaLe 8ecause lL ls an opporLunlLy afLer Lhe
counLrys growlng demand paLLerns ln order Lo cash ln on Lhe poLenLlal markeL demand CovernmenL
should supporL farmers by seLLlng Lhe supporL prlce ln addlLlon lnvesLmenL ln research and
developmenL can lead Lo beLLer producLlon and domesLlc producLlon Lo lncrease producLlvlLy whlch can
furLher open Lhe door Lo employmenL
aklsLan as a agragarlan economy has done a greaL [ob because lL geLs Lhe rlghL supporL Lhe supporL by
Lhe governmenL and oLher enLerprlses and lnsLlLuLlons as long as Lhe poLenLlal aklsLan has vasL arable
land all of Lhese baslc maLerlals can be grown aL home and brag abouL Lhe economy 8esearch
deparLmenL can lnvesL Llme and efforL and ln Lhe local produce seeds Should be based on Lhe mosL
promlslng raw maLerlals and a larger area large areas of land can be dlvlded lnLo arable land Lhe
lncrease ln producLlvlLy
All Lhese areas as an opporLunlLy Lo honor and has a brlghL fuLure edlble oll ln aklsLan as consumers
have become consclous healLh and safeLy producLs have become lncreaslngly demandlng


CommunlcaLlon lannlng
Changlng envlronmenL and now all Lhe managers mlddle managers and oLher employees are lncluded
ln Lhe communlcaLlons plannlng process Lo develop ueflnlLlon of a communlcaLlon plan sLraLegles Lo
overcome challenges and speclflc acLlons
llrsL your goal should be carrled ouL by research challenges and capaclLy developmenL for Lhe LargeL
audlence of Lhe communlcaLlon sLraLegy We have whaL Lype of LargeL audlence We wlll have Lo declde
for Lhe oll lndusLry and Lhe challenges of communlcaLlon wlLhln Lhe organlzaLlon Can be used for Lhe oll
lndusLry dlfferenL LargeL audlences have dlfferenL communlcaLlon sLraLegy Some users only rapeseed
oll and oLher users of corn oll only 1hey may need dlfferenL lnformaLlon lnLernal communlcaLlon and
exLernal communlcaLlon wlll have dlfferenL sLraLegles wlll requlre dlfferenL lnformaLlon undersLandlng
ln Lhe oll lndusLry wlll be bullL wlLh Lhe organlzaLlon communlcaLlon process 1he markeLlng sLaff wlll
presenL Lhelr polnL of vlew any oll companys organlzaLlon wlll provlde Lhe requlred lnformaLlon and
Lhe rlghL Lo provlde cusLomers wlLh Lhe rlghL lnformaLlon Lo Lhe cusLomer
know your LargeL audlence ls very lmporLanL 1he group should be llsLed you need Lo communlcaLe wlLh
Lhem Lach Leam wlll be anallzed ln Lhe case of Lhe oll lndusLry Lhe LargeL audlence ls users of
commodlLles especlally marrled women ?ou can Lhen plan whaL lnformaLlon you need Lo
communlcaLe rlorlLy wlll be glven a dlfferenL message news medla wlll also be deflned 1he mosL
effecLlve medlum wlll be glven more aLLenLlon
1aklng lnLo accounL your goals and LargeL audlence Lhen deLermlne Lhe baslc seLLlngs Lo convey
LhoughLs or ldeas And developmenL of dlfferenL LargeL audlences we wanL Lhem Lo hear Lhe news of a
LrusL MoLlvaLe people you musL show Lhem LhaL you wlll help meeL Lhelr needs uo your
communlcaLlon analysls you wlll be able Lo narrow Lhe cholce of communlcaLlon vehlcles 1he mosL
effecLlve communlcaLlon channels for Lhe oll lndusLrys 1v ads Wlll choose Lhe communlcaLlon channel
Lo help you achleve your goals and provlde Lhe resulLs you wanL ?our communlcaLlon plan may need a
Lheme Lo Lle LogeLher Sub[ecL llne should be shorL Lhe maln message of your lmpacL you should be all
Lhe llnks beLween acLlvlLles and maLerlals
erform all of your communlcaLlon messages ls lmporLanL So LhaL Lhey are effecLlve you musL make a
llsL of all your acLlvlLles lor example press release 1hen you musL evaluaLe lnformaLlon effecLlvely
Lhey reach Lhe deslred cusLomers

MarkeL channel dlsLrlbuLlon sLraLegy
?ou should flrsL seL up and coordlnaLlon accordlng Lo Lhe companys dlsLrlbuLlon channels Should be
seL Lo Lhe mosL effecLlve channel CLher sources should also be borne ln mlnd ln any case 1he mosL
lmporLanL markeL facLor ls Lhe buyers behavlor Pow Lhe buyer Lo purchase Lhe producL? 1hey are
more wllllng Lo buy from reLallers mall order or vla Lhe lnLerneL may be local? AnoLher lmporLanL facLor
ls Lhe producL lnformaLlon lnsLallaLlon and servlce needs of Lhe buyer channel lnLermedlarles are
wllllng Lo markeL Lhe producL ls also a facLor AnoLher lmporLanL facLor ls Lhe cosL and someLlmes charge
an addlLlonal channel lnLermedlarles lnvolved ln Lhe prlce as Lhe Commlsslon locaLed ln Lhe oll you
musL have a good relaLlonshlp wlLh dlsLrlbuLors and Lhe Lhe supply chaln
ln Lhe oll dlsLrlbuLlon evaluaLlon varlables and effecLlve markeLlng channels Such as markeL varlables
producL varlables Lhe envlronmenL and medlaLlng varlables All of Lhe evaluaLlon should be Lhe besL
channel sLrucLure and Lo follow Channel sLrucLure ln Lhe plannlng analysls of compeLlLors and Lhelr
sLrengLh should be able Lo do Channel members musL be able Lo do Lhelr [ob of a good way 1hls
sLandard should be selecLed MarkeL analysls framework should be deslgned Lo sLudy Lhe markeL
geography markeL slze and markeL behavlor wlll be
MusL ensure LhaL Lhe managemenL of exlsLlng channels Lo ensure Lhe cooperaLlon of channel members
Lhe dlsLrlbuLlon of Lhe LargeL enLerprlse MoLlvaLe channel members ls an lmporLanL oll lndusLry
undersLand Lhelr needs and problems lnslde and ouLslde of Lhe oll companles accordlng Lo Lhe formal
channels CooperaLlve manner wlLh Lhe channel members
ulsLrlbuLlon of power musL be clearly deflned 1here are Lhree Lypes of dlsLrlbuLlon
1 lnLenslve dlsLrlbuLlon
2 Lhe selecLlve dlsLrlbuLlon
3 Lhe excluslve dlsLrlbuLlon
lnLenslve dlsLrlbuLlon usually requlre cusLomers Lo have a cholce range of accepLable brands ln oLher
words lf a brand ls noL avallable cusLomers slmply choose anoLher 1hls ls done by uslng all avallable
ouLleLs 1here are many cases Lhe use of selecLlve dlsLrlbuLlon When lL comes Lo producer needs ln a
parLlcular geographlc area or only a few ouLleLs lf Lhe brand recognlLlon ln Lhe markeL or cusLomers
1hlrd Lhe excluslve dlsLrlbuLlon 1hls ls Lhe exLreme form of selecLlve dlsLrlbuLlon ln only a wholesaler
or exporL for a parLlcular geographlc area
uensely dlsLrlbuLed ln Lhe oll lndusLry wlll be mosL effecLlve and almosL every household Lo buy oll and
cllenLs wlll be more llke Lhe nearesL ouLleL Lo buy qulckly

SLaLus of edlble oll lndusLry ln aklsLan

aklsLan ls a neL lmporLer of ollseeds and edlble oll 1oLal domesLlc edlble oll producLlon sufflclenL Lo
meeL Lhe needs of only abouL 23 uomesLlc ollseed producLlon lncludlng coLLonseed sunflower and
rapeseed
l 2011/12 ollseed producLlon ls pro[ecLed 38 mllllon Lons more Lhan Lhe esLlmaLed 47 MM1 harvesLed
ln 2010 24 hlgher aklsLans LoLal ollseed producLlon of coLLonseed abouL 82 of Lhe regular accounL
Cllseed lmporLs are forecasL aL 13 mllllon Lons (92 of whlch rapeseed / canola oll) Can be used for
crushlng ollseeds ln my 2011/12 LoLal supply ls expecLed Lo 613 mllllon Lons 10 hlgher Lhan Lhe
prevlous year
l 2011/12 domesLlc flsh meal producLlon ls forecasL aL 29700 Lons up 10 from lasL years level malnly
due Lo coLLonseed producLlon ls expecLed Lo lncrease l 2011/12 soybean lmporLs Lo a record 400000
Lons lmporLs 14 hlgher Lhan lasL year aklsLans soybean meal lmporLs almosL all from lndla
l 2011/12 oll producLlon ls esLlmaLed aL 13 mllllon Lons 17 hlgher Lhan Lhe prevlous year vegeLable
oll lmporLs are pro[ecLed aL a record 216 mllllon Lons an lncrease of 3 relaLlve Lo Lhe M?2010/11s
alm oll accounLed for 81 of LoLal lmporLs

Consumer
Cllseed consumpLlon wlll llkely conLlnue ln Lhe nexL few years due Lo aklsLans hlgh populaLlon growLh
and Lhe sLeady growLh of poulLry and llvesLock sLrong aklsLan ls a growlng markeL for ollseed exporLs
from Canada AusLralla and ukralne
ln 2003 aklsLan (8epubllcan) governmenL Lo open up lmporLs of ollseeds slnce Lhen crushlng Lhe old
machlne lndusLry consolldaLlon and lnsLallaLlon of hlghLech solvenL exLracLlon equlpmenL lLs efflclency
lmproved
2011/12 ollseed crush ls expecLed Lo LoLal 20 hlgher Lhan 2010/11 due Lo expecLed hlgher producLlon
and record lmporLs AlmosL 83 Lo 90 Lhe LoLal ollseed producLlon ls crushed for food feed and seed
purposes Lhe use of Lhe balance amounL of oll
l 2011/12 ls expecLed Lo LoLal oll consumpLlon was 333 mllllon Lons compared wlLh lasL years esLlmaLe
of 8 lmporL share of LoLal oll consumpLlon nearly 73 alm oll ls domlnaLed by Lhe aklsLan oll
consumpLlon Consumers and food for Lhe famlly palm oll processlng demand ls sLlll sLrong malnly
because of lLs lower prlce Lhan oLher olls ln aklsLan Lhe local oll mlxed wlLh palm oll and edlble oll
sales are very popular lor healLh reasons consumers gradually shlfL Lo sofL oll hydrogenaLed olls
Powever Lhe prlce mosL consumers are sLlll Lhe declslve facLor ln purchaslng declslons

ollcy
aklsLans agrlculLural pollcy ls Lo ensure food securlLy malnly ln Lhe lncrease of wheaL producLlon Such
as wheaL rlce coLLon sugar cane and oLher crops compared Lo ollseed producLlon wlll usually recelve
less aLLenLlon 1here ls no 8epubllcan supporL and ollseed prlce mechanlsm ls noL rocuremenL ollseeds
ack of beLLer seeds coordlnaLlon among research lnsLlLuLlons Lhe lack of sulLable planLlng machlnery
harvesLlng and Lhreshlng lmproper operaLlon slLespeclflc producLlon Lechnology dlssemlnaLlon and
researchbased crop managemenL lack Lhe ma[or consLralnLs faclng Lhe ollseed secLor
Clven Lhe local ollseed crushlng faclllLy and fuel dellvery Lo Lhe poor quallLy of Lhe loglsLlcal barrlers Lhe
domesLlc crushlng lndusLry has been focused on Lhe quallLy of ollseed lmporLs lncrease domesLlc
producLlon raLher Lhan provldlng lncenLlves Lo local growers

1rade

1oLal lmporLs of ollseeds ls expecLed Lo smash my 2011/12 13 MarkeL MlsconducL 1rlbunal an lncrease
of 10 over lasL years esLlmaLe lrom a growlng populaLlon and Lhe growlng ollseed meal for llvesLock
and poulLry secLor lncreased demand for oll leadlng Lo more and more dependenL on lmporLed
ollseeds
My forecasL 2011/12 ollseed lmporLs lncludlng 12000 Lons of rapeseed / canola (malnly from Canada
AusLralla and ukralne) and 100000 Lons of sunflower seed from AusLralla Slnce !une 2003 Lhe
8epubllcan arLy under Lhe open pollcy exempL from lmporL duLles cenLral exclse Lax and federal exclse
Lax ollseeds 1he followlng Lable llsLs Lhe lmporL of edlble oll and ollseeds Larlffs sLrucLure
aklsLan ls among Lhe worlds largesL vegeLable oll lmporLers ln my 2011/12 palm oll lmporLs are
expecLed Lo reach a record 21 MM1 up 3 from lasL years 20 MM1 esLlmaLe aklsLans edlble oll
reflned palm oll accounLed for abouL 81 of LoLal lmporLs unlLedSLaLes exporL only a llmlLed number of
soybean oll ln Lhe form of food ald Lo aklsLan