MIX & MATCH

MIX & MATCH

Strategic Marketing Strategy

Based on 2013 study of Strategic Marketing Management

Prepared for Mr. Mobeen-ul-Haque UMT C-II Johar town Lahore 042-52128011

Prepared by Hur Abbas Zainab Baqar Hafsa Tariq Muhammad Jawad Raza 13052032007 13052032008 13052032025 13052032022

UMT research associates C-II Johar town Lahore

June 8, 2013

MIX & MATCH

UMT research associates C-II Johar town Lahore

June 8, 2013 Mr. Mobeen-ul-Haque Permanent faculty member C-II Johar town

Dear Mr. Mobeen This is the report on the study of strategic marketing management applied for launching a new brand of Unstitched LAWN. As you will see, our report is based on the studies of different strategic marketing strategies and implementations required for launching any brand or product. At UMT we appreciate having this assignment. If you should need any assistance in interpreting this report or in implementing our recommendations, please contact us Sincerely yours, Hur Abbas Zainab Baqar Hafsa Tariq Muhammad Jawad Raza Research associates

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Acknowledgement In The Name of ALLAH, Most Gracious, Most Compassionate" We are grateful to our Resource Person Mr. Mobeen-ul-Haque for assigning us a very creative, interesting and challenging project of Strategic Marketing Management. We appreciate his efforts and time for helping us and providing his assistance throughout the project. It has been enriching experience for us which would not be possible without the joint efforts of our team. We pay gratitude to sir for his constant help in research and collection of the relevant material and providing us assistance while making our final project. We express our gratitude also to all those who directly or indirectly help us in this project. Lastly special thanks to our parents for their prayers for accomplishment of this task. However, we accept the sole responsibility for any possible errors and would be extremely grateful to the readers of this report if they bring such mistakes to our notice. Knowledge is in the end based on acknowledgement.

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Contents
Acknowledgement ....................................................................................................................................... 1 Executive Summary................................................................................................................................... 7 Industry Analysis ...................................................................................................................................... 8 Customers Trends ..................................................................................................................................... 8 Buyers Trends ........................................................................................................................................... 9 Suppliers Trends ....................................................................................................................................... 9 Technology Trends ................................................................................................................................... 9 Economic Trends ...................................................................................................................................... 9 Porter Analysis .......................................................................................................................................... 9 Opportunities........................................................................................................................................... 10 Threats .................................................................................................................................................... 10 Competitors Analysis ............................................................................................................................ 11 Competitors Strategy ............................................................................................................................. 11 Market & Demand Analysis ................................................................................................................... 11 Characterization of the Market ............................................................................................................... 12 Internal Analysis ..................................................................................................................................... 13 Situation Analysis & Specification of Objectives................................................................................... 13 Goals and Objectives: ............................................................................................................................. 13 Strength ................................................................................................................................................... 14 Weaknesses ............................................................................................................................................. 14 Strategic Analysis ................................................................................................................................... 14 Segmentation........................................................................................................................................... 14 Segmentation Portfolio ........................................................................................................................... 14 Point of Difference.................................................................................................................................. 15 Point of Parity ......................................................................................................................................... 15 Frame of Reference ................................................................................................................................. 16 Reasons to Believe .................................................................................................................................. 16 Positioning Statement ............................................................................................................................. 16 Value proposition .................................................................................................................................... 16 Product DesignStrategy .......................................................................................................................... 17

MIX & MATCH Product Growth Strategy......................................................................................................................... 17 Product Scope ......................................................................................................................................... 17 Price Strategy .......................................................................................................................................... 17 Promotion Strategy ................................................................................................................................. 17 Distribution Strategy ............................................................................................................................... 18 Lawn Industry Research ......................................................................................................................... 18 Research Objectives .............................................................................................................................. 18 Execution of the Product ........................................................................................................................ 24 Customer-Buying Behavior ..................................................................................................................... 25 Brand Awareness .................................................................................................................................... 25 Packaging ................................................................................................................................................ 26 Price ........................................................................................................................................................ 26 Place ........................................................................................................................................................ 27 Distribution Channel ............................................................................................................................... 27 Promotion ............................................................................................................................................... 27 Advertising plans ..................................................................................................................................... 27 Differentiation......................................................................................................................................... 27 Positioning .............................................................................................................................................. 27 Value Preposition .................................................................................................................................... 27 Brand Extension Plan of 4Ps .................................................................................................................. 28 Financials................................................................................................................................................. 29 Projected Income Statement .................................................................................................................. 29 Projected Balance Sheet ......................................................................................................................... 30 Financial Ratios ....................................................................................................................................... 31

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Executive Summary
This project is done on the unstitched Lawn Industry. We did the industry analysis in which we see the PEST analysis of political, economic, social and technological trends. This project further helps us understand the dynamics of the unstitched lawn industry by doing the Porters Analysis. Porter Analysis helps us understand the competitors, buyers, suppliers, substitutes and the new entrants in the industry. Furthermore after analyzing this analysis it help us understand the attractiveness and growth of the industry. Industry dynamics helps us understand the attractiveness and the profitability of the industry to launch the new product. Before launching new product we need to set the goals and objectives and do the strategic analysis of competitors. Which segment to target and how to compete in the fragmented industry and what are the challenges we are going to face and how we are going to cater the problems are the first step to launch new product. For this purpose we also conducted the research on lawn industry in designer lawn to help us understand the preferences and demand of the consumer behavior. The research analysis helps to segment the product and make the strategies of product, price, placement and positioning of the product. By analyzing the analysis we also conducted the forecasted balance sheet and income statement.

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Industry Analysis
Lawn industry is flourishing in the Pakistan market. Approximately there are 60+ brands listed and other off brands are in large number of quantity. FACTS about Lawn Industry Lawn industry is worth of Rs. 50 Billion. The growth rate of lawn industry is 25% which is increasing gradually. Lawns constitute a major exporting sector for Pakistan, which accounts for about 60% of the countrys total foreign exchange earnings Huge demand in domestic market as well as affluent segment of overseas communities in Middle East, Europe and America Influence of Electronic Media

Customers Trends If we look at the trends we see the buying behavior of customers has been changing from past few years. People are more brands conscious and that is the reason people value more of quality. People tend to buy more designer lawn. People are getting tired of it seeing that it is not the most practical thing for bazaar especially working women. Lawn used to be a comfortable choice of clothing, whereas now it seems more appropriate for lunches and dinners to which you would normally wear chiffons or silks anyway. The fashion trend may continue a little longer because they can wear such clothes year round for almost any occasion Women wants complementary embellishments with the usual printed fabric, thousands of women can own the same lawn outfit, but customize it to their preference and style.

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Buyers Trends Marketers associating their names with designers to get the positioning and style of the designer in customer mind. Buyers tend to find the differentiation in the lawn prints. People tends to pay more if they find attached frills and motives and guideline to stich the lawn in shape of some poster or magazine There are number of brands available in the market with no or less differentiation and that is the reason people are less brand loyal According to CEO of lawn Links FarrukhMian, seven hundred million meters of lawn fabric is purchased annually in Pakistan. Suppliers Trends There are many suppliers exist in the market and thread for lawn industry comes from ginning mills. There are many ginning mills in Pakistan that is the reason no or very less impact on the industry. Technology Trends There is no as such complex technology used by marketers and suppliers. No or less impact of technology on the industry

Economic Trends Government support the industry to export garments to foreign countries and it also helps a lot in the GDP of Pakistan. In readymade garment industry exports in 2010-11 stood at US $ 1.77 billion or 7.1% of the total exports. It is a positive impact on industry.

Porter Analysis The bargaining power of buyers is high because customers have choices and they are attractive towards the good fabric products as they have more information. The bargaining power of suppliers is low because we have many suppliers in market and all are offering same product so customer can easily switch. Intensity is very high in market. Threat of new entrants is low as they require high capital investment, Substitutes in market are available.

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We have analyzed that market is captured by market leaders like Gulahmed, Nishat, Mausummery, Alkaram, Kyseria which is targeting the upper middle class and middle middle class, to enterand compete with these giants is very difficult as they have a brand name and they spend a lot on their advertisement and infra-structure. Premium brands like AsimJofa, Sana Safinaz, Deepak Parwani, HSY mostly captures the specialized market. The upper class can purchase their products and their purchasing power is high and they spend much amount per season then the middle class. The off brand or the low range brands like Five Star, Sitara, Etihad are also targeting the masses of lower and middle class. Customers in this segment are price conscious rather than quality conscious. So overall the market is attractive for the low range brands because they don't need much investment and they don't do forward integration as well and customers can easily be attractive if the price ranges are normal and they accept the replicas as well. If we talk about the premium brands then in this segment customers are conscious about variety and they are ready to pay the premium price so market is attractive here by providing the high quality products. But to compete in Middle range segment is very difficult, as the giants have already captured the market and to compete with them we need a brand name. After the analysis of the industry we came across some of the opportunities and threats which are as follows:

Opportunities
The industry is flourishing because customers are more brands conscious and they want more variety. Customers are willing to pay the premium price for quality products. Role of electronic media is creating awareness of brands.

Threats
Threats of new entrants is high. Substitute products are available. Switching cost of brand is very low There is no brand loyalty. Fashion changes rapidly so one has to grasp the pace of industry.

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The major opportunity of this market for our brand is no one is targeting the essence of royalty. Silk dupattas with handmade embroidery lawn shirt will add the value in the product. There is a major gap in this market. We will specifically target the upper class and upper middle class because of their social circle. Customers want the semi-formal dresses so silk dupattas will add the royalty.

The major threat for our brand is the substitutes. The stitched which is normally known as PRET WEAR is the major threat. Customers of our market are students and working women, both are time conscious. So they prefer PRET Wear. Moreover this segment is moving towards the western dresses as well. This is the biggest threat for our brand. To overcome this threat we have given the option of stitching as well and the designs will be from ALI XEESHAN, the designer.

Competitors Analysis
The last three to four years have seen the saturation of two trends: mills contracting fashion designers to lend their names and expertise for limited designer lawn, and, inversely, designers hiring mills to print their fabric. The first collaboration is straightforward. Textile mills have been known to commission fashion designers anything between 2 million and 20 million rupees per collection (depending on the designers ranking), reveal sources in the business. For textile mills, that amounts to a bucket out of a multi-billion rupee pool; for designers it is relatively easy money (and a lot of publicity) coming their way. There are an estimated 60 premium lawn brands in Pakistan. Designer lawns produced by the designers like Deepak Parwani, HSY, Kayseria, etc.

Competitors Strategy
Competitors in this sub-segment of specialized lawn cashing their names and intensively doing campaigns and fashion shows to remain prominent in the market. They are targeting their segmented group of people of upper class and social butterflies. Every year they set trend in the fashion industry and change according to it. Competitors have maintained their trust in the eyes of customers by giving value added services and products. They launch 25,000 to 30,000 suits every year. They charge premium price by giving the premium designs and quality to the customers.

Market & Demand Analysis

The lawn business is mammoth; its proportions are gargantuan. Millions of rupees are dropped into production and campaigns at the drop of a hat, millions of yards of fabric is printed and distributed, and most of it is sold. The lawn market is like a vast ocean, with contenders casting their nets and vying for some kind of fortune from it. Lawn is where fortunes are made, whether you are a mill owner, designer, campaign photographer or even a model.The estimated annual

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size of the lawn market in Pakistan is no less than Rs 50 billion. This makes it one of the most demanded seasonal consumer items every year. The growth rate of lawn industry is 25%. The amalgamation of fashion designers and lawn, of course, has added prestige and design value to an already commercially successful product. Financially, there was really no need for such collaboration but with the tiny fashion industry hogging the style spotlight, it was a step taken for attention. And true to its intention, textile/designer collaborations have overshadowed publicity for eight months of a sartorial year. March through October, when Pakistan enjoys a lengthy summer and women turn to lawn as their staple fabric, designer lawn is all they can talk about.

Characterization of the Market

Demand In Past & Present Every season, summer, winter, autumn and spring has their own dressing trends but in Pakistan, the fashion industry especially in summer seasons seems to be unprecedented due to the launching of lawn prints. The lawn phobia is getting more intense from the past two years and thats why lawn industry is flourishing by leaps and bonds. In Pakistan, The Summer season is also known as synonymous to a season of lawn brands. Once there was a time when there were only two or three designers who launch the lawn prints but now every next designer has or is planning to launch a range of lawn prints and each year, number of designers is increasing. 5 years back there were 3 to 4 well-known brands in the market from where customers used to shop but now the marketers entering into this industry. There are many well-known brands giving the premium products. People have more fashion sense and people spend more for better quality and appearance. Now days customers have more options and want to experiment different stuff with lawn.

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Internal Analysis
Situation Analysis & Specification of Objectives
People are getting more fashion conscious and that is the reason the market size of unstitched industry is increasing day by day. Unstitched lawn is available in different forms that are plain lawn, embroidered lawn, printed lawn and lawn with frills. To enter and compete in market we have to meet our objectives strongly.

Goals and Objectives:

Goal To become the well-known brand by providing the royalty and class with comfort. Objectives To create the image of brand in the minds of customer. To maintain the quality of products. Maintain strong customer relations. Maintain the availability of brand. Become market leader in thesub-segment.

To meet these objectives we have to answer following questions Who are the buyers of unstitchedlawn and what level income groups they belong? Which of the market segments to be targeted? What are the proportion sales of designer unstitched lawn in the local market? What is the growth rate of demand of unstitchedlawn in the market? What are the distributions channels being followed in the market? What are the major competitors for the proposed product? What is the ratio of the profit margin for sellers? What is the pattern of sales according to the geographical distribution of the country? What is the price consumers are willing to pay for different stock keeping units? How the potential customers can be convinced? We have analyzed our strategies according to our strengths and weaknesses which are as follows.

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Strength
Our articles will be designed by well-known designer ALI XEESHAN. We will give the option of desigining stitching. We will provide the option of mixing the add-ons.

Weaknesses
No brand visibility being a new market entrant Limited target market Lack of forward integration.

Strategic Analysis
After setting the objectives it is important to make strategic analysis before launching the unstitched lawn in the market. For that we will analyse the STP process.

Segmentation
We are selecting a small sub-segment of specialized product catering the needs of women who are conscious about fashion and willing to pay premium price for superior quality. Profitability The people of this segment are large enough to give premium prices and give large profit margins. Responsiveness It is the reaction and sensitivity to the marketing actions of the firm and its competitors. People respond to the new product and brand enter into the market and willingness to try new product.

Segmentation Portfolio
There are many segments exist in the market and capturing the major market size. To get the maximum returns and creating a brand image initially catering the small size of the market. Selectingthe sub-segment giving the specialized product in the existing market of lawn industry. Will give the handmade embroidery and option of stitching will add the value to the product. Average revenue per unit People are getting more conscious about fashion and quality and due to the increase in the per capita income people spend more money. The trends has been change and people spend more to look good in a particular society.

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Attractivenessof the Segment Unstitched lawn industry is worth of Rs 50 billion and with the increase in per capita income people are spending more money on suiting to get the premium quality.Lawn industry is capturing the 25% of the growth rate with no regulations. Brand Preference Females are more comfortable with brands and enjoys the royalty being loyal customer. We associate the name of Mix & Match with Ali Xeeshan to create an image and positioning in the mind of customer. Social class Upper and upper middle class is more conscious about branded and designer product and that is the reason we will collaborate with well-known designer. This will also create an image and reflection of the style of the designer.

For positioning of our brand we will use different strategies to identify on which basis our positioning is for about.

Point of Difference
To identify our point of difference that is to be different from your competitors, we have to figure out some questions which are as follows: Why do people buy our product? Why do people will purchase from us rather than our competitors? Our point of difference will be the MIX & MATCH of lawn and silk with premium quality

Point of Parity
To identify the points of parity that is where our competitors are ahead us we need to ask few questions: Where the competitors are counterattacking? How to nullify the strengths of opposing brands? How to focus on our point of difference so customers will still choose our brand? We have many competitors like SANA SAFINAZ, HSY, DEEPAK PARWANI and many more. Their point of difference is Brand name with the premium high end fashion products. To compete this we have to provide the premium lawn with the high end fashion.

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Frame of Reference
When considering our frame of reference that is the target audience in-built mental frame of reference our brand we need to ask following questions: Is it one that our target audience will instantly grasp without explanation? Is it right frame of reference? Does it define competitors for our brand? Our Frame of reference is Clothing

Reasons to Believe
To identify how our customers will believe that our promises to deliver that benefits are true and credible. Does it state simply the reason WHY the benefit is true? Does it cement the link between our product and our key benefit in the mind of our target? To maintain the loyalty of our customers we have to deliver them the best quality products which will depict royalty and comfort. To illustrate the positioning statement we will identify the key elements which are Target customer Their need Their frame of reference Our dramatic difference(s) Our reason(s) to believe

Positioning Statement
For ladies who are brand conscious about clothing, Mix & Match will give the impression that gives experience of royalty and comfort which is worth of quality

Value proposition
We give premium quality with exclusive designs.

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Product DesignStrategy
We will provide the standardize product with the passage of time and demand we will improve and modify the existing product by adding extra features to the customer.

Product Growth Strategy

By implementing the new product and development strategy we will introduce the new products to the existing industry. We can also offer stitched ready to wear lawn to the customers.

Product Scope
We will provide the single product and give the standardize size of 2.45 meter shirt, trouser and dopatta to the customer. If customer requires extra piece it will be provided on demand.

Price Strategy
1. Going Rate Offering the price which Sana Safinaz, HSY and other designers are giving 2. Premium pricing We will give the option of stitching to the customers especially designed by Ali Xeeshan and that is our competitive advantage. The product we are offering is premium because silk is a premium fabric. We will be collaborating with the designer ALI XEESHAN who stood among top designers in the latest PFDC Fashion Week, one of the biggest fashion platforms in Pakistan.

We are following the PRICE/QUALITY relationship because we will be providing high quality products so we will charge premium price.

Promotion Strategy
1. Fashion Shows By conducting fashion shows highlight the product in the eyes of customer. 2. Bill Boards Colorful billboards in porch commercial areas will help in creating the image of the brand and promote the lawn in an effective way 3. Promotional Magazines Providing the promotional magazines to each customer.

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Distribution Strategy
We will select the selected retailing shops for the distribution of the product that is PFDC, Raja Sahib, Portia, Saleem Fabrics and LABELS.

Lawn Industry Research

To launch new product in the market we need to know the behavior of the customers. We need to study the criteria of choosing new brand of designer dresses. For this purpose we develop a questionnaire which is filled by 150 respondents living in Lahore. Then we put the results in SPSS to get the desired statistics and these statistics helps us in fulfilling the objective of our research. Significance The desire of many to look good and trendy for this people spend lot of money on designer clothes. People who once use to shop lawn for the sake of summer clothing only are now competing in a race of purchasing branded lawn. Shift from necessity to luxury can be felt across the country. Research Objectives The aim of this study is to investigate the behavior of consumers on designer garments and designer series lawn. Consumers will be asked about different factors that affects their purchase of designer garments and designer series lawn. The following are the objectives of this study: To determine the preferences of consumers when purchasing clothes/ lawn. To know if the attitude of consumers to branded clothes have changed. To determine if the purchase of designer lawn depends on buyer's attitude on branded garments. To study that if there are any psychological reasons to spend money on branded clothes or the user has quantified it. Variables Area of residence Age Profession Monthly house hold income
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Role of Advertisement Family pressure Affordability Style Comfort Inner satisfaction Peer pressure Social pressure Designs Colors Price

Data Sources Data will be collected by primary data sources & secondary data sources. Primary data will be collected by questionnaires and secondary data will be collected through literature review & internet. Population In this research we will choose females of 18 & above age who purchases different kinds of lawn in summers. Sample Size We will take sample size of 150 females living in Lahore. Sampling Unit The unit of analyses used in this research is individual females who are housewives & professionals, students, working lady and others.

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Analysis Result

Out of 152 respondents, 53 respondents liked to buy Designer Lawn, while out of the rest 99 females 70 liked to buy Classic Lawn and else Imported Lawn. Monthly Purchasing Budget It tells the willingness to pay on designer lawn and it will help us identify the market demand to launch the new product. Monthly Household Income * Average Expenditure on Single Suit Cross tabulation

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Average Expenditure on Single Suit Rs. 5000 Rs. 1000 to Rs. 2000 to Rs. 3000 to Rs. 4000 and 2000 3000 4000 to 5000 Above Total Month UptoRs. 50,000 ly House hold Incom e Count 17 9 5 3 4 38

% within Monthly 44.7% Household Income % within Average 30.9% Expenditure on Single Suit

23.7%

13.2%

7.9%

10.5%

100.0%

20.5%

21.7%

25.0%

22.2%

25.0%

Count Rs. 15 50,000 to % within 75,000 Monthly 48.4% Household Income % within Average 27.3% Expenditure on Single Suit Count Rs. 9 75,000 within to100,00 % Monthly 33.3% Household Income % within Average 16.4% Expenditure on Single Suit

31

25.8%

6.5%

3.2%

16.1%

100.0%

18.2%

8.7%

8.3%

27.8%

20.4%

27

33.3%

11.1%

7.4%

14.8%

100.0%

20.5%

13.0%

16.7%

22.2%

17.8%

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Rs. 100,000 to 125,000

Count

20

% within Monthly 45.0% Household Income % within Average 16.4% Expenditure on Single Suit

20.0%

25.0%

5.0%

5.0%

100.0%

9.1%

21.7%

8.3%

5.6%

13.2%

Rs. 125,000 to 150,000

Count

16

% within Monthly 6.2% Household Income % within Average 1.8% Expenditure on Single Suit

43.8%

12.5%

25.0%

12.5%

100.0%

15.9%

8.7%

33.3%

11.1%

10.5%

more than Count 4 Rs. within 150,000 % Monthly 20.0% Household Income % within Average 7.3% Expenditure on Single Suit Total Count 55

20

35.0%

30.0%

5.0%

10.0%

100.0%

15.9%

26.1%

8.3%

11.1%

13.2%

44

23

12

18

152

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% within Monthly 36.2% Household Income % within Average 100.0% Expenditure on Single Suit

28.9%

15.1%

7.9%

11.8%

100.0%

100.0%

100.0%

100.0% 100.0%

100.0%

Influence of Advertisement on Purchasing Behavior

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From this data we can analyze that mostly females preferred a specific type of Lawn because of its Cuts and style. However if we consider that the style element is only for designer Lawn then the reasons of preference for classic and imported lawn can be: comfort, colors and durability, the reason is verified further in the report.

Execution of the Product

To launch a new product we want to examine the behavior of the consumers. The main purpose of this research is to investigate the behavior of consumers on designer garments and designer series lawn. After this we study their monthly budget spent on designer lawn and factors that influence their purchasing decision. Product We choose three piece unstitched lawn with silk dupattas and embroidery shirts with the mix and match of silk frills. Brand Name As trends changes with time but some of the things never change. Silk is considered the royalty and luxury and that is the reason we choose MIX & MATCH to our brand. The name itself represents its own positioning in the mind of customer.

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Demographic Segmentation Age The age group we target is 18 and above. Gender Females Income High income group ranging from 70,000 and above Education Well educated females Psychographic Segmentation People who are more concerned about brands Social Class Upper and upper middle class

Customer-Buying Behavior
Fashion encompassed by the term dressing is a term commonly used to describe a style of clothing worn by most of people of a country. Averagely, a fashion remains popular for about 13 years and then is replaced by yet another fashion. But when it comes to women then the term fashion becomes a limitless thing. The quotation above clearly depicts the psyche of women about fashion. Customers are more concerned about their looks and that is the reason need to target the special needs and interests of each individual female. By offering handmade embroidery shirts with silk dupattas and to give value to the product wealso provide the option of stitching.

Brand Awareness
To create the awareness among people it is important to have strong brand name and image in the mind of customers.Associating the product with silk material to give the feel and royalty to the customers. Silk is always in demand and people buy it to have the feel of comfort and luxury. To create a brand image we associate our brand with designer and that will create a perception about the designs.

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Brand Name MIX & MATCH Available Sizes Different sizes available on demand but standard size is 2.45 meter shirt, 2.45 meter trouser and 2.45 meter dupata. For long shirts, froks and frills extra piece will be provided on demand. Major Cities Initially Targeted We will be launching our brand in Lahore and customers from all over Pakistan can buy online as well. Internal Audit for lawn We will discuss the 4ps of marketing Features We will provide unstitched 3 piece suit with the touch of silk in each dress. By providing silk dupattas, sleeves, or panels will create value to our product and it will also create differentiation from different products.All outfits at MIX & MATCH are decorated with exquisite and intricate embroidery and other embellishments while the contrasting dupattas with some of the dresses are eye-catching and add to the overall look of the fabric. Quality By giving the best possible quality to the customer will be the foremost priority. We will provide the fast color and wide range in color pallets.

Packaging
Packed dresses in zip plastic bags with poster of stitched design and it will be hand over in a silk bag.

Price
Price is the major factor that affects the demand of the product. We are offering different prices to the customers according to the need and demand. The price range will start from the following Silk Dupatta Rs.1500 Lawn Shirt Rs.2500 Trouser Rs. 900 Frills Rs. 1000

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Place
We will start through different retailers. We will not start with our own outlet currently. The majority retailers will be Saleem Fabrics Raja Sahib PFDC Mall One Labels Portia

Distribution Channel
We will use the multiple distribution channels as we will have multiple retailers. We will start from only LAHORE and other customers can reach us through internet from all over Pakistan. We will exhibit our collection in 4 major stores mentioned above.

Promotion
For the launching of our brand we will start from the exhibition in LABELS and fashion shows like PFDC fashion week. As the top designers launch with the exhibition we will also launch and other celebrities and people from fashion world will be invited. When customers will see their favorite celebrities associated with our brand they will also try to associate with the same brand. Moreover this will create the hype of brand and it will be considered as a high fashion end premium brand.

Advertising plans
We will advertise our product through billboards, but the majority of our advertising will be through internet using specifically the social media.

Differentiation
We are offering handmade embroidery on lawn shirts with silkdupattas and silk frills. Moreover we will have an option of stitching for our customers and they can send their measurements online as well through our official website in which measurement charts are uploaded.

Positioning
We are for those customers who want to beat the heat with the plain soft fabric of lawn shirts and to add royalty they want silk dupattas. Mostly the working women and university going students want a semi-formal dress which is something more than an ordinary lawn dresses. The handmade embroidery and the silk dupattas add the value in the product.

Value Preposition
Mix & MATCH the royalty with comfort.

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Brand Extension Plan of 4Ps

We will use different strategies for the extension of our brands in next 5 years. Leader Strategy for Expanding Market We will adopt this strategy after seeing the response of the customers. To increase the usage of the product we will give the extra frills matching to the lawn and opportunity for the customers to get more piece of shirt is less price. Product Development Strategy By intensive growing in the current business we will adopt the product development strategy. In this strategy we will introduce wide range of material in lawn and silk. By mix and matching lawn and silk, or by giving the option of stitched clothes to the customers. Plans for Five Years Year 1 objective Our year 1 objective is to enter the market and to challenge the already well established brands. Year 2 objective We want to have the maximum market share and to be the leader in the sub-segment of specialized products. Year 3 Objective We will introduce our own outlets in Lahore and will introduce other fabrics as well that will be linen with silk match. Year 4 Objective We will launch our outlets in other metro cities as well like Karachi, Islamabad. Year 5 objective We will expand our brand to the international level. The main objective of our brand will be to achieve the market share and profitability. We are entering the market as a specialized product catering segment and we will be challenger in this sub segment because in this segment already there are Big Fishes and we have to compete with them. Customers always go for the quality products and value added services. We will be providing them high quality products with the value added service of stitching option which will be designed by ALI XEESHAN.

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Financials Projected Income Statement

PROFIT & LOSS ACCOUNT

Sales Cost of sales Gross profit / (loss) Distribution and marketing costs Administrative expenses Other operating expenses 2017 2016 2015 2014 2013 220,114,125 200,103,750 181,912,500 173,250,000 165,000,000 66,034,238 60,031,125 63,669,375 69,300,000 66,000,000 154,079,888 140,072,625 118,243,125 103,950,000 99,000,000 88,045,650 80,041,500 90,956,250 86,625,000 82,500,000 11,005,706 10,005,188 9,095,625 17,325,000 16,500,000 11,005,706 10,005,188 9,095,625 8,662,500 8,250,000 110,057,063 100,051,875 109,147,500 112,612,500 107,250,000 44,022,825 15,407,989 28,614,836 40,020,750 14,007,263 26,013,488 9,095,625 3,183,469 5,912,156 -8,662,500 -3,031,875 -5,630,625 -8,250,000 -2,887,500 -5,362,500

Loss/Profit from operations Taxation Loss/Profit after taxation

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MIX & MATCH

Projected Balance Sheet

BALANCE SHEET

2017 EQUITY AND LIABILITIES Total Equity Reserves Accumulated loss

2016

2015

2014

2013

100,000,000 100,000,000 100,000,000 100,000,000 100,000,000 26,013,488 5,912,156 -5,630,625 -5,362,500 126,013,488 105,912,156 94,369,375 94,637,500 100,000,000

NON-CURRENT LIABILITIES Long-term finances - secured CURRENT LIABILITIES Current portion of long term finances Short term running finance - secured Mark-up accrued on borrowings Trade and other payables

18642093 18642093 18642093

1,168,156 1168156 1168156

22,522,500 22522500 22522500

26,812,500 26812500 26812500

20,000 20000 20000

Total Liabilities Total EQUITY AND LIABILITIES

144,655,581 107,080,312 116,891,875 121,450,000 100,020,000

ASSETS NON-CURRENT ASSETS Property, plant and equipment Intangible assets Capital work-in-progress Long term loans and advances Long term deposits Deferred taxation CURRENT ASSETS 30

12,155,063 607,753 24,310,125

11,576,250 578,813 23,152,500

11,025,000 551,250 22,050,000 13,513,500

10,500,000 525,000 21,000,000 18,232,500

10,000,000 500,000 20,000,000

37,072,941

35,307,563

47,139,750

50,257,500

30,500,000

MIX & MATCH Stores and spares Stock-in-trade Trade debts Advances, prepayments and other receivables Cash and bank balances 2,135,405 12,155,063 32516860 60,775,313 107,582,640 2,315,250 11,576,250 2,205,000 11,025,000 1397125 55,125,000 69,752,125 2,100,000 10,500,000 6092500 52,500,000 71,192,500 2,000,000 10,000,000 7500000 20000 50,000,000 69,520,000

57,881,250 71,772,750

Total Assets

144,655,581 107,080,313 116,891,875 121,450,000 100,020,000

Financial Ratios

FINANCIAL RATIOS
2017 Liquidity Ratios Current Ratio Quick Ratio Leverage Ratio Debt to total Assets Ratio Debt to Equity Ratio Long term Debt to Equity Ratio Activity Ratio Inventory Turnover Fixed Assets Turnover Total Assets Turnover Profitability Ratio Gross Profit Margin Operating Profit Margin Net Profit Margin Return on Total Assets (ROA) Return on Stockholders Equity (ROE) Growth Ratios Sales 5.771 5.004 2016 61.441 49.549 2015 3.097 2.510 2014 2.655 2.185 2013 3476.000 2876.000

0.129 0.148 0.000

0.011 0.011 0.000

0.193 0.239 0.000

0.221 0.283 0.000

0.000 0.000 0.000

18.109 5.937 1.522

17.286 5.667 1.869

16.500 3.859 1.556

16.500 3.447 1.427

16.500 5.410 1.650

0.700 0.200 0.130 0.198 0.227

0.700 0.200 0.130 0.243 0.246

0.650 0.050 0.033 0.051 0.063

0.600 -0.050 -0.033 -0.046 -0.059

0.600 -0.050 -0.033 -0.054 -0.054

10.00%

10.00%

5.00%

5.00% N/A

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