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Contents

PART 1. BRIEF INTRODUCTION OF THE INDUSTRY ...................................................................... 3


1.1 INTRODUCTION OF BREWING COMPANY ............................................................................. 3
1.1.1 TYPE OF BREW INDUSTRY ................................................................................................... 6
1.1.2 TYPES OF BEVERAGES .......................................................................................................... 7
1.1.3 TOP BREWERY COMPANIES IN NEPAL ............................................................................ 9
1.1.4 NEPAL BREWERY COMPANIES AN INVESTMENT SECTOR ....................................... 9
1.1.5 SCOPE OF BEVERAGE INDUSTRIES .................................................................................12
1.2 INTRODUCTION OF THE COMPANY .......................................................................................13
1.2.1 HISTORY OF THE COMPANY .............................................................................................14
1.2.2 CORE VALUES .........................................................................................................................14
1.2.3 BOARD OF DIRECTORS ........................................................................................................14
1.2.4 MANAGEMENT TEAM ..........................................................................................................14
1.2.5 BRANCHES OF EVEREST BEER .........................................................................................14
1.2.6 SHARE CAPITAL .....................................................................................................................14
1.2.7 PRODUCT LINE .......................................................................................................................15
1.2.8 SWOT ANALYSIS ....................................................................................................................15
PART 2 PROJECT OVERVIEW .........................................................................................................................16
2.1 Introduction ........................................................................................................................................16
2.1.1 Developing a market strategy ......................................................................................................16
2.1.2 type of marketing strategy...........................................................................................................17
2.1.3 Strategic models ..........................................................................................................................20
2.2 statement of problem .........................................................................................................................21
2.3 Objective of study ...............................................................................................................................21
2.4 Significance of study ...........................................................................................................................21
2.5 Limitations of the study ......................................................................................................................21
2.6 methodology .......................................................................................................................................22
2.6.1 Research introduction ..................................................................................................................22
2.6.2 Research design ...........................................................................................................................23
2.6.3 Source of data ..............................................................................................................................24
2.6.4 data collection techniques ...........................................................................................................24
2.6.5 Data processing procedure ..........................................................................................................24
2.7 Analysis ...............................................................................................................................................24
2.8 Conclusion ...........................................................................................................................................24
2.9 Recommendations ..............................................................................................................................25



PART 1. BRIEF INTRODUCTION OF THE INDUSTRY
1.1 INTRODUCTION OF BREWING COMPANY
A brewery is a dedicated building for the making of beer, though beer can be made at home,
and has been for much of beer's history. A company that makes beer is called either a
brewery or a brewing company.
Beer is the world's most widely consumed alcoholic beverage and the third most popular
drink after water and tea. It is produced by the brewing and fermentation of starches, mainly
derived from cereal grainsthe most common of which is malted barley, although wheat,
maize (corn), and rice are widely used. Most beer is flavored with hops, which add bitterness
and act as a natural preservative, though other flavorings such as herbs or fruit may
occasionally be included. Alcoholic beverages distilled after fermentation, fermented from
non-starch sources such as grape juice (wine) or honey (mead), or fermented from un-malted
starches (rice wine) are not classified as beer.
Some of humanity's earliest known writings refer to the production and distribution of beer:
the Code of Hammurabi included laws regulating beer and beer parlours, and "The Hymn
to Ninkasi," a prayer to the Mesopotamian goddess of beer, served as both a prayer and as a
method of remembering the recipe for beer in a culture with few literate people. Today, the
brewing industry is a global business, consisting of several dominant multinational
companies and many thousands of smaller producers ranging from brewpubs to regional
breweries.
The basics of brewing beer are shared across national and cultural boundaries and are
commonly categorized into two main typesthe globally popular pale lagers, and the
regionally distinct ales, which are further categorised into other varieties such as pale
ale, stout and brown ale. The strength of beer is usually around 4% to 6% alcohol by volume
(abv.) though may range from less than 1% abv. to over 20% abv. In rare cases.
Beer forms part of the culture of various beer-drinking nations and has acquired various
social traditions and associations, such as beer festivals and a rich pub culture involving
activities such as pub crawling or pub games such as bar billiards.
The diversity of size in breweries is matched by the diversity of processes, degrees
of automation, and kinds of beer produced in breweries. A brewery is typically divided into
distinct sections, with each section reserved for one part of the brewing process.
The oldest, still functional, brewery in the world is believed to be the German state-
owned Weihenstephan brewery in the city of Freising, Bavaria. It can trace its history back to
1040 AD (this is disputed by the nearby Weltenburg Abbey brewery, who can trace back its
beer-brewing tradition to at least 1050 AD, claiming the Weihenstephan document is at least
controversial. The Zatec brewery in the Czech Republic claims it can prove that it paid a beer
tax in 1004 AD).
Beer, in some form, can be traced back almost 5000 years to Mesopotamian writings
describing daily rations of beer and bread to workers. Before the rise of production breweries,
the production of beer took place at home and was the domain of women, as baking and
brewing were seen as "women's work". Breweries, as production facilities reserved for
making beer, did not emerge until monasteries and other Christian institutions started
producing beer not only for their own consumption but also to use as payment. This
industrialization of brewing shifted the responsibility of making beer to men.
Early breweries were almost always built on multiple stories, with equipment on higher floors
used earlier in the production process, so that gravity could assist with the transfer of product
from one stage to the next. This layout often is preserved in breweries today, but mechanical
pumps allow more flexibility in brewery design.
Early breweries typically used large copper vats in the brew house, and fermentation and
packaging took place in lined wooden containers. Such breweries were common until the
Industrial, when better materials became available, and scientific advances led to a better
understanding of the brewing process. Today, almost all brewery equipment is made
of stainless steel.
A handful of major breakthroughs have led to the modern brewery and its ability to produce
the same beer consistently.
The steam engine, vastly improved in 1775 by James Watt, brought automatic stirring
mechanisms and pumps into the brewery. It gave brewers the ability to mix liquids more
reliably while heating, particularly the mash, to prevent scorching, and a quick way to
transfer liquid from one container to another. Almost all breweries now use electric-powered
stirring mechanisms and pumps. The steam engine also allowed the brewer to make greater
quantities of beer, as human power was no longer a limiting factor in moving and stirring.
Carl von Linde, along with others, is credited with developing the refrigeration machine in
1871. Refrigeration allowed beer to be produced year-round, and always at the same
temperature. Yeast is very sensitive to temperature, and, if a beer were produced during
summer, the yeast would impart unpleasant flavors onto the beer. Most brewers would
produce enough beer during winter to last through the summer, and store it in underground
cellars, or even caves, to protect it from summer's heat.
The discovery of microbes by Louis Pasteur was instrumental in the control of fermentation.
The idea that yeast was a microorganism that worked on wort to produce beer led to the
isolation of a single yeast cell by Emil Christian Hansen. Pure yeast cultures allow brewers to
pick out yeasts for their fermentation characteristics, including flavor profiles and
fermentation ability. Some breweries in Belgium, however, still rely on "spontaneous"
fermentation for their beers
Breweries today are made predominantly of stainless steel, although vessels often have a
decorative copper cladding for a nostalgic look. Stainless steel has many favorable
characteristics that make it a well-suited material for brewing equipment. It imparts no flavor
in beer, it reacts with very few chemicals, which means almost any cleaning solution can be
used on it (concentrated chlorine [bleach] being a notable exception) and it is very sturdy.
Sturdiness is important, as most tanks in the brewery have positive pressure applied to them
as a matter of course, and it is not unusual that a vacuum will be formed incidentally during
cleaning.
Heating in the brew house usually is achieved through pressurized steam, although direct-fire
systems are not unusual in small breweries. Likewise, cooling in other areas of the brewery is
typically done by cooling jackets on tanks, which allow the brewer to control precisely the
temperature on each tank individually, although whole-room cooling is also common.
Today, modern brewing plants perform myriad analyses on their beers for quality control
purposes. Shipments of ingredients are analyzed to correct for variations. Samples are pulled
at almost every step and tested for [oxygen] content, unwanted microbial infections, and
other beer-aging compounds. A representative sample of the finished product often is stored
for months for comparison, when complaints are received.


1.1.1 TYPE OF BREW INDUSTRY
Microbrewery A late-20th-century name for a small brewery. The term started to be
replaced with craft brewer at the start of the 21st century.
Farmhouse brewery A farmhouse brewery, or farm brewery, is a brewery that primarily
brews its beer on a farm. Crops grown on the farm, such as barley, wheat, and/or hops,
are usually used in the beers brewed. A farmhouse brewery is similar in concept to a
vineyard which grows its own grapes and uses them to make wine.
Gypsy brewery - A company or individual that brews at the facilities of other brewers on
a transient basis.
Brewpub A brewery whose beer is brewed primarily on the same site from which it is
sold to the public, such as a pub or restaurant. If the amount of beer that a brewpub
distributes off-site exceeds 75%, it may also be described as a craft or microbrewery.
Contract brewing company or contract brewery A business that hires another brewery to
produce its beer. The contract brewing company generally handles all of the beer's
marketing, sales, and distribution, while leaving the brewing and packaging to the
producer-brewery (which confusingly is also sometimes referred to as a contract brewer).
Contract breweries have been criticized by traditional brewing companies for avoiding
the costs associated with a physical brewery.
Regional brewery An established term for a brewery that supplies beer in a fixed
geographical location.
Craft brewer' is a term coined by the American Brewers Association; it gives a definition
of "small, independent and traditional": small defined as an "annual production of 6
million barrels of beer or less", independent defined as at least 75% owned or controlled
by a craft brewer, and traditional defined as at least 50% of its volume being all malt
beer. The Brewers Association further groups craft brewers as microbrewery: annual
production less than 15,000 US beer barrels (1,800,000 L); brewpub: sells 25% or more
of its beer on site; regional craft brewery: at least 50% of its volume is all malt beers. Of
the 2,538 breweries in America (as of June 2013), only 55 are not defined as craft
brewers.
Macrobrewery or Megabrewery Terms for a brewery that is too large or economically
diversified to be a microbrewery, which sometimes carry a negative connotation.
A brewmaster (German: braumeister) is a person who is in charge of the production of
beer. The major breweries employ engineerswith
a Chemistry/Biotechnology background. The title of Brewmaster is given to a person
after 2 years of extra study in the art ofbrewing thus earning a degree equivalent to
a master's degree.

1.1.2 TYPES OF BEVERAGES
Beverage can broadly classified as
a. Non- Alcoholic and
b. Alcoholic
a. Alcoholic beverages
Alcoholic beverages that have lower alcohol content (beer and wine) are produced
by fermentation of sugar- or starch-containing plant material; beverages of higher
alcohol content (spirits) are produced by fermentation followed by distillation.
o Beer
The process of making beer defines the finished product. Beer involves a
short (incomplete) fermentation process and a short aging process (a week
or two), typically resulting in an alcohol content of 4%6% ABV. Beer is a
naturally carbonated beverage.
o Wine
Wine involves a longer (complete) fermentation process, and a relatively
long aging process (months or years -- sometimes decades) resulting in an
alcohol content between 718%. Sparkling wine is generally made by
adding a small amount of sugar before bottling, which causes a secondary
fermentation to continue in the bottle.
o Spirits
Spirits contain at least 20% ABV. Liqueurs are characterized by the way in
which their flavors are infused and typically have high sugar content.
b. Non-Alcoholic beverages
Non-Alcoholic beverages that have nil alcohol content are produced by addition of
water as most efficient component


o Carbonated soft drinks
A carbonated drink is a beverage that has carbon dioxide dissolved in it
under certain conditions. The content of carbon dioxide in carbonated
drinks (times of volume at 20 degrees Celsius) is no less than 2.0 times.
This does not apply to drinks that produce carbon dioxide by fermentation.
o Bottled water
Bottled water are the most essential form of beverage that require less
attention for marketing but much attention for water treatment. There are
various methods of water treatment available, such as coagulation, ion-
exchange, reverse osmosis, chlorination and filtration. Coagulation is the
most commonly used form of treatment but due to economies of space and
efforts to maintain an easily automated plant, ion-exchange is also showing
itself to be a very adaptable and popular process.
o Tea and coffee
Tea and coffee is unnoticed sector of the beverage that has its base in the
historic era. If cared properly the industry can florist with its all effort and
can even hold the good part of Nepalese economy. Basically eastern part of
Nepal is perfect for the tee and coffee production. Tea and coffee can be
used as the cash crop in Nepal. Sloped terrains that are unsuitable for other
crops can be used as the area for the production of tea and coffee. Thus,
Tea and coffee production have good scope in Nepal.
o Fruit Juice
Fruit juice industry is the easiest industries from the production point of
view as component for production of juice arrive in Nepal in Powder form.
Only thing done in Nepal is mixing with water and packing in attractive
packs or bottles. Juice industries major problem is water purification and
tight competition with rival industries.




1.1.3 TOP BREWERY COMPANIES IN NEPAL
In spite Nepal is a under-develop country its an attractive market to earn more money Nepal
is a country with huge potential to earn profit because of this reason many brewery
companies have been investing and many brewery has been evolved around the year in
Nepal. Some top brew companies of Nepal are as follow:-
o Gorkha Brewery, Carlsberg and Tuborg (Khetan Group)
o Mount Everest Brewery, San Miguel, Golden Tiger, Guinness (Amatya Group)
o Singha Brewery, Hayward (for export only) (Chaudhary Group)
o United Brewery, Kingfisher, Kanyani Black Label (for export only)
o Himalayan Brewery, Iceberg, (Shahi & Company)
o Nepal Liquors, Bagpiper, McDowell's (UB Group)
o Himalayan Distillery, Royal Stag (Jawalakhel Distillery & Segram)
o Highland Distillery, Challenger, Virgin Rum, Mirnov Vodka (Shaw Wallace and
ICTC)
o Nepal Distillery, Khukuri Rum, John Bull
o Shree Distillery, Mount Everest, King's Pride, Special Number 1 (Maskey Group)
o Jawalakhel Distillery, Ruslan Vodka, Dry Gin, Rangela (JD Group)
o Tribeni Distillery, Sea Pirates, Jay Rum and Dudhia (Rohit Group)
o Sumi Distillery, Gill Mary, Dark Rum

1.1.4 NEPAL BREWERY COMPANIES AN INVESTMENT SECTOR
In terms of investment and contribution to the economy, Nepal's alcohol and beer industry is
the biggest success story of the 1990s. The production of both beer and alcohol has doubled
in the past 10 years, and because there is still unused capacity there is tremendous potential to
grow.
All this is now threatened by Maoists who want a blanket ban on alcohol and beer from 18
August. This is a threat not just to the industry, but because of the revenue it provides to the
government budget and the jobs and ancillary industries it is a serious threat to Nepal's
economy as well. Business confidence in Nepal started falling after political instability since
1995 affected the healthy investments that had been built up after democracy. Today, investor
confidence is at its lowest ebb. The reason: Maoist extortion, threats and the latest action
against breweries and distilleries. Business sources told that unless government works magic,
Nepal's industrial sector which took 50 years to build is going to be face a catastrophic blow.
The Maoists have spearheaded this puritanical anti-alcohol drive through their front
organization, the All Nepal Women's Organization (Revolutionary) which launched its drive
in Chitwan in June, then in Nawalparasi in July. It tried out shorter bans in other townships.
Emboldened by the "success" (businesses simply stopped selling alcohol because they feared
punishment) they now want the government to announce a ban on alcohol throughout Nepal.

Alcohol and beer sales have already dropped to nearly nil in many hill districts such as
Dhading, Gulmi, Palpa, Tanahu, Syangja and Argakhanchi. The Maoist propaganda machine
has also begun warning retailers and distributors, even in Kathmandu Valley, to stop stocking
liquors. Stores in many shops outside the Ring Road are emptying their racks, and it may be a
matter of time before inner-city shops begin doing the same. The reason the Maoists can get
away with it is the total lack of government authority and law enforcement.

"We've been told we will be provided security and have been asked not to stop production,"
says a brewery owner. "Is the government telling us it will post policemen at every retail and
distribution outlet?" Almost all of Nepal's major alcohol and beer brands are sold in
Kathmandu Valley and other major townships along the highways. Barely 20 percent is sold
in the rural areas. Besides, most Nepali indigenous groups need alcohol for their religious and
social rituals. Maoists have in some places even stopped the production of home-made
liquour.

Across Nepal, despite a stagnant economy, alcohol sales till recently were booming. Most of
the demand is met by domestic production, but higher purchasing power in urban areas has
also created space for many international brands, sold mainly through up-market outlets.

Beer and alcohol industries pay about Rs10 million in revenues and taxes every day, adding
up to a whooping Rs5.5 billion annually. The industry employs 5,000 people directly and
another 100,000 indirectly make their living off the alcohol industry from transport and
packaging to printing and even poultry. Poultry sales and prices have come down by as much
as 50 percent in Chitwan, since the ANWO launched its campaign. The recycling industry,
which does business worth about Rs500 million annually, revolves mainly on buying and re-
selling beer bottles.
The Maoist women may have a point when they say that they are trying to address the
negative impact of excessive alcohol consumption, but that has to do more with awareness at
the consumer level and government controls, rather than a total ban. They want the industry
to shift investment into other productive sectors in 15 days, or else. It is clear that this
uncompromising stance hides a strategy to directly deprive the government of revenue from
alcohol taxes.

"How can you shift your investment in 15 days, this is just not rational," said an angry
brewer, who like most people interviewed for this article did not want to be quoted by name.
His brewery has seen sales drop by as much as 30 percent in the past few months. What
puzzles many political and business analysts is why the Maoists would take on such an
unpopulist cause. Aside from women's groups who have always been agitating against
alcoholism, most do not agree with a blanket ban on alcohol.

Lax enforcement is partly to blame for alcohol abuse in Nepal. There is almost no monitoring
of licenses and sales, and even a minor can walk into a store and walk away with a crate of
the most potent liquor available in the market. There are laws that allow alcohol sales only
between 2pm and 8pm, bans sales to minors, and stipulates that such stores should be at least
100 meters away from schools, temples and other places frequented by children. The
government had no interest in monitoring because it takes away as much as 70 percent of the
price of a bottle of beer or spirit as tax.

Any disruption of production will also affect the banks that have invested about Rs1 billion in
the two industries-about Rs500 million in breweries, about Rs250 million in distilleries and
another Rs250 million in ancillary industries. Banks saw a lucrative industry which has
shown steep growth since 1990/91, and they cannot be blamed.

Nepal has five breweries which meet local demand and also produce for export to India.
There are over 30 distillers producing hundreds of brands, including the low-end ones sold in
plastic pouches. The government banned production of the easy-to-use pouches last year, but
the product is still available in the market-sold as old stock. Most would agree that it is this
lax control and monitoring that should be stopped, not the production of beers and spirits.

The alcohol industry also has backward linkages with sugarcane farmers along the tarai who
sell cane to sugar factories, which in turn sell molasses to distilleries. The price of both cane
and sugar are determined by the money sugar factories make by selling molasses-a major by-
product of sugar making.

Nepali beer makers don't use food grains for production but use imported malt. Stopping beer
production could lead to food grains being used for backyard distilleries, which over the long
run could lead to food shortages.

1.1.5 SCOPE OF BEVERAGE INDUSTRIES
Beverage covers a wide range of liquor and drinks. So beverage industries is a big
industry associated directly with the publics food and drinking habit.
Todays consumers are more or less health conscious and equally needs the
refreshment in their daily life. Beverage products are basically for the refreshments
and enjoyments from the daily drinking habit. People also want their health upgrade
or in proper condition while they enjoy or refresh themselves by drinks. And many
of the beverages have fulfilled this demand though some alcoholic drinks are not
good for health. So, beverage industries and their products has been an inevitable
essence of modern society.
Traditional drinks like tea, coffee and traditional wines are taken the symbols of
human civilization and they are being used in almost every society around the globe
from the very ancient periods. These drinks are the part of our daily drinking habit.
Nonalcoholic soft drinks and alcoholic hard drinks are the modern concept of
drinking habit which is used all over the world in very wide range. These all type of
drinks has been a civilization symbol today. This signifies the scope of beverages
industries and their product.
Fluid intake is very essential for health. Water makes up the 70% of bodys weight
and contributes towards many of the bodily function. Vitamins and minerals are
equally important for good health. The beverages like juices and soft drinks, mineral
waters are designed to upgrade the health of the consumers while providing the
refreshment as they consist vitamins and minerals. Hence these all symbolize the
scope of beverage industries and their products.



1.2 INTRODUCTION OF THE COMPANY
Mt. Everest Brewery Pvt. Ltd (MEBPL) was established in the year 1990. MEBPL is a
flagship company of Amatya Enterprises Group (AE Group), a leading Industrial and Trading
House of Nepal.
The company has carved many milestones in the brewing history of Nepal through
continuous efforts by introducing new brands in local and International markets to satisfy and
quench the taste and thirst of the young achievers of Nepal and abroad. MEBPL has two very
popular world class brands in its fold namely Golden Tiger X-tra Strong Beer and Everest
Premium Lager Beer.
One of the prime brands of MEBPL, Golden Tiger X-tra Strong Beer was introduced in
September, 1994 and became a very popular brand across the country. With its rich flavour
and unique world class taste, it has made niche in the strong segment. It has become a truly
pure ethnic most popular number 1 brand in its segment for the last 15 years. Another prime
brand of MEBPL, Everest Premium Lager Beer was introduced in 2003 to commemorate
the 50th Golden Jubilee celebration of the historic conquest of Mt. Everest by Sir Edmond
Hillary and Tenzing Norgay Sherpa on the 29th May, 1953. Launched on 26th May, 2003 as
a special commemoration and regular edition beers of the brand by associating with the
renowned and outstanding celebrities in the field of Mountaineering, MEBPL has already
produced the beer with the labels having historic photograph of Mr. Tenzing Norgay Sherpa.
With one of the finest and best ingredients and the best brewing technology, it has, within 6
years, received wide accolades from consumers as one of the Great Nepalese Beer, and world
class in its quality and great taste. People from Nepal call it "Everest, It's our beer". That is
why, Everest Premium Lager Beer has also been exported to Japan and United Kingdom.
Now in the series, labels with photograph of the 12th time Mt. Everest climber Mr. Nima
Gombu Sherpa has already been introduced in the Nepalese market. MEBPL acknowledges
its gratitude to its strong consumer base for their full support in the past and present for the
brands Everest and Golden Tiger beers. The company calls upon the consumers from all over
the world to enjoy the Nepal world class, truly the best ethnic beers for their great taste and
quality.



1.2.1 HISTORY OF THE COMPANY

1990- Mt. Everest Brewery Pvt. Ltd (MEBPL) was established in the year 1990.
1994- One of the prime brands of MEBPL, Golden Tiger X-tra Strong Beer was introduced in
September
2003- On 26th May, as a special commemoration and regular edition beers of the brand by
associating with the renowned and outstanding celebrities in the field of Mountaineering,
MEBPL has already produced the beer with the labels having historic photograph of Mr.
Tenzing Norgay Sherpa.
2009- Most popular number 1 brand in brewery segment

1.2.2 CORE VALUES


1.2.3 BOARD OF DIRECTORS


1.2.4 MANAGEMENT TEAM


1.2.5 BRANCHES OF EVEREST BEER


1.2.6 SHARE CAPITAL



1.2.7 PRODUCT LINE
o Everest beer
o Golden tiger
1.2.8 SWOT ANALYSIS
(I)Strength
The strengths of a business or organization are positive elements, something they do well and
is under their control. The strengths of a company or group and value to it, and can be what
gives it the edge in some areas over the competitors. The following section will outline main
strengths of Everest beer
o Nepal - An Attractive Market for Spirits
o Favorable Demographics

(ii) Weakness
Weaknesses of a company or organization are things that need to be improved or perform
better, which are under their control. Weaknesses are also things that place you behind
competitors, or stop you being able to meet objectives. This section will present main
weaknesses of Everest beer.
o Multiplicity of Taxes
o Ban on Advertising
o Inter State Transfer Fees on Molasses
o Limited SKUs Result in Slower Distribution Expansion

(iii) Opportunities
Opportunities are external changes, trends or needs that could enhance the business or
organizations strategic position, or which could be of a benefit to them. This section will
outline opportunities that Everest beer is currently facing.
o Low Per Capita Consumption of Alcohol in Nepal -Room for Growth
o Rising Middle Class
o Increase in Disposable Income and Discretionary Spending

(iv)Threats
Threats are factors which may restrict, damage or put areas of the business or organization at
risk. They are factors which are outside of the company's control. Being aware of the threats
and being able to prepare for them makes this section valuable when considering contingency
plans and strategies. This section will outline main threats Everest beer is currently facing.
o Religious Influence
o Increasing Competition
o Increasing Raw Material Costs
o Inappropriate and Delay in Government Policies

PART 2 PROJECT OVERVIEW
2.1 Introduction
Marketing strategy is defined by David Aaker as a process that can allow an organization to
concentrate its resources on the optimal opportunities with the goals of increasing sales and
achieving a sustainable competitive advantage. Marketing strategy includes all basic and
long-term activities in the field of marketing that deal with the analysis of the strategic initial
situation of a company and the formulation, evaluation and selection of market-oriented
strategies and therefore contribute to the goals of the company and its marketing objectives.
2.1.1 Developing a market strategy
Marketing strategies serve as the fundamental underpinning of marketing plans designed to
fill market needs and reach marketing objectives.[3] Plans and objectives are generally tested
for measurable results. Commonly, marketing strategies are developed as multi-year plans,
with a tactical plan detailing specific actions to be accomplished in the current year. Time
horizons covered by the marketing plan vary by company, by industry, and by nation,
however, time horizons are becoming shorter as the speed of change in the environment
increases.[4] Marketing strategies are dynamic and interactive. They are partially planned and
partially unplanned. See strategy dynamics. Marketing strategy needs to take a long term
view, and tools such as customer lifetime value models can be very powerful in helping to
simulate the effects of strategy on acquisition, revenue per customer and churn rate.
Marketing strategy involves careful and precise scanning of the internal and external
environments.[5] Internal environmental factors include the marketing mix and marketing
mix modeling, plus performance analysis and strategic constraints.[6] External environmental
factors include customer analysis, competitor analysis, target market analysis, as well as
evaluation of any elements of the technological, economic, cultural or political/legal
environment likely to impact success.[4] A key component of marketing strategy is often to
keep marketing in line with a company's overarching mission statement.[7]
Once a thorough environmental scan is complete, a strategic plan can be constructed to
identify business alternatives, establish challenging goals, determine the optimal marketing
mix to attain these goals, and detail implementation.[4] A final step in developing a
marketing strategy is to create a plan to monitor progress and a set of contingencies if
problems arise in the implementation of the plan.
Marketing Mix Modeling is often used to help determine the optimal marketing budget and
how to allocate across the marketing mix to achieve these strategic goals. Moreover, such
models can help allocate spend across a portfolio of brands and manage brands to create
value.
2.1.2 type of marketing strategy
Marketing strategies may differ depending on the unique situation of the individual business.
However there are a number of ways of categorizing some generic strategies. A brief
description of the most common categorizing schemes is presented below:
Strategies based on market dominance - In this scheme, firms are classified based on their
market share or dominance of an industry. Typically there are four types of market
dominance strategies:

Leader
Challenger
Follower
Nicher
According to Shaw, Eric (2012). "Marketing Strategy: From the Origin of the Concept to the
Development of a Conceptual Framework". Journal of Historical Research in Marketing.
there is a framework for marketing strategies.
Market introduction strategies:-"At introduction, the marketing strategist has two
principle strategies to choose from: penetration or niche" (47).
Market growth strategies:-"In the early growth stage, the marketing manager may choose
from two additional strategic alternatives: segment expansion (Smith, Ansoff) or brand
expansion (Borden, Ansoff, Kerin and Peterson, 1978)" (48).
Market maturity strategies:-"In maturity, sales growth slows, stabilizes and starts to
decline. In early maturity, it is common to employ a maintenance strategy (BCG), where
the firm maintains or holds a stable marketing mix" (48).
Market decline strategies:-At some point the decline in sales approaches and then begins
to exceed costs. And not just accounting costs, there are hidden costs as well; as Kotler
(1965, p. 109) observed: 'No financial accounting can adequately convey all the hidden
costs.' At some point, with declining sales and rising costs, a harvesting strategy becomes
profitable and a divesting strategy necessary" (49).
Early marketing strategy concepts were:
Borden's "marketing mix":-In his classic Harvard Business Review (HBR) article of the
marketing mix, Borden (1964) credits James Culliton in 1948 with describing the
marketing executive as a 'decider' and a 'mixer of ingredients.' This led Borden, in the
early 1950s, to the insight that what this mixer of ingredients was deciding upon was a
'marketing mix'" (34).
Smith's "differentiation and segmentation strategies":-In product differentiation,
according to Smith (1956, p. 5), a firm tries 'bending the will of demand to the will of
supply.' That is, distinguishing or differentiating some aspect(s) of its marketing mix
from those of competitors, in a mass market or large segment, where customer
preferences are relatively homogeneous (or heterogeneity is ignored, Hunt, 2011, p. 80),
in an attempt to shift its aggregate demand curve to the left (greater quantity sold for a
given price) and make it more inelastic (less amenable to substitutes). With segmentation,
a firm recognizes that it faces multiple demand curves, because customer preferences are
heterogeneous, and focuses on serving one or more specific target segments within the
overall market" (35).
Dean's "skimming and penetration strategies":-"With skimming, a firm introduces a
product with a high price and after milking the least price sensitive segment, gradually
reduces price, in a stepwise fashion, tapping effective demand at each price level. With
penetration pricing a firm continues its initial low price from introduction to rapidly
capture sales and market share, but with lower profit margins than skimming" (37).
Forrester's "product life cycle (PLC)":-"The PLC does not offer marketing strategies, per
se; rather it provides an overarching framework from which to choose among various
strategic alternatives" (38).
There are also corporate strategy concepts like:
Andrews' "SWOT analysis":-"Although widely used in marketing strategy, SWOT
(also known as TOWS) Analysis originated in corporate strategy. The SWOT concept, if
not the acronym, is the work of Kenneth R. Andrews who is credited with writing the text
portion of the classic: Business Policy: Text and Cases (Learned et al., 1965)" (41).
Ansoff's "growth strategies":-"The most well-known, and least often attributed, aspect
of Igor Ansoff's Growth Strategies in the marketing literature is the term 'product-market.'
The product-market concept results from Ansoff juxtaposing new and existing products
with new and existing markets in a two by two matrix" (41-42).
Porter's "generic strategies":-Porter generic strategies strategy on the dimensions of
strategic scope and strategic strength. Strategic scope refers to the market penetration
while strategic strength refers to the firm's sustainable competitive advantage. The
generic strategy framework (porter 1984) comprises two alternatives each with two
alternative scopes. These are Differentiation and low-cost leadership each with a
dimension of Focus-broad or narrow. ** Product differentiation ** Cost leadership
Market segmentation
Innovation strategies This deals with the firm's rate of the new product development
and business model innovation. It asks whether the company is on the cutting edge of
technology and business innovation. There are three types:
Pioneers
Close followers
Late followers
Growth strategies In this scheme we ask the question, "How should the firm grow?
There are a number of different ways of answering that question, but the most common
gives four answers:
Horizontal integration
Vertical integration
Diversification
Intensification
These ways of growth are termed as organic growth. Horizontal growth is whereby a firm
grows towards acquiring other businesses that are in the same line of business for example a
clothing retail outlet acquiring a food outlet. The two are in the retail establishments and their
integration lead to expansion. Vertical integration can be forward or backward. Forward
integration is whereby a firm grows towards its customers for example a food manufacturing
firm acquiring a food outlet. Backward integration is whereby a firm grows towards its
source of supply for example a food outlet acquiring a food manufacturing outlet.
A more detailed scheme uses the categories: Miles, Raymond (2003). Organizational
Strategy, Structure, and Process. Stanford: Stanford University Press. ISBN 0-8047-4840-3.
Prospector
Analyzer
Defender
Reactor
Marketing warfare strategies This scheme draws parallels between marketing strategies
and military strategies.
BCG's "growth-share portfolio matrix" "Based on his work with experience curves (that also
provides the rationale for Porter's low cost leadership strategy), the growth-share matrix was
originally created by Bruce D. Henderson, CEO of the Boston Consulting Group (BCG) in
1968 (according to BCG history). Throughout the 1970s, Henderson expanded upon the
concept in a series of short (one to three page) articles in the BCG newsletter titled
Perspectives (Henderson, 1970, 1972, 1973, 1976a, b). Tremendously popular among large
multi-product firms, the BCG portfolio matrix was popularized in the marketing literature by
Day (1977)" (45).
2.1.3 Strategic models
Marketing participants often employ strategic models and tools to analyze marketing
decisions. When beginning a strategic analysis, the 3Cs can be employed to get a broad
understanding of the strategic environment. An Ansoff Matrix is also often used to convey an
organization's strategic positioning of their marketing mix. The 4Ps can then be utilized to
form a marketing plan to pursue a defined strategy. Marketing Mix Modeling is often used to
simulate different strategic flexing go the 4Ps. value models can help simulate long term
effects of changing the 4Ps, e.g.; visualize the multi-year impact on acquisition, churn rate,
and profitability of changes to pricing. However, 4Ps have been expanded to 7 or 8Ps to
address the different nature of services.
There are many companies especially those in the Consumer Package Goods (CPG) market
that adopt the theory of running their business centered on Consumer, Shopper & Retailer
needs. Their Marketing departments spend quality time looking for "Growth Opportunities"
in their categories by identifying relevant insights (both mindsets and behaviors) on their
target Consumers, Shoppers and retail partners. These Growth Opportunities emerge from
changes in market trends, segment dynamics changing and also internal brand or operational
business challenges. The Marketing team can then prioritize these Growth Opportunities and
begin to develop strategies to exploit the opportunities that could include new or adapted
products, services as well as changes to the 7Ps.
2.2 statement of problem


2.3 Objective of study
anmitrasmail@yahoo.com 9801136217

2.4 Significance of study

2.5 Limitations of the study

2.6 methodology
2.6.1 Research introduction

Research comprises "creative work undertaken on a systematic basis in order to increase the
stock of knowledge, including knowledge of man, culture and society, and the use of this
stock of knowledge to devise new applications. It is used to establish or confirm facts,
reaffirm the results of previous work, solve new or existing problems, support theorems, or
develop new theories. A research project may also be an expansion on past work in the field.
To test the validity of instruments, procedures, or experiments, research may replicate
elements of prior projects, or the project as a whole. The primary purposes of basic
research (as opposed to applied research) are documentation, discovery, interpretation, or
the research and development (R&D) of methods and systems for the advancement of
human knowledge. Approaches to research depend on epistemologies, which vary
considerably both within and between humanities and sciences. There are several forms of
research: scientific, humanities, artistic, economic, social, business, marketing, practitioner
research, etc.
Research has been defined in a number of different ways.
A broad definition of research is given by Martyn Shuttleworth - "In the broadest sense of the
word, the definition of research includes any gathering of data, information and facts for the
advancement of knowledge."
Another definition of research is given by Creswell who states that - "Research is a process of
steps used to collect and analyze information to increase our understanding of a topic or
issue". It consists of three steps: Pose a question, collect data to answer the question, and
present an answer to the question.
The Merriam-Webster Online Dictionary defines research in more detail as "a studious
inquiry or examination; especially : investigation or experimentation aimed at the discovery
and interpretation of facts, revision of accepted theories or laws in the light of new facts, or
practical application of such new or revised theories or lawsness, marketing, practitioner
research, etc.
(a)Steps involved in conducting research
Research is often conducted using the hourglass model structure of research. The hourglass
model starts with a broad spectrum for research, focusing in on the required information
through the method of the project (like the neck of the hourglass), then expands the research
in the form of discussion and results. The major steps in conducting research are:
o Identification of research problem
o Literature review
o Specifying the purpose of research
o Determine specific research questions or hypotheses
o Data collection
o Analyzing and interpreting the data
o Reporting and evaluating research
o Communicating the research findings and, possibly, recommendations
The steps generally represent the overall process, however they should be viewed as an ever-
changing iterative process rather than a fixed set of steps.

Most researches begin with a
general statement of the problem, or rather, the purpose for engaging in the study.

The
literature review identifies flaws or holes in previous research which provides justification for
the study. Often, a literature review is conducted in a given subject area before a research
question is identified. A gap in the current literature, as identified by a researcher, then
engenders a research question. The research question may be parallel to the hypothesis. The
hypothesis is the supposition to be tested. The researcher(s) collects data to test the
hypothesis. The researcher(s) then analyzes and interprets the data via a variety of statistical
methods, engaging in what is known as Empirical research. The results of the data analysis in
confirming or failing to reject the Null hypothesis are then reported and evaluated. At the end
the researcher may discuss avenues for further research.
Rudolph Rummel says, "... no researcher should accept any one or two tests as definitive. It is
only when a range of tests are consistent over many kinds of data, researchers, and methods
can one have confidence in the results."
2.6.2 Research design

2.6.3 Source of data
Primary Data: - primary data is also known as raw data. Raw data has not been subjected to
processing or any other manipulation. Primary data is the information in first hand. The data
is collected by researcher in order to analysis the research. Primary data is collected from the
field organization selected that is from the employees, customers and observing the real life
situations. The main benefit of primary data is collected only for the specific study so it is
more relevant to the study.bt the s disadvantage for the collection of primary data it involves
more cost and time.
Secondary Data: - Secondary data, is data collected by someone other than the user.
Common sources of secondary data for social science include censuses, organizational
records and data collected through qualitative methodologies or qualitative research. Primary
data, by contrast, are collected by the investigator conducting the research.
Secondary data analysis saves time that would otherwise be spent collecting data and, particularly in the
case of quantitative data, provides larger and higher-quality databases that would be unfeasible for any
individual researcher to collect on their own. In addition, analysts of social and economic change consider
secondary data essential, since it is impossible to conduct a new survey that can adequately capture past
change and/or development
2.6.4 data collection techniques
Secondary data: - secondary data are those data which has previously been studied or found by
a researcher and others uses that information. Various data like advertisement cost, total cost
and company history has been attained from different sources such as company website
,company balance sheets etc.
2.6.5 Data processing procedure

2.7 Analysis

2.8 Conclusion

2.9 Recommendations