Table of Contents

Introduction.....................................................................................................2
Significance of the Study.................................................................................2
Methodology of the Study................................................................................3
Limitation of the study.....................................................................................4
What is Integration..........................................................................................5
Business integration........................................................................................5
Benefits of business integration......................................................................5
What is Technology Integration........................................................................6
What is Supply Chain Management.................................................................6
What is Supply Chain Integration....................................................................6
How does a company Integrate Supply Chain Management...........................7
Integrated Supply Chain Maximize Efficiencies and Savings...........................8
Advantages of Integrated Supply Chain in Business........................................8
About Super Shop Business in Bangladesh......................................................9
Company overview of Agora..........................................................................10
Corporate Information of Agora.....................................................................11
Supply chain of Agora....................................................................................11
Supply chain of Agricultural product..............................................................12
Supply chain of consumer goods...................................................................13
Supply chain of imported goods....................................................................13
Supply chain of Private Brands......................................................................14
Process view of supply chain of Agora...........................................................14
1. Cycle view.............................................................................................15
2. Push/Pull process and Boundary...........................................................15
Supply Chain Integration of Agora.................................................................16
Management of Supply Chain........................................................................16
Drivers in Supply Chain Management............................................................17
Supply chain Strategy of Agora.....................................................................17
Key reasons for this success..........................................................................18
Communication strategy of Agora.................................................................19
SWOT Analysis...............................................................................................20
Conclusion.....................................................................................................22
Reference.......................................................................................................23

Introduction
To meet the demands of todays marketing environment, organizations are looking
to service initiatives as a means to create or sustain competitive advantage. A
strong brand provides the leadership framework and umbrella to focus all
marketing and resources in a manner that will generate the greatest results. Now
a days retailers are turning to brand strategies to strengthen their marketing
programs in an environment that is increasingly characterized by accelerating
rate of changes, variety of products, extreme competitions and superior customer
services etc.
Super market or super shop sector is expanding hand over different marketing
events every day. As the demand for better service increases day by day, they are
coming with different innovative ideas & products. A successful super market not
only depends on how it serves its customers other than its competitors but also
how it supply chain strongly and work effectively and efficiently. A typical supply
chain refers the variety of stages. These supply chain stages include customers,
retailers, wholesalers or distributors, manufactures and component of raw
materials suppliers. In Bangladesh, Rahimafrooz first introduced traditional super
market named Agora, though they are the first comer in this business category. A
man gifted with an inherent entrepreneurial sense, Late A. C. Abdur Rahim, the
founder of Rahimafrooz started a trading house in 1973, which continued to
expand in scope and nature as time went along. In 2000, Agora was introduced to
the world.
This report has been prepared to study on the Supply Chain Management of
Agora as a part of assignment of the course Managing Supply Chain under
supervision of Dr. Md. Akram Hossain.

Significance of the Study

The objective of the report is to study the integrated supply chain management
system of Agora. Its also important for us to know the difference between the
traditional markets supply chain and supermarkets supply chain. My honorable
course teacher assigns me to prepare a supply chain report of any Bangladeshi
operating company so that I can have practical knowledge for my future job
career. As a part of course and also my personal intention I chose Agora for study.
Other objectives of this report are,
To know business integration technology
To know supply chain integration
2

To
To
To
To
To
To
To
To
To
To
To
To
To
To
To

know the supply chain of supermarket

know practical knowledge of supply chain management
know Agoras business process
explore the reasons behind the emergence of Agora
know Agoras marketing strategy
know Agoras organizational structure
know the product of their store
know Agoras additional services
know Agoras product promotion strategy
know Agoras communication structure
know Agoras information system
know Agoras security system
know Agoras control system
know Agoras strength, weakness, opportunity & threats
make a recommendation for Agora

Methodology of the Study

The study is a descriptive in nature, which was conducted by collecting primary
and secondary data. The study tries to focus on the supply chain management
practice of branded retail super chain shop and how the customer perception
about the super shop. In preparing a report about the topic, it is a difficult and
complicated task and no single method is appropriate for preparing the report. For
these reasons, a number of procedures were followed to prepare a meaningful
report. Data have been collected from both primary and secondary sources. The
methodology of the task can be depicted as follows:
Primary sources of data: Primary data is the type of data that is collected for the
research purpose at hand. For the purpose of this study I have been collected
primary data through informal conversation with the management (Officers &
stuff), conversation with customers and the observations of various super shops.
The sources are Customers attitude towards Agora
Agoras Sales Person Behavior
Checkout Counter System
Flyers & Banners placement for discount
Salespersons Comments
Conversation with Customer Manager

Secondary sources of data: Secondary data is the type of data that is collected for
addressing the other purpose, not the present purpose. Specially published
articles in newspapers and other journals. Secondary sources include Agoras Web
Competitors Report
Newspaper Articles
Other Web Articles

Limitation of the study

In every term paper or research work there exist some limitations that the
researcher faces while conducting different activities. In the process of the
research work, I also face some limitations that hampered the actual findings and
analysis of my research work. As I am a student they dont to give me the exact
information about Agora and its activities. Other notable limitations are Employees of Agora are usually busy with their daily work and activities, so it is
quite impossible sometime to get time from them for getting information about
the report.
The full supply chain of Agora is not allowed to be distributed to anyone by the
employees.
Sometimes the authority does not provide their internal information which is
very difficult to collect from any other sources.
During the time of queries, the authority of Agoras some outlet shows
negative attitude in fear of losing their customer.
In the website, information about Agora is not sufficient.

What is Integration
Integration is the act of bringing together smaller components into a single
system that functions as one. In an IT context, integration refers to the end result
of a process that aims to stitch together different, often disparate, subsystems so
that the data contained in each becomes part of a larger, more comprehensive
system that, ideally, quickly and easily shares data when needed. This often
requires that companies build a customized architecture or structure of
applications to combine new or existing hardware, software and other
communications.

Business integration
Business integration is a strategy whose goal is to synchronize information
technology (IT) and business cultures and objectives and align technology with
business strategy and goals. Business integration is a reflection of how IT is being
absorbed as a function of business.

Benefits of business integration

1. Improved Customer Service: The quicker and more efficiently you address

your customers needs, the more likely they are to come back and rave about
your excellent customer service. With an integrated business, you can
easily address enquiries by having all the information you need on hand right
when you need it.
2. Increase Sales: A properly integrated system can make it easier for

customers to purchase your products or services. Whether its an in-store

kiosk, online store or online booking calendar, anything that makes your
current sales system operate more smoothly can have a huge impact on
your overall sales.
3. Provide a Better Work Environment: Many people think that increasing the
technology used in a business integration project means you need fewer
workers. In my experience, it actually means that there is more time that can
be spent on non-tech activities like face-to-face customer interaction. This
makes it easier for staff to do their work and clears up time for more
meaningful work.
5

4. Have More Time: Integrating enables you to run your operations more

efficiently, saving time. What used to take two days to do could now be done
in one or less!
5. Make More Money: The trick with integrated systems is that everything

needs to work together. That includes the financial system, having an efficient
accounting system that ties into your existing processes will help you track
your pennies properly so youll know where to spend them later.

What is Technology Integration

Technology integration is the approach that companies use to choose and refine
the technologies employed in a new product, process, or service. Access to great
research is still immensely important, but if a company selects technologies that
dont work well together, it can end up with a product that is hard to manufacture,
is late getting to market, and does not fulfill its envisioned purpose. An effective
technology-integration process starts in the earliest phases of an R&D project and
provides a road map for all design, engineering, and manufacturing activities. It
defines the interaction between the world of research and the worlds of
manufacturing and product application.

What is Supply Chain Management

Supply chain management (SCM) is the oversight of materials, information, and
finances as they move in a process from supplier to manufacturer to wholesaler to
retailer to consumer. Supply chain management involves coordinating and
integrating these flows both within and among companies. It is said that the
ultimate goal of any effective supply chain management system is to reduce
inventory (with the assumption that products are available when needed). As a
solution for successful supply chain management, sophisticated software systems
with Web interfaces are competing with Web-based application (ASP) who
promises to provide part or all of the SCM service for companies who rent their
service.
The concept of Supply Chain Management is based on two core ideas. The first is
that practically every product that reaches an end user represents the cumulative
effort of multiple organizations. These organizations are referred to collectively as
the supply chain.

The second idea is that while supply chains have existed for a long time, most
organizations have only paid attention to what was happening within their four
walls. Few businesses understood, much less managed, the entire chain of
activities that ultimately delivered products to the final customer. The result was
disjointed and often ineffective supply chains.

What is Supply Chain Integration

When eBusiness is integrated with ERP, the whole extended system provides a
vision of business processes that span multiple businesses and enterprises. In the
most ideal case companies should be able to connect disparate platforms,
applications and data formats across the value chain, including not only suppliers
but customers as well. Furthermore, companies should retain the flexibility to
change and add functions to applications as business needs evolve. Companies
need to be able to adapt their ERP systems to the emerging world of eBusiness.
Supply chain integration is a close alignment and coordination within a supply
chain, often with the use of shared management information systems. A supply
chain is made up of all parties involved in fulfilling a purchase, including raw
materials, manufacturing the product, transporting completed items and
supporting services.
Supply chain refers to all inputs required to produce a product and fulfill a
purchase. For example, a company that assembles computers would need to
purchase components such as circuit boards. The circuit board company would
need to purchase materials to produce them, including wire and silicon. All of
these materials and components form part of the company's supply chain of
materials needed to produce the end result of a working computer. Once the
computer is built, a trucking company may take it to a wholesaler warehouse, and
then it may be delivered to a retail store for sale or shipped directly to an end
user. Every step - from sourcing of raw materials to final delivery to the customer is considered part of the supply chain of the computer.
Technological advances, particularly in information technology, coupled with
globalization, the rise of complexity and shrinking time horizons are driving orderof-magnitude changes in the competitive demands on strategic management of
business and on the management of supply chains. These competitive pressures
have a strong direct effect on supply chain strategy and integration.

How does a company Integrate Supply Chain Management

There are several different levels of supply chain integration. Generally, the first
step in integration would be to select specific vendors to provide specific inputs,
and develop an agreement for them to provide a set amount of inputs during the
year at a set cost. This ensures the company has the materials it needs to
produce its expected output during the year. In case of Agora, this company might
sign a contract with a large supplier, for example, that requires it to deliver a
specific quantity at specific times during the year and sets a price that will be in
effect during the contract.
A higher level is called vertical integration, which is when the supply chain of a
company is actually owned by the company. For example, Agora producing some
of its own brand products.

Integrated Supply Chain Maximize Efficiencies and Savings

An integrated supply chain allows manufacturers to look into business processes
across multiple suppliers and across disparate platforms to follow materials and
components wherever they are -- expanding traditional supply chain management
beyond tracking materials, information, and finances as they move from supplier
to manufacturer.
supply chain integration will include representatives from sales, engineering,
logistics, and purchasing to verify customer needs, confirm deliverability, and iron
out transportation, the C-level executive overseeing purchasing must back the
project.
Integrated supply chains provide the ability offer customers shorter lead times
and lower inventory costs. Integrating supply chains can help pinpoint where
problems are occurring along the process, enabling businesses to take surgical
action and further reduce costs to improve the final price.
Integrating supply chains helps businesses "look beyond tactical order fulfillment
and gain a better understanding of customer wishes for customized products and
services -- which can help the company differentiate its offerings and increase
profits."
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Advantages of Integrated Supply Chain in Business

A tightly integrated supply chain for a small or large business is a network of
businesses and contractors that provide raw materials, transportation,
manufacturing, distribution, warehousing and retailing services. Businesses rely
on efficient supply chains to provide a high level of customer service, while
meeting sales and profit targets. Information technologies, including enterprise
resource planning systems, are at the core of integrated supply chains.
Flexibility
Tight supply chain integration gives management operational flexibility to respond
rapidly to external events, such as the actions of competitors and changes in
customer demand. Companies can gather intelligence through their supply
chains, which allows them to be generally aware of what their competitors are
planning months in advance. For example, if a competitor launches a new
product, an electronics manufacturer could leverage its integrated supply chain to
source the parts, activate a marketing plan and rush a prototype from the design
stage to the launch stage in a few weeks.
Inventory Management
Integrated supply chains improve inventory management, which means fewer
overstocked and under stocked conditions. Overstocking may result in higher
storage costs and product obsolescence, while under stocking could mean losing
customers to competitors. Tight integration means that retailers can quickly
adjust their inventory orders weeks or months in advance of anticipated changes
in customer demand to ensure that the right amount of stock is on hand. Speed is
essential in global supply chains because raw materials and finished goods are
often transported over long distances. Tightly integrated supply chains also
facilitate just-in-time manufacturing, in which companies assemble and
manufacture products as the orders come in.
Profit Margins
Operating flexibility and tight inventory management lead to a lower cost
structure, which results in higher profit margins. By responding rapidly to changes
in the competitive and customer environments, small businesses are able to
remain competitive and maintain or grow their top and bottom lines. Tight
integration provides companies with visibility not only into their own operations
but also into their suppliers' operations, which allows for collaborations on
reducing costs and driving margins.
9

Considerations
Tightly integrated supply chains can serve as early warning systems. For example,
if a supplier is experiencing cash flow problems, customers will find out quickly
and they can start making alternative arrangements. Some customers may step
in and loan the supplier some working capital so that they can continue operating.
Supply chain integration usually involves upfront costs and disruptions in
operations as people are trained on new information systems.

About Super Shop Business in Bangladesh

The super stores are currently focused in food retailing, ranging from a wide
variety of fresh vegetable, fruits, meat and fish to grocery, bakery, dairy, personal
and household products. It provides its customers with guaranteed quality and
freshness. It carries many varieties of products and has plans to expand its
product portfolio to carry other ranges of consumer products in the coming years.
It buys products direct from the growers, which benefits the latter as well as the
customers. The products are procured under the direct supervision of its officials
who maintain strict procurement and marketing standards. Products on the
shelves are regularly monitored for expiry dates. About 2,000 customers use
every day in every stores. Customers prefer using both cash and credit cards. The
super shops are open from 8 am to 9 pm every day.

Company overview of Agora

The name of Agora is entwined with the glory of-the Agoras marketing policy to
create a better environment for consumers. The success was immediate as there
was a demand for such business in the local market. Agora is a Dhaka-based
supermarket chain. It is the largest retailer, both by local sales and by domestic
market share, and the largest retailer in Dhaka leaving behind Shwapno, Meena
Bazar, Nandan Mega Shop, Pacific, Pick and Pay etc, Shop & Save and others.
Rahimafrooz Superstores Ltd. (RSL) launched Agora the first ever retail chain in
Bangladesh in 2001. Agora promises a valuable shopping experience that
provides quality and fresh products at the right price. It aims to consistently
provide a remarkably satisfying and valuable shopping experience through a
business that improves the quality of life for customers and team members.
With outlets in major locations throughout Dhaka, and many more being planned
in Dhaka and other major cities, Agora is endeavoring to fulfill the everyday needs
10

of its customers by providing the right quality, assortment and price through
stores of various forms and sizes.
While Agora mainly focuses on food items - ranging from a wide variety of fish,
meat, vegetables, fruits, bakery, dairy, and grocery - it also carries a vast array of
other grocery, personal care, and various other consumer goods and household
utensils. There are 30,000 different products and SKUs at any point in time in each
of the Agora outlets.
Agora Ltd. is an enterprise that combines industry and trade, mainly engages in
retailing the quality products at the lowest price in the market. The management
of Agora, was an enthusiastic advocate of trading stamps as an inducement for
shoppers to patronize their stores: They signed up with all types of quality
products manufacturer, and became one of the companys largest clients. But the
management was a fan of pile it high and sell it cheap, and in the mid-2000 Agora
faced many cost problems associated with not properly integrating its purchased
chains of stores. When the firm overstretched itself opening few more outlets
throughout the city, management consultants were called in to sort out the mess.
Other supermarket brands have since emerged but Agora continues to be the
leader and trendsetter. Agora has been the venue of launching of Thai products,
which have by now become commonplace. Californian apples were launched here
as have been Agora buys products direct from the growers, which benefits the
latter as well as the customers. The products are procured under the direct
supervision of its officials who maintain strict procurement and marketing
standards. Products on the shelves are regularly monitored for expiry dates.
Australias red apples, and crystal products from France were unveiled here.
Unilever chose to launch LOreal range of cosmetics at Agora superstores. The
big-sized Boroi so common in the market was launched here. Recently the
scientist behind the cultivation of Strawberry in Bangladesh launched the
delicious fruit at Agora.
Over 8 million have purchased products at Agora since the opening of Agoras fist
superstore, with 2,000 customers using the Agoras every day on an average.
Customers prefer using both cash and credit cards. Agora constantly launches
attractive promotions like Bazimat, Value Week or Super Value Offer or Diamond
Ring Offer.
The Agora project was a ground-breaking project that underlines the potential for
harnessing the latent market in Bangladesh, said an executive of a leading
11

corporate house adding, they have produced a service offering of international

standard.

Corporate Information of Agora

The Rahimafrooz journey dates back to the early fifties when Late Mr. A C Abdur
Rahim founded a small trading company and paved the way for making of one of
todays leading Bangladeshi business conglomerates. Over the decades,
Rahimafrooz has grown in size, scale, and diversity. The Group today has seven
Operating Companies, three other business ventures, and a non-profit social
enterprise. As of 2014, the Group currently employs more than seven thousand
people directly and a further twenty thousand indirectly as suppliers contractors,
dealers and retailers.
Rahimafrooz strengthened their market leadership at home while reaching out to
international markets. Ranging from automotive aftermarket products, energy and
power solutions, to a world class retail chain the team at Rahimafrooz is
committed to ensuring best in class quality standards and living the Groups four
core values - Integrity, Excellence, Customer Delight and Innovation.

Supply chain of Agora

Supply chain of Agora is not a lengthy process. Basically their supply chain is
totally warehouse-based. Agora has a large warehouse. At first they store the
entire product from different manufacturer in their warehouse. The transportation
cost is totally born by the manufacturing company. Then the stored products are
distributed through the Agoras own vehicles to its several outlets. There is no
intermediary between warehouse of Agora and manufacturing company like
Unilever. No product directly comes to the outlet without the hand of warehouse.
Transaction

Finance

Supplier

Packaging

Transportation

Manufacturer

Agora Retail Store

Warehouse (Agora)

Customer
12

These are the supply chain of Agora at a glance. Now the product wise supply
chain explanation of Agora.

Supply chain of Agricultural product

The supply chain of agricultural product of Agora is too much flexible. Agora has
contract with some agricultural firms like vegetables firms, hatchery, poultry
firms, mushrooms firms, dairy & flesh firms (milk, beef, mutton) etc. These firms
supply fresh agricultural items as daily, 2 days, 3 days, weekly, bi-weekly or
monthly based to Agora. The transportation costs are taken by the producer. All
the products are first come in warehouse. Then these deliver to outlets.
Producer (Fishery)

Producer (Vegetables)

Outlets
(Dhanmondi,
Gulshan,
Warehouse
(Agora
)

Uttara, Mirpur)

Supplier

Producer (Dairy firm)

Customer

Producer (Apparels)

Supply chain of consumer goods

In case of consumer goods Agora has contract with the manufacturer like
Unilever, Reckit Benkizer, Square, Keya, Kohinoor Camicales etc. This company
directly deliver product to the warehouse of Agora. There is no intermediary
between this two. The products are never come to the outlets without the hand of
warehouse.

Supplier

Manufacturer (Unilever)

Outlets (Dhanmondi, Gulshan, Uttara, Mirpur)

Warehouse (Agora)
13

Customer

Supply chain of imported goods

In case of imported goods, Agora collects goods in two ways:

Directly import
Purchase from import house

a) Directly import
Here Agora directly imports goods from the foreign manufacturer without any
intermediary. In this case the importer is Agora and the exporter is foreign
manufacturer. The products come to the warehouse to outlet to consumers.
Manufacturer of abroad (Havoc)
Importer (Agora)

Supplier

Warehouse (Agora)

Outlets (Dhanmondi, Gulshan, Uttara, Mirpur)

Customer

b) Purchase from import house

In Bangladesh there are many import houses that import goods from abroad and
sell it to the buyer like Janata Foods, Sorwar & Brothers etc. Meena Bazar
purchases products from this house. Here the importer is the import house not
Meena Bazar. This is the basic difference between the directly import and
purchase from the import house.
14

Supplier

House
ManufacturerImport
of abroad

(Janata Foods-hypothetical)
Warehouse (Agora)

Outlets (Dhanmondi, Gulshan, Uttara, Mirpur)

Customer

Supply chain of Private Brands

Agora produces many private brand products in their own plants. These products
are mainly herbal products like Chandan, Black Tea, Mehendi, Uptan etc. The
process of producing these products is almost same with the traditional supply
chain process. The supply chain is:
Manufacturer (Agora)
Warehouse (Outlets
Agora)(Dhanmondi, Gulshan, Uttara, Mirpur)
Supplier

Customer

Process view of supply chain of Agora

There are two different ways to view the process performed in a supply chain
(Supply Chain Management).
1. Cycle view
2. Push/Pull view
Based on those two views, the manager of agricultural foods of Agora explains the
process of supply chain followed by Agora. Those are explained below.

1. Cycle view

Customer

Customer order cycle

There are four cycles followed by Agora.

a) Customer order cycle
b) Replenishment cycle
c) Manufacturer cycle

Outlet

Replenishment cycle

Warehouse
Manufacturing cycle
Manufacturer
Procurement cycle
Supplier

15

Pull Process
d) Procurement cycle
Push Process
Push/Pull Boundary

Each supply occurs at the interface between two successive stages of the chain.
Supply chain management by Sunil Chopra describes that a grocery supply chain
has all four cycles separated. When the customer of Agora buys products from its
outlets like Dhanmondi, Uttara, Mirpur, Shantinagar etc, it is customer order cycle,
when the outlet like Uttara replenish its products (that are already sold) from
outlets. It is replenishment cycle, when retailer brings product from distributer. It
is manufacturing cycle, when distributer collects materials from manufacturer.
And it is procurement cycle, when manufacturer collects raw materials from
suppliers.

2. Push/Pull process and Boundary

Agora usually use push process. At first the raw materials of any particular
product go to the manufacturer. Then the manufacturer produces the product &
sends the product to the warehouse of Agora. The products are inventoried over
the ware house. Whenever the products from outlet finished, then the products
completely replenished from the warehouse to outlet. At the end the products are
16

exhibited to the outlet of Agora and the products are purchased by the customer.
All the promotional activities are taken by the manufacturer about the products.

Supply Chain Integration of Agora

Supply chain integration is a close alignment and coordination within a supply
chain, often with the use of shared management information systems. A supply
chain is made up of all parties involved in fulfilling a purchase, including raw
materials, manufacturing the product, transporting completed items and
supporting services.
Supply chain refers to all inputs required to produce a product and fulfill a
purchase. Agora that does business of consumption products would need to
purchase these products first. Agora also produces some private owned products,
for this Agora would need to purchase materials to produce them. All of these
products and materials form part of the company's supply chain of materials
needed to produce and customer sales. Agora stores the purchase goods in their
warehouse. Then it is delivered to its retail store for sale to consumers. Every step
- from purchasing of finished products and sourcing of raw materials to final
delivery to the customer - is considered part of the supply chain of the Agora.

Management of Supply Chain

Management of the supply chain depends on various decisions, such asSupply chain strategy or design: This decision involves how to structure the
supply chain. It is process of making a configuration of the chain. It involves the
decision regarding the selection of locations, mode of transportation and
capacities of the production unit.
Supply chain planning: It is decision regarding the planning of the set of operating
policies to be performed to achieve the framed objectives for short term period. It
involves the plans of inventories production, supply target, subcontracting,
replenishment of the stock etc.
Supply chain operation: The Company makes weekly and daily decision regarding
the operations based individual customer orders. It involves allocation of the
individual orders to inventory or production department with due dates,
generation of pick lists, allocation of orders to shipment etc.

17

Drivers in Supply Chain Management

The drivers in supply chain management are
a)

b)

c)

Inventory
Quantity (Higher quantity inventory, the low cost per unit)
Volume (More volume, more cost)
Nature of inventory (Liquid, Solid, Raw materials, Semi-finished & Finished)
Transportation
Mode: Roadway, Railway, Shipway, and Airway
Route and Network selection
Facilities
Space for moving inventories like yard, Labor, Capacity of facility, and Loading
unloading devices like bucket, elevator, belt conveyor
d) Information
Data on availability and requirement of inventory
Data on the position of the inventory in various stages (Inventory on the way,
in warehouse, time to be taken to reach)

Supply chain Strategy of Agora

Here I mainly discuss the distribution process of Agoras product to their
customer. They buy their product from manufacturer and wholesale market. Then
they store their product at their superstore. They sell their product to the end
customer through superstore. Agoras main motive is we will your product.
The marketing strategy of agora:
In this part of this report I will describe Agoras packaging and branding system,
how they position their product, how they distribute their product, how they
communicate with consumers.
Packaging: After collecting grocery products, it is purified, graded according to
size (for example potato, fish, and spices) and then it is sold in particular packets
with reasonable price. For fish it is kept in ice rapping with packet.
Branding: Agora maintain Brand image. Their motto in branding is right price
right quality Removing the fear of customer about quality of products. They
always try to sell brand products which assure good product and service quality.
For which every year they are adding many local and foreign products and service
to customer. For adding new products, they run survey on consumer to know their
expected products.
18

Marketing process: Marketing process at first they do marketing their products

and then they turn their activities in operation and after that they ensure the
availability of that product when the consumers want these products.
Agora's growth over the last 6 years has involved a transformation of its strategy
and image. Its initial success was based on the "Pile it high, sell it cheap"
approach of the founder management of Rahimafrooz. The disadvantage of this
was that the stores had a poor image with middle-class customers. In the year
2001 Agora's brand image was so negative that consultants advised the company
to change the name of its stores. It did not accept this advice, yet by early 2003 it
was the largest retailer in Dhaka, with a 29.0% share of the grocery market
according to retail analysts TNS Super panel, compared to the 16.8% share of
ASDA and 15.6% share of third-placed NANDAN, which had been the leading
competitor until it was beaten by Agora in 2004.

Key reasons for this success

An "inclusive offer" This phrase is used by Agora to describe its aspiration to
appeal to upper, medium and low income customers in the same stores.
According to Citigroup retail analyst David McCarthy, "They've pulled off a trick
that I'm not aware of any other retailer achieving. That is to appeal to all
segments of the market. By contrast ASDA's marketing strategy is focused
heavily on value for money, which can undermine its appeal to up market
customers even though it actually sells a wide range of up market products.
During its long term dominance of the supermarket sector Nandans retained an
image as a high-priced middle class supermarket which considered itself to have
such a wide lead on quality that it did not need to compete on price, and was
indifferent to attracting lower-income customers into its stores. This strategy has
been abandoned since losing the number 1 spot to Agora and particularly since
the adaption of new management in 2004 that has established a new customerfocused strategy closer to that of Agora.
One plank of this inclusively has been Agora's use of its own-brand products,
including the up market "Finest" and low-price "Value". The company has taken
the lead in overcoming customer reluctance to purchasing own brands, which are
generally considered to be more profitable for a supermarket as it retains a higher
portion of the overall profit than it does for branded products.
The management in the mid 2000 has taken the bold step of trying not to focus
on the usual corporate mantra of "maximizing shareholder value". The company's
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mission statement reads, "Our core purpose is, 'To create value for customers to
earn their lifetime loyalty'. We deliver this through our values, 'No-one tries harder
for customers', and 'Treat people how we like to be treated'". The underlying aim
is of course to make higher profits, but there is a clear focus on customer service
at the top level of the company.

Communication strategy of Agora

Major Advertisement tools: Print Media
1) Newspaper (daily prothom alo, jugantar, daily star etc)
2) Magazine (adanda loc, weekly2000 etc)
Broadcast media
1) Television (channel I telecast program based on agora 3times is week, recently
it is off.)
2) Radio (FM Radio today, ABC, and FURTI)
Internet and website: in website agora has own website name www.agorabd.com.
In which they provide variety of information about agora.
Sales Promotion: Types of sales promotion and consumer promotion
1) In special occasion like Eid, Christmas and after 2or3 month laterthey provide
discount on buying certain amount of product.
2) If anyone buys membership card, he or she get the 400tk valued gift on buying
20000tk valued products or service.
Major Public relation tools: In public relation, Agora sponsors the various kinds of
events such as: concert is Fantasy kingdom, Nandan and various social activities
such as blood donation etc. Besides it has own website by which they
make relation with consumer. By personal relation Agora want to build a good
corporate image in consumers and in the all superstores.
Direct marketing: In direct marketing to communicate with consumers Agora
direct mail, SMS, e-mail etc.
Physical Environment of super shops: Their interior is similar to most
supermarkets in design and layout due to trends in marketing. It produces ends to
be near the entrance of the store. Milk, Bread and other essential items are
located in the rear and other out of the way places. This is purposely done to
ensure maximum time spent in the store, strolling past other items and
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capitalizing on impulse buying. The front of the store or Front-End is where one
might find point of sale machines or cash registers. Every shop has plans to
implement self-checkout devices in their stores in an attempt to reduce labor
costs as well as bringing complete customer satisfaction.

SWOT Analysis
A SWOT analysis identifies and assesses the strengths, weaknesses, opportunities
and threats an organization faces. SWOT analysis of the Agora illustrates to upper
management what the company is excelling in, what improvements need to be
made, where growth is possible and what preemptive measures need to be taken
to protect shareholder or company value.

A SWOT analysis identifies and assesses the strengths, weaknesses, opportunities

and threats an organization faces. SWOT analysis of the Agora illustrates to upper
management what the company is excelling in, what improvements need to be
made, where growth is possible and what preemptive measures need to be taken
to protect shareholder or company value.
SWOT Analysis is more than an exercise in making four lists. The really valuable
part of SWOT analysis is determining what story the four lists tell about the
companys situation and thinking about what actions are needed. Understanding
the story involves evaluating the strengths, weaknesses, opportunities, and
threats and drawing conclusions about 21

(1)How the companys strategy can be matched to both its resource capabilities
and its market opportunities
(2)How urgent it is for the company to correct which particular resource
weaknesses and guard against which particular external threats.
Strengths
Strength is something a company is good at doing or a characteristic that gives it
enhanced competitiveness. A powerful strategy supported by competitively valuable
skills and expertise in key areas. Agora arranges training system for its sales person to
increase their skill. Agora has skilled and experienced human resource to organize the
company in its key areas.

For strong financial condition and widening financial resources, Agora has strong
financial condition and resource to grow the business, because within five-year
agora open three branches in Dhaka city.
Strong image and good reputation of Agora provides good customer services and
20 thousand variety of quality product. Agora offers clean, healthy and a friendly
environment to customers for shopping.
Agora encourages producers to produce standard and quality products to make
better quality product relative to rivals. To provide quality product Agora check
expire date every month.
Weakness
A weakness is something a company lacks or does poorly (in comparison to
others) or a condition that puts it at a disadvantage.
Pricing strategy: Agoras pricing strategy is not good enough compare to its
competitors
Lack of advertising: Agora use only news media rather than electronic media, a
Agora is not careful enough about their competitors.
Supply variety product: The quantity supply of products are short. It has no
stationary, sports, electronics, and gift items. Agora business tradition also lacks
the use of e-commerce technologies.
Opportunities
Market opportunity is a big factor in shaping a companys strategy. Indeed,
managers cant properly tailor strategy to the companys situation without first
identifying each company opportunity and appraising the growth and profit
potential each one holds.
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Saving additional customer or expanding into new geographic markets or product

segments: By opening new branch of Agora in different area of Dhaka Agora serve
additional customer or expanding into new geographic markets or product
segment.
Utilizing existing company skill or technological to know how to enter new product
lines or business: Agora try to find out customer need, demand of different
product and increase product line according to customer need and demand. Agora
gives training to employee for increasing x their skill and use.
Growth sales volume: Agora increases their sales continuously. In 2001 Agora
monthly sales volume was Tk. 5 cores to 6 cores. Now its sales volume is Tk. 6
cores to 7 cores.

Threats
Often, certain factors in a companys external environment pose threats to its
profitability and competitive well-being. Threats can stem from the emergence of
cheaper or better technologies.
Likely entry of potent new competitor: Agora has many competitors Nandan,
Meana Bazar, Shawpno etc.
Loss of sales to substitute product: Agora is not holding some brand of same
quality product.
Costly new regulatory requirements: Agora sells some foreign product at higher
price for few numbers of customers.
Growing bargaining power: Growing bargaining power of customer because there
are many competitors to Agora customers compare the product price of
competitors products with Agora products price.
A shift in buyer needs and tastes away from the industrys product: The
demand of the product sometimes changes without any prior assumption.
Suppose customers usually buy Coca-Cola. Suddenly if customers demand Pepsi
and Agora does not hold Pepsi. It is also a threat for the Agora.

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Conclusion
Since the concept of supply chain management was introduced, there has been a
great deal of confusion about what it actually involves. While some managers and
researchers continue to use supply chain management interchangeably with
logistics, there is an increasing understanding that it is much more than logistics.
In recent years, many authors have stressed the importance of implementing
supply chain management as part of a process orientation to management.
Agoras main concept hinges on its ability to meet the needs of a more advanced
society where the working wife prefers to make at-a-time purchases of daily needs
less than one roof. Form a careful analysis of the ideas and marketing concepts at
work in the operation of Agora, it has been possible to obtain an insight to the
essential marketing practices adopted by such retail stores. In a highly volatile
business environment the quest for excellence does not end easily. By adhering to
proper marketing strategies and putting its target market in top most priority,
Agora has been able to edge towards competitiveness with few formidable rivals
to challenge its present position Evidently, by virtue of its high quality assurance,
provision of a wide assortment of local and foreign products, and a touch of luxury
to appeal to the mind of shoppers, Agora has been able to establish itself as a
store that makes every effort to cater to customer satisfaction.

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