Principles of Marketing

Instructor:Zakia Binte Jamal

Course : MKT 201 ; Section : 3

ASSIGNMENT : 01 ( ACI limited)

Submmitted by :

MD. Mahabur
1 1420743
Rahaman
2 MD. Kamrul Hasan 1420943
3 MD.zoeb Hasan 1420656
4 MD.Imran Hossain 1421019
5 Nazma Akter Peury 1420779
6 Laila Shams Faria 1420544
 Advanced Chemical Industries (ACI)
ACI was established as the subsidiary of Imperial Chemical Industries (ICI) in the
then East Pakistan in 1968. After independence the company has been incorporated in
Bangladesh on the 24th of January 1973 as ICI Bangladesh Manufacturers Limited
and also as Public Limited Company. This Company also obtained listing with Dhaka
Stock Exchange on 28 December, 1976 and its first trading of shares took place on 9
March, 1994. Later on 5 May, 1992, ICI plc divested 70% of its shareholding to local
Management. Subsequently the company was registered in the name of Advanced
Chemical Industries Limited. Listing with Chittagong Stock Exchange was made on
22 October 1995.

Revenue of aci limited is 238 Million

Advanced Chemical Industries (ACI) Limited is one of the leading conglomerates in

Bangladesh, with a multinational heritage. The company has diversified into three 3
business units of SBU'

Product Lines
ACI Limited has a wide range of products under each of its units. As the numbers of products are
very huge in Pharmaceuticals and Agribusiness, they are not segregated in this study hence
considered as single product.
 Product

Pharmaceuticals Consumer Brands & Agribusiness

Commodity Products
Crop
production
ACI
Aerosol
Seed
SAVLON
Fertilizer
ACI Agrimachineries
Mosquito
Coil
Animal Health
products
ACI salt

ACI pure

Colgate

Nivea

Tetley

Dabur

SWOPNO (Super
Chain Shop)
ACI Product Portfolio
 SBU Analysis

BCG growth-share matrix is a portfolio-planning method that evaluates a company's strategic

business units (SBUs) in terms of their market growth rate and relative market share. SMU & are
classified as stars, cash cows, question marks or dogs (Kotler 1999). The products are categorized
based information provided in the annual report. In case of pharmaceutical products and agricultural
products, the whole segments are considered as a single product.
HIGH

ACI pure
ACI
Tately
Pharmaceuticals
SHOWPNO
2.ACI Salt
Agri business
Market Growth Rate

STAR Question

Mark

Cash
ACI Aerosol
Cows Dog NEVIEA
SAVLON
ACI Coil
Colgate
LOW

Dabur

High Low

Relative Market Share

kkk
 BCG Matrix of ACI Products

Stars are high-growth, high-share businesses or products, including ACI Salt and ACI
Pharmaceuticals. They often need heavy investment to finance their rapid growth. Eventually their growth
will slow down, and they will turn into cash cows (Kotler, 2008). Specially for the Pharmaceuticals product
they should go for extensive production and distribution, both nationally and international, as it out of
some international regulation.

Cash cows are low-growth, high-share businesses or products, including ACI Aerosol, Savlon, Colgate,
Dabur. These established and successful products need less investment to hold their market share. Thus
they produce cash that the company uses to pay its bills and to support other SBUs that need investment.

Question marks are low-share business unit in high growth markets, including ACI Pure, Tately,
SHOWPNO and Agribusiness. They require cash to hold their share, let alone increase it. Management
has to think hard about question marks - which once they should bilk into stars and which ones they
should phase out. In case of the ACI Limited all the question mark products have high potentiality for
future growth. So they can keep up investing in these products.

Dogs are low-growth, low-share businesses and products. They may enough cash to maintain
themselves, but do not promise to be large sources of cash.

Recommendation

For management structure:

Should have move from the machine bureaucracy structure to diversified form which featured by:

1. Simple static diverse environment,

2. Very large old divisible internal factors,

3. Standardization of outputs, and

4. Key middle line managers.

For marketing:

1. Keep up investing in questioned mark products, including - ACI Pure, Tately, SHOWPNO and
Agribusiness. Because these business has a large potentiality to growth in the future.
2. Searching for new market, both nationally and internationally, by developing new products or
branding exiting product in the pharmaceuticals sector.
3. For market penetration (Ansoff matrix) restructure a mature market by driving out competitors;
this would require a much more aggressive promotional campaign, supported by a pricing
strategy designed to make the market unattractive for competitors.

For product development segment (Ansoff matrix) develop strategy to build up new competencies and
requires the business to develop modified products which can appeal to existing markets.

For Distribution:

1. Open some branded outlet where all their products will be available.

For Research & Development:

As the most of the products of ACI Limited has a very high future potential growth, specially
pharmaceuticals, agribusiness and SHOWPNO (super store), investment should be made in research
and development in these areas to invent new products and capture new markets. Specially for the
Pharmaceuticals product they should go for extensive research and development, as it has the
potentiality to grow in national and international market.

Conclusion
Based on our analysis of the ACI Limiteds management structure, financial strength, marketing strategy
and distribution channel we can conclude that ACI limited has a machine bureaucratic structure which is
currently appropriate for this kind of business. Its financial strength is also very good along with well
diversified product line. Most of the products have very potential future growth which ensures the
sustainability of the company.

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