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Unilever Pakistan (Pvt) Limited Professional Project

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 1

INTRODUCTION
TO
ORGANIZAION

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INTRODUCTION TO UNILEVER
Life partner
With 400 brands spanning 14 categories of home, personal care and foods products, no
other company touches so many people's lives in so many different ways.

Our brand portfolio has made us leaders in every field in which we work. It ranges from
much-loved world favourites including Lipton, Knorr, Dove and Omo, to trusted local
brands such as Blue Band and Suave.

From comforting soups to warm a winter's day, to sensuous soaps that make you feel
fabulous, our products help people get more out of life.

We're constantly enhancing our brands to deliver more intense, rewarding product
experiences. We invest nearly €1 billion every year in cutting-edge research and
development, and have five laboratories around the world that explore new thinking and
techniques to help develop our products.

Continuous development

Consumer research plays a vital role in our brands' development. We're constantly
developing new products and developing tried and tested brands to meet changing tastes,
lifestyles and expectations. And our strong roots in local markets also mean we can
respond to consumers at a local level.

By helping improve people's diets and daily lives, we can help them keep healthier for
longer, look good and give their children the best start in life.

We also believe that the very business of conducting business in a responsible way has a
positive social impact. We create and share wealth, invest in local economies and develop
people's skills – both inside our organisation and in the communities around us.

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Today Unilever employs 174 000 people in 100 countries worldwide, and supports the
jobs of many thousands of distributors, contractors and suppliers.

Health & personal care

• First launched in France in 1983, our leading male grooming brand, Axe, now
gives guys the edge in the mating game in over 60 countries
• Our oral care brands Mentadent, Peposodent and Signal have teamed up with the
world's largest dental federation, the FDI, which represents over 750 000 dentists
around the world
• Lux became the first mass-marketed soap when it launched in 1924. Today it
achieves annual global sales of over €1 billion
• Domestos is a best-selling brand in nine of the 35 countries in which it's sold
• Hindustan Unilever in India has launched a hand-wash product, Surf Excel Quick
Wash, with a low foaming formulation, reducing the amount of water needed for
rinsing by up to two buckets per wash
• Recent breakthroughs at Rexona include Rexona Crystal, a deodorant that
eliminates unsightly white deposits on dark garments
• Our Small & Mighty concentrated liquid fits into a smaller bottle, requiring half
the packaging, water and lorries to transport it, making it kinder on the
environment.

Foods

• Knorr is our biggest food brand with a strong presence in over 80 countries and a
product range including soups, sauces, bouillons, noodles and complete meals
• We're the world's largest ice cream manufacturer, thanks to the success of our
Heartbrand which includes Magnum, Cornetto, Carte d'Or and Solero, and Ben &
Jerry's and Breyers in the US
• Lipton's tea-based drinks include the international Lipton Iced Tea range, the
Lipton range in North America and Lipton Yellow Label, the world's favourite tea
brand

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• Becel/Flora pro.activ products have been recognised as the most significant


advancement in the dietary management of cholesterol in 40 years
• In the mid-1990s we led the industry with our programme to eliminate almost all
trans fat from our margarine.

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Logo:

Slogan:

“Our mission is to add Vitality to life.


We meet everyday needs for nutrition,
hygiene and personal care with brands
that help people look good, feel good
and get more out of life”.
Slogan:

“FEEL GOOD , LOOK GOOD


AND GET MORE OUT OF LIFE….”

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COMPANY PURPOSE & PRINCIPLES

Our corporate purpose states that to succeed requires:

"The highest standards of corporate behaviour towards everyone we work


with, the communities we touch, and the environment on which we have an impact."

• Location:

Global headquarters in London and Rotterdam. At this time Unilever operates in


150 countries. Unilever is one of the world’s most culturely diversed company with top
leadership from 21 nations.

• Products:

Food and beverages.


Personal care.
Home care products.

Unilever is working 18% in Home care brands, 19% in Ice Cream and
Beverages brands, 28% in Personal Care Brands and 35% in Savoury, Dressings and
Spreads.

• Employees:

Countries Total no. of Employees


Europe 51,000
Americas 53,000
Asia and Africa 96,000

Total Employees 200,000

More than 30% of the Managers worldwide are Women.

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Nature of the Organization


It is the leading multinational company. In every part of the world you can find
the products of the company. It has more then 400 brands spanning 14 categories of
home, personal care and food product and personal care; no other company touches so
many people’s lives in so many different ways.

It expands its business in more then 151 countries and the number of counties is
increasing gradually. Its nature is manufacturing concern.

In Pakistan Unilever is one of the major manufacturing companies, its businesses


is expanded over 33 cities .Its products are available nearly all cities of Pakistan. Its
marketing and advertising method is too good. it uses all types of media for
advertisement.
It gives advertisements on T.V, Internet, News, Billboards and Magazines etc.

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Objectives of Unilever

 Grow a head a market and competitors in selected high potential categories


 Grow with the market in attractive profitable categories investing to defend
market share

Grow superior Brands


 Develop superior brands with
o Unique consumer insight impact innovation
o Competitive functional benefits based on relevant science
o Outstanding sensorial and packaging
o Impact and effective communication

Win With Customer


Strategic investing for growth in our customer in our channels
Deliver best in class customer services
Win at the point of purchase
Build brands trough the customer

Fit to compete
Raise the bare on extended supply chain, competitiveness and responsiveness
Achieve competitive levels of overheads

Deliver Vitality
Be leaders who align energies, inspire and lead.

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CHAPTER No. 2

OVERVIEW
OF
ORGANIZAION

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History
1885-1900s
In the late 19th Century, at Oss in Brabant, the Netherlands, Jurgens and Van den
Bergh – two family businesses of butter merchants – have thriving export trades to the
UK.

Product innovation, 19th century style


In the early 1870s, they become interested in a new product made from beef fat
and milk – margarine – which, they realise, could be mass-produced as an affordable
substitute for butter.

Later, over in the North of England in the mid-1880s, a successful wholesale


family grocery business run by William Lever starts producing a new type of household
soap. The product contains copra or pine kernel oil, which help it lather more easily than
traditional soaps made of animal fats. Unusually for the time, Lever gives the soap a
brand name – Sunlight – and sells it wrapped in distinctive packs.

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Highlights
1872 In the Netherlands, Jurgens and Van den Bergh open their first factories to
produce margarine.
1884 Lever & Co starts producing Sunlight soap.

1886 Knorr – which will become part of Unilever – launches soup tablets with meat
extract to provide nutritious food for low-income consumers.
1887 By the end of this year Lever & Co is making 450 tons of Sunlight soap a week
and William Lever buys the site on which he'll build Port Sunlight – a large
factory on the banks of the Mersey opposite Liverpool, with a purpose-built
village for its workers providing a high standard of housing, amenities and
leisure facilities.
1888 Jurgens and Van den Bergh both move into another prosperous market,
Germany, and build factories there.
1890 Lever & Co become a limited company – Lever Brothers Ltd.

1891 Van den Bergh moves to new headquarters in Rotterdam.

1894 To support and promote the growing interest in personal hygiene, Lever & Co
creates an affordable new product – Lifebuoy Soap.Lever Brothers becomes a
public company.
Mid In the UK Lever Brothers is selling nearly 40 000 tons of Sunlight soap a year
1 and starts expanding into Europe, America and the British colonies with
8 factories, export businesses and plantations.
9
0
s
1898 By this time Van den Bergh already has a 750 strong sales-force and launches a
new branded margarine – Vitello.
1899 Lever Brothers introduces a new type of product, Sunlight Flakes – which
makes housework easier than with the traditional hard soap bars. In 1900
Sunlight Flakes would become Lux Flakes.

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1900s
In the early part of the 20th Century, margarine and soap producing businesses
start to move further into each other's markets.

New focus on raw materials


Competition and a sudden sharp rise in the cost of raw materials leads many to set
up associations, promoting their interests and defending themselves against supplier
monopolies.

With supplies of oils and fats struggling to meet the demand created by fast
growing soap and margarine production, the companies that will one day become
Unilever focus on securing stable sources of raw materials.

Highlights
1904 In the UK, Lever Brothers launch another product to make housework easier -
Vim, one of the first scouring powders.

The company is incorporated in South Africa.


1906 By now Lever Brothers has a thriving export trade and factories in three European
countries as well as one each in Canada, Australia and the US. It has also started
enterprises in the Pacific.The same year Lever Brothers comes to an agreement
with three other manufacturers to limit competition for raw materials, but is
attacked by the press who, dubbing them 'The Soap Trust', accuse them of driving
up prices. Lever Brothers subsequently sues the Daily Mail and in 1907 wins
£50 000 damages – a massive settlement by the standards of the time.
1908 Jurgens and Van den Bergh strike a deal to form an association and share profits
while continuing to compete against each other.
1909 Lever Brothers develops a palm plantation in the Solomon Islands and at the same
time Jurgens and Van den Bergh set up a joint palm-planting venture in German
Africa.

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1910s
The UK market for soap reaches saturation point, so Lever Brothers concentrates
on acquisitions instead.

A decade of change
Meanwhile demand for margarine continues to escalate and Lever Brothers,
Jurgens and Van den Bergh increase their interests in the production of raw materials.

Tough market conditions also lead to the further growth of trade associations.
When new technology is invented to solidify whale oil, businesses join together in the
Whale Oil Pool to regulate the distribution of this important new commodity.

But the clouds of war are gathering. The First World War is set to make a big
impact, firstly through increasing demand for soap and margarine - vital wartime
supplies - and secondly through the intervention of British and German governments,
which effectively place the oil and fats industry under government control.

Highlights
1910 Lever Brothers buys its first company in West Africa, WB MacIver Ltd, to secure
supplies of palm oil for Port Sunlight.
1911 Lever Brother's first purpose-built research laboratory is constructed at Port
Sunlight.
1912 The first profit-sharing deal between Jurgens and Van den Bergh is terminated but
the two companies continue to work together.
1913 Leading businesses in the Europe join forces to create the Whale Oil Pool.
1914 In the year that war breaks out, companies controlled by Lever Brothers are
making about 135 000 tons of soap a year, while in the Netherlands Jurgens and
Van den Bergh have both acquired a number of smaller businesses and each also
controls seven margarine factories in Germany.
1917 Lever Brothers acquires Pears Soap, a company founded in 1789, and Jurgens
forms an alliance with Kellogg's in preparation for expansion into North

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America.Around this time Jurgens and Van den Bergh both establish factories in
England, with one in Purfleet, Essex still manufacturing margarine today.

Lever Brothers also expands into the margarine market with the launch of
Planters, increases operations in South Africa and sees its American business start
to move into profit.

The 1930s is a tough decade – it starts with the Great Depression and ends with a new
world war.

Overcoming challenges
These conditions make the newly merged business's need to rationalise even more
urgent. So in the UK Unilever cuts its 50 soap-manufacturing companies to concentrate
on fewer brands, while on the continent governments protect local butter production
through taxes, excise duties and limits on production. The end result is that Unilever's
margarine and edible fat plants are cut from ten to five.

Highlights
1930 On 1 January Unilever is officially established.
1930 Procter & Gamble enters the UK market with the acquisition of Thomas Hedley
Ltd of Newcastle and becomes one of Unilever's largest rivals.
Mid Soap production moves further from hard soaps to flakes and powders designed
to make lighter work of household cleaning. This leads to expansion in the soap
market.
1935 Vitamins A & D are added to margarine, to levels equivalent to those found in
butter.
1938 After a campaign to improve public perceptions of margarine and the growth of
vitamin-enriched brands including Stork in the UK and Blue Band in the
Netherlands, sales of margarine rise to levels close to the highs of 1929.
Late With the advent of the World War II, exchange controls and frozen currencies
make international trading increasingly complex. In Germany, Unilever is unable
to move profits out of the country and has to invest instead in enterprises
unconnected with oils and fats including public utilities.

1940s
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During the war years Unilever is effectively broken up, with businesses in
German and Japanese-occupied territory cut off from London and Rotterdam.

Focusing on local needs


This leads to the development of a corporate structure in which local Unilever
businesses act with a high level of independence and focus on the needs of local markets.

After the war, Unilever's interests in Eastern Europe are lost with nationalisation
and the control exerted by the Soviet Union. The Chinese market is affected in a similar
way.

Yet throughout the 1940s Unilever continues to expand in the food market. New
businesses with a diverse range of products are acquired, and resources are put into
research and development for new materials and production techniques.

Highlights
1941 During the Blitz, Lifebuoy soap provides a free emergency washing service to
Londoners. Lifebuoy vans equipped with hot showers, soap and towels visit
bomb-struck areas of the capital to offer much-needed mobile washing facilities.
1943 Unilever becomes the majority shareholder in Frosted Foods which owns Birds
Eye and the UK rights to a method of food preservation new to mass markets -
deep-freezing. Years later, freezing will enjoy a resurgence of popularity when it's
shown to be one of the best ways of naturally preserving the goodness of fresh
food.Around the same time Unilever acquires Batchelor's, which specialises in
freeze-dried vegetables and canned goods.
1945 At the end of the war, Unilever is able to regain control of its international
network although remains shut out from Eastern Europe and China. The
decentralisation of the business that was unavoidable during wartime is continued
as a policy decision.
1946 Birds Eye launches the first frozen peas in the UK. At this time meat, fish, ice
cream and canned goods account for only 9% of Unilever's total turnover.

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1950s
From the late 40s into the 50s the development of new mass markets for consumer
goods - including Africa and Asia - provide opportunities for expansion.

Apost-war consumer boom


Unilever's United Africa Company grows fast, producing goods for sale in the
newly independent African states, which helps create new local manufacturing industries.
Meanwhile post-war prosperity in Europe, spurred by the start of the European
Community, leads to a consumer boom and rising standards of living.

As new scientific advances come thick and fast, Unilever increases its focus on
technology, making Port Sunlight Research its Research Division with responsibility for
both UK and Dutch laboratories. It also establishes a nutrition research group in the
Netherlands later becomes the Unilever Food and Health Research Institute - a centre of
excellence in nutrition, health and vitality.

During the 1950s new types of food - most famously the fish finger - are
developed as a direct response to the need for nutritious food that makes use of
ingredients available in the wake of post-war rationing. Some of these are then marketed
through a promising new channel - commercial TV.

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Highlights
1954 Sunsilk shampoo is launched in the UK and will become our leading shampoo
brand - by 1959 it's available in 18 countries worldwide.
1955 On the 22 September Unilever airs the very first advertisement on UK commercial
TV, which is for Gibbs SR toothpaste. Fish fingers are introduced in the UK and
within a decade they account for 10 percent of British fish consumption.Dove soap
is launched in US.
1956 Unilever Research establishes its Biology Department, which in the 1980s will
become the BioScience, Nutrition and Safety unit. The PG Tips chimps make their
debut appearance on the UK's newly launched commercial TV station. Aired on
Christmas Day, the commercial is inspired by London Zoo's chimpanzees' tea
party. It results in PG Tips becoming the UK's biggest selling tea brand. The first
Miss Pears is crowned in the Pear's Soap famous beauty contest celebrating the
beauty of natural, clear complexions.
1958 In the Netherlands Unilever expands into frozen foods and ice cream through the
acquisition of Vita NV, which was later to become the Iglo Mora Group.
1959 Unilever launches its first margarine in a tub, replacing the traditional block
wrapped in greaseproof paper, with Blauband in Germany followed by Flora in
Britain.

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1960s
The Swinging Sixties bring optimism and new ideas as the world economy
expands and standards of living continue to rise.

A time for growth


As a result Unilever expands and diversifies through innovation and acquisition,
setting up advertising agencies, market research companies and packaging businesses. In
1968 it tries to merge with Allied Breweries in a truly ambitious acquisition bid. But
maintaining profit stability is difficult as the gap widens between best and worst
performing operations, and funds are invested to maintain low-yield businesses. In the
mid-60s, a restructure increases opportunities to grow brands internationally. Control and
European profit responsibility for the biggest brands are subsequently moved from
individual operating companies to category-focused teams called Co-ordinations.

Highlights
1960 All washing-related brands are placed under the control of a single company,
Lever Brothers and Associates. Becel, the pioneering 'health' margarine, is
launched after the medical community asks Unilever to develop a cholesterol-
lowering food product. Initially it's only available from pharmacies.
1961 Good Humor ice cream is acquired in the US.
1963 Cornetto, the first packaged and branded ice cream cone, begins its launch in
Europe. Becel is repositioned as a diet margarine and distribution is widened to
include the grocery sector.
1965 Unilever forms its own specialist packaging business, the 4P Group, turning an
internal service provider into a profit earning business. Cif is first launched,
starting in France.
1967 Captain Birds Eye/Iglo/Frudesa makes his first appearance in TV commercials.
1968 Unilever attempts unsuccessfully to merge with Allied Breweries, one of the
UK's largest brewing companies.
1969 Unilever airs the UK's first ever colour TV commercial, which is for Birds Eye
peas.

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1970s
During the 1970s hard economic conditions - including high inflation in the wake
of the 1973 oil crisis - leads to flat sales.

Diversifying in a tough climate


The growth of large retailers including supermarkets also starts a shift in
negotiating power away from manufacturers. So Unilever continues to build 'turnkey'
consumer goods businesses in sectors including transport and packaging and has a major
thrust into North America with the purchase of National Starch. Fortunately the
subsidiary United Africa Company yields large profits in oil-booming Nigeria, helping
balance out the costs of businesses in Europe and the United States.

Highlights
1970 Unilever acquires the meat business Zwanenberg's at Oss, which would eventually
become the Unilever meat group UVG.
1971 Lipton International is acquired and Unilever's tea business becomes one of the
largest in the world.

Impulse deodorant is launched, starting in South Africa. By 1985 it will be sold in


30 countries.

Mentadent is launched in Austria as a revolutionary gum health brand.


1973 Frigo ice cream is acquired in Spain. Unilever's subsidiary, the United Africa
Company, becomes UAC International - having expanded since its inception in
the 1920s to trade in 43 countries.
1977 By now, across the nine members of the EEC, Unilever employs nearly 177,000
people in 200 offices and factories, investing in fixed assets at a rate of about UK
£30million a year and spending about UK £1bn on supplies.
1978 Signalling intentions to increase its presence in the US, Unilever acquires National
Starch, a leading producer of adhesives, starch and speciality organic chemicals.
It's the largest acquisition by a European company in the US at this time.

1980s

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At the start of the 1980s Unilever is the world's 26th largest business.

Focusing on the core


Its interests include plastics, packaging, tropical plantations and a shipping line, as
well as a wide range of foods, home and personal care products.

Early in the decade in a bold change of strategy it decides to refocus on core


product areas with strong markets and equally strong growth potential. The necessary
rationalization leads to large acquisitions and equally large divestments, including the
sale of animal feeds, packaging, transport and fish farming businesses.

But by 1989 the resulting growth of core businesses is clearly evident.

Highlights
1982 Viennetta ice cream gateaux is first launched, starting in Britain as a Christmas
speciality.
1983 Axe body spray for men (Lynx in the UK) is first launched, starting in France.
1984 Unilever announces its Core Business Strategy and large acquisitions and
disposals follow over next decade.

Brooke Bond is acquired in Unilever's first hostile take-over.


1985 Unipath launches a home pregnancy testing kit Clearblue, which is sold through
pharmaceutical outlets in Britain.
1986 The acquisition of Naarden doubles Unilever's business in fragrances and food
flavours. Chesebrough-Pond's, which owns Pond's and Vaseline, is acquired in the
US.
1987 Dove is relaunched in Europe, starting in Italy.

The new business focus continues with the number of categories in which
Unilever competes cut from over 50 to just 13 by the end of the decade.

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Restructuring and consolidating


This includes the decision to sell or withdraw many brands and concentrate on
those with the biggest potential.

Restructuring creates four core business areas: Home Care, Personal Care, Foods
and Speciality Chemicals. The new structure is led by a new team, ExCo (the Executive
Committee) and includes 12 business groups, each responsible for a mix of geographical
and product areas.

Also during this decade Unilever sets up a sustainable agriculture programme in


light of growing environmental pressures and consumer concerns about the food chain.
Other initiatives to preserve water resource and source fish from sustainable stocks soon
follow.

Highlights
1992 Unilever enters the Czech Republic and Hungary, and establishes UniRus in
Russia.
1993 Breyers ice cream is acquired in the US and Organics shampoo is first launched in
Thailand. By 1995 Organics is sold in over 40 countries.
1994 The disposal of United Africa Company, Unilever's huge West African trading,
brewing and textiles company, is completed.
1995 Unilever publishes its Code of Business Principles.
The unprecedented decision is taken to practically eliminate trans-fats from food
production in a rapid response to new research suggesting that their effect on
blood cholesterol is at least as adverse as that of saturated fats.
1996 Unilever makes an ambitious commitment to source all fish from sustainable
stocks and starts working with the WWF to establish a certification programme for
sustainable fisheries known as the Marine Stewardship Council (MSC).

Hindustan Lever and Brooke Bond Lipton India merge to create India’s largest
private sector company, and the Helene Curtis hair care business in the US is
acquired.

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The Unilever Nutrition Centre is created.

Annapurna iodised salt is launched in India and starts to make a big impact on
redressing iodine deficiency.
1997 Kibon ice cream is acquired in Brazil. Unilever's chemicals businesses including
National Starch and Quest International are sold.
1999 Shareholders authorise a special dividend of €7.4 billion and a share consolidation
to reduce the number of shares per issue.

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2000s
The 2000s have been a period of great transformation for Unilever,
seeing significant organizational change – particularly the 'Path to Growth' and
implementation of the ‘One Unilever’ programme.

Forging new paths


The 21st century started with the launch of Path to Growth – a strategy to
transform the business, leading to more acquisitions and the rationalisation of
manufacturing and production sites to form centres of excellence. This was followed by
the One Unilever programme, aligning the organization behind a single strategy,
simplifying our business and leveraging our scale more effectively.

Our mission 'to meet everyday needs for nutrition, hygiene and personal care with
brands that help people look good, feel good and get more out of life' was launched in
2004. Reaching across the whole organization, how we are 'bringing Vitality to life'
continues to provide the basis for our category, regional and functional strategies today.

The last decade has seen a fundamental shift in people’s shopping and purchasing
habits. With consumers becoming more socially, environmentally and civically
motivated, we are increasingly embedding sustainable thinking into our day-to-day
activities. In 2002, the Lifebuoy brand launched its hygiene education programme,
Swasthya Chetna. This has reached nearly 51,000 villages and made a difference to the
lives of 120 million people in rural areas of India.

In 2004, we became a founding member of the Roundtable on Sustainable Palm


Oil (RSPO) – a body which we currently chair. In 2008, in an effort to halt deforestation,
we announced our commitment to draw all our palm oil from certified sustainable
sources by 2015. In 2007, Lipton launched a sustainable tea partnership with the
Rainforest Alliance, announcing our aim to have all Lipton Yellow Label and PG Tips

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tea bags in Western Europe sourced from Rainforest Alliance Certified™ farms by 2010
and all Lipton tea bags globally similarly sourced by 2015.

As the end of the 2000s draw to a close, the whole world is experiencing
unprecedented economic uncertainty. Unilever was born at the time of the Great
Depression of the 1930s and has had to deal with many economic and financial crises
since. Being able to respond quickly to rapidly changing market conditions will ensure it
emerges from the recession stronger than ever.

Highlights
2000 Bestfoods is acquired in the second-largest cash acquisition in history. Other
acquisitions include Slim.Fast Foods, Ben & Jerry's and the Amora-Maille
culinary business in France.

The Unilever Health Institute – a centre of excellence in nutrition, health and


Vitality – is launched.
2001 By 2001 Unilever has cut its brands from 1,600 to 900. DiverseyLever, Elizabeth
Arden and Unipath are sold.
2002 The portfolio is reshaped and enhanced through acquisitions and the sale of 87
businesses without acceptable growth or margin potential, generating €6.3 billion
of sale proceeds.
2003 Unilever Health Institute opens regional centres in Bangkok and Accra, Ghana.
Unilever is consulted by the WHO regarding the development of a Global Strategy
on Diet, Physical Activity and Health (published May 2004).

Our Nutrition Policy and Nutrition and Health Academy are launched.
2004 The Vitality mission is launched and the new Unilever brand rolled out, including
the new logo which represents the diversity of Unilever, our products and our
people.
2005 Antony Burgmans becomes non-executive chairman of both Unilever N.V. and
Unilever PLC while Patrick Cescau takes on the new role of group chief
executive, responsible for all operations.

Unilever sells its global prestige fragrance business, Unilever Cosmetics


International (UCI), to Coty Inc, of the US. The sale is in line with Unilever’s
strategy to focus on core categories.

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The Nutrition Enhancement Programme is completed, through which 16,000


products have been assessed for levels of trans fats, saturated fats, sodium and
sugars, and where necessary, action taken.
2006 Antony Burgmans steps down as Chairman of Unilever after being with the
company for over 35 years. Michael Treschow succeeds him as the first
independent Chairman of the Boards of Unilever.

New technology helps create Small & Mighty, the first super-concentrated liquid
laundry detergent that uses one-third the packaging, one-third the water and one-
third of the transport of dilute liquids.
2007 Unilever announces agreements to acquire the Buavita vitality drinks brand in
Indonesia and Inmarko, the leading ice cream business in Russia.

Unilever commits to source all of its tea from sustainable, ethical sources, asking
the Rainforest Alliance to start auditing its tea suppliers with immediate effect.
The company aim is to have all Lipton Yellow Label and PG Tips tea bags sold in
Western Europe certified by 2010 and all Lipton tea bags sold globally by 2015.
2008 Home & Personal Care and Foods are combined into a single category structure,
and Central & Eastern Europe is managed within an enlarged region along with
Asia and Africa. Western Europe becomes a standalone region.

Unilever announces the sale of several of its businesses including its North
American laundry business, its edible oil business in Côte d'Ivoire together with
its interests in local oil palm plantations, Palmci and PHCI, and its Bertolli olive
oil and vinegar business with Grupo SOS.

The company commits to move to sustainable palm oil sourcing by 2015,


purchasing its first batch of certified sustainable palm oil already in November.

For the tenth year running, Unilever was named foods sector leader in the Dow
Jones Sustainability Indexes – the only company ever to achieve such an accolade.

Chief Executive Officer Patrick Cescau announces his retirement after over 35
years service to the company. Paul Polman takes over as Chief Executive Officer
on 1 January 2009, the first time the Boards have chosen an external candidate to
this position.

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BRANDS
Unilever is working 18% in Home care brands, 19% in Ice Cream and Beverages
brands, 28% in Personal Care Brands and 35% in Savoury, Dressings and Spreads.
Unilever is manufacturing more than 26 brands in 4 different categories……
Classification of these brands is following:

1. 11 brands in Food Category.


• Flora
• Bertolli
• Blue Band
• Heart-Brand (Wall’s)
• A1 Brook Bond (Tea)
• Lipton (Tea)
• Brooke Bond Supreme (Tea)
• Pearl Dust(Tea)
• Energile
• Rafhan
• Knorr
2. 3 brands in Home Care Category.
• Comfort
• Radiant (RIN)
• OMO (Surf Excel)
3. 12 brands in Personal Care Category.
• Axe
• Dove
• Lifebuoy (Shampoo)
• Lifebuoy (Soap)
• Lux
• Pond’s
• Rexona
• Fair & Lovely
• Close Up
• Vaseline
• Sunsilk (Shampoo)
• Clear (Shampoo)
4. Unilever Food-solutions.

Unilever also offering different Food Solutions to add natural flovours in


foods.

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Unilever Pakistan (Pvt) Limited Professional Project

BRANDS DESCRIPTION
FOOD BRANDS

Brand Logo Brand Name Description

Becel / Flora products contain Omega 3


Flora and 6 that help keep your heart healthy.
Flora Light spread, Flora Omega 3 plus,
Flora Buttery spread, Becel pro·activ
milk, Becel pro·activ yoghurt etc
Bringing the Mediterranean lifestyle into
Bertolli your home. Bertolli pasta sauces, Bertolli
spreads, Bertolli grilled chicken Alfredo
etc.
For decades, our products, ranging from
margarine spreads and cooking margarine,
to cream alternatives and cheese spreads,
have been a daily source of essential
Blue Band nutrients that help every family member to
grow, develop and thrive. Blue Band
Good Start spread, Blue Band liquid
margarine, Country crock yoghurt etc
Wall’s was launched globally in 1999.
Wall’s ice creams bring a taste of the
summer to any day. Unilever is the world’s
largest manufacture of ice cream; in fact
Wall’s Unilever holds almost 18% of the global
market share, vs 14% for Nestle, the
closest competitor Magnum, Cornetto,
Do-nut, Feast etc
At Knorr, we want people to enjoy good
Knorr food, any day, any time. Liquid soups,
Knorr noodles, Knorr yakhni, Knorr
Chicken Cubes and Knorr Palao Cubes.
Sensational food providing sensational
Hellmann’s moods. Hellmann's real mayo, Amora
vinaigrettes, Calvé ketchup and Wish-
Amora
Bone classic Italian salad dressing

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Unilever Pakistan (Pvt) Limited Professional Project

Lipton is one of the world's great


refreshment brands, making a big splash in
the global beverages market with tea-based
Lipton (Tea)
drinks including leaf tea. Lipton Yellow
Label tea, Lipton Green Tea, Lipton
Iced Tea, Lipton Ice Tea etc
Launched in 1996 the brand has certainly
A1 Brook Bond come a long way to acquire national status.
Brook Bond A1 is the strong cup of tea
(Tea)
that gives the strength to face challenges
and stand up for what you believe in. Leaf
tea, Mixture etc
Lipton Pearl Dust is the Sindhi soul that
imbues intimacy and warmth in a couple’s
Pearl Dust (Tea) relationship. Launched in 1984 this dust
tea brand has become the largest Sindhi tea
brand.
Brooke Bond Supreme was launched
in Pakistan in 1984. Brooke Bond Supreme
is part of life for the Pakistani consumer,
bringing families closer together with its
Supreme (Tea) rich taste and traditions. Tea drinking is a
social occasion in the context of Pakistani
culture, traditionally enjoyed with family
and friends.
Energile is an instant energy sports drink
with energy in the form of Glucose along
with Vitamin C and Calcium. Energile
Energile makes up for the energy kids consume
throughout their daily activities and sports.
Available in Lemon, Orange, Mixfruit and
Mango flavours.

HOME CARE BRANDS

Brand Logo Brand Name Description

The best care for your clothes, yourself and


your family. Comfort concentrate pure,
Comfort concentrate tropical burst,
Comfort
Comfort concentrate sunshine.

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Unilever Pakistan (Pvt) Limited Professional Project

No other brand knows more about


Radiant (RIN) delivering superior whiteness than Radiant.
Brilhante fresh, Brilhante, Rin advanced
range.
Launched in 1995. Giving your kids the
freedom to get dirty, safe in the knowledge
that OMO (Surf Excell) will remove those
Surf Excel
awkward stains. Omo Tablets Omo
Packet, Omo Liquids.

A special report (detail) is on Page #: 10

SELF CARE BRANDS

Brand Logo Brand Name Description

Helping males keep a step ahead in the


mating game. Axe Touch, Axe Pulse, Axe
AXE Shower Range, Axe Stick, Axe Best of
Summer etc
Dove provides a refreshingly real
alternative for women who recognise that
Dove beauty comes in all shapes and sizes. Dove
soaps, Dove Bodywash, Dove face care,
Dove hair care, Dove deodorant etc.
Lux offers a range of highly appealing
beauty products at a price you can afford.
Orchid touch, Almond delight,
LUX Energising fruit, Aqua sparkle, and
Limited Edition etc
Helping to keep your skin looking and
feeling naturally beautiful. Face wipes,
Pond’s Oils, Moisturisers, Cleansers etc
Rexona gives you the confidence to handle
whatever the day has in store. Rexona for
Rexona women, Rexona for men, Rexona teens,
Rexona sports, Rexona freshness etc
Sensational food providing sensational
moods. Hellmann's real mayo, Amora
vinaigrettes, Calvé ketchup and Wish-
Close-up
Bone classic Italian salad dressing

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Unilever Pakistan (Pvt) Limited Professional Project

Lifebuoy Shampoo was launched in 1997


as an Anti-Dandruff Shampoo. Since then it
Lifebouy has become an essential part of the
(Shampoo) Pakistani consumers life. Anti-dandruff,
Herbal, Daily-care.
A complete range of Lifebuoy soap,
Lifebuoy handwash, Lifebuoy shower
Lifebouy
gel, Lifebuoy ClearSkin.
(Soap)
Sunsilk provides real solutions to men’s &
women's everyday hair needs everywhere.
Sunsilk Sunsilk Colour & Shine, Sunsilk
Shampoo, Sunsilk Silky & Straight.
At any age, at any time, no matter what
your skin need, the Vaseline skin care team
Vaseline wants everybody to be able to enjoy great,
healthy skin everyday. Vaseline petroleum
jelly, Vaseline body lotion range.
Clear was launched in April 2007. Clear
introduced their first ever anti-dandruff
shampoo range for men. Clear spells
Clear confidence for the young Pakistanis of
today. Clean & itch control, Hairfall
defense, Hairfall decrease, Ice cool etc.
Fairness that changes your destiny. All
Fair & Lovely creams have a special
fairness system that protects your skin.
Fair & Lovely Fair & Lovely Anti Marks, Fair &
Lovely Herbal, Fair & Lovely Oil
Control and Fair & Lovely Sachets.

UNILEVER FOOD SOLUTIONS

Unilever Foodsolutions is one of the world's leading foodservice businesses. The


business works with customers including caterers, restaurateurs and major hotel and fast-
food chains to create food solutions that help grow their business.Unilever Foodsolutions
operates in 65 countries worldwide.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 3

INDUSTRY ANALYSIS

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Unilever Pakistan (Pvt) Limited Professional Project

Situation Analysis
Butter has largest selling product of UNILEVER stable in terms of Values. There
are a lot of Sellers who are selling butter in the entire Market. So our main focus is to
provide something different in the Market.

At this time no any butter Manufacturer is offering Dry fruit Butter, so we are
offering this unique type of Butter in the Market to get competitive advantage.

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Unilever Pakistan (Pvt) Limited Professional Project

PEST Analysis
Political
There is significant political pressure on Unilever Industry in Pakistan. This
pressure mostly arises from a high rate of taxes. This extremely high taxation rate greatly
deters the players in the industry from charging the premium prices for perceived value
addition.
Another political factor that impacts the industry, this time negatively is the
government’s policy of increasing excise duty on all imports, unilever imports a lot of
ingredients used in different products from other countries. Increase in custom duty
became a reason for increase in prices. Demand for this product decreases duo to
increased prices.

Economic
There are several implications of the economic situation of Pakistan. The adverse
performance was attributed to economic slowdown. Input cost has increased
substantially. The tariff on imported products has also been reduced and because of these,
there was an increased competition due to availability of chemical industry in Pakistan.
Such Economic factors have a resounding impact on related industry and although most
companies in the industry have switched from chemical ingredients to herbal ingredients.

Socioculture
A major trend in the rural areas of Pakistan has been a shift from using butter to
jam, because these are available in different flavors or tastes. This trend has spurned more
from impressive distribution networks and less from increased from increased
advertising, yet the result in positively in favor of Dry Fruit Butter because we are also
now offer Butter in a new unique taste.

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Unilever Pakistan (Pvt) Limited Professional Project

Technological
Technology plays a secondary role in this industry, as it is not heavily dependent
on technological advancements like the consumer electronic industry or the software
industry because Butter is based on non-tech in nature, technological in this industry is
therefore limited to function as a catalyst to improve production capacities, speed of
manufacturing cycle, inventory management and E-commerce application.

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Unilever Pakistan (Pvt) Limited Professional Project

SWOT Analysis
Strengths
 Unilever is a big multinational.
 Enjoying economies of scale.
 Good will in the market.
 Strong financial position.
 Large sales force.
 Well brand image & brand name.
 Strong and healthy relationships with distributors and retailers.
 Management of product is familiar with the psychographics and demographic of
the consumers.

Weakness
 Strong competition.
 Substitute products.
 Lack of control in the Market.
 Lack of Reliability of data, Plans predictability.
 Lack of Competitive Strength.

Opportunities
 Changing customers needs & wants as life style change.
 Increasing the volume of the Production.
 Rapid market growth.
 To create relation with society on the social marketing basis.
 Niche Target Market.
 Technology development and Innovations.
 The target market is educated professionals and belongs to premium and middle
class.

Threats
 Political effects.
 Economic Crisis.
 Legislative effects.
 Changing in the life style.
 Brand Switchers.
 Easily manufactured product.

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Unilever Pakistan (Pvt) Limited Professional Project

 Increases in prices due to fuel prices.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 4

MARKET RESEARCH

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Unilever Pakistan (Pvt) Limited Professional Project

Questionnaire Design
(Consumer Survey)

By Uniliver

Name-------------- Age---------------
Occupation----------------- Gender-------------

1. Do you use butter in your breakfast?


Never sometimes Rear Frequently Regularly

2. Are you satisfied with the available flavors of butter?


Yes To some extent No Don’t know

3. Do you want to add a new taste in your breakfast?


Yes No Don’t know

4. Have you ever heard about “Butter of Dry Fruits”?


Yes No Don’t know

5. Will you like the taste of “Butter of Dry Fruits”?


Yes No To some extent Don’t know

6. If “Butter of Dry Fruits” is provided by the Uniliver’s?


You will prefer to buy it You will not buy it

7. The purpose of buying a butter is/are?


Taste only Health only Taste and health both

8. Factors effect while purchasing a butter?


Price and quality packaging Advertisement pervious experience

9. What do you think about the success of this idea?


Poor Normal Good Excellent

10. Kindly state suggestion related to this product?

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Unilever Pakistan (Pvt) Limited Professional Project

Interpretation and Analysis


Q. No. 1: Do you use butter in your breakfast?

a) Never b) sometimes c) Rear d) Frequently e) Regularly

100

80

60
Q No. 1
40

20

0
a b c d e

Frequency Percentage Valid Percentage


a) Never 9 23.68% 23.68%
b) Sometimes 23 60.52% 60.52%
c) Rear 4 10.52% 10.52%
d) Frequently 0 00.00% 00.00%
e) Regularly 2 5.26% 5.26%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 2: Are you satisfied with the available flavors of butter?

a) Yes b)No c) Don’t Know d) To some Extent

100

80

60
Q No. 1
40

20

0
a b c d

Frequency Percentage Valid Percentage


a) Yes 13 34.21% 34.21%
b) No 9 23.68% 23.68%
c) Don’t Know 2 05.26% 05.26%
d) To some Extent 14 36.84% 36.84%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 3: Do you want to add a new taste in your breakfast?

a) Yes b) No c) Don’t Know

100

80

60
Q No. 1
40

20

0
a b c

Frequency Percentage Valid Percentage


a) Yes 31 81.58% 81.58%
b) No 7 02.63% 02.63%
c) Don’t Know 0 00.00% 00.00%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 4: Have you ever heard about “Butter of Dry Fruits”?

a) Yes b) No c) Don’t Know

100

80

60
Q No. 1
40

20

0
a b c

Frequency Percentage Valid Percentage


a) Yes 5 13.15% 13.15%
b) No 30 78.94% 78.94%
c) Don’t Know 3 07.89% 07.89%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 5 Will you like the taste of “Butter of Dry Fruits”?

a) Yes b) No c) Don’t Know

100

80

60
Q No. 1
40

20

0
a b c d

Frequency Percentage Valid Percentage


a) Yes 24 63.16% 63.16%
b) No 9 23.68% 23.68%
c) To Some Extent 5 13.15% 13.15%
d) Don’t Know 0 00.00% 00.00%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 6: If “Butter of Dry Fruits” is provided by the Unilever’s?

a) You will prefer to buy it b) You will not buy it

100

80

60
Q No. 1
40

20

0
a b

Frequency Percentage Valid Percentage


a) Yes 30 78.94% 78.94%
b) No 8 21.06% 21.06%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 7: The purpose of buying a butter is/are?

a)Taste only b)Health only c) Taste and health both

100

80

60
Q No. 1
40

20

0
a b

Frequency Percentage Valid Percentage


a) Taste only 24 63.16% 63.16%
b) Health only 9 23.68% 23.68%
c) Both Health and Taste 5 13.15% 13.15%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

Q. No. 8: Factors effect while purchasing this butter?

a)Price and quality b) packaging c) Advertisement d) pervious experience

100

80

60
Q No. 1
40

20

0
a b c d

Frequency Percentage Valid Percentage


a) Price and quality 24 63.16% 63.16%
b) packaging 9 23.68% 23.68%
c) Advertisement 5 13.15% 13.15%
d) pervious experience 0 00.00% 00.00%
Total 38 100% 100%

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 5

MARKET STRATEGIES

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Unilever Pakistan (Pvt) Limited Professional Project

New Product Planning and


Development
New Products are a vital part of a firm’s competitive growth strategy. Leaders of
successful firms know that it is not enough to develop new products on irregular basis.
What counts is a climate of a product development that leads to one success after another.

To develop a new product the following steps must be realized.

1. Idea Generation
2. Idea Screening
3. Product Planning
4. Product Development
5. Test Marketing
6. Commercialization

1: Idea Generation:
Every product starts as an idea. Unilever has already a Butter product in market
by the name of “Blue Band” & “Basel”. But there is an idea generates dry fruit butter
because the companies don’t have any dry fruit butter in their product line. The new idea
came in to mind is that to launch such a Spread which also works as Butter. There are
certain points which support the success of this idea. Like is cost effectiveness and time
saving product.
Idea was generated in two ways; “Internally” and “Externally”, In Internal ways
idea is generated by Board of Directors, Marketing Managers etc. In External way, idea is
checked through market survey.
There are 3 new product ideas given by internal committee.
• Dry Fruit Jam
• Dry Fruit Butter
• Sweet Butter

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Unilever Pakistan (Pvt) Limited Professional Project

2: Idea Screening:
In this process we check the efficiency and effectiveness of our ideas. By
analyzing our ideas we came to know that this idea is very profitable, there is low level of
risk because the product is new and quality oriented. The main purpose of idea screening
is that to find the best product from our 3 recommended options. We make a survey for
this purpose. We get opinions if many people and most of the people choose our 2nd
product “Dry Fruit Butter”. Because it is a new idea and it is very cost effective.

3: Product Planning:
This stage of the process involves several steps. We develop the Dry Fruit Butter
Project and responsibility for the project is assigned to a project team. The proposal of
Dry Fruit Butter is analyzed in term of Production, Marketing, Financial and
Competitiveness factors. A development budget is approximately Rs.40,00,000/- is
established and some preliminary marketing and technical research is undertaken. Dry
Fruit Butter features and components specifications are outlined. Finally, a project plan of
this product is written up, which includes estimate of future development, production and
marketing costs along with capital requirements and improvements and manpower needs.
Project proposal is given to top management for a go or no-go decision.

4: Product Development:
At this stage, out planning is completed and we start development phase. We
choose the most appropriate plan and then start working on it. The plan we selected is the
best among all available and meets the most of requirements. A development report to
management is prepared that spells out in fine detail:
1. Results of the studies;
2. required plan design;
3. production facilities design;
4. Tooling requirements;
5. Marketing Test plan;
6. Financial program survey.

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Unilever Pakistan (Pvt) Limited Professional Project

5: Test Marketing:
Up until now product has been company secrets. Now company goes outside the
company and submits the product candidate for customers approved. Test Marketing is a
controlled experiment in a limited geographic area to test the product or in some cases
certain aspects of the marketing strategy, such as packaging or advertisement. The main
goal of the test market is to evaluate and adjust the general marketing strategy to be used
and the appropriate Marketing Mix. Throughout the test market process, findings are
being analyzed and forecasts of volume developed. Upon completion of a successful test
market phase, the marketing plan can be finalized and the product prepared for launch.

6: Commercialization:
This is the launching step in which the firm commits to introducing the product
into the marketplace. During this stage, heavy emphasis is placed on the organization
structure and management talent needed to implement the marketing strategy. Emphasis
is also given to following up on such things as errors in the design, production costs,
quality control and inventory requirements.

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Unilever Pakistan (Pvt) Limited Professional Project

Quality level: Consumers consider that the level of the product quality when purchase
decisions are both new and existing products. At minimum, buyers want product that will
perform the functions they are supposed to and do so reasonably well. Some customers
are willing to accept lower quality if product use is not demanding and the price are
lower.
In designing new products, marketers must consider what criteria potential
customers use to determine their perception of quality. Eight general criteria are:
• Performance
• Features
• Reliability
• Durability
• Serviceability
• Overall evaluation

Product Design: Many well-design products are easy to us as intended and pleasing to
the senses. Designing new products with both ease of use and aesthetic appeal can be
difficult, but it can clearly differentiate a new product from competitors. Good design can
add great value to a new product.

Product Safety: Clearly, new products must have a reasonable level of safety. Safety is
both an ethical and practical issue. Ethically, customers should not be using harmed by
using product as intended. The practical issue is that when users get harmed by a product,
they may stop buying, tell others about their experience or sue the company.

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Unilever Pakistan (Pvt) Limited Professional Project

SEGMENTATION OF TARGET MARKET

GEOGRAPHIC SEGMENTATION

Country Pakistan
Destiny Urban, Sub-urban, Rural
Population + 160 million
Climate All weather

DEMOGRAPHIC SEGMENTATION

Age 5 years and above


Gender Both Males and Females
Occupation One earning member usually the male
Family size Nuclear family size
Family income A & B class

PSYCHOGRAPHIC SEGMENTATION

Social class Upper and Middle class


Opinions They are aware that they have to look
good and socially conscious
Personality Authoritarian
Lifestyle Strivers and Achievers

BEHAVIOURAL SEGMENTATION

Purchase Occasion All occasion


Benefit sought Health and Taste.
User status Regular user, Non user, Potential user
Usage rate Heavy user
Loyalty status Strong loyalty
Readiness stage Aware, Interested and Intending to buy
Attitude towards product Positive

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Unilever Pakistan (Pvt) Limited Professional Project

Gender:
Already our target market is to cater both the genders so no other segment is left
to think on that section.

Occupation:
We cater the people of good income so students and professionals but we cater
our labor-class and those college students who really care about their Health.

Income Level:
We catering income of people Rs.10,000+ but we can move downwards as we
have different packing sizes.

Life Style:
All those who are strivers, achievers and strugglers (it helps to maintain style)

Personality:
It’s compulsive for gregarious and social persons, who are ambitious and want to
do something all those who really care about their Health conscious.

Positioning
Determine positioning: we determine our product’s position in the market. By
this analysis we came to know that where our product stands in market and how much it
compete with other competitors already in the market.
We can make this analysis by checking our:
• Sales
• Number of Customers
• Market share
• Reputation

Product positioning is how a product is positioned in the mind of the customers.


Positioning begins with a difference in the Product that is worth establishing to the extent
that it is improved, distinctive, superior, communicable, pre-emptive, affordable and
profitable.

Differential Advantage refers to any feature of a product or organization perceived by


resources to be desirable and different from the competitors.

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Unilever Pakistan (Pvt) Limited Professional Project

Target Market
We set our target market after making complete analysis. The market which we
needed should contain certain points like:
• Large number of customers
• Demand for our product
• Availability of products

Market Entry, survival and Winnig Strategy


The price we are charging are according to the affordability of the customers. Our
aims to have the largest customer base and therefore, providing servicves in maximum
locations
Different promotion strategies are being used like traditional ways of promotions
as well as other ways like Sales Promotion etc.
To survive and winnign the market Bright star as agency follow these seven tips
so that BSAA can compete in the target market.
• Take the lead ROI conversations rather than undergoing them.
• Differtitate yourself
• Stop Advertising, start communicating
• Learn about the stuff that really works.
• If it has no meaning, then stop doing it.

Pricing Strategies
Dry fruit butter claims to practice Market Penetration Pricing in which the price
of the product is set low in order to attract large amount of customers. The research
department determines this price by using focus groups. The prices of our proposed
product is given below:

• 500g for Rs.175/-

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Unilever Pakistan (Pvt) Limited Professional Project

Distribution Strategies
For product-focused companies, establishing the most appropriate distribution
strategies is a major key to success, defined as maximizing sales and profits.
Unfortunately, many of these companies often fails to establish or maintain the most
effective distribtion strategies.
Companies can improve its distribution strategies by:
• Mapping your products to the end user
• Determining customer’s channels preferences and comparing these preferences
with actual availability.
• Recommendating new channels.
• Examining competitor’s strategies and comparing them and their effectiveness
with your own.

Promotional Strategies
The advertising objectives are set avoiding to the advertising strategy for each
product e.g Dry Fruit Butter advertising objectives are:
• To increase the usage
• Taste benefits
• Health benefits
• Effectively communicate brand promise.

Advertisement Strategies
The advertisement of a product should follow the SMILE approach that is:
S– Simple
M– Memorable
I– Intersting with relevent information
L– Linked to the rand
E– Emotionally involved and liked

The advertisement should be in line with the past as (if any). The ad should have a
good advertising idea.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 6

PROPOSED PROJECT

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Unilever Pakistan (Pvt) Limited Professional Project

Introduction
My proposed product is DRY FRUIT BUTTER i.e butter with dry fruits named
as “Delecio”.

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Unilever Pakistan (Pvt) Limited Professional Project

The butter that is offering is made up of the cow’s milk and containing dry fruits
extracts, tastes, fragrence. If we launch the dry fruit butter, our organization will gain the
early market advantage, high market share, consumer confidence and should not been the
high publicity expnses. Because this is no competitor in the market.

Market Position
In market butter is available and inflavoured butter only nuts buuter is available.
The nut butter is being purchased by consumer, but this product is imported usually out
of reach of majority and has limited supply and low publicity in the Pakistan no local and
multinational organization offers flavoured butter that is why there is a huge potential for
this Prodcut.

Its main height is that, it is a combination of many great facts. Its first fact it
contains that good fats, second it has low cholestrols and third it is dieng heart yummy
and ablicious.
Its good fats provide energy to meet out the energy needs of daily course of life.
Its because of low cholestrol many diet contious or the people who has any medical
problem can easily use it. Because of its great taste, people will like it.

No one in the market offers such a combination of goodness health and taste that
is why there is great potential for it.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 7

FINANCIAL PLAN

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Unilever Pakistan (Pvt) Limited Professional Project

Break Even Analysis


The break even point for a product is the point where total revenue received
eauals the costs associated with the sale of the product (TR=TC). A break-even point is
typically calculated in order for business to determine if it would be profitable to sell a
proposed product, as opposed to attempting to modify an existing product instead so it
can be made lucrative. Break even analysis can also be used to analyse the potential
profitability of ana expenditure in a Sales-based business.
The graphic method of analysis (below) helps you in understanding the concept of
the break-even point. However, the break-even point is found faster and more accurately
with the formula:
FC
Q =
(Up - Vc)

Q = Break-even point (Unit of production)


FC = Fixed cost
Up = Unit Price
Vc = Variable cost per unit

Therefore:
Break-even point Q = Fixed Cost / (Unit Price - Variable Unit Cost)
If
Fixed Cost = Rs. 35,00,000
Unit Price = Rs. 175 (Only 500g is available)
Variable Unit Cost = Rs. 32

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Proposed Income Statement
For the year ended on 31st December……..

2009 2010 2011 2012 2013


Description
Rs. Rs. Rs. Rs. Rs.
30,00,00
Sales 25,00,000 35,00,000 45,00,000 47,00,000
0
20,00,00
(-) C.G.S 22,00,000 13,00,000 37,00,000 25,00,000
0
10,00,00
Gross Profit 300,000 12,00,000 800,000 22,00,000
0
(-)Operating Expense 7,00,000 100,000 500,000 600,000 900,000
=Operating Profit 300,000 200,000 700,000 200,000 1,300,000
(+) Other Income 300,000 600,000 600,000 10,00,000 1,200,000
= Profit Before Tax 600,000 800,000 13,00,000 12,00,000 2,500,000
(-)Taxation (5%) (3%) (8%) (7%) (4%)
Profit After Tax 5,70,000 5,60,000 11,96,000 11,16,000 24,00,000

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Common Size Income Statement
For the year ended on 31st December, 2009

Common Size Income


2009
Description Statement
Rs. %
Sales 30,00,000 100%
(-) C.G.S 20,00,000 66%
Gross Profit 10,00,000 33%
(-)Operating Expense 7,00,000 23%
=Operating Profit 300,000 10%
(+) Other Income 300,000 10%
= Profit Before Tax 600,000 20%
(-)Taxation (5%) 10%
Profit After Tax 5,70,000 19%

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Common Size Income Statement
For the year ended on 31st December, 2010

Common Size Income


2009
Description Statement
Rs. %
Sales 25,00,000 100%
(-) C.G.S 22,00,000 88%
Gross Profit 300,000 12%
(-)Operating Expense 100,000 4%
=Operating Profit 200,000 8%
(+) Other Income 600,000 24%
= Profit Before Tax 800,000 32%
(-)Taxation (3%) 0.96%
Profit After Tax 5,60,000 22.4%

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Common Size Income Statement
For the year ended on 31st December, 2011

Common Size Income


2009
Description Statement
Rs. %
Sales 35,00,000 100%
(-) C.G.S 13,00,000 37%
Gross Profit 12,00,000 34%
(-)Operating Expense 500,000 14%
=Operating Profit 700,000 2%
(+) Other Income 600,000 17%
= Profit Before Tax 13,00,000 37%
(-)Taxation (8%) 3%
Profit After Tax 11,96,000 34%

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Common Size Income Statement
For the year ended on 31st December, 2012

Common Size Income


2009
Description Statement
Rs. %
Sales 45,00,000 100%
(-) C.G.S 37,00,000 82%
Gross Profit 800,000 18%
(-)Operating Expense 600,000 13%
=Operating Profit 200,000 4%
(+) Other Income 10,00,000 22%
= Profit Before Tax 12,00,000 26%
(-)Taxation (7%) 7%
Profit After Tax 11,16,000 25%

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Unilever Pakistan (Pvt) Limited Professional Project

Unilever International limited


Common Size Income Statement
For the year ended on 31st December, 2013

Common Size Income


2009
Description Statement
Rs. %
Sales 47,00,000 100%
(-) C.G.S 25,00,000 53%
Gross Profit 22,00,000 47%
(-)Operating Expense 900,000 19%
=Operating Profit 1,300,000 27%
(+) Other Income 1,200,000 25%
= Profit Before Tax 2,500,000 54%
(-)Taxation (4%) 2%
Profit After Tax 24,00,000 51%

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 8

RECOMMENDATIONS

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Unilever Pakistan (Pvt) Limited Professional Project

Recommendation:
 Unilever realizes the huge potential of the rural market, i.e 72% of the total
population, but has not yet been a successful strategy to penetrate this market. The
success of the Unilever Pakistan should be evaluated, which has successfully
captured the rural market by two key strategies, by adopting the packaging and
pricing to this market.

 Unilever should increase the buying of raw material from local markets so that it
does not have to suffer excessively form devaluation and continuous increase in
tariff rates. This would also negate the adverse affect on sales volume due to
smuggled foreign product.

 Unilever should enter into the WEB Marketing.

 They should increase the frequency of their advertisement on electronic and print
media.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 9

CONCLUSIONS

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Unilever Pakistan (Pvt) Limited Professional Project

Conclusions:
Unilever is the world’s leading multinational company. Since many decades it has
been associated with providing high quality, customer and consumer focused products.
Our company Unilever will be focused on becoming number one in nutritious, health and
home care products Company. We will take pride by setting Consumer satisfaction our
first priority and we will be successful in the upcoming years.

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Unilever Pakistan (Pvt) Limited Professional Project

CHAPTER No. 10

REFRENCES

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Unilever Pakistan (Pvt) Limited Professional Project

Website:
1. www.unilever.pk
2. www.scribd.com

Books:
1. Principal of Marketing (11 Edition)
By Philip Kotler

Reports:
1. Annual Report Unilever Pakistan Limited (2008)
2. Annual Report Unilever Pakistan Limited (2007)

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