Of
Submitted By:
NABEEL AHMED
AD513710
MBA (A)
Submitted To:
Dedication:
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ACKNOWLEDGEMENT:
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TABLE OF CONTENTS:
EXECUTIVE SUMMARY
05
VISION
06
MISSION STATEMENT
07
HISTORY OF PEL
08
SWOT ANALYSIS:
11
TARGET MARKET
16
PROMOTION 17
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ADVERTISING
18
CONCLUSION 21
REFERENCES 21
Executive Summary:
PEL and PEL appliances fall under the Saigol Group of Companies.
PEL has long been known in Pakistan as a company that produces
quality products. PEL has created a brand loyalty among its users
and the company credits that to its high quality and vast product
range. PEL has been continuously adding new products to its range.
As a result, PEL has registered a significant increase in its sales
volume, during the last ten years.
One sector in Pakistan that has grown considerably in the past is the
Home Appliances Division. There is great competition in this sector
and PEL has survived this competition with great flair. PEL enjoys
good reputation in the market for its home appliances.
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My stay at PEL was very beneficial due to the fact that I got the
opportunity to learn the trends in the market in this sector. The
company takes it as a liability to take care of its employees. The
corporate culture at PEL was very healthy and induced work habits.
This atmosphere helped me in building self-confidence and belief. At
PEL I had an opportunity to deal directly with the customers and find
out their demands and problems associated with PEL. I got to know
about the trend in the industry and also conducted a research
through which I got a better understanding of the consumer buying
behavior.
I also got a chance to improve my decision-making skills. Further
more, working at PEL also helped me in becoming a better time-
managed person. I got to know the importance of teamwork at the
work place.
In the end, all the experience that I have gained during my stay at
PEL has helped me a lot in becoming a better organized person and
will definitely help me in becoming an even better person in the
future. I can say this with out doubt that the values that I have
gained while working at PEL will be applied to wherever I go to work
in the future.
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Pak Electron Ltd. (PEL) was established in 1956 with the technical
collaboration of M/S AEG Germany and is the oldest composite
electrical equipment manufacturing unit in Pakistan.
IN OCTOBER 1978 the company was taken over by the SAIGOL GROUP,
which is one of the leading industrial and commercial groups of
Pakistan. The products manufactured by PEL have always been of a
high standard and the name “PEL is synonymous with quality all over
Pakistan.” PEL, since its inception, has been acting as an institution
working for the advancement and development of engineering and
modern technology in Pakistan
IN 1981, PEL window type air conditioners were introduced in technical
collaboration with General Corporation of Japan.
IN 1986-87, the company started manufacturing of refrigerators in
technical collaboration with M/s IAR-SILTAL of Italy.
IN 1987, PEL deep freezers were also introduced in technical
collaboration with M/s Ariston of Italy.
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LAHORE FACTORY:
• Production department.
• Research and development.
• Quality control department.
• Human resources department.
• Marketing department.
• Finance department.
Appliances Division.
Power Division.
APPLIANCES DIVISION:
PEL’s Appliances Division is the flag carrier of the Saigol Group
involved in home appliances manufacturing.
Air conditioners.
Refrigerator.
Deep freezers.
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Microwave oven.
Washing machine.
Generators.
POWER DIVISION:
PEL Power Division manufactures energy meters,
Transformers
Switchgears
Kiosks
Compact stations
Shunt capacitor banks
Energy meters
Generators
All these electrical goods are manufactured under strict quality
control and in accordance with international standards.PEL is one of
the major electrical equipment suppliers to Water and Power
Development Authority (WAPDA) and Karachi Electrical Supply
Corporation (KESC), which are the largest power utilities in
Pakistan.Over the years, PEL electrical equipment has had been used
in numerous power projects of national importance within Pakistan.
In spite of stiff competition from emerging local and multinational
brands, PEL Group's appliances and electrical equipments have
remained in the spotlight due to constant innovation. Strategic
partnership with multinationals of repute have enabled the PEL
Group to incorporate new technologies into existing product ranges,
thus giving the Pakistani market access to innovative, affordable and
quality products.
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• STRENGTHS:
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QUALITY PRODUCTS:
PEL is also in a strong position because it provides superior
quality products to customers. So it gives an edge to company
over its competitors. Due to best quality, guarantee of products of
PEL is more than its competitors.
BEST SALES SERVICES:
PEL provides the after sale service to customers which
increases the customers satisfaction. The biggest strength of
services department is that it handles a complaint within 24 hours
in any part of the country, that helps in increasing the satisfaction
level of customers.
MARKET LEADER IN WRAC (WINDOW ROOM AIR CONDITIONER):
It is also strength of PEL that it is a market leader in WRAC.
Costumer always gives preference to PEL in window AC market
because of low price, high quality and durability.
NUMBER TWO IN REFRIGERATORS IN PAKISTAN:
After the Dawlance refrigerators, PEL has the second
position in the refrigerators market. PEL is gradually coming up in
refrigerator market and increasing its market share. Due to
improved quality, innovative features and good sales services PEL
is becoming the first choice for customers.
STRONG MANAGEMENT TEAM:
It is another plus point that PEL has a strong management.
Its employees are competent, efficient, skilled and knowledge.
They always cooperate with the top management in achieving of
goals that are assigned to them. Employees are well aware about
the company objectives and are committed to the development of
company.
DISTRIBUTION OF AUTHORITY:
Top management of PEL delegates the power to the
subordinates for achieving the marketing objectives in a specified
time period. So every manager has an authority to take decisions
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to achieve the goals of company. In this way they save the time
and react quickly.
RESEARCH AND DEVELOPMENT DEPARTMENT:
PEL has a strong research and development department
that is continuously trying to develop new features for the
products. R&D department spends huge amount of money for the
development of new products.
FREE CUSTOMER SERVICE:
PEL provides free customer service for one year to its
customers. The customers who buy the PEL products become
brand loyal due to this facility.
• WEAKNESSES OF PEL:
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cities of Pakistan but there are so many places that are yet to be
exploited.
INCREASE IN PRODUCT RANGE:
PEL can increase its product range that will be more
profitable for the company. There are more needs to develop new
consumer items like PEL washing Machines, Vacuum cleaner and
other items.
EXPORT OPPORTUNITY :PEL has also the opportunity to export
their products in other international countries like UAE, SAUDI
ARABIA, and other Arabic and African countries.
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CHINA’S PRODUCT:
China’s products are another threat for the Pakistani
companies because these products are cheaper than the Pakistani
products. China products stress the indigenous companies to
lower the quality and prices that will not be profitable in the long
run.
PRICE WAR:
As there is stiff competition in the home appliance market
that will cause the price war.
SLOW GROWTH RATE IN PAKISTAN:
There is also slow growth rate of home appliance in Pakistan
that will increase the stocks of the company. Although, this
industry is in the growth phase, but the speed of the growth is
very slow.
INSTABILITY OF GOVERNMENT:
The rapid changes in governments will become a threat for
the companies because every government adopts new policies for
the industries. So it increasesthe uncertainty for the investors
who want to invest heavy amounts in their new projects.
TAX DEPARTMENT:
Tax department is another major threat for the company
that will restrain the business expansion. There is a most
complicated tax procedure operating in the country that creates
hurdle in the production and smooth functioning of different
companies in Pakistan.
WORLD TRADE ORGANIZATION:
World trade organization will give the permission in 2005 to
each company of home appliance to export their products after
paying less duties or duty free products. That will increase the
pressures for the indigenous companies to reduce the prices and
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It is
the segment for which the seller designs particular marketing mix.
Target market Strategies:
Following are the target market strategies:
Aggregation strategy
Single segment strategy
Multiple segment strategies
Aggregation strategies:
In this strategy total market is treated as a single segment and single
market mix is developed to reach the customers in the entire
Market.The company offers a single marketing mix.
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• ADVERTISING:
Advertising is non personal communication paid for by a clearly
identified sponsor promoting ideas, organizations or products. The
most familiar outlets for ads are the broadcast and print media.
The company highly believed in advertising. The company is
expanding a lot of money on different advertising media which are:
- Television
- Hording
- Neon Sign
- Stickers
- Banners
- Point Of Sale
- Calendars
- Wall
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- Clocks
- Brochures
- Key Chain
- Billboards
Organizing advertisement:
A firm can manage its advertising program through following ways:
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SALES PROMOTION:
Sales promotions sponsor-founded, demand-stimulation activity
designed to supplement
advertising and facilitate
personal selling.
PEL uses out door
activities:
Exhibitions
Road shows
Promotion
schemes etc.
PUBLIC RELATIONS:
Public relations encompass
an wide verity of
communication effort to contribute to generally favorable attitude
and opinions towards an organizations and its products.
PEL also engaged in public relations activities just to create a soft
image in the hearts people.
SOCIETAL MARKETING:
Firm that sufficiently extents the breadth and commitment
dimensions of its marketing goals to fulfill its social responsibility are
practicing what has become known as the societal marketing.
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Installment Facility:
References:
Site references:
www.pel.com.pk
www.scribd.com
Men references:
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