re branding strategy of econo ball pen

American International University- Bangladesh (AIUB)

“Rebranding strategy of Econo ball pen”A Term Paper submitted in Partial Fulfillment of the Requirement for the course Global Trade

for the Degree in Bachelor of Business Administration

Submitted to,

Faculty: Mahmud Habib Zaman

Course name: Global TradeDepartment name: School Of Business (BBA)

Semester: Summer 2011Section: B

Submitted by,

Sarker Abhishek 08-11654-2

Executive Summary

Econo ball pen was one of the popular brand of Bangladesh. From 1980 to 2000 it was top

leading ball pen brand. But after 2000 the popularity of this brand become declining. Now this is

a dead brand. The mother company of Econo ball pen is GQ manufactures Industries Ltd. The

main business of this company was producing and sells various ball pens. The main specialty of

this company was price of their ball pen was very cheap. Econo ball pen was main brand of this

company. Econo ball pen was very popular because of cheap rate & smoothness. That’s why

they developed their business & became popular very rapidly. The main target customer of

Econo ball was student & various employees.

The main business form of this company was manufacture business. The main strategy of their

business was producing various colorful cheap rated ball pens. They sold their ball pen by

retailer. They had also share in capital market. Their organization structure was not so good but

they had a small organization. They also faced some problem when Econo ball pen was in peak

time. The main problem was poor distribution channel, lack of monitory, various problems in

Econo ball pen.

Table of Contents

Page

Abstract of the Report ……...... …………………………………………………………. 4

1.1 Rationale of the Study

1.2 Objectives

Company Overview…………..…………………………………………………………. 5

List of business portfolio……………………………………………………………………………………… 6

Details information about the product………………………………………………………..7

Competitors ………………………………………………………………………………….. 8

Methodology…………………………………………………………….......... ……………. 9

Literature Review………………………………………………………………................ 10

Practice of marketing concept………………………………………………………………….12

Strategy………………………………………………………………………………………...14

Financial situation……………………………………………………………………………15

Recommendation……………………………………………………………………………16

Conclusion…………………………………………………………………………………17

Appendix………………………………………….……………….…………………………….20

ABSTRACT OF THE REPORT

1.1 Rationale of the Study

Econo ball pen was one of the leading ball brand in Bangladesh. This ball pen was introduced in

Bangladesh since 1988. Within some year of launching it became one of the leading ball pen

brand in the country. It became popular because of its cheap price rate and availability. The

mother company of Econo ball pen was GQ manufactures industries Ltd.The Company set the

price effectively. As a result Econo ball pen was very popular specially to the student. But after

2000 the popularity of this brand become declining. Now this is a dead brand.

1.2 Objectives

The objectives of this paper are as follows:

Provide an overview of the Econo ball pen

To evaluate the rebranding strategy of Econo ball pen.

To identify the factors influencing on the rebranding strategy of the company.

To find out the strategies need to implement for achieving its long term goal.

Company overview



a dead brand. The mother company of Econo ball pen is GQ manufactures Ltd. The main

business of this company was producing and sells various ball pens. The main specialty of this

company was price of their ball pen was very cheap. Econo ball pen was main brand of this

company. The main business form of this company was manufacture business. The main strategy

of their business was producing various colorful cheap rated ball pens. They sold their ball pen

by retailer. They had also share in capital market. Their organization structure was not so good

but they had a small organization. The Head office of This Company situated in 331/2 Tajuddin

Ahmed Swaroni Bara Moghbazar, Dhaka, Bangladesh. The number of employee of this

company is more than 1000.

Mission To deliver innovative, user friendly and better-quality products at best value to the customers, keeping in mind the prosperity of the company and its stakeholders.

VisionTo establish Econo as a national brand, known for its values, assertiveness and the acumen to adapt to the ever-changing environment.

List of business portfolio of the organization Product Line

Snack Food Processing

Mosquito Coil

Disposable Glass

PP Woven Bags

Real Estate Writing Instrument

Financial institutions

Detail information about their products

GQ manufactures Industries Ltd is the mother company of Econo ball pen. Econo ball pen was

one of the popular brand of Bangladesh. From 1980 to 2000 it was top leading ball pen brand of

Bangladesh. But after 2000 the popularity of this brand become declining. Now this is a dead

brand. The main business of this company was producing and sells various ball pens. The main

specialty of this company was price of their ball pen was very cheap. Econo ball pen was main

brand of this company. The price of Econo ball pen was 3 tk. The size of this ball pen was very

thin. There is no variety among the design of the pen.

Competitors and their products The main competitor of Econo ball pen is Cello, Montex, Linc pen, Metador etc.

Product of Linc pen: Product of montex pen

Product of cello pen:

Methodology

Source of Data: We have taken interview of officer working in GQ Manufactures Ltd. Primary

data of this report was collected from the interview.

Survey instruments: We have taken help from our textbook to understand the theory base term.

We have also searched information from company website and other websites

4 Ps Marketing

Mix

Product

Price Place

Promotion

Different types

of pen

Price is reasonable Rural area

Communication

strategy

Literature Review

4p’s

Different types of pen: We should change the design of Econo Ball pen. Different design of pen

must be introduced. Gripper must be used for softness.

Reasonable price: Price of Econo ball pen must be reasonable. We must maintain cheap price.

Rural area: Rural area is our main target place and rural customer is our main target customer.

Because maximum people of Bangladesh are lives in Rural area and rural consumer are very

price sensible.

Communication strategy: We should maintain proper communication strategy for rebranding this

product.

SWOT analysis for Econo ball pen

Internal analysis1. Strength:

• Good reputation among customers• Cost advantage • Natural resources

2. Weakness• Technology• Manpower• Reputation• Capital• Management system

EXTERNAL ANALYSIS

3. Opportunities• Brand• Price

4. Threats• Shifts in customer choice away from the firms product• Competitors • New regulation

Practice of marketing concept for REVIVAL OF PRODUCT/BRAND

Econo ball pen is died brand. We should start proper marketing promotion for rebranding this

product. There is lots of competitor of Econo ball pen now in market. We should take proper

marketing step for rebranding this product.

Factor behind the Decline of Brand

Advertising Strategy

Entering Foreign Brand

Failure to used modern technology

Unworthy Planner

We should start proper advertisement for rebranding this product. Without proper adver-

tisement customer will not be aware about this product. Proper steps from government

are also necessary, because govt. should take proper step for not entering foreign ball pen

brand in Bangladeshi market. Shape of Econo ball pen must be changed. Modern shape

and modern technology must be introduced. We should take long term marketing plan for

rebranding this product.

STRATEGIES FOR IMPLEMENTATION

1. Advertising strategies: Proper advertising program must be start for rebranding this product.

We should do TVC add, Billboard add and also use brand ambassador for proper advertisement.

2. Change the shape of the pen: Shape of Econo ball pen must be changed. Shape of econo ball

pen is very old and new shape must be introduced.

3. Have to strength B2B business: We should maintain strong B2B business structure.

4. Must maintain strong supply chain: Must maintain strong supply chain for maintain strong

business.

STP analysis of Econo Ball Pen:

Segmentation: We will do three types of segmentation strategy.

Geographic segmentation: City, country, state this are under geography segmentation.

Company rebranding their product, that’s why our main geographic segmentation will be rural

area. First we segment our business in this country by six main divisions. Then form these six

main divisions we segment the main city and rural area in which Students are large in number.

Our main segment area will be in rural and Thana area.

Demographic segmentation: After completing geographic segmentation we will star

demographic segmentation. Age, income, gender, and education these are under demographic

segmentation. First we start our demographic segmentation by age, occupation and income.

Under age there will be three types of people. This are-

1) Young people

2).Middle age people

3.) Aged people

Then we will do our demographic segmentation by income. Under income there will be three

types of people. This are-

1) Middle class people

2) Upper middle class people

3) Upper class people

Psychographic Segmentation: After completing demographic segmentation we will start

psychographic segmentation Active, interesting, opinions, personality, valus these are under

psychographic segmentation. But we will do our psychographic segmentation based on

Activities. Under activates these are will be there types of consumer. These are

1. Service holder people

2. Business people

3. Student class people.

After completing our segmentation then we will identify our target customer.

Target customer:

People of rural area and student are our main target customer. Because they are very much price

sensitive.

Positioning:

We will use two types of positioning strategy.

1) high tech positioning strategy

2) high touch positioning strategy

Financial Situation

Financial situation of Econo ball pen is not strong now. They have huge revenue and gross profit

before 2000. But after 2000 this company is in loss and gross revenue and gross profit become

decline. In 2000, GQ Ball Pen Industries has a total turnover of Tk 30 crore whereas in 2001, its

earning reduced to Tk 27.27crore. GQ sold ball pen worth Tk 27 crore in 2002, Tk 25 crore in

2003 and it dropped to Tk 22 crore in 2004.

Financial PositionParticular 2002 2003 2004Sales 50Crore 45 Crore 40CroreGross Rev-enue 48Crore 42 Crore 35 CroreNet Income 27Crore 25 Crore 22Crore

Recommendations

Econo ball pen was one of the leading ball pen brand in Bangladesh. But lack of proper

maintenance and promotion it is now a die brand. We should take proper step to rebranding this

ball pen. If we can do proper rebranding then we can make this brand again one of the leading

ball pen brand of the country.

Conclusion

If we can do proper rebranding for econo ball pen then we can make this ball pen again number

1 ball pen brand for this country. If we can make this then people of Bangladesh and Bangladesh

will be benefited. Because foreign brand is so much popular in Bangladesh now. If we can make

Econo ball pen popular then popularity of foreign brand will be decreased.

Limitations

This paper suffered from a number of limitations. Some are stated below:

As a novice it was difficult for us to analyze the total rebranding plan. In case of Trend and Time series analysis interpretation based on five years data of the company’s early stage of operation may not reflects true picture of the future and it was very difficult to collect

As a student of BBA, due to time constraint, comprehensive study based on information collected from primary source is not possible by us. So, we interview some of the marketing executives to get an idea of operations and issues in the company.

Reference

Websites:

o Hossain Akbar,’ Local companies are struggling’, Recent Market of Ball pen, http://

www.google.com,2007(accessed 28July 2011).

o Mahzabin Anika,’Popularity of foreign pen is increasing’. Analysis of Local ball pen in-

dustry. http://www.google.com(accessed 28 July 2011)

Books:

o Kotler Philip, Marketing management(12th edition),McGraw Hill,2009-2010

o Hill W.L Charles, International Business(7th edition),McGraw Hill,2010-2011

Newspapers:

o Rahman Latifur,’Local ball pen industries is dwindling fast’, The daily star,17th Febru-

ary.2008.P.5.

o Alam Mahabubul,’the local companies are facing hardship to exist’, The Independent,

18th June. 2007, P.4.

http://www.google.com(accessed

http://www.google.com,2007(accessed

http://www.google.com,2007(accessed

Appendix

Case study analysis



a dead brand. The mother company of Econo ball pen is GQ Ball Pen Industries Ltd. The main

business of this company was producing and sells various ball pens. The main specialty of this

company was price of their ball pen was very cheap. Econo ball pen was main brand of this

company. Econo ball pen was very popular because of cheap rate & smoothness. That’s why

they developed their business & became popular very rapidly. The main target customer of

Econo ball was student & various employees.

The main business form of this company was manufacture business. The main strategy of their

business was producing various colorful cheap rated ball pens. They sold their ball pen by

retailer. They had also share in capital market. Their organization structure was not so good but

they had a small organization. They also faced some problem when Econo ball pen was in peak

time. The main problem was poor distribution channel, lack of monitory, various problems in

Econo ball pen.

Questionnaire

Dear Customer,

We are the student of B.B.A, American International University-Bangladesh. And for the fulfill-ment of our Global Trade course requirement, we are going to undertake a study on “Impact of rebranding strategy of Econo ball pen among the target customers”. Your co-operation in this regard will be highly appreciated and we are assuring you that the information you provide us with will be used for academic purpose only.

Name: ……………………………………………… Age: …………………………….

Address: …………………………………………… Occupation: ……………………

Q 1: Have you ever heard the name of Econo Ball pen?

a) Yes b) No

Q 2: If yes, then from which of the following sources have you got information about it?

a) Advertisement b) Friends c) Family members d) Retail Shops e) Other ……………………….

Q 3: Have you ever write by Econo ball pen?

a) Yes b) No

Q 4: which ball pen you liked the most?

a) Cello b) Montex c) Linc d) Econo

Q 5: what is your preferred colour?

a) Black b) Brown c) White d) Shadow e) Other

Q 6: What do you look when you choosing pen?

a) Price b) Quantity c) Social acceptance d)Latest model e)Other

Q 7: What do you expect from your sales person ?

a) Devotion b) Good product Knowledge c) Always at your service d) Well mannered e) Charming

Q 8: What is your opinion about Econo ball pen? a) Very Good b) Good c) Moderate d) Bad e) Very Bad

Q 9: Did you notice any advertisement or Promotional campaign of ‘Toyota’?

a) Yes b) No

Q 10: If yes, which activity you noticed the most?

a) Television commercial b) Internet advertisement c) Outdoor hoarding (billboard, poster) d) Mobile campaign e) Event Sponsoring f) Public Relations

Q 11: Do you really agree/support about the quality of ‘Econo pen’?

a) Strongly Agree b) Agree c) Disagree d) Strongly Disagree

Q 12: Please rate (1st, 2nd, 3rd, 4th, 5th and 6th position) the following pen company according to their service, quality that you look into a pen (where 1st to 6th position refers to the high-est to lowest rank in your perception).

Brand Name PositionLincEconoMontexMatadorCello

Q 13: Please rate (1, 2, 3, 4, 5 and 6 positions) the considering factor for purchasing of a pen [1= Most important, 2= 2nd most, 3= 3rd most…. and so on].

Considering Factor PriorityQualityServicePriceBrand NameAdvertisingDesignWord of mouthRetailer Recommendation

Q 14: How do you perceive Econo’s price on the basis of its service, quality and engine factors compare to the other existing car available in Bangladesh market?

a) High b) Moderate c) Very high d) Satisfactory

Q 15: Do you have any complain about ‘Econo’ that you want it to be improved?

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Q 16: Do you have any other comment/feedback/suggestion about ‘Econo ’? We are highly looking forward for it.

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Thanks for Your Valuable Time and Kind Co-operation………

re branding strategy of econo ball pen

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