Assignment # 2

GLOBAL INTERNATIONAL BUSINESS

Sir A.R. Puri

Muhammad Abdullah 5113 4/24/2013

Culture of Pakistan
Culture may be defined as behavior particular to human beings, together with material objects used. Culture consists of language, ideas, beliefs, customs, codes, institution, tools, techniques, works of arts, ceremonies. Pakistan is an ideological Islamic State. Its very existence is due to Islam, so the Pakistani culture is primarily based on the Islamic way of life. All other ingredients of culture are inspired by Islam. Pakistani culture is highlighted by its grandeur, simplicity, firm convictions and noble deeds and ideas. The society and culture of Pakistan comprises numerous diverse cultures and ethnic groups: the Punjabis, Kashmiris, and Siddhis in east, Muhajirs, Makrani in the south; Baloch and Pashtun in the west; and the ancient Dardic, Wakhi, Baltistani and Burusho communities in the north. These Pakistani cultures have been greatly influenced by many of the surrounding countries' cultures, such as the Turkic peoples, Persian, Arab, and other South Asian ethnic groups of the Subcontinent, Central Asia and the Middle East.

Cultural Elements of Pakistan

1. Material Elements 2. Abstract Elements Material culture refers to the physical objects, resources, and spaces. These include homes, neighborhoods, cities, schools, churches, temples, mosques, offices, factories and plants, tools, means of production, goods and products, stores, and so forth. All of these physical aspects of a culture help to define its members' behaviors and perceptions. For example, technology is a vital aspect of material culture in today's Pakistan. Pakistani students must learn to use computers to survive in college and business, in contrast to young adults in the Yanomamo society in the Amazon who must learn to build weapons and hunt. In Pakistan, science and technology served as an important part of national politics, practices, and extreme national identities. From 1960s till the present, both science and technology were immediately linked to the national ideology and practical functioning of Pakistan, notably the Pakistan Armed Forces, while science and technology is a growing and flourishing field in Pakistan. Many scientists, who worked in India and United Kingdom (like, e.g. Razi Siddiqui and Salim Siddiqui), migrated to Pakistan and helped, give birth to science in Pakistan Information technology in Pakistan is a growing and rising industry that has a large potential. Matters relating to the IT industry are overseen and regulated by the Ministry of Information Technology of the Government of Pakistan. The IT industry is regarded as a successful sector of Pakistan economically, even in financial crisis

The economy of Pakistan is the 27th largest in the world in terms of purchasing power parity (PPP), and 44th largest in terms of nominal GDP. Pakistan has a semi-industrialized economy. Decades of internal political disputes and low levels of foreign investment have led to slow growth and underdevelopment in Pakistan. Agriculture accounts for more than onefifth of output and two-fifths of employment. Textiles account for most of Pakistan's export earnings, and Pakistan's failure to expand a viable export base for other manufactures has left the country vulnerable to shifts in world demand. Official unemployment is under 6%, but this fails to capture the true picture, because much of the economy is informal and underemployment remains high. Over the past few years, low growth and high inflation, led by a spurt in food prices, have increased the amount of poverty - the UN Human Development Report estimated poverty in 2011 at almost 50% of the population. Inflation has worsened the situation, climbing from 7.7% in 2007 to almost 12% for 2011, before declining to 10% in 2012. As a result of political and economic instability, the Pakistani rupee has depreciated more than 40% since 2007. The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis. Although the economy has stabilized since the crisis, it has failed to recover. Foreign investment has not returned, due to investor concerns related to governance, energy, security, and a slow-down in the global economy. Remittances from overseas workers, averaging about $1 billion a month since March 2011, remain a bright spot for Pakistan. However, after a small current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's current account turned to deficit in fiscal year 2012, spurred by higher prices for imported oil and lower prices for exported cotton. Pakistan remains stuck in a low-income, low-growth trap, with growth averaging about 3% per year from 2008 to 2012. Pakistan must address long standing issues related to government revenues and energy production in order to spur the amount of economic growth that will be necessary to employ its growing population. Other long term challenges include expanding investment in education and healthcare, and reducing dependence on foreign donors. Non-material culture refers to the nonphysical ideas that people have about their culture, including beliefs, values, rules, norms, morals, language, organizations, and institutions. For instance, the non-material cultural concept of religion consists of a set of ideas and beliefs about God, worship, morals, and ethics. These beliefs, then, determine how the culture responds to its religious topics, issues, and events. When considering non-material culture, sociologists refer to several processes that a culture uses to shape its members' thoughts, feelings, and behaviors. Four of the most important of these are symbols, language, values, and norms. Pakistan has a rich and unique culture. Many cultural practices, foods, monuments, and shrines were inherited from the rule of Muslim Mughal and Afghan emperors. The national dress of Pakistan is shalwar qamiz. In cities western dress is also popular among the youth and the business sector. The variety of Pakistani music ranges from diverse provincial folk music and traditional styles such as Qawwali and Ghazal Gayaki to modern forms fusing traditional and western music, such

as the synchronisation of Qawwali and western music by the world renowned Nusrat Fateh Ali Khan. In addition Pakistan is home to many famous folk singers such as the late Alam Lohar, who is also well known in Indian Punjab. The arrival of Afghan refugees in the western provinces has rekindled Pashto and Persian music and established Peshawar as a hub for Afghan musicians and a distribution centre for Afghan music abroad.State-owned Pakistan Television Corporation (PTV) and Pakistan Broadcasting Corporation were the dominant media outlets, but there are now numerous private television channels. Various American, European, and Asian television channels and films are available to the majority of the Pakistani population via private Television Networks, cable, and satellite television. There are many festivals celebrated annually in Pakistan - which may or may not be observed as national public holidays - e.g. Pakistan Day (23 March), Independence Day (14 August), Defence of Pakistan Day (6 September), Pakistan Air Force Day (7 September), the anniversaries of the birth (25 December, a national holiday) and death (11 September) of Quaid-e-Azam, birth of Allama Iqbal (9 November) and the birth (30 July) and death (8 July) of Madar-e-Millat. Labour Day, (also known as May Day), is also observed in Pakistan on 1 May and is a public holiday. Several important religious festivals are celebrated by Pakistani Muslims during the year; the celeberation days depend on the lunar Islamic calendar. Ramadan, the ninth month of the calendar, is characterised by daytime fasting for 29 or 30 days and is followed by the festival of Eid ul-Fitr. In a second festival, Eid ul-Adha, an animal is sacrificed in remembrance of the actions of Prophet Abraham (Ibrahim) and the meat is shared with friends, family, and the less fortunate. Both Eid festivals are public holidays, serving as opportunities for people to visit family and friends, and for children to receive new clothes, presents, and sweets. Muslims also celebrate Eid-e-Milad-un-Nabi - the birthday of the prophet Muhammad - in the third month of the calendar (Rabi' al-Awwal) and mark the Day of Ashurah on the 9th and 10th days of the first month (Muharram) to commemorate the martyrdom of Husayn bin Ali. Hindus, Buddhists, Sikhs, and Christians in Pakistan also celebrate their own festivals and holidays. The architecture of the areas now constituting Pakistan can be designated to four distinct periods - pre-Islamic, Islamic, colonial and post-colonial. Mohenjo Daro, Harappa and Kot Diji belong to the pre-Islamic era settlements. Persian style is the tomb of the Shah Rukn-i-Alam in Multan. During the Mughal era design elements of Islamic-Persian architecture were fused with and often produced playful forms of the Hindustani art. Lahore, occasional residence of Mughal rulers, exhibits a multiplicity of important buildings from the empire, among them the Badshahi mosque, the fortress of Lahore with the famous Alamgiri Gate, the colourful, still strongly Persian seeming Wazir Khan Mosque as well as numerous other mosques and mausoleums. Also the Shahjahan Mosque of Thatta in Sindh originates from the epoch of the Mughals. In the British colonial period, predominantly functional buildings of the Indo-European representative style developed from a mixture of European and Indian-Islamic components. Post-colonial national identity is expressed in modern structures like the Faisal Mosque, the Minar-e-Pakistan and the Mazar-e-Quaid. The literature of Pakistan covers the literatures of languages spread throughout the country, namely Urdu, Sindhi, Punjabi, Pushto, Baluchi as well as English in recent times and in the past often Persian as well. The national poet of Pakistan, Muhammad Iqbal, wrote mainly in the

Persian language, and additionally in Urdu. The most well-known representative of the contemporary Urdu literature of Pakistan is Faiz Ahmed Faiz. Sufi Shah Abdul Latif is considered one of the most outstanding mystical poets. Mirza Kalich Beg has been termed the father of modern Sindhi prose. In Punjabi, naats and qawaalis are delivered. The Pushto literature tradition is a cultural link between Pakistan and neighbouring Afghanistan. Extensive lyric poetry and epic poems have been published in Pushto. In Baluchi language songs and ballads are popular. Aesthetics: Culture of Pakistan has most aesthetic appeal. One of the most aesthetic aspects of the country is the beautiful scenery and architecture that is present in various areas of the country. The architecture of the country is best and it has the richest source of beautiful scenery; the best culture of Pakistan is in the northern areas of Pakistan and anyone who visits this region feels like that he has come in paradise.

McDonalds Pakistan history

McDonalds is the largest and best known global food services retailer with more than 30,000 restaurants in 121 countries. Our outstanding brand recognition, experienced management, high-quality food, site development expertise, advanced operational systems and unique global infrastructure ensure a position that enables us to capitalize on global opportunities. We plan to expand our leadership position through great tasting food, superior service, everyday value and convenience. McDonalds Pakistan is part of the Lakson Group of Companies, a leading business house in Pakistan. McDonalds first restaurant opened its door to the people of Pakistan in September 1998 in Lahore. This launch was met with unprecedented enthusiasm from the citizens of Lahore, who are known for their liveliness, vigor and penchant for quality food. Karachi opened its first restaurant a week after Lahore. Ever since we opened the doors of our restaurants both in Karachi & Lahore, we have been proud to provide our customers the same great taste, outstanding value and superior service that is synonymous with the Golden Arches all over the world. There are now 27 restaurants in 8 major cities of Pakistan. (11 in Karachi, 1 in Hyderabad, 10 in Lahore and 1 in Faisalabad, 1 in Kala Shah Kaku, 1 in Sialkot, 1 in Islamabad & 1 in Rawalpindi) Today millions of Pakistanis place their trust in McDonalds every day- trusting the company to provide them with food of a very high standard, quick service and value for money. So next time you walk into one of our restaurants, please remember, McDonalds Pakistan is here now, to put a smile on your face, each and every time you visit us. McDonalds is firmly committed to giving back to the community where it operates. We are happy to become involved because we recognize that organizations have a role to play in

helping communities to work successfully. The contribution we enjoy most is the experience of working together with others in the community to achieve worthwhile benefits for those who need it most.

Being a responsible corporate citizen, McDonalds firmly believes in giving back to the communities it operates in. McDonald love to provide support and encouragement to the people who need it the most. All our restaurants contribute to their local community and every year McDonalds help set up and support numerous educational, sporting and charity programs designed to help a wide range of people. McDonald's has a proactive approach to charities and sponsorships. McDonald believes these help inspire and support the people of Pakistan, especially the underprivileged ones, to live a better life.

Product
The reputation of the various products each season has made it possible for the company to attract customers having different tastes and to try out the season specialties. A major strength is the various deal that McDonalds offers so that it could be made affordable. Recently McDonalds offered a deal for just 150Rs only, containing a beef burger along with a drink. McDonald offers many flavor of Mcflurry ice cream from a mix of M&Ms to OREO cookies. The M&Ms flavor was introduced a year back and still is popular among the M&Ms lovers. McDonalds has also customized its meal according to the taste of Pakistan. People of Pakistan dont eat bacon so McDonald does not offer such sort of meal in the country.

Price
McDonald's main concern is to sell in volume and maintain it on long-term basis. They are charging a price, which they think is a fair value to the customer, and not on the basis of competition. McDonald's have MacIndex, and they dont increase prices even in crisis. McDonald's worldwide has the same concept of giving food of high quality at low prices. In England, the prices of their meals are the same for the last five years. Its simple Economics that when price is constant, the demand grows and when the demand grows, their input price comes down and when

input price comes down, they can afford to maintain the price as the volume grows. Even the total cost may grow, but the volume is so much that the pricesremain stable. So selling on cheap price has a valid justification. McDonald's has a strict policy of selling at the same price to whoever purchases and whatever quantity he buys, and they just dont give any kind of discount.

Place
McDonald's has 2-joint ventures in Pakistan: First for the territory including the provinces of: 1. Sindh 2. Balochistan Second for the territory including provinces of: 3. Punjab 4. N.W.F.P. For second venture (for the territory of Punjab and NWFP), McDonald's has made franchisecontract with "Ghouse Akbar", who is now the president of McDonald's -Lahore. Uptil now there are six stores of McDonald's, operating in Lahore. Currently McDonald's-Lahore is planning to expand its business to other cities by following preferences: Sialkot Faisalabad Gujrawala Peshawer Multan.

McDonald's Lahore is a joint venture between McDonald's Corporation U.S.A and GAM Corp (Pvt.) Ltd. McDonald's made its debut in Pakistan on 19th September 1998 when its Grand Country Opening was held in the provincial metropolis of Lahore. This made Pakistan the 113th country on the globe where the world renowned Golden Arches were unfolded. After Lahore, McDonald's made Golden Arches glitter in other cities of Pakistan, Faisalabad is already open, soon to be followed by other cities. McDonalds has set the ball rolling in Pakistan with two modern, state-of-the-art restaurants, one in Lahore and Karachi each. The McDonald's Lahore Restaurant is located on Gulbergs Main Boulevard while the one in Karachi is situated on the Main North Nazimabad Road. The Lahore McDonald's has scored another first in Pakistan with its Drive-Thru a modern customer service concept in quick service restaurants that has been introduced for the first

time in Pakistan. The customer simply drives into McDonald's, places the order and pays at one window and collects the food within a minute at the next all without leaving the car.

Promotion
McDonald pays special attention to all components of its communication mix to reach customers with 360 degree promotional techniques in cost effective manners. Various economic and value meals offer greater value for money for the customer. These aspects along with brand image are propagated through four main communication vehicles: Advertising, PR, CRM, BTL and Event marketing together these four elements along with BTL activation form the promotional mix of the company.