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Introduction to Economics
Final Project

Submitted to:

Submitted by:
SAUD KHALID CHUHAN G1F16ASOC0132

HAMZA AYAZ G1F16ASOC2175

MUHAMMAD RIZWAN G1F16ASOC0143

ABUBAKAR MUGHAL G1F16ASOC0148

HASSAN JAMIL G1F16ASOC2094

Final Project
Toyo Company
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Table of Contents

Table of Contents
Letter name Topic Page no.
1 Executive Summary 4

2 Introductiom 5

3 Mission And Objective 6

4 Target Marketing 7

5 Key Suppliers 8

6 Competitors 9

7 Answer of all the 10

questions in essay form

8 Conclusion 11
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Executive Summary
Our project is to work on two business. In this Project we are group of Five people. We work
together and work on business. We discuss the products of the companies and manufacturing,
designing, and pricing of the products.

Introduction
TOYO group of Industries was set up in Gujranwala as a latest manufacturing unit of plastic
furniture in 1995. It started its operations with manufacturing of plastic furniture. The company
has specialty on the manufacturing of plastic furniture like chairs and tables at its initial stage.
From 1995 to 1999, TOYO group of industries were working together but in 2000, one member
of TOYO was separated and appeared as its competitor in the market with the brand name of
“BOSS”. TOYO simply took it as a challenge, undeterred by the attendant initial difficulties.
It is a pioneering achievement of Mr. Chaudary Iftihar Ahmed, the founder and life time
chairman of the Company that his determined efforts finally crowned with success. The TOYO
project not took off under his dynamic policies but also registered a phase of rapid growth and
expansion, capturing a major part in the country’s markets. President’s slogan is,
“Nocompromise on quality”. So, Plastic products today are not only identical with ‘Top
Quality’ products but also an identification symbol for TOYO group of Industries Ltd. At the
beginning of establishing the “TOYO”, The “TOYO” people consider “ FOUND LASTING
TOYO” as the long-range aim and sale the excellent and superb washing machines to domestic
and even all of country constant pursues aim. We win the deep trust from our customers with
our good faith # sincerity and occupy the wide market for good quality products. It takes only
a few years. After manufacturing fine quality full plastic and steel plastic
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furniture “TOYO” has become a professional washing machine manufactory. “TOYO” is

also an integrative enterprise, which integrates mould making plastic products & metal
products into a “TOYO” people never satisfied with the gained achievements, they step to the
higher goal. Only under the base of continuous development, innovate and follow update,
meantime, firmly take root in the soil of the market the company will have permanent resident
foreground. “TOYO” always focuses on product quality. During the design and production
procedures, the ISO9001 International Quality Control System and American International
Award have strictly monitored it. Additional, “TOYO” in possession of a powerful & country
wide after sale service team which ensure avoiding and solving the problems for the whole
process of production, transport and usage.

MISSION:

“To continue to distinguish ourselves as the premier source for manufacturing unique
and high quality products and the very best professional services.”

TOYO mission is to recognized as premier supplier to the market. We serve by providing

quality products to satisfy the needs of our customers. We will continue our tradition of
honesty, fairness and integrity in relationship with our customers, associates, shareholders,
community and stakeholders.

TOYO main objective is to provide best and fine quality to their customers which can
satisfied their needs anddemands. They basically focus on QUALITY ,QUALITY & JUST
QUALITY.

Target Marketing:

The marketing department of Toyo Industries promotes their products to increase the reputation
of their company in increasing rate. To achieve great progress in this regards, they promote
their products using different sources like T.V, newspapers, radio, banners, Flex sign boards
etc. to increase in the awareness among the customers regarding the products, increase in sales
revenue, increase in the repetitive clients, enhancing the export level across the world. They
reserve a specific amount of money for marketing of their products. TOYO Group of Industries
use their own assets & capital & avoid using loans from the outsiders, to increase their
investment & revenue margin so they can achieve their goals and give best competition in the
market.

Key Suppliers and Competitors:

Key Suppliers
 Stockholder
 Middle Man
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 Wholesaler
 Retailer
 Consumer
Competitors:
TOYO group of industries are established in 1995 producing plastic furniture at that time. It
worked for 5 years with his partner. But in year 2000, due to some reasons one part of TOYO
separates from it and appears as competitor in the market with the brand name of “BOSS”.
Super Asia and Citizen also the major competitors of TOYO industries. The CEO of TOYO
said that they keep their margin level low in order to keep the customers in touch, establish
the great position in the market continually and receive positive response from the customers.

BOSS

TOYO
Super
CITIZEN
Asia

Answers of all the question in essay form:

The name of business is Toyo Company and products making Chairs, washing machine, Micro-
Oven. The owner of the business is my family member (His name is Ali Raza).The person who
interviewed me. His name is Ali Raza. And he is the manager of the company. Company used the
plastic dana in molding machine and manufactures the different types of things. Like washing
machine, chair, table et . company inputs are Variable. if company increase the products then
we requires many labours company increase the labour. For example Any person ordered the
company for 10,000 units so company asked to labour for double shifts. company Inputs are
Fixed if company increase the products then company do not increase the machinery. For
Example Hundred person in one day provide Five hundred units if orderd of one thousand
units but company do not purchase machinery. The largest expense of the company per
month 10 lack ond the sales of 20 lack. Company have 100 + employers. Competitors of the
company is Venus, Boss and sonica etc.Yes company products are differ from other companies
products in style, designing, manufacturing. We uses specialized Dana for our product.The
business of monopolistic comitition many seller and many buyer and different the other
products. such as brand (Toyo). Quality of the products are very well. if our company launch new
product we test in the laboratories if product is passed so well and Good . If product is
failed so test although one year tested process. Qualified staff , better room, laboratories and
enhance machinery with the passage of time.
No we did not choose similar business.

 It based on palsitc things manufacturing

 Second based on electronics.
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Conclusion
4“TOYO” is located in small industrial zone of the pure industrial city
Gujranwala. It is adjacent to Lahore city. From “TOYO” products can
easily have supplied throughout the country.

Demand Elasticity of Chair.

The Price Elasticity of Demand Measure How Much Quantity Demanded response
to Change in Price. The formula for computing elasticity of demand is:

(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)

(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 4500
𝑃1 = 4000
𝑄2 = 80
𝑄1 = 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (80 − 100) / (80 + 100/2) ∗ 100

(4500 − 4000) / (4500 + 4000/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −22%

11%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −2

𝑇𝑎𝑘𝑖𝑛𝑔 𝐴𝑏𝑠𝑜𝑙𝑢𝑡𝑒
|−2| = 2

As 2> 1 so, elasticity of demand of Chair is elastic.

Graph:
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Demand Inelastic of Chair:

(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)
(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 4000
𝑃1 = 2000
𝑄2 = 40
𝑄1 = 50

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (50 − 40) / (50 + 40/2) ∗ 100

(4000 − 2000) / (4000 + 2000/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −22%

66%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = 0.33

As 0.33 < 1 so, elasticity of demand of Chairis inelastic.

Graph Figure 2:

Inelastic Demand:
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Inelastic demand is shown in Figure 2. Note that a change in price results in only a
small change in quantity demanded. In other words, the quantity demanded is not
very responsive to changes in price
Unitary Elastic of Chair:

(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)

(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 15
𝑃1 = 11.25
𝑄2 = 40
𝑄1 = 30

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (40 − 30) / (40 + 30/2) ∗ 100

(11.25 − 15) / (11.25 + 15/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −28.57%

28.57%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −1

𝑇𝑎𝑘𝑖𝑛𝑔 𝐴𝑏𝑠𝑜𝑙𝑢𝑡𝑒
|−1| = 1
As 1=1 so, elasticity of demand of Chairis Unitary elastic.
Graph Figure 3:

Unitary Elasticity: If the elasticity coefficient is equal to one, demand is unitarily elastic
as shown in Figure 3. For example, a 10% quantity change divided by 10% price
change is one. This means that a one percent change in quantity occurs for every
one percent change in price.
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Final Project
ST ELECTRONICS
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Executive summary:
The Group had its beginnings in 1972, with a company named “ Shoukat & Sons” , a sole
proprietor business, which was a retailer for electrical appliance at Bohar Gate, Multan. As
business improved, another shop was set up at Shoukat Traders o/s Bohar Gate Multan
Headed by Mahboob Ellahi in 1992 and take the Disributions of Many national and
multinational companies and start the wholesale business at wide level.

Introduction organization:
The name “ST” Meaningfully created by it’s founder Sh. Shoukat Ali. “ST” was coined from
two letters “S” for the “Sure” and “T” for the “Trust” , means “ST” stands for “Sure Trust”
and today “ST” products are truly interpretation of it’s name “Sure Trust”. The brand name
has the distinction of being Pakistan’s very first local brand of small electric home appliance
who make the courage to market the goods with their own local brand name. Otherwise
before every company is taking the support of any other origins like Japan. Germany and
France.By the Grace of Almighty ALLAH and co-operative dealers and our dedicated
marketing team company sales stood 3rd in the whole country with the year of it’s launch and
this is still growing.

Mission and Objective:

Vision:
Our vision is to make such type of products that would have best quality. This business is
started because the vision is that we want to produce such products which will be the best
quality. No complains.

Mission:
Our mission is to go places through superior customer service, operational excellence,
innovation, quality and commitment.

Key Suppliers and Competitors:

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Key Suppliers:
Shoukat Traders supply all the types of Kitchen home appliances Electronics.

Competitors:
 Afzal Electronics
 Naeem Electronics

Target Marketing:
We target all cities of Pakistan. We have also distributer in every city who sale our product.

Conclusion:
We provide different products of different range for every class of people. It a long run
business. Our quality is different from our competitor in every matter. We are running in
competitive market where there are many buyers and sellers. We’re doing well due to our
fine quality.

ANSWERS ( Eassy form):

The name of business ST Electronic and kitchen Home appliances. ‘’Mahboob Elahi’’
Distributer of the ST Electronics in Gujranwala “Khalid Abadullah Chuhan.”Company used
the plastic, Copper wire etc. Company inputs are Variable if company increase the
products then company increase the labor. Company Inputs are Fixed if company
increase the products then company do not increase the machinery .for Example
hundred person one day provide Five hundred units if order of one thousand units but
company do not purchase machinery. The largest expense of the company per month 1
core and the sales of eighty lace. Which one is the Quality of Home appliances is very
beautiful and good looking things.The business of monopolistic competitor many seller and
many buyer and different the other ST electronics. Competitors of the company is
Westpoint, phillps, etc. Quality of the products is better than others companies and lowest
prize other company product. Highly Qualified staff, Well service care center,
No we did not choose similar business
 It based on plastic things manufacturing.
 Second based on electronics.

Demand Elasticity
The Price Elasticity of Demand Measure How Much Quantity Demanded
response to Change in Price. The formula for computing elasticity of demand
is:
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(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)

(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 4500
𝑃1 = 4000
𝑄2 = 80
𝑄1 = 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (80 − 100) / (80 + 100/2) ∗ 100

(4500 − 4000) / (4500 + 4000/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −22%

11%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −2

𝑇𝑎𝑘𝑖𝑛𝑔 𝐴𝑏𝑠𝑜𝑙𝑢𝑡𝑒
|−2| = 2

As 2 > 1 so, elasticity of demand is elastic.

Graph:

Demand Inelastic
(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)
(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 140
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𝑃1 = 100
𝑄2 = 40
𝑄1 = 30

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (40 − 30) / (40 + 30/2) ∗ 100

(140 − 100) / (140 + 100/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −28%

33%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = 0.84

As 0.84 < 1 so, elasticity of demand is inelastic.

Graph Figure 2:

Inelastic Demand:
Inelastic demand is shown in Figure 2. Note that a change in price results in only
a small change in quantity demanded. In other words, the quantity demanded is
not very responsive to changes in price
Unitary Elastic

(𝑸𝟐 – 𝑸𝟏) / (𝑸𝟐 + 𝑸𝟏)

(𝑷𝟐 – 𝑷𝟏) / (𝑷𝟐 + 𝑷𝟏)

𝑃2 = 2000
𝑃1 = 1000
𝑄2 = 200
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𝑄1 = 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = (200 − 100) / (200 + 100/2) ∗ 100

(2000 − 1000) / (2000 + 1000/2) ∗ 100

𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = −66%

66%
𝐸𝑙𝑎𝑠𝑡𝑖𝑐𝑖𝑡𝑦 𝑜𝑓 𝐷𝑒𝑚𝑎𝑛𝑑 = 1

As 1=1 so, elasticity of demand is Unitary elastic.

Graph Figure 3:

Unitary Elasticity: If the elasticity coefficient is equal to one, demand is unitarily

elastic as shown in Figure 3. For example, a 10% quantity change divided by
10% price change is one. This means that a one percent change in quantity
occurs for every one percent change in price.
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Thank You