Airport Campus

Student’s Name SIBGHA

& ID: CHAUDHARY / 10626
Subject: Fundamentals of Marketing Submission Day: Friday
Submission Date: 12thof
Instructor: AtherQadeer June, 2020
Submission Time: 06.00 PM
Program: BBA (Before)
Section: Tuesday Max. marks: 40

Department of Business Administration

Final Exam (Take Home) – Spring 2020

Instructions:

1. Read and attempt all the questions carefully.

2. All questions carry Equal Marks.
3. Organize your work clearly, neatly, and legibly with page numbers in footer.
4. Write answer to each of the questions is mentioned with questions
5. You are not allowed to change the sequence of questions or any part.
6. This exam will test your ability to examine, explain, modify or develop concepts
discussed in class.
7. There are two case studies. Attempt all questions.
8. Exam answers will also be checked through Turnitin for originality.
9. Do not share your answer with any classmate or member. Otherwise, you will be
penalized by deduction in your marks.
10. The total marks for the final exam are 40 marks.
11. We have extended the duration of the exam to give you time to download the
paper, write your answers and upload them.
12. Each student has to submit complete question paper with answers on a Word
Document and submit the soft copy through VLE.
13. Your answer should be typed, double-spaced on standard-sized paper A4. (8.27″ x
11.69″) with 1″ Normal margins on all sides.
14. You should use a clear font that is highly readable; 12 pt. Times New Roman
font.

_________________
Instructor's Signature
CASE NO 1 (25 Marks)

AHMED FOODS –

Brief history -

One of the pioneers of food industry in Pakistan Ahmed foods started their business way
back in the 50’s on a small scale. They were manufacturers of traditional sweets (MITHAI).
They owned a manufacturing unit in the SITE area – Karachi and initially that was their
selling outlet as well. The owner Syed ZamiruddinAhmed who hailed from Delhi, realized
there was a good market for traditional sweets provided it was packed and presented
nicely. He took the initiative and Ahmed foods marketed tin packed HABSHI HALWA,
SOHAN HALWA & KARACHI HALWA along with other variety of traditional sub-continental
sweets. The launching of tin packed sweets proved a great success and by the start of the
60’s Ahmed foods had become a fairly renowned name throughout the country. The only
competitor they had in tin packed sweets was FRESHWELL SWEETS.

Encouraged by the initial success Ahmed foods decided to diversify the product range.
They introduced Ahmed JAMS, JELLIES, KETCHUP, and SQUASHES & ACHAR backed by
strong advertising on both print and electronic media. There were already two well
established companies (SHEZAN and MITCHELLS) who were manufacturing and marketing
almost the same range of products. The management of Ahmed foods emphasized on
quality and within a short span of time Ahmed foods had become a force to reckon with
and they were giving a very tough time to Shezan and Mitchells. Ahmed foods further
diversified their product range when they decided to compete with the bestselling local
brand ROOH AFZA in the red syrup category by introducing NAURUS. The marketing
campaign of Naurus was really impressive especially the TV commercial with a catchy
jingle (bhoolnajanaphir papa Naurus le kargharaana) which was very popular and on every
one’s lips. Naurus was making its presence felt in the market and was a close runner
challenging the dominance of ROOH AFZA.

By the end of the 70’s Ahmed foods were not only confined within the local boundaries,
they were into the Middle East as well as England. The marketing and promotional
strategies of Ahmed Foods were also impressive. The Jingle of AHMED MANGO CHUTNI
was repeatedly aired on Pakistan television networks and Radio Pakistan commercial
service. One of their major competitors Shezan were passing through a lean phase in the
consumer market due to an issue pertaining to religion but their export & institutional
business was good.

The emergence of National Foods –

The year 1970 witnessed the emergence of National foods owned by Mr. WAQAR HASAN,
who happens to be a former test cricketer of Pakistan in its pioneering years. National
foods started out very systematically and were destined to become the market leaders in
future. However Ahmed foods despite increasing competition were still a force to reckon
with. Their exports as well as local businesses were thriving.

Business Economics – Asif Z. Warsi

2 of 2
Beginning of the fall -

The slump in their business started when its founder Zamiruddin Ahmed passed away in
1988. He was the master mind behind all their successes. He had controlled the
organization in a very autocratic and centralized manner. He was one and the only
authority. From production and finance to selling and marketing his word was taken as
law. Since Ahmed was a family concern his sons (ZAFAR & ZIA) took charge of the
organization. But they were far behind their father in business acumen and administrative
skills. Zamiruddin Ahmed had resisted the pressure of the workers and never allowed a
labor union in Ahmed foods. But his sons couldn’t with stand the pressure of the workers
and succumbed to their demands. For the first time since its inception a labor union was
formed in Ahmed foods in the early 90’s. From that point onwards the management
became weaker and employees gained power.

THE COLD WAR& THE SPLIT -

To make the matters worse a cold war started between the two brothers. Both of whom
wanted complete autonomy and dominance over the other. Due to internal rifts and lack
of marketing business began to shrink. Differences between the two brothers developed
to an extent that ultimately they parted ways. Zafar took charge of Ahmed foods inclusive
of full product range except NAURUS which was taken over by Zia.

AHMED FOODS today are a mere shadow of their glorious past. They have lost the footing
and the image they had held over such a long period in the local market. Employees are
unable to put in their best because of lack of interest from the management. There are so
many surplus employees unwilling and unable to work. Also there is lack of motivation
among the workers since there is no visible career growth. The employee turnover ratio
has become high and the highly skilled workers have left the organization and joined
SHAN, NATIONAL, SHANGRILLA and other companies. There are no proper marketing
efforts and majority in today’s generation have no brand recognition of Ahmed Foods. All
this has happened at a time when nearly all of their competitors are thriving not only
locally but many of them have expanded their businesses globally.

Lack of marketing & promotional efforts –

In terms of quality Ahmed Foods are still second to none but since they have not focused
on marketing their brand in the last 2 decades they have become a have been. Presently
Ahmed Foods availability is confined mainly within old main city area of SADDAR and its
suburbs. They also have a fair price shop in SITE area. Lack of marketing and management
blunders have forced them to lower their prices thus targeting the price conscious layer of
customers for their product range of SQUASHES, CHUTNI AND ACHAR etc. Ahmed Foods
are trying to revitalize a dying brand and negotiating with major super marts to give them
the shelf space.

NAURUS & JAM E SHIRIN -

Business Economics – Asif Z. Warsi

3 of 2
NAURUS FOODS have fared better as compared to Ahmed. To begin with they had only
one product (NAURUS RED SYRUP). When Naurus were separated from Ahmed Foods they
only had ROOHAFZA in competition. But in 1995 QARHI launched their red syrup JAM-E-
SHIRIN in the market with a bang. JAM-E-SHIRIN incurred heavily on promotion and their
TV commercial was aired at prime time slot of PTV 9 PM news daily as there were no
private TV channels till than in Pakistan. The JAM-E-SHIRIN ad featured the most
prominent celebrities of that era including Pakistan’s legendary film star NADEEM & TV
star ATIQA ODHO, and their promotional efforts paid off. Since then Jam-e Shirin has
captured a big slice of the market. NAURUS is not promoting their brand the way they used
to do in the good old days. NAURUS despite doing better than Ahmed do not enjoy the
same brand equity that RROH AFZA and JAM E SHIRIN are enjoying.

QUESTIONS FROM CASE STUDY

1- If you are assigned with the responsibilities of Ahmed Foods MARKETING

MANAGER highlight at least 3 steps that you would take from a marketing
perspective to bring Ahmed Foods back into reckoning. (Approx.600 words) 9
Marks

ANSWER 1

Being assigned as marketing manager with the responsibilities of Ahmed Foods, will be

challenging for me to reckoning its earning. As at the time of Zamiruddin Ahmed, when

Ahmed foods was launched there were no more than one competitor, as compare to today.

So overcoming the competitors in this era will be a great challenge for me.

There are many tools and strategy in marketing via which one can do reckoning the

company earning. But the most important part is the observation of the consumer behavior.

As the learning of consumer behaviour helps marketers to be aware of and estimate the

purchase behaviour of the consumers at the same time as they are purchasing a product. The

studies of consumer behaviour don’t only helps the marketers, but also plays great role in

reckoning. As the time of Ahmed foods establishment in the market the customer behavior

was different as compare to today. So I will go with the strategy of innovation accordingly

the costumer behavior and desire.

Business Economics – Asif Z. Warsi

4 of 2
Firstly going with the nature of customer, I go with the advertisement strategy because this

is the roots of marketing and Advertising is the action of gaining public attention to an idea.

So as by innovation to Ahmed foods items I will go with unique advertisement, to let to

know the customer that Ahmed foods brand is still here to fulfill their desire of taste. As at

the time of Zamiruddin Ahmed the advertisement was done via TV and printed copies, but

today the entire world is connected with social site. So I gonna implement various unique

advertisement to the social media platform including the innovation to it.

After going through the phase of advertisement I will deeply look into the distribution of the

products.

As in this fast era people do not have enough time give their precious time on choosing the

product from various brands, whatever they get from the nearest shop the will buy that, so

distributing the product of Ahmed foods product to bring them to each house there should

be distribution in vast area. And last but not the least strategy which I would do as the

manager is the strategy of good drive. As during this pandemic people in isolation, they are

not allowed to step out from their home, so how they will go to the store for getting Ahmed

Foods, So as the lack of customer will lack in selling rate which is loss for Ahmed foods, so

it is better to be in lost I as manager will prefer the food drive of Ahmed foods product

which will cover the promotion side plus in Pakistan the one is called hero of nation not by

having super power but yes being part of charity are the real hero of nation, so going with

this strategy promotion plus customer will enhance perfectly.

Business Economics – Asif Z. Warsi

5 of 2
 2- If Ahmed Foods and Naurus merge once again into a single unit do you think they
would be able to regain their lost grip in the market? What are the advantages
from marketing point of view in case of a merger? Are there any dis-advantages of
a merger? Write down your answer from both perspectives. (Approx.500 words) 8
Marks

ANSWER 2.

My opinion towards the merging of Ahmed Foods and Naurus is positive. It will be a great

action of getting merge again for the reckoning of the both brands. As Mergers are usually

prepared to improve market share or expand the market range or to improve economies of

size. The main reason of taking the side for being merge is that how the Ahmed Foods and

Naurus were on their success peak but after the separation they lost their customer range

and plus the They have lost the footing and the image they had held over such a long period

in the local market. The important part of getting merge is that it adds additional value to

the combined unit than either individual company can produce on its own. Ahmed Foods

and Naurus will have new markets for both brands. As Once Ahmed Foods and Naurus

have merged with another, it immediately gains a new market share that it may not have had

before. There many pros for Ahmed Foods and Naurus if they took the merging step. As we

have the real life successful merging of two great companies, which are Facebook and

Whatsapp. As the intension was to create "the best messaging experiences" for the wide

number of users around the world who use the Facebook apps. It is clear that merging to

company is risky but the results are best. On other hand there are also the bad sides of the

merging. As May creates distress surrounded by the employee bottom of each organization.

And lastly there can be differences in company culture that are not easy to merge: It is very

much difficult to combine the corporate culture between the two brands. So in conclusion I

will recommend the both brand to be once again.

Business Economics – Asif Z. Warsi

6 of 2
 3- Recommend a new product to Ahmed foods that you think would give them a
competitive edge in the market. Justify your recommendation with solid reasoning
and arguments. (Approx.500 words) 8 Marks

ANSWER 4.

I would recommend Ahmed foods to come with readymade products. As in this lazy and

busy era costumer do not have time to cook and give their time kitchen so as the solution to

this is the readymade products which are mostly used nowadays, the product of readymade

are Chilled Pizza, Frozen Pizza, Frozen Ready Meals, Chilled Ready Meals, Dried Ready

Meals, , and Prepared Salads and so on. Readymade food products are being considered as

the nearby alternative to daily used food, which can be consumed any time as during

breakfast, lunch, or dinner. As Ahmed foods did not yet launch any product of ready to eat,

so it will be an innovative part for Ahmed foods to build new list of customer. As in these

day people try to be more advance, the timing of worker covers the lunch and dinner side of

the meal, And preparing food from home to office there are more chances for it to be spoil,

but the blessing of readymade food will cover this problem. All you have to do is just put it

inside the oven and wait 10 to 15 minute and the meal is freshly ready to be enjoyed. So

that’s why I recommend the readymade food.

Business Economics – Asif Z. Warsi

7 of 2
 CASE NO 2 (15 marks)

DOUBLE EDGE

After three years of research and development Paramount Health and Beauty
Company is preparing to launch a new advanced energy drink called THE DOUBLE
EDGE. The innovative new drink is a wonderful blend of unique taste and vibrant
energy.

After initial success in Europe and Middle East the management of Paramount Health
and Beauty Company has decided to introduce Double Edge in Pakistan market where
the company has a moderate presence in the market of skin care products. Jackson
Randall, the product manager for Double Edge, struggles how best to position and
promote the brand for launch in Pakistan. One strategy is to release Double Edge as a
“NICHE” product with price skimming targeting the high end market of trendy
individuals looking for exclusive energy/refreshing drinks. Another strategy is to
release the product into highly competitive mainstream energy drinks market where
the product can be positioned as the best energy drink available in market.

Randall is facing internal resistance to the mainstream strategy from the Zonal sales
manager MR. BAIG who warns Randall of strong retaliation from STING the market
leader in case a mainstream positioning strategy is followed. Mr. BAIG has also
recommended a comprehensive advertising research before finalizing the TV and print
advertising promotion strategies.

Business Economics – Asif Z. Warsi

8 of 2
 QUESTIONS FROM THE SCENARIO –

1- Which positioning strategy (Niche or Mainstream) would you recommend for

Double Edge? Give sound arguments to support your answer. (Approx.200 words) 3
Marks

ANSWER 1.

Niche positioning strategy will greatly fit with the Double Edge. As Double Edge as is in

competition with many other brands. But using the Niche positioning Double Edge will

only concentrate to the selected customer, which best way to understand the behavior of the

consumer. As Niche marketing is an advertising strategy that centers on a one of a kind

objective market. Rather than showcasing to each and every individual who could profit

by an item or administration, this procedure centers solely around one gathering a

specialty market or segment of potential clients who might most profit by the

contributions.

A little customer base has its favorable circumstances. Exactly when you are attracting with

less people, you can focus on the idea of those responsibilities and on supporting your

associations. The benefit of Niche advancing is that since you are constrained to a specific

individual and a specific need, less bright lights is required on diving into your data to

understand and remain mindful of their needs. So I will utilize the Niche system.

Business Economics – Asif Z. Warsi

9 of 2
 2- Keeping in mind the positioning strategy you have recommended for Double Edge
what type of distribution plan will you justify (Intensive or Selective or Exclusive)?
Why? (Approx.200 words) 3 Marks

ANSWER 2:

I will go with Intensive strategy. As for the Niche positioning strategy we cover the

selective area and selective customers. As by Intensive distribution it will easy to

understand how distributors handle their products and customers. By the help of Intensive

distribution it will be able to enhance good market coverage. The other reason for going

with the Intensive distribution is to understand the customer very well. The intensive

distributions have advantage which are.

As more items are sold, more cash is earned.

As more areas convey the items, the more open doors there are for producers to make

benefit.

As the item is in whatever number areas as could reasonably be expected, it will bring

issues to light concerning the item. Along these lines, clients start to relate plugs and print

promotions with items normally found in stores.

So that’s why going with Intensive distribution will best fit for the Double Edge.

3- Create a TAG LINE for DOUBLE EDGE. 3 Marks

“Power the Soul”

Business Economics – Asif Z. Warsi

10 of 2
 4- Create a demographic profile of target market of Double Edge. (Approx.200 words)
3 Marks.

ANSWER 4.

Demographic profile

 Age: 14 – 45

 Region: household/international

 Gender: Males & Females.

 Occupation: Students, employees, professionals, Explorer.

 Income level: Average, above average and one with high earners.

Business Economics – Asif Z. Warsi

11 of 2
 5- Develop an integrated marketing communication plan for Double Edge that would
complement each other and develop brand equity. (Approx.200 words) 3 Marks

ANSWER 5:

Develop an integrated marketing communication plan cover mostly the creative side

of the marketing as it all covers the side of promotion. Integrated advertising

connecting plan for Double Edge with the customer. As integrated marketing

communication is the foundation of modern marketing which promoting side by

crusade on TV, magazine, on the web and radio, and generally use apparatus which

is web based life. As Double Edge generally be focusing on youth as it is indication

of vitality.

Integrated marketing communication plan for Double Edge for the promotion of the

product is very important as without the promotion of the product it is hard to be

known in the public where there are almost many competitors. So as the Double

Edge should also use creative promotion advertising technique to bring the product

known to people. The best use in these days is covering the social media. As in these

day every single individual is attached with social media so using creative technique

of advertisement

Business Economics – Asif Z. Warsi

12 of 2