segment alone, projected to grow by 17 million people by the year end2010.

1Not o nly that, numerous local brands have sprung up and they are doingexceptionally w ell. The unprecedented growth of this industry is owed to theawareness that has been spread by the globalization. People have becomemore fashion savvy and brand conscious. The growth is so tremendous that people have started to consider it as astatus symbol. There are certain stores that are considered to be prestigiou sand expensive and people take a lot of pride in making it public that theyshop from a specific store, which is a part of an international or a local brand.Albe it, we are suffering an economic crunch, but this industry is stillblooming and more international chain have opened up their stores. A recentexample is of metr o store. This is maybe because the disposable income of the people of Pakistan l ets them afford such a life style, as we have a wide1http://ajc.sagepub.com/cgi/ content/abstract/2/2/137 middle and upper middle class and the status awareness is increasing by theday.N ow taking into consideration the latest trends of one shop stop homeconcept, whe re buyers can purchase all the household items from clothes totoiletries, decora tions, apparels, furniture, beddings etc at a single store. Inthe past few years some major brands have launched stores of this sortlocally and have also expand ed it internationally. These include Chen One of Chenab Group, Bareeze of Sefam Pvt. Ltd and Ideas owned by Gul Ahmed.For the purpose of this project the brand under consideration is Ideas. Theproject provides a detailed review and analysis of the chosen company alongwith the competitorsPEST of Retail IndustryPolitical The global economic slowdown of 2007-082initially triggered by the sub-prime mo rtgage crises in the U.S, as a result was which the U.S. Dollarsuffered huge dep reciation against major currencies; coupled with thephenomenal hike in oil and f ood prices, sent shock waves around the world,throwing up enormous challenges fo r most economic managers. Pakistanwas no exception.3Heavy reliance on imported f uel and food commodities2http://www.sdpi.org/help/research_and_news_bulletin/jan _feb_06/textiles_and_clothing.htm3http://www.epb.gov.pk/docs/others/trade_policy _initiative_2008-09.pdf like wheat and sugar placed huge pressure on our b alance of paymentreserves as our import bill soared.As far as the garment produc tion4in Pakistan is concerned, the highestvalue-added product among the textile group, but the price we are gettingfor our products is less compared to other co untries. According to oneestimate 70 percent of these units are in the unorganiz ed sector, producingcotton-made articles. These units do not have modern machine ry and usethe non-mill made cotton cloth. This may be one of the reasons that th e pricewe fetch for our apparel exports is low compared to other countries.As ap parels/garments provides the highest value added product among thetextile items. Maximum focus should be towards the units producinggarments. Our producers in t his particular industry should try to adopt (justlike in the West) the Demand for Market Oriented Strategy i.e., to increasetheir market power by producing high p rice fashion clothing. They should gofor product differentiation through the pro motion of brand names andadvertising. And they should also try to increase the e fficiency of distribution.With an increase in market power they can easily trans fer rising cost toconsumer in the form of rising prices.4http://www.pide.org.pk/ Research/Report180.pdf Regulations in your industryNational Business EnvironmentPakistans national busi ness environment is characterized by abundance of semi-skilled and low wage labo r, moderate natural resources, poorinfrastructure, high rates of corruption, poo r governance, moderate level of university-industry collaboration and low scient ific research on the factorside. The context of firm strategy & rivalry can be d escribed as highlyregulated, bureaucratic business environment, high tariffs, no substantialpresence of foreign companies and static corporate culture. The text ile industry has been the driving force behind the manufacturingsector growth of Pakistan. This sector accounts for nearly 60% of totalexports for Pakistan, 46% of total manufacturing produce and employs 38%of the total manufacturing labor force. Textile trade is classified into twobroad categories i.e textile which in clude yarn, fabric and madeups andclothing which represents ready-made garments. The largest growing sector within the global textiles trade has been theapparel sector trade in this sector in 1999 accounted for 53% of the total value of glo

bal textile trade. Over the last decade, the apparel trade 5 has surpassed the t rade in textile products such as yarns and fabrics. In the year 2000 total trade in textiles was $157 billion and trade in clothing was $199billion. There was a switch in trade patterns after 1985 when clothing 5http://www.smeda.org/busines s-development/sector-briefs.html became more significant as compared to textiles. This sector lies at the pinna cle of the textile value chain, which begins with cotton and synthetic fibers. S outh Asian countries have established themselves as the most important players i n the textile sector.source: isc.hbs66http://www.isc.hbs.edu/pdf/Student_Project s/Pakistan_TextileCluster_2007.pdf Environmentalwhat the government says and what market say Pakistan is one of th e emerging economies of the world. It has shown great economic growth due to dyn amism in its industrial, agriculture and services sectors. The services sector a lone has continued to perform strongly and has averaged growth of over 8% per an num since 2000.Services sector contribution to real GDP growthPakistans economic growth 7is broad-based and is shared by all the major sectors of the economy. Ho wever, a major contribution towards growth has come from the services sector, wh ich has emerged as a growth power house over the past few years. The commodity p roducing sectors (agriculture andindustry) have contributed two-fifths while the services sector contributed7http://www.smeda.org/downloads/AppendixI-TradeinSer vices.pdf the remaining three-fifths of the 2006-07 real GDP growth of 7.0%.Agriculture and industry contributed 30.2%, or 2.9% percentage points, whilethe remaining 59 .8%, or 4.2 percentage points, came from the servicessector. Within the commodit y producing sectors, agriculture contributed 1.1percentage points or 15.1% to ov erall growth, while industry contributed 1.8percentage points or 22.7%. The serv ices sector has contributed the bulk of GDP growth for some time.source referenc ed from smeda8http://www.smeda.org/downloads/AppendixI-TradeinServices.pdf SocialRelated to your industry Pakistans reliance on agriculture is minimizing w ith the passage of time. It is encouraging to note that the contribution of whol esale and retail trade isincreasing. It contributed 19.4% or 1.4 percentage poin ts to GDP in 2006-07. This sector is highly labor-intensive and this higher grow th may have contributed to the rise in employment and income levels of people at tached to the sector.A view of the services marketWhile dealing with a service giv er, I am constantly gripped by a fear of being cheated. I have to play extra vig ilant; as the fear is not just about the conscious wrong doing on the part of a service giver but also about his skilland ability to deliver the right quality s tuff. These issues are reflected below:Lack of standardization Services are not stan dardized. Legislation protecting consumers is still at a very early stage and th ere are no strong traditions to support customers seeking recompense or damages from a services deliverer. International quality certifications are systems-base d requiring a lot of documentation,besides being expensive. There is a need for a simple but effective mechanism, at the level of the sectoral or professional a ssociations, to certify the quality of services and there by ensure adherence to a consistent set of quality standards.Free entry and unemployment With rising un employment, services businesses requiring a minimum level of skill, a small capi tal outlay and virtually no registration are an easy option for investment to ea rn a living. With scores of people entering the lower end of the market, competi tion is high and the range of pricing limited. Therefore,livelihoods are squeeze d from the thin margin left after meeting all costs and overheads. Expecting suc h a market to be quality conscious is an illusion.Deficiency of trained HR Apart from a few organized sub sectors, like banking, medicine and engineering, there are no credible training institutions offering courses in the skills required fo r the services sector. Resultantly, most of the artisans in trades like electric ians, mechanics, drivers, tailors, barbers, cooks, masons,etc, are trained on th e job. The level and quality of skill acquired by them isinconsistent and uneven depending on the source and environment of learning.Socio Cultural: The product made by Gul Ahmed is in sync with the socio cultural aspects of the region. The dresses usually worn by the women and men here are of thatmaterial. Gul Ahmed h

owever is not catering to the changing social trendsfor example the move towards more westernized clothing like Bareeze isdoing with Leisure club. This change in the social and cultural trends can affect Gul Ahmed and it will have to keep re inventing itself to keep up with the times. Plus there is a change towards more acceptability of working women in the society. The firm will have to keep in min d that too because not ladies have time to get the clothes elaborately stitched now.Westernization Due to media proliferation and exposure to the western culture the younger generations in Pakistan is becoming more and more westernized. This change in the society has worked in favor of fashion store like ChenOne and Bar eeze that sell trendy western and eastern outfits for both men and women but for Ideas by Gul Ahmed, this is a territory yet to enter.Brand Consciousness People are becoming more and more brand conscious. Reliance on foreign brands is increa sing. Therefore the Pakistani brands by portraying a hip and a trendy image like the west can capture the interest of people.Technological:On the national level , Gul Ahmed is enjoying technological edge over all the others players in the in dustry. The technology that is in use in the industry has a lot of room to be im proved. It is necessary that the industry undertakes an up gradation in the tech nology being used. Also, there is lack of efficientR&D and training. The textile machinery used in Pakistan is imported mainly from countries like Japan, Switze rland, Germany, China and Belgium.Gul Ahmed unlike the other mills and factories of Pakistan is equipped with far better technology which helps them to be far m ore efficient and maintain good quality. But, on the Global scenario the costs o f inputs in Pakistan are more than any of the competing countries like India and china. Gul Ahmed has to be more efficient in production and if possible, instal l more technology in order to meet its aim of becoming international brand.Where as in IDEAS; they have incorporated Management Information systemwith incorporat ion of oracle based inventory management system. This helps them retain, analyze and forecast the inventory in store and demand that is in market for a particul ar product.Research and development To facilitate the textile industry, governme nt has granted 6 percent Research and Development support to garment exports (bo th knits and woven). Research and Development support to export of dyed/printed and White, Home Textile at 3 percent and dyed/printed textile at 5 percent of th e FOB. The scheme has been discontinued from June 30, 2008. As per the estimates provided by the State Bank of Pakistan, the government has doled out Rs 40 bill ion to textile exporters of the country Customer needs, AIOD & migration trends AIOD:Psychographic Market: The main psychographic market for Ideas is young/ adu lt males and females.Although there is a lot of variety for kids as well but the y are not the direct target market for kids, as they rarely make it a point to c hoose where they would like to shop for their clothes only. The main competitor is ChenOne in every target market. The main activities, interest, opinion and de mographics of which are explained as below:Benefits Activities Interest Opinion Demographics One shop stop for buying households Housewives, and working women w ho take care of the whole household ,men who take interest in homemaking Home dco r,Shopping for family and home,watching television,social lifestyle,Status consc ious,the home and family reflect the women of the house,social acceptance is imp ortant Urbanite,aged 26onwards,Upper middleclass, having a good incomehalf/full /emptynest, (because Reading fashion/home magazines they can be recently married, or started a late family, or kids are already married or reached the adult)male/femaleLatest clot hesand a shopping experience at a good store Students,(high school,college,unive rsity)working(part/full time)Following the latest trends,Shopping for themselves ,Sports,Fashion,Music,Latest happenings,Status conscious,Good looks andclothes a reessential forbeing popularand for socialacceptance,Liberal view of living andd ressing up etc Urbanite,aged 16-26,single orEngaged butnot yet marriedlike a sep aratefamilyupper middleclassmale/female The consumer trend and migration for Ideas is basically for the metropolitan cities of Lahore, Karachi and Islamabad. The reason is not only that a lot of ed ucated and upper middle class belongs to these cities but also the fact that peo ple go to these cities for specifically for shopping as they are famous for the variety they offer. The consumers flock to these cities mainly during the summer

vacations and also the winter holidays. The trend for consumers migrating to th ese cities has been noticed to be what is called the wedding season. So, Ideas can cash on the opportunity of increasing their stock and variety during these peak seasons and times of the year. PORTERS MODEL According to the porters approach retail industry analysis is as followsTHREATS OF NEW ENTRANTS The threat of new entrants in the retail industry keeping in view the brands that we have chosen is low. As the scope of the busin ess of ChenOne, Bareeze and Ideas is providing a vast category of products under one roof. The new entrants face several barriers which primarily includes the h igh costs involved in starting this business.Secondly the product offered by the m is highly differentiated product which also discourages new entrants. With suc h established brands it becomes very difficult for the new entrants to make a po sition in the market or capture market share. Thirdly the cost involved in havin g an exclusive distribution is very high which also servesas a barrier to entry.T HREATS OF SUBSTITUES In case of the retail industry that we are analyzing the th reat of substitute can be classified into the following category of peopleBrand c onsciousNot brand conscious If the people are brand conscious then the threat of substitute is medium to low.People might switch brands if they think due to any reason the brand is not providing satisfaction. But on the other hand people who are brand loyal would not think of any substitute.For the people to whom brands dont matter the treat of substitutes is pretty high. These people rather than bu ying from an expensive branded store would rather prefer buying from local store s which would satisfy their need as a less expensive substitute.RIVALRY AMONG EXI STING FIRM The rivalry among the firms of the retail industry is high both in th e local market and also the branded market. In case of the local market the numb er of competitorsis very large and all moves are competitive. Majority of them a re even located in same areas challenging each others positions, taking sales fr om each other. Due to a lot of fragmentation the suppliers are also exploitative . The branded market is also on the competitive moves. Launch of new product by any brand impacts the other brands like the recent launch of Ideas impacted the sales of ChenOne and Bareeze.BARGAINING POWER OF SUPPLIERS The bargaining power o f suppliers is high in retail industry as the suppliers can supply to any firm t hey want. Ideas, bareeze, ChenOne have their own suppliers and therefore have gr eat impact on the running of their business. The products at these stores are di fferentiated and therefore the switching costs involved are very high.Alongside the substitutes in case of suppliers is also not viable as brand equity is also very important.BARGAINING POWER OF BUYERS The bargaining power of buyers is high in the retail industry when local stores are considered but in case of branded s tores it is low. The reason for the high bargaining power in local market isPlent iful alternate suppliers Product not differentiatedAccess to substitutable productsPlentiful options for c onsumers On the other hand in case of the branded stores the bargaining power of buyers is low becauseLess alternativesDifferentiated productChanging supplier cost s high to the sellerBrands justify high pricing Competitive landscape, SWOT:COMPE TITOR ANALYSIS:Chen One is one of the 3 projects launched by Chenab Group. Chena bGroup started its retail chain of fashion stores under the brand name of ChenOn e, with the concept of a family mega store dealing in home textile, fashion garm ents, furniture and other accessories. Starting from Islamabad, the capital of P akistan, their outlets spread to other cities.Chen One is a subsidiary of Chenab Group of industries. It has been in operation since its inception in 1997. The name ChenOne is an integration of two words; Chen comes from Chenab, its parent company, and one comes from its number one undisputed position. ChenOne has sixt een outlets in Pakistan and after their success at the Motexha spring exhibition in the Middle East they set up five stores in the region. All ChenOne stores ar e located in exclusive places in Karachi, Lahore,Islamabad, Rawalpindi, Peshawar , Faisalabad and Rahim Yar Khan and its outlets can now be found in the best loc ations of Dubai, Ajman, Abu Dhabi,Makkah, Sharjah and Bahrain. The catch phrase used by Chen One for marketing purposes i.e. changing lifestyles fits very well with the innovative approach of its managers. Today ChenOne is holds a unique po sition in the market in the sense that we dont get to see too many stores offerin

g a variety of products under one roof and that too with a strong brand name and image.ChenOne is the leaders in home linen, garments and furnishing fabric mark et. Looking at the increasing market demand and the good quality that Chenab was producing they decided to start their own brand, this was the only source of ge tting themselves recognize in Pakistan. Else for recognition they also wanted to establish a brand that could carter to the needs and demand of the local consum ers, customers who seek good quality.BAREEZE:Bareeze is a sister concern of Sare na industries and owend by Sefam Pvt ltd. The firm is in business since late 198 0,s. product range includes; crispcottons, luxurious silks, sheer organza, chic chiffons, textile embroidery.Bareeze brand and stores: Leisure club: Every garment at Leisure Club contributes to the main stream fas hion scene. Our styles identify with the contemporary tastes, colorsoffering a w ide range of stylized outfit.Minnie Minors: A colorful range of fashionable clas sics for newborns throughto pre-school. We manufacture high quality garments des igned with the choicest of fabrics with an innovative range of soft toys, furnit ure, jewelryand accessories for babies.Chinyere: Bareezecreated an exclusive casu al, semi-formal and formal wardrobe. Our garments are designed in step with glob al fashions and inkeeping with tradition. This caters to the women as well as me n.Home expressions: Elegant soft furnishing, bed sets and home linen are fashion ed from the versatile Bareezefabrics at par with local and globaltrends.9CompanyS trengthsWeaknessesOpportunitiesThreats Ideas Brand name, sub brand of GulAhmed.Hig h emphasis on personalization.Established target market.Strong Word of mouth. To o much under thein fluence of parent brand, Needs to create a tagline for quicke r association,High prices but not outlet exclusive apperal.A new niche segment b y makingIdeas exclusive designs and charge more, Increase ATL promotions.Competi tion offering a more diverse product range.Competition ranks higher on being exc lusive,(Chenone, Bareezeproducts only on9http://www.bareeze.com/demo/CompanyProf ile.php outlet)ChenoneBrand nameCompanysGoodwillProduct QualityProduct Variety inhouseh old and personal wear Strong Management Low Employee Turnout Technological Edge being the Chenab group Elegant and Creative Designs in the readymade wear Critic ized for high Prices, Outdoor Advertisement sometimes use a morous appeals,Stati c target market Increase target market by having yearly exclusive discounts. Com petition,Related unrelated diversification Improving HR policies International e xpansion Bareeze Strong brand name Strong market presence Preference of consumers Ready made collection in great variety Variety in the material used that include silk, chiffon, organzaand velvet.Building brands of its own like chinyere, leisure clu b, Minnie minors.International presence.Competitive quality of productin terms o f stuff,embroidery and durability High prices,Catering to different market Poor customer service,No Tvcs yet To diversify its portfolio being a very strong bran dand capitalizing on the market share and the mind share that it has achieved Re lated diversification :introduction of bareeze sweaters To be the first moverin coming up with a TVC Direct indirect competitors (aroshi,wrinkle, batools,chen o ne, ideas, outfitters, crossroads,imperial store,furniture shops)Brand equity an d maintenance of itsimagePolitical instability inthe countryInflation causinginc rease in cost of production segments.Accessibility due to its retail outlets everywhereIDEASSTRENGTHS:strong brand name that it carries as its parent brandPeople across the country trust th e brand Gul Ahmed for it quality, noveltyand eminence. Especially in the clothin g line their quality is considered tobe superior to their competitors.Positive Im pact of its personal wear on home products and giftsOffering personalization on s ome of their products i.e. order takingnot many competitors on the basis of one s hop stopcapitalizing on the increasing awareness of diversion between income ande conomic classes and recognizing shopping from good branded stores andmalls has b ecome a status symbolWEAKNESS:there is not complete exclusive distribution for Ide asMarketing not rigorously OPPORTUNITIES:One of the major opportunities that await Ideas is the fact that t hey canexpand their business greatly. This expansion can be both: Locally andInt ernationallyLocal expansion in the unexplored cities of PakistanInternationally th

ere is a huge potential for them to setup their storesAnother diversification tha t holds a lot of opportunity is to invest andventure into cosmetics marketTHREATS :Political InstabilityRising production costsCompetitorsSWOT EXPLANATION:STRENGTHS: The major strength Ideas has currently is the strong brand name that itcarries a s its parent brand. It banks heavily on the brand name Gul Ahmed.People across the country trust the brand Gul Ahmed for it quality, noveltyand eminence. Especial ly in the clothing line their quality is considered to besuperior to their compe titors.Consequently the loyal customers of Gul Ahmed would want to buy or tryoth er product range that is being offered by Gul Ahmed. Apart from theregular custo mers of Gul Ahmed clothing a lot of people who would want to buy other households might want to try ideas because of the mere fact thatit b elongs to Gul Ahmed. The fact that they are offering personalization on some of their productsmakes them different from their competitors. For instance they are offeringto embroider on the bed sheets etc according to the individual customer s. This is giving them an edge over their competitors.Another Strength is that t hey dont have many competitors, so if they markettactfully they can make a mark w ithin no time. The concept of having a oneshop stop is relatively increasing as people find it convenient to buy all thehousehold stuff from a single store. Alt hough it is becoming a popularconcept but they dont have many competitors in the market as the marketis not very saturated.One of the major strength they bank on is the increasing awareness of diversion between income and economic classes. S hopping from goodbranded stores and malls has become a trend. So, shopping from these bigstores is becoming a status symbol. Now is the right time to make the m ostout of this strength which is at its peak right now.WEAKNESS: There are a few weaknesses that Ideas has to take into consideration andwork on for the improvem ent of its business:One of the major weaknesses is that they are overpriced for the variety theyare offering. Although it is competitive to their other competit ors but the overall pricing is a bit too high given the fact that the clothing prints and thematerial they are selling on other shops at a lower price are being sold at a higher price in the ideas outlet. So, taking the clothing line specifically, the items that are being sold at Ideas are also being sold at other shops so thereis no exclusive distribution for Ideas. In comparison to this the competitorshave exclusive distribution for their stores. The products offered there arenot being sold anywhere else.Another weakness is that they are not marketing themselves c urrentlyrigorously as compared to Chen one and Bareeze which are theircompetitor s. They dont have a television advertisement at all and they dontusually advertise through print media as such. Only a few bill boards aredisplayed around the tow n, which does not really give them visibility or maketheir presence felt. So the y really need to work on their marketing to makethem known. As opposed to this t heir competitors pay special attention totheir marketing campaign and design the m well.Another weakness is their display of items. It is too cluttered and shabb y. Their outlets in different cities have different ways of displays i.e. there is nocoherence. Even the individual outlet is not well displayed as compared tot heir competitors who have a very clear display and each section isdifferentiated in a lucid manner.OPPORTUNITIES:One of the major opportunities that await Ideas is the fact that they canexpand their business greatly. This expansion can be bo th: LocallyInternationallyLocally there are many cities that are still unexplored bu t they do have a lotof potential. Apart from that they can also participate in d ifferent businessfestivals where they can put their stalls and displays. So taki ng part in suchactivities would not only bring awareness for their brand but als o make iteasier for them to enter the markets that are still untapped by them.In ternationally there is a huge potential for them to setup their stores. Forinsta nce Chen one is doing exceptionally well in Dubai, so that shows thatthere is a huge market for such stores. What needs to be considered is thatthey need to ope n their stores in markets where there is potential and theright kind of consumer s that would be able to shop from this brand.Another diversification that holds a lot of opportunity is to invest and ventureinto cosmetics market. As they are a reliable brand and offering a homeconcept shop, offering cosmetics would also

be successful. Cosmetics marketis huge with little local players. People would c onsider their cosmetics rangereliable and of good quality because of the mere fa ctor that their parentcompany has a great name as far as quality and reliability hold. They cangive their cosmetics a different brand name but can display them on ideasoutlets. They are already making perfumes so making a complete range of cosmetics would only help them.THREATS: The dominant threats to Ideas currently a re: Political InstabilityRising production costsCompetitors The major threat to any b usiness currently is the political situation in thecountry. Strikes, riots and o ther instabilities are increasing by the day. Itaffects the businesses adversely . It not only affects the sales of the store butmay also cause damage to the out let itself.Secondly, the rising costs of production that includes the costs from materials to all the overhead costs are making it difficult for the textilesindu stry to sustain. Although there is no threat of sustaining the business butit do es increase the cost of production which in turn increases the price. So,the cur rent economic crunch is also a threat for them to develop moreefficient ways and means of manufacturing and commuting their products totheir outlets.Last but no t the least the threat is from their competitors. Chen one isfamous for their gr and sales, discounts and the offerings that they have fortheir prestige customer s. They also have a long established their name inthis business of selling almos t all the households at one shop.But if they make the most of their strengths an d take up the opportunitiesthat they have, it wont take them long to match up to their competitors inthe market. BRAND PERCEPTION INDEX:VISUAL: There were many factors that we thought are mos t essential but we chosethe following three and gave them the maximum weight age . These arelisted as follows; The logo: the logo or emblem is one of the very fi rst things that a customerrecalls when he thinks of a particular product. Theref ore it should beconsidered an important visual depicting the overall theme of th e company.Since our culture is a high context culture, we love to make perceptio nsabout things. Therefore we thought that a logo is of significance here andhenc e we gave it a weight of 35%.Product range: this entails the entire number of of ferings that are present atthese retail outlets. Note that quality is an attribu te that one gets toexperience so we cannot categorize it in visual. By product r ange we meanthe different types of product meant for different target market. Th is is anextremely important aspect of a retail outlet of this sort because it is oftensynonymous with one stop shop. Therefore the group unanimously decidedthat t he most weight should be given to this and we finalized at 40%.Innovation: by in novation we mean the novelty of design that is incorporatedin each of the offeri ngs. This innovation should be visibly there. For e.g. howuniquely different the products are from competition. Innovation is something that not all people appreciate however. We as a nation are veryskept ic people; we like to go by norms, by the books. The middle incomegroup is evolv ing yet people like to live a conventional style of living. Therefore despite be ing really influential, we made a deliberate effort to givethis factor the lowes t weight of 25% eyeing from the perspective of anaverage target audience. IdeasChenOneBareezeVISUALscoreweightscoreweightscoreweightlogo40.351.450.351.7 530.351.05productrange30.41.240.41.620.40.8innovation50.251.2540.25130.250.75 To tal3.85 Total4.35total2.6Idea takes the lead in terms of innovation of its produ cts. The designs areabsolutely unique in terms of idea as well as execution. How ever it lagsbehind in two other important visuals. Talking about the logo, Cheno ne takesthe lead because its logo comes with its very catchy tagline i.e changing Lifestyles. On the other hand Ideas logo goes a bit over the board inclaiming that it is by Gul Ahmed. The brand makes little effort through thelogo, to build its o wn identity. On the whole, it is lagging behind Chenonewhile clearly surpassing Bareeze. Verbal:Following are the drivers that we have sorted out for the verbal side o f measuring BPI: TaglineAdvertisementWord of MouthTagline: Tagline plays a pivotal role in the brand recall. It is our opinion that many agreat brands were created or enhanced through the use of a wonderfultaglines, and that taglines are a nec essary part of creating a new company sbrand image as well as sustaining it for

the life of the product of serviceoffering itself. Hence we have given it the we ight age of 20%.Advertisement:Nowadays, advertising has an extreme importance in our society, as it isomnipresent and one cannot help bumping into it. Besides, its techniques aremore and more sophisticated, thus appealing people more easily . Peoplewould have a good standard of living even if they wouldnt buy so manythin gs. Ads, however, make them anxious to get more and more things, tobuy more and more although they may feel they dont need those things. This is clearly illustra ted by the fact that people always want more andconsume more than they need, whi ch originates todays consumer society.Hence we are giving it a weight age of 35% Word of mouth:Word of mouth can be an extremely powerful driver of new busines s.The massivegrowth of the textile sector in Pakistan led by the economic uplift in the socialinfrastructure meant that new range of products in this sector wer e promotedexclusively by people telling each other how perfect the range is and how large thevariety is.Whatever we do, good or bad, people will talk about your business. All our hardwork with a particular customer or group of customers can be blown away in aninstant by a bad-tempered member of staff insulting them, be ing cheeky, or just notdealing with their query efficiently or treating them in the right way. And in thisparticular sector where our mothers, aunts and all lik e to talk about the shoppingexperience, product range and the sensatory gain the y had by shopping from aparticular outlet makes word of mouth the most important verbal driver. Hence wehave given it a weight age of 45%.IdeasChenoneBareezeVER BALscoreweightscoreweightscoreweighttagline40.20.850.2110.20.2advertising30.351. 0550.351.7540.351.4word of mouth40.451.830.451.3550.452.25total3.65 Total4.1tota l3.85 Here again, we find ideas to be following Chenone closely but still, it is beh ind. Sincethe parent brand is so strong, therefore the brand had maintained a go od word of mouth, however sometimes people do complain that as the products are notexclusive, the prices shouldnt be. Here we are particularly referring to the G womenand Men collection, which are available at retail outlets at the same pric e. Thisproblem could be overcome, if the company keeps some very exclusive print s, withpremium prices, only at the Ideas outlet and nowhere else. This would obv iouslycreate more interest to visit the outlet, at the same a very new market se gment canbe created, appropriately a niche, which includes those people who are willing topay some extra amount only for exclusive prints. Thus ideas would beco me a brandin its own right. Currently the company is not engaged in quite a lot of BTL (belowthe line) promotion with competitors definitely surpassing it. Ideas has verycatchy brochures though.EXPERIANTIAL:Following drivers are being selecte d;Store outlook: The store layout and the entire ambience that is there play an important role in theconsumer decision making process. If the colors and design is such that it appealsto the senses than a positive response maybe stimulated w hich eventually results inpurchase or at least revisits. We gave it a weight of 40% indicating high level of importance.Customer care: This is another important factor in shaping up the entire customer experience. Itincludes the behavior an d interaction of employees with customers on the time of purchase as well as dealing with the post purchase inquiries. How deep thecomp any goes into establishing a one to one relationship of employees andcustomers a nd also maintaining a distance so as not to intrude in their privacy isalso impo rtant. A weight of 30% was hence allotted.Quality/ Durability:As explained earli er, quality is something that a consumer often make apreconceived about, but he actually understands it after the trial of the product.Quality is a very importa nt factor for customer retention so we gave it a weight of 30%.IdeasChenoneBaree zeEXPERIANTIALscoreweightscoreweightscoreweightstoreoutlook40.41.650.4230.41.2cu stomercare50.31.530.30.940.31.2quality40.31.250.31.530.30.9total4.3Total4.4Total 3.3Here the brand is clearly ahead of competition in terms of the customer care. T hefact that the company goes a step ahead to identify the needs of customer and triesto fulfill those is evident. Ideas has this very unique department of embroi dery and design to listen to the particulars of each customer and personalize the ordera ccordingly.

Financial ReviewCompany performanceGul AhmedGul Ahmed Textile Mills is one of th e biggest names in the Pakistan textile industry.It is leading exporter of home textiles. It also manufactures lawn fabric for thedomestic market. The Gul Ahmed Group began trading in textiles in the early 1900s.In 1953, the group decided t o enter the field of manufacturing under the name GulAhmed Textile Mills Limited , and was incorporated as a privately limited company in1972.10Super brands Ltd. is an independent organization that promotes the discipline of branding by payi ng tribute to exceptional brands throughout the world, and it choseGul Ahmed as a Super brand from the top 100 brand names from all businesssectors in Pakistan, based on its exceptional performance, quality products, goodgovernance, and ove r 5 decades of excellence in the field of textiles.11Thank Youcustomers!Consider ing the growing trend towards the retail industry in Pakistan; Gul Ahmedlaunched a retail outlet by the name of IDEAS in 2003. Ideas offers a range of home textil es and furnishings for the bedroom, kitchen and bathroom, as well asmen s and wo men s apparel. It also provides in-house embroidery and tailor-madeservices. Ide asstrives to be an international brand that cares for its customers andfulfills t heir home and personal needs. Their aim is to provide a distinctive cozy10www.gul ahmed.com11www.wikipedia/ideas at gulahmed/ shopping environment with attractive dcor, a consistent availability of high qu alityproducts and new product innovations12.Gul Ahmed is an expensive and stylish brand which is always trying to keep up withthe forever evolving fashion trends . In the companys own words, Gul Ahmed isfashion13.Apart from Ideas, Gul Ahmed has even a complete online shopping store which canbe easily accessed and stuff can be easily bought. What differentiates Gul Ahmedfrom its competitors is the focus on customers. It caters a lot to its customers andlooks after their needs and c onvenience which has earned it a very a loyal customerbase.Sales Channel perform ance-IDEASChannel marketing proves to be a fit if the process better responds to t he desiresof the target market than the organization could do alone. An organiza tion mustanswer the question, Will our customers or clients be better served by c hannelmembers rather than having us performs these functions?Gul Ahmed in this re gards, tend to offer its product through both its company ownedretail outlets i. e. IDEAS and through other retailers that offer all types of varieties of clothi ng from apparel industry.Waiting timeIt is the speed of providing faster service may be magnified through the systemsthat channel members offer. Ideas tend to p resent exclusive variety of its clothingrange that is not available anywhere in market on the introductory phase. This12www.gulahmedfashion.com13www.gulahmed.co m/magazine means that original prints and clothing range first gets to IDEAS then to any otheroutlet of mix retail stores.LocationGetting the product in the right place and time is important. Arranging forauthorized dealerships throughout a wide geogr aphic area allows products to beconveniently and affordably accessible to custom ers. In this regards, Gul Ahmed hasworked extensively to build and maintain its channel distribution networks. IDEASsolely serve the major purpose of bringing o ut all the products that fall under GulAhmed brand umbrella.Product variety The ability to purchase other products from a retail store may enhance the salesand/ or margins of all products offered by attracting customers who appreciate thevar iety of products.And this is what IDEAS is doing. They are hedging upon an exclu sive marketsegment in Pakistan that is more brands conscious and is willing to p ay more forbetter quality, exclusive designs and product range. The company dist inctively identifies its product line into various categories. Theseare as follo ws;For homeGift ideasPersonal wearHOME IMPROVEMT:Bedding: Bedding entails Adult Bedding , Kids and Teens , Infants Bedding , Bed Basics, Cushion Covers. In each of these sub categories the main features are;Intricate s titching styles add an extra touch of sophistication.Use of satin trims, piping, pleating and embroidery enhance the luxuryof the 100% cotton fabric.When it come s to kids and infants the design team is again triumphant by comingup with reall y bubbly, lively colors. However one of their designs prepared for teensparticul arly seems too hard to be convincing. This is shown in the picture of theirbed q uilt as follows which reads as cool and babe. People now are becomingimage conscious . They want their outlook to convey out rightly the fact they aremodern ad hip r

ather then this thing pasted on their accessories.Kitchen:Currently the company doesnt have kitchen accessories to sell off however as atruly caring company, it provides its customers with short and crisp tips of makingtheir kitchen ornament ed. Bath:Ideas extensive range of towels, robes, shower curtains, curtain hooks, b athroomsets and accessories are an example of how well the companies knows theim portance of personalization makes the customer satisfaction experience a realend uring one. Moreover the attention to detail is such that the company offers itsc ustomers to pick from over 100 types of embroidery designs for their towels. Itc alls it as themonogramming facility 14. Moreover there is a variety of other stuff such as bath robes, bath mats, shower curtains, bathroom sets etc.Home furnitur e: This is another personalized area where the company deals with adults, kids a ndteens differently. The company makes a sound depiction of its name through its entire product range. For instance would you ever imagine a flower chair or a lipse at if their physical existence is in the literal meanings of the names? Very 14ht tp://www.ideas.com.pk/html/bath.htm creative to imagine right?But at ideas, creativity gets out of the covers of a bstraction and blossoms by taking a tangible state. The same goes for the teensfu rniture. The company comes up with unique ideas such as car chair and handchair etc so as to appeal to this market as well. Moreover as we know that childrenhave a very important role to play in the purchase decision so the company takescare of that as well. GIFT IDEAS: The company is really sensitive to the changing trends and demands of todaysconsumer. Time management for instance was a phenomenon really crucial for the west but now as the boundaries are blurring, people in east value their time e qually.Moreover the trend of socializing is increasing now. These two facts are taken careby the company well enough. It has come up with a wide range of gifts for itsdiversified target market. It has offerings for New born, Kids, Teens and gifts for allOccasions. Moreover the company has a separate department of Monogr ammingand embroidery which has the following features;1.Custom monogramming and E mbroidery motifs2.Available in 100 styles and 15 thread colors.3.Due to their pe rsonalized nature, monogrammed items are not returnable154.Personal WearMenswear :A smart collection of loose fabric in 7-meters packing with unique colors is av ailablein the following fabric qualities: Latha, Poplin, Cambric, Satin, Leno ca mbric, andembroidered latha, Khaddar, Dobby and Leno. In addition to this unstit chedcollection, the company also has ready to wear for men.15http://www.ideas.co m.pk/html/monogramming_embroidry.htm Women s wear: The company has a diversified range of clothing available for la dies of all ages. Alsothere are some smart kurtis and casual tops available. The fashion line for womencomprises of finest quality fabrics for each season. The summer and midsummercollections have an exquisite range of fine quality printed cotton lawns, voiles,100% silk chiffons with jacquards and embellishments, embro idered cottons andfine quality yarn-dyed fabrics, while the winters bring the be st of printed linenfabrics to dress up the women of today Product performance (IDEAS)Forecasting for next 3 quarters:Net cash used in/ge nerated fromoperating activities1-Mar-07329,3941-Sep-07205,0281-Dec-0720,4331-Ma r-08-853,7451-Sep-08-1,132,2701-Dec-08-451,264Forecasted1-Mar-09-209,4281-Sep-09 -655,1941-Dec-09-812,426Analysis of Projections: The graph shows a downward tren d in projection. This is not because the companyhas a decline in sales; rather t he company is involved into more and moreexpansion of its operational units in P akistan. Hence more money is spent on re-investment thereby showing a negative t rend of profits. On the other hand the company also right off a loss of 105million Rs due to money swap issue arising duethe depreciation of Rupees vs. Dollar.But it can be clearly seen from the sa les itself that the revenues are increasing eachyear due to higher customer dema nd and the strategic product portfolio offerings inthis Retail outlet for its ta rget market audience. Corporate StrategyVisionIdeasstrives to be an international brand that cares for its customers and fulfillstheir home and personal needs. Consumer and professio

nal channels will recognizeus as the leader in exclusive, high quality, modern d esigns as well as impeccableservice with courteous, informed and well-groomed sa les consultants. Our aim is toprovide a distinctive cozy shopping environment wi th attractive dcor, a consistentavailability of high quality products and new pro duct innovations. The vision of Ideas begins with an inspiration of being an inte rnational brand. This isa symbol of their growth plan. They are not only focusin g on expansion in land buttheir vision clearly states their future plans of goin g international with their brand.So, we expect the international expansion as on e of their major growth plan. It isalso stated in their statement that they want to build and image in the minds of their consumers that they give their consume rs utmost priority and value. This isboth associated with the experiential brand perception (the brand name Gul Ahmed)and the real products itself.Another major focus they have laid upon in their vision is the relation that they havewith th eir customers and professional channels. That means that this statement isnot fo r the consumers only but for anybody who is directly or indirectly related toGul Ahmed. Their main focus is also on the employees and staff that they havewhich signifies that they train and guide their staff and employees well, to help thec ustomers when they ask for. Your employees are the face of your organization or inthis case the retail store, it is the service and helpfulness of the staff tha t would make the experience of the customer worthwhile. They also mentioned theimporta nce they give to quality and innovation; this is true because they offerservices (customization) that no other store offers presently. The vision statement of t he Ideas follows a holistic approach. It shows their concernnot only for their c ustomers but also defines their growth plans, employee trainingand concern for q uality and concern. So, they have put in a nut shell all which thecompany believ es in and gives importance to in simple words for everybody tounderstand it and know Ideas better. Financial Outlook: GrowthGrowth rate:Initial year 2003 & Final year 2008: Y=Y(1+G)t11650=5448(1+G)6 116505448=(1+G)6log2.13=log(1+G)60.7566= ln(1+G)G=0.134 or 13.4% This shows sign ificant growth rate over the years from 2003 till end of 2008. Product StrategyTarget Market & customersPLACEMENTIdeas is a store by Gul Ahme d and therefore it follows exclusive distribution. Theproducts by Gul Ahmed are available at its store that is located in the major cities of Pakistan likeKarach iLahoreIslamabadHyderabadAt these stores customers get the entire range of Gul Ahme ds products includinghome products, gifts and personal wear.Along with its physi cal presence it has also maintained its online shopping facilityfor its consumer s. The consumers can log on to the website and can order online. The online pres ence has helped it gain the international consumers and in this wayit has buit h as brand internationally.PROMOTIONIdeas follows integrated marketing communicati on in which it uses a number of advertising mediums to communicate its personali ty and positioning to theconsumers. Its IMC includes the following advertising m ediumsBillboardsBannersMagazine News paperInternetIdeas has its own magazine that it uses to communicate its new offerings to itstarget market. The magazine is published twice a year with the changing varietydue to the change in the season. Complete information is given w ith images aboutits product range including home products, gifts and personal we ar. Differentcelebrity endorsements are used to enhance the effectiveness of the brand. It hasalso been given the title of SUPER BRANDS in Pakistan.Billboards a re used to increase the brand visibility in Lahore, Hyderabad, Karachiand Rawalp indi. Competitors have also placed billboards. New happenings aremostly communic ated through banners and newspapers. It has also maintained itsonline presence t hrough its website which also offers subscription and theconsumers are updated t hrough mails also.Ideas also care about itscorporate social responsibility. It h as taken steps tomake sure that the environment remains clean. For this the comp any has installed astate of art water recycling plant to biologically treat its processing waters and gasturbine unit to produce energy at a low carbon emission . Some of the areas thatthey focus include:Re-using waterRe-using energyAdopting ef ficient ways of producing energyDisposing industrial water after proper filtratio

n treatment PLC & BCGBCG: Product Theme and PricingBrand Elements analysis:The colors: The logo of ideas is very straightforward and simple. The use of only twocolors which synchronize in effortlessly depicts the fact that it is kept simple. Thecolor green is symboli c of eternity, family, harmony, peace, exclusivity etc. theseare important chara cteristics of the brand. For e.g. providing a wide range of accessories fulfilli ng the needs of a broad target market from infants to adults, menwomen etc. it s tands out as a brand meant for all. Moreover the prices areexclusive. Not everyo ne can afford to buy the products offered by ideas. Lookingfrom another perspectiv e a subliminal message that the brand might want tocommunicate to its audience c an be that it is a nationalist brand. As both the colorsare of our national flag . One Criticism however can be that the colors lack ininnovative appeal. These t wo colors are seen together quite a lot and the consumermight complaint that the res not much new to see. Probably the emblem taken fromthe parent brand i.e. Gul Ahmed could have been colorized. This is because whenwe go through the entire pr oduct range, we as a general target audience come across a lot of vibrant and striking colors and so expect that to be revealed in thelogo.The Text: The main text which is the brand name is in bold format. Th is is an indicator of strength which might be in any of their core competency pa rticularly quality. Varietyand exclusiveness are some of the other strengths. Th e appeal of the text is quitebubbly. by Gul Ahmed written in the end serves two pu rposes;Firstly it shows synchronization with the parent companyAnother important t hing that it should be concerned with is that sometimessub brands come to much u nder the influence of the umbrella brand to theextent that their original person ality is underplayed. So it should take care of this fact for future.The symbol: There are two symbols in the logo. Firstly there is a pattern of petals taken f rom GulAhmeds logo. This is fair enough as Gul Ahmed is the founder as well as th eumbrella brand and association at any point in time cannot be denied. The other symbol is which ensures that it is a registered company with all rights reserved.P RICE The pricing strategy for any brand is a bit high which is also justified be ing a brand. The pricing strategy at Ideas is exclusive as it has been positione d as an exclusivebrand for the consumers. After complete market analysis, the ma rketingdepartment at ideas has segmented its market and targeted the upper and e liteclass for which the high prices are fair enough. They also charge higher pri ces when the demand of a specific product is very high. The target market pays for the valuethat they desire from their brand and describe their personality.Gul Ahmed has positioned itself as a high quality product and therefore the pricesare very high. The brand uses its high price to signal high quality.Gul Ahmed along with its exclusive pricing also follows competitive pricing. Theprices of Chen One, Bareeze and Ideas is almost the same in each product category.Ideas also offer d iscounts at the end of every season. The discounts are usuallygiven twice a year for a specific period of time that is almost a month time. Thediscounts are giv en according to the demand for each product category like morediscounts on less demanded products to trigger sales of those specific products. Product RoadmapGrowth in apparel and retail industry has led to a farfetched d emand and a gap inthe market for high quality products that meet the needs of a specific segment inthe urban centers of Pakistan, who are willing to pay more fo r extra exclusivedesigns and product offerings in this regards.With a clear plan for future products in apparel and clothing industry, Gul Ahmed ledan initial r ound of funding and began to expand the company into its retail outletsi.e. IDEA S. As they began to follow-on rounds, a potential driver in the marketopened a f urther niche i.e. their branding may apply to other sectors, particularlythe mens wear, furniture and cosmetics. Once this switch was made, the growth of IDEAS be came fruitful, because the market was large and growing, and the productdirectio n was clear. The current fiscal year 2008-2009 is expected to be difficult due t o uncertaintiesand discouraging economic scenario. Domestic economic slowdown All time high inflation Phenomenal increase in borrowing cost Unprecedented increase i n gas tariff Increase in the minimum wage by 30% Continuous decline in the value

of Pak Rupee R&D support has not been extended by the Government beyond June 30, 2008 Adverse economic conditions, looming recession and banking meltdown in thede veloped world and worldwide economic gloom Their regular and aggressive modernization and upgrading of production facili tiesand the strong local presence with the newly developed retail base will help inriding through this rough period. In this difficult environment they need to intensifytheir efforts to optimize costs without compromising quality. They need to beaggressive, focused and need to be innovative in marketing including retai l outletexpansion to extend their customer reach. They also need measures to red uce largeexposure in a single area. So through enlargement of the sales mix they will be lessexposed to risk and a more diverse sales mix will lead to less depe ndence on asingle area. Thus these measures would also give them more flexibilit y and haveample opportunities to maneuver to generate profits both through a com bination of economies of scale and flexibility.Quarterly DeliverablesIn this reg ards, IDEAS need to improvise its home improvement product category. This is so because of varying demands in different season, especially in winter whenthe dem and for dowry is high due to higher rate of weddings. Therefore IDEAS needto str ategically forecast its quarterly deliverables that are required when neededand as per demand inflation.Products and FeaturesMore products are needed to be incl uded in the mens fashion wear category andGul Ahmed through IDEAS can clearly hed ge upon to a high demand category of shoes and leather apparel too. This would f urther expand their product portfolio andhence through proper branding technique s, it will enable IDEAS to outshine itscompetitors such as ChenOne and Bareeze