Final Prince bajar.docx

INTRODUCTION: The lifestyle, preference and demands of consumers are changing rapidly. Superstore culture is playing a vital role in the ever changing purchasing pattern of consumers. With the current shopping practice, superstore has become a necessity by offering unique shopping experience. Superstores have successfully made a breakthrough in the urban lifestyle with the idea of “all essential elements under one roof”. Superstore is a one floor large area consisting of the daily goods. Superstores have attempted the massive expansion

drive

to

attract the

consumers

in

terms

of

status

and

convenience. A rise in a good number of organized retailing superstores, offer the consumers hygienic items at a competitive price. The expansion of superstores will diversify the choices of consumers and boost their spending pattern. Superstores made debut, successfully attracting consumers, a section of consumers who are successfully turning to chain stores from the soggy market. Dhaka based Agora now runs 4 outlets, Princebazar 13,Prince bazaar 2, Nandan 5 respectively and Swapno runs 70 outlets including 30 outside the capital(Bangladesh economy word press, 2015). Bangladesh Rifles also runs 11 stores in the capital. More than 600 retail outlets are expected to be set up in the next five years in an attempt to attract more consumers. The expansion of outlets will boost consumer’s confidence and help to create a market for manufacturers. But now more than ten times, consumers are coming to an outlet every day. Here the combination of quality and price under various brand names offers value to the consumers for their money. Prince Food & Agriculture Products Ltd. produces a variety of food items, including organic products, prepared foods and herbal products which are sold through Prince Bazaar retail outlet. Prince Bazaar has thirteen branches, including Khulna and Chittagong. Prince Bazaar occupies a large floor space on a single level and is situated near residential areas in Dhaka city in order to be convenient to consumers. Its basic appeal is the 1 | Page

availability of a broad assortment of goods under a single roof at a moderate price. It is now a part of a chain that owns or controls other super stores located

in

Dhaka(Media

Bangladesh,

2015).

To

maintain

a

profit,

Princebazaar attempts to make up for the low margins with a high sales volume. Moreover it also sells higher margin items. The overall environment for Prince Bazaar and its competitors are changing from a product oriented atmosphere to customer oriented atmosphere where emphasis is put on satisfying all of the consumers’ needs. In order to remain competitive, Prince Bazaar wants to re-evaluate its future opportunities for growth without compromising its profits. This study determines consumers’ responsiveness toward marketing mix of superstores in Bangladesh. The study was done on PrinceBazaar which is one of the famous and large superstore (in terms of outlet) in Bangladesh(Online Dhaka Guide, 2015).

PROFILE OF SUPERSTORES In Bangladesh we are observing the trend of superstores and it is increasing rapidly. Agora, Prince Bazar, Prince Bazar,&Shawpno, etc are some renowned superstores which have made life easier and convenient. Agora now runs five outlets, Prince Bazar ten including eight in Dhaka, Prince Bazar two, and Swapno seventy including thirty outside the capital. Hassle-free shopping environment, hygienic commodities, fresh vegetables, meat and fish at the supermarkets are earning appreciation of the customers(Prince bazar, 2015). The superstores offer good services to working people who really find little time for shopping. Trend of superstore helps to overcome many problems of daily life. It has relaxing shopping environment and every commodity is available at one store(Prince bazar, 2015). Due to these characteristics .The study has been focused on Prince bazar related to marketing research. The brief profile ofPrincebazaar, Agora &Princ bazar is given below.

2 | Page

PRINCEBAZAR: Gemcon Group introduced its superstore first at Dhanmondi on 1st November 2002 named Prince Bazar. Currently there are ten Prince Bazar outlets in Bangladesh. Eight outlets are in Dhaka, two outlets at Dhanmondi, three at Mohammadpur and other three outlets of Dhaka at Banani, Mirpur and Azimpur. Another two outlets are in Chittagong and Khulna. The aim of Prince Bazar is to ensure fresh products in consumer’s daily life. It offers about 20,000 items that include grocery, readymade garments, jewelleries, cosmetics, stationery, toys, baby items, beverage and food including a wide range of agricultural and dairy products, electronic goods and many other household essentials. It has its own product categories like sweets, confectionary items, herbal beauty products, tea, etc. It has Fun-Zone in its outlet for children. In 2010 it started flexi load and bill pay services of Grameen Phone at all its outlets for the convenience of the customers(Media Bangladesh, 2015). Factors Affecting Impulse Buying Behavior of Consumers 211 which is unique in Bangladesh. It provides many promotional offers to its customers in different festival seasons (Eid, New Year, etc.) like other superstores. The website of Prince Bazar is under construction. It has planned to open around sixty more outlets in the next four to five years across the country.

AGORA: Rahimafrooz Superstores Ltd. (RSL) made a breakthrough in the urban lifestyles by launching the first retail chain in the country, ‘Agora’, in 2000. Currently there are five Agora outlets, four are at Gulshan, Dhanmondi, Moghbazar and Mirpur in Dhaka. Recently it has opened a new outlet in 3 | Page

Chittagong. Agora is endeavoring to fulfill the everyday shopping needs of the urbanites through fair price, right assortment and best quality. While Agora mainly focuses on food items - ranging from a wide variety of fish, meat, vegetables, fruits, bakery, dairy, to grocery - it also carries a vast array of other households, personal care, and miscellaneous products(Media Bangladesh, 2015). Agora has recently launched Agora e-commerce website. Agora

introduces

customer

feedback

questionnaire

to

identify

the

satisfaction level of the consumers. In order to encourage employees, it organizes best employee award in each year on the basis of votes by the consumers. This tradition is unique in Bangladesh and helpful to acquire customers’ attention and satisfaction (Online Dhaka Guide, 2015).Agora constantly launches attractive promotions like Bazimat, Value Week or Super Value Offer or Diamond Ring Offer. Agora rais to open about eighty outlets across the country in the next five years. PRINCE BAZAR: Prince bazar is a sister concern of Prince Group. Originated in 1985 Prince Group and its brand is famous for its consumer food products. Prince group launched its

In 2008

first super shop in Mirpur . Now there are two

more chain store in Mohammedpur and Shaymoli which stays open from 8 am to 10 pm 7 days a week .While prince bazar mainly focuses on food items - ranging from a wide variety of fish, meat, vegetables, fruits, bakery, dairy, to grocery - it also carries a vast array of other households, personal care, and miscellaneous products(Babin, Lee, Kim & Griffin, 2005). It offers about 14,000

items

that

include

grocery,

readymade

garments,

jewelries,

cosmetics, stationery, toys, baby items, beverage and food including a wide range of agricultural and dairy products, electronic goods and many other household essentials. It has its own product categories like sweets, confectionary items. . It provides many promotional offers to its customers in different festival seasons (Eid, New Year, etc.) like other superstores(Ronald 4 | Page

& Hasty Attraction, 2003). Here the combination of quality and price under various brand names offers value to the consumers for their money. Prince Food & Agriculture Products Ltd. produces a variety of food items, including organic products, prepared foods and herbal products which are sold through Prince Bazaar retail outlet. Prince Bazaar occupies a large floor space of 2000squarefeet on a single level and is situated near residential areas in Dhaka city in order to be convenient to consumers. Its basic appeal is the availability of a broad assortment of goods under a single roof at a moderate price. It is now a part of a chain that owns or controls other super stores located in Dhaka(Belk, Russell, 2006). To maintain a profit, prince bazaar attempts to make up for the low margins with a high sales volume. Moreover it also sells higher margin items. The overall environment for Prince Bazaar and its competitors are changing from a product oriented atmosphere to customer oriented atmosphere where emphasis is put on satisfying all of the consumers’ needs. In order to remain competitive, Prince Bazaar wants to reevaluate its future opportunities for growth without compromising its profits. This study determines consumers’ responsiveness toward marketing mix of superstores in Bangladesh(Baker, 2007). The study was done on Prince Bazaar which is one of the famous and large superstore (in terms of outlet) in Bangladesh(Online Dhaka Guide, 2015). OBJECTIVES OF THE STUDY The present study is aimed to analyze the responsiveness of consumers’ toward marketing mix of Prince Bazar . Specific objectives of this study are as follows: 1. To identify the responses of the consumers toward the product/service of Prince Bazar. 2. To identify the responses of the consumers toward the price of products at Prince Bazar.

5 | Page

3. To identify the responses of the consumers toward the location of Prince Bazar. 4. To identify the feedback of the consumers toward the promotional activities of Prince Bazar.

RESEARCH METHODOLOGY The study is conducted on the basis of two sources of information: primary and secondary sources. At first, some general information regarding customers

is

asked

in

questionnaire

like

name,

age,

gender,

etc.

(questionnaire is given in the Appendix). The next part of the questionnaire is designed on multiple choice. Where consumers are asked to put tick mark on 5 statements.Questionnaire is used to collect primary source of information. Websites, articles and books are the secondary sources of information(Janta Review, 2015). Data are collected from the customers who regularly purchase from Prince Bazar. Sampling Area are Mohammedpur and shambolic. Sample size is 2010 from Mohammedpur and 10 from sheymoli. Sampling technique is non-probability convenience sampling. Researcher tries to find out customers who have shown interest in survey and respondents

are

asked

questions

after

purchase(Bangladesh economy word press, 2015).

6 | Page

completion

of

their

PRODUCT PORTFOLIO In two of the major stores of Prince Bazar all the necessary commodities are available. Prince bazar have a wide range of product portfolio and they are:

1. Cosmetics – Ranging from imported to domestic products 2. Showpiece and fancy items 3. Grocery 4. Home appliances 5. Electronics 6. Stationary products 7. Baby foods 8. Toys 9. Cookeries 10. Beverages 11. Dry foods 12. Sweet meat 13. Garment products 14. Herbal products 15. Frozen foods 16. Green grocery 17. Meat – Beef , lamb, Chicken , pigeon 18. Fish and sea foods

7 | Page

PROMOTIONAL ACTIVITIES Prince bazarprovide any incentives to promote their retail store. Such incentives are seasonal discounts and mega offer on specific products, Prizes and gifts on the amount of purchase. Prince bazar also promotes their store by ad on banner and billboards and also in various social networks such as Facebook and Google+. It provides many promotional offers to its customers in different festival seasons (Eid, New Year, etc.) like other superstores. SUPPLIERS: Many of the product like , Jelly, Pickle, Baking Powder, Custard Powder, Ice Cream, Chanachur, ChiraVaza, LachhaSemai, Toast Biscuit, Sauce, Mustard Oil, White Vinegar, Honey, Noodles, Ovaltin Biscuit, Horlicks Biscuit, Salt Biscuit, Ghee, Bread, Aromatic Rice, Puffed Rice, Cake, Yogurt, Custerd Cake, Mineral Water, ShahiLabang, etc are supplied by their own Prince brand (Janta Review, 2015). Other brands are supplied by local importers. Green grocery and meat product are supplied by local market dealers ; to maintain the freshness of decay able product department

prince bazaar product procure

buy those products everyday fresh out of market(Patterson,

2007).

SWOT ANALYSIS FOR PRINCE BAZAR: SWOT

analysis

that

identifies

the strengths, weaknesses, opportunities

and threats of an organization. Specifically, SWOT is a basic, straightforward model that assesses what an organization can and cannot do as well as its potential opportunities and threats(Media Bangladesh, 2015). The method of SWOT analysis is to take the information from an environmental analysis and separate it into internal (strengths and weaknesses) and external issues 8 | Page

(opportunities and threats). Once this is completed, SWOT analysis determines what may assist the firm in accomplishing its objectives, and what obstacles must be overcome or minimized to achieve desired results(Patterson, 2007).

Prince bazaar is also maintained SWOT analysis for accomplish its objectives properly and sustainably. SWOT analysis of prince bazaar is given below:

Strengths

Weaknesses

-barriers of market entry -experienced business units -domestic market

-high loan rates are possible -costs -tax structure -competitive market -tax structure -Expanded low among other competitors -future competition

-monetary assistance provided

-Very few stores

Opportunities

9 | Page

Threats

-growing economy

-price changes -unexpected problems -increase in labor costs -increasing rates of interest

-growing demand -growth rates and profitability -new products and services -new acquisitions

-growing competition and lower profitability -external business risks

Source: (Mattila&Wirtz, 2001)

“Prince

Food

Products

Industry

has

to

focus

on

customer’s

satisfaction and value and ensures quality of product. It also Grow share of customer. Fulfill customer needs and wants and Develop customer relationship(Prince Bazar, 2015).”

10 | P a g e

MISSION STATEMENT OF PRINCE BAZAR: A

mission

statement is

a

a company, organization or person;

statement

of

its

for

reason

the

purpose

existing;

a

of

written

declaration of an organization's core purpose and focus that normally remains unchanged over time. Mission statement is something that defines the company’s objectives. A formal summary of the aims and values of a company, organization, or individual. It's more important to communicate the mission statement to employees than to customers. Your mission statement doesn't have to be clever or catchy--just accurate (Gilboa&Rafaeli, 2003). The mission Statement of Prince bazaar is given below: “Prince Food Products is a private-sector industrial of Bangladesh. It

currently

has

25

on-going

concerns,

management

to

manufacturing and services. The Prince Food Products has a particular focus on urban area, and commercial ventures. We will always try to explore beyond the boundaries of possibilities. Consumer need and the consumer need alone will be our guiding philosophy in manufacturing and marketing of products those people who are the victim by poison food and satisfy their life(Janta Review, 2015).” Goals: Goals establish where you intend to go and tell you when you get there. They help improve your overall effectiveness as a company — whether you want to increase your share of the market, for example, or improve your customer service. The more carefully you define your goals, the more likely you are to do the right things and achieve what you wanted to accomplish in the first place(Media Bangladesh, 2015). Goal of prince bazaar is given below: 11 | P a g e

“Prince Food Products wants to see the goal as the manufacturing company of Food producer and seller of Bangladesh-Increasing capitals. Recruiting more efficient employees and changing current marketing policies(Prince bazar, 2015).”

COMPETITIVE STARETGY: A firm's relative position within its industry determines whether a firm's profitability is above or below the industry average. The fundamental basis of above average profitability in the long run is sustainable competitive advantage. There are two basic types of competitive advantage a firm can possess: low cost or differentiation. The two basic types of competitive advantage combined with the scope of activities for which a firm seeks to achieve them, lead to three generic strategies for achieving above average performance in an industry: cost leadership, differentiation, and focus. The focus strategy has two variants, cost focus and differentiation focus.

Source: (Baker, 2007)

12 | P a g e

1, Cost Leadership All super shop offers almost similar types of facilities and product. Whether it is Princebazaar , agora, nondan or prince bazaar, So the management tries to take the cost leadership strategy. They ask much less value to the gift product and imported product. In cost leadership, a firm sets out to become the low cost producer in its industry. The sources of cost advantage are varied and depend on the structure of the industry. They may include the pursuit of economies of scale, proprietary technology, preferential access to raw materials and other factors. A low cost producer must find and exploit all sources of cost advantage. If a firm can achieve and sustain overall cost leadership, then it will be an above average performer in its industry, provided it can command prices at or near the industry average(Media Bangladesh, 2015).

2. DIFFERENTIATION Prince bazaar is different with their product only with foreign product. They also sells sarees at the same time in the same super shop so it maintains a quiet unique

We will not find it in agora or Prince bazaar who are the

market leader at the moment. The In a differentiation strategy a firm seeks to be unique in its industry along some dimensions that are widely valued by buyers. It selects one or more attributes that many buyers in an industry perceive as important, and uniquely positions it to meet those needs. It is rewarded for its uniqueness with a premium price(Baker, 2007).

3. FOCUS

13 | P a g e

Prince bazaar focuses on the ladies item more than the male. The generic strategy of focus rests on the choice of a narrow competitive scope within an industry. The focuser selects a segment or group of segments in the industry and tailors its strategy to serving them to the exclusion of others(Babin, Lee, Kim & Griffin, 2005).

THE FOCUS STRATEGY HAS TWO VARIANTS.

(a) In cost focus a firm seeks a cost advantage in its target segment, while in

(b) Differentiation focus a firm seeks differentiation in its target segment. Both variants of the focus strategy rest on differences between a focuser's target segment and other segments in the industry. The target segments must either have buyers with unusual needs or else the production and delivery system that best serves the target segment must differ from that of other industry segments. Cost focus exploits differences in cost behavior in some segments, while differentiation focus exploits the special needs of buyers in certain segments(William, Darden, and Mitch, 2004).

14 | P a g e

COMPETITORS ANALYSIS:

In recent past lots of super store have been emerged. That is definitely bringing more competition for prince bazaar. We are analyzing the top most competitors:

Prince Bazar: Prince Bazar is the market leader at this time. It covers the whole city. The main thing is the name of the Prince bazaar is known by all. Supplier of Princebazaar is well organized, most importantly they have outlet all over the city. People find more assurance from buying the product from Princebazaar. Prince bazaar is new in this case they have to gain the loyalty of the customer(Baker, 2007).

Agora: Agora andPrincebazaardistributed among themselves most of the market share. Agora also got almost same amount of market share to Princebazaar. Prince bazaar actually makes their business in mirpur area. Where Princebazaar and agora is not conducting their business as they like to do(Babin, Lee, Kim & Griffin, 2005). 15 | P a g e

Big bazaar: Althoughbig bazaar is a renown brand in India but we also big bazaar in our country .They have only two outlets one in wari and another one is on jatrabari. Prince bazaar is making a tough competition with big bazaar(William, Darden, and Mitch, 2004).

Nandan: Nandan is growing slowly compare with Prince Bazaar. Nandan offers a much less variety in their product line. It is also not expanded as much as it should be.

PORTER’S FIVE FORCES ANALYSIS: Threat of New Entrants These market offers huge opportunity so new entrants is coming, includes Princebazaar,Agora, Nondon, Shwapno are dominating. It makes a huge competition in the recent past. Due to operating efficiency, one-stop shopping and major marketing-mix expenditure majority of large chains have built their power. This powerful force had a great impact on the small traditional shops, such as butchers, bakers and etc(William, Darden, and Mitch, 2004).

Bargaining Power of Suppliers

16 | P a g e

Prince bazaar in negotiating better promotional prices from suppliers those small individual chains are unable to match. In return, Bangladesh based suppliers are also threatened by the growing ability of large retailers to source their products from abroad at cheaper deals(Babin, 2004).

Bargaining Power of Customers Customer as lot of alternatives now they can switch to another one very easily. Prince bazaar has introduced card system to make the bargaining pwer more sustainable of customer. In meeting customer needs, customizing service ensure low prices, better choices, constant flow of in-store promotions enables brands like prince bazaar to control and retain their customer base(Belk, Russell, 2006).

Threat of Substitutes People can switch to normal vegetable market any time. If there is any kind of problem available.In the grocery industry this can be seen in the form of product-for-product or the substitute of need and is further weakened by new trends, such as the way small chains of convenience stores are emerging in the industry. In this case Prince Bazar, PQS and Agora's are trying to acquire existing small-scale operations and opening Metro and Express stores in local towns and city centers(Babin, Lee, Kim & Griffin, 2005). Bargaining Power of Competitors The grocery environment has seen a very significant growth in the size and market dominance of the larger players, with greater store size, increased

17 | P a g e

retailer concentration, and the utilization of a range of formats, which are now prominent characteristics of the sector(Nesdale, 2014).

Source: (Baker, 2007)

TARGET MARKET:

Every company needs to make their strategy best. The main focus of making strategy is to capture the target market. Strategy includes not only the target market but also the potential market.Market segmentation is a 18 | P a g e

strategy where the whole market is divided considering the characteristics of the Customer. Market can be segmented based on different criteria. Some Segmentation

criteria

are

behavioral

segmentation,

Demographic,

Psychographic, Geographic segmentation. Segmentation criteria will be different considering the different characteristic. Prince bazaar is targeting all level customers. Because it is a supers hop so there will be varieties level of product will be available .Age is the most important factor of super shop. Basically the main customer is the girls and the ladies. They need groceries and food almost every day. So we segmented the market into three categories for female(Belk& Russell, 2006).

15-30: In these category females like to buy Chock lets, gifts, jewelries and Dress. So they are categorized in these sections.

31-45: In these category females like to buy daily necessaries in most of the cases. People all over Dhaka comes to buy their product on a regular basis

45 and above: These type of people normally buy is luxuries product. They used to go there and buy whatever they need.

19 | P a g e

BCG MATRIX FOR PRINCE BAZAAR:

BCG matrix is a framework created by Boston Consulting Group to evaluate the strategic position of the business brand portfolio and its potential. It classifies

business

portfolio

into

four

categories

based

on

industry

attractiveness (growth rate of that industry) and competitive position (relative market share). These two dimensions reveal likely profitability of the business portfolio in terms of cash needed to support that unit and cash generated by it. The general purpose of the analysis is to help understand, which brands the firm should invest in and which ones should be divested. Prince bazaar is new relative to other organization. So BCG matrix is must for such super shop(William, Darden, and Mitch, 2004).

Relative market share: One of the dimensions used to evaluate business portfolio is relative market share. Higher corporate market share results in higher cash returns. This is because a firm that produces more, benefits from higher economies of scale and experience curve, which results in higher profits. Nonetheless, it is worth to note that some firms may experience the same benefits with lower production outputs and lower market share(Rora& Raj 2012).

20 | P a g e

Market growth rate:

High market growth rate means higher earnings and sometimes profits but it also consumes lots of cash, which is used as investment to stimulate further growth. Therefore, business units that operate in rapid growth industries are cash users and are worth investing in only when they are expected to grow or maintain market share in the future(Belk, Russell, 2006).

There are four quadrants into which firms brands are classified: Dogs: Probably dogs are the perfect quadrants for prince bazaar but its market value is getting higher day by day. Dogs hold low market share compared to competitors and operate in a slowly growing market. In general, they are not worth investing in because they generate low or negative cash returns. But this is not always the truth. Some dogs may be profitable for long period of time, they may provide synergies for other brands or SBUs or simple act as a defense to counter competitors moves. Therefore, it is always important to perform deeper analysis of each brand or SBU to make sure they are not worth investing in or have to be divested(Mattila&Wirtz, 2001).

Strategic choices: Retrenchment, divestiture, liquidation. 21 | P a g e

Cash cows. Cash cows are the best suited quadrants for prince bazaar. Mirpur branch is their first branch. It makes huge business in that branch. So they decided to extend their business into mohammadpur and shamoly. Cash cows are the most profitable brands and should be “milked” to provide as much cash as possible. The cash gained from “cows” should be invested into stars to support their further growth. According

to

growth-share

matrix,

corporate should not invest into cash cows to induce growth but only to support them so they can maintain their current market share.

Again, this is not always the truth.Cash cows are usually large corporations or SBUs that are capable of innovating new products or processes, which may become new stars. If there would be no support for cash cows, they would Strategic

not choices:

be Product

capable

of

development,

such

innovations.

diversification,

divestiture,

retrenchment(Mattila&Wirtz, 2001). Stars. Prince bazaar doesn’t have such growth in the recent past that we can consider it as star. Stars operate in high growth industries and maintain high market share. Stars are both cash generators and cash users. They are the primary units in which the company should invest its money, because stars are expected to become cash cows and generate positive cash flows. This is especially true in rapidly changing industries, where new innovative products can soon be outcompeted by new technological advancements, so a star instead of becoming a cash cow, becomes a dog(Gilboa&Rafaeli, 2003).

22 | P a g e

Strategic

choices:

Vertical

integration,

horizontal

integration,

market

penetration, market development, product development. Question marks: Question marks are the brands that require much closer consideration. They hold low market share in fast growing markets consuming large amount of cash and incurring losses. It has potential to gain market share and become a star, which would later become cash cow. Question marks do not always succeed and even after large amount of investments they struggle to gain market share and eventually become dogs. Therefore, they require very close consideration to decide if they are worth Strategic

investing choices:

Market

in penetration,

or market

development, divestiture(Gilboa&Rafaeli, 2003).

23 | P a g e

development,

not. product

Source: (Baker, 2007)

Prince bazaar is compared in others super store .Some statistical solution is given in the chart:

Super shop

Result

Attribut

name s Qualit

Pric

Variet

Availabili

Locatio

y

e

y

ty

n

67.6

64.05

43.5

Princ e

130.5

Bazar Agora

Nand an

04.2 5

Total Point

Position

5

409.7

406.2

1st

2nd

125.1

95

71.4

61.05

39.7

114

105

75.5

60

39.7

398.7

3rd

79.6

63.45

38

397.3

4th

5

Princ e bazaa

114

r

24 | P a g e

99.2 5

Here the we find some statistical value by differentiating each one with price, variety availability, location etc. in terms of Prince bazaar , we got attributes value 4.35 for quality; and we set weight (bi) =30 for quality; so we multiplied attribute value e; and weight value (bi) and got 130.5.

AFTER SALES SERVICE:

Prince bazaar offers after sales service. If you find any defect in the product after reaching house it will be exchanged within 3 days. The service you provide to your customers is crucial to your business success. For many customers, after-sales service is what makes one supplier stand out from another, often more than product or price. Good customer service can attract new business and can create a loyal customer base(Media Bangladesh, 2015).

25 | P a g e

Source: (Baker, 2007)

DISTRIBUTION CHANNEL: Prince bazaar is collecting from farmers directly sometimes for rice and other things. But most of the time they purchases from wholesale market. Vegetable product is collected from wholesale market. They price varies sometimes if Wholesaler collect it from local buyer or local market. The channel is different for imported product. They buy directly from the producers for gifts or jewelries as well as the dealer supplied it.Goods and services often pass to consumers through multiple channels. While increasing the number of ways in which a consumer can find a good has the potential to increase sales, it also creates a complex system that can make distribution management difficult. In addition, the longer the distribution channel the less profit a product manufacturer might get from the sale. Prince bazaar always maintains a well-structured distribution channel(Ronald & Hasty Attraction, 2003).

26 | P a g e

Source: (Bangladesh economy word press, 2015)

PRICING STRATEGY OF PRINCE BAZAR Several aspects of business and marketing dictate how prices need to be set in order for a company or retailer to be successful and reflect their objectives. The amount of time that Prince bazar needs to declassify his product line and setting up the prizes needs to be considered so that the producer is paid fairly. The cost of materials spent by PRINCE BAZAR also needs to be taken into account so that the business does not lose money. On top of this, PRINCE BAZAR’s aim is usually not just to breakeven but to make a secure profit.(Janta Review, 2015)

27 | P a g e

Source: (Baker, 2007)

Selecting the pricing strategy of PRINCE BAZAR mostly depend on its company goals and objectives statements. The managerial directors of PRINCE BAZAR can fix the price with a view of mass production with low price or high range price with classy quality. But as its offers product and already there is a perfect market condition in market place PRINCE BAZAR needs to fix a price range comparable with other competitors. If PRINCE BAZAR fix a higher price the company might not get the expected return as the customer can minimize their needs with comparatively low price(Prince bazar, 2015).

VALUE BASED PRICING PRINCE BAZAR can follow some price strategies such as value based pricing. Value based pricing defines the strategy where the customer needs level and market price are in first position. Then the company sets the target price and determines the cost that can be incurred. And finally on basis of these steps PRINCE BAZAR would design the vacuum cleaners development(Prince bazar, 2015). 28 | P a g e

BREAK-EVEN PRICING in market PRINCE BAZAR can follow the break-even pricing strategy for capturing the market in earliest time period. For this if the total cost of this vacuum cleaner project is £90 per unit, PRINCE BAZAR would fix the unit price of vacuum cleaner is also tk90.(Bangladesh economy word press, 2015).

MARKUP PRICING Another strategy is cost plus pricing or markup pricing strategy. Here PRINCE BAZAR can add the unit markup with the price of every vacuum cleaner. In markup pricing strategy if the unit cost of per vacuum cleaner is tk60 and PRINCE BAZAR wants 50% markup, the price would be tk60+tk30(markup)= tk90(Bangladesh economy word press, 2015).

For ensuring the quality PRINCE BAZAR needs to provide quality money on its raw materials. Then the total cost and the profit planned for the specific vacuum cleaner needs to be judged. And PRINCE BAZAR needs to identify how much money the customer are willing to spent for a comfort shopping and for surely PRINCE BAZAR can’t fix the price much higher than the current market price. As the market study says that the people in Dhaka are willing to spent tk110 for a daily product and so PRINCE BAZAR cannot capture the market with a price of tk150.

29 | P a g e

LITERATURE REVIEW

CUSTOMER SATISFACTION “Sustaining an audience is hard,” Consistency may be one of the least inspirational topics for most managers. But it’s exceptionally powerful, especially at a time when retail channels are proliferating and consumer choice and empowerment are increasing.

Getting consistency right in a chain shop like prince bazar also requires the attention of top leadership. That’s because by using a variety of channels and triggering more and more interactions with companies as they seek to meet discrete needs, customers create clusters of interactions that make their individual interactions less important than their cumulative experience. This CUSTOMER JOURNEY can span all elements of a company and include everything from buying a product to actually using it, having issues with a product that require resolution, or simply making the decision to use a service or product for the first time(Media Bangladesh, 2015). It’s not enough to make customers happy with each individual interaction. Prince Bazars most recent customer-experience survey of some 27,000 consumers across 14 different industries found that effective customer journeys are more important: measuring satisfaction on customer journeys is 30 percent more predictive of overall customer satisfaction than measuring happiness for each individual interaction. In addition, maximizing satisfaction with customer journeys has the potential not only to increase customer satisfaction by 20 percent but also to lift revenue by up to 15 percent while lowering the cost of serving customers by as much as 20 percent(Media Bangladesh, 2015). 30 | P a g e

Our research identified three keys to consistency: 1. Customer-journey consistency It’s well understood that Prince Bazar must continually work to provide customers with superior service, with each area of the business having clear policies, rules, and supporting mechanisms to ensure consistency during each interaction. However, few retail shops can deliver consistently across customer journeys, even in meeting basic needs. Assuming a 95 percent satisfaction rate for each individual interaction— whether measuring responsiveness, the accuracy of information, or other factors—even this level of performance means that up to one in four customers

will

have

a

poor

experience

during

the

on-boarding

journey(Bangladesh economy word press, 2015). The fact is that consistency on the most common customer journeys is an important predictor of overall customer experience and loyalty. Banks, for example, saw an exceptionally strong correlation between consistency on key customer journeys and overall performance in customer experience. And when we sent an undercover-shopping team to visit 50 bank branches and contact 50 bank call centers, the analysis was confirmed: for lowerperforming banks, the variability in experience was much higher among a typical bank’s branches than it was among different banks themselves. Large banks typically faced the greatest challenge(Gilboa&Rafaeli, 2003).

EMOTIONAL CONSISTENCY One of the most illuminating results of our survey was that positive customer-experience emotions—encompassed in a feeling of trust—were the 31 | P a g e

biggest drivers of satisfaction and loyalty in a majority of industries surveyed. We also found that consistency is particularly important to forge a relationship of trust with customers: for example, customers trusted Prince Bazar that were in the top quartile of delivering consistent customer journeys 30 percent more than retail shops in the bottom quartile. What is also striking is how valuable the consistency-driven emotional connection is for customer loyalty. For customers, “a brand I feel close to” and “a brand that I can trust” were the top drivers for retailer differentiation on customer experience. In a world where research suggests that fewer than 30 percent of customers trust most major financial brands, ensuring consistency on customer journeys to build trust is important for long-term growth(Online Dhaka Guide, 2015). COMMUNICATION CONSISTENCY A retailer’s brand is driven by more than the combination of promises made and

promises

kept.

What’s

also

critical

is

ensuring

customers RECOGNIZE the delivery of those promises, which requires proactively shaping communications and key messages that consistently highlight delivery as well as themes. Prince Bazar, for example, has built customer trust over a long period by consistently delivering on its promise as a no-frills, low-cost airline(Gilboa&Rafaeli, 2003). Similarly, Progressive Insurance created an impression among customers that it offered lower rates than its competitors in the period from 2005 to 2015 and made sure to highlight when it delivered on that promise. Progressive also shaped how customers interpreted cost-reduction actions such as on-site resolution of auto claims by positioning and reinforcing these actions as part of a consistent brand promise that it was a responsive, technology-savvy company. In both cases, customer perceptions of the brands reinforced operational realities. Such brands generate a reservoir of goodwill and 32 | P a g e

remain resilient on the basis of their consistency over time in fulfilling promises and their strong, ongoing marketing communications to reinforce those experiences. Becoming a company that delivers customer-journey excellence requires many things to be done well. But we’ve found that there are three priorities(Prince bazar, 2015).

MARKET ACCEPTANCE There are three major competitors in market. Prince bazar has a growing position. Though other retail shops have better acceptance rather than prince bazar the Growth rate and other facilities surely gives a promising future in upcoming years. An acceptance ratio of Agora, Almas, Nandan compared to Prince Bazar is given below with a pie chart

Agora

Almas

Meena Bazar

Nandan

Source: (Bangladesh economy word press, 2015)

33 | P a g e

QUALITATIVE DATA ANALYSIS ON CUSTOMER SATISFACTION IN PRINCE BAZAAR Prince Bazar mainly repeatedly encloses the opportune product along with many shopping products customers have a usual coming in it. The female consumers who are fundamentally housewife came at Prince Bazar around 23 times a week but there are quantities of incomparable activist buyers who visit almost 3 days a week. Although typical arrival of customers at Prince Bazar is 2 times a week the male customer and young customers visit less than twice a week. Although customers visit Prince Bazar regarding their needs, the normal arrival rate ebb and flow during festive or any special events, offerings and promotions(Prince bazar, 2015). Prince Bazar is in service with their business with more than 20,000 products. In every store that definitely meet the anticipation of customers of diverse ages. The complete family products are obtainable at Prince Bazar from grocery items to packaged food products and cosmetics. In addition, a good collection of imported products are also available at Prince Bazar according to customer`s judgment but with relatively higher price(Media Bangladesh, 2015). Pricing is a vital factor in the retailing business especially in the chain stores where they had to uphold the same price at all of their stores. Prince Bazar has a status for selling goods at the rational price which is also necessary to compete in the market. Customer`s projected that the pricing of Prince Bazar is reasonable comparing the local market but not contemptible. But the imported items are of comparatively higher price compared to the international price not from the competitor’s viewpoint as it almost identical in all competitors outlet.

34 | P a g e

Quality of the products fluctuates in the retail chain stores in case of local grocery items like- vegetables, meats, spices and other suitable products. Since, customers think that the packaged goods have the same quality and price in all of the retail stores in the country as the product is distributed from same company and price is tagged over the package. So, the game of excellencematter in the local grocery food items. But most of the customers carry the view that Prince Bazar proffers their product with the good quality vegetable and grocery group. In case of meat, importantsegment of consumer have wavering and uneasiness. That`s why preponderance of the consumerprocure meat items from local marketplace(Media Bangladesh, 2015).

CONCLUSION

This can be said that in the finishing part of the report is that the creating employment and entrepreneurs in Bangladesh retail business have a great contribution towards the economy. The report is made by the author focusing on the business environment from Prince Bazar retail chain business, considering the current scenario in Bangladesh to investigate and evaluate various theoretical models to analyze the direction and aims to open towards the expected information to get information.

The author has made an Industrial Analysis STP, SWOT, BCG matrix and these analysis will be carried out with the competitors. Prince Bazar’s product portfolio, pricing and promotional strategies, inventory control, supply of raw materials, such as Prince Bazar competitor analysis and price discrimination will be followed different procedures. Survey and data analysis will be available later on the main phase and a suitable proposal will then be

35 | P a g e

presented along with findings. Overall, this report has covered our learning outcomes.

36 | P a g e

REFERENCE BOOKS & JOURNAL Arnold, Stephen J., Tael H. Oum and Douglas J. Tigert (2003) "Determinant Attributes in Retail Patronage: Seasonal, Temporal, Regional, and International Comparisons," Journal of Marketing Research on customer satisfaction, 20 (May), 149-57. Rora, Raj (2012) "Validation of an S-O-R Model for Situation, Enduring, and Response Components of Involvement," Journal of Marketing Research, 19 (Nov), 505-516. Babin, B.J., Lee, Y.-K., Kim, E.-J. & Griffin, M. (2005) Modeling customer satisfaction and word-of-mouth: restaurant patronage in Korea. Journal of Services Marketing, 19(3), 133-139. Babin, Barry J., William R. Darden, and Mitch Griffin (2004) "Work and/or Fun: Measuring Hedonic and Utilitarian Shopping Value," Journal of Consumer Research, 20 (March), 644-56 Baker, J. (2007) The role of the environment in marketing services: the consumer perspective. The Services Challenge: Integrating for Competitive Advantage. Chicago, IL: American Marketing Association, 79-84. Baker, Julie, Michael Levy, and Dhruv Grewal (2002) "An Experimental Approach to Making Retail Store Environmen- Griffitt, William (1970), "Environmental Effects on Interpertal Decisions," Journal of Retailing, 68 (4), 445-60. Belk, Russell W. (2006) "Situational Mediation and Consumer Behavior: A Reply to Russell and Mehrabian," Journal of Consumer satisfaction, 3 (Dec), 175-177. 37 | P a g e

Bellenger, Danny N., Dan H. Robertson, and Barnett A. Greenberg (2007) "Shopping Center Patronage Motives," Journal of Retailing, 53 (2), 29-38 Bellizzi, Joseph, A., Ayn E. Crowley, and Ronald W. Hasty Attraction, (2003) "The Effects of Color in Store Design," Journal of Retailing, 59 (Spring), 21-45. Darden, William R. and Barry J. Babin (2004) "Exploring the Concept of Affective Quality: Expanding the Concept of Retail Personality," Journal of Business Research, 29 (February), 101-10 Donovan, Robert J., John R. Rossiter, GilianMarcoolyn, and Andrew Nesdale (2014) "Store Atmosphere and Purchasing Behavior." Journal of Retailing, 70 (3), 283-94. Gilboa, S., &Rafaeli, A. (2003) Store environment, emotions and approach behavior: applying environmental aesthetics to retailing. The International Review of Retail, Distribution and Consumer Research, 13(2), 195-211. Mattila, A.S. &Wirtz, J. (2001) Congruency of scent and music as a driver of in-store evaluations and behavior. Journal of Retailing, 77(2), 273-289. Patterson, P.G. (2007). Demographic Correlates of Loyalty in a Service Context. Journal of Services Marketing, 21(2), 112-121.

WEB SITE Prince bazar. (2015) Available at < http://princegroup-bd.com/ > [Online] Assessed on< 15th September, 2015>. Online Dhaka Guide. (2015) Available at < http://www.onlinedhaka.com/1_8_982_0-prince-bazar-mirpur-1-dhaka.html > [Online] Assessed on< 15th September, 2015>.

38 | P a g e

Janta Review. (2015) Available at < bangladesh.jantareview.com/advancedsearch.php?q=prince%20bazar&city=Dhaka > [Online] Assessed on< 15th September, 2015>. Bangladesh economy word press (2015) Available at < https://bangladesheconomy.wordpress.com/category/retail/ > [Online] Assessed on< 15th September, 2015> Media Bangladesh (2015) Available at [Online] Assessed on< 15th September, 2015>

39 | P a g e