Engro Foods

April 15, 2023 Master of Business in Economics_Session 2013-2015 BZU Multan

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Presentation on

Engro FoodsPresented to:

Sir. Sohail Ayaz


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1. Firstly we would thank Allah for giving us the opportunity and the resources to be able to do something productive with our lives.

2. Then our sincere thanks to Sir Sohail Ayaz for helping us throughout this report.

3. Lastly we would like to thank our families for their incessant support and approval.

ACKNOWLEDGEMENTS


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GROUP MEMBERSName Roll No

Muhammad Akhtar Farhan 02

Muhammad Asad Abbas 20Mubashar Ali 23

MBE-4th Semester(Session-2013-2015)Department of Economics

BZU Multan


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1. Introduction2. Mission3. Vision4. Objectives5. Operational Goals6. External Assessment7. Environment Scanning8. Industrial Analysis9. SWOT Analysis10.Successful Strategies11.Recommendations12.Conclusion

Contents


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Introduction of Engro Foods

Engro Foods Limited is subsidiary of Engro Corporation which is one of the most reputed enterprises in Pakistan with more than 40 years of diversified business operations in the areas of fertilizer and chemicals.

Top quality brands like Olper’s, Olper’s Lite, Tarang, Omore, Olfrute, Dairy Omung, Al Safa, Tarraka and Omung Lassi have been successfully launched. Engro Foods has already set up two processing plants at Sukkur and Sahiwal and a Dairy Farm at Nara.

Engro Foods is now venturing into North American market starting from Halal Foods category and acquired a company launched Meat products with name of AL SAFA.


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“Build branded food business to improve quality of life by offering tasty, affordable and high nutritional products to our consumers while maximizing stakeholder’s value.”

Mission Statement


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Vision Statement

”Aim at transforming the company within the five years into first national food industry giant, then into regional force and finally into a global player.”


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Objectives

Engro Foods main objectives are to supply everyone their favorite Olper’s Milk and to satisfy the consumer need and wants. Engro Foods second objective is to increase the value for the stakeholders and company value. We want to be the major player in the food industry.


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1. Customer Value Creation Target profitable customer

segmentsIncrease customer value Increase customer/market

awareness

2. Internal Operations Improve operational efficiencies as

it relates to the customer experience

3. Competitive AdvantageImprove competitive position

Operational Goals


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Suppler RelationshipCompetitive SolutionsCommunity RelationshipPolitical SolutionThe EconomySocietyTechnologyBrand & Reputations

External Assessment


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Environmental Scanning


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Political FactorEconomic FactorSocial FactorTechnological Factor

PEST Analysis


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Political Factors: It includes rules and regulation by the government. Every organization can run it’s operation sucessfully when it follows the laws rules and regultion related to them.Economic Factor: Every organization have impact by it’s economic factorsand they must respond economically.Social Factors: The improvement inlitracy rate brings awarness about tetra packing, this will enhace tetra packing’s sales e.g olpers, tarang, olfrut etcTechnological Factors: This factor also effects environment. Technology brings competitive advantage for any organization.

PEST Analysis


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Five Force Analysis


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Industrial Analysis


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SWOT Analysis


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Strengths

1. Efficient milk collection system.2. Keeping high quality standards3. Successful diversification4. Product Innovation 5. Strong Financial Position6. Huge Capacity for Production7. Growing Sales


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Weakness

Engro Foods is having only one its own dairy farms

Centralize DecisionsHigh PriceLess Promotion ActivitiesSelective Target MarketHigh milk collection & distribution costs. Local CompanyUnable to fulfill the demand of local

powder milk market


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Opportunities

Flexible government policies for food industry.Expansion of Food Business Awareness of Packed Milk Availability of Raw Material Market Capitalization Diversification Export Opportunities


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Threats Competition with Nestle, Haleeb, Walls. and the new

entersMature Market High inflation rate.International Marketing StandardsChange in prices might create certain barriers in terms of

the profit margins

Low purchasing power. Recessionary period in business cycle.High Taxes Seasonal FactorsSuppliers Behavior


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Successful Strategies

1. Market Penetration2. Market Development3. Product Development4. Backward Integration5. Forward 6. Diversification


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RecommendationsEngro Foods should have much diversified bi-

product line of dairy products like Nestle & Haleeb.

They should introduce new promotions to get customers’ attention.

EFL should expand its dairy farms so that they can get competitive advantage.

EFL should focus on Market Penetration, Market Development and Product Development strategies with more efforts to be the market leader.

They should go expand its capacity to enter into in international market like Nestle.


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ConclusionEngro is going to be a market leader due to different reason like its financial position, product quality, R & D, market share, sales growth etc. Its price is more or less equal to its competitors; it matches its quality with its competitors and capturing its competitor’s share from market. Engro is using its brand name and its packaging is good to promote its products and EFL is becoming very popular as compared to its competitors.

Engro Foods

Education

master of business

branded food business

engro foods limited

company value

engro foods main objectives

stakeholders value

halal foods category

customer experience