Flower Marketing

Part-Three

Flower marketing in Bangladesh

Chapter-One

Flowers symbolize beauty and serenity right from the Garden of Eden down to the green grocers basket. Flowers have been regarded as an embodiment of human taste and aesthetics. They inspired great songs to be composed, great souls to be unfolded and great feelings to be expressed. This unique and unparalleled nature of flowers has given rise to its commercial transaction all over the world. Thus, Bangladesh has ventured to enter this expanding export market.

Now a days flower marketing is in the process of a metamorphosis in Bangladesh (Hossain and Rahman 1994:5) Today the trade of flowers is a burgeoning trade and a number of florists have sprung up who sell flowers (cultural Reporter, 2002:10). No one could think of exporting Bangladeshi flowers even a few years ago. But this is a reality today and prosperous bonanza for tomorrow. In view of marketing prospect of flowers, a vast agricultural land has been turned into a flower growing area and the farmers are now in a position to make available any quantum of flowers for export according to the market requirements. This is encouraging both for the exporters and for the importers to strengthen their contacts and stimulate commercial operations of flowers. Available secondary data indicate that in Bangladesh the cultivation of flowers for the purpose of commercial use was started in a large scale from the early 80s. Initially it was confined to a few areas of the country such as panishara (jessore) and satkhira and gradually expanded to other parts of the country such as Narayangonj, savar, Tongi and some of the semi-urban areas of the country namely Barisal, Bagherhat and Chittagong

However, the substantial amount of flower cultivation is now still limited to the area of panishara and its adjacent places in Jessore (Hossain and Rahman 1994:5). Before 1983, the space in front of the High Court Mazar was the venue for the flower trade. Now it has spread too many other specific areas of the city .A little distance away from the Shahbagh road corner towards the west lays the Katabon area which has the biggest concentration of flowers shops in the city (Shams 1999). Not only small-scale flower vendors are now widespread and visible at several shops with neatly displayed flowers in shelves are found throughout the country particularly in Dhaka and other division and few district cities.

The traders sell the flowers on the foot-path at Shahbag from 6:00am to 12.00 pm .The flowers are kept either at the traders homes or in the closets behind the foot-paths.

Suppliers bring truckloads of flowers to Dhaka from Jessore, Savar and other places every morning. Some flowers are imported from India and Thailand.

The trader could not specify how the suppliers had access to the imported flower s and whether these require any taxes. Asked if local flowers are exported to other countries or is there any potential, they expressed there any potential they expressed their ignorance.

The traders said some 20 types of flowers are available at Shahbagh .The local ones include rose ,Rajanigandha, Gada, Lotus, Gladiolus and Chandramallika, The imported ones are ones are Jarbera and Orchid.

In 1999 there were 530 flower shops in Dhaka city (Hazzaz 1999:17). At present the number of flower shops is more than a thousand throughout the country. Moreover, there are a good number of hawkers and none descript youngsters selling the flowers in different places of Dhaka and other big cities on temporary basis to maintain their livelihood. A good number of flower shops are also established in district towns. At least 20 business enterprises and 4 associations are directly engaged in growing and export of flowers in Bangladesh (Ahmed, 1995:5). This number has increased now days.

Despite the increasing trend of flower business, burgeoning trade of flowers in different areas of the country and ample prospect of flower export in foreign countries, the empirical studies on these three aspects are scant. Thus, a comprehensive study on different aspects of flower marketing in Bangladesh has been conducted.

The flower is the chief reproductive organ of plants. It is a horticultural product that is commonly loved by every one having a minimum sense of pleasure and feeling (Hossain and Rahman 1994:6) by and large; love for flowers is ingrained in us. But in recent years it seems that a revolution has taken place particularly in Dhaka citizens attitude towards flowers (Shams 1999).A new outlook is evidenced in the widespread interest shown by them. So much so that such interest seems to have become institutionalized.

Flower as a business item came into being after Second World War. At the primary stage, flowers were mainly used by human beings to provide interesting ornamental effects and its business was confined around the Hotels of the Capital or business cities of the world (Hossain and Rahman 1994:6).

It was Columbia which first introduced flowers as a business item to the international market. The huge success of Columbia in selling flowers to international market inspired other countries namely Netherlands , Columbia, Israel, Holland, Mexico, Peru, Kenya etc involved in exporting flowers . The total world export of flowers during 2002-2003 exceeded to 1.37 billion dollars. (www.globtdinfo.au 2002).According to the experts, the trade is growing at a highly encouraging rate of 11 percent a year. This has enabled countries like Columbia, Guatemala, Germany Netherlands, Kenya, India and some other Asian Countries to think about the trade of flower as well. (Ahmed, 1995:6).

To increase the supply of this seasonal product throughout the year, a few countries have recently set up a common market among themselves, By boosting production, the global flow industry is turning seasonal blooms into perennials while also lowering other costs As the supply grows so does the demand. Recorded statistics show that the uses of flowers are increasing rapidly all over the world. The typical Japanese consumer spends on average of $50 a year on floral products. In Europe, the German consumer spends over $ 30 and even the British, who traditionally prefer to grow their own, doubled their spending on fresh flowers to $ 25 in the last five years. (Ahmed, 1995:5).The major demand in cut flowers all over the world is limited to roses, carnations, chrysanthemums, anthuriums, and lilies. But the trend of flower marketing has been gradually increasing. In 1992, the Netherlands, the worlds leading flower producer supplied more than 160,000 tons of flowers to West Germany, the worlds number one flower-importing country. Moreover, it provided 50 percent of all the flowers bought in France, Britain, and Switzerland. (Ahmed, 1995:5).Colombia is the second largest exporter producing 100,000 tons a year and supplying almost 60 percent of U.S flower imports. The worlds third flower exporter is Israel which shipped over 100 million stems to Europe in 1993 and $ 120 million a year. On the other hand, Bangladesh earned only TK. 1, 18,000 buy exporting flowers during the 1992-93 fiscal year. Export earnings from artificial flower stood at TK. 720,000 until MAY of 92-93. (Ahmed, 1995:5).The cut flower trade can make a major contribution to a countrys employment and export earnings. In Ecuador, the industry employs 45,000 people directly and contributed over $ 100 million to overall export earnings in 1997. In Columbia, the industry is estimated to employ 80,000 people directly and another 50,000 indirectly. In Columbia it is the fourth largest export-earning sector. In the Netherlands, a round figure estimate is that up to 100,000 jobs are somehow related to the flower industry. (www.ilo.org/ctflower/htm:2004)

The study was conducted with the following objectives:1.1.1 General Objective

The objective of the study is to find out the perception and awareness of the consumer towards flowers in Bangladesh. The research is focused on the perspective of the consumer and their views towards flower, what are their needs and wants.1.1.2 Specific Objectives

Within the framework of the general objective of the study, the specific objectives are:

To find out whether flower is popular among the consumers in the flower market?

To investigate Consumers requirements and demands

To see whether the flower is effective.

To find out what makes flower attractive to its user.

1.1.3 Marketing Objective

To evaluate the present export performance of flowers in the contest of global market.

To analyze the existing marketing system of flowers in Bangladesh.

To explore the constraints of flower marketing in Bangladesh.

To suggest marketing strategies and recommend measures to promote the export of flower from Bangladesh.

1.1.4 Financial Objective

To know the Net Sales Income (NSI).

To know the Gross Margin income from flower marketing.

To achieve EBIT.1.1.5 Campaign Objective

To create highs quality, positive and permanent image.

To establish a personality as smart, friendly, reliable and trustworthy.

To create far-reaching awareness among the consumers.

To get the maximum demand from the consumers.

Our campaign will also focus on the quality and adorable fragrance of the product.

Objective is to inspire consumers to trial purchase flower.

1.1.6 Significance of the study

The reasons for conducting this research is to find out the attitude and perception of the consumer towards flower marketing and what are the problems related to it and what the management of flower can do to improve it and gain or increase the market share.

Flower marketing in Bangladesh is suitable or not for improving GNP & GDP contribution.

Study approach: The study is explorative in the context of Bangladesh for the aspects focused mainly on flower. However, it can also be termed as descriptive and analytical. Sample size: Sample sizes were approximately 40, which were selected for filling up the questionnaire. Sample selection: As survey was to be conducted, an initial plan for stratified sampling was designed. The respondents were to be picked from the following clusters- The service holders or Businessmen including end users, decision makers and opinion leaders.

Housewives

Young generation or students.

Once the strata were selected, convenient sampling procedure was adopted for the ease of data collection.

Data collection procedure: A detail questionnaire was formulated for collecting data. The questionnaire is distributed among randomly chosen respondent. Among the respondent the study is divided into two groups. One of them is consumers or user of flower and the other group is non-user of flower. The analysis is focused on four facts as the outcome. The outcomes are:

Identify when people choose flower and whats reason for choosing.

Identify whether the current flower users are satisfied with the product.

To see whether the flowers are effective.

To find out what makes flower attractive to its user.

Sources of data: Majority of the study is based on primary data. However some secondary data source is used for background study. Primary Data collection sources were done by direct interview to the targeted respondents and by administering questionnaires through telephone and e-mail.

Secondary Data were collected from books, published documents, survey reports, internet and journals.

Analysis of Data: The analysis is done with both quantitative and qualitative procedure. MS-Excel is used as the software for quantitative analysis. And the qualitative analysis is done based on the quantitative findings.

Topic DurationDesign research instrument 5 DaysCollection of primary data 15 DaysCollection of secondary data 5 DaysAnalyzing & processing of data 10 DaysPreparation & submission of Internship Repot 10 Days

In this report, chapter 1 deals with the structure of the report and how the report has been prepared. Chapter 2 describes an overview of flower marketing in Bangladesh. Chapter 3 presents the analysis of data collected for the study. And interview questionnaire have been attached in appendices.

Chapter- Two

2.1.1 Industry characteristics

A large number of flower producers are involved in flower marketing, in fact, to become successful flower marketers; they need to have many logistical and technical supports, which are not available. Of those, speedy transportation and distribution, scientific storage system, technical know-how with regard to production and distribution are noteworthy. People involved in flower production and marketing can broadly be categorized into two groups such as:

1. Flower Producing people and

2. People who are involved in flower marketing activities.

2.1.2Growing

Bangladesh Flower Growers & Babshayee Samity (Shams, 2005) said some 20 types of flowers are available at Shahbagh .The local ones include rose ,Rajanigandha, Ganda, lotus, Gladiolus and Chandramallika, Orchid etc. these come from different places which shown below:

Chuadanga (Jibon Nagor,kaligonj,Jhenaida)Rajonigandha, gada

Jessore ( Jhikorgasa)Double Rajonigandha, Gada,

SavarRose, Colour gladiolus

Gazipur (valuka)Orchid

RangpurRose

Source: Bangladesh Flower Growers & Babshayee Samity (Babul, 2005)

The successful cultivation of flowers requires the following elements:

Good physical conditions: high light intensity, abundant water, cleans soil, and good climate.

Appropriate seeds and planting material

Capital for investment and working capital

Productive labor

Expertise in growing technique

Good management and organization

Pesticides and other chemicals

Energy for Heating

Infrastructure

A high level of quality consciousness all along the production and harvesting chain.

Fortunately in Bangladesh, all the facilities are more or less available to cultivate flowers. As a developing country, Bangladesh benefits from low cost of manual labor, but skilled labor and technicians can be expensive, particularly when expatiate. Bangladesh also has abundant light, good climatic condition and low land costs.

2.1.3 Post-harvest handling

Post harvest handling is as important as growing for delivering an attractive product like flower to the consumer. In the same vein, the reliability of air connections is as critical as its costs. Speed of delivery is important since flower must be carried to the destination without delay. This includes proper transport between farms and port (good roads, refrigerated trucks).

Many things can go wrong after the harvest, particularly in warm climates where the chance of diseases is great. Flowers are highly perishable in the post-harvest chain from grower to consumer.

Floral organs continue to grow actively. They have high rates of respiration, which continue after harvest.

A flower at 30//d C will respire 45 times faster than one at 0// C and consequently will have a shorter life span. Humidity is equally important. Flowers have a high surface-to-volume ratio due to then structure of petals and leaves. The use of good quality water prolongs vase life. A clean handling and storage environment is also important. Adverse condition can cause bacterial growth which blocks flower stems, or fungi growth, which can inflect flower blooms, (www.ilo.org/ctflower/htm:2004).

In short, to avoid great temperature fluctuations careful handling (to avoid damage) and good air circulation are required to reduce the risk of fungi and other diseases, Temperature fluctuations careful handling (to avoid damage ) and good air circulation are required to reduce the risk of fungi and other diseases. Temperature and humidity-controlled transportation process to ensure that flower arrive at their final destination in good condition.

Important features of flower business in Bangladesh are:

Increase rate of capital investment

Growing number flower shops

Varieties in flower marketing patterns

Increasing number of flower made goods and their cash selling.

(Haque, Islam & Haque 2002:248)

2.2.1 Product line of flowers

In the domestic market, the businessmen are selling different types of flowers and flower made products, although before 1984-1985 only Rajanighada, Rose and Jaba were sold by the flower traders eight new varieties of flowers were added to the product line of flowers in the period of 1987-1989. After 1990 another eight types of flowers penetrated in the flower market to enrich the beauty of flower business. (Hossain and Rahman 1994:36-38).At present, there is a vast array of flowers

Available in the local markets that are marketed regularly by the local traders. Among them, Following are noteworthy. Rose with different types (white Rose, Black Rose, Blood Rose Yellow Rose); Bailee (Kant Bailee, Chairse Bailee); Cheery, Gendha, Gardioex, Chandromallika, Gandhoraj, Mauchanda, Kaneihi.Jaba, Jui, Orstar, Chicken, Chichon thimous, Krishnochora, Moricha, Dalia, Orchids, Tulips, Carnations etc.

2.2.2 Distribution strategy of flowers

As mentioned earlier, post harvest handling of flower is as important as growing so that delivery of this attractive product can be made properly to the beauty conscious consumers. Proper distribution includes proper transport between farms and outlets or airports (good road, refrigerated trucks), which are essential for this perishable nature of product.

Distribution of flower varies between domestic and international market. In the local markets, flower produces or farmers directly sell their bulk of flower to the urban sellers .One study on flower marketing in Dhaka City. On The other hand, 29.31% entrepreneurs through their own initiatives collect the flowers from the flower growers plants. The local flower traders are distribution rest of the 27%. (Haque, Islam & Haque 2000:251)

Distribution of flowers in international market has two mechanisms. A potential Bangladeshi flower exporter wishing to enter the international flower markets must have the information about European market which controls the distribution mechanism of the world flower market. One way is to send the flowers to the wholesalers of foreign markets; another is to participate in an auction (Shahbagh, 1997:8).

Auctions play a very important role in the wholesale distribution process ultimately sending the products to the doors of consumers world over. Of the 15 auctions in Europe, nine of them are in Netherlands. Auction now handles approximately 85% of Dutch products, 60% of imported flowers amounting to ECU 2.6billion in 1995 (Shahab, 1997:8)

Another auction, which has recently drawn lots of attention to the flower traders to import outside Europe market, is Tele flower auction. The auctioning is done through a computer network without the physical transfer of the flowers and buyers selected from biggest Dutch wholesalers. They main products sold through this action are roses, carnation and summer flowers, Kenya, Uganda, Tanzania, and Malawi mostly supply these products.

2.2.3 Pricing of Flowers

In domestic market, there is no scientific method of determining price of cut flowers. In most cases price of flowers is determined by the existing demand and supply of the flowers .Although it is a good sign of free market economy, both consumers and suppliers sometimes face unexpected situation of higher price.

In a study on flower marketing in Dhaka city, it was found that about 70% seller of flowers follow convenience pricing, 20% sellers follow markup pricing and rest 10% Particularly retailers and nondescript youngsters follow going rate and perceived value pricing strategy (Haque, Islam & Haque 2000:252) . Variation in pricing is also observed in different markets in Dhaka city.

The average price of a local flower is between Tk5 and 15 per piece whereas an imported flower costs Tk20 to Tk25. Roses are most suited to the local climate, according to a trader.

The traders have reasonable excuses for the rising prices. The material for making a flower basket that cost Tk15 last year would now cost at least Tk30.

Indications of prevailing prices of different of flowers and accessories as given by the Bangladesh Flower Babsayee Samity are given below:

Flower and flower made productTaka

Rajanigandha

Bouquet

Garlands

Decoration of bride grooms car

Decoration of nuptial chamber

Flower Ring

Stage Decoration

Gladioli (Indian)

Gladioli (Japan)

Orchid (Singapore)

Oster15-20 per dozen

3-5 per price

50-500 per bouquet

50-200

300-2000

500-5000

200-4000

500-3000

3 to 6 per piece

8 to 10 per piece

3to 5 per piece

Source: Bangladesh Flower Growers & Babshayee Samity (Shams, 2005)

2.2.3 Promotion of Flowers In Bangladesh, there is no structured promotional activity to promote cut flowers in local markets. From the recorded information it had been observed that local businessmen simply display cut flowers and flower made products in their shops in a beautiful decorative manner to draw attention of the customers. To promote this non-traditional item, news reporters make cover story report regarding cut flower business from time to time.

To promote cut flower industry, exporting countries are trying their best to get access to the potential markets. In 1997, total global cut flower consumption was $ 44.6 billion and world-cut flower market is expected to maintain current annual growth rates of 6% to 9% (Grell Heather, 1998:1). For instance, to get access to Japanese cut-flower market, U.S has taken two-track approach:

1. Commercial options for increasing the chances of successful entry into the Japanese market,

2. A policy strategy for pressuring Japan to change its custom procedures and lower its agricultural trade barriers.

Policy strategy includes coalition building, Legislative flexibility, huge use of media for developing awareness of Japanese trade barriers.

Media strategy to enter international market includes letters to the editor(s) of journals and newspapers, news reports and advertisements to increase awareness of how local traders get benefit from imports of cut flowers from importing countries, writing articles to international journals to develop awareness abort market growth. Profitability and potentially lf cut flowers etc.

To promote export of flowers, Export promotion Bureau (EPB) with the help of UNDP and Dhaka Chamber of Commerce and Industry are trying to supply marketing information as well as to establish potential contacts for these interested in exporting flowers (Shahab, 1997:6). EPB sends regular missions usually consisting of two or three potential flower exporters to large flower importing countries in order to assess the market potential and to find out more about distribution channels. Trade information center of Export Promotion Bureau is a well stocked library consisting of reports on the international market of different products by UNDP , international trade organization, as well as reports compiled by different counties and blocks such as European Union. Besides these, Export promotion Bureau has its website (www.epbd.com/exported/flower.htm) where from traders and researchers can collect necessary information.

Domestic Market:

World Market:

The global cut-flower industry is changing. Although it was long dominated by the Netherlands, Other countries such as South Korea, Colombia, Ecuador, Zambia, and Kenya are also actively competing in international market. Currently there are twenty-six major floriculture-producing countries, fifteen of which account for 75.6 % of global consumption.

Japan is now the Worlds largest cut-flower producer (Grell Heather, 1998:1). The Netherland and United States are respectively the second and third largest, These three countries account for more than half of worldwide wholesale value but represent only 20 percent production capabilities for low-end, cheap flowers, while others, such as Australia and Colombia, have exploited their production experience and unique climates to gain entrance into niche markets around the world .In 1997, the leading consuming countries were the United States ($14.6 billion), Germany ($7.6 billion), and Japan ($5.4 billion).The countries with the highest per capital cut-flower consumption include Switzerland, Norway, Austria and Germany (Grell Heather, 1998:4).

World Consumption of Flower and Plants per Capital and Market Size

Per Capital Consumption

($)Population

(millions)Value of total

Market (US $ millions)

Austria1507.99836

Belgium/Luxembourg6610.49690

China0.41209.10488

Czech Republic910.4392

Denmark805.20416

Finland665.09335

France6658.113828

Germany9481.347,607

Greece3110.65332

Ireland123.5544

Italy6058.263496

Japan43125.515397

Netherlands 7715.451191

Norway1601.33608

Spain 2439.40950

Sweden 858.82752

Switzerland1677.081183

United Kingdom2958.301680

United states55263.8114586

Total World Floral Market4459

Source : (Grell Heather, 1998:4)

The flower culture is admitted a very recent phenomenon in our lives. It has been less than a decade since we seemed to suddenly realize the worth of roses, tuberoses and marigold as more than wreaths and garlands to honor the dead,. The aesthetically intriguing arrangements of professional florists are hard to pass by, as no social occasion is complete without flower.

Flower as a business came into being commercially in Bangladesh since the early 1980s.

Flower market in Bangladesh is centered in Dhaka City. Each and every day a large variety of cut flower comes from India, Thailand, Singapore, and Japan in Dhakas market (Haque, Islam & Haque 2000:254). In domestic market, supplies of flowers mainly come from Gajipur, Lonabari, Savar, Manilgonj, Jessore, Khulna and some villages of Jessore districts (Shams, 1999:5). Everyday, in Dhaka City grading of flowers made in at least 500 to 1000 shops and uncountable number of footpath vendors.

After commencement of commercial flower-business, several areas in Dhaka City bear witness to our new interest in flowers. More conspicuous among them are Shahbagh and katabon areas. These are regarded ad the hub of the citys flower market where business worth thousand of taka is conducted everyday (Shams, 1999:5). To promote flower business in Dhaka City ,k four air-conditioned flower shops has been established by the initiative of Dhaka City Corporation in 1990 (Haque , Islam & Haque,2000:250). These shops are namely-Madhabi Puspokunja, Kaberi puspaloy, Dumflower, and Madhukari pholghar.Beside these Malancha adjacent to Dhaka Club, Melody, Happy, Hasnahena, at Katabon turning point are also noteworthy.

In almost all-important points of Dhaka City, at least one flower shop is available where beauty-hunting customers crowd to buy flowers. Rajanigandha, Rose, Gendha, Gladioli Orchid, Oster, Slowbal, etc flowers are invariably available in these shops all around the year. To protect and promote the interest of flower businessman an association named Bangladesh Flower Growers and Bubshyee Samiti has been established.

Recent boom of flower business has touched the other divisions and some district cities of Bangladesh. Most notable are Dampara, Lalkhan Bazar, Nandan Kanon, GEC Moor of Chittagong, Newmarket, Santidham of Khulna, Sonadhikhi Turning point, Alopartinoor, sahib Bazar and Newmarket of Rajshahi city, and Sylhet divisional city all these place are cowered by the customer(s) of flowers (Haqre, Islam & Haqre, 2000:250).]Along with the increasing number of flower shops, there are a number of nurseries around Dhaka city, which are thriving. They are the new addition to city life. Even a decade back such nurseries did not exist. Today these nurseries have sprung up to cater to the needs of the local residents.

2.4 Export

2.4.1 Prospects of flower exporting

Flower has become an inseparable parts of our cultural life .Day by day it has because a great source of self employment. In the capital and other cities. Thousands of people are earning their livelihood from flower marketing. Although India also has got a great success in exporting flowers on commercial basis but still. We have not got a lot of success from this sector. Our environment and climate is very much suitable for flower cultivation and the market for flower is extending day by day. Each and every year flower market is getting the growth at the rate of 11%. The Dee loped countries especially winter dominant countries are producing flower through green house system. They have got a tremendous success by applying tissue culture system. In our country we also can increase the production of flower by applying tissue culture system. Most of the flower market in the world is being dominated by Netharland, Holland, USA, Germany, France and Ittaly. According to flower specialist. International flower market is very prosperous but, in case of surviving in the competition of flower market we of course has to develop the varieties of flowers as well as the packing system .In the economic development of Bangladesh flower can contribute a lot by earning foreign currency.

2.4.2 Exporting flower from Bangladesh

At first we exported flower to Australia and England in 1919 and its cultivation took place in Jamalpur district but after that Govt had not taken any kind initiative to accelerate the export. Consequently the potentiality of flower export lost its way. Next to that attention is given to flower cultivation again in 1979 and from 1995 attention is given for exporting flower. In the fiscal 1993-94 we got 12000 taka by exporting flower and in 1994 it reached at 16000 taka .Now the total scenario has changed and in the fiscal year 2003-04 we earned a foreign currency of almost 4.5 crore taka. In the year 2004-2005 it increase by the 10 times of the previous fiscal year and it was 40 crore taka.

year

Amount

1993-9412000

1994-9516000

2000-2001960000

2003-200445000000

2004-2005400000000

Fig: Exporting flower from Bangladesh

Source: (Amardesh, 06/08/2005)

2.4.3 Bangladesh export of cut flower (Value in 000US$)country2003-20042004-2005(July-March)

Pakistan7191173

Italy1524

Portugal134

Saudi Arabia71061

U.A.E426

India332

USA22

Congo1-

Korea Rep1-

Philippines-155

Singapore-5

Greece-5

Belgium-5

Samoa-2

Turkey-4

Japan-9

Germany-5

UK-217

Denmark-39

France-1

Total7652769


2.4.4 Export trend of cut flower (World Scenario)

By exporting flower Holland earn 80% of its revenue income, Kenya earn 60% of its revenue income, Thailand earn 30% of its revenue income, and India 15% of its revenue income, If govt patronize then we can export flower worth of 50 crore taka.(Source:Deshbangla01/05/2005)Export of cut flowers is rapidly increasing all over the world. Only top-quality flowers are traded internationally because of the increasing quality consciousness of the customers. Competition is such that anything less than top quality consciousness of the customers. Competition is such that anything less than top-quality flowers can best be sold to less-demanding domestic customers. Quality has several dimensions. Flowers should be free from plagues and diseases and they should be undamaged.

There has been a major upsurge in the production and export of world cut flowers in the past few years (Australian Bureau of Statistics: 2002:2) Perennial gypsophioaand freesias have become major crops alongside carnations, roses and chrysanthemums, while flower

bulb crops are gaining in importance and tulip lillium, nerine and alstroemeria as well as freesia plants have been established through out the EEC countries. The following exhibit shows the leading exporting and importing countries of cut flowers all around the world.

Leading Exporters of Cut flowers: HS Code 060310 (Thousand Dollars)

19981999200020012002

Colombia556,105549,314581,368604,341647,221

EU(External Trade)335,253385,451419,632418,930463,378

United States45,95345,13146,10848,63248,096

Thailand25,63128,00930,45734,10439,391

Mexico23,25525,26126,57124,99423,866

South Korea7,88614,17021,45224,39222,964

New Zealand 24,38024,92821,29621,13818,764

Canada15,54515,65118,08618,50917,471

Malaysia6,0477,8039,4257,83916,722

South Africa16,85517,27512,7749,57912,019

Australia11,34513,04311,51012,21111,931

Turkey13,48011,8836,6767,59911,039

Taiwan7,19510,0268,5877,78210,143

India-------6,0728,3307,9878,934

Peru3,9764,7095,2774,9395,023

ROW1,1132,1181,6181,2781,484

Reporting Total---------1,171,1341,237,0911,263,2831,370,469

Source: Global Trade Information services.Inc.

2.5.1 We import following items:

Mary Gold

Orchid

Jervera

2.5.2 Duration of importing flower

1. We imported Mary Gold from India at December to January and its amount is

30*12 = 1200 Jhupa per day

2. We imported Orchid from Thailand at December to January and its amount is 6000 pieces Per week3. We imported Jervera from India at December to January and its amount is 2000 pieces Per day

Leading Importing of Cut flowers: HS Cod (Thousand Dollars)19981999200020012002

EU(External Trade)619,465575,977597,898597,004617,333

United States598,903574,264595,530551,179529,492

Japan136,955153,650162,572151,412145,971

Switzerland 143,623140,808129,696129,580139,330

Canada56,76756,93161,22267,09370,030

Russia24,58810,33924,11947,72749,586

Norway30,84929,39526,58225,31926,057

Hong Kong 14,07614,47718,93117,61318,714

Poland 10,96919,58116,77818,47318,352

Australia5,1715,5435,7444,1424,203

Taiwan4,7044,1484,1103,8114,054

Colombia3546748601,4772,645

Mexico9361,1281,4431,9232,495

Brazil4,1631,8751,6531,4711,311

South Korea7401,0591,4541,031959

ROW13,75315,35015,04712,9185,867

Reporting Total--------1,171,1341,237,0911,263,2831,370,469

Source: Global Trade Information services.Inc.

Fig: World wide Trend

YearAmount (in thousand)

19991171134

20001237091

20011263283

20021370469


Chapter-Three

3. Mission, Vision & Objective of flower marketing

Mission:

To grow and increase value by implementing advanced technologies, new products and services to provide excellent solutions to satisfy customers requirements.

Vision:

To provide the best satisfaction for the customers.

Goal:

To make market profitability, good corporate citizenship and a sustainable growth.

Objectives:

Term paper is an attempt to orient the students with the real world situations gives the students to personally observe the complexity and find out the various ways to solve different problems applying the theoretical thought in the department.

While conducting the study, certain aims should be fulfilled while we believe the objectives of the study these are as follows.

To get an overall idea about the flower marketing of Bangladesh.

To make a clear understanding about the different aspects of industry.

To learn, to apply theoretical knowledge in the practical life.

To determine the limitations or problems (if any) of the industrial sector.

To recommend necessary steps to overcome such limitations.

Flower business portfolio comprises the following business areas: Information and Communication, Automation and control, Power, Transportation, Medical, Lighting and Home Appliance. The individual groups within these areas are responsible for their own worldwide operations, with regional units around the globe supporting their efforts.

Flower has related diversification and their product ranges are divided into different product lines. This decentralized structure gives the greatest degree of entrepreneurial responsibility and the ability to nurture the closest possible ties to their customers.

3.1.1 Information and CommunicationsWith the Next Generation Network, flower builds a highly scalable, flexible and open infrastructure that enables people and organizations to communicate more effectively and more creatively than ever.

Under one roof, flower can provide the entire range of solutions to meet the information and communications needs of Bangladesh.

3.1.2 Automation and Control

The Automation and Control Segment comprise four Groups: Automation and Drives, Industrial Solutions and Services, flower Production and Logistics Systems and flower Building Technologies. Flower is the world's prospecting of business products, systems, solutions and services in the industrial and building technology sectors. It helps its customers optimize their business and production processes, enabling them to improve their profitability and efficiency. The Groups cooperate using the latest information technology and thus develop synergies for their four main markets: manufacturing, process, building and logistic automation. .

3.1.3 TransportationFlower comes in Dhaka city from different places of jessore. Beside this Savar, Mymansingh, Netrokona, Chuadanga etc. at first flower come in Shabagh and katabon and then it goes different places by track and pickup.

3.2 Macro Economy scenarios of flower marketing Social

The concept of nuclear family is spreading widely across the country. The number of working woman is increasing day by day. These are the rationale that intensified the need of home appliances grow more than ever.

Economical

The devaluation of BDT against Euro and USD has created great impact on imports of the home appliances, which is impeding the growth on sales.

Technological

The growth regarding technology is very rapid. As most of the appliances are imported from abroad and distributed locally, the quality and standard is very high.

Political

The political environment is not that stable in our country and affecting every business. The tax policies are changed frequently and also not stable.

Strengths:

Wider product range

Strong local presence

Favorable image

Comprehensive knowledge of the total market and client

Good quality and top quality of products with solution

Using advance high- technology

Because of long term experience, customers reliability and loyalty

Honey is collected from flower

In decoration flower is preferable than other things.

Weakness:

perishable

Lack of awareness

Higher tax on home appliances

Lack of consistency in promotional activities

Less competitive price; competitor sourcing product at cheaper price

Less organized distribution

Less compliance to market demand

Parts are not always available

Limited showroom

Opportunities:

Ever rising flower cultivation Emerging markets for Apartment consumers and high rise building. Urbanization and modernization of the country Consumer preference on authorizes and purchasing at one stop Flower Use flowers on happy ceremonies, occasions and festivals. Decorate our drawing room with flowers. The bride chamber is beautifully decorated with flowers.Threats: Flower is perishable

Absence of refrigerating facility

Lack of transport facility

Poor packaging

Lack of technology

3.4.1 The Marketing and Management Problem

The data and information gathered through primary and secondary sources indicates few problem of the product. These problems of the product are directly and indirectly linked to the marketing and management.

The Marketing problem

The flower has great deal of problem in their marketing part. The problems are more or less related to the strategies taken by the company regarding product advertisement and promotion, market segmentation. The marketing problems are concerned with the fact that the strategy taken by the company is not always well implemented. The problems from the point of view of marketing are:

Image of the product

Marketing strategies

Market segmentation

The management problem is focused on the facts of one issue. The problem is:

Corporate Culture

Corporate Culture

The Corporate Culture of flower follows conservative style. The corporate culture of flower states that they prefer experienced and aged personal rather then young people. The overall corporate culture of the flower is conservative and they follow it in their recruiting and promotion in the management sector. This conservative corporate culture has a great influence on the product image. The flower doesnt encourage a young, fresh new comers in the management and with that the so-called Crazy ideas. But because of this negative attitude toward the crazy idea the company is lacking in creating new dimension for the product and promotion.

3.4.2 Actual findings from the secondary data and its relation with the marketing management problems

When we went through our data analysis we matched them with the marketing management problems we have mentioned so far. The SWOT analysis of the company was retrieved from analyzing their company brochures, reports and also from their marketing division. The analysis is pretty much relevant with the major marketing problems we have highlighted in one of the previous sections. The analysis shows that due to some of their weakness, e.g. less competitive price, inconsistency in promotion. Plan for different segments of their target market, which in turn resulted in their incapability to attract an important target group, i.e. the target consumer of flower users.

From the secondary data analysis regarding the industry we are able to say that competition is growing in the industry with new multinational and local companies that are offering competitive price and other advantages.

We develop a questionnaire by following all the procedures of questionnaire development. It is a close ended questionnaire where we use interval, semantic, likert scale. After primary preparation of questionnaire we conducted a test of the questionnaire that if it meet our demand and provide relevant information that are needed.

Population of Interest

Buyers of flower who buy any flower and sellers of flower who sell any flower.

Method of Data Collection

Face to face interview is the appropriate technique to collect data for such type of project.

Sampling process

Random sampling technique is used here.

Number of Samples

For Data analysis we have used 50 samples.

Sample Area

Shabagh Katabon

Dhanmondi area

Mirpur Area

Bailey Road

Field WorkGroup members were assigned to collect data.

After conducting the survey through personal interview in the different areas of Dhaka cities we have to get the following data. This data is collected from the 50 respondents given the sex (1 male, 2 female). Preference of decorating office, drawing room, and bride chamber (50, 1=very less, 2=less, 3=moderate, 4=much and 5=Very much), Preference of flower (1==extremely bad, 2=very bad, 3=bad, 4=moderate, 5=good, 6=very good, and 7=excellent). Quality as a considering factor (1=yes, 2=no), quality of flower (1=very bad,2=bad,3=moderate, 4=good and 5=very good) fragrance of flower (1=yes , 2=no),Capacity vs. Price 1=yes,2=no).

As the first step in the analysis, it is often useful to examine the frequency distribution of the relevant variables.

1. Preference of Decorating Drawing Room

ValueFrequency

1

2

3

4

51

4

7

16

22

50

2. Preference of Decorating office

ValueFrequency

1

2

3

4

52

5

19

13

11

50

3. Preference of Decorating bride chamber

ValueFrequency

1

2

3

4

50

3

10

18

19

50

4. Preference of Flower

ValueFrequency

1

2

3

4

5

6

74

17

3

4

8

8

6

50

5. Prospect of Flower Marketing

ValueFrequency

1

2

3

4

5

0

2

21

22

5

50

6. Quality as a consider FactorValueFrequency

1

2

46

4

50

7. Fragrance of flower

ValueFrequency

1

2

36

14

50

8. Capacity Vs Prices

ValueFrequency

1

2

34

16

50

1. Preference of Decorating Drawing Room

5*22= 110

4*16= 64

3*7= 21

2*4= 8

1*1= 1

204

Preference of Decorating Drawing Room = 204/50 = 4.08(Mean)

= 5 (Median)

= 4 (Mode)

2. Preference of Decorating office

5*11=55

4*13=52

3*19=57

2*5=10

1*2=2

176 Preference of Decorating Drawing Room = 176/50=3.52(Mean)

3. Preference of Decorating bride chamber

5*19=95

4*18=72

3*10=30

2*3=6

1*0=0

203

Preference of Decorating bride chamber = 203/50 = 4.06 (Mean)

4. Preference of Flower

7*6=42

6*8=48

5*8=40

4*4=16

3*3=9

2*17=34

1*4=4

=193

Preference of Flower = 193/50 =3.86 (Mean)

= 4 (Median)

= 2 (Mode)

5. Prospect of Flower Marketing

5*5=25

4*22=88

3*21=63

2*2=4

1*0=0

= 180

Prospect of Flower Marketing =180/50 = 3.60 (Mean)

= 4 (Median)

= 4 (Mode)

Z-test

From the data selected to know to whether main consideration factor to buying flowers are see that 46 people out of 50 mean 92% people see that Quality of flower is the main considering factor to buying flowers & the customers preferences basically depends on the quality of flower. So we can now test the quality of flower it is up to the standard or not from the customers point of view.

Now to test the hypothesis we have to find out the Z value that leads to do a Z test of the preference of flower.

Here we drew the null hypothesis is that if more than 60% of the total respondents say that the quality of flower is good, then no change will occur.

Ho: 0.60 (Null Hypothesis)

H1: 0.60 (Alternative Hypothesis)Out of 50 respondent 22 persons said that the quality of flower is good for marketing.

So, (p) = 22/50=.44

Here if the confidence level is 95% then the table value will be 1.64 and the critical value is -2.32. So the null hypothesis is rejected, that is, the quality will have to be increased.

So, P = 22/50 = 0.44

Comment

Here if the confidence level is 95% then the table value will be 1.64 and the critical value is -2.32. So the null hypothesis is rejected, that is, the probability of flower marketing is good in Bangladesh.

Prospect of flower marketing in Bangladesh

Sex1(High)2(Low)Row Total

1(Male)7815

2(Female)10515

Column Total171330

Numberoe( o - e )

e

C1178.5.2647

C1286.5.3462

C21108.5.2647

C2256.5.3462

X2=1.2218

Comment

Here null hypothesis is accepted which means there is no association between the variables, that is, the flower marketing does not vary from Male to Female. Hence Flower Marketing has a great opportunity in Bangladesh.

Phi-coefficient =

X2

n

1.2218

= 50 = 0.1563

The flower marketing structure in our country is not strong.

Exhibit 3 for statistical output NumberHighLow

172

272

375

452

552

622

774

856

967

1052

1122

1273

1344

Total

6943

Yj

5.313.31

5.31 + 3.31

Y =

2

= 4.31

SSx = n (Yj Y) 2 + n (Y Y)

= 13(5.31 4.31) 2 + 13(3.31-4.31) 2

= 26

SSwithin or SSerror = (Yij Yj) 2

= (7 5.31) 2 + (7-5.31) + (7-5.31) + (5-5.31) + (5-5.31) +

(2-5.31) + (7 5.31) + (5-5.31) + (6-5.31) + (5-5.31) +

(2-5.31) + (7-5.31) + (4-5.31) + (2-3.31) + (2-3.31) +

(5-5.31) + (2-3.31) + (2-2.31) + (2-2.31) + (4-3.31) +

(6-3.31) + (7-3.31) + (2-3.31) + (2-2.31) + (3-3.31) +

(4-3.31)

= 75.54

SSy = SSx + SSerro

= 26+75.54

= 101.54n= SSx / SSy

= 26 / 101.54

= 0.256

F = (26/1) / (75.54/ 24)

= 8.26

With the 1 and 24 degree of freedom the critical value of F is 4.26

Ho; category means are equal that high quality and low quality perception has no effect on the preference of flower marketing in Bangladesh is rejected which means perception of quality has effect on preference of flower marketing in Bangladesh.

(Exhibit 4 for statistical output)

The value of R is 0.225 which means the relationship between dependent and in independent variables is not strong. The value of R is 0.050 and adjusted R is 0.161 are not close and both are smaller than 1.97. This suggests that the addition of the second independent variables makes little contribution in explaining the variation in preference.

Demographic segmentation by gross family income

Gross family income

Chart #

Interpretation

From this demographic analysis it is possible to find out gross family income of a person. From this chart it seems that the highest income group is in the Below TK10,000 with 37.5%, the second group of 25% of Tk.10, 000-Tk20, 000, with 15% falling under the Tk20, 000-Tk40, 000, and finally 12.5% is under more than Tk.40, 000.Question 1

Do you prefer flower in decoration?

Chart #

InterpretationThe purpose of this question is to find out the demand of flower in the market. So from the above chart it can be said that 100% of the respondents like flower to decorate their drawing room, office, and chambers. Since flower becomes a necessity to the people in part of their daily life. Hence, it can be said flower has a potential market growth in Bangladesh.

Question 2

If yes what do you think about the preferences of flower?Table #

CriteriaNo of RespondentsPercent

Extremely Bad48.0

Very Bad1734.0

moderate 36.0

Bad48.0

good816.0

Very good 816.0

Excellent612.0

Total 50100.0

Chart #

Interpretation

The table and chart illustrates the perception of the users of the total survey respondents about the preferences of flower. As to 8% respondents its preferences is extremely bad and another 34% from the total users of the respondents perceive it very bad. The 6% think it as moderate. 8% think it as bad. 16% think it as good.16% thinks it as very good. 12% think it as excellent. Question 3

Mention the flower name you prefer in decoration.

Table #


Rajoni Gondha2040.0

Rose1734.0

Beli510

Mary gold510

Gladiolus12

Others 24

Total 50100.0

Chart #

Interpretation

From the above table and chart it can be said that highest number of users are the ones using Rojonigondha with 40%. The second is Rose users which is 34%. Then 10% and 10% respectively use Beli and Mary Gold. And the rest 2% and 4.0% respondents use Gladiolus and others Flower.

Question 4

Who influenced you for buying flower?

Table #


Family members/relatives/friends/neighbors 2244.0

Experience1020.0

Movie918.0

Print Ads612.0

Dealers 36.0

Total 50100.0

Chart #

Interpretation

This question was who influence you to buy the flower. The above table and chart shows that most of the respondents of the survey influenced or choose their brand by their family members, relatives, friends, neighbors i.e. about 44%.20% of the respondents said they are influenced by experience.18% of the respondents said they are influenced by watching TV Movie ads whereas 12% are by print ads. Some respondents of the sample survey responded that they choose Flower by their own experience of using Flower. And the rest 6% of the respondents replied dealers as their choosing of Flower.

Question 5

Do you prefer flower in decorating drawing room?

Table #


Very less12.0

Less48.0

Moderate714.0

Much1632.0

Very much2244.0

Total50100.0

Interpretation

The table and chart illustrates the perception of the users of the total survey respondents about the preferences of flower. As to 2% respondents its preferences is very less and another 8% from the total users of the respondents perceive it less. The14% thinks it as moderate. 32% think it as much. 44% think it as very much. Question 6

Do you prefer flower in decorating office?

Table #


Very less24.0

Less510.0

Moderate1938.0

Much1326.0

Very much1122.0

Total50100.0

..

Interpretation

The table and chart illustrates the perception of the users of the total survey respondents about the preferences of flower. As to 4% respondents its preferences is very less and another 10% from the total users of the respondents perceive it less. The 38% thinks it as moderate. 26% think it as much, 22% think it as very much. Question 7

Do you prefer flower in decorating bride chamber?

Table #


Very less00

Less36.0

Moderate1020.0

Much1836.0

Very much1938.0

Total50100.0

Interpretation

The table and chart illustrates the perception of the users of the total survey respondents about the preferences of flower. As to 0% respondents its preferences is very less and another 6% from the total users of the respondents perceive it less. The 20% thinks it as moderate. 36% think it as much, 38% think it as very much. Question 8

Do you consider price at the time of buying flower?

Table #


Yes 3468.0

No 1632.0

Total 50100.0

Chart #

Question 9

Do you consider fragrance at the time of buying flower?

Table #


Yes3672.0

No1428.0

Total50100.0

Chart #

Question 10

Is quality as a considering factor at the time of buying flower?

Table #


Yes4692.0

No48.0

Total50100.0

Chart #

Question 11

Do you prefer to buy it from the Dhaka Shahbag?

Table #


Yes3060.0

No2040.0

Total50100.0

Chart #

Interpretation

While concerning about purchasing flowers from Dhaka Shahbag 40% of the survey respondents said NO and 40% respondents replied YES.

Question 12If yes then the reason is--

Table #


Less price 1632.0

Only Whole sale market 1428.0

Available all flower1224.0

Fresh & high quality816.0

Total 50100.0

Chart #

..

Interpretation

Respondents prefer purchasing flower from Shahbag. 32% respondents prefer to buy it because of it less price. 28% respondents want to buy it due to only whole sale market. And the 24% says all flowers are available in the market rest 16% respondents who are interested to buy from Shahbag are for fresh & high quality.

Question 13

Have you ever used Flower?

Table #


Yes525.0

No3575.0

Total40100.0

Chart #

Interpretation

The purpose of this question is to get the number of the respondents who use Siemens refrigerator among the total survey sample size. The above table and the chart shows that only 25% of the respondents said YES which is very small in size compare to other brand. Because 75% of the respondents replied NO, they use other brands.

Question 14If no in your point of view the reason is-

Table #


Not aware of the flower925.7

Not available in the market1851.4

Very limited in showroom1014.3

Comparatively expensive128.6

Perishable50.0

Others00.0

Total35100.0

Chart #

Interpretation

This question was conducted to know the reason of the respondents who does not use flower. After collecting the information from the respondents it can be said that most of the respondents i.e. 51.4% think that this flower is not available in the market. Whereas 25.7% of the respondents said that they are not aware about this. That means they have no idea that flower is symbol of love and appliances product in Bangladesh. Some of the respondents with 14.3% said they did not buy flower because of having limited showroom in the market. In the point of view of the respondents with 8.6% Siemens refrigerator is comparatively expensive with other brands.

Question 15

Prospect of flower marketing in Bangladesh?

Table #


Very bad00

Bad48.0

Moderate714.0

Good1632.0

Very good2244.0

Total50100.0

InterpretationThe table and chart illustrates the Prospect of flower marketing in Bangladesh.0% respondents its preferences is extremely bad and another 8% from the total users of the respondents perceive it bad. The 14% think it as moderate. 32% think it as good. 44% think it as very good.

Now a days flowers are not only a symbol of beauty but also have turned in to a commercial product. Almost every country are growing flowers in commercial basis flower cultivation is almost an industry now. In some countries flower is the main export earning product. Even our neighboring country India is cultivating flower in commercial basis. Because of the bright prospect of the flower farming govt has proclaimed this sector as a thrust sector.

Bangladesh has a number of problems related to marketing of flowers in the domestic market as well as for entering sophisticated markets like Japan, Singapore, USA and EU. To complete the study I have faced some problems, which can be termed as the limitation/ constraints of the study. In comparison to the world market our flower industry is very small. Although flower had a great potentiality to learn a much more foreign currency but still it did not achieve its peak target because of the following reasons.

Lack of credit facilities

Although flower marketing can earn a lot of foreign currency but still farmers are not getting a handsome amount of credit facilities in order to extending their farming.

Shortage of refrigerated van

Flower is the most perishable item so it need refrigerated van to transport and store for a long time .but it is the cruel reality that there is a great shortage of refrigerated van in transporting flower from one place to another.

Inadequate space in Biman

In case of exporting flower biman is the prominent source of transportation. But there is a little space for transporting flower through biman.

High charges of Biman

As biman is the main transporting vehicle of exporting flowers it takes a lot lf charge for the transportation of flowers as a result the cost of exporting gets higher.

Lack of cold storage facility

Although we know that flowers get rotten very quickly but still there is no storing facilities for flower. As a result farmers are deprived of reasonable price and compelled to sell at a lower rate.

Poor knowledge about standard packaging

Packaging gives an eye-catching beauty to any product. But in our country those who are involved in flower marketing owns a little knowledge about packaging. Consequently be the looser in the world competition.

Inadequate supply of better seeds

If we want to increase our share in the world market of flower then definitely we have to produce better quality flower. Although our lands are fertile but still because of lacking of better quality flower as a result we are falling back from the competition.

Lacking of hyper technology and medicine

As there is a lacking of hyper technology and medicine in storing flowers farmers and businessmen are not coming ahead to expand this business.

Want of space for flower market

In our country there is no specific place for the flower market. Although the whole selling activities of flower took place at shahabag but it is not formally allotted. So the buying and selling is being hampered.

Beside these:

1. Lack of farmers awareness of quality flower produce. 2. Lack of internal proper transport facility 3. Lack of round the year supply of market oriented cut flowers.4. Lack of technology for utilizing dry container and refrigerated container 5. Inadequate infrastructure facility6. Pest management deficiency7. Inefficient post harvest management 8. Absence of cool chain facility9. Poor packaging10. Long delay in shipment and incorrect method of preservation of flowers.11. Non-availability of land for commercial production of flowerers and lack of motivating of farmers.

We can overcome from the problem by following the guidelines:

Providing adequate credit facilities

Govt can provide special credit facilities to the flower farmer and the business of flowers at a small rare of interest for extending the business and cultivation of flowers.

Allocating space for constructing a market

Flower businessmen alleged that they have not space facility for flower market. If govt take an initiative to construct an authorized flower market at sahabagh then the problem could be solved in conducting flower business easily.

Building mini cold storage

We know very well that flower is a perishable item. Without storage facility flower cannot last long. Farmers as well as businessmen are not interested in this business. S o, govt should take initiative for building up mini-cold storages in some phase so that it could save flowers to get rotten.

Providing loan for procuring refrigerated van

In transporting flowers to the remote places refrigeration van is a must but it costs much for the traders to buy such van. Govt and private bank can provide loan facilities for procuring such vehicle which ultimately smoothen the marketing of flower.

Reducing Biman fare

The charge for over seas transportation of flowers thorough Biman is high / Govt can reduce the charge which ultimately reduce the cost of flowers and help get much market share in the international market.

Giving proper space in the Biman

It is sorrowful that although flower has a great potentiality to earn a lot of foreign enhance but Biman give a very little space for transporting flower. So govt should take care for in transporting flowers.

Improving packaging system

In exporting any products to the foreign market packaging is an essential activity. Because of poor packaging a nice product can be rejected by the foreign market. So packaging system must be developed to increase the export caring` through flower exporting.

We love flowers for their beauty and scent. They are symbols of beauty and purity. We use flowers as a token of love, respect and gratitude. We use flowers on happy ceremonies, occasions and festivals. We decorate our drawing room with flowers .The bride chamber is beautifully decorated with flowers. We receive our guests dignitaries with garlands and bouquets of flowers. We get honey from flowers. We get rose water and Otto from the rose.

No one could think of exporting Bangladeshi flowers even a few years ago. However, this is a reality today and a potential bonanza for tomorrow (www.epbd.com/expprod/flower.htm,2004). They varieties of cut flowers that Bangladesh can supply, with an edge over others, include rose, gladioli, anthorium, Carnation, hellieonia, gerbera, ginger lily, and a host of orchid and foliage. The fact that these are original agricultural products of Bangladesh enables the importers to enjoy preferential tariff treatment under the GSP. Because of duty free import facility, developed countries like the EU, the USA, and Japan find importing of flowers from Bangladesh highly attractive. (www.epbd. Com/expprod/flower.htm. 2004).

They also find investment in flowerer cultivation in Bangladesh extremely profitable due to conducive climate and cheap labor. The ethnic markets of the Middle East and South Asia also hold up high prospects for investment and export.

There is vast scope for export of Bangladeshi pot and cut flowers to the EEC countries and Middle Eastern States. EPB officials informed that many in Europe, Middle East, Hong Kong, Singapore and so forth have shown interest to buy cut foliages grown in Bangladesh (Ahmed, 1995:6)

The cut Foliages that include eucalyptus, asparagus, plumose, palm, asparagus desiflores and leather leaf fern can account for considerable amount of foreign exchange with virtually no investment.

Tuberoses, carnations and orchids are ideal flowers for Bangladesh to export to England. Carnation, which is a highly demanded product in Bangladesh, enjoys the usual seasonal peaks in demand at Mothers Day Easter, Christmas and Valentine. For carnations, Bangladesh will face competition with Netherlands, Columbia. Israel. Spain, Italy, Kenya and Chile. For orchids, its competitors will be Thailand, Holland, Australia, New Zeeland and Singapore. In Germany, there is a high demand of carnation and anthorium, Where Bangladesh can easily export with great variety.

A report prepared by IBA of D.U observed that Bangladesh enjoys some production and export advantages of flowers as a south Asian country. This report includes the glowing recommendation of a Japanese flower exporter, Masooji Saitor, who says, Flower Business in South Asia, including Bangladesh, will be able to achieve a growth equivalent to or better than Holland (Haque, Islam & Haque2000:250). Reasons given are; Climate conditions favoring Bangladesh, low production costs and popularity of exotic flowers in the world market.

Considering the prospect of flower export of Bangladesh, UNDP has already undertaken studies on soil condition, Climatic and other ecological factors in order to improve the techniques of flower cultivation. Other organizations such as Chittagong University, BARI, and Biotechnology Bangladesh have taken up research activities in order to improve flower quality.

Whether such a bright future awaits Bangladesh ort not depends on the determination and combined efforts of the private and public sector of Bangladesh with international organizations in order to resolve the problems blocking the progress of flower export.

Under the present open market policy, exporters themselves are to prove their worth in the competition and face the challenges confronted with. Considering the high degree of competition prevailing in the export markets, government through its institutional support should assist the exporters in gaining experiences in production and export in a sustainable condition.

Respondents Point of View

Post harvest handling facilities including cool chain system are to be developed by the government and private initiative.

Bangladesh Biman / Private Operations may create freighter service / cargo carrying facilities as per weekly demand of exporters quickly.

Production areas of exportable flowers may be spread in the potential areas of the country for minimizing production cost.

Flower is necessary in various occasions. Customers are very limited.

Flower is brilliant in producing goods and ensuring service.

Flower marketers should give more ads in Magazine, TV, or Radio for its greater announcement. It is well known to all for its beauty and scent.

Very hardly we buy flower from the shop. I think shop is not a good option to attract customer.

They should increase advertisement on TV, newspaper as well as billboard. Do some more advertising and sponsor some program for the general public.

If I would know that Flower has its home appliances product in Bangladesh then would definitely buy it. Because as I know globally it has a good reputation and its quality and service is good and reliable. If the price will be reduced its products will be more popular than others. People will obviously buy it.

Facilities like cold storage and pack home for sorting, grading cut flowers are to be developed by the government and private initiative.

Market intelligence monitoring system must be developed to collect information about round the year demand of different cut-flowers in each importing country, their prices, auctioning price, packaging and quality standards.

Depending upon the demand of importing countries, production to marketing chain has to be developed, prior agreements with the importers and the producers will be helpful.

Bangladesh flower exporting companies should improve their marketing and technical know-how and must abide by the international standards when trying to determine consumer preferences, making pricing decisions and setting their distribution strategies.

With the growing importance of cut flowers in the life of Bangladesh people, due to fusion of western culture and increasing standard of living, the study on marketing aspects of cut flower has become imminent. The study discovered that an efficient marketing system could be and effective agent of change and an important means for raising the income levels of the farmers and satisfaction levels of the consumers. The study also revealed that our wondrous blossoms are poised to enjoy much demand in home and western countries. Both in terms of aroma and beauty, some of our flowers are superior to what is available in the international market today. There is scope remains for the future researchers to conduct study on different related aspects of cut flower marketing like identifying the marketing efficiency of cut flower market, economic potential of dried flowers, and so forth.

Trade in perishable items has always needed more attention and care .However, the obstacles faced by the flower marketers is not insurmountable. Different government organizations and private research firms have already done extensive research in assessing our flower trade prospects. Optimism is in the air. Considering the vast, untapped potential, it is time that the Bangladesh flowers made its success on the international stage like other non-traditional items.

Appendices

[All information provided would be kept confidential. Thus, we seek your honest opinion]

Name:

Address:

Gross family monthly income: Below TK 10,000 TK 10,000-20,000

TK20,000-40,000

Above TK.40,000

1. Do you prefer flower in decoration?

Yes

No

2. If yes, what do you think about the preferences of flower?

Extremely Bad Very Bad Moderate Bad Good

Very Good Excellent

3. Mention the flowers name what do you prefer in decoration?

NameNameName

Rojonigondha Beli Mary Gold

Rose Gladiolus Other

4. Who influence you for buying flower?

Family members

Dealers Print ads

Friends/Neighbors

Experience

TV/Radio

Any other source(s)

5. Do you prefer flower in decorating drawing room?

Very less Less Moderate Much Very Much

6. Do you prefer flower in decorating office?


7. Do you prefer flower in decorating Bride chamber?


8. Do you consider price at the time of buying flower?

Yes

No

9. Do you consider Fragrance at the time of buying flower?

Yes

No

10. Is quality as a considering factor at the time of buying flower?

Yes

No

11. Do you prefer buy it from Dhaka Shahbag?

Yes

No

12. If yes then the reason is?

Very Bad

Bad

Moderate

Good

Good

13 Have you ever used Flower?

Yes

No

14. If no in your point of view the reason is-

Not aware of the flower Not available in the market Very limited in showroom Comparatively expensive Perishable Others

15. Prospect of flower marketing in Bangladesh is-

Very Bad

Bad

Moderate

Good

Very Good

BibliographyReference

1. Export promotion Bureau (EPB) (2005), Cut Flowers from Bangladesh Available at: www.epbd.com/exprod/flower.htm,Access on 18th march 2005.

2. ILO (2005) World Cut Flower Industry: Trends and Prospects Availableat:www.ilo.org/public/English/dialouge/papers/ctflower/htm.Access on: March 18, 2004.

3. Ahmed, Faruk (1995), Trading in Beauty, Weekend Independent. January 23, Dhaka.

4. Sirajul Islam, Rafiqul Islam, & Faizul Haque (2000), Flower Marketing in Bangladesh: Problems and prospects Dhaka Viswavidyalay patrika, February, Vol: 60, Dhaka University Dhaka.

5. Shams, Abu (1999), Flower Business is blooming, The Independent, July, Dhaka.

6. Shahab, Sabrina (1997), Flower Can Mean Big Bucks, Star Weekend Magazine, August 29, Dhaka.

7. Pal, H. Bhisham (1995), The Blooming Flower Trade of India. Weekend Independent, June 23, Dhaka.

8. Hossain, Nur-uz Zaman, (1999), Pholer Hat, The Daily Ittefaq, July 9, Dhaka.

9. Hossain & Rahman (1994), The Potential of flower Marketing in Dhaka City.Bureau of Business Research, Dhaka University, May 30, Dhaka.

10. Global Trade and Information Services. Inc. (2004) Available at: www.globtdinfo.au, Access on March 23, 2004.11. Australian Bureau of Statistics. (2002), Tasmanian Cut-Flower Industry Available at: www.abs.gov.au Access on: March 24, 2004.

12. Cultural report, (2002), The Burgeoning Flower Trade, The Bangladesh Observer, February, 4, Dhaka.


2.5 Current problems in flower export marketing

Portfolio of flower marketing



Business Areas

Automation & Control

Home Appliances

Transportation

Power

Medical Solutions

Lighting

Information & Communication

3.3 SWOT Analysis of flower marketing


3.4 Secondary Data Retrieval & Analysis

Questionnaire development and pre testing

3.6 Sampling Technique

3.7 Data Analysis

Frequency Distribution

The Mean(x) Median Mode of the different items of survey

Hypotheses Testing Result Drawing

3.8 Chi Square (Cross Tabulation)

3.9 ANOVA Analysis

3.10 Correlation & Regression

Questionnaire

2.1 Findings and Discussions

3.12 Problem of flower marketing in Bangladesh


3.13 Overcome from the problem


3.14 Prospect of flower marketing in Bangladesh


3.15 Recommendation

Some general comments and suggestions by the respondents regarding flowers.

3.16 Concluding Remarks

2.2 Aspect of flower Marketing

2.3. Market Information

Flower Growers

Wholesalers

Retailers

Local traders

Consumers

Consumer

Exporter

Wholesale Importer

Retailer

Auction

Selling

2.3.1 The world Market

2.3.2 Domestic Market

2.5 Import

EMBED MSGraph.Chart.8 \s

1. Introduction:

1.0 Literature Review:

1.1 Objective of the study

1.2 Hypothesis

1.3 Methodology

1.4 Time Frame of the Study

1.5 Report on flower Marketing

3.11 Analysis of the Survey

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Flower Marketing

Documents

trade of flowers

local flowers

cultivation of flowers

displayed flowers

quantum of flowers

truckloads of flowers

types of flowers

bangladeshi flowers