Report on BESLISCITY dot com By Abdul Ghani

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Acknowledgement I would first of all like to thank Allah for the strength, patience and perseverance without which I could never have completed this report. Then I’d like to take this opportunity to thank my teacher Mr.Zafer Mannan for providing me an opportunity to look in to this window of Beliscity.com. In fact, this report couldn’t have been without the assistance of online service of Beliscity.com, who provided me all type of assistance for completing this report. Also, a deep and sound understanding developed during the course of Strategic management enlightened me to write it. Such courses are mandatory and should be the core course for every MBA program in Business Schools. Regards, Abdul Ghani

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Table of Contents Introduction ..................................................................................................................... 4

4 Ways To Shop .............................................................................................................. 5

Vision .............................................................................................................................. 6

Mission Statement ........................................................................................................... 7

Our Philosophy ................................................................................................................ 8

Order Flow ...................................................................................................................... 9

The E.F.E. Matrix .......................................................................................................... 10

The I.F.E. Matrix ........................................................................................................... 10

The I.E. Matrix .............................................................................................................. 11

S.W.O.T. Analysis ......................................................................................................... 12

S.W.O.T. Matrix ............................................................................................................ 12

Strategies After S.W.O.T. Analysis ............................................................................... 13

The B.C.G. Matrix ......................................................................................................... 14

Competitive Profile Matrix ............................................................................................ 15

Space Matrix ................................................................................................................. 16

Calculation of Space Matrix .......................................................................................... 17

The Grand Matrix .......................................................................................................... 18

The Grand Matrix (Strategies) ....................................................................................... 19

The Q.S.P.M. Matrix ..................................................................................................... 20

The Strategic Implementation ........................................................................................ 21

The Strategy Evaluation................................................................................................. 22

Recommendations ......................................................................................................... 23

Conclusion .................................................................................................................... 24

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Introduction It’s online shopping web site, Founded in 2001 by Abid Beli, Beliscity.com is the leading online shopping mall in Pakistan offering a huge range of products from the world's leading manufacturers to thousands of retail and corporate customers across the globe. Our customers are privileged with a quick, easy and reliable way of buying the products they want, at the most competitive prices with direct delivery to their door FREE of cost in Pakistan.

Currently Beliscity.com retail website now has an assortment of over 40,000 products including:

Mobile Phones Music Laptops Electronics Computers Networking USB Devices Toys & Games Tools and Hardware Grocery Store Beauty & Fragrance Gifts to Pakistan Books & Magazines Designer's Shop and a whole lot more.

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Online

Send us an email or browse our website.

Our online store has over 40,000 items at your fingertips. Just browse your favorite product, add them to the shopping cart, complete the order and we will do the rest! Order 24/7.

By Phone

Sometimes a live purchase is convenient. Our highly trained representatives in our call centers are available to take orders and answer questions. It’s an easy way to shop, and we guarantee the safety of your personal information when you order from us. In Karachi, Pakistan In Lahore, Pakistan

10 AM to 7 PM (Mon-Sat) +92 (21) 35306993-95 (3 lines) +92 (21) 35303059

10 AM to 7 PM (Mon-Sat) +92 (21) 37032589

By SMS

Send an SMS to the numbers below and our sale representative will get in touch you. Standard SMS charges apply. In Karachi, Pakistan In Lahore, Pakistan 00.92.321.9204942 00.92.321.4020380

In Store

In Karachi, Pakistan In Lahore, Pakistan M18, Mezzanine Floor, Yusuf Grand Square, Block 8, Clifton, Karachi, Pakistan Phone 10 AM to 7 PM (Mon-Sat) +92 (21) 35306993-95 (3 lines) +92 (21) 35303059

30-D / 14 LG, AL-Raheem Business Centre, PIA Main Boulevard, Lahore Pakistan

Phone 10 AM to 7 PM (Mon-Sat) +92 (42) 37032589

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Vision

People can find and discover anything they want to buy online.

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MISSION STATEMENT

To provide “The Fun Shopping” experience. Total patron responsiveness is our key value that place clientele at the core of our success.

Preserving their trust and venerating their self-reliance is achieved with prompt indulgence, accentuating on quality and value, beyond

supposition.

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Our Philosophy

Happy, Happy, Happy and satisfied customers.

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Order Flow

(Here is what happens after you place an order with us)

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External Factor Evaluation Matrix

Opportunities Weight Rating Weighted Score

Generation Of Advertising Revenue. 0.15 4 0.6 Co / Cross Branding With Market Leaders. 0.15 4 0.6 Expansion Of It Sector. 0.1 3 0.3 Emerging E-Shopping Exposure In Pakistan. 0.1 3 0.3

Threats

Rising Competitors. 0.2 4 0.8 Losing Customer-Base Each Day. 0.1 2 0.2 Declining Sales. 0.05 1 0.05 Unable To Cop Up With Dynamic Web Changes. 0.15 2 0.3

TOTAL 1 3.15

Internal Factor Evaluation Matrix

Strengths Weight Rating Weighted Score

Pioneer In Web Stores. 0.15 4 0.6 Customer Responsiveness. 0.15 4 0.6 Strong Financial Backup. 0.2 3 0.6 Popularity In Pakistan. 0.1 3 0.5 Reliability & Integrity. 0.1 3 0.3 Weaknesses Inability To Convert Queries Into Sales. 0.1 1 0.1 Low Rate Of Online Buyers. 0.1 2 0.3 No Product Demo. 0.1 2 0.1 Lack Of Managerial Control. 0.1 2 0.2

TOTAL 1 3.3

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I.E. matrix

4

I II III High

3.15 Grow And Maintain

E.F.E.

3 IV V VI Medium

Build And Harvest

2 VII VIII Ix Low

1 Hold And Divest

4 3 1 IFE Score

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S.W.O.T. Analysis

Strengths Weakness Opportunity Threats

Pioneer in Web Store.

One Stop Shop.

Customer responsiveness.

Popularity in Pakistan.

Strong Financial Backup.

Reliability & integrity.

Inability to convert queries into sales.

Low rate of online buyers.

No product demo.

Lack of managerial control.

Generation of advertisement revenue. Co / cross branding With market leaders.

Expansion of ITsector.

Emerging E- shopping exposure in Pakistan.

Rinsing competitors.

Losing customer base each day.

Declining sales.

In able to cop up with dynamic web changes on daily basis.

S.W.O.T Matrix

Threats Opportunities Weaknesses Strengths T1) Rising Competitors. T2) Losing Customer-base each day. T3) Declining Sales. T4) Unable to cop up with dynamic web changes on daily basis.

O1) Generation of Advertising Revenue. O2) Co / Cross Branding with Market Leaders. O3) Expansion of IT sector. O4) Emerging E-Shopping exposure in Pakistan.

W1) Inability to convert queries into sales. W2) Low Rate of Online Buyers. W3) No Product Demo. W4) Lack of Managerial Control.

S1) Pioneer in Web Stores. S2) Strong Financial Backup. S3) Customer Responsiveness. S4) Popularity in Pakistan.

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Strategies After S.W.O.T. Analysis

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B.C.G Matrix

Star - ii Backward, Forward or Horizontal Integration Market Penetration Market development Product Development

Question Mark - i Market Penetration Market Development Product Development Divestiture

Cash Cows - iii Product Development Diversification Retrenchment Divestiture

Dogs - iv Retrenchment Divestiture Liquidation

High +20 High 1.0

Medium 0

Low -20

Low 0.0 Medium 0.50

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Competitive Profile Matrix

Weight Beliscity.com Symbios.pk Ranking Total Ranking Total

Market Share 0.10 3 0.3 2 0.2

Quick Online Response 0.10 2 0.2 3 0.3

Number of Franchises 0.04 3 0.12 1.5 0.06

Generation of Advertising Revenue 0.04 0 0 0 0

Delivery Time (in hour) 0.07 3 0.21 1.5 0.105

Range of products 0.09 3 0.27 3 0.27

Government Influence 0.02 1 0.02 1 0.02

Ways of Order 0.05 3 0.15 2 0.1

Ordering Cost 0.10 4 0.4 4 0.4

Relationships with courier services 0.07 3 0.21 4 0.28

Relationships with Banks 0.07 4 0.28 4 0.28 Web Site’s Appearance /User Friendliness 0.15 3.5 0.525 2.5 0.375

Descriptions About Products 0.10 4 0.4 4 0.4

Sum Total Attractiveness 1 3.085 2.79

Range of Rating = 1 - 4

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-6 -5 -4 -3 -2 -1 +1 +2 +3 +4 +5 +6

Space Matrix FS Conservative Strategies Aggressive Strategies CA IS Defensive Strategies Competitive Strategies ES

+6 +5 +4 +3 +2 + 1 -1 -2 -3 -4 -5 -6

Backward, Forward or Horizontal Integration Market Penetration Market development Product Development

Retrenchment Divestiture Liquidation

Market Penetration Market Development Product Development Related Diversification

Backward, Forward or Horizontal Integration Market Penetration Market development Product Development Diversification (Related & Unrelated)

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Calculation for the Space Matrix

Financial Strengths (3 + 3 = 6/2 = 3) Market Share 3 Number of Franchises 3 Environmental Stability (3.5 - 1 - 3 - 4 = - 11.5/4 = - 2.875) Web Site’s Appearance /User Friendliness 3.5 Government Influence 1 Ways of Order 3 Descriptions About Products 4 Industrial Strength (0 + 3 + 4 = 7/3 = 2.33) Generation of Advertising Revenue 0 Relationships with courier services 3 Relationships with Banks 4 Competitive Advantages (2 - 3 - 3 - 4 - 4 = - 16/5 = - 3.2) Quick Online Response 2 Delivery Time (in hour) 3 Range of products 3 Ordering Cost 4 Ordering Cost 4 _________________________________

FS – ES = 3 – 2.875 = 0.125

IS – CA = 2.33 – 3.2 = -0.87 _________________________________

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THE GRAND MATRIX

RAPID GROWTH RATE

SLOW GROWTH RATE

STRONG COMPETITIVE FORCES WEAK COMPETITIVE FORCES

We are at Quadrant 1

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Grand Matrix (Strategies) Beliscity.com posses a strong competitive position and high market Growth, because its annual growth in sales are more than 17% and could be located in Quadrant 1 and we suggest that backward and forward integration is appropriate in this stage. As Beliscity.com cement already signed MOUs with Telenor, Qubee, Wateen etc. 1. Market Penetration:

Currently Information Technology industry is at its peak. Especially after the advent of more advanced products, a number of online buyers have increased. Moreover, keeping in view the rising trend of IT and its exposure, I suggest Beliscity.com must go for market penetration. Market penetration occurs when a company enters/penetrates a market with current products. The best way to achieve this is by gaining competitors' customers (part of their market share). Other ways include attracting non-users of your product or convincing current clients to use more of your product/service (by advertising etc). 2. Market Development:

A market development strategy not only targets non-buying customers in currently targeted segments but it also targets new customers in new segments. During last 10 years, the boom for Web portals has drastically increased in Pakistan. In order to cater to the increasing demand of new products and to develop new markets, Beliscity.com should increase its market in other provinces, hence developing a market in a new geographical segment like N.W.F.P and Baluchistan. Secondly, in order to support its brand identity, Beliscity.com should also develop its market in Azad Kashmir region through Franchising.

3. Related Diversification:

They should start their own courier services in the major cities in order to post parsals to their clients and as well as delivering of packets into the major cities.

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Q.S.P.M Matrix

Particulars Weight Online Video & Physical Outlet

Franchising & C.O.D Facility

AS TAS AS TAS Opportunities Generation of Advertising Revenue 0.15 -- -- -- -- Co / Cross Branding 0.15 2 0.3 3 0.45 Expansion of IT sector 0.1 4 0.4 1 0.1

Emerging E-Shopping exposure 0.1 3 0.3 4 0.4

Threats Rising Competitors 0.2 1 0.2 3 0.6

Losing Customer base each day 0.1 -- -- -- --

Declining Sales 0.05 2 0.1 3 0.15

Unable to cop up with dynamic changes 0.15 1 0.15 3 0.45

Strengths Pioneer in Web Stores 0.15 -- -- -- -- Customer Responsiveness 0.15 -- -- -- -- Popularity in Pakistan 0.1 -- -- -- -- Strong Financial Backup 0.2 3 0.6 3 0.6 Reliability & Integrity 0.1 -- -- -- -- Weaknesses Low Rate of Online Buyers 0.1 2 0.2 1 0.1 No Product Demo 0.1 -- -- -- -- Lack of Managerial Control 0.1 -- -- -- -- Sum Total Attractiveness 2.25 2.85

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THE STRATEGIC IMPLEMENTATION

To start / sell franchises in Lahore & Peshawar till December 2011 and increase sales with awareness to establish Beliscity.com as the premium E-Mall brand among the target market.

To implement the Cash on Delivery facility for all parts of Pakistan through Leopard Courier Service till June 2011 and gain at least 75% market share in the e-mall businesses.

To bring Beliscity.com back on top of everyone’s mind by recurring promotional campaigns.

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THE STRATEGY EVALUATION Starting / Selling franchises in Lahore & Peshawar with provision of Cash on Delivery facility can increase our business and help maintain our competitive edge over our competitors and can provide value maximizing services to our esteemed clients. There are no major changes in our strengths and weaknesses however the opportunity of expansion in Web market is even further enhanced and the threat of emerging competitors will be reduced through our related diversification business model / strategy.

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RECOMMENDATIONS

Beliscity.com, despite of being the industry leader in web malls, still has not captured the mind share and brand image in the target market as its competitor Symbios.pk has. The reason being lack of publicity and advertisement. We should concentrate on the consumer market through better promotional mix programs.

Currently the prices of products available at Beliscity.com are not as competitive as they are supposed to be. By cutting down the cost, especially administrative expenses, the company can cut off the prices, adding up to well verse sales in return.

Beliscity.com needs to implement contingency planning. Currently its role is a STAR in the market but in future it is likely to be exposed to new entrants, weakening its current market position. In order to cope with the future constraints, contingency plans should be concentrated on.

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Conclusion

A huge Market Exist for the online shopping in Pakistan yet need to create customer’s aptitude towards online buying by gaining trust of customers in

Pakistan.