Global Marketing Final Project Report consists of market analysis, gaps, opportunities, feasibility, actual plans, and marketing communication, distribution and promotion strategies for exporting a meet brand form Pakistan to Dubai.

2014

l1s09mbam0147 UCP

6/2/2014

INTRODUCTION 5

COMPANY 5

SLOGAN 5

VISION 5

MISSION 5

ORGANIZATION STRUCTURE 5

HEAD OF FINANCE DEPARTMENT (CHIEF FINANCIAL OFFICER) 6

JOB DESCRIPTIONS 6

HEAD OF MARKETING DEPARTMENT (MARKETING DIRECTOR) 6

JOB DESCRIPTION 6

SUPPLY CHAIN DEPARTMENT 7

PROCUREMENT 7

JOB DESCRIPTION 7

PROCESSING 7

JOB DESCRIPTION 7

SHIPPING 8

JOB DESCRIPTION 8

POLITICAL ENVIRONMENT 9

ECONOMIC ENVIRONMENT 10

WHY CHOOSE DUBAI AS AN INVESTMENT LOCATION? 10

DUBAI’S KEY ADVANTAGES 11

SOCIAL FACTORS 13

RELIGION 13

FOOD 14

HEALTH CONSCIOUSNESS 14

EMIRATIS ARE KNOWN FOR THEIR HOSPITALITY 14

POPULATION 14

EMPHASIS ON SAFETY 14

HIGHER EDUCATION 14

THE RELATIVE STATUS OF WOMEN AND MEN 14

LEGAL ENVIRONMENT 16

UAE FEDERAL CONSTITUTION 16

STRUCTURING AND LICENSING FOR INTERNATIONAL BUSINESSES WISHING TO DO BUSINESS IN DUBAI 16

TAX 17

ENFORCEMENT OF LAW 17

LEGAL REPRESENTATION 17

ENVIRONMENT 18

STRENGTHS 19

LOW COST OF MEAT IN LOCAL MARKET 19

LOWER TAX RATES 19

LOWER TRADE RESTRICTIONS 19

LOWER COST OF SHIPPING 19

AVAILABILITY OF FRESH QUALITY MEAT IN LOCAL MARKET 20

LOWER CURRENCY RATE 20

OPPORTUNITIES 20

HIGH PRICES OF GOAT MEAT 20

HEATH CONSCIOUS 20

RISING DEMAND 20

TOURISM 20

THREATS 21

PAK & UAE GOVT RELATIONS 21

TRADE RULES & POLICIES CAN BE CHANGED ANY TIME 21

DISTRIBUTOR’S MARGIN 21

WEAKNESSES 21

PAKISTANI LABEL 21

LOW CONTROL OVER THE TRADERS IN DUBAI MARKET 21

IMPACT OF TRADE LAWS 22

IMPACT OF CULTURE 22

CORPORATE STRATEGY 23

MARKETING DEPARTMENT 23

FINANCE DEPARTMENT 23

SUPPLY CHAIN DEPARTMENT 23

POSITIONING STATEMENT 24

TARGET MARKET 24

UNIQUE SELLING PROPOSITION 24

PRODUCT 24

PRODUCT STRATEGIES 24

PRICING 25

DISTRIBUTION 26

PROMOTION 26

INTEGRATED MARKETING COMMUNICATION 26

KIOSIK (STALLS IN SUPER STORES AND IN MEAT MARKETS) 27

COOKING TV CHANNEL SPONSORSHIPS 27

COOKING COMPETITION 28

MERCHANDISING 28

NEWSPAPERS, MAGAZINES & RADIO 29

WEBSITE & FACEBOOK PAGE 29

JEEPS AND ANIMAL RACING 29

Introduction The project is to conduct and prepare the feasibility of exporting branded goat meat products to Dubai

market. For this purpose we have developed a company, conduct PESTLE analysis, SWOT analysis, and

devise marketing strategies to enter in the Dubai market. Project was assigned by our respected

professor Sir Asad Hassan but, who guided and helped us and appreciated us in deve loping the project.

Company We‘ll start the organization initially as partnership business among 6 partners, who will equally

contribute finance and personal efforts. We all are equally educated with passion to do this business

and mutually agreed to it. Profit and loss will be equal ly shared. Further duties and responsibilities are

divided according to skills and expertise.

Our company name will be “Ajeel Foods”. This means speedy or fast moving .The name will also cover

the diversification of our brand in future with in the Middle East.

Slogan

“Quality is Ajeel”

Our Vision and mission focus on quality so that we have developed this slogan which reflects the quality

and commitment to our valued customers.

Vision Become a leading producer of best quality meat.

Mission To strive for providing the best quality meat with hygienic, full of nutrients and unique taste, to our

valued customers and create value for our stakeholders.

Organization Structure We’ll have three levels of management like all most of the organizations operating at multinational

level. Top level management then middle level and then lower level management, all of them will have

different level of duties and responsibilities. Top level management will be responsible for developing

and directing long term plans, define marketing strategy and then forward to the middle level

management and so on.

There will be three departments of our company, marketing, finance and supply chain de partment. We

all are as partners are Nasir Iqbal, Aiman Daud, Farzeen Majeed, Marrium Saeed, Fatima Urooj and

Faiza. Nasir Iqbal will be Head of Finance Department and will be responsible for capital budgeting,

capital structure, and networking capital management. Aiman Duad will be Marketing Director and

responsible for achieving the marketing objectives either long term or short term. Marrium saeed,

Fatima Urooj and Faiza will direct and operate the supply chain management. And farzeen majeed will

see the admin department.

Head of Finance Department (Chief Financial Officer) We have hired Nasir Iqbal as head of Finance to manage the financial decisions of the company.

However followings are the JDs of CFO of the Company.

Job Descriptions 1. Define financial goals for year and direct the finance department to achieve goals

2. Conduct financial feasibility for the company expansion plans.

3. Capital Budgeting analysis for long term investment

4. Maintain networking capital to finance day to day operations

5. Manage running finances to meet the current obligations.

6. Balance the capital structure to obtain optimum output of the finance

7. Coordinate with Marketing and supply chain department to finance the marketing and

production operations

8. Align the financial strategies with marketing and supply chain to achieve common objective of

the company.

Head of Marketing Department (Marketing Director) Marketing department is the most important department for nay organization and plays a vital role in

the success of any organization. Aiman Duad is working as Marketing Director of the company. And job

descriptions for the Marketing Director are as following.

Job Description 1. Defining the long term marketing goals for Ajeel foods aligning with vision and mission.

2. Develop promotional plans for the brands activation and growth

3. Coordinate and direct the middle level management to follow the promotional plans

4. Ensuring the sales targets on yearly basis

5. Forecasting sales on yearly basis and then divide on quarterly basis

6. Defining the KPIs for marketing staff at functional level

7. Develop the marketing plan

8. Launching new brands effectively

9. Design BTL activities for brand activation

Supply Chain Department We have divided the supply chain department into three further categories, which are procureme nt,

processing and shipping. Each of the department will be handled by different people. We ll discuss

further each department separately.

Procurement Procurement department is also very important to our organization as we have promised to deliver the

quality to our valued customers. So to provide quality we must focus on the supply chain department as

whole starting from the procurement department. Fatima Urooj is working as Manager Procurement.

Job Description 1. Identify the areas where the goats are naturally grown up

2. Build the relations with the farmers who have plenty of live stock of goats

3. Encourage and direct the farmers to invest in live stock of goats

4. Negotiating the prices of the goats

5. Make sure the goats supply according to the market requirements

6. Maintain the supply in the emergency situations

7. Maintain the reserve level to avoid the uncertain situations

8. Identifying the types of goats and make sure that each type of the goats are available for further

processing when needed or required

Processing Processing department is responsible for slaughtering of the goat according to the shiriea (sunna) and

then further processing and packaging of the products in different types and colors according o the

requirements and required weights. Marrium saeed is working as Production Manager to process goat

meat. Following are the job description of the Production Manager.

Job Description 1. Designing and developing processing plans

2. Ensure that every process is being operated under the pre defined procedures

3. Scheduling the production plans

4. Ensure the products are packaging according to the plans

5. Coordinating with the marketing department to update the new styles of packaging

6. Achieve the production targets align with the marketing department strategy

7. Minimize the production losses

8. Minimize the production cost

9. Remove any flaws in production process which are creating trouble

10. Develop new packaging as required by marketing department

Shipping This department will ensure the shipments of the stock from Pakistan to Dubai. This responsibility is

given to the Faiza. She will be responsible for all the operations like developing relationships to the

transportation services, negotiating with them on lower costs and other things like that. She will ensure

that stock is reached to its destination safely and without delays.

Job Description 1. Developing relations to the transportation companies on permanent basis as well as on

temporary basis to meet the needs

2. Ensuring the products are reaching in Dubai market without any problems

3. Negotiating with the transportation firms on prices to keep costs down

4. Identifying and designing the cost structure to operate and coordinate with marketing

department

5. Ensuring the safety of the stock during the loading and unloading before and afte r ports

6. Finding new ways to improve cost structure

7. Capacity planning

PESTLE ANALYSIS

Political Environment Dubai is one of the seven Emirates that comprised of United Arab Emirates. Dubai Claims Vice

presidency in UAE while Abu Dhabi Claims for Presidency. We’ll be looking this system in the context of

our business of meet in the Dubai. We’ll see how the political system of UAE can affect our business of

meet in Dubai in positive or negative. We’ll be discussing that GOVT interferes the businesses or not.

I f we look at a glance of the political structure, it shows that all of the seven Emirates have agreed on

drawing up new constitutions and specifying the powers allocated to new federal institutions for

effective governance of UAE. Certain powers still remained to the individual Emirates and most of the

powers are delegated to the new federal institutions.

The structure of local and federal Governments has going on under a unique amalgamation of

traditional and modern political system to ensure the national stability and laid the foundation for

development. With the rapid socio economic developments, major steps have been taken at both local

and federal level to make it more responsive to the needs of population and to ensure that is better

equipped to take the challenges of development.

The UAE has one of the most open trade policies and no duties or minimal import restrictions. UAE also

is a member of WTO, which is giving this market access to new markets and lowers the trade barriers.

There are free zones like Jabel Ali free Zone which offers a set of product and services like business

centers, ready to use offices, warehouses and factories. There is well defined legal framework for

business and a clear set of ownership rules. Foreigners are permitted ownership rights of up 49% for

limited liability companies established within the Emirate of Dubai and up to 100% for professional

companies, branches and representative offices of foreign companies and free zone enterprises. The

GOVT has a long, consistent commitment to pro-business and liberal economic policies including the

protection of intellectual property rights.

However each Emirates has some of the influences over its own territory, UAE overall is most ly open for

business sector. Dubai has become the major business hub for the investors. Businesses have not to pay

direct taxes, and any trade restrictions or quotas. All these things are clearly indicate that Dubai is the

most appropriate place for starting business. Hence, Dubai GOVT has business friendly policies and

welcomes for new entrants in the market.

Economic Environment Dubai has become best choice for business investment because of number of reasons; it has

become a major business center with dynamic and diversified economy. It is located on

strategic location and serves as biggest re exporting center in the Middle East. Its GDP is

about 82 billion USD.

Its low logistical and operational costs and excellent infrastructure, international outlook and

liberal government policies are attracting investors in a big way. Activities such as trade,

transport, tourism, industry and finance have shown steady growth and helped the economy

to achieve a high degree of expansion and diversification.

The Dubai economy enjoys a competitive combination of cost, market and environmental

advantages that create an ideal and attractive investment climate for local foreigners.

Dubai, with its ancient commercial and seafaring traditions, has long been recognized as the

Middle East region’s leading trading hub and has emerged as its key re-export center. In

more recent years, the Emirate has become a major venue for a number of growing,

profitable industries and activities, like meetings, conferences, exhibitions, tourism,

corporate regional headquarters, regional transport, distribution and logistics center

banking, finance and insurance, business and industrial consulting, information and

communication technology and light and medium manufacturing.

Why Choose Dubai As An Investment Location?

The Dubai economy enjoys a competitive combination of cost, market and environmental

advantages that create an ideal and attractive investment climate for local and expatriate

businesses alike. In fact, these advantages not only rank Dubai as the Arabian Gulf’s leading

multi-purpose business center and regional hub city, but they place it at the forefront of the

globe’s, dynamic and emerging market economies.

Dubai, with its ancient commercial and seafaring traditions, has long been recognized as the

Middle East region’s leading trading hub and has emerged as its key re-export center. In

more recent years, the Emirate has become a major venue for a number of growing,

profitable industries and activities:

• Meetings, conferences, exhibitions

• Tourism

• Corporate regional headquarters

• Regional transport, distribution and logistics center

• Banking, finance and insurance

• Business and industrial consulting

• Information and Communications Technology

• Light and medium manufacturing

This all became possible due to Dubai’s warm, welcoming people, world class facilities and

infrastructure and farsighted, open and liberal economic policies. Finally, committed to a

progressive vision of itself, keen to diversify its economy and diminish its reliance upon

shrinking oil revenues, Dubai has begun to develop into the Arabian Gulf’s premier

international business center. Consider the factors that contribute to this ongoing success

story.

Dubai’s Key Advantages I. Strategic Location: Dubai is a time zone bridge between the Far East and Europe on the

East-West axis and the CIS and Africa on the north-south axis. It is a gateway to a market

that can be characterized as:

• Large - well established trading links exist with the greater than 1.5 billion people in the

neighboring region covering the Gulf, Middle East/Eastern Mediterranean, CIS, Central Asia,

Africa and the Asian sub-continent;

• Growing - Dubai’s total international trade has grown on average by over 11% per year

since 1988 and regional economic growth and liberalization should boost demand further;

• Prosperous - a buoyant local economy strategically located in the midst of one of the

world’s richest regions and well endowed with ample supplies of cheap energy and primary

aluminum; also adjacent to major regional suppliers of vital agro-export commodities;

• Diversified - varied and significant import requirements generate opportunities for product

suppliers and re-exporters;

• Accessible - served by over 120 shipping lines and linked via 85 airlines to over 130 global

destinations;

• Open - no exchange controls, quotas or trade barriers.

II. Political And Economic Stability: Dubai is part of the UAE which is a low-crime and

politically-stable country. Also, the UAE enjoys financial and monetary stability. Its well-

developed, sophisticated banking system features extensive credit facilities and ample

liquidity. The Emirate’s emerging capital markets are built on a basis of leading-edge

technologies and sound regulatory systems. The government has a long, consistent

commitment to pro-business, liberal economic policies including the protection of intellectual

property rights. The UAE benefits from stable and harmonious industrial relations. Finally,

there is a well defined, sound legal framework for business and a clear set of ownership

rules. Foreigners are permitted ownership rights of up to 49% for limited liability companies

established within the Emirate of Dubai and up to 100% for professional companies,

branches and representative offices of foreign companies and free zones enterprises. All of

these factors reflect positively in Dubai’s being assigned an investment grade rating for

fixed income investment by Moody’s Investors Service.

III. Open And Free Economic System: Dubai’s economy has been kept open and free to

attract investors and business. Government control and regulation of private sector

activities has been kept to a minimum. There are no direct taxes on corporate profits or

personal income (except for oil companies that pay a flat rate of 55% and branches of

foreign banks that pay a flat rate of 20% on net profit generated within Dubai). Customs

duties are low at 4% with many exemptions, 100% repatriation of capital and profits is

permitted, there are no foreign exchange controls, trade quotas or barriers and a stable

exchange rate exists between the US Dollar and the UAE Dirham (US$1.00=AED 3.678).

Liberal visa policies permit easy importation of expatriate labor of various skill levels from

almost all over the world.

IV. World Class Infrastructure and Service Sector: Dubai’s deliberate policy of investing

heavily in transport, telecommunications, energy and industrial infrastructure has enabled it

to have one of the best infrastructure facilities in the world; it also contributed significantly

both to its ongoing prosperity and attractiveness to international business. The Emirate

features a network of seven industrial areas, one business park and three highly successful,

specialized free zones of international distinction, two world class seaports, a major

international airport and cargo village, a modern highway network, state-of-the-art

telecommunications and reliable power and utilities all of which deliver efficiency, flexibility,

reliability, reasonable cost and size. Complementing its world class infrastructure is a

sophisticated service sector that features leading regional and international freight

forwarders, shipping companies, insurers plus major international hotels, banks and

financial service firms, lawyers, accounting firms, consultants, advertising agencies, top

international exhibition and conference facilities, high quality office and residential

accommodation, first class hospitals, schools, shopping centers and recreational facilities.

Free Zones Websites: Dubai Airport Free Zone Jebel Ali Free Zone Dubai Media City Dubai

Internet City

V. Competitive Cost Structure: International companies setting up in Dubai can obtain

significant cost advantages not generally available internationally. The major factors are:

• No foreign exchange controls,

• No trade barriers or quotas,

• Competitive import duties (4% with many exemptions),

• Competitive labor costs – labor force is multi-lingual and skilled,

• Competitive energy costs,

• Competitive real estate costs,

• Competitive financing costs and high levels of liquidity,

• No corporate profit or personal income taxes (except for oil companies and branches of

foreign banks). You can refer to the tables under the "Cost of Doing Business" section.

VI. High Quality of Life, Excellent Living Conditions: Dubai’s private sector has invested

heavily in real estate such as hotels, residential and commercial properties, recreational and

leisure facilities. In addition, a number of factors have contributed to the Emirate’s high

quality of life and superior living conditions making it a model location for many to emulate.

Those factors include excellent infrastructural facilities, low crime, clean environment,

tolerance and cultural diversity, cosmopolitan life style, modern public administration,

availability of a wide range of consumer goods and services, mild winters and clean, palm

fringed beaches.

VII. Strong Local Commercial Tradition and Wide Choice of Potential Business Partners: The

local business class has a long tradition of trading activity and wide exposure to

international business practices and state-of-the-art technologies. Local entrepreneurs have

already gained successful experience with international partnerships in franchising,

licensing, joint ventures, etc, in various sectors of the economy.

VIII. Extensive Foreign Trade Network & Major Achievements in Export and Re-Export

Performance: Dubai boasts an extensive foreign trade network extending to 179 states thus

offering the investor an extensive choice of potential global marketing outlets for a diverse

portfolio of goods and services. As a member of the UAE federation, Dubai is also part of the

world’s third-largest export and re-export center after Hong Kong and Singapore.

IX. Rapidly Developing Manufacturing Sector Producing a Wide Range of High Quality,

Competitive Export Products: Major gains have already been made in the profitable

manufacture and export of aluminum ingots, fabricated metal products, textiles and ready-

made garments, gold and jewelry, prepared foodstuffs, consumer electronics, refined

petroleum, chemical and non-metallic mineral products. Supportive commercial, industrial,

political and economic factors are currently in place that makes possible the extension of

these gains to other manufacturing sub-sectors.

Viewing the economic environment that is very open and business friendly it is very

charming for our business location. The above mentioned activities and life styles would be

attracting source for investment in the proposed business.

SOCIAL FACTORS

Religion Islam dominates all aspects of life. Most Emiratis are members of the Sunni sect. Matters

relating to marriage, divorce, inheritance, economics, politics, and personal conduct are

affected by Sharia (Islamic) law.

Emaritis are tolerant toward other religions, and immigrants of other faiths are allowed to

have their own places of worship. Large numbers of Asian and Arab immigrants also follow

Islam. The main Muslim religious ritual is prayer five times a day. This

requires wodou (ablution) for purification. Usually people go to the nearest mosque or pray

at home. The rituals involved in the pilgrimage ( Haj ) to Mecca are the most elaborate. One

must remove the shoes before entering a mosque. In large mosques, there are separate

areas for women.

FOOD In accordance with religious requirements, all Muslims must eat, drink and take medicines

that are halal, which is fuelling a large and growing demand for halal products. Considering

population growth rates and increasing incomes, it is estimated that in the future, halal food

may account for 20% of world trade in food products.

Consumers are seeking a wide-range of halal-certified products in varied food categories, as

well as differentiated and value-added halal products that are not already in the market.

Halal products are also growing in popularity among non-Muslim consumers due to concerns

about the humane treatment of animals and the perception that halal products are healthier

and safer.

Before the 1960s, food consisted mainly of fish, rice, bread, dates, yogurt, homegrown

vegetables, and meat from sheep, goats, and camels. The diet has improved in quality and

variety, with modern supermarkets offering imported foods.

Health consciousness Lunch is the main family meal and is eaten at home at around two o'clock. It usually

consists of fish, rice, meat, and a vegetable dish. Many Emiratis prefer the traditional style

of eating with the right hand. There are strict Muslim taboos against pork and alcohol, and

meat must be slaughtered according to the Islamic halal method.

Emiratis are known for their hospitality They feel honored when receiving guests and socializing with friends and relatives. Guests

are welcomed with coffee and fresh dates. Incense is passed around so that guests can

catch the fragrance in their headwear. With the immigrant population have come

restaurants offering a wide variety of ethnic foods, and fast -food restaurants have also

become popular.

Population Unfortunately with 75% of the population being expatriate you are not likely to have many

"local" interactions. But you will experience the culture through business meetings, local

Souqs and in the shopping malls. Population is about 2.106 million in 2013.

Emphasis on safety Conservative with regard to dress sense and behavior, Dubai is not the country to

misbehave and as a result, provides a safe environment for families and adults seeking a

better life.

Higher Education The government views higher education as a major instrument for development. The UAE

has one of the highest ratios of students entering higher education in the world. There are

seven universities and eleven higher colleges of technology.

The relative status of women and men

Official statements affirm that men and women have equal rights and opportunities to

advance themselves and the nation, yet patriarchy as a generalized ideology is still visible in

social life. Men continue to receive employment preferences in high state administration and

private businesses. Women do not play a significant role in politics and religious life, as

these areas are considered male domains.

Technological Environment

In UAE, as we discussed above that the latest infrastructure is on growth and vitally

available. In addition to that communication technologies are playing very important role in

the businesses.

Dubai has a network of seven industrial areas, one business park and three highly

successful, specialized free zones of international distinction, two world class seaports, a

major international airport and cargo village, a modern highway network, state-of-the-art

telecommunications and reliable power and utilities all of which deliver efficiency, flexibility,

reliability, reasonable cost and size (Government of Dubai Website, 2009)

Dubai is served by over 120 shipping lines and linked via 85 airlines to over 130 global

destinations (Government of Dubai Website, 2009)

GOVT of Dubai is increasing the investment in technology sector and encourages the

businesses to invest in the infrastructure of the cellular network. Moreover there are only

two companies providing internet services and the cost of the internet is about $45 per

moth at the speed of 1MB, which is high and with some content is banned in UAE.

Legal Environment In this uncertain world of globalization and emerging markets, Dubai’s economic and

cultural growth is underpinned by a legal and regulatory framework, which has developed

sufficiently to encourage significant local and international enterprise in Dubai and is

continuing to develop. A recurring theme when deciding where to do business is the

suitability of the legal and regulatory framework in the particular local jurisdiction. The

willingness of international businesses to set up and operate in Dubai, and the success of

local Dubai businesses, is clear testament to Dubai’s robust and dynamic legal and

regulatory framework.

UAE Federal Constitution The United Arab Emirates (the UAE) is a federation of seven emirates comprising Dubai,

Abu Dhabi, Ajman, Fujairah, Ras Al Khaimah, Sharjah and Umm Al Quwain and was formed

in 1971. The UAE federal constitution provides for an allocation of powers between t he

federal government and the government of each emirate. Dubai is subject to the federal law

of the UAE but retains the right to administer its own internal affairs and enjoys certain

other exclusive rights.

Structuring and licensing for international businesses wishing to do business

in Dubai Different types of business who want to set up their business in Dubai, these business

structures (other than setting up in a free zone) requires varying degrees of participation

from UAE Nationals – for example, 51 per cent of the share capital of a company

incorporated under the companies Law must be held by UAE nationals, and branch and

representative offices must appoint a UAE national to sponsor the office for its license

application and for various other matters. Further, each of these structures has limitations

on the scope of permitted activities. Most notably, a representative office may generally

only perform marketing and administrative functions on behalf of a foreign parent, and a

branch office may generally only engage in activities which involve the promotion of the

skills and expertise of the person conducting the business. Business licensing is particularly

important in the UAE and Dubai. Any person wishing to do business in Dubai (other than

through a licensed agent) requires a license and the license impacts on the scope of the

activities that the licensee may carry on. As with most other jurisdictions, certain sectors of

the UAE and Dubai economy are subject to more stringent licensing requirements than

others. As an example, international businesses wishing to carry on banking or most other

financial services in Dubai and outside the DIFC require a license from the UAE Central Bank

and the granting of such licenses is strictly regulated. In addition, a limited number of

activities, such as real estate brokerage, are restricted to UAE nationals.

Tax There is no federal corporate or income tax levied in the UAE (except on oil companies and

foreign banks). Dubai introduced a local income tax under the Dubai Income Tax Ordinance

of 1969; however, the tax has not been implemented and it is understood that there are no

plans to do so. In addition, free zone entities are subject to a number of tax concessions.

There is no value added tax or sales tax in Dubai or the UAE. There are no exchange

controls on the remittance of profits or repatriation of capital and there are virtually no

restrictions on foreign trade.

Enforcement of Law Laws are strictly enforced in Dubai. Holding, consuming, buying or selling any drug is a

serious crime in Dubai. The UAE also has a zero tolerance policy on driving under the

influence of alcohol. A person caught driving with even a small quantity of alcohol in their

bloodstream may be fined, or deported. Although Dubai is an open and tolerant society,

visitors to Dubai should also remain sensitive to Muslim standards of dress and behavior,

which are generally more conservative than those in the West. Visitors seeking further

information on such matters should review The Dubai Code of Conduct which was released

by the government of Dubai.

Legal representation Legal representation in Dubai is easy to come by. The full spectrum of regional and

international law firms operate in Dubai, with many of the larger international firms

choosing to operate from the DIFC.

Environment The climate of the U.A.E is subtropical-arid with hot summers and warm winters. The

hottest months are July and August, when average maximum temperatures reach above

45 °C (113.0 °F) on the coastal plain. In the Al Hajar Mountains, temperatures are

considerably lower, a result of increased elevation.[47] Average minimum temperatures in

January and February are between 10 and 14 °C (50.0 and 57.2 °F).[48] During the late

summer months, a humid southeastern wind known as Sharqi (i.e. "Easterner") makes the

coastal region especially unpleasant. The average annual rainfall in the coastal area is less

than 120 mm (4.7 in), but in some mountainous areas annual rainfall often reaches

350 mm (13.8 in). Rain in the coastal region falls in short, torrential bursts during the

summer months, sometimes resulting in floods in ordinarily dry wadi beds.[49] The region

is prone to occasional, violent dust storms, which can severely reduce visibility. The Jebel

Jais mountain cluster in Ras al-Khaimah has experienced snow only twice since records

began.

Resource: http://en.wikipedia.org/wiki/UAE

SWOT Analysis

Strengths Exporting goat meat in Dubai can be good business opportunity and turn to good profit. The

thing is to identify what are the possible opportunities and threats and what are the possible

weaknesses and strengths in this regard. We’ll start form the some strengths that we can

have if we are considering the business of such type in Dubai. We’ll start looking at these

strengths one by one.

Low Cost of meat in Local Market As we are considering export the goat meat in Dubai which is an attractive market by every

aspect, where demand of food and specially goat meat is rising, the prices are rising and the

prices in Pakistan as compare to Dubai are relatively lower, the gap in price is looking an

opportunity to start business in Dubai. The different types of goats are available in different

areas of Pakistan especially in Baluchistan and KPK, little variety in Punjab and Sind As

compare to other provinces, but if we look at prices, we find that prices are much lower and

can generate a substantive profit for exporters. Live stock especially Goats and sheep are

readily available almost every where in Pakistan with the edge of low prices. The farmers

with no land or having a little quantity of land keep these types of live stock animals at

home level and not on commercial basis they incurred very little cost so they also charge

low prices at the time of selling. IT is a big strength for our business.

Lower Tax Rates We have already discussed in PESTLE analysis that GOVT of Dubai and UAE has not imposed

any direct taxes in doing businesses over there and not any restrictions in taking the profit

to anywhere in the world as there are no control over the for-ex market in UAE. This is also

strength for doing this business in UAE or Dubai. The industry in which we’ll operate has no

taxes or any types of indirect taxes or charges making this business more attractive.

Lower Trade Restrictions There are very clear terms mentioned in the Legal environment and discussed in detail that

it is very easy to start a business other than oil and Banking business in Dubai as there are

very less barriers to entry and lower trade restrictions on Business especially on this

industry as the demand is more than supply.

Lower Cost of Shipping UAE is nearest to Pakistan almost at the time of one and half hours or maximum two hours

which leads to very nominal cost of shipping to UAE. There are many air lines with varying

charges in range, the airline can be chose on the basis of lower cost of luggage. The special

chillers are there to keep the meat fresh.

Availability of fresh quality meat in local market Pakistan is rich in live stock production and there is a big variety of different types of

animals for meat purposes. As UAE law is enforced the HALAL meat, we have a big stock of

the HALAL Goat meat in almost every where in Pakistan. They required a little animal with

full of nutrients and rich food ingredients in the meat. So we have the exact stock readily

available at very low rates and everywhere according to the standards of Dubai.

Lower Currency rate Decreasing rate of Pakistani currency has adverse effect on the economy but on the other

hand it encourages the exporters to earn handsome amounts of revenue. It is big strength

for us. As the currency devalue the revenue also increases which is very beneficial for the

exporters of the country and add positive value to surplus the trade or lower the trade

deficit also.

Opportunities Due to large number of opportunities in this industry in Dubai is creating interest of

international investors to invest in his business. Some of the possible opportunities I will

discuss here in later sections.

High prices of goat meat Due to rising demand of the quality goat meat in Dubai the prices are raising and the

expected trend of the prices is likely to increase and continue for the upcoming years.

International Businesses are opening their regional offices in Dubai due to latest

infrastructures and business friendly policies of GOVT of Dubai. Due to theses factors

contribute to the increasing prices of meat in Dubai.

Heath Conscious The per Capita income of Dubai is almost equal to rich countries of the world which is

increasing the standard of living coupled with the health consciousness, which is

contributing the demand of fresh and quality goat meat consumption in Dubai. Health

consciousness contributes to high quality and high prices as well.

Rising Demand WE have already discussed the factors which are contributing to the increasing trend of

demand of Goat meat in that Market. Some of the factors as we discussed earlier are

higher incomes, higher living standards, health consciousness and the tourism, whic h are

collectively and individually increasing the quality meat consumption.

Tourism It is the most important factor which is contributing a lot to the demand of goat meat in

Dubai. Lots of visitors from the different regions of the world often come to Dubai for

visiting the Middle East Golf market and the coastal area to enjoy in the winter mostly.

Threats There are lots of threats which every business face and threats vary according to the situations and

places. The possible threats to our business could be as follows.

PAK & UAE GOVT relations There are no such strong relationships among the GOVT of Pakistan and GOVT of UAE. The foreign policy

in Pakistan changes as new GOVT is elected by the people of Pakistan in election process, after coming

into power all the policies of the previous GOVTs are changed according to the personal interests. This

behavior of politicians of Pakistan is very bad for business growth and development.

Trade Rules & Policies can be changed any time GOVT of UAE can change the policy related to Pakistani people any time and that can be a disaster for

running businesses. Current policies are very business friendly and profitable for investors in livestock

and exporters to UAE. But what if, UAE change the policy, impose heavy taxes to the exporters of goat

meat and put trade restrictions. This is very big possible threat to us.

Distributor’s Margin As the prices of goat meat is rising in the Dubai, the importers or the main distributors also ask for heavy

margins which can lower the profit potential and can be big possible threats. It is very necessary to

investigate the reliable distributors which can be negotiated on soft terms and conditions.

Weaknesses Like strengths we also have some weakness that we need to overcome. Some of the following are

weaknesses for our business.

Pakistani Label Pakistani products are even not acceptable in Pakistan, then how these products can be accepted in

other countries. I am not talking about the products in which Pakistan has speciality like textile industry.

Pakistani label is clearly weakness for us.

Low control over the traders in Dubai Market We have a little control in negotiation in the trades of Dubai. We can’t immediately understand the

complexity of the Dubai market and the business environment. At initial stage we have to rely on the

distributors of Dubai to distribute our product. We have to negotiate at their terms and conditions. After

some time getting the valuable information and contacts we will be enter ourselves or distribute our

products.

Impact of trade Laws If we look the current trade laws in Dubai, we find that policies are business friendly and charming for

profit making. There are no direct taxes in Dubai, yes some of the taxes are passed in federal council but

they are not implemented and there are no such plans in future to do so. In this environment, we see

that in Pakistan also there are no taxes in exports to encourage the exports from the country to lower

the trade deficit. Of course there are some documents which we will need to process and then we can

easily export the goat meat to Dubai with no difficulty. In deep analysis, if we go then even we can’t find

any restrictions from any kind of authority that restrict the exporters to export the meat.

Impact of Culture Dubai culture today is very different from what it used to be a decade or two ago.

The narrow widening creek divides the city into two parts, the Southern part called Bur Dubai has a

traditional culture in Dubai and the Northern area, Deira has a busy and bustling culture. The Al

Shindagha tunnel which runs under the creek connects the two halves of the city.

The Dubai culture is a cosmopolitan one. With the influx of great number of foreign population which

includes, Persians, Indians, Baluchis etc, the culture in Dubai has become a global one. With Islam as its

official religion, Culture in Dubai is essentially a Muslim one but the presence of Hindus, Christians, Sikhs

etc cannot be ignored and their presence has left an undeniable mark on the Culture in Dubai.

Like religion, language Culture in Dubai is also diverse and although Arabic is declared to be the official

language of Dubai, other languages of the world co-exist with it. The schools are also not biased

regarding language and many of them teach foreign languages to the children.

Dubai culture is essentially very colorful and vibrant. The Dubai shopping festival and the Dubai

International Film Festival are an integral part of the culture in Dubai.

Yes, culture is very important factor that can influence the meat business. First of all we know that the

people of Dubai and the people from the world who come to Dubai for business or tourism purposes are

very health conscious, so they require quality meat and they use goat meat often in their l unch. Dubai

not only comprised on Muslims but there is big strength of diverse people from the different regions of

the world. Because the Dubai has become the regional head of the UAE virtually the business and the

workforce from the Asian countries are coming to Dubai. So we can’t ignore other people form Asian

countries.

With the diverse culture but mainly Islam, should be managed but mostly people whether they are from

any where they use meat as their meals at lunch and night time. The impact of culture is only in the

form that we need to provide highest quality meat and they often need nutrient rather than size of the

meat. They require small size of meat specially the leg pieces and the healthy parts of the goat meat.

The quality would be the only focus with full of nutrients in Dubai.

Corporate Strategy Pakistani meat is the most favorite in the UAE and of course in Dubai due to its unique taste and amount

of nutrients. We can focus on the quality and on extensive distribution of our brand. We’ll f ocus on

brand development with different strategies adopted by most successful companies. We can’t go

directly to the consumers at initial level. We’ll work firstly with distributors and then negotiate with

them on balanced terms and conditions. We’ll ask them to distribute our meat on our brand name and

then further we’ll be seeking forward integration to control further the distribution channels.

Marketing Department Aiman Daud is responsible for developing marketing plan and directs the marketing staff f or achieving

the short term objectives leading long term objectives. The Vision we have set that we want to become

the leader in producing the best quality meat. Our first target is the Middle East and starting point form

Dubai. We will target initially the almost all the customers who use goat meat. To do this we’ll access to

the main distributors of Dubai who have access to all of the markets in Dubai to distribute our brand to

the customers extensively. Marketing plan is, to aware the public about the quality. We’ll engage the

trade into marketing plan to achieve the initially set target of awareness. The retailers will be directing

and suggesting the consumers to try the Ajeel foods brands to have quality meat. We’ll also use the

Magazines which are mostly being read in the Dubai for foods and fashion. News paper ads will be an

edge. We will try to build the trade relations and then use these relations to serve the market with new

brands and product later on. The third plan would be accessing to the HORICA market which will serve

the international customers with the quality meat of Ajeel foods, but this is the later stage plan. After

covering the household consumers and organizational customers, we will enter into new markets of

Middle East.

Finance Department Nasir Iqbal is the head of Finance Department and will be responsible for costing and raising finance for

running the business operations successfully. Nasir is responsible for Capital budgeting for new plants,

or investment in long term projects on the basis of NPV, IRR, Payback period and other projecting

techniques, and maintaining the Networking capital management for running day to day operations by

keeping balance between current accounts. He is also responsible for capital structure and financial

analysis of the future projects align with the marketing strategy.

Supply Chain Department Supply chain activities would be manages by the three people, Marrium, Faiza and Fatima. Fatima Urooj

will be responsible for procurement of the goats, Marrium Saeed will be responsible for processing

operations in the processing plant and the Faiza will be responsible for transportation and shipment of

the final products to the Distributors in Dubai.

Positioning Statement “For the quality and health conscious people, Ajeel Foods is providing the organic, hygienic and best

quality meat ensuring the satisfaction of our valued customers”

Target Market Our target market includes all those people who are really seeking for the quality goat meat and require

organic and hygienic attributes.

Unique Selling Proposition The unique selling proposition of our brand is Quality

Product Our products start from Goat meat but after we will diversify our products to other like beef and may be

chicken.

Product Strategies Focus is only on goat meat at initial level; we will produce and process only Goat meat. According to the

market analysis we have devised following strategies for the product in Dubai market. 1stly we will

process our product in Pakistan and pack to avoid any higher labor, land and infrastructure cost in

Dubai, 2ndly if we process in Pakistan we can have the edge of lots of things like supply chain process

costs, power costs, transportation costs, and processing costs also. We have decided that we will

process the goat meat in different categories like the leg meat, the chest meat etc.

The above given table has the cut specification of a goat into different pieces. We’ll cut them accordingly

and process them and then finally pack them in a vacuum packing, freezing and then shipping to the

Dubai. Our packaging contains strong plastic polythene which is vacuumed and then meat would be

Specification

packed in it, then further there will be a paper box in which we pack that transparent vacuum box and

there will be a transparency in paper box also so that customers can view the meat easily. This packed

meat would be in following shape.

We ll ensure that processing of meat is according to the highest quality measures and there is no germ

and there is no smell in the meat after processing and the whole processing is under the natural

methods so that it do not lose its any of nutrients. And we ensure that our customers will have the great

taste of the natural organic goat meat which they have never experienced before.

Pricing We are creating our brand as the premium quality brand and claimed that there is no comparison in

quality with our brand. So we will set the prices premium in order to provide the highest quality meat.

The prices what we have observed in the market are if the goat is less than 8 months which have the

highest taste in its life but it should be more than 4 months, are about 8500 to 12500 which varies

according to the health of the goat. There are different types of breeds are available in Pakistan in

different areas, but the most tasty goat is “Desi goat” a local name in producing and with full of nutrient.

After purchasing the goats, next step is processing of the meat, which involves slaughtering and then

cutting into different types of pieces and then cleaning, finishing, and finally packaging. Costing a goat

will be different according to the size and weight.

A little information which is related to the price of unbranded meat prevailed in UAE is for proof.

“ABU DHABI -— Butcheries in the capital are facing a significant shortfall in the supply of

local (UAE) livestock, which has led to an increase in the price of goat meat by up to Dh7 a kg.

Other meats imported from the Subcontinent, too, are costing a dirham more.

Even while local goat meat is priced higher in normal times, during Ramadan its demand shoots

up, leading to a price rise. Most of the people prefer to have mutton dishes at Iftar and dinner during the holy month.

Butchers blame the wholesale suppliers for price rise, who in turn blame major importers and

exporters, who send meat to countries, such as Saudi Arabia, at higher prices.

Mansoor Ahmed Khan, butchery keeper at Madinat Zayed, said local goat meat is being sold between Dh45 and Dh48 per kilogram, against the previous prices of Dh38 and Dh42 for a kg”

The above lines are taken from a website, and this meat is not processed, or branded, but it is just a

open meat for further processing and need to be cleaned before cooking. We are providing the branded

goat meat which is at almost highest quality meat and will be priced round about Dh55 to Dh65 per KG

of different variations. This price will cover our all expenses form procurement to end consumers with

marketing. After analysis we came to know that 35% of the sales price is comprised on cost and then

further 10% to 12% are the cost of processing and more 10% are the shipment cost, moreover the

distribution and retailers margin has been set 12% of the price and 7% of the sales would be our

marketing expenses. Calculating all expenses are almost 75% of the sales and the company profits would

be 25% of the sales. The 25% of the sales are looking good profitability. If there would be some

problems or variations, we will change the plan accordingly by keeping all factors in mind.

Distribution We already have discussed about the distribution channels for the distribution of our brand in Dubai

Market. The strategy is extensive Distribution, so that anyone can have the product at very ease. We

decided to give the margin to the distributors and retailers up to 10% of the sales. This margin is looking

enough to exploit them to play effective role in distribution of our brand. We are contracting to the

strong Distributors of Dubai who have access to almost all markets o Dubai. We want our brand

everywhere in Dubai, so our customers can buy from anywhere in Dubai. The Extensive Distribution

Strategy can work very well here. Our marketing communications will also coordinate this distribution.

We are giving our distribution to only one sole firm who will ensure the extensive distribution. Retailers

are also be given incentives and good margins to suggest customers to purchase the brand.

Promotion The success of any brand is dependent on all things but mostly on the brand building process and

promotional activities. We are targeting the quality conscious people, so we have to plan our marketing

activities and promotions for brand accordingly. There are some planned campaigns which we will do

periodically to build our brand equity. First of all we have to aware the public about our brand. So for

the purpose of awareness we have designed the following activities to involve the consumers at initial

phase.

Integrated marketing communication We have to use different channels to convey the message to our target market. We will use different

campaigns periodically like kiosk stalls, Cooking channel sponsorships, cooking competition,

Merchandising, newspapers, Radio, Website, face book page, brushers, and Jeep Race Kiosk stalls. We’ll

discuss about these one by one.

KIOSIK (Stalls in super stores and in meat markets) For brand activation and creating awareness

we’ll design the stalls and install them for

some time in the super markets. The flow of

activities would be like this…

We’ll cook the goat meat into the local dishes

with full of taste and people will be welcome

to taste the brand of Ajeel and after tasting

we ll take their feedback. And take the

permission from them to inform them about

the promotions and new offers and new

arrivals of brands and products through sms

alerts and emails. This will create a word of

mouth and with the great taste of our organic food will start its function of awareness among people.

People will start talking about it and tell other people about the taste of it. The objectives of this

campaign are to create awareness among people about the brand and activate the brand in the market.

More the people are involved; more the awareness objective will be achieved. These types of activities

are BTL activities and basic purpose it to involve and make them go through the brand.

Cooking TV Channel Sponsorships We are not directly going for advertisement on

TV channels, but the step we are taking is that

we will sponsor the programs in the Cooking TV

channels where our brand Ajeel foods will be

announced and will be used for cooking. This

activity will create very good image among the

middle target line who watch Cooking channels

to learn cooking. A lot of people do watch

cooking channel for learning purposes and they

pick up the ideas and they do exactly the TV

shows to them. Majority women also watch

cooking TV channels for their learning and can be

targeted by specific programs. The strategy is

this, that we will sponsor the TV show where cooks cook the traditional dishes and use meat, but we will

add the thing that they will use our meat and also create word of mouth by announcing our brand name

associating it with quality and other attributes. The master chefs will use our brand in cooking the food

in TV program and also suggest to use our brand for best taste and quality with full of nutrients.

Cooking Competition We will use this BTL activity in the some

crowded places of Dubai for creating

awareness and word of mouth. The interested

people will come and participate in cooking

food of traditional dishes and renowned chefs

will be there to judge the cooked food by

candidates and the winners will be given a

chance to be a brand ambassador of our brand

for a month and also given a prize of cash. This

activity will contribute a very big word of

mouth for us. This BTL activity will be greatly

discussed among the people and will give great

results in brand activation. The purpose is

again to create awareness among the target

market of our brand. For this activity we’ll have to design different types of campaigns also differently.

The success of this activity will impact greatly on our brand. If we’ll be able to gather lots of candidates,

we’ll be successful because they will also have great links to other people as well who will talk about the

brand.

Merchandising This activity includes different types of items like Ajeel foods logo printed Cups, Shirts and mobile pho ne

cases will be given to the people who come to meat

shops to purchase the meat. They will be told about the brand and be given these items to keep with

them. For this purpose we will print our logo on different items like Key chains, T-shirts, Cups and caps

which will be given to the people. They will be asked to give a little time to the brand ambassadors and

fill a little form of their contact information and then they will be given these things. When they will use

these thing people will see and ask about the brand. And the purpose will be achieved at that time.

Newspapers, Magazines & Radio These channels are the basic and traditional ways of advertisement, and play very effective role in

achieving the marketing objectives. We will also use these channels to convey our message to target

market. WE are not going for TV commercials because of funds and at initial level we have to focus on

distribution. Of course TV commercial is very effective but due to funds, we are not taking that channel

of communication. We will use newspapers to promote our brand and use radio commercials which will

create our brand awareness. Radio would be effective for us because it is low cost and the people on the

roads in the cars, often listen radio programs to pass the time. People read the newspapers and

magazine read mostly by women which can be influenced by our ads.

Website & Facebook Page We will also develop our website and we will offer different types of discounts to those who will register

themselves with us and order the specified quantity to avail the discounts and become our valued

customers. We will provide the facility of detailed information about our products, their attributes and

offerings. Our customers can read and can have full access to all product rel ated data on our website.

We ll also develop the face book page where we update new offers and discounts and new arrivals

which can promote our brand effectively.

Jeeps and Animal Racing There are different types of races competition are held in Dubai like animal races like camel racing and

other racing like jeep racing, where the elite class people come and participate in racing. That would be

great chance to promote our brand. We’ll also arrange the kiosk stalls there and cook the food like B.B.Q

types dishes and other traditional foods and invite the participants of the event to taste the cooked

meat of Ajeel foods. This would be a great experience with the people over there, and create a robust

word of mouth. We will create such taste that they would enjoy having meals there and they will not

forget the taste of our brand.

Competitors Analysis

J M FOODS: premium prices.

J M FOODS LLC., privately owned company established in 1996 by the Managing Director Mr.

Rajan J.S. whose primary focus is to import and supply the premium brand and all your choice of

quality foods for hotels, restaurant and retail market in U.A.E, Oman and other GCC countries.

The office and warehouse J M FOODS is located in Dubai U.A.E. with an entirely temperature

controlled warehouse facility that consists of separate storage for ambient goods, chilled and

frozen products. JMF logistics team is well equipped to cater to the challenging individual

requirements from time to time. All dispatches are transported in temperature controlled vehicles

to all over the UAE and Oman. J.M.FOODS exports are handled by the in-house team.

J M FOODS operates three divisions covering the entire Seafood, Meat, Poultry and Grocery

products. Mr. Robert Mitchell, the General Manager whose expertise is in European and Far

Eastern Fish & Seafood products.

Al Arshad Meat

We are supplier of fresh meat like mutton, beef and chicken in Sharjah, Dubai and

internationally. We supply Indian, Somalia and Ethiopian meat for local and international

market. Our target customers are restaurant, hotels, mess and labor camps for continuous supply

on daily basis.

Al Mihatar Meat Shop Address: Sharjah, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Al Tawakul Meatshop

Address: Sharjah, Sharjah. See full address and map. Categories: Meat - Processors & Exporters

Emirates Syria Meat & Foodstuff Est

Address: Sharjah, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Abdul Reza Hassan Abdulla Meat House

Address: Al Jubail, SharjahLandmark: Near Fish Market, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Al Fath Al Mubaeen Meats & Poultry

Address: Sharjah, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Al Reem Meat Shop

Address: Ground Floor, Al Hamadi Tower, Al Estiqlal Street (Immigration Road), Al Nud, SharjahLandmark: Behind

Spark Residence Deluxe Hotel Apartments, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Sherouq Al Shams Meat Shop

Address: Sharjah, Sharjah. See full address and map.

Categories: Meat - Processors & Exporters

Conclusion Keeping tall the things in view, we conclude that it could be a good business to go for. We ll start the

business to have good profit and will be successful. Because of our focus on quality and the needs of the

target market are mostly matched so it can be easily assessed that we will be successful. However we

have faced difficulties to find out the competitors information, despite all that we have a good potential

in profit to start it out.