Sheharyar -ul- Hassan 081441Ayesha Imtiaz 083117Rameez Younas 083469

Existing Vision Statement

“To excel in providing engineering goods and services through continuous improvements”

Existing Mission Statement

To provide quality products and services to the complete satisfaction of our customers and maximize returns for all stakeholders through optimal use of resources.

To focus on personal development of our Human resources to meet future challenges.

To promote good governance, corporate values and a safe working environment with a strong sense of social responsibility

Proposed Vision Statement

To become the Largest And Diversified company in the field of

Engineering And Technology

Proposed Mission Statement

To provide high quality innovative products that constantly meet customer Expectations

through competent workforce which ultimately benefits the firm, its employees and stakeholders. By emphasizing on the factor of reliability firm can achieve customer loyalty.

Internal Factor Evaluation

• Strengths• Weaknesses

Strengths

• Strong Brand Image.• Strong Dealer Network with 22-cities.• Market leader in WRAC (Wide range in air

conditioner).• Monopoly in Power market• Strategic Alliance with LG.• Contract with Government of Punjab • After sale service• Product Innovation

Weaknesses

• Financial Problems.• Low Satisfaction Level of Employees.• Lack of Advertisement.• System Variations.• Lack of Product Range.• Inappropriate Working of HR Department.• Less Utilization of Resources.

External Factor Evaluation

• Opportunities• Threats

Opportunities

• Exploration of Market in Pakistan.• Rising population.• Increase in Product Range.• Export Opportunity.• Increase in Production Capacity.• Increasing Investment in Power Sector.

Threats• Strong Competition.• Chinese Products.• Customer demand is changing• Decrease in Pakistani Rupee Value.• Decreasing Growth Rate in Pakistan.• Instability of Government.• Tax Department.• Black Economy in Pakistan.• Bigger incentives from competitors to dealers

Porter’s Five Forces Model

Rivalry among competition firms

• In this industry rivalry among competing firms increases due to;

• Price cutting is common• Product is perishable• Consumer can switch brand easily• Increase in number of competitors • High Rivalry Amongst Industry Rivals

(Unfavorable)

Potential entry of new competitor

Low Threat of new entrants(Favorable)Barriers for entry for a new firm in this specific industry are like

• Economy of scale• Experience required• Large capital required• Distribution channel strategies• Access to raw material

Potential development substitute products

Low Threat of Substitutes(Favorable)

Bargaining power of supplier

The bargaining power of suppliers affects the PEL due to following reasons

• Improvement for Quality• Just in time inventory• Reduced inventory cost• Low Bargaining Power of Suppliers

(Favorable)

Bargaining power of consumer

The bargaining power of consumers increase is when

• The buy in bulk quantity • Excellence customer services• Negotiation on selling prices• High Bargaining Power of Buyers

(Unfavorable)

RATIOS

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