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Internship Report Spring 2010
A working Report On Marketing Strategy of Defoin Printing Bangladesh
By
Shadab Iqbal Siddiqui Id. 0510159
An Internship Report Presented In Partial Fulfillment Of the Requirements for the Degree Bachelor of Business Administration
Independent University, Bangladesh April 2010.
Working Report on Marketing Strategy of Defoin Group Bangladesh
By
Shadab Iqbal Siddiqui Id. 0510159
Has been approved by
Mohammed Sohel Islam Lecturer
School Of Business Independent University, Bangladesh
April 2010.
April 25. 2010.
Mohammed Sohel Islam
Lecturer
School Of Business
Independent University, Bangladesh (IUB)
Subject: Letter of Transmittal.
Dear Sir,
I would like to take this opportunity to thank you for the guidance and support you have
provided me with during the course of this report. Without your help this report would
not have possible to complete. With deep gratitude, I also acknowledge the help provided
by Mr. Mehfuz Ali Khan, Manager Marketing, Defoin Printing, for providing me with
utmost supervision during my internship report in the company.
I would really appreciate if you would enlighten me with your thoughts and views
regarding the report. In addition, if you wish to enquire about an aspect of me report, I
would gladly answer your queries.
Thank you again for your support and patience. Yours sincerely
Shadab Iqbal Siddiqui Id. 0510159.
Acknowledgements
In the completion of this internship report I would like to thank a few people for their
support and guidance.
First I would like to express my gratitude to Mr. Mehfuz Ali Khan, Manager Marketing,
Defoin Printing, for his special care and huge encouragement during the path of my
internship. I would like to thank Mohammed Sohel Islam, my supervisor for preparing
throughout the planning and writing of the report. He made sure all my questions were
answered, kept me on track and gave me the support I needed.
I would also like to thank Mr. Helal Uddin Mia and Mr. Sahid ullah of Defoin Printing
for their immense help, support and most importantly for believing in my capabilities and
me.
Table of contents
Sl. No Descriptions Page
1. Introduction 1
2. Company Background 1
3 Marketing Activities of Defoin Printing 4
4 Marketing Departments 6
5 Competitive Scenario 7
6 My Position as internship at Defoin Group 8
7 Daily routine and my contribution 9
8 My Learnings 11
9 Problems Identifications 13
10 Recommendation 16
11 Conclusion 17
12 Appendix 18
13 Reference 23
Executive Summary
As part of my internship program of Bachelor of Business Administration course
requirement, I choose Defoin Printing, Bangladesh for doing my marketing internship for
a period of three months starting from 1st February 2010 till 25th April 2010. I was
assigned in marketing department of Defoin Printing. I was placed at the head office of
Defoin Group at Mirpur. I worked under the supervision of Mr. Mehfuz Ali Khan,
Manager Marketing of Defoin Printing, at the entire time I prepared a working report on
Marketing strategy of Defoin Printing. My University supervisor was Mohammed Sohel
Islam, Lecturer, Independent University, Bangladesh. He approved and guided me to
prepare this report.
My report will give an overview on Defoin Printing's marketing strategy. It will also
highlight the task I have performed as Defoin Printing, my contribution and learning
during my path of internship.
I used both primary and secondary data to complete my report. Information on the
company and printing regulations was retrieved from the country and company profile.
However the primary data was collected through discussions in the organization and also
through my experience during the course of my internship.
1. Introduction Defoin Printing is the largest printing company all over the country. It has a very good
reputation in the garments printing and the department I was assigned to is marketing
department of the company. My report is "on the marketing strategy" of Defoin Printing.
Defoin Printing took the opportunity to be more competitive in the market by introducing
four color process printing which was introduce by the Defoin Printing as pioneer in the
printing sector. Defoin group has more unite like embroidery, garments, Shari factory etc.
As their businesses field got broadens, the company has got a change in to group of
company's named Defoin Groups.
2. Company Background Defoin Printing is the recognized leader in Bangladesh garments printing sectors,
providing its buyers with high quality at reasonable price. Defoin Printing was
established in 1983 as M/S. Defoin at Adabor, operating on one floor with to production
line. It was a small factory with around 30 workers and 2000sq floor. Gradually as time
passed the company's business got better and within a short period of time it shifted to
Mirpur in 1990, with the 6000sq floor and 300 workers, with 2 production floors. At
present the company has 8 production floors with 21 lines and 1000 workers with
production capacity of 150,000 pieces various types of prints per day.
The company's main purpose is to provide best quality, price and delivery within the
given time and in doing so the company enhanced in greater extent that international
buyers like gap, Wal-Mart, Walt Disney, Sears become their major clients and how the
company has 7 production floors with more than 500 workers.
Recently they have taken broader steps forward by starting different branches along side
their main factory, which includes in-house printing and embroidery facilities to handle
multi technique graphics. The company has a wide base of chemical supplier from
international and local markets. Present scenario is the company is capturing 59.83% of
the total screen print market. The companies now have four printing factories two outside
Dhaka, which is in Kabirpur and one in Mirpur.
Skilled workers working in totally social and technically compliant environment with
multi buyer certification. Strong technical team work to handle quality. Employing the
most professional and experienced personnel’s has been their competitive advantage.
The management at Defoin Group works together as family towards the same goal and
faces challenge with great courage. Thus it makes Defoin Group a great place to work in
and has earned M/S Defoin to Defoin Group.
Product Profile. Defoin Printing is based on 100percentage export oriented screen print. The company's
main products are all prints on T-shirts, Polo shirt, Jeans, etc. Those are characterized by
print names such as
1. Plastic soul print
2. Rubber print Appendix-02
3. Flock print Appendix-06
4. Crack print Appendix-03
5. Four colour process Appendix-04
6. Normal color print
7. Paper Transfer
8. Glitter print
9. Metallic print
10. Glow print (Radium)
11. Discharge print Appendix-01
12. Reflective print
13. Foil print
14. Puff print
15. Photo print Appendix-05
16. Pigment print
Company Diagram.
Chairman Managing Director Executive Director
Manager Marketing Factory General Manager
Marketing Executive
Sample In charge
Manager Finance
Manager HRD
Production Manager
Delivery
man sample
supervisors All In charge
All workers
3. Marketing Activities of Defoin Printing. The main product of my company is garments printing and the printing sectors are mainly
maintained by the marketing department. The marketing styles of Defoin printing are as
follows.
Direct buyers
Through the buying houses
Through the garments
Without direct buyers, in all cases the marketing people have to deal with the respective
merchandiser and according to buyers demand we go for rubber, pigment, Discharge,
flock, puff, glitter and so many uncommon printing. At the same time Defoin Printing is
using its website name www.defoin.com and they take part in various garments oriented
exhibitions like Bangladesh Knit Manufacturing Export Association, as well Bangladesh
Garments printing Association trade fair. These two Exhibitions are the biggest hold in
printing sector. With the help of these exhibitions it enables the company attract direct
buyers without connecting via buying houses and garments. The buyers basically
recommend to the garments to develop prints on Defoin which as a result the Company
gets to hold the direct buyers.
Moreover in Bangladesh there are lots of buyer house, those who Intent to develop their
prints in Defoin due to there better quality. Not only this also buyers recommend Defoin
for superior quality and used production live. Accordingly to Defoin Printing SWOT
analysis their
Strength - GAP, Wal mart, Walt Disney nominated factory
automatic printing machine, importing
chemicals from Korea, England, company
goodwill
Weakness - Niche Company's price, does not have their own
garment knit factory
Opportunity- Starting new units with knit garments facilities
Threats - Political issue, labour unrest, close down of knit
garments industries, high price of chemical.
Defoin believes in good, better, best. When the company started then it was good, after
25 years Defoin climbed a step up which is better and now Defoin strives to be the best.
The company rate themselves as the no.1 company in Bangladesh but to learn more and
acquire more skills through technology, innovation, more better quality are their main
motive to hold their position to be the best in the market and cement their position.
4. Marketing Departments For marketing purpose Defoin Printing is having the following sectors.
Marketing Manager
Marketing Executive
Sample In charge
Buyer or Merchandise
r
Camera Section
Sample or Artwork
Design Section
Sample Section
5. Competitive Scenario. Competition is a very fast growing challenge is today's world. Many company's have
emerged, which more then 1000. Factories are operating in niche and some who has knit
garments have started composite unit where they have printing facilities as well not only
that as new companies growing the battle of price is taking as well. As new companies
tend to offer their best price which is lesser compared to Defoin. Many buyers tend to
adjust their order to the competition Defoin Printing has kept its goodwill in the market
as by providing the best quality at the same time started more units, one in Kabirpur and
one in Mirpur. By doing so the advantage that Defoin Printing has created their
production belt gets much more bigger and at the same time they can minimize cost by
doing greater production.
Printing like flock, glitter, high-density, discharge are the technologies which new
companies can not afford to do. Which Defoin does and Defoin maintains the standard.
Therefore that's one more benefit and a reason to choose Defoin. Apart from that the
company import chemical from Korea. Which is one of their biggest strength compare to
their competitors and last but not the least the company is gap and Wal-Mart nominated
as a result 12 months the work on these giant buyer.
Major Competitors
Hams Luna Viyalatex HTMS
1. Hams : Another big printing factory in Dhaka. They have 10 production
lines and 75,000 pieces capacity per day.
2. Luna : They Have 11 production lines and 65,000 pieces Capacity per
day.
3. Viyalatex : They have own Knit garments and 5 automatic printing
machines.
4. HTMS : They have 5 production lines and 20,000 pieces capacity per day.
6. My position as an intern at Defoin Group
Defoin Group gave me the opportunity to work in Defoin printing. I was under marketing
manager’s supervision. My responsibility was to work with the marketing team. To
consult on daily marketing activities and to report marketing manager, in regard take help
whenever I required. Due to confidential reasons, I was not allowed to work on other
departments of Defoin Group. In addition, as a non-routine I was engaged in number of
activities mentioned on my daily routine and my contribution.
7. Daily Routine and my contribution. Working under Marketing Manager My work was to check new queries about any new development as per the instruction of
my marketing manager. Accordingly, I used to consult regarding the print with the
sample in charge to know which chemicals required and what the effects will be. After
the development was completed I along with the marketing executive team used to go to
garments even in buying houses for approval.
Dealing with Merchandisers
During meeting with the merchandisers I had to make them understand the prints as per
developed. Before going, the buying houses with new sample developments I had to
report to the marketing manager and give him a short viva regarding the print. In relation
rectifying my mistakes and correcting it. After that If, there were any changes on the
sample then to figure out what its solution.
Working with Marketing Executive Team
The times when there was not any new developments to work on, I was sent with the
marketing executive team with some company profile and exclusive samples for the new
buyers and visit some reputed buying houses, garments and try to attract them about our
company for the new orders. I also had to mail new clients for new orders and existing
ones with their current orders report along with the quality of production as well, helped
by the production manager.
Giving better Marketing Ideas
Marketing manager gave me the responsibility to give them more innovative ways of
marketing. On that basic, I gave better marketing ideas to the marketing manager.
Sometimes buyers used to visit our factory to check our product.
The company showed them practical sample where critical prints were involved. Often
buyers used to have vague idea as what the print was and questions used to arise. So
provide the service and improve marketing technique, I advised them to carry a power
point presentation where unknown prints work will be marked with arrows with different
print names. I also dealt with sample section to look over the position of the sample
developing as per the buyer’s requirements. Where most of the times mainly I had to be
involved as part of my the marketing team
I also suggested expanding on those places and areas where there are lots of knit
garments factory and hardly any screen-printing factory. As to attack on those, market
will always be a good marketing strategy where printing factories are less and more knit
garments factories are. This will enable to get many orders from the knit factories.
Other Activities
Sometimes I used to go to production floors to have a look on how production takes place
in bulk quantities and how the production carried after the approval. At the same time
does the quality is maintained properly. Apart from my intern activities, I also arranged
dinner parties for buyers and attended with the man agent.
Contribution
But most important I have earned a new order from my own hard work as after preparing
the sample for a rubber print, for a new buying house as per instructed from the
marketing department I sealed the order of 40,000 pieces. This was a great achievement I
believe in the beginning of my professional career, which I tend to choose for my future.
8. My learning
I had very little knowledge about screen-printing and its marketing techniques. However,
over the last 3 months I have become familiar with the business and its whereabouts.
Doing my internship in the same department of my field of education was a great
exposure for me. I gained knowledge on garments sector and how the entire unit works,
especially screen-printing. To talk with foreign clients and to present information has not
been regular part of my education and I have not done previously. But being involved in
corporate world over the last three months has made me more positive about my
communication and presentation skills.
Being part of the marketing department of Defoin printing, dealing with buyers and
receiving new orders has vastly enlightened the creative part of me. Given the chance of
participating in Bangladesh Knit Manufacturing Export Association was a great learning
for me in terms of marketing the product, providing information and being more
professional towards commitment. I had to be very conscious as to what I tell foreign
clients and the manner I speak with the buyers. By doing so I had better understanding
about people and also the ability to tactfully manage them.
The experiences I overcome in the three months internship are all new and informative to
me and there were many things to learn from. They have made me more outspoken and
social, creative and strong enough to deal with different people from diverse background.
Over the last four years of my BBA program I have acquired immense knowledge on
diverse subjects like Management, Marketing, Media and Communication, etc. As
whenever I used to go to production floors I used to motivate workers by helping them on
their task. Even by shaking hands and asking "how are you?" Here I followed
management theory of motivating workers.
My minor was on media and communication, which has given me the knowledge as how
to disseminate message among the working team. That I applied whenever I used to work
on new queries with marketing team and sample people. In addition to have the best body
language when communication with someone.
I was able to relate many theories of marketing like to capture new market (gorilla
attack), creating brand loyalty to its buyers, satisfaction etc. This was way easier for me
to understand and relate these terms with that of the books.
9. Problems Identifications
During my internship time I have got the following problems inside the garments printing
which is not only for Defoin Printing but also for the all garment printers.
Working via garments.
Commissioning problem.
Threats from Niche company.
Electricity problem.
Mode of payment.
Uniform website.
Working via garments.
Printing companies usually work with the garments. For this reason, the company gets
fewer prices based on the buyer's actual price from the garments, for instance if the
buying house gives us 5 dollar per dozen the garments gives us 4 or 4.25 or even lesser.
The garments quality controllers give unnecessary pressure. The production gets slower
and sits idle if the short cutting of fabric takes time to receive from garments. In some
situations the garments does their shipment and then wants to give payment as per their
company policy.
Commission problem.
If we do not get the order from the direct buyer then the word commission comes and for
this reason, we have to pay some extra money to the merchandiser who is involved with
the order. This part is very negative for the honesty of business and if commission or
other entertainment is not provided to the merchandiser’s then the possibility of getting
the order become lesser.
Threats from Niche Companies
To start a screen-printing factory the initial investment is very less as it is around 10 to 11
lakhs taka. Compare to any other garments related industry investment, like starting a
knit garments factory or Owen garments factory. Sometimes key personnel’s from
marketing, design, sample who acquire full experience regarding printing starts their own
factories. As a result, they try to get order at any cost and thus the overall printing price
becomes less than the expected one. This hampers big companies like Defoin printing to
cope up with their price requirements.
Electricity problem.
Electricity is one of the most important factor in our daily life and when it comes to
industrial sectors its mandatory. Without electricity or gas support almost all process get
hamper as for instance after printing on cutting part of fabric when it goes to final process
which on curing machine the goods gets back lot. That's not only the problem during
production time the work of dyers, heat seal machine, lights are not operating in this case
the production gets stop.
When the company runs production floors with the help of generator the cost increases.
Electric cost per day is 6000taka on the other hand when the company operates on
generator from 4 to 5 hours then the cost is 9000taka. Therefore, electricity cost without
generator per month is 155,000Taka plus generator and fuel makes it 350,000Taka per
month.
Mode of payment.
Besides the direct buyer most of the cases we get the payment 15 days differ from the
L/C. The buyer gives L/C to via garments or buying house. After the final goods are
delivered then the garments or buying house gives us the acceptance later the company
purchases the acceptance. This often gives trouble to the company as workers, staff, and
utilities get delayed.
Uninformed website.
Bangladesh garments printing association does not have any website or any kinds of
international pages. That is why we are not getting any knock from the European buyers
and also they are not visiting our personal website in a good number.
10. Recommendation.
Commission problem- is an issue that the company has to face when dealing with
respective buying houses or the merchandisers. If the company gets the order from the
direct buyer such as Gap or Wal-Mart then the payment of commissioning issues will not
the major cause, the reason is if the company does not pay commission to the third parties
then they opt for different options. Importantly the mode of payment won’t be trouble as
the company will get direct L/C.
Therefore to collect orders from buyers or buyer’s recommendation is going to be the
ultimate way of marketing, and to set the printing price without commission problem.
The company needs to send its marketing team to China where every year an exhibition
takes place where companies from all over the world participate.
Uninformed website-Garments print Association needs to emphasis on to have every
printing companies web site from where the buyers the can direct come into contact with
the factories. In addition, if it is done Defoin printing will be highly benefited, as they are
the largest in the industry.
Working Via Garments- The company must start knit garments as that will a core
competence as the company has printing and embroidery facilities compared to their
competitors. As a result working via garments and getting lesser price then the actual
price will be reduced. Hence not only that, transport cost will also be minimized from
going to various garment factories, which is time consuming. Moreover, if a garment
starts on the same place, the waste production time will enhanced. In doing so Threats
from niche companies will be solved as well.
Electricity- is the biggest problem in our country, to combat the adverse situation the
company can have their own solar panels or power plant if necessary. The company can
start their own shop where they can have there own designed printed T-Shirts with
various new and demand artwork from consumers.
Others
At last but not the least the government should give extra care towards the garments
printing. As the company’s 50% income is gained from garments sectors and Bangladesh
is on 2nd position in Asian garments market. So political unrest like strike, political havoc
need to be under control as buyers wants their goods to be shipped on time and at the
same time it’s a great loss for the factories as well if they cannot. Also infrastructure has
to be enhanced for better communication.
11. Conclusion.
Entire period of my internship time I got vast knowledge about garments printing and
printing related most of issues. I have understood the basic work and prospect of
garments printing factory as well as came to know the problems and its solution during
my internship period. The management was extremely helpful, believed and encouraged
e in whatever task I was assigned to. This behavior of their heavily boosted my moral; I
feel more confident and ready to make an impact to the corporate world. This will help
me a lot for my future career in this particular field and its marketing policy.
Appendix-01
11. Discharge print
Appendix-02
Rubber Print.
Appendix-03
Crack Print.
Appendix-04
Four Colour Process.
Appendix-05
Photo Print.
Appendix-06
Flock Print.
References:
www.defoin.com
Internal Sources
• Interview with marketing manager
• Interview with buyers
• Face to face communication
• Yellow pages