Showing posts with label Pakistan. Show all posts
Showing posts with label Pakistan. Show all posts

Has Islam Defined The History Of Pakistan History Essay

 


There have been many defying moments in Pakistan’s History and this essay will look to see how Islam has played a role throughout Pakistan’s sixty-three years of existence and whether it has had an effect on Pakistan’s history.


Islam is widely regarded as the fastest growing religion, second only to Christianity in its number of members (Sardar, 2002). It maintained that Pakistan was created as a Muslim state and therefore religion has had a distinct role in its history as well as its political evolution. It is widely claimed that Pakistan became the first Islamic ideological state of the modern times. Unlike non-ideological states, it was not established due to any geographical conflict or territorial domination by a group of people.


So this sinister idea, that Pakistan, like Israel and Iran, is one of three confessional states in the world; that, like Israel, its very origin was to fulfil a religious ideal, to create an Islamic state and Islamic society for the Muslims of India. The regime of General Zia UL-Haq has declared similarly that Pakistan was created to establish an Islamic state for the Muslims of India. With a lack in a popular mandate, the military regime has sought its claim to legitimacy, if not its purpose, in divine decree. (Alavi 1988)


Religion plays a central role in bringing a nation together. Once Pakistan was created, Islam was charged with the task of containing it. The mix of Islam and ethnicity on which Pakistan was premised did not by itself constitute a national identity. Hamza Alavi provides great sight into the relationship between Muslims in India and the creation of Pakistan. He argues that it was not Islam; rather Muslims in India that acted as a catalyst and the means for the creation of Pakistan in 1947.


Consequently, the claim that Pakistan was created to fulfil the ‘millenarian religious aspirations of Indian Muslims’ is further flawed by the fact that the main bearers of the Islamic religion in India were aloof from the Pakistan movement. The Muslim League even during its heydays was never an organization. Rather the sole reason for its phenomenal success was mass popular support. The Pakistan movement though led by secular, liberal educated middle classes primarily drew its mass support on the basis of an Islamic communitarian tradition.


Hamza Alavi, writing in ‘Islamic Reassertion in Pakistan’ argues that, ‘It is only in retrospect, when history is being rewritten, that Jinnah is pictured as a religious bigot. The fact remains that Islam was not at the centre of Muslim nationalism in India, but was brought into the political debate in Pakistan after the nation was created.’ (Alavi 1988)


The Pakistan movement, in that sense and to that extent, became a national movement, on the basis of the 'Two Nation Theory' that Jinnah propounded, affirming that Muslims of India were a separate nation from Hindus. Insofar as their politics entailed the establishment of their own state, their objective was the creation of a 'Muslim state', as a nation state; they did not seek an 'Islamic state', as a theocratic conception. (Alavi 1988)


Islam may not be the major factorial issue that has affected Pakistan’s history as other areas that have affected Pakistan would be its political arena and its military’s function; these two topics intertwine with each other.


Pakistan was created amidst a great Hindu Muslim conflict, because of which the Pakistani nation had a very strong sense of coherence among its social structures. In August 1947 to provide a better homeland to Muslims Pakistan gained independence from British Colonial rule. But the intellectual and physical efforts towards political and national solidarity lacked the cultural and religious commonness. They were solely dependent upon the Muslim nationalism that had developed before the creation of Pakistan.


What Pakistan has witnessed is growing disparity between class structures, internal contradictions and a power struggle between the political elites and the military. Civilian and Military governments have both been responsible for such actions but looking at statistics it shows that military regimes have performed better than civilian governments. The military is an essential part of the Pakistan political set up. It would be hard to imagine the state of Pakistan without a strong army who interferes in policy matters and has a strong say in the functioning of the government.(Monshipouri & Samuel 1995: 973) It is important to analyze and ask why the military has such a stronghold.


Well at independence there was a lack of a political setup and so Pakistan followed the British style of governance – a strong bureaucracy. (Gardezi & Rashid 1983: 5) This strong bureaucracy led the way for feudal aristocrats and a group of rich professionals and merchants to carve policies. The policies that were initiated were in favour of the political elite. This weak and hardly entrenched way of governance paved the way for the armed forces in the political structure of the nation. The case of the army was further helped by a growing threat from India over the issue of Kashmir.


For instance, the issue of Kashmir is only one example of how Pakistan started at an unequal footing in terms of land, capital and military strength. Another major setback was the fact that all the major industry was located in India, and the new nation of Pakistan was namely an agricultural economy dominated by feudal (landowners) that did not help the situation. Almost all political democratic institutions were left in India and the war of 1948 immediately plunged the nation into conflict showing the necessity of the military for national defence. The death of Mohammad Ali Jinnah, premature demise of Liaqat Ali Khan, and the barely adequate leadership thereafter brought about the first military coup in 1958 by Ayub Khan only nine years after independence.


Ayub Khan declared martial law in 1958 and carried out policies of industrialization. His policy of industrialization did really well as Gross National Product increased by over 60% from 1959 to 1968.(MacEwan 1970: 8) Even with massive population growth, the average per capita income of people grew by almost 30%. The previous civilian governments only managed to increase the gross national product at the rate of 5.1% annually, with population growing at 2.8% it meant that average income only grew by 2.3%. (Burki 1983: 302) Ayub Khan’s ‘decade of development’ ended in 1968. He gave Pakistan ‘relative political stability and a coherent public policy’ (Wilcox 1969: 90)


In 1970 Zulfiqar Bhutto and his Pakistan People’s Party won a free election and made the government the ruling party. This was the first civilian government since 1958. He wanted to close the income gap between class structures and change the economic structure of Pakistan which had increasingly become elitist. He was not successful in implementing many of his policies and the country as a whole did worse than it did in the period of Ayub Khan. (Monshipouri & Samuel 1995: 978) He tried to balance all sections of society, which resulted in poor economic performance. Public sector invest grew from 5% in 1971 to 74% in 1977, leading to a decrease in private investment. (Monshipouri & Samuel 1995: 978) Large scale manufacturing declined during his time, it grew at a rate of less than 2% compared to rates of 10% during the ‘decade of development’ in Ayub Khan’s time.


This was followed by another military coup by Zia UL Haq who took control in 1977. New innovations were introduced in banking and taxation under the name of Islamization. (Gardezi & Rashid 1983: 14) This regime re-emphasized some policies of the Ayub Era. This showed in figures; the Gross Domestic Product grew at 6.3% during 1978-1983. (Monshipouri & Samuel 1995: 979) The growth of the manufacturing industry was at 9% compared to the 3.8% during 1972-1978. The growth in the later half was even better. GDP grew at an annual rate of 6.6% from 1983 to 1988 and large scale manufacturing grew at an average rate of 16.6%.


A strong government is essential for political and economic development. But the 1990s were unprecedented in the history of instable political and economic development in Pakistan. There was increasing pressure on the economy to do well; majority of the budget went towards debt financing and the military, the civilian governments tried to vest more power in the Prime Minister as opposed to the President resulting in the short span of governance by the same political party. The short occupancy of a single democratic administration meant that reforms could not be carried out effectively; no significant change resulted.


 It is interesting to analyze the role of civilian and military regimes and how they have done in terms of political and economic development. Looking at historical figures statistically it would suggest that during the rule of the military Pakistan has achieved sustainable economic growth. Much healthier when compared to civilian governments in retrospect. But this doesn’t suggest that military regimes are better for economic growth than civilian governments, but does indicate that to have sustainable economic growth you need a stable political system, and surprisingly with Pakistan this has been provided by the military organization rather than elected chosen governments of the people. Why has this trend carried on for so much for the history of Pakistan?


 There is no simple answer to this question, but it can be traced back to the partition and gaining independence from direct British colonial rule. From the beginning the military was an important part of the political setup, it was an internal rather than an exogenous factor in the political apparatus of post independence Pakistan.


So why have the military seized power four times (’58, ’69, ’77 and ’99 (Schaffer 2002: 7)) in Pakistan’s 63-year history? This goes to heart of many problems with the very institutions inherited in Partition, lack of a strong design, foreign intervention and support, elite control, half-successful nationalism, regional inequalities and representation as well as unequal resource collection and allocation.


It’s because the failures of civilian regimes automatically paved the way for the military, thus the four times military men have ruled Pakistan. Military regimes have tried to make them democratic through the constitution and gain legitimacy through the political apparatus. It appears that the civilian governments were in a balance of power struggle between the prime minister and the president which effectively carved the way for the military to take over. It would be wise to say that military governments in Pakistan provided economic and political stability that was missing in civilian governments. But the military must stop thinking of itself as a saviour to the crises created by the civilians and let the civilian politicians sort out their own mess. For only then can a true democracy emerge?


In conclusion Pakistan the problems that Pakistan is facing in terms of the democracies and military coups come from a various number of reasons and inequalities that have compounded to create an almost predictable cycle of military coups from the democratic governments. This comes in part from the military’s role as protector of the State. The key for democracy and the strengthening of democratic institutions in Pakistan is simply education not just literacy, with education people can create their own nation and eventually Pakistan will become a developed nation of solvent institutions and become a powerful economic power to be truly independent.


There needs to be a reform of parliament and political parties. One of the major problems is that existing political parties do not allow a proper democracy to develop, because there is no shifting pluralities to allow the electorate to keep elected officials in check. Allow more power in the hands of the citizenry, not in the vested interests of political elites. Furthermore there needs to be institutional reform and checks and balances, creating a more formal role for the military. Looking at the issues in this essay that has affected Pakistan it can be said that each one of them contributed in its own way towards the promotion of Pakistan’s national solidarity and a Pakistani Identity.


However overall Pakistan’s history has been a most turbulent one, “producing anything but a participatory democracy” (Siddiqui 2001: 7) where men have lusted after power for their own purposes and the people have suffered without a say in how their country is run. As Kapur put it “they had not been groomed in the nursery of democracy and in the ideas of individual freedom, liberty and nationalism”. (Kapur 2002: 8)


It is still in the process of determining its political scope for the future, still in the process of settling down with an effective form of government. A great weakness of the Pakistani Government contrasting greatly with the Indian one is the lack of power separation of the military with the executive. The collapse of Ayub’s policies to bring Pakistan into a more secular, foreign-friendly nation and his attempts to modernize the nation, indicate that Islam did in fact have a significant political role in state affairs and is probably why Pakistan is still non-secular.



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Pakistan China In Relation Defence Analysis System History Essay

A policy governing international relations. A country's foreign policy, also called the international relations policy, is a set of goals outlining how the country will interact with other countries. General objectives that guide the activities and relationships of one state in its interactions with other states. The development of foreign policy is influenced by domestic considerations, the policies or behaviour of other states, or plans to advance specific geopolitical designs.

Pakistan's foreign policy has been marked by a complex balancing process--the result of its history, religious heritage, and geographic position. The primary objective of that policy has been to preserve Pakistan's territorial integrity and security, which have been in jeopardy since the state's inception.

A new era began with the partition of British India in 1947 and the formation of two independent, sovereign states--India and Pakistan. Both nations searched for their place in the world order and aspired to leadership roles beyond the subcontinent.

Pakistan's desire for maximum balance and diversification in its external relations has also led to close relations with China--a valuable geopolitical connection. In 1950 Pakistan recognized the new People's Republic of China, the third non-communist state and the first Muslim country to do so. The deterioration in Sino-Indian relations that culminated in the 1962 border war provided new opportunities for Pakistan's relations with China. The two countries reached agreement on the border between them, and a road was built linking China's Xinjiang-Uygur Autonomous Region with the Northern Areas of Pakistan. China supported Pakistan diplomatically in both its 1965 and 1971 wars with India and provided Pakistan with economic and military assistance. Pakistan's China connection enabled it to facilitate the 1971 visit of United States secretary of state Henry Kissinger to that country, and in the 1980s China and the United States supplied military and economic assistance through Pakistan to the Afghan mujahidin fighting the Soviet occupation forces. Pakistan's ties with China remain strong, and friendly relations between the two countries continue to be an important factor in Pakistan's foreign policy.

China–Pakistan relations began in 1950 when Pakistan recognized the People’s Republic of China. Favourable relations with China have been a pillar of Pakistan's foreign policy. China has always helped Pakistan in each and every sector. It also supports Pakistan’s stance on Kashmir issue. China has provided its support in energy, education, communication, economic and defines sectors. It has launched great developmental projects in Pakistan. The two countries will soon carry out more advanced projects of communication including railway and road links and fibre optic. Chinese cooperation with Pakistan has reached high economic points with substantial investment from China in Pakistani infrastructural expansion. Both countries now have free trade agreements. In recent years, bilateral economic and trade cooperation between China and Pakistan have developed rapidly Pakistan and China agreed to take the bilateral trade to $15 billion by year 2011 from the existing $7 billion dollars.

After the 1990 imposition of U.S. sanctions on Pakistan, China became the country's leading arms supplier. Collaboration now includes personnel training, joint military exercises, intelligence sharing, and counterterrorism efforts.

China and Pakistan share a close military relation, with China supplying a range of modern armaments to the Pakistani defines forces. The policy of having good relations between the armed forces was taken in order to counter the balance of power in the Asia. In recent years this relationship has deepened even further by having defines agreements between Pakistan and China.

Military cooperation has strengthened with joint projects producing armaments ranging from fighter jets to guided missile frigates. China has been a steady source of military equipment to the Pakistani Army and also has helped Pakistan to set-up mass weapons production factories and also has given technology assistance and modernized facilities. Now Pakistan's Army has both short- and medium-range ballistic missiles, such as the Shaheen missile series, that experts say are modifications of Chinese imports.

In the last 20 years, the countries are involved in the joint venture of several projects to enhance military and weaponry systems, which includes JF-17 Thunder fighter aircraft, K-8 Karakorum advance training aircraft, space technology, AWACS, Al-Khalid tank, Babur cruise missile. The armies have a schedule for organizing joint military exercises. In 2007 China became Pakistan's biggest arms supplier with no strings and conditions attached; Chinese came up with a true strategic partnership.

Military cooperation has strengthened with joint projects producing armaments ranging from fighter jets to guided missile frigates. China has been a steady source of military equipment to the Pakistani Army and also has helped Pakistan to set-up mass weapons production factories and also has given technology assistance and modernized facilities. Now Pakistan's Army has both short- and medium-range ballistic missiles, such as the Shaheen missile series, that experts say are modifications of Chinese imports. In the last 20 years, the countries are involved in the joint venture of several projects to enhance military and weaponry systems, which includes JF-17 Thunder fighter aircraft, K-8 Karakorum advance training aircraft, space technology, AWACS, Al-Khalid tank, Babur cruise missile. The armies have a schedule for organizing joint military exercises. In 2007 China became Pakistan's biggest arms supplier with no strings and conditions attached; Chinese came up with a true strategic partnership.

Recently joint naval exercises were also conducted which helped both Pakistanis and Chinese to learn from their experiences. China has also built F-22 frigates for Pakistan. Frigates will be deployed for the defines of Pakistan’s maritime interests and to meet commitments in other aspects of maritime diplomacy. Out of four the first frigate was inducted in Pakistani Navy in July 2009 and last one is expected to be in 2013.

According to Pakistan’s naval analyst this deal involves the eventual transfer of Chinese technology that will help Pakistan eventually improve its naval shipbuilding capability in a way that the country has not been helped by any of its other allies (including the U.S.).

China has taken a significant step in meeting Pakistan’s military needs with the completion of a militarily important naval frigate as part of an $800 million deal, which analysts say will further deepen Islamabad’s reliance on Beijing as a key supplier of military hardware.

China has also helped Pakistan in its nuclear program. China supplies Pakistan with nuclear technology and assistance; including what many experts suspect was the blueprint for Pakistan's nuclear bomb.

China has offered to Pakistan military aid in order to fight against the terrorist activities on their soil. China promised that they will further cooperate with Pakistan in dealing firmly with terrorists. After the aid Pakistan will also purchase military equipment from China to fight terror to which China have agreed. This will strengthen cooperation between two Armed Forces. China and Pakistan also hold joint anti-terror military exercises after regular intervals.

Recently Pakistan’s Prime Minister Syed Yousaf Raza Gilani visited China. Both countries vowed to boost up collaboration in defines and counter-terrorism. Prime Minister Yousuf Raza Gilani invited Chinese defines industry to set up joint ventures in his country for warships and fighters. He said that Pakistan is interested in the production of defines-related equipment and setting up of local overhauling facilities, and invited the Chinese companies to invest for joint ventures in this regard.

Pakistan and China have witnessed long-term close military exchanges and carried out comprehensive military cooperation, in accordance with the sound development of the bilateral relationship.

Attaching great importance to China-Pakistan relations, China promised to work together with Pakistan to further develop the bilateral military relations.

Pakistan cherishes the traditional friendship and cooperation with China, and is ready to make concerted efforts to strengthen military ties.

Pakistan was in one of its periodic lows in its relationship with the United States till September 11, 2001 and more specifically till the precise moments the World Trade Centre in New York and the Pentagon were rammed into by Islamic Jihadi terrorists. 

Till 9/11 and in the decade preceding the hallmarks of Pakistan’s external relationships and policies were:

Pakistan-China relationship reached its highest point strategically. China with an incessant flow of blueprints, designs, and components to Pakistan facilitated it’s emergence as a nuclear weapons power with a credible missile arsenal. 

Pakistan and China’s strategic dalliance was conducted in open defiance of United States sensitivities, and periodic sanctions against both. 

United States officials, think tanks, and academia had rightly termed Pakistan as a 'rogue state', 'failed state' and the cess-pool of Islamic Jihadi terrorism. 

Pakistan held sway over Afghanistan through its creation and protégé, the Taliban. 

Afghanistan under Pakistan’s control was converted into a nursery for Islamic Jihadi terrorism and export of Islamic terrorism not only to India, but wider a field. 

Osama bin Laden and his Al Qaeda outfits regularly flitted in and out of Pakistan planning and preparing for their diabolical strikes against the United States. 

Pakistan’s acquisition of nuclear weapons and IRBMs from China and China’s tolerance of Pakistan’s state-sponsored Islamic Jihad served the mutual strategic interests of both countries, namely:

China was able to generate strategic embarrassments for the United States through Pakistan. 

Pakistan hoping thereby to use its strategic delinquencies as bargaining chips with the United States for strategic and economic gains. 

Pakistan was thus a convenient pressure point for China against the United States. 

September 11, 2001 unprecedented onslaught by Islamic Jihadi terrorists on United States symbolic citadels of its military and financial might occurred due to Pakistan’s tolerance of Osama bin Laden and Al Qaeda activities on Pakistan soil and from Afghanistan, under Pakistan’s military control. 

Post 9/11, Pakistan under intense American coercion and warnings opted for what apparently appeared to be a complete strategic reversal of its policies.  Overnight, the following happened :

Pakistan abandoned the Taliban.

Pakistan hosted nearly 48,000 US troops on Pakistani soil and the use of Pakistani Air Force bases for launching of American military operations against Afghanistan. 

Pakistan apparently allowed its strategic convergences with China to lapse.

The United States very gracefully sanctified Pakistan’s strategic reversal with glorified labels of ' strategic partner in global counter-terrorism War ', 'frontline state' and in the process beatified and accorded political legitimacy to the Pakistani military dictator, General Musharraf.

Against such a backdrop, the moot question arises and has escaped due analysis in public debate is whether Pakistan’s strategic reversal post 9/11 signalled an end or a dilution of the Pakistan-China relationship.

In the immediate aftermath of 9/11 and Pakistan’s apparent willingness to be embraced by the United States, it was logical to assume that Pakistani strategic alliance was on the way to dilution if not a total change. Pakistan seemed to be enjoying the American embrace once again. 

However, by the spring of 2002, unfolding events started giving clear indications that Pakistan’s strategic alliance with China stood unchanged. These unfolding events were:

Pakistan’s continued receipt of IRBMs and missile assemblies from China, and China-facilitated supplies from North Korea. 

Pakistan’s signing of a defines pact with China with the focus on joint defines research and production. 

Exchange of high-level defines visits. 

Pakistan’s invitation to China for development and construction of her strategic naval base at Gwadar on the Makran coast. This Pakistan-China defines project has far wider strategic significance for two reasons. It gives China access and basing facilities in the Indian Ocean and in close proximity to the Straits of Hormuz.

None of the above developments in Pakistan-China strategic relationship post 9/11 contribute in any way to the United States global war against terrorism or bringing back Afghanistan to normalcy. On the contrary, these Pakistan-China developments as in the period prior to 9/11 create strategic embarrassments for US. Further, these developments and specifically the Chinese involvement in the Pak naval project at Gwadar are strategically destabilizing to South-West Asia region – a region strategically crucial for United States national security interests.

  The Pakistan-China strategic alliance did not emerge as a matter of convenience. It emerged out of strategic compulsions of both Pakistan and China and the ensuing strategic convergences. Pakistan-China strategic convergences continue to exist. 

The United States need to note that unlike the Pakistan-United States strategic relationship, the Pakistan-China strategic alliance was not born from Cold War compulsions. To that extent it will prevail and Pakistan’s strategic relationship with China will continue to be the cornerstone of Pakistan’s foreign and strategic policies.9/11 has not thwarted Pakistan’s slide into Islamic fundamentalism. In that context also, it is China, which continues to be perceived in Pakistan as a bulwark against an over-domineering United States. 



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Lever Brothers Pakistan Limited Is A Multinational Organization Marketing Essay

Marketing » Lever Brothers Pakistan Limited Is A Multinational Organization Marketing Essay

“Lever Brothers Pakistan Limited is a multinational organization. Unilever PLC London is its parent company. Unilever is a European based company with headquarters in London, and their shares are quoted at the stock exchange of several European countries. They deal in all kinds of products from animal foodstuff to foods and detergents plus other personal and consumer products. Unilever has its subsidiaries in over 80 countries of the world, to which it spreads its vast knowledge and resources.

William Lever (its originator) commences business in England as a grocer. He established Lever Brothers in 1827 in England Sunlight was the first product of Lever Brothers, which makes the beginning of the marketing of branded products at the same time Margarine Uni was established in Nether Land by Simon Van Berg and Anton Jorgen. These two companies in term of:

     Buying raw material

     Selling finished goods

Consequently both the companies are loosing out money in term of profit. These problems led to think of the mergers in 1930. These two companies merged together and renamed the business as Unilever PLC / the word UNI is taken from margarine Uni and Lever is taken from Lever Brothers. Its head quarter was established in England and Rotter Dam.

Unilever has 500 operating companies in 80 countries. It has 0.3 million employees and turnover of sales in 23000 million pounds. The global business proportion is 60% in Europe 20% in North America and 20% in rest of the world. An identified Board of Directors controls the activities of subsidiary companies throughout the world. Lever Brothers Pakistan Limited started its operations in 1948.

A merger of Sadiq Vegetable Oils and Allied Industries existed in Rahim Yar Khan was taken place with Lever Brothers and HVM Company based at Karachi. As a result of merger Lever Brothers Pakistan Limited was incorporated as an independent Unilever operating company in 1955. The company is quoted on the Karachi, Lahore and Islamabad Stock Exchanges” as described in (Report on strategic management of unilever, 2009)

Unilever is the leader in producing consumer goods related to personal care, foods and beverages. 160 million times a day, someone somewhere chooses a Unilever product.

It has 400 brands spanning 14 categories. Invest nearly €1 billion every year in cutting- edge research and development.

Unilever is the parent company of Unilever Pakistan, which is one of the Fortune Brands in the world. Unilever holds 51.55% of the equity shares of the company. The Unilever in Pakistan has 35 major brands under its umbrella, which cover diverse sections like personal care products, nutrition and hygiene related products.

In the 1890s, William Hesketh Lever, founded Lever Bros.

Later on its name changed from Lever Brothers to Unilever

In 1948, it was established in Pakistan, in a small town of Rahim Yar Khan.

Nature of their business enables their brands to be the pulse and heartbeat of the 164 million people in Pakistan

It operates through 4 regional offices. 4 entirely owned and 6 third party manufacturing sites across Pakistan

The company contributes a significant proportion of the country's taxes

It employs a large number of local managers and workers.

as described in (Strategic thinking of Hul, 2008)

“ This is the mission of the company. This is what inspires the employees to deliver their best in making the lives of their customers better. Pakistan Unilever has a total of 36,000 employees who work to add more vitality to the lives of the customers and the result is that their products are used by most of the Indian population.”

as described in (Hindustan Lever, 2007)

“The objective is in line with the corporate mission, which is to add vitality to the lives of the people. The company attains this objective by getting a stronghold on the local markets and a dedicated service by sustaining the exceptional quality of the products over the years. Apart from that the company also believes in maintaining the best form of corporate behavior.”

as described in (Hindustan Lever, 2007)

The Home and Personal Care Industry or being more specific in perspective of the product we intend to modify, the Soap Industry is highly concentrated with key players in the segment of the market including beauty soap sellers: ZIL Ltd., P & G with Camay, Colgate Pamolive with Pamolive Beauty Soap, Unilever with brands like Lux and Rexona, Azhar Corporation (Pvt.) Ltd. with Hoor Beauty Soap.

The flood of imported soaps being sold at cheaper prices in the local market, compared to domestically produced soaps, has created a panic among local soap manufacturers, who have finally decided to approach the government to take steps to save the local industry

The total consumption of beauty/ bath soap in the country is around 100,000 Tonnes Per Annum. This tonnage when converted to rupees amounts to approximately Rs. 10 Billion Worth of Sales Per Year. Toilet soap market is expected to grow at a rate of in the coming year; therefore, the projected demand of toilet soap in 2009-10 is 130,000 MT/Y (metric tones per year). The country imports nearly 1,500 tonnes soap monthly. 

The following gives an overview as to the annual production of soaps in Pakistan since 1998:

22

76166

22

19892

22

22596

22

23942

23383

36168

49698

60534

66650

75277

The total production capacity of this industry is 250,000 - 300,000 tonnes of soap annually. Its contribution to the national exchequer in the forms of various taxes is running in billions of rupees. [3] Since the demand for beauty soap market is to a great extent oligopolistic, variations in price lead to price war which can eventually break down each company’s market share.

Moreover, the population of the country seems to be increasing consistently leading to more demand; which in turn is evident of the fact that there is a huge market out there for beauty soaps that still needs to be covered. The above table shows the consumption trends of bath soaps in our country. Launching a soap in the higher income group gives us a huge market to gratify due to the fact the imported soaps that are already being sold at lower prices, catering their respective market. Developing a product that the higher income group can afford gives us a big market to cater to. Keeping these positive signs in mind one could expect that future of beauty soap market of Pakistan, is promising.

Driven by marketing ingenuity, consumer preferences are speedily changing by the day in terms all products, especially Fast Moving Consumer Goods. Independent retailers and wholesalers are still the largest channel contributors however the role of International modern trade is growing at an increasing rate. Greater awareness in our target markets about maximizing cleanliness, and greater skin care enhances the probability of our product’s success.

There is an additional trend in both our target markets and industry towards organic based soaps. Organic and natural products have become increasingly associated with safety and health in a variety of different markets. Our very organic soap is complementary to this growing market trend. The most common challenges to this industry are soaring prices of raw material, and influx of cheap imported brand through gray-channels.

Unilever occupies the largest share in the market with its brand Lux. The rest of the soaps engage a comparatively small market share.

The beauty soap industry has a few major producers of which Unilever holds market share of slightly less than 50%. Other competing brands like Dove, Rexona and Lux have started to have a strong consumer base, but LUX’s product features distribution and promotional activities have created high brand loyalty for which it is still the market leader.

Expansions plans are taken into account while making certain assumptions. In order to formulate the marketing plan for our new product, we have taken the following assumptions for the coming year:

In order to increase their market share, the intention is to increase the market demand for beauty soaps through innovations and creating the perfect target market. We assume to contain the price and make it affordable, inspite of the rising raw material prices.

With increase in the number of competitors in the Pakistani market, Unilever would face a stiff competition. It is assumed that there will be no new entrants in the Pakistani market in the coming year.

It is assumed that the Inflation rate in Pakistan would remain constant.

The interest rates would not fluctuate significantly.

There will be no significant shift in the technology.

Good monsoon ensures adequate availability of raw materials, which are mainly agricultural in nature. We assume that we won’t face any grave energy shortages and raw materials will be available on time.

Government policies in terms of licensing, duties, movement of commodities etc. would remain constant.

The website won’t require much maintenance once it is up-dated.

The following marketing objectives have been formulated for a time span of 1st July, 2010 to 30th June, 2011.

Reaching annual sales of Rs. 20,00,000. (as compared to 1.35 Million from last tear)

Inform target audience about features and benefits of our product and its competitive advantage, leading to a 10 % increase in sales in one year.

To increase our market share by at least 5%. This objective will be achieved through intense promotional activities, developed to get to the target market in the best possible manner.

Creating awareness about our product to at least 50% of the target market within six months of launch.

Capturing 60 % of target market within one year of the launch of Lux Scent-Sations.

We want to offset our products to whole sale as bigger parties require bigger amounts and the market wants to buy in big amounts.

Establishing good relations with our customers so they create good word of mouth for us and approach us again and refer others therefore increasing our sales.

Distributing our product to the major retailers in Rawalpindi, Lahore, Karachi, Multan and Peshawar in the first 6 months of the product launch so as to create Brand Awareness in all the four provinces of Pakistan. After gaining primary success we will be available in all big and small stores in almost all the cities of Pakistan.

Talking specifically in terms of Pakistani context, beauty soaps or rather bath soaps are bought as a grocery product in a lot and are used through out the month. The entire family usually uses a single brand of soap making no distinctions for male or female, young or adults. We describe the characteristics of our population as follows based on the survey results afore-formulated.

The consumption of bath soaps knows no boundaries or limits. We have a very efficient supply chain and plan to distribute our product as widely as possible. We will follow the traditional supply chain because of its efficiency and effectiveness seen previously. Furthermore, we intend to continue to export our product.

Our marketing survey tells us that the major consumption of beauty soaps is attributed to the young ladies. On the other hand, the family adults do not pay much heed to what brand is to be used. The demographic segments for our product comprises of following major variables:

Age: Above 12, 12-18, 18-35, 35+

Our product does satisfy the needs of customers of all ages; but our survey has identified that the young females make a more specific and rather defined market segment for us to target.

Gender: Female

Social Class: Middle Class, Upper Middle Class and Upper Class

The social status of our targeted market would consist of Middle Class, Upper- Middle Class and Upper class. The Upper or Elite Class does make the minutest portion in the sales of our product at the moment but the modified product that we intend to launch will be at par with all the imported soaps available in market.

Lux Scent-Sations, as the name depicts brings skin care for our customers on one end and a sensational fragrance on the other. Our modified soaps, although targeted to the same young female market, bring them a solution to the intensely expensive perfumes they have to buy. Our soaps will be made using natural ingredients and would have a mesmerizing smell. Our soaps carry the freshness one needs in summer time with five different smells and varieties; we intend to completely satisfy our consumers by catering their diverse needs.

We segment our market according to the following five major segments:

This segment includes consumers who buy a bulk of soaps and amass it at their homes. The consumption takes some time thereof.

This segment consists of consumers who are more concerned about hygiene and germ protection in soap than any other attribute.

This segment of the market consists of consumers who prefer faces washes or bath gels rather than using soap bars.

Consumers that have a relatively low purchasing power and furthermore, possess a low level of literacy rate formulate this segment; these generally prefer using a cheap soap and a single low priced brand for the entire family.

This segment includes buyers who make their decisions of purchase in accordance with their income and furthermore, are status conscious, leading them to make purchases of high priced products.

This segment consists of soap consumers who intent to purchase a single brand for both the male and the female in the house.

This segment consists of female consumers who are young and are conscious about the condition and protection of their skin.

This segment consists of consumers who purchase products depending over the fragrance that it holds. Since, perfumes are highly costly, consumers prefer suing soaps that covers that problem for them too.

Out of the six segments, we intend to target the following four:

According to our Primary research, this segment formulates about 3% of the market. Reason being, that mostly young girls would eventually end up buying our product; and since most of them are young, hence purchase their cosmetics and other beauty products in a relatively small amount but still we will providing the soap in two sizes to cater different needs.

This consists of consumers who actually try anything innovative that comes into the market. According to our survey, a handsome amount of customers are willing to pay more and try something different and quality.

This constitutes a major segment of our market and the primary research proves so.

Our primary research presented that scented soaps are well awaited for, A major chunk of our market consists of consumers that prefer scented soaps.

Lux Scent-Sations is at the Maturity stage at the moment. Strategies employed thereafter, have been engaged keeping in mind the stage our product is, at present. These include a huge amount of advertising and not keeping the prices too high.

Lux-Scentsations will be positioned not just as some lame old beauty soap but it will be positioned as a soap that is perfect for the summers; the natural ingredients keeping skin radiant and glowing and a scent that takes your breath away. The five different fruity and sweet smells would leave you smelling sensational and would protect your skin from drying out or oiling too much. The young girls can now have something solely to themselves. Our manufactured soaps would be catered exclusively to the young girls of today, giving them a youthful experience.

Our Positioning Statements:

Soap so aromatic…you don’t need a perfume anymore…

Summers…Fruits…Freshness …The other name for Lux Scent-Sations…

Lux Scent-Sations …The epitome of bubbly indulgence

Tazgi ka ehsas…ab aap ke pass

will help us portray our picture clearly and distinctly in the minds of our target market. We will position our product against the competitors through our efficient promotional methods, using innovational promotional programs and by reaching closer to our target market; one of our exceptionally exclusive means being the arrangement and sponsorship of events like School Dramas, School Events at Collegial and University Level.

Since we will be modifying our exisitng brand, but at the same timw, will be catering the sae target market, we define our business strategy as Product Development according to the Ansoff Matrix.

Consequently, we will be able to meet the changing consumer’s needs/demands, increase consumers’ satisfaction and meet our company’s growth objectives.

The Marketing mix deals with product specification and development, pricing policies, delivery systems and promotional activities for ‘Lux – Scent-Sations’ are explained below.

Lux – Scent-Sations would not only pamper one’s skin but also leave one smelling sweet and will luxuriously bathe your skin with a variety of fun perfumes. Lux Scent-sations, when used daily will help replenish, nourish, heal and rejuvenate one’s skin harmed due to the scorching heat of the summers. Young skin is delicate and is more prone to getting debilitated and our natural formulas incorporated with fruit essences will provide pure and natural cleansing to the skin.

But the most wonderful thing about Lux Scent-Sations is their unbelievable scents, which we refer to as Flavors!  Each one of these natural soap bars have been infused with a light yet long-lasting fragrance...fragrances selected from the most delicious fruits available. This selection has been very well thought of considering their advantages to the skin too. The rich creamy lather feels silky smooth and the scent of the fruity perfumes enchants ones senses.

The basic difficulty these days is to find a way to clean our skin without causing further damage or aggravate existing skin problems. The word “Soap,” to many means clean, but drying. The natural "glycerin" that is formed during the preparation remains in our soap, therefore, one will notice that their hands don’t feel as dry.  One will feel less of a need to use moisturizers. This tells you that your skin will be better equipped to defend itself against the aging effects of our environment, and to top it all off, the enthralling perfume incorporated in the soaps will leave one breathless. Through Soap Scent-sations we strive to bring you fun, colorful, fruity scented soaps that would make your skin smile.

We have modified our brand name to Lux Scent-Sations. The addition of the word Scent-sations is a beautiful yet chic combination of the two words, scent and sensation, depicting the captivating perfume our soaps will hold.

Available in five exciting fruity fragrances

These large, creamy bars are rich in moisturizing glycerin and palm oil.

Manufactured using natural products and oils

Are long lasting, and do very well in the bath or shower, since they do not quickly dissolve and melt away.

Contains essential oils which offer additional desirable properties to our soaps

All berry and fruit scents (except the citrus fruits), come from synthetic fragrance oils. In order to offer a wider selection of handmade soaps, we do use fragrance oils in some of our soaps. 

Margins have been an extreme focus as input prices have gone up and down unpredictably. It is indeed very important to look at every aspect of our business to simplify it as much as possible.

Providing maximum value for the money spent by the customer we look at the cost element and anything that can potentially add value for the consumer, while making sure to preserve things that are adding value by understanding the consumer value equation, and taking out anything that doesn’t add any value at all.

We’re focused on understanding what’s important to the consumer, and operating where we believe there’s a competitive advantage for us.

Convenience is still important the consumer. They’re scrutinizing the affordability the convenient features and packaging materials today and taking this account, they are looking at everything through a bit of a different lens, but the focus on convenience will go away.

The package still needs to be easy to open, easy to recycle and easy to see on the shelf. It has to be convenient to use portability is paramount. I do not see people moving away from consuming on the go, even in the most developed countries.

Consumers are looking at convenience more closely today than ever and trying to understand the value that it brings. It can only go so far. It will reach a point beyond which it cant go any further, but again its all about making sure that value has been added to the needs of the costumer. If value has been added and a need is addressed that isn’t being met by others then customers are willing to pay the price.

Packaging innovation is a lever we can use in order to gain market share. Our main areas of focus are:

Differentiating ourself to make sure that our package can be seen improving the functionality of the package and making sure the package is communicating what the brand is all about.

We are always looking to upgrade the quality of the packaging design because this is something the customer interacts with.

Market share and profit margins are important to our shareholders, who look to both metrics for the success of the company, so we want to continue to drive profit as low as we can and increase

market share across the board. We’re not going to compromise on profit. It’s about profitable growth rather than unprofitable growth.

I think consumers have a certain expectation around branded goods and I think our goal is to make sure that we’re communicating what the brand is all about. We look at what packaging format and design best does that. We may have made things smaller and we may have downsized the quantity of the product, but we’re not downsizing on the quality of the product or the pack.

I agree that nimbleness and flexibility is important in dealing with these tough times, and being adaptable to the market place and the consumers’ needs are important. We have a suite of tools that we’ve been using and continue to use in order to improve our flexibility to cut cycle time and lead time in the market. We have to make sure that we don’t take too long to make an adjustment to the economic situation. We have to be able to respond almost instantaneously. We’re transferring knowledge across the entire company, thereby using it more effectively across all brands and categories can help increase our speed.

The only thing we can use is our experience gained from our companies in other parts of the world. We have a significant knowledge base on what has worked in different parts of the world in the past and taking that knowledge and translating it to today’s economic situations seems to work pretty well for us, so taking our history, knowledge and cross-category knowledge and applying it against new and existing brands is something we’re trying to leverage more effectively.

The main challenge has been raw material costs and pressures on margins. We’ve done a lot to offset much of the unexpected costs of these difficult times. Our ability to adapt to the consumer’s needs over the last 18 months is down to our history and experiences in other parts of the world when these markets were experiencing downturns. We’ve taken that knowledge and applied it to this business situation.

Over all, we’ve weathered the storm pretty well – much better than some others have – but it’s only because of the experience of the leadership in this company and the ability of our resources and our people worldwide to adapt to the situation as it develops across the globe.



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