Sitara Textile (pvt) LTD

Department of Business AdministrationFaculty of Management Sciences

International Islamic University Islamabad

Table of Contents Part 1:AcknowledgementIntroduction of Sitara Textile(pvt) LTDPart 2How does firm analyse and understand the buying behavior of major clients. (buying behavior in this market)Part 3What specific relationship management practices does the firm employee to manage relationship with its clients.(relationship management)Part 4What is overall market situation in this industry and what specific marketing strategies does the firm employee to compete in the industry.(Marketing strategies)Part 5Recommendations

AcknowledgementFirst of all we are thankful to ALMIGHTY ALLAH for His

blessings upon us in the completion of this task. We are highly thankful to our honorable teacher particularly for his able

guidance and support.

Textile

A Latin word, originated from texere, it means "to weave". A Textile was originally a woven fabric, but the terms Textile and the plural Textiles are now also applied to fibers, filaments and yarns. Natural and manufactured, and most products for which these are a principal raw material .Textile also refers to the yarns, threads and wools that can be spun, woven, tufted, tied and otherwise used to manufacture cloth. The production of Textiles is an ancient art, whose speed and scale of production has been altered almost beyond recognition by mass-production and the introduction of modern manufacturing techniques. An ancient roman weaver would have no problem recognizing a plain weave, twill, or satin. Descriptive of Textiles as defined above and of the raw materials, processes, machinery, the manufacture, of Textile products are components of Textile industry.Introduction:

Sitara Textile industries LTD is the business unit of Sitara group of companies which is most strong business group of Pakistan. Sitara group entered into Pakistani business market in 1956 by entering Textile weaving of Pakistan. This group was founded by two brothers Abdul Ghafoor (Late) and Haji Bashir Ahmed. Sitara group of companies has got several business projects:

Commercial projects

Sitara Textiles Industries Ltd. Sitara Chemicals Industries Ltd, Sitara Energy Ltd, Sitara Fabrics Sitara Chemical(Spinning Units 1&2) Sitara Peroxide Ltd.

History:

Sitara Textile came into being in 1959 with limited financial resources available. At the moment Sitara Group is the leading industrial group in Pakistan, owning assets more than US $4 billion. The Sitara Group of

Industries deals in Textile, Chemicals, and Energy, health and education sectors.

VisionAn honest approach in dealing within the organization and with Customers, Vendors and related agencies.

Company’s specializations:

Sitara Textile specializes in producing high class Fabric products made of superior quality materials & possesses state-of-the-art production facilities in made-ups and fabrics for various consumer needs. The company makes use of the latest technology & equipment to make sure that each product is original in style and shows exquisite craftsmanship. Sitara is a company that believes in originality as character & quality as foundation. The entrepreneurial spirit of the company assiduously seeks constant development, steady progress & outstanding performance.

Port folio of products:

Sitara Textile has several products which are being Exported and as well as being supplied in Pakistan.Company products include two categories one Export quality and second product which are to be supplied in Pakistan.

Fabrics Exported products Exported products Bed sheets & value added products Table covers Curtains/ Valances Dress Material/Fabrics

Buying behavior of major clients

Sitar textile has classified their customers in two categories, Business Customers Domestic customers

Business customers are the corporate client of the products of Sitara Textile Industry and they require the products for their customers according to requirement to their customers STI produces the products those arte called customized products.These business customers include both national & international customers. As being an Exporter for around 17% of Textile products, Sitara Textile has several countries which import the products of Sitara. List includes USA, Canada, Australia, New Zealand, Europe, South Africa, Scandinavia and South America.For the domestic customers STI have different approach, it has the research department that studies the requirement of the potential customers, trend in the market and as well as the purchasing power of the customers and after that this information is transferred to product designing that designs the product. For making it further effective STI has divided its customers in different segmentation on different basis so as to satisfy them properly and maximize the revenue. STI produces the different products for different segments according to their proper needs and wants.STI has different segments of customers on the basis of:

Quality Price Use based Product oriented Brand oriented

STI has different products & different price level for these all customers & fulfills their demands well & has earned the trust of customers.Buying process all depends upon the customer demand and they design their products accordingly. Because in the textile sector buying behavior of clients mainly depends upon the price of product and customization according to cultures and on time delivery of product is also very much important. As they are dealing in many brands related to different category like men wear women wear and interior design they fulfilled the requirement of corporate clients all over the word and producing very much customized and quality products according to the requirement. Here in Pakistan their major clients are Ideas. As it is mentioned that 17% of the revenue comes from exports then main thing is on time delivery and quality to wins the trust of their corporate customers and company does the same. Many of other well knows firms like chen one and other textiles they failed to win the customers trust because of electricity problems and other issue related to Pakistan economy but to overcome this Sitara Textile produce their own electricity.

Relationship management practices

Relationship is very much important thing in B2B marketing because of smaller market then B2C and in B2B relationship must be long lasting and effective because of mass transaction between two companies so keeping this important thing in view Sitara Textile also take many steps to maintain their relationship with their major clients and due to that made CRM department which deeply see to maintain relationship with their clients. Some important point which Sitara Textiles do to manage relationship are below.

Be patient in building new relationships:It takes so much time to build relationships. So resist indulging in disingenuous schmoozing, as it can be a severe put off. Instead, take the time to get to know your client, and share a little bit of yourself. Most importantly is that your work for your client is paramount in building a relationship so Sitara Textile gives quality products to their clients which satisfy them and according to them.

Get to know their industry and company:Remain in contact with your clients company as well as their industry. This will help you speak the same language as the client. And gives you proper understanding. So company hires different personals because they are dealing worldwide.

Go the extra mile:As Sitara textiles expands business and client relationships there will be times that they will have to make a decision on when to adjust or expand your core offerings to cater to the needs of a client. The benefits of offering customized solutions are two forms

Clients remember the times you came through for them and It may open up additional revenue streams and new product

offerings you had not previously considered. Treat every client as your most important one:

The most important thing that Sitara Textile keep in mind that treat all of their clients that everyone is most important for them so they Provide all clients best

service.

Respond promptly:Response is one of the important thing so keeping in mind Sitara Tetile personals responded their client quickly about the matter. For example if any clients mail them according to nay issue they face or my seeking information then they response them as early as they can with possible solution related to their problem.

Be more than an email address:As we know that Sitara Textile is dealing world widely so they have many clients whom they don’t know personally and they have in contact with electronic media and they give more emphasis not only use email but also through skype and gather all information related to their order.

Always summarize next steps:This is basic step no matter how quick or trivial a client meeting seems always recap the conversation with next steps.  Many vendors skip this basic step. You think you’ll remember all of the details, and maybe you will, but your client may not. Aligning on the same page with next steps prevents a lot of confusion down the road.

Marketing Activities

Company performs its marketing from different sources for its products. Basically company focuses on costumer orientation approach and gives great value to customers and their satisfaction.As being a larger group of Pakistan Company does not use marketing for its product as much whereas marketing helps organization to build strong, favorable image in the minds of customer. Marketing system of Textile is as follow :

MARKET

GOODS

REVENUE

CMMUNICATION

FEED BACK

Tools that company uses for its marketing are:

TV Adverts: Company uses this tool of marketing as main tool for it and provides adverts in different TV channels for its ready to wear brands of cotton/fabric for men& women.

Fashion magazines: Sitara Textile also gives information about its product in different fashion magazines to attract the costumers.

Free sampling: Company uses one very good technique for its international costumers that it sends the free samples of different product to costumers so that they could check the quality of the product.

Fashion shows: Company also organizes fashion shows in which its products are consumed and people come to know about them.

But being the oldest group of Pakistan Sitara Textile must increase the number of marketing activities and should brought different tools of marketing into practices.

Industry

Recommendations

The main thing I seen in the Sitara Textile is that they think that they are the largest industry in Pakistan and don’t have much need to market their products but according to me this is will gives them bad impact because marketing is core thing in any kind of business. Company could use its website as its marketing tool by providing online

customer service, by taking applications for free sample online through its website.

Vertical integration (backward/forward) does not exist in the company, if company plans to have vertical integration so it can give a competitive edge over competitors.

Company should participate in different trade exhibitions around the glob.