Marketing Report on Pak Elektron Limited PEL
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Marketing Report on Pak Elektron Limited PEL INTRODUCTION OF COMPANY¶S BUSINESS PEL is one of the oldest manufacturing unit of home appliance in Pakistan. It manufactures => A.C => deep freezer => Re frigerator. The products manufactured by PEL have been of high started quality through out the years. PEL was established with Technology Collaboration of AEG Germany in 1956, 1980 PEL expanded into consumer domestic market with introduction of window by PEL A.C. into October 1978 PEL was taken by sagol family. According A then PEL is Now a company on the goes on. The head o f HR department is called HR manager. It has 180 employees working in it. Among which 27 are doing clerical job. PEL has continued o n the path of recovery and t he business in both its divisions power and ho me appliances have grown. Efforts for improvement in productivi ty, qua lity of our products and diversification have yielded positive results and the company has earned a net profit after tax of Rs.94.100 million (last year 59.000 million). Since the company had suffered losses in the past, which had eroded its equity leaving huge bank borro wings, the dept servicing remains a major burden on its o perati ons. Simultaneously increasing business volumes requiring additional working capital have not allowed the much needed ease in its cash flows which could offer a smoothness in its operations. Business in Power Divisi on is propelling positively and is expected to grow further in the ensuring years. PEL is exploring export market for our Power division products, Crystal brand Refrigerator launched in 1998 has de veloped into a major sou rce of our consistent growth. This trend is expected to continue in the following years. On the ot her hand air-conditioner sales have not reached desirable levels due to some serious weakness in import procedures and smuggled goods, shrinkage in the size o f market and working capital constraints. The continuous gain in the value of US dollar upto the September 11, 2001 incidence (which is now a declining trend) has resulted in further negative impact on Rupee-Dollar pari ty. The decrease in the value of Rupee could not be fully covered up in the prices of our products due to low purchasing po wer resulting in reduction of gross margins. The company will thus have to maintain its thrust on high volumes alongwith further reduction in costs and improved
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Transcript of Marketing Report on Pak Elektron Limited PEL
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