Rupali Bank Final 2003

7/29/2019 Rupali Bank Final 2003

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A

PROJECT REPORT

ON

CAUSES OF LOW MARKET DEMAND OF RUPALI BANK LTD. AND MEASURES TO CHANGE THIS

SITUATION

SUBMITTED

TO

TARAFDER MD. MEHEDI AL- MASUD

SENIOR LECTURER

DEPARTMENT OF BUSINESS ADMINSTRATION

THE MILLENIUM UNIVERSITY, DHAKA.

SUBMITTED BY

RUPOM DAS -EMB00012

Rajib Das EMB0001

MObarak Hossain Chowdhury- EMB000

Washington Dey- EMB000 4

Al-Jobaier AhmedEMB0005

DEPARTMENT OF BUSINESS ADMINSTRATION

THE MILLENIUM UNIVERSITY, DHAKA

EMBA

DATE OF SUBMISSION- 26TH

JANUARY,2013


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Letter Of Submission

January, 2013

The Hon. Mr. Tarafder Mohammad Mehedi Al- Masud

Senior Lecturer

The Millenium University

Dhaka, Bangladesh.

Dear Sir,

We Take pleasure, in accordance the class project of Business Communication, submitting the class

project on the CAUSES OF LOW MARKET DEMAND OF RUPALI BANK LTD. AND MEASURES TO CHANGE

THIS SITUATION

Submitted by the EMBA students, 20th batch.

Yours sincerely,

RUPOM DAS -EMB00012

Rajib Das EMB0001

MObarak Hossain Chowdhury- EMB000

Washington Dey- EMB000 4

Al-Jobaier AhmedEMB0005


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ACKNOWLEDGEMENT

We take this opportunity to express my profound gratitude and deep regards to myguide ( Mr. Tarafder Mohammad Mehedi Al- Masud ) for his exemplary guidance,

monitoring and constant encouragement throughout the course of this report. The

blessing, help and guidance given by him time to time shall carry us a long way in the

journey of life on which we are about to embark.

We also take this opportunity to express a deep sense of gratitude to Mr. Abdul Halim,

FAVP, First Security Islami Bank, for his cordial support, valuable information and

guidance, which helped us in completing this task through various stages.

We are obliged to staff members of ( Rupali Bank Ltd. ), for the valuable information

provided by them in their respective fields. We are grateful for their cooperation

during the period of my assignment.

Lastly, we thank almighty, Our parents, and friends for their constant encouragement

without which this assignment would not be possible.

We, the Group members

Rupam Das.

Rajib Das.

Mobarak Ahmed Chowdhury.

WashingTon Dey

Al Jobaier Ahmed


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Dedication

We thanks to almighty, Our parents and friends for their constant encouragement

without which this assignment would not be possible.


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S/L

No.

Particular Page No.

1 Introduction

2 Company Profile

3 Objectives of the project

4 Marketing Mix of Rupali Bank

5 Research Methodology

6 Data Analysis & Findings

7 Suggestions

8 Conclusion

9 Scope

10 Bibliography

11 Questionnaires

12 Annexure


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Introduction

Creating high market demand of their own product is the main goal of an organization. An

organization without market demand of product/ service is as like as calling war without

defense. So , there is no doubt to say that, Causes Of low Market Demand And Measures To

Change The Situation is very important for any business organization and studying this course is

very essential for business related students. I have been assigned to make a report on the topic

Causes of low market demand ofRupali Bank Ltd. and measures to change the situation

The objective of the study is to explore and analyze how various measures to change low market

demand has played role in achieving the organizational success in Rupali Bank. But in preparing

the report we had to face different problems or limitations. Time was not sufficient to prepare a

fruitful report on such a topic, as the depth of the topic is so large. Moreover it was difficult to

study on the causes of low market demand of Rupali Bank Ltd. and measures to change the

situation in the organization as some required data and information were not delivered by the

management and where is we are employee of another bank. So, we had to do this besides job

of our own. But, we were enough cordial to do this work.

As methodology We have applied both primary and secondary sources to collect necessary data

and information. We took interview of different level of Management Stake holder, employee,

Customer of Dhaka city. We also studied the annual report and some other manuals to serve our

purpose of achieving data and information. Our effort would be successful if the report can

meet the expectation of our course teacher.


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CORPORATE PROFILE

Name of the company : Rupali Bank Limited

Chairman : Ahmed Al-Kabir, PhD.

Managing Director : M. FaridUddin

Company Secretary : Md. ShahjahanKhandaker

Legal Status : Public Limited Company

Genesis :

Rupali Bank Limited has been incorporated on 14

December 1986 under the Companies Act 1913 after

taking over and acquiring as a going concern the

undertaking and businesses of Rupali Bank with all of

its assets, liabilities, benefits, rights, powers,authorities, privileges, borrowings and obligations.

Rupali Bank, which initially emerged as a NationalizedCommercial Bank (NCB) under the Bangladesh Banks

(Nationalization) Order, 1972 (Presidents Order No.

26 of 1972), has now become a state-ownedcommercial bank (SCB) through a vendors agreement

dated 15 November 2007.

Date of Incorporation : 14 December 1986

Registered Office :34, Dilkusha Commercial Area, Dhaka-1000,

BangladeshAuthorized Capital : Tk. 700 Crore

Paid-up Capital : Tk. 125 Crore

Reserve & Retained

Earnings: Tk. 420 Crore

:

Credit Rating byCRAB(2009)

:

Long Term - BB3

Short Term-ST3

National Support- AAA

:

:Listing with DSE : 19-08-1987

Listing with CSE : 10-10-1995

:

Commencement ofTrading

with DSE & CSE: 23-12-1986


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:

VAT Registration : 9011039307

TIN Certificate : 177-200-0021/LTU/Dhaka

:

Auditors :

AHMAD & AKHTAR, Chartered Accountants,BCIC Bhaban (3rd Floor)

30-31 Dilkusha C/A, Dhaka-1000, Bangladesh.&

G. KIBRIA & CO., Chartered Accountants,

ShadharanBimaBhaban (6thFloor),24-25 Dilkusha C/A, Dhaka-1000, Bangladesh.

:

Legal Advisor :

S.M AtikurRahman, Barister-at-Law,

Suite- D (1st Floor), 105/A Kakrail Road,

Dhaka, Bangladesh.

:

Tax Consultant :

K.M HASAN & CO. Chartered Accountants,

Hometown Apartment (8th & 9th Floor),

87, New Eskarton Road, Dhaka-1000, Bangladesh.

:

Number of Employees : 4503

:

Number of Branches : 504

:

Number of SubsidiaryCompanies: 01 (Rupali Investment Limited)

:

Phone-PABX :

+88-02-9551624-25, +88-02-9551525,

+88-02-9551840, +88-02-9552184,+88-02-9552214, +88-02-9552746,

+88-02-955093-4

:

Fax : +88-02-9564148, +88-02-9552671

:

SWIFT BIC RUPBBDDH

Website www.rupalibank.org

E-mail [email protected], [email protected]


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OBJECTIVES OF THE PROJECT

The main objectives of the report were:

To find out causes of low market demand of Rupali Bank Ltd. And also study about the measures to change this situation.

Specific Objectives:

To increase awareness. Find out the cause of market fall of a bank.

This report also will give a idea about the banking situation and Condition


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Marketing Mix

Deposits:

SL No. Types of Deposit Interest

Rate perannum

1. Savings Deposit 4.50%

2. Short Notice Deposit 3.50%

3. Time Deposits

a) 3 months & above but less than 6 months

b) 6 months & above but less than 1 yearc) 1 year & above but less than 2 years

d) 2 years & above but less than 3 years

7.50%

7.75%8.00%

8.50%

4. Deposit From foreign Remitance 6.00%

5. Rupali Bank Deposit Pension-Scheme 2 6.50%

General Credit Line and Programme

Rupali Bank Ltd. extends credit facility to almost every sector of the country's economicactivities. Main focus of Rupali Bank Credit programme is on financing trade and commerce, business and

industry having productive purpose.

Credit facilities are also offered to international trade and business, export and import.

Credit Programme of the Bank also covers development of rural economic activities likeagriculture and livestock, dairy and poultry, fishing and hatchery etc.

Loan is provided to thrust sectors declared by the government at a concessional terms.

Lending programmes are operated as per guideline of Bangladesh Bank (the central bank of thecountry) through an effective lending policy and procedure of the Bank.

Lending policy of the Bank ensures quick processing, sanctioning and disbursement of loan in allviable sectors.


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Rupali Bank Ltd. provides prompt and excellent other Banking Services likeissuing

Demand Draft

Pay Order

Telegraphic Transfer

Mail Transfer

Call Deposit

Transfer of Fund on standing instruction arrangement

Computerized Banking Service

To modernize banking operation and ensureprompt services, major branches of the bankhave already been computerized. Other

important branches are in the process ofcomputerization.

Rural Credit program

Bangladesh is mainly a land of agriculture. A vast majority of our people live in the rural areas andtheir main source of income is agriculture and agro-business. To produce agricultural output, promoteagro-business, facilitate agro-based services, create and sustain employment opportunities, RupaliBank Ltd. is disbursing agricultural loan/rural credit through its 401 branches all over the country.

Sectors of FinancingRupali Bank Ltd. extends credit to the following rural sectors:

1. Fishery.

2. Livestock.3. Shrimp Culture.

4. Poverty Alleviation Programme.

5. Micro-credit.

6. Agricultural product processing and marketing.

Investment banking

Investment Portfolio::

Rupali Bank Ltd. presently roaming in the following areasof investment:.i) Bangladesh Government Securities/Bonds.ii) Treasury Bills.iii) Grameen Bank Bonds.

iv) Debentures of government and semi-governmentorganizations & Public Limited Companies.

v) Shares of listed companies.


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INDUSTRIAL FINANCING

In order to support the development of industrial sector of thecountry through active participation of private and directforeign investment, Rupali bank Ltd. has taken appropriateprogrammes as per Industrial Policy of the Government. Theloan portfolio of the Bank includes sizeable investment of fundtowards development of thrust industrial sectors like Textile,Jute, Leather, Leather goods, Frozen and semi cookedShrimps, Footwear, Knit Garments and other small andmedium enterprises.

Rupali Bank Ltd. is participating in joint venture finance andconsortium finance for setting up large-scale projects. The

Bank lays special emphasis on agro-based and IT relatedindustries.

Utility Services

Rupali Bank Ltd. offers some special services to customers in addition to its normal banking operation.Collection of various utility bills is one of them. Under this service, the Bank benefited Customer bycollecting their various utility bills like Telephone bill, Water & Sewerage bill, Electricity bill etc free of

charges.

Collection of Bills

1.Telephone bill of Bangladesh Telephone & Telegraph Board (BTTB).2.Water & Sewerage bill of

Water and Sewerage Authority (WASA).3.Electricity bill of Power Development Board (PDB), Rural

Electrification Board (REB) etc.


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RESEARCH METHODOLOGY

Marketing Research

Marketing research is the systematic design, collection, analysis and reporting of data and findings

relevant to a specific marketing situation facing the company .Market research is a research carried out

in a particular market. The study is done with a set objective may be for the reason to analyze consumer

for the introduction of new product, study of distribution channels or for that reason, any problem in

the field of marketing. The market research is complete only when proper analysis is carried out with

the help of relevant information and the solutions fulfilling the objectives is identified.

Important steps in market research are as follows:

1. Define the problem and research objectives.2. Developing the research plan.

a. Data source-primary and secondary data.b. Research approach

1. Observation2. Focus group3. Survey4. Experiments

c. Sampling plan

Sampling units Sample size Sampling procedure

d. Research Instruments*Questionnaire

* Interview

e. Contact methods

1. Telephone Interview

2. Personal Interview

f. Collect the information

g. Analyze the information

h. Present the findings


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Research Approaches:

There are five ways through which primary data can be collected .They are as follows:

1. Observation Research2. Focus Group Research3. Survey Research4. Behavioral Data5. Experimental Research

Out of these five methods, the survey research is selected as our research requirement descriptive

report.

Research Instruments

Out of the various instruments available for research, questionnaires are most frequently used.

A questionnaire consists of set of questions presented to respondents. Because of its flexibility,the questionnaire is by far the most common instruments used to collect primary data.

Questionnaire need to be carefully developed, tested and debugged before they are

administered on a large scale.

The questionnaires are designed by considering the conveniences of the respondents. Mostly

the objective types of question are planned.

Contact Methods

There are various ways of contacting such as Mail, Telephone, Personal or Online. Personal

contact method has been selected as it is descriptive type of research.


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Sample Plan

A sample design has a definite plan for obtaining a sample from a given population. It refers to

the technique or the procedure the researcher would adopt

in selecting items for the sample.

The sample design method used in this research is Non-Probability sampling. Non-Probability

sampling is done when one does not have a list of respondents to randomly select from, as in

probability sampling.

The method of non probability sampling used here is Convenience sampling. Convenience

sampling is generic term that covers a wide variety of ad hoc procedures for selectingrespondents. Convenience sampling means that the sampling units are accessible, convenient

and easy to measure, co-operative and articulate.

Data Collection

While deciding about the method of data collection to be used for the study researcher should

keep two things in mind via- Primary and Secondary.


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DATA ANALYSIS & FINDINGS

Market Share:


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Reasons for being market looser

0

0.5

1

1.5

2

2.5

3

3.5

4

0 0.5 1 1.5 2 2.5 3 3.5

Y-Values

Y-Values

40%

35%

15%

10%

Brand ImageMarketing Policy

and Credit

Facilities

Better Service Quality


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Awareness of General Customers about Rupali Bank Ltd.Awareness Status Number of Respondents

Yes 45No 55

Total 100

Without having enough advertisements in various Medias upon meeting a total number of 100 general

customers, it was found that 55% are not aware of Rupali Bank Ltd, and remaining 45% are aware of it.

Awareness of Share Holder about Rupali bank Ltd.

45%

55%

YesNo


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Number of

Responden

ts

Yes 75

No 25

Total 100


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SUGGESTIONS

In Bangladesh, there is an increase bank, as well as a great scope of export of fund. But the Rupali Bank

Ltd. is still in its infancy stage, which gives it a great scope for expansion, if proper advertisement,

promotion and awareness are created. Here my suggestions are provided for increasing marketdemand. These are given as below:-

PRODUCTS QUALITY UP-GRADATION:

As we know any product is sold on its quality in this competitive market. It was found in my survey that

end users, customers and shareholders comments were about Rupali Bank quality is moderate. But

moderate quality is not satisfactory in this competitive money market. So this is high time to take proper

initiative about quality up-gradation of Rupali Bank Ltd. by top management of the company.

ATTRACTIVE DIVIDENT STRUCTURE:Since share holder play an important role in money market and they are generally influenced on

attractive divident structure, so companys divident structure should be that much attractive to

customer as well as share holder. On the other hand Share holder, customers naturally look for good

dividend structure.

WELL STRUCTURED ONLINE FACILITIES:

Without having well structured ONLINE facility, no bank can provide its highest service to customer amd

share holders. as well as online charges and quick service to banking quickly and timely. So there should

be various online quick facilities need whenever it is required.

SKILLED MANPOWER:


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For achieving organizational goal within budgeted time, there are no alternatives but skilled human

resources. So company should be careful about it. Company should appoint qualified and experienced

manpower and they should be properly trained up.

The marketing executives should have enough knowledge about paints and they should have that much

ability to handle different types of Customers, share holder and stake holders.

PROPER ADVERTISEMENTS:

Proper advertisements help any product to be created a brand. Though Rupali Bank Ltd. has a great

brand image, but Rupali Bank has no advertisement. Thats why most of the general customers are not

aware of Rupali Bank . Proper advertisements should be given on T.V, Newspapers, Magazines, and

Shop Signboard mentioning all the features of the products for increasing awareness of Rupali Bank

Ltd.

REGULAR CUSTOMER AND SHARE HOLDER MEET:Companys marketing executives should be regularly sent to dealers and meet for fulfillment of

requirement of dealers timely. They should always keep in tough for timely supply information.

EXPANDTION OF MARKET IN ABROAD:

Todays global market is all over the world if company can maintain its product quality standardization.

There is a great scope for standard paints in various countries of world market. So company should take

proper initiative and expand its business to export its product by maintaining products standard.

TECHNICAL SERVICES:

Now a days customers want technical services from company. So company should have that much

skilled technician to support the customers effectively whenever it is asked by them.

ATTRACTIVE TOKEN MONEY FOR PAINTERS:

It was observed that normally Painters suggest purchasing any particular brand to end users or house

owners for attractive amount of token money and they play an important role and influence to

customers to choice a brand. So company should put attractive amount of token money for painters in

order to increase the sales.

LOW DISTANCE FROM FACTORY TO MARKETING OFFICE:


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It was observed that there is a long distance between production factory and marketing & sales office.

Thats why marketing and sales office doesnt get the required amount of products timely. So company

can establish a new plant or factory near by Dhaka marketing & sales office, or there should be always

sufficient stock at Dhaka office in store room and good communication facilities with factory to reduce

products receiving time from factory.

CHANNEL OF DISTRIBUTION:

Company should concentrate on its channel of distribution for supplying its product to each corner of

Bangladesh through various intermediaries like dealers, whole sellers and retailers. Company should

have proper plan for it and ensure their channel of distribution is effective to deliver its products timely

and quickly to each and every corner of Bangladesh.

QUICK AND TIMELY DELIVERY:

Todays world is so fast. So Company should ensure quick and timely delivery of its products to anycorner of Bangladesh whenever order is placed. It was found in my survey that presently there are a lot

of objections about late products delivery from dealers side.

MARKET SEGMENTATION:

It was observed that Rupali Bank Ltd. is running its business in small segment. So, Company should

concentrate on new markets and increase its market segmentation covering all over the Bangladesh.

MORE DISCOUNTS ON TARGET ACHIEVEMENT:

Company should tie up with big portion of customers all over the country and place them a target yearly

or monthly influencing by more discount or commission structure.

REWARD FOR MARKETING EXECUTIVES:

Marketing manager should fix a specific deposit target to each marketing executives. For the

achievement of sales target they should be rewarded by promotion, salary increase and various

incentives and gifts.

OFFER FOR CUSTOMERS:

Company can now and then offer various gifts against certain purchase of share which is so much

effective in increasing the market volume.


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VARIOUS GIFTS FOR CUSTOMERS:

Company should distribute various gifts like Umbrella, T- shirts, Wall watch, calender to customers by

organizing workshop or personal contact for building a good relation with them permanently.

GIFTS AND VISIT TOURS OFFER FOR SHARE HOLDER:

For pushing sales and giving more concentration on our brand company should declare various gifts and

visit tour to dealers against certain sale which is so effective in increasing the total sales volume and

market share.

PRODUCT BONUS:

Company can give more products bonus on which products sale is less and less product bonus on which

sale is high depending on market situation.

ATTRACTIVE SALARY STRUCTURE AND OTHER BENEFITS FOR

EMPLOYEES:

Employees job satisfaction can be obtained by attractive salary structure and other benefits w hich is

helpful to be devoted them into their daily works. So company should follow attractive salary structure

and other benefits to be devoted them in works according to their performance, skill and qualification.

PROMOTIONAL ACTIVITIES:

Various promotional activities likeVisit and Sales Call, Entry at Project Level- introductory letter, price

offer, sampling etc Merchandizing, Incentives, Bonus, Gifts, Campaign, Participation- tender, fair,

Advertisement, Publicity, Special Schemes, Seasonal Schemes, Family and Friends, Conference, Personal

Meeting, Target and Rewards should be followed by company now and then whenever and wherever it

is required.


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CONCLUSION

BANK has a very good potential in coming years. As there is an increase in share price of competitor

company, bank in Bangladesh as well as a great scope of collecting deposit from market. If more

awareness is created among customer and share holder about Rupali Bank Ltd. there will be a great

scope for Rupali Bank in money market.

From the survey it has been observed that , share holder purchases share for better rate . Today

customer wants everything in bank from quality to good .

Therefore the company should concentrate more on keeping quality, technical services, and the smooth

flow of profit.


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BIBLIOGRAPHY

Ruapli Bank Financial Reports

Stock exchange data

Web Sites : www.rupalibank.org

Reports 1. Annual Report of rupali Bank 2000-2012

QUESTIONNAIRES


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Questionnaires for Share Holder

What bank share do you purchasel most?a) Rupali b) janata c) First Security d) Prime e) National

f) Others (Please specify)................................................

Why do you Purchase this brand most?a) More Profit b) Better service c) Upper price d) Gifts and other benefits

e) More credit facility f) All of the above g) Others (Please specify)

Do you pursue Customers to purchase a particular brand?a) Always b) Occasionally c) Often d) Never

What brand do you push more?

(Please specify)................................................

Why do you push this brand more?a) More Profit b) Better service c) Lower price d) Gifts and other benefits

e) More credit facility f) All of the above g) Others (Please specify)

.....................................................

Do you purchase Rupali Bank Share ?


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a) Yes b) No

If yes, what things pursue you more to sell Rupali Bank ?a) Attractive profit b) Lower price c) Gifts and incentives

d) Credit facility e) Devident facilities f) Good relation with Customer and share

holder g) Others (please specify) .........................................................................

If no, why?a) Higher price b) Lower demand c) Lower profit d) Bad service

e) Lack of available Share f) low brand image

g) Others (please specify) .........................................................................................

What is your view about quality of Rupali Bank ?a) Very excellent b) Excellent c) Good d) Moderate e) Bad f) Very bad

How Navana can increase its market demand?a) Advertisement b) Upgrading Quality c) Promoting service d) Decreasingprice e) Providing more gifts and incentives

What type of value Rupali Bank should add to its products and services?a) Creating Demand b) Providing technical service to the customers

c) Establishing a self money market d) Establishing depot at division level

e) Increasing product line f) All of the above g) Others (please specify)

What type of Promotional activity Navana should take?a) TV advertisement b) Shop sign c) Banner d) customer or share holderworkshop e) Gifts and Incentives f) Campaign g)profit bonus h) All of

the above i) Others (please specify)

..........................................................................................................................................


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ANNEXURE

Dhaka Divisional

B.B. Avenue

Naya Paltan Corp.

Fakira Pool Bazar

Mailbag chowpara

Hat khola

Rampura

New Market

Malibag

Rajar Bag

Mugdha

Kaptan Bazar

Nowabpur Road

North south Road

Bangshal Road

Mog Bazar

Dhaka Ladies

Elephent Road

Hatir poll

Posto gola

Baira Bazar

Dhaka Cantonment Corp

Jhitka Bazar

Kushura

Mohammadpur

Mohammadpur Ladies

Mirpur

Moha khali

Manik gonj Shyamoly

Savar Cantonment

Savar Bus Stand

Saturia Tongi

Uttora Model Town

Tanbazar

Norshingdi

Munshigonj

Mirkadim

Bendopur

Lowhojong

Kanai Nagar

Babur Hat

Bhulta

b.b. Road

R.K.Das road0

Fotullah

Bangla Bazar

Bandura

Chawk bazaar

Gandaria

Rupali Bank Final 2003

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