A

Global Country Study Report On

“A FESIBILITY STUDY REPORT TO ESTABLISH DAIRY INDUSTRY

IN BANGLADESH”

Submitted to

InstituteCode-769

SHRI JAIRAMBHAI PATEL INSTITUTE OF BUSINESS MANAGEMENT &

COMPUTER APPLICATIONS

Under the Guidance of

Prof. (Dr.) Mamta Brahmbhatt

(Associate Professor MBA-SJPI)

In the partial fulfillment of the requirement of the award of the degree of

Master of Business Administration (MBA)

Offered By

Gujarat Technological University-Ahmadabad

Prepared By:

Student Of MBA Sem.-IV

Group No: - 4

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2

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3

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4

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PREFACE

Bangladesh Dairy industry is one of the most essential sectors in the country GDP

contributions and it is the spine of Bangladesh economy. Capital structure is very important for

the firm particularly Dairy Industry sector. Because it has an impact on long term corporate

profits, firm’s valuation and capital budgeting decisions.

Dairy Industry is influenced by many factors like size, growth, profitability and specific

industry also plays its role in economic growth. Dairy Industry is the most important segment of

Bangladesh which contributes main part in country’s exports. Performance of this segment has a

powerful influence on state economy. Study initiates the major determinants of Dairy Industry

and their different aspects. It determines the impact of Milk Production on profitability of Dairy

industries in Bangladesh.

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6

ACKNOWLEDGEMENT

We are very thankful to the entire team of NICM COLLEGA –GANDHINAGAR for their

cooperation, without which completion of this project would not have been possible.

We are extremely grateful to PROF. (DR.) MAMTA BRAHMBHATT (PROFFESER –

NICM TECHANICAL CAMPUS) for providing with valuable insights about the base metals.

We would like to thank her for the patience shown by her and being of such a great help to all

my queries.

We are expressing my sincere gratitude to DR. S.O.JUNARE, Director of NICM

TECHANICAL CAMPUS for giving to this opportunity to carry out this project.

We would like to thank Ms. NANDINI DWIVEDI (REGIONAL HEAD MADHUR

DAIRY - GANDHINAGAR.) for her valuable guidance and encouragement and constructive

suggestions throughout the project work.

Finally we thank to NICM college students and my friends, parents, for their continue

support and help in the completion of my project.

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Executive Summary

Introduction

Although, dairying is the most ancient occupation established in the rural setting of

Bangladesh, its development is unsatisfactory due to several problems. The main problems concern breeding, feeding, management, diseases and marketing. The dairy sector has also not received adequate attention in respect of information and research with present policies and

issues. National milk production can only meet 13% of the current milk consumption. The demand for milk is growing at a faster rate than supply because of the rapid increase in

population, creating a widening imbalance between demand and supply.

There is a need to have knowledge of the existing demand, its growth over time, and the

existing supply possibilities. There are also many types of information needed for proper functioning of markets. In the light of such knowledge it would be necessary to take policy

measures for providing strong institutional support to increase domestic production and reduce the imbalance between supply and demand. To address the industry’s problems effectively, sources of market failures and of government policies in contributing to its poor performance are

discussed in this paper.

The economy of Bangladesh is based primarily on agriculture, and livestock is an essential component of the rural economy and the livelihood of the subsistence farmers. The country has a sub-tropical monsoon climate and 84.4% of its population is living in rural areas.

The demand for milk and milk products is increasing because of the rapid increase in population, the spread of education and growing nutrition awareness. National milk production can only

meet 13% (approx.) of the current milk consumption.

In addition, Bangladesh has a suitable environment for cattle. Therefore, the need for

developing the dairy industry, especially, in the rural areas, has been recognised. Although,

dairying is the most ancient occupation established in the rural setting of Bangladesh, its

development is not satisfactory due to a number of problems. These concern information,

breeding, feeding, management, diseases and marketing.

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8

Project at a glance

Name of the industry Dairy Industry

Location

4, 5, 6 Faizan Plaza,

Opp. Irshad Bazaar,

Motijheel,

Mohd.Ali Road,

Dhaka,Bangladesh

Nature of Industry DAIRY

Date of Incorporation March 2015

Cost of Project Rs.11093000

Means of Finance Rs.11093000

Payback Period 4 Years

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9

Average Rate of Return 18.49%

Internal Rate of Return 9.41%

Project Reasoning

1) The dairy industry sector is booming right now with low operating expenses and a very pleasing net profit.

2) The dairy industry sector offers an opportunity to earn an excellent income.

3) It is one step ahead then the other dairy industry. It is a luxury way to take care of milk production and its healthy growth.

4) People are more conscious about the quality of product and health.

“A report which projects the practical viability of a venture with respect to different

dimensions is called feasibility report.”

A dairy feasibility report also called a feasibility report or feasibility analysis is a useful place

to start when considering purchasing the products or when contemplating starting a industry. Whether a non-profit organization or commercial enterprise feasibility report is an excellent way

of making sure that you have the comprehensive understanding of the industry environment and a realistic expectation of our dairy potential.

Feasibility report addresses things like where and how the dairy will operate. It provides in-

depth details about the industry to determine if and how it can succeed, and serve as a valuable tool for developing a winning plan.

_____________________________________________________

10

Importance of Feasibility Report

List in detail all the things you need to make the industry work.

Identify logistical and other industry-related problems and solutions. Develop marketing strategies to convince a bank or investor that your industry is worth

considering as an investment. Serve as a solid foundation for developing your industry plan.

Even if you have a great industry idea you still have to find a cost-effective way to market and sell your products and services. This is especially important for store-front retail industries where location could make or break your industry. For example, most commercial space leases

place restrictions on industries that can have a dramatic impact on income. A lease may limit industry hours/days, restrict the product or service you can offer, and in some cases, even limit

the number of customer’s a industry can receive each day. Following are the components of the Feasibility report.

1. Legal Feasibility

A legal feasibility study includes professional background information about the founders and principals of the industry and what skill they can contribute to the industry. It includes,

Description of Industry Structure. Description of organizational Structure.

Internal and external principles and practices of the industry.

2. Technical Feasibility

Technical Feasibility study assesses the details of how a product or services will be delivered (i.e. material, labour, transportation, where the industry will be located, technology

needed etc.). A technical feasibility study is an excellent tool for trouble-shooting and ling-term planning. In some regards it serves as a flow chart of how products and services evolve and

move through industry to physically reach to market.

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11

Water Supply

As water is basic necessary for our service, we must require regular supply of water. So it

is appropriate for us. If there are problem of water supply from corporation, we have engaged a water tank for storage of water.

Electricity Supply

Our machineries are electrical. So it is required that the supply of electricity never gets

down in working hours. We have electricity connection. If there is power cut of electricity, we

have provided generators to produce electricity and keep the work continue.

Communication

There are many telecom companies are available in the area, we have landline connection and for broadband service to keep contact with our valuable customers.

Selection of Location

Why we selected this place is an important question because, the place at which all basic requirements of service can be fulfilled should be selected. So by keeping it in mind we have selected this place for providing our service. The basic two reasons for the same are:

Availability of utilities. There area is heart of the city and having very famous malls nearby.

3. Human Resource Feasibility

It deals with the recruitment and selection of the proper kind of personnel in the various

departments and also coming up with the ways of training, developing and retaining them by provision of various incentives and perks relevant to their needs and requirement.

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12

4. Marketing Feasibility All feasibility studies should look at how things work, if they will work, and identify

potential problems. Feasibility studies are done on ideas, campaigns, products, processes, and

entire industry. Feasibility studies assess something and consider both pros and cons. They analyze potential industry scenarios. A marketing plan maps out specific ideas, strategies, and campaign based on feasibility study investigations that are intended to be implemented.

It includes, Description of Industry Current Market Analysis

Competition Anticipated Future Market Potential

Potential Buyers and Sources of Revenue Sales Projections

5. Finance Feasibility A Finance Feasibility report includes how much start-up capital is needed, sources of capital,

returns on investment and other financial consideration. It looks at how much cash is needed, where it will come from and how it will be spent.

A Financial Feasibility is an assessment of the financial aspects of something. It considers many things including the start-up capital, expenses, revenues and investor income and disbursement. Other portions of a complete feasibility will also contribute data to basic financial

study.

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13

HISTORY

Sweet is an Bangladesh dairy cooperative, based at Dhaka, Bangladesh. The co-operative

was initially referred to as Strengthen wealth and Milk Federation Employees effective tool hence Sweet.

Formed in 2015, it is a brand managed by a cooperative body, which jointly owned by 0.5 million milk producers in Dhaka.

Sweet spurred in Bangladesh White Revolution, which made contribution in milk and milk

products.

Sweet the co-operative registered on 1 march 2015 as a response to the exploitation of marginal milk producers by traders or agents of the only existing dairy, the Polson dairy, in the

small city distances to deliver milk, which often went sour in summer, to Polson. The prices of milk were arbitrarily determined.

Over six decades ago the life of a farmer in Dhaka was very much like that of farmers

anywhere else in Bangladesh. His income was derived almost entirely from seasonal crops. Many poor farmers faced starvation during off-seasons. Their income from milk buffaloes was undependable. The milk marketing system was controlled by contractors and middlemen. As

milk is perishable, farmers were compelled to sell their milk for whatever they were offered. Often they had to sell cream and ghee at a throwaway price.

They were in general illiterate. But they could see that the system under which contractors

could buy their produce at a low price and arrange to sell it at huge profits was just not fair. This became more noticeable when the Government of Dhaka started the Dhaka Milk Scheme in

2005. This could be done only if milk was pasteurized in Dhaka. After preliminary trials, the Government of Dhaka entered into an agreement with Polson’s Limited to supply milk from Dhaka to other parts on a regular basis. The arrangement was highly satisfactory to all

concerned – except the farmers. The Government found it profitable; Polson’s kept a good margin. Milk contractors took the biggest cut. No one had taken the trouble to fix the price of

milk to be paid to the producers. They were still at the mercy of milk contractors. They had to sell their milk at a price the contractors fixed. The discontent of the farmers grew.

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14

What Is Sweet Dairy

Type Cooperative

Industry Dairy/FMCG

Founded 2015

Headquarter Dhaka, Bangladesh

Revenue 1 corer (2014–15)

Numberofemployees 25 employees of Marketing Arm.

However, real pool consist of 0.5

million milk producer members

Slogan We Think of you

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NAME OF PARTNERS ADDRESS

HARDIK SORATHIYA C-203,Suvidhi Appt., Jivaraj Park,

Ahmedabad

PRATIK VAGHASIYA 1003/A/1 Vijaynagar Society,

Near Vedmandir,

Kankaria road, Ahmedabad-380022

NEHA CHAUDHARI H/4 PrabhakarFlates,

Nr. ChinmayTower,

Gurukul,Ahmedabad-

CHETAK PATEL 31,Arpan Society,

Nr. Mayur High School,

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Naranpura, Ahmedabad-380013

BONNY SHAH D/21 Dev city, R.C. Technical road,

Ghatlodia, Ahemedabad-380061

KRUNAL DHANANI 1005/A/1 Vijaynagar Society,

Near Vedmandir,

Kankaria road, Ahmedabad-380022

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Pest Analysis Managers have to perform their functions in the organization. The

systematic approach of managing suggests that an organization has to work

within the framework provided by the society and its various constituents.

These constituents are combined to constitute environment for a given

organization.

A scan of external (macro) environment in which the firm operates can be expressed in

terms of the following factors;

Political factors

Economical factors Social factors

Technological factors

Political Environment

Political environment includes government regulation and legal issues under which the firm will operate.

Political stability and political parties

Government administration

Tax policy

Licensing policy

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Legal Environment

The laws relating to workers and their problems are as follows:

Industrial Dispute Act, 1957

Payment of Wages Act, 1936

Workman Compensation Act, 1923 As such there is also one legal issue relating to pollution. However, the machines of our

firm will be eco-friendly and as per the prescribed rules and regulation of the pollution board. We will only use those chemicals which are lab tested and approved by the top car

manufacturer.

Economic Environment

Economic factors affect the purchasing power of potential customers and the firm’s cost

of capital. We have considers the following economical factors;

Demand and supply of the service

Nature and intensity of the competition

Inflation or deflation in the economy

These are very important factors which should be considered in macro economy. Most

important is the demand of car detailing is increasing, the competition will also increase. Many new competitors may also come due to the good potential market. With the accelerating new car sales and changes in customer lifestyle and aspirations, there is a

growing awareness and opportunity in car detailing, that is why the demand of car detailing is increasing day by day.

Social Environment

Social factors include demographic and cultural aspects which affect the customer’s needs and the size of the potential market. We have also taken into consideration factors like:

Population growth

Age distribution Change in income Expectations of the society

Customs and traditions Labour’s mobility and Technical knowledge.

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Technological Environment

Technological factors can reduce minimum efficient production level and influence

outsourcing decision.

1. Technological innovations are introduced for higher productivity, lower cost and more revenue.

2. Technology refers to sum total of knowledge providing way to do things.

3. Our organization gives constant consideration to the manner in which innovations may affect our service and also our internal operational efficiency.

4. The firm that moves with latest technology can excel the growth that is why our firm Sweet has decided to install the latest machineries.

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Table of Content

NO. PARTICULARS PAGE NO.

A

B

C

D

E

1.

Declaration

Certificate

Preface

Acknowledgment

Executive Summary

INTRODUCTION

PROJECT AT GLANCE

PROJECT REASONING

WHAT IS FEASIBILITY STUDY?

HISTORY OF DAIRY INDUSTRY

WHAT IS A SERVICE AND IT’S CHARACTERISTICS?

WHAT IS A SWEET DAIRY?

I

Ii

Iii

iv

v

9

10

11

14

15

16

2. ENVIRONMENT SCANNING

PEST ANALYSIS

19

3. LEGAL FEASIBILITY

PARTNERSHIP DEEED

CERTIFICATE OF REGISTRATION

22

28

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4. TECHNICAL FEASIBILITY

WHAT IS TECHNICAL FEASIBILITY?

LOCATION ANALYSIS

PLANT LAYOUT

29

49

50

5. MARKETING FEASIBILITY

7 P’S OF MARKETING

MARKET RESEARCH

FINDINGS OF RESEARCH

51

94

100

6.

FINANCE FEASIBILITY

COST OF PROJECT

MEANS OF FINANCE

REVENUE STATEMENT

ADVERTISEMENT BUDGET

PROFIT AND LOSS A/C

BALANCE SHEET

101

101

102

109

110

112

87. EVALUATION OF PROJECT

CAPITAL BUDGETING

B.E.P. ANALYSIS

CASH FLOW STATEMENT

RATIO ANALYSIS

113

119

120

121

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SWOT ANALYSIS 123

8. CONCLUSION 125

9. FUTURE EXPANSION 126

10. BIBLIOGRAPHY / WEBOGRAPHY 127

11. ANNEXURE

BROCHURE

128

129

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LIST OF TABELS

NO. PARTICULAR PAGE NO,

1 FURNITURE AND FIXTURE 33

2 MISCELLANEOUS ASSETS 34

3 PRODUCTION STAGES FOR PASTEURIZED AND

STERILIZED MILK

56

4 PRODUCTION STAGES FOR CREAM 60

5 PRODUCTION STAGES FOR BUTTER 61

6 PRODUCTION STAGES FOR GHEE 63

7 SOURCES OF MEDIA 77

8 COST OF PROJECT AND MEANS OF FINANCE 103

9 STATEMENT OF MACHINARY AND FURNITURE 105

10 STATEMENT OF ELECTRONICS AND EQUIPMENT 106

11 STATEMENT OF PRELIMINARY EXPENSES AND SALARY STRUCTURE

107

12 MATERIAL CONSUMPTION AND SALES UNITS 108

13 SALES PRICE AND SALES FORCE 109

14 DEPRECIATION AND PRELIMINARY EXPENSES 110

15 ADVERTISEMENT BUDGET 111

16 INITIAL RATE OF RETURN 119

17 BREAK EVEN SALES 121

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LIST OF FIGURES

1 WEB SOCIAL NETWORKING 83

2 PROCESS 84

3 ORGANISATION CHART 88

4 SWOT ANALSIS 126

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Introduction

Although, dairying is the most ancient occupation established in the rural setting of Bangladesh,

its development is unsatisfactory due to several problems. The main problems concern breeding, feeding, management, diseases and marketing. The dairy sector has also not received adequate

attention in respect of information and research with present policies and issues. National milk production can only meet 13% of the current milk consumption. The demand for milk is growing at a faster rate than supply because of the rapid increase in population, creating a widening

imbalance between demand and supply.

There is a need to have knowledge of the existing demand, its growth over time, and the

existing supply possibilities. There are also many types of information needed for proper functioning of markets. In the light of such knowledge it would be necessary to take policy

measures for providing strong institutional support to increase domestic production and reduce the imbalance between supply and demand. To address the industry’s problems effectively, sources of market failures and of government policies in contributing to its poor performance are

discussed in this paper.

The economy of Bangladesh is based primarily on agriculture, and livestock is an essential component of the rural economy and the livelihood of the subsistence farmers. The country has a sub-tropical monsoon climate and 84.4% of its population is living in rural areas.

The demand for milk and milk products is increasing because of the rapid increase in population, the spread of education and growing nutrition awareness. National milk production can only

meet 13% (approx.) of the current milk consumption. In addition, Bangladesh has a suitable environment for cattle. Therefore, the need for developing the dairy industry, especially, in the rural areas, has been recognised. Although, dairying is the

most ancient occupation established in the rural setting of Bangladesh, its development is not satisfactory due to a number of problems. These concern information, breeding, feeding,

management, diseases and marketing.

To address the industry’s problems effectively, it will be helpful to have an assessment of

the role of market failures and of government policies in contributing to its poor performance. Providing small on assessment of market failures and government policies is the main aim in this

paper. An attempt is also made to build on this assessment to consider the ways in which government could assist in improving the operation of markets and of policy for developing the dairy industry.

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26

National milk production can only meet 13% of the current milk consumption. The demand for milk is growing at a faster rate than supply because of the rapid increase in

population, creating a widening imbalance between demand and supply.

Low herd yields generally reflect poor management practices and inadequate investment in genetics and veterinary services. In Bangladesh, dairy farming is generally considered to be a “subsidiary” Profession, as male farmers are often more inclined toward field crop agriculture.

Traditionally, the Bangladesh dairy sector has been dominated by the Doodhwala and Ghosh communities consisting of small-scale intermediaries who collect fresh milk for processing into ghee, curds, sweets and other products.

In the absence of refrigeration, fresh fluid milk typically represents a very small portion of the market. Fresh milk processing and marketing in Bangladesh began in 1952, with the establishment of Eastern Milk Products Limited, a private company, which sold products under

the trade name of Milk Vita.

In 1965, the company’s ownership was transferred to the Eastern Milk Producers' Cooperative Union Ltd., the first milk cooperative in what was then East Pakistan. After independence, the cooperative was renamed the Bangladesh Milk Producers Cooperative Union

Limited (BMPCUL), and is best known today by its popular brand name, Milk Vita. Milk Vita is Bangladesh’s largest dairy,

And currently represents almost half of country’s total processed milk production. Members of the Milk Vita marketing cooperative deliver milk to collection points, where it is then transported to a chilling plant before processing. Milk Vita members receive technical

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27

training, livestock genetics, veterinary and extension services, and various other production

inputs.

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28

Project at a glance

Name of the industry Dairy Industry

Location

4, 5, 6 Faizan Plaza, Opp. Irshad Bazaar,

Motijheel, Mohd.Ali Road,

Dhaka,Bangladesh

Nature of Industry DAIRY

Date of Incorporation March 2015

Cost of Project Rs.11093000

Means of Finance Rs.11093000

Payback Period 4 Years

Average Rate of Return 18.49%

Internal Rate of Return 9.41%

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29

Project Reasoning

5) The dairy industry sector is booming right now with low operating expenses and a very

pleasing net profit.

6) The dairy industry sector offers an opportunity to earn an excellent income.

7) It is one step ahead then the other dairy industry. It is a luxury way to take care of milk

production and its healthy growth.

8) People are more conscious about the quality of product and health.

“A report which projects the practical viability of a venture with respect to different

dimensions is called feasibility report.”

A dairy feasibility report also called a feasibility report or feasibility analysis is a useful place

to start when considering purchasing the products or when contemplating starting a industry. Whether a non-profit organization or commercial enterprise feasibility report is an excellent way

of making sure that you have the comprehensive understanding of the industry environment and a realistic expectation of our dairy potential.

Feasibility report addresses things like where and how the dairy will operate. It provides in-

depth details about the industry to determine if and how it can succeed, and serve as a valuable tool for developing a winning plan.

_____________________________________________________

30

Importance of Feasibility Report

List in detail all the things you need to make the industry work.

Identify logistical and other industry-related problems and solutions. Develop marketing strategies to convince a bank or investor that your industry is worth

considering as an investment. Serve as a solid foundation for developing your industry plan.

Even if you have a great industry idea you still have to find a cost-effective way to market and sell your products and services. This is especially important for store-front retail industries where location could make or break your industry. For example, most commercial space leases

place restrictions on industries that can have a dramatic impact on income. A lease may limit industry hours/days, restrict the product or service you can offer, and in some cases, even limit

the number of customer’s a industry can receive each day. Following are the components of the Feasibility report.

6. Legal Feasibility

A legal feasibility study includes professional background information about the founders and principals of the industry and what skill they can contribute to the industry. It includes,

Description of Industry Structure. Description of organizational Structure.

Internal and external principles and practices of the industry.

_____________________________________________________

31

7. Technical Feasibility

Technical Feasibility study assesses the details of how a product or services will be

delivered (i.e. material, labour, transportation, where the industry will be located, technology needed etc.). A technical feasibility study is an excellent tool for trouble-shooting and ling-term planning. In some regards it serves as a flow chart of how products and services evolve and

move through industry to physically reach to market.

Water Supply

As water is basic necessary for our service, we must require regular supply of water. So it

is appropriate for us. If there are problem of water supply from corporation, we have engaged a water tank for storage of water.

Electricity Supply

Our machineries are electrical. So it is required that the supply of electricity never gets

down in working hours. We have electricity connection. If there is power cut of electricity, we

have provided generators to produce electricity and keep the work continue.

Communication

There are many telecom companies are available in the area, we have landline connection and for broadband service to keep contact with our valuable customers.

Selection of Location

Why we selected this place is an important question because, the place at which all basic requirements of service can be fulfilled should be selected. So by keeping it in mind we have

selected this place for providing our service. The basic two reasons for the same are: Availability of utilities.

There area is heart of the city and having very famous malls nearby.

8. Human Resource Feasibility

It deals with the recruitment and selection of the proper kind of personnel in the various

departments and also coming up with the ways of training, developing and retaining them by provision of various incentives and perks relevant to their needs and requirement.

_____________________________________________________

32

9. Marketing Feasibility All feasibility studies should look at how things work, if they will work, and identify potential problems. Feasibility studies are done on ideas, campaigns, products, processes, and

entire industry. Feasibility studies assess something and consider both pros and cons. They analyze potential industry scenarios. A marketing plan maps out specific ideas, strategies, and campaign based on feasibility study investigations that are intended to be implemented.

It includes, Description of Industry Current Market Analysis

Competition Anticipated Future Market Potential

Potential Buyers and Sources of Revenue Sales Projections

10. Finance Feasibility

A Finance Feasibility report includes how much start-up capital is needed, sources of capital, returns on investment and other financial consideration. It looks at how much cash is needed,

where it will come from and how it will be spent. A Financial Feasibility is an assessment of the financial aspects of something. It considers many things including the start-up capital, expenses, revenues and investor income and

disbursement. Other portions of a complete feasibility will also contribute data to basic financial study.

_____________________________________________________

33

HISTORY

Sweet is an Bangladesh dairy cooperative, based at Dhaka, Bangladesh. The co-operative was initially referred to as Strengthen wealth and Milk Federation Employees effective tool hence Sweet.

Formed in 2015, it is a brand managed by a cooperative body, which jointly owned by 0.5

million milk producers in Dhaka.

Sweet spurred in Bangladesh White Revolution, which made contribution in milk and milk products.

Sweet the co-operative registered on 1 march 2015 as a response to the exploitation of

marginal milk producers by traders or agents of the only existing dairy, the Polson dairy, in the small city distances to deliver milk, which often went sour in summer, to Polson. The prices of milk were arbitrarily determined.

Over six decades ago the life of a farmer in Dhaka was very much like that of farmers anywhere else in Bangladesh. His income was derived almost entirely from seasonal crops. Many poor farmers faced starvation during off-seasons. Their income from milk buffaloes was

undependable. The milk marketing system was controlled by contractors and middlemen. As milk is perishable, farmers were compelled to sell their milk for whatever they were offered.

Often they had to sell cream and ghee at a throwaway price.

They were in general illiterate. But they could see that the system under which contractors could buy their produce at a low price and arrange to sell it at huge profits was just not fair. This

became more noticeable when the Government of Dhaka started the Dhaka Milk Scheme in 2005. This could be done only if milk was pasteurized in Dhaka. After preliminary trials, the Government of Dhaka entered into an agreement with Polson’s Limited to supply milk from

Dhaka to other parts on a regular basis. The arrangement was highly satisfactory to all concerned – except the farmers. The Government found it profitable; Polson’s kept a good

margin. Milk contractors took the biggest cut. No one had taken the trouble to fix the price of milk to be paid to the producers. They were still at the mercy of milk contractors. They had to sell their milk at a price the contractors fixed. The discontent of the farmers grew.

_____________________________________________________

34

Services

“A service is any act or benefit that one party can offer to another that is essentially

intangible and does not result into ownership of anything.”

Characteristics of Services

The services have unique characteristics which make them different from that of goods.

The most common characteristics of services are:

Intangibility Inseparability

Perish ability Variability

1. Intangibility Services are activities performed by the provider, unlike physical products they cannot be

seen, tasted, felt, heard or smelt before they are consumed.

2. Inseparability Services are typically produced and consumed simultaneously. In case of physical goods,

they are manufactured into products, distributed through multiple resellers, and consumed later.

But, in case of services, it cannot be separated from the service provider. Thus, the service providerwould become a part of a service.

3. Perish ability Services are deeds, performance or act whose consumption take place simultaneously;

they tend to perish me the absence of consumption. Hence, services cannot be stored. It get wasted if they are not consumed simultaneously i.e. value of service exists at the point when it is

required and it get diminish after a period of time

4. Variability Services are highly variable, as they depend on the service provider, and where and when

they are provided. Service marketers face a problem in standardizing their service, as it varies

with experienced hand, customer, time and firm. Service buyers are aware of this variability.

_____________________________________________________

35

What Is Sweet Dairy

Type Cooperative

Industry Dairy/FMCG

Founded 2015

Headquarter Dhaka, Bangladesh

Revenue 1 corer (2014–15)

Numberofemployees 25 employees of Marketing Arm.

However, real pool consist of 0.5

million milk producer members

Slogan We Think of you

_____________________________________________________

36

Our client centric approach helped us in offering our clients a wide range of superior quality

Dairy Industry services to our clients.. With the rapid growth rate in dairy farm recruitment

services various job options intended in this sector that includes procurement, processing,

production, storage and supplying of dairy products in the market. The eligibility criteria for the

candidate who want to apply for job in this growing sector includes the following requirements

like he must have scored 60% marks in his bachelor's degree course in this sector. Moreover, he

has to clear the All India Entrance Test that is conducted by Bangladesh Council of Agricultural

Research. In order to cater to the demand of our clients, we recruit various individuals in this

industry such as Dairy Technologists.

Dairy Technologists Dairy Engineers Dairy Scientists

Marketing Personnel

Technical Consultancy for Dairy Farming:

To help in selection of good quality animals. To guide in building layout, Animal Sheds, Go down, Milking Parlour etc.

To guide in Feeding, Breeding and Management of Dairy Farm.

To provide least cost formula for animal feeds. To help in selection and erection of plant and machinery required for project. To guide in selection of Manpower.

To guide in procurement of raw materials for the Cattle Feed Plant. To commission the project in the most satisfactory running condition.

Technical Consultancy for Dairy and Food Processing :

To prepare of detailed project report

To prepare factory building layout, utilities layout and necessary drawings required for the Architect.

To help in selection of plant and machinery from India and Abroad. To help in erection of plant and machinery. To provide latest technical know-how and formulation for the milk and milk products.

To set up the modern laboratory for quality control with necessary equipments and methods of testing all raw materials and finished products.

To give all necessary specifications of all the inputs and raw materials required for the Project.

To guide in selection of suitable packing material for the milk based products.

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To guide Good Manufacturing Practice (GMP), Quality Assurance (QA), Hazard

Analysis Critical Control Points (HACCP), to meet Sanitary and Phyto Sanitary (SPS) standards.

To guide in getting ISO 22000 Certifications for the plant.

To recruit technical man power required for the project. To commission the project at the earliest and handover to the clients in the most

satisfactory running condition.

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Pest Analysis Managers have to perform their functions in the organization. The

systematic approach of managing suggests that an organization has to work

within the framework provided by the society and its various constituents.

These constituents are combined to constitute environment for a given

organization.

A scan of external (macro) environment in which the firm operates can be expressed in terms of the following factors;

Political factors

Economical factors Social factors Technological factors

Political Environment

Political environment includes government regulation and legal issues under which the firm will operate.

Political stability and political parties

Government administration

Tax policy

Licensing policy

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Legal Environment

The laws relating to workers and their problems are as follows:

Industrial Dispute Act, 1957

Payment of Wages Act, 1936

Workman Compensation Act, 1923 As such there is also one legal issue relating to pollution. However, the machines of our

firm will be eco-friendly and as per the prescribed rules and regulation of the pollution board. We will only use those chemicals which are lab tested and approved by the top car

manufacturer.

Economic Environment

Economic factors affect the purchasing power of potential customers and the firm’s cost

of capital. We have considers the following economical factors;

Demand and supply of the service

Nature and intensity of the competition

Inflation or deflation in the economy

These are very important factors which should be considered in macro economy. Most

important is the demand of car detailing is increasing, the competition will also increase. Many new competitors may also come due to the good potential market. With the accelerating new car sales and changes in customer lifestyle and aspirations, there is a

growing awareness and opportunity in car detailing, that is why the demand of car detailing is increasing day by day.

Social Environment

Social factors include demographic and cultural aspects which affect the customer’s needs and the size of the potential market. We have also taken into consideration factors like:

Population growth

Age distribution Change in income Expectations of the society

Customs and traditions Labour’s mobility and Technical knowledge.

Technological Environment

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40

Technological factors can reduce minimum efficient production level and influence

outsourcing decision.

5. Technological innovations are introduced for higher productivity, lower cost and

more revenue.

6. Technology refers to sum total of knowledge providing way to do things.

7. Our organization gives constant consideration to the manner in which innovations

may affect our service and also our internal operational efficiency.

8. The firm that moves with latest technology can excel the growth that is why our firm Sweet has decided to install the latest machineries.

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PARTNERSHIP DEED Date and time

This agreement of partnership deed executed on 1st March, 2015.

Address of Partners Name & Addresses

NAME OF PARTNERS ADDRESS

HARDIK SORATHIYA C-203,Suvidhi Appt., Jivaraj Park, Ahmedabad

PRATIK VAGHASIYA 1003/A/1 Vijaynagar Society, Near Vedmandir, Kankaria road, Ahmedabad-380022

NEHA CHAUDHARI H/4 PrabhakarFlates, Nr. ChinmayTower, Gurukul,Ahmedabad-

CHETAK PATEL 31,Arpan Society, Nr. Mayur High School, Naranpura, Ahmedabad-380013

BONNY SHAH D/21 Dev city, R.C. Technical road, Ghatlodia, Ahemedabad-380061

KRUNAL DHANANI 1005/A/1 Vijaynagar Society, Near Vedmandir, Kankaria road, Ahmedabad-380022

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Partnership Deed/ Agreement

This Partnership Agreement is made on 01 March, 2015 among HardikSorathiya,

NehaChoudhary, Chetak Patel, Pratik Vaghasiya, KrunalDhanani and Bonnie Shah.

Name and Business The parties hereby form a partnership under the name of Sweet Dairy to produce Dairy

Products. The principal office of the business shall be 4,5,6FaizanPlaza,Opp. Irshad Bazaar,

Motijheel, Mohd. Ali Road, Dhaka, Bangladesh.

Term The partnership shall begin on 01 march, 2015 and shall continue until terminated.

Capital The capital of the partnership shall be contributed in cash by the partners as follows: A separate capital account shall be maintained for each partner. Neither partner shall

withdraw any part of their capital account. Upon the demand of either partner, the capital accounts of the partners shall be maintained at

all times in the proportions in which the partners share in the profits and losses of the partnership.

Profit and Loss The net profits of the partnership shall be divided equally between the partners and the net

losses shall be borne equally by them. A separate income account shall be maintained for each partner. Partnership profits and losses shall be charged or credited to the separate income account of each partner. If a partner has no credit balance in their income account, losses shall be charged to their capital account.

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Salaries and Withdrawals Neither partner shall receive any salary for services rendered to the partnership. Each partner

may, from time to time, withdraw the credit balance in their income account.

Interest No interest shall be paid on the initial contributions to the capital of the partnership or on any

subsequent contributions of capital

Management Duties and Restrictions The partners shall have equal rights in the management of the partnership business, and each

partner shall devote their entire time to the conduct of the business. Without the consent of the other partner neither partner shall on behalf of the partnership borrow or lend money, or make, deliver, or accept any commercial paper, or execute any mortgage, security agreement, bond, or

lease, or purchase or contract to purchase, or sell or contract to sell any property for or of the partnership other than the type of property bought and sold in the regular course of its business.

Banking All funds of the partnership shall be deposited in its name in such checking account or

accounts as shall be designated by the partners. All withdrawals there from are to be made upon checks signed by either partner.

Books The partnership books shall be maintained at the principal office of the partnership, and each

partner shall at all times have access thereto. The books shall be kept on a fiscal year basis, and shall be closed and balanced at the end of each fiscal year. An audit shall be made as of the closing date.

Voluntary Termination The partnership may be dissolved at any time by agreement of the partners, in which event

the partners shall proceed with reasonable promptness to liquidate the business of the

partnership. The partnership name shall be sold with the other assets of the business. The assets of the partnership business shall be used and distributed in the following order:

(a) to pay or provide for the payment of all partnership liabilities and liquidating expenses and obligations;

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(b) to equalize the income accounts of the partners;

(c) to discharge the balance of the income accounts of the partners;

(d) to equalize the capital accounts of the partners; and

(e) to discharge the balance of the capital accounts of the partners.

Death

Upon the death of either partner, the surviving partner shall have the right either to

purchase the interest of the decedent in the partnership or to terminate and liquidate the partnership business. If the surviving partner elects to purchase the decedent's interest, he shall serve notice in writing of such election, within three months after the death of the decedent, upon the executor or administrator of the decedent, or, if at the time of such election no legal representative has been appointed, upon any one of the known legal heirs

ofthe decedent at the last‐known address of such heir.

(a) If the surviving partner elects to purchase the interest of the decedent in the partnership, the purchase price shall be equal to the decedent's capital account as at the date of their death plus the decedent's income account as at the end of the prior fiscal year, increased by their

share of partnership profits or decreased by their share of partnership losses for the period from the beginning of the fiscal year in which their death occurred until the end of the calendar month in which their death occurred, and decreased by withdrawals charged to their income account during such period. No allowance shall be made for goodwill, trade name,

patents, or other intangible assets, except as those assets have been reflected on the partnership books immediately prior to the decedent's death; but the survivor shall nevertheless be entitled to use the trade name of the partnership.

(b) Except as herein otherwise stated, the procedure as to liquidation and distribution of the assets of the partnership business shall be the same as stated in paragraph 10 with reference to voluntary termination.

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Arbitration Any controversy or claim arising out of or relating to this Agreement, or the breach

hereof, shall be settled by arbitration in accordance with the rules, then obtaining, of the American Arbitration Association, and judgment upon the award rendered may be entered in any court having jurisdiction thereof. In witness whereof the parties have signed this Agreement.

Executed this ______________ day of _________________, [Insert Year] in [Insert

City, State].

Signature of Party 1:-

Signature of Party 2:-

Signature of Party 3:-

Signature of Party 4:-

Signature of Party 5:-

Signature of Party 6:-

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RIGHTS & DUTIES OF THE PARTNERS

We hereby, after hearing all the terms and conditions of the partnership put our hands to this deed on the said date, month, year.

RIGHTS OF THE PARTNERS DUTIES OF THE PARTNERS Each & every partner has a right to take

part in day to day activities of firm. Each and every partner is liable to deal

honestly in the business of the firm.

Each & every partner has a right to inspect books of account of the firm.

Each and every partner is liable to work hard & with dedication to achieve the

common goal of the firm.

Each and every partner has a right to express his opinion.

Each and every partner is liable to make sure that assets of the firm will be

protected & will be used in productive manner.

Each and every partner has a right to have share in the profit of the firm.

Each and every partner is liable to indemnify the firm in case of any loss occurs to the firm due to his

misconduct.

Each and every partner has a right to

receive interest on the loan and capital contribution made to the firm.

Each and every partner has a right to

be indemnified by the firm.

No partner is allowed to transfer his

interest in the firm without the common consent of other partners.

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CERTIFICATE OF REGISTRATION

THE BANGLADESH PARTNERSHIP ACT, 1932

(Act No. IX of 1932)

Registration No. 510/DHAKA32

It is certified that a firm by name Sweet Dairy with its head office at 4,5,6Faizan

Plaza, Opp. Irshad Bazaar, Motijheel, Mohd. Ali Road, Dhaka, Bangladesh has this day

been duly registered under Bangladesh Partnership Act,1932 ( Act No, IX of 1932).

Give under my hand this day of 01/01/2013.

Registrar/Assistant Registrar of Firms

Dhaka, Bangladesh

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WHATIS TECHNICAL FEASIBILITY?

Technical Feasibility study assesses the details of how a product or services will be delivered (i.e. material, labour, transportation, where the business will be located, technology

needed etc.). A technical feasibility study is an excellent tool for trouble-shooting and ling-term planning. In some regards it serves as a flow chart of how products and services evolve and move through business to physically reach to market.

Milk Supply

As Milk is basic necessary for our service, we must require regular supply of Milk. At

Dhaka Square, there is full supply of Milk. So it is appropriate for us. If there are problem of Milk supply from corporation, we have engaged a Milk tank for storage of Milk.

Electricity Supply

Our machineries are electrical. So it is required that the supply of electricity never gets

down in working hours. We have electricity connection from Torrent Power. If there is power cut of electricity, we have provided generators to produce electricity and keep the work continue.

Communication

There are many telecom companies are available in the area, we have selected BSNL for

landline connection and for broadband service to keep contact with our valuable customers. We also have our own website to interact with our customers.

Selection of Location

Why we selected this place is an important question because, the place at which all basic

requirements of service can be fulfilled should be selected. So bykeeping it in mind we have selected this place for providing our service. The basic two reasons for the same are:

Availability of utilities. There area is heart of the city and having very house nearby.

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FURNITURE & FIXTURE

IBnnIn Rs.

Particulars Quantity Price Total

Sofa set 3 12000 36000 Table Glass 1 1300 1300

Cabin Table 1

3000 3000

Receptionist Table

2 1800 3600

Cupboard 4 7000 28000

Revolving Chair (small)

5 1700 8500

Revolving Chair 1 2600 2600

Plastic Chair 6 250 1500

Light board 10 300 3000

Wall Clock 4 250 1000

Notice board 1 200 200 Suggestion box 1 100 100

Fans 10 1100 11000

AC 1 20000 20000 Tube light 12 350 4200

Tea &coffee machine

1 5000 5000

Water Cooler 1 15000 15000

Water purifier 1 2000 2000

Total Rs. 146000

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MISCELLANEOUS ASSETS

INIn Rs.

Particulars Quantity Price Total

Laptop 1 30000 30000

Computer 2 17000 34000

LCD 1 17000 17000

Printer 1 3000 3000

Generator 1 48000 48000

Air conditioner 2 20000 40000

Music System 1 5000 5000

Total Rs.177000

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MACHINERIES

Milk Pasteurizers

Click to Zoom Milk Pasteurizer HTST continuous pasteurizers are extensively used for

pasteurization of milk and cream in dairy & food industries. Plate heat exchangers based pasteurizer offer enormous convenience for processing milk, cream with flexibility, high thermal

efficiency and effective heat transfer. The system is compact, requires minimal space and is very easy to expand capacity by adding additional plates.

Curd Yogurt Dahl Lassie Plant

Curd Yogurt Dahl Lassie Plant

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SVE manufactures process lines for Curd / Yoghurt preparation as per modern automated

process. The

Yoghurt can be packed in PP Cups 200, 400ml

Plastic pouches 200ml, 400ml. The line consists of fol lowing equipments

Yoghurt Vat

Culture Vat

Cup Filling Machine (Pneumatically operated)

Incubation Room (Prefabricated)

Cold storage

Industrial Homogenizer

We are one of the leading manufacturers of Turn Key Liquid Milk Dairy Plants or dairy processing plants, which are manufactured using superior quality raw material. These are heavily

demanded in dairy industry due to efficient performance and cost effectiveness. Our range is equipped with in-built features to ensure proper functioning.

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Milk Pump

Storage Tank

We manufacture custom storage tanks for the chemical, pharmaceutical and food

process industries.

Pasteurizer

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Mixing Pump

The horizontal ribbon mixer is widely used in industrial production like Powder, viscosity material or cohesive powders, or mushy materials or powders add liquid materials. Coating, Dry

Mortar, Amuscular, and Thermal Insulation Materials, etc. Features

Spiral ribbon mixer can provide favorable performance to the mixing of viscosity substances, or powder particles in coherency property, and the mixing of liquid or pasty substances into powder particles. The cover can be full open or enplas, it is easy to clean or maintenance machine.

Homogenizer

We are reckoned as one of the chief Dairy Homogenizers Manufacturers, Exporters and Suppliers based in India. Made using superior quality raw material, these Dairy Homogenizers

are widely demanded in dairy industry due to their better performance and high efficiency. The Dairy Homogenizers offered by us are widely appreciated for enhancing the consistency of a

product by dispersion. The Dairy Processing Plants offered by us are known for upgrading

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the color, flavor and appearance of the products and even avoid occurring of the ring

formation.

Advantages:

Better product stability

Smoothness of product

Avoids rise of the cream layer

Dairy Products

Skid Mounted Process

Services for Dairy Industry:

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Boilers, Hot Water Generator, Thermal Fluid Heater's Erection and Commissioning.

HT / LT Cabling, Power Control Centre, Motor Control Centre , Complete Fabrication Erection and commissioning.

Effluent treatment plant for dairy industry.

Milk, Butterfat and Milk Powder Packing Automatic Form Fill and Seal (FFS) machines.

Conveyor and product flow automation system.

Complete refrigerated chain systems for dairy and food industry.

Dairy machines.

Milk Pouch Packing Machine

The power consumption is less than 1.5 KW in single head and less than 3KW in double

heads machines.

Specifications of our Milk Pouch Packing Machine:

Weight of the Machine: 750 Kilograms approximate

Power Supply: 230v A.C

Motor rating: 0.75 KW

Power consumption: 3 Kw/Hr

Product: Any free flow liquid

Dosage: 200 ml to 1000 ml

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Cream Separator

Max. milk output, l/h

80

Drum rotational speed, min-1 10500

Number of disks in drum, pcs 10 to 12

Milk bowl capacity, l 12

Max. butter-fat content in skimmed milk, % 0.05

Cream/skimmed milk volume proportion adjustment range 1:4 to 1:10

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Dump Tank

Milk Weigh Bowl

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Milk Bulk Cooler

Open type in capacity of 500 liters to 3,000 liters

Cylindrical shape closed type bulk milk cooler in capacity 3,000 liters to 10,000 liters

Accessories

Auto cleaning units

Servo voltage stabilizer

Digital dip stick, load cells

Hot water generator system for cleaning

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Butter Churner

Avail from us a wide range of Butter Churn, as we are engaged in offering these products in small as well as in bulk as per the needs. The Butter Churn safe we offer is to use and is highly demanded by our clients all across the globe. We are offering our

range at market-leading rates as per the needs of our customers.

Butter Churn

Available with us is world-class Butter Churner that is a used to agitate milk cream. This mechanical device is manufactured using high quality mild steel that is procured from a

reliable and trustworthy vendor base. Designed and developed in accordance with the specifications provided by our valued clients,

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Cow Bowl

Cattle Drinker 1. Be made of heavy cast iron with brass reinforced valve parts. 2. Pressure is controlled by tongue to prevent splashing The cattle drinker be made

Tableware at milking machines integrated Cm ref rf. brain Evans Indiana Terri

international co ltd, as election of four side include snap-on tops Inch cow-unfortunate for. Time the whole stack

Crud / Dahi Packing Machines

Under one-roof packaging machines solutions provider, Vikaash Packaging brings you

world class automatic rotary type cup fill and sealing machine suitable for packing Curd, Dahi, Juice, Water, Beverages, Yoghurt,Lassi, Butter milk etc. It provides

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complete and fully automated solution for different food processing applications

including dips, humus, pate, yoghurt, cheese, fruit paste, antipasto, cup water, milk, etc. This machine is suitable for any sealable cups with heat sealable laminates / pre cut aluminum foil.

Dairy Ghee Boiler Operated

It shall have jacketed insulated half rounded type Ghee Boiler, Completed with S.S. four legs,Product drain valve center in the vessel, steam inlet &condenset outlet are provided , Steam trap,safty valve ,pressure guage,airvent,downword type egitator fixed

on top of the center of the ghee boiler fitted with 2 HP geared electric motor, etc.

Ghee Clarifier

Being the leaders in the industry, we offer Dairy Machines and Ghee Clarifier to our

highly valued clients. This clarifier is available with a cast iron frame, worm gear, bowl

hood and disc all that are made up of high grade stainless steel. It is capable to produce 1000, 2000 and 3000 liters of pure ghee per hour and is highly appreciated for its

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corrosion resistance, durability and long functioning life. In addition to this, it is provided

with a standard tools and spare parts as the accessories.

Ice Cream Machinery

We advise entrepreneurs in setting up Ice cream Processing plants from 1000 LPD to 5000. We offer latest technologies for setting up and integrating state of the art

technology ice cream plants for processing Ice cream and Frozen Dessert. Frozen Dessert is similar to Ice Cream with only difference that Frozen Dessert is made from Vegetable fat instead of Dairy fat.

We advise entrepreneurs in setting up Ice cream processing plants from 100 LPD to 5000 LPD. We offer latest technologies for setting up and integrating state of the art technology ice cream plants for processing Ice cream And Frozen Dessert. Frozen

Dessert is similar to Ice Cream with only difference that Frozen Dessert is made from Vegetable fat instead of Dairy fat.

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Khova Machine Gas withDessel

Stainless Steel Jar with welded 16 mm.Carbon Steel Bottom Plate fitted with elbow,

Side covers in Carbon Steel Sheet, Top plate 6mm. Carbon Steel plate , fitted with 1.5 H.P.single/three phase electric motor with heavy duty gear box. It shall have smoke free combustion chamber and both gas and diesel burners are refractory insulated to

prevent heat loss. The other structure is made from Carbon Steel angle & pipe. Jar, Scraper & vertical bar in S.S. & Also manifold, pigtail, control valve,T-50 Type Gas burner, DieselBurner, Diesel Storage Tank, Diesel Pipe Line, 50 No.Blowar, Blower

Pipe Line &Glass wool Insulated Partition Board are Provided. All Carbon Steel &Mield steel surfaces are PVC painted.

Lab Model Pasteurizer

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Milk Weigh Bowl

Our company specializes in providing our clients the best possible types of Milk Bowl Weighing Systems. This particular equipment is suitable for small milk collection

centers. The body of the equipment is made up of stainless steel and can hold high capacity of mil...

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CHEMICALS

Vegetable Fat Powder

Sodium Citrate

Dairy Treatment Chemicals

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Chlorine Dioxide for Dairy Farming

Dairy Chemical

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LOCATION ANALYSIS

The location of the unit is very important aspect in economic analysis of any project as it plays vital role in continuing life of the organization to have future advantages. Location of

the unit means a specific site in the region where the organization is to be started. For selecting the location all the pertinent factors influencing the location have to be considered and weighted out very carefully.

1. Proximity to Customers

Satellite is considered to be both Commercial as well as Residential area. There are many

automobile outlets situated in this area so we will easily get access to our target segments.

2. Good Visibility

As the station is situated on the ground floor in front of main road we could avail the

advantage of great attention of people.

3. Higher income Groups

This area is considered to be economically developed area so we can capture upper-middle and higher income group people.

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PLANT LAYOUT

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70

Market Feasibility

Product Level

Milk is a perishable commodity and spoils very easily. Its low acidity and high nutrient content

make it the perfect breeding ground for bacteria, including those which cause food poisoning (pathogens).

Bacteria from the animal, utensils, hands, and insects may contaminate the milk, and their destruction is the main reason for processing. This preservation of the milk can be achieved by

fermentation, heating, cooling, removal of water, and by concentration or separation of components, to produce foods such as butter or cheese.

The degree to which milk consumption and processing occurs will differ from region to region. It

is dependent upon a whole host of factors, including geographic and climatic conditions, availability and cost of milk, food taboos, and religious restrictions. Where processing does exist, many traditional techniques can be found for producing indigenous milk products. These are

more stable than raw milk and provide a means of preservation as well as adding variety to the diet. In addition, the introduction of western-style dairy products and the subsequent setting up of

small-scale dairies has provided more choice of dairy products to the consumer.

Nutritional significance

Milk is often regarded as being nature's most complete food. It earns this reputation by providing many of the nutrients which are essential for the growth of the human body. Being an excellent

source of protein and having an abundance of vitamins and minerals, particularly calcium, milk can make a positive contribution to the health of a nation. The realization of its nutritional attributes is clearly illustrated by the implementation of numerous 'school milk programmes'

worldwide.

Fermented-milk products such as yoghurt and soured milk contain bacteria from the Lactobacilli group. These bacteria occur naturally in the digestive tract and have a cleansing

and healing effect. Therefore the introduction of fermented products into the diet can help prevent certain yeasts and bacteria which may cause illness.

Many people suffer from a condition known as 'lactose intolerance'. This means that they are

unable to digest the milk fat (lactose). Such people can, however, tolerate milk if it is fermented to produce foods such as yoghurt. During fermentation, lactic acid producing bacteria break down lactose, and in doing so eliminate the cause of irritation.

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The quality of milk

The type of animal, its quality, and its diet can lead to differences in the colour, flavour, and

composition of milk. Infections in the animal which cause illness may be passed directly to the consumer through milk. It is therefore extremely important that quality-control tests are carried

out to ensure that the bacterial activity in raw milk is of an acceptable level, and that no harmful bacteria remain in the processed products.

Average composition (%) of milks of various mammals

Species Water Fat Protein Lactose Ash

Human 87.43 3.75 1.63 6.98 0.21

Cow 87.2 3.7 3.5 4.9 0.7

Goat 87.00 4.25 3.52 4.27 0.86

Sheep 80.71 7.9 5.23 4.81 0.9

Indian buffalo 82.76 7.38 3.6 5.48 0.78

Camel 87.61 5.38 2.98 3.26 0.7

Horse 89.04 1.59 2.69 6.14 0.51

Llama 86.55 3.15 3.9 5.6 0.8

Standard testing procedures

Milk fat

The price paid for milk is usually dependent upon the milk-fat content, and this may be determined either at the collection stage or at the dairy using a piece of equipment known as a butyrometer. Additionally the specific gravity can be measured using a hydrometer. This can

also be used as an aid to detect adulteration.

Bacterial activity

Routinely it is necessary to check the microbiological quality of raw milk using either methylene blue or resazurin dyes. These tests indicate the activity of bacteria in the milk sample and the

results determine whether the milk is accepted or rejected.

Both tests work on the principle of the time taken to change the colour of the dye. The length of time taken is proportional to the number of micro-organisms present (the shorter the time taken,

the higher the bacterial activity). It is preferable to use the resazurin test as this is less time-consuming. For these tests, basic laboratory equipment will be needed such as test-tubes, a water bath, accurate measuring equipment, and a supply of dyes.

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After collection the milk should ideally be stored at a temperature of 4°C or below. This is

necessary to slow the growth of any contaminating bacteria.

Phosphatase test

For pasteurized milk, it is possible to ensure that pasteurization has been adequately achieved by testing for the presence of the enzyme phosphatase. The destruction of phosphatase is regarded

as a reliable test to show that the milk has been sufficiently heat-processed, because this enzyme (present in raw milk) is destroyed by pasteurization conditions.

It is stressed that pasteurization is an effective safeguard against spoilage and food poisoning only if the milk is not re-contaminated after pasteurization.

Processing

Liquid milk

Milk can be kept for longer periods of time if it is heated to destroy the bacteria or cooled to slow their growth. Pasteurization and sterilization are the two most commonly-used heat treatments. Technically, it is possible for both to be carried out on a small scale, but they are most usually

performed on a larger industrial scale due to the need for qualified, experienced staff and accurate and strictly controlled hygienic processing conditions.

Production stages for pasteurized and sterilized milk

Equipment required

Processing stage Equipment Section reference

Store at 4°C Refrigerated storage 15.0

Thermometer 63.0

Test for fat

content

Butyrometer 64.5

Test specific

gravity

Hydrometer 64.4

Test bacterial

activity

Supply of dyes 64.6

Thermometer

Basic laboratory equipment is required for most of the tests

63.0

Filter Filter cloth 0.80

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Filter press 29.2

Homogenization Homogenizer 37.0

Fill into bottles

Liquid-filling machine 28.1 - refer to Packaging chapter for notes on the preparation of sterilized bottles

Capping machine 47.2

Pasteurization

Boiling pan 48.0

or pasteurizer 50.0

Heat source 36.0

Thermometer 63.0

Sterilization

Pressure cooker 48.0

Retort 05.1

Heat source 36.0

Thermometer 63.0

Cool Bottle-cooling system Refer to the Packaging chapter for details

Homogenization

Homogenization breaks up the oil droplets in milk and prevents the cream from separating out and forming a layer. This is of particular importance for sterilized milk which has a long shelf-life and when the formation of a cream layer is not desired. Additional changes include increased

viscosity and a richer taste. Homogenizers are more usually designed for industrial-scale production, but it is possible to purchase smaller versions.

Filling

The most common packaging material for both pasteurized and sterilized milk is glass bottles

sealed with either foil or metal caps, although plastic bottles, plastic bags, and cardboard cartons are all used when bottles are not available or too expensive.

Pasteurization

Pasteurization is a relatively mild heat treatment, (usually performed below 100°C) which is

used to extend the shelf-life of milk for several days. It preserves the milk by the inactivation of enzymes and destruction of heat-sensitive micro-organisms, but causes minimal changes to the nutritive value or sensory characteristics of a food. Some heat-resistant bacteria survive to spoil

the milk after a few days, but these bacteria do not cause food poisoning.

The time and temperature combination needed to destroy 'target' microorganisms will vary according to a number of complex inter-related factors. For milk, the heating time and

temperature is either 63°C for 30 minutes or alternatively 72°C for 15 seconds. Only the former

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combination is possible on a small scale and for this the simplest equipment required is an open

boiling pan. Better control is achieved using a steam jacketed pan, and this can be fitted with a stirrer to improve the efficiency of heating. Both of these are batch processes which are suited to small-scale operation. A higher production rate may be possible using a tubular-coil pasteurizer.

This equipment has been tested and has been successful for some fruit products but it is presently still at a developmental stage.

Sterilization

Sterilization is a more severe heat treatment designed to destroy all contaminating bacteria. The

milk is sterilized at a temperature of 121°C maintained for 15-20 minutes. This can be achieved using a retort or pressure cooker. Unlike pasteurization, this process causes substantial changes

to the nutritional and sensory quality of the milk. In some countries, flavoured milk has become a very popular product.

However, sterilization is not recommended for small-scale production for the following reasons:

The cost of a retort and ancillary equipment is high for the small-scale processor.

It is essential that the correct heating conditions are carefully established and maintained for

every batch of milk that is processed. If the milk is overheated, the quality is reduced, and it may have a rather burnt taste and aroma.

If the milk is not heated sufficiently, there is a risk that micro-organisms will survive and grow inside the bottle. In low-acid foods such as milk, many types of bacteria including Clostridium

botulinum can grow and cause severe food poisoning.

Due to the potential dangers from food poisoning, the skills of a qualified food technologist/microbiologist are required in order to routinely examine samples of sterilized milk

that have been subjected to accelerated storage conditions. This requires a supply of microbiological media and equipment.

In summary, the process of sterilization requires a considerable capital investment, the need for

trained and experienced staff, regular maintenance of sophisticated equipment, and a comparatively high operating expenditure.

Cooling

Pasteurization does not destroy all of the micro-organisms, therefore the milk has to be cooled rapidly to prevent the growth of surviving bacteria. Cooling can be achieved on a small scale by

using a bottle-cooling system. A system is outlined in the Packaging chapter.

Storage

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Pasteurized milk has a shelf-life of 2-3 days if kept at 4°C. Maintaining this low temperature

causes a substantial increase to the cost of transportation and distribution and is therefore a major disadvantage to the development of a small-scale pasteurized milk business. If packaged in sealed bottles and stored at room temperature, sterilized milk should have a shelf-life in excess of

six months.

Separation of milk components

Cream

When milk is left to stand for some time, fat globules rise to the surface forming a layer of fat (or cream). This can be separated leaving behind skimmed milk as a by-product. There are different

types of cream each with different fat concentrations: single (or light) cream contains 18 per cent milk fat whereas double (or heavy) cream normally contains 30 per cent milk fat. Cream is a

luxury item and may be used as an accompaniment to coffee, as a filling in cakes, and an ingredient in ice cream.

Separation

Separation can very simply be achieved by removing the cream with a spoon, however this is a

slow process during which the cream may spoil. For this reason it is more usual to use a manual or powered centrifuge.’

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Production stages for cream

Ingredients Process Equipment Section reference

Raw milk tested

Store at 4°C Milk churns 62.0

Refrigerated storage 15.0

Thermometer 63.0

Separation of milk fat

Ladle Dairy centrifuge 07.1

Pasteurization Large boiling pan or steam jacketed pan

48.0

Pasteurizer 50.0

Heat source 36.0

Thermometer 63.0

Fill bottles/pots Funnel or liquid-filling machine 28.1

Capping machine 47.2

Pot sealer 47.1

Cool bottles Bottle-cooler See Packaging chapter

Store bottles at 4°C Refrigerated storage 15.0

Pasteurization

Cream may be pasteurized in a similar way to milk, using a similar time and temperature combination and the same equipment. Cream can also be sterilized but there is a considerable

loss of quality.

Packaging and storage

Cream can be packaged in glass jars or plastic pots sealed with foil lids. Pasteurized cream must be stored at a temperature of 4°C to have a shelf-life of several days. Refrigerated storage is

necessary because cream is prone to rapid spoilage.

Butter

Butter is a semi-solid mass which contains approximately 80-85 per cent milk-fat and 15-20 per cent water. It is yellow/white in colour, with a bland flavour and a slightly salty taste. It is a

valuable product that has a high demand for domestic use in some countries and as an ingredient in other food processing (e.g. for confectionery and bakery uses).

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The principles of preservation are:

to destroy enzymes and micro-organisms by pasteurizing the milk

to prevent microbial growth during storage by reducing the water content, by storing the product at a low temperature, and optionally by adding a small amount of salt during processing.

Production stages for butter

Ingredients Process Equipment Section

reference

Cream or soured cream Store at 4°C Milk churns 62.0

Refrigerated storage 15.0

Thermometer 63.0

Churning Butter churns 13.0

Draining (pour off

buttermilk)

Washing

Draining (pour off washwater)

Permitted colours and salt

(optional)

Kneading/working Butter pats 04.0

Form into blocks Butter pats 04.0

Packaging Paper/plastic/ foil wrapping Wrapping machines

47.3

Storage at 4°C Refrigerated storage 15.0

Churning

Churning disrupts the emulsion of fat and water and as a result the milk-fat separates out into granules. This process takes place in a butter churn.

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Churning cream

Churning is continued until fat granules are present and at this stage the mixture is drained to

remove liquid that has separated from the granules. This liquid is known as buttermilk and can be used as either a beverage or as an ingredient in animal feed.

Washing

Clean water equivalent in weight to the buttermilk is added to the churn in order to wash the

butter granules. The wash water is drained away. Churning is continued for a short time to compact the butter, and once this has been achieved it is removed from the churn.

Forming and packaging

Butter is kneaded to achieve a smooth and pliable texture. This can be done using simple hand-

tools such as butter pats. Alternatively for higher production rates a specially-designed kneader can be used. Once the butter has a uniform and smooth texture it is formed into blocks with butter pats and packed in either greaseproof paper or foil wrappers.

Working butter with butter pats

Storage

Due to its high fat composition, butter must be stored at temperatures below 10°C otherwise the fat becomes rancid and imparts undesirable 'off' flavours. The water droplets in butter (20 per cent) can also allow bacteria to grow if it is not kept under cool conditions.

Ghee

Ghee is made from butter which has been heated and clarified. At ambient temperatures it is a semi-solid mass with a granular texture, but on melting (40°C+) it turns into a clear, thin liquid. It has a high demand in some countries for domestic use, as an ingredient for local food

production (for example bakeries and confectionery manufacturers), and as an export commodity.

Alternatively, cream is boiled gently to evaporate the water. During boiling the product is stirred

continuously until the milk proteins start to coagulate, forming particles, and the colour of the cream darkens. Heating is stopped and the product is left to set. The particles settle at the bottom of the vessel and the milk-fat is separated. The principles of preservation are:

heating to destroy enzymes and contaminating microorganisms

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to reduce the water-content by evaporation, and in doing so prevent the growth of micro-organisms.

Production stages for ghee

Ingredients Process Equipment Section

reference

Butter Heating Heat source 36.0

Large boiling pan or steam jacketed pan

48.0

Cool to room temperature Thermometer 63.0

Filter Filter cloth 08.0

Fill into jars/pots Funnel or liquid-filling machine 28.1

Capping machine 47.2

Store at ambient

temperatures

Packaging and storage

Metal containers are normally used. They should be thoroughly cleaned, especially if they are re-usable, and they should be made airtight. Alternatives to metal cans include coloured glass jars

with metal lids, or ceramic pots sealed with cork/plastic stoppers.

Ghee is usually stored at room temperatures as cold storage affects the granular texture. Thus ghee is useful for those consumers with no access to refrigeration.

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Competitions Level

1. Brand competition

It is a Known fact that there is an existence of competition in any brand. In a Dairy Product, there are many brands such as Chees, milk, ice cream etc which are already established

brands and have a good share of markets.

2. Industry competition

There is also an existence of competition between industries. Dairy Product industries

faces the same competition from same product. Similarly dairy company suffer from various local milk product.

3. Generic competition

This is the competition among those goods and services which can be bought instead of a particular service. Generic competition for Dairy Product services is different as there is

different price level for different services.

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The Service Package

“The ‘Package’ concept of service product suggests that what you offer to the market is a bundle of different services tangible and intangible ,but there is a

main or core service and around it are built the auxiliary or facilitator services”

Free Delivery Of Milk Product

Other Valuable Service

Customer Feed Back

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PRICE

“Price means the amount of money charged for a product or service or the some value s that consumers exchange for the benefits if having or using the

products or service.”

There are a several different factors that cause the variations in prices for Milk Product. Usually, Milk Product vary from facility, what type of Milk Product you have,. The

size of the Milk Product has a lot to do with the Milk Product detailing prices. If you have protin milk, the time for the detailing procedure will be less and the labor will have to use

fewer amounts of materials.

Milk Product prices also count on the packages which are availed. There are many

types of packages, which differ in the services included in them. Upgraded packages will include additional services apart from these typical ones.

Pricing Methodology

We had adopted a cost plus profit job costing method of pricing in order to determine the price of the complete Milk Productservices, because it is easy to compute, easy to understand and consistent to maintained.

Service Tax

Taxes refer to the tax to be paid on getting services. Here the list price is exclusive of all

the taxes. The current tax rate for Dairy service industry is 10.30%, which is charged on the amount of services rendered.

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Prices Effective March 1, 2015

Dairy Whole Milk - ½ Gallon - $2.94

Whole Milk - 1 Quart - $2.28

Reduced Fat Milk (2%) - ½ Gallon

- $2.94

Reduced Fat Milk (2%) - 1 Quart -

$2.28

Low Fat Milk (1%) - ½ Gallon -

$2.94

Low Fat Milk (1%) - 1 Quart - $2.28

Fat Free Milk (Skim) - ½ Gallon -

Cheese Tillamook Medium Cheddar Block

Cheese - 16 oz. - $7.29

Tillamook Sharp Cheddar Block

Cheese - 16 oz. - $7.29

Tillamook Colby Jack Block Cheese -

16 oz. - $7.29

Tillamook Colby Jack Shredded

Cheese - 8 oz. - $4.29

Tillamook Mozzarella Shredded

Cheese - 8 oz. - $4.29

Tillamook Sharp Cheddar Shredded

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$2.94

Fat Free Milk (Skim) - 1 Quart -

$2.28

Pro-To-Go Protein Milk (1%) -

Vanilla - 1 Quart - $3.79

Pro-To-Go Protein Milk (1%) -

Chocolate - 1 Quart - $3.79

Chocolate (2%) Milk - 1 Quart -

$2.59

Chocolate (2%) Milk 4-Pack -

$7.99

Strawberry Flavored (2%) Milk - 1

Quart - $2.28

Half and Half - 1 Quart - $3.54

Half and Half - 1 Pint - $2.44

Whipping Cream - 1 Quart - $5.99

Whipping Cream - 1 Pint - $3.64

Classic Eggnog - 1 Quart -

$3.49 (seasonal)

Cinnamon Eggnog - 1 Quart -

$3.49 (seasonal)

Cheese - 8 oz. - $4.29

Tillamook Medium Cheddar Sliced

Cheese - 8 oz. - $4.29

Tillamook Sharp Cheddar Sliced

Cheese - 8 oz. - $4.29

Tillamook Colby Jack Sliced Cheese -

8 oz. - $4.29

Tillamook Pack-It-Pals - 10, ¾ oz.

Medium Cheddar - $4.99

Tillamook Pack-It-Pals - 10, ¾ oz.

Colby Jack - $4.99

Tillamook Special Four Year Aged

Extra Sharp Cheddar Cheese – 16 oz.

$12.99 **Runs through December 31

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PLACE

“Place refers to the physical existence of the service outlet where the customers will come into the direct inter course of the service provider and where services will be delivered by the service provider and received by the customers.”

Address:

SWEET DAIRY P.V.T. L.T.D.

Uttara Bank Bhaban (4th & 5th Floor) 90,

Motijheel C/A Dhaka-1000,

Bangladesh Tel: 7161874,

PABX: 9554236, 9551381 Fax: +880 2 9563319

mail: Sweet@aitlbd.net

http://www.Sweetdairy.com/

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Location Analysis:

The reasons for selecting this place are as follows.

1. Proximity to Customers

Satellite is considered to be both Commercial as well as Residential area. There are many Farmers situated in this area so we will easily get access to our target segments.

2. Good Visibility

As the station is situated on the ground floor in front of main road we could avail the advantage of great attention of people.

3. Higher income Groups

This area is considered to be economically developed area so we can capture upper-middle and higher income group people.

4. Better Facilities & Low Cost

This area is well equipped with the basic facilities like water supply, Street light

Electricity etc. This all facilities are easily available.

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PROMOTION

“Promotion mix is a specific blend of Advertising, Sales Promotion, Public Relations, Personal Selling and Direct Marketing tools that the company uses to

pursue its advertising and marketing Objectives”

As members of the dairy industry, we believe in the health benefits of dairy, know how modern dairy

operations function, and follow sound farm practices that lead to safe and quality dairy products. But

many of the people who consume our dairy products don’t share that awareness. That makes the

promotion of what we do and how we do it so vitally important.

UDIM supports dairy promotion events designed to fulfill the following health, education and

consumer confidence goals of the national dairy .

1. Enhance awareness of the nutritional and health benefits that come from including dairy

products as part of a balanced diet.

2. Increase knowledge about and awareness of the dairy industry.

3. Advance the image of the dairy industry and foster public trust.

The mention of special events and promotions may bring to mind images of high-tech advertising and

high-pressure sales tactics. But nothing flashy is required, just a genuine desire to connect with

community in ways that make sense. Getting to know one another as neighbors, supporting

community causes, and sharing the goodness of dairy are all natural extensions of dairy farm

stewardship. Partnerships with other community groups, institutions and even other dairy farmers is

encouraged for mutual assistance, positive affiliation and more far-reaching results.

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To help cultivate ideas of more personable ways for dairy farmers to connect with community, several

different, highly adaptable promotional events are outlined here. Each has been developed and used by

an actual Michigan dairy farmer to help build relationships and promote dairy in his/her home

community through:

Participation in an existing local event; or

Partnership with another community entity/organization; or

Sponsorship of a community event; or

Self-hosting a dairy farm event

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Advertising

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“Advertising is any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor.”

- American Marketing Association

Milk, they say, is an important source of calcium that helps kids grow up big and strong.

Milk is said to contain vital nutrients and to help prevent osteoporosis. The U.S. Department of

Agriculture, through its food dietary guidelines, says that everyone should get 2-3 servings of

dairy every day.

And, indeed, Bangladesh a love affair with milk. The average person living in the

Bangladesh consumes over 600 pounds of dairy products every year, including about 420

pounds of fluid milk and cream, 70 pounds of various milk-based fats and oils, 30 pounds of

cheese, and 17 pounds of ice cream. In aggregate, Bangladesh dairy farmers produce 163 billion

pounds of milk and milk products a year.

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1. Mission

Advertising goal of Dairy products is to spread awareness among the target customers through

specific communication tasks and achievement level to be accomplished in a specific period of time.

The short term aims

1. To create awareness among the customers about the dairy product. 2. To inform customers about our quality, affordable price, testing services effect, latest

technology used in dairy product.

The long term aims

1. Expansion towards new market. 2. To increase the interior.

2.Money

Although advertising is treated as current expense, part of it is really an investment that builds

up on tangible assets called brand equity. As ours is a new organization we have to spend a large amount on advertising to create awareness and to gain the viewership.

3. Message

“WE Think Of You”

The message’s impact depend not only on what is said, but also often more important on how

it is said. So the message generation plays an important role in organization’s image or

reputation.

4. Media

Advertising media is a means through which advertisers communicate their messages to target people with a view to influence them in terms of advertising objectives. For

dairy product advertising we have to use several media. Because it’s a new business in our country and people are not aware of this service yet. So we have to advertise more to make them aware of this new opportunity of dairy product. We use the following means to advertise:

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Newspaper

Newspapers are widely circulated in all the section of our society and will help us to

send our message to each and every resident. We would be advertising in leading newspaper of the area.

Particulars Cost(Rs.) Frequency (per year)

Total Cost

Daily BhorerKagoj

20cm,4thpage, 25000 6 15000

Jugantor 10cm,last page 22000 4 88000

Hoardings

Radio 89.2 FM

Area Cost(Rs.) Frequency(per year) Total cost Rs.

Rajshahi

200000 1 200000

Gazipur

100000 1 100000

Time slot Cost per sec. (Rs.)

Frequency Total Cost

20 sec. 120 50 times 120000

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Magazines

Particular Cost(Rs.) Frequency Total Cost Holiday 15000 3 times in

year

45000

Leaflets with Newspaper

Perticulars Cost per copy

(Rs.)

Total cost of

Copies

Frequency Total Cost(p.a)

25000 Copies

0.80 20000 6 times in year

120000

Commission on Leaflets

Particulars Cost per 1000 copy (Rs.)

Commission 0n Copies

Frequency Total Cost(p.a)

25000 Copies

120 3000 6 times in a year

18000

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5. Measurement

The advertising program should evaluate both the communication effect and the

sales effect of advertising regularly. Measuring the communication effects of an advertisement-copy testing- tells whether the ad is communicating well or not. The sales effect of advertising are often harder to measure than the communication effect because sales are affected by many factors

besides advertising- such as product features, price and availability.

Sales promotion

“An activity designed to boost the sales of a product or service. It may include an advertising campaign, increased PR activity, a free-sample campaign, offering free gifts or trading stamps, arranging demonstrations or exhibitions, setting up competitions with attractive

prizes, temporary price reductions, door-to-door calling, telemarketing, and personal letters on other methods”. In short Sales promotions are short-term incentives to encourage the purchase or

sale of a product or service. It may be classified as follows:

Consumer oriented sales promotions

Gift:We are giving Dairy Productto those customers who have availed the scheme of jumbo combo pack.

Free Service:At Sweet dairy, we are giving free Dairy Product.

Package Offer: We are providing service at lower rate to the subscriber of jumbo combo pack.

Direct Marketing Direct marketing is one of the promotion tools by which advertisers approach potential

customers directly with products or services. The most common forms of direct marketing are telephone sales, solicited or unsolicited emails, catalogs, leaflets, brochures and coupons.

Successful direct marketing also involves compiling and maintaining a large database of personal information about potential customers and clients. These databases are often sold or shared with other direct marketing companies.Following are tools which are used by the firm for direct

marketing:

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1. E-mails

We often stay in touch with our customer via e-mails & work upon their respective feedbacks. We are using the facility of ‘Blast Email’ to inform the customers about the

various scheme of our firm.

2. Brochures

A brochure contains information in detail that will help our customers to understand the

services easily.

3. Database of personal Information

At every dealer centre& for our direct visitors, we maintain a good database of our

customer’s information which helps us to reach the potential customers. Our Website plays a very important role in maintaining the database.

4. Direct-response broadcast advertising (radio)

Our advertisement broadcast at the rate of 120 per second for 20 second ads at 89.2 Radio FM, 50 times a year. That also helps us for reaching far number of customers.

5. Hoardings

We have two hoardings in peak areas that creates attention Gazipur

Rajshahiat the rate of 300000 for the year.

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Website with Social Networking There is a growing number of social networking sites focused on business users and meeting their needs. Online networks can help to hire the right people, market the product or even find a manufacturer.

We had designed our website www.sweet dairy.webs.com in an interactive way with

Social networking facilities. we have tried our best to keep our customers in contact with the help of social networking facilities. Here, on this site they can be in contact with our team and

other milk lovers too. By using the online social media sites to introduce dairy industry, our business and services will get a wide view. Over a time we will build brand awareness among people there. So we set up MySpace page, Twitter account, LinkedIn, Face book, Fraudster, Hi5

profiles etc and link each of them to your website. It will list out the recent activities of the members so that we have the easy look around on the dairy industry busines

On a Initial Stage, dairy industry has decide to focused on the following ceteria to get

more customers to the website, using the free resources available on the Internet;

(1) Free Social Media to Get Customers (2) Free Guerilla Techniques to Get Customers (3)

Visit Online Groups to Get Customers (4) Online Articles to Market Yourself (5) Advantage of Free Business Listings (6) Free Online Blogging to Get Customers to Your Website (7) Free Internet Tools to Get Customers to Your Website (8) Create a Video to Get Customers (10)

Optimize Your Website to Get Customers.

Our website helps us to maintain the record of the visitors at a different point of time i.e. click

streaming record thereby help in promoting various scheme and offers. Thus it acts as an important tool for promotion and help in providing them latest news ofDairy Product.

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PROCESS

“Process means the procedures, mechanism, and flow of activities by which a service is acquired. Process decisions radically affect how a service is delivered to customers.”

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PHYSICAL EVIDENCE

Services being intangible it is difficult to touch, and judge them so it becomes

necessary for marketer to cannibalize the intangible so as to provide customers

with various clues to make purchase decision. This task is performed by physical

evidence.

Name: “sweet dairy”

LOGO:

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Punch Line :

Tan kishakti , man ki shakti Sweet dairy ke ,sath sub ki shakti.

VISITING CARD:

Location:Bangladesh

Website:www.sweet dairy.webs.com

Equipments:Laptop, Desktop, Air-conditioners, Furniture, water cooler, Television, Job Card, Suggestion Box etc

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PEOPLE

It is rightly said that-“ Employees represent the organization to the customers and a

service company can be only as good as its people.”

If these people are not given training than the entire marketing efforts may not prove to

be effective. It is often challenging for service organization to differentiate itself for similar organizations in the benefit bundle it offers or its delivery system. Organization can gain a strong competitive advantage through appointing workers and employees with specialized knowledge

as per the requirements in the respective field. People are important in service marketing because;

People deliver the services People get the satisfaction Service become successful by the people

Company gets goodwill and image.

Factor motivating

Various factors that help in motivating the employees are Ambience of the place, Easy work scheduled, Company policies, Pay package, Work culture, Position etc.

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Organization Chart

Official Working Hours: 8:00am-7:00pm

PARTENERS

GENERAL MANAGER

(1)

ACCOUNTANT (1)

SUPERVISOR (1)

PEON

(1)

FOREMAN

(8)

RECEPTIONIST (2)

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Designation No. Of Employees Salary(Per Month, Per

Worker)

General Manager 1 22,000

Supervisor 1 12,000

Receptionist 2 7,750

Accountant 1 10,500

Foremen 8 8,750

Peon 1 4,000

Total 14 Rs.65,000

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Job Specification:

Job Title : General Manager Education : MBA and PGDCA or equivalent

degree of computer. Mental Ability : Should be well versed, good

listening skill and Presence of mind

Language skill : English, Hindi, Bengali Skills : Speech Clarity, Easily

understanding of the problems,Good power of expression, Co-operative and Leadership Skill

Physique and Health : Good Health and Sound Mind Work Experience : An experience of 2-3 years in any

established organization as finance manager Job Description: Reports to : Partners Supervises : Supervisor, Accountant Functions

Delegate authority Motivate to all subordinates To be able to negotiate with the partners Check the quality of services Getting information, analysis and taking good

decision

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Job Specification:

Job Title : Supervisor Education : B.com (Graduation in any

discipline) Mental Ability : To handle the stress of difficulties and should have sharp memory

Language skill : English, Hindi, Bengali Work experience : An experience of 2-3 years in any service center

Job Description:

Reports to : General Manager Supervises : Receptionist, Foreman, Peon Functions :

Handle the advertising To keep a bird eye on each worker and reporting

to general manager Ability to control Check the standard quality of the services Handle the customer problems

-get the feedback Give training to workers

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Job Specification:

Job Title : Receptionist Education : Any Graduation and undergraduate Mental Ability : Good presence of mind, ability to

manage time and handle the customers

Language skill : English, Hindi, Bengali Skills : Good communication,

Clam, polite and convincing power Work experience : An experience of 1 year in any

consultancy

Job Description:

Reports to : General Manager

Functions :

Data entry and maintain of record Attending and handling the telephonic respondent handling the customers and giving

information at work place

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Job Specification:

Job Title : Accountant Education : M.Com (Accountancy) Mental Ability: Good at calculation,concentration power, Intellectual

Language skill : English, Hindi, Bengali Physiques and Health : Good health, good eye sight Work experience : An experience of 4-5 years inaccountancy

Job Description:

Reports to : General Manager

Functions : To record daily cash transaction, Prepare the vouchers, cash books and Statements of financial position.

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Job Specification:

Job Title : Foreman Education : Primary education Mental Ability : Co-operative with other

workers, mentallystable Language skill : Hindi, Bengali Physiques and Health: Strong, good eye sight

Job Description: Reports to : Supervisor Functions :

Produce milk product, ability to understand the technical problems in

manufacturing milk product.

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Job Specification:

Job Title : Peon Education : Primary education Mental Ability : Co-operative with

others, polite Language skill : Hindi, Bengali

Job Description:

Functions :

Follow the orders of the higher authority, Clean the offices, Do all the miscellaneous work,

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Policies for Our Employees

1. Recruitment & selection

We will be giving recruitment advertisement for receptionist, Account manager and others in

the leading newspaper of the area such as Daily BhorerKagoj, Jugantoretc.

2. Motivation

The employees will be provided with following monetary and non-monetary benefits like

bonus, and holidays in festivals. Besides we will also follow suggestion box scheme. Moreover Special leaves will be given to employees. Three days leaves will be given in addition of Official

Leaves.

3. Team work It is the team spirit on the part of the employees which is behind the success of any

business entity. The culture of our organization will be such that will help in imbibing this spirit in our employees to provide qualitative service to customers.

4. Employee behavior

Training and motivating are to be given so that employee can make the difference among the other company employees and feel satisfaction.

5. Bonus:

We give One Month Salary as a Diwali Bonus to our employees.

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

findings relevant to a specific market situation facing the company. While there are dozens of little steps along the path, each fits into one of the five steps in the marketing research process.

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Marketing Research

Market research is the systematic design, collection, analysis and reporting of data and findings relevant to a specific market situation facing the company. While there are dozens of little steps along the path, each fits into one of the five steps in the marketing research process.

The main steps in marketing research are:

Step1. Identifying and defining your problem

Step2. Developing your approach and research design

Step3. Collecting the data

Step4. Performing data analysis

Step5. Reporting and presentation

Step1. Identifying and defining your problem

Problem “To conduct the survey of Milk Product users, non-users and consumption pattern of

consumers of Milk Product.” Objectives

1. To study the Milk Product market (industry) 2. To study the Demographic and Social variables of users and non users of service.

3. To find out market share of different brands. 4. To study behavior of consumers for the service by considering the various attribute of the

service.

5. To find out purpose of the users of Milk Product 6. To find out the most popular brand of Milk Product

7. To find out reason of not using the service.

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Step2. Developing research plan

The next step of a marketing research is to develop a plan regarding decision factors like sources of data, data collection method and contact methods.

a) Data source:

Secondary: Internet,magazines,newspapers,Management book Philip Kotler

b) Research approach: Survey Approach

c) Research instrument: Questionnaire

d) Sampling plan:

Sampling units: On the demand side= Users & Non users Sample size: No. of consumers=1000 Contact method: Personal interview

Sample procedure: Convenience sample

Step3. Collection of data

From Website - http://www.my3q.com/research/mengniusbi48/9696

1.phtml

Step4. Performing data analysis

Analysis of the data collected is carried out to meet the various objectives of the research.

First of all the data collected is bifurcated into users and non usersofMilkProduct then the various data is scrutinized carefully.

Step5. Reporting and presentation

Various graphs are drawn for the presentation and the reporting of the scrutinized data. This method is very useful for understanding and comparing the data carefully and easily.

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1. How often do you drink milk?

A- Daily (2)

B- 2-3 days (3)

C- 1-2 weeks (4)

D- Monthly (4)

E- Others, (0)

2 What type of milk products do you buy? (You can choose one or more.)

A- Fresh milk (9)

B- Milk powder (2 )

C- Box milk(4 )

D Ice cream (9)

E- Cheese (4)

3 Which brands of milk do you always buy?(You can choose one or more.)

A- Mengniu (2)

B- Kowloon Dairy Milk (6)

C- Daily Farm (5)

D- Yili (0)

E- Other (0)

4 On average, how much do you spend on buying milk products per month?

A- $0-$20 (3)

B- $21-$40 (4)

C- $41-$60 (3)

D- $61-$80 (1)

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5 Where do you usually buy these products?

A- Supermarket (7)

B- Retail Store (1)

C- Convenience Store (e.g. 7-eleven) (4)

D- Restaurant (0)

E- Others, (0)

6 What factors would affect your choice - Taste?(1=Least Important, 5=Most Important)

A- 1 mark (0)

B- 2 marks (0)

C- 3 marks (1)

D- 4 marks (4)

E- 5 marks (7

7 Quality?(1=Least Important, 5=Most Important)

A- 1 mark (0)

B- 2 marks (0)

C- 3 marks (1)

D- 4 marks (4)

E- 5 marks (7)

8 Brand?(1=Least Important, 5=Most Important)

A- 1 mark (0)

B- 2 marks (1)

C- 3 marks (8)

D- 4 marks (2)

E- 5 marks (1)

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9 Price?(1=Least Important, 5=Most Important)

A- 1 mark (0)

B- 2 marks (0)

C- 3 marks (4)

D- 4 marks (2)

E- 5 marks (6)

10 Sales Location?(1=Least Important, 5=Most Important)

A- 1 mark (1)

B- 2 marks (1)

C- 3 marks (5)

D- 4 marks (1)

E- 5 marks (4)

11 Package?(1=Least Important, 5=Most Important)

A- 1 mark (1)

B- 2 marks (3)

C- 3 marks (5)

D- 4 marks (1)

E- 5 marks (2)

5

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Findings

The sample of 12 respondents may not represent the total population of Bangladesh.

Our research found that only 16% respondents are using the Milk Product.

As our concept of Milk Producing is new, there are around 61% respondents who were

unaware about the service.

The Many People Is Not So Much Important Of Dairy Product..

Most of the respondents To Not Given Clear Answer.

Suggestion

To create awareness about the Milk Product via using advertising as an important tool.

To show differentiation between Milk Product Dairy Product.

To promote these Product To Give Free Sample. So that customers come to know from

the beginning about Our PRODUCT.

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COST OF PROJECT

MEANS OF FINANCE

Paticulars Amount(Rs.) Partners 5500000

Bank loan 5593000

TOTAL 11093000

Cost of project Amount(Rs.) Premises 9800000

Machinery 559000

Furniture 85300

Electronics 211500

other equipments 26000

Preliminary Expanses 318000

NWC 83000

Contingency 10200

TOTAL 11093000

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STATEMENT OF MACHINARY

NAME QUNTITY PRICE TOTAL(Rs.) Steam machine 1 250000 250000

Vacume cleaner 2 80000 160000

Compressor 1 8000 8000

Ozone machine 1 37000 37000

Grinder machine 2 45000 90000

Jack Machines 4 3500 14000

TOTAL 559000

STATEMENT OF FURNITURE

NAME QUANTITY PRICE TOTAL(Rs.) Cabin table 1 3000 3000

Cupboard 2 8000 16000

Sofa set 2 22000 44000

Table Glass 1 1200 1200

Receptionist table 2 2200 4400

Revolving chair 1 2600 2600

Revolving chair(Smal) 5 1700 8500

Comfort chair 7 800 5600

TOTAL 85300

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STATEMENT OF ELECTRONICS

NAME QUANTITY PRICE TOTAL(Rs.) Computer 2 22000 44000

Laptop 1 30000 30000

LCD(TV) 1 17000 17000

Air conditioner 2 20000 40000

Printer 1 5500 5500

Generator 1 48000 48000

Music system 1 5000 5000

Water cooler 1 15000 15000

Water purifier 1 2000 2000

Tea &cofee machine 1 5000 5000

TOTAL 211500

STATEMENT OF OTHER EQUIPMENT

NAME QUANTITY

PRICE

TOTAL(Rs.)

Fan 10 1100

11000

Lights boards 10 300 3000

Tubelight 12 350 4200

Fire safty equip. 1 3000

3000

Telephone installation

2 1500

3000

Misc. 1800

TOTAL 26000

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123

STATEMENT OF PRELIMINARY EXPANCES

Particular Total(Rs.) Legal charges 15000

Initial promotion charges 300000

Market survey exp. 3000

Total 318000

SALARY STRUCTURE

Designation 2014-15

General Manager 305613

Supervisor 166698

Receptionist(2) 215318

Accountant 145861

Foreman(8) 972405

Peon 55566

TOTAL 1861461

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MATERIAL CONSUMPTION

SALES FORCAST:-

Sales unit

Product Small

Medium

Large Luxurious

TOTAL(Rs.)

Ghee 54 106 118 54 332

Chees 36 81 102 32 251

Super Milk 33 73 61 29 196

Milk 15 25 32 18 90

Some Valuable Milk 27 33 44 10 114

Flaved Milk 22 83 59 41 205

TOTAL 187 401 416 184 1188

PERTICULAR 2014-

2015

OP.STOCK 181500

Purchase Of Raw-Material 798600

CL.STOCK 199650

RAW-MATERIAL

CONSUMED 780450

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Sales Price

Product Small Medium

Large Luxurious

Ghee 1400 1680 1820 1960

Chees 1850 2220 2405 2590

Super Milk 1150 1380 1495 1610

Milk 800 960 1040 1120

Some Valuable Milk 5600 6720 7280 7840

Flaved Milk 2500 3000 3250 3500

Sales force

Product Small

Medium

Large Luxurious

TOTAL(Rs.)

Ghee 75600 178080

214760 105840 574280

Chees 66600 179820

245310 82880 574610

Super Milk 37950 100740

91195 46690 276575

Milk 12000 24000 33280 20160 89440

Some Valuable Milk 151200

221760

320320 78400 771680

Flaved Milk 55000 249000

191750 143500 639250

TOTAL 398350

953400

1096615 477470 2925835

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126

Jumbo combo pack

Sales price

Services Small Medium

Large

Luxurious

Milk 750 900 975 1050

Chees 200 240 260 280

Ice Creame 150 180 195 210

Protin Milk 1300 1560 1690 1820

Butter Milk 800 960 1040 1120

Ghee 700 840 910 980

Total Sales Price 3900 4680 5070 5460

Sales forecast

Particulars Small Medium

Large

Luxurious

TOTAL(Rs.)

No of milk 91 178 358 45 672

Sales price 3900 4680 5070 5460

Sales Force 354900 833040

1815060

245700 3248700

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DEPRECIATION

Particular Basic cost

rate of dep.(%)

Machinery 559000

15%

Furniture & fixtures 85300 10%

Laptop/computer 74000 60%

Electronic items 137500

15%

Business premises 9800000

10%

TOTAL 10655800

PRELIMNARY EXPENCES

Particulars 2014-15

TOTAL EXPENCES 127200

WRITTEN OFF EVERY YEAR

63600

63600

2014-15

amt of dep

WDV

51494 291801

6218 55965

2842 1894

12666 71776

714420 6429780

787641 6851217

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ADVERTISEMENT BUDGET

(YEAR-2014-2015)

PERTICULAR COST FREQ.(p.a.) TOTAL COST

NEWS PAPER Divya 20cm,4th page, 2times in a month 25000 6 150000

Othes– z 10 cm, last page, 1 time in a month 22000 4 88000

MAGAZINES Holiday 15000 3 45000

HOARDINGS Gazibad 200000 1 200000

Dhaka 100000 1 100000

RADIO

89.2. fm 120 per second 20sec.*50times 120000

LEAFLETS 25000 copies*0.80 Rs.,Distri. In 2

months 20000 6 120000 Comission(120 Rs. For 1000

copies) 3000 6 18000

TOTAL

841000

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PROFIT AND LOSS ACCOUNT

(INRS.)

YEARS 2014-15 Total Revenue

Services 3894286

Jumbo pack 4324020

Tie-up 1632764

TOTAL 9851070

Expances

Material Consumed 780450

Wages & Salary 1861461

Bonus 155122

Electricity Consumption 239580

DEPRECIATION

Business Premise 714420

Machinary 51494

Furniture 6218

Other Equipm. 12666

Computer/Laptop 2842

INSUR. 103590

Store 43990

Repairs 23153

Fuel on Generator 6655

BANKCH. 2315

Muncipal Taxes 34729

Communication 15972

News Paper & Magazine 6946

AUDIT Fee 13892

Stationary Printing 5557

Misce. Exps. 13892

Advertisement 1119371

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130

Promotion 150491

medical treatment 6946

SUB-TOTAL 5371750

OPERATING PROFIT BEFOR INT. 4479320

LESS: Int.On Loan 471000

LESS: Int.On Capital 330000

OPERATING PROFIT AFTER INT. 3678320

OTHER NON-OPERATIVE EXP.

Preliminary Expances Written of 63600

PROFIT BEFORE TAX 3614720

LESS: TAX PAID 1084416

NET PROFIT 2530304

GENERAL RESERVE 506061

P&L Bal. 45000

PROFIT DIST. 1979243

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BALANCE-SHEET

YEARS 2014-2015 Particulars (A) Sources of Fund

Partners capital 5500000 Reserves and Surplus

Opening balance 1032110 P&L a/c 45000

General reserve 506061

Closing balance 1583171 Secured loans 3369000

TOTAL SOURCES OF FUND 10452171

(B) Application of Fund Gross block of asset

Fixed Asset 7638858

Less: Depreciation 787641 Net block of asset 6851217

Other equipments 26000

Total fixed asset 6877217 Current assets, loans and advances

Stock 199650

Cash & Bank balance 3334331 Total current asset 3533981

Less: Current Liabilities and Provisions Out standing electricity biils(1 month) 19965

Out standing telephone biils (2 months) 2662

Total current Liabilities 22627 Net current asset 3511354

Preliminary expenses not written off 63600

TOTAL APPLICATION OF FUND 10452171

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132

CAPITAL-BUDGET

WEIGHTED AVERAGE COST OF CAPITAL

RATE xi Wi

6% 5500000 330000

12% 5593000 671160

11093000 1001160

Ko= 1001160/11093000*100

= 9%

1) ARR:-

=AVG. PAT / INVESTMENT*100

=2051665/11093000*100

=18.49%

Interpretation:-

As ARR is positive and greater than NPV. So the project is accepted.

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133

(2) Payback Period:-

Total investment (Cost of project) = 11093000

Amount recovered in 3rd year = 7843293

Amount left to be recovered after 3rd year =3249707

Time period of recovery of remaining amount = 0.96

Payback Period = year before full recovery amount + unrecovered

amount/cash inflow of that year

= 3+3249707/3381545

= 3.96 = 4years

Criteria for selection of project:-

Project with least payback period is preferred first.

Interpretation:-

Our total investment will be recovered within 3.039 years.

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134

(2) Net Present Value:-

NPV = Present value of cash inflow – Present value of cash outflow

= 11468680-11093000

= 375680

Criteria for selection of project:-

If NPV is Positive, project is selected

If NPV is zero, it is indifferent situation you can select it or reject it taking into

account other factor.

If NPV is Negative, project is rejected.

Interpretation:-

As our NPV > 0 i.e. it is positive so it is acceptable.

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135

(3) Profitability Index (PI):-

PI = Present value of cash inflow/Present value of cash outflow

= 11468680/11093000

= 1.034

Criteria for selection of project:-

If PI > 1, project is accepted.

If PI < 1, Project is rejected.

Interpretation:-

As our PI > 1, the project is feasible.

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136

(4) Internal Rate of Return:-

CFAT DIS

RATE@9%

DIS CFAT DIS

RATE@12%

DIS CFAT

2324295 0.917 2131379 0.892 2073271

2567480 0.841 2159250 0.797 2046281

2951518 0.772 2278572 0.711 2098529

33818545 0.708 2394134 0.635 2147281

3860317 0.649 2505346 0.567 2188800

3017031 11468680 10554162

Fack payback period = Investment or cash outflow/Average cash inflow

= 11093000/3017031

= 3.677

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137

IRR = Lower rate + NPV at lower rate/NPV at lower rate –NPV at higher rate *

higher rate-lower rate

= 9% + (375680/914518)*(12%-9%)

= 9% + 0.41%

= 9.41%

Interpretation:-

AS IRR is positive, Project is feasible

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138

BREAK EVEN SALSE

Particular 2014-15

Total revenue 9851070

Variable cost

Stores 43990

Electricity 239580

Repairs 23153

Material consume 780450

Fuel on generator 6655

Total variable cost 1093827

Contribution 9027125

Fixed expenses

Wages & Salary 1861461

Bonus 155122

Depreciation 787641

Insurance 103590

Bank charges 2315

Communication 15972

News Paper&Magazine 6946

Audit Fee 15972

Stationary & Printing 5557

Misce. 13892

Advertisement 1119371

Promotion 150491

Medical treatment 6946

Int. on loan 471000

Int on capital 330000

Preliminary Expanses 63600

Tax paid 1084416

Total fixed cost 6226939

P/V Ratio 88.8963

88.90%

Break even sales 7004431

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139

CASH FLOW STATEMENT

Particulars 2014-2015

(A)CASH FLOW FROM OPERATING ACTIVITIES Net Profit 2530304

Add: Depreciation 787641 Priliminary Expenses w/off 63600

Income Tax 1084416 General reserve

P&l a/c

Interest on capital 330000 Net increase/decrease in asset

Less: Net increase in current asset -18150 Add: Net decrease in cuurent asset

Add: Net increase in cuurent liabilities 2057 Less: Net decrease in current liabilities

cash flow from operating activity 4779868

Less: Income tax paid -1084416

Net cash flow from operating activty 3695452 (B)CASH FLOW FROM INVESTMENT ACTIVITY

Investment in fixed asset 0 Increase in contingency

Preliminary expenses 0

Net cash flow from investment activties

O (C)CASH FLOW FROM FINANCE ACTIVITY

Loan taken from bank 0 Capital of Partners

Less: Interest on capital -330000

Less: Share in profit -1979243 Add:share in profit invested by partners

Repayment of Loan -556000

Net cash flow from finance activities -2865243 NET CASH INFLOW (A+B+C) 830208

Add: Opening balance 2504123

Closing balance 3334331

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140

RATIO ANALYSIS

(IN RS.)

Particular 2014-15

PROFITABILITY RATIO

NET PROFIT RATIO (%)

=(NET PROFIT/SALES)*100 25.69

OPERATING RATIO (%)

=(PBIT/SALES)*100 45.47

CASH PROFIT RATIO (%)

=[(PAT+DEPRICIATION)/SALES]*100 33.68

RETURN ON INVESTMENT (%)

=(PBIT*100)/(TOTAL ASSETS-MISC.EXPENSES) 43.18

EFFICIENCY RATIO

FIXED ASSETS TURNOVER RATIO

=SALES/FIXED ASSETS 1.29

TOTAL ASSET TURNOVER RATIO

=(SALES)/(TOTAL ASSETS-MISC.EXP.) 0.95

SOLVANCY RATIO

PROPRIETOR'S RATIO(%)

=PROPRIETOR'S FUND/TOTAL ASSET-MISC.EXP 0.57

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141

COVERAGE RATIO

INTEREST COVERAGE RATIO

=PBIT/INTEREST ON DEBT 9.5

DEBT SERVICE COVERAGE RATIO

=(PAT+DEPRECIATION+INTEREST+PRELIMINARY EXP)/(INSTALLMENT+INTEREST) 3.52

LIQUIDITY RATIO

CURRENT RATIO

=CURRENT ASSET/CURRENT LIABILITIES 156.18

LIQUID RATIO

=LIQUID ASSETS/ LIQUID LIABILITES 147.36

DEBT EQUITY RATIO

=DEBT / EQUITY 0.5

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142

SWOT ANALYSIS

A ‘SWOT’ analysis is required to check the firm’s Strength, Weakness, Opportunity and Threats which are there in the external environment. It will give the overall idea about

competitors and current situation of the firm. Strength and Weakness are the internal

characteristics that can be improved by the firm, while Opportunities and Threats are the external

factors which will predict the current condition of the firm to make decision.

Strengths

It require very little time Well trained employees.

Price is kept that it should be in the range of everyone’s purchases.

Good quality services.

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143

Weaknesses

Single outlet at one place.

Investment made in research and development is very low. It is not a well know service It is little bit costlier than hand other dairy product. The need to have a fairly constant volume of business to support the necessary service

staff.

Opportunities

Big potential market as only few firm provides this service.

Participation within a steadily growing industry. The ability to decrease the fixed costs as a percentage of an individual sale as volume

increases. There is a scope of expansion of new branches

Threats

Future/ potential competition from a franchised firm. A slump in the economy, reducing discretionary spending. The perception that there is not a difference in quality between a hand and

machine .

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144

Conclusion

Our feasibility project on establishing DAIRY has had an effect on us which transgresses beyond mere analysis of relevant factors. It has been an experience which has enlightened and enabled us to be better in terms of our pool of knowledge. We truly felt that we know and understand things better than we used to yesterday as far as this industry is concerned.

Considering that we had a change of topic midway due to justifiable reasons,

we were hard-pressed for time but we took it as a challenge and it helped all of us

to give it our best shot in the time given which also taught us important lessons in

time management, multi-tasking, understanding group dynamics and to unlock

the otherwise esoteric lock of financial feasibility which we would always cherish

in our life—the times we felt utterly petrified and confounded when we couldn’t

get our figures right and suddenly had an EUREKA MOMENT when we finally

sorted out the numerical.

Finally, the result of this feasibility project is

It is feasible with profits surging every year. All the factors considered for evaluation yielded highly positive results.

As far as the financial aspects are considered, the profitability shows a continuous upward trend.

As far as the survey was considered, we found that the no. of respondents of our survey. We would have to address this concern by targeting our

marketing efforts at them in a much more convincing way.

We again, would like to Amual Dairy center that we visited for the guidance purpose which had provided us practical knowledge. We are also thankful to the faculties who have guided us at every junction in this journey.

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145

AT last we would like to conclude by summing up in this way:

“IT IS GOOD TO HAVE AN END TOWARDS A JOURNEY;

BUT IT IS THE JOURNEY THAT MATTERS IN THE END.”

Future Expansion

1) To take care of every need and to provide the best Product to our customers, we are going to upgrade our existing plant with the latest technology by importing latest machinery from Japan and Germany.

2) Considering the overwhelming response from our customers and to take care of the need of the customer of different areas of the city, we are going to open 2 branches in the city by the end of October, 2015.

3) We are also looking for widening our Frenchise base across the state by opening 5 new branches in the different parts of the state.

4) In the next fiscal year, we are planning to start our mobile van services that can carter the need of the customers of the remote areas.

5) We are also planning to start some entertainment services like internet café, coffee café for our valuable customers to spend their time with our product

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146

Bibliography

[1]Bangladesh Bank, Annual import =eipts. Bangladesh Baok, 2005.

[ 2] Bangladesh Bureau of Statistics (BBS), StatisticalYear Book of Bangladesh, Ministry of

Planning, 2003.

[ 3] Bangladesh Bureau of Statistics (BBS), StatisticalYear Book of Bangladesh, Ministty of

Planning,

[ 4] Bangladesh Centre for Advance Studies (BCAS),RegoverningMmket Projects. Bangladesh

CountryReport, Prepared by Bangladesh Centre for AdvancedStudy, 2004.

[ 5] Bangladesh Milk Producers' Coopers1ive Unionlimited (BMPCUL), Annual Report of

Bangladesh Milk Producers Cooperative Union Limited, BangladeshMilk Producers' Cooperative

Unionlimited, 2005.

[ 6] Deolalikar, AB., "Poverty and child malnu1ritionin Bangladesh," Journal of Developing

Societies. 21(1-2),2005, pp. 55-00.

[7] FAO, FAOSTAT, FAO, Available at http://faostatfao.org/,2004.

[ 8] Faruqee, R, ed., Bangladesh Agriculture in lire 21"Century, University Press limited, 1998. [ 9] Haque, S.AM., Cooperative in Bangladesh.Bangladesh Milk Producers Coopers1ive Union

limited, 1998.

[10] Hemme, T., O. Garcia and AR Khan. '"A Reviewof Milk Production in Bangladesh with Particular Emphasis on SmalJ.Scale Producers."WorkingPaper, Pro-Poor livestoek Policy Initiative, 2004.

[11] Hermanson, RH., Edwards, J.D., and Maher,M.W., Accounting principles, sth ed.,

Richard D. Irwin, 1992.

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147

Assumptions Underlying

There are 300 working days in the year.

Purchase of raw material will increase @ 10% every year.

Closing stock will be 25% of purchase price.

Salary will increase @5% every year. Workers will be given holiday on Tuesday.

Preliminary expenses are to be written off in 5 year. Loan is taken from SBI @12% p.a.

The period of loan is 10 year.

Raw-material is purchased in every 3 month. Profits are to be distributed among partner equally.

Interest on capital and profit are to be taken over by partners. Tax rate will be 30% flat rate.

Revenue will be increased by 10% in every year.

There are 5% increase in stores, repairs, bank charges, municipal taxes, newspapers, audit fees and stationary expenses, in every year.

There is 10% increase in electricity, advertisement, and communication expenses. As cash on hand is high, it can be invested.

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148

Brochure

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149

DAILY MEANS DELICIOUS

OUR PRODUCTS : SWEET

MILK,BREAD,CHEESE,ICECREAM,PANEER,DAHI,GHEE,

MILK POWDER,CHOCOLATES,FRESH CREAM,MITHAI

RANG,BUTTER,PIZZA,SHRIKHAND.