Cocrico 2

AZU CAR Manufacturers Pvt.Ltd.

Disclaimer The purpose of the given information is

to introduce the solution of

the a great problem which occurred to reduce the transport expenses and time and to provide a comfortable vehicle in an affordable price.

All the information included in this document is based on data/information gathered from various sources and is based on certain assumptions .so the information which is gathered in this project may show the different output to implementation of it. So I m the as project manager will not responsible for any loss in practically implementation of these documents.

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AZU CAR Manufacturers Pvt.Ltd.

PROJECT SPECIFICATION TARGET MARKET Okara and surrounding

TARGET PLACE G.T Road

M.A Jinnah Road

BUSINESS TITLE

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AZU CAR Manufacturers Pvt.Ltd.

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AZU CAR Manufacturers Pvt.Ltd.

Our project is to launch a new car company in Pakistan. Now a day’s auto-mobile sector is one of the rising sectors of Pakistan. Car is a major necessity of today’s life. Car is very helpful in business field and also for home use. For this purpose a new car company should be developed due to the rising auto-mobile demand. A new company is also required for providing public the best vehicle at a very low price.

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AZU CAR Manufacturers Pvt.Ltd.

“Enhance Your Style” Our vision is to facilitate the middle class people with a stylish look at low price.

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AZU CAR Manufacturers Pvt.Ltd.

To provide a suitable convince at affordable price for our customers satisfaction and for earning profits.

We will provide different models according to the customers’ income and their needs, so there will be freedom of choice.

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AZU CAR Manufacturers Pvt.Ltd.

GOALS AND OBJECTIVES: Our main goal is to create values for our employs through providing the maximum satisfaction and serving the customer. We provide our customers the greater freedom of choice through more than three different models with different facilities.

Our main objective is to provide our customer the great satisfaction through our low price and best quality.

OUR AIM JUST FOR YOU! Our aim is to provide different stylish looks at reasonable price.

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AZU CAR Manufacturers Pvt.Ltd.

SWOT ANALYSIS: This method of analysis covers strengths, Weakness, opportunities and threats regarding the relative business SWOT analysis for “Sanitary Wore Manufacturing Business” is discussed below.

2,1,1 : Strengths: • Cheaper labor is available which will help in reducing the production cost.

• High quality machinery installation to produce high quality auto-mobile that attract customers.

• There are a large no of towns or other small cities attached to okara. So, Market is very wide with potential buyers.

• Spare parts are available in Lahore, Sahiwal, Karachi, Islamabad. However, these cities are not at small distance Form target market. However those are strength of business to some extent.

• The people are becoming more conveyance conscious as their life standard is improving day by day. So, they rely on quality rather quantity or price.

• With respect to market share, there is no already existing competitor, so, it is most important strength of business.

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AZU CAR Manufacturers Pvt.Ltd.

• The Business concerns which have to move in other cities for

the purchase of cars. If there will any manufacturing Business in their locality the will prefer it.

• Customers can be attached by providing them facilities such as purchase on orders high quality, low prices and heavy promotions al charges.

• Contended nature. Low cost living standard.

2.1.2 : Weakness: • Highly skilled labour is required for manufacturing of automobiles. So first employees need to be trained for best efficiency.

• Strick labour control is necessary to reduce waste production at minimum level.

• Modern

technology

or

installation

is

required

for

manufacturing. So, the production tools are highly expensive and are to be purchased from abroad.

• The investor has to face some losses at initial stages as the operations are partly automated.

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AZU CAR Manufacturers Pvt.Ltd.

• Raw material is not available in surroundings it has to purchase from Lahore, Sahiwal, Karachi, Islamabad (to some extent).

2.1.3

opportunies.

• Preference for high quality products is increasing as people are becoming more quality conscious.

• Easier access to nearby areas and cities.

• Study show that economic or political conditions are in favour of business.

• One of the best opportunity for our business is that okara has announced as FREE INDUSTRIAL ZONE. • There is n o existing competition in target market, so it is very easy to capture the market.

2.1.4:

Threats: • Heavy advertisement is necessary to aware people about automobile industry in surrounding areas.

• Quality of auto-mobile is necessary to consider as people are becoming more and more quality conscious.

• Low saving and low holding capacity of general public as a result of which there is increasing level of poverty.

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AZU CAR Manufacturers Pvt.Ltd.

• There may be need to cut off the prices as a result of economic changes or political factors in the near future. • Investor may nave to suffer the financial loss in initial stages.

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AZU CAR Manufacturers Pvt.Ltd.

Marketing Mix:

What is the marketing mix?

The marketing mix is probably the most famous phrase in marketing. The elements are the marketing 'tactics'. Also known as the 'four Ps', the marketing mix elements are price, place, product, and promotion

Product Decisions In marketing, a product is anything that can be offered to a market that might satisfy a want or need. However “Coco Rico” is much more than just a physical object. It is the complete bundle of benefits or satisfactions that buyers perceive they will obtain if they purchase the “Coco Rico”.  Brand name  Functionality  Styling  Quality  Safety

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AZU CAR Manufacturers Pvt.Ltd.

 Repairs and Support  Warranty  Lubricant package

Price Decision Our pricing decisions based on customer’s affordability. By taking in view the prices of our competitors, “Coco Rico” is very much in a very less price as one can only expect.        

Pricing strategy (skim, penetration, etc.)

Suggested retail price Volume discounts and wholesale pricing Cash and early payment discounts Seasonal pricing Bundling Price flexibility Price discrimination

Distribution (Place) Decisions Distribution is about getting the products to the customer. Some examples of distribution decisions include:         

Distribution channels Market coverage (inclusive, selective, or exclusive distribution) Specific channel members Inventory management Warehousing Distribution centers Order processing Transportation Reverse logistics

Promotion Decisions In the context of the marketing mix, promotion represents the various aspects of marketing communication, that is, the communication of information about the 13

AZU CAR Manufacturers Pvt.Ltd.

product with the goal of generating a positive customer response. Marketing communication decisions include:      

Promotional strategy (push, pull, etc.)

Advertising Personal selling & sales force Sales promotions Public relations & publicity Marketing communications budget

Market Survey Report According to our market survey, most of the people are not satisfied with current models of cars available in Pakistan like Suzuki Mehran, Daihatsu Cuore, Hyundai Santro.

They want a new company that can provide better service at a low price and new stylish look. It is also seen that due to the rising prices of petrol people preferred CNG (Compressed Natural Gas) as fuel. So according to people requirement, there should be a new mobile automobile company.

ADVERTISING Through TV channels and internet we can advertise our car. We are making our own website on which we provide all necessary information about our models. Prices are also given which are different according to the services and facilities provided.

MARKET SURVEY We survey at the different places and most of the people are agree with us.

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AZU CAR Manufacturers Pvt.Ltd.

(Enhance Your Style) The Smart Car Survey Report

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AZU CAR Manufacturers Pvt.Ltd.

Name: ______________________ Age: ______ Gender: (male/female) 1. Have middle class people better conveyance?

A) Yes B) No

C) to some Extant

2. Has middle class man need a suitable car on reasonable price?

A) Yes B) No C) to some Extant 3. Is any reasonable car available at affordable price in market?

A) Yes B) No C) to some Extant 4. Are you satisfied from the facilities provided in cars currently available in the market?

A) Yes B) No C) to some Extant 5. Do you think that CNG is more economical fuel than petrol?

A) Yes

B) No

C) to some Extant

6. In which 800CC car all these facilities are available in Pakistan?

A) Mehran

B) Cuore

C) Santro

7. Do want a stylish car in fewer prices?

A) Yes

B) No

8. Do you have any problem in purchasing a new car from the market?

A) Yes

B) No

C) to some Extant

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AZU CAR Manufacturers Pvt.Ltd.

9. Is there a car showroom in your city?

A) Yes

B) No

C) to some Extant

10. What kinds of facilities are available in cars currently available in market? ____________________________________________________________________ ____________________________________________________________________ ____________________________________________________________________ ____________

11. If no then at which place in your city do you want a car showroom?

A) Faisalabad road

B) M.A Jinnah road

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C) G.T road

AZU CAR Manufacturers Pvt.Ltd.

SURVEY RESULT • Total Questionnaires

=

100

• Total Questions per questioner

=

11

• Total People

=

100

CONCLUSION FROM QUESTIONS Question A B C Total

1

2

3

4

5

20 70 10 100%

75 15 10 100%

50 40 10 100%

35 50 15 100%

90 8 2 100%

6 35 35 30100%

7 60 40 100%

8 55 30 15100%

9 892100%

100 90 80 70

Question

60

A

50

B

40

C

30

Total

20 10 0 1

2

3

4

5

6

7

18

8

9

10

11

10

11

100%

15 42 43 100%

AZU CAR Manufacturers Pvt.Ltd.

C.E.O

Admin & Accounts

Operation Deppt

Store Room

Manager Machine Import

Machine Supply

Line Manager

Manager

Line Workers

Distribut ors

Accountants

Store Room

Spport Staff

Technical Staff

General Duties

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AZU CAR Manufacturers Pvt.Ltd.

Departmentalization Admin & Accounts Department: In this department we maintain our accounts and control our working environment, All responsibility of accounts and finance is of manager, and assistant manager.

And it also control the internal and external audits. Following staff works under that:      

Managers Accountants Store room Support staff Technical staff Computer operators

Operation Department: This department controls all the operations within the working boundaries and also keep in view the new entrants in the market. It also give decisions relating to the pricing and promotion of the product.

Operation department is further classified into two departments:  Machine import This deppt uis controlled by  Line manager  Line workers  General duties  Machine supply This department is controlled by  Manager  Distributors

Store Room: It controls the inventory levels and all the necessary raw materials which is needed in the manufacturing of a good car. We maintain our inventory level by using FIFO method. It includes

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AZU CAR Manufacturers Pvt.Ltd.

 Store keepers  Computer operators  Inventory controller

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AZU CAR Manufacturers Pvt.Ltd.

HUMAN RESOURCE MANAGEMENT Positions Manager Supervisor Junior Assistants Accounts In charge Marketing Officer Assistants/Peons Security Services Fees Total

Number 1 1 8 1 1 2 1

Salary/month 20,000 10,000 3,500 8,000 10,000 3,000 6,000

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Salary/annum 240,000 120,000 336,000 96,000 120,000 72,000 72,000 1,040,000

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AZU CAR Manufacturers Pvt.Ltd.

Specifications of Coco Rico Automatic Dimensions Exterior L x W x H (mm)

3300 x 1400 x 1445

Interior L x W x H (mm)

1710 x 1185 x 1170

Wheel Base (mm)

2300

Gross Vehicle Weight

1070

Engine Displacement (cc)

647

Engine Type

3 Cylinder

Transmission

4 Speed A/T

Basic Tyres

Tubeless Radial

Brake (Front/Rear)

Disc/Drum

Suspension (Front)

coil springs

Suspension (Rear)

Semi trailing type with coil springs, Independent suspension

Exterior Bumpers

Colour Coded

Halogen Head Lamps

Available

Laminated Wind Screen

Available

Mud Flaps

Available

Side View Mirrors

(Black)

Interior Air Conditioner

Available

Cassette Player & AM/FM Radio

Available

Door Trim

Fabric

Floor Carpets (Cabin)

Available

Fuel Lid & Back Door Opener

Available

Heater

Available

Head Rest (Front)

( Separate, Adj)

Rear Boot Mat

Carpet

Seat Material

Fabric

Seat Belts (Front)

3P ELR D/P

Seating Capacity

2

Speakers

2 (Front)

Steering Type

2 Spoke

Sun Visors (D+P)

With vanity mirror

Trip Meter

Available

Stereo system

Available

Colours

Metallic & Solid

Specifications and equipment may differ from actual. Company reserves the right to change specifications without prior notice.

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AZU CAR Manufacturers Pvt.Ltd. Models

AZU

ZAU

UZA

Dimensions & Weights Exterior L x W x H (mm)

3300 x 1400 x 1445

Interior L x W x H (mm)

1710 x 1185 x 1170

Wheel Base (mm) Gross Vehicle Weight

2300 1040

1050

1140

Engine Displacement

647

Engine Type

3 Cylinder

Maximum Output

30.0 kw / 5500 rpm

Maximum Torque

65N.m / 3200 rmp

Transmission

4 Speed M/T

Basic Tyres

Tubeless Radial

Brake (Front/Rear)

Disc/Drum

Brake System

Tandem Master Cylinder with 7 Inch Booster

Suspension (Front)

coil springs

Suspension (Rear)

Semi trailing type with coil springs, Independent suspension

Exterior Bumpers

Black

Colour Coded

Halogen Head Lamps

Available

Laminated Wind Screen

Available

Side Impact Bars

Available

Side View Mirrors

(Black)

Colour Coded

Interior Air Conditioner

x



Cassette Player & AM/FM Radio

x





Fabric

Fabric

Door Trim

Vinyl



Floor Carpets (Cabin)

Available

Fuel Lid & Back Door Opener

Available

Heater

Available

Head Rest (Front)

(Separate, Adj)

Rear Boot Mat

Vinyl

Carpet

Carpet

Seat Material

Vinyl

Fabric

Fabric

Seat Belts (Front)

3P ELR D/P

Seating Capacity Speakers

5 x

2 (Front)

Steering Type Sun Visors

2 (Front)

2 Spoke Available

Trip Meter

with vanity Mirror

with vanity Mirror

0

CNG Spark Adjusting System (SAS)

0

Gas Cylinder Capacity

50 Liters

Gas Cylinder Guard Bar

0

High Pressure Pipe Safety Ring

0

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AZU CAR Manufacturers Pvt.Ltd.

Colors

Solid only

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Metallic & Solid

Metallic & Solid

AZU CAR Manufacturers Pvt.Ltd.

Performance CocoRico have a 647 cc, 3 cylinder engine with 4 speed manual transmission provides raw power and control for matchless acceleration and performance.

CocoRico roomy interior, powerful air conditioning, independent suspension and responsive steering ensure a comfortable and smooth ride for you.

Sketch:

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AZU CAR Manufacturers Pvt.Ltd.

Interior All interiors are given below

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AZU CAR Manufacturers Pvt.Ltd.

Digital Meter will be available Sooooon‌..

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AZU CAR Manufacturers Pvt.Ltd.

There are different companies doing business in Pakistan.

Cuore:

Suzuki (Mehran)

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AZU CAR Manufacturers Pvt.Ltd.

Suzuki (Cultus)

Hyundai (Santro)

Suzuki (Alto) 30

AZU CAR Manufacturers Pvt.Ltd.

Competitors Prices: ADAM MOTORS REVO 800 CC PETROL PLUS (CNG) REVO 800 CC PETROL A/C

PRICE Rs. 309,000 Rs. 325,000 PRICE

CHANGAN GILGIT 800 CC ( Double Cabin ) KALAM EFI 800 CC ( High Roof )

Rs. 360,000 Rs. 399,000 PRICE

CHEVROLET JOY CNG

Rs. 599,000 PRICE

DAIHATSU CUORE CX A/T CUORE CX ECO (CNG )

Rs. 464,000 Rs. 474,000

FIAT UNO UNO D/LTD

Rs. 664,000

HYUNDAI Santro Club-GV CNG Santro Club-GV SE - FIFA Special Edition Shehzore Pickup H-100 (Deckles) Santro “EXEC” Shehzore Pickup H-100 Santro EXEC GV CNG

PRICE Rs. 609,000 Rs. 629,000 Rs. 639,000 Rs. 649,000

PRICE SOGO SOGO DOUBLE CABIN 800 CC (Without Alloy rim) Rs. 370,000 SOGO DOUBLE CABIN 800 CC (With Alloy rim) Rs. 380,000 SOGO FAMILY VAN 800 CC (Without Alloy rim) Rs. 405,000 SOGO FAMILY VAN 800 CC (With Alloy rim) Rs. 415,000 PRICE

SUZUKI 31

AZU CAR Manufacturers Pvt.Ltd.

MEHRAN VX MEHRAN LE RAVI STD (CNG) MEHRAN VX (CNG) MEHRAN VXR MEHRAN LE (CNG) BOLAN STD MEHRAN VXR (CNG) BOLAN STD (CNG) ALTO VX BOLAN A/C ALTO VX (CNG) BOLAN GL (CNG) ALTO VXR ALTO VXR (CNG) CULTUS VX CULTUS VXR CULTUS VXR (CNG) CULTUS CXL

Rs. 315,000 Rs. 331,000 Rs. 344,000 Rs. 345,000 Rs. 360,000 Rs. 361,000 Rs. 367,000 Rs. 390,000 Rs. 404,000 Rs. 419,000 Rs. 427,000 Rs. 454,000 Rs. 461,000 Rs. 464,000 Rs. 499,000 Rs. 504,000 Rs. 555,000 Rs. 600,000 Rs. 604,000

CocoRico (Mini)

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AZU CAR Manufacturers Pvt.Ltd.

CocoRico (Sports)

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AZU CAR Manufacturers Pvt.Ltd.

Descripti on

Rs

Sales

3600000 0 1200000 0 2400000 0

3960000 0 1320000 0 2640000 0

4356000 0 1452000 0 2904000 0

4791600 0 1597200 0 3194400 0

52707600

400000

440000

484000

532400

585640

9120000

1103520 0 1752080 0

1213872 0 1927288 0

13352592

1448000 0

1003200 0 1592800 0

1050000

1155000

1270500

1397550

1537305

13430000

1477300 0

1625030 0

1787533 0

19662863

Less: C.G.S Gross Profit Less: Operating Expense Marketing expense Admin expense Net Income Before Tax Income Tax Net Income After Tax

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17569200 35138400

21200168

AZU CAR Manufacturers Pvt.Ltd.

Projected Balance Sheet

Year 1

Year 2

Year 3

Year 4

Year 5

23500000

26500000

24000000

3300000

2400000

4200000

1200000

3600000

23000000

25900000

30700000

25200000

6900000

12000000

12000000

12000000

12000000

12000000

1600000

1600000

1600000

1600000

1600000

Office 270000 Equipment Total Fixed 13870000 Assets

270000

270000

270000

270000

13870000

13870000

13870000

13870000

10000000

11000000

12000000 135000000

155000000

46870000

50770000

56570000 174070000

175770000

Assets

Current Assets Cash and 20000000 Bank 3000000 Account receivable Total Current Assets Fixed Assets Machinery and equipment Furniture and Fixtures

Intangible Assets PreOperating Costs Total Assets Liabilities and owners equity Liabilities:

Short term debt

5000000

4000000

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3000000

--

AZU CAR Manufacturers Pvt.Ltd.

Long term 100000000 920000000 700000000 650000000 debt

600000000

----Deferred tax 100000000 925000000 704000000 653000000 Total liabilities

-600000000

Equity: 500000000 580000000 620000000 660000000 700000000 Capital 600000 564960 780905 591658 324670 Drawing 499400000 579435040 619219095 659408342 699675330 Total Equity 599400000 1504435040 1323219095 1312408342 1299675330 Total Liabilities and Capital

PRICE SETTING

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AZU CAR Manufacturers Pvt.Ltd.

Total car price = (300000 - 350000) If on leasing then Interest • • • • • •

50000 Engine: 60000 Body: 50000 Interior: 95000 CNG Kit 30000 Stereo System (With LCD) 23000 Other Expences 17000

Profit 25000

Bibliography  Atlas Honda (Manga Mandi)  Suzuki Oriantal Motors (Sahiwal)  www.apnigari.com

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AZU CAR Manufacturers Pvt.Ltd.

      

www.google.com www.carsdirect.com www.theoscarproject.com www.generalmotors.com www.ford.com www.indusmotors.com www.suzuki.com.pk

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