Report on Business Marketing Research on JMI, a B2B Market [Elegant (VI)]


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This is a Report on Business Marketing Research on JMI, a B2B Market. It is based on the study of Business Marketing.
Surgical Device market in Bangladesh has great prospect for the local manufacturer of surgical device. More than 30,000 surgical devices are available in Bangladesh. Almost all devices are exported from foreign country. So we can tell surgical device market as the unexplored B2B market. Only four major companies are providing surgical devices in Bangladesh. If the companies manufacture more surgical device then it generate huge profit to them. It also creates more empowerment and also contributes to our national economy.
JMI syringe & Medical Device Company Ltd. has various kinds of surgical product, although it is very difficult and risky for surgical device provider to develop new product, JMI has eleven products. The company‟s age is not very old in comparison of its competitor. But still the companies are doing well in surgical device market in Bangladesh. They are ranked as 2nd as the comparison of its competitor Opso saline.
JMI Syringe & Medical Device Limited has received tremendous response by institution buyer and dealers. Institution buyers have gained confidence in their products for quality and economics. This business shows considerable promise in contributing to the national economy of Bangladesh. This report focuses on JMI‟s syringe & other medical devices their various strategies, promotional activities, and their position in the market in comparison to the market leader “Opso Saline” and so on.
JMI charges cost plus pricing for some of his products and for unique product like AD syringe and urine drainage bag they charges skimming pricing. They have also promotion strategy like other surgical device company in Bangladesh. The promotion campaign is inspiring the doctors and their patient to use safe syringe, attending different seminar, fair related to pharmaceutical product. But due to the Govt. prohibition they can‟t promote their product by the mass media.

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Report on Business Marketing Research on JMI, a B2B Market [Elegant (VI)]

  1. 1. ReportOnBusiness Marketing Research on JMI, a B2B Market(Based on the Study of Business Marketing)
  2. 2. Report On Business Marketing (Course: 514) Topic: Business Marketing Research on JMI, a B2B MarketPrepared for:Usmita AfroseAssistant ProfessorDepartment of MarketingFaculty of Business of StudiesUniversity of Dhaka Prepared by: “Elegant (VI)” Section: A Department of Marketing (14th) Faculty of Business Studies University of Dhaka Date of Submission: 10th October, 2012 eng. [ ]
  3. 3. Group Profile: “Elegant (VI)”We are...No. Name Roll Designation E-mail Address Remarks 1 Md. Abdur Rakib 041 Member 2 Rumana 087 Member 3 Md. Al Amin 089 Member 4 Anjuman Ara 139 Member 5 Md. Moben Ahmed 151 Member 6 Chowdhury Omor 173 Leader Faruque [ ]
  4. 4. Letter of Transmittal:10th October, 2012Usmita AfroseAssistant ProfessorDepartment of MarketingUniversity of DhakaDear Sir,Here is the report on the topic of “Business Marketing Research on JMI, a B2B Market” and thedetails of it (Based on the Study of Business Marketing) that you asked us to conduct.This report helped us to collect convenient and very significant knowledge about the surgicaldevice market in Bangladesh as a whole. This report is based on the strategies and activitiesconducted by JMI syringe & Medical Device Co. Ltd. While conducting the report, we havelearnt business market development strategies, situation analysis, market targeting, application ofthe strategies and evaluation.We appreciate your choosing the B2B issue of the report topic. If you need any additionalinformation or assistance in the overview of our report regarding the topic, please ask us.Sincerely Yours,“Elegant (VI)”Section: ADepartment of Marketing (14th)Faculty of Business StudiesUniversity of Dhaka [i ]
  5. 5. Acknowledgement:At first, we would like to thank almighty Allah for having me the opportunity to complete thereport. We also want to thank all the people, who have given their support and assistance andextremely grateful to all of them for the completion of the report successfully. University ofDhaka and JMI Group Limited both provided me with enormous support and guidance for myInternship program to be completed successfully.We would like to thank Mr., Marketing Manager, JMI Group Limited for his valuable time andguidelines.We would also like to thank Mr. Samir kumar Sheel, for his kind concern, valuable time, adviceand guideline of the report.And finally we would like to thank our honorable course teacher, Usmita Afrose for providing uswith the opportunity to do the report in a B2B market. [ ii ]
  6. 6. Table of Contents: No. Particulars Page No. 1 Executive Summary iv 2 Introduction 1 3 Background of the Report 2 4 Scope of the Report 2 5 Objective of the Report 3 6 Methodology 4 7 Overview of Surgical Device Industry in Bangladesh 6 8 Overview of JMI Syringe and Medical Devices 12 9 JMI Syringe and Medical Devices‟ Products 19 10 Strategies Followed by the Company 26 11 Competitive Analysis 29 12 JMI‟s Growth 38 13 JMI‟s Social Responsibilities 46 14 Limitations of the Study 47 15 Research Findings 47 16 Findings 56 17 Conclusion 58 18 Recommendation 58 19 References 59 [ iii ]
  7. 7. Executive Summary:Surgical Device market in Bangladesh has great prospect for the local manufacturer of surgicaldevice. More than 30,000 surgical devices are available in Bangladesh. Almost all devices areexported from foreign country. So we can tell surgical device market as the unexplored B2Bmarket. Only four major companies are providing surgical devices in Bangladesh. If thecompanies manufacture more surgical device then it generate huge profit to them. It also createsmore empowerment and also contributes to our national economy.JMI syringe & Medical Device Company Ltd. has various kinds of surgical product, although itis very difficult and risky for surgical device provider to develop new product, JMI has elevenproducts. The company‟s age is not very old in comparison of its competitor. But still thecompanies are doing well in surgical device market in Bangladesh. They are ranked as 2 nd as thecomparison of its competitor Opso saline.JMI Syringe & Medical Device Limited has received tremendous response by institution buyerand dealers. Institution buyers have gained confidence in their products for quality andeconomics. This business shows considerable promise in contributing to the national economy ofBangladesh. This report focuses on JMI‟s syringe & other medical devices their variousstrategies, promotional activities, and their position in the market in comparison to the marketleader “Opso Saline” and so on.JMI charges cost plus pricing for some of his products and for unique product like AD syringeand urine drainage bag they charges skimming pricing. They have also promotion strategy likeother surgical device company in Bangladesh. The promotion campaign is inspiring the doctorsand their patient to use safe syringe, attending different seminar, fair related to pharmaceuticalproduct. But due to the Govt. prohibition they can‟t promote their product by the mass media. [ iv ]
  8. 8. Introduction:Surgical Device market in Bangladesh has great prospect for the local manufacturer of surgicaldevice. More than 30,000 surgical devices are available in Bangladesh. Almost all devices areexported from foreign country. So we can tell surgical device market as the unexplored market.Only 4 major companies are providing surgical devices in Bangladesh.We have chosen JMI syringe & Medical Device Company Ltd. as the business market or B2Bmarket as they manufacture products that are used for business purpose.JMI has various kinds of surgical product, although it is very difficult and risky for surgicaldevice provider to develop new product, JMI has eleven products. The company‟s age is notvery old in comparison of its competitor. But still the companies are doing well in surgicaldevice market in Bangladesh. They are ranked as 2nd as the comparison of its competitor Opsosaline.JMI Syringe & Medical Device Limited has received tremendous response by institution buyerand dealers. Institution buyers have gained confidence in their products for quality andeconomics. This business shows considerable promise in contributing to the national economy ofBangladesh. This report focuses on JMI‟s syringe & other medical devices their variousstrategies, promotional activities, and their position in the market in comparison to the marketleader “Opso Saline” and so on.JMI charges cost plus pricing for some of his products and for unique product like AD syringeand urine drainage bag they charges skimming pricing. They have also promotion strategy likeother surgical device company in Bangladesh. The promotion campaign is inspiring the doctorsand their patient to use safe syringe, attending different seminar, fair related to pharmaceuticalproduct. But due to the Govt. prohibition they can‟t promote their product by the mass media.This report also covers the findings and analysis based on the response of the users of surgicaldevice. Along with it, the report also covers SWOT analysis, benchmarking, Porter‟s five forcesmodel, bases for market segmentation, marketing mix elements etc. Using these, it will help JMIsyringe & Medical Device Company Ltd. to determine what sort of steps and strategies are to beimplemented by them in order to be the market leader. In addition, it will also help them to [ 1]
  9. 9. understand the needs and wants of their target audience and to provide them with the bestpossible service.Based on the current status on JMI Syringe & Medical Device Company Ltd, it can be said that ithas tremendous potential to be the market leader. Proper planning and implementation ofeffective strategies will help them to achieve this objective within a short span of time.Background of the Report:JMI Group Limited is the one of the leading Manufacturer of surgical devices in Bangladesh andit has been continuously in competitive position among all national and multinational companiessince 2003. But its journey to the growth and prosperity was very tough after the inception in1999. This report, “Highest quality device provider or lowest possible price device providerwho wins in surgical devices market context in Bangladesh, a case study on JMI syringe &Medical Devices Ltd.”, has been prepared to fulfill the partial requirement of BBA program as ameans of Internship program. While preparing this report, I had a great opportunity to have an indepth knowledge of all the Marketing activities of JMI Syringe &Medical Devices CompanyLtd. It also helped me acquire a firsthand perspective of one of the leading Manufacturer ofsurgical devices company in Bangladesh. It must be also noted that the data used here is trulyand strictly confidential and no one can use its components in full or partial. I would like to givethanks to everyone who has helped and encouraged me in the process of preparing the report.Scope of the Report:This report is based on the product quality & price dilemma faced by of JMI Syringe &Medical DevicesCompany Ltd. in Bangladesh. I also analyze the country leading surgical device companies‟ productquality assurance system and pricing policy and compare the present Market situation of other surgicaldevice manufacturer company in Bangladesh. [ 2]
  10. 10. Objectives of the Report:General Objective:The main objective of this report is to know about and analyze the marketing strategies of thecompany, marketing system of B2B market and make possible recommendation about themarket.Specific Objective: To understand the structure of JMI. To know about B2B market, its nature, trend and its competition. To understand the stakeholders of business products. Building a brand position in the Market. How to provide better customer service. How it helps to gain more market share in the business market. Knowing promotional campaign and new launches by JMI. Establishing of a new business product/brand. Knowing studying about the core elements and applications of business marketing. Learning the marketing strategies used for such fields. The value chain process of B2B markets. [3 ]
  11. 11. Methodology:Research Design:This report is an exploratory and descriptive one in type of research which briefly reveals theoverall “Price or Quality which one is better of JMI Syringe &Medical Device Company Ltd.?”It has also been administered by collecting both primary and secondary data. Annual reports ofJMI Syringe & Medical Devices were the major secondary data sources in this regard. Ratioanalysis and trend analysis have also been used as major tools for the financial performanceanalysis.Sources of Data:The information I needed to complete this report were collected from the following sources:Primary Sources:Primary data are collected through sample survey and interviews with the concerned party. Itincluded the fresh or completely new data sources collected for a specified purpose, such asinterviews, observations etc.Secondary Sources:Secondary data are collected through gathering of the published materials of the company,industry sales report from the concerned authority. It included sources of existing/published data.Data Collection Procedure:I have collected the primary and secondary data in following ways:Primary Data:  Practical work exposures from different sections of the company  Focus group meetings [4]
  12. 12.  Face to face conversation with the respective personnel  Direct observation  Informal discussionSecondary Data:  Annual reports of JMI Syringe & Medical Device Company Ltd.  Different notices and brochures of JMI Syringe & Medical Device.  Official Websites  Administrative manuals of the company  Various reports and articles related to the study  Different books, newspaper, magazine etc.Tools used for Analysis:Quantitative and qualitative data were collected and analyzed according to acceptable standardsof practice. Different tables and graphs were used to make the data meaningful and comparable.Qualitative data were analyzed rationally and in comparison with current market condition.Necessary percentages and averages were calculated and the analyzed results were put down stepby step. I have used two major tools to analyze the financial performance of JMI Syringe &Medical Device Company Ltd. [5]
  13. 13. Overview of Surgical Device Industry in Bangladesh:Surgical device industry has grown in Bangladesh in the last two decades at a considerable rate.Its healthy growth supports development of auxiliary industries for producing glass bottles,plastic containers, aluminium collapsible tubes, aluminium PP caps, infusion sets, disposablesyringes, and corrugated cartons. Some of these products are also being exported. Printing andpackaging industries and even the advertising agencies consider pharmaceutical industry as theirmajor clients and a key driving force for their growth.The sector consistently creates job opportunities for highly qualified people. Many establishedentrepreneurs of today started with pharmaceutical companies in the country. Pharmaceuticalcompanies are either directly or indirectly contributing largely towards raising the standard ofhealthcare through enabling local healthcare personnel to gain access to newer products and alsoto latest drug information.Following the Drug (Control) Ordinance of 1982, some of the local pharmaceutical companiesimproved range and quality of their products considerably. The national companies account formore than 65% of the pharmaceutical business in Bangladesh. However, among the top 20companies of Bangladesh 6 are multinationals. Almost all the lifesaving imported products andnew innovative molecules are channeled into and marketed in Bangladesh through thesecompanies. Multinational and large national companies generally follow current goodmanufacturing practices (GMP) including rigorous quality control of their products. The DrugAct of 1940 and its rules formed the basis of the country‟s drug legislation. Unani, ayurvedic,homeopathic and biochemic medicines were exempted from control under the legislation. Thepharmaceutical industry was dominated by the foreign companies at that time. Even in theallopathic market there were extemporaneous preparations dispensed from retail pharmacies.The surgical device industry, however, like all other sectors in Bangladesh, was much neglectedduring Pakistan regime. Most multinational companies had their production facilities in WestPakistan. With the emergence of Bangladesh in 1971, the country inherited a poor base ofsurgical device industry. For several years after liberation, the government could not increasebudgetary allocations for the health sector. Millions of people had little access to essential lifesaving medicines. With the promulgation of the Drug (Control) Ordinance of 1982 many [6 ]
  14. 14. medicinal products considered harmful, useless or unnecessary got removed from the marketallowing availability of essential drugs to increase at all levels of the healthcare system.Increased competition helped maintain prices of selected essential drugs at the minimum andaffordable level.In 1981, there were 166 licensed surgical device manufacturers in the country, but localproduction was dominated by eight multinational companies (MNCs) which manufactured about75% of the products. There were 25 medium sized local companies which manufactured 15% ofthe products and the remaining 10% were produced by other 133 small local companies. Allthese companies were mainly engaged in formulation out of imported raw materials involving anexpenditure of Tk 600 million in foreign exchange. In spite of having 166 local pharmaceuticalproduction units, the country had to spend nearly Tk. 300 million on importing finishedmedicinal products. A positive impact of the Drug (Control) Ordinance of 1982 was that thelimited available foreign currency was exclusively utilized for import of pharmaceutical rawmaterials and finished drugs, which are not produced in the country. The value of locallyproduced medicines rose from Tk. 1.1 billion in 1981 to Tk. 16.9 billion in 1999. At present,95% of the total demand of medicinal products is met by local production. Local companies(LCs) increased their share from 25% to 70% on total annual production between 1981 and 2000.In 2000, there were 210 licensed allopathic drug-manufacturing units in the country, out ofwhich only 173 were on active production; others were either closed down on their own orsuspended by the licensing authority for drugs due to non compliance to GMP or drug laws.They manufactured about 5,600 brands of medicines in different dosage forms. There were,however, 1,495 wholesale drug license holders and about 37,700 retail drug license holders inBangladesh. Anti-infective is the largest therapeutic class of locally produced medicinalproducts, distantly followed by antacids and anti-ulcerants.Other significant therapeutic classes include non-steroidal anti-inflammatory drug (NSAID),vitamins, central nervous system (CNS) and respiratory products. A most remarkable progressthe local industry has made in recent time is the phenomenal increase in the local production ofbasic chemicals. There are now 13 drug manufacturing units, which also manufacture certainbasic materials. These include Paracetamol, Ampicillin Trihydrate, Amoxycillin Trihydrate,Diclofenac Sodium, Aluminium Hydroxide Dried Gel, Dextrose Monohydrate, Hard Gelatin [7]
  15. 15. capsule shell, Chloroquine Phosphate, Propranolol Hydrochloride, Benzoyl Metronidazole,Sodium Stibogluconate (Stibatin) and Pyrantel Pamoate. However, most of these are confined tothe last stage of synthesis. There are three public sector drug manufacturing units. Two of themare the Dhaka and Bogra units of Essential Drug Company Ltd. (EDCL), which is functioning asa public limited company under the Ministry of Health and Family Welfare. EDCL producedmedicines worth Tk. 964 million in 2000. There are separate vaccines and large volume IV fluidsproduction units under the Institute of Public Health (IPH). The productions of both EDCL andIPH are mostly used in government hospitals and institutions. In 2000, there were 261 unani, 161ayurvedic, 76 homeopathic and biochemic licensed manufacturing units. They producedmedicines worth Tk. 1.2 billion in 2000.One of the major positive impacts of Drug (Control) Ordinance is the rapid development of localmanufacturing capability. Almost all types of possible dosage forms include tablets, capsules,oral and external liquids (solutions, suspensions, emulsions), ointments, creams, injections (smallvolume ampoules/dryfill vials/suspensions and large volume IV fluids), and aerosol inhalers arenow produced in the country.Physical distribution of pharmaceuticals in Bangladesh has evolved in a unique way. Unlikeother countries Bangladesh pharmaceutical industry is more retail oriented and bulk ofdistribution is done by the companies themselves. Pharmaceutical companies distribute theirproducts from their own warehouses located in different parts of the country, as no professionaldistribution house is available. Wholesalers play a limited role in this regard since companiessupply goods to both retailers and wholesalers. Export of pharmaceutical products is still in aninfant stage, although a number of private pharmaceutical companies have already entered theexport market with their basic materials and finished products. They export their products toVietnam, Singapore, Myanmar, Bhutan, Nepal, Sri Lanka, Pakistan, Yemen, Oman, Thailand,and some countries of Central Asia and Africa.The primary responsibility for drug quality control lies with the manufacturers. However, thegovernment‟s drug testing laboratories (DTL) and the Directorate of Drug Administration(DDA) have the monitoring and supervising role. There are two government drug testinglaboratories. DTL at Dhaka is in the Institute of Public Health and the regional DTL atChittagong is under DDA. Drug administration is responsible for registration of drugs for [8]
  16. 16. marketing in Bangladesh and for inspection of premises and licensing. With its present set upand inadequate strength, DDA often finds it difficult to carry out its very large volume ofassigned work. The national drug policy and the regulatory control policies are yet to achievebest results for a healthy growth of the pharmaceutical industry. Because of the limited capacityof the government‟s drug testing laboratories, the quality of products manufactured locallycannot be uniformly ensured. Restrictions on patent rights discourage foreign investors to comeup actively in the pharmaceutical market in Bangladesh. Introduction of new research moleculesis difficult due to slow registration process and restrictions on patent protection. Although thefixed mark-up system of pricing helped keep the prices of pharmaceutical products low, thismade it difficult to cover costs of marketing and distribution. The fixed mark-up system alsodiscourages some companies to invest for GMP and assurance of high quality production. Someimportant therapeutic classes of the pharmaceutical market (antacids and oral vitamins) are onlyopen to the local companies even after 20 years of the drug ordinance. This policy isdiscriminatory and also contrary to the announced investment policy of the government.The annual per capita drug consumption in Bangladesh is one of the lowest in the world.However, the industry has been a key contributor to the Bangladesh economy sinceindependence. With the development of healthcare infrastructure and increase of healthawareness and the purchasing capacity of people, this industry is expected to grow at a higherrate in future. Healthy growth is likely to encourage the pharmaceutical companies to introducenewer drugs and newer research products, while at the same time maintaining a healthycompetitiveness in respect of the most essential surgical devices.Major Surgical Device Market in Bangladesh:In surgical device market there are two types market in Bangladesh. The two types of market are: a) Local market b) Institution Market. [9]
  17. 17. Local market sales and institution market sales are different from others. Local Company, 6% Multinationa l Company, 94% Local Company Multinational CompanyExisting Company of Surgical Devices:In syringe industry, there are four company exists. The names of companies are given below: Sl. No Name of the company 01. Opsonil 02. JMI SYRINGE AND MEDICAL DEVICES 03. SKYLAB Pharma 04. Acme Laboratories. [ 10 ]
  18. 18. Market Share of Syringe Company in Bangladesh:There are different national and multinational company exists in syringe industry. The strategy ofvarious industries is different. That‟s why the market structure is different. • JMI syring e • Opsonil & medical devices 39% 46% 11% 4% • Skylab • Acmi lab Pharma [ 11 ]
  19. 19. Overview of “JMI Syringe and Medical Devices”:Company Profile:JMI is a Korea Bangladesh joint venture enterprise. The company is an ISO 13485:2003 & CE-1023 certified company. JMI strictly adheres to Good Manufacturing Practice (GMP). „JMIquality policy‟ complies better health care assurance. JMI provides international standardproducts to ensure global acceptance. JMI is the pioneer manufacturer of Auto Disable (AD)syringe in Bangladesh. The company is the first time manufacturer of versatile forms of medicaldevices, i.e.:  IV cannula  Blood Transfusion set  Intra Uterine DeviceThe company has high degree of needle sharpness ensures patient compliance. JMI is theprovider of Auto Disable (AD) syringe for expanded program on Immunization (EPI) and infamily planning of Bangladesh for administrating injectable contraceptives. JMI is the majorprovider of medical/surgical devices in leading diagnostic centers, clinics, reputed hospitals,govt./ non-govt. institutions and pharmaceutical industries. JMI is the inducer of ribbon packpresentation in Bangladesh. The company is the provider of healthcare devices to reputedNational, Multinational and international organization. Patient-safety and user-satisfaction fromquality perspective are the topmost priorities of JMI. In conformity with recommendations ofglobal health authorities, JMI initiated “Awareness Campaign” regarding “importance ofinjection safety” since 2005 in relevant forums. JMI has the diversified technical collaborationwith Korea, England and Japan to ensure optimum level of quality standard for national andglobal marketing. [ 12]
  20. 20. Major Highlights of JMI Group:  Head office 7/A Shantibag, Dhaka-1217  Organization Type Syringe & Medical Devices  Operated By Management Governing Board  Core business activities  Sells of Local and exported Syringe.  Sells of Local & exported medical devices e.g. IV Cannula, Infusion set.  Sells of Pharmaceuticals Product  Sells of Nipro Product.  Others programs  Arranging different programmed to conscious Doctors to use AD syringe  Arranging workshop for inspiring the user to use JMI product  Number of employees  JMI employs around 1418 personnel.  Market Share  Almost 37% market share in syringe business.  Almost 43% market share in other medical devices  Volume Sold  Almost 6 million syringe in each year.  12 million medical devices  Distribution Channel  22 MIO (Medical Information Officer), who sells & provides information about JMI product to management level.  369 dealers countrywide  Factory & Warehouse  Nowpara, Rajendrapur, Chauddagram, Comilla, Bangladesh.  20,000 sft. Central Warehouse which situated in their Head office 5th floor, packing & other handling activities are done by them in their factory.  Major products  Disposable syringe, AD (Auto Disable) syringe.  IV Cannula,  Infusion set  Scalp Vein set  Blood Transformation Set.  First Aid bandage.  Major Donor  South Korea  Business type  Joint venture  Year of Establishment  1999  Year of listed in  2003 Chittagong Stock Exchange  Origin & Operating  South Korea Country  Full name of  JMI syringe & Medical Devices. Organization [ 13 ]
  21. 21. Mission and Vision of JMI:Mission: Manufacture and supply of quality medical & surgical appliances promoting self- health care & subsequently establishing family welfare among the people thought innovative technologyVision: To be the leader of Medical & surgical appliance of Health and family welfare sectorCore customer values: Our shareholders: By ensuring fair return on their investment thought generating stable profit. [ 14 ]
  22. 22. Board of Directors and Corporate Management: Chairman Md. Jabed Iqbal Pathan Managing Director Director Md. Abdur Razzak Mr. Kim Director Director Director GM (Marketing GM (HR & & Sales) Md. Md. Abdul Md. Abu Jafar Md. Abdul Admin) Showquat Majid Patwary Chowdhury Hoque Sadekur Islam HossainList of department of JMI and their Activities: The different departments of JMI are: 1) HR & Administration 2) Finance 3) Commercial 4) Marketing and Sales 5) Product & Market Development (PMD) [ 15]
  23. 23. Financial situation of JMI Syringe & Medical Device:The operational highlights for JMI are given below: Operational and Financial Highlights Income Statement – 2011 at a glance [16 ]
  24. 24. Marketing and Sales:Marketing Department maintaining their Daily or monthly work by the following DocumentsThe documents are: 1) Contract Record File (CRF) 2) Daily Call Report 3) Expense formPackaging:JMI have two types of packaging for their product. a) Primary Packaging: there are four types of Primary packaging. They are: - Ribbon Pack - Blister Pack - Hard Blister Pack - Poly pack b) Master Carton: • Company (1200/1600) • Local (2400) [ 17 ]
  25. 25. Warehouse:JMI have two warehouses. Central warehouse is in the Comilla. And other warehouse situated intheir Head office. The size of their central warehouse is 15000 Sq. feet & the head officewarehouse size is 7500 square feet. In warehouse department maintain FIFO method for theirproduct because every product has it‟s expire date. So before ending expire date product has tosell. So JMI maintain FIFO policy for their store product.Product Market Development:Responsibility of Product Market Development: a) New product launching b) Packaging materials c) Regulatory affairs d) Calculating production Capacity (Demand, Supply) e) Quality enhance f) Develop promotion Literature g) International Marketing h) Product drawing & specification/ product Data sheet [ 18]
  26. 26. “JMI Syringe and Medical Devices” Products:Product List of JMIThe products of JMI are given below: [ 19 ]
  27. 27. The product of JMI is syringe and medical devices. There are two types of syringe. Sl. No. Name of Syringe 01. Sterile disposable syringe (1 Ml, 3M, 5 Ml etc.) 02. Auto disable syringe (.05 Ml, .5 Ml etc.)Sterile Disposable Syringe:There are different kinds of disposable syringe produce by JMI. They are: Name of Disposable Syringe 1 ml 3 ml 5 ml 10 ml 20 ml 30 ml 50 mlMajor Function of syringe: 1) To administer medication directly to body circulation system. 2) To draw blood for diagnostic purposes 3) For vaccination purposes. [ 20 ]
  28. 28. Users of Syringe: 1) Hospital 2) Diagnostic center 3) Doctor‟s chamber etc.Sterile Auto Disable (AD) Syringe:Characteristics:This system cannot be used and so this is a useful for presentational transmission of blood bornediseases.Use of an AD syringe: 1) Vaccination 2) Preventive and curative healthcare purpose.Different AD syringe0.05 ml0.1 ml0.5 ml1 ml3 ml5 ml10 ml [ 21 ]
  29. 29. Insulin Syringe:Purpose:Used for management of diabetes by pushing insulin. 1) Insulin syringe 40 units 2) Insulin syringe 100 unitsOther Medical Devices: Intravenous Infusion Set:It is used for direct infusion of liquid dextrose solution, nutritional product and medication tobody strength to vein. [22 ]
  30. 30.  Urine Drainage Bag:It is used for collection of urine through catheter applicable for critically ill patients. First Aid bandage:Medicated bandage to protect wound from external attack. It is used for stopping the blood &help the skin not to damage. I.V. Cannula:I.V. Cannula is used to take saline in intravenous for different purpose. [23 ]
  31. 31.  Blood Transmission Set:Blood transmission set is used for transmit the blood.Name of Raw Material: Name of product Raw materials used AD syringe  Barrel-White  Plunger  Gasket  Barrrel(Printed)  Blister paper,415 mm (white)  Flim (420*90 MIC)  Poater (set)  Inner carton  Master cartoon Disposable syringe  Barrrel-White JMI  Plunger JMI  Film (421*90 MIC) China  Blister paper 415 mm (Print)  Barrel (Printed) Insulin syringe  PVC film for ribbon pack  Non Sterile (30G*5/16”) ribbon pack  Sterile (30G*5/16”) ribbon pack  Assembling (30G*5/16”)  Maste batch for plunger  Gasket Infusion set  Inlet-Urine  IntelCap  Outlet Urine  Outlet Cap  Transpareent film  White film  Tube (870mm) [ 24 ]
  32. 32. Urine drainage bag  Inner poly urine Bag 10 pcs  Transparent Film(printed)  Bengin for Screen printing  Master cartoonI.V.cannula  IV Cannula 18 G,1.3*45 mm  IV Cannula 20 G,1.1*32 mm  IV Cannula 22 G,0.9*25 mm  IV Cannula 24 G,10.72*19 mm  IV Cannula unprinted paper 207mm  IV Cannula printed paper  IV Cannula Master cartoonBlood transfusion set  Chamber for Blood (China) Air vient  Blood transfusion poly Bag  PVC Tube (1400mm) Blood  Feeding tube  Suction catheter  Ryles tube  Separator  Non-woven  Inner carton  Master cartonFirst aid bandage  Sticker (imported)  Blister paper Freon  SilicoatEye gel cannula  Eye Gel Cannula 22 G  Eye Gel Cannula 23 Gel  Gasket3cc Elistoma (imported)  Stopper [ 25 ]
  33. 33. Strategies Followed By the Company:Pricing Strategy (A dilemma for JMI):Basis of Pricing: 1) Cost of raw materials 2) Cost of packing 3) Manufacturing cost 4) Cost of manpower involvement. 5) Cost of taxes to be paid as far govt. rate. (VAT, Tax) 6) Cost of bank interest 7) Cost of transportation 8) Cost of distributor 9) Cost of PMD 10) Cost of R & DFor finalization of price manufacturers proposal is validated by drug administration. Trade price,VAT, and MRP are fixed. So price of all products are control by the relevant authority of theGovt.The pricing method which is followed by JMI is Cost Plus pricing method & Skimming Pricing.The cost plus pricing method calculating the all the cost of production and then adjusting theprofit and determine the final price of the product.There are two steps which form this approach. The first step involves calculation of the cost ofproduction, and the second step is to determine the markup over costs. [ 26 ]
  34. 34. Calculation of Cost of Production:The total cost has two components: Total Variable cost and Total fixed Cost. In either case, costsare computed on an average basis. That isAC = AVC + AFCWhere,AVC = TVC /QAFC = TFC /QAC= average costAVC= Average variable costAFC=Average fixed costTVC=Total variable costTFC=Total fixed costQ=Quantity (the number of units produced)In this approach, the quantity is assumed. In cost-plus pricing we use quantity to calculate pricebut price is the determinant of quantity. To avoid this problem, the quantity is assumed. This rateof output is based on some percentage of the firm‟s capacity.Determining the Markup over Costs:The objective of this approach is to set prices in a manner that a firm earns its targeted rate ofreturn. Now, if that return is Rs.X of total profit then the markup over costs on each unit ofoutput will be X/Q and then the price will be: P = AVC + AFC + X /Q. [ 27 ]
  35. 35. Comparison of Price Rate in Surgical Device Market: Product Name JMI Price Opsonin Price Monomedia SKYLABPHARMA Price Insulin syringe 6.50 4.55 4.20 4.00 Disposable 3.65 3.2 3.1 2.9 syringe Scalp vein set 4.00 3.8 3.9 3.7 Infusion set 13 Not available Not available Not available First Aid .62 0.5 .5 .45 Bandage Urine drainage 9.67 Not Available Not Available Not Available Bag Blood 13.20 Not Available 10 Not Available transfusion set IV Cannula 14 Not Available Not Available 12 [ 28 ]
  36. 36. Competitive Analysis:Industry Analysis:To analyze industry Porter has developed the following 5 forces model. On the basis of thismodel JMI is analyzed as the following: Threat of Substitute Products or Services Bargaining Power Rivalry among Existing Bargaining Power of Suppliers Competitors of Buyers Barriers to Entry Figure: Porter 5 Forces Model1. Rivalry Among Existing Firms:This force recognizes the active competition among industry members helps to determineindustry performance since we have selected JMI syringe and medical devices as our industryanalysis and in this regard we have found strong competitor of JMI. The main competitors forthe JMI are- [ 29]
  37. 37. i. Opso Saline ii. Skylab iii. Acme labThere is acute competition being noticed among these industries. At present JMI holds the leaderposition in the market because of various reasons:  Widening the geographic market.  Selling their products not only to institution but also local market.  Lowering variable cost relative to fixed cost.  Increasing their product Line.  No of marketing information offices.2. Threat of New Entrants:This force highlights the possibility of new competitors entering the market. In our case, JMI isfacing strong threat of new entrants. As there are more than 30,000 products in the market, butJMI produces few of them. Most of the existing products are exported from the foreign marketby various industries and exporter that may impact in the production of JMI. Moreover, Acmi labmay also be concern factor for JMS, because Acmi lab tries to produce more products than JMIand in many cases Acmi lab tries to provide their products more efficiently.3. Threat of Substitute Products:This force considers the potential impact of substitutes. New products that satisfy the samecustomer value requirement are important sources of competition. In our case, JMI faces lessthreat of substitute products.JMI is only substitute product is vaccutainer in lieu of syringebecame vaccutainer causes less pain than syringe at the time of pushing syringe and drawingblood from the body, Apart from JMI, most of other industries produce vaccutainer as well astraditional syringe. [ 30 ]
  38. 38. 4. Bargaining Power of Suppliers:The forth force is the power that suppliers may be able to exert on the producers in an industry.In our case, JMI faces strong bargaining power of suppliers. As JMI imports most of its rawmaterials from South Korean surgical device market where it competes with many suppliers topurchase raw materials. The main reason for this competes is less number of suppliers thanbuyers exist in South Korean Market.5. Bargaining Power of Buyers:Finally buyers use their purchasing power to influence their suppliers. In our case, Customershave less flexibility in terms of purchasing JMI‟s products because most of the product‟s price isfixed by the authority. So, customers have less chance to bargain with JMI.Comparison of Two Competitors:There are different basis of comparison of the competitors in surgical device market inBangladesh. The following points show the basis of comparison of surgical device market.Manpower:Normally, Companies who have more manpower can do better than others. But if the manpoweris not efficient then it is difficult for the company to promote the product. Efficient manpowercan promote the company‟s product well which boost the companies‟ market share.Transportation:Transportation facilities can help to smooth distribution system. If the company has moretransportation smooth distribution is possible but it also increases the cost of the companybecause more drivers needed for the cars and more fuel oil needed for the car. So the companymust be decided which one is best for him and take the right decision. [ 31 ]
  39. 39. First Comer:The first comer is the best eater of any market. The companies who come to the market first canget the opportunity to fix the skimming pricing and get the profit layer by layer.More Product Line:The company who has more product lines has got the best opportunity to fix the bundle price andsells the all product of his company to other companies. This policy also creates him the fixedsatisfied customer and helps to do well in long term business.Supply Chain:Supply chain is more talk about issue in current business world. So the company who has strongsupply chain can do well in any business. In surgical market context supply chain is alsoimportant to provide the product to our ultimate customers.Quick Delivery:Quick delivery system can help the surgical device company to satisfy their customer and buildstrong customer relationship with their customer. Any company who fail to provide theircustomer demand product in time have a negative impact of the company and may be lost thecustomer.Certification:The company who has the international certificate about their product quality creates good will& help to get new customer. In surgical device market quality product has the value of theinstitution, hospital & diagnostic centre. So the company has some certificate like ISO & CEcertificate help to prompt their product.Packaging:Packaging can create the positive impression for the customer. Here, one important example canbe discussed that Dispo Vin is the most common brand for insulin syringe in local marketbecause of their appealing looking. Local market insulin syringe of JMI is not prominent because [ 32 ]
  40. 40. of their poor packaging although its quality is best in local market. So base on this example wecan said that the packaging is important issue in surgical device market.Relationship:Relationship among the dealer and the ultimate customer can be important for the companies tobuild the long term relationship of the customer. If the relationship is not good with customerthen the customer are dissatisfied and the company lost its Customer.Opsonin (Major Competitor of JMI):Opso saline is the major competitor of JMI. Opsonin pharmaceutical companies sister concern isopso saline. The brief history of the company is given below:Marketing Strategy of Opso Saline:The opso saline company‟s marketing strategy is to sell more products in fewer prices. Theyhave the pharmaceuticals company so they do not need to depend on dealer like JMI. They havemore than 150 Depo in across the country. In these depo they provide their syringe & othersurgical device. Their Medical Information Officer provides pharma product and syringetogether with a bundle price. The local customer need not think about the quality of the product.They only think about the price. So Opso provide less price product to the local customer. Thisstrategy boosts their sell.Another important point is the opso saline has unique product like naussle which is used for thisproduct has lots of demand in the pharmacy now-a-days. One year earlier price of the naussle isonly 15 tk. But now this product is 50-60 tk. Opso saline provide this product to local market andforce the local pharmacy shop to purchase syringe with naussle. This is another important reasonwhy the opso saline is no. one position in surgical device market i9n Bangladesh. [ 33 ]
  41. 41. Advantage of dealing with local Market:Market Share:In syringe market major market share are containing in local market. That‟s why the companywho holds the local market can dominate the maximum market share of this industry.Huge Profit:More sell create huge profit for opso saline. We know by economics, if you sell more than yourprofit is lot higher than any one.Disadvantage of dealing with local market:Bargaining price:The price rate is not fixed. Always there are bargaining with the price. The customer wantedlowest price product but they do not think about the quality of the price.Delay payment:The payment policy in local market is not fixed. The payment is at delay. Sometimes it is verydifficult to collect payment for the local market. It increases the cost of company. The costincreases because the companies have to pay more amounts to their MIO to collect payment.Marketing Strategy of JMI:Marketing strategy of JMI is to target the institution market. In institution market the customerare educated. They never bargain with the price. They are always expecting good quality fortheir supplier. The philosophy of the seller (JMI) & the purchaser (institution customer) aresimilar that‟s why they can make business themselves. [ 34 ]
  42. 42. Advantage of dealing with institution Business:There are some advantages with dealing with institution Business. The advantages are:Quick payment: In Institution market JMI provides their product in institution at 1st to 20th of anymonth. Then they collect the money from 20 th of any month. So it is comparatively save businessthan local market business.No bargaining: There is no bargaining problem in institution market. Quality product is themajor issue for them.Disadvantage of dealing with institution Market:There are hardly any reasons with the disadvantage of dealing with institution market. Theinstitution market is safe for business.Why Opsonin lead the local Market:Low price:Opsonin is the low price provider of the surgical devices market in Bangladesh. A survey by theDrug Administration of Bangladesh shows that 55% syringe is selling as yearly basis in localmarket in Bangladesh.Manpower:Opsonin has more than 200 MIO in different region in Bangladesh Where JMI have only 27.That is the difference why JMI cannot compete with opso saline in local market. In local marketthe customer demand is that they want MIO come to them and provide them cheap price product.Because of shortage of Manpower it is very difficult for JMI to cover the local market. That‟swhy JMI losing market shares.Product line:The opso saline has more product line than JMI. There saline has huge sell in local market. Therenaussle is also another product which sell is highest amount in local market. [ 35]
  43. 43. Blackmail the local pharmacy:They blackmail the local pharmacy to purchase their syringe in exchange of their saline andnaussle. The local market their naussle has huge demand. Each nausle sell per piece at Tk 50.But opso sell them at Tk 20. This huge profit inspires the local customer to purchase opsoproduct.Gift giving:Opso saline sells strategy is to gift giving to their customer. The gift giving policy is veryimportant to Pharmaceuticals Company to make good relationship with their customer.Strong distribution channel:Opso saline has strong distribution channel. The number of MIO is huge. So that theredistribution channel is more powerful than JMI,Sufficient Depot:They have pharmacy product so that they have the sufficient depot. The sufficient depot helpsthem to provide product in end consumer.Why JMI lead the Institutions market:Quality product:Institution buyer prefers the issue needle sharpness, proper silicon oil and sterile product issue.All the fact is consider by JMI. JMI product has best quality. - Needle Sharpness: There needle is imported from Germany. So that the quality of JMI needle is best in Bangladesh. - Proper Silicon Oil: The amount of silicon oil is very important issue in syringe. The proper amount of silicon provides better care to the patient. [ 36 ]
  44. 44. - Sterile Product: The product o JMI is sterile. The sterile product ensures highest safeness to the patient.For these qualities institution buyer purchase JMI product.Timely delivery:The product delivery by the JMI is very time to time. That‟s why the institution buyer are beinghappy to them.Korean Brand:Korean brand helps them to promote their product quality. Customer knows about the product asthe name of Korean company. So that they think that the quality of the product is very good.Distribution:JMI also have lots of dealer who helps them to make their distribution channel strong. They alsohelp them to make their cost low.Big supplier of Government to surgical device:They are the involved with the EPI program which help them to create their good will. For thisinstitution purchaser inspire to purchase JMI product.Strong supply chain:Strong supply chain is also another reason why JMI get the institution customer. Strong supplychain also helps them to get lots of work. The supply chain for JMI is as follows:Certification:They have the CE and ISO certificate. This also encourages them to purchase JMI product. [ 37]
  45. 45. JMI’s Growth:AD syringe is the prospect of JMI group. If AD syringe is habituated in Bangladesh then JMI asthe first comer of AD syringe in Bangladeshi surgical device market it can bring huge profit forthe company. Already JMI exported AD syringe in Germany & Netherland.AD syringe:AD syringe is the most prospects for JMI. If the use of AD syringe is habituated in Bangladeshthen the sell of AD syringe of JMI is Increase and they can earn huge profit.Export Business:JMI has the export business in Germany, South Asia & Middle East. They have the plan toincrease their business further.Competitor Pricing Strategy:In response to cost plus pricing Opsonil has penetration pricing. The price of their product isvery low. That‟s why in local market they are doing well. Cause the client of local marketdemanded only low cost product. They have huge sell because they provide very low costproduct.Distribution of JMI:Company has self-distribution centers in different location of the country for distribution of allgoods as far order placed by the sales force. Moreover company has selected number of dealersat upazila and district head quarter level for smooth distribution of product where company‟sself-distribution network is not available. JMI has the two types of distribution. The two types ofdistribution are: [ 38 ]
  46. 46. Distribution channel Dhaka city Local areaThe MIO have the responsibility to do the job of daily basis to visit of the different company topromote and sell their product. This is the part of their distribution strategy. The lists are givenbelow: [ 39 ]
  47. 47. Distribution Management of JMI:There are two typed of distribution management followed by JMI.The supply chain of JMI for the whole country: Raw Lands to Main Packaging store the Distributio materials the factory to the product in n to whole comes chittagong situated in main warehouse country from south sea port comilla factory in Dhaka Africa cityInside Dhaka City:Inside the Dhaka city JMI has the distribution channel like this. This is very simple distributionstrategy and makes sure fastest delivery. Production (comilla) JMI Warehouse Using Own transportati on system Receive by the Customer [ 40]
  48. 48. Outside Dhaka City:Outside Dhaka cit y the distribution is more completed. Because there are more channel member. This iswhy some times distribution sometimes collapses in JMI in outside Dhaka city. Using Using vendor Custome JMI Own Transport Receiv r (cost Production bear by Wareh Transpo system e by (Comilla) rt (cost Dealer) ouse bear by Dealer (Dhaka) JMI) [ 41]
  49. 49. JMI Promotion Strategy:To generate demand level of company‟s product there exist a full set of marketing team withcoverage ad major market areas of the country.Activities:For this following tools are used. a) List of customer with their complete mailing address. b) Customer profile. c) Objective settings. d) Literature highlighting features and benefits of the product. e) Samples for fair trial purposes. f) Gift items (Pen, Pad, Pen holder etc.) which are user friendly g) Seminar. h) Workshop i) Entertainment j) Frequent one to one customer visitingThus JMI maintain their promotional strategy. Their promotional active ties like Televisioncommercial is difficult because the strong prohibition of the Govt. authority.BCG Metrics of JMI Company:BCG metrics is the way of identifying a company growth situation by the four elements,The elements are: [ 42 ]
  50. 50. 1) Question Mark 2) Cash cow 3) Star 4) DogIn BCG Matrix the current position of JMI is in STAR. Year by year position of JMI company isthe given below: Sl. No Company position in BCG Metrics Year 01. Question Mark 1999-2003 02. Star 2004-2009 03. Cash cow 2010-Now [ 43]
  51. 51. Customer of JMI Company’s product:There are mainly three types of customer for JMI. In outside Dhaka city dealer are the mainworkers for JMI. Almost 300-400 dealers are working for JMI. There are 68 institution companypurchasing JMI product. Sl. No Name of customer 01. Dealer 02. Institutional customer 03. DepotThe Major Institution Customers Are: SL. No. Name of company 01. Square pharmaceutical 02. Square Hospital 03. Apollo Hospital 04. Lab Aid hospital 05. Novartis Bangladesh 06. ACI ltd. 07. Etc. [ 44]
  52. 52. Target Market for JMI:JMI main target market is the institution market. They are also dealing with dealer who providestheir surgical device in local area. They are also dealing with whole sell market. In Dhaka cityMitford is the one of the huge whole sell market.Segmenting Strategy:They are segmenting there market into two market. a) Local market. b) Institution market [ 45 ]
  53. 53. JMI’s Social Responsibility:JMI dreams of a prosperous and strong nation and thus JMIs commitment to the society is anintegral part of its business. JMI intends to build a better Bangladesh by empowering people andby providing support towards the sustainable development of the community.In line with Governments development plan as well as its own Corporate Responsibility (CR)philosophy, JMI engages itself in various types of Corporate Responsibility (CR) programs.Through its CR initiatives, JMI intends to contribute towards the development of socio economicand ecological condition of the country through enriching peoples lives focusing on theirprimary needs as well as conserving the unique culture & Heritage of Bangladesh.JMI supports global business community to uphold social issues in business operations and beingconvinced of the benefits which will accrue out of voluntary adherence to universally recognizedsocial values in transaction of businesses.JMI considers the interests of customers, employees, shareholders, communities, and ecologicalconsiderations in all aspects of their operations. This obligation is seen to extend beyond theirstatutory obligation to comply with legislation.JMIs activity goes well beyond the sphere of business. As socially conscious and responsiblecorporate body JMI is committed to the improvement of the society as a whole. JMI helps manyNGOs in their effort to make available healthcare to the disadvantage population of the Country.It sponsors programs to build awareness on the healthcare need. [ 46 ]
  54. 54. Limitation of the Study:This report covers all the aspects of marketing environment from various perspectives. Thisreport also gives an overview about the company as well as its industry. The mission and goalsof the company, the functional departments, the strategies etc. will be illustrated. This report willbe prepared with the assistance, cooperation and negotiation of the respected employee,manager, customer and supplier group. We will try our best to take the opportunities to know andlearn about various activities of the “JMI Syringe and Medical Devices.” As a medical assistanceinstitution, it operates and covers a large industry to study and understand the scope,environment and area of marketing. We will also analyze the country‟s leading surgical devicecompany‟s product quality assurance system and pricing system and compare the present marketsituation of other surgical device companies. It will also help us in the upcoming future.Although we have various opportunities and scope we may have a few limitations like access togaining permissions to grab some opportunities, limited facilities for report etc.Research Findings:We have conducted a survey about JMI syringe & medical device Ltd. I have selected 50respondents from them different respondent like institutions, pharmaceuticals are exits. Thesurvey shows various outcomes. Among them important issue are presented graphically. 1) Are you satisfied about the quality of product? Highly satisfied Satisfied Neutral Dissatisfied Highly dissatisfied 62% 7% 12% 4% 15% [ 47]
  55. 55. Users of JMI product are highly satisfied about the quality of the product. 2) Why you are highly satisfied about JMI product? Needle sharpness Packaging Proper cilicon oil Sterlied product 70% 15% 4% 11% [ 48 ]
  56. 56. 80% 70% 60% 50% Needle 40% packaging 30% proper cilicon oil 20% 10% 0%Needle sharpness is the main reason for satisfying the customer of JMI. 3) Why you are not interested to purchase JMI product?Pice issue Quality issue Distribution issue Service issue64% 12% 15% 9% [ 49]
  57. 57. 70% 60% 50% price issue 40% quality issue 30% distribution 20% servicce 10% 0% Price issue is the main reason why the local customers are not interested to purchase JMI product. 4) Are the price of the product of JMI is too high? Yes No No comment 49% 39% 12% 50% 45% 40% 35% 30% yes 25% No 20% NO comment 15% 10% 5% 0%Here findings are the price of the JMI product is too high. [ 50]
  58. 58. 5) Are the JMI having smooth distribution channel? Strongly agree Agree Neutral Disagree Strongly disagree 34% 21% 10% 22% 13% 35% 30% 25% strongly disagree dsagree 20% neutral 15% agree 10% strongly agree 5% 0%JMI is still unable to maintain smooth distribution channel. 6) Are the distributor are satisfied about JMI?Strongly Agree Agree Neutral Disagree Strongly Disagree25% 42% 3% 15% 15% [ 51]
  59. 59. 45% 40% 35% strongly agree 30% agree 25% neutral 20% 15% disagree 10% strongly disagree 5% 0%Most of the distributors are happy about JMI. But unhappy rate is not bad at all. Companiesshould consider the fact. 7) Why institution buyer purchase JMI product? High quality Timely deliver 79% 21% 80% 70% 60% 50% high Quality 40% timely Deliver 30% 20% 10% 0%High quality is the main reason why institution buyer purchase JMI product. [ 52]
  60. 60. 8) Is JMI‟s warehouse space sufficient?Strongly Disagree Neutral Agree StronglyDisagree Disagree62% 10% 3% 7% 18% 70% 60% Strongly Disagree 50% Disagree 40% Neutral 30% Agree 20% 10% Strongly Agree 0%JMI‟s warehouse space is not sufficient. 9) Are JMI‟s number of transportation vehicle is enough?Strongly Disagree Neutral Agree StronglyDisagree Disagree52% 20% 3% 12% 13% [ 53 ]
  61. 61. 60% 50% Strongly Disagree 40% Disagree 30% Neutral 20% Agree 10% Strongly Agree 0%JMI‟s vehicles are not sufficient for their distribution management. 10) Is JMI‟s Dealers number sufficient for providing product to whole Bangladesh? Strongly Disagree Neutral Agree Strongly Disagree Disagree 67% 23% 1% 6% 4% 70% 60% Strongly Disagree 50% Disagree 40% Neutral 30% Agree 20% Strongly Agree 10% 0%JMI should increase the number of dealer. [ 54]
  62. 62. 11) Do you think the incentive of MIO should increase to spirit the sales activities?Strongly Disagree Neutral Agree StronglyDisagree Disagree15% 17%% 5% 40% 23% 40% 35% Strongly Disagree 30% 25% Disagree 20% Neutral 15% Agree 10% Strongly Agree 5% 0%Incentive of MIO is not sufficient. 12) Do you think the dealers (Important media of sales force for JMI) are getting sufficient profit by JMI?Strongly Disagree Neutral Agree StronglyDisagree Disagree72% 17%% 1% 3% 7% [ 55 ]
  63. 63. 80% 70% Strongly Disagree 60% Disagree 50% 40% Neutral 30% Agree 20% Strongly Agree 10% 0%Dealers are not getting proper profit.Findings: 1) Needle sharpness is the main reason for satisfying the customer of JMI: Users of JMI product are highly satisfied about the quality of the product. 62% respondent told that their product is highly satisfied to the end user. The reason for that is the needle sharpness & proper silicon of their needle. 2) Dealers are not getting proper profit: Dealers are not getting proper profit. Earlier the profit rate of the dealer is 10%-12%. Now because of the increase of the cost of the product the profit rate of the dealers are decreased by the 4% to 5%. In any Business this rate never inspire you to do the business. So the dealer of JMI is decreased in alarming rate. To make them satisfied JMI need to increase the profit rate of dealer. 3) Incentive of MIO is not sufficient: Incentive of MIO is not sufficient. The MIO is the key players who have done the promotion activities to the company. The incentive rate is not satisfactory level to the [ 56 ]
  64. 64. MIO. The incentive rate should increase to make happy to the MIO and get speeded their activities.4) JMI‟s warehouse space is not sufficient: JMI‟s warehouse space is not sufficient. The previous warehouse is 10000 square feet which is situate in Uttara. But because of the transportation problem they attached the warehouse to the head office. The present warehouse space is 7500 square feet. The space is not sufficient to bring the all product to this warehouse.5) High quality is the main reason why institution buyer purchase JMI product: High quality is the main reason why institution buyer purchase JMI product. JMI product has maintained the sharpness of needle & proper silicon oil. This issue helps them to provide better quality product. 79% respondents agree that the product of JMI is high in quality.6) Most of the distributors are happy about JMI. But unhappy rate is not bad at all. Companies should consider the fact: Most of the distributors are happy about JMI. But unhappy rate is not bad at all. 25% respondents are agreeing to the following term. Companies should consider the fact. Distributors are helping to provide the product to the end user. They have lots of importance towards the company.7) The price of the JMI product is too high: Here findings are the price of the JMI product is too high. 49% respondent told that price of the JMI product is too high. Where opo saline syringe price is 3 tk. JMI syringe price is 6 tk. So it is competitively high rate and for this issue they are not considering to purchase JMI product.8) Price issue is the main reason why the local customers are not interested to purchase JMI product: [ 57]
  65. 65. Price issue is the main reason why the local customers are not interested to purchase JMI product. 64% respondent told about the price issue. Price issue is the main reason why they are not interested to purchase JMI product.Conclusion:As a surgical device company JMI has wonderful chance to do well and go to the number oneposition in this industry. They have lots of prospect like AD syringe, Urine Drainage Bag &copper tea etc. But the management body should consider warehouse issue, MIO‟s properincentive, and dealer satisfaction & institution market problem with great concern. Otherwise allthe success achieved by the company in recent years can go to vein. So the company should deepconcern on the above issue and take necessary to built strong position in surgical device marketin Bangladesh.Recommendation:Throughout the research and study of the report on JMI we have found lots of issues which maythey consider for improving their marketing strategy. The recommendation is given below: a) Should appoint new dealer: Increasing the amount of dealer that‟s why they expand their business. b) Enlarge the sale-force: Increasing the number of MIO that‟s why they can able to visit the entire target customer. c) Giving more emphasis on customer: JMI need to consider more about the local customer. d) Enlarge the product line: JMI should create new product line like Opso Saline to compete with them successfully. [ 58]
  66. 66. e) Restructuring motivational package: Managing body of JMI should increase the salary of their employee because the employee is not satisfied with the current salary level. f) More promotional activities: Promotional activities are not strong. They need to improve their promotional activities by taking part different seminar. g) Warehouse: Warehouse space is another issue which should increase by the JMI. Warehouse space increase helps them to protect their valuable product and make their distribution channel smooth and better.JMI should think about the above issue to be the number one position in the surgical devicemarket context.References:01. Kotler, Armstrong. Principles of Marketing Pearson education, 2011.02. Malhotra, Dash. Marketing Research, Prentice Hall 2010.03. JMI Group Limited. 12 March, 2012. JMI Group Limited. 10 March. 2012 Opso saline Limited 12 March, 2012. Opso Saline Limited. 10 March. 2012 . Directorate General of family Planning (Ministry of Health & Family Planning) JMI Annual Report-2011, 2010 & 2009 [ 59]