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Introduction
Runner Automobiles Limited their journey in the year 2000. The then they stared with only one
business unit “bike”. The vision is manufacturing and selling motorcycles in Bangladesh.
In the past 16 years, the company has invested a large amount of capital to introduce complete
set of advanced production technology and equipment. Till now, the company's production
capacity has reached 500 motorcycles per day. RAL's products cover 4 series of motorcycles
range from 50 cc to 150 cc, and about 15 models of motorcycles. It is to be mentioned here that
to create industry friendly environment, Runner Automobiles Ltd. is not only engaged in making
the gradual development to become a complete motorcycle manufacturer, but also providing
technical support, incentives and whole hearted co-operation to the progressive, small & medium
entrepreneurs to build factory for spare parts and accessories of motorcycles.
Gradually they have broadened their area of expertise and went to other businesses. But its
journey to the growth and prosperity has been no bed of roses. Since inception the Company
stands on the idea of fairness, honesty and general concern to its customers. Runner Automobiles
Ltd., the flagship company is holding the strong leadership position in motorcycle industry of
Bangladesh. Runner Group currently employs about 1820 people, who conduct the investments,
operations and trading at factories and offices all over Bangladesh. Runner Group will continue
to evolve and adapt to the changing world. Its largest asset is its competent team of hands-on-
managers and dedicated employees.
Vision, Mission and Strategy
Vision: To become the leading motorcycle manufacturer of the country with renewed focus on
expanding Company's footprint in the global arena.

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Mission: To manufacture motorcycle based on customers' requirements and ambition,
maintaining standard in style, technology and excellence, and to provide fulfillment and
prosperity for employees, dealers and other stake holders.
Strategy: To build a strong product range across categories, explore expansion opportunity
globally, continuously improve its operational effectiveness, aggressively expand its access to
customers and continue to invest in brand building activities.
Phase 01: Primary activities and
Screening
Kenya is an officially known as republic of Kenya. Kenya is named after Mt Kenya, the tallest
mountain in the country. Kenya gained independence from the United Kingdom in 1963. Its
capital and largest city is Nairobi. Mombasa is the second largest city. In 2012, the population of
Kenya was estimated to be around 43 million. Kenya is consider a developing country but it still
consider it an under developing country because of corruption and infrastructure. However, it is
still more developed than many other countries in Africa.
Why we prefer Kenya:
 Regional entry point to East Africa .It is the possible expansion way in future
 Regnable tariff rate in imported goods.
 Potential market for transportation equipments
 Import exemptions have been granted on Motorcycles.

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 Government encourages entrepreneurship through public transport.
From our analysis we can see that, at the year 2003, the sales of motorcycle business was not that
common in Kenya. But the scenario started changing at the year 2008 while the sales of
motorcycle were approximately 50, 0000. At the year, 2010 it reached 100,000 which are why it
seems a good and growing potential market to enter with the motorcycle in Kenya.
Potentiality and Opportunity Analysis:
Kenya's economy is market-based with a few state-owned infrastructure enterprises and
maintains a liberalized external trade system. The government of Kenya is generally investment
friendly and develops the regulation system to simplify both foreign and local investment, and
creating export processing zone. The export processing zone is expected to grow rapidly through
input of foreign direct investment. Kenya is now well-developed social and physical
infrastructure for exporting and foreign investment.
ECONOMIC Situation: The motorcycle industry continues to be one of the promising and
very fast sectors, with a huge contribution to the Kenya’s economy. From 2007 to date, the
motorcycle industry has seen tremendous growth, from about 16,000 units to over 100,000 units.
In 2014 the industry contributed over 2.2 billion shilling in form of direct taxes only. Through its
assembly plants and distribution network, the industry also continues to offer employment
opportunities to over 100,000 Kenyans as per its planned road map.
The industry is growing fast and because of Kenya’s government friendly attitude towards the
foreign investment and exporting. For this purpose employment rate is going higher which affect
their per capita income, GDP and GNP positively. 2015 GDP per capita of Kenya was 1588 USD

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which increased 6.2 % and its GNP per capita was 3304 USD and per capita income is 1160
USD according to World Bank.
CULTURE: The culture of Kenya consists of multiple trends. Kenya has no single prominent
culture that identifies it. It instead consists of various cultures practiced by the country's different
communities. The make-up of Kenyans is primarily that of 13 ethnic groups with an additional
27 smaller groups. The majority of Kenyans belong to ‘Bantu’ tribes such as the Kikuyu, Luhya
and Kamba. There are also the ‘Nilotic’ tribes such as the Luo, Kalenjin, Maasai and Turkana.
The ‘Hamitic’ people include the Turkana, Rendille and Samburu. Around 13% of the
population is of non-African descent, Indian, Arab and European. As through there is multiple
trends in Kenya, Kenyans enjoy a reputation as hard workers and at 7 o’clock the streets are
crowded. So Motorbikes, especially those plying the trade popularly known as Motorbike Taxi
service, have become an important transport sector for Kenya’s people , most importantly
creating jobs to many Kenyan youths especially in the rural areas. This kind motorbike
transportation becomes the part of their life style and it helps their communication and
employment sector.
COMPETITIVE ANALYSIS: the motorcycle market of Kenya is relatively intensified.
While each major competitor has its own market niche, price discounting, new product
introductions, advertising campaigns, and innovations in motorcycle technology consistently fuel
rivalry between firms. As a new player in the market of Kenya, Runner will also face tremendous
pressure from the competitors who are already well established in the market
Rather than competing based on price, the major players in the motorcycle market often tend to
compete based on services and features. Each major company offers different types of products
targeted to different consumer segments. There is a high level of differentiation between classes
of products and brands, causing high switching costs for consumers. Accessories and parts are
produced for one specific brand. In addition, margins are not low, and the product is not
perishable. Because of these factors, competition does not always tend to gravitate towards price
as much as other factors.

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Even though price is not always the main basis of competition, the intensity of competition is
still very high. Major Competitors in Kenya in the current date are:
• Chinese Haojin Motorcycles
• Bajaj Motorcycles
Rivals in the motorcycle market have diverse approaches and ideas on how to compete. While
one company might believe that adding new features to their products will help boost sales,
another company might believe that increasing speed capabilities will be more beneficial.
Another company might believe that offering easy financing is the key. Companies are
constantly competing against each other to create the “next big thing” and attract as many
customers as possible. But the ministry now more focusing on the developing and increasing the
pave road.
POLITICAL STABILITY AND LEGAL REQUIREMENTS: Kenya’s government is
very friendly and very cooperative to the foreign investing and exporting. Kenya’s economy is
run by the foreign investment and export. Government earns almost 2.2 billion shelling taxes
from them and increases GNP 2780 USD to 3304. So consider that earning it indicates the good
political stability in Kenya for exporting and foreign investment. If a foreign company wants to
establish a business in Kenya they have to register as a branch office of foreign company. There
is no hard and fast rule legal requirement in Kenya. They set the 9% tariff rate all the import
good and 25 % vat on imported bike.
Constraint in Kenya
Kenya is a developing country. There are many business opportunities in Kenya, the challenges
are a hindrance to the opportunities. It is therefore important to know what these challenges are
and how they can be approached before investing in Kenya.

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1. Corruption and Insecurity: Give something small or buy tea” Buying tea does
not necessarily mean taking a person for a cup of tea but it means giving that person
some money for work to be processed or done at a fast rate. It is very common in Kenya.
This is due to the fact that foreign investors have to pay extra costs in the form of bribes
in order to get licenses or government permits to conduct investment, and as a result of
this it raises the costs of investment.
2. High cost of Energy: According to an article published in Allafrica.com Kenyan
goods were becoming increasingly uncompetitive due to rising energy costs. Energy costs
alone constituted over 40 per cent of the total manufacturing costs, driving a 33 per cent
increase in overall costs
3. Poor Infrastructure: Infrastructure is a key ingredient for achieving all the
Millennium Development goals. According to 2013 report Kenya has total 160,878 km
road from them 11819 Km road are paved and rest of the road 1, 49,689 km road
unpaved. So this proves that Kenya is far behind from the development of the
infrastructure. From enterprise surveys suggests that infrastructure constraints are
responsible for about 30 percent of the productivity handicap faced by Kenyan firms,
with the remainder being due to poor governance, red tape, and financing constraints.
Phase 02: Define the Target Market &
Adapting the Marketing Mix
Define the target market is what customer we targeted for, who are the potential buyer, who has
the ability to effort it.

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Marketing Mix is the controllable factor which is designed by company. Concerning about the
target market the company design it, how their product would be, price, how to distribute and
where and how to promote the product in the market
Target Market
For defining the target market we analyze their income level of social class people. So we see
that in Kenya very hard to find to higher class people but middle class people rate is very higher
than higher class and growing the middle class people. So according to the Kenya National
Bureau of Statistics, the Kenyan middle class can be defined as anyone Income between 40652
Shilling to 6,999 Shilling. The other thing is in Kenya a quite large number of the middle class
people are involving with “Motorcycle taxi service” business and profession. It is now very
popular ride in Kenya.
So considering the fact we use the demographic and psychographic segmentation. So according
to our product offering, price, occupation, income and social class people we are targeting
middle class people and also those people who involve with “Motorcycle Taxi service” ride
professions.
Brand Positioning
Naturally there is an art to positioning a brand. Positioning a right way a brand to tide up the new
customer of brand but in the wrong way it can ham per a brand. As consider Runner Motor bike
is a new brand in Kenya. So setting a place in consumer mind is too much important for our
brand
So Runner Motor Bikes is mainly giving the transportation benefit who cannot afford a motor
bike. In Kenya motorcycles demand are in growing stage. People are buying motor bicycles of

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different brand from different countries. But Runner is in the introductory stage in Kenya. Brand
image of Runner is the first producer of cost effective and fuel efficient products.
POINT OF DIFFERENCE (PODS) POINTS OF PARITY (POPS)
Runner is in the introductory stage in
Kenya. Brand image of Runner is the
first producer of cost effective and fuel
efficient product.
The common parity of Motor bike in
Kenya is contains with stylish and
speedy which gives a men ultimate
riding excitement and experience.
Adapting the Marketing Mix
When a company comes from the other country it belongs from that culture. A new company
always deals with that, because the always need to design the 4p’s according to the culture of
that country where they come for business
PRODUCT: Runner motor-bike which is fuel efficient, low price and good in quality which
will satisfy our target customers by fulfilling their demand. Runner target customers can use it
for both personal and commercialization uses. For Kenya, Runner Group of company suggested
5 models for Kenyan road condition. Our Product models and specifications are given below:
Bike Name
Runner
Cheeta
Freedom
Royal ES
Dayang
Runner
Galaxy
Freedom
Runner
Royal+ 110

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Type
Single
Cylinder, Four
Stroke, Air
Cooled, Petrol
Engine
Single
Cylinder, Dour
Stroke, Air
Cooled, Petrol
Engine
Single
Cylinder, 4
Stroke, Air
Cooled,
Petrol
Engine
Single
Cylinder,
Four
Stroke, Air
Cooled,
Petrol
Engine
Displacement
(cc)
100 97cc 79.65 109cc
Max Power 5.2kw/8000rpm 4.8kw/8000rmp
4.58kw/8000
rpm
6kw/7500
RPM
Top Speed 70 KM/H 75 KM/H 80 KM/H 85 KM/H
Starting
Method
Kick and
Electric
Electric & Kick
Electric &
Kick
Electric &
Kick
Ignition
Type
CDI CDI CDI CDI
Gears 4 4 4 4
Others
Digital Speed
Meter
Gear Indicator
Gear
Indicator
Digital
Speed
Meter

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Product Adaptation: Product adaptation is the process of modifying an existing product so
it is suitable for different customers or markets. An adaptation strategy is particularly important
for companies that export their products because it ensures that the product meets local cultural
and regulatory requirements.
In Kenya we know, people not only use bike as their personal vehicle but also use bike as their
living material. In Kenya most of the people are use the bike ride for moving one place to
another. They carry three or four person in bike. So we want to represent some 3 sitter bike in the
market which can help to their profession. We also offer the fuel and cost efficacy bike which
also fall under the adaptation strategy.
PRICE: In Kenya’s market Runner will compete with some big companies like Honda, Bajaj
Yamaha etc. As Runner main target customer is Middle class. Runner has to set their prices
based upon their target customers purchasing power and perceived value. To do Business in
Kenya Runner will face Trade barrier like 9 percent tariff which stop to set proper price on their
product. Furthermore Runner has to consider 25 percent vat to set their price. After Including
Shipping cost which is $1500 USD per container and other cost Runner Motorcycles price will
be
Motor Bike Model Price (KES)
Runner Cheeta 92,000Shilling
Freedom Royal ES 88,000 Shilling
DAYANG RUNNER GALAXY 70,000 Shilling
Freedom Runner Royal+110 95,000 Shilling

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Place: Our target customer is middle class People. We will follow indirect Intensive
distribution channel to reach our customer. Mainly we are collected the main cities of Kenya like
NAIROBI, KISUMU, MOMBASA, NAKURU, THIKA etc. RUNNER will go as foreign
investment company in Kenya. They will set some Show Room in major cities. Runner will also
go through some retail and wholesale company for countrywide distribution.
Runner also creates the market demand by using the pull strategy. This strategy helps us to grab
customer by promotion and have to give a standard commission to the distributer.
Promotion: In every marketing plan Promotion is a big part of a plan and so for ours. We are
using some selective communication tools to promote our products. Promotion can help us to
communicate with our customer and we also give them specific knowledge about our product.
It’s not only help to increase our sales also to help to create an image in market.
Advertising: Advertising is the activity of attracting public attention to a product or
business, as by paid announcement in the print, Broadcast or electronic media.
Advertising has a greater ability to reach a large number of people. RUNNER Ad makes
contact between advertiser and the target audience.
Marketing Public Relations: Public relation encompasses set of activities intended
to enhance the image of the marketers to create good will. Public relation tries to
influence people’s attitude towards the company or products. RUNNER can gain its
objectives by sponsoring HIV awareness program, educational event, and environmental
seminar and issues.
Kenya are paralleled with Kenyan culture and as old as the archeological trivia of the
trace of the origin of mankind. Various indigenous traditional sports have prevailed in
Kenya as elements of culture and a way of life since the history of mankind so that’s
Runner will sponsoring traditional sports event to promote their brand.

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MEDIA DECISION AND PLANNING
Media decision is so much important for our ad. if we don’t chose the perfect media than it will
never possible to grab the market. If our target customer don’t see those TV channel than it will
never work. So first we need to identify what kind of media they use.
 TV CHANNEL: To consider our Target audience we are use K24, Family,GBC, Kass,
KBC, KTN,NT, Citizen TV. we will show our advertisement during the pick our when
this time people are mostly spent their free time. And they watch TV for news, movie
etc. so that’s why this is the best time for showing our ad and we will also show our ad
in other part of the day. In this time our ad will show in different TV channel.
 RADIO: We are also use radio for our ad. We are using Kass FM, Kenya Bible Truth
Radio
 NEWSPAPERS: We are also use different newspaper for our ad like The star,
Business Daily and The People etc.
 SOCIAL MEDIA: We are also going for Advertisement in social media like facebook
twitter because a group of our customer they spend their Maximum time in internet.
That’s why we are going for internet ad as well. But we are more focused on internet ad
because our target customer.
 DIGITAL BILLBOARDS: We are using billboard for our product. We are using
billboard ad in different place like Nairobi. Mambasa, Nakuru, kisumu, thika Malindi
etc.

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Phase-03 Marketing Plan
SWOT Analysis: SWOT analysis is a structured planning method used to evaluate the
strengths, weaknesses, opportunities and threats involved in Runner business venture
STRENGTHS:
All other existing motor bikes in Kenya are high expensive. In This Case, Runner
has a competitive advantage of lower price.
If Runner can maintain strong distribution channel among all potential places among
Kenya Runner will be benefitted over other competitors
If Runner can go through a proper cost effective way of shipment, then exporting
cost will be at minimal point.
WEAKNESSES:
Because of Exportation Runner may face difficulty of losing lack of scale in
production
One of the weaknesses of exportation of Runner is weaker customer service.

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As we are exporting Runner so new way of production will be take time to be
effective in Kenya
OPPORTUNITIES:
Though Runner motor bike is remote control so people are odiously willing to
buy this one. All other existing motor bikes in Kenya are mostly high fuel
taking bikes but at that point Runner bikes are more fuel efficient than others
one.
Saving money and themselves from traffic jams is increasingly becoming
important for Kenyans. Escalating fuel costs and saving money are luring
Kenyans away from other brands.
THREATS
Kenyan people are getting interested for motorbikes day by day. Due to high
maintenance of Cars, motorbikes industry is really rising. Most motor bikes are
being imported from china
Runner may face problem due to intense competition of reputed company brand
motor bikes.
Due to availability of reputed company brand motor bikes, Runner may find
difficulty of getting customer attention.

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If the economy of Kenya and political situation does not go well, then cost will
be increased therefore, profit margin will be decreased.
Objectives and Goals
Since Runner is new in Kenyan market, Runner primary objective will be to create perception
and awareness about brand. Runner will select media mix is the perfect combination to achieve
their goals. For this perception-creating purpose Runner will use media such as newspaper,
television, radio, social media, digital advertisement and billboard advertisement. Social media
and digital advertisement is important because of the mass coverage but also the high reach of its
impacts. Moreover Runner will also use TV ad as well. Runner Public relation department will
set great promotional campaign to create brand awareness. After completing primary objectives,
Runner will set their secondary objective which is increasing sells of their motor bike in Kenyan
Market. Runner will develop the strong distribution channel so the motor Bike will make
available on the market because strong distribution channels will helpful to distribute and
increase the sales quickly.
MODE OF ENTRY
Runner will enter in Kenyan market through foreign direct investment. In Foreign Direct
Investment Runner acquires a substantial controlling interest in a foreign firm above 10 per-cent
share or sets up a subsidiary in Kenya. Foreign direct investment is made in the form of fixtures,
machinery, equipment and buildings. This investment is achieved or accomplished mostly via
mergers & acquisitions. In recent year Kenyan government passed a law on public-private
partnerships (PPP) in order to attract foreign investment. The government has put in place an
extensive program of privatization in various sectors such as food processing, transportation,
construction, equipment, education, energy, etc. Kenyan Government authorities also

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declared special economic zones and export processing zones benefit from targeted incentives.
From this point of view Runner has great opportunity to enter by foreign direct investment.
BUDGETING:
Names of
media
Year-1 Year-2 Year-3 Year-4
Product 40,000,000 40,000,000 60,000,000 70,000,000
Advertising
(Tv)
20,000,000 30,000,000 40,000,000 45,000,000
Bill Board 8,00,000 8,00,000 10,000,000 10,000,000
Event 80,000,00 9,000,000 10,000,000 15,000,000
News paper 7,00,000 9,00,000 1,500,000 2,000,000
Radio 3,000,000 4,000,000 4,500,000 4,500,000
Social media 50,000 50,000 60,000 60,000

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Public
Relation
8,000,000 10,000,000 20,000,000 35,000,000
Total 80,550,000 94750000 1,46,060,000 181,560,000
Conclusion
So we find a huge opportunity and potential in the Kenya’s market. Road, transportation system
not too much develops although but there is lots of way to do business by targeting the lower
market. As a Bangladeshi company it is the best place for investment. In the past we trade only
jute and medicine with Kenya. But it will be the new trade factor in our country and generate
some foreign money for our country. It is possible because of Kenya’s government friendly
attitude towards the foreign investment and they want some foreign company to country which
also generate the income for Kenya

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References
 INTERNATIONAL MARKETING :15th Edition: Philp R.Cateora, Mary C. Gilly,
Jhon l, Graham
 http://www.hapakenya.com/2015/05/06/motorcycle-assemblers-launch-new-association/
 http://blog.iese.edu/africa/2014/10/15/kenyas-middle-class-and-economic-growth/
 http://data.worldbank.org/indicator/NY.GNP.PCAP.PP.CD
 https://www.gfmag.com/global-data/country-data/kenya-gdp-country-report
 http://www.kenya-advisor.com/kenya-culture.html
 http://www.kenyabuzz.com/lifestyle/motorcycle-companies-form-maak
 https://www.cia.gov/library/publications/the-world-factbook/geos/ke.html
 http://www.businessdailyafrica.com/World-Bank-confirms-Kenya-lower-middle-income-
status/-/539546/2773210/-/u39btjz/-/index.html
 http://www.runnerbd.com/csr.php
 https://brandkemistry.wordpress.com/2013/02/05/who-exactly-are-the-kenyan-middle-
class/