Course: International Business (BUS301) Instructor: Syeda Shaharbanu Shahbazi This is a term paper on the international trade aspects of RahimAfrooz Globatt Limited (RGL), a concern of RahimAfrooz Group. One of the best companies in Bangladesh.

1. RahimAfrooz
Globatt Limited
(RGL)
BUS301: InternationalBusiness
Group 4
2014

2. Group 4
December 08, 2014
Page 1
Submitted by Group 4:
Sl. Name I.D.
1 Nabila Naorin 09304051
2 Monalisa Chaity 10204096
3 Fannana Ahmed 10204129
4 Bushra Abedin 10304009
5 Mehbuba Yasmin Tamanna 11104107
6 Fatima Momin 11104132
7 Samiya Yesmin 11304043
RahimAfrooz Globatt Limited (RGL)
Ms. Syeda Shaharbanu Shahbazi
Section 02
12/08/2014

3. Group 4
December 08, 2014
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I. LETTER OF TRANSMITTAL
Date: December 08, 2014
To,
Ms. Syeda Shaharbanu Shahbazi
Adjunct Faculty
BRAC Business School
Subject: Approval for the submission of BUS301 term paper.
Dear Madam,
With due respect and regards we have completed our term paper for our course
BUS301 (International Business). We have tried our best to work closely with the data we
collected & everything taught in class. However, we do apologize for any mistakes made on
our part. With this we are submitting the term paper on international business practices of
RahimAfrooz for your perusal.
Yours Sincerely,
Nabila Naorin ……………………………….
Monalisa Chaity ……………………………….
Fannana Ahmed ……………………………….
Bushra Abedin ……………………………….
Mehbuba Yasmin Tamanna………………………
Fatima Momin ……………………………….
Samiya Yesmin ……………………………….

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December 08, 2014
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ACKNOWLEDGEMENT
We would like to thank Ms. Syeda Shaharbanu Shahbazi, our lecturer, for making us
understand the all the numerous aspects of international business, how it came about, how it
impacts the current business world and how the economical world has reshaped into
something so advanced, all due to international trading.
We would like to thank Mr. Faraaz A. Rahim, Manager- International Marketing,
RahimAfrooz Globatt Ltd. (RGL), for taking time out of his busy schedule for us, for
relentlessly answering our myriads of questions and for helping us relate the theoretical part
of international business with its practical applications at RGL. Thank you so much Mr.
Rahim.
We are indebted to Charles W. L. Hill for his exceptional book “International
Business: Competing in the Global Marketplace.” and we would also like to sincerely thank
everyone whose work we have referred to, as it all has helped making us form a better picture
of the situation.

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December 08, 2014
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CONTENTS
I. Letter of Transmittal...........................................................................................................2
Acknowledgement .....................................................................................................................3
1. Executive Summary......................................................................................................5
Origin.........................................................................................................................6
Methodology..............................................................................................................6
Scope .........................................................................................................................6
2. Company Profile...........................................................................................................7
3. Industry Profile:..........................................................................................................11
Local Competitors of RahimAfrooz:.......................................................................11
International Competitors of RahimAfrooz: ...........................................................12
PEST Analysis of RahimAfrooz: ............................................................................13
4. Products:.....................................................................................................................14
5. International Trade: ....................................................................................................16
6. Hurdles of International Trade: ..................................................................................18
SWOT Analysis of RGL .........................................................................................19
7. Conclusion..................................................................................................................21
II. Bibliography.....................................................................................................................23

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December 08, 2014
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1. EXECUTIVE SUMMARY
In this paper, we are working on RahimAfrooz Bangladesh Limited (RABL) being
particularly focusing on the international trade part of the company. RABL is involved in
international trade in three different ways, by exporting its batteries, by exporting its solar
panels and by being the official licensee of eight international brands. Throughout the report,
we have tried describe the major international trade affairs of RahimAfrooz Globatt Limited
(RGL), which deals with exporting RA batteries, talk about the export side of the business, its
activities such as its strategies/managerial operations, selling process, the future, the gaps
prevailing and at last give some probable recommendations.

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December 08, 2014
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ORIGIN
In this semester, we are doing a course on “International Business” where we have gained
a lot of useful knowledge. Our report is based on the evaluation of international business
practices of Rahimafrooz Globatt Limited (RGL). Our group has been given the opportunity
to work on this project which has been assigned by our course instructor Ms. Syeda
Shaharbanu Shahbazi Ahmed.
METHODOLOGY
Our group has followed two kinds of methodology for the preparation of this report. The two
ways in which we have collected information are given below:
 Primary Data:
Our primary method of data collection was to go directly to the head office of
RahimAfrooz Globatt Limited (RGL) and conducting an interviewing session with Mr.
Faraaz A. Rahim, Manager- International Marketing, Rahimafrooz Globatt Ltd. (RGL).
 Secondary Data:
Our secondary method of data collection was to go through RGL’s official website,
newspaper articles, internship report, business newsletter and other electronic sources, as
sources in our bibliography.
SCOPE
Our group got an opportunity to evaluate the international business practices of
Rahimafrooz Globatt Limited (RGL). When we took an interview and researched on this
organization, we came to know the strengths and the weakness of it and how it is performing
in this arena of competition and what are their possible opportunities.

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December 08, 2014
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2. COMPANY PROFILE
RahimAfrooz is one of the leading and largest well respected private companies in
Bangladesh. RahimAfrooz is the group holding and parent Company including Eight
Operating Companies (SBUs), a few other business ventures and a non-profit social
enterprise. In addition, RahimAfrooz is a company that has developed from a small trading
concern into regional trading company that it is today. RahimAfrooz Bangladesh limited was
established in 1950. As a trading company, Late A.C. Abdur Rahim was the proprietor in this
time. it was established as a limited company From 1954 . In the new environment he started
his business with a small investment. His main assets were self-confidence and a strong faith
in the Almighty, which carried him through all the difficulties with a remarkable triumph. He
finally established a small proprietary trading company named RahimAfrooz & Co, in
Chittagong in 1950 which was later incorporated on 15th April 1954, which is now
RahimAfrooz (Bangladesh) Ltd. RahimAfrooz expanded rapidly into various trading items.
(RahimAfrooz Ltd.) RahimAfrooz Group’s SBUs are according to the four broad segments
that its companies operate in. They are:
1. Storage Power: RahimAfrooz Group is the largest manufacturer and exporter of
automotive and industrial batteries in Bangladesh and has the largest battery export plant
in South Asia. Companies in this division are: RahimAfrooz Accumulators Ltd.,
RahimAfrooz Batteries Ltd. and RahimAfrooz Globatt Ltd. (RGL)
2. Automotive and Electronics: RahimAfrooz Group markets and distributes various
automotive after-market products such as automotive batteries, tyres and lubricant as well
as electronics ranging from home appliances, power backup systems, lighting products,
and electrical accessories. The Group is also one of the leading complete CNG solution
providers in the country. Companies in this division are: RahimAfrooz Distribution Ltd.
and RahimAfrooz Gastech Ltd.
3. Energy: RahimAfrooz Group has a significant presence in the energy sector of
Bangladesh and offers a wide range of renewable and conventional energy solutions.
Companies in this division are: RahimAfrooz Renewable Energy Ltd. and RahimAfrooz
Energy Services Ltd.

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December 08, 2014
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4. Retail: RahimAfrooz Group introduced the first retail chain of superstores in Bangladesh
and has played a major role in redefining everyday shopping. The company in this
division is RahimAfrooz Superstores Ltd. (Agora).
The major milestones in RahimAfrooz history can be summarized as below:
 In 1950, RahimAfrooz Bangladesh limited was established
 In 1954, incorporated by Mr. A.C. Abdur Rahim
 In 1959, distributorship of Lucas Battery
 In 1978, Exclusive distributorship of Dunlop tyre
 In 1980. Acquisition of Bangladesh operation of Lucas, UK
 In 1985, Pioneering Solar Power in collaboration with BP
 In 1992, first ever exporting battery from Bangladesh to Singapore
 In 1993, a new Instant Power System launched by RahimAfrooz
 In 1994 , Acquisitions Yuasa Batteries (Bangladesh) Ltd
 In 1997, achieved ISO 9002 certification for RBL operations
 In 2000, RahimAfrooz Opened their first India office in Ahmedabad
 In 2001, Launched “Agora” – the first ever retail chain
 In 2002, Launched RahimAfrooz Energy Service
 In 2004, Metronet Bangladesh, a fibre optic based digital solution provider for data
communication, launched in joint venture with Flora Telecom
 In 2004, Received McGraw-Hill Platt Global Energy Award for Renewable Energy
 In 2004, The Group celebrated its 50th anniversary on April 15, with a renewed,
enhanced commitment to being successful while upholding its core values
 In 2008, Launched "Quikfill"- the first ever chain of branded CNG refueling stations
in Bangladesh.
 In 2009, Established RahimAfrooz Globatt Ltd. and RahimAfrooz Accumulators Ltd.
 In 2010, RahimAfrooz Inaugurated its biggest and most modern warehouse at
Hemayatpur, Savar.
 In 2011, RGL first ever exporting battery from Bangladesh to China.
 In 2012, RahimAfrooz Renewable Energy Ltd. commenced its commercial operation
of PV plant.

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December 08, 2014
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Awards received by RahimAfrooz Bangladesh Limited (RABL) (Anon., n.d.):
 In 2001, Awarded “Bangladesh Enterprise of the Year”
 In 2001, National export trophy Award
 In 2003, Awarded “National Export Trophy”
 In 2004,Received McGraw-Hill Platt Global Energy Award for Renewable Energy
 In 2006,Received the “Ashden Award” for Sustainable Energy
 In 2008, Brand Leadership Award
 In 2008, Asia’s Best Employer SC& FE, CSR Award
 In 2010, Asia’s Best Brand CMO Award
 In 2013 “HSBC-The Daily Star Climate Award
 In 2013 Awarded “National Export Trophy” for 2010-2011
 In 2014: Received " National Environment Award " by The Ministry of Environment
& Forests.
 2014: Awarded "Green Business Award" by Metropolitan Chamber of Commerce and
Industries
 2014: RahimAfrooz IPS has won the Best Brand Award 2014 for the 3rd consecutive
year in IPS category.
RahimAfrooz Bangladesh Limited is a great advocate of environmental sustainability.
RABL is highly committed to its social and environmental responsibilities. All its operations
are built and managed in a way so that the possibility of any detrimental effect on the
environment can be eliminated or minimized. As a result they received the many awards
recognizing their immense work in Environmental Health and Safety (EHS) and
sustainability.

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RahimAfrooz Globatt Ltd (RGL) is the global division, SBU, of RahimAfrooz group,
which was established in 1954 and its Battery Division now operates two automotive battery
plants with a combined capacity of 4 million batteries. As part of excelling two decades of
international market experience and aspiring to become a truly global company, this state of
the art Maintenance Free (MF) and Sealed Maintenance Free (SMF) battery manufacturing
plant was established in the year 2009. With 2.5 million unit production capacity per year,
RGL is the largest battery export plant in South Asia. In recognition to its quality
management system, RGL has received ISO 9001:2008 Certification from Orion Registrar,
Inc., USA. The manufacturing process of RGL ensures highest level of environment
sustainability.
It now exports to 55 countries/global markets, they are:
Afghanistan
Algeria
Angola
Australia
Bangladesh
Benin
Bhutan
Botswana
Burundi
Burkina Faso
Cambodia
Cameron
China
Chile
Cuba
Gabon
Greece
India
Indonesia
Iraq
Ivory Coast
Japan
Jordan
Kenya
Kuwait
KSA
Lebanon
Malawi
Malaysia
Mauritius
Mauritania
Mozambique
Nepal
Mozambique
Nepal
Nigeria
Oman
Philippines
Qatar
South Africa
Senegal
Sierra Leone
Singapore
Spain
Sri Lanka
Sudan
Syria
Taiwan
Tanzania
Thailand
UAE
USA
Uganda
Yemen

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3. INDUSTRY PROFILE:
LOCAL COMPETITORS OF RAHIMAFROOZ:
Battery Industry in Bangladesh has done a tremendous job over the years.
RahimAfrooz is one of the leading names in this industry. There are some other competitors
of this company who are doing good in this sector too.
Panna Battery Limited: Is one of major battery manufacturers in Battery
in Bangladesh. One of the major product of panama battery limited is "Volvo Battery" which
is commonly used in our country. Panama battery limited works as the manufacturer, retail
sales, wholesale supplier, importer of battery in Bangladesh. its product types are, batteries
lead acid, batteries lead acid sealed gelled, batteries lead calcium, batteries VRLA, battery
containers.
InGen Technology Limited: The largest Solar Power seller in Bangladesh with any
tyrn key solution. InGen has extended their business from Solar Home System to Solar MW
Power Plant. InGen believes on his strong professional manpower and innovation based on
customer needs. InGen Technology also have a large investment in Battery and it
manufacturer, retail sales, wholesale supplier, importer of battery in Bangladesh.
HAMKO Group: HAMKO Group started its journey in 1979 with the vision to excel
in the accumulator industry. After 3 decades of business HAMKO is currently a leading
producer of Lead Acid Batteries in Bangladesh. HAMKO is also a pioneer Battery
Components and Chemical manufacturer serving and supporting other battery companies of
the country. HAMKO Group is also contributing to proliferation of Renewable Power
Generation as the supplier for Solar Batteries, Solar Panels and other related accessories to
the rural electrification initiative by different NGOs and System integrators at home and
abroad. HAMKO Group in its future ventures has a clear focus to advance in the Energy
Technology sector, and contribute to mutual development of itself and all its partners and
stakeholders. HAMKO has a wide range of products ranging from Battery chemicals to
complete Battery. Some of its products are Battery Plates, PVC Battery Separators, Lead
Oxide (Gray, Yellow & Red), Lead Alloy, De-mineralized water, Battery Grade Electrolyte,
Polypropylene (PP) Battery Container, Hard Rubber (HR) Battery Container, Automotive,

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Industrial & Solar Battery, Plastic Household & Furniture items, Leather goods & footwear,
Tire, IPS, Long Backup UPS, Voltage Stabilizer, Solar Home System (SHS), Urban Solar
Solutions, Solar PV Module, Solar Charge Controller, MPPT Charge Controller, Solar
Inverter and all range of Electric Products.
NAVANA Battery: Navana Batteries limited, a concern of Navana Group
of Bangladesh, has been operating since 2002 under the dynamic leadership of Mr. Shafiul
Islam Kamal. Initially it started its journey as an individual unit named Aftab Automobile
Ltd(Battery Unit). However, considering the market growth rate and future business
potentials, a new company resumed in place of Aftab Automobile Ltd (Battery Unit) in the
year 2010, named Navana Batteries Ltd.
NAVANA Battery production facility is based on Chittagong, Bangladesh. At Navana
Batteries Ltd,it believes in going beyond compliance with local environmental laws and
regulations. For instance ETP (Effluent Treatment Plant) project is placed in our factory to
prevent hazardous waste from reaching surroundings.
But all of them produce only Dry charge batteries and not maintenance free batteries, thus
RahimAfrooz enjoy a monopolistic market.
INTERNATIONAL COMPETITORS OF RAHIMAFROOZ:
RahimAfrooz has crossed the borders of Bangladesh and gone
International with their product. RahimAfrooz is the first Bangladeshi company to enter
Japanese market. these are the International competitors of RahimAfrooz.
SANYO Electric Corp: SANYO is one of the leading lead acid
battery manufacturers in Japan. Being taken over by the Panasonic Ltd. SANYO has worked
on creating renewable solar energy and lead acid battery and earned reputation from
manufacturing battery.
B.B Battery Ltd: B.B battery limited is another leading battery
manufacturer in Japan. They have products for general use, mobility use, telecom etc. They
also do produce recyclable battery.
Main competitors that RGL faces are in the sub-continent, The Indian, Korean and
Chinese brands. The Chinese brands do not have much, in terms of quality equal to that of
RGL, so price differences are always there in the Chinese market.

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RGL faces quite a competition from the Indian and Korean brands. Indian
maintenance battery brands, such as Exide, Amara Raja etc., have tried to eliminate RGL
from their (Indian) market in 1995 but to no vain. Whereas Korean maintenance battery
brands such as Atlas, Delkor, Rocket etc. have been heard to use RGL batteries to cut-open
and learn from. Thus in case of real fierce competition, The Bangladeshi, Indians and Korean
brands are at an impasse.
PEST ANALYSIS OF RAHIMAFROOZ:
Political Factors:
 Environmental regulations are effective
 Timely payment of tax
 Unstable political environment, their production and distribution is hampered
 No harmful chemicals are used that can make safety issues
 Lack of proper Infrastructure, such as railways and bridges that can transport
industrial goods.
Economical Factors:
 In our country value of money fluctuates a lot. so international business is
harmed.
 Middle class and higher level spending power is well enough which is harmful
for RahimAfrooz.
 In summer, the business is more profitable because of frequent load shedding
Social Factors:
 Our country's growth in GDP, living standard and purchase power is affecting
positively
 Income level of the population is increasing and so the purchase power
Technological Factors:
 Electricity is not available in most of the regions of our country; which has a
negative effect on RahimAfrooz production schedules.
 On the plus point, with increased use of computer and internet, people easily
contact and find out about the quality products of RBL, online.

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4. PRODUCTS:
RahimAfrooz Bangladesh Limited produces and markets a range of battery products,
under the domain of RahimAfrooz Globatt Limited– automotive, maintenance, and Dry
Charge batteries, Industrial (stationary, deep cycle, traction, VRLA) batteries, IPS and UPS
batteries, and rectifiers. RGL offers a broad range of maintenance free automotive batteries
manufactured according to JIS and DIN standard for a variety of vehicles, ranging from small
cars to large commercial vehicles. RGL also manufactures deep cycle battery for inverter
application. All of which have been designed with the help German EN Consultant and Dr.
Eberhard Nann.
Globatt batteries are made with Ca-Ca-Tin Expanded Metal Technology; using 100%
virgin lead sourced from from AA rated leading smelters of the world. The Expanded Metal
Grid technology used to manufacture cathodes, using Canadian Cominco Machines and
Anodes using gravitational casting method, are the most efficient and latest technological
manufacturing process in production now, worldwide. And RGL batteries have the highest
reserve capacity and the highest Cold cranking amperes (CCA) in all of Bangladesh. The
Lead-calcium casted grid is strong and more resistance to corrosion. Thus all these make
RGL batteries not only advanced but also internationally acclaimed.
RGL produce two categories of batteries:
1. Industrial batteries: Solar batteries and Electric vehicle batteries
2. Automotive batteries: Dry-charge conventional batteries and Maintenance-free batteries
In 2010, RahimAfrooz Batteries Ltd., the South Asian leader in automotive and lead-
acid batteries, launched three batteries for the Indian market under its well-known
international brand – Globatt. The batteries are named as Globatt Josh, Globatt Race and
Globatt Ace; these three models cater to the specific needs of the Indian automotive segment.
Josh is an economy range product, range 32AH to 75AH. Race is for the mid segment
customers, ranging from 32AH to 100AH. Ace is a premium offering and targets high-end
vehicles and customers, ranging from 35AH to 80AH. The distinguishing feature of Ace is
that it contains silver ion which increases its life, smoothens current flow and gives high
cranking. All three models are available in MF and sealed maintenance free batteries. But due

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to incorrect storage on the Indian distributors’ part, the RA batteries self discharged, reducing
their shelf life, these when sold in the market created a bad repute for RGL thus a re-launch
and new capable distributor is now necessary.
The lower the temperature of the country, the longer the battery lasts. Thus in western
countries these batteries last longer. RGL sells three different types of batteries locally
(2014): Globatt Ace (Green), Globatt Pace (Yellow), and Globatt Race (Grey); and other
brands Globatt Farmer, Volta-G, Aleph, Delta, Ignus, And Optus are all exported. This is due
to the fact that usage abuse in Bangladesh is higher, as weather conditions are not so
favourable, high temperatures and rain, and frequent load shedding means greater use. As
these factors are not at work internationally, RGL gives greater warrantee internationally for
its batteries (Ace, Race and Pace) than it does locally.
Product Local Warrentee International Warentee
Globatt Ace (Green) < 24 months 24 months
Globatt Pace
(Yellow)
12months 18 months
Globatt Race (Grey) 18 months 24 months

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5. INTERNATIONAL TRADE:
GLOBATT, our country's only advanced technology "Maintenance-free" batteries
has positioned itself among world's leading auto battery brands. Their unique position has
made RahimAfrooz GLOBATT a very strong contender in the global arena and currently
they are leading all the brands in maintenance-free category in Asia, Africa, GCC and EU
markets. Currently, RahimAfrooz GLOBATT produces 2.5 million batteries per year, which
are used to meet the local demand and are exported to different countries.
For international expansion, RahimAfrooz GLOBATT does not go for joint venture or
partnership (no financial obligations). They simply go for exporting through distributors and
currently they are exporting in 55 countries. They mainly export maintenance-free batteries
and solar panel. They have a local production plant is in Savar and in Ashulia. They have two
industrial battery factories in Ashulia and Savar. Their manufacturing plant for export
production is in Pabna(Ishwirdi) and EPZ.
Their strategy to enter into international markets is to export to credible global
distributors who are capable of holding a certain percentage of the market share, someone
who has strong presence in their marketplace, strong dealership network, and strong working
capital etc. criteria. Based on the above, distributor profiling is done and the company history
is checked, and then RGL does the assessment to decide which distributor to partner with.
However, RGL batteries have to pass certain tests and meet regulations to show that it
meets specific quality standards. After they get certificates indicating permission for
exporting, they export to international markets. These restrictions are usually given by
European countries. RGl has three such certifications:
1. ISO9001:2008 for management system
2. ISO 14001:2004 for environmental system
3. OHSAS 18001:2007 for Health and safety management system.
RahimAfrooz looks forward for international expansion because they are willing to
increase their presence in more countries, to increase their sales and to expand their market.
Before they started exporting, they had 60-65% market share locally. Then they increased
their battery market in rural areas and finally entered into cities. After they got saturated RGL
in Bangladesh, they started exporting. They have separate plants for local production and
export production. For local market, they make dry-charge conventional batteries and (3)

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maintenance-free batteries. And for exporting they have six brands which cater to their
international customers.
For local market, RGL uses B-2-C (Business- to- Consumers) where they directly sell
it to their customers, using their own distributors. For international markets, they use B-2-B
(Business-to-Business) strategy, where they sell it to retail dealershisps and who then sells to
the consumers. This make for an easy set-up, higher freedom of movement and lower cost
international trade.
RGL basically do not follow any customer segmentation, besides the fact that all their
customers are automotive users. RGL do not export IPS. They just import parts and assemble
it in their plants. Their skilled technicians and engineers install the machines and the whole
IPS is offered to the local consumers.
The comparative advantage RABL gets from exporting to foreign markets over local
market is that foreign markets provide bigger market share and bigger volume of revenue.
They can compete with better technologies and can have more matured distributors in foreign
markets. Foreign customers usually have higher specific needs and more disposable income,
thus helping RGL to evolve with different demands, and providing them with a learning
curve before making any magnanimous investments such as FDI.
RahimAfrooz enjoys a lot of benefits while exporting to international markets. They
get a huge customers base. They get multiple benefits such as the ASEAN Free Trade Area
(AFTA) benefits in SAARC regions (where they first started exporting) and South Asian Free
Trade Area (SAFTA) benefits in some countries. Today, they have their own office in India
and from there they are supplying to different companies.
The price of the local RGL batteries when exported is only 10-15% higher than the
competitors' ones. However, their pricing strategies for the global markets is somewhat
variable, based on the size of the customers, volume, potential market size, etc. Also, the
prices RGL price charges are usually matched with the prevailing market prices of
competitors. This is how RABL has one for international expansion and is continuing to be
one of the world’s premium-class batteries.

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6. HURDLES OF INTERNATIONAL TRADE:
RahimAfrooz Bangladesh Limited (RABL) is now a famously recognized brand for
Batteries, both nationally and internationally. But coming to this point has not been a smooth
sailing. RahimAfrooz Globatt Ltd. (RGL) had to face myriads of barriers to be where thay are
now. Some of the key challenges they faced are:
 In 1995 India, Two battery manufacturers of India viz. Exide Industries Ltd. and
Amara Raja Batteries Ltd. took the initiative to prevent the import of lead acid batteries
from Bangladesh. They petitioned to the Directorate General of Anti Dumping (DGAD) of
India claiming that batteries exported from Bangladesh (RahimAfrooz) were being
dumped into the Indian market. And thus came about the imposition of Anti-dumping
duty on lead acid battery by RGL. Bangladesh Tariff Commission (BTC) conducted a
detailed study and arrived at the conclusion that the imposition of the anti-dumping duties
by India was inconsistent with the provisions of the WTO Agreement on the
Implementation of Article VI of GATT. Besides, the legal text of the WTO stipulates that
dumping occurs when a product is sold below its cost price. But Bangladesh asserts that in
not the case of RahimAfrooz's batteries, the price calculation made by the Indian
authorities had been deemed inaccurate. Another important factor that allowed Bangladesh
to go to the WTO is the support provided by the Advisory Centre on WTO Law in
Geneva. At only 10 per cent of the full cost, hence, Bangladesh, as an LDC. RahimAfrooz
found this amount affordable, and went through with the case. It turned out; India’s WTO
team had no appetite for such a case and indicated to the Bangladeshi team immediately
after the consultation meeting in the WTO, that their Government would initiate the
process to withdraw the anti-dumping duties. The Indian side made a request that
Bangladesh not proceed any further with the case. And thus the dispute was resolved. This
is viewed as an attempt to hinder prospective export products from Bangladesh from
gaining a foothold in the Indian market. (Taslim, 25-26 January 2006).
 In November 2010 RahimAfrooz Globatt Ltd. sent its consignment to China, with great
pride (Akter, 2010). It was as a part of a 3 years contract with Chinese distributors to
supply 500 thousand batteries. But this consignment was held up in the Chinese port for 3

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months, as authorities held some misunderstanding/disbelieve that Bangladesh cannot be
supplying engineered goods, this must be something else. Such utter discrimination was
surprisingly not shocking. And after working through a lot of paper work and red-tape, the
consignment was finally released and RGL started distributing in China and they haven’t
looked back since.
 Now RGL is relentlessly working to get engineered goods on the duty-free list of goods
being imported from Bangladesh to China as a part of the balance of trade treaty made.
This shows that as a pioneer of engineered goods, batteries, RGL has had to face some
trouble but it has still come of it swinging high. Thus listing RGL’s SWOT analysis to get a
bigger picture of what makes them who they are now:
SWOT ANALYSIS OF RGL
Strength:
 Brand name created, 60 years in business, thus recognized and reckoned with.
 High visibility
 Vast international distribution network set.
 Has captured and maintained great customer relationship, thus earning them loyalty.
 German collaborate technology manufacturing system.
 is religiously meticulous about the quality of their products, more so now as they are
competing in the international market
Weakness:
 Initially, as a relatively new and unknown company from a developing nation, RL had to
give leeway’s, such as 10% off to enter new markets. Now with its established brand
name, RGL does not have to continue doing so.
 Raw Materials are all imported as resources are unavailable in Bangladesh.
 Power supply inconsistency hampers production and due to poor infrastructure and
turbulent political situation, inconsistency in delivery has increased.
 Inconsistency incurs opportunity cost.

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Opportunity:
 Vast possibilities as barely any competition on the nation front.
 Higher technological upgrades possible
 Lots of new untapped markets, as only 55 countries have been captured to date.
 Possibilities of setting up assembling and manufacturing plants abroad and setting up
supply chains.
 Setting up their own distribution dealerships in the foreign markets, instead of using a
third-party as currently used.
 Going into collaborations with car manufacturers themselves has a huge prospect.
Threats:
 Change in Government policies, will result in loss of EPZ and such leeway benefits.
 When to change manufacturing technology? New technology such as Gel Batteries are
out there, but at current is not a requirement of customers. And changing manufacturing
technology will mean hue costs and if not done at the correct time, RGL will lose the
head-start it has on all its other competitors.

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7. CONCLUSION
After studying the RGL’s business practices, we have found that there the following
points describes what are the best global business practices followed by RahimAfrooz
Banladesh Ltd.:
 Research & Development: RGL has created a brand name for itself worldwide which is
remarkable and they will not allow anything to tarnish it. For future development,
continuous research & development is required and quality control department needs to
work consistently for abolishing inconsistency and betterment of product. As for
manufacturing the latest technological batteries, RahimAfrooz has to work considering
their foreign competition, to be sustainable in the market. Thus emphasis in R&D sector
is required.
 Technical Team: RahimAfrooz GLobatt Ltd. has collaboration with EN consultants, Dr.
Eberhard Nann, a German company who sends consultants to help create, maintain and
regulate quality standards at RGL.
 Social and Environmental Responsibilities: RahimAfrooz as a Group is highly
committed to its social and environmental responsibilities. All its operations are built and
managed in a way so that the possibility of any detrimental effect on the environment can
be eliminated or minimised.Safe disposal of the used batteries in Bangladesh has been a
big concern and RABL’s initiative for a safer breakdown was to buy back old batteries
from the market, which has proven to be a great and effective way to minimize risks.
RahimAfrooz has actively influenced environmental law formulation and enactment.
RABL has proper facilities for and breaking used batteries safely in an isolated location in
Savar. Simultaneously, it has also made huge investments in setting up a smelting plant to
recycle the recovered lead from the used batteries.
 Awareness Campaigns: In order to make all these efforts truly meaningful,
RahimAfrooz has been periodically running awareness building campaigns in the society
among the battery users (including the drivers) to educate them about the need for a safe

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disposal of batteries and also encouraging them to avail the buy-back benefits offered by
RahimAfrooz for used batteries.
 Free accommodation for workers: In the near future the management committee of
RahimAfrooz is planning to build large dormitory for all the workers where they will be
able to stay for free. They provide free milk and eggs to their manufacturing plant
workers to remove any sign of toxins that might come into their system and to keep them
healthy.
 RABL’s liaison team always keeps contact with the government officials and different
departments of higher authority so that they can keep in touch with the govt. They can
understand the govt. as well as the govt. can also have the clear image of RahimAfrooz in
their mind. This type of close contact help RahimAfrooz like the way they are getting
support from the govt. now.
RABL has strengthened its market leadership at home while reaching out to
international markets. Ranging from automotive aftermarket products, energy and power
solutions, to a world class retail chain – the team at RABL is committed to ensuring the
best in quality and living standards. RABL’s five core values – Integrity, Excellence,
Customer Delight, Innovation and inspiring people, has helped add to and maintain the
good brand name. The company sets itself at the highest standards possible, with regards
to corporate behavior and passion for success. RABL has aligned itself with the
development of Bangladesh. RahimAfrooz continues to serve its customers through
unparalleled quality excellence and service superiority. Their business success has been
complemented by their commitment to the environment, society and community.

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II. BIBLIOGRAPHY
1. Akter, S., 2010. The Daliy Star. [Online]
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[Accessed November 2014].
2. Anon., 2014. Products: Globatt Battery. [Online]
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3. Anon., n.d. Awards & Achievements: RahimAfrooz Ltd.. [Online]
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http://www.rahimafrooz.com/OurGroup/AwardsAchievement/tabid/69/Default.aspx
[Accessed 2014].
4. Hill, C. W. L., 2014. International Business: Competing in the Global Marketplace. 8th
Edition,. s.l.: McGraw- Hill.
5. RahimAfrooz Ltd., 2001. About us: RahimAfrooz Ltd.. [Online]
Available at: http://www.rahimafrooz.com/Default.aspx
[Accessed 2014].
6. RahimAfrooz Ltd., 2014. Awards & Achievements: RahimAfrooz Ltd.. [Online]
Available at:
http://www.rahimafrooz.com/OurGroup/AwardsAchievement/tabid/69/Default.aspx
[Accessed 2014].
7. Taslim, M. A., 25-26 January 2006. Dispute Settlement in the WTO and the Least
Developed Countries: the Case of India’s Anti-Dumping Duties on Lead Acid Battery
Import from Bangladesh. In: Dispute Settlement at the WTO: The Developing Country
Experience. Jakarta, Indonesia: International Centre for Trade and sustainable
Development.