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Internship Report

Measuring & Managing the Factors


behind Customer Satisfaction: A Study
of Apex Adelchi Footwear Limited

Exam Roll: 080070

Internship Report on

Measuring & Managing the Factors behind Customer


Satisfaction: A Study of Apex Adelchi Footwear Limited

Prepared For
Chairman
Internship Placement Committee

Prepared By
Exam Roll: 080070
Class ID: 777
4th year, 8th semester
Batch No. 17th, BBA Program
Academic Session: 2007-08

Institute of Business Administration (IBA-JU)


Jahangirnagar University, Savar, Dhaka-1342

Date of Submission: 14 May, 2012

May 14, 2012


Chairman

Internship Placement Committee


Institute of Business Administration
Jahangirnagar University
Savar, Dhaka - 1342.
Sub: Submission of Internship Report.
Dear Sir
I have successfully completed my internship program in Apex Adelchi Footwear Ltd. During this
period of three months I have got some unique opportunities to go through some fruitful job
experiences. Those experiences enabled me to bridge the gap between classroom learning and real
life situations to a great extent.
Now as a mandatory part of this internship program, I am submitting my internship report entitled
Measuring & Managing the Factors behind Customer Satisfaction: A Study of

Apex Adelchi Footwear Limited. I have tried to put in my best effort for this report and
enjoyed working on this report. I will be pleased to be available if any further explanation is
required.
Thanking you.
Yours sincerely,

Exam Roll No. 080070


Registration No. 26037
Class ID: 777
4th Year, 8th Semester
17th Batch
Institute of Business Administration
Jahangirnagar University
Savar, Dhaka.

Acknowledgement

This report is the outcome of the contributions and sincere cooperation of different persons. I could not
possibly thank all of those marvelous people who have contributed something of them directly or
indirectly in preparing this report successfully. They are off course some very special people who cannot
go without mention. It gives me immense thank them for their cordial cooperation and encouragement.
First of all, I would like to express my gratitude to the almighty.
I express my heartiest gratitude to Mr. Alamgir Hossen, Lecturer, Institute of Business Administration,
Jahangirnagar University for his valuable guidance, scholarly direction, and unconditional support during
my tenure of the study. I have learned a great deal from him. His counseling made me more sincere and
responsible.
My honest admiration goes to Mr. Khandker Swanan Shahriar, General Manager (Marketing) of Apex
Adelchi Footwear Limited, for his precious time, endurance and hints in preparing the report.
I would like to express my sense of special gratitude and appreciation to Ms. Yashna Chowdhury,
Executive Brand Manager (Marketing), Apex Adelchi Footwear Limited, for her heartiest supervision and
cooperation.
Finally, my heartiest appreciation goes to the other personnel of Gallerie Apex and various stuffs of
different outlets of Gallerie Apex associated with my activities as they give me their valuable time and
data about that organization.

Table of contents
Sl. No.

Title
Executive Summary

Page No.
ix

Introduction
1.1

Overview

1.2

Problem Definition

1-2

1.3

Research Objectives

1.4

Methodology

1.4.1

Selection of Sample

1.4.2

Data Gathering Method

1.4.3

Data Gathering Instrument

1.4.4

Data Collection Time

1.4.5

Data Analysis

1.4.6

Basic Research Design

The Organization
2.1

Historical Background

2.1.1

Company Profile

2.1.2

Board of Directors

2.1.3

Associate Companies

2.2

Vision, Mission & Values

2.3

SWOT Analysis

2.4

Gallerie Apex

2.5

Operating Functions of Gallerie Apex

2.5.1

Human Resource Division

2.5.2

Product Development and Market Consultant

2.5.3

Sales Department

10

2.5.4

Marketing department

10

2.5.5

Management & Information System

11

2.5.6

Supply Chain & Merchandising Procurement Department

11

2.5.7

In-process Quality Control

12

2.5.8

Producer & Practice of Product Pricing

12

2.5.9

Store Display of Gallerie Apex

12

Job Description
3.1

Nature of the Job

13

3.2

Specific Responsibilities of the Job

13

3.3

Observations

13-14

Findings & Interpretations


4.1

Customer Satisfaction

15

4.2

Customer Satisfaction Factors of Gallarie Apex

16

4.3

Survey Findings

4.3.1

Respondent Profile

4.3.1.1

Gender

16

4.3.1.2

Age

17

4.3.1.3

Monthly Household Income

18

4.3.2

Comparison with Other Branded Shoes

4.3.2.1

1st & 2nd Choice of Customers

18

4.3.2.2

Purchase Behavior of Last 3 months

19

4.3.2.3

Price vs. Quality

20

4.3.3

Factors & Reasons behind Customer Satisfaction

4.3.3.1

Importance of the Factors

21

4.3.3.2

Forming Opinions about GAPX

22

4.3.3.3

First Association with GAPX

22

4.3.3.4

Comparison of GAPX Stores with Other Shoe Stores

23

4.3.3.5

Satisfaction of Footwear Needs from GAPX

24

4.4

Summary of the Findings

25-26

Recommendations & Conclusion


5.1

Some Possible Strategies to Improve Customer Satisfaction

27

5.2

Recommendations

5.3

Conclusion

28

References

29

27-28

Appendices
6.1

Questionnaire

i-iii

List of Tables
Sl. No.
01.
02.
03.
04.
05.
06.
07.
08.
09.
10.
11.

Title
Gender based categorization
Age based categorization
Income based categorization
Name of 3 Footwear Companies
Purchase Behavior
Price vs. Quality of GAPX
Importance of Factors
Forming Opinions
First Association with GAPX
Comparison of GAPX Stores with Other Shoe Stores
Satisfaction of footwear needs from GAPX

Page No.
16
17
18
18
19
20
20-21
21
22
23
24

List of Figures
Sl. No.
01.
02.
03.
04.
05.
06.
07.
08.
09.
10.
11.

Title
Gender
Age
Monthly Household Income
1st & 2nd Choice of Customers
Shoes Purchased by Respondents in Last 3 months
Price vs. Quality
Importance of the Factors
Forming Opinions about GAPX
First Association with GAPX
Comparison of GAPX Stores with Other Shoe Stores
Satisfaction of Footwear Needs from GAPX

Page No.
17
17
18
19
19
20
21
22
22
24
25

Executive Summary

Today business world becomes more competitive. If a business fails to fulfill the consumers
demand then it is driven out from the market. Thats why consumer demand is the most
challenging task for a business to fulfill. To fulfill it, business has to analyze its consumers
demand time to time. The researcher has done the same job- Judgment of Consumer
characteristics to know their expectations to satisfy their needs. Here one of the leading local
branded footwear company APEX ADELCHI FOOTWEAR LIMITED has been picked to judge
its consumer satisfaction.
Consumer satisfaction are the factor by which the seller can understand who have really accepted
the product. It is the level of their comfort and satisfaction of using a product. This report will
help determine the factors behind satisfaction of the consumers who wear GAPX footwear.
The research is based on the data collected by personal interview with the consumers. A ranking
questionnaire with few open-ended questions has been designed for that purpose. The sampling
unit covers 720 people combining both male and female from different walks of the Dhaka
Metropolitan City. As the size of population is unknown, convenient sampling is done. The
research covers only Dhaka city and no hypothesis has been made.
This report will help to those who are willing to prepare a report on related topics. This will help
the people to know about their own expectations and demands from GAPX. The learners will be
able to use this as their reference curriculum. This will help new companies or entrepreneurs to
launch a new footwear brand in Bangladesh.

Chapter 1
Introduction

1.1

Overview

Attitude is a concept of psychology and it means persons overall evaluation for any concept or object. It
is the approach which creates the intention towards the object to behave in good or bad way. Consumer
attitude and behavior are the factors by which the seller can understand who have really accepted the

product. It is the level of their comfort and satisfaction of using a product. This survey will help determine
the attitude of consumers towards foot wears.
The purpose for doing this report will be to know the factors behind consumers satisfaction for foot
wears. The reason also will include making an attempt to help those who are willing to prepare a report on
related topics in future. The credit will also go to the researcher/s and the entrepreneur/s who have laid the
groundwork for the research.
The environment will include both the general and the operating environments. Technology and
economics will play vital roles in this business. The report will be helpful to understand customers
psychology regarding purchasing foot wears.

1.2 Problem Definition


The research study is about Measuring & Managing the Factors behind Customer Satisfaction: A Study
of Apex Adelchi Footwear Limited. Information will be gathered by collecting primary data. Additional
background information is needed from the company details.
The statement of the problem is divided into two categories. They are:

a) Broad statement of the problem:


The broad statement of the problem is identifying the factors from an appropriate perspective. The
appropriate perspective of the problem is originated from the rapid changed attitude of the consumers
shopping behavior and foot wear sense. To exist in such a competitive environment, profit seeking
organizations should identify the consumers attitude towards buying designer foot wears. .

b) Specific components of the problem:


The key or specific component of the problem is to measure and manage the factors according to
customers satisfaction. The attitude is identified by conducting a survey with ranking questionnaire
among the potential consumers of foot wear through asking them a specified number of questions.
Finally, analysis and interpretation of the gathered data was made to reach a well-reasoned conclusion that
will show the factors behind customers satisfaction of Gallerie Apex foot wear.

1.3

Research Objectives

The report will have a broad objective and some specific objectives.

Broad objective:
To measure and manage the factors behind consumers satisfaction of buying branded
foot wears

Specific objectives:
To categorize the consumers by their demographic characteristics (Gender, Age, Income)

To make the comparison of buying behavior of consumers between the leading


Bangladeshi footwear companies products
To find out the factors and reasons behind customers opinions for GAPX footwear
To provide a brief overview of Apex Adelchi Footwear Limited (mission, vision, value,
associate companies) and Gallerie Apex (HR department, sales & marketing department,
production & quality control department, MIS department)

1.4

Methodology

1.4.1 Selection of Sample


The residents (both male and female) of Dhaka city is the source of the data. Sample is necessary to
collect data. The sample size is 720. The entire sample is randomly selected.

1.4.2 Data Gathering Method


Primary method is used to collect the data. The information is gathered from the 720 respondents from
different major locations of Dhaka city.

1.4.3 Data Gathering Instrument


A structured questionnaire of ranking scale (ranking chart) is used to collect the information from the
respondents.

1.4.4 Data Collection Time


The data is gathered by the researcher/s. It took 3 months (90 days) just to collect data. The researcher/s
had little observation to the respondents.

1.4.5 Data Analysis


The data is collected through a survey ranking questionnaire. To analyze the collected data, there have
been used some statistical tools (Microsoft Office Excel Table) and graphical representation (Microsoft
Office Excel Chart) to find out different types of analytical results and interpretations.
And to know the company overview better, sources were explored for primary information and data. But
hardly any updated data could be found. In the absence of updated information and data dependency on
secondary has been inevitable. Data has been collected by interviewing the responsible officers and from
some documents & statements printed by the Apex Adelchi Footwear Limited, the annual reports of
AAFL and the website of AAFL. Still wherever possible primary data has been tried to use.

1.4.6 Basic Research Design


The respondents will give their answers by checking how much better or how much worse with the
statements and what is most important or what is least important in the list. Some open ended questions
will be also asked. It will be a descriptive research. The information will be collected by asking questions
to some residents (both male and female) of Dhaka city. Objective answers can be obtained. The survey
question will be worded in easy way so that every respondent can understand it.

Chapter 2
The Organization

2.1

Historical Background

Apex Adelchi Footwear Limited (AAFL) is a leading export-oriented leather footwear manufacturer in
Bangladesh. (Yashna) It is the largest exporter of leather footwear from Bangladesh. (Yashna) Currently
holding the second position, the company is also one of the fastest growing footwear companies in the
local market. (Yashna) Despite the effects of global economic turmoil and scarcity of raw hide due to
natural disasters, the company has performed well in the last couple of years. (Yashna) Bangladesh is
major shoe retailer in Western Europe, North America and Japan. (Yashna) AAFL was incorporated on
January 04, 1990. In the same year it went into commercial production with an installed capacity of 1000
pairs per day and 350 employees. (Yashna) Today the company is producing 15000 pairs of shoes per
day, employing over 7,500 people in two factories. (Yashna)
Apex Adelchi has quickly established itself as one of the most recognizable brands in the footwear market
of Bangladesh. (Yashna) Apex Adelchi accounts for 45% of the total footwear exports from Bangladesh.
(Yashna) With 6% of market share in local market, they are behind only to Bata Shoe, which holds 22%
of market share. (Yashna) Because of their superior quality compared to that of Bata, Apex Adelchis
products have given the local market a very good alternative to Bata. (Yashna) Although the company
remains a predominantly export-oriented company, they have also taken the local market very seriously,
which may prove to be decisive in the long run. (Yashna)
AAFL Company has exported more than 3.6 million pairs of shoes to Europe, Japan and USA per annum.
(Yashna) Their earning was more than 4,000 million Euros from export. (Yashna) They have
concentrated mainly on the export market. (Yashna) These export market comprises them more than 90%
of their sales. (Yashna) They also have a growing local market for their products. (Yashna) Their local
products were sold through a chain of retail shoe outlets in Bangladesh by the name of Gallerie Apex.
(Yashna)

2.1.1 Company Profile


Name of the Company: Apex Adelchi Footwear Limited.
Date of Commencement of Business as Apex Footwear Limited: January 4 1990.
Name Change to Apex Adelchi Footwear Limited: December 27, 2006.
Type of Company: Public Limited Company
(data collected from apexadelchi.com, 2010)

2.1.2 BOARD OF DIRECTORS

Syed Manzur Elahi

Chairman

Syed Nasim Manzur

Managing Director

Syed Gias Hussain

Deputy Managing Director (CFO)

Munize Manzur Khasru :


Syed Gias Hussain

Director
:

Director

Niaz Ahmed Choudhury :

Director

Adelchi Sergio

Director

Abdul Momen Bhuiyan :

Executive Director

A.A. Mosaddeque

Dilip Kajuri

Executive Director
Financial Controller

S.M. Shahjahan

Company Secretary

Pradip Kanti Saha

General Manager

Atiqul Islam

General Manager (Leather)

Syed Md. Mustaque

General Manager (Factory)

Md. Mominul Ahsan

Head of Human Resources

(data collected from apexadelchi.com, 2010)

2.1.3 Associates Companies


Apex Tannery Limited
Adelchi Footwear Bangladesh Limited
Apex Pharma Limited
Grey Advertising Bangladesh Limited
Quantum Marketing Research BD Limited
Mutual Trust Bank limited
Pioneer Insurance Company Limited
Gallerie Apex
(data collected from apexadelchi.com, 2010)

2.2

Vision, Mission & Values

2.2.1 Vision
AAFL is committed to productivity and quality growth to attain its objective of being a leading footwear
manufacturer of Asia through its vision of Honest Growth. (Yashna)

2.2.2 Mission
To achieve the vision of honest growth, AAFL has set their missions-- To ensure sustainable growth
To be a vendor of choice for our customers
To create value for our shareholders
To be proactively compliant with global best practices & standards
To be a responsible corporate citizen
(data collected from Yashna)

2.2.3 Values
With the appliance of vision and mission goal, AAFL is very much committed to their core values which are the
USP for their product success in the local market. (Yashna) AAFLs values are---

2.2.3.1

Respect for People

Demonstrate respect by developing our people and helping them to achieve high performance standards
by treat all people with dignity.

2.2.3.2

Integrity

Honesty - Walk the talk.


2.2.3.3
Sense of Urgency
Strive for speed and simplicity in everything we do.
2.2.3.4
Empowerment
Encourage and reward of self-confidence and initiative required accountability.
(data collected from Yashna)

2.3

SWOT Analysis of Apex Adelchi Footwear Limited

2.3.1 Strengths
AAFL has advanced machines and skilled manpower which make it possible to produce high quality
footwear. As a SBU of Apex group, it also has good financial backup. As a partner company of Adelchi,
Apex gets product designs from them which make it possible for them to follow Italian fashion trend.
They have renowned brand image in the footwear market. (Yashna)

2.3.2 Weakness
AAFLs product price is comparatively high. On the other hand, their ladies and kids footwear brands are
not that much strong. Furthermore, they have to depend on foreign suppliers for raw materials and design
support. (Yashna)

2.3.3 Opportunities
The quality of the leather available in Bangladesh is really very good. Furthermore, here labor cost is low
which makes it possible to produce the products more cheaply. On the other hand, young generation is
now more fashion oriented and brand conscious. (Yashna)

2.3.4 Threats

Consumers are now more prices sensitive day by day. Furthermore, most of the raw materials are not
locally available. Beside this, leather price is increasing day by day due to high demand. Production is
also hampering due to electricity crisis. (Yashna)

2.4

Gallerie Apex

Gallerie Apex is the local manufacturing and retail wing of Apex Adelchi Footwear Limited (AAFL).
(Yashna) While AAFL has predominantly earned both critical and commercial fame through export of
high quality leather footwear in the international arena, Gallerie Apex has sought to adeptly make use of
that expertise to provide high quality, fashionable footwear to the Bangladeshi consumers. (Yashna) With
over 140 own retail outlets and 150 authorized resellers, Gallerie Apex ensures nationwide coverage of its
diverse range of footwear for its consumers. (Yashna)Through its eight in-house brands, namely
Venturini, Apex Mens, Sprint, Lotto, Moochie, Nino Rossi, Sandra Rosa, Revive and Twinkler, Gallerie
Apex carries a huge selection of shoes and sandals, ensuring that each of our valued customer finds the
footwear that is just right for them. (Yashna) Gallerie Apex has recently launched genuine Disney
branded footwear through its stores to cater to the kids segment. (Yashna)
Product category of Gallerie Apex (Yashna)

2.5

MEN

WOMEN

CHILDREN

OTHERS

Casual shoe
Dress shoe
Sandal

Boot
Long boot
Sandal

Shoe
Sandal
School shoe

Shocks
Shoe care product
Others

Operating functions of Gallerie Apex

Operating functions of Gallerie Apex (GAPX) is more effective according to the vision of this company.
Whole process of GAPX operates a functional team on the demand of whole marketing process. These
departments are shown as below:
Human Resource Division
Product Development & Market Consultant
Sales Department
Marketing Department
MIS Department
Supply Chain Department
Merchandising Department
Accounts Section
(data collected from Shahriar)

2.5.1 Human Resource Division


This division always monitors the facilities of employees and to check problems. There are some
activities that HR department also do for the employees of Gallerie Apex like:
Human Resource Planning
Recruitment and selection

Compensation and Benefit


Accommodation
Health and safety
Employee and worker relation
Training and development
Motivation
Maintenance
(data collected from Shahriar)
Every manager and employees of every company wants a healthy and safe work environment. This
environment is one of the more challenging areas for HR department. This department of Gallerie Apex
provides maximum safety and healthy environment under their activities. (Shahriar)

2.5.2 Product Development and Market Consultant


This product development team starts a new merchandising wing of Gallerie Apex. This section called
Design Studio. (Shahriar) This is the new innovation of product development, creates new design of shoes
for new generation and analyzes the market in a short time. (Shahriar) In design studio the swing machine
is for the upper stretching of leather & scaling machine makes the leather thin. (Shahriar) Leather quality
is very good & it imports from Pakistan, Italy & Apex own tannery. (Shahriar) Through this studio the
research can done very frequently & positive way. Behind this activity design studio operates some other
works for Gallerie Apex like:
Design & Technical Support
To standardize the component of product
Try to decrease the price of product
Market Trend Analysis
Find out the competitors
Short Time research
To collect the best quality shoe component
To check the quality of finished goods
Delivering
(data collected from Shahriar)

2.5.3 Sales Department


Always keeps monitoring the sale condition of all galleries. Assistant General Manager of Sales and
Manager of Sales always monitor the new suitable market place which can be profitable business for
Gallerie Apex. (Shahriar) Under this sales department there have strong monitoring team called Area
Sales Executive. (Shahriar) They are working at zonal basis like Dhaka North, Dhaka Central, Dhaka
South, Chittagong, Sylhet, Rajshahi and Khulna.

2.5.4 Marketing Department


According to marketing concept, this department of Gallerie Apex holds the key to achieve its
organizational goal consists of the company being more effective than other competitors in skill,
delivering and communicating superior customer value to its chosen target market. Marketing department
evaluate the present footwear market condition.(Shahriar) Marketing team also research how Apex brand
can be established through utilize 4Ps concept in the market.(Shahriar) Gallerie Apex has a reputation in
market place, so marketing department should take some initial steps for the modification or more
development of this present image. There are some works those marketing departments always do:

2.5.4.1

Training and Development

Provides training for store manager, for sales man, for Area Sales Executive (ASE).

2.5.4.2

Merchandise Analysis

Marketing department analyzes the merchandise procedure. Marketing department also checks the market
demand of some selected articles, monitors the sale review, checks the best sale of product, which article
should be more running. (Shahriar)

2.5.4.3

Merchandise Action

If there any problem come to mind about in store merchandising, then marketing department takes
initiative of that step. (Shahriar)

2.5.4.4

Market Research

Marketing Department also works about the research of footwear market. If there any scopes that can be
applied for the development of product and market, this department also investigate that. Brand
Development, a brand is an art of corner store of marketing. It is a name, term, sign and symbol or
combination of them intended to identify the goods or services of one seller and to differentiate them
from those of competitors. Marketing department also works to enlarge this brand. Corporate Branding,
This marketing department of Gallerie Apex also works about corporate branding policy. (Shahriar)

2.5.5 Management and Information System (MIS)


It is a set of interrelated components that collect, process, store and distribute information to support
decision making. There have some role of MIS which is necessary for all business and this department of
Gallerie Apex also works in this point:
Improved communication system
Data management and faster decision making
Online data access
Systematic management and information
(data collected from Shahriar)
MIS department of Gallerie Apex is much established according to their job work. This department
collects sale report on entire galleries and input the database which should be daily, weekly and monthly
basis. This department input the data of daily sale information like,
Actual sale amount
Number of sold pair goods.
Sold pair of shoes
(data collected from Shahriar)

2.5.6 Supply Chain & Merchandising Procurement Department


Supply chain department distributes product in whole galleries all over the country. After issuing the
purchase order & manufacturing of product, supply chain work begins. (Shahriar) First product goes to
Central Distribution Centre (CDC) with bills, delivery Chelan & VAT paper. (Shariar) Product comes
from factory, source and import. At CDC they check the products quality, box, article no, with Quality
Control report and after that official formalities they receive product. (Shahriar) At the time of Bill
submission, they attach supply invoice or, Chalan. (Shahriar) Supply Chain Department has some
responsibilities also. They have to consider what kind of product will go which galleries and it depends on
volume of sale, customer category & position of market & sales. (Shahriar) According to this procedure,
there are two basic sources of production can provide the finished products:

Shafipur Shoe Limited (own factory)


Supply sources
(data collected from Shahriar)

2.5.7 In-Process Quality Control


The quality control process of Gallerie Apex is very much effective. To check the quality of finished
goods it has a specification sheet to know the total information about finished product. (Shahriar) This
sheet has the serial number, color, material of goods & price. (Shahriar) At 5th level of Gallerie Apex,
Quality Control room is worked by the Quality Control officer of Design studio. The system is to check
the 20% of product in a lot. (Shahriar)

2.5.8 Producer & practice of product pricing


At the time of selecting price of product it should be careful that, gross margin must be minimum 40 %.
(Shahriar) Buying price will always be fixed. In terms of adding VAT, amount will be 15% and it will be
included in the final retail price. To analyze the total cost sheet some necessary work has to be done.
(Shahriar) After calculating VAT on retail price of product, total cost (unit based) can add. Profit margin
is based on amount of retail price. Cost of material, information comes from own factory Shafipur Shoe
Limited. (Shahriar) There are two types of cost should be considered; Own Cost & Supply Cost.
(Shahriar) According to supply cost there can be made another cost sheet include all cost of supply
source. In order to make a price of product all department head discuss about design, durability, looks of
product, customers choice & finally they fixed the price of product. Executive director is the head of this
team. (Shahriar)

2.5.9 Store Display of Gallerie Apex


Gallerie Apex always plays a different style to attract the potential customer. Visual Merchandising is
very important part in store to attract the customer Store Display gives an idea about the product feature
such as variety, quality and size, color, design and trends. (Shahriar) This display reminds the customers
about their need and they attract to buy this product. It is an act of putting things for view or on view. I
visited some galleries to take this display idea and I found some rules of display. This display can be
dividing into 2 types. They are:

Interior Display
Exterior Display

According to Branding system of GAPX, there are generally 5 brands always common on Gallerie Apex:

Chapter 3
Job Description

3.1

Nature of the job

My internship commenced on the date of my joining which was on February 01, 2011. My posting was at
their Register Office, House # 6, Road # 137, Dhaka -1212. I have worked in the Marketing division of
Apex Adelchi Footwear Limited. During my internship period, I had been giving my work report to
Yashna Chowdhury (Executive Brand Manager of Marketing of AAFL) what everyday I did.

3.2

Specific Responsibilities of the Job

During my internship period, my responsibility was to research the market of footwear to record the
required data in a spreadsheet about customer expectations, their demands, their opinions, their
satisfaction level, their recommendations about Gallerie Apex footwears and later analyze the whole data
of spreadsheet and prepare a final report for Apex Adelchi Footwear Limited and finally give them a
presentation about the whole market research process.

3.3

Observations

At the period of my internship in Gallerie Apex, I visited some galleries. Gallerie Wari is one of them. It
denotes the whole activities that have to be done in each store of the Gallerie Apex. These are about-- Product Knowledge
Sales Conduct
POS (Point of Sale)
Process of sales communication
Procedure of Goods receiving/Dispatch
Cash Memo
Sales Report (Daily)
Sales Report (Weekly)
Sales Report (monthly)
Accounting
Store Billing
After Sales Service
Visual Merchandising
Gallerie Wari is one of the A category shop of Gallerie Apex. Its total space is 1800sft and 5
employees are working there including 1 shop manager, 3 salesmen & 1 shop cleaner. Customer response
is very much positive. This gallerie has verities collection of shoes for men, ladies and kids.
According to Mens shoes, there are three products brand like Venturini, Apex and Sprint are common and
Ladies sandals like Moochie, Sandra Rosa, Nino Rossi and Apex are common. Mens shoes size starts
from 39 - 44 and sandal size starts from 35 - 41.There have different row to display particular brand
product like shoes, sandals, socks, kids sandals etc. Price of Mens shoes starts from 1250Tk - 5500Tk,
sandals 650Tk - 1950Tk and Ladies sandals 450Tk - 3000Tk, Comfort socks 150Tk - 250Tk. Price of
Leather Goods is 600Tk. Point of Sale (POS) is some information about selling goods that have to fill by
manager at selling period. These are --1. Article code

7. Quantity

2. Name

8. Balance

3. Color

9. Unit price

4. Size

10. Discount (%)

5. Pair

11. Total discount amount

6. Price

12. Final amount

I observed the sales communication between customer and sales person. How a sales person help a
customer for purchasing a pair of shoes. A sales person gives information very politely about selected
products feature, leather quality, durability and components of manufacturing.

Chapter 4
Findings & Interpretations

4.1

Customer Satisfaction

The Customers are in the mainstream of sales oriented services. The success of such companies largely
depends on the satisfaction of the customers .The buyers are happy if the product and/or the services meet
their expectations. If their requirements do not meet the expectations the buyers become discontented,
they are delighted when the performance fulfils their requirements.
Customers post buying experiences, the opinion of friends, associates, marketer, competitor information
and promises lead to the expectations. Marketer must be careful to set the right level of expectations. If
they set expectations too low, they may satisfy those who buy but fail to attract enough buyers. In
contrast, if they raise expectations too high, buyers are likely to be disappointed. Dissatisfaction can arise
either from a decrease in product and service quality or from an increase in customer expectations. In
either case, it presents an opportunity for companies that can deliver superior customer value and
satisfaction
Today most successful companies have taken the strategy of are raising expectations and delivering
performance to match. Such companies track their customers expectations, perceived company
performance, and customer satisfaction. Highly satisfied customers produce several benefits for the
company. Satisfied customers are fewer prices sensitive remain customers for a longer period and talk
favorably to others about the company and its products and services
Although the customer centered firm seeks to deliver high customer satisfaction relative to its
competitors, it does not attempt to maximize customer satisfaction. A company can always increase
customer satisfaction by lowering its price and increasing its services, but it may result in lower profits.
Thus, the purpose of marketing is to generate customer value profitably
Now, we have a very good idea regarding the importance of customer satisfaction. So, it is also important
for the company to know about the satisfaction level of the customers. When any problem is identified, it
becomes easier to solve the problem. The next part of this paper
has focused on the Customer
Satisfaction Factors of. It is done through a research survey to find out the customer satisfaction level of
Gallarie Apex

4.2

Customer Satisfaction Factors of Gallarie Apex

Gallerie Apex is the local manufacturing and retail wing of Apex Adelchi Footwear Limited (AAFL).
While AAFL has predominantly earned both critical and commercial fame through export of high quality
leather footwear in the international arena, Gallerie Apex has sought to adeptly make use of that expertise
to provide high quality, fashionable but premium footwear to the Bangladeshi consumers.

4.3

Survey Findings

In order to measure the satisfaction of the customers a series of questions were asked to the customers
with the help of a questionnaire, the data from these questions are tabulated below.
For clear understanding, the overall satisfaction has been divided into satisfaction with the product and
satisfaction with the after sales service. As already mentioned, the survey was conducted among nine
hundred consumers; it was conducted in three way direct appointment, over telephone and with the help
of email.
While asking total 23 closed end question to 720 consumers; In the basis of strongly agree to strongly
disagree, from the total point and average point I can divide the customers into 3 categories of satisfied
subscribers, moderate subscribers and not so satisfied subscribers.
In some areas customers are satisfied and in some area customers are not satisfied also there are some
areas where subscribers are moderate in satisfaction. In below I will discuss all the questions related to
customer satisfaction finding elaborately.

4.3.1 Respondent Profile


The respondent profile includes gender, age and monthly household income range of the respondents.

4.3.1.1

Gender

From the 720 spontaneous respondents, it is found that,


Table 01: Gender based categorization
Male

Female

Total

391

329

720

Figure 01

4.3.1.2

Age

From the 720 spontaneous respondents, it is found that,


Table 02: Age based categorization
Under 18

18-24

25-34

35-44

45-54

55-64

Above 65

Total

45

185

285

155

42

720

Figure 02

4.3.1.3

Monthly Household Income Range

From the 720 spontaneous respondents, it is found that,


Table 03: Income based categorization
Less than
20000

20000
-35000

35000
-45000

45000
-60000

60000
-75000

75000
-100000

Above
100000

Total

71

172

155

218

55

17

32

720

Figure 03

4.3.2 Comparison with Other Branded Shoes


This comparison includes 1st & 2nd choice of customers, their purchase behavior of last 3 months, and
price vs. quality comparison of GAPX & other brands.
4.3.2.1

1st & 2nd Choice of Customers

The question was asked like Name 3 Footwear Companies and the answer came like this,
Table 04: Name of 3 Footwear Companies
Bata
Apex
Others
Total
446

216

Figure 04

58

720

4.3.2.2

Purchase Behavior of Last 3 Months

The purchase behavior of respondents from GAPX and other branded shops are like this,
Table 05: Purchase Behavior
Total Paires of
Shoes purchased
2374

From Apex
1114

From
others
1260

Time visited
GAPX
3109

Time visited Other


stores
3324

Figure 05

4.3.2.3

Price vs. Quality

Asking about GAPX product price in comparison of its quality the answer was like,
Table 06: Price vs. Quality of GAPX
Expensive

Fair

Low

Don't know

Total

416

279

19

720

Total
Respondents
720

Figure 06

4.3.3 Factors & Reasons behind Customer Satisfaction


This section includes 5 questions of which 2 are ranking questionnaire and our main stream to know what
actually customers think about GAPX, what are their expectations from GAPX and whether they are
satisfied with the GAPX service or not.

4.3.3.1

Importance of the Factors

There are 10 factors marked by the GAPX as the main reasons for visiting customers any footwear shop
and purchase something from there. And in importance ranking, according to the consumers those are --Table 07: Importance of Factors
Factors
Most
Very
Important
a. Location
322
166
160
b. Design of the stores
269
103
154
c. Cleanliness & lighting of the store
310
98
125
d. Range of shoes
332
127
136
e. Comfort of shoes
646
43
29
f. Quality of shoes
648
55
17
g. Value for the price
504
153
60
h. Availability of the right size
627
68
24
i. Helpfulness of the store's staff
392
245
79
j. Product knowledge of the staff
393
239
81

Less
52
117
120
106
2
0
3
1
4
5

Least
20
77
67
19
0
0
0
0
0
2

Total
720
720
720
720
720
720
720
720
720
720

Figure 07

4.3.3.2

Forming Opinions about GAPX

Then GAPX wants to know from their customers how they formed an opinion about GPAX at the
beginning. They thought of some sources and the answer came like this,
Table 08: Forming Opinions
Advertising
77

Word of Mouth
114

Personal Experience
461

Newspapers/Magazines
43

Internet
25

Total
720

Figure 08

4.3.3.3

First Association with GAPX

The question was about when customers think or hear the name GAPX, what is the 1 st thing that comes in
their mind. Though we expected to get single answer from respondents, but from a good number of
respondents we get multiple answers for this question.
Table 09: First Association with GAPX
Fashion
126

Price
179

Quality
211

Customer Service
27

Figure 09

Range of shoes
12

Multiple options
165

Total
720

4.3.3.4

Comparison of GAPX Stores with Other Shoe Stores

This is the other ranking question and the most important one because here GAPX wants to know the
comparison of GAPX shops and products from any other shoe stores, whether it is branded or nonbranded. The ranking started from 1 to 5 and the numbering was like this --1 = much worse
2 = worse
3 = same
4 = better
5 = much better
Table 10: Comparison of GAPX Stores with Other Shoe Stores
comparison of GAPX stores to
other shoe stores
a. up to date fashion shoes
b. Comfortability of shoes
c. quality
d. durability
e. style and color
f. Style that goes with you
g. right size
h. Promptness of the service
i. friendliness of the salespeople
j. Product knowledge
k. value for money
l. Advertising and communication
m. Display of shoes
n. maintenance of the store
o. Layout and design of the store
p. Posters and pictures displayed
q. Promotional offers
r. Wide assortment of accessories

much worse
35
32
31
42
43
35
22
11
15
2
10
53
16
15
13
15
42
17

worse
78
42
62
69
158
169
48
23
20
18
87
260
35
27
35
48
160
35

same
302
188
247
341
293
264
292
132
130
168
315
205
239
190
175
206
308
365

better
233
370
277
204
166
177
251
360
357
342
201
100
310
350
360
342
120
208

much better
72
88
103
64
60
75
107
194
198
190
107
102
120
138
137
109
90
95

Total
720
720
720
720
720
720
720
720
720
720
720
720
720
720
720
720
720
720

Figure 10

4.3.3.5

Satisfaction of Footwear needs from GAPX

The final question to ask was satisfactions the customers get from GAPX footwear and their services. I
noticed an interesting matter here that customers choices are not constant. In my 3 months of survey
period, I repeated visiting same galleries twice and found that the questions I asked the people visiting
those galleries at the starting of my survey differ from the answers of at the ending of my survey. So the
satisfaction level also changed of customers. But the chart says,
Table 11: Satisfaction of footwear needs from GAPX
Always
183

Often
234

Sometimes
250

Rarely
35

Never
18

Total
720

Figure 11
So these are all the findings and interpretations I got from my whole 3 months of surveying customers of
GAPX footwear.

4.4

Summary of the Findings

A) Actually dont know from when, but there is a belief in consumers mind that APEX foot wears
are majorly males brand and their 54% customers are also male and other 46% are female.
B) APEX foot wears are more popular in young generation and middle-aged people. Their 40%
customers age are from 25-34, 26% are from 18-24 and 21% are from 35-44.
C) APEX foot wears are one of the premium foot wears of Bangladesh. So their maximum
customers are also from upper class. 30% customers monthly household income range is from
45000-60000, 24% are from 20000-35000 and 22% are from 35000-45000.
D) Customers choice of brand shoes says they are still not so convinced with new brands other than
BATA. 65% customers 1st choice is BATA and 2nd choice is APEX and for 3rd choice various
names appeared like BAY, JENNYS, Local shoes etc.
E) Though GAPX has more outlets in all over Bangladesh, customers visiting the GAPX outlets and
purchasing shoes from there are less from other branded & local outlets, only 47%, while from
other shops the percentage is 53.
F) For 58% customers of GAPX products are expensive than their quality and for 39% it is fair.
G) Our 1st ranking question that to know the major factors behind customers visiting a footwear
outlet and purchasing products from there. And customers chose Quality, Comfort, Availability
of right size, Value, Product knowledge of the salesperson and Location as the major factors.
H) Most of the customers form their opinions about GAPX products by having their personal
experiences of shopping there. The percentage is 64, while 16% first came to know about it from
others (words of mouth) and other 11% are from the advertisements of the media channels.
I) First association with GAPX means when we first utter the word GAPX in front of the customers,
which feature/s come first in their minds. If we take the single answers, then 29% customers
think of Quality, 25% of Price and 17% of Fashion. But if we notice carefully, we will see a big
percentage of customers (23%) who chose multiple answers, majority of which is a combination
of Price and Customer service.

J) Our most important ranking question to know the comparison factors between GAPX and other
footwear brands & shops. According to the ranking, GAPX is mostly in front side for its
outstanding customer service by the salespersons and the location, layout, design and
maintenance of the outlets. But the quality, comfort level, durability, style, fashion. Color, size
etc. of shoes are mostly similar to other branded or local shoes.
K) The final question to know the satisfaction level of customers of GAPX. 25% of customers are
always satisfied, 32% of customers are often satisfied and 35% of customers are sometimes
satisfied by GAPX when they needed to purchase any product from GAPX.

Chapter 5
Recommendations & Conclusion

5.1 Some Possible Strategies to Improve Customer Satisfaction


Analyze the market in a regular basis and find out what customers need and want in the area
where customer are not satisfied like price design advertising, and quality.
Gallery apex has to take necessary action to increase customer satisfaction by lowering their
price, offer different design, speed up their service etc.
Communicate with the customer in easiest way like, most of the customer still watches TV and
listen radio so they have to give advertisement in TV and radio & newspaper and in this way
Gallery apex can increase customer satisfaction.
Offer various kind of package in their product so that their customer can match with their
preference. Create strong Brand image by different promotional activities which catch people
emotion and feelings so that subscribers will be very much loyal.
Offer various services with their product so that customers can enjoy various Services at a single
device.
Fulfill corporate social responsibilities to create a good image in subscribers mind. By organizing
different events, donating money, do something for the poor people; help the government to give
education to the poor children.

5.2 Recommendations
Though Customer Development Department and its field force are very well organized and active but I
think they should give more importance about the following matters.

Importance on more visibility


Marketing team should give more importance on visibility. They should choose more colorful shelf talker,
billboard etc. and display all the products more attractive ways so that shoppers can easily notice the
product and feel encourage to buy the products.

Focuses on the product design


GAPX should focuses on there research & design. Sometime customers have complaints that Apex is not
changing there designs and fashions.

Focus on their products delivery timing


Sometimes delivery cannot reach to the market on time. Thats why customer couldnt take the products
from there reasonable shop.

Event based promotion


GAPX can arrange special promotion in different events like Eid-ul-Fitr & Eid-ul-Adha, New Year,
Valentines Day, Pahela Baishakh, Christmas and other seasonal events. It is not that they have to make an
expensive promotion. They can give consumer gift. Its help them to make better relation with customer

Arrangement of Special Events


GAPX can organize special events for the customer like gift coupon, in this event lucky winner can get
special gift or special discount.

5.3 Conclusion
Apex Adelchi Footwear Limited is one of the leading footwear companies in Bangladesh. I have worked
in the marketing department of Apex. During this time I got an opportunity to observe the overall
activities of managing the retail environment. This report has provided some interesting insight into what
kind of service the customers are getting and what is their expectation from Apex. It also has analyzed
the perceptions of sales man like how it has helped to build the relationship with Apex as well as increase
the sales. As it can be seen the relationship with sales man has already strengthen now Apex should try to
attract the customer who are not fully satisfied and bring them to the positive side of the road so that
strong relationship with the customers should be maintained. Apex should also provide more value to
its loyal customers. Finally, I would say that this internship at Apex has increased my practical knowledge
and experience about Business Administration and helped make my whole BBA education complete.

References
Annual Report (2010-2011) of AAFL
http://www.apexadelchi.com/apex_adelchi/
Yashna Chowdhury, Executive Brand Manager (Marketing), AAFL, Head Office,
Gulshan-1, Dhaka-1212
Khandker Swanan Shahriar, General Manager (Marketing), AAFL, Head Office,
Gulshan-1, Dhaka-1212
Philip Kotler & Gary Armstrong; Principles of Marketing; Pearson Prentice hall, 200708, 12th edition

Chapter 6
Appendices
6.1 Questionnaire

Date of Interview
Name of Store

__________________
__________________

Store Category

A
B
C
Discount

Time of Interview
Location of Store
1
2
3
4

Store Type

__________________
__________________

Shopping Mall
Strip Mall
Stand alone

1
2
3

Section A
1. Please name three footwear companies

1 ___________________________
2 ___________________________
3 ___________________________

2. How many pairs of shoes have you purchased in the last 3 months (self and others)?

_______

3. How many times have you visited a GAPX store in the last 3 months?

_______

4. How many times have you visited other shoe stores in the past 3 months?

_______

5. How many pairs have you purchased from GAPX in the last 3 months (self and others)?
_______
6. How many pairs have you purchased from other shoes in the last 3 months (self and others)?
_______
7. Based on GAPX's Quality, do you think the prices are:
Expensive for the quality

Fair and reasonable

Low

Don't know

8. Based on the quality of the shoes in these stores, do you think their prices are:
Expensive for the quality

Fair and reasonable

Low
Don't know

Section B
9. How important are the following factors in deciding which store you buy your footwear from?
Importance
Least
Less
Important
a. Location of the store
1
2
3
b. Layout and design of the stores
1
2
3
c. Cleanliness and lighting of the store
1
2
3
d. Range of shoes and sandals offered
1
2
3
e. Comfort of shoes and sandals offered
1
2
3
f. Quality of shoes and sandals offered
1
2
3
g. Value for the price offered by the store
1
2
3
h. Availability of the right size
1
2
3
i. Helpfulness of the store's staff
1
2
3
j. Product knowledge of the store staff
1
2
3

Very
4
4
4
4
4
4
4
4
4
4

Most
5
5
5
5
5
5
5
5
5
5

10. How did you form your opinion about GAPX?


Advertising

Word of Mouth

Personal Experience

Newspapers / Magazines

Internet

Others (please mention)

6. ______________

11. When you think of what GAPX does best, which of the following first comes to mind?
Fashion

Price

Quality

Customer Service

Range of shoes

12. On a scale of 1 to 5 how do you find this shoe store compared to other shoe stores on the
following factors,
where:
1 = much worse
2 = worse
3=same
4 = better

5 = much better
GAPX

a Reflect up to date fashion shoes

_______

b Comfortability of shoes

_______

c Quality of shoes

_______

d Shoes that are made to last

_______

e Selection of merchandise (style and colors)

_______

f Styles of shoes that you like

_______

g Having the right size of shoes that you want

_______

h The promptness of the service from salespeople


The friendliness of the service from the
i salespeople

_______
_______
_

j The product knowledge of the salespeople

_______

k Shoes worth the price you paid

_______

for (value for money)

l Advertising and communication of GAPX

_______

m Display of shoes in the store window

_______

n The cleanliness and maintenance of the store

_______

o The layout and design of the store

_______

p The posters and pictures displayed in the store

_______

q The promotional offers of GAPX

_______

r Wide assortment of accessories


Always
13. Does GAPX satisfy all your footwear

_______
1

needs?
Often

Sometimes

Rarely

Never

Respondent
Information
1.Gender

2. Age Group

1.M

2.F

Under 18 18-24
1

25-34

35-44

45-54

55-64

3. Monthly Household Income

above 65
7
1
2
3

Less than 20000


20000 to 35000
35000 to 45000
45000 to 60,000
60000 to 75000
75000 to 100000
above 100000

4
5
6
7

I would like to thank you for taking the time to answer our survey. On behalf of GAPX I would like
to present you with this gift as a token of our appreciation.

"I hereby certify that this interview was conducted according to the questionnaire and instructions
for this study and that the answers recorded are given to me by this respondent. I also realize that a
proportion of my work will be checked for verification"

_________________________

___________________________

Interviewer's Name

Interviewer's Signature

Thank You for Co-operation

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