NATIONAL COLLEGE OF BUSINESS ADMANISTRATION & ECONOMICS LAHORE

International Trade Development Submitted to : Mian Tariq

Topic : Opening Nirala in China

Submitted by : Salman Nisar Bhatti Sohaib Bakhtawar

Content
1_Introduction Established Origin Founder Outlets Working Nomenclature 2_Product & Prices 3_Economic Indicators Country Culture Currency Religion Population GDP GDP Annual Growth Rate GNP CPI PPI FDI Interest Rate Tax Rate 4_Analysis Political Risk Market Access Cost & Consideration Shipping Consideration Foreign Exchange Rate Country Infrastructure 5_Business Indicators Starting a Business Construction permit Getting Electricity Registering Property Enforcing Contract Resolving insolvency Trading Across boarders Paying Taxes Protecting Investors Getting Credit 6_ Conclusion

Introduction
Established : 1948 Origin : Lahore Founder: Taj Din Outlets: 20 Pakistan 2 International Working : Marketing Research Marketing Strategies Business Portfolio Structure of Organization Departments Nomenclature

o o o o o o

Products & Prices

Products: 1_Mithai 2_Snacks 3_Dairy 4_Beverages
Mithai Regular Methai Special Mithai Sugar Free Methai Cold Range Type & Features

Prices
Products Regular Methai Special Mithai Sugar Free Methai Cold Range Pakistan 600PKR 800PKR 1200PKR 50-600PKR China 55 CNY 65 CNY 85 CNY 15-60 CNY

140 types of moti choor mithai lal jaman Filling with Ingredients No Sugar Desi Ghee Dry Fruits Health Concious Rusmalai Kulfi

Kheer Firni

Economic Indicators
Country :China Culture: oldest Currency: Yuan Religion: Buddhism/taoism Population:1.351 billion GDP:1.351 billion GDP Annual Growth Rate: 7.8% GNP:12.44 trillion PPP CPI :103.20 Index point PPI:98.49 Index point FDI:970.26 Million $ Interest Rate:6% Tax Rate:25 %

Analysis
Indicators Political Risk Market Access

HIGH

LOW

Large

Small

Easy

Cost & Considera tion Shipping Considera tion

Country Infrastruct ure Foreign Exchange Rate

Analysis
200 180 160 140 1_Starting a Business 158 2_Construction permit 185 3_Getting Electricity 119 4_Registering Property 48 5_Enforcing Contract 19 6_Resolving insolvency 78 7_Trading Across boarders 74 8_Paying Taxes 120 9_Protecting Investors 98 10_Getting Credit 73

120
100 80 60 40 20 0

INDICATORS Strength Depth Public Registry INDICATORS Strength of Investor Ease of Share holder Extent of disclosure & direct liability index

INDICATORS Procedures Time Cost

Outcome Imports /Exports

INDICATORS Payment Time ALL Taxes

Conclusion
We will be entering china in the month of September, purchasing land for manufacturing unit and the shop, following all the legal procedure. City is shanghai, population of 23 million. Labor will both Pakistani & Chinese, local people will help us in the shop selling the products while Pakistani will make the product. The raw material will be bought from china and will import from Pakistan. We will be launching on their spring festival (the new year) because the reasons are (1: Official holidays 2: People visits to buy new clothes 3: Eat food/sweets 4: Family dinners 5: Festivals 6: Easy to market the product).Political Risk is high but being Pakistani (Pakistan China) Free Trade Area so its beneficial. Chinese people respect Pakistanis and the like Pakistani food and recipes because of taste. Our color theme of outlet is red & yellow so is our packaging color (In Chinese culture red is Red, corresponding with fire, symbolizes good fortune and joy while yellow, corresponding with earth, is considered the most beautiful and prestigious color. There is similarity in our products and Chinese desserts (Moon cakes = Samosa Gondvi & malie Khaja , Tong Sui = Firni & Kheer , Grass jelly =Pink Petha etc). The marketing communication tools will be, leaflets, banners, magazines, newspapers and on public transportation stops. The segmentation will be Geographic, Demographics & Psychographic (Geographic: Pakistan, UAE, UK Canada & China. Demographics: Age < 3 55), Gender < M/F> & Family Size. Psychographic: Values, Beliefs & Life style < events, marriages ,birthdays anf spring festival> .