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Group - 7

Team Members

Omaer Ahmad ZR-09

Kawsar Ahmad ZR-50

Rafaat Wasik Ahmed ZR-53

Nasim Ul Haque ZR-54

Sadek Jake Alam ZR-55

Rashed Al Ahmed Tarique ZR-61

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What makes the greatest

contribution to greenhouse gases?

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Inconvenient Truth

�Around 250 to 500 liters of methane

gas produced every day.

�

More than 18 percent of the globalemission of methane gas.

�60 percent through burping and 40

percent from flatulence.

�15 to 22 percent of the total energy

from consumption is wasted.

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Inconvenient Truth

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Facts: Bangladesh Cattle Farming

�23.4 million of cows in Bangladesh.

�6.7 million cattle farmers.

�The growth rate in GDP in 2004-05 for

livestock was the highest of any sub-sector at 7.23%.

�Ranks 12th in the international market

and 3

rd

in the Asian market.

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Facts: Bangladesh Cattle Farming

�More Cattle Population than any EU

country.

�Distributed at a greater density thanany other south Asian countries.

�In respect of milk outputs one of the

poorest in the world.

�Milk yield per dairy bovine less

than half of that of both India and

Pakistan.

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Facts: Bangladesh Cattle Farming

� Breed Management

 ± average 206kgs/head/year of milk compared to

almost 800kgs for India and 7000 kgs for the USA.

� Feed Management

 ± Most cows are still fed with crop residues and

cereal byproducts

� Growth of Cattles

 ± chemical treatment of straw

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Current Antibiotics

� Monensin

 ± Expensive for the poorer farmers.

 ± I

ngredients not available.

� Mootral

 ± Still in its development stage.

 ± High probability of side-effects.

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The Product: CowShar

A Urea-Molasses Mineral Blocks composite.

Composite contains Urea, molasses, salt, water,

cement, di calcium phosphate, plus a fewother chemicals.

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The Product: CowShar (contd)

Makes dairy firms more efficient by:

� Improving cattle draft power

�Improving body condition of the cows

� Improved reproduction of the cows

� Increased milk yield

� Faster weight gains for growing cattle

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The Value Chain

InboundLogistics

OperationsOutboundLogistics

Marketingand Sales

Service

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Objectives

Marketing Objectives:

� Maintain a positive, strong growth each quarter.

� Achieve a steady increase in market awareness.

� Maintain a high rate of retention.

Financial Objectives:

� Increase the profit margin each year by 1-2% by

increasing efficiency and economies of scale.� Achieve a double to triple digit growth rate each

year.

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Mission

We intend to attract customers by making them

educated about the benefits of CowShar, and

maintain them over the long run by making

them realize the higher revenue and lower

cost in dairy farming on using CowShar.

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Competition

New-to-market product.

Potential Competitor: Monensin

However, not possible to be produced

locally and is too expensive.

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Porters Five Forces

CowShar

Bargainingpower of suppliers

Intense

segmentrivalry

Threat of 

newentrants

Threat of 

substituteproducts

Bargaining

power of buyers

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Competitive Strategies

� Capturing the largest potential market

� Expanding the total market

�Position defense

� Preemptive defense

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Segmentation

� Multistage segmenting

 ± Segment market geographically

 ± Segment market through purpose of cattle

herding

1. Micro-producers (1 or 2 cattle)

2. Personal consumption

3. Meat-production4. Medium to large farms (more than 10 heads of cattle)

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Targeting

� Most lucrative segment

MEDIUM LARGE FARMERS

30% of this market

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Positioning

� Pioneer in the cattle feed additives market

�Source for cattle feed cost reduction

� Improve cattle health

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Marketing Strategy

Objective :

� Create a market for cattle feed addtives

� Advantages of using our product

Media:

� TV agriculture-based programs

� TVCs

� Events

� Displays

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Marketing Mix

Product

� 50 kg packets of feed supplement

Price

� Tk.600 per 50 kg

Place

� Cattle feed retailers

Promotion

� Outlined above

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Market Research

� Studies conducted by

 ± Agricultural University Bangladesh

 ± Bangladesh Bureau of Statistics

� Test Marketing in randomly sampled market

� Research on new international markets

�

Carbon credit market

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Finance

� Priced at Tk. 600/ 50 kg sack

� Profit Margin of Tk. 95.08

�Profit of Tk. 166,592,362 in the first year

� Achieves breakeven in the first year

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Takeaways

� Cheap innovative product with multiple

benefits.

�

Target Customers: Middle-Large DairyEnterprises

� Potential for growth

�

Achieves breakeven in the first year

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Takeaways

� With new research suggesting that methane

emission by livestock is higher than previously

estimated, scientists are furiously working at

designing diets to help bovines and other

ruminants eat better, stay more energetic and

secrete smaller amounts of the offensive gas.