Professional Documents
Culture Documents
Introduction:
Mattresses which are mostly the same are often sold under different brand
names; two of the largest brands, Serta and Simmons, became owned by the
same company after a private equity buyout. Simmons, founded in the late
1800s, was bought and sold multiple times and faced bankruptcy after a major
decline in the bedding industry in the 2000s. The International Sleep Products
Association was founded in 1915 and releases a report on U.S. mattress sales.
Another association, Specialty Sleep Association, represents companies such as
Innomax and Boyd Specialty focused on latex, waterbeds, and airbeds.
However, Select Comfort, which produces airbeds (a specialty bed), is a
member of the ISPA. In 2012, Sealy Corporation, founded in 1881, was
purchased by Tempur-Pedic, which had introduced an all foam (TEMPUR-
Material) brand into the United States in 1992. Another large company, Spring
Air, went bankrupt in 2009 and was purchased by one of its former
executives.Comfortaire, founded in 1981, was the first to specialize in airbeds.
It was later bought by Select Comfort.In Spain Pikolin, founded in 1948, is one
of the largest manufacturers of mattresses.
Offered Products
Expo Group of Industries is the first company in Bangladesh to have started the
production of Polyurethane products.Their versatile flexible and rigid Custom
Formulated Products can be found in the adhesive, taxider my and custom-
molding industries as well as in many other applications. They develop both
formulation s and application sexpertise for each customer'sunique
requirements.Right now their product can be divided into four Category with
sub-category.
Theyare:
1.Foam: a)ExpoGold, b)Expo2014, c)Expo-280,d)Expo Regular, e)Vip280,
f)Vip180.
2.Mattress: a.Light mattress, b.Light Coir, c.Light Re-Bonded, d.Light Felte.Felt
Re-Bonded, f.Full Coir, g.Full Re-Bonded, h.Full Feltand i.Special Matt
Orthopedic mattress.
3.Adhesive: a.Synthetic rubber super quality, b.Synthetic rubber light quality.
4.Pillow: a.Micro fiber pillow, b.Cotton pillow, c.Foam shred pillow.
It is produced with thick CoirS heets & Quilted Clothes. All over, The world,
Cotton Mattresses have become obsoletedue to the unscientific body posture it
creates when one sleeps on it for 8hours, this results into irreparable orthopedic
problems; alternatively people needs uninterrupted sound sleep to be100%
relaxed to start next day activities with full energy.Thus in the field of foam
production and marketing Expo Foam and Home Textile Ltd has made are
volutionary change, keeping the price within custome rsreach and providing
constant quality, acceptable to valuedusers (EXPO GROUP,n.d.).
OBJECTIVES
Methodology
The report has been prepared on the basis of the experience gained during the
period of the internship. To prepare the report of internship, I have collected all
kinds if related data from secondary data.
For secondary data I have gone through different types of publications. I had
also used published data. They are:
Various publications of Expo group
Various publications of international bodies
Company profile of Expo
Research reports
Vision
To establish and sustain Expo Foam as the provider of leading quality products
in the foam and mattress market.
Mission
To provide Variety, Quality and Economical foam, mattress and home-textile
products while satisfying customer’s expectations earning sustainable profit and
continuing to beacaring employer (Islam,2015).
Core Values of Expo Foam
Value Chain
The value chain of Expo Foam consists of both primary and secondary
activities.
Primary Activities:
The primary activities of Expo Foam encompasses all the coreactivities starting
from its internal and external logistical arrangements, operations, production
,marketing, selling of goods and also the service provided to consumers.
Inbound logistics:
Expo Foam sources all of their raw materials from abroad. Their major raw
materials are Polyurethane Adhesive, Lamination Adhesive, Synthetic Rubber
Adhesive and Unsaturated Polyester Resin. They mainly source the raw
materials from China, India ,USA, Singapore, Malaysia, SouthKorea and
Thailand.After collecting the raw materials they store it in their own ware
housein Tejgoan which is separated from their production plant. As the ware
houseis abit far from the production plant ,they use their own transport to bring
the raw materials to the production plant.
Operations:
Before production the raw materials are being brought to the production plant
and store dinanair conditioned storageat very low temperature for 10-12 hours.
This is a prerequisite for the production procedure.The rearedices of different
shapes according to the type of the foam. After cooling down the raw materials,
according the formulation raw materials are poured in to the diceand from there
blocks o foam sare produced. Forall types of foam the principal raw material
sare polyol and TDI, they use the ratio2:1in their formulation.
Outbound Logistics:
The finished good sare being stored in the warehouse in side the production
plant. As they mostly produce goods after getting order from their clients,the
finished good don’trequired to be stored in the warehouse for longer time.The
company uses both own and rented transporttode liver the finished goods to the
wholeseller,retailer and their own Showrooms. For delivering inside Dhaka,
they mainly use their own logistics and for outside Dhaka they use dhired
transport ation service.
Expo Foam focuses on developing new customer group and retaining the
existing customer group.Their main competitors are Expo Foam, Apex Foam
and Foamex group. In order to cope up with the competition the company
comes up with different sort of promotional campaign from time to time.Atthe
same time, they have developed a strong sales network through out the whole
country.Expo Foam directly sells their products to the customers through their
12 showroom sacross Bangladesh. 8 of the showroom sare inside Dhaka and the
remaining 4 are situated in Chittagong, Khulna, Bogra and Sylhet. At the same
time they sell the products through their dealers across thew holecountry.They
also sell thei rproducts to the furniture producers.Incase of the corporate buyers
Expo Foam usually takes the order first and then produces the goods.
Service:
Expo Foam aimsto provide excellent customer service to its customers in order
to attain ultimate customer satisfaction.That is why expo foam triesto provide
superior after sales service.If the supplied goods are not according to the order
provided by customer,they take back the full consignment and deliver the right
order again.Sometimes if he customer is unwilling to take the modified
order,they even give the money back.Though Expo Foam follow the mass
production strategy ,incase of special customer demand they produce
customized products.
Support Activities
The support activities of Expo foam encompasses activities like sourcing the
raw materials ,managing the human resource ,technological and infrastructural
concerns.
Procurement:
For the procuremen to fraw materials Expo Foam has adepartment named as
Foreign Procure Department. The employee sals ocallit Commercial
Department.This department basically looks for the foreign vendor sorraw
material supplier. They find out the cheapest vendor and contacts with
them.They negotiate forthelo west price and fix the deal.Attheend the
department import sraw materials through specific procedure.Incase of urgent
need of raw materials they source the raw materials from local
market.Production with the local raw materials enables the mtominimize the
production cost butin this case they have to compromise with the product
quality.Normally they don’t use local raw materials.
Currently Expo foam is running the company with 300 employees which
includes 20Executives, 80Non-Executive sand 200 production workers.Incase
of hiring employees they focus on young talente dman power.Incase of
recruiting executives they depen donthe external source.They recruit through
proper screening. Butin case of recruiting the production workers,they use
internalsource.Expo Foam doesn’thave any training programs for training their
employees.The Employees are trained on the Job. But every employee is given
the training of fire safety. The companye n sures the proper health and safety of
the workers according to the Bangladesh Labor Law of 2006.They have
attractive remuneration System for the employees.The company gives
promotion to the employees depending on the employee performance.
Technology:
For producing the foam Expo Foam fully depends on foreign technology. The
machine suse dare basically from Germany, Japanand, China.They have one
Mixing Machine, one Horizontal Cutting Machine, one Vertical Machine, one
Packing Machine and two Sealing Machines. Till today, they are dependen to
the Old Technologies For production which they brought at the beginning of the
company. However the company is planning to bring new technolog to sustainin
the competition. They use a software Called Tally Software for Accounting
Division. This software helps the mtomea sure their Cost of production, profit-
loss and soon.
Infrastructure:
Strategies
After going through the activities of Expo Foam, we have tried to specify the
important strategies Expo Foam.
Marketing Strategies
Product : The core products of Expo Foam are Foam and Mattress. They
produce 3 types Mattress which are Spring Mattress, Re-Bonded Mattress and
Coir Mattress. However they are currently planning to enter the HomeTextile
market.
Price : Incase of pricing Expo Foam follows competitive pricing strategy. But at
the same time they try to maintain the quality and brand value.They have to set
the price abit higher than the average price. However this doesn’t make Expo
Foam less competition because they have a very good brand image for ensuring
the quality.
Place: Expo Foam has developed a strong supply chain through out the whole
country.They have 12 Show Rooms of their own through which they directly
sell to the ultimate customer. At the same time they sell to the Whole Seller and
Retailer across the country.
Promotion : It is sad but true that the reno internal promotional department of
Expo Foam. They do publicity through printed media and electronic media. But
in this case they depend on out sider advertising
Firms to make the promotional tool. Sometimes they sponsor different events in
order to do publicity. They also do sales promotion in order to boost sales. But
Sale Commission to the deal eristhe mostly used promotional activity of
ExpoFoam.
Opportunities Ahead
Currently Expo Foam is operating their business only within the boundary of
Bangladesh. But they a reprocuring raw materials from China, India, USA,
Singapore ,Malaysia, South Korea and Thailand . Through their raw material
supplier they might gather the information of prospective consumer of Foam in
those countries and the current condition of foam industry on those countries. If
they find the markets potential they might expand their operations on those
countries with the help of those suppliers . Expo Foam might also expand their
business to the neighboring countries of Bangladesh or the South Asian
countries if there is a potential market . In case of expanding operation inf
oreign countries at initial stage they might go fo exporting . Later on after
gaining experience they go for Foreign Direct Investmentor Join Venture.
Swan Foam:
Establishedin 1965 , they are first company in Bangladesh to have started the
production of polyure than products . As they have started the foam business
first in Bangladesh , they have gained the first movers advantage . They have
built strong custome rrelationship .They produce a huge variety of products
such as Re-bounded foam , Puroll foam sheet , Expo ash , swan exclusive etc .
50 years experience in business is playing an important role to make the man
established playe in the market. Inter customer Satisfaction and Quality they
have never been doubted . Expo Foam has the largest raw materials stock in
Bangladesh.They import raw materials from the largest and renowned
Multinational Chemical Companies(Expo,n.d.).
Apex Foam:
Akhtar Foam:
Akhtar FoamI ndustries Ltd . was established in 2008 . They have almost 750
dealers in the whole country . They have gotten the 20% of P.U. foam market
because of premium quality foams . They use advanced technology to continue
their mission and dominance . With the strategic goa and efficient team, Akhtar
Foam is crossing the border soft he country . Their product sare Akhtar HD,
Akhtar Deluxe, Akhtar Royale, Akhtar Super and Akhtar Premium. They ensure
after sales service and that brings the competitive advantage for them . They
give the guarantee that that will repair orreplace the foam(AKHTAR foam,n.d.).
Challenges
Although Over they ears Expo Foam has established it self as one of the most
competitive companie soft he home textile industry in Bangladesh , It still face
some problems conducting the business which is very much obvious forany
business. The challenges canbeen compasses problems regarding sourcing
materials,market based challenges and other related problems.
Although Expo Foam imports high quality raw materials from abroad, sourcing
the raw materials becomes time consuming process at times. Especially incase
of emergency large orders, they issues accessing quality raw materials . Thus
they have to collect raw materials from local supplier which is not good interms
of quality.This inturn lead stop or quality production.
Availability of chemicals:
The chemicals Expo Foam imports from abroad have shorte rlife. Within one to
two months the chemicals expires. So they can’t purchase bulk amount together
and they have to order chemical sine very two months . So the shipment cost
becomes higher and this lead stohigher cost of production . In sufficient
resources: Market based challenges: Well established competitors: There are
few well established competitors already in the market like Expo Foam, Apex
Foam etc and new companies are entering into the market . So it become stough
for Expo Foam to retain its customers because now customers have many
options in their handand they can shift to an other company easily.
Since consumers’ needs are constantly changing and the home textile industry is
an emerging marketing Bangladesh , Expo Foam faces certain market related
challenges as well which include customers growing needs,increasin price of
raw materials and weak promotional efforts.
Expo Foam doesn’t offer a large variety.They only produce four types of
foams.Now-a-days customers need has been changing and they want variety in
terms of design, size ,shape ,color. That is why Expo Foam is facing challenges
in order to cope up with growing customer needs. Keeping customers satisfied
with their low variety into day’s changing market becomes really hardf or Expo
Foam.
For advertising , Expo Foam relies on external AD agencies and the advertising
quality is not that good to attract customers. The promotional program is very
weak and they don’t pay attention to strength their advertising and promotion
program.The budget of Expo Foam for marketing strategy is very low which
results in poor promotion program and advertising.
Other challenges:
Expo Foam also faces certain challenge which are notin control of the company
but have serious effect on the smootho peration . These mainly include political
and regulatory problems of Bangladesh.
Political Instability:
The political situation of Bangladesh is notstable inrecent years.Due to political
turm oil , the businesses here are facing many difficulties . During blockade,
Expo Foam doesn’t get the shipment from foreign importers on time.So the
production becomes delayed and the distribution to whole country remains
offduring political turmoil.So the total operation becomes stagnant.
Thel ogistics system of Expo Foam is normally good . Usually they supply
products to their outlet sinside Dhaka with their own transport system . But
when they make shipment outside the capital , they normally take help from thet
hird party transport system like as courier service . In most cases the third
partie sare unprofessional and careless . As a result, the products become defect
while on heir custody . So they get their product back from the outside outlets
which in curs additional cost of bothre making the product and reshipment.
In the first portion of my intern experience I basically learned about all the
processisd one in marketing department of Expo and my supervisor is an
employee over there with a target sales. It will be very unjustifhe loose his
target because of teaching me office skills so that was my responsibility to help
him in his work and at the same time try to learn from that real working
experience.In this portion I basically organizing papers or bills and analysis
some data about credit allocation and finding out sales record and progress
based on previous sales history and after pointing out listing those name sand
provide those names to my supervisor.
In the mid period or second month of my intern experience I involved with tale-
marketing process with the help of my supervisor. So what was my point
contribution her eislisted below:
Recommendation
After completing the study I have found that Expo group is a potential
organization. Though it has some negative sides but stillit can resolve it
weaknesses and by using its opportunity over come its threats.Here I have
provided with some recommendation that would be helpful for the organization.
Conclusion
I have found that Expo has a very good Brand Personality. Expo is committed
to continue to improve products to attract its loyal customers. Expo is paying
attention to making the brand more attractive to the foam and mattress market
by fixing the priority on two objectives. One is to provide more comfort to the
clients and the other is to upgrade quality regularly. Keeping pace with trends
and technology of the time along with a perspective plan for the future which
embraces all aspects of the industry and overall improvement in situation the
carrier is now confidently looking forward to the future
We had given the opportunity to know the reputed Foam Industry .It gave me
experience and real sense of this industry’s activities. In this report, I have
studied findings & analysis on the Expo Foam Industry. “Expo Foam Industry” Is
one of the popular Foam Industry in the country. I have tried with my best
capacity to real information & analysis on their information on this industry.
References
1. Expo foam. (n.d.). http://www.expo-family.com/Expo _foam.php
11. SWAN GROUP. (n.d.). Retrieved April 05, 2016, from http://www.swan-
family.com/
12. Terms & Conditions. (n.d.). Retrieved March 18, 2016, from
http://www.foamexgroup.com/aboutus.php
13. https://www.mediate.com/articles/thicks.cfm