The document discusses corporate social responsibility and proposes a CSR plan for Eastern Products (Pvt) Limited, a tea and soap company in Pakistan. It recommends that the company invest 1% of its annual gross profit of 4 billion rupees, or 40 million rupees, into a "Zindagi Bachao" campaign to provide food, water, medical aid, and transportation assistance to people affected by drought in Thar, Pakistan. The proposed CSR activities would help the company maintain its brand image while addressing environmental and social issues.
3. The corporate belief that a company needs to be
responsible for its
actions – socially, ethically, and environmentally.
4. Eastern products (pvt) limited is one of the
emerging company in Pakistan.
The Owner name is Mr.Haaji Mohammad Yaseen.
The company started this business in 1991 with
the philosophy to satisfy their customer needs.
5. The company deals particularly in tea industry
having 3 brands of tea i.e. vital, surhan and dawn.
Moreover, It has now entered in soap industry
and launched a cleansing agent as vital soap.
6. The vision is to “Adding vitality to life and
meeting everyday needs for nutrition, hygiene
with brands that help people feel good, look good
and get more out of life”.
7. The main goal is to produce the most reliable and
valuable products and services to core
competency in blending and packaging
technology.
8. He started this business in 1991 with the
philosophy to satisfy customer needs, by
establishing strategic relationships with all
distributors, retailers and end buyers.
They will continue to have a strong competitive
position in today's market place furthermore,
will strengthen the company's capability to serve
the tea industry
9. The four of marketing Vital Tea are as follows:
Product
Price
Placement
Promotion
10. Trade name:
Vital tea, an Eastern Product (PVT) Limited
The actual product:
Tea Beverage
11. Branding:
Yellow aspect of refreshing, hard pack and soft
pack both also tin pack and plastic Packing.
12. Vital Tea has never wanted to compromise on
quality so they adopted value based pricing.
We can say that its price varies according to cost
and even in high quality
13. Vital tea has a distribution network spread
across the large area of Pakistan.
It has its headquarter in Haroon Abad.
More than 200 distribution offices all over
Pakistan
It has 50000 outlets in Pakistan.
14. Vital Tea has distribution channel as follow:
MANUFACTURER
OF VITAL DISTRIBUTORS
RETAILERS
CUSTOMERS
15. The company promote its product through
electronic media.
Television:
Vital Tea spends on television advertisement.
Commercial during cable network movies, TV
shows.
Magazines:
Akhbar-e-Jahan, Fashion& Business Magazine.
17. Weaknesses
High prices of the Product
Substitute Products
Lack of Advertisement
Comparatively less
Frequent Schemes and
Discount Packages.
18. Opportunities
Brand is the part of traditional drinking habits
Comparatively less product prices
Export in other country making its image in
Pakistan.
Launching of tea Bags.
19. Threats
Strong completion in rural and urban areas.
Internationally increasing tea prices.
Political conditions in the country may be
obstacle to exports.
20. Company is making a massive hurt to the
environment.
It is producing harmful carbon dioxide and
polluting the air.
It is also using natural resources and utilizing
them in a bulk for maximizing the profit.
21. As company is having considerable profit with
significant sale of its product so we plan a model
of CSR for it.
For the purpose of formulating CSR plan, we have
placed our emphasis on the people of THAR,
where the people particularly living in desert
their life in left on the mercy of rain.
22. There are at least two years of no rainfall in every
decade when famine conditions occur in Thar
and Kohistan.
Total of 243 deaths have been reported this year
out of them 133 are children alone.
Approximately, 175,000 families are reported to
have been affected by the drought
23.
24. We will start a campaign by the name of Zindagi
Bachao .
In this we will emphasize that buy our product
and a part of it will be spend to betterment of
Thar people.
More CSR adds will be placed for the awareness
of customers.
25. Fund of food and water 25 million
Fund for providing medical aid 6 million
Fund for transportation of
people and animals during
drought
9 million
Total budget 40 million
26. As eastern product (pvt) limited is a big company
so there is a huge amount that we can invest on
CSR.
This budgeting is based on company’s gross
profit is 4 billion rupees.
27. It is general practice (not a benchmark) of the
companies which are ethically enrolled in CSR
program that they set their 1% of the gross profit
for the sake of this responsibility.
So, Assume
If company’s gross profit=4 billion rupees
Then,
1% of GP=40million rupees
Which is equal to required bugdet.
28. Eastern company prefer their brand equity in
their products.
The marketing strategies are quite satisfactory.
However company needs to involve in CSR
activity in order to maintain the brand image and
to reduce the environmental crises.
29. It is highly recommended to be socially
responsible for the company because its earning
profit through many natural resources.
Recommended CSR plan will help them to
increase the profit and brand image in long term.
30. The business of business should be about
money and profit we have made a plan that
does not effect our profit as well increase
the profit by touching people hearts.