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Farhan Iqbal 70112728 Assign 2 Marketing Management-B-Hassan Raza IFE Internal Factor Evaluation Matrix

This document contains the internal factor evaluation (IFE) matrix and external factor evaluation (EFE) matrix for Nestle Pakistan. The IFE matrix lists the company's key internal strengths such as being socially responsible and having strong brand image, as well as weaknesses like low awareness in the target market. The EFE matrix outlines opportunities such as growing disposable income and threats like major competitors. The total weighted scores for the IFE and EFE matrices are 2.99 and 3.02 respectively.

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Farhan Borana
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87 views

Farhan Iqbal 70112728 Assign 2 Marketing Management-B-Hassan Raza IFE Internal Factor Evaluation Matrix

This document contains the internal factor evaluation (IFE) matrix and external factor evaluation (EFE) matrix for Nestle Pakistan. The IFE matrix lists the company's key internal strengths such as being socially responsible and having strong brand image, as well as weaknesses like low awareness in the target market. The EFE matrix outlines opportunities such as growing disposable income and threats like major competitors. The total weighted scores for the IFE and EFE matrices are 2.99 and 3.02 respectively.

Uploaded by

Farhan Borana
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Farhan Iqbal 70112728 Assign 2

Marketing Management-B- Hassan Raza


IFE Internal Factor Evaluation Matrix:

Key Internal Factors Weight Rating Weighted Score


Strengths

Socially Responsible Company 0.03 3 0.09

Nestle products enjoy strong brand image 0.07 3 0.21

Sales force as a major physical resource strength 0.05 3 0.15

Quality product distribution networks in country 0.08 2 0.16

Net Profit increased by 94% in 2009. 0.20 4 0.80

Price earning ratio decreased from 38.9 to 18.8 0.05 3 0.15

Export Sales increased by 48% to PKR 3.3 billion 0.18 4 0.72

Weaknesses

Lack of awareness among target market 0.04 2 0.08


Nestle milk always stands at last because of low 0.09 2 0.18
advertisement.

Revenue from confectionary decreased by 14% 0.08 2 0.16

Low credit sales and profit margin to retailers 0.05 2 0.10

Weak promotional activities through websites 0.05 3 0.15

Cant launch expensive brand due to low income groups 0.03 1 0.03
Total 1.00 2.99
EFE External Factor Evaluation Matrix:
Key External Factors Weight Rating Weighted Score

Opportunities

Few and weak competitors in the market 0.12 2 0.24

Disposable income increased by 3.6% 0.07 3 0.21

Consumer expenditure on food has increased by 3.6% 0.09 4 0.36

Population density increased by 2.18% (per sq.km) 0.05 3 0.15

Credit policy can be adopted to increase sales 0.03 3 0.09

Potential in cold dairy market 0.02 3 0.06

All companies contribute only 2% to processed milk market 0.12 4 0.48

Pakistan as 7thlargest milk producing country with milk 0.12 3 0.36


output of 200 billion liters

Increase in consumer food industry by 14% 0.05 4 0.20

Threats

Engro and Shakarganj as major competitors 0.14 3 0.42

Market segment growth could attract new entrants 0.04 2 0.08

Taste of the consumer has already developed 0.02 2 0.04

Legal & ethical issues 0.01 2 0.02

Economic slow down can reduce demand 0.01 2 0.02

Effect of seasonality upon sales 0.05 3 0.15

Strong advertisement by major competitors 0.08 3 0.24

Total 1.00 3.02

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