TERM PROJECT: MKT460

MARKET SEGMENTATION, TARGETING, AND POSITIONING: IRIBUS -IVECO OF ITALY

SUBMIT TE D DONE
BY:

TO:

S A M Y A H M E D (S Y A)

TAHS EEN FARHAN MAS HRIFA HOS S AIN NA BA REZWANA NEWAZ SAYEED MD. IBRA HI M

073 232 030 081 732 030 082 416 030 083 132 030

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AHATAS HA MUL AREFIN

083 611 030

SECTION : 5 F A L L 2011 NORTH SOUTH UNIVERSITY

E XECUTIVE S UMMARY
IRISBUS IVECO Italy is planning to enter Qatar business market with their wide range of vehicles. The large number of roads and highways already present and being developed as well as the large demand for construction and industrial work shows huge potential for our vehicles. We have targeted the business market of Qatar along with the industrial and construction market. Qatar is an emerging market with high level development project being undertaken for the next couple of years. The need for heavy construction vehicles for construction work, oil and LPG tankers for oil and gas carrying purpose exist. High amount of rivalry exist between competitors with moderate bargaining power of buyers and suppliers, threat of new entrants is also moderate and for substitute low. We have decided to enter the market with heavy construction vehicles such as trucks, lorries, tankers for oil and LPG gas transport, flat belt truck and etc. We have segmented our market according to geography, behavior and demography. Our products will be positioned on price, quality and performance and unique benefits. The unique selling proposition that we would like to follow in Qatar is offering a competitive price several benefits as consumers go on purchasing our product from the start till the end. Our competitors are Ashok Leyland, TMC Transportation, DAF Trucks and Daewoo Buses. We would like to be there with our customer assisting them while they use our product and getting their feedback all the time for improvements. For distributing our product we plan to set up showrooms, warehouse for storage, service centre and spare parts store.

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To promote our products we would go for outdoor advertisements, direct marketing as direct contact is necessary for selling our products, sales force, brochures and tradeshows. In the near future, we also plan to associate ourselves with two different large projects to show our presence in the market more strongly by providing our products in the running of those projects.

CONTENTS
i. ii. iii. iv. v. vi. INTRODUCTION COUNTRY PROFILE COMPANY: IRISBUS IVECO ITALY PORTERS FIVE FORCES PEST ANALYSIS MARKETING MIX PRODUCT SEGMENTATION , TARGET MARKET, POSITIONING AND UNIQUE SELLING PROPOSITION PRICE PLACE PROMOTION

vii. viii. ix. Findings Recommendations CONLCUSION

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INTRODUCTION
IRIBUS IVECO produces vehicles for both passengers and cargo transportation. It is a renowned Italian brand that has expanded its market to different parts of the world. In our project, we are going to co-brand with IVECO to introduce to a new market in Qatar. IVECO has already entered Saudi Arabia and Abu Dhabi market. We have decided to enter Qatar market to sell trucks, trakkers, construction vehicles, and oil containers. All the products will be assembled in Qatar so that we can get price effectiveness in our business. We are doing micromarketing in Qatar. Qatar is well-established. The government provides easy legislations and inspires foreign investment in its regime. So doing business in Qatar is more profitable. Besides Qatar is worlds third largest oil and gas supplier. Many businesses have established there. It will be a great opportunity for us to produces transports and sell them in Qatar. Our competitors are Ashok Leyland, TMC Transportation, DAF Trucks, Global Enterprise Co.etc. We will position our product on price, performance and overall quality. Since the buses will be assembled by IVECO, the brand image will also create a value to the customers. All of these companies charge high price. But if we can attain price effectiveness, we will get success. Besides, we are providing different facilities like showrooms, service center, and spare parts sales center etc. we are also providing warranty in different scheme. Governmental inspiration to foreign investments and ongoing industrial development create our business opportunity in Qatar.

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COMPANY
Irisbus was established in January 1999 with the union of two great industrial and market names, the Fiat-Iveco Group and the Renault Group, which decided to join their activities in the field of public transport by merging their coach and bus divisions. With this association the Irisbus Group became one of the worlds leading manufacturers and the second constructor in Europe. Over the thirty years that followed, while expanding its corporate structure through international acquisitions and joint ventures, Iribus Iveco consistently pursued its global and multi-cultural vocation. Currently, the company is one of the worldwide leaders in road transport: Iveco maintains 27 facilities throughout the five continents and 6 major research and development centers, across 16 countries. It has over 4,600 dealers and service centers throughout the world.

Iribus Iveco designs, manufactures and markets a wide range of light (2.8 6.0 tons GVW), medium (6.1 15.9 tons GVW) and heavy (over 16 tons GVW) industrial vehicles for on road and off road use. It also produces passenger transport vehicles and special vehicles for defense, civil protection and other special missions, such as fire fighting. The vehicles utilize the most advanced diesel and alternative fuel technologies such as compressed natural gas, in addition to hybrid and fuel cell technologies. The product offer includes a series of after sales and financial services as well as services for used vehicles. For many years Irisbus Iveco has pursued a policy of environmental care which has involved continually increasing investments in research and development of environmentally friendly vehicles. This commitment is not limited to compliance with regulations but also to find solutions that ensure maximum efficiency, taking into account customer needs both in terms of performance and profitability. Vision: To be the best-in-class performer in our industry continuously delivering value, quality and success to our customers and their business. Mission: To deliver solutions for the passenger transport industry leveraging our excellent knowhow, our care for people and our partnership worldwide.

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This ambitious approach positions Irisbus Iveco as a leading manufacturer of passenger transport vehicles, with a complete and modern range. It devotes all of our enthusiasm and passion to imagining innovative, cost-effective, solutions. The diverse and multiple talents of the people at Irisbus are the key competence to unique combination of boldness and creativity which helps mobilize to uphold the traditions of the company. Partnership and commitment are the hallmarks of its businesses. Its goal is to guarantee reliability and performance, not only for the customers who buy our products but also with the higher aim of preparing the world of tomorrow.

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COUNTRY PROFILE
Qatar is our selected country that we have chosen to market our products as it posses various opportunities as a developed nation. Some of the facts about Qatar have been identified below:
Area: 11586 sq.km Location: Middle East, peninsula bordering the Persian Gulf and Saudi Arabia Population: 848,016 (July 2011 est.) Urban population: 96% of total population (2010) Rate of urbanization: 1.6% annual rate of change (2010-15 est.) Major City : Doha GDP (Purchasing Power Parity) GDP (Per Capita PPP) $179,000 (2010 est.) $150.6 billion (2010 est.) $155,400 (2009 est.) $129.5 billion (2009 est.) $144,500 (2008 est.) $119.2 billion (2008 est.) note: data are in 2010 US dollars note: data are in 2010 US dollars GDP (composition by sectors) GDP (Real Growth Rate) Agriculture: 0.1% 16.3% (2010 est.) Industry: 69.8% 8.6% (2009 est.) Services: 30.1% (2010 est.) 25.4% (2008 est.) Investment (Gross Fixed) 36.5% of GDP (2010est.) Imports $23.38 billion (2010 est.) Import ( Commodities) machinery and transport equipment, food, chemicals Import ( Partners) US 15.5%, Germany 9%, UAE 7.3%, South Korea 6.5%, UK 6.1%, Japan 5.6%, Saudi Arabia 5.4%, Italy 5.3%, France 4.5%, China 4.2% (2010) Exports $54.93 billion (2010 est.) Export (Commodities) liquefied natural gas (LNG), petroleum products, fertilizers, steel Export (Partners) Japan 30.3%, South Korea 13.1%, India 8%, Singapore 7.7%, UK 4.2% (2010) Roadways total: 7,790 km (2006)

PORTER FIVE FORCES

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Porter's Five Forces Model is the most influential analytical model for assessing the nature of competition in Qatar Iveco industry. The purpose of this model is to evaluate major economic and technological forces that will eventually influence an industry's profit potential. By using this, it enables IRIBUS Iveco of Italy and Amsia Motors Ltd. to find a position in the industry; hence, greater competition lowers average profitability.

Rivalry among Existing Competitors

High

This force is the intensity of competition within an industry which has been demonstrated in a number of instances to be most influential of the five forces (Fleisher & Bensoussan, 2003). This is most likely to be high where entry like; there is the threat of substitute products, and suppliers and buyers in the market attempt to control. This is why it is always seen in the centre of the diagram. The rivalry among existing competitors is high because there is competition on products which is Iveco and its spare parts along with services that is exported by numerous and equally balanced competitors. Some branded exporters of them are:
1.

Ashok Leyland:

Ashok Leyland is in the transport solutions industry for over five

decades, offering a world class range of trucks, buses, special vehicles and engines. Ashok Leyland vehicles have built a reputation for reliability and ruggedness. The 500000 vehicles they have put on the roads have considerably eased the additional pressure placed on road transportation in independent India. It has been exporting Iveco to Qatar for a long time.
2.

TMC Transportation: The industry's premier flatbed carrier, TMC is known for its integrity, innovation, highly-trained drivers, impeccably maintained late-model equipment, superior safety record and unwavering dedication to quality and customer service. It exports Iveco to Qatar for a few years.

3.

DAF Trucks: DAF Trucks N.V. is a wholly owned subsidiary of the North-American corporation PACCAR Inc. DAF Trucks core activities are focused on the development, production, marketing and sale of medium and heavy-duty commercial vehicles. DAF works according to the Build to Order principle. This means that all vehicles are built to

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satisfy each customers individual wishes, but production only starts after the order is received from the customer.
4.

Global Enterprise Company: Global Enterprise Company is a division of Arabian Engineering Company a conglomerate established in Abu Dhabi, Dubai. Their operations in Qatar focus on delivering and managing projects. They have all kinds of heavy, light medium construction vehicles.

Bargaining Power of Suppliers:

Moderate

Grou, MESAR Car shipping Import Export in GCC, Al Tharwah, Mannai Corporation and so on. Therefore, Iribus Iveco can always choose the suppliers who offer a better dealing price. Suppliers are concentrated in Qatar and forced to cut their prices or go out of business. This is obviously an opportunity to influence the profit potential. But, in Iveco industry supplier's product is an important input ,this point can be consider as a opportunity for suppliers in this industry , because without the vehicle and spare parts clients has no close substitutes. Iribuss strategy should be directing negotiation with suppliers in order to encourage:
o o o

Reliable supply Faster delivery Lower prices

Bargaining Power of Customers (Buyers):

Moderate

In 1999, the structure of exports of products of the automotive industry of Qatar shows a dominance of private car and other vehicles for the transport of people of the order of 44% of the whole of exports of products of the automotive industry, followed by car components, spare parts and accessories upto 35.3% , then the road vehicles with 13.7% and finally the automotive vehicles for the transport of goods and to special use with 7% of the whole of exports of products of the automotive industry. So the volumes of purchasing Iveco vehicles by buyers in Qatar are not very large, which is not a threat. But, buyers can have full information and comparison of different type

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of Ivecos that is available also they have several options to choose dealer network for their reasons. Also, it is important to emphasize that, considering the high initial price, along with the manufacturer's price, taxes and excise duties should be taken into account, as well as ordinary maintenance expenses like berth and overhaul expenses, sports and pleasure boats mostly represent above all an exclusive product. The demand itself is mostly determined by subjective evaluation of customers, which depends on design and boat's technological equipment, whereas price is not a determining factor. Despite the slight product differentiation, considering the manufacture procedure and end purpose, still there is difference in trend of spreading of companies on certain market segment, and also in the trend of price differentiation, which lowers the opportunity of buyers to easily change manufacturers of their boats. In the nautical world there is a high level of loyalty to a certain brand, as well, which lower the bargaining power of buyers to some extent. We can conclude that the power of buyers is moderate in the segment of Iveco manufacture. Although the buyers demand in most cases do not determine the prices, there is small pressure on price reduction, the pressure on constant product improvement is present in most cases, as well as the following of latest trends in global nautical production.

Threat of New Entrants:

Moderate

Threat of new entrants depends on the barriers to entry where entry barriers define as the level of difficulty facing competitive entry into the industry. New entrants to an industry can raise the level of competition. If the barriers are low, new competition will add capacity to the industry and increase the demand and prices for inputs which results in lower industry profitability. To have an own developed brand and to spread it on the global market is also one of entry barriers in order to have successful sale and to exist on the market of Iveco manufacture. The development of one's own brand demands significant funds, especially for development expenses, quality management, marketing and design. However, if some already renowned manufacturer from the concerned industry decides to export mentioned vehicles in Qatar, except for the foreign capital the transfer of brand and market share would occur as well. Therefore, this barrier is insignificant for the majority of potential foreign investors in the concerned industry, whereas it still represents a significant barrier to the existing domestic companies.

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Threat of Substitute Products or Services:

Low

Considering that products of the industry of Iveco manufacture are specific, i.e. they are permanent possessions of great value; the risk of substitutes is markedly low. There is a tradition on domestic market of Iveco purchase, which belongs to the concerned class, who are involved in a serious business. Therefore, in the course of the business standard growth, the growth of Iveocos demand can be expected.

PEST ANALYSIS
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P O L IT ICA L
Government: Qatar is an emirate meaning that it is a monarchy with an emir (head of state). The government is controlled by the Prime Minister who is elected by the emir. STABILITY : The political status quo in Qatar is facing several challenges. The major challenge faced by Qatar is how to draw a balance between internal stability and regional stability without being constantly threatened by regional conflicts usually protracted in the Middle East. Another major challenge is embedded in social demands for participation and political liberalization, which request wider powers than the current consultative council offers. The traditional political disquiet within the Al-Thani family, silenced for now, may be a potential risk for political unrest. CORRUPTION : According to the Corruption Perception Index 2010 (CPI 2010) released by Transparency International, Qatar has improved its rank to 19th place globally among the 178 countries last year from 22nd in 2009.Qatar enjoys the highest 7.7 score in MENA in the index even as the CPI 2010 shows that nearly three quarters of the 178 countries score below 5. Based on the report, the 0 score is perceived to be highly corrupt while 10 is seen to have low levels of corruption. TAX: Qatari-owned businesses are not subject to tax; part or wholly foreign-owned businesses are liable to tax on income arising from activities in Qatar. There is no personal taxation as such, although foreign individuals carrying on a trade are liable to tax where that income arises from activities carried out in Qatar.

E CO NO M IC
INFLATION
RATE :

The inflation rate in Qatar was last reported at 2.2 percent in September of 2011.

GDP: Qatar Economic Insight September 2011 report, Qatars nominal GDP expanded by 30% in 2010 to reach QR463bn (US$127bn). This makes Qatar the fourth largest economy in the GCC, accounting for 12% of the regions GDP. With GDP per capita reaching US$75,000 in 2010 at market exchange rates, Qatar is the wealthiest country in the GCC. Qatars strong economic growth continued in the first quarter of 2011. Nominal GDP rose by 12% from QR126bn (US$35bn) in the fourth quarter of 2010 to QR142bn (US$39bn) in the first quarter of 2011. INTEREST
RATE :

The benchmark interest rate in Qatar was last reported at 4.5 percent.

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UNEMPLOYMENT

RATE :

0.5% (2010 est.)

IMPORT PARTNER : Different countries across the world, but with Italy 8.34% ECONOMIC
GROWTH :

The countrys economic growth potential is stunning. Qatars economy grew

by 8.8% in 2003 and 7.5% in 2004

S O CIO L O G ICA L
OCCUPATION : Business, sports LIVING
STANDARD :

No people live below poverty line and unemployment rate is only 0.5%. So,

living standard is high.

T E CH NO L O G I CA L
TRANSPORT : Transportation in Qatar is not very difficult or complicated. There are very few modes of local transport in the country - buses, taxis and limousines are the most widely used ones. Taxis are the most convenient and reasonable modes of local transportation in Qatar. Fuel prices are unbelievably cheaper.
OTHER INDUSTRIES :

Qatar has many local and foreign oil and gas companies.

MARKETING MIX
I.

Products

Oil containers, trucks, lorry are some of the products we will bring into the Qatar market. Oil containers have a high demand in Qatar as they export petroleum.

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Specifications 8400 gallon capacity Trailer mounted hydraulic product pumps Electronic Overfill & Grounding System Ground Level Vapor Recovery Electronic Tank Level Gauges Trailer Mounted Sample Centrifuges

Trakker

LIGHT (3.5 T - 5.5 T) MEDIUM (6.5 - 18.0 T)

Dail y 4x4

MEDIUM (11.5 - 15.0 T)

Euroc argo 4x4

Eur ocargo

HEAVY (>=18 T)
Stral is ECOST RALIS

HEAVY (>=18 T)

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Recycling Carrier:
Stralis Active Time 6x2 rear-steer rigids are mounted with curtain-side bodywork by Saunders of Stapleton and Palfinger Crayler rear-mounted forklifts, to enable hassle-free loading at customer sites nationwide. Ivecos Stralis AT range offers drivers a comfortable and ergonomically-designed cab, featuring a multi-functional steering wheel, heated air-suspended three-way adjustable drivers seat with pneumatic lumbar support, comfortable low-level bunk with under-bunk storage and a conveniently positioned control panel.

Construction Vehicle:

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S EGMENTATION
Geographic segmentation: Qatar has 39 different cities. Doha is the capital of Qatar. 80% of the population lives in Doha. So as a result we will start our business in Doha. Al Wakrah is the second city of Qatar. In this city 46% of all industry conduct their business. Another target city is Al Wakrah because we will introduce industry related product like oil container, Lori, Mixer machines. Al Hitmi is popular in Qatar for tourism. We would sell our IVECO Bus to tourism related Business Companys in AHitam and in Doha. We are basically targeting these three cities people, where 90% of the economic transaction occurs in Qatar.

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Behavioral Segmentation: In Qatar, on occasion industrial people, declare incentives, benefits, to their employee. Maximum industries ensure the transportation facility for their employees. Industrial people buy industrial vehicle in every 3 year. Average rate of buying new vehicle is 3.5 in every three years. Qatar people are not brand loyal. They always seek for good service and performance. They always switch to other brand. Hence following these pattern we can segment our market accordingly.

T ARGET M ARKET
Business Market: Our first priority is to sell heavy, medium and light industrial vehicles to Qatar because Qatar has produced large industry sector in their country. In Qatar oil and gas companies conduct their business. They need gas and petroleum container vehicle to conduct business. In Qatar, every industry changes their vehicle in every 3.5 year. So there are a lot of opportunities to sell our product more frequently to those industries. Also huge amount of construction work is being undertaken and planned. Hence to meet that demand we want to enter this potential market, Qatar.

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P OSITIONING
Competitive differentiation: We have differentiated our product from competitor through our price, performance, benefits. Price: We will set our product price competitively lower than our competitor, because initially customers would not be interested to buy high price vehicle. Their consumer behavior is different in case of buying new brand vehicle for their company. Benefit: Our product will give more fuel efficient transportation system. Hence it will be cost effective for companies. Speed of our vehicle will be higher. Size of our vehicle will be bigger to contain more products.

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Performance: Performance of our product will be very good comparing the price of other competitors. We will provide same performance, and quality comparing with other competitors. Otherwise it will be very difficult to sustain in the market initially.

U NIQUE

SELLING PROPOSITION

(USP):

Our USP is offering our product for one month free trial. If customer likes our product, they can order the product. There will not be any charge for this trial period. We will make sure some products are available in our stock so that we can provide our product within a day. We will also sell our vehicle in installment basis. We will not charge any extra money for installment. Customer will be paying exact product price. We will provide replacement opportunity to our customers. If they return the old vehicle, by paying some extra money they will get new vehicle. This offer will be mainly for industrial people.

Communication and Delivery: To give better service, we will be communicating with our current customer even after selling our product for their help. We would follow both reactive and accountable marketing in order to stay in communication with our consumers. We will apply some statistical analysis to communicate to our potential customer. Initially to communicate with our potential customer we will use our direct marketing approach. Our delivery process will be simple. If customers order the product, within 24 hours our product will be delivered. We will be delivering after sells service. We will give free servicing for 1 year.

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II.

Price
The general pricing objectives for our products will include survival, market share leadership and relationship building. Our products will be priced in such a way so that it can keep the loyalty and avoid government intervention. MAN, SCANIA and DAF are the well known companies who are selling similar products and we are making sure to sell our products much lower then what they are offering. MAN, SCANIA and DAF are using very high priced strategy which we found while surveying the market. But our pricing decision for these products will be coordinated with the product, promotion and distribution strategies. If the customers value the product more than its price then rather than increasing the price we will use the satisfactory feelings of the customer to build brand loyalty

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which is a complete different approach from MAN, SCANIA and DAF. Besides we will price the product considering economic condition, interest, government and social concerns. We will follow the market penetration strategy as we want to attract a large number of buyers and grab a large market share. We will offer cash discount, quantity discount and functional discount to both final consumers and intermediaries so that they buy more of our products, use it and get habituated with it and get encouraged to buy it. Besides we will also offer promotional allowance to promote the product effectively which MAN, SCANIA and DAF have never done.

III.

Place

For the distribution of our vehicles we want to select several distribution channels. In order to distribute our products we will be selecting several dealers through whom our product will be sold in the market. Our company would set up as a joint venture with a Qatar based Construction Company. Hence by assembling our products in Qatar, we would send our products to the respective dealers to ensure efficiency. We would like to create a network between us and the distributors so that there is a small lead time. The setup of all these distribution centres would be in prime business or industrial zones in order to promote our products among our target market. Also we would like to be the sole supplier

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of our products with no intermediaries handling our products to remove any time lag. In order to do so we would adopt the following distribution channels: Warehouses: We would have our own warehouses where our vehicles would be stored. This way we can supply right on time as it is demanded. Having our own warehouse would not only help us to deliver products but also enables to be prepared for any unusual changes in demand. By warehousing the cost of late delivery can be removed. Showroom: The setup of showrooms in Qatar would help us to show case our vehicles to potential consumers. Since we would be having various types of vehicles we would like to keep one model of every design of the products we would like to sell. The latest designs can be promoted much more easily. Service Centre: By setting up our own service centers we can provide efficient repair work and car service that our product might require during usage. This would enable us to understand the problems that our consumers are facing and improvements they are looking for. Also this would bring us one step closer to the consumer since there will be a two way communication. There will be continuous monitoring of the customers carried out to improve our service according to the consumers need. Shop selling repair parts: Besides providing servicing facilities we would also like to set stores where our vehicles spare parts would be sold. This way the problem of finding spare parts or waiting for spare parts to arrive can be removed.

IV.

Promotion

For promoting our products we would like to follow the following methods in order to make our consumers widely aware about our presence in the market. Billboard advertisement: in the industrial locations and business zones billboard advertisement should be placed to create more presence of our brand of product and get more exposure. Tradeshows: By carrying out tradeshows it would be an ideal way of showcasing our products and promoting them. This way we can make ourselves more popular among our target market. Sales force: We need efficient sales force group who are trained in the native language of Qatar. This way they can interact with the consumers who will be speaking that language much more

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easily. This can help to reduce the communication gap. Also people from the locality should be hired so that consumers feel at ease when they come to our stores or when approached. Cultural gaps can be removed if local people are hired as employees. Direct Marketing: Since our products require direct attention of our consumers. We would like to carry out direct marketing approaching our clients and explaining every detail about the product and how it can benefit them. Brochures: Since the product line will be long and will be targeting the business market creating brochure would be more appropriate through which our product awareness and knowledge can be spread. Other Promotional activities: Free one year servicing facilities and providing one month of trial service. Also to make ourselves more popular we would prefer to take part in the industrial development projects in Qatar. They are as such:

Gas-to-liquid technology, which consists of converting natural gas into liquid fuels, is an

attractive option for making the most of abundant gas reserves. This technology produces a fuel that has the high energy efficiency of diesel while producing less pollution.

Barzan Gas Project: On 6 January 2011, Qatar Petroleum and ExxonMobil signed

agreements confirming the Barzan Gas Project, which will play a significant role in meeting Qatar's rising domestic gas demand. RasGas is managing the construction of the new plant and will operate it once it is complete. The project is a powerful step forward in Qatar's overall industrial and human development, in line with the Qatar National Vision 2030.

Qatar, as always, has ambitious plans for the future, and has been developing plans for

railways in the future. Plans include: An East Coast Rail link: A passenger and freight railway which will link Messaieed with Doha and RasLaffan.

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A high speed rail link from Doha International Airport to Doha and possibly on to Manama in Bahrain. A freight link to Saudi Arabia An underground metro-network of six lines People carriers in areas such as Lusail.

Hence our plan would be to assist the Qatar in this following project in setting up the rail link across the country.

FINDINGS
Qatar market is with huge potential in construction and industrial sector. High developments are being undertaken and have been planned for the future which requires huge amount construction vehicles and other products. In order to start business in Qatar there are certain elements that should be taken into account. They are as follow:

No one can go there and just set up their own business. A joint venture method should be followed or backing from the royal family and the government is very much essential to start a business.

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The government welcomes foreign investment and business in their economy. The Qatari Government has established credibility among the population and the business community. When plans and projects are announced, they are usually realized, and contracts are awarded in a generally efficient and transparent manner. Qatar is very amenable to western visitors, and security experts consider Qatar to have one of the lowest crime countries on earth. The threat for transnational terrorism in Qatar is rated high (on a scale from low to critical), though this is due to the nature of the region in general, and security experts here admire the capabilities of Qatars internal security forces.

Doing business with Qatar Petroleum and the public sector is in general transparent and efficient. This is a positive aspect of doing business in Qatar.

Qatars economy is growing faster than the evolution of necessary laws and procedures which business requires. Sometimes regulations are not widely published and are at times enforced with little or no consultation with the private sector. In addition, rent is increasing rapidly given the growth of the economy and the influx of foreign workers into Qatar.

R ECOMMENDATIONS :
For Irisbus- Iveco to success in Qatar the following necessary steps should be taken: Understand the potential market, business structure, culture values before entering. The backing of the government and royal family is very much essential to start a business in Qatar. Hence the joint venture mode of business should be followed to commence business. The number of competitors is high in Qatar and in order to compete with them it is very much essential to have clear background check on how they operate their strengths and weaknesses.

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CONCLUSION
After analyzing the Qatar market very closely and taking into perspective the macro and industrial knowledge of the country, we think the country portrays huge potential for our products. The way we have segmented our market we think every segment of the business market tapped to understand the potential market. By charging competitive price we would like to stay in line with our competitors pricing strategy so that we dont charge way too much or way too low. The target

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market is not brand conscious neither price sensitive. They prefer good-quality products that provide reliable and high performance service. The distribution channel that we would have chosen is mainly to work for our kind of product. We want to create an extensive network with our consumers so that no gap exists and communication barriers can be removed also efficient service can be provided without any delays. The promotion packages that we have developed are all to grab the attention of the business market consumers since they are our main consumers. Several large projects that are in the process of commencing we would like to collaborate with them so that our products actual performance can be exposed and also our market presence. Hence with all these proposed ideas in mind we would like to explore Qatar to the greatest extent as possible to increase our market share and global presence.

REFERENCES
1. https://www.cia.gov/library/publications/the-world-factbook/geos/qa.html 2. http://export.gov/middleeast/country_information/qatar/ConsiderQatarGuide.pdf 3. http://www.tradingeconomics.com/qatar/inflation-cpi 4. http://www.qatarisbooming.com/2011/09/09/gdp-per-capita-in-qatar-will-top-us100000-in-2012/ 5. http://english.mofa.gov.qa/details.cfm?id=17

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6. http://www.heritage.org/index/country/Qatar 7. http://www.konsilia.es/blog/2010/12/articles/double-tax-treaty/qatar-tax-policy 8. http://www.tradingeconomics.com/qatar/interest-rate 9. http://www.theodora.com/wfbcurrent/qatar/qatar_economy.html 10. http://en.wikipedia.org/wiki/Category:Qatari_sportspeople 11. http://english.ahram.org.eg/NewsContent/3/12/25678/Business/Economy/Qatar-Barzan-gas-project-tocost--billion-.aspx 12. http://www.menafn.com/qn_news_story_s.asp?storyid=1093293095 13. http://www.menafn.com/qn_news_story_s.asp?storyid=1093293095 14. http://wiki.answers.com/Q/What_type_of_government_does_Qatar_have 15. http://www.middleeasthub.com/qatar/culture/music-dance-in-qatar.html 16. http://www.lowtax.net/lowtax/html/qatar/qatar_country_foreign_investment.asp 17. [http://www.qatarvisitor.com/index.php?cID=413&pID=1055]

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