Executive Summary

History of paper industry in Pakistan

Being a new and separate state, at the time of independence Pakistan was under developed. Because of this reason Pakistan had no paper and paper board manufacturing unit. The needs regarding paper were met through imports. In 1952, first paper unit was established. Its production capacity was 500 tons per annum. Then more units were set up in Punjab, NWFP and Sindh, producing various grades of paper, using local and imported raw materials. But due to poorly planned growth in the 80s and 90s, many of the units are lying closed from that time. At present, in Pakistan there are about 100 units in the organized and unorganized sectors. Collectively, these units have a set up capacity of 650 thousand tons per annum. The units in organized sector have a capacity of 20 to 300 tons per day. The organized sectors have 575thousand tons production capacity from 26 paper manufacturing units. These units produce Writing and Printing Paper, Wrapping and Packing Paper, White duplex coated, Un-coated board, Chip Board and other board. In Punjab, about 70 percent of the paper mills are located, in Sindh 20 percent and 10 percent in NWFP. Punjab has a vast concentration due to availability of abundant underground water and wheat straw used as primary raw material. Only a few mills have a capacity of more than 100tons per day. Whereas, majority of the mills have low production capacity. Production capacity of these units ranges between 1500-88000 tons on annual basis.

Some early firms in this sector After humble beginning of the Paper industry in Pakistan Given are the some early paper and board firms in this sector1.

West Pakistan P.I.D.C concept mill. Rahwali (Sethi Straw Board) Lasani Paper and Board Mills P.P.P (Now Mandiali Paper Mills) Charsadda Paper Mills. (Now Flying Paper Mills) Packages Limited Cherat Paper sack limited

Sayid Paper Mills Security Papers Mills Ltd Century paper mill Pakistan10. Abbas Paper & Board Mills (Pvt) Ltd Premier Paper Mills Flying paper and board mills Ltd Premier Paper mills (Pvt) Ltd

How sector developed? In perspective of analyzing the development rate and its major reasons, we will have to take a look at rise and fall in the Production of paper and board industry during last two decades from1990 to 2010. Different factors are involved in the increase and decrease in the production of paper industry. Such as ever changing policies of government influence production of paper both positively or negatively according to the required or unwanted implementation respectively, social aspects that influence need and production of paper, educational programs by the government and increase in schools and colleges by the private sector, load shedding and inflation etc. To understand the production ratio in these twenty years, I am going to give a brief overview dividing these years into four parts of five yearly periods. That would be from; (a): 1990 to 1995 (b): 1996 to 2000 (c): 2001 to 2005 (d): 2006 to 20101.

During the period of 1990 to 1995 over all production in the above mentioned sector increased. In this period first four years got good increase in production as in 1990 it was 88.6 million metric tons in Paper Board and 64.2 million metric tons in all types of Paper. Whereas, continuously increasing from 1991 to 1994 it became 133.2 million metric tons in Paper Board and all types of paper was 129.3 million metric tons. That was a good increase. In 1995 increase in the production was 208.4 million in all types of paper but it came down in paper board and became 106.2 million metric tons.

In 1996 and 1997 the increase was seen in board paper up to 197.6 million metric tons but decrease in all types of paper to 149.0 million metric tons. Afterwards it continuously increased till year 2000, in paperboard up to 246.3 million metric tons and others 284.8 metric tons.

In 2001 there was bad decrease in production in both board paper 187.6 million metric tons and other paper137.9 million metric tons but from 2002 to 2005 continuous increase in board paper 476.7 million metric tons and all types of paper 167.7 million metric tons.

This forth and last period started with a decrease in production from year 2006 and the decrease was in board paper 464.7 million metric tons and others 161.7 million metric tons. Then in the years 2007 to 2008 the decrease to 449.6 million metric tons in board paper and increase in all types of other paper up to 252.5 million metric tons was seen. But the last years of this period 2009 and 2010 have come up with continuous decrease in both papers board 330.7 million metric tons today and all types of other paper 185.4 million metric tons today.

Government role in developing the sector One of the issues that our industrial sector has been struggling with is the lack of continuity in fiscal, monetary and economic policies. In retrospect, a sound industrial sector relieves as much one stable government policy as it does on the skills of the private businessman. The paper and paperboard industry has been dealt reeling blows by the successive wave of governments and know-all bureaucrats that seem to be completely unaware of ground realities. Paper and paperboard was the industry of choice in imposition of Central Excise duty for decades. Finally, Govt is failed to develop the sector due to corruption, mismanagement and bad Governance.

Top five big names in the sector Installed Capacity: Packages Limited 302, 000 Tons Century Paper & Board Mills Ltd 240, 000 Tons Flying Board& Paper Product Ltd 100,000 Tons Premier Paper Mill Ltd 50,000 Tons Flying Group of industries (Flying Kraft Paper Mills) 40,000 Tons

Products produced in Pakistan Writing and printing paper. Packaging board.

Liner board (A type of paperboard used in making corrugated cartons). Corrugate medium5. Continuous computer reels. Tissue and Security/banknote paper. Newsprint

Sayid Paper Mills became the first manufacturing unit in 2000 to produce newsprint.

Cost of Production Production cost comprises of 58 percent for raw materials, 10 percent labor, 12 percent fuel and energy and 20 percent other overheads.

Price of Inputs The prices of imported pulp, waste paper and chemicals show declining trends whereas the prices of local raw materials, electricity and furnace oil show rising trends. The principal raw materials for manufacturing of Paper & Paper Board are wood pulp, waste paper pulp and agricultural wastes. The agricultural wastes like biogases, rice and wheat straws, cotton linters and cotton wastes are locally available. The secondary inputs are chemicals. The inputs for production of pulp are calcium carbonate, soda ash, caustic soda, sculpture and chlorine whereas the chemicals used in bleaching pulp are chromium, caustic soda, lime, sodium chlorate and sodium peroxide. Alum, starch, rosin, clay and other chemicals are used at paper making stage. Caustic soda, rosin, starch, alum and lime stone are indigenous chemicals while the other are imported.

Pulp and Waste Paper Wood pulp is imported while waste paper is available locally as well as imported. Wood pulp is imported mainly from USA, Sweden, Canada and Far East while waste paper is being imported from USA, UAE, Saudi Arabia and Singapore.

Imports of Paper and Paper Board Products

Pakistan imports large quantities of newsprint paper. Their imports during last 3 years were 207, 644 M. Tons. Newsprint is the major imported finished product followed by white duplex/coated board.

Raw Material The main raw materials used in Pakistan are wheat straw, biogases, kahi grass, rice straw and wood pulp. The mechanical process is not suitable for these raw materials as it produces powder on grinding which reduces strength of the product. The chemical processes are considered practical for pulping of such short fibers. To manufacture paper, different types of pulps are blended in desired proportions in a stock blending chest where imported long fiber wood pulp is also mixed. Baggasse is the residual by product of sugar industry. Traditionally it has been used in boilers as fuel by the sugar mills as no alternate source of fuel like gas or coal was available. The availability of cheap coal for power generation has motivated sugar mills to convert their power generation facilities to coal fired boilers. Only minor modifications in the boilers are required. Therefore, it is expected that Baggasse will be available in abundant quantity. The existing demand of the country is being met by local production and imports. However, investment opportunities exist for the revival of idle capacity through up gradation of technology and availability of raw material at competitive rates.

Problems and issues in supply side As we all know that Pakistan is facing all time worst conditions, currently flood is continuously disturbing the country above all these things due to unfair and pathetic decisions of the government we are facing electricity shortage, gas shortage, fuel shortage and all kinds of those shortages which are necessarily required to run the business. Before these problems continuously bomb blasts and suicides attacks swirly disturbed the paper industry as well as whole business in the country. With all above problems Pakistan paper industry was catering the 65% demand of the paper in the country and they were bearing the high cost of doing business, energy crisis and production loss, but still, they were selling our products with a minimized increase around 8 -10 percent. But after imposition of regulatory duty, the total quantum of duties increased to Rs 35,000 peptone from 25,000 per ton for commercial importers, chairman All Pakistan Paper Merchant Association (APPMA)In Pakistan due to mismanagement and bad governance Around

95 percent import of finish paper products are made in name of waste paper under misquoting and false declaration by the commercial importers this effect of Government as well as the local manufactures Due to problems discussed above annual production of paper industry decreased

Demand Side Situation

Sources of demand In 2002, people worldwide read over 1.80 billion magazines, 3.94 billion books, and 4.16 billion newspapers worldwide - all printed on paper. Our money, marriage certificates, documents which literally govern our lives, are made out of paper. Our children play with paper dolls, paper masks, paper board games, and paper kites. Your ticket to a movie is made out of paper. Even the batteries in your TV remote control contain paper, and so does your television itself. Thanks to computers, which were once expected to make ours a paperless society, we now generate even more paper than ever before. How would you ship light bulbs, water glasses, or your new microwave oven without the corrugated containers that protect them? The largest category of paper products today is the one we take most for granted - paperboard. Corrugated board is used to ship 95% of all manufactured goods, sometimes even paper itself! In Pakistan in all above sector paper and board are used but if we talk about specifically the demand of paper in Pakistan then the major institutes that need paper are given below:

Punjab Textbook Book Board Pakistan Sindh Textbook Book Board Pakistan N.W.F.P Textbook Book Board Pakistan Baluchistan Textbook Book Board Pakistan Printing Corporation of Pakistan All Major Universities Like Punjab University Newspapers8. Others

Sources of growth

The directors of century paper mills and Said paper mills feel that due to high demand and with the friendly policies of government paper and board sector of Pakistan have a good chance to grow. They said that if government control the exchange rate and low the interest rate our manufactures has a potential to increase the exports and help to grow economy. Currently various impediments are affecting growth of Pakistan Paper and Board Industry. Menace of dumping of paper and board form Far Eastern countries at under invoiced rates is infringing level playing field. Under invoicing tends to reduce duty for commercial importers, while local producers are subject to excise duty, sales tax and other corporate and local taxes. Underinvoicing also affects national exchequers in face of lower than actual duties. Similarly, the prevalent imbalance of tariff structure deteriorates the operational profitability of local producers vies-a-vies foreign producers. Duties on various raw materials mainly chemicals are substantially higher compared to that on finished Paperboard creating distortions to the local industry as imported material costs 50 per cent of total cost of production. Local paper and board Industry is also under tremendous pressure due to high rates of Fuel and Power compared to competitor countries. Fuel cost forms about 40 per cent of manufacturing costs in paper and paperboard production.

Trends and consumer preferences As we all know that world become the global village and now customers remain well updated and become more quality conscious instead of quantity conscious so now days a having good competitive advantage and innovation in their products can persist only. In paper and board industry of Pakistan the reason of becoming market leaders of packages and century paper mills is their competitive advantage and innovation in their products. To get good profits and become market leader each must have good R & D department with skilled and specialized people.

Problems in demand side situation Since there are many problems in demand side situation but some important problems are given below: Low literacy rate Low per capita consumption People prefer to get information through net instead of books

 Lack of Innovation in use of local raw materials Lack of strong brand recognition High taxes imposed by the government ET

Policy Issues

Government policies till now regarding sector Since government is the major stake holder in the economy but unfortunately the domestic paper industry is going through difficult times for the last couple of years partly due to depressed economic environment, law and order situation, further forced imposition of new taxes and duties. In addition, the government has adopted policies which are favorable only to imports particularly from dumping of goods from Indonesia, Korea and Taiwan. Finally government is not playing good role regarding the development of the sector.

Obstacles from Government Side Government once again failed to provide competitive infrastructure which is very necessary for the development of the sector Tariff and local duties irregularity Continuous increase of prices of paper products like books and copies by government Imposition of 15 percent excise duty 25 percent regulatory duty 20 percent anti dumping duty Continuous load shedding Law and order situation

Conclusion Finally the import of paper and paper board is subjected to 25% import duty and 15 % regulatory duty, 18 % sales tax, 2 % withholding tax and 1 % special excise duty which is on very higher side, after imposition of such high duties import of paper and paper board dropped from 64,054tons in the year 2008 to only 19,000 tons in 2009, after the first quarter of 2010 import stood only 50 tons which is very alarming. Besides reduction in imports also hit revenue

collection which has dropped from Rs 1.6 Billion in 2008 to 527 million in 2009 and in first quarter 2010itis just Rs 0.15 million. This is an alarming figure in view of the budget deficit of the current year, since huge quantity of paper and paperboard was coming illegally into Pakistan from Afghanistan and other border countries to fill the gap between demand and supply. The total demand of paper and paperboards approximately 850,000 tons per tons per year, whereas total domestic production is approximately 500,000 tons per year and the gap b/w demand and supply is 350,000 tons, while the legal import is very limited, and the import tariff in Pakistan as compared to other countries is very high at 25% in India, Vietnam it is only 10 % and in China, Japan, and Singapore t is 0%.Due to high cost of paper and paperboard of Pakistans export of printing material had fallen drastically. The rising cost of such paper and paperboard products, which contribute to and enhance learning is fatal to the vitality of the education sector as well. So, remedial action must have to take to save the paper and board industry of Pakistan.

Group of Companies
Brief History TAJ Group is established in 1983 with start of single unit of corrugated boxes/cartons. Now TAJ Group is one of premium name in the field of Packaging and able to achieve the trust and support of its clients with an assurance of high quality products and on schedule delivery. Brief detail of the TAJ Group of Companies is as under;

1) TAJ International (Private) Limited It was incorporated as a Private Limited on 09.03.1989, under ordinance 1984 at Lahore .Objective of the as set out in the memorandum of association and exclusive object of It is to manufacture and sale of paper (Kraft Paper, White Paper, CMP, KLB, Fluting Paper and Box Board). It has three (3) plants .We are manufacturing Paper, Board and Allied products. It is situated at 16-Km Lahore Sheikhupura Road opposite Javed Nagar, Lahore.

2) TAJ Packrite (Private) Limited It was incorporated as a Private Limited on 09.11.1989 under ordinance 1984 at Lahore. Objective of the organization as set out in the memorandum of association and exclusive object of the organization is to manufacture and sale of corrugated boxes / cartons. It has two (3) units (2 as manual and 1 as plant). It is situated at 16-Km Lahore Sheikhupura Road, Lahore. TAJ Packrite is one of the premium names in the field of Packaging. It has been able to win the trust and support of its clients with an assurance of high quality products and on-schedule delivery. As an Industry of International repute, the Organization has made successful inroads in its realm of activity and has always adhered to corporate ethics. With extensive production capabilities, incorporating in-house structural and graphic design facilities, Taj Packrite Internationally offers quality finished cardboard and corrugated packaging

products to a diverse range of customers in the commercial, industrial, and agricultural markets. Such industries include; Fruit & Vegetable Meat, Poultry & Sea foods Dairy Clothing, Textiles Electronics Pharmaceuticals QUALITY It incorporates quality in management, in human resources, in procedures, in services, and in production. Quality in the organization is viewed as a journey towards excellence, a constant process which develops people and their activities. It recognized by various Clients as a zero defect supplier from time to time. Our products give a flawless performance and confirm to the International standards of quality We are committed to customer service and on-time deliveries of the very best quality products. To ensure customer satisfaction quality checks are an integral part of the process. Our talented team of Designers works with customers at their product development stage, right from concept development to the first commercial run. Our design expertise and innovative approach have helped us offer solutions that were not previously available in the market for our clients. We have all the latest machineries and equipments which have helped us to become one of the leading manufacturers and exporters in Pakistan of Cardboard Boxes, Corrugated Boxes etc.

M/s Taj International (PVT) LTD It was incorporated as a Private Limited on 09 march 1989, under ordinance 1984 at Lahore .Objective of the organization are set out in the memorandum of association and exclusive object of the organization is to manufacture and sale of paper (Kraft Paper, White Paper, CMP, KLB, Fluting Paper and Box Board). It has three plants .We manufacture Paper and Board and Allied products. It is situated at 16 km Sheikhupura road opposite, Javed Nagar, Lahore.

INTRODUCTION In a constantly changing business scenario, maintaining a niche becomes even more challenging. In such a situation only with innovative leadership, state of the art technology and committed people can make a steal the lead over competition. It can lead by making quality a continuing reality, lead by being a profit-making concern, lead by being a committed corporate citizen, lead by moving ahead into the future-confidently, and that is the story of Taj Group of Industries. Taj Group of Industries one of the biggest integrated paper and board manufacturing plant in Pakistan, with the aim to serve better production of our developing country. It welcomes all at our paper manufacturing organization i.e. Taj Paper Mills (Pvt) Ltd. We dare to be different because of our hi-tech, professional attitude and by making huge quantity of paper. We are manufacturing various kind of paper which will help the paper industry to locally produced supply of paper constantly available which enables the printing and writing industry to produce quality products efficiently and effectively. Our aim is to satisfy our customers need and demands with high technology and with high motivation.

About us
We Taj Group of Industries are major share holder in paper market. We have three production lines in our paper mill unit 1, unit 2 and unit 3. Taj Paper Mills range of product include some of the finest varieties of writing and printing paper. We are producing high quality paper and board since 1989 using environment friendly manufacturing processes. We specialize in making a variety of paper including Kraft Paper, White Paper, CMP, KLB, Fluting Paper and Box Board. It has three plants .We manufacture

Paper and Board from 40GSM to 400GSM. Our products are tested for high performance. Paper quality and weight is determined by the client's specific requirements and Taj Paper Mills ensures this is carried out to the exact specifications provided. The manufactures a wide range of paper and board on three machines presently and the product range include:
Paper machines Deckle GSM Output Writing Paper Printing Paper Unit 1 65 40 to 400 Floating Paper Photocopy Paper Ledger Paper Writing Paper Printing Paper Unit 2 70 40 to 200 Floating Paper Photocopy Paper Ledger Paper Floating Paper CMP Unit 3 120 40 to 200 KLB

Imports Taj International (pvt) limited import waste paper, chemicals, dyes; etc. Imports contain 85% waste paper and 15% raw material (chemical, dyes, etc.).Following are the process and documents used in import process.

Process The import process starts from order made by Taj International (Pvt) limited to importer. Importer sends consignment and some documents which are following: Commercial invoice Packing list Goods origin

Consignment reached at different ports and custom department generate Bill Of Lading. Agent of the organization then file against import called Import General Manifest (IGM). Agent then claim GD (Goods Declaration), also called Bill Of Entry after the payment of all duties (also include sales tax, income tax). Agent of the organization send expense sheet that contain (all duties, taxes, etc. amounts and other specifications). After GD, consignment is brought to factory on containers. If bank wants to made transaction through Bank, the firm made a contract with bank. Bank receives all documents and informs the organization to make payment and to receive documents. In case of LC (Letter Of Credit) organization must have to make an advance payment to Bank, 10% of commercial invoice. Imports waste and other raw material from different countries which are following: Middle East(UAE) USA Germany UK Australia Sri Lanka Netherlands Company annual imports are 14000 metric tons.

OUR VISION

is to provide our customers with just the one Venue to supply all their requirements of Packing. Is to become the buyers first choice in industry. this target we make sure that we stay true the Highest standards of excellence and Customer Satisfaction.

OUR AIM TO ACHIEVE

Corporate culture Innovation Listening and two way interaction Participation Encouragement Motivation Initiative

Growth and development for all Competence and contribution as the only basis for job security. Promotion from within Learning environment and opportunities Provision for world class education and training Aligning people with latest trends.

Trust Cooperation

Support Teamwork Empowerment Integrity Dignity Respect

Recognition Reward Achievement orientation Performance based evaluation Appreciation Incentives Setting ever-rising standards of performance.

ORGANIZATIONAL STRUCTURE

Board of Directors Taj international (Pvt) Ltd, Board of Directors list consist the following members and their designation. NAME Abid Feroze Khalid Taj Shahid Ghafoor Sheikh Amir Rafique DISIGNATION CEO Director Director Secretary Board of Directors

Management Hierarchy:
DIRECTORS KHALID TAJ/SHAHID GHAFOOR CEO ABID FEROZE GM PRODUCTION HAJI ABDUL-RAZAAQ CFO SHEIKH AMIR RAFIQUE MANAGER SALES ABID BAIG CHIEF ACCOUNTANT MUKHTAR AHMAD MANAGER ACCOUNTS KHURRAM SHEHZAD ASSISTANT ACCOUNTANT RIZWAN SHAFIQ ADMIN H/O ZAFAR SHAH MANAGER IT SYED ALI GILLANI
CASHIER

M.MUNIR
NON CLERICAL STAFF

PRODUCTS
We have all the latest machineries and equipments which have helped us to become one of the leading manufacturers and exporters in Pakistan of Cardboard Boxes, Corrugated Boxes etc.

OTHERS Double Facer Automatic Plant Single facer paper corrugation machine with glue making Unit (for manufacturing of 2ply paper corrugated board) Combined creaser slotter with kick feeder (For creasing and slotting the corrugated board) Overhung eccentric slotter (For slotting and cutting corrugated board) Auto reel to sheet cutter with reel stand (For cutting the plain paper & duplex board) -Flexor printer with creaser & slitting unit two color (To print corrugated board) Die cutting machine ( for fine cutting & dreading of cardboard cartons as well as corrugated boxes with help of sharp blades cutting die ) Board cutter manual (For cutting 2ply corrugated board and plain paper) Sheet pasting gluing machine (For pasting the corrugated board) Rotary slotter creaser (For slitting creasing and trimming corrugated board) Double Pin Machine 2 unit 2 unit 3 unit 6 unit 3 unit 2 unit 2 unit 3 unit 2 unit 3 unit 1 unit

Specialty Boxes If you do not see the box style you need below, please give us a call, if the box can be made with cuts and scores along x-y axis, chances are we can make it.

Regular Slotted Container The Regular Slotted Container (RSC) is the most common box style used for shipping and storage. The two outer flaps of an RSC box meet at the center of the box when folded and are usually closed using tape, or staples. Where the product requires additional protection over the top or bottom, corrugated pads can be placed between the inside flaps

Regular Slotted Container with Variable Flaps RSCVF The Regular Slotted Container with Variable Flaps (RSCVF) style of box is similar to the RSC box, except the outer flaps overlap by an inch or more. The RSCVF style of box is used when the length of the box is considerably greater than the width and results in an excessively long distance between the end flaps. This makes it desirable to overlap the outer flaps to prevent them from spreading apart. The RSCVF box is usually closed with staples through the overlapping flaps, but can be glued or taped.

Five-Penal Folder The Five-Panel Folder (FPF) is perfect for shipping very long products. Because the FPF has several thicknesses of material on each end, it has a particular advantage when used for packaging long articles of small diameter which might be readily damaged if forced through the ends of the box

Full overlap Container The Full Overlap Container (FOL) is ideal for boxes with relatively narrow widths. The outer flaps overlap the full width of the box making it especially resistant to rough handling. And, the extra thicknesses of corrugated material on the top and bottom panels provide added stacking strength

Telescope Half-Slotted The Telescope Half-Slotted container (THS) can be made with either a Full telescope top (FTHS), or a Partial telescope top (PTHS). The two thicknesses of material at the sides and ends of a FTHS box provide maximum protection for the box's contents as well as giving the box superior stacking strength. And, the top is easily removed for examining the contents.

Half-Slotted Box Cover The Half-Slotted Box with Cover (HSC) is frequently used for both shipping and shelf storage, and in applications where the cover must be removed and replaced frequently. The top of the HSC box is a tray style which usually extends less than 2/3 the depth of the bottom (PHSC), but can be made to extend the full depth of the bottom (FHSC) if extra strength is needed

Double Cover The Double Cover (DC) is frequently used for tall or heavy products that would be difficult to lower into a box. The product is placed on the bottom cover, and the center is placed over the product. The two interchangeable covers (top and bottom) of the DC box are tray style and usually extend only a few inches down the center body

Five-Penal Folder Center Flap The Five-Panel Folder Center Flap (FPFCF) is similar to the FPF except the FPFCF is sealed at the center seam on the top. This makes it easier to load products; however, the FPFCF is not quite as strong as the FPF. It is best used for shipping flat items

Telescope Design Telescope Design boxes (TD) are ideal for products that require an extra strong box. TD boxes are made in 2 pieces; a top and bottom. The top of a TD box can be made with either a Full telescope (FTD), or a Partial telescope (PTD). The full depth (FTD) top slides completely over the bottom providing extra thickness of material on all side and end panels. This provides compression strength suitable for high stacking of fragile items. Both the tops and bottoms are shipped flat. The corners are then assembled using staples, or adhesive.

TRAY
The TRAY can be used for inner containers and dividers for parts.

One-Piece Telescoping Box The One-Piece Telescoping box (1P-T), sometimes referred to as a pizza box, is made from one piece of material. The 1P-T has an unbroken top and bottom with two layers of material that form the sides which provide excellent stacking strength.

One-Piece Folder The One-Piece Folder (1P-F) is made from one piece of material and has a flat bottom with flaps that form the sides and ends. The outer flaps meet at the center to form the top. 1P-F's can be made with multiple scores so that one box can be folded to make up to three different size boxes. The 1P-F is used principally for shipping books, catalogs, videos, and similar items. 1P-F is easy to store, set up, and close.

Dividers Dividers are used to create separate compartments within a larger box to protect small or delicate.

Similarities and Differences

Similarities: Firm have focus on continues improvement and actions are taken for improvement in infrastructure, production capacity, market growth and information system. New head office building, new production plant and use of softwares are examples of this initiative. Use of Database Management System gives the firm a competitive advantage over its competitors. Information processing and monitoring all departments communication process has been improved. Use of accounting software (Peachtree) for recording and preparation of financial statements increase the efficiency of records maintaining and secure the information from theft. Fair recruitment and selection processes for recruitment and selection of job applicants. Job rotation is a good way for learning more skills in an organization working environment. Management rapidly rotate the employees on different jobs for learning more work related skills and also working under new manager who have different knowledge and skills to better perform job related tasks. Quality management and inspection systems are the important factors for a firm to provide quality products and quality insurance to the customers. Its also insures that minimum errors and defects should be minimized. Foreign trade transactions and their documentation process are very complicated processes but the involvement of banks in international trade transactions has decreased the complications and conflicts mostly raised in international transactions. Bank receives documents that the exporter and agent of the firm at Karachi and Qasim ports and made payments of taxes, duties and import value on the behalf of the firm. Firm have to make an advance payment, 10% of commercial invoice imports value. Firm is involves in Corporate Social Responsibility (CSR) activities for the betterment of the society. Zakat & Ushr is regularly paid and donations are made to different NGOs, employees and common people.

Performance appraisal system for monitoring organization and employees performance are developed by the management. Performance measures are developed for measuring organization and employees performance on monthly basis. Rewards are allocated for best performance.

Firm use a communication system that links head office and factory with wireless telephones. Codes are developed for linking every department in head office and factory for easy and better communication throughout the organization.

Firm use Process Costing method for allocation of costs. There are different process in the production of paper and boards so cost is measured at every process ends. At every stage, actions are taken to minimize the costs.

Production schedules are developed by production manager and production in charge. Employees health, safety and benefits programs are developed and maintained. Firm currently start Worker Welfare Fund and Worker Profit Fund for their employee, which is paid by the firm.

Office environment is much like as medium sized organizations. Better facilities are provided by the management.

Differences: Firm have no marketing department at all. To better serve the customers and to capture more market share, firm should establish its marketing department. Research & Development department should be established for developing new production ideas and ways to minimize defects and errors in production of paper and boards. Although employees are involved in innovative activities but its necessary for the firm to provide research & development facilities to their workers where they can effectively and easily research and develop new ideas and products. Firm have unclear goals, unclear vision and mission. If there is a vision or mission in the eyes of the management, it is not communicated with its members and with its employees. Employees have unclear goals and they perform activities or tasks which are not includes in their job description. Audit of books of accounts on monthly basis is a good but different practice. Normally, firms audit their books of accounts after a financial year. It is a good practice that can

give the management an opportunity to take actions against poor performance or to increase the performance of the firm. Tasks out of job description Less marketing exposure for marketing students in the organization CFO makes all the decisions of Audit, Tax, Cash, Accounts and IT departments rather than departments heads. It is a different practice but decions of every department should be taken by department manager. Suppose, decision making should be given to IT manager because he/she better know the problems occurred in department and also new opportunities or improvements that can be made in the department. Sales invoices, sales tax treatment in a sale transaction, sales tax returns and FBR (Federal Board of Revenue) taxation procedures are very different type of knowledge from classroom study.

Political Environment Businesses can be affected by many aspects of government policy. In particular, all businesses must comply with the law. They must also consider the impact of any forthcoming legislation on their operations. This may require taking action before the legislation comes into effect. a. Legislation and regulations One issue that affects manufacturers and retailers of consumers goods is the disposal of these products at the end of their life. Recycling is high on the public agenda. There are government initiatives to promote more recycling. These initiatives are sometimes backed by legislation. Businesses must obey these environmental laws. However, it goes further by taking other measures to minimize its environmental impact will be seen more favorably by consumers. So, TAJ International (pvt) limited should plan for the changes that may occur in future. b. Government Initiatives Businesses also have to take into account the more general political ambitions of the government. The current government is cutting jobs in the public sector and is hoping that the private sector will grow to create new jobs in the economy. The private sector consists of small/medium sized single-owner businesses (sometimes known as sole traders), partnerships and companies, like TAJ International (Pvt) limited. The governments

emphasis on private sector growth could provide opportunities for TAJ International (Pvt) limited if it leads to a more buoyant economy. c.Stability It is important to know how stable the national government is and how stable it's likely to be in future depending on prevailing political circumstances. Political instability makes it very difficult to do business. An abrupt change in a political regime may make businessmen lose their property and hard earned money. If operating business in such a country, the risk of losing business is high. As I conclude, I would like to appeal to you to always follow closely the political environment in which you operate business. Political changes can also create great opportunities for and chances can comes way if keeps itself knowledgeable about the political climate in which do business. If hasn't been paying any attention to those political aspects that have an effect on business, it's therefore important for to understand the political environment in which is operating because it can present political risks to business. For instance, business is subject to political risks if a war erupts in any country where does business operate. Likewise, changes in government policies may either affect positively or negatively.

(d)Corruption Corruption inevitably leads to a diminished business climate when the public trust is put at risk, according to Stanford Graduate School of Business. Corruption can take many forms that can include graft, bribery, embezzlement and extortion. Its existence reduces business credibility and profits when professionals misuse their positions for personal gain. When resources are tampered with and used improperly, the efficiency of a business suffers. Insufficient resources are available to effectively run the business and maintain its levels of operations. When the news about corrupt business professionals breaks, customers lose respect and trust, requiring officials to spend valuable time and resources to monitor the fallout and pressure clients is still viable. Legal fees, penalties and public relations efforts reroute important resources form the core business and lead to an inefficient use of funds and personnel. The results of corruption in business add to the burgeoning roles of crime-fighting government agencies, police departments and internal investigators. The trickledown effect of corruption

usually ends up feeding black market interests, and may even support the efforts of organized crime as the activities infiltrate various business levels. Corruption begets continued criminal activity when it goes undetected. The effects of corruption in emerging third world countries is evident and widespread, but even in America, where competition and greed can outweigh the good of society, corruption fuels the growth of criminal enterprises and eventually affects the society in which the business operates.

Economic Environment

(a)Economic Growth A key area of government economic policy is the role that the government gives to the state in the economy. Between 1945 and 1979 the government increasingly interfered in the economy by creating state run industries which usually took the form of public corporations. However, from 1979 onwards we saw an era of privatization in which industries were sold off to private shareholders to create a more competitive business environment. Economic growth is important if businesses are to grow and prosper. It relates to growth in the output of the economy as a whole. Growth is measured as the change in the gross domestic product (GDP) of a country over one year. For comparisons over time this figure must be adjusted to allow for inflation and the resulting value is called 'real growth'. Over time real economic growth leads to major improvements in living standards, expanding existing markets and opening new ones. The real economic growth of one country relative to another is an important indicator of business opportunity. Economic growth depends on productivity and investment: using existing resources more efficiently and investing in new resources. Success in this process generates increased incomes which then fuel demand and encourage further economic growth. This cycle can, however, work in the reverse direction, as falling demand may lead to under-used resources and investment cutbacks. In comes may fall further in a spiral effect.

(b)Taxation Policy

Taxation policy affects business costs. For example, a rise in corporation tax (on business profits) has the same effect as an increase in costs. Businesses can pass some of this tax on to consumers in higher prices, but it will also affect the bottom line. Other business taxes are environmental taxes (e.g. landfill tax), and VAT (value added tax). VAT is actually passed down the line to the final consumer but the administration of the VAT system is a cost for business. Taxes pose two issues for a business. First each and every tax required of a business is just another business expense. An increase in tax has the same effect as would a raise in cost of goods or the electricity bill. All businesses are there to make a profit. While that profit is not a fixed number that the business must have but it is generally a controlling factor if the business is to continue. A business may be able to absorb a raise in the electricity bill for a short time but sooner or later that business is going to raise their rates. If the electricity bill goes up enough that the increase in fees charged by the business are higher than the market will bear the business ceases to exist. The second problem with taxes is their complexity. Not only is the business required to pay the tax they must also pay someone to determine what that tax is and to keep records to verify that they paid the correct amount. From business perspective there rarely is any advantage to the business from taxation.

(c)Interest Rates Another area of economic policy relates to interest rates. In this country the level of interest rates is determined by a government appointed group - the Monetary Policy Committee which meets every month. A rise in interest rates raises the costs to business of borrowing money, and also causes consumers to reduce expenditure (leading to a fall in business sales). Interest rates remove some of the profits that are made in businesses that make loans to operate. Interest rates also make less money available to people that are paying of houses resulting in their not purchasing as much from businesses. This also flows on to renters of homes. Higher the interest rates the lower the economic activity. Lower interest rates make it easier for people to borrow in order to buy cars and homes. Purchases of homes, in turn, increase the demand for other items, such as furniture and appliances, thus providing an additional boost to the economy. Lower interest rates mean that consumers spend less on interest costs, leaving them with more of their income to spend on goods and services.

Lower interest rates make it easier for farmers, manufacturers, and other businesses to borrow to invest in equipment, inventories, and buildings. Also, the returns that investments will produce in future years are worth more today when rates are low than when rates are high. That gives business more of an incentive to invest when rates are low. Increased business investment, in turn, makes the economy grow faster, as productivity, or output per worker, increases faster.

(d)Labor Costs The goal of every successful business is increase productivity without having to spend more to do it. Increasing productivity by reducing costs usually results in better efficiency and higher profit margins. Efficiency is the ability to get more for less. Controlling costs is critical in maintaining profitability. However, keeping operations costs as low as possible does not always increase profits, particularly in relation to paying employee wages. When it comes to labor costs, sometimes investing more money actually can make a more money in the end. In this case, there may be validity to the old adage, "You get what you pay for." Labor costs include more than just the hourly wages and salaries paid to as employees. The cost of labor also includes employee benefits packages. Health insurance, disability insurance and PTO (paid time off) plans all fall under the umbrella of labor costs. Wage increases are inevitable in a rapidly growing economy, adding to the challenge of controlling costs and expenses. While labor costs may account for a significant percentage of total annual operating budgets, low labor costs may not necessarily be an easy way to increase profit margin. In recent years, many companies are learning that paying low wages often results in poor workmanship, which affects both the quality of the products being produced, as well as the 's overall reputation. Low-cost labor can translate into unskilled labor, and in order to remain competitive in today's global market, companies must keep pace with the continuous advances in technology. Automation and innovation lead to higher productivity, but achieving higher productivity requires trained workers. There also are the overhead costs associated with supply chain management, in addition to problems often associated with communication and cultural barriers. What's more, if highly skilled workers are needed in a particular industry, hiring unskilled workers to do the job likely will negatively affect both output and quality, actually slowing the rate of production.

(e)Inflation In simple language, inflation means rising prices and it shows the increase in cost of living. In economics, inflation is explained as rise in the general level of prices of goods and services in an economy over a period of time. With the rise in price levels a unit of currency will buy fewer goods and services. As a result, the purchasing power of money will be reduced with inflation. In other words the real value of money will be lost day by day along with inflation. Inflation is measured by the Rate of Inflation or Inflation Rate which is the percentage change in a general price index calculated as an annualized figure. A low inflation rate is beneficial to a country and zero or negative inflation is considered as bad. Also, a high inflation is harmful to an economy and it affects an economy in many ways.

High inflation distorts consumer behavior. Because of the fear of price increases, people tend to purchase their requirements in advance as much as possible. This can destabilize markets creating unnecessary shortages.

High inflation redistributes the income of people. The fixed income earners and those lacking bargaining power will become relatively worse off as their purchasing power falls.

Trade unions may demand for higher wages at times of high inflation. If the claims are accepted by the employers, it may give rise to a wage-price spiral which may aggravate the inflation problem.

During a high inflation period, wide fluctuations in the inflation rate make it difficult for business organizations to predict the future and accurately calculate prices and returns from investments. Therefore, it can undermine business confidence.

When inflation in a country is more than that in a competitive country, the exports from former country will be less attractive compared to the other country. This means there will be fewer sales for that countrys goods both at home and abroad and that will create a larger trade deficit. At the same time, high inflation in a country weakens its competitive position in the international market.

(f)Unemployment

Businesses are affected in a variety of ways depending on whether unemployment is high or low, and rising or falling. People have less money to spend on goods and services when theyre out of work. High unemployment weakens consumers purchasing power, the driver of local economies. Bakeries, neighborhood retailers, local banks, landlords and other small businesses feel the sting of high unemployment when people stop eating out, buying goods or paying their rent. Some business implications of rising / high unemployment include: Lower consumer spending = lower demand for income-elastic products Demand for inferior goods (lower price, quality) may increase Greater supply of labor potentially lower wage/salary levels Unemployment creates insecurity in the workforce; potentially a cause of lower morale and demotivation Danger of lost skills for industries as a whole Business may be impacted by social problems associated with high unemployment (e.g. rising crime) Recruitment (in theory) becomes easier there should be more applicants for each vacancy Lower staff turnover employees less likely to be able to find other jobs, or want to move in an uncertain economic climate Some business implications of falling / low unemployment: Consumers have more income = higher demand for income elastic goods Labor market tightens increased upward pressure on wages / salaries Harder to recruit or expand without offering better worker packages potentially affects ability to increase capacity Greater sense of job security and motivation in the workforce if the business is doing well The appropriate response to changes in unemployment will depend on several factors, including: the nature / cause of unemployment (e.g. cyclical, structural, and seasonal) the labor-intensity of the business the ability of the business to respond (resources, management structure etc)

Some typical responses are as follows: An important evaluation point to remember is that many appropriate businesses actions will take place before a significant change in unemployment becomes apparent. A business that is anticipating structural or cyclical changes in its business will ideally take action before those changes take full effect. Unemployment can raise federal and state taxes for small businesses. At times, it presents administrative challenges for employers when handling former workers' claims for unemployment insurance benefits. On the up side, however, unemployment can increase the number of businesses by offering opportunities for new entrepreneurs. The Federal-State Unemployment Insurance, or UI, fund provides temporary financial assistance to workers who involuntarily lose their jobs.

(g)Exchange Rates If a business that trades internationally, currency exchange fluctuations will almost definitely affect that business. Although exchange rates can be a risky business they are an aspect of running a business that must not be overlooked. Exchange rate changes make it incredibly difficult for financial forecasting which make it a pretty unpredictable business and difficult to predict a business future profits and losses. When importing products, Taj International (Pvt) Ltd and other firms probably pay in the currency of the country where importing from. For example, a company continuously imports silk scarves from Italy to the UK. Company paying in Euros which is fine when the Euro is not strong. However, when the Euro starts to gain, company end up paying a lot more to purchase goods than company were before. In this situation, it is worthwhile to speak with a foreign exchange broker to mitigate against adverse currency fluctuations. How to deal with it There are a few ways of minimizing business losses and being able to have more control of what happens to business bottom line when paying overseas suppliers. Here are a few precautions that Taj International (Pvt) Ltd and other businesses can take:

(1)Make a deal Try and arrange a deal with company importer to pay in company base currency so, company dont have to fiddle around with currency exchange. It also makes it easier as company is paying in a currency bank with and company will be able to understand it in relation to its earnings. If this cant be done then company can always try and set a fixed rate on company currency exchange (forward contracts). If company do this then remember that if company currency gains on the other than company will be losing out however, it could easily go the opposite way so getting a fixed rate is a good way of ensuring the amount company will be paying and making it easier to forecast company outgoings. Forward contracts are an excellent tool to budget and exchange rates can be fixed for up to 2 years in advance. (2)Avoid the bank when paying overseas suppliers Banks normally have outrageously bad exchange rates and therefore businesses with an ongoing necessity to make international payments should avoid bank currency exchange rates at all costs. Its a much better idea to buy foreign currency through foreign exchange brokers instead. Therefore, organizations have to evaluate the risks of doing business on an international level. But it doesn't always work in their favor. For instance, McDonald's saw sales in Europe increase in 2011, but the yearly profits were actually down as a result of a weakening euro. Indeed, some experts think investors should be cautious this year too given that the US dollar has strengthened so much recently and is expected to continue doing so. As McDonald's generate nearly three quarters of its profits overseas, this could be an issue if they have not hedged. So, Taj International (Pvt) Ltd should avoid the bank when paying overseas suppliers and should buy foreign currency to make payments. (h)Responding to competition Another important economic influence on a business is the level of competition in its markets. Company has also increased its product portfolio. It now offers a wider selection of products to meet customer demands. This approach is leading the market, and it has enabled TAJ International (Pvt) limited to obtain a competitive advantage.

Social Environment
(a)Socio-Cultural Factors Socio-cultural is based on the idea that the society and culture shape cognition. Social customs, values, beliefs and language are all part of what shapes a persons identity and reality. According to this approach, what a person thinks is based on his or her social-cultural background. There are many factors which affect the organizations either internally or externally. These factors include demography, cultural values, changing roles of women, level of education, changing lifestyle and so on. They play a big part in shaping the organization in terms of its roles, operation and functions that are practiced within the organization.

(b)Education and Language The average level of education in a society affects the interests and sophistication of consumers. For example, in a community in which a high percentage of potential customers have some form of post-secondary education, small-business owners might use more details and explanations while advertising and promoting products. The spoken language of the community is a decisive factor on the labeling and advertising of the products. Consider the foreign language skills in the society while advertising. For example, in Washington, D.C., different transportation companies use English and Spanish on their brochures. In general, training and education will improve productivity because they will make workers better able to do their jobs.

(c)Cultural Changes Author of Blunders in International Business, David A. Ricks said it best: The failure to understand cultural differences can bear serious consequences. Culture and why it Matters to Your Business, the new White Paper published by win translation, explains why understanding the importance of culture is vital to the financial success of a and shows how culture should impact the decisions a make, interactions with customers, advertising strategies. After reading this White Paper, a business will understand how culture affects bottom line in three important ways through its impact on: Business relationships with clients, customers, employees, and partners. Public relations, marketing, and advertising strategies.

Companies that do not understand and appreciate cultural differences often implement marketing strategies that are doomed for failure from the beginning. Marketing strategies in one country do not always translate into success in another country. It is therefore important to be culturally sensitive and aware when producing, naming, selling, and advertising products. If a business is located in an area with slow growth or no growth it has to move differently from other businesses. Company has to adjust its strategies for marketing, operations and hiring to take the lack of population growth into account. However, owner can still grow business in such areas if plan ahead and watch for following opportunities: (1)Flat Rate of Demand In areas where the population grows very little, company has to deal with the possibility that company will not attract new customers. Company may have the entire market share that company is going to get. If company is currently paying expenses and making a profit, company can take comfort from knowing the region is not experiencing a population decline. Company must focus its efforts on customer service, making sure it retains every customer it has, because lost customers will be difficult to replace. (2)Graying Population The reason company country area has slow growth may be that the population is aging. If young families have stopped moving in, company has to change its focus to provide products or services for older customers. Company may be able to increase sales by offering more products that are appropriate for its customer base. (3)Up selling Company flat customer base means it must sell more products to each customer. Try to find products that enhance existing products. For example, if a company sells cell phones, offer accessories for those phones. Strive to offer products that might appeal to people when they come in for company existing products. Dont think of this as manipulative; think of it as a way to improve customer satisfaction. (4)Hiring Company slow-growth area may make it difficult to find suitable employees. Be prepared to hire trainees. Because trainees are less experienced, company can save money on wages and put the

money into training programs. Once company train an employee, that person will be less likely to leave to work for its competition because of the limited opportunities in the area. Company is more likely to benefit from its training expenditures. (5)Marketing Outside Company Area If company products or services lend themselves to Internet marketing, it can consider marketing outside of its area. It may have to offer shipping or delivery, so include those expenses in the prices of its products. It can also advertise in newspapers in nearby areas. Some customers may be willing to travel to purchase company products or services. (6)Access to Lenders Local lenders may be reluctant to approve loans for expansion of Taj International (Pvt) Ltd business, because they are aware of the slow growth in the area. Company may have to fund expansion by setting aside a portion of its income for the future purchase of assets.

Technological Environment

Research & Development Research and development (R & D) is a process intended to create new or improved technology that can provide a competitive advantage at the business, industry, or national level. While the rewards can be very high, the process of technological innovation (of which R & D is the first phase) is complex and risky. The majority of R & D projects fail to provide the expected financial results, and the successful projects (25 to 50 percent) must also pay for the projects that are unsuccessful or terminated early by management. In addition, the originator of R & D cannot appropriate all the benefits of its innovations and must share them with customers, the public and even competitors. For these reasons, R & D efforts must be carefully organized, controlled, evaluated. Expenditures incurred to discover new knowledge and to develop that knowledge into a design for a new product. R&D costs are usually expensed as incurred. However, the following two classes of costs have future use in R&D activities and are capitalized: (1) materials and equipment and (2) intangibles purchased from others. For example costs of computer software to be sold, leased, or otherwise marketed should be charged to expense as R&D costs until

technological feasibility has been established through completion of either a detailed program or a working model. When technological feasibility has been established, all software production costs are capitalized and subsequently reported at the lower of unamortized cost or net realizable value. Amortization will start when the product is available for general release to customers. Periodic amortization should be the greater of: (1) the ratio of current revenue to the total current and anticipated future gross revenues from the product or (2) the straight-line method over the remaining economic life of the property. So, if Taj International (Pvt) Ltd will interested in R&D it must have to consider all these things.

Business Communication We are in the midst of a third major revolution in human civilization. First there was the Agricultural Revolution, then the Industrial Revolution, and now we are in the Information Revolution. Information and communication technology and a worldwide system of information exchange has been building growth for over a hundred years and physical technology and industry is not slowing down in growth rather it is accelerating. Information technology (IT) is playing a crucial role in contemporary society. It has transformed the whole world into a global village with a global economy, which is increasingly dependent on the creative management and distribution of information. Globalization of world economies has greatly enhanced the values of information to business organizations like Taj International (Pvt) Ltd and has offered new business opportunities. In the broadest sense, information technology refers to both the hardware and software that are used to store, retrieve, and manipulate information. At the lowest level have the servers each with an operating system. Installed on these servers are things like database and web serving software. The servers are connected to each other and to users via a network infrastructure. And the users accessing these servers have their own hardware, operating systems, and software tools. TAJ International (Pvt) limited and other companies must plan for changes that can occur in communication system over next years. It will becomes the important consideration for the use of better communication channels, devices and also make a better connection within its departments and customers. It is also important to communicate with employees and customers, new developments in communication system that may occur in future or how can improvements bring to communication system.

Legal Environment
The government of the day regularly changes laws in line with its political policies. As a result businesses continually have to respond to changes in the legal framework. Examples of legal changes include: I. The creation of a National Minimum Wage which has recently been extended to under-18. ii. The requirement for businesses to cater for disabled people, by building ramps into offices, shops etc. iii. Providing increasingly tighter protection for consumers to protect them against unscrupulous business. iv. Creating tighter rules on what constitutes fair competition between businesses. Government regulations will normally affect the business in different ways. These include, taxation which goes towards the reduction of the or the business profits, regulations will also affect the way the organization conducts its business, example regulations regarding the way business treats employees.

How government controls business activity? Governments control the business activities is many ways both direct and indirect. We have already covered governments economic policies. However, government can control business activities in a more direct way. These are as follows: (a)Controlling what to produce In order to safeguard the interest of the community government may ban or limit the production of certain goods and services. For example, selling of guns, explosive and dangerous drugs are illegal in many countries. Moreover, goods which harm the environment are also totally banned or strictly controlled in many countries, e.g. aerosol cans that use CFCs which has been banned because of their damaging effect on the ozone layer.

(b)Employees Protection legislations Government may pass laws to protect the interest of employees such as, Laws against unfair discrimination at work and when applying for jobs. There is no unfair discrimination on the basis of Race, religion, sex, age, or color.

(c)Legislations for health and Safety at work: To protect workers from dangerous machinery. Workers should be provided with proper safety equipments and clothing. A reasonable workforce temperature is maintained for workers. Proper hygienic conditions and washing facilities are provided. Workers get adequate breaks between shifts.

(d)Protect employees against unfair dismissal Business can not dismiss the workers because they have joined a trade union or for being pregnant. There should be proper warning before dismissing a worker otherwise it will be treated as unfair dismissal.

(e)Ensure fair wages for the employees In many countries, government makes it mandatory to have a written contract of employment. It contains the details of the wage rate; working hours, deductions (if any) and other necessary details regarding working conditions. Minimum wages paid to different types of workers are also determined by the government. Consumer Protection legislations Most of the countries have consumer protection laws aimed at making sure that businesses act fairly towards their consumers. A few examples are: Weight and Measures Act Goods sold should not be underweight. Standard weighting equipments should be used to measure goods.

Trade Description Act: deliberately giving misleading impression about the product is illegal.

Consumer Credit Act: According to this act consumers should be given a copy of the credit agreement and should be aware of the interest rates, length of loan while taking a loan.

Sale of Goods Act: It is illegal to sell products with serious flaws or problems and goods sold should conform to the description provided.

Conclusion In order to survive in increasingly competitive markets, businesses need to monitor and respond to changes in their external environment and should focus on continues improvement and customers satisfaction.

SWOT ANALYSIS

Strengths:

1-Industry Experience Business Analysts often delve into business requirements, gathering, understanding and documenting business processes and functions. An analytical mind and detailed information gathering are considered to be essential; one wonders though, if industry experience is a must for good business analysis skills. After all, if you knew well the ins and outs of the industry you were in, thats good. TAJ International (Put) limited has a 25 years experience in the paper and board industry with incorporate quality in management, in human resources, in procedures, in services, and in production. Companys talented team of Designers works with customers at their product development stage, right from concept development to the first commercial run. Companys design expertise and innovative approach have helped us offer solutions that were not previously available in the market for our clients. Taj International (Pvt) Ltd has all the latest machineries and equipments which have helped us to become one of the leading manufacturers and exporters in Pakistan of Cardboard Boxes, Corrugated Boxes etc. Industry experience gives a firm a competitive advantage in the industry and it is beneficial for the firm in different aspects. First, industry experience means less time is wasted knowing the industry environment the general models the business follows, what regulatory and competitive arena it is part of and some common terminology. Secondly, business process flows are easier to understand, say, if one was documenting business process flows for a financial transaction, if that person had already worked in a financial services firm in a financial transaction environment (e.g., Front office, where the deals were made, or the middle office, where financial and regulatory processes were checked or filtered, and the back office, where the transactions were processed and settled and where exceptions were followed up for closure).

2-ERP, Enterprise Resource Planning (Online Database Software) TAJ International (Pvt) is using online database software (called CISD) that links head office with factory for maintaining daily business transactions record. It also gives an advantage to the firm for minimizing errors that occurred in manual documentation. Before the implementation of Online Database Software (CISD) the firm was facing many problems in recording and verification of daily business transaction like other firms those were not using ERP (Online Database Software). An organization that has no ERP will be running on many kinds of software that do not allow interaction. Customization also may be difficult it in some cases. This will negatively affect the optimized functioning of organization's business activities. The organization will be facing hardship in many areas of its functions. The engineering design of the software will be needed in order to improve the product, and to follow the client's behavior and choices since the first contact is quite important. Administration of the different receipts interdependence will be very complex, such as invoices regarding materials purchases, general expenditures or salaries. A powerfully integrated ERP system enables interactions of marketing, sales, quality control, products processes, supply lines, stocks and many other areas and it can be in a single database. This will eliminate the occasional loss of and retyping errors. It integrates all departments and functions across a in a single computer system that is able to serve all those different department's particular needs. 3-Peachtree Accounting Software Peachtree Accounting Software allows business owners to automate invoiced goes without saying, but small business owners work many, many hours. Their livelihood depends on ensuring all facets of the business are handled properly, including human resources, accounting, inventory and sales.

TAJ International (Pvt) limited also using Peachtree Accounting Software (registered) for maintaining records of its books of accounts and preparation of financial statements. Record of daily sale and purchase transactions and sales tax invoices with sales tax treatment is maintained by accounts department. This helps the firm to avoid from errors that occurred in manual documentation and checks, record customer payments, track sales and inventory and manage employees. Firm annually registered its Peachtree Accounting Software. Also, obtaining and keeping customers and employees, making sure they are satisfied, and ensuring that accounting records are kept in order are a few of the challenges a medium size business owner constantly faces. Another important aspect of medium size business ownership is that most owners and operators are not accountants. The software is presented in workflow format so you can quickly perform routine processes in an organized and logical manner. 4-Audit of Accounts on Monthly Basis Internal audits provide a number of important services to management. These include detecting and preventing fraud, testing internal control, and monitoring compliance with policy and government regulation. Smaller companies may require these functions even more than large companies. A small business simply cannot afford employee fraud, waste, or a government fine. Establishing an internal audit function provides a vital step in the growth of small and medium size businesses. TAJ International (Pvt) limited is using a best strategy that strengthens its internal control is the audit of accounts on monthly basis. Auditing manager with the help of accounts department verify the books of accounts of head office and factory. Records that maintained in online database software and Peachtree accounting software is compared with manual documents used in factory accounts, security and quality inspection registers. Any type of fraud, error manipulation of data and information, unethical or illegal policies used if founded, actions are taken against these.

5-Corporate Social Responsibility-Activities In a world where people and communities are integral to the existence and development of a business, the importance of Corporate Social Responsibility (CSR) has soared in recent times.

However, many often, businesses still misunderstand its importance because they are ignorant about the values of CSR. Donating money isnt what Corporate Social Responsibility is about, contrary to what many corporate businesses believe. The values of Corporate Social Responsibility are centered on creating a socially and
environmentally conscious business. One major importance therefore, is that society and the

environment are not neglected. Another importance of Corporate Social Responsibility is that it maintains the profitability of your business. Gone are the days when it was believed that exploitation guarantees profit. Today, corporations understand that sustainability and development of a community is the source of greater earnings. Management of TAJ International (Pvt) limited is highly committed toward Corporate Social Responsibility (CSR). Donations are given to many NGOs and cash or materials are given to mosques which are under construction. Charities are given to poor people for marriage of girls and their childrens education. Zakat and Usher are regularly paid every year. Management of TAJ International (Pvt) limited also start employees benefits programs to help them to support their families. The values of Corporate Social Responsibility are integral not only in the sustainability and development of the environment and your business, but also in building trust among employees, suppliers, customers, and community members, and addressing the concerns of all stakeholders involved equally. This is one of the many focuses of CSR.

6-No Tax Default (Regular Tax Payer) Tax is paid for: To get maximum Social advantage The administrative system becomes efficient To contribute for the economic development It has built in flexibility To qualify for minimum aggregate sacrifice

TAJ International (Pvt) limited regularly pays income and sales tax. Management is highly committed toward taxpaying and employees are also asked to pay their taxes. It is strength of the firm that it has no tax defaults and it have very strong relationship with government and Federal Board of Revenues. Sales and income tax returns of firm are regularly filed on FBR site. Income tax returns of top managers are also filed and tax is paid regularly.

Weaknesses:

1-Manual Documentation Errors An error of commission is one where the person responds or does something where they should not. This is compared to an error of omission, where the person fails to respond or do something when they should. Wrong totaling, Recording with wrong amount, wrong posting are examples of errors of commission. Mistake committed while trying to fulfill the intention of the task. An original entry error occurs when an incorrect figure is recorded and posted. Calculation errors occur when you use incorrect totals. For instance, if you properly record transactions in a sales ledger but incorrectly total this and use the incorrect figure in the income statement, a calculation error has occurred. Errors of omission can be one of the more difficult errors to detect, since they involve failing to record a transaction partially or completely. An error of omission may be hard to detect because it could lead to a balanced accounting equation. 2-Less Educated and Experienced Staff Your competitive advantage is the accuracy in which you scan the macro environment and how you choose to articulate your life experience. Your ability to add value in an organization is to make wise decisions at the micro level (execution) that contribute to the brand and promise to the customers at the macro level (strategy). Vitality in your own well being will contribute to vitality in your decision-making capability and ultimately vitality in the business.

Coherent Change provides individual and organizational development to help you accomplish your goals for yourself or your organization. We support leaders who want their business to be based in a healthy organization, where people have meaningful jobs, can tell the truth, and grow

as human beings. We understand and use proven, data-based methods, enriched by our years of experience with transformational movement and personal awareness training. We offer individual executive coaching, management and product team development, strategic change planning, and work process design. We work with both organizations and individuals.

3-Wrong Usage of Resources Production equipment typically has a useful life of 10 years or more. Buying it uses limited financial capacity. A business owner may not be thrilled about replacing expensive and functional existing equipment. But only a portion of the expenditure can be recovered from selling it Over its lifetime, the costs of operating equipment are usually much more than the cost of buying it. If the equipment is old, it may require more operating labor and maintenance than a new model and it may not be very energy-efficient. Even though it may be in good condition and productive, your equipment may still represent a disadvantage if competitors are using newer technology that produces better output at lower cost. Or, if the competitors are still using old technology, perhaps you can gain an advantage by buying new equipment. If you have equipment that is idle most of the time, it is not providing a good return on the capital invested in it or the space used to accommodate it. New equipment with better capabilities might be used more and offer a better return. Disadvantage of this type of production is that... if we have some interruption in some operation then our production will b disturbed, so we have to consider an alternative to overcome this problem.

4-Firm without Clear Vision and Mission A vision is about creating a short statement that will guide you over the next 3 to 5 years. It should be specific enough to say something about what you will do and equally what you will not do. It should be capable of driving the organization to achieve a common goal, and be somewhat motivational so that you have a constant reminder of what you are trying to achieve when the going gets tough. A mission statement is a statement of the purpose of a, organization or person, its reason for existing. The mission statement should guide the actions of the organization, spell out its overall

goal, provide a path, and guide decision-making. It provides "the framework or context within which companys strategies are formulated." It's like a goal for what the wants to do for the world. It is a very strange thing for TAJ International (Pvt) limited that it has no clear vision and mission. Its very hard for the organizational members to understand and to work according to what vision and mission statements tells them. Management of the organization should communicate vision and mission of the organization with their employees and motivate them to work according to achieve the goals of the organization.

Opportunities:

1-Market Expansion The Market Expansion step is that period when a current markets, identifies untapped markets, and seeks opportunities for revenue growth through new market opportunities. The market expansion step will result in estimates for delivering new capabilities to current markets, and potential new markets for existing products. These estimates include alternative industries and geographic areas. Market Expansion also identifies alternative technology, additional uses for products, determines any changing market conditions, and measures relative costs for diversifying into targeted markets TAJ International (Pvt) limited has no marketing department. It is the weakness of the organization it can becomes a serious threat in the future because if organization has no marketing activities, then there is no more market share, market growth and no more potential buyers. To get a secure business future, TAJ International (Pvt) limited should avail this important opportunity and should develop new marketing strategies to get more market share and an increase in the number of customers. Tactics for Market Expansion include: Most companies have plans to grow their business and increase sales and profits. However, there are certain methods companies must use for implementing a growth strategy. The method a uses

to expand its business is largely contingent upon its financial situation, the competition and even government regulation. Some common growth strategies that the TAJ International (Pvt) limited can choose and implement include market penetration, market expansion, product expansion, diversification and acquisition. Market Penetration One growth strategy in business is market penetration. A uses a market penetration strategy when it decides to market existing products within the same market it has been using. The only way to grow using existing products and markets is to increase market share, according to the article "Growth Strategies" at gaebler.com. Market share is the percent of unit and dollar sales a holds within a certain market vs. all other competitors. One way to increase market share is by lowering prices. For example, in markets where there is little differentiation among products, a lower price may help an increase its share of the market. Market Expansion Growth Strategy A market expansion growth strategy, often called market development, entails selling current products in a new market. There several reasons why a may consider a market expansion strategy. First, the competition may be such that there is no room for growth within the current market. If a business does not find new markets for its products, it cannot increase sales or profits. It may also use a market expansion strategy if it finds new uses for its product. For example, a small soap distributor that sells to retail stores may discover that factory workers also use its product. Product Expansion It may also expand its product line or add new features to increase its sales and profits. When companies employ a product expansion strategy, also known as product development, they continue selling within the existing market. A product expansion growth strategy often works well when technology starts to change. It may also be forced to add new products as older ones become outmoded. Diversification

Growth strategies in business also include diversification, where a will sell new products to new markets. This type of strategy can be very risky. TAJ International (Pvt) limited will need to plan carefully when using a diversification growth strategy. Marketing research is essential because a will need to determine if consumers in the new market will potentially like the new products. Acquisition Growth strategies in business can also includes an acquisition. TAJ International (Pvt) limited may use this type of strategy to expand its product line and enter new markets. An acquisition growth strategy can be risky, but not as risky as a diversification strategy. One reason is that the products and market are already established. TAJ International (Pvt) limited must know exactly what it wants to achieve when using an acquisition strategy, mainly because of the significant investment required implementing it.

2-Production and Productivity Growth Productivity is the combination of intelligent planning and focused efforts. Staying productive at work or at home can be a challenge. Every time the work day ends, odds are that you are not satisfied with what you have accomplished. Productivity can be continuously improved, but here are some points that have really worked and Management of the TAJ International (Pvt) limited should communicate these points with employees and motivate them to improve their skills and to increase their productivity. a. Seek help / Delegate tasks accordingly Everybody needs help and should never take on large tasks alone. Two of the biggest barriers for getting help are trust and introversion. In order to get help from others, every employee needs to trust his/her colleagues in helping him/her to complete work. If employees tell their colleagues what the deadline is for the project, then they will likely take it very seriously. Make sure to give your colleague all of the resources that he or she needs such as relevant documents or spreadsheets in order to reach the best deliverable.

People are not going to volunteer in helping out so employees have to feel comfortable about asking for help. If employees are too introverted to ask for help, then employees will most likely be doing tasks on their own. Employees may also end up becoming somebody elses work-horse because they are too shy to speak up. b. Do not get sucked into unnecessary meetings Time is the most important currency in everyone life. While it may be tempting to meet with as many people for the benefit of networking, the time they get at their desk is extremely valuable. Knowing what meetings to refuse is very important. c. Create to-do lists One of the most satisfying aspects of creating a to-do list is crossing off things when they are done. It gives employees a sense of accomplishment and gives them a visualization of progress. When going through an annual review, the tasks that they have crossed off can be a great talking point for what they have accomplished. d. Take breaks If employees spend more than 8-10 hours at a desk and without moving around much, then they will notice that they have less energy. Productivity is not measured by the number of hours employees sit at a desk. It is measured by how much employees get done without sacrificing their health. One of the major reasons for obesity in the last 20 years is because of decreased levels of daily physical activities. Take a break and go for a daily walk. Drivers of productivity growth There is a general understanding of the main determinants or drivers of productivity growth. Certain factors are critical for determining productivity growth. The Office for National Statistics (UK) identifies five drivers that interact to underlie long-term productivity performance: investment, innovation, skills, enterprise and competition.

Investment is in physical capital machinery, equipment and buildings. The more capital workers have at their disposal, generally the better they are able to do their jobs, producing more and better quality output.

Innovation is the successful exploitation of new ideas. New ideas can take the form of new technologies, new products or new corporate structures and ways of working. Such innovations can boost productivity, for example as better equipment works faster and more efficiently, or better organization increases motivation at work.

Skills are defined as the quantity and quality of labor of different types available in an economy. Skills complement physical capital, and are needed to take advantage of investment in new technologies and organizational structures.

Enterprise is defined as the seizing of new business opportunities by both start-ups and existing firms. New enterprises compete with existing firms by new ideas and technologies increasing competition. Entrepreneurs are able to combine factors of production and new technologies forcing existing firms to adapt or exit the market.

Competition improves productivity by creating incentives to innovate and ensures that resources are allocated to the most efficient firms. It also forces existing firms to organize work more effectively through imitations of organizational structures and technology.

Other drivers of productivity growth include effective supervision and job satisfaction. Having an effective or knowledgeable supervisor (for example a supervisor who uses the Management by Objectives method) has an easier time motivating their employees to produce more in quantity and quality. An employee who has an effective supervisor, motivating them to be more productive is likely to experience a new level of job satisfaction thereby becoming a driver of productivity itself.

3-Continues Improvement A continual improvement process, also often called a continuous improvement

process (abbreviated as CIP or CI), is an ongoing effort to improve products, services, or processes. These efforts can seek "incremental" improvement over time or "breakthrough" improvement all at once. Delivery (customer valued) processes are constantly evaluated and improved in the light of their efficiency, effectiveness and flexibility.

TAJ International (Pvt) limited has opportunity to continually improve in production of products and in internal processes to give maximum benefits to customers and add value to get their loyalty. TAJ International (Pvt) limited can bring technological and infrastructural changes in production plants, production schedules, and information and communication system and in internal processes for documentation and analysis. Key features include:

Improvements are based on many, small changes rather than the radical changes that might arise from Research and Development

As the ideas come from the workers themselves, they are less likely to be radically different, and therefore easier to implement

Small improvements are less likely to require major capital investment than major process changes

The ideas come from the talents of the existing workforce, as opposed to using research, consultants or equipment any of which could be very expensive

All employees should continually be seeking ways to improve their own performance It helps encourage workers to take ownership for their work, and can help reinforce team working, thereby improving worker motivation.

The elements above are the more tactical elements of CIP. The more strategic elements include deciding how to increase the value of the delivery process output to the customer (effectiveness) and how much flexibility is valuable in the process to meet changing needs. Implementation Getting all workers involved requires training, as it is necessary to be able to distinguish between symptom and ailment so that workers try to solve the root causes of problems. Other widely used methods of continuous improvement such as Six Sigma, Lean, and Total Quality Management emphasize employee involvement and teamwork; measuring and systematizing processes; and reducing variation, defects and cycle times.

Threats

1-Environmental Pollution Pollution control is a term used in environmental management. It means the control of emissions and effluents into air, water or soil. Without pollution control, the waste products from consumption, heating, agriculture, mining, manufacturing, transportation and other human activities, whether they accumulate or disperse, will degrade the environment. In the hierarchy of controls, pollution prevention and waste minimization are more desirable than pollution control. In the field of land development, low impact development is a similar technique for the prevention of urban runoff. Practices

Recycling Reusing Waste minimization Mitigating Preventing

Pollution is the introduction of contaminants into the natural environment that causes adverse change. Pollution can take the form of chemical substances or energy, such as noise, heat or light. Pollutants, the components of pollution, can be either foreign substances/energies or naturally occurring contaminants TAJ International (Pvt) limited has many problems related to environmental pollution. Organization has suited against environmental pollution and currently has a case in the Environmental Court, Lahore. Organization is pressured by the residents near to factory area and they are showing demands. It will become a threatening situation for the firm if court give a decision against organization and then organization must has to make decisions that are not currently take place. Actually, TAJ International (Pvt) limited has no proper waste dispose system. Chemical liquid is generated during production and it disposed near to populated area. So, residents near to factory face some health problems and are pressuring the organization to develop a proper waste dispose

system. Different types of methods can be used if the organization wants handle this threatening situation.

Green Management From the angle of corporate sector, green management definitely related to the environmental policy establishment, which will enhance the corporate environment performance through application of green technology activities over continues basis to benefit both the internal as well as external stake holders. Green management measures such as certified environmental management systems (EMS) or tools like life cycle assessment activities are considered to improve corporate environmental performance directly by mandating companies to introduce environmental goals and management structures as well as programs to achieve them. A business functioning in a capacity where no negative impact is made on the local or global environment, the community, or the economy. A green business will also engage in forward-thinking policies for environmental concerns and policies affecting human rights.

Waste Management Waste Management is the collection, transport, processing or disposal, managing and monitoring of waste materials. The term usually relates to materials produced by human activity, and the process is generally undertaken to reduce their effect on health, the environment or aesthetics. Waste management is a distinct practice from recovery which focuses on delaying the rate of consumption of natural resources. All waste materials, whether they are solid or liquid and gaseous or radioactive fall within the remit of waste management. Waste management practices can differ for developed and developing nations, for urban and rural, and for residential and industrial producers. Management of non-hazardous

waste residential and institutional waste in metropolitan areas is usually the responsibility of local authorities, while management for non-hazardous commercial and industrial is usually the responsibility of the generator subject to local, national or international authorities.

Avoidance and Reduction Methods An important method of waste management is the prevention of waste material being created, also known as waste reduction. Methods of avoidance include reuse of second-hand products, repairing broken items instead of buying new, designing products to be refillable or reusable (such as cotton instead of plastic shopping bags), encouraging consumers to avoid using disposable products (such as disposable cutlery), removing any food/liquid remains from cans, packaging and designing products that use less material to achieve the same purpose (for example, light weighting of beverage cans. Recycling Recycling is a resource recovery practice that refers to the collection and reuse of waste materials such as empty beverage containers. The materials from which the items are made can be reprocessed into new products. Material for recycling may be collected separately from general waste using dedicated bins and collection vehicles are sorted directly from mixed waste streams and are known as kerb-side recycling, it requires the owner of the waste to separate it into various different bins (typically wheelie bins) prior to its collection. The most common consumer products recycled include aluminum such as beverage cans, copper such as wire, steel food and aerosol cans, old steel furnishings or equipment, polyethylene and PET bottles, glass bottles and jars, paperboard cartons, newspapers, magazines and light paper, and corrugated fiberboard boxes Due to its chemical composition, waste sludge generated in the paper industry may be used as a raw material for brick production. Brick manufacture is limited to the warmer months of the year whereas sludge is produced continuously by different effluent treatment devices. Therefore, it has to be stored until further processing. For this reason, it is essential that it is not subject to significant chemical and microbiological decomposition during storage.

How Businesses Affect the Environment The place employees works can affect the environment either positively or negatively to a very large degree. How eco-friendly employer is when it comes to using energy to heat and cool the

building, to bring products into it, and to remove waste from it has a major impact on employees community and the planet. Many people may be surprised by some specific examples of ways the working world damages the environment:

Heating and air conditioning systems pump greenhouse gas emissions from offices into the atmosphere and use up vast amounts of electricity. Many buildings arent designed to include energy-efficient systems or technology to reduce the amount of heat and air conditioning they use.

Many buildings are built from materials that dont come from renewable sources. Office buildings have a huge appetite for electricity to power lighting, air conditioning, computers, printers, and photocopiers. Equipment may be left on 24 hours a day, seven days a week even when no ones working.

Offices consume vast amounts of paper. Even with more offices recycling paper, a large amount of paper waste still goes to landfill sites or incinerators.

In addition to paper, offices produce a lot of other waste, including equipment (especially computers), because companies regularly upgrade their equipment to stay competitive. Electronics such as photocopiers and computers can end up in landfills, where they dont break down and, even worse, can leach harmful chemicals into the ground and water.

Rush-hour traffic jams in towns and cities are full of people trying to get to work wasting time and polluting the atmosphere.

Competitor Analysis

Competitor analysis Competitor analysis in marketing and strategic management is an assessment of the strengths and weaknesses of current and potential competitors. This analysis provides both an offensive and defensive strategic context to identify opportunities and threats. Profiling coalesces all of the relevant sources of competitor analysis into one framework in the support of efficient and effective strategy formulation, implementation, monitoring and adjustment. Competitor analysis is an essential component of corporate strategy. It is argued that most firms do not conduct this type of analysis systematically enough. Instead, many enterprises operate on what is called informal impressions, conjectures, and intuition gained through the tidbits of information about competitors every manager continually receives. As a result, traditional environmental scanning places many firms at risk of dangerous competitive blind spots due to a lack of robust competitor analysis. Competitors: Century paper mills ltd Flying Paper and Board Products ltd Malik Paper and Board Mills (Pvt) ltd (Competitor A) (Competitor B) (Competitor C)

Following are main competitors of Taj International (Pvt) Ltd and their operations.

Century Paper & Board Mills Ltd Century Paper & Board Mills Limited (CPBM), established in 1984, was listed at the Karachi Stock Exchange in 1990 as a flagship of the Lakson Group. It has manifested itself as a Quality Producer of Packaging Paperboard and has attained a position of Preferred Supplier among its Customers. The maintains Strategic Business Relationships with leading Packaging and Converting organizations Located at 62 KM, Lahore Multan Highway N-5, Distt. Kasur, they maintain a fully integrated Pulp and Paper Mill with all the necessary support systems. CPBM is

managed by a competent team of professionals in all the relevant fields like Process &Paper Technology, Engineering, Finance and Business Management as well as Human Resource. More than 60 Engineers of different disciplines are currently working at its Mills with well-trained subsequent tiers of supervisors and operators. Human resource asset comprises of 1600+personnel.

Operations Century is a leading manufacturer of quality Paper and Board with a total rated installed capacity of 230,000 tons per annum. The product mix includes Writing & Printing Paper, Poster Paper, both coated and Un-Coated Board in various gram mages, sizes and form. The Mills comprises of 7 Paper and Board Machines out of which PM-3 & PM-6 are designated for paper production whereas PM-1, 4, and 7 are essentially Board production machines with both off-line and on-line coating facilities. The latest addition being the state of the art, environment friendly machine PM-7 based on recycled fiber, capable of producing 130,000 Tons/annum of premium quality Coated Packaging. Board was commissioned in 2008.The Mills also includes a Box Plant having a corrugation facility capable of an output in excess of 30 million M sheets and 60 Million of corrugated containers of various sizes and weights, with up to 3-colour printing. The corrugation facility shall be doubled in the first half of the current year 2009.PM-2 and 5 are exclusively engaged in producing quality liner and fluting papers.

Flying board and paper products ltd Flying paper industries Ltd was formed in 1983 as a flagship of Flying Group of Industries. It has manifested itself as quality producer of paper. We have strategic business relationships with leading Paper industries. Flying Paper Industries Ltd. has integrated pulp & paper mills based on local wheat straw. Flying Paper Industries is managed by a team of professionals which comprises process & paper Technologists, Engineers, Chartered Accountants, Cost & Management accountants, MBAs ,and Administration & Human Resource specialists. More than 20 Engineers of different technologies are currently working at Mills with well-trained supervisors and operators. Total strength of Flying Paper Industries Ltd is 900 employees. It has an annual production capacity of Flying Board & Paper Products ltd is associated of Flying

Group of Industries Incorporated in 1988. It has manifested itself as quality producer of writing/printing paper. We have strategic business relationships with the leading Paper industries. Flying Board& Paper Products ltd has integrated pulp & paper mills based on local wheat straw. The main plant & machinery has been supplied by Tae Kwang (Korea). The mills are situated at 26km Lahore Sheikhupura Road, Sheikhupura and came into commercial production in 1990. Malik Paper and Board Mill (Pvt) Ltd Malik Board & Paper (Pvt) Ltd is one of the Paper & Paper Board Mfr. in Lahore, Punjab, located in 119/1-D Block, Model Town. It was incorporated in 1989. It has 4 production plants which mainly produce paper and paper boards products. Malik Paper and Board mill (Pvt) Ltd is the main competitor of Taj International (Pvt) Ltd in the paper and board industry. It has an annual production capacity of 40,000 metric tons. It has an annual sales volume of 35,000 metric tons. Total no. of employees is 215, who have better skills and knowledge of work. It has 23 years industry experience in the industry with products verity and potential market growth with focus on continues improvement. Ethics are highly followed by member of the organization and it also involves in corporate social responsible activities.

Main points for Competitors Analysis: Sales volume Production capacity Industry experience Products variety Marketing growth Profits Continues improvement Ethics and CSR No. of customers No. of employees

Competitors Analysis Characteristics Annual Volume Annual Production Industry Experience Products Variety Market Growth Profits Focus Continues Improvement Ethics and CSR Number customers No. Employees of 250 1,638 900 235 Good Best Very Large Better Large Good Small Potential Good on Average Attractive Best Very strong Potential Better Strong Potential Good Average Better Best Better Good Sales 30,000 tons 36000 tons 24 Years Competitor A metric 150,000 tons metric 175000 tons 30 Years Competitor B Competitor C metric

metric 87,000 tons metric 95,500 tons 30 Years

metric 35,000 tons metric 40,000 tons 23 Years

metric

of Small

Conclusion Century Paper and Board Mills Ltd is the big player of the industry and having a control over the industry major market share and growth. For Taj International (Pvt) Ltd its very hard to compete with Century Paper and Board Mills Ltd just because it has small no. of customers and low production capacity with small no. of employees. But through continues improvement strategy

and focusing on customers it can compete with Flying Paper and Board Product Ltd and take the position in 10 to 15 years progress. Malik Paper and Board Mills (Pvt) Ltd is real competitor of the. So it should take actions to better serve the market with focusing on both current and new customers. If the will do not focus on its competitors actions in future it will have to suffer for that.