A PROJECT OF STRATEGIC MANAGEMENT ON

SPORTS INDUSTRY OF PAKIKSTAN

&
(SPRY SPORT’S CORPORATION)

PREPARED BY:
Asad Mehmood
(181210001)
MASTER’S OF BUSINESS ADMINISTRATION
In
DEPARTMENT OF MANAGEMENT SCIENCES
GIFT UNIVERSITY GUJRANWALA

SUBMITTED TO:
Sir Suleman Anwar
 DEDICATION
At first, dedicating this work to ALMIGHTY ALLAH, without his mercy and sympathy I
was not able to accomplish this work, ALMIGHTY ALLAH gave me power and confidence
to done my internship and also HOLY PROPHET HAZRAT MUHAMMAD (Peace Be upon
Him) who is a light for humanity. In addition, I also dedicate this work to my beloved Parents
and my Teachers, they guide me and show their confidence on me and realizes me that I am
capable of doing this work, I also dedicate my work to all my friends who help me to perform
this work. May ALLAH bless all of them.

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 ACKNOWLEDGEMENT
All praise to ALMIGHTY ALLAH alone, the Omnipresent and the most Merciful and
compassionate. The words are bound, knowledge is limited and time is short to express His
dignity. It is one of infinite blessings of ALLAH that he best owed me with the potential and
ability to contribution towards the deep oceans of knowledge already existing. I pay hum-age
to greatest personality of the universe; HOLY PROPHET HAZARAT MUHAMMAD
(PBUH) Who is forever torch bearer and spring of guidance in every sphere of life. I am
deeply indebted and also express my gratitude to my respected teacher Sir. Suleman Anwar
for their support.

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 Table of Contents
Chapter’s Page#
CORPORATE STATEMENTS..............................................................................................5
Vision Statement.......................................................................................................................5
Mission Statement....................................................................................................................5
OUR VALUES..........................................................................................................................5
OBJECTIVE.............................................................................................................................5
Environmental Analysis:.........................................................................................................6
PESTEL ANALYSIS...............................................................................................................8
PEST impact Matrix:.............................................................................................................16
PORTER FIVE FORCES ANALYSIS................................................................................20
Porter impact Matrix:............................................................................................................24
INTERNAL AUDIT OF SPRY SPORTS............................................................................25
Cultural Audit........................................................................................................................25
Management Functions of SPRY SPORT’S........................................................................27
FUNCTIONAL AUDIT OF SPRY SPORTS......................................................................31
FINANCIAL AUDIT.............................................................................................................34
OPERATIONAL AUDIT......................................................................................................35
Research and Development audit.........................................................................................36
MANAGEMENT INFORMATION SYSTEM AUDIT.....................................................37
VALUE CHAIN AUDIT OF SPRY SPORTS.....................................................................39
THOMSON AND STRICKLAND 7 QUESTIONS SERIES.............................................50
JOHNSON AND SCHOLES METHOD..............................................................................55
METHODOLOGY.................................................................................................................56

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 CORPORATE STATEMENTS

Vision Statement
Spry sport vision is to be the industry’s leading sport company by providing authentic
brands that inspire the achievements of athletes and make them feel happy & enjoy.

Mission Statement
SPRY Sports Mission is to promote the enjoyment of sport for a long time, we focus on
consumer experience and inspire the core values of discipline, teamwork, and safety.
SPRY Sports mission is to provide every Athlete with the World best sports Equipment’s.

OUR VALUES
Our shared values support and guide our operations around the world. Success in competition
requires the determination to win, team spirit, fair play and innovation.

Determined to win
Strong performance is our core value. The determination to win, encourages a strong work
ethic and high-level performance.

Team spirit
We believe in team spirit and teamwork. We want our team to consist of strong individuals
who support our common goals.

Fair play
We play by the rules and we recognize and seek to eliminate our faults.

Innovation
The requirement for development is innovation, and the prime mover for innovation is to
always question the way we do things.

OBJECTIVE
To communicate effectively with Employee’s, external stakeholders, key providers and the
general public.

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Environmental Analysis:
Sports industry faces many uplifts and down lifts over the past twenty years due to changing
in external forces. If we consider the process of sports industry communication in 1990 and
compare it with 2018, then sports industry had lack of advanced technology but in 2018
sports industry use advance level technology to introduce their products. Technology has
made communication between the sports organization and their customers, members, and
stakeholders easier over time. The need for sport industry to understand and analyses the
potential impacts and opportunities of these external forces is vital and should be carried out
in a systematic and logical process.
The first step we will use to collect information and to analyses it on the various aspect of
sport industry environment is PESTEL Analysis. PESTEL analysis consists upon political,
economic, socio-cultural, technological, environmental/ethical, and legal/regulatory
environments.

External Environment of the Sports industry

Political

Ecological/ Ethical
The External Environment

The Sport
Socio-Cultural
Industry

Economic

Technological
Legal / Regulatory

The External Environment

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The Political environment is characterised by the ideology of the party in
power and the Level of government. The Economic environment is dependent
on macro- and micro-economic conditions that pervade industry and the region
in which industry is operate. The socio-cultural environment is influenced by
shifts in society and consumer tastes as well as being characterised by cultural
differences and their impact on the marketing process. Following on is the
Technological environment which is one of the most revolutionary and rapidly
expanding influences over the past twenty years. It is the impact of technology
on the operations of the sport and the impact of technology on the ability of the
sport industry to carry out its activities.

As capital and investment decisions are now made on global scales the level of
social intervention into these decisions is limited. From this the development of
environmental and ethical awareness in consumers is growing. Impacts and
decisions made in one area of the planet can have information for society in
another. These considerations are considered in the section on the
Ecological/ethical environment.

Role of regulatory authorities is very vital in the growth of sports goods

industry, Pakistan sports goods manufacturers and exporters association
(PSGMEA) is playing their role in the improvement and growth of the
industry.

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 PESTEL ANALYSIS
Political Environment:
An environment in which a sports industry operates. This environment describes the political
landscapes and structures that a sports organisation operates within. (Henry, 2001) concluded
that a more centralised govt with a compromised view play a major role in development of
industries.

Import Tariff (Source: TDAP report):

Sports goods from Pakistan are GSP Plus covered items and face no duty. Whereas, other
countries face duty ranging from 3.7% to 2.7 % and there is no duty on cricket equipment.

Govt regulation’s:
The global requirement of sports products is increasing day by day, to meet the threats and to
fulfil the demand for sports product, The Sialkot chamber of commerce under his authority
establish the Sports Industry Development Trust (SIDT), The activity, being coordinated by
the United Nations Industrial Development Organization (UNIDO), aims at upgrading the
industry.
Sports Industries Development Centre (SIDC) will be responsible in producing the 3500
footballs per day in starting.
In the second phase, it will provide machinery installation consultancy as well as manpower
training to those who wish to have independent units on their respective premises. Sialkot
Business and Commerce Centre is the second of the three projects in the pipeline. Half of its
cost has been borne by the Sialkot Chamber of Commerce and Industry while SMEDA is
taking care of the rest of the project that involves a display Centre, exhibitions halls as well as
business incubation facilities for the small stakeholders.

Import-Export regulation:
The main requirements and custom procedures to import-export sports goods:
a. Terms of payment and terms of delivery: have to be agreed between overseas buyers along
with other terms and conditions, in order to receive the export order followed by the purchase
order.
b. After quality check (QC), proper packing: has to be arranged with Palletization or Crating
if required. Type of container is decided if export shipment of sports goods is on FCL basis,
otherwise LCL if mode of shipment of sports goods is by sea.
c. Export invoice, export packing list, certificate of origin (GSP – Generalized System of
Preference) and other documents: have to be prepared, based on the purchased order to export
sports goods.

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d. Unilateral trade agreement, multilateral trade agreement or bilateral trade agreement:
which simplifies documentation and other formalities and process for export of sports goods
between countries.

Legal/Regulatory Environment
The final environmental force impacting upon the sports marketer is a combination of laws
and regulations that may arise from legislators or governing associations. When examining
legal considerations, the sports industry is usually subject to act within the law, as specified
by legislation, and within codes of practice for a collection of organisations. Governments,
trade associations, peak agencies, or the operating procedures of the organisation itself
generally impose regulations on sports organisations.
Role of regulatory authorities is very vital in the growth of sports goods industry, Pakistan
sports goods manufacturers and exporters association (PSGMEA) is playing their role in the
improvement and growth of the industry.

Environment Protection Laws:

The Pakistan Environmental Protection Act 1997 was passed by the National Assembly of
Pakistan on September 3, 1997, and by the Senate of Pakistan on November 7, 1997. The Act
received the assent of the President of Pakistan on December 3, 1997. The purpose was to
save public health and restrict companies to avoid pollution.

Govt Regulation (source: Sialkot chamber of commerce)

One of the most key issues of the industry is indeed the application of Infrastructure
Development Cess being imposed by the Provincial Governments of Punjab & Sindh. Most
of the SME based Export industry needs to import raw materials from abroad to reprocess it
and to export it back after essential value addition. However, the application of Infrastructure
Development Cess by the Provincial Governments of Punjab and Sindh has added to the
troubles of the exporters who have to temporarily import required raw materials. Sindh
Government has imposed Infrastructure Development Cess @ 1.05 % whereas most
unexpectedly, Punjab has also imposed Infrastructure Development Cess @ 0.90% which has
further added to the troubles of Export Sector imposing an extra financial burden. Application
of such levies on imports is increasing the costs of production for the Exporters, making it
difficult to compete in the International Markets.

Changing in tax Laws (source: FBR):

Rates of deduction/collection of tax at source Sale of goods (general rate) – where the
payment is being made to a company being a – filer 4% – non-filer 7%.
Corporate tax rates for companies:
Small company 25% of taxable income
Public company/private company 30% of taxable income
Tax rate for foreign direct investment in industrial undertakings by companies 0% of taxable
income.

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Economic Environment
Another External factor that has distinct influence on sports marketing is the economic
environment. The economic environment consists of two spheres, the first is the macro-
environment which is the term that focuses the on interactions of the wider economy as a
whole. This consists of a range of economic terms that can be, or are affected, by a wide
variety of influences. Alternatively, the micro-economic environment is focused on the
individual decisions made by managers and the structure of the organisations in an industry.
In the case of environmental scanning it is the macro-economic environment and its
components will determine the strength of this environmental force.
The concept of free-market trading has been adopted by a number of countries that believe in
the ability of the market to provide goods and services at a fair price for consumers. This has
led to the adoption of certain economic policies at a national and regional level, like the free-
flow of international capital and resources, that are impacting globally. The business cycle is
an important indicator of macroeconomic health and cycles such as recession (trough) and
boom (peak) can determine the range and type of marketing strategies employed by sports
organisations. These cycles affect the levels of consumer demand, which describes how
willing they are to purchase sporting goods and services. In periods of positive economic
growth organisations and consumers have confidence in the positive aspects of the economic
environment and are therefore prepared to spend and invest. Alternatively, in the periods of
recession consumers are more concerned with saving due to levels of economic uncertainty.

Exports:
Pakistan Exports of Toys, games, sports requisites were US$205.07 Million during 2017,
according to the United Nations COMTRADE database on international trade.

Per capita income (source: trading economics)

The Gross Domestic Product per capita in Pakistan was last recorded at 1222.52 US dollars in
2017. The GDP per Capita in Pakistan is equivalent to 10 percent of the world's average.
GDP per capita in Pakistan averaged 712.59 USD from 1960 until 2017, reaching an all-time
high of 1222.52 USD in 2017 and a record low of 304.70 USD in 1960. As the country is
moving toward developing and connecting with other countries the per capita income will be
increase.

Interest rates (source: trading economics)

The State Bank of Pakistan raised its benchmark policy rate by 150bps to 10 percent on 30th
November, citing rising inflation and large twin deficits. It was the fifth rate hike this year,
bringing borrowing costs to the highest in six years.

Inflation rates (source: economy Statista)

The Financial account balance improved by 68 percent during Jul-Apr, FY2017 and reached
$ 5.428 billion compared to $ 3.228 billion in the previous year due to the increased FDI
inflows by 12.75 percent and positive net Foreign Portfolio Investment receipts. Inflation was
contained at 2.86 percent in FY 2016 which is the lowest in 47 years. On average, CPI
inflation stood at 4.09 percent during Jul-Apr, FY 2017 against 2.79 percent in the same

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period of FY2016 due to the increase in aggregate demand and a trend-reversal in global
commodity prices. However, YoY it increased by 4.8 percent in April 2017 compared to 4.2
percent in April 2016. But the inflation rate will remain significantly below the target of 6
percent.

Money market rate:

Money market rate highly effected to any industry. Exporters get a low profit while selling
off their product. E.g. a dollar in 2014 worth Rs.100 but a dollar in 2018 worth Rs. 140.

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Socio-Cultural Environment
Every organization must take into consideration the various beliefs and differences between
their members and potential members. Differences along geographical, cultural, societal and
ethical lines act to increase the changing composition and nature of this environment.

Social welfare programme (source: Sialkot chamber of commerce):

Establishment of CSDO is one of the role model initiatives of the Sialkot Chamber of
Commerce & Industry. This is an autonomous non-profit organization acting as a social wing
of this Chamber established as an outcome of the Atlanta Agreement signed in 1997. CSDO
has been fully facilitating SCCI and member companies to manage Child Labor Elimination
Programmed in the Soccer Ball Industry of Sialkot. The purpose of it to provide:
Free of cost education to more than 3000 under privileged children was provided in
collaboration with EVS Department of the Punjab Education Foundation (PEF).

Attitudes toward business (source: TDAP):

Non-compliance with strict international standards for product quality, workplace, labor
safety, gender discrimination and environmental protection, etc. (The investment and cost
needed to comply with these standards is hard to be managed by small players).

Social responsibility (source: Sialkot chamber of commerce)

1. KHUDKIFALAT ROZGAR TRUST
“Khud Kifalat Rozgar Trust, Sialkot” is a project initiated by the Sialkot Chamber through
philanthropic business community of Sialkot aimed to promote well-being of the poor and the
needy. The rationale of the project is to provide financial assistance to the people with limited
financial resources to help them generate employment or business opportunities for
themselves. The financial assistance is being provided in the form of interest free loans
(Qarz-e-Hasna) to be paid back to Trust in pre-agreed installments.
2. Moving leather factories to outside the city and construction of hospital etc.

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Technological Environment
The technological environment is probably the most dynamic and uncertain environmental
forces that face by the sports industry. Technology influences our daily activities and
although the rate of change of this force has increased, in the last-twenty years it has been
ever-present since the industrial revolution. Technology impacts on the ability of the sports
manager to operate and administer their sport products. Technology that has increased the
performance of sport products and technology that allows for more effective administration
are two separate areas.
Sport industry have used developments in technology to improve their ability to market and
administer their product-offerings and extensions. The use of communications technology has
allowed sports organisations to communicate with members separated by geographical
distances.
The use of the Internet has allowed sports organisations of any size to have a global presence.
This alone allows organisations to create a virtual on-line environment that lets them
communicate with members and potential customers, receive feedback, post discussion and
news items, watch broadcasts, market merchandise and earn advertising income if they are
able to attract sponsors to the site.

Series of webinars/training workshops in collaboration with the US

embassy Islamabad & other partners (source: Sialkot chamber of
commerce):
Sialkot Chamber has a special focus towards training and development of new entrepreneurs
and small businesses. It is our foremost priority to nurture the businesses of future and to
cultivate the best practices in the aspiring entrepreneurs. This year, we arranged number of
key workshops, seminars, and webinars in collaboration with key partners including the
United States Embassy, SABIT, SMEDA, PCSIR, and others.

PM incentive program:
The Prime Minister’s 180 (B) incentive package for export sector announced on the strong
demand of the trade bodies was welcomed and lauded by the Sialkot Chamber of Commerce
& Industry. The package was announced to strengthen country’s economy by increasing
exports and creating employment. However, there were some reservations in the program
after its announcement and same were taken up with Ministry of Commerce & Prime
Minister Secretariat in the best manner.

Formation of Youth Committee:

In our minds, youth stands for dreams, innovation, and new opportunities - or simply put, the
future. Yet too many of these brilliant minds are not being utilized as per potential. Sialkot
Chamber of Commerce & Industry has always strived to include new and bright minds in its
activities be it the Executive Committee or members of several Departmental Committees.

Development of new accounting software:

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Application of latest Information Technology practices is imperative for the efficient
functioning of any organization. Today, updated database management systems are being
utilized all around the globe with data systems like ORACLE and SAP.

Development of SCCI documentary:

With time, the Industry of Sialkot has diversified and entered into several new product lines
opening new avenues of trade. Presently, there are over 30 types of product lines which are
being produced in Sialkot but haven’t been acknowledged at any forum before. Apart from
diversification, there are several new projects that have been initiated by the Sialkot’s
business community. To address the issue, development of new SCCI’s Documentary was
completed this year which serves as a holistic presentation of Sialkot and its Industrial
Dynamism.

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Ecological/Ethical Environment
The ecological and ethical environments have emerged since the early 1990’s and are
concerned with the interaction of consumers and organisations with the natural and ethical
environments. The development of this force has grown from an increase in human
consciousness about the importance of how our actions can impact upon interrelated
environments, such as the ones discussed so far. Major issues such as global warming,
ethical consumerism and sustainable development have arisen from outside the sport
industry.
The use of cheap labour to manufacture sports goods has an impact on the purchasing
decisions of sport shoe and sports-wear consumers. Companies such as Nike have come
under scrutiny for their outsourcing practices in South-East Asia and Central America. Nike
has been required to produce materials explaining the details of their policies in these regions
and the organisation has commissioned research to investigate these issues further.

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 PEST impact Matrix:
Nature of Impact of Opportunity Threa Strategic
change change t Response

Political & legal

change

-import tariff Increase in Large market Quality

exports share  maintain/improve
ment

-govt SMEDA & Helps to 

Regulation SIDT fulfil Increase in
demand production

Procedure Eliminate
-imp. &expo. of import, fear of fraud 
Regulations export for both
parties Meet international
standard for
import & export

-tax law Rise in tax Increase in 

rate cost
Economy of scale
Economic
Change

-Exports Decrease in Decline in Adopt new

exports income  techniques to
Increase per Increase in fulfil international
-per capita capita purchasing demand
income income power Increase sale in
 local level
Rise in Increase the
-interest rate & interest rate cost and
inflation rate decline in  Eliminate non
investment value-added
process
Deficiency Lower

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-money market in currency profits
rate

Increase sale at
national level
Social change Interact Increase Exhibition of
with Local local  products at public
(country products place
made) demand at
products local level

khudkifalat Investment
rozgar trust opportunity Increase in 
Maintain quality
sports standards for
product to national and
fulfil the international
international buyers
requirement
Technological Increase in Lower the Invest and acquire
Change productivity production  the technology
& Economy and error
of scale cost

Polish the
webinar/trainin new minds 
g workshops through Improvement Install new
technology in product technology and
through fulfil production
technology order & achieve
economy of scale

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Sports Industry Porter Five Force’s analysis:
Porter Five Forces Analysis is a strategic management tool to analyze industry and
understand underlying levers of profitability in a given industry. Sports industry can
use Porter Five Forces to understand how the five competitive forces influence
profitability and develop a strategy for enhancing Sports competitive advantage and
long-term profitability in industry.
What is Porter Five (5) Forces?
In his revolutionary article in Harvard Business Review (HBR) - "Five Forces that
Shape Strategy", Michael Porter observed five forces that have significant impact on a
firm's profitability in its industry. These five forces analysis today in business world is
also known as -Porter Five Forces Analysis. The Porter Five (5) Forces are -
 Threat of New Entrants
 Bargaining Power of Suppliers
 Bargaining Power of Buyers
 Threat from Substitute Products
 Rivalry among the existing players.

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 PORTER FIVE FORCES ANALYSIS
Threat of New Entrants:
The easier it is for new companies to enter the industry, the more competition there will be.
Factors that can limit the threat of new entrants are known as barriers to entry. Some of the
barriers to entry in this industry is discussed below:

High Fixed
Cost

Barriers to Pakistan
Perfect Entry in Sialkot
Economic
Competition Sports
Industry Situation

Energy
Crises

Perfect Competition: (Sources IBEX)

It is a highly competitive industry to enter for new entrepreneurs.  A new investor can easily
be forced out even with his huge investment. A person must have extensive market
knowledge about the prices of different products at different places and should have good
contacts or resources in the Chinese market. There is less threat of new entrant because the
industry is already going in the perfect competition so the survival of new company in the
industry is very difficult so that’s why nobody will be come with a heavy investment in the
industry.

Pakistan Economic Situation:

Table 2. GDP growth rate of Pakistan. (Source’s: Asian Development Bank)

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 Table 3. GDP growth rate of Pakistan as compare to other South Asian Countries.
(Source’s: Asian Development Bank):

Situation of Pakistan’s Economy is very serious. ADB rank Pakistan economy as sixth due to
low GDP, even Bangladesh economy growth is higher than Pakistan. The prices of
everything are so high because the price of Dollar is increasing day by day, and Rupees is
depreciated day by day.

Energy Crises. (Sources: Chamber of Commerce)

Energy crisis is another factor that impedes the growth of all industries to a large extent. The
national energy policy should define parameters to remit dedicated energy to the industrial
sectors for smooth transition of operations. Sialkot’s daily energy requirement hover around
180 MW whereas the supply is approximately 110 MW, leaving a shortage of 70 MW. The
city’s industrial sector is willing to invest in power projects which can produce 75 MW
electricity but Government policies are not favorable as they restrict the private sector to use
only 5 MW of their production capacity. Market is already in competition so nobody can’t
take risk.

High Fixed Cost. (Sources: Chamber of Commerce)

Huge capital is needed to be invested in order to come in this industry due to purchasing of
costly machinery. Fluctuation in rates of different goods and facilities which decreases the
consistency of FOH cost (Factory Overhead Cost) e.g. electricity rates, transportation fairs
and petrol prices etc. because of this persisting issue our businessmen are unable to make
long-term dealings with global businesses. So, there are less chances for new entrants to
come in this industry due to high initial investment.

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Capital requirement. (Sources: IBEX)
If a person wants to start a business in the sports industry, a market survey is a pre- requisite.
Visiting different wholesalers and factories is essential to analyze the quality of products and
also to acquire the minimum possible prices from the wholesalers. To start a normal shop, an
investor must have an initial investment of approximately Rs.1 crore for the sports
merchandize, in addition to the shop rent which varies from place to place.

Bargaining Power of Buyers

Bargaining power of buyers means how much buyer or customer is responsible for gain of a
business or how much business is depended on a customer or group of customers there are
common two type of buyers in Sialkot Sports Industry, one of them is International Buyers
and other one is National Buyers (Exports):

Sialkot Sports
Industry
Buyers

International
National Buyers
Buyers
(Exports)

More
Less Bargaining
Bargaining
Power
Power

International Buyers (Exports):

The international buyer has more bargaining power than national buyers because most of
sports goods are exported outside the country and most of the profit of the industry is
depended upon exports. If we lose international buyers, we will lose most of the profits
because international buyers also have options of buying from another seller around the
world.

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Bargaining Power of Suppliers
If the industry has only one major supplier and no available alternatives, the supplier has
great bargaining power. There are many suppliers of Sialkot Sports Industry located in
Pakistan which provides raw material to the industry like wood, leather and yarn.

Suppliers of Sports
industry

Large in Quantity

Less Bargaining
Power

So, the industry can switch from one supplier to another supplier easily. Thus the bargaining
power of supplier is very low because industry is not depended upon one or few supplier.

Threat of Substitute
A common substitute of physical game is computer game. The demand for sports goods can
be affected by computer game due to change in trend of the people i.e. switching form
physical games to computer games. Industry is growing day by day and this substitute has
following sub categories:
 Online Games
 Downloadable computer game / built in games in computers
 Pack of fully upgraded / full version games in CD’s

Industry Rivalry
Sports Industry of Pakistan is in a perfect competition. Because so many Competitors, Buyers
and Suppliers are in the Industry and they are adopting the new strategies, they are adopting
the new technologies for the competition because if any company provide the best quality of
product, that will lead in the Industry. Actually, all these things like, quality, time of delivery
etc. are developed the Brand Name and if any company has a strong Brand Name that can be
cash their Name.
After the Porter’s Five Forces Analysis, the Industry is attractive for international buyers
because they have high bargaining power as the major source of revenue for Sialkot sports
industry is exports. Pakistan is earning any foreign currency through export of sport goods.
Export of these goods can be expanding to different countries. The Bargaining power of
suppliers is very low which means that this industry can get less expensive and on time raw
material which leads to low cost strategy. Thus, this is an industry in which the average sports
firm can expect to earn an attractive return over the long run.

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 Porter impact Matrix:

Porter five forces High Moderate low

Competitive intensity 
Bargaining power of Supplier 
Bargaining power of buyer 
Threat of new Entrants 
Threat of Substitutes 

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 INTERNAL AUDIT OF SPRY SPORTS
Cultural Audit
A cultural audit involves the study and examination of an organization’s cultural
characteristics (such as its assumptions, norms, values, relationships, leadership style,
communication practices, recruitment and evaluation practices, measurements) to determine
whether they hinder or support its purpose.
Every organization develop and maintain a culture within which the employees and all stakes
have to be performed.

 Power Structure of SPRY sport:

There is a power Gap between all department. It means which employee reports to which
department manager. The manager can make decision about little fair. The main authority is
in the hand of CEO of SPRY sports.

 Daily routine:
Daily routine of SPRY sports includes working hours for labor and their lunch or break time.
Mostly the timing is same as usual.
Opening and closing time
Sunday Closed
Monday 8am–5pm
Tuesday 8am–5pm
Wednesday 8am–5pm
Thursday 8am–5pm
Friday 8am–5pm
Saturday 8am–5pm

 Rituals:
Rituals at the office can help to establish team unity, allow employees to feel appreciated, and
offer a more enjoyable workplace experience. Some rituals encourage employees to better
perform for company. SPRY sport conducted such activities like, traveling package, bonus,
and performance awards. SPRY sports increase the salary at 4 to 7% percent yearly.

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  Control System
Control system includes internal rules and regulations of a firm. SPRY sports rules and
regulation are designed in well way to better understand for all employees. Top management
has designed these rules and everyone will have to follow. Some rules are following:
 Salary will count according per piece of product prepared.
 A reasonable leave will be acceptable.
 On the end of the day or after working hours, each employee’s checking will
be compulsory.
 If the employee is permanent then he can off only 3 to 4 days in month but
before leave he has to report a leave application.
 Stories of SPRY sports
SPRY sport is well known company in our area. It has many success stories. It has achieved
and win many FIFA world cup orders due to quality sport products. Its an edge for them in
sports manufacturing.

 Physical symbols of SPRY sports

Physical outlook of SPRY sport is eye catching and attractive. As it has display centers at
many places in Sialkot and at factory area. Outer representation and inner representation both
are attractive that’s a good sign for company and its an opportunity for company.

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 Management Functions of SPRY SPORT’S

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Planning
Planning is the most important process within the function of management and typically it is
the starting point of management process. Peoples working for organization need goals and
objectives as well as plan by which they will achieve their goals and objectives.
The Managers of spry sports will be held responsible for activities and planning within the
company to achieve their goals and objectives.
In planning the sports manager will:
 Identify the desired outcome.
 Understand what Environmental constraints, are present.
 Establish activities that will lead to desired outcome.
Organizing
It is an important part while allocating employees to various jobs and tasks. Organizing
require a manager to be able to see the big picture while assigning smaller tasks to various
employees within the company. In SPRY Sports each department organized properly and the
tasks and work responsibility and activities assigned on individual base and to each
employee.
 Management hierarchy

SPRY SPORTS
Boss/CEO

Account Manger

Operational & HR & Finance

Production manager manager

Marketing & sale Workers

manager

26 | P a g e
Chain of Command
CEO control all the mangers and give authority to managers for controlling his subordinates
and employees. There is unity of command in SPRY sports because only one CEO is giving
command and everyone has to report to CEO.
It’s a strength for SPRY sports that CEO is overseeing all the activities.
Span of control
SPRY sports have small span of control. There is only one account manager and one
operational and production, and HR and finance manager and marketing and sale manager
and worker are worked under HR.
It’s a strength for SPRY sports that it has narrow span of control.
Line of authority
In SPRY sport the line of authority helps manager to watch and evaluate the performance of
employees easily and authority has been given to the manager that can make flow of
command in any dimension.
Its also a strength for them.
Centralization & Decentralization
SPRY sports decision making is centralized, because only top management is involved in
decision making.
Weakness for SPRY sports.
Formalization
SPRY sport rules and regulation & policy procedure is documented and well communicated
and implemented.
Strength for them.
Flow of communication
Three type of communication are uses in organizations:
 Vertical
 Horizontal
 Downward
SPRY sports use all these three to convey and receive information, that’s why it is an
strength.

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Staffing
Staffing is done by HR department. HR and finance activity decision take by a manager. So,
the manager makes hiring and firing decisions, wages, employee benefits schemes, union
relation, and discipline policies.
Process of Hiring staff
 According to the demand for products, vacancy’s for different post is
generated.
 Most of the time trained employees are hire through personal references.
 After hiring training is provide to learn about the company.
 Assessment will be on monthly or weekly basis.
Leading
A leader is responsible for the work which is made under his supervision. Each manager will
be responsible of their department and the manager will be the team leader of his department.
Controlling
Controlling is the process of establishing and implementing mechanism to ensure that
objectives are achieved. Effecting controlling requires technical as well as conceptual and
decision-making skills.
In SPRY sports, product quality control policies are presented to employees or sometime
defined for implementation to ensure and enhance the quality of product offered.

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 FUNCTIONAL AUDIT OF SPRY SPORTS
After analyzing the management functions, I reached on results that management practices
are not fully implementing in SPRY sports but still can be implement. The firm is having
proper planning, organization and control methods and the firm is having objectives in all
three perspectives and all the goals are measurable and well communicated among all the
managers of the organization.
Management audit checklist

• Does the firm use strategic-management No Weakness

concepts?
• Are company objectives and goals Yes Strength

measurable and well communicated?

• Do managers delegate authority well? Yes Strength
• Are job descriptions and job specifications Yes Strength

clear?
• Do managers at all hierarchical levels plan Yes Strength

effectively?
• Are employee turnover and absenteeism Yes Strength

low?
• Are organizational reward and control Yes Strength

mechanisms effective?

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 MARKET AUDIT OF SPRY SPORTS
The sports products are preparing in traditional ways. Investment on research is low. The
channel of distribution that SPRY sport is using is direct and indirect supply to the customers.
Spry sports needs more marketing to get attention and market access through indirect supply
of products and for higher profits and to compete with competitors. Company is making
policies to get direct market access for their product in future.
Market audit checklist

• Are markets segmented effectively? No Weakness

• Are present channels of distribution yes Strength

reliable and cost effective?

• Does the firm have an effective sales Yes Strength

force?
• Does the firm conduct market research? No Weakness

• Are product quality and customer service Yes Strength

good?

• Are the firm's products/services priced Yes Strength

appropriately?

• Does the firm have an effective promotion, No Weakness

advertising, and publicity strategy?

• Are marketing planning and budgeting No Weakness

effective?

• Do the firm’s marketing managers have No Weakness

adequate experience and training?

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31 | P a g e
 FINANCIAL AUDIT
SPRY sports is a sole proprietorship business and having no debt and business was started
with own capital/investment. Some amount of revenue is saved for short term need and some
is invested for further business process and to maintain business function. Spry sports having
handsome amounts of profits that is enough to maintain good relations with employees and
stakeholders. CEO need financial statement for their record which include balance sheet
profit and loss account and all bills regarding purchase and sale of every party keep
separately on monthly basis.
Financial/Accounting audit checklist

• Can the firm raise or need short-term Yes Strength

capital?

• Does the firm have sufficient working Yes Strength

capital?

• Are capital budgeting procedures Yes Strength

effective?

• Are the firm’s financial managers Yes Strength

experienced and well trained?

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 OPERATIONAL AUDIT
Process of operations actually starts from the step of arrival of raw material into our
warehouse and the suppliers. And the warehouse we have is actually consists of all the
necessary equipment’s and with the most effective incoming and outgoing procedures. Our
inventory control policies are defined by our operational & production manager in such a way
that stock will be updated on regular basis, nothing will go outside the warehouse without
gate pass and after goods delivery, will be sent to accounts department so that they will
further do the billing process. Quality will make sure at the time of production.
Operational audit checklist

• Are suppliers of raw materials, parts, Yes Strength

and subassemblies reliable and

reasonable?
• Are facilities, equipment, machinery, Yes Strength

and offices in good condition?

• Are inventory-control policies and Yes Strength

procedures effective?
• Are facilities, resources, and markets Yes Strength

strategically located?
• Does the firm have technological No Weakness

competencies?

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 Research and Development audit
Spry sport has no R&D. They need latest technology to compete in upcoming market
situations.
Research and development audit checklist

• Does the firm have R&D facilities? Are No Weakness

they adequate?

• If outside R&D firms are used, are they No Weakness

cost effective?

• Are the organization’s R&D personnel No Weakness

well qualified?

• Are R&D resources allocated effectively? No Weakness

• Are management information and yes Weakness

computer systems adequate?

• Is communication between R&D and other No Weakness

organizational units effective?

• Are present products technologically Yes Strength

competitive?

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 MANAGEMENT INFORMATION SYSTEM AUDIT
Spry sports is not using any automated MIS for making decision. Traditional ways are using
still in management. There is need of information system in spry sports.
Management information systems audit checklist

• Do all managers in the firm use the No Weakness

information system to make decisions?

• Is there a chief information officer or No Weakness

director of information systems position in

the firm?

• Are data in the information system No Weakness

updated regularly?

• Do managers from all functional areas of No Weakness

the firm contribute input to the

information system?
• Are there effective passwords for entry No Weakness

into the firm’s information system?

• Are strategists of the firm familiar with the No Weakness

information systems of rival firms?

• Is the information system user-friendly? No Weakness

• Do all users of the information system No Weakness

understand the competitive advantages that

information can provide firms?

• Are computer training workshops provided Yes Strength

for users?

35 | P a g e
36 | P a g e
 VALUE CHAIN AUDIT OF SPRY SPORTS

Soccer ball

37 | P a g e
Cricket

Primary Activities

Inbound logistics:
SPRY sport has a procurement team to manage the procurement part of its supply chain
management. It includes selecting and contacting the right suppliers for the right goods and
services. The focus throughout these manufacturing facilities remains on transparency,
quality and sustainability and it is why only the most responsible ones get to be a part of its
supply chain. Warehouse of SPRY sport are located in company area to fulfill the production
requirement.
 Strength

Operations:
SPRY sports production process goes from several operations. Skilled workforce is involved
in production process.

38 | P a g e
  Strength

Outbound logistics:
Outbound logistics is a very important part of supply chain. SPRY sports have its display
centers in Sialkot and some small stores in city to sale out their product. Most of the products
are sale out through online stores and its most products are exports to different countries.
Marketing and sales:
These both tasks will be under marketing & sales manager as spry sport are dealing in
finished goods and they have need to market their product through media but no proper
channel is using by them.

 Weakness

Support Activities:

Technology:
Technology and product quality both are important components. SPRY sports most
technology is outdated. There is need of new technology to manage the waste and to compete
its competitor products worldwide.
Human Resource:
Human workforce is not educated in most working area but they are experienced in their
field. They are not aware of modern technology. That’s why rate of waste is sometime high in
traditional way of production.
Procurement:
Good quality products are manufactured from good quality raw materials. To ensure quality a
dedicated team is available in spry sports to procure the products and raw material quality.
Firm infrastructure:
Infrastructure of firm is supportive and that’s a most important thing of spry sports.

39 | P a g e
   External Factor Evaluation Matrix (EFE)      
Weighted
  Opportunities Weight Rating Score
1. Tarrif to export 0.37 3 1.11
2. favorable regulation of govt. 0.05 4 0.20
3. Sialkot-lahore motorway project 0.07 2 0.14
4. per capita increase in income 0.04 2 0.08
5. khudkifalat rozgar trust 0.01 3 0.03
6. webinar and training wrokshop to workforce 0.03 3 0.09
7. linkages in international markets and easy access to EU 0.06 4 0.24
8. China Pakistan Economic Corridor 0.02 2 0.04
9. Technologically improvement in Sports product 0.04 3 0.12
10 Air-Sial 0.03 3 0.09
.

Weighted
  Threats Weight Rating Score
1. increase in tax 0.03 1 0.03
2. decrease in exports 0.03 3 0.09
3. increase in inflation & interest rates 0.02 2 0.04
4. money market rates 0.20 3 0.60
  TOTALS 1.00   2.90
EFE Matrix
Competitive Profile Matrix (CPM)
SPRY ARAIAN ROCK SPORTS
 
SPORT SPORTS CO.
Weigh Ratin Scor
Critical Success Factors Rating Score Rating Score
t g e
Advertising 0.03 2 0.06 1 0.03 3 0.09
Market Penetration 0.09 3 0.27 2 0.18 1 0.09
Customer Service 0.07 1 0.07 3 0.21 3 0.21
Store Locations 0.06 4 0.24 3 0.18 3 0.18
R&D 0.05 2 0.10 1 0.05 2 0.10
Employee Dedication 0.07 3 0.21 3 0.21 3 0.21
Financial Profit 0.10 4 0.40 3 0.30 3 0.30
Customer Loyalty 0.08 4 0.32 3 0.24 3 0.24
Market Share 0.05 2 0.10 2 0.10 2 0.10
Product Quality 0.20 4 0.80 3 0.60 3 0.60
Top Management 0.10 3 0.30 3 0.30 2 0.20
Price Competitiveness 0.10 3 0.30 4 0.40 3 0.30
Totals 1.00   3.17   2.80   2.62

CPM Matrix

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IFE Matrix
Internal Factor Evaluation Matrix (IFE)      
Weigh Ratin Weighted
Strengths t g Score
Power structure 0.09 3 0.27
control system 0.05 4 0.20
physical symbols 0.06 3 0.18
span of control 0.05 3 0.15
financial position 0.09 4 0.36
line of authority 0.07 3 0.21
formalization 0.03 3 0.09
communication flow 0.05 3 0.15
inbound logistics 0.05 3 0.15
Procurement & infrastructure of firm 0.04 4 0.16

Weigh Ratin Weighted

Weaknesses t g Score
lack of proper planning 0.03 1 0.03
lack of proper staffing procedure 0.02 2 0.04
employee training 0.05 1 0.05
lack of implication of Strategic management concept 0.04 2 0.08
Power structure 0.03 2 0.06
Centralization & decentralization 0.04 2 0.08
Research & development 0.05 2 0.10
Management information system 0.07 2 0.14
Outdated Technology 0.04 1 0.04
Marketing 0.05 1 0.05
TOTALS 1.00   2.59

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SWOT Matrix
SO Strategies
1 Power structure
2 Financial position
3 Tariff's to exports
4 Favorable regulation of govt.

ST Strategies
1 Control system
2 Physical symbol's
3 Increase in taxes
4 Decrease in exports of sports products

WO Strategies
1 Lack of proper planing
2 Employee training
3 webinar training workshops
4 china pakistan economic corridor

WT Strategies
1 outdated technology
2 lack of R & D
3 Increase in inflation
4 Decrease in exports

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BCG MATRIX
Relative Market Share Position
High Medium Low
1.0 .50 0.0
High +20 Star Question Mark

1 2

36%

64%

Industry
Sales
Growth Medium 0 Cash Cow Dog
Rate
(Percentage)

Low -20

Interpretation:
SPRY Sports fall in Question mark in BCG Matrix. Question mark is Low relative market share
position, yet they compete in a high-growth industry. Generally, firm cash needs are high and
their cash generation is not high. SPRY SPORTS must decide whether to strengthen them by
pursuing an intensive strategy(technology and control structure) or to divest.

43 | P a g e
Internal-External Matrix
The Total IFE Weighted Scores
Strong Average Weak
4.0 to 3.0 2.99 to 2.0 1.99 to 1.0
4.0 I II III

High

3.0 IV V VI

The
EFE
Total Medium 36% 1
Weighted 64% 2
Scores

2.0 VII VIII IX

Low

1.0

Interpretation:
SPRY Sports total IFE weighted is 2.59 and total EFE weighted score is 2.90. According to
IFE and EFE score company fall in Quadrant II and Quadrant V. It’s means SPRY Sports
should hold and maintain its position for better competition. SPRY sports earn 36% of its
profit from local market and 64% from international market.

44 | P a g e
 Space matrix
Return to Start
FP
Conservative Aggressive
7

1
X-axis -1.6
Y-axis 0.2
CP IP
-7 -6 -5 -4 -3 -2 -1 1 2 3 4 5 6 7
-1

-2

-3

-4

-5

-6

-7
Defensive Competitive
SP

Internal Analysis: External Analysis:

Financial Position (FP) Stability Position (SP)
Return on Investment (ROI) 4 Rate of Inflation -5
Leverage 2 Technological Changes -3
Liquidity 3 Price Elasticity of Demand -4
Working Capital 5 Competitive Pressure -3
Cash Flow 3 Barriers to Entry into Market -1

Financial Position (FP) Average 3.4 Stability Position (SP) Average -3.2

Internal Analysis: External Analysis:

Competitive Position (CP) Industry Position (IP)
Market Share -6 Growth Potential 1
Product Quality -7 Financial Stability 3
Customer Loyalty -5 Ease of Entry into Market 2
Technological know-how -2 Resource Utilization 4
Control over Suppliers and Distributors -3 Profit Potential 5

Competitive Position (CP) Average -4.6 Industry Position (IP) Average 3.0

Interpretation:
While plotting data on space matrix the resultant vector lies in Conservative quadrant. In this
Quadrant the Space matrix suggests Market Penetration, Market Development,
Development in current Product’s, and Diversification related to these strategies in future
to compete with overall competitor’s both Domestically and Internationally. The company
can adopt from these strategies for future growth.

45 | P a g e
Grand strategy Mix
Rapid Market Growth

Quadrant II Quadrant I

SPRY SPORTS

Weak Strong
Competitive Competitive
Position Position

Quadrant III Quadrant IV

Slow Market Growth

Interpretation:
In space matrix SPRY sports falls in Conservative quadrant as they need to Market
Penetration, Market Development, Development in current Product’s, and
Diversification. In Quadrant II, firms are in a rapid-market-growth industry, an intensive
strategy (as opposed to integrative or diversification) is usually the first option that should be
considered. To achieve the competitive advantage or becoming market leader Quadrant II
firms can go into horizontal integration subject to availability of resources. 

46 | P a g e
QSPM
Control New
system technology
Opportunities Weight AS TAS AS TAS
1. Tarrif to export 0.37 3 1.11 4 1.48
2. favorable regulation of govt. 0.05 2 0.10 3 0.15
3. Sialkot-lahore motorway project 0.07 2 0.14 2 0.14
4. per capita increase in income 0.04 2 0.08 2 0.08
5. khudkifalat rozgar trust 0.01 2 0.02 2 0.02
6. webinar and training wrokshop to workforce 0.03 3 0.09 3 0.09
7. linkages in international markets and easy access to EU 0.06 3 0.18 4 0.24
8. China Pakistan Economic Corridor 0.02 3 0.06 3 0.06
9. Technologically improvement in Sports product 0.04 3 0.12 3 0.12
10. Air-Sial 0.03 4 0.12 4 0.12

Threats Weight AS TAS AS TAS

1. increase in tax 0.03 1 0.03 1 0.03
2. decrease in exports 0.03 2 0.06 2 0.06
3. increase in inflation & interest rates 0.02 1 0.02 1 0.02
4. money market rates 0.20 2 0.40 2 0.40
5. 0 0.00 0 0.00 0 0.00
6. 0 0.00 0 0.00 0 0.00
7. 0 0.00 0 0.00 0 0.00
8. 0 0.00 0 0.00 0 0.00
9. 0 0.00 0 0.00 0 0.00
10. 0 0.00 0 0.00 0 0.00

Control New
system technology
Strengths Weight AS TAS AS TAS
1. Power structure 0.09 3 0.27 2 0.18
2. control system 0.05 3 0.15 4 0.20
3. physical symbols 0.06 4 0.24 4 0.24
4. span of control 0.05 4 0.20 4 0.20
5. financial position 0.09 2 0.18 2 0.18
6. line of authority 0.07 3 0.21 3 0.21
7. formalization 0.03 2 0.06 2 0.06
8. communication flow 0.05 2 0.10 2 0.10
9. inbound logistics 0.05 3 0.15 3 0.15
10. Procurement & infrastructure of firm 0.04 3 0.12 3 0.12

Weaknesses Weight AS TAS AS TAS

1. lack of proper planning 0.03 1 0.03 1 0.03
2. lack of proper staffing procedure 0.02 1 0.02 1 0.02
3. employee training 0.05 2 0.10 2 0.10
4. lack of implication of Strategic management concept 0.04 3 0.12 3 0.12
5. Power structure 0.03 2 0.06 2 0.06
6. Centralization & decentralization 0.04 2 0.08 2 0.08
7. Research & development 0.05 3 0.15 3 0.15
8. Management information system 0.07 3 0.21 3 0.21
9. Outdated Technology 0.04 3 0.12 3 0.12
10. Marketing 0.05 3 0.15 3 0.15
TOTALS 5.25 5.69

Interpretation:
In QSPM two or three strategies or more picked from grand or other matrix so firm should
picked two strategy Control System and New Technology and compare with each other and
check which one is better to other and final result show in QSPM. Hence, New Technology
strategy is more attractive because the total TAS is 5.69 and the Control system TAS is 5.25.
So, finally the company will adopt New Technology for competition.

47 | P a g e
 THOMSON AND STRICKLAND 7 QUESTIONS SERIES

Q.1 what is the Industry’s Dominant Economic Trait?

1. Market size and growth rate:

Pakistan sports industry is going in decreasing rate of 5%, and total in exports of
Pakistan is 6%. The total exports were recorded by PBS worth 307.94 Million’s.

2. Scope of competitive rivalry:

Competition is high which explained in detail in PORTER analysis.

3. Number of competitors and their relative sizes:

In Sports industry, large, medium and small firms are working in Pakistan. In Pakistan
total sport companies are 2400.

Question 2: What Is Competition Like and How Strong Are the

Competitive Forces?
As we discussed earlier detail analysis of porter five force’s we come to the following results
which are stated below

• Bargaining power of supplier (low)

• Bargaining power of buyer (international buyer is high)
• Threat of substitute (moderate)
• Threat of new entrants (low)
• Rivalry among competing firms (High)

Question3: What Forces Are at Work to Change Industry Conditions?

 Entry or exit of major firms:

Yes, entry or exit of large firm can give the huge competition or market gap. So, we
should have information about our competitors and potential competitors.

48 | P a g e
  Changes in cost and efficiency:

Technology brings change in production so we should have information about new

technology.

 Regulatory policies / government legislation:

The policies of this govt are favorable for industry growth. Govt provide some tariffs for
exports.

 Environment scanning:
I conduct external analysis at the start of project which score have 2.90

49 | P a g e
Question 4: Which Companies are in Strongest / Weakest Positions?

Group Mapping

High
SPRY
sports
A
ROCK sport
Quality Sport

low
low High
Price

Interpretation:
SPRY Sport against these competitors consider that they are best in quality and price.

Question 5: What Strategic Moves Are Rivals Likely to Make Next?

Our competitors also have good image in the market. They have competitive edge in some
product quality. And next move of our competitors has to introduce technology and
modification of existing product style and target new markets and increase share in existing
market.

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Question 6: What are the Key Factors for Competitive Success?
Key success factors are Marketing of products at local level, customer service, customer
loyalty, Research & development & product quality etc.
On what basis do customers choose between competing brands of sellers?
The customers choose on the bases of price, quality, and brand of our product.
What does it take for sellers to achieve a sustainable competitive advantage?
Strong customer relation, maximum resources, Goodwill of company, Advertisement. These
are the few elements which can achieve a sustainable competitive advantage.

Technology- Innovative machinery, training program for employees, Research and

related development.

Organizational Meet customer’s demand, Ability to manage resources, Managing employees,

capability Competitive advantage, Accountability, Learning.

Question 7: Is the Industry Attractive or Unattractive and Why?

According to the assumption, if the intensity of all the porter’s five forces is high then the
industry will have low attractiveness or will be unattractive.

According to the porter five forces

 Bargaining power of supplier (low)
 Bargaining power of buyer (high)
 Threat of substitute (High)
 Threat of new entrants (low)
 Rivalry among competing firms (High)

According to porter five forces in our industry two forces are on high side one is toward
moderate and two are low. So, our industry is less attractive. There is potential due to
different reasons:

Whether competitive conditions are conductive to rising/falling industry profitability?

Yes. Competitive conditions are conductive to rising/falling industry profitability as we
discussed in the porters five forces our industry profitability is moderate.

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Will competitive forces become stronger or weaker?
Yes. competitive forces become stronger.
Whether industry will be favorably or unfavorably impacted by driving forces?
Driving forces like Technology, People, Life styles & Internet and E-commerce opportunities
have a favorable impact on industry. So it’s favorable.
Potential for entry/exit of major firms?
Potential for entry of new entrants is moderate because financial resources and technology
needed at high level.

Strategy
After analysis of 7 questions series, we have to go to develop market and penetrate market,
new technology and for product development strategies.

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 JOHNSON AND SCHOLES METHOD
1. Suitability:
In quantitative strategic planning matrix (QSPM) there are 2 basic strategies for SPRY
SPORTS company to implement. But At the end of QSPM we identified the best one
strategy to implement on the basis of results of both strategies. So, finally we find out the
Technological development. So Technological development is the finally strategy which is
applicable for company.

2. Feasibility:
Feasibility based on 8M models.
• Machinery
SPRY SPORTS company have outdated machinery for production, mostly work is
done on traditional basis but the management wants to install latest machinery to
work with.
• Makeup
Company have his own place where the firm starting the production.
• Management
Managers are well trained and experienced and they have ability to maintained all the
problems related to their field.
• Markets
Sports markets are at National and International level 30 to 40% of revenues are
generated at local level and 60% revenues are generated through international
markets.
• Materials
Raw material for sports product is easily available in Pakistan at large scale.
• Men and women
SPRY Sports have huge men and women labor power to manufacture a product.
There are nearly 100 employees. The labor force includes both men and women.
• Methods
Firm have different technology related to production activity.
• Money
Company have huge capital of their own for production of products.
So, we can implement the strategy.

3. Acceptability:
Yes, there is lot of potential in industry so we can implement the Technological
advancement strategy which mention before that. The strategy shall be acceptable by our
current customers and potential customers. Good profit expected and lot of things that in
support of these strategies.

FINAL STRAGY

“New Technology in production”

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METHODOLOGY
Both primary and secondary data use in this project.

Primary source of data

The primary data were taken to make an effective report while working in Pakistan Tobacco
Company

 Personal observations and experiences

 Face to face conversation with the officials

Secondary source of data

 Through different reports

 Already Done work on websites

54 | P a g e