Mohammedali Habib, a man of vision and exceptional leadership together with his brothers was the architect and builder of the Group which includes Habib Metropolitan Bank and Habib Insurance Co. Ltd., established in 1941 and 1942 respectively.
Today, HOH employs over 10,000 people who work to provide an array of products and services in Pakistan. These activities range from automobiles to audio media, buildings to banking and computers to chemicals. Managing a network of public and private companies, the House of Habib has equity and technical collaborations with British, Japanese and Norwegian companies.
House of Habib despite its conservative and traditional values places great emphasis on decentralized professional management that has resulted in a progressive and dynamic organization.
1.1.1 Makro-Habib Pakistan Ltd
Makro-Habib demonstrated a commitment to grow in Pakistan by entering the wholesale sector and with plans to invest around USD 300 mn in the next four years.
Pakistan’s wholesale sector has been a grossly neglected segment of the economy; Makro pioneered into its age old customs and led the change by introducing modern and transparent rules of trade.
Makro has also brought the latest technology and techniques to preserve and enhance the life of fresh farm produce. This will not only benefit the farmer but also the common man.
Each Makro Wholesale Centre provides direct employment to 200 people, and brings in countless business transactions into the documented part of the economy, which is a significant step towards complimenting Governments’ efforts.
1.1.3 Macro Business Model
Makro-Habib is for the benefit of the people. Its controlled prices, guaranteed quality and an extensive product range of food and non-food products brings a novel shopping experience to the professional customers in Pakistan.
Makro caters equally to all socio-economic segments of the society with special emphasis on small and medium sized retailers, hotels, restaurants, catering services and many other business establishments. Makro’s professional customers will find all their needs under one roof.
1.1.4 Advantage for Makro Customers
* Competitive Prices
* Quality Guaranteed
* Everything Under One Roof
* Air-conditioned and clean environment
* Bulk Packing
* Detailed Sales Invoice
* Extended Business Hours – 8:00 am to 12 Midnight
* Open 7 days a Week including national holidays
* Vast and secure parking space
* Convenient shopping environment for senior citizens and customers on wheelchairs
* Makro Mail: a fortnightly price list with special promotions on a vast range of products
1.2 Product Range
1.2.1 Fresh Food
188.8.131.52 Fruits & Vegetables
184.108.40.206 Dairy & Frozen
220.127.116.11 Meat & Poultry
18.104.22.168 Fish & Sea Food
1.2.2 Dry Food
22.214.171.124 Basic Commodities
126.96.36.199 Drinks & Beverages
188.8.131.52 Dry Grocery
184.108.40.206 Home & Personal Care
1.2.3 NON FOOD
220.127.116.11 Office & Stationary
18.104.22.168 Househould & Kitchenwar
22.214.171.124 Apparel, Sports Wear, Shoes, Bed Linen, etc.
126.96.36.199 Do It Yourself
188.8.131.52 Toys, Luggage
1.3 Problem Statement
How Makro could increase its sales volume by improving store layout and design to fit their operations?
The aim of this research is to observe and analyze the store lay-out that effect to staff operation of Makro to increase its sales volume.
1.5 Target Group
Our researchï¿½s analysis and findings could be the direct interest of Makro store manager, sales manager and layout designer. We think that our analysis could find some of the advantages and drawbacks in the store layout and design. Our findings and recommendations could help to improve the sales volume of the store.
This chapter describes that what are the steps taken to conduct this project and will explained to the reader how and why we make the decision to choose this store for our research work.
2.1 Choice of Topic
Before beginning to work on specified store, we had certain meetings among group in choosing the store. We based stored to be selected on store size, staff members, physical location, product range to be maintained in store and on the geographic importance of Store. We have certain choices among Pace, Metro, Hyper Star, Q-Mart and U-Mart but at the end Makro was the only store which fulfil our requirements which will be proved to be as necessary and helpful for our project.
We had visited Makro in the Semester Holidays. At that time we went to Makro for the purchasing of Mobile phone, Computer printer, Digital Camera and also Garments. At that time, we were surprised from the price of products available there. But only thing which annoyed us was stock selves which was situated very next to the shelve containing normal range of Macro Prodict. When our Sir, gave us the gist of Consumer Behavior, we undoubtfully preferred Makro.
2.2 Chosen Theory
We use the concepts in the book “Why We Buy” written by Underhill which is the main source of research, this book guides us some of the specific points that effect the people in buying different products. This book gives some ideas about good and bad layout with signs, displays, lights, space, arrangements, etc. These theories will help to focus and give recommendations to improve the store layout which may help in increasing the sales volume of the store. We use some of the ideas given in “Consumer Behaviour” by Evans and Jamal to add some interesting points to check the consumer behaviour and how to get the attention of customers.
2.3 Data Collection
This project is more practical than theoretical, so all the information collected and used in this research is basically based on the appearance of all the group members individually and collectively in the Makro store. So most of the data collected and analyzed by primary data sources but secondary data collection methods is also used. For secondary information, we have used the companyï¿½s official website which is www.makro.com.pk gives information about the histoty and product range of the store and also its aims and professional customer advantages..
2.4 Time Frame
The following timings were used for collections of data and store analysis.
09 December, 2009
Personal experience as consumer
23 December, 2009
-Studies the layout and displays in the store
27 December, 2009
-layout of store and display
06 January, 2010
-Recheck the layout and displays
-Checked price signs, lights, counter space, etc
3. Theories, Findings and Analysis
This analysis part shows the relation between our findings through observations and the selected theories from course.
3.1 Layout & Space
Makro has designed their departments in such a way that all the products of the same kind like fresh food, non-food & dry-food etc. are grouped together. For the convenience of the customers currently they have 18 departments and these are:
1. Fruits & Vegetables
2. Spices & Pickles
10. Beauty Solutions
11. Office, Media
12. Home Electronics
13. Toiletries, Detergents
14. Edible Grocery
15. Household Goods
o Pots & Pans (Tefal, Sonex, Majestic, Prestige)
o Tableware (Luminarc, Clayworks)
o Glass (Pasabache, Bormioli Rocco, Toyonasic, Ocean)
o Cutlery & Cutting Tools (Cocktail, Kiwi)
o Kitchen Utensils & Serving Articles (Fackleman)
o The range also include decoration products (Walther Glass),
o Cleaning items
16. Ladies wear/Men’s wear/Children’s wear/Shoes/Luggage
17. Sports & Seasonal
18. Home Improvement/DIY (Do it Yourself)
o Lamp fixtures, lamps & bulbs (OSRAM, PHILIPS)
o Electrical items (BUSH) Bathroom & Sanitary (Faisal & ICL)
o Flooring (Krono Flooring)
o Paints and painting accessories (ICI,Master Paints)
o General use and specialized hand tools (Stanley)
o Power tools (BOSCH, Black & Decker)
o Generators (Honda) and operating equipment.
Come to talk on the layout of Makro Ravi Center. At very first stage when we begins to enter the Makro Center we have to pass through the Makro’s check post which have made for security measures. As we pass away from that place we will have to go to the parking area which is huge space as compared to the parking of other shopping place. Near the Parking Space they have designated a place for cart (trolleys) for the convenience of customers. We picked cart from that place move toward the way which will lead us toward the backdoor entrance of Makro Center. At the entrance they have placed a scanning door from which each customer has to pass in order to prove that they are not carrying any weapon. Then we have move toward the Escalator will guided us inside the Makro center. When we reached the internal area of Makro first thing we will watch the Customer Service Office on which on duty Manager Picture was displayed. As we move to the left side we will approach to Electronic Department in which Home Appliances (Television, Sound Systems, Washing Machine Microwave Oven) and Computer Systems and accessories were displayed. As we move further more we will reach the stationary department in which Children and Office stationary were place separately and in very well manner.
Then the further more there will be textile (garments) section in which Male and Female garments including undergarments were separately and there was wall between male and female clothing items so that women will feel no hesitation in moving and selecting a clothing product from that specific area. As we move further more will reach the department reserved for household and glass crockery section. One think was not good in that place that they place glass crockery at the height at which child can have easy access to pick and touch the items from that place. As we move straight we will the four departments including Drinks and Beverages, Fruits and vegetables, Fish & Sea Food and last Meat & Poultry Section. The placement and displacement layout of all four departments were awesome. As we move further there will come there stores Diary(Fresh Milk and Sweets), Cafï¿½(Fast-food Restaurant) and Bakery(Deserts and Bakery items). As we move to right side we will be between the series of shelves on our right, there are the shelves of Basic Commodities, Grocery, Spices, Milk, DIY (Do It Yourself) and Apparel. And on the left side there will be the shelves if Chocolate, Snacks, Tea, Toiletries, Soap, and Detergents’ Shelves.
As we move all the way further, we will reach the counter side in which six cash counter are placed. From where customers have to make payments for the products being purchase and in the result of that payment they will get a slip which will check at the exit place. And when the slips are checked and analysis we will have to move toward the escalator along with the cart. So that in this way Makro Center has organized their layout.