Degree

Master of Business Administration Executive

Faculty / School

Faculty of Business Administration (FBA)

Year of Award

2017

Project Type

MBA Executive Research Project

Access Type

Restricted Access

Executive Summary

This research looks into the milk consumption patterns in Pakistan. There are two types of milk generally consumed in Pakistan which can be categorized as loose milk (khula doodh) and Ultra- High Temperature milk (dabbay ka doodh). The study conducted limits itself to the consumers of Karachi. Karachi, being an urban conglomerate represents a good sample for conducting this research. The total volume share of Ultra-High Temperature milk (UHT) is increasing but the total share of loose milk still constitutes a lion share. Hence, the opportunity for UHT players is big which is also translated into huge marketing and sales budgets of these companies. Loose milk, on the other hand, albeit shabby distribution and inconsistent quality have over years managed their share. The study aims to understand that given this imbalance of shares in market, how the two big players Engro Foods and Nestle Pakistan are positioned against local milk suppliers. The analysis has only been limited to the category pasteurized milk to ensure optimum results in terms of sustainability between the choices. It has to be noted that the source of both the UHT and loose milk is the same milkman or gawala yet there are factors such as price and quality which the consumer considers before taking the buying decision. Over the course of study, it was intriguing discover correlations between different variables. Throughout the study, it was assessed how consumer's behavior changes once there is a change in variables. The application of statistical models helped us understand the variation in choices made by similar consumer groups. With the help of Probit Model (for binary choices), it was revealed that as we move from lower to higher Socioeconomic Class (SEC), the odds of choosing UHT milk over loose milk increase significantly. It was further concluded from the results that families of SEC ‘A’ prefer Olpers over Milkpak and Loose Milk, while families of SEC ‘B’ & ‘C’ prefer Milkpak and Loose Milk, respectively.

Pages

50

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