PROJECT ON
DADEX
export marketing
Contents
Introduction of Company
Dadex was
established as a public limited company in 1959. We started with the
manufacturing of CC roofing systems at our facilities in Hyderabad, and under
the dynamic leadership of our Founder Chairman, Mr. Kassim Dada, later we
ventured into manufacturing of CC pipe systems in 1966, setting up a dedicated
manufacturing facility in Karachi. Being a forward-looking organization, we
have kept up to date with the market, and now we produce a diverse number of
products, which include thermoplastic pipe systems such as u-PVC, PPR and PE;
and irrigation systems.
Headquartered
in Karachi, today our three manufacturing facilities based in Hyderabad,
Karachi and Sunder Industrial Estate (near Lahore) are equipped with state of
the art machinery. Dadex also has its own rubber plant located within Karachi
Factory, producing top quality rubber rings (according to international
standards) for our pipes. Our joint efforts have led Dadex to the ISO 9001,
PSQCA and API certifications.
We believe
that our strength lies in delighting our customers. That is why providing
quality products backed by round the clock technical support services are the
Dadex promise to all our valued customers.
At Dadex
it's about innovation, quality, reliability and customer support – all reigned
by our intrinsic commitment to being industry leaders. Today we continue to be
the pioneer in the industry by offering superior products for architecture,
agriculture, irrigation, telecommunications, infrastructure, construction and
housing.
Catering to
public, industrial, commercial, private, consumer and grower segments in
addition to the export markets our products serve a cross section of
requirements. With almost 50 years of serving versatile markets, we stand
stronger and committed than ever before.
Our strength
lies in pre-empting customer expectations and product demands. It is this
anticipation of market needs and our unwavering commitment to ethical practices
that places us as a reliable source for quality products.
Dadex has a
history of leaving its customers delighted rather than merely satisfied. Here
are some testimonials from happy customers who we have been dealing with.
"SSGC
has been procuring MDPE pipes of various diameters from Dadex for the last
several years. Quality and reliability have been two leading traits that Dadex
always deliver through its products and services. Their in-depth product
knowledge and determination to see a task is completed has helped us in setting
up a dependable gas distribution network. We hope that they will continue to
provide innovative solutions to their customers."
Sui Southern Gas Company Limited
(SSGC) Pakistan
VISION
The guiding vision of Dadex encompasses all of
the company’s intrinsic values. Each value is a fundamental building block of
the company’s existence and subsistence. These values – referred to as the
“Building Blocks of Dadex Values” – reflect the true spirit of the company and
its employees and are now the foundation of all business practices.
Building Blocks of Dadex Values
Customer
Focus, Innovation, Quality, Reliability, Ethical Practices
Collaborations
We are the
exclusive distributor of WAVIN overseas b.v., of the Netherlands in Pakistan.
Ranked as the largest plastic pipe extruder in 2003 in Europe, WAVIN, today,
stands as the unrivalled European plastic pipe manufacturer in terms of product
range.
Dadex has
partnered with Netafim, the world’s leading agriculture and irrigation Company,
to bring home innovative irrigation based solutions and water technologies.
Certifications
In our quest
to lead by example, our joint efforts have led Dadex to ISO 9001:2000
certification and accreditation for supreme product performance and quality by
the Pakistan Standard Institute (PSI) and the American Petroleum Institute
(API).
·
Pakistan
Standards and Quality Control Authority (PSQCA)
·
American
Petroleum Institute (API)
·
International
Standards Organization (ISO 9001:2000)
FIRST BOARD OF DIRECTORS
MR. KASSIM DADA
MR. ABDUR RAZZAK H.K. DADA
MR. ABU TALIB H.K. DADA
MR. MOHAMED DAWJEE DADABHOY
MR. ALIMOHAMED H.K. DADA J.P.
MR. YUSUF H.K. DADA
MR. MOHAMED RAFIQUE SAIGOL
INDUSTRY OVERVIEW:
With the economy set to recover, a number of markets will
benefit from renewed interest, driving downstream demand for plastic pipe and
parts. The industry will particularly depend on growth in the agricultural,
construction and automotive markets to boost revenue, with the low price and
lightweight quality of plastic continuing to draw in customers.
DADEX LOCAL SHARE IN PAKISTAN:
Dadex local share in Pakistan is 45% on Nov 28, 2011.
SHARE PRICE OF DADEX:
Share price of Dadex in Karachi stock exchange is 43.91 pkr.
REVENUE OF DADEX:
Total revenue of Dadex is about 2086.5 million.
TOTAL TURNOVER OF DADEX:
Total turnover rate of Dadex in 2011 is 2086451 in millions.
Total Products In Pakistan
Dadex is one
of Pakistan's leading companies with over 45 years of extensive experience in
offering solutions for architecture, agriculture, telecommunications,
infrastructure, housing and construction. Dadex is an exclusive licensee of
Waving Overseas b.v., of the Netherlands, which is one of Europe's largest
thermoplastic pipe manufacturers.
The Pipe
Systems Division at Dadex offers products for water supply, drainage, sewer,
gas distribution, irrigation, internal plumbing, cable ducting and various
other industrial applications.
Polydex
The Reliable
PPR Hot & Cold Water Pipe System
Polydex pipe
system is an ideal solution for the distribution system In housing, community
buildings and industrial installations etc.It is the most reliable product for
the transportation of hot and Cold water. It is also used for the distribution
of compressed air. It is the first complete PPR pipe system in Pakistan that is
manufactured as per DIN 8077/8078. Polydex fittings conform to DIN 16962.
Applications
·
Potable
water pipe networks for cold and warm water installations i.e. in residential
buildings, hospitals, hotels, office and school buildings, ships, etc.
·
House
connections, boiler connections, high rises, water point connection
·
Rainwater
utilization systems
·
Swimming
Pool
·
Hospitals
and many more
Advantages
·
Portability
·
Welding
Capability
·
Versatility
·
Noise
Free
·
Resistant
to Frost
·
Resistant
to Abrasion and Corrosion
·
Energy
Saving and Environmentally Friendly
·
Low
Electrical Conductivity
·
Low
Heat Conductivity
·
Fitness
for Use in Seismic Areas
Range
Outer
diameter
Pipes &
fittings in 20mm, 25mm, 32mm, 40mm, 50mm, 63mm, 75mm, 90mm & 110mm in
length of 4 meters.
·
Product Range: Polydex pipes are available in
nominal outside Diameters of 20, 25, 32, 40, 50, 63, 75, 90 and 110 mm in
standard Length of 4 meters. Polydex pipes can sustain pressure up to 20 Bar
and its fittings can sustain pressure up to 25 Bar
CHRYSOTILE CEMENT PIPE SYSTEMS
Dadex has
been manufacturing Chrysotile Cement (CC) pipe systems for over 45 years in
Pakistan. They are durable and versatile, and have a wide range of
applications. Dadex currently manufactures CC pipes for water supply and
distribution<, buildings, and sewer.
Nikasi
A Complete
uPVC SWV Pipe System .Nikasi is a complete uPVC Soil, Waste & Vent Pipe
System that ensures durable and leak proof performance for decades. Nikasi pipes
do not corrode, rust or support algae, bacteria or fungal growth. Nikasi has
general advantages such as good hydraulic characteristics, chemical resistance,
self- extinguishing, non-conductivity of electricity .There are two types of
Nikasi pipes manufactured by Dadex that include:
1. Socket
end pipe (with one end socketed for rubber ring)
2. Plain end
pipe (with both ends plain).
Nikasi pipes
and fittings are manufactured as per ISO 3633.
Applications
·
Soil
& waste drainage system
·
Vents
·
Rainwater
·
Advantages
·
Low
Flow Loss
·
Non-Corrosiveness
and Chemical Resistance
·
Light
Weight
·
Self-Extinguishing
·
Non-Conductivity
of Electricity
·
Resistant
to organic growth
Range
Pipes and
fittings in 40mm, 50mm, 75mm, 110mm & 160mm in standard lengths of 3 &
4 meters.
Product Range: Nikasi’s Soil, Waste and Vent pipes
are available in nominal outside diameters of 40, 50, 75, 110, and 160mm in
standard lengths of 3 and 4 meters.
T-Flex
The Flexible
Pipe System For Multiple Applications-Flex is a durable, reliable and leak free
pipe system that is highly resistant to acids, alkalis and abrasions. T-flex
pipes are inherently tough, resilient and resistant to damage caused by
external loads, vibrations, seismic movements and pressure. It’s ideal
applications are potable water distribution systems, gas supply, irrigation
effluents, house connections, mining and dredging, fire mains, and so on.
T-Flex Pipes
conform to the international standards of ISO 4427, DIN 8074/ 8075 and PS 3580.
Operating pressure of T-flex pipes ranges between 6, 8, 10, 12.5 and 16 bars.
The nominal pressure (PN) corresponds to the maximum allowable sustainable
pressure in bar for pipe 20°C.
Color: PE 80
- Bright Yellow, PE 100 - Bright Orange
Applications
T-flex pipes
for gas pipes are extensively used for the distribution and supply of natural
and manufactured gas, up to and including house connections.
Advantages
·
Easily
identifiable due to their distinctive yellow color
·
High
strength and stiffness to withstand internal pressure and external loads.
·
Resistance
to environmental stress cracking ensuring long-term resistance to internal
pressure, external loads and harsh environments
·
Flexible
& Easy to install
·
Impact
resistance for lower cost installation, narrower trenches (reduced excavation),
and fewer expensive fittings.
·
Heat
fusion joining for strong, lifetime leak-tight, fully restrained joints.
·
Remains
flexible at sub-freezing temperatures.
·
Retains
long-term strength at elevated temperatures.
·
Does
not rust, rot or corrode or support biological growth.
·
Retains
low resistance to liquid flows for reduced pumping and operating costs.
Range
Dadex PE gas
pipes are available in the following diameters: 20, 25, 32, 40, 50 and 63 mm in
coil of length up to 100 meters. 75 and 90 mm diameter in coils up to 50 meters
length. 110, 125, 140, 160, 180, 200, 225 and 250 mm diameter in straight
length of 6m/12m. A complete range of T-flex pipes for gas is available in
imperial sizes of ¾”, 1”, 1¼”, 1½”, 2”, 2½”, 3”, 3½”, 4” and 6
Product Range: T-Flex pipes are available in
nominal outside diameters of 20, 25, 32, 40, 50, 63, 75, 90, 110, 125, 160,
180, 200and 250 mm to suit a large variety of applications. Coils up to 50m&
100m lengths are available in sizes up to 90mm. Pipes are available in straight
lengths of 6m & 12m for sizes up to 250mm
Flow line
The Complete
Underground uPVC Sewer System
Flow line is
the first complete uPVC based underground sewer pipe system in Pakistan. This
easy push-fit rubber ring jointing system is durable, corrosion free and lightweight.
Flow line is suitable for underground drain and sewer applications in homes,
commercial buildings, community buildings, and so on.Flowline pipe system has
good hydraulic characteristics and lasts longer as compared to traditional pipe
systems.Flowline pipes and fittings are manufactured as per EN 1401.
Application
Underground
Sewerage
Advantages
Light Weight
and Easy to Install
Resistant to
Acids, Alkalis and Salt Solutions present in Domestic Sewers
Resists
Organic Growth
Leak Free
Low Flow
Loss
Non-Corrosiveness
and Chemical Resistance
Product Range: Flow line pipes are available in
outside diameters of 110, 160 and 200 mm in standard length of 3 meters and 4meters.
Dadex uPVC Pressure Pipe System
Dadex uPVC
pressure pipe system is a permanent solution for the main water supply
pipeline. The material used to manufacture uPVC pipes is non-toxic and non
combustible. Dadex uPVC pressure pipe system are resistant to corrosion,
abrasion and are free of fungal development. Unlike conventional pipes Dadex
uPVC pressure pipes are lightweight, economical and easy to install.
Applications
·
Cold
water supply
·
Chilled
water supply.
·
Irrigation.
·
Cable
ducting/electric conduits.
·
Industrial
effluents/Slurry (chemical resistance data sheet available on request.)
·
Building
sewerage.
·
Fire-ring
mains.
Advantage
·
Low
Flow Loss
·
Non-Corrosiveness
and Chemical Resistance
·
Light
Weight
·
Self-Extinguishing
·
Non-Conductivity
of Electricity
·
Resistant
organic growth
Range
¾",
1", 1.5", 2", 2.5", 3", 4", 6", 8",
10", 12" and 16" 4 m to 6m in length in Classes B, C, D and E.
Specifications
BS:
3505:1986
PS: 3015:
1991
Product Range: uPVC pressure pipes are available
in nominal sizes of ¾”, 1”,1¼”,1½”, 2”, 2½”, 3”, 4”, 5”, 6”, 8”, in standard
lengths of 4 and 6 meters in Classes B(6 Bar), C(9 Bar), D(12 Bar)and E(16
Bar). Other sizes of 10”, 12”, 14” and 16”can be manufactured against confirmed
orders
Dadex uPVC Tube well Casing & Screen Pipe System
Dadex uPVC
Tube well Casing & Screen Pipe System is an absolute solution for water
wells and tube wells that provide a perennial source of clean water. Dadex uPVC
Tube well Casing and Screen pipes do not corrode, do not support algae or fungal
growth and are resistant to external/internal pressures. UPVC Tube well Casing
and Screen pipes are manufactured with radial slotting which helps it sustain
higher pressures.
Applications
Tube Wells
Advantages
·
Smooth
internal surface provides excellent hydraulic characteristics.
·
Non-corrosiveness
and chemical resistance
·
Non-conductivity
of electricity
·
Resistant
to organic growth
·
Easy
to handle and install
·
Economical
·
Radial
slots provide greater collapse strength due to the arch effect of material
around each slot.
·
Ease
of handling and installation due to its low weight, reduces the over all cost
of the installation of tube well.
·
The
joints have good tensile strength and can hold the weight of the suspended
assembly.
·
Threaded
joints of casing pipes provide quick assembly
Range
Casing Pipe
U-PVC casing
pipes with male and female threaded sockets in diameters 4" & 6"
(Class D), 8" & 10" (Class C & D) are available in a standard
length of 4 meters.
Screen Pipe
U-PVC screen
pipes in diameters 4" & 6" (Class D), 8" & 10"
(Class C & D) are available in a standard length of 4 meters.
Product Range: u-PVC Casing & Screen pipes
with male and female threaded sockets in diameters 4” & 6” (Class D), 8”
& 10”(Class C & D) are available in standard length of 4 meters.
Market Leader
China is the market leader in pipe industry and after china India
is on second position. Fortune pipes is the biggest company for pipes
4P’S IN EXPORT MARKETING
PRICE EXPORTING
·
The
price of Dadex is different for different products because company got a
different numbers of products in their portfolio which they are manufacturing
at the current state.
·
Competitive
pricing is done because of existing competition in exporting country.
·
Pricing
is according to the quality and standards which are involved in it.
·
Fair
value
PLACE EXPORTING
The Dadex
has started its operations in Afghanistan a year ago and the main reason behind
it because they are focusing on local market of Pakistan in their operations
and due to it they are earning allot which is the main reason of their low export.
They had started their Afghanistan operations and exporting a minimum amount of
their production over there and willing to export their production line over
other different countries of the world also in future.
PRODUCT EXPORTING
The Dadex is
exporting a number of different products from their portfolio which are at its
peak in local market. The products which Dadex is exporting are one of the
leading and front products of Dadex which are also considered the true face of
Dadex. Dadex having a number of different products in their production line
which are huge but exporting their core products which emphasizes on
·
PVC
·
PE
·
UPVC
·
PPR
PROMOTION EXPORTING
Promotion is one of the core essences of marketing and one
cannot deny it because without promotion a company product can establishes and
it’s become difficult for him to survive also. The Dadex have large
distribution network which they are more concentrating and their main target
market of this organization is our local market so they are doing a number of
promotional activities which includes below the line activities like
advertising and many others. But on the export part of promotion they are using
this strength by participating in different seminars and events occurred at
Expo center where buyers of different countries also participate. They are
using middle man approach in export and consider it as an important ingredient.
The Dadex is not using any promotion agencies for exporting as they are
considering that their product emphasize on quality and they are very much
confident that their buyers would find them himself which is strange in this
fast moving world where technology changes in an blink of an eye.
SWOT analysis
Strength
·
Every
firm in different industry got some strength and due to which they are existent
and surviving and as Dadex is considered so the main strength of them is their
product quality. They are ensuring every part in creating the quality in their
product and never compromise on their quality which is a good sign. They have
been certified from a number of different countries in standards as like from
British and Denmark standards which is quite a convincing strength. Another
strength of Dadex is that they have also been certified from ISO(International
organization for standardization). The core strength of this company is that
they are the leading manufactures in the race of other pipe manufacturing
companies and one of the oldest company in this field because it has started
their operations after couple of years when Pakistan got its independence. It
is a listed company because many pipe manufacturing companies are not listed
till yet. They are PSQCA and API certified which is his usp and they are following
it in the right direction.
Weakness
Every organization got some strength and weaknesses because
nobody is perfect in this world which is true so as considering the major
strength of Dadex there is also some weaknesses on the other side of mirror. The
main weakness which our group analyses allot is that Dadex is not utilizing the
golden opportunity of promotion in their operations which competitors are using
and making a handsome profit. In today’s generation you can’t deny the power of
promotion because world is bombarded with the promotion and now there are
unique ways established to market your products. Other weakness according to us
that they are focusing only local market as their main target market which is
unfair because they have considered export as an optional plan which they uses
after that got some inventory. You can easily realize the fact that this
company had been established more than 50 years before and they had started
their export in previous year which is strange.
Opportunities
There are a number of opportunities lying which is good sign
for Dadex. This industry is an evergreen industry because the major fact is
that people can’t stop making houses and due to it they will need pipes for a
number of different operations. In past the usage of pipes is not so much but
now without pipe you can’t even imagine of building a house. They are focusing
their export in only one country and they got a number of countries where they
can easily start their export practices and earn alott.This industry have allot
left in contributing towards economy to raise it as like telecom industry and allot
of innovation can be done in this industry. The Dadex is one of the oldest
players in this industry and due to allot of existent in this industry they have
got allot of experience which they can easily utilize and innovation can be
done.
Threats
Beside all of the above facts threats are always there no
matter which industry is that what their operations are. The major threat
through which all of the major industries are going through is inflation and
due to it the price have been raised allot which is not a good sign for any
industry. Due to that inflation the prices of raw material which are used in
manufacturing pipes have become increased. Another threat is that margin is
squeezing day by day due to inflation and it has been become difficult for them
to achieve their required goals. Management decisions is of very much
importance and one bad decision from management can hurt them alott.Political
stability is another threat because you don’t know in which hour what happens.
As this industry is become so common it has become easier for local entrants to
enter in this industry so it is an alarming situation for us because our
peoples don’t compromise on price but they will compromise on quality.
PORTERS 5 MODEL:
Bargaining power of
customers:
·
Dadex
is the manufacturer of high quality products that’s why only those customers
who can afford the price of the quality is their powerful customers.
·
Easy
and accessible products of wide range are available with brand name Dadex.
Threats of new entrants:
·
Same
plastic pipes with new machinery are a substitute as well as a threat for Dadex
because it can take over the market of Dadex.
·
Iron
products, galvanize pipes and TGI pipes have a huge competitors.
Competitive rivalry in industry:
·
Dadex
producing high quality products and gives the warranty of about 50 years or
lifetime guarantee which no other manufacturer gives.
Threat of
substitute:
·
Dadex
is not having a treat from any substitute because Dadex is the manufacturer of
quality products in a large category of pipes so that any new substitute could
not have a comparison with it.
·
Those
who buys quality product will continue to buy it from Dadex no matter how much
their prices increase.
Supplier
power:
·
Dadex
has a huge advantage in supplier power those contractors and traders who
provided raw material to them are not new since many years same suppliers are
provided them raw material on a cheap prices.
STANDARDS:
Market
share:
·
Thermoplastic
pipes 20 to 25 % are manufactured in Pakistan for Export in Afghanistan market.
Raw
Material:
· For manufacturing ppr pipes RISEN is
the raw material used in a large quantity.
LEADING
COMPANIES OR COMPETITORS:
·
IIL
(international industries limited)
·
PAPCO
(pak Arab Pipeline Company limited.)
·
GM
(Gulf manufactures)
·
Balika
pipes.
Recommendation:
·
After
studying this project analysis of Dadex our recommendation is that Dadex should
have to cater those markets where there is a need of the pipes and they have to
increase their production of pipes for targeting other countries where
construction are required like in Afghanistan, middle east and African
countries so that they can also earn
A foreign exchange.
·
Other
than that they need a middleman and distributors across the local and
international market for increasing the export of pipes for Dadex.
·
Dadex
needs to use promotion as a power because this is the main reason that they are
still lying in Afghanistan not in nay other country of globe
·
They
should need to bring some innovation and more variety in their products so they
would be able to cater more market than others.
Posts
3 comments:
Nice blog post. Thanks for sharing useful information with us.
pvc fittings
polypropylene pipe
Give the more details about the quality of pipes with us.
I found this post quite interesting and useful.
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