University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
I. Introduction
I.1 Company Profile
In 2000, young and dynamic entrepreneurs saw the need to develop and create
the leading manufacturer of P.E.T bottles in the Philippines. Eventually in 2001 a
lot with an area of 4.5 hectares was purchase to accommodate the plant and
warehouse with all its facilities was realized.
The main aim is to provide a steady supply of high quality P.E.T. (Polyethylene
Terephthalate) products as well as best service to leading companies especially
those engaged in condiments and beverages, cooking oil, bottled water and other
chemical / pharmaceutical ventures.
Company Purpose
To provide sufficient supply of high quality P.E.T. products as well as best services
to leading companies engaged in beverages, condiments, purified or mineral
water, cooking oil, agricultural and pharmaceutical products.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Vision:
McBride PET Corporation is a God-centered company that provides high quality
plastic packaging in the ASEAN region in terms of quality, diversity of product,
sales, recognition and customer satisfaction.
Mission:
As a God-centered company, McBride PET Corporation aims to continuously
provide diversified and high quality plastic packaging for a wide-range of consumer
products through innovation. It aims to be the leader in the countrys plastic
packaging industry by dominating the market share while maintaining efficiency in
its business processes without harming the environment. It values loyalty through
services that results in good customer relations and satisfaction. It takes pride in
creating and providing jobs for Filipino citizens, in contributing to the evolution of
the countrys packaging industry. It commits to perform business functions with
utmost honesty and integrity.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Companys Product
Beverages Bottles: Twirl, Bullet, V-Type, Spiral Type
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
II. Marketing Channel Analysis
1. What are the current flows involve?
The current flow involve to them was the information flow.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
2. What is the current channels structure?
Manufacturer Agent Business Buyer
From manufacturer to agent to their business buyer, this is the first structure that
the McBride Corporation using. The McBride Corporation itself is the manufacturer,
they manufacture their product at the Kaybiga Plant. From the Kaybiga Plant they
will transfer the plastic bottles to the Bagbaguin, Meycuayan, Bulacan Plant or to
their plant at Laguna.
The agent represent the producer to the client, they are the one who assists the
negotiation between the manufacturer and the client. They do not own the product
directly, but they take possession of the products in the distribution process. He
acts on behalf of the seller which is the McBride Corporation (manufacturer) and
has no right to modify prices for products.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Manufacturer Agent Wholesaler Business
Buyer
From manufacturer to agent to wholesaler to business buyer, this distribution
involves more than one intermediary before the product gets into the hands of the
business buyer.
The McBride PET Corporation made their PET bottles at the Kaybiga Plant,
afterwards they deliver it at the Bagbaguin, Meycuayan, Bulacan Plant and at the
Laguna Plant.
Then it will go through the agent. The agent here is the bridge for the manufacturer
and the wholesaler and not on the final business. Like in the first structure, the
agent here can have a possession in the goods but they do not own any of it and
they are not allowed to change what the price is.
After that, it will go through the wholesaler of the products. In McBride PET
Corporation they called it trading. They are the one who will bought a large
quantities of products to the manufacturer and then they are the one who will sell
it to the other businesses or the final user.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
3. Does a firm operates through a multi-channel strategy?
Yes, the McBride Corporation is operating a multi-channel strategy. They do have
a website that their possible client may visit, to overlook what type of PET bottles
that the McBride Corporation offer. They also have a Facebook page and Twitter
account that the possible clients may follow in order to get some information about
them. We all know that social media has taken an increasingly more vital role in a
business firm wanting to promote their product.
Another multi-channel that the McBride PET Corporation using is the wholesale
distributor channel, this type of multi-channel strategy is one of the known strategy
that the other companies is also using. In here the wholesaler will buy a bulk in
McBride PET Corporation before distributing it to other small business.
Using a multi-channel strategy is effective and very helpful to the company. By
using many communicative platforms to reach the audience increases the chances
of receiving feedback from a variety of customers on the overall performance. The
more diverse platforms used in trying to reach customers, the more the potential
customers are likely to reach out to purchase goods and services. And the more
potential customers or client, the more revenues or profit for the company.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
4. What is the percentage of revenue or sales that flows through each
channel?
Wholesaler
There is a minimum order for the wholesaler which is one bag. The one bag is
consisting of three hundred fifty (350) pieces of bottles. That is the required
minimum orders in order to buy a wholesale products in McBride PET Corporation.
They give lower price to the wholesaler rather than to the final business it is
because the wholesaler will sell it again to another firms or businesses needed a
PET bottles.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
5. What are the levels of importance of a company given to distribution,
compare by the other elements of marketing mix?
Product
Their product is their number one focus of course, it is because the McBride PET
Corporation is assuring that they are giving a high quality products to their clients.
They have different kinds of PET bottles that the client may order. These are the
bottles used in purified water, beverages and condiments, bottles used in cooking
oil, bottles used in agricultural products and the bottles used in pharmaceutical
products. They also offer their preform PET bottles
Price
The price of the product is dependent on what type PET bottles and the quantities
of the product that the client may order. The McBride PET Corporation is giving
extra effort in pricing their products they want to make sure that the price they are
giving is the right price for that specific products. In terms of delivering the products
to the client McBride PET Corporation has a free shifting within metro manila.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Promotion
In terms of promoting their products, they do not give much time on promoting
them. Even though they have a website, Facebook page and flyers these are not
enough for them to be the well-known PET bottles manufacturer. As part of their
promotion they are joining an exhibit expo especially on rural areas for them to
demonstrate their products to other potential buyers.
Place
They are distributing their product within the Philippines only. Mostly they distribute
their products within Metro Manila but they are trying to reach out the rural areas.
People
The McBride Corporation is giving importance to their employees. They are
motivating their employees by recognizing and by giving a rewards for the
achievements of their employees and for their suggestions and improvements.
They treat each other with respect and sensitivity. They develop, trained and
empower employees in order to take the initiative and to decide what is right. For
the McBride PET Corporation treating their employees right will help them to grow
more in the industry.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Process
They also give focus on the production of their. In order to satisfy the customer
they are assuring that the quality of the product has made while making the
products. There is a person who is in-charge to check if the bottle has been made
has the quality which the company offered.
Physical Evidence
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
SWOT Analysis of the Company in terms of Distribution of products
Strength
One of the strength of the McBride PET Corporation is they are using a multi-
channel strategy. Having their own delivery trucks is also a strength of the
company. They have a skilled agents.
Weakness
Lack numbers of delivery in terms of large number of products. Goal
incompatibilities of the channel members.
Opportunities
There is a possibility that their products will be distributed on rural areas. The
distribution channel should adopt latest technology and tools to shift the products
in their target market.
Threats
Delayed of distributing caused by a large number of product or other reasons.
Implementation of truck bans in some places here in Metro Manila. Other
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
competitors use latest technology and tools. Competitors have superior access to
channels of distribution. Failure of suppliers to meet quality requirements
SWOT Analysis of the Company
Strength
They have more than 550 clients. They do have a great relationship with their
client. Quality processes and procedures in making the product. They are giving a
high quality of products.
Weakness
They are not the most popular PET manufacturer in the Philippines. Lack of
Promotional strategies.
Opportunities
There is a possibility that the client of their competitors will transfer to McBride
Corporation. Improved access to potential new customers and markets. Increased
sales to existing customers,
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
Threats
Legal environment is one of their threats. Many competitors is in line with this kind
of business. Taxation is introduced in the product.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
III. Suggested improvements based on SWOT analysis
Suggestion to their Distribution Process
The McBride PET Corporation is a known PET manufacturer in urban areas, why
they try to reach out firms or businesses needed a PET bottles in some rural areas.
One of their weakness is they are lack on delivery trucks which is bad to the
company for the reason of they cannot distribute the products properly, thats why
they must add some delivery trucks in their company. And lastly they must try to
add some new agents in order to get more clients and more revenues might come
to their company.
Suggestion to their Company
They are supplying a high quality PET bottles they need to continue doing it, in
order to get a satisfied customer. They must try to improve their promotional
strategies. Having a website, Facebook page and flyers is not enough for them to
be known by some other firms. The company is growing fast they should start
adding their agents.
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University of Caloocan City
College of Business and Accountancy
Camarin Business Campus
IV. Conclusion
The distribution channels play an important role in the provision of products of any
company in any market. The timely provision of products in the local markets can
help the clients to get their required products. The staff of the company should be
smart and vigilant, which can have capability to meet the requirements of the
clients. The distribution channel should have latest models of vehicle, which can
run round the clock to meet their business demands.
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