Islamic Republic of Afghanistan

Ministry of Higher Education

Kabul University
Faculty of Economics

KHANAGi
Foods and beverages service

Hasina Alim
02/01/2017
Content
Story of KHANAGi ..1
Mission of KHANAGi....1
Vision of KHANAGi....1
SWOT analysis..1
1. Strengths....1
2. Weaknesses2
3. Opportunities2
4. Threats .2
Products of KHANAGi2
Performance of KHANAGi. 4
Public relations.4
Social responsibilities4
Conclusion ..5
Recommendations.6
Reference....7
Story of KHANAGI

Concept of KHANAGI was opened by Sayed Suleiman Fatimi head of ACE ( Afghanistan
Center for Excellence) in 2015 to survive the Afghan the old and local foods. As bread is
part of afghan dish, and rooted so deep in our culture that no meal could be complete without
it, for this proposes they were interested to use methods to help them in producing pure
Afghani foods. KHANAGI staff are about 14 people.

MISSION OF KHANAGI
Homemade quality product
They have summarized their mission in the words that drew from deep care of customers.
Based on their mission, they do not limit only providing homemade foods, but they are also
looking for best quality; whole wheat afghani bread that topped with selected healthy topping
such as black seeds, walnuts and raisins; all these are associated with a wide range of health
benefits. On the other hand, its atmosphere is welcoming the customers with infused aroma of
in-house tandoor.

VISSION OF KHANAGI
Main goals that indicate the vision of KHANAGI, are:
Be more transparent
Be more proactive
Be more responsive
According to transparency, consumers not only they expected the food they purchase from
KHANAGI to be safe, but they are increasingly requesting qualities such as organic, locally
source. Therefore full visibility in to the supply chain is essential for KHANAGI to ensure
regulatory compliance as well as to prove claims aimed at customer satisfiers.
On the other hand, they will dont wait for the next incident or new regulation to arise. They
planned to go ahead. This requires establishing safety standards and processes, and ensuring
employees and suppliers are complying.
With better processes they can provide best services effective.

SWOT Analysis
1. Strengths
Local food: Afghan people are more interesting about local foods, so KHANAGI provide
local food with local taste and created a good idea in customers mind. That every time
they want to try a local food, surely they only mention KHANAGI. And it is the more
strength point that without any more commercial advertisements they have like these
customers even from provinces or foreign countries.
Experienced cooker: they produce foods that preparing by experienced afghani cookers,
who have sufficient information to how cook afghani local foods without any additional
foreign methods. With this reason client chosen KHANAGI as tradition food provider
with locally cooking.
Small area: they started this business from small area and it became the strength point,
because the entered to market with a limit circle of customers and monitored customers
 reactions and then they applied for more customers and expanded their services to more
customers in different places or provided delivery system, which became as an attractive
point for some government and non-government offices.

2. Weaknesses
High prices: they are providing local food that all components are preparing locally from
different provinces and it caused high cost and higher prices than some other rivals,
although it has not any main rival that provide in same level. High price damaged its profit
that is in loss. And directly, ACE is covering this loss. This is a red signal for KHANAGI
and green signal for other movers or rivals to enter in market and provide in same level
same services with lower price and acquire circle of customer and market.
Weak transportation system: their suppliers are from different provinces and do not a
created network that decreases the transportation costs. they transferring the products
without any developed system that will damage product and they just paid money for
useless products.
Fewer advertisements: weak marketing damaged its unique feature. Providing such foods
that survive a nation culture is an important matter that must develop it in country and
foreign countries, must take more attention on this point. But they act poorly about this
matter that reflected in small customer circle.

3. Opportunity
First mover: KHANAGi is the first mover, which provides local food. Pursuing some
points can help to maintain in market and touch this ability to maintain the customer circle
and develop its product with different features.
Location: it located in a strategic area (shar e naw) that most of government and non-
government institution are located here also, so can expand its activities in an area which
safety can provide hospitality for foreign guests with local food. And create a good image
about their brands and attract for more developing.

4. Threats
Followers: followers easily can enter to market and acquire its share in market, because of
its poor action.
Substitute product: buyers easily will move to other products and services if they can not
control the high prices.
Security: they prepare product from provinces that security problem will always is a as
concentrate point.

Products of KHANAGI
KHANAGI NAAN: NAAN with black seed, NAAN with sesame seed, NAAN with walnut
and raisins.
KHANAGI hot and cold drinks: black tea, green tea, coffee, milk and tea, doogh.
KHANAGI sweets: khagina, carrot halwa, plum jam, tangerine jam, pumpkin jam, fig jam,
apple jam, and honey.

KHANAGI savories: fresh milk cream, paneer, nargis kabab, shami kabab, kachalo kabab,
chutney, pickles, salted almonds, bolani, sabzi.

About NAAN, KHANAGI uses afghani flour without any other flour and also they do not
interest to use any other products, this is why KHANAGI breads are different from other
breads.
KHANAGI sweets, which fruits and vegetables they are using it all are from different
provinces that KHANAGI purchases them from the formers and pass some process without
any preservatives and chemical process. The honey which they sell to customers, is pure
honey without any mixtures, the price of some kinds of honey is about 5000 Afg/kg. There
are some kinds of honey as (ber asaal from Kunduz) or (shahin shok asaal from khost,
Gardiz).
KHANAGI savories, they purchases fresh milk cream or paneer every week or sometimes
during the week from dairyfarm; it means, they sell to customers fresh dairy cattle.
PERFORMANCE OF KHANAGI
KHANAGI started this business that supported by ACE. its activities was directly supported
by ACE. Some of Their staffs salary are around Afg. 70000 -80000 per month. On the other
hand, since its products are Afghani stuff, the transportation and other costs to be added, its
prices is somehow high and they could not attract more customers. But customers, who are
looking for best and healthy food, are interested for their products and want some times to be
in KHANAGI and have Afghani meal.

PUBLIC RELATIONS
For better services KHANAGI is looking for good performance. The KHANAGI sponsors
some programs or delivers their products for some organizations. But the rule they obey is
that the minimum order for delivery must be 1000 afg. They have delivery as regular for
Holding Group, Roshan company, Turkish airline, Asia foundation, Moby group, Ministry of
urban development and housing, Diabetes hospital, World bank and Netlinks.

SOCIAL RESPONSIBILITIES
KHANAGI takes care on its social responsibilities; they are careful on people health, as they
use disposable dishes and bags which have passed some laboratory processes and got
standard marks in Herat province. They dont use the plastic dishes. The dont use poli in
their breads because of its effects on the body.
KHANAGI has its own unique feature in the market and because of this, no rival in the
market compete with them. Their performances differ from other competitors in terms of
which products they have or how they are working as Afghani local foods provider in Kabul.
Conclusion
KHANAGi, has some advantages and disadvantages than rivals in the market. After SWOT
analysis we come with some important matter for KHANAGi, we can conclude such as: most
important problem for KHANAGI is its high prices. We can mention it as first issue that
KHANAGi is faced it. This issue affected on production and services. They have to cover
high costs which are reflected from added costs to finish products. They produce with local
and pure produces of different provinces of Afghanistan and it is most costly to act as locally
producer. For this reason they are working with loss. Because of high prices their customers
are few and their costs are high so they are poor to be attractive in the markets.
Second issue, which affected this small business, is poor supplier chain. They have not
certain circle of suppliers to proceeds this process efficiently. The just buy first produces
which are necessary for produce from local supplier and then carry it to Kabul. This is
complicated process to produce without any certain suppliers. On the other hand it is costly
for KHANAGi. They paid for these different suppliers. As important point we can mention it
is the relationship between suppliers and producers. However they know each other, it helps
producers to find cheaper produces with high quality.
They can continue with this superiority, to produce local foods with pure Afghani process.
Although it has high prices but produce as first mover is an advantage. And can hold the
position in the market with better services. Also they can draw a strategy to help them
produce in different features and advertisements will be more important to find their
customers and develop their customer circle.
In first stages, more businesses started with same situations but more sober ones maintain in
the market. Once they could save their position and reputation between customers then it is
not easy to lose them. But it needs more cares and studies to be the market trustworthy
producer. If they draw a strategy that make it clear to create a clear and certain local suppliers
with high quality produces and transfer it with a suitable transportation system that be clear
for customers with a specific brand, and produce with low price make it distinguished one.
However the focus on short and easy ways it help them to produce in low price and attract the
customers. One best point is their good relationship with customers that has delivery system.
Also they can provide some training for cookers and workers to act in best manner. Also with
best actions they can earn some subsidies from government for first moves but must be
careful that these subsidies dont become as important supporter, because may act poorly as
new born business.
 Recommendations
They can focus on showing product visual that influence customers buying behavior near or
with conversion points. Integrating a visual that show the products of the week or month near
the point of sales or special deals window in the drive through lane would be great example
of this. When deciding what products to promote, consider determining on the basis of
product availability. By doing this, you will have more inventory control as well as help
prevent food waste as well as guarantee that they are maximizing the product as hand.
The first decision is to define the target customer. who do you serve? need to be answered
clearly before they execute any tactic effectively. It mean that they have to say no to other
potential customers who are clearly bad fits for narrow focus. This takes time to develop the
production. If they are spending time and money on marketing but efforts are not driving
enough sales, because of this that they have not narrowed the target market. They also can
focus one their unique benefit that arises from one or two main things that target customer
really wants, not a long list of all the things their product does. Social media can connect
them with the people in their niche: customers, potential customers, people who are
interested,
Reference
Hassibullah Hafizi, PPP coordinator at ACE (Afghan Center for Excellent)