A Case study of Mr.

Samsul Alam Chaklader

We have been told to do a case study on an entrepreneur by our Introduction to

Business subject teacher Mr. Harun Or Rashid of Marketing Department. Before we
start to do a case study on an entrepreneur we should know some basic facts on the
subject like,

1. What or who is an entrepreneur?

2. Why do we need to study an entrepreneur?

What or who is an entrepreneur:

In a word an entrepreneur is a person who takes the necessary risks to start, manage
and administrate a business and enjoys the profit from the business as return to all
these his services. According to French economist J. B. Say, “An entrepreneur is a
person who shifts economic resources out of an area of lower production and into an
area of higher productivity and yield.”

Basing on the definition given above we get the following information:

1. An entrepreneur is a person.
2. He takes the necessary steps to start a business.
3. He usually manages the business.
4. He brings the capital for the business.
5. He administrates the business.
6. He organizes the business.
7. In return he enjoys the profit of the business.

So we can finally say that a person who takes the risks necessary to organize, manage,
administrate and brings capital to a business and receives the financial profits and no
monetary rewards in return of his services.

Why do we need to study an entrepreneur:

In world of business an entrepreneur is an important figure. An entrepreneur is to be

known to be the base of a business as he starts, runs and manages the business. So as
students of business administration it is very important for us to know about this man
or woman who will start the business. We may want be an entrepreneur some day. If
we know the risks involved with this profession it will help us to take the exact
decision. We also may work under an entrepreneur as an employee at this case if we
can read the mind of our boss our carriers will be more success full than many others
because profession means YES BOOS.

A case study enables us to know about a person we can predict what he or she might
be thinking at a particular time. In case of an entrepreneur it also teaches us about the
stumbles and gambles of a business. It also teaches us how to over come the barriers
of a business successfully.

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A Case study of Mr. Samsul Alam Chaklader

Who am I studying:

The entrepreneur that I am writing my assignment on is one of the most proudest

persons in the society of entrepreneurs in Bangladesh. He is the proud owner of the
best electric accessories producing company of Bangladesh. He is known to be one of
the most honest persons in the business society of Bangladesh. He is Mr. Samsul
Alam Chaklader the entrepreneur who started Mohmadia Electronic Products (MEP)
pvt.

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A Case study of Mr. Samsul Alam Chaklader

Looking through Mr. Samsul Alams Chaklader’s life in a Glance

Name: Mr. Samsul Alam Chaklader

Father’s Name: Late Mr. Ali Ahmed Chaklader

Mother’s Name: Late Mrs. Rijia Chaklader

Date of Birth: 1/1/1951

Birth Place: Barisal

SSC:

Institute: A.K. School, Barisal

Passing Year: 1968

Diploma:

Institute: Polytechnic Institute, Barisal

Subject: Mechanical Engineering

Passing Year: 1972

About MEP:

Name of company: Mohamadiya Electronic Products (MEP)

Year of Establishment: 1973

Place of first establishment: Pillkana, Dhaka

Current Position: Hatkhola, Barisal(Main Production Unit)

Starting Capital: Tk 50,000/-

Product Details:

First Starting Product: 2 Pin Sockets & 3 Pin Plug

Product Name: Electronic Accessories

Product Type: Consumer Product

Type of Company: Private Limited (pvt)

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A Case study of Mr. Samsul Alam Chaklader

Personal Background

Born at 1st January 1951 Mr. Samul Alam lost his father late Mr. Ali Ahmed
Chaklader at a very early age. He was only 1 year old when he lost his father. After
that he began to grow up with his mother late Mrs. Rijia Chaklader. His maternal
grandfather’s family helped them with financial back up they needed. He was the
second son of his father. Like other normal kids he liked to play with marbles, spent
time gossiping with friends and go to school. As he said, “Most of the hat bazaar area
in this town (Barisal) at that time was part of the river. We used to play marbles in
this very place that my company is standing now. We used to wear those short half
pants and play until school time or until we get bored. Ah! Those days were fun,
nothing to fear no tension what to do or not. I miss those good old days.”

Mr. Samsul Alam studied in A.K. school, Barisal. He passed his SSC exams in 1968.
Later on he went to Dhaka for further studies but for some reasons he came back. He
decided to study mechanical engineering after returning from Dhaka. So he got him
self admitted in Polytechnic Institute of Barisal. He stated to study mechanical
engineering over there. He learnt a great deal of things from there which helped him
to establish his company later on. He passed his diploma engineering in 1972. Later
on he went on to establish MEP at 1973. After some years he got married. Now he has
two sons and is living a happy married life. His elder son has passed HSC recently
and younger one is reading in class 8 in Dhaka.

As an entrepreneur Mr. Samsul Alam Chaklader had to make the ultimate sacrifice for
his business, his family. But he always tries to stand beside his family when ever he
can. As he said, “I have a loving family. But due to business I can’t give enough time
to my family. I do try to give time when ever I can.”

Despite the loss of his father Mr. Samsul Alam went a long and grooming way to
make his filed. In a situation where most people get lost he not only stood up but went
on to be one of the most successful entrepreneurs Bangladesh will ever witness. He is
now known to be the proud owner of MEP the throne less king of electric accessories

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A Case study of Mr. Samsul Alam Chaklader

market of Bangladesh this is the only electric accessories company that has the ability
to go international when ever they want.

Story of building the legend MEP

The story of MEP is a boys story who came all the way from marbles to a multi
million taka Company this is about a mans journey from a 50,000/- taka company to a
multi Million taka company. MEP is named after the great profit Hajrat Mohammad
(SM)

MEP was basically established at 1973 in Dhaka. Later on it shifted to Barisal. If we

revue the hole story of MEP we can divide the progress of the company in two stages.
Stage1. The starting and struggling, Stage2. Recover and start to run.

The description of these stages is given bellow.

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Stage1. The starting and struggling (1973-1976):

Stage1 Stage2

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Stage1 Stage2
A Case study of Mr. Samsul Alam Chaklader

Mr. Samsul Alam started his business at 1973 just a year after his diploma graduation.
At that time he was just depending on his technical knowledge. He did not have any
marketing knowledge. The whole thing was just an idea that jumped into his head one
day when de was walking on the road.

At the starting he did not gained any profit at this stage the profit margin of the
company was 0. The company sustained this loss till 1976. Usually most of the
companies fall or break down at these circumstances, but because of Mr. Samsul
Alam’s stong will and focus intentions this company managed to survive the crucial
points of its business life. At this time the company continued to produce just to create
a market name or a place for it self in the market. At this point Mr. Samsul Alam
decided to change the location of the production unit of MEP. So he started to
negotiate with BISIC, Barisal for his license and a place in BISIC to start his
production unit.

Stage2. Recover and start to run (1977 to onward):

After the struggling time MEP at last sow the light of hope when the BISIC of Barisal
accepted their application for license and production unit implementation in about the
early 1977. Later on MEP received some capital from Mr. Samsul Alam’s younger
brother who lived in Iran at that time. This capital along with the place allocation and
license allowed MEP to boost up its production.

After this the company received one loan from the government which also helped it to
extend it production. Then at 2004 the government helped the organization once again
by the lease of a peace of land at Hat Khola in Barisal. This is where the new, bigger
and much more productive unit or plant of MEP is established.

Basically after 1977 the whiles of fortune started to run on favor of MEP and this
while is running ever sense.

You can also notice process at the graph given above.

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A Case study of Mr. Samsul Alam Chaklader

In this whole process Mr. Samsul Alam only received a small amount of money and a
little help from the government. He always says, “If one is to be a successful business
man he is to invest his own money and blood in the in the business. Otherwise one
can never be successful by help of others.”

Idea of the Business:

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A Case study of Mr. Samsul Alam Chaklader

Idea is the thin because of which a business man or entrepreneur gets started with his
works and stars a business. Mr. Samsul Alam never thought that he would be come
the person who will be the uncrowned king of electric accessories of Bangladesh. He
was an average person with the average struggle of life.

As I have mentioned Mr. Samsul Alam studied in Polytechnic Institute of Barisal on

mechanical engineering. Once he was walking on road when one of his friends told
him about his socket producing plan and took over a small place where he was
producing sockets manually. After seeing this he thought that he had the technical
knowledge that is necessary to produce these sockets all he needed was to know the
practical knowledge. So he started to observe his friend and later on went to establish
MEP. Thus the legacy of MEP began.

Raw Materials needed for Production:

The raw materials which are used for production are,

1. Hydrochloric Acid
2. Nitric Acid
3. Dust Powder
4. Ceramic Powder
5. Motor Brush
6. Static Acid
7. Copper
8. Aluminum
9. Iron
10. Metallic Nickel

Source of raw material import:

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A Case study of Mr. Samsul Alam Chaklader

Raw material is one element of production that can’t be found in one place. It has to
be gathered from different places. In case of MEP this had to be gathered from
deferent countries. The countries that MEP Collect their raw materials are
(Alphabetically):

1. Bangladesh
2. China
3. Thailand
4. Korea

Encouragement and Helping hands:

The biggest encouragements that kept Mr. Samsul Alam running was his mother.
Beside this his brothers specially his eldest and youngest brothers encouraged and
helped him a lot too.

Production Method:

As the business is a mixture of technical knowledge and technology the company

used a mixture of Capital and Labour intensive method.

Business Strategy:

The business strategies of MEP is as followed

1. High quality goods

2. Frequently Changing Model
3. Low price rate more sell

Promotion Methods:

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A Case study of Mr. Samsul Alam Chaklader

They usually do not spend too much money in promotion activities. Their good will is
enough for them. Usually customers find their product.

Price Strategy:

The price strategy of MEP is not like any of the books. The strategy at early stages
were to compare the market price and quality of Chinese goods and sell the good at
lower price that the Chinese goods with the same or better qualities. The current
strategy is to provide better quality in lower price.

Market Strategies:

The marketing strategy of MEP is not like any of the books. The strategy is to sell the
good directly to the retailers.

Capital:

The starting capital of this company was 50,000/- taka. It can be assumed that the
current capital will pass the million taka mark. But exact amount is not available as it
is a mater of company secrecy.

Company Type:

There are two types of companies in this business world. 1. Public Limited 2. Private
Limited. MEP is a Private Limited Company.

Share Holders:

The number of share holders in this company is 10. The names are confidential but it
can be assured that the share holders are family members.

Government Help:

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A Case study of Mr. Samsul Alam Chaklader

According to Mr. Samsul Alam he has received help from the government for only
three times. The aids are as given bellow,

1. Permision to establish the plant in BISIC and the license

2. An financial loan at the early stages
3. Getting lease of for the current plant at Hat Bazaar, Barisal
Producing Goods:

The producing goods of MEP are electronic accessories and wires. Ex: Two pin plug,
3 pin plug, Multiplug, 2 pin socket etc. Currently MEP is producing about 300
deferent types of electronic accessories and 300 deferent types of wires. Their latest
production is energy saving lights.

Highest Sales Aria:

Every company has a certain zone or area where he sales the most. In case of MEP
these areas are,

1. Barisal
2. Dhaka
3. Chitagong
4. Syllet
5. Bogura

Future Plan:

A company should have future plans. This helps them to see how the future might be.
MEP future concerns are,

1. To capture one fourth of Bangladesh’s market.

2. To go international.

Production Plants:

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A Case study of Mr. Samsul Alam Chaklader

The only two production plants of MEP are in Barisal.

1. The Hat Bazaar Plant.

2. The Basic Plant

4P Analysis

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A Case study of Mr. Samsul Alam Chaklader

Depending of the information provided we can do a 4P analysis on the company. 4P

means

1. Product
2. Place
3. Price
4. Promotion

1. Product:

This part analyses the production method of the company. As the business is a
mixture of technical knowledge and technology the company used a mixture of
Capital and Labour intensive method. There is also frequent change in the model of
the product with high quality goods.

Comments:

This method is surely and perfectly suitable for the production efficiency specially the
change in model with quality allows the company to be more flexible.

2. Place:

The place of the production unit of MEP is in Barisal Hat Bazaar & BISIC, Barisal.

Comments:

The place of the company has a superrve transportation system as the production plant
of the company at Hat Bazaar, Barisal is situated at the bank of the local river which
is capable of transporting big ships. The second one is at BISISC which also have a
good transportation facility and has at tariff discount too.

3. Price:

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A Case study of Mr. Samsul Alam Chaklader

The price strategy of MEP is not like any of the books. The strategy at early stages
were to compare the market price and quality of Chinese goods and sell the good at
lower price that the Chinese goods with the same or better qualities. The current
strategy is to provide better quality in lower price.

Comments:

The strategy is working till now but I am not sure about the future. So I think that the
company needs to improve the price strategy.

4. Promotion:

They usually do not spend too much money in promotion activities. Their good will is
enough for them. Usually customers find their product. The marketing strategy of
MEP is not like any of the books. The strategy is to sell the good directly to the
retailers.

Comments:

The strategy is primitive and MEP really needs to improve it or else they will not be
able to fulfill there future goals.

Final Comments:

Finally I would like to say that the Production and Place strategy is perfect right now
but if they want to go international or capture one fourth of Bangladesh’s electric
market they really need to work and improve their Price and Promotion policies.

SWOT Analysis

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A Case study of Mr. Samsul Alam Chaklader

SWOT Analysis is a well known and very effective analytical system. It is one of the
most popular analysis systems too. The system bases of the following four factors,

1. Strengths

Reefer’s to the personal qualities that make a person strong in business or any type of
work.

2. Weakness

Reefer’s to the personal qualities that make a person weak in business or any type of
work.

3. Opportunities

Reefer’s to the opportunities or benefits that a company may get or be getting at the
point.

4. Threats

Reefer’s to the threats or obstacles that a company may get or be getting at the point.

The SWAT Analysis of Mr. Samsul Alam Chaklader:

1. Strengths

 Honesty: Honesty is the best policy and Mr. Samsul Alam Chaklader is one of
the most honest person and businessman. For this reason he has such a good
good will.
 Technical Knowledge: As he has finished his education from Politechnical
Institute of Barisal he is well equiped with the necessary technical knowladge.
 Prompt in making decision: He becomes one of the successful entrepreneurs
due to having his selfrelience habit.

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A Case study of Mr. Samsul Alam Chaklader

 Selfachievement tendency: Growth oriented entrepreneurs have a high need

for achievement which is possessed by him.
 Risk taking tendency: McClelland suggests that people with a high need for
acievement tend to take risks which lead one to be one of the successful
entrepreneurs.
 Low need to conform : Growth oriented entrepreneur listens but they are able
to ignore others advice. Also handling skeptics is easy for entrepreneurs.
 Persistence: Growth oriented entrepreneurs are persistent, doggedly doing
what is best for business to succeed.They work hard on details & relentlessly
attempt to find ways to become more profitable.
 High level energy: The capacity for sustained efforts requre a high energy
level.

2. Weakness

 Lack of Proper Managerial Knowledge: Due to lack of proper

Managerial Knowledge he some times suffers system loss in business.
 Lack of Marketing Knowledge: Due to his lack of marketing knowledge
he is faceing some dificulties in marketing sector of the business.

3. Opportunities:

 Low Competition in Market: There is a very low competition in local

this market specially comparing to its quality.
 Goodwill: He has already earned a good goodwill for his company.
Which is very curtail for the companies development.

4. Threats:

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A Case study of Mr. Samsul Alam Chaklader

 Foreign Producers: The increasing number of foreign producers in

the market is one of the biggest threats to the business.
 Pirated Goods: Although Mr. Samsul Alam is not considering pirated
companies as threat but these companies are ultimately huge threats to the
business.

Final Comments and Suggestions:

Though the company is facing some threats but the company is doing well. This
doesen’t mean that the company is sequered for ever Mr. Samsul Alam must be
consus about the threths and should minimize them as fast as he can. He must also be
prepared for more in coming threats too.

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