Marketers Can't Be Bought, But They Can Be Valued

 

 

Marketing Makes Money & Money Makes The World Go Round!

Marketing is one of the most popular fields in the financial sector; unfortunately, it is also one of the least properly understood. The general investing public believe that marketing consists only of snazzy ads & catchy press releases. This misconception is so prevalent that it not only reduces the return on investment (ROI) for the investor community, it also compromises the quality of the decisions taken by company management. This issue is so serious that it can even impact the workings of the financial aspects of the welfare sector. While some people consider marketers glorified liars, the reality is that marketing is the science of telling the truth in the most digestible & peaceful way possible. In order to further drive the importance of good marketing strategies home, given below are a few examples drawn from current events that illustrate what could - or did - happen if professional marketers are under-represented in decision-making groups.

What's Wrong With The DFID?

The British Department For International Development (DFID) has been on quite a roller coaster since the last 3 months. First, the news broke that it had found itself in the embarrassing position of being caught with prohibited signals & scanning technology in Haripur, Hazara, Khyber Pakhtunkhwa, Pakistan. Next came the news that its chief Justine Greening was being asked to step aside for the current DFID chief Priti Patel. The latest is that Ms. Patel is rumored to be planning to scale down DFID commitments globally. Are these events linked? Did one lead to the other? Unless the UK Government issues a clear coherent explanation, there is a risk that the international community's faith in the DFID's financial stability will continue to erode.

Did MOL Pakistan Activities Affect Domestic Fuel Prices?

Rumor has it the MOL Group has recently been indicted for some shady dealings in Pakistan. But while there is no dearth of headlines sweeping the compass from congratulatory notes on the latest MOL gas discovery to mysterious hints of behind-the-scenes fuel smuggling operations, the question no informed party seems to have thought to address until now is what (if any) effect does MOL have on the skyrocketing energy prices in Pakistan? Asking the Federal Finance Minister is useless because he just takes it as an opportunity to do a Nancy Sinatra impression with a These-Boots-Are-Made-For-Walkin' press statement!

When Did F1 Become Small Potatoes?

Another illustrative example would be the ongoing sale of international auto racing conglomerate Formula 1. Ever since F1 chief Bernie Ecclestone's son-in-law James Stunt's younger brother Lee died in mysterious circumstances a short while ago, the until-now sedate & dignified coverage of the transaction has dissolved into a storm of suspicion & speculation as to why F1 in general & the percentage belonging to CVC Capital Partners in particular is being sold at a horrifyingly-severe discount to US company Liberty - which is rumored to be unable to afford even the discount rate & related expenses.

Can Big Soda Profits Last Longer Than The Bubbles In The Drinks?

In a similar vein, most Pakistani financial analysts & experts are at a loss to explain the recent step announced by Meezan Group to launch a new offshoot - Meezan Beverages - whose flagship product will be a fizzy drink named "Cola Next" (complete with a label design that currently looks almost identical to the Coca Cola Label), considering that Big Soda's biggest name - Coca Cola - is reportedly being gradually phased out (for "environment & health reasons") in countries as rich as New Zealand.

"Energy Saving Mode"

An Intriguing Case In Point

There is a popular misconception that International Law & corporate politics have no place in Developing World business dealings. The reason cited? They are too poor. The reality however, is just the opposite; cash-based wealth isn't half as valuable as the raw, untapped assets of countries everywhere from Africa to Asia. As an illustration, take a look at the following summary of a very interesting case that has recently been decided by the United Nations Commission On International Trade Law (UNCITRAL):

Pakistan Wins Case Against Progas Company In International Court (The News, 2/9/2016)

Pakistan has won a case against the UK-based shareholder of Progas Pakistan Limited in international court of arbitration that was filed by the company years back & claimed $573 million as damages against Islamabad. The company which is now acquired by the Sui Southern Company (SSGC), had set up LPG terminal in 2004 & was shut down in 2008. The company had taken a plea that during this period, Pakistan had interfered in LPG prices that made their business unviable. This was reason that petitioners had claimed damages of $573 million against Government of Pakistan, said Petroleum Minister Shahid Khaqan Abbasi while addressing a press conference here Tuesday. Minister said that court had also ordered the petitioners to pay $11 million to Government of Pakistan against expenses Islamabad had incurred during the case proceedings. He said that petitioners would have to pay interest on it if they fail to clear it within 60 days. He said that Government had spent $18 to $20 million on this case.

What's UNCITRAL (uncitral.org) ?

In the years since its establishment, UNCITRAL has been recognized as the core legal body of the United Nations system in the field of international trade law. A legal body with universal membership specializing in commercial law reform worldwide for over 40 years, UNCITRAL's business is the modernization & harmonization of rules on international business. Trade means faster growth, higher living standards, & new opportunities through commerce. In order to increase these opportunities worldwide, UNCITRAL is formulating modern, fair, & harmonized rules on commercial transactions. These include:

*Conventions, model laws & rules which are acceptable worldwide

*Legal & legislative guides & recommendations of great practical value

*Updated information on case law & enactments of uniform commercial law

*Technical assistance in law reform projects

*Regional &  national seminars on uniform commercial law

The Commission carries out its work at annual sessions, which are held in alternate years at United Nations Headquarters in New York & at the Vienna International Centre at Vienna. Each working group of the Commission typically holds one or two sessions a year, depending on the subject-matter to be covered; these sessions also alternate between New York & Vienna. In addition to member States, all States that are not members of the Commission, as well as interested international organizations, are invited to attend sessions of the Commission & of its working groups as observers. Observers are permitted to participate in discussions at sessions of the Commission & its working groups to the same extent as members.

The Commission has established six working groups to perform the substantive preparatory work on topics within the Commission's programme of work. Each of the working groups is composed of all member States of the Commission. The six working groups and their current topics are as follows:

*Working Group I - Micro, Small & Medium-sized Enterprises

*Working Group II - Dispute Settlement

*Working Group III

*Working Group IV - Electronic Commerce

*Working Group V - Insolvency Law

*Working Group VI - Security Interests

Who's Progas Pakistan Limited (progas.cc/about.php) ?

Progas Pakistan Limited is the first fully integrated LPG company in Pakistan & largest in terms of investment. From handling LPG at its own import terminal, right down to the supply of consumer retail packs of LPG, while conforming to highest HSE standards, Progas aims to make a significant contribution to the social development of its consumers & communities at large in Pakistan. Progas’s main storage, bottling & terminal facilities are located at Port Qasim in Karachi which handles LPG from various international sources, both for its own account & as a common user facility for other LPG marketing companies. Progas offers hospitality arrangements for other LPG marketing companies in all its storage & bottling operations countrywide. Nationally Progas owns 1/3 of the country’s total storage facility. With special relationships amongst LPG producers worldwide, Progas ensures adequate & economical supply of LPG in Pakistan while creating greater price stability. This is evident since the terminal has come into full operations. Progas Pakistan has its main office in Karachi, a regional office in Islamabad & a terminal office at Port Qasim, Karachi. Regional Distribution Centers are Located in Haripur near Islamabad, Lahore & Quetta, & a dispatch station at Taftan on the Pakistan-Iran Border. The Company at present employs 175 qualified & experienced staff from the LPG industry. It has over 300 dealers nationwide.