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MIP Case let presentation:United Electrical Engineers (Pvt). Ltd

GHOUS ZAMAN KHIZER ALAM HASHAM ZAHID

CHAUDHRY AHAD

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Background Founded in 1975

1984 Partnership -> Pvt. Ltd. Company

Excels in the field of electrical networking andinstallation in different industries, multistoried office

buildings, power plants and other high valued projects

Provision of high quality services a top priority

High Price high quality proposition

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ClienteleSome of their clients include

British Petroleum

CNBC

National Refinery Limited

Jinnah Terminal

1999 - expanded the scope to electrical works insubmarine constructions for PNS dockyard.

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Industry Overview / Competitors UEE an established company in sparsely populatedindustry

Major competitors: Siemens and Areeba

Competition from emerging related industry ofrenewable power sources SRS Pvt Ltd.

Private electricians low quality low price

Market shares:

UEE: 25% SIEMENS: 35% AREEBA: 37%

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Consumer Behavior / Market analysis Dismal Law and order situation, energy crisis and lackof government support leads to budgetary contraints for

companies

This in turn leads to cost cutting measures

The renewable power source industry is fast

conquering the minds of consumers

High risk high reward business

Risk stems from working on credit, variability indemand, and project specific technicalities that need tobe expertly met

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MAJOR CHALLENGE / CONCERN

High price high quality proposition still theway to go?

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ALTERNATIVES

Take up only mega projects where slightly cheaper

service quality can be offset with the sheer volume tominimize the impact on profit margins

Approach the gap between UEE and its marketthrough diversification

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THE DECISION - DIVERSIFICATION

UEE Diversified into the business of providing powergenerators on a rental basis

2007 - Rental Mall a one stop solution:

Providing generators (100 KV 1275 KV) along withsupport services and related products like electrical

panels for a complete solution

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THE RESULT

UEE used its well established image to cater to a direneed in the business environment in Pakistan

Rental Mall A huge success!

Major clients:

Telenor, Descon, TSM, Dolmen , Tufail group, ICAP andIBA city campus.

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THANK YOU

QUESTIONS?