Marketing case study presentation on ITC Foods

1. ITC Foods
(Growth & Future prospects)
-Niraj Agarwal
-Nidhi Kalyani
-Nidhi Musaddi
-Pallavi Maheshwari
-Poulomi sengupta
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2. Alternative Choices
• Expand its existing line of businesses.
• Acquire properties in India or abroad.
• Enter into unrelated businesses.
• Use the existing business to enter into new
territory.
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3. Foods – Leveraging the existing
divisions
Tobacco Division
(Extensive
distribution system)
Printing &
Packaging Division
Hotels Division
(State of the art
(Cuisine expertise)
packaging at cost
effective rates)
Foods
Division
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4. Political
Economic
Competition
Price sensitivity
regulation
Growth sector
Tax policies
Social
Technology
Lifestyle
R&D
Attitudes & Beliefs
Packaging
Education
Distribution

5. SWOT ANALYSIS
-Already established packaging business.
-Established Brand
-Extensive Distribution Network
-Unrelated diversification
-Cash rich company
- Efficient Procurement system (E-chopal)
-Professional Management
SWOT
-Not its core competency
-Large market
-Competition from organized as well as unorganized
-Booming IT Sector
sector
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6. Agricultural
sanchalaks
Internet produce
kiosks
•Strong supply
chain
management
•lower net cost of
procurement

7. PROBLEMS SOLUTIONS
• Infrastructural inadequacies • Power back-up through
 Power supply batteries charged by Solar
energy
 Telecom connectivity
• Upgrading BSNL exchanges
 Bandwidth
• Installation of VSAT
 Imparting skills to the first time equipment
internet users in remote and
inaccessible areas • 24x7 helpdesks
‘E-Choupal' E choupal
services today reach out to over 4 Next 5 year
Now
million farmers in over 40,000 villages through
nearly 6500 kiosks across ten states
States covered 10 15
Choupal sagar in 2004
Choupal Pradarshan Khet brings the best
Villages covered 40,000 100,000
agricultural practices to small and marginal
farmers No. of e-Choupals 6,500 20,000
Farmers e-empowered 4 million 10 million

8. Promising Business Idea
Create customer value Market of adequate size
-Hygiene -Growing Market
-Product Range -Target Market :Niche,
-Specialized Middle -Income,
-Products Children Families
Feasibility &
Profitability Sufficient Degree of
Innovation
-Enough Resources
-Hygiene
-Cash Rich
-Better packaging from
-Utilization of reserves others
&surplus
-customization
-Inter-connected business
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9. Causes
• Change in people’s lifestyle
• Increase in income
• Acceptability towards the product
• Globalization
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10. Effects
• Diversify its product line
• Expected break even by 2007
• Utilization of existing infrastructure
• Introduction of E-chaupal
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11. Competition Monitor
Biscuits-
Britannia, Parle
Confectionery- Wheat- HLL,
Perfetti, Parle Pilsbury
R 2 E-
MTR, Kohinoor

12. Challenges
• Competition from unorganized sector.
• Maintaining price & quality with rising
commodity prices.
• VAT and taxes.
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13. The Road ahead…
• Expansion in the rural markets through
Chaupal Sagars
• Enter into fruit pulp market domestically