This website uses cookies to ensure you have the best experience. Learn more

Dewan Case Study

4936 words - 20 pages

Dewan India.  
 

CONSUMER PACKAGED GOODS – INDUSTRY BACKGROUND  CPGs  were  packaged  household  groceries  and  supplies  consumed  readily  and  regularly,  including  foods,  personal  care  products  and  detergents,  among  others.  The  CPG  industry  comprised  manufacturers,  wholesalers  and  retailers.  A  broad  spectrum  of  competitors  prevailed,  from  standalones  occupying  niches  to  integrated  firms  straddling  the  continuum.  Globally,  profit  margins  were  generally  low  for  CPG  companies,  and  their  business  models  emphasized  cutting  costs,  and  chasing  volumes  and  elusive  top‐line  growth.  Three  factors  ...view middle of the document...

  Home  care  products, snack food products and health‐care products were also growth categories.  The  CPG  industry  in  India  had  a  total  market  size  in  2006  of  $13.1  billion  (not  including  soft  drinks and tobacco products). Foods (including groceries) comprised 44 per cent of CPG sales.  Unlike the North American market, which was dominated by a few global players, the Indian  CPG market was fragmented, with over half the sales accounted for by mom‐and‐pop outfits  making  and  selling  unbranded  and  unpackaged  goods.  This  presented  an  opportunity  for  consolidation through economies of scale for makers of branded products. But building brands  was  challenging  in  the  Indian  context.  National  coverage  was  difficult,  particularly  for  new  entrants. There were over six million retail outlets in the country – two million urban and four  million rural. The supply chain was underdeveloped, and logistics were costly and challenging.  Although, overall, CPG transactions accounted for a significant part of the consumer’s budget,  they were of small individual value, making them unremunerative for marketers.  But what made India attractive was that its CPG market was among the fastest growing in the  world. The Indian economy was poised to grow at 9.2 per cent in 2007‐2008, after posting a  compound average growth rate of 8.6 per cent over the previous three years. The population 

INTRODUCTION  In  June  2007,  consumer  packaged  goods  (CPG)  companies  around  the  world  were  optimistically  betting  on  growth  in  India.  Dewan  India  Ltd.  (Dewan)  was  among  the  top  10  CPG1  companies  in  India  by  revenue  (see  Exhibit  1).  Dewan’s  chief  executive  officer  (CEO),  Sunil Duggal, was bullish on the Indian market, yet he was also convinced of the imperative to  internationalize. Scheduled to meet soon with a group of institutional investors to brief them  on the company’s growth strategy, Duggal had to factor in concerns about the priorities of the  company’s  international  business  division,  and,  in  particular,  he  needed  to  address  the  concerns expressed among foreign institutional investors. Duggal anticipated their questions :  Shouldn’t Dewan first build scale in the fast growing domestic market before attempting to go  global? Wouldn’t a strategy of pursuing new global markets detract from the company’s core  market  in  India,  where  it  was  beginning  to  face  growing  competition  from  international  players,  a  fast  changing  retail  landscape  and  an  ever  more  fastidious  consumer?  Wasn’t  the  growth  pattern  within  the  international  business  division  skewed,  and  likely  to  be  further  skewed (see Exhibit 2)? 
 

Duggal was keenly aware of the detractors’ arguments :  Whenever  an  Indian  company  announces  a  domestic  expansion,  through  an  alliance  or  acquisition,  its  stock  price  goes  up.  But  on  news  of  an  overseas  expansion, ...

Other Papers Like Dewan Case Study

Apa Format Guide Essay

3445 words - 14 pages ; publication year goes between parentheses, followed by a period. The title of the article is in sentence-case, meaning only the first word and proper nouns in the title are capitalized. The periodical title is run in title case, and is followed by the volume number which, with the title, is also italicized or underlined. Author, A. A., Author, B. B., & Author, C. C. (Year). Title of article. Title of Periodical, volume number(issue number

Business Related Issues Essay

5124 words - 21 pages commodities entering and leaving the country. In Bangladesh the levy and chargeability of customs duty are governed by the Customs Act 1969. Objective of the Study ▪ Intention to achieve extensive knowledge about Value Added Tax and Customs. ▪ To familiar with the VAT and Customs Authority. To understand the Organogram of VAT and Customs Administration. ▪ To study what performance are done by whom in

Freedom And Responsibility

2141 words - 9 pages amendment is “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercises thereof” (Jordan, 1999). Therefore, the first amendment states citizens have freedom of religion and exercises of the religion. The article entitled “Lawsuit alleges FBI violated Muslims’ freedom of religion,” published by Jerry Markon, Washington Post Staff Writer, justifies the detailed case of the FBI surveillance targeting Muslims for

Hate Crime Laws

2348 words - 10 pages Death of James Byrd”). While this particular case may give the appearance that perpetrators of hate crimes receive appropriate punishment, almost a decade later, one particular case demonstrates the inequity in the application of hate crime punishments: In 2007, Sean Kennedy of Charleston, South Carolina, left a bar around 3:45 am and was confronted by Stephen Moller, who called him a “faggot” and then punched him so hard in the face that his

Rational Emotional Behavior Therapy Case Study Conceptualization And Treatment Plan

2140 words - 9 pages Rational Emotional Behavior Therapy Case Study of Sarah: A Conceptualization and Treatment Plan Rational emotive behavior therapy, REBT, was developed by Albert Ellis and holds the central belief that the events in our lives do not cause our disturbances but that they are instead caused by our view of the events (Murdock, 2009). Murdock (2009) states that “people are seen as responsible for their behavior” (p. 279) but, because they are

Holidays In Albania

1636 words - 7 pages Have you ever thought about having exciting and incredibly cheap vacations? Albania might be the right choice. According to My Travel Guide, Albania is ranked the fourth among ten places worth visiting in Eastern Europe (“Top 10 Eastern European Destinations”). One can encounter three kinds of vacations in this Mediterranean country: winter, summer, and cultural. The ideal places to spend your winter vacations are the Albanian Alps. They are

A Heart Of Darkness

1748 words - 7 pages In this short story, there are frequent significant subject and ideas that make the story, "A Heart of Darkness," by Joseph Conrad, and haunting novel. The main theme is absolute white power over the natives. The theme validates the corruption, and the dependence caused by the white people as they took over the Congo. White men were giving all the power; they had no self-control, and in the end they did not use wisely. The white men became

The Aspects Of Vulnerability Among The Exploited In Medical Research

2287 words - 10 pages proceeding examples. The Willowbrook Hepatitis Studies was a case in which individual rights were severed and respect for one’s autonomy was lost. In 1947, in Staten Island, NY, Willowbrook was opened. Willowbrook State School was a state-funded institution for developmentally disabled children intended to accommodate approximately 4,000. By 1965, that number reached a population high of about 6,000. This high population mixed with a short staff led

The Hitchhiker’S Guide To The Galaxy

1171 words - 5 pages had this strange unaccountable feeling that something was going on in the world, something sinister.’ ‘No,’ said the old man, ‘that’s just perfectly normal paranoia. Everyone in the Universe has that,’” (Adams 160). The novel reinforces absurdity in the universe as Arthur’s fair attempt to study the universe is refuted with a simple response suggesting that the facets of the universe should be easy to comprehend. The film however, had Arthur make

The Ford Motor Company Wage Increase Of 1914 And The Theory Of Incentives And Efficiency Wages

1252 words - 6 pages doubling these wages can only be justified if, in some other way, it generates an equal or superior amount of value (either through a better product, lower costs, or both). According to the theory of incentives and efficiency wages, this is indeed the case, and Henry Ford even asserted that this decision was one of the best-cost cutting judgements they ever made (Raff and Summers 1987). This paper will outline the history of Ford Motor’s 1914

Historical Analysis Of The Economical Breakthroughs Of The Industrial Revolution

1396 words - 6 pages revolution, capitalism was used as the dominant form of economy in England. This helped England’s economy become consistent and organized throughout the country. However, it also posed certain, significant, problems. In order for the perfect capitalism to be achieved, every citizen had to begin equal. This was not the case, as many descendants of nobility and very early entrepreneurs started England's switch to capitalism with a lot more money than most

Related Essays

Lala Essay

6012 words - 25 pages | |(tahun penelitian) | | | | |Fenny Wijaya (2007) |Bagaimana gambaran penerapan GCG pada PT |Penelitian explanatory dengan pendekatan case|Penerapan GCG pada PT Astra Internasional Tbk | | |Astra Internasional Tbk ? |study

The Impact Of Short Message Service

1932 words - 8 pages the changes is the changes it brought to our national language – Bahasa Malaysia. It has been a debate between scholars and among the society whether the means of this electronic communication brought a positive effects or vice versa. Mobile phone are conveniently used for social communication, and in business transactions are invaluably helpful but can also be extremely detrimental to the languages, which in this case, Bahasa Malaysia. This report

Management Essay

2524 words - 11 pages Running head: ALTERNATIVE MEDICINE - HEALTHCARE Special CCN [Name of writer] [Name of institution]  Special CCN Introduction Ms Angie Taylor whose age is around 48years old had a car accident 15 years back. She is suffering from severe complications after an accident as she had never such a relevant past history. Her case study needs a thorough analysis which can be done through answering some important questions

Reverse Mortgages In India Essay

3542 words - 15 pages is a Home Loan product designed for the senior citizens by converting their fixed asset - | | | |their home or in banking terms their equity in any house property into an income channel without having to liquidify your equity in case | | | |of any requirement. | | | |The Dealing Parties: Reverse mortgage loan involves two