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societys
Sinhgad Business School
Report For Industry Analysis and Desk
Research (215)
On
Chocolate Industry
&
Automobile Industry
Submitted to
Sinhgad Business School, Erandwane, pune
In partial fulfilment of Industry Analysis and Desk
Research
Submitted by students:
Kunal supe
Nitin suryavanshi
Monica Batra
Kanchan Khandesi
Ketan Mandlik
Mangesh Pote
M. Arshad
M. Shoaib
Mohnish Dudhe
Mahesh Sonawane
STUDENT DECLARATION
AUTOMOBILE INDUSTRY
&
CHOCOLATE INDUSTRY
Submitted in partial fulfilment of the requirement for the
award of degree of
MASTERS IN BUSINESS
ADMINISTRATION
Place : Pune
Date :
Signature
EXAMINERS
CERTIFICATE
The project report of :
Kunal supe
Nitin suryavanshi
Monica Batra
Kanchan Khandesi
Ketan Mandlik
Mangesh Pote
M. Arshad
M. Shoaib
Mohnish Dudhe
Mahesh Sonawane
(Automobile industry
&
Chocolate industry)
External Examinar
Internal Examiner
Signature
Signature
INDEX
(Chocolate Industry)
Sr. Page
No. no.
1 About chocolate industry
2 Chocolate industry history
3 Indian Market
4 Top 3 Players in Indian Market
5 Bottom 3 Players in Indian Market
6 Corporate social responsibility
7 Prospecting career in chocolate
industry
8
INDEX
(Automobile Industry)
Sr. Pag
No. e
no.
About chocolate industry:
1) Chocolates :
Chocolate invented 3,100 years ago by the Aztecs -
but they were trying to make beer. Scientists have
discovered that chocolate was invented at least
3,100 years ago in Central America.
Chocolate has become one of the most popular food
types and flavour's in the world.
Indias chocolate industry is valued at INR 58bn in
FY2014, and is expected to grow at a CAGR of 16% to
reach INR 122bn by 2019.
2) Chocolates Industry history :
The Indian chocolate industry has come a long way
since long years. Ever since 1947 the Cadbury is in
india, Cadbury chocolates have ruled the hearts of
Indian with their fabulous taste. Indian chocolate
industrys Cadbury company today employs nearly
2000 people across India.
The chocolate industry in India as it stands today is dominated by
two companies, both multinationals. The market leader is
Cadbury with a lion's share of 70 percent. The company's brands
(Five Star, Gems, Eclairs, Perk, Dairy Milk) are leaders their
segments. Till the early 90s, Cadbury had a market share of over 80
percent, but its party was spoiled when Nestle appeared on the
scene. The latter has introduced its international brands in the
country (Kit Kat, Lions), and now commands approximately 15
percent market share. The Gujarat Co-operative Milk Marketing
Federation (GCMMF) and Central Arecanut and Cocoa
Manufactures and Processors Co-operative (CAMPCO) are the
other companies operating in this segment. Competition in the
segment will get keener as overseas chocolate giants Hershey's and
Mars consolidate to grab a bite of the Indian chocolate pie.
Companies will have to keep themselves abreast with the
developments in other parts of the world. PRICING is the key for
companies to make their product reach consumers pockets. Right
pricing will make or break the product SUCCESS. Economical
distribution of the products will also be equally important.
Indian chocolate market
5%
25% Cadbury
Nestle
Others
70%
Cadbury
Number of 2000
employees
Website www.cadbury.co.uk
It is the market leader in the chocolate confectionery business with a market share of
over 70%.
On 21 April 2014, Cadbury India changed its name to Mondelez India Foods Limited.
Company >> C&F agent >> Distributors >> Retailers >> Consumers
As you can see, due to the channel, the distribution costs of Cadbury are high.
But based on the demand in the market, the costs were going to be high
anyways. That is something which has to be taken into consideration during
the distribution of products. In the end, Cadbury has a very srtong presence in
the market, and you can be rest assured, that if you want to have a cadbury, it
will be within 2 minutes reach from you in any of the local retail shops.
Promotions in the Marketing mix of Cadbury Indians love sweets. From
Bengalis to Punjabis to South Indians, each of us want sweets. Youngsters
love sweet, and old people want a nibble from time to time. Thus it is no
surprise, that a smart marketer like Cadbury has a tag line Kuch meetha ho
jaye which means that lets have something sweet. It is no surprise that
people always have some cadburys stocked at home. Or they gift a Cadbury
dairy milk or celebrations to their loved ones.
The promotions of Cadbury for each of its products is different. For Bournville,
Cadbury has kept the position that you dont buy a bournville, you earn it. So
basically, it is not on the consumer to buy the bournville, Someone has to gift
him the same. For Cadbury celebrations, the positioning is of gifting. Cadbury
celebrations has a major commercial customer base, where the chocolate is
brought in bulk and given to employees, clients or vendors. Eclairs has a low
cost position, Bournvita has a strong health positioning, Perk has a youngster
position, so on and so forth. Cadbury uses a combination of ATL as well as
BTL marketing. The BTL marketing of Cadbury is very strong with its
hoardings, and standies as well as flex banners on shops, corners, hotels etc.
Thus, due to these activities, the brand recall is very high and people will
always remember a Cadbury whenever they are buying a chocolate.
Overall, there are many many positives which make Cadbury the great
company that it is. We hope that Cadbury keeps manufacturing such great
products. So what do you say? Kuch meetha ho jaye
2.Nestle
Marketing Strategies :
BCG Matrix : FMCG goods
Pricing strategies :
competitive pricing
Distribution strategies:
Promotional strategies:
Ferrero Rocher
Type Chocolate
Marketing Mix:
Product
Price
Promotion
Ferrero Rocher is responsible for one of the all time classics
commercials-Ambassadors Reception. The famous ambassador advert
made its return to the screen in 2003, but this time with a humorous and
contemporary twist, as the ambassador was female. In 2004 the creative
moved on further with Share the Magic with the aim to expand the role of
Ferrero Rocher beyond that of just a formal gift to one that is also relevant to
broader social occasions, while maintaining all of the aspiration and glamour
synonymous to the brand. The objectives of the updated execution were to
drive modernity and relevance in a salient way and engage a younger
consumer target. This was achieved with results showing ad was highly
successful, with penetration of the brand increasing by two percent.
Place
1. Amul
Amul is an Indian dairy cooperative, based at Anand in the state of Gujarat, India.
The white revolution was spearheaded by Tribhuvandas Patel under the guidance of
Sardar Patel. As a result, Kaira District Milk Union Limited was born in 1946.
Tribhuvandas became the founding chairman of the organization which he led till his
last day of his life. He hired Dr. Kurien three years after the white revolution. He
convinced Dr.Kurien to stay and help with the mission rest was history in the dairying
industry.
Amul spurred India's White Revolution, which made the country the world's largest
producer of milk and milk products.In the process Amul became the largest food
brand in India and has ventured into markets overseas.
Dr Verghese Kurien, founder-chairman of the GCMMF for more than 30 years (1973
2006), is credited with the success of Amul
Amul
Type Cooperative
Industry Dairy/FMCG
Founded 1946
Website www.amul.com
2.Mars
Mars, Incorporated
Type Private
Products Confectionery: Chocolate bars; gum; candy; mints; beverages; foodstuffs; pet
food
Major brands in alphabetical order include: 3 Musketeers 5 Big
Red Bounty Doublemint Dove/Galaxy Eclipse Extra Freedent Hubba
Bubba Juicy Fruit Life Savers M&M's Mars Milky
Way Orbit Pedigree Skittles Snickers Starburst Spearmint Twix Uncle
Ben's Rice Whiskas Winterfresh food animal products
Website www.mars.com
3.Camp co
Cadbury india
Project Shubh Aarambh was launched in November 2014 as Mondelez India Foods
Pvt. Ltds umbrella CSR and community programme in the country. Shubh Aarambh
means an auspicious beginning and as the name suggests it is a new beginning for
change as the program focusses on the integrated development of children to foster
nutrition/health education, promote education and address social issues impacting
young people, gender equality and support young people to become better citizens.
Shubh Aarambh is activated around the companys manufacturing sites operations in
Tamil Nadu and Kerala. The programme is expected to impact close to 200,000
beneficiaries across 7 states over the next few years.
Shubh Aaramb has a multi-pronged approach and our focus is on three key areas:
health and nutrition as part of the childs holistic development, encouraging healthy
life and encouraging kitchen gardens. Keeping the childs need at the centre of our
activity, we will work with parents, educators and community health workers to
provide health and nutrition support in the early years; education, sports/physical and
social development in later years and equip young people to make them more
employable. We also have programmes in certain areas to support skills and
livelihoods and water conservation and greening.
Disaster rehabilitation has always been part of our agenda and we continue to
support this.Volunteering is a very important aspect of our program and we are
ensuring our colleagues are given regular/relevant opportunities to participate in
various initiativesproviding their time, commitment and support to engage with the
communities.
Nestle
Corporate Social Responsibility (CSR) Policy Nestl India Limited
(the Company) is a leading Nutrition, Health and Wellness
Company. As a responsible Company, it has since its inception,
participated in business activities which help in improving the
quality of life for the communities where it operates. This also
includes creating better livelihood opportunities. In consultation
with stakeholders, the Company has decided to focus its
activities on the following areas, where it is in a position to
create maximum value.
Ferro rocher
Financial support was provided to a day care center in Mumbai run by the French
NGO Un Toit Bombay in 2010. The objective of the project was to provide
educational assistance to about 60 deprived young girls of the Malad East slum,
hosting them after school until their parents come back home.
The support provided by FSE-India could support about 30 children for one year.
Financial support was provided to a Shelter in Wadala West, Mumbai which hosted
about 75 vulnerable rootless and roofless street young boys, between 5 and 18
years. The Shelter Center offered a variety of services (educational and skill training
activities; drug de-addiction and rehabilitation programs; HIV/AIDS awareness and
prevention programs, etc.) aimed at empowering the street children and assisting
them in integrating into society.
References:
Wikipedia and slide share presentation
www.marketing 91.com
www.google.com
business.mapofindia.com
India is also a prominent auto exporter and has strong export growth
expectations for the near future. In FY 201415, automobile exports grew by 15 per
cent over the last year. In addition, several initiatives by the Government of India and
the major automobile players in the Indian market are expected to make India a
leader in the Two Wheeler (2W) and Four Wheeler (4W) market in the world by
2020.
The Indian automotive aftermarket is estimated to grow at around 10-15 per cent
to reach US$ 16.5 billion by 2021 from around US$ 7 billion in 2016. It has the
potential to generate up to US$ 300 billion in annual revenue by 2026, create 65
million additional jobs and contribute over 12 per cent to Indias Gross Domestic
Product.
Market Size :
The Indian auto industry is one of the largest in the world.
The industry accounts for 7.1 per cent of the country's Gross Domestic Product
(GDP). The Two Wheelers segment with 81 per cent market share is the leader
of the Indian Automobile market owing to a growing middle class and a young
population.
Investment :
The automobile industry is one of Indias major sectors, accounting for 22% of the
countrys manufacturing GDP. The Indian auto industry, comprising passenger
cars, two-wheelers, three-wheelers and commercial vehicles, is the seventh-
largest in the world with an annual production of 17.5 million vehicles, of which
2.3 million are exported. Two-wheelers dominate the Indian market; more than
75% of the vehicles sold are two wheelers.
Government Initiatives:
The Government of India encourages foreign investment in the automobile sector
and allows 100 per cent FDI under the automatic route.
Some of the major initiatives taken by the Government of India are:
The Automobile Mission Plan (AMP) for the period 20062016, designed by
the government is aimed at accelerating and sustaining growth in this sector.
Also, the well-established Regulatory Framework under the Ministry of Shipping,
Road Transport and Highways, plays a part in providing a boost to this sector
Maruti Suzuki:
Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an
automobile manufacturer in India.It is a 54.2%-owned subsidiary of Japanese
automobile and motorcycle manufacturer Suzuki Motor Corporation. As of January
2017, it had a market share of 51% of the Indian passenger car market, Maruti
Suzuki manufactures and sells popular cars such as
the Ciaz, Ertiga, Alto, Swift, Celerio, Swift Dzire and Omni. The company is
headquartered at New Delhi. In February 2012, the company sold its ten millionth
(ten million = one crore) vehicle in India.
Maruti Suzuki occupies 37% share in the Indian market of passenger cars. It
manufactures various types of cars and sells them in the market. Its various
cars are-
Alto
A-Star
Ritz
Swift
Celerio
WagonR
DZire
Zen
Sx4
Kizashi
Omni
Eeco
Ertiga
Grand Vitara
In the earlier stages, the company Maruti imported all its cars. This caused
dissatisfaction in the minds of local manufacturers. In the year 1983 Maruti
800 was released in the Indian market and local production started henceforth
from the month of December in 1983. The plant in Gurgaon managed to
extend its capacity to forty thousand units. In 1987, Maruti exported its first
batch of nearly five hundred cars to Hungary. In the year, 1995 Maruti opened
its second manufacturing plant with a capacity of manufacturing 200,000 units
per year.
We can call the pricing strategy of Maruti as both penetrative and competitive.
Maruti Suzuki has a pricing policy that is based on many factors. It makes a
proper evaluation of the market by studying the most important fact that how
much is a customer able to pay for a car and what are his needs. The
research team of the company makes an analysis of the current market
trends, the competition, the cost of raw materials, the economic factors
governing the market, the distribution charges, cost of advertisement, the
dealers profit and the profit of the company.
One of the first things which Maruti does to promote its product is to use all
types of media when launching a new product or a new variant.
The brand and the service promise of the company does the rest. The brand
has been built over a period of decades and people now know that a Maruti
Suzuki product will be a reliable one. The most prominent way to advertise is
the ATL and mainly television, after which newspaper, outdoor and print takes
preference.
2. Tata Motors
Maruti Suzuki India Limited
Tata Motors
Limited (formerly TELCO, short
for Tata Engineering and
Locomotive Company) is an
Indian multination alautomotive man
ufacturing company
headquartered Type Public in Mumbai, India,
and a member of the Tata Group.
Its products include
passenger cars, Traded as BSE: 532500 trucks, vans,
coaches, buses, NSE: MARUTI sports cars,
construction equipment and
BSE SENSEX Constituent
military vehicles
Industry Automotive
Tata Motors has auto
manufacturing and assembly
plants Predecessor Maruti Udyog Limited
in Jamshedpur, P antnagar, Luckno
w, Sanand, Dhar wad, and Pune in
India, as well as Founded 1800 in Argentina,
South Africa, Great Britain and
Thailand. It has research and
development Headquarters New Delhi, India[1][2] centres in Pune,
Jamshedpur, Lucknow, and
Dharwad, India and in South
Key people R. C. Bhargava[3] (Chairman)
Korea, Great Britain and Spain.
Tata Motors' principal
Kenichi Ayukawa [3](Managing Director &
subsidiaries purchased the
English premium CEO) car maker Jaguar
Land Rover (the maker of Jaguar
and Land Rover Products Automobiles cars) and the
South Korean Production output 1,429,248 units (2016) [4] commercial
vehicle manufacturer Tata
Daewoo. Tata 58,612 crore (US$8.7 billion) (2016)[5] Motors has a bus-
Revenue
manufacturing joint venture
with Marcopolo Net income 4,630.90 crore (US$690 million) (2016) S.A. (Tata
Marcopolo), a [5]
construction-
equipment manufacturing
joint venture Number of 12,900 (2015)[6] with Hitachi (Tata
Hitachi employees Construction
Machinery), and a joint venture
with Fiat Parent Suzuki Motor Corporation (54.2%)[7] Chrysler which
manufactures automotive
components and Website www.marutisuzuki.com Fiat Chrysler and
Tata branded vehicles.
TATA Tiago, a compact hatchback, is the successor of TATA Indica
Carriers
2. Price in the marketing mix of Tata Motors The prices of Tata motors are
generally affordable acceptable by the general public at large. Tata always
have something for the lower class people with Nano being their trump card.
Giving discount every month and special promotion for certain type of vehicle
also one of the strong strategy use by Tata Motors. Discount can be made
from Companys profit or from dealers profit at certain range.
Type Public
Industry Automotive
Founded 1945
Products Automobiles
Sport Cars
Commercial vehicles
Coaches
Buses
Construction equipment
Military vehicles
Automotive parts
2. HYUNDAI MOTORS
Hyundai Motor India Ltd is a wholly owned subsidiary of the Hyundai Motor
Company in India. It is the second largest automobile manufacturer in India .
Hyundai Santro Xing/Atos Prime (Discontinued-2014)was made only by Hyundai Motor India Limited.
Hyundai Motor India Limited was formed on 6 May 1996 by the Hyundai Motor
Company of South Korea. When Hyundai Motor Company entered the Indian
Automobile Market in 1996 the Hyundai brand was almost unknown throughout
India. During the entry of Hyundai in 1996, there were only five major automobile
manufacturers in India,
i.e. Maruti, Hindustan, Premier, Tata and Mahindra. Daewoo had entered the Indian
automobile market with Cielo just three years back while Ford, Opel and Honda had
entered less than a year back.
For more than a decade till Hyundai arrived, Maruti Suzuki had a
near monopoly over the passenger cars segment because Tata
Motors and Mahindra & Mahindra were solely utility and commercial vehicle
manufacturers, while Hindustan and Premier both built outdated and uncompetitive
products.
Hyundai is a global brand that has been tapping the emerging markets
successfully. Its pricing policies have helped it to maintain its position as one
of the best automakers in industry. In order to cater to different sections of
society it has manufactured numerous vehicles and kept varied pricing
policies for them. Some of its cars belong to competitive pricing category,
whereas others like luxury car Genesis belongs to premium pricing category.
In order to make its penetration policy successful it has managed to keep its
prices affordable for consumers. Hyundai has been known for supplying
value-based products and its prices have been set at a competitive rate when
compared to competitors. It can also be said to be value based pricing,
because as the value provided in each model changes, the price of the car
rises. It gives several trade benefits as well to its dealers to promote the
products from time to time.
Hyundai wanted each and every customer to relate his/her vehicle with
moments of happiness and good memories. Company has been associated
with different sports to create its brand visibility. It has entered motorsport in
year 1998 and 1999, competing in world Rally Championships. It has various
sponsorship deals in sports like FIFA, A-League, Korea Football Association,
Brisbane Lions and Hyundai Hockey Helpers.
First model of Hyundai Motor Group was Cortina in year 1968 and it was co-
produced with Ford Motor Company. In year 1975, company launched its first
solo-effort car Pony and started its export to different countries like Ecuador
and later to Canada. In 1986, Hyundai launched its vehicles in United States
and its car Excel was declared one of the best ten products. Currently
Hyundais product folio includes engines, commercial vehicles and
automobiles and some of the most popular ones are as follows-
Sedans, sports car and hatchbacks like Aslan, Accent, Genesis, Eon,
Elantra, i20, I10, Marcia, Santa Fe, Xcent and Hyundai Sonata
Vans and SUVs include Tucson, Terracan, Santa Fe Sport and Porter 2
Note that within the above product lines, there are various product depths and
product length as well. So an I20 will also have an I20 asta, I20 Magna and
other variants. The low value, medium value and high value variants are
present in most cars of Hyundai.
Type Subsidiary
Industry Automotive
Products Automobiles
Website www.hyundai.co.in
1.Chevrolet :
Chevrolet came to India in 2003. An office was set up in Bombay with an assembly
plant constructed in Sewree. General Motors was the first automobile company to
open an assembly plant in India. Vehicle Production started in 1928 with the National
Series AB Touring. In 1952-53 the socialist Indian Government forced General
Motors India to shut shop, along with other foreign car companies. However, in
2003 Chevrolet Sales India was established and the Chevrolet brand was re-
launched in India. It replaced Opel as the only brand offering by General Motors
India Private Limited.
Chevrolet
Type Division
Industry Automotive
Products Automobiles
Commercial Vehicles
Trucks
Services
Vehicle financing
Vehicle insurance
Vehicle repairs
Vehicle sales
Oil changes
Website chevrolet.com
3.Nissan
Nissan Motor India Pvt Ltd (NMIPL) is a wholly owned subsidiary of Nissan Motor
Co. Ltd Japan. The company was incorporated in 2005 and offers innovative and
exciting products across hatchback, MUV, SUV and sedan segments in India. Nissan
in India has a portfolio of two brands, Nissan and Datsun.
In February 2008, Nissan, together with its global alliance partner Renault signed a
MoU with Government of Tamil Nadu to set up a manufacturing plant at Oragadam,
near Chennai with an investment of INR 45 billion over a period of 7 years. On 17
March 2010, the Renault-Nissan alliance plant was inaugurated in a record time of
21 months since its ground breaking ceremony in June 2008.
Type Subsidiary
Industry Automotive
Founded 2005
Products Automobiles
Website www.nissan.in
3.Fiat
FCA India Automobiles Private Limited (FCAIPL) formerly known as Fiat Group Automobiles
India Private Limited was formed in the year 2012 as a fully owned direct subsidiary of FCA Spa
Italy.
Type Subsidiary
Industry Automotive
Products
Automobiles
Engines
Transmissions
Website www.fiat-india.co
Automobile regulatory authority of
india :
The automotive regulations in India are governed by the Ministry of Road Transport
and Highways (MoRT&H) which is the nodal ministry for regulation of the automotive
sector in India.
In India the Rules and Regulations related to driving license, registration of motor
vehicles, control of traffic, construction & maintenance of motor vehicles etc. are
governed by the Motor Vehicles Act, 1988 (MVA) and the Central Motor Vehicles
rules 1989 (CMVR).
Job opportunities:
The automotive industry is projected to reach a value of $5.1 trillion by 2015 and
employs millions worldwide in roles ranging from manufacturing to sales. To get a
closer look at how MBAs fit into the automotive industry, BusinessBecause
assembled a virtual panel of three MBAs with substantial experience in the industry.
Future scope :
For MBAs, there are lot of opportunities in sales and marketing, supply chain and finance
arenas. MBA graduates can work in sales teams to help companies increase market share;
marketing teams to help develop and implement branding strategy; supply chain teams to
help optimize the supply chain efficiency and control costs; or in finance to help augment
sales through sales aid financing, to raise capital for expansion and new projects and
support building investor relations and implementing mergers and acquisitions strategy.
The Indian Automobile Industry plays a major role in the economic scenario of
the country. The automobile sector in India, record sales of more than one
million passenger cars per year. The percentage of automobile exports has
risen significantly during the last few years. The government policies on Indian
automobile industry have been framed in order to aid in the expansion of the
automobiles sector in India.
Tata Motors
We focus on four areas: Health, Education, Employability and
Environment. Moreover, in line with the Group's Affirmative Action
framework, we work to help people from Scheduled Castes (SCs)
and Scheduled Tribes (STs) get access to better opportunities for
education and livelihoods.
Hyundai Motors
HMIF was formed in the year 2006 with the purpose of 'giving back' to society and to
initiate Corporate Social Responsibility (CSR) activities in the areas of Community
Development, Health Care, Educational and Vocational Training, Environment, Road
Safety, Art, Science, Technology, etc.
Safe Move:
Hyundai Motor India Ltd, the country's leading premium car manufacturer and the
largest passenger car exporter launched its CSR initiative 'Safe Move-Traffic Safety
Campaign' in association with Ministry of Road Transport and Highways.
Happy Move:
Hyundai Motor India Ltd, the countrys second largest car manufacturer and the
largest passenger car exporter launched global CSR campaign- Happy Move in
India. Hyundai Motor India in association with Archaeological Survey of India (ASI)
will spread awareness on the Indian heritage monuments.
Hyundai Motor India has clocked its highest-ever financial year domestic sales of
484,324 units in the just-ended 2015-16. Growth is up 15.1% over FY2014-15 when
it had sold a total of 420,668 units. In March 2016, the carmaker registered domestic
sales of 41,201 units and exports of 10,251 units with cumulative sales
of 51,452 units.
References: