Mihir Kesaria

PGP12244

Vora and Company.pdf

Thing to understand before taking any decision & think that were done bad during the process:

a. We are talking about the year 1960's, it has been only 13 year since India has got independence,
we are fighting a war with China and the country economic condition has been really impacted
by all of this, which has eventually impacted the purchasing power of the citizens
b. Mr Vora has wrongly compared Indian market with the western market, even today after so
many advancements marketers are reluctant to compare Indian market with the western
market.
c. Mr. Vora had no knowledge about the Indian Ceral oats Market, he assumed that Cereals oats
market would be same as compared to other cerals market in which his company has
experience, but it was not true and the biggest reason behind this was that he completely had
different Market segment(high-Medium income & high income class) as compared to normal
cereals (basically every income segment)
d. 2 years is very less time to create awareness in the entire country, they should have segmented
areas
e. "White Oats" name on top of each other? Consumers never like to put efforts while purchasing,
they already have too much things going on in their mind while purchasing why to add more?
f. As exclusive rights were given to the distributive agents, they were not putting efforts to
increase their sales in the territory, plus there were paying more commission as compared to
other firms for practically doing nothing. There was even no proper allocation done to the
agents.
g. No personal touch of Mr Vora to their agents, communicating through mail would not help him
to communicate his problems, there was need to build a relationship here, which could not be
done by Mail as it is considered too official

What I would do, on the basis of above points?

a. Do a market research (reasons refer a, b, c in the above sessions)
b. Spend money on Advertising, 2 years is really less time for a brand to create awareness and at
the same time advertising should be done on the basis of geographical segmentation. Also,
Advertising takes time to show return so it is very important to wait for some time, there would
never be sudden increase in the sales unless there is cash burn strategy involved.
c. Rethink his decision on working of Agents, paying high is not the biggest issue but the biggest
issue should be lack of efforts creating competitive environment is very important (also reason g
and f in the above session)
d. Some changes in the packaging is required, (reason refer to e, in the above session)and also 550
Gram packaging is comparing with 500 grams packaging of the competitors (Not a great
packaging idea)