New Delhi Institute of Management

PGDM (G) / PGDM (M) / PGDM (F)

PGDM 2020-22 Semester-III

End Term Examination | January, 2022
PAPER 2 (SET-A)
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Sub.: Business Policy Strategic Analysis & Management Paper Code: C-303
Max. Marks: 40 Duration: 2 Hour
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1. Answer all questions.
2. Your answers should be brief and to the point.
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Q1a. Following is Dr. Devi Shetty’s Vision of Creating the Biggest Hospital of the Heart with a Heart.

Narayan Hrudyalaya, one of the biggest cardiac hospitals in the world, is becoming known as a hospital of heart with a
heart. While it provides the best heart care for the rich, it provides the kindest care for the poor who sometimes call it a
temple and sometimes the abode of saints who heal. No one is turned away for lack of funds. The hospital was started
by Dr. Devy Shetty in 2001 with funding from his father to provide high quality cardiac treatment at the lowest cost,
which was about 20% lower than other hospitals. A further discount was provided to those who could not afford the
discounted price. The hospital has an infrastructure of 25 operation theatres to provide 50 major cardiac surgeries
daily catering to patients from 73 countries. It performs the largest number of paediatric cardiac surgeries and has a
well-equipped surgical intensive therapy unit (ITU) to cater to children post cardiac operation. It is the only hospital in
Asia for third generation artificial hear implant and also offers mobile diagnostic services in a radius of 800 km from
the hospital.

Comment on the vision statement. (3 Marks)

Q1b. At TVS Motor Company, quality is a way of life. Every department works in tandem to produce quality
products. The people from the pillars of support, strengthening the overall quality standards and moving towards total
customer satisfaction. In our quest to achieve world-class levels in quality as well as improvement in design and
processes, the company has formed special task forces to monitor quality related performance. The basic tenets of
TQM, including Daily work management, Policy management, Kaizen (continuous improvement), Training and
standardization are followed throughout the organization.

Analyze the mission statement of TVS Motor Company, given above, with respect to the Nine Desired Components of
a mission statement and comment on it. (7 Marks)

Q2. Inability to deal with the change in environment due to pandemic has led to divestment of Future Group’s Big
Bazaar. Assuming that Amazon acquires Big Bazaar, and you are appointed as Executive Assistant to the CEO of this
unit.

Pen down the various strategy options available to revive the business, using TOWs matrix. State your assumptions.
(10 Marks)
Q3. Case Study: (20 Marks)

Read the case on Saffola brand of Marico, given below, and answer the questions that follow:

Marico to strengthen Saffola brand positioning as healthy lifestyle-advocating brand.

Marico Industries is pushing to strengthen the positioning of its Saffola brand as a preventive, healthy lifestyle

advocating food product, not just an edible oil, by introducing health and wellness products under the range, according

to a senior company official. Marico has been on product offensive after the pandemic and has introduced several

products under its Saffola brand such as honey, instant noodles, and immunity-boosting products.

"Saffola today has been able to successfully migrate from just being an edible oil to a preventive, healthy lifestyle

advocating food product brand. This is the space, where we want to take the brand," Marico COO- India Sales and

CEO- New Business Sanjay Mishra told.

It has now moved away from the "zone of being a curative and a medicinal product, to a preventive and healthy food",

he added.

According to him, Saffola now is a synonym of healthy and premium food products.

While talking about Saffolas’ edible oil business, which is its core, Mishra said it has done well and has seen double-

digit growth over the last 7-8 quarters.

Even the new launches under the Saffola brand have done well, he added.

"Saffola Honey, in the shortest possible time, has become synonymous with a good quality honey available in India

and now is having a significant market share," said Mishra adding that he expects Saffola Honey to be Rs 100 crore

brand this year.

According to him, Saffola Honey progress would be a yardstick for any FMCG brand to attain such a scale within a

year time frame.

"We will keep playing it. It is not that we are only leveraging Saffola and extending it. There are spaces where we

would have to create new food brands, but at the same time it is an asset which you have," he said

Similarly, Marico had entered into the Oats with Saffola brand and it has now around 90 per cent market share in the

'masala oat' segment.

"When we brought Saffola Oats to the market, people knew that Saffola was offering a food, which would be quality

food," said Mishra.

He added that "it has given us enough confidence to believe that our understanding of Saffola of having healthy food

and quality product has been accepted and completely endorsed by our consumers."

New products roll out such as honey, soya, and instant noodles called as 'Saffola Oodles' all are inspired by the

success of Saffola Oats, he added.

When being asked whether Marico would continue to add more products under Saffola brand in the food segment,

Mishra said our priority is to scale the newly launched products.

"We have got into some exciting categories and tasted initial success. Our priority and focus would be to make them
significant in the scale, consolidate position and take up a significant share," he said.

Marico is now scaling its Saffola Soya Nuggets too nationally after having success in the pilot markets.

Demand for immunity booster’s products is going to stay for some time, even after the pandemic.

Marico has launched two products into the segment under Saffola ImmuniVeda such as Kadha Mix Golden Turmeric

Milk Mix.

A. Analyze the case using a framework of your choice. (10 Marks)

B. Assuming that we have the following data available for the various SBUs of Marico:

SBU Relative Market Share Market Growth EFE IFE

(%) (%) (%) (%)
Edible oil 1.5 -4 2.0 3.5
Honey 0.5 15 3.0 2.0
Oats 0.5 20 3.5 3.0
Soya nuggets 0.3 15 2.5 2.5
Immuno Veda 0.2 10 3.0 1.5

(i) Plot the data in BCG Matrix and recommend your strategic options. (5 Marks)
(ii) Plot the data in IE Matrix and recommend your strategic options. (5 Marks)