Professional Documents
Culture Documents
Amul and India's National Dairy Development Board: Group T2
Amul and India's National Dairy Development Board: Group T2
Amul and India's National Dairy Development Board: Group T2
Group T2
-Ashish K Agarwal -Debasmita Nandy -Gaurav Mukherjee -Rahul Ramesh -Sameep Luthra
Background
Bombay Milk scheme
Exploitatively low prices Restriction on exports Strike by farmers Formation of Kaira District Co-operative Milk Producers Union Limited (KCMPUL) -1946
Bargaining power of Suppliers Bargaining power of supplier is low as most of the suppliers are villagers and farmers belonging to the lower income group
Competitive Rivalry Competitive rivalry is high due to : Presence of local brand and other established brands. High demand for milk & milk products.
Substitute Products Threat of substitute is high because of availability of various other beverages like cold drinks, fruit drinks
3- Tier Structure
State Federation
Marketing & Distribution (Final Consumer)
Village Co-operatives
STRENGTHS
High quality product with low price Wide range of products Innovative and effective ad-campaign Robust distribution network Application of technical manpower and technology like TQM, E-commerce
WEAKNESSES
Supply chain system being very complex Less average milk productivity compared international standards High dependency on villages with weak infrastructure
OPPORTUNITIES
Penetrate international market Expand existing product categories Enter new product category like juices, mineral water etc. Targeting the potential rural market
THREATS
Increasing price A very tough competition in the market with strong competitors like Hindustan Levers, Nestle, Cadbury Inadequate transport facility and poor conditions of roads
CORE COMPETENCY
Amul- The Taste Of India Well established technological infrastructure Availability of surplus cash profits
RESOURCES
CAPABILITIES
Vertical Integration
Strategic alliances
Low cost
COST LEADERSHIP
Differentiation
DIFFERENTIATION
Market Scope
Broad
Narrow
COST FOCUS
DIFFERENTIATION FOCUS
Amul
Retailers
Production
Collection
Processing
Marketing
Distribution
Retailing
Sharing of benefits
Strong distribution network Brand identity Visionary leadership Powerful vertical integration
Questions