Macro Environment affecting Soap

Industry
Demography
Environment safety
Market demand
Consumer
Industry
Supplier related forces

Market Demand

Growth will come from increasing consumption and reach. The

opportunities for increasing consumption in India are large because its per
capita consumption is much lower than international levels. At least 50 per
cent of India's population is not directly covered since market reach is
restricted to urban areas and those villages connected by motorable roads.
Focusing on the low-income group of consumers. (Rural India to be
precise). This will help in the growthof current business(s), expansion into
related businesses, and seeding options for future growth.
The steps may include: Expanding infrastructure to reach new
geographies.

Consumer
Ever increasing demand.

Self-service stores and supermarkets, though small as a

channel today, are fast emerging in metros and large
towns. This channel provides the company with a great
opportunity for brand interaction with consumers.
Consumers are able to touch and feel the products, and
thus make informed choices.

Porters Five Force Analysis

Degree of Rivalry High

Bargaining power of buyers High
Bargaining power of suppliers low
Threat of substitutes high
Threat of new entrant high