INDUSTRY ANALYSIS

ON

CONSUMER ELECTRONICS
PRESENTED BY: MIHIR KULKARNI
GUIDED BY: MRS. POOJA DARDA
HARSHIT MISHRA
FLOW OF PRESENTATION

01 Introduction

02 Nature of Industry

03 Geographical Expanse In India

04 SWOT Analysis
FLOW OF PRESENTATION

05 PESTAL Analysis

06 Porter’s Five Forces

07 Online Presence

08 Challenges
FLOW OF PRESENTATION

09 Marketing Strategies

10 Major Players in India

11 Corporate Social Responsibilities

12 References
INTRODUCTION
• Consumer electronics also knows as consumer durables are the
electronic devices intended to be used by the consumers for daily
uses like entertainment, communication, official activities and other
utilities.

• In this industry, profit is mainly generated by sales of these devices.

NATURE OF INDUSTRY
NATURE OF INDUSTRY
• There is no specific nature of the industry because of its vastness.

• Various factors that affect nature of industry are:

• Brand loyalty
• Cut-throat competition between 2 dominant companies (viz.
Samsung and LG)
• Emergence of many substitute brands
• Exclusive products available in online market
GEOGRAPHICAL
EXPANSE IN INDIA
SWOT Analysis
SWOT ANALYSIS
• Strengths
 Presence of established distribution networks in both urban and
rural areas

 Presence of well-known brands

 Increase in organized sectors in the recent years

SWOT ANALYSIS
• Weakness
 Demand increases only during festive seasons, making it
seasonal

 Low purchasing power of customers

 Many of the electronic devices are luxury in the eyes of

government making the taxation on them higher than other
products
SWOT ANALYSIS
• Opportunities
 Unexploited rural market

 Rapid globalization

 India’s increased access to internet

 Easy availability of finance

SWOT ANALYSIS
• Threats
 Very high import duties on products and raw materials

 Cheap imports from China market

 Grey market
PESTEL Analysis
PESTEL ANALYSIS
• Political
 Implementation of GST taxation policy

 Very high import duties on products and raw materials

 Government allowance of various international companies to

manufacture their products in India

 Make in India initiative

PESTEL ANALYSIS
• Economic
 Inflation

 Overall economic growth of India in recent years

 Budget range of consumer has gone higher

PESTEL ANALYSIS
• Social
 Many a times considered as status symbol

 Increase in lifestyle due to increase in income

 Increase in purchasing power of consumer

PESTEL ANALYSIS
• Technological
 Digitalization of various electronic product

 Introduction of 4G technology

 Daily changing technology affects electronics industry vastly

PESTEL ANALYSIS
• Environmental
 Emission of CFC from refrigerator and air conditioner

 Dumping of waste products

 Usage of products working on renewable energy sources

PESTEL ANALYSIS
• Legal
 E-waste management rules (2011)

 State Policies
PORTER’S FIVE
FORCES
PORTER’S FIVE FORCES
ONLINE PRESENCE
ONLINE PRESENCE
• India has been going through a phase of digital revolution during last
five years which is transforming the consumer shopping experience at
a different level.

• Consumer electronics and appliances market in India is expected to

reach approximately $30 billion by 2020.

• Companies also focus on partnership with the leading ecommerce

marketplaces such as Flipkart and Amazon, where they are able to
directly provide the product to the customer through the nearest dealer
or branded stores in the vicinity.

• Some products are exclusively available online.

CHALLENGES
CHALLENGES
• Taxation and duty structure

• Limited scale and quantity

• Increasing competition

• Infrastructure deficiency
MARKETING
STRATEGIES
MARKETING STRATEGIES

• The firms are now partnering with e-retailers to promote sales and
increase penetration in the Indian market.

• In February 2017, Microsoft Corp announced a strategic partnership

with Flipkart, by virtue of which, Flipkart will adopt Microsoft Azure as
its exclusive public cloud computing platform and help customers in
shopping online.

• Birla Cellulose, a part of Aditya Birla Group’s Grasim Industries, is

taking its Liva brand of viscose fabric abroad. The company has
already established a Liva Accredited Partners’ Forum (LAPF) in
Bangladesh and Indonesia, and is looking to set up a similar forum in
China as well.
MAJOR PLAYERS IN
INDIA
PRODUCTS AND SERVICES
• TVs, home theatre systems, DVD players, mobile
SAMSUNG phones, digital cameras, camcorders, refrigerators, ACs,
washing machines, microwave ovens and computers

• TVs, audio-visual solutions, computers, mobile phones,

LG refrigerators, washing machines, microwave ovens,
vacuum cleaners and ACs

• TVs, projectors, DVD players, audio systems, home

SONY theatre systems, digital cameras, camcorders,
computers, video-gaming products and recording media
CORPORATE SOCIAL
RESPONSIBILITIES
CARRIED OUT BY MAJOR COMPANIES
 CONTRIBUITION TO CSR
• Samsung engineering seeks to improve conditions around the world
through our social contribution programs .company –wide , we utilize
our strength and resources to benefit local communities and help
children and families in need . Individually , our employees are
encouraged to take part in the many volunteer programs offered by
the company .
• LG ELECTRONICS ENVIRONMENTAL VISION
LG electronics constantly researches and introduces a full
range of innovative , greener products and services , and continue to
be a leader in developing green innovations . LG electronics will realize
global top company in the EESH area through corporate level EESH
management system operations, energy efficiency optimization ,
business site safety &health , and employee health improvement
activities . By providing differentiated customer value , LG electronics
will pursue earth environment preservations , sustainable social
advancement , and improve the quality of life for stakeholders .
CORPORATE SOCIAL RESPONSIBILITY
• The Sony group recognizes that its businesses have direct and
indirect impact on the communities in which we operate . Find out
how Sony Sony is contributing towards being a positive global
citizen .

• With the goal of making a positive impact in the lives of the

communities in which we operate in our people at Sony are actively
engaged in a myriad of activities to appropriately address the needs
of our local and global communities , as well as the needs of our
future generations .
REFERENCES
• Consumer Durables Industry in India – Report by ASA & Associates

• Indian Consumer Durable Industry Analysis – IBEF

• Future of consumer durables and electronics in India - PwC

• https://www.samsung.com/in/ - Samsung

• https://www.lg.com/in - LG

• https://www.sony.co.in/ - Sony
THANK YOU

ANY QUESTIONS?