CASE STUDY– OVERVIEW &

ANALYSIS
In this case we have covered about the Marketing Challenges of VIBHAVA’S
CHEMICAL, a leader in the Black Phenyl category in the Home Cleaning
Agents(HCA) in South India and the best Market Analysis that could be done in order
to get the best possible solutions to the challenges and problems faced by Vibhava
Chemical being a leading organization in HCA Market.
 PROBLEMS & CHALLENGES
 In April 2011, Vishal Gambhir , the Marketing Director of Vibhava Chemicals, a leader in the
black phenyl category in Home Cleaning Agent ( HCA)market in South India, faced Marketing
Challenges.
 Vibhava’s share of traditional black phenyl category plummeted down by 50% over the previous 8
years due to new emerging MNC’s brands in the new category of speciality cleaning agent.
 Vibhava’s leading brand , “Black Belt” black phenyl disinfectant began lost its market.
 Vibhava launched a new product “OZONE”, a pine-oil-based floor cleaner in 2003, whose sale
rose only in Absolute terms.
 Vibhava’s Share in the Growing Home Cleaning Market dropped from 25% in traditional product
market to 11% in the transformed market of 2010.
 Gambhir faced a daunting challenge of meeting the ambitious sales target of INR 1 Billion for
2011-12.
 SWOT ANALYSIS
1.Customer retention and 1.Uncharted markets
satisfaction 2.Replicable
2.Strong financial statements 3.Fairly new to liquid
cleaners

Strength Weakness

Opportunity Threats

1.E commerce 1.Dominance of

2.Kloract digital players
3.AI 2.New entrants
3.Marketing
technique
 PESTEL ANALYSIS OF VIBHAVA
CHEMICALS

Political Economic Social Technological Environment Legal

Political Factors Economic Factors
• Government Regulations and Deregulations • Work Force Productivity
• Regulatory Practices • GDP Trend & Rate of Economic Growth
• Likelihood of Entering into an Armed Conflict • Employment Rate 
• Political Governance System • Fiscal and Monetary Policies
• Threat of Terrorist Attack •  Inequality Index / Ranking on Gini Index
• Unrest within the country and Chances of Civil • Foreign Exchange Rate
Unrest • Price Fluctuations in both Local and International
• Segregation of Political Responsibilities Markets
between Different Government Agencies
• Size of Government Budgets
Social Factors
• Gender Composition
• Education Level in Society
• Types of Immigration & Attitude towards
Immigrants
• Attitude towards Authority
• Demographic Trend
• Power Structure in Society  • Cost of Production and Trends
• Level of Social Concerns & Awareness in
Society
• Attitude towards Health & Safety 
Technological Factors
• Property Rights & Protection of Technology
Oriented Assets
• Intellectual Property Rights and Patents
Protection
• Integration of Technology into Society &
Business Processes
• Empowerment of Supply Chain Partners 
• Preparedness for 5G Related Infrastructure
• Research and Development Investment Levels 
• Mobile Phone & Internet Penetration 
Environmental Factors Legal Factors
• Environmental Standards and Regulations both at
National & Local Levels
• Focus & Spending on Renewable Technologies  • Employment Laws
• Level of Consumer Activism Regarding •  Independence of Judiciary and Relative
Environmental Concerns  Influence of Government 
• Per Capita and National Carbon Emission  • Health & Safety Laws
• Waste Management • Data Protection Laws 
• Corporate Social Responsibilities Culture  • Consumer Protection Laws 
• Business Laws
• Adherence to Common Law 
 PORTER’S FIVE FORCE
ANALYSIS • Low entry barriers
• Emergence of MNC’s
THREAT OF
NEW
ENTRANTS

• Presence of a huge network of

distributors and retailers
• Higher margins offered by the
company

RIVALRY
BARGAINING THREAT OF
AMONG
POWER OF SUBSTITUTE
EXISTING Substitutes of the company’s products:
SUPPLIERS PRODUCTS
COMPETITORS • Domex
• Lysol
• Harpic
• Sanifresh
• Mr Muscle

BARGAINING
POWER OF
• Higher power with customers due to presence of multiple
BUYERS
brands selling the same products
• Introduction of product variants to attract customers
 CONCLUSION
 Vibhava does not have the resources or tenacity to get into a price war with the MNCs and come out
victorious. It might end up losing its margins , which in turn may lead to strained relationship with
their suppliers and retailer. This will make it difficult to achieve the target of INR 1 Billion.
 The company should also work on improving its Kloract product as it has a really good R&D
department at its disposal. This product ,if successfully designed mat be able to significantly improve
the profits of the company.
 Also, it can work with its research team and come up with more innovative and profitable products.
 Vibhava should also concentrate more on Rural Market as these markets prefer local brands. Places
like hospitals, schools in rural areas may turn out to be good target consumers for it.