The Consulting & Strategy

Consortium
MITS || Pre-Course Assignment || Strategy • GTM strategy case analysis
• IPL team revenue guesstimate
Arshad • Text messages exchanged by a person in a
whole year guesstimate
2121081
Accenture
Market entry strategy

Mission- Helping our clients create their future Vision- To become one of the world’s leading Objective- To deliver on the promise of
companies, bringing innovation to improve the technology and human ingenuity
way the world works and lives
Accenture Porter's 5 Forces Analysis
01
Threat of New Entry
Accenture will be facing high new
entrants threat if
Existing govt regulations support
04
the entry of new players Suppliers
Bargaining power of suppliers will
02 be high for Accenture if
Suppliers have concentrated into a
Buyers specific region

Accenture can manage the

bargaining power of buyers by
increasing and diversifying their
customer base.
03
Substitutes
This threat is substantially low for
Accenture because the switching
cost of using the substitute product
is high (due to high psychological
costs or higher economic costs)
05
Competitive Rivalry
The Rivalry among existing firms
will be low for Accenture if there
are only a limited number of
players in the market. The industry
is growing at a fast rate and
Accenture is a clear global market
leader
Accenture
Market entry plan
• Why Accenture wants to enter the US market?

1. The company wants to increase their revenue by 15% (assumption).

2. The company wants to gain access to new clients mainly SMEs

• How should the company enter the market?

Accenture should look for the budding start-ups serving IT consulting to the SMEs and acquire few of them working
across the geography, the advantages of acquiring an existing company are that it is a faster way of entering the market
compared to the other strategies and that the Accenture will have a high level of control over the strategy and
operations. The disadvantages are that acquisitions are expensive, and it can be challenging to fully integrate an
acquired company effectively.
But in the long run, Accenture would be able to increase their client base by roughly 10-15% which would
Increase their revenues by 15%
 competitor analysis
Strategy How is the firm competing? The firm is partnering and forming a joint
venture with the SMEs
Objective • What are the competitors’ current • To increase the client base and maximize
goals? revenues
• Is performance meeting these • The competitor firm has expanded their reach
goals? but not getting satisfactory reviews
• How are its goals like to change? • Goals are likely to change if Accenture
outperforms the competitor in terms of
revenues and reach.
Assumptions • What assumption does the • The firm is assuming their partnership will
competitor hold about the industry withstand all the competitions and they would
and itself? be emerged as a market leader.

Resources and capabilities • What are the competitors’ key • Brilliant marketing strategy to increase the
strength? client base
Predictions • How will the competitor respond • The firm would like to make strict contract
to your strategic initiatives? with SMEs in their joint venture.
 The yearly revenue of an IPL team
• Media Rights share- BCCI gets media rights for approximately 3000 crs.
As per the IPL contract BCCI shares 40% of the amount equally among 8 teams,
which accounts to approx. 150 crs.

• Brand Sponsorships- Assuming teams sign on 5-10 sponsors each season.

and paying as per their position on Team’s kit as given below.

  Brand position on Jersey Approx. amount

(in INR)
• Front of jersey 20 crores
• Back of jersey 10 crores
• Helmet 3 crores
• Shoulder 2 crores

Total sponsorships from all the sources including jersey would be approx. 40 crs.
Ticket Sales-

• Each team plays 7 home and 7 away games.

• considering the avg occupancy of stadium is 90% that is 30,000 approx.
• The avg ticket price for any IPL match is 1500(INR)
• As per the sources, franchisee earns 35% revenue for home games and 5% for away games.
• Total revenue from the ticket sales would be approx.
Home games- 11 crs.
Away games- 2 crs.

Total amounts to 13 crs

Title sponsorship and on-ground sponsorships-

• BCCI earned approx. 450 crs for the title sponsorship and approx. 200 crs for the on-ground sponsorship every
season.
• As per the IPL contract, 50% of the total amount gets shared again with the franchisees .
• This will add another approx. 41 crs in the Team’s revenue.

Total yearly revenue of an IPL team would be approx. 150+40+13+41= 244 crs
 TEXT MESSAGES EXCHANGED BY A PERSON IN A WHOLE YEAR
Age group 15-24 25-35 35-50 50-60

Assumptions- %SHARE IN TOTAL CELL 45% 30% 15% 10%

1. Population of India PHONE USAGE
- 120 crs TOTAL CELL PHONE USER 27 crores 18 crores 9 crores 6 crores
2. Population in age POPULATION
bracket of 15-60 Texting High 70% of 27 crs = 18.9 crs 50% of 18 crs = 9 crs 30% of 9 crs= 2.7 crs 10% of 6 crs= 0.6 crs
- 80 crs
3. Cell phone users Texting Medium 20% of 27 crs = 5.4 crs 30% of 18 crs = 5.4 crs 50% of 9 crs= 4.5 crs 30% of 6 crs= 1.8 crs

among these
Texting Low 10% of 27 crs = 2.7 crs 20% of 18 crs = 3.6 crs 20% of 9 crs= 1.8 crs 60% of 6 crs= 3.6 crs
- 60 crs.
5. Festivals in India High messages per year (200) 18.9*335+18.9*2.25*30 9*335 + 9*2.25*30 2.7*335+2.7*2.25*30 0.6*335+0.6*2.25*30

- 30 per year
Medium messages per year 5.4*335+5.4*2.25*30 5.4*335+5.4*2.25*30 4.5*335+4.5*2.25*30 1.8*335+1.8*2.25*30
6. Assuming texts per (100)
day
Low messages per year 2.7*335+2.7*2.25*30 3.6*335+3.6*2.25*30 1.8*335+1.8*2.25*30 3.6*335+3.6*2.25*30
(50)
High- 200 per day Total messages per year(crs)
2173500 1449000 724500 483000
Medium-100 per day
Avg messages per year in all
Low- 50 per day the age bracket
80500
References
• https://www.accenture.com/_acnmedia/PDF-96/Accenture-Next-Generation-Route-Market-Capabilities.pdf
• https://www.accenture.com/in-en?c=acn_glb_brandexpressiongoogle_11645676&n=psgs_1020&gclid=Cj0KCQjw8vqG
BhC_ARIsADMSd1DdVvapkAABc0uXeAXNn2AGfJ2CBnBvVOKPXIoZI9q0r0f7ZqKXdEoaAkIjEALw_wcB
• https://www.financialexpress.com/brandwagon/ipl-14-proves-to-be-more-than-bang-for-the-buck-as-bcci-eyes-rs-4000-c
rore-in-sponsorship-revenue/2227640/
• https://www.news18.com/news/tech/smartphone-users-in-india-crossed-500-million-in-2019-states-report-2479529.html