fmcg

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FMCG

FAST MOVING CONSUMER GOODS

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FMCG

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ABOUT FMCG- Starting from one cup of coffee in the

morning right up to that relaxing malt beverage at night, we rely heavily on FMCG.

Everything from toothpaste to processed foods and health drinks to body care products comes from FMCG.

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WHAT IS FMCG ? FMCG industry, alternatively called as CPG

(Consumer Packaged Goods).

Those consumables which are normally consumed by the consumers at a marketing, financing, purchasing,etc is called FMCG.

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Common FMCG Product Some common FMCG product categories food and dairy

products, GlasswarePaper Products Pharmaceuticals Consumer Electronics Packaged Food products Plastic GoodsPrinting and StationeryHousehold ProductsPhotographyDrink etc.

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And some of the example of FMCG Products are- Coffee Tea Dry cells Greeting cards Gifts Detergents Tobacco Cigarettes Watches Soaps etc.

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SECTOR OUTLOOK IN INDIAFMCG is the fourth largest sector in indian

economy with a total market size of Rs.60,000 crores.

FMCG sector generates 5% of total factory employment in the country.

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Analysis of FMCG SectorStrengths:1. Low operational cost.2. Presence of established distribution in both

urban and rural areas.3. Presence of well known brands in FMCG

sector.

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Weaknesses:1. Lower scope of investing in technology.2. Low exports levels.3. “Mee-too” products, which illegally mimic

the levels of the established brands.

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Opportunities:1. Untapped rural market.2. Raising income levels.3. Large domestic market.4. Export potential.5. High consumer goods spending.

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Threats:1. Removal of import restrictions resulting in

replacing of domestic brands.2. Slow down in rural demand.

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Scope of the SectorThe Indian FMCG sector with a market size

of US$ 13.1 billion in the fourth largest sector in the economy.

FMCG sector is expected to grow by over 60% by 2010.