bcg matrix of amul - final ppt (1)

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Page 1: BCG Matrix of Amul - Final PPT (1)

Topic : -

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Page 2: BCG Matrix of Amul - Final PPT (1)

NAME OF THE STUDENTNAME OF THE STUDENT Enrollment No.Enrollment No.

Kushal Kantawala 10BSP125110BSP1251

Priyanka Zope 10BSP092310BSP0923

Mithila Bhargaw 10BSP124810BSP1248

Raju Singh 10BSP092610BSP0926

Sailesh Nagari 10BSP093510BSP0935

Sumit Chawla 10BSP095710BSP0957

Rishabh Jain 10BSP093010BSP0930

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Submitted to :- Prof. Arun Prasad

Page 3: BCG Matrix of Amul - Final PPT (1)

History of AmulHistory of Amul

Amul (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India.

It is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF).

AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative organization's success in the long term. The Amul Pattern has established itself as a uniquely appropriate model for rural development.

Amul has spurred the White Revolution of India. It is also the world's biggest vegetarian cheese brand.

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Page 4: BCG Matrix of Amul - Final PPT (1)

What Is BCG Matrix?

BOSTON CONSULTING GROUP (BCG) MATRIX is developed by “BRUCE HENDERSON “of the BOSTON CONSULTING GROUP IN THE EARLY 1970’s.

According to this technique, businesses or products are classified as low or high performers depending upon their market growth rate and relative market share.

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Page 5: BCG Matrix of Amul - Final PPT (1)

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Page 6: BCG Matrix of Amul - Final PPT (1)

BCG MATRIX

High

Low

HIGH LOW MARKET SHARE

BU

SIN

ES

S G

RO

WT

H R

AT

E

Page 7: BCG Matrix of Amul - Final PPT (1)

STARS High growth, High market share

Stars are leaders in business. They also require heavy investment, to

maintain its large market share. It leads to large amount of cash consumption

and cash generation. Attempts should be made to hold the market

share otherwise the star will become a CASH COW.

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Page 8: BCG Matrix of Amul - Final PPT (1)

STARS High growth, High market share

Amul Butter – 86% market share Amul Lite – 80% market share Amul Instant Full Cream Milk Powder- 80%

market share Amul Milk – 75% market share Ice Creams -37% market share (HUL-9%,

Mother dairy and vadilal -7%)uld be made to hold the market share otherwise the star will become a CASH COW.

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Page 9: BCG Matrix of Amul - Final PPT (1)

CASH COWS Low growth , High market share

They are foundation of the company and often the stars of yesterday.

They generate more cash than required. They extract the profits by investing as little

cash as possible They are located in an industry that is mature,

not growing or declining.

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Page 10: BCG Matrix of Amul - Final PPT (1)

CASH COWS Low growth , High market share

Amul Spray – 65% market sharear Sagar Tea Coffee Whitener – 40% market

share Processed Cheese -50% market shareocated

in an industry that is mature, not growing or declining.

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Page 11: BCG Matrix of Amul - Final PPT (1)

QUESTION MARKSHigh growth , Low market share

Most businesses start of as question marks. They will absorb great amounts of cash if the

market share remains unchanged, (low). Why question marks? Question marks have potential to become

star and eventually cash cow but can also become a dog.

Investments should be high for question marks.

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Page 12: BCG Matrix of Amul - Final PPT (1)

QUESTION MARKSHigh growth , Low market share

NUTRAMUL – 15% market share (Competitors- Bournvita, Horlicks, complan, boost)

Amul Chocolates – 10% market share (Competitors – Cadbury – 70% market share, Nestle)

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Page 13: BCG Matrix of Amul - Final PPT (1)

DOGSLow growth, Low market share

Dogs are the cash traps.

Dogs do not have potential to bring in much cash.

Number of dogs in the company should be minimized.

Business is situated at a declining stage.

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Page 14: BCG Matrix of Amul - Final PPT (1)

DOGSLow growth, Low market share

Amul Pizza – 5% market share situated at a declining stage.

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Page 15: BCG Matrix of Amul - Final PPT (1)

Product Mix of AmulProduct Mix of Amul

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Page 16: BCG Matrix of Amul - Final PPT (1)

Mix… Product for every oneMix… Product for every one

Amul never forgot its “primary customer”

- Amul collects 447,000 ltrs of milk from 2.12 million farmers (many illiterate)

Product for youth - Amul launched Chocolate milk under

brand name of ‘Amul Kool Koko’ targeting the

youth

Product for diabetic people - India’s First Pro-Biotic Wellness Ice

cream & Sugar Free Delights For Diabetics

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Page 17: BCG Matrix of Amul - Final PPT (1)

Mix… Product for every oneMix… Product for every one

Product for the health conscious

- Amul Launched “low fat, low cholesterol

bread spreads”

Product for the price sensitive India

- Low Priced Amul Ice Creams and affordable ‘sagar’ whitener

Product for the urban class - Amul launched emmental,

gouda and pizza mozzarella cheese

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Page 18: BCG Matrix of Amul - Final PPT (1)

Amul – Product PortfolioAmul – Product PortfolioCategory Market Share Market Position

Chocolate Drink 90% 1

Butter, Ghee 85% 1

Cheese 50% 1

Sweets 50% 1

Milk Powder 40% 1

Ice-cream 37% 2

Chocolate 10% 3

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Page 19: BCG Matrix of Amul - Final PPT (1)

Amul – Product Portfolio in Graph Amul – Product Portfolio in Graph

Mar

ket

shar

e

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Page 20: BCG Matrix of Amul - Final PPT (1)

BENEFITSBCG MATRIX is simple and easy to understand.

It helps you to quickly and simply screen the opportunities open to you, and helps you think about how you can make the most of them.

It is used to identify how corporate cash resources can best be used to maximize a company’s future growth and profitability.

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Page 21: BCG Matrix of Amul - Final PPT (1)

BCG MATRIX uses only two dimensions, “Relative Market” share and “Market Growth rate”.

Problems of getting data on market share and market growth.

High market share does not mean profits all the time.

Business with low market share can be profitable too.

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Page 22: BCG Matrix of Amul - Final PPT (1)

CONCLUSION

Amul one of the fastest growing industries of India. This industry has revolutionized the Indian dairy sector and also brought it back from the brink of extinction .

Also it was one of the first successful cooperative associations in India and also now the market leader in the dairy sector .

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