AP GOES TO SEMI-URBAN AND RURAL AREAS Along with the decision to go to individual consumer segment leaving aside the

bulkbuyer segment, AP also decided that within the individual consumer segment, semi -urban and rural areas would constitute APs priority market. Prior to APs entry, the paintb u s i n e s s w a s b y a n d l a r g e c o n c e n t r a t e d i n t h e u r b a n a r e a s . A l l t h e m a j o r p a i n t companies and their wholesale distributors were content with the market that wasavailable in the urban areas. In contrast, AP clearly saw that a large market for paintswas emerging in the semi-urban and rural areas, and felt it wise to tap this market. APalso understood that a new entrant like AP had also a compulsion to go to the semi -urban and rural areas. The major companies and their wholesale distributors were notgiving any worthwhile opening in the big cities for new entrants. AP found it difficult toattract the wholesalers in the cities to deal in its products. It had to necessarily turn tothe semi-urban and rural areas for support. AP wisely decided against committing all itsresources on a head on collision with the foreign companies and their big wholesale distributors in the urban areas