How ITC influenced the behavior of Indian Consumers.

Presented to : Dr Vijay K Pandey

Presented by: Amir Khan(13) Anurag Dangi(29) Asmit Chaudhary(36) Ayaz Zaidi(39)

including e-enabled services and business process outsourcing. • ITC's Agri-Business is one of India's largest exporters of agricultural products. • Transform itself from a leading Cigarette manufacturer to an umbrella group which offers diversified products. • Forayed into field of FMCG. • ITC's wholly owned Information Technology subsidiary. IT.INTRODUCTION • ITC Limited which previously stood for ‘Imperial Tobacco Company one of India's foremost private sector companies. is pursuing emerging opportunities in providing end-toend IT solutions. to obtain different revenue stream. . ITC InfoTech India Limited. • Successful in Hotel Business(ITC welcome group) and collaborated with Sheraton Corporation.

VISION & MISSION • Vision: Sustain ITC’s position as one of India’s most valuable corporations through world class performance. delivering superior and sustainable stakeholder value. • Mission: To enhance the wealth generating capability of the enterprise in a globalizing environment. creating growing value for the Indian economy and the Company’s stakeholders. .

. it realized that there was huge revenue potential for a launch of wider product range to the Indian consumer base.NEED FOR DIVERVICATION • Core business of ITC is in the manufacture of cigarettes and tobacco. high tax rates. • On domestic front. • The company felt the to diversify from the early 1970 and started entering those business that provides good ROI and a potential for future expansion. • ITC’s FMCG business has one of largest retail networks in the country(2 million retailers) • Government ban on advertisements of cigarettes. decline for the demand of cigarettes. • Leads to concentrate to the other business opportunities.

DIVERSIFICATION OF ITC Branded Apparel Hotel Stationery Cigaretes Packaged Foods Incense Sticks Paper boards Personal Care Information Technology Agricultu -ral Industry Safety Matches .

bristol filter. • Brand offers ready to serve products. berkeley filter and Scissor filter.Diversification Strategy Cigarettes : • Focus to deliver highest product quality and value to consumers helps them to lead in cigarettes industry. • Entered into biscuit market by launching Sunfeast brand in 2003. Branded food business(2001): • Launch kitchen of India(Canned foods from ITC Bukhara restaurants). . • To boost sales growth introduce festivals packs of brands like: flake filter. • Introduced Aashirwad brand of wheat(atta) in 2002.

Welcome hotels. • Gain popularity due to introduction of cards in different languages. Fortune hotels.Stationery products: • Launch greeting cards under the brand name Expressions. Hotels(1975) • Four brands.ITC Welcome group. Welcome heritage . Safety matches • Increase market share and its sales by offering unique designs and value added features such as AIM.

000 cr and ITC has •Dependence on tobacco revenues lion’s share in it • Negative Connection of Tobacco •Strong brand recognition and product portfolio •Distribution network •Management Opportunity •Low per capita consumption Of personal care products •Rural Market •Regulatory restrictions on cigarettes Threat •Competition both Domestic & International •Increasing Tax on cigarettes •E-Choupal •Ban on smoking • Terror attacks .SWOT Analysis Strength Weakness •Cigarette market is 22.

In case of tobacco industry Low bargaining power of customer Low substitutes due to strict laws High bargainng power of supplier Porters 5 forces High threats of new entrants High rivalry .

Outstanding market leader • Cigarettes.Market share of ITC Ltd. Gaining market share • Nascent businesses of Packaged Foods & Confectionery. Branded Apparel and Greeting Cards. Hotels. . Packaging and Agri-Exports. Paperboards.

primary education. • ITC's globally recognised e-Choupal initiative is the world's largest rural digital infrastructure benefiting over 4 million farming families.000 hectares creating an estimated 35 million person days of employment among the disadvantaged.000 hectares of dry lands and moisture-stressed areas. • ITC's Sustainable Community Development initiatives include women empowerment. . • ITC's Watershed Development Initiative brings precious water to nearly 35.Corporate Social Responsibility • ITC's businesses generate livelihoods for over 5 million people. • ITC's Social and Farm Forestry initiative has greened over 80.

Issues with ITC • • • • • Advertisement ban 2003 Decrease in sales of Cigarettes Luxury tax Regulatory laws Health awareness .

Everyday . Touching your life.ITC.

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