GCMMF Case Analysis

By:
Hardik Mishra (B08010)
Kaushambi Ghosh (B08012)
Pankaj Agarwal (B08020)
Ritesh Chowdhary (B08023)
Agenda
History of GCMMF
Business Model
Product Category
Industry Analysis
SWOT Analysis
BCG Matrix
Market Segmentation
Financial Analysis
The Way Forward..!!!
History
Founded in 1946 under the name Kaira District Co-
operative Milk Producers Union Ltd by Tribhuvandas Patel
Runs as a purely farmers cooperative
Starting from a daily procurement of 250 lts/day to 4.6 mn
lts/day, now has become a milk giant under the name
GCMMF
Manages the brand AMUL meaning Priceless is the
No. 1 in dairy in Asia and No.2 in the world
Main objective is to carry out activities for the economic
development of agriculturalists
Spurred the White Revolution in India
Anand Pattern
Village level
200 members
Committee of 8-9 members
District Level
Board of Directors 12
900 members (Approx.)
State Federation
Members are chairpersons of District level
co-operatives and ex officio members:
Representative from NDDB
Registrar of co-operative of the state
concerned
Business Model
Providing quality products to
consumers at an affordable price
Everyday GMCCF collects 4.6
mn lts of milk from 2.1 milk
producers, converts the milk into
branded, packed products and
delivers the goods to over
4,00,000 retail outlets across the
country with the help of its 12
plants
Product Category
Category Market Share Market Position
Milk N.A 1
Butter 85% 1
Milk Powder 60% 1
Cheese 50% 1
Ice Creams 30% 2
Sweets 50% 1
Chocolates 10% 3
Chocolate Drinks 15% 4
Edible Oil 12% N.A.
Market Segmentation
Customer Based
Kids
Ice-Cream, Chocolate, Milk,
Nutramul, Sweets, Safal fruit drinks.
House
Wife
Dhara Edible Oils, Milk, Safal
tomato ketchup and mixed fruit jam,
Amul Cheese, Amul spray.
Calorie
Conscious
Amul Lite, Dhara Health, Sagar
skimmed milk powder.
Youth
Sweets, Ice-cream, Cheese,
Chocolates, Milk.
Industry Based
Ice-cream manufacturers,
Restaurants, Cofee Shop
Chain
Bakery and
confectionaries, Pizza
shops, snacks shops.
Milk
Cheese, Butter, Ghee
Market Segmentation
Industry Analysis
Competitive
Rivalry - High
Threat of New
Entrants -
High
Bargaining
Power of
Customers -
High
Threat of
Substitutes -
Low
Bargaining
Power of
Suppliers -
Low
SWOT Analysis
Strength
High quality, low price
Robust Distribution Network
Extensive cold chain network
Varied product range
Excellent relationship with the farmers
Constant innovations
Excellent relationship with supermarkets/departmental
stores
Strong brand names
Weaknesses
Completely dependent on villages for its raw material
Short self life of most of their products
Supplier centred
Tax implications because of Co-operative structures
SWOT Analysis
Opportunities
Increase per capita milk consumption
Penetrate international markets
Concentrate on process food sector
Threats
Competitors HUL, Nestle, Britannia other local players
The yield of Indian cow is much lower than that of cow in
other dairy countries
SWOT Analysis
BCG Matrix
Financial Analysis
Financial Analysis Excel
The Way Forward..!!!
It should concentrate in the processed sector as it
has a robust distribution and cold chain network
It should be more customer centric
It should look forward to implement information
technology
It should influence the Govt. against the tax
implications which are benefitting the private
players more than the co-operatives
Thank You