Godrej & Boyce ChotuKool Case

Due in class 10/29/14

As we discussed in class identifying institutional voids create both obstacles and
opportunities for firms in emerging markets. Few examples demonstrate this more
effectively than the development of ChotuKool, a refrigerator for the masses by the
Indian manufacturing firm Godrej & Boyce (G&B). This product has been widely
written about and is the subject of many business school cases. Two good descriptions
of ChotuKool can be found at:

www.chotukool.com/pdf/emergingmkts.pdf
www.wipo.int/wipo_magazine/en/2013/06/article_0003.html

A recent (2012) study by PricewaterhouseCoopers (Profitable Growth strategies for the
Global Emerging Middle: Learning from the Next 4 Billion Markets) examines strategies
adopted by leaders who have tried to grow profitably in the Global Emerging Market.
The PwC research reveals that successful pioneers focus on three key areas:

New Value Propositions Understanding Demand
Innovative Business Models Creating Supply
Shift in Mindset Managing the Consumer and Organisational Mindset

Assignment:

Read background material on ChotuKool (above) and the PwC study (posted on the
Backboard/Course Content/Assigned Readings) and address the following:

1. Identify the institutional voids identified by G&B that led to the development of
ChotuKool.
2. Was ChotuKool a sustaining or disruptive innovation? Why?
3. Analyze ChotuKool in the context of each of PwCs key areas (in addition to that
described in Ch 4).
4. Is ChotuKool adaptable to other Emerging Markets? If so, what does G&B need
to consider and what is the best strategy they should consider?