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Group Discussion: Example of a Case Study
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Ds-Example of
a Case Study
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Example of topic based case study
Started in 1985, MangoFruits is a leading
seller of seasonal mangos in the Indian
market. Since then, it has been under the
charge of Mr. Kumar, the founder-owner of
the firm. In 1990, the company decided to go
for a diversification by expanding the product
line. The new product was mango fruit juice.
At the same time, Mr. Sen was appointed the
Senior Vice President of marketing in the
company. However, soon after its successful
diversification into mango fruit juice line, the
sales in this segment began to drop steadily.
Mr. Sen wanted to introduce some radical
changes in the advertising and branding of
the new business but the proposal was
turned down by the old-fashioned Mr. Kumar.
At this juncture in 1994, the firm is losing
mango fruit juice product heavily in the
business and its market share of food
producers/sellers is also on a_ decline.
Mr. Kumar has asked Mr. Sen to show a
turnaround in the company within a year.
What steps should Mr. Sen take to take the
company out of its troubles?unacademy
Facts:
Mango Fruits is a quality seller of
seasonal mangoes in the Indian Food
Industry.
Customer purchases in mangos are
highly seasonal.
The mango fruit juice business was
added to utilize idle capacity during
periods of inactivity.
This is a low-growth industry (2% annual
growth over the last four years)
Large customers are buying based on
price and quality. Smaller customers buy
solely on price.
There is a Lankan competitor in the
market who offers low priced mangos of
inferior quality.
Situation Analysis:
1, Established seller in food industry.
2. Losing heavily in mango fruit juice.
3. Old fashioned owner's resistance to a
new change.
Competition:
e Low priced competitors
e Foreign competitors are gaining market
share.
Customers:
e High quality product, but low end
customers care more about price than
quality.unacademy
Problem Definition: Mismanaged product diversification in a highly price
sensitive market.
Criteria for evaluation of alternatives: ‘
e Alternative 1: Establish an Off-Brand for e Establishing the firm's quality image.
the mango fruit juice. ; @ Increase in market share.
e Alternative 2: Educate the customer e Increase in sales.
about product quality. e Cost of the product.
e Alternative 3: Exit the mango fruit juice
business.unacademy
Evaluation of Alternatives:
Teese Alternative 1
i i e Protect firm's quality image in the
: e Alternative 1: Establish an Off-Brand for : food industry
; i e Redefine and redesigned product to
A reduce the cost of manufacture
e Alternative 2: Educate the customer : e Lower the price to enable it to
compete with Lankan seller.
Alternative 2
the mango fruit juice.
market about product quality.
e Alternative 3: Exit the mango fruit juice: * Make use of the quality leadership in
i product line from business. i fruit seller market
: H e Offer food grade labelled fruit
; products to promote quality of the
company.
‘ Alternative 3
e Apassive strategy.|
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