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MARKETING PLAN

COMPANY- NESTLE
PRODUCT- MAGGI

Submitted to- Mr. G. Pravin Kumar

Submitted by- Subhrant Shukla (DM20D56)

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EXECUTIVE SUMMARY

Nestle India is a subsidiary of Nestle S.A of Switzerland. With six factories and a large
number of co-packers. Nestle India is a vibrant company that provides consumers in
India with products of global standards and is committed to a long term sustainable
growth and shareholder satisfaction. The company is known for its brand in the Milk
Products & Nutrition, Prepared Dishes & Cooking Aids, and chocolates & Confectionary
segments.
Nestle leads the value sales of noodles in India with a market share of 60 %. A
testament to Nestlé’s domination of the sales of plain noodles is the facts that for

The goal of the marketing plan is to outline the strategies, tactics that will increase the
value sales of Maggi in India by market share of 67% in the year 2021.

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COMPANY INFORMATION

Nestle S.A. is among the largest consumer packed goods companies in the world,
founded and headquartered in Vevey, Switzerland. Nestle originated in a 1905 merger
of the Anglo- Swiss Milk Company, which was established in 1866 by brothers George
Page and Charles Page, and the Farine Lactee Henri Nestle Company, which was
founded in 1866 by Henri Nestle, whose name meant “Little Nest”. The company grew
significantly during the First World War and following the Second World War,
eventually expanding its offering beyond its early considered milk and infant formula
products. Today, the company operates in 187 countries around the world and
employs nearly 308,000 people.
HISTORY
The company dates to 1867, when two separate Swiss enterprises were founded that
would later form the core of Nestle. In the succeeding decades the two competing
enterprises aggressively expanded their business throughout Europe and the United
States.
In August of 1867 Charles A. and George Page, two American brothers form Lee
County, IL, established the Anglo- Swiss Condensed Milk Company in Cham. Their first
British operation was opened at Chippenham, Wiltshire in 1873
In September 1867, in Vevey, Henri Nestle developed a milk based baby food and soon
began marketing it. Henri Nestle retired in 1875, but the company, under new
ownership, retained his name as Farine Lactee Henri Nestle.
In 1877 Anglo- Swish added baby foods to its products, and in the following year the
Nestle company added condensed milk, so that the firma became direct and fierce
rivals
In 1905 the companies merged to become the Nestlé and Anglo-Swiss Condensed Milk
Company, retaining that name until 1947, when the name Nestlé Alimentana SA was
taken as a result of the acquisition of Fabrique de Produits Maggi SA (founded 1884)
and its holding company, Alimentana SA of Kempttal, Switzerland. Maggi was a major
manufacturer of soup mixes and related foodstuff. The company’s current name was
adopted in 1977. By the early 1900s, the company was operating factories in the
United States, United Kingdom, Germany and Spain. World War created new demand
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for dairy products in the form of government contracts; by the end of the war, Nestlé’s
production had more than doubled.

Henri Nestle

In 1984, Nestlé's improved bottom line allowed the company to launch a new round of
acquisitions, notably American food giant Carnation and the British confectionery
company Rowntree Mackintosh in 1988, which brought the Willy Wonka Brand to
Nestlé.
The first half of the 1990s proved to be favorable for Nestlé: trade barriers crumbled
and world markets developed into more or less integrated trading areas. Since 1996
there have been acquisitions including San Pellegrino (1997), Spillers Pet foods (1998),
and Ralston Purina (2002). There were two major acquisitions in North America, both
in 2002: in June, Nestlé merged its U.S. ice cream business into Dreyer's, and in August
a US$2.6 billion acquisition was announced of Chef America, the creator of Hot
Pockets. In the same time frame, Nestlé came close to purchasing the iconic American
company Hershey's, though the deal fell through. Another recent purchase includes
the Jenny Craig weight loss program for US $ 600 million

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MISSION STATEMENT
Nestlé is......the world's leading nutrition, health and wellness company.
Our mission of "Good Food, Good Life" is to provide consumers with the
best tasting, most nutritious choices in a wide range of food and beverage
categories and eating occasions, from morning to night.

PRODUCTS AND SERVICES


Nestle has vast categories and varieties of food. Nestlé’s slogan “Good Food, Good Life”
signifies enhancement in quality of food enhances the quality of life and contributes
towards a healthier future. It owns more than 2000 products and is the world’s largest
food company in terms of revenue. The wide range of Nestle products caters to the
needs of all age groups be it infant, adult or even your pets. Nestle products include:

1) Baby Foods
 Nestle NAN products (0-6 months)
 Nestle Cerelac (6 months+)
 Nestle Lactogen (6-12 month+)
 Nestle Ceregrow (2-5 years)
2) Bottled Water
 Nestle pure Life
3) Breakfast/Cereals
 Nestle NesPlus Breakfast Cereal
 Nestle NesPlus Crunchy Flakes
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 Nestle Koko krunch
4) Chocolates & Candies
 Nestle KitKat Chocolate
 Munch Wafer
 Nestle Barone
 Nestle Classic
 Nestle Milkybar Eclairs
 Choco Licko Eclairs
 Polo
 Nestle Fox’s Crystal Clear Fruits Flavored Candy
 Rowntrees Fruit Gum
5) Health & Nutrition
 Nestle Baby & me
 Peptamen Peptide-Based Diet
 Nestle Ceregrow
 Nestle Resource High Protein
 Nestle Novasource Nutrihep
6) Milk Products
 Nestle a+ grekyo Yoghurt
 Nestle Everyday
 Nestle a+ Toned Milk
 Nestle a+ Dahi
 Nestle Flavoured milk
 Nestle nesquick
7) Food Service (Maggi)
 Maggi 2 minutes’ noodles
 Maggi Hot & Sweet Tomato Chilli Sauce
 Maggi Masala-Ae-Magic
 Maggi Real Coconut Milk Powder
8) Pet Care
 Purina Pro Plan
 Purina Supercoat Adult
 Purina Friskies
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9) Coffee
 Nestle Nescafe Gold Blend Coffee
 Nestle Coffee Mate
 Nescafe Classic Coffee
 Nescafe Nestea Iced Tea

FINANCIAL FEASIBILITY
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Financial analysis will help you in analyzing the stability, solvency and liquidity of
NESTLE. You also get an opportunity to review past trends for comparison with the
current trends NESTLE Case study writer at onlineassignmentwriter.com brings to you
detailed, verified and updated financial analysis for FY 2019 with FY 2018 data. The
data from two different years will enable you to understand the recent trend.

OBJECTIVE
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1. To launch new product “Masala Protein Maggi” with tagline “Taste bhi,
Muscles bhi” and emerge as a healthy snack.
2. To increase the market, share by 7%.
3. To target Rural market.

NEW MISSION
Our New Mission is “Better food, Better mood”. Nestle helps to provide nutritious
food to each class of the society.

STRATEGIC FOCUS AND PLAN

SWOT ANALYSIS
 STRENGTH
 Established family brand: with it promotion strategies &
branding hence creating strong customer relationship.
 Presence of other product segments of food category: dairy
product, chocolate, infant foods.
 Popularization of Maggi in Restaurants & Road side stall,
Canteen is Contributing to its success.
 Established as “2 minutes’ noodles” in the minds to
customers
 With rich history and financially stable parent company is on
the growing path.
 WEAKNESS:
 Awareness about ill effects of Maggi is gaining momentum
with more & more educated class becoming more health
conscious
 Low rural market presence constraints

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 Risk of Over dependability for revenue on Noodles product
category under the Maggi Brand.

 OPPORTUNITY
 Maggi can tie up with more & more restaurants.
 Company can go for brand Extension

 THREATS
 Increased market competition from the local & national
players.
 Negative word of mouth through online & Social Media poses
threats to the existence of Maggi.
 Less entry barriers in the market segment for product
category
 The name “MAGGI” is being commoditized just like Colgate,
surf.

COMPETITOR ANALYSIS
Maggi instant noodles, foods major Nestlé’s flagship brand that has dominated the
India instant noodles market for nearly three decades, is losing market share on a
monthly basis to newer entrants such as Sunfeast Yippee noodles, Ching’s secret
instant noodles, Knorr Soupy Noodles, Patanjali Atta Noodles (which is launched after
Maggi ban) and Nissin Scoopies.

 Yippee! is the second largest brand with about 22% market share. It has been
there in Indian market from years but it got the attention and love of consumers
when Maggi was banned. During that time when the people are trying to find
out the alternatives of Maggi, Yippee! Made their place in the hearts of the
noodle lovers. It is available in different tastes including Magic Masala, Classic
Masala, Tricolor Pasta Chinese Masala.
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 Knorr Soupy Noodles is the third largest brand with about 2 % market share.
Knorr introduced the soupy noodles concept which is loved a lot of noodle
lovers. Getting the taste of soup as well as noodles at the same time makes
Knorr Noodles a great combo. It is also available in a range of taste such as Mast
Masala Soupy Noodles, Knorr Chinese Noodle Schezwan, Knorr Chinese Noodle
Hot Spicy, fried Rice and Chinese Noodles.

 Ching’s Secret instant noodles is the fourth largest brand with 1.9% market
share.
Ching’s secret noodles have a unique taste which is very spicy and loved by
Indian fast-food eaters. Using celebrities like Ranveer Singh helped the brand to
grow as the is followed by a large segment of youth in the country. Ching’s
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Secret noodles are available in multiple varieties including Schezwan Instant
Noodles, Hot Garlic Instant Noodles, Egg Hakka Noodles, Singapore Curry Instant
Noodles, Singapore Curry Instant Noodles, and Veg Hakka Noodles.

PESTLE ANALYSIS

 POLITICAL FACTORS
 Nestle sell its products in 187 countries. The relationship
between countries as well as the effect of the political
and the geopolitical factor between the country & within
the country also has a huge impact on the international
trade.
 The government instability within the country can be
disruptive for the business of the company, also can
affect the supply chain performance. Increasing tax rate,
inflation rate can increase the raw material prices, which
can impact the business.
 ECONOMIC FACTORS
 Economic factors always had a direct impact on the business
performance of the company. Multinational companies such
as Nestle, HUL, ITC can perform only when the economic
conditions of the country are stable. The financial
performance of the Nestle in the year 2018, 2019 remained
strong as compared to 2020 due to the covid-19. During that
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time in most of the countries people are losing their jobs in
masses, GDP got crashed. The financial performance of these
brands depends to a very large extent on the performance of
the global and stability in the key regional markets.
 SOCIAL FACTORS
 In the 21st century, people lifestyles, their preferences have
changed a lot. The society and social factors are integral to
business. These factors have direct impact on the demand
because people lifestyles have changed in 2020.Now people
are more aware about their health and fitness.
 Nestle has always brought a wide range of products and
many of these are tailored to the taste and needs of the
market. It has launched Veg Atta Noodles for health
conscious people and launched many health awareness
campaign to educate consumers about the benefits of
healthy food. Also it has joined hands with the NASVI and
national and local food authorities to ensure proper training
to the street food vendors.

 TECHNOLOGICAL FACTORS
 The technologies are improving day by day, also have become
important factor in the context of international business.
From manufacturing to supply chain as well as in marketing
technology has grown central performance and profitability.
Nowadays people are more active on social media, which has
benefitted brands like Nestle whose ecommerce revenue
went up in 2018.
 ENVIRONMENTAL FACTORS
 The environmental impact of the company also affects their
public image which can indirectly impact to financial
performances. In the past, nestle was facing number of issues

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related to the water and environment. Nestle has faced lots
of criticism over its overuse of the water and exploitation of
natural resources.
 In 2019, the average quality of water Nestle discharged to the
environment was 55mg COD (chemical oxygen demand) per
liter
 LEGAL FACTORS
 The FMCG industry has always been under the eyes of the
government and their regulations in the comparison to other
industry since their products are consumed by consumers on
daily basis. In India Nestle has faced many legal issues for
using lead in the Maggi then the permitted level in the year
2015.

weight INFLUENCE Expert reviewier(Probabilty of weight


Average Average
POLITICAL INFLUENCE
OF FACTORS
Expert reviewier(Probabilty of changing
factor on a scale from 1-5) Rating
corrected ECONOMIC OF changing factor on a scale from 1-
Rating
corrected
FACTORS 5)
score score

1-----3 1 2 3 4 1-----3 1 2 3 4

Restrictions of Import of Imported


1 3 1 2 1 3 1.75 0.35 1 1 2 2 1 3 2 0.25
Goods GDP dynamics
2 Increased no of Inspections 1 1 3 2 4 2.5 0.166667 2 Growth rate of the economy 2 1 2 2 1 1.5 0.375
3 Stability of Govt 1 2 4 3 2 2.75 0.183333 3 The level of inflation 2 2 3 3 4 3 0.75
4 Changes in Legislation 2 1 3 2 1 1.75 0.233333 4 Stability of the currency 3 2 4 3 4 3.25 1.21875
Tendencies to regulation in the
5 2 3 2 2 3 2.5 0.333333 5 0 0
industry. Refinancing rate
Regulation of competition at the state
6 3 2 3 3 3 2.75 0.55 6 0 0
level. The unemployment rate
7 The level of corruption 0 0 7 the average wage 0 0
8 freedom of speech. 3 3 3 2 4 3 0.6 8 Purchasing power of the population 0 0
The cost of energy, raw materials, and
9 0 0 9 0 0
Elections at any level of the state communication resources
10 msp price and APMC BILL 0 0 10 Cost of Borrowing 0 0
11 0 #VALUE! 11 The degree of openness of the economy 0 0
12 0 0 12 Taxation level 0 0
13 0 0 13 Infra level 0 0
14 4 1 0 14 0 0
15 0 0 15 0 0
16 0 0 16 0 0
17 0 0 17 0 0
18 0 0 18 0 0
15 0 20 8

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weight INFLUENCE Expert reviewier(Probabilty of weight
Expert reviewier(Probabilty of changing Average Average
SOCIOLOGICAL INFLUENCE
OF FACTORS factor on a scale from 1-5) Rating
corrected TECHNOLOGICAL OF changing factor on a scale from 1-
Rating
corrected
FACTORS 5)
score score

1-----3 1 2 3 4 1-----3 1 2 3 4

1 The standard of living, education 1 2 2 1 3 2 1 2 3 2 3 2 2.5 0.714286


0.153846 The level of innovation in the industry
Attitude to imported goods, work,
2 3 3 2 3 1 2.25 2 3 2 4 3 1 2.5
leisure. 0.519231 Technology development cycle
3 Relation to religion and other beliefs 3 2 1 3 4 2.5 0.576923 3 The degree of technology use 2 2 2 1 1 1.5
4 The influence of the media 2 1 1 2 3 1.75 0.269231 4 0
The level of migration and
5 3 2 3 1 4 2.5 5 0
demographic growth 0.576923
6 Pandemic impact on consumption 1 1 1 2 2 1.5 0.115385 6 0
7 Healthcare facilities 0 0 7 0
8 Ease of Doing Business 0 0 8 0
9 0 0 9 0
10 0 0 10 0
11 0 0 11 0
12 0 0 12 0
13 0 0 13 0
14 0 0 14 0
15 0 0 15 0
16 0 0 16 0
17 0 0 17 0
Total 13 7 0

weight INFLUENCE Expert reviewier(Probabilty of weight


Expert reviewier(Probabilty of changing Average Average
LEGAL INFLUENCE
OF FACTORS factor on a scale from 1-5) Rating
corrected ENVIRONMENTAL OF changing factor on a scale from 1-
Rating
corrected
FACTORS 5)
score score

1-----3 1 2 3 4 1-----3 1 2 3 4
1
Labour laws -Degree of enforcement 2 1 2 3 3 2.25 1.75
1 2 Pollution level 1 1 2 1 3
2 Trade union strength 3 1 2 2 1 1.5 3 Frequency of Natural Calamities 3 2 2 3 1 2
3 Fairness of equity of justice 2 2 2 3 2 2.25 4 Pandemic occurance 1 2 2 1 3 2
Speed of legal disputes adressed in
1 2 2 3 4 2.75 2.75
4 court of Law 5 Land use Pattern 2 2 3 3 3
5 Ease of Doing Business-Good /Bad 0 6 Monsoon Pattern Highly irregular 3 2 1 3 4 2.5
6 0 7 0
7 0 8 0
8 0 9 0
9 0 10 0
10 0 0
11 0 0
12 0 0
13 0 0
14 0 0
15 0 0
16 0 0
17 0 0
8 10

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MARKET SUMMARY

TARGET MARKET

Rural India, Youngsters and Health conscious people

SEGMENTATION

Market Demographics
 Demographics:
Region: Urban, Semi- Urban, Rural
Occupation: Housewives, working professionals, Self-employed, Students
Sex: Male, Female
Income:1,00,000 p.a
Social Class: Middle and Upward
Family life cycle: Young, Single, Married and children
 Behavioral
Occasions: Regular, Everyday user- urban, Rural- depends on the temporal
aspects of the consumer’s life
User Status: Heavy user- urban, First time user- rural, Potential user- semi-
urban
Usage Rate: Heavy user- urban, Light- rural, medium- semi-urban
Loyalty Status: hardcore and shifting loyal.
Buyer- Readiness Stage: Some are aware, semi urban; some intend to buy
(aware, informed), urban; informed (some desire, some intend to buy)
Attitude toward product: Enthusiastic, positive.
 Psychographic:
Lifestyle: Hard pressed for time, searching for healthy snack.
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POSITIONING

The new product “Masala Protein Maggi” will position itself as a healthy
snack in the minds of customer having the tagline “Taste bhi, Muscles
bhi”. In India, majority of the people don’t consider Maggi as a healthy
snack, which this new product will change. Now health conscious people
will also consume it because it will be rich in protein content providing the
same taste of masala Maggi, then the regular Maggi.

Market Needs

In India about 37% population are fit, they are the people who are more
health conscious. They are the untapped consumers in the Indian Market
because they don’t consider Maggi Noodles as a healthy snack. Most of them
are having lunch at 12-2 pm, and having dinner late from around 8:30pm to as
late as 11pm. Hence a convenient snack between lunch and dinner is often
exercised. Also in the rural areas, smaller pack stimulate demand.
Maggi is a strong brand which sits strongly in its positions as a “good to eat,
fast to cook” anytime snack and it is popular across different age groups.
Opportunities in practically all consumption categories arise in terms of
“reach” and “medium consumption”.

MARKET TRENDS

The Indian FMCG market was worth US $ 52.75 billion in the year 2018 and it
was expected to increase to US$220 billion in 2025. Burgeoning Indian
population, particularly in the rural segments and the middle class segments,
presents an opportunity to makers of branded products to convert consumers
to branded products.

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This year the Nestle market share grew by 6% for the urban segment while
rural market share stood at 12 %. Growth is also likely to come from
consumers ‘upgrading’ in the matured product categories.
The manufacturers are introducing low-priced goods in the smaller pack sizes.
As a result, the rural marketing efforts have pushed the demand for sachets in
many consumer goods market. Smaller packs have become popular in smaller
towns and villages, where households cannot afford to buy larger packs due to
financial constraints. Also rapid increase in the health consciousness after the
Covid- 19, has increased the consumption of immunity booster, and fiber’s in
the food segment

MARKETING MIX (Masala Protein Maggi)

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PRODUCT

Maggi is a leading Noodles brand and has a wide range of products and
popular in most part of the world. Maggi instant Noodles category is known for its
taste, also has a wide variety and popular globally.
As the most of the Revenue of Nestle comes from Maggi Noodles. By introducing
new product “Masala Protein Maggi”, will attract the health conscious people,
specially youth. As the name suggest, it will enrich in protein content, providing the
same taste which is loved by all. This will also improve the brand image of the
company, because most the people don’t consider Maggi as a healthy snack. By
targeting the fitness freak youth, will increase the revenue of the company.
It will be available in different packages
- 50gms
- 100gms
- 150gms

PRICE
Maggi is known for his affordable pricing, but for our new product we will use
skimming pricing technique to target middle class and upper class, or the people
who want to eat tasty healthy product.

PACKAGE PRICE PROTEIN CONTENT

50gms 11rs 7gms


100gms 22rs 15gms
150gms 35rs 22gms

PLACE
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The Maggi products is widely available in all parts of India due to its strong
presence of Nestle. Through independent channels, it will reach to those villages
where the company has no presence. Its will be made easily available in all small
and medium kirana stores, to target rural market. We will use the block chain
technology for better supply chain management, and for providing guarantee for
food safety and sourcing. This will also help us to eliminate the use of unreliable
suppliers and poor quality ingredients.

PROMOTION
In urban and semi-urban areas will promote our new product through various
social media apps, televisions and banners. We will sponsor different fitness
YouTube content creators to create awareness about the nutritious content of
Masala Protein Maggi.
In the rural areas the product will be promoted through the banners and
product awareness campaign, which will help the rural people to know about its
healthy facts. Extra discount will be given to the small kirana shops; also small
packets will be promoted in the rural areas.

PRODUCT LIFE CYCLE OF MAGGI

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INTRODUCTION
 Maggi was launched keeping in mind of the women and
children’s.
 Maggi was pioneer in instant noodle market.
 Distribution stage: Producer- Distributor- Retailers-
Consumers.
 Pricing: Initially the price of the product was kept low to
make it affordable.
 Promotion:
- Promoted with tag line “BAS 2 MINUTE”.
- Promoted on TV ads and buy giving sample packets.

GROWTH
 Widely accepted as ready to eat food.
 Increased number of sales.
 Profits began to rise and it became No.1 brand in noodle market.
 Pricing: Prices were kept normal.
 Product: No any new changes.
 Promotion: Promoted with the tagline “Good to eat fast to cook”.
MATURITY
 Saturated market.
 Maggi faced tough competition after entrance of new player like TOP
TAMEN in the 90’s.
 Product: Maggi introduced wide variety of products like Dal Atta
noodles, chicken Maggi, Maggi cup mania.

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 Price: Maggi stills comes in very affordable prices starting form Rs.5,
they reduced the quantity instead of increasing price.
 Distribution: Distribution become more intensive. Various intensive
programs for encouraging products over other competitors.

DECLINE
 Sales saw a decline in 1990’s- Formulation changed from fried base to air
dried base.
 New products launched but failed- Dal Atta noodles sambar flavor.
 Tough competition from Top Ramen.

NESTLE PRODUCT MARKET SHARE


22
REVENUE CONTRIBUTION

NESTLE INDIA NET SALES

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Over last 10 years, revenue of the company grew at a CAGR of 9.35%. On the
other hand, PAT grew at a CAGR of a 11.64%. Due to strong market holding in most of
its products, nestle secures pricing power. Moreover, most efficiently drives good
margin growth. PAT margin grew from 11% for CY17 to 14.3% for CY19. The average
price of products sold did not see much increase since FY16. The management focus is
on volume based growth.
NESTLE INDIA PROFIT AFTER TAX (PAT)

NESTLE INDIA QUANTITY OF PRODUCT SOLD


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The volume of products sold grew at a CAGR of just 1.52% over last 10 years. The
highest volume growth is for the ‘prepared dishes/ cooking aids’ segment. The volume
for the segment grew at a CAGR of 3.52% over the period which includes product of
Maggi Brand. In addition, the company achieved good volume growth in CY17, 18 & 19.
Volume growth for CY17 is 9.8%; for FY 18, 11.1% and for FY19, 7%.

FUNCTIONAL PLAN

Break even analysis of a 100 tonne capacity plant of Masala Protein masala noodles.
In this we will look for the different cost involved in the production of Maggi noodles
and then comparing it with the total sales to find out the minimum efficiency at which
the plant should operate in order to have a neither loss or a profit relationship.
Fixed cost: This is the cost which is independently of the quantity of the product
produced. E.g. Land & building cost, Plant & machinery cost etc.
Variable Cost: This is the cost that varies with per unit of product produced. E.g. raw
material cost, packaging cost etc.

Fixed Cost:
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Land & Building cost:

Particulars Area(sq. mtrs) Cost (rs)


Land 200 100000
Building 100 200000
TOTAL 300000

Plant & Machinery Cost:


Particulars Qty Price(rs)
Machine 1 100000
Packing 1 50000
Weight Scale 1 10000
TOTAL 160000

Variable Cost:
Man Power Cost:
Particulars Numbers Monthly Salary Total Salary
Operators 2 4000 8000
Helpers 2 2000 4000
Skill Worker 2 3000 6000
Semi Skill Worker 2 2000 4000
Salesman 2 2000 4000
Total 26000

Raw Material Cost:


Product Qty Price/Ton Value
Raw material 100 70000 7000000
Packing Material 100 20000/ton of 2000000
finished goods
TOTAL 9000000

Other Expense:
It will be almost 25% of sales value.
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Fixed cost In R0s
Land & Building 300000
Plant & machinery 160000
Total fixed cost 460000
Variable cost Per Tonne of production
Manpower Cost 26000
Raw and packing material 90000
Other expense @25% of sales

Break Even Analysis:


Let total production be X Tonnes. Since the 100 gm is available for Rs. 22 i.e. Rs 220/kg
so let’s say that Maggi noodle is supplied to the market agent at Rs 170/ kg
So for no profit no loss equation is
460000+ (116000*X) + (22/100) *X* 170* 1000= (170*X*1000)
X=9.21 Tonnes

CONCLUSION
The food processing business in India is at a nascent stage. Currently, only about 10%
of the output is processed and consumed in packaged from thus highlighting huge
potential for expansion and growth. Traditionally, Indians believe in consuming fresh
food rather than packaged or frozen, but the trend is changing and the new fast food
generation is slowly changing. Maggi in the year 2008 saw India leading in worldwide
Maggi sales. India’s food regulator had banned Maggi in 2015 after tests showed it
contained excessive lead and for alleged mislabeling over flavour enhancer MSG. Due
to Maggi faced decline in sales also its image got degrade in the mind of the
consumers. In the year 2019, the total noodles market size was nearly USD44.5 billion
and it was expected to grow at a CAGR of 5.2% between 2020 and 2025 to attain a
value of USD 60.3 billion by 2025.

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