PRODUCT MANAGEMENT CASE STUDY

CASE; 1 - KOMAL FOOD PRODUCTS COMPANY LTD.

Komal food Products Company that was founded in 1935 to manufacture grocery and other food products had over
years grown into a vast enterprise having offices and branches in almost all the important cities of India.

The company's head office and factory were situated in Calcutta. Its products were distributed through five zonal
sales offices, which directed 25 district sales offices the administrative responsibility of each zonal office was
borne by a manager whose duty was to promote sales in his zone. He was advised and instructed by the head office
from time to time.

Under the control of each zonal manager there were four functional heads, viz., personnel manager, accounts
manager, sales manager and office manager. These executives advised and assisted the zonal manager on various
functions relating to the zonal administration. Each functional head enjoyed considerable freedom and
independence with respect to his work.

On matters relating to sales the zonal manager received advice from the sales manager. The latter formulated
policies, planned schedules for sales operations, suggested improvements in district sales administration; and
submitted his views on all the matters concerning sales to the zonal manager. At times he issued orders and
instructions to the district sales manager but these were typically routed through the zonal manager.
Ordinarily his views and advice were accepted and approved by the zonal manager.

Three product managers who were considered to be experts in their respective fields assisted the sales manager in
his work. Their duty was to travel with the sales supervisors of the various districts and study the market for the
company's products; survey the competitive position of the company's products, study dealer and consumer
reactions, sales trends and advise the district sales manager and the sales supervisors regarding the steps to be
taken for promoting sales in the districts. Every month each submitted a report on the sales activities of the
company to the sales manager. The relationship between the product manager and the sales manager is the same as
that between the zonal manager and sales manager.

Also directly responsible to the zonal manager were five district sales managers each of whom were responsible
for sales in his territory. Five sales supervisors besides several salesmen in turn assisted each district manager. The
duties and function of district sales managers were to:

1. Select, train and supervise his sales supervisor and salesmen following the policies and procedures laid down
by the zonal manager
2. Make a study of the nature of consumer demand, changing market conditions, existing stock and formulate
sales campaigns and promotional tools.
3. Fix the sales targets to be attained in his territory from time to time
4. Formulate the credit policies to be followed in consultation with the zonal manager
5. Develop better teamwork among the sales supervisors and salesmen
6. See that the customers were satisfied with the company's services
7. Undertake such other functions and duties as might be assigned to him from time to time by the zonal manager.

Every month each district sales manager submitted a detailed report on the sales activities of the company in his
district to the zonal manager. Ordinarily these reports were passed on to the sales manager for the necessary action
to be taken with respect to each district. On the morning of June 6,1991, the following conversation took place
over phone between Mr. Rajan, the sales manager at the South Zonal Office and Mr, Shankar one of the district
managers in the zone.

Shankar: I wish to bring to your notice an important matter that needs your urgent consideration. The product
managers are interfering too much with the sales activities
of my district. I receive frequent complaints from the supervisors that they are not able to carry out my Instructions
due to unnecessary interference from these people. If this state of affairs continues it will be very difficult to
maintain our sales. The morale of the supervisors will be seriously affected. I will not be responsible if sales drop
this time in our area on this account. You must take some steps to see that the relationship between the line and
staff is maintained on good terms.

Rajan: Mr. Shankar, you need not worry' I shall call the product managers and see that they maintain the proper
relationship with you....

Next day Mr. Rajan called all the product managers and after discussing routine matters, he said," Mr.
Shankar told me that his sales supervisors are complaining that you are
interfering with their activities ....................... You are all expected to advise them on the steps to be
taken for increasing sales. But, at the same time, please remember that you have to play only an advisory role
while advising these people you must also see that the line of authority is respected…"

The product managers did not say anything.

In the subsequent months Mr. Rajan did not receive any complaint from the district office. But in the first week of
October, while scrutinizing the sales progress report of the various districts for the previous quarter, the zonal
manager found an unusual decline in sales in the district, which was under the supervision of Mr. Shankar.

The zonal manager called Mr. Shankar and asked him why there were so many declines in sales in his territory
while all the other districts showed very good progress. Shankar....
"During the past three months the product managers have not advised our men properly. In fact, they did not
advise the supervisors of the recent changes and trends in the market. They seem to be unwilling to cooperate with
our sales force. What can I do? Even then, we have done our best to maintain sales. "

When asked about this by the zonal manager the product managers said, " ........................We used to
give advice to this district office also as we usually do with other district offices. On a complaint, from Mr.
Shankar Mr. Rajan had told us that we were exceeding our authority and unnecessarily interfering with the
activities of this district. We had been asked to restrain ourselves The district manager takes advice directly from
the zonal sales
manager. We have got nothing to do in this matter…"

Questions:

1. How has the conflict situation between product managers and sales personnel arisen?

2. What reorganization of responsibilities of product managers would you suggest to avoid such a situation in
future?
 CASE: 2 - THE PREMIUM DILEMMA
Vinod Tahil's mind was a riot. For the first time in many years, the marketing manager of while goods
manufacturer Electra India was questioning the marketing theories he had always believed in. Was he right in
wanting to abandon the super premium route to brand building, or was he, in fact, trapped in the classical middle-
class mindset, which made him averse to premium Product?

The previous Sunday, Tahil had had a long discussion on the issue with Gautam Sarin, his squash partner and
marketing head of Plimsoll Watches. Tahil had walked into the squash court right after a stiff debate with his CEO,
Arun Raja, over Electra's plans to launch a super premium, multi-facility refrigerator from its international stable,
the Eva 755.

In Eva 755 was a state-of-the-art multi-door fridge with lots of features and plenty of storage space. It had two
zero-degree compartments, an ice crusher, a dispenser for chilled water, a built-n deodorizer and an alarm that
went off if the door was not shut properly. The price: a cool Rs.1 lakh.

The previous year, the company had launched its three-and four-door refrigerators. It followed that up with a 7.5
kg fully automatic washing machine, Ergo, which also carried a premium price tag. This, in fact, was Electra's
strategy. If preferred to enter with its premium range rather than follow with mass-market route, CEO Raja wanted
to build brands first. Volumes would be a Natural consequence, he said.

But Tahil had his doubts whether Eva would cut much ice with the customer. In a market, which was skewed in
favour of the value-for-money double-door refrigerator, the multi door refrigerator seemed very ambitious to him.
It was unlikely to build much saliency for Electra, he felt.

To begin with, the very idea of a large sized refrigerator seemed irrelevant in the Indian context. In the West,
supermarket chains were last replacing convenience stores. As a parallel behavior pattern, consumers there were
using refrigerator not just for preserving foodstuffs, but also for long-term storage.

In India, however, the neighborhood grocer had gained in strength and supermarkets had not become the norm yet.
For the same reason, the Western pattern of long-term storage could not be replicated here. "India is a tropical country
and there are lots of vendors for fresh vegetables and fruit. So, who needs vast storage facilities in India?" he asked.

Raja was convinced that there was a clear consumer segment, which sought premium and super premium products.
"There are 3 8 million households in the A1 and A2 socio- economic classes. It's not the 15O-million middle class
but this super premium, super label conscious segment that I want to target. The self-employed and high-salaried
people in this segment are virtually indifferent to high prices," said Raja.

Tahil would not buy the argument. "The so-called high-income group that you refer to comprises largely nuclear
families. That means that these families consume less food than joint families do. There may be 3 8 million such
families, but they are dispersed all over the country. A rich farmer from Gurgaon, who has a high disposable
agricultural income and heads a family of 14, is the one who actually needs this product. But you have no means of
getting your product to him."

An entry through a premium segment would entail lower distribution costs, but only if a mass product already
existed. "If you have a mass product, you could piggyback on its distribution network and get your premium
product to the rich farmer in Gurgaon,". said Tahil. "In its absence, reaching out to the dispersed consumer will be
prohibitively costly. Also, it will be difficult to get the required volumes,"

Raja had other plans. He wanted to enter the super premium segment so that Eva could be Electra's image leader.
"Why did Titan launch Tanishq? Certainly not for volumes." he argued. "The premium range has a positive rub-off
on the medium range. If a company launches a super premium product, its image becomes so overwhelming that
the consumer does not question the price or the quality of its other product." he said.
"That 'image leader' angle is a double-edged sword," countered Tahil. "If the super premium product fails to make a
mark in three years' time, its image as well as the company's image will take a beating."

Raja cited the sample of BPL. "When it entered the refrigerator market, BPL was aware it was taking on the might
of Videocon, a sturdy, reliable, home grown brand. To gain a quantum leap over Videcon's image perception, BPL
first launched the three-door refrigerator. Its launch stoked the interest of consumers, who gushed and gawked and
went home and told their neighbors about it. So, the next time someone wanted to buy a basic 165-litre
refrigerator, he {first checked out a BPL fridge Soon after that, BPL launched its home entertainment system,
another super premium product. No one questioned the price or whether the product would be successful because
they all knew that there were buyers for the quality that BPL had to offer. Thereafter, every offering from BPL was
viewed with respect," he said.

Brand building, Tahil felt, worked when it ran parallel to volume building. "The middle class is very aware and is
continuously upgrading its information. It will want to know how many Indians are buying Electra and we need to
answer that with some volumes," he said.

In such a scenario, the launch of Eva appeared to be a wasteful exercise. "The premium you can charge on a
product must have a meaningful price to quality/value ratio," argued Tahil. "Price is no longer the deciding factor,
it is value instead. As we go along you'll find consumers are less likely to compare prices than they did in the
past," declared Raja.

Tahil disagreed with Raja on the significance of price. "Price will always be a key factor in the purchase decision.
The people you are targeting for Eva watch the market, evaluate products and are very aware. They may buy a pair
of Reebok shoes for RS. 2,000, but a refrigerator for Rs. 1 lakh? That's going too far," he said.

Raja left after coffee, but Tahil carried his disagreement to the squash court. "Raja is trapped in a mythical view of
the Indian middle class," he said to Sarin. "All around us lie the debris of companies which overestimated the
middle class' willingness to pay for global brands. Yet he believes that Eva has potential," he said.

Sarin felt Tahil was underestimating the market. "In the wake of liberalization, there was a lot of brouhaha - over
the relevance of some of the products entering India.

People asked, 'Who needs KFC? Who needs Reebok? But we must realize that the consumers aspired for anything
global. Now they are asking for particular features and design improvement, he said.

"Who are these consumers?" asked Tahil. "The glorious middle class?"

"Tahil, in durable you have to benchmark differently. When you are selling potato chips or corn flakes, you are
looking at one set of consumer behavior patterns- But in durable, which can replace manual tasks, the consumer is
seeking higher value delivery. Within this, there is also a segment, which is indifferent to high price the self-
employed and the highflying executive. They have access to soft loans and hefty perks. Money is no object for
them. They are eating out twice a week, buying shoes worth RS. 2,000 and paying RS. 1 lakh for health club
memberships."

Questions:

1. Critically evaluate the price band being suggested for Eva. Do you agree with Rajan's assessment of the
targeted consumer or with Tahil's? Justify you answer.

2. What in your view are the target customers for this kind of product? What is the brand positioning that you
would suggest for Eva in view of the target market identified by you?
 CASE: 3 - CAPITAL MACHINERY

M/s ABC was a well-known manufacturer of plastic injection molding machinery and few types of molds with the
factory at Taratolla in Kolkata.
They had an Austrian collaboration and could manufacture highly sophisticated automatic models
Technologically, the Austrians were reported to have the best models in so far as output quality and productivity
was concerned. However, a major problem besides a high price was the operators must be fully trained and capable
of handling small repairs themselves. Also, local availability of spare parts did cause frequent headache to
customers.
The company was led by Mr. Dhar, a top-grade plastic machine specialist, who had brought in from Austria Mr.
Raj Kumar, an engineer trained for more than five years in the collaborator’s factory and himself a top-grade
designer of both Automatic machines and molds
Both the top people were technocrats and had excellent technical skills, however they realized that marketing
specially B2B sales was not their strong points as financial management
To overcome the above, they had entered into a then possible Sole Selling Agency agreement with a major foreign
company which was manufacturing

LDPE granules

LDPE Films and Pipes Organic chemicals

This company MNL Ltd had a strong all India presence and sales network of more than 20 sales personals and
3000 customers being served by their four regional offices. The underlying concept was that MNL Ltd can offer
their plastic converters not only the Raw materials but also the much-needed conversion machinery and molds.
Hence a synergistic approach can be established, whereby from the same source the plastic users can get most of
the requirement

Questions

1. Was the company justified in appointing MNL their sole selling agent.

2. Outline an arrangement chart between ABC company and MNL.

CASE: 4 FREMCO CORPORATION: UNDERSTANDING INDIAN MARKET FOR A NEW PRODUCT
LAUNCH

Mr Rajiv Bhagat is the CEO of Fremco Corporation Limited and is evaluating a note prepared by his strategy team,
which will help them to take a decision about future course of action depending on their learning about Indian market.
The excerpts from the Note:
India, in the recent past, has been attracting a number of large multinationals from all over. Her expanding population
of middle and upper class consumers, liberalization policies and prospects have made her the hottest destination for
all the companies, be it in automobile or in consumer products or food. In the last five years, consumers in India
have witnessed unlimited options opening up before them and they are also the undisputed kings as every company
is trying to retain them by taking extraordinary measures.
One intriguing thing about the entry of multinationals in India is, however, that many of them have decided to pack
and leave the country or are content with miniscule business coming their way. The major reason behind these
misadventures is said to be that for one, the major market today lies in rural areas and second that Indian consumers
have very different tastes and preferences. The scenario is particularly common in the food products industry. Several
major food products have failed in the country or are limited to four metropolitan cities only.

The latest to join the already crowded market is Fresh and Sweet, a leading brand from America, in the fruit juice
market. The brand is owned by one of the biggest and diversified business houses, Fremco Corporation Limited. The
company is in the top position in it's beverages and readymade food products in America and has some very strong
brands in its portfolio. Fremco Corporation Limited is operating in almost 57 countries worldwide and its beverages
are recognized as top products everywhere. The readymade food products, include cookies, fruit bars and fruit based
canned products, which are also doing good business. Fruit juice is again one of the most successful products in its
portfolio with market leadership position in around 30 countries.

Fresh and Sweet brand is sold worldwide as a breakfast product, particularly in USA. The company spokesperson
said at a recent meeting that the juice does not have any sugar, preservative or additives, "We are selling a 100%
pure fruit juice which is not available in India so far. The demand for 100% pure fresh juice is there but people are
making with whatever is available. In the long run, we will also be looking for the raw material in India, which can
be processed at our Indian plant. But at this moment our raw material comes from orange producing states in the US.
The company aims at the market with a long-term view and we are not in a hurry to sell and go back."
The company has test marketed it's two juices in three cities - Bangalore, Mumbai and Delhi last month. The response
it has received shows that people are willing to buy a new product like theirs, as the brand is very well known.
Another fact revealed was that consumers wanted a little sweeter taste as the juices are very bland without sugar.
The response regarding price, packaging and volumes of sale was satisfactory. To overcome the taste barrier, the
company is deciding to blend the juice with another sweet fruit to get the required taste.
Indian drink market for branded products is estimated to be around 3,000 crore rupees and is dominated by soft
drinks. Only 2 or 3 per cent of the share is captured by branded juice, which is growing albeit slowly. With the rise
in disposable income and awareness of health and fitness, the market is likely to double in the next two years. Also
the company hopes to convert the non- branded product consumers in the next one or two years to it's products.

To market it's Fresh and Sweet brand the company has revealed an ambitious marketing and advertising plan.
Fremco is considered one of the biggest advertisement spenders in the country and since it's entry it has preferred
an aggressive promotion strategy. The agency, handling the Fresh and Sweet brand is working for the last six
months to get extensive data on consumer preferences, likings and the media for the ad-campaign.

Table 1: Advertising Expenditure in Year 2005

Indian market is flooded with unbranded fruit juices sold through vendors. The branded juice market is about
80 crore rupees presently and is growing at a rate of almost 10 per cent per annum. The major competitors for this
market are Indian companies and one multinational company with almost nil market shares. Fresh and Sweet was
not sold commercially and hence not included.

Table II: Market Share of Branded Juice in Year 2005

 Review Questions
1. What is the other information that he needs to collect for making a right decision about entering into Indian
market?
2. What information is important in deciding about a brand of juice?
3. How does a consumer decide about a brand of juice and what personal factors influence the decision making
process?
4. What difficulties can the company face in the current market conditions while launching its product?
5. Please suggest an adverting and positioning strategy for the brand?

6. What is the other information that he needs to collect for making a right decision about entering into Indian
market?
7. What information is important in deciding about a brand of juice?
8. How does a consumer decide about a brand of juice and what personal facors influence the decision making
process?
9. What difficulties can the company face in the current market conditions while launching its product?
10. Please suggest an adverting and positioning strategy for the brand?
 CASE: 5 - PRODUCT MANAGEMENT- A CASE OF AMUL

Amul is the largest co-operative movement in India with 2.2 million milk producers organized in 10,552 co-operative
societies in 2003-2004. As a brand it symbolizes high quality product at reasonable prizes. In butter, cheese and
saturated fats, Amul has remained the undisputed market leader since its inception in 1955. Amul followed a unique
business model, which aimed at providing 'value for money' products to its consumers, while protecting the interests
of the milk-producing farmers who were its suppliers as well as its owners.

The Brand: Amul

Amul brand has been extremely successful. As a brand, Amul is a name widely recognized and respected, not just
in our cities and towns, but in our villages as well. Probably the easy, but nonetheless wrong, answer is that Amul
has been advertised well. Today Amul is a symbol of many things, of high-quality products sold at reasonable prices,
of the genesis of a vast co-operative network, of the triumph of indigenous technology, of the marketing savvy of a
farmers' organization and of a proven model for dairy development.

Some of the value propositions that have resulted in success of Amul are:
1. Quality: Equaling or exceeding the buyer’s expectations with good taste.
2. Value for money: While earning a good income for our owners – the dairy farmers of Gujarat – value is delivered
for cost.
3. Availability: Having nation’s finest distribution network, it is available when and where the customer wants it.
4. Service: Being committed to total quality and having an appropriate service recovery mechanism in place in case
of a service failure.

The main secret of success of Amul is ‘The People power’: Contrary to the traditional system, when the profit of
the business was cornered by the middlemen, the system ensured that the profit goes to the participants for their
socio-economic upliftment and common good.

The Dairy Industry

Dairy products in India is seeing a healthy growth of almost 10% in current value terms in 2004, to post sales of up
to Rs89 billion. This robust growth can be attributed chiefly to packaged milk, which saw healthy growth arising
from the switch to branded milk among middle-class consumers and the rural affluent. Cheese and flavored milk
drinks are projected to experience robust growth over 2004, albeit from a small base. With current value growth
rates of 14% and 27% respectively, both products collectively account for merely 9% of total dairy value sales in
the year.
Typical structure of the Indian dairy industry is given below
 Butter Market of India
Following are some of the typical characteristics for butter market of India

 Traditional product, dominated by unorganized sector

 Branded butter available - salted and unsalted
 Co-operatives dominate organized segment

 Major brands (manufacturers) - Amul (GCMMF), Vijaya (AP), Aavin (TN), Nandini (Karnataka)
 New Entrant: Britannia

Given its high income elasticity, the demand for milk and dairy products is expected to grow rapidly. A study
conducted by Saxena (2000) using National Sample Survey (NSS) data for 1993--94 showed that income elasticity
of demand for milk and milk products is higher (1.96 national level) in rural areas (ranging from 1.24 in Punjab to
2.92 in Orissa) than in urban areas (ranging from
0.99 in Punjab to 1.78 in Bihar).

Future of Dairy Industry in India

The major determinant in any projection of the demand for milk and milk products is the burgeoning middle class
with increasing purchasing power. The demand for milk is placed at 70 to 80 MT in the next decade, providing
excellent opportunities for the growth of the dairy industry. India should have a competitive advantage in the
international market, and it is hoped that the Indian dairy industry will seize
the opportunity to develop overseas markets for milk powders and varieties of cheese, the costs of which are
expected to go up in the major milk producing countries.
To make inroads into the export markets, it is not enough if prices alone are competitive. It is equally necessary that
the quality of the products be up to international standards. The dairy industry should exercise vigilance and the
extension services of the country should be toned up to ensure clean milk production. It is essential that the dairy
plants maintain excellent standards of hygiene at all stages of production.

The Organization: Gujarat Cooperative Milk Marketing Federation Gujarat Cooperative Milk
Marketing Federation (GCMMF) is India's largest food products marketing organization. It is a state level apex
body of milk cooperatives in Gujarat which aims to provide remunerative returns to the farmers and also serve the
interest of consumers by providing quality products which are good value for money. Its sales turn over in period
1994-96 is Rs 11140 million and
$355 million. Its flagship brand Amul has become one of the best recognized brand names in India with turnover
of Rs. 29 billion in 2004.

Brand Identity of Amul

It is a unique set of brand associations that the brand strategist aspires to create or maintain. These associations
represent what the brand stands for and imply a promise to customers from the organization members. In case of
Amul, which was born in the villages of India, it went in to create successfully the ‘Taste of India’. It tries to embody
the cultural values that are unique to India, and no festival can really be complete without a little bit of Amul in it.

Amul butter which was launched in 1945 had a very staid image, till in 1966 when ASP advertising agency clinched
the amul account. The objective was to create a relationship between the main customers i.e. the housewives and the
brand Amul. This led to the creation of one of the most successful campaign of India, whose charm has endured
fickle public opinion, gimmickry and all else. A girl who would worm her way into a housewife's heart, the Amul
girl from then on played the role of a social observer. From the Sixties to the Nineties, the Amul ads have come a
long way, still the element of provocative humour remains. The association created was that of pure and simple fun,
which along with the personality of a socially conscious observer of the Amul girl went a long way in achieving the
 brand identity objective. The next and effective campaign was ‘The taste of India’ one where Amul tried to project
itself as truly Indian ,which incorporated Indian values and the feeling of pride at being indigenous. (The roots of
Amul in Indian Villages / Cooperative).

To study the brand identity of Amul, the prism model was taken into consideration. The brand prism for Amul is as
shown in the diagram below:

Components of Brand Identity:

1. PHYSIQUE:
The Amul girl: Every Friday since 1967, this little girl appears on billboards, strategically placed all over India,
focusing on the item of the week -- tongue in cheek, of course.

The punch line: ‘Utterly, Butterly, delicious’

The slogan: ‘Taste of India’
Use of humour: "Hing-lish" (a combination of Hindi and English) punch- lines, and evocative humour.
2. PERSONALITY:
The brand as a personality will come across as someone patriotic as shown in its adds and the famous jingle
“the taste of India” .Along with that the Amul girl and her comments on daily issues in the advertisements lend
a bit of innocence to the personality.
3. RELATIONSHIP:
Amul is always said to be playing the role of a "social observer with evocative humor," the billboards became,
and still are, a topic of conversation amongst millions.

4. CULTURE:
Amul was born in the villages of India and it went to create `The taste of India’. It embodies the cultural
values that are unique to India, and the images showing the cooperative nature of business in case of Amul
the culture is shown as truly cooperative in terms of commitment to the producer and consumer.
5. REFLECTION:
As shown in the advertisements of Amul the perceived user is someone who is modern, aware of social issues
and stability seeker in nature. The stability seeking quality comes from the fact that this ideal user is sticking
to Amul or so many years because of its superior quality, reliability and ease of usage.
6. SELF-IMAGE:
The advertisements generate a image of a true Indian with core Indian values, who is proud of his roots. Since
Amul come from the villages of India it makes oneself very proud of its indigenousness. Along with that the
tongue in cheek advertisements involving daily issues on the hoardings and back of the package wants to
generate and image of being socially aware of the surroundings.

Challenges for the Future

Though Amul is a successful story, but it is facing a stiff competition from other key players of business and
from multinational firms. Amul has a wider product portfolio and it has got both related and un related
extension over the years. As a product manager develop a product management strategy and rationalize the
product portfolio of Amul as a brand and suggest what role should Amul Butter play in the over all product
management of Amul brand.
 CASE: 6 - E TAILING RENAISSANCE

Amazon.com, Inc is an American multinational technology company which focuses on e- commerce, cloud
computing, digital streaming, and artificial intelligence. It has been referred to as "one of the most influential
economic and cultural forces in the world”, and is one of the world's most valuable brands. It is one of the Big
Five American information technology companies, alongside Alphabet, Apple, Meta, and Microsoft.
Amazon was founded by Jeff Bezos from his garage in Bellevue, Washington, on July 5, 1994. Initially an online
marketplace for books, it has expanded into a multitude of product categories: a strategy that has earned it the
moniker The Everything Store. It has multiple subsidiaries including Amazon Web Services (cloud
computing), Zoox (autonomous vehicles), Kuiper Systems (satellite Internet), Amazon Lab126 (computer
hardware R&D). Its other subsidiaries include Ring, Twitch, IMDb, and Whole Foods Market. Its acquisition
of Whole Foods in August 2017 for US$13.4 billion substantially increased its footprint as a physical
retailer.
Amazon has earned a reputation as a disruptor of well-established industries through technological innovation
and mass scale. As of 2021, it is the world's largest Internet company, online marketplace, AI assistant provider,
cloud computing platform, and live- streaming service as measured by revenue and market share. In 2021, it
surpassed Walmart as the world's largest retailer outside of China, driven in large part by its paid subscription
plan, Amazon Prime, which has over 200 million subscribers worldwide. It is the second- largest private
employer in the United States.
Amazon also distributes a variety of downloadable and streaming content through its Amazon Prime Video,
Amazon Music, Twitch, and Audible units. It publishes books through its publishing arm, Amazon Publishing,
film and television content through Amazon Studios, and is currently acquiring film and television studio
Metro-Goldwyn-Mayer. It also produces consumer electronics—most notably, Kindle e-readers, Echo
devices, Fire tablets, and Fire TV.
Amazon has been criticized for practices including technological surveillance overreach, a hyper-competitive
and demanding work culture, tax avoidance, and anti-competitive behavior.

QUESTION -

Q1. What is the difference between Inventory based model and Market place platform?
Q2. Which model does Amazon use?
Q3. What is customer delight? How do you think Amazon should pursue it?
 CASE: 7 - MYSTICAL BRANDING
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered
in Seattle, Washington. It is the world's largest coffeehouse chain.
As of November 2021, the company had 33,833 stores in 80 countries, 15,444 of which were located in the
United States. Out of Starbucks' U.S.-based stores, over 8,900 are company- operated, while the remainder are
licensed.

The rise of the second wave of coffee culture is generally attributed to Starbucks, which introduced a wider
variety of coffee experiences. Starbucks serves hot and cold drinks, whole- bean coffee, micro-ground instant
coffee, espresso, caffe latte, full and loose-leaf teas, juices, Frappuccino beverages, pastries, and snacks. Some
offerings are seasonal, or specific to the locality of the store. Depending on the country, most locations provide
free Wi-Fi internet access.
In addition to drinks and food, many stores carry Starbucks' official merchandise, such as mugs, tumblers, scoops,
and coffee presses. There are also several select "Starbucks Evenings" locations that offer beer, wine, and
appetizers. Starbucks-brand coffee, ice cream, and bottled cold coffee drinks are sold at grocery stores in the
United States and other countries. In 2010, the company began its Starbucks Reserve program for single-origin
coffees and high-end coffee shops. It planned to open 1,000 Reserve coffee shops by the end of 2017. Starbucks
operates six roasteries with tasting rooms and 43 coffee bars as part of the program. The latest roastery location
opened on Chicago's Magnificent Mile in November 2019, and is the world's largest Starbucks location. The
company has been subject to multiple controversies related to its business practices. Conversely, its franchise
has commanded substantial brand loyalty, market share, and company value.

QUESTION -
Q1. What is brand equity? How did Starbucks build its brand equity?

Q2. Starbucks caters to niche audience in India. Comment.

Q3. What is mystical branding? How did Starbucks weave its branding theme around it? Q4.State the brand
values of Starbucks.
 CASE: 8 - HPCL: THE RETAIL REVOLUTION IN FUEL

Hindustan Petroleum Corporation Limited (HPCL) is a subsidiary of Oil and Natural Gas Corporation which
is under the ownership of Ministry of Petroleum and Natural Gas of the Government of India with its
headquarters in Mumbai, Maharashtra. It has a 25% market-share in India among public sector undertakings
(PSUs) coupled with a strong marketing infrastructure. Its parent company is ONGC which owns a majority
stake in the company. The company is ranked 367th on the Fortune Global 500 list of the world's biggest
corporations as of 2016. HPCL was removed from NIFTY 50 INDEX in March 2019 . On 24 October 2019,
the company became a Maharatna PSU.
HPCL was incorporated in 1974 after the takeover and merger of erstwhile Esso Standard and Lube India
Limited by the Esso (Acquisition of Undertakings in India) Act 1974. Caltex Oil Refining (India) Ltd. (CORIL)
was taken over by the Government of India in 1976 and merged with HPCL in 1978 by the CORIL-HPCL
Amalgamation Order, 1978. Kosan Gas Company was merged with HPCL in 1979 by the Kosangas Company
Acquisition Act, 1979.
In 2003, following a petition by the Centre for Public Interest Litigation (CPIL), the Supreme Court of India
restrained the Central government from privatising Hindustan Petroleum and Bharat Petroleum without the
approval of Parliament. As counsel for the CPIL, Rajinder Sachar and Prashant Bhushan said that the only way
to disinvest in the companies would be to repeal or amend the Acts by which they were nationalised in the
1970s. As a result, the government would need a majority in both houses to push through any privatisation.
HPCL has been steadily growing over the years. The refining capacity increased from 5.5 million metric tonnes
(MMT) in 1984/85 to 14.80 million metric tonnes as of March 2013. On the financial front, the net income from
sales/operations grew from ₹2687 crores in 1984–1985 to ₹2,06,529 crores in financial year 2012–2013. During
FY 2013-14, its net profit was ₹1740 crores.

QUESTION -

Q1. What is an integrated marketing channel?

Q2. With respect to the above case, explain CODO and COCO?
Q3. Is COCO a prescription for every entrepreneur? Critically evaluate this statement in context of pros and cons
of this decision.
 CASE: 9 - PURINA: THE MARKET CHALLENGER TO MARS!

Purina, is an American subsidiary of Nestlé, based in St. Louis, Missouri. It produces and markets pet food,
treats and cat litter. Some of its pet food brands include Purina Pro Plan, Purina Dog Chow, Friskies, Beneful
and Purina One. The company was formed in 2001 by combining Nestlé's Friskies Petcare Company with
Ralston Purina, which acquired it for $10.3 billion.
Nestlé Purina PetCare has been advancing pet nutrition for over 80 years. Our team of over 18,000 employees
and 500 scientists, including nutritionists, aim to develop products that deliver comprehensive nutrition to help
ensure the long healthy lives of pets and make discoveries that can further enhance the lives of pets everywhere.
Globally, Nestlé Purina is present in more than 70 countries.
‘Pets and people are better together’, this is the guiding belief that motivates Purina to deliver life-changing
nutrition to pets and world-class pet care expertise to pet owners and veterinarians every day.

Products
Nestlé Purina provides a range of industry-leading pet food, snacks and cat litter products based upon deep
expertise in pet nutrition and health. Brands and products range from complete & balanced nutritional offerings
to more specific health solutions that deliver benefits such as early development, digestive health, weight
management, and senior cognition.
According to a SWOT analysis by MarketLine, Nestlé Purina Petcare's pet food brands that contribute
substantially to revenue include Purina, Purina Dog Chow, Friskies, Purina Beneful and Purina ONE. Some
brands, such as Alpo are intended for budget shoppers, while others like Purina ONE and Beneful cost more
and are for health or ingredient conscious consumers.Purina ONE has been its fastest-growing brand.

QUESTION -

Q1. How will you carry out competitor analysis in the market?
Q2. What would be the customer profile in this market in India?
Q3. Draw and explain distribution channel for Purina.
Q4. Are cats -consumers or customers? Explain