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SWOT ANALYSIS

Strengths:

 Strengths are the Milk Aavin capabilities and resources that it can leverage to build a sustainable competitive
advantage in the marketplace. Strengths come from positive aspects of five key resources & capabilities - human
resources, past experiences and successes, physical resources such as land, building, financial resources, and
activities & processes.
 Intellectual Property Rights – Milk Aavin has garnered a wide array of patents and copyrights through innovation
and buying those rights from the creators. This can help Milk Aavin in thwarting the challenges of competitors in
various industries financial analysis, Market research, Supply chain.
 Strong Balance Sheet and Financial Statement of Milk Aavin can help it to invest in new and diverse projects that
can further diversify the revenue stream and increase Return on Sales (RoS) & other metrics.
 Diverse Product Portfolio of Milk Aavin – The products and brand portfolio of Milk Aavin is enabling it to target
various segments in the domestic market at the same time. This has enabled Milk Aavin to build diverse revenue
source and profit mix.
 Managing Regulations and Business Environment – Milk Aavin operates in an environment where it faces
numerous regulations and government diktats. In Financial analysis, Market research, Supply chain areas, the firm
needs to navigate environment by building strong relationship with lobby groups and political network.
 First Mover Advantage – Milk Aavin has first mover advantage in number of segments. It has experimented in
various areas financial analysis, Market research, Supply chain. The Finance & Accounting solutions & strategies
have helped Milk Aavin in coming up with unique solution to tap the un-catered markets.

Weakness:
 Weaknesses are the areas, capabilities or skills in which Milk Aavin lacks. It limits the ability of the firm to build
a sustainable competitive advantage. Weaknesses come from lack or absence of five key resources & capabilities
- financial resources, activities & processes, physical resources such as land, building, past experiences and
successes, and human resources.
 Project Management is too focused on internal delivery rather than considering all the interests of external
stakeholders. This approach can lead to poor public relation and customer backlash.
 Implementation of Technology in Processes – Even though Milk Aavin has integrated technology in the backend
processes it has still not able to harness the power of technology in the front-end processes.
 Lack of critical talent – I believe that Milk Aavin is suffering from lack of critical talent especially in the field of
technology & digital transformation. Milk Aavin is struggling to restructure processes considering developments
in the field of Artificial Intelligence (AI) and machine learning.
Opportunities:

 E-Commerce and social media Oriented Business Models – E-commerce business model can help Milk Aavin to
tie up with local suppliers and logistics provider in international market. Social media growth can help Milk
Aavin to reduce the cost of entering new market and reaching to customers at a significantly lower marketing
budget. It can also lead to crowd sourcing various services and consumer-oriented marketing based on the data
and purchase behavior.
 Increase in Consumer Disposable Income – Milk Aavin can use the increasing disposable income to build a new
business model where customers start paying progressively for using its products. According to Unnikrishnan
Dinesh Kumar, P. Arun Pandian, Nachiappan SP of Supply Chain Optimization at Madurai Aavin Milk Dairy
case study, Milk Aavin can use this trend to expand in adjacent areas financial analysis, Market research, Supply
chain.
 Developments in Artificial Intelligence – Milk Aavin can use developments in artificial intelligence to better
predict consumer demand, cater to niche segments, and make better recommendation engines.

Threats:
 Squeezing Middle Class in Developed and Developing World – The growing inequality is one of the biggest
threats to not only globalization but also to capitalism. Milk Aavin firsthand witnessed the impact of it where it
has seen lower demand of its products from middle class customers in US and EU market.
 Growing Protectionism - Milk Aavin should hedge the risk against growing protectionism ranging from storing
data into international market to diversifying risk by operating into countries at different economic cycle.
 Threats of New Entrants because of Reducing Costs and Increasing Efficiencies – As Milk Aavin can leverage
low cost of reaching customers using social media and e-commerce, so can the competitors – both local and
international competitors.
 International Geo-Political Factors – Since the Trump election, geo-political factors have taken a turn for growing
protectionism. Developments such as Brexit, Russian sanctions, foreign exchange crisis & inflation in Venezuela,
lower oil prices etc. are impacting international business environment. Milk Aavin should closely focus on these
events and make them integral to strategy making.
 Credit Binge post 2008 Recession – Easy access to credit can be over any time, so Milk Aavin should focus on
reducing its dependence on debt to expand. The party has lasted for more than a decade and rollback from Fed can
result in huge interest costs for Milk Aavin.
CONCLUSION
II. CONCLUSION

Findings:

 From the study conducted, it is found that 53% of the majority respondents are male.
 From the above study, it is said that 54% of the respondents earns above Rs. 20,000 and
above.
 From the above study, it is inferred that 93% of the respondents have rated excellentproduct
quality.
 From the study, it is said that 61% of the respondents have preferred towards flavored milk.
 From the above study, it is found that 71% of the respondents said that they are happy with
operating hours of aavin parlor.
 It is found that 86% respondents have visited the avian parlor regularly.
 It said that 66% of the respondents said that price and quality are their major buying motive.
 From the above study, it inferred that 63% of the respondents have said that information in
label is clear and informative.

Limitations:

 The study has been conducted only in aavin for the purpose of measuring the finances
performance.
 Some of the respondents were hesitated to give true information in some cases.
 Analysis and discussions are based only on the secondary data which were collected from
theannual reports of aavin agencies.
 The sample size of the study is limited to 100 not the entire customers of the organization.
 Most of the data collected was historical in nature. The hence value of money has not been
taken into consideration.
 Due to COVID-19 it was unable to get sufficient information from the organization.
 The result of the study cannot be generalized for other organization, and we cannot predict
future.
 financial position of the company based on the study.

Suggestions:

 Customer suggested that they need more hygiene in parlor.


 Customers felt that they need high level of advertisement in marketing.
 Majority of the customers suggest distributing samples of flavored milk and milkshake
packs before launching it.
 In parlor, customer needs that the product should be arranged neatly and in a sequence order.
 Customers suggested the seating arrangement in parlor should be arranged properly.
 Majority of customers said that new flavored of flavored drinks should be launched.
 Most of the family members suggest launching 1 later and 2-liter bottles for seasonal festivals.
 They suggested that the staff members in parlor should be trained periodically for best sales
rate.
 They recommended that the flavored milk and milk shakes should be arranged separately
for easy reference.
 Customers need good level of water and rest room facilities for them.
 Customer felt that both flavored milk and milk shakes should be offered to local dealers to
extent their sales.
 Majority of customers felt happy towards launching family packs for bulk purchase.
Conclusion:

Aavin milk has a good reputation among the customers so it can be extended to supply ruralalso.
From various respondents the researcher has gathered lot of information’s about Aavin Milk’s buying
behavior. Aavin milk is already enjoying No 1 position in Milk Industry, this gives a positive stand
to further strengthen its position.
The SALEM DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION LTD, SALEM
motive is to “Service to the public which required milk reasonable price and good quality”. Aavin is one
of the most required milk companies in Tamil Nadu state. Aavin provided a great opportunity to learn
different aspects of working of an organization in a practical way. Aavin enhancedmy knowledge in the
fields of dairy manufacturing and marketing.
The Aavin Dairy development has been undertaken by the government. Thus, it offers
Employment opportunity for mass of our population, both directly and indirectly. The Aavin products
Are pure and quality of assured. Finally, it concludes there “Aavin is the market leader in Milk
Industry”.

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