Professional Documents
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MARKS : 80
In September 1990, Mr. Sarin, the Marketing Manager of Deepa Products (P)
Limited was wondering what marketing and product positioning strategy the
company should follow for launching their two new brands of toothpaste.
Trust Night and Trust Regular in a market which was becoming highly
competitive.
Deepa Products (P) Ltd. was one of the successful manufacturers of various
types of packaging materials for both industrial and consumer products.
Established in 1960, the company has shown substantial growth over the
years. Much of the company's growth was attributed to the high quality of its
products and also the systematic manner in which its marketing decisions
were made.
In 1990, keeping in view the growing market for consumer goods, the top
management of the company decided to diversify into new consumer
products areas. In the first instance the company thought of entering into the
toothpaste market. Depending upon their success in the market, the
company would decide their expansion plans into other areas of consumer
goods sector.
The company chose to enter toothpaste market simply because the market
for toothpaste was growing fast almost by 15 to 20% in India and it provided
enough profit opportunities. The market was dominated only by a very few
players. Further Mr. Sarin felt that there was scope for capturing a significant
market share in the growing toothpaste market, since the company's
products had some unique features to meet the emerging new market
segments.
Questions
1. What marketing strategy should be designed by Mr. Sarin to be able to
achieve the targeted 5% market share?
2. How should Deepa Products (P) Ltd. position Trust Regular and Trust
Night to induce customers to buy it? What should be the key benefits of their
toothpastes?
2. Was it a good idea to enter into a three-year contract with the Cooperative
Society? Why?
3. Is it possible to renew the contract with the Cooperative Society? If so, how?
Suggest a detailed programme on a crash basis with the budget constraint of
Rs. 50, 00, 000.
Questions:
1. What decision would you take if you were in place of Mr. Nathan?
2. Do you feel the proposal of a new sub-office is economically justified
against the stated policy of the company? If yes, why? If no, then how could it
be made justifiable?