You are on page 1of 3

VIGNESH K (36057)

Problem statement – Strategic Shift


• Identified future scope towards Cosmetic perfumery particularly
premium segment
• They have the advantage of lowest cost manufacturer globally
• Shifted its capacity from other segments to C&P segment
• Shifted production from US to India shutting down some furnaces
operating in US

VISION
Our overall vision is how to make Piramal Glass an insight-driven organization, to transform customer experience,
to enhance operation experience and generate new revenue models by leveraging digital technology
Strategic Shift - Advantages
• Cost advantage due to shifting its production to India where labor cost is low
• Made them a dominant player in nail polish market
• In India there is a shift towards PET for oral formulations leading to de-growth
in that sector, so strategic shift to cosmetics will lead to Profitability
• Their acquisition of glass group provides way for expansion in BRIC countries
Risks and Constrains
• Change in the business mix as well as growing competition and threats such as new
substitutions to glass packaging could hurt Piramal’s profitability
• There might be long run risk since Piramal only focuses on high profit segment while
neglecting other segments which might possibly grow
• There is two horned dilemma happening in Piramal
• Being a low cost operational effectiveness is not sustainable
• Once the vaccine is confirmed and India starts to produce it there will be huge demand
for glass containers – which Piramal is losing

You might also like