...1. Analyze the marketing environment and the forces shaping eBay´s business over the years. EBay handles all type of products, all depending on what do their sellers are offering. Those sellers are common people that want to sell something on the internet, but they have to register on the page and must pay some fees to enter. EBay compete with many other companies like Amazon, Walmart, etc. Those are companies that offer a similar service and are organizations that maybe are a little more positioned on the market. If we analyze the market environment and the forces we must add that the products that are being offered in the web must be cheaper and they must have something special and attractive for the customers. There must be something that buyers can’t find on a usual store. As we know, the internet is being nowadays one of the bigger ways of doing business. That´s why eBay has a big responsibility with the buyers and all people that have access to them. 2. How has the change in the nature of eBay sellers affected the creation of the value for buyers? They lost the empathy that they had with the traditional sellers. Maybe the buyers were used to the nature that the traditional sellers were attending them. They created a value with that kind of treatment and they were happy, satisfied and comfortable with the idea of buying in eBay. That is the reason of what everything went down; everything was going good, good profits and happy buyers. That change in the nature of the eBay...
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...Abstract The report provides a consolidated preview of the external environment of Ashok Leyland and the Indian automobile industry. This study will take us through the evaluation of external factors using EFE matrix, to the comparison of the company with its competitors (CPM) and study the incentives given by the government to encourage the expansion of the Indian automobile industry. Introduction The Indian Automotive Industry after de-licensing in July 1991 has grown at a spectacular rate on an average of 17% for last few years. The industry has attained a turnover of USD $35.8 billion, (INR 165,000 crores) and an investment of USD 10.9 billion. The industry has provided direct and indirect employment to 13.1 million people. But lately the Indian automobile industry has been going through a low phase since the past 10 months and experts believe that situation is going to sustain in the current financial year that ends in March 2014. Demands continue to remain low as against the expectations of the Indian auto makers, due to the crisis in the economy, increase in fuel prices and loan rates. Until few years ago, this industry boomed with sales but the falling value of Indian rupee is only bringing its depreciation. (Car trade, n.d) The market is divided into four segments namely two-wheelers, three-wheelers, passenger vehicles and commercial vehicles. (Grewal, n.d) Source: Society of Indian Automobile Manufacturers (SIAM) According to the deputy director general of SIAM...
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...1. The political environment in India has proven to be critical to company performance for both PepsiCo and Coca-Cola India. What specific aspects of the political environment have played key roles? Could these effects have been anticipated prior to market entry? If not, could developments in the political arena have been handled better by each company? The political environment in India has played key roles that are through its austere trade policies, rules, and regulations. The political environment in India has proven to be critical to company performance for both PepsiCo and Coca-Cola India. Both companies’ struggles encountered during the start-up phase of their business. In Coca-Cola's first entry into this market, they withdrew from India because of the policy of no foreign company could own a majority equity stake greater than 50% and the government wanted them to share their secret recipe, which was not acceptable Coke’s exit and by the end of 70’s, the Indian market. Coca-Cola re-enter the Indian market in the early 90’s becoming a major competitor of PepsiCo who had entered the Indian market in 1986. Because Coca-Cola had chosen to leave the market than re-enter it cost them time, energy and money to build the relationships again with the government officials and they were spending large amounts of money on advertising to try to win over the Pepsi’s customers. During PepsiCo entrance into the country, they had many of their own problems. They...
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... The political environment in India has proven to be critical to the company performance for both PepsiCo and Coca-Cola India. What specific aspects of the political environment have played key roles? Could these effects have been anticipated prior to market entry? If not, could developments in the political arena have been handled better by each company? The specific aspects of the political environment that have played key roles are the form of the Indian government and the strong feeling of nationalism. The Indian government has very austere trade policies, rules and regulations that did not help both companies in entering the Indian market and promote their products. The factor of cultural nationalism has also played a major role. The Indian government would encourage the consumption of local products instead of foreign ones and this is what leads to control foreign investment. These effects could probably be anticipated if the two companies (especially Coca-Cola) have studied the political environment of India before entering the market. Question 1 The specific aspects of the political environment are as followings: The Indian government is unfriendly to foreign investors for a long time. Indian government signed "The principle of Indigenous Availability" which forbid the imports of soft drinks because the soft drinks can be gotten from India domestic. The economy liberalization of Indian government from 1991 Some of the political environment changes can be...
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...Coca-Cola, and it's useful to observe how it dealt with the different aspects, stating from the political environment of the Indian market and the trade barriers it faced, going through the market entry and penetration strategies considered and the flexible marketing mix used and how it was placed to increase consumption and market share, ending with the change in the environment and market due to boycott campaigns for different reasons. Discussion Political environment and trade barriers: Until the early 1990s, India was considered unfriendly to foreign investors, especially in consumer goods sector. If an item could be obtained within the country, imports of similar items were forbidden. Due to this environment, Coca-Cola had withdrawn from the Indian market in 1977. Looking back at Coca-Cola's withdrawal we can notice: Coke's refusal to give the formula and withdraw from the market wasn't a clever decision, because as a big company, coke must expect to face many challenges. It should have believed in it marketing capabilities and its ability to position its brand as a unique one, different from others even if they claim they are the same. And using the huge resources it has worldwide, it could have planned a strategy to overcome this problem and stay in the market and even gain market share as the only unique multinational brand. If coke had stayed in the market, it could have too advantage of the BVO warning crisis that the local companies faced after it appeared...
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...Garment Factory Compliance • Home • About • Top of Form [pic][pic] Bottom of Form [pic]Indian Textile Industry and Garment Exports November 28, 2012 Disha Leave a comment The Indian textile industry is one of the largest industries in the world, with a huge raw material and textile manufacturing base. The industry occupies a unique position as a self-reliant industry, from the production of raw materials to the delivery of finished products. This large and ancient industry has carved out a special niche for itself as a facilitator of the county’s economic growth and participative development. Textile industry in India is a highly versatile sector, with smaller firms providing flexibility needed for smaller orders; the larger firms have the capacity to service the world’s biggest buyers. The Government of India has also undertaken several favourable policy initiatives, which have resulted in the growth of the sector. “Indian textile industry contributes about 14 per cent to industrial production, 4 per cent to the country’s gross domestic product (GDP) and 16.63 per cent to export earnings,” as per Ministry of Commerce and Trade, India. Major destination for Indian garment exports The USA is the number one destination for the exports of Indian apparels. During 2011, the garment imports to the USA from world were around US$ 81.51 billion. India exports garments of worth US$ 3.53 billion to the USA, which accounts for 4.33 per cent share in the USA’s total...
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...billion people. It has a reasonably favorable pro-business environment that aims to attract multinational companies (MNCs). Because of this enormous market size and positive business climate, scores of American firms--including General Electric, General Motors, McDonald's, Kellogg's, and Microsoft--have recently entered the Indian market. As a result, the country has forged strong commercial interests with the United States, with trade and business relations across many industrial sectors. In fact, the U.S. is India's leading source of technology and her most valuable investor. However, any company that desires to enter the Indian market must realize the serious challenges of doing business there: segmenting the marketplace properly, understanding the country's economic and political situations, getting through the government bureaucracy, and understanding deep-seated cultural biases and attitudes. It is hoped that a discussion of the Indian marketplace in terms of market potential, culture, consumer behavior, and selling aspects can add to other articles published recently in Business Horizons* and aid MNC executives in facing those challenges successfully. Sprinkled with numerous success tales and war stories, the discussion offers insights gleaned from a survey of Indian businesspeople (shown in the Sidebar on the next page)--insights that can help provide a reality check on the Indian market potential. True Market Potential A fairly large country, India is nearly 2,000...
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...SYLLABUS INDIAN BUSINESS ENIRONMENT MBA–2nd SEMESTER, M.D.U., ROHTAK External Marks : 70 Time : 3 hrs. Internal Marks : 30 UNIT-I Nature, components and determinatnts of business environment; basic nature of Indian economic system; relation size and growth of public and private corporate sector, social responsibility of business; broad features of India's now economic policy. UNIT-II Trend and pattern of industrial growth; review of industrial policy developments; industrial licensing policy; liberalisation of the private sector; trends and issues in corporate management; growth and problems of the small scale sector; public sector reforms and privatisation the problem of industrial sickness; MRTP Act, SICA and Industrial Disputes Act. UNIT-III Development banks for corporate Sector (IDBI, IFCI, ICICI) - trends pattern and policy; regulation of stock exchanges and the role of SEBI; banking sector reforms, challenges facing public sector banks; growth and changing structure of non bank financial institutions; problem of non performing assets in Indian Banks. UNIT-IV Trend and pattern of India's foreign trade and balance of payments; latest EXIM policy-main features; policy towards foreign direct investment; globalisation trends in Indian economy; role of MNC's; India's policy commitments to multilateral insitiutions - IMF, World Bank and WTO. NOTE : The question paper will be set by the external examiners. The external examiner will set 8 questions...
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...Management Science I MODULE 9 9.1. Strategy Formulation : An Overview The corporate world is in the process of a global transformation. Mergers, acquisitions, outsourcing and downsizing are becoming common word everywhere. Privatization is allowing free enterprise to take on functions that previously were the domain of government. International boundaries are fading in importance as businesses take on a more global perspective and the technology of information age is telescoping the time it takes to communicate and make decision. Strategic management takes a panoramic view of this changing corporate terrain and attempts to show how large and small firms can be more effective and efficient not only in today's world but tomorrow as well. Strategic management is the set of managerial decisions and action that determines the way for the long-range performance of the company. It includes environmental scanning, strategy formulation, strategy implementation, evaluation and control. It emphasizes the monitoring and evaluation of external opportunities and threats in light of corporation’s strength and weakness. Business policy has a general management orientation and tends primarily to look inward with its concern for properly integrating the corporations many functional activities. But strategic management as a field of study integrates the business policy with the environmental opportunities and threats. Therefore strategic management has tended to replace business policy as...
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...managerial decisions and action that determines the way for the long-range performance of the company. It includes environmental scanning, strategy formulation, strategy implementation, evaluation and control. It emphasizes the monitoring and evaluation of external opportunities and threats in light of corporation’s strength and weakness. Business policy has a general management orientation and tends primarily to look inward with its concern for properly integrating the corporations many functional activities. But strategic management as a field of study integrates the business policy with the environmental opportunities and threats. Therefore strategic management has tended to replace business policy as the preferred name of the field. Indian Institute of Technology Madras Management Science I Prof. M.Thenmozhi Why Strategic Management? Strategic management provides the route map for the firm. It lends a framework, which can ensure that decisions concerning the future are taken in a systematic and purposeful way. Strategic management also serves as a hedge...
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...describing the market entry of two global consumer product companies, PepsiCo and Coca-Cola Corporation into a Big Emerging Market (BEM), India. It traces the history of the challenges encountered by these two companies in the developing country environment of India from the late 1980s to the present time. Emphasis is placed on lessons learned by the two companies as they adjust to competing in an unfamiliar and rapidly-changing environment. Key themes include: - The effects of the changing political scene resulting in the imposition of a non-standard domestication policy on foreign direct investors. - The need for foreign companies to adapt their marketing and competitive strategies to suit conditions in the Indian marketplace. - And the role of ‘globalization’ policies across the marketing mix variables, but particularly in the case of promotional strategies. Answers to Questions: Q1. The political environment in India has proven to be critical to company performance for both PepsiCo and Coca-Cola India. What specific aspects of the political environment have played key roles? Could these effects have been anticipated prior to market entry? If not, could developments in the political arena have been handled better by each company? A1. The political environment of India has had a very significant impact in the way foreign businesses operate in the country. Both companies benefited from the opening up of the market in the early 1990’s...
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...SYLLABUS INDIAN BUSINESS ENIRONMENT MBA–2nd SEMESTER, M.D.U., ROHTAK External Marks : 70 Time : 3 hrs. Internal Marks : 30 UNIT-I Nature, components and determinatnts of business environment; basic nature of Indian economic system; relation size and growth of public and private corporate sector, social responsibility of business; broad features of India's now economic policy. UNIT-II Trend and pattern of industrial growth; review of industrial policy developments; industrial licensing policy; liberalisation of the private sector; trends and issues in corporate management; growth and problems of the small scale sector; public sector reforms and privatisation the problem of industrial sickness; MRTP Act, SICA and Industrial Disputes Act. UNIT-III Development banks for corporate Sector (IDBI, IFCI, ICICI) - trends pattern and policy; regulation of stock exchanges and the role of SEBI; banking sector reforms, challenges facing public sector banks; growth and changing structure of non bank financial institutions; problem of non performing assets in Indian Banks. UNIT-IV Trend and pattern of India's foreign trade and balance of payments; latest EXIM policy-main features; policy towards foreign direct investment; globalisation trends in Indian economy; role of MNC's; India's policy commitments to multilateral insitiutions - IMF, World Bank and WTO. NOTE : The question paper will be set by the external examiners. The external examiner will set 8 questions in all, selecting not more...
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...in-depth and extensive environmental analysis of India as it seeks to ascertain whether it will be a viable market for Wimpy to establish a base in that market. Wimpy is brand name of a chain of fast foods hamburger restaurants that are based in the United Kingdom. The franchise has been a successful venture in many countries all over the world and this report seeks to determine whether the restaurant will appeal to the Indian market. India has been chosen as the most favorable destination for marketing this restaurant because with over 1.2 billion people, the country has an attitude of embracing change whilst adapting to new themes all the time. An environmental analysis was conducted on the country largely focusing on the following critical factors, economic and financial environment, cultural environment and lastly the political and legal environment. In evaluating the economic and financial environment, it was established that the Indian economy is underdeveloped and therefore the biggest hindrance to economic development is poverty. The unemployment rate in India has the highest change in the past two years with an increase of 0.1% from 9.3% in 2011 to 9.4% in 2012 and this may affect Wimpy as the increase in the unemployment rate affects the restaurant as the more people start losing their jobs, the lesser the business for the restaurant. An analysis of the cultural environment will follow as the nation is divided up into 28 states, which consist of seven union territories and...
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................................................ 5 PROJECTED OUTCOMES .................................................................................................... 5 SITUATION ANALYSIS ................................................................................................. 5 COMPANY ANALYSIS/INTERNAL ANALYSIS ..................................................................... 8 TECHNOLOGICAL COMPETENCY/EXPERTISE .................................................................... 9 MACRO-LEVEL MARKET (INDUSTRY) ANALYSIS ........................................................... 10 PRODUCT/SERVICE ANALYSIS ........................................................................................ 11 MARKET SEGMENTS ....................................................................................................... 12 MAJOR COMPETITORS/PARTICIPANTS ............................................................................ 12 PROJECTED MARKET GROWTH/MARKET SHARE OBJECTIVES ........................................ 13 EXTERNAL ANALYSIS ............................................................................................... 13 CURRENT OPPORTUNITIES .............................................................................................. 13 POTENTIAL FUTURE OPPORTUNITIES.............................................................................. 14 ENVIRONMENTAL THREATS...
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...External environment analysis (Indian Coffee Market) Opportunities: 1. Market development In 2006, India was ranked as the fourth-largest economy in the world in terms of purchasing power parity and the tenth-most-industrialized country in the world. Since 1996, coffee consumption witnessed a steady rise reaching 85,000 tons in 2005. According to the statistics show that, although tea is famous in India, but also the world's fifth largest coffee exporter. All these facts prove the Indian coffee market has the potential for Starbucks to explore. 2. Political effects The Indian economy has been experiencing more stability as far as the Government and political scene is concerned. There had been reduced internal turmoil resulting from political influences and this has created a better working environment for industries and business in India. 3. Lifestyle trend Similar to China, India is also a mainly tea drinking country. However, Indians regard drinking coffee and experimented with various flavors as a fashion statement. It’s more like a lifestyle attitude, which is just accord with Starbuck’s concept of ‘selling a experience’. Threats: 1. Competitor intentions There are many competitors in the Indian coffee market as case stated. All these competitors entered Indian market before Starbucks, thus they have established a certain degree of basis already. Besides the coffee market, Starbucks also has to compete with other traditional...
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