Presentation2

INTRODUCTION

Since 80 yrs of Parle's inception, it has been India’s manufacturer of biscuits & confectionary best known

for its quality, nutrition & its taste

HISTORY

In 1929,Parle had set up a small factory in the suburbs of Mumbai to manufacture confectionary & lather

upgraded to Biscuits as well Apart from Mumbai & Bangalore,

Parle also has its industry inBahadurgarh in Haryana Neemrana in Rajasthan

BACKGROUND

• HEAD OFFICES OF PARLE COMPANY

It has a reach spanning even the remotest villages in India.40%Share of the total biscuit market & a 15%Share of the total confectionary market in India.Advance in technology, have boosted the promotional ability to put a company’s logo on everything.

PRODUCTS & SERVICES

• PRODUCTS• 1.PARLE G• Filled with the goodness of milk &

wheat, Parle G is a source of strength for both body & mind.

• 2.HIDE & SEEK MILANO• A cookie with a reputation of romance

which makes you to indulge in the sinful taste of Milano & everything that follows it.

• 3.DIGESTIVE MARIE • “YAHI MARIE SAHI MARIE”• Digestive Marie will change your daily

dipping &sipping routine; making it more enjoyable & much healthier

SERVICES• As apart of corporate social

responsibility policy Parle is keenly involved in overall development of

younger generation through conduction various programs across

the region Saraswati Vandana in the state of

west BengalGolu galata in Tamilnadu

KEYS TO BUSINESS STRATEGIES

• SWOT analyses is keys to business strategies used to evaluate the STRENGTH. WEAKNESS, OPPURTUNITIES, & THREATS which helps to identify the internal & external environment.

• 1.STRENGTH: 1.Parle Brand 2.Diversified Product Range3.Extensive distribution network(Available in most remotest village)4.Low & mild range price segment catering to mass.5.Better understanding of customer psyche

• 2.WEAKNESS:Dependence on retailers & store for displaying diversified Parle product on shelf to induce impulsive buyingDependence on Parle G under Parle umbrella

3.OPPURTUNITIES: Rural markets

(Distribution urban market:75% to 85%Rural market:50% to 65%)Cost saving from lowering of excise duty in bakery products

• 4.THREATS:Entry of ITC (having very good distribution channels) into biscuits industry.Fluctuation in the prices of transportation cost & distribution cost due to high wedges & oil prices.

LEVELS OF STRATEGY

There are three levels of strategy management

• 1.CORPORATE LEVEL;• It describes the companies overall

direction interms if its general attitude towards growth & management of various business & product line.

• Eg: ”Parle” has an optimistic attitude towards enhancing growth. As they have planned to bring up new cosmetics product in market as presently they have launched “Parle’s” outfit.

• 2.BUSINESS LEVEL• At this level the aggregated business

strategies comes into picture.• Eg. Here Parle has adopted better

advertisement facilities.

• 3.FUNCTIONAL LEVEL:• This level of strategy includes all the

4 functional areas i.e MARKETING, FINANCE,HUMAN RESOURCES & OPERATIONS.

• EG: In Marketing parle need to make attempts in PROMOTIONAL TECNIQUES in order to grab attention of the customers.

BCG MATRIX

– The BCG matrix method is based on product life cycle theory that

determine the product portfolio of a unit which contains both high growth product & low growth product having 2 Dimensions:

Market share & Market growth.

• BCG MATRIX CONSISTS OF 4 CATEGORIES:

• 1.STARS:• (High growth & High market

share) As per the company’s survey, Parle G

is touching the peek of success & therefore comes under the STAR category thereby the Co. can invest a large sum for its upliftment

• 2.CASH COWS• (Low growth, High market share)• Profits & cash generation should be

high due to its Low growth, the investment needed to be Low to keep Profits High

• The products like krackjack, parle Marie, hide & seek comes under this category

• 3.QUESTION MARK:• (High growth, Low Market share)• It has worst cash characteristics

because of High demands & Low returns due to Low market share makes the Co. to sell off & deliver cash.

• Products like CHOX, NIMKIN KREAMS GOLD, PARLE 20-20,MONACO JEERA comes under this.

• 4.DOGS:• (Low growth, Low market share)• The products like SIXER,JEFFS, MUST

BITES,MUST STIX &MUST CHIPS Conclude with DOGS as they need to be Divested because they are doing no good for the Co. & have remained as an liability.

• EG: In finance, Parle need to invest a sum of Rs. 1 Crore for purchasing highly automated machines to get quality products.

• EG: In HR, parle need to appoint skilled personnel that would bring smoothness .

• EG: In operations: parle need to undertake “DIFFERENTIAL PAYMENT” technique where employees are paid according to the units produced. (Incentives)

GE MATRIX

• The GE Matrix is also known as GE business screen which includes 9 cells based on 2 parameter i.e Long term industry attractiveness & business strength & competitive position. The GE business screen is an extension to the BCG Matrix.

1.1.”GO AHEAD”• Under this phase the signal is to

proceed &take decision. As Parle is universally accepted & therefore it should now GO AHEAD & enhance its marketing development in respect of Parle G.

• “WAIT & WATCH”• The phase indicates Hold & maintain

current strategy. The products like monako, marigold namkeen comes in this zone as they need good promotional techniques.

• 3.”STOP”• Coming to 3rd zone it gives signal to

stop producing the product like Chox, Sixer, Golgappa which comes under the scenario of DISINVESTMENT.

TYPES OF STRATEGIES

• INTEGRATION STRATEGY:• BACKWARD INTEGRATION• In order to enhance its operations,

Parle adopts BACKWARD integration where it seeks to increase control on company’s suppliers.

• Parle have owned a plant that gives RAW MATERIALS directly & reduces expenses incurred

• DIVERSIFICATION STRATEGH:• HORIZONTAL DIVERSIFICATION:• Here Parle being a fast moving

consumer durables & in order to diversify it has to introduce unrelated products like clothes to the present customer & with it provide services to gain goodwill.

• PORTER:• In order to maintain balanced

organization the Co. Need to adopt the strategies as:

• COST LEADERSHIP, FOCUS & DIFFERENTIATION.

• EG: Parle adopts FOCUS strategy in terms of cosmetic applicable cream which could sort out nearly all the ageing problems of women’s while focusing on that section group.

CONCLUSION

Parle is an AWARD WINNING CERTIFIED MINORITY & WOMAN OWNED BUSINESS.It specializes in providing unique, creative &useful products &programs for marketing ,branding development, advertisement, promotions, online Co. stores & incentive & recognition programs.

RECOMMENDATIONS

To promote Parle brand through schemes such as “PARLE GRAMIN SWASTHA YOJANA” (a ambulance van visiting rural areas for giving basic medical treatment, educating people on nutrition deficiency problem & promoting Parle nutrition products.)

Promotion through TV shows “PARLE SAKHI” regarding health issues of women & children in terms of healthy diet.

• FOR ADVERTISEMENT SEGMENT Nutritious/ glucose biscuits• 1.Advertisement by “DIETICIANS”, for

the health conscious consumer.• 2.Advertisement by the

“CRICKETERS” to attract the youth.