Apollo Tyres

Learning from Environmental Scanning

Section C Group 9

Adig 14P125
Dikshant 14P138
Nikhil 14P152
Sakshi 14P162
Sanchit 14P164
Vikramaditya 14P178
Marketing Planning I
Problem Statement
Karan Sinha worries about the problem of macro
economic and external environment changes
and how they would affect Apollo Tyres.

In a meeting with the COO, They decide to hire a
consulting firm BCG for macro economic
analysis.

Post report they weigh the options to reform
their Marketing Strategy based on the
macroeconomic factors in the report.
Econometric model
The model calculates the demand of tires based
on various macro economic parameters -

Year(Time)
GDP Absolute
Inflation
Road length
Index of Industrial Production(IIP)
Service Sector Contribution
Population

The bearing of the analysis on the companys marketing strategy
GDP increase
Rise in
employment
Increase in income
Consumption
demand increases
Increased
production
Sales increase
Population
Increase in
transportation
demand
Increase in vehicle
demand
Increase in
replacement tires
and OE makers
Automobile
company links
Tweaks in the Apollo tires strategy
India is youngest country thereby changing the
target customer.

New tire tread designs to attract the young
generation and increase safety.

Tie up with automobile companies.

Increased emphasis on tier 2 and 3 cities.
What could change the future of Apollo tyres?
Recession

Government policies and their effect on the
service sector contribution to GDP

Any natural calamity and its effect on population
and road length.

Oil price rise

Thank You