Presented By, Group 12

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Company Profile
Company Products Established Founder C.H. Choksey, C.N. Choksey, S.C.Dani Arvind R. Vakil Distribution Production Plant

Asian Paints (I) Limited

Decorative Paints, Industrial Coating segment

1942

Serves in 65 countries Globally

29 plants in 22 countries

interiors
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Paint Industry- Porters Five Force Model

Substitute: Low to Medium

Supplier Power: Medium

Rivalry: Low to Medium

Buyers Power: Medium

Entry Barriers: Medium

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Product Portfolio
Asian Paints

Paints

Chemicals

Decorative Paints

Industrial Paints

Pentaerythritol

Pathetic Anhydride

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BCG Matrix & Ansoff Matrix

BCG Matrix
High Growth High Share Low Share

Low Growth

Ansoff Matrix
Present Mission

Present Product
1. Research & Development

New Product
1. Royal Play

2. Green Assure 3. Your Voice 4.Home Solution

1. Establish market in Trinidad

2. Metallic 3. Cement Paint Primer

1. Backward integration with

New Mission
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2. South Pacific with Tubmans

pigment producer
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Market Share of Recognized Companies

Market Share
Asian Paint Nerolac Berger Other

17%
17%

11% 55%

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SWOT Analysis
Strength Weakness
Brand Name of 68 Years Low market share in Strong Inventory Control Industrial Paints Operates in 23 Countries Old Technology Wide Range 8500+ colors Wide network - 19000+ dealers Highest manufacturing Capacity

Opportunities
Increasing Market share in Industrial Paints Automobile Companies has biggest share in Industrial Paint
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Threats
Dominance of few countries Increasing Competition
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Value Chain Primary Activities

Marketing & Sales: Sales Person market products of Asian Paints through B2B business, Advertising Campaign Returned items customer feedback: Asian Paints (I) Limited looks forward for feedback from dealers and launched many products as per buyers requirement E.g. Utsav Enamel for rural market

Inbound Logistics: Raw Materials Purchase order & arrival of goods within 72 hours

Operations: Require 13 days to convert raw materials into finished product

Outbound Logistic: Finished goods delivery to Depot within 48 hours of their demand

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Value Chain Support Activities

Firm Infrastructure

Promotors Contribution in its shareholding pattern make firm cost effective Leadership in market enable company to reduce Fixed Cosst per unit

Human Resource

Employees are treated as associates of company Trained Chartered Accountant & highly qualified MBA grads are part of management team

One of the best Research & Developement unit of India Technology Better infrastructure & set up of factory enable maximum utilisation of resources
Development

Delivery of finished product within 48 hours of purchase order Procurement Better infrastructure & set up of factory enable maximum utilisation of resources

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Porters Generic Strategy

STRATEGIC ADVANTAGE S T R Industry wide A T E G I C T Particular segment A only R G E T
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Uniqueness perceived by the customer

Low cost position

Delivery of orders should fulfil Asian paints (I) limited within 48 hours from order placed provide products at low by customer cost with superior quality.

Texture Paints & metallic Unique advertising campaign & Paints are created from product development for rural same pigment used for market E.g. Utsav Enamel & industrial paint Distemper Colour World concept B2B marketing by industrial used to reduce inventory & brand PPG ENZA wastage cost of decorative paints

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Sustainable Competitive Advantages

Marketing Strategy
Human Resource Strategy Manufacturing Factor Information Technology Research & Development Environment & Safety

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Responses to Threats to Sustainability

Responses to Imitation
Size Economies Retaliation Upgrading

Responses to Substitute
Straddling Defending

Value

Added

Appropriate
Responses to Slack
Offering Performance Incentives Shaping norms
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Value Added
Responses to Hold-up
Integrating Building Mutual Dependence Developing Trust
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Conclusion
Company enjoys sustainable Competitive Advantages with current business strategy Companies commitment of delivery of orders is creating differentiation with competitors Company maintain high quality product Straddling strategy provides company advantage

over substitute
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11/22/2012

Thank You

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