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1.0Executive Summary
ACS(Arora cold storage), a leading cold storage facility provider in Delhi has
decided expand in the whole of India in the next 5 years. They would like to be
represented in a store would be 50 square feet or more. It also aims to follow a
strategy of market expansion by way of going to villages which are electrified.
The displays in the store would be up for sale and also for lease. These would be
available for a select few cold storage food items.
2.0Situation Analysis
Already have a base in Delhi and want to expand in the whole of India. The
previous experience can be an asset for them. Also since it is a B2B product,
the positive WOM(word of mouth matters a lot)
2.1Market Summary
Market for frozen goods is expected to increase. This is because of two reasons.
One, there is an increase in disposable income of goods and hence they can both
afford and demand such kind of foods. Second, there is a sociological shift in
stance which allows people to consume non-vegetarian items, this essentially
means the cash registers are set to ring.
2.2 SWOT analysis
Strengths
Previous experience in Delhi
Strong plan of expansion in all over India with a stipulated time
frame
No heavy expenditure required for advertising, major selling via
sales calls and positive industry connections
Weakness
Tough to expand in a country as diverse as India. Would be
hampered by way of cultures, languages and ethnicities
Leasing would be difficult to monitor all over India, would require
lots of managerial efforts
Lack of awareness in states other than Delhi can also create a
problem in negotiation of deals
Opportunities
Diversify the product line they want to act the intermediary of, this
helps to gain advantage over competitors
Concentric diversification into having full-fledged stores of their own
Diversifying into storage of medicines
Threats
Duplication of technology by store owners and developing their own
cheaper alternatives
First year objectives- build upon the contacts of Delhi to reach other
states of north India. The immediate target states should be
Haryana(by way of targeting Gurgaon) and Uttar Pradesh(by way of
targeting Noida)
Second year objectives- Cover rest of north India. Consistent
performance with existing buyers would be the key to expansion
Third year objective- Cover the rest of India. This can be done via
sales calls both real and virtual. For trial a few vendors can be
provided the facility for a trial period
Fourth year objective-disciplined follow up of each and every lead.
Reasons to be studied for both successful and unsuccessful ones.
This will help us to enhance our product offering
Fifth year- put the learning of the last year into action. Consolidate
relations with the buyers. Also look to expand beyond India.
Designation
Chief Managing officer
Ashish Jain
Karishma Khatri
Quality manager
Role
Looks after overall
decision making in the
organization
Looks after the concerns
of the people working in
the organization
Oversees the inputs from
store owners