TCI PACKAGING

DIVISION
P R E S E N T E D BY
FA R A A Z M O H A M M E D - 1 4 0 5 0
G AYAT H R I S AT I S H - 1 4 0 5 5
PA R A S M A I N A L I - 1 4 0 9 7
S I D D H A RT H H E G D E - 1 4 1 5 2

FACTS
TCI Established in the year 1910 as Cigarette manufacturing and marketing
organization
One of the most diversified business and professionally managed business
houses in India
$1.5 billion enterprise as of 1992

Exports from India Year 1991

South East Asia; 18%

American; 33%
Oceanic; 5%
West Asia; 4%

East Europe; 9%
West Europe; 30%

STAKEHOLDERS
Exporters
Tin Manufacturers
Producers
Importers
Channels
Packaging Industry- Kovak packaging, CAM Companys packaging & BIB Flexi
Pack

PACKAGING OF CASHEW
KERNELS
Bulk exports using Vitapack System
Tins are filled using Jerk moment
Placed under Bell Jar and vacuumized upto 26 Inches
Tins are then sealed with tin lid and Lead soldering

PROBLEMS
Lead Solder Contamination- Health Hazard
Disposability- Floor Space & Disposing
Recyclability- Green initiatives
Safety Aspects- Sharp Edges

FEATURES REQUIRED IN BULK

PACKS
Enough strength to withstand pressure of handling and transporting
Containers should be leak proof
Shelf Life of cashews
Splits and broken percentage
Resistance to pest in Go downs
Price of bulk packs
Investments

A-B-C-D FRAMEWORK
Access
Mainly exported to US and UK market
They have high levels of living standards and proper distribution systems
India is the largest exporter of cashew kernels, hence can be accessed through
India
Buying Behaviour
Chain stores are the buyers mostly
Indian cashew is in good demand and are of good quality
In 60-70% of the cases, the product is repacked under their own brand name
local brands affect buying behaviour

 Consumption Characteristics
Urban consumption patterns
Price
Freshness and hygiene
Delivery time
Safety (Lead contamination in tin, sharp edges)
Disposal
Empty tins to be scrapped
Occupies large floor space since its not collapsible
Sharp edges may injure people
In some countries, importers are asked to pay for recycling

MARKETING STRATEGY
For the new packaging strategy the following could be doneProduct

Using the new technology BIB

BIB technology was convenient to use, hygienic and tamper proof.

The advantage of using this technology is that is can be afforded at a lower cost then the

tin containers.
PriceUsing

BIB also reduced the cost compared to the tin containers

10

Place

Countries that are exporting cashew kernels

New countries which promote environment friendly packed products

Promotion

TCI can promote their product by showcasing the different certification like
Certification from EIA (Export inspection Agency) certification in using this BIB.

Certification from the Association of Cashew Exporters and CCPE (Council for Cashew
Exports and Promotion)

By Cost advantages of this new pack when compared with the old traditional one.

TCI can create awareness of its usage. Focusing on the environment friendly aspects

11

AAA STRATEGIES FOR GLOBAL VALUE CREATION

Adaptation

- different strategies that adjust to differences across countries

and adopt different packaging methods according to the needs of the

countries.
Aggregation

- strategies that overcome some differences among countries

by grouping them based on similarities and coming up with new technology

and making some innovation in the existing bulk packaging systems, so that
countries where the cashew kernel are exported they can be satisfied and
problem can be minimized
Arbitrage

- strategies that focus on exploiting differences instead of treating

them as constraints and make sure of gaining advantage from countries

CAGE FRAMEWORK
Countries/
Attributes

Cultural distance

Administrative
distance

USA &
INDIA

Lack of common
Official language =
currency
English
Federal Govt.
Indian population 3%, 12th ranked free
3.4 Million
trade(75%)
Christianity- 84%
Edible fruits &
nuts (3.2%)

UK &
INDIA

Official language =
English
Indian population
2.5%, 1,412,958
people
Christianity- 72%

Lack of common
currency
13th ranked free
trade(74%)

Geographic
distance

Economic
distance

13568 km
Difference in
climate.

US GDP: 16.8
trillion USD
India GDP: 1.88
trillion USD
FDI to US from
India 5.5K mill

7658 km
Atmospheric
instability

UK GDP: 2.5
trillion USD
Most favoured FDI
destination in
Europe

13

Countries/
Attributes

Cultural distance

Administrative
distance

Geographic
distance

Official language = Dutch

No dialect = English known Parliamentary Govt.
NETHERL
only to 86%
17th rank in free
7106 km
trade(74%)
Atmospheric
ANDS & Indian population 1.5%,
123,000, Second largest in NIA 65 years of
instability
INDIA
Europe
history
Roman catholic-48%

SINGAPO Official language = Malay

Indian population 9%,
RE &
5,567,301 (July 2014 est.)
INDIA
Buddhist 46%

Parliamentary Govt.
2nd rank in free
3423 km
trade(90%)
No difference in
Bilateral trade in
climatic
2013,S$25.5 billion
conditions
6th largest trading
partner

Economic
distance

GDP
Netherlands:
800.2 billion
USD
INDIA stands
5th largest of
FDI

GDP
Singapore:
297.9 billion

14

Source: http://cashewindia.org/statist

RECOMMENDATIONS
Kovak Packaging
BIB Packaging
o For small distances. Example: Singapore, Hong
o Recyclable
Kong
o Degradable
o Varied sizes and forms
o No lead contamination
o Low cost packaging system
Issues
o 7% broken and splits
o Susceptible to rats

THANK YOU!