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251558Presentation 18_ Case study III-1699274913596.pptx
- 1. Understand the conceptof SWOT Analysis Learn the concept of BCG Matrix
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- 3. How many ofyou have ever enjoyed a spoonful of Chyawanprash, used a Patanjali soap, or marveled at the simplicity and effectiveness of their products?
- 4. Many of youmay have heard of a company called 'Patanjali.' It's a well-known Indian brand that has taken the market by storm with its Ayurvedic products.
- 5. ? But how didPatanjali rise quickly and effectively in a highly competitive market?
- 6. The answer liesin the use of SWOT analysis.
- 7. Led by Yogaguru Baba Ramdev and Acharya Balkrishna, is a renowned Indian company. It's known for its wide range of natural and herbal products, resonating with health-conscious consumers in India and around the world. Patanjali Ayurved Limited
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- 9. Founding Father BabaRamdev Baba Ramdev, a Hindu spiritual guru, drives Patanjali's rapid growth. His influence and popularity as the brand ambassador have significantly contributed to the company's success.
- 10. Pricing Strategy Patanjali offersbudget-friendly products, priced 20-30% lower than competitors, making them accessible to the Indian lower- and middle-class, giving the brand a pricing advantage. Price Comparison Patanjali Other Brands Chyawanprash Rs. 115(500 gm) Rs. 160(500 gm) Honey Rs. 135(500 gm) Rs. 199(500 gm) Shampoo Rs 110(200 gm) Rs. 159(200 gm)
- 11. Launch of NewProducts Patanjali has expanded its product range to include dairy products, frozen vegetables, packaged drinking water, cattle feed, and solar production, diversifying its offerings.
- 12. Ayurveda and HerbalFocus Patanjali emphasizes using natural and organic materials, leveraging the appeal of Ayurveda and herbal products, which resonates well with Indian consumers.
- 13. Strong Distribution Channels Withover 15,000 outlets, including medical centers and non-medical centres, Patanjali has built a robust distribution network, enhancing its reach and customer trust. https://startuptalky.com/patanjali-ayurved-case-study/
- 14. Word of MouthMarketing Patanjali initially relied on word-of-mouth marketing, benefiting from Baba Ramdev's yoga camp followers and later adopting more formal promotional campaigns to strengthen its market position. https://www.bqprime.com/business/patanjali-foods-q3-results- revenue-falls-on-weak-rural-demand-misses-estimates
- 15. E-commerce Presence Patanjali leveragese-commerce platforms, allowing consumers easy access to its products online, giving it a digital edge over competitors.
- 16. Think Imagine you arean investor evaluating two well- established companies in the same industry. ▪ Company A has consistently shown strong financial performance and a history of steady growth ▪ Company B has recently made a significant strategic acquisition, expanding its market presence. In your opinion, which company's strength would you prioritize as an investor, and why? How would you assess the long-term sustainability of their respective strengths?
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- 18. Weakness of Patanjali Relianceon Baba Ramdev: Patanjali's heavy dependence on Baba Ramdev poses a risk due to his involvement in controversies. Current Pricing Strategy: Patanjali's pricing strategy offers low-profit margins, requiring adjustment to address rising costs. Excessive Product Offerings: Consider discontinuing or enhancing profitability of low-profit products in Patanjali's wide range. Lower Margins for Distributors: Patanjali prioritizes volume over distributor margins, following a unique demand-driven distribution approach. Limited International Presence: Patanjali primarily focuses on the Indian market, missing the opportunity to leverage Baba Ramdev's international appeal and target tech-savvy Indian demographics for expansion.
- 19. In a scenariowhere Patanjali discontinues some of its low-profit products to address its weaknesses, how would you recommend the company go about this process without alienating its existing customer base or compromising its brand image? Discussion
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- 21. Opportunities of Patanjali Global Markets Naturaland Herbal Products Food Business Rural Expansion Expand into Africa, Asia, and the Middle East, capitalizing on Yoga and mysticism through Baba Ramdev. Invest in organic farming and promote health benefits of natural and herbal goods. Launch quick-service restaurants offering natural and organic food, aligning with brands like Haldiram. Extend operations to rural India to reach consumers who prefer natural & affordable products, ensuring broader market coverage. Image Source: Patanjali
- 22. As the worldbecomes more health-conscious, what unconventional approaches or partnerships could Patanjali explore to bring its natural and herbal products to new and diverse consumer segments globally, ensuring sustainable growth in an ever-evolving market? Discussion
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- 24. Patanjali faced backlashfor promoting the ‘Putrajeevak Beej’, a product promising male childbirth, resulting in a government inquiry and harming the brand's image and revenue. Controversies https://www.distacart.com/en-in/blogs/learn/patanjali-divya-putrajeevak- beej-ingredients-composition-properties-health-benefits-usage-tips
- 25. The Nepal Departmentof Drug Administration found some Patanjali medical products to be of ‘sub- standard quality’, damaging the company's reputation and leading to negative word of mouth. Negative Publicity
- 26. Established players likeMarico, HUL, Dabur, and newcomers like Sri Ayurveda, are intensifying competition for Patanjali in the market. Increased Competition
- 27. Patanjali's dependency onweather and the monsoon season for crop production can pose risks, necessitating a contingency plan in case of natural disasters or adverse climate conditions. Poor Harvest
- 28. In an eraof rapid technological advancements, how can Patanjali navigate the potential threat of disruptive innovations and artificial intelligence in the health and wellness industry, while staying true to its traditional Indian remedies and philosophy? Discussion
- 29. SWOT Analysis ofPatanjali Strengths S Weaknesses W Opportunities O Threats T ● Founding Father ● Pricing Strategy ● Ayurveda and Herbal ● Strong Distribution Channels ● Word of Mouth Promotion ● Launch of New Products ● E-commerce ● Reliance on Baba Ramdev ● Current Pricing Strategy ● Excessive Product Offerings ● Lower Margins for Distributors ● Limited presence in International Market ● Natural & herbal products ● Global Markets ● Food Business ● Rural Expansion ● Controversies ● Negative publicity ● Increase in Competition ● Poor Harvest
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- 31. BCG Matrix forPatanjali Ayurved Limited Disruption The BCG Matrix for Patanjali Ayurved Limited Disruption or Innovation will help Patanjali Ayurved Limited Disruption or Innovation implement business-level strategies for its business units. The analysis will first identify where the strategic business units of Patanjali Ayurved Limited Disruption or Innovation fall within the BCG Matrix for Patanjali Ayurved Limited Disruption or Innovation.
- 32. Patanjali toothpaste DantKanti is growing at an increasing speed and holds a high market share. Since Patanjali launched this, the other competing brands have declined. Hence, this fits well in the star category. Stars
- 33. Patanjali Ghee isa cash cow with a 33% market share in the slow-growing Ghee industry. Though the industry growth may be slow, it gives the company ample reasons to strengthen its investment in the product. Cash Cows
- 34. Patanjali Atta noodleshave been marketed to compete with some of the top brands like Maggi. However, even in the high-growth market, it has yet to maintain a good market share for its product. Question Mark
- 35. This is onecategory where neither the growth rate nor the market share increases. A face oil product of Patanjali, Kayakalp Oil, fits well into this category. It has almost disappeared from the market. Dog
- 36. Activity 1. Divide thestudents into small groups 1. Students are required to choose one company from the list. 1. Each group is required to perform SWOT analysis & BCG Matrix on the company chosen.
- 37. 1. CRED 2. Delhivery 3.Chaayos 4. Meesho 5. Mamaearth 6. Sugar 7. Dominos 8. Rapido 9. Air India 10. Ajio List of Companies