Academic literature on the topic 'INDIAN FMCGs INDUSTRY'

Business enterprises are traditionally known as engines for driving the economic performance of an entity, its success being measured in terms of high returns on equity and its contribution to the development of the society. The business enterprises get everything from the society for its survival and it is the obligation of the enterprise to return positive attitudes towards the society. If it fails to meet the expectations of the society, the society will punish the firm through their purchase behavior. Hence, the success of any business enterprise depends mainly on the ethical behavior of the enterprise towards the society. The Indian Government has made mandatory the CSR provisions and almost all the companies are actively engage in CSR activities. Fast Moving Consumer Goods (FMGCs) are the fastest growing industry in India and numbers of FMCGs companies are doing different CSR practices. Hence, it is essential to study about the impact of Corporate Social Responsibility practices on consumer behavior with reference to FMCGs in Tamil Nadu. For this, 600 responses were collected from selected corporations in TamilNadu by a structured questionnaire. Convenience sampling technique has been adopted to collect the primary data. The study concluded that there has been a positive impact among the consumers as the consumers in Tamil Nadu considered CSR in their purchase evaluation criteria, and they give much importance to CSR related products etc.

The present study has been undertaken to make an assessment of the growing eminence of FMCG industry in the era of enriching rural market in India. The Indian Fast Moving Consumer Goods (FMCG) industry began to take shape during the past five decades. The FMCG sector is a keystone of the Indian economy as it touches every aspect of human life. The FMCG sector, which offers tremendous growth prospects, are food and beverage sector, health care and personal care. Presently, rural India accounts for 34% of total FMCG consumption, but it accounts for more than 40% consumption in major FMCG categories like as personal care, hot beverages, and fabric care. Moreover, 80% of FMCG categories are growing faster in rural India as against urban India (Nielson, 2011). There is a huge growth potential for all the FMCG companies as the per capita consumption of almost all products in the country is amongst the lowest in the world. In recent years, rural markets have acquired significance in countries like China and India, as the overall growth of the economy has resulted in substantial increase in the purchasing power of the rural communities. On account of the green revolution in India, the rural areas are consuming a large quantity of industrial and urban manufactured products.

Rural demand in Automobile, FMCG and retail is growing at a faster pace than anticipated due to rise in its consumption patterns which is creating demand and margins for Indian Inc. even as meltdown is getting deeper, says a Study Paper of The Associated Chambers of Commerce and Industry of India (ASSOCHAM) `The Rise of Rural India’. India is the second largest producer of two-wheelers in the world. In the last few years, the Indian two-wheeler industry has seen spectacular growth. The country stands next to China and Japan in terms of production and sales respectively. Majority of Indians, especially the youngsters prefer motorbikes rather than cars. Capturing a large share in the two- wheeler industry, bikes and scooters cover a major segment. The present scenario of rural marketing especially decision making process of purchasing two-wheeler in rural area, and its importance, current trends, and highlights certain problems related to rural marketing area. In this article study for the demand of two-wheelers in rural area and influence the factors of like family, friends, dealers, service and mileage for the process of purchasing a two-wheeler.

FMCG is the fourth biggest sector in the Indian economy, where the urban fragment contributes about 55% to the general revenue produced by the sector. Nonetheless, with web entrance, growing mindfulness, expanding income and evolving ways of life, the FMCG market has seen faster growth in rural India when contrasted with the urban partners. FMCG products are accounted for to represent half of the complete rural spending, which is a verification of the fast growth in the semi-urban and rural consumers in the industry. This enormous growth of the rural market in India has moved the marketable combat zones for the FMCG companies from urban to rural. The rural market today is offering boundless chances to the businesses to connect with almost 33% of the area’s populace. Web infiltration has made information available for the rural Indian consumers who are affecting their purchase choices. The focal point of these consumers is moving towards esteem based purchases rather than price-based buying. They are presently considering price in examination with utility, worth, and highlights of the products. Companies that prior treated the rural market as a freedom ground for their lower-end products are presently realizing the need to concentrate on the prerequisites of the rural customers. The core of India lies in its towns, and today it is practically difficult to prevail in business on the off chance that we leave the area’s rural populace behind. Companies, particularly in the FMCG sector, need to comprehend the elements of the blossoming rural market and think of creative systems to win the trust of these potential consumers and to remain important in the market. Hence, the present study has been focused on the study on Rural Marketing Management of Indian FMCG Product and study based on secondary sources of data collections.

The FMCG industry is an impactful industry in many regions, especially when it is running during the COVID-19 pandemic, and they still make progress. However, as good as its blessings are, the FMCG industry has its struggles with innovation, and each region has shown some differences until now; thus, the data speaks for itself. India, which has a Hindu majority, and their vegetarianism show some differences in how they explored the wisdom of the FMCG industry. It makes the industry unique on its own to have an eco-friendly movement through a cultural push of their vegetarian beliefs. The method was Krippendorf content analysis on Twitter, we’ll get closer to looking at the unique data. Findings have shown that changing consumer preferences have also impacted the FMCG industry in India. Consumers are becoming more health-conscious and opting for products that are natural, organic, and free from harmful chemicals.

Tooth paste are fast moving consumer goods that have seen a surge in their sales in the past few decades in India more and more people are opening up to the idea of experimenting and trying out newer Tooth paste. This study is attempt to cover the various factors that influence the buying decision of consumers who plan to purchase and or used Tooth paste. FMCG sector is the fourth largest sector in India touching everybody life’s in every day. The FMCG goods sector is vital contributor to India’s gross domestic products. The field of consumer behavior is the study of individual, group, organization and the process is used to select, secure, use and dispose of products and services that satisfies their needs. The Indian Tooth paste industry includes about 700 companies with combine annual revenue about $17 billion and also spread all the major metropolitan cites. India per capita consumption of Tooth paste is at 460 grm. Per annum. The Indian market capitalization of Tooth paste industries is 70% of India’s population resident in rural area and 50% Tooth pastes are sold in rural market. To attain this objective, a survey was developed and administered across various part of Calicut city.

In the year 2011, Jyothy Laboratories (Jyothy), a small domestic player in the Fast Moving Consumer Goods (FMCG) industry in India, acquired Henkel India. Having historically followed a purely organic strategy, Jyothy made a strategic shift, by acquiring Henkel India. The case describes the circumstances leading to this acquisition from the perspective of both Henkel and Jyothy. The case outlines the intricacies involved in the entire acquisition process including the strategic motives, regulatory issues, bargaining between the parties and the postacquisition phase. There were integration issues faced by both companies, specifically since Jyothy was an Indian company and Henkel India was part of a large European multinational. The main protagonist in the case has to address the challenges his company faces after the acquisition of Henkel India.

The Indian retail industry majorly constitutes of small retailers, comprising of approximately 12 million small shopkeepers and increased competition has made companies understand the significance of this unorganized small retail sector. Most companies feel that coordinating their downstream supply chains is critical for long term growth and sustainability. The paper examines the supply chain coordination amongst retailers, distributors, logistics providers, customers, and major Fast Moving Consumer Goods (FMCG) multi-national companies in India. The findings confirm that supply chain integration, information sharing, and supply chain design are being given proper attention by FMCG companies. They appreciate the strategic value of information sharing for establishing collaborations with the small retailers for effective performance of supply chains. Even in the fragmented, ill-defined, unorganized, and disjointed small retail sector in India, information sharing between supply chain partners is given precedence. Lack of technological infrastructure does not deter MNCs from establishing information linkages with small retailers and harnessing it for supply chain efficiency.

In early 2008 an analyst at a prominent Investment Bank in India was analyzing the dividend policy of Hindustan Unilever Limited (HUL), a well-known multinational. The case's protagonist, an equity analyst, must figure out the implications of the firm's dividend policy on the investment and financing activities and the valuation of the firm. She also has to decide what investment recommendation she should give in the light of the analysis. The case describes the Indian FMCG industry as India enters the new millennium. The case details HUL's financial position in an era of increasing competition. Priya must decide whether the dividend policy of HUL is sustainable.

GST is one of the most critical tax reforms in India which has been long awaiting decision. It is a comprehensive tax system that will subsume all indirect taxes of State and Central Governments and whole economy into seamless nation in national market. GST will be a game changing reform for Indian economy by developing a common Indian market and reducing the combined effect of tax on the cost of goods and services. GST is a consumption based tax imposed on sale, manufacturing and consumption on goods & services at national level. Several taxes such as central excise duty, service tax, central surcharge and cess etc. imposed by Central Government and VAT / sales tax, entertainment tax, octroi & entry tax, purchase tax, luxury tax, taxes on lottery etc. levied by State Governments have been subsumed under GST. The FMCG sector of India composes more than 50 % of the food and beverage industry and another 30 % from personal and household care. Under the proposed GST system, it is expected that it would result in a simpler tax system, especially for industries like FMCG. Under this system, a single product would be taxed at the same rate in every corner of the country meaning that an cooler will be taxed the same in Madhya Pradesh as well as Kerala thus we also refer GST as ONE NATION ONE TAX. This paper will help to present that, what is the impact of GST after its implementation; analyze the influence of GST on FMCG sector.

The 21st century seems to have practically adopted performance measurement as a tool for continuous improvement; hence a productive change in the world of business is quite noticeable. Measuring performance continuously has become essential for masses of organizations as this is the only way that organizations can compete with global challenges. Performance measurement is often confused with performance management and mostly misunderstood as synonyms. Performance measurement is a solo activity that is employed to access performance for a predetermined goal on a set of parameters. As opposed to this, performance management is an integrated activity that aims to nurture and institutionalize performance management as a fundamental system of an organization. In this parlance, performance measurement is considered as one of the tools that are used in measuring the actual performance of the system to achieve the goal. Similarly, performance management is viewed as an activity of goal setting and monitoring the achievement of goals. Performance management in this sense is viewed as another form of management by objectives (MBO). In De-facto, management by objectives is one of the important features of performance management. The performance of an organizational system is the aggregate output of performance of its subsystems, which are directly linked with the goal of the organization. The strategies of the organization are interpreted as Systems of the System (SoS) viz Total Quality Management (TQM), Just-In-Time Management (JIT), Lean Manufacturing (LM), Logistics Management, assembly system, facility management, Supply Chain Management (SCM) system etc. This strategy of a subsystem is dynamic in nature and acts to achieve their individual goal with enablers and drivers called critical success factors (CSFs) which ultimately converges with the organizational goal. The name/title or levels of these CSFs may appear the same, but their approach differs from one other as per the system requirement. In recent decades, Total Quality Management (TQM) has become the approach ix of confidence for those organizations who have still been struggling to implement it without any barrier in their organizational system. Moreover, it is a benchmark level of dominance for those organizations who are using it as a tool in their various continuous improvement programs such as lean production, six-sigma approach, Just-in-Time manufacturing and Total Productivity Management (TPM). Thereby, the TQM implementation seems to be determined to hone their performance level so as to attain a benchmark that would lead them to get a sustainable status. The critical success factors (CSFs) certainly in this context have been playing a pivotal role. They have been contributing to making the industries more competitive and sustainable by introducing new technologies and bringing forth new perspectives into the organization. It is a well-known fact that an organization’s performance is largely determined by its employees. A TQM aware employee understands and manages quality in their daily activities. These factors lead a successful company to consistently measure and improve its quality-related functions. At present, the FMCGs industries operate on the basis of consumer demand for variety and change which leads to continuous improvement with innovative products. Simultaneously customer wants that they must take for granted that the items and services they consume should work well as soon as they purchase them. There are also residual losses when customers abandon products and brands for quality reasons. To achieve success with a total quality management program or any other improvement methodology, managers must understand the quality goals for their product or company. FMCGs consumers choose their daily need products according to their hygienic compatibility, taste and thus change their purchasing decisions according to their lifestyle. However, back here in developing countries such as India, many industries do not bother with the performance measurement of their subsystems or strategies. Corporations do not share the correct information about the performance of their business nor do they have the facility to measure the impact of implemented strate- x gies. TQM performance heavily depends on how well the TQM system is designed for the organization. In other words, it is quite difficult to improve overall TQM perfor- mance if decisions criteria (attributes, i.e critical success factors) are not embedded or considered at the phase of TQM system design. The study of the connection between the CSFs and total quality management (TQM) is essential for effective TQM. Many authors suggest that the CSFs for any objective should be SMART and an acronym for: Specific, Measurable, Attainable, Realistic and Timely. Stat- ing or defining CSFs are top management’s responsibility and the quality of their statement reflects the quality of their strategic planning. Many FMCGs industries are successful and they achieve their success because of their effective TQM system design and management of quality-related activities. This information paves the way for the present thesis which is aimed to examine different issues related to TQM performance measurement in the Indian FMCGs in- dustry. To overcome this problem, in this study, barriers have been decided on the basis of the ranking of the CSFs. Firstly, a set of questionnaires has been developed to identify the issues related to TQM performance measurement practices in Indian FMCGs industries. Then, the issues related to the TQM performance in the indus- try have been identified through survey. Then, hypotheses concerning have been formulated and tested. Moreover, a case study has been performed and analyzed using the SAP-LAP framework in a particular FMCG company domain. In the last phase, a Knowledge-Based Performance Measurement (KBPM) framework has been developed to rank the CSFs of TQM system using fuzzy-logic approach to evaluate the effectiveness. From the results, it has been revealed that the performance of TQM can be improved remarkably if it applies properly. Moreover, the author be- lieves that the outcome of this thesis could be used for reference analysis to improve the effectiveness of existing TQM practices in the FMCG industries.

碩士
國立交通大學
經營管理研究所
101
The difference in product purchasing behavior exactly implies consumer patterns between segmentations. For a long time, the measurement of consumer preference and behavior analysis have been limited to qualitative questionnaire survey, from which we can only get the information of subject recognition but not actual purchase behavior of customers. Therefore, this paper analyzes the behavior recorded in CRISA customer database in order to capture the extent of consumers’ behavior pattern. Furthermore, in this study we investigate characteristics of FMCG market segmentation and product strategies in emerging country-India. By using factor analysis, cluster analysis and ANOVA, we measure the customers’ heterogeneity in consumer purchasing behavior and segment the customers into four clusters. In this study, we demonstrate and figure out that the main purchasing behaviors in India consists of the following factors: basic beauty care, deal loyalty, premium skin care and low price-oriented and these factors above separate the consumers into three groups inclusive of value-added group, mass consumption group and promotion-driven group. With the growing consumption power of FMCG in India, marketing strategies in India market become more and more vital. Rivalry in FMCG in India raises the importance of communication between consumers and products. However, a good customer relationship management with right segmentation can enhance brand power.

The use of transnational supply chains has been perceived as the “mantra for success” in the ear of globalisation, changing customer demographics and demand. The fast-moving customer goods (FMCG) industry has also joined this bandwagon, along with other industries, such as the high-technology industry, in order gain competitive advantage. However, the trade regimes of developing (emerging) economies have played a significant role in establishing the context for the supply chain originating in a particular country, and therefore in containing the foreseen benefits accruing from supply chains becoming a transnational process. This thesis was focused on identifying issues within selected transnational FMCG supply chains origination in India and South Africa. It also identified the steps that supply chain managers were taking to address these issues. It also proposed a framework for supply chain operating model to address the identified issues. The research used a combination of analytical models to investigate the different aspects of the various transnational supply chains. To examine the underlying aspects of the various FMCG supply chains, a typology model in conjunction with an operational model, a financial model and a governance model were used. Supply chain operations reference (SCOR), an operational analytical model, was used extensively on this thesis. Detailed typology and process flow maps specific to transnational FMCG supply chains were also developed. The collective case study approach was used as the research methodology. A total of four cases spanning two countries – India and South Africa – and dealing with two product segments (packaged food and personal care products) were studied. Data for the study was collected thorough primary sources (in multiple face-to-face interviews) and secondary sources (from case-specific documents and reports). After the data was analysed, it was found that the various supply chains in the FMCG industry displayed similar typologies and issues, some of which were unique to each country. The typology of the transnational supply chains for all four cases was very similar in terms of their distribution structure setup, product life cycle, sourcing models combination, customer relations, marketing methods and degree of globalisation. However, in both countries, the supply chain issues identified in the personal care segment, such as product proliferation and supplier unreliability, were different from those identified in the packaged food segment, such as strict food-related regulatory laws and greater manufacturing complexities. Some of the typical issues affecting local supply chains, such as the bullwhip effect and lower supply chain adaptability, were not evident in the transnational supply chains. The steps supply chain managers were taking to address these issues, such as standardising processes and implementing new technology, were found to be similar in all cases. However, in India, supply chain managers were also focusing on government initiatives, establishing contracts with suppliers and customers, and implementing supply chain policies, while in South Africa they were also focusing on improving supply chain skills, improving branding in transnational markets and implementing foreign exchange controls. The overall conclusion was that there was considerable potential for achieving competitive advantage by setting up transnational supply chains, provided that the problems identified within transnational supply chains were adequately addressed by supply chain managers. However, in some scenarios, the steps taken in terms of available best practice models results in further set of issues arising. The identification of the issues facing supply chain managers and the development of a framework of operating model to address the identified issues with transnational FMCG supply chains were the most significant contributions of this research study.

Abstract The volume V in the collection of Indian Business Case studies have three sections consisting of amazing cases in HR, Finance, Marketing, Operations, and Strategic management. The cases are based on various sectors like automobile, airlines, banks, service industry, consumer products and durables, FMCG, and many more. The insights provided are relevant to industry large and small and span across various geographical locations. What’s have been developed after detailed study of the situation and based on facts and figure making this a go to guide for all areas of management practices. The quality of research carried out while writing these cases makes this a must have for all practitioners, academicians, and students. The case volume includes Business Case Studies designed and developed based on current business and economic scenario in India both based on published data and field search Live Case Studies. These case studies enable effective adoption to case methodology of teaching for UG and PG studies in Business Management as also best suited for management development programs in Business and Industry. These case studies offer best of opportunities and tools to be used in offline and online teaching and learning methodology especially help developing analytical skills and problem resolution techniques in the students of Business Management studies and young and aspiring business executives globally.

The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Skin care products are one of the key constituents of the FMCG sector. One of the major products under skin care products are antiseptic creams. In India, the market size of the antiseptic cream markets is approximately US$ 2.94 billion. The major players in the antiseptic cream industry are Betadine Cream, Boroline, Boroplus, Vicco Turmeric Cream, etc. With the growing market and many players, it becomes essential for every organization to retain the brand that it has set in the market. And every organization wants to take advantage the market and one such organization is Boroline.

The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Skin care products are one of the key constituents of the FMCG sector. One of the major products under skin care products are antiseptic creams. In India, the market size of the antiseptic cream markets is approximately US$ 2.94 billion. The major players in the antiseptic cream industry are Betadine Cream, Boroline, Boroplus, Vicco Turmeric Cream, etc. With the growing market and many players, it becomes essential for every organization to retain the brand that it has set in the market. And every organization wants to take advantage the market and one such organization is Boroline.

Abstract Patanjali Ayurved has priced open the herbal and ayurvedic market for personal care products and foods, setting the stage for a fresh battle of brands in the categories. Even as Indian FMCG companies battle an industry-wide slowdown in growth, many are hitching their wagons to the herbal-organic consumer products category, following in the footsteps of the Baba Ramdev’s Patanjali. The yoga guru-cum-business czar is not only among the highest advertiser on television today, but by doubling up as brand ambassador for his company, he is increasing awareness for all ayurvedic-herbal products and further opening up the space. And companies such as Emami, Hindustan Unilever (HUL), Dabur, and Himalaya Drug Company are rebooting their category strategies and investing in new products and making new acquisitions to reap in the promise of the herbal age.