BY: Mr.MANOJ DIWAKARAN
M.COM (FIRST YEAR)
TABLE OF CONTENTS Executive Summary 1. Definition of Strategic Management 2. Raymond Company history 3. Industry structure 4. Environment 5. Products 6. Price 7. Distribution Network 8. Promotion 9. SWOT analysis 10. Suggestions Appendix
Executive Summary The purpose and scope of the project is to study, analyze and understand the business and marketing practices of Raymond’s . In order to achieve this objective two stages were identified-Data collection stage and the Analysis stage. The first stage includes the data collected from various sources regarding the following: 1. The history of the company, its subsidiaries, the board of directors, Operation Units in India. 2. The closest competitors in the textile industry-Bombay Dyeing, S Kumar’s, Zodiac, Arvind Brand, Triggers. 3. Information about the 4 P’s of marketing-Product, Price, Place and Promotion The analysis stage includes understanding the implication and relevance of the data collected and drawing conclusions about the company’s business and marketing decisions. Indian textile industry can be divided into several segments: Cotton Textiles Silk textiles Woollen Textiles Readymade Garments Hand-crafted Textiles Jute and Coir
Raymond Ltd is well known for worsted suiting, tailored clothing, denim, shirting, Woollen outerwear. Known for its innovative marketing and distribution strength the company is one of the consistent performers in the Indian scene. The company has a track record of profitability, transparency in operations. Indian textile industry is one of the leading textile industries in the world which largely depends upon the textile manufacturing and export. It also plays a major role in the economy of the country. India earns
about 27% of its total foreign exchange through textile exports. Further, the textile industry of India also contributes nearly 14% of the total industrial production of the country. It also contributes around 3% to the GDP of the country. At present industry requires highest efficiency in physical distribution as companies not working on operational efficiency business models. Companies need to work on improving internal efficiencies to retain profits which are under pressure on account of dropping prices. The customer (retailer for the company) is seen to be dictating terms so companies have no choice but to lure more customers through incentives. At the same time companies also need to attract final consumers by offering value added services. So we came up with the following recommendations to take up trade promotions, to build up relations with the intermediaries, a need to improve current inventory levels to cut down costs, a need to promote awareness among the customers, improve advertising strategies, and a need to expand in industrial segment by forming strategic partnerships to take advantage of the upcoming industrial growth at national and regional levels.
Strategic Management is all about identification and description of the strategies that managers can carry so as to achieve better performance and a competitive advantage for their organization. An organization is said to have competitive advantage if its profitability is higher than the average profitability for all companies in its industry. Strategic management can also be defined as a bundle of decisions and acts which a manager undertakes and which decides the result of the firm’s performance. The manager must have a thorough knowledge and analysis of the general and competitive organizational environment so as to take right decisions. They should conduct a SWOT Analysis (Strengths, Weaknesses, Opportunities, and Threats), i.e., they should make best possible utilization of strengths, minimize the organizational weaknesses, make use of arising opportunities from the business environment and shouldn’t ignore the...