Wac Kanpur Confectionary
WRITING ANALYSIS AND COMMUNICATION-I
Assignment No. 2
CASE ANALYSIS
OF
KANPUR CONFECTIONORIES PRIVATE LTD. (A)
Name: Hitu Kanodia
1. EXECUTIVE SUMMARY
OBJECTIVE:
Kanpur Confectionaries Private Ltd (KCPL) has the vision of emerging as a leading national brand in the biscuit industry and thus maintaining the family name and dignity.
PROBLEM:
APL is a leading national player in the biscuit industry and is a major competitor of KCPL. KCPL has to decide their response to the proposal of A-One Confectionaries Private Ltd (APL) about becoming its contract manufacturer.
OPTIONS:
KCPL has the following 3 options:
• Option 1: Accept APL’s offer
• Option 2: Become an independent contract manufacturer.
• Option 3: Rebuild the “MKG” brand.
DECISION:
KCPL should work on reviving its brand.
ACTION PLAN:
KCPL has to work on technology upgradation, increasing capacity utilization and managing a efficient workforce. It also has to improve its brand image and target new profitable markets.
CONTINGENCY PLAN:
As a contingency plan, KCPL can accept the offer of APL.
2. MAIN REPORT
1. SITUATIONAL ANALYSIS
Mohan Kumar Gupta started Kanpur Confectioneries Private Limited (KCPL) in Jaipur in 1947 to sell sugar candy under the brand name of “MKG”. He later set up a production unit in Kanpur (UP) because of intense competition in Jaipur. He ventured into the biscuit industry with the “MKG” brand. Its turnover increased during the early 80’s. But with the stiff competition from the firms in the organized and unorganized sector its sales have declined and by mid 80’s it has started making losses (Exhibit 1). It became a contract manufacturer for Pearson Health Drinks Limited (Pearson) in 1985. But Pearson faced stiff competition from A-One Confectioneries Private Limited (APL). Now in September 1987, KCPL has the proposal of becoming a contract manufacturer for APL. If KCPL accepts the proposal,
Assignment No. 2
CASE ANALYSIS
OF
KANPUR CONFECTIONORIES PRIVATE LTD. (A)
Name: Hitu Kanodia
1. EXECUTIVE SUMMARY
OBJECTIVE:
Kanpur Confectionaries Private Ltd (KCPL) has the vision of emerging as a leading national brand in the biscuit industry and thus maintaining the family name and dignity.
PROBLEM:
APL is a leading national player in the biscuit industry and is a major competitor of KCPL. KCPL has to decide their response to the proposal of A-One Confectionaries Private Ltd (APL) about becoming its contract manufacturer.
OPTIONS:
KCPL has the following 3 options:
• Option 1: Accept APL’s offer
• Option 2: Become an independent contract manufacturer.
• Option 3: Rebuild the “MKG” brand.
DECISION:
KCPL should work on reviving its brand.
ACTION PLAN:
KCPL has to work on technology upgradation, increasing capacity utilization and managing a efficient workforce. It also has to improve its brand image and target new profitable markets.
CONTINGENCY PLAN:
As a contingency plan, KCPL can accept the offer of APL.
2. MAIN REPORT
1. SITUATIONAL ANALYSIS
Mohan Kumar Gupta started Kanpur Confectioneries Private Limited (KCPL) in Jaipur in 1947 to sell sugar candy under the brand name of “MKG”. He later set up a production unit in Kanpur (UP) because of intense competition in Jaipur. He ventured into the biscuit industry with the “MKG” brand. Its turnover increased during the early 80’s. But with the stiff competition from the firms in the organized and unorganized sector its sales have declined and by mid 80’s it has started making losses (Exhibit 1). It became a contract manufacturer for Pearson Health Drinks Limited (Pearson) in 1985. But Pearson faced stiff competition from A-One Confectioneries Private Limited (APL). Now in September 1987, KCPL has the proposal of becoming a contract manufacturer for APL. If KCPL accepts the proposal,