Britnnia Biscuits Case Study

Topics: Milk, Dairy product, Cheese Pages: 4 (1141 words) Published: December 14, 2010



Submitted by:
Ankit Mehar
SID: 3042910 M69EKM


In 2007, Britannia, one of the India’s largest biscuit brands held a market share of 38% in terms of value. Indian biscuit industry, the third largest producer of the biscuits in the world was highly under-penetrated. This presented numerous growth opportunities to new as well as existing players. Apart from the presence of big players like ITC Foods and Parle, the local manufacturers of biscuits and other Indian snacks had been raising concerns for Britannia. Besides competition, Britannia faced critical challenges due to declining margins in the biscuit industry due to the increasing costs of raw materials. Its profit had been on a decline since 2005. Though Britannia had forayed into dairy and bakery products, 90% of its revenues still came from its core business in biscuits category which was largely driven by product innovation. (

A Britannia industry limited is successful Indian company since 1892, started in India with initial investment of Rs.295. this company is very well known for its biscuits (Britannia & Tiger). Britannia is one of the largest biscuits selling company and leading biscuit firm of India with estimated 38% market share. (

In 1997, Britannia jumped into dairy product market with its two new products (Processed Cheese & Dairy Whitener), In 2002, Britannia's New Business Division namely ‘Britannia Milkman’ formed a joint venture with Fonterra, the world's second largest Dairy Company, and Britannia New Zealand Foods Pvt. Ltd. was born. (

The company is a growing and profitable one. Between 1998 and 2001, the company's sales grew at a compound annual rate of 16 per cent against the market, and operating profits reached 18 per cent. More recently, the company has been...

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