Product Diversification or core competencies
Company: - Luxor Writing Instruments Private Limited (LWIPL)
Date: September 26, 2011
* To study the marketing mix & providing our view points on the various aspects of it.
* To analyze the business decision of Luxor Writing Instruments Private Limited (LWIPL) who wants to diversify into packaged food and hospitality industry from its current business of manufacturing of premium pens.
Luxor Writing Instruments Private Limited (LWIPL) is the market leader of the premium pens segment in India .It has a market share of 60%; it has been in existence since the last four decades & consisted the widest range of pens with leading brands including Luxor, pilot, paper mate & parker. The pens industry in India had passed through various phases with the changing tastes and preferences of customers. The company also was going with the flow & kept on improving the products offered. The pen industry witnessed several developments, which led to the change in the marketing strategy which was before priced competitively was promoted competitively. Luxor's marketing mix helped it to capture a sizeable share of the industry, it had entered into several tie-ups with multinational pen companies & it is known for its heavy spending on advertising its products, which helped LWIPL in leveraging its current position in the industry But know the company wants to diversify to a new line of business of packaged food and hospitality industry.
In the discussion the following were points taken in to account:- * The strong position of (LWIPL) in the premium pen segment. * The existence of the company in the market since four decade proving its sustainability in the current business. * The various products offered by the company in the due course of business...
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