Swot Analysis of Amul

Topics: Brand, Milk, Marketing Pages: 2 (255 words) Published: August 31, 2011
Strengths

1. The company is having Indian origin thus creating feeling of oneness in the mind of the customers.

2. It manufactures only milk and milk products, which is purely vegetarian thus providing quality confidence in the minds of the customers.

3. It is aiming at rural segment, which covers a large area of loyal customers, which other companies had failed to do.

4. People are quite confident for the quality products provided by Amul.

5. Amul has its base in India with its butter and so can easily promote chocolates without fearing of loses.

6. The prices of chocolates of Nestles are comparatively cheap as compared to other companies.

Weaknesses

1. There are various big players in the chocolate market, which acts as major competitors restricting their growth.

2. Lack of capital invested as compared to other companies.

3. Improper distribution channel in India.

Opportunities

1. There is a lot of potential for growth and development as huge population stay in rural market where other companies are not targeting.

2. The chocolate market is at growth stage with very less competition so by introducing new brand and intensive advertising there can be a very good scope in future.

Threats

1. The major threat is from other companies who hold the majority share of consumers in Indian market i.e. Cadburys and Nestle.

2. There exists no brand loyalty in the chocolate market and consumers frequently shift their brands.

3. New companies’ entering in Indian market like Fantasie fine poses lot problems for Amul.
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