A Bid to Sustain Leadership Position
Assessment 1
Msc/MA International Business Management
Module: International Business Management and Strategy
Thames Valley University, London
Student number: 21113960
Date: 21st January 2011
Content
1. Introduction 3
2. Question 1: Critically discuss and evaluate the growth strategy adopted by Kellog’s In India 4
3. Question 2: What are the major challenges Kellogg’s now face? Recommend and justify what actions Kellogg’s should take in India to sustain their market leadership. 7 3.1. Macro-environmental Analysis of Kellogg’s India 7 3.2. Porter’s 5 forces of Kellogg’s India and the food industry 8 3.3. Strenghts and Weaknesses of Kellogg’s India 9 3.4 Recommendation 9
Bibliography 11
Appendix 13
1. Introduction
This report will analyse the growth strategy, major challenges and the market leadership of Kellogg’s in India. This analysis will be carried out by using appropriate tools such as marketing models, PESTEL analysis, Porter’s 5 forces and an SWOT analysis. The information about Kellogg’s is taken from the case study and internet sources. The analysis is based on gained knowledge through lectures, research from literature and the internet.
Kellog’s was founded by W. K. Kellogg in Battle Creek, Michigan, USA in 1906. The company started with 44 employees and counts 30,900 employees today.
In 2009, the company was the world’s leading producer of cereal as well as cookies, crackers, cereal bars, etc. and reached nearly $13 billion as sales in the same year. Kellogg’s products were manufactured in 18 countries and marketed in more than 180 countries worldwide. Historically, Kellogg’s has been a leader in industry, innovation and marketing. In 1994 Kellogg’s entered the Indian breakfast cereal market (Case Study).
2. Critically discuss and evaluate the growth
Bibliography: Chandra, Rau, Ryans (2002) India Business, Ithaka: Paramount Public Publishing Inc. Dibb, S., Simkin, L. (2001) Marketing Briefs- A revision and Study Guide, Oxford: Butterworth-Heinemann Doyle, P., Stern, P Drummond, G., Ensor, J., Ashford, R. (2008) Strategic Marketing-Planning and Control, Oxford: Butterworth-Heinemann Jobber, D Kotler, P., Berger, R. Bickhoff, N. (2010) The Quintessence of Strategic Management, Berlin Heidelberg: Springer-Verlag Kotler, P., Armstrong, G., Saunders, J., Wong, V Kumar, R. (2008) Conceptual Issues in consumer behaviour-The Indian Context, New Delhi: Dorling Kindersley Internet http://www.india-reports.com/reports/Cheese8.aspx (accessed 03.01.2011) http://www.netmba.com/marketing/mix/ (accessed 03.01.2011) http://www.thehindubusinessline.com/catalyst/2008/01/24/stories/2008012450020100.htm (accessed 03.01.2011) http://html.rincondelvago.com/kelloggs-company.html (accessed 04.01.2011) http://www.ibef.org/download/Kellogg_India.pdf (accessed 04.01.2011) http://marketingteacher.com/image/content/five_forces.gif (accessed 15.01.2011) http://www.mapsofindia.com/india-economy.html (accessed 07.01.2011) http://www.financialexpress.com/news/kellogg-plans-to-launch-new-products-enhance-manufacturing-facility/483278/ (accessed 07.01.2011) http://www.packagingsouthasia.com/news/Innovation_Award_for_1367.html (accessed 07.01.2011) http://www.kelloggcompany.com/company.aspx?id=38 (accessed 09.01.2011) http://www.economywatch.com/indianeconomy/indian-economy-overview.html (accessed 10.01.2011) http://ezproxy.tvu.ac.uk:2181/Portal/ResultsList.aspx (accessed 10.01.2011) Off-site Login http://www.adb.org/Documents/EDRC/Policy_Briefs/PB002.pdf (accessed 10.01.2011) http://timesofindia.indiatimes.com/business/india-business/Kellogg-India-increases-prices/articleshow/5486110.cms (accessed 10.01.2011)