As given in the case a 35 years old AKH Group has various businesses spread across IT, Consumer Products, BPO and Telecom. For the development of the company in various sectors the founder of the company follows an austere way of working. The business expansion has been organic as well as inorganic. The IT business was fostered through organic form and the BPO was an acquisition. Similarly, the Consumer Product business was a mix of organic and inorganic (through foreign acquisitions). The founder of this business conglomerate has recently announced a sum of Rs. 10,000 Crore to be spent on nation building. Areas chalked out are Skill Development and Primary Health.
Detail Road Map For the Purpose Of Achieving the Goals Of Community Development along with Strategic options, Cultural aspects, Economy and Outsourcing Options
For an existing company growth strategies can be of three types.
1. Growth by sub segmenting customers
2. Growing the core business
3. Growing adjacent opportunities.
If we take the help of the Ansoff’s matrix which states that the growth must be determined with the help of situational analysis comparison to standard business growth models, and comparison to historical growth strategies of successful organizations in similar industries or business environments, the growth strategy should be a guiding force behind other business plan components such as sales strategy and marketing plan.
Fig: Ansoff’s matrix
The Ansoff’s matrix demonstrates four types of growth strategies. Among these the company can concentrate on market penetration as well as market development while helping in building overall nation.
The market penetration strategy will help it to refine sales process, under cut competition etc. whereas the market development strategy will help them to attract new customers and increase in revenue per customer, development of new competencies etc. While helping in skill development and nation building program the company can promote their products to increase awareness like what lifebuoy and other companies has done.
Let us assume that in consumer product business category it manufactures Pencils, Notebooks , oral care products, PVC Pipes, Women’s Hygiene Care Products, Baby Care Products, Soaps, Insecticides and Pesticides, Detergents. Let us also assume that the company has done enough research and study to jot down the problem areas and the areas where there is a scope of development
Now based on the assumptions and case facts some of the suggestions are as follows:
The company can focus on underprivileged children who don’t have the chance of getting education due to unavailability of paper, pencils, pens etc. and other expenses. They can provide such stationeries to the underprivileged students in rural areas.
The company must come out with cheaply priced toothpastes, tooth brushes, tongue cleaners in order to provide oral hygiene to the rural sector and launch an awareness program to make them aware...