https://www.hmtwatches.in

HMTWATCHES

PRESENTED BY :- Bhawani Singh Chitraksh Kapil Devashish Mehar Divyesh Kumar Harsh Mehrotra

COMPANY PROFILE

HMT Watches Ltd. a subsidiary of Hindustan Machine tools Ltd.

The manufacture of wrist watches started as part of diversification strategy of HMT in the year of 1962 under Technical collaboration with Citizen Watch Company of Japan.

HMT Ltd. the first company to start watch manufacturing in India; has incorporated HMT Watches Ltd. As its fully owned subsidiary on 9th August 1999.

PARENT COMPANY SUBSIDIARY COMPANY

It manufactures mechanical and Quartz analogue watches.HMT watches ltd.Comprises of 3 manufacturing units at Bangalore, Tumkur and

RanibaghAll its manufacturing units have obtained the ISO 9001

certification.

COMPANY PROFILE CONTINUED

WHAT IS PRODUCT LIFE CYCLE (PLC) ?

The Product life cycle is a cycle through which every product goes through from introduction to withdrawal or eventual demise

STAGE 1st :- INTRODUCTION

In July of 1961, one hundred employees of HMT Watches went to the Citizen factory in Tokyo and learned every aspect of manufacturing watches for one year.

Production of watches began in 1962, with first batch released by then Prime Minister Nehru.

With it brands like ‘Janata’, ‘Pilot’ and ‘Sona’

http://forums.watchuseek.com

STAGE 2ND : - GROWTHIn 1972, HMT expanded its watch manufacturing

capacity with a set up alongside the Bangalore Factory to manufacture additional watches.

In 1975, Watch factory at Bangalore was further expanded to manufacture Main Spring, Hair spring and Shock absorber components.

It expanded its production facilities with two additional factories, one in Tumkur, near Bangalore, and another in Ranibagh in Northern India.

STAGE 3RD :- MATURITYHMT has produced over 110 million watches since the 1960s

HMT dominated the Indian market until the late 1980s with inexpensive mechanical watches. Popular men's models were hand-wound watches with variants including white, yellow, blue, brown, red, and black dials

HMT watches had enjoyed 70% market share during 1980s at their maturity stage

STAGE 4TH :- DECLINEIn 1990s came an onslaught of quartz watches from Titan, a subsidiary

of Tata Corporation.

HMT could look back at more than 70 percent market share in the previous two decades, which dwindled as Titan and Timex introduced trendy quartz watches.

HMT loses his 60% market share to Titan, A subsidiary of TATA and remaining to Timex in 1990s

It started incurring loses since the year 2000

Incurred huge loses of upto Rs. 242.47 Crore in 2012-13 from Rs. 224.04 Crore

INTRODUCTION GROWTH MATURITY DECLINE

PRODUCT LIFE CYLE FOR HMT WATCHES

SALES

VOLUME

STAGES

1960s Decade 1970s Decade 1980s Decade 1990s Decade

HMT were Star during their Maturity Stage

1980s

Introductory Period1960s

Started incurring heavy losses after 2000,

Decline Stage

During 1990s started declining

BCG MATRIX

STARS QUESTION MARKS

CASH COWS DOGS

MAR

KET

GRO

WTH

MARKET SHARE

WHAT WAS WRONG WITH HMT’s WATCH DIVISION MARKETING STRATEGY ?

Few Designs

Underestimation of Quartz Watch segment

Charged high prices for Quartz Watch Segment

Failed to differentiate between Quartz Design an Mechanical Watches

RECOMMENDATIONSCan target Rural Areas

Can come with modern designs

Can enter premium segment also

http://en.wikipedia.org/wiki/HMT_Limited http://en.worldtempus.com/article/insider/hmt-watches-pulse-india

https://www.hmtwatches.in

Bibliography

www.goodreturns.in/company/hmt/history.html

Article Reference

HMT loses race against time, to be shut down – The Indian Express

Written by – Shruti Shrivastav

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