((AFTER DIVERSIFICATIONAFTER DIVERSIFICATION))

Submitted by:Submitted by:

Anshumali Mukul SinghAnshumali Mukul Singh

Ahsan AghaAhsan Agha

ITCITC

INTRODUCTIONINTRODUCTION

The company was incorporated way back in 1910 under The company was incorporated way back in 1910 under the name IMPERIAL TOBACCO COMPANY OF INDIA the name IMPERIAL TOBACCO COMPANY OF INDIA LIMITED. Soon it was renamed as I.T.C Ltd. in 1974.The LIMITED. Soon it was renamed as I.T.C Ltd. in 1974.The company is market leader in Indian cigarette business.company is market leader in Indian cigarette business.

ITC group is one among the largest private sector ITC group is one among the largest private sector enterprise in India with market capitalization of approx. enterprise in India with market capitalization of approx. $15 billions and annual turnover of approx. $4.75 billions.$15 billions and annual turnover of approx. $4.75 billions.

ITC has a diversified presence in cigarettes, hotels, ITC has a diversified presence in cigarettes, hotels, paperboards, specialty papers, packaging, agricultural paperboards, specialty papers, packaging, agricultural products, branded apparel, packaged foods & products, branded apparel, packaged foods & confectionery, greeting cards and other fast moving confectionery, greeting cards and other fast moving consumer goods (FMCG). It employs more than 21,000 consumer goods (FMCG). It employs more than 21,000 employees.employees.

Some of the known brand Some of the known brand namesnames

Why Diversification?Why Diversification?

Indian rural and agri. market is 70% to other Indian rural and agri. market is 70% to other resources in India ,but only 30 % of GDP is from resources in India ,but only 30 % of GDP is from agriculture sector . ITC realized it that their cigarette agriculture sector . ITC realized it that their cigarette business has a limit further which they wont be able to business has a limit further which they wont be able to tap profit and their expansion plans. So diversification tap profit and their expansion plans. So diversification was needed in any case to build a foothold in Indian was needed in any case to build a foothold in Indian market.market.

FMCG bieng the fourth largest sector in the field which FMCG bieng the fourth largest sector in the field which is expanding at a very fast pace and it has huge is expanding at a very fast pace and it has huge potential , along with the benefit that it can be potential , along with the benefit that it can be accrued by organizing the existing fragmented market accrued by organizing the existing fragmented market leading to concept of ‘one stop shop’.leading to concept of ‘one stop shop’.

Further India being one of the largest economies with Further India being one of the largest economies with the benefit of its vast market ,it attracted ITC to the benefit of its vast market ,it attracted ITC to expand its operation in various areas of hospitality, expand its operation in various areas of hospitality, FMCG ,Greeting cards Branded Apparels etc.FMCG ,Greeting cards Branded Apparels etc.

RESEARCH AREASRESEARCH AREAS

Their initiative in ‘chaupal sagar’ was an innovative cocept Their initiative in ‘chaupal sagar’ was an innovative cocept which was originally drawn with the help of C.K.Prahlad which was originally drawn with the help of C.K.Prahlad (Fortune at the bottom of pyramid) ,world re-known (Fortune at the bottom of pyramid) ,world re-known management guru.management guru.

Use of information technology for the economic Use of information technology for the economic development of rural communities.development of rural communities.

Fields with advantage of resources that are easy to tap.Fields with advantage of resources that are easy to tap. How can they achieve the position of market leader.How can they achieve the position of market leader. To provide cheaper and more economic ways to attract To provide cheaper and more economic ways to attract

customers for their product.customers for their product. How can they exploit Indian FMCG sector as a whole due to

mounting income levels and changing lifestyles and aspirations of people.

Cigarettes Cigarettes

ITC is the market leader in cigarettes in India and has ITC is the market leader in cigarettes in India and has a wide range of popular brands such as-a wide range of popular brands such as-

InsigniaInsignia India KingsIndia Kings ClassicClassic Gold FlakeGold Flake Silk Cut, Navy CutSilk Cut, Navy Cut Scissors, CapstanScissors, Capstan Berkeley Berkeley Bristol andBristol and Flake in its cheap cigarettes portfolio.Flake in its cheap cigarettes portfolio.

Packaging Packaging

ITC's Packaging & Printing Business is the ITC's Packaging & Printing Business is the country's largest convertor of paperboard into country's largest convertor of paperboard into packaging.packaging.

It was set up in 1925 as a strategic backward It was set up in 1925 as a strategic backward integration for ITC's Cigarettes business . integration for ITC's Cigarettes business .

It offers a variety of value-added packaging It offers a variety of value-added packaging solutions for the food & beverage, personal solutions for the food & beverage, personal products, cigarette, liquor, cellular phone and products, cigarette, liquor, cellular phone and IT packaging industries. IT packaging industries.

Hotels Hotels

ITC entered the hotels business in 1975 with ITC entered the hotels business in 1975 with the acquisition of a hotel in Chennai which the acquisition of a hotel in Chennai which was rechristened Hotel Chola.was rechristened Hotel Chola.

Today ITC-Welcomgroup holds over 70 hotels is one of Today ITC-Welcomgroup holds over 70 hotels is one of the foremost hotel chains in India.the foremost hotel chains in India.

Its group of hotels are well known as ITC Its group of hotels are well known as ITC group of hotels.group of hotels.

These hotels have redefined hospitality in a These hotels have redefined hospitality in a very different way by offering fit to pocket very different way by offering fit to pocket cost to peoplecost to people

They also provide facility of availing packages They also provide facility of availing packages in collaboration with various Airline services in collaboration with various Airline services like Kingfisher, Panama Airlines etc.like Kingfisher, Panama Airlines etc.

Paperboard, Greeting, Paperboard, Greeting, Gifting & Stationery Gifting & Stationery In 1979, ITC entered the Paperboards business by In 1979, ITC entered the Paperboards business by

promoting ITC Bhadrachalam Paperboards. ITC's promoting ITC Bhadrachalam Paperboards. ITC's Paperboards business has a manufacturing capacity of Paperboards business has a manufacturing capacity of over 360,000 tonnes per year and is a market leader in over 360,000 tonnes per year and is a market leader in India across all carton-consuming segments.India across all carton-consuming segments.

. The Paperkraft designer stationery range consists of . The Paperkraft designer stationery range consists of notepads & multi subject notebooks in hard, soft covers notepads & multi subject notebooks in hard, soft covers & multiple binding formats including spirals, wiros etc. & multiple binding formats including spirals, wiros etc.

The products known in this areas can be listed as-The products known in this areas can be listed as- Paper KraftPaper Kraft ClassmateClassmate ITC's Greeting & Gifting products include “Expressions” ITC's Greeting & Gifting products include “Expressions”

range of greeting cardrange of greeting card

Safety Matches & Safety Matches & Aggarbattis Aggarbattis ITC's brands of safety matches include iKno, ITC's brands of safety matches include iKno,

Mangaldeep, VaxLit, Delite and Aim. Mangaldeep, VaxLit, Delite and Aim. AIM is largest selling matches in India.AIM is largest selling matches in India. ITC has launched Mangaldeep brand of Aggarbattis with ITC has launched Mangaldeep brand of Aggarbattis with

a wide range of fragrances like Rose, Jasmine, Bouquet, a wide range of fragrances like Rose, Jasmine, Bouquet, Sandalwood, Madhur, Durbar, Tarangini, Anushri, Ananth Sandalwood, Madhur, Durbar, Tarangini, Anushri, Ananth and Mogra. and Mogra.

Mangaldeep is also being exported to USA, UAE, Bahrain, Mangaldeep is also being exported to USA, UAE, Bahrain,

Nepal, Singapore, Malaysia, Oman and South Africa.Nepal, Singapore, Malaysia, Oman and South Africa. ITC exports premium brands of safety matches to ITC exports premium brands of safety matches to

markets such as Europe, Africa and the USAmarkets such as Europe, Africa and the USA

Lifestyle Retailing Lifestyle Retailing

ITC entered the Lifestyle Retailing business with ITC entered the Lifestyle Retailing business with the Wills Sport range of international quality the Wills Sport range of international quality relaxed wear for men and women in 2000. relaxed wear for men and women in 2000.

Wills Lifestyle chain of exclusive stores later Wills Lifestyle chain of exclusive stores later expanded its range to include Wills Classic expanded its range to include Wills Classic formal wear (2002) and Wills Clublife evening formal wear (2002) and Wills Clublife evening wear (2003).Well-known brands related to them wear (2003).Well-known brands related to them are –are –

John Players John Players

Essenza Di WillsEssenza Di Wills

FoodsFoods ITC made its entry into the branded & ITC made its entry into the branded &

packaged Foods business in August 2001 packaged Foods business in August 2001 with the launch of the "Kitchens of India" with the launch of the "Kitchens of India" brand.brand.

Soon it expanded into Confectionery, Staples Soon it expanded into Confectionery, Staples and Snack Foods segments. and Snack Foods segments.

ITC's brand in Food category include:ITC's brand in Food category include: Kitchens of IndiaKitchens of India AashirvaadAashirvaad SunfeastSunfeast Bingo!Bingo! Mint-O and Candyman.Mint-O and Candyman.

ITC INFOTECHITC INFOTECH

Company OverviewCompany Overview

ITC Infotech, a global IT Services company, is a ITC Infotech, a global IT Services company, is a 100% subsidiary of the USD 4.75 billion Indian 100% subsidiary of the USD 4.75 billion Indian conglomerate ITC Ltd. ITC is rated among the conglomerate ITC Ltd. ITC is rated among the World's Best Big Companies, Asia's 'Fab 50' and World's Best Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by the World's Most Reputable Companies by Forbes magazine, and among India's Most Forbes magazine, and among India's Most Valuable Companies by Business Today.Valuable Companies by Business Today.

Some more infoSome more info Profiled by Forrester Research as a Leading Tier 2 vendor, ITC Infotech Profiled by Forrester Research as a Leading Tier 2 vendor, ITC Infotech

combines its experience across various industry sectors with world class combines its experience across various industry sectors with world class capabilities in technology to deliver ‘business-friendly solutions’ in five capabilities in technology to deliver ‘business-friendly solutions’ in five verticals:verticals:

* Banking, Financial Services & Insurance (BFSI)* Banking, Financial Services & Insurance (BFSI) * Consumer Packaged Goods (CPG) & Retail* Consumer Packaged Goods (CPG) & Retail * Manufacturing & Engineering services* Manufacturing & Engineering services * Travel, Hospitality & Transportation* Travel, Hospitality & Transportation * Media & Entertainment* Media & Entertainment

Based in the picturesque ITC Infotech Park that sprawls across 35 acres Based in the picturesque ITC Infotech Park that sprawls across 35 acres in the heart of Bangalore city, and through its wholly owned subsidiaries in the heart of Bangalore city, and through its wholly owned subsidiaries in the UK and the US, ITC Infotech services Fortune-listed clients across in the UK and the US, ITC Infotech services Fortune-listed clients across North America and Europe.North America and Europe.

A sharp domain focus ensures that IT and ITeS delivery always places A sharp domain focus ensures that IT and ITeS delivery always places business needs ahead of technology. The technology delivery teams business needs ahead of technology. The technology delivery teams leverage the domain knowledge to engineer business solutions, using leverage the domain knowledge to engineer business solutions, using CMM Level 5 processes for offshore service delivery.CMM Level 5 processes for offshore service delivery.

OTHERSOTHERS

ITC's International Business Division (IBD) is the ITC's International Business Division (IBD) is the country's second largest exporter of agri-country's second largest exporter of agri-products. ITC exports Feed Ingredients products. ITC exports Feed Ingredients (Soyameal), Foodgrains (Rice, Wheat, Pulses), (Soyameal), Foodgrains (Rice, Wheat, Pulses), Coffee & Spices, Edible Nuts, Marine Products, Coffee & Spices, Edible Nuts, Marine Products, and Processed Fruits. and Processed Fruits.

The e-Choupal model of ITC has been very The e-Choupal model of ITC has been very effective in tackling the challenges posed by the effective in tackling the challenges posed by the unique features of Indian agriculture, unique features of Indian agriculture, characterised by fragmented farms, weak characterised by fragmented farms, weak infrastructure and the involvement of numerous infrastructure and the involvement of numerous intermediaries, among others. ITC's e-Choupal intermediaries, among others. ITC's e-Choupal won the Stockholm Challenge 2006 award is for won the Stockholm Challenge 2006 award is for using information technology for the economic using information technology for the economic development of rural communities. development of rural communities.

CONCLUSIONCONCLUSION

1.1. ITC being one of the most innovative companies ITC being one of the most innovative companies present in the market right now with its strong present in the market right now with its strong presence in every sector is targeting in both cigarette presence in every sector is targeting in both cigarette and its non-cigarette business, is moving at a very and its non-cigarette business, is moving at a very fast pace and we think it is one of the best runned fast pace and we think it is one of the best runned organizations.organizations.

2.2. Marketing strategies implemented by ITC are really Marketing strategies implemented by ITC are really appreciable ,ITC didn’t left chance to exploit the appreciable ,ITC didn’t left chance to exploit the market scenario in this time of competition.market scenario in this time of competition.

3.3. According to the market researches and contribution According to the market researches and contribution to social environment .ITC has a very bright future to social environment .ITC has a very bright future ahead ,nodoubt it’ll be among the biggest enterprises ahead ,nodoubt it’ll be among the biggest enterprises from India representing it on global market.from India representing it on global market.