mehidpurwala strategy formulation
TRANSCRIPT
Strategy Formulation
Final presentation
Reliability Over Century
GROUP NO.3
Road Map• Introduction• SWOT & PEST Analysis• Core Competency• Five Competitive Forces• Creating Competitive Advantage• Matrix• Conclusion
Introduction• Mehidpurwala Pvt. Ltd. (est. 1885) at
Siyaganj Indore.
• Almost two generation passed away by serving this organization.
• Started by Lt. K. Mehidpurwala
• Son-Mr. BabuBhai Mehidpurwala (76)
• Daughter-in-law: Ms. Sakeena Mehidpurwala (72)
Interview to• Mr. Tanveer Khan
Manager. Services
What is SWOT analysis?
SWOT analysis is a strategic planning method used for 360 degree overview.
Strengths• Strong local known brand.
• The Mehidpurwala business model is unique in its construction and execution.
• Success has been driven from the price architecture offering value to the customer.
Cont’d• A degree of specialist knowledge.
• Provide assistance such as kitchen installations.
Weakness• Gaps in capabilities
• Low morale during off season
• Uncertain cash flow
• Weak MIS
Opportunities• Favorable demographic shifts
• Global influences
• Positive industry trends
• Low technology options availability
Cont’d• Developing niche target market
• Availability of reliable business partner
Threats• Economic downturn
• Demographic shifts
• New competitors e.g. Stellar
• Unexpected shifts in consumer tastes
Cont’d• Demanding new regulations
• New technology implementation
Balanced Score-Card
Financial“Expansion of business
Requires capital”
Learning & Growth
“Our past flaws learn usto serve better”
Vision andStrategy
Internal BusinessProcess
“To satisfy our customers,Which process we are
Following.”
Customer
“To achieve our vision,how should we appear
to our customers?”
What is PEST Analysis?
Consists of internal environment and external environment
Political Factors
Political factors are less imperative.
Economic Factors• Business Cycles
• Monsoon- Rainy season cause fall in sales.
Socio-Cultural Factors• Three different zones of Indore have their shops
• Distribution of Income- People of lower middle class not finding suitable places
• Mobility- accessible
• Purchasing power in Indore is increased
• Consumerism
• Advantage of Technology– In terms of Economies of Scale; more sales at low
prices– Transportation handling
• New Discoveries & Innovations in designs
Technological Factors
Core Competency
Customer Service is our prime motive, which sheds colors on others-Customized Products
Rivalry at present is Big Bazar
Stellar
Buyers bargain from small shops
Tele Shoppe has Rs.5000 of
convertible Sofa
Bargaining power of buyers of suppliers
Five Competitive Forces
Creating Competitive Advantage
• Create schemes for marriage gifts
• From low cost to high cost product can be obtained
• High switching cost to customer
Product Mix• In past they keep only furniture but as
the time proceeds they started selling many decorative goods.
BCG Matrix
Star- KitchenBoxes, wall decoration, pictures and frames,
Cash Cow- Basic Furniture
Dogs- Children's items:
mammals, birds, adjectives
?- Bookcase
Relative Market ShareHigh Low
Mar
ket G
row
th R
ate
Low
H
igh
Ansoff Matrix
MP- Basic Furniture
MD-Corporate Furniture
Di-?
PD- Affordable Kitchens, and other range of
products
ProductCurrent New
Mar
ket
New
C
urre
nt
Conclusion
Thank You-Manish Ramje