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Vora and Company

A detailed case study & analysis


1.What are the major problems faced by Vora And
Company?

2.If you are appointed as a consultant by Mr. Vora, how

would you proceed? What kind of analysis would you


Problems of do? What inferences would you try to draw from your
the Case
analysis? How would you use your analysis and

inferences to come out with a plan of

recommendation?
1.There was no proper research done before entering the business
in 1959.
2.Vora and Co. had a competitor called Ganesh Mills which
Major manufactured Quick cooking white oats.
Problems 3.There was no proper communication between Vora & Co. and the
Selling agents.
faced by Vora
4.Inspite of high demand in South India for Oats, the sales
and Company? decreased because of unexperienced agents.
5.There was a problem with product packaging, Pricing and
Advertising.
Vora & Co. would proceed further by doing detailed market
1. Market
research on Consumer Behaviour, Buying preferences, Marketing
Research Environment.
Vora & Co. have to compete with external environment in order to
2. Competitor
capture the market share, by increasing the product quality,
(Ganesh Mills) advertising, changing the price and packaging.
Vora & Co. will be communicating personally by organizing

3. meeting with agents of North & South India. Rather than only

Communication communicating by mails.

Gap This would increase the effectiveness of the agents towards


selling.
The agents in South India are not committed towards the sales,
which resulted in decrease in the sales though the demand was
4. high.
Commitment
by agents
Vora & Co. will be appointing experienced agents for the entire
distribution in South India to push the sales.
Vora & Co. will be changing the product packaging, which is now
similar to that of competitor’s product.

The picture of a young smiling girl will be replaced by a housewife,


as this product is appealing to housewives.

5. Product The color scheme will be changed from Green and red to Blue and

Packaging cream.

The brand name “Blossom” will be printed on the front side of the
tin.

The tagline “Quick Cooking White Oats” will be highlighted.


As Vora & Co. is appointing an experienced Selling Agent in South
India Vora & Co. is increasing the commission to 11% from 10%.
6. Pricing
This increased the rate of the product to Rs. 88 and profit by
Rs. 1.72.
Cost per case Revised rate (Rs.) Old Rate(Rs.)
Material 24.12 24.12
Packaging 21.6 21.6
Other packing material 4 4
Direct Labour 5.4 5.4
Railway freight 4.8 4.8
Total Cost per case 59.92 59.92
6. Pricing 500 cases per month (Direct) 29960 29960
Overheads per month (Indirect) 1015 1015
Total Cost per month 30975 30975
Sales (88*500 cases), (85*500 cases) 44000.00 42500.00
Commission & Trade Discount
(21 %,20%) 9240.00 8500.00
Sales less commssion 34760.00 34000.00
Profit for 500 Cases 3785.00 3025.00
Profit for 1 case 7.57 6.05
As Vora & Co. have improved the product to make customers
aware, Vora & Co. will be advertising the product in radio,
newspaper etc.
7. Advertising
Vora & Co. will be decreasing the marketing myopia and will be
concentrating more on customer demand and customer
feedback.
As Vora & Co. have improved the product to make customers
aware, Vora & Co. will be advertising the product in radio,
newspaper etc.

Vora & Co. would proceed further by doing detailed market


research on Consumer Behaviour, Buying preferences, Marketing
Conclusion Environment.

This increased the rate of the product to Rs. 88 and profit by


Rs. 1.72.
THANK YOU

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