Businesscommunicationproject 100822121554-phpapp01

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Businesscommunicationproject 100822121554-phpapp01

  1. 1. Business Communication Project<br />A study of the feasibility of LED lamps in India<br />
  2. 2. Business Communication Project<br />Submitted to:<br />Prof. Sajith<br />By Group One<br /><ul><li>Gouri Shankar Das
  3. 3. SahilChanna
  4. 4. SheetalKoul
  5. 5. SouravBiswal
  6. 6. KandarpVaria
  7. 7. Rajput Bharat Singh
  8. 8. PratikMullick</li></li></ul><li>What is LED?<br />LED or Light Emitting Diode is a semiconductor diode emitting light at visible, infrared and ultraviolet wavelengths with very high brightness.<br />Red, Green and Blue LEDs.<br />
  9. 9. LED Usage in various fields<br />A bus with LED display board showing destination and stoppage.<br />
  10. 10. LED usage in various fields<br />A traffic light in Shanghai, China with LED lamps<br />
  11. 11. LED vs. Incandescent<br />A 5 watt LED produces approx. 18-22 lumens/watt.<br />LEDs can be very small, less than 2mm.<br />LEDs waste very little energy used.<br />A 60-100 watt incandescent bulb produces 17 lumens per watt.<br />The smallest lightbulb is around 2 inches in length.<br />Incandescent bulbs waste nearly 98% of its energy as heat.<br />
  12. 12. LED vs. Incandescent (contd)<br />LEDs have a long useful lifespan, estimated to be 35,000 hours of useful life.<br />LEDs fail by dimming over time.<br />LEDs are shock resistant, due to solid-state parts.<br />Incandescent bulbs have a relative lifespan of 1,500 hours.<br />Incandescent bulbs fail abruptly.<br />Incandescent bulbs are extremely fragile.<br />
  13. 13. Vision Statement of IllumiCorp.<br />Availability of cheap and reliable light source to rural areas with electrical connection.<br />Availability of light source to undeveloped urban areas, especially slums.<br />Reduce unaccounted light wastage from tampering of electricity sources.<br />Decrease usage of electricity through efficient use of electricity.<br />
  14. 14. Competition<br />Rural Areas<br />Kerosene Wick Lamps<br />Kerosene Hurricane Lamps<br />Incandescent Torches<br />Home Solar Systems<br />
  15. 15. Competition<br />Urban Areas<br />Incandescent Bulbs<br />Fluorescent Tube Lamps<br />Compact Fluorescent Lamps (CFL)<br />
  16. 16. Consumer Needs (Rural)<br />Brighter light with wider diffusion.<br />Lower daily expenditure.<br />Wind-proofing<br />Multi-user usability<br />LED lamps diffuse light evenly.<br />Kerosene lamp runs for 6 hrs per Rs. 10. LED runs for 50 hours.<br />LEDs are very rugged<br />The same light source is bright enough for 3 people.<br />
  17. 17. Consumer Needs (Urban)<br />Low power consumption.<br />Portability<br />Longer duration of usage.<br />Incandescent : LED ratio for power consumption is 1:98<br />LED lamps are portable, since they are lightweight and rugged.<br />1 LED lasts for 35,000 hours.<br />
  18. 18. Product<br />IllumiCorp’s LED lamp is designed for multi-use.<br />It is portable<br />It has 2 energy sources, both solar as well as AC Mains.<br />Contains a rechargeable battery.<br />Priced at Rs. 199/-<br />
  19. 19. Product (contd.)<br />Gives 4.2 hours of light on batteries.<br />Designed to be hung from a wall, a ceiling or kept on a bed.<br />
  20. 20. Target Customer<br />The availability of artificial light is dismal in the interior districts of quite a few states in India.<br />The product is targeted at the rural poor, in the pilot phase.<br />Data from Stanford Social Studies Report, June 2003<br />
  21. 21. Market Size and Trends<br />Data from Stanford Social Studies Report, June 2003<br />
  22. 22. Marketing Plan<br />Short Term Goals<br />Streamline the process of penetrating new markets.<br />Emphasize incentives for poor users, both rural and urban.<br />After-sales customer service<br />Establish good reputation with customers<br />
  23. 23. Marketing Plan<br />Long Term Goals<br />Retain market focus.<br />Accessible to even the poorest consumer.<br />Make customers feel as consumers and not charity recipients.<br />
  24. 24. Marketing Strategy<br />Stimulate demand, in form of cheap and robust technology.<br />Build positive brand recognition, especially over CFL Lamps.<br />Emphasize product quality rather than cheapness to overcome stereotype.<br />
  25. 25. Distribution<br />The supply chain should have minimum handovers.<br />Use of existing distribution channels.<br />IllumiCorp to act as purchasing and manufacturing channel with zero inventory costs.<br />
  26. 26. Organization Structure<br />
  27. 27. Organization Structure<br />Illumicorp HQ coordinates marketing activity at the national and regional level.<br />The HQ also coordinates with the factory for manufacturing, operations and resources, especially national and imported raw materials.<br />
  28. 28. Pricing<br />The product sells for Rs. 199<br />These prices, based on the retail price, includes a 10% margin to IllumiCorp, 10% margin to distributor and 15% margin to retailer.<br />
  29. 29. Production Cost per Unit<br />
  30. 30. Fixed Costs<br />
  31. 31. Break Even Calculation<br />Break Even Point is calculated as:<br />Here, the BEP stands at:<br />
  32. 32. Projected Cashflow<br />
  33. 33. Projected Sales<br />
  34. 34. Thank You…<br />

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