ANALYSIS OF CIGARETTE
INDUSTRY IN INDIA
Presented by Ajeet Singh
Class-MBA(marketing)
Evolution
•

The oldest cigarette manufacturing firm was established around 1887

•

by 1930 the industry had spread acros...
INDIAN CIGARETTE INDUSTRY

•India is the third largest producer of tobacco in the world.
•Tobacco occupies a prime place i...
Market share
INDUSTRY ATTRACTIVENESS


Per capita income is increasing



High education level



After lot of taxes growing rate of...
EXTERNAL ENVIRONMENT
Political-Legal environment

Social-Cultural environment
Demographic environment
Income

Region
Educa...
FIVE FORCES ANALYSIS


Entry Barriers



Supplier Bargaining Power



Buyer's Bargaining Power



Industry Rivalry


...
SWOT on the INDUSTRY
Strength
1.

one the largest manufacturers of tobacco in terms of production

2.

traditional item of...
SWOT (CONTD…)
Opportunities
1.

significant opportunity for cigarette industry to extent and
consolidate its position in i...
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Analysis of cigarette industry in india

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Analysis of cigarette industry in india

  1. 1. ANALYSIS OF CIGARETTE INDUSTRY IN INDIA Presented by Ajeet Singh Class-MBA(marketing)
  2. 2. Evolution • The oldest cigarette manufacturing firm was established around 1887 • by 1930 the industry had spread across the country • Initially under British East India Company and there after British Raj • First private company to set up was Imperial Tobacco now ITC ltd.
  3. 3. INDIAN CIGARETTE INDUSTRY •India is the third largest producer of tobacco in the world. •Tobacco occupies a prime place in the Indian economy on account of its considerable contribution to the agricultural, industrial and export sectors. •India is one of the leading Tobacco exporting countries in the world
  4. 4. Market share
  5. 5. INDUSTRY ATTRACTIVENESS  Per capita income is increasing  High education level  After lot of taxes growing rate of 6.6%  Potential rural market
  6. 6. EXTERNAL ENVIRONMENT Political-Legal environment Social-Cultural environment Demographic environment Income Region Education
  7. 7. FIVE FORCES ANALYSIS  Entry Barriers  Supplier Bargaining Power  Buyer's Bargaining Power  Industry Rivalry  Substitutes
  8. 8. SWOT on the INDUSTRY Strength 1. one the largest manufacturers of tobacco in terms of production 2. traditional item of India's foreign trade 3. leading Tobacco exporting countries in the world Weakness 1. burden of Tobacco tax 2. Prohibition of Direct advertising
  9. 9. SWOT (CONTD…) Opportunities 1. significant opportunity for cigarette industry to extent and consolidate its position in intentional market due to some recent trend like withdrawal/reduction of agricultural subsidy and escalating cost in the traditional cigarette exporting countries. Threats 1. Various N.G.O’s and Forums against the use and consumption of tobacco 2. Smuggled foreign cigarettes
  10. 10. Thank you
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