4 TRIK CARA MENGGUGURKAN JANIN ATAU ABORSI KANDUNGAN
Sundaram soap case study
1. THE SUNDARAM SOAP
COMPANY CASE
PRESENTED BY :-
AJITA RAJPOOT
CHAHAT JAIN
ISHITA JAIN
PRESENTED TO :-
PROF. PRAGYA KESHARI
2. INTRODUCTION
The case is about Sundaram Soap Company established in 1935.
One of the leading manufacturer of soap and other related washing products.
Companies head office and factory were situated in Bangalore.
Branch office established in 1972 in Lucknow.
The company distributed its product in Lucknow through stockists and wholesalers to
about 6000 retailers.
Stockists dealt exclusively in four different area of market.
Stockists were authorized by the company to sell-
1. Wholesaler
2. Retailer
Wholesaler received 3% commission on placement of order of minimum Rs. 500.
4. STRENGTH
Leading manufacturer of soap and other washing products.
High reputation of company in the market.
Established a nation-wide distribution organization.
Better services given to dealer.
Motivation to channel members.
Good relations with channel members.
High growth in Lucknow branch.
Good distribution coverage in rural area as well.
5. WEAKNESS
Wholesalers also distributed competitors product.
Improper distribution channels.
Complaints from distribution channel and customers.
Different prices of same product in the market.
Product sold at discounted price without company’s knowledge.
Competition among wholesalers lead to undercutting.
Wholesaler choose other companies items for investment.
6. OPPORTUNITIES
Diversify into further FMCG products.
More promotional offers for customers.
Moving into new market segment that offer improved profits.
7. THREATS
Unsatisfied customers due to indifferent prices.
Threat of competition.
Threat of ruining company’s reputation.
8. QUESTIONS
Q1. What are basic deficiencies in the existing distribution system of the company?
Ans. The deficiencies in the existing distribution system of the company are as
follows:
Wholesalers also distributed other Companies products.
Different prices of same product in the market.
Product sold at discounted price without company’s knowledge.
There was keen competition among the company’s wholesalers, which led to
undercutting.
9. Some of the wholesalers sold their products to semi-wholesalers who had no
separate establishments of their own. There was a tendency among these
semi-wholesalers to evade sales tax on the products, which amounted to 4%
and to cut the prices.
Stockists and wholesalers both distributed company's product to retailers
that created confusion.
QUESTIONS
10. Q2. What are the strengths and weaknesses of the marketing mix of
the company?
Ans.
QUESTIONS
Price:
Different prices
Place:
Improper distribution channel.
Promotion:
No promotional benefits for customers and
users.
Product:
High production capacity.
Place:
Distribution in rural area as well.
Promotion:
Free promotional aids to channel members;
proper display of company’s product.
STRENGTH
WEAKNESS
11. Q3. What steps would you recommend to the company to overcome their distribution
problems, and why?
Ans.
Option 1 : To follow distribution channel as mentioned below:
Company
Stockist
Wholesaler
Retailer
End-user
QUESTIONS
12. Option 2 : Eliminate the stockist from the channel.
Because Wholesalers cannot be eliminated from the channel as they are
connected to retailers closely. As well they helped the Company to market its
product in rural areas as well.
Strict actions to be taken against ones who surpasses the Company's Terms and
Conditions.
Because this is the way they can have strict control over the channel
Observe competitors distribution Strategy. How they are operating? What
flaws exist in our strategy ?
Because you learn from competitors strategy and that’s the best way to find a
practical solution.
QUESTIONS
Editor's Notes
Established a nation wide distribution organisation by opening branch sales offices in all leading cities of the country.
Besides stockists company had appointed about 90 wholesalers.
Company provided stockists and wholesaler WITH PROMOTIONAL AIDS AS FREE advertisements, handbill facilities etc.
In 1990 the company sales in lucknow branch amounted to rs 15 lakh .