2. ABOUT THE COMPANY
• Amul ( Anand Milk Union Ltd.), formed in 1946, is a dairy co-
operative movement in India.
• It is managed by the Gujarat Co-operative Milk Marketing
Federation Ltd. (GCMMF).
• It begun when milk became a symbol of protest.
• Jointly owned by 3.6 million milk producers in Gujarat.
• Amul was spearheaded by Tribhuvandas Patel under the guidance
of Sardar Patel.
• Dr. Verghese Kurien, former President of the GCMMF- the man
behind the success of Amul.
3.
4. PRODUCT
Range
Amul Bread Spreads Range
Amul Beverage Range / Milk Drinks
Amul Powder Milk Range
Amul PRO
Amul Fresh Milk Range
Amul Cheese Range
Amul Cooking Range
Amul Dahi Range
Amul Mithai / Desserts Range
Amul Health Drink
Amul Chocolates
Amul Icecreams
10. Customer Segmentation
Kids
*Amul Kool Chocolate
Milk
*Amul Energy Drink
*Amul Kool Milk Shake
Women
*Amul calei+
Youth
*Utterly Delicious Pizza
*Amul Emmental Cheese
*Amul Cheese Spread
Calorie Conscious
*Amul Lite
*Sagar Skimmed Milk
*Amul Life Slim and Trim
Milk
Health Conscious
*Nutramul
*Amul Shakti Health Milk
11. Geographic Demographic Psychographic Behavioural
Area
• Amul Kool
Chocolate Milk
• Amul Energy
Drink
• Amul Kool Milk
Shake
Kids
• Amul Kool
Chocolate Milk
• Amul Energy
Drink
• Amul Kool Milk
Shake
Women
• Amul calei+
Youth
• Utterly Delicious
Pizza
• Amul Emmental C
heese
• Amul Cheese
Spread
Calorie Conscious
• Amul Lite
• Sagar Skimmed
Milk
• Amul Life Slim
and Trim Milk
Health Conscious
• Nutramul
• Amul Shakti
Health Milk
Occasion
Amul Shrikhand
Amul Icecream
Amul Dark Choclate
Amul Kool Milk
Shake
Amul Choco Mini
Amul Rejoice
12. Company shares in terms of retail sales value (in%)
Amul
Mother Diary
Britania
Ruchi Soya
Parle Products
Mondelez India
Nestle India
Karnataka Co-op Milk Producers
Federation
ITC
7.2
(Source:- Business Standards of 14 April 2016)
3.7
3.6
3.5
3.1
3
2.9
2.8
2.7
16. Competitor
Rivalry
• Large no. of
competitors
• Local
Dudhwala as
well
Threat of new Entrants(Low)
• Requires high capital investment and
difficult to achieve economics of sale.
• Complex Distribution channel which
create barrier for new entrant
• Customer Loyalty
Threat of Substitutes(Medium)
• There are many drinking substitutes of
milk but Indian people consider milk
as very important element of daily
diet.
• So dairy industry enjoys high
profitability.
Bargaining power of buyers(High)
• Presence of multiple competitors
as well as local dudhwala.
• Home delivery of milk products
by local dudhwala increase the
competition.
Bargaining power of supplier(Low)
• Mainly Suppliers are rural milk
producers and thus there bargaining
power is very low
Porter’s five Forces Model
17. MACRO Environmental FACTORS
• AFFECTING SECTOR
The dairy industry is a sub-set of the agricultural industry and deals with
the production, consumption and sale of milk-based products, such as
milk, butter, cheese, cream and ice-cream. There are many factors which
affect the running of the dairy industry, and a PESTLE analysis of the
industry is as follows:
18. 1. Purchasing power in
the economy
2. Low cost of
production and
economies of large
scale
Economical
1. Farmer’s decision
to keep livestock
2. 100% FDI allowed
3. Import laws as
well as foreign
relations
4. Regulations of
import and export
country
1. Lifestyle
2. Culture
3. Demographic
4. Region based
Social
1. Innovation in cold
chain technology
2. Extending the
reach of the network
3. Adoption and
implementation of
SAP and ERP
1. Laws related
to advertising
and labelling
2. Laws imposed
by regulatory
body DADF
Legal
1. Climate
2. Waste
management
3. Disposable
packaging
Political
Technological
Environmental
19. • AFFECTING COMPANY – AMUL
POLITICAL
• Tussle for the chairmanship
• No excise duty
Economical
• Insulated Indian farmers from all the turbulence
in global dairy trade
• Started reverse migration from cities to villages
Social
• Deathblow to caste system
• Provided women an opportunity to have a voice
in the “home economy”
20. Technological
• GIS (Geographical Information System)
• Variety of products through internet
Environmental
• Green initiatives
• Supply of cattle-feed to milk producers
Legal
• Changing tax and economic policies
• Safety and advertising laws
21. Affecting Product
POLITICAL
Government Rules
and Regulations
ECONOMICAL
Cost of Raw Material
SOCIAL
Nutritional drink
Ethnic based flavors
TECHNOLOGICAL
Wide range in less
time period
AMUL
KOOL