Unilever in India Case
Problem Definition:
As a massive provider of consumer goods in India, Hindustan Lever Limited (HLL), is attempting to penetrate the rural markets where there is a massive opportunity for growth. HLL’s current operating sectors are becoming increasingly competitive and crowded. Their best opportunities now lie in developing new markets and rising to the top of that market. They are attempting to do this with a program for developing entrepreneurs, named “Shaktis.” Met with initial success the program now needs to grow without increasing costs.
Situational Analysis
-----External Analysis
• They have penetrated the deepest into the rural markets at around 16%
o Competitors are beginning to enter market but are well behind
• Also compete with local retailers
• One Shakti for every for every 5 villages, large room for growth
• Government barriers, different for every region
• Language barriers, many different dialects
• Compete across a large variety of product lines (HLL),
o In contrast Have smaller product variety (Shaktis)
• Very rural Area
o Bad infrastructure
o Differing social norms with relation to Women and their role in society
• Micro Credit
o Different based on location
-----Internal Analysis
• HHL
o Need to develop Shaktis market
• Shaktis
o Higher turnover of entrepreneurs in last year of data,
o Need to create high ...