...Revenue from non-Cigarette segments Leading Fast Moving Consumer Goods (FMCG) marketer in India - Established several world-class brands in the last 10 years 10 year Value addition ~ Rs. 2.2 lakh crore (US$ 43 billion) with ~75% accruing to the Exchequer - Among the top tax payers in the country (Private sector) - Excise payments represent ~7% of Government of India’s total Excise collection ITC & its Group Companies employ over 31,000 people directly; supports livelihoods of ~6 million people A global exemplar in sustainable business practices - Only Company in the world of comparable dimensions to have achieved the global environmental distinction of being Carbon positive (10th Year), Water positive (13th Year) and Solid waste recycling positive (8th Year) 2 ITC Performance Track Record Rs. cr. 1995-96 2014-15 19-yr Cagr 95-96 to 14-15 Gross Revenue 5,115 49,965 12.7% Net Revenue 2,536 36,083 15.0% PBT 452 13,998 19.8% PAT 261 9,608 20.9% Capital Employed 1,886 32,420 16.1% ROCE % 28.4 43.4 Market Capitalisation 5,571 2,60,865 Total Shareholder Returns % 22.4% 24.3% Market Cap and TSR based on FY-end prices for FY96 and FY15 Consistent performance across time horizons Sensex (CAGR 95-96 to 14-15) : 11.8% 3 ITC’s ranking Amongst all listed private sector cos. PBT: No. 7 PAT: No. 7 Market Capitalisation: No. 3 Note: Based on Published...
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...TSR for '11-12 based on BSE price on 30 Mar 2012 Sensex (CAGR 95-96 to 11/12) : 10.8% 2 ITC’s ranking Amongst all listed private sector cos. PBT: No. 5 PAT: No. 6 Market Capitalisation: No. 3 3 ITC Consistently in the Market Cap. Top League Mar-96 Rank July-12 * Rank Tata Motors 1 Hindustan Unilever 2 9 Reliance Industries Tata Steel 3 4 1 Bajaj Holdings & Invst. 5 Larsen & Toubro Hindalco Industries 6 7 ITC 8 Grasim Industries 9 HDFC 10 3 8 New entrants in the list: IT, Financial Services & Telecom * As on 19th July 2012 4 ITC ranked 6th amongst global consumer goods companies in sustainable value creation during 2005-09 (Boston Consulting) 5 One of India’s most valuable and admired companies Ø One of the foremost in the private sector in terms of : l Sustained value creation (BT-Stern Stewart survey) l Operating profits l Cash Profits Ø Only Indian FMCG Company to feature in Forbes 2000 List l A comprehensive ranking of world’s biggest companies measured by a composite of sales, profits, assets & market value 6 Awards & Accolades (1) • ITC was awarded the prestigious ‘World Business and Development award 2012’ for its transformational rural initiatives in social and farm forestry programmes in India. It was the only Indian company to...
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...------------------------------------------------- Cigarettes | | | | | | Armenteros Handrolled Cigars | | | ITC is the market leader in cigarettes in India. With its wide range of invaluable brands, it has a leadership position in every segment of the market. It's highly popular portfolio of brands includesInsignia, India Kings, Lucky Strike, Classic, Gold Flake, Navy Cut, Players, Scissors, Capstan, Berkeley, Bristol and Flake, Silk Cut and Duke. The Company has been able to build on its leadership position because of its single minded focus on value creation for the consumer through significant investments in product design, innovation, manufacturing technology, quality, marketing and distribution. All initiatives are therefore worked upon with the intent to fortify market standing in the long term. This in turns aids in designing products which are contemporary and relevant to the changing attitudes and evolving socio economic profile of the country. This strategic focus on the consumer has paid ITC handsome dividends. ITC's pursuit of international competitiveness is reflected in its initiatives in the overseas markets. In the extremely competitive US market, ITC offers high-quality, value-priced cigarettes and Roll-your-own solutions. In West Asia, ITC has become a key player in the GCC markets through growing volumes of its brands. ITC's cigarettes are produced in its state-of-the-art factories at Bengaluru, Munger, Saharanpur, Kolkata and Pune...
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...3/17/2016 3/17/2016 ITC LIMITED: INDIA FIRST Case analysis ITC LIMITED: INDIA FIRST Case analysis Kabita khanal Roll no. 14206 MBA 4th term South Asian Institute of Management Kabita khanal Roll no. 14206 MBA 4th term South Asian Institute of Management ITC LIMITED: INDIA FIRST Introduction: ITC Ltd (ITC) was incorporated on August 24, 1910, under the name Imperial Tobacco Company of India Ltd. to make cigarettes and tobacco. It was started as the consolidation of British Americal Tobacco (BAT) which was an umbrella organization. The manufacturing in India started in 1907 but later in 1912, local sourcing and processing of tobacco was started. Followed by manufacturing of tobacco, packaging and printing requirements were met by setting up a packaging and printing facility in 1925. Gradually, ITC has diversified its presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products. The company is rapidly gaining market share even in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery. ITC is largest Agri products exporter from India. Latest initiatives taken by company has paid well for its growth, Company diversified into clothes retailing, agri products, Body and Hair care segments...
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...Corporate Social Responsibility in Agriculture sector By Mrs.Vanishree.V,MBA Abstract: As rightly said by Amartya Sen, intervention is required for the equitable distribution of wealth and improving the quality of life of the society and it must come voluntarily from the corporate houses and their top management. Thus, for a fast growing economy like India which is striding fast to become a developed country, the participation of the business houses in strengthening the economy has become indispensable.CSR is not new to India, even before CSR became a popular cause, it did exist in India. Companies like TATA and BIRLA practiced it in the form of social initiatives. In the light of the above, the paper attempts to explore the CSR initiatives and best practices of various selected Indian companies in Agricultural sector. Objective: The objective of this paper is to examine the nature and extent of corporate social responsibility (CSR) initiatives under taken by selected Indian companies in Agricultural sector and to study its relevance in business. Research Methodology: The research paper is an attempt of exploratory research, based on the secondary data sourced from websites, journals, magazines, articles and media reports. To study the above objectives 8 agro based companies were selected based on the CSR Report in their website. Limitations The main limitation of this paper is that this study has only focused on a small sample of Indian companies...
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...Role & Functions of Exim Bank Trivandrum, July 17, 2009 Roshanara Sardar Manager Exim Bank, Chennai 2 Exim Bank of India SET UP BY AN ACT OF PARLIAMENT IN SEPTEMBER 1981 WHOLLY OWNED BY GOVERNMENT OF INDIA COMMENCED OPERATIONS IN MARCH 1982 APEX FINANCIAL INSTITUTION OBJECTIVES: “… for providing financial assistance to exporters and importers, and for functioning as the principal financial institution for coordinating the working of institutions engaged in financing export and import of goods and services with a view to promoting the country’s international trade…” “… shall act on business principles with due regard to public interest” (Export-Import Bank of India Act, 1981) 3 Evolving Vision Product Centric Approach Export Credits 1982-85 Export Capability Creation 1986-94 “To develop commercially viable relationships with a target set of externally oriented companies by offering them a comprehensive range of products and services, aimed at enhancing their internationalisation efforts” Comprehensive Range of Customer Centric Products And Services Approach – All Stages of the Export Business Cycle – Exim Bank TODAY Leadership and Expertise in India’s Export Finance 4 Organisation BOARD OF DIRECTORS (16)* Chairman and Managing Director 5 Directors: Government of India 3 Directors: Scheduled Banks 4 Directors : Professionals/Experts 1 Director nominated by RBI 1 Director nominated by IDBI 1 Director nominated by...
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...Kanjilal, Final Year Student, PGDIM, NITIE Utsav Ghosh, Final Year Student, PGDIM, NITIE Dr. Ranjan Chaudhuri, Assistant Professor (Marketing Area), NITIE Study based approach coupled with primary research has been done to arrive at the conclusions. An analysis of the different prevalent formats has been done and based on the findings a framework has been proposed for the business of retail in rural India. Literature review:-‐ Considerable amount of research has gone into defining the key influencers of experiential retail and mechanisms for consumer engagement for business development. Verhoef et al. (2009) recognize the importance of past customer experiences, store environments, service interfaces, and store brands on future experiences. Research on converting a disinterested consumer into sales shows that involved customers likely focus on key product attributes rather than peripheral cues like price promotions ...
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...On 24 August 1910, ITC was corporated under the name Imperial Tobacco Company of India Limited. At 1970, when the Company's ownership progressively Indianised, the Company's name was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited and in 1974 it turned to I.T.C Limited. In the recognisation of the company there was a wide range of business establishing in the market. The Company emphasis on the Fast Moving Consumer Goods which comprises of the Personal care products, Foods, Cigarettes and Cigars, Branded Apparel, Education and Stationery Products, Incense Sticks and Safety Matches, Paperboards & Specialty Papers, Packaging, Hotels , Agri-Business and Information Technology. ‘ITC’ is today no longer an acronym or an initialised form.It stands rechristened 'ITC Limited,' The first six decades of...
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...h ed b y : S o u th As i a n Aca d e m i c Re s ea r ch J o u rn a l s SAJMMR: South Asian Journal of Marketing & Management Research RURAL RETAIL REVOLUTION: THE RISE OF RURAL MARKET ASHISH GUPTA* *Research Scholar, School of management Studies, Motilal Nehru National Institute of Technology, Allahabad, India. ABSTRACT “The future lies with those companies who see the poor as their customers." C. K. Prahalad Strategic Guru Rural India is characterized by low per capita income, low productivity, low literacy and low rate of industrialization along with absence of basic amenities. The unprivileged class is set back by a lack of educational opportunities that could empower them to confidently pursue economic progress and overcome the debilitating effects of low literacy and rigid social hierarchies. The Indian rural retail opportunity is currently estimated to be in excess of Rs. 1400 billion (approximately US$34 billion). The figure is likely to touch Rs. 1800 billion (approximately US$ 43 billion) in 2010 and go up to Rs. 2400 billion (approximately US$ 58 billion) by 2015, according to CII - YES BANK Study on the Rural Retail Sector15. India’s rural markets are growing at double the rate of urban markets. The retail revolution is going to act as a catalyst. So, the new concept that is hitting the market today is the "Rural Retailing". KEYWORDS: Rural India, Rural retail, rural market, Retail revolution, Kirana stores. ______________________________________________________________________________...
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...growth stage with a market share of 16% in the branded snacks food category, it has been successful to a large extent in creating the required Brand recall for the category INDIAN SNACK INDUSTRY: Snacks are a part of Consumer Convenience/ Packaged Foods segment. Snack is describes as a small quantity of food eaten between meals or in place of a meal. Snack food generally comprises bakery products, namkeen, ready-to-eat mixes, chips and other light processed foods. According to Ministry of food processing, the snack food industry is worth Rs 100 billion in value and over 4,00,000 tonnes in terms of volume. Though very large and diverse, the snacks industry is dominated by the unorganized sector. According to a survey almost 1,000 snacks items and 300 types of savouries are sold across India. The branded snacks are sold at least 25% higher than the unbranded products. Though there is no particular time for snacks, normally they are consumed at teatime. There is large no. of varieties with specialities from all regions, which have gained national acceptance. The industry has been growing around 10% for the last three years, while the branded segment is growing around 25% per annum to stand at Rs.6000-Rs.6,500 crore, due to various reasons like Multiplex culture, snacking at home while watching T.V, pubs and bars. In the branded snacks market, Frito Lay commands a share of 45%, followed by Haldiram’s at 27% and ITC at 16%. The rest is divided between a handful of new entrants...
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...CAN INDIA BE THE FOOD BASKET FOR THE WORLD? N.VISWANADHAM Indian School of Business Hyderabad-500032 n.viswanadham@gmail.com Abstract India can become the food supplier of the world. It has the cultivable land, all the seasons for production of all varieties of fruits and vegetables, an agribusiness system that works although it needs to be vastly improved. The single most important problem facing the Indian agricultural industry is the highly inefficient supply chain. Because of lack of cold chain infrastructure and also a food processing industry about 20 per cent of all foods produced in India (Rs. 500 b) are wasted. By building an efficient and effective supply chain using state of the art techniques it is possible to serve the population with value added food while simultaneously ensuring remunerative prices to the farmers. The surplus of cereals, fruits, vegetables, milk, fish, meat and poultry can be processed as value added food products and marketed aggressively both locally and internationally. Investments in cold chain infrastructure, applied research in post harvest technologies, installation of food processing plants in various sectors and development of food retailing sector are mandatory for achieving gains in this sector. Strategic growth plans for achieving both national and international competitiveness of the food industry are essential. 1. OUTLINE OF THE PAPER In this paper we identify emerging opportunities in the food and cold chain...
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...new generation private sector Bank. Present since 1930s DCB is the only co-operative bank in India to have been converted into a private sector commercial bank in 1995. * Strong presence in Andhra Pradesh, Gujarat and Maharashtra resulting in sticky customer deposits from traditional customers. New branch expansions in Madhya Pradesh, Odisha, Punjab Rajasthan. * Distribution network of 130 branches across 80 locations and 238 ATMs Comprehensive product range & scalable infrastructure : * Business model focussed on achieving a balance between Micro SME, SME, Retail Mortgages, Commercial vehicle, Gold, Loans and Mid corporate and Agri inclusive Banking * Comprehensive range of Banking products across all businesses * Modern systems and infrastructure to support growth – Finacle, FinnOne, CMS, Internet and Mobile Banking Focus on building Retail Deposits Retail Deposit franchise: * Continued focus on building Retail Deposits * CASA on 25% and CRAR of 13.71 % under Basel III Steady improvement in credit ratings: * Crisil rating has re-affirmed its rating A-/Stable for long term and A1+ for Certificate of Deposits and Short term Fixed Deposit Programme. * Brickwork Ratings: BWR A- Stable Strong Promoter: * DCB’s promoter, Aga Khan Fund for Economic Development(AKFED) is present in 16 countries employing over 30,000 people * Promoter group holds 18.45% stake in DCB Pedigreed board and experienced management team: * Nasser Munjee...
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...------------------------------------------------- History and Evolution | ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company of India Limited. As the Company's ownership progressively Indianised, the name of the Company was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. In recognition of the Company's multi-business portfolio encompassing a wide range of businesses - Cigarettes & Tobacco, Hotels, Information Technology, Packaging, Paperboards & Specialty Papers, Agri-business, Foods, Lifestyle Retailing, Education & Stationery and Personal Care - the full stops in the Company's name were removed effective September 18, 2001. The Company now stands rechristened 'ITC Limited'. The Company’s beginnings were humble. A leased office on Radha Bazar Lane, Kolkata, was the centre of the Company's existence. The Company celebrated its 16th birthday on August 24, 1926, by purchasing the plot of land situated at 37, Chowringhee, (now renamed J.L. Nehru Road) Kolkata, for the sum of Rs 310,000. This decision of the Company was historic in more ways than one. It was to mark the beginning of a long and eventful journey into India's future. The Company's headquarter building, 'Virginia House', which came up on that plot of land two years later, would go on to become one of Kolkata's most venerated landmarks. Though the first six decades of the Company's existence...
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...Indian Institute of Management, Lucknow ITC Ltd: A Strategic Analysis Submitted to: Prof. Arun K Jain In partial fulfillment of the requirements of the course Strategic Management I Submitted by Saurav Goswami (ABM08012) Anuj Saraf (PGP27204) Kaushal Mathur (PGP27219) Sudhanshu Chawla (PGP27255) Section “D” Group 1 Letter of Transmission TO: Prof. Arun K. Jain, Strategy Group Indian Institute of Management, Lucknow FROM: Group 1, Section D Strategic Management Class DATE: March 23, 2012 SUBJECT: Strategic Analysis of ITC Ltd. Dear Sir, You had entrusted us with a project to analyze the strategy of any company of our choice using the frameworks given in the prescribed textbook. We chose ITC Ltd. for this project as it is one of India’s oldest and most diversified companies. This report begins with analyzing the strategic direction of the company which emanates from its vision & mission statements. It then looks at the decisions that the company has taken to achieve its vision by analyzing the environment it operates, the value chain and the core competencies that it has developed over the years and the key factors instrumental in its success. We end by commenting on its future prospects based on our analysis. We are grateful to you for providing us this opportunity to learn the strategic issues in contemporary businesses and giving us the necessary guidance in completing the project. We would also like to thank the entire...
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...TERM PAPER ADVANCED FINANCIAL MANAGEMENT on "ITC DIVIDEND POLICY” Submitted in the partial fulfillment of the requirements for III Semester Master of Business Administration Submitted By: PRIYANNA MARTIS (1PT12MBA57) III Semester, MBA “FINANCE” Submitted to: Prof. G.V.M SHARMA MBA DEPARTMENT INTRODUCTION ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company of India Limited. As the Company's ownership progressively Indianised, the name of the Company was changed from Imperial Tobacco Company of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. In recognition of the Company's multi-business portfolio encompassing a wide range of businesses - Fast Moving Consumer Goods comprising Foods, Personal Care, Cigarettes and Cigars, Branded Apparel, Education and Stationery Products, Incense Sticks and Safety Matches, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business and Information Technology - the full stops in the Company's name were removed effective September 18, 2001. The Company now stands rechristened 'ITC Limited’, where ‘ITC’ is today no longer an acronym or an initialized form. THE JOURNEY...
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