About Cement Industry

A Report on Associated Cement Companies Limited

Submitted To:

Prof. Mukund Mate.

Overview: Cement Industry

The cement industry is experiencing a boom on account of the overall growth of the Indian

economy. The demand for cement, being a derived demand, depends primarily on the

Submitted By:Ashutosh Surolia-

Chandan SukulGopal Krishna Das

Manish Kumar SinhaPartha Misra

Purnima SinhaRicha Misra

industrial activity, real estate business, construction activity, and investment in the

infrastructure sector. India is experiencing growth on all these fronts and hence the cement

market is flourishing like never before. Indian cement industry is globally competitive

because the industry has witnessed healthy trends such as cost control and continuous

technology up gradation. Global rating agency, Fitch Ratings, has commented that cement

demand in India is expected to grow at 10% annually in the medium term buoyed by

housing, infrastructure and corporate capital expenditures.

Cement Industry originated in India when the first plant commenced production in 1914 in

Porbandar, Gujarat. The industry has since been growing at a steady pace, but in the initial

stage, particularly during the period before Independence, the growth had been very slow.

Since indigenous production was not sufficient to meet the entire domestic demand, the

Government had to control its price and distribution statutorily. Large quantities of cement

had to be imported for meeting the deficit. The industry was partially decontrolled in 1982

and this gave impetus to its pace of growth. Installed capacity more than doubled during the

period 1980-90. It increased from 27 million tonnes in 1980-81 to 62 million tonnes in 1989-

90.

Encouraged by the positive response of the industry to the policy liberalization in the

cement industry, Government decontrolled the industry fully on 1 st March 1989. With the

Industrial Policy Statement made by the Government in 1991, the cement industry stands

delicensed. It has also been listed as a priority industry in Schedule III of the Industry Policy

Statement making it eligible for automatic approval for foreign investment up to 51 per cent

and also for technical collaboration on normal terms of payment of royalty and lump sum

know-how fee.

Indian cement industry has thus been one of the pioneering industries in introducing policy

reforms. After the liberalization measures and globalization of Indian economy, the cement

industry has been growing rapidly at an average rate of 8 per cent except for a short period

in 1991-92 when the industry faced demand recession. The country is now the second

largest producer of cement in the world. India has also started exporting large quantities of

cement and clinker.

Company Overview

ACC was formed in 1936 when ten existing cement companies came together under one

umbrella in a historic merger - the country's first notable merger at a time when the term

mergers and acquisitions was not even coined. The history of ACC spans a wide canvas

beginning with the lonely struggle of its pioneer F E Dinshaw and other Indian entrepreneurs

like him who founded the Indian cement industry. Their efforts to face competition for

survival in a small but aggressive market mingled with the stirring of a country's nationalist

pride that touched all walks of life - including trade, commerce and business.

The first success came in a move towards cooperation in the country's young cement

industry and culminated in the historic merger of ten companies to form a cement giant.

These companies belonged to four prominent business groups - Tatas, Khataus, Killick Nixon

and F E Dinshaw groups. ACC was formally established on August 1, 1936. Sadly, F E

Dinshaw, the man recognized as the founder of ACC, died in January 1936; just months

before his dream could be realized.

F. E. Dinshaw – the founder of

ACC

ACC stands out as the most unique and successful merger in Indian business history, in

which the distinct identities of the constituent companies were melded into a new cohesive

organization - one that has survived and retained its position of leadership in industry. In a

sense, the formation of ACC represents a quest for the synergy of good business practices,

values and shared objectives. The use of the plural in ACC's original name, The Associated

Cement Companies Limited, itself indicated the company's origins from a merger. Many

years later, some stockbrokers in the country's leading stock exchanges continued to refer

to this company simply as 'The Merger'.

KEY MILESTONES

2004 IDCOL Cement Limited is renamed as Bargarh Cement Limited (BCL).

2004 ACC raises US $ 100 million abroad through Foreign Currency Convertible

Bonds (FCCB’s) for US$ 60 million and Global Depository Shares (GDS’s)

for US $ 40 million. Both offerings are listed on the London Stock

Exchange.

2004 ACC named as a Consumer Superbrand by the Superbrands Council of

India, becoming the only cement company to get this status.

2004 GreenTech Safety Gold and Silver Awards awarded to Madukkarai Cement

Works and Katni Refractory Works by Greentech Foundation for

outstanding performance in Safety Management System.

2005 ACC receives the CFBP Jamnalal Bajaj Uchit Vyavahar Puraskar Certificate

of Merit – 2004 from Council For Fair Business Practices.

2005 Holcim group of Switzerland enters strategic alliance with Ambuja Group

by acquiring a majority stake in Ambuja Cements India Ltd. (ACIL) which at

the time held 13.8 % of the total equity shares in ACC. Holcim

simultaneously makes an open offer to ACC shareholders, through

Holdcem Cement Pvt. Limited and ACIL, to acquire a majority

shareholding in ACC. Pursuant to the open offer, ACIL’s shareholding in

ACC increases to 34.69 % of the Equity share capital of ACC.

2005 Commissioning of Modernisation and Expansion project at Chaibasa in

Jharkhand, replacing old wet process technology with a new 1.2 MTPA

clinkering unit, together with a captive power plant of 15 MW.

2005 Financial accounting year of the company changed to calendar year

January-December

2006 Subsidiary companies Damodhar Cement & Slag Limited, Bargarh Cement

Limited and Tarmac (India) Limited merged with ACC

2006 ACC announces new Workplace policy for HIV/AIDS

2006 Change of name to ACC Limited with effect from September 1, 2006 from

The Associated Cement Companies Limited.

2006 ACC receives Good Corporate Citizen Award 2005-06 from Bombay

Chamber of Commerce and Industry

2006 New corporate brand identity and logo adopted from October 15, 2006

2006 ACC establishes Anti Retroviral Treatment Centre for HIV/AIDS patients at

Wadi in Karnataka– the first ever such project by a private sector

company in India.

2007 ACC partners with Christian Medical College for treatment of HIV/AIDS in

Tamil Nadu

2007 Sumant Moolgaokar Technical Institute completes 50 years and reopens

with new curriculum

2007 ACC commissions Wind energy farm in Tamilnadu.

2008 Ready mixed concrete business hived off to a new subsidiary called ACC

Concrete Limited.

2008 ACC Cement Technology Institute formally inaugurated at Jamul on July 7.

2008 First Sustainable Development Report released on June 5.

2008 ACC wins CNBC-TV18 India Business Leader Award in the category India

Corporate Citizen of the year 2008

2008 Project Orchid launched to transform our Corporate Office, Cement House

into a green building.

2009 ACC received the Jamanalal Bajaj "Uchit Vyavahar Puraskar" of Council for

Fair Business Practices

Vision and Mission

“The company wants to capitalize on the synergies seeing the big picture. The company

would visualize a bubbling with vim and vitality for occupying a vantage position in the best

cement companies across the globe”

At ACC we believe that being a passive onlooker and keep waiting for life to happen

something is not the right way to achieve success. Success comes through innovation and

innovation can happen only to those who are drawn by the unknown and driven by the

magnitude of challenge.

The performance as a cement industry in the country has prompted everyone to pronounce

our worthiness .

Mission

Leadership – Maintain our relationship of the Indian cement industry throughout the

continuous modernization and expansion of our manufacturing facilities and activities , and

through thr establishment of a wide and efficient marketing network

Profitability-Achieve a fair and reasonable return on capital by promoting productivity

through out the company

Growth- Ensure a steady growth of business by strengthening our position in the cement

industry.

Quality- Maintain high quality of our products and services and ensure their supply their

supply at fair prices.

Equity- Promote and maintain fair industrial relations and an environment for the effective

involvement, welfare, and development of staff at all levels.

Pioneering- Promote research and development efforts in the areas of product

development and energy , and fuel conservation and to innovate and optimize productivity.

Responsibility- Fulfill our obligations to society, specifically in areas of integrated rural

development and in and in safeguarding the environment and natural ecological balance.

MARKET SHARE OF CEMENT COMPANIES

Major Players & Market Share

The above graph indicates the market share of different cement companies in the

Indian Market. The graph clearly shows that ACC is the market Leader with 11.16%

while

Name of Company % Market Share

ACC 11.16

GRASIM INDUSTRIES 11.13

AMBUJA CEMENT 9.83

ULTRATECH 9.38

INDIA CEMENT 5.47

JAIPRAKASH ASSOCIATES 4.30

CENTURY TEXTILES & INDS. 4.22

BIRLA COPRPORATION 3.46

MADRAS CEMENT 3.18

LAFARGE 3.20

J K CEMENT 3.10

SHREE CEMENT 2.88

KESORAM INDUSTRIES 2.39

J K LAKSHMI CEMENT 2.04

OTHERS 31.57

TOTAL 100

Comparision

NET SALES EBITDA PAT EPS

2007 2008 2007 2008 2007 2008 2007 2008

ACC

71978.3

8

102637.

7

20033.6

5

31302.0

1

13342.1

3

22622.2

2 72.32

120.0

9

AMBUJA

CEMENT

59390.0

3 75011.4 20652.2 28998.5

15785.3

3

23833.5

9 12.17 15.67

INDIA CEMENT 20497.4 30038.4 6617.3

10616.1

1 4495 7067.76 20.4 27.14

GRASIM 86756.9

106764.

6 24093.5

34257.6

5 14950.5

21735.5

5

163.0

8

237.0

8

ULTRATECH 49108.3

56857.6

3 14178.1

16737.9

8 7822.8

10242.8

1 62.83 79.14

Key Success Factors of ACC

Advantages of using ACC Bulk

• Assured quality.

• No handling from the factory to your site, therefore exact weight

• Tamper proof delivery, therefore no adulteration possible

• Immediate delivery, therefore no need to stock inventory

• Order only when you are ready to use, so your money is not locked up

• Steady supply

FINANCIAL ANALYSIS

GROSS REVENUE

YEAR Gross Revenue

2002-03 33338

2003-04 34654

2004-05 40388

2005-06 46405

2006-07 65947

2007-08 79771

2002-03 2003-04 2004-05 2005-06 2006-07 2007-080

1000020000300004000050000600007000080000

Gross Revenue

Gross Revenue

EBITDA(Earning before Interest, Tax, Depreciation, Amortization)

YEAR EBITDA

2002-03 4923

2003-04 4036

2004-05 5339

2005-06 7200

2006-07 17561

2007-08 20462

2002-03 2003-04 2004-05 2005-06 2006-07 2007-080

5000

10000

15000

20000

25000

EBITDA

EBITDA

PAT(Profit after Tax)

Year PAT

2002-03 1304

2003-04 1039

2003-04 2002

2004-05 3784

2005-06 12318

2007-08 14386

CORPORATE SOCIAL RESPONSIBILTY (CSR)

ACC Limited.

Corporate Social Responsibility as the way a company balances its economic, social and

environmental objectives while addressing stakeholder expectations and enhancing

shareholder value.

But ACC has undertaken social volunteering practices almost from its inception, – long

before the term corporate social responsibility was coined. The company’s earliest

initiatives in community development date back to the 1940's in a village on the outskirts of

Mumbai while the first formal Village Welfare Scheme was launched in 1952. The

community living around many of our factories comprises the weakest sections of rural and

tribal India with no access to basic amenities.

Community & Rural Welfare

Their community development activities revolve around the under-privileged community

that lives in the immediate vicinity of their cement plants and is thus more dependent on

them. The range of their activities begins with extending educational and medical facilities

and goes on to cover vocational guidance and supporting employment-oriented and

income-generation projects like agriculture, animal husbandry, cottage industries by

developing local skills, using local raw materials and helping create marketing outlets.

At their cement factories they share their amenities and facilities with members of the local

community. This includes sharing education and medical facilities, sports and recreation.

Wherever possible they share access to Bore Wells, drinking water and the usage of colony

roads.

Education

Education is imparted not only to children of ACC employees but also more importantly to

children from rural areas who do not have access to any medium of information or

education. ACC schools maintain high standards and are open to other children of the

vicinity. Often these schools are the most preferred centers of learning in the district and

adjoining areas. Wherever possible, ACC provides funds and infrastructure to help set up

local schools, colleges and centers for learning and education.

Healthcare

ACC takes pride in providing various forms of medical assistance to the families of their

employees and also to all those living in surrounding villages. Each factory has a medical

center with full-fledged doctors and the latest of basic equipment. Mobile medical services

are provided in the vicinity and regular medical camps are held to eradicate diseases, offer

medical help, treatment and preventive care.

ACC has come out to provide support to state and national health initiatives such as the

eradication of malaria, dengue fever and the dreaded HIV.

HIV/AIDS treatment - Anti Retroviral Treatment Center

In close consultation with the Confederation of Indian Industry (CII), the management of

ACC decided to step forward to participate in the national effort to eradicate the HIV/AIDS

virus that we recognize as being among the country’s most important public health issues.

As a first step, they announced a Workplace policy for HIV/AIDS that protects the

fundamental human rights of employees who may unfortunately become affected by

HIV/AIDS, while also ensuring that these affected persons get proper care and treatment.

The ACC Wadi ART Centre has all the basic physical infrastructure, Laboratory facilities and

trained medical and support personnel. It is housed in a new building constructed by us on

an independent piece of land outside our plant and colony. The building has an area of over

2500 square feet and comprises a large reception area with adequate seating, consulting

rooms for the doctors, rooms for social workers and counselors, laboratory, pharmacy,

pantry and toilets.

Disaster Relief

ACC and its employees make timely contribution to help in any national disaster. This is

done both at the corporate level, by local units and employees. Apart from the Kargil cause,

collective contributions by way of cash, food and clothing has been sent to help victims of

calamities such as the Latur earthquake, Himachal Pradesh floods, Orissa cyclone, Gujarat

earthquake, Tsunami and floods in Maharashtra.

Conservation of heritage structures

The services of ACC’s Concrete experts have often been utilized in the restoration of several

national heritage buildings across the country - such as sections of the Chhatrapati Shivaji

Terminus (formerly Victoria Terminus) at Mumbai, the J N Petit and David Sassoon Libraries

in Mumbai, churches in Goa, palaces and royal mansions in Mysore and Hyderabad and

other old structures in the country.

The historic Vijayraghavgarh fort in Madhya Pradesh was recently restored under ACC’s

patronage. This is not a core business of the company but an act of corporate volunteering

by way of sharing knowledge and expertise

Global Compact

ACC Limited is a signatory to the United Nations Global Compact. They are committed to the

ten principles of the Compact which foster better corporate responsibility in the areas of

human rights, labour, environment and anti-corruption. Established in 1936, this company

has from its very inception been conscious of its obligations to the community and has

always kept in view its social responsibilities. ACC’s Vision vividly declares the company’s

commitment to its corporate social responsibility and sustainable development issues

making these an essential part of the business goals for the company. This communication

on Progress provides an insight into our recent activities in support of the Global Compact’s

Objective and our efforts towards continuous improvement. Communication on Progress

Support to national Sport

ACC has had an old and close association with the game of cricket. From the 1950’s to the

70’s, many cricket legends were employees of ACC during their active cricket careers. This

was in the days before cricketers became like the superstars they are today. ACC was then

among the few companies which went out of its way to employ young cricketers, including

budding young Ranji Trophy hopefuls. ACC joined hands with the Confederation of Indian

Industry to sponsor India’s National Boxing team at the Athens Olympics in 2004 and the

Commonwealth Games. ACC also sponsors and supports other sports at National, regional

and local levels such as inter-regional Badminton championships, youth soccer and Rural

Sports Meets.

Awards & Accolades

ACC was the first recipient of ASSOCHAM’s first ever National Award for outstanding

performance in promoting rural and agricultural development activities in 1976. Decades

later, PHD Chamber of Commerce and Industry selected ACC as winner of its Good

Corporate Citizen Award for the year 2002. Over the years, there have been many awards

and felicitations for achievements in Rural and community development, Safety, Health,

Tree plantation, afforestation, Clean mining, Environment awareness and protection. In

2006, they were selected to receive the Good Corporate Citizen Award of the Bombay

Chamber of Commerce and Industry.

ANALYSIS OF ACC LTD

SWOT analysis

“STRATEGY IS A PATTERN IN A SERIES OF DECISIONS OR ACTIONS.”

- HENRY MINTZBERG (1994)

SWOT Analysis explores the relationship between the environmental influences and the

strategic capabilities of an organization compared to its competitors. The importance of SWOT is

revealed by the value of the strategies it generates. A SWOT item that generates no strategies is

not important.

STRENGTHS.

People ask for ACC, it is having a good image and brand loyalty among consumers.

Service is good

“Dhalai karne ke liye” people ask for ACC

Perceived to be of very superior quality cement when compared to others

Selling form the very first day the shop came in to being & sells easily

They have same price prevailing for wholesale at dealers/stockiest retailers end.

WEAKNESS.

The competitors are doing much promotional activity rather than ACC Limited that’s

why it facing more problems in selling of product in the market.

Lack of awareness program for consumers. They think Birla Gold contains more

FLYASH.

OPPORTUNITY.

Rapid growth is taking place in Bihar and Madhya Pradesh. People are opting

for more stable structures and intensive use of cement is taking place, even

government is spending heavily on infrastructure projects. Thus, this is the

right time to fully tap these markets.

As Indian core industry is also growing at rate of nearly 10% per annum, Birla

Gold is having a good future.

Foreign direct investment in infrastructure sector going to increase in coming

years, which will increase the demand of cement.

Roads are undergoing through the transformation process through which the

traditional method of road building will be replaced by modern concrete

roads.

THREATS:

Large number of players in cement industry makes it more

competitive for ACC Limited to carefully price its product and at the

same time satisfy its dealers and customers.

Players such as Jaypee Cement, Prism Cement, and Birla Samrat are

eating up considerable market share.

Due to India’s exponential growth many new international cement

companies are expected in coming years which will bring a tide of

change and can start price war.

The emergence of small players in this market may increase the

competition and start the malpractices, and heavy discounts to

retailers. They can also influence many retailers by giving better profit

margin, and other benefit.

PORTER’S 5-FORCE MODEL FOR ACC LTD

Threat of New Entrants: The high capital costs acts as a major entry barrier for the entry of

new players. The high freight costs make it difficult to import cement. Cement being a high

volume low value commodity results in high freight costs, which makes cement imports

economically unfeasible. Domestic Cement industry is highly insulated from global cement

markets. With GoI intervention, making cement duty free, cement is being imported from

neighboring countries. However, due to logistics issues and lack of port handling

capabilities, imports of cement will remain negligible and do not pose a threat to domestic

industry. The major domestic players are:

ACC

Gujrat ambuja

Utratech

Grasim

Two companies Grasim and Ambuja cement along with their associate companies control

almost 50% of the India’s cement and supply .Cement plants are capital intensive and

require a capital investment of over rs 3500 per ton of cement, which translates into an

investment of RS 3500 million for a 1 mtpa plant.

Bargaining power of Suppliers: The major inputs are coal and power. The Prices of both coal

and power are determined by the government. To mitigate the high costs of power the

cement players have set up captive power plants.

Competitive rivalry between existing players: Previously the rivalry was strong among the

players, as the industry was not consolidated. During the last few years the industry has

become more consolidated with the Top 3 players having a combined market share of 49

percent in 2005-06 as compared to 32 percent in 1999-2000. The extent of concentration in

the cement industry has increased over the years. This concentration is mainly because of

focus of larger and more efficient units to consolidate their operations by restructuring their

businesses and taking over relatively weaker units. The relatively smaller and weaker units

are finding it difficult to withstand the cyclical pressure of cement industry.

Bargaining power of Buyers: Retail sales constitute about 80 percent of the total sales and

the rest is institutional sales. The retail buyers don’t have any bargaining power while the

institutional buyers get a discount of 5 to 10 percent as they buy cement in bulk.

Threat of Substitutes: There are no good substitutes for cement.

BCG Growth – Share Matrix

Accordingly, the BCG matrix divides products/businesses into four categories:

Stars: These high growth products in a fast growing market, need more resource

commitments.

Cash Cows: These are low growth, high market share products, where minimal

investments are envisaged. Indeed, cash cows provide the cash flows that support

other businesses.

Question Marks: These are low market share business units in high growth markets.

Investment is needed to build them into stars..

Dogs: These are low growth and low market share businesses which generate just

enough cash to maintain themselves. They are businesses from which the company

is likely to withdraw in the near future.

In The above matrix , ACC LTD falls in the quadrant of “ CASH COW” with respect to the

market leader. The circle size represents the absolute market share (11.16%) of ACC LTD in the

cement industry.

The McKinsey / General Electric Matrix

The McKinsey/GE Matrix overcomes a number of the disadvantages of the BCG Box. Firstly,

market attractiveness replaces market growth as the dimension of industry attractiveness,

and includes a broader range of factors other than just the market growth rate. Secondly,

competitive strength replaces market share as the dimension by which the competitive

position of each SBU is assessed.

The diagram below illustrates some of the possible elements that determine market

attractiveness and competitive strength by applying the McKinsey/GE Matrix to the UK

retailing market:

The GE Matrix for ACC LTD will be made keeping the following two major dimensions:

1. Market Attractiveness

2. Business Strength

Market Attractiveness : This dimension forms the vertical Axis of the GE Matrix.The factors

which we have considered which may affect the industry attractiveness for our SBU are:

1. Overall Market Share : ACC LTD has a market share of 11.16% in the cement

industry.We have given it 0.20 out of 1.0.

2. Market Growth Rate: The cement industry is growing at 10%. This can be considered

as a moderately growing and having high growth opportunities with the growth of

Indian Economy. Hence a weightage of 0.15 out of 1.0.

3. Profitability: India´s cement industry will see addition of 50 million tonnes (MT) of capacity

in the current financial year, despite profitability expected to go down by 20 per cent in last

fiscal. According to the Cement Manufacturers’ Association (CMA), the industry, which is

expected to grow at about 1.2 times of the country’s GDP growth this fiscal, is estimated to

have sales growth of 8-9 per cent in 2008-09, but profit margins are likely to dropped by 20

per cent for the same year. Hence a weight of 0.10 out of 1.0

4. Technological Development: With new technologies cement industry is growing at a

faster rate. Hence a weightage of 0.15 out of 1.0.

5. Global Opportunities : With the expected entry of many foreign players in cement

industry in near future,this can open the door for global opportunities for Indian

players. Hence a weightage of 0.05 out of 1.0.

6. Market Rivalry: Indian cement Industry is an Oligopoly.Also future guarantees the

entrance of several big global names in this sector.Hence market rivalry weights

above others at 0.20 out of 1.0.

7. Pricing : Being an Oligopoly , pricing strategies are a key for any player to make

profits in such a competitive sector. Thus we have given equal weightage as

technology and more than even factors like profitability and growth rate.

Market

Attractiveness

Weightage Rating(1-5) Weighted Score

Overall Market Share 0.20 4 0.8

Market Growth Rate: 0.15 4 0.6

Profitability 0.10 3 0.3

Technological

Development:

0.15 4 0.6

Global Opportunities 0.05 5 0.25

Market Rivalry 0.20 5 1.0

Pricing 0.15 3 0.6

Total 1.00 4.04

Bussiness Strength :

1. Market Share: The market share of ACC LTD is 11.16%. Well it just among the top 4 players in cement industry. Thus we have given less weight to market share.

2. Market growth Rate: Acc Ltd being a big player has ample of growth opportunity. We have given weightage of 0.10.

3. Profit margin relative to competitors : ACC ltd profit margin has increased. This is an area where it would like to have a competitive edge.

4. Technological innovation : We have given weightage to support its technological innovational outlook.

5. Brand Reputaion : ACC Ltd has a strong backbone and already established as a global and truthful image.

6. Sales Distribution Effectiveness : ACC lTD has a successful distribution and sales channels.

7. Advertising and Promotional Effectiveness : ACC LTD has a strong and successful advertising and promotional strategy.

8. Pricing strategies and customer loyalty : It is strong in its pricing strategies and also customer centric.

Key competitive

factors

Weight Rating (1-5) Weighted Score

Market Share 0.10 4 0.4

Market growth Rate 0.10 4 0.4

Profit margin relative

to competitors

0.15 5 0.75

Technological

innovation

0.15 4 0.6

Brand Reputaion 0.10 4 0.4

Sales Distribution

Effectiveness

0.10 3 0.3

Advertising and

Promotional

Effectiveness

0.15 4 0.6

Pricing strategies 0.05 4 0.2

Customer loyalty 0.10 3 0.3

Total=3.95

Recommendations from our Group

ACC LTD is highly focused on its future objectives & expansion plans, but at the same time it

has to maintain a balance between the present plan & the future one. On the basis of

strategic analysis of RInfra, our group has come with the following recommendations in

order to achieve its future goals effectively & efficiently:-

ACC LTD must focus on its Vision & Mission in order to attain its objective.

ACC LTD should focus on expanding its market in order to grab the market shares.

ACC LTD should be completed within the prescribed time.

It should also try to maximize the shareholders’ wealth.

ACC LTDshould not choose those project which may dilute the brand name just for

the sake of gaining market shares.

It should focus on to convert itself from Question Marks to Stars.

ACC LTD has a high growth potentials, so it should try to raise funds timely in order

to meet its target.

ACC LTD should not do overpromise as it will deteriorate its goodwill.

ACC LTD must focus on the coming KG Basin dispute which can change the present

scenario.

ACC LTD must focus on its competitors’ strategy(ies) in order to gain a competitive

edge.

ACC LTD should try to go for diversification to minimize risk factor & to explore new

market as well.

REFERENCE

WEBSITES:

www.acclimited.com

www.moneycontrol.com

www.ibef.org/industry/cement.aspx