ITCF

ITC LEADERSHIP

INTRODUCTIONFounder: Henry Overton WillsChairman: Yogesh Chander DeveshwarDivisional Chief Executive (Food): Chitranjan Dar

ITC is an Indian public conglomerate company headquartered in Kolkata, West Bengal, India Its diversified business includes four segments: Fast Moving Consumer Goods (FMCG) Hotels, Paperboards, Paper Packaging Agri Business. Turnover:$7 billion Market Capitalization: $33 billionITC Limited completed 100 years on 24 August 2010.

ITC LEADERSHIP

BUSINESS AREASFMCG PRODUCTS:ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel, Personal Care, Stationery, Safety Matches.

NASCENT BUSINESS: Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery.

PRODUCT LINE

AGRI BASEDITC's Agri Business Division is the country's second largest exporter of agri-products. It currently focuses on exports and domestic trading of:

Feed Ingredients - SoyamealFood Grains - Rice (Basmati), WheatMarine Products - Shrimps and PrawnsProcessed Fruits - Fruit Purees/Concentrates, IQF/Frozen Fruits, Organic Fruit Products, Fresh FruitsCoffee & Spices - Coffee, Black Pepper, Chilly, Turmeric, Ginger, Celery and other Seed Spices

NON AGRI-BASEDThe Foods business is today represented in 4 categories in the market. These are:

Ready To Eat FoodsStaplesConfectionerySnack Foods

GoalTo leverage ITC's proven strengths in the areas of hospitality and branded cuisine, contemporary packaging and sourcing of agricultural commodities. To assure consumers of the highest standards of food safety and hygiene

MISSIONWe want to enhance the wealth generating capability of the enterprise in a globalising environment,delivering superior and sustainable stakeholder value.

VISION We want to sustain ITC's position as one of India's most valuable corporations through world class performance,creating growing value for the Indian economy and the Companys stakeholders

ORGANIZATION STRUCTURE

SOCIAL RESPONCIBLITY

A COMMITMENT BEYOND THE MARKET

ITC is committed to a national agenda of raising agricultural productivity and making the rural economy more socially inclusive. ITC believes that the urgency and scale of these tasks make market linked solutions and innovations more effective and sustainable than capital intensive approaches.

MILESTONESe - Choupal4 million farmers empowered,6,500 e - Choupals installedSocial & Farm Forestry119,919 hectares greened,generating 53.77 million person - days of employmentWatershed Development73,884 hectaresbrought under soil and moisture conservationWomen's Empowerment15,763 women members1343 self - help groupsLivestock Development260 Cattle Development Centres

Primary EducationCovering 2,81,000 childrenthrough 2,554 Supplementary Learning Centres till date

ETHICS

TrusteeshipCustomer FocusRespect For PeopleExcellenceInnovationNation Orientation

STRATEGY PLANNING

BCG ANALYSIS

StarAgri BusinessHotelsPaperboards & PackagingQuestion markFMCG FoodsCowFMCG Cigarettes

DogITC Infotech

Swot Analysis of food divisionStrengthsBrandDistribution NetworkManagementWeaknessesDependence on Tobacco RevenuesNegative connection of Tobacco

OpportunitiesRural markete-ChoupalLow Per capita consumption ofpersonal care productsThreatsCompetition both domestic and international

STRATEGIES IMPLEMENTEDITC Pricing strategy:company follows the Going rate pricing

ITC Promotional activities:Local promotion scheme: AREA SALES MANAGER DISTRICT OFFICEHEAD OFFICEDrop down promotion

A Carbon Positive CorporationITC has been at the forefront of corporate India's initiatives to progressively reduce Green House Gas emissions.ITC has implemented several CDM projects under the Kyoto Protocol and ensured carbon dioxide (CO2) sequestration through large-scale social and farm forestry initiatives.All ITC businesses strive to minimize energy consumption and wherever possible use environment friendly sources of energy.

CONTINUED..ITC's social and farm forestry initiatives have created a green cover of over 100,000 hectares, consolidating its position as a 'Carbon Positive' corporation for five years in a row.This initiative has already created over 46 million person days of employment.30.9 % of ITCs energy consumption is from renewable sources

MANAGING CHANGEAdding share holder value through diversification(From concentric to diversified industry)The company has kept away from those markets where it does not have the back-end or does not see value additions. So it is unlikely to make forays into tea and coffee ("highly commoditised") or dairy products ("needs a very large infrastructure to source milk

CONTINUED..E-choupals (BACKWARD INTEGRATION): villages across the country where farmers can sell their produce directly sans middlemen or having to go to a mandi at a fair price, and also get information relevant to farming, weather and prices at other mandis, all on the netOffers its distributors higher margins (ITC says it offers competitive margins) and also its Iproducts are more competitively priced as compared to its competitors, all of which has resulted in it cornering an over 10 per cent market share in a short span of time

CONTINUED..Because of low oppertunities in tobaco sector the company diversified which led to major turnaround for the company

References:http://www.itcportal.com/experience-itc/websites.aspxhttp://www.itcportal.com/brands-microsite/packaged-foods/http://www.itcportal.com/about-itc/itc-leadership/itc-leadership.aspx http://www.itcportal.com/itc-business/fmcg/foods.aspx http://www.itcportal.com/itc-business/agri-business/e-choupal.aspx

Roll Nos.: 125 140 130 117