Silk Soy Yogurt Presentation

Raymundo Delgado, Jhonatan Fuentes, Sage McDonald, Sonia Lopez, Shivam Shah, Dameon Williams

MKT 370

Introduction75,000 yearsSecond largest population EnglishRelationships over efficiencyLoyal & Compassionate Business meetings– Handshakes

• Namaste– Family– NO!

Country History• India is the birthplace of the human race, the birthplace of human

speech, the mother of history, the grandmother of legends and the great grandmother of tradition

• India earned its independence from the British on August 15, 1947. • Indians celebrate Republic Day on January 26, 1950 as the day their

constitution was adopted• Since their independence, nationalists have assassinated three

important leaders such as Mahatma Gandhi in 1948, the second was Indira Gandhi in 1984 and last was her son, Rajiv Gandhi, in 1991

• In 1947, India pronounced an undeclared war with Pakistan • War started because the Muslims decided that they were mistreated

and the Pakistani supported them. This war took place in the North- West part of India, leaving many Indians in fear of death

Geographical Settings• India is located north of the equator 20 00N, 77 00 E and borders the Arabian Sea and

the Bay of Bengal, between Burma and Pakistan • India is the seventh largest country in the world with a total area of 3,287,263 sq km.,

2,973,193 sq km of which is land and bodies of water which surrounds the rest of India• The Ganges is the longest river that originates in India. The Gamges-Brahmaputra

system occupies most of northern, central, and eastern parts of India. The Deccan Plateau occupies most of the parts southern India

• India hosts six major climatic subtypes; ranging from arid desert in the west alpine tundra and glaciers in the north and humid tropical regions in the southwest and island territories. The Himalayas act as a barrier to the cold katabatic winds coming from Central Asia. The nation has four seasons; winter (January- February), summer (March-May), a monsoon season (June- September) and a post-monsoon period (October-December)

South Asia 7th largest country Surrounding bodies of water Terrain Weather

Language• Hindi• English has been made national language for 10 years• 13 dialects• Guajarati spoke by more than 70% of Indian population• English Colonies

Social Institutions

The Caste system divides labor and power among society and has divided communities into thousands of groups called “Jatis”

The higher Caste holds the most power. However, there is no room for growth. People can also be divided by the language they speak, culture, and economic status

Indians overtime have become more flexible with their Caste customs. In Indian communities people that live in urban areas are less strict with their customs than people that live in rural areas.

In Indian cities people communicate with people of different caste systems while in some rural areas there is still various levels of discrimination

Religion Hinduism is one of the oldest religions in the world India’s the origin of many different religions around the world

Approximately 82% of India is Hindu Some traditions one may come across is Jyotish, Vastu, Tantra,

Karma, Puja, and Yajna In Hinduism , people are supposed to reincarnate into

8,400,000 life-cycles. After you live all the life cycles you go to a place called

Moksha, and you will receive your final emancipation.

Living Conditions

• 1.2 Billion People currently living in India- Increasing well-educated population• Fast growing economy- Economy will grow in matter of years• Nutrition: Eat what is availble (Geographically)- Most Popular: Kebabs, Flatbreads (Dosas), rice,

seafood

Foods by regions in India

Living Conditions Cont’d

• Housing: Apartments, houses, huts• Family Lives together under one household- Cousins, sisters, brothers, parents, grandparents,

uncles, aunts all live together; share bathrooms and kitchen

• Popular Fashion:-Woman: colorful, dresses (Sari), skirts, cover up-Men: Turbans, casual shirts, colorful

POPULATION ANALYSIS AND GROWTH6 Main Ethnic Groups:- Negroids (Southern)- Proto-Austrloids or Austrics (Central and

Eastern)- Mongoloids (North-Eastern)- Medeterranean or Dravidian (Southern and

Central)- Western Brachycephais (Western)- Nordic Aryans (Northern and Central)

Population Cont’d

• 2nd most populated country in the world• Uttar Pradesh most populated state• Urban population takes up total population

of India’s population• Rural areas house up to 70% of India’s

population• Thane is the largest surburb in India with 1.8

million residents

URBANIZATION

New roadways, highways, roads that connect urban and rural areas on India

Developments of new skyscrapers, large apartment complexes, city urban communities

New suburban areas are being built at this moment Improvements of power, electric, grid systems

INFRASTRUCTURE DEVELOPMENT

Labor Statistics

Balance of Payments• According to our class textbook International Marketing, balance of

payments refers to the “system of accounts that records a nation’s international financial transactions ” (Cateora, Mary, & John 589). Excellent citation.

• Balance of payments is divided into two main categories: Current Accounts, and Capital Accounts.

• Balance of payments shows how much is being spent by consumers and also firms on imported goods and services. Balance of payments describes how successful firms are in exporting to other countries.

• According to the Reserve Bank of India, “current-account deficit widened to $22.3 billion, or 5.4% of gross domestic product, in the July-September quarter, from $16.4 billion in the April-June period” (Jain).

Balance of Payments, Cont

• During 2011-12, exports crossed $200 billion mark for the first time, increasing rapidly by 37.3% from $182.4 billion in 2009-10 to $250.5 billion. This came about due to petroleum products, gems, jewelry, and chemical related products.

• With the deficit being high the government raised the price of fuel subsidies spending and allowed foreign investment in retail and broadcasting in which can be one way to reduce the deficit.

• The deficit has had negative impacts across India, including on their currency.

Economical Statistics – International Trade

• WTO Exports & Imports Rank– Merchandise– Commercial Services

• Major Exporting & Importing Countries

• Major Exports & Imports

• Balance of Payments– Deficit

GDP

GDP AND GROWTH RATE

Personal Income Per Captia

Average Family Income

Key Economic Statistics

Total GDP• GDP was worth 1847.98

billion US dollars in 2011• GDP 1960 until 2011, India’s

GDP average was 368.8 • All time high of 1848.0 USD

Billion in December 2011

GDP Growth Rate• GDP in India expanded

1.30% in the 4th quarter of 2012

• Since 1996 until 2012, India GDP growth rate average was 1.63%

• All time high of 5.80 percent in December of 2003 and a record low of -1.70 percent in March of 2009

Key Economic Statistics

Income Per Capita • Education in demand• Free of cost till age 14• Student number rising • Own automobile

Average Family Income• Average family income 11%,

among rural households spending per year grew at a higher rate than all India average in

• Maharashtra and Bihar 12.1%, Gujarat 12.2 % and Madhya Pradesh 11.4%.

TARGET MARKET

• Middleclass and upper class• Vegetarians• Women• Young Adults (Influenced by West)• Flourish in Urban and Suburban lifestyles

PRODUCT POSTIONING

Soy Silk YogurtNutrition to mass populationOriginal and organic fruitsNo GMONO Fake colorsNo artificial flavorVibrant colors

PRODUCT POSTIONING CONT’D Simple delicious food No high-fructose corn syrup Silk soy yogurt is flavored spoonable yogurt made from soy, cultures, flavors, and whey protein Shelf life of more than 15 days! Healthy snack that tastes great! Mango, Strawberry, Vanilla, and original

PriceCompetitors Income Levels

EducationAverage Gross Salary

Gross (USD)

Less Than High School

289,179Rs $5,193

High School 402,742Rs  $7,232

Some College 606,496Rs$10,89

1 Bachelor’s Degree

858,758Rs$15,42

0

Master’s Degree1,159,269Rs

$20,816

Case of 12 Protein Bars 2,600Rs

Liter of Milk 32Rs

1 Kg of Apples 120Rs

1 Kg of Oranges 70Rs

200gm Nestle dahi 19.80Rs

Price

Actual•200gm – 22.99Rs•400gm – 45.99Rs

Discounted•200gm – 18.39Rs•400gm – 36.79Rs

Promotional & Competitive Pricing Strategies

DISTRIBUTION• India is the world’s largest producer of dairy products by volume and has the

world’s largest dairy herd• India accounts for more than 13% of the world’s total milk• Milk production in India has increased significantly in the past few decades from a

low volume of 17 million tons in 1951 to 110 million tons in 2009• Non-dairy products like soy is becoming more and more imminent, due to the

change in demographic patterns and urbanization of rural area 13% of the world’s total milk

Distribution Con’td• India soy arrives via containers through the coastal parts like

Mumbai, Cochin, and Calcutta• Primary mode of distribution is a multi- level channel

distribution network that will ensure the freshness• Once the product has been shipped and has arrived, silk will

partner with Gujarat Cooperative Milk Marketing Federation (GCMMF), Wadia Group, Yakult Honsha, and will supply retail stores, wholesale stores, shopkeepers, hotels, and other businesses with Silk branded soy yogurt

PROMOTIONAL MIX• Internet: Ads on most popular viewed websites• Promote by going to big cities: Mumbai and Bangalore• Give out free samples to public with coupons• Television, Newspaper, Radio• Advertising in different languages (2 dozen languages)• Product placement in Bollywood films and TV shows!• Have famous Indian actors promote products (testimonials)• Product promotions on key Indian holidays

WORKS CITED• "Balance of Payments." Balance of Payments. Tutor2net, n.d. Web. 27 Mar. 2013.• "Ethnic Origin of People of India." Ethnic Origin of People of India. N.p., n.d. Web. 18 Mar. 2013.• "How Indian Railways Impact the Economy." How Indian Railways Impact the Economy. Headlines of India,

2011. Web. 27 Mar. 2013.• "India - Labor Force - Historical Data Graphs per Year." India - Labor Force - Historical Data Graphs per Year.

Index Mundi, 1 Jan. 2011. Web. 24 Mar. 2013. <http://www.indexmundi.com/g/g.aspx?v=72>.• "India - Unemployment Rate - Historical Data Graphs per Year." India - Unemployment Rate - Historical

Data Graphs per Year. Index Mundi, 1 Jan. 2011. Web. 24 Mar. 2013. <http://www.indexmundi.com/g/g.aspx?v=74>.

• "India Demographics Profile 2012." India Demographics Profile 2012. N.p., n.d. Web. 18 Mar. 2013.• "India Infrastructure." India Infrastructure. Maps of India, 3 Dec. 2012. Web. 27 Mar. 2013.• "India Transport Sector." Transport In India. Worldbank, 2 Mar. 2011. Web. 27 Mar. 2013.• "India Urbanization." - Demographics. N.p., n.d. Web. 20 Mar. 2013.• "Indian Railways." - Railways in India, Railway System in India, Rail Transport in India. TradeChakra, 2008. Web.

27 Mar. 2013.• "India's 28 States." About.com Geography. About, 16 Sept. 2011. Web. 27 Mar. 2013.• "India's Balance of Payments." Balance of Payments. TheHindu, n.d. Web. 24 Mar. 2013.

WORKS CITED• "India's Population 2013." - Population of India 2013- Current Population of India in 2013.

India Online Pages, Jan. 2013. Web. 27 Mar. 2013.• "People of India." Facts about India. N.p., n.d. Web. 18 Mar. 2013.• "Population Distribution in India." - Population Map of India. N.p., n.d. Web. 18 Mar. 2013.• "Trade Profiles." Trade Profiles. The World Trade Organization, Sept. 2012. Web. 24 Mar.

2013. <http://stat.wto.org/CountryProfile/WSDBCountryPFView.aspx?Language= E>.• "Transport System in India." Allprojectreports. Project Reports, 13 Sept. 2011. Web. 27 Mar.

2013.• Acharya, Nupur. "India Imposes Extra Tax on Local, Foreign Companies." The Wall Street

Journal. N.p., 28 Feb. 2013. Web. 20 Mar. 2013. <http://online.wsj.com/article/SB100014241278873246624045783319415638560 94.html>.

• Balance of Payments. TheHindu, 11 Nov. 2011. Web.• Chhibber, Narinder K. "Fast Growth of Mobile Communications in India: Lessons for Emerging

Markets." Fast Growth of Mobile Communications in India: Lessons for Emerging Markets. Marshall USC, 13 Jan. 2012. Web.

WORKS CITED• Factbook, CIA World. "Age Structure 0-14 Years Statistics - Countries Compared - People Data on

NationMaster." NationMaster.com. NationMaster, n.d. Web. 18 Mar. 2013.• Harjani, Ansuya. "Why India Struggles to Deliver Its Growth Potential." CNBC.com. N.p., 29 Nov.

2012. Web. 20 Mar. 2013. <http://www.cnbc.com/id/50004600>.• Jain, Sudeep. "India's Current Account Deficit Hits Record." Wall Street Journal, 31 Dec. 2012. Web.

24 Mar. 2013. <http://online.wsj.com/article/SB10001424127887324274404578213450883093748.html>.

• Prasad, Eswar S. "Some New Perspectives on India's Approach to Capital Account Liberalization." NBER. The National Bureau of Economic Research, Jan. 2009. Web. 27 Mar. 2013.

• Prasad, Eswar S. "Some New Perspectives on India's Approach to Capital Account Liberalization." NBER. The National Bureau of Economic Research, Jan. 2012. Web. 26 Mar. 2013.

• Riley, Geoff. "Balance of Payments." Balance of Payments. Tutor2u, 23 Sept. 2012. Web. 26 Mar. 2013.

• Singh, Namrata. "Household Income in Rural India Grew 11% per Annum in 5 Years: Report." Household of India. Times of India, 21 Nov. 2012. Web. 26 Mar. 2013.

• United States Department of Labor. Bureau of Labor Statistics. India's Organized Manufacturing Sector. 2011. Web. <http://www.bls.gov/fls/india.htm>.