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​ ​INTRODUCTION

Ajanta Orpat Established as a firm in the year 1989, backed by 19 years of


experience in this domain, we are able to procure and supply qualitative range of home
appliances, electronic goods like telephones, clocks, power savers and many others.
Available under the brand names like Oreva, Orpat and Ajanta, our range is catering a
large number of clients all across the globe.At present, Mr. Deepak Mathuria, who help us
to source the products from reputed manufacturers, leads us. To support him, we also
have a team of experienced and dedicated team who assist us in procuring high quality
products for our valuable clients. Further, our spacious warehouse and support of efficient
logistic system enables us to market wide range of products within stipulated frame of time
to a large number of clients all across the globe. Today, we are marketing representatives
of reputed companies like Ajanta, Orpat & Oreva. The products are manufactured by these
companies are imported and we market them.

Parent Company

• They are associated with Ajanta Associates Private Limited, which is known as brand
Orpat. This is situated in Morbi (Gujarat), which spreads over an area of 15,00,000 sq.
ft., which has carved a niche in manufacturing user friendly and reliable products like
home appliance, electronic items and many more.
• Further, Ajanta Associates Pvt. Ltd is also associated with all Ajanta group of companies
Ajanta Limited, Ajanta manufacturing Ltd and Ajanta India Ltd. This is handling the
marketing of Ajanta products in Bangalore.

VALUE CHAIN ANALYSIS


Primary Activities

Logistics:
A well-developed logistic systems assist them in fast delivery for range of products to the
end users. Further, they provide all types of transportation services of shipments
depending on the requirements of the customers. We excel in all these services and offer
complete satisfaction to our clients by delivering right products at the door steps of clients
within the desired time frame.

Client
They consistency in delivering a wide range of qualitative home appliances, electronic
equipment and natural stones products has helped us to successfully meet the demands
of quality conscious clients spreading all across the globe. Moreover, the availability of our
range at competitive prices has also enabled them to make many clients all across the
globe.

Warehousing Facility
The spacious warehouse enables to stock our wide array of consumer durables,
appliances and other equipment to meet the needs of our customers at any given point of
time. Further, we have also streamlined process of storing and delivery the products that
ensures that all supplies reach their respective destinations on time. Apart from this,
stocking premise is segregated according to their specific features. This unit is also have
controlled temperature and free from dust and moisture and is fitted with fire fighting
devices to prevent inflammable products

Products Offered
They have expertise to procure range of home appliances, electronic and other products
from reliable manufacturers and vendors has helped us to meet the demands of clients
and also of diverse industries. The products that we offer include:

• Ajanta Clock
• Orpat Timepiece
• Oreva Vitrified Tiles
• Orpat Telephone
• CFL Lamps & Tube Lights
• Orpat Calculator
• Orpat Toys
• Orpat Fan
• Emergency Light
• Wrist Watches
• Orpat Iron Holder
• Digital Clock
PESTEL MODEL

Political Factors

● Strong hue a cry with the entry of big organized shops like Aditya Birla & Reliance
India groups in to consumer durable goods market. Strong lobbying was done to
protect the investment of unorganized retail shop. The purpose of different political
parties was to increase their vote banks.
● The permissible entry of the FDI‟s was only single brand outlets.
● Restrictions were imposed on the entry on new organized shops.
● Low access to banking facilities had a cause of the worry for small retailers.
● Big international players in organized durable goods have a very strong financial
backup, their turnover is more than the G.D.P. of some countries (examples –
Walmart & Carrefour).

Economic Factors

● Bulk of the total profit will be showed by top three organized retail players.
● A shift in the consumption pattern of durable goods was observed. It was the main
course of increase in the exponential growths.
● Geographical mix of consumer spending exponential growth rates will shift away
from European countries towards Asian countries. So the organized sector will be
more competitive.
● Consumer durable industry as a whole suffering from the commoditization of the
durable products and services.
● The rapid expansion of the different formats in Indian retail durable industry has
eventually put the consumers in perplexed state, so they do not able to differentiate
between the lucrative deals offered by different organized and unorganized shops.
● Retailers want to play safe side. They are not taking interest in investing their cash in
the format which is not able to get enough foot falls and a stream of revenues.

Social Factors

● Customers all over the globe including India understand the importance of corporate
social responsibility activities. Consumers of durable goods feel the gravity and have
ready to ask companies about their contribution to the nation as well as society in
terms of their environmental friendly approach.
● Consumers of durable goods industry want big retailer to look after the well being of
the nation.
● Durable goods consumers are now ready to shell, extra price for their money baskets
for the environmental friendly household durable goods.

Technological Factors

● Enhancements of consumers experience and revenue drive by managing all types of


costs and improvement in operational efficiency are the major challenges in the retail
sector of consumer durable industry. To meet all these challenges durable goods
industry is heavily relying on information technology sector.
● Big players of this sector have already increased their budget on information
technology spending by almost 25 percent in year 2010.
● Softwares are the most important tool to improve operational efficiency in this
industry.
● Artificial intelligence, finance and accounting handled by I.T.
● Implementation of SCM (Supply Chain Management) solution to core business like
global sourcing, logistics etc.
● Consumer durable goods retailers are experimenting with KIOSKS (self service
devices) and short message service based interactions and self checkout counters.
● Consumer durable goods industry also assumed that merchandize systems and point
of sale will trigger off the operational process.

SWOT ANALYSIS

Strengths Weaknesses
• strong brand names • lack of patent protection
• good reputation among customers • a weak brand name
• cost advantages from proprietary • poor reputation among customers
know-how • high cost structure
• exclusive access to high grade natural • lack of access to the best natural
resources resources
• favorable access to distribution networks • lack of access to key distribution channels

Opportunities Threats
• an unfulfilled customer need • shifts in consumer tastes away from the
• arrival of new technologies firm's products
• loosening of regulations • emergence of substitute products
• removal of international trade barriers • new regulations
• increased trade barriers
Industry’s Dominant Economic Traits

Economic dominance of a company can be determined by its sales and market


capitalisation. Ajanta group initially started with a small investment of ₹180000 has grown
into industry-wide leader with revenue clicking ₹2155 Cr in 2017-2018. Ajanta group of
industries has a vast portfolio of companies. Some examples of the dominance of the
group are listed below
● Leading producers of Chlorinated Paraffin(CPW), Azodicarbonamide(Blowing
Agent) & Hydrochloric Acid (HCL) in India
● World leader in wall clock manufacturing
● Ajanta chemical oldest company of group production levels of 36000 Metric Tonnes
every year, to be expanded to 45000 Metric Tonnes.
● Ajanta Pharma is listed with SEBI on NSE with LTP of ₹995.85 and P/E ratio of
20.46
● Ajanta Pharma stands tall with a market cap of 87.98 Billion rupees
● A leading workforce of 6500+ employees.

Competitive Forces

Supplier bargaining power is likely to be high when:

● There are no substitutes for the particular input


● The suppliers customers are fragmented, so their bargaining power is low,
● The switching costs from one supplier to another are high
● There is the possibility of the supplier integrating forwards in order to obtain higher
prices and margins

Customers bargaining power is likely to be high when:

● The supplying industry comprises a large number of small operators


● The supplying industry operates with high fixed costs
● The product is undifferentiated and can be replaced by substitutes
● Customers have low margins and are price-sensitive
● The customer knows about the production costs of the product

Threat of new entries:


● Economies of scale (minimum size requirements for profitable operations)
● Brand loyalty of customers
● Protected intellectual property like patents, licenses etc
● Scarcity of important resources, e.g. qualified expert staff
● Access to raw materials, distribution channels and customer relations are controlled
by existing players.
Threat of substitutes:
● Brand loyalty of customers
● Close customer relationships
● Switching costs for customers
● The relative price for performance of substitutes
● Current trends.

Competitive rivalry between existing players:


● There are many players of about the same size
● Players have similar strategies
● There is not much differentiation between players and their products,hence, there is
much price competition
● Low market growth rates

Drivers Of Change In Industry

Technological factors that are driving change in the industry are discussed below
● Big data and Artificial intelligence - As the companies grow bigger they gather more
data about their process, consumer, market trends and everything that can be
logged. Using artificial intelligence industry is transforming the way of decision
making. Analytics is making it possible to predict the behaviour of the consumer
even before the product has been launched. This is playing key role in
management.
● Automation - It brings more standardized practices to action with the possibility of
eliminating human errors. It makes the outcome more consistent with increased
productivity. At the same time it enables the employees to develop new skills that
keep them relevant to changing jobs.

Social factors that are driving changes in industry are discussed below
● Customer loyalty - customer loyalty no more exist in present world. If the customer
is not satisfied with your product/service he/she will not hesitate to change his/her
loyalty towards your brand. With the emergence of new age companies coming up it
is difficult to satisfy and retain your customer. This phenomenon is driving a healthy
and fierce competition among the companies.

Economic factors
● With the appearance of venture capital and other capital institutions access to
funding has become more convenient. Banks and government are encouraging the
establishment of SMEs across the country. This is helping generate employment
and affordable products and services.
● India is fastest growing economy in world. FDI flow in country is bullish which is
driving the growth of our nation.
Key Success Factors

● Durable consumer goods industry is recognized as an industry.


● In international retail expansion countries India gets 1​st ​position during year 2011-12.
● Sufficient number of workforce is available in this industry.
● Disposable income is increasing significantly in Indian Consumer Classes.
● Durable goods industry is technological intensive industry.
● Indian durable good industry is less saturated as compared to other countries.

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