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MTR History Distribution Initially, the distribution chain too was not scientifically mapped out.

Distrib ution was random and based on gut-feel. MTR Foods started off sold by selling packaged food through a single grocery sit uated in Bangalore. The food mixes quickly became popular and demand for their p roducts began increasing rapidly. The company tied up with other retailers in Ba ngalore to carry its products. Through the early 1980s, MTR distributed exclusively in Bangalore, selling at va rious department stores and major groceries. In 1983, MTR decided to press into other southern cities and targeted centres like Madras, Hyderabad, and Vijayawad a. MTR is credited with a major technical innovation The polyester poly stand pack . This was a high-quality plastic bag with a pyramidal base which enabled it to stand upright. The upright bags greatly increased the brand's visibility on stor e shelves. Through the next ten years, MTR Foods consolidated its position in southern Indi a and expanded its manufacturing facilities. The only big food companies operati ng across India were Hindustan Lever Ltd. MTR claimed to have leading market sha re in several product categories. MTR worked its way into being a respectably si zed regional player in the 1980s. MTR began work towards becoming a more prominent company in the early 1990s. The company increased and diversified the number and range of products it offered a iming at appealing to newer markets and managed to get a substantial market shar e in predominantly vegetarian areas. By the end of the 1990s, reports suggested that about 80 percent of Bangalore's high-tech workers were MTR consumers. In order to accommodate future growth, the firm changed its structure by dividin g it into two divisions, one for its main food lines, spices, and vermicelli, an d another to cater to the snacks segment. It also launched an export division. Sales at MTR grew as much as 40 percent annually by late 1990 s.MTR launched the Sof ty ice cream cone in 1998 with which it managed to gain a nationwide following. The cone became an instant hit and it was able to price its ice cream competitiv ely against major competitors like Hindustan Lever along with a comfortable prof it margin. The pricing of frozen foods went to as low as half of its competitors . It began targeting the higher class population and struck deals with five star hotels for supply.