QUES:-1 What is BOSTON CONSULTING GROUP (BCG) MATRIX , how is it useful for planning?

Ans:-1 The Boston Consulting Group (BCG) Matrix is a simple tool to assess a companys position in terms of its product range. It helps a company think about its products and services and make decisions about which it should keep, which it should let go and which it should invest in further.

Question Marks Question marks are products that grow rapidly and as a result consume large amounts of cash, but because they have low market shares they dont generate much cash. The result is a large net cash consumption. A question mark has the potential to gain market share and become a star, and eventually a cash cow when the market growth slows. If it doesnt become a market leader it will

become a dog when market growth declines. Question marks need to be analysed carefully to determine if they are worth the investment required to grow market share.

Dogs Dogs have a low market share and a low growth rate and neither generate nor consume a large amount of cash. However, dogs are cash traps because of the money tied up in a business that has little potential. Such businesses are candidates for divestiture.

Stars Stars generate large sums of cash because of their strong relative market share, but also consume large amounts of cash because of their high growth rate. So the cash being spent and brought in approximately nets out. If a star can maintain its large market share it will become a cash cow when the market growth rate declines.

Cash Cows As leaders in a mature market, cash cows exhibit a return on assets that is greater than the market growth rate so they generate more cash than they consume. These units should be milked extracting the profits and investing as little as possible. They provide the cash required to turn question marks into market leaders.

QUES:-2 Describe porters five forces models and its use I strategic management.
Ans:-2 Michael Porter designed various vital frameworks for developing an organizations strategy. One of the most renowned among managers making strategic decisions is the five competitive forces model that determines industry structure. According to Porter, the nature of competition in any industry is personified in the following five forces: i. ii. iii. iv. v. Threat of new potential entrants Threat of substitute product/services Bargaining power of suppliers Bargaining power of buyers Rivalry among current competitors

The five forces mentioned above are very significant from point of view of strategy formulation. The potential of these forces differs from industry to industry. These forces jointly determine the profitability of industry because they shape the prices which can be charged, the costs which can be borne, and the investment required to compete in the industry. Before making strategic decisions, the managers should use the five forces framework to determine the competitive structure of industry. Lets discuss the five factors of Porters model in detail: 1. Risk of entry by potential competitors: Potential competitors refer to the firms which are not currently competing in the industry but have the potential to do so if given a choice. Entry of new players increases the industry capacity, begins a competition for market share and lowers the current costs. The threat of entry by potential competitors is partially a function of extent of barriers to entry. The various barriers to entry are Economies of scale Brand loyalty Government Regulation Customer Switching Costs Absolute Cost Advantage Ease in distribution Strong Capital base

2. Rivalry among current competitors: Rivalry refers to the competitive struggle for market share between firms in an industry. Extreme rivalry among established firms poses a strong threat to profitability. The strength of rivalry among established firms within an industry is a function of following factors: Extent of exit barriers

Amount of fixed cost Competitive structure of industry Presence of global customers Absence of switching costs Growth Rate of industry Demand conditions

3. Bargaining Power of Buyers: Buyers refer to the customers who finally consume the product or the firms who distribute the industrys product to the final consumers. Bargaining power of buyers refer to the potential of buyers to bargain down the prices charged by the firms in the industry or to increase the firms cost in the industry by demanding better quality and service of product. Strong buyers can extract profits out of an industry by lowering the prices and increasing the costs. They purchase in large quantities. They have full information about the product and the market. They emphasize upon quality products. They pose credible threat of backward integration. In this way, they are regarded as a threat. 4. Bargaining Power of Suppliers: Suppliers refer to the firms that provide inputs to the industry. Bargaining power of the suppliers refer to the potential of the suppliers to increase the prices of inputs( labour, raw materials, services, etc) or the costs of industry in other ways. Strong suppliers can extract profits out of an industry by increasing costs of firms in the industry. Suppliers products have a few substitutes. Strong suppliers products are unique. They have high switching cost. Their product is an important input to buyers product. They pose credible threat of forward integration. Buyers are not significant to strong suppliers. In this way, they are regarded as a threat. 5. Threat of Substitute products: Substitute products refer to the products having ability of satisfying customers needs effectively. Substitutes pose a ceiling (upper limit) on the potential returns of an industry by putting a setting a limit on the price that firms can charge for their product in an industry. Lesser the number of close substitutes a product has, greater is the opportunity for the firms in industry to raise their product prices and earn greater profits (other things being equal). The power of Porters five forces varies from industry to industry. Whatever be the industry, these five forces influence the profitability as they affect the prices, the costs, and the capital investment essential for survival and competition in industry. This five forces model also help in making strategic decisions as it is used by the managers to determine industrys competitive structure. Porter ignored, however, a sixth significant factor- complementaries. This term refers to the reliance that develops between the companies whose products work is in combination with each other. Strong complementors might have a strong positive effect on the industry. Also, the five forces model overlooks the role of innovation as well as the significance of individual firm differences. It presents a stagnant view of competition.

QUES:-3 Write mission and vision statement of five Indian and five foreign companies. Ans:-3 MISSION AND VISION OF FIVE NDIAN COMPANIES 1.) THE ITC MISSION:To enhance the wealth generating capability of the enterprise in a globalising environment delivering superior and sustainable stakeholder value.

THE ITC VISION:Sustain ITCs position as one of the Indias most valuable corporations through world class performance creating growing value for the Indian economy and the company stakeholders.

2.) TVS MOTOR COMPANY- MISSION We are committed to being a highly profitable, socially responsible, and leading manufacturer of high value for money, environmentally friendly, lifetime personal transportation products under the TVS brand, for customers predominantly in Asian markets and to provide fulfilment and prosperity for employees, dealers and suppliers.

TVS MOTOR COMPANY-VISION TVS Motor will be responsive to customer requirements consonant with its core competence and profitability. TVS Motor will provide total customer satisfaction by giving the customer the right product, at the right price, at the right time.

3.) MISSION OF PARLE-G

"We will be leaders in our business by maintaining high qiality, introducing new and" innovative products, reaching every part of India, remaining customer centric, constantly upgrading our knowledge and skills

VISION "To be the leaders in our business. We will stand apart from the competetion by being the first in the market to innovate"

4.) Mission of Tata power: We will become the most admired and responsible Power Company delivering sustainable value by:

Operating our assets at benchmark levels Executing projects safely, with predictable benchmark quality, cost and time Growing the Tata Power businesses, be it across the value chain or across geographies, and also in allied or new businesses Driving Organizational Transformation that will make us have the conviction and capabilities to deliver on our strategic intent Achieving our sustainability intent of Leadership with Care, by having leading and best practices on Care for the Environment, Care for the Community, Care for the Customers and Shareholders, and Care for the People

Visionof Tata power: To be the most admired and responsible Integrated Power Company with international footprint, delivering sustainable value to all stakeholder.

5.) MISSION N VISION OF BRITANNIA VISION To dominate the food and beverage market in India with a distinctive range of Tasty Yet Healthy Britannia brands.

MISSION

To dominate the food and beverage market in India through a profitable range of Tasty yet Healthy products by making every Indian a Britannia consumer. We want to be part of our consumer- at home, out of home, a natural part of his life.

MISSION AND VISION OF FIVE FOREIGN COMPANIES:-

MISSION OF TELIASONERA
1.) TeliaSoneras mission is to help people and companies communicate in an easy, efficient and environmentally friendly way, by providing network access and telecommunication services.Our focus is to deliver a world-class customer experience, while ensuring the quality of our networks and maintaining a cost efficient structure.TeliaSonera is an international group with a global strategy, but wherever we operate we act as a local company.

VISION OF TELIASONERA TeliaSonera is a world-class service company, recognised as an industry leader. We are proud pioneers of the telecom industry, a position we have gained by being innovative, reliable and customer friendly. Wherever we operate, we act in a responsible way, based on a firm set of values and business principles. Our services form a major part of peoples daily lives for business, education and pleasure.

2.) MISSION N VISION OF NESTLE Mission: From vision to Strategy

Our vision is translated into the four strategic pillars of consumers, science, peopleand implementationThe first Pillar, people:Social and behavioural sciences to better understand consumer preference andeating behaviourScience:Open innovationScience and technology Know-howLeveraging the knowledge base across the companyPeopleInnovation culturePassionate peopleHuman Resources supportImplementationStage-gate project managementQuality and SafetyLegal and Regulatory AffairsCommunication

3.) MISSION N VISION OF INFOSYS MISSION

Infosys International Inc. is dedicated to providing the people, services and solutions our clients need to meet their information technology challenges and business goals.

Work to understand the needs and requirements of our clients before proposing a solution Develop responsive proposals that provide cost-effective solutions to our clients needs Deploy the right mix of people and products to deliver value-added services and solutions to our clients Follow-up on the quality of our services and solutions to our clients Appreciate the trust that our clients put in us as we work with them to improve their business and information technology. VISION To help our clients meet their goals through our people, services and solutions

4.) Wipro's Mission and Vision

Having already achieved the pinnacles of process and quality credentials (through ISO 9000, SEI CMM, PCMM and Six Sigma), Wipro's Vision is focused on attaining leadership in the areas of business, customer and people. Business Leadership: Among the top 10 Information Technology Services companies globally and the No.1 Information Technology company in India. Customer Leadership : The No.1 choice of customers through innovative solutions and Six Sigma processes. People Leadership : Among the top 10 most preferred employers globally by creating an environment of empowerment, intellectual challenge and wealth sharing. Brand Leadership : Wipro to be among the 5 most admired brand in India.

5.) MISSION N VISION OF SAMSUNG Samsung's current Management Philosophy is "We will devote our human resources and technology to create superior products and services, thereby contributing to a better global society." Since its founding in 1938, SAMSUNG has maintained a mission statement that responds both to its own change, and to new developments in the world: "Economic contribution to the nation", "Priority to human resources", "Pursuit of rationalism". Each slogan represents significant moments in SAMSUNG's history, reflecting different stages of the company's growth from a domestic industrial leader into a global consumer electronics powerhouse.In the 1990's, we transformed our mission statement to keep pace with our growing global operations, rapid changes in the world economy, and escalating competition from well-established rivals.

NAME-PRIYA CHOPRA GROUP-SECOND ROLL NUM-245