PGDISEM @ NITIE

in association with

PE INTERNATIONAL
presents

LET’S GO GREEN
Introduction to the Case
The growing social and regulatory concerns for the environment lead an increasing number
of companies to consider green issues as a major source of strategic change.

Concerns about sustainability are increasingly affecting consumer behaviour. As consumers

become increasingly sensitive, it becomes imperative for the companies to respond to this
changing consumer sentiment.

This case deals with the feasibility study and analysis that has to be carried out by a FMCG
manufacturer to assess the possibility of introducing an ecologically friendly toothpaste into
the Indian market.

Green products
While several criteria have been proposed for different industries in the quest to measure
"greenness" and guide companies towards responsible behaviour, there are no widely
accepted standards or recommendations for best practices.

In the FMCG space, attributes like Phosphate Free, Fluorine free, Ozone Friendly etc. are
some of the things consumers most often associate with green products.

In order to create a truly sustainable product, the entire lifecycle of the product has to be
considered, and not just the manufacturing and use phases.

Fig. Life cycle of toothpaste

In the words of Jean-Renaud of WWF, stressing the need for life cycle thinking: "Nature does
not do dumping; there is a continual cycle going on for everything. Humans are breaking this
natural cycle. When too much is taken out of the environment and nothing is coming back
in, we end up with a serious imbalance.”

The list of issues to consider in order to define a green product is industry specific, and
includes material usage, infrastructure and embedded energy and sustainable sourcing,
among other things.

Consumer attitudes and preferences

According to the 2009 BCG report ‘Capturing the Green Advantage for Consumer
Companies’, "The green movement is about reducing waste and minimizing our impact on
the environment. Companies that translate these goals into a holistic approach to offering
differentiated green products bringing down costs across the entire value chain have been
rewarded with higher margins and market share."

The rising public awareness about sustainability issues and the increasing understanding of
consumer preferences and behaviours presents new opportunities for the manufacturing
sector. A growing number of people are willing to pay a premium for green products.
However, manufacturers must always keep in mind that consumers are unlikely to
compromise on traditional product attributes, such as convenience, availability, price,
quality and performance.

34% of consumers indicate they are more likely to buy environmentally responsible
products today and 70% indicate that they are paying attention to what companies are
doing with regard to the environment.

Many believe that the Millennial generation (ages 13-29) is the demographic which will
bring a step change in eco awareness and lead real change. 76% of consumers (13-29) feel
it’s very important for brands to get involved in the green movement. However, 71% of
teens (ages 13-17) said they would choose the less expensive product over a more
expensive one that “gave back” to the environment.
The Situation:
‘Daily Wellness’ is a leading FMCG manufacturer in India, and has its product offering across
all segments in the FMCG market. Daily Wellness has grown substantially with the organized
FMCG boom in India, and currently has a market share of 26 percent in toothpastes.

One of the most popular toothpaste variants, ‘Shine’, is a product targeted at the upper-
middle class segment in the Indian market.

The principal objective is the evaluation of the future of this toothpaste. The management
of Daily Wellness Company is discussing the fate of the Shine brand of toothpastes in the
market. The product managers of Shine have identified that it is fast approaching the
declining sales stage of its life cycle.

The management of Daily Wellness Corp. has considered the following options for future of
their product:
1. The possibility of retiring Shine and marketing a new product that is environmentally
friendly.
2. The possibility of reviving the Shine brand of toothpastes by a rebranding strategy.

Which of the above two options should Daily Wellness adopt?

Carry out an analysis of the environmental and business impacts, taking into account the
processes involved in manufacture, distribution, use and disposal for both the existing and
the new product options.

Come up with a comprehensive solution to address the current situation, mitigating the
problems related to marketing, cost control etc., as well as the pricing strategy to be
followed taking into account the attitudes, perceptions and expectations regarding
sustainability and the FMCG industry. Spell out the explicit and implicit benefits to
customers, the company and the environment of each of the above options, taking into
account the impacts on cost, revenue, risk, reputation and access to capital.
About PE international
Sustainability awareness is the road to long-term corporate operation and a vibrant
environment.

PE INTERNATIONAL has been steadily guiding companies all over the world along this road
since 1991. Today, PE INTERNATIONAL is an international market leader in strategic
consultancy, software solutions and extensive services in the field of sustainability.

PE INTERNATIONAL provides conscientious companies with cutting-edge tools, in-depth

knowledge and an unparalleled spectrum of experience in making both corporate
operations and products more sustainable. Applied methods include implementing
management systems, developing sustainability indicators, life cycle assessment (LCA),
carbon footprint, design for environment (DfE) and environmental product declarations
(EPD), technology benchmarking, or eco-efficiency analysis, emissions management, clean
development mechanism projects and strategic CSR consulting.

Moreover, PE INTERNATIONAL offers two leading software solutions - the GaBi software for
product sustainability and the SoFi software for corporate sustainability. Over 1000
companies and institutes worldwide put their trust in PE INTERNATIONAL’s consultancy and
software, including market and branch leaders.

The above case study aims specifically to communicate sustainable development practices
using the work of PE INTERNATIONAL as its platform and source. This study aims to include
specific projects, learning processes and strategies that companies are using or may use in
order to inspire others to contribute in a pro-active way to sustainable development.
Rules and Guidelines

Team formation Rules:

Each Team can have maximum of two members
Both members have to be from the same institution.
One individual cannot be a part of more than one team.
Once a team has been formed, no change in the team composition will be permitted.
There is no restriction on the number of teams that can participate from an institute.

Stage – 1:

Submission Guidelines:
Each team should submit an Executive Summary not exceeding 500 words.
The word limit for the case analysis document is 2500 words exclusive of the executive
summary.
The document is to be submitted in both .doc and .pdf format. It should be Times New
Roman font, size 12 with 1.5 line spacing.
The cover page should contain the name of the institute, team name, names of the
team members, their e-mail addresses and contact numbers. The names of the
participants or their institute should not appear anywhere else in the document
The document needs to be named as LetsGoGreen_InstituteName_TeamName.
Entries need to be mailed to envision.gogreen@gmail.com with the subject as
LetsGoGreen_InstituteName_TeamName
Deadline for submission of case analysis is 13th August, 2010 23:59 Hrs

Stage – 2:
Five Short-listed teams would be invited to present their papers before an esteemed
panel of judges at ‘EnVision’ to be held on 20th August, 2010 in Mumbai.
Travel reimbursements will be made for the shortlisted teams for a maximum amount
of the sleeper class railway return tickets for the shortest distance between the
participant’s institute a nd Mumbai. Any difference arising over and above the sleeper
class fare will have to be borne by the participants themselves.

Disclaimer

The decisions of the organizers of the contest and the panel of judges will be final and
binding on all the participants.
Organizers reserve the right to not award some or any of the prizes, in case the entries
submitted are not up to the standard.
Important Dates

Submission of case analysis: ` 10th August, 2010, 23:59 Hrs

Results of 1st round: 13th August, 2010.

Final presentations: 20th August, 2010.

Prizes
1st prize - ` 15,000

2nd prize - ` 10,000

Individual participation certificates will be awarded to all finalists.

Contacts
For any queries, please send mail to envision.gogreen@gmail.com with subject
QUERIES_LetsGoGreen.

Team EnVision

Anish Sengupta: 9619578067

Terry Thomas: 9619569670