Instructions:: (1) All Questions Are Compulsory. Q1 - 10 Marks Q2-10 Marks
Instructions:: (1) All Questions Are Compulsory. Q1 - 10 Marks Q2-10 Marks
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[Time: 1 Hour]
Instructions:
Q1. Sachin and Virag are two enterprising youth. They have passed out from IIM, Bangalore. They
thought instead of doing a job, they will launch fresh vegetables in Indian markets. Having learnt of the
future conventional foods, they decided to venture into cultivation of mushrooms. Mushrooms are
known to be the best alternative food for vegetarians. For Sachin and Virag fund raising was a serious
handicap for mass production. However, the first trial batch of mushrooms that they produced was
bought by Star Hotel in Bangalore. Further, the hotel placed orders for supply of 20 kgs every day. Now
mushroom industry is run by small entrepreneurs, like Sachin and Virag. Another big player M/s
Ashtavinayak Mushrooms, equipped with cold storage facility was more interested in the export market.
Sachin and Virag have set their sights high. They aim to sell mushrooms in a very big way all over India.
Mushrooms have a great market potential and is a perishable food.
Questions A. How will you advise Sachin and Virag, as how to increase the consumer awareness about
this new food? B. What would be your suggestions for distribution channel for mushrooms?
Q2. India's Refrigerator market estimated at Rs. 2750 Cr. is catered mainly by 10 brands. The annual
capacity is estimated at around 4.15 million units is running head of demand of 1.5 millions. As there is a
demand and a surplus supply, all the manufacturers are trying out for new strategies in the market.
Times have changed and also the buying behaviour of the customer. Earlier it was cash and carry
system. Now dealers play an important role in selling; now the systems is exchange for old “bring your
old refrigerator and take a new one with many gifts”. A new company by name Electrolux has entered
the market which has acquired Allwyn, Kelvinator and Voltas brand. Researchers have revealed that
urban and city sales are declining and hence all manufacturers are trying to concentrate on rural
markets. Electrolux strategy is customisation of market, with special attention to the Northern and
Southern India markets, while Godrej the main player thinks that dealer network in rural market for
sales and service will be beneficial and is trying to give more emphasis on dealer network, whereas
Whirlpool has adopted the strategy of increasing the dealer network by 30%. The market shares of the
major players are as follows: • Godrej 30% • Videocon 13% • Kelvinator 12% • Allwyn 10% • Voltas 5% •
Whirlpool 27% • Daewoo 1% • L.G 1% • Others 1%
Questions 1. Could the refrigerator market be segmented on geographical base planned by Electrolux?
2. What would be the marketing mix for rural market?