SIFL can go global at this stage. The market share they have rite now will be there strong part. And moreover as per the details given the products of SIFL is well known in the market. The main point mentioned was that in India there products are popular among the urban areas. And basically Urban people means particularly in this case that they are those people who are running behind money or the people who are always busy and who dont have enough time/interest in what they eat or what they are going to cook and eat. Why i am mentioning this point here is because since SIFL wants to go people it should first aim at the consumers , the kind of consumers who are going to use their products.And in the countries like US, UK , Singapore and Malaysia particularly the lifestyle there is so fast that the ready made products of SIFL will definitely work out in this market. The above points tells that SIFL can go Global. There are many other points to be noted : *They need to study the market *The competitors names and their rates *Need to target the right people who are really in need of these products. (this is because first if they are able to get these people it will be very easy to get consumers from these consumers- Marketing Strategy).
And at last the GLobal market policies and the investment have to be taken care of. WHich i personally doesnt have much knowledge.
Also the points to ponder on: 1. Concentrate on Sales & Marketing team (the heart of business). 2.
Few points to note.... 1. I don't see a detailed mention of the production capacity. We are talking about increasing production, but not on the production capacity. The mention of the production is more qualitative and not quantitative.
2. What data Mr.Krishnan collected from visit abroad.
Anyway, taking in consideration, production increase, inventory control, and sundry creditors are manageable it makes every sense, to go global. I sincerely feel going global does not loose focus on the Indian market.
1. Hence to ensure that, Mr. Krishnan, should first setup, a small overseas operations department here. The department should be headed preferably by a person, who has worked/handled oveseas primarily food stuff or otherwise FMCG distribution. This is a suggestion, as it seems from the company turn over, that the company can even pay a slight premium to afford one.
2. Mr.Krishnan, should pay special attention to the new revenue model but lay an equal attention to the national business. But to ease a bit of load, should, promote Maya to VP-National Operations and Sales.
3. For the global business, SIF should focus on local production and export of the local production by opening a EOU SPV. This will help him in factoring for export bills, and can extend a decent credit to the distribution chain. And help the distribution chain also get the benefit of greater profit than, the other brand which may be present or can come up in future. The key to conventional bus
WELL, GOING GLOBAL NOT A BAD IDEA AT ALL. I WILL PERSONALLY APPRECIATE IF THE CO. WORKS OUT ON THE POSIBILITIES OF CAPTURING THE INDIAN MARKET IN FULL. AS OF NOW I PERSONALLY FEEL THAT THIS COMPANY WHO HAS NOT EVEN CONVINCED OUR OWN COUNTRY CUSTOMERS, WHO THEY KNOW VERY WELL, HOW CAN THEY THINK OF CREATING MARKET ABROAD. TOTTALLY UNDIGESTABLE. WILL APPRECIATE CO. EFFORTS IF AT ALL THEY WORK ON INDIAN MARKET, WHICH INFACT HAS ALL THE STRENGTHS. SEE HOW RELIANCE GROUP GREW WITHIN 20-30 YEARS, EVEN AFTER THE SPLIT GOING GREAT GUNS. THEY HAVE COME EVEN INTO VEGETABLES IN INIAN MARKET, AND WHAT YOU ARE TARGETTING IS UNIMAGINABLE. SEE HOW NIRMA ONCE CAME WITH THE IDEA OF WASHING POWDERS AND RULED FOR SOMETIME BEFORE VANISHING AWAY. FRIENDS COME UP WITH SOEM SOEM IDEA OF PROMOTING THE PRODUCT IN YOUR OWN COUNTRY. JUST HAVE ENOUGH FAITH IN INDIA WHERE YOU ARE BORN AND THE COUNTRY WHO HAS GIVEN YOU STRENGTH TO EVEN THINK OF EXPORTING GOODS. BELIEVE YOUR COMPANY WILL GROW IN LEAPS AND BOUNDS. PROMOTING THE PRODUCT IN INDIAN MARKET LOTS OF IDEA CAN BE GENERATED BUT THAT WILL REQUIRE SOME GOOD PROFESSIONALS WHICH I PERSONALLY THINK YOU DONT HAVE NOW OR ELSE YOU WOULD NOT HAVE COME TO THIS PALTFORM SEEKING OPINION OF GENERAL PUBLIC.
ANYWAY MY OPINION JUST THINK OF INDIA IN POSITIVE FRAME OF MIND AND YOUR JOB WILL BE DONE IN MINUTES.
I feel that SIF can go global, but the strategy they need to adopt is "Enter into licensing agreements with mid-size food companies in the US and the UK for carrying out production and marketing operations in those countries".
SIF is mostly into perishable products and due to this exporting of the same is not such a good idea.
Venturing and setting an organization in an unknown and unpredictable market is a very risky proposition.
There is no hands on experience in dealing with the International Clients.
Hence, it will be better to tie-up with an organization belonging to that place initially. Later as they get a feel of the foreign market, they can get a better holding.
Further to that, depending on how the market relates to their product, the future can be decided.
Yes, it%u2019s a GOOD VISION, GO GLOBAL. Define a separate business expansion budget from projected additional revenues; be careful of investor%u2019s money. First in 2007 & 2008 go all India. Make 4 pilot projects to penetrate fast in WEST/NORTH/EAST/CENTRAL India. Make four task-oriented teams comprise of 4 each RSM level ambitious/self-motivated people from Marketing, Production, Finance and one hired from local region from food industry. Define subjective/Objective parameters with clear forecasting (ROI).Each team will identify products to be introduced, production initially from available facilities, define process of marketing and distribution channels and yes costing too. Implement viable projects in each region. Learn from success & failure. Modify and establish a strong Indian brand name. In due course of time keep working on upgrading manufacturing units, acquire international standard certification. 2009 make a pilot project of one foreign country with similar pattern utilizing additional revenue generated from above projects to avoid jeopardizing investors. Learning from success/failure of above projects, GO GLOBAL 2010.
FIRST OF ALL,GOING GLOBAL MUST HAVE AN OBJECTIVE.IF IT IS FOR SATISFACTION BEING A SUCESSFUL BUSINESS MAN THEN MAY BE OKK BUT WHAT ABOUT BRANDING!!FIRST CREAT A BRAND."SIF"CAN T BE A BRAND BUT SOME PRODUCT LINES HAS THAT POTENTIAL.U STILL NT PRESENT IN 90% DOMESTIC MARKET(I BELIEVE) SECOND IMP POINT IS, THESE PRODUCTS ARE NOT MEANT FOR SOUNTH INDIANS.THIS IS FOR NON SOUNTHINIDANS.CHANGE YOUR STRETEGY.CONCENTRATE WHERE YOU FIND NON SOUTHINIDAN POPULATION.INDIA OR ABROAD BUT THIS CAN BE A PICNIC AND PARTY ITEM.IT MAY BE A GET TO GEATHER ITEM.PROJECT IT LIKE THIS.FIRST CREAT THIS BRAND THEN EXPAND.IF I LL GO TO WATCH PVR MOVIE THE ALSO I GT A ECHO OF UR BRAND LINE FROM THERE.YOU HAVE TO FOLLOW BELOW THE LINE MARKETING PATH TO BUILD THIS BRAND THEN GO GLOBAL..
Hi, You have two things 1.Concentrate on local market as the profit is not so huge to invest in International Market., 2.Enetering into a licensing agreement with a midsized company, but, still it needs lot of analysis and investment.The Reason is USA is flooded with packaged food products and we also have many Indian brands and USA brands.It is better to enter with a licensing agreement with a midsized company, and the USA trust a branded one as they are more worried about their health , and so you will need to tie up with an US-Indian brand or start with a already setup industry to produce your product and as your investments would help for more growth into the market and as well as try to get a brand name. The total North American Canned Market was worth US$ 56.8 billion in 2005, and the Top-10 North American companies supplied 69.9% of this market. This total market is forecast to grow at an average annual real 0.32% during the 2005 - 2010 period.So you need to do a lot of ground work before you proceed any further ,first study the USA MArket where Indian are more in numbers and start working on mid-sized companies ,then you can think of your plans. Thanks. Srivastsa@rediffmail.com
