SIF like many other peers wants to go Global;it is a case of herd following but nothing wrong in that. First the NEGATIVES of the company. 1.Small turnover of 26 cr with 6 manuf. units. 2.Success in India does not mean Success in Exports. 3.From dis.it is clear that NO ONE in company has any idea about Exports. 4.Knowing S Indian Culture Mgmt is likely to be conservative in spending money on building Brand Equity.It will remain a classic story of Chicken n Egg.
Now the POSITIVE'S:
1.A strong dedicated Professional Team.
2.Already TECHNICAL Knowledge about Product and idea about Consumer Likeness.
STRATEGY
1.Make a seperate subsidairy for Exports. This will help to raise funds and monitor costs.
2.Do Test Marketing in a country with sizable S Indian population.US/UK should be avoided as they are High Cost Entry Points and a failure here, which could be more due to low spends on Advertising and Promotions, may give a setback which actually may not be correct.A success in Low Cost Country could provide the necessary strength in dealing with Companies in US/UK.Also it will help to sort out initial problems on Packaging,Shelf Life and other Logistics which are going to be different from India.
3.Use only Coimbatore factory for Export Production as the Top Mgmt is located here.
4.Hire a COO experienced in launching Food Products successfully in World Markets.
Remember how SIF started and has grown;so do not expect OVERNIGHT RESULTS N HV PATIENCE.
