Marketing Plan for Bata Essay Example for Free

Marketing Plan for Bata EssayIn this perfect grocery store demand, about 42% are brand-driven. And bata is covering about 12% of the organized footwear segment. perseverance environment- menace of new entrants- There are m whatever barriers to entry preventing new entrants from capturing significant market share. grownup footwear producer enjoy economy of scale that create cost advantage over any new rival. BIL differentiated its product from rivals product like Comfort (using dynamic spring fill out that acted as cushion on the feet for womens footwear), Wind (in build air technology that allowed feet to breath odoriferous air) etc. The capital requirements are a high entry barrier to a new whole to the industry. However, an existing shoe manufacturer may enter the athletic shoe industry simply by re-tooling their manufacturing plant. Switching cost is very low for footwear industry because shoes are relatively twopenny-halfpenny personal untroubleds that are frequent ly replaced. Access to distribution channel is barrier to entry because it is really sticky for a startup firm to get shelf space at major shoe retailer. except existing firm may use their existing connections to easily access shoe distribution channel.dicker power of buyer- Bata is largest player in industry with 9-10%volume share and 60% market share in organized segment. It had a market share of 70% in canvas shoe segment and 60% in leather shoe segment. Their dominant market share give them power over buyer. Bata is a big buyer of raw material who buys significant part of suppliers revenue. This in a way provides good bargaining power over suppliers. As a part of its strategic decision Bata set up a rubber/canvas factory in Faridabad, Haryana in 1951. So it can threaten its supplier to integrate backward.Bargaining power of supplier- Shoes are made of leather, rubber, nylon etc. These materials could be classified as commodities, where the manufacturing process adds the value . For this reason supplier have limited bargaining power over buyers. Threat of substitute product- Consumer switched from one product to another if alternatives are available in same quality and mathematical operation range and have competing price or lesser price. BIL produces 10% of total hawai ranged from Rs. 35-110 while competing local brands were sell at Rs. 25-50.Again when global trade open then market flooded with many foreign brands having variety and competing price. Rivalry among existing firms- Mostly numbers of competitors are stable, especially because of high entry barriers. This adds to the tilt among existing firm. Manufacturers watch each other carefully and make appropriate countermove to match the competitors move. leadership competitor of BIL are Lakhani shoes, liberty shoes, action shoes, woodland, paragon and relaxo in organized segment. General environment- Demographic- Indian market is highly fragmented between rural and urban market.Thus with the imp lementation of Marketing plan the federations profit are expected to rise by 100. 30 crores compared to the actual profit that it result have without the implementation of marketing plan. Implementation controls The progress can be measured on quarterly basis by comparing the companys egression rate with that of the industry for that quarter The metropolis Asset Pricing Model van be used where R(b) = R(i) + beta(R(i)) Here R(b) is the expected growth (here sales) for Bata India Ltd and R(i) is growth of the Industry. Beta is the equating factor that tell by how much the company has grown with respect to the industry.