A Comparative Study of Consumer Durable Brands in India

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					THE WHARTON GLOBAL CONSULTING PRACTICUM (GCP):
                 Introduction to the GCP – Wharton Candidates

                               August/September 2006 – V1.1
The GCP experience is not for all people…


Wharton’s efforts to internationalize and integrate the curriculum
 are tremendous. My best class was the Global Consulting
 Practicum, which teamed groups of Wharton students with
 groups of MBA students from international schools to solve
 specific business problems for real companies (my team helped
 an Israeli manufacturer discover markets for their products
 within the US)


                          - Wharton/GCP Alumnus, BusinessWeek




                                 2
Presentation purpose, goals and agenda


 Presentation purpose/goals

 •   Understand why many alumni consider GCP their “most valuable” Wharton course
 •   Enable you to ask pre-application questions
 •   Appreciate the GCP’s opportunities/challenges because IT’S NOT FOR EVERYONE!
 •   Persuade some and dissuade others




                 Agenda
                 • GCP overview and education
                 • Companies served
                 • How it works
                 • Voices of experience - what’s in it for me?
                 • Q&A



                                             3
    GCP overview and education




4
                                                                                                                                              GCP overview


GCP: a global Wharton course and professional network that
enhances overseas companies’ US entry and expansion

                                                                                                                                        Key highlights

 • Since 1978, facilitating [fee-paying] companies’ entry/growth in the US
      – Initially, Israeli firms
      – Global expansion in 1997
      – First social impact (SIM) project in 2003
 • Top-tier MBA teams execute engagements with clients’ Executives/Senior Managers
     – Varied experience/skills tailored to each client situation
     – Approximately 5 Wharton + 5 Partner School teammates (+/-)
     – Spring semester with limited Fall semester preparation
 • Careful guidance of faculty with relevant experiences from Wharton/partner schools
 • Enhanced by an active professional network, assisting the teams and clients – consultants,
   industrialists, functional experts, lawyers, alumni
 • Significant “flagship” status for Wharton – PR, award-winning, relationship enhancing




          Responsible for more than US$300-$400 million a year in incremental revenue!1
 Note:
 1) Although results are client-specific, this represents an average 45x (45-fold) return on each client’s investment in GCP services


                                                                                            5
                                                                                                                                                         GCP overview

 Over 200 engagements completed in 27 years. Forthcoming
 year: maximum of 15 projects across 7 countries



                                                                                     Israel
                                                                                     (1978)
                                     Italy                                                                                              Chile
                                    (2007)                                                                                             (1997)


                Spain                                                                                                                            India
                (2006)
                                                                                           .                                                    (2002)


                                    China                                                                                               Peru
                                    (2005)                                                                                             (2003)
                                                                                Colombia
                                                                                 (2004)



          Responsible for US$300-$400 million a year in incremental revenue!1
Note:
1) Although results are client-specific, this represents an average 45x (45-fold) return on each client’s investment in GCP services


                                                                                           6
                                                                                                                                  GCP overview

   Goals for clients: not only benefit from “typical” consulting
   deliverables since the GCP offers much more


                                                  The GCP Network Difference1

GCP clients benefit from these                                                                             …but enjoy these benefits that
   consulting offerings…                                                                                      are unique to the GCP


• Talented resources                                                                                              • Structured client
  addressing key issues2                                                     .
                                                                                          .
                                                                                                   .
                                                                                                                    involvement
• Research                                                                                                        • GCP academia/
                                                                        .                 .            .

• Analysis                                                                                                          professional network
• Strategic and tactical
                                                                             .
                                                                                          .
                                                                                                   .
                                                                                                                  • GCP approach and QA
  recommendations                                                                                                 • “Bring alive” helps to
                                                                     The GCP Network                                launch implementation
• Tailored deliverables
                                                                                                                  • GCP intellectual capital
                                                                                                                  • Post-project assistance
                                                                                                                    - case-by-case basis

Note:
1)      Based on client feedback and observations by the GCP professional network
2)      Several of which worked in consulting and the industries relevant to GCP clients’ issues

                                                                                          7
                                                                                 GCP overview

Goals/Benefits for students: successful, challenging “real
world” experiences to practically build career-related skills


Educational Goals/Targets                          Wharton Career Tracks

                                                    Brand and Product Management
• Hard skill development
    – Apply concepts, methods and paradigms         Entrepreneurship/Venture Capital
      from the curriculum
                                                    Healthcare Management
    – Deepen functional/industry knowledge
                                                    Management Consulting
• Executive/Board-level skill development
                                                    Marketing Strategy/Implementation
    –   360o   resource management
    – International virtual teaming                 Multinational Management/Intl. Business
    – Become a trusted advisor and decision-        OPIM/Project Management
      maker in any career
    – Structure the unstructured                    Strategic Planning/Implementation

                                                   Technology Management
• Build your network for ongoing career
  enhancement during/after GCP                     Wharton’s Lauder Program


        Not just for people targeting consulting! Confirm credit towards majors

                                               8
                                                                                            GCP overview

The GCP’s educational philosophy is unique compared to
other classes you will likely take at Wharton




• GCP offers a relatively “penalty-free but real” environment to learn for those who are committed
    – Learn by doing and the “experience”; limited lecture time
    – Strive to delight/add value to clients as consulting firm partners, brand mgrs, etc.
    – Learn from mistakes and mastering obstacles!
    – Seek/manage resources (i.e., professional network) to support your needs – it’s up to you to
      proactively manage

• Merit-based grading (1 cu, Spring semester) – not a forced curve
    – Team grade adjusted for personal contributions
    – Opportunities for continuous feedback/improvement
    – Based on value to the client over the engagement lifecycle and demonstrated growth over time
    – Input from faculty, TAs, GCP leadership and - most importantly – your teammates!

     A demanding and challenging experience considered to be one of the most
        rewarding and memorable at Wharton…but not for the faint-hearted!

                        Commitment and understanding are crucial!


                                                 9
                                                                                                  GCP overview

We adjust and tailor the educational philosophy’s implementation
by team to elevate performance and the Wharton/Partner brands

     Possible Action Sets for Coaching Teams
                High




                               Stimulate Performance               Higher Performance Elevation
                             Through Appropriate Team                Via “Premium Touchpoints”
                                   Enhancements
  Knowledge/Intellectual
         Capital




                                 Actively Guide and Lead                      Facilitate
                                       To Build Self-                  Discovery/Enlightenment
                                         Sufficiency
                Low




                           Low                       Ability/Motivation to                 High
                                                            Execute

                                    Collective responsibility for engagement success
                                                            10
     Companies served




11
                                                                                                 Companies served


To address management challenges, we tailor our services
to meet the needs of a diverse client base
                                                                          Illustrative – Not all inclusive
Industries                           Client environments                  High value-added services

                                     •   Start-ups                        •   Product planning and trend
•   Agriculture and irrigation                                                forecasting
                                     •   VC-funded
•   Biotechnology/Health and
    wellness                         •   Diversified holding companies    •   Value chain decision-making
•   Computer hardware/software       •   Kibbutz/Co-op                    •   Positioning/segmentation
•   Consumer products/services                                            •   Pricing strategy
                                     •   Multi-million/billion in sales
        – Soft/perishable                                                 •   Selecting/targeting segments
                                     •   New management
        – Durable
                                     •   Non-profit                       •   Strategic planning/partnering
•   High-technology
•   Industrial products/B2B          •   Private equity                   •   Diffusion process for new
                                                                              products/technologies
•   IT services                      •   Different lifecycle stages
•   Military/commercial conversion                                        •   Strategic market entry and non-
                                          – Innovation/Unclear                entry priorities
•   Security                                evolution
•   Semiconductor                                                         •   Competitive understanding
                                          – Early adoption
•   Telecommunications                                                    •   Channel development
                                          – Mature
•   Wireless                                                              •   Promotional support
                                          – Global/Internationalizing
                                                                          •   Sales force design
                                          – Declining


            With our breadth and depth of student, faculty and professional resources, we are
                          positioned to execute a very broad range of projects

                                                       12
                                                                                                                                                              Companies served

   The teams work with senior management to develop
   tailored, decision-oriented deliverables

                                                                                                                                                        Illustrative



   Tailored targeted deliverables defined at the kick-off and progress reviews:1
   • An operational, tactical plan, based on well-defined strategic analysis and market
     research (primary and secondary) provide to management
   • Implementation milestones based on key value chain success factors
   • Supporting financial implications and forecasts (varying depth)
   • Analytical tools and frameworks that could be used further by the management
     team (worldwide)
   • Tailored “bring alive” meetings arranged with U.S. industry players important to
     market understanding and implementation
             – In several cases, introductions to appropriate intermediaries or strategic players
               who can facilitate implementation
   • Team use of GCP proprietary intellectual capital used on projects - composed of
     private and public resources centralized on the GCP intranet


Notes:
1) These are typical, but may not be specific to each and every client. Also includes signed non-disclosure agreements by team members, mentors and faculty


                                                                                        13
                                                                                                Companies served - highlights



 Tangible results highlights from recent years

• 2002-2006: 49 engagements across Bolivia, Chile, China, Colombia, Ecuador, India, Israel, Jamaica, and
  Peru,
• Client highlights based on GCP work:
    – Cutting edge work for large corporate clients: RD1895, Colombrew, Femgene
    – High-profile “save the rainforest project” with the “Ben and Jerry’s” of Peru
    – 7x sales increases for Ecuadorian water company seeking a defendable, viable niche in the US
    – 2001 technology client: Est. $60 million in sales this year based, in part, on GCP market insights
    – Fish company: $10 million dollar contract with Wal-Mart for its own brand
    – 40% sales increase (estimated) for a struggling telecommunications infrastructure company
    – Marketing/operational improvement for Peruvian NGO promoting economic self-sufficiency for women
    – 2002 A/C project: a $1.5 million contract opportunity with recommended partner


                       Telecommunications Client (Email Message Sent to GCP Team):

    As a member of the telecommunications industry for over 20 years now I came away from our meetings and
    discussions so very impressed with the ability for each of you to acquire and digest such an accurate base of
    knowledge about our industry...especially at the pace at which you have done so!

    You should know that the discourse of the two days that we have spent together has been of considerable value to us
    as we are considering many of the options presented by your team…We spoke at length about the many variations of
    what we are doing now and what we could be doing per your suggestions. I am very confident that the result of these
    conversations will lead us to a better place than where we would be without all of your involvement.



                                                              14
                                                            Project Implementation Overview

We look for qualified candidate companies with a
desirable senior management profile



• “Apparent” value in terms of technology, product
  and/or service to the US or targeted market (customers,
  value chain players)
• Courage to implement logical recommendations/plans
• Responsible managers’ readiness
    – Learn new methods, strategies and paradigms
    – Work in a global virtual engagement with the
      dedicated, unified team and professional network
    – Understand GCP’s value – not just consulting
    – Communicate globally
• Overall business viability



    Companies realize value when management engages the team as a strategic
      resource - not a low cost alternative to a sales force or lead generator

                                           15
                                                                                                                               Project Implementation Overview

We screen prospective clients to enhance the likelihood that
the GCP will add value while providing a valuable education


 Key Screening Criteria for Project Selection                                                                                                                  Prospect
                                                                                                                                                                Rating
 Does the product/service/company offer distinct and apparent value for money in the
 increasingly competitive US or target market (initial impression)?

 Is management open to new and innovative thinking encompassing logical decision-making to
 drive courageous implementation?

 Has management understood and demonstrated enthusiasm to collaborate with the GCP?1

 What is the likelihood of allocating financial, capital and human resources to implement?

 Are the entry/expansion impediments operationally manageable (first impression)?

 Are there intangibles that would make the project appealing and career enhancing for MBAs to
 drive students’ passionate ownership of the work?

 Is the company able and willing to pay the GCP fee or to acquire funding resources to partially
 offset the cost while maintaining “skin in the game?”


              Key:                1 = No              2 = Unlikely           3 = Maybe/Neutral                    4 = Likely               5 = Definitely

 Note:
 1)      Please refer to the enclosed timeline that describes the expectations of management. Includes travel for kick-off and the May colloquium, a major progress review and
         ongoing communications with the team 1-2 hours every 1-2 weeks (based on agreement with the team)


                                                                                         16
                                                                                                                                                 Timeline and Budget

Project fee of $55-$85K covers project costs (no profit) –
inexpensive compared to alternatives in many markets
      Comparative Costs – GCP vs. Alternatives (Illustrative Estimates)
                       $600,000
                                                                        = Labor costs + project costs + overhead +
                                           $500+K                         profits
                       $500,000


                                                                        $400+K
                       $400,000
      US$ Total                                                                                     $350+K
      Cost Incl.
      Resource         $300,000
      Expenses                                                                                                           = Project costs
                                                                                                                         plus mgmt travel
                       $200,000


                                             $150K                                                                                  $85K
                       $100,000
                                                                         $100K

                                                                                                       $50K                         $55K
                                $0
               Alternatives:              US Consulting              Internal US-based               Israel-based                     GCP
                                                                         Resources                    Consulting

                                If I can pay 1/10 the price with comparable results, why
                                     should I pay $500,000 to a major consulting firm?
                               - Senior Manager, Johnson & Johnson, Consulting Magazine
 1)      GCP project price does not include client internal costs for consulting engagements (i.e., travel, communication expenses)
 2)      Since consulting firms do not provide several GCP services, this comparison focuses on research, analysis, planning and report production
 3)      GCP resources would be equivalent to junior consulting resources supported by the GCP network, QA processes and intellectual capital
                                                                                      17
                                                                       Timeline and Budget

 As clients invest in the GCP’s services, Wharton/Partners
 invest in clients’ and teams’ success


   Spirit of our dual mission: enhance clients’ businesses while providing leading,
                          innovative educational experiences

   Wharton/Partners fund expenses to enhance
   projects, client success and team learning:
• Faculty, country manager, leadership and
  teaching assistant salaries ($X00,000/year)
• Broadly, $Millions invested in:
    – Intellectual capital utilized by teams
    – Extensive alumni relations constituting the
      “support network” tapped on projects
    – “Intangible asset” investments leveraged by
      GCP clients (i.e., Wharton brand) to enhance
      their business credibility with stakeholders

 As clients invest in the GCP’s services, the GCP invests in project experiences that
              elevate the schools’ high-profile, institutional reputations!


                                           18
     How it works




19
                                                                                        How it works – student screening


    The teams are composed of top Wharton and partner talent -
    screened to create a diversified group meeting client needs

                Student Screening and Project Team Profiles1
• Industry experience, consulting, brand or product management,
  market research, finance, entrepreneurs
     – Other experiences based on client input

• Application: resume, cover and commitment letter, real project
  preferences and interview results
• Mix of 1st and 2nd year students
    – Some advance acceptances for next year are possible
• Applicants do not need:
    – Prior consulting/marketing experience (but helpful)
    – Language skills (but helpful when available)
    – International experience
• Many more students apply than are taken

          Historically: 2-3 applicants per 1 acceptance2
         Academic standing/schedule could be reviewed

Notes:
1.       Subject to applicant pool, availability and client input where feasible
2.       2004-2005 year featured a higher acceptance ratio
                                                                                   20
                                                                                      How it works


GCP teams collaborate with senior executives and managers
– supported by the network that YOU manage (or not)
• Managers work with the team (usually 4-6 Wharton and 4-6 local country teammates) in
  the self-managed “project core”
• The “core” focuses on Management’s key decisions to be made – emphasizing
  relevance (not an academic exercise)
• The core team is backed by the network to support progress, rigorous execution/logic,
  QA and success

    Self-Managed
    Project Core


                                                                          GCP         Profes-
   Client                GCP            Teaching    Project   Country   Leaders       sional
                                        Assistant   Faculty   Manager       &        Network/
  Managers               Team                                           Affiliated    Alumni
                                                                         Faculty




                                            21
                                                             Project Implementation Overview

Our professionals come from many backgrounds and include
GCP alumni, long-term friends and new players

        Affiliations (Partial)             Faculty/Board (Partial)

        •   Alcoa                          •   Jeff Babin
        •   Alvarez & Marsal               •   Dr. Lisa Cain (West)
        •   American Express               •   Ed Callan (West)
        •   AT Kearney                     •   Leslie Goldstein (West)
        •   Bain                           •   Dan Gusenoff
        •   Boston Consulting Group        •   Dr. Marisa Guerin
        •   Campbell’s                     •   Richard Koppel
        •   Ford                           •   Marc Kramer
        •   IRI                            •   Dr. Frank Lexa
        •   J&J/McNeil                     •   Alice Levy
        •   McKinsey & Co.                 •   Jody Levy
        •   Mitsubishi                     •   Phyllis Levy
        •   Monitor                        •   Prof. Len Lodish
        •   Rohm and Haas                  •   Steve London
        •   Tadiran                        •   Rob Mann
        •   Scient Corporation             •   Nigel Payne
        •   Towers Perrin                  •   Steve Smolinksy
        •   USWeb                          •   Dr. Lior Yahalomi
        •   Victoria’s Secret

                                      22
                                                                         Wharton Team


GCP Support at Wharton

Leadership
• Len Lodish, Leader, Co-Founder and Global Leadership, QA
• Rob Mann, Director of Consulting and Strategy, QA
• Jeffrey Babin, Country Manager - India
• Lisa Cain, Wharton West Manager
• Marisa Guerin, Country Manager – Andean
• Marc Kramer, Country Manager – Chile
• Frank Lexa, Country Manager – China
• Lior Yahalomi, Country Manager – Israel

Team Resources / Additional Support
• Colleen O’Neill, Finance and Development Manager
• Lisa M. Linn de Barona, Office and Logistics Manager
• Denise Smyth, Administrative Assistant
• GCP Leadership Board
• Lauder Institute, Support for culture and language training
• Consulting Resources, McKinsey, BCG, Bain, AT Kearney, etc.
• Alumni networks, Extensive GCP and alumni contacts across industries


            Contact us at (215) 898-2483 or wgcp@wharton.upenn.edu
                                              23
                                                                           How it works


Project teams have access to the GCP’s “resource toolbox”
composed of private/public intellectual capital (IC)


                                                        The GCP Resource
                                                             Toolbox

                                                      • Based on 27 years of
                                                        GCP experience
                                                      • 2002/2003: Formalized
                                                        into intranet resource –
                                                        continuously updated
                                                      • Centralizes public and
                                                        proprietary IC
                                                      • Centralizes global IC
                                                        from major consulting
                                                        firms
                                                      • Includes portal to
                                                        Wharton’s IC via
                                                        Knowledge@Wharton
                                                      • Centralizes the GCP
                                                        contact network

            YOU manage the resource utilization with our support
                                    24
                                                                                                               How it works


With some Fall preparation expected, projects are fully
executed between January-May with tailored timelines

Key Milestones – Fall Semester 2006                               Key Milestones – Spring Semester 2007
• Clients confirmed (targeted)   End September                    • Overseas travel (1/2 break)     Winter Break
• Applications due               October 6                        • Primary research/1st phase      Q3
• Interviews                     October 7-11                     • Devil’s Advocate                Mid-February
• Acceptance notifications       October 20                       • Progress reviews (1-2)          Feb and March
• Kick-off training              November 12                      • Strategy formulation/2 nd phase Q4

• Prep for winter client meeting Nov/Dec                          • May Colloquium                  Post-finals


       Sept-Oct          Oct-Nov                   Nov-Dec                 Jan-Mar              Mar-May
                     Ongoing communications with select company manager(s) (1-2 hours, 1-2 weeks)

       Company      Internal capabilities       Initial secondary       Primary market     Strategic options and
      preparation     assessment and           research and issue     research, analysis     detailed planning
     and GCP team     product/service             identification       and assessment
       selection       understanding


Company and           Introduction to         Internal      January off-site Progress               May session @
GCP commit to           teammates           preparation -   kick-off meeting reviews and            Wharton – final
   project                                                    to refine and    workplan         deliverables and Bring
                                                             scope project    refinement            Alive activities




                                                             25
                                                                                                 How it works

Expectations of our students – accountability, work hard,
push yourself, learn from mistakes and have a good time!

 Coursework                                           Travel

 • Nov/Dec preparation: Cumulative 2-4 days           • Winter break travel (½ the break time)
   (minimum but varies, could be more)                   – State Dept. warning alignment; travel to
 • Class meeting times (2nd semester)                       alternative locations when appropriate
    – Monday or Tuesday nights (likely)                  – Comply with Penn/GCP guidelines
    – 4:30-7:30 in assigned team rooms                   – Travel not guaranteed and not required if
 • Active use of Web Café – 2-day posting rule              you have safety concerns
 • Full attendance - workshops, meetings, May         • Clients pay basic travel expenses
   colloquium, etc.                                      – You pay for deviations from plans

 Administration                                       Values

 •   Clients pay basic research expenses              • Proactive collaboration with teammates/client
                                                      • Uphold the Wharton brand via quality and
 •   Teams manage budgets                               professional conduct – collective responsibility
 •   Limited administrative support                   • Commitment/Accountability to “go the extra
 •   GCP administration                                 mile” for your client/teammates
      – IRS compliance including receipts             • Creativity, initiative and responsibility
      – University procedures                         • Continuous feedback


                                                 26
Voices of experience – what’s in it for me?




            27
                                                                                     Voices of experience


Comments and advice offered by alumni reflect a
rewarding but demanding experience

Comments

• “Very demanding workload – wow, I now know the [consulting] lifestyle challenge!”
• “My prior consulting experience was taken to new heights because I pushed myself into new areas”
• “My GCP experience put me ahead in my [new] career at Booz-Allen”
• “The most valuable class at Wharton – kudos on the reality education”
• “My GCP experience has gone well beyond the class and has enhanced my professional network
  and my professional equity”
• “This far exceeded my learning team experience. Some of my best friends have come from the
  GCP and the difficulties we faced”
• “The beauty of the GCP is in the frustration and fatigue when helping a company”


Advice
• Demanding time commitment for a 1 cu class – take it for the experience
• Taking a 6th class is not recommended. Ensure core curriculum needs are managed
• The value you get correlates to the effort you put in – worth repeating!
• Don’t look at the GCP as just a class
   – Incorporate the experience into your resume and recruiting – no matter what career path
   – Proactively seek the networking opportunities for the longer-term
   – Develop great relationships with clients and teammates
   – First year GCPers are the candidates for future TAs

                                               28
                                                                                              Voices of experience


The GCP differs from other international programs at
Wharton, but students can do all three

 Comparative Element              GCP                     Global Immersion                  Lauder
                                                                (GIP)
 Focus                   Real international             Business culture study      Dual-degree MBA/MA
                         project environment            tour                        international program
 Duration                Spring semester class          Early summer, winter        2 years of MBA
                         (primarily)                    break                       education
 Incremental financial   Typically none if using        A few thousand dollars      Based on expectations
 commitment              GCP travel plans                                           of Lauder program
 Language required                 No                             No                          Yes
 Application process      Application/interview         Application/Lottery after    Application as part of
                          after MBA admission              MBA admission               MBA admission
 Credits                           1 cu                          0.5 cu                  Multiple cus
 Faculty                     Academic and                     Trip faculty           Lauder and Wharton
                          professional network                                             faculty
 Majors                     Multiple majors/              May apply to some          Well-defined Lauder
                            electives usually                  majors                course requirements

     Students can do both GCP/GIP with minimal overlap (2-3 day delayed arrival
              to summer GIP) – to be addressed on a situational basis

                                                   29
     Q&A




30
     Appendix




31
GCP travel policy focuses on student safety first and
foremost


•   Any student who feels uncomfortable about their safety traveling to the GCP partner destination
    WILL NOT be required to travel

•   At any time, if a student has a personal emergency, that student will NOT need to travel

•   GCP faculty are concerned primarily with the safety and health of participants. In making decisions,
    the GCP faculty consult with experts at the University of Pennsylvania and the US Department of
    State guidelines for that destination

•   GCP faculty make every effort to have Wharton students travel to their partner country or to an
    alternate destination. However, every student should recognize that the GCP program does NOT
    guarantee international travel to every participating student; in the event of international tensions,
    alternate arrangements may have to be made




          The GCP program is making plans for Wharton and partner school
            students and clients to meet in Chile, China, Colombia, India,
                      Israel, Italy, Peru, and Spain in 2006-2007




                                                    32
                                                     US Entry Challenges

Which products/service offerings to choose for entry?


   Textile Company
   A consumer textiles company, with 200+
   items in their product line, was deciding
   which to export to the US market


  GCP Recommendation
  • 100% cotton flannel sheets for entry
  • Due to OSHA restrictions, can’t be
    produced in the US
  • Client offered greater value than
    competitors in China and Portugal

  Impact/Results
  • $60 million in US sales for sheets. Now,
    successfully sells designer textile goods
  • Primary home country competitor went
    bankrupt



                                                33
                                                  US Entry Challenges

Which product extensions or next generation offerings to
choose for entry?



  Memory Product Innovator
  A flash memory product company was
  determining which 2nd generation
  technology format they should market in
  the US as the 1st generation matured

  GCP Recommendation
  Team created a methodology for
  evaluating market potential and optimal
  pricing for each of the emerging formats


  Impact/Results
  Company used team insights in upgrades
  to first generation product and is now
  rolling out second generation using the
  information from the team’s research




                                             34
                                                   US Entry Challenges

Developing a US-focused marketing plan and strategy for
developed product(s)



  Scooter Producer
  Company had existing product and
  existing channel. They wanted to pursue
  non-medical market for their scooter
  targeting senior population

  GCP Recommendation
  Team determined that the target
  population viewed it as a product to be
  sourced through medical channels with
  limited possibilities for alternatives

   Impact/Results
   Company hired a team member for
   successful new channel test. Refocused
   on appropriate channels. Risk mitigation
   plan to address partner risk




                                              35
                                                   US Entry Challenges

Identifying new and creative applications/segments for
existing products/services



  Telecommunications Infrastructure
  Company faced declining sales due to
  reduced telco spending and was focused
  on existing “big telco” segments for its
  infrastructure equipment

  GCP Recommendation
  Company’s product wasn’t appealing for
  the traditional segment and recommended
  pursuing Public Safety segment with
  supplemental distribution

  Impact/Results
  Company realized a $2-3 million
  opportunity on sales base of $5-7 million
  and realized sales turnaround. Team also
  identified and prepared for a medium term
  application in another segment



                                              36
                                                   US Entry Challenges

Developing deep research to enhance senior
management’s strategy and marketing decisions



  Ecuadorian Water
  Well-established Ecuadorian bottled
  water company trying to entire US market
  with a high-quality product


  GCP Recommendation
  Team researched opportunities and
  determined that a very narrow segment
  was the appropriate target. Team
  designed very tactical, marketing mix

   Impact/Results
   Within a few months of finishing the
   project, the team’s implementation plan
   resulted in a dramatic increase in sales
   with very limited investment to pursue
   the targeted segment



                                              37
                                                     US Entry Challenges

Committing resources to complete a thorough evaluation
before investing in the US market



  Power Equipment
  Company had background in hi-fi
  equipment and wanted to enter the US
  market with UPS (uninterrupted power
  supplies)

  GCP Recommendation
  Team realized there was no cost
  advantage or other differentiation to their
  UPS system. Recommended no-go after
  looking at multiple options for entry.

  Impact/Results
  Company had resources to invest in more
  promising cellular technology. The firm’s
  market capitalization grew from less than
  $50 million to approximately $1 billion in
  1997/8 due to effective investments



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                                                  US Entry Challenges

Creating a go-to-market strategy for new products




  South American Fish Producer
  Company was selling private label
  salmon but wanted to expand by entering
  into its own product offerings


  GCP Recommendation
  Team delivered a branded strategy and
  assisted with positioning, packaging and
  brand planning. Team analyzed channel
  options and targeted channels

  Impact/Results
  Firm received a $10 million contract to
  sell their branded salmon through Sam’s
  Club/Wal-Mart. 200-fold return on their
  investment in the GCP’s services from
  just one contract



                                             39
                                                   US Entry Challenges


Killer Technology/Innovation seeking new application


  Innovative HVAC
  Company manufactured air conditioning
  and environmental control systems. They
  came to the GCP looking for a prospect
  list to sell innovative industrial A/C

  GCP Recommendation
  The team convinced the company to
  revisit where they could offer the most
  value and identified restaurants in
  specific geographies where the killer
  application would be valued

  Impact/Results
  The team helped make initial sales at the
  end of the project and created the
  marketing collateral to implement the
  strategy. US market entry was successful
  and the client returned to the GCP for a
  2nd project


                                              40
                                                      US Entry Challenges


Retire this product or not?


  Diversified conglomerate
  Company trying to make divestiture
  decisions focused on whether its
  robotics division/product had potential


  GCP Recommendation
  Team recommended that it was time to
  retire this product line due to the
  competitive environment, pricing and
  other marketing disadvantages


  Impact/Results
  Management had a sound foundation for
  a divestiture decision based on market
  insights. Kudos from senior
  management. Client returned to do
  multiple projects based on the GCP’s “tell
  it like it is” collaboration with executives


                                                 41
                                                                         Companies served - highlights


Sample projects illustrate the diversity of the GCP’s work


     Client Industry                                Project Highlights
 Ocean Shipping         • Determined performance gaps – client vs. competition
                        • Performed US-Chile supply chain management and sales comparison
                        • Benchmarked to design US sales and customer service approach
 Digital Surveillance   • Applied Moore’s “Crossing the Chasm” model to segment market and
                          identify lead customers
                        • Customized sales approaches by customer segments
 Sprinklers             • Interviewed the trade to design channel strategy
                        • Executed consumer surveys and conjoint analyses
                        • Redesigned product line
 Air conditioning       •   Sized and prioritized market segments
                        •   Performed technology analysis to identify customer value
                        •   Designed approaches to key customers and channel partners
                        •   Evaluated and designed sales collateral
                        •   Planned initial two-year strategy for US market entry
 Flash memory           • Shifted client outlook from a technology to a consumer approach
                        • Defined future applications based on technology trends
                        • Funneled market insights into first generation product sales


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                                         Companies served – current pipeline

The project pipeline for 2006-2007 includes some very
exciting prospects across industries




      For updated Project Pipeline information
      visit the visit the GCP Home Page 
      GCP for Students Section
      2007 Projects
      www.whartongcp.org




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Description: A Comparative Study of Consumer Durable Brands in India document sample