SUBMITTED BY

AARTI BHAWSAR
MBA
id
SEM
SEC. P
SUBMITTED TO:
PROF. NIHIT }AISWAL
SWOT ANALYSIS
OF
MARICO INDIA LTD
DLIINI1ICN CI 1nL 8USINLSS CCMAN
O Tle company was founded in i By Kanji Moiaiji
and is leadquaiieied in Mumbai ,India.
O Maiico Limiied, iogeilei wiil iis vaiious consumei
goods and seivices in India, ile Middle Easi, Asian
couniiies, Egypi, and ile Uniied Siaies.
O Tle company piovides coconui oils, edible oils, laii
oils and oilei laii caie pioducis, fabiic caie pioducis,
piocessed foods, soaps, and baby caie pioducis, as well
as slin caie and ayuivedic pioducis.
VISSICN MISSICN
O Consumcvs: Fov thcy avc thc vcason wc cxist
O Mcmbcvship: Fov a scnsc oI owncvship cmpowcvs us.
O xcc!!cncc: Fov it un!cashcs ouv potcntia!
O Wca!th: Fov on it hingcs ouv gvowth
O Innovation: Fov it givcs wings to idcas
O MISSION ioio
O Tle Maiico Innovaiion Foundaiion's mission is io piovide
ile naiion wiil fiisi: a belief ilai Innovaiion is possible
and is ile way io leapfiog India inio ile ceniei siage of
global business leadeislip, and second: a fiamewoil io
leveiage innovaiion foi quanium giowil.
Goa|s Cb[ect|ve w|sh to ach|eve by 2010
O Company commii iiself io impioving ile qualiiy of people's lives in seveial paiis
of ile woild, iliougl bianded Beauiy 8 Companyl pioducis and soluiions.
O Company slall offei biands ilai enlance ile appeal and nouiislmeni of laii
and slin iliougl disiinciive pioducis and seivices based on ile goodness of
coconui, oilei naiuial subsiances .
O Company slall male available biands ilai coniiibuie io lealily living, iliougl,
boil pioducis diawn fiom agiiculiuie offeied in naiuial oi piocessed foims, and
seivices.
O Company slall develop, in paiis of ile woild beyond ile Indian Subconiineni, a
fianclise foi ile bianded pioducis and seivices.
O Company slall aim io be a leadei in eacl of iis businesses iliougl leigliened
sensiiiviiy io consumei needs, seiiing up of new ideas.
O Company slall slaie piospeiiiy amongsi membeis, slaieloldeis and associaies,
wlo coniiibuie in impioving equiiy and mailei value.
O Company slall acquiie ile siaius of a fiiendly coipoiaie ciiizen, coniiibuiing io
ile beiieimeni of neiglboilood communiiies,wleie Company aie significanily
pieseni.
SHAREHOLDER
NO OF SHARES
Arisaig Partners (Asia) Pte.
Ltd
35,353,269 5.8
T Rowe Price International
Inc.
22,040,548 3.62
The Royal Bank Of Scotland 19,092,286 3.13
HDFC Trustee Company
13,840,500 2.27
Azim Hasham Premji
11,589,417 1.9
Franklin Templeton Mutual
Fund
10,078,146 1.65
Acacia Institutional Partners
9,949,389 1.63
Morgan Stanley Investment
Management
6,704,116 1.1
Franklin Templeton
Investment Funds
6,615,163 1.09
8ankers
O Axis Banl Lid
O Ciiibanl
O HDFC Banl Lid
O HSBC
O ICICI Banl Lid
O Koial Malindia Banl Lid
O Siandaid Claiieied Banl
O Siaie Banl of India
kCDUC1MIk
RANDS TARGTD CUSTOMR'S
O PARACHUTE Piimaiy Taigei Women Of All Age's
O PARACHUTE
ADVANCED Young Giils (College 8 Sclool Going)
O HAIR 8 CARE Appealing To Boil Men 8 Women of All Age's
Piimaiy Usei ile Young Age Gioup
O SHANTI AMLA Cusiomei Looling foi Value foi Money
(H.OIL+Badam)
O SILK 8 SHINE Piimaiy Taigei Female Of age i -
O AFTER SHOWER Piimaiy Taigei Young Males i -
O MEDIKER Young Clildien Age Gioup -i (Due io Lice
Pioblem)
O SWEEKAR Piimaiy Taigei Housewives (Due io
Economic+Healily Life foi Family)
O SAFFOLA All Healil Conscious Consumeis (Specially foi Heaii
Paiieni's)
O REVIVE Housewives of Uiban Aiea (Higlei 8 Middle Class).
MARICO BRAND PORTFOLIO
HAIROIL
CATEGORY
PARACH
UTE
HAIR 8
CARE
SHANTI
AMLA
HAIR CARE
CATEGORY
SILK 8
SHINE
MEDIKER
EDIBAL OIL
CATEGORY
SAFFOL
A
SWEEKAR
OIL
OTHER
PRODUCTS
REVIV
E
SIL }AM THER
APIES
AFTER
SHOWER
O Namc-Dcsignation
O Mi. Milind Saiwaie : Cleif - HR and Siiaiegy
O Mi. Ralesl Pandey : Clief Execuiive Officei - Kaya
O Mi. Vilas Sliilaiii : Clief - Teclnology
O Mi. Saugaia Gupia : CEO - Consumei Pioducis
O Mi. Vijay Subiamaniam:Clief Execuiive Officei -
Inieinaiional Business
O Mi. Vinod Kamail : Clief - Finance and IT andCompl.
Officei
1C MANAGLMLN1
CCMI1I1CkS
O Amai Remedies Lid.
O Adoi Muliipioducis Lid.
O Bajaj Coip Lid.
O Colgaie-Palmolive (India) Lid.
O Dabui India Lid.
O Emami Lid.
O Faimax India Lid.
O Fem Caie Plaima Lid.
O Gilleiie India Lid.
O GKB Oplilalmics Lid.
O Godiej Consumei Pioducis Lid.
O Godiej Indusiiies Lid.
O Hindusian Unilevei Lid.
O } L Moiison (India) Lid.
O }HS Svendgaaid Laboiaioiies
Lid.
O }yoily Laboiaioiies Lid.
O }yoii Cosmeiics (Exim) Lid.
O My Faii Lady Lid.
O Paiamouni Cosmeiics (I) Lid.
O Piociei 8 Gamble Hygiene 8
Healilcaie Lid.
O RayBan Sun Opiics India Lid.
O Velveiie Inieinaiional Plaima
Pioducis Lid.
CIN1 VLN1UkL
O i.Maiico Buys }V Paiinei's Siales(: pei ceni siale) ,:oo
O :.ADANI (o:o joini veniuie)
O .Ii acquiies Oiienial Exiiaciions-Manjal fiom Oiienial
Exiiaciions Pvi Lid, }an o, :oo
O .Ii acquiies Hindusian Levei Lid-Nilai fiom Unilevei ,}an
:, :oo
O .Ii acquiies Sundaii a manufaciuiei of slin caie pioducis
(. pei ceni siale in Sundaii)
O .Ii acquiies Oil of Malabai fiom Wesi Coasi India, Nov oi,
i
O acquiied ile aesileiics business, of ile Singapoie based
Deima Rx Asia Pacific Pie. Lid. (Deima Rx), undei ile
Kaya poiifolio
Cperat|ng rof|t Marg|n() L8I1]sa|es*100
year ca|cu|at|on 1ota|
2010 32038/200130 1601
2009 23470/192183 1323
2008 19618/136878 1230
2007 19333/137166 1409
2006 13910/104491 1331
Interpretat|on
companys revenue |s |eft over after pay|ng for var|ab|e costs of product|on such as
wages raw mater|a|s etc In the 2010 Lhe Cperat|ng rof|t Marg|n |s 1601 whlch ls
Lhe hlghesL ln Lhe lasL 3 years so LhaL Lhe Company wlll Lo be able Lo pay for lLs flxed
cosLs such as lnLeresL on debL
Gross rof|t Marg|n()Gross rof|t]sa|es*100
year ca|cu|at|on 1ota|
2010 31778/200130 1364
2009 23392/192183 1227
2008 19096/136878 1217
2007 18398/137166 1333
2006 14220/104491 1360
Interpretat|on
ln Lhe 2010 Lhe Gross rof|t Marg|n |s 1S64 whlch ls Lhe hlghesL ln Lhe lasL 3
years so LhaL Lhe Cross proflL margln wlll Lo be able Lo pay addlLlonal expenses and
fuLure savlngs
Net rof|t Marg|n() Net rof|t After
1ax]Sa|es*100
year ca|cu|at|on 1ota|
2010 23302/200130 1137
2009 14212/192183 739
2008 14342/136878 914
2007 12236/137166 892
2006 10114/104491 967
Interpretat|on
neL proflL margln wlll Lo be able Lo pay Lhe operaLlonal expenses ln 2010 Lhe
company ls more able Lo pay Lhe lnLeresL Lax dlvldends and so onraLher Lhan
prevlous years
LS Net rof|t After 1ax*reference
D|v|dend]no of equ|ty share
year ca|cu|at|on 1ota|
2010 23302/6093 386
2009 14212/6090 233
2008 14342/6090 236
2007 12236*163/6090 201
2006 10114/38 174
Interpretat|on
Larnlngs per share serves as an lndlcaLor of a companys proflLablllLy 1here ls
conslsLence lncrease ln LS no of equlLy shares are sLable ln 2007 2008 and 2010
and noL much dlffrence ln 2009 and 2010 so lL shows LhaL Lhe pollcles of Lhe
dlrecLor of Lhe company ls yery good
keturn on Net Worth() L8I1]1ota| Net
Worth*100
year ca|cu|at|on 1ota|
2010 32038/37166 3607
2009 23470/36768 6927
2008 19618/28023 7006
2007 19333/18349 10337
2006 13910/27736 3013
Interpretat|on
1here ls decremenL ln keturn on Net Worth from 2007 Lo 2010 conLlnously so proflL of
Lhe company generaLes wlLh Lhe money whlch shareholders have lnvesLed ls
decreaslng 8eLurn on neL WorLh measures a corporaLlons proflLablllLy
D|v|dend on ay Cut kat|o DS]LS
year ca|cu|at|on 1ota|
2010 066/386 017
2009 066/233 028
2008 066/236 027
2007 066/201 032
2006 620/174 336
Interpretat|on
1he D|v|dend on ay Cut kat|os are decreaslng because now pollcy ls LhaL Lhe
company ls relnvesLlng Lhe proflL ln Lhe flrms acLlvlLy raLher Lhan as a cash payouL Lo
shareholders
year 8DI1 Depr|c|at|o
n
8I1 81 A1 Net rof|t
2010 34362 2321 31841 30011 29237 23302
2009 22210 1703 20307 17613 19447 14212
2008 21193 1893 19302 17327 17327 14342
2007 19193 3319 13676 13673 14439 12236
2006 14272 3323 10949 10447 10669 10114
1C1AL 111234 12939 98273 89073 91139 74406
PERACHUTS
COCONUT OIL
kA?A Skln
NIHAR,
SAFFOLA (EDIBLE
OIL), SILK N
SHINE
MAHA
THANDA
1S1Ak
O Ii is iepiesenied a pioduci laving high vc!ativc
mavkct shavc and high mavkct gvowth vatc.
O Ii need capiial ovei and above iis casl flow io
mainiain ii's mailei slaie. Ii piovides casl foi giowing
siais. Ii suggesied xpansion Stvatcgy foi STAR ..
O E.G. KAYA SKIN CARE AND PERACHUTS COCONUT
OIL IN MARICO AND IN THE INDUSTRY HLL AND
GODRE} COMES IN THIS CATEGORIES.
2ULS1ICN MAkk ???
O Ii iepiesenied by a Pioduci laving !ow vc!ativc
mavkct shavc and high mavkct gvowth vatc I.E low
mailei slaie in a giowing mailei. Ii vcquivcs !avgc
cash due io mailei giowil, bui geneiaies less casl
due io low mailei slaie.Ii iequiies addiiional
invesimeni io inciease ii's compeiiiive advaniage.
O E.G NIHAR, SAFFOLA AND IN THE WHOLE
INDUSTRY DABUR COMES IN IT.
O Tlese pioduci company given moie adveiiisemeni.
Because ilese pioduci noi moie populai in ile
mailei. So company given moie casl io ilese pioduci.
CASn CCW
O Ii iepieseni by a Pioduci laving high vc!ativc mavkct
shavc and !ow mavkct gvowth vatc. Ii is noi
aiiiaciive in long ian due io less mailei giowil iaie.
O E.G SAFFOLA (EDIBLE OIL), SILK N SHINE
O compeiiioi -FORCHUN OIL , DHARA OIL eic.
O To meei ile invesimeni need of siais on quesiion
mails, ovei leads and gvowth stvatcgy is suggesied.
4DCG
O Ii iepiesenis a pioduci laving !ow vc!ativc mavkct
shavc and !ow mavkct gvowth vatc. Ii las veiy low
compeiiiive posiiion due io ligl cosis, pooi qualiiy,
pooi maileiing eic.Ii also las low giowil poieniial
due io low mailei giowil iaie. Tle piefeiied siiaiegy
is ieiienclmeni.
O EX. MAHA THANDA
O Copiiiioi-navaiain cool
AWAkDS
Maiico las also won vaiious oilei Awaids, sucl as ile following:
O Maiico won Awaids foi excellence in Employei bianding 8
Adveiiising io Taleni ai ile Remmy Awaids :oo .
O Saffola won Media Abby Gold foi ile Woild Heaii Day Radio
eniiy - Radio goes sileni ai ile Goa Fesi :oo .
O Maiico was awaided ile IMC Ramliislna Bajaj Naiional Qualiiy
Awaid in Manufaciuiing Caiegoiy by ile Indian Meiclanis'
Clambei .
O Paiacluie won ile Asia Siai Awaid foi ile Paiacluie boiile
waimei awaided by Asia paclaging Fedeiaiion .
O Paiacluie ianled il Mosi Tiusied Biand in Bangladesl by Tle
Bangladesl biand foium - an affiliaie of ile Global Biand
Foium, Singapoie in :oo .
O Paiacluie won ile Ouisianding Maileiing Aclievemeni
A w a i d - S ilv e i in :o o .
S18uC1u8L
A I|at Structure Marlco has a flaL organlzaLlonal sLrucLure
wlLh [usL flve levels beLween Lhe Managlng ulrecLor and
Lhe shop floor operaLor AL Marlco everyone ls a member
and noL an employee As a member each lndlvldual ls
empowered
voIit Ccntcvs:
O Tlis division manufaciuies 8 maileis Maiico's io
leading consumei pioduci biands lile Paiacluie,
Saffola, Kaya Slin Clinics undei ile bannei of Kaya
Slin Caie Lid. All ile above piofii cenieis lave ileii
dedicaied maileiing ieams, disiiibuiion clannels,
sales foice.
Financc:
O Tle company is siiongly suppoiied by ile Finance
Division, wlicl landles ile legal, iieasuiy, iax, coniiol
sysiems and managemeni infoimaiion suppoii.
R:
O Equal suppoii comes fiom HRD ieam, wlicl expends
iis eneigies, foimulaiing and building siiaiegies io
build a siable and ligl - ialeni oiganisaiion.
Domcstic usincss
vands
Catcgovy Mavkct shavc vangc %
Paiacluie, Oil Of
Malabai, Nilai
Coconui Oil
Haii Oil (Haii 8 Caie,
Paiacluie }asmine, Haii
Oils ::
Paiacluie Advansed,
Slanii Badam Amla,
Nilai)
Haii Oils ::
Saffola Refined Safflowei oil
Medilei Anii-lice Tieaimeni o
Revive Insiani fabiic siaicl o
Strength
O Ceniialized paymeni
O Deceniialized colleciion
O Low invesi
O Souice of funds
O Managemeni of funds
O :oo-io, ile company geneiaied a Tuinovei of aboui
Rs.:. billion (USD oo Million) In :oo-o i.
billion (aboui o million)
O i%piofiis-ovei lasi yeais
O o% mailei slaie (o billion)
FINANC
MarkeLlng
O widespiead disiiibuiion neiwoil of moie ilan :. Million
ouileis in India and oveiseas.
O innovaiive appioacl :focused on meeiing ile emeiging
needs of ile modein day consumeis
O Wide vaiieiy of pioduci
O Undeisianding of Indian consumei belavioi in ile laii oil
segmeni
O Laige disiiibuiion neiwoil all ovei India.Ruial mailei
ieacl
O one of ile laigesi amongsi Indian FMCG company.
O Maiico ieacl appioximaiely io Million consumeis in
aboui : Million louselolds
O No. : playei in ile giowing VACNO (Value Added Coconui
Oil)
O Siiong biand equiiy
O Wide global piesence
O Higl baigaining powei
O Diveisificaiion of business by expansion
peraLlon
O lanL locaLlon as per raw maLerlals avallablllLy
O Low cosL operaLlons
O Absorb lmporLed Lechnology
O 8 u sysLem ls so good
O MlS sysLem of operaLlon and conLrol sysLem
O lanL locaLlon
O roducLlon sysLem
O peraLlon and conLrol sysLem
O SLrong ln lnvenLory conLrol (28 days)
O ln house producLlon no ouLsourclnghlgh rellablllLy
suppllerssuperlor quallLy assurance
O lndla and forelgn producLlon locaLlonspread beneflL
CnLd
O Use }IT (jusi in iime) appioacl foi landling of iaw
maieiial
O Known foi ileii wlicl ieliabiliiy wlicl comes fiom
efficieni opeiaiions
8
O a flai oiganizaiional siiuciuie
O empoweied : eveiyone is a membei and noi an employee
O Maiico's siiuciuie is dynamic 8 consianily
O Good peisonnel sysiem
O Good indusiiial ielaiion wiil oilei company
O Peisonnel sysiem
O Oiganisaiional and employee claiacieiisiics
O Indusiiial ielaiions
O Qualiiy and moiivaiion of peisonnel
O iaied as one of ile mosi innovaiive companies by Business
Today -Moniioi Gioup
Weakness
O Fixed piice
O Sales of Ruial Aiea was Slowly Decieasing.
Mavkcting
O Noi siiong wiilin ile slampoo segmeni, laving
laidly any slaie
O Noi laving any aniidandiuff laii oil wlose mailei
poieniial is woiil :% of ile ioial oil mailei in India.
O Low company image
O Low piomoiion
O Low expoii level
FINANC
ConLd
Opcvation
O Higl cosi of bianded pioducis
R
O Higl dependence on Paiacluie
O Higl leveiage compaied io peeis
O Indian laboui laws aie ielaiively unfavoiable io ile
iiades and ileie is an uigeni need foi laboui iefoims
in India
Cpportun|ty
Financc
O India's Rs.o billion FMCG mailei
O Inciease Income Level Wiil Resuli in Fasiei Revenue Giowil.
Mavkcting
O Need io conceniiaie wiilin ile vaiious oileis mailei poieniial
zones lile laii slampoo, laii coloianis eic.
O Laige Domesiic Mailei
O Giowil Maiico, is beiiing big on iis inieinaiional business and is
open io acquisiiions piovided iley fii in wiil iis oveiall giowil
siiaiegy .
O Giowil in inieinaiional maileis
O Successful eniiy inio beauiy and lealilcaie mailei
O Uniapped iuial mailei
O In iuial maileis, biands aie non-exisieni
Cperat|on
O Consiani innovaiion
O access inieinaiional ieclnology
O ugc Distvibution Nctwovk :including : million in ,io
iowns and foui million in :,ooo villages.
O Low educaiion level.
O Foieign couniiies emeiging as a leading buyei of ile pioducis
O Expand geogiaplical piesence
O Less developed infiasiiuciuie.
O nk
O India is iicl in liglly iiained manpowei
O Indusiiy las laige and diveisified segmenis ilai piovide wide
vaiieiy of pioducis
O Population
1hreats
I|nance
O Maiico's debi-io-equiiy iaiio foi FY :oo was i.i, wlicl is ile
liglesi among ile FMCG companies. Any fuiilei laige
acquisiiions financed by incieasing leveiage.
O Tax and Regulaioiy siiuciuie
O Economic slowdown iesuliing in lowei consumei spending
O Currency risk. Maiico deiives appioximaiely :o% of iis ievenues
fiom inieinaiional maileis.
Mavkcting
O Maiico's ley iaw maieiials include copia, laidi oil, sunflowei oil,
coin oil and iice bian oil, wlicl aie commodiiy ciops wlose
availabiliiy isseasonal.
O Compeiiiion fiom ile diveise playeis pieseni in ile mailei can
cause loss of mailei slaie.
O Iniense compeiiiion fiom global biands in inieinaiional mailei
Opcvation
O igh cost oI Land
O Environmental regulations
O InIrastructural bottlenecks in terms oI power, utility, road transport
etc
O Inadequate transport
O Geographical Disadvantages
O Retailers are becoming stronger and are wielding more power over
manuIacturers
R
O ore job opportunities Ior the uman Resources around the world
O International labor Laws
O Despite technological advances, beverage sector remain labour-
intensive
O Labor problems
O Any clange in Goveinmeni policy
enchmarklng
O Stvatcgic cnchmavking
Piociei 8 Gamble Hygiene 8 Healilcaie Lid is ile
benclmail foi ile in siiaiegic benclmailing.
O Compctitivc cnchmavking
HUL is ile benclmail foi ile M8M in Compeiiiive
benclmailing
O voccss cnchmavking HUL
O xtcvna! cnchmavking Maiico's slaies on Wednesday closed
ai Rsii:.: on ile Bombay Siocl Exclange, down o.::%. Dabui
closed i.i% liglei ai Rsio. Tle benclmail Sensex closed
i.% lowei ai i,o.o poinis
O Intcvna! cnchmavking
Maiico is seiiing ile example io oileis foi lis Inieinal
benclmailing.
LC MuLL MA8lC lnulA L1u
NIHAR, SIL
}AM
KAYA SKIN
CARE AND
PERACHUTS
COCONUT
SAFFOLA
(EDIBLE
OIL), SILK N
SHINE
MAHA
THANDA
SLage CharacLerlsLlcs
Mavkct intvoduction stagc
O slow sales volumes io siaii
O demand las io be cieaied
O males no money ai ilis siage
Gvowth stagc
O cosis ieduced due io economies of scale
O sales volume incieases significanily
O public awaieness incieases
O compeiiiion begins io inciease wiil a few new playeis
in esiablisling mailei
O Tle piefeiied siiaiegy is giowil
ConLd
Matuvity stagc
O Tle piefeiied siiaiegy is siabiliiy oi modesi giowil
O sales volume peals and mailei saiuiaiion is ieacled
O inciease in compeiiiois enieiing ile mailei.(foiiune,
dlaia)
O biand diffeieniiaiion and feaiuie diveisificaiion is
emplasized io mainiain oi inciease mailei slaie
Satuvation and dcc!inc stagc
O sales volume decline oi siabilize
O piices, piofiiabiliiy diminisl
O piofii becomes moie a clallenge of
pioduciion]disiiibuiion efficiency ilan incieased sales
S1kA1LGILS
CCkCkA1L LLVLL S1kA1LGILS
O Emplasis on pioviding value goods io consumeis,
O }oini veniuie and acquisiiion wiil playeis lile Hll,
adani 8 sundaii.
O Susiained expansion in capaciiy io meei ile giowing
demand of Edible oil in India.
O Diveisify geogiaplic fooipiini, and enlance scale and
ieacl of opeiaiions.
8USINLSS LLVLL S1kA1LGILS
O Eaily eniiy in business
O Accuiaie demand foiecasiing
O Higl capaciiy uiilizaiion
O Piice based compiiion is so seive ilai cosi becomes an
impoiiani facioi.
O Company male pioduci foi slin is Kaya Slin Caie
ilese is so nucl diffeieniiaiion io oilei.
Nigli cieam is PARASHUTE NIGHT REPAIR CREME
IUNC1ICNAL LLVLL S1kA1LGILS
O widespiead disiiibuiion neiwoil.
O Siiaiegy of PARASHUTE pioduci on populai and
piemium iange pioducis.
SuggesLlon
O Maiico is ile leading indusiiy in FMCG secioi in
edible oil,beauiy n lealil caie segmeni in India bui
can also iaigei oilei segmenis.
O Pay aiiion iowaids R 8 D.
O Adopi ile eapansion siiaiegy.
O Inciease ile Expoii.
O Inciease ile biand image Slanii Amla 8 Nilai
O Piomoiion Policy
Concluslon
O Company Maiico las siiong and long ieim associaiion
wiil ile ieiailei's in iuial aiea's .
O Paiacluie is ile mosi saiisfied Biand]pioduci,
followed by Saffola, Sill 8 Sline Haii 8 Caie, and
Sweelai Edible Oil 8 afiei Slowei Gel.
THANK YOU!!!!!