Dear Students
The following question taken from ICAI- Dec 2012 Management Accounting- Strategic Management paper (Question No 8). Please discuss this question.
The Indian Umbrella market can be classified as, single umbrellas, single to triple fold umbrellas, spring action "Piano" Type Umbrella, fancy umbrellas and specialised large golf and garden umbrellas. The sales of golf and garden umbrellas are limited and are sold through exclusive retail shops. Also there is a large institutional sale and cut-throat promotional and gift offer in the market in this category. Modern umbrellas are as old as 125 years in India. Mohendra Lal Dutta ( MD) and K. C.Paul are the pioneers of this industry.
Companies and plolice departments provide their outdoor staff with umbrellas on their own cost. Mohendra Lal Dutta and K C Paul are well- Known names in East- India's brand like SUN, STAG, EBRAHIM CURRIM is popular in the west. North has brands like CHANDNI, CAMPUS, while St. GEORGE, POPY are famous in south India especially in the more rain affected in Kerala. Till the fifties, there are two kinds of umbrella in the country, the Bengali ones, popular in the East and the COLOMBO umbrella assembled in Konkan and Malabar also popular in the South- India and West India. Cane and bamboo staves are used in all thease umbrellas.
During the sixties, the steel tube umbrella was introduced and instantly became popular because it was lighter and less bulky. Mohendra Lal Dutta working on a brand strategy, has created and floated his own brand called " MD" and hoped to take foreign brands when they would get the benefit of the Indian liberalisation for Export.
Questions:
1) Is there any scope for a national brand for umbrellas? As a Product manager of such a Company, how would you prepare a product Policy?
2) Will "MD" brands umbrellas succeed? What brand strategy the company will have to adopt?
( 1+6) + (3+5)
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