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IILM ACADEMY OF HIGHER LEARNING
            JAIPUR




                    SHEFALI BHANDARI
                         PGDM 12-14
INTRODUCTION
 ITC is an indian public conglomerate.
 Formed in: 1970.
 Turnover : $7 billion.
 Headquarters: kolkatta(west bengal)
 Listed in:forbes 2000.
 Number of employees:29000,over 60
  locations across india.
 Chairman: Yogesh Chander Deveshwar
HISTORY….
1910: established as imperial tabacco
company of india ltd.
1970: changed its name as indian tabacco
company , then to I.T.C limited in 1974.
1975:ITC launched its hotel business first time
in chennai.
1979: ITC entered the paper board
business.(bhadrachalam paperboards ltd.)
1985: set up surya tabacco co. in nepal.
Cont…
 2000: a unique initiative was taken for
 upgrading the knowledge of farmers, stepped
 into greeting and stationery,and also launched
 retailing business in branded apparels.
 2002: stepped into paperkrakt and also into
 confectonaries.
 2003: launched notebooks under the brand
 “CLASSMATE”.
 2005,2007,2008: introduce essenza di wills,
 fiama di wills and vivel respectively.
DIVERSIFIED bUSInESS OF ITC….

FMCG


HOTELS


PAPER BOARDS AND PACKAGING


AGRI BUSINESS
ITC:- FMCG
• FOODS

• STATIONARY

• CIGARATTES &CIGARS

• SAFTEY MATCHES & AGARBATTIS

• PERSONAL CARE PRODUCTS

• LIFE STYLE RETAILING
ITC-cigarettes

• The companies original business was traded in
  tobacoo.
• Cigarettes accounts for 47% of the company’s
  turnover.
• ITC Cigarettes itself responsible for 80% of its
  profits.
• Its Goldflake tobacco brand is the largest fmcg
  brand in india –holding 70% of the tobacco market.
• ITC cigarettes has been manufactured in the states
  of Bengaluru,Munger,Saharanpur, Kolkatta & Pune.
• Its highly popular brands include-india
  silk,classic,gold flake,silk cut,navy cut, bristol
  and flake etc.
COMPETITORS…
GODFREY PHILLIPS

VST
                         8%    8%
                   12%
GTC
                                          72%




                         ITC   GODFREY   VST    GTC

                               MARKET SHARE
Strategies of ITC cigarettes
Single minded focus on value creation of
  customers through :
• Innovation
• Product design
• Manufacturing technology.
• Quality
• Marketing
• Distribution
Increasing exports
Flavoured cigarettes
Sales and profits…
• Itc sales has increased by 18% even after
  government imposes a ban.
• ITC ‘s net cigarette sales was 52% in 2008
  showed 3% increase in its sales.
• Profits in 2008 has been increased to 736
  crores from 651 crores.
• In the quarter ended june 2012,profits rose
  to 20.49% to rs 1,899.81 crore from 1,576.69
  crore .
Awards!!!
2004:India’s first cigarette factory of kolkatta to get
ISO 9000 certificate & first among cigarette factories
to get 14001 environment management systems
certificate.
2005: “1ST National Security Today Award”,for best
maintained fire saftey systems.
2006: Innovative saftey management system to
bangaluru factory,from institute of managers.
  “Sword of honour “ for bangaluru and saharanpur
factories.
2007 &2008: Best manufacturer of cigarettes,by
tobacco board based on previous 3 year
performance.
2008: Best exporter of cigarettes by tobacco board.
STRENGHTS                            WEAKNESS
     LARGEST MARKET PLAYER.           ITC FMCG STILL DEPENDS UPON ITS
                                            TOBACCO REVENUES.
POWERFUL BRANDS ACROSS SEGMENTS.
                                    DESPITE OF THE NEGATIVE CONNECTION
GOLD FLAKE HOLDS 70%OF THE MARKET    OF TOBACCO WITH POOR HEALTH,IT IS
              SHARE.                     STILL USING ITS SAME NAME.


                                                  THREATS
         OPPORTUNITIES
                                       DOMESTIC AND INTERNATIONAL
  MOVE INTO NEW AND EMERGING                 COMPETITION.
MARKETS OF COUNTRIES LIKE EASTERN
       EUROPE,AFRICA ETC.               VARIOUS BANS ON SMOKING.
THANK YOU…




        PRESENTED BY:
      MANJEET KUMAR
     SHEFALI BHANDARI

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ITC

  • 1. IILM ACADEMY OF HIGHER LEARNING JAIPUR SHEFALI BHANDARI PGDM 12-14
  • 2.
  • 3. INTRODUCTION  ITC is an indian public conglomerate.  Formed in: 1970.  Turnover : $7 billion.  Headquarters: kolkatta(west bengal)  Listed in:forbes 2000.  Number of employees:29000,over 60 locations across india.  Chairman: Yogesh Chander Deveshwar
  • 4. HISTORY…. 1910: established as imperial tabacco company of india ltd. 1970: changed its name as indian tabacco company , then to I.T.C limited in 1974. 1975:ITC launched its hotel business first time in chennai. 1979: ITC entered the paper board business.(bhadrachalam paperboards ltd.) 1985: set up surya tabacco co. in nepal.
  • 5. Cont… 2000: a unique initiative was taken for upgrading the knowledge of farmers, stepped into greeting and stationery,and also launched retailing business in branded apparels. 2002: stepped into paperkrakt and also into confectonaries. 2003: launched notebooks under the brand “CLASSMATE”. 2005,2007,2008: introduce essenza di wills, fiama di wills and vivel respectively.
  • 6. DIVERSIFIED bUSInESS OF ITC…. FMCG HOTELS PAPER BOARDS AND PACKAGING AGRI BUSINESS
  • 7. ITC:- FMCG • FOODS • STATIONARY • CIGARATTES &CIGARS • SAFTEY MATCHES & AGARBATTIS • PERSONAL CARE PRODUCTS • LIFE STYLE RETAILING
  • 8. ITC-cigarettes • The companies original business was traded in tobacoo. • Cigarettes accounts for 47% of the company’s turnover. • ITC Cigarettes itself responsible for 80% of its profits. • Its Goldflake tobacco brand is the largest fmcg brand in india –holding 70% of the tobacco market. • ITC cigarettes has been manufactured in the states of Bengaluru,Munger,Saharanpur, Kolkatta & Pune.
  • 9. • Its highly popular brands include-india silk,classic,gold flake,silk cut,navy cut, bristol and flake etc.
  • 10. COMPETITORS… GODFREY PHILLIPS VST 8% 8% 12% GTC 72% ITC GODFREY VST GTC MARKET SHARE
  • 11. Strategies of ITC cigarettes Single minded focus on value creation of customers through : • Innovation • Product design • Manufacturing technology. • Quality • Marketing • Distribution Increasing exports Flavoured cigarettes
  • 12. Sales and profits… • Itc sales has increased by 18% even after government imposes a ban. • ITC ‘s net cigarette sales was 52% in 2008 showed 3% increase in its sales. • Profits in 2008 has been increased to 736 crores from 651 crores. • In the quarter ended june 2012,profits rose to 20.49% to rs 1,899.81 crore from 1,576.69 crore .
  • 13. Awards!!! 2004:India’s first cigarette factory of kolkatta to get ISO 9000 certificate & first among cigarette factories to get 14001 environment management systems certificate. 2005: “1ST National Security Today Award”,for best maintained fire saftey systems. 2006: Innovative saftey management system to bangaluru factory,from institute of managers. “Sword of honour “ for bangaluru and saharanpur factories. 2007 &2008: Best manufacturer of cigarettes,by tobacco board based on previous 3 year performance. 2008: Best exporter of cigarettes by tobacco board.
  • 14. STRENGHTS WEAKNESS LARGEST MARKET PLAYER. ITC FMCG STILL DEPENDS UPON ITS TOBACCO REVENUES. POWERFUL BRANDS ACROSS SEGMENTS. DESPITE OF THE NEGATIVE CONNECTION GOLD FLAKE HOLDS 70%OF THE MARKET OF TOBACCO WITH POOR HEALTH,IT IS SHARE. STILL USING ITS SAME NAME. THREATS OPPORTUNITIES DOMESTIC AND INTERNATIONAL MOVE INTO NEW AND EMERGING COMPETITION. MARKETS OF COUNTRIES LIKE EASTERN EUROPE,AFRICA ETC. VARIOUS BANS ON SMOKING.
  • 15. THANK YOU… PRESENTED BY: MANJEET KUMAR SHEFALI BHANDARI