HAR GHAR KUCH KEHTA HAI

COMPANY PROFILECompany Name: Asian Paints.Type: Public Ltd.

Industry: Paint.

Founded: 1942

Head Quarter: Mumbai, India.

Key people: Mr. P.M.Murti CEO & MD.

Workforce: 4700

Website: www.asianpaints.com

Company History

•1st February, 1942 Champaklal H. Choksi, Chimanlal N. Choksi, Suryakant C. Dani and Arvind R. Vakil get together to manufacture paint in a garage on Foras Road, Bombay. They name their company 'The Asian Oil & Paint Company.

•1945Asian Paints touches a turnover of Rs. 3,50,000, with an innovative marketing strategy "to reach consumers in the outmost corners of the country with small packs."

1954Paints mascot, Gattu, the mischievous kid, was born. Asian

1957 - 66The family-owned company makes the shift to a professionally managed organization.

Asian Paints embark on an ambitious mass marketing campaign, pertaining with thousands of dealers in small towns all over India.

1967Asian Paints emerges as India's leading paint

company ahead of any international competition.

1973 AP becomes public ltd company

2002 AP was a market leader of Indian Decorative Paints with market share of 44%

Asian paints today

• Asian Paints becomes the 10th largest decorative paint company in the world

• Asian Paints is more than twice the size of its nearest competitor.

• It is one of the most admired companies in India

Present in 22 countries with 27 manufacturing locations. • Asian Paints aims to become the 5th largest decorative paint

company in the world.

P M MurtyCEO &MD

Mr. Ashwin ChoksiNon-Executive Chairman

Mr. Ashwin DaniNon-Executive Vice Chairman

Ms. Tarjani VakilChairperson of Audit Committe

NS (Subba) lyre General manager Human resource

Sudipto Mandal Senior HR Manager

Salil Chinghore Works Manager

Jagannt.B. Production Manager

Nilay Verma Marketing Manager

Abjit Bhattacharya Training Manager

Founders of company

Vision “Asian Paints aims to become one of the top five Decorative

coatings companies world-wide by leveraging its expertise in the higher growth emerging markets. Simultaneously, the company intends to build long term value in the Industrial coatings business through alliance with established global partners”.

Product PortfolioSegments

Paints Chemicals

Decorative paints

Industrial Paints

Pathetic Anhydride

Pentaerythritol

Indian Manufacturing Plants

Asian Plants Bhandup (Maharashtra) in India

Asian Plants Kasna (Uttar Pradesh) in India

Asian Plants Sriperumbudur in India

Asian Plants (Rohtak, Haryana)

Marketing Strategy

Company is using different techniques such as advertising Campaign, sales promotion, personal selling, direct marketing and public relation to increase sales

A total amount of 85 crore is spent on the ad campaign by asian paint. Theirparticular ad campaign ‘Mera Walla Blue” “Har ghar kuch kehta hai” are being liked by the customer.

Online marketing for urban customer: Asian paint online marketing system ishelping. The company in lot of ways, providing all the necessary information to the customer. It is an unique way of promotion.

Promotional Strategies

Competitors in IndiaAkzo Nobel India ltd

Bombay Paints ltd

Hard Castle & waud manufacturing company ltd.

Jenson & Nicolson India ltd.

Nerolac paint ltd.

Sarika paint ltd.

Market Share in India

Asian Paints 55%

Nerolac 17%

Berger 17%

ICI 11%

SWOT Analysis

• STRENGTHS:

Market leaders with 55% market shares.

Strong in inventory control.

The pricing strategy is oriented to middle and lower end consumers.

Widest product range in terms of products, shades, pack sizes.

Comprehensive nation wide coverage of the market.

Brand name with 68 year experience.

WEAKNESS:

Seasonal demand

And hence in off seasons it can lead to cash flow problems.

Innovation in developing new product is inadequate.

Weakness on the technology front in industrial paints.

In industrial paints, AP has only a 15% market share.

OPPORTUNITIES:

Acquiring/ increasing market share in Industrial paint sector.

Competitors have gone in for hi-technology compare to AP.

The automobile industry accounted for 50% of the industrial markets.

THREATS:

Domination of few foreign companies.

Competition is catching up fast, hi-tech facilities gives abundant choices.

Asian paints -Global

Overseas

Berger International Plants Barbados

Berger International Plants Bahrain

Berger International Plants Jamaica

Berger International Plants Singapore

Berger International Plants Trinidad

Group subsidiaries

Company in South pacific island. AP operates in Australia, Fiji, Tonga,Soloman Island under brand name APCO.

It is a England Company. In 2002 became part of AP

Egypt company which became part of AP in August 2002

US Company with 50:50 equity sharing with AP in 1997. Pittsburgh Paints and Glass Industries (PPG), USA

Fiji company became a part of AP in September 2003.

Strategies to go global ….

The company has set forth for itself a global vision– “Think Global, Synergise Regional and Act Local”. In this

regard, the company has embraked on its biggest international initiative called E- Strides operations

Under E-Strides, the company is reviewing its current business processes to improve them in the context of changing business

scenarios. This involves a host of activities like benchmarking processes

with best practices, standardising them to leverage global knowledge and providing adequate controls

.

Factors influencing Asian Paints’ globalinitiatives To capture the global markets, it has been following the strategy of

entering fast growing markets with robust demand and low per captia consumption of paints.

Asian Paints has targeted companies in emerging markets of africa, southeast Asia, Middle East and Pacific region.

In order to increase the pace of globalisation, the company has also focussed on acquiring international companies with widespread presence in the global markets like the acquisition Berger International

In order to capture the maximum market share and to create new markets, the company manufactures a wide range of paints, from acrylic emulsions to synthetic enamels and from automotive paints to industrial paints.

Enabled by vertical integration, it has also diversified into specialty products such as Pentaerythritol and Phthalic Anhydride.

GLOBAL COMPETATOR

1 AkzoNobel nv (Netherlands)

2 PPG Industries Inc. (Pittsburgh)

3 DuPont Coatings & Color Technologies Group (Wilmington )

4 ICI Paints (Berkshire, UK )

5 BASF Coatings (Germany)

6 Nippon Paint Co. (Japan)

7 Sherwin-Williams Co. ( Cleveland)

Corporate social responsibility

Environment and Safety: Asian Paints approaches the environment issue from the perspective of waste minimization and conservation of resources. Thus, the continued attempt is to reduce, recycle and eliminate waste, which results in less and less waste being generated.

Total Water Management We propagate some methods to help you conserve water Asian Paints has built a Total Water Management (TWM) Centre, at its Bhandup manufacturing facility, which is the first of its kind in the entire country.

The TWM centre showcases live working models on water conservation and rainwater harvesting.  Asian Paints provides expertise to citizens free of charge to implement rainwater harvesting and total water management solutions.

 

• Tsunami relief: Helping community in need of time A total amount of Rs. 4.7 million was generated as relief aid and handed over to the Tsunami victims. Besides India, all the units across the world also contributed to the best of their capacities towards Tsunami relief

In Ankles war - Gujarat, the plant has sustained its commitment of providing infrastructure support to this school, be it through donations of computers, tables and chairs, or through assistance in other maintenance work for the school.

In addition, the Ankles war plant ,conducts Vaccination and Health camps. Not only students, but teachers are also briefed on hygiene aspects in such camps.

Company established The Mobile Medicare Units (MMU) for the treatment of senior citizens.

Awards and Recognitions

• Awarded the "Sword of Honor" by the British Safety Council for all the paint plants in India.

• Forbes Global magazine, USA ranked Asian Paints amongst the 200 'Best Small Companies of the world' in 2002 and 2003 and amongst the top 200 'Under a Billion Firms' of Asia in 2005.

• Ranked 24th amongst the top paint companies in the world by Coatings World - Top Companies Report 2006.

The Asset - one of Asia's leading financial magazine ranked Asian Paints amongst the leading Indian companies in Corporate Governance in 2002 and 2005.

Received the Ernst & Young "Entrepreneur of the Year - Manufacturing" award in 2003

In 2009 micro site AsianPaints.com has won the ‘outstanding website’ award in the consumer goods category at the recently held Internet Advertising Competition Awards .

Latest news

Asian Paints in Forbes Asia's Fab 50 List-09/13/2011Asian Paints has been included in the Forbes magazine's - Asia's Fab 50 List of companies. 

  This is the first time that Asian Paints has been included in the list.Q1-FY2012 results by Mr. P M Murty, MD & CEO-07/27/2011

Future plans• Asian Paints is planning an international network of technology

centers spread across Australia, Jamaica, Egypt, Dubai, Mauritius, Fiji and Singapore.  

• The paint project will use the latest techniques in production, packing, conveying and storage in an eco-friendly manner, with zero discharge of effluents.

• Company aims to come under top-5 paints companies list in the world in next 2 year.

PROJECT MADE BY:ANUSHA HEDGE:6HEMA JAGASIA:14SWAPNA KRISHNAMURTHY: 38PRITAM BHANDEKAR:22SHRIDHAR JINDAM:30