shoe caselet
DESCRIPTION
Shoe caseletTRANSCRIPT
Group Presentation on shoe caselet
Presented by :• Aegidius Savio Mondol• Alok kumar• Amit Singh• Arif Ali• Bharat Patel• Anushree Mazumdar
INtroDuction
What is planning
Selecting missions and objectives as well as the actions to achieve them, which requires decision- making, that is, choosing a course of action from among alternatives.
Why such cost benefit analysis??NEED = FELT DEPRIVATION
Although income was good and spending habits were high there was a strong shortage of a strong leathered footwear for the working class.
Demand was stronger because:• Working in the harsh and dangerous natural
conditions made them require a resillient footwear at any cost.
• They had to skip a day’s work to buy a pair of footwear that didn’t even last long
Types of planning
Planning in an organisational level can be broadly categorised into three types.
They are:
Top- down Planning�
Mixed Centralized Approach�
Decentralized Approach�
TOP- DOWN PLANNING
First stated by Douglas Mc.Gregor in the 1960’sThe top level managers set the goals of an organization.
The employees are expected to work on the basis of these goals and targets set by the higher authority.
Employees cannot be innovative and imaginative as they are restricted.
MIXED CENTRALIZED APPROACH
After laying down the goals and objectives by the top management, these goals are generally targeted to the specific departments.
For example: R&D dept. given the target of designing, the finance dept. for setting up the budget etc.
After these jobs are assigned then a proper planning is formulated.
DECENTRALIZED APPROACH
Grass-root planning approach as the objectives and goals are set at the basic functional level by each individual ( keeping in mind the constraints).
After the plans at the lowermost level are met it rises up to the next level. For eg. from the branch level to the zonal level and so on.
Entirely different from the top down approach as it keeps in mind an individual’s ability to innovate.
MARKET DEVELOP
MENT
SALES OPTIMIZA
TION
NEW PRODUCT DEVELOP
MENT
DIVERSIFICATION
IGOR ANSOFF’s MATRIX
Existing Market New Market
Existing Product
New Product
10.09.12
Diversification
An organization that introduces new products into new markets has chosen a strategy of diversification. When companies have no previous industry nor market experience this strategy is called Unrelated diversification. Related diversification describes how companies stay in a market with which they have some familiarity.
10.09.12
Risks involved in Diversification
Diversification is the riskiest of the four strategies presented in the Ansoff matrix and requires the most careful investigation. Going into an unknown market with an unfamiliar product offering means a lack of experience in the new skills and techniques required.
10.09.12
Steps in planning
Being aware of opportunities
Setting objectives or
Goals
Considering planning premises
Comparing alternatives in
the light of Goals
Choosing alternatives
FINAL STEP BEFORE A PROPER C.B.A A segmentation strategy : the right products to the right
individuals
Identification of the demand pattern. ( as shown in the table below)
Keeping this in mind and also the limitations and constraints associated with each segment we start to prepare a Cost Benefit Analysis with each feasible alternatives.
Sr. nos Target Segments Population Purchase frequencies
Potential sales(in pairs)
1 Adult males (16-45 yrs)
50000 1.5 75000
2 Adult Females (16-45 yrs)
60000 2.5 150000
3 Young ( 0-15 yrs) 150000 2.0 300000
4 Old ( above 45) 200000 1.5 30000
Cost Benefit Analysis
Sl no. Alternatives
Cost Benefits
DecisionCost to firm Cost to
CustomerBenefit to
firmBenefit to customer
1 ONLY ADULT MALE
production cost, no
diversification..
Price of shoes
Same production process
ProtectionTo be taken under
consideration
2 ONLY ADULT FEMALE
Additional production
cost.
Price of shoes,can’
t satisfy people needs.
Expansion in
consumer base
Protection as well as
More variety of
shoes
To be taken under
consideration
Cost Benefit Analysis
Sl no. Alternatives
Cost Benefit
DecisionCost to firm Cost to
customerBenefits to firm
Benefits to
customer
3ONLY
YOUNG PEOPLE
Additional production
cost Away from traditional approach.
Price of shoes
Additional profits
Protection & multiple
choice
To be taken under
consideration
4
Shoes for all adult male, female and
young people
• Away from traditional approach•Additional production
cost
Price of shoes
Additional profits
and high demand
multiple choice, serving
needs of evryone
ACCEPTED
Cost Benefit Analysis
Sl no. Alternatives
Cost Benefits
DecisionCost to
firmCost to
customerBenefit to
firmBenefit to customer
5
Complementary goods :
Gloves , Jacket(synthetic leather) with shoes
Additional production
pricePrice Attract
customerProtection
& high satisfaction
REJECTED
6
Establishment of
distribution outlet near the church
Additional production
price as well as
rent
price
Huge customer as well as additional
profit
Easy accessibility to product
ACCEPTED
Optimal decision
Shoes for all adult men, women and children
Setting up of distribution outlet near the church.
Shoe has to be strong and durable for minimum 6months
Corporate Social Responsibility
s
1. Wide comfortable fitting..2. Wide soft leg for comfort.4. Cushioned Hi-poly comfort insole.5. Comfort moisture absorbing fabric lining.6. Outdoor tread designed for rough terrain and uneven surfaces.7. slip resistance.8. Self cleaning
Product feature
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