CONCLUSION

CONCLUSION
It is well recognized that markets that are fragmented or producers that are too small
to build competitive infrastructures or those who are unable to manage
technological changes in their operational processes would benefit the most through
a cooperative organization. Consequently a large number of cooperatives have
taken roots amongst producers of food (especially those that are perishable).
However, there are interesting cooperative formations in India and China that are
starting to emerge amongst small producers in auto-components (especially those
serving the replacement markets), amongst small scale dyeing communities and the
power-loom operators in the textile industry. In these cases, the producers are
coming together to develop a common brand.
that is based on stringent quality certifications that would distinguish them from other
small producers and for usage of common property resources. The example of AMUL
provides a number of lessons for such organizations to compete successfully in the face
of increasing globalization and competition. More generally, the AMUL case presents
a successful model for operating in emerging economies characterized by either large
under-developed suppliers and/or markets with high potential.
The largest segment of the market in emerging economies desires value for
money from its purchases. Development of such markets requires careful nurturing
and a long-term approach. Initial success in these markets is typically based on a
low price strategy (providing value for money) supported by cost leadership. This
strategy helps to grow the market exponentially by focusing on the largest segment
of the population, the middle and the lower middle class. In this context, it is
important for global players to note that the value proposition perceived by
consumers is influenced to a large extent by the state of markets and the economy
and cultural factors. Development of an appropriate value proposition suitable for
large mass markets in India requires a thorough understanding of the environment
and a focus on costs. This in turn, requires designing the organization structure and
practices in a manner that it delivers continued market share through cost
leadership. AMUL is a good example of this strategy. Firms that are able to develop
control processes through better use of operational practices and supply chain
coordination are the ones that are able to serve large volumes and enjoy top line
growth in revenues.
Development of suppliers likewise requires nurturing with a long-term

perspective. It is interesting to note that this was achieved by AMUL through a
process of education and social development activities - activities that are not
usually considered to be standard business practices. This type of ‘out of the box’
vision is essential for developing innovative mechanism in new, unfamiliar
environments where building of relationship with consumers goes much beyond
marketing messages and useful product offerings.
Environments with underdeveloped markets and suppliers (as in the case of

AMUL) add one more dimension of complexity relating to the relative pace of
growth of these two areas. Through its pricing strategy, AMUL has been able
balance the growth in markets and suppliers and has achieved some degree of
synchronization. Otherwise, gaps between demand and supply would require
complementary strategies.
The AMUL example is also instructive for multinational companies and

others contemplating operations in emerging markets by taking advantage of the
local small and medium enterprises. In such cases large businesses are built by
forging linkages with these enterprises thereby changing the boundaries of the
entering firm. Such a partnership reduces the operational risk while providing a
credible source of understanding the behaviour of the consumer through the
experience of partners. It also provides operational flexibility and makes the
network responsive to changes within and outside. To be effective it is important
that decision-making be decentralized to the extent possible, with appropriate
coordination mechanisms to ensure consistency in the system. The leadership of
such organizations have always been larger than life and have been seen to play an
important role in the building of the society even today
Firms that are able to overcome the hesitation of deploying IT for achieving
operational excellence in emerging economies gain considerably from its network
effect. Most firms either automate decision making to such an extent that it
eliminates local initiatives (as many SAP implementations in India are finding out
that it has added more rigidity in decision making as opposed to using it in
conjunction with a more flexible “telephone” mode of communicating) or use
manual systems that lead to inaccurate data based decision-making
QUESTIONNAIRE OF AMUL MILK PRODUCTS
Dear Sir/Madam,
I am conducting a survey entitled “CONSUMER BUYING PATTERN

TOWARDS AMUL MILK “ Please give your valuable information, your
information will be kept confidential and will be used only for academic
purpose.
Mohit choudhary
Name : - ______________________________________________
Address: - _______________________________________________
Age : - _________________ Gender : - _________________
Contact No.: - _________________________
1) Which milk do you consume?

a)Pouch milk
b)Loose milk
c)Both
2) Are you satisfied with the milk you are consuming?

a) Yes
b) No
3) What do you like?
a) Quality b) Taste
c) Price d) Availability
4) Do you get milk pouch at…………..

a) Doorstep
b) From retailer
5) Total consumption of milk in a day?

a) Pouch milk in litre……
b) Loose milk in litre……
6) Your monthly expenditure in milk (in Rs.)?
a) 500-1000
b) 1000-1500
c) 1500 and above
7) In pouch milk which brand do you prefer?

a) AMUL
b) MOTHER DAIRY
c) GOKUL
d) MAHANANDA
e) WARANA
f) ANY OTHER
…………………………………………………..
8) Do you think the price of the product is high/low compared to
competitor’s product?
a) Strongly agree
b) Strongly disagree
c) Agree
d) Neither
9) If you buy AMUL milk pouch which pack you purchase?
a) AMUL Gold
b) AMUL Taaza
c) AMUL Slim & Trim
10) What is the reason for buying/ not buying AMUL?
a)……………………………………………………..
b)……………………………………………………..
c)…………………………………………………..…
11) What are your suggestion/ expectations from AMUL?
a)………………………………………………………
b)………………………………………………………
c)………………………………………………………
12) CONSUMER OPINION TOWARDS PRODUCT?
Rating No of respondent % of consumer

Poor 15 30
average 25 15
Good 7 14
excellent 3 6

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CONCLUSION

Development of suppliers likewise requires nurturing with a long-term

Environments with underdeveloped markets and suppliers (as in the case of

The AMUL example is also instructive for multinational companies and

I am conducting a survey entitled “CONSUMER BUYING PATTERN

Age : - _ Gender : - _

Contact No.: - _________________________

1) Which milk do you consume?

2) Are you satisfied with the milk you are consuming?

4) Do you get milk pouch at…………..

5) Total consumption of milk in a day?

6) Your monthly expenditure in milk (in Rs.)?

7) In pouch milk which brand do you prefer?

9) If you buy AMUL milk pouch which pack you purchase?

10) What is the reason for buying/ not buying AMUL?

11) What are your suggestion/ expectations from AMUL?

12) CONSUMER OPINION TOWARDS PRODUCT?

Rating No of respondent % of consumer

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