metro unfinished
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Salman Ansari 10B704
Sneden Anthony 10B705
Siddhesh Dalvi 10B712 Dominic Goeuvia 10B718
Radhika Kanojia 10B726
Rahul Mungekar 10B736
Vaibhav Narengekar 10B739 Gagan Verma 10B758
Darshan Iyer 10B761
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It includes physical evidence audit
METRO's Cash & Carry business model is based on aBusiness to Business (B2B) concept and focuses onmeeting all the needs and requirements of businesscustomers. It is a modern format of wholesale trading,catering only to business customers.
"Cash & Carry" means that the customers pick thegoods themselves, pay in cash and transport theirgoods with their own vehicles. The advantage ascompared with conventional wholesale lies in the morecompetitive price, the scope of the food and nonfood
assortment, the immediate availability of themerchandise and the customer-oriented workinghours.
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4. you will receive your temporary METROCard7.Our customer consultant wouldpersonally visit you and introduce you to the
concept and hand over your METRO card toyouAbout the CardPersonalised cards are issued to the
representative of the business to facilitatebusiness purchases at any of the METRODistribution Centre across the globe.
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Objectives Of Metro Cash & Carry
•The objective of Metro is to use what we have learnt in
managerial economics and apply it to this project.
•The corporatives are able to focus on economic developmentfrom the rural development that would take place.
As a we are currently in the cooperative market, wedecided to expand and adapt into the rural market.
To develop the knowledge regarding rural andurban markets.
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1. Best Prices
With huge purchasing power & efficient operations, we make sure to provide youquality products at the best prices.
2. It's your Warehouse With our computerized goods management system, you are assured aboutavailability of the products, in quantities you need. Meaning you need not tie upyour money in stock that does not sell quickly.
3. Everything under One roof
18,000 different Food & Non-food items to meet all your different needs under oneroof. This will save your time as compared to purchasing from a variety ofsources..
4. Extended business hours To make sure that you are always served, we are open 7 days a week, from 6 a.m.
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5. Quality guaranteed Strict quality checks and modern storage technology includingcold storage ensures that you get the best quality
6 After sales Service
We do not just make a sale, our Customer Service Team isavailable to you for resolving your queries, and problems, if any.
7. Offers at your fingertips Every two weeks you receive our catalogue, METRO Mail withover 300 offers for your business at the best wholesale prices. Alsoreceive instant alerts through e-mail and SMS.
8. Great value for money A wide range of our own brand products offers high quality at thelowest price, which adds to your profits even more.
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They are included in capital which is one of thefactors of production
When it comes down to analyzing the needs
and changing trends of the rural market,researchers play a vital role
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We are doing a survey on “Metro Cash & Carry” and would begrateful if you could please fill up the form below:
1. Name ________________
2.Age ________
3.Occupation ______________
4.Location _________________
5.Monthly Incomebelow 100000[ ] 100000-200000[ ] above 200000[ ]
6.Preference of Purchasewholesale store[ ] market[ ] cash & carry[ ]
7.Have you heard of Metro Cash & Carry ?Yes[ ] No[ ]
8.Do you expect any services from metro ? Specify
Yes[ ] No[ ] ____________________________________________
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9. What is your opinion about the pricesoffered by Metro?
Excellent[ ] Good[ ] Average [ ] Below Average[ ]
10. What do you say about the quality offered?Excellent[ ] Good[ ] Average [ ] Below Average[ ]
11.Are you satisfied with the packaging?
Yes[ ] No[ ] 12 . Any feedback you would like to provide?
____________________________________________ _________________________________________
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When launching a product into rural market,take into consideration the entire profile ofrural market.
(Research the market) Allows us to see if theproduct would suit the market.
Once this is done, you are allowed to properlycreate strategies.
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Each and every rural market has its ownenviorment. Analyze the environment andmake strategies accordingly.
Think of ways to tackle the consumer mind set.
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Integration Strategies:
Capture or control over suppliers, distributors and orCompetitors.
Backward Integration-
To ensure a continuous and guaranteed supply ofinputs which meets the specified quality standards.
Forward Integration-
Taking control of forwarding, distribution, servicing
etc. Quality of inputs and on time delivery is assured thus
protecting the main operation.
Penetration Pricing Strategy
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Concerned with the 4 „s
Product
Price
Place
Promotion (very important)
There should be a proper ratio of all four p‟s
Has to be categorized into – core, tangible andaugmented
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Core – basic needs, (soap, paste)
Tangible –
Augmented – increase in size of markets (set
up box) Important from the view of marketing
In the rural markets, the consumers focus more
on the physical aspects, rather than qualitysomething that would last long
Watch, thick dial, and steel strap
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Washing Detergent, Lifebuoy
Medicine
Ready to cook products
Products for festivals (holi and diwali) (As it iscelebrated in a different manner)
Ajanta watch – rural area
Mesvak and vicco toothpaste Clinic plus shampoo
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Mark Up Pricing Strategy is used
Metro also uses competitor based pricing
As far as pricing is concerned metro is not
doing well in this section as it does not have itsown products but only acts as an intermediarybetween the manufacturers and retailers.
So it charges very nominal amount of profit onthe prices given by the manufacturers
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A proper location for goods distributed isnecessary as it can try to reduce hightransportation cost, inadequate supplies of
labor and raw materials etc. Ratnagiri is where the wholesale unit is
stationed at i.e , Metro India ltd.
The goods come to the unit from a large no. ofcarriers from Chinchpokli in Mumbai
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Anjarle – 3 stores
Ashti, Khed – 2 stores
Asurde – 1 stores
Bahirwali – nil
Bhoo, India- 2 storesBorundi – 6 stores
Kelane – 4 stores
Kondivali -6 storesKurang – 2 stores
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Rajwadi - 15 stores
Saitavde – 5 storesSasale – 4 stores
Shirgaon, Ratnagiri - 8 stores
Shirshi -2 storesShringarpur -6 stores
Mandangad – 4 stores
Palgadh – 20 stores
Total no.of retail stores within the radius of 30km=90 stores
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Put billboards Personal selling – informing vocally
Mouth publicity – helpful when launching productin rural areaas
There is a communication and language barrier.(local language. Especially south india)
Ways of advertising, radio, banner
Post outside the houses, Paint it , Put posters,
Hire a autorickshaw to go around the village
Sales Promotion – Provide discounts on grocery,clothes, shoes in festivals like holi, diwali.
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It is the most important function as this gainstheir cost advantage.
It has foreign suppliers as well as local
suppliers The supply chain management function helps
the organization in many ways
The main factory is in Chinchpokli (e) It is supplied to the other branches
Referigerated vans
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We have developed synergies in transportationand logistics, we have refrigerated vans andbackup staff running the whole day to ensure
fresh and dedicated supply of our items at alltimes.
Refreigerated van - diesel
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Requisites Segmentation
Process Segmentation
Basic Segmentation
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Promotion Strategy
Pricing Strategy
4 Ps
Decide for whom the segment was created,attack consumer mindset
Health drinks for kids (provide free ball, bat)
Selecting Target Market Segmentatio Undifferentiated – products consumed by all
age groups E.g Coke, Mobile Phone
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Once the targeting is decided, we are able tolaunch our service.
Identify the competitors
Apply Strategies Target a selected audience
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First on the market
Corporate strategy and culture
Store concept and our own brands
One stop shopping
Supply chain
Low prices and high quality
Serving the customers with a wide variety offuel
Friendly and cooperative staff
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Poor HR management
Matrix organisational structure
Slow reaction to market changes
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Economical growth
Growing market of cash and carry
Contracting with other small retail shops
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Market competition
International crisis
Lack of professionals
Rural psychology
Low income
Low saving capacity
Poor law and order situation in rural areas High inflation rate
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Makro is our competitor which provides asimilar kind of service and is also a hugeinternational group.
Hence , we can compete with them bychanging the perception of the customers andthat can be possible by intensive promotionswith an image of low costs and wide variety of
products along with quality.
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Infrastucture
Transportation
Communication
Mentality of people in rural areas Traditional methods and avoid the use of new
technology
Problems of promotion and advertisement of
service and product in rural areas as there arelimited amount of mediums for doing thesame.
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Transportation – rickshaw scheme
Provision of Transportation through the rickshaw scheme –we plan to launcha new strategy for the carriage of goods because many retailers have theproblem of transportation from Metro to their stores.
Most of them hesitate because if they buy less goods they sometimes have to
hire huge carriers and for this purpose we will provide metro ownedrickshaw services to them and will charge Rs. 12 per km.
This will not only solve the problem of the retailers but will also provideemployment opportunities to the villagers and hence will increase ourgoodwill in rural areas.
Communication problem – hire locals to solve linguistic barriers and helpconvince the other locals to buy our products and services.
Increase vocal publicity , door to door promotions
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Provision of free consultancy services to retailers – this notonly facilitates the retailers but also creates a good andstrong standing in the market, and ultimately retailers willcome to metro for use of free betterment of society services.
Provision of Transportation through the rickshaw scheme –
we plan to launch a new strategy for the carriage of goodsbecause many retailers have the problem of transportationfrom Metro to their stores.
Most of them hesitate because if they buy less goods theysometimes have to hire huge carriers and for this purposewe will provide metro owned rickshaw services to them and
will charge Rs. 12 per km.
This will not only solve the problem of the retailers but willalso provide employment opportunities to the villagers andhence will increase our goodwill in rural areas.
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A major problem of the rural market is thatthere is no money to spend on the part of theconsumer.
To fix that problem we have decided to employsome rural people in promoting the wholesalesector.
This can help us to come across languagebarrier as well as they understand thementality of villagers.