ANNAPURNA SALT CASE

1. What is the role of NGOs (Non-Governmental Organizations) in BOP markets according to Prahalad? Do you agree with this position?

Yes, I agree with the position. The NGOs are the bridge to the gap of these societies, so that the poor and deprived can obtain what they need. The role of the NGO’s is to link between deprive people and prosperous people.

2. According to Rekha Balu of Fast Company, "poor people ... can become just as discerning about brands as rich customer". Do you agree with this statement? Is this applicable in the Philippines?

Yes, I think that is true. But I think it is not applicable to the Philippines, because there are many brands already out in the market but still, most of them are not affordable for the poor.

3. What is the nature of the breakthrough of K15 Technology in your own words?

K15 Technology is about putting potassium and iodine on salt to prevent the iodine from evaporating from the salt itself under extreme acidic environments such as the human stomach.

4. What are the issues/difficulties in branding something like salt according to Vishal Dhawan?

Because consumers are looking for a product that would earn their trust, people wanted the assurance of a quality product most especially to the foods that are hard to make a distinction with something like salt.

5. Why is the Annapurna evolution necessary according to Vishal Dhawan?

“Annapurna needs to give reasons for the market to expand and that has happened. The number of re-launches is not too frequent in this market. The life of a product is usually 18 months. Because the name has remained the same throughout, each launch has had us going back with the strongest, most relevant perspective. We have gained market share each time. Who knows what benefits may be ahead with salt?”

6. What would the nature of the "differentiator" for Dr. Amitava Pramanik?

For Dr. Amitava Pramanik the nature of the differentiator would be making a salt that will not lose its iodine during transportation, storage and cooking.

7. What is the effect of advertising for the marketing strategy for Annapurna with K15?

It was good because they found out that their message was clearly retained to the target group after launching the commercial for Annapurna,

8. What are the innovations of HLL with regards to transporting salt?

They used rail transport which gives them an edge to their competitors and it can also increase the amount of salt distributed in one shipment. The salt will be delivered in the salt buffer depot and from here the salt will be loaded in the truck and they will deliver it to the wholesalers and retailers of salt.

9. What is Project Shakti and what are its goals?

Project Shakti is a direct-to-customer marketing strategy that aims to reach the BOP segments for them to gain awareness of the HLL products and its positive health effects.

Four goals are:

• Increase their reach to the market

   

• Attempt to increase awareness

   

• Change attitudes regarding usage of the various product categories

   

• Catalyze rural affluence and hence drive growth of the market

   

10. How would you imagine SANGA, an "e-tailing program for daily ordering and delivery"? If you were its designer how would you describe it?

I could imagine SANGAM an electronic retailing program, which has its products that the consumers can choose from and to buy this products. Consumers can be able to see different product and its description and price and they will have a choice if they would want to buy the product and add it to their cart.

11. Project Shakti caters exclusively to men. There have been requests for men to become Shakit dealers but HLL turned them down. If you were the decision-maker, would you allow men to become Shakti dealers? Why?

I think men are also good at conversing and convincing by nature, so definitely there would be no problems employing men to be Shakti dealers.

12. What is i-Shakti? As an IM student how can you improve i-Shakti?

i-Shakti is a project giving a computer and an internet access to a Shakti dealer at her home. As an IM student, I could improve i- Shakti by making it simple and easy to use so that even the Bop market can be able to use and understand how to use it. I’m going to make it simple but clear and not too complicated for the BOP consumers.

13. HLL's would-be competitors decided to have a watch-and-wait policy. If you were a would-be competitor for HLL would you decide to get into HLL's market? Why? How?

I will study first what particular product the market needs and how much they need the product before entering the market. I will ensure that I will be providing them product with good quality at a lower cost. Then I will enter the HLL’s market not for competition but also to provide BOP market a high quality of products and also to provide them affordable salt with iodine in order for them to prevent and fight IDD.

14. Should HLL keep their K15 technology proprietary? Why?

Yes, it would be one of their best edges over the competitors and it will be hard to imitate since it has been done by an expert. As people learn on the benefits of K15, they will also continue to buy products such as these.

15. Do you think a program like Project Shakti would succeed in the Philippines? What do you think would be some of the anticipated difficulties?

Well I think it will succeed in the Philippines because mostly women in Philippines are just housewives, but they also want to earn money for their family.