PRESENTATION on Indian Tobacco industry by Avinash Chaurasiya PGDM INMANTEC B SCHOOL GHAZIABAD NEW DELHI, INDIA

1. Submitted to- Submitted by-
Prof. Rishi Taparia Avinash Chaurasiya
Ajeet Yadav
Sharad Yadav
Prahlad Sharma
Nilllohit Chatterjee

2. Tobacco cultivation has a history of about
8000 years.
Portuguese traders introduced tobacco in
India during 1600.
Standardized production and export
came later during the British rule.
Present net worth of the Indian tobacco
industry is 2 billion US$.

3. What is PESTELAnalysis
PESTEL Analysis is a part of the macro analysis when conducting a
strategic analysis or doing market research giving an overview of the
different factors of the business environment that the company has
to take into consideration.

4. Launching a new product or service.
Entering a new market.
Investigating a potential partnership.
Considering a potential acquisition.
Examining an investment opportunity.

5. Political factors
High tax, excise and vat rates.
Government initiatives for public info on harms of tobacco.
High lobbying prices.
Govt. policies on foreign companies.
Economic Factors
Growth in GDP.
Industrial growth & employment increase.
Boost to tobacco cultivators.
High export profits.
Income levels per capita.

6. Social factors
A lifestyle statement.
Addiction level.
Wide spread and a common culture.
Social change empowering women
employment.
Technological factors
Developing state of the art factories.
Technological forecasting tools.
Using SAP and ERP for operations and SCM.
Quality control tools based on technology.

7. Environmental factors
Large availability of raw material.
Cheap labor.
Legal factors
Smoking is injurious to health.
Regulation on smoking in public places.
Government bans on tobacco advertisement.
Ban on sales to minors.
Testing and regulation.

8. MARKET COMPETITIVENESS
• Defines the scope of market, opportunities available.
• Availability of labor and staff.
• Time required to establish the business.
• Formulation of a compact strategy for operations.
• Pricing strategies.
• Identifying the target market.
• How established companies operate.
• Market constraints and alternative approaches.
• Customer profiling, associated product line and width.