Don’t miss the latest developments in business and finance.

KIT: The consumer durables and information technology market in India (2007-08)

Strategic tools for the practising manager

Image
Technopak Advisors New Delhi
Last Updated : Jan 29 2013 | 2:34 AM IST

The consumer durables and information technology (CDIT) market in India is valued at Rs 63,000 crore and is expected to reach Rs 118,000 crore by 2010-11.

The CDIT market can be segmented into televisions, audio and video devices, telecom, large and small appliances, and IT-related products.

The audio market is valued at Rs 2,400 crore and is expected to reach Rs 3,200 crore by 2010-11, growing at a CAGR of 10 per cent.

The large appliances market is valued at Rs 10,800 crore and is expected to reach Rs 18,800 crore by 2010-11, growing at a CAGR of 20 per cent.

The small appliances market is estimated at Rs 2,700 crore for 2007-08.

NUGGETS 
Selections from management journals

More From This Section

Redefining the terms of competition for a market sector, an industry, or an entire global ecosystem is a tall order. It means attracting thousands of participants, galvanising their efforts, and retaining their commitment for the long haul. The authors of this article provide a blueprint for this daunting task of shaping strategy as technology-driven infrastructures constantly change.

They discuss three elements that, no matter the industry, are vital in shaping strategy. A shaping view, or rallying cry to potential participants, clarifies the market opportunity, makes sense of fundamental forces, identifies rewards, and highlights the shared nature of risk. Bill Gates, of course, succeeded with his view of desktop computing, and more recently Salesforce.com’s Marc Benioff has held out a new model for delivering enterprise software.

A shaping platform, like that of Google’s AdSense, clearly defines standards and practices that help organise and support the activities of many participants, enabling them to do more with less. Specific shaping acts and assets convince participants that the shaper has the muscle to pull off its initiatives.

The three elements together allow a shaper to quickly mobilise a critical mass of participants and, thereby, unleash powerful network effects that can yield big rewards during periods of rapid change.

Shaping strategy in a world of constant disruption
By John Hagel III, John Seely Brown and Lang Davison
Harvard Business Review, October 2007
Read this article at www.hbr.com

Many internet superstars owe much of their success to the active and passive contributions made by countless people from outside their organisations. Think, most obviously, of Facebook profiles, eBay goods, YouTube videos, Wikipedia entries, and, less obviously, of the aggregated buying behaviour underlying Amazon recommendations and the donated use of personal-computer resources underpinning Skype’s internet-based phone network.

Scott Cook, the founder of Intuit (maker of financial software products such as Quicken and TurboTax), challenges traditional companies to tap this emerging source of value by actively creating what he calls user contribution systems.

The user can be a customer, employee, sales prospect — or someone with no previous connection to the company at all. The contribution can be actively offered work, expertise, or information, as well as passive or even unknowing contributions, such as behavioural data that are gathered automatically as a by-product of a transaction or an activity.

Such a system creates value for a business as a consequence of the value it delivers to customers.

The contribution revolution: Letting volunteers build your business
By Scott Cook
Harvard Business Review, October 2008
Read this article at www.hbr.com

As health care costs continue to climb, companies are struggling to reconcile the need to offset the rising expense of employee benefits with the desire to attract and retain the best talent.

Some companies attempt to blindly match or beat the benefits that competitors offer and spend billions of dollars in the process. Yet these benefits often fail to reflect either the preferences of employees or corporate objectives.

A few companies are changing the game, gaining a competitive advantage by linking benefits spending to investments in talent.

Linking employee benefits to talent management
By James Kalamas, Paul D Mango and Drew Ungerman
The McKinsey Quarterly, September 2008
Read this article at www.mckinseyquarterly.com

Also Read

First Published: Oct 07 2008 | 12:00 AM IST

Next Story