ICICI Prudential: challenges in reaching the last mile

2020 ◽  
Vol 10 (4) ◽  
pp. 1-27
Author(s):  
Parthasarathi Das ◽  
Tapas Ranjan Moharana ◽  
Indirah Indibara
Keyword(s):  
Distribution Channel ◽  
Rural India ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Market Strategy ◽  
Content Type ◽  
Rural Markets ◽  
Rural Market ◽  
Last Mile

Learning outcomes The specific learning objectives of the case are as follows: To contribute to the knowledge of environmental challenges faced by various financial companies while trying to foray into the rural markets, especially in case of insurance products’ expansion strategy; to understand the distribution strategy adopted by insurance companies in rural as well as urban markets; to apply the concepts such as mental accounting, designing and pricing of insurance products to develop an effective strategy for insurance products targeting the rural market; to be able to analyse the data available on products and the rural market structure that enables the students to derive from an implementable managerial framework and design an effective rural market strategy for insurance products; and to enable the students to evaluate the key rural market drivers, which will subsequently help them to develop a new structure of rural distribution channel. Case overview/synopsis ICICI Prudential Life Insurance Company Limited (IPRU) was trying to reach the last mile customers of rural India to tap the opportunity and meet the Indian Government's statutory requirement of financial inclusion. Even though the leadership of IPRU was optimistic about the untapped potential of rural India, and launched a separate business vertical - Rural Business Channel (RBC) in the year 2002 to cater to this target segment, yet it faced many strategic issues while foraying into the rural domain. The company struggled with both the designing of products as per the rural customers' needs, as well as the distribution of these products in rural areas. The present case study is an attempt to bring out the strategic challenges that were faced by the IPRU management, with a major focus on designing, pricing and distribution of rural insurance products. The case study will help the readers in understanding what might go wrong while entering new rural markets and how to deal with these challenges. Complexity academic level The case study can be used to teach both undergraduate and postgraduate management students. Supplementary materials Teaching Notes are available for educators only. Subject code CSS 8: Marketing.

AGROY: creating value through smart farming

2019 ◽  
Vol 9 (3) ◽  
pp. 1-31
Author(s):  
Ramendra Singh ◽  
Jitender Kumar ◽  
Avilash Nayak
Keyword(s):  
Learning Outcomes ◽  
Business Models ◽  
Distribution Channel ◽  
Multinational Companies ◽  
Rural India ◽  
Agricultural Market ◽  
Content Type ◽  
Smart Farming ◽  
New Business

Learning outcomes This case study outlines the marketing, strategic and organizational issues facing the ever-expanding agri-inputs market in India, through the perspective of Agroy – an agri-products company. This case can be used to assist in the teaching courses such as marketing management, rural marketing, business strategy, operations and logistics management, among others, for students of MBA or other specialized courses in management. The case has been developed to make students aware and to understand the arduous nature of setting up a company catering to the huge Indian agri-inputs market. This case delves into the complexities of marketing in rural India that is characterized by low technological awareness, low volumes of digital transactions and immense language barriers. The Indian agricultural market is huge and has undergone a considerable amount of change owing to competition among multinational companies and traditional local micro-retailers. This case discusses the various challenges faced by multinational companies in entering India and how they need to strategize to modify their Western model of a distribution channel which faces huge challenges when put to test in India. Specific learning outcomes include: the case study would help students to comprehend the new business strategies that an MNC could adopt in emerging markets. Some companies work on changing traditional and conventional value chains of activities to fit the emerging market customer’s best and hence companies needs to figure out a unique business model to compete in emerging markets. This case study gives readers the opportunity to think about strategy in an uncertain environment. The case illustrates the challenges associated with innovating new business ideas that would help the company serve a greater number of people from a diverse background. It highlights the importance of thinking about real options, a portfolio of projects and the type of organizational structure required to tackle the uncertainties associated with foreign companies aiming to enter the Indian market. It also explores marketing and distribution issues – which are the type of customers to target and which are the suitable geographic areas with suitable linguistic compatibility in which there shall be ease in doing business. Finally, it is an avenue for students to think about the changes necessary throughout the distribution channel to successfully implement and commercialize a project in rural India. The case is intended to work well as a learning tool for strategy implementation where uncertainty is inherent and as an application to lectures on real options and risk or for discussions related to marketing and distribution channels and its challenges. Case overview/synopsis The Indian agricultural market plays an important role in India’s economy having a staggering 58 per cent of rural households depending on it as the principal means of livelihood. However they have very small landholdings, and hence, they find it difficult to order either large quantities or in bulk, as a result of which the cost of agricultural inputs gets enhanced. Agroy, an MNC, is one of the many companies that have stepped in to bridge this gap by trying to tap into the huge agricultural market. Agroy aspires to be the “UBER of agriculture.” Agroy is a cloud-based buying platform for farmers to buy agri-inputs efficiently at scale and at the best price from around the world. With big data and smart farming, the company aims to enhance farm sustainability and productivity. Agroy’s competitors like Agro Star and Big Heart also have similar business models and hence the competition is stiff. The three debatable questions that the case poses are: Will Agroy be able to shatter the age-old loyalty that Indian farmers have toward local retailers and other Indian companies that have an existing strong foothold in the market? Will similar distribution models as practiced in developed Western countries work in India, given the distribution challenges in deep rural Indian hinterland? Will Agroy be able to create sustainable business models by marketing agri-inputs at low prices in India? Complexity academic level MBA in courses such as entrepreneurial marketing, strategic marketing, agricultural marketing. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 8: Marketing.

Candy Confectioneries Pvt Limited (CCL)

2017 ◽  
Vol 7 (1) ◽  
pp. 1-26
Author(s):  
Sajjan Singhvi ◽  
Gaurav Sharma ◽  
Rajat Gera
Keyword(s):  
Rural Areas ◽  
Sales Management ◽  
Distribution Channel ◽  
Channel Structure ◽  
Rural India ◽  
Channel Management ◽  
Content Type ◽  
Distribution Management ◽  
Rural Market ◽  
Market Coverage

Subject area Rural Marketing, Sales and Distribution Management, Salesperson Motivation, Channel Management. Study level/applicability The case can be used in sales management, channel management and rural marketing courses offered to graduate students of MBA degrees. In the sales management courses, the emphasis is on understanding the typical tasks that the rural salesperson is required to conduct. The case can be used to design a suitable motivation-mix for a rural salesperson after analysing their approach towards work. In a rural marketing course, the case can be used to understand the sales and distribution management of fast-moving consumer good products in rural India. The case can be used in channel management courses to design an appropriate channel structure in the rural market in India and utilized for managing the distributors’ salesforce for effective and improved market coverage in rural areas. Case overview Candy Confectioneries Private Limited started its operations in 1995, and was one of the largest confectionery players in India with a market share of 20 per cent. The company had achieved sales of Rs 20bn in 2014 and had 15 confectionery brands in the market. The company was also trying hard to establish itself in the snacks category. The company had nationwide operations, and it was important for the company to expand into the rural market. It served its markets through a comprehensive urban and rural distribution setup. In the rural distribution network, the rural sales representatives (RSRs) played a key role and perhaps were one of the most critical factors in covering the rural market. The RSR system was typical to suit the requirement of product-market coverage with its limitations. The case broadly profiles eight RSRs who were engaged to cover a specific territory in the State of Bihar in India. It also describes their approaches to work and complexities emerging thereof in achieving the best results for the organization. Expected learning outcomes The case has the following learning objectives: Understanding the design of sales and distribution channel structure followed for distribution and selling of confectionery products in rural India. Examining whether the existing system is adequate to achieve the goals of the firm. Evaluating the performance of each salesperson and identifying common factors to formulate the salesforce policies. Arriving at a suitable motivation-mix for the rural salesperson. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 8: Marketing.

Cultural influence on brand loyalty of rural consumers in the Indian context

2017 ◽  
Vol 11 (1) ◽  
pp. 60-72 ◽  
Author(s):  
Rashmi Ranjan Parida ◽  
Sangeeta Sahney
Keyword(s):  
Brand Loyalty ◽  
Influencing Factor ◽  
Cultural Factors ◽  
Business Organizations ◽  
Market Strategy ◽  
Content Type ◽  
Four Dimensions ◽  
Rural Market ◽  
Rural Consumers ◽  
The Impact

Purpose The purpose of the study is to develop a scale to identify and measure cultural factors and brand loyalty among rural consumers. The study also seeks to analyze the impact of identified cultural factors on the overall brand loyalty of rural consumers. Design/methodology/approach A questionnaire was developed to measure cultural factors and brand loyalty of rural consumers. Exploratory factor analysis was carried out to identify cultural factors, and a regression analysis was carried out to study the impact of the identified factors on brand loyalty. Findings Four dimensions of culture were identified from the study, i.e. virtuousness, religion, sociability and ethnocentrism. The analysis reveals that virtuousness is the most influencing factor on brand loyalty of rural consumers, followed by sociability and religion. Ethnocentrism was found to have insignificant influence on brand loyalty. Research limitations/implications The Indian rural market is a market of opportunity and unlimited business potential. An understanding of the cultural factors of rural markets and their influence on brand loyalty would help marketers and business organizations build an appropriate market strategy to explore benefits. Originality/value The paper attempts to explore the influence of certain cultural factors on the brand loyalty of Indian rural consumers, which has not been researched extensively. This provides a good insight for all marketers who want to succeed in this market.

Cognitive risk culture and advanced roles of actors in risk governance: a case study

2018 ◽  
Vol 19 (4) ◽  
pp. 327-342 ◽  
Author(s):  
Ruchi Agarwal ◽  
Sanjay Kallapur
Keyword(s):  
Systems Thinking ◽  
Systems Approach ◽  
Risk Governance ◽  
Research Approach ◽  
Insurance Company ◽  
Content Type ◽  
Cognitive Risk ◽  
Risk Culture ◽  
The Uk

PurposeThe purpose of this study is to explore the best practices for improving risk culture and defining the role of actors in risk governance.Design/methodology/approachThis paper presents an exemplar case of a British insurance company by using a qualitative case research approach.FindingsThe case study shows how the company was successful in changing from a compliance-based and defensive risk culture to a cognitive risk culture by using a systems thinking approach. Cognitive risk culture ensures that everybody understands risks and their own roles in risk governance. The change was accomplished by adding an operational layer between the first and second lines of defense and developing tools to better communicate risks throughout the organization.Practical implicationsPractitioners can potentially improve risk governance by using the company’s approach. The UK regulator’s initiative to improve risk culture can potentially be followed by other regulators.Originality/valueThis is among the few studies that describe actual examples of how a company can improve risk culture using the systems approach and how systems thinking simultaneously resolves several other issues such as poor risk reporting and lack of clarity in roles and responsibilities.

Examining effectiveness of online and offline channel integration

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chung Heon Oh
Keyword(s):  
Design Methodology ◽  
Distribution Systems ◽  
Distribution Channel ◽  
Brown Seaweed ◽  
Graphic User Interface ◽  
Market Penetration ◽  
Content Type ◽  
Channel Integration ◽  
Product Service

Purpose Channel conflicts between initial providers (IPs) and independent middlemen (IMM) can hinder the market penetration of IPs, especially for small- and medium-sized enterprises with low brand awareness. Design/methodology/approach A case study is used to describe the introduction of an agent-friendly graphic user interface (AFGUI) as a compromise for the basic needs of the IP and IMM, both for the successful market entry of IPs and to encourage the IMM to accept original brand manufacturing (OBM), which can maximize the benefits of IPs after a successful product/service launch. Findings This case study shows that the AFGUI significantly contributes to increasing the IMM’s OBM selection. Comparing the “before AFGUI introduction” group to the group of IMMs who have been SeaHerb’s – a manufacturer of brown seaweed extract – IMM for fewer than three years shows that the latter group’s OBM selection can positively affect the order amount. Originality/value The AFGUI can integrate traditional offline distribution channel systems into online distribution systems. Regarding the AFGUI’s functional effectiveness for preventing fake sellers and fake products, further research on its adoption by online platform providers (e.g. Amazon and eBay) is recommended.

Long-Term Evolution of a Conceptual Schema at a Life Insurance Company

2006 ◽  
pp. 202-226
Author(s):  
Lex Wedemeijer
Keyword(s):  
Business Environment ◽  
Insurance Company ◽  
Information Need ◽  
Life Insurance Company ◽  
Conceptual Schema ◽  
Doing Business ◽  
Schema Design ◽  
Derived Data

Enterprises need data resources that are stable and at the same time flexible to support current and new ways of doing business. However, there is a lack of understanding how flexibility of a Conceptual Schema design is demonstrated in its evolution over time. This case study outlines the evolution of a highly integrated Conceptual Schema in its business environment. A gradual decline in schema quality is observed: size and complexity of the schema increase, understandability and consistency decrease. Contrary to popular belief, it is found that changes aren’t driven only by “accepted” causes like new legislation or product innovation. Other change drivers are identified like error correction, changing perceptions of what the information need of the business is and elimination of derived data. The case shows that a real Conceptual Schema is the result of “objective” design practices as well as the product of negotiation and compromise with the user community.

scholarly journals Xenic insurance company: ethical dilemma of an employee

2019 ◽  
Vol 13 (2) ◽  
pp. 24-29
Author(s):  
Naval Garg
Keyword(s):  
Health Policy ◽  
Ethical Dilemma ◽  
Design Methodology ◽  
Original Work ◽  
Insurance Company ◽  
Case Study Methodology ◽  
Content Type ◽  
Group Health ◽  
Study Methodology

Purpose This paper aims to depict the ethical dilemma of an employee in an insurance company who analyzed the group health policy of a major private telecommunication company. He noticed striking discrepancies and reported the findings to his superior. Design/methodology/approach Case study methodology is used for this study. Findings This paper reported the ethical dilemma faced by the employee. Originality/value This is an original work to the best of the author’s knowledge.

Explaining implementation difficulties associated with activity-based costing through system uses

2018 ◽  
Vol 19 (1) ◽  
pp. 181-198 ◽  
Author(s):  
Elodie Allain ◽  
Claude Laurin
Keyword(s):  
Resistance To Change ◽  
Insurance Industry ◽  
Insurance Company ◽  
Activity Based Costing ◽  
General Applicability ◽  
Content Type ◽  
Cost System ◽  
Scope Of Application ◽  
Costing System

Purpose The purpose of this paper is to explore how and why the uses (enabling or controlling) of an activity-based costing system could cause difficulties in implementing such a cost system. Design/methodology/approach The authors conducted a case study in a French insurance company. Three successive research periods were undertaken: from March to August 2005, between October 2008 and June 2009, and in 2012. In total, 51 interviews were conducted during these periods. Other useful information was also collected through conversations, observation, and through the consultation of internal documents. Findings The results show that designing a cost system aimed at being simultaneously used in controlling and enabling ways can generate important difficulties. Furthermore, the results show that attempting to get around these difficulties could result in investing significant amounts of resources with no guarantee of success. Research limitations/implications Beyond the difficulties of extending the scope of application of case studies, the study was conducted in an organization involved in the insurance industry which could further limit its general applicability. Practical implications Based on the experience at Rassura, the authors argue that managers should be aware that designing and implementing a cost system that can simultaneously be used in both controlling and enabling ways is a very difficult, if not an insurmountable challenge. Originality/value The results highlight that one important characteristic of a cost system, how it is used, could explain, at least partially, implementation difficulties related to technical challenges, resistance to change and lack of resources.

I cross my heart, hope to live: LPCI Insurance Company’s dilemma in protecting mutual interests in Mexico

2016 ◽  
Vol 6 (1) ◽  
pp. 1-14
Author(s):  
Andrée Marie López-Fernández ◽  
Rajagopal
Keyword(s):  
Emerging Market ◽  
Holistic Approach ◽  
Subject Area ◽  
Added Value ◽  
Insurance Company ◽  
Content Type ◽  
Stakeholder Satisfaction ◽  
Doing Business ◽  
Business Dynamics

Subject area The subject area of the case study is strategic management with emphasis in stakeholder satisfaction and added value and business performance. Study level/applicability The case study illustrates the challenges of business dynamics in an emerging market. It is applicable, especially, for undergraduate and graduate students in management studies. Case overview The case of LPCI Insurance Company in Mexico illustrates the challenges that firms face when doing business in an unstable, rapidly changing environment. Conflict-affected areas pose significant threats and opportunities for firms; it is, however, up to the firm to decide whether to avoid change and risk or to design and execute effective strategies to tackle such external issues. The case has been developed in a narrative way as to demonstrate the intricacies of internal incidents and board meeting discussions, which lead to strategic planning and decision-making. Expected learning outcomes It is expected that students enhance their awareness of businesses’ role in the protection of Human Rights as a key factor in their engagement in corporate social responsibility and achievement of objectives. It is expected that students also increase their awareness of the implications of operating in a conflict-affected area in emerging markets. Also, it is expected that students learn that doing business effectively requires a holistic approach to business dynamics. Supplementary materials Teaching notes. Subject code CSS 11: Strategy.

Sign in / Sign up

Export Citation Format

Share Document