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Hindustan Unilever limited compitative advantage
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HINDUSTAN UNILEVER LIMITED
Competitive Advantage
By
Govind Mohan
Humsli Ibnul Haroonsha
Jeff J Panikulam
HINDUSTAN UNILEVER LIMITED
An
Overview
- Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods company with a heritage of over 80 years in India.
- On any given day, two billion people use Unilever products to look good, feel good and get more out of life.(26% of the World Population)
- 9 out of 10 Indians use an HUL product on a daily basis.
- Ranked No 1 in India on the Forbes list of The World’s Most Innovative Companies 2017.
- In India 18,000 people work for Unilever out of which 30% are women
- Identified their purpose as making sustainable living a commonplace.
- In 2009, HUL launched The Compass – our strategy for sustainable growth.
Product Mix
Product Mix Width : 11
• Product Mix Length : 52
• Unilever has more than 400 brands, 14 of which generate sales in
excess of €1 billion a year.
• 17 Brands of HUL feature in the top 100
‘Most Trusted Brands’ list for
2016 published by The Economic Times, 4 of
which are in the Top 10
Principle of Sustainable growth
Sustainable growth
- Identified their purpose as making sustainable living a commonplace.
- In 2009, HUL launched The Compass – our strategy for sustainable growth.
- Principles followed by HUL :
1. A better future for children
2. A healthier future
3. A more confident future
4. A better future for the planet
5. A better future for farming and farmers
SWOT
Competitors
CORE COMPETANCY? HUL’s Wide & Versatile Distribution Network
Core Competency
- Point of purchase method
- Higher level of direct contact through in-store facilitators , sampling, education and experience
Network of about 7000 redistribution stockists covering about 1 Million direct retail outlets
Total coverage :~ 7 Million
•2000+ suppliers •7500 distributors Serving HUL’s 100 decentralized factories
Separate channels identified on the basis of consumer behavior and buying pattern
- Customer management
- Supply chain capabilities for partnering emerging self service stores & supermarkets.
Unify IT solution allowing real time tracking of secondary sales and stocks at the retail outlets
RURAL INDIA’S COMPETITIVE ADVANTAGE
RURAL INDIA’S COMPETITIVE ADVANTAGE
Project Shakti is HUL’s initiative to financially empower rural women and create livelihood opportunities for them
In 2010, HUL extended Project Shakti to include ‘Shaktimaans’. Shaktimaans are typically the husbands or brothers of Shakti Ammas
Shakti Programme empowered 72,000 Shakti Entrepreneurs across 16 states by December 2016 supported by 48000 Shaktimaans
This model has been the growth driver for HUL and presently about 50% of HUL's FMCG sales come from rural markets
M & A Strategy
M & A Strategy
Porter's Five Forces
Growth Strategy Of HUL
Growth Strategy
- Winning with Brands and Innovation
- Winning in the Market Place
- Winning through Continuos Improvement
- Winning With People
Ansoff's Growth Strategy
BCG Market Share Analysis
BCG Market Share analysis
BCG Matrix of HUL
BLUE OCEAN STRATEGY