Pratham Every Child In School And Learning Well Case Study Solution

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Pratham Every Child In School And Learning Well Case Study Analysis

Pratham Every Child In School And Learning Well is presently among the biggest food cycle worldwide. It was founded by Harvard in 1866, a German Pharmacist who first introduced "FarineLactee"; a combination of flour and milk to feed babies and reduce death rate. At the same time, the Page brothers from Switzerland likewise found The Anglo-Swiss Condensed Milk Business. The two became rivals in the beginning however in the future combined in 1905, resulting in the birth of Pratham Every Child In School And Learning Well.
Business is now a multinational company. Unlike other multinational business, it has senior executives from different nations and attempts to make choices considering the whole world. Pratham Every Child In School And Learning Well currently has more than 500 factories worldwide and a network spread throughout 86 countries.


The purpose of Business Corporation is to enhance the quality of life of people by playing its part and offering healthy food. While making sure that the company is prospering in the long run, that's how it plays its part for a much better and healthy future


Pratham Every Child In School And Learning Well's vision is to offer its customers with food that is healthy, high in quality and safe to consume. Business visualizes to establish a well-trained labor force which would help the company to grow


Pratham Every Child In School And Learning Well's mission is that as presently, it is the leading company in the food market, it thinks in 'Good Food, Good Life". Its objective is to supply its customers with a range of options that are healthy and finest in taste. It is concentrated on offering the very best food to its consumers throughout the day and night.


Pratham Every Child In School And Learning Well has a wide range of items that it provides to its consumers. In 2011, Business was noted as the most gainful company.

Goals and Objectives

• Remembering the vision and mission of the corporation, the company has actually laid down its objectives and goals. These goals and objectives are listed below.
• One goal of the company is to reach zero garbage dump status. It is working toward no waste, where no waste of the factory is landfilled. It motivates its employees to take the most out of the by-products. (Business, aboutus, 2017).
• Another goal of Pratham Every Child In School And Learning Well is to waste minimum food throughout production. Usually, the food produced is wasted even prior to it reaches the customers.
• Another thing that Business is working on is to enhance its product packaging in such a way that it would help it to minimize the above-mentioned problems and would also ensure the shipment of high quality of its items to its consumers.
• Meet global requirements of the environment.
• Develop a relationship based upon trust with its consumers, business partners, workers, and federal government.

Critical Issues

Recently, Business Business is focusing more towards the technique of NHW and investing more of its profits on the R&D technology. The country is investing more on acquisitions and mergers to support its NHW method. The target of the company is not accomplished as the sales were anticipated to grow greater at the rate of 10% per year and the operating margins to increase by 20%, offered in Exhibit H.

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The existing Business method is based upon the concept of Nutritious, Health and Health (NHW). This strategy handles the idea to bringing change in the consumer choices about food and making the food things much healthier concerning about the health problems.
The vision of this technique is based on the secret approach i.e. 60/40+ which simply implies that the items will have a rating of 60% on the basis of taste and 40% is based upon its dietary value. The items will be made with extra dietary worth in contrast to all other products in market acquiring it a plus on its nutritional content.
This strategy was adopted to bring more tasty plus nutritious foods and drinks in market than ever. In competitors with other companies, with an intent of retaining its trust over customers as Business Company has actually gotten more relied on by costumers.

Quantitative Analysis.

R&D Costs as a portion of sales are decreasing with increasing real quantity of spending reveals that the sales are increasing at a greater rate than its R&D costs, and allow the company to more spend on R&D.
Net Revenue Margin is increasing while R&D as a percentage of sales is declining. This indicator also shows a green light to the R&D spending, mergers and acquisitions.
Financial obligation ratio of the company is increasing due to its costs on mergers, acquisitions and R&D advancement instead of payment of debts. This increasing debt ratio posture a hazard of default of Business to its financiers and could lead a decreasing share prices. In terms of increasing financial obligation ratio, the company ought to not invest much on R&D and should pay its existing debts to decrease the threat for financiers.
The increasing threat of investors with increasing financial obligation ratio and decreasing share rates can be observed by huge decline of EPS of Pratham Every Child In School And Learning Well stocks.
The sales growth of business is likewise low as compare to its mergers and acquisitions due to slow perception building of customers. This slow growth also impede business to additional spend on its mergers and acquisitions.( Business, Business Financial Reports, 2006-2010).
Note: All the above analysis is done on the basis of calculations and Graphs given up the Exhibitions D and E.

TWOS Analysis

TWOS analysis can be used to derive different methods based on the SWOT Analysis provided above. A quick summary of TWOS Analysis is given in Exhibit H.

Strategies to exploit Opportunities using Strengths

Business should present more innovative products by large quantity of R&D Costs and mergers and acquisitions. It might increase the marketplace share of Business and increase the revenue margins for the company. It could likewise supply Business a long term competitive advantage over its rivals.
The worldwide expansion of Business ought to be focused on market catching of developing countries by growth, drawing in more consumers through consumer's loyalty. As establishing countries are more populous than industrialized nations, it might increase the customer circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Swot AnalysisPratham Every Child In School And Learning Well must do cautious acquisition and merger of organizations, as it might affect the consumer's and society's understandings about Business. It ought to obtain and combine with those companies which have a market reputation of healthy and healthy business. It would improve the understandings of consumers about Business.
Business ought to not only spend its R&D on development, instead of it needs to likewise focus on the R&D spending over evaluation of cost of various healthy items. This would increase cost performance of its items, which will result in increasing its sales, due to decreasing costs, and margins.

Strategies to use strengths to overcome threats

Business ought to move to not just developing but likewise to developed nations. It should widen its circle to different nations like Unilever which operates in about 170 plus countries.

Strategies to overcome weaknesses to avoid threats

Pratham Every Child In School And Learning Well should carefully manage its acquisitions to avoid the danger of misunderstanding from the customers about Business. It should obtain and combine with those nations having a goodwill of being a healthy business in the market. This would not just improve the understanding of consumers about Business but would also increase the sales, revenue margins and market share of Business. It would likewise make it possible for the company to utilize its potential resources efficiently on its other operations rather than acquisitions of those companies slowing the NHW method development.

Segmentation Analysis

Demographic Segmentation

The market division of Business is based on four aspects; age, gender, earnings and occupation. Business produces a number of products related to infants i.e. Cerelac, Nido, etc. and associated to adults i.e. confectionary products. Pratham Every Child In School And Learning Well items are rather affordable by almost all levels, but its significant targeted clients, in terms of income level are middle and upper middle level consumers.

Geographical Segmentation

Geographical segmentation of Business is composed of its existence in practically 86 countries. Its geographical segmentation is based upon 2 main aspects i.e. typical income level of the consumer in addition to the environment of the region. Singapore Business Business's segmentation is done on the basis of the weather condition of the area i.e. hot, warm or cold.

Psychographic Segmentation

Psychographic segmentation of Business is based upon the personality and life style of the customer. For instance, Business 3 in 1 Coffee target those clients whose lifestyle is rather hectic and do not have much time.

Behavioral Segmentation

Pratham Every Child In School And Learning Well behavioral segmentation is based upon the attitude knowledge and awareness of the consumer. For example its highly nutritious products target those clients who have a health conscious mindset towards their intakes.

Pratham Every Child In School And Learning Well Alternatives

In order to sustain the brand in the market and keep the consumer intact with the brand name, there are 2 choices:
Option: 1
The Company should invest more on acquisitions than on the R&D.
1. Acquisitions would increase total properties of the business, increasing the wealth of the business. Spending on R&D would be sunk expense.
2. The business can resell the obtained systems in the market, if it fails to execute its strategy. Quantity invest on the R&D might not be revived, and it will be thought about totally sunk cost, if it do not offer potential results.
3. Spending on R&D supply sluggish growth in sales, as it takes long time to introduce an item. Acquisitions offer fast outcomes, as it offer the company currently established product, which can be marketed quickly after the acquisition.
1. Acquisition of company's which do not fit with the company's worths like Kraftz foods can lead the business to face misconception of consumers about Business core worths of healthy and nutritious items.
2 Large spending on acquisitions than R&D would send out a signal of business's inadequacy of establishing innovative items, and would results in customer's frustration as well.
3. Large acquisitions than R&D would extend the product line of the company by the products which are currently present in the market, making business not able to present new innovative items.
Alternative: 2.
The Business should spend more on its R&D instead of acquisitions.
1. It would allow the business to produce more ingenious items.
2. It would provide the business a strong competitive position in the market.
3. It would enable the business to increase its targeted consumers by presenting those products which can be provided to an entirely new market segment.
4. Ingenious items will provide long term benefits and high market share in long term.
1. It would reduce the profit margins of the company.
2. In case of failure, the whole spending on R&D would be considered as sunk cost, and would impact the company at big. The threat is not in the case of acquisitions.
3. It would not increase the wealth of company, which might provide a negative signal to the financiers, and might result I declining stock rates.
Alternative 3:
Continue its acquisitions and mergers with significant costs on in R&D Program.
Vrio AnalysisPros:
1. It would enable the company to present brand-new ingenious products with less threat of converting the spending on R&D into sunk expense.
2. It would supply a favorable signal to the investors, as the overall properties of the business would increase with its considerable R&D costs.
3. It would not affect the profit margins of the business at a big rate as compare to alternative 2.
4. It would supply the business a strong long term market position in terms of the company's general wealth in addition to in terms of innovative products.
1. Threat of conversion of R&D costs into sunk cost, higher than alternative 1 lesser than alternative 2.
2. Danger of misconception about the acquisitions, higher than alternative 2 and lower than option 1.
3. Intro of less number of ingenious items than alternative 2 and high variety of innovative products than alternative 1.

Pratham Every Child In School And Learning Well Conclusion

RecommendationsIt has institutionalized its strategies and culture to align itself with the market modifications and customer habits, which has eventually permitted it to sustain its market share. Business has established substantial market share and brand identity in the urban markets, it is suggested that the business ought to focus on the rural areas in terms of developing brand name commitment, awareness, and equity, such can be done by producing a specific brand name allowance technique through trade marketing strategies, that draw clear difference between Pratham Every Child In School And Learning Well items and other rival products.

Pratham Every Child In School And Learning Well Exhibits

PESTEL Analysis
Governmental support

Transforming standards of international food.
Boosted market share.
Changing assumption towards healthier products
Improvements in R&D as well as QA departments.

Introduction of E-marketing.
No such effect as it is good.
Problems over recycling.

Use of resources.

Competitor Analysis
Business Unilever PLC Kraft Foods Incorporation DANONE
Sales Growth Highest because 9000
Highest possible after Business with much less growth than Service 7th Lowest
R&D Spending Greatest since 2009 Highest after Organisation 7th Most affordable
Net Profit Margin Highest possible since 2005 with fast growth from 2002 to 2018 Because of sale of Alcon in 2012. Almost equal to Kraft Foods Consolidation Virtually equal to Unilever N/A
Competitive Advantage Food with Nourishment and wellness variable Greatest number of brand names with lasting techniques Largest confectionary as well as processed foods brand name in the world Biggest milk products as well as bottled water brand on the planet
Segmentation Center and top middle level customers worldwide Individual consumers in addition to household team Every age and Earnings Consumer Teams Middle as well as top middle level customers worldwide
Number of Brands 3rd 9th 4th 3rd

Quantitative Analysis​
Analysis of Financial Statements (In Millions of CHF)
2006 2007 2008 2009 2010
Sales Revenue 38491 713492 719522 786594 417228
Net Profit Margin 4.63% 2.24% 11.98% 9.23% 24.81%
EPS (Earning Per Share) 62.19 9.88 7.58 1.35 53.47
Total Asset 386655 179594 821957 487445 49113
Total Debt 65288 66875 34434 86267 63279
Debt Ratio 77% 48% 74% 65% 99%
R&D Spending 7589 4562 1262 3559 7545
R&D Spending as % of Sales 8.84% 1.53% 1.98% 2.23% 3.75%

Pratham Every Child In School And Learning Well Executive Summary Pratham Every Child In School And Learning Well Swot Analysis Pratham Every Child In School And Learning Well Vrio Analysis Pratham Every Child In School And Learning Well Pestel Analysis
Pratham Every Child In School And Learning Well Porters Analysis Pratham Every Child In School And Learning Well Recommendations