MBA SEM II- Assignment

Business Policy & Corporate Strategy (SMT 7701)

SUBMITTED BY- Baid Dishank Kamal
Enrollment no – 200010301070
Section - A
SCHOOL OF MANAGEMENT
GD GOENKA UNIVERSITY
SUBMITTED TO- Dr. Deepti Wadera

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 INTRODUCTION

Adani Group, founded in 1988, is one of the fastest growing business houses in India. The Adani
Group has its roots in its flagship company, Adani Enterprises Ltd. (formerly known as Adani
Exports Ltd.), which has been established by Mr. Gautam S Adani in 1988 as a partnership firm
with an initial capital of Rs. 5 lacs. Through his entrepreneurial vision, global aspirations, hard
work, quality standards and customer centric approach Mr. Gautam Adani has transformed the
Group in one of its kinds which has crossed the total revenue of INR 260 billion on March 31,
2009.

• Adani Group is Gujarat based Indian conglomerate company headquartered in Ahmedabad,

Gujarat, India.

• It was founded by Gautam Adani, in the year 1988.

• The core businesses of the group are commodities trading, edible oil manufacturing, Mundra
port operations and distribution of gas

. • Apart from its core businesses, the Adani Group has also diversified into Real Estate, Ports,
Special Economic Zones and IT enabled services

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Group Overview
• Revenue : $11 billion FY2017

• Presence: 50 countries, 70 locations

• Human Capital: 11,000+

• Listed Companies: Adani Enterprises Ltd, Adani Ports and SEZ Ltd, Adani Power Ltd, Adani
Transmission Ltd

VISION- To be the globally admired leader in integrated infrastructure businesses with a deep
commitment to nation building. We shall be known for the scale of our ambition, speed of execution
and quality of operation

MISSION;- To assimilate knowledge, develop capabilities and manage collective enterprise to

profitably tap global business properties for the benefit everyone associated with adani

VALUES;-
Courage: We shall embrace new ideas and businesses

Trust: We shall believe in our employees and other stakeholders

Commitment: We shall stand by our promises and adhere to high standards of business.

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 Environmental analysis

Strengths in the SWOT analysis of Adani Group

Strengths are defined as what each business does best in its gamut of operations which can give
it an upper hand over its competitors. The following are the strengths of Adani Group:

 Strong Vision: The company has been led by a strong vision which is tuned in towards
progress and forward-looking. The company envisages sustainable and inclusive
progress and is focused towards providing maximum benefits to all stakeholders.
 Core values: The business is deeply rooted in its value system which consists of
commitment, trust, and teamwork. The company has around 10,000 employees and
they all work as one team in synergy with the vision of the leader.
 Strong leadership: Gautam Adani, the one force behind the meteoric rise of the Adani
Group has been a powerful leader and entrepreneur. He was wise in making the right
investments and moved ahead without being daunted by failure. He is also quoted as
a reference for the quote leading by example.
 Diversified investments: The Adani Group has a presence in diverse core industries such
as coal, power, steel, infrastructure, energy, logistics and real estate which covers
almost all core sectors making the conglomerate a very strong presence in most areas
of industrial development.

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Weaknesses in the SWOT analysis of Adani Group

Weaknesses are used to refer to areas where the business or the brand needs improvement.

Some of the key weaknesses of China include:

 Ethical Issues: Though Adani has always been vocal about their commitment towards
the society they have been facing an allegation of illegal coal mining for which they are
facing charges under the court of law. They have also got into issues like illegal land
encroachment in SEZ in Mundra.
 Unhappy shareholders: The Adani Group has not been able to create shareholder
satisfaction and this is evident by the fact that the group has lost 14 to 24 percent of
their wealth and their debt has increased to around Rs 70,000 crores.
 High-risk appetite: Probably inspired by the sudden growth spurt the top brass of Adani
Group made some risky investments in mining in Australia which are not giving the
promised returns. In addition to this, some of their investments in infrastructure and
real estate are also taking time to monetize.

Opportunities in the SWOT analysis of Adani Group

Opportunities refer to those avenues in the environment that surrounds the business on which

it can capitalize to increase its returns. Some of the opportunities include :

 Diversification into renewable energy: There is a lot of impetus given by governments

to sustainable and renewable energy sources like wind. Adani Group already has the
presence in power and thus they may find it simpler to move to hydroelectric or wind
power.
 Growth potential in power sector: Statistics from the government indicate that in
accordance with the 12th Five-Year Plan, the power capacity will include an additional
88.5 GW from which, 72.3 GW will be thermal power, 10.8GW hydropower & 5.3 GW
nuclear power. This is a huge opportunity for Adani Power.
 Opportunities in infrastructure: The Planning Commission of India has made proposals
for expansion in roads and highways, ports, civil aviation and airports, and power
infrastructure segments. All this can be the potential target for the Adani Group.

Threats in the SWOT analysis of Adani Group

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Threats are those factors in the environment which can be detrimental to the growth of the
business. Some of the threats include:

 Foreign investment: Foreign investment inspectors like energy and infrastructure have

grown profusely in the last decade. An estimated investment of around US$22 billion
has been projected for the next five years in infrastructure. There are also a lot of
foreign infrastructure conglomerates moving into India. This can be a potential threat to
the company.
 Negative perceptions on the group: In comparison to other Indian conglomerates like
the Tatas or the Birlas the Adani Group has come into existence recently and thus do
not have the trust or goodwill that the others have. Adding to this are allegations of
illegal encroachment and mining scandals.

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 Porter’s five forces

Threat of new entrants is low high capital vestment resource scarcity regulatory approvals

Buyers bargaining power

low buyers group is not powerful shortage of electricity of supply less numbers of suppliers
consumers are less price sensitive majority of consumers or households

Bargaining power of suppliers

bargaining power of suppliers hi company has also go on for forward integration suppliers can’t
integrate forward I.E. produce electricity because of the huge entry barriers

Threat of substitutes
sources of renewable energy hydro and nuclear power producing companies and solar power

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Industry rivalry
Rivalry is very less the major rivalry of the company are NTPC power grid Corp reliance power
Tata power price of electricity is more or less some in the entire industry Industry growth is
high

Pestle analysis

Political
1 Adani group has been a major contributor to government projects in infrastructure and
defense

2 Political stability of government has given industries to grow quick clean especially with
policies favoring economic growth large industries as such as in Adani Enterprises Will benefit

3 governmental support packages during the Covid 19 has given much support to the
companies in such perilous times

Economic

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1 Adani Enterprises has a good cash flow this along with their good will in the market provides
give them leverage to take debt on their own terms

2 economic instability of the Indian region due recent Indo Sino tensions he is given rise to
uncertainty in the market

3 increasing disposable incomes in developing countries

Social
1 Increasing consumerism in India

2 Increasing support for renewable and strong market support for companies Like Adani Green

Technological
1 Rapid technological growth and development Making ports and other services smarter with
less human intervention

2 Increasing efficiency of IT resources

Legal
1 Rising regulations for carbon and other Hazar do is output of an industry

2 Changing import and export regulations due to US China trade war

3 Rising environmental Protections regulations on business

Environmental
1 Rising interest in environmental programmes along with mangroves plantations by Adani
Enterprises

2 Rising emphasis on business sustainability

3 Increase reliance on of low carbon power alternatives.

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 CORPORATE LEVEL STRATEGY
Corporate Strategy is the way a company adds value through the configuration and organization of its
multi-market activities The definition has three important aspects:

Value Addition - the generation of superior financial performance from multi-market activities that
create corporate advantage

Configuration - the multi-market scope of the corporation (product/market diversification, geographic

focus, and vertical boundaries)

Organization - the management of the inter-linkages between businesses and the head office The goal
of corporate strategy is to build corporate Advantage so as to earn above normal return

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 BCG Matrix
The BCG matrix is a strategic management tool that was created by the Boston Consulting
Group, which helps in analyzing the position of a strategic business unit and the potential it has
to offer. The matrix consists of 4 classifications that are based on two dimensions. These first of
these dimensions is the industry or market growth. The other of these dimensions is the
relative market share of the strategic business unit. Strategic business units are placed in one of
these 4 classifications. The BCG matrix for Adani Agri Logistics Limited Blocking the Grain Drain
will help decide on the strategies that can be implemented for its strategic business units.

Strategic business units with high market growth rate and high relative market share are called
stars. Businesses should invest in their stars and can implement vertical integration, market
penetration, product development, market development, and horizontal integration strategies.
Strategic business units with high market growth rate and low relative market share are called
question marks. These strategic business units require close considerations whether the
business should continue with them or divest. Strategic business units with low market growth
rate but with high relative market share are called cash cows. The business should invest in
these to maintain their relative market share. Lastly, the strategic business units with low
market growth rate and low relative market share are called dogs. The business should divest

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these strateg ic business
units.

BCG Matrix of Adani Agri Logistics Limited Blocking the Grain Drain

The BCG Matrix for Adani Agri Logistics Limited Blocking the Grain Drain will help Adani Agri
Logistics Limited Blocking the Grain Drain in implementing the business level strategies for its
business units. The analysis will first identify where the strategic business units of Adani Agri
Logistics Limited Blocking the Grain Drain fall within the BCG Matrix for Adani Agri Logistics
Limited Blocking the Grain Drain.

Stars

 The financial services strategic business unit is a star in the BCG matrix of Adani Agri
Logistics Limited Blocking the Grain Drain. It operates in a market that shows potential
in the future. Adani Agri Logistics Limited Blocking the Grain Drain earns a significant
amount of its income from this SBU. Adani Agri Logistics Limited Blocking the Grain
Drain should vertically integrate by acquiring other firms in the supply chain. This will
help it in earning more profits as this Strategic business unit has potential.

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  The Number 1 brand Strategic business unit is a star in the BCG matrix of Adani Agri
Logistics Limited Blocking the Grain Drain, and this is also the product that generates the
greatest sales amongst its product portfolio. The potential within this market is also high
as consumers are demanding this and similar types of products. Adani Agri Logistics
Limited Blocking the Grain Drain should undergo a product development strategy for
this SBU, where it develops innovative features on this product through research and
development. This will help Adani Agri Logistics Limited Blocking the Grain Drain by
attracting more customers and increases its sales.
 The Number 2 brand Strategic business unit is a star in the BCG matrix of Adani Agri
Logistics Limited Blocking the Grain Drain as Adani Agri Logistics Limited Blocking the
Grain Drain has a 20% market share in this category. It also the market leader in this
category. The overall category is expected to grow at 5% in the next 5 years, which
shows that the market growth rate is expected to remain high. Adani Agri Logistics
Limited Blocking the Grain Drain should use its current products to penetrate the
market. This could be done by improving its distributions that will help in reaching out
to untapped areas. This will help increase the sales of Adani Agri Logistics Limited
Blocking the Grain Drain.

Cash Cows

 The supplier management service strategic business unit is a cash cow in the BCG matrix
of Adani Agri Logistics Limited Blocking the Grain Drain. This has been in operation for
over decades and has earned Adani Agri Logistics Limited Blocking the Grain Drain a
significant amount in revenue. The market share for Adani Agri Logistics Limited
Blocking the Grain Drain is high, but the overall market is declining as companies
manage their supplier themselves rather than outsourcing it. The recommended
strategy for Adani Agri Logistics Limited Blocking the Grain Drain is to stop further
investment in this business and keep operating this strategic business unit as long as its
profitable.
 The Number 3 brand strategic business unit is a cash cow in the BCG matrix of Adani
Agri Logistics Limited Blocking the Grain Drain. This is an innovative product that has a
market share of 25% in its category. Adani Agri Logistics Limited Blocking the Grain Drain
is also the market leader in this category. The overall category has been declining slowly
in the past few years. Adani Agri Logistics Limited Blocking the Grain Drain has the
power to influence the market as well in this category. It should, therefore, invest in
research and development so that the brand could be innovated. This will help the
category grow and will turn this cash cow into a star. The overall benefit would be an
increase in sales of Adani Agri Logistics Limited Blocking the Grain Drain.
 The international food strategic business unit is a cash cow in the BCG matrix for Adani
Agri Logistics Limited Blocking the Grain Drain. This business unit has a high market
share of 30% within its category, but people are now inclined less towards international
food. This change in trends has led to a decline in the growth rate of the market. The
recommended strategy for Adani Agri Logistics Limited Blocking the Grain Drain is to

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 invest enough to keep this strategic business unit under operations. If it no longer
remains profitable and turns into a dog, then Adani Agri Logistics Limited Blocking the
Grain Drain should divest this strategic business unit.

Question Marks

 The local foods strategic business unit is a question mark in the BCG matrix for Adani
Agri Logistics Limited Blocking the Grain Drain. The recent trends within the market
show that consumers are focusing more towards local foods. Therefore, this market is
showing a high market growth rate. However, Adani Agri Logistics Limited Blocking the
Grain Drain has a low market share in this segment. The recommended strategy for
Adani Agri Logistics Limited Blocking the Grain Drain is to invest in research and
development to come up with innovative features. This product development strategy
will ensure that this strategic business unit turns into a cash cow and brings profits for
the company in the future.
 The Number 4 brand strategic business unit is a question mark in the BCG matrix for
Adani Agri Logistics Limited Blocking the Grain Drain. This strategic business unit is a
part of a market that is rapidly growing. However, this strategic business unit has been
incurring losses in the past few years. It has also failed in the attempts made at
innovation by research and development teams. The recommended strategy for Adani
Agri Logistics Limited Blocking the Grain Drain is to divest and prevent any future losses
from occurring.
 The confectionery strategic business unit is a question mark in the BCG matrix for Adani
Agri Logistics Limited Blocking the Grain Drain. The confectionery market is an attractive
market that is growing over the years. However, Adani Agri Logistics Limited Blocking
the Grain Drain has a low market share in this attractive market. The low sales are as a
result of low reach and poor distribution of Adani Agri Logistics Limited Blocking the
Grain Drain in this segment. The recommended strategy for Adani Agri Logistics Limited
Blocking the Grain Drain is to undergo market penetration, where it pushes to make its
product present on more outlets. This will ensure increased sales for Adani Agri Logistics
Limited Blocking the Grain Drain and convert this strategic business unit into a cash cow.

Dogs

 The plastic bags strategic business unit is a dog in the BCG matrix of Adani Agri Logistics
Limited Blocking the Grain Drain. This strategic business unit has been in the loss for the
last 5 years. It also operates in a market that is declining due to greater environmental
concerns. The recommended strategy for Adani Agri Logistics Limited Blocking the Grain
Drain is to divest this strategic business unit and minimize its losses.
 The Number 5 brand strategic business unit is a dog in the BCG matrix for Adani Agri
Logistics Limited Blocking the Grain Drain. This is operating in a market segment that is
declining in the past 5 years. The company also has negative profits for this strategic

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 business unit. However, it is expected that the market will grow in the future with
environmental changes that are occurring. The recommended strategy for Adani Agri
Logistics Limited Blocking the Grain Drain is to invest in the business enough to convert
into a cash cow. This will ensure profits for Adani Agri Logistics Limited Blocking the
Grain Drain if the market starts growing again in the future.
 The synthetic fibre products strategic business unit is a dog in the BCG matrix of Adani
Agri Logistics Limited Blocking the Grain Drain. The market for such products has been
declining, and as a result of this decline, Adani Agri Logistics Limited Blocking the Grain
Drain has been facing a loss in the past 3 years. The market share for it is also less than
5%. The recommended strategy for Adani Agri Logistics Limited Blocking the Grain Drain
is to divest this strategic business unit to minimize any further losses.
 The artificially flavored products strategic business unit is a dog in the BCG matrix for
Adani Agri Logistics Limited Blocking the Grain Drain. These products were launched
recently, with the prediction that this segment would grow. However, with increasing
health consciousness, people are now refraining from consumption of artificial flavors.
The market is shrinking, and Adani Agri Logistics Limited Blocking the Grain Drain has no
significant market share. The recommended strategy for Adani Agri Logistics Limited
Blocking the Grain Drain is to call back this product.

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 Different SBUs

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 Ansoff matrix
The Ansoff matrix is a strategic tool developed to facilitate and guide businesses in decision
pertaining to business growth. The Ansoff matrix offers four strategic choices to businesses to
choose from – market penetration, market development, product development and
diversification. An organization or a business is to choose any of these four strategies, or a
combination – deepening on various internal and external factors.

The external factors may include aspects of political stability and economy of a region, and
internal factors may include aspects of talent management, and resource capacities. Based on
an analysis of the internal and external factors, organizations decide different strategies for
growth – which may be broadly defined under the Ansoff matrix.

The Adani Agri Logistics Limited Blocking the Grain Drain makes use of the Ansoff matrix for
successful international growth

The Adani Agri Logistics Limited Blocking the Grain Drain has been successful in its global
operations and business based on its strategic growth choices and decisions. These growth
decisions and growth paths have been varied for different regions, at different time points –
based on the internal and external organizational factors. However, the Adani Agri Logistics
Limited Blocking the Grain Drain has successfully made use of the Ansoff matrix repeatedly to
become one of the leading beverage giants internationally. Some of the strategies that Adani

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Agri Logistics Limited Blocking the Grain Drain has successfully used under the Ansoff matrix
and categories are detailed below.

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Market penetration

The market penetration strategy is used by businesses that seek growth for existing products in
markets where their brands are existing, and already operational.

Increase production capacity

 Increased production capacity will allow Adani Agri Logistics Limited Blocking the Grain
Drain to reach more customers within the same market
 Increased production capacity would also lead to more efficiency and effectiveness –
especially for controlling overhead costs
 Controlled overhead costs would lead to competitive pricing and would appeal to the
consumers in the same market
 Increased attractiveness and competitive pricing within the same market will lead to
increased sales and consumption – and thus a higher market penetration

Increased marketing investment

 The Adani Agri Logistics Limited Blocking the Grain Drain can also increase its
investment in marketing and advertising activities to increase market penetration
 The Adani Agri Logistics Limited Blocking the Grain Drain should try to develop and
design engaging communication content that is relevant to its various market groups
 Engaging communication and investment in marketing activities, and advertising will
allow the Adani Agri Logistics Limited Blocking the Grain Drain to reach more consumers
within the same market
 With higher marketing investment, the Adani Agri Logistics Limited Blocking the Grain
Drain will be able to increase its market penetration within the existing markets for
existing products

Enhanced distribution

 The Adani Agri Logistics Limited Blocking the Grain Drain can explore new and
innovative means of distribution
 The Adani Agri Logistics Limited Blocking the Grain Drain can also explore new channels
of distribution for their products

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  New and enhanced distribution channels and strategies will allow the Adani Agri
Logistics Limited Blocking the Grain Drain to reach new consumer segments and
consumer groups in the same market – which may have been inaccessible previously
 Improved supply chains and distribution systems may lead to increased penetration
within the same market by improving accessibility

Competitive pricing

 The Adani Agri Logistics Limited Blocking the Grain Drain may introduce competitive
pricing and price cuts to increase the appeal of its products
 Competitive pricing will be a source of competitive advantage for the company, and will
lead to enhanced consumer engagement with the product
 At the same time, competitive pricing will increase the sales for the Adani Agri Logistics
Limited Blocking the Grain Drain and lead to increased penetration

Reduce operational costs

 The Adani Agri Logistics Limited Blocking the Grain Drain can reduce operational costs to
increase competitive pricing
 Competitive pricing will help the Adani Agri Logistics Limited Blocking the Grain Drain
increase its sales volume and consumption
 Lower operational costs will lead to less costs being passed on to the consumers, and
will make the products offered by the Adani Agri Logistics Limited Blocking the Grain
Drain more desirable and affordable
 Higher affordability and accessibility will help the Adani Agri Logistics Limited Blocking
the Grain Drain increase its market penetration

Acquiring competitors

 The Adani Agri Logistics Limited Blocking the Grain Drain can acquire competing players
in the market
 The acquisitions will give the Adani Agri Logistics Limited Blocking the Grain Drain
leverage in reaching different consumer groups and segments
 The acquisitions will also allow the Adani Agri Logistics Limited Blocking the Grain Drain
to develop leverage through diversified supply chain and distribution channels
 Acquisitions will lead to higher penetration through improving the Adani Agri Logistics
Limited Blocking the Grain Drain’s accessibility of different consumer groups and
segments in existing markets

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Partnerships and joint ventures

 The Adani Agri Logistics Limited Blocking the Grain Drain can also enter strategic
p[partnerships and joint ventures with other players in the market
 These can be players belonging to similar industry, or even different industries
 Strategic partnerships and joint ventures will allow the Adani Agri Logistics Limited
Blocking the Grain Drain to gain access to different consumer groups, and their market
behavior and consumption patterns
 Additionally, the Adani Agri Logistics Limited Blocking the Grain Drain will be mitigating
risk factors through limited investment – which in turn will safeguard it against potential
losses
 Joint ventures and partnerships can provide the Adani Agri Logistics Limited Blocking the
Grain Drain with guided means of increasing penetration in existing markets

New product benefits and features

 The Adani Agri Logistics Limited Blocking the Grain Drain can identify new features and
characteristics in existing products for existing markets
 This identification will lead to innovative and novice product consumption purposes and
behavior
 Consumers should also be made aware of these new and innovative usage patterns and
consumptions ways of the Adani Agri Logistics Limited Blocking the Grain Drain products
by the company
 Increased marketing and communication of new product use and benefits, along with
characteristics and features will lead to increased consumption in existing consumer
groups and segments, as well as in new consumer segments and groups
 This will facilitate the Adani Agri Logistics Limited Blocking the Grain Drain in improving
its overall market penetration in existing companies

Increased frequency of consumption

 The Adani Agri Logistics Limited Blocking the Grain Drain can also initiate
communication and marketing aimed at increasing the frequency of consumption of the
products in existing markets
 Increased consumption frequency will lead to an overall increased consumption
 The Adani Agri Logistics Limited Blocking the Grain Drain will thus be able to increase
the sales volume sold to existing consumers in existing markets
 The company will be able to increase its market penetration through these means

Market development

With market development strategies, the Adani Agri Logistics Limited Blocking the Grain Drain
can enhance its business growth through introducing existing products in new markets. This will

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be possible for the Adani Agri Logistics Limited Blocking the Grain Drain with different
strategies.

Research and development

 The Adani Agri Logistics Limited Blocking the Grain Drain should invest in research and
development to identify possible new markets and consumer segments for its products
 The R&D should focus on identifying and understanding different market cultures,
trends, and consumer behaviors - and how they differ dim consumer behavior patterns
in existing markets

Regional expansion

 The Adani Agri Logistics Limited Blocking the Grain Drain can expand regionally
 This will include expansion locally to different cities, or within the same geographic
region
 Regional expansion should also take into consideration any cultural differences that will
need to be accommodated in the expansion process in terms of marketing or product
modifications and consumption methods.

International expansion

 The Adani Agri Logistics Limited Blocking the Grain Drain an also enjoy business growth
through international expansion
 International expansion will allow Adani Agri Logistics Limited Blocking the Grain Drain
to access different consumer groups, and increase its overall share of the pie
 International expansion will require the Adani Agri Logistics Limited Blocking the Grain
Drain to conduct in-depth PESTLE, Porters 5 forces and SWOT analyses to develop a
comparative strategy and overview for planned expansion
 The company will also need to understand the possible cultural differences, and make
accommodations to its expansion strategy accordingly. Cultural differences should be
taken into account in the process of global expansion.

New customer segments

 The Adani Agri Logistics Limited Blocking the Grain Drain can also explore new consumer
segments in the same market for its products
 The company can identify new product uses and features and target new consumer
segments for the existing products
 This will allow the company to tap into new markets and new market trends within the
same market to help in growth and expansion

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Brand awareness

 The Adani Agri Logistics Limited Blocking the Grain Drain also invests in activities of
building brand awareness
 Building brand awareness is important to help the company reach new consumer
segments, and increase visibility
 Increased brand awareness for the Adani Agri Logistics Limited Blocking the Grain Drain
also leads to increased brand recall – which is important for purchase decisions
 Consequently, building brand awareness is important for increasing sales, and driving
growth in new markets

Customer education

 The Adani Agri Logistics Limited Blocking the Grain Drain should also educate consumers
in new markets for its products
 This market education is important for allowing consumers in understanding the
products, and its offerings
 The consumers will also be able to understand consumption patterns for the products
better with education
 The Adani Agri Logistics Limited Blocking the Grain Drain increases sales through
educating new consumer segments in existing and new markets to lead to overall
business development and growth/

Product development

When a company seeks to expand business growth in existing markets through new products, it
is termed as product development. The Adani Agri Logistics Limited Blocking the Grain Drain
drives product development in different ways.

Modifications to existing products

 The Adani Agri Logistics Limited Blocking the Grain Drain can introduce modifications
and improvements in existing products to offer consumers new and enhanced offerings
 This will lead to increased sales and consumption of the product

Launch new products

 The Adani Agri Logistics Limited Blocking the Grain Drain also often engages in R&D
activities to understand and identify new points of consumer demand
 The company then undergoes a NPD process, and develops and launches new products
in the market for consumers
 This increases the breadth of the company’s reach, and also allows Adani Agri Logistics
Limited Blocking the Grain Drain to penetrate new market segments

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Research and development

 Adani Agri Logistics Limited Blocking the Grain Drain regularly invests in research and
development – especially pertaining towards understanding market trends and
consumer behavior
 Investment in R&D has allowed the Adani Agri Logistics Limited Blocking the Grain Drain
to remain competitive through innovation and creativity – in product launches as well as
other functional areas such as marketing, operations and finances
 Research and development has also built the Adani Agri Logistics Limited Blocking the
Grain Drain to become more efficient in its operations and routine activities.

Strategic partnerships

 The Adani Agri Logistics Limited Blocking the Grain Drain engages in strategic
partnerships to explore options for product development as well
 Strategic partnerships allows Adani Agri Logistics Limited Blocking the Grain Drain to
have access to new product developments, and processes with limited financial
investment- and thus limited risk involved
 This is important for Adani Agri Logistics Limited Blocking the Grain Drain – to be able to
understand the new product, and development process along with the market reaction
and acceptability of the same before engaging in fill fledged production of own

Product quality

 The company can also engage in new product development through introducing
different quality products in the same market
 This will allow the Adani Agri Logistics Limited Blocking the Grain Drain to penetrate new
market and consumer segments, as well as target new consumer groups

Diversification

Diversification refers to business growth and development that occurs when a company
engages in new product development in new markets. Diversification is an important and
allows businesses like the Adani Agri Logistics Limited Blocking the Grain Drain to remain
competent, innovative, and competitive – thereby remaining relevant for the consumer
markets.

Vertical diversification

 Vertical diversification for the Adani Agri Logistics Limited Blocking the Grain Drain
means looking for growth and business development by introducing new products
under existing product lines.

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  This means that the new product developments and launches by the Adani Agri Logistics
Limited Blocking the Grain Drain would be similar to, and categorized under existing
product groups and categories.

Horizontal diversification

 Horizontal diversification occurs when the Adani Agri Logistics Limited Blocking the
Grain Drain decides to introduce and engage with new product developments and
launches that are not associated with the existing products
 It is however beneficial to introduce new products launches and developments for
products that share similar economic environments with the visiting products.

Diversification towards a new business

 The Adani Agri Logistics Limited Blocking the Grain Drain can also diversify into
becoming a conglomerate by engaging in a different business altogether
 Diversification through a new business would involve the Adani Agri Logistics Limited
Blocking the Grain Drain to explore new business ideas and option to launch or acquire
for purposes of growth and development

Mergers and acquisitions

 One of the ways through which the Adani Agri Logistics Limited Blocking the Grain Drain
may explore conglomeratic growth of entering new businesses is through mergers and
acquisitions
 The Adani Agri Logistics Limited Blocking the Grain Drain can partner with, or acquire
companies and businesses that interest it in an effort to diversify into new markets and new
consume groups with products and services that are completely new, and not related to
existing offerings

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Cost Leadership

In cost leadership strategies, firms compete by lowering prices (relative to value) in order to
appeal to a broader target market (especially cost-conscious customers who might otherwise
not purchase the product) or to sell higher volumes of product to existing customers.

In adani group cost leadership is fully independent integratted

Differentiation

In differentiation strategies, firms compete by offering superior products or services to

customers, usually at higher prices.

Firms achieve differentiation through:

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 customer intimacy: having strong relationships with their customers and knowing what
they want and value.
product or service innovation: developing new products, services and features to satisfy
those wants and needs
brand building: to convince customers that a firm's products or services are somehow
superior to a greater extent than what they really are, or to convince customers that
they want product or service features the firm offers more than they actually need
them.
In adani group the differentiation is in high capital intensive projects

Focus

Firms achieve focus by targeting one or more specific customer segments or niches. They then
pursue a strategy of differentiation with regard to the product and service features with the
attributes most highly desired by those segments, and cost leadership with all other attributes.

Whilst focus combines elements of both differentiation and cost leadership, it should not be
seen as a hybrid or blend of the two. Strict separation should be made between those product
and service attributes where cost leadership is to be applied and where differentiation is to be
applied, and this strict separation should be based on the particular wants and needs of clearly
identified niches.

The main focus is on infrastructure development.

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 FUTURE PROJECTS

• 2640 MW Coal based Thermal Power Project at Dahej, Gujaratthrough its subsidiary company
Adani Power Dahej Limited.
• 1320 MW Coal based Thermal Power Project at Chhindwara,Madhya Pradesh through its
subsidiary company Adani Pench
Power Limited
• 3300 MW Coal based Termal Power Project at Bhadreshwar, Gujaratthrough its subsidiary
company Kutchh Power Generation Limited
• 100 MW Solar Power Project at Surendranagar, Gujarat through itssubsidiary company
Adani Renewable Energy LLP

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 CONCLUSION

Over the years, Adani Group has positioned itself to be the market
leader in its transport logistics and energy utility portfolio businesses
focusing on large-scale infrastructure development in India with O & M
practices benchmarked to global standards. With four IG-rated
businesses, it is the only Infrastructure Investment Grade issuer in
India. Adani owes its success and leadership position to its core
philosophy of ‘Nation Building’ driven by ‘Growth with Goodness’ - a
guiding principle for sustainable growth. Adani is committed to
increasing its ESG footprint by realigning its businesses with an
emphasis on climate protection and increasing community outreach
through its CSR program based on the principles of sustainability,
diversity, and shared values.

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