17-01-2011, 02:21 PM
EIC ANALYSIS.ppt (Size: 498 KB / Downloads: 175)
PRESENTED BY
AMBIKA SRIVASTAV
VIJAYTA TRIPATHI
CONTENTS
ECONOMY RELATED
FACTORS
Growth Rates
Interest Rates
Inflation
BOP, Foreign Trade
Exchange Rates
Savings & Investments
Demographic Data
Monsoon
INDUSTRY RELATED
FACTORS
PLC
Demand & Supply
Barriers to Entry
Market for the Products
Supply of inputs
Government Attitude
Other Details
FIRM SPECIFIC
ANALYSIS
Company Details
Technical and
Fundamental
Analysis
Common Size
Statements
Ratio Analysis
Trend Analysis
MARKET TREND (as on 18th Sep. 2008)
BSE Sensex : 13518.80
S&P CNX Nifty : 4074.90
MONSOON
Up to July 23, 2008 -cumulative rainfall 98%
June-September – forecasted to be 100 % by India Meteorological Department (IMD)
DEMOGRAPHICS
Population as on 1st Mar. 2001- 1,027,015,247
Male - 531,277,078
Female - 495,738,169
Most Populous State – Uttar Pradesh
Least Populous State – Sikkim
Highest Density – Delhi with 9,294 persons / sq. km
Lowest Density- Arunachal Pradesh 13 persons / sq. km
Sex Ratio – 933 females over 1000 males
Literacy Rate – 65%.
Overview
Total Investment – US$60 billion
Contribution to GDP – 3%
Share in Exports – 13-14%
Imports – 8 – 9%
12th largest in World
3rd Largest in Asia
Per capita consumption in India – 1/10th of world average
Global chemical Indus. – US$ 1.7 trillion
One of the fastest growing Industry in India
Average growth rate 12.5%
Key Features
Chemicals sold directly to large customers and through distribution channels.
Annual Turnover Rs. 90,000 crore (approx.)
1/3rd contribution by 3 main sub-sectors – basic chemicals, petrochemicals and pharmaceuticals.
Role of Government
INPUT COSTS
REVOLUTIONIZING THE POWER SECTOR
INFRASTRUCTURE IMPROVEMENT
PCPIRs
R&D
FINANCIAL ASSISTANCE
EXPORT PROMOTION
ENVIRONMENT RELATED ISSUES
AMENDMENT IN LABOR LAWS
SWOT FRAMEWORK ANALYSIS OF INDIAN CHEMICAL INDUSTRY
STRENGTHS
Diversified Manufacturing Base
Vibrant downstream industries in different segments
Competitive core industries
Capability to produce world-class end products
Strong presence in the export market in sub-segments
Large domestic market
Major raw material component sources within the country
Good R&D base
WEAKNESSES
SCALE OF PRODUCTION
TECHNOLOGY
MULTIPLICITY OF TAXES
LABOR LAWS
OPPORTUNITIES
Challenge to compete globally by concentrating on weaknesses
Markets in the developed countries
A large number of products going off patent.
Advantages in certain categories can be used for boosting exports.
Close to middle-east- cheaper and abundant source for petrochemicals feedstock.
Stringent environmental laws in the western countries
Climatic conditions in India
Competencies to utilize renewable resources
Competency to emerge as a global player in the area of Specialty chemicals.
THREATS
Imports of chemicals, intermediates and end products
Tariff levels for chemicals
Greater competition due to
Chinese products
Bilateral/multilateral trade agreements
The labor laws, power supply and infrastructure facilities
Firm Specific Analysis- BASF Ltd.
Started in India in 1943,
when it acquired shares of R. A. Cole Private Limited
Indoplast Limited in January 1963
BASF India Limited in September 1967.
Public limited listed company
Subsidiary of BASF Aktiengesellschaft, Germany.
Prasad Chandran- Chairman and Managing director
At present, the BASF Group in India is represented by the following companies:
BASF India Limited
BASF Coatings Private Limited
BASF Styrenics Private Limited
BASF Polyurethanes India Limited
BASF Construction Chemicals (India) Private Limited
BASF Catalyst India Private Limited
BASF Asia Pacific (India) Private Limited
Activities & Products
Offers innovative, hi-tech and safe solutions
Tanning agents,
Leather chemicals and auxiliaries,
Crop protection chemicals,
Textile chemicals,
Dispersions and specialty chemicals,
Products
Plastics, automotive and coil coatings, catalysts, construction chemicals, polystyrene and polyurethane systems.
Strong manufacturing and R&D base,
>1300 employees multi-location production sites and an R&D centre,
Global Technology Platform
Conclusion
Consistent Trend
Increasing Returns
Profitable