LAKSHYA INTERNATIONAL JOURNAL OF RESEARCH IN MANAGEMENT STUDIES
12, Shivam Nagar 1st, Jagatpura, Jaipur – 302017. Rajasthan. e-mail: [email protected]
ISSN: 2456-2823
March 2017, Volume 2, Issue 1
Effectiveness of Structure and Marketing of Indian Branded Food
in comparison to Foreign Branded Food
Tanmay Agarwal*
Yash Raj Thapan**
Dr. Ankur Kumar Rastogi***
* Student, BBA (Auto Marketing), 3rd year, CoMES, University of Petroleum & Energy Studies, Dehradun
** Student, BBA (Auto Marketing), 3rd year, CoMES, University of Petroleum & Energy Studies, Dehradun
*** Asst. Professor (SS) & Program Head, CoMES, University of Petroleum & Energy Studies, Dehradun
Abstract
This exploration endeavors to concentrate on the bundled sustenance’s showcase in the lucrative Indian
market. The study gives a diagram of the Indian bundled sustenance advertise. Advertise pioneers in
the Indian bundled nourishment showcase in the six distinct classes of bundled sustenance’s are
contemplated. Variables, for example, the market pioneers, piece of the pie, elements impacting
purchasing, enter drivers in the bundled sustenance market and fate of the bundled nourishments in
India are a portion of the essential parts of the exploration. To comprehend the fruitful advertising
systems and the part of promoting procedures in organization's prosperity, an organization investigation
of ITC Foods from the perspective of showcasing is finished. Real data hotspots for the exploration is
the interior and outside information accessible on the web. Significance of Innovation and focused
system in the arrangement of promoting blend of ITC Foods is firstly examined. The viability of
legitimate execution of the promoting blend is then considered with the assistance of different
advertising speculations and models propounded by showcasing researchers. The discovering, proposal
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LAKSHYA INTERNATIONAL JOURNAL OF RESEARCH IN MANAGEMENT STUDIES
12, Shivam Nagar 1st, Jagatpura, Jaipur – 302017. Rajasthan. e-mail: [email protected]
March 2017, Volume 2, Issue 1
ISSN: 2456-2823
of advertising procedures and the future on bundled sustenance’s in India are expressed. This study
tries to give a photo of the ebb and flow advertise situation of the Indian bundled and Instant
nourishment industry and the showcasing methodologies utilized by the organizations.
Keywords: Indian food, foreign food, digital marketing, Indian bundled, instant nourishment industry
Introduction
The Indian Packaged sustenance industry is seen in a mind boggling and dynamic environment. The
exploration starts by comprehension the Indian Packaged nourishment advertise. A plan of the buyers,
their requirements, the items in the Indian Market will be painstakingly broke down. The later part of
the exploration clarifies the positioning of the market pioneers in the market and the promoting
methodologies embraced by them to catch the lucrative packaged nourishment advertise. Aside from
the Mighty 4 P's there are numerous different components which assume a critical part to design a
system in a manner that it is adaptable to the situations influencing the business and industry. To give
some examples Situation investigation, promoting strategies, showcasing spending plan, asset
designation, operational course of events and so on. Advancement methodologies utilized as a part of
the nourishment business will be concentrated on, uncovering an improper concentrate on inside
information. Packaged Foods the expression "nourishment" implies the synthetic substances devoured
by the human body with a specific end goal to keep the body in a dynamic and solid condition. The
body needs sustenance for its development, repair, substitution and treatment of the well-used out
tissues. In this way, sustenance needs to convey the required vitality, crude material, and other
managing constituents, similar to minerals and vitamins, for the effective and smooth working of the
body, aside from satisfying the calorific needs like protein, fats, sugars, and so forth., Oxford Advanced
Learners Dictionary characterized moment nourishment items as "Moment sustenance items which are
arranged and bundled regularly in controlled frame are required just the expansion of a fluid as water or
drain for definite readiness". The Instant sustenance items, which started in Japan with Instant noodles
had its start in India in 80's, are discovered today in the kitchen racks of each Indian family unit. The
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LAKSHYA INTERNATIONAL JOURNAL OF RESEARCH IN MANAGEMENT STUDIES
12, Shivam Nagar 1st, Jagatpura, Jaipur – 302017. Rajasthan. e-mail: [email protected]
March 2017, Volume 2, Issue 1
ISSN: 2456-2823
headway of science and innovation offered the general population new sustenance’s handling vessels.
India being the world's succeeding significant maker of nourishments after China, is anticipated from
being greatest sustenance industry with agrarian and nourishment segment contributing 26 for every
penny to Indian GDP. It has the limit of delivering more than 700 million tons of sustenance items
consistently; is relied upon to be multiplied of what it is in the coming ten years. Nourishments has the
biggest partake in customer consumptions in India. Nourishments and sustenance items mean more
than 53 for each penny of net private utilization. The stake in costs is significantly more than in created
nations, where customer spending for sustenance and their nourishment items whole up to around 20
for each penny. (www.tata.com, 2010). 1.4 Indian Food Processing industry India saw fast financial
development controlled by monetary changes amid the period of 2004 to 2007. FDI inflow expanded
and GDP development was at 8-10 for each penny amid the period. The worldwide financial downturn
seen in 2008 deeply affected the economy with mechanical yield backing off and swelling expanding
by two rate focuses over the earlier year to 8.3 for every penny. Be that as it may, genuine GDP
development still stayed as solid as 7.3 for each penny. With India's immense populace base, relentless
full scale financial environment and an ascent in working class populace, handled sustenance’s has
been one of the quickest developing fragments in the Indian market. Fast way of life change,
particularly in the urban regions, has created a dramatic ascent in the interest for bundled, handled,
prepared to-eat nourishments and sustenance items.
Review of Literature
Elliot and Thrash (2002) stated that the consumers’ intention to buy products depend upon various
factors including the desire, perception, past experience, the features of goods and services among other
tangible and intangible traits concerned with the individuals. Prasad and Aryasari (2010) stated that
domestic players too introduced fast food to the local customers in accordance to the prevailing eating
habits, tastes and preferences. Although quality control in general and HACCP in particular have been
used in manufacturing industries for decades, they are clearly ineffective and almost totally incapable
of detecting food safety defects that occur at a low incidence (ICMSF, 2002). Coming out with detailed
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LAKSHYA INTERNATIONAL JOURNAL OF RESEARCH IN MANAGEMENT STUDIES
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March 2017, Volume 2, Issue 1
ISSN: 2456-2823
proof of this is September (2005), who reports that the global use and success of the HACCP system in
the food processing industry has created a false expectation that it could be used successfully in all
steps of the food supply chain. However, this is not necessarily true. There has been a lack of defining
of critical control points (CCPs), which have the function of eliminating or controlling identified
hazards. As a result, there is no effective use of HACCP in all steps of the supply chain. In order to
ensure food safety in the supply chain, it is necessary to combine prerequisite programs along with
HACCP, rather than only CCPs taken from an HACCP system. Although quality control in general and
HACCP in particular have been used in manufacturing industries for decades, they are clearly
ineffective and almost totally incapable of detecting food safety defects that occur at a low incidence
(ICMSF, 2002). Coming out with detailed proof of this is September (2005), who reports that the
global use and success of the HACCP system in the food processing industry has created a false
expectation that it could be used successfully in all steps of the food supply chain. However, this is not
necessarily true. There has been a lack of defining of critical control points (CCPs), which have the
function of eliminating or controlling identified hazards. As a result, there is no effective use of
HACCP in all steps of the supply chain. In order to ensure food safety in the supply chain, it is
necessary to combine prerequisite programs along with HACCP, rather than only CCPs taken from an
HACCP system.
Research Methodology
This study is based on the secondary research. The secondary data has been collected through the
Journals, Magazines, and other print media as case studies, literatures of companies.
Data Analysis and Interpretation
There are brands and logos present all around us, starting from the wine we consume to the clothes we
wear, in the billboards along the interstate, to the advertisements which don the buses, subway and
yellow cabs (Hampf & Lindberg-Repo, 2011). Branding has proven to be an essential strategy for
marketing even in noncommercial organizations like political outfits and charities. It can be utilized for
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LAKSHYA INTERNATIONAL JOURNAL OF RESEARCH IN MANAGEMENT STUDIES
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enhancing the profitability of actors, sports personalities, celebrities and also cities (Moor, 2007).
Branding is considered as a separate industry which acts as a key mechanism to enable the smooth
functioning of a market-oriented economy (Moor, 2007; Henderson & Arora, 2010). Some brands of
specific countries are considered superior to others in countries which raised the question of effect on
homogenization of culture (Moor, 2007; Bastos & Levy, 2012) but the brands help create a working
identity for a product influencing consumers’ purchase intention. 16 Brand and advertising walks in
continuum with each other creating a composite industrial environment; this continued focus on
advertising has given rise to a functioning cultural economy at the expense of other forms of promotion
(Du Gay & Pryke, 2002). Branding converts a certain commodity into a self-promotional form which
creates an insatiable desire among consumers who want to procure it (Lury, 1993). Before delving into
further discussion about brands and how they help to generate revenue for brands and corporations, we
should understand the proper definitions. A brand is a name, term, design, symbol, or any other feature
that identifies one seller's good or service as distinct from those of other sellers (American Marketing
Association Dictionary, 1960). The word "brand" is derived from the Old Norse brand meaning "to
burn” which refers to the practice of producers burning their mark (or brand) onto their products. The
concept of brands is not new but comparatively branding a brand is a product derived from the start of
modern globalization at the end of the Cold War. It was actually during the 1990s, that a previously
essential set of practices – product design, retail design, point-of purchase marketing came together to
be known as branding (Bastos & Levy, 2012). The effects of branding caught the unfettered attention
after the publication of Naomi Klein’s (2000) No Logo which created interest among scholarly circles
to research more and more on this concept. Promotional activities of brands and corporations have
always been subjected to public criticism and activism but Klein’s book dealt more about identifying
new avenues and creating guidelines for innovative scope of marketing activity and to connect these to
the ongoing globalization of labor markets and analyzing its after-effects (Moor, 2007). There is
another definition which also defines brand as a unique property of a specific company 17 which has
been developed over a certain time period enabling it to embrace a defined set of values and attributes
which meaningfully helps a consumer identify products otherwise would resemble the similar attribute
(Murphy, 1990). The perpetual rise of branding can be attributed as a method of a more reflexive
capitalism (Thrift, 1997) where a market is created for the commodity to make the consumers slowly
but steadily conform to the structures presented in the concept envisaged by the certain company or
brand. The analysis showed that consumers are bound towards the fast food and it is also easy to
consume and saves time so these MNC,s are earning more and more number of profits. These MNC,s
provide deep frozen and packed foods which can be carried away for a long time and can be consumed
after a certain time period and consumers think that these are fresh. These organization mainly make
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their food more qualitative by enhancing its taste and by adding more spices to it, they also work upon
their brand strategies towards the mindset of consumers.
As in above figure you can see the completion between the major players of food branded your country
in india, but there is not a single indian food brand to compete which is a major loss for our country.
Our prime minister also said that if you want to upgrade your country than enhance yourself “make in
India” is his mission which means that build in India and sell in India, so that there would no
unemployment and no MNC could cut their share margins and earn profits. If Indian food brands start
advertising and promoting their brands and try to understand the taste and preferences of consumers,
Indian food brands would create a huge completion in the market and these foreign food brands shall
have to step out of the nation. There are some of the major players in our country like Moti Mahal,
Haldirams, Bikanerwala, Dabbawala these are major playors of India but in certain cities as they are not
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like brands of that level. To being a brand they have to apply these market strategies and promote
themselves that would increase their preference.
Factors Affecting Behavior of Consumers towards Foreign Food Brands
Convenience
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Fast food saves a lot of time for customers.
They prefer going to fast food restaurants due to their proximity.
Fast food simplifies their life
Fast food is easy to get to.
Fast food restaurants are open until late at night.
Fast food is quickly prepared.
Fast food is very practical.
Brand Name Reputation
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A global fast food brand is trustworthy in every aspect.
Consumers prefer not to eat at unfamiliar brands of fast food restaurants.
A global fast food brand provides better quality food.
A popular branded fast food restaurant has a positive effect on my consumption.
It is important to be a strong, well-known brand in the fast food industry
Cost
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Fast food is inexpensive.
Fast food is a cheaper option compared to alternative food outlets.
Consumers get good value for my money.
“Get two meals for the price of one” promotions increase the fast food consumption.
Consistency
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Consumers feel safe knowing that a global fast food restaurant serves a consistent menu with a
consistent taste in every branch it operates.
They prefer global fast food restaurants due to the standard, consistent menus they serve.
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The standard, consistent menus at global fast food restaurants increase my overall fast food
consumption.
Every branch of global branded fast food restaurant has consistent service ability
Quality
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Global branded fast food restaurants are higher in quality.
Global branded fast food restaurants use high quality ingredients in their meals.
Global branded fast food restaurants are more reliable
Suggestions
Indian brands can rule the market easily if they properly make startegies and promote themselves. The
foreign food brands are just the baked foods and the advertising is their main asset. Indian food brand
should start taking this step towards our nation and start building their brand and try to give a huge
completion to these foreign food brands. They can understand the mindset of consumer and their taste
and preferences and also by understanding the strategies used by these foreign food brands. They could
also use the same strategies towards their brand. It’s not like that people don’t like Indian food they
only focus on fast food as it is easy to digest and eat. Indian food is best food in whole world its just
who know how to sell it. Try to make some new offers and schemes which grab the attention of the
consumers.
Conclusion
Hypotheses for this study were supported in favor of the European brand leading over American and
local brand. The two parameters of this study concerned about Indian consumers’ affinity towards
global brands and regional differences in India. As India becomes more and more economically strong,
affinity for procurement of global as well as local brands will increase. The study sets precedence on
the type of studies already 80 done on Indian consumer as it studied three brands. Based on the
framework from previous research, the study analyzed the acceptance of global brands and local brands
among Indian consumer. Interestingly, the study revealed that a certain portion of Indian consumers
have a strong affinity towards procuring global brands but there’s a group which is still undecided.
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India is a rapidly developing economy based on strong private sector with brand conscious consumer.
This attribute about Indian economy attracts global brands to set up stores in the country. The problems
as evidenced from the study of literature reveal regional constraints and government regulations
hampering the rapid growth of retail in India. The study can be set as a stepping stone for other scholars
to study in depth about the brands in India; both global and local as well as the Indian consumer
choices. Finally, Indian consumer market is ever changing which opens up new possibilities and the
brands need to tap into this burgeoning space (Sinha & Banerjee, 2004; Kaur & Singh, 2007).
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