TCS

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Down now, but TCS has immense potential to bounce back among the crème in the 4Ps B&M rankings soon

An important player in the booming IT sector, Tata Consultancy Services (TCS) boasts of possessing more than 70,000 associates worldwide. Courtesy its fledging state-ofthe- art consulting services and enviable Global Network Delivery Model, TCS recorded revenue earnings of a staggering $4.3 billion for FY07. Agnello Dias, National Creative Director, J. Walter Thompson’s attributes TCS’s success to the company managing to outlast prevailing market trends and ride over them. “They were steadfast with their vision irrespective of the circumstance,” he says. Looking to strengthen its position in the global market, TCS launched “Experience Certainty” during the last quarter, which made it the first Indian corporate to come out with a global branding and marketing campaign. The campaign seeks to promote brand assurance among clients and is a part of the company’s vision to be counted among the top 10 players in the industry by 2010. The campaign backs the brand proposition by claiming that 96.63% of TCS deliverables are achieved on time. However, the Indian consumer does not seem unduly excited. TCS slipped from Rank 29 last year to Rank 51. This could be a spillover from the controversies in Singur and Nandigram that the Tata Group is embroiled in. Even then, 2006 has been quite rewarding for TCS, as business revenues have continued to zoom up.

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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NOKIA

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What an eye-popping slip... from rank 3 last year to rank 19 now!

So why has Nokia shown such a sad performance as compared to last year? After all, the Finnish giant has always been a strong brand in Indian mobile market? Sure, volume-wise, India’s consumption of Nokia has been increasing, but the brand appeal has taken a beating with a steady stream of people queued outside Nokia Care Centres lately (growing list of complaints against N-series).

Also Nokia’s continued emphasis on high-end phones has decreased its appeal, as many of the newest users are people with limited budgets. Yet analysts do emphasise on the brand’s massive recall value even today. “Think mobile, think Nokia. It has mobiles for everyone, be it a sober (person) to the ultimate music geek,” thumps Akshun Gulati, Analyst, IndusView Advisors. And indeed it has recently announced quite a few new different models, but value-wise, the market has opened up to other brands like Sony Ericsson, Motorola, even Samsung. This is reflected in the ranking as it slips from Rank 3 to Rank 19 on the 4Ps B&M Most Valued Brands list – a massive loss by 16 points. Nokia, though has never ceased to put tremendous efforts into its brand image. “Nokia Priority dealers everywhere, helps in the branding,” adds Gulati. But clearly, Nokia needs to edge out the negative.

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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‘Absolut’ rubbish!

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Absolut Vodka goes for a total change

When makers of the once dominant Absolut Vodka had to reposition the brand, they ran a campaign titled “In an Absolut World.” It depicted an ideal world where everything is as perfect as Absolut Vodka. However, today the brand is hardly the “ideal” it claims to be. “We are still a very strong brand in the US. But we do understand that the vodka category has changed and we are working towards reestablishing and reworking Absolut’s position in the category,” states Tim Murphy, Senior Brand Director, Absolut Spirits Company. Absolut is now allocating 20-30% of its advertising spend on mediums like TV, outdoor and digital to succeed.

The vodka was never positioned as vodka but as a fashion statement. The brand has also lost share to a lot of new players. According to trade magazine, Impact, growth rate of Absolut from 2000 to 2005 has been 4.9%, lower than other majors. Time for ‘absolut’ change, right? 4Ps

Edit bureau: Preeti Chaturvedi

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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Shall we shoot the analysts?

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The Sensex crosses 15,300... and more

“Riddikulus!” That is the antidote incantation used by Harry Potter and his mercurial wizard (and witch) friends to convert the fearsome Bogart monster into a harmless creature. And that seems to be the very charm used by FIIs to convert those innumerable morbid Sensex forecasts – of an impending crash – into historical highs! What else can you say when the Sensex not only crosses the 15,000 mark, but also reaches a never-beforeseen high of 15,341 on July 16, 2007. But then, is it really time for merry-making in Dalal Street or is it too premature a time to be boisterous about the achievement of our spectacular Sensex?

“Long-term prospects remain good apart from a high liquidity presence and a growing appetite of Indian investors, which is likely to keep valuations at stretched levels over the foreseeable future,” exclaimed J. P. Sinha, Director and Head – Research, Ambit Capital to 4Ps B&M. Nikunj Doshi, Fund Manager, Kotak Mutual Fund supported this viewpoint even over the long term to 4Ps B&M, “Both fundamentals and liquidity are favourable right now for India. The positive undertone will continue in the coming years.” Then what was it with all the socalled experts shouting hoarse about over-valuations? “Look at this perspective – it was only a few weeks back that inflation was dangerously high and interest rates much higher! How could any sane investment analyst have supported the theory of spectacular Sensex growth then?” defends Amit Saxena, CEO, Planman Financial, to 4Ps B&E.. Truly, macro-economic factors are more conducive today than before. And with inflation and PLRs seemingly down, the day is not far when the Sensex thunders further ahead. And then? Let’s just shoot the analysts, shall we .

Edit Bureau: Sunanda Roy

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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Wa’gon R my troubles

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The Wagon R is a small car, but trustworthy!

My Wagon R gives me the freedom of mobility, convenience and power. I think I’ve had some of my most creative ideas whilst I’ve been in my car – the smoothness, consistency of performance, adaptability – all help in removing stress and tension. The car allows my mind to relish and enjoy the ride. Music is the way I love to unwind after a long day and my rides to and from my workplace are really the time I get to be by myself. Since I work in the heart of the town and live almost 20 kms away, the commuting time is almost an hour each way. Most of these days, 2 hours are used to plan, to schedule and also to catch up with myself. For six days of the week, my car and me are on a journey – sometimes of bonding, sometimes of discovery.

My car has also been an inevitable companion for fun times with friends, relatives & colleagues. These are special moments which are memorable. My trips out of town by road, whether on work or on holiday – to Jaipur, Chandigarh, Dehradun or to the hills are all journeys made possible due to the hassle free assurance of my car. In fact, one incident comes to mind. I had gone to Jaipur on a shoot. The crew was following me in a larger, fancier car but midway they had a break-down which took a while to get sorted out. Thankfully, my car gave me no trouble because of its easy maintenance. For me, it has been a three-year long trustworthy love affair between my Wagon R and I.

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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