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Marketing Analysis of
GITS-FOOD PRODUCTS PVT. LTD.
GSN 408 Marketing Management 1
The Team
Ali Tejani # 03119386
Christopher Pangestu # 04255682
Thanapong Sirirat Usdorn # 03122204
Lecturer: Associate Professor Susan Dann
Submission Date: Wednesday 19th Dec 2001
Word Count: 3054
Queensland University of Technology – MBA
Table of Content
1. Company Overview 1
2. Environment Scan 2
2.1. Micro Environment
2.2. Macro Environment
2.3. Environmental Scanner
3. Market Segmentation 4
4. Market Positioning Strategy 7
4.1. Preparing the Positioning Strategy
4.2. Gits-Food instant product position to several variables
5. Market Research. 9
5.1. Monitoring for Marketing Problem
5.2. Design methodology
6. Customer Buying Trends 11
6.1. Key Aspects of customer buying behaviour (Customer Trends)
6.2. Factors influencing customer-buying behaviour
7. References 14
1. Company Overview
Started as a small family enterprise by H.Z. Gilani and A.K.Tejani in 1963 Gits-Food
Corporation produces and supplies ethnic Indian cuisine for the world. The products
include assortments of popular ready to cook instant food. Gits-Food*ƒ*…½*ƒ‚¦s mission
is being *ƒ*…½*ƒ‚§committed towards providing ever-increasing levels of customer
satisfaction, by offering the highest quality in its products and services*ƒ*…½*ƒ (2001,
http://www.gitsfood.com). This mission originated when partners H.Z. Gilani and A.K.
Tejani created Gits-Food Corporation in India. Presently, Gits-Food thrives on its ability to
produce cost effective foods for the world. Gits-Food*ƒ*…½*ƒ‚¦ corporate office at
Bombay oversees its food production plant in Pune. Gits-Food is a growing company with
an approximate annual turnover of $20 million AUD. The approximate retail value for a
typical Gits food product is between $0.52 AUD to $2.72 AUD.
There are approximately 300 employees working for Gits-Food. Of these employees 25 of
them are managers, 100 of them are plant workers and the rest are employed in
management and office sectors. This workforce is responsible for overseeing the
plant*ƒ*…½*ƒ‚¦s production of 400 tons of Indian cuisine mix per year. (2001, e-mail DT:
9.12.01)
Gits-Food promotes its products both nationally and internationally. It has a strong product
distribution network presently, which consist of depots and C & F agents in the major
Indian states. There are 600 distributors located across India and a strong sales force
providing the cutting edge in marketing. Gits-Food has developed a strong export market
in the Middle East, U.K, USA, Europe, Canada and Australia.
Gits-Food has been successful in focusing on the Asian community living abroad and is
currently broadening its target group to include non-Asians as well. Gits-Food is
continuously putting in efforts to strengthen their marketing distribution network.
Consumer satisfaction remains Gits-Food*ƒ*…½*ƒ‚¦s hallmark as it ventures to new
destinations ahead. (2001, http://www.Gits-Food.com)
2. Environmental scan
General Environment
The country of India is an ever-changing dynamic environment .The political system and
the economy in India is unreliable. *ƒ*…½*ƒ‚§These changes have an affect on the
marketing management*ƒ*…½*ƒ‚¦s ability to create and sustain the right type of
marketing mix.*ƒ*…½*ƒ (J R McCOLL-Kennedy & G C Kiel 2000,p54)
2.1. Micro Environment
Competitors
Weikfield group acts as a competitor at the national level .At the regional stage in southern
India, it faces competition from M.T.R and M.K organizations. Local players in
unorganized business sectors add an increased amount of competition for Gits-Food.
Customers
Agents appointed all over India act as representatives of the company and stock
Gits-Food*ƒ*…½*ƒ‚¦s products. These agents cater to about 450 to 500 distributors spread
throughout 14 states of India. (2001, http://www.gitsfood.com)
Gits also has appointed importers of ethnic foods worldwide.
Suppliers
Gits-Food has formed relationships with agro based suppliers and packaging materials
suppliers to enable them to acquire there raw materials regularly.
2.2. Macro Environment
Technology
*ƒ*…½*ƒ‚§Gits-Food primary concern is quality, Gits-Food commitment that necessitates
consistent investment in Technology and modern equipment. Gits-Food products are
manufactured by automatic machines in strictly hygienic conditions at plants in Pune and
Nasik*ƒ*…½*ƒ. (2001, http://www.gitsfood.com)
Legal and Political
Legal and Political system in India being unreliable affect the marketing decisions of
Gits-Food. There are many government requirements that have to be met, which influence
the pricing, distribution and advertising.
Economic
The economy in India being under recession, the total income and purchasing power of the
consumers reduces due to which the volume of sales decline, the company has to cut
budgets in all the departments including the marketing department. This is one of the
major difficulties that Gits-Food faces. As a part of they*ƒ*…½*ƒ‚¦re on going efforts they
are continuously trying to solve these problems.
Physical
Gits-Food is also very much committed in protecting the environment. They recycle all
their wastes and re-use them. All of their raw materials and supplies, such as packing
materials etc are collected and recycled for further use.
2.3. Environmental scanner
Gits-Food has employed environmental scanners who identify opportunities and predict
likely trends and changes in the microenvironment. This helps the company to develop a
plan to over come negative trends and also use positive trends to benefit the company.
If Gits-Food can pin point that there could be a possibility that exports could decline in the
future and that this trend could persist for while, the company can develop a plan to cope
with the negative trend by modifying or changing there export policies. And the company
can also identify certain emerging opportunities in the environment and modify their
existing products and introduce a new marketing plan.
3. Market Segmentation
Since Gits-Food is the instant food that particularly made for those who do not want to
spend too much time in preparing and cooking food, therefore the generic variable that
would be analysed are demographic, psycho-graphic and behaviouristic variables (Kotler,
Armstrong et al,2002). These three specific variables give the influences to the
Gits-Food*ƒ*…½*ƒ‚¦s product directly or indirectly.
Gits-Food focuses on:
Demographic family size, single or working couple with or with out children, moderate or
high income, white or blue collars, and particularly for Indian ethnic locally and
internationally.
Psychographic active individual, *ƒ*…½*ƒ’easy going*ƒ*…½*ƒ‚¦ and work-oriented
