Swot Analysis

STRENGTH: Largest milk producer in the world A huge base of around 11 million farmers Traditional emphasis on consumption Amul has a strong growth as its turnover for previous year increased by almost 18% and growth revenue by 67% making it the world thirteenth largest dairy organization 258 With Amul’s products being popular and being in the market for a while now, it has developed its brand name and their customers are very loyal to the company. . Although Amul’s distribution network is wide and dispersed, it has managed to maintain its quality throughout the world. The credit also goes to the fact that Amul has a very strong supply chain. Their diverse and wide ranges of products are also one of its strengths. . The global mascot (Amul girl) used in their advertising is their icon throughout the world. 1. Corporate Image. 2. Diversified product line. 3. Dedicated work force. 4. Totally integrated operation. 5. Good for sightedness and long term vision. 6. Low capital cost 7. Brand Power. 8. High quality product. 9. Customer as well as customer support.

 WEAKNESS: 1.Supply is not regular. 2. Distribution of Amul pouch milk is not proper in some of areas 3. Co-ordination of company or retailer is not proper . 4.―Weak management support and less effective customer care‖ said some retailers. 5. With too many international brands in competition with Amul, it now finds difficult to control its cost of operations. And thus is facing huge competition especially in international markets. 6. Amul introduced its chocolate a while back but it has not been able to gain the acceptance that it was aiming for. 7. The shelf life for most dairy products is limited which makes the company vulnerable to losses . 8. Despite the distribution being strong, it is still not dispersed to rural areas. 5. Amul invests very low in terms of advertising. 

 OPPORTUNITIES: 1. With the liberalization new avenues of exploiting open market economy are being open up. 2. Being the oldest co-operative society use their brand name as already being leader in dairy products, the other competitors are very far behind AMUL. 3. New product from Amul i.e. Amul preferred outlet(APO) can be very successul in the market as we receive better response from Distributors as well retailers and consumers .4. Must take the advantage of priority given to the Dairy industries by the Govt. in terms of loan.

THREATS: 1. With the globalization and liberalization various global brands are started to peak in. 2. Competition from other Co-operative and local industries are present in the market. 3. The milk curdling problem allows the competitors to penetrate the market which is previously covered by the Amul. The milk from Softe plant is responsible for that as a retailer can not bear huge loss. Some serious problem found is of the late delivery of milk in area like R.K.Puram. Sometime distributor‘s attitude and rude behavior is responsible for decrease in sales