Business StrategyTU Board 2024
Read the following case carefully and answer the questions: Unilever Nepal (UNL) was established thirty years back with an initial investment of Rs 70.37 million. Its strong market position is…
5Read the following case carefully and answer the questions: Unilever Nepal (UNL) was established thirty years back with an initial investment of Rs 70.37 million. Its strong market position is reflected in the price of its shares among NEPSE-listed corporations. UNL has paid out the most dividends in recent years. In just its third year of business, the company turned a profit, and today commands an estimated 60% share of Nepal's FMCG market. It continues to hold the biggest market share in the industry because of its profitability and beneficial effects on the environment and society. From footpaste to dishwashing soap, the company offers a wide range of items in the personal care and home care sectors. The UNL product is widely accessible across the nation, including in small towns, big supermarkets, and convenience stores in major cities. All customer income brackets can afford the company's items, putting everyday necessities in tiny packages, like toothpaste, shampoo, detergent powder, and other supplies, to draw in customers from lower socioeconomic categories. UNL has decided to outsource to local producers the manufacturing of supplementary products such as detergent powder. UNL also conducts capacity-building initiatives for regional business owners, promoting homegrown production and a sustainable production ecosystem. It uses a network of business partners, including suppliers, processors, and wholesalers, to improve its rural reach through close collaboration with distributors, sub-stockists, and retailers. UNL makes certain that all grocery stores in the nation carry its products. UNL has been putting together several retailer- and consumer-focused initiatives. The consumer-centric initiatives seek to increase Nepali customers' knowledge of product quality and appropriate usage. According to the company, it has been helping customers form healthy habits and raising awareness of the need to specialize in all areas of personal hygiene. It has introduced trade loyalty schemes and provided distributors and retailers with training to achieve excellence in execution at the point of sale. Among others, trade loyalty efforts and the Shopper Delight program are examples of programs that aim to improve market reach and distributor performance. The CEO of the company highlights the company's dedication to developing a more innovative and nimble organization by utilizing its worldwide reach and emphasizing its local culture. UNL is an advocate of decentralized decision-making and hires people more often based on their growth potential than their level of specialty. The organization has a proven track record of employing recent graduates from business schools who received their training in rural regions and eventually matured into well-rounded professionals. The CEO states with pride that both recent college graduates and aspirant employees choose UNL as their employer. Indirectly, UNL supports 25,000 employees while directly employing 250 people. It is dedicated to providing top-notch customer service and giving Nepali customers access to high-quality products at reasonable prices. Questions: a. Based on the case, what can be best fit company vision, mission, and goal statements? b. Scan the business environment of UNL. c. Suggest corporate and business strategies that the company will implement during the next couple of years. d. If the company wish to change the strategy, what would be your suggestions? Justify your answer.
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