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The GAP Analysis Of Nestle And Amul

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Question:

How to examine and present the GAP analysis of Nestle and Amul? Explain.

 

Answer:

The main purpose of the report is to examine and present the GAP analysis of Nestle and Amul and then give recommendations on how can they improve the performance. Gap analysis is the comparison of actual performance with the potential or desired performance. The aim to conduct the gap analysis is to ensure that the company utilizes its resources fully for its benefit. It is a project management tool used to meet the objectives of the project. 

Gap Analysis of Nestle:

Criteria

As- Is

To- Be

Product Quality

 The product quality of Milkmaid as well as other products that are sold by the company is premium and  so the products are much more expensive than that of the local products in the market of India

 The company Nestle must be able to sell the products in the market of India and for this the prices must be set at par with the local products so that the company is able to capture a large market share

Level of familiarity

 The company Nestle is  not an Indian product the company is based in Switzerland  so many of the consumers in India are not familiar with the products

 The company Nestle must make the product familiar among the people of India as they are not much ready to accept a  new product in the market

Demand for the Product

 The demand for the product by Nestle is very less  as this is a  foreign product and people they are likely to avoid it treating it an product that is used by the upper class of the Indian society

 The company need to see that the product is a more familiar in the Indian household.

Nutrient potentiality of the product

There is a lack in the quality of the product that is produced by Nestle.

There is a need to enrich the quality of the product so that the taste and preferences is as per the Indian consumers.

Sales of the Product

 The sales in the developing countries are restricted. The share in the developed country is more than the undeveloped country

 The company want to cover the entire market in India so that it can increase the sales of the product in the country

 

 Recommendation for improving the gap of Nestle Company:

The company Nestle is a foreign company and so they need to market the product in the country India so that they are aware of the product like Milkmaid, which also has a close substitute that is sold by the rival company Amul. The company is taking up steps to make the brand aware to through some impressive guest content. A brand with a very attractive content will make a powerful impact on the customers and they would be able to get more benefits from the product (Kelly, 2011).  The company can use the Info graphics so that the brand is represented in terms of the bright and colourful displays. This will be helpful in making the product to be shared across a wider audience. This will be a great tool for brand building and for leading in the market (Jolibert, 2012).

Since the company is, a Switzerland based company and to make it familiar with the Indian audiences there is a need for the company to go for local partnerships. The company when partners with the local business can hold some seminars and festivals. When Nestle they try to sponsor the local projects or donates in charity then they can gather the trust of the people (Chernev, 2012).

This is an ideal way through which different age groups they are aware of the products. The company can put pictures or videos to provide a description of the newly launched product   (Drucker, 2012).

Recommendation for improving the gap of Amul:

The production amount by the company Amul is not sufficient to cater the demand there is a need for the company to upgrade the technology standards, making changes in the system of the management and many more (Haugen, Reed, & Gotzhein, 2013). The issues that is related to the quality of the product can be also resolved through the when there is use of good quality resources for the product. There is a need for a quality assessment stage before the product is taken into consideration in the market. The quality can be improved if there is dedication and commitment towards their goals and the objectives (Kim, 2012). When there is tracking of the quality, there is a need for the company Amul to define properly the quality. The process of manufacturing should involve the statistical quality control (Chemuturi, 2011). The way to get the measurement of the satisfaction of the customers is through the net promoter score. The department of quality control will be able carry out a quality movement when there are trained experts who would be to towards improvement of the quality and ameliorate problems. Training would be taking into account multiple dimensions. The new employees they need to be trained for focusing on the quality (Hooley, Piercy, & Nicoulaud, 2012). Whether the duties training provided to employees or whether the management takes into account personally is very important for the workers to realise the history of the company through the lens of the quality. The workers should be able to understand the difficulties that the company has faced in the past and the way the problem was corrected through maintaining of the product quality.  There is a need for the company Amul to market its product in India as well as abroad. The marketing expenditure is very poor by the company this needs to be boosted so that the products are available in every corner of the country India (Peñaloza, Toulouse, & Visconti, 2012).

 

Conclusion

Since Amul is, a cooperative-society so expansion becomes quite costly so there is a need for the government for providing sufficient amount of subsidies. When the company offers some free things with the product then they are always in demand.  Nestle would also be using the similar strategy so that they are able to target different segments of the market. The best way through which the company can market the product in a much wider range to the audiences is through the social media.

 

References:

Chemuturi, M. (2011). Mastering software quality assurance. Fort Lauderdale, Fla.: J. Ross Pub.

Chernev, A. (2012). Strategic marketing management. [Chicago, Ill.]: Cerebellum Press.

Drucker, P. (2012). Technology, Management and Society. Hoboken: Taylor and Francis.

Haugen, Ø., Reed, R., & Gotzhein, R. (2013). System analysis and modeling. Berlin: Springer.

Hooley, G., Piercy, N., & Nicoulaud, B. (2012). Marketing strategy & competitive positioning. Harlow, England: Pearson Financial Times/Prentice Hall.

Jolibert, A. (2012). Marketing management. Houndmills, Basingstoke, Hampshire: Palgrave Macmillan.

Kelly, D. (2007). Applying quality management in healthcare. Chicago, Ill.: Health Administration Press.

Kim, H. (2012). Advances in technology and management. Berlin: Springer.

Kotler, P. & Keller, K. (2012). Marketing management. Upper Saddle River, N.J.: Prentice Hall.

Peñaloza, L., Toulouse, N., & Visconti, L. (2012). Marketing management. Abingdon, Oxon: Routledge.

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