Imperial Tobacco Company Of India Limited Marketing Essay

ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company of India Limited.As the company ‘s ownership increasingly indianised, the name of the company was changed from Imperial Tobacco Company of India Limited to Indian baccy company limited in 1970 and so to ITC limited in 1974.In acknowledgment of the company ‘s multi-business portfolio embracing a broad scope of business-fast traveling consumer goods consisting nutrients, personal attention, coffin nails and cigars, branded dress, instruction and stationary merchandise, incense sticks and safety lucifers, hotels, poster boards & A ; forte paper, packaging, agri-business and information technology-the full halt in the company ‘s name were removed effectual September 18,2001. The Company now stands rechristened “ ITC LIMITED. ”

The company ‘s beginnings were low. A chartered office on Radha bazaar lane, Kolkata, was the centre of the company ‘s existence.The company celebrates its sixteenth birthday on grand 24,1926 by buying the secret plan of land situated at 37, chowringhee, Kolkata, for the amount of Rs 310,000. this determination of the company is historic in more ways than one. It was to tag the beginning of the long and eventful journey into India ‘s hereafter.the company ‘s headquarter edifice, ” Virginia house ” , which came up on that secret plan of land two twelvemonth subsequently, would travel on to go one of the Kolkata ‘s most venerated landmark.

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Thought the first six decennaries of the company ‘s being were chiefly devoted to the growing and consolidation of the coffin nails and leaf baccy concern, the 1970ss witnessed the beginnings of a corporate transmutation that would show in momentous alterations in the life of the company.

ITC ‘s Packaging & A ; publishing concern was set up in 1925 as a strategic backward integrating for ITC Cigarettes is today india ‘s most sophisticated packaging house.

In 1957, the company launched its hotels concern with the acquisition of a hotel in Chennai which was rechristened “ ITC-Welcomegroup hotel chola ” . The aim of ITC ‘s entry into the hotels concern was rooted in construct of making value for the state.ITC chose the hotels concern for its possible to gain high degree of foreign exchange, make touristry substructure and bring forth big graduated table direct and indirect employment. Since ITC hotel concern has grown to busy a place of leading, with over 100 onwards and managed belongingss spread across India under four trade names viz. , ITC hotels -luxury aggregation, welcome hotels, fortune hotels and welcomeheritage.

Inch 1979, ITC entered the poster board concern by advancing ITC bhadrachalam poster boards limited. Bhadrachalam poster board amalgamated with company effectual March 13,2002 and go a division of the company bhadrachalam poster boards division.In November 2002, this division mergaed with the company Tribeni tissues division to organize the poster board & A ; forte paper division.ITC poster board engineering, productiveness, quality and fabrication procedures are comparable to the best in the universe. It has besides made an huge part to the development of sarapaka, an economically backward country in the province of Andhra Pradesh. It is straight involved in instruction, environmental protection and community development. In2004, ITC acquired the paper fabricating installation of BILT Industry boxing Co. Ltd ( BIPCO ) , near Coimbatore, Tamil Nadu. The Kovai unit allows ITC to better client services with cut down lead clip and a wider merchandise scope.

In 1985, ITC set up SURYA TOBACCO COMPANY in Nepal as indo-nepal and British joint venture.In August 2002, surya tobacco become subordinate of ITC limited and its name changed to SURYA NEPAL PRIVATE LIMITED.In 2004, the company diversified into fabrication and export in garments.

In 1990, ITC acquired Triben Tissues Limited, sspeciality fabrication company and a major provider of tissue paper to the coffin nail industry, The merged entity was named the Tribani Tissues Division ( TTD ) . To tackle strategic and operational synergisms, TTD was merged with the Bhadrachalam poster boards division to organize the poster boards & A ; forte paper division in november2002.

Besides in 1990, leveraging its agri-sourcing competence, ITC set up the Agri concern division for export of agri -commodities. The division is today one of India ‘s largest exporter.ITC ‘s alone and no widely acknowledged vitamin E -choupal enterprise began in 2000 with soya husbandmans in Madhya Pradesh. Now it extends to 10 provinces covering over 4 million husbandmans, Besides, through the “ choupal pradarshan khet ” enterprise, the agri services vertical has been concentrating on bettering productiveness of harvest while intensifying relationship with the farming community.

ITC launched line of premium scope of note books under trade name paperkraft in 2002. To augment its offering and to make broad pupil population, the schoolmate scope of notebook was launched in 2003.classmate over the twelvemonth has grown to go India ‘s largest notebook trade name and has besides increased its portfolio to busy a greater portion of the school bag. Years 2007-2009 saw the launch of practical books, pulling books geometry boxes, pen and pencils under the schoolmate trade name. In 2008 ITC positioned the concern as instruction and stationery merchandise concern and launched India ‘s first environment friendly premium concern paper nuder the paperkraft brnd, paperkraft offer a diverse portfolio in the premium executive stationary and office consumable section.In 2010, colour crew was launched as a new trade name of art stationary.

ITC besides entered the lifestyle retailing concern with the volitions sport scope of international quality relaxed wear for work forces and adult females in 2000.the volitions lifestyle concatenation of sole shops subsequently expanded its scope to include volitions authoritative formal wear and volitions club life eventide wear. ITC besides iniciated a raid into the popular section with its work forces wear trade name, toilet participants, in 2002. In 2006, wills lifestyle became the rubric spouse of the state ‘s most prime manner event – wills life manner india manner hebdomad -that has gained acknowledgment from purchaser and retail merchants as the largest B-2-B platform for the manner design industry. to tag the juncture, ITC launched a particular volitions signature ; taking the event frontward to consumers.

In 2000, ITC spun off its information engineering concern into a entirely owned subordinate, ITC Infotech India limited, to more sharply prosecute emerging chances in this country. Today ITC infotech is one of India ‘s fastest turning planetary IT and IT – enable services companies and has established itself as a cardinal participant in offshore outsourcing, supplying outsourced IT solution and services to taking planetary client across cardinal focal point verticals-banking fiscal services & A ; insurance, consumer packaged goods, retail, fabrication, technology services, media and amusement, travel, cordial reception, life scientific discipline and transit & A ; logistics.

ITC raid into the nutrient concern is an outstanding illustration of successfully intermixing multiple internal competencies to make a new driver of concern growing. It began in grand 2001 with the debut of kitchen of india ready to eat Indian epicure dishes. In 2002.ITC entered the confectionery and staples sections with the launch of the trade names minto and candyman confectionery and ashirvaadatta. 2003 witnessed the debut of sunfeast as the company entered the biscuit segment.ITC entered the fast growth branded snaks class with lotto! ! In 2007. In 2010 ITC launched sunfeast yippee! To come in the Indian blink of an eye noodle market. in merely over a decennary, the nutrients concern has grown to a important size under seven typical trade names, with an enviable distribution range, a quickly turning market portion and solid market standing.

Image picturing ITC ‘s e-Choupal enterprise

The Large Picture:

ITC agri concern division, one of India largest exporter of agricultural trade goods, hour angle conceived e-chopal as a more efficient supply concatenation aimed at presenting value to its clients around the universe on a sutainable footing.

The e-choupal theoretical account hour angle been specifically designed to undertake the challenges posed by the alone characteristic of Indian agribusiness, characterized by disconnected farms, weak substructure and the engagement of legion mediators Visual Representation of The Value Chain – Farm to Factory Gate, among others.

The Value Chain – Farm To Factory Gate

e- choupal besides unshackles the potency of Indian husbandman who has been trapped in barbarous rhythm of low hazard taking ability & gt ; low investing & gt ; low productiveness & gt ; weak market orientation & gt ; low value add-on & gt ; low border & gt ; low hazard taking ability. This made him and Indian agriculture sector globally uncompetitive, despite rich & A ; abundant natural resources.

such market -led concern theoretical account can heighten the fight of Indian agribusiness and trigger virtuous rhythm of higher productiveness, higher income, enlarged capacity for husbandman hazard direction, larger investing and higher productiveness and higher quality.

Further, a growing in rural income will besides unleash the latent demand of industrial goods so necessary for the continued growing of Indian economic system. This will make another virtuous circle impeling the economic system into a higher growing flight.


Appreciating the jussive mood of mediators in the Indian context “ e-choupal ” leverages information engineering to virtually constellate all the value concatenation participants, presenting the same benefits as perpendicular integrating does in mature agricultural economic systems like the USA.

“ e-choupal ” makes usage of the physical transmittal capablenesss of current mediators – collection, logistics, counter – party hazard and span funding – while disintermediating them from concatenation of information flow and market signals.

image of Sanchalak: an E-choupal Enterprise

With a wise blend of chink & A ; mortar capablenesss, small town cyberspace booths managed by husbandmans -called sanchalaks – themselves, enable the agribusiness community entree ready information in their local linguistic communication on the conditions and market monetary values, disseminate cognition on scientific farm patterns & A ; hazard direction, installation the sale of husbandman inputs ( now with embedded cognition ) and purchase farm green goods from the framers doorsteps ( determination devising is now information based )

Real-time information and customized cognition provided by e- choupal enhanced the ability of framer to take determination and aline their farm end product with market demand and unafraid quality & A ; productiveness. The collection of the demand for farm input from single husbandmans gives them entree to high quality input from set up and reputed industries at just monetary value.As a direct selling channel, virtually linked to a mandi system for monetary value find, e-choupal eliminates uneconomical intermediation and multiple handling.Thereby it significantly reduces dealing costs.

“ e-choupal ” guarantee universe call quality in presenting all these goods & A ; services through several product/ service specific partnership with leaders in several Fieldss, in add-on ITC ain expertness.

While the husbandman benefits through farm productiveness and higher farm gate monetary values, ITC benefits from the lower net cost of procurance ( despite offering better monetary value to the husbandmans ) holding eliminated costs in the supply concatenation that do non add value.

image of E-choupal Site

Launched in June 200, “ e- choupal ” has already become the larger inaugural among all cyberspace -basesed intercessions in rural India. e-chopal service today reach out to over 4 million husbandmans turning a scope of harvests – soyabeans, java, wheat, monetary value, pulsation, shrimp-in over 40,000 small towns through 6500 booths across 10 province ( Madhya Pradesh, Haryana, uttarakhand, Karnataka, Andhra Pradesh, Uttar Pradesh, Rajasthan, Maharashtra, Kerela and Tamil Nadu ) .

The jobs encounter while puting up and pull offing these vitamin E -choupal are chiefly of substructure insufficiencies, including power supply, telecom connectivity and bandwidth, apart from the challenges of leaving accomplishments to the first clip cyberspace users in remote and unaccessible countries of rural India.

image of Advanced Solutions for E-choupal

image of Mobile Choupals

Several alternate and advanced solution – some of them expansive -are being deployed yo overcome these challenges

e.g power back-up through batteries charged by solar panel, upgrade BSNL exchanges with RNS kits, installing of VSAT equipment, nomadic choupals local caching of inactive content on web site to steam in the dynamic content more expeditiously,24×7 help desk etc.

traveling frontward the route map includes programs to incorporate bulk storage, managing & A ; transit installations to better logistics efficiencies.

As India ‘s kissan company, ITC has taken attention to affect husbandman in the designing and direction of the full e-choupal enterprise.The active engagement of husbandman in this rural enterprise has created a sense of ownership in the undertaking among the husbandmans. They see the e- choupal as the new age co-op for all practical intents.

This enthusiastic response from husbandman has encouraged ITC to be after for the extension of the e-choupal enterprise to wholly 15 provinces across India over the following few old ages. On the anvil are programs to steer other services related to micro – recognition, wellness and instruction through the same vitamin E choupal substructure.

Another way -breaking inaugural – the e- choupal pradarshan khet, conveying the benefits of agricultural best pattern to little and fringy husbandmans, backed by intensive research and cognition, this inaugural provides Agri extension services which are qualitatively superior and involved pro active handholding of husbandman to guarantee productiveness of grains. The service are customized to run into the local status, guarantee timely handiness of farm input including recognition and supply a bunch of farmer school for capturing autochthonal knowledge.This enterprise, which has covered over 70,000 hectares has a multiplier impact and make out to over 1.6 million husbandman.


Visualizing a larger society intent has ever been a trademark of ITC. The company sees no struggle between the duplicate ends of stockholder value sweetening and social value creative activity. the challenges lies in forging a corporate scheme that enables realisation of these ends in a reciprocally reinforcing and interactive mode.As a corporate citizen with digesting relationship in rural India, ITC has a history of coaction with communities and authorities establishment to heighten farm productiveness and the rural resources base. ITC committedness in agribusiness R & A ; D and cognition sharing have spanned critical facets of fight efficient farm patterns, dirt and H2O direction. In 2000, tackling the authorising forces of information engineering and scalability, ITC launched e-choupal a cognition portal supplying husbandman with a scope of information and services.designed to enable them to dicker jointly and enhanced their trasactive power, e -choupal became the much needed and easy adoptable tool husbandmans had been waiting for.Today e-choupal is a vibrant and quickly turning zone of concern and interaction for over 4 million husbandmans.ITC moved quickly to use the economic impulse of e-choupal to work out pressing societal and environmental undertakings. ITC launched mission sunehra kal, a rural capacity constructing programne calculating local enterprise to develop H2O and forest resources, open up new non -new farm support empower adult females economically and spread out primary instruction. the mission now embraces a community of 1000s of small town that are influential karyon of alteration in rural vicinities spread over 11 provinces.A clearly focused ego aid motion has gained land in small town after small town in these countries, with husbandmans collaborating to make much needed economic environment and societal assets out of there ain resources, by associating cognition and engineering transportation to the creative activity of economic and societal capacity, ITC has brought a new dynamic to rural development ITC has consciously chosen the way less travelled. A way that has led it to make sustainable supports for 5 million people, For ITC this is an look of a committedness beyond the market.OF a strong belief that state must come before corporation.Of a true pride in being citizen first.ITC has continued to construct new substructure by supplementing the farm gate presence of e-choupal with new physical substructure rural selling hubs called CHOUPAL SAAGAR, positioned within tractorable distance of 30 e – choupal centres and their user communities

ITC is mission is to construct community based capacity to take these inauspicious conditions and make the footing for renewed agricultural prosperity:

Aid husbandmans to accomplish higher farm producyivity

Enables communities to develop and pull off H2O, dirt and forest resources for longtrem ecological security.

Empower rural work forces and adult females by making new non- farm lively hood facilitate development of substructure for primary instruction, healh and sanitation.ITC enables farmer to implement solution that are sustainable because they are

Mutually reinforced

Based on cognition transportation and concerted application of engineering

Dependant on mobilisation and optimisation of local resources.The bringing theoretical account mobilisation a four -way partnership between small town community and NGO ‘s, the authorities and ITC, conveying to every enterprise the best relevant direction and proficient expertness.

TC has besides worked with province authorities in open uping public -private partnership.In Andhra Pradesh,3.596 hectare of waste land have been developed so far through a coaction with province authorities is the rural poorness decrease undertaking, Indira Kranthi Padham and its Comprehensive land development programne.ITC has besides signed a land grade understanding with authorities of Rajasthan to convey 5000 hectares under dirt and wet preservation in the drouth -prone BHILWARA territory.

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