Vikas Spool Private Limited

Abstract

Subject area

Strategic management.

Study level/applicability

Undergraduate, MBA, executive MBA.

Case overview

The decision analysis case in the context of family-managed mid-market business of Vikas Spool Private Limited focuses on the efforts and challenges of a market leader in sustaining growth in a B2B industry, which has a derived demand. The case charts way to the historical foundation of India's largest spool manufacturer and captures the dilemma in comprehending the growth model in an industry stricken by low barriers to entry/exit, high bargaining power of customers and suppliers, high substitutes and intense global competition. The organization has to decide whether it needs to enter the rigid non-bottle household plastic packaging industry or not to achieve the targeted growth of INR 1 billion by 2015?

Expected learning outcomes

The case analysis aims to make students learn: the challenges in sustaining growth in a labor-intensive industry marked by low barriers to entry, low profit margins because of intensive competition, low economies of scale and no clear brand differentiation; how to negotiate a choice between intra industry participation; how a firm locked in an industry environment characterized by commoditization and intense competition should plot its growth path to retain market position; how to evaluate growth options based on financial implications and analysis.

Supplementary materials

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

Citation

Kainth, J., Verma, H. and Kainth, G. (2013), "Vikas Spool Private Limited", , Vol. 3 No. 8. https://doi.org/10.1108/EEMCS-02-2013-0015