Vakrangee: changing lives in rural India
Publication date: 18 October 2022
Abstract
Learning outcomes
The learning outcomes are as follows: to design an appropriate strategy for firms to succeed in low-income, price-sensitive markets; to appreciate how business model innovation can help to overcome the obstacles faced by firms when serving rural and semi-urban markets in an emerging economy; to identify possible threats to the business model and evaluate strategies to sustain growth in a dynamic environment; and to allow students to consider sources for competitive advantage and how to build a sustainable business model in low-income markets.
Case overview/synopsis
The case details the growth story of Vakrangee Limited (Vakrangee) from a technology consultancy firm to a technology-driven firm focused on creating the largest last-mile retail network providing various services in underserved parts of India, mainly rural India. The firm launched retail outlets called Vakrangee Kendras (VKs) in 2011 that evolved from non-exclusive stores offering a single line of e-governance services into technology-enabled franchisee-based exclusive stores that offered a multiple line of services such as banking, finance, insurance, ATM, e-commerce and logistics. VK however is witnessing competition from different players in different segments. Additionally, the dynamic business environment such as the growing penetration of smartphones and internet usage, heterogeneous needs of customers and government policies pose further threat to the company’s growth in the future. In the wake of these challenges, what should Vakrangee do to sustain its growth? Should it focus on cost-leadership or differentiation for strategic positioning?
Complexity academic level
This case can be used in an MBA or an executive management program, in courses on strategic management, entrepreneurship, services marketing and rural marketing.
Supplementary materials
Teaching notes are available for educators only.
Subject code
CSS 3: Entrepreneurship.
Keywords
Acknowledgements
Disclaimer. This case is written solely for educational purposes and is not intended to represent successful or unsuccessful managerial decision-making. The authors may have disguised names; financial and other recognisable information to protect confidentiality.
Citation
Mehta, R. and Mathur, M. (2022), "Vakrangee: changing lives in rural India", , Vol. 12 No. 4. https://doi.org/10.1108/EEMCS-11-2021-0376
Publisher
:Emerald Publishing Limited
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