Sales and Distribution: By: Karan Jariwala Malav Nanavati Jal Lakkad Shubham Garodia Raghav Rathi Archi Talera
Sales and Distribution: By: Karan Jariwala Malav Nanavati Jal Lakkad Shubham Garodia Raghav Rathi Archi Talera
MODULE LEADER
Malav Nanavati
Jal Lakkad
Shubham Garodia
Raghav Rathi
Archi Talera
INDEX
2 Introduction to retown
3 Rationale of entry
5 Challenges
9 Barriers
13 Supplier selection
14 Future plans
15 Conclusion
16 Reference
INTRODUCTION TO ENGLISH LANGUAGE TRAINING
As any other Indian language, English is being taught in various schools
and colleges for many decades now. It is being positioned as an official
language. It is used widely as a link language in offices, by government and
for job applications. Without exception every secondary school child has to
learn English as a subject, usually for six years but in some cases for three
years only. English language is now linked with the usage of technology.
Somewhere 30% of Indians are able to speak English- though only one-
third has some semblance of reading and writing aptitude. About 577-630
million, are still not able to cope up with the trending language. The two
major end consumers of language learning are: institutional centres and
individual consumers. The leading players in the language training market
in India:
- Inlingua- Founded in 1968, it has its centres in Delhi and students over
100k.
Wall Street English has established over 400 centers in 28 different countries that offers a
customized curriculum rather than standard courses. The company rebranded itself in 2013
from Wall Street Institute to Wall Street English. In the period of ownership change, the
management model and operation process of WSE remained the same. There will be no change
in imparting language on students study, as always they continued to be committed to offering
the best study experience and ensured superior learning outcomes for all students.
They tailor everything according to their needs to ensure them they reach their goal of
learning English for business, career, travel or fun! The levels are built around the Global Scale
of English (GSE) with over 20 levels of English. It is flexible so they can study online anytime,
anywhere. The dashboard indicates the progress level of each student.
Pearson bought Wall Street English business from private equity group Carlyle for a total of
approximately $240m between 2009 and 2010, for first, acquiring the operations in China before
buying the global business. Pearson then offloaded its English-language teaching unit Wall
Street English to a group of funds linked to Baring Private Equity Asia and CITIC Capital. The
deal snagged around $300m for Pearson, which helped the owner to cut debt by approximately
$100m.
.
RATIONALE OF ENTRY
Wall Street English chose Indian market with the help of Jade Consultancy firm for the
upcoming reasons:
1. Wanted to target big market: India being a subcontinent is seen a big market. With a
large population we can view high demands and opportunities to grow. At the same
time India is seen as a fast developing country. India has already marked its presence
as one of the increasing English speakers in the world. English has opened the doors to
great job mobility in the past decade and much economic success. In a country of so
many varied languages, English is the only linguistic commonality.
4. Rise in student immigration: During the past decade, students in APAC (Asia-Pacific)
have begun to explore foreign universities for higher education. Some of the popular
destinations for post-secondary education are the US, the UK, Germany, Australia,
Canada, France, Japan, and Spain. This mandates Indian students to have an advanced
level of understanding of the English language and a basic level of understanding of the
countries native languages. As part of the selection process for many foreign
universities, students need to score well in exams like IELTS, TOEFL, GMAT, and
GRE. This, in turn, has led to take up language learning courses. Hence, the sustained
growth of student immigration to foreign universities will drive the language learning
market in India.
PORTERS FIVE FORCES MODEL
1. Bargaining power of buyers: High
The bargaining power of customers is high to medium because there are two methods used-
linking with institutions and directly aiming at individuals.
2. Bargaining power of suppliers: Low
There is a global strategy for production. Under Armour products are produced by 27
manufacturers across 14 countries. Due to the fast growing pace of Under Armour brand,
suppliers intend to share more interest and raise the cost of labour.
3. Threat of New Entrant: Medium
The whole industry structure has already been established. Other companies also wish to enter
athletic performance apparels market.
4Threat of substitute products: Medium
Athletic performance apparels are Under Armours competitive advantage in the market. Under
Armour is best in this field. But for other categories, Under Armour has limited advantage over
its competitors.
5. Intensity of Competitive Rivarly: High
Due to Under Armours fast growth rate Nike and Adidas have regarded it as their biggest
competitor. Under Armours brand recognition and brand loyalty is limited outside the United
States.
Under Armours performance outside the United States still cannot compare to Nike and Adidas
.Beside these companies are already trying to stop Under Armours global development.
5.
There are a few players in India; some of them have large domestic presence, few UK
players are in a Joint venture arrangement in India, and the rest of the players have a
strong regional presence. Segments of focus principally range from spoken, reading,
writing, listening, grammar, pronunciation and vocabulary. There is a broad consensus
that beyond the typically K12 segment, increasing the potential of employability is the
key driving factor to undertake English language training. However, the industry is very
un-organised in terms of the curriculum offered along with divergence in the adoption of
certification mechanisms both for teacher qualification and students. Most of the major
players that iValue spoke to are focused on the Business to Consumer ( B2C) segment,
about 50% have a focus on both B2C and Business to Business (B2B) and about 7
players also focused on the B2G segments.
The platform providers are playing the role of content providers and curators.
STRATEGIES TO ENTER IN INDIAN MARKET
- Designing a channel and the factors to be considered:
- Pro
Means that the producer relies on a few intermediaries to carry their product. [5] This strategy is commonly observed for
more specialised goods that are carried through specialist dealers, for example, brands of craft tools, or large appliances.