AMITY PARTICULARSPage no.1Introduction52PESTEL93PORTER’S FIVE FORCES MODEL ANALYSIS124BCG

AMITY COLLEGE OF COMMERCE AND FINANCECompany Report on “Flipkart”Faculty Guide – Ms. Divya PathakSubmitted in the partial fulfilment of the degree forBachelors (Hons.) in commerce.                                                                                                                      Submitted by:                                                                     Abhishek Singh                                                                  A3104616295                                                                  B.com (Hons)                                                               Semester-IV                                                             Section – ESerial no                              PARTICULARSPage no.1Introduction52PESTEL93PORTER’S FIVE FORCES MODEL ANALYSIS124BCG  MATRIX MODEL ANALYSIS145CONCLUSION176REFRENCES19 SYNOPSIS ON FLIPKART:Flipkart was founded by Sachin Bansal and Binny Bansal in 2007,  both were alumni of Indian Institute of Technology, Delhi.The first book that the company sold was John woods “Leaving Microsoft to change the world”.Flipkart is amongst top 20 websites which are being credited the India’s largest online bookseller.Flipkart focused on sale of books but later on it expanded to all other products also.In this report there is a detail analysis of the performance of flipkart.ACKNOWLEDGEMENT I need to thank many people who helped and supported me during this project.My deepest thanks to Mrs. Divya Pathak, the guide of the project for guiding and correcting my mistakes with attention and care.I express my thanks to the Director, Dr. Sujata Khandai for extending her support.I would also thank my institute (Amity College of Commerce And Finance) and faculty members without whom the project would have not been possible. I also extend my thanks to my family and my well-wishers.                                                                               Abhishek SinghIntroduction to the CompanyFlipkart is associate electronic commerce company headquartered in urban center, Karnataka. it had been supported in 2007 by Sachin Bansal and Binny Bansal. the corporate is registered in Singapore. Flipkart has launched its own product vary beneath the name “DigiFlip” with merchandise as well as tablets, USBs, and laptop computer baggage.According to Morgan Stanley the present value of Flipkart is $5.54 billion as of November 2016.HISTORYA quick consider any success story shows a path breaking plan at the center of the story. Flipkart isn’t any exception. it’s not the concept itself however the conviction to convert ideas into action and action into results is what defines a real success story. Measured by that yardstick, Flipkart has been a massively triple-crown. Sachin Bansal and Binny Bansal, UN agency were operating for Amazon.com had a plan to begin associate e-commerce company in Bharat. each of them square measure alumni of IIT, metropolis and square measure native of Chandigarh, India. They left their jobs in Amazon to begin their own business. One will simply decision that a risky move. in a very country wherever individuals have numerous tastes and preferences, associate ecommerce start-up can perpetually have monumental challenges. In India, individualsusually favor to look nose to nose and get merchandise they see and like. Today, because of Flipkart, e-commerce has become one in every of the quickest growing sectors in Bharat. How it startedFlipkart began merchandising books to start. It expanded and commenced providing a good form ofmerchandise. Innovating right from the beginning, Flipkart has been home to few of the hanging options of Indian e-commerce.Fundings historyIn the initial few years of its existence, Flipkart raised funds through capital funding, as the company grew in stature, additional funding arrived. Flipkart repaid the investors’ religion with terrific performances year once year. Within the year 2008-09, Flipkart had created sales to the tune of 40 million Indian rupees. This presently magnified to 200 million Indian rupees the subsequent year.On 10 August 2017, Softbank Vision Fund invested $2.5 Billion in Flipkart.EVOLUTIONBack at the time once Flipkart was launched, any e-commerce company visaged 2 major difficulties. One was the matter of on-line payment gateways. Not many of us most popular on-line payment and therefore the gateways weren’t straightforward to line up. Flipkart tackled this downside by introducing money on delivery and payment by card on delivery additionally to others. Flipkart was the first to implement the popular ‘Cash On Delivery’ facility, associate degreed every on-line looking web site in Bharat offers as an possibility nowadays.The second downside was the whole provide chain system. Delivering merchandise on time is one amongst the foremost vital issue that determines the success of associate ecommerce company. Flipkart addressed this issue by launching their own provide chain management system to deliver orders in a very timely fashion.Today because it stands, Sachin Bansal is that the Chairman of the corporate and Binny Bansal is that the business executive of Flipkart.ACQUISITIONSFlipkart conjointly nonheritable few corporations like Myntra.com, LetsBuy.com etc., to raised their presence within the market. With the entry of Amazon.com in Asian country, the competition between the businesses has seen several takeovers. Flipkart’s journey from a little book e-retailer to India’s largest e-commerce platform conjures up a generation of start-ups. During a country wherever stereotypes area unit common, Flipkart managed to interrupt the norm and alter the ecommerce trade in Asian country for ever. Flipkart’s story proves that if you’ve got a good plan, and you’re a somebody and not a thinker, success isn’t faraway.PESTEL ANALYSIS OF FLIPKARTPolitical factors: Flipkart is underneath plenty of highlight by rules and regulation authority once it announces billion sales day, alternative tretail sellers registered discontent over this action as they believed it’d destroy the marketplace for them. Then there was web neutrality issue within which flipkart pink-slipped the acquisition of airtel zero spoken language that it would go against Infobahn neutrality as this telecommunication supplier supports free web app access to all or any, free web access defies web neutrality as a result of can|it’ll} permit ISP’s to charge websites like youtube as a result of they use bigger information measure though this could permit users to use apps freely however those apps would be restricted as no one will register to the present free app coupon.Economic Factors:Economically viable business of flipkart runs into troublesome after they offered massive discount on the billion sale day. The sellers listings were far from web site by the corporate as a result of it had been unable to satisfy their orders and additionally the corporate was unable to expeditiously manage supplying that is inflicting drawback to each consumers and sellers. Last year the corporate baby-faced another issues once amidst sale their web site crashed and then several product went out of stock even before the sale. They were additionally blame for unnaturally wiggling with costs by increasing the initial value.Socio-cultural InfluencesCulturally, Indians tend to shop for the product in physical stores. they need to the touch, feel the merchandise before shopping for. If the chance related to product is incredibly high, like in purchase of tv, Laptop, washer etc., they have an inclination to travel to physical store, then see the options and if happy, can obtain the product. Indians can largely influenced by peers, friends whereas getting the product. {they can|they’re going to|they’ll} raise their friends or peers suggestions and solely will obtain the merchandise. So, these factors area unit negatively moving on-line retail trade. But slowly, culture of shopping for is dynamic . they’re going for on-line purchases however this rate is a smaller amount when put next to offline purchase. however with thirty day replacement guarantee, if the merchandise isn’t functioning properly, by E-commerce corporations, and with the supply of peer’s or friend’s feedback concerning product on-line, they’re slowly moving from offline to on-line purchases. Technological FactorsWith the advancement of technology at a fast pace, on-line retail trade goes to profit plenty. many technological devices like sensible phones, laptops, tablets etc. square measure planning to facilitate this on-line retail trade as a result of with the penetration of those devices, Indian shoppers square measure planning to purchase their merchandise on-line. Even sensible phone market is growing at a awfully fast rate in Asian nation. folks in Asian nation square measure planning to sensible phones as these phones offer varied options compared to ancient phone models. alternative technology that goes to assist this trade is massive knowledge and “Predictive Analytics”. Since firms will gather the information regarding their customers after they do business with them, they will use these knowledge to personalise the services by exploitation prognosticative analytics   Legal factorsThere square measure several legal and a lot of problems that flipkart faces every day once it involves handling sellers like checking for counterfeit product that place the name of thecorporate in danger additionally the patronswill sue thecorporate for the faux product they need bought thinking of them as original. Secondly, some sellers get their own product so as to shw the demand for there product and thence increase the costs, some begin charging immoderately high costs. Flipkart uses algorithms to observe uncommon activities.Environmental factors:The firm isn’t doing a lot of environmental hurt as a result of it doesn’t manufacture something on its own. It displays merchandise from completely different vendors. however it’s encouraging consumption through mega sale events that it hosts which suggests a lot of merchandise being created and a lot of greenhouse gas emission. aside from this alternative potential environmental threat that they’re movement is that of price cutting war within which all the brands have to be compelled to roll up sleeves and dive in mud so as to survive. price battle grub up the ratio, kicks out tiny players, solely huge players with deep pockets will survive and that they do therefore at the price of profits. This hurts the business within the long haul.PORTER’S FIVE FORCES FRAMEWORKSupplier powerIn this trade, suppliers square measure the makers of finished product like Nike, Dell, Apple etc. on-line retail firms sell varied product starting from books to pc accessories to apparels to footwear. Since there square measureseveral suppliers for any specific class, they can’t show power on on-line retail firms. for instance, if you are taking computers class, there square measure several suppliers like holler, Apple, Lenovo, and Toshiba UN agency desires to sell their product through these on-line retail firms. So, they won’t be having power to regulate the net retail firms. on-line customers will choose the product on their own and therefore the shift prices during this case is zero. it’sterribly troublesome for makers of finished product to return into this trade as a result of challenges in supplying. on-line retail trade is very important to suppliers as a result of it acts together of the channel to sell the product. Now, with most of the shoppers in Asian nation buying on-line through on-line retail firms, they can’t afford to lose this channel. So, they can’t dictate terms with on-line retail firms. So, during this trade the provider power is low.Buyer powerIn this trade, suppliers square measure the makers of finished product like Nike, Dell, Apple etc. on-line retail firms sell varied product starting from books to pc accessories to apparels to footwear. Since there square measureseveral suppliers for any specific class, they can’t show power on on-line retail firms. for instance, if you are taking computers class, there square measure several suppliers like holler, Apple, Lenovo, and Toshiba UN agency desires to sell their product through these on-line retail firms. So, they won’t be having power to regulate the net retail firms. on-line customers will choose the product on their own and therefore the shift prices during this case is zero. it’sterribly troublesome for makers of finished product to return into this trade as a result of challenges in supplying. on-line retail trade is very important to suppliers as a result of it acts together of the channel to sell the product. Now, with most of the shoppers in Asian nation buying on-line through on-line retail firms, they can’t afford to lose this channel. So, they can’t dictate terms with on-line retail firms. So, during this trade the provider power is low.Threat of New EntrantsThreat of new entrants is terribly high in this on-line retail trade as a result of of following reasons:• Indian government goes to permit fifty one FDI in multi-brand on-line retail and 100 percent FDI in single whole on-line retail sooner or later. So, this suggests foreign corporations will come back and begin theirown on-line retail corporations.• There area unit terribly less barriers to entry like less quantity of cash needed to start out a business, less quantity of infrastructure needed to start out business. All you would like is to traffic congestion with suppliers of product and you would like to develop a web site to show product so customers will order product, and a traffic congestion with on-line payment entranceway supplier like bill table.• trade is additionally getting to grow at a fast rate. it’s getting to bit seventy six billion $ by 2021. trade goes to expertise associate exponential rate of growth. So, clearly nobody needs to miss this massive chance.Threat of substitutes• Substitute for this trade as of now could be physical stores. Their threat is extremely low for this trade as a result of customers area unit going for on-line purchases rather than progressing to physical stores because it can save time, effort, and money. With the appearance and penetration of net and good phones, future in retail belongs to on-line retail. after we compare relative quality, relative worth of product that he/she buys on-line with physical store, eacharea unit nearly same and in some cases, on-line discounts are going to be out there that makes customers to shop for product on-line.Rivalrywithin tradeCompetition is extremely high during this trade with such a lot of players like Flipkart, Myntra, Jabong, Snapdeal, Amazon, Indiaplaza, Homeshop18 etc.·          BCG  MATRIX ANALYSIS OF FLIPKARTIn a terribly aggressive E-trade market of Republic of India, organizations square measure thinking that it’s tough to separate their providing from others. Flipkart have hyperbolic many higher hands over others. they need procured organizations like Myntra, Jabong, Appiterate, Letsbuy, Mine360, chakpak.com, weread and also the most up-to-date one being UPI-based installments start-up PhonePe. These organizations square measure serving to it in rising its utilitarian capacities. Originators square measure Ex-Amazon representative in order that they have the desired skills of e-trade. Flipkart had gotten $700M of subsidizing a year agone once that its valuation gone to $15 billion. (Gupta, 2012) it’s a superb situating within the mobiles and small machines sectionStarsAn organization’s “Star” things board the higher left quadrant with high piece of the pie and high development. As a results of the organization’s usually solid piece of the business the organization features a tight centered position? The high development in addition implies that there’s the possibility to stay on increasing financial gain and edges. (ROGGIO, 2014) For “Star” things, clutch what you’ve got or for a few state of affairs commit to carry on growing, but this can be actually a zone of direct showcasing and business enterprise speculation.Flipkart’s selling phase (counting Myntra) and additionally its gadgets section may be a Star within the BCG grid. the explanation is that the fragment is developing and additional and additional purchasers are becoming acclimated with net buying of clothes and gadgets things in Asian country. (Prasad, 2014) Be that because it could, because the market is mammoth, the piece of the business is a smaller amount for each E-trade player and that theysquare measure competitive energetically for it.Cash CowsItems within the lower left quadrant area unit known as “Cash Cows.” In these occurrences the organization has typically nice share of the market, nevertheless is confronted with low development. These area unit things that area unit money makes, nevertheless they won’t extremely take the merchandiser additional, developing financial gain or edges when a while. Here the procedure is to reap from these things to contribute in other places. Exploit action, nevertheless don’t rest.The Flipkart money cows area unit the books from that it started the career. Flipkart is assessed to own a fifth share of the web retail showcase in Asian nation – however will it decide to hold that share? One is grow coordination, a middle quality wherever large ventures and innovation helped Flipkart grow to be the most effective quality level in conveyance in Asian nation. Flipkart ships books to the bulk of India’s twenty one,000 PIN codes and covers over 100 urban communities for its arrangement of books. (Bhasin, 2016)Question MarksWith high development and low piece of the pie, things within the higher right square measure alluded to as “Question Marks.” Businesses primarily don’t comprehend what they speak to concerning conceivable piece of the general trade or developing edges. nevertheless the queries, you wish to fabricate advancements for these items, swing resources into commercial enterprise and advancement. these things have the simplest potential for the business since there’s an opportunity to catch impart and to develop to the market. merely notice that not every “Question Mark” item are effective.Every single alternative portion except for stars and money cows of Flipkart square measure punctuation due to serious contention between the players. Productivity is low general thus what’s to return is obscure. For Flipkart, there’s no different but to increase fast crosswise over classifications to incorporate call for shoppers. (Khan, 2014) Flipkart is presently wagering hooked in to the industrial center model for development that is Associate in Nursing exceptionally tempting recommendation for level players World Health Organization got to grow fast crosswise over things and categories while not considerably increasing settled expenses. the target is ten,000 to 15,000 affiliates in a very year, up from the present one,000. (Khan, 2014)DogsItems in dogs quadrant need to, for the foremost half, either get no backing or be stripped — i.e., shut out. The thinking is that competitory here can take a remarkable interest in time and money since the organization has low piece of the pie and should take away deals from contenders World Health Organization could be higher placedwithin the market. contemplate the people that provide mass-advertise things on Flipkart, whereby the most real approach to contend is to continue slicing prices, transfer down edge, and profiting for constant live of toil. (India, 2014) thus for the Flipkart there aren’t any dogs, except for the brands that sell their product on Flipkart will have dogs’ things.CONCLUSIONAlong these lines, Flipkart need to conceive to provide the things at lower prices. this could be potential by advancing its coordination administrations. Since coordination value assumes a important half choose the price of the item. Filpkart need to conceive to enhance its store network in such the way, to the purpose that its inventory network expenses need to be less and conceive to provide things at lower worth contrasted with its rivals.Flipkart has not been into fashion and apparels business in on-line retail. Since the margins square measure terribly high during this house, Flipkart will money this chance by venturing into this house. Currently, solely Myntra and Jabong square measure leading players during this house. Flipkart will venture into this house either by beginning on its own or by merging with one amongst these companies.Since on-line retail goes to boom within the returning years, it’s necessary for this business to possesssupplying support. So, since Flipkart is already having its own supplying arm E-kart, it will give this supplying service to its competitors in on-line retail business.In this form of business, worth matters lots to customers. If same product is obtainable by 2 e-tailers at 2 totally different costs, customers can choose rock bottom worth. So, Flipkart ought to try and provide the product at lower costs. this may be done by optimizing its supplying services. Since supplying value plays a vital role in deciding the worth of the merchandise. Filpkart ought to try and optimize its offer chain in such a way that its offer chain prices ought to be terribly less and take a look at to supply product at cheaper price compared to its competitors.Big knowledge and prognostic analytics square measure getting to play a giant role within the future. There square measure several tools like R, SQL on the market to mine the info and to seek out out the patterns. So, Flipkart will use knowledge concerning its customers like what square measure they shopping for, what square measure their shopping for patterns and may target them by exploitation prognostic analytics. as an example, Amazon uses customer’s purchase history and suggests product in line with it.Flipkart also can use relationship promoting into it. rather than principally specializing in client acquisition, it ought to conjointly specialise in client retention. as a result of loyal customers square measure a lot of profitable in comparison to new customers.REFERENCESwww.flipkart.comwww.economictimes.comhttps://flipkartforbusinessstrategy.blogspot.comwww.marketing91.com

x

Hi!
I'm Ethel!

Would you like to get a custom essay? How about receiving a customized one?

Check it out