Submitted by:-Neeleshwari SinghNeeti MehrotraNeha DixitNidhi AgarwalNikita Srivastava

Submitted to :-Mr. .suneel Gupta

The Company was incorporated as Bata Shoe Company Limited on December 23, 1931.

Subsequently, the Company changed its name to Bata Shoe Company Private Limited vide Certificate of Incorporation dated April 6, 1956

The Company changed its name from Bata Shoe Company Private Limited to Bata Shoe Company Limited

The name was once again changed to Bata India Limited on April 23, 1973.

India ranks second among the footwear producing countries next to China. The major production centers India are Chennai, Ranipet, Ambur in Tamil Nadu, Mumbai in Maharashtra, Kanpur, Jalandhar, Agra and Delhi.

The marketing division is divided into two segments:• Retail -his segment is further sub-divided into two groups:-o Flagship Cityo Family & Bazaar• Non-RetailThis segment is sub-divided into two groups:o Exportso Wholesale

 

It has segmented its retail outlets into discount outlets and higher-end ones

Three-Point StrategyBetter Products, Fatter Margins: Re-engineered collection by doubling design team, refreshing range regularly and outsourcing parts to improve margins. 

Expansion: Used the cash flowing from higher margins to expand primarily through large-format stores.

Specialization: To improve quality and cut costs made its factories specialists-Bangalore makes school shoes, Hosur is for Hush Puppies and Kolkata turns out sports shoes and sandals.

•Cost optimization and margin improvement•Logistics and demand based production•Tax-free zone manufacturing base•Rationalizing and re-engineering•Focus on collecting old outstanding dues•Training and restructuring the frontline sales force•Technology-•Cost- cutting-•Brands and designs

Bata was considered as manufacturing oriented company who concentrate on producing footwear and sell them in market at anyhow. Bata wanted to change this image of production oriented company to affordable, market driven, fashion conscious, lifestyle brand. That’s why Bata wanted to reposition itself.

Due to increase in cost of raw material, sale went up by 21 crore, cost has gone up by 68 crore. So profit affected due to increased input cost.Company has been in existence for more than seven decades and faces a challenge in switching to new product technology.Sales and distribution cost is also very high because most of shops are owned by company itself and staffed employee. High value added footwear did not find acceptance in the market and led to drop in sale volume. So 2 million shoes were sold at a discount of 50 % at a loss of 41 crore.Bata was focusing on premium segment which account very less in footwear industry in India.Conflict of management with Mazdoor union is main weakness of BIL.

•It is repositioning its image from a manufacturing company to a marketing company, Bata's new emphasis is on marketing of quality products and services.

•Under the plan, Bata has adopted restructuring measures to improve distribution logistics, reduce costs, strengthening merchandising and marketing along with launch of new products.

•The main thrust of the company is on innovation.

1. Bata India is planning to introduce 'cricket boot' in domestic market and also working on improvement of abrasion resistance property of PVC air blow sole increase durability. 

2. Introduction of improved mould design technique to reduce cracking in PVC soles and upgrading the quality of TPR Unit Sole to have more comfort in wearing are also on the agenda.

•Bata Shoe Company sent its two marketing research teams independently to assess the market potential of its shoes in African continent.

•Both the teams surveyed the shoe-bearing habits of people in a number of countries and both the teams observed that people are not wearing shoes at all.

•Both the teams returned back to head office of the company and presented reports to management. The first team mentioned in its report, “There is no scope of marketing shoes in African continent as no one wears shoes there.”

•The second team mentioned in its report, “there is very high scope of marketing shoes in African continent as no one has shoes.”

•It is the largest manufacturer and marketer of footwear products in India

•Sells over 45 million pairs of footwear every year

•Serves over 120,000 customers every day

•Sells through over 1200 retail stores

•Operates 5 manufacturing facilities

•Employs more than 6800 people

Bata India Ltd plans to add around 60 stores every year. Trying to reach out to the rural market through their dealer network .

The major improvement in the shoe line by introducing shoes with some additional features to target more premium distribution channels

The wholesale division was restructured into four independent distribution channels – urban, safety, institutional and branding each with its own sales teams to create more impact and result in better sales.

Bata has also invested in building its technology backbone and systems

Thank you