UB GROUP

UB GROUP:

UB GROUP

UB GROUP:

UB GROUP Founded by Scotsman, Thomas Leishman, in 1857. It manufactured and sold bulk beer for troops of both World Wars. It was later bought by Late Mr. Vittal Mallya in 1947, who became the Chairman of the Company. Succeeded by Dr. Vijay Mallya in 1983

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It is a Conglomerate of over 60 companies. The Logo Of the Company is the Pegasus, the winged horse of Greek mythology. The focal business areas of the group encompass alcoholic beverages, life sciences, engineering, agriculture, chemicals, sports, information technology, aviation and leisure.

MISSION:

MISSION Seek to be the most preferred employer wherever they operate. Believe in long-term growth of the Group for the benefit of the Shareholders. Will operate as a decentralized organization. Will be a major contributor to the Indian Economy.

VIJAY MALLYA:

VIJAY MALLYA Chairman of the UB Group since 1983. Face of the Group. Dynamic leader . Patriot. Enthusiast. Known for his lavish parties, villas, automobiles, Force India, Royal Challengers Bangalore and his yatch, Indian Empress.

STARTEGIES:

STARTEGIES EXPANSION Expansion policies have rapidly changed over time. The Group expanded by acquisition, innovation in products and entering new markets. Currently, it is more focused on introducing more products in the existing markets and Globalization- entered Europe, Africa. ACQUISITION Almost all acquisitions have been very successful for the Group. Acquisitions. Alcoholic Drinks: Acquired McDowell, Shaw-Wallace, Whyte and MacKay, etc. Airplane: Air Deccan. DIVERSIFICATION Concentric diversification is one of the major strategies of the Group. Beer, Whisky, etc. Conglomerate Diversification is not a part of their practices at presently. They have moved into Airlines and many sporting events (Force India, Royal Challengers Bangalore, Mohun Bagan)

UNITED SPIRITS:

UNITED SPIRITS

UNITED SPIRITS:

UNITED SPIRITS 2nd largest liquor maker in the world. To sell first 100 million cases, it took 12 years ( 1979- 1991) . Claims to be no.1 in the global liquor market by the end of the this financial year.

UNITED SPIRITS:

UNITED SPIRITS BEER 48% Market Share Nationally Sold in over 52 Countries India’s 1st Global Brand-KINGFISHER SPIRITS 54% Market Share 2 nd Largest Player in the World BEER & SPIRITS Both Poised for Positive Growth Compelling Demographics Rapid rise in Disposable Income Changing Lifestyles & Spending Patterns

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Key Ratios

Strategies:

Strategies New marketing Initiatives Tetra packs(180ml) Sachets New product initiatives McDowell’s diet mate whisky Romanov unique diet vodka

Mergers and Acquisitions :

Mergers and Acquisitions Acquired 100% stake in Whyte and Mackay, worlds 4th largest scotch company Acquired 54.54 % stakes in the Shaw Wallace and Company Ltd (SWC) for Rs 13 billion ,making it the second largest spirit company in the world.

Synergies from Acquisitions:

Synergies from Acquisitions Whyte & Mackay Sales climbed 4% 26% Market Share in India in Whisky. Shaw Wallace and Company Ltd. EPS has increased from 0.02 in 2003-2004 to 6.14 in 2007-2008 Net profit increased from Rs.0.09 Crore in 2003-2004 to Rs. 29.48 Crore in 2007-2008.

The Heineken Deal:

The Heineken Deal #2 Global Beer company in revenues Heineken ® will be produced in India by UBL. 37.5% stake

Facts:

Facts Every 3rd beer sold in India is a Kingfisher One Kingfisher Beer is consumed every 6 Seconds. 70 % of population below 30 years of age. Winner of the “Best Services” Award since 2007.

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Whiskey Malt based Premium B asic

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BEER Vodka wines

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Name of the spirit Type History Dalmore Malt Whiskey 160 year old Scotland brand Jura Single Malt Whiskey 200 year old Whyte & Mackay Malt Whiskey made by combing 35 selected malts from scotland Black Dog Scotch Whiskey 125 year old Antiquity Premium Whiskey Signature Premium Whiskey Royal Challenge Whiskey McDowell’s No.1 Whiskey + Dietmate 1 st Diet Whiskey of the world Celebrations rum Rum 2 nd larget selling Rum Bouvet Ladubay Sparkling Wine Pinky Flavored Vodka Blended with strawberry White Mischief Vodka Romanov Vodka Four Seasons Wine 6 distinct flavours

United Breweries v/s Seagram:

United Breweries v/s Seagram The whiskey brand “ Royal Stag “ of Seagram's has been very popular in the Indian markets and has been eating up UB’s market. To this UB has launched a new whiskey ‘Platinum’ which is placed a little above their previous brand Royal Challenge in terms of price and is brewed by one of the finest brewers in the world – JEFF ARNETT who brews for JACK DANIELS. There were 5000 cases sold for ‘Platinum’ in its 1 st month against 2000 which were the companies minimum expectation. ( just Maharashtra)

SWOT ANALYSIS:

SWOT ANALYSIS Strength Large Customer Base, 2 nd largest manufacturer. Weakness Competition, Huge borrowed funds. Opportunity New Products, the Heineken Deal. Threat Seagram’s Royal Stag, Four Seasons.

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ESTABLISHMENT AND MISSION STATEMENT ESTABLISHMENT: kingfisher airlines was established in 2003 but the airline started its commercial operations on 9 th may 2005. Started international operations on 3 September 2008. MISSION STATEMENT OF THE CHAIRMAN: Making kingfisher airlines India's largest private airline. New era of luxury in India's domestic aviation sector. Giving its guests a world-class experience .

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ABOUT KINGFISHER AIRLINES India's largest airline operating company: more than 400 flights a day. Kingfisher Airlines serves 63 domestic destinations and 8 international destinations in 8 countries across Asia and Europe. On 7 June 2010 Kingfisher became a member elect of the ONEWORLD airline alliance when it signed a formal membership agreement. Only Indian airline to have a five star rating from SKYTRAX.

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CURRENT STATUS Kingfisher Airlines obtained a 26% stake in Air Deccan, a low cost Indian airline which Mallya later acquired fully and rebranded as Kingfisher Red Hopes to improve its performance and turn profitable- hires a US firm to revamp the losses. Accumulated losses of last financial year amounted to Rs 1,080 crore. The airline, which has unsecured loans and preference capital worth Rs 395 crore from the United Breweries (UB) Group, will convert them into equity during the ongoing fiscal.

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LUXURY AND ACHIEVEMENTS Kingfisher was the first Indian airline to have IN-FLIGHT ENTERTAINMENT(IFE) systems on every seat even on domestic flights. NDTV Profit-Business Leadership Award for Aviation. Voted as India’s Favorite Airline.

STRATEGIES:

STRATEGIES The Fun Liner Experience Single Class Pricing

STRATEGIES:

STRATEGIES Promotional Strategy Reservation & Support Service

SWOT analysis:

SWOT analysis Strengths: brand Image , high quality Weakness : pricing , high cost Opportunities : domestic market , tourism Threats : fuel price , competitors

4 P’s of marketing:

4 P’s of marketing Product aircraft , fleet Promotion : advertisements , schemes advertisements , schemes Price Discounts , Dynamic pricing model Place metro cities

USP:

USP Cost In-flight entertainment service Comfort and convenience Emotional appeal

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UB CITY UB City is located in the heart of Bangalore. UB City has four towers which have emerged as the new skyline of Bangalore.

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Mangalore Chemicals & Fertilizers Limited The Company is a part of the UB Group with Group shareholding of 30.44%. Dr. Vijay Mallya is Chairman of the Board of Directors Mangalore Chemicals and Fertilizers Limited (MCF), with a turnover of over Rs.2,470 Crore (FY 2008-2009)

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UB ENGINEERING One of the foremost Indian engineering companies in the field of installation of industrial plants Strongly focused on the Turnkey Division for projects in Power, Fertilizers, Oil & Gas, Fire Fighting, Effluent Treatment, Agrotech and other sectors. Bagged a $21 million contract for installation of electro-mechanical and instrumentation works in Abu Dhabi.

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FORCE INDIA Force India Formula One Team Limited, trading as Force India F1, is a Formula One motor racing team.

MEDIA & ENTERTAINMENT:

MEDIA & ENTERTAINMENT Royal Challengers Bangalore. Kingfisher Calendar. NDTV Good Times.

THANK YOU!!:

THANK YOU!! Tanmay Agarwal 102 Shubham Bhansal 103 Kewal Gala 108 Rahul Kalani 114 Ronak Parmar 128 Ronie Shah 140 Smit Kamdar 157

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ANY QUESTIONS??