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PRESENTATION OF

RESEARCH METHODOLOGY

Presenters:Amarpreet Singh

Dilip Kumar

Ravijot Kaur

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Topic and objective

A study of

emerging Trends And Challenges In

Air Conditioning Industry In India

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Introduction

What is air condition?

Why people need air condition?

Government and FDI results

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Historic Perspective

Mr. Willis Haviland Carrier father

of Air Conditioning

Fact behind this Invention

First AC focus on Four Major

Problems

Heating

Cooling

Humidifying

Dehumidifying

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Air Conditioning Industry In India

Air Conditioning Industry In India is 65 years old

During 1990s major players were

Blue Star Ltd.

Voltas Ltd.

Post 1992, after liberalization the gates were open

for globe to entered into Indian Market.

Carrier Aircon Ltd (USA) Samsung & LG (Korea)

Toshiba & Hitachi (Japan)

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Air Conditioning Terminologies

Air Conditioning Tonnes

High Side

Low Side

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Market Size and Segment Analysis

In 2007-08 market size of Blue Star Ltd. And Voltas

Ltd. Were Rs. 9000 crore

Market Share

Central AC,

5000, 56%

Room AC,4000, 44%

Central AC

Room AC

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Product segment and competition

Analysis

Two major Segments

Room AC

Domestic use

Light commercial applications

Small AC units Size 0.5 Tr to 5.0 Tr

Central AC

Bigger and multiple Areas with control at single point

Direct Expansion (Dx)

Packaged and Ductable Split Systems (PAC)

Variable Refrigerant Flow System (VRF)

System And Chiller System

Size much much more than 1200 Tr

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Central AC

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During 2007-08 companies position in

IndiaRAC market Share 2007-08

LG

600000

Voltas

325000Samsung

300000

Whirlpool

100000

Videocon

120000

Onida

165000

Blue Star

145000

Godrej

100000

Hitachi

105000

Carrier

48000

Others

212500

LGVoltas

Samsung

Whirlpool

Videocon

Onida

Blue StarGodrej

Hitachi

Carrier

Others

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PAC market Share 2007-08

PAC depends upon Quality, Project Execution

capability and after sale service

5 major players from last 3 years:

BRAND MARKET POSITION

Blue Star No. 1

Carrier No. 2

Voltas No. 3

LG No. 4

Hitachi No. 5

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Key Growth Drivers of the AC Industry

Product Range

0.5 Tr to 1200 Tr. (and more)

Technology

Energy Consumption Environment friendliness

Customer comfort

Skilled and semi Skilled techno-managerial

human resource

Supply chain and distribution relations

Customer satisfaction

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SWOT Analysis of the Industry

Strengths Weaknesses

1. Industry Grows 25% over last 5

years2. Now Rs. 9000 crore, expected

Rs.38000 crore by 2012

3. High growth due to hot and humid

climate

4. Human resources5. Easy availability of raw material

1. Rival Competition

2. High duties and taxes

3. Technical enhancements

4. Transportation cost and time

5. High cost of electricity

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Contd

Opportunities Threats

1. Infrastructure growth rate

2. Growth in service sector

3. Cold chain business helps

during recession also

1. Globally changing in

technology

2. Dumping of goods from

foreign market eg. China

3. Attrition of human capital

and migration to gulf

countries.

4. Compressor technology.

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Five Force Analysis

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Latest Market Trends

Green Movements

Zero Ozone Deletion

Provides product with green gas

RACs with CFC free refrigeration

Attractiveness to man power

Better opportunities

Competitive remuneration

Big size contractors Multi crore projects players

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Conclusion

AC industry has set up their foot in INDIA

Many players to fulfill the demand

Many companies mutually collaborates onmodels and strategic partners

Supply chain and after sale services network

can certainly creates the leadership positions

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Bibliography

Books: Strategic mgmt and business policy

Marketing mgmt (12E)

Articles

Corporate social responsibility Green trust and distrust

World air conditioner market, India sub continent

Web sites www.bluestarindia.com

www.csrasia.org

www.voltasindia.com

www.lgindia.com

www.ehow.com

etc

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