Project on understanding the BCG Matrix and applying it to ITC Ltd. Segregating the businesses of ITC into Cash Cows, Stars, Question Marks and Dogs.

1. BCG Matrix for ITC Ltd. Ranjan Varma http://financexchange.blogspot.com

2. Structure Learning points and conclusions Action! Act III The BCG matrix Camera! Act II ITC- A Background Lights! Act I

7. Business wise Sales data Net revenue Paper & pkg. Agribusiness Hotels FMCG-Others FMCG-Cigarettes Business/ Year 12.99 24.9 4.2 124.1 85.2 8.4 Growth % 11815.04 13349.58 1253.29 1565.31 1708.77 1780.07 257.53 577.25 304.16 563.39 Value (Rs in Crore) 9230.27 10002.54 2004 2005

8. CAGR during FY 2005-2008 Fast track, decent share. 60.2 % FMCG-Others E-choupal, choupal sagar, 34.3 % Agri business Capacity utilization, value added products 17.2 % Paper Inward traffic, occupancy 22.7% Hotels Pricing power 10.9 % Cigarettes Growth parameters CAGR Category

10. -7.5% 4.4% 20% share of greeting cards market, 'Aashirvaad' atta is No.1 in branded segment FMCG (Others) 5.4% 4.3% ITC Group ranks No.2 Hotels 3.7% 7.0% 1of the largest xporters from India Agri business 10.7% 7.3% Packaging board – No. 1 in Asia Paper & Packg. 87.7% 77.0% 70% share Cigarettes Contribution % Revenue PBIT Dominance Segment

11. Market attractiveness & Competitive strength is also important. Act 2