Subject category:
Strategy and General Management
Published in:
2018
Length: 5 pages
Data source: Field research
Abstract
After a thorough SWOT analysis, Achyut Zantye (Achyut) was aware of the opportunities in the business as cashew was the commonly found crop in western Maharashtra. He thought of starting a small-scale cashew business and a cashew processing unit in his village Tulas. In 1979, Vasudeo Madhukar Zantye (Vasudev) started his first factory in Tulas subsequently both the younger brothers Achyut Madhukar Zantye (Madhukar) and Shrikrishna Madhukar Zantye (Shrikrishna) joined the business. This group has cashew manufacturing and processing units at five different places in western Maharashtra having capacity of processing 10,000kg raw cashew per day and has retail outlet in six major townships in this area. They have been selling the processed cashew in metropolitan cities like Nagpur, Pune, Mumbai, Delhi and some parts of Gujarat, under the brand name of Zantye cashew. Inspite of consistent business success for over three generations there were some upcoming challenges like consistently increasing prices of raw materials having cost implications, non- availability of labor, high automation cost, storage and warehousing issues, competition faced from unorganized retailers who were ready to sacrifice quality for lower prices. The company was also facing challenges for Branding in Mumbai and Export challenges facing stiff competition. The case is a primary case based on the data received during the discussions with the partners of Achyut Cashew Factory(ACF). This case discusses the environmental challenges faced by such agro-based and food processing Industries in Indian and international scenario.
Location:
Other setting(s):
2017
About
Abstract
After a thorough SWOT analysis, Achyut Zantye (Achyut) was aware of the opportunities in the business as cashew was the commonly found crop in western Maharashtra. He thought of starting a small-scale cashew business and a cashew processing unit in his village Tulas. In 1979, Vasudeo Madhukar Zantye (Vasudev) started his first factory in Tulas subsequently both the younger brothers Achyut Madhukar Zantye (Madhukar) and Shrikrishna Madhukar Zantye (Shrikrishna) joined the business. This group has cashew manufacturing and processing units at five different places in western Maharashtra having capacity of processing 10,000kg raw cashew per day and has retail outlet in six major townships in this area. They have been selling the processed cashew in metropolitan cities like Nagpur, Pune, Mumbai, Delhi and some parts of Gujarat, under the brand name of Zantye cashew. Inspite of consistent business success for over three generations there were some upcoming challenges like consistently increasing prices of raw materials having cost implications, non- availability of labor, high automation cost, storage and warehousing issues, competition faced from unorganized retailers who were ready to sacrifice quality for lower prices. The company was also facing challenges for Branding in Mumbai and Export challenges facing stiff competition. The case is a primary case based on the data received during the discussions with the partners of Achyut Cashew Factory(ACF). This case discusses the environmental challenges faced by such agro-based and food processing Industries in Indian and international scenario.
Settings
Location:
Other setting(s):
2017