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Key challenges for a Domestic Company for Sustainability in Market -

Competitive pressure of global players: With the advent of open economy policy, the country has been seeing lot of global players taking interest in Indian economy.

Sustained Growth of Industry: The prospect of automation and control industry depends on the economic prosperity and future outlook for the country.

Vulnerability in export business due to small customer base: Export contributes around 26% of company's total revenue (Rs 80 crore export). As per company sources, around 75-80% of the export income is derived from outsourcing business from Honeywell. Dependence on single party makes the company vulnerable.

Lack of world class standard in security & fire: Globally Building Solution's share is around 62% of the total automation & control industry. In India, Industrial Solution is main constituent (46%). With economic progress, BS will be growing faster than IS. Security and Fire forms a major part in BS. In current Indian scenario, this segment is highly unorganized and and lacks world class standard. The unorganised sector takes advantage of lack of standards and floods market with inferior and cheaper products and thus hampering the growth of organised sector.

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Marketing Management, Management Studies

Category:- Marketing Management
Reference No.:- M9504999

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