EXECUTIVE SUMMARY

Hindustan Unilever Limited (HUL) is Indias largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. They endow the company with a scale of combined volumes of about 4 million units and sales of Rs.10,000 crores.

HUL is also one of the countrys largest exporters; it has been recognized as a Golden Super Star Trading House by the Government of India. Hence, research aims is that to study the existing marketing practices, emerging marketing plans and understanding companies business strategy with its profile. The main recommendations have been made on the addressing of the advertising message to the customers. An attempt has been made to formulate the communication in a way to build it on a platform of the basic need for buying HUL products. In another recommendation the suggestions towards better dealer interest in HUL products has been given a chance.

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What is SWOT Analysis ?

SWOT analysis is a strategic planning method used to evaluate the Strengths, Weaknesses/Limitations, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. The technique is credited to Albert Humphrey, who led a convention at the Stanford Research Institute (now SRI International) in the 1960s and 1970s using data from Fortune 500 companies.

Setting the objective should be done after the SWOT analysis has been performed. This would allow achievable goals or objectives to be set for the organization.

Strengths: characteristics of the business, or project team that give it an advantage over others

Weaknesses (or Limitations): are characteristics that place the team at a disadvantage relative to others

Opportunities: external chances to improve performance (e.g. make greater profits) in the environment

Threats: external elements in the environment that could cause trouble for the business or project

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Identification of SWOTs is essential because subsequent steps in the process of planning for achievement of the selected objective may be derived from the SWOTs.

First, the decision makers have to determine whether the objective is attainable, given the SWOTs. If the objective is NOT attainable a different objective must be selected and the process repeated.

Users of SWOT analysis need to ask and answer questions that generate meaningful information for each category (strengths, weaknesses, opportunities, and threats) in order to maximize the benefits of this evaluation and find their competitive advantage

Matching and converting

One way of utilizing SWOT is matching and converting. Matching is used to find competitive advantages by matching the strengths to opportunities. Converting is to apply conversion strategies to convert weaknesses or threats into strengths or opportunities. An example of conversion strategy is to find new markets. If the threats or weaknesses cannot be converted a company should try to minimize or avoid them.

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Internal and external factors

The aim of any SWOT analysis is to identify the key internal and external factors that are important to achieving the objective. These come from within the company's unique value chain. SWOT analysis groups key pieces of information into two main categories:

Internal factors The strengths and weaknesses internal to the organization. External factors The opportunities and threats presented by the external environment to the organization.

The internal factors may be viewed as strengths or weaknesses depending upon their impact on the organization's objectives. What may represent strengths with respect to one objective may be weaknesses for another objective.. The external factors may include macroeconomic matters, technological change, legislation, and socio-cultural changes, as well as changes in the marketplace or competitive position. The results are often presented in the form of a matrix.

SWOT analysis is just one method of categorization and has its own weaknesses. For example, it may tend to persuade companies to compile lists rather than think about what is actually important in achieving objectives. It also presents the resulting lists uncritically and without clear prioritization so that, for example, weak opportunities may appear to balance strong threats.

It is prudent not to eliminate too quickly any candidate SWOT entry. The importance of individual SWOTs will be revealed by the value of the strategies it generates. A SWOT item that produces valuable strategies is important. A SWOT item that generates no strategies is not important.

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Use of SWOT analysis

The usefulness of SWOT analysis is not limited to profit-seeking organizations. SWOT analysis may be used in any decision-making situation when a desired end-state (objective) has been defined. Examples include: non-profit organizations, governmental units, and individuals. SWOT analysis may also be used in pre-crisis planning and preventive crisis management. SWOT analysis may also be used in creating a recommendation during a viability study/survey.

Corporate planning
As part of the development of strategies and plans to enable the organization to achieve its objectives, then that organization will use a systematic/rigorous process known as corporate planning. SWOT alongside PEST/PESTLE can be used as a basis for the analysis of business and environmental factors.

Set objectives defining what the organization is going to do Environmental scanning

o

Internal appraisals of the organization's SWOT, this needs to include an assessment of the present situation as well as a portfolio of products/services and an analysis of the product/service life cycle

Analysis of existing strategies, this should determine relevance from the results of an internal/external appraisal. This may include gap analysis which will look at environmental factors

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Strategic Issues defined key factors in the development of a corporate plan which needs to be addressed by the organization

Develop new/revised strategies revised analysis of strategic issues may mean the objectives need to change

Establish critical success factors the achievement of objectives and strategy implementation

Preparation of operational, resource, projects plans for strategy implementation

Monitoring results mapping against plans, taking corrective action which may mean amending objectives/strategies.

We often talk about how best to develop the foresight a project manager needs to identify factors that are important to meeting organizational objectives, both internal and external to the project. Instead of relying on chance or worse yet, the appearance of project-threatening risks to alert you to impending issues, there are some methods that can be used to analyze project circumstances to predict and plan for bumps in the road ahead. SWOT is a project analysis tool used to gauge project strengths, weaknesses, opportunities, and threats. How can you use this method to safeguard your project venture? Lets step through the fundamentals:

The SWOT analysis starts with identifying your projects strengths and weaknesses with a focus on either the project team or the broader organization as a whole. But what can be categorized as project strengths or weaknesses.

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Strengths
As they relate to your organization or projects value chain, strengths are what give your project team or product a distinct advantage over others in your same industry. For example, your project team members and the experience they hold may give you an edge over other organizations or consulting teams. Do you have expert developers holding unique programming? If so, jot them down as a strength when analyzing your project using this method.

Weaknesses
Intuitively, to single out your projects weaknesses, step through the inverse of the analysis that brought you to your projects strengths. Are there any downfalls of your process, project, or product that put you at a disadvantage in your field? True enough, you may rightly find it difficult to pinpoint these but do so with the understanding that all projects have areas for improvement. For example, the expert resources that you identified in the strengths section of the project analysis tool may be very costly, making your projects dependency on them a disadvantage.

Slightly different from strengths and weaknesses, opportunities and threats are factors external to your project or organization that offer chance for increased success (e.g., early deployments, money saved, and so on).

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Opportunities
Opportunities external to your organization that would give you an edge may be a specialized market that has opened up that may serve as a new client base. Another opportunity might be a shift toward a new technological product that your organization can exploit for further advancement. In other words, think big picture to identify external opportunities available to you.

Threats
Finally, threats are looming hazards that may affect your projects progress. Is there legislation that has recently passed that would influence your projects timeline or resources? Again, think big picture to determine what these threats may be and document them so that you can work to plan for pending changes.

As with most analyses, the full potential of this project analysis tool is seen when negative future consequences that may have been looming are avoided through action inspired by the analysis that is done. If at all possible, turn weaknesses and threats into strengths and opportunities that can positively influence your schedule or your bottom line with proper planning and preventative action

SWOT is an acronym for Strengths, Weaknesses, Opportunities and Threats. By definition, Strengths (S) and Weaknesses (W) are considered to be internal factors over which you have some measure of control. Also, by definition, Opportunities (O) and Threats (T) are considered to be external factors over which you have essentially no control.

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SWOT Analysis is the most renowned tool for audit and analysis of the overall strategic position of the business and its environment. Its key purpose is to identify the strategies that will create a firm specific business model that will best align an organizations resources and capabilities to the requirements of the environment in which the firm operates. In other words, it is the foundation for evaluating the internal potential and limitations and the probable/likely opportunities and threats from the external environment. It views all positive and negative factors inside and outside the firm that affect the success. A consistent study of the environment in which the firm operates helps in forecasting/predicting the changing trends and also helps in including them in the decision-making process of the organization.

An overview of the four factors (Strengths, Weaknesses, Opportunities and Threats) is given below-

1. Strengths- Strengths are the qualities that enable us to accomplish the organizations mission. These are the basis on which continued success can be made and continued/sustained. Strengths can be either tangible or intangible. These are what you are well-versed in or what you have expertise in, the traits and qualities your employees possess (individually and as a team) and the distinct features that give your organization its consistency. Strengths are the beneficial aspects of the organization or the capabilities of an organization, which includes human competencies, process capabilities, financial resources, products and services, customer goodwill and brand loyalty. Examples of organizational strengths are huge financial resources, broad product line, no debt, committed employees, etc.

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2. Weaknesses- Weaknesses are the qualities that prevent us from accomplishing our mission and achieving our full potential. These weaknesses deteriorate influences on the organizational success and growth. Weaknesses are the factors which do not meet the standards we feel they should meet. Weaknesses in an organization may be depreciating machinery, insufficient research and development facilities, narrow product range, poor decision-making, etc. Weaknesses are controllable. They must be minimized and eliminated. For instance - to overcome obsolete machinery, new machinery can be purchased. Other examples of organizational weaknesses are huge debts, high employee turnover, complex decision making process, narrow product range, large wastage of raw materials, etc. 3. Opportunities- Opportunities are presented by the environment within which our organization operates. These arise when an organization can take benefit of conditions in its environment to plan and execute strategies that enable it to become more profitable. Organizations can gain competitive advantage by making use of opportunities. Organization should be careful and recognize the opportunities and grasp them whenever they arise. Selecting the targets that will best serve the clients while getting desired results is a difficult task. Opportunities may arise from market, competition, industry/government and technology. Increasing demand for telecommunications accompanied by deregulation is a great opportunity for new firms to enter telecom sector and compete with existing firms for revenue. 4. Threats- Threats arise when conditions in external environment jeopardize the reliability and profitability of the organizations business. They compound the vulnerability when they relate to the weaknesses. Threats are uncontrollable. When a threat comes, the

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stability and survival can be at stake. Examples of threats are - unrest among employees; ever changing technology; increasing competition leading to excess capacity, price wars and reducing industry profits; etc.

Advantages of SWOT Analysis

SWOT Analysis is instrumental in strategy formulation and selection. It is a strong tool, but it involves a great subjective element. It is best when used as a guide, and not as a prescription. Successful businesses build on their strengths, correct their weakness and protect against internal weaknesses and external threats. They also keep a watch on their overall business environment and recognize and exploit new opportunities faster than its competitors.

SWOT Analysis helps in strategic planning in following manner-

a. It is a source of information for strategic planning. b. Builds organizations strengths. c. Reverse its weaknesses. d. Maximize its response to opportunities. e. Overcome organizations threats. f. It helps in identifying core competencies of the firm. g. It helps in setting of objectives for strategic planning. h. It helps in knowing past, present and future so that by using past and current data, future plans can be chalked out.

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SWOT Analysis provide information that helps in synchronizing the firms resources and capabilities with the competitive environment in which the firm operates.

SWOT ANALYSIS FRAMEWORK

Limitations of SWOT Analysis

SWOT Analysis is not free from its limitations. It may cause organizations to view circumstances as very simple because of which the organizations might overlook certain key strategic contact which may occur. Moreover, categorizing aspects as strengths, weaknesses, opportunities and threats might be very subjective as there is great degree of uncertainty in market. SWOT Analysis does stress upon the significance of these four aspects, but it does not tell how an organization can identify these aspects for itself.

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There are certain limitations of SWOT Analysis which are not in control of management. These include-

a. Price increase; b. Inputs/raw materials; c. Government legislation; d. Economic environment; e. Searching a new market for the product which is not having overseas market due to import restrictions; etc.

Internal limitations may include-

a. Insufficient research and development facilities; b. Faulty products due to poor quality control; c. Poor industrial relations; d. Lack of skilled and efficient labour;

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CHRONOLOGY
In the summer of 1888, visitors to the Kolkata harbour noticed crates full of Sunlight soap bars, embossed with the words "Made in England by Lever Brothers". With it, began an era of marketing branded Fast Moving Consumer Goods (FMCG). Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux and Vim. Vanaspati was launched in 1918 and the famous Dalda brand came to the market in 1937. In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). These three companies merged to form HUL in November 1956; HUL offered 10% of its equity to the Indian public, being the first among the foreign subsidiaries to do so. Unilever now holds 52.10% equity in the company. The rest of the shareholding is distributed among about 360,675 individual shareholders and financial institutions. The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an international acquisition. The erstwhile Lipton's links with India were forged in 1898. Unilever acquired Lipton in 1972, and in 1977 Lipton Tea (India) Limited was incorporated. Pond's (India) Limited had been present in India since 1947. It joined the Unilever fold through an international acquisition of Chesebrough Pond's USA in 1986. Since the very early years, HUL has vigorously responded to the stimulus of economic growth. The growth process has been accompanied by judicious diversification, always in line with Indian opinions and aspirations. The liberalisation of the Indian economy, started in 1991, clearly marked an inflexion in HUL's and the Group's growth

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curve. Removal of the regulatory framework allowed the company to explore every single product and opportunity segment, without any constraints on production capacity.
Simultaneously, deregulation permitted alliances, acquisitions and mergers. In one of the most visible and talked about events of India's corporate history, the erstwhile Tata Oil Mills Company (TOMCO) merged with HUL, effective from April 1, 1993. In 1995, HUL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's market-leading cosmetics and other appropriate products of both the companies. Subsequently in 1998, Lakme Limited sold its brands to HUL and divested its 50% stake in the joint venture to the company. HUL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in 1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex Sanitary Pads. HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited (UNL), and its factory represents the largest manufacturing investment in the Himalayan kingdom. The UNL factory manufactures HUL's products like Soaps, Detergents and Personal Products both for the domestic market and exports to India. The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired Kothari General Foods, with significant interests in Instant Coffee. In 1993, it acquired the Kissan business from the UB Group and the Dollops Icecream business from Cadbury India. As a measure of backward integration, Tea Estates and Doom Dooma, two plantation companies of Unilever, were merged with Brooke Bond. Then in July 1993, Brooke Bond India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL), enabling greater focus and ensuring synergy in the traditional Beverages business. 1994 witnessed BBLIL launching the Wall's range of Frozen Desserts. By the end of the year, the company entered into a strategic alliance with the Kwality Icecream Group families and in 1995 the Milkfood 100% Icecream marketing and distribution rights too were acquired.

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Finally, BBLIL merged with HUL, with effect from January 1, 1996. The internal restructuring culminated in the merger of Pond's (India) Limited (PIL) with HUL in 1998. The two companies had significant overlaps in Personal Products, Speciality Chemicals and Exports businesses, besides a common distribution system since 1993 for Personal Products. The two also had a common management pool and a technology base. The amalgamation was done to ensure for the Group, benefits from scale economies both in domestic and export markets and enable it to fund investments required for aggressively building new categories. In January 2000, in a historic step, the government decided to award 74 per cent equity in Modern Foods to HUL, thereby beginning the divestment of government equity in public sector undertakings (PSU) to private sector partners. HUL's entry into Bread is a strategic extension of the company's wheat business. In 2002, HUL acquired the government's remaining stake in Modern Foods. In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the Amalgam Group of Companies, a leader in value added Marine Products exports

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HUL (Hindustan Unilever Limited) Parent Company Category Sector Tagline/ Slogan USP Unilever Limited Consumer Products, Food & Beverages FMCG Small Actions, Big Difference India's largest fast-moving consumer goods company STP Segment Target Group Positioning Products and services for daily needs Every Indian household especially the middle class Being the largest FMCG company , their little efforts make a huge difference in the lives of people Product Portfolio Consumer Products 1. Active Wheel Fabric 4. Domex 7. Vim 10.Ayush 13.Close Up Lovely 16.Hamam 19.Liril 2000 22.Pepsodent 25.Sunsilk Food & Beverages 1.Brook Bond 4.Kissan Jam 7.Kwality Walls SWOT Analysis 1. HUL is a part of the Unilever group, hence strong brand equity 2. It has over 15000 employees 3. Reach 6.4 million retail outlets which includes direct reach to over 1.5 million retail outlets 2.TajMahal 5.Kissan Squash 8.Kissan Ketchup 3.Bru 6.Lipton 2. Cif 5. Rin 8. Aviance 11.Clear 14.Dove 17. Lakme 20.Lux 23.Ponds 26.Vaseline 3. Comfort 6. Surf Excel 9. Axe 12.Clinic Plus 15.Fair & 18.Lifebuoy 21.Pears 24.Rexona

Brands

Strength

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4. Two R&D centres in India in Mumbai and Bangalore 5. Products with presence in over 20 consumer categories with over 700 million Indian consumers using its products 6. As a part of CSR, HUL has initiatives like project Shakti, plastic recycling, women empowerment etc 1. Market share is limited due to presence of other strong FMCG brands 2. HUL products has stiff competition from big domestic players and international brands 1. Tap rural markets and increase penetration in urban areas 2.Mergers and acquisitions to strengthen the brand 3.Increasing purchasing power of people thereby increasing demand 1. Intense and increasing competition amongst other FMCG companies 2.FDI in retail thereby allowing international brands 3. Competition from unbranded and local products Competition 1. Marico 2. L'Oral 3. Nirma Ltd 4. ITC 5. Colgate-Palmolive 6. Procter and Gamble Competitors 7. Dabur

Weakness

Opportunity

Threats

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INTROUCTION
Hindustan Unilever Limited (abbreviated to HUL)) formerly Hindustan Lever Limited, is Indias largest consumer products company and has an annual turnover of over Rs 13,000 crores (calendar year 2007). It was formed in 1933 as Lever Brothers India Limited and came into being in 1956 as Hindustan Lever Limited through a merger of Lever Brothers, Hindustan Vanaspati Mfg. Co. Ltd. and United Traders Ltd.. It is headquartered in Mumbai, India and has an employee strength of over 15,000 employees and contributes for indirect employment of over 52,000 people. The company was renamed in late June 2007 to Hindustan Unilever Limited. In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years by Business World, one of Indias leading business magazines. The rating was based on a compilation of the magazines annual survey of Indias Most Reputed Companies over the past 25 years. HUL is the market leader in Indian consumer products with presence in over 20 consumer categories such as Soaps, Tea, Detergents and Shampoos amongst others with over 700 million Indian consumers using its products. It has over 35 brands. Sixteen of HULs brands featured in the AC Nielsen-Brand Equity list of 100 Most Trusted Brands Annual Survey (2008). According to Brand Equity, HUL has the largest number of brands in the Most Trusted Brands List. Its a company that has consistently had the largest number of brands in the Top 50 and in the Top 10 (with 4 brands). Hindustan Unilever distribution covers over 1 million retails outlets across India directly and its products are available in over 6.3 million outlets in India, i.e. nearly 80% of the retail outlets in India. It has 39 factories in the country. Two out of three Indians use the companys products and HUL products have the largest consumer reach being available in over 80 per cent of consumer homes across India. The Anglo-Dutch company Unilever owns a

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majority stake (52%) in Hindustan Unilever Limited. HUL was one of the eight Indian companies to be featured on the Forbes list of Worlds Most Reputed companies in 2007 .

SWOT ANALYSIS OF HINDUSTAN LEVER LIMITED STRENGTHS

1] DEEP ROOTS IN LOCAL CULTURE & MARKETS & GREAT UNDERSTANDING OF CONSUMER NEEDS. 2] WEALTH OF LOCAL KNOWLEDGE & INTERNATIONAL EXPERTISE HELPS IT TO BE GLOBALLY COMPETITIVE. 3] EXCEPTIONAL HIGH QUALITY STANDARD PRODUCTS. 4] NEW INNOVATIVE IDEAS & PRODUCTS. 5] HIGHILY PROFESSIONAL MANAGEMENT. 6] EXCELLENT DISTRIBUTION NETWORK & GOOD RELATIONSHIP WITH THE WHOLESALERS & RETAILERS. 7]CONTINOUS EFFORTS TO REDUCE COST & PASS ON BENEFIT TO CONSUMERS. 8] GOOD REPUTATION & GOODWILL IN THE MARKET FOR ITS PRODUCTS. 9] GOOD ADVERTISEMENTS SO AS TO MAKE THE CONSUMERS AWARE OF ITS PRODUCTS,USES & PRICE & ALSO HAVE A LASTING IMPRESSION BY CATCHY ADS.

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10] EXCELLENT BRAND MAKING CAPABILITY. IT HAS 110 BRANDS OUT OF WHICH 30 ARE POWER BRANDS (IE, LEADER IN MARKET SHARE WITH HIGH GROWTH POTENTIAL) 11] ABILITY TO PROVIDE GOOD QUALITY GOODS TO MIDDLE CLASS AT REASONABLE RATES & ALSO CATER TO THE PREMUIM SEGMENT FOR THE UPPER CLASS. 12] VERY HIGH MARKET PRICE PER SHARE COMPARED TO THE FACE VALUE. 13]GOOD RETURNS BY WAY OF DIVIDEND PER SHARE EVERY YEAR.LAST YEAR 5/- RS DIVIDEND PER SHARE. 14]STEADY INCREASE IN THE RETURN ON CAPITAL EMPLOYED. 15] CONTINOUS INCREASE IN EARNING PER SHARE (EPS) 16]GOOD CASH RESERVES. 17]EXCELLENT PAST PERFORMANCES FOR A NUMBER OF YEARS. 18]ABILITY TO MANAGE DIVERSE BUSINESS 19]HAVING UNILEVER AS PARENT COMPANY GIVES IT A GLOBAL PRESENCE. 20]EXCELLENT RESEARCH & DEVELOPMENT. 21]USE OF RS-NET A WEB ENABLED CUSTOMER MANAGEMENT SYSTEM TO ESTABLISH TWO WAY CONNECTIVITY WITH STOCKIST. 22] USING INFORMATION TECHNOLOGY TO CONNECT SUPPLY CHAIN 23] EXCELLENT FINACIAL SUPPORT FROM BANKS & FINANCIAL INSTITITUIONS. 24]GOOD FINACIAL LIQUIDITY & ALSO ABILITY TO COMPLETE PROJECTS ON TIME. 25] GOOD EXPORT EARNINGS

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WEAKNESS
1]DIVERSIFICATION INTO VARIOUS LINES IN WHICH IT DOES NOT HAVE MUCH KNOWLEDGE WOULD BE VERY RISKY PROPOSITION. 2] HIGH COMPETITION FROM ESTABLISHED BRANDS WHICH HAS RESULTED IN REDUCTION IN PROFIT MARGINS. 3] NON FMCG PRODUCTS ARE LOSING GROUND & THEIR MARKET SHARE & SALES HAVE BEEN DECLINING. 4]WORKING CAPITAL TURNOVER IS NEGATIVE. 5]UNALE TO MAKE A BIG IMPACT IN RURAL AREAS. 6] COMPETITION FROM ITS OWN BRANDS ( LUX, LIRIL, LIFEBUOY )

OPPORTUNITIES
1]BIG UNTAPPED MARKET AVAILABLE., ESPECIALLY THE RURAL AREAS. 2]GROWTH POTENTIAL IS HIGH FOR THE POWER BRANDS. 3]GOOD SOURCE OF REVENUE & FOREIGN EXCHANGE AVAILABLE BY WAY OF EXPORTS OF ITS PRODUCTS. 4]ITS COMPETITORS DONT HAVE THE FIANACIAL BANKING LIKE IT SO IT CAN TAKE ADVANTAGE OF THIS. 5]DUE TO GOOD REPUTATION IT MAY EXPERIMENT & INTRODUCE NEW INNOVATIVE PRODUCTS IN THE MARKET. 6] THE FOOD,CULINARY & ICECREAM CATEGORY HAVE A LOT OF GROWTH POTENTIAL AVAILABLE

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THREATS
1] HIGH COMPETITION FROM ESTABLISHED BRANDS.(NIRMA,COLGATE, P&G) 2] COMPETITION FROM UNBRANDED PRODUCTS. 3] COMPETITION FROM ITS OWN BRANDS.( LUX,BREEZE,LIRIL) (PEPSODENT & CLOSE UP) 4]POOR MONSOON LEADS TO POOR GROWTH DUE TO LACK OF PURCHASING POWER BY THE RURAL AREAS. 5]NEGATIVE WORKING CAPITAL TURNOVER MAY LEAD TO SHORT TERM INSTABILITY. 6] ITS FOOD,CULINARY, ICECREAM SEGMENT & BEVERAGE SEGMENT ARE FACING REDUCTION IN SALES & HENCE INNOVATION REQUIRED TO MEET THREATS OF COMPETITIORS.

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Key Highlights
Hindustan Unilever Limited (HUL) is one of Indias largest fast moving consumer goods companies. It is a subsidiary of Unilever. The company along with its subsidiaries, is engaged in the production and distribution of soaps and detergents, personal products, beverages, foods, ice creams, exports and others products such as chemicals and agri products. The major brands of the company include Lux, Hamam, lifebuoy, Dove, RIN, Surf, Wheel, Sunlight, Vim, Fair & Lovely, Clinic Plus, Sun Silk, Close-up, Pepsodent, Lakme, Brook Bond and others. The company has 13 subsidiary companies and over 37 manufacturing plants located across India. The distribution network of the company consists of 2,000 suppliers and associates and 4,000 redistribution stockiest and covers 6.3 million retail outlets. HUL sells its products in about 100 countries worldwide. The company is headquartered in Mumbai, Maharashtra, India.

Obeying the Law

HUL companies and employees are required to comply with the laws and regulations of the countries in which they operate.

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Employees
HUL is committed to diversity in a working environment where there is mutual trust and respect and where everyone feels responsible for the performance and reputation of the company. HUL will recruit, employ and promote employees on the sole basis of the qualifications and abilities needed for the work to be performed.

HUL are committed to safe and healthy working conditions for all employees. We will not use any form of forced, compulsory or child labour

HUL are committed to working with employees to develop and enhance each individual's skills and capabilities.

HUL respect the dignity of the individual and the right of employees to freedom of association.

HUL will maintain good communications with employees through company based information and consultation procedures.

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Consumers
HUL is committed to providing branded products and services which consistently offer value in terms of price and quality, and which are safe for their intended use. Products and services will be accurately and properly labelled, advertised and communicated. HUL will conduct its operations in accordance with internationally accepted principles of good corporate governance. They will provide timely, regular and reliable information on their activities, structure, financial situation and performance to all shareholders.

Business Partners
HUL is committed to establishing mutually beneficial relations with their suppliers, customers and business partners.In their business dealings they expect their partners to adhere to business principles consistent with their own.

Community Involvement
HUL strives to be a trusted corporate citizen and, as an integral part of society, to fulfill their responsibilities to the societies and communities in which they operate.

Public Activities
HUL companies are encouraged to promote and defend their legitimate business interests. HUL will co-operate with governments and other organizations, both directly and through bodies such

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as trade associations, in the development of proposed legislation and other regulations which may affect legitimate business interests.

HUL neither supports political parties nor contributes to the funds of groups whose activities are calculated to promote party interests.

Innovation
In their scientific innovation to meet consumer needs they will respect the concerns of their consumers and of society. They will work on the basis of sound science, applying rigorous standards of product safety.

Competition
HUL believes in vigorous yet fair competition and supports the development of appropriate competition laws. Their companies and employees will conduct their operations in accordance with the principles of fair competition and all applicable regulations.

Business Integrity
HUL does not give or receive, whether directly or indirectly, bribes or other improper advantages for business or financial gain. No employee may offer, give or receive any gift or payment which is, or may be construed as being, a bribe. Any demand for, or offer of, a bribe must be rejected immediately and reported to management.

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HUL accounting records and supporting documents must accurately describe and reflect the nature of the underlying transactions. No undisclosed or unrecorded account, fund or asset will be established or maintained.

Conflicts of Interests
All HUL employees are expected to avoid personal activities and financial interests which could conflict with their responsibilities to the company. HUL employees must not seek gain for themselves or others through misuse of their positions.

Compliance Monitoring Reporting

Compliance with these principles is an essential element in their business success. The Unilever Board is responsible for ensuring these principles are communicated to, and understood and observed by, all employees.

Day-to-day responsibility is delegated to the senior management of the regions and operating companies. They are responsible for implementing these principles, if necessary through more detailed guidance tailored to local needs.

Assurance of compliance is given and monitored each year. Compliance with the Code is subject to review by the Board supported by the Audit Committee of the Board and the Corporate Risk Committee.

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Any breaches of the Code must be reported in accordance with the procedures specified by the Joint Secretaries. The Board of Unilever will not criticize management for any loss of business resulting from adherence to these principles and other mandatory policies and instructions.

MARKET SHARE (TOTAL IN USD)

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Market Share as per Products

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CONCLUSION
This SWOT Analysis company profile is a crucial resource for industry executives and anyone looking to quickly understand the key information concerning Hindustan Unilever Limiteds business.

Business Reviews Hindustan Unilever Limited SWOT Analysis & Company Profile reports utilize a wide range of primary and secondary sources, which are analyzed and presented in a consistent and easily accessible format.

Through the findings of this project we can conclude that Hindustan Unilever was the most preferred Brand in India. It has wide range of products varying from Home care to food care and Other FMCG categories. It has also launched water purifier. It was listed in ET-500 ranking of Indias biggest Companies and its ranking was number 32. Hindustan Unilever was the market leader in majority of the categories. Though it was popular but its advertising expenditure was also huge. It has increased its expenditure upto 26% in FY11. The net sales was Rs 5,475 crore in this period. According to Senior executive Harish Manwani the company was strengthening its competiveness through advertising and they see improved turnover in the near future. Thus I can state that HUL is ready to improve its product awareness in order to capture the majority of the market. Competitors beware the Big Bull is coming to crush you

AHSAN KHAN

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Scope
Examines and identifies key information and issues about (Hindustan Unilever Limited) for business intelligence requirements Studies and presents Hindustan Unilever Limiteds strengths, weaknesses, opportunities (growth potential) and threats (competition). Strategic and operational business information is objectively reported. The profile contains business operations, the company history, major products and services, prospects, key competitors.

AHSAN KHAN

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BIBLOGRAPHY
BOOK ON STRATEGIC BUSINESS MANAGEMENT BY KENITH JUILLER AND CRAIG SMITH BOOK ON STRATEGIC BUSINESS MANAGEMENT BY ANITA BOBADE BOOK ON STRATEGIC BUSINESS MANAGEMENT BY SUNNY FERNANDES

WEBLIOGRAPHY
www.google.com www.managementparadise.com www.scribd.com www.wikipedia.com www.hul.com

AHSAN KHAN

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