Introduction & Background

Client , headquartered in the United States, stands as a global leader in confectionery, renowned for its extensive range of chocolates, baked goods including cookies and cakes, and a variety of beverages such as milkshakes. Founded in 1894, The Client has grown into an USD 8.97 billion powerhouse with a significant global footprint, solidifying its position as one of the largest chocolate manufacturers worldwide.

Objective: To expand its footprint in India by enhancing its market presence beyond its existing joint venture with the Indian multinational conglomerate.

Tecnova’s Role

Market Understanding Study: Conducted comprehensive market analysis to understand the dynamics and potential of the Indian market. Analyzed competitors' strategies and market positioning to identify opportunities and challenges. Assessed the distribution structure to optimize reach and efficiency. Evaluated the regulatory environment to ensure compliance and mitigate risks.

Validation of Business Plan by Indian Partner (Indian Multinational Conglomerate): Incorporated local market insights and market feedback to enhance strategic alignment and operational feasibility.

Formulation of Business Plan by Tecnova: Developed a comprehensive business plan tailored to Client's objectives and the Indian market dynamics. Outlined strategic initiatives, operational milestones, and financial projections to guide Hershey's expansion efforts in India.

Conclusion

Client's gained a comprehensive insight into the Indian market dynamics, competitive landscape, distribution channels, and regulatory requirements. A detailed and actionable business plan was formulated by Tecnova, providing a clear roadmap for Client's market entry and expansion efforts in India.

Strategic Recommendation: Based on in-depth analysis, Tecnova recommended Client's to establish their own operations in India rather than continuing with a joint venture.

Separation from Joint Venture: In 2012, Client and Indian multinational conglomerate amicably parted ways, allowing Hershey to operate independently in India.

Significant Market Success: By 2023, Client India achieved net sales of approximately USD 70 million, reflecting successful market penetration and growth.