Case Name :      Cargill India Pvt.Ltd.

Authors :           Dante Pirouz, Ramasastry Chandrasekhar

Source :             Ivey Publishing

Case ID :            W13338

Discipline :        Marketing

Case Length :    14 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

Cargill Inc., a U.S.-based multinational company, is known for its skills in business-to-business (B2B) marketing. It processes food products and markets them in bulk to large institutional buyers with whom it has a strong customer orientation. However, the head of the refined edible oils business at Cargill India, the company’s fully owned subsidiary, is facing a problem with the parent company’s value proposition around B2B. While developing the annual marketing plans for the next financial year, he finds that the volatility of commodity price movements has made the task of revenue forecasts at Cargill India difficult. This volatility is compounded by frequent changes introduced by the federal government to official regulations governing the edible oil business in India. In order to gain control over the two variables, he is examining the prospect of moving into the business-to-consumer (B2C) space in India. This is a new strategic direction not only for the Indian subsidiary but also for Cargill Inc. Can he achieve buy-in not only from the parent company but also from his own managers? Will he be able to attract marketing professionals who can promote his new brands successfully to the Indian consumer?