Corporate Strategy Analysis Essay

INDIAN INSTITUTE OF MANAGEMENT, KOZHIKODE
EPGP-6th Batch

Project on ‘Corporate Strategy analysis’ of Daikin Industries Limited

Group Members

(1) Devendra Sikarwar EPGP-06-019
(2) Partha Pratim Debnath EPGP-06-038
(3) Piyush Ranjan Mishra EPGP-06-040
(4) Jitendra Nagrare EPGP-06-160

DAIKIN INDUSTRIES LTD

Daikin Industries Ltd was founded in 1924 with the aim to provide world-class airconditionining and air filtering solutions.Daikin is now having presence in Japan, China, South East Asia, Europe and North America.

Daikin has many firsts to its credits in its lifetime.
 Daikin first pioneered air-conditioning package in 1951
 Daikin built world’s first Variable Refrigerant Volume (VRV) System in 1982
 Daikin

But afterwards the company moved out to a well-crafted strategy to capture a higher size of the Indian market. It has succeeded in an incredibly in short period of over the years.

In India, company makes the ACs in all three segmentation i.e. residential, commercial and industrial uses. In different way, the hustle and bustle at the unit signals Daikin's growing footprint in India. In India, in year 2009-10, company sold 34,000 ACs, and was ranked seventh among all AC makers in India. But by year 2012-13, this figure had full-fledged to a spectacular 12 times in volume to about 400,000 units In India out of which there was about 85 per cent of its sales was of residential ACs Market.
Company has also improved its revenues many times as from Rs 440 crores in year 2009-10 to Rs 1,800 crores in year 2012-13. Now, it is the second-largest AC maker in India after Voltas in terms of revenue earned by company, according to Registrar of Companies data available with the company. In 2013/14, the firm hopes to clock sales of Rs 2,200 crores. This achieved by building a diverse product portfolio for such huge

The unavailability of unwavering power supply and accompanying difficulties are still widespread in India which will have an adverse impact on the air conditioning market which is currently growing at 10 percent. Hence Daikin should focus the market on a more realistic approach. This strategy should be followed across geographies.
8. Promoting to strengthen the business structure and expanding the room heating business
Daikin should have all supporting measures for strengthening the business solution as a key part for promoting the development of Medium to long- term. There must be change in the structural and organization reforms as per the business. By leveraging the core competitive strengths Regarding Products, company should address the peripheral service need such as engineering installations and operation of air conditioning systems with instrumentation and Control system. Daikin should think to launch new room heating system as per the needs of local market needs.
9. Addressing Electric Power Conservation needs and pioneering new