Question

What are cos tinoers Wherc an the largest mayains be achieve d Describe the ca Js the economy in a boonD on bus phase enera mayket What is the sate of apital marce How easy is obtan fondr the bosines How good is the inrasturtur How wowld you trade access t SUpbhers an cost mel.

answer these in keywords or a sentence for MAHINDRA AGRIBUSINESS

Answer 1

With Mahindra Agribusiness,

Customers are willing to pay price which is affordable and available on basis of credit linked schemes.

The economy is in booming phase in India where the firm operates, however situation for farmers who are target customers tell different story as they have high debt and lower disposable incomes

Capital markets are lineant in terms kf credit availability and is more stable alongwith better accessibility of credits for purchases.

Infrastructure is nascent and in developing phase which needs more investment and collaboration within competitors to bring economies of scale.

Largest margins are achieved in Semi rural and mid urban areas with higjer state wise GDP per capita.

General market conditions in this sector is perfectly competitive with players havibg similar market shares and much easier entry to sector.

Funding is relatively easier due to relaxed norms by NBFC towards agriculture sector as well as opening up of FDI and FII which has eased credit supply.

Trade has seen vertical integration within suppliers in manufacturing chain. Also customers are price sensitive and easily migrate towards least cost pricing with better availability.