Tuesday, March 25, 2014

Essentials of Effective segmentation

Essentials of Effective segmentation
The five main essentials of effective segmentation to ensure that it is effective are that they must be measurable, actionable, accessible, substantial and differential. If each of these requirements are met a market segment then market segmentation is likely to occur in a successful and effective way.
  • Measurable. A market segment must be measurable in terms of its size in purchasing power and profiles. While there are some aspects of segmentation that are difficult to measure, wherever possible it is a process that should be doable.
  • Actionable. In order for effective segmentation to occur a market segment must also be actionable. This means that effective programs can be designed for serving and attracting the segments.
  • Accessible. A market segment should also be accessible, i.e. They should be easy to reach and serve.
  • Substantial. For effective segmentation, a market segment should be large or profitable enough to serve. They should be the largest possible homogeneous group that is worth pursuing with a marketing program that has been tailored.
  • Differential. Market segments need to be distinguishable conceptually and must respond in different ways to the different marketing mix programs and elements.
These requirements help determine whether market segments will contribute towards effective segmentation or not. Breaking down the requirements into these categories allow them to be analyzed and addressed individually to make the process as efficient as possible.

An effective process of market segmentation makes it possible to break down people or organizations into sub sets that share one or more characteristics. This causes them to demand a product or service that is based on qualities of these functions.

While market segments may be theoretically 'ideal', they are actually developed quite differently by different organizations. These ideals are developed in accordance to a product differentiation strategy in order to give a company a temporary commercial advantage.

Long term External Finance for a Multinational Comapny

Long term External Finance for a Multinational Comapny (MNCs)

A multinational company can raise operating funds through a medley of sources, mostly by leveraging the expansive scope of its activities and its connection with global financial centers. These sources run the gamut from equity issuance and sales of debt products to government subsidies and financing agreements through private channels.

1.      Equity Issuance
A cash-strapped global organization works in tandem with investment bankers to analyze conditions on global equity markets, determine the best time for stock issuance and figure out better ways to prevent money problems in the future. Given its global presence, the business effectively can cope with a dearth of affordable financing on the domestic front, drawing up strategies to raise money overseas. The major equity markets where a multinational company can raise money range from the New York Stock Exchange and the Tokyo Stock Exchange to the London Stock Exchange and the Hong Kong Stock Exchange.
2.      Selling Debt Products
In discussing external financing options, the top leadership of a multinational company may get wistful at the mention of bond issuance. This is because the practice involves a thorough understanding of international credit markets and investor risk appetite, along with a keen awareness of the regulatory procedures the organization must follow to register its bonds before selling them. Bonds -- also known as debentures -- are debt products a multinational firm issues on global markets, most of which also serve as platforms for stock issuance. Simply put, the organization can sell bonds and stocks on the same exchange. Besides bonds, a global business can fund its operations by selling commercial paper, which is a debt instrument that becomes due within 270 days.
3.      Private Sources
A multinational organization often relies on private sources to cope with commercial tedium, understand the operational magnitude of a temporary cash crunch, and figure out the best ways to master the competitive currents in a sector or country. When in need of fresh money, the business can reach out to private lenders, such as banks and insurance companies. Given its international footprint, the company may negotiate a loan or line of credit arrangement with a bank's home-country management and direct segment chiefs to follow up with the financial institution's local branches. A global company also can raise cash through hedge funds, private equity funds and asset management companies.
4.      Government Subsidies
To foster economic prosperity and expand industrial activities in a sector, public officials grant subsidies to multinational companies that meet certain requirements. For example, the government provides grants to domestic businesses engaging in oil and gas exploration overseas or those with significant export businesses.

Thursday, March 06, 2014

SEATS Projection for the General Election -2014 (Lok Sabha)

BHARTIYA JANATA PARTY     (BJP)                    185

INDIAN NATIONAL CONGRESS (INC)                  105

AITMC                                                                             20

DMK                                                                          09
AIADMK                                                                    18
SAMAJWADI PARTY                                              14
RASTRIYA LOK DAL                                               1
SAD                                                                              10
SHIV SENA                                                                  5
NCP                                                                                10
 RJD                                                                                 6
LJP                                                                                    5
BSP                                                                                  11
TDP                                                                                   11
TRS                                                                                     8
YRS CONGRESS                                                               7 
LEFT FRONT                                                                    14
BJD                                                                                       18
AAP                                                                                        4
JANATA DAL (UNITED)                                                      9
JANATA DAL (SECULAR )                                                   2
OTHERS / MARGIN'S SEATS                                              71