Home About IUP Magazines Journals Books Amicus Archives
     
A Guided Tour | Recommend | Links | Subscriber Services | Feedback | Subscribe Online
 
Effective Executive Magazine:
Refrigerator Industry in India
:
:
:
:
:
:
:
:
:
 
 
 
 
 
 
 

"Refrigerator Industry in India" examines the evolution of the industry in India over the years. It examines the structural changes in the industry after liberalization of the Indian economy. It also takes a look at the different types of refrigerators available and examines their characteristics. In addition, the article explores characteristics of the refrigerator industry in India and the major players. The distribution channels used by the major players are also discussed in detail. The article ends with a description of the future of the industry in India.

Refrigerators have been manufactured in India since 1950s. Till the 1980s, players like Godrej, Kelvinator, Allwyn and Voltas controlled almost 90% of the market. Earlier, the white goods sector was categorized as a luxury goods industry and was subject to oppressive taxation and licensing. The situation changed after liberalization of the economy in the early 1990s. The Government removed all restrictions, and now there is no restriction on foreign investment, and licenses are no longer required. Post-liberalization, a number of foreign companies entered the market and many domestic players also diversified into refrigerators. BPL and Videocon who already had a presence in the consumer electronics market, leveraged their strengths to enter the durables sector.

In India, refrigerators have the highest aspirational value of all consumer durables, with the exception of televisions. This accounts for the high growth rate of the refrigerator market which has been growing at a rate of about 15% per year, while the consumer durables industry as a whole has grown at almost 8%.

The size of the refrigerator market is estimated to be 3.5- 4 million units approximately, valued at Rs. 50 bn. The domestic penetration rate of refrigerators is about 9%. The penetration is considerably higher in urban areas, which account for 75% of the demand, with rural areas constituting the other 25%. The demand is also higher in the northern and western parts of the country than in the east.

 
 

Refrigerator Industry in India, evolution,industry in India, structural changes, liberalization, Indian economy, types of refrigerators, article explores, characteristics, refrigerator industry, major players, distribution channels future of the industry in India, General Management, Strategic Management, Knowledge Management, Leadership, Marketing, Operations Management, HRD, Information Technology, Governance and Ethics.