Strategic Management,1/e

CASE STUDY 4

KEELS FOOD PRODUCTS PVT LTD—WEATHERING MARKET REACTIONS, RIDING ON INTERGOVERNMENTAL AGREEMENTS

The chairperson of Venkateswara Hatcheries, the leading poultry meat products company in India, Ms Anuradha Desai, in 2001 has complained to the Chief Minister of Tamil Nadu and Karnataka on the practice of developed countries dumping processed chicken into the country. The reason for the grievance is another company based in Colombo, selling chicken sausages at ₹215 a kg, hurting local players. She asserted that 1 kg of dressed chicken costs ₹60 and processing to sausages costs ₹175 a kg. Then paying the import duty and dealers margin, she wonders how Keels could sell at an MRP of ₹215. She alleges that Keels might be importing chicken ...