INTEGRATED PROJECT
PRESENTATION
POORNA MADAN
PGFMG - 3
OBJECTIVE
• To pick up a brand and study about it in details
• Give a business proposal and explain how it will work
•What are the strategies that it will have to follow in order
to penetrate better in the market
• To show the entire planning of the project from scratch to
how it will be launched
THE CONCEPT
• To introduce the brand ZARA HOME in India
• Bring fashion into the homes of the people and
change the meaning of home décor
• Take the brand ZARA to another level
•
RATIONALE
THE MARKET:
• The furnishing market in India is booming
• Expected to touch 20,000 crores by 2012
• Has an average growth of 12%
THE BRAND
• Zara is now a well established
brand in India, benefit for zara home
• Contributes 4% to the GDP
• Provides employment to 15 million people
• It is the bed and bath segment that dominates the
genre taking up two thirds of the furnishing
segment.
• The shift in the industry toward branded products
has become more pronounced in the recent past
(exposure to international brands)
nhttp://www.chillibreeze.com/articles_various/furnishing-textiles.asp
.
(http://www.india-reports.com/summary/documents/wp-home-furnishing-051108.pdf
• People trust the brand, loyal
• Zara home is doing good in the
International market
• Since 2003, 293 stores in 28
countries and still expanding
PROJECT SCOPING FORM
PROJECT NAME: Getting zara home to
India (Brand extension)
PROJECT MANAGER/TEAM MEMBERS:
Poorna Madan
PROJECT GOAL: To bring Zara home to
India and creating awareness about the
new line of home decor.
SUCCESS CRITERIA:
• Meeting potential customers
• Meeting people who have visited zara
home abroad
• Introducing the concept of fashionable
home decor and taking the furnishing
market to another level
OPPORTUNITY:
• Huge market of furnishing in India, expected to reach
20,000 crore by 2012
•Introducing a new concept of Fashionable home decor
• Zara is already an established brand in India and doesn’t
need any efforts to make people aware about the brand
• Zara home is doing well in other countries, it has 293
stores in 28 countries
OBJECTIVES:
• To study the furnishing market before establishing the brand in
India
• To study the market and understand the potential customers
• Then accordingly deciding on the strategies to be used
• To establish its name in the home furnishing market just like it
has established itself in the clothing line
ASSUMPTION: The name is so well accepted in India
because of its clothing lines that people will try its
home decor products too
RISKS :
Existing brands in the market
OBSTACLES:
No store in India in order to understand its
functioning in details
RESEARCH METHODOLOGY
RESEARCH OBJECTIVE 1: To study the brand Zara in details and understand its strategies and working
RESEARCH DESIGN: Exploratory and Descriptive
DATA COLLECTION METHOD: Primary (from stores, work staff), Secondary (internet, articles, essays)
RESEARCH OBJECTIVE 2: To study the furnishing market and do the market analysis
RESEARCH DESIGN: Exploratory
DATA COLLECTION METHOD: Secondary
RESEARCH OBJECTIVE 3: To understand what people think of the brand ZARA.
RESEARCH DESIGN: Descriptive
DATA COLLECTION METHOD: Primary (Brand audit)
SAMPLE DESIGN: Sample units: Women Sample size: 15 Sample technique: Judgemental
RESEARCH OBJECTIVE 4: To understand the customers of home furnishing products and what they think of
ZARA HOME coming to India
RESEARCH DESIGN: Descriptive
DATA COLLECTION METHOD: Primary (Questionnaire)
SAMPLE DESIGN:
Sample units: Women between the age of 25 - 45
Sample size: 50
Sample technique: Judgemental
RESEARCH OBJECTIVE 5: To study about Zara Home and its working strategies in other countries
RESEARCH DESIGN: Exploratory
DATA COLLECTION METHOD: Secondary
SWOT ANALYSIS
STRENGTHS
WEAKNESS
Well established
They play with limited colors
Brand strong customers
Indian culture demands bright
colors too
No fashion brand has home décor
Fast fashion
SWOT
OPPORTUNITIES
Booming market in India
THREATS
Increase in demand of branded
goods
Another fashion brand with same
concept
(exposure to international
brands)
No acceptance
INDITEX (PARENT COMPANY)
• Inditex - large Spanish corporation, the world's largest fashion
group
• Headquarters – Arteixo, in the province of A Coruña, Galicia,
north western Spain.
• Runs over more than 5,000 stores worldwide
• BRANDS - Zara, Zara home, Massimo
Dutti, Bershka, Oysho, Pull and
Bear, Stradivarius, Tempe and Uterqüe, and also a low cost
brand Lefties
• 2008 – Took over GAP
INDITEX BY 2011:
• On April 20, 2011 - first Zara flagship in Australia
• Made its presence in 5 continents, 78 countries
• Full-year sales growth of 13% to Euro 12.53 billion
• Net worth – US$31 Million
http://www.inditex.com/en/who_we_are/our_group
http://www.retailangle.com/companynewslisting.asp?company_name=Zara&display_name=Zara)
BRAND VISION
• To be in tune with the customers and provide
them with what they wish
• To continuously increase its number of stores
and have it’s presence everywhere
• Expand itself online
BRAND MISSION
ZARA contribute to the sustainable development of
society and that of the environment with which we
interacts
BRAND PHILOSPHY
Short lead time = more fashionable clothes
Lower quantities = scarce supply
More styles = more choice and more chances of hitting it right.
ZARA
• Founded in 1975 by Amancio Ortega
• Flagship store of Inditex
• Strategy of Fast fashion
• Unusual strategy of 0 advertising
• 1980 – international expansion with
Portugal
• 1989 – U.S.A
• 1990 - FRANCE
ZARA NOW : 2011
• 1557 STORES IN 73 COUNTRIES, STILL COUNTING
• 44th most valuable global brands released by brand consultancy Interbrand,
Leaving behinh high end fashion brands like HERMES, BURBERRY
http://www.inditex.com/en/press/other_news/extend/00000887
http://www.interbrand.com/en/Default.aspx
• Zara - valued at USD 8,065 million (EUR 6,056.5 million) 8% higher than the
previous year
http://thirdeyesight.in/articles/ImagesFashion_Zara_Part_I.pdf
MARKET ENTRY STRATEGY
FOLLOWS TRHEE TYPES OF STRATEGIES:
• COMPANY OWNED – MAXIMUM STORES
• FRANCHISING:– SMALL AND RISKY
COUNTRIES
Eg: Andorra, Iceland, Poland, and the Middle
Eastern countries
• JOINT VENTURE – LARGER, IMPORTANT
MARKETS, BARRIER IN DIRECT ENTRY
Eg: Germany, Japan, India
MARKET ENTRY IN INDIA:
JOINT VENTURE WITH TRENT LIMITED
FDI REGULATION – 49% HOLD WITH THE LOCAL RETAILER
REF. HAVARD CASE STUDY
ZARA INDIA
• Launched first store – May 29, 2010, Select city
walk (Saket), 18,000 sq. ft
• Within 1 WEEK – Promenade and Palladium mall
Mumbai
• Joint venture with Trent Limited
• City walk - Highest one day sale recorded by an
international retailer (90 lakh)
• Monthly sales of 4-5 crore at every store
• 2011 – 6 stores
http://www.thirdeyesight.in/articles/zara_pitch.htm
PRODUCTS
Woman collection:
•Coats
•Blazers
•Dresses
•Skirts
•Trousers
•Jeans
•Knitwear
•Shirts
•T-shirts
•Shoes
•Handbags
•Accessories
TRF collection:
•Coats
•Jackets
•Dresses
• Skirts
•Trousers
•Jeans
•Knitwear
•Shirts
•T-shirts
•Shoes
•Handbags
•Accessories
KIDS
•Girls ( 2- 14 years)
•Boys (2-14 years)
•Baby girl (3- 36 months)
• Mini (0-9 months)
Man
•Coats and trench
coats
•Jackets
•Blazers
•Suits
•Knitwear
•Shirts
•T- shirts
•Trousers
•Jeans
•Basics
•Shoes
•Bags
•Accessories
•Home wear
STRATEGY:
NEW PRODUCTS – 10 DAYS
12,000 DESIGNS EVERY YEAR
ARTIFICIAL SCARCITY OF PRODUCTS = INCREASE IN
SALES
PRICE
Zara's scarcity climate allows the company to sell more items at full price
The woman collection starts at Rs. 990 and goes up to
12,990 in case of overcoats and jackets
The TRF Collection:
Starts at Rs. 250 (Ganjees) and goes up to Rs, 5,690
The man collection :
Starts at Rs. 990 and goes up to Rs 11,990
The kids collection starts at Rs. 450 and goes up to Rs. 3,690
PLACE
DELHI – 3 STORES
• Select citywalk, Saket
• DLF Promenade, Vasant Kunj
• Pacific Mall, Tagore Garden
MUMBAI – 1 STORE
• Palladium commercial centre
PUNE – 1 STORE
• Pheonix market city
STRATEGY:
Inditex for Zara opens stores and outlets that
provide the Zara experience at high profile
locations to set the image of the brand as
being trendy, hip, high fashion
and accessible
BANGALORE – 1 STORE
• Whitefield ( 3RD November 2011)
PROMOTION
Strategy of 0 advertising
Spends only .3% of its sales on promotion and advertising
PUBLIC RELATION TOOLS:
• Stores
• Launch event – RED CARPET
• Catalogues, look books, campaigns (website)
• Facebook
• Style shoots
PERSONAL SELLING:
• Newsletters
BELOW THE LINE ACTIVITY:
• Cash back
THE BRAND ‘ZARA’
ZARA BY IT’S FOLLOWERS
What comes to your
mind when you hear the
brand name ZARA?
Fast fashion, innovation, value for money, huge
store, its logo, bright colours at the trf section,
puffed sleeves t-shirts
What do you feel of
others who wear Zara?
What do you feel of
yourself when you wear
Zara?
What other brands are
you aware of which are
like Zara?
How do you compare
the brand Zara with
other brands?
Experimental, brand conscious, well dressed,
trendy, updated with fashion
Stylish, confident, happy, content, comfortable,
chic, exclusive, fresh
Nothing beats Zara, Forever 21, Vero moda, Mango,
Promod
Not fast but fastest fashion, Variety, price,
availability of colours, quality
BRAND IDENTITY PRISM
PICTURE OF SENDER
PHYSIQUE
PERSONALITY
INNOVATIVE,
TRENDSETTER, MAGNETIC,
THE LOGO, THE STORE
E
X
T
E
R
N
A
L
I
Z
A
T
I
O
N
RELATIONSHIP
DEPENDENT ON THE
BRAND, GOOD
QUALITY, AFFORDABLE
PRICE
FASHIONABLE, FRESH,
CHIC, TASTEFUL
KAPFERER’S
BRAND IDENTITY
PRISM
CULTURE
EUROPEAN, SUSTAINABLE,
FAST FASHION
SELF IMAGE
REFLECTION
CONFIDENT, STYLISH
UPDATED, TRENDY,
EXPERIMENTAL, ONE
OF THEM
CONTENT
PICTURE OF RECIPIENT
I
N
T
E
R
N
A
L
I
Z
A
T
I
O
N
I LOVE ZARA: MEMORIES AND THOUGHTS
“MY TRIP TO A MALL IS INCOMPLETE IF I DON’T VISIT
ZARA”
“I LOVE ZARA SOO MUCH THAT IF IT WAS A MAN I
WOULD HAVE MARRIED HIM, LOL!!”
“ I DEPEND ON ZARA , IF I HAVE TO GO SOMEWHERE AND
NEED SOMETHING TO WEAR I KNOW I WILL FIND SOMETHING
AT ZARA”
“I CAN NEVER FORGET MY 21ST BIRTHDAY DRESS THAT I GOT
FROM ZARA 2 YEARS BACK, I LOVE IT!!”
“MY BOYFRIEND GIFTED ME 2 DRESSES FROM HIS FIRST SALARY,
THE DRESSES ARE VERY PRECIOUS TO ME“
VALUE PROPOSITION
FUNCTIONAL BENEFITS: EASY ACCESS TO
LATEST FASHION AT AN AFFORDABLE
PRICE
EMOTIONAL BENEFITS: WEARING THE
LATEST FASHION, HAVING THE BEST OF
CLOTHES , CONTENT
SELF EXPRESSIVE BENEFITS: STYLISH,
EXCLUSIVE
ZARA HOME
• Youngest commercial format by Inditex
• Created in 2003
• Part of Zara
• Most of its products are textiles: bed, table and
bathroom linens
• Brings Fast fashion to home furnishing
• Has 295 stores in around 30 countries
PRODUCTS TO BE LAUNCHED
BEDROOM
BATHROOM
LIVING ROOM
TABLEWARE
HOMEWARE
BODY AND BATH
MERCHANDISE MIX
PRICE
The pricing would be similar to that in DUBAI.
(REFERED)
The products would be between the range of Rs.
500 – Rs. 20,000
BEDROOM: Rs. 950 – Rs. 15,000 (for some specific quilts)
BATHROOM: Rs. 450 – Rs. 3000
DINNERWARE: Rs. 900 – Rs. 8000 (dinner sets)
LIVINGROOM: Rs. 900 – Rs. 18,000 (some rugs)
HOMEWEAR: Rs. 900 – Rs. 3000
BATH AND BODY LINE: Rs. 250 – Rs. 1500
PROMOTION
Zara already has a very strong name, benefit
for Zara Home
PUBLIC RELATION:
• CATALOGUE, LOOKBOOK, CAMPAIGNS
• FACEBOOK – Creating a Zara home India page,
posting about its opening on the Zara clothing page
• EVENT: Red carpet event in the store, only by
invitation done by propaganda events
INAUGRATION BY TWINKLE KHANNA
• HOME STYLIYST
• Cash back
• Delivery
• Coupons at Zara clothing
• Gift Vouchers:
i) Rs. 10,000 gift card for Rs.7500
ii) Rs. 12,500 gift card for 15,000
COST OF THE EVENT
INVITATION :
A CARD IN A BOX : Rs. 300 per card
CATALOGUE: Rs. 250 per catalogue
CANDLE: Rs. 100 per piece
TOTAL COST = 650 per piece
INVITES = 350 Approx
Total cost = Rs. 2,27,500
EVENT:
ORGANIZED BY PROPAGANDA EVENTS
F&B = Rs. 2500 per person
Total cost = Rs.2500*350 = Rs. 8,75,000 approx
DÉCOR, EVENT AND ORGANIZATION FEE :Rs.2,00,000
PLUS THE FEE FOR CALLING TWINLE KHANNA = Rs. 10,00,000
Total cost = Rs. 20,75,000
TOTAL COST : Rs. 23,02,500 approx
INTEGRATED MARKETING COMMUNICATION TABLE
JANUARY
FEBRUARY
EVENT
GIFT
GIFT
VOUCHERS
VOUCHERS
STYLE SHOOTS
FREE DELIVERY
FREE DELIVERY
MARCH
APRIL
MAY
JUNE
STYLE SHOOTS
COUPONS
FREE DELIVERY
STYLE SHOOTS
FREE DELIVERY
--------
FREE DELIVERY
FREE DELIVERY
CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON
PURCHASE
PURCHASE
PURCHASE
PURCHASE
PURCHASE
PURCHASE
ONLINE
ONLINE
ONLINE
ONLINE
ONLINE
ONLINE
PROMOTIONS
PROMOTIONS
PROMOTIONS
PROMOTIONS
PROMOTION
PROMOTION
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
---------
COUPONS
COUPONS
FREE DELIVERY
FREE DELIVERY
JULY
---------FREE DELIVERY
---------FREE DELIVERY
COUPONS
FREE DELIVERY
FREE DELIVERY
CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON CASH BACK ON
PURCHASE
PURCHASE
PURCHASE
PURCHASE
PURCHASE
PURCHASE
ONLINE
ONLINE
ONLINE
ONLINE
ONLINE
ONLINE
PROMOTIONS
PROMOTIONS
PROMOTIONS
PROMOTIONS
PROMOTION
PROMOTION
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
HOME STYLIST
PLACE
1st STORE, Year 1
• SELECT CITYWALK, Saket
• Exclusive Store in Delhi
• AREA: 8000 Sq. Ft
• RENT: 500 Rs per sq ft.
• INTERIORS: 2000 Sq. Ft
2nd STORE, Year 2
Palladium mall, MUMBAI
AREA: 8000 sq. ft approx
RENT: 300 sq. ft
INTERIORS: 2000 Sq. ft
CONSUMER PROFILE
SEGMENTING
DEMOGRAPHICS:
AGE: 22 YEARS – 45 YEARS
INCOME: UPPER MIDDLE CLASS –
UPPER CLASS
OCCUPATION: WORKING WIVES,
YOUNG ENTERPRENEURS, INTERIOR
DESIGNERS, HOUSEWIVES.
TARGETING
DEMOGRAPHICS:
AGE: 25 Years – 35 years
GEOGRAPHICS: Delhi – Saket, Greater
Kailash, Model town, vasant vihar
INCOME: UPPER MIDDLE CLASS
PSYCHOGRAPHICS: Fashionable, brand
conscious, home lovers, calm, peaceful.
OCCUPATION: WORKING WIVES,
YOUNG ENTERPRENEURS
GEOGRAPHICS: South Delhi –
Vasant Vihar and Saket. Nearby
areas of Select Citywalk.
PSYCHOGRAPHICS: Home lovers,
fashionable.
PEOPLE’S REACTION ON ZARA HOME COMING TO INDIA
“I love doing decorating my home and if something like zara home
enters Delhi, I would be glad”
“I hope Zara home turns out to be like Zara, good stuff,
stylish, something that stands out and affordable”
“I have been to its store in Dubai at the Dubai Mall, they
have beautiful stuff. Its classy and different”
“My mom likes what I buy from zara, she likes the brand, I think
she would definitely go for Zara Home”
POSITIONING
WHAT MAKES ZARA HOME DIFFERENT?
Innovation: not to stop but always producing
new things based on customer desires and
changes in market.
The brand aims to provide its customers with a
fashionable home decor line at lower prices,
which makes the brand popular
Manufactures products according to the
demands of the customers, react instantly
Adds new products to the collection in every
10 – 12 days
COMPETITOR ANALYSIS
GOOD EARTH
PURE
Products
Fine tableware,cutlery, glasses,
luxuriois bed linen, cushions,
pillows, kurtas, bath and
skincare products
Products
Furniture, bed & bath,
home accent, tableware,
mirror, wall art, lighting
and floor covering
Price
STARTS AT rs. 500 –
rs.3,00,000
Price
Rs. 500 – 50,000
Place
Dlf place, new delhi
Place
10 stores.
Delhi -3, mumbai – 3,
bangalore – 1, hyderabad –
1,
Chennai – 1, singapore – 1
Promotion
Newspapers, magazines
Promotion
Gift vouchers, personal
seller, bride wishlist,
delivery
PERCEPTUAL MAPPING
HIGH
HIGHLY
INNOVATIVE
ZARA
HOME
GOOD
EARTH
PURE
HIGH
LOW
PRICE
LOW
NO
INNOVATIVENESS
BRAND ELEMENTS – ZARA HOME
NAME – ZARA HOME : SIMPLE,
LIKABLE, EASY TO REMEMBER
LOGO : VERY CLEAR, DIRECT,
RIGHT SIZE (FIT BOTH THE
EYES)
COLOURS -BROWN : Color of earth
WHITE - Purity
PACKAGING - PAPER BAGS : ECO FRIENDLY
STRATEGIES OF ZARA HOME
BUSINESS STRATEGY
DIFFERENTIATION:
• ADDS FASHION TO HOME DÉCOR
• ADDS NEW PRODUCTS IN EVERY 10 DAYS
• GOOD QUALITY AT AVERAGE PRICE
MARKET COVERAGE
EXCLUSIVE:
• TWO STORES – NEW DELHI AND MUMBAU
• STRONG CIRCLE OF INFLUENCE
• WEEKENDS – PEOPLE FROM DIFFERENT CITIES VISIT
• HUB FOR WORK
CHANNEL STRATEGY
PULL:
• TARGET END CONSUMERS DIRECTLY
• CUSTOMERS SEEK THE PRODUCTS
SALES
SALES VALUE (YEAR 1)
SALES VALUE (YEAR 2)
SALES VALUE= SALES QUANTITY *AVERAGE SELLING
PRICE
SALES QUANTITY = 13350 + 12% Growth + 13350
Monthly sales = 13350*2500= Rs. 3, 33, 75,000
ANNUAL SALES = 28300*2500*12 = Rs 84,90,00,000
Annual sales = 3, 33, 75,000*12 = Rs. 40, 05, 00,000
PRELIMINARY EXPENSES
SPF
SALES PER SQUARE FEET
Year 0
Preliminary Expenses
Rs. (Year 0)
Legal Expenses
40,000
Brand Launch costs (Marketing)
24,57,500
Other preliminary expenses
-
Total
24,97,500
Rs. Year 1
-
SPF= SALES/SIZE OF THE STORE
Monthly SPF = 3, 33, 75,000/8,000 = Rs. 4170
24,00,000
Annual SP = 40, 05, 00,000/8000 = Rs. 50062
Year 1
Annual SPF =
Rs 84,90,00,000/16,000
= Rs. 53065
24,00,000
INITIAL INVESTMENT
Initial investment
Total initial investment in fixed
assets
Interiors
Other Fixed Assets
Building
Total Fixed Assets
Pre operative expenses
Working Capital Investment (20%
of First year Sales)
Opportunity cost of existing fixed
assets
Initial Investments
Total
(YEAR 0)
OVERHEADS
Year 1
1,50,000
1,50,000
1,60,00,0 1,50,00,0
00
00
40,000
40,000
N.A
N.A
1,61,90,0 1,51,90,0
00
00
24,00,00
24,97,50 0
0
8,01,00,0 16,98,00,
00
000
18,73,90,
9,87,87,5 000
00
Office and Administration
Overheads
Year 1
Monthly
Rentals (Rent per
store*Area *12*Number of 500*800
Stores)
0
=40,00,0
00
Electricity
1 ,75,
000
Salary
Annually
Year 0
500*8,000*
12*1=
4,80,00,000
1,75,000*1
2
=21,00,000
27,36,000
2,28,000
Depreciation
54,72,000
67,2000
5,600
Other Office Overheads
Total
Selling and Distribution
Overheads
Advertising and Sales
promotion ( .3% of Sales)
Logistics (1% of Sales)
Other Selling Overheads
300*8000*
12+4,80,00,
000
=
7,68,00,000
42,00,000
n.a
n.a
44,08,60
0
5,29,03,200
41,900+67,
200
= 1,09,100
n.a
8,65,81,100
12,01,500
1,00,125
25,47,000
40.20,000
35,000
n.a
Total
80,40,000
n.a
52,21,500
1,35,125
1,05,87,000
COST SHEET
COST SHEET
Cost of Finished Goods
Monthly
Annual
(Year 1)
INCOME STATEMENT
Annual
(Year 2)
73,42,50 8,81,10,000 15,56,50,00
0
0
PROJECTED INCOME STATEMENT
( Product Cost * Units Sold)
Add Other Direct Costs
0
Cost of Goods Sold
Add Office & Administration
Overheads
Rent
Sales
0
73,42,500
8,81,10,000 15,56,50,00
0
40,00,000
7,68,00,000
Gross Profit
4,80,00,000
Electricity
Salary
Depreciation
Add Selling & Distribution
Overheads
Advertising & Sales
promotion
Logistics
1
75,000
2,28,000
5600
44,08,
600
42,00,000
21,00,000
27,36,000
54,72,000
67,200
1,09,100
5,29,03,200 8,65,81,000
1,00,125
35,000
80,40,000
Discount (10% of sales)
8,49,00,000
4,00,50,000
Add Interest cost
( Interest Rate * Loan)
Total Cost
Office and Administration Overheads
9,54,87,000
4,52,71,500
18,62,84,70 33,77,18,00
0
0
0
0
0
In Rs.
40,05,00,0
00
8,81,10,00
0
31,23,90,0
00
Less Interest on Loan
Less Preliminary Expenses ( Written
Off- 1/5th of preliminary expenses)
24,97,500
Selling and Distribution Overheads
EBT
Less: Income Tax @33.99%
EAT (NET PROFIT)
18,62,84,70 33,77,18,00
0
0
In Rs.
5,29,03,20
0
4,52,71,50
0
21,42,15,3
00
0
25,47,000
12,01,500
Year 2
84,90,00,000
15,56,50,000
69,33,50,000
Less
=Operating Profit (EBIT)
40,20,000
Cost Of Sales
Less Cost of Goods Sold :
Year 1
21,17,17,8
00
7,59,08,94
9
13,97,54,9
20
8,65,81,000
9,54,87,000
51,12,82,000
0
24,00,000
50,88,82,000
17,29,68,991
33,59,13,009