Titan Company Limited (Titan), one of the largest companies in the gems and jewellery sector, derived roughly 80 per cent of its revenues from the sale of jewellery. Jewellery buying was discretionary and prices were largely dependent on the price of gold. In India, jewellery sales were also seasonal, with a spike in demand during annual festivities and traditional events like marriages. A research analyst intern has been tasked to analyze Titan’s finances from 2014 to 2022. She had already completed a DuPont analysis, which is presented in the case, and now she must analyze the stock’s return and risk to help investors better understand whether Titan with its heavy dependence on jewellery sales is a wise investment. Interestingly, the analyst discovers that as Titan’s reliance on jewellery sales increased, its overall risk dropped. Students thus have an opportunity to also consider what other factors, such as a strong business model, good financials, and customer-friendly policies, contribute to the risk–return paradigm.
Mahindra First Choice Services Limited, a multi-brand car-servicing business in India, needs to create a unique customer value proposition to differentiate its brand in a highly competitive landscape. In India, the aftermarket services market comprises original equipment manufacturers, independent garages and few organized players. The marketing head and his team need to position their company’s brand to capture customers that have previously relied on local garages and original equipment manufacturers.
Mahindra First Choice Services Limited, a multi-brand car-servicing business in India, needs to create a unique customer value proposition to differentiate its brand in a highly competitive landscape. In India, the aftermarket services market comprises original equipment manufacturers, independent garages and few organized players. The marketing head and his team need to position their company's brand to capture customers that have previously relied on local garages and original equipment manufacturers.