A CASE ANALYSIS ON APEX
ELECTRICAL COMPANY LTD.
PRESENTED BY :
NIDHI MALHOTRA
RUSHI VYAS
INTRODUCTION:-
• Mr Nathan, sales manager of apex electrical company ltd.
• The company was in the business of manufacturing and
marketing electric motors of wide range of horse power
• The company’s factory and head office were situated in
Bombay and it had its branch offices at New Delhi, Calcutta
and Banglore each headed by a regional manager.
PROBLEMS FACED:-
• Distributor operated almost independently that’s why the
regionsl managers office had very little information on the
exact marketing
• There were also complaints received from some of the
dealers that they did not get fair deal and would instead
prefer to deal with the company
• Problem of getting actual information for taking good
decision
SOLUTION:
• The solution is to open a sub office at Madras, headquarter
for distributor
• It would help distributor in marketing
• The company had strict policy of insisting on the regional
office to achieve a fixed ratio of sales per rupees of expense
Q1
• If I would be at the place of Mr. Nathan than I would accept
the proposal for opening the sub office at Madras. I would
treat my regional manager or sub ordinate as a human being
and try to maintain good relation with them. Decision would
be good for short and long term.
Q2
• Estimated expense at Madras Office
• The proposal stated that a sales forecast of Rs 60 lakh could be
expected in Tamil Nadu next year and estimated expenses of the
Chennai sub-office at Rs 1.2 lakh, thus achieving a ratio of Rs 50 sales
per rupee of expense. Among other things, the details of the proposal
stated the following splitting up of expenses-Rs 40000 towards salaries
and Rs 30000 towards travelling expenses of two sales personnel who
would be transferred from Bangalore to Chennai.
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