Dabur vs. Patanjali: How Should Established Brands Tackle New Market Entrants?

Dinesh Divekar
Dabur's Strategy Against Patanjali

In today's Times of India, there is an article titled "Dabur plans to counter Patanjali." You may click on the hyperlink if you wish to go through the article. The article states that to counter the growth of Patanjali products, Dabur will introduce new Ayurvedic products. Compared with Dabur, Ramdev Baba's Patanjali was a new entrant and followed a growth strategy encompassing all four quadrants of the Ansoff Matrix.

However, Dabur is a well-established player in Ayurvedic medicines with its own sound distribution network. Therefore, by introducing new Ayurvedic products, they would be following a "Product Development" (New Products in Existing Market) strategy.

Conclusion

The Ansoff growth matrix is useful for expansion but is not a substitute for strategy. Strategic positioning involves achieving competitive advantage by preserving what is distinctive about a company, performing different activities from rivals, or performing similar activities in different ways to gain a competitive advantage.

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Thanks,

Dinesh Divekar
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