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A leading India conglomerate was looking to enter the video surveillance market in the country. Tata Strategic was asked to evaluate the attractiveness of the market and advise on its feasibility

The Tata Strategic team understood the key target segments and identified the critical success factors for both the organized and unorganized players in the business. It held several discussions with leading players in the segment to understand the state of market and its growth prospects.

The proposed venture, when compared with existing players over several critical success parameters of the business, appeared competitive. However, a study of the addressable market revealed that the market size was not large enough for the client to justify desired returns from the investment.

Impact

The low market attractiveness prompted the team to advise the client against entry into the video surveillance market. Based on the recommendations made by Tata Strategic, the client decided to shelve its plans for the proposed venture.