DIVERSIFICATION OF VLCC Weight loss programs. Beauty treatment and skin care services. VLCC spa.

pa. VLCC personal care products. PORTERS FIVE FORCES MODEL THREATS OF NEW ENTRANTS: Threat from new entrant is low because VLCC is a wellestablished brand in the Indian market. Therefore anynew entrant in the market would face competition fromVLCC. BARGAINING POWER OF CUSTOMERS:-It is very low. The reason is that VLCC offers packages toits customers. VLCC does provide discount schemes to itscustomers to retain its loyal customers but bargaining isan issue that is generally not addressed by VLCC. BARGAINIG POWER OF SUPPLIERS:It is high the reason being, VLCC is well established brand,there is no other competitor as copmparison to this. THREAT OF SUSBSTITUTE PRODUCTS :It is very high, because there are lots of products in themarket which ready to compete with VLCC . COMPETITIVE RIVALRY WITHIN THE INDUSTRY:Since there are many players in the market besides VLCC,any change in price, quality, technology, service orinnovation by one firm would definitely affect the otherfirm. Thus, the intensity of rivalry within an industry ishigh. VALUE CHAIN ANALYSIS Inbound logistics: VLCC consists of a large chain of fitness centers and spas. Theproducts for beauty treatments are usually developed inconsultation with the professional parlor expertise at theresearch and development facilities. Operations:VLCC offers personalized solution orientedtherapeutic beauty treatments in skin and hair. The servicesto each individual are analyzed by a specialist BeautyConsultant /Doctor/Dermatologist and only then they are administered. Outbound operations:The products of VLCC are sold through its own centers and selective retail outlets.

Marketing and sales:VLCC promotes its products andservices though advertisements in pamphlets and newspapersand magazines. VLCC also offers discounts to its customersduring festive seasons. Services:Apart from this, we offer specialized treatments ,regular beauty care services and help our clients to achieve and maintain vibrant good looks from head to toe. BCG MATRIX: Stars Foot care solutions.Skin care solutions. Q uestion marks Pain relieving solutions. Cash cows. Body firming and shaping solutions. Dogs. Lip care. SWOT ANALYSIS: Strengths:Strong capital base.Strong brand equity.Focusing all age groups. Diversified product range.Discounts for customers Weaknesses:The pricing strategy. Target market. Product availability. Opportunities:Strategic locations and infrastructure. Indian market getting more fitness and health conscious. Increasing Indian economy. Threats:Inflation.Competition.Unexplored markets.

Introduction
Guided by the vision of Transforming Lives, the VLCC Group seeks to urge self transformation, spread happiness and imbibe every individual with wellness for life. These three mantras have been the pillars of strength for the Company since it was founded by Mrs. Vandana Luthra in 1989. Till date they remain the firm foundation upon which the company continues to build its success story. By redefining wellness, VLCC has revolutionized the wellness industry to acquire the status of being the Number 1 Wellness Brand in South Asia & Middle East, with a presence of 300 locations across 109 cities in 9 countries namely India, UAE, Oman, Bahrain, Qatar, Kuwait, Sri Lanka, Bangladesh and Nepal. VLCC is widely recognized for its scientific weight loss solutions and its therapeutic approach to beauty treatments. With a staff strength of nearly 6000, over two-third of whom are experienced specialists including medical doctors, nutritionists, psychologists, cosmetologists and physiotherapists and having served over 10 million customers since its inception, VLCC is the largest and most-preferred brand in the Wellness domain in the countries it operates in.