The Business Model of Ambuja Cements | How Ambuja Group Makes Money?

The Business Model of Ambuja Cements | How Ambuja Group Makes Money?

Owning a house is what every individual dream of. Giving abstract plans a rigid execution is all that is necessary for a beautiful structure. Thus, comes the all-famous Ambuja Group which has been helping people in doing so for years. The company has all the perks of understanding the Indian conditions. Therefore it never fails in meeting the expectations of people. Now, in the following sections, we will be discovering how the no.1 cement company has made it to the top.

About Ambuja Cements
Areas of operation
Key Products and Services
Target Audience
Business Model of Ambuja Cements
How does Ambuja Cement make Money?

About Ambuja Cements

Since its inception in 1983, Ambuja Cements has commenced its journey of providing the finest building materials. Suresh Kumar Neotia and Narotam Sekhsaria founded the Ambuja Group with significantly less knowledge of cement manufacturing. The company got its headquarters in Mumbai. With the blessings of the Holcim Group, Ambuja rules the position of the second-largest manufacturer of cement around the globe. With varieties of cement, Ambuja tries its best to meet every possible need that would erupt in the market. Let's outline the highlights of the company.

Market Share of Cement Industry (2020)

Areas of operation

There is no doubt that the founders, Suresh Neotia and Narotam Sekhsaria, were ordinary people. What made them extraordinary was their future-driven thoughts. Having realized that India is a progressively developing country, cement can play a crucial role shortly. Thus they gradually came up with this company. Ambuja pops up within a second where any lips utter about building materials. They are the first preference in the Indian market. This way, they are now well established.


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Key Products and Services

Ambuja believes that the enrichment of the community roots in the enlightenment of the people. Imparting knowledge about their construction materials and work procedures to the engineers has led to growth in the education of professionals in this field. Construction work involves height. Thus, Ambuja also ensures the proper safety of the workers. A humble deed.

Coming down to the list of products, Ambuja presents its buyers with varieties of building materials suitable according to the respective terms. Including products like Ambuja cool walls, Ambuja builder, Ambuja composer and a few more in line besides its most famous product of cement.

Target Audience

Along with any person who wants to build a house, Ambuja, Being a provider of building materials, looks up projects involving construction. Speaking of this would involve all kinds of engineers, contracts of construction. Winning over the faith of these people would give the required hype and publicity.

Business Model of Ambuja Cements

Ambuja excels in its work to be the most competitive and successful company in its particular industry. And to back this up, there always lies a business canvas on the table of their rooms.

Running a business always requires a broad mind with good observatory skills. Sticking to a single lane of making money won’t be helpful in every clock. Therefore business activities have to be executed. These activities include collaboration, partnership, and sponsorship. Doing these activities proves to be of great help for any company. Apart from this, the company also adds to its profits when a second company collabs their investment. It would also fuel the trust between the companies, which would be helpful in case of further investments or business crises.

Ambuja is very good at letting people know about its products. The more, the better. So it always ensures that the people have instant knowledge the moment they lay an eye on any product. For this, Ambuja focuses mainly on advertisements. Its advertisements are well known to everyone. This does the work of attracting the needed buyers who are looking for such products. And obviously, with no shortage of storage capacity, it delivers the best to its customers. This way, another point adds up to their revenue growth.

How does Ambuja Cement make Money?

Being the leading producer has some perks. The tight net of their connection serves them a great deal when it comes to dealings and projects. After that comes the part where they are consistent. It is also because of their non-stop production. Ambuja, not depending on any sole source for funding or fuel, is always high on production. Thus the storehouses are never empty.

Having a confined field to produce on, sometimes variety becomes one of the drawbacks. As already it has levelled up in the Indian market, it's like the company's only arena is the Indian market. Outside this boundary, the company is a helpless deer. Regarding the field, there's always a step on competition which involves restless work all day, every day. Even the slightest ignorance can give the competitors enough window to overtake in business.

GST plays a pivotal role in dragging the profit in business. And in India, as we all know GST is heavy in the market now. Moreover, the country is still developing. It has a great demand for cement where construction comes in. So towering a building that produces materials to build other infrastructures would have a long life. Hence if proceeded with seriousness, the company would make a lot of money, which is being made.

However, an excelling company must have a vision of turning these weak spots into a rigid defense system.


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Conclusion

With various strengths, weaknesses, perks, threats, and harsh levels of competition at hand, Ambuja stands just as rigid as its logo. Muscular and unshakable. With the proper judgment of Indian business despite the competition with ACC, J.K Lakshmi, and Ultra tech cement, Ambuja is the all-time top. Therefore, with all its ways of ruling the cement industry, Ambuja today has earned its position in the market.

FAQs

When was Ambuja Cement Founded and by Whom?

Suresh Kumar Neotia and Narotam Sekhsaria founded the Ambuja Group in the year 1983.

Who is the CEO of Ambuja Cement?

Neeraj Akhoury, appointed on the 21st of February 2020, is the present CEO of Ambuja.

Where is the head office of Ambuja Cements?

The Head Office of Ambuja Cements is located in Mumbai.

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