Strategy Learnings

  Pegasus Airlines has achieved considerable growth as a low-cost carrier. CEO Güliz Öztürk discusses its key strategic choices. DOWNLOADS Article (4 pages) Güliz Öztürk joined  Türkiye’s Pegasus Airlines in 2005, when it was a charter operation with 14 aircraft. She helped oversee the company’s transformation into a scheduled airline—with a fleet that now numbers more than 120 aircraft (not including a recent order for at least 100—and up to 200—more) and a route map that includes 53 countries. Öztürk became chief commercial officer of Pegasus in 2010 and was named its CEO in 2022. In this installment of  Travel Disruptors , Öztürk spoke with McKinsey’s Can Kendi about the distinctive business model choices Pegasus has made, the difficulty of applying a low-cost approach to long-haul travel, and Pegasus’s efforts to become a tech innovator in the  airline sector . The following is an edited transcript of their recent conversation in Istanbul. For more about the busi...

  Cadbury’s (Mondelez India) distribution strategy is a textbook example of high-velocity FMCG execution , optimised for impulse, temperature sensitivity, and absolute reach . Below is a structured, India-specific breakdown , focusing on what actually makes it unbeatable. 1. Core Distribution Philosophy “Be available everywhere, at the moment of impulse, in the right condition.” Cadbury does not chase margin first; it chases reach, freshness, and visibility . Margins are engineered later through scale. 2. Multi-Tier Distribution Architecture A. Manufacturing → CFA (Carrying & Forwarding Agents) Regional CFAs across India Hold inventory, manage GST, service distributors Ensure rapid replenishment and stock rotation B. CFA → Super Stockists / Distributors Territory-based exclusive distributors High throughput, low inventory days Focus on route coverage, not SKU push C. Distributor → Retail Unmatched width & depth 1.8–2.0 million outlets ...

  1. Core Distribution DNA (One-Line Summary) Company Distribution DNA Cadbury Impulse-led, micro-reach, high velocity Amul Supply-led, daily replenishment, cold-chain muscle ITC Portfolio-led, leverage-and-cross-sell machine 2. Network Scale & Structure Parameter Cadbury Amul ITC Retail reach ~1.8–2.0 mn outlets ~1.0–1.2 mn outlets ~1.0–1.1 mn outlets Distribution model CFA → Distributor → Retailer Cooperative → Union → Federation → Retail CFA → Distributor → Retail Ownership Fully private Farmer-owned cooperative Corporate conglomerate Control intensity Very high Very high High 3. Product–Distribution Fit (Why Each Model Works) Cadbury Small SKUs (₹10–₹40) Low weight, high turnover Impulse purchase No daily replenishment required Result: Maximum width of distribution. Amul Perishable, cold-chain dependent Daily milk and butter movement Heavy capex in chilling, transport Result: Absolute trust and availability in staples. ITC Large, d...

 Below is a clear, India-specific FMCG startup framework derived directly from Fulvio Pagani’s playbook , adapted to Indian market realities (price sensitivity, channel fragmentation, regulatory complexity, and inflation cycles). This is written as a founder’s operating doctrine , not theory. The Pagani Framework for Building an Indian FMCG Company 1. Start With a Product Indians Can Buy Daily (Non-negotiable principle) Pagani logic In volatile economies, daily-affordable indulgence never collapses . India translation Choose products where: Consumer can buy ₹1–₹10 per unit Purchase frequency is daily or weekly Consumption is habitual, not aspirational Strong categories Candies, toffees, gums Biscuits, rusks Sachet beverages (tea premix, glucose drinks) Savoury snacks in ₹5 packs Avoid initially Large packs Premium-only SKUs Products requiring refrigeration 2. Design for Kirana, Not Modern Trade (Distribution-first thinking) Pagani ...

  HUL’s Structured Goal-Setting: “Must-Win Battles” Hindustan Unilever Limited (HUL) uses a very disciplined strategic planning model. Although HUL does not publicly release every detail, their approach is widely known in leadership and FMCG circles and aligns closely with Unilever’s global performance rhythm. Below is the distilled structure: 1. What Are Must-Win Battles (MWBs)? MWBs are the top 3–5 strategic priorities that a business must achieve in a given year or cycle in order to win in the marketplace. They have three characteristics: ✔ Decisive These goals unlock disproportionate growth or prevent major risk. ✔ Non-negotiable Leaders commit resources and time; failure is not an option. ✔ Cross-functional Sales, marketing, supply chain, R&D, finance — all must work in sync. 2. How HUL Defines an MWB (Framework) HUL uses a structured sequence: (1) Business Diagnosis Category health (penetration, frequency, premiumisation) Market map (competitive sh...