Business development

start
to scale

Submitted by: varsha pal

Course: business development

starts
to scale

Platform: NPTEL / SWAYAM

 Week 1: Business
Fundamentals
Understanding Business Development
 Business Development means finding
new ways to grow a company.
 It includes getting new customers,
entering new markets, and making
partnerships.
 It helps increase profit and brand value.
 It is related to sales, marketing,
customer service, and strategy.

Marketing and Business Development

 Marketing creates awareness about a
product or service.
 Business Development (BD) focuses
on building relationships and closing
deals.
 Marketing brings leads (interested
people), and BD turns those leads into
customers.
 Both departments need to work together
for business growth.

Markets and Marketing

 A market is a place or system where
buyers and sellers meet.
 Types of markets:
B2B (business to business)
B2C (business to customer)
 Marketing includes advertising, pricing,
promotions, and branding.
 Knowing your market helps you sell
better and reach the right people.

Strategy Formulation
 Strategy means making a plan for how
to succeed in business.
 Steps include:
Knowing your strengths and
weaknesses
Studying the competition
Setting clear goals
Planning how to reach those goals
  Types of strategy:
Growth strategy
Cost leadership
Product differentiation

Week 2: Business
Development Strategies
Successful Businesses
 A successful business is one that earns
profit consistently and keeps growing.
 Success comes from:
Strong leadership
Innovation (new ideas or products)
Good customer service
Smart marketing and planning
Industry and Market
 Industry: A group of companies that sell
similar products/services (e.g.,
automobile industry).
 Market: The customers who buy those
products.
  To grow, businesses must:
Understand market trends (what’s
popular)
Know their competitors
Identify customer needs
 A changing industry means businesses
must update their strategy often.

Vision, Mission and Strategy

 Vision: What the company wants to
achieve in the future. (Big dream)
 Mission: What the company does every
day to reach the vision.
 Strategy: A plan to reach business
goals using the company’s strengths.
Goals
 Goals are specific targets a company
wants to achieve (e.g., increase sales by
20%).
 Good goals are:
SMART: Specific, Measurable,
Achievable, Relevant, Time-bound.
Case Studies of Business Development
Excellence
Netflix:
 Started as a DVD rental service.
 Changed strategy to streaming, then
original content (like “Stranger Things”).
 Focused on customer needs and
technology.
Tesla:
 Focused on electric cars and clean
energy.
 Used innovation and strong branding.
 Built a loyal customer base and
disrupted the auto industry.
Domino’s Pizza:
 Improved delivery time and used mobile
app technology.
 Used customer feedback to fix product
quality.
 Sales and popularity increased
worldwide.
Week 3: Industry Structure
and Company Analysis

Industry and Business

 An industry is a group of companies
that produce similar goods or services.
 A business is an individual company
within an industry.
 Knowing your industry helps you:
Understand market trends
Find new opportunities
Beat the competition

Porter’s Five Forces Theory

Developed by Michael Porter, this model
helps analyse the competition in an
industry. It includes 5 forces:
1. Competitive Rivalry
o How strong is the competition?
o More competitors = less profit.
 2. Threat of New Entrants
o Can new companies easily enter the
market?
o If yes, it increases competition.
3. Bargaining Power of Buyers
o Can customers demand lower prices
or better service?
4. Bargaining Power of Suppliers
o Can suppliers raise prices or control
the quality?
5. Threat of Substitutes
o Are there similar products that can
replace yours?

Industrial Transformations
 Industries keep changing due to:
Technology (e.g., shift to electric
vehicles)
Customer needs
Government policies
Environmental concerns
Businesses must adapt or risk failure.
Competitive Strategies
Businesses use different strategies to beat
competitors:
Cost Leadership – Offer lowest price (e.g.,
Big Bazaar)
Differentiation – Unique products/services
(e.g., Apple)
Focus Strategy – Target a specific niche
(e.g., Mama earth for natural skincare)
A company’s strategy depends on its
strengths, market, and customers.

Company Analysis
This means studying a company to
understand how well it is doing.
Key factors:
 Revenue and profit
 Market share
 Strengths and weaknesses (SWOT
analysis)
 Products and services
Week 4: Market and Competitor
Analysis

Industry, Market and Business

 Industry = Group of companies offering
similar products (e.g., textile industry).
 Market = Customers who buy those
products.
 Business = An individual company in
the industry.
Understanding these helps a business:
 Know who their customers and
competitors are.
 Plan better products and pricing.
 Grow in the right direction.

Industry and Market Analysis

This means studying the current situation of
the industry and market.
Industry Analysis checks:
  Trends and growth rate
 Size of the industry
 Future opportunities and risks
Market Analysis checks:
 Customer needs and behaviour
 Market size and demand
 Pricing trends
It helps in making smart business decisions,
launching products, and understanding what
customers want.

Market Structures
A market structure means how many
sellers and buyers are in a market and how
they interact.
There are 4 main types:
1. Perfect Competition – Many
sellers, same product (e.g., vegetables).
2. Monopolistic Competition – Many
sellers, slightly different products (e.g.,
clothing brands).
 3. Oligopoly – Few big sellers control
the market (e.g., telecom companies).
4. Monopoly – One seller, no
competition (e.g., Indian Railways).
Each structure affects pricing, competition,
and customer choice.

Demand Forecasting
 Demand forecasting is predicting
future customer demand for a
product/service.
 It helps in:
Managing inventory
Planning production
Setting prices
Budgeting
Tools used:
 Historical sales data
 Market trends
 Surveys and expert opinions

Competitor Analysis
This means studying other companies that
offer similar products or services.
It involves:
 Knowing their strengths and weaknesses
 Understanding their pricing, marketing,
and customer base
 Comparing your business with theirs
Tools:
SWOT Analysis
Benchmarking
Competitive Matrix
Example: Flipkart studies Amazon’s offers,
delivery service, and customer reviews to
improve its own strategy.
Week 5: Connecting with
Customers

Customer Characteristics
 Customers are the people who buy and
use products or services.
 Understanding their characteristics
helps businesses serve them better.
Key characteristics:
 Age (young, adult, senior)
 Income level
 Location
 Gender
 Lifestyle
 Buying behaviour
✅ Example: A sports shoe company will
target young and active customers who love
fitness.

Customer Typologies
Customer typologies are categories that
help businesses understand different types
of customers.
Common types:
1. Loyal Customers – Always buy
from one brand.
2. Impulse Buyers – Buy quickly
without thinking much.
3. Discount Seekers – Always look
for offers and sales.
4. Need-Based Buyers – Buy only
when necessary.
5. Wanderers – Just browsing, not
always interested in buying.
Why it matters:
 Helps in designing better marketing and
sales plans.
 Offers can be personalized for each
customer type.

Market Research and Design Thinking

Market Research
 Market research means collecting data
about customers, competitors, and
market trends.
 Tools used:
o Surveys
o Interviews
o Focus groups
o Online feedback
 It helps businesses:
o Understand what customers want
o Launch better products
o Improve services
Design Thinking
 Design thinking is a creative problem-
solving process focused on the
customer.
 It includes 5 steps:
1. Empathize – Understand the
customer’s needs.
2. Define – Find the main problem.
 3. Ideate – Think of creative
solutions.
4. Prototype – Make a small version
of the solution.
5. Test – Try it with customers and
get feedback.

Customer Bonding
 Customer bonding means creating a
strong, emotional connection with
the customer.
 Loyal customers are made through:
o Great service
o Personal attention
o Regular follow-up
o Reward programs
Example: Starbucks rewards program keeps
customers coming back.
Levels of bonding:
1. Transactional Bonding – One-
time purchase
2. Emotional Bonding – Customer
trusts the brand
3. Loyalty Bonding – Customer
prefers only that brand
Week 6: Business and
Market Segments

Market and Market Descriptors

 A market is a group of people or
organizations that have needs and are
willing to buy a product or service.
 Market descriptors help describe or
divide a market.
Common descriptors:
 Geographic – location, city, region
 Demographic – age, gender, income,
education
 Behavioural – buying habits, brand
loyalty
 Psychographic – lifestyle, values,
personality
✅ These help companies understand their
customers better and plan marketing
strategies.
Market and Product Segmentation
Market Segmentation
 Dividing the total market into smaller
groups with similar needs.
 Purpose: To target customers more
effectively.
Product Segmentation
 Dividing products based on features,
prices, and use.
 Helps in offering different versions of
the same product for different customer
needs.

Product-Market Segmentation
 It combines product types with market
segments to find the best match.


This helps target the right product to the

right customer group.
Segmentation Deep Dive
 A deep dive means analysing
segments in detail.
 Businesses use tools and data to:
o Understand customer preferences
o Identify hidden needs
o Create more focused marketing
Tools used:
 Surveys
 Customer feedback
 Data analysis software
✅ Benefits:
 Better sales
 High customer satisfaction
 Lower marketing costs
Market Attractiveness and Competitive
Positioning
Market Attractiveness
 Tells how profitable and beneficial a
market segment is.
Factors include:
 Size of the market
 Growth rate
 Profit margin
 Level of competition
Competitive Positioning
 Means how a company is placed
compared to its competitors in the eyes
of customers.
✅ Key strategies:
 Price Leadership – Lowest cost (e.g.,
D-Mart)
 Differentiation – Unique value (e.g.,
Nike)
  Niche Focus – Special segment (e.g.,
Fabin Dia for ethnic wear)
Example: Apple is positioned as a premium,
high-quality tech brand.

Week 7: Branding and

Pricing
Branding
 Branding is the process of giving a
unique identity to a product or company.
 A brand includes the name, logo,
tagline, colours, and overall personality
of the business.
Example:
Nike = Name + Swoosh logo + "Just Do It"
slogan.
Importance of branding:
 Builds customer trust
 Creates emotional connection
 Helps stand out in a crowded market
  Increases product value

Brand Organisation
 This is how brands are structured and
managed inside a company.
There are different types:
1. Corporate Branding – Whole
company is the brand (e.g., Tata).
2. Product Branding – Each product
has its own brand (e.g., Dove, Lux by
Unilever).
3. Umbrella Branding – One brand
for many related products (e.g., Amul –
milk, ice cream, ghee).
✅ Good brand organisation helps manage
multiple products easily and maintain
quality and image.

Advertising and Communication

 Advertising is promoting products to
customers using various platforms (TV,
social media, print, etc.)
  Communication includes all the ways a
brand talks to its customers.
Key elements:
 Message (What are you saying?)
 Medium (Where are you saying it?)
 Audience (Who are you talking to?)
Tools used:
 TV ads
 Digital marketing
 Billboards
 Influencer marketing
Goal: Increase sales, brand awareness, and
loyalty.

Sovietization
 Sovietization means adding services to
a product to make it more valuable.
Example:
 Apple sells iPhones + offers AppleCare
support
  Car companies offer free servicing
packages
✅ Benefits:
 Builds customer loyalty
 Generates extra revenue
 Solves customer problems better

Pricing
 Pricing is the process of setting a value
for a product or service.
Types of pricing strategies:
1. Cost-based pricing – Price =
Cost + Profit margin
2. Value-based pricing – Price
based on how much customers are
willing to pay
3. Competitive pricing – Set price
according to market competitors
4. Penetration pricing – Start with
low price to enter market
 5. Premium pricing – High price for
high-quality or luxury products
Smart pricing helps businesses:
 Attract the right customers
 Compete effectively
 Make good profits
 Week 8: Corporate
Development

What is Corporate Development?

 Corporate Development means
planning and executing strategies to
grow a company, enter new markets,
or improve competitiveness.
 It includes:
o Launching new businesses
o Strategic partnerships
o Mergers & acquisitions
o Entering new industries
Now let’s understand this through
examples of 5 types of startups or
business situations:
 A New IT Start-up
 Focus: Technology services or
products like apps, software, AI tools.
 Needs:
o Tech talent
o Innovation
o Scalability
o Fast customer adoption
Example: A mobile app that uses AI to
help students learn.

Corporate Development Strategy:

 Get seed funding from investors
 Build a Minimum Viable Product (MVP)
 Market through social media
 Offer freemium or trial versions

An FMCG Start-up
 FMCG = Fast Moving Consumer
Goods like toothpaste, snacks, soaps.
 Focus on:
 o Mass production
o Wide distribution
o Competitive pricing
Example: A new brand of organic chips.

Corporate Development Strategy:

 Use retail partnerships (e.g., Big Bazaar)
 Advertise using influencers
 Offer introductory discounts
 Expand to tier 2 and tier 3 cities

A Logistics Start-up
 Logistics = Managing transport,
warehousing, and delivery.
 Key areas:
o Speed & reliability
o Technology for tracking
o B2B (Business to Business) support
✅ Strategy:
 Use route optimization technology
 Partner with e-commerce platforms
 Focus on timely deliveries
 Invest in GPS and fleet management

A Nutraceuticals Start-up
 Nutraceuticals = Products combining
nutrition + pharmaceuticals (e.g.,
protein powders, herbal supplements).
 Focus on:
o Health-conscious audience
o Scientific research
o Clear labelling and certifications
Example: A startup selling ayurvedic
immunity boosters.
Corporate Development Strategy:
 Work with nutritionists & doctors
 Use health-based branding
 Sell through health stores & online
 Gain certifications (FSSAI, FDA)

A Telecom Fightback
 A telecom company trying to regain
market position.
 Problems could include:
o Losing customers to competitors
o High costs or outdated tech
Example: An old telecom company
launching 5G to compete with Jio.
Strategy:
 Invest in new technology
 Offer competitive pricing
 Improve customer service
 Rebrand and relaunch with new plans
Week 9: Business Development
Structures

What are Business Development

Structures?
These are the different ways companies
work together or expand their operations
to grow, enter new markets, or gain a
competitive edge.
Let’s understand the main types:

Collaborations
 A collaboration is when two or more
companies work together on a specific
project or goal, without forming a new
legal entity.
✅ Benefits:
 Shared expertise
 Low cost
 Short-term commitment
Strategic Alliances
 A strategic alliance is a long-term
partnership between companies that
remain independent but agree to
cooperate for mutual benefit.
✅ Features:
 Long-term relationship
 Shared resources
 Common goals (e.g., new markets, tech
exchange)

Joint Ventures (JV)

 In a JV, two companies create a new,
separate company and share
ownership, profits, and risks.
✅ Key Points:
 Shared capital and control
 Good for entering foreign markets
 Legal agreement needed
Subsidiaries
 A subsidiary is a company that is
owned or controlled by another
company (called the parent company).
✅ Features:
 Parent company has majority control
 Useful for expanding business in new
sectors or locations
 Operates under its own brand

Mergers and Acquisitions (M&A)

Merger:
 Two companies combine to form one
new company.
Acquisition:
 One company buys another company,
and the bought company may continue
to exist or be absorbed.
✅ Benefits:
  Gain market share
 Reduce competition
 Get new technology or products

Week 10: Business Development

Competencies

What Are Business Development

Competencies?
Business Development Competencies are
the key skills and capabilities needed to:
 Grow a business
 Build and manage partnerships
 Operate effectively in different
environments
 Drive long-term success

Value Chain Competencies

 The Value Chain includes all steps
involved in delivering a product or
service:
 o Inputs → Production → Marketing →
Sales → After-Sales
o Competence in each stage helps a
business reduce cost and improve
quality.
Importance:
 Competitive advantage
 Cost efficiency
 Quality improvement

Functional Competencies
 These are technical or professional
skills in departments like:
o Marketing (e.g., digital marketing,
branding)
o Finance (e.g., budgeting, accounting)
o HR (e.g., recruitment, employee
management)
o IT (e.g., software, cybersecurity)
Importance:
 Builds internal efficiency
  Helps achieve business goals

Negotiation Skills
 The ability to reach beneficial
agreements between two or more
parties.
Used In:
 Sales deals
 Contracts with suppliers
 Partnerships
 Employee compensation discussions
Skills Needed:
 Active listening
 Persuasion
 Problem-solving
 Emotional control
Example:
A company negotiating better terms from a
supplier to save costs.
Cultural Skills
 The ability to understand and adapt to
different cultural practices, values, and
communication styles.
Why It’s Important:
 Global business success
 Team management across countries
 Avoiding miscommunication
Example:
Understanding that in some cultures (like
Japan), indirect communication is preferred.
How to Develop:
 Study global business etiquette
 Practice empathy
 Learn languages or local customs
Leadership Attributes
Strong leadership is essential to guide
teams and drive business growth.
Key Attributes:
 Visionary thinking
 Confidence and decision-making
 Communication and empathy
 Accountability
 Motivation and inspiration
Example:
Ratan Tata’s leadership in expanding the
Tata Group globally while maintaining
values.

Week 11: Strategies for Markets and

Industries

What are Market and Industry

Strategies?
Businesses operate in different types of
markets and industries, each with its own
challenges and opportunities. To
succeed, companies must choose the right
growth strategies depending on:
 The type of industry (new, growing,
mature, or declining)
 The stage of market development
(local or global)

Growth Strategies
These are plans to expand a business in
terms of sales, profit, or market share.
Main Types:
 Market Penetration – Selling more in
the existing market
 Market Development – Entering new
markets (new cities/countries)
 Product Development – Launching
new or improved products
 Diversification – Entering a new
industry or market
 Example:
Domino’s expanding its pizza business into
small towns (Market Development).

Fragmented & Emerging Industries

Fragmented Industries
 Made up of many small companies
 No single company has major market
control
Example: Local restaurants, small retailers
Strategy Tip: Focus on branding,
franchise models, and consolidation
(buying smaller players).

Emerging Industries
 New industries created by technology
or innovation
 Fast growth, high uncertainty
Example: Electric vehicles (EVs), AI tools,
virtual reality

Mature & Declining Industries

Mature Industries
 Slow growth
 High competition
 Customers are loyal or price-sensitive
Declining Industries
 Sales and demand are falling
 Caused by technology change or
shifting trends

Global Industries & New Businesses

Global Industries
 Companies compete across countries
 Needs international strategies

New Businesses
 Startups and innovative ideas
 Require agility, digital tools, funding,
and early customer trust
Example: Startups in fintech, health tech,
edtech, sustainability
Week 12: Business Development
Case Studies
Introduction
This week focuses on real-life case
studies that show how businesses:
 Transform their strategies
 Grow through partnerships
 Handle challenges
 Create value
 Scale from small to large
These lessons are important for
understanding how theory works in real
markets.

Business Transformation
 Transformation means changing the
way a business operates to survive or
grow.
Example:
 Netflix transformed from DVD rentals to
an online streaming platform.
Strategic Alliances for Growth
 Strategic alliances are partnerships
between companies to share resources,
enter new markets, or innovate together.
Example:
 Spotify + Uber: Letting Uber riders play
their own music using Spotify.
 Tata + Starbucks: Alliance to bring
Starbucks to India.
Benefits:
 Enter new regions faster
 Share risks and costs
 Learn from partners

Business Turbulence
 Turbulence refers to uncertain or
difficult times in business—due to
crisis, competition, or internal issues.

Creating Value
 Businesses must create value for
customers, employees, and
shareholders to be successful.
Example:
 Amazon creates value through fast
delivery, low prices, and wide product
range.
 Tesla adds value by offering clean,
innovative transportation.
Ways to Create Value:
 Solve real problems
 Offer something unique
 Deliver high quality at low cost

From Start to Scale

 Scaling means growing from a small
startup to a large company.
 It needs planning, funding, team-
building, and market understanding.
Example:
 Zomato started as a food directory in
India and scaled globally.
  OYO Rooms scaled quickly by
partnering with small hotels.
Tips for Scaling:
 Start small, test ideas
 Use technology and data
 Focus on customer feedback
 Attract investors

In Closing (Conclusion)
 Business success depends on:
o Understanding markets
o Choosing the right strategy
o Adapting to change
o Building partnerships
o Creating real customer value
Real-life case studies help us understand
how companies win or fail—and how we can
apply these