Tata infotech re-focuses on the corporate segment. During the boom times, many firms providing computer education to students used to survive and thrive in the Indian market. But the boom did not last forever. The bust which followed took its toll on the educational IT services sector, with Aptech selling off its business to SSI, and many other firms exiting from the business.

Tata infotech also found its business squeezed, and had to think of new segments that it could venture upon. The company refocused attention on the corporate segment which also requires computer training for its employees, and over a period, the percentage of business that came from the corporate segment changed from 20 percent of its total to about 65 percent of the total. At the same time, its affiliate channels through whom a lot of its consumer business was d, came down from about 200 to about 125 in number, signalling a decline in that segment.

What this case shows is that in bad times, it makes sense to take a re-look at your segmentation and target marketing strategies. Of course, this may involve repositioning yourself at times, in line with the requirements of the new segments being targeted. Also, it could involve changes in the 7Ps of marketing.

Q1. Can you think of what changes Tata Infotech would need to make in its positioning, and its 7 Ps(the marketing plan) to successfully serve the corporate market?

Q2. What are the seven Ps of the service marketing mix in the case of Tata Info-tech? Explain.

Q3. Suggest a growth strategy that can be employed by the Tata Infotech so as to achieve exponential growth.