Kalpanjali Dairy, a mid-sized cooperative based in Uttar Pradesh, has established a reputation over the past 20 years for producing traditional but…

CA Intermediate · Financial Management and Strategic Management · PYQS · January 2026
Kalpanjali Dairy, a mid-sized cooperative based in Uttar Pradesh, has established a reputation over the past 20 years for producing traditional but high-quality dairy products sourced from small-scale farmers. Its operations are rooted in cooperative ethics, aiming for both profitability and farmer welfare. Now, Kalpanjali is facing multiple cross-challenges: rising competition, shifting health narratives, concern for climate change, and ethical debates around animal welfare. With a vision to become a national brand by 2035, Kalpanjali must rethink its plan of action. The founders of Kalpanjali Dairy intended to create a values-driven brand that not only delivered quality but also empowered dairy farmers. It intends to become one of the top 10 dairy brands in India by 2035, with a strong presence in organic and health-based dairy offerings and proving good services, which is in a heavy demand and has to draw a vision plan accordingly. A Value Chain Analysis revealed strength in material handling, stock control and better transportation system, but a gap in R&D and digital marketing. After extensive stakeholder discussion, Kalpanjali considered three strategic options: Defensive Strategy: Double down on traditional dairy and educate consumers on the nutritional value of milk and the ethical treatment of animals.Diversification Strategy: Launch a vegan product line (e.g., almond/oat-based milk, vegan yogurt) under a sub-brand to appeal to changing preferences.Collaborative Strategy: Partner with NGOs and health influencers to improve public image and trust. On detailed internal analysis of various strategic drivers, leadership opted for a hybrid strategy: Continue improving and promoting high-quality dairy products with transparent animal welfare practices.Simultaneously launch a vegan line to cater to health-conscious and ethically driven consumers under a new sub-brand Kalpanjali Plant Wise.Investing in an R&D facility to develop almond milk, oat milk, and vegan ghee.Partnering with food tech startups and nutritionists.Training farmers to improve animal healthcare and promote "cruelty-free dairy" certification.A strong communication campaign: "Empowered by your choice, grounded in respect" - highlighting that Kalpanjali supports both dairy and plant-based lifestyles.Rebranding efforts to clearly differentiate the dairy and vegan lines while maintaining core brand identity. Based on the above case scenario, choose the correct answer to Question No. 9 to 13.
(A) Strategic control
(B) Strategic intent
(C) Operational efficiency
(D) Tactical planning

Suggested Answer and Working Notes:

Correct Answer: Option (B)

Strategic intent

Topics: Part-A: Financial Management, Part B: Strategic Management

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