This case describes the situation faced by Mr. Prakash Rastogi, who was appointed as the managing director of Clariant (India) Limited, the Indian arm of Clariant International Limited, a newly spun off unit of Sandoz International Limited. Sandoz announced the world wide demerger of its chemicals business and spun it off as an independent chemicals company called Clariant International Limited. The case presents a brief history of Sandoz International, its performance in India, the reasons behind the demerger and the working of manufacturing, research and purchasing units of the chemical division. It also describes the industrial relations situation, management style and the culture inherited by Rastogi, along with the information on the dyes industry in India. Mr. Rastogi is required to take charge and formulate a strategy for Clariant (India) Limited.