Abbas Final Project

MBA [2011-13]
Syed. Mohd. Abbas [1153870056]
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MBA [2011-13] INTRODUCTION FMCG INDUSTRY:

Products which have a quick turnover, and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG products are those that get replaced within a year.
Products such as toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products and plastic goods.
FMCG may also include pharmaceuticals, consumer electronics, packaged food products, soft drinks, tissue paper and chocolate bars.
White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music Systems, etc.
Fourth Largest sector in the economy with total market size of $18.1bn and expects to rise to $33.4bn by 2015.
Presence of many MNCs and intense competition between organized and unorganized segment.
Low operational cost, availability of Raw materials, cheap labour gives India a competitive edge.
Penetration of markets is yet to reach maturity level, as rural markets are still untapped.
Growth is likely to come from matured product categories as more than 200mn people would shift to processed foods by 2010.
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Automatic investment approval for FDI up to 100%.
Economy growing by more than 6% which would increase the buying power of the consumers.
Recent survey showing 47% of Indias 1+billion people are under age 20, among which 160mn are teenagers which has14000crs of discretionary income and their families spend an additional 18,500rs on them every year.
By 2015 Indians under age 20 are estimated to make up55% of the population and would have proportionately higher spending power.
The FMCG sector in India is expected to grow at a compounded annual growth rate (CAGR) of 9%.
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MBA [2011-13] THE FACTS ABOUT THE FMCG INDUSTRY

FMCG, otherwise known as CPG, is one of the biggest industries in the world and there are a lot of facts that stand the FMCG industry apart as a career choice.
FMCG companies are behind the biggest brands in the world:

FMCG is all about names, the products which everyone recognises from trips to the supermarket or from ads on television. The brands that make up this sector are the high profile ones, the ones everybody knows and loves. Think Coca-Cola, Dettol and Dove. This is an industry that puts you in living rooms, kitchens and bathrooms across the globe.
The FMCG industry changes fast and is constantly evolving:

It's fair to say there is never a dull moment in FMCG. From the pace at which goods leave the shelves to the rate of product innovation and career progression, things move quickly. And it doesn't end there. The brands themselves are changing just as quickly. 40% of brands on the top 100 list twenty years ago have already been replaced by new names today.
FMCG firms thrive on employee and customer retention:

Employee investment is a big part of the ethos of the FMCG world. Perhaps it's because we understand the importance of loyalty. Customer loyalty can make or break a brand. Take Twining. for example a century after they entered the top 100 brand list, they are still there and going strong. So it makes sense for FMCG companies to encourage the loyalty of their employees too.
FMCG companies can beat the recession:

This is an industry that has proved itself very resilient to recession with the majority of companies in the sector weathering the financial storm in a way that very few others have managed. Why? Well, consumers will always need to buy the products created by FMCG companies. They may not buy big items like refrigerators or cars in a recession, but floors still need to be cleaned, clothes need to be laundered and aches and pains still need to be soothed.
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The FMCG industry thinks bigger and better:
This is an industry that offers things on a whole new scale. Where else could you find yourself handling $150 million accounts? Working in FMCG gives you the chance to be a part of some global success stories and influence the way consumers shop for products. FMCG firms are always thinking of the next great discovery or innovation always developing and ever-changing to meet consumer's needs.
FMCG has a history of delivering what consumers want:

Some FMCG companies' roots are over two centuries old driving the industry to a value of $570.1 billion. In short, to quote Sam Walton, founder of Wal-Mart:"High expectations are the key to everything"
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STRUCTURAL ANALYSIS OF FMCG:
Products often cater to 3 distinct but usually wanted for aspects like necessity, comfort, luxury. They meet the demands of the entire cross section of population. Price and income elasticity of demand varies across products and consumers. Individual items are of small value (small SKU's) although all FMCG products put together account for a significant part of the consumer's budget. The consumer spends little time on the purchase decision. He seldom ever looks at the technical specifications. Brand loyal ties or recommendations of reliable retailer/ dealer drive purchase decisions. Limited inventory of these products (many of which are perishable) are kept by consumer and prefers to purchase them frequently, as and when required. Brand switching is often induced by heavy advertisement, recommendation of the retailer or word of mouth.
MARKET SIZE:
Market Size of FMCG Sector in Billions US $.

80 70 60 50 40 30 20 11.6 10 0 2003 2006 2007 2015 2020 14.6 18 33.4 74.62
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INDIAN FMCG MARKET:
The Indian FMCG sector is the fourth largest in the economy and has a market size of US$ 13.1 billion.
Well-established distribution networks, as well as intense competition between the organised and unorganised segments are the characteristics of this sector.
FMCG in India has a strong and competitive MNC presence across the entire value chain. It has been predicted that the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003.
The middle class and the rural segments of the Indian population are the most promising market for FMCG, and give brand makers the opportunity to convert them to branded products. Most of the product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita consumption as well as low penetration level, but the potential for growth is huge.
Indian FMCG industry is expected to grow at a base rate of at least 12% annually to become a Rs 4,000 billion industry in 2020. According to a new report by Booz & Company. The Report titled FMCG Roadmap to 2020 The Game Changers was released at the CII FMCG Forum 2010 in New Delhi Thursday.
The Report noted that the positive growth drivers mainly pertain to the robust GDP growth, opening up and increased income in the rural areas of the country, increased urbanization and evolving consumer lifestyle and buying behaviour.
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The report further revealed that if some of the positive factors driven mainly by improved and supportive government policy to remove supply constraints play out favourably, the industry could even see a 17% growth over the next decade, leading to an overall industry size of Rs 6,200 Billion by 2020.
The last decade has already seen the sector grow at 12% annually as result of which the sector has tripled in size.
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INDIA A LARGE CONSUMER GOODS SPENDER:
An average Indian spends around 40 per cent of his income on grocery and 8 per cent on personal care products. The large share of fast moving consumer goods (FMCG) in total individual spending along with the large population base is another factor that makes India one of the largest FMCG markets.
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CHALLENGES FACED BY FMCG COMPANIES:
FMCG is relatively less capital-intensive, but demands immense skills and expenditure on branding and distribution.
Most companies in the sector create value through product differentiation, package innovation and differential pricing and highlighting the functional aspect of foods.
Inflation restricts the industry's growth; many companies in the sector thrive under inflationary pressures.
Most companies pass on the cost inflation to consumers, via judicious blend of price hikes, packaged size reduction and change in product mix.
The top five FMCG companies constitute nearly 70% of the total revenues generated by this sector.
They tend to spend nearly 10% of their revenues on an average on advertising and promoting their products, which is the highest ad spend figure in the industry.
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The Major Players of FMCG sector in India. . . .
Hindustan Unilever Ltd; ITC (Indian Tobacco Company); Procter & Gamble Hygiene and Health Care; Nestle India; GCMMF (AMUL); Dabur India; Cadbury India; Britannia Industries...
Hindustan Unilever Limited: Hindustan Unilever Limited (abbreviated to HUL), formerly Hindustan Lever Limited, is India's largest consumer products company and was formed in 1933 as Lever Brothers India Limited.
ITC Ltd: ITC is one of India's foremost private sector companies with a market capitalisation of nearly US $ 15 billion and a turnover of over US $ 4.75 billion.
Nestle India: Nestle India is a subsidiary of Nestle S.A. of Switzerland.
Britannia Industries Ltd: Biscuits, bread, cakes, dairy products.
Emami Limited: Personal care, beauty care, health care.
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Colgate-Palmolive (India) Limited: Oral care, personal care, skin care products. Dabur India Limited: Consumer care products, Ayurvedic specialities.
Nirma Limited: Nirma is one of the few names - which is instantly recognized as a true Indian brand.
Procter & Gamble Hygiene and Health Care Limited: Health care, feminine hygiene Products.
As Per The Analysis By ASSOCHAM . . . .

Hindustan Unilever Ltd & Dabur India originates half of their sales from rural India. While Colgate Palmolive India and Marico constitutes nearly 37% respectively, However, Nestle India Ltd and GSK Consumer drives 25% of sales from rural India.
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The FMCG Companies Covers Various Market Sectors. . . . PERSONAL WASH . . .
The market size of personal wash is estimated to be around Rs. 8,300 Cr. The personal wash can be segregated into three segments: Premium, Economy and Popular. The penetration level of soaps is 92 per cent. It is available in 5 million retail stores, out of which, 75 per cent are in the rural areas. HUL is the leader with market share of ~53 per cent; Godrej occupies second position with market share of 10 per cent. With increase in disposable incomes, growth in rural demand is expected to increase because consumers are moving up towards premium products. However, in the recent past there has not been much change in the volume of premium soaps in proportion to economy soaps, because increase in prices has led some consumers to look for cheaper substitutes.
Detergents:The size of the detergent market is estimated to be Rs. 12,000 Cr. Household care segment is characterized by high degree of competition and high level of penetration. With rapid urbanization, emergence of small pack size and sachets, the demand for the household care products is flourishing. The demand for detergents has been growing but the regional and small unorganized players account for a major share of the total volume of the detergent market. In washing powder HUL is the leader with 38 per cent of market share. Other major players are Nirma, Henkel and Proctor & Gamble.
PERSONAL CARE. . . Skin Care:The total skin care market is estimated to be around Rs. 3,400 Cr. The skin care market is at a primary stage in India. The penetration level of this segment in India is around 20 per cent. With changing life styles, increase in disposable incomes, greater product choice and availability, people are becoming aware about personal grooming. The major players in this segment are Hindustan Unilever with a market share of 54 per cent, followed by CavinKare with a market share of 12 per cent and Godrej with a market share of 3 per cent.
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HAIR CARE:The hair care market in India is estimated at around Rs. 3,800 Cr. The hair care market can be segmented into hair oils, shampoos, hair colorants & conditioners, and hair gels. Marico is the leader in Hair Oil segment with market share of 33 per cent; Dabur occupies second position at 17 per cent.
Shampoos:
The Indian shampoo market is estimated to be around Rs. 2,700 Cr. It has the penetration level of only 13 per cent in India. Sachet makes up to 40 per cent of the total shampoo sale. It has low penetration level even in metros. Again the market is dominated by HUL with around ~47 per cent market share; P&G occupies second position with market share of around ~23 per cent. Antidandruff segment constitutes around 15 per cent of the total shampoo market. The market is further expected to increase due to increased marketing by players and availability of shampoos in affordable sachets.
ORAL CARE:The oral care market can be segmented into toothpaste - 60 per cent; toothpowder - 23 per cent; toothbrushes - 17 per cent. The total toothpaste market is estimated to be around Rs. 3,500 Cr. The penetration level of toothpowder/toothpaste in urban areas is three times that of rural areas. This segment is dominated by Colgate-Palmolive with market share of ~49 per cent, while HUL occupies second position with market share of ~30 per cent. In toothpowders market, Colgate and Dabur are the major players. The oral care market, especially toothpastes, remains under penetrated in India with penetration level ~50 per cent.
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FOOD & BEVERAGES . . . Food Segment :The foods category in FMCG is gaining popularity with a swing of launches by HUL, ITC, Godrej, and others. This category has 18 major brands aggregating Rs. 4,600 Cr. Nestle and Amul slug it out in the powders segment. The food category has also seen innovations like softies in ice creams, ready to eat rice by HUL and pizzas by both GCMMF and Godrej Pillsbury.
Tea :The major share of tea market is dominated by unorganized players. More than 50 per cent of the market share is capture by unorganized players. Leading branded tea players are HUL and Tata Tea.
Coffee :The Indian beverage industry faces over supply in segments like coffee and tea. However, more than 50 per cent of the market share is in unpacked or loose form. The major players in this segment are Nestl, HUL and Tata Tea.
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MBA [2011-13] OBJECTIVES OF THE STUDY

To analysis the growth of the company in terms of financial and market position. To know overall Financial position of company through ratios. To identify problems if any and suggest solution. To understand Indian Tea & Detergent sector. On the basis of study, to summarize the findings and give suggestions for further improvement.
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MBA [2011-13] SCOPE AND LIMITATION OF STUDY
SCOPE:
The study is confined to the markets of Lucknow district. The complexity of the urban and rural markets makes it difficult for marketers in India to adopt a common strategy. There are so many variables involved, and each one is casting its shadow on the marketer attempts to understand the market. The study enrich the literature related to consumer buying behavior and the factors involved in it hereby the research can be used for academic and professional courses.
The researcher also suggest consumer behavior model and the factors/ items influencing it regarding the purchase hence the research can be used as secondary research for the upcoming research scholars. The study will help in understanding the various factors which influence the buyers decision making styles in shopping malls and further help in formulating various marketing strategies to satisfy the consumer needs in the future.
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MBA [2011-13] SCOPE AND LIMITATION OF STUDY
LIMITATIONS:
Primary data might be too realistic and may suffer from personal biases of the respondents. The study may suffer from financial constraints and hence the limited sample area.
Subjective nature of the study may affect its interpretation by different individuals. The results thus obtained are just an overview of the areas and companies covered.
The data gathered and the results interpreted are what was done in a limited time frame and hence may not reveal the depth of the situation.
This dissertation is confined on the basis of more secondary data collected only hence it is not very much a reliable data for the study.
It is very difficult to check the accuracy of the information provided.
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MBA [2011-13] RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by the researcher in studying his research problem along with logic behind them. It is necessary for the researcher to know not only the research methods/techniques but also the methodology used. Researchers not only need to know how to develop certain indices or tests, how to calculate mean or median or mode, how to apply particular research techniques but must also know which of these methods or techniques are relevant and what would they mean and indicate and why Research process consists of series of actions or steps necessary to effectively carry out the research. Research methodology process includes a number of activities to be performed. These are arranged in proper sequence of timing for conducting research. One activity after another is performed to complete the research work. Research methodology includes following steps:
Types of Research:
The topic for the research study is sales promotion strategy and the nature of the topic is theoretical and descriptive. So the conduct the research study the type of research suitable is descriptive research only. The data are collected from sales records, dealers, customers and salesmen of the companies performing in FMCG sector. The descriptive research has met the requirement of research study.
Research Methods:
For collection of primary data for this research work survey and observation methods have been used. Experimental method is not found suitable for this study because the topic is a theoretical topic and there is no need to have experiments.
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Research Design:
A research design is a type of blueprint prepared on various types of blueprints available for the collection, measurement and analysis of data. A research design calls for developing the most efficient plan of gathering the needed information. The design of a Research study is based on the purpose of the study. A research design is the specification of methods and procedures for acquiring the Information needed. It is the overall pattern or framework of the project that stipulates. The basic type of research used to prepare this report is;
Descriptive
The major purpose of descriptive research is to give a description of the state of affairs, as it exists in the present. The main characteristic of this method is that researcher has no control over the variables. The researcher can only report what has happened or what is happening. What, where, When, How are the researcher and not Why. Descriptive Report is that subscription which answers or addresses all these questions. The study mainly based on the secondary data which refers to that form of Information that has been already collected and is available. These include some internal sources within the company and externally these sources include books and periodicals, published reports and data of
BK Agro Mart and the
annual reports of the company. Interaction with the various employees of the accounts department has also been a major source of information. The Data & Financial result of the past three years have been taken into consideration for analysis and calculations.
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Sampling:
An integral component of a research design is the sampling plan. Specifically, it Addresses three questions Whom to survey (The Sample Unit) How many to Survey (The Sample Size) & How to select them (The Sampling Procedure) Making a census study of the whole universe will be impossible on the account of Limitations of time. Hence sampling becomes inevitable. A sample is only a portion of the total employee strength. According to Yule, a famous statistician, the object of sampling is to get maximum information about the parent population with minimum effort.
Methods of Sampling:Probability Sampling is also known as random sampling or chance sampling. Under this sampling design every individual in the organization has an equal chance, or probability, of being chosen as a sample. This implies that the section of sample items is independent of the persons making the study that is, the sampling operation is controlled objectively so that the items will be chosen strictly at random. Non Probability Sampling is also known as deliberate sampling, purposeful and judgmental sampling. NonProbability Sampling is that which does not provide every individual in the Organization with a known chance of being included in the sample.
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MBA [2011-13] SOURCE OF DATA

For the study purpose both primary and secondary data are used. Definition of primary data:
The data that is collected directly by the respondent is called primary data. E.g. the data collected through questionnaire and schedules.
Definition of secondary data:

The data which are already available in form of reports, journals and magazines and in internet are secondary data.
The primary data collected from retailers and wholesalers dealing in the products of the company.
The secondary data collected from records of the company, retailers and dealers.
The data of past sales also have been collected from the Balance sheet of company.
The primary and secondary data have been collected to cover every aspect of the study.
The primary data are related to behavior and response of retailers, wholesalers and customers.
The secondary data shows the final statements of the company.
Considering merits and demerits of both sources of date, these have been used in combination to meet the requirements of the research work.
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MBA [2011-13] SAMPLE SIZE:

Sampling is the process in which a representative part of a population for the purpose of determining parameters or characteristics of the whole population is selected.
This is called a sample. It is easier to contact a smaller part of the population for data collection. It can be done within a limited time, efforts and with minimum cost.
For selection of a sample special care should be taken that the sample is proper representative of the whole population.
Every segment of the population should be included but the number should not be very large which may become difficult to manage within time and cost limits.
For this research study purpose out of different sampling methods the stratified random sampling has been selected.
The universe includes salesmen, wholesalers, retailers and customers of selected companies located in different parts of Lucknow region.
The retailors are selected from different areas of Lucknow. City is divided into many areas (markets) and from each area the retailers and wholesalers have been selected from the city. They have been selected randomly. So stratified random sampling has been used for the study. Keeping in view the proper representation of every segment of population and manageable size of the sample,
The sample size selected is 100.
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MBA [2011-13] METHOD OF DATA COLLECTION: There are two types of data collected by me for this Analysis... For Market Position Analysis:
Primary Data:
I used Questionnaires for the primary data collection. There are more than 100 Questionnaires, which I use for the Market Analysis.
For Financial Position Analysis:

Secondary Data:
I used Balance Sheet of The Company From April 2009 to March 2012. Other financial information of P&L A/c From April 2009 to March 2012 of the Bharat Agro Mart Pvt. Ltd.
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MBA [2011-13] INSTRUMENT USED: Instruments for data collection:

For collection of data the instruments have been used are Questionnaire Telephone mobile phone Internet E-Mail etc.
These have been used for collection of data from respondents. The data have been collected from respondents from different places. So according to suitability of instruments for data collection, these data have been used.
Statistical Tools for Data Analysis:

For data analysis the statistical tools have been used are Graphs Pie- chart Tables Percentage
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MBA [2011-13] COMPANY PROFILE

BHARAT Agro mart & BK Construction Company is a group of BK Agro mart Pvt. Ltd.
Which was established in year 2003, they manufacture some truly peerless edible oil, tea & other FMCG products. Their refined oil and tea are highly regarded in the market. They are among the most successful FMCG products manufacturers, established in India.
ABOUT COMPANY:
The main object of the company is to supply quality products and services to their esteemed customers and these they have achieved by maintaining their quality process. All their products are analyzed deftly before their packing in their fully equipped laboratory. At this company, employees are treated like their own partners. This enables them to manage a pretty good communication with their clients. At their company they personally take care of all the activities like production and distribution in their quality control set UP. They take pride in genuine and authentic production of Tea & Refined which is extract from best quality seed of plants. The leaves are taken from the most famous garden in Darjeeling, Assam and Nilgiri is available in convenient attractive packaging. Since Their establishment they have a dedicated team of professionals who work with sincerity to maintain the quality of every product, Company established itself as one of the renowned name in the market of FMCG products. This Company is increasing with a hope to achieve the best position in the market.
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VISION OF THE COMPANY:
B.K. Agromart Pvt. Ltd. products touch the lives of over 1 billion people every day whether that's through feeling great because they've got brilliant smile, keeping their health fresh an clean, or by enjoying a great cup of tea, satisfying , healthy detergent.
A CLEAR DIRECTION:
The four pillars of our vision set out the long term direction for the company where we want to go and how we are going to get there . . . We work to create a better future every day. We help people feel good, look good and get more out of life with brands and services that are good for them and good for others. We will inspire people to take small everyday actions that can add up to a big difference for the world. We will develop new ways of doing business with the aim of doubling the size of our company while reducing our environmental impact. We've always believed in the power of our brands to improve the quality of peoples lives and in doing the right thing. As our business grows, so do our responsibilities. We recognise that global challenges such as climate change concern us all. Considering the wider impact of our actions is embedded in our values and is a fundamental part.
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BOARD OF DIRECTORS: DIRECTOR CEO Marketing Head (UP.) Operation Manager (UP.) H.R. Manager (UP.) Sales Area Manager (UP.) Purchase Department Head(UP.) : : : : : : :
Mrs. Kalavati Chaudhari. Mr. Kishor Kumar. Mr. Bhanu Pratap Mr. Dharampal Mr. Dharampal Mr. Raj Kumar Mr. Kishor Kumar
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MBA [2011-13] THE COMPANY & ITS PRODUCT LINE:

Company Manufactures Three FMCG Products . . . BANDHAN TEA:
MUSTURD OIL:
BANDHAN PLUS DETERGENT POWDER:
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MBA [2011-13] PRODUCTS ARE AVAILABLE IN...

BANDHAN TEA:
Bandhan Super Gold.
Available in...
20gms Bandhan Super Gold. 40gms Bandhan Super Gold. 100gms Bandhan Super Gold. & 250gms Bandhan Super Gold...
Bandhan Classic Tea is available in 1kg only, This is the Premium quality of Bandhan. Bandhan Unique Tea is available in 250gms only.
BANDHAN PLUS DETERGENT POWDER:

200gm Bandhan Plus Detergent Powder @ Rs. 10/800gm Bandhan Plus Detergent Powder @ Rs. 40/-
MUSTARD OIL:
5 lit. Health Fresh Mustard Oil. 2 lit. Health Fresh Mustard Oil. 1 lit. Health Fresh Mustard Oil. 500ml Health Fresh Mustard Oil. 250 ml Health Fresh Mustard Oil.
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MBA [2011-13] BANDHAN TEA

Bandhan Tea has also some categories...
BANDHAN SUPER GOLD TEA:
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MBA [2011-13] BANDHAN TEA BANDHAN CLASSIC TEA:
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MBA [2011-13] BANDHAN TEA. BANDHAN UNIQUE TEA:
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MBA [2011-13] BANDHAN PLUS DETERGENT BANDHAN PLUS DETERGENT POWDER:
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MBA [2011-13] KACHCHI DHANI OIL: HEALTH PLUS MUSTURD OIL:
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MBA [2011-13] FEATURES OF THE PRODUCT:
HONEYBUSH:
Grown in the Eastern Cape region of South Africa, Honeybush has it's own distinctive flavor profile. Like Rooibos, it is also rich in unique anti-oxidants...
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LEMON MYRTLE
From Australia, Lemon Myrtle is one of the richest sources of citral with a content around 95%. Used as a blend in teas and spices...
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POWDERED EXTRACTS:
These are 100% cold water soluble extracts. Also availble in Green Rooibos and Hot water soluble varieties. These products are great for use in cosmetics...
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MBA [2011-13] MARKETING STRATEGIES:

Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage. Marketing strategy includes all basic and long-term activities in the field of marketing that deal with the analysis of the strategic initial situation of a company and the formulation, evaluation and selection of marketoriented strategies and therefore contribute to the goals of the company and its marketing objectives.
Types of strategies:
Marketing strategies may differ depending on the unique situation of the individual business. However there are a number of ways of categorizing some generic strategies. A brief description of the most common categorizing schemes is presented below: Strategies based on market dominance - In this scheme, firms are classified based on their market share or dominance of an industry. Typically there are four types of market dominance strategies: Leader Challenger Follower Nicher
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MARKET STRATEGY MAY INVOLVE THESE FOLLOWING STEPS...
Marketing strategies serve as the fundamental underpinning of designed to fill market needs and reach marketing objectives. Plans and objectives are generally tested for measurable results. Commonly, marketing strategies are developed as multi-year plans, with a tactical plan detailing specific actions to be accomplished in the current year. Marketing strategies are dynamic and interactive. They are partially planned and partially unplanned. See strategy dynamics. Marketing strategy involves careful scanning of the internal and external environments. Internal environmental factors include the marketing mix, plus performance analysis and strategic constraints. External environmental factors include customer analysis, competitor analysis, target market analysis, as well as evaluation of any elements of the technological, economic, cultural or political/legal environment likely to impact success. A key component of marketing strategy is often to keep marketing in line with a company's overarching mission statement. Once a thorough environmental scan is complete, a strategic plan can be constructed to identify business alternatives, establish challenging goals. Determine the optimal marketing mix to attain these goals, and implementation.
A final step in developing a marketing strategy is to create a plan to monitor progress and a set of contingencies if problems arise in the implementation of the plan.
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MARKETING STRATEGY: Process of Marketing Stategy:
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MBA [2011-13] COMPANY CHOOSE MARKETING STRATEGY ACCORDING TO ITS POSITION...
MARKETING STRATEGY MAY ADOPT ACCORDING TO THIS ANALYSIS:
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MBA [2011-13] BK Agro Mart promotes its products with the use of attractive schemes...
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MBA [2011-13] COMPETITORS OF BK. AGRO MART:

As the company promotes mainly two products, the Bandhan Tea & Bandhan Detergent, so the main competitors of BK Agro Mart are belongs to only Tea & Detergent sector of FMCG.
The Main Competitors of Bandhan Tea Are...

Tata Tea Wagh Bakri Mohni Tea Lipton Tea Red Label Tea Taj Mahal Tea Golden Tea
The Main Competitors of Bandhan Detergent Powder Are...

Nirma Detergent Powder Surf Excel Ghari Detergent Powder Tide.
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MBA [2011-13] COMPETITORS OF BANDHAN TEA...

1.) Tata Tea:
Tata Tea was set up in 1964 through a joint venture with UK-based James Finlay and the Tata Group for manufacturing tea and coffee. Currently Tata Tea and the UK-based Tetley group have the worlds second largest branded tea operations with a presence in 40 countries. Date of Establishment: Market Cap: Corporate Address: 1962 97706.97406 ( Rs. in Millions ) 1, Bishop Lefroy Road, Kolkata-700020, West Bengal. http://www.tataglobalbeverages.com/ Chairperson - R N Tata MD - Harish Bhat Directors - A R Gandhi, A Singh, Ajay Shankar, Ajoy Misra, Naljit Singh, AR Gandhi, C P Mistry, D B Engineer, D K Sen, Darius Pandole, F K Kavarana, Harish Bhat, J Bilimoria, J S Bilimoria, M Srinivasan, Mallika Srinivasan, P D Leeladhar etc.
Products:
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MBA [2011-13] COMPETITORS OF BANDHAN TEA:

2.) Wagh Bakri:
Waghbakri tea house is a premium tea house in inception since the year eighteen ninety two. The tea baron, Sir Narandas Desai started the company in Ahemadabad being experienced in the art of blending and tea growing which he learned while owning a tea estate in South Africa. Sir Narandas Desai was praised by Mahatma Gandhi for his commendable work. The generations that followed gave boost to his pioneering efforts and developed the business to its present status of being one of the largest tea houses in India.
Products:
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3.) Mohani Tea:
Mohani Tea Leaves Pvt. Ltd. (MTL) is synonymous with the finest tea company in the industry. The company was established with the resolution that its reputation must be based on the quality of its products. We maintain commitment to quality. It manifests itself in the imaging, branding and packaging of its entire product range and has helped us achieve sales target across several states in India and reach out to millions of satisfied customers.The company provides excellent value added quality tea to its esteemed customers.With a combination of outstanding service to our business associates and value for money products to our customers, Mohani Tea Leaves Pvt. Ltd. has rapidly gained faith of a chain of highly supportive business channel partners and satisfied customers, enabling our business to grow and flourish.
Products:
Page 47

4.) Lipton Tea:
Lipton is the world's best-known and biggest-selling branded tea, and one of the major icons in Unilever's global foods portfolio. Beneath its genteel exterior lies a surprisingly powerful product. It is the company's food and beverage brand with sales of around E3bn a year. Founder Thomas Lipton was the son of a humble shopkeeper who transformed himself into a grocery millionaire before he was 30, establishing tea plantations and food factories worldwide. Over a century later, Lipton is far and away the world's best-selling tea, a household name in more than 110 territories worldwide. Unilever's regional tea brands include PG Tips and Brooke Bond in the UK, Red Label in India, and Bushells in Australia. The company also produces ready-to-drink Lipton Iced Tea, mainly through a global partnership with PepsiCo.
Products:
Page 48

5.) Red Label Tea:
We at Brooke Bond understand you as a homemaker and we know how concerned you are about your familys health and well being. That is why we use our expertise in tea blending and tea science to unleash the goodness of tea and help you brew the magic of healthy living. At Brooke Bond, we believe that great taste can go with good health.
Products: 1.) Red Label: Has the goodness of natural flavonoids that helps improve blood circulation and
keeps you healthy.
2.) Red Label Natural Care: Has a mix of 5 Ayurvedic ingredients like Tulsi, Ashwagandha,
Mulethi, Ginger and Cardamom that are proven to improve immunity and help you fall ill less often.
Page 49
3.) Red Label Dust: Has strength, taste and comes with the Red Label promise of great quality.
4.) Red Label Special: Has 15% extra long leaves to give you great taste, colour and superior
aroma.
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6.) Taj Mahal Tea:
Brooke Bond, the 130 year-old brand from Hindustan Lever Limited, is a 1000 crore mega-brand in India which reaches out to over 500 million consumers across the country. The portfolio of Brooke Bond now covers 4 sub-brands: Brooke Bond Taj Mahal, Brooke Bond Red Label, Brooke Bond 3 Roses and Brooke Bond Taaza. The Brooke Bond logo encapsulates Brooke Bond's expertise in selecting the most appropriate tea for its consumers and also encompasses the intrinsic effect that the Brooke Bond range of teas have on the consumer.
Products: Taj Mahal Tea:

Over the years, Brooke Bond Taj Mahal Tea has been a choice of the discerning as a symbol of the best of India. Our master blenders and tasters painstakingly select the finest teas to create a robust, full-bodied brew with a lingering aroma that makes you say .. Wah Taj. Cheer your senses as you experience this exclusive brew during those precious moments with special people.
Taj Ginger Flavoured Tea Bags:

Great way to liven up Monday mornings and make evenings more interesting. Treat your senses to the lingering flavour of Ginger aromatically blended with the finest teas.
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Taj Lemon Flavoured Tea Bags:

Wake up and refresh with a cup of Taj Lemon. Treat your senses to the lingering flavour of Lemon aromatically blended with the finest teas.
Taj Cardamom Flavoured Tea Bags:

Spice things up a bit with Taj Cardamom. Treat your senses to the lingering flavour of Cardamom aromatically blended with the finest teas.
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7.) Golden Tea:
Mr. Mirza Abid Husain, a Zamindar from Lucknow set foot on the soil of Calcutta to explore the possibilities in business during early 1930s. In his endeavor he started a finance company and forged relationship with Tea Business Houses in Calcutta. Soon realizing tremendous potential in tea exports he promoted his own export company by the name Jhon Tea Company. He mastered the skill of tea tasting which became the prime factor for the success in tea business. His youngest son Mr. Mirza Mahmood Husain inherited the tasting skills and expertise from his father and promoted his own company by the name Golden Tea Centre in Lucknow during the year 1970. Since then the growth of the endeavor has been phenomenal and presently Golden Tea Company once specializing primarily in retailing of loose tea and catering to thousands of tea connoisseurs in U.P. India, has branched out into multi-faced tea related activities. Diversification from retailing to packaging was but a natural process after which the company took to Marketing of the Finest Indian Tea's in a wide range of attractive, handcrafted gift packaging.
Year of Establishment : Nature of Business Major Markets Address : : :
1970 Service Provider Indian Subcontinent, East Asia, Middle East and South East Asia Golden Palace, 86 Victoria Street, Lucknow - UP, India
Page 53
MBA [2011-13] DETERGENT POWDER

History of Detergent Powder in India:
HLL entered India in 1957 and was the undisputed leader in detergent space. Surf was the most selling detergent in India. However in 1980's Surf suffered huge losses at the hands of a new and small firm, Nirma Chemicals. Nirma was launched in 1969 and its primary focus was to create a good, branded product at affordable prices. The product was priced far lower than the market leader - Surf. Nirma caught the attention of the middle-class and lower middle class customers and had such great sales that it evicted HUL's Surf from the No. 1 position in 1985. HLL then had a look at the situation and found that there was a large market segmentation in detergent space and then came up with lower priced Wheel (green) and Rin (blue) detergent powders targeted at different market segments. This segmentation helped HLL regain part of its lost market.
This post deals with price wars which are becoming an essential part of business. But a cut in price is the last resort in a price war. We will discuss more on various tactics to fight a price war. I will primarily focus on price wars in the detergent space; will also chip in with more examples as and when suitable. Before I delve into more theories and strategies, lets have a look at some stats and series of events: The detergent market in India can be divided into premium (Surf, Arial), mid-price (Rin, Henko, Tide) and popular segments (Ghari, Wheel, Nirma, Mr. White). They account for 15%, 40% and 45% of the market share, which is 60% of the total market. Regional and small unorganized players still account for the 40% market. Per-capita consumption of detergent in India at 2.7 kg is the lowest in the world. In 1987, Ghari was launched by RSPL (Rohit Surfactancts Pvt. Ltd.), the product was also less priced and targeted at the rural customers, middle class and lower-middle class customers. It also had more or less the same positioning strategy as Nirma. Syed. Mohd. Abbas [1153870056] Page 54
MBA [2011-13]
In 1988, HUL launched Wheel to take on Nirma. In early 2000's Wheel beats Nirma and takes the No.1 spot.
In late 2011 and early 2012, Ghari beats Wheel and takes the No.1 spot in Indian detergent industry. Currently, Ghari is the market leader with a market share of 17.3%, Wheel is at number 2 with a share of 16.9%, Tide is 3rd with a market share of 13.5%. Nirma has market share of less than 6% now. Interesting facts. HUL is still the overall market giant with Wheel, Rin and Surf (one product for each segment) doing well. But Ghari is now the overall market leader. Ghari has grown from strength to strength with its target market segment and affordable pricing. Ghari has spread its distribution network to more states now and directly reaches rural markets, which is its biggest audience. The company has entered 10 more states in the last three years and now peddles its ware in 19 states, through more than 3,500 dealers. It has 21 manufacturing units, 15 of which were added since 2006.
Market Share of Detergents

15%
45%
Surf, Arial Rin, Tide, Henko Ghari, Wheel, Nirma 40%
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MBA [2011-13] COMPETITORS OF BANDHAN PLUS DETERGENT POWDER:

1.) Surf Excel:
Surf Excel launched in 1959, is one of the oldest detergent powders in India and Pakistan. Initially, the brand was positioned on the clean proposition of washes whitest. However, with the emergence of numerous local detergent manufacturers and the entry of other global brands, Surf Excel underwent various changes in its Brand Communication. This is in line with the global communication platform of Dirt Is Good, which is a communication strategy of Unilever for its premium detergent products, sold under various brand names; such as Omo in Brazil and Persil in UK and France. Today, Surf Excel leads the Premium Fabric Wash Category in India. Some of the other major detergent products of Unilever in India are Rin and Wheel. The latest entry into the segment is Comfort, a Fabric Conditioner.
Products:
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2.) Fena Detergent Powder:
FENA is a first generation entrepreneurial venture, which was started in 1976 with modest resources. Over the years, it has grown steadily to its present position and is recognized as a leading player in the field of fabric care, home care & personal care products in India with a growing export business spanning a diversified product range. FENA today, is a professionally managed Company which seeks to realize its vision within the framework of its well defined value system. It has developed a core competence in the manufacturing and marketing fields and is continuously adding an exciting range of new products in Fabric Care, Home Care and Personal Care segments for domestic and export market.
Retail Price (INR) 2.5 KG 1 KG 475 Gms 235 Gms 100 Gms 15 Gms 104.00 42.00 20.00 10.00 5.00 1.00
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3.) Tide Detergent Powder:
Place of Origin Brand Name India Tide
Variants 1 Variant 2 Variant 3 Sizes
Sun & Lemon Jasmine & rose Natural 200gms, 1Kg, 2Kg, 3.5Kg & 6Kg
Products:
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4.) Ghari Detergent Powder:
Rohit Surfactants Pvt. Ltd. A flagship company of RSPL Ltd group, owner of Trademark Ghari was incorporated on 22nd june 1988 with the name Shri Mahadoe Soap Industries Pvt. Ltd. And the name was changed to its present name with effect from 17th june 2005. The group has under gone another major restructuring in year 2008. The said restructuring has enabled the group to consolidate the detergent. "Ghari Detergent" A name trusted in every household across India with decades of experience, Ghari Soap offers quality products ranging from soaps and detergents that fit into life, making it simple and effortless. Ghari beat big player HUL's brands in the detergent market share battle recently. In India and across the world the washing powder business has been full of such twists. And the history is not all clean. ET on Sunday presents a brief and interestingly unclean history of selling detergents.
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MBA [2011-13] GOVT. POLICY:
The removal of surcharge on tea and duty on vanaspati and refined edible oils will have a marginally positive impact on companies like Tata Tea, HLL and Marico. The focus on replantation and rejuvenation of tea plantations will benefit the sector over the long term, but there is nothing material in it for companies immediately. Implementation of VAT is a positive move over the long term. This is likely to pave the way for a singular tax going forward, which will help companies cut costs ands become more competitive in the long run. Reduction in duty on refrigerated vans will give a boost to the processed food industry. A positive for players like Amul, Nestle, HLL and Britannia. Area specific excise exemptions for North East, J&K, Himachal Pradesh will continue to encourage FMCG companies to relocate to these areas. The corporate tax rate change is unlikely to benefit the FMCG companies much, as most pay an effective tax rate of less than 30% anyway. The push to agriculture and rural India is likely to aid rural India's development in the long run. It has the potential to induce increased usage of FMCG products going forward. Individual tax benefits too are a positive for the sector.
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MBA [2011-13] MAJOR PROBLEMS:

The Major Problem of This Company is that the company has not enough capital for electronic advertising, so the customers are not very aware to this product. Thats why the people are not aware about the product of this company. So, the company is depends on the rural and Small town areas, and promotes its product into rural & Town Market. However the company set a good margin for the wholesalers and retailers, So that they can promote their product in the market. But there is another big problem in front of the company that, The wholesalers and retailers want to purchase product on credit from the company. The company beers the lose because of due payments of debtors. The other market players of Tea like, Tata Tea, Mohni, Red Label, Lipton and Golden Tea have good market coverage. Likewise in Detergent Market - Ghari, Surf , Nirma, Tide have a good market share, and the competition is very tough now. Company have need to promote the products by Ad and Sampling.
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MBA [2011-13] ACHIEVEMENTS:
The Company has work in Four States; UP, Uttarakhand, Bihar & Chennai. The company covers Approx 40 Districts market. The company has succeeded to make a big market segment in rural area. In rural area customer prefers its product. Company has more than... 38 Districts 480 Distributers 121 Super Stockist 37 Area Sales managers
68 Sales Officers 115 Sales Representatives 1 Crore Turnover from September 2012
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MBA [2011-13] SWOT ANALYSIS:
SWOT Analysis Is A Structured Planning Method Used To Evaluate...

The Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. A SWOT analysis can be carried out for a product, place or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective.
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MBA [2011-13] SWOT ANALYSIS:

Strengths:
Characteristics of the business, or project team that give it an advantage over other. Low operational costs. Presence of established distribution networks in both urban and rural areas. Presence of well-known brands in FMCG sector.
Weaknesses:
Weaknesses: are characteristics that place the team at a disadvantage relative to others. Lower scope of investing in technology and achieving economies of scale, especially in small sectors. Low exports levels. "Me-too products, which illegally mimic the labels of the established brands. These products narrow the scope of FMCG products in rural and semi-urban market.
Opportunities:
Opportunities: external chances to improve performance in the environment. Untapped rural market. Rising income levels, i.e. increase in purchasing power of consumer. Large domestic market- a population of over one billion.. Export potential. High consumer goods spending.
Threats:
Threats: external elements in the environment that could cause trouble for the business or project. Removal of import restrictions resulting in replacing of domestic brands. Slowdown in rural demand. Tax and regulatory structure.
Page 64
MBA [2011-13] PROJECT TOPIC:

Growth of B.K. Agro Mart From 2009 To 2012 In Terms Of Financial & Market Position. Its about to analysis the financial position of the company in last three years from April 2009 to March 2012 in terms of...
Gross Profit Working Capital Current Assets & Liabilities Debtors Turnover And Inventory Turnover
And in Marketing terms...

Price Quality & Taste Availability Packaging Scheme & Offers etc.
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MBA [2011-13] SURVEY:

During the summer training, I survey in the lucknow market... The purpose was to know the market position and consumer behaviour regarding the Product (Bandhan Tea & Bandhan plus Detergent). The survey was done among the more than 110 Distributors & Retailers of Bandhan Tea & Detergents. The Survey was done into the lucknow market, and I cover following market...
Daliganj; Anna Market; Takrohi Market; Shakti Nagar; S. G. Puram; Meena Market; Nishatganj; Akbari Gate; Asifabaad; Turiyaganj; Dubagga; Rajaji Puram; Kalyanpur; Ahilyabai Nagar etc.
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MBA [2011-13] FEEDBACK:

After doing the financial analysis, I found:According to its turnover and achievements company is running in its sound position.
But, during the survey I found that customers (Retailers) were not satisfied with delivery of products.
They complain that company is unable to meet its supply on time.
And the sales representatives of the company are not working properly.
However, the distributers and retailers are agree with the Quality, Taste, Price, Their Margin, Schemes and Packaging of the both products; Banhan Tea and Bandhan Plus Detergent.
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MBA [2011-13] DATA ANALYSIS:

The data Analysis is done in two different prospects... 1) Financial data Analysis:
a) Ratio Analysis: i) Current Ratio ii) Liquidity Ratio iii) Gross Profit Ratio iv) Inventory Turnover Ratio v) Debtor Turnover Ratio vi) Fixed Turnover Ratio vii) Capital Turnover Ratio b) Working Capital Analysis c) On the basis of Current Assets & Current Liability
2) Market Position Analysis:

a) Questionnaire Data Analysis regarding Bandhan Tea. b) Questionnaire Data Analysis regarding Bandhan Detergent.
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MBA [2011-13] Financial Analysis:

1. Compare the current ratio of Bharat Agro Mart for 3 years? Current Ratio = Current Assets / Current Liability
2012 = 1013.94/695.70 = 1.457 : 1 2011 = 689.12/539.05 = 1.278 : 1 2010 = 477.72/471.73 = 1.013 : 1
Current Ratio
2012 1.457
2011
1.278
2010
1.013
0.2
0.4
0.6
0.8
1.2
1.4
1.6
Interpretation:
The Ideal Current Ratio is 2:1. And The companys Current Ratio is 1.457 : 1 which is Increasing Continuously. And It is going close to the Ideal Ratio 2:1.
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2. Compare the Liquidity ratio of Bharat Agro Mart for 3 years.? Liquidity ratio = Liquid Asset/Current Liability
2012 = 485.37/695.70 = 0.6976 : 1 2011 = 228.54/539.05 = 0.424 : 1 2010 = 179.28/471.73 = 0.380 : 1
Quick Ratio
2012 0.698
2011
0.424
2010
0.38
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
Interpretation: The Ideal Quick Ratio is 1:1.

And Companys Quick Ratio is 0.698 : 1 which is Increasing Continuously.

And it is going close to the Ideal Ratio 1:1.
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3. Compare the Gross profit ratio of Bharat Agro Mart for 3 years. Gross profit = Gross Profit*100/Sales
2012 = 291.82*100/1326.46 = 21.99% 2011 = 251.41*100/1142.80 = 20.26% 2010 = 223.59*100/1016.32 = 18.53%
22.00% 21.00% 20.00% 19.00% 20.26% 18.00% 18.53% 17.00% 16.00% 2010 2011 2012 21.99%
Interpretation:
The company had shown an increasing trend in last 3 years, The company had highest gross profit in the end of march 2012. Which Shows the soundness of the company.
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4. Compare the Inventory Turnover Ratio of Bharat Agro Mart for 3 years. Inventory Turnover Ratio = Sales/Closing Stock
2012 = 1326.46/528.57 = 2.5 times 2011 = 1142.80/460.58 = 2.48 times 2010 = 1016.32/298.44 = 3.40 times
3.5 3 2.5 2 1.5 1 0.5 0 2010 2011 2012 3.4 2.48 2.5
Interpretation:
The company had highest Inventory turnover in 2010. Then it decrease in 2011 but again recover itself in 2012. It Increase in 2012 with a little improvement.
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5. Compare the Debtor Turnover Ratio of Bharat Agro Mart for 3 years. Debtor Turnover Ratio = Credit Sales/Debtors
2012 = 1127.49/ 224.17 = 5.03 2011 = 971.38/202.46 = 4.80 2010 = 863.87/103.48 = 6.62
7 6 5 4 3 2 1 0 2010 2011 2012
6.62 4.8 5.03
Interpretation: The company had lowest credit sales in 2011 and highest in year 2010. It shows that in the year 2012. The companys maintain a moderate turnover ratio i.e 5.03
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6. Compare the Fixed Turnover Ratio of BK. Agro Mart for 3 years. Fixed Turnover Ratio = Sales/Net Fixed Assets
2012 = 1326.46/636.12 = 2.09 2011= 1142.80/631.32 = 1.81 2010 = 1016/633.87 = 1.60
2.5
1.5 2.09 1 1.6 1.81
0.5
0 2010 2011 2012
Interpretation: In 2010 the company had lowest fixed turnover ratio and highest in the 2012. It shows that the fixed Assets are properly used from the initial year It is increasing in every year, which is satisfactory in all years.
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7. Compare the Capital Turnover Ratio of BK. Agro Mart for 3 years. Capital Turnover Ratio= Cost of Goods Sold/Capital Employed
2012 = 1034.64/25.12 = 41.19 2011 = 891.39/11.92 = 74.78 2010 = 792.73/23.31 = 34.01
80 70 60 50 40 30 20 10 0 2010 2011 2012 34.01 41.19 74.78
Interpretation:
The company had highest capital turnover ratio in 2011. It shows that the company utilise its capital employed efficiently in 2011.
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8. Comparison of Working Capital of last 3 years. Working Capital = Current Assets Current Liability
2012 = 1013.94 - 695.70 = 318.24 2011 = 689.12 539.05 = 150.07 2010 = 477.72 471.73 = 5.99
Working Capital
350 300 250 200 150 100 50 0 5.99 2010 2011 2012 150.07 318.24
Interpretation:
In 2010 the company had very nominal working capital i.e only 5.99 lacs But it increases in next years and reach on 150.07 lac with the in 2011. And 318.24 lac in 2012.
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9. Comparison of Current Assets & Current Liability in last 3 years. YEARS
2010 2011 2012
Current Assets
477.72 689.12 1013.94
Current Liability
471.73 539.05 695.70
1200 1013.94 1000 800 600 400 200 0 2010 2011 2012 689.12 695.7 477.72 471.73 539.05 Current Assets Current Liability
Interpretation:
In 2010, there is nominal difference between current Assets & Current Liability. But in 2011, the company improves the condition and make a good difference. In 2012 company again improve its current Assets more than last years.
Page 77
MBA [2011-13] 2. Market Analysis:

1.) Which Factor affects your buying decision?
a) Brand Name b) Price c) Quality d) Availability
Factor affects your buying decision

10% 40% 30% Brand Name Price Quality & Taste Availability 20%
Interpretation:
This analysis shows that consumer prefers brand first, Lump sum 40% People prefers their favourite brands. Yet 20% people Prefers low price or their budgeted price. 30% people moves one brand to other for their quality & taste satisfaction. And 10% people have no interest in brand, taste or price; they go to shop and buy whichever is available in the shop.
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MBA [2011-13] Market Analysis:

2.) Which Brand you prefer most?
a) Tata Tea b) Bandhan c) Taza d) Other Tea
Brand you Prefer Most

20% 15%
Bandhan Tata Tea 25% 40% Taza Others
Interpretation:
This analysis says that retailers mostly prefer to Tata Tea, lump sum 40%. Taaza. Preferred 25% by retailers. Other brands also prefer by the retailers, lump sum 20%. Yet Bandhan Tea sells 15% by the retailers.
Page 79

3.) With which product of Bandhan Tea you are satisfied most.? a) Bandhan Super Gold Tea
b) Bandhan Classic Tea c) Bandhan Unique Tea d) Bandhan Tea
Most Satisfying Product

5% 15% 30% Bandhan Super Gold BandhanClassic Bandhan Unique 50% Bandhan Tea
Interpretation:
According to Retailers analysis, customer prefers Bandhan classic. Lump sum 50% customers prefer Bandhan Classic Tea. 30% customer prefers Bandhan Super Gold. Banndhan Unique Tea is used by 15% customers. And only 5% customer Purchase Simple Bandhan Tea, Because this tea is used in the Tea stall.
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MBA [2011-13]
Market Analysis:
Q.4) Which income levels Customers prefer Bandhan Tea.?
a) Below 10,000 per month b) 10,000 to 20,000 per month c) 20,000 to 25,000 per month d) Above 25,000 per month
Income Level
5% 5%
37% 53%
Below 10,000 10,000 to 20,000 15,000 to 25,000 Above 25,000
Interpretation:
This analysis shows that Bandhan Tea is mostly preferred by the middle class people who comes under the Rs. 10,000 to 20,000 income level. But the tea is also popular among the higher middle class. i.e: Rs. 15000 to 25000 income level.
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MBA [2011-13]
Market Analysis:
Q5.) On which basis Customer choose Bandhan Tea.?
a) Quality & Taste Base b) Price Base c) Both Base d) Scheme Base
10% 5%
20%
Quality & taste Price Both 65% Scheme
Interpretation:
This analysis says that Bandhan Tea is known for its Nominal price and 65% of its customers preferred bandhan tea for it. But some customers, prefers bandhan tea for it Quality also, and i.e: lump sum 20%. 10% people attracts for its offers & schemes.
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Q6.) On which basis customer choose Bandhan plus Detergent Powder.?
a) Quality b) Price c) Both d) Scheme
6% 11%
20%
Quality Price Both Scheme 63%
Interpretation:
This analysis says that Bandhan plus Detergent powder is known for its Nominal price and lump sum 65% of its customers preferred bandhan Detergent powder for its price. But some customers, prefer bandhan Detergent powder for it Quality also, and i.e: lump sum 20%. 6% people attracts for its offers & schemes.
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Q7.) How much you satisfied with the quality & taste of bandhan tea.?
a) Highly Satisfied b) Average Satisfied c) Below than Average
8% 26%
Highly Satisfied Average Satisfied 66% Below than Average
Interpretation:
According to this analysis mostly retailers are average satisfied with this product. Lump sum 66% retailers are average satisfied. 26% retailers are highly satisfied. Yet 8% retailers are not satisfied with the product.
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MBA [2011-13]
Market Analysis:
Q8.) How much you Satisfied with the Quality of Bandhan Detergent Powder.?
a) Highly Satisfied b) Average Satisfied c) Below than Averages
13%
20%
Highly Satisfied Average Satisfied Below than Averages 67%
Interpretation:
According to this analysis mostly retailers are average satisfied with this product. Lump sum 67% retailers are average satisfied. 20% retailers are highly satisfied. Yet 13% retailers are not satisfied with the product.
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MBA [2011-13]
Market Analysis:
Q9.) How much you Satisfied with the Price of Bandhan Tea.?
5% 40% Highly Satisfied 55% Average Satisfied Below than Average
Interpretation:
According to this analysis mostly retailers are average satisfied with the price of the product. Lump sum 55% retailers are average satisfied. 40% retailers are highly satisfied. Yet 5% retailers are not satisfied with the price.
Page 86

Q10.) How much you satisfied with the Price of Bandhan Detergent Powder?
a) Highly Satisfied
b) c)
Average Satisfied Below than Averages
13% 42% Highly Satisfied Average Satisfied 45% Below than Averages
Interpretation:
According to this analysis mostly retailers are average satisfied with the price of the product. Lump sum 45% retailers are average satisfied. However a big percentage of retailers, lump sum 42% are highly satisfied with the price. Yet 5% retailers are not satisfied with the price.
Page 87

Q11.) How much you Satisfied with the Availability of the Bandhan Tea?
a) Highly Satisfied
b) c)
4% 36% Highly Satisfied 60% Average Satisfied Below than Averages
Interpretation:
According to this analysis mostly retailers are not satisfied with the availability of the product. They complains that the supply of the product is very poor. Lump sum 60% retailers are not satisfied with supply of the product. 36% retailers are average satisfied. Yet 4% retailers are highly satisfied with the availability of the product, I think it may be the result of different areas.
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Q12.) How much you Satisfied with the Availability of the Bandhan Detergent Powder?
5%
40% 55%
Highly Satisfied Average Satisfied Below than Averages
Interpretation:
The same story with the Detergent powder. According to this analysis mostly retailers are not satisfied with the availability of the product. They complains that the supply of the product is very poor. Lump sum 55% retailers are not satisfied with supply of the product. 40% retailers are average satisfied. Yet 5% retailers are highly satisfied with the availability of the product.
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Q13.) How much you Satisfied with the Packaging of the Bandhan Tea?
a) Highly Satisfied
b) c)
7% 25%
Highly Satisfied Average Satisfied 68% Below than Averages
Interpretation:
This analysis shows that mostly retailers are Average satisfied with the packaging of the product. They looks satisfied with the packaging. Lump sum 68% retailers are Average satisfied with packaging of the product. 25% retailers are below than average satisfied. Yet 7% retailers are highly satisfied with the availability of the product.
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MBA [2011-13]
Market Analysis:
Q14.) How much you Satisfied with the Packaging of the Bandhan Detergent Powder.?
a) Highly Satisfied
b) c)
8% 37% Highly Satisfied Average Satisfied 55% Below than Averages
Interpretation:
This analysis also shows that mostly retailers are Average satisfied with the packaging of the detergent powder. They looks satisfied with the packaging. Lump sum 55% retailers are Average satisfied with packaging of the product. 37% retailers are below than average satisfied. Yet 8% retailers are highly satisfied with the availability of the product.
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MBA [2011-13] FINDINGS:

Findings of Financial Analysis: After doing the financial analysis, I found:The companys Current Ratio is 1.457 : 1 which is Increasing Continuously. And It is going close to the Ideal Ratio 2:1. Companys Quick Ratio is 0.698 : 1 which is Increasing Continuously. And it is going close to the Ideal Ratio 1:1. The company had shown an increasing trend in gross profit ratio in last 3 years. In 2010 the company had lowest fixed turnover ratio and highest in the 2012. It shows that the fixed Assets are properly used from the initial year The company shows a decreasing trend in Inventory turnover. Companys debtors are increasing with a slow rate every year, this analysis shows that the company have moderate credit policy. The company had highest capital turnover ratio in 2011. It shows that the company utilise its capital employed efficiently in 2011. But due to some reasons it decrease again in 2012. In 2010 the company had very nominal working capital i.e only 5.99 lacs But it increases in next years and reach on 150.07 lac with the in 2011. And 318.24 lac in 2012. In 2010 the company had very nominal working capital i.e only 5.99 lacs But it increases in next years and reach on 150.07 lac with the in 2011. And 318.24 lac in 2012. In 2010, there is nominal difference between current Assets & Current Liability. But in 2011, the company improves the condition and make a good difference. In 2012 company again improve its current Assets more than last years. It shows that company is sound as time passes and proper utilising of current assets.
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MBA [2011-13]
Findings of Marketing Analysis: After doing the Marketing analysis, I found:This analysis shows that consumer prefers brand first, Lump sum 40% People prefers their favourite brands. This analysis says that retailers mostly prefer to Tata Tea, lump sum 40%. Yet Bandhan Tea sells 15% by the retailers. This analysis shows that Bandhan Tea is mostly preferred by the middle class people who comes under the Rs. 10,000 to 20,000 income level. But the tea is also popular among the higher middle class. i.e: Rs. 15000 to 25000 income level. According to Retailers analysis, customer prefers Bandhan classic. Lump sum 50% customers prefer Bandhan Classic Tea. 30% customer prefers Bandhan Super Gold. This analysis says that Bandhan Tea is known for its Nominal price and 65% of its customers preferred bandhan tea for it. But some customers, prefers bandhan tea for it Quality also, and i.e: lump sum 20%. 10% people attracts for its offers & schemes. According to this analysis mostly retailers are average satisfied with this product. Lump sum 66% retailers are average satisfied. 26% retailers are highly satisfied. Yet 8% retailers are not satisfied with the product. The same story with the Detergent powder. According to this analysis mostly retailers are not satisfied with the availability of the product. They complains that the supply of the product is very poor. Lump sum 55% retailers are not satisfied with supply of the product. 40% retailers are average satisfied. Yet 5% retailers are highly satisfied with the availability of the product.
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MBA [2011-13] SUGGESTIONS / RECOMMENDATION:

In financial terms:
According to its turnover and achievements company is running in its sound position at its level. But it is in short run, if company wants to improve its level of business and make a good brand company must have to do some new innovations. There is a need to manage proper supply of the product in the market. There is big need of advertising and promotion of the product and company. However company gives ad time to time in the news papers but Company should adopt electronic advertisement like; Television and Radio. To improve this it must increase current assets and control the current liabilities. To improve the operating ratio company should try to control the operating costs. To improve the net profit ratio company needs to concentrate on the operating costs and try to increase the sales. Company must have to control its average collection period.
Page 94
MBA [2011-13] CONCLUSION

When I analyzed the overall performance I conclude the study i.e. Firms liquidity position is satisfactory and meets out its obligations.
The sale of the company fluctuated due to not utilizing its resources properly.
Company is following a liberal credit policy.
Customers are satisfy with the product quality & Taste.
Customers are satisfy with its price.
Customers are happy with its schemes.
Retailer are happy on the response of the customers.
Retailers & Distributers are satisfy with the schemes & offers on the product.
But they complain about the interrupted supply of product.
Overall company is in sound Position according to its level.
There is a need to improve the level of the company.
Page 95
MBA [2011-13] BIBLIOGRAPHY:

For this analysis, I consult following books and Internet links...
Financial Management by M.Y. Khan & P.K. Jain Financial Management by I.M. Pandey Balance sheet of BK. Agro Mart From April 2009 to March 2012. Some other financial data from P&L A/c. of BK. Agro Mart. Class notes Internet www.bharatagromart.com www.wikipediya.com www.scribd.com Slide share
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MBA [2011-13] ANNEXURE: Questionnaire

I. II. III. IV. V. VI. Name of the distributer/Retailers: .......................................................... Age: .............................................. Phone No: ..................................... Gender: ......................................... Income: ........................................ Address: .......................................
1.) Which Factor affects your buying decision?

a) Brand Name b) Price c) Quality d) Availability
2.) Which Brand you prefer most?

a) Tata Tea b) Bandhan c) Taza d) Other Tea
3.) With which product of Bandhan Tea you are satisfied most.? a) Bandhan Super Gold Tea
b) Bandhan Classic Tea c) Bandhan Unique Tea d) Bandhan Tea Syed. Mohd. Abbas [1153870056] Page 97
MBA [2011-13]
Q.4) Which income levels Customers prefer Bandhan Tea.?
a) Below 10,000 per month b) 10,000 to 20,000 per month c) 20,000 to 25,000 per month d) Above 25,000 per month
Q5.) On which basis you choose Bandhan Tea.?

a) Quality Base b) Price Base c) Both Base d) Scheme Base
Q6.) On which basis you choose Bandhan Detergent Powder.?

a) Quality b) Price c) Both d) Scheme
Q7.) How much you satisfied with the quality & taste of bandhan tea.?
a) Highly Satisfied b) Average Satisfied c) Below than Average
Q8.) How much you Satisfied with the Quality of Bandhan Detergent Powder.?
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MBA [2011-13]
Q9.) How much you Satisfied with the Price of Bandhan Tea.?
Q10.) How much you satisfied with the Price of Bandhan Detergent Powder?
a) Highly Satisfied
b) c)
Q11.) How much you Satisfied with the Availability of the Bandhan Tea?
a) Highly Satisfied
b) c)
Q12.) How much you Satisfy with the Availability of the Bandhan Detergent Powder?
Q13.) How much you Satisfy with the Packaging of the Bandhan Tea?
a) Highly Satisfied
b) c)
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MBA [2011-13]
Q14.) How much you Satisfied with the Packaging of the Bandhan Detergent Powder?
a) Highly Satisfied
b) c)
Page 100
MBA [2011-13]
BALANCE SHEET
BK AGRO MART PVT. LTD. All Figure in Lac (INR) Application Of Funds Gross Block Less: Accum. Depreciation Net Block Capital Work in Progress Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA, Loans & Advances Differed Credit Current Liabilities Provisions Total CL & Provisions Net Current Assets Miscellaneous Expenses Total Assets Contingent Liabilities Book Value (Rs) Mar '12 883.23 297.90 585.33 25.12 552.72 528.57 224.17 261.20 1,013.94 603.61 30.09 1,647.64 0.00 695.70 592.40 1,288.10 359.54 53.83 1,576.54 1,337.82 7.48 Mar '11 766.88 269.32 497.56 11.92 519.23 460.58 202.46 26.08 689.12 461.81 166.33 1,317.26 0.00 539.05 535.36 1,074.41 242.85 82.95 1,354.51 1,075.89 6.33 Mar '10 687.23 236.28 450.95 23.31 348.51 298.44 130.48 48.80 477.72 348.94 115.11 941.77 0.00 471.73 440.10 911.83 29.94 2.74 855.45 173.48 8.64
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MBA [2011-13] DATA COLLECTED FROM THE TRADING AND PROFIT & LOSS A/C (FIGURE IN LAC);
Particular 2012 2011 2010
Net sale
1326.46
1142.80
1016.32
Fixed assets
636.12
631.32
633.87
Current assets
1013.94
689.12
477.72
Current liabilities
695.70
539.05
471.73
Gross profit
291.82
251.41
223.59
Closing stock
528.57
460.58
298.44
Credit sale
1127.49
971.38
863.87
Cost of good sold
1034.64
891.39
792.73
Page 102

Abbas Final Project

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MBA [2011-13]

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] INTRODUCTION FMCG INDUSTRY:

Syed. Mohd. Abbas [1153870056]

Automatic investment approval for FDI up to 100%.

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] THE FACTS ABOUT THE FMCG INDUSTRY

FMCG companies are behind the biggest brands in the world:

The FMCG industry changes fast and is constantly evolving:

FMCG firms thrive on employee and customer retention:

FMCG companies can beat the recession:

Syed. Mohd. Abbas [1153870056]

FMCG has a history of delivering what consumers want:

Syed. Mohd. Abbas [1153870056]

Market Size of FMCG Sector in Billions US $.

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Nestle India: Nestle India is a subsidiary of Nestle S.A. of Switzerland.

Britannia Industries Ltd: Biscuits, bread, cakes, dairy products.

Emami Limited: Personal care, beauty care, health care.

Syed. Mohd. Abbas [1153870056]

As Per The Analysis By ASSOCHAM . . . .

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] OBJECTIVES OF THE STUDY

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] SCOPE AND LIMITATION OF STUDY

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] SCOPE AND LIMITATION OF STUDY

It is very difficult to check the accuracy of the information provided.

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] RESEARCH METHODOLOGY

Syed. Mohd. Abbas [1153870056]

BK Agro Mart and the

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] SOURCE OF DATA

Definition of secondary data:

The secondary data shows the final statements of the company.

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] SAMPLE SIZE:

The sample size selected is 100.

Syed. Mohd. Abbas [1153870056]

For Financial Position Analysis:

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] INSTRUMENT USED: Instruments for data collection:

Statistical Tools for Data Analysis:

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] COMPANY PROFILE

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] THE COMPANY & ITS PRODUCT LINE:

BANDHAN PLUS DETERGENT POWDER:

Syed. Mohd. Abbas [1153870056]

MBA [2011-13] PRODUCTS ARE AVAILABLE IN...

BANDHAN PLUS DETERGENT POWDER:

Syed. Mohd. Abbas [1153870056]