RESEARCH PROJECT REPORT

On A study of Job Analysis and its impact on Larsen and Tourbro Towards partial fulfillment of Master of Business Administration (MBA)
School of Management, Babu Banarasi Das University, Lucknow
Guided by (Name of the Guide) Submitted by (Name of the Student)

Session 2012-2013

School of Management

Babu Banarasi Das University

Sector I, Dr. Akhilesh Das Nagar, Faizabad Road, Lucknow (U.P.) India

ACKNOWLEDGEMENT
It gives me pleasure to present this report. This report is out come of the study on A

study of Job Analysis and its impact

on Larsen and Tourbro. I got support from many people without

their help I would not have got success. I wish to record sincere appreciation and thanks to them. First of all I would like to thanks Mr. SRINIVASA SASTRY garu, principal, MALLA REDDY INSTITUTE OF MANAGEMENT for undertaking this project work. I am also thankful to N.V.SHARMA, MBA faculty for Human Resource, Malla Reddy Institute of Management. Who helped me throughout my study and helped me in analysis and interpretation of data preparing the final draft. I am thankful to Mr. J.RAVI KUMAR, head of the department of master of business administration for his encouragement and help throughout the M.B.A course. I am very grateful to Mr. V.V.NAIDU, Senior HR Manager for helping me in various steps and encouraging me for having me an opportunity to work in their organization on a project. Finally, I am very thankful to all of my friends whose cooperation and suggestions have helped me in successful complete of this project.

PREFACE
The topic chosen by me for my project is

A study of Job

Analysis and its impact on Larsen and Tourbro

In reference to Larsen and Toubro. At present L&Tis market leader in the Indian market in four wheeler segment.

Today there are various companies coming in Indian and these certainly will exist a cutthroat competition in these field. I have chosen a Larsen and Toubro as a topic essence of my project .today four wheeler consumer due to new manufacturing entrant has started getting a wide choice while buying one these gave to considered the facility provided by the four wheeler the price

,mileage , maintenance and service etc. while buying a four wheeler

A normal customer is quit puzzled and faces for an uneven some time huge problems in deciding which vehicle to buy. I realized the problem and decide to take these up as the challenge and provide answer to as the requirement of The Larsen and Toubro.

EXECUTIVE SUMMARY

CONTENT
Certificate Acknowledgement Preface Executive Summary Table of content Introduction Company profile Organization chart Aims and objectives Objectives of the study Research Methodology Problems and limitations Findings, Analysis & Interpretations SWOT/ETOP analysis Suggestions/Recommendations Conclusion Appendix Bibliography Page Nos.

Introduction
India is an emerging country with huge potential. The domestic economy is now growing at around 9-10% per annum and Indias importance in global terms is being reinforced by rapidly rising exports and domestic consumption. At a time when numbers of a slowdown and overheating in the Indian economy have started gaining momentum, the Indian rupee sprang a surprise by pushing the GDP figure past the trillion-dollar (42,00,000 crore) mark. The automotive industry is at the center of Indias new global dynamic. The domestic market expanding rapidly as incomes rise and consumer credit becomes more widely available. Manufacturers product lines are being continually expanded, as is the local automotive manufacturing base. Expectation are high that India can develop as a global hub for vehicle manufacturers and as an outsourcing center that offers the global automotive industry solution high up the automotive value chain. India eyes 25 million automotive jobs.
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India's GDP is set to double over the next decade In percentage terms, the automotive industry's contribution should also double.

In dollar terms, the sector's contribution is set to quadruple to some $145bn

With the worlds second largest and fastest-growing population, there is no denying Indias potential in both economic and population terms and the effect it will have on the auto industry in the years to come. The country is already off to a good start, with a well-developed components industry and a production level of 1 million four-wheeled vehicles a year, plus a further 5 million two- and three-wheelers.

Historical back ground

In India there are 100 people per vehicle, while this figure is 82 in China. It is expected that Indian automobile industry will achieve mass motorization status by 2014. Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the then Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy. Today Indian automotive industry is fully capable of producing various kinds of vehicles and can be divided into 03 broad categories: Cars, twowheelers and heavy vehicles.
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 The first automobile in India rolled in 1897 in Bombay. India is being recognized as potential emerging auto market. Foreign players are adding to their investments in Indian auto industry. Within two-wheelers, motorcycles contribute 80% of the segment size Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%). Larsen and Toubro dominates over 60% of the Indian commercial vehicle market. 2/3rd of auto component production is consumed directly by OEMs. India is the largest three-wheeler market in the world. India is the largest two-wheeler manufacturer in the world. India is the second largest tractor manufacturer in the world. India is the fifth largest commercial vehicle manufacturer in the world. The number one global motorcycle manufacturer is in India. India is the fourth largest car market in Asia - recently crossed the 1 million mark.

FOUNDATION - The seeds of what would mature and become today's L&Tgroup were laid long years before India became

independent.

CONSOLIDATION - The L&Tgroup ventured into new areas and built on the foundations,

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in spite of the restraints imposed by a controlled economy.

LIBRILISATION

-The

Indian

economy

unleashed a period of remarkable growth

for

the

L&Tgroup,

in

India

and

worldwide.

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FIVE CORE VALUES OF L&T

The L&TGroup has always sought to be a value-driven organization. These values continue to direct the Groups growth and businesses. The five core L&Tvalues underpinning the way we do business are:

Integrity: We must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny.

Understanding: We must be caring, show respect, compassion and humanity for our colleagues and customers around the world, and always work for the benefit of the communities we serve.

Excellence: We must constantly strive to achieve the highest possible standards in our day-today work and in the quality of the goods and services we provide.

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 Unity: We must work cohesively with our colleagues across the Group and with our customers and partners around the world, building strong relationships based on tolerance, understanding and mutual cooperation.

Responsibility: We must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring that what comes from the people goes back to the people many times over.

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Current Scenario

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The growth of the Indian middle class along with the growth of the economy over the past few years has attracted global auto majors to the Indian market. Moreover, India provides trained

manpower at competitive costs making India a favored global manufacturing hub. The

attractiveness of the Indian markets on one hand and the stagnation of the auto sector in markets such as Europe, US and Japan on the other have resulted in shifting of new capacities and flow of capital to the Indian automobile industry. According to the International Yearbook of Industrial Statistics 2008 released by United Nations Industrial

Development Organization (UNIDO), India ranks 12th in the list of the worlds top 15 automakers.

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GENERAL OVERVIEW
INDIAS BUSSINESS GROUP DIVERSE BUSSINESS IN SECTOR INTERNATIONAL INCOME 61%OF GROUP REVENUE OPERATION COUNTRIES PRODUCT AND SERVICES EXPORED IN 85 COMPANIES LARGEST EMPLOYER IN PRI VATE SECTOR OVER 300,000 IN OVER 80 7 LARGEST

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GROUP REVENUE 251,543 CR/ $62.5 bn

FY09 :

Larsen and Toubro

Larsen and Toubro is Indias largest automobile company. Its revenue in 2008-2009 was Rs 24,000 crore (U.S.$ 6.4 billion).It is the leader in commercial vehicles in each segment and the second largest in the passenger vehicles market ,with winning products in compact, mid-size car and utility vehicle segment. The company is the worlds fifth largest medium and heavy commercial vehicle manufacturer and the worlds second-largest medium and heavy bus manufacturer. The companys 29,600 employees are guided by the vision to be best in the manner in which we operate, best in the
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products we deliver and best in our value system and ethics Established in 1945, Larsen and Toubro presence extends across the length and breadth of India. Over 3.5 million L&Tvehicles have driven on Indian roads since the first one rolled out on 1954.The companys manufacturing base is spread across multiple plants, supported by a nationwide dealership, sales and services and spare parts network comprising of about 1,200 touch points. The company also has a strong auto finance operation, Larsen and Toubro Finance for supporting customers in purchasing Larsen and Toubro vehicles

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Company profile

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Company profile

INTRODUCTION

Larsen & Toubro Limited (L&T) is a technology, engineering, construction and manufacturing company. It is one of the largest and most respected companies in India's private sector. Seven decades of a strong, customer-focused approach and the continuous quest for world-class quality have enabled it to attain and sustain leadership in all its major lines of business. L&T has an international presence, with a global spread of offices. It continues to grow its overseas manufacturing footprint, with facilities in China and the Gulf region. The company's businesses are supported by a wide marketing and distribution network, and have established a reputation for strong customer support. L&T believes that progress must be achieved in harmony with the environment. A commitment to community welfare and environmental protection are an integral part of the corporate vision.

History of Larsen & Turbo

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The evolution of L&T into the country's largest engineering and construction organization is among the most remarkable success stories in Indian industry. L&T was founded in Bombay (Mumbai) in 1938 by two Danish engineers, Henning Holck-Larsen and Soren Kristian Toubro. Both of them were strongly committed to developing India's engineering capabilities to meet the demands of industry. Beginning with the import of machinery from Europe, L&T rapidly took on engineering and construction assignments of increasing sophistication. Today, the company sets global engineering benchmarks in terms of scale and complexity. In 1938, the two friends decided to forgo the comforts of working in Europe, and started their own operation in India. All they had was a dream and the courage to dare. Their first office in Mumbai (Bombay) was so small that only one of the partners could use the office at a time! In the early years, they represented Danish manufacturers of dairy equipment for a modest retainer. But with the start of the Second World War in 1939, imports were restricted, compelling them to start a small work-shop to undertake jobs and provide service facilities. Germany's invasion of Denmark in 1940 stopped supplies of Danish products. This crisis forced the partners to stand on their own feet and innovate. They started manufacturing dairy equipment indigenously. These products proved to be a success, and L&T came to be recognised as a reliable fabricator with high standards. The war-time need to repair and refit ships offered L&T an opportunity, and led to the formation of a
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new company, Hilda Ltd., to handle these operations. L&T also started two repair and fabrication shops - the Company had begun to expand. Again, the sudden internment of German engineers (because of the War) who were to put up a soda ash plant for the Tatas, gave L&T a chance to enter the field of installation - an area where their capability became well respected. In 1944, ECC was incorporated. Around then, L&T decided to build a portfolio of foreign collaborations. By 1945, the Company represented British manufacturers of equipment used to manufacture products such as hydrogenated oils, biscuits, soaps and glass. By 1964, L&T had widened its capabilities to include some of the best technologies in the world. In the decade that followed, the company grew rapidly, and by 1973 had become one of the Top-25 Indian companies. Today, L&T is one of India's biggest and best known industrial organisations with a reputation for technological excellence, high quality of products and services, and strong customer orientation. It is also taking steps to grow its international presence. The L&T vision reflects the collective goal of the company. It was drafted through a large scale interactive process which engaged employees at every level, worldwide. L&T has a global presence. A thrust on international business over the years has seen overseas revenues growing steadily. The company has manufacturing facilities in India, China, Oman and Saudi Arabia. It has a global supply network with offices in 10 locations worldwide, including

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Houston, London, Milan, Shanghai, and Seoul. Customers include global majors in over 30 countries.

Achievements of L&T

Built India's first indigenous hydrocracker reactor. Built the world's largest continuous catalyst regeneration reactor. Built the world's biggest fluid catalytic cracking regenerator. Built the world's longest product splitter. Built Asia's highest viaduct - Panvalnadi for the Konkan Railway. Built the world's longest LPG pipeline. Built the worlds longest cross country conveyor.

Key Products of L&T:

Turnkey projects

Hydrocarbon, Power, Cement and allied machineries, Engineering services, Railway projects,
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Construction Construction services, Building products, Infrastructure concessions, Engineering services, International products

Engineered products and systems

Refinery, Oil and gas, Petrochemicals, Fertiliser, Coal gasification, Aerospace, Thermal power plant, Nuclear power plant, Defence, Cement Electrical and electronic product and systems

Switchgears, Electrical solutions, Metering systems and relays, Medical equipment , Control and automation , Petroleum dispensers and systems , Tooling solutions

IT and engineering services

IT services, Engineering services, Embedded systems.

Machinery valves and industry consumables

Financial services
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1. Infrastructure finance 2. Equipment finance

Shipbuilding

Key Competitors of L&T: NHAI Nagarjuna Construction DLF Gammon India Hindustan Construction Mission of L&T: To compete and grow in a globalised business environment, L&T is implementing a strategic plan (Lakshya) for 2010-15. The plan has been drawn up in consulation with a leading international strategy consultant. It has set ambitious growth target for each business. Create long term value for the customers through superior product structuring by capitalizing on our knowledge pool.
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Congruency between Vision, Mission and Core Values: There is clear accord & harmony among Vision, Mission & Core Values. 1. Core Value: Performance Driven Vision: meeting expectations of employees, stakeholders and society, total customer satisfaction, enhancing shareholder value. Mission: sector To compete and grow, ambitious target setting for each Attaining global benchmarks, constantly creating value,

2. Core value: Innovation & Excellence Vision: Indian Multinational, professionally managed,

Entrepreneurial and empowered team, L&T-ites shall be innovative, shall foster a culture of caring, continous learning, high corporate governance standards &
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constantaly creating value. Mission: long term value by setting new standard & through superior product structuring, capitalizing, on our knowledge pool & consulation with the leading international strategy consultant Included are the opportunity of diversifaction, creat

3. Core Value: Integrity Vision : Enterpreneurial and empowered team, proffessionaly

managed and committed, foster a culture of caring, trust (show uprightness and honesty as an important part of integrity). Mission: Capitalizing on our knowledge

4. Core value : Customer Focus & Mutual Respect Vision: Customer satisfaction, enhancing shareholder value,

fostering a culture of

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caring, trust, meeting expectation of society, employees and shareholders Mission: Create long term value for our customer through

superior product structuring, partnering our customer by offering solutions, deep understanding of Indian sector and full range of financial products.

Vision of L&T:

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PESTEL Analysis 1. Political Factors:

(i)

SEZ Act to Boost infrastructural Development SEZ is the new destination for real investor. Currently 150 SEZs are approved out of 85 SEZs are in the IT/ITES area and the 1015 SEZs in the electronics area. 130 SEZs are developed by real estate developers which constitute of about 50% of the total SEZ area. IT SEZ should be developed and made operational within the period of six months from the date of notification. Thus, 130 approved SEZ would result in investment of US$ 12bn immediately.

(ii)

Cement Prices Reduced for State Infrastructure Projects: The continued thrust on the infrastructure development will provide impetus to the healthy growth in demand, protecting the bottom-line of cement companies to an extent. The reduction in the CST and in Freight rates on diesel and limestone will be marginally positive for some companies.

(iii)

FDI Liberalization to Augment Industry Growth:

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Recent amendments by the government have made accessibility to the required capital much easier. Opening of FDI in construction and allowing developers to raise capital in international market has led to development of larger projects benchmarked against international standard.

(iv)

REITs(Real Estate investment trusts) to Positively affect real Estate Business The proposed introduction of REMF(Real Estate Mutual Fund) and REIT will boost real estate investment from the small investors point of view. This will allow small investors to enter real estate market with the contribution as less than Rs 10,000. The concept of REIT is on the verge of entering India and would be structured as company dedicated to owing and in most cases operating income producing real estate such apartments, shopping centres, offices & warehouses.

2. ECONOMIC FACTORS:

(i)

Growth in Construction Activity Stimulating GDP Growth:

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India is witnessing tremendous growth & expansion of construction activities and construction is largest component of GDP. It has been growing at a rate over 10% in the past few years when GDP growth is around 8%. Within construction; sector such as roads, railways, housing and power have been keen drivers.

(ii)

Rate Hikes Unlikely to Slow down Growth: It has been analysed that the residential prices has been increased by about 15-20% on average in the last one year. There has been strong growth in demand supported by rising disposable incomes, low interest rates, and fiscal incentives on both interest and principal payment and increasing urbanization.

3. SOCIAL FACTORS :

(i)

Shifting Consumption Pattern to Fuel industry Growth The consumption pattern of Indian households is undergoing a gradual, but steady change. The share of food and beverages,
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which used to constitute almost 50% of household spend until 2003 is fall to 45% by FY08. We expect the share of discretionary items to consistently rise given the rising affordability and changing aspiration levels. Increased exposure to western lifestyle has altered the consumption pattern of Indian people.

(ii)

Rising Urbanization to Boost Industrial Growth: Urban infrastructure consist of drinking water, sanitation, sewage systems, electricity and gas distribution, urban transport, primary health services, and environmental regulation. Many of these services are in the nature of local public goods with the benefits from improved urban infrastructure. The urban population in India will grow by 85 million over the next 10years.

(iii)

Green Building in India: The green building movement has gained tremendous momentum during 3 to 4 years, ever since the Green Business centre embarked on achieving the prestigious LEED rating for their own centre at Hyderabad. The Platinum rating for green building has sensitized the stakeholders of construction industry. There is tremendous potential for construction of green building
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in India. The estimated market potential for green building will be about $ 400 million in 2010.

4. TECHNOLOGICAL FACTORS:

(i)

Low Technology Adoption to Hinder Growth: The poor state of technology adopted by the construction sector adversely affects its performance. Upgrading of technology is required both in the manufacturing of construction material and in construction activities. As a large number of construction materials are manufactured in the unorganised sector, effective monitoring and regulation of the production of these material to ensure proper quality become difficult. Use of low grade technology in the construction sector lead to low value addition and low productivity, apart from poor or substandard quality of construction and time overruns in projects.

(ii)

Construction As Per Indian Requirements: The construction needs to be done as per Indian standards and requirements which will demand considerable changes from the international requirements. The Infrastructure requirements of
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India are much different as the population spread, increasing urbanization, increasing slums, the small space for roads, the water problems are more.

(iii)

Ready-Mix-Concrete being Experienced With: The Ready mix concrete business in India is in its infancy. For example, 70% of cement produced in a developed country like Japan is used ready mix concrete business there. Here in India, Ready Mix concrete business uses around 2% of total cement production. The increasing use of ready mix not only saves time but also improves quality.

5. ENVIORMENTAL FACTORS:

Technological solutions helps in integrating the supply chain, hence reduce losses and increase profitability

With the entry of global companies into the Indian market, advanced technologies, are used in engineering &

Construction.

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 With the development or evolution of infrastructure sector, many of the MNC enter into Indian market

Environmental situation affect the infrastructure sector.

Infrastructure such as roads and bridges affect the many sector such as automobile sector etc.

LEGAL FACTORS

Ensure a balanced transition to open trade at minimal risk to the Indian economy and local industry.

Indian government infrastructure policy aimed at promoting an integrated, phased and conductive growth of the Indian

infrastructure sector.

Confirms the governments intention on harmonizing the regulatory standards with the rest of the world
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 Establish an international hub for engineering & construction companies so that new technology can be used.

Legal provisions relating to safety measures

Business Strategy of Larsen & Turbo Ltd. Strategic Vision: To stimulate the active learning of rigorous engineering principles and practices within an environment informed by internationally-leading research this fosters creativity, innovation and professionalism. 1. Growth Strategies: In a challenging market environment, an environment characterised by prolonged downturn in the domestic industrial sector and a recession in the global market, an engineering company like L&T had to follow some crucial strategies for growth. General practices would be to reduce costs, go into hibernation and wait till the climate becomes more conducive. Move in aggressively thereafter. There is certainly no single sure-fire recipe guaranteeing both survival and growth in a challenging market. According to Mr P.M. Mehta, Senior
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Vice-President (Operations), L&T is concentrating on hi-tech areas, vacating non-remunerative product lines and focusing on the exports market. The company is currently following a multi-pronged strategy for beating recession without compromising growth. Three years ago the company had visualised opportunities shrinking in the traditional sectors, process plants, power and refineries. It was then that the management really took a decision to move into the hitech sector. The company, which had a small presence in the defence sector earlier, started moving in aggressively after the sector was opened up to the private sector. L&T developed technology for manufacturing critical equipment for process, nuclear and defence sectors. It is currently looking at entering into joint collaboration with defence companies in various parts of the world. It is also in talks with leading aircraft manufacturers in India and abroad for supplying components. Defence orders are generally spread across four to six years. A submarine, for instance, would take 12 years for completion. The defence division could contribute Rs 1,500 to 2,000 crore five years down the line which would be almost five times the current contribution. Recently the company signed a joint venture with EADS Defence and Security, for defence electronics in
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India. The 5.7 billion (Rs37, 791 crore) EADS Defence and Security is a systems solutions provider for armed forces and civil security.

2. Risk Management Strategy:

Doing business within India remains paramount. Vision is to become an Indian multinational not just another multinational.

Showing a long term commitment to consolidating presence in select geographies through setting up of offices, entering into alliance with collaborators, developing marketing networks, brand promotion and wherever feasible, setting up manufacturing facility.

Investment made in the Middle East for training of workmen.

Building a motivated and globally benchmarked team of professionals through providing a fast track career growth, up gradation of compensation structure, setting up a Project Management Institute, conducting Companywide people
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engagement & leadership development programmes, international assignments and hiring Expats.

Institutionalised a risk management culture and framework in the Company

3. Future Strategy :

A blueprint for the next phase of growth till 2015, named Vision 2015, at Larsen and Toubro Ltd is being drafted. The company is planning to focus on segments traditionally dominated by foreign defence equipment makers and state-owned companies. Since 2000, L&T has charted two five-year plans to reposition the company which was heavily into engineering, procurement and construction segments with a large exposure to commodity businesses, such as cement and ready-mix concrete, to a more focused value-added engineering company. The first plan was devised by Boston Consulting Group, a leading global management consulting firm. It saw L&T divesting its cement business in favour of the Aditya Birla Group. This was done through a unique arrangement with L&T employees getting shares of
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their own company following the divestment. More recently, L&T divested its ready-mix concrete business in favour of Lafarge SA. The two five-year plans paid huge dividends to the shareholders of the company including its employees who hold a 12.7% stake in it through a trust. The market capitalization of L&T was Rs15, 507 crore in January 2000. It soared to Rs1.31 trillion at the height of the bull rally in January 2008. L&Ts recent moves such as signing a slew of pacts with nuclear engineering firms such as Westinghouse of USA, Atomic Energy Commission of Canada and Russias Atoms troy export for nuclear plants, an entry into nuclear equipment forging, defence shipbuilding and the latest joint venture make it clear that L&T is focusing more on its core competencies. Its power business is also taking shape with 11 new factories making various parts of power equipment. The highly skilled areas of engineering that L&T is entering are currently largely serviced by imports. The operating margins are currently at 8-9% and the new areas it is entering could fetch margins of about 11-12%. The company also hopes that the nuclear program will be in place once the new government assumes power. By signing pacts with

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three companies in the nuclear energy space, L&T has hedged its risks as a nuclear equipment maker. It has put in place a nuclear equipment forging shop in Hazira in Gujarat at an investment of Rs1, 500 crore. This is in addition to a defence shipbuilding yard near Chennai at a cost of Rs1, 500 crore. As per plan, the company will create three operating companies to look after defence, aerospace and nuclear power sectors for effective operations. The three operating companies could happen in 2012-13, provided they had the requisite volumes.

Porter Five Forces Model: 1. Threat of New Entrants:

Low threat of new entrant due to Economies of scale Labour Intensity High Capital Requirement Lack of Knowledge and Experience
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 Acess to input Access to maket

2. Suppliers Bargaining Power: High Bargaining power of supplier. Suppliers of construction materials are fragmented and are extremely critical for this industry since most of the construction work is outsourced. Proper supply chain management is a costly yet critical need.

3. Buyers Bargaining Power The Bargaining power of buyer is low/moderate. Buyers in Engineering & construction sector have less choice due to limited number of players. The market forces havent empowered the buyers to a large extent.

4. Industry Rivalry: The industry rivalry is high. This instinct of the industry is primarily driven by the technical capabilities acquired over
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years of gestation under the technical collaboration with international players and the completion of project on time.

5. Substitute: There is no perfect substitute to this industry. It will be effected only when the country is fully developed than the company need to look forward towards the emerging economies.

SOWT ANALYSIS: Strengths

Larsen and Toubro (L&T) is India's largest engineering and construction company.

It has created international presence by operating supply network offices in 10 locations worldwide, including Houston, London, Milan, Shanghai and Seoul.

L&T has created a strong brand name by building worlds largest Tubular Reactor for a petrochemical plant and has also built world's longest Product Splitter and longest LPG pipeline.

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 Larsen and Toubro's order book has reported continuous growth. The company has a strong pipeline of projects in domestic as well as international markets, which is likely to ensure a steady revenue growth

Weaknesses

In spite of having a diversified expertise, the revenues of the company are highly concentrated

Opportunities

The company has acquired the switchgear business of TAMCO Corporate Holdings of Malaysia in April 2008

With TAMCO the company will be able to offer a comprehensive range of MV switchgear and become a significant player in the MV segment in India
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 L&T has also entered into various joint ventures in the recent past. L&T has joint venture agreement with Tamil Nadu Industrial Development Corporation Limited, Mitsubishi Heavy Industries and A.A. Turki Contracting & Trading Corporation (ATCO) of the Kingdom of Saudi Arabia.

These joint ventures boost and strengthen the operational efficiency of the company, as well as provide it with avenues to generate additional revenues and also leverage its strong presence in order to exploit the growing capital goods and infrastructure industry

Growing Indian capital goods and infrastructure industry as the government has planned a series of measures to encourage private sector participation and increase spending on infrastructure. Capacities are being ramped up in Railways, Roads, Ports, Airports and Urban infrastructure to sustain the momentum of double digit growth in the industrial sector.

Threats

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 Larsen & Toubro faces stiff competition in the international market with construction majors in the Middle East including ABB of Sweden and Bechtel of the US. Stiff competition could erode the company's market share and reduce its profitability.

Engineering and construction companies such as Larsen & Toubro (L&T) are facing pressure on their earnings due to the high interest rates on working capital. L&T's interest costs increased more than three-fold in the first six months of FY2009, which would impact its profit before tax (PBT). Rising interest rates would put pressure on the margins of the company

PROBLEM DEFINATION

Consumer says something and does something. There are many companies manufacturing motorcycles into the market, at the same time as there are many companies manufacturing motorcycles, idea about thinking of customer on whether, what, how, and for whom to purchase the CAR.

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Therefore, research is required to measure present consumer buying behavior at the purchase of L&Tcars. So the researcher problem is to identify what are the criteria that prospective customer takes into consideration before buying the cars.

SCOPE OF STUDY (1)

(2) The main scope of the study is depend to consumer response It also analysis the benefits accruing to the company as a result of those service. (3) This study has been made to find the level of satisfaction the Customer has regarding the service provider by car place.

Limitations of study
(1) When the buyers are busy we cant get accurate data from them. (2) According to the time limit of our project we can cover only the some area.

OBJECTIVES OF STUDY
(1) (2) To know market position of Larsen and Toubroin the market. To know consumer behavior for purchase of four wheeler.

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Research methodology
Research Methodology: The data for the project was collected from malls, customers at showrooms, markets and from public also.

Sample Size: Sample size of 60 was taken based on convenient Simple Random Sampling.

Research Tools: The data was collected through Survey Questionnaire Method.

Data Collection: Data was collected through the following:-

Primary sources: Questionnaire from General public Secondary Sources: Magazines, newspapers, Internet.

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ANALYSIS
Sample size 40

Respondents:

Owners of Santro 9

Owners of Zen estilo 8

Owners of Indica 18

Owners of other cars 5

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Q3) Are you satisfied with it?

A) Yes b) No

From that it was found that:-

25 were satisfied and 15 were not.

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Q5) How much do you spend on maintenance on a monthly basis?

a) <2000 b) 2000-4000 c) >4000

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From that it was found that: 25 %spends below 2000 10% spends between 2000-

4000 5 %spends above 4000

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(6) Sample of 30 customers, according to their income.

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(9)Are you planning to buy a vehicles within next session?

From that it was found that: 29 people want to purchase within 1 year 11 people want to purchase in 1 month

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(10)Factors affecting buying of customers

Power steering Mileage Price Others

7 15 10 8

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FINDINGS & SUGESSTIONS

FINDINGS
Majority of the customers see LARSEN AND TOUBRO with savings. Most of the customers spend large sum of money. Out of the samples, people are highly

convinced that LARSEN AND TOUBRO will yield them better results. Product will have a gradual progress. Because most industries would wait for the response about the product from other Company. Customers were educated by me, about fuel efficient cars by LARSEN AND TOUBRO.

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SUGGESTIONS
Based on the findings from the analysis the following suggestions could be made: Demo of the product should be made available to Customers, since most of the purchase decisions are based on it. Technical details should be made available to the customers in the most accurate numerical form. The Indica has remained a bestseller throughout in the industry figuring in the top 3 selling list of cars for most of the years. The distribution channel should be more efficient to cater the demand during peak seasons like during dassraa, diwali etc . The city is mostly dominated by the working class like people employed in high court, AG office( accountant general office) and government school employees who this year are getting more pay due to the

recommendations made by the pay commission so , the sales for mid size car can be enhanced in this scenario.

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SWOT Analysis - Larsen and Toubro Limited

SWOT Strengths, Weaknesses, Opportunities, Threat

The internationalization strategy so far has been to keep local managers in new acquisitions, and to only transplant a couple of senior managers from India into the new market. The benefit is that L&Thas been able to exchange expertise. For example after the Daewoo acquisition the Indian company leaned work discipline and how to get the final product 'right first time.'

The company has a strategy in place for the next stage of its expansion. Not only is it focusing upon new products and acquisitions, but it also has a program me of intensive management development in place in order to establish its leaders for tomorrow

The company has had a successful alliance with Italian mass producer Fiat since 2007.This has enhanced the product portfolio for L&Tand
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Fiat in terms of production and knowledge exchange. For example, the Fiat Palio Style was launched by L&Tin 2008, and the companies have an agreement to build a pick-up targeted at Central and South America.

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The company's passenger car products are based upon 3rd and 4th generation platforms, which put Larsen and Toubro Limited at a disadvantage with competing car manufacturers.

Despite buying the Jaguar and Land Rover brands (see opportunities below); Tat has not got a foothold in the luxury car segment in its domestic, Indian market. Is the brand associated with commercial vehicles and low-cost passenger cars to the extent that it has isolated itself from lucrative segments in a more aspiring India?

One weakness which is often not recognised is that in English the word 'tat' means rubbish. Would the brand sensitive British consumer ever buy into such a brand? Maybe not, but they would buy into Fiat, Jaguar and Land Rover.

The CV segment is becoming highly competitive by new player like Volvo, and rival M&M are coming with new products to cater the L&Tin the market as the rural area has given thumps up to M&M during this year.

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The new global track platform is about to be launched from its Korean (previously Daewoo) plant. Again, at a time when the World is looking for environmentally friendly transport alternatives, is now the right time to move into this segment? The answer to this question (and the one above) is that new and emerging industrial nations such as India, South Korea and China will have a thirst for low-cost passenger and commercial vehicles. These are the opportunities. However the company has put in place a very proactive Corporate Social Responsibility (CSR) committee to address potential strategies that will make operations more sustainable.

The range of Super Milo fuel efficient buses are powered by superefficient, eco-friendly engines. The bus has optional organic clutch with booster assist and better air intakes that will reduce fuel consumption by up to 10%.

Nano is the cheapest car in the World - retailing at little more than a motorbike. Whilst the World is getting ready for greener alternatives to gas-guzzlers, is the Nano the answer in terms of concept or brand? Incidentally, the new Land Rover and Jaguar models will cost up to 85 times more than a standard Nano!
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In the summer of 2008 L&TMotor's announced that it had successfully purchased the Land Rover and Jaguar brands from Ford Motors for UK 2.3 million. Two of the World's luxury car brand have been added to its portfolio of brands, and will undoubtedly off the company the chance to market vehicles in the luxury segments.

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Other competing car manufacturers have been in the passenger car business for 40, 50 or more years. Therefore Larsen and Toubro Limited has to catch up in terms of quality and lean production

Sustainability and environmentalism could mean extra costs for this low-cost producer. This could impact its underpinning competitive advantage. Obviously, as L&Tglobalizes and buys into other brands this problem could be alleviated.

Since the company has focused upon the commercial and small vehicle segments, it has left itself open to competition from overseas companies for the emerging Indian luxury segments. For example ICICI bank and DaimlerChrysler have invested in a new Pune based plant which will build 5000 new Mercedes-Benz per annum. Other players developing luxury cars targeted at the Indian market include Ford, Honda and Toyota. In fact the entire Indian market has become a target for other global competitors including Mahindra and Mahindra, Maruti Udyog, General Motors, Ford and others

Rising prices in the global economy could pose a threat to Larsen and Toubro Limited on a couple of fronts. The price of steel and aluminum
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is increasing putting pressure on the costs of production. Many of Tata's products run on Diesel fuel which is becoming expensive globally and within its traditional home market.

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ANNEXURES

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Questionnaire
1. WHAT IS YOUR SALARY? 1 LAC 5LAKH 1 LAKH -3 LAKH 5LAKH 3LAKH-

2. WHICH VEHICLE DO YOU OWN?

_______________________________________________________________________ _______________

3. DID YOU RIDE SOME OTHER VEHICLE BEFORE THIS? YES NO

4. WHAT IS YOUR EXPERIENCE FROM THE PREVOIUS VEHICLE? SATISFIED NOT SATISFIED

5. WHICH IS THE MOST ESSENTIAL THING YOU PREFER WHILE BYING VEHICLE? PRICE STEERING MILEAGE OTHERS POWER

6. DOES TV AD APPEAL YOU? 69

YES

NO

7. DO YOU LIKE TV PROGRAMMES ON L? YES NO

8. DOES BRAND VALUE AFFECT YOUR DECISION ON BUYING VEHICLE? YES NO

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BIBLIOGRAPHY Books: 1. Philip Kotler, Kevin Keller (2009), Marketing Management (Thirteenth Edition) 2. Marketing Management, The McGraw.Hill Company Rajan Saxena (Third Edition)

MAGAZINES: A) OUTLOOK BUSINESS (FEB, 2009) B) BUSINESS STANDARD (April-July 2009) C) 4PS OF BUSINESS AND MARKETING (June 2009) D) BUSINESS TODAY - Pick and Choose

INTERNET: 1. Larsen and Toubro' Official Website 2. Wiki - Larsen and Toubro Ltd

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