ACKNOWLEDGEMENT

A work is never a work of individual. I owe a sense of gratitude to the intelligence

& cooperationof those people who had been so easy to let me understand what I
need from time to time for completion of this exclusive project.I want to express
my gratitude towards
Mr. SIDDARTH KALRA
Marketing Manager of ITC for giving me an opportunity to complete this
project.This project is due to the experience and knowledge of several people.
Though I am unableto mention all of them individually, any debt or gratitude to
them is not less.I am very thankful to the ITC for the facilities provided to me to
complete my project work.

PREFACE
To start a business the success depends upon the research done about the particular
& consumer attitude the product. Marketing research plays a vital role in a
business to make it successful. Itried to put my best effort to complete the task on
the basis of skills. I am having this study doneabout the flour sales & distribution
in the city of different companies. In order to know about theopportunities in the
mareket.Inthe study, an attempt is made to cover every expect of theseobjectives to
find out solutions for the company.

COMPANY OVERVIEW
ITC is one of the India`s foremost private sector companies with a market
capitazation of nearlyUS $ 15 billion & a turnover of US$ 6 billion. Rated among
the World`s Leading Companies by Forbes manazine, ITC ranks thirdin pre-tax
profit among India`s privateSector corpoiration.ITC has a diversified presence in
Cigarettes, Hotels, Paperboard & SpecialtyPapers, Packaging, Agri-Business,
Branded Apparel, Packaged Foods & Confectionery, GreetingCards
& other FMCG products. While ITC is an outstanding market leader in its
traditional businesses of Cigarettes, Hotels, Paperboards, Packaging & Agri-
Export, it is rapidly gainingmarket share even in its nascent businesses of Branded
Apparel, Greeting Cards & PackagedFoods & Confectionery.As one of India`s
most valuable & respected corporations, ITC is widely perceived to bededicatedly
nation- oriented. Chairman Y C Deveshwar calls this source of inspiration (
acommitment beyond the market).
In his own words ;(ITC believes that its aspiration tocreate enduring value for
the nation provides the motive force to sustain growingshareholder value. ITC
practices this philosophy by not only driving each of its businessestowards
international competitiveness but by also consciously contributing
to enhancingthe competitiveness of the larger value chain of which it is
a part).

ITC`s diversified status originates from its corporate strategy aimed at

creating multipledrivers of growth anchored on its time-tested core competencies:
unmatched distribution reach,superior brand-building capabilities, effective supply
chain management & acknowledgedservices skills in hoteliering. Over time, the
strategic forays into new businesses are expected togrammar a significant share of
these emerging high-growth markets in India.

I TC VIS IO N

Sustain ITC¶s position as one of the India¶s most Valuable corporations through
worldClass performance, creating growing value For the Indian & the
company¶sStake holders.

ITC MISSION

To enhance the wealth generating capability of Enterprise in a globalizing

environment,delivering Superior & sustainable stake holder value.Over the years,
ITC has evolved from asingle Product Company to a multiple business
corporation.Its business separated over a widespectrum, Ranging from cigarettes &
tobacco to hotels Packaging, paper & paperboards &international.
Commodities trading
.
ITC defined Corporate Governance as a systemic Process by which companies
aredirected & controlled toEnhance their wealth generating capacity.
Since large corporation employ wast quantum of a societal Resources, we believe
thatthe governance process should Ensure that these companies are managed in a
manner thatMeets stake holder¶s aspirations & societal expectation.

CORE PRINCIPLES
ITC`s Corporate Governance initiative is based on two core principles. These are
  Management must have the executive freedom to drive the enterprise
forward withoutundue restraints; and

 This freedom of management should be exercised with in a framework of

effectiveaccountability

CONTROL
ITC believes that control is a necessary concomitant of its second core principle of
governancethat the freedom of management should be exercised within a
framework of appropriate checksand balances. Control should prevent misuse of
power, facilitate timely management response tochange, and ensure that business
risks are preemptively and effectively managed.

EXECUTIVE SUMMARY

ITC was established on Aug 24, 1910 as the Imperial Tobacco Company of India
Ltd inKolkata and its name was changed to I.T.C. Limited in 1974 and finally
they changed itto ITC Ltd in 2001. ITC has diversified presence in tobacco, foods
and confectionery,apparel, paper boards, packaging and hotel businesses.The
Foods Division is the most recent diversification of the ITC group. They entered
inthis business in 2001. They launched KoI brand under Ready to Eat segment
.Theyexpanded with brand launches in the Confectionery, Staples and Snacks Food
segments.ITC has fulfilled all needs and requirements of the people. If the
company maintains itsstandard or increases it in the near future it surely will attain
the no. 1 position in themarket.Here, through our report we have tried to
study the environment in which ITC foodsoperate. We have also analyzed
the market of ITC foods and the competition involved.We have also studied
the various strategies adopted by company to achieve its goals andthe structure and
the culture developed within ITC to support its objective. Also, an efforthas been
made to project ITC’s future prospects, sales and profits.
Trading, Sourcing and Logistics
ITC visits premier institutes such as IIMA, IIFT, IRMA andMANAGE to
induct talent for its Agri Business Division.Pre-placement presentations at
campuses normally take place inSeptember/October each year. These presentations
provide anopportunity for young aspirants to know more about the Company, its
history and achievements,its corporate strategy, details of its various businesses
and the kind of careers they can look forward to.During these visits, first-year
students are selected for Summer Internshipswith ITC in April to July of the
following year.A team of ITC managersvisits these campuses once again between
December and March for campusinterviews. The process consists of group
discussions and personal interviews preceded by psychometric tests and
assessment centers.Employment offers are made to selected
candidates immediately. On joining ITC in July,candidates participate in an
induction programme. Thereafter they are assigned to responsibilitiesin Trading,
Sourcing and Logistics in the Agri Business Division.

Finance
ITC recruits entry-level talent for the Finance function from amongstqualified
Chartered Accountants and MBAs specializing in Finance.Candidates are short-
listed for selection from a pool of applicants thatapply to ITC on-line through the
Company's portal at www.itcportal.com. Recruitment of entrylevel talent in the
Finance Function takes place twice a year.Preliminary interviews are held at
selected locations. Theshort-listed candidates are called to Kolkata for the
finalselection process which extends over two days. The selection process
comprises psychometric tests, assessment centers,group tasks and personal
interviews. The interviewing panellooks for a strong conceptual base in finance
and accounting. Effective inter-personal skills,integrity, intellectual rigour, a "will
do" attitude, creativity, leadership and high energy are other essential
attributes.Candidates who receive offers of employment undergo a
comprehensive induction programme before being assigned to the Internal Audit
function. The tenure in the Internal Audit functionnormally extends over a period
of 3 years. Following this, they are assigned operationalresponsibilities in one of
the Company's businesses.

Manfred Boden (West-Germany) obtains 1980-81 unsolicited computer print-outs

from"spirit" comunicators. Before that he received telephone calls. Until 1983 he
has alsounsolicited contacts with communicators of non-human evolution.Hans
Otto Koenig developed new spirit communication technologies from 1982 to
1988,employing extremely low frequency oscillators, as well as lights in the
ultraviolet andinfrared range. In 1983 he appeared on a popular radio program on
Europe¶s largest radiostation, Radio Luxembourg. The host, Rainer Holbe, had
Koenig set up his equipmentunder close supervision of the station engineers. One
of the engineers asked if a voicecould come through in direct reply to a question,
and a voice quickly replied, ³We hear your voice. Otto Koenig makes wireless
contact with the dead.´ Stunned, Rainer Holbeaddressed the millions of listeners
across Europe, ³I tell you, dear Listeners of RadioLuxembourg, and I swear by the
life of my children, that nothing has been manipulated.There are no tricks. It is a
voice, and we do not know from where it comes.´
Organization structure
governance structure :Board of director:
Comprising executive (4) &non executive directors (11) strategic
supervision

Corporate management committee:

Comprising executive directors & senior managers strategic
management
Divisional Chief executive & divisional management committee:
Executive management

SHARE HOLDERS

BOD

CORPORATE MANAGEMENT COMMITTEE

(CMC)



DMV DMC DMC DMC DMC (HOTEL) (PAPER) (TOBACCO) (IT) (AGGI)
S Banerjee Member H G Powell Member A Ruys Member B Sen
Member B Vijayaraghavan Member B B Chatterjee SecretaryAnup
SinghKrishnamoorthy VaidyanathKurush Noshir Grant
Executive Directors
Anil BaijalAngara Venkata Girija Kumar Serajul Haq KhanSunil Behari
Mathur Dinesh Kumar MehrotraHugo Geoffrey PowellPillappakkam
Bahukutumbi Ramanujam

LINES OF BUSINESS


INDIA TOBACCO


FOOD DIVISION


LIFESTYLE RETAILING BUSINESS



PERSONAL CARE PRODUCT STRATEGIC BUSINESS UNIT



EDUCATIONARY & STATIONARY PRODUCT STRATEGIC

BUSINESS UNIT


SAFETY MATCHES STRATEGIC BUSINESS UNIT

 

AGARBATTIS STRATEGIC BUSINESS UNIT



HOTEL DIVISION


PAPER BOARD & SPECIALITY PAPER DIVISION



PACKAGING & PRINTING STRATEGIC BUSINESS UNIT



AGRI BUSINESS DIVISION

COMPETITORS:
The company had entered this segment very late; the market is still dominated by
GARNIER andL¶OREAL with HINDUSTAN UNILEVER, PROCTOR AND
GAMBLE and COLGATEPALMOLIVE just behind them. It would be a matter of
time for ITC to show its presence, sinceit had become a name of trust among the
people of India.
CONCLUSION:
As per the company introduction of soap and shampoo¶s, it can move on with the
introduction of cosmetics to the Indian market. It need to do more efforts in order
to raise the sale of personal products because products other than superia are not
doing well.
Education & Stationery Products ±
ITC made its entry into the stationery business in the year 2002 with its premium
range of notebooks, followed in the year 2003 with the more popular range to
augment its offering. ITC¶sstationery Brands are marketed as
³Classmate´
and
³Paperkraft´
, with Classmate addressingthe needs of students and Paperkraft targeted towards
college students and executives.
Classmate Fun N Learn
,
Classmate Invento
,
Classmate pens, Paperkraft
are thestationery products of ITC.

COMPETITORS:
The major competitor of ITC in this field is NAVNEET publication whose
notebooks arevery popular among people.
CONTRIBUTION IN THE MARKET

The Classmate brand alone contributes about Rs 150 crore. Data estimates the
market for school and education sector at Rs 5,000 crore. Classmate lack behind
the variety if compared to Navneet publications. With the introduction of
more varieties it can be a market leader.The GREETING CARD section includes
EXPRESSION greeting card which are gaininghuge popularity among
the people .The main reasons behind is that they are available I widerange apart
from ARCHIE¶S and HALLMARK which are very expensive.The company can
have a growth in this segment because of its quality in its brand and at areasonable
price. On the other hand hallmark is charging more because of its brand name.
Thecard can be of wider acceptance if remain in same price range.
Competitors and suggestions

ITC had proved to be a tuff competitor in this segment too against the
established brands likeMONTE CARLO, peter England, Allen Solly and
many more. The launch of Miss Players was agood move by the
company as it gives an advantage to the company for introducing a
completecollection especially for women. Only few companies had
introduced such exclusive brands. Thecompany can move on with the
introduction of new products like jackets, winter shawls.

Information Technology-
In 2000, ITC spun off its information technology business into a wholly
owned subsidiary,
ITC Infotech India Limited,
to more aggressively pursue emerging opportunities in this area. Today
ITCInfotech is one of India¶s fastest growing global IT andIT-enabled se
rvices companies and hasestablished itself as a key player in offshore
outsourcing, providing outsourced IT solutions and servicesto leading
global customers across key focus verticals - Manufacturing, BFSI
(Banking, FinancialServices & Insurance), CPG&R (Consumer
Packaged Goods & Retail), THT (Travel, Hospitality andTransportation)
and Media & Entertainment.

Safety Matches-
In 2002, ITC's philosophy of contributing to enhancing the competitiveness of the entirevalue
chain found yet another expression in the Safety Matches initiative. ITC now markets popular
safety matches brands like
iKno, Mangaldeep, Aim, Aim Mega
and
Aim Metro.
FOOD-
ITC's foray into the Foods business is an outstanding example of successfully blendingmultiple
internal competencies to create a new driver of business growth. It began in August2001 with the
introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. In 2002,ITC entered the
confectionery and staples segments with the launch of the brands
mint-o
and
Candyman
confectionery and
Aashirvaad
atta

(wheat flour). 2003 witnessed the introduction of

Sunfeast
as the Company entered the biscuits segment. ITC's entered the fast growing brandedsnacks
category with
Bingo!
in 2007. In just seven years, the Foods business has grown to asignificant size with over 200
differentiated products under six distinctive brands, with anenviable distribution reach, a rapidly
growing market share and a solid market standing.

5
0
.
ITC¶S MINTO mouth freshener is emerging as a recognizing brand apart from
rivalPREFETTI¶S HALLS. A blend of effective distribution, aggressive trade level activity
andconsistent marketing efforts have helped the business to gain a substantial market share in
thissegment.
Competitors:
BritanniaParlePriyagold

53

COMPETITORS:
The company had entered this segment very late; the market is still dominated by GARNIER
andL¶OREAL with HINDUSTAN UNILEVER, PROCTOR AND GAMBLE and
COLGATEPALMOLIVE just behind them. It would be a matter of time for ITC to show its
presence, sinceit had become a name of trust among the people of India.
CONCLUSION:
As per the company introduction of soap and shampoo¶s, it can move on with the introduction
of cosmetics to the Indian market. It need to do more efforts in order to raise the sale of
personal products because products other than superia are not doing well.
Education & Stationery Products ±
ITC made its entry into the stationery business in the year 2002 with its premium range
of notebooks, followed in the year 2003 with the more popular range to augment its
offering. ITC¶sstationery Brands are marketed as
³Classmate´
and
³Paperkraft´
, with Classmate addressingthe needs of students and Paperkraft targeted towards college
students and executives.
Classmate Fun N Learn
,
Classmate Invento
,
Classmate pens, Paperkraft
are thestationery products of ITC.

COMPETITORS:
The major competitor of ITC in this field is NAVNEET publication whose notebooks arevery
popular among people.
CONTRIBUTION IN THE MARKET:

The Classmate brand alone contributes about Rs 150 crore. Data estimates the market for school
and education sector at Rs 5,000 crore. Classmate lack behind the variety if compared to Navneet
publications. With the introduction of more varieties it can be a market leader.The GREETING
CARD section includes EXPRESSION greeting card which are gaininghuge popularity among
the people .The main reasons behind is that they are available I widerange apart from ARCHIE¶S
and HALLMARK which are very expensive.The company can have a growth in this segment
because of its quality in its brand and at areasonable price. On the other hand hallmark is
charging more because of its brand name. Thecard can be of wider acceptance if remain in same
price range