Mangal Cement

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    A

    Training Project Report

    On

    A survey of Retailers/Dealers to know their opinion

    about Pricing of different brands of cement

    WSR to Manglam Cement Ltd.

    Submitted in partial fulfillment of the requirement forthe

    Award of Degree of

    Master of Business

    Administration

    SUBMITTED BY: SUBMITTETO:

    Sudhir Meena Mr Mohit PantMBA-III Sem(Marketing) (Asst.Prof.)

    2010-2012

    OM KOTHARI INSTITUTE OF MANAGEMENT & RESEARCH,KOTA

    (Affiliated to Rajasthan Technical University, Kota)

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    INTRODUCTION OF CEMENTINDUSTRY

    Over the decade of the eighties, the cement industry in India

    has witnesses a rate of the growth in capacity and productionrarely seen among has for long country major industries. Anindustry that had for long been under a stifling regime of price anddistribution control for most of the previous three decades, it hadby the end of this seventies, reached a situation of virtualstagnation. Technologically obsolete and undersized plants, theirinefficiencies supported by the generosity of the regulatory regime,produced a quantity of cement that barely met the countrysalready depressed levels of consumption. The commodity was in a

    state of perpetual shortage, with a thriving underground marketcommanding substantial premiums. After 1977, the governmentsought to ease the shortage through imports, which quickly rose tolevel of ten percent of domestic consumption. In 1982, the industrywas partially deregulated basically by the freeing a segment of itsproduction from price and distribution controls. It was one of thefirst major industries in the country to be so deregulated and theopening up of profit opportunities afforded by a free market in aperennially short commodity brought a flood of entry into the

    industry. Much of these entry was by first time cement producers,either new firms in other lines of business diversifying in to cementmanufacture the new entry took place at scales of production thatwere substantially larger than most existing plants. Further virtuallyall the new capacity was in the relatively more efficient dry processof manufacture, as opposed to substantial existing capacity thatwas in the older wet process.

    All these development took place at a very rapid rate. By the

    mideighties, the industry had been completely transformed, with

    cement available abundance even to the extent of being a brandedproduct. Capacity growth outstripped demand, prices began to

    decline and many of the firms in the industry began to falter, in

    1989 the government announces the total decontrol of prices and

    distribution. The industry had, by the early nineties assumed all the

    characteristics of a competitive market- a large number of firms,

    many new ones posed to enter, and the generally inability of firms

    to maintain prices at a level that was consistent with sustained

    high profitability.

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    INTRODUCTION OF CEMENT

    WHAT IS CEMENT

    The word "cement" is of ancient Roman Origin, the Romanmade a kind of structural concrete composed of broken stone orsimilar material with burned lime as the binding medium. This formof construction was called "Opus caementitium". Later on, the term"cement" was used to denote those admixtures. In 1924, byburning a mixture containing certain proportions of lime and clay ata high temperature is called "PORTLAND - CEMENT" Which isresembles Portland stone, as limestone found in Southern Britain.Cement is a finely ground hydraulic binding medium for mortar andconcrete, consisting substantially of calcium oxide with silicon die-oxide, aluminum oxide and ferric oxide, which have been formedby sintering or fusion. When mixed with water, cement hardensboth in air and under water and retains its strength under water.

    THE DIFFERENT TYPES OF CEMENT

    There are different varieties of cement based on differentcompositions according to specific end uses namely OrdinaryPortland Cement, Portland Pozolona Cement, Portland BlastFurnace Slag Cement, white Cement and Specialized Cement.The basic difference lies in the percentage of clinker used.

    Ordinary Portland cement (O. P. C.)

    OPC, popularly known as grey cement has 95% clinker and5% of gypsum and other materials. It accounts for 70% of the totalconsumption. White cement is a variation of OPC and is used fordecorative purpose like rendering of walls, flooring etc. it containsa very low proportion of iron oxide.

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    Portland Pozolona Cement (P. P. C.)

    PPC has 80% clinker, 15% pozolona and 5% gypsum and

    accounts for 18% of the total cement consumption. Pozolona has asiliceous and aluminous material that does not possess cementingproperties but develop these properties in the presence of water. Itis cheaply manufactured because it uses fly ash/ burnt coal wasteas the main ingredient. It has a lower heat of hydration. This helpsin preventing cracks where large volumes are being cast.

    Portland Blast Furnace Slag Cement (P.B.F.S.C.)

    PBFSC consists of 45% clinker, 50% blast furnace slag 5%gypsum & accounts for 10% of the total cement consumed. It hasa heat of hydration even lower than PPC & is generally used inconstruction of dams & similar massive construction.

    White cement

    Basically it is OPC clinker using fuel oil (instead of coal) andwith iron oxide content blow 0.4% to ensure whiteness. Specialcooling technique is used. It is used to enhance aesthetic value intiles & for flooring. White cement is much more expensive thengray cement.

    Specialized Cement

    Oil well cement - it is made from clinker with special additives to

    Prevent any porosity.

    Rapid Hardening Portland cement - it is similar to O.P.C. exceptthat It is Ground mush finer, so that on casting, the compressibleStrength Increases rapidly.

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    POSITION OF CEMENT INDUSTRY IN

    RAJASTHAN

    Position of cement industry in Rajasthan. The manufacture ofcement if of recent developments in India. The increasing homemarkets due to increased activity in building construction and newuses of concrete have led to considerable expansion.

    The choice of location for the manufacture of cement isgenerally influenced by transport costs where the raw material

    used is bulky, there is a tendency for the industry to the locatednear the source of raw materials so that the heavy transport costson materials could be avoided for the manufacture of 100 tons ofcement, 160 tons of limestone, 38 are bulky in weight and cheap inprice hence, cement industry is generally seen out cropping latplaces but it does not rise more than a few meters above the plainarea.

    Before independence, LAKHERI was a popular place,

    which is a still famous for its quality cement. At presentthese are the following cement industries functioning inRajasthan.

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    MAJOR CEMENT INDUSTRIES WORKINGIN RAJASTHAN

    ACC Ltd. LAKHERI, BUNDI (1951)

    BIRLA CEMENT WORKS, CHITORGHAR.

    AADITAYA CEMENT WORKS, CHITTORGHAR.

    MANGLAM CEMENT, MORAK (Kota).

    SHREE CEMENT, BEAWAR.

    J.K. CEMENT, NIMBAHERA.

    J.K. CORPORATION LTD. SIROHI.

    SHRI RAM CEMENT, SRI RAM SAGAR, Kota.

    BINANI CEMENT LTD., SIROHI.

    BANGUR CEMENT, BEAWAR.

    AMBUJA CEMENT, RABRIYAVAS, DIST.PALI.

    TUFF CEMENTO CEMENT, BEAWAR.

    As far as cement production in Rajasthan is concerned

    SHREE CEMENT, BEAWAR tops in the list, according to the

    production. Now BIRLA UTTAM also tries to increase its capacity

    by generating electricity through their own thermal power plant.

    The total capacity of BIRLA UTTAM is 4500 MT/day.

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    CHAPTER - II

    COMPANY PROFILE

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    COMPANY PROFILE

    MANGLAM CEMENT LTD. belongs to Birla group of

    companies. It is a professionally managed cement manufacturingcompany, enjoying, enjoying the confidence of consumersbecause of its superior quality product and excellent customerservices.

    The plant of MANGLAM CEMENT LTD is situated at Morakin Kota district MANGLAM was incorporated in 1978 andcommercial production was started in 1982. The total capacity was1200 MT/Day.

    The company has added one more feather to its capacity in

    1992 by commissioning its state of the art new cement plant withGerman Technology for producing 7 lakes tones per annum at itsexisting plant at Morak. Under the name of Neer Shree Cement.

    Krupp policies, Germany and their counterpart Kruppindustries limited have joined hands with MANGLAM cement ltd toproduce Birla Uttam premium 43 OPC and 53 PPC.

    MANGLAM cement has a total a of 1070. Employees on itsroll, which there are 750. Workers and 320. Staff employees.MANGLAM CEMENT is committed to quality usinghighly sophisticated state of art technology ensuring uniform andtop quality cement.

    MANGLAM CEMENT is committed to quality, to ensure this,the entire manufacturing process has been made automatic, andthe following latest equipments are used to achieve this goal.

    1. Vibrating Screen: - Commencing with a 500 TPH crusherwith latest vibrating screen to ensure that only very cleanstone goes in manufacturing process.

    2. Starchier Recamier: - To perfectly homogenize the mainraw material i.e. limestone.

    3. X- Ray Analyzers- for quick and accurate analysis of allthe raw material, clinker and cement.

    4. Computerized central control Room: For stable andefficient operation.

    5. Roller mills: latest roller mills for coal grinding and rollerpresses for clinker grinding to ensure uniform particle sizeof cement for greater Strength.

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    SET UP OF MANGALAM

    Location : Morak 65 Km from Kota

    Year of incorporation : Mangalam Neer Shree

    1978 1992

    Commercial Production : Mangalam Neer Shree

    1982 1994

    Total Project cost : 400 Corers

    Capacity : Mangalam Neer Shree

    1200MT/day 3300 MT/day

    Man power : 750 workers 320 staff employees

    Brand Name : Birla Uttam

    Product Manufactured : Birla Uttam Cement

    OPC 43 grade PPC 53 mpa

    Registered Office and Plant : P.O Aditya Nagar Morak

    Distt. Kota (Rajasthan)

    Head Office : 9/1, R.N. Mukherjee Road

    Kolkata -700001

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    OBJECTIVES OF MANGALAM CEMENTLTD

    * To make continuous efforts to sustain and improve thequality and productivity levels and attain consistent results.

    * To promote the culture for acquiring knowledge and skill toadapt to the new technology development.

    * To encourage team work for finding solutions to the

    problems of quality and productivity and their implementationleading to enhanced commitment

    * Excellence in all spheres of management through census,consultation, system perfection delegation, decentralizationand human resource development for knowledgeintegration and skill development.

    ACHIEVEMENTS

    1. 190214 MT cement in Delhi in 1990-91, the highest saleamong all other manufacture.

    2. Won prestigious company of the year award during theyear 1988-89.

    3. DSJ corporate excellence award in year 1991-92.

    4. ISO9002 certificate from BIS.

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    CORPORATE PHILOSOPHY

    * To adopt the cement of total productivity management in allspheres of excellence in the quality management forattaining perfection.

    * To derive the advantage from the synergies of the groupcompanies.

    * To incorporate within the group a common business

    philosophy and management practices.

    * To aim at various strategies for growing challenges andopportunity.

    * To promote friendship and camaraderie at all levels ofindividuals of group companies.

    * To develop knowledge by sharing and interacting with peoplewithin and outside the world.

    * To decentralize decision and delegate authority for freedomof value and added activity, shouldering more responsibilityto participate in decision making process with autonomy atall levels.

    * To produce quality cement and render services to entiresatisfaction of the valued customer and diversification inbusiness.

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    VISIONS 2008 of MCL

    We the members of Mangalam pariwar with persistent

    pledge to produce excellent quality cement as per the needs of ourcustomer and to achieve optimum utilization of our resources by:

    * Striving for zero accidents, zero quality complaints and zerodowntime.

    * Enhancing individual competencies through continuoushuman resources development aids and overall excellence

    through people.

    * Total motivated involvement through participativemanagement activities with high degree of professionalism.

    * Creating clean, conducive, green, healthy and safeenvironment.

    * Continuous efforts for total quality management and qualityway of life.

    * Endless efforts for total productivity and maintenance bycreating the high performing work culture and inculcating thefeeling that this is my machine & I maintain it.

    * Fulfillment of social responsibilities of the organization by

    continuous efforts rural development and upliftment of thesurrounding areas.

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    MARKETING SET UP OFORGANISATION

    CEMENT MARKET SCENERIO

    Cement is an item of mass consumption. Cement industryoccupies a prominent place in the economy of India. Cement isproduced in bulk quantities in India, whose position is fourth inworld in cement production. On a long-term basis, by the firstdecade of 21st century he shall be producing about 140 MillionTones per annum with rise in our per capita consumption to about

    120KG Cement. However the demand and supply are theconstants which control the cement market effectively.

    Cement market is highly critical and the philosophy is to sellor sink. It is facing hard competition with other cement producingunits situated in clusters. To prepare effective marketing strategy itmust be studied about

    Competitive marketing regarding product, price, place,promotion and packaging.

    DISTRIBUTION CHANNEL

    Distribution channels are set of inter dependent organsinvolved in the process of making a product for use orconsumption. So deciding marketing channel is a very criticaldecision because it affects all marketing decisions.

    Cement is regarded as one of the basic material for thegrowth of any country. So it is very essential that the distributionchannels should be such that it makes the product available to allpotential customers.

    Since inception of cement industry in India the distribution of

    cement was fully controlled by the government. But after adoption

    of the decontrol

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    Distribution Channel of Mangalam Cement

    Ltd.

    Mangalam Cement

    Sales Promoter Direct Selling to

    Stockiest Various Govt. Contract

    Retailer

    Customers

    MANGALAM MARKETING POLICY

    We believe in.

    * Stay in business.

    * Stay in profitability.

    * Make our brand visible in market.

    * To cater to market demand.

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    MARKETING DEPARTMENTSTRUCTURE

    JOINT PRESIDENT

    DGM DGM(Rajasthan) (North)

    ASM ASM ASM ASM ASM

    SO SO SO SO SO SO SO SO SO SO

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    ORGANISATION SRUCTURE OF

    MANGALAM

    Managing Director

    President

    Joint president

    Sr. Vice President

    Vice President

    Senior General Manager

    D.G.M

    Personnel Instruments Electrical Stores Accounts

    Mines

    Manager

    Assistant Manager

    Officers

    Assistant Officers

    Junior Officers

    Sr. Assistant

    Assistant

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    KEY MANAGEMENT OF M.C.L.

    (BOARD OF DIRECTOR)

    1. Mr. O. P. Gupta Chairmen

    2. Mr. T. S. Vishwanath Director

    3. Mr. N. G. Khaitan Director

    4. Mr. K. K. Mudgil Director

    5. Mr. K. C. Jain Managing Director

    (TEAM OF EXECUTIVES)

    1. Mr. R.C.Gupta President (F & A) & company secretary2. Mr. Yashant Joint president (commercial)

    3. Mr. S. k. Agarwal Joint President (Tech.)

    4. Mr. S. K. Pokharna Sr. Vice President (Tech.)

    5. Mr. Anil Mandot Sr. Vice president (A & T)

    6. Mr. V. Raghupati Vice President (Power plant)

    7. Mr. R. Giri Vice President (Elect. & instrumentation)

    8. Mr. R.K. Sodhani Vice President (Production)

    9. Mr. G. S. Chandak Vice President (Sales & Sales Acc.)

    10.Mr. Anoop Walia Vice president (marketing)

    11.Mr. N. K. Maheshwari AVP (Personal)

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    SWOT ANALYSIS OF M.C.L.

    Strengths -

    (a) It is best quality manufacturer of cement.

    (b) One of the best technologies in Rajasthan.

    (c) Near Shree largest technology is giving the bestoutput.

    (d) It is attributed by healthy work environment and soundManagement system.

    (e) Goodwill of B.K.Birla Group is also strength ofmangalam Cement limited.

    (f) Mangalam cements Limited is an ISO 9002 certifiedcompany.

    (g) Its strong dealers and retailers network is also itsstrength.

    (h) Superior strength of its products.

    (i) Superior fineness & consistent quality of its cement.

    (j) Durability and soundness.(k) Optimum setting time of cement.

    (l) Ideal water cement ratio.

    (m) Flexibility in design and usage.

    (n) Specification in accordance with BIS standards.

    (o) Electronic packaging system for prompt delivery.

    (p) Sales depots and offices for prompt delivery andimmediate attention for customer grievances.

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    Weaknesses -

    (a) Worsening power situations, facing companies to

    invest huge amounts in captive power plants.(b) Infrastructure bottlenecks like transportation for raw

    material, fuel supply and cement.

    (c) Inadequacy of finance for modernization.

    (d) Increasing freight prices.

    (e) Continuous losses may affect its goodwill and marketvalue of its shares.

    Opportunities -

    (a) Its superior quality attracts brand loyal and qualityconscious customers.

    (b) Expected infrastructure growth will add to the currentdemand.

    (c) By establishing their own power plant cost of production will be minimized.

    (d) Mangalam Cements limited can get profit by controllingits cost of production.

    (e) Experts quote that, only those companies will survive incement industry, whose cost of production is minimum.

    (f) By increasing its investments in promotional activities,it can enhance its market share.

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    Threats -

    (a) Large companies are coming up. This may put

    pressure on realization in Central and north India.(b) Cement Industry is facing price war, it may complete

    Mangalam cement limited to reduce its cement price.(c) There is depressed market condition cause by demand

    recession and commissioning of large capacity incement resulting in higher competition.

    (d) If an excess supply condition persists, it may lead toshut down of various cement plants.

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    CHAPTER-III

    Project Profile

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    PRICING

    Meaning of Pricing:-

    Pricing is the Marketing Mix element that produces

    revenue, the others produce costs. Pricing is also one of

    the most flexible element, it can be changed quickly.

    Pricing may be defined as the exchange of goods and

    Services in terms of money. Without Price there is no

    Marketing in the Society.

    Pricing is a Problem in four types of

    situations:-

    1. When the firm develops a new product and it is to fix

    the price of the product for the first time.

    2. When Competition forces the firm to initiate a price

    change.

    3. When circumstances so develop that lead the firm to

    consider initiating a price change.

    4. When the company produces several products that

    have interrelated Demands of costs.

    Objectives of Pricing:-

    1. To maximize the profits.

    2. Price stability.

    3. Competitive situation.

    4. Capturing the market.

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    5. Achieving a target return.

    Importance of pricing:-

    Pricing is one of the important element of marketingmix but lately, it has come to occupy the centre stage in

    marketing wars. The reasons for this are:

    1. Product differentiation getting

    blunted :

    As technologies get standardized differentiation

    among firms of basis of the product is going to getblunted. More product and brand will transcend to a

    commodity situation.

    2. Inter- firm rivalry :

    The intensity in inter-firm rivalry increases as the

    entry and exit barriers in the industry are lowered.

    3. Mature products and market :When the products enter the maturity stage and the

    markets are also mature, the only way to differentiate the

    various offers is on the basis of augmented service of

    price cuts.

    4. Customers Value perception :

    Another factor contributing to the importance of thepricing decision is the customer perception of the product

    and potential value.

    5. Inflation in the economy :

    Pricing decisions become important in the

    inflationary economy inflation affects pricing in two ways:

    (I) it lowers the purchasing power of the customerand hence a search for low priced substitutes

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    (II) it increases a firms cost because of the inputs

    costing more, thus forcing the price of the

    product upwards.

    Factors affecting pricing

    decisions:-

    The pricing decisions are influenced by many factors.

    The price policies should be consistent with pricing

    objectives. The influencing factors for a price decision can

    be divided into two groups.

    1. Internal factors and

    2. External factors

    Internal Factors External

    factors

    * Organizational factor * Demand

    * Marketing Mix Pricing * Competition

    * Product differentiation decision *

    Suppliers

    * Cost of the product *

    Economic

    * Objectives of the firm * Buyers

    Condition *Government

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    Methods of determining prices

    1. Cost plus pricing method :-

    In this method, the marketer estimates the total cost

    of Producing or manufacturing the product and then adds

    it a mark up or the Margin that the firm wants this is

    needed the most elementary pricing method and many of

    services and projects are priced accordingly.

    Mark up price = / (1-r)

    Where, = Unit cost (fixed cost + Variable cost)

    R= Expected return on sales expressed as a percent

    2. Marginal cost pricing method:-

    In this method, the company may work on the

    premise of recovering its marginal cost and getting a

    contribution towards its over- heads. This method works

    well in a market already dominated by giant firms or

    characterized by intense competition and the objective of

    the firm is to get a foothold in the market.

    3. B.E.P. pricing method:-

    In this method, total cost of production of a product is

    divided in two parts Fixed costs and variable costs. The

    price is determined equal to the total cost of production of

    product. It is based on the fact in short- run the enterprisewill not make any profit but in long-run, it will start to earn

    profit and higher be the scale of production, more will be

    the amount of profit to the enterprise because all fixed

    costs remain constant at all the levels of production and

    as the fixed costs are recovered in the beginning, the

    enterprise starts to get profit with the increase in sales

    above break even point.

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    4. Rate of return or target pricing method :-

    In this method of price determination, first of all, arate of return desired by the enterprise on the amount of

    capital invested by it is determined. The amount of profit

    desired by the enterprise is the calculated on the basis of

    this rate of return.

    5. Sealed bid pricing :-

    Another form of competition oriented pricing is the

    sealed bid pricing. In a large number of projects,industrial marketing and marketing to the Government,

    suppliers are asked to submit their quotations as part of

    tender. The price quoted reflects the firms cost and its

    understanding of competition. If the firm was the to price

    its offer only at its cost level, it may be the lowest bidder

    and may even get the contract but may not make any

    profit out of the deal. So, it is important that the firm uses

    expected profit as different price levels to arrive at themost profitable price.

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    ELEMENTRY BACKGROUND

    Price is one of the marketing mix that generates

    revenue whereas the other elements produces cost to the.

    Price is the easiest marketing mix elements that can be

    adjust; products- Features, distribution channel and even

    promotion takes more time. Price also helps in

    commutating the market when the companies intended to

    value positioning of its product or brand. There are five

    basic determinants of the price of commodities.

    1. Demand of cement.

    2. Its cost of production.

    3. Objectives of its producers.

    4. Nature of the competition in its market.

    5. Govt. policy pertaining to cement industry.

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    TOTAL CUSTOMER SATISFACTION

    Whether the buyer is satisfied after purchase depends on theoffers performance in relation to the buyers expectations. Ingeneral, satisfaction is a persons feelings of pleasure ordisappointment resulting from comparing a products perceivedperformance (or outcome) in relation to his or her expectations. Ifthe performance falls short of expectations, the customer isdissatisfied. If the performance matches the expectations, thecustomer is satisfied. If the performance exceeds expectations, thecustomer is highly satisfied or delighted.

    The link between customer satisfaction and customer loyaltyis not proportional. Suppose customer satisfaction is rated on ascale from one to five. At a very low level of customer satisfaction(level one), customers are likely to abandon the company andeven bad-month it. At levels two to four, customers are fairlysatisfied but still find it easy to switch when a better offer comesalong. At level five, the customer is very likely to repurchase andeven spread good word of mouth about the company. High

    satisfaction or delight creates an emotional bond with the brand orcompany, not just a relational performance. Xeroxs seniormanagement found out that its completely satisfied customersare six times more likely to repurchase Xerox products over thefollowing 18 months that its very satisfied customers.

    The customers of Birla Uttam is satisfied with the better

    quality and services and satisfy with brand because Birla Uttam

    has different brand image. It is known by the name only.

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    CHAPTER - IV

    RESEARCH METHODOLOGY

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    RESEARCH MATHODOLOGY

    Research Methodology is a framework, a blue print for the

    research, which guides the collection and analysis of data.Research methodology is being framed in order to achieve

    the research objectives. It is an expression of what is expected ofthe research exercise in terms of result and the analytical inputneeded to convert data into research findings.

    Research methodology minimizes the degree of uncertaintyinvolved in the management. Research lays the structure fordecision making.

    OBJECTIVES OF THE STUDY

    * To find out how many brands are carried by retailers/dealer.

    * To know R/Ds opinion about the best brand in terms of price

    & quality.

    * To know their opinion regarding the most demanded brand.

    * To find out their opinion regarding different attributes of

    different brands of cement.

    * To know about the opinion regarding price strategies &

    satisfaction of birla uttam cement.

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    RESEARCH DESIGN

    1. Type of research: - This research was descriptive innature.

    Descriptive research having following characteristic:-

    * This study describes the phenomena under study.

    * The data collected here may relate to the demographic or thebehavioral variables of the respondents under study.

    2. Research instrument: -Schedule.

    3. DATA COLLECTION method: -

    The decision making must be objective and fact based in

    nature. This is achieved by collecting and analyzing appropriate

    data. Data may be broadly divided into two categories namely

    primary data & secondary data. The primary data are those data,

    which are collected for the first time by the organization, which

    have already been collected by some other agency but also can be

    used by organization under consideration. Primary data may becollected by observation, oral investigation and schedule method

    or by telephone interview. In this study, for primary data collection

    the researcher has used schedule method. This is written and in

    organized format containing all questions relevant to soliciting

    type, in which all questions and answers is specified and

    comments in the respondents own words are held to a minimum.

    The unstructured schedule is useful in carrying out in depth

    interviews where the aim is to probe for attitudes and reasons. Forthis study we are using structured schedule (Annexure-A) and

    carry out the personal interviews with users and dealers. Some

    times the researcher has carried out in-depth interviews and

    observes the situation to get more in depth information about the

    topic. In the structured personal interview with users and dealers.

    Some times we have carried out in-depth interviews and observe

    the situation to get more in depth information about the topic.

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    4. Sampling designing: -Sampling indicates the selection of a part of a group or an

    aggregate with a view to obtaining the information about the whole.This aggregate or totality of all members in known as populationalthough they need not is human beings. For this study indesigning the sampling plan, we have used the non probabilityconvenience sampling method. The sampling units for this studyare dealers, big civil contractors & builders concerning to cementindustry.

    The sample frame has different features covering a variety ofunits.

    * Dealers located in Kota proper and dealers at Tahsil andother places in Kota district.

    Sampling unit: - The researcher must define the target populationthat will be surveyed.

    5. Sampling size: -It means how many people to surveyed normally large

    sample give more reliable then small but it is difficult to chooselarge sample size of survey was limited up 100wholesalers/retailers in Kota division.

    6. Sampling procedure: -

    Convienent sampling.

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    CHAPTER - V

    DATA INTERPRETATION

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    1. brands carried by Dealer / Retailer?

    No. of Brands No. of Dealer /

    Retailer

    1 4

    2 14

    3 23

    4 27

    More Than 4 32

    2. Brands best in terms of price?

    0

    5

    10

    15

    20

    25

    30

    35

    No.ofDealer/Retailer

    1 2 3 4 More Than 4

    No. of Brands

    The above table & representation shows that most of

    the dealers & retailers deal in four brands. No ofshops on which 1 brand are available are 4. No of

    shops on which brand are available are 14. no of

    shops on which 3 brand are available are 23. no of

    shops on which 4 brand are available are 27.and

    there are ver few sho s which sales more than 32

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    Name of Brands D/R in

    Percentage

    Birla Uttam 33.00%

    Ultratech 18.30%

    Ambuja 11.60%

    Shree Ram 15.40%

    Binani 07.70%

    Others 15.00%

    3. Brands best in terms of quality?

    33.00

    18.30

    11.60

    15.40

    7.70

    14.00

    -

    5

    10

    15

    20

    25

    30

    35

    Birla Ut tam Ult ratech Ambuja Shree Ram Binani Others

    Brand Name

    D/RinPercentage

    The above table is shows 33% retailers give 1 rank

    to the market price of Birla Uttam and

    18.30%Retailers give 1 rank to the market price of

    Ultratech, 11.60% retailers give 1 rank to Ambuja,15.40% retailers give 1 rank to Shree Ram, 7.7%

    retailers give 1 rank to Binani and 15% other

    retailers give 1 rank to other brands.

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    Name of Brands D/R in

    percentage

    Birla Uttam 34%

    Ultratech 22%Ambuja 12%

    Shree Ram 14%

    Binani 10%

    Others 8%

    4. which brand is more demanded?

    Name of Brands No. of Percenta

    0

    5

    10

    15

    20

    25

    30

    35

    No.ofDeailer/Retailer

    Birla Uttam Ultratech Ambuja Shree

    Ram

    Binani Others

    Brand Name

    The above table is shows 34% D/R give 1 Rank to

    the quality of Birla Uttam , 22% D/R give 1 Rank to

    the quality of Birla Ultratech , 12% D/R give 1 Rank

    to the quality of Ambuja , 14% D/R give 1 Rank to

    the quality of Shree Ram , 10% D/R give 1 Rank tothe quality of Binani and 8% D/R give 1 Rank to

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    Outlets ge

    Birla Uttam 20 35.71%

    Ultratech 27 22.86%

    Ambuja 18 18.51%

    Shree Ram 11 10.00%

    Binani 12 10.00%

    Others 8 2.92%

    .

    5. Reference about the different features-

    (A)

    Brand NamePackaging

    Rank-1 Rank-2

    21%

    28%

    19%

    11%

    13%

    8%

    Birla Uttam

    Ultratech

    Ambuja

    Shree Ram

    Binani

    Others

    The above table shows 35.71% market of Birla

    Uttam , 22.86% market of Ultratech , 18.57%

    market of Ambuja , 10% market of Shree Ram ,

    10% market of Binani and 2.92% market of other

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    Birla Uttam 23.33% 76.67%

    Ultratech 15.00% 85.00%

    Ambuja 30.00% 70.00%

    Shree Ram 13.86% 86.14%Binani - 100.00%

    Others 17.00% 83.00%

    This graph shows packaging different brand 23.33%

    Shopkeeper says packaging of Birla Uttam is No. 1 but

    76.67% that is highest in all brand says packaging of Birla

    Uttam is not so good.

    (B)

    Brand NameMargin

    Rank-1 Rank-2

    Birla Uttam 11.66% 88.34%

    Ultratech 13.33% 86.67%

    23.

    33

    15

    30

    13.

    86

    -

    17

    76.

    67

    85

    70

    86.1

    41

    00

    83

    0

    20

    40

    60

    80

    100

    120

    Birla

    Uttam

    Ultratech Ambuja Shree

    Ram

    Binani Others

    Brand Name

    Packaging(in%)

    Rank-1

    Rank-2

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    Ambuja 13.33% 86.67%

    Shree Ram 3.33% 96.67%

    Binani 5.00% 95.00%

    Others 5.01% 94.99%

    In case of margin Birla Uttam is far behind in comparison

    to other brand as reference given by D & R. only 11.66%

    D & R says margin of Birla Uttam is No. 1 but 88.34 % D

    & R appose this situation .

    (C)

    Brand NameDemand

    Rank-1 Rank-2

    Birla Uttam 53.33% 46.67%

    Ultratech 11.66% 88.34%

    Ambuja 11.66% 88.34%

    11

    .66

    13

    .33

    13

    .33

    3.

    33

    5 5.

    01

    88

    .34

    86

    .67

    86

    .67 9

    6.

    67

    95

    94

    .99

    0

    20

    40

    60

    80

    100

    120

    Birla Uttam Ultratech Ambuja Shree

    Ram

    Binani Others

    Brand Name

    Margin(in%)

    Rank-1

    Rank-2

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    Shree Ram 3.33% 96.67%

    Binani - 100.00%

    Others 16.69% 83.31%

    In case of demand Birla Uttam comes first. 53.33% of D &

    R says demand of Birla Uttam is No. 1 and in case of

    Ultratech and Ambuja 11.66% D & R says demand is

    no.1 as Shree Ram is new brand so its demand is No.1

    says only 3.33% D & R .

    (D)

    Brand NameSupply

    Rank-1 Rank-2

    Birla Uttam 26.60% 73.40%

    Ultratech 13.33% 86.67%

    Ambuja 16.66% 83.34%

    Shree Ram 3.33% 96.67%

    53.

    33

    11

    .66

    11

    .66

    3.

    33

    -

    16.

    69

    46.

    67

    88.

    34

    88.

    34

    96.

    67

    100

    83.

    31

    0

    20

    40

    60

    80

    100

    120

    Birla Uttam Ultratech Ambuja Shree

    Ram

    Binani Others

    Brand Name

    Demand(in%)

    Rank-1

    Rank-2

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    Binani 3.33% 96.67%

    Others 34.42% 66.58%

    In case of Supply of different of brand 26.60% D & R says

    supply of Birla Uttam is good and rank it first but 73.40%

    D & R give it second rank it mean not up to mark . supply

    of other brands like Ultratech , Ambuja ,Shree Ram ,Binani

    & Others are good that is 13.33% , 16.66% , 3.33% ,

    3.33% , 34.42% respectively D & R says supply of these

    brands are no. 1

    6. Margin, which is given by differentcompanies?

    Margin No. of Dealer /

    Retailer

    Less than 2% 58

    2 5% 32

    26

    .6

    13

    .33

    16

    .66

    3.

    33

    3.

    33

    34

    .42

    73

    .4

    86

    .67

    83

    .34 9

    6.

    67

    96

    .67

    66

    .58

    0

    20

    40

    60

    80

    100

    120

    Birla Uttam Ultratech Ambuja Shree

    Ram

    Binani Others

    Brand Name

    Supply(in%)

    Rank-1

    Rank-2

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    More than 5% 10

    In case of Margin Birla Uttam is far behind in comparison

    to other brand as said by D/R. 58 Dealers & Retailers

    says margin of Birla Uttam is less than 2 % , 32 Dealers &

    Retailers says that margin in cement is 2-5% which is

    given by Ultratech , Ambuja , Shree Ram , Binani . And 10

    D/R says that margin in cement is more than 5% which is

    given by other brand.

    7. Strategies adopted by Distributor to

    attract the customers in terms of Price?

    Price Strategies No. of D/R

    Cash Discount 42

    Credit Facilities 34

    0

    10

    20

    30

    40

    50

    60

    No.ofD

    ealer/Retailer

    Less than 2% 2 5% More than 5%

    Margin

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    Others 10

    No Scheme 14

    Above table justify that 42 D/R says that distributor should

    give cash discount to attract customer in term of price and

    34 D/R says that distributor should provide credit facilityto attract the customer, 10 D/R says that distributor

    should provide other facility to attract the customer and

    14 says that distributor should provide no scheme to

    attract the customer.

    8. Opinion regarding the price strategies

    adopted by Birla Uttam?

    Opinion

    Regarding Price

    No. of Dealer /

    Retailer

    Excellent 10

    Very Good 35

    Good 12

    0

    5

    10

    15

    20

    25

    30

    35

    40

    45

    N

    o.ofDealers/Retailers

    Cash Discount Credit Facilities Others No Scheme

    Price Strategies

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    Satisfactory 23

    Poor 20

    9. Dealers / Retailers satisfaction with the

    price of Birla Uttam?

    No. of Dealers /

    Retailers

    Yes No

    100 64 36

    64

    36

    Yes

    No

    0

    5

    10

    15

    20

    25

    30

    35

    No.ofDealer/Retai

    Excellent Very Good Good Satisfactory Poor

    Opinion Regarding Price

    Above table shows that price strategies adopted by

    Birla Uttam is not good. 20 D/R says that price

    strategies of Birla Uttam is poor. 12 & 35 D/R says that

    price strategies of Birla Uttam are good and very good.

    And 10 D/R says that a price strategy of Birla Uttam is

    excellent and 23 D/R are satisfied with price strategiesof Birla Uttam.

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    10. which is the major competitor of Birla

    Uttam in the local Market & Surrounding?

    (According to Dealers / Retailers)

    Name of Brands No. of Dealer /

    Retailer

    Ultratech 42

    Ambuja 18

    Shree Ram 24

    Binani 7

    Others 9

    The above chart shows that 64 D/R are satisfied

    and 36 D/R are not satisfied with the price of

    0

    5

    10

    15

    20

    25

    30

    35

    40

    45

    No.

    ofDealer/Retailer

    Ultratech Ambuja Shree Ram Binani Others

    Brand Name

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    Above table shows that 42 D/R says that Ultratech is

    major competitor of Birla Uttam in market , 18 says that

    Ambuja is major competitor , 24 says that Shree Ram

    is major competitor , 7 says that Binani is major

    competitor , and 9 says.

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    CHAPTER- VI

    FINDINGS & CONCLUSION

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    FINDINGS

    1. There are few retailers who have 4 different brands.

    Generally a dealer keeps only one brand, which is in demand

    in the area where his outlet is located or he is the franchise

    of a specific brand.

    2. The analysis and market survey shows that Birla Uttam is

    largest selling brand of M.C.L. in terms of its pricing and

    profit generation for the manufacturer & dealer as well as this

    is also a popular brand in terms of quality.

    3. In terms of packaging, dealers are not satisfied with the Birla

    Uttam though it is a largest selling brand. Most of the dealers

    are not satisfied with the profit margin by birla Uttam.They

    are earning more profitby selling Ultratech & Ambuja andother brands.

    4. The supply of Birla Uttam cement is not sufficient due to

    proper distribution channels.

    5. In order to attract the customer, dealers mostly use cash

    discount facility.

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    CONCLUSION

    1. In Kota city Birla Uttam is market leader so itsdemand is higher.

    2. Packaging is the factor which is consider bymost suppliers as well as customer.

    3. Distribution network is the secondconsideration factor because the distributiondifference among various brand is few but there is nosupply according to demand.

    4. Packaging is poor because the capacity of begs is less so begs torned.

    5. Customers are not satisfied with packagingand schemes which are provide by company.

    6. Margin in less in comparison to other brand.

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    RECOMMENDATIONS

    CHAPTER - VII

    RECOMMENDATIONS

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    1. M C L should try to reduce its cost of production.

    2. Packaging is the factor which is considerd by mostsuppliers as well as customer. So company shouldimprove the packaging.

    3. Company should provide the distribution network. Sothat brand can be easily available to the customer.

    4. Company should provide schemes to attract thecustomers.

    5. Company should provide better supply at regularintervals.

    6. Margin should be increased by company.

    7. Give priority to dispatch of material.

    8. Order booking system should be proper.

    9. Avoid over handing of bags from one place to another

    place.

    10. Avoid doubling in transportation near two

    places.

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    MANGALAM CEMENT LIMITED

    QUESTIONNAIRE

    APPENDIX

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    Name of the firm......................................................................

    Name of the owner....

    Address...

    Q. 1 How many Brands a Dealer/Retailer has?

    (A) 1 (B) 2(C) 3 (D) 4 (E) More than 4 [ ]

    Q 2 Mark one brand which you feel bast in terms of price?

    1. Birla Uttam [ ]

    2. Ultra tech [ ]

    3. Ambuja [ ]

    4. Shree Ram [ ]

    5. Binani [ ]

    6. Other [ ]

    Q. 3 Mark one brand which you feel best in terms ofquality?

    1. Birla Uttam

    2. Ultra tech

    3. Ambuja

    4. Shree Ram5. Binani

    6. Other [ ]

    Q.4 which brand is more demanded and why?

    1. Birla Uttam

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    2. Ultra tech

    3. Ambuja

    4. Shree Ram

    5. Binani

    6. Other [ ]

    Q.5 Mark one brand which you feel best in terms ofpackaging?

    1 Birla uttam2 Ultra tech3 Ambuja4 Shree Ram5 Binani6 Other

    Q.Mark one brand on the basis of supply regularity?

    (A) Less then 2% (B) 2-5%

    (C) More then 5% [ ]

    Q.7 what types of strategy is adopted by the distributor to attractthe customer in terms of price?

    (A) Cash discount (B) Credit facilities

    (C) Other (D) NO scheme [ ]

    Q.8 what is your opinion regarding price strategies adopted by the'Birla Uttam' in terms of market expectation?

    (A) Excellent (B) Very good

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    (C) Good (D) Satisfactory

    (E) Poor [ ]

    Q 10Dealer/Retailers satisfaction with the pricing of Birla Uttam?

    Yes No.

    Q.11. which is the major competitor of Birla Uttam in the localmarket & Surroundings? (According to Dealer/Retailer)

    (A) Ultratech (B) Ambuja

    (C) Shree ram (D) Binani(E) Other [ ]

    Q12 Any Suggestion regarding price

    -----------------------------------------------------------------------------------------

    Q.13 Any recommendation for improvement in Birla Uttamcement -----------------------------------------------------------------------------------------

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    BIBLIOGRAPHY

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    Bibliography

    Books: -

    Kotler Philip Marketing Management, Eight Edition, Northwestern

    University

    Kothari C. R. Research Methodology Second Edition, New Age

    International (P) Ltd.

    Garikaparthi Madhavi CRM-The New Face of Marketing first edition,

    ICFAI University.

    Schiffman Leon G Consumer Behavior, Prentice-Hall Pvt Ltd, Eight

    Edition.

    LoveLock Christopher, Wirtz Jochen Service Marketing, Pearson

    Education fifth edition.

    Roa Mohana Rama.K Service Marketing Published by Pearson

    Education.

    Shanker Ravi Service Marketing Published by Anurag Jain Edition

    2002.

    Concerned website:

    http://www.manglam cement ltd.com www.answer. com

    Companys Brochure:-

    Annual report manglamcementltd.

    www.manglamcement.com

    http://www.manglam/http://www.answer/http://www.manglam/http://www.answer/