APROJECT REPORT

ON

“SALES PROMOTION THROUGH DISTRIBUTION CHANNEL”

SHREE CEMENT LTD.

For the partial fulfillment in award of PGDMTwo year full time Programme

Under the guidance of FACULTY GUIDE GUIDE Mr. Sanjay Gaur Mr. Gajnish Dhir

SUBMITTED BY:ADITYA SHARMA

PGDM 2nd Sem. (2009-2011)

---------------------------------------------------------------- COMPANY

Maharishi Arvind Institute of Science & Management

Ambabari Circle, Bharti Path, Ambabari, Jaipur-302023 (INDIA) Tel: +91-141-2335487, 2234216 - Telefax: +91-141-2335120 E-mail: maism@datainfosys.net Website: www.maism.com

Table of Content

Contents

Certificate of Registration

Certificate For Summer Training

Certificate of Approval

Acknowledgement

Executive summary

Introduction 1. Vision 2. Mission 3. Objective of The Study 4. Scope of the Study 5. Methodology Used 6. Primary Data 7. Secondary Data8. Limitations of Research

Introduction to Cement Industry 1. About Cement 2. IT’S Discovery 3. Varieties of Cement 4. Red Oxide Cement 5. Advantages of Red Oxide Cement 6. Manufacturing Process 7. Ras Cement Project

Introduction of Organization 1. Company Profile 2. Shree Philosophy3. Promoter 4. Major Clients5. Success Drivers 6. Awards and Appraisal 7. Power Configuration 8. Compressive Strength 9. Awards 10. Innovation

11. Progressive Management

Mines of Shree Cement

Shree Cement Policies

Human Resource

Marketing

Sales Promotion Strategies 1. Research Design 2. Scope of Study 3. Research Methodology

Observation and Findings RSWOT Analysis

Recommendations

References

Bibliography

Annexure

SHREE CEMENT LTD.A-6, YUDHISHTER MARG, OPP. YOJANA BHAWAN, C-SCHEME, JAIPUR-02 005

PHONE : 2223917, 2223918, 2225950, FAX : (91) 0141-2224841E-mail : scljpr_jp1@sancharnet.in

Dated : 16 July, 2010

TO WHOM SOEVER IT MAY CONCERN

This is to certify that Mr. Aditiya Sharma has completed his Summer Training in our

Company. The tenure of the training was 45 days starting from the date 14th May, 2007 to

30th June, 2007. During this tenure his performance was good and he was found taking

initiative for learning new assignments / project given to him.

We wish his good luck for his future endeavors.

For SHREE CEMENT LIMITED

(Authorized Signatory)

Regd. Office & Works : BANGUR NAGAR, BEAWAR –305 901 RAJASTHANPHONE : (01462) 228101 to 05, FAX : 228117, 228118

CERTIFICATE OF ORIGINALITY

I ADITYA SHARMA s/o of Mr. KRISHNAVTAR SHARMA having Enrollment No 3408 of batch 2009-2011, do hereby certify and declare that this research project titled SALES PROMOTION THROUGH DISTRIBUTION CHANNEL, is the result of my own work. This report contains no materials or information which has been previously submitted for any other academic diploma or degree accept where indicated otherwise.

Date Signature of Student

Name of the Student

APPROVAL PAGE

This report, entitled SALES PROMOTION THROUGH DISTRIBUTION CHANNEL, prepare and submitted by Aditya Sharma, in partial fulfillment of the requirements for the degree of PGDM is hereby accepted

Mr. Sanjay Gaur

Name of Faculty Guide

Certificate of Approval

The following summer internship report titled “Sales Promotion Through Distribution Channel” is hereby approved as a certified study in management carried out and presented in manner satisfactory to warrant its acceptance as a prerequisite for the award of Master of Business Administration for which it has been submitted. It is understood that by this approval the undersigned do not necessarily endorse or approve any statement made, opinion expressed or conclusion drawn therein but approve the summer internship report only for the purpose it is submitted.

Summer Internship Report Examination Committee for evaluation of Summer Internship Report.

Organization Guide : Signature …………………………………..: Name : Mr. G.S.JOSHI: Designation : AGM: Address : Shree Cement Limited

Marketing Division, Jaipur-302012 Rajasthan.

: Signature …………………………………..: Name : Mr. GAGNISH DHIR: Designation : DGM – Marketing : Address : Shree Cement Limited

Marketing Division, Jaipur-302012 Rajasthan.

Acknowledgement

I would like to thank Shree Cement Ltd. For having given me the opportunity to do a

project that was challenging as well as rewarding. Working on the project for marketing

division has enabled me to add value to the organization as a whole and all in a been a

wonderful learning experience for me.

Special thanks go to the marketing department for there complete support through the

tenure of the project.

I extend my heartfelt gratitude to Mr.Gagnish Dhir , for providing me the department of

my choice for Summer Internship. The Support extended by him even when he was

indisposed, is commendable.

I am obliged by Mr. Pankaj, , Marketing for having taken me under his guidance for the

project.

A deep note of gratitude goes to Mr. G.S.JOSHI, , Marketing, my guidance and mentor

during the project for his unstinting encouragement, help and guidance. His suggestions

acted as beacons for every step taken successfully completion of this project.

I would also thank Mr. Alok Sharma and Mr. Sanjay Sharma, Sr. Officer, Marketing

for his help in understanding various intricacies of the system.

I am highly indebted to be people mentioned above and all the employees of Shree

Cement Ltd., who have been an Integral part of this project.

Executive Summary

This project deals with the assessment of satisfaction level of the retailers

towards the Shree Cement Brand in terms of quality and quantity, and factor that are

responsible for the satisfaction level. We have focused our research on Shree Cement

due to the slow growth rate instead of having huge market possibility.

With the help of Questionnaire i have analyzed each and every factor that is

responsible for the satisfaction level of the retailer toward Shree Cement. Study also

included the market demand for the cement, market share, competition analysis to know

the exact position of cement in the market.

I have focused toward retailer scheme and its impact on the retailer and sale

promotion of the cement.

Most important factor that are responsible are profitability margin , problem

related to quality, problem related to the monetary coupon , problem related to the

disbursement amount all these factor really hampering the retailers relationship with the

company. I have also discussed the challenges in front of the company and its

recommendation.

We planned to target the retailers and dealers to collect data regarding position

of shree ultra red oxide cement that :

1. What are weaknesses in the marketing strategies of company?

2. How many satisfied retailers are there ?

3. What factors must be adopted to enhance retail market.

4. What are the promotional activities adopted by company?

INTRODUCTION

Cement the modern day inexpensive, reliable construction material, possesses excellent cohesive and adhesive and strength properties. This material is used in creating vast infrastructure like ultra high-rise building, roads, bridges, airports, building and docks etc. it is also used in constructing dwelling units for the population and its consumption levels taken as indicator of the level development.

An individual planning to build a house for his own use or a builder of a construction project goes to the market to buy cement for his construction work. Unlike in the past when cement was a controlled commodity; today cement is freely available in the market under different brand names. This material is used in creating vast infrastructure like ultra high-rise building, roads, bridges, airports, building and docks, etc. For the nation it is also used in constructing dwelling units for the population and its consumption level is taken as indicator of the level of developments. Besides the cost of cement, which is about 12 to 15 percent of the total consumption, cost quality of cement is also important from the point of view of strength and durability of structure.

Cement is a complex compound of oxides of calcium, silicon, iron and aluminum. These compounds are present in cement in a pre-determined proportion. Raw material used to manufacture cement in mainly limestone along with iron oxide in order to obtain the various oxides in proper proportion. Pulverized raw meal is sintered in a kiln to the point of incipient fusion to produce cement clinker. Clinker is ground with small percent of gypsum to manufacture ordinary Portland cement.

IT’S DISCOVERY Joseph Aspendie of England first discovered the cement in the year 1878. Since the discovery took place in the island of Portland, thus the name was Portland cement.

VARIETIES OF CEMENT AVAILABLE IN THE MARKET Common types of cement normally available in the market and there specific uses are as under :-S.No. Cement Type Specific Use GENERAL VARIETIES 1. OPC (Ordinary Portland Cement)

a. 33 Grade General construction work where High strength concrete is required Plastering, finishing works, etc.

b. 43 Grade Used where M-15, M-20 and above grade concrete is required used for precast items and general

Construction work. Strength Development is faster than 33 grades.

c. 53 Grade High strength cement used for multistory building, Precast, priestesses items bridges, Tall structure etc. develops very fast strength and speeds up construction.

2. a. PPC (Clay Based) (Pozzolana Portland Cement)

Construction of Dams, Dikes, Sewages pipes, plastering.

b. PPC (Fly Ash Based) Masonry and Finishing Works.

SPECIAL VARIETIES 3. PBFS (Portland Blast) Construction of Bridges, Seaport

where saline water comes in contact with the structure. Also used in construction of channels though which the washing of acids, salts sulphur, etc flow.

4. White Cement Manufacturing of tiles, artistic, decorations, and floor to decorate concrete etc. Generally means for non-structural uses.

5. SRC (Sulphate Resistant) Marine structure, under ground construction, chemical plants, effluents treatment works, found attain piles etc.

6. Oil Well Cement Used by petroleum industry for cementing gas & oil wells at high temperatures and pressures.

7. Masonry Cement Mortars for bricks, stones and concrete block masonry as well at high temperatures and pressures.

8. Rapid Hardening Cement Quick setting and high early strength cement, filling cracks in dams fast construction work of Army.

MANUFACTURING PROCESS

Limestone, shale, clay and silica are crushed proportioned to the correct chemical composition and ground to a fine consistency. Small quantities of iron oxide and alumina may b added to adjust the raw material mixture. The mixture is heated to about 2700 F (1500 C) in large rotary kiln. Clinker a hard granular intermediate product is discharged from the kiln and is ground with approximately five percent gypsum (which controls the setting time) to produce cement.

Cement manufacturing is energy intensive. The majority of the thermal energy is required in the clinker producing process. A significant amount

Drying of raw material in cylindrical dryers. Raw material used : hard limestone and Soft cly.

Crushing and grinding in separate grinding mills.

Blending mixing of raw materials in the right proportion by pumping air into the container.

Burning the mixture so prepared and turned in a kiln at a temperature of 1300-1500 to produce clinker (supported by stack ESP for the capture of outgases).

CEMENT

Of electrical energy is required (mainly in the finish grinding process where clinker is ground with gypsum of produce cement) CO however, comes from two distinct sources both related to the conversion of the raw material into clinker.

Limestone is the form of calcium carbonate (Caco3) is the main raw material component (Approximately 70-80%) of clinker. Before this lime can react with the oxides of silica and silica and alumina the limestone must be broken down into free lime or calcium oxide (CaO) and carbon dioxide (CO2) the CO2 is discharged to the environment leaving the CaO free to react with other oxides and form clinker. The process that decomposes limestone into CaO and CO2 is called calcinations and requires temperatures in excess of 16500 F. The heat required to obtain these temperature is obtained through the combustion of fuels (Coal, natural gas, waste fuels) all of which produce combustion products including CO2.

COMPRESSIVE STRENGTH

It is one of the important properties of cement. For OPC the compressive strength must be highest in order to with stand load and other tension.

Cement Grade 28 days compressive strength

33 330 Kg/cm2

43 430 Kg/cm2

53 530 Kg/cm2

AN INTRODUCTION TO

SHREE CEMENT LTD

COMPANY PROFILE

The company belongs to Bangur Group (Syt. B.G. Bangur combines). It was promoted by Bangur in 1979 for setting up a cement plant with installed capacity of 6.00 lac tones per annum, ordinary Portland cement and Pozzolana Portland Cement near Beawar in village Andheri Deori (Distt. Ajmer). The plant commenced commercial operating at over 100% capacity utilization. The company over the years has developed an enviable reputation in terms of operating efficiency and profits. The product of the company is well established in the market and SCL has its own share of good will is a quality producer of cement.

SHREE PHILOSOPHY

“Commitment of excel & Jo Socho Who Paave” the basic philosophy of the company. The outstanding performance that Shree has made could be achieved only through our dedication to commitment. A dedication that is imbibed in our corporate philosophy. A commitment to excel a commitment to contribute to growth. This philosophy has led Shree to always strive to perform par excellence.

PROMOTER

The promoter belongs to the Bangur family known in the trade and industry for over century. Shri B.G. Bangur, the chairman and managing director of SCL, is the younger brother of Shri Narsing Dass Bangur, who introduced corporate, culture to the group. The family rose from the traditional business of tea and jute broking to become one of the leading industrial houses of India with various industrial ventures in Jute, Paper, Synthetic Fibers, Textiles, Graphite Products, Tea, and Coffee Plantations, engineering and phosphoric fertilizers. Shri B.G. Bangur was the chairman of New Bank of India and president of Jute Association. The Bangur family went through a family separation in 1992 by mutual consent. Since separation, the following companies are falling under direct management control of Shri B.G. Bangur.

These companies are : -

1. Gloster Jute Ltd.

2. The Phosphate Company Ltd.

3. Joonktolle Tea & Ind Ltd.

4. Cowcoody Estates Ltd.

5. Port Shipping Co. Ltd.

6. NBI Shipping Co. Ltd.

The company has achieved this by

1. Participate management by consensus and consultation through –

Management Committees

Shop-Floor Committees

2. Knowledge Integration

3. Skills Development

4. System Perfection

5. Human Resource Development

VISION OF SCL

TO REGISTER A STRONG CONSUMER SURPLUS THROUGH A SUPERIOR QUALITY AT AFFORDABLE PRICE.

MISSION OF SCL

TO SUSTAIN ITS REPUTATION AS THE MOST EFFICIENT CEMENT MANUFACTURERS IN THE WORLD.

TO STRENGTHEN REALIZATION THROUGH INTELLIGENT BRAND BUILDING.

TO DRIVE DOWN COSTS THROUGH INNOVATIVE PLANT PRACTICES.

TO INCREASE THE AWARENESS OF COMMUNICATIVE SUPERIOR PRODUCT QUALITY THROUGH A CREDIBLE AND CONVINCING COMMUNICATIONS REALISTIC PROCESS WITH CONSUMERS.

AWARDS

Energy Conservation Award 2005

Energy Conservation efforts makes Shree thelowest cost cement company

The Honorable President of India Dr. A.P.J. Abdul Kalam presented the EnergyConservation Award 2005 in a glittering ceremony at Vigyan Bhawan, New Delhi.

Productivity Award to Shree Cement 2004

“TERI Corporate Award for Environment Excellence & Corporate Social Responsibility” 2003-04

National Award for excellence in Energy Management 2004

Best Quality Excellence Award for the year 2003-04

Shree Cement bags Greentech Environment Award for the year 2004-05

The Honorable Minister for agriculture and animal husbandry, Govt. of Goa, Mr. Francisco Xavier Pacheco presented the 6th Greentech Environment Excellence award for the year 2004-2005 in a grand function organized in Goa on 22nd Oct. 2005

Overall Quality of the Organization

Good Corporate Citizenship

Provision for Safe and Healthy Work Place

Exemplary Employment Practices

Responsible Environment Protection and Practices

Energy Conservation

Other Important Achievements

Excellent Energy Management Award for 2003

Confederation of Indian Industry (CII) Award for “Excellent Energy Management” to Shree Cement Limited

INNOVATION

Innovative & Cost Conscious Management

Leadership in the use of alternative waste fuel :- First cement plant in India to maximize substitution of imported coal by pet coke (Petroleum Industry Waste) thereby increasing profitability and saving natural resources.

Initiatives for Global Warming Reduction :- Pioneered in the application of innovative Electro Static Precipitator technology in DG power generation to save fuel and combat pollution, and replaced HSD by LDO.

Achieved Unity Power Factor :- In electrical distribution system to reduce maximum demand, and transmission / distribution losses.

Partial Utilization of Waste Heat for 3 MW Power Generation

Initiator in the use of Petcock for power Generation in India 36MW captive thermal power plant under commissioning to generate quality power for the plant, avoid transmission and distribution losses, and provide surplus power to Rajasthan.SAVINGS :- Rs. 496.46 Million pa

Developments of DD Cones in house development of Deduiling Cones for Cyclones resulting in reduction in pressure drop, higher output and lower energy consumption.

Single Roller Press for Two Ball Mills

Capacity enhancement & utilization of CM-2 Roller press for capacity increase and energy saving in CM-1

---- Energy Saving – 2.02 Kwh / T Cement

Its output is remarked under the ‘Shree Ultra Portland Cement’ and ‘Shree Ultra Red Oxide Jung Rodhak Cement’ brand names. The product is well received in the market and today constitutes almost 37% of SCL’s sales. SCL market cement in Rajasthan, Delhi, Haryana, Punjab, Uttar Pradesh and Uttaranchal. The company has over 11% of the market in the Northern Region, which is traditionally a demand-excess and supply-shortage region, ensuring the SCL gets the best cement prices in the country. Its cost of production is around Rs. 860 per tone, marking it the lowest cost cement producer in India.

Progressive Management

Starting with 6 lac tones per annum of cement in 1985, the capacity was upgraded to 7.6 lacks tones in 1993. Second plant with installed capacity of 1.24 million tones per annum was commissioned in 1997, record time to 18 months, raising total capacity to 2.0 MTPA. Even recession in the industry, it was possible for it do enhance capacity further to 2.6 MTPA due to strategic location and better brand image and is the largest single location plant in North India. The company’s installed capacity accounted for 15% of Rajasthan total capacity in 2002-03 and 2.5% of India’s production in 2002-03. Cement production increased 3.42% from 2.747 million tones in 2002-03 to 2.841 million tones in 2002-04.

Once again, the low cost was the result of scores of initiatives across all levels within the company. Some results in small savings some in big. But each primarily driven by the belief that what was being done could be done better.

Cooler fans were configured to a higher capacity so that heat could recuperate better. A better raw mix helped. Shree reduced the proportion of high cost limestone and saved the company Rs. 0.44 cr.

MINES OF SHREE CEMENT

SHREE CEMENT POLICIES

RAS CEMENT PROJECT

Shree Cement Ltd. is setting up a new green field project at villages Ras, Tehsil Jaitarn, and District Pali of Rajasthan. The capacity of the plant is 3000 Ton Per Day of clinker production with an approximate investment of about Rs. 300 Crores.

The company has already engaged eminent consultant for the same and all commission the plant by August 2005, which is fifteen months from the date of first order placement i.e. May 2004.

KHD Humboldt Wedag AG-Germany & GEBR Pfeiffer AG-Germany would supply the main plant & machineries. The plant will be based on the latest technology available and maximum Automation would be done to keep the minimum manpower. The company is having sufficient mining lease at Ras to cater its production requirements for the upcoming 50 years.

The company is also expanding the power generation of its Captive Power Plant to meet the power requirement of the upcoming plant.

A dedicated project team is already working round the clock on the project to achieve the targeted competition by August 2005, and so far 25% of the work has been completed. As the project site is located in approximately to the potential market, it would provide a competitive edge logistically. Latest technology available is being adopted to achieve maximum automation to achieve optimum efficiency and manpower utilization.

SHREE CEMENT LTD4-6, Yudhishter Marg, Opp. Yojana Bhawan, C-Scheme, Jaipur-302005

Phone : 2223917, 2223918, 222950 Fax : (91) 0141-2224841Email : scljpr_jp1@sancharnet.in

MAJOR CLIENTS & PROJECTS OF RAJASTHAN

1. Airport authority of India, Jaipur

2. RSRDCC Ltd.

3. IGNP (Indira Gandhi Nahar Pariyojna), Rajasthan

4. Kota Thermal Power Station, Kota

5. Suratgarh Gas Thermal Plant.

6. Ramgarh Gas Thermal Power Plant, Ramgarh, Jaisalmer.

7. Giral Lignite base Thermal Plant.

8. Ballabh Ram Trilokchand, VKI, Jaipur.

9. SGG Cement Pipes, Niwai

10. Spun Pipe Manufacturing Co., Niwai

11. Rajasthan Vidyut Utpadan Nigam Ltd.

12. Punj Lloyd Ltd. (N.H. > Project)

13. L&T Ltd., Jaipur-Kishangarh 4 Lane Project

14. Raj Gang Canal.

15. M.E.S., (Bikaner, Jaisalmer, Jodhpur, Bharatpur, Alwar & Barmer)

16. RUIDP

17. Gurmeet Singh & Co, Sri Ganganagar

18. M S Khurana Eng Co, Ajmer.

19. Sudershan Apartments, Jaipur.

20. MN Build Home, Jaipur.

21. Kinetic Complex, Jaipur.

22. Golcha Tower, Jaipur.

23. Navjeevan Complex, Jaipur.

24. Shah Theater, Jaipur.

25. Uma Build State, Jaipur.

26. Balaji Tower, Jaipur.

27. Time Square, Jaipur

28. Jaipur Developers.

29. Rishab Construction, Jaipur.

30. Upasana Residency, Jaipur.

31. Shyam Kripa Construction, Jaipur.

32. S.B. Apartments, Jaipur.

33. Hotel Hilton, Udaipur.

34. Hotel Ummed Heritage, Jodhpur.

35. Salasar Dham Vikas Trust, Salasar.

36. Kajaria Cramics, Bhilwada.

37. Amit Eng. Co., (MES), Jaisalmer.

38. Avas Vikas Ltd., Jaipur.

39. Bhuller Const. P. Ltd., Ganganagar.

40. Creative Projects & Contractors P. Ltd., Jaipur.

41. Golcha Buildtech P. Ltd., Jaipur.

42. Hilton Granite Ltd., Udaipur.

43. Pioneer Const. Jaipur.

44. Unique Builder & Developers, Jaipur.

SUCCESS DRIVER

PEOPLE AS PROGRESS DRIVER

Shree believes that what is present in the minds of people is more valuable than the assets on the shop floor. All the company’s initiatives are directed to leverage the value of this growing asset.

TEAMWORK

Shree leverages effective team working to generate a sustainable improvement.

LEADERS AT EVERY LEVEL

Shree believes in creating leaders not just at the organizational apex but also at every level, resulting in a strong sense of emotional ownership.

CULTURE OF INNOVATION

Shree believes that what is good can be made better across the organization.

CUSTOMER FOCUS

Shree is committed to deliver a superior quality of cement at attractively affordable prices.

SHAREHOLDER VALUE

Shree is focused on the enhancement of value through a number of strategic and business initiatives that generate larger and better quality of earnings.

COMMUNITY AND ENVIRONMENT

Shree’s community concern extends from direct assistance to safe and dependable operations for its member and the environment.

HUMAN RESOURCE

BOARD OF DIRECTORS

1. Shri B.G. Bangur………………………. Executive Chairman

2. Shri H.M. Bangur……………………… Managing Director

3. Shri M.K. Singhi……………………… Executive Chairman

Bankers

4. Shri A.Ghosh S.B.B.J

5. Shri R.L. Gaggar S.B.I

6. Shri O.P. Setia ICICI LTD

7. Shri S.K. Somany IDBI LTD

8. Dr. Y.K. Alagh HSBC

9. Dr. Abid Hussain AXIS BANK LTD

10. Shri. S.S.Khandelwal Company secretary

MARKETING

MARKETING STRATEGY

A business is an organ of society. So, is one valid definition of marketing of business purpose to create a customer ?

Essentially, creating a customer means identifying needs in the market place finding out which needs the organization can profitably serve and develop an offering to convert potential buyers into customers. Marketing managers are responsible for most of the activities necessary to create the customers the organization wants.

The activities include :

Identifying customer needs

Designing products and services that meet those needs

Communicating information about those products and services to prospective buyers.

Making the products or services available at times and places that meet customer’s needs.

Pricing the products to reflect costs, competition and customer’s ability to buy.

Providing for necessary service and follow up to ensure customer satisfaction after the purchase.

Marketing is the performance of business activities that direct the flow of goods and services from producer to customer of user. Marketing would no longer be regarded as a supplementary activity to be performed after the production process had been completed. The marketer would for instance now pay the lead role in product planning. Marketing and selling would no longer be synonymous.

DISTRIBUTION CHANNEL

For Jaipur District

Factory Handling Agent Whole seller Retailer Consumer.

Outside Jaipur District :

Factory Sales Promoter Handling Agent Whole Seller Retailer Consumer

SALES PROMOTION

In order to promote sale, the company organizes conferences, meetings etc. with mesons

and dealers occasionally. Gift items are distributed to masons and dealer in order to

induce them to promote sale and discounts are also given on higher purchases. Sales

promotion schemes are not fixed it depends upon sales target of sales (trade sale or direct

sale) in case of direct sales, stores in our dealer (wholesaler), retailer sales promotion.

Sales Promotion Strategies

I – Research Design

The issue for this part is the distribution channel & sales promotion. The strategy is to find out various problems related to the distributors and dealers and strategize efficient solutions to eliminate these problems and make the existing relationship better. It’s has been assumed here that, if better facilities are given them, than even if the channel in proper way, they would continue working for the company. The mythology adapted to understand their behaviour is survey based. The project started with understanding of the complete distribution channel and consumer behaviour towards company products. Distribution channel also pays significant roles in the marketing. Substantial time was spent in understanding the working of Distributors and Dealers. Next, questionnaire based interviews were done of understand their behaviour and attitude towards the company. During the process of interview, they came up with various problems along with possible solutions to these problems. These are discussed in the later part of the project report.

The most relevant and impersonal problems were selected and after analysis, their solutions were worked upon. In all, many dealers, retailers & customers were interviewed in the process. Although, the number of dealers and retailers could have been increased, monotonousness of problems at later stags prevented this.

The problems found and solutions worked upon, were discussed with people in the marketing department and with respected guide, Mr. Rakesh K. Motwani. The quantitative and qualitative analysis of data presented in the later parts of this report.

II – Scope of Study

1. To understand the distribution channel, customer behaviour. 2. Extend the channel, implementation and expansion.

III – Research Methodology

Data Compilation

+ Data Analysis

Preliminary Survey

Questionnaire Design

Interview BasedField Survey

Discussion With Guide And Marketing

Department Personal

Strategy Formulation

IV – Preliminary Survey

In the preliminary Survey, met with dealers, retailers as a student, contractor & builder and got the information about products. In the survey also met with masons and consumers to know their perception about the products. Find it :-

1. How do they feel with the product ? 2. They have knowledge of products or not.

V – Questionnaire Design

On the basis of survey, prepare & questionnaire which correlated with dealers, retailers, masons and consumers problems and it also indicate present cement market, customer’s parameters brand wise ranking.

VI – Field Survey

After preparing an questionnaire go for a descriptive field survey, after that filled up the questionnaire by the dealers, retailers, masons and customers (different type) asked their perception about Shree Cement. We also those dealers, retailers, masons and customers who are not using Shree Cement & ask their perception ask questions like……….

1. Why are they not using this cement ? 2. According to them what types of drawback involved in it ? 3. Do you know about the ROC and its impact to the wall ? 4. According to them what we should add to improve the Shree Sales ?

And many other questions.

VII – Data Compilation and Data Analysis

On the basis of questionnaire and field survey, collected the data’s of the same characteristics and analyze or the inferences. On the basis of analysis, make the graphs (refer to appendix)

VIII – Discussion with Guide and Marketing Department Personnel

On the inferences, discuss with mentor about the report and got suggestions towards the that what should do in the market to resolve the problem and what type of effort have to get the better result.

IX – Strategy Formulation

After taking the suggestions make the strategies to promote the company sales. The main focus the distribution channel because it plays the significant role in the sales and how to handle dealers and retailers that take interest in the product.

OBJECTIVE OF THE STUDY

Objective of the study is to fill the gap between theoretical and practical aspects of the marketing management.

Following are the main objectives of the study :-

1. What should company do to attract and satisfy customer ?

2. What are the consumer requirements of the product ?

3. The company that could increase its sales should take what steps ?

4. What are the strengths, weaknesses, opportunity, and treat for our organization ?

5. What types of sales promotion programmes are being taken by the company vis-à-vis to its competitor ?

6. How does companies various activities like technical assistance, training programmes, regular visit and interaction of filed staff affect consumer buying decision ?

7. To make people aware about Red Oxide Cement ?

8. To ascertain type and quality of cement that influence consumer decision to purchase any particular brand ?

9. How to place our product, the best way in the market ?

10. To know the general perception about our product ?

SCOPE OF THE STUDY : The scope of the study is to acquire information and knowledge about study of preferences of the cement made by the manufacturer engaged in pre cast industries. Although the purpose of the study is purely academic. The facts that have been revealed in course of the study will definitely help the management of Shree Cement Limited.

METHODOLOGY USED : Data collection is an elaborate process in which the researcher makes planed search for all the relevant data. Data is the foundation of all marketing research. It is the raw material with which a market researcher functions. There are two methods of data collection.

1. Primary Data

2. Secondary Data

PRIMARY DATA : Primary Data is first hand data collected by the researcher. First hand using self-observations and questionnaire can collect primary data. In the questionnaire method the respondent is questioned directly about there attitudes, opinions, and demographics. It is less time consuming and less expensive. It records not only factual data but the data is more reliable and valid. A large number of respondents can be contacted from all over the country at the same time. However, the respondent may not be in position to prove the information because of limitations of memory. The respondent is already pre-disposed towards the subject there responses may be biases. In the observation method the respondent is observed directly. So, there are no chances of bias on account of pre disposition. The willingness of the respondent is not a deterrent in data collection since the respondent is not aware. However, this method is expensive and time consuming. The data collection completely depends on the skills of the observer.

SECONDARY DATA : Secondary data is more related top desk research. Information is already there and it has only to be sorted our according to the requirement. There are number of places from where data can be collected. There are lots of Govt. and Non Govt.

Publication from where information is sought. Secondary data about Shree Cement Limited has been collected from Shree Cement Limited Jaipur office. It provided me information about the various Tec anilities of cement, and the various methods of testing of cement and many more information regarding cement.

OBSERVATIONS AND

FINDINGS

Survey Findings (Graphs)

Market Survey : As I conducted the survey I got the idea how to conduct a survey. I to know the demand of different brands in a particulars area did this.

1. Recommendations for Shree Cement from masons

27%

51%

22%

1st Choice

Not 1st Choice

Never

Slice 4

Recommendations App. Percentage

1st Choice 27%

Not 1st Choice 51%

Never 22%

2. RATINGS OF DIFFERENT BRANDS : It varies from time to time and depends upon the market condition and quality of the product. These are Shree, Ambuja and Binani and these are Shree Cement’s main competitors in Jaipur City. According to the survey, the market ratings of different brands were found to be as under :-

BRAND PERCENTAGE RATING Ambuja 31% 1Shree 29% 2Binani 25% 3Bangur 11% 4J.K. Lakshmi 10% 5Birla Plus 2% 6ACC 2% 7

Percentage 0%

5%

10%

15%

20%

25%

30%

35%

Ambuja

Shree

Binani

Bangur

J.K. Lakshmi

Birla Plus

ACC

3. AVAILABILITY

BRAND PERCENTAGE Shree 30%Ambuja 26%Binani 18%J.K. Lakshmi 10%Bangur 08%Birla Plus 03%ACC 02%Other 04%

Availability of Brands

Percentage 0%

5%

10%

15%

20%

25%

30%Shree

Ambuja

Binani

J.K. Lakshmi

Bangur

Birla Plus

ACC

Other

4. ADVERTISEMENT

BRAND PERCENTAGE Ambuja 26%Binani 22%Shree 20%J.K. Lakshmi 15%Bangur 13%Birla Plus 10%Other 04%

Ambuja

Binani

Shree

J.K. Lakshmi

Bangur

Birla Plus

Other

II. PRICE SURVEY :

BRAND PERCENTAGE Shree 203Bangur 204ACC 204J.K. Lakshmi 205Binani 206Ambuja 208

0

50

100

150

200

250

Ambuja

Bangur

ACC

J.K. Lakshmi

Binani

Ambuja

SALES

SWOT ANALYSIS

STRENGTHS WEAKNESSES Brand Equity It saves iron from rusting. It is launched through a already

established reputed brand. Good advertisement Cost effectiveness R&D.

Color is light Initial setting time.

OPPORTUNITY THREATS It is launched first time in India. No competitor of Red Oxide

Cement. Specific purpose of only for RCC Good response of people Use market potential

Being a popular brand people are still doubtful about it.

Recommendations

.

There is still scope of improvement for Shree in quality. The ROC develops black spots due to presence of fly ash. This can be avoided by better grinding and mixing of cement with fly ash.

Some retailers were unhappy that Shree despite promising gifts to them on meeting certain targets has refrained from fulfilling its promise and is now giving cash in lieu of the promised gifts. It is at times not the gift but the pride of being presented the gift in a large forum and thus the appreciation of work that motivated a person to put in more effort.

The quality of the bags of Shree Cement is a big let down and is considered to be of the most inferior quality. Proper action should be taken to replace the existing sets of bags with new attractive bags.

Shree needs to concentrate on promotional activities. It should advertise its product more by doing road shows, putting up hoardings etc. in short; we need to paint to town red.

Company should appoint some efficient distributor & dealer in week areas

Shree cement should look at the international market to fetch the profit because if we see the per capita consumption in India in low (99 Kg) comparing to the other countries. Even of being the India’s second largest producer of cement in the world.

References

1. Shree Cement Ltd. (Marketing, Sales and Production Department)

2. 2. By Websites

www.shreecementled.com

www.indianfoline.com

www.cygnusindia.com

www.sski.co.in

www.kslindia.com

www.rathi.com

www.investsmartindia.com

www.bharatbook.com

ANNEXURE

SHREE CEMENT LIMITED

QUESTIONNAIRE :

Name :

Address :

Phone No. :

Q1. What are the brands, you are selling ? ANS.

Q2. Why did you choose to particular brand (give reason) ? ANS.

Q3. How much is your monthly consumption ? ANS.

Q4. How many years you have had been in this field ? ANS.

Q5. Which brand of cement are you purchasing ?

BRAND GRADE

Q6. Average monthly sale of particular cement : ANS.

BRAND NAME SELLINGTONES BAGS

Q7. Market size (value) of particular brand. ANS.

BRAND PARAMETER REMARK RANK PERCENTAGE

Shree Ambuja Bainani Bangur Birla J.K. Other

For ranking : 1. Excellent 2. Good 3. Average 4. Fair.

Q8. Which factor of cement is most important in your opinion ? (Rank the following in order of preference)1. Best 2. Next best, and so on.

ANS. Price Brand Name Quality

Available Performance

Q9. Competitor dealer (Retailer) in that area. ANS. Brand App. Volume

______________ _____________________________ _______________

Q10. Major market segment of particular brand. ANS. 1. OPC _______________

2. PPC _______________

Q11. What kind of motivation you expect from company you associated with ? ANS.

Q12. What do you think…………..Cement has been our successful/ unsuccessful Brand ?

ANS. Range of product Range of price Promotional activities Other think

Q13. In Customer asking about Shree cement (Red Oxide) ? ANS.

Yes No

Q14. What influenced you decision to purchase SHREE CEMENT ? (Rank the following in the order of preference )1. Best 2. Next best, and so on.

Price Brand Name Quality Availability Performance Reliability Advertisement

Q15. Do you think SHREE CEMENT is a Successful brand Unsuccessful brand

Q16. Which of the following additional attributes do you perceive as most important in Shree cement ?

ANS. Price Performance Quality After sales service

Q17. What do you think of the advertisement of Shree cement ? ANS.

Impressive Satisfactory Unsatisfactory

Q18. What do you think is the most striking media to advertise Shree cement ? ANS. Newspaper Hoarding Wally Painting TV Posters Other

Q19. What are the strongest & weakest points of Shree cement ? ANS.__________________________________________________________________________________________________________________________________________

Q20. Any Suggestions for Shree cement ? ANS.__________________________________________________________________________________________________________________________________________