Project Blue Print

8/3/2019 Project Blue Print

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title

A

PROJECT REPORT OF

CONSUMER BUYING BEHAVIOR

ON

SUBMITTED TO GUJARAT TECHNOLOGICAL UNIVERSITY

FOR

MASTER OF BUSINESS ADMINISTRATION

ACADEMIC YEAR: - 2009-2010

BY

JIGNESH M PANDAV

MBA SEM-II

ENROLLMENT NO: 097610592038

UNDER THE GUIDANCE OF

MR.KARTIK. M. KHATSURIYA

SAHJANAND INSTITUTE OF MANAGEMENT

BHAVNAGAR


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STUDENT DECLARATION

I hereby declare that the project report entitled

Consumer Buying Behavior

At

Submitted in partial fulfillment of the requirements for the degree of

MBA to Gujarat Technological University, Gujarat is my original

work and not submitted for the award of any other degree, diploma,

fellowship, or any other similar title or prizes.

I have prepared this report within 45 days. I am very happy insubmitting this report to the department of business administration.

Date:

Signature:

Place: Bhavnagar Jignesh

M Pandav


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PREFACE

A practical knowledge in a students life is very important. It helps astudent to know the real life situation and problems of life. Same is

the case with the corporate world. Theoretical knowledge is very

much needed but practical knowledge is equally important. This

practical knowledge to a student is given in a form of training.

Training helps a student to interact with the experienced people of

the corporate world and hence learn more from them. Here, thestudent learns how to apply the theoretical knowledge in practice.

Being a student of MBA it was a very valuable and memorable

experience at SHASHI INDUSTRIES. We learnt the management

subject, came across to various day to day activities of various

department in the organization. This wonderful experience has

given me a new light to what I had studied.

This training was undertaken during the period of 5th JUNE to

20th JULY 2010 for the 2ndsemester of MBA programmed of, during

the academic year 2009-10. I have undergone training at SHASHI

INDUSTRIES; I have tried my level best in the construction of this

report.


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ACKNOWLEDGEMENT

Every person has his grandparents and good parents the

grandparents are these people whose knowledge, experience, and

attitude you absorbed almost without releasing it, they should be

"Acknowledgement"

It is matter of greater pleasure for me to get this opportunity of

expressing out deep and sincere sense of gratitude to our principal

Ms.Saroj Vats " and our co-ordinate Ms. Ami Pandya and I like

to thank Mr. Kartik Khatsuriya whose guidance and generous

support give me sufficient strength to prepared this project report.

I like to thank "Mr.Tusharbhai Vadher" who is a M.D. in the

"SHASHI INDUSTRIES and to Mr.Sanjeevbhai who is marketingmanager of Shashi industries. I also like thanks my project report

guide Mr.Yatin Bhatt, HR manager of Shashi industries, whose

devoted a good deal of his valuable time and experience in the

preparing of this report he really helps me to collecting data which

were required for the enrichment of this project report on "SHASHI

INDUSTRIES"

My sincere thanks to all the staff member of the SHASHI

INDUSTRIES for their Co-operation and support to me during mytraining.

Yours Sincerely,


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Pandav Jignesh M

Date:

Place: Bhavnagar

EXECUTIVE SUMMARY

This project report is based on consumer buying behavior on

Maza incense stick of Shashi industry. My study is descriptive in

nature. I have primarily described consumer buying behavior on

Maza incense stick of Shashi industry. I have putted small surveythrough questionnaire on 100 households in Bhavnagar city.

The main objective of study is to know about consumer buying

behavior toward Maza incense stick of shashi industry. To know

the Awareness to Maza incense stick. To know the influence

group of customers to Incense stick.To know what the features

customers are want in incense stick market. To know the feeling of

customers towards price level of incense stick.

The primary data of Shashi Industries are collected through

questionnaire method which is directly collected from relevant

respondents in Bhavnagar city. The secondary data of Shashi

Industries are collected through media advertisement, companys

catalogue & poster or through website or internet. For my problem I


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have collected fresh data i.e. primary data directly from relevant

respondents in Bhavnagar city.

My data analysis plan includes tabulation of collected data. I have

put data into graph and ultimately I have come to conclusion

The Finding & Conclusion: Awareness of Maza brand is excellent.

It is very popular brand in Bhavnagar city. Most of the people who

purchase incense stick take decision by themselves, but family,

relatives also play an important role. Most of the consumers are

middle class people (from occupation). Smell is the most leading

features in incense stick. Majority of the people are buying incense

stick from provision stores. Round about 60% people find

confusion in buying incense stick due to number of brands exist inthe market. Therefore I can say that buying behavior is somewhat

Dissonance Reducing.

TABLE OF CONTENTS

Sr.

No.

PARTICULARS Page

No.

1. GENERAL INFORMATION 7

2. MARKETING MANAGEMENT 28

3. LITRATURE REVIEW 42

4. RESEARCH DESIGN & MEHODOLOGY 45

4.1.PROBLEM DEFINING 46

4.2. THEORY RELEVANCE PROBLEM 47

4.3.RESEARCH OBJECTIVES 50

4.4.RESEARCH DESIGN 51

4.5. DATA SOURCES 53

4.6.RESEARCH INSTRUEMENT 54

4.7.SAMPLING PLAN 55

4.8.LIMITATION OF THE STUDY 57


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4.9.DATA ANALYSIS & INTERPRETATION 58

5 FINDING & CONCLUSION 75

6 SUGGESTION 77

7 BIBILIOGRAPHY 79

8 QUESTIONNAIRE 80

GENERAL INFORMATION

INDEX

SR

NO.

PARTICULARS PAGE

NO.

1.1. INTRODUCTION

9

1.2. COMPANY PROFILE 10


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1.3. HISTORY & DEVELOPMENT

12

1.4. SIZE OF THE UNIT

15

1.5. FORM OF BUSINESS ORGANIZATION

16

1.6. MANUFACTURING PROCESS

17

1.7. COMPANY PRODUCT

19

1.8. ORGANIZATION STRUCTURE

24

1.9. TIME KEEPING SYSTEM

25

1.10. AWARDS

26


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1.1. INTRODUCTION

I have visited the SHASHI INDUSTRIES at BHAVNAGAR forpractical study as mention in syllabus. Shashi industry is big name

in the market of incense stick. More than 55 brands of shashi

industry are in the market.

Shashi industries have their 5 branches at Bhavnagar and rests

are at Bangalore. I have undergone through practical training in the

area of marketing at GIDC chitra plant and its corporate office atselarsha road, darbari kothar, Bhavnagar.

v SHASHI INDUSTRY - BHAVNAGAR

v MAJA FREGERENCE - BHAVNAGAR

v SHASHI INDUSTRY - BANGALORE

v SHASHI INCENCE - BANGALORE

v SHASHI EXPORTS - BANGALORE


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The products of this company have strong image in the mind of

customer. The product are their brand name like Camay, denim,

Maza, pavitrachandan, rose, royal, mogra, kevda, nag champa,etc.

The firm was sole proprietorship till 1994.than after it has been in

1994-95 it converted into partnership firm. The partners are

Shashibhai vadher and his son tusharbhai vadher. MR. Tusharbhai

is the managing director at Bhavnagar. Mr. Nileshbhai & Mr.

Hiteshbhai is managing director in Bangalore base units of Shashi

group.

I have prepared my report on Consumer buying behavior

regarding incense stick and awareness of Maza incense stick in

Bhavnagar.

1.2. COMPANY PROFILE


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1) Name of industry : Shashi Industries

2) Establishment year : 1960

3) Address : Office:- Opp. Darbari kothar,

Shelarsha road,

Bhavnagar.

Factory:- plot no.36, G.I.D.C.

chitra,

Bhavnagar.

4) Telephone : (0278) 2430539, 2428254

5) Fax no : (0278) 436743

6) E-mail : [email protected]

7) Website : www.incensestickindia.com
mailto:[email protected]://www.incensestickindia.com/mailto:[email protected]://www.incensestickindia.com/


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8) Form of organization: Partnership firm

9) Products : various type of incense sticks.

10) Size of unit : Large scale

11) Bankers : State Bank Of India, H.O.Bhav.

12) Accounting year : April to March

13) Auditor : M/s J.C.Rampura & company

14) M.D. : Mr.shashibhai vadher

15) Investment from : 1) Owned Capital

2) Borrowed Capital


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16) Factory Area : 2000 sq.feet

17) Departments : Production, Marketing, Finance

&

HR.

18) Other Companies : 1) Shashi industries

Bhavnagar

2) Maza fragrance - Bhavnagar

3) Shashi industries

Bangalore

4) Shashi exports Bangalore

5) Shashi incense Bangalore

19) Production capacity: 25000 Dozens per year.

20) Total workers: 300

21) Competitors: Cycle incense stick Banglore

Shreeji and Laxmi Agarbatties - Bhavnagar


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1.3. HISTORY & DEVELOPMENT

ABOUT THE COMPANY


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Mr.shashibhai vadher was the founder of shashi industries, which

was established in 1960. At the time of establishment period they

were engaged in producing and marketing Pan-masala & kimam.

After long time period, about 13 years, the idea of producing

incense stick comes in their mind. So he decided to start the

incense stick business in the 1975.

When they selected this business, he observed that 95% of

incense stick market was covered by Banglore. So, Mr.shashibhai

vadher decided to start incense stick business with modern attitude

and wanted to introduce fancy fragrance of incense and also

strategic sticks of marketing. This was how the firm shashi

industries have been established.

Since 1994 it was a proprietorship and after that it converted into

partnership firm. The partnership is between Mr. Shashibhai

vadher and his son Mr. Tusharbhai vadher in this unit. The

partnership ratio is 60:40.

SHASHI INDUSTRIES started its 2nd unit at Bangalore in 1998

because of two reasons i.e...

1. The raw materials are easily available and its result in less

production cost.


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2. Easy to export from Bangalore.

ABOUT THE PRODUCT

A Shashi industry was manufactured and produced its 1st product

named A-ONE in the market in 1976. This product covered the

market in short term period. After the success of this product the

firm launched RUTURAJ in 1978 and PAVITRA CHANDAN in

1980. At this stage the turnover was up to 8 to 19lacs. In 1984 the

shashi industries famous product i.e. MAZA AGARBATI was

introduced.

In 1989 they introduced Denim & Zoola. The company is famous

most of only by Maza & Denim incense. Their other product are

camay,gulal,rose royal, shashi kevda, shashi sugandh, Sunday to

Sunday, cool breeze, etc.


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The products are available in different packing in the market. For

example, dhanyawad, kevda, mogra, today etc are available in one

packet. Camay, jaipur, magnet flora, Ruturaj tall, etc are availablein two types of packing. Rose royal-3, Pavitra Chandan-4, Denim-

6, Maja-7 types of packing are available in the market.

In super six are available in 70grams which are includes Camay,

Denim, Jaipur, Pavitra chandan, and Rose royal. And in top six are

available in 20gms which are includes bluebird, Camay, Denim,

Jaipur, Maza, and Yes. The prices are somewhat high but itsquality is also good to compare with price.

Some product of shashi industries were dropped out because of

some raw material or chemical is not available and some product

dropped out due to the change in choice and preference of

consumers. I.e. A-one & Voice.

Shashi industries has launched new product named Swadesh in

current year 2010.


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ABOUT THE COMPETITORS

The main reasons of competition are:

1. Small amount of capital required

2. Many facilities provided by Government

3. High profit margin

4. No excise duty

The incense industries require small capital investments. So that

many registered and non-registered companies are already stable

in the market.

According to one survey of Mundra Advertising Research Team

shashi industries got 3rd rank in producing incense. In the survey of

Sugandh Singar got 1st rank and cycle got 2nd rank, but both of

these strong competitors are at Bangalore. But in Gujarat shareeji

products and Laxmi Agarbatties are competitors of shashi

industries.


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In Bhavnagar there are also more than 100 factories producing

incense.


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1.4. SIZE OF THE UNIT

Size of the unit means what is the investment of the company,

what is the turnover the company and what is their standard. There

are mainly two factors are considered.

1. Total investment

2. Total employees.

According to government policy there are certain standards

regarding scale of operation which are under as:

1. Small Scale Industry investment between 1 corer to 5 corer

2. Medium Scale Industry investment between 5 corer to 7 corer

3. Large Scale Industry investment more than 7 corer

Shashi industries current turnover is more than 10 corers, so a

shashi industry has maximum features of large scale industry.


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1.5. FORM OF BUSINESS ORGANIZATION

There are many forms of business organization. They are

under as:

v Sole proprietorship: only one owner

v Partnership: minimum 2 and maximum 20

v Co-operative: minimum 2 and maximum 10

v Pvt. Ltd.Company: minimum 2 and maximum 50

v Public sector unit: minimum 2 and maximum 100

A shashi industry was a sole proprietorship firm when it wasstarted. Shashibhai vadher was the only owner of the firm. But in

1994-95 it was converted into partnership firm. The partners are

Mr.shashibhai vadher and his son Tusharbhai vadher.


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The reason behind this is only to get tax relief from the

government. Shashi industries posses all the characteristics of

partnership firm according to partnership act 1956.

1.6. MANUFACTURING PROCESS

The manufacturing process of shashi industry is simple and not

complicated. In this industry, there is no use of modern tools and

equipment. So we can say that manufacturing process of shashi


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industry is 100% man base. The most important factor used in

manufacturing process of any industry is the raw materials. The

raw material of shashi industry is only raw incense without any

chemical or any other process.

PROCESS: To do things in the systematic manner is called a

process. The production process of shashi industry is under as:

1. Assortment of raw incense:

Assortment means collection. Firstly the raw incense, which are

imported, are collected in bulk as well as perfume, which are

imported from the foreign country are tasted by the labors.

2. Adding fragrance:

Now, the 2nd important step of manufacturing process is adding

fragrance. The bundles of incense are deep into a big container,which contain perfumes and chemicals.

3. Drying process:

in this process the incense are kept in a big plate of aluminum for

drying. The incenses are dried for minimum 3 to 4 hours. And after

then the incenses are kept for drying process.


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4. Weighting process:

The 4th step is weighting process. In this process the incenses are

weighted in different grams like 8gms, 25gms, 30gms, 40gms,

75gms, and 110gms etc and also according to number of incenses

as per the order or demand of the customers.

5. Packing process:

This is the final step in this process. Incenses sticks are firstly

packed in plastic bags, according to its grams. These are airtight

packing so that the smell remains for long time and then pack it in

the boxes. Shashi industry have own printing press names Maza

printing press.

6. Quality control section:

Packed good must be passed from quality control section. In this

section supervisor of the firm checks its product quality to improve

effectiveness.

7. Marketing:

Products are sold to ultimate consumers and dealers.


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1.7. COMPANY PRODUCTS

Shashi industry is very famous in producing Brand Incense stick

the firm is producing about more than 55 types of incense sticks.

Some of them are as under.

1) Maza 2) Denim 3) Camay 4) Rose royal

5) Jasmin 6) Cool breeze 7) Kevda 8) Nag

Champa


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9) Supersix 10) Yes 11) Ruturaj 12) Pavitra Puja

13) Taal 14) Jaipur 15) Gulab 16) Mogra

17) Swadesh 18) Bakhur 19) Nature 20) DenimFlora

21) Organic 22) Pavitra Chandan Etc.

All the products are available in different packing of 10gms, 20gms,

30gms, 70gms, 80gms, 120gms, 140gms, 420gms etc. it is also

available in packing of amount of sticks like to 10sticks, 30, 75,

100, etc.

Denim Flagship Brands


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Oriental, Musky, Floral fragrance.

Qty. per Unit : 10 Sticks, 20 Sticks,

Hexagonal & Economy Packs

Maza

Flagship BrandsAvailable in Woody - Musky - Spicy - Oriental Fragrances

Bakhur / Jasmin / Rose / Ful Assorted FragrancesBakhur, Jasmin, Rose & Ful fragrances

Qty. per Unit : Flat Box 20 Sticks / 1 Dozen

Pack


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Camay Gold Premium Masala

Flora - Masala

Made with natural oils, Sandal wood,

Resnoids and Herbs

Qty. per Unit : 15 Sticks / 1 Dozen Pack

Cool Breeze Fancy / Oriental Products

Fresh - Musky - Cologne Fragrances

Qty. per Unit : Flat Box, 20 Sticks / 1

Dozen Pack

Shashi Top 6

[ ]

Gift Boxes - Premium Products Assorted 6 Hexagonal Pack in a

Gift Box Qty. per Unit : 20 sticks / Half Dozen packNag Champa Universal
http://shashiind.com/cat_productview.asp?prd_id=83http://shashiind.com/cat_productview.asp?prd_id=83


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Nag Champa

Nag Champa Masala Fragrance

Shashi Top 6 Gift Boxes - Premium Products

Assorted 6 Hexagonal Pack in a Gift Box

Qty. per Unit : 20 sticks / Half Dozen pack

Industry is producing so many brands but I have selected MAZA

to study consumer behavior. MAZA is the most famous brand of

shashi industry. MAZA is also available in different packing of

price. I have studied the awareness of MAZA in Bhavnagar city.


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1.8. ORGANIZATION STRUCTURE

Any business organizations success depends upon its

organization structure. The structure should be easy and

understandable because unnecessary complex structure created

many problems.


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1.9. TIME KEEPING SYSTEM


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The time keeping system is very important for an organization.

Shashi industries have also a separated time keeping office at the

front door. It is for permanent workers only. The time keeping officealso maintains register for wages and salary and it also help in

determining the production cost.

There is only on working shift and attendance is taken by workers

signature. There is also card system used for labors.

In SHASHI INDUSTRIES we know that all workers are working on

contract base. So contractor determines the time of working hours.

For the staff member the working hours are 9:00 am to 7:30 pm.

For the workers working hours are 9:00 am to 6:00 pm. In this

working hours lunch break and tea break are included. Lunch

break time is 12:00 am to 1:30 am and tea break time is 3 Oclock.

After it the workers again sinuously up to 7:30 pm.


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1.10. AWARDS


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MARKETING MANAGEMENT


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INDEX

SR

NO.

PARTICULARS PAGE

NO.

2.1. INTRODUCTION

30

2.2. ORGANIZATION STRUCTURE OFMARKETING MANAGEMENT

31

2.3. MARKET SEGMENTATION

32

2.4. PRICING POLICY

33

2.5. PRICE LIST 34

2.6. CHANNEL OF DISTRIBUTION

36

2.7. ADVERTISING

38

2.8. MARKETING STRENGTH 41

2.1. INTRODUCTION


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Marketing is the process of not only of selling and advertisementbut also of satisfying the need of consumers. Perhaps the simplest

definition of marketing is: marketing is the delivery of customer

satisfaction at a profit. The two golden goals of marketing are: To

attract new customer by promising superior value and to keep

current customer by delivery satisfaction. But many people think of

marketing only as selling and advertising iceberg. Now lets have a

look upon how shashi industry is practicing in such an important

department.


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2.2. ORGANIZATION OF MARKETING DEPARTMENT

The structure of organization provides us the detail information of

employees and how they related with each other. Shashi industries

have a separate marketing department, which controls all the

marketing activities of the firm. In shashi industry, the organizationstructure of the marketing department is well organized, which

chart is given under as:


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Mr. Tusharbhai vadher is the managing director of the marketing

department.


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2.3. MARKET SEGMENTATION

Market consists of buyers and buyers differ in one more ways.

They may differ in their wants, resources, locations, buying,

attitudes and buying practices. Through market segmentation

companies divide large, heterogeneous markets into small

segment that can be reached more efficiently with products andservices that must their unique needs.

Segmentation of market is necessary to serve better to the target

market. Any products market is not a single market. But it is a

composite of a various sub-market.

Shashi industry has covered its market in India and foreign. The

market is divided as three units. All the units covered the activities

as follows:

1. BHAVNAGAR UNIT: Gujarat, Maharashtra, Rajasthan, Bihar,Delhi, and Uttar Pradesh.


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2. BANGLORE UNIT: Karnataka, Andhra Pradesh, West Bengal,

Assam, Meghalaya, Orissa, Jammu & Kashmir and Punjab.

3. SHASHI EXPORT: Gulf countries, Nepal, Singapore, South

Africa, Switzerland, Taiwan, U.S.A. etc.

2.4. PRICING POLICY

Price is the amount of money charged for a product or services.

More broadly, price is the sum of the values that customers

exchange for the benefits of having or using the product or

services. The factors to be consider at the time of deciding price is:

v Demand of the product

v Average cost of the product

v Consumers behavior


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v Government regulation

v The rate of profit expected

v The degree of competition

The pricing policies are guideline to carry out pricing strategy.

Shashi industry pricing policy is under as:

Cost of production + profit + other expenses like dealerscommission + General Commission, transportation cost etc.

In this firm, if any changes come into price, then it becomes

applicable from the beginning of the month.

Thus, the price of any incense stick in this industry are decided

after referring the above given process completely.


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2.5. PRICE LIST

Sr. No Name of the products Packing

(in gms)

Price (rs.)

(of a dozen)

1 Maza 20 72.00

2 Maza silver pack 30 104.00- Maza 80 210.00

- Maza 160 374.00

3 Maza Hexa Gonal 22 81.00

4 Denim 20 74.00

- Denim 40 132.00

- Denim 75 300.00

- Denim 150 418.00

5 Denim Hexa Gonal 22 85.00

6 Rose Royal 20 60.00

- Rose Royal 70 172.00

7 Rose Royal Hexa Gonal 22 80.00

8 Ruturaj Mutha 20 46.00

9 Ruturaj 70 160.00

10 Pavitra Chandan Mutha 20 46.00

11 Pavitra Chandan 30 92.00

- Pavitra Chandan 70 160.00




12 Shashi Kevda 70 160.00

13 Shashi Mogra 70 160.00

14 Yes 25 82.00

- Yes 75 230.00

15 Yes Hexa Gonal 22 88.00


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16 Jaipur 25 83.00

- Jaipur 75 242.00

17 Megnet Flora 22 146.00

18 Gulab 70 168.00

19 Gulab Large Hexa Gonal 60 160.0020 Current(5 in 1) 45 stick 122.00

21 Sunday to Sunday(7 in 1) 7 sick 190.00

22 Bluebird Hexa Gonal 22 82.00

23 Top Six (6 in 1) - 506.00

24 Trith 25 52.00

- Trith 70 140.00

25 Camay 20 72.00

26 Camay Hexa Gonal 22 76.00

27 Camay Gold 25 330.00

28 Super Six(economy)6 in 1 - 98.00 per pack

29 Maza Dhoop stick 10 stick 24.00

30 Maza Dhoop Large 20 stick 74.00

31 President 10 stick 22.00

32 President Dasang Dhoop stick 20 stick 70.00


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2.6. CHANNEL OF DISTRIBUTION

Distribution channel is a set of inter-dependent organization

involved in the process of making a product or service available for

use or consumption by the consumer or business. Most of the

producer use intermediates to bring their products to market.

The shashi industry is use two channels that are:

Direct Channel:

A marketing channel where there are no intermediary levels, the

company chooses to sell direct to consumer i.e.(Door to Door

selling by Salesman) under as:


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Company

Consumer

Indirect channel:

Indirect channel have one or more intermediaries levels. Shashi

industries has also use indirect channel to sells its product in

market, through distributor to retailer and retailer to consumers.

Like:


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Company

Retailer

Consumer

Distributors


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2.7. ADVERTISEMENT

According to American marketing association advertising meansany paid of non-personal presentation and promotion of ideas,

goods or services by and identified sponsor. Mostly commercial

firms use advertising. It is also used by wide range of non-profit

organizations, professionals and social agency that advertise their

causes to various target publics.

Mainly there are four type of advertising:

v Informative advertising: advertising used to inform consumers

about a new product or feature and to build a primary demand.


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v Persuasive advertising: advertising used to build selected

demand for a brand by persuading consumers that if offers the best

quality for their money.

v Comparison advertising: advertising that compares one brand

directly or indirectly to one or more other brands.

v Reminder advertising: advertising used to keep consumers

thinking about a product.

Advertising is a creative activity conducted through mass

educational media such as newspapers, magazines, radio, T.V.

etc.

Main objective of shashi industry:

v Advertising campaign in shashi industry is to increase the sales.

v Enter into new market-segments.

v Support sales force.

v Improve dealers relation.

The advertising budget shashi industry is Rs.25, 000=00 (7 to 8%

of their total turnover). Shashi industry uses two types of


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advertisement viz. General and retail or local advertising and

national advertising.

LOCAL ADVERTISING: Shashi industries have appointed Vivek

Advertising as local marketing agency. They use mostlynewspapers, local magazines, hoardings, wall painting etc. also by

painting on local bus, gift articles, airbags, carry bags etc. in

newspapers they give their advertisement mostly in Saurastra

Samachar, Fulchhab and Gujarat Samachar etc. and in

magazines, chitralekha, and Abhiyan. It also gives their

advertisement in cinema halls.

NATIONAL ADVERTISING: shashi industry appointed Apex

Advertising and Swift Advertising for a national level. Companyuses two types of media like print and broadcasting. In print media

they give that advertisement in national level newspapers and

magazines i.e. Times of India, India Express, Business India, etc.

in broadcasting they give their advertisement in Doordarshan, Zee

TV and Radio.

We often see many hoardings of Maza and Denim on highway,

Railway station, and S.T. station and in public places. They have

given wall painting in Gujarat, U.P. Bihar, Rajasthan, and

Maharashtra.

Shashi industry prepares that advertising copy through Vivek

advertising co. and Apex advertising co.

Some examples of their U.S.P. are:

DENIM: Feel something new

MAZA: Mast mijaj Maza

MAJA: The only choice

ZOOLA: Bring home the natural ambience.


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The company pays some portion of advertising expenses and theremaining advertisement budget of this firm should be fixed by ratio

of total turnover. Generally it keeps 7 to 8% of advertisement

budget of total turnover, for advertisement in T.V. they are in

contact with Mundra Advertising Agency. So advertisement plays

an important role in this firm. Publicity of product is most important

function of the company. The product is firstly known by its

advertisement and second by its quality

Advertisement is creation of demand.

For shashi industry;

You name it, we make it

Once a fictiontoday a fact


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2.8.MARKETINGSTRENGTH:

80 Nos of Field Force, 15 Nos Area Sales Managers, 4 Sales

Managers, 600 Distributors, more than 2 lakhs Retailers Talking

a Traditional Handicraft, Agarbatti creating a brand value around it,

Garnering a sizable portion of the domestic market, as well as

exporting to more than 17 countries, is a commendable feat.

Shashi Industries could produce any kind of Fragrance, required by

the market. This proves an ultimate ability to take up any

challenges.

Mr.Tusharbhai S. Vadher (M.D., Ahmadabad) monitors sales

planning with Dynamism & experience for 17 years.

PUBLICITY:-

TALK OF THE TOWN The best media experienced. Television,

Radio, Newspapers, Hoarding, Posters, Stickers, Handbills,Products Guide are means for reminders and brand awareness

used.


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3. LITRETURE REVIEW

What is a literature review?

A literature review is an evaluative report of information found in

the literature related to your selected area of study. The review

should describe, summarize, evaluate and clarify this literature. It

should give a theoretical base for the research and help you (the

author) determine the nature of your research. Works which are

irrelevant should be discarded and those which are peripheral

should be looked at critically.

A literature review is more than the search for information, andgoes beyond being a descriptive annotated bibliography. All works

included in the review must be read, evaluated and analyzed

(which you would do for an annotated bibliography), but

relationships between the literature must also be identified and

articulated, in relation to your field of research.


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3.1. Consumer Behavior

Consumer behavior and consumer decision-making have become

prominent research topics in the various fields of consumer science

in recent years (Schiffman & Kanuk, 2000). Generally, consumer

behavior is defined as: "The activities that people engage in when

selecting, purchasing, and using products and services so as to

satisfy needs and desires. Such activities involve mental and

emotional processes, in addition to physical actions" (Wilkie, 1990).

Virtually, all decisions involved in developing an effective marketingmix for a product or service rely on thorough knowledge of the

consumers who comprise the target market (Johnson & Mullen,

1990). Understanding the behavior of the consumer can help

marketers anticipate reactions to changes in the marketing mix, or

determine whether new products are likely to be adopted.

Understanding buyer behavior is one of the more perplexing tasksconfronting every business owner. The difficulty arises from the

heterogeneity of buyers, from their being groups of individuals who

differ from one another. But differences notwithstanding,

consumers do share attitudes, opinions, reactions, and desires at

various times. Business experience, marketing research,

theoretical constructs and models, and trial-and-error methods help

to find some of the common denominators. This study aims to

identify a pattern of behavior among its chosen respondents.

3.2. Factors Affecting Consumer Buying Behavior


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The consumers' perception of a product highly affects its decision

on what product to buy. The decision process is influenced by the

information available to the consumer and the way in which the

consumer processes that information. The decision process is also

influenced by the consumer's beliefs, attitudes, and intentions aswell as many other individual characteristics. Two stages in the

decision process are particularly relevant to this study: search is

whether the consumer seeks label information when selecting

products and alternative evaluation whether or not the consumer

uses label information in considering product alternatives.

Whether consumers will search for and use label information willbe influenced by both characteristics of the product and of the

buyer. Product characteristics include the extent to which the

product's probable performance can be assessed by visual

inspection and its complexity, that is, the number of decisions the

consumer is required to make about it. Consumer characteristics

include experience with purchasing the product, and the kinds of

criteria the consumer uses in judging the product. The evaluative

criteria are shaped by the consumer's beliefs, attitudes, andperception of risk in the purchase.

Research on sensation and perception, attention, categorization,

inference making, information search, memory, attitude and

behavior, attitude formation and formation, conditioning and

satisfaction have been undertaken to understand consumer

behavior (Jacobs, Latham & Lee, 1998). As stated by Cobanoglu,Ekinci and Park (2003), attitudes towards purchase behavior are

believed to be shaped by many factors such as direct experience

with the product, information acquired from others, exposure to

mass media, etc. there are other factors that affect consumer

buying behavior regardless of the nature of business, the product


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itself, customer service, and satisfaction. This study aims to identify

the presence of such factors using the case of coffee brand and

experience of Starbucks and Pacific Coffee.

3.3. Conclusion:

The main objective of this research is to identify the common factor

that affects consumer buying behavior of university students when

it comes to coffee brand and experience. Due to the increasing

competition of Starbucks and Pacific Coffee in Hong Kong, the

conveyance of this timely case study will serve as imperative

evaluation on the coffee shop business in the region as well asemerging and specific consumer culture among the chosen

respondents.

http://sampleresearchproposals.blogspot.com/2009/03/sample-

research- proposal-on-coffee.html

RESEARCH DESIGN


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&

RESEARCH METHODOLOGY

4.1. PROBLEM DEFINING

Research is based on problem. Problem identification is the firststage in research procedure. Defined problem is half solved

problem; any researcher must define a problem before he

undertakes research study.

Here, my define problem is CONSUMER BUYING BEHAVIOR I

want to know consumers behavior while buying incense stick, what

are the features they want in incense sticks, which reference groupthey affects while buying incense stick. I want to know which type

of buying behavior affects incense sticks.

I have taken this problem with the advice of Mr. Sanjeevbhai

(Marketing Manager) consumer buying behavior plays an important

role in marketing system of the product. I also want to know the

awareness of MAZA incense stick in Bhavnagar city.


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4.2. THEORY RELEVANCE PROBLEM

Buying behavior is a comparatively new field of study. The concept

buyer behavior has been gaining importance since 1960.

Understanding consumer behavior and knowing customer are

never simple. Customer may say one thing but do another. So to

know the buying behavior is very complex to anyone.

Defining of buying behavior:

All psychological, social and physical behavior of potential

customer as they become aware of, evaluate, purchase, consume

and tell other about product and services.

Buying process:

Problem Recognition


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Information search

Evaluating of alternative

Post-purchase Experience & Behavior

Purchase decision

TYPES OF BUYING BEHAVIOR


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There are four types of consumer buying behavior given as follow.

1. Complex Buying Behavior

2. Variety Seeking Buying Behavior

3. Dissonance reducing Buying Behavior

4. Habitual Buying Behavior

We can understand briefly by following diagrammatic presentation:

High Involvement

Low Involvement

Significant differences

between brands

Complex Buying Behavior Variety Seeking Buying

Behavior

Few differences between

brands

Dissonance reducing Buying

Behavior

Habitual Buying Behavior

Complex buying behavior:

Consumer buying behavior is in situations characterized by high

consumer involvement in a purchase and significant differenceamong brands. Example car, house, TV.


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Dissonance reducing buying behavior:

CBB in situations characterized by high consumer involvement butfew perceived differences among brands. Example paint,

cement.

Habitual buying behavior:

CBB in situations characterized by low consumer involvement and

few significant brand differences. Example detergent, toothpaste.

Variety seeking buying behavior:

CBB in situations characterized by low consumer involvement but

significant perceived brand differences. Example biscuit, snacks.

In the product of incense stick market where various brand of

incense stick are exist in market with high consumer involvement

and few perceived difference between brands. The price of incense

stick is low in comparison with other products so consumers easily

purchase it, so that consumer involvement is very high. Where

incense sticks market all brands have perceived difference among

them.

So, Dissonance reducing buying behavior is applicable here forincense stick brand.


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4.3. RESEARCH OBJECTIVES

The purpose of research is to discover answer of question through

application of scientific procedure. The main aim of research is to

find out the truth which is hidden and which has not beendiscovered yet. We can say that the purpose of research is to find

solution to problem in marketing field.

My objectives of study of consumer behavior in Bhavnagar are as

under:

v To know the customers behavior to incense stick.

v To know the Awareness to Maza incense stick.

v To know the influence group of customers to Incense stick.

v To know what are the features customers want in incense stick

market.

v To know the feeling of customers towards price level of incensestick.


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4.4. RESEARCH DESIGN

Research design is defined as the arrangement of conditions and

structure for collection and analysis of data in a manner that aimsto combine relevance to the research purpose with economy in

procedure.

My procedure is given below:

v TYPES OF RESEARCH

There is four types research like:

Exploratory Research

Descriptive Research


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Diagnostics Research

Casual Research

Exploratory research:-

But as far as my problem is concern, the exploratory research is

suitable. It is concern with discovering the general nature of

problem. It is more flexible and it relies on both secondary &

primary data, judgment sample, small survey and case analysis.

An exploratory research focuses on the discovery of ideas and is

generally based on secondary data. Which is already used in to

other channel through of presented the data. So that is

dependence on the kindly information to finding that the used of

research instrument process finding of particular outcome.

Descriptive research:-

A descriptive study is undertaken when the researcher wants to

know the answer of who, what, why, whom and how. That is

questionnaire used the help of research problem so that matter

wise found the right conclusion.


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4.5. DATA SOURCES:

During the in-plant training the data was collected as per the

requirement and based on questionnaires.


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The visit to different department was carried out in order to

accumulate maximum knowledge.

During the training major source of data collection were as

follow:

Primary Data

Secondary Data

Primary Data:

Primary data is fresh data collected and used first time in research.

The primary data of Shashi Industries are collected through

questionnaire method which is directly collected from relevant

respondents in Bhavnagar city. The various personal from

marketing department personally communicated as well as they

answered the various question asked by us.

Secondary Data:

As name suggest it-self secondary data means data which are

already exist somewhere. It might be used some where just we

have to collect it. The secondary data of Shashi Industries are

collected through media advertisement, companys catalogue &

poster or through website or internet.

For my problem I have collected fresh data i.e. primary data

directly from relevant respondents in Bhavnagar city


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4.6. RESEARCH INSTRUEMENT

This research is made through questionnaires. Quite often

questionnaire is considered as the heart of survey of operation. In

this method a questionnaire is given to the people concern with a

request to answer the question and return the questionnaires. A

questionnaire consists of number of questions are in define on the

form or set, the respondent have to read and understand thequestion the answer in this page meant for the purpose in the

questionnaires itself for the research when respondents need to

any kind of help the researcher was available to solve their

problem.

4.7. SAMPLING PLAN

TARGET POPULATION:

The population for this research study is

consisting of the house hold of Bhavnagar city.

SAMPLING UNIT:

In this study the sampling units is individual.

SAMPLE SIZE:


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My sample size is 100 respondents (house

hold)

SAMPLING METHOD:

The samples are selected by

using convenience sampling method. A convenience sample is

one in which the only criterion for selecting the sample unit is the

convenience of the sampler.

DATA COLLECTION METHOD:

There are so many methods for primary data collection but I have

selected the Questionnaire method to collect primary data.

However for the convenience of some respondents Schedule

method has also been used. My questions are closed endquestions.

DATA ANALYSIS PLAN:

My data analysis plan includes tabulation of collected data. I have

put data into graph and ultimately I have come to conclusion


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4.8. LIMITATION OF THE STUDY

In this project I have used the sample survey method and takingopinion of the different types of people so, this opinion may be a

wrong and may be right.


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I have done 100 people sample surveys if surveys are more

than 100 people we can get more effective research.

The geographical area was very much limited to residential area

& so the results are not particularly reflection of the current

behavior.

The major factor constraining the training programmed was the

time duration mentioned by the institute.

Even the high grade personal was enabling to spare sufficient

time because of their various organizational activities.

During the departmentation stage of the various secret

companies matter were not disclosed as it was against rules and

regulation.

The training was complained within the particular limit area so

location was the major constrain factor.

.


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DATA ANALYSIS

&

INTERPRETATION

4.9. DATA ANALYSIS & INTERPRETATION

Q. 1 which brand of incense sticks is you using?

Particular No. of respondents Percentage

MAZA 33 33%

DENIM 19 19%

SWADESH 02 02%OTHER OF SHASHI 10 10%

OTHERS 36 36%

TOTAL 100 100

Interpretation:

Out of 100 respondents 33% are using Maza brand of incense

stick 19% sample respondents are using Denim and only 02%

respondents are using Swadesh other brands of shashi like


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Camay, gulal, rose royal, jaipur, kevda, shashi sugandh, Sunday to

Sunday, cool breeze, and so on Have only 10% respondents 36%

of the total respondents are using other brands.

We can say that Maza is leading brand of shashi industries. Itincludes all versions of Maza brand like 10 sticks, 30 sticks, 100

sticks, etc.

By observation I can say that the consumer is flexible in using

incense stick, there for sometimes 36% other brand user might be

using shashi industries various brands. So, this can be a limitation

to the study.


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Q. 2 what is the price level of brands you are using?


1 to 10 22 22%

11 to 20 58 58%

21 to 30 08 08%

Above 30 02 02%

Not decided 10 10%

Total 100 100

Interpretation:

Out of 100 respondents 22% respondents are using incense stick

which price is Rs. 1 to 10 per pack 58% respondents are using

pack which price is between Rs. 11 to 20. Only 8% respondents

some of high class people are using high priced brand i.e. above

Rs. 30 they are 2%

Most of the respondents are using incense stick which price is

between Rs. 11 to 20. They might be medium class people and

10% respondents have not decided the price. Their tendency toprice is flexible. Some time they use high price brand & some time

low priced brand.


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Q. 3 Are you aware of Maza incense stick of shashi

industries?



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Yes 92 98%

No 08 02%

Total 100 100

Interpretation:

Out of 100 respondents 92% say that they have heard the name of

Maza incense stick. Only 8% are not aware of Maza incense

stick.

From the above interpretation we can say that, there is good

awareness about Maza incense stick in Bhavnagar city. This is

because, that the Maza brand is one of the oldest brand of the

shashi industries. The awareness may be 100% because in my

study only 100 respondents are there in sample size and

Bhavnagar is one of the large city in Gujarat, so we cannot get

much accuracy with low sample size.


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Q. 4 Who advise you to buy incense stick?


Dealers 04 4%

Friends 05 5%

Relatives (family) 33 33%

Others 17 17%

N.A. 41 41%

Total 100 100%


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Interpretation:

41% respondents in Bhavnagar city are purchasing incense stickby themselves, 33% respondents are affected by their family

relatives, only 5% says that they are being advised by their friends

and 4% affected by their dealers.

Most of the respondents i.e. 41% are purchasing incense stick by

themselves. No one advise them to buy incense stick. They take

their own decision while second largest influences are relatives that

are family members. Dealers and friends play a very little role in

consumers decision making.


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Q. 5 which features will you keep in mind while purchasing

incense stick first?


Smell 71 71%

Promotional scheme 04 4%

Packing 02 2%

Quality 17 17%

Others 06 6%

Total 100 100%

Interpretation:

Out of 100 respondents 71% respondents give more emphasis to

smell of the incense stick. Only 4% people want promotional

scheme as a leading features. Packing also gets low response i.e.

2%. On the other hand quality of incense stick got 17%


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respondents in its favour while 6% people make tick mark on

others.

From above Table and interpretation I can say that smell play an

important role in incense stick. Most of the people wants good

fragrances in incense sticks while quality is second major role

player.


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Q. 6 From where do you buy incense stick?


Provision store 89 89%

Sales persons 11 11%

Total 100 100%

Interpretation:

Out of total 100 respondents, 89% respondents purchase incense

stick from the provision stores and 11% from sales persons.

Therefore we can say that most of the people give importance toprovision stores. This is because, that unskilled salesman cant

convince the consumers properly and skilled or professional

educated person do not like to work on door to door selling.

Therefore the people do not trust on sales person and the quality

sold by them.

The ratio of provision store to sales person is 89: 11; therefore thefirm should give more emphasis on retailer and wholesalers in

distribution channel.


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Q. 7 According to you, what should be the price of single pack

with 30 sticks?


Rs. 1 to 10 28 28%

Rs. 11 to 20 64 64%

Rs. 21 to 30 08 08%

Above 30 00 00%

Total 100 100%


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Interpretation:

28% respondents want the price to be in between Rs. 1 to 10. 64%

respondents say that it should be in between Rs. 11 to 21. While

Rs. 21 to 30 ranges and above Rs. 30 get 8% and 0%

respondents.

Most of the people in Bhavnagar city want that price of the single

pack of incense stick with 30 sticks should be in between Rs. 11 to

20.

Shashi industry is providing 30 stick Maza brand in this range.

Therefore it is good for an industry. It is obvious that the price of 30

stick packet should not be above Rs. 30 because it would be very

high compared to quantity of stick. The quantity, quality and price

should be appropriate and proportional.


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Q. 8 Do you find any confusion in purchasing due to number

of brands in the market?


Yes 53 59.55%

No 36 40.45%

Total 100 100%

Interpretation:

Out of 100 sample size, 89 respondents have given the answer of

this question. I think 11% could not understand the question or

there might be other reasons. Therefore I have got 89 responses to

this question.

Out of 89 respondents 53 respondents said Yes and 36

respondents said No. from these I can say that 59.55% (i.e.60%)


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people finds confusion in purchasing incense stick due to number

of brands exist in the market. And 40.45% (i.e.40%) people do not

find any confusion in purchasing.

From these I find that consumers behavior regarding incense stick

is somewhat Dissonance reducing due to high involvement of

brand & few differences between brands.

FINDINGS & CONCLUSION

I have drawn following conclusions from the study.


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Most of the consumers are middle class people (from

occupation)

I found that Maza is leading brand, while second leader is

Denim and other brand of shashi industries has very little market

share.

Most of the people of city are using incense stick pack which

price is between Rs. 11 to 20. Some people are flexible in price

level. It means sometimes they are using high priced items and

sometimes low priced.

Awareness of Maza brand is excellent. It is very popular brand

in Bhavnagar city.

Most of the people who purchase incense stick take decision

by themselves, but family, relatives also play an important role.

Elder persons play a very important role in purchase of incense

stick than younger boys.


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Smell is the most leading features in incense stick. More than

seventy percent people want good quality.

Majority of the people are buying incense stick from provision

stores, while only 11% people get it from sales persons.

According to my sample study 64% respondents said that price

of single pack with 30 sticks should be in between Rs. 11 to 20 and

this is the highest response.

Round about 60% people find confusion in buying incense stick

due to number of brands exist in the market. Therefore I can say

that buying behavior is somewhat Dissonance Reducing.


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SUGGESTIONS

After drawing conclusion and studying data analysis, I would like to

suggest some points as under:

Maza and Denim are leading brands so the firm should do lineextension or product extension. It means company should expand

product category under these brand name.

Company should adopt Middle value pricing strategy. It means

company should mostly produce incense stick packages which

price is between Rs. 11 to 20.


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Some of the products of the firm are still in introduction stage,

so they concentrate attention on marketing & promotional mix of

those products.

In developing products company should take opinion of elder

persons who are generally up to 40 years old or more regarding

the types of smell and other feature because mostly they affect the

purchase of incense stick.

The firm should try to add better smell to an incense stick as

people like it the most.

The buying behavior is somewhat Dissonance Reducing so;

the firm should try to make difference in brands and try to stress

that difference in promotional mix and advertising.

In distribution, the firm should be more emphasize to retailer

and wholesaler than salesman.

Regarding Maza the firms marketing objective should

maximize profit while defending market share.


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The firm should try to find maximum innovators to the Maza

brand. Firms some products are in declining stage, they should be

phased out.

BIBILIOGRAPHY

Marketing Management (Reference book) Philip Kotler

Shashi industrys office, darbari kothar, Bhavnagar.


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Company

website: http://shashiind.com/about_market.as

p

http://sampleresearchproposals.blogspot.com/2009/03/sample-

research-proposal-on-coffee.html

QUESTIONNAIRE

Name:

Address:

Age: Sex:

Occupation: Phone:

1. Which brand of incense stick you are using?

Maza [ ] Denim [ ] Swadesh [ ]

Others of shashi [ ] others [ ]

2. What is the price level of brand you are using?
http://shashiind.com/about_market.asphttp://shashiind.com/about_market.asphttp://shashiind.com/about_market.asphttp://shashiind.com/about_market.asp


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1 to 10 [ ] 11 to 20 [ ] Undecided [ ]

21 to 30 [ ] above 30 [ ]

3. Are you aware of Maza incense stick of shashi industries?

Yes [ ] No [ ]

4. Who advised you to buy incense stick?

Dealer [ ] friends [ ] Self [ ]

Relatives [ ] others [ ]

5. Which features will you keep in mind while purchasing Incense

stick first?

Smell [ ] Quality [ ] Packing [ ]

Promotion scheme [ ] Others [ ]

6. From where do you buy Incense stick?

Provision store [ ] Sales person [ ]

7. According to you what should be the price of single pack with 30

stick?

1 to 10 [ ] 11 to 20 [ ]


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21 to 30 [ ] Above 30 [ ]

8. Do you find any confusion due to number of brand in the market(while purchasing)?

Yes [ ] No [ ]

Date: Signature

Place:

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Project Blue Print