PROJECT ON SALES OF TATA AGRICO PRODUCT by sanghaviharshil

VIEWS: 104 PAGES: 35

									                                         A REPORT
                                                 on

     Sales of TATA AGRICO Product in Jamshedpur Region
     Submitted in the partial fulfillment of the Post Graduate Diploma in Management




                                          Submitted to
                                   Xavier Institute – XIDAS,
                                    Jabalpur,Madhya Pradesh


                                   Under the Guideline of
                                       Mr Apoorva Nema



                                          Submitted by
                                           Bivash Singh

                                     PGDM (Batch-2008-10)




            XAVIER INSTITUTE OF DEVELOPMENT ACTION AND STUDIES(XIDAS)
                        4th Mile, Mandla Road, Tilhari, Jabalpur- 482020 (M.P.)



Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                     1
                                      CONTENTS

S. No.            Particular                                   Page No
Chapter – 1         Introduction

                            1.1 Background of study                9
                            1.2 Need of study
                                                                   9
                            1.3 Objective
                            1.4 Chapterization                     9

                                                                   10

Chapter – 2         Market research methodology

                            2.1 Research Objective                 11

                            2.2 Methodology                        11

                            2.3 Sample size & Sampling units       11

                            2.4 Limitations                        11

Chapter – 3         Organizational profile

                            3.1 Company profile                    12
                            3.2 Vision
                                                                   13
                            3.3 Mission
                                                                   13

Chapter – 4         Area profile                                   14

Chapter – 5         Analysis and discussion

                            5.1 Customer analysis                  16

                            5.2 Dealer analysis                    22

                            5.3 Finding                            27

                            5.4 SWOT analysis                      28

Chapter – 6         Summary and conclusion

                            6.1 Conclusion                         29

  Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                     2
                             6.2 Recommendation                                  30



Chapter – 7          References                                                  31



                                                                                  32
Annexure               I.      Dealer questionnaire
                       II.     Customer questionnaire                            35


                                Declaration by the student


    I hereby declare that this project report titled “Market Study of Sales of TATA AGRICO
Products in Jamshedpur region” has been submitted by me for the award of post graduate
diploma in management, as partial fulfillment of the requirement for this course.

This is the result of the original work carried out by me. This report has not been submitted
anywhere else for the award of any other degree/diploma.




Bivash Kumar Singh

[PGDM-2008-10]


   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                      3
Signature of the student:




                             Certificate by the Guide

This is to certify that “Mr. Bivash Kumar Singh” has carried out Project report titled “A Detail
Market Study of Sales of TATA AGRICO Products in Jamshedpur region” as partial
fulfillment of the requirements for the Post Graduate Diploma in Management, under my
guidance during the academic session 2008-10.


It is also certified that the report presented embodies the original work of the student. The
present report can be forwarded for evaluation.




Mr. Apoorva Nema


Signature
Date:




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                         4
                                       Acknowledgement

It is difficult to express adequately my gratitude to those who have shared their expertise and
knowledge and without whom the completion of the project report would have not been
impossible.


We would like to add a heartfelt sense of gratitude to all those who helped me during the
completion of this project. This project bears the imprint of many people. First of all, I would
like to thank Respected Mr. S.N SAFI, ( HR) for providing us the encouragement to work on
this project.


We are grateful to Respected Mr. Kamlesh Kumar (Manager, Mkt.) for giving me an opportunity
to work on this project. Without his cooperation this project would not have been a success.


I also extend our heartfelt thanks to respected Mr. Apoorva Nema (Faculty Guide) for giving me
their valuable guidance during the research and for the support and the facilities provided to
execute the project.


This summer project is written by encouragement and prodding of all the people who have
devoted their valuable time and help in completion of this project.




Thanking You,


Bivash Kumar Singh


   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                          5
           List of Tables                                      Page No.
Customer’s & dealer's

Customer’s
                                                                  16
Table 1- Aware and not aware percentage……………………………………..
                                                                  16
Table 2- Percentage of user or not user………………………………………..
                                                                  17
Table 3- Competitors present in the market …………………………….
                                                                  19
Table 4 -Suggestions given by the customers…………………………………
                                                                  19
Table 5 -Frequency of purchasing tools………………………………………..
                                                                  20
Table 6 -Quantity of purchasing tools………………………………………….
                                                                  20
Table 7 -Age group of customer……………………………………………….
                                                                  21
Table 8 -Customers contacted ……………………………………………….

Dealer's

Table 9 -Sales of Tata Agrico…………………………………………………
                                                                  22
Table 10-Commercial advertisement effect on sales……………………………
                                                                  23
Table 11 -Media for advertisement……………………………………………
                                                                  23
Table 12 -Tata Agrico brand…………………………………………………...
                                                                  24
Table 13 -Reason for success…………………………………………………..
                                                                  25
Table 14- Reason for unsuccessful……………………………………………..
                                                                  25
Table 15 -Competitor…………………………………………………………..
                                                                  26

  Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                      6
List of Figures and Charts                             Page No.

FIGURE
Figure 1- Map of India and Jamshedpur                      14




  Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh              7
CHART
Chart 1 Aware and not aware percentage…………………………………..                              16
Chart 2 Customers which are user or not user……………………………                            16
Chart 3 Frequencies of uses of different products………………………….                       17
Chart 4 Competitors present in the market………………………………….                            17
Chart 5 Influencing factor for the user and non-user……………………….                     18
Chart 6 Promotional awareness about the product…………………………                          18
Chart 7 Suggestions given by the customers………………………………                             19
Chart 8 Frequency of purchasing tools……………………………………...                             19
Chart 9 Quantity of purchasing tools…………………………………………                               20
Chart 10 Age group of customer……………………………………………                                    20
Chart 11 Customers contacted …………………………………………….                                    21
Chart 12 Distribution of the customer………………………………………                               21
Chart 13 Customers of the products…………………………………………                                 22

Dealer's
                                                                                   22
Chart14 Sales of Tata Agrico……………………………………………….
                                                                                   23
Chart 15 Commercial effect on sales………………………………………..
                                                                                   23
Chart 16 Media for advertisement…………………………………………
                                                                                   24
Chart 17 Tata Agrico brand…………………………………………………
                                                                                   24
Chart 18 Reason for success………………………………………………….
                                                                                   25
Chart 19 Reason for unsuccessful……………………………………………
                                                                                   26
Chart 20 Competitor…………………………………………………………




                                     Executive Summary
It was my great pleasure, to work on this project and to know, the Sales of TATA AGRICO
Products in Jamshedpur city. The Project gave me immense learning experience and exposure to
know:-
   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                     8
   •   Sales of the products,
   •   Ways to increase the sales,
   •   Customers and Dealers problem and how to satisfy them,
   •   Market dynamics of agriculture implement industry.


It is no wonder that in today’s aggressive business environment, the challenges of sustaining in
these competitive surroundings, preoccupies the minds of many Business leaders. Corporate
customers and individual customers have many options to choose commodities from competitive
market. Furthermore, they often perceive that what they are purchasing is, for all practical
purposes, a commodity that can be easily obtained from other companies, if need be. So, how
does a corporation distinguish itself in a highly commoditized and competitive market? Today’s
business is more dependent, than ever before, on their top performing product to be innovate and
provide services that differentiate a company from its fierce competitors. In other words,
corporations rely upon their product and human assets to survive and thrive.


TATA Steel is the leading manufacturer of agricultural implements, catering to the needs of the
country since 1925. The company has become a pioneer in the field of manufacturing superior
quality of agricultural implements and tools. Manufactured with world class technological
expertise, these implements are stronger and long lasting than any other ordinary agricultural
implements. The average number of products supplied yearly is about 50-55 lakhs. It was
revealed that our country needs various agricultural implements and hand tools, approximately
300 lakhs per year. The small players as well as some percentage of import products meet the
short falls on the consumption. However, Tata Agrico feels that customer insight remained an
area of improvement. Hence the following project is taken up with an expectation that it will
help Tata Agrico officials to plan their product promotion activities more effectively keeping in
mind the needs of end users.
To begin with the project, firstly, the researcher made an area study of Jamshedpur region. Then
the researcher met dealers and various customers of Tata Agrico in respective areas the city.


After studying the market it can be said that there is tough competition between Tata-Agrico
products and other local agricultural implements available at lower costs. At the end some



   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                           9
suggestions have been given to improve the sales of Tata Agrico Products in agricultural
implement market and boost the market share.




Chapter - 1: Introduction
1.1 Background
Sales are the final activity involved in marketing of products or services in return for money or
other compensation. It is an act of completion of a commercial activity.


A sale is completed by the seller, the owner of the goods. It starts with consent (or agreement) to
an acquisition or appropriation or request followed by the passing of title (property or ownership)
in the item and the application and due settlement of a price, the obligation for which arises due

   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                           10
to the seller's requirement to pass ownership, being a price the seller is happy to part with
ownership of or any claim upon the item. The purchaser, though a party to the sale does not
execute the sale, only the seller does that. To be precise the sale completes prior to the payment
and gives rise to the obligation of payment. If the seller completes the first two above stages
(consent and passing ownership) of the sale prior to settlement of the price the sale is still valid
and gives rise to an obligation to pay.


1.2 Need of the study
The purpose of this study was to know the facts about other competitors of Tata Agrico in
agriculture implement. Tata Agrico products are the leading and demanded products by
customers but today numbers of other competitors have made the environment tough far Tata
Agrico products. There were other reasons too to know and analyses the response of customers
and in awareness which in turn can increase the sales of TATA Agrico product.


1.3 Objective of the study
The summer internship of seven weeks at Tata Steel was with the purpose of unearthing a few
facts about the TATA AGRICO. This was done to find the ground level reality associated with
TATA AGRICO and impact of branding the product. The main objectives are:-
      1. Whether the branding of the products has affected its sale in the market?
      2. What are the main determinants effecting the buying decision process of the customer?
      3. Who all are the market challengers and followers and what are the strategies being
         implemented by them to gain market share?
      4. To ascertain the level of brand awareness and the quality provide by various brands
         among different customer groups?
      5. What will be scope of branded product like billet and sheets in near future?


1.4    Chapterization
First Chapter gives an overview of the company and the blue print of research report, including
chapterization and need of the study.




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                            11
Second Chapter includes the research methodology adopted, sampling design, methodology
used for data analysis and limitations of the study.


Third chapter describes the organization profile including vision and mission of the
organization.


Fourth chapter is concern with the area profile of Jamshedpur region and also describes the
physical and geographical boundaries of the region under study.


Fifth chapter provides detail from the respondent, analyses using graphs and charts and finding.


Sixth chapter includes the summary and conclusion based on the survey
.
Seventh chapter provides the references used during the project.




Chapter-2: Market Research Methodology
2.1 Research Objectives
    1. To study customers perception about Tata Agrico products.
    2. To identify the factors that influence the buyers to buy and non- buyers not to buy the
        Tata Agrico products.
    3. To examine the effectiveness of various promotional activities on sales.
    4. To study dealers perception about Tata Agrico products.




    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                       12
2.2 Methodology
Sources of data
   •   The data is basically primary in nature.
   •   It is obtained from the dealers and customers (farmers, labourers, contractors, etc).
Method
   •   Communication approach was basically structured questioning, that is personal interview
       with the aid of printed questionnaires.
   •   To serve the purposes, two separate questionnaires were designed for dealers and the end
       customers so as to gain the maximum relevant information taking minimum time.


2.3 Sample Size:
   •   Convenience sampling: it is a convenience sampling suiting the project requirement
   •   Customer sample size – 40 and Dealer sample size – 15
Sample Units:
Sampling units were personnel from different dealers of Jamshedpur.


2.4 Limitations of Study
   •   Prejudice of some of the respondents.
   •   This being a convenience sample, the analysis may not be a true picture of the target
       population.


Chapter – 3: Organizational Profile
                   TATA STEEL, formerly known as Tata Iron and Steel Company Ltd (TISCO),
                   the company around which the entire township of Jamshedpur was built, was
                   registered in Bombay (now Mumbai) on August 26, 1907. It had an initial
capacity of 160,000 tonnes of pig iron, 100,000 tonnes of ingot steel, 70,000 tonnes of rails,
beams and shapes and 20,000 tonnes of bars, hoops and rods. It also had a powerhouse, auxiliary
facilities anda laboratory. In 1917, the company increased its steel production capacity to
500,000 tonnes and introduced the Modern Duplex process of making steel. Since then the
company has continued to add new units and increase capacity



   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                          13
3.1 Company Profile
TATA Agrico, a division of Tata Steel is the pioneer manufacturer of superior quality
agricultural implements in the country. Since 1925 to 2003, it had been the leading manufacturer
of agricultural implement. Now these days it has been providing raw material for manufacturing,
and take care of marketing. The division’s product mix comprise of
   •      Shovels,
   •      Powrahs,
   •      Crowbars,
   •      Pick-Axes (Kudalis),
   •      Stickles,
   •      Hammers, and
   •      Garden Tools
These cater to the diverse need of agriculture, horticulture, maintenance of roads, dams, railway
–track and collieries, both in India and abroad.


The TATA AGRICO was first manufacturer of agricultural implements (Hand tools) in India to
achieve ISO 9002 Certification in 1994, which was further upgraded to ISO 9001. This ensures
world class systems in its operations. TATA Agrico implements are manufactured in one piece
from Tata High Carbon Steel by forging. The skill and knowledge acquired since 1927, modem
methods of manufacture such as forging, and heat treatment and strict supervision at every stage
of manufacture, guarantee consistently good quality and durability of Agrico products. The high
quality of TATA Agrico implements makes them the first choice of Agriculturists, Government
Agricultural Departments, The Railways, Defence Services, Collieries and Central and State
Government Departments.


3.2 Vision -2012
Value Creation: increase our ROIC to 30% from the current 16%.
Safety: Reduce LTIF to 0.4 compared to the current 1.7
Environment: Reduce CO2 emissions to 1-5tons/ton of liquid steel compared to the current 1-
8T/Tls.
Employer of choice: Across all industries-top quartile


   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                         14
TATA steel has outlined its vision for 2012 which entails, among other things, -doubling of
returns on investments (ROI) from around 16% at present to 32% by that year. By 2012, the
group hopes to be the global steel industry benchmark for value creation and corporate
citizenship.


3.3 Mission
Consistent with the vision and values of the founder Jamshedji Tata, TATA steel strives to
strengthen India’s industrial base through the effective utilization of men and materials. The
means envisaged to achieve this are high technology and productivity, consistent with modern
management practices.


TATA steel recognizes that while honesty and integrity is essential ingredient of a strong and
stable enterprise, profitability provides the main spark for economic activity


Overall, the company seeks to scale heights of excellence in all that does in an atmosphere free
from fear and one which encourages innovativeness and creativity.




Chapter – 4: Area Profile
                                                        4.1       Physical         boundaries/
                                                        Geographical boundaries
                                                        Jamshedpur is located at 22.8°N 86.18°E.
                                                        It has an average elevation of 135 meters
                                                        (442 ft). Jamshedpur is located in a hilly
                                                        region, and its terrain is quite uneven. .
                                                        Jamshedpur occupies about 2.03% of the




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                          15
total area of Jharkhand. Total geographical area of Jamshedpur is 230.59 km square. It receives
about 1200 mm of rainfall annually.
Jamshedpur is the largest city and urban conglomeration in the state of Jharkhand (formerly in
the state of Bihar) with a population of 1.1million (as per 2001 census). Jamshedpur is the first
well-planned industrial city of India, founded by the late Jamshedji Nusserwanji Tata and ranks
28th among the 35 million-plus cities and is also the 32nd urban agglomeration in India
according to the census 2001. Located in the East Singhbhum district of Jharkhand on the Chota
Nagpur plateau, it is the district headquarters and is surrounded by the beautiful alma. The
rivers Subarnarekha and Kharkai border the North and West of the city, respectively.
                                                 Figure 1 – Map of India and Jamshedpur



4.2 Basic demographic profile of the people residing in the area
As of 2001 India census, Jamshedpur had a population of 1,134,788 and ranks 28th among the
35 million-plus cities in India according to the census 2001. Males constitute 53% of the
population and females 47%. Jamshedpur has an average literacy rate of 82%, higher than the
national average of 59.5%. In Jamshedpur, 11% of the population is under 6 years of age.


The conversational language is Hindi. However tribal languages like Santhali and Ho are also
spoken in some parts of the city. The population is cosmopolitan in nature owing to migration of
people from all over the country to work in the numerous industries present in the city. The main
religious groups are Bengalis, Biharis, Punjabis, Oriyas, Gujaratis, Marwaris and Muslims apart
from the native tribal population. There is a small but significant number of South Indians as
well, principally from Andhra Pradesh; Tamil Nadu & Kerala.


Major festivals celebrated include Makar Sakranti, Durga Puja, Deepavali, Holi, Christmas, Id-
ul-Fitr and Chhath.




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                         16
Chapter – 5: Analysis and Discussion
Analysis of Customer Survey

             Frequency        Percent
                                             1. Awareness of Tata Agrico product
 Table: 1



     yes          32            80.0         Table and chart-1 depicts that there are 80% of
                                             respondents are aware of Tata Agrico products while
     No           8             20.0         20% of them are not aware of the products. It is
                                             observed that Tata Agrico products are pioneers in field

    Total         40           100.0         of agriculture products which are well known by most
                                             of the people.


2. Users of the Tata Agrico product
Table: 2




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                             17
              Frequency        Percent
                                              Table and chart-2 illustrate that 52% of the

     yes           21            52.5         respondents who are the users of Tata Agrico products
                                              and 48% of the respondents are non-users. It is
                                              because the products of Tata Agrico are unavailable at
     No            19            47.5
                                              the time when it was required and also it is observed
                                              that its’ price are very high comparative to other local
    Total          40            100.0        brands which are easily available at low price.


                                              3. Satisfaction level with the Tata Agrico
products (For users only)
It is observed from table and chart-2 that there are 21 users of Tata Agrico Products who felt that
they are satisfied with the Tata Agrico products.



4. Tata Agrico product which are mostly in use
Chart-3 shows that there are only 9 respondents who accepted that they use the Tata hoes most
and 7 of them responded that they use hammers most whereas there are 19 respondents who
expressed that they use none of these Agrico Products in their daily life.




                                              5. Competitors of Tata Agrico
Table: 3       Frequency        Percent

 SRG India          24            60.0
                                              Table-3 and chart-4 illustrate that there are 24
   Kinger           5             12.5        respondents

  Hurkut            4              10

   Others           7             17.5        Table and Chart-4        shows that there are        24
                                              respondents who said that SRG India is the toughest
   Total            40           100.0
                                              competitor of Tata Agrico products according to end
                                              customers’ perception. SRG is the local brand which is


   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                              18
sold at cheaper price. It is observed that because of low price customers are motivated to
purchase the local brand of SRG India.


6. Influencing factors in buying the tools
Chart-5 depicts the intensity of users how they are influenced by brand, performance, durability
and quality which play a major factor in deciding the Tata Agrico products to purchase the
products whereas for non-users all these factors do not affect them much. They are unsatisfied
because they feel that the products are outsourced from other companies.


6. Promotional activities and various schemes
Chart-6 states that there are 76% of end customers who said that they are not aware of any
promotional activities done by the Tata Agrico. While only 24% respondents said that they have
seen hoardings, banners and other promotional activities at very rare times.




                                                7.      Suggestions by       the customers to
                Frequency         Percent       improve the sales.

 Availability
Table: 4              6             15.0


 Customers           18             45.0        According to the table-4 and chart-7 it is observed
  schemes                                       that there are 45% of respondents who suggested that
    Price            16             40.0        “Promotional schemes for customers” are the central
                                                factor to improve the sales, whereas 40% of them
    Total            40            100.0        said that it is the decrease in price can improve
                                                which in turn will improve the sales of the product.


   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                              19
               Frequency       Percent          8. Frequency of purchasing tools
Table: 5
  Quarterly
                     8             20.0

     Half-                                      Table-5 and chart-8 illustrate that 50% end customers
                    20             50.0
    yearly                                      purchasing tools half-yearly, rest 30% and 20%
    Yearly                                      purchase yearly and quarterly respectively.
                    12             30.0

     Total          40            100.0         9. Quantity of purchasing tools
Table: 6

              Frequency Percent

     1-5           28            70.0         Table-6 and chart-9 depicts that there are 70%
                                              customer preferred small quantity to purchase because
    6-10           10            25.0         they are mostly farmer. Contractor are bulk buyers.
    11-15           1             2.5
              Frequency Percent
                                              10. Demographics:
    15>
Table: 7
                  1        2.5

    Total
    <25             4
                   40             10.0
                                 100.0
                                              Table-7 and chart-10 illustrate different age group of
   25-34                                      people purchasing implements, among these group 25-
                   16            40.0
                                              34 age of end customers mostly are purchaser.
   35-44
                   14            35.0         11. Occupation
 Table: 8
    45>
                    6            15.0

   Total
                   40            100.0




    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                              20
                   Frequency          Percent

    Farmers                 8             20.0

    Labours                 8             20.0

   Contractors              19            47.5

   Gardeners                5             12.5

      Total                 40            100.0


 Table-8 and chart-11 reveals that the majority (47.5%) of Tata Agrico implements purchaser are
 contractor and farmers, labours, gardeners contribute just 20% or less.


 4.2. Analysis of dealer’s survey
Chart-12 shows the number of dealers
 Number of dealers
active in the research areas. There are 40%
 .
of dealers in Jugsalai, in Bistupur 12%,
Mango 8%, Sakchi 24%, parsudih 10% and
in Burmami 6% who are active in the
distribution of the of Tata Agrico products.

 2. Customer of the product
Chart-13      illustrates        number     of
customers of the products. There are
almost 68% of the sales comes from by
the contractors, 23% from labours and
9% from farmers’.




    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                      21
                             Frequency Percent                3. Percentage of Tata Agrico products in
              Table: 9
                                                              total sales of Dealers

                  0-25
                                    9            60.0
                                                              Table-9 and chart-14 portray that 60% of the
                                                              respondents said that Tata Agrico has 0-25 percent
                 25-50
                                    6            40.0         share of the sales in their total sales in a year and
                                                              40% said it is between 25-50%.The Agrico product
                  Total                                       market is limited. The customer only purchase few
                                    15          100.0         product of their product line and also in few
                                                              quantity which is not enough to make it sale share
            more then 25-50%.
            4. Awareness of any promotion activity
            Almost all respondents said that they are not aware of any promotional activity done by Tata
            Agrico.
                                                           5. The effect of promotional activities on
                          Frequency       Percent          sales

Table: 10    Table: 10
              Increase
                               11              73
              in sales

                 No
               change           4              27
              in sales
                Total
                               15            100.0




               Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                               22
 Table-10 and chart-15 depict the effect of promotional activities on sales. Thus it was found that
 there are 73% of the respondents who felt that the promotional activity will increase the sales and
 only 27% of them stated that it will not affect the sales. It was found that if company works on
 promotional activities there will be surely tremendous change on the sale.


 6 The preferring media for advertisement according to dealers
Table: 11
                Frequency Percent

  Newspaper           3             20          Table-11 and chart-16 explain that according to

     Radio                                      dealers promotional activities (advertisement) are
                      5             33
                                                done through media and that too hoarding is mostly
   Hoarding           7             47          preferred by customers. There are 47% of the
                                                respondents who said that hoarding is the best ways
     Total
                     15            100.0        of advertisement which is mostly observed by people.
                                                Hoarding   is   the   most   successful   media   for
 promotional activities because customers mostly look at the hoardings . If hoarding put on the
 choraha of village or semi village it can increase the visibility/ awareness of TATA Agrico
 product.


 7. Tata Agrico as brand
Table: 12
     1.
                Frequency        Percent


  Successful
                     13             87

     Un-
                     2              13
  Successful

     Total
                     15           100.0



    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                            23
Table-12 and chart-17 highlight that Tata Agrico as a brand is most successful, 87% of the
respondents felt that Tata Agrico is a successful brand. While the rest 13% of them said that it is
unsuccessful as a brand of Tata Agrico.


                                                8. Factor behind the Tata Agrico being a
Table: 13       Frequency        Percent
                                                successful brand
   Brand             6              40
    name                                          Table-13 and chart-18 state that   the reasons for
                                                success of the Tata Agrico products are because of
  Range of           2              13
                                                quality which 47% of the respondents accepted
   product
                                                whereas 40% of them said that it is because of brand
   Quality           7              47
                                                name of Tata and the rest 12% of them felt that it’s
                                                due to the product range.


                 Frequency        Percent      Unsuccessful brand
 Table: 14


 Promotional             4          28.5
   Activity

     Price            11            71.4




Table-14 and chart-19 show the reasons for unsuccessful. There are 73.4% of respondents who
said that price is the main cause of being unsuccessful as well 27% of them mentioned that
promotional activity is the main reason to be unsuccessful as a brand is negativily. It is observed
that the prices of the Tata Agrico products are very high which cannot be easily impact the
overall sales of TATA Agrico product.




    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                           24
9. Toughest competitor to Tata Agrico product
Table: 15

               Frequency         Percent

    SRG                                        Table-15 and chart-20 depict that SRG India is the
    India            9             60          toughest competitor of Tata Agrico. There are 60% of
                                               respondents who accepted that SRG India is the
   Kinger            2             13
                                               closest competitor of Tata Agrico.

   Hurkut            1              7


   Others            3             20




    Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                          25
Findings
During the research process it was found that majority of the customers expressed that the brand
of Tata Agrico products are successful but in reality the product brand of Tata Agrico has not
influenced enough to the customers for the following reasons.:
          •    It was found that at the time of their purchase the other brands had dominated
               much more with better promotional schemes and in affordable as compare to the
               Tata Agrico products.
          •    Unavailability of products of Tata Agrico in normal shop is another reason so they
               purchase whatever is present at that moment. Improving the distribution channel
               can positive the impact the sales Tata Agrico product.


Dealers even find the brand to be successful but because of some reasons:
           • Tata Agrico is not promoting the products.
               • Price is very high as compared to the other competitors.
               • Service provided by the distributors is not good in the Jamshedpur region.
               • Dealer’s incentive is very less.
As discussed above there are many factors which are taken into consideration while making a
decision to purchase the product like:
           •   Quality
           •   Price
           •   Brand image
           •   Durability and performance
Above these factors are disturbing the sales, but in the case of Tata Agrico they have better
concert in all above thing excluding the price, the price of implements is more than the
competitor .


In competitive market scenario promotional activities is an important part of the management
strategic but Tata Agrico is lacking in this activity. They are not engaged as like according to the
market demand so it has to work on this.


SWOT Analysis of the company
   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                            26
Strength
       •   Best distribution channel in India,
       •   2500 retail outlets,
       •   Cash business,
       •   Wide range of products,
       •   Outsource business,
       •   Brand loyalty,
       •   Quality assurance,
       •   Never comprise with quality and weight
Weakness
       •   Billing problem
       •   Delay in goods supply in some region,
       •   High price as compared to competitors
Opportunity
       •   Export in all over country
       •   Grabbing African market
       •   Increase basket of product
       •   Educate customers for best uses of Agrico products
Now these day’s people are becoming more aware as far as brand value is concerned, so it’s a
good time to create awareness of Tata brand among them.


Threats
       •   Direct marketing (competitor provide direct marketing facility to dealers )
       •   Competitor products are more attractive with good finishing and packaging
       •   Competitor product are available at much lower price than Tata Agrico product
       •   The biggest threat for Tata Agrico is the tendency of retailers to advocate the
           customer to switch over to the brand due to lower price of the brand and great margin
           in them.


Chapter - 6: Summary and conclusion
From the field survey it has been assessed that branding has become the most important element
of the marketing function in almost all industries. Brand management is the process, by which

   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                        27
Tata Agrico can outshine its competitors, can create customer loyalty and add corporate value on
brand. In the current competitive markets, brands have become to be identified as an intangible
asset that can be revenue generating in the long term.


Being the oldest player dealing with Agrico products in the market as well as being a business
unit of the successfully running Tata group, Tata Agrico has gained brand image in the market.
But as the business scenario is changing with inclusion of more number of competitors, Tata
Agrico has to upgrade the brand management continuously. It has maintained an appreciable
quality of the product, but it has to give more attention on distribution channels, promotions like
dealers and customers incentive, advertising, rural marketing and especially on pricing.


If Tata Agrico manages its brand image in the market and represents itself as a national brand by
fulfilling all the factors that discussed above, it can run its business successfully and thus can be
a leading agricultural implement player in market.


In order to maintain the quality of the product TATA Steel has signed an agreement with their

EPA’S(External Processing Agents), giving them full support to standardize their processes,

methodology of inspection, and quality system, by giving them regular training.




Recommendations
   •   Tata Agrico should initiate its marketing activities across all over India to increase the
       visibility of Tata Agrico brand.




   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                            28
   •   While delivering its product to customer Tata Agrico can give gifts like pen, key rings,
       diaries, letter- pad etc with the name Tata Agrico engraved on it to promote customer
       loyalty.
   •   Launch lucrative and incentives scheme which can motivate dealers.
   •   Educate the customers about the genuine Tata Agrico product through product
       communication campaign.
   •   Protect the brand and differentiate it from spurious product.
   •   Concentrate on rural marketing through wall painting and hoarding.
   •   Create awareness about the brand across the country through regional advertisements in
       agricultural programmes through Radio, TV, and Newspapers.
   •   Tata Agrico should work for a new restructuring process by which it can keep itself very
       competitive in the market. The company should arrange its manufacturing units across
       India to decrease its transport costs so that it can bring down its total manufacturing costs
       easily and can tap Indian market efficiently.




References
Information’s were collected from internet site, books and library for primary data collection.
Books
   •    Philip Kotler & Kevin Lane Keller, (2009), Marketing Management (13th Edition), PHI
       Learning private Limited, New Delhi.

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   •    C R Kothari, (2004), Research Methodology, (Second edition), New Age International
        Publisher Limited, New Delhi.
   •    Donald R Cooper, (2003), Business Research methods, (Sixth edition),pub.place


Internet site
    •          < http://www.tatasteel.com/company/default.asp>, Retrieved on 28/6/2009,7:00
    P.M
    •          <www.google.com>, Retrieved on 3/07/2009,6:00 P.M
    <http://www.tataagrico.com/about.shtm & products.shtm>, Retrieved on 4/07/2009,7:00
    P.M
    •          <www.expressindia.com>, Retrieved on 7/07/2009,2:00 P.M


Library
        •   Shavak Nanavati Technical Institute (SNTI) Library
        •   Tata Management Development Centre (TMDC) Library




Annexure
I. Questionnaires for customer’s perception about agricultural tools

 Title of study: - Detail Market Study of Sales of TATA AGRICO Product in JAMSHEDPUR.
 Customer’s name:                                                 Occupation:
 Address:

   Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                   30
1) Which agricultural tools you are using?
     Hoes                                             Shovels
     Pick-axes                                        Hammers
     Sickles                                          Crowbars
     Garden Tools


2). Are you aware of Tata Agrico products?
     Yes
     No
3) Are you a user of Tata Agrico product?
     Yes
     No
(If no then go to Q.No.11.)
4) In Tata Agrico brand which sub-brand do you use?
   Tata Hoes                                         Tata Shovels
   Tata Pick-axes                                    Tata Hammers
   Tata Sickles                                      Tata Crowbars
   Tata Garden Tools

5) What do you think is the toughest competitor to Tata Agrico?
     SRG group
     Kinger
     Hurkut
     Any other
Please specify why? .........................................
6) Are you satisfied with the Tata agrico products?
     Yes
     No
    If No, why? ............................................
7) What influence your decision while buying Tata Agrico Product?
     Brand image                                               Reliability
     Durability                                                Quality


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      Appearance                                         Price
      Any other? Please specify……………………………..

8) Have you seen any promotional campaign of Tata Agrico?
       Yes
       No
If yes which one you have seen mostly?
       TV advertisement
       Outdoor hoardings
       Road show
       Media interview
       Any other? Please specify………….
9) Do the various schemes associated with Tata Agrico affect your purchase?
       Yes
       No
10) Would you suggest any changes for Tata Agrico product in the following field?
       Availability
       Style of packaging
       More schemes to be associated with the brand
       Pricing
       Quality
       Any other? Please specify …………………….
11)     Why not Tata Agrico?
       Price
       Quality
       Packaging
       Fewer schemes as compared to other brand
       Any other, please specify? ...................................
12) Which Brand do you prefer to buy?
       SRG Group
       Kinger Group
       Hurkut Group
       Any Other? Please Specify? .................................
      Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                            32
13) What influence you to buy your preferred brand?
          Your colleague                                   Advertisement
          Price                                            Quality
          Self-experience                                  Any Other? Please Specify……………………..

14) If your preferred Brand is not available then you go for…..
       First choice ……………………………
       Second choice ………………………...
15)     How frequently are you purchasing these tools?
       Monthly
       Quarterly
       Half-yearly
       Yearly.
16). what is the quantity of purchasing at a single time?
       (1-5)
       (6-10)
       (11-15)
       More than 15.
17) Most preferred brand among people you know?
       SRG group
       Hurkut Group
       Kinger Group
       Tata Agrico
       Any Other? Please Specify………………….
18) Do you agree with the punch line of Tata Agrico – A Bond of Trust?


II.Questionnaires for Dealer’s perception about agricultural tools
Title of study: - Detail Market Study of Sales of TATA AGRICO Product in JAMSHEDPUR.
Shop’s name:
Dealer’s name:
Address:
      1. Relationship with company since…………year.


      Xavier Institute – XIDAS, Jabalpur, Madhya Pradesh                                    33
2. Purchase monthly/half yearly/yearly


3.      Sales     turnover      (Rs):     monthly…………….        /   half   yearly……………/
     yearly……………….


4. Which of the following TATA AGRICO products do you have?
        a. Sickles
        b. Hoes (Powrah) - West India, East India, others………..
        c. Crowbars-           (22 mm , 25 mm , 29 mm, 32 mm )
        d. Shovels-           (Square Nose No. 4, Square Nose No. 6, Round Nose No. 4)
        e. Pick-Axes(Kudalis)- (14 CP/DP, 13 CP, 12 CP, 11 CP)
        f. Hammers-            (Double-Face ,Sledge Hammers)
        g. Garden tools
        h. Khurpa
        i. Tiller shoe
        j. Steel files
        k. Bill hook
5. In which season, which product sales the more?
     ……………………..


6. How do you purchase these products?
        a. By company directly
        b. By distribution channel
        c. Other


7. Name of the distributor?
     ……………………………………………………
8. Are you satisfied from current distribution services or behavior?
        a. _____ Yes _____ No


1. If not then what you want?



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2. What is customer’s primary reason for buying or wanting to use TATA AGRICO
    product?
            ____ Price ____ quality____ brand ____ qult.&brand ____ guarantee ____ other

3. What improvements can company make to their offering to better meet customer needs?

4. Do you face any demand & supply shortage problem? _____ Yes _____ No

5. In which product you find the most defects?
   …………………………………………..

6. Do/did you face any difficulties in replacing the defective goods/product?

7. Do you want any showroom /Depo of TATA Agrico products?

8. Do you require any promotional activity of TATA Agrico?

9. Which companies pose the greatest threat?

10. How do they differentiate themselves?

11. Do you believe that our competitors’ prices are high? _____ Yes _____ No

12. Are there any other services you would like to have offered?




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