A Project Report On Business Exposure With references to Parle Products Pvt. Ltd. D Realization Media Pvt. Ltd.

Pune Europa Locks, Bhosari, Pune Volkswagen, chakan, Pune Submitted to University of Pune By
[Link] S.Y.B.B.M Roll no. 120066 Under guidance of Prof. Aishwarya Patil Through Smt. Kashibai Navale College of Commerce Erandwane, Pune-411004 (2012-2013)

Acknowledgement

I take this opportunity to express my profound gratitude and deep regards to my guide (Professor/Mentor Faculty Name) for her exemplary guidance, monitoring and constant encouragement throughout the course of this . The blessing, help and guidance given by her time to time shall carry me a long way in the journey of life on which I am about to embark.

I also take this opportunity to express a deep sense of gratitude to Company Mentor Name, Designation, Company Name, for his/her cordial support, valuable information and guidance, which helped me in completing this task through various stages.

I am obliged to staff members of (Company Name), for the valuable information provided by them in their respective fields. I am grateful for their cooperation during the period of my assignment.

Lastly, I thank almighty, my parents, brother, sisters and friends for their constant encouragement without which this assignment would not be possible.

Place:-Pune Date:-

BHAVIK PARMAR S.Y.B.B.M

INDEX
[Link] NAME OF THE INDUSTRY 1. Parle Products Pvt. Ltd. 2. 3. 4. Europa Locks Volkswagen Realization Media Pvt. Ltd. Page

Objectives:The Industrial visit was held considering certain aims and objectives to know following points regarding the industry: Companys Background Companys Management Companys Product Production Process And Techniques Quality Management Techniques Marketing and Distribution Strategies Safety Techniques

With the above points we could explore the different modes and means of production process at each and every stage also a brief study over quality management could b done.

INTRODUCTION
A long time ago, when the British ruled India, a small factory was set up by Mohanlal Dayal Chauhan in the suburbs of Mumbai city, to manufacture sweets and toffees. The year was 1929 and the market was dominated by famous international brands that were imported freely. Despite the odds and unequal competition, this company called Parle Products, survived and succeeded, by adhering to high quality and improvising from time to time. A decade later, in 1939, Parle Products began manufacturing biscuits, in addition to sweets and toffees. Having already established a reputation for quality, the Parle brand name grew in strength with this diversification. Parle Glucose and Parle Monaco were the first brands of biscuits to be introduced, which later went on to become leading names for great taste and quality.

Every nation dreams of a better tomorrow. And every nation's tomorrow lies in the hands of its children; the young stars who shape the future of the nation. So, it's important to nourish these young stars, after all it's a question of the nation's future. Filled with the goodness of milk and wheat, Parle-G is a source of all round nourishment. Treat yourself to a pack of yummy Parle-G biscuits to experience what has nurtured and strengthened millions of people for over 70 years. A meal substitute for some and a tasty and healthy snack for many others. Consumed by some for the value it offers, and many others for its taste. Whatever the occasion, it has always been around as an instant source of nourishment. Little wonder that it's the largest selling biscuit brand in the world.

Rs. 2, Rs. 3, Rs. 4, Rs. 5, Rs. 10, Rs. 20, Rs. 40 and Rs. 50

HISTORY
Parle-G or Parle Glucose biscuits, manufactured by Parle Products Pvt. Ltd, are one of the most popular biscuits in india. Parle-G is one of the oldest brand names as well as the largest selling brand of biscuits in India. For decades, the product was instantly recognized by its iconic white and yellow wax paper wrapper with the depiction of a young girl on the front. Parle-G has been a strong household name across India. The great taste, high nutrition, and the international quality, makes Parle-G a winner. No wonder, it's the undisputed leader in the biscuit category for decades. Parle-G is consumed by people of all ages, from the rich to the poor, living in cities & in villages. While some have it for breakfast, for others it is a complete wholesome meal. For some it's the best accompaniment for chai, while for some it's a way of getting charged whenever they are low on energy. Because of this, Parle-G is the world's largest selling brand of biscuits. Launched in the year 1939, it was one of the first brands of Parle Products. It was called Parle Glucose Biscuits. The incredible demand led Parle to introduce the brand in special branded packs and in larger festive tin packs. By the year 1949, Parle Glucose biscuits were available not just in Mumbai but also across the state. It was also sold in parts of North India. The early 50s produced over 150 tons of biscuits produced in the Mumbai factory. Looking at the success of Parle-G, a lot of other me-too brands were introduced in the market. And these brands had names that were similar to Parle Glucose Biscuits. This forced Parle to change the name from Parle Glucose Biscuits to Parle-G. Originally packed in the wax paper pack; today it is available in a contemporary, premium BOPP pack with attractive side fins. The new airtight pack helps to keep the biscuits fresh and tastier for a longer period. Parle-G was the only biscuit brand that was always in short supply. It was heading towards becoming an all-time great brand of biscuit. Parle-G started being advertised in the 80's. It was advertised mainly through press ads. The communication spoke about the basic benefits of energy and nutrition. In 1989, Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years. The goal was to spread joy and cheer to children and adults alike, all over the country with its sweets and candies. Since then, the Parle name has spread in all directions and has won international fame. Parle has been sweetening the lives of people all over India and [Link] from the factories in Mumbai and Bangalore, Parle also has factories in Bahadurgarh, Haryana and Neemrana, Rajasthan. These are the largest biscuit and confectionery plants in the country. Additionally, Parle Products also has 10 manufacturing units and 75 manufacturing units on contract. The company's slogan is G means Genius. The name, "Parle-G", is derived from the name of the suburban rail station, vile parle which in turn is based on village Parle in olden days (there is also area called Irle nearby where the parle agro production factory is based). This popular biscuit is primarily eaten as a tea-time [Link]-G is the largest selling biscuit in the world. It has 70% market share in India in the glucose biscuit category followed by Britannia, Tiger (17-18%) and ITC's Sunfeast (8-9%). The brand is estimated to be worth over Rs 2,000 crore (Rs 20 billion), and contributes more than 50 per cent of the company's turnover (Parle Products is an unlisted company and its executives are not comfortable disclosing exact numbers). Last fiscal, Parle had sales of Rs 3,500 crore (Rs 35 billion).

HOW PARLE FOUGHT TO MAKE BISCUIT AFFORDABLE TO ALL

Biscuits were very much a luxury food in India, when Parle began production in 1939. Apart from Glucose and Monaco biscuits, Parle did offer a wide variety of brands. However, during the Second World War, all domestic biscuit production was diverted to assist the Indian soldiers in India and the Far East. Apart from this, the shortage of wheat in those days, made Parle decide to concentrate on the more popular brands, so that people could enjoy the price benefits. Thankfully today, there's no dearth of ingredients and the demand for more premium brands is on the rise. That's why; they now have a wide range of biscuits and mouthwatering confectionaries to offer

THE STRENGTH OF THE BRAND

Over the years, Parle has grown to become a multi-million US Dollar company. Many of the Parle products - biscuits or confectionaries, are market leaders in their category. Today, Parle enjoys a 40% share of the total biscuit market and a 15% share of the total confectionary market, in India. The Parle Biscuit brands, such as, Parle-G, Monaco and Krack jack and confectionery brands, such as, Melody, Poppins, Mangobite and Kismi, enjoy a strong imagery and appeal amongst consumers. In this way, by concentrating on consumer tastes and preferences and emphasizing Research & Development, the Parle brand grows from strength to strength.

The Quality Commitment

Parle Products has one factory at Mumbai that manufactures biscuits & confectioneries while another factory at Bahadurgarh, in Haryana manufactures biscuits. Apart from this, Parle has manufacturing facilities at Neemrana, in Rajasthan and at Bangalore in Karnataka. The factories at Bahadurgarh and Neemrana are the largest such manufacturing facilities in India. Parle Products also has 14 manufacturing units for biscuits & 5 manufacturing units for confectioneries, on contract. All these factories are located at strategic locations, so as to ensure a constant output & easy distribution. Each factory has state-of-the-art machinery. All Parle products are manufactured under the most hygienic conditions. Great care is exercised in the selection & quality control of raw materials, packaging materials & rigid quality standards are ensured at every stage of the manufacturing process. Every batch of biscuits & confectioneries are thoroughly checked by expert staff, using the most modern equipment.

THE MARKETING STRENGTH

The extensive distribution network, built over the years, is a major strength for Parle Products. Parle biscuits & Sweets are available to consumers, even in the most remote places. Parle has nearly 1,500 wholesalers, catering to 4, 25,000 retail outlets directly or indirectly. A two hundred strong dedicated field force services these wholesalers & retailers. Additionally, there are 31 depots and C&F agents supplying goods to the wide distribution network. The Parle marketing philosophy emphasizes catering to the masses. They constantly endeavor at designing products that provide nutrition & fun to the common man. Most Parle offerings are in the low & mid-range price segments. This is based on their understanding of the Indian consumer psyche. The value-for-money positioning helps generate large sales volumes for the products. However, Parle Products also manufactures a variety of premium products for the up-market, urban consumers. And in this way, caters a range of products to a variety of consumers.

RAW MATERIAL USED

Wheat flour Sugar Partially hydrogenated edible vegetable oils Invert syrup Leavening agents (503 Baking powder) Milk solids Salt Emulsifiers (E 322 or E 471 or E 481) Dough conditioners (E 223) and contains added flavors.

PROCESS LAYOUT OF PARLE PRODUCTS LTD.

PARLE G is made at parle products ltd. at vile parle.

First of all the parle products buys RAW MATERIAL from the various suppliers and stored into the store room. This raw material is then sent to laboratory for testing and after testing only it is used for manufacturing. The raw material consist of Wheat flour, Sugar, Partially hydrogenated edible vegetable oils, Invert syrup, Leavening agents (503 Baking powder) Milk, solids Salt Emulsifiers (E 322 or E 471 or E 481) and Dough conditioners (E 223). Such a mixture of raw material is taken and mixed into STEPHAN MIXTURE, which is high power mixture machine. Specially made for mixture of dough, from which the mixture is passed to molder called ROTARY MOULDER. Through that molder approximately 10,000 come out in a minute. Molder had 260 cups fitted in it which gives shape to the biscuits and an impression embossed on it of parle-g. From rotary molder the dough is passed through a 260 feet long OVEN which is approximately 340* c. In oven there are three stages to be followed Removal of moisture. Building the structure of biscuits. Colorings of biscuits take place. From oven the hot biscuits are placed on the COOLING CONVYOR, which is 260 feet long and the biscuits continues to run on it for 5 to 7 minutes so that the biscuits become cool and all the moisture that biscuits contain gets evaporated. And because of the above reason the factory has S FLOW LAYOUT in the factory. The conveyor continues to move to COUNTING UNIT where biscuits are counted and seen that it is going on properly or not. The conveyor continues till the biscuits reach the STALKING TABLE at which the biscuits are packed in very orderly manner. From cooling conveyor sum biscuits are diverted through AUTO FEEDING MACHINE to another stalking machine where packing is done. From stalking table the biscuits are moved on conveyor to MULTI PACK WRAPPING MACHINE were 16 biscuits are packed into a regular parle g wrapper so that the weight of 16 biscuits comes up to 100 grams. Then 24 packets of parle g biscuits are packed into a POLY BAG. And after packing it into poly bag it is sent to SEALING MACHINE where it is sealed, Then it is sent to CORRUGATE BOX SECTION in which 6 poly bags are placed and then the boxes are kept on conveyor and sent to DISPATCH SECTION from where the biscuits are sent to various places in India and all over the world.

INVENTORY
The inventory of the company that is the raw material is of a week. They store such inventory in store room and then are sent for testing in laboratory and after testing it is sent for production.

SHIFTS

There is nearly 10,000 employees working in the company and are working in three shifts.35,000 tons of biscuits are manufactured in a day of one particular product, and there are such nine product manufactured in the factory.

WASTAGES
There are two type of wastage in factory. First is the waste materials fallen on ground. Such waste material is of 1% which is marginal and acceptable which goes into total waste. Second types of waste are the biscuit collected in tray of the multi-pack wrapping machine, since these biscuit are broken they are not packed and sold to the customer but collected in other tray and sold as broken pieces and sold for less price for cattle feeding.

LOOSE BISCUIT
On the stalking table one to two rows of baked biscuits are kept aside for selling it as loose biscuits. They are normally assumed to be damaged biscuits but they are not damaged or broken but company keep such loose packets of biscuits to sell it to the local people for marginal rate of 33 Rs / kg.

FOLLWING ARE THE MACHINERY USED IN MANUFACTURING

STEPHEN MIXER The Stephan TK Mixer is an ideal component to fully automatically feed the down-stream make-up equipment for biscuits, bread, rolls, buns, cake, sweet goods, cookies and crackers.

ROTARY MOULD

structure in corrosion-proof; anodized aluminumand Aisi 304 stainless steel satin stainless steel paneling

swivel wheels and support feet trays loader with automatic chain feed feeder roller anodizedaluminum 1.00 kW speed validator COOLING CONVEYOR The biscuit coming from stripping conveyor is directed on to the cooling conveyor to transfer the heat in the biscuit to atmospheric air as it is passing on it. The total travel of the cooling conveyor is 1.5 times the oven length. As per need specifications it need the travel of 150 ft. LAMINATOR Laminators are generally used for production of all kinds of hard biscuits, crackers and cocktail snacks. With laminator it is possible to create a puffy pastry-like structure, which is of decisive importance for the quality level and consequently for the sales success. Laminating of Dough band improves the weight/volume ratio considerably.

BISCUIT BAKING OVEN The oven body consists of steel steam tight tunnel with equally divided zones of the radiators. Stainless steel expansion joints are provided between these zones in order to eliminate the

expansion of the oven section. The inspection doors are provided for inspection of the baking

goods during process.

Baking System:
The baking in the heating chamber takes place by radiators located under and above the wire mesh band which distribute heat for uniform baking. The recirculation heating gases of these radiators can be controlled for each zone separately. The closed recirculation system is having slight vacuum so that combustion gases cannot enter into the baking chamber. The ventilating fan is for circulation of the heating gases through the recirculation system and thermostatically controlled burners provide the set temperature of the heating gases. ROTARY CUTTER The single head rotary cutter prints fine design on a continuously fed dough sheet and also cuts out the individual dough piece. The unit powered by 1.5KW helical geared motor and speed controlled by AC frequency controller. Drive is given to cutting roller only to accommodate different sizes of dies in this machine. COUNTING UNIT The counting unit counts and see that the biscuit making process is going fine or not, i.e. as per the program set in the machine, program is set as per the grams required. Generally 16 biscuits are taken by the counting unit so that it leads to 100 grams . MULTIPACK WRAPPING MACHINE This machine helps in wrapping the biscuits on the particular wrapper fixed on the roller of the machine. The wrapper is feed into the machine and the sealing of the wrapper is done by four heater roller, which is fitted on the machine. This heater roller heat up the plastic and seals the packet. And at the same time the jaw cutter cut the packet on the cutting edge marked i.e. as per the grams of the packet which is feed in the automatic machine (100 120, 120 150, 150 -170, 170 - 190). The packets coming out from the wrapping machine in a minute is programmed in computer and can be changed as per the need. POLY BAGS Poly bags contain 24 packets of parle g biscuits in one poly bag. There are 4 workers employed on this section who take care of the work by putting 24 packets of biscuits in the bag and forwarding it to sealing machine section. SEALING MACHINE

The sealing machine has heater rod for sealing the poly bag in which 24 packet of biscuit are placed, and it have a conveyer belt on other side so that when the poly bag passes through the heater and get sealed then it is passed to the tapping machine. TAPPING MACHINE Six such poly bags are placed in one such corrugated box and the box is passed through the tapping machine where are tapped and then sent through a long diversion conveyer belt. This belt helps to transfer the box to the dispatch section directly. 36 boxes are arranged on pallet in the dispatch section, from where they are transferred to the various dealers all over the India and worldwide

BRANDS:
1)BISCUITS:
[Link]

Life namkeen banaiye! When life hits a dull patch, just pull out a Parle Monaco to make it exciting. The light, crispy biscuit sprinkled with salt, is the perfect namkeen twist you can add to your ordinary boring moments. Go ahead, Life namkeen banaiye, anywhere, anytime with Parle Monaco. To spice up your life further, try the variant of Parle Monaco - The Zabardast Jeera. This salted, crispy biscuit delicately seasoned with jeera, has a unique taste that makes those namkeen moments even more exciting.

Monaco Classic Salted - Rs. 5 Rs. 10 Rs. 15 (New SKU) Rs. 25 Monaco Zeera - Rs. 10

[Link] & SEEK

Play a game of hide and seek with your taste buds. Indulge in the mouth-watering delight of Indias best moulded chocolate chip biscuits, Hide & Seek. All it takes is one bite, and you are transported to chocolate Heaven. Packed with a bounty of chocolate chips, once you try Hide & Seek, you will never want any other biscuit again. A treat for the mouth, and the heart, khate hi dil aa jaye!

Rs. 5, Rs. 10, Rs. 20, Rs. 30, and Rs. 50

2)SWEETS
[Link]

Caramel meets chocolate to yield an outcome nothing less than delectable. Parle Melody comes with an irresistible layer of caramel on the outside and a delightful chocolate filling within. Pop it in your mouth and relish the unique experience. It wont be too long before you find yourself asking the age old question Melody itni chocolaty kyon hai?'

Rs. 1

[Link] BITE

This was not only India's first mango candy, but even today, is the only candy with the richness of real, juicy sweet mangoes. Pop in a Mango Bite and you will want to make it last longer and longer, don't be in a hurry to eat it up. Take your time, roll it around on your tongue , feel the taste of real mango go down your throat and enjoy it very slowly Mango Bite candies; eat them anywhere, at home, at school, on picnics or with friends. But just remember, enjoy it veeeeerrryyy slooooowllllllyyyyyy Mango Bite is India's first mango candy with real mango Rs. 50 Paise

3)SNACKS [Link] WAFERS

Presenting Parle's Wafers. Made with the choicest of handpicked potatoes, it's lip-smackingly delicious, delightfully crunchy and comes in four exciting flavours - Masala Masti, Red Chilli Achaar, Classic Salted, Aloo Chaat, Cream and Onion, and Tangy Tomato. Grab one. Or grabem all. Whenever you want, wherever you please. We're sure you'll enjoy it from the very first chip till the very last.

Rs. 5, Rs. 10 and Rs. 2

[Link]

Make those everyday boring moments colourful! Just open a pack of Parle Namkeen. Made from the choicest ingredients, this crunchy, crispy snack is available in 5 mouth watering varieties. Along with the exciting taste, youre assured of topmost quality too! After all, Parle Products is known for its highest quality standards. So, pick your favourite Parle Namkeen snack aur Life Banaao Rangeen!

Rs.5, Rs.10 and Rs.20

Quality
The Care is taken at every step to ensure the best product of long-lasting freshness. Every batch of Biscuits, Confectionaries & Snacks are thoroughly checked by expert staff using the most modern equipment. This ensures consistent and perfect quality across the nation and abroad.

IMPORT EXPORT
The immense popularity of Parle products in India was always a challenge to their production capacity. Now, using more modern techniques for capacity expansion, we have begun spreading their wings and are going global. Parle biscuits and confectionaries are fast gaining acceptance in international markets, such as, Abu Dhabi, Africa, Dubai, South America and Sri Lanka. Even the more sophisticated markets like USA & Australia, now relish Parle products. As part of the efforts towards a larger share of the global market, Parle has initiated the process of getting ISO 9000 certification. Many Parle Products have also won Gold, silver and bronze medals at the Monde Selection.

CORPORATE SOCIAL RESPONSIBILITY:

As a part of Corporate Social Responsibility Policy Parle is keenly involved. In the overall development of younger Generation with focused endeavor. To build New Face of India and spread Happiness & joy all over.

PARLE G SUPPLY CHAIN

WEAKNESSES
The Company takes a lot of time in handling the UCA (Supply Chain Company)claims of the authorized wholesalers; this !eads to demotivation Warehousing norms are not followed, which accounts for high breakage The semi-sweet category accounts for the maximum turnover in the mass market-the Tiger Anytime being a member of this category is perceived as a tow quality product; this may liquidate Parle G 's brand equity in the mass market Parle G has positioned it's Tiger range on health and taste, but my findings showthat health consciousness in the mass market is low, which means that the brand isun de r -p osi t i on e d, s i n c e t he m a rk et do es n 't c on si d e r " h ea l t h1 as an i m p or t a nt benefit in biscuits Parle G 's strength is in mid, premium mid super-premium category; this market isapproaching a saturation point Parle G 's mass market is not segmented properly; Parle G cannot afford to go allout in the mass market, the best strategy would be to concentrate on thesesegments of the mass market, which will account for volume sales and require minimum investment P e rf or m a n ce - ba s ed i nc en t i v e t o m ot i v at e t h e s at e s s t a f f i s n ot ex i st i n g i n t heCompany Yearly incentives don't motivate the dealers of mass market brands

OPPORTUNITIES
Mass market is growing with established preference for biscuits Growing middle class in India can provide more opportunities for Parle G 's pillar brands Credit given to dealers will help Parle G in expanding the width of reach, b ywhich the company will have a volume advantage

 Taste plays an important role in mass market which can take care o f p r i c e sensitivity to some extent There is low differentiation in the mass market brands There is a fairly good market for a high count salty cracker variety and a creamcracker variety in the mass market

THREATS
De-reservation of the biscuit industry may attract foreign players who initially will try to attack the premium segment, which is already established for Parle G A characteristic feature of premium market consumer is that this segment is not brand loyal; therefore there is a chance of the consumers to shift to other brands inthe near/distant future Too much concentration in the mass market may affect the companies market inthis established segment Mass-market venture may account for this cannibalization A large number of competitors each having respective bold in different markets of the company's pillar brands will account for high contribution/orrir

CONCLUSION & RECOMMENDATIONS

Sales Promotional Offers helps the company t o i n c r e a se t h e ov e r
s al es o f t h e product under promotion because consumers tend to buy in ample amount due tosmall duration of the promotion and feel value for their money. But through these promotional schemes company earns less margin. It also helps in widening their consumer base i.e. it attracts new triers. It creates the brand awareness among the consumers about the newly launched product like Tiger cream. Products which are less popular among the consumers like Pepper Checker arealso get Promoted. It helps to increase the repurchase rate of the occasional buyers Since the promotions were designed for rural market and rural m a r k e t contributes to 70% of the total market hence attracting more consumers. And turnthem to loyal users It enhances brand image Since attractive promotion attracts consumers hence retailers push products under promotion rather than competitors products of same kind. Sales promotion also attracts brand switchers who are primarily looking for low price good value of premiums.57 Problems Stock out It was observed that most of the Promotional SKUs (Stock Keeping Unit) wereout of stock at most of the depots during the Promotional Period which has effected the total sales of these SKUs in these four regions tremendously. Non availaParle G ity of Freebies: It was observed that sometime during the Promotional Period the Freebieswhich has to be given with the main Product were not available. Due to their unavailaParle G ity the Promotion for that Particular SKU (Stock KeepingUnit) was not carried for that Period of Promotion. Allocation Problem: The

allocation was the most prominent problem during this Promotion. The stocks were not allocated in the Rural and Urban markets according to their Percentage area contribution. In some areas the stock was supplied more which was not in accordance with the Percentage area contribution of that region while in some very less stock was supplied as compared to their Percentage58 a re a c ont ri but i on . D ue t o t h i s m ost o f t h e t i m e m aj or p a rt o f t h e st o ck wa s dispatched in the Urban markets which has seriously affected the Rural sales. Dispatch Problem: There was no proper schedule for dispatching & receiving of orders [Link] the Stocks are Dispatched late by about a week from the depots dueto which the stock reaches late to the wholesalers and during that week the wholesalers face the problem of non availability and are left with very less or no stock to sell. Poor sale promotion skills: According to observations, sale was not promoted skillfu lly in most of the Regions. The retailers in these regions have not taken appropriate efforts so as to promote the promotional products skillfull .

Recommendations
As already discussed above, there are certain issues and flaws associated with Sales Promotion, so in order to implement it effectively and efficiently we would like to suggest certain recommendations to the company :Production department should make efforts to make available all of the product v a r i e t i e s i n t h e d e p o t n o r m w i s e . S o t h a t e a c h a n d e v e r y v a r i e t y s h o u l d b e available according to the generated order so as to meet the stock out problem. I recommend strong coordination between production and the sales department. So that a proper production forecast for each variety can be maintained by the production department. Proper allocation of the stock from the depot according to the Super stockists contribution so that neither there is excess stock in one region nor s tock outs in other. I also recommend to increase average number of lines so that all the SKUs (Stock Keeping Unit) are available in the market. Apart from setting overall target for all the SKUs (Stock Keeping Unit), there should also be individual SKU wise target so that RPDs and UPDs are able to make sales of unfamiliar products also. To increase the sales margin the price value of the main brand should be relatively higher i.e. around thrice of the Freebie for example instead of Rs10 pack of 50:50150G Freebie Pepper Checker should be given with Rs15 pack of 50:[Link] e re s hou l d b e a s ys t e m fr om w he r e di ff e r ent di st r i but o r s c an s ee t he s t o ck position of company and as well of other distributors. It will help the distributor in a way that if some distributors who wants the same. Contests like MERA RPD MAHAAN should be held every quarter.

INTRODUCTION ON INDIAN AUTO MOBILE INDUSTRY

a)INTRODUCTION

ABOUT THE STUDY

There are more than 125 Fortune 500 companies in India. India is an emerging global manufacturing hub for low cost cars. Changing demographics, rising disposable income and entry of several new players has expanded the domestic market for passenger vehicles. The industry turnover is estimated to reach a level of US $155billion by [Link] into the eastern India, Orissa has emerged as a key state with minerals and metals based metal based industry with the total Gross State Domestic Product (GSDP) about$26.6 billion in [Link] an economic-centre and capital of Orissa with tremendous potential many foreign companies are trying to grasp the opportunity by placing their different product targeting different income group. This project was done to access the brand image of one of the well known German brand VOLKSWAGEN and to analyse the need of degree of brand promotion in Bhubaneswar market. With the help of questionnaire targeting all potential sector of society a survey was done to measure brand awareness and satisfaction level of customer with their present car and many more aspects.

b) EXECTIVE SUMARRY

The study was done in the Bhubaneswar market and the main objective was to access the brand image of Volkswagen and simultaneously to analyse the need of degree of brand promotion in the Bhubaneswar market. Considering this around 14 questions were asked to more than 250 respondents and out of them 162 were noted down to analyse the every aspect of consumer perception towards automobile industry and Brand Volkswagen. Through the analysis and their attitude it was found that majority of population is price sensitive (48%) and after that mileage is second most concerned factor (41%).Looking for brand recognition around 78.12% people knows about brand Volkswagen. They also feel that VW needs more brand promotion. The study was done both in service (50%) and business sector (42%) and it was found that people in service sector are more familiar with VW than business sector which are not so much potential than later. People are doubtful regarding the service of VW in future. People who are using VW cars are not properly satisfied with the mileage of the car. Looking at the brighter side 88.32% people are dissatisfied with their present car that indicates a huge market scope in this sector and 94.18% people are eager to taste the German engineering on Indian road this shows that there is a good scope of VW in Orissa market if they over comes on me of their hurdles.

c)Introduction

o n I n d i a n a u t o m o b i l e industry

The Automobile industry in India is the seventh largest in the world with an annual production of over 2.6million units in 2009 In 2009, India emerged as Asia's fourth largest exporter of automobiles, behind Japan, South Korea and Thailand. By2050, the country is expected to top the world in car volumes with approximately 611 million vehicles on the nation's roads. Following economic liberalization in India in 1991, the Indian automotive industry has demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions. Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki and Mahindra and Mahindra , expanded their domestic and international operations. India's robust economic growth led to the further expansion of its domestic automobile market which attracted significant India-specific investment by multinational automobile manufacturers. In February 2009, monthly sales of passenger cars in India exceeded 100,000 units.

German engineering on Indian road this shows that there is a good scope of VW in Orissa market if they overcome some of their hurdles

Embryonic automotive industry emerged in India in the1940s

Following the independence, in 1947, the Government of India and the private sector launched efforts to create an automotive component manufacturing industry to supply to the automobile industry. However, the growth was relatively slow in the 1950s and 1960s dueto nationalisation and the license raj which hampered the Indian private sector. After 1970, the automotive industry started to grow, but the growth was mainly driven by tractors, commercial vehicles and scooters. Cars were stilla major luxury. Japanese manufacturers entered the Indian market ultimately leading to the establishment of Maruti Udyog. A number of foreign firms initiated joint ventures with Indian companies In the 1980s, a number of Japanese manufacturers launched joint-ventures for building motorcycles and light commercial-vehicles. It was at this time that the Indian government chose Suzuki forits joint-venture to manufacture small cars. Following the economic liberalisation in 1991 and the gradual weakening of the license raj, a number of Indian and multi-national car companies launched operations .Since then, automotive component and automobile manufacturing growth has accelerated to meet domestic and export demands.

EXPORT
India has emerged as one of the world's largest manufacturers of small cars. According to New York Times, India's strong engineering base and expertise in the manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing facilities of several automobile companies like Hyundai Motors, Nissan, Toyota, Volkswagen and Suzuki. In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to export 250,000vehicles manufactured in its India plant by2011. Similarly, General Motors announced its plans to export about 50,000 cars manufactured in India by 2011. In September 2009, Ford Motors announced its plans to setup a plant in India with an annual capacity of 250,000cars for US$500 million. The cars will be manufactured both for the Indian market and for export. The company said that the plant was a part of its plan to make India the hub for its global production business. Fiat also announced that it would source more than US$1 billion worth auto components from India

Rank wise Largest Automobile Manufacturers in India by Sales

1. Maruti Suzuki 2. Hyundai 3. Tata Motors 4. Mahindra 5. GM Chevrolet 6. Honda 7. HSD 8. Ford 9. Fiat| Fiat Motors 10. Volkswagens

INCLUDES: a) LITRATURE REVIEW b) INTRDUCTION ABOUT VOLKSWAGENGROUP c) DIFFERENT SUBSIDERIES OFVOLKSWAGEN d) HISTORY OF VOLKSWAGEN GROUP e) INTRODUCTION ABOUT BRANDVOLKSWAGEN f) HISTORY ABOUT BRAND VOLKSWAGEN g) INTRODUCTION ABOUT VOLKSWAGENINDIA h) ABOUT THE DEALER- BHARAT MOTORS

A )

L i t e r a t u r e

r e v i e w

MARKETING COMUNICATION:
Modern marketing is the management of the 4Ps - product, price, pl a c e, p ro m ot i on . I n a s e n s e o f e n t i r e m a r k e t i n g p ro c ess h as a l a r ge co nt en t o f com m un i c a t i o n. F o r i ns t a n ce , t h e p r o d u c t c o m m u n i c a t e s a distinctive image such, g l a m o u r o r p r e s t i g e . T h e b r a n d n a m e c o m m u n i c a t e s ph ysical and physiological attributes of the p r o d u c t . T h e p a c k a g e c o m m u n i c a t e s t o t h e m a n u f a c t u r e r t hi nks o f hi s c on ve ni e nc e a nd t h e si n c e o f b ea ut y. Thi s pri c e c o m m u n i c a t e s t h e e q u i t y o f t h e p r o d u c t . T h e s e a r e communication between buyer & seller i.e. the d i s t r i b u t i o n channel. Thus each elements of the marketing mix either helps or hinders communication and ultimately the sales effort. The marketing communication or promotion mix consists of five major tools: 1. Advertising 2. S al es p ro m ot i on . 3. Publicity 4. P e rs on al s el l i n g 5. P ubl i c r e l a t i o n.

THE GENERAL MEANING OF BRANDING

A brand is a product, service, or concept that is publicly distinguished from other products, services, or concepts so that it can be easily communicated and usually marketed. Branding is the process of creating and disseminating the brand name. Branding can be applied to the entire corporate identity as well as to individual product and service names. B r a n d s a r e o f t e n e x p r e s s e d i n t h e f o r m o f Logos , Graphic representations of the brand A co m p an y's b r and s an d t h e p ubl i c 's aw a r en es s of t h em a r e often used as a factor in evaluating a company. Corporations s o m e t i m e s h i r e m a r k e t r e s e a r c h f i r m s t o s t u d y p u b l i c recognition of brand names as well as attitudes t o w a r d t h e brands.

BRAND BUILDING:
The important factors that are affecting to build a brand value 1. Quality 2. Positioning 3Repositioning 4. Communication 5. First mover advantage 6. Long term perspective 7. Internal marketing.

Th e s e v ens m ai n f a c t or s i n bui l di n g su c c ess fu l b r an d as illustrate in the diagram given below

Quality: Qu al i t y i s a vi t al i n gr ed i e nt o f a goo d b r and . R em em b er t h e core benefits the things consumers expect. These must bedelivered well, consistently. The branded washing machine thatleaks or the training shoes that often falls apart when wet willnever develop brand equity.R e s e a r c h c o n f i r m s t h a t , s t a t i s t i c a l l y h i g h e r q u a l i t y b r a n d s achieve a higher market share and higher profitability that theirinferior competitors. Positioning:

Positioning is about the position a brand occupies in a market int h e m i n d s o f c o n s u m e r s . S t r o n g b r a n d h a v e a c l e a r , o f t e n unique position in the target [Link] can be achieved through several means, including b r a n d name, image, service standard, product guarantees,p a c k a g i n g a n d t h e w a y i n w h i c h i t i s d e l i v e r e d . I n f a c t s , successful positioning usually requires a combination of thesethings. Repositioning: Repositioning occurs when a brand tries to change its marketposition to reflect a change in consumers taste. This is often required when a brand has become a tired, perhaps because itsoriginal market has matured or has gone into decline. Communications: C om m u ni c at i o ns a l s o pl a y a k e y r ol e i n bui l di n g a su c c ess fu l brand. We suggested that brand positioning is essentially aboutc u s t o m e r s p e r c e p t i o n s w i t h t h e o b j e c t t o b u i l d a c l e a r l y defined position in the minds of target audiences.A l l e l e m e n t s o f t h e p r o m o t i o n a l m i x n e e d t o b e u s e d t o d e ve l op e d an d s ust ai n cu st o m e r s pe r c ept i on s. In i t i al l y, t he c h a l l e n g e i s t o b u i l d a w a r e n e s s , t h e n t o d e v e l o p t h e b r a n d personality and reinforce the perception. First-mover advantage: Business strategists often talk about first-mover advantage. Interms of brand development, by first-mover they mean that itis possible for the first successful brand in a market to create aclear positioning in the minds of target customers before thecompetition enters the market. There is plenty of evidence to supports this. Long-term perspe

It leads into another factor in brand-building. This needs toinvest i n t h e b r a n d o v e r t h e l o n g - t e r m . B u i l d i n g c u s t o m e r awareness, communicating the brands message and creating cu st om e rs l o ya l t y t ak e s t i m e . Thi s m e ans t ha t m a na ge m e nt must invest in a brand, perhaps at the expense of shorttermprofitability. Internal marketing: Finally management should ensure that the brand is marketed i n t e r n a l l y a s well as externally. By this we mean that the w h o l e b u s i n e s s s h o u l d u n d e r s t a n d t h e b r a n d v a l u e s a n d positioning. This is particularly important in service businesseswhere a critical part of the brand value is the type and qualityof service that a customer receives. Think of the brand that you value in the restaurant, hotel andretail sectors. It is likely that your favorite brands invest heavilyin staff training so that the face-to-face contact that you havewith the brand helps secure your loyalty. OBJECTIVE OF BRAND POSITIONING: In the below there are main objectives of brand positioning, 1. Marketing: This is where yo u state what youre setting out to [Link] is about changing minds. Marketing is about o v e r c o m i n g o b s t a c l e s t o t h e s e l l . A n o b j e c t i v e i s som et hi n g s p ec i fi c yo u w ant t o a c com pl i sh. S o a b r an d m a r k e t i n g o b j e c t i v e c a n b e t h o u g h t o f a s h o w y o u r e go i n g t o ch an ge cu st om e rs m i n ds a bou t t he o bs t a cl es t h a t a r e p r e v e n t i n g t h e m f r o m b u y i n g y o u r p r o d u c t . Example: The brand marketing objective for the [CAMPAIGN NAME] is to prompt a change in consumer attitude/perception. 2. Promise M a k e a o n e - s e n t e n c e p r o m i s e t h a t m a t t e r s t o y o u r customer, is unique to your organization or product andabove all believable. This promise should indicate whatthe product is and whom its for. 3. Brand Attributes : Th es e a r e wo rd s t hi nk t al ki n g p oi n t s f rom yo u r br a nd p r o m i s e t h a t a r e l e v e r a g e d i n y o u r b r a n d - b u i l d i n g communications. 4. Brand Category: Yo u r b r an d c at e gor y h el ps yo u fo c us o n w h er e yo u a r e competing, and where youre not. In case you dont knowyour category, ask your customers. Try to dominate yourcategory. 5. Brand Positioning: This is a one sentence positioning statement that shows h ow yo u a re di f f er e nt , bet t e r o r m or e sp e ci al t h an yo u r competition. This is the message you plan to

put into theminds of potential customers, consumers, etc. when theythink of your company or products. 6. Positioning Anchors: This is the evidence you supply to back up your promise ( es p ec i a l l y us e ful f or de ve l op m ent ). T hi s i nf or m a t i o n i s vital to your marketing efforts. 7. Advertising: Heres where you would list all of your a d v e r t i s i n g placements. This data would include the medium, vendor,d e s c r i p t i o n , s i z e , e x e c u t i o n d a t e , d u e d a t e , n u m b e r o f impressions and cost. These efforts should align with bothyour customers and brand message

8. Budget: De t a i l s ho w m u ch m on e y yo u a r e investing i n t hi s b r and positioning. NEED FOR BRANDING:

S ep a r at e yo u r b ra nd f rom yo u r c om p et i t ors i n a uni qu e way Relevant and motivating to your customers Prospects and channels-it gives you value and make youspecial. Enhance your perceived value, there by supportingp r e m i u m p r i c i n g , s h e l t e r i n g l o w p r i c e competition.

yo u

f r o m

Contributing to share holder value.(Companies l i k e M o r g a n S t a n l e y l o o k t o e v i d e n c e o f b r a n d s t r e n g t h i n setting buy ratings.) Provide resilience in times of negative press. Enable you to launch new products more quickly and cost effectively. THE ADVANTAGES OF BRANDING: Every product requires having identity or naming so that itcould be identified hence easy to process order.

Legal protection to features O n l y p r o d u c t s w i t h u n i q u e f e a t u r e s a t t r a c t c u s t o m e r s thats why branding facilities making customer loyal.

b) Introduction about Volkswagen Group Type Pubic Company AktiengesellschaftIndustry AutomotiveFounded GermanHeadquarters Wolfsburg, GermanyNumber of locations 61 production plants incountriesArea served WorldwideKey people Ferdinand k Piech (Chairman of thesupervisory board) Martin Winterkorn ( CEO andChairman management) Product Automobiles, commercialvehicle, enginesProduction output 6,054,829 units for sale in 153countries (2009)Services financial services Revenue 177 . 2 billionTotal equity 37.43 billionEmployees 368,500 (end 2009)Divisions Automotive Vehicle brandcompanies: AUDI AG,BENTEY AUTOMOBILESLIMITED,BUGATTI AUTOMOBILES,LAMBORGHINI,SEAT,SKODA AUTO,VOLKSWAGENPASSENGER CAR, VOLKSWAGEN COMMERCIALVEHICLES, SCANIA AB FIANANCIALSERVICES: VOLKSWAGEN FINANCIALSERVICES AG, VOLKSWAGEN EASINGGmbh OTHERS: LOGISTCS, MARINES, INTERNATIONALCOLABORATIONS

c)Different subsidiarie s of Volkswag ens

1948 onwards became a very important element,symbolically and economically, of West Germanregeneration Volkswagens were first exhibited and sold in the United Statesin 1949, but only sold two units in America that first year. On itsentry to the U.S. market, the VW was briefly sold as a "VictoryWagon". Volkswagen of America was formed in April 1955 tostandardise sales and service in the United States. Productionof the Type 1 Volkswagen Beetle increased dramatically overthe years, the total reaching one million in 1955. Product line expansion:Company did product line expansion from 1961 to 1973 withthe introduction of several Type 3 model, Super Beetle andseveral engine and structural [Link] 1964 it successfully added Audi brand and developed it asluxury vehicle marque. 1974: from Beetle to Golf/Rabbit Volkswagen was in serious trouble by 1973. The Type 3 and Type 4 models had sold in much smaller numbers than the

Beetle and the NSU-based K70 also failed to woo buyers. Beetlesales had started to decline rapidly in European and NorthAmerican markets. The company knew that Beetle productionhad to end one day, but the conundrum of replacing it hadbeen a never-ending nightmare. 1974 to 1990: entering the mainstream Volkswagen Polo, 1990 While Volkswagen's range of cars soon became similar to thatof other large European automakers, the Golf has been themainstay of the Volkswagen lineup since its introduction, andthe mechanical basis for several other cars of the company. There have been six generations of the Volkswagen Golf, thefirst of which was produced from the summer of 1974 until theend of 1983 (sold as the Rabbit in the United States andCanada and as the Caribe in Latin America). Its chassis alsospawned the Volkswagen Scirocco sport coupe, Volkswagen Jetta saloon/sedan, Volkswagen Golf Cabriolet convertible, andVolkswagen Caddy pick-up. Volkswagen Golf 2000 model

The Volkswagen New Beetle In 1994, Volkswagen unveiled the J Mays-designed ConceptOne, a "retro"-themed concept car with a resemblance to theoriginal Beetle, based on the platform of the Polo. Due to apositive response to the concept, a production version wasdeveloped as the New Beetle, based on the Golf's [Link] the late 1990s Volkswagen acquired the three luxury brands Lamborghini (through Audi), Bentley and Bugatti due toFerdinand Pich" strategy