REPORT

Assessment of market performance of JK cement and designing strategies for enhancement

CONTENTS CHAPTER NO. 1 2 3 4 5 6 7 8 9 DESCRIPTION INTRODUCTION ABOUT CEMENT MARKETING DEPARTMENT INDUSTRY & MARKET SCENARIO RESEARCH METHODOLOGY SWOT ANALYSIS FINDINGS AT A GLANCE SUGGESTIONS LIMITATIONS PAGE NO. 2-6 7-12 13-18 19-24 26-27 27-29 29-30 31-32 33

ANNEXURE-1 ANNEXURE-2 ANNEXURE-3

QUESTIONNAIRE-1 QUESTIONNAIRE-2 BIBLIOGRAPHY

CHAPTER-1

INTRODUCTION

1.1 1.2 1.3 1.4 1.5 1.6 1.7

ORIGIN & DEVELOPMENT OF J.K.CEMENT COMPANY PROFILE PLANT LOCATION PRODUCT SALIENT FEATURES QUALITY PARAMETERS ACHIEVEMENT

CHAPTER-1 1.1

INTRODUCTION

ORIGIN AND DEVELOPMENT OF J.K.ORGANIZATION

The founder to whom J.K organization owes. its name was a Father son, Late Lala Jhuggilal Singhania and Late.. Lala Kamlapat Singhania. They started their business activities from Kolkata as financial investors over 100 years ago in 1887. in 1914 they shifted towards the Cotton textile industries at Kanpur (U.P.) Today in India. J.K Organization occupies a place of pride in industrial. and commercial. Fields . The Singhania family struggled over last two centuries and

contributed to the economic and social growth of India. In the process of industrialization. They attend the present place of destination among the top industrial pioneers of the country. M/S J.K.Cement works is a division of J.K. Synthetics Limited. Kanpur a member of J.K.Organization. Which is a multi product and multi unit company with diversified operation in synthetic fibers, Cement plants (gray & white) , Power generation etc. M/S J.K. synthetics Limited established their first gray Portland cement plant based on dry process technology at Nimbahera in the year 1974 The main aim to set up the plant was to fulfill the demand of cement in the country. The main reason of establishing this plant in Nimbahera was easy availability of raw materials (Limestone) in sufficient quantity. The whole Maarwad Malwa belt is carrying plenty of Limestone i.e. primary raw material for cement manufacturing. Then first kiln of this plant was started at 900 tons per day ( TPI) and subsequently the capacity was increased by addition of two more kilns f 1200 TPD 1350 TPD & 3400 TPD in 1979 . 1982 & 1988 respectively. In 2002. new Grey Cement plant was installed at Mangrol with initial production capacity of 2500 TPD. Today Nimbahera plant production is around 7000 TPD and Mangrol plant production is about 3000 TPD contributing to total production of 10000 TPD. J.K.Cement has been awarded by ISO -9000 . ISO-9002 and ISO-14000 & OHSAS18000.

1.2

COMPANY PROFILE

1.2.1 PLANT LOCATION : J.K. Cement works is located at Nimbahera , District Chittorgarh , ,Rajasthan, Nimbahera is situated 30 K.M. south of Chittorgarh and connected to Jaipur by meter gauge railway line. udaipur the nearest domestic airport is 100 K.M. southeast of Nimbahera by rail and road. It is well connected with , Indore ,Chittorgarh , Ajmer , Jaipur, and Gujrat etc. The plant is approximately 2 K.M. away from Nimbahera railway & bus station.

1.2.2 PRODUCT: J.K.Cement works Nimbahera is leading producer of Ordinary Grey Cement and Blended Cement, Plant was set up in technical assistance with M/S F.L.smidth of Copenhagen. Denmark and started commercial production in 1974 with an initial production capacity of 900 TPD and subsequently upgraded in phase to 7000 TPD. 1.2.3 SALIENT FEATURES: -

First dry process plant in India. Latest Process Precaleinator technology for clinker Unit II was first PLC controlled cement plant in India. Most advanced and sophisticated central control room for entire process control from one point. On line quality control by X-ray analyzer. Computerized maintenance management system extended to stores, purchase sales. account personnel function etc. Continuous on going process of training & development at Regional Training Centre (North) Nimbahera.

1.2.4 QUALITY PARAMETERS: J.K.Cement Nimbahera is using the latest dry process precalicination technique is its plant. This teehnique incorporates a five stage precheater, Precalcinator. air swept vertical roller mills and electronically controlled packaging machine. The major produced grade is Sarvashaktiman 43 grade cement. It is also an ISO 9002 certified manufacturing company. a certificate given by Lloyed. Register of quality assurance U.K.

Cement has different quality parameters which can be classified broadly in two categories Chemical and physical generally cement is of three different grades i.e. 33, 43, 53 based upon cements 3.7 or 28 days compressive strength. J.K. Cement is pioneering in 43 grade cement because of its quality consciousness.

1.2.4 ACHIEVEMENTS : National award for highest production in 1978. 104% production in 1990-91. Record production 1.86 million tons against capacity of 1.50 million tons per annum. Power consumption reduced to 115 Units per ton of cement in spite of multiple and old units. Now it has touched as low as 100 units per tone. Specific heat consumption achieved up to 760 Kilo Calorie per Kg. of clinker. Selected as one of the lead plant by world bank & DANIDA for setting up the Regional Training Centre. Received ISO 9002 certificate for manufacturing and marketing of White as well as Grey cements both in 1995.

PRODUCT

SPECIFICATION RAW MATERIAL TRADE NAME TRADE MARK PRODUCT GRADES

GREY CEMENT LIME STONE & GYPSUM SARVSHAKTIMAN VIJAYSTAMBH 43,53 AND PPC

PACKING CAPACITY M.R.P. (Table -1)

50 KG.PER BAG Rs.210 TO 230 PER BAG

CHAPTER-2

CEMENT

2.1
2.2

CEMENT , TYPES OF CEMENT MANUFACTURING PROCESS

CHAPTER -2

Cement can be defined as a substance, which can join or unite two or more pieces of some other substances together to form a unit mass.

In this way cement is a building material. Today different types of organic compounds mixtures are also available as a building material e.g. Pidilite, Feviquick, Fevicole etc. But in general Hydraulic Cement is used for construction and other (bricks, other solids etc.) purposes. 2.1 TYPES OF CEMENT There are several types of hydraulic cement available. Major categories areHydraulic Limes Natural Cement Portland Cement

Out of these categories , the Portland cement is the most important and extensively manufactured in India. Portland cement is so common that we call it simply cement. Portland cement is composed of Tricalecium Silicate Diacaleium Silicate Teracalcium Silicate and Teracalcium Aluminoferrate

These substances are essentially present in cement. Presence of more or less of the above constitutes in the Portland cement imparts the different properties required for different properties required for different types of cement such asOrdinary Portland cement(OPC) manufactured at NIMBAHERA .J.K.Cement plant Moderate heat PC Rapid hardening PC Low heat PC. Sulphate resisting cement Oil well cement White cement

There are also some natural or man made inorganic complexes which mixed with Portland cement clinker gives cement more suitable for certain jobs. These compounds are Pozzolanas. Slag, Limestone and Sandstone;

2.3

MANUFACTURING PROCESS Every manufacturing process starts with the procurement of raw

materials. For production of cement the raw materials required areLimestone Laterite Gypsum and Clay

Lime stone mainly contains calcium carbonate. Which is the major component of cement. Laterite contains iron oxide and Clay provides silica as well as alumina. Gypsum helps in increasing the setting time of cement. There are three production lines involving five significant manufacturing stages namely crushing. raw mill grinding. Clinkerisation. cement grinding and packing.

At Nimbahera plant Limestone is produced by open Cast Miting . First the holes of 6-8 ft. are drilled and then they are filled with explosive ( e.g.ANFO as a stimulant + some other explosion sensitive material). Afterwards the blasting takes place and rocks of different sizes are out. These rocks are then loaded in Dupmpers so as to dump it into Crusher Hopper storing place of raw material for a short period). From hopper the material (rocks of not more than 1x1 meter size) is fed in to crusher by feeder. Crusher reduces the size up to certain fixed level but finally secondary crusher gives it final size that is of appprox. 25 mm. The crushed limestone is then stacked in Limestone stockpiles by stacker according to low grade and high-grade limestone. Then the Reclaimed blends the limestone and provides homogenous grade of Limestone. Then this bland of

Limestone is conveyed to gantry yard of limestone hoppers through belt conveyer from gantry yard/ hoppers blended limestone as well as Literate is fed into raw mill with the help of EOT cranes The material is discharged from hoppers to raw mill by rotary feeders though belt conveyers grinding. In raw mill, the material is ground as fine powder. This fine powder is called as raw meal. This raw meal is then sent O Silo (a big cylindrical tank) for homogenization. This Silo is called as Blending Silo. Because Blending of Raw Meal is extracted from bottom of silo by Fluxo channels and converyed to passage hopper by screw conveyer, from where the material goes to weighing belts by Elevator and air slide. Fixed quantity then goes to F.K. Pump by air slide and excess material goes back to weighing hopper F.K.pump feeds this material to preheated tower which consist of Cyelones (Conical shaped from bottom) and Raiser duets.

The height of this tower is approximately 70 meters. All the Cyelones and Raiser ducts get heat from the Rotator kiln with the help of high capacity preheater fan which diverts mainly the waste gases and thus reduce energy requirements. A portion of raw meal is preheated in the preheater tower At this stage the temperature profile given belowTEMP.(DEGREE CENT.) 350 To 380 560 To 600 700 To 760 820 To 840 CYCLONE Ist 2nd 3rd 4th Here the Limestone is partially converted into Calcium Oxide. Others chemical reactions take place inside the kiln as from precheater the material goes to Rotator Kiln. The Rotatory Kiln is the heart of cement plant because it is completely responsible for cement clinker production and the quality of the cement.

10

The kiln rotates with the help of electric motors. From inside the kiln is completed insulated with heavy duty fire bricks (Refectory bricks) . Which protects the metallic surface of the kiln from getting overheated. According to the temperature profile, the kiln is divided in to following three zones. ZONE Coohng Zone Calcining Zone Burning Zone TEMP.(Degree Cent.) 850 to 950 940 to 980 1350 to 1450

To heat up the kiln fine coal powder is injected though jet from the outlet side of kiln and this way material is converted into clinker coal is fed from coal yard into coal hopper by front end Loaders and then crushed in coal crushers. Which finally conveyed to coal mill?

The coal power is then stored in coal bin. The coal powder of a prescribed particle size is extracted from bin by coal screw. This coal comes into burner pipe with primary air fan. Coal powder is burnt inside the kiln with flame zone nearer to outlet side. Burning Zone the hottest zone of the rotatory kiln where the temperature reaches up to 1450-degree centigrade. At this temperature, chemical reaction takes place. Reaction is Exothermic (releases heat when takes place ) so the liberation of heat occurs. Calcium Oxide rates with silica so the formation of Dicalcium Silicate takes place and finally Dicalcium Silicate racts again with Calcium Oxide to form Tricalcium silicate. Which is the final form of cement clinker.

From the clinker yard. Clinker and Gypsum are fed into respective hoppers though E.O.I. crane. They are fed to the cement mill in prescribed proportion though electronic E.O.I. feeder and subsequently conveyed with the help of belt conveyer up to cement mill. Cement mill is the tube link structure which is loaded with balls of

11

different sizes as grinding media balls grinds the material into fine powder which is called Cement from Cement mill the cement is stored with the help of Fluxo pump which is the pneumatic Pressure Pump cement is extracted from bottom of silo though Fluxo channels and conveyed to elevator by serew conveyer Elevator feeds this cement into packaging hopper though rotatory screen. Packers till 50 Kf. cement into Gunny / H.D.P.E. bags and these bags are coveyed to railway wagon and trucks by Rubber belt conveyer (RBC) and these bags are arranged in Wagons/ Trucks manually.

CHAPTER -3 3.1

MARKETING DEPARTMENT

MARKETING DEPARTMENT SET-UP

12

3.2 3.3 3.4

SALES DEARTMENT SET-UP DEPOTS OF DIFFERENT STATES DESPATCH MODE

MARKETING DEPARTMENT SET UP AND DISTRIBUTION NETWORK 3.1 MARKETING DEPARTMENT OF J.K. CEMENT: DIRECTOR

VICE PRESIDENT (MKTG.) KANPUR H.O. D.G.M. & Sr.Manager Works At H.O. GUJRAT MAHARASTRA HARYANA DELHI

RAJASTHAN MP GM(MKTG.) REGN.MGR. (JAIPUR) (INDORE)

UP PUNJAB ,J&k SR.MGR. SR.MGR. (GAZABAD) (CHANDIGARH) RGN.MGR. (AGRA)

(Fig-2)

SALES DEPARTMENT SET UP AND DISTRIBUTION NETWORK 3.2 SALES DEPARTMENT NIMBAHERA PLANT:

13

V.P. (WORKS) AT NIMBAHERA PLANT G.M.(WORKS)

D.G.M.(MKTG.)

Sr.Manager (MKTG.)

MANAGER (MKTG.)

Dy.Manager (MKTG.)

ASST.MANAGER (MKTG.)

SR.OFFICER (MKTG.)

OFFICER (MKTG.)

OTHER STAFF MEMBERS

(Fig-3) DEPOTS 3.3 DIFFERENT DEPOTS OF DIFFERENT STATES: 1. Gujrat: Three Depots

14

- Ahemedabad - Baroda - Himmatnagar 2- Rajasthan : In Rajasthan there are four Transit offices which are not actually depots . The cement is generally sent to these offices as and when it is convenient. These are the storage places. - Balabala (Jaipur) - Chanderia (Chittorgarh) - J.S.Raod (Jaipur) - Kishangarh - Bikaner Alwar Bhilwara Udaipur Kota Ajmer

3- Punjab , J&K : Six depots (all are in Punjab there was a depot in jammu but it was shut down before some time). - Bhatinda - Chandigarh - Jalandhar - Ludhiana - Mohali - Patiala 4- Haryana Eleven depots - Ambala - Bhiwani - Faridabad - Gurgaon - Hissar 5- U.P. : Four depots - Agra - Gaziabad - Mathura - Meerut -Karnal - Rewari - Rohtak - Sirsa - Sonipat - Jind

15

6- Delhi : One depot only - New Delhi 7- M.P. : Two depots - Indore - Neemuch 8- Maharashtra : One depot only - Mumbai

TRANSPORTATION 3.3 MODES OF DESPATCH There are mainly two modes of transportation are available. One is Railways and another is Roadways. A) BY RAILWAYS:1- By M.G. Wogons: 2- By B.G. Wagons: wagon 3- By Containers: Generally there are two contains in one wagon with each having capacity of 550 bags. 4 Wheelers Capacity is 377 bags per wagon 8 Wheelers- Capacity is 746 bags per wagon In CRT wagons Capacity is 550 bags per wagon In BCX & BCN wagons Capacity is 1100 Bags per

B) BY ROADWAYS:Trucks are the only transportation medium on roads. Some trucks are dedicated trucks. Means the truck owner is totally dedicated to the company and his truck

16

carries the cement as per companys convenience as and when required. We can assume these trucks as company owned. There are approximately 40 trucks of these types. The capacity of a truck is 180-740 bags for different types of trucks big or small. The process of dispatching in the case of trucks begins when a Dispatch instruction (DI) is given by the sales & Marketing department . According to order received. to the truck transporter and he takes it in to the packaging department where instructed quantity is handed over to the truck. Foe dispatching the goods by Railways. Sales department also prepares a DI according to which packaging department loads the goods into railway wagon and a Railway receipts ( RR) is given to packaging department by railway office which it sends to sales department. RR shows the detail what quantity railway has taken from the company. Excises duty 408 Rs. per ton of Cement Sales Tax 19% inclusive service Tax

CHAPTER -4

INDUSTRY & MARKET SCENARIO

4.1

NATIONAL PERSPECTIVE DEMAND AND SUPPLY PATTERN

4.2

17

4.3

PRESENT SCENARIO OF J.K. CEMENT IN BIKANER PRESENT BUSINESS DETAILS LAST FIVE YEAR BUSINESS DETAIL ZONE WISE DESPATCH PLAN

4.3.1. 4.3.2 4.3.3

CHAPTER -4 4.1 NATIONAL PERSPECTIVE

INDUSTRY & MARKET SCENARIO

Cement industry in India has grown steadily science independence. The growth in the industry has followed the pattern of economic growth. i.e. moderate to low growth during the fifties. the sixties & the seventies and high growth during the eighties and nineties. Diagram -1 depicts the movement of cement production alongside the movement of national income during the last twenty-three years.

18

Since the decontrol of cement. the industry shows the typical symptoms of free market conditions. where producers build capacities ahead of demand in the expectation of netting the demand explosion. 4.2 DEMAND AND SUPPLY PATTERN In the cement industry demand is represented by actual consumption hence these two terms are used interchangeably. Cement consumption growth in the country, over the last decade has exhibited a strong correlation to the GDP growth with an elasticity of approximately 1.37 times. i.e. a growth of 1% in the GDP correlates to a growth of 1.37% in cement consumption. The future growth in cement is calculated based on assumption of the expected GDP growth rate. This methodology however does not take into account. The impact of any unforeseen event like earthquakes or cyclones on cement demand. The following table depicting the GDP growth rates foe future years. The effective growth rates also takes into account the mini cement plant dispatches. which are assumed not to grow.

(Table -2 ) Year GDP growth rate (%) 5.0 6.0 6.0 6.0 6.2 6.2 Cement Consumption growth rate (%) 6.0 7.5 8.2 8.2 8.5 8.5 Dispatches Dispatches large mini plants plants (Mio t) (Mio t) 95.6 6.1 102.77 6.1 111.20 6.1 120.31 130.54 141.60 6.1 6.1 6.1 Total Consumption (Mio t) 148 137 126 117 109 148 Effective growth rate (%) 5.9 6.8 7.3 7.7 8.7 8.0

2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007

Production projections are based on the estimated maximum achievable production of existing and expected plants in the future year.

19

Estimates of future capacity additions are based on media announcements regarding the future plans of cement players. The future outlook of the Indian cement industry is depicted in the following graph. The graph provides a comparison between national demand and the production for the next six years.

Graph -1

20

D E M A N D V /S P R O D U C T IO N

160

140

120

100

M I O T O N N E8S 0 DE M AND 60 PROD.

40

20

0 DE M AND PROD.

2 0 0 1 -0 2 102 109

2 0 0 2 -0 3 108 120

2 0 0 3 -0 4 117 132 YEAR

2 0 0 4 -0 5 126 139

2 0 0 5 -0 6 137 143

2 0 0 6 -0 7 148 146

Hence from the above comparison total demand will exceed the total production if no capacity. other than already announced is added. 4.3 PRESENT SCENARIO OF J.K. CEMENT STATUS IN BIKANER , 2005 4.3.1PRESENT BUSINESS DETAILS: Market potential Annual demand Market Share Price of cement 60,000 MTN/annum 2,80,000 TN/ annum 12% 210-230 per bag

4.4 LAST FIVE YEAR BUSINESS DETAIL OF J.K. CEMENT

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(Table 3) YEAR 2000-01 2001-02 2002-03 2003-04 2004-05 2005-2006 PRICE PER BAG (Rs.) 124 129 120 124 140 165 DEMAND TN/ANNUM 640000 640000 750000 835000 860000 120000 FRT.RATE RS./TN 348 366 360 390 380 410 DISCOUNT PER TN. (RS.) 150 160 175 160 180 200

The pictorial view is given below: Graph 2 & 3

Graph-2
400

350

300

250

VALUES IN Rs.200 PRICE 150 FRT. DISCOUNT 100

50

0 PRICE FRT. DISCOUNT

2000-01 124 348 150

2001-02 129 366 160

2002-03 120 360 175 YEAR

2003-04 124 390 160

2004-05 140 380 180

2005-06 162 395 185

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G rap h -3

1000 900 800 700 600 T N./ANNUM 500 DE M A ND 400 300 200 100 0 DE M A N D

2000-01 640

2001-0 2 640

2002-03 7 50 YEAR

2003-04 835

2004-05 86 0

2005-06 920

4.3.3 IN RAJASTHAN ZONE WISE DESPATCH PLAN WITH RETENTION FOR THE MONTH JULY -05 ZONE QTY. DEMAND (MT) 15000 12000 13000 11400 9000 60400 (Table 4) AVG.RATE AVG.FRT AVG. AVG. PER BAG PER BAG DISCOUNT RETENTION RS. RS. PER BAG RS. RS. 141 10.5 8 1501 143 20.5 8 1373 143 19 8 1398 145 26 8 1314 148 28 8 1331 143.65 19.93 8 1393

SOUTH CENTRAL WEST EAST NORTH TOTAL

Graph -4

23

DEMAND(IN 00,S) IN DIFFERENT ZONES IN RAJASTHAN

NORTH, 90, 15%

SOUTH, 150, 24%

EAST, 114, 19%

SOUTH CENTRAL WEST EAST NORTH CENTRAL, 120, 20% WEST, 130, 22%

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CHAPTER -5 5.1

RESEARCH METHODOLOTY

THE RESEARCH OBJECTIVES ARE :

1. To find out the brand performance of J.K. Cement in the market.

2. To find out the problems of dealers and retailers in business with this brand/Company 3. To find out the scope of expansion of business by providing more new dealership.

5.2

ADOPTED RESEARCH METHODOLOGY AS FOLLOWS: Dealers -3 Retailers 37 Contractors-10 Total 50

Sample size

Sampling unit Sampling Procedure Research design Data collection method Date source Research instrument Type of questionnaire Type of questions Area covered Contractors

Bikaner Judgment sampling Exploratory Survey Primary data Questionnaire Structured Close and open ended Dealers Retailers and

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CHAPTER -6

SWOT ANALYSIS

S-STRENGTHS
-J.K.Cement possess good brand image in the existing market which is definitely a part of pavement brick for it. Location has always been an important factor. in Rajasthan extensive (about 2500 MT) of cement grade limestone available. Older plant and has a well known brand name in market. Good plant having 10,000 tons per day production capacity.

W-WEAKNESSES
-Low sales as compared to market potential. The market potential of the

Bikaner market is high but as compared to it the stake of J.K. Cement is low. -Lack of self enthusiasm in the working pattern of the executives as a result the aggressiveness towards sales is low. High complaints of quality deterioration in J.K. super brand. Less advertisement and negligible sales promotion schemes as compared to other brands. Monopoly of dealers is affecting the sales.

O-OPPORTUNITIES

26

 -Exposure of quality. which is already good but not displayed in market. -More advertisement. Competitive prices. Making good dealers and penetrate the market up to retailer level. May increase the discount and margin structure for retailers and dealers.

T-THREATS
-Some dealers are available at present which were not reputed / efficient. -Other companies advertising policy. -Price fluctuation and price war which is a general phenomenon in this cement industry. -Quick availability/ Supply of cement of other cement industries are creating threat for J.K. cement.

CHAPTER -7

27

FINDINGS AT A GLANCE -

Good brand image of J.K.Cement in existing market. Low sales as compared to market potential. which is around 12% of the total Bikaner market. Vikram, Binani,& Ambuja have maximum market shares viz. 15% ,14%,14%, respectively. Price of J.K.Cement is very high ( approx.4-5 Rs. per bag) with respect to other companies. Transit time is higher from depot to stockiests to warehouse as compared to other major cement companies. Lack of sales aggressiveness. Pricing policy of company is not stable. It change very frequently and without any prior information. Due to this customer are switching over to other brands. there is a big problem of loading of goods. customer has to wait for a long time for loading. Company neglects the semi dealers/retailers and has no certain policies for them. Company has attention only on dealers. Profit margin given by company is less and no any promotional schemes for retailers and semi dealers. Less advertisement of the product as compared to other company Quality deterioration complaints in J.K. Super cement. -High black particles found which are insoluble in water. - Setting time is higher than other cement of same category.

Lack of self-enthusiasm is working patterns of executives. Improper communication between executives and dealers & other parties. No facility for removal of complaints from the side of dealers/ retailers on

time. There is a need of a depot at Bikaner for timely delivery. There is a complaint from the side of retailers is that dealers deal customer

directly and sell cement on lower price. Due to this customer does not go to retailer and purchase from dealer. Thus retailers are not interested to keep stock of

28

J.K.Cement. They are switching over to other brands. It may have a big impact on the sale of J.K.Cement. 80% retailers are not happy with their business as they are getting low or

negligible margin and facing intense competition. Dealers are happy with their business (Only I dealer Friends cement suppliers fell that his business is not successful). Survey made clear that dealers have their monopoly over market and retailers are suffering.

CHAPTER-8

SUGGESTIONS

29

 A company would be wise to measure customer satisfaction regularly the key to customer retention is customer satisfaction. Company can increase the role of retailer by considering their suggestions or complaints about service or product so that necessary action can be taken. Review meeting should be often held so that the working pattern of the executives can be checked and improved if needed. Executives need to be more self-enthusiastic and aggressive towards sales, for these appraisals should be given to those executives who worked hard. Company representatives should visit retailers and should make a long-term relationship with retailer so that they can push the product. Since customers are value maximizes and their expectation to this brand is high, as the brand image shows their complaints should be attended immediately to make them remain brand loyal. It should be checked that the non-trade consignment is not sold in the market so that it does not disturb the retail price of the market. Since transportation forms the major part of the cement cost. Market potential of the region should be properly accessed so that emphasis can be more on high retention Zone. Which employing more authorized retailers can do. Stockiest should be convinced to pass the incentives to the retailers so that they are motivated to promote this brand. Company should increase the promotional and advertisement activities from giving the popularity to the product. Company should set the policy on pricing. There should be a certain time period from increment and decrement in the pricing. Company should also give the prior information for this to dealers and retailers. There should be proper loading facility in the plant and out side the plant. Delivery of goods should be on time. Top management and executives should maintain proper communication with dealers and retailers. Increase the number of dealers and retailers as this will help in making high sales volume. Cash discount should be competitive and luring. Try to remove dealers monopoly.

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CHAPTER-9

LIM

CHAPTER -9

LIMITATIONS

31

 The research conducted was limited to Bikaner city only.

Due to time constrains more time could not be devoted to individual respondent. Due to unwillingness of providing any information, the respondents filled the questionnaire casually which might have effected the consolation. Marketing manager being quite busy with his job. He was not able to spare enough time for our proper guidance. A busy schedule of dealers/ retailers also makes the collation of information a very difficult one. Full district was not covered, as this is very tedious job to be done in 7 days however almost all main areas of district were covered. The projection is purely based on verbal meetings and may be influenced by unprecedented factors. Non-co-operative behavior of respondent was a big problem in this survey. White studying the report the above fact should be taken into consideration.

ANNEXURE

QUESTIONNAIRE-1 QUESTIONNAIRE-2

32

BIBLIGRAPHY ANNEXURE-1 QUESTIONNAIRE-1

Name

of

the

dealer/retailer... PhoneEmail Address . Town CityDistrict

1-

No of years in Cement trades: -

2Brands dealing in: S.No. Name Brand wise sales (Per Month) B1 B2 B3 B4 B5 3Dealing with which company/dealer: Company .. Dealer .. Brand wise prices (Per Bag) Brand wise discount Structure

33

4- Are you regular customer of?

Company Dealer:

Yes Yes

No No

5-If No (Kindly give the specific reason): High price Quality High transportation cost Other reason

6- Your mode of payment (Please tick): - Cash - Credit - Both 7- Most demanded brand: 7(A) Why? 8. Market potential of demanded brand: 9. Which brand is more advertised? 10- Which type of advertising do you feel is the most effective? (Please tick) - Newspaper - Hoardings - Wall painting - T.V. Others

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11-Your suggestions (Please tick): (Sequence of brands as per the above table ) B1 * Publicity High Moderate Low B2 B3 B4 B5

* Pricing High Reasonable Big margin * Product Quality Good Average

Below average * Packaging Good Average

Belowaverage * Availability Easy Sometimes .. Hardly Available. 12For Multi brand seller: - Do you feel that your business is successful? (Please tick)

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Yes No If Yes then which brand do you think helped most in your success? If No than way?

13-

For mono brand Seller: Do you feel that your business is successful? (Please tick) Yes: No:

If No then do you think that your present brand in which you are trading is responsible for that? (Please tick) Yes: No: If Yes which brand it is and why do you feel so? 14Yes which brand it is and why do you feel so? 43 53 15Why it is so? 16Are you interested to take dealership of J.K.Cement? Yes No 17If Yes/No please mention the reason.

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 18General Problem faced by you in this trade: 19Any comments on J.K.Cement (Sarvasktiman) Thanking You

ANNEXURE-2

QUESTIONNAIRE-2

Pricing of cement according to consumers/contractor in Bikaner Name ..Occupation Phone No... Address . 1Which brand of cement did you buy at present/last time? 2J.K. (Sarvashaktiman) Binani Chetak Ambuja Shree Birla Vikram Other..

Which brand you suggest to consumer and why? (For contractor)

37

3-

Why did you choose that brand?

4-

How do you rate the quality of chosen brand? Very good Good Average Fair Poor

5-

Who has suggested you for that brand? ... ...

6-

From where you purchased? ... ...

78Rating 1 2 3 4 5 6 7 8-

Please give rating (Tick) to following according to your choice: J.K. Chetak Vikram Shree Binani Birla Ambuja

Your comments regarding J.K.Cement: ... ...

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Thanking You

ANNEXURE-3

BIBLIOGRAPHY

39

Kothari C. R. ; Research Methodology; Second Edition; New Age International (p) Limited, publisher; 2004 , pp. (1-229). European Journal of Social Kotler, Philip, Marketing Pearson Publishers, New Delhi. Magazines and Journals Business Today Business India India Today Journal of Organizational Behavior American Journal of Industrial Medicine Strategic Management Journal Psychology WWW.JKCEMENT.COM

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41