INTRODUCTION

What is Amway?
A privately held company based in Ada, Michigan, USA, founded in 1959, by Rich
Deosand !ay an Andel"A global direct selling leader that offers consumer products
and business opportunities in more than 1## countries and territories $orld$ide" Sister
company of Access %usiness &roup 'A%&( and Alticor )orporate *nterprises
'A)*("Am$ay, A%& and A)* comprise the Alticor family of companies" +n the fiscal
year of ,#1,, reported sales of US -11". billion"
Amway Leadership:
Office of the Chief Execti!e/ Steve an Andel0)hairman Doug Deos12resident
"oard of Directors: 3amily Members and 4utside +ndustry 5eaders
#isio$ of Amway:
%e&pi$' peop&e &i!e (etter &i!es:
4ur )ustomers
4ur Distributors
4ur *mployees
4ur *mployees
4ur 6eighbors
7hrough our products, services and opportunities
1
Amway "si$ess Opport$ity
5o$ ris8 and lo$ cost opportunity to run a business based on one9s o$n needs
and priorities
7rusted business plan recogni:ed as a benchmar8 model for direct selling
Supported by high0;uality consumable products
<orld0class infrastructure and logistics
Amway Research a$d De!e&opme$t
)rodct De!e&opme$t =
More than 9## scientists, engineers and technical professionals $or8 in >5 R?D and
;uality assurance labs $orld$ide @## patents granted, and more than 5## pending
Tech$ica&*Re'&atory Affairs =
Responsible for $orld$ide product compliance, registration and safety Revie$s and
approves product concepts, ingredients, specifications, claims Revie$s and approves
product concepts, ingredients, specifications, claims
+a&ity Assra$ce ,
2artners $ith our suppliers to provide $orld class ;uality to our customers =+ncludes
Supplier Auality Development, &lobal 3ield Services and 2rocess Auality +mprovement
Affiliate ;uality representation present in all maBor mar8ets"
Amway )rodct Dema$d
-&o(a& )rocreme$t ,
,
,##> Supply )hain )ouncil A$ard <inner for &lobal Supply )hain *Ccellence )ontrols
over -, billion in annual spending Supplier re;uirements, scorecards and analytical
reporting available at $$$"supplier"am$ay"com"
.pp&y Chai$ )&a$$i$' ,
Scheduling, material planning, manufacturing operations and inventory planning 2laces
purchase orders $ith suppliers based on agreed0upon terms 2laces purchase orders $ith
suppliers based on agreed0upon terms 2rovides feedbac8 on supplier performance
)ro/ect 0a$a'eme$t ,
5eads the +dea to Mar8et '+7M( process designed to bring high0;uality, innovative and
cost0 competitive products to mar8et +ncludes the Documents and Design team
responsible for development and maintenance of pac8aging art$or8 and manufacturing
documents"
Amway .pp&ier .e'me$tatio$
A&&ia$ce )art$er ,
Supplier relationship is critical to Am$ay9s long0term success "+ntegrated involvement in
each parties9 activities,
-&o(a& )referred 1 )referred .pp&iers 2re'io$a&3 &oca&4 =
Supplier relationship is important to Am$ay9s success, and difficult to replace
)ollaborative involvement in each party9s activities" A Dglobal preferred9 supplier can
supply a maBority of Am$ay9s global mar8ets
Appro!ed .pp&ier =
Supplier relationship is considered Dstandard9 Activities are coordinated on a limited
basis"
0a$dated .pp&ier ,
.
Sourcing decision is made by a )ontract )ustomer, not Am$ay "Activities are
coordinated on a limited basis"
)ro(atio$ary .pp&ier =
Supplier is either ne$ to Am$ay 'probationary evaluation period(,or supplier is
performing sub0par 'probationary period for improvement( "Supplier can provide eCisting
items, but no ne$ items $ithout pre0approval"
Reco!er =
Supplier offering, performance andEor behavior is deemed a ris8 to Am$ay "Am$ay to
commit significant resources to short0term performance improvement, ris8 mitigation,
andEor supplier replacement activities"
"si$ess Li$es
6utrition
%eauty
Durables
Fome care
Ntritio$
6utriliteis the $orld9s 6o" 1 selling vitamins and dietary supplements brand" 'based on
,#1# sales( 6utriliteis the only global vitamin and mineral brand to gro$, harvest and
process plants on its o$n certified organic farms )ombines the best of science and the
G
best of nature to build ;uality and value into all of its products build ;uality and value
into all of its products
=Top5se&&i$' NUTRILITE prodcts i$c&de/
D4U%5* HI itaminEMineralE2hytonutrient
Daily Multivitamin and Multimineral
)oncentrated 3ruits and egetables
2rotein 2o$derE6utri2rotein
itamin ) 2lus
Jids )he$able MultivitaminEMultimineral
"eaty
Artistry is among the $orld9s top five, largest0selling, premium s8incare brands
More than ,5# products available in more than 5# countries generating more than
US -1 billion in annual sales
At the forefront of technological developments in cosmetics research and
formulations
2ersonal )are = salon ;uality hair care products featuring the uni;ue )eramide
+nfusion SystemK repairs strengthens and protects in one use
%ody series family line of soaps, deodorants and lotions
&lister brand oral care products
Dra(&es
e.)RIN-:
5
3irst in0home $ater treatment system to combine ultraviolet light technology $ith a
patented multi0stage carbon0bloc8 filter
=Destroys more than 99"99L of $aterborne, disease0causing bacteria and viruses in
drin8ing $ater"
AT0O.)%ERE Air )rifiers:
*ffectively removes up to 99"99L of airborne
*ffectively removes up to 99"99L of airborne particulates that are dra$n through the
system"
iCOO6* A0WA7 +UEEN:
)oo8$are
2remium0grade materials and precision manufacturing provide years of superb coo8ing
performance and durability
>
O(/ecti!es of the stdy
7he main purpose of the study is to 8no$ the S<47 of Am$ay industries in gha:ipur" +n
the present competitive environment it is very crucial to every business firm to ensure
satisfaction to its customers and made gro$th in business" According to one survey it $as
found that it costs five times more to attract a ne$ customer than to retain an eCisting
customer" So $ith all these parameters ta8ing into consideration one can say that it is very
important to provide goods and services that satisfy customers needs or $ants irrespective
of the industry or scale of the business in $hich a firm is operating"
Fere the main purpose of the report is to 8no$ the various factors Bust li8e
promotional activities, pricing strategy, easy to access and also R?D that are very
important in satisfying the customer9s needs and to 8no$ ho$ companies are ensuring its
gro$th" 7he eCpectations of customers are vary from one customer to the other customer"
3or eCample some customers are only concerned about the services that they are getting
in Am$ay but at the same time there are some other customers $ho are very specific
about the ;uality by Am$ay products and some other parameters" +t is very difficult to
any business firm to satisfy all the eCpectations of all customers but there are some
common factors that are essential to fulfill"
M
7he follo$ing are the obBectives of the report
7o 8no$ about the Am$ay in gha:ipur city"
7o study about the Am$ay products and its services
7o study the promotional strategy ? effect on Am$ay in gha:ipur"
7o find the eCtent of brand loyalty of consumers that eCists among different
Am$ay products in gha:ipur"
7o identify ho$ the brand building helps in meeting the customers9 eCpectations
to meet their satisfaction and investment obBectives"
7o study the influence of various aspects on buying behavior" 7hese factors are/0
5 price 8 ;uality 5 %rand name ? others features"
7o study the S<47 analysis of Am$ay products in gha:ipur"
@
Importa$ce of the stdy
7he importance of a proBect report is follo$ing"
7he study $ill help to 8no$ that $hat additional features ? $hat facilities should
be increase"
)ustomer is satisfied $ith the product and services provided by companies or he
is dissatisfied"
+t helps in identify reason behind dissatisfactions"
7he importance of study is that it is helpful to ma8e future policy of the company"
+t is important to create a ne$ plan for products ? services in future $ith uni;ue
;uality ? facilities that $ill be preferred by the customers"
7o 8no$ the factor behind purchase of Am$ay products"
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7o 8no$ the recent technologies and gro$th rate of Am$ay industries in
&ha:ipur"
.cope of the stdy
7he scope of this proBect is the study the product ;uality and gro$th of the company" +t
covers a $ide range analysis of the company that $hat 8ind of product ;uality services
has been provided by the company, $hat are the ;ualities of products, $hat are the
satisfaction level of the customer by the of the company, $or8ing and promotional
process of the company, Fo$ the company satisfy the customer by its product"
7his study also shed light on the relationship of company $ith customers" 7he study also
covers the behavioral pattern of company employees $ith the customer at the time of
complains for any product and ho$ they provide service to them and satisfaction
according to choice of Am$ay in &ha:ipur"
7he response of the centre to$ards the customer also covered in this study" After analysis
the researcher comes to 8no$ that the customer response centre gives good response to
each and every complaint and do its best of satisfy the customers by its service and
products provided by the Am$ay industries in &ha:ipur" After analysis the researcher
1#
comes to 8no$ that the recent technologies and gro$th rate of Am$ay industries in
&ha:ipur"
Research 0ethodo&o'y
Research in a common language refers to a search of 8no$ledge" Research is scientific ?
systematic search for pertinent information on a specific topic, infect research is an art of
scientific investigation" Research Methodology is a scientific $ay to solve research
problem" +t may be understood as a science of studying ho$ research is don9t
scientifically" +n it $e study various steps that are generally adopted by researchers in
studying their research problem" +t is necessary for researchers to 8no$ not only research
method techni;ues but also technology" 7he scope of Research Methodology is $ider
than that of research methods"
7he research problem consists of series of closely related activities" At times, the first step
determines the native of the last step to be underta8en" <hy a research has been defined,
$hat data has been collected and $hat a particular methods have been adopted and a host
of similar other ;uestions are usually ans$ered $hen $e tal8 of research methodology
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concerning a research problem or study" 7he proBect is a study $here focus is on the
follo$ing points/
Research Desi'$:5
A research design is defined, as the specification of methods and procedures for ac;uiring
the +nformation needed" +t is a plant or organi:ing frame$or8 for doing the study and
collecting the data" Designing a research plan re;uires decisions all the data sources,
research approaches, Research instruments, sampling plan and contact methods" The
stdy was descripti!e 9i$d of research:
Research design is mainly of follo$ing types/
;5*Cploratory research"<5Descriptive studies"=5)ausal studiesE*Cperimental studies
;: Exp&oratory research:5
7he maBor purposes of eCploratory studies are the identification of problems, the more
precise 3ormulation of problems and the formulations of ne$ alternative courses of
action" 7he design of eCploratory studies is characteri:ed by a great amount of fleCibility
and ad0hoc veracity
"<: Descripti!e research:5
Descriptive research in contrast to eCploratory research is mar8ed by the prior
formulation of specific research Auestions" 7he investigator already 8no$s a substantial
amount about the research problem" 2erhaps as a Result of an eCploratory study, before
the proBect is initiated" Descriptive research is also characteri:ed by a 2replanned and
structured design"
=: Casa& stdies*Experime$ta& stdies
1,
A casual design investigates the cause and effect relationships bet$een t$o or more
variables" 7he hypothesis is tested and the eCperiment is done" 7here are follo$ing types
of casual designs
a" After only $ith control design
b" %efore after $ith control design
c" %efore after $ithout control design
d" )onsumer panel design
e" *C0post facto design
Research Design has been classified into four subsections they are/
;:Sample selection and si:e<"Sampling procedureN="Data collectionN and Analytical tools
.amp&i$' )rocedre
7here are basically t$o methods of sampling/0
)ro(a(i&ity samp&i$'
+t is also 8no$n as random sampling" Under this sampling design every item of the
universe has an e;ual chance of inclusion in the sample" +t is, so to say, a lottery method
in $hich individual units are pic8ed from the $hole group not deliberately but by some
mechanical process" Fere it blind chance alone that determines $hether one item or the
other is selected" 7he results obtained from probability sampling can be assured in terms
of probability"
1.
No$ )ro(a(i&ity samp&i$'
6on 2robability sampling is that sampling procedure $hich does not afford any basis for
estimating the probability that each item in the population has been included in the
sample" +n this type of sampling, items for the sample selected deliberately by the
researcherN his choice concerning the items remains supreme"
>or the stdy the co$smers are se&ected (y the co$!e$ie$ce samp&i$'
method: 7he selection of units from the population based on their easy availability and
accessibility to the researcher is 8no$n as convenience sampling
Data Co&&ectio$ method
Data Co&&ectio$ 0ethod
)rimary .eco$dary
Direct personal +ntervie$
+ndirect personal +ntervie$ &ovt" publication
+nformation from correspondents Report )ommittees
Mailed ;uestionnaire ? )ommissions 2rivate 2ublication
Auestion filled by enumerators Research +nstitute
1G
2ublished Sources Unpublished Sources
7he tas8 data collection begins after research problem has been defined" 7here are t$o
methods for data collection"
)rimary data
2rimary data may be described as those data that have been observed and recorded by the
researcher for the first time to their 8no$ledge"
.eco$dary data
Secondary data are those data $hich have been already collected and analy:ed by some
earlier agency for its o$n useN and later the same data are used by a different agency"
3or the present study, the survey method $as used for collecting primary data" A
structured ;uestionnaire $as used for the purpose" 7he ;uestionnaire included multiple
choice ;uestions"
A$a&ytica& Data
7he data thus collected, $as tabulated, interpreted and analy:ed $ith a vie$ to ma8e the
study meaningful" +n the present study, hypothesis testing, percentage, fre;uency and
cross tabulation methods have been used for analysis"
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Limitatio$s of the Research
1" 7his report covers $hole +ndia gro$th of Am$ay industries in gha:ipur, $hich is
very difficult to get"
," +n a rapidly changing industry, analysis on one day or in one segment can change
very ;uic8ly" 7he environmental changes are vital to be considered in order to
assimilate the findings"
." Sometime the gap of communication $as come in bet$een the interaction"
G" 7he time available to conduct the study is littleN it being a $ide topic has a limited
time"
5" 5imited resources are available to collect the information about the Am$ay
industries in gha:ipur"
1>
>" An Am$ay industry in gha:ipur is so much volatile and it is difficult to forecast
anything about it"
M" Some of the aspects may not be covered in my study, its gives 8no$ledge about
trading of Am$ay industries in gha:ipur in small prospects and its challenges"
@" Reforms allo$ed increased integration bet$een domestic and international
mar8ets, and created a need to manage ris8"
1M