A

PROJECT REPORT
ON
IS DIRECT MARKETING WELCOMED BY
IMPORT/EXPORT/SHIPPING COMPANIES?

A Summer Internship Project (SIP) done in

“MARKETING”

Submitted in partial fulfillment of the requirement for the award of degree of

Master of Management Studies (MMS) under the university of Mumbai
Submitted by
SHRUTIKA S PATIL
ROLL NO: 2018MMS097
BATCH: 2018-2020
Under the guidance of

DR. MANISHA DUBEY

Bharati Vidyapeeth’s
Institute of Management Studies & Research
Navi Mumbai

1
 (i)
ACKNOWLEDGEMENT

A compendium is never the work of one individual – more a combination

of ideas, suggestion and contribution involving many hands. My debts are
too numerous to be acknowledge individually. A large number of
individuals have contributed directly and indirectly in the completion of
this project. I am extremely thankful to Dr. Manisha Dubey. It is pleasure
to express my gratitude for the assistance received from her.
I would express my sincere gratitude to Dr. Anjali Kalse, In charge Director of
BVIMSR for giving me advice and guidance. It is my radiant sentiment to have
a deepest sense of gratitude to Mr. Omkar Vichare, Director of Midshipmite Pvt
Ltd and HR Ms. Pooja Patil and all the other staff for their precious guidance
which was extremely helpful for me during the entire period of internship.

Signature of the student

SHRUTIKA S PATIL

2
 (ii)

PLEASE PASTE HERE THE CERTIFICATE FROM THE COMPANY

3
 (ii)

< PLEASE PASTE THE CERTIFICATE FROM THE INSTITUTE on letter head as follows >

4
 (iii)

CERTIFICATE

This is to certify that the Summer Internship Project (SIP) titled “Is Direct
Marketing Welcomed By Import/Export/Shipping Companies?” is
successfully done by Ms. Shrutika Patil, a student of Bharati Vidyapeeth’s
Institute of Management Studies and Research, submitted in partial fulfillment
of Master of Management Studies under the University of Mumbai during
the academic year 2018-2020from 1st May to2nd July 2019 at Midshipmite
Recruiters Pvt Ltd, Belapur

Date:

Dr. Manisha Dubey Dr. Anjali Kalse

Project Guide I/c Director

BVIMSR BVIMSR

5
 (iv)
EXECUTIVE SUMMARY:

Midshipmite ship Management Company mainly is a ship broking firm, ship broking is a
financial service, which forms part of the shipping global industry. Shipbrokers are
specialist’s intermediaries/negotiators (ie. brokers) between ship owners and charterers who
use ships to transport cargo, or between buyers and sellers of various vessels.

With over 80 per cent of global trade by volume and more than 70 per cent of its value being
carried on board ships and handled by seaports worldwide, the importance of maritime
transport for trade and development cannot be overemphasized.

Midshipmite deals into shipping’s various sectors such as chartering, buying and selling of
vessels, buying and selling of containers etc.

Midshipmite operates in 6 continents which include India, UAE, Qatar, china, Singapore,
Indonesia, Sri Lanka, Vietnam, Philippines, turkey, Norway, Germany, Greece, Netherlands,
United Kingdom, Russia.

S&P brokers promote opportunities and discuss market trends with ship-owners, charterers,
investors and bankers, as well as reporting on market sales, vessel values, market trends and
activity.

When a shipowner has a vessel to sell or is looking for a vessel to acquire, he will search the
market completely for buyers or for suitable sales candidates, discuss with potential
counterparties or their broker the main points of the sale transaction and eventually negotiate
all of the details, usually based on a standard contract.

So mainly, the company has to find out the other companies who have any requirements
according to our various services, and try fulfilling them.

6
 TABLE OF CONTENTS
\

Acknowledgement .............................................................................. Error! Bookmark not defined.

Certificate From The Company ................................................... Error! Bookmark not defined.
Certificate From The Institute ....................................................................................................5
Executive Summary .........................................................................................................................6

Chapter 1: Introduction To The Project .......................................................................................9

1.1 Concept Of The Study ...........................................................................................................9
1.1 Introduction to the topic.......................................................... Error! Bookmark not defined.
1.2 Objective Of The Study:.......................................................... Error! Bookmark not defined.
1.3Scope of the study...................................................................... Error! Bookmark not defined.
1.4 Literature ReviewError! Bookmark not defined.1.5 Regulatory or Legal Aspects related to the topi
Chapter 2: Introduction To Industry ...........................................................................................22
2.1 Overview Of Integrated Marine Industry .........................................................................22
2.2 Marine Sector Analysis................................................................ Error! Bookmark not defined.
2.3 Major Players In The Industry ............................................. Error! Bookmark not defined.5
2.4 Current Scenario, Future Trends and Market analysis. .... Error! Bookmark not defined.6

Chapter 3: Introduction To The Company ..................................... Error! Bookmark not defined.

3.1 Direct marketing ...................................................................... Error! Bookmark not defined.
3.2 Swot Analysis............................................................................ Error! Bookmark not defined.
3.3 Pestle Analysis .......................................................................... Error! Bookmark not defined.

Chapter 4 Research Methodology .................................................... Error! Bookmark not defined.

4.1 Research Design ....................................................................... Error! Bookmark not defined.
4.2 Sources Of Data....................................................................................................................41
4.3. Data And Collection Tools Techniques .............................................................................41

Chapter 5: Data Analysis And Interprettion...............................................................................43

5.1 Survey Of Interviwed Companies. ....................................... Error! Bookmark not defined.4

Chapter 6: Conclusion & Suggestions.............................................. Error! Bookmark not defined.

6.1: Findings ................................................................................... Error! Bookmark not defined.
6.2: Suggestions .............................................................................. Error! Bookmark not defined.
6.3: Limitations .............................................................................. Error! Bookmark not defined.

7
 6.4: Conclusion ............................................................................... Error! Bookmark not defined.

Chapter 7: Learning Experience From The Project ...................... Error! Bookmark not defined.

Annexure............................................................................................. Error! Bookmark not defined.

Bibliography ....................................................................................... Error! Bookmark not defined.

CHAPTER NO 1: INTRODUCTION TO TOPIC:

8
 1.1: CONCEPT & SIGNIFICANCE & NEED OF STUDY

INTRODUCTION TO SHIPPING/SHIP MANAGEMENT INDUSTRY:

Ship: A ship is a large watercraft that travels the world's oceans and other sufficiently
deep waterways, carrying passengers or goods, or in support of specialized missions, such as
defense, research and fishing. Ships have been important contributors to human migration
and commerce. They have supported the spread of colonization and the slave trade, but have
also served scientific, cultural, and humanitarian needs.

Shipping industry/ship management industry: The shipping industry facilitates domestic

and global manufacturing and trade via transportation of commodities and finished products,
while also providing for the delivery of goods directly to consumers. Shipping is the most
cost-effective method of transportation of goods. Seaborne trade is about 90% of the total
world trade and seafarers contribute substantially by ensuring that this trade is continuously
performed as per schedule with minimum delays or loss to cargo, environment or life.

When a ship is purchase for importing and exporting various goods, a ship management
team is required to maintain and operate the vessels in a proper way. The function of the
management team is to provide the owner with support throughout the charter of the vessel,
occupancy or Vessels can range in sizes and function. (Marine Policy, 2006 – Elsevier)
Most management companies provide the owner or operator with crew on board. When the
ship comes out of the shipyard (where the ship is built) the management company takes it
over providing technical support to the owner. Most Management companies also offer other
services like inspection prior to purchase supervision during building, crew management and
supply and ship lay-up solutions.
About three forth of surface of earth is covered by water and there is long distance between
countries with raw materials and industrialized countries accordingly. The economy of scale
has resulted in development of large ships for carrying oil and also other raw materials so as
to keep the transportation costs low. There are different types of supply sides (TJ Holmes, JA
Schmitz Jr,2015 )

The supply side have 5 principle factors they are:

1. The world fleet: The size and composition of the world fleet clearly reflects the current
supply of vessels.
2. Fleet productivity: even though the size of the fleet is fixed, ship productivity provides an
element of flexibility.
3. Shipyard production: shipbuilding plays an active role in the adjustment of the fleet.
However, it usually takes between one and three years from the ship is ordered until delivery
takes place.

9
4. Scrapping: scrapping also plays a key role in fleet growth.
5. Freight earnings: Freight rates motivate ship owners to adjust their capacity in the short term
and to identify savings and improvement in the longer term.

SHIPBROKING:

Shipping is an international business. A person dealing with ship-chartering has to work with
various other conditions as per the international freight market. A large number of customs
and rules of the trade have been established in the years all over the world. These rules and
ethics are carefully followed by the practitioners worldwide; else it is not possible to do
business worth millions of dollars with parties across the world at short period of time and
with little knowledge. Chartering work is essentially a form of exchange of information. It is
a business where the right information at the right moment is essential to be successful.
(Jamieson Andrew, shipbrokers and the law 2015)

Everyone involved in chartering acts, to a large extent, as a judge, collector, and information
distributor. Ship broking can be seen as an information network; a network of people as well
as technology that facilitates to exchange information. A great deal of the information
consists of details on fixtures all over the world. (E Plomaritou, a Papadopoulos 2017)

"Making a fixture" means that the parties interested in a specific sea transport contract reach
an agreement through negotiations. The parties involved in a chartering deal are, on the one
hand, someone who owns, controls or operates a ship (as an owner, time-chartered owner or
disponent owner). We shall call him Owner for simplicity. On the other hand, there are
persons who require some cargo to be carried by sea transport between two destinations.
Normally (but not always) he is the cargo owner. Let us call him charterer.

Although many businesses may be aware that their goods or property need to be shipped by
sea and they may have heard the term “ship broking” they may not be aware of how the two-
tie in. In fact, few people are aware of what a ship broker does or how they help to facilitate
ocean freight shipping.

In the simplest of terms, a shipbroker is a person who is responsible for the transport of goods
by sea. They also arrange the buying and selling of ships on behalf of clients.

(D Fiotakis - Tul. Mar. LJ, 2009) Charterer can act as an owner when he controls the tonnage.
There can be various aspects as roles get redefined or can get complex. Ship-brokers
normally specialize in a specific segment of the market; be it dry cargo, chemical, passenger
vessels, RORO vessels etc. The various market segments have their own peculiarities and the
market behavior is also varied – forcing the practitioners to adopt specializations.

1.2: OBJECTIVES OF THE STUDY:

10
 To study about direct marketing in the organisation

 To study the effectiveness of direct marketing on multi-channel approach

 To study customer satisfaction and retention when direct marketing is applied

 To study application of direct marketing to communicate with the clients

1.3: SCOPE OF STUDY:

 To get understanding about the working of shipping industry

 To get familiar with the methodology used in connecting and expanding with global
counterpart

 To get knowledge about direct marketing and its application in

import/export/shipping industry

1.4: LITERATURE REVIEW

11
INTRODUCTION:

Indian shipping industry plays a crucial role in Indian economy. The economics of shipping
have been studied by various scholars (Buckley 2008; Karakitsos and Varnavides 2014;
Metaxas 1971; Stopford 2009; Talley 2011; Zannetos 1966), and they have contributed to the
literature by exploring the economics of shipping markets (new building, second-hand, scrap
markets, freights), freight fluctuations and the inter-relationship between the markets.
Shipping industry is been dealing with various commodities, new ships, second hand ships,
ships for demolition. These helps us in knowing how the market and how each shipping
dynamics works.

DIRECT MARKETING IN SHIPPING INDUSTRY:

Direct marketing is the most commonly used marketing technique in shipping industry,
mostly they are contacted through telephonic marketing or email marketing. Direct marketing
services are proved to be more convenient as they directly help to contact to the customers.
Our direct marketing service goes directly into our customer’s inboxes, telephonic call, via
email and post. Unlike banner ads, your maritime direct marketing campaigns can contain as
much information as you like so you can really explain the benefits of your products or
services.(RT Rust, TS Chung - Marketing science, 2006)

Responses are gathered using a very clear call to action.

How it helps
Direct marketing solution is a cost-effective way to:

 Build your own target audience

 Generate leads
 Measure effectiveness

1.4.1: CRM Theory:

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 A customer’s relationship with a shipping company involves prices, services, scope
of service, schedule, customer relations, company history, convenience, brand name and
value-added services (customer relationship management, Fransis Buttle and Stan Maklan,
2015), however the main distinguishing factors for customers comprise company history,
brand name, customer relations and value-added services.
Customer Relationship Management (CRM) is to create a competitive advantage by being the
best at understanding, delivering, communicating, and developing existing customer
relationships with each other and also in addition to creating and keeping new customers. It
has emerged as one of the largest managements.
CRM is very much important in B2B, as value of transactions and the volume of transactions
are much higher in B2B when compared to sales between various business houses to
individual customers.

1. To Manage Customers Better

But this all brings us to the main point- what is CRM and why is it so important in the
shipping industry? To put it simple, CRM is the management process that allows a company
to keep a tab on their customers in terms of their opinions about the company’s services,
responding to their questions, getting suitable feedback and redirecting it so that the suitable
changes can be made.(Wright et al. (2002) apud Payton and Zahay, 2003).

2. To Increase Customer-Company Communication

And as for larger companies, CRM solution is a blessing for them because it allows them to
interact with customer at the most basic level. Know about the problems they face or
questions they have to ask or complaints they have to make and after that you will understand
what your customer actually wants from you. Give him that and you have a customer for long
term and that’s what every business is looking for, at end of the day.(Kordalipoor et al.,
2015).

3. To Help Customers find what they are looking for

The recent upward upsurge in the number of people looking for services from the maritime
industry makes the need for CRM solution even more urgent. The shipping management
industry needs the efficient management to make sure all their customers get what they are
looking for and their requirements are being fulfilled. (Arab et al., 2010 and Ferreira, et al.,
2016)

4. To Get Competitive Edge with Efficient CRM system

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Another reason why CRM and marine industry need to align together is because this industry
is no longer a monopoly. With privatization, the choices for every single kind of service
sought by a potential customer are very impressive. May that be a cruise line for vacation
with family, shipping company to move stuff to another country or postal services across
water bodies- you name it and you can find more variety to choose from than you would be
comfortable with. (Sen and Sinha (2011) apud Hayley, 2016)

1.4.2: Perceived Value Theory:

(N. GolikKlanac, K. Ćuković) explains how sustainable shipping practices contribute and
play an important role to the value creation process and subsequently, may result in loyalty.
Lapierre (2000) argues that it is difficult for organisations to understand their offerings and
learn how they can be enhanced to provide value to their customers or the clients, and he also
believes that customers behave rationally to maximise the value or utility of their choices and
account for alternative marketing offerings. In addition, Broekhuizen (2006) emphasizes the
essence of knowing their customers value, what the customers want and what characteristics
are important in their judgements of value and to understand their requirements, before we
can truly understand their intentions and choices. In fact, superior customer value is a crucial
element of a company’s prosperity.
The aim of the paper is to identify and describe value perceptions of websites for users in the
context of the shipping industry. Theoretical framework of the study consists of the theory
and literature on value of using the Internet in business. (C Chang, S Dibb - The marketing
review, 2012)
Customer perceived value has become the most extensive and vital used concept in marketing
literature in these recent years. It is considered as the main key to sustain the business
especially in the high market competition. Consequently, understanding its influences and the
dimensions on customer attitude and behaviour becomes crucial for all other marketers. This
paper reviews the related literatures and categorized dimension of perceived value of durable
product into three categories namely social-related value, product-related value, and personal-
related value.
The lack of agreement related to the definition and conceptualization of perceived value
among the scholars have indicated that perceived value can be described as the complex
construct (Lapierre, 2000). The differences of opinions can be seen from two major

14
perspective or view of perceived value; those are as un-dimensional construct and multi-
dimensional construct (Sanchez-Fernandez and Iniesta-Bonillo, 2007). Although the majority
of the researchers agree that perceived value should be considered as multi-dimensional
construct. Sanchez-Fernandez and Iniesta-Bonillo (2007) concluded that the critics among the
researchers have contended that multidimensional construct are conceptually ambiguous, the
dimensions explained are less variance and the relationships between the dimensions and
other construct somehow are confound.

1.4.3: International trade theory:

(Farthing B (1993) International shipping) says the shipping business is very important to
the development of economic activities, as international trade needs ships to transport
cargoes from places of production to places of consumption .(Metaxas, 1971; North, 1958;
Jacks, Meissner and Novy, 2009 among others) international trade is the transport of goods
and services into different countries. Shipping is the life blood of the global economy.
Without shipping, intercontinental trade, the bulk transport of raw materials, and the
import/export of affordable food and manufactured goods would simply not be possible. ...
There are over 50,000 merchant ships trading internationally, transporting every kind of
cargo. Broadly speaking, sea transport can be divided into liner shipping and tramp. The
purpose of tramp shipping is to provide economical and convenient transport for bulk
cargoes that require cross-ocean movement. The demand for the transport of liquid bulk by
sea is served mainly by the sector of tanker shipping. The main function of liner shipping is
to satisfy the demand for regular cargo transport. Shipping and international trade are
interrelated. This also examines fundamental topics in the shipping business such as the sea
transport system, international trade patterns, and international maritime passages.
Carrying out trade at an international level is a complex process when compared to domestic
trade. When trade takes place between two or more nations factors like government policies,
laws, economy, judicial system, currency and markets influence trade.(A Dixit, V Norman –
1980)

1.4.5: Marketing Strategies:

15
A marketing strategy is a business's overall game plan for reaching people, providing them
with what they want and turning them into customers of the product or service that the
business provides. The marketing strategy of a company contains the company’s value
proposition, information on the target customer, key marketing messages, and other high-
level elements.(Leidecker (1984) apud Kordalipoor et al., 2016)

The marketing strategy informs the marketing plan, which is a document that lays out the
timings and types of marketing activities. A company’s marketing strategy should have a
longer lifespan than any individual marketing plan as the strategy is where the value

proposition and the key elements of a company’s brand reside. These things ideally do not
shift very much over time. (DW N Piercy – Cravens, 2006)

Here, for shipping, we used the strategy of direct marketing. Now direct marketing means
selling the product or services to the customers directly

(JP Jeannet, HD Hennessey-2005) But here the direct marketing which we have used here are
through email marketing and telemarketing

Email marketing- In Email marketing the services are directly sold to the customers through
mail, here first we need to analyze and research the complete requirements of the company
and then send them mail so they can check the mail and revert back if they are interested.

Telemarketing- Telemarketing is also known as telephone marketing in which the product or

services are directly sold over a call, there is an interaction between two people, the one
informs the services to other over a call and the other responds as per the interest.
Telemarketing is widely used form of direct marketing these days.

1.5: REGULATORY OR LEGAL ASPECTS OF SHIPPING INDUSTRY

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THE COASTING-VESSELS ACT, 1838

1838. Repeated in part, by Acts 14 of 1870; 16 of 1874; 12 of 1876.Adapted and modified by

the Adaptation of Indian Laws Order in Council. Adapted and modified by the Indian
Independence (Adaptation of Central Act sand Ordinances) Order 1948.
http://www.dgshipping.gov.in/

1. [Repeal of enactments] Rep. Act XIV of 1870.

2. The following rules shall be in force with respect to vessels belonging to any of Her
Majesty's subjects and employed on the coasts of or in trading coastwise, as also with
respect to fishing-vessels and harbour craft belonging to any of the same Her
Majesty's subjects. Rules as to costing and other vessels belonging to Queen's
subjects.

3. Every such vessel employed as aforesaid, fishing- vessel and harbour craft shall be or
branded with the name of the place to such she belongs and also with a number
assigned for the same by the officer authorised to make such registry as is hereinafter
mentioned; Marking of branding vessels with name of place and number. And the
owner or owners of such vessel employed as aforesaid, fishing- vessel and harbour-
craft shall cause such name and number to be painted in black paint upon a white
ground on each quarter of such vessel employed aforesaid, fishing- vessel and
harbour-craft, in English figure and letters, each figure and letter being six inches in
length. Owner to paint name and number.

4. The name and number of every such vessel employed as aforesaid, fishing- vessel and
harbour-craft and burthen and also the name or names of the owner or owners thereof, shall
be register in a book to be kept for that purpose by the person hereinafter directed to make
such registry. Registry of name, number and burthen. At Bombay such registry shall be made
by the Master attendant and at other places by the Collector of Sea-Customs at such places
respectively or by such other person as shall be appointed by the Central Registry by whom
to be made. This Act was declared, by the Laws Local Extent Act, 1874 (15 of 1874), 5, to be

17
in force in the whole of the Province of Bombay except as regards the Scheduled Districts,
i.e., the villages belonging to the following Mehwassi Chiefs: -
(1) The Parvi of Kathi.
(4) The Walwi of Caohalli.
(2) The Parvi of Nal.
(5) The Wassawa of Chikhli.
(3) The Parvi of Singpur.
(6) The Parvi of Nawalpur.
The words and figures "And it is hereby enacted, that from the said first day of November,
1838" and the words "And it is hereby enacted that" were repealed by the Repealing Act,
1874 (16 of 1874).The words "Province" and "said Province" were substituted for the original
words by the Indian Independence (Adaptation of Central Acts and Ordinances) Order,
1948.The words "And it is hereby enacted, that "were repeated by the Repealing Act, 1874
(16 of 1874).This word was substituted for the original word by the Indian Independence
(Adaptation of Central Acts and Ordinances) Order, 1948.The words " Central Government"
were substituted for the words "Government of Bombay" by the Adaptation of Indian Laws
Order in Council. Government to act at such places respectively, in the execution of this Act;
and whenever any change shall take place in the burthen of such vessel employed as
aforesaid, fishing-vessel or harbour-craft, or in the name or names of the owner of owners
thereof, such registry shall be made again: Fresh registration.

4. The owner or owners of every such vessel employed as aforesaid, fishing- vessel and
harbour-craft shall apply to the person authorized to make such registry in respect of
the same, in order to have such registry as aforesaid made, or in order to have such
registry made again as aforesaid. Owner to apply for registry. And whenever such
vessel employed as aforesaid, fishing-vessel or harbour-craft us registered at a
subordinate port, information thereof, and of the number there assigned to her, shall
immediately be given by the registering officer to the P.P.M.M.D. Information of
registry at subordinate port.

5. The duty of marking or branding and of ascertaining the burthen of such vessel
employed as aforesaid, fishing- vessel and harbour-craft, at Bombay, shall be
performed by the P.P.M.M.D.; and at all other places the duty of marking or branding
and of ascertaining the burthen of such vessel employed as aforesaid, fishing- vessel

18
 and harbour-craft shall be performed by the Collector of Sea-Customs as such places
respectively, or by such other persons as shall be appointed by the [Central
Government] to act at such places respectively, in the execution of this Act. Officer to
perform duty of marking and branding.

6. The owner or owners of every such vessel employed as aforesaid, fishing- vessel and
harbour-craft shall apply for and obtain a certificate of registry from the person
authorised to make such registry as aforesaid, and such certificate shall be in the form
specified in the Schedule appended to this Act; and in the case of any certificate being
lost or destroyed, a renewal certificate may be obtained in the same manner and on
payment of the fees hereinafter mentioned. Owner to obtain certificate of registry.
Replacing lost certificate.

7. Such certificate of registry shall be sealed with the seal of the East India Company,
and shall be signed by the person authorised to make such registry. Sealing certificate.

8. (Dales for commencement of certificate and registration.) Rep. Act XII of 1876.

10. The owner or owners of such vessel employed as aforesaid, (fishing vessel and harbour-
craft being excepted), on being registered as aforesaid, shall pay - for each certificate of
registry for a vessel not exceeding 20 Bombay khandis burthen, the fees of 1 rupee. For each
certificate for a vessel exceeding 20 such khandis burthen, and not exceeding 100 khandis
burthen 5 rupees. for each certificate for a vessel exceeding 100 such khandis burthen, and
not exceeding 400 khandis burthen 7 rupees. And for each certificate for a vessel of 100 tons
or greater burthens, per ton 2 annas.

19
The Inland Vessels Acts, 1917

THE INLAND VESSELS ACT.1917 (1 OF 1917)

GOVERNMENT OF INDIA

Ministry of Law and Justice

LIST OF AMENDING AND REPELEASING ACTS AND ADAPTATION ORDERS

1. The Inland Steam-vessels (Amendment)Act,1920

(a) “island vessel “ or “inland mechanically propelled vessel”, which ordinarily plies on
inland water but does not include fishing vessel and a ship registered under the
merchant shipping act ,1958
(b) “inland water means-
(i) Any canal, river, lake or other navigable water within a state
(ii) Any area of any tidal water deemed to be the inland water as defined by the
central government under section 70.

2. The Devolution Act, 1920 (38 of 1920)

The Devolution Act, 1920 (38 of 1920), s. 2 and Sch. I

The words "of the Zillah" rep. by Act 12 of 1876, s.1 and Sch., Pt. 1. 2. The words
"but the net proceeds thereof shall be applied wholly to the construction, repair and
maintenance of roads and bridges within the presidency in which they are levied"
omitted by the A.O. 1937.

3.The Indian Merchant Shipping Act, 1923 (21 of 1923).

Merchant Shipping Act (1923) of ...purporting to act under the colour of statutory
duty. 4 of his affidavits after referring to Section 8 and Section 6(3) of
the Merchant Shipping Act 1923, Mr. Bobb. Merchant Shipping Act it is the liability
of the ship owners to meet the expenses of providing the surgical and medical service
and medicine for the sick member of their crew who has to be discharged.

4. The Repealing Act, 1927 (12 of 1927).

Citation of certain enactments. - Each of the enactments specified in the first three columns of
the First Schedule may, without prejudice to any other mode of citation, be cited for all
purposes by the short title mentioned in that behalf in the fourth column thereof.
[ Enactments amended.]- Rep. partly by the Repealing Act, 1938 (1 of 1938), s. 2 and Sch.
and partly by the Repealing and Amending Act, 1903 (1 of 1903), s. 4 and Sch. III.[ Savings.]
Rep. by the Repealing and Amending Act, 1903 (1 of 1903), s. 4 and Sch. III.

20
6. The Government of India (Adaptation of Indian Laws) Order, 1937.

The Adaptation of Indian Laws Order, 1937, the conditions of service applicable to civil
servants continued to remain unaltered, until other provisions were made under the
Government of India Act, 1935. Again, the Adaptation of Indian Laws Order,
1937 expressly provided by cl. 9 that the rules framed under the Act-adapted or modified
shall not be rendered invalid.

21
 CHAPTER 2: INTRODUCTION TOSHIPPING INDUSTRY IN INDIA

(Max Hardberger, seized) Around 95% of India's trading by volume and 70% by value is

done through maritime transport. India has 12 major and 200 notified intermediate and minor

ports. Under the National Perspective Plan for Sagarmala, six new mega ports will be

developed in the country. The Indian ports and shipping industry play essential role in

improving growth in the country’s trade and commerce. India is the sixteenth largest

maritime country in the world, with a coastline of about 7,517 km. The Indian Government

plays a vital role in supporting the ports sector.

(Hendricks, K. B., Singhal, V. R., and Stratman, J. K. (2007). Since independence, the Indian

Shipping tonnage has registered a remarkable growth. The Indian merchant fleet strength

stood at 1204 vessels with 10.31 million GRT as on end December 2014, representing 54-

fold increases in GRT since independence. The outlay and expenditure on the shipping sector

have consistently increased over the plan. Also, there had been numerous attempts held by

the governments along with other private and public sector firms to promote shipping in the

country. In the subsequent years, there had been growth in developing countries in a varied

level in order to improve their economy. Topping the list are most of the Asian countries. The

growth in international trade & the removal of trade barriers has made the developing

countries to concentrate more on the improvement of their infrastructure, like roads, airports,

seaports, which played a vital role in the development of the economy. All these things

together with product storage and the capacity to move large shipments have placed the

shipping industry in a very advantageous position. Eventually, various other aspects of

shipping had been developed over years such as - Containerization, multi-modal transport

22
services, advancement of marine engineering technology, and so on.(M Bloor, H Sampson -

Work, employment and society, 2009)

It has allowed Foreign Direct Investment (FDI) of up to 100 per cent under the
automatic route for port and harbour construction and maintenance projects. It has also
facilitated a 10-year tax holiday to enterprises that develop, maintain and operate
ports, inland waterways and inland ports.

The industry acts as a primary means of international transport of any essential

commodity. The global shipping industry can be broadly classified into wet bulk (like
crude and petroleum products), dry bulk (like iron ore and coal) and liners (like
containers and others). Further, there are various benchmarks that determine freight
rates for these segments. The prominent amongst them are Baltic Freight Index, Baltic
Dry Index (for dry bulk segment) and Baltic Clean and Dirty Tanker Index (for
tankers).

Freight rates and earnings of the shipping companies are primarily a function of
demand and supply in the markets. Demand drivers are a function of trade growth and
geographical balance of trade (which determines the length of haul required). On the
other hand, the supply drivers are a function of new ship building orders as well as
scrapping of existing tonnage.

The industry is regulated by the rules and regulations of International Maritime

Organization (IMO), classification society, and the requirements of the flag state.
Apart from these, there are also the rules and regulations of various countries where
the vessel operates.

As regards India, the ports and shipping industry plays a major role in sustaining
growth in the country’s trade and commerce. As per the Ministry of Shipping, around
95% of India’s trading by volume and 70% by value is moved through maritime
transport.(VYH Lun, P Marlow - International Journal of Shipping 2011)

The growth in international trade & the removal of trade barriers has made the
developing countries to concentrate more on the improvement of their infrastructure,
like roads, airports, seaports, which played a vital role in the development of the
economy. All these things together with product storage and the capacity to move
large shipments have placed the shipping industry in a very advantageous position.

23
Eventually, various other aspects of shipping had been developed over years such as -
Containerization, multi-modal transport services, advancement of marine engineering
technology, and so on.

(Maritime Policy & Management, 2011 - Taylor & Francis) Challenges faced by the
shipping industry and strategies to overcome Onerous Tax Regime The shipping
industry is facing significant tax burden such as minimum alternate tax, dividend
distribution tax, withholding tax liability on interest paid to foreign lenders & on
charter hire charges paid to foreign ship owners, and so on which is ultimately
squeezing the bottom line/profit margin further. The multiplicity of Regulations –
costly affair the shipping industry is regulated by IMO. There are also international
regulations on operations of ships, such as International Convention for the Safety of
Life at Sea, International Convention for the Prevention of Pollution from Ships,
Convention on the International Regulations for Preventing Collisions at Sea,
International Convention on Load lines, International Ship and Port Facility Security
Code, and International Safety Management Code.

There are also international regulations for seafarers, such as the International
Convention on Standards of Training, Certification, and Watch keeping for Seafarers,
and ILO Merchant Shipping Convention. Even though such regulatory framework
makes stricter entry barriers into the industry, it adds cost to the compliance of such
regulations. Declining Share of Indian Shipping Tonnage in India’s Overseas Trade
There had been significant decline in the share of Indian Shipping Tonnage because of
various problems such as - high transportation costs, port delays, poor turnaround time
of coastal ships on account of over-aged vessels, and inadequate mechanical handling,
which are ultimately deterring many new players or existing players to add new ships
to the Indian fleet. Manpower Shortage One of the major problems faced by the
shipping industry is the shortage of manpower.

India is not able to provide an adequate number of seafarers to man Indian flag
vessels. This is mainly because not enough young people seem to find seafaring an
attractive and appealing career with many of the officers preferring to sail onboard
foreign flag vessels owing to favorable taxation policies. Supply Chain Challenge
These businesses/markets are linked by cash flow and form an inevitable part of the
value chain of the shipping industry as a whole. ( M Bloor, R Datta, Y Gilinskiy 2014)

24
 2.2: (MAJOR PLAYERS IN THE INDUSTRY, COMPETITOR
ANALYSIS, MARKET SHARE, CURRENTSCENARIO)

Major players in industry:

Great Eastern Shipping Companies Ltd

It is one of the best shipping companies in India. It was founded in the year 1948. It is mainly
transporting gas, liquid and solid bulk products. The company headquarter is located in
Worli, Mumbai, Maharashtra. It is top Notch Private Sector shipping company. Its business is
mainly separated into two parts- Shipping and Offshore. Crude Oil, Gas, Petroleum Products
and Dry Bulk Commodities are transported in Shipping Business. Through its wholly owned
Subsidiary Great ship (India) Limited, it services the oil companies in operating offshore
exploration and production activities under its offshore business.

Seaways Shipping & Logistics Ltd

SEAWAYS GROUP has completed many years of successful sailing. It is offering integrated
and turnkey services in shipping and logistics domains. Today, Seaways has well-established
NVOCCs operations in South East Asia and Middle East markets. The company has achieved
the distinction of being one of the leading logistics service providers in India. The leading
shipping company is providing cost effective logistic solutions. It is one of the top 10
Shipping Companies in India.

ABG Shipyard Ltd

It is one of the top Ahmedabad-based shipbuilding companies in India. It was started in the
year 1985. The leading shipping company of India is a part of ABG group of Companies. It is
doing its ship building operations in Surat and Dahej in Gujarat. It is also offering ship
maintenance facility through its service centre in Goa. It’s headquartered is located in
Ahmedabad. It is one of the top 10 shipping companies in India. It is offering the wide array
of services including ship design, shipbuilding, and ship repair.

Cochin Shipyard Ltd

It is one of the top 10 Shipping Companies in India. Cochin Shipyard Limited (CSL) is the
largest shipbuilding and maintenance facility in India. It is part of a line of maritime-related
facilities in the port-city of Kochi, in the state of Kerala, India. The company is offering wide

25
range of products including Tankers, Bulk carriers, Platform supply vessels, Patrol
boats, Diving support vessels.

Shipping Corporation of India Ltd

The Shipping Corporation of India was started in the year 1961 by combining of Western
Shipping Corporation and Eastern Shipping Corporation. It’s headquartered is located in
Corporate Centre, Madame Cama Road, Mumbai. It is offering different services like Liner
and Passenger services, Bulk carrier and tanker services, Offshore services. The company is
operating and managing vessels that catering national and international lines.

Mercator Ltd

The company was earlier known as Mercator Lines Ltd. The company is into different
business-like Commodity Transportation, Coal, Oil & Gas and Dredging. Leading Shipping
Company of India has also ventured into offshore business with its subsidiaries Mercator
Offshore Ltd, Mercator Oil and Gas Ltd. It was founded in the year 1983, Mumbai. Its
headquarter is located in Mumbai, Maharashtra.

2.2.1 Current scenario of shipping industry:

 (Alves, R. and Dores, V. (Dezembro 2016) According to the Ministry of Shipping,

around 95% of India's trading by volume and 70% by value is done through maritime
transport.
 India has 12 major and 200 notified minor and intermediate ports. Under the National
Perspective Plan for Sagarmala, six new mega ports will be developed in the country.
The Indian ports and shipping industry play a vital role in sustaining growth in the
country’s trade and commerce. India is the sixteenth largest maritime country in the
world, with a coastline of about 7,517 km. The Indian Government plays an important
role in supporting the ports sector.(JWang - Safety Science, 2001 – Elsevier)
 It has allowed Foreign Direct Investment (FDI) of up to 100 per cent under the
automatic route for port and harbour construction and maintenance projects. It has also
facilitated a 10-year tax holiday to enterprises that develop, maintain and operate
ports, inland waterways and inland ports.
 The industry acts as a primary means of international transport of any essential
commodity. The global shipping industry can be broadly classified into wet bulk (like

26
 crude and petroleum products), dry bulk (like iron ore and coal) and liners (like
containers and others). Further, there are various benchmarks that determine freight
rates for these segments. The prominent amongst them are Baltic Freight Index, Baltic
Dry Index (for dry bulk segment) and Baltic Clean and Dirty Tanker Index (for
tankers).
 Freight rates and earnings of the shipping companies are primarily a function of
demand and supply in the markets. Demand drivers are a function of trade growth and
geographical balance of trade (which determines the length of haul required). On the
other hand, the supply drivers are a function of new ship building orders as well as
scrapping of existing tonnage.
 The industry is regulated by the rules and regulations of International Maritime
Organization (IMO), classification society, and the requirements of the flag state.
Apart from these, there are also the rules and regulations of various countries where
the vessel operates.
 As regards India, the ports and shipping industry plays a major role in sustaining
growth in the country’s trade and commerce. As per the Ministry of Shipping, around
95% of India’s trading by volume and 70% by value is moved through maritime
transport. (B Vernimmen, W Dullaert, S Engelen 2007)

Figure 2.2: shipping industry & ports in India

27
 2.2.2 MARKET SHARE

SHIPPING CORP. Plunges by 6%; BSE 500 Index Down 0.2%(Market Updates)

SHIPPING CORP. share price has plunged by 6%. The BSE 500 is down by 0.2%. The top
gainers in the BSE 500 Index are TRENT LTD (up 6.0%) and AEGIS LOGISTICS (up
5.5%). The top losers are SHIPPING CORP. (down 5.8%) and ZYDUS WELLNESS (down
7.0%).

ABAN OFFSHORE 2017-18 Annual Report Analysis (Annual Result Update)

Here's an analysis of the annual report of ABAN OFFSHORE for 2017-18. It includes a full
income statement, balance sheet and cash flow analysis of ABAN OFFSHORE. Also
includes updates on the valuation of ABAN OFFSHORE.( RB Tennant - 1950 - Yale
University Press New Haven)

Size of the industry 515 vessels with a GRT of 7.06 million

Geographical distribution The major ports are located at

Calcutta/Haldia, Chennai, cochin, Ennore,
Kandla, Nhavasheva, Mumbai, new
Mangalore, Paradip, Tuticorin and
Vishakhapatnam.

Output per annum 42% of total Indian tonnage

Percentage in the world market 8% of entire world trade

28
 2.3: FUTURE TRENDS

Shipping markets now have changed through these years and the same has happened with the
ship chartering as well.
Nowadays, ship chartering has changed a lot and has become much more modern and easier.
Hundreds of requirements or inquiries are received in the shipbroker’s inbox each day for
asking or providing any of the services.

The shipbroker collects all cargoes and positions, matches them accordingly and then
forwards the vessels and cargoes to potential charterers and ship-owners accordingly. He
negotiates with the principals mostly through Email and Instant Messaging (e.g. Skype) while
the telephone is also used.

The parties exchange offers via Email and after an agreement is reached, the fixture recap is
prepared by the broker and sent to both the parties. Nowadays, since all exchanges and offers
are made in writing, there is not the risk for the parties to forget what they have accepted and
therefore the fixture recap is binding by its own and there is not that rush for the c/p or the
fixture recap to be signed. There would be more competition in the future, so the brokers
must know the marketing strategies properly and must do the research analysis in a proper
way to avoid future problems.

The main challenges today for the ship chartering professionals are:

 Massive amount of data but lack of proper information (high quantity / low quality
issue)

 Market is not properly balanced

 Lack of loyalty & respect between the market participants and also the time
constraint

 Lower number of charterers and thus less business opportunities and clients to
develop

 High competition

 Shipping industry is booming now-a-days and hence the competition between the
ship brokers is increasing day by day

29
 CHAPTER 3: INTRODUCTION TO THE COMPANY

Midshipmite Recruiters has been immensely successful in creating a global network of highly
adept intelligent workforce that can help a company achieve their mission-critical projects
and goals. With capabilities to serve all sizes of organizations, from small firms to
multinational blue-chip clients in marine shipping and associated industries, Midshipmite is
responsible for recruiting some of the industry's finest talent.

As the company is greatly respected throughout the marine industry, able and competent
candidates frequently approach Midshipmite, seeking career moves and a place on large
database. Keeping pace with projects and being on the lookout for the extremely talented
individuals has become ever more challenging. Here is where Midshipmite Recruiters Pvt
Ltd. comes into play to bring the best suited talent for company.

MIDSHIPMITE SHIP MANAGEMENT:

Midshipmite - world leading Integrated Maritime Firm. Established in 2008 the Midshipmite
Group specialise in Real Estate Development, Outsourcing and Ship Management.

Midshipmite operates in 6 Continents which includes India, UAE, Iran, Qatar, Oman, China,
Singapore, Indonesia, Sri Lanka, Philippines, Vietnam, Turkey, Lebanon, Norway, Germany,
Greece, Netherlands, United Kingdom, Russia.

Midshipmite is dealing with number of companies for sales and purchase of vessels and also
for containers which includes countries like India, Singapore, Norway, Vietnam, Turkey,
Germany, Greece, Malta, Cyprus, South Korea, China, Saudi Arabia, Italy

Midshipmite also deal with companies for crewing/outsourcing with the vessel owners/Ship
Managers which include India, Iran, Dubai.

If you are looking for Ship Brokers or Ship Managers or Technical Managers or Container
Management and looking for specialist maritime then MIDSHIPMITE can help you. Their
website lists their very latest Vessels, Chartering Requirement, Containers services
Midshipmite provides throughout the maritime sector.

30
Midshipmite is specialized in providing the complete integrated services to the Marine
Industry. The services which are

Chartering in which Midshipmite helps Ship owners and the Charterer to get the best deals
and to deliver the cargos from one port to another port.

Crewing With the capabilities to serve all sizes of organizations, from small firms to
multinational blue-chip clients in marine shipping and associated industries, Midshipmite is
responsible for recruiting some of the Marine industry's finest talent.

Scrapping Scrap Vessel and Containers from different countries, weather you are buyer or
seller Midshipmite will assist you in giving you the right deal at right time.

Sale/Purchase/Lease Midshipmite has the large network with the help of that; we help ship
liners and container liners companies to make some profit from their Liabilities which also
helps to increase their Assets.

READ MORE

31
 3. DESCRIPTION OF MARKETING

Introduction:
Here, researcher have used direct marketing technique (call, mail) in order to interact with the
clients, as it is one on the most used direct marketing technique.

Direct marketing is a form of communication, where organizations communicate directly to a

pre-selected customer and supply a method for a direct response; it is also known as direct
response marketing.

Direct marketing is a promotional method that involves presenting information about your
company, product, or services to your target customer without the use of an advertising
middleman. It is a targeted form of marketing that presents information of potential interest to
a consumer that has been determined to be a likely buyer. (Seth Godin, 2010)

Lists are commonly used in direct mail and telemarketing. The two basic types of lists are
response lists and compiled lists. Response lists contain the names of all the prospects who
have responded to the same offer. These individuals typically share a common interest.
Names on a response list may include buyers, inquirers, subscribers, continuity club
members, or sweepstakes entrants. (Douet and Cappuccilli, 2011)
They may have responded to an offer from one of several media, including direct mail,
television, or a print ad. Response lists are not usually rented; rather, they are an in-house list
compiled by a particular business. Compiled lists are often rented by direct marketers.
Compiled mass consumer, specialized consumer, and business lists are available for a wide
range of interests.
Direct marketing databases are similar to mailing lists in that they contain names and
addresses, but they go much further. They are the repository of a wide range of customer
information and may also contain psychographic, demographic, and census data compiled
from external sources. They form the basis of direct marketing programs whereby companies
establish closer ties with their customers.(A Palmer, N Koenig-Lewis - Direct Marketing,
2009)

32
 TYPES OF DIRECT MARKETING

DIRECT MAIL Direct mail is the most used direct marketing medium and the one most
direct marketer learn first. Direct mail has been used to sell a wide variety of goods and
services to consumers as well as businesses, and it continues to grow despite postage
increases. Direct mail offers several advantages over other media, including selectivity,
flexibility, personalization, and testability. It allows businesses to target individuals with
known purchase histories, data or particular psychographic or demographic characteristics
that match the marketer's customer profile. Direct mail can be targeted to a specific area
based on zip codes or other geographic factors. (GR Milne, ME Gordon 1993)

TELEPHONE-BASED DIRECT MARKETING (TELE MARKETING) The use of the

telephone in direct marketing has grown immensely over the past two decades. Expenditures
now may equal, or even surpass, those of direct mail. Telephone-based direct marketing may

33
be outbound and/or inbound. Inbound telemarketing is also known as Tele-servicing and
usually involves taking orders and responding to inquiries. Outbound telemarketing for
consumers may be used for one-step selling, lead generation, lead qualification or follow-up,
and selling and servicing larger and more active customers. (PB Brown, B Casselman, G
Conn, RA Malmi 1992)

EMAIL MARKETING is the act of sending a commercial message, typically many people,
using email. In its broadest sense, every email sent to a potential or current customer could be
considered email marketing. It usually involves using email to request business,
send advertisements, or solicit sales or donations, and is meant to build loyalty, trust, or brand
awareness among the customers. Marketing emails can be sent to a purchased lead list or a
customer. ( J Sterne, A Priore – 2000)

BROADCAST FAXING: Broadcast fax is the ability to send a single fax to multiple person
at the same time. Some machines can scan a document once and broadcast it to multiple
recipients. But, when most people talk about broadcast fax, they're referring to third-party
services that use fax server technology to send a single fax to hundreds or thousands of
recipients at once. (DA Brown, N Hoque, HK Keipert, F Remite Jr 1997)

COUPONING: Couponing is a sales promotion technique based on the use of coupons or

partial refunds related to the purchase of a product.
Coupons can be distributed before the purchase, appear on the product or on another product
of the brand. Originally mainly used by brands, couponing is increasingly used at the exit of
crates by retailers. (MSC Hsu, M Murray 2010)

DIRECT SELLING : it consists of two main business models: single-level marketing, in

which a direct seller makes money by buying products from a parent organization and selling
them directly to the customers, and multi-level marketing (also known as network
marketing or person-to-person marketing), in which the direct seller may earn money from
both direct sales to customers and by sponsoring new direct sellers and potentially earning a
commission from their efforts (TR Wotruba, PK Tyagi 1991)

DIRECT ADVERTISING is a very comprehensive phrase covering all forms of printed

advertising delivered directly to the customers instead of indirect distribution like magazines
or the discussions. The printed matter is distributed house to house by personal delivery,
handed over to passersby on the sidewalks, stuck under the wind screen of an automobile,
placed in automobiles, handed over to retail counters, or may be sent through post or courier.
If it reaches by mail or courier it is direct advertising. (A Masson, PH Rubin – 1985)

34
 SWOT ANALYSIS
STRENGTH:
* Formidable presence in the international
maritime industry
*Empowered and highly motivated
employees
* Company follows initiatives to enhance
energy efficiency of the ship
* Easy adaption to technological
advancements
* complete knowledge about shipping
industries
SWOT
OPPORTUNITIES:
* Expand customer base geographically or
through new services
* Strategic alliances and joint ventures
* Step up expansion in emerging markets
WEAKNESS:
* Limited global tie-ups and associations
* Inventory cost is very high
* Do not have a big brand name
THREATS:
* Earnings of company could be impacted
negatively if the global economic situation
does not improve over the longer term
* Short term and regional factors, like
political fallouts, weather changes etc.
Increasing competition
* The on-going china-USA crisis can depress
the already subdued demand
35
 PESTEL ANALYSIS

POLITICAL ANALYSIS
 Political factors can affect the trade regulations and tariffs’ related to services
 Risk of military invasion
 It may affect industrial safety regulations in the services sectors
 It may affect wage legislation

ECONOMICAL ANALYSIS

 It may affect the exchange rates and stability of host country currency
 Decrease in the Infrastructure quality in shipping industry
 May affect the labour cost and productivity
 May affect economic growth rate

SOCIAL ANALYSIS

 May affect the culture of an organisation in an environment

 Changes in attitude towards product quality and consumer services
 Demographics and skill level of the population

TECHNOLOGICAL ANALYSIS

 May affect technological impact on product offerings

 Impact of cost structure in shipping industry
 Impact of value chain structure in services sector
 May affect the rate of technological diffusion

36
ENVIRONMENATAL ANALYSIS

 Air and water pollution regulations in shipping industry

 May impact the profitability of the organisation
 Support for renewable resources

LEGAL ANALYSIS

 Anti-trust law in shipping industry and overall in the country

 May affect the discrimination law

37
 CHAPTER 4: RESEARCH METHODOLOGY

INTRODUCTION:

Research methodology is a way to systematically solve the research problem. It may be

understood as a science of studying how research is done scientifically. The scope of research
methodology is wider than that of research methods. This chapter states the Methodology
adapted for the study by the researcher. It includes Title, significance of the study, statement
of the problem, aims and objectives, research hypothesis, research design, tools for data
collection, statistical testing, definitions, limitation of the study, chapters of the study. (CR
Kothari - 2004)

In shipping industry there are many prescribed methods for obtaining market data and other
critical information. Here for this research methodology researcher has used interview
method in order to find the sufficient information about the company and his views.

Here the researcher took interview of the concern person of the 3 big brand shipping
companies in India which are: Seven Islands Shipping ltd, Ocean Network Express, and The
Great Eastern Shipping Company. These companies have given their particular view on the
questions which has been very helpful for the researcher to have proper research information.

38
 4.1: RESEARCH DESIGN:

Research design is the conceptual structure within which research is conducted; it constitutes
the blueprint for the collection, measurement and analysis of data. The type of research
design used in the project was Descriptive research because it helps to describe a particular
situation prevailing within a company. Careful design of the descriptive studies was
necessary to ensure the complete interpretation of the situation and to ensure minimum bias
in the collection of data. (JW Creswell, CN Poth – 2017)

Qualitative Research Design: Qualitative research is implemented in cases where a

relationship between collected data and observation is established on the basis of
mathematical calculations. Theories related to a naturally existing phenomenon can be proved
or disproved using mathematical calculations. Researchers rely on qualitative research design
where they are expected to conclude “why” a particular theory exists along with “what”
respondents have to say about it. (DR Cooper, PS Schindler, J Sun – 2006)

Quantitative Research Design: Quantitative research is implemented in cases where it is

important for a researcher to have statistical conclusions to collect actionable insights.
Numbers provide a better perspective to make important business decisions. Quantitative
research design is important for the growth of any organization because any conclusion
drawn on the basis of numbers and analysis will only prove to be effective for the business.
(KS Bordens, BB Abbott – 2002)

Descriptive Research Design: In a descriptive research design, a researcher is solely

interested in describing the situation or case under his/her research study. It is a theory-based
research design which is created by gather, analyzes and presents collected data. By
implementing an in-depth research design such as this, a researcher can provide insights into
the why and how of research.( D De Vaus - 2001 – Sage)

Diagnostic Research Design: Here researcher wants to know about the root causes of the
problem. He describes the factors responsible for the problematic situation. It is a problem
solving research design that consists mainly :( C Robson – 2011)

a. Emergence of the problem

39
b. Diagnosis of the problem
c. Solution for the problem and
d. Suggestion for the problem solution

40
 4.2: SOURCES OF DATA:

The information furnished in this report has been collected primary data as well as secondary
data.

Primary research: primary research is something which involves directly to the

source(customers) and prospective customers in your target market-to ask questions and
gather information. The primary data here is collected through books, research papers,
corporate meetings etc.

Secondary research: secondary research involves the summary, collation, or synthesis of

existing research. The secondary data is collected through online research, consumers
database, data available on stock list etc.

4.3: DATA COLLECTION TOOLS AND TECHNIQUES:

Data collection includes gathering, storing, accessing, and using the original information.

Data collected in ship management industries must be very genuine and appropriate, so no
problems further can be occurred.

So, the data collected here is through online research, various books, database available
through consumers and also through data available on the stock list.

41
 4.4: SAMPLE DESIGN:

Midshipmite deals in various continents such as India, UAE, Qatar, china, Singapore,
Indonesia, Sri Lanka, Vietnam, Philippines, turkey, Norway, Germany, Greece, Netherlands,
United Kingdom, Russia. So, our main focus was to find clients from such countries, also to
keep informing them about our various services and asking them for their requirement so that
we can help in fulfilling it. We used to even ask for their requirements and provide them with
what we have (vessels for sale)

The researcher also decided to survey those clients who gave positive response to the firm.
To check the customer satisfaction and dissatisfaction, the researcher prepared to study in
depth the requirements of the client and to find the solutions to the problem and provide them
with what they are looking for.

42
 CHAPTER 5: DATA ANALYSIS AND INTERPRETATION

Chapter 5 will help in giving the overview of the research which will help in finding the
results; discussion and analysis are based on literature review, content, research methods,
interviews of the shipping companies with an aim to give the detailed information and details
from the data collected. The data which was analyzed as per the research objectives and
questions helped in finding the results.

QUESTION 1

Do you think direct marketing is welcomed by import/export/shipping companies?

yes/no, why do you think it is so?

RESPONDENT 1:

No. I believe even though there is a lot of progress in the industry in terms of technology
people still rely on the traditional method for marketing. They do not entertain direct
marketing as they wish to work with people whom they know. There are some companies
that might entertain direct marketing, but they will always prioritize known clients rather
than unknown.

43
RESPONDENT 2:

The import/export/shipping companies do not advertise in normal, traditional way because

they won't be able to target the audience they want. Now direct marketing comes in play, a
lot of companies work on developing their direct marketing skills as to get more business.

RESPONDENT 3:

Yes, Direct marketing is welcomed by import/export/shipping companies as these

companies are always looking for opportunities. If what has been conveyed is in their
interest, it will work for sure.

ANALYSIS:

Import/export or shipping companies do welcome direct marketing as new opportunities

coming their way and also, they do not entertain sometimes as they wish to work with the
known client as companies through which they have already deal before.

QUESTION 2:

What sort of challenges does your company face while using direct marketing?

RESPONDENT 1:

The problem with using direct marketing is that we do not get to be our client's priority as
they do not know us. So, gaining their attention on what we have to offer is quite difficult.

RESPONDENT 2:

There aren’t many challenges that are out or not yet dealt with. But still many demographic
factors hinder the process. Solutions to the same can be brought up and used but does not
work at expectations.

RESPONDENT 3:

The most common are Time constrains, language barriers and not proper response of the
company.

44
ANALYSIS:

There are many problems faced while using direct marketing technique like time constraint,
language barrier and also gaining their attention is a huge task.

QUESTION 3:

Do you entertain any company directly approaching you for providing their marketing
services?

RESPONDENT 1:

I do appreciate approaching me for providing their service as long as they are legitimate.

RESPONDENT 2:

As mentioned earlier, companies that are into the shipping business do not market the
traditional way but do it with direct marketing. So why our company is approached with
such a deal or an offer, we do entertainer it and start evaluating it.

RESPONDENT 3:

Yes, we do. If it's what we are looking for, why waste an opportunity has called us itself.

ANALYSIS:

Mostly the companies do appreciate to approach them for their services and to gain a new
opportunity but sometimes some companies don’t as they like to deal with the known and popular
companies.

QUESTION 4:

Which means of direct marketing does your company uses?

RESPONDENT 1:

Mostly my firm uses cold calling and emailing in order to reach out to potential clients. If they
turn out to be successful, we also try to initiate a meeting with the client.

RESPONDENT 2:

45
The most common type and the one with the most success rate, Mailing and calling Is what is
done here. We have good reasons to believe that this has a very good success rate and that is
we use it. There are other methods, but we just don’t find it as successful as this.

RESPONDENT 3:

We do Cold calling, mailing mostly and it has shown significant results.

ANALYSIS:

Mostly e-mail and telephone marketing is used by all the companies to communicate with the
clients

QUESTION 5:

Do you think direct marketing is more profitable/successful from other means of

marketing?

RESPONDENT 1:

- As long as you understand who exactly your client is, I think direct marketing can be very
profitable as it will remove any additional cost that the firm is incurring in order to market
itself.

RESPONDENT 2:

I think it is equally profitable in any means but taking into consideration that it is very cheap
compared to others it becomes an added advantage. Hence you can say that this being
comparatively cheaper and easy access does stand over them all.

RESPONDENT 3:

It depends at what stage of business are you in. If you are a full-fledged high-end business,
then other means of marketing will work better. But vice versa is also true.

ANALYSIS:

Direct marketing would be profitable if you will remove the additional costs and also it

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depends upon the stage where the business stands.

QUESTION 6:

what type of direct marketing attempt do you find more trustworthy?

RESPONDENT 1:

I find mailing as a positive step in order to approach anyone directly as it shows the
professionalism of the person using direct marketing and the legitimacy of the deal.

RESPONDENT 2:

For me mailing with an official mail ID and with proper details is what I find trust worthy.
Also, when a person is about to send a mail, the person will be conscious enough if they are
legit. This is a very famous types of marketing in this industry, so the trust already is high.

RESPONDENT 3:

I find a combination of cold calling and a well written mail with proper company details
pretty trust worthy.

ANALYSIS:

cold calling and email with proper mail address is found more trustworthy as the data can be
recorded for security.

QUESTION 7:

what type have you been contacted through the most?

RESPONDENT 1:

I have been contacted the most by unscheduled meetings and mails.

RESPONDENT 2:

Because of the easy access and no price constrains, mail must be the one which has made me
evaluate deals more. But this is because of the character of the Software and there are no
connections towards a success rate.

RESPONDENT 3:

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I have been contacted by mail the most.

ANALYSIS:

The companies have been contacted through the email as this is the most convenient type of
marketing in which all the information can be passed to the clients

Maritime Data Analytics

Considering the variety and volume of data generated, Maritime Data Analytics can be
broadly divided into three groups.

 Ship Management using data available in various logs, manifests, system

parameters, bunker stats, etc. This would include efficient bunkering, better
machinery maintenance using digital twins, crew management, etc.
 Port and Cargo Management using data available with port authorities, shipping
agents, trading houses, etc. This would include efficient cargo handling, commodity
tracking, port facilities optimization, etc.
 Spatial and Imagery Analysis using data from position tracking systems like AIS
and LRIT, imagery from ship, shore and space-based radars, optical sensors, etc. This
would include efficient routing, fleet tracking, traffic pattern analysis, anomaly
detection, etc.

Until recently, the records were primarily maintained for short term transaction history or for
carrying out post-mortems in case of any incident. Modern analysis techniques now let us use
this data for carrying out predictions and provide insights for improving the system and
preventing future failures.

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 CHAPTER 6: CONCLUSION & SUGGESIONS

6.1: FINDINGS:

* Direct marketing techniques which the shipping companies use the most

* How to approach clients for the requirements

* The strategies the companies use to find out and fulfill the specific requirements

* How market analysis of shipping companies is done

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 6.2: SUGGESTIONS:

* The company can try dealing with the countries which they have never contacted before.

* Complete analysis must be done and must provide client with multiple requirements

* Must contact the company after proper analysis and also maintain proper touch with them
so that the linked is not broken

* Language barrier must be avoided and should have a proper interaction

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 6.3: LIMITATIONS:

* Sometimes, the requirements which the other companies need are not always in our hand

* They do not entertain you for a longer period of time

* We can use only telephonic and e-mail type of marketing

* Time constraint

* Language Barrier

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 6.4: CONCLUSION:

The shipping industry is undergoing a significant change with a new approach

which is increasingly focused on information. Midshipmite is a ship management company
which has various services such as chartering, crewing, buying and selling etc. and it also
deals in many continents.

Now here, shipping industries use direct marketing for interacting with their clients or to
know their requirements and services or in order to sell the services which the company has.

Direct marketing is sometimes welcomed and sometimes rejected by its customers as there
are both advantages and disadvantages in it.

The Shipping market is always booming and our opportunities can be of how other nations
see India in the Shipping world. As there is no third party involved it becomes easy to
communicate and also you come to know the market value and customer requirements.

But here, as the direct marketing is international it involves risk, As well as more people
with high knowledge about shipping industry. Therefore it is necessary to have complete
knowledge about the market, and must also do research analysis and know about the
strategies in order to crack a deal and spread the connections globally.

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 CHAPTER 7: LEARNING EXPERIENCE FROM PROJECT:

 To have Patience, positive attitude and confidence

 Importance of time management
 How shipping industries work, their strategies to buy a ship and how they maintain
their fleet list
 How to approach clients from different countries
 What ship brokers actually do, and what different strategies they follow in order to
sell a ship.
 Gained valuable work experience in organisation
 Discipline approach

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 ANNEXURE

Q.1 Do you think direct marketing is welcomed by import/export/shipping companies?

Yes/no? Why do you think it is so?

Q.2 What sort of challenge does your company face while using direct marketing?

Q.3 Do you entertain any company directly approaching you for providing your marketing
services?

Q.4 Which means of direct marketing does your company uses?

Q.5 Do you think direct marketing is more profitable/ successful from other means of
marketing?

Q.6 What type of direct marketing attempt do you find more trust worthy?

Q.7 What type have you been contacted through the most?

54
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