MYSORE SALE INTERNATIONAL LIMITED

A Project submitted in partial fulfillment of the requirements for the

award of the degree of

MASTER OF BUSINESS ADMINISTRATION
OF
BANGALORE UNIVERSITY

Submitted by AYYAPPADAS PRINCE P

REGISTER NO. 18UHCMD028

Under the guidance of

Prof. MANJUNATH
(2018-2019)

EAST WEST COLLEGE OF MANAGEMENT

#65, off. Magadi Road, Vishwaneedam Post, Bangalore-560091

Bangalore University
2019-2020
 ACKNOWLEDGEMENT

I would like to thank our lecturers who have helped and supported us while doing our Project report and work.

There is not enough word to offer vote of thanks to our Prof SANDHYA MAM, Head of the Department of
MBA, East West college of Management Bangalore for his help in initiating the project report in advance for
the regular motivation, our guides Prof. MANJUNATH faculty of MBA Department, East West College of
Management Bangalore, for their admirable help, suggestions and opinions on the contribution during and after
the project report. I would also like to thank all the faculties of MBA Department for all the support and
guidance.

Place: Bangalore
Date:
 TABLE OF CONTENTS
CHAPTER CHAPTERS PAGE
NO. NO.

EXECUTIVE SUMMARY
1 INTRODUCTION 2-4
1.Industry Profile 2
1.1 Macro Scenario 2
1.2 Micro Scenario 4
2 COMPANY PROFILE 6 - 24
2.1 Name of the company and its History 6
2.2 Nature of the Business
2.3 Area of Operation
2.4 Vision and Mission Statements 8
2.5 Product Profile 10
2.6 Competitors Profile 11
2.7 Market share 15
2.8 Awards and Achievements
2.9 Corporate Social Responsibility 20
2.10 SWOT Assessment 24
2.11 Mckinsey 7S Framework
3 ORGANIZATION STRUCTURE AS WHOLE 39
4 KEY FUNCTIONAL AREAS 40 - 49
4.1 Development and engineering 40
4.2 Manufacturing 43
4.3 Material Management 45
4.4 Marketing 47
5.5 Quality Assurance 49
5.6 Plants and Services
5.7 Human Resource and Administration
5.8 Finance and Accounts
5.9 Information Systems
 5.10 Quality Management
SUB DEPARTMENTS
· Production, Planning and Control
· Advanced Manufacturing Facility
· Work Assembly
· Testing and Inspection
5 FINDINGS, SUGGESTIONS AND CONCLUSION 52
6 BIBLIOGRAPHY AND ANNEXURE
 CHAPTER- 1
INDUSTRY PROFILE- MICRO AND MACRO SCENERIO
 INTRODUCTION

Mysore Sales International Limited, it was established in the year 1966 by the Govt. of Karnataka to manage the
marketing needs of the growing industries of the state since then the company has grown from strength, to emerge as a
dynamic marketing force with national presence and international reach.

MSIL as a subsidiary of KSIIDC (Karnataka State Industries Investment Development Corporation) work as a marketing
organization, found it easier to take a product market it, sell and make a margin.

MSIL was established as a novel concept in the public sector, a centralized marketing asset for various products of the
state, with its subsidiary advertising company marketing consultant & agencies limited, MSIL provides comprehensive
range of marketing and advertising services.

MSIL entered the consumer durable market throughout its hire purchase scheme, MSIL home maker and with the MSIL
tour and travels division it started meeting the travel requirement of a large number of officials.

MSIL began to extend its operations beyond marketing special projects for the Government like the distribution of
imported cement during nationwide shortage and export white rice during a year of surplus, manufacture and distribution
of notebook for students, management of the Bangalore Air Cargo Complex functioning as custodian for customs cargo.

It is the stole selling agent for the Karnataka state lotteries, it markets note books & exercise books and stationary through
the paper division. It is the custodian of the Bangalore Air Cargo Complex and has a Tours & Travels Division. It is also
engaged in hire purchase business for the employees of the Government, state PSU’s boards, and authorities etc.

The manufacturing and distribution of books and school children and the government of state lottery the management of
Bangalore Air Cargo Complex as custodian or customer cargo for the operation.

In the recent time MSIL has entered the customer durable market with his higher purchase scheme MSIL homemaker and
with the MSIL tools and Travels. When there was need for distribution steaming the leaker distribution in the state it was
once again MSIL which route the occasion and with its wide network it has carried out task effectively

This is MSIL today and organization with is Asian Marketing. And the export house of government of Karnataka.

The company also operates ‘Mandara’ a showroom at Lavelle Road, Bangalore for sale of sarees and other items. It
operates 3 franchise shops for the sale of its products in Bangalore at KSRTC Bus Stand, Majestic & BMTC stands at
Majestic & Shivajinagar. It commenced chit funds business during January 2005 and is also engaged in export of iron ore.
It is also engaged on signage works for the department of Tourism, Government of Karnataka and Archaeological survey
of India, Govt. of India. The company is an ISO 9001:2000 Certified Company.
 MICRO AND MACRO SCENERIO

There are two kinds of external marketing environments; micro and macro. These environments’ factors are
beyond the control of marketers but they still influence the decisions made when creating a strategic marketing
strategy.
Macro Environment Factors

· Demographic forces: Different market segments are typically impacted by common demographic forces,
including country/region; age; ethnicity; education level; household lifestyle; cultural characteristics and
movements.
· Economic factors: The economic environment can impact both the organisation’s production and the
consumer’s decision making process.
· Natural/physical forces: The Earth’s renewal of its natural resources such as forests, agricultural
products, marine products, etc must be taken into account. There are also the natural non-renewable
resources such as oil, coal, minerals, etc that may also impact the organisation’s production.
· Technological factors: The skills and knowledge applied to the production, and the technology and
materials needed for production of products and services can also impact the smooth running of the
business and must be considered.
· Political and legal forces: Sound marketing decisions should always take into account political and/or
legal developments relating to the organisation and its markets.
· Social and cultural forces: The impact the products and services your organisations brings to market
have on society must be considered. Any elements of the production process or any products/services
that are harmful to society should be eliminated to show your organisation is taking social responsibility.
A recent example of this is the environment and how many sectors are being forced to review their
products and services in order to become more environmentally friendly.
Micro and macro environments have a significant impact on the success of marketing campaigns, and therefore
the factors of these environments should be considered in-depth during the decision making process of a
strategic marketer. Considering these factors will improve the success of your organization’s marketing
campaign and the reputation of the brand in the long term

Micro Environment Factors

· The suppliers: Suppliers can control the success of the business when they hold the power. The supplier
· holds the power when they are the only or the largest supplier of their goods; the buyer is not vital to the
supplier’s business; the supplier’s product is a core part of the buyer’s finished product and/or business.
· The resellers: If the product the organisation produces is taken to market by 3rd party resellers or market
intermediaries such as retailers, wholesalers, etc. then the marketing success is impacted by those
3rd party resellers. For example, if a retail seller is a reputable name then this reputation can be leveraged
in the marketing of the product.
· The customers: Who the customers are (B2B or B2C, local or international, etc.) and their reasons for
buying the product will play a large role in how you approach the marketing of your products and
services to them.
· The competition: Those who sell same or similar products and services as your organisation are your
market competition, and they way they sell needs to be taken into account. How does their price and
product differentiation impact you? How can you leverage this to reap better results and get ahead of
them?
· The general public: Your organisation has a duty to satisfy the public. Any actions of your company
must be considered from the angle of the general public and how they are affected. The public have the
power to help you reach your goals; just as they can also prevent you from achieving them.
 CHAPTER- 2

COMPANY PROFILE
 INTRODUCTION

Keeping pace with the winds of rapid industrialization that are sweeping Karnataka, MSIL is today resting on a
strong footing of excellent performance coupled with deep rooted trust and confidence amongst its clientele.

Mysore Sales International Limited, popularly known as MSIL, is a marketing organization formed in 1966 to
meet the marketing needs of Karnataka. Since then, the company has grown from, strength to strength, to
emerge as a dynamic marketing force with a national presence and international reach.

A keen sense of business acumen, trade experience, managerial effectiveness and credibility are a few of the
hallmarks of this marketing giant. And, its ability to manage a diverse range of products and services through
innovative marketing strategies is the secret of its success. In a business where the prime motivator is people,
MSIL has developed flexibility in its thinking and management, enabling it to tackle every fresh challenge with
an innovative approach. To stay in rhythm with the changing tastes and values.

· “M.S.I.L” is a premier Government of Karnataka Marketing Organization dealing with various products
& services
· A unique public sector enterprise of the Government of Karnataka
· Distinction of having earned profits consistently for nearly four decades
· Established in 1966 as a trading house
· Now has a wide network of offices all over Karnataka as well as some important locations in the country

2.1 NAME OF THE COMPANY AND ITS HISTORY

Company Name : Mysore Sales International Limited (MSIL) Govt company
Company Status : Public Sector Undertaking (PSU)
Established : March 17, 1966
Branch Office : Bangalore, Mumbai and Delhi
Address : MSIL House #36, Cunningham Road Bangalore – 560052
Phone : 080-22264021
Fax : 080-22256709
Authorized Share Capital : Rs. 400 Lakhs
Subscribed and paid
up Share capital : Rs. 60 Lakhs
Manpower : 687 well-trained work force
No. of Division : 6
No. of Branches : 10
No. of Sales office : 28
Reserve of surplus : Rs. 7127.83 Lakhs

HISTORY
➢ Commenced operations in 1966, as a centralised marketing unit for a few State-owned industrial units.
➢ From 1967 to 1989 marketing of all products of MSILall over the country.
➢ From 1969 to 2007 MSIL was the sole selling agency for the Marketing and distribution of Karnataka
State Lottery tickets.
➢ During the ‘70s MSIL handled special projects such as the distribution of imported cement and export of
rice.
➢ During seventies MSIL also handled the sales of agricultural implements produced at KIMCO.
➢ During the 80’s the company was marketing Asian Power Capacitors manufactured by Asian
Electronics, Nashik.
➢ In order to facilitate the student community especially in rural areas with quality notebooks at a
reasonable price, Government of Karnataka has entrusted MSIL with the responsibility of manufacture
and distribution of notebooks. Today Vidya & Lekhak brands of notebooks are extremely popular.
➢ Since early 80s to May 2008 MSIL has served as Custodian / Administrators of the Bangalore Air Cargo
Complex
➢ In 1989, MSIL entered the consumer durables market with the hire purchase scheme for government
employees – MSIL Homemaker.
➢ For a brief period MSIL also operated a retail showroom for silk products by the name of Mandara.
➢ MSIL also had an exclusive showroom for sale of imported furniture.
➢ From 1989 to 2003 MSIL was the sole distributor of Indian Made Foreign Liquor (IMFL) in Karnataka.
➢ 1990 MSIL ventured into the travel sector with MSIL Tours & Travels •In 1992, MSIL was a pioneer in
introducing solar water heating system with the brand name MSIL Hot spring.
➢ In 1992, MSIL was a pioneer in introducing solar water heating system with the brand name MSIL Hot
spring.
➢ In Sept 2002, established another Joint venture with HAL and CONCOR as partners to handle Air Cargo
Operations.
➢ In 2005, to protect the interests of the small investors, MSIL launched its own Chit Fund scheme.
➢ In joint venture with M/s. MSIL also entered in to used car market.
 ➢ Subsequent to the ban of Arrack in the state, to ensure that the Quality liquor is available to public at
MRP, Govt. has allotted about 400 retail liquor outlets to MSIL last year to be opened across the state.
The Government of Karnataka, a pioneer in industrial promotion and growth felt the need of an organization to
manage the marketing needs. To manage the marketing needs of growing industries in the state, a unique
concept of marketing enterprise in the public sector was born in March 1966, in Bangalore – Sales International
Limited.
Since then MSIL has grown from a humble trading house to vibrant multi products, multi-dimensional
marketing and export house, offering a wide range of products and services
The changing consumer profit has molded the activities of these business houses, marketing it, entered new and
challenging fields. There by diversifying its operations and broadening its horizons. The company now with a
national presence has crossed an annual turnover of Rs. 1921.05 Crores. And, is one of the very few public
escort undertakings to earn substantial continuously.
Looking back in the late 60’s MSIL was a novel concept in the public sector a centralized marketing unit for the
numerous state owned industries with its in house advertising agency, marketing consultants and agencies
limited. It provided a comprehensive range of marketing and advertisements and advertisements services,
giving it unique place among the public sector undertaking in India..
In the 80’s, MSIL entered the consumer durable market through its hire purchase scheme – MSIL Homemaker.
And, with the MSIL Tours & Travels Division, It started meeting the travel requirements of a large number of
officials. The early 90’s saw MSIL streamline the distribution of Indian Made Foreign Liquor (IMFL) in the
State. Today, when the world has entered a new millennium, MSIL is unabatedly forging ahead with fresh zeal,
banking on its expertise to manage the dynamics of change.
In recent times MSIL had paradigm shift to the consumer durable market with its hire purchase scheme-MSIL
homemaker and with the MSIL Tours and Travels, it has started meeting the travel requirements of the public
also. When there was a need for stream lining the liquor distribution in the state, it was again MSIL which rose
to the occasion and with its wide network, it has carried out the task effectively
The corporate office of the MSIL is at Bangalore with 4 branch offices at Bangalore, Chennai, Delhi and
Mumbai. The company also has 24 depots within the state and 20 depots all over the country

2.2 NATURE OF THE BUSINESS

➢ M.s.i.l” is a premier government of Karnataka marketing organization dealing with various products &
services.

➢ A unique public sector enterprise of the government of Karnataka.

➢ Distinction of having earned profits consistency for nearly for decades.

➢ Established in 1966 as a trading house.

➢ Now has a wide network of offices all over karnataka as well as sameimportant locations in the country.

Keeping pace with the winds of rapid industrialization that are sweeping karnataka, msil is today resting on a
strong footing of excellent performancecoupled with deep rooted trust and confidence amongst its clientele.

Mysore sales international limited, popularly known as msil, is a marketing organization formed in 1966 to
meet the marketing needs of karnataka. Since then, the company has grown from, strength to strength, to
emerge as a dynamic marketing force with a national presence and international reacg. A keen sense of business
acumen, trade experience, managerial effectiveness and credibility are a few of the hallmarks of this marketing
giant. And, its ability to manage a diverse range of products and services through innovative marketing
strategies is the secret of its success. In a business where the prime motivator is people, msil has developed
flexibility in its thinking and management, enabling it to tackle every fresh challenge with an innovative
approach. To stay in rhythm with the changing tastes and values.

BRANCHES

CI TY ADDR ESS TELEPHONE/FAX

MSIL1st Floor,
Mujawar ArcadeMujawar Compound P
B Road,
MSILagum Nehru NagarMSILgaum –10 0831-2474682

MSIL No.718/1 & 1A Chandan

Complex
4th World, MandipetDavangere –577
Davanagere 001 08192-233493

New Delhi Ph: 011 – 23363863

C-4, 2nd Floor Ph: 011-23633864
State Emporia complex Fax: 011 – 23340862
Baba Karak Singh Marg Off: 011 – 23340862
Delhi New Delhi-110 001 Res: 011 – 23914368

MSILAsian Plaza,
3rd Floor Thimmapuri Circle Main
Road
Gulbarga Gulbarga 585 102 08472-250323

MSIL NO.CTS477/1k-2,
R.RMahalakshmi Mansion 3rd Floor,
Desai Circle,
Hubli Pinto RoadHubli 580 020 (0836) 2358581
 MSILNo.407 & 408
Mahendra Arcade 3rd floor,Kudumal
Ranga Rao Road
Mangalore Mangalore –575 003. 0824-2495669

Dy Manager
Arun Chambers (Near A.C.Market) Ph: 022-23521304
Tardeo Main Road Fax: 022-23521304
Mumbai Mumbai-400 034. Telefax No:022-22181658

Show Room- Tordeo World Trade

Centre Fax: 022-22181658

MSIL Mysore Trade Centre 3rd Floor,

Opp.KSRTC Bus Stand (Above
Mysore Bhima\’s Jawellers)Mysore –575 0 01 0821-2344100

Depot Details
MSIL Paper Godwon “Darus Salam”Building
No.332,
Thimmaiah Road (Off Queen’s Road) 080-22354219
Bangalore BANGALORE-560 001. 080-22354220

MSIL Paper Godown Block No.6D,

I Phase, Peenya Industrial Area,
Bangalore New Ingersollrand Road BANGALORE-560 058 080-23724803

MSIL Paper Godown

C/o Shri Suresh.G Gachinakatti
Gachinakatti Colony, BLDE Road
Bijapur BIJAPUR – 586 103 08352 – 262295

MSIL Paper Godown

C/o Davanagere Maganur Basappa & Sons
No. 604, Sri Shivakumaraswamy Nagar
Davanagere Channagiri Road , DAVANAGERE – 577 005 08192 – 262731

Gulbarga 08472 – 456668

MSIL Paper Godown
 C/o Suresh G Nandyal, Guruling Industries
MSK Mill Road , GULBARGA – 585 101.

MSIL Paper Godown

No. 1475,Park Road Northern Extension(Near
srinivasa Kalyana Mantapa)

Hassan Hassan-573 201 08172 – 265426

MSIL Paper Depot

C/o Central Warehousing Corporation
Hebballi (Left) Road, Srinagar Cross
Hubli Tajnagar, HUBLI-580 031 (0836) 2271965

MSIL Paper Godown

Zahir Hostel Complex, Nireshwalya Road
Manglore Bunder, MANGALORE – 575 001. 0824-2429247

MSIL Paper Godown

C/o Karnataka State Warehousing
Corporation, Near Bamboo Bazaar
Mysore New Sayyaji Rao Road, MYSORE-570 021. 0821 – 2497456

2.4 VISSION AND MISSION

VISSION

To remain customer focused always by constantly providing tangible and measurable value for money in terms
of the product services “To be global leader in marketing industry”.
MISSION

The mission of MSIL is to be leader in the Marketing and Distribution of the products and is committed to
engage in improving continuously, rapidly forever and will strive to give its customer outstanding at
competitive price to act as an effective marketing force and providing customer satisfaction.

QUALITYPOLICY

➢ Honoring every commitment.

➢ Providing prompt Quality in all its products and services.

➢ Motivation and involving everyone in the organization.

➢ Participation towards continuous improvements.

OBJECTIVES
➢ To be a customer focused company providing state-of-the-art products & solutions at competitive prices,
meeting the demands of quality, delivery & service.
➢ To generate internal resources for profitable growth.
➢ To attain technological leadership in defence electronics through in-house R&D, partnership with
defence/research laboratories & academic institutions.
➢ To give thrust to exports.
➢ To create a facilitating environment for people to realise their full potential through continuous learning
& team work.
➢ To give value for money to customers & create wealth for shareholders.
➢ To constantly benchmark company's performance with best-in-class internationally.
➢ To raise marketing abilities to global standards.
➢ To strive for self-reliance through indigenization.

2.5 PRODUCT PROFILE

The company operating divisions are:

❖ Chit Fund

❖ Paper Division

❖ Tours and Travels

❖ Beverage Liquor

❖ Industrial Products

❖ Consumer Products

Chit Fund :-

BENFITS OF CHIT
MSIL started Chit Fund Business in the year 2005 with an intention to bring social control over Chit Fund
Business so as to protect the public from being exploited by unregistered/unorganized chit operators.

The schemes under “MSIL Chits” are designed to cater all income groups and all segments of the society. The
main objective of the company is to provide need based financial plans to its customers. Recognizing the
growing need of consumers for safe investment and easy access to their money, MSIL has set up the chit funds
division and launched its own chit funds under the brand name MSIL money tree. MSIL started Chit Fund
Business in the year 2005 with an intention to bring social control over Chit Fund Business so as to protect the
public from being exploited by unregistered/unorganized chit operators. The schemes under “MSIL Chits” are
designed to cater all income groups and all segments of the society. The main objective of the company is to
provideneed based financial plans to its customers. Recognizing the growing need of consumers for safe
investment and easy access to their money, MSIL has setup the chit funds division and launched its own chit
funds under the brandname MSIL money tree.

Transparency in Chit Operations:

Chit is a financial product which blends the advantages of investment and borrowing.Concept: Under a Chit, a
group of persons join together to contribute specific sum of money periodically (monthly contribution is most
common). The individual/institution who/that has undertaken the responsibility of the organizing and
conducting the Chit and assumesthe associated responsibilities and risks is called ‘Foreman’. The other persons
who contribute the money periodically are known as‘Subscribers’. The money paid by all the subscribers every
month or in any periodical interval will be pooled together which is called as ‘Chit Value’ and all the
subscribers have right to bid for the chit amount by means of open auction conducted for the purpose. The
subscribers who are willing for bidding the chit amount have to be prepared to forego a portion of the total
amount to which he is otherwise eligible for and that portion is known as the 'Discount'. The maximum bidding
percentage will be 40% of the Chit value and minimum is 5% of the chit value which is Foreman’s commission.
This foregone amount by the subscriber is utilized to distribute among all the subscribers of the chit group in
proportion to their tickets in the form of 'Dividend', after deducting 5% of the Chit value towards Forman's
Commission. The successful bidder is called as ‘Prized Subscriber’. The money which the prized subscriber is
eligible for minus the discount forgone is called ‘prize money’ which will be disbursed to the prized subscriber
after he/she produces the adequate security for the future liability as per the Company norms. This process is
being repeated every month and every month there will be one prized subscriber. The prized subscriber has to
continue paying the installments till the termination of the chit.(Security Norms)Those members who do not
want to bid and want to just contribute to the chit till the end can do so. When there are no bidders for any
particular auction, one of the non-prized subscribers will be picked as Successful Bidder through lucky draw.
The monthly dividends accrued for the whole duration of the chit are the returns on investment for the monthly
deposit made to their accounts.
• In case of ‘MSIL Chits’, MSIL is the ‘Foreman’
• Chit Groups with different denomination and value will be started from time to time as per the demand from
the public.
• The number of subscribers in each group will be equal to duration of the Chit. For ex: 40 months chit will
have 40 subscribers

2. Paper Division:
For over three decades MSIL has been successful by fulfilling the personnel demand of the students for quality
notebooks at affordable price with its well known brands of “VIDYA” & “LEKHAK” which have become the
Brand Leaders. Apart from the students notebooks, drawing and graph books, we have range of school and
office stationery including computer stationery .MSIL supervises manufacturing and distribution of Vidya and
Lekhak products. The manufacturing process has socio-economic implications as it has given Employment
opportunity to a large number of skilled laborers. Distribution is effected not only through retail outlets and
depots but also directly to schools, colleges and co-operative societies .Vidya notebooks are available in the
States of Karnataka and Tamilnadu .MSIL association with the students community dates back to 1977 when
the company was entrusted with the responsibility of distributing subsidized notebooks.
A special marketing programmer was conceptualized and the brand “Lekhak” was born subsequently .The
Vidya notebooks have carried on this tradition of quality at reasonable prices and have also emerged as the
brand leader in current scenario. Apart from notebooks Vidya caters to other students requirements like drawing
book, graph book, geometry box, color pencils, crayons and range of colorful school bags in various sizes with
attractive designs. The school bags are manufactured by over 100 small scale industries which has created
employment to a large number of skilled labors.

3. Tours and Travels Division:

MSIL as a part of diversification effort, MSIL Tours and Travels Division was commissioned during the year
1992. Division could get stock of ticket from Indian Airlines as a gesture of good will in spite of the fact that
Division was not recognized by IATA (International Air Transport Association). Division has been getting
major support from Secretariatof Government of Karnataka, State Public Undertakings, Governor’s office etc.
Subsequently, MSIL Tours and Travels Division could get the IATA recognition during the year 2001.MSIL
has been promoting package tours fairs abroad, the division also actsas an agent for Karnataka Tourism by
taking on the bookings of ITDC, KSTDC and jungle LODGES and Resorts.

4. Beverage Liquor:

For the period up to 20th July 2015, the company has opened 401 outlets across the State out of 463 outlets
sanctioned by the Government.
Each outlet is provided with uniform set of furniture/storage racks, signage board and Invertors. Out of 401
outlets, four outlets in Bangalore located at Lavelle Road, Rajajinagar, Shivananda Circle and
Hanumanthanagar have been designed as Boutique Shops.

5. Industrial Products :-
To encourage the use of renewable sources of energy, the Company’s Industrial Products Division took up the
marketing of MSIL Hot Spring Solar Water Heaters and Lighting Systems.

The Industrial Products are :-

a) Solar Water Heater
b) Led Lights
c) Cables
d) Global Energy saver
e) Water Purifier

a) Solar Water Heater :-

MSIL-IPD is marketing “HOTSPRING” Solar water heaters which caters to
 Domestic Sector (100-400 LPD)

 Non-Domestic Sector (500 LPD & above)

“MSIL has installed more than 1.5 Million Litres of Solar Water Heaters”
MSIL “HOTSPRING” SOLAR WATER HEATERS

C) LED Lights: -

Eco- Friendly Lights as Led lighting does not produce any ultraviolet (UV) light. Ultraviolet rays are harmful
for skin and eyes. They are made from non-toxic materials and can be recycled LED Lights give high
illumination, and are durable &energy efficient as they use 90% less energy than regular lights. Safer than
Bulbs as they stay cool and pose less of a fire hazard unlike Halogen and incandescent lights which are hot
enough to cause fire, and they frequently do .There is no waiting for led light bulbs to warm up, led bulbs are
not affected by frequent on-off switching. It lights up instantly at full brightness, even in the coldest weather.
LEDs are sturdy bulbs as Durable plastic bulbs are less likely to break than traditional glass bulbs .Now let’s
see, How it saves Money?

Mainly two reasons why LED bulbs save money:

The first reason is because they use less energy. It is this reason that accounts for most of the cost savings of
LED lighting. The second reason is a result that follows from the fact that the LED bulbs last longer. Due to the
longer life of LED lights the frequency of replacements is much lower. This saves on new fixture purchases and
costly maintenance. When comparing cost, both energy savings and replacement savings should be taken into
account. LED Lights are also cost effective as although LEDs are expensive, the cost is recouped over time and
in battery savings.
Most consumers do not recognize the lower cost due to the comparatively high purchase price of LED bulbs.
However, the lower energy use and longer life of the LED bulbs must be considered to get a fair comparison.
To understand better, we can study 10 years comparison chart showing number of replacements against
different light sources.

TYPES OF AVERAGE LIFE

HOURS NUMBER OF TIMES
LIGHT REPLACED IN 10
YEARS

LED Lighting 50,000 hrs ( 10 Buy Once

years)
Fluorescent 6- 8,000 hrs( 1 Buy 8-10Times
/ CFLs year)

Incandesce 1000 hrs (Less Buy 20Times

Nt than 6 months)

a. Cables :-

MSIL market LT cables with insulation of XLPE, PVC (FRLS, Fr, HR, ‘ZERO’ Halogen & PE).
These are manufactured under different BIS licenses to following specifications.
 IS 694:1990

 IS 7098 (PART 1):1988

 IS 1554 (PART 1):1988

 IS 14255 (PART 1)

 UL Approved Appliance Wire Material Style No. 1007,1032, 2464, 2129

 Fire Survival Cable as per BS 6887:1994

PVC & FRLS SINGLE CORE WIRES: -

SBEE CABLES under the supervision of qualified and experienced technocrats who are well versed with
modern manufacturing techniques. PVC insulated SBEE CABLES conforming to IS: 694 – 1990, carry the
prestigious ISI mark and are sheathed. Unsheathed Copper & Aluminum Cables have a wide ranges of
applications in Industries, Agriculture, Machine Tools and Control Panel, Buildings and in all types of electrical
power distribution.

PVC INSULATED POWER & CONTROL CABLES: -

SBEE PVC insulated & sheathed cables offered with cooper &aluminum conductors unarmored and armored
with galvanized steel wire/strip. These cables are suitable for heavy-duty power control and instrumentation
application in power generation utilities, industrial distribution, chemical & fertilizer industries & mining
installation.

XLPE INSULATED POWER & CONTROL CABLES: -

SBEE manufactured Cross Linked Polyethylene Cable i.e. XLPE Cable to overcome the susceptibility of PILC
Cables to ingress of moisture. These cables combine the advantages of PILC and PVC Cables, and totally
eliminating their demerits.
XLPE cables command an immediate acceptance in view of excellent thermal, mechanical and electrical
properties. Aerial Bunched Cables (ABC).Aerial Brunched Cables, 1100-volt Grade are used for distribution
power to individual consumers by utility service providers like electricityboards. Electricity distributing
authorities. The cable is kept supported on poles. The line is tapped intermittently from any required position
which enables to be used in urban as well as rural areas alike.

Aerial Bunched Cables (ABC):-

Aerial Brunched Cables, 1100-volt Grade are used for distribution power to individual consumers by
utility service providers like electricityboards. Electricity distributing authorities. The cable is kept supported
on poles. The line is tapped intermittently from any required position whichenables to be used in urban as
well as rural areas alike.

ZERO HALOGEN FIRE RETARDANT WIRES: -

SBEE manufactures wide range of ZERO HALOGEN FLAME RETARDANT(ZHFR) wires, these wires are
superior & safer alternative to conventional wires which are made of PVC. ZHFR insulated wires are filled with
hydrated fillers which release water during fire, which is deterent for fire & will not propagate.

SIGNAL CABLES :-

In 500 voltage grade, these cables are used for the local inter connection of used for the local inter connection of
ground, sea, airborne instruments and microprocessors.

UL WIRES &CABLES: -

SBEE is proud to have reached major milestone to its already glowing track record. The company has been
awarded product approval by prestigious Underwriters Laboratory Inc, USA. For the following styles ie 1007,
1015,1032, 1569, 2129 & 2464 for appliance writing materials.The product certification is but one more
guarantee that MSIL clientele can be rest assured of total satisfaction on quality. This product is also certified
for CANADA.
1. Consumer Products:-

· The Division has an Alliance with HCL for supply of Computers.

· Division also supplies ‘Cables and Wires’ to Govt. Depts and PSUs in tie up with M/s. S.Bee Cables
India Ltd, Bangalore.

· The division is also in to Used Car Market in tie up with M/s. Oltey Cars Pvt. Ltd.

a) Mustard Oil: -

Mustard oil has a strong sinus-irritating aroma, a hot nutty taste, and is often used for cooking in Utter Pradesh,
Gujarat, Orissa, Bengal, Bihar, Jharkhand, Chhattisgarh, Assam and other areas of India and Bangladesh. In
North India, it is mainly used in frying fritters. In Bengal, it is the traditionally preferred oil for cooking. The oil
makes up about 30% - 34% of the mustard seeds. It can be produced from Black Mustard (Brassica Nigra),
Brown Indian Mustard (Brassica Juncea), and White Mustard (Brassica Hirta) though production from Brown
Indian Mustard is mostly undertaken as it yields higher pungency suited to the Indian Palate .oil has about 60%
monounsaturated fatty acids of which 42% erucic acid and 12% olecic acid, it has 21% polyunsaturates of
which 6% is the omega-3 alpha-linolenic acid and 15% omega-6 linolenic acid and it has 12% saturated fats
.Mustard seeds, like all seeds of the Brassica family, including canola (rapeseed) and turnip, have high levels of
omega-3 (6-11%) and are a common, cheap, mass-produced source of plantbased(therefore, vegetarian) omega-
3 fatty acids. Other than rapeseed and mustard oils, there are few other common sources of plant based
omega03 in Western and Indian diets. Especially when omega-6 intake is kept low, humans can convert the
plantomega-3 into one of the fish omega-3s, eicosapentaenoic acid, in limited amounts, a useful source for
vegetarians.In India, mustard oil is often heated almost to smoking before it is used for cooking; this may be an
attempt to reduce the strongsmell and taste. However, high heat can damage the omega-3 in the oil, reducing its
unique role in health. In Western Countries, the oil is often sold “For External Use Only” in stores catering to
Indian Immigrants. Indians also use mustard oil for rubdowns and ayurvedic massages as it is said to improve
blood circulation,muscular development and skin texture owing to the oil ‘antibacterial qualities. The oil is also
said to improve male virility and sexual libido.
Health Benefits: -

· Vitamin E (anti-oxidant, radiant skin, good for heart)

· Natural anti-oxidants (slows ageing, prevents illness &diseases)

· High amount of mono-unsaturated fatty acids (good forheart)

· Good ratio of polyunsaturated fatty acids (good for heart)

Export: -
MSIL has been engaged in the export of Sandal Wood Oil, Soaps, Spices, Coffee, Rice, Garments and Other
items over a period of time. Now with the business prospects of export of Iron Ore from India to China MSIL is
involved in the export of the same. Consequently 41000 MTs pf Calibrated Iron Ore valued at Rs. 1085.68
lakhs were exported to China. MSIL has plans to continue the export of Iron Ore. For the purchase of Iron Ore
fines and Calibrated forms the company will be tying up with suppliers from Karnataka.
  Over the years, MSIL has successfully exported Sandalwood oil, Soaps, Spices, Coffee, Rice,
Garments and Many other commodities.

 MSIL exported 41,000 MTs of calibrated Iron Ore worth.

 US $2.48 million to China.

 In view of the difficulties and other market players being there, it is not pursued seriously.

2.6 COMPETITORS PROFILE

· Khadi and Village Industries Commission 

The Khadi and Village Industries Commission (KVIC) is a statutory body formed by the Government of

India, under the Act of Parliament, 'Khadi and Village Industries Commission Act of 1956'. It is an apex
organisation under the Ministry of Micro, Small and Medium Enterprises, with regard to khadi and village
industries within India, which seeks to - "plan, promote, facilitate, organize and assist in the establishment and
development of khadi and village industries in the rural areas in coordination with other agencies engaged in
rural development wherever necessary."[1] In April 1957, it took over the work of former All India Khadi and
Village Industries Board.[2] . Its head office is in Mumbai , whereas its six zonal offices
in Delhi, Bhopal, Bangalore, Kolkata, Mumbai and Guwahati. Other than its zonal offices, it has offices in 28
states for the implementation of its various programmers
Khadi, (pronounced Khādī) refers to hand-spun and hand-woven cloth. The raw materials may be cotton, silk,
or wool, which are spun into threads on a charkha (a traditional spinning implement).

"The livery of freedom" – Mahatma Gandhi

Khadi was launched in 1920 as a political weapon in the Swadeshi movement of Mahatma Gandhi.Khadi is

sourced from different parts of India, depending upon its raw materials - While the silk variety is sourced
from West Bengal, Bihar, Odisha and North Eastern states, the cotton variety comes from Andhra
Pradesh, UttarPradesh, Bihar and WestBengal. Khadi poly is spunin Gujarat and Rajasthan while Haryana

, Himachal Pradesh and Jammu and Kashmir, Karnataka are known for the woolen variety.There are a wide
range of Khadi personal care products manufactured in Uttarakhand Khadi Products - Handmade and Natural.

· Bajaj FinservLimited
Bajaj Finserv Limited, a part of Bajaj Holdings & Investments Limited, is an Indian financial
services company focused on lending, asset management, wealth management and insurance. Thecompany
employs over 20154 employees at 1409 locations, and is engaged in consumer finance businesses, life
insurance, and general insurance. Apart from financial services, Bajaj Finserv is also active in wind–energy
generation with an installed capacity of 65.2 MW.
The financial services and wind energy businesses were transferred to Bajaj Finserv Limited (BFS) as part of
the recently concluded demerger from Bajaj Auto Limited, approved by the High Court of Judicature
at Bombay by its order dated 18 December 2007. The demerger was effective on 31 March 2007.
Bajaj Holdings has been registered as a Non–Banking Financial Company (NBFC) under the Registration No.
N–13.01952 dated 29 October 2009 with Reserve Bank of India (RBI). The company is classified as a
Systemically Important Non–deposit taking NBFC as per RBI Regulations.

· Muthoot Finance

Muthoot Finance Ltd. is an Indian financial corporation. It is known as the largest gold financing company in
the world. In addition to financing gold transactions, the company offers foreign exchange services, money
transfers, wealth management services, travel and tourism services, and sells gold coins at Muthoot Finance
Branches. The company's headquarters are located in Kerala, India, and it operates over 4,400 branches
throughout the country. Outside India, Muthoot Finance is established in the UK, the US, and the United Arab
Emirates. While the company falls under the brand umbrella of the Muthoot Group, its stocks are listed on
the Bombay Stock Exchange (BSE) and NSE. As of March 2012, revenue (after expenditure) stood at more
than Rs. 23,000 crore ($4.2 billion).The target market of Muthoot Finance includes small businesses, vendors,
farmers, traders, SME business owners, and salaried individuals.
The company was incorporated as a private limited company on March 14, 1997 with the name “The Muthoot
Finance Private Limited” under the Companies Act.

On November 18, 2008, the company was converted into a public limited company with the name “Muthoot
Finance Limited”. During the year 2009-10, the company added 620 new branches.
In July 2016, Muthoot Finance acquired 46.83% of the capital of MSILstar Investment and Finance Private
Limited (BIFPL).
In May 2018, Muthoot Finance acquired Muthoot Money, a Non Deposit taking Non-Banking Financial
Company.[
2.8 AWARDS AND ACHIEVEMENTs

In 2003, MSIL received the “RATHNA” award.

CORPORATE SOCIAL RESPONSIBILITY

1. Project Health Care (ongoing)
➢ Construction of Medical Ward etc. & Supply of Medical Equipment.
➢ Improving Adopted Villages in 7 States under the Hon’ble PM’s “Swachh Bharat Abhiyaan”
Location: Udupi district Hospital, Mangaluru karanataka

2. Sanitation Program (2017-18): The Company has contributed some amoount of money for
provision of public awareness toilets, hand wash, drinking water etc under Swachh Bharat Abhiyan.

3. Rural Development Projects (2017-18): The Company has contributed some amount of money for
providing CCTV cameras, sport shoes to participants of Tribal youth exchange program, e Sagu-IT
driven personalised agri-facilitator, developmental works in adopted villages in four states,
constructionof Bituminous Road in Nimmaluru Village and Improvement works at IALA under
“Swachh Bharat Abhiyan”.

4. Education and Skill Development Initiatives (2017-18): The Company has spent some amount
of money for up-gradation of infrastructure in adopted Govt. ITIs, training of apprentices, setting up e-
learning and knowledge centre and Sainik school, Satara under Skill India Mission.

5. Promoting Education  (2017-18): The Company has contributed some amount of money for
provision of classrooms, toilets, kitchen, furniture, drinking water and other related works at Govt.
Schools; augmentation of infrastructure & facility maintenance in educational institutions.

6. Rural Development Projects  (2016-17): The Company has spent some amount of money for
providing E Sagu – IT driven personalized argi-facilitator.

7. Swachh Vidyalaya Campaign  (2016-17): MSIL has implemented “Swachh Vidyalaya

Abhiyaan”, an initiative of the Govt. of India by constructing toilets for boys & girls in 114 schools
across 8 states. The aim of this initiative is to create awareness about sanitation and inculcate hygienic
habits in school children of all ages. It is envisaged that this initiative will have a cascading effect - the
children becoming agents of change for healthier habits in their schools, homes and communities as
well.

Project Location: Kalaburagi-Karnataka

8. Ensuring Environmental Sustainability (2016-17): Development activities were taken up
including Provision of borewells, overhead tanks, water distribution pipelines, solar water pumps, Water
Filteration Plant & RO drinking water facility to provide safe drinking water to the villages, de-silting of
existing water bodies, cleaning of over-head tanks etc. providing sanitation facilities like Public Toilets,
Sewage & drainage system, Community Toilets, garbage collection, disposal & awareness programmes
on waste management & hygiene, providing required medical equipments for the primary health centers
 etc. It is envisaged that this initiative will enable our country to have “Smart Villages”, which go a long
way towards further economic growth.
9. Administrative Expenses (2016-17): Company has spent some amount of money for
Administrative expense
10. Skill India initiative  (2016-17): MSIL has adopted six Government Industrial Training Institutes in
six states across India under Government of India’s “Skill India” drive. Being a technology driven
company, MSIL proposes to enhance the skills of the youth by upgrading infrastructure and provide
tools, equipments & required machinery. Performance parameters like pass percentage, percentage
attendance, employability have been identified for improvement.
Project Location: Chikkaballapura-Karnataka, Panchkula-Haryana, Pune-Maharashtra, Chennai-Tamil
Nadu, Andhra Pradesh
11. Promoting Education  (2016-17): The Company has spent some amount of money for Construction
of 12 Classrooms, Kitchen & Toilets block for girls and boys in GMHP school at Madikeri.
Company has also provided provision of solar modules to MGIRED, Jakkur, Augmentation & Infrastructure
Facilities maintenance in educational institutions, Construction of CC Road near Kendriya Vidyalaya,
Machilipatnam.

Environment and Community Development  (2015-16): Improving Road Safety, environment,

Cleanliness and empowerment of Communities.

i. Educational Activities (2015-16):

➢ Construction of Classrooms; Augmentation and Infrastructure Facility maintenance in Educational

Institutions.
➢ Construction of Classrooms, Science Block, Library, Kitchen and Toilet Blocks at Govt. Schools
 CHAPTER- 3

ORGANISATIONAL STRUCTURE
ORAGANIZATIONAL STRUCTURE

CHAIRMAN

DIRECTORS

MANAGING DIRECTORS
Board of Directors

Name Designation Address

Chairman Mysore “MSIL HOUSE” NO.36

1 Shri M.L. Anilkumar Sales Intenational Limited Cunningham Road
Bangalore – 560 052

Dr. G.C. Prakash, IAS Managing Director “MSIL HOUSE” NO.36

Cunningham Road
Bangalore – 560 052

Smt K Ratna Prabha, IAS Director Vikasa Soudha

Dr. B. R. Amberdkar Road
Bangalore – 560 001

Shri Naveen Raj Singh, IAS Director Khanija Bhavan, 4th Floor,
East Wing,
49 Race Course Road,
Bangalore – 560 001

Shri Gaurav Gupta, IAS Director Khanija Bhavan, Race

Course Road,
Bangalore – 560 001

Shri S.R. Umashanker, IAS Secretary to Govt. NO. 260, 2 nd Floor,

(Expenditure) Vidhana Soudha
Bangalore – 560 001
DEPARTMENTS AND ITS FUNCTIONS
Department refers to the normal structure of theorganization composed of various departments, managerial
position and the relationship composed of various departments, managerial position and therelationship to each
other. It is efficient and effective grouping of the jobsinto meaningful work units to cooperate numerous jobs all
for expeditionsaccomplishment of the organization is objective.MSIL has adopted an effective way of
Department for the smooth andeffective functioning of the organization.

The Various Departments of MSIL Company:-

1. Administration Department
2. Personnel / Human Resource Department
3. Finance and Accounts Department
4. Estate Department
5. Security Department
6. Marketing and Sales Department

1. Administration Department: -
 The department is concerned with administrative function like handling of paper works involving data
capture, information retrieval processing and recording data.
 Payment of telephone bills.
 Maintenance and upkeep of offices equipment’s like our conditions, telephones, compactor.
 These departments also give importance to the cleanliness of the entire office premises by keeping in
neat and clean.

2. Personnel / Human Resource Departments: -

 MSIL always ensures that people looking for the company are always physically and normally fit and
complete.
 It develops / involves politics and procedures and communicates to its employees.
 It takes care of salary / wages preparation maintenance of attendance, leave and personnel.
 This department ensures the security and salary of the organization by interfacing the security
department.

3. Finance and Accounts Departments:-

· It manages the finance of the company like raising capital, loan etc.
· The A/C function records all the financial transactions and maintenance, power A/C of income
expenses.
· It also takes care of all payroll. Preparation on 2 processing of same for the employees of the
organization every month.
· These departments provide the relevant infinities to the auditors in preparation of annual balance sheet
profit and account etc.
· It provides the organization with statistical dates by calculation various financial ratios.
· It has its brands all over the major functional divisions of the organization.
 4. Estate Departments :-
The estate department of MSIL is responsible for overall maintenance of the use of space. The maximizes
productivity a defective may be advised at minimum cost it also sees to the payment of the office premises with
good interior decoration and lighting comfortable seating etc.

1. Security Departments :-
The department of MSIL insures the physical security of the organizational assets, it also sees to the safe
custody of goods at various go down stores and departments located at different places. The departments ensure
and observes the safety/ precautions measures to avoid accidents. shifts timings for the security personnel is
planned and organized by this department. If required round the clock security is also organized by these
departments.

2. Marketing / Sales Departments :-

These departments of MSIL culture the need of the customer’s function such as marketing research,
advertisements, sales promotions and corporate communication as part of the department, this department is the
core department of entire organization.

2.10 SWOC ASSESSMENT

The SWOC analysis is an extremely useful for undertaking and decision making for all sorts of situations in
business and organization, SWOT is anacronym for strengths, weakness, opportunities and challenges.

Strategic Analysis: -
Internal Factors
1. Strength
2. Weakness

External Factors:
1. Opportunities
2. Threats
Internal Factors: -

1) Strength: -
 Established and trusted brand name with its presence in the market for more than 50 years.

 One among very few Government of Karnataka undertakings making profits continuously.

 Involved in marketing of diversified products.

 Experienced manpower to overcome any challenges.

 Expertise to undertake marketing of any product with its experienced and skillful employees.

2) Weakness: -
 Established and trusted brand name with its presence in the market for more than 50 years.

 One among very few Government of Karnataka undertakings making profits continuously.

 Involved in marketing of diversified products.

 Experienced manpower to overcome any challenges.

 Expertise to undertake marketing of any product with its experienced and skillful employees

External Factors: -

1) Opportunities: -
 Established and trusted brand name with its presence in the market formore than 50 years.

 One among very few Government of Karnataka undertakings making profits continuously.

 Involved in marketing of diversified products.

 Experienced manpower to overcome any challenges.

 Expertise to undertake marketing of any product with its experienced and skillful employees

2). Threats :-
 Government may withdraw retail liquor outlets business at any point o time which is major contributor
of revenue

 With more than 50% of the employees are due for retirement in next few years.

 Company may face severe problem of manpower with requisite expertise.

 Chapter 4
Research methodology
OBJECTIVES OF THE STUDY
1. To study the various functions executed by different divisions in the organization.

2. To understand the divisional structure of each department of the organization.

3. To create suggestion on the basis of study findings.

SCOPE OF THE STUDY

The scope of the study confined only to MYSORE SALE INTERNATIONAL LIMITEDhis study helps to understand the
efficiency and effective functioning of various department. It gives a practical exposure to study and gain knowledge
about functioning of the organization.

LIMITATIONS OF THE STUDY

 Time was a major limiting factor.

 Lack of cooperation from certain departments because of their work load.

 The information provi ded by the company is assumed to be authentic.

METHODOLOGY

Both primary and secondary data will be collected and the same will be used for the completion of the
organization study. Company was selected on the basis of popularity, easiness to approach, availability of
resources etc. Organization study will be conducted by using both primary and secondary data.

DATA COLLECTION

Primary Data

Primary data will be collected through personal interview and observation. Personal interview will be conducted
with regional manager of Happiest Minds and the observation method will be used to study organization
structure.

Secondary Data

Secondary data will be collected from journals, annual reports, quality manual, websites and existing records of
the company.
 CHAPTER 5
CASE CONTEXT
 MARKETING STRATEGIES
Pricing strategies of MSIL
MSIL adopts the simplest methods of pricing, the cost-plus pricing for all its product lines. The cost includes
expenses like material, logistics, selling, promotions, other overheads and lastly, the trade margins. The selling
price is calculated on the basis of. Selling Price = Total cost + Profit. The selling prices of all the products are
very competitive with no compromise on the quality. There would always be some allowance for discounts to
adjust to the market pressures. Therefore, a company follows cost + pricing, competitive pricing, market
oriented pricing, in marketing its product.

These strategies are followed according to the situations.

1. Competition-based pricing Setting the price based upon prices of the similar competitor products.

Competitive pricing is based on three types of competitive product:

• Products have lasting distinctiveness from competitor's product. Here we can assume

a) The product has low price elasticity

b) The product has low cross elasticity

c) The demand of the product will rise.

• Products have perishable distinctiveness from competitor's product, assuming the product features are
medium distinctiveness.

• Products have little distinctiveness from competitor's product assuming that:

a) The product has high price elasticity,

b) The product has some cross elasticity,

c) No expectation that demand of the product will rise.

2. Cost-plus pricing

Cost-plus pricing is the simplest pricing method. The firm calculates the cost of producing the product and
adds on a percentage (profit) to that price to give the sellingprice. This method although simple has two flaws;
it takes no account of demand and there is no way of determining if potential customers will purchase the
product at the calculated price. Price = Cost of Production + Margin of Profit.

3. Market-oriented pricing

Setting a price based upon analysis and research compiled from the targeted market. Also
with the cost price.
 4. Penetration pricing

The price is deliberately set at low level to gain customer's interest and establishing a foot-hold in the market.

5. Price discrimination

Setting a different price for the same product in different segments to the market. For example, this can be for
different ages or for different opening times, such as cinema tickets. Market orientated pricing is also a very
simple form of pricing used by very new businesses. What it involves is, setting the price of your
product/service according to research conducted on your target market.

6. Premium pricing

Premium pricing is the practice of keeping the price of a product or service artificially high in order to
encourage favorable perceptions among buyers, based solely on the price. The practice is intended to exploit
the (not necessarily justifiable) tendency for buyers to assume that expensive items enjoy an exceptional
reputation or represent exceptional quality and distinction.

7. Marginal-cost pricing

In business, the practice of setting the price of a product to equal the extra cost of producing an extra unit of
output. By this policy, a producer charges, for each product unit sold, only the addition to total cost resulting
from materials and direct labor. Businesses often set prices close to marginal cost during periods of poor sales.
If, for example, an item has a marginal cost of $1.00 and a normal selling price is $2.00, the firm selling the
item might wish to lower the price to $1.10 if demand has waned. The business would choose this approach
because the incremental profit of 10 cents fi-om the transaction is better than no sale at all.

Promotional strategies of MSIL

From 1973 to 1988, for promoting its products. The Indian cricket captain, Mahindra Singh Dhoni was roped m
by MSIL for Rs 84.85 lakh in January 2006 for a two-year term. Later, the contract was cancelled due to the
busy schedule of the star cricketer. The details of promotional effect are given as below:

1. Advertising

The different media in which the advertisements of MSILappear are,

a) News Papers: The Hindu, Deccan Herald, Prajavani, Samyukta Karnataka (for all products).

b) Magazines: Stardust, Famina, Film Fare, Sudha, Taranga, Gruhashobha (for all products).

c) Radio: FM radio, Nandana and Film Songs in Vivid Bharathi.

d) Television: DD1, DD9, Udaya TV

e) Wall paintings and Hoardings in major cities.

f) CCTV (Closed circuit): CCTVs placed on the platforms of Railway Stations and Bus Stations.

g) Transit Advertising: on company owned vehicles, BMTC buses in Bangalore.

h) Company's official website: www.mysoresandal.com. The company website is designed by professionals.
The site carries high image of the company and also depicts the rich heritage of Kamataka. The site is supported
by a continuous play back classical music for the person viewing the site.

2) Sales Promotion Activities of MSIL

Consumer Promotion tools are

a) Free Samples

b) Discounts: on all the products of MSIL if the buyers (MSIL employees and the consumers) buy at factory
gates. Mysore Sandal Gold in retail outlets.

Retailers Promotion Tools are,

a) Premiums

b) Display Allowances

c)Seasonal

d)discounts

Other Promotion tools are.

a) Trade Fairs and Exhibitions: Most often, MSIL prefers to sell its products in trade fairs and exhibitions as
this is one of the cheapest means of promotion.

b) Sponsorship: MSIL has the practice of sponsoring academic programs like conferences in which, the
company would be having stall to promote its products. And also, MSIL sponsors gifts for "Surabhi", a weekly
cultural program in DDL

3) Personal Selling at MSIL

MSIL has strong team sales executives, covering all the cities in respective states. The Bangalore branch alone
has around 90 field staffs and 15 junior officers. These executives report to 3 officers in Bangalore. The
executives are well trained and are highly motivated to carry on the sales job. The main objectives of the sales
team are:

a) To generate regular business from the existing charnel members and to develop the market with respect to
new geographical areas and new customer base.

b) Collections for invoices raised, and

c) To minimize the outstanding balance with the charmel members. To motivate its sales team, MSIL has
attractive monthly incentives for its executives. The incentive schemes have been designed around the three
parameters, which are nothing but the objectives of the sales team. Each parameter is allocated with marks, like
Sales Growth - 40 marks. Collections - 30 marks, and Debtors - 30 marks.

In addition to the above, the supervisors get

• Rs.5000 for Highest growth for the year.

• Rs.5000 for Highest collection for the year.

Other awards include,

• Honorable minister's trophy for the best of the Southern branches, Rs.2500.

• Best supervisors of the branch get Managing Director's trophy and Rs.5000.

4. Place/Distribution Strategies of MSIL

MSIL has 3 production centers, 7 marketing offices spread across India. The marketing offices are located in
Bangalore, Chennai, Hyderabad, Calcutta, Mumbai, New Delhi and Kanpur. MSIL is operating through its 250
strong stockiest and Carrying and Forwarding agents (re-distribution stockiest). The company depots supply
goods to C&F agents and the stockiest appointed in all major cities. The C&F agents and the stockiest in turn
supply to wholesalers and the retailers. The C&F agents, stockiest and wholesalers get a trade discount of
5.25% on the invoice value while the retailers get up-to 18-20% on total invoice value. The retailers' margin
includes trade discount (margin), cash discounts, quantity discounts, product discounts and finally, the turnover
discounts. Except the turnover discount, other discounts are settled for each invoice. And, the turnover discount
is settled once in a quarter. At the same time, MSIL also has its direct selling team. During specified days of the
week, the company owned vehicles carrying the products, sell all the types of products of the company in some
designated localities of different cities.

Kirana Store: This is the most common source for buying Beverage Liquor, which usually forms a part of the
month's grocery list (which is purchased from these Kirana Stores). Consumers exhibit loyalty to these stores,
which is largely dependent on proximity to consumers' homes. Here consumers buy across the counter and do
not have an option of browsing through display shelves.

Pan-Beedi Shops: These are really small shops, almost like handcarts, and they are primarily set up to dispense
cigarettes and chewing tobacco. However, one would find such a shop at every corner and they are the main
sources of Beverage Liquor purchase for the lower socio-economic classes. These kinds of shops exist by the
dozen in rural areas. Department Store: In India, there are very few department stores and the "Indiahised"
version of department stores are called "Sahakari Bhandars." It is still a fairly new concept. However,
department stores have good display counters and this is the only place where consumers get a
firsthandexperience of shopping and choosing from available options. Here soap prices are also discounted
MSILow the retail prices.
Distribution Channels of MSIL

PRODUCTION DEPARTMENT

CFGS [CENTERLISED FINISHED GOODS STORES)

DPG & C&FAs (DUTY PAID GODOWNS AND CLEARING AND FORWARDING AGENCIES]

RDS (RE-DISTRIBUTION STOCKISTS)

SUB-STOCKISTS WHOLESALERS

RETAILERS

END USERS
ANALYSIS OF PERFORMANCE OF MSIL

As already discussed, MSIL offers different types of product in addition to Mysore Sales International
Limited. The analysis of overall performance of company in production, sales and profit can give some
insights into the evaluation of marketing strategies. The effectiveness of any company is reflected in its trends
in sales, profits and production. Therefore, the attempt is made here to analyses the performance of the
company, considering the trends in sales, production and profit during the last five years. Further, the analysis
of total cost, costs on advertising, publicity, sales promotion and distribution has also been made to the
analyses the share of advertising, distribution and sales promotion costs in total cost. The researcher has
computed the annual growth rate to get the trends of production, sales, profits and costs. The annual growth
rate is computed by using the following formula.

Annual growth rate = Current year figure - Last year figure * 100

Last year figure

Trend of profits of MSIL

SL.NO YEAR PROFIT PER AGR

ANNUM IN RUPEES

1 2014 2,67,00,000 -
2 2015 1,79,00,000 -32.95
3 2016 3,78,00,000 111.17

4 2017 8,82,00,000 133.34

5 2018 11,6800,000 32.42

In the year 2014 the profit has fallen considerably but in the year 2016-2017 there has been considerable
increase in profits. However, as compared to these years, in the year 2018 the growth rate has fallen. The table
the total expenses, advertising and publicity expenses, sales promotion and distribution expenses and the annual
growth rates for the last five years.

SWOT ANALYSIS
SWOT examination is a strategic arranging technique used to help a person or association
identify strengths, weaknesses, opportunities, and threats related to business competition or
project arranging. It is intended to specify the objectives of the business venture or project and
identify the internal and external factors that are favorable and unfavorable to achieving those
objectives. Users of a SWOT examination often ask and answer inquiries to generate meaningful
data for each category to make the apparatus useful and identify their competitive advantage.
SWOT has been described as the tried-and-true instrument of strategic investigation, yet has
likewise been criticized for its constraints.
Strengths and weakness are frequently internally-related, while opportunities and threats usually
center on the external environment. The name is an abbreviation for the four parameters the
technique examines:

STRENGTH OF THE COMPANY

 Proper balancing is done within all departments like retail channel, distribution network
and production department.
 They have in-house production department due to this they can meet any requirement of
client and that too in a short span of time.
 Design and distribution
 Has the advantage of being a strong first mover in the category

WEAKNESS OF THE COMPANY

 The company is relatively new compared to industry leaders
 Limited market share growth and high brand switching due to many options

OPPORTUNITY OF THE COMPANY

 They are looking for diversification of their product and services, they are also moving
towards non gear products
 They can do brand promotion by organizing cultural activities like organizing melas
activities, fest etc.
 To capitalize on the fact that it is a first mover and hence become known completely for
outdoor requirement
 To create a market for itself by creating awareness
 Tap international market with more advertising

THREATS OF THE COMPANY

 Duplicate and fake imitations affect the brand
 International brand slowly entering into the market with their expertise and strong brand
name
 Unorganized sector which contributes 58% of luggage industry and can have price
advantage
 CHAPTER 6

FINDINGS, SUGGESTION AND CONCLUSION

 FINDINGS
 Established and trusted brand name with its presence in the market for more than 50 years.

 One among very few Government of Karnataka undertakings making profits continuously.

 Involved in marketing of diversified products.

 Experienced manpower to overcome any challenges

 Expertise to undertake marketing of any product with its experienced and skillful employees.

 Government may withdraw retail liquor outlets business at any point of time which is major contributor
of revenue.

 With more than 50% of the employees are due for retirement in next few years.

 Company may face severe problem of manpower with requisite expertise.

 SUGESSTIONS
 The organization should utilize available manpower properly.

 MSIL have to practice more of conducting training to employees on knowledge up gradation or on any
specific subject.

 Employees need to be trained on personally development and customer orientation regularly.

 Organization need to recognize and motivate deserving employees.

 MSIL need to take Decision making aspects to be fast compared to the present scenario.

 More paper work and e-communication has to been implemented effectively.

 Need more recruitment and promotion policy in place.

 CONCLUSION
Working at MSIL was a completely different experience for me. Being in an organization which
is completely governed by the directors of the company was a refreshing project. Two years from
now we can see MSIL becoming a major brand name in the country. At the exponential rate at
which they are expanding nothing seems to come in the way of the three inspirational directors.
A detailed study of MSIL products has been conducted. The study helps to make some
recommendations to improve the sale of MSIL S products and to improve the relationship.
 CHAPTER 7

BIBLIOGRAPHY
 BIBLIOGRAPHY

Websites:

➢ http://www.MSIL-india.in

➢ https://www.slideshare.net/vishalkumargupta/MSIL-project-report

➢ https://www.scribd.com/doc/44389584/MSIL-Project-Training-Report

➢ https://www.moneycontrol.com/india/stockpricequote/electricals/bharatelectronics/BE03

Books:

➢ MSIL magazine,

➢ Ford magazine

➢ Personal magazine of various departments

➢ MSIL yearly diary.

Report:

Annually, Quarterly report of MSIL