Professional Documents
Culture Documents
Summer Internship Project-Soham Jadhav 1
Summer Internship Project-Soham Jadhav 1
Summer Internship Project-Soham Jadhav 1
Project
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CHAPTERS PAGE NO
Executive summary 7
1. Introduction 8-23
1.1 Company Profile
1.2 An overview of real estate industry
1.3 Diversification Strategy
2. Literature Review 24-29
3. Research Methodology 30-36
3.1 Objective of Study
3.2 Research Problems
3.3 Factors and Parameters
3.4 Data Collection
3.5 Research Technique
3.6 Sampling Technique
5. Conclusion 53
6 Recommendations 54
7. Limitation s 55
8. References 56
9. Annexure-I 57-58
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Executive Summary
The main objective of the project is to study the diversification of “THE HOME
COMPANY”, a real estate company to publications with respect to the difficulties and
the problems faced by them during the diversification and also to study how they are
tackling with all such situations. The report consists of the brief summary of the
company and apart from this it clearly mentions the objective of the study and the
research methodology used i.e. both the primary as well as the secondary data. The data
collection method used is structured non disguised questionnaire in which the types of
questions used are open ended, multiple choice and close ended.
The report consists of a detailed view of the tasks, which we have been undertaken
to analyze the scenario of the real estate market and the buying behavior of the people
while purchasing the property. For the accomplishment of the task we had prepared
various set of the questionnaire so as to know the consumer buying behavior and also
how a real estate firm is diversifying itself to the publications. Besides this, the report
consists of the finding that Pune an region is the major attraction for the real estate
investors and has more scope to grow in terms of property market. The project helped me
to know more about the realty sector and also about the current scenario of the property
market in India.
With the help of questionnaire I was able to carry out the detailed analysis of my
project. The details of the methodology used by me for the accomplishment of the project
is stated as below:-
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Chapter 1
Introduction
5
1.1 Company Profile
'The home company' has developed more than 800 properties within Pune and the region
alone and as a leader in the real estate development and consultation domain has set
standards in the industry with its Services Since 1983. It is widely recognized as an
authority in this niche segment and is seen as a first choice partner in success by most
clients.
With a presence in Pune, across India and the home company leverages its wide network
and resource to maximize client benefit.
As a company the home urges Active Participation, it is a place that nurtures and
encourages innovation and maintains an environment of easy approachability. This is a
way of ensuring the best practices that have made the home company what it is today,
percolate down to every level right from the top management to staff at the site.
Our Phenomenal Success is often attributed to the absolutely transparent way in which
we do our business and the stress we lay on clear and open deals with our clients.
Every property developed by the home company is marked by its Distinct Sense of
Design Superiority and Maximum Utility-They stand apart from the rest.
The drive to excel that underlines every the home company effort today continues to
propel the company towards new and unexplored areas creating greater value for our
clients.
Constructions
As a builder the home company in its long engineering history has undertaken some of
the biggest constructions projects in India. With ample acquired skills and hands on
experience in construction of residential and commercial complexes, hospitality
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environments and work spaces, it is ideally equipped to rise up to any challenge in this
domain.
Renovations
Renovating an existing property can be a tricky task because it is not merely complex but
also involves a certain human element. Understanding the client’s final picture of the
property and the significance from the existing property both from the engineering stance
and the aesthetic stance is where the sky lies. And people at the home company know just
how to rule earth.
We carefully understand the client’s renovation need and then suggest realistic
options before setting about executing it. Supported by seasoned engineers and
technicians, most renovations we do end up exactly the way the client had dreamed of.
Architectural
As market leaders, the home company is home to some of the most creative architectural
brains in the industry who have proved there mettle in projects that stand out for there
architectural excellence and safety. The evolved design sense, advanced architectural soft
wares we use and the passion of the people behind it all come together to make the
distinct the home company difference.
Interior Designing
As value additions to the already sterling services that we provide, the home company
offers interior design solutions that convert empty spaces into functional, stylish and
dynamic living or working environment. The spaces are designed in keeping with your
taste and the functionality.
Safe, sturdy, stylish and maximized utility is how what we want our interiors to be
and we work diligently towards it. We provide comprehensive design solutions so that
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you don’t have to look elsewhere from your plumbing to color co-ordination to
electrification-we take care of every aspect of your dream design.
Introduction
All immovable properties including land, structures on it and other natural resources can
be classified as real estate. It is also referred as realty. All types of residential,
commercial and industrial properties fall under this domain. Real estate involves the
purchase, sale and development of land, residential and non-residential buildings. The
major players in this sector are the realtors, builders, brokers, buyers and sellers. The
activities of the real estate sector encompass the housing and construction sectors also.
With its huge growth potential in the market, real estate sector has emerged as a
major field of business in recent time. The real estate sector in India has assumed
growing importance with the liberalization of the economy. The consequent increase in
the business growth opportunities and migration of the labor force has, in turn, increased
the demand for commercial and housing space, especially rental housing. The
development and expansion in the real estate sector is influenced by the developments in
the retail, hospitality and entertainment (e.g., hotels, resorts, cinema theaters ) industries,
economic services (e.g. hospitals, schools ) and information technology (IT) enabled
services (like call centers ) etc. and vice versa.
The real estate sector is a major employment driver. It is the second largest
employer next only to agriculture. All this is due to the chain of backward and forward
linkages that the sector has with the other sectors of the economy, especially with the
housing and construction sector. About 250 ancillary industries such as cement, steel,
brick, timber, building materials, etc. are totally dependent upon the real estate industry.
The real estate sector in India is flourishing rapidly and widely with a growth rate of
about 30 percent each year. The division is like - about 80 percent of the real estate
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development in India has been in the field of residential housing and the remaining 20
percent includes office, shopping malls, entertainment centers, hotels, multiplexes and
hospitals. India’s booming outsourcing business industry and consumption-led growth are
contributing significantly to its real estate growth. The outsourcing business houses
including call centers, technical consultancy services, and medical transcription units and
programming houses constituted around 12 million square feet of real estate growth in
India till 2019. In last couple of years the share of commercial sector in the overall real
estate growth has been more prominent.
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The relatively crucial development potential of real estate industry, coupled by the
encouraging and favorable FDI regulations and increasing focus from the private equity
sector has created substantial investment and significant growth opportunities for the real
estate companies.
As this springing up realty sector is getting on into a stable and sustainable economic
sector, three key trends, which are likely to shape its future, are emerging:
The sustainability of growth in the real estate sector is due to its strong and intensive
demand by various other sectors like:
i) Rapid expansion of IT and IT-enabled services and also the business outsourcing
industry including both the knowledge process outsourcing and the clinical testing
outsourcing.
ii) Extensive development and acceptance of shopping malls as “one stop destination”
for the consumers.
iii) Growing popularity of the special economic zones as preferred destinations for both
the manufacturing as well as service industries.
Government Initiatives
The introduction of many progressive reform measures by the government to unlock the
potential of the sector and also to meet increasing demand level has provided a better
exposure and also helped this sector to emerge as a full fledged grown up player among
all the other sectors in the market. The government has announced a stimulus package
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coupled with the Reserve Bank of India’s move has allowed banks to provide special
treatment to the real estate sector, which is likely to impact the real estate in a more
positive way. RBI has decided to extend exceptional concessional treatment to the
commercial real estate which was restructured on 30th June 2009.
For the better development of the realty sector, government has provided sops to
the real estate sector as stated in the 2009-10 budgets. The developers of housing
projects (units of 1000-1500 sq. ft.) have been granted a tax holiday on profits
from projects initiated in the financial year 2007-08. Such project must be
completed before March 1, 2012.
With the boom in the property market spreading in all directions, the real
estate sector is touching new heights of success. However, this growth in the
realty sector is also due to the various policies adopted by the government to
facilitate investments mainly in the economic and industrial sectors. Also the new
stand adopted by the Indian government regarding the foreign direct investment
(FDI) policies has been encouraged and appreciated by increasingly large amount
of countries to invest in Indian Real Estate and in Indian Properties.
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Why Invest in Indian Real Estate
Flying high on the wings of booming real estate, property in India has become a dream
for every potential investor looking forward to dig profits. Everybody is eyeing on the
Indian property market for a wide variety of reasons:
Real estate sector in India is witnessing tremendous boom. It’s ever growing
economy is on a continuous rise with 8.1% increase witnessed in the last financial
year. The smashing growth in the economy has increased the purchasing power of
the people and creates demand for the real estate sector.
Every year approximately 2 million or more new graduates are produced from the
various Indian Universities, thereby creating demand for about 100 million sq. ft.
of the office and industrial space.
Presence of large number of reputed companies will attract more companies to
initiate their operational bases in India thus creating more demand for corporate
space.
Huge amount of dividend is yielded by the real estate investments in India.
Around 70% of the foreign investors are making profits and other 12% are
breaking even.
Apart from IT, ITES and Business Process Outsourcing (BPO), India has shown
its expertise in other sectors also, like, auto-components, chemicals, apparels,
pharmaceuticals and jewellery where it can match the best in the world. This kind
of positive attitude of India is surely going to attract more and more foreign
investors in the nearby future.
The concession provided by the Indian government in the FDI rules has invited more
foreign investors and real estate in India seems to be one of the most lucrative grounds at
present. The revised investor’s friendly policies have proved to be quite economic and
productive for the investors, apart from this have allowed foreigners to own properties,
and dropped the minimum size for housing estates built with foreign capital to 25 acres
(10 hectares) from 100 acres (40 hectares). With these relaxing and changed policies of
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the investment, the overseas firms can now put up the commercial buildings as long as
the projects surpass 50, 000 sq. mt. (538,200 sq. ft.) of floor space.
In the recent time, India has become a potential goldmine for investors all over the world.
With the flourishing and expanding economy and liberalized government policies,
investors from all over the globe are choosing India as their business destination. As
Indian real estate rules the economic vibes of the country, the most important beneficiary
of the recent boom in this sector is the investors. Driven by the positive growth in the real
estate scenario and the Government of India’s decision to allow 100% foreign direct
investment (FDI) under the ‘automatic rule’ in the construction and development there
has been a significant rise in the number of Indian as well as foreign investors in the
realty sector.
Developers like DLF, Ansal, Omaxe, Ambuja, Unitech, Vatika and Sahara Infrastructure
are among a few that have initiated large scale real estate developments in the residential
sector catering to all segments of the society.
Real estate sector is much more professionally managed with a number of big players
including both developers and corporate, entering into the business. The real estate
market is not the monopolistic market, as there are more and more players entering into
this development game.
In the residential sector, with the increase of disposable incomes and easy availability of
home loans, most builders tries to woo the investors with the lucrative features and the
latest inclusions of premium luxury apartments and condominiums fitted with the most
modern accessories in home luxury.
Apart from the residential segment, the commercial venture includes office spaces,
sprawling malls, multiplexes and retail outlets. As per the past reports, around 200 or
more new malls with a combined retail space of about Rs.2.5crore/ sq. ft. and an
estimated investment of around Rs. 12.5 crore are expected for the upcoming year.
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Future of Real Estate Market in India
One question that arises in everybody’s mind is that whether the property prices in India
will fall or not in the nearby future? The answer to such question will eventually decide
whether to invest in the real estate of India now or rather wait for the property prices to
fall.
According to the real estate experts and the investment Gurus, “the Indian real estate
sector will definitely going to have a smashing rise in the nearby future.” Thus people are
more interested in investing in the real estate of India. According to the market experts,
the Indian real estate sector has a tremendous potential and have a bright future in the
upcoming years.
With the relaxed FDI norms for the Indian real estate market and a tremendous boom in
this sector, has made the property investment in India to be at a safer side. This is also
supported by the fact that the Indian Government has liberalized its foreign direct policies
to attract higher foreign investment.
It’s not at all true that there is a sudden rise in the property prices. It could be witnessed
for the last couple of years that the prices of the property in India whether it is residential
or commercial has continued to rise. For example, some of the better developed cities like
Noida and Gurgaon, property prices have increased up to five times within a few years.
It’s not the case that only these cities are experiencing an appreciation in the real estate
prices, property prices have been continuously raising across all parts and sectors of the
country. It may be the case that the appreciation in the price hikes in other parts of the
country would not be that much.
According to a recent survey, India stands fourth among the top four Asian
destinations for the foreign direct investment. India being the largest democracy with
excellent democratic governance and transparent property laws attracts more and more
people to invest in the Indian realty market.
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Looking to the above facts, it can be concluded that as far as the Indian realty sector is
concerned, it is going only in one direction, that is, upward. And this current scenario will
lead more and more investors to invest in the Indian real estate market.
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1.3 Diversification Strategy
Diversification may be defined as the process in which a company or a firm tries to get
into different lines of business from its current business operation. Basically
diversification strategies are opted for expanding firm’s operations by adding markets,
products, services, or stages of production to the existing business. The main purpose of
diversification is to allow a company or a firm to get into a new line of business which is
totally different from the current or existing business operation.
Basically diversification may be defined as a form of growth strategy. The main aim
of these growth strategies are to have a significant increase in the performance objectives
usually sales or market shares, which are compared beyond the past levels of
performance. Different organizations follow different kinds of growth strategies to attain
their goals. Many organizations go for more than one type of growth strategy. One of the
primary reasons for such is that many of the investors and executives are of the view that,
“bigger is better”. Growth in the sales is often used as a primary measure to calculate the
performance level. Even the profit level increases or decreases but if the growth curves of
sales is going upward, this satisfies many people. This assumption has often led to
believe that if sales increases, profit will eventually follow it.
If a firm is following a well planned and well designed strategy according to their
goals and aims, it is beneficial for everyone associated with it. Rewards are there if the
firm is pursuing the growth strategy. Based on the sales, managers are provided with
commission. Higher the growth level of sales, higher the amount of commission received.
i) Concentric Diversification
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i) Concentric Diversification: - This type of diversification occurs when the new
venture of the firm is strategically related to the existing business operations. In such type
of diversification the firm adds somehow related products or markets to the current line
of business. The main aim of such type of diversification is to achieve a strategic fit.
Through the strategic fit, an organization is able to achieve synergy. In essence, synergy
is defined as the ability of two or more parts of the organization to achieve greater total
effectiveness together than that achieved by the effort of the independent parts. Synergy
can be attained by combining the firms with complementary marketing, financial,
operating and management efforts. For e.g., Financial synergy can be achieved by
combining the firm having the stronger financial resources but limited growth
opportunity with that of the firm having lesser financial resources but maximum growth
opportunity.
One of the foremost reasons for pursuing the conglomerate diversification is that
opportunities in a firm’s current line of business are limited. So as to find an attractive
investment opportunity, the firm is required to consider the other types of business
alternatives.
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The biggest disadvantage of the conglomerate diversification is the increase in the
administrative problems associated with operating unrelated business. Managers having
different background face many problems in operating the task and unable to work
together effectively and efficiently. Competition between the strategic business units for
resources may entail shifting resources from one division to another. Such a move may
create rivalry and administrative problems between the units.
i) Vertical Integration
a) Backward Diversification
b) Forward Diversification
The steps that the product goes through in being transformed from raw material to
the finished good in the possession of the customer constitute various stages of
production. Suppose the firm decides to diversify at the steps closer to the sources of raw
materials in the process of production, and then such a diversification can be called as
backward vertical diversification.
E.g. AVON ‘S primary line of business has been the selling of cosmetics from door-to-
door. AVON followed the backward form of vertical diversification by entering into the
production of some of its products.
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Similarly, if the firm decided to diversify when the product is about to manufacture or
when the firm moves closer to its customers in terms of the production stage, then the
diversification is known as forward vertical diversification.
E.g. LEVI STRAUSS & CO., traditionally deals in the manufacturing of clothes, has
diversified forward by opening up new retail stores to market its own products rather than
producing them and then selling to the other firms to retail.
ii) Horizontal Integration: - It occurs when the firm enters into the new business
either related or unrelated. It may be at the same stage of production as its current
operations.
E.g. AVON’S move to market jewel through its door-to –door sales force involved
marketing new products through existing channels of distribution. An alternative source
of marketing opted by AVON for its products are selling them through mail order and
through retail shops.
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Chapter 2
Review of literature
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Article 1: ASSOCHAM’s report: reality check on real estates
The forecast of ASSOCHAM’s Study on the Future of the Real Estate Investment in
India was estimated to be about US $ 60 billion future market size of real estate business
in India
Source:, http://www.assocham.org/arb/real_estates_reality_check.php
It is not without reason that more and more domestic as well as international investors are
considering India for property investment. Real estate studies India shows that India has
the right environment that offers maximum benefits to the investors. India is the largest
democracy with exemplary democratic governance and institutions, has strong and
transparent legal and accounting system and most of all has legal protection for
intellectual property rights. Fundamentals of the Indian economy also have become
strong and sustainable. All these factors together make India the hotspot for investment in
every sector. According to an UNCTAD (United Nations Conference on Trade and
Development) report, India is among the top four Asian destinations for foreign direct
investment.
Invest in a profitable business in any sector - raw materials, power supply, fuel, tourism
or commercial ventures. Property investments in India include everything from lands,
land services, commercial real estate to residential property. Invest in commercial land,
agricultural land, land for schools, hospitals or resorts, land for houses, shopping malls
and more. Select your spot from the large geographical expanse that is India. Settle for
India’s commercial capital Mumbai, or other metros such as Chennai, Kolkata or
Bangalore or smaller cities such as Indore, Jaipur, Ahmedabad or Coimbatore. Make
revenue from tourism by investing in hotels, guesthouses or resorts in Kochi or Goa. The
possibilities are many!
It makes sense to consider India for property investment, if you want to make your
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business or any other venture profitable. No other country offers you all the ingredients in
the right measure to make any venture profitable and successful. With a growing middle
class, India offers the ideal market for making great profits, in any venture. The higher
buying power of the average Indian translates to the success of shopping malls, tourism
and product sales, be it the smaller consumer goods or bigger items such as cars.
As an investor, however, you need to have all the facts straight before investing.
And Realty Plus may be the knowledge powerhouse you may be looking for. Read Realty
Plus to know the best spots in India for property investment. Realty Plus is India's first
real estate monthly magazine packed with hundred pages of in-depth reports, surveys,
analyses and expert views on a variety of real estate issues. Learn everything about
properties in India for sale, buying, selling, renting and leasing out. Find also latest hot
property in India, which you can buy at amazing prices.
Property investments in India attract investors from every corner of the globe. But when
it comes to investing, knowledge is power. And, only Realty Plus gives you the
knowledge and confidence to make the right investment decisions in India.
Source: http://www.realtyplusmag.com/content1.html
Indian real estate companies have picked up really fast in the last few years. As per
recent Indian Real Estate research, the average growth rate returns is 30%, which tells
the tale of this booming industry. Latest Real estate research India has estimated a
revenue increase to $102 billion from $14 billion in the next decade. As per real estate
studies India, there has been an increase in the mass consumption, the trends are
changing the consumption pattern of luxury goods and corporate houses with great
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purchasing power are also entering into the retail field of real estate.
The RPG Spencer has the largest presence with Music World, Food World, Health &
Glow in south India. Other major players such as Tatas, Birlas and Reliance are also
following the same line, explaining the rapidly increasing shopping malls and other
retail projects. The need for fun, entertainment and leisure has given rise to
various Indian real estate sites like hotels and multiplexes. As per Real Estate Research
India, the country has not only intellectual workforce, but also cost-effective labour, the
factor which has welcomed hundreds of telecomm, IT and ITES offices to build up in
the country.
According to Real estate studies in India, the country is extremely experienced when it
comes to raising and lending capital as compared to other countries. Foreign investors,
brands and realtors have been attracted to invest in the country, keeping in mind its
liberalization policies, free market and open policies of the FDI. The Bombay Stock
Exchange has recently experienced a rising boom, encouraging global players such as
Morgan Stanley to invest $68 million in Indian real estate market. As a conclusion of
real estate studies in India, we can see that as far as real estate is concerned, the bar of
investment has significantly raised. India has immense scope for building
infrastructure, in addition to increase investment returns by 50%. The commercial real
estate yield in India is larger than any other country, thus making it one of the most
popular destinations for real estate investment.
As per real estate studies in India, the lucrative market of real estate in the country are
also attracting interest of the NRI’s to buy properties for themselves or for their family
members or to just make an investment and reap benefits. The great demand has
convinced builders to come up with apartments and townships especially designed for
NRI’s, endowed with five star luxuries and all the modern amenities. For more
information on real estate studies in India, log on to www.realtyplusmag.com.
Source: http://www.realtyplusmag.com/content6.html
The present paper entitled as “Prospects and Problems of Real Estate in India” is an
attempt to reveal the issues concerned with the real estate investment sector in India.
This paper is concerned with the real estate investment and the emerging trends in the
real estate market. The paper has been divided into three sections. First section talks
about the real estate sector, its type and the features of the real estate market. Apart
from this it deals with the fundamental factors affecting the real value like demand,
supply, property, restrictions to use and site characteristics. Second part explains the
causes for the present real estate boom. It includes the foreign direct investment in the
realty sector and the exposure of the banks to this sector. It also deals with the price
variations in the realty sector with reference to per capita income and the GDP. Lastly,
third part deals in the constraints in real estate investment which includes various laws
to be considered, inflation rate and the barriers in the GDP growth.
Abstract
This paper deals with the challenges faced by the present generation due to the current
crises in the world’s financial system. The current global economic recession is neither
the first nor the last to rear its head in the economy. An economic and the financial crises
provide a golden opportunity to the country and its private sectors to review its policies
and programme that are aimed at improving the productivity and the competitiveness. In
this fast and changing global scenario, each and every company is required to constantly
improve and renew their programmes and policies so as they are well prepared to face
any financial and economic crisis. This paper pays more emphasis towards the recent
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trends and effects of financial crunches on the real estate sector. Besides this, it also
indicates how the ongoing financial crisis is affecting the construction industry by
reducing its growth, trade and investment flow, employment, remittances. Apart from all
these, the findings reveals that although the financial crunches has a deep impact on the
real estate sector but still it has a great opportunity to overcome all such kind of issues by
analyzing and reviewing its reforms and issues and by providing its best service to its
customers at a lower price than its competitors. Finally, the paper also suggested various
issues that a private sector can follow in order to cope up with such situations and
conditions and by which they can take advantage in their nearby future.
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Chapter 3
Research Methodology
3.1 Objectives
26
The broad objective of the project is to study the diversification of a real estate company
to the publications.
- potential advertisers
ii) To study general buying behavior of people’s while purchasing a property and
perception of peoples about Pune and cities.
27
The questionnaires as shown in annexure 1 and annexure 2 were prepared in order to get
all the information needed by the company to diversify its business as well as to know the
general buying behavior of the people and perception of the people about various cities
while buying a property
In questionnaire designed to know general buying behavior of people and their perception
about Pune parameters taken were
1. Location - This parameter includes all the location factors such as proximity to
central business district, to schools, to hospitals, existence of huge shopping
malls, etc.
3. Quality of Living – This parameter helps in analyzing what people think about
the style of living prevalent in the Pune.
4. Law and Order – This parameter helps in analyzing what people about the safety
and security situation prevalent in the 5 cities chosen for the survey.
External Factors
1. Price Range
2. Connectivity to Public transport
3. Proximity to workplace
4. Availability of loan
5. Easy Payment Plans
6. Rate of Interest
7. Resale Value
8. Clear title of property
9. Proximity to School
10. Proximity to Hospitals
11. Proximity to Entertainment Centers
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3.4 DATA COLLECTION:
1. Primary Data
2. Secondary Data
PRIMARY METHOD
SECONDARY METHOD
1) Magazines on Property
2) Internet sites on Property
3) Internet websites of popular property developers of India
1. Primary Data :
a. Primary Data is collected by using Depth Interviews with the property
dealers, Builders and peoples living in societies in Pune.
b. This helped in finding out the factors for the Research problem.
c. Structured Questionnaire is used as the major tool for primary data
collection.
2. Secondary Data:
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3.5 Research Technique
Basically techniques for marketing research can be broadly classified into two
parts:
1. Exploratory Research
2. Conclusive Research
o Descriptive
o Causal
The major objective of this research is to describe various market characteristics &
consumer behaviour. It is conducted for following reasons:
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3.6 Sampling Technique
Sample Size
Baner
Pimpri Chinchwad
Mahalunge
Wakad
Convenience Sampling
Convenience Sampling:
31
Chapter 4
Data Analysis
32
4.1 Analysis of dealer’s data:-
Fig. 1
Inference: Answering the question “How do you maintain you sales?” about 48.36
percent of the respondents answered that they maintain their sales on contact bases
whereas about 35.21 percent of the respondents said that they advertise about their
company and the properties available with them for sale. Now the company can target
these 35.21 percent of the respondents for advertisement in their magazine.
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Which medium will you prefer for advertisement?
Frequency Percent Valid Percent Cumulative Percent
Valid Magazine 58 27.2 27.2 27.2
Newspaper 93 43.7 43.7 70.9
Internet 47 22.1 22.1 93.0
TV/Radio 15 7.0 7.0 100.0
Total 213 100.0 100.0
Table 2
Fig.2
Inference: The Company is diversifying itself into magazine publication whereas the
advertisements in magazine will also be available on company’s website so in this way a
real estate agent or builder can advertise his property through magazine as well as
through internet.
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The answer to the question “which medium do you prefer for advertisement?” 27.23
percent of the total respondent said that they prefer magazine whereas 22.07 percent of
the people said that they prefer internet for advertisement. So about 50 percent of the total
respondents said that they will go for magazine or internet for the advertisement of their
property.
Now ‘The home company’ is going to advertise through magazine as well as through
internet so the company can target these 50 percent of the respondents for advertisements.
Table 3
Do you want to expand your business from current state?
Frequency Percent Valid Percent Cumulative Percent
Valid yes 189 88.7 88.7 88.7
no 24 11.3 11.3 100.0
Total 213 100.0 100.0
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Fig. 3
Inference: On asking the question weather the property dealers and builders wants to
expand their business from current level, 88.73 percent of the people responded that they
want to expand their business from current level whereas only 11.27 percent of the
people said that they are satisfied with their current level of business and they don’t want
to further expand their bu
36
Do you want to expand your business from current state * which medium will you prefer for expansion of
your business?
Cross tabulation
which medium will you prefer for
expansion of your business
Relation Openin
ship g new Advertise Collaborat
building offices ments ions Total
do Yes Count 16 55 107 11 189
you % within do you want to expand your business 8.5% 29.1% 56.6% 5.8% 100.0%
want from current state
to
% within which medium will you prefer for 100.0% 100.0% 99.1% 100.0% 99.5%
expa
expansion of your business
nd
your % of Total 8.4% 28.9% 56.3% 5.8% 99.5%
busi No Count 0 0 1 0 1
ness
% within do you want to expand your business .0% .0% 100.0% .0% 100.0%
from
from current state
curre
nt % within which medium will you prefer for .0% .0% .9% .0% .5%
state expansion of your business
% of Total .0% .0% .5% .0% .5%
Total Count 16 55 108 11 190
% within do you want to expand your business 8.4% 28.9% 56.8% 5.8% 100.0%
from current state
% within which medium will you prefer for 100.0% 100.0% 100.0% 100.0% 100.0%
expansion of your business
% of Total 8.4% 28.9% 56.8% 5.8% 100.0%
Table 4
Inference: The result for the crosstab between “Do you want to expand you business?”
and “which medium will you prefer for expansion of your business?” shows that out of
88.73 percent people who wants to expand their business from current level 56.3 percent
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of the respondents wants to go for advertisement for the expansion of their business. It
shows that there is a good number of property dealers and builders who wants to
advertise their business through advertisements.
Table 5
38
Fig. 4
Inference: Asking the question “How do you see current status of Real Estate Sector in
terms of opportunities?” 53.99 percent of the total respondents said that the sector is
really good and there are lots of opportunities of growth in this sector. 30.05 percent of
the people responded the sector as good, 12.21 percent of the respondents said that its is
average whereas only 3.76 percent of the respondents considers it as poor in terms of
opportunities, which shows that the sector is on a boom in terms of opportunities
Table 6
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Fig. 5
Inference: The response to the question “on given chance will you go for collaboration
with other firms” nearly80 percent of the total respondents answered as NO where as
only 19.72 percent of the total respondents answered that YES that can work in
collaboration with other firms. The Bar charts above shows the result shows that the Real
Estate sector is a highly unorganized sector where different property dealers and builders
do not want to work in collaboration with each other.
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4.2 Analysis of Consumer feedback
Table 7
What was the factor that affects the most on purchasing decision in this complex?
41
Fig. 6
Inference: While purchasing a property the factor that effects buying decision of a
customer the most is “Affordability” 56.34 percent of the total respondent said that they
look for affordability firs while purchasing a property. After affordability the second
most prominent factor is location of the property, about 38.03 percent of total
respondents responded in favor of Location.
Table 8
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Descriptive Statistics
N Mean Std. Deviation
Upto What extent price Range affects your 70 6.1000 .68419
choice of society(Rate on a scale of 1-7)
Upto What extent connectivity to public 70 2.2000 .80937
transport affects your choice of society(Rate
on a scale of 1-7)
Upto What extent proximity to workplace 70 2.9429 .84931
affects your choice of society(Rate on a
scale of 1-7)
Upto What extent Availability of loan 70 5.1857 .70798
affects your choice of society(Rate on a
scale of 1-7)
Upto What extent Resale value affects your 70 2.3286 .63065
choice of society(Rate on a scale of 1-7)
Upto What extent Clear title of property 70 4.1429 .85611
Affects your choice of society(Rate on a
scale of 1-7)
Upto What extent infrastructure Affects 70 5.6714 .92817
your choice of society(Rate on a scale of 1-
7)
Valid N (list wise) 70
Inference: On asking to rate the factors affecting the choice of a society to purchase the
property Price Range were the first and foremost factor that effects the decision. On a
scale of 1-7 the mean for this factor comes out to be 6.1 which is very high. This shows
that how price range effects the decision while purchasing a property in a society.
The second factor that affects the most is Infrastructure of the property and the ambience
of the society.
Very close to Infrastructure factor is Availability of loan for the purchase of that
property. This shows that people to a large extent believes in availing loan for the
purchase of their property and hence the factor “Availability of loan affects the buying
decision of a person to large extent.
Perception of people about Pune.
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Fig. 7
Inference: Here opinion of the people about Pune were taken on various attributes like
Location, Business Opportunities, Law and Order, Quality of Living, Infrastructural
Development and the following inference can be drawn.
Location: Pune was considered to be the best place to live as far as location is considered.
Quality of living: Pune is again the first choice of the people on the parameter of Quality
of Living.
Law and Order: considering law and order as the parameter Pune
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Conclusion
There is a good portion of property dealers and builders who wants to advertise
themselves or property available with them either through magazine or through
internet, company can target these property dealers and builders as their potential
advertisers.
The small companies in major don’t want to work in collaboration.
The major external factors which people consider while purchasing the property
are price, availability of loan and proximity to workplace.
In Peoples perception Pune is considered to be the best place
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Recommendations
Apart from the real estate agents and dealers, the company should approach
architects and interior designers also.
The company has limited its research to the Pune only, it should go for other
regions also.
A follow up should be there for the dealers to whom the contact in first meeting is
not successful.
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Limitations
Study was restricted to property dealers and builders only whereas we could
consider architects and Interior designers also.
Analyzing the perception of people about different cities was little difficult as
some respondents didn’t have much knowledge about the other cities
Denial of many Property Dealers and Builders to provide the information about
the properties they deal in.
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References
www.makaan.com
www.magicbricks.com
www.godrejproperties.com
www.parsvnath.com
www.punerealestate.com
www.realestatencr.com
www.estatedeveloper.com
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Annexure 1
Questionnaire
Respondent’s Name______________________________________
Name of Apartment______________________________________________
Yes No
What is the most important factor that affect your buying decision while purchasing
property in this apartment?
Connectivity to _____/_____/_____/_____/______/_____/______
Public transport
Proximity to _____/_____/_____/_____/______/_____/______
Workplace
Availability of _____/_____/_____/_____/______/_____/______
loan
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Clear title of _____/_____/_____/_____/______/_____/______
Property 1 2 3 4 5 6 7
Pune
Location
Business Hub
Quality of Living
Infrastructural
Development
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Annexure 2
Questionnaire
Yes No
Yes No
If yes, how:-
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Q.4 How much network is important in this sector?( plz tick)
1 2 3 4 5
3 Good 4 Poor
Q.6 Which medium will you prefer for advertisement of your property?
1 Magazine 2 Newspaper
3 TV/Radio 3 Internet
Q.7 Given a chance will you go for collaboration with other firms?
Yes
No
Q. 8 any suggestions:-
_________________________________________________________
_________________________________________________________
Personal details:-
Name & Organization ……………………………………………………
Address: ……………………………………………………
…...………………………………........................
Date: ____/____/2020
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