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BHARATI VIDYAPEETH (DEEMED

TO BE UNIVERSITY)
CENTRE FOR DISTANCE AND ONLINE PUNE

Annexure-A

Project Report on
“Consumer Perception About Cement Product”
At
JKNK Ventures Private Limited

Submitted in Partial Fulfillment of the Requirements for the


Award of degree of Master of Business Administration
2021 – 2022

Mahendra Kumar Sharma


Guided By
Dr Sanjay Manocha

Bharati Vidyapeeth (Deemed to be University),


Centre for Distance and Online Education, Pune

1
BHARATI VIDYAPEETH (DEEMED
TO BE UNIVERSITY)
CENTRE FOR DISTANCE AND ONLINE PUNE

Annexure-B

2
BHARATI VIDYAPEETH (DEEMED
TO BE UNIVERSITY)
CENTRE FOR DISTANCE AND ONLINE PUNE

Annexure-C

Declaration

The project report entitled “Consumer Perception About Cement Product” Submitted
to Bharati Vidyapeeth (Deemed to be University), Pune in partial fulfilment of the requirement
for the award of the degree of MBA (Online) is an original work carried out under the guidance
of Dr Sanjay Manocha. The matter embodied in this project is a genuine work done by me to
the best of my knowledge and belief and has not been submitted before, neither to this University
nor to any other University for the fulfilment of the requirement of any course of study.

Signature

Name of the Student-Mahendra Kumar Sharma

3
BHARATI VIDYAPEETH (DEEMED
TO BE UNIVERSITY)
CENTRE FOR DISTANCE AND ONLINE PUNE

Annexure-D

Acknowledgement

Apart from my efforts, the success of my project depends largely on the encouragement and
guideline of many others. I take this opportunity to express my gratitude to the people who have
been instrumental in the successful completion of this project.

I am gratefully indebted to our esteemed guide Dr Sanjay Manocha for his sincere guidance
and priceless support which would have been impossible for us to complete this project.

I express my gratitude to the staff members of Bharati Vidyapeeth (Deemed to be University)


who directly or indirectly helped me. I would also like to express my sincere gratitude to all my
office colleagues in JKNK Ventures Private Limited.

Signature

Name of the Student-Mahendra Kumar Sharma

4
CONTENTS
CHAPTER-1 INTRODUCTION PAGE NO.

1.1 General 01
1.2 Need of the study 02
03
1.3 Scope of the study
04-16
1.4 Industry profile
CHAPTER-2 Company profile 17 – 21

LITERATURE REVIEW 22-26


CHAPTER-3

RESEARCH METHODOLOGY
CHAPTER-4 AND DESIGN
3.1 Type of Research 27
3.2 Research Objectives 27
27
3.3 Research Instrument
28
3.4 Questionnaire design
3.5 Data Collection 28
3.6 Sample Procedure 29
3.7 Period Of the Study 29
3.8 Sample Size 29
3.9 Pilot Survey 29
3.10 Limitation Of the Study 30
CHAPTER-5
DATA ANALYSIS AND
INTERPRETATION
4.1 Data Analysis 36-46
CHAPTER-6 SUMMARY OF FINDINGS
5.1 General Findings 47
CHAPTER-7
SUGGESTIONS AND
RECOMMENDATIONS
6.1 Recommendation 48
6.2 Conclusion 49
CHAPTER-8 Learning from study 50
CHAPTER-9 Annexure 51-58

5
EXECUTIVE SUMMARY
The project was carried out at Ambuja cements Ltd. At Mathura region.As my project topic
suggests, I have tried to find out the customer satisfaction of Ambuja cements. CHANGE IN
PRICE OR IMPROVEMENT IN THE QUALITY OF THE CEMENT ETC. The quality of the
cement and for this purpose people from different were chosen like general
customers,dealers,,bulk consumers etc. have used questionnaire and other scientific tools like
personalInterviews and telephonic interviews to know about the customer mood and the I have
also tried to find the market potential of AMBUJA Cement in Mathura for this I had conducted
market research in different parts of Mathura For this I met different dealers, retailers and as well
as industrial bulk suppliers In different parts of the Mathura.

This study includes direct interaction with the customers and this helps us to know the
“SATISFACTION LEVEL” to great accuracy. This is of great importance to the company which
will know about the customer preference to buy a particular brand.

The company will gain information about customer’s preference depending on the following

factors:-

Price factor
Fineness of the cement
Setting time
Attractive packaging
Brand image-one of the important factor

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CHAPTER-1

1. INTRODUCTION

1.1 General:

A market survey is a tool used to gather information about existing or customers


satisfaction in a certain market or population. Researchers select a sample of
customers from the population. The information from the survey is then used to assess
attitudes and beliefs, and in turn predict market behavior.Marketing is a social process
by which Dealers,builders,architecture individuals Consumers obtain what they need &
want through creating offering, & freely offering product & services of value with other. It
is the art & science of choosing target makers & getting keeping & growing customers
through creating delivering & communicating superior customer value. Consumers have
their own way of making purchase decisions.

Today in the market there is tough competition and the technologies are changing day
by day, to become successful in modern market the business organization have to be
customer orientated organization have to look after for building customers.

The information about the market was gathered by visiting customers in the market.
While doing the project attempt was made to get correct information from the customers
in the market. After collecting the detailed information about the market analysis has to
be done, the finding and result of the project work is given later in research report.

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1.2 NEED OF THE STUDY:

Customer is one for whom you satisfy and or need return for some of payment. The
payment may be money may be time or may be goodwill but there is some form of
payment. Satisfaction is the level of person felt state by comparing products perceive in
relation’s expectations.
Satisfaction level is function of the difference between perceived performance and
expectations. If the performance falls short of expectation ,the customer is not satisfied.
If the performance matches the customers are highly satisfied. If the performance is
beyond his expectations the customer is thrilled.

Customer satisfaction is customer’s positive or negative feeling about the value that was

perceived as a result of using particular organization.

To knowing the perception of the customers.


To finding out the effective and ineffective factors of ambuja cement.

To knowing the current position of the ambuja cement in cement industry.

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1.3 SCOPE OF THE STUDY

This study includes direct interaction with the customers and this helps to know the
customer satisfaction level to great accuracy. This study is of importance to the
company which will know the following factors:-

 price factors

 fineness of the cement

 setting time

 attractive packaging

 brand image

 quick delivery time

 wide availability

So,scope of this study is to achieve customer satisfaction because

customer satisfaction and quality maintenance is company‟s primary

objective.

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1.4 INDUSTRY PROFILE

INTRODUCTION

The Indian Cement Industry is the world’s second largest producer of cement in the world
just behind China,but ahead of the United States and Japan. But,
per capita production and consumption are low as compared to the world standards. On
the technological front, Indian cement Industry can be regarded as highly competitive
and is comparable with the best in the world in terms of quality standards, fuel
consumption etc. Indian cement plants, which depended heavily on wet technologies in
the sixties and seventies, have subsequently shifted to modern energy efficient dry
technologies. This trend is more perceptible in the last decade. The latest surge in the
demand for cement is driven by the boom in the housing sector and infrastructure sector.

It is consented To be a core sector accounting for approximately 1.3% of GDP


And employing over 0.14 million people. The post deregulation scenario is marked by
major reorganization of many of the capacities in the Indian cement industry.
Consolidation has become the latest buzzword of the industry. Acquisitions, mergers
and demergers have been the order of the day for the industry. Many major Indian
players have acquired small companies and MNCs have also entered the industry
through have acquisitions route.

EXPORT
The export of Indian cement has increased over the years mostly after
decontrol, giving the much-required boost to the industry.The demand force mentisa
derived demand,for it depends on industrial. activity, real estate, and construction activity. Since
growth is taking place all over the world in these sectors, Indian export of cement is also increasing.
India has an immense potential to tap cement markets of countries in the Middle East and South East
Asia due to its strengths of location advantage, large- scale lime stone and coal deposits,
adequate cement capacity and production of world-class quality of cement with the latest
technology.

Hence, the firms in the industry are capitalizing on the opportunities, provided

10
By the government accompanied by favorable economic conditions. This is evident by
1.7 lakh tones cement.

PER CAPITA CONSUMPTION- The per capita consumption of 125kg in the year 2012-13,
compares poorly
With the world average of over 350kg and more than 660kg in China. Similarly in
Japan it is 631kg/capita while in France it is 447kg/capita. The process of catching
Up with international averages emphasizes the tremendous scope for growth in the Indian cement
industry in the long term.Also, one of there as ons for strong interest shown by the foreign players in
India is due to its lower per capita consumption of cement.

PRODUCT DIFFERENTIATION-
India is producing different varieties of cement, based on different
Compositions according to specific end uses, like Ordinary Portland Cement (OPC),
Portland Pozzolana Cement (PPC),Portland Blast Furnace Slag Cement(PBFS) ,Oil Well C e m
e n t ,Rapid Hardening Portland cement, Sulphate Resisting Portland Cement and
White Cement etc.The basic difference lies in the percentage of clinker used.
These different varieties of cement are produced strictly under BIS(Bureau of international
standards) specifications and the quality is comparable with the best in the world. In an environment
of growing competition witnessed in the post decontrol era ,one of the major developments has been
the introduction of higher grades of cement. Grade is the 28days compressive strength of Ordinary
Portland cement, when tested as
Per Indian Standards under standard conditions. Depending upon the strength requirement
,OPC is thus classified as OPC-33grade,OPC-43 grade and OPC-53 grade.However, realization is
growing fast amongst the consumers at large,that the

Properties of durability are of greater importance than strength.

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HISTORY OF GRADES OF CEMENT
In the earlier days, we had only one cement, ordinaryportland cement. Subsequently,
the availability in abundance of fly ash in thermal power stations and slag in steel plants
led to the production of pozzolana cement and slag cement to conserve energy in the
production of cement and to utilize the available by-products. India was perhaps one of
the few countries which produced as much as 76 per cent of the total cement produced
as blended cement, which is the common name of pozzolanic cement as well as slag
cements as early as in 1982. Then the industry was under the control of controller of
cements. After de-control, the production of ordinary portland cement increased and
consequently the percentage of blended cement came down, currently it is somewhere
around 30 per cent.
The introduction of precast / prestressed sleepers for the railways necessitated the
production of a special grade ordinary portland cement because with the then available
cement, it was not possible to obtain the desired strength as well as the rate of gain of
strength for the production of sleepers. Cement industry was permitted to manufacture
the special grade ordinary portland cement and it was commonly known as sleeper
cement.
Subsequently, the Bureau of Indian Standards came forward to grade the ordinary
Portland cement into grade 33 cement, grade 43 cement and grade 53 cement. This
grading closely followed the U.K. grading which was 32.5, 42.5 and 52.5 as well as
62.5, some of Indian companies are also trying to make and persuade the Bureau of
Indian Standards to introduce grade 63.
These higher grades of cements are specifically introduced to cater to the needs of the
industry engaged in the construction of long span bridges, high rise structures and other
structures of gigantic magnitude requiring high grades of concretes. With the cement
then available, it was very difficult to design a mix for obtaining concrete of grade 4.5
and above commonly used in such structures. Hence, Bureau of Indian Standards classified
ordinary portland cement into the above 3 grades that is now available in the
market.
After total de-control of cement industry in 1989 and abolishing of licensing system for
setting up of cement plants in 1992, there has been phenomenal growth in the
production of cement. With the many fold increase in the production of cement, cement
manufacturers adopted an aggressive marketing strategy, each projecting their product
as the best. Manufacturers of 53 grade cement invaded the market and created an

12
impression amongst the consumers that 53 grade OPC could be used by them as it is
the best cement and grade 33 and grade 43 cements, are inferior.

In fact, all cements are one and the same but for minor changes in the characteristics.

 Grade 33 cements would meet the structural requirements of ordinary and small
scale consumers.

 Grade 43 cements may be utilized for precast concrete production besides the
sleeper manufacturers and other building components producers.

 Grade 53 cements may be utilized by builders of heavy infrastructure such as


bridges, Fly overs, large span structures and high rise structures.

The common man's perception that 53 grade cement is the best cement is not only due
to the aggressive marketing strategies of the cement manufacturers but also on the
presumption that the heat generated during hardening of concrete is an index of its
quality. When 53grade cement is used the heat generated is very high. Hence,
Consumers believe that it is a better cement when actually it is not so.Each cement has
to be chosen for a particular use.

While 53grade cement is actually best only for producing concretes of grade 53 and
above, it is not to be used in ordinary structures where concrete grade 20 is normally
adequate.
The total de-controls and competition amongst manufacturers and the market forces
have actually eliminated 33 grades in the market. It may be necessary to enforce the
partial regulation or self-discipline among the manufacturers of cement to produce at
least 1/3rd of the cement in the OPC category as grade 33 cement and 1/3rd another as
grade 43 cement and balance 1/3rd as grade 53 cement and partially regulate the price
for these 3 grades so that, in the market 33 grade cement will become available to the
common consumer.

Though originally introduced to save energy in the cement plants and to make use of
the available industrial by products, research and experience have shown that blended
cements have more durability characteristics than the OPC of even higher grades.
Cement is primarily used to produce concrete. Concrete is mainly produced in ready

13
mixed plants the world over. Most of the producers of the concrete use OPC and a
substantial quantity ofcementitious materials like pozzolana or granulated blast furnace
slag. In countries like U.S. and U.K. where 90 percent of the concrete produced is in the
ready mixed plants and the cementitious materials are blended in the concrete plants
rather than in the cement manufacturing units.
In India ready mixed concrete has just had the beginning. The blending of cementations
materials at site is not advisable now. Hence, blended cement production is very
essential. At present production of blended cement is around 30 percent. This has
naturally to increase to at least 50 per cent.
The blended cement does not gain strength immediately and also do not generate heat
like OPC. Hence, the common belief has been that blended cement is inferior cement.
Actually it is not so. No doubt, the rate of gaining strength is slow in the case of blended
cement. But, ultimately, in the long run it gains as much strength as any OPC. Blended
cements give better workability in fresh concrete and during the hardened stage, give
better durability. The consumer is to be adequately educated on the advantages of
blended cement. The reluctance on the part of builders to opt for blended cement is to
an extent justifiable because many builders were forced to use PPC when the
production of PPC was as high as 76 percent during the control days.
They found to their dismay that they have to retain their shuttering for much longer

duration and sometimes the quality of PPC was of doubtful nature because the fly ash

blended with the PPC was of varying quality. However, of late, the selection of

pozzolanic materials has been more stringent and the quality of blended cement is more

consistent.
The builders can shed their past memories and start using blended cement.

Manufacture of blended cement results in substantial savings in energy and product

cost. Hence, industry must pass on to the consumers the benefits derived to the users

of blended cement.
In short, every cement has its own role to play and there is no reason to believe one

cement is superior to the other cement. For ordinary structure.OPC grade 33cement or

14
PPC could meet the requirements. For producing concretes of higher grades, mixes

have to be designed using OPC as well as cementitious materials concrete chemicals

and sometimes additional fillers and even viscosity agents.


For non-structural uses such as masonry and plastering mortar, cement of much lower

strength than OPC 33 grade classified as masonry cement is the best suitable material.

But, unfortunately, no manufacturer produces this type of cement. More than the choice

of the cement, the control exercised in production of concrete in regard to the selection

and proportioning of materials, use of the minimum required quantity of water, careful

handling of the mix during transportation and placing, compacting well to get a dense

concrete, having an engineered formwork, continuous curing and the like contribute

greatly to the quality and durability of concrete.


VARIETIES OF CEMENTS IN INDIA
There are some varieties in cement that always find good demand in the market. To

know their characteristics and in which area they are most required, it will be better to

take a look at some of the details given below.


Portland Blast Furnace slag cement (PBFSC): The rate of hydration heat is

found lower in this cement type in comparison to PPC. It is most useful in massive

construction projects, for example - dams.


Sulphate Resisting Portland cement: This cement is beneficial in the areas

where concrete has an exposure to seacoast or sea water or soil or ground water.

Under any such instances, the concrete is vulnerable to sulphate attack in large

amounts and can cause damage to the structure. Hence, by using this cement

one can reduce the impact of damage to the structure. This cement has high

demand in India.
Rapid Hardening Portland cement: The texture of this cement type is quite

15
similar to that of OPC. But, it is bit more fine than OPC and possesses immense

compressible strength, which makes casting work easy.


Ordinary Portland cement (OPC): Also referred to as grey cement or OPC, it is

of much use in ordinary concrete construction. In the production of this type of

cement in India, Iron (Fe2O3), Magnesium (MgO), Silica (SiO2), Alumina

(AL2O3), and Sulphur trioxide (SO3) components are used.


Portland Pozolona Cement (PPC): As it prevents cracks, it is useful in the

casting work of huge volumes of concrete. The rate of hydration heat is lower in

this cement type. Fly ash, coal waste or burnt clay is used in the production of this

category of cement. It can be availed at low cost in comparison to OPC.

Oil Well Cement: Made of iron, coke, limestone and iron scrap, Oil Well Cement

is used in constructing or fixing oil wells. This is applied on both the off-shore and

on-shore of the wells.


Clinker Cement: Produced at the temperature of about 1400 to1450 degree

Celsius, clinker cement is needed in the construction work of complexes, houses

and bridges. The ingredients for this cement comprise iron, quartz, clay, limestone

and bauxite.
White cement: It is a kind of Ordinary Portland Cement. The ingredients of this

cement are inclusive of clinker, fuel oil and iron oxide. The content of iron oxide is

maintained below 0.4% to secure whiteness. White cement is largely used to


increase the aesthetic value of a construction. It is preferred for tiles and flooring

works. This cement costs more than grey cement.


CEMENT INDUSTRY ANALYSIS
There are five forces driving cement industrial competition. Porter (1979) suggests (figure

shown below) that when the forces are weak collectively, there is a major opportunity for

16
superior performance. Therefore, we can conclude that the cement industry is unattractive

in mature markets, but attractive in emerging markets

17
CEMENT COMPANIES SUPPLY CHAIN STRATEGY
Supply Chain (SC) operational objectives can be classified in three groups:

 Asset utilization,
 Customer response and
 Efficiency

We believe that the cement industry is concentrated on asset utilization with some level

of efficiency. The main reason for this location is that cement companies are focused in

minimizing cost based on the economies of scale generated by their investment in large

manufacturing plants. This is a given condition for all large cement companies in the

industry. Some cement companies are moving towards the other operational objectives

to gain differentiation in the market. One key success factor is the required supply chain
transformation to support this decision.

SUPPLY CHAIN OPERATING MODEL OF CEMENT (PROCESSOR ANALYSIS)

Cement industry planning process is centralized and optimization oriented. There is no

constraint in the availability of cement main raw materials with the exception of some

countries where subsoil ownership regulations applied. Cement manufacturing is capital

and energy intensive where cement truck delivery is restricted due to its low value-to-weight

ratio.

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SUPPLY CHAIN OPERATING MODEL OF CEMENT (PRODUCT ANALYSIS)

Cement can be characterized as bulk and bagged as shown below. Bulk cement is

dominant in developed countries and its demand is generated by large construction

companies and government. Bagged cement is dominant in emerging markets and is

generated by Do-It-Yourself (DIY) customers and small contractors. Relatively

speaking, bulk cement is functional while bagged cement is innovative. Functional

products should have an efficient supply chain while innovative products should have a

responsive supply chain.

19
LOGISTICS ISSUE

Besides strong demand, eastern and northern region also witnessed price hike due to

wagon unavailability and logistics issues, while demand in southern and the western

region remained tepid ,declining off-take from the government infrastructure spending.

The capacity utilization continued to remain higher as the new capacities that came on

stream where not fully stabilized and as it happens we may expect falling capacity

utilization levels and consequent impact on pricing and margins. Cement manufacturing

is capital and energy intensive where cement truck delivery is restricted due to its low

value-to-weight ratio. Functional products should have an efficient supply chain while

innovative products should have a responsive supply chain.

20
CEMENT SUPPLY CHAIN (BUILD TO STOCK)

21
Two alternatives were proposed to migrate from BTS(Build to Stock) to CTO (Configure

to order), moving the push-pull boundary back in the cement supply chain. First, Grind-

to-Order where cement is kept in clicker (intermediate product of the cement

manufacturing process) and then grinded as orders appear. Second, Pack-to-Order,

where cement is kept in bulk and then packed as orders appear .Further research

should be made to confirm the feasibility of these alternatives.

CHAPTER-2

COMPANY PROFILE

AMBUJA CEMENT

Ambuja Cements Limited was set up in the late 80s. The cement industry presented

an opportunity of steady growth and ethical competition to the promoters. However, a

decade later, it became one of world‟s most efficient cement companies producing the

finest cement in the world at the lowest cost while adhering to the most stringent

international pollution-control norms. Today, Ambuja is the 3rd largest cement company

in India, with an annual plant capacity of 18.5 million tonnes including Ambuja Cement

Eastern Ltd. and revenue in excess of Rs.3298crores. More importantly, its plants are

some of the most efficient in the world. With environment protection measures that are

on par with the finest in the developed world. But the company‟s most distinctive

22
attribute is its approach to the business. Ambuja believes its most valuable assets aren‟t

cement plants. They are the people who run the plants.

This unique vision is encapsulated in the company‟s homegrown philosophy of giving


people the authority to set their own targets, and the freedom to achieve their goals.
It‟s called „I can’‟
This simple vision has created an environment where there are no limits to excellence,

no limits to efficiency. And has proved to be a powerful engine of growth for the

company. As a result, Ambuja has consistently raised the bar in all aspects of the

cement industry. Be it transportation, plant efficiency, brand building or human resource

development.

First plant set up in record time

When Ambuja set up its first plant in 1986, the accepted time period for installing a plant

was 3 years. Ambuja did it in less than 2 years and with a significantly lower capital

expenditure. In 1993 the company went a step further and bettered its own record.

Ambuja's second plant was installed in a mere 13 months - the quickest time for setting
up a one million tonnes cement plant.

A whole new way of transporting cement

in the early 90s, almost all cement in India travelled by rail or road and in bags .A mode

that involves deterioration of both, the quality and volume of cement. In 1993, Ambuja

23
Cement set up a complete system of transporting bulk cement via the sea route making

it the first company in India to introduce bulk cement movement by sea. Others followed

and today, about 10% cement travels by this new route.

The facility comprises: A dedicated port at the Gujarat plants, capable of berthing

40,000 DWT vessels, three bagging terminals at Mumbai, Surat and Sri Lanka, and

seven special bulk cement vessels. This capability has enabled us to supply fresh

cement to many coastal markets – domestic and international.

Branding a commodity
Cement is a commodity, sold largely on price. Ambuja Cement was the first company to

create a brand out of cement and command a premium.


It was also the first to introduce a special cell, providing technical services to consumers

and masons. Today, this has become the norm in cement marketing.
The trick of course was to provide a consistently high quality of cement, backed

by excellent service. This was reinforced by a strong dealer network. The result is

that customers are ready to pay 2-3% premium for Ambuja Cement for the value they
receive. Ambuja Cement is the top brand in Western, Northern, Central and Eastern

India.

Exports
Ambuja Cement exports almost 17% of its production in a very competitive international

environment. For the last ten years, Ambuja Cement remains India’s highest exporter

of cement.

This has been possible for two reasons –

24
1. The quality of cement matches the best in the world.
2. The dedicated bulk cements transportation capability at our Gujarat plant.

The Environment

From the outset, Ambuja has believed that a cement plant cannot flourish at the cost of

the environment. That‟s why it adheres to the most rigorous international environmental

norms. The pollution levels at all its cement plants are even lower than the rigorous

Swiss standards of 100 mg/NM3 .At the Gujarat plants, surface miners have been
employed to scrape the surface of the mines. Thus ensuring that all the mining is totally blast
free.There is no noise or air pollution.

Similarly at the Himachal Pradesh plant, Ambuja has employed techniques that have

made mining absolutely safe and pollution free.Not surprisingly then, the company has

consistently won awards for its pollution free plants. Awards as prestigious as the

National Award for Outstanding Pollution Control and The Eco-Gold Star of Tata Energy

Research Institute (TERI).

Corporate Social Responsibility

In 1991, the company set up Ambuja Cement Foundation to trigger all-round

development of the people around its cement plants. The Foundation decided to

traverse the difficult but more productive path of helping the people to help themselves.

With great dedication and commitment, the foundation energized the local people to

participate and own their development process. It became a facilitator and catalyst,

rather than a one-time fund provider. It developed easily replicable and sustainable

modules for water management, sustainable agriculture and healthcare. All this effort in

25
discharging its social responsibility has earned the company recognition across Asia.

Milestones
Building of a cement plant in record 13 months.

 Kilometer conveyor belt running through three hills was constructed in just 9

months.
 Introduced a completely new system of transporting cement in India – the bulk
cement transportation by sea.
 Introduced complete blast free limestone mining by using the surface miner in

limestone mining for the first time in India.


 Created water reservoirs in used up mines and raised the water table in arid

areas.
 Our plants have achieved the lowest pollution levels –comparable with the

strongest Swiss standards.

Recognition

 National Award for commitment to quality by the Prime Minister of India.

 National Award for outstanding pollution control by the Prime Minister of India.

 Eco-Gold Star by TERI

 Best Export Award by CAPEXIL.

 Award for Corporate Social Responsibility by Business World – FICCI

 International Award For Rural Development by Asian Management Institute


(AIM)

26
 ISO 9002 Quality Certification.

 ISO 14000 Certification for environmental systems.

Technical Details

 Established – 1986.

 Total Capacity – 18.5 million tonnes.

 Infrastructure – Dedicated port at Gujarat. Capable of berthing 40,000 DWT


vessels with carrying capacity of 20,000 tonnes.

Packing terminals at Mumbai, Surat and Sri Lanka.


Seven dedicated bulk cement ships.

27
CHAPTER - 3
REVIEW OF LITERATURE

Marketing is “The management process which identifies anticipates and supplies

customer requirements efficiently and profitably”.


“Marketing is a total system of interesting business activities defined to Plan, piece,

promote and distribution want satisfying products & services to present and potential

consumers”
“Marketing is the performance of business activities that direct the follow of goods and
services from the producer to the consumer or user”
A social and managerial process, by which individuals and groups obtain what they

need and want, through creating and exchanging product and value with others.
Customer satisfaction begins with a difficult faith; it starts with a commitment to deliver

the result for each customer which is also a concern of the dealers. Hence for a

manufacturing company, in order to satisfy its customers, it is highly important to satisfy

its dealers, as they are the direct customers to them. Establishing satisfaction as the

ultimate goal is like the other ultimate goals of business pursuit of higher profits or

shareholders wealth. Perfect dealer service or satisfaction is one that meets the

combined need satisfaction is a systemized service that involves the entire organization.
But many organizations have yet to develop this kind of awareness of dealer

satisfaction strategy.

Dealer Satisfaction begins with the following specific assumptions about company’s

28
relationship with the customers.
1. The dealer service activities focus mainly on existing dealers.

2. Some dealers are more important than others

3. They are the assets.


4. The dealer is always specific.

The dealer needs and value should influence every aspect of the organization strategy,

employee safety and performance, product and organization strategy, employee safety

and performance, product and service development, sales and marketing programs,

operational procedures and information and measurement system.


Understanding the dealer is critical to the success of any customer focus initiative, the

first step in understanding the dealers is to listen to them.


A company needs to hear what its dealers are saying about its people, product service

and vision. Their information helps to develop meaningful product and service.
Organizations need to listen to their dealer satisfied, dissatisfied neutral and

prospective. As one company executive said, “talking to a satisfied customer is talking

to me”. In the past, dealer satisfaction and service was the responsibility of a separate

organization that supported the dealer primarily after the sale.


Today, service is also likely to be interested with the every product accompany offers.
High dealer satisfaction comes from providing effective services. But giving that service

is a continuous activity. It means being efficient, reliable, courteous, curing and

professional every time.


Marketing is a communication process that has the purpose of individuals or

groups - that are directly or indirectly able to purchase - aware of products and services

that may satisfy their existing or newly-identified needs and wants.

29
The Chartered Institute of Marketing, which is the world's largest marketing

body, defines marketing as "The management process responsible for identifying,

anticipating and satisfying customer requirements profitably."

Marsha Peter (2OO2) examines temporal changes in post-purchase product


satisfaction for durable goods purchase. Involvement and satisfaction variables were measured
in a cross-sectional and a longitudinal study of car owners. Overall,

consumers with high product involvement showed slightly greater satisfaction with their

cars than low-involvement consumers over the term of ownership. However, in the 2-

month period after purchase, consumers with high product involvement showed a

decline in satisfaction, whereas low-involvement consumers' satisfaction increased. The

role of disconfirmation in these changes was investigated. Benefits and problems

disconfirmation were found to make independent contributions to satisfaction

judgments, and the strength and form of contribution varied with product involvement.

These findings suggest that benefits and problems disconfirmation need to be

measured separately in satisfaction research.

Yooshik Yoon(2004) studied the effects of motivation and satisfaction on destination

loyalty: a structural model and investigates the relevant relationships among the

constructs by using a structural equation modeling approach. Consequently, destination

managers should establish a higher satisfaction level to create positive post-purchase

behavior, in order to improve and sustain destination competitiveness.

Diane Halstead (1993) studied the Focuses on a group of unsatisfied car owners.

30
Examines the roles of the car warranty and the post-purchase service received during

the complaint process in terms of their effects on customers' satisfaction with complaint

resolution. Presents some suggestions for customer service policies, complaint handling

procedures, and warranty fulfillment service.

James Y.L. Thong (2006) studied the effects of post-adoption beliefs on the

expectation-confirmation model for information technology continuance .The

expectation-confirmation model (ECM) of IT continuance is a model for investigating

continued information technology (IT) usage behavior. This paper reports on a study

that attempts to expand the set of post-adoption beliefs in the ECM, in order to extend

the application of the ECM beyond an instrumental focus. The expanded ECM,

incorporating the post-adoption beliefs of perceived usefulness, perceived enjoyment


and perceived ease of use, was empirically validated with data collected from an on-line survey of
811 existing users of mobile Internet services. The data analysis showed that

the expanded CM has good explanatory power (R2=57.6% of continued IT usage

intention and R2=67.8% of satisfaction), with all paths supported. Hence, the expanded

ECM can provide supplementary information that is relevant for understanding

continued IT usage.
The significant effects of post-adoption perceived ease of use and perceived enjoyment

signify that the nature of the IT can be an important boundary condition in

understanding the continued IT usage behavior. At a practical level, the expanded ECM

presents IT product/service providers with deeper insights into how to address IT users‟

satisfaction and continued patronage.

31
Marsha L. Richins (2002) Post-purchase product satisfaction: Incorporating the effects

of involvement and time describes changes in post-purchase product satisfaction for a

durable goods purchase. Involvement and satisfaction variables were measured in a

cross-sectional and a longitudinal study of car owners. Overall, consumers with high

product involvement showed slightly greater satisfaction with their cars than low-

involvement consumers over the term of ownership. However, in the 2-month period

after purchase, consumers with high product involvement showed a decline in

satisfaction, whereas low-involvement consumers' satisfaction


Increased. The role of disconfirmation in these changes was investigated. Benefits and

problems disconfirmation were found to make independent contributions to satisfaction

judgments, and the strength and form of contribution varied with product involvement.

These findings suggest that benefits and problems disconfirmation need to be

measured separately in satisfaction research

Claes Fornell(1992) examines that many individual companies and some industries

monitor customer satisfaction on a continual basis, but Sweden is the first country to do

so on a national level. The annual Customer Satisfaction Barometer (CSB) measures

customer satisfaction in more than 30 industries and for more than 100 corporations.

The new index is intended to be complementary to productivity measures. Whereas


productivity basically reflects quantity of output, CSB measures quality of output (as
experienced by the buyer). The author reports the results of a large-scale Swedish effort

to measure quality of the total consumption process as customer satisfaction. The

significance of customer satisfaction and its place within the overall strategy of the firm

are discussed. An implication from examining the relationship between market share

32
and customer satisfaction by a location model is that satisfaction should be lower in

industries where supply is homogeneous and demand heterogeneous. Satisfaction

should be
Higher when the heterogeneity/homogeneity of demand is matched by the supply.

Empirical support is found for that proposition in monopolies as well as in competitive

market structures. Likewise, industries in general are found to have a high level of

customer satisfaction if they are highly dependent on satisfaction for repeat business.

The opposite is found for industries in which companies have more captive markets. For

Sweden, the 1991 results show a slight increase in CSB, which should have a positive

effect on the general economic climate.

Richard Oliver (2000) Response determinants in satisfaction judgment, examines that

the effects of five determinants of satisfaction are tested as well as individual

differences in satisfaction formation. Manipulations of attribution, expectancy,

performance, disconfirmation, and equity are written into stock market trading scenarios

in a full factorial design. Results show that all main effects and four ordinal two-way

interactions are significant. Then, an individual level analysis is performed on the

repeated measures data. Three clusters of subjects sharing


Similar response tendencies (disconfirmation, performance, and equity) are identified

and related to investment attitudes, outcome attitudes, and demographics. No

consistent relationships are discovered, suggesting that the response differences reflect

deeper behavioral tendencies. Implications of this approach for satisfaction paradigms,

satisfaction theory, and individual satisfaction response orientations are presented.

33
CHAPTER – 4
RESEARCH METHODOLOGY & DESIGN

3.1 Type of research

Market Research

Definition of marketing research is approved by the board of American marketing

association (AMA) “Marketing Research is a function which links the customer and

public to marketer thought information used to identity and defines market opportunity

and problems; generate define and evaluate ,marketing action monitor marketing

performance and improve understanding of marketing as a process.


Simply marketing research is a systematic design collection analysis and reporting of

data feeding relevant to a specific marketing situation facing the company, careful

planning thought all stage of the research is a necessary. Objectivity in research in all

important the heart of the scientific method is the object gathering and analysis of the

information. The function of marketing g research within a company is to provide the

information and analytical input necessary for effective planning of future marketing

activity control of marketing operation in the present.

3.2 Objective of study


 To find out the customer satisfaction level through scientific tools like interviews

and questionnaire.
 To finding the customer satisfaction level through direct interaction with the

34
knowing their preference. This will include all the processes like asking

questions from the customer through questionnaire which will be included in the

primary survey once the primary survey is done.

3.3 RESEARCH INSTRUMENT


The research instrument used in this study is a structured questionnaire‟
structured questionnaire are those questionnaire in which there are definite, concrete and
predetermined questions relating to the aspect, favor which the researcher collects
data. The questions are presented with exactly the same order to all the respondents.

3.4 QUESTIONNAIRE DESIGN


The structured questionnaires that were framed and designed consist of close

ended, open ended, multiple choice, rating and raking questions.

3.5 Data collection


 Selected around 100 persons for the interview.
 To help of the questionnaire, personal and telephonic interview.
 Collected the data through focus interviews. Concentrated on taking interview

mainly from the following group of people.

 Architects/engineers----25%
 Retailer stockiest-------15%
 Wholesale -------10%
 Industrial bulk consumer-----20%
 General consumer------30%
 The survey was descriptive and sample chosen was mainly on the judgments of
the researcher with the help and proper consultation of project guide.
 In this kind of sampling method, the population elements are based on the judgments
of the researcher. The researchers’ exercises judgment or expertise chooses the

35
elements to be included in the sample,because he or she believes appropriate.
In this survey, visited the dealers of the cement also to know the strategy of the

companies, especially Ambuja cement to satisfy the customer as they buy the cement

of any particular company…The main purpose of the descriptive research is description

of the state of affairs as they exist at present.

3.6 SAMPLING PROCEDURE


Random sampling has been used in this study. Random sampling is used for selection
of homogeneous sample for the study. It refers to selecting a sample of study objects on
randomly. Thus research study may include study objects, which are randomly located.
Research findings based on random sampling however, cannot be generalized.

3.7. PERIOD OF THE STUDY


 The duration of Study is 45 days and during the period, the following steps were
taken.
 Objectives were set and questionnaire was finalized
 Data were collected and recorded
 Data were analyzed and interpreted
 Reports were generated

3.8. SAMPLE SIZE


Pertaining to the limitations of the study, and in consultation with the company
guide and the project guide, the sample size is taken as 100. Due to time and resource
constrains the sample size is taken as 100 People in consultation with the industry
Project guide.

3.9 PILOT SURVEY


A pilot survey with 30 samples was conducted for testing the validity of the
questions. It was found that there was no need for changed in the questionnaire and
hence the same questionnaire was used for final survey also.

36
3.10 LIMITATION OF THE STUDY
 Some customers were not able to understand some of the questions.

 The sample size was not enough and it failed to give the picture or the result of

the survey (sample size=100)

 Some customers or dealers did not co-operate well.

 The questionnaire did not cover the whole aspect of the market potential of

Ambuja cement.

SWOT analysis of AMBUJA CEMENT

Strengths:

Leading position in attractive Mathura cement market:

 Based on CMA data, Raipur cement manufacturing have consistently operated at

the highest evels of capacity among Mathura regions.


 We believe this reflects the strong demand in the Mathura region. For cement

products relative to supply .further, based on capacity expansions announced by

cement manufacturers. We expect cement plants in Mathura to continue to operate

at high utilization levels and anticipate continued strong demand for our cement

product in the near and medium-term.We believe that we well positioned to take

advantages of this demand as the fourth cement manufacturer in Mathura region.

37
Quality of products and strong brand name:

 We believe that brand name and reputation are important to retail purchases of

cement in India.
 We have built a strong reputation among cement purchases by consistently

providing high quality products.

 We believe that there is strong customer awareness of our brand Ambuja cement.
 We believe that our brand name and our reputation for consistently supplying

high quality products provide us with a competitive in ensuring that cement dealers
carry our products.

Extensive marketing and distribution network:

 We have a wide distribution network in Mathura. We also have a strong all India

distribution network.
 Our distribution network consists 44 depots serviced by seven regional sales

offices inDelhi,Haryana, UttarPradesh, Punjab, Rajsathan, Madhya Pradesh

Gujrat, Chatishgad, and Maharashtra.

Experience and technical know how:

We have 30 years of experience in the India cement industry, which we provide

us with the skills to maximize production deficiency,expand production capacity

quickly and reduce costs. Over the years we believe that we have developed

long-term customer relationship and a strong reputation for quality in addition.

We have a proven track record of upgrading and modernizing our production

38
capacities efficiently,having increased our production capacity at nimbahera by

more than 80% from 1.54 million tons in 1998 to 2.8 million tons as of September

2005.

Weakness:
 It is at relatively low position in other parts of country.
 Low attention on customer relationship management in some parts of the India.
 Due to the presence of other cement producers in Raipur and its adjoining areas

the market share of the ambuja cement remains low.


 It has its own mines reserves but it has to consistently renew the lease failing

which it will have no source of production at its major production site.

Opportunities:

 Rural project of state and central governments like dams and bridges can be a
major opportunity for the company.
 Company is a part of reputed and huge Ambuja group. So it can expand its

market in foreign areas also utilizing its brand leverage.


 Prestigious project can be major opportunities.
 It has major opportunities in real estate due to boom the related projects.
 Indian infrastructure is seeing a two fold.so there is also a lot of opportunity in the

concerned sector.
 Major foreign project of governments can also be a major opportunity.

Threats:
 Cost of production is high. So,company needs to reduce the cost of production

39
and should concentrate on promotional schemes too.
 Presence of other big players in Mathura region threat for the company.
 Rising cost of new material is also a threat for the company.

MARKETING STRATEGY AMBUJA CEMENT LIMITED:

Segmentation:

The company has segmented the market geo graphically.it sells its products all

over in India with major presence in Mathura region.


PRICING STRATEGY:

Before deciding the price of the cement company has

Considered the following points:-

COST FACTOR:

 Manufacturing cost
 Transporting cost
 Storing and material handling
 Other cost
 Officer expenses
 Other expenses
 Tax and interest
 Competitors price and offering

40
MARKETING STRATEGY:
 Company
 conduct
 market survey to identify market and customers response,company position in the market
etc. there is R and D department which continuously trying to improve the quality of
the product at the minimum cost and trying to meet the demand of the customer.

MARKETING STRATEGY FOR COMPETITORS:


Company always keeps an eye over its competitor’s activities and its offerings

like different promotional schemes; product price etc. It also takes proper action

according to competitor’s strategy.

DISTRIBUTION STRATEGY:

The company is distributing cement by following ways:-

 Direct to customer
 Depot
1. Whole seller
2. Retailer
 Director General of sales and disposal
1. Tender sales
2. Government department
 Non trading sales
1. Wegon load
2. Institutional sales

Method for developing dealers:

41
Company conducts the survey also to motivate the sub dealer and advertise the

programmer. The company takes profile of the dealers and gives dealership only

to those in a particular area where the company is not having already existing

dealer.

Marketing strategy:

 To increase sales in high realization.


 To develop stockiest consisting of retailer or final outlet which directly sells to

customer.
 Increasing sales of the branded cement, ambuja cement.
 Marketing distribution network more efficient and cost effective.

The company has a dedicated team of highly skilled professionals and

experienced application engineering. They are functioning in an advisory

capacity. Besides handling their constructional problem the cell offering all kind of

assistance in the selection of the right cement for different application to insure

coat effective, durable and date construction.

42
CHAPTER – 5
DATA ANALYSIS AND INTERPRETATION

Data Analysis

The data after collection has to be processed and analyzed in accordance with

the outline laid down for the purpose at the time of developing the research plan. This is

essential for a scientific study and for ensuring that we have all the relevant data.

Processing implies editing, coding, classification and tabulation of collected data so that

they acquiescent to analysis.


The term analysis refers to the computation of certain measures along with

searching for patterns of relationship that exists among data – groups. Thus “in the

process of analysis, relationships or difference supporting or conflicting with original of

new hypothesis should be subjected to statistical tests to significance to determine with

what validity data can be said to indicate any conclusions”.

Analysis of data in a general way involved a number of closely related operations

that are performed with the purpose of summarizing the collected data and organizing

them in such a manner that they answer the research questions.

43
1. Have you purchased Ambuja Cement ever?

Parameters Respondents %

YES 70% 100

NO 30% 100

Interpretation
As given in the pie chart 70% of the customers respondents they are purchased Ambuja
cement and 30% of the customers respondents they are not purchased Ambuja cement
Ever.

44
2. IF YES, how did you come to know about AMBUJA CEMENT?

parameters No. of respondents %

40 40
1.TV COMMERCIAL
20 20
2.DEALER/WHOLE SELLER
25 25
3.ARCHITECTURE/Eng.
15 15
4.builder

INTERPRETATION

As given in the Bar graph 40% of the customers respondents they got information
about Ambuja cement from T.V. COMMERCIAL and 20% of the customers got
information about Ambuja cement from DEALER,25% of the customer got information
about Ambuja cement from ARCHITERCURE/ENG/ and 15% of the customer got
information about Ambuja cement from BUILDER.

45
3. What are the influencing factors for your preference?

Parameters No Of Respondants %
Price 20 100
Quality 60 100
Convenience 15 100
All Of the Above 5 100

As given in the pie chart 60 % of the customers preferring Ambuja cement for its better
quality, 15% of the customers preferring Ambuja cement for its convenience, 5% of the
customers preferring ambuja cement for purchased Ambuja cement for its all quality
and 20% of the customers preferring Ambuja cement for its price.

INTERPRETATION

46
4. Are you satisfied with AMBUJA CEMENT?

Parameters No Of Respondents %
YES 90% 100
NO 10% 100

INTERPRETATION

As given in the pie chart 90% of the customers are satisfied with the Ambuja cement
and 10% of the customers are not satisfied with the Ambuja cement.

47
5. Doyou think convenience is matter?

Parameters No Respondents %
YES 80% 100
NO 20% 100

INTERPRETATION

As given in the pie chart 80% of the customer’s respondent’s convenience is important
and 20% of customer’s respondent’s convenience is not matter.

48
6. If AMBUJA CEMENT is not convenience to you than will you shift to any other
brand?

Parameters No Of Respondents %
YES 95% 100
NO 5% 100

INTERPRETATION

As given in the pie chart 95% of the customer respondents they want to change their
brand as per their convenience and 05% of the customer’s respondents they don’t want
to change their brand.

49
7. Areyou satisfied with the price as per the quality?

Parameters Respondets %
YES 90% 100
NO 10% 100

INTERPRETATION

As given in the pie chart 90% of the customer‟s respondents they are satisfied with the
price as per quality of Ambuja cement and 10% of the customers respondents they are
not satisfied as with the price as per quality of Ambuja cement.

50
8. If Yes, Do you think the quality is better as compare to the competitors?

PARAMETERS RESPONDENTS %
YES 60% 100
NO 40% 100

INTERPRETATION

As given in the pie chart 60% of the customer‟s respondents the quality is better than as
compared to other cement company and 40% of the customers are respondents the
quality of Ambuja cement is not better as compared to the competitors.

51
9. It is reliable as compare to the competitors?

PARAMETERS RESPONDENTS %
YES 96% 100
NO 4% 100

INTERPRETATION

As given in the pie chart 96% of the customers respondents the Ambuja cement is
reliable as compared to the competitors and 4% of the customer’s respondents the
Ambuja cement is reliable as compared to the competitors.

52
10.Out of 5 which rank you want to give to AMBUJA CEMENT?

PARAMETERS RESPONDENTS %
GOOD 40% 100
BETTER 15% 100
AVERAGE 30% 100
BAD 5% 100
NO REPLY 10% 100

40%

35%

30%

25%

20%

15%

10%

5%

0%
GOOD BETTER AVERAGE BAD N O R EPLY

INTERPRETATION

As given in the Bar graph 40 of the customers respondents the Ambuja cement is
GOOD, 15 customers respondents its BETTER,30 customers are respondents its
AVERAGE,5 customers are respondents its BAD and 10 customers are not responds.

53
CHAPTER-6

SUMMARY OF FINDINGS

 Customer satisfaction with respect to the AMBUJA CEMENT is satisfactory.


 Despite the increasing cost of the raw material the company is able to bring down

the cost of the manufacturing through procurement of raw materials by the mines

which are located nearby.


 Customers come to know about AMBUJA CEMENT mainly from hoardings many

people are illiterate.


 Customers want more prizes and dealers want more incentives,gift and tours.
 Dealers also want more meeting with officials of the cement companies.
 Bulk consumers want more and more cash discount.

54
CHAPTER-7
RECOMMENDATIONS

 The company should concentrate on more aggressive advertisement to

promote their products.


 The company should launch more and more promotional schemes like two
for the price of one “or more discount coupons.
 Company should do more to promote their brand as customers prefer

good brand while buying any cement.


 Customer prefer price as an important factor while buying any cement so

the company should fix the price accordingly.

CONCLUSIONS

 Company should concentrate on direct meeting with the customer as they


are the most vital element in deciding the growth or decline of any
company.

 Company should decrease the response time to the complaint received.

 The company should fix certain amount of cement especially for the
dealers and give them free of cost as incentives.

 The company should appoint more and more persons for the promotions
of the brands.

 Company should decrease delivery time of the day

55
Chapter-8
Learning from Study
During project work I learned so many things in all these I shared some major
topic :-
 I learned during survey how customer select cement for their dream house.
 I learned how price & Quality Effect on customer thinking at time of cement
selection.
 I learned what influencer having role during Selection of cement.
 I learned from technical about cement types and their different strength and setting
time.
 I learned how late delivery effect on customer thinking.
 I learned How commercial Advertisement effect on branding of cement.
 I learned how gift Schemes effect on Mason and contractor.
 I learned on field 30% of customer know about cement Quality and their strength
other taken by the guidance of Engg ,Mason, and Dealer.
 I learned how cement manufactured in plant by robotic.
 I learned how your direct meeting with customer can change their mindset.
 I learned from office staff how to manage dealer and retailer.
 I learned from office staff how much price gaping occur from plant to consumer and
how can we reduce this gaping.
 I learned during site survey what is the role of construction aggregates during strong
construction.
 I learned which mistakes of mason and contractor can destroy your dream house
during construction.
 I learned on site survey about different mixture ratio of aggregates.
 I learned how local Iron rod can damage your house quality.

56
CHAPTER-9
ANNEXURE

Date:

QUESTIONNAIRE

Name of customer..................................................Center..............................
Postal address...........................................................................................................
Contact no……………………………………………………………………………………

1Q.Have you purchased AMBUJA CEMENT ever?

YES [ ] NO [ ]

Q2.IF YES, How did you come to know about AMBUJA CEMENT?
a.TV commercial
b.Dealer/wholesaler
c.Archi/Eng
d.Builder

Q3.What are the influencing factors for your preferences?


a.Price
b.Quality
c.Convenience
d.All of above

57
Q4.Are you satisfied with AMBUJA CEMENT?

Yes [ ] No []

Q5.Do you think convenience is matter?


YES [ ] NO[ ]

Q6.IF the AMBUJA CEMENT is not convenience to you than will you shift to other

brands?
YES [ ] NO [ ]

Q7. Are you satisfied with the price as per the quality?

YES [ ] NO []

Q8.IT is reliable as compare to the competitors?

YES [] NO []

Q9.IF YES, Do you think the quality is better as compare to the competitors?

YES [] NO []

Q10.Out of 5 which rank you want to give to the AMBUJA CEMENT?


a.GOOD
b.BETTER
d.BAD
c.AVERAGE
e.NO REPLY

58

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