RESEARCH TRAINING REPORT

ON

“Market Analysis of Amaron two wheeler

batteries in Jodhpur”

In Partial Fulfilment of the Requirements for the Degree of

BACHELOR OF BUSINESS ADMINISTRATION
2022-2023
JAI NARIAN VYAS UNIVERSITY, JODHPUR

Under The Guidance of : Submitted By:

DR. ASHWANI SHAH Rahul Devra
PRINCIPAL En. No.

OMKARMAL SOMANI COLLEGE OF

COMMERCE
Kamla Nehru Nagar, Chopasani Road
342008 Jodhpur (Raj.)

1
 PREFACE

As a part of the course curriculum, an BBA(Bachelor of business

administration) students are required to undergo for a summer
training. The objective behind preparing this summer training is to
relate the management subjects taught in the classroom to their
practical application.

“Practice makes man perfect.” A very good and appropriate

proverb said by someone very well fits for each and every BBA
student who is going to face the real world after completing BBA.

Summer training and summer project which is mandatory for

each and every BBA student helps them a lot to practice many
things which they are learning theoretically. Summer project
helps them in applying their theoretical knowledge practically. It
gives them an exposure to the real working of the industry.

Today in the era of the cut throat competition, it has become very
important for any person to be a master in the field they are.
There are many existing fields across the world to become a
master, but one has to choose only one field in which she thinks
she can go further deep. If she chooses one field to go deep, other
field are automatically subdue.

2
 ACKNOWLEDGEMENT

I would like to thank Mr. Govind Singh Bisht for giving me an

opportunity of taking internship at “Market Analysis of Amaron
two wheeler batteries in Jodhpur”

Mr. Akshay Katiyar for sparing valuable time to monitor my

work and progress. He has been a constant source of inspiration
throughout the internship.

I am also grateful to my Dr. Ashwani Shah (Principal), and

Omkarmal Somani College Of Commerce Jodhpur for their
continuous mentoring and feedback.

I would also like to thanks to Mr. Akshay Katiyar, for providing

me this valuable opportunity to learn one of the elite
organizations in the best possible environment.

Moreover, I would like to thank the employee at Jodhpur for their

constant guidance and help to learn various aspect of the
corporate world.

Rahul Devra

3
 Index

Contents: Page No’s

1. Industry overview 5
2. Company profile 14
3. Introduction to study 32
4. Purpose and Objective of Study 34
5. Research Methodology 35
6. Data Analysis 38
7. Findings 48
8. Suggestions 49
9. Conclusion 50

10. Bibliography 52

11. Questionnaire 54

4
1. INDUSTRYOVERVIEW

5
 INDUSTRY PROFILE

Industry Overview:
The total Indian storage battery market is approximately estimated at US$ 500
Million with the automotive battery segment contributing 60 to 65 percent of the overall
market value. In terms of volumes, the overall consumption of automotive batteries could
be around 6.3 million units with the OE segment comprising around 1.2 to 1.3 million
units per annum, according to an interview with the Executive Vice President of ARBL
that was published on the website chennaibest.com. The late 1990s also saw a surge in
the sales of the passenger car segment for around 2 years due to certain factors like the
software boom, lowering of interest rates, etc. - which increased the overall sales of
batteries. The automotive sector did not see any significant growth during the early part
of the new millennium and is slowly showing signs of growth during this financial year.
This factor also adds to the demand in the aftermarket as more number of cars was sold
around 2 to 3 years back which is generally the life of a lead acid battery. The
replacement automotive battery market is expected to grow at a healthy rate in the
coming years.
The SLI market in the Indian subcontinent is a highly fragmented industry with a
few manufacturers in the organized segment and a lot many belonging to the tier 2 / tier 3
categories which have a regional presence and thrive especially among the semi urban
and rural areas.
Role of Technology
With the advent of newer more advanced technologies, the consumer is getting
the best of both worlds; a superior product at an affordable price. ARBL sells its
automotive battery under the brand name Amaron which is the country's first Zero
Maintenance Free Automotive battery while the competitors had only maintenance free
batteries that needed topping up of distilled water. Today, all the leading manufacturers
are also offering a similar product with focus shifting towards offering a technologically
superior product. Amaron was also the first to talk about what goes into making a great
product. It spoke of having silver inside which is used as an alloy mix that actually
increases the battery life and this was the first attempt by any battery manufacturer to
educate the consumers.

6
Fuddy Duddy Category to Creative Advertisement of the Year
The interest level shown by any car owner to a battery revolves around only when
the car fails to start. Amaron therefore realized the need to make the consumer think
about automotive batteries, because thinking before a purchase will definitely lead to a
comparison among the brands available in the market.
Amaron thus went ahead with its "Chicken Leg" media campaign that created a
storm in the advertising industry and made people look to this relatively new player in the
battery industry. Over the years, the creative bent of all its campaigns starting from the
media blitz, to below-the-line campaigns have been towards educating the consumer
about a battery.
The lead shown by ARBL was quickly followed by the others, with Exide
Industries sponsoring a cricket series in India for the first time with the campaign "India
moves on Exide" becoming a major success.
All this action in the automotive battery industry did not go unnoticed. An
automotive battery manufacturer (Amaron) for the first time was in the same league as
mega ad spenders like Coca Cola, Times of India, and others and won the Creative
Advertiser of the Year, which was a shot in the arm for the entire automotive battery
industry.
Distribution
For the success of any aftermarket product, availability of the same is as
important as the product quality and competitive pricing which go a long way in
increasing the visibility and creating a network across markets. Here again, the leading
automotive battery manufacturers became aggressive in extending their reach to the
nooks and corners of the country and also moved away from the traditional distribution
network and instead appointed dealers and distributors who were the first timers to the
battery business like service outlets of some of the automobile majors like Maruti,
Hyundai, Telco, Ashok Leyland, Hindustan Motors etc, roadside mechanics and lube
shops etc., which went a long way in increasing the reach and visibility. There has been
certain uniqueness that has been brought into the business by establishing exclusive
outlets with some flashy names like "Pitstops" and "Terminals" which was never seen

7
earlier in this industry. All this, resulted in taking the smaller / regional manufacturers
head on and helped in building better brand recall and awareness among the end users.
Global scenario:
Global Opportunities for Advanced Battery Technologies in Automotive
Applications, 1998 to 2008 is a multi client report designed specifically to provide
subscribes with an accurate and independent assessment of emerging opportunities in the
automotive battery industry. In addition to providing invaluable information and insights
intodevelopments in starting, lighting, and ignition (SLI) technology, the report focuses
specifically on opportunities emerging from electric vehicles and hybrid electric vehicles.
The report provides material suppliers, advanced battery companies, automotive original
equipment manufacturers, investors, and others with an excellent resource to build soil,
strategic plans and respond to competitive forces, emerging technologies, and evolving
market needs. Specifically, the report assists subscribers in growing their business by
providing the following:
Features:
Identification of the issues and timing for large scale commercial implementation
of advanced battery technology in the global automotive industry.
 Unbiased global scenario forecasts of commercial systems to 2003 and 2008.
 Forecast of material requirements for advanced batteries.
 Profiles of companies those are active in this field.
Benefits:
Identification of emerging business opportunities for advanced batteries
 New SLI technologies
 HEVs
 EVs
 Competitive intelligence for use in bench marking
 A resource for screening potential merger and acquisition candidates
The business:
Revenues for the global battery market reached an estimated $30 billion in 1998.SLI and
related secondary battery applications represent approximately one-half of the overall
revenues and are mostly utilized in automotive applications. High-performance secondary

8
batteries used in such applications as portable electronics represent approximately 15% of
the overall battery market. These high-performance secondary batteries have the fastest
growth rates, at over 10% a year. Primary batteries represent the remaining one-third of
battery industry revenues.
A battery is an electro chemical device in which the free energy of chemical
reaction is converted in to the electrical energy. The chemical energy contained in the
active materials is converted electrical by means of electrochemical oxidation reduction
reactions HOW BATTERY WORKS:

When you place the key in your car’s ignition and turn the ignition switch
“ON” a signal sent to the battery. Upon receiving the signal, the battery takes energy that
it has been strong in chemicals form and releases it as electricity power is used to crank
the engine. The battery also release energy to power the car’s light and others accessories.
It is the only device, which can store electrical energy in the form of chemical energy,
and science it is called as a storage battery.

SEALED MAINTENANCE FREE (SMF) BATTERY:

Sealed maintenance free (SMF) batteries technologies are leading the battery
industry in the recent years in automobile and industry battery sector around the globe.

SMF batteries come under the rechargeable battery category so it can be used a
number of times the life of a battery. SMF batteries are more economical than cadmium
batteries. These batteries are more compact then the wet type batteries. It can be at any
position, these batteries are very popular for portable power requirements and space
constraint applications. The replacement market, on the other hand, is much longer. The
replacement market is characterized by the presence of large unorganized sector, which
constitutes around 55-60% of the total replacement market.

INDUSTRIAL BATTERIES:

Industrial batteries can be basically classified into two main categories:

 AUTOMOTIVE BATTERIES
 STATIONARY BATTERIES

9
 The automotive batteries are used in electric vehicles and forklifts. The
stationary batteries used in Telecom, Railway and power industries have Registered a
growth in excess of 20% and this trend in likely to be continuing in the next 5 years.

The industrial segment is highly technology is an important factor land is vital

for brand reference. The total demand for the industrial battery segment is met by
indigenous production with a small saves of about 10% of by imports. The demand for
industrial has grown slowly and steadily. RECYCLING OF BATTERIES:

Battery acid is recycled neutralizing it into water of converting it to sodium soleplate

for laundry manufacturing. Cleaning the battery cases, melting the plastics and reforming
it into pellets recycle plastic. Lead, which makes up 50% of every battery, is melted,
poured into slabs and purified.

PROSPECTUS OF SMF\ VRLA BATTERIESD IN INDIA:

The following factors are influencing demand of VRLA technology batteries.

 Entry of multinationals in telecom industry.

 DOT’S policy decision to upgrade the overall technology base.
 Constraints in the use of conventional battery in radio

TELECOM:

The government policy to increase the capacity from 10 million lines by 2000
increased the demand for storage batteries considerably. The value added services like
radio paging and cellular will increase the demand for storage batteries in future
considerably.

RAILWAY:

In railways, the demand estimate is based on the annual post production

which comes to 2500 numbers by railways itself and 1000 numbers more by various
other segments, plus replacements demand and annual requirements for railway
electrification.

10
POWER SECTOR:

In power sector the estimated 90 private power projects which are expected to
produce 40000 MV with approximate capital outlay of Rs. 1, 40,000 crores would keep
the industry figured brighter in the coming years. The demand for VRLA batteries is
increased due to its performance over the conventional batteries. So it is more acceptable
to the consumers.

VALUE REGULATED LEAD ACID BATTERIES:

In the recent years in automobiles and industry battery sector around the globe
VRLA batteries have become the preferred choice in various applications such as
uninterrupted power supply, emergency lights, security systems and weighting scales.
VRLA batteries are leak- proof, explosion resistant and having life duration of 15-20
years. These batteries withstand the environment conditions due to high technology, in
built in the batteries. Each cell is housed in a power coated steel tray making them
convenient to transport and installation. So transit damages are minimized in case of
these batteries.

AMARA RAJA GROUP OF COMPANIES:

 AMARA RAJA BATTERIES LIMITED (ARBL), karakambadi, Tirupathi.

 AMARA RAJA POWER SYSTEMS PVT.LTD (ARPSPL), Karakambadi,
Tirupathi.
 MANGAL PRECISION PRODUCTS PVT LTD (MPPL), karakambadi,
Tirupathi.
 MANGAL PRECISION PRODUCTS PVT LTD (MPPL), petamitta, chittoor.
 AMARA RAJA ELECTRONICS PVT. LTD (AREPL), Dighavamagham,
Chittoor.

ENVIRONMENTAL PROGRAMS:

 Advancement for ISO-14001 Certification.

11
 Health monitoring and industrial safety program.
 Both personnel and industrial programs.
 Start-up of environment management system (EMS) implementation
Programs.
 Nil discharges and lowest emission awareness and implementation program.
 Waste reduction program.
 Energy conservation program.
 Continuous and massive greenbelt development program ground water level
improvement program.
 Central wastage collection, treatment, storage on safe disposal personal health
safe guarding program.

12
AWARDS:

 “ The spirit of excellence”

- awarded by academy of fine arts, Tirupathi.

 “ Best entrepreneur of the year 1998 “

- awarded by Hyderabad management association

 “ Industrial economist business excellence awards – 1991”

- awarded by the industrial economist, Chennai.

 “ Excellence award”

- Institution of economic studies (New Delhi).

 “Udyog ratton award”

- Institution of economic studies (New Delhi).

13
2. COMPANY PROFILE

14
COMPANY PROFILE:

Background and inception of the company:

Amara Raja Batteries Ltd:

Amara Raja Batteries Limited (ARBL) Company incorporated under the
company’s act, 1956 in 13th February 1985 and converted into public limited company on
6th September 1990.
ARBL is the first company in India to manufacture VRLA (value regulated lead
acid) Batteries. The main objective of the company is manufacturing of good quality of
SEALED MAINTENANCE FREE lead acid batteries (SMF). The company was set up
with Rs.1920 lakhs in 18 acres area near Karakambadi village, Renigunta Mandal. The
project site is notified Under “B” category.
The company has the clear-cut policy of direct selling without any intermediate.
So they have set up six branches and are operated by corporate operations office located
in Chennai. The company has virtual monopoly in higher A.H (Amp Hour) rating market
its product VRLA. It is also having the facility for Industrial and Automotive Batteries.
Mr. Galla Rmachandra Naidu, chairman who is an NRI having engineering background
promoted AMARA RAJA BATTERIES LTD. in 1985 at Karakambadi Village near
Tirupathi. He also seeded HARSHA ELECTRONICS Pvt. Ltd. in 1990 at Karakambadi
Village near Chittoor and AMARA RAJA ELECTRONICS Ltd. in 2000 at

15
Diguvamagham village near Chittoor. Before embarking on this venture he worked as
senior project engineer with M/S Sergeant& Lundy, USA (power consultants) for about
20 years. Prior to this, he worked as an Electrical Engineer for US Steel Corporation for
about 3 years.
In 1989, ARBL has entered into Industrial Battery market with Technical alliance
with GNB Batteries, USA to promote advanced Maintenance Free Valve Regulated Lead
Acid (MF-VRLA) batteries prior to setting its own facilities ARBL Imported the product
in semi-Knocked down condition. In September 1990, it was converted into a public
limited company and it’s IPO (Initial Public Offer) in January 1991 aggregating
Rs.59.5Million. It was formed to manufacture Maintenance-free, sealed lead acid
batteries in which commercial production commenced from May 1992. Despite its initial
technical support from GNB Batteries, during the financial year 1998 ARBL ceded a
23.7% stake to Johnson Controls Inc. USA, at a premium of Rs.75 per share to cement a
financial and technical tie-up to foray into Automotive Batteries. Besides having overall
control of the company as the chairman Mr.R.N.Galla. His son, Mr. Jayadev Galla, who
is acting as a managing director of the company, has worked earlier with GNB Battery
Technologies, USA as an International Sales Executive.

Nature and business carried:

ARBL comprises of two major divisions viz,
.4. Industrial Batteries Division (IBD)
.5. Automotive Batteries Division (ABD)
.6. Small Batteries Division (SBD)

Industrial battery division (IBD)

Amara raja has become the benchmark in the manufacture of industrial batteries.
India is one of the largest and fastest growing markets for industrial batteries in the world
and Amara raja is leading the front with an 80% Market share for stand by VRLA
batteries. It is having the facility for producing plastic components required for industrial
batteries.

16
Incorporation:

ARBL is the first company in India to manufacture VRLA batteries. The

company has setup of Rs. 1920 lakhs. Plants in 18 acres in karakambadi village, near
Tirupati.

ARBL was established in the year 1985 as private limited and then it has been
changed into public limited company with the advent of GNB industrial batteries USA,
for manufacturing sealed value regulated.

Capacity

The actual installed capacity of IBD is over 4, 00,000 cells per annum and
utilization capacity is reached over 3, 50,000 cells per annum.

Automotive Battery Division (ABD)

ARBL inaugurated its new automotive plant at karakambadi near Tirupati. On

September 2001 this plant part of the most completely integrated battery manufacturing
facility in India with all critical components including plastics sourced in house from
existing facilities on site. This gives Amara raja is having complete control own
inventory and product quality in this project, Amara raja strategic alliance partners
Johnson Controls USA have closely worked with their Indian counterparts to put together
the latest advances in manufacturing technology and plant engineering. It is also having
the capacity for producing plastic components required for automotive batteries.

Capacity:

Amara Raja has a replacement Battery Brand Amaron hi-life. ARBL has a
capacity for manufacture of around 1,000,000 units at its facility at Tirupati with an
investment of US $ 10.00 million. A Greenfield project is planned at the same site with
an additional investment of US $6 million to augment capacity to 2 million batteries. The
Amaron hi-life battery is a product of the collaborative efforts of engineers at Johnson
Controls Inc. and Amara Raja. This Zero maintenance product incorporates the latest
technological advances in the field and is on par with batteries manufactured and

17
marketed in developed countries. A fully charged, factory-activated battery provides
extra high starting performance and power at any temperature.

Mission, vision and history:

Mission:
Mission, mantra, way of thinking, philosophy, what we live for… call it what you
want, you’ll find it below.
“To transform our spheres of influence and to improve the quality of life by building
institutions that provide better access to better opportunities, goods and services to more
people…all the time.”
Introduce latest generation technologies:
 Adapt these technologies to suit the operating environment
 Develop and manufacture globally competitive, customer-focused products of
world-class quality.
 Responsibly introduce these products into relevant markets.
 Provide world-class customer support.
Vision:
In January 2007, ARBL announced expansion plans to invest Rs.84 crores to set up
the combined manufacturing capacity of 3.2 million units for 2-wheeler batteries and
small VRLA batteries for UPS applications. Currently 1 million units combined capacity
is ready and will scale up to 3.2 million units by FY 2010.

18
Product profile:
Automotive battery products:
Four-wheelers:
1. Amaron hi-way
Amaron hi-way truck batteries-lasts long,
really long
Amaron hi-way truck batteries, brought to
you by Amara Raja Batteries Limited
(ARBL), the largest manufacturer of Stand-
by VRLA Industrial Batteries in the Indian.
2. Amaron pro hi-life
Amaron PRO hi-life batteries design features and
benefits
Longest life – thanks to the reformulated Advanta
paste recipe.
Zero maintenance – high heat technology, premium
silver alloys for a low-corrosion and no top-ups
experience.
Highest cranking power – largest intercell welds,
19mm lugs.
Amaron harvest
Types of Harvest tractor batteries
75 Ah – TRA 500 D31R/L
90 Ah – TRA 600 H29R/L

3. Amaron shield
Amaron shield – power Infinite
The new Amaron shield, with an unheard of 24
months warranty. A product of Amara Raja
Batteries Limited, Amaron shield is a result of a partnership between the Amara Raja

19
Group and Johnson Control Inc, USA, the global leader in interior experience, building
efficiency and power solutions.

Amaron shield design features and benefits Long

life – the robust plate design and a ribbed container
provide extra strength and improved resistance to
corrosion.
Ultra low maintenance – the special hybrid alloy
system minimizes water loss, making the battery ultra low maintenance and ensuring
longer life.Ready to install – factory charged, wet shipped and equipped with T3
terminals.Charge acceptance – the unique paste formulation provides for quick charging
between power failures.

4. Amaron go:
Amaron go batteries design features and benefits
Long life – thanks to the reformulated advanta paste recipe.
Maintenance free – High heat technology, premium silver alloys for a low-corrosion and
no top-ups experience.
Factory fresh – wet shipped and ready to fit.

5. Amaron fresh

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6.Amaron optima

Optima yellow top: deep cycle batteries for extreme

applications

Optima blue top: for twice the life of traditional

marine and RV batteries

Optima red top: the battery that withstands the most

vibrations

21
Applications:

O.E.Customer Model Number Rating

Hyundai(Santro) 38B20R 12V35Ah
Maruthi Udyog Ltd(Wagon R) 38B20l 12V35Ah
Maruthi Udyog Ltd(Swift) 38B20R 12V35Ah
GMIL(Tavera) 80D26R 12V60Ah
GMIL(Optra) 55D23R 12V55Ah
Ashok Leyland(Goods) 75D31R 12V75Ah
Ashok Leyland(Passenger) HCVX00D04R 12V150Ah
Ashok Leyland(Goods) HCV500D31R 12V80Ah
M&M(Scor/Comm/Marshall) 65D26R 12V65Ah
M&M(Bolero) 75D31L 12V75Ah
M&M(Champion) 48D26R 12V50Ah
M&M(Tractors-All Types) TRA500D31L 12V75Ah
HONDA(City) 34B19L 12V32Ah
HONDA(Accord) 55B24L 12V60Ah
TELCO(Ace-Cub) 38B20L 12V35Ah
TELCO(207DI/Sumo/Variants) 75D31R 12V75Ah
TELCO(Safari-CRDI) 95D31R 12V80Ah
TELCO(Telco709/907) HCV700H29R 12V100Ah
TELCO(1613) HCV800D04R 12V120Ah
TELCO(1313/1512) HCVX00D04R 12V150Ah
SWRAJ MAZDA(Truck) 75D31R 12V75Ah
HML-Kolkata(Ambassador-D) 75D31R 12V75Ah
HML-Kolkata(Ambassador-P) 55D26R 12V60Ah
HML-Chennai(Lancer-P) 38B20L 12V35Ah
HML-Chennai(Lancer-D) 95D31L 12V80Ah
EICHER Tractors(for available models) TRA500D31R 12V75Ah
INTERNATIONAL Tractors TRA500D31R 12V75Ah

22
Two wheelers:

Applications:

Vehicle Scooters Battery type

manufacturer
Bajaj Bajaj Bravo AP-ATX2.5L
Bajaj Saffire, sprit,wave AP-ATX5L
TVS Scooty ES,Scooty AP-ATX5L
pep,spectra
Herohonda Pleasure, Street AP-ATX5L
Suzuki Access 125 AP-ATX5L
Kinetic honda Kinetic AP-ATX5L
hondaDX,Zx
kinetic Nova 135,Nova AP-ATX9
EX,Blaze

23
Industrial battery division:

Amara Raja’s Power Stack is a high performance battery designed to meet the
demands of a wide range of industrial applications. The power stack range is modular in
structure and is capable of accommodating a wide spectrum of capacities depending on
the application. Major application areas include telecommunications, power utilities,
railways, defence, and other heavy industries.

The advantages of powerstack at a glance:

 The advantages of power stack at a glance

 Design floats life of 20 years
 Proven performance in harsh tropical conditions
 Deep discharge capabilities
 Unbeatable track record in applications across heavy industries
 QS 9000 – accredited across all functional areas and business ranging from
manufacturing to services.
 World class ISO 14100 accredited facility

24
 Quanta is not just another UPS battery, it is a UPS battery with a back-up for a
back-up.UPS battery is further backed by the world renowed technology that others
cannot provide you with. Put simply, Quanta is the product of fail-safe, fool-proof battery
technology, produced and tested in our premier manufacturing facility and provides
several firsts for a battery of its kind.

The advantages of Quanta at a glance

 Unique heavy-duty, corrosion-resistant alloy for positive grids, to increase cyclic

life in a tropical environment.
 Lower internal resistance for superior high-discharge performance.
 Interchange, a patented paste recipe for excellent charge acceptance.
 Aesthetically designed with a rugged Flappon terminal protector that prevents
shorts
 Compact, lightweight, factory-charged, explosion-resistant and environment
friendly clean and sleek looks.
 Apart from the technology itself, helping us meet our stringent quality norms is
our QS 9000 accredited manufacturing plant. All of which makes Quanta the
unrivalled choice for the smart UPS equipment buyer.
Power Control:

25
  They provide back-up critical installations in power generating units and provide
back-up power for transmission and distribution sub-stations like:
 North Chennai thermal power station
 ARBL is an approved vendor for NTPC/NHPC and power Grid Corporation.
Oil & gas:

1. ARBL provides integrated solutions for renewable energy back-up power for
ONGC’s offshore platforms.
2. The island of Lakshadweep is powered through Amara Raja Power Systems.
3. They also provide back-up power for low power transmitters for Doordarshan.
Motive Power:

1. ARBL is the country’s first manufacturer of maintenance-free traction batteries

used in Forklifts and Pallet trucks.
Defence:

ARBL introduced new technologies for back-up power in defiance, police and
paramilitary communication systems.

UPS & EPABX:

ARBL is the preferred suppliers for all leading UPS back-up manufacturers like
APC, Numeric, DB power, AP Lab, Electronics & Controls etc. our UPS batteries are the
fastest growing battery brand since its launch in July 2002 with a nation-wide footprint of
sales and service points and over 3,00,000 batteries in use at over 10,000 customer sites.

Railways:

 ARBL pioneered the use of maintenance-free batteries in the Indian Railways.

 Over 50% of Indian Railways’ two and three tier self-generation Air-conditioned
coaches are powered by ARBL.
 Over 40% of Railway’s Signalling and Telecom power supply solutions are
provided by ARBL.
Area of operation:

26
Regional: Leading battery manufacturer Amara Raja Batteries Limited launched Amaron
pit shop in Kakinada and Rajamundry today. With these the total number of pit shops in
Andhra Pradesh will grow to 14. The complete range of Amaron automotive batteries, the
most popular product from ARBL, will be available at the pit shop. Amaron pit shop is an
innovative concept pioneered by Amara Raja in the automotive battery industry
National: The Company currently has a pan-India sales and service network with 152
franchisees, 120 pit shops and over 15000 active retailers.

Ownership pattern:

Shareholding of promoter and promoter group

Indian - 20.5427%

Foreign - 31.5187%

Public shareholding

Institutions- 15.1278%

Non-institutions - 32.8106%

Competitor’s information:

EXIDE: The Company was incorporated as Associated Battery Makers (Eastern) Ltd.,
on 31st January, 1947 under the Companies Act, 1913 to purchase all or any of the assets
of the business of manufacturers, buyers and sellers of and dealers in and repairers of
electrical and chemical appliances and goods carried on by the Chloride Electric Storage
Company (India) Ltd, in India , since 1916 with a view thereto to enter into and carry into
effect (either with or without modification) an agreement which had already been
prepared and was expressed to be made between the Chloride Electric Storage Co (India)
Ltd on the one part and the Company of the other part. The Company manufactures the
widest range of storage batteries in the world from 2.5 Ah to 20,400 Ah capacities,
covering the broadest spectrum of applications. The Company has six factories
strategically located across the country – two in Maharashtra, one in West Bengal, two in

27
TamilNadu and one in Haryana. The Company’s predecessor carried on their operations
as import house from 1916 under the name Chloride Electrical Storage Company.
Thereafter, the Company started manufacturing storage batteries in the country and have
grown to become one of the largest manufacturer and exporter of batteries in the sub-
continent today. Exide separated from its UK-based parent, Chloride Group Plc., in 1989,
after the latter divested its ownership in favour of a group of Indian shareholders. The
Company has grown steadily, modernized its manufacturing processes and taken
initiatives on the service front. Constant innovations have helped the Company to
produce the world’s largest range of industrial batteries extending from 2.5 Ah to 15000
Ah and covering various technology configurations.

AMCO

AMCO Batteries Limited of the Amalgamations Group is the leading battery

manufacturer with a wide spectrum of world class high performance
polypropylene batteries for the automobile industry. AMCO is No. 1 battery for Two
Wheelers and the preferred choice for the new generation Bikes, Scooters, Cars and all
other passenger vehicles. AMCO batteries ensure instant start, long life and trouble free
performance. It occupies pride of place in both the Original Equipment and Replacement
markets enjoying an enviable preferred choice as OE fitment. On account of its track
record in the two wheeler battery segment, the company has the privilege of being an
exclusive supplier to Hero Honda, TVS, HMSI, Yamaha, Bajaj, Royal Enfield etc. The
company has a track record of supplying 4-wheeler batteries to TAFE Tractors, Eicher
Tractors, Cummins India Ltd, Sonalika Tractors etc.Pioneering Quality Standards in
batteries with contemporary technology and ceaseless attention to quality, AMCO
Batteries Limited is the first battery in manufacturer awarded ISO-9001 Certification by
BVQI.AMCO Batteries Limited with its state of the art technology (R&D) recognized the
Department of Science and Technology, Government of India that contributes towards
import substitution and indigenization. AMCO Batteries has proven its commitment to its
customers by establishing well supported nation-wide network of marketing offices and
service centers that ensure ready availability and reliable after sales service and
maintenance’s. Jayshree Venkatraman, Director, AMCO Batteries Limited & TAFE

28
Power Source won the distinguished alumnus award from the International Management
Institute (IMI) which is given in recognition of dedicated and meritorious service to
business and society above and beyond expectations of expertise in the workspace.

HIGHLIGHTS:

 Amaron TM is the preferred supplier to Daimler Chrysler, Ford and General

Motors
 Automotive product of the year 2000 by overdrive
 Excellence in Environmental management in 2002 by AP Pollution Control Board
 Creative Advertiser of the year ’02 by ABBY
 Ford “World Excellence Award”
 Ford Q1 Award
 ISO - 9001 in 1997….RWTUV
 QS 9000 in 1999….RWTUV
 ISO/TS 16949 in 2004….RWTUV
 Quality benchmarks
 Best business practices as per JCI
 ISO 14001 in 2002…..RWTUV
 Part of the world’s largest battery manufacturing alliance- Johnson Controls Inc.,
USA
 Largest manufacturer of standby VRLA batteries for industrial application in
India
 Auto CAD for sheet metal design
 Largest & dominant market leader of standby batteries in Railways, Telecom,
power generating stations in India
 One of the largest (designed for producing 2.5 million batteries p.a) and most
modern automotive battery plants in Asia

29
  Highly automated (oxide preparation to finishing; all processes and operations are
automated)
 Part of Amara Raja’s highly integrated battery complex (most components are
built in-house)
 Industrial Economist Business Excellence Award – 1991 by the Industrial
Economist, Chennai.
 Best Entrepreneur of the year 1998 – by Hyderabad Management Association.
 Excellence award by Institution of Economic Studies (ES), New Delhi.
 Udyog Rattan – 1999 by Institution of Economic Studies (ES), New Delhi
 Q1 vendor status by Ford India Limited – 2003
 World Excellence Silver Award by Ford USA
 The spirit of Excellence by Academy of fine arts, Tirupathi

Future growth and prospectus:

The company has plans of expanding its battery manufacturing capacity a robust
50% from 3.6 million units per annum to 5.4 million units per annum. The company
intends to make an investment of Rs 882 million for the expansion.

The company plans to expand the capacity of the industrial battery division,
which would incur a capital expenditure of Rs 650 million. The company would be
investing Rs 1,134 million in setting up a facility at Tirupati for the manufacture of two
wheeler and small VRLA batteries. The proposed Share valueinvestment would be spread
over three years. The capacity’s facility would increase to 5.74 million units Share value.

30
3. INTRODUCTION

31
 INTRODUCTION TO STUDY

Problem definition:

To find out the factors that influence the customers to buy Amaron two wheeler batteries

and also to find the market potential of Amaron two wheeler batteries in Hyderabad.

Scope of the study:

The scope of the study can be defined in terms of the area and the sample size which will

be reviewed for satisfying the objective of the subject matter. The scope of study is in

Hyderabad, and around 50 Battery retailers and OEMS was targeted for the door to door

survey which was done through questionnaire.

Objective:

A study on factors influencing purchasing decision of the customers and identifies the

reason for better sales of Amaron batteries and examines option for enhancement.

Limitation of the study:

1) This study is limited to only Hyderabad.

2) Sample size is only 50. As sample size is very small it might not give the exact fig
or may not be the exact representative of the actual population.

3) Respondents are not very much cooperative and some time biased answer so
understatement and overstatement observed

32
 4. PURPOSE AND

OBJECTIVE OF STUDY

33
The objective of the survey is to know the market potential, consumer

purchase behavior about Amaron Car (HCV) Batteries in Jodhpur Zone and

to rate the batteries in terms of sales, services with its competitors. To know

the complaints received by the mechanics. To get suggestions and other

information from the mechanics in order to increase the sales by providing

good services. To know factors having major influence on consumer purchase

behavior and to compare with other brands of batteries in terms of

performance, price, after sales services, package, promotional activities and

other related information.

This is also done to know the features consumers will consider using the

purchase of batteries and to know the brand suggestions given by the

mechanics to their customers, to know the role of advertisement in drawing

the attention of customer and to know the effective medium of

communication such as T.V, radio, news paper, magazines, shop paintings and

also to know the strengths and Weakness of Amaron batteries and to get good

suggestions in order to boost the sales of Amaron batteries

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Caution:

While charging more than one battery, make sure that identical type

batteries are charged and they are connected in series keep the charger off

before connecting or disconnecting a charger load.

While charging if Electrolyte temperature exceeds 50deg centigrade stop

charging and allow battery to cool.

While charging is in progress, always keep the filling plugs in loose condition

so that gases escape freely. Batteries expel explosive gases, keep naked flame

away

35
5. RESEARCH

METHODOLOGY

36
Research is scientific & systematic search pertinent information on a specific topic the
meaning of research is a careful investigation (or) inquiry especially through search for
new facts in any branch of knowledge.

Data sources:

One of the important tools for conducting research is the availability of necessary
and useful data collection is more of an art that science. The source of information fall
under two categories.

1. Primary data:

Primary data is collected with the help of questions, which consisted of questions
of closed ended. The questionnaires are chosen because of its simplicity and reliability.
Researchers can expect a straight answer, which is directly related to the questions asked.
Interpretation of data under this can also be done correctly. It helps the responded to
understand the significance and answer to their ratability. In this method response rate
and reliability is high. In addition to this the data is collected through observation,
questionnaire method and personal interview.

2. Secondary data:

Secondary data is collected through the document provided in internet by

the company, manuals and reports regarding financials etc., and books.

3. Sampling:

37
 It is necessary to collect data from the retailers and OEMS in the market. A small
represents sample may serve the purpose. A sample means group taken from a large lot.
This small group should be imitative cross section and really representative in character.
This selection process is called sampling.

4. Sampling Size:

Sample is device for learning about masses by observing a few individuals ,the
selected sample is 50.

4. Collecting and analyzing data :

Data collection is usually done by trained interviewers who are employed by field
data collection companies to collect primary data. A choice has to be made between
collecting the data yourself or hiring an external office who are specialized in interviews.
Data analysis is needed to give the raw data any meaning. The first step in analyzing the
data is cleaning the data. This is the process of checking the raw data to verify that the
data has been correctly entered into the files from the data collection form. After that the
data have to be coded. This is the process of assigning all response categories a numerical
value. For example males = 1, females = 2. After that the data can be tabulated, which
refers to the actual counting of the number of observations that fall in to each possible
response category

5. Tools of analysis:

The collected data was first codified. Classified and then crystalised into tables
which are further elucidated by dint and by pie chats. The conventional statistical
techniques used in this survey are the percentage analysis and the graphical
representation. Percentage analysis has been used as the main tool and graphs are helpful
to analysis and interpret the data. Suggestions and recommendations were made at the
end of the report

38
6. DATA ANALYSIS

39
 Data analysis:

1. Are you dealing with any two-wheeler batteries?

S.NO Response No of Percentage

respondents

1 Yes 50 100

2 No 0 0

Total 50 100

Interpretation:

From the above graph that it can be stated that 100 percent of retailers are dealing with
two wheeler batteries.

40
 4. Price of the battery is the main factor which attracts the customer?

INTERPRETATION:

The above graph depicts the opinion of the retailers, from the above graph
we can say that in sample of 5o, exactly half of them agree that price is one of the factors
which attracts the customer, 25 % of them are neutral, and only 4 of them disagree that
price is not a factor which really attracts a customer .so from the graph we can conclude
that price is one of the key factor which plays a vital role in customer mind while
purchasing a two-wheeler battery.

41
3. Warranty period of the battery is the main factor which attracts the customer?

INTERPRETATION:

From the above graph we can say that, from the sample of 5o, 28 members strongly
agree that warranty period is the main factor which attracts the customer,18 members
agree that it is also one of the factor which customer perceives while buying a battery,
and only 4 of them disagree .from the above data we can conclude that while comparing
both price and warranty period warranty period is the factor which scores more over price
while purchasing.

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4. Free maintenance of the battery is the main factor which attracts the customer?

Free maintenance of the battery means that battery does not require continuous
monitoring after it is fit in to the vehicle. For example Amaron batteries are embedded
with a latest technology called VRLA , the significance of the technology is that, the
battery does not require any external sourcing( like water ) once it is fit in to the vehicle.

INTERPRETATION:

From the above graph, it shows that, out of the 50, 32 members strongly agree that free
maintenance of the battery is the main factor which customer is attracted to, 12 members
agree ,4 members are neutral i.e the cant decide and only 2 members disagree with the
statement.

From the given data we can conclude that customers are biased with the latest
technology , it stresses on the fact of continuous up gradation of the technology a
company must strive for, to able to sustain in the market .

43
5. Customers are aware of the brands available in the market?

INTERPRETATION:

From the above graph we can say that, out of sample 50 exactly half i.e. 25 of them agree
that customer are aware of the different brands available in the market, seven of them are
neutral & eight of them feel that customers are not aware of the brands available in the
market

44
6. The first choice of the customer is Amaron?

INTERPRETATION:

From the above graph we can say that, out of sample 50, 25 members disagree with the
statement that Amaron is the first choice of the customer, 14 members agree with the
statement, 5 members are neutral, 3 members strongly agree & 3 members strongly
disagree.

45
7. The distribution chain of the Amaron batteries is good?

INTERPRETATION:

From the above graph , we can say that there is mixed response from the participants
exactly 20 of them agree that distribution chain of Amaron is good & 20 of them
disagree,

5 members are neutral, 3 members strongly agree,& 2 members strongly disagree with
this.

The Amaron follows a different kind of distribution

chain which is unique from its competitors, they follow franchise method i.e. they allow
their products to flow in the market through franchises, the company does not have direct
link up with the retailers, so distribution chain of Amaron batteries is different in
different markets, which clearly depicts in the data shown in the graph i.e. retailers in
some areas agree that Amaron has got good distribution network, while in some areas
they feel it should improve & the response is exactly same in number.

46
8. The replacement of fault batteries is quick in case of Amaron?

Replacement of fault batteries here means that , how quick the company (franchise)
responds in replacing the fault battery with a new battery within a specified warranty
period.

INTERPRETATION:

From the above graph we can say the out of the sample 50 exactly 25 of them disagree
with the statement that replacement of the fault batteries is quick in case of Amaron , 13
of them agree, 5 of them strongly disagree & 4 of them are neutral.

As we see from the graph majority of the respondents feel that the replacement of the
fault batteries is a concern with Amaron . Again this points out the effective functioning
of the franchise in a area . Amaron two-wheeler batteries have a 60 month warranty
period which is quite a long period compared to its competitors. While collecting the data
from the retailers they complained us about giving high warranty period , some of the
retailers also felt that they refrain from suggesting a customer a Amaron battery because
of high warranty period.

47
9. Which brand has the highest sales record in the recent past?

Interpretation:

From the above graph we can say that out of the sample 50 , 20 respondents feel that
Exide has got the highest sales in the recent past , 13 members feel that Amaron is
leading in the sales, 7 members are up for Amco , 3 members for SF, 7 members are for
other batteries.

48
10. You have sufficient stock of Amaron two wheeler battries?

Sufficent stock of Amaron batteries :

Interpretation:

From the above graph we can say that the out of 50 samples 19 peoplestrongly feel that there
is no stock of amaron batteries ,6 people said that they said they are not having the stock ,4
retailers are Neutral and 10 people said that they are having sufficient stock of batteries.

49
7. FINDINGS

50
1. The first preference of most of the customer is Exide.

2. Customer Awareness regarding Amaron batteries is pretty average..it’s like(

4/10).

3. The retailers are not satisfied with the time taken for replacement of Amaron two
wheeler batteries.

4. The warranty period of the Amaron batteries is very high when compared to other
brands available in the market. I found that warranty period is very important in
Amaron battery sales.

5. To keep up the motivation & also to make the retailers loyal to the brand,
company should initiate to give some incentives & promotional offers to retailers.

6. Free maintenance of the battery/the technology (VRLA) which is used in the

Amaron batteries is the most competitive factor of the brand.

7. In our survey, we found that many of the OEMs & also some of the retailers are
not aware of the Amaron two-wheeler battery.

8. Although the technology (VRLA) of Amaron two wheeler batteries is of highest

quality, some retailers complained to us that few batteries are prone to technical
faults.

9. Some retailers complained that they not satisfied with the lead time.

51
8. SUGGESTIONS

52
1) The present Warranty period ( 60 month) is very high , I found that retailers are
reluctant to suggest the customer to buy Amaron as they are afraid they have to cater the
needs of the customer for 5 years . so I suggest to lower the warranty period to match up
with its competitors.

2) Although the company follows Franchise system, it should Maintain direct link ups
with the retail owners. The company should also give some incentives to the retailers
with the amount of sales they produced.

3) The company should get in to contracts with the Original Equipment Manufacturers.

4) I Observed that , now there is a huge demand of two-wheeler Batteries in the market ,
every company is falling short of supply , this is the right time to penetrate in to the
market.

5) The company should modify their supply chain so as to reach the present days
demand.

6) The most important suggestion for the Amaron company , it should take some
initiatives in bringing awareness regarding the uniqueness of the Amaron two-wheeler
battery , advertising should be increased.

53
9. CONCLUSION

54
 To conclude, the overall market share in Hyderabad with regard to Amaron two-
wheeler batteries is pretty average , there is a lot of scope to increase its market share,
although it has been only for year since it is in the market , it is not reached the position
to where it has to be( keeping in mind the brand image Amaron). Although technically ,
regarding warranty period, the price it is on par with its competitors , the area where it
lacks is in bringing awareness among the consumers , the company should take
immediate initiation in advertising the product , so as to create awareness among
customers, another area of setback to Amaron two wheeler battery is that the company
doesn’t have any tie-ups with the original Equipment manufacturing dealers , while
talking to the retailers , majority of them opined that , most of the customer insist to have
their new battery with same brand that of the old one, this tells us the importance of tie-
ups with the OEMs .

The distribution of Amaron two-wheeler

battery is different, the company doesn’t have direct link-ups with retail market , each
area is segmented and given to franchises , in our research we found mixed responses
regarding this distribution chain , the other side who complained us, their main problem
is that , there is no set policies for these franchises, the even run retail i.e. they even sell
the product directly to the customer , where he gets lesser price than what he might got
at the retailer, retailers are unhappy with this.

Most important of all is that, during my

research i found that there is a lot of shortage of two wheeler batteries in market at
present, lot of retailers complained about time delay in supplying the orders, i think
this is the right time for new entrant like Amaron to capture the market , they should
make their supply chain effective so as to reach the future demands of market.

55
10. BIBILOGRAPHY

56
LIST OF BOOKS

1. MALHOTRA, NARESH K., 2008, Marketing Research, Pearson Prentice

Hall, New Delhi.
2. KOTLER PHILIP & KELLER KEVIN, 2003. Marketing Management, New
Delhi:
Prentice Hall of India.
3. ICMR PUBLICATION, 2007. Marketing Management, Hyderabad: ICMR
Publication.

4. The ICFAI University Press,2007, Project & Profit, Hyderabad, ICFAI

University
List of websites:

1. www.amararaja.co.in

2. www.amaron.in

3. www.batteryfaq.org

4. www.indiamart.com

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11. QUESTIONAIRE

58
 Market Analysis of Amaron Batteries
Questionnaire

Name of the shop: Place: Phone:

1 )Are you dealing with Two Wheeler batteries?

(a) Yes ( ) (b) No ( )
2) What are the brands are you dealing with?
(a) Exide ( ) (b) Amaron ( ) (c) SF ( ) (d)
AMCO ( )
(e) Minda ( ) (f) Others ( )

3)What brand do you suggest for the customers?

Ans:

SA = Strongly Agree, A = Agree, N = Neutral, D = SA A N D SD

Disagree, SD = Strongly Disagree
4) Price of the battery is the main factor which attracts
the customer
5) Warranty period of the battery is the main factor
which attracts the customer
6) Free maintenance of the battery is the main factor
which attracts the customer
7) The distribution chain of Amaron batteries is good
8) Customers are aware of the brands available in the
market
9) The first choice of the customer is Amaron
10) The sales of Amaron has increased compared to past
11) The replacement of fault batteries is quick in case
of Amaron.
12) you have sufficient stock of the brand Amaron .

13)can u suggest, how Amaron could improve to serve you better?

Ans:

59