KHWAJA MOINUDDIN CHISHTI LANGUAGE

UNIVERSITY, LUCKNOW

RESEARCH PROJECT REPORT

ON
“MRF TYRES”

Submitted Towards Fulfillment Of

MASTER OF BUSINESS ADMINISTRATION (MBA)
Session 2023-24

Under the Guidance of : Submitted By:

Prof. (Dr) Syed Haider Ali. Istyak Ali

(Head of the Departent) Enroll No. A 8250

MBA, 3rd Semeste

 DECLERATION

This is to declare that I, Istyak Ali student of MBA at KMCLU,Lucknow have personally
worked on the roject entitled “MRF TYRES”the data mentioned in this report were obtained
during genuine work done and collected by me. The data obtained from other sources have been
duly acknowledged. The result embodied in this project has not been submitted to any other
University or Institute for the award of any degree

Signature

ISTYAK ALI
 ACKNOWLEDGEMENT

First of all I express my gratitude to my project guide PROF. (DR) SYED HAIDER ALI,
KMCLU, Lucknow. His able guidance at each step of the project helped me to broaden me
outlook on the project and in successful completion of the project. I shall always remember his
polite way of correction and constant encouragement by asking various questions.

I specially thank all the faculty members of KMCLU Lucknow, for having equipped me with the
skills and the ability through their inputs,which assisted me in the completion of the project.

I wish to thank all those people who have directly or indirectly been instrumental in successful
completion of this project work.

Finally, I would like to thank my Parents, Family, Friends, colleagues and God Almighty for their
unending inspiration and encouragement.
 PREFACE

I am Istyak Ali doing graduation in Busines Administration (MBA) stutent of KHWAJA

MOINUDDIN CHISHTI LANGUAGE UNIVERSITY, LUCKNOW
under the guidance of Prof. (DR.) Syed Haider Ali (HOD) undergone research program in “MRF
TYRES”. An arn
of future group. I have been assigned a task as a project related to customer satisfaction and
services. The project title is customer satisfaction and customer service in “MRF TYRES”.

The project was 65 days. I feel great and pleasure in presenting this research Perort which is
essential in spartial fulfillment of our management program. Research projectis an integral part of
curriculum ad its purposeis to provide the student with pratical exposure of market in today’s
changing scenario. It in
development practical scales and analytical thanking proess. It also makes student aware of about
the perception and taste of consumers. Thus it helps in moding the students according to the
requirement of the market. Consumers buying preferences, tasre,choice has changed and have
become more quality conscious. It helps to boom in consumer market and people were on the
spending speed.
 Table of content

Declaration................................................................................................................IV
Acknowledgement.....................................................................................................V
Preface.......................................................................................................................VI
List of tables & chart …………...……………… …………...…………………
Executive summary………………………………………………………………

1 Industry Overview ………………………………………………………… 2

1.1) Introduction to Banking ……………………………………………… 3
1.2) Banking in India ……………………………………………………… 5
Introduction to Co-operative Banking……………………………… 8
History of co-operative bank………………………………………… 9
Role of Cooperative in Indian Economy................................................................................10
Characteristics of Co-operative banks…………………………… 11

2. Company Profile ………………………………………………………… 12

2.1) History of JCC Bank ……………………………………………… 13
2.2) Bank Profile ………………………………………………………… 15
Board of Director of the bank …………………………………… 17
Organization Structure of JCC …………………………………… 18
Vision and mission of bank……………………………………… 19
Award and achievement ………………………………………… 21
2.7) Future plan………………………………………………………… 21
2.8) social contribution ………………………………………………… 22
2.9) Mile stone of bank ………………………………………………… 23
2.10) Service Department……………………………………………… 26
2.11) Marketing Department…………………………………………… 32
2.12) Human Resource Department…………………………………… 35
2.13) Finance Department……………………………………………… 41
 2.14) Swot Analysis……………………………………………………… 42

3. Research Topic …………………………………………………………… 45

3.1) Meaning of research……………………………………………… 46
3.2) Meaning of loan and advances…………………………………… 47
3.3) List of various loan………………………………………………… 49
4. Literature review ………………………………………………………… 56
5. Research Problem ……………………………………………………… 60
6. Research Objective ……………………………………………………… 61
7. Hypothesis/Hypotheses ………………………………………………… 62
8. Research Methodology ………………………………………………… 64
9. Data analysis and Interpretation ………………………………………… 67
10. Statistical Analysis/Hypothesis Testing………………………………… 75
11. Recommendation and suggestions ……………………………………… 79
12. Research findings.......................................................................................................80
13. Conclusion …………………………………………………………………… 81
14. Limitations of the study …………………………………………………… 82
15. Implementation of the study………………………………………………… 83
16. Scope for the future study ………………………………………………… 84
17. Annexure …………………………………………………………………… 85
18. References ………………………………………………………………… 87
 LIST OF TABLES

Sr. No. Title of Table Page No.

2.10.8 Recurring Example 37
2.10.9 Locker 38
3.3.1 Hypothecation-cash credit(Rate) 58
3.3.2 Industrial Loan(Rate) 58
3.3.3 Overdraft(Rate) 59
3.3.8 Vehicle Loan(Rate) 60
3.3.9 Building Loan(Rate) 61
3.3.10 Consumption(Rate) 61
3.3.11 Machinery Loan(Rate) 61
10.2 Calculation of Chi-square test 83
10.2 Expected Frequency 84
 LIST OF CHART

Sr. No. Title of Chart Page no.

2.4 Organization Structure 26
9.1 Occupation of loan borrower 75
9.2 Age group of loan borrower 76
9.3 Income level of loan borrower 77
9.4 Behavior of staff member 78
9.5 Time period of loan 79
9.6 Another loan from rival bank 80
9.7 Qualification of customer 81
9.8 Maximum extent to take loan 82
 Executive Summary

The objective of this study entitled “An Organizational Study of MRF LTD.,
Kottayam” is to highlight the real life situations under the domain of business and
organizational world of MRF LTD., Kottayam.
The report covers the overall organizational structure, departments, functions,
procedures and functions, procedures and policies of the company. The functional
areas, products, services of the company have been well studied and documented
in the report. The study also includes the SWOT (Strength, Weakness, Opportunity
and Threats) analysis of the company in the present situation which is an output of
the 6week observational study at the company. IT is intended to analyze
comprehensively and understand thoroughly the various departments, services,
functions and company`s approach towards using technology, Corporate Social
Responsibility and work environment.
In the present business world, manufacturing industry has grown significantly
since last few decades and is also faced by cutthroat competition in every area.
MRF, established in 1946, is one of the largest tyre manufacturing companies in
the world.
During the study information was gathered relating to Organizational structure,
various departments, and their functions, products, quality policies, procedures and
SWOT analysis of the company. The study is based on the relevant data and
materials obtained from the organization. Also direct interviews were held with
high authorities and staff members to get more accurate and up to date information. Each
activity of the company was studied carefully with the available
data and material.
Nowadays the competition in tyre industry has increased. Foreign and domestic
players have come into picture. The management of MRF is concerned with
keeping in touch with the customers and non-customers expectations and provides
better quality of services.
Four main attributes like Quality, Cost effectiveness, responsiveness and being
customer centric/sensitiveness are the major attributes one considers to identify
ones attitude towards the company.
 CHAPTER-1

Industry Overview

INTRODUCTION

The tyre industries in India come into existence with establishment of trading
outlets by U S based Fire Stone Tyre and Company in1922 and followed by Dunlop
Rubber Company in 1926.The Indian Tyre industry has witnessed a Cumulative
Annual Growth Rate (CAGR) 7.7% over the last decade. Economic expansion,
investments and road developments have all contributed to this
Increase in demand for vehicles. This has helped the growth in the tyre industry.
The tyre industry is the major consumer of the domestic rubber production. The
tyre industry is mainly dominated by organized sector; the unorganized sector holds
in bicycle tyres. The major players in the organized sector consist of MRF, Apollo
tyres, Ceat, and J K Industries, which account of the 63% of the organized tyre
market.

Sector Composition
Tyres and tubes, the strategic rubber products and basic supplements to the automotive
vehicles are of most importance to the countrys economy.
The tyre industry sector is providing direct employment to over 40,000 people and indirect
employment to lakhs of people. This industry sector is now being considered as a core
industry sector.
The manufacturing of automobile tyres as an essential ancillary for the development of
automobile sector came into being in India during the 1930's when the Dunlop India Ltd., the
􀀁rst tyre manufacturing transnational company started its operation in 1935 at
Sahaganj in West Bengal. During the early period the overseas tyre manufacturing companies
were having major equity participation in the Indian manufacturing companies. After 1970's
there was a change in the policy of Government and it decided not to
sanction any foreign equity The setting up of joint sector projects with multiple foreign
collaboration was considered feasible.
At present 11 large companies with 15 factories and 9 medium-scale companies scattered all
over India are manufacturing tyres and tubes for automotive vehicles including aero tyres and
tyres for defence services. As estimated, their total production during
1987 was 128 lakhs tyres against the total installed capacity of 179.44 lakhs tyres.
The interesting feature of the tyre industry in India is that starting from its inception to the
present day its progress has been in􀀂uenced by repeated import of technical collaborations.
There is an urgent need to build up indigenous capabilities for tyre
technology including the tyre machinery. within view of this, it was opinion desirable to carry
out the review of at hand status of this industry and to identify and analyze the critical inputs
required for absorption and up gradation of imported technology.
The DSIR has introduce a system "National Register of Foreign Collaborations"
Which imagine check and analysis of imported technologies in the country also suggest
measures for appropriate choice, acquisition and implementation of foreign know-how.
The main objectives of this plan are Undertake nancial, economic and legal analysis of set of
data on foreign collaborations. Carry out a technology analysis of the imported machinery
and provide state of the art machinery in use in the country and status of
execution of alliance Provide the basis for National Science strategy wherever possible. In the
long run lead to unpack aging of imported technology and in generation of national strength
in competitively purchase only certain components of machinery.
Coordinate with department of Industry, Commerce and Finance etc. by provided that
machinery data input. Facilitate more ecient countrywide contribution with various
organizations such as UNCTAD, UNIDO, and ESCAP etc. and in the global switch over of
information and co-operation with current developing country the three reports has been
ready under "National Register of Foreign alliance to review the Tyre Industry in India. 1.6
The In-house R&D units in industry are advantageously located to absorb and get
improved upon the import machinery.
Equipment invention in the Indian tyre industry has witness a fair total of expertise and
adaptability to absorb, settle in and adapt worldwide technology to suit Indian conditions.
This is re􀀂ecting in the swift technology progression from cotton (reinforcement)
carcass to high-performance radial tyres in a distance of four decades. Globalization has lead
to the concerning of the economy of all the nations and so key Indian company in the tyre
industry are pursuing global strategy to improve their competitiveness in
global markets. There section mostly undertakes an impression of the Indian tyre industry
through an overview of the Indian examination of its expansion trends with respect to
manufacture exports and acquisition of technical capability.

Market size
The market size for MRF (Madras Rubber Factory) tires can be analyzed in various ways.
MRF is a major player in the global tire industry and has a significant market presence in
various regions, including India, the Middle East, Africa, and other parts of the world.

To estimate the market size for MRF tires, one approach is to consider the company's
financial reports, industry data, and market research reports. These sources can provide
insights into the company's revenue from tire sales and its market share in different regions.
By analyzing these data, one can estimate the overall market size for MRF tires in specific
geographical areas.

Another approach to estimating the market size for MRF tires is to consider the total market
demand for tires in the regions where the company operates. This involves analyzing factors
such as vehicle sales, replacement tire demand, and overall economic conditions that
influence tire consumption. By understanding the broader tire market dynamics, one can
estimate the portion of the market that MRF serves and thereby assess its market size.

Additionally, it's essential to consider the specific product segments within MRF's tire
portfolio. MRF offers a wide range of tires for various vehicle types, including passenger
cars, commercial vehicles, two-wheelers, and specialty vehicles. By analyzing the demand
for these different tire segments, one can further refine the estimation of MRF's market size
within each category.

Moreover, examining industry trends and competitive landscape is crucial for estimating the
market size for MRF tires. This involves assessing factors such as technological
advancements, pricing strategies, distribution channels, and the activities of other major
players in the tire industry. Understanding these elements can provide valuable context for
evaluating MRF's market position and potential for growth.

In addition to the above approaches, conducting primary research and gathering insights from
industry experts, customers, and distributors can further enhance the understanding of the
market size for MRF tires. This qualitative data can offer perspectives on brand perception,
customer preferences, and the factors that influence tire purchasing decisions, all of which are
essential for comprehensive market sizing.

It's important to note that estimating the market size for MRF tires requires a
multidimensional approach that considers both quantitative and qualitative aspects of the tire
industry. By combining various data sources and methodologies, one can develop a
comprehensive assessment of the market size for MRF tires and gain valuable insights into
the company's position in the global tire market
 .
Key Trends

3 Trends In The Tyre Industry

Like any other industry, the increasing customer expectations, a strong wave of competitors
and the continuous emergence of new technology have led the tyre manufacturers to rethink
business models and assimilate new manufacturing methods. Some of the intriguing trends in
the tyre industry prove how tyre manufacturers are resorting to advanced technology and
digitalization to sell tyres and services that are tailored to the customers’ needs. The radical
transformation from a digital point of view is sure to be a game-changing aspect of how the
customers perceive tyres in the days to come.

Here are some of the interesting trends that will shape the future of the tyre industry.

Product-as-a-service

Tyre manufacturers are now selling kilometers and not tyres. Until now tyres were sold to the
customers and the customers became owners of those tyres. But that’s not the case with
product-as-a-service. Tyre manufacturers are now looking to offer tyres as a service. In this
model, the company remains the owner of the tyres and the customers pay as they use. This is
a beneficial solution for large fleet owners for two reasons, first reason, they only pay for the
use, e.g. Per kilometer or per month and second reason, the responsibility of maintenance of
the tyre mostly lies with the company. In this model extensive data regarding tyre usage,
maintenance etc. is needed to be between the vehicle owner and the manufacturer. This is
done through RFID. Tyres that are deployed to be used as service based on its usage have an
RFID chip to enable data-sharing. This model encourages customers looking for pocket-
friendly options, to select the tyre that will give them the best possible output, instead of just
focusing on purchasing low-cost tyres.

Radialisation

The revolutionary radial tyre patented and commercialized by Michelin in 1946, is one of the
key breakthroughs in automotive development The popularity of radial tyres began back in
the middle of the 20th century. The advantages of a radial tyre are noticeable; it does a better
job of gripping the road, lasts longer, uses less fuel and offers a smoother ride. The radial
technology has two-fold benefits; it helps preserve the natural resources and the ecosystem
and at the same it fulfills the needs of the modern vehicle owners. Today, they are not seen as
exotic versions of tyres but are considered a must-have in passenger cars. Almost 98%
passenger cars run on radial tyres and approximately 65% of commercial vehicles are radial.
Due to the long-lasting and fuel efficient nature of the radial tyres, the commercial vehicles
are also gradually moving towards radial construction.

Smart tyres

Tyres that can talk to you! Yes, the super-techy tyres are capable of communicating with the
driver. The rise of smart cars had led to the rise of smart tyres. For instance, the hazardous
effects of driving on an under-inflated tyre are known to all. Think of a tyre that can sense the
loss of air by itself and warn you about the air leakage before it gets serious. That’s a smart
tyre. The definition of a smart tyre varies for different tyre manufacturers. But typically,
smart tyres are special tyres that have in-built sensors which enable the tyre to measure
important parameters such as the tread depth, temperature, pressure etc. It might also collect
data about the tyre condition, road condition and alert the driver so they can react proactively
to mitigate the effects of hazards. Such IoT-enabled intelligent tyres take the drivers beyond
the physical use of the tyre to its careful management. This seamless connection of the
physical to the digital has a great impact not only on the performance, safety and durability
but also on the environment. The smart tyres will be an integral part of the autonomous
vehicle making the self-driving cars a reality in the near future.

Contribution to Economy

The tire industry makes a significant contribution to the economy and plays a vital role in the
automotive and transportation sectors. Tires are essential components of vehicles, and the
industry's production and sales have a substantial impact on the overall economy.

Employment: The tire industry creates numerous employment opportunities, directly and
indirectly. It involves manufacturing, distribution, sales, and maintenance of tires, which
requires a diverse workforce. From skilled labor in production facilities to sales and service
professionals in retail outlets, the industry provides jobs at various levels.

Technological Innovation: The tire industry is a hub for technological innovation.

Manufacturers invest in research and development to create tires that are more fuel-efficient,
durable, and environmentally friendly. This continuous innovation drives progress in material
science, engineering, and manufacturing processes, contributing to technological
advancement in the broader economy.

Supply Chain: The tire industry relies on a complex supply chain that involves raw materials,
manufacturing equipment, transportation, and distribution networks. This creates demand for
various goods and services, including rubber, chemicals, steel, machinery, logistics, and
more. As a result, the industry stimulates economic activity in multiple sectors through its
supply chain operations.

Revenue Generation: Tires are consumable products, and their sales generate substantial
revenue for manufacturers, retailers, and the government through taxes. This revenue
contributes to the overall economic growth and sustains the industry's operations and
expansion.

International Trade: The tire industry is a significant player in international trade. Many
countries produce and export tires, contributing to global economic interconnectedness.
International trade in tires stimulates economic activity, creates diplomatic ties, and fosters
international cooperation.

Transportation and Mobility: Tires are essential for the automotive industry, which is a
critical component of the broader transportation sector. Reliable and safe tires are crucial for
the efficient movement of people and goods, thereby supporting economic activities such as
commuting, logistics, and transportation of goods and services.

Environmental Impact: The tire industry's emphasis on sustainability and environmental

responsibility can contribute to the development and adoption of eco-friendly technologies
and practices. This, in turn, can have a positive impact on the environment and promote a
sustainable approach to economic development.

Overall, the tire industry's economic impact extends far beyond the production and sale of
tires. It influences employment, technology, trade, and sustainability, making it an essential
contributor to the economy at local, national, and global levels.

CHAPTER- 2
 Company Overview

About the Company (History or Background)

MRF was started by K. M. Mammen Mappillai as a toy balloon manufacturing unit in 1946 at
Tiruvottiyur, Madras (now Chennai). In 1952, the company ventured into the manufacture of
tread rubber.Madras Rubber Factory limited was incorporated as a private company in
November 1960 and ventured into manufacture of tyres in partnership with Mansfield Tire &
Rubber company based in Ohio, United States. The company went public on 1 April 1961
and an office was established in Beirut, Lebanon to develop the export market in 1964 and its
current logo of the muscleman was born. In 1967, it became the first Indian company to
export tyres to USA.

In 1973, MRF started manufacturing Nylon tyres for the first time. The company entered into
with a technical know-how collaboration with B. F. Goodrich in 1978. The Mansfield Tire &
Rubber Co sold out its share in 1979 and the name of the company was changed to MRF Ltd
in the year. The company finalised a technical collaboration agreement with Marangoni TRS
SPA, Italy for the manufacture of pre-cured tread rubber for retreading industry. MRF tyres
supplied tyres to Maruti 800, India's first modern small car.In 1989, the company
collaborated with Hasbro International, the world's largest toy maker and launched Funskool
India. Also, they entered into a pact with Vapocure of Australia to manufacture polyurethane
paint formulations and with Italian tyre manufacturer Pirelli for conveyor and elevator belt
manufacture.During the year 2004–05, the product range of the company expanded with Go-
kart & rally tyres and tyres for two/three wheelers.

Products

 Tyres manufactures various tyres for passenger cars, two–wheelers, trucks, buses,
tractors, light commercial vehicles, off–the–road tyres and aero plane tyres, MRF
ZVTS and MRF Wanderers for cars and SUVs, MRF Meteor all terrain tyres, MRF
Steel Muscle for trucks and buses.
 MRF ZLX is the latest one which is well known for its comfort in passenger segment
 Conveyor Belting – manufactures its in-house brand of Muscleflex conveyor belts.
 Pretreads – MRF has the most advanced pre-cured retreading system in India. MRF
forayed into retreading in 1970 and manufactures pretreads for tyres.
 Paints - manufactures polyurethane paint formulations and coats used in automotive,
decorative and industrial applications.also indigenous Air craft tyres like Su 30 MKI
fighter for Indian Air Force.

Manufacturing facilities in India

1. Kottayam Plant in Kerala

2. Puducherry Plant
3. Goa Plant
 4. Trichy Radial Plant in Perambalur District, Tamil Nadu
5. Trichy Bias Plant in Perambalur District, Tamil Nadu
6. Arakonam Plant in Tamil Nadu
7. Tiruvottiyur Plant in Chennai, Tamil Nadu
8. Medak Plant in Telangana
9. Ankenpally Plant in Telangana
10. Dahej Plant in Gujarat

The company also manufactures toys at its facility in Goa. The paints and coats are
manufactured at two facilities in Chennai, Tamil Nadu.

Funskool
Main article: Funskool

Funskool India was established in 1987 in collaboration with Hasbro toys, US. Funskool
manufactures and markets toys, board games among others. It has a manufacturing facility in
Goa, India. The company has manufacturing licenses for toys and games from Disney,
Warner Brothers, Rummikub, Dora and Funskool also has partnerships with renowned toy
brands Hasbro, Lego, Hornby, Ravensburger, Tomy Toys, LeapFrog, Siku, Jumbo, and New
Bright for manufacture and marketing in India

Motorsports

MRF Racing

MRF built its first Formula 3 car in 1997. MRF in collaboration with Maruti established the
Formula Maruti racing, a single-seater, open wheel class motorsport racing event for race
cars made in India. MRF Challenge is a Formula 2000 open-wheel motorsport formula based
series organised by Madras Motor Sports Club in association with MRF. The latest season
consisted of races organised at Madras Motor Racing Track, Chennai, Bahrain International
Circuit, Losail International Circuit, Doha and Buddh International Circuit, Noida. Freddie
Hunt, son of 1976 Formula One champion James Hunt and Mathias Lauda, son of 1975, 1977
and 1984 Formula One champion Niki Lauda both competed in the series.[12] MRF has
sponsored Indian racing drivers including Narain Karthikeyan, Karun Chandok, Ashwin
Sundar, N. Leelakrishnan and Raj Bharath.
MRF rally team

MRF have also been a long-running sponsor of an MRF rally team participating in the Asia-
Pacific Rally Championship and Indian National Rally Championship. Associating with
Czech car manufacturer Škoda, MRF Skoda is the three time reigning champion in the Asia-
Pacific Rally Championship with Chris Atkinson winning in 2012, Gaurav Gill in 2013, Jan
Kopecký in 2014, Pontus Tidemand in 2015 and Gaurav Gill again in 2016 and 2017. MRF
also participates in Raid De Himalaya, the world's highest rally.[14]

MRF entered the European Rally Championship in 2020, with WRC Hyundai driver Craig
Breen and Emil Lindholm driving for the team.

MRF remained in ERC for 2021 and also joined several other rally championships. Craig
Breen, along with Italian Simone Campedelli are set to participate in European Rally
Championship. Campedelli, along with eleven-time Italian rally champion Paolo Andreucci
and the 2017 ERC Ladies champion Tamara Molinaro will use the tyres while competing in
the Italy Gravel rally championship. Emil Lindholm left ERC and instead will focus entirely
on testing the tyres on the gravel roads of Finland. After the 2021 Rally di Roma Capitale,
Breen was replaced by other Hyundai drivers, Jari Huttunen and Dani Sordo, as well as Nil
Solans later on.

MRF entered Norbert Herczig, Simone Campedelli and the 2021 runner-up Efren Llarena for
the 2022 campaign, with Llarena taking his first win during 2022 Rallye Azores.

MRF Motocross

MRF promotes a national motocross championship, a form of all-terrain two wheeler racing
held on enclosed off-road circuits annually across several cities.

MRF Karting

MRF sponsors major karting championships in India. MRF is the first Indian tyre company to
develop FIA approved karting tyres.

Cricket
MRF Pace Foundation
Main article: MRF Pace Foundation

MRF Pace Foundation is a coaching clinic for training fast bowlers established by MRF with
the help of former Australian Pace spearhead Dennis Lillee in Chennai, India. Through this
program, young aspiring fast bowlers are trained in a special facility. Fast bowlers who
trained with foundation and went on to represent the Indian Cricket Team include Javagal
Srinath, Irfan Pathan, Munaf Patel, Venkatesh Prasad, R. P. Singh, Zaheer Khan and S
Sreesanth. Besides Indian players, foreign players like Chaminda Vaas, Henry Olonga, Heath
Streak and Australian fast bowlers Glenn McGrath, Mitchell Johnson and Brett Lee have also
trained at the foundation. Sachin Tendulkar in his early days trained in the MRF Pace
Foundation to become a fast bowler. Glenn McGrath was appointed director of the
Foundation on 2 September 2012, replacing Dennis Lillee, who has held the post since its
inception in 1987.

Endorsement

MRF has been the bat sponsor for many great cricketers of the game. Sachin Tendulkar,
Brian Lara and Steve Waugh. Currently MRF is endorsed by Jerome Chinia and Virat Kohli.
MRF has also sponsored Indian batsmen Rohit Sharma,Gautam Gambhir, Sanju Samson and
Shikhar Dhawan. and Mignon du Preez.

Previous endorsements

 Sachin Tendulkar – India. Conqueror, Genius, Wizard

 Virat Kohli – India. Conqueror, Genius.
 Brian Lara – West Indies. Wizard, Wizard 400 (named in honour of the 400 not out he
made against England at the Antigua Recreation Ground)
 Steve Waugh – Australia. Conqueror
 Gautam Gambhir – India. Genius
 Sanju Samson – India. Wizard
 Shikhar Dhawan – India. Genius
 Prithvi Shaw - India. Genius, Prodigy PS 100
 AB de Villiers - South Africa. Genius
Sponsorship

At IPL 2010, MRF sponsored moored balloons floating above the cricket grounds with a
high-definition camera recording live actions of the cricket match. MRF joined as a global
partner of International Cricket Council for 2015 Cricket World Cup. In 2017, MRF became
the sleeve sponsor for the Premier League clubs Newcastle United,[20] West Ham United F. C.
and official tyre partner for West Bromwich Albion.

Awards and recognition

MRF won the JD Power Award for the record 11th time in 2014. The company has won
several awards and accolades including the All India Rubber Industries Association's
(AIRIA) award for 'Highest Export Awards (Auto Tyre Sector)', 'Top Export Award' from
Chemicals & Allied Products Export Promotion Council (CAPEXIL) for 2009–10. In 2014,
MRF was ranked 48th among India's most trusted brands according to the Brand Trust
Report, a study conducted by Trust Research Advisory.

Anti competition practices

In April 2022, the Competition Commission of India raided the headquarters of MRF along
with other tyre companies like Apollo Tyres, CEAT and Continental Tyre at multiple
locations. Earlier in February the anti trust watch dog had released a statement about fining
these tyre companies a total of Rs 1788 crores (of which MRF fined Rs 622.09 cr.) for
sharing price sensitive information among themselves to manage their cartelization of tyre
prices for supplies to the public transport corporation of Haryana state. Earlier the All India
Tyre Dealers Federation had complained to the Ministry of corporate affairs about this
cartelization of these companies to increase the tyre prices. The ministry had then referred the
case to the CC

Products Offered

 Tyres manufactures various tyres for passenger cars, two–wheelers, trucks, buses,
tractors, light commercial vehicles, off–the–road tyres and aero plane tyres, MRF
ZVTS and MRF Wanderers for cars and SUVs, MRF Meteor all terrain tyres, MRF
Steel Muscle for trucks and buses.
 MRF ZLX is the latest one which is well known for its comfort in passenger segment
 Conveyor Belting – manufactures its in-house brand of Muscleflex conveyor belts.
 Pretreads – MRF has the most advanced pre-cured retreading system in India. MRF
forayed into retreading in 1970 and manufactures pretreads for tyres.
 Paints - manufactures polyurethane paint formulations and coats used in automotive,
decorative and industrial applications.also indigenous Air craft tyres like Su 30 MKI
fighter for Indian Air Force.

Existing Competitors

the Competition Commission of India raided the headquarters of MRF along with other
tyre companies like Apollo Tyres, CEAT and Continental Tyre at multiple locations.
Earlier in February the anti trust watch dog had released a statement about fining these
tyre companies a total of Rs 1788 crores (of which MRF fined Rs 622.09 cr.) for sharing
price sensitive information among themselves to manage their cartelization of tyre prices
for supplies to the public transport corporation of Haryana state. Earlier the All India Tyre
Dealers Federation had complained to the Ministry of corporate affairs about this
cartelization of these companies to increase the tyre prices. The ministry had then referred
the case to the CCI
 CHAPTER 3

Business Policy of Selected Company (R&D/CSR/HR/Marketing/Financial

Policies (Key Points)

Research & Design

DESIGNED FOR THE CUSTOMER, BY THE CUSTOMER.

The Design process at MRF starts from the customer - inputs from individual customers are
compiled by marketing and given to Corporate Technical MRF's R&D and Product
Development Division or vehicle specific requirements are received from the OE customer.

MRF's team of 300 engineers and scientists gives MRF its enormous strength in product
design. Requirements received, a team now works on converting the customer input into a
Design Concept.

TECHNOLOGY GIVES US THE EDGE

MRF uses cutting - edge technologies in predictive testing and design validation before it
leaves the drawing board. These advances have significantly brought down the time to market
for new designs.Advanced raw materials are tested and approved in our NABL accredited
laboratories. MRF works closely with global suppliers in using the latest developments in
materials across the globe. Our laboratories which have the very latest in testing equipment
closely monitor the quality of the material going into our tyres at the time of approval and
regularly after that.

TESTED TO THE VERY LIMIT

The protoypes for verification and validation testing are manufactured in one of MRF's ten
factories and all are IATF 16949/ISO 9001 certified. Two of these factories are additionally
certified for Aerospace standard AS9100. The tyres then go through testing for confirming
the architecture and a series of indoor testing to ensure that they meet MRF's stringent quality
standards and also those required by the OEM or by any of the national standards like
BIS/JIS/ETRTO/T&RA.

Tyres are now handed over to the Vehicle Dynamics Group, who now validates the design on
the vehicle. These tests are done at the test track in a series of manoeuvres at various speeds,
pushing the tyres to the limits of its capabilities.
READY FOR THE ROAD

MRF also tests tyres on fleets across the country to ensure that the tyres have endured
successfully all the types of roads on which our customers travel daily. Race Tracks and
Indian Roads are our laboratories.

Only after this do we give any tyres to the customer - all global players manufacturing a
global class of vehicles. MRF has been designing tyres this class of vehicles for more than a
decade now. MRF tyres have met the demanding requirements of these vehicles, backed by
an R&D team which is completely in-house and self reliant.

Business Policy of Selected Company CSR

(1) Administrative overheads” means the expenses incurred by the company for„general
management and administration‟ of Corporate Social Responsibilityfunctions in the company
but shall not include the expenses directly incurredfor the designing, implementation,
monitoring, and evaluation of a particularCorporate Social Responsibility project or
programme;
(2) Net profit means the net profit of a company as per its financial statementprepared in
accordance with the applicable provisions of the Act, but shallnot include the following,
namely: -
(i) any profit arising from any overseas branch or branches of the company,whether operated
as a separate company or otherwise; and
(ii) any dividend received from other companies in India, which are covered
under and complying with the provisions of section 135 of the Act:Provided that in case of a
foreign company covered under these rules, net profitmeans the net profit of such company as
per profit and loss account prepared interms of clause (a) of sub-section (1) of section 381,
read with section.
(3) On Going Projects for the purpose of Section 135 of the Companies Act,2013 means a
multi-year project undertaken by a Company in fulfillment ofits CSR obligation having
timelines not exceeding three years excluding thefinancial year in which it was commenced,
and shall include such projectthat was initially not approved as a multi-year project but whose
duration hasbeen extended beyond one year by the board based on reasonablejustification.

Business Policy of Selected Company HR

As an AI language model, I don't have access to specific company policies. However, I can
provide you with some general information about business policies that might be relevant to
the MRF tyre company's HR policies.

When it comes to Human Resources policies in the context of a tyre manufacturing company
like MRF, there are several key areas that are typically covered in the HR policy:

1. Recruitment and Selection: This includes guidelines on hiring procedures, job descriptions,
application and selection process, and equal employment opportunity policies.

2. Compensation and Benefits: This covers policies related to salaries, incentives, bonuses,
employee benefits, and compensation structures.

3. Performance Management: This involves guidelines on setting performance standards,

employee evaluations, performance appraisals, and development plans.

4. Training and Development: This includes policies related to employee training, skill
development, learning programs, and career advancement opportunities.

5. Employee Relations: This covers guidelines on employee conduct, disciplinary procedures,

grievances, and conflict resolution.
6. Workplace Health and Safety: This includes policies related to ensuring a safe and healthy
work environment, compliance with safety regulations, and emergency procedures.

7. Diversity and Inclusion: This involves policies related to promoting diversity, preventing
discrimination, and fostering an inclusive workplace culture.

8. Legal and Compliance: This includes guidelines on compliance with labor laws,
regulations, and company policies.

9. Code of Conduct: This covers policies related to ethical behavior, professional conduct, and
company values.

These are just some examples of the key areas that might be covered in the HR policy of a
company like MRF. Specific policies and procedures would be detailed in the company's
official HR policy document, which employees should have access to. If you are looking for
specific details about MRF's HR policies, I recommend reaching out to the company's HR
department or referring to the official company documentation.

Business Policy of Selected Company Marketing

Marketing involves ensuring that customers are aware of a company’s products or services
and also making them to gain inters in their quality and effectiveness while also creating a
strong relationship with them. It is a major component of a business because it enables
creation of new markets, and it involves communication sales and development of an
enterprise. Activities involved in marketing include product pricing branding promotion,
distribution, market research, market dominance, management and strategy. MRF (Madras
rubber factory) is a company that specializes in manufacturing tryes and it is located in India.
It is a very large and major company in the tyre industry and exports its products to more than
75 countries in the world.

It has six manufacturing units in India and has the largest variety of tyres to include trucks
and bus tyres, light tyres for passenger and personal cars, tyres, farm, industrial and sports
activities. The company is also involved in various sport activities such as bat and cricket
which is a major marketing strategy for the company. MRF also has branded its products
boosting over 10 different brands.

A brand is the identity of a product, service or a company; it could be a color, sign, a symbol
a name among others, it is also a trademark.

It enables relating the product to the customer’s, staff, and other stake holder’s of the
company. The brand is used to communicate the uniqueness of the product service or
company and hence it is an essential part of advertising. In order to achieve successful
marketing through branding one has to make sure that the brand is recognized by customers
even in absence of the parent company name.

One also has to understand the needs of the clients so as to satisfy them, and maintain them.
Companies should also be informed that branding is not about competition with other
companies in the industries but is meant to inform the customer who is offering what. A good
brand communicates this, test credibility of the product, creates a relation with the customers,
motivates them and wins their loyalty and trust.

MRF company slogan is ‘’tires with muscles’’ ‘, and some of the product brands are; Lug 50-
FS, MRF Nylogrip Zappea, a high performance tyre for new generation bikes, MRF Racing,
MRF ZVTS, a steel-belted premium radial, MRF Super’ and ,MRF Events. The company
also has brand ambassadors who are mainly involved in sports such as; Sachin Tendulkar and
Steve Waugh who are experienced batsmen, their bats have been branded MRF for the many
years that they have been in the sports. The company has a program to improve cricket
known as the MRF pace foundation that trains young people

Another marketing strategy is promotion; it involves persuasion and informing a buyer so as

to influence their decision to buy. Promotion can be done through the media this are; news
papers, TV, radio, mobile phones the internet or advertising agencies. Other forms of
advertisements are; product placement, merchandising, shows, sponsorships or public
relations.

MRF has not been involved in promotional activities in large scale may be because they have
a large and stable customer base hence the huge sales
Business Policy of Selected Company Financial Policies
It seems like you're asking about the financial policies of a company in the MRF tyre business.
Financial policies vary from company to company, but they generally cover areas such as capital
structure, dividend policy, investment policy, and risk management.

In the context of the MRF tyre business, I can provide some general insights into the financial
policies that are commonly observed in companies operating in this sector. However, please note
that the specific financial policies of a company would depend on its individual circumstances
and strategic priorities.

Capital Structure: The capital structure of a company in the MRF tyre business refers to the way
it finances its operations through a mix of equity, debt, and retained earnings. A typical financial
policy in this area would involve setting target debt-to-equity ratios, determining the optimal
capital mix to minimize the cost of capital, and balancing the benefits of debt (tax shield) with
the costs (financial distress risk).

Dividend Policy: The dividend policy of a company in the MRF tyre business relates to how it
distributes profits to its shareholders. This policy involves decisions about the frequency and
magnitude of dividend payments, as well as whether surplus cash should be retained for
reinvestment in the business or distributed to shareholders. The company's dividend policy is
influenced by its growth prospects, cash flow requirements, and the preferences of its
shareholders.

Investment Policy: The investment policy of a company in the MRF tyre business guides
decisions about capital budgeting and long-term investment projects. This could include criteria
for evaluating and prioritizing investment opportunities, such as new manufacturing facilities,
research and development projects, or acquisitions. The policy may also include guidelines for
managing working capital and short-term investments.

Risk Management: Given the nature of the MRF tyre business, companies in this sector are
exposed to various risks, including raw material price fluctuations, currency risk, and market
competition. A financial policy related to risk management would involve strategies for
identifying, assessing, and mitigating these risks. This could include the use of derivatives for
hedging, diversification strategies, and maintaining adequate insurance coverage.

Beyond these specific financial policies, companies in the MRF tyre business also need to
consider broader financial and strategic issues such as liquidity management, cost of capital
optimization, and compliance with financial regulations and reporting standards.

It's important to recognize that these policies are interconnected and should be aligned with the
overall business strategy and objectives of the company. For example, a company with
aggressive growth plans may have a different approach to capital structure and dividend policy
compared to a more mature, stable firm.

In practice, financial policies are developed and implemented by the company's management and
board of directors, often with the input of financial advisors, to ensure that they support the
company's long-term financial health and sustainability.

If you have a specific company in mind or more detailed questions about financial policies in the
MRF tyre business, feel free to provide additional context and I can provide more tailored
insights.

Business Policy of Selected Company key points

As an AI, I don't have access to specific companies' proprietary business policies. However, I
can provide a general overview of what key points may be included in a business policy for a
company in the tire manufacturing industry, such as MRF Tyres. Some key points may include:

1. Quality Assurance: Ensuring adherence to high-quality standards in the manufacturing

processes and the final products, including specifications for raw materials, production
processes, and finished products.

2. Environmental Sustainability: Commitment to sustainable and environmentally friendly

manufacturing practices, waste management, and reducing the environmental impact of
operations.
3. Health and Safety: Policies and procedures for maintaining a safe and healthy work
environment for employees, as well as ensuring product safety for end users.

4. Compliance and Regulations: Guidelines for ensuring compliance with industry-specific

regulations and standards, as well as broader legal and regulatory requirements in different
markets where the company operates.

5. Research and Development: Strategies for innovation, product development, and technology
adoption to stay ahead in the competitive tire industry, as well as investment in R&D for future
growth.

6. Supply Chain Management: Policies related to sourcing raw materials, managing suppliers,
and maintaining an efficient and reliable supply chain to support manufacturing operations.

7. Customer Service and Satisfaction: Commitment to meeting customer needs, handling product
warranties, and providing excellent after-sales service to maintain high levels of customer
satisfaction.

8. Employee Relations and Talent Management: Policies related to human resources, including
recruitment, training, diversity and inclusion, performance evaluation, and employee well-being.

9. Risk Management: Strategies for identifying, assessing, and mitigating operational, financial,
and market-related risks that could impact the company's performance and reputation.

10. Corporate Governance and Ethics: Guidelines for maintaining transparent and ethical
business practices, including anti-corruption measures, conflict of interest policies, and
adherence to corporate governance principles.

11. Community Engagement and Corporate Social Responsibility: Commitment to giving back
to the community, supporting local initiatives, and engaging in socially responsible activities that
align with the company's values.
12. Information Security and Data Privacy: Policies for safeguarding sensitive business
information, intellectual property, and customer data, including measures to address
cybersecurity threats and privacy regulations.

These are general categories of key points that may be included in a business policy for a tire
manufacturing company like MRF Tyres. The specific details and emphasis will depend on the
company's strategic priorities, industry regulations, and societal expectations. For the most
accurate and up-to-date information on MRF Tyres' business policy, it would be best to refer to
the company's official documents or reach out to their corporate communications department.
 CHAPTER- 3

Analysis of Business Strategy

Marketing-Mix 4P’S

Marketing Strategy of MRF analyzes the brand with the marketing mix framework which
covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on MRF
marketing mix, help the brand succeed in the market. Let us start the MRF Marketing
Strategy & Mix to understand its product, pricing, advertising & distribution strategies:

Quick Glance:

 Product Strategy
 Pricing Strategy
 Place and Distribution Strategy
 Promotional and Advertising Strategy

MRF Product Strategy:

The product strategy and mix in MRF marketing strategy can be explained as follows:

MRF is one of the leading tyre manufacturers in India. Following is the product strategy in
the marketing mix offered by MRF:

• MRF Tyres – for two wheelers, 3 wheelers, four wheelers (passenger vehicles and transport
as well)

• Sports equipment – MRF produces cricket bats, pads, gloves, etc. MRF also has racing
sports gear

• Conveyer belt – the conveyer belt it produced itself called Muscleflex

• Paints and coats – MRF produces industrial, automotive and decorative paints as well

MRF was the first company to ever export tyres to USA.

It also made the tyres for Maruti 800 the iconic family car in India. MRF also ventured into
three wheeler tyres and Go-kart and rally tyres in the year 2004
Image: company website

MRF Price/Pricing Strategy:

Below is the pricing strategy in MRF marketing strategy:

Published in Products category by MBA Skool Team

Marketing Strategy of MRF analyzes the brand with the marketing mix framework which
covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on MRF
marketing mix, help the brand succeed in the market. Let us start the MRF Marketing
Strategy & Mix to understand its product, pricing, advertising & distribution strategies:

Quick Glance:

 Product Strategy
 Pricing Strategy
 Place and Distribution Strategy
 Promotional and Advertising Strategy

MRF Product Strategy:

The product strategy and mix in MRF marketing strategy can be explained as follows:

MRF is one of the leading tyre manufacturers in India. Following is the product strategy in
the marketing mix offered by MRF:

• MRF Tyres – for two wheelers, 3 wheelers, four wheelers (passenger vehicles and transport
as well)
• Sports equipment – MRF produces cricket bats, pads, gloves, etc. MRF also has racing
sports gear

• Conveyer belt – the conveyer belt it produced itself called Muscleflex

• Paints and coats – MRF produces industrial, automotive and decorative paints as well

MRF was the first company to ever export tyres to USA.

It also made the tyres for Maruti 800 the iconic family car in India. MRF also ventured into
three wheeler tyres and Go-kart and rally tyres in the year 2004.

Image: company website

MRF Price/Pricing Strategy:

Below is the pricing strategy in MRF marketing strategy:

MRF faces heavy competition in the tyres segment from Bridgestone, JK Tyres, Apollo
Tyres, CEAT, etc. MRF therefore follows a competitive pricing strategy in its marketing mix.

It sells on the promise of quality and its expertise in the field of tyres. Still the margins are
high as the entire industry follows mark-up pricing. Funskool toys are also middle range
priced. MRF sports gear has a premium appeal and thus has higher prices to its sports gear as
the sportsmen endorsing it are top notch.

MRF Place & Distribution Strategy:

Following is the distribution strategy in the MRF marketing mix:

MRF has seven plants located in mostly south India. Around 2500 stores and exports to sixty-
five countries. MRF distributes to factories, agents, regional centres, dealers, etc. Tyres are
mostly sold to dealers and agents. Direct sales to customers is less relevant as tyres are a part
of an automobile so mostly the automobile company/ store/ service centre deals in procuring
these tyres. MRF sports gear is available in many sports store. MRF does not have any MRF
specific stores, given the brand equity and heavy advertisements it is easy to sell through
dealership.

MRF Promotion & Advertising Strategy:

The promotional and advertising strategy in the MRF marketing strategy is as follows:

MRF has always focused on an aggressive promotional strategy in its marketing mix. MRF
tyres has sponsored cricket bats for many legendary players like Sachin Tendulkar, Steve
Waugh and Brian Lara. MRF is endorsed by more leading cricketers like Virat Kohli, AB de
Villers and Shikar Dhawan. Other than celebrity endorsements, MRF also sponsored the
anchored balloons in IPL 2010 and also in World Cup. MRF has a Pace Foundation which a
training centre for pacers. Many bowlers that were trained in MRF Pace Foundation went on
to reprent the country in the national team, some of them are Irfan Pathan, Zaheer Khan,
Munaf Patel, etc. MRF Motor Challenge is a racing competition. MRF uses media like TV,
print, online, billboards etc for its advertising and marketing. Hence, this completes the MRF
marketing mix.

PESTLE Analysis

MRF PESTLE (or PESTEL) Analysis assesses the brand on its business tactics across various
parameters. PESTLE Analysis of MRF examines the various external factors like political,
economic, social, technological (PEST) which impacts its business along with legal &
environmental factors. Let us start the MRF PESTLE Analysis:
Quick Glance:

 Political Factors
 Economic Factors
 Social Factors
 Technological Factors
 Legal Factors
 Environmental Factors

Political Factors:

The political factors in the MRF PESTLE Analysis can be explained as follows:

MRF is multinational tyre manufacture company. It mainly exports the tyres globally. It has
to maintain stable connections with the host country to do business. It also has its
manufacturing plants across the India. To establish the plant and maintain the plant needs lot
of political support.

The company should maintain cordial relationships with both national and state political
parties. The government will change frequently and the industrial policies changes according
to the wishes of the political parties. The company should also observe keenly on the trade
policies of the India with the nations where the company operates. It also should observe the
industrial policies, trade policies of the host country.

Image: Wikimedia
Economic Factors:

Below are the economic factors in the PESTLE Analysis of MRF:

Many financial factors impact the tyre industry. Due to pandemic, there is impact on the
exports of the products between the countries.

It also impacts on the cashflows of the company. The income of the people also decreased
and the family expenditure on the automobiles has decreased which impacts on the tyre
industry. But the later half has seen a increase in economy. The people started to improve
their economy and spend the disposable income to buy automobiles. The foreign exchange
returns also impact on the profits of the company. Due to pandemic, the fixed costs also
increased. Now the company has to implement the policies to reduce costs and boost the
production also.

Social Factors:

Following are the social factors impacting MRF PESTLE Analysis:

From the past few years, the percentage of vehicles on the roads has been increased
rigorously. The change in demographics and increase in disposable incomes are the reason
for the increase in the purchase of the automobiles which indeed increase the purchase of
tyres. The millennials and baby boomers are interested to buy sports vehicles. MRF should
manufacture according to the needs of the consumers. The consumers also very keen on the
safety factor, the tyres also play a key role in avoiding accidents. The company should more
concern on the research and development which improves the efficiency of the tyres and
reduces the accidents and improve the automobile speed. The company also focus on the
trends of the consumers towards the speed.

Technology Factors:

The technological factors in the PESTLE Analysis of MRF are mentioned below:

MRF is the largest manufacturer in the tyre industry of the India. To maintain this, it adopts
various new technologies to reduce cost and to improve the process. It also should keenly
observe on the new end technologies like robotics, IOT, ML to produce tyres with efficiently
and effectively. The company should also focus on the research and development to design
next gen tyres which improves the efficiency and also safe to avoid accidents occurring with
poor friction. The company also focusses on the tyre designing process and imply new
industrial revolution methods.The company should also adopt the flexible technologies in the
global supply chains and improve its logistics.

Legal Factors:

Following are the legal factors in the MRF PESTLE Analysis:

MRF has its manufacture plants in many states. The laws to establish a plant is different from
one state to another state. The company should also ensure to follow the rules and regulations
to manufacture the products. The company should follow all the safe measures for the safety
of the employees. The company should also follow the environmental laws in using the
rubber. The company should also ensure it follow the all the requires laws in trade with other
countries. It also should ensure to protect its design process and shouldn’t include in any
patent issues with other manufacturers.

Environmental Factors:

In the MRF PESTLE Analysis, the environmental elements affecting its business are as
below: MRF is a manufacturer company which use most of the non-renewable sources. It
increases the carbon foot print which impacts on the climate change. The company also have
taken some key steps to reduce the carbon foot print The company also ensure to the global
diversity where it get rubber resources from the plantations. It has to take many permissions
and should ensure not to cut the plantations and also should aid for environmental protection.
The company should also take risk management steps for the smooth operations and supply
chain of the resources. To conclude, the above MRF PESTLE Analysis highlights the various
elements which impact its business performance. This understanding helps to evaluate the
criticality of external business factors for any brand. This article has been researched &
authored by the Content & Research Team. It has been reviewed & published by the MBA
Skool Team. The content on MBA skool has been created for educational & academic
purpose only .Browse analysis of more brands and companies similar to MRF PESTLE
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