PROJECT REPORT

ON
“PERCEPTION OF E-COMMERCE
WEBSITE IN INDIA”

Submitted in partial fulfillment of the requirements for the three years

BACHELOR OF BUSINESS
ADMINISTRATION
(Affiliated to Mahatma Gandhi Kashi Vidyapith Varanasi, Uttar Pradesh)

SESSION-2023-24
Under Supervision of: Submitted By:

Mr. Gaurav Kumar Bisen Shreya Gupta

Assistant Professor BBA, VIth Semester
SMS Varanasi Roll No BBA2125184
 CERTIFICATE
Certified that this Survey Project Report entitled
“.................................................................................................
………………………………...............................................................”

has been prepared by Mr./Ms. ..................................................

of BBA Semester - VI during the Session 2023-2024 under my
supervision.

The Survey Project Report is upto the standard and I forward

it to the Director, S.M.S. for getting it evaluated as per the
Ordinances governing the BBA Course.

..............................................
(Signature of the Supervisor)

............................................
(Name of the Supervisor)

Date : ............................. ............................................

(Designation)
 ACKNOWLEDGEMENT
First I would like to thank almighty for keeping me healthy and active because of which I was

able to complete my project successfully.

I express my greatest gratitude to our Prof. P.N. JHA (Director) of SMS, Varanasi who

gave me such a great opportunity to work on a project where I can show my creativity, my

mentor Mr. Gaurav Kumar Bisen, Assistant Professor, SMS Varanasi for providing me

knowledge, guidance, and full cooperation extended during the perusal of my project.

And at the last but not the least I would like to thank Mr. Atish Khadse (Associate

Professor) Coordinator of BBA, SMS VARANASI who helped me and enlighten my path.

This report is the outcome of the support which I have received from people directly or indirectly.

Finally, I would like to show my gratitude to all my family members, friends, faculty

members of SMS, Varanasi whose guidance have helped to complete this report.

Thanks!

2
 DECLARATION

I, Shreya Gupta , student of School of Management Sciences Varanasi. Hereby declare that I have

completed the project business model under the guidance and support of Mr. Gaurav

Kumar Bisen

The information that I have written in this project is original to the best of my knowledge. The content

that I am sharing is not copied and is written by myself.

Shreya Gupta
BBA, VIth Semester
Roll No BBA2125184

3
 TABLE OF CONTENT

SR. NO CONTENTS PAGE NO.

1. PREFACE 2

2. ACKNOWLEDGEMENT 3

3. DECLARATION 4

4. INTRODUCTION TO TOPIC 6

5. LETERATURE REVIEW 18

6. OBJECTIVE OF THE STUDY 22

7. RESEARCH METHODOLOGY 26

7. DATA ANALYSIS AND INTERPRETATION 34

8. FINDINGS 51

8. LIMITATION 58

10. CONCLUSION 59

11 BIBLIOGRAPHY 65

4
INTRODUCTION

5
INTRODUCTION

“All modern societies are characterized by a shortage of time: the more modern a society is, the less time
it has. It is not the oil that we will miss one day, but rather the time” says the German sociologist and
philosopher Hartmut Rosa. The more we innovate to do the things quicker (the more we save time), the
less we have time per task (so the less we enjoy life, so the less we live). According to Harmut ROSA,
“acceleration is not the fault of the technique. One can imagine a world where, thanks to technical progress,
it would be possible to release a surplus of time if the rate of growth were not so strong. Technical progress
broadens our horizon and our possibilities. It changes the perception of opportunities and obstacles and
also changes social expectations, both what we expect from others than what they expect from us.
Technology allows the acceleration of the life beat, but does not impose it. It gives us the means to dispose
of it freely”. But it has yet to be implemented. Hundreds of innovations grew in the recent decades and
even more will in the upcoming years. Innovations fuel innovation and today the devices to browse the
Internet are diverse: computers, tablets, hybrid computers, mobile phones, watches, etc. Channels are also
more plentiful: ADSL, CPL, optical fiber, 3G, 4G, etc. Overall, all these tools are more efficient and more
effective. As a result, more data can be processed and potentially more users can be attracted. In addition,
artificial intelligence (e.g., Alexa) and “AWS machine learning services” (making predictions more
reliable) make it easier and more commonplace to buy.

“The dream of modernity is that technology allows us to acquire temporal wealth. The idea behind it is
that technical acceleration allows us to do more things per unit of time” wrote Hartmut Rosa. Around 1900,
an average house had 400 different objects. Today, it has about 10,000. This quantitative increase leads to
have less time to take care of each object. We go faster with our computers, but we spend less time on it
because we go from a mean to another all the time (due to the diversity of solutions): computers, tablets,
connected watches, connected home, etc. Transportation is the same: switching from the “2CV” to the
“DS7” allowed us to double our speed. But at the same time, we quadrupled distances when it comes to
work, leisure and getting objects always further from home. This technological springboard has still bright
years in front of him because multiple leaps are already announced (cf. https://buzzly.fr) as for example.
E-commerce has brought about remarkable developmental changes in the general buying and selling

6
process globally by providing a lift to the traditional business transaction processes. Today, individuals,
private and public owned

establishments can run their business transactions through the internet without physical involvements.
Prices of business goods and services can now be placed on the web sites with clear photos and
descriptions, which enable buyers to make selections and purchase as well through the internet
transactions. Hence, e-commerce makes business transactions easier and cheaper irrespective of the
distance between seller and buyer compared to the physical process. Advances in information and
communication technologies and the emergence of the internet have revolutionized business activities
enabling new ways of conducting business referred to as electronic commerce [2; 3]. Electronic commerce
(e-commerce) describes the process of buying, selling, transferring, or exchanging products, services,
and/or information through computer networks, principally the Internet [3]. Electronic commerce can also
be defined as ―the sharing of business information, maintaining of business relationships, and conducting
of business transactions by means of telecommunications networks‖ [2]. The Increase mobility and
changing online shopping practices, advert and other business transactions are creating shifts in the role e-
Commerce plays in overall retail operations. A subset of e-business is e-commerce, which describes the
buying and selling of products, services, and information or making transactions via computer networks,
including the Internet.

Electronic commerce activities include the inter- organizational processes of market-based sell-buy
relationships and collaboration (known as business-to- business, or B2B, commerce) and consumer-
oriented activities (business-to-consumer, i.e., B2C, and consumer- to-consumer, or C2C), as well as the
intra-organizational processes that support them [2]. Electronic commerce as a way of doing business has
significant advantages; organizations are embracing e-commerce as a means of expanding markets,
improving customer service, reducing costs, and enhancing productivity [4]. Efficiencies are experienced
in marketing and advertising; ecommerce makes disintermediation possible, eliminating the middleman
[3]. Other efficiencies include reduced inventory and round the clock access at no additional cost.
Ecommerce enables higher customization [5] allowing organizations to improve customer service. A vital
benefit of ecommerce is access to global markets which enables businesses to expand their reach. The
Internet allows for unconstrained awareness, visibility and opportunity for an organization to promote its
products and services
7
AMAZON

Amazon is the largest internet based company in the united states. Amazon.com started as an
online bookstore, but soon diversified, selling dvds, vhss, cds, video and
mp3downloads/streaming, software, video games, electronics, apparel, furniture, food, toys, and
jewellery. The company also produces consumer electronics notably, kindle, fire tablets, fire tv
and phone and is a major provider of cloud computing services.

Amazon has separate retail websites for united states, united kingdom & ireland, france, canada,
germany, the netherlands, italy, spain, australia, brazil, japan, china, India and mexico, with sites
for sri lanka and south east asian countries coming soon. Amazon also offers international shipping
to certain other countries for some of its products. In the year 2011, it had professed an intention
to launch its websites in poland, and sweden. In early june 2013, Amazon.com had launched their
Amazon India marketplace without any marketing campaigns. In july, 2013, Amazon had
announced to invest $2 billion (rs 12,000 crores) in India to expand business, after its largest Indian
rival Flipkart too had announced to invest$1 billion.

EXCLUSIVE PRODUCTS

The Amazon kindle is a series of e-readers designed and marketed by Amazon.com. Amazon
kindle devices enable users to browse, buy, download and read e-books, newspapers, magazines
and other digital media via wireless networking to the kindle store. The hardware platform,
developed by Amazon subsidiary lab126, began as a single device and now comprises a range of
devices, including e-readers with e ink electronic paper displays, and android-based tablets with
color lcd screens. All kindle devices integrate with the kindle store to acquire content and as of
february 2016, the store has over 4.3 million e-books available in the us. The oneplus one launched
as an Amazon exclusive in India last year, but now the device is available for purchase on rival e-
commerce store Flipkart. Moto g (gen 4) and moto g plus (gen 4) will be available
 ACHIEVEMENTS IN E- COMMERCE

On the mobile app side, Amazon had the fastest growing app download rate in 2015. In october

8
alone, downloads increased 200 per cent. Amazon web traffic was the highest in october as per
comscore data, at 30 million visitors. Amazon active customers have gone up 230 per cent year on
year. The awards were conferred at etailing India's flagship conference and exhibition 2014, an
event that brought together major stakeholders in the retail and e-commerce business in the
country. The "path-breaking debut of the year" award went to Amazon.in.

 FAILURE

Amazon starts using India post and screws up its delivery system in India. At the time when the
competition among online shopping portals in India is at its highest level possible and each player
is pooling in millions from funding’s and trying to beat each other with never-before discounts and
amazing services, Amazon has taken the worst step ever possible. Amazon India has chosen India
post as its primary delivery partner and all “Amazon fulfilled” orders are now being shipped
through India post. Anyone who lives in India or has some experience with the postal system in
India needs no introduction about India post.

 ACHIEVEMENTS IN E- COMMERCE

It’s no secret that e-commerce giant Amazon has been betting on India as one of its next big
markets outside the u.s. The company is not only investing capital in the region, but also acquiring
startups to help expand its presence in the country. On tuesday, Amazon announced it had acquired
Indian payments company emvantage payments pvt. Ltd. Amazon did not disclose the acquisition
amount. Similar to stripe or paypal, emvantage allows online merchants to accept credit and debit
cards. The company also allowed merchants to set up their own branded pre-paid debit cards and
mobile payments. In order to differentiate itself, company acquired many it & e- commerce start-
ups like pets.com, audible.com, junglee.com, imbd.com, zappos.com, woot etc.

9
 E-COMMERCE IN INDIA

India had an internet user base of about 354 million as of june 2015 and is expected to cross 500
million in 2016. Despite being the second-largest userbase in world, only behind china (650
million, 48% of population), the penetration of e-commerce is low compared to markets like the
united states (266 million, 84%), or France (54 m, 81%), but is growing at an unprecedented rate,
adding around 6 million new entrants every month. The industry consensus is that growth is at an
inflection point. In India, cash on delivery is the most preferred payment method, accumulating
75% of the e-retail activities. Demand for international consumer products (including long-tail
items) is growing much faster than in-country supply from authorized distributors and e-
commerce offerings. Largest e-commerce companies in India are Flipkart, Snapdeal,
Amazon India, paytm.

Market size

India's e-commerce market was worth about $3.9 billion in 2009, it went up to $12.6 billion in
2013. In 2013, the e-retail segment was worth us$2.3 billion. About 70% of India’s e-commerce
market is travel related. According to google India, there were 35 million online shoppers in India
in 2014 q1 and is expected to cross 100 million mark by end of year 2016. Cagr vis-à-vis a global
growth rate of 8–10%. Electronics and apparel are the biggest categories in terms of sales. By
2020, India is expected to generate $100 billion online retail revenue out of which $35 billion will
be through fashion e-commerce. Online apparel sales are set to grow four times in coming years.

Amazon is the world's largest online retailer and a prominent cloud service provider.
10
Originally started as an online bookselling company, Amazon has morphed into an internet-based business
enterprise that is largely focused on providing e-commerce, cloud computing, digital streaming and
artificial intelligence (AI) services.

Following an Amazon-to-buyer sales approach, the company offers a monumental product range and
inventory, enabling consumers to buy just about anything, including clothing, beauty supplies, gourmet
food, jewelry, books, movies, electronics, pet supplies, furniture, toys, garden supplies and household
goods.

Headquartered in Seattle, Amazon has individual websites, software development centers, customer
service centers, data centers and fulfillment centers around the world.

History and timeline of Amazon

Amazon has come a long way since it was founded by Jeff Bezos in his garage in Bellevue, Wash., on July
5, 1994.

The following is a brief history and timeline of events that have evolved Amazon from its humble
beginnings to a multinational business empire.

The 1990s

Amazon officially opened for business as an online bookseller on July 16, 1995. Originally, Bezos had
incorporated the company as Cadabra but later changed the name to Amazon. Bezos is said to have
browsed a dictionary for a word beginning with A for the value of alphabetic placement. He selected the
name Amazon because it was exotic and different and as a reference to his plan for the company's size to
reflect that of the Amazon River, one of the largest rivers in the world. Since its inception, the company's
motto has always been "get big fast."

The 2000s

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In 2005, Amazon Prime This membership-based service for Amazon customers offers free two-day
shipping within the contiguous U.S., as well as streaming, shopping and reading benefits. According to
Amazon's website, current Amazon Prime membership rates are $14.99 a month or $139 per year.

Amazon Web Services

This comprehensive and evolving cloud computing platform was also born in the 2000s. The first Amazon
Web Services (AWS) offerings were launched in 2006 to provide online services for websites and client-
side applications. Amazon Elastic Compute Cloud (EC2) and Simple Storage Service (S3) are the
backbones of the company's growing collection of web services. The same year, Amazon also launched a
cloud computing and video-on-demand service known at the time as Unbox.

By changing the way people bought books, Amazon also shaped how they read them with the launch of
its first Kindle e-reader in 2007. This device helps users browse, buy and read e-books, magazines and
newspapers from the Kindle Store.

From the 2010s to present

Amazon debuted its first tablet computer, the Kindle Fire, in 2011 and the Amazon Fire TV Stick, which
is part of Amazon's extensive line of streaming media devices, in 2014.

Amazon also started an online Amazon Art marketplace for fine arts in 2013, which has featured original
works by famous artists such as Claude Monet and Norman Rockwell.

The popular in-home virtual assistant Amazon Alexa was rolled out to consumers in 2015 and was
followed by the Alexa-equipped Echo Dot in 2016.

Amazon acquired the organic grocery store Whole Foods in 2017 and launched Amazon Go, a chain of
cashierless grocery stores in 2018.

The rise of in-home shopping during the COVID-19 pandemic made consumers rely on Amazon even
more, and the trend is likely to keep growing.

12
Key drivers in Indian e-commerce are:

 Large percentage of population subscribed to broadband internet, burgeoning 3g internet

users, and a recent introduction of 4g across the country.
 Explosive growth of smartphone users, soon to be world's second largest smartphone
userbase.
 Rising standards of living as result of fast decline in poverty rate.

 Availability of much wider product range (including long tail and direct imports)
compared to what is available at brick and mortar retailers.
 Competitive prices compared to brick and mortar retail driven by disintermediation and
reduced inventory and real estate costs.
 Increased usage of online classified sites, with more consumer buying and selling second-
hand goods

 Flipkart, one of the most popular & leading e-commerce companies in India with a market
share of 31.9%. In 2016, Flipkart’s valuation stood at $20 billion, when American retail
giant Walmart bought 77% stake in the company for $16 billion. Flipkart currently has
more than 200 million registered customers and the company is offering more than 150
million products in more than 80 categories. Flipkart currently has about 36,000 employees
and is competing in the e-commerce sector in India with competitors such as Amazon and
Snapdeal.

Earlier History of Flipkart

 Flipkart was started by two friends Sachin Bansal and Binny Bansal. Flipkart was
founded in 2007 in Bangalore, India. An interesting fact is, they share the same surname
but they are not actually relate…

13
[9:03 pm, 22/06/2022] +91 81271 53203: Myntra is a major Indian fashion e-commerce
company headquartered in Bengaluru, Karnataka, India.[1] The company was founded in
2007 to sell personalized gift items.[2][3][4][5] In May 2014, Myntra.com was acquired by
Flipkart.[6][7][8][9]

In May 2022, Myntra launched an express delivery service on its app to offer one of a kind
of experience by fashion & beauty platform. This service allow shoppers to receive their
orders for products marked with ‘M-express tag’ on the listing page within 24-48 hours of
purchase.[10]

History

Established by Mukesh Bansal along with Ashutosh Lawania and Vineet Saxena; Myntra
sold on-demand personalized gift items. It mainly operated on the B2B (business-to-business)
model during its initial years. Between 2007 and 2010, the site allowed customers to
personalize products such as T-shirts, mugs, mouse pads, and others.[11]

In 2011, Myntra began selling fashion and lifestyle products and moved away from
personalisation. By 2012 Myntra offered products from 350 Indian and International brands.
The website launched the brands Fastrack Watches and Being Human.[12]

In 2014, Myntra was acquired by Flipkart in a deal valued at ₹2,000 crore (US$260 million).
The purchase was influenced by two large common shareholders Tiger Global and Accel
Partners.[9] Myntra functions and operates independently.[13] Myntra continues to operate
as a standalone brand under Flipkart ownership, focusing primarily on "fashion-conscious"
consumers.[14]

In 2014, Myntra's portfolio included about 1,50,000 products of over 1000 brands, with a
distribution area of around 9000 pincodes in India.[15] In 2015, Ananth Narayanan became
the chief executive officer of Myntra.[16]

14
On 10 May 2015, Myntra announced that it would shut down its website, and serve customers
exclusively through its mobile app beginning 15 May. The service had already discontinued
its mobile website in favour of the app.[17] Myntra justified its decision by stating that 95%
of traffic on its website came via mobile devices, and that 70% of its purchases were
performed on smartphones. The move received mixed reception, and resulted in a 10%
decline in sales.[18][19] In February 2016, acknowledging the failure of the "app-only"
model, Myntra announced that it would revive its website.[20]

In September 2017, Myntra negotiated the rights to manage Esprit Holdings's 15 offline
stores in India.[21][22] Myntra reported a net loss of ₹151.20 crore in the financial year
2017–2018.[23]

In January 2021, Myntra changed its logo, after a police complaint was registered that the
logo resembles a naked woman. The complaint was filed by a woman named Naaz Patel, who
runs an NGO called Avesta Foundation.[24]

15
LITERATURE REVIEW

16
LITERATURE REVIEW

Sharma and mittal (2009) in their study “prospects of e-commerce in India”, mentions that
India is showing tremendous growth in the e-commerce. Undoubtedly, with the middle class of
288 million people, online shopping shows unlimited potential in India. The real estate costs are
touching the sky. Today e-commerce has become an integral part of our daily life. There are
websites providing any number of goods and services. The e-commerce portals provide goods and
services in a variety of categories. To name a few: apparel and accessories for men and women,
health and beauty products, books and magazines, computers and peripherals, vehicles, software,
consumer electronics, household appliances, jewelry, audio, video, entertainment, goods, gift
articles, real estate and services. Ashish gupta, senior managing director of helion venture partners
and one of the first backers of Flipkart as an angel investor: “Flipkart has been absorbing
companies that have some potential (letsbuy, myntra). In that process, some of the bets will go
wrong, for sure. But that is par for the course. The company (Flipkart) is consciously taking bets
that allow it to either grow or eliminate competition that reduces marketing spend and improves
economics.”

Miyazaki and fernandez (2001) substantiated that the prior experience was found to affect the
intention and behavior significantly and in a variety of ways. The results of this study imply that
the technology acceptance model should be applied to electronic commerce research with caution.
In order to develop a successful and profitable web shop, understanding customers' needs is
essential. It has to be ensured that products are as cheap in a web shop as purchased from traditional
channels. According to sharma and mittal (2009) in their study “prospects of e- commerce in
India”, mentions that India is showing tremendous growth in the e-commerce.

Undoubtedly, with the middle class of 288 million people, online shopping shows unlimited
potential in India. The real estate costs are touching the sky. Today e-commerce has become an
integral part of our daily life. There are websites providing any number of goods and services.

The e-commerce portals provide goods and services in a variety of categories. To name a few:
apparel and accessories for men and women, health and beauty products, books and magazines,

17
computers and peripherals, vehicles, software, consumer electronics, household appliances,
jewelry, audio, video, entertainment, goods, gift articles, real estate and services. Samadi and ali
(2010) compared the perceived risk level between internet and store shopping, and revisit the
relationships among past positive experience, perceived risk level, and future purchase intention
within the internet shopping environment.

Abhijit mitra. (2013), “e-commerce in India-a review”, international journal of marketing,

financial services & management research. Concluded that the e-commerce has broken the
geographical limitations and it is a revolution-commerce will improve tremendously in next five
years in India.

D.k.gangeshwar. (2013),” e-commerce or internet marketing: a business review from Indian

context”, international journal of u- and e- service, science and technology. Concluded that the e-
commerce has a very bright future in India although security, privacy and dependency on
technology are some of the drawbacks of e-commerce but still there is a bright future to e-
commerce.

Martin dodge. (1999),”finding the source of Amazon.com: examining the hype of the earth’s
biggest book store”, center for advanced spatial analysis. Concluded that Amazon.com has been
one of the most promising e-commerce companies and has grown rapidly by providing quality
service.
Vijay govindarajan is one of the world’s leading experts on strategy and innovation.
Govindarajan, coxe distinguished professor at dartmouth college’s tuck school of business and
marvin bower fellow at harvard business school, is also a best-selling author. The biggest
opportunity in India is e-commerce. Why? Three important factors will drive this: 1) mobile phone
penetration; 2) a young demographic that is used to ordering things using the mobile platform; 3)
growth of consumerism with more Indians with higher disposable income. We will see many new
innovative business models in the e-commerce space in the next five years. No doubt we will see
new innovative high-growth companies—Indian equivalents of alibaba. Kotler & Keller (2009), a
buyer goes through five stages while making a decision to purchase.
These stages are best explainable when a buyer goes for buying costly items, such as a house, a
car, diamond jewellery etc. However, in day- to- day purchase, consumers may not go through
18
all these stages, since some commodes do not need information. and based on buver's previous
experience they will visit a store for the purchase.

Samadi and Ali (2010) compared the perceived risk level between internet and store shopping, and
revisit the relationships among past positive experience, perceived risk level, and future purchase
intention within the internet shopping environment.

Kanwal Gurleen (2012), "Customers satisfaction towards Online shopping", discussed that different
options in internet encouraged people to search and eventually purchase online, because there are more
than 100 million internet users in India. People those who are using internet trom 5 to 7 hours a day were
found to be adopter of online shopping. Price consciousness convenience and variety, easy payment
options and challenges of online shopping are the factors found to be a significant in online shopping.

Adrita Goswami (2013), studied "Customer Satisfaction towards Online Shopping with Special
Reference to Teenage Group of Jorhat Town" study concludes that online customers are satisfied in the
aspects such as Price, Quality of products, Ease of use in mobile platform and Timely Delivery at remote
areas. This research explicitly indicates that online marketer should give more importance on price factor
and after sale factor.

Kotler & Keller (2009), a buyer goes through five stages while making a decision to purchase. These
stages are best explainable when a buyer goes for buying costly items, such as a house, a car, diamond
jewellery etc. However, in day- to- day purchase, consumers may not go through all these stages, since
some commodes do not need information. and based on buver's previous experience they will visit a
store for the purchase.

Samadi and Ali (2010) compared the perceived risk level between internet and store shopping, and
revisit the relationships among past positive experience, perceived risk level, and future purchase
intention within the internet shopping environment.

Kanwal Gurleen (2012), "Customers satisfaction towards Online shopping", discussed that different

19
options in internet encouraged people to search and eventually purchase online, because there are more
than 100 million internet users in India. People those who are using internet trom 5 to 7 hours a day were
found to be adopter of online shopping. Price consciousness convenience and variety, easy payment
options and challenges of online shopping are the factors found to be a significant in online shopping.

Adrita Goswami (2013), studied "Customer Satisfaction towards Online Shopping with Special
Reference to Teenage Group of Jorhat Town" study concludes that online customers are satisfied in the
aspects such as Price, Quality of products, Ease of use in mobile platform and Timely Delivery at remote
areas. This research explicitly indicates that online marketer should give more importance on price factor
and after sale factor

Dhevika V.P.T, Latasri O.T.V, S Karmugil (2014), in their paper "Factors Affecting Online shopping of
Customers" revealed that the most important factor influencing online shopping is- security, followed
by - trust worthy shopping and - website design/features and the least importan factor intluencing IS -
bargaining shopping, there is no significant association between security and website design/features of
the respondents and their overall online buying behavior

Saravanan S and Brindha Devi K (2015), "A Study on Online Buying behavior with special reference
to Coimbatore city" focused on online shoppers' preferences and problems on various online shopping
marketers. Higher computer literacy makes internet shopping smarter. Their awareness about the
internet also makes them better positioned to identify and take decision for products and services.

Pooja Gupta (2015), The study tries to recognize that, how consumer measure channels for their
purchasing. Specitically, it progresses a conceptual model that addresses consumer value perception for
using the internet shopping versus the traditional shopping. Earlier study showed that perceptions of
price, product quality, service quality and threat strongly impact perceived value and purchase intents
in the offline and online network. Observations of online and offline
buvers can be evaluated to see how value is constructed in both channels. Its hitherto to recognize what
factors influence online and offline shopping choice progression. The objective of this study is to provide
an impression of online shopping decision process by comparing the offline and online decision making

20
and identifying the factors that motivate customers to decide whether to do online shopping or go for
the offline shopping. Consumer's shop when and where they want, where they ar comfortable with the
products and the choice of shopping. The study finds that female are more into online shopping than
male

Francis Sudhakar K, Habeeb Syed (2016), "A Comparative study between Flipkart and Amazon India",
conducted a study to critically examine various corporate and business level strategies of two big e-
tailers and those are Flipkart and Amazon. Comparison have been done considering e-commerce
challenges, their business model, funding, revenue generation, growth, survival strategies, Shoppers'
online shopping experience, value added differentiation, and product offerings. Both these big players
made their own mark in India. The survey ended with Amazon as the winner, which satisfied the
customer in all the aspects.

 EXCLUSIVE PRODUCTS

Motorola mobility, previously owned by google but then sold to lenovo, in an exclusive tie up with
Flipkart launched its budget smartphone moto g in India on 5 february 2014 more than 20,000
units were sold within hours of launch on Flipkart after this Flipkart was looking for a long term
tie up with motorola mobility. They also launched their android smartphone, the moto x, on 19
march 2014. Flipkart later sold the moto e, cheaper than moto g, from 13 may 2014. The sale of
high-end smartphone xiaomi mi3 produced by xiaomi tech was launched in India on an exclusive
tie-up with Flipkart. The first batch was sold out within 39 minutes on 22 july 2014, the second in
5 seconds on 29 july 2014. The sale was proceeded on pre-registration mode where more than
150,000 buyers booked for the 5 august 2014 sale. This got sold off in less than 2 seconds.
Following this xiaomi tech sold 20,000 units in the next sale on 12 august 2014.

On 2 september 2014 Flipkart held a flash sale of the xiaomi redmi 1s budget android smartphone
which was launched in India in july 2014. 40, 000 units priced at rs 5999 each were

21
sold within seconds. A further 40,000 units were sold within 4.5 seconds on sept 9, 2014. The third
redmi 1s sale on sept 16, 2014 sold 40,000 units in 3.4 seconds; in the 4th round of sale of redmi
1s, 60,000 units sold in 5.2 seconds on sept 23, 2014. On 30 september 2014 60,000 units sold in
13.9 seconds. Redmi note in India exclusively through Flipkart; 50,000 units sold in 6 seconds on
2 december 2014. In july 2014 Flipkart launched its own set of tablet, mobile phones & phablet.
The first among these series of tablet phones was digiflip pro xt 712 tablet. In july 2014 Flipkart
launched its first networking router, under its own brand name named digiflip wr001 300 mbit/s
wireless n router. In september 2014 Flipkart launched its in-house home appliances and personal
healthcare brand citron. The label includes a wide range of cooking utilities and grooming
products.

 ACHIEVEMENTS IN E- COMMERCE

In september 2015, sachin bansal and binny bansal entered forbes India rich list debuting at the
86th position with a net worth of $1.3 billion each. Co-founder of Flipkart, sachin bansal, got
entrepreneur of the year award 2012-2013 from economic times, leading Indian economic daily.
Flipkart.com was awarded young turk of the year at cnbc tv 18's 'India business leader awards
2012' (ibla). Flipkart.com- got nominated for Indiamart leaders of tomorrow awards 2011.

 FAILURE IN MUSIC INDUSTRY

In october and november 2011, Flipkart acquired the websites mime360.com and chakpak.com.
Later, in february 2012, the company revealed its new flyte digital music store. Flyte, a legal music
download service in the vein of itunes and Amazon.com, offered drm-free mp3 downloads. But it
was shut down on 17 june 2013 as paid song downloads did not get popular in India due to the
advent of free music streaming sites.

 ACQUISITIONS

 2010: weread, a social book discovery tool.

 2011: mime360, a digital content platform company.

22
 2011: chakpak.com, a bollywood news site that offers updates, news, photos and videos.
Flipkart acquired the rights to chakpak's digital catalogue which includes 40,000
filmographies, 10,000 movies and close to 50,000 ratings. Flipkart has categorically said
that it will not be involved with the original site and will not use the brand name.
 2012: letsbuy.com, an Indian e-retailer in electronics. Flipkart has bought the company
for an estimated us$25 million. Letsbuy.com was closed down and all traffic to letsbuy
has been diverted to Flipkart.
 2014: acquired myntra.com in an estimated ₹ 20 billion (2,000 crore, about us$319
million) deal.
 2015: Flipkart acquired a mobile marketing start-up appiterate as to strengthen its mobile
platform.

23
RESEARCH METHODOLOGY

24
PROBLEM DEFINITION

In India e-commerce evaluated like a giant with huge opportunity and success rate. There are so many
big and small players in market. Are they really going to sustain in market for a long time and is there
success rate for them. What are customers expecting from them and are they ready to fulfill their
requirements. The study is to understand both parties’ requirements and procedure.

Research
Business research can be described as a systematic and Organized effort to investigate a specific problem
that needs a solution. More specifically, it is a process of planning, acquiring and analyzing relevant data
and information. We can define business research as an Organized systematic, data-based, critical,
objective, scientific problem undertaken with the purpose of finding answers to it. In fact, research
provides the needed information that guides managers to make decisions. They can deal, successfully, with
problems.

Research comprises defining and redefining problems, formulating hypothesis or suggested solutions,
collecting, Organising, and evaluating data, making deductions and reaching conclusion.

Research methodology

Research is an art of scientific investigation. It refers to a search for knowledge. The advance Learner’s
Dictionary English lays down the meaning of research as, “A careful investigation or inquiry especially
through search for new facts in any branch of knowledge.”

Research Methodology is a way to systematically solve the research problem. The research begins its
formation when the problem or objective of the research is identified for which a research report is
conducted.

Types of research:-

i) Descriptive:- Descriptive research includes surveys and fact-findings enquiries of

different kind. The major purpose of descriptive research is description of the state of
25
 affairs as it exists at present. The main characteristics of this method is that the
researcher has no control over the variables; he can only report what has happened or
what is happening.
ii) Analytical:- In Analytical research, the researcher has to use facts or information
already available, and analyze these to make a critical evaluation of material.
iii) Applied:- It aims at findings a solution for an immediate problem facing a society or
an organization/business organization.
iv) Fundamental:- Fundamental research is mainly concerned with generalizations and
with the formulation of a theory. Research studies concerning human behaviour carried
on with a view to make generlisations about human behaviour is an example of
fundamental research.
v) Qualitative:- It is concerned with qualitative phenomenon, i.e., phenomena relating
to or involving quality or kind. For instance ,when we are interested in investigating the
reasons for human behaviour(i.e. why people think or do certain things), we quite often
talk of ‘Motivation Research’, an important type of qualitative research.
vi) Conceptual:- Conceptual research is that related to some abstract idea(s) or theory.
It is generally used by philosophers and thinkers tp develop new concepts or to
reinterpret existing ones.
vii) Empirical:- Empirical research relies on experience or observation alone, often
without due regard for system and theory. It is data-based research, coming up with
conclusions which are capable of being verified by observation or experiment.

Research Design:-

A research design is the arrangement of conditions for collection and analysis of data in a manner that
aims to combine relevance to the research purpose with economy in procedure. In fact, the research design
is the conceptual structure within which research is conducted; it constitutes the blueprint for the collection,
measurement and analysis of data.

Different types of Research Design are as follows:-

26
 1. Research design in case of exploratory research studies.
2. Research design in case of descriptive studies.
3. Research design in case of diagnostic research design.
4. Research design in case of hypothesis-testing research design.

In this study Descriptive research studies is used because descriptive research studies are those studies
which are concerned with describing the characteristics of a particular individual, or a group and situation
etc.

The design in such studies must focus attention on the following or process in descriptive research design
is as follows:-

(a) Formulating the objective of the study.

(b) Designing the methods of data collection.

(c) Selecting the sample

(d) Collecting the data.

(e) Processing and analyzing the data.

(f) Reporting the findings.

Sources Of Data:-

The task of data collection begins after a research problem has been defined and research design plan
chalked out. Basically two types of data are available to the research namely:-

 Primary Data:-We collect primary data during the course of doing experiments research but in
case we do research of the descriptive type and performs surveys, whether sample survey or census
surveys, then we can obtain primary data either through observation or through direct
communication with respondents in one form or another or through personal interviews.

27
  Secondary Data:-Secondary data means data that are already available i.e., they refer to the
data which have already been collected and analyzed by someone else.

Sample Design:-

In most of the research design it becomes almost impossible to examine the entire universe. So the only
alternative is to report to sampling. This is true for the present study as well. Basic principles to be followed
in sampling are that the sample chosen must be representative of entire universe to be studied.

Universe and Survey Population:-Universe is the set of objective to be studied. It can be finite and
infinite. And survey population is a part of universe that represents the whole universe.

Sample Size:-

In this present study we have taken the sample size of 50 peoples to get their views regarding online
shopping.

Sampling Method:-

In the present study, convenience sampling method has been used.

Data Collection Method:-

In dealing with any real life problem it is often found that data at hand are inadequate, and hence, it
becomes necessary to collect data that are appropriate. There are several ways of collecting data which
differ considerably in context of a survey, data can be other resources at the disposal of the researcher.

Primary Data can be collected through various methods like:-

 Questionnaire method
 Observation Method
 Through Schedules
 Interview method

28
In the present study Primary data is collected through:-

 Questionnaire.

Secondary data can be collected though various methods like:-

 Magazines
 Newspapers
 Websites
 Books

In the Present Study Secondary Data is collected through:-

 Different Websites
 Company Journals
 Books

Data processing

Editing, classification, coding and tabulation are the important stages in research. It is at this stage the
mass of data collected during the survey is processed with a view to reducing them to manageable
proportions. In other words, the data processing which encompasses, editing, coding, classification, and
tabulation, is an intermediary stage between the collection of data and their analysis and interpretation.
Thus, these are the three crucial stages in the processing of social survey data.

Stages in data processing:-

1) Editing
2) Classification
3) Tabulation
4) Coding

29
 Questionnaire designing

. A questionnaire is a form prepared and distributed to secure responses to certain questions. It is a device
for securing answers to questions by using a form which the respondent fills by himself. It is a systematic
compilation of questions that are submitted to a sampling of population from which information is desired.

Purpose of questionnaire are two fold:

 To collect information from the respondents who are scattered in a vast area.
 To achieve success in collecting reliable and dependable data. The questionnaire procedures
normally comes into use where one cannot readily see personally all of the people from whom he
desires response of where there is no particular reason to see them personally.

30
Questionnaire design process:

 Type of information needed

 Method of interview
 Contents of individual question
 Question structure
 Question wording
 Arranging questions in orde

RESEARCH DESIGN Descriptive

COLLECTION OF DATA Primary data, secondary data

SAMPLE SIZE 50 respondents

SAMPLING UNIT Individual

SAMPLING TYPE Convenience sampling

AREA OF STUDY Study area is limited to Varanasi

ANALYSIS PATTERN Pie charts

METHOD OF DATA COLLECTION Questionnaire method

31
DATA ANALYSIS
&
INTERPRETATION

32
 Number of factories in
Year
Numbers

2010-11 205
2011-12 286
2012-13 279
2013-14 257
2014-15 243
2015-16 245
2016-17 255
2017-18 254
2018-19 291
2019-20 304
2020-21 297
2021-22 299

Number of factories in Numbers

304 297 299

286 291
279
257 255 254
243 245
205

2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22

The number of factories has fluctuated over the years, but there seems to be a general trend of increase,

with some variations in between. Here are some key points:

1. Initial Increase: From 2010-11 to 2011-12, there was a significant jump in the number of factories from

205 to 286, indicating a period of growth or perhaps a change in reporting methods.

33
2. Fluctuations: Following the initial increase, there were fluctuations in the number of factories from year

to year. These fluctuations might be influenced by various factors such as economic conditions,

government policies, or changes in demand for goods and services.

3. Overall Trend: Despite the fluctuations, there appears to be an overall upward trend in the number of

factories from 2010-11 to 2021-22. This suggests a gradual expansion or development of industrial

activity over the years.

4. Plateauing: Towards the later years (2018-19 to 2021-22), the rate of increase seems to have slowed

down, with the number of factories hovering around the high 200s to low 300s. This could indicate a

stabilization or saturation of the market to some extent.

5. Potential Factors: It would be interesting to investigate the specific factors driving the changes in the

number of factories over time. This could include economic growth, industrial policies, technological

advancements, or shifts in consumer preferences.

Overall, while there have been fluctuations, the general trend suggests growth in industrial activity over

the years, albeit with some recent signs of stabilization.

34
 Total employees in
Year Numbers

16,704
2010-11
24,398
2011-12
25,312
2012-13
24,228
2013-14
24,948
2014-15
23,820
2015-16
24,003
2016-17
25,314
2017-18
23,968
2018-19
23,413
2019-20
22,609
2020-21
21,912
2021-22

TOTAL EMPLOYEES IN NUMBERS

24,39825,31224,22824,94823,82024,00325,31423,96823,413
22,60921,912

16,704

Here's an interpretation of the data on total employees:

35
1. Initial Growth: Similar to the trend in the number of factories, there was a notable increase in the total

number of employees from 2010-11 to 2011-12, indicating a period of growth in employment within

these factories.

2. Fluctuations: Following the initial increase, there were fluctuations in the total number of employees

from year to year. These fluctuations could be influenced by various factors such as changes in

production levels, economic conditions, or shifts in industry demand.

3. Overall Trend: Despite fluctuations, there seems to be a general trend of fluctuation around a relatively

stable level of total employment from 2011-12 to 2017-18. However, from 2017-18 onwards, there is a

declining trend in total employment.

4. Decline in Employment: The data shows a decline in total employment from 2017-18 (25,314

employees) to 2021-22 (21,912 employees). This decline could be attributed to various factors such as

automation, outsourcing, economic downturns, or changes in industry structure.

5. Correlation with Factory Numbers: It's interesting to note that while the number of factories generally

increased over the years, the total number of employees did not follow the same pattern, indicating

possible efficiency improvements or changes in production processes that require fewer employees per

factory.

6. Potential Implications: The decline in total employment could have implications for the labor market

and overall economic conditions, highlighting the importance of monitoring employment trends and

implementing policies to support job creation and retention.

Overall, the data on total employees reflects fluctuations and a recent decline in employment levels

within these factories, suggesting a more nuanced picture of industrial employment dynamics alongside

the trend in factory numbers.

36
 Total emoluments, Rs.
Year million

5,256.00
2010-11
9,054.00
2011-12
9,026.90
2012-13
9,384.70
2013-14
10,157.70
2014-15
9,849.50
2015-16
10,855.80
2016-17
11,212.60
2017-18
10,472.90
2018-19
11,425.70
2019-20
10,409.40
2020-21
10,977.00
2021-22

37
 TOTAL EMOLUMENTS, RS. MILLION
11,212.60 11,425.70
10,855.80 10,977.00
10,157.70 10,472.90 10,409.40
9,849.50
9,054.00 9,384.70
9,026.90

5,256.00

Here's an interpretation of the data on total emoluments:

1. Increasing Trend: The total emoluments, represented in millions of Rs., show a general increasing trend
over the years from 2010-11 to 2019-20. This suggests that the total amount of compensation paid to
employees within these factories has been on the rise during this period.
2. Fluctuations: Similar to the trends seen in the number of factories and total employees, there are
fluctuations in the total emoluments from year to year. These fluctuations could be influenced by factors
such as changes in labor costs, inflation rates, or shifts in compensation structures.
3. Peak and Plateau: There appears to be a peak in total emoluments around 2019-20, where the amount
reaches 11,425.70 million Rs. After this peak, there's a slight decrease in 2020-21 followed by a slight
increase again in 2021-22, resulting in a plateauing of total emoluments.
4. Correlation with Employment: The increasing trend in total emoluments corresponds with the initial
period of growth in employment (2010-11 to 2011-12) and the subsequent fluctuations in employment
levels. This suggests that as the number of employees increased or fluctuated, the total emoluments also
followed a similar pattern.
5. Potential Implications: The increase in total emoluments indicates rising labor costs for these factories
over the years, which could impact their profitability and competitiveness. Understanding the factors

38
driving these increases and fluctuations is crucial for strategic planning and decision-making within these
industries.

Overall, the data on total emoluments reflects trends in labor compensation within these factories,
showcasing both increases and fluctuations over the years, alongside the trends observed in factory
numbers and total employment.

Year Workers Numbers

8,025
2010-11
11,633
2011-12
12,354
2012-13
11,905
2013-14
11,874
2014-15
12,361
2015-16
11,378
2016-17
12,733
2017-18
12,665
2018-19
11,072
2019-20
10,597
2020-21
10,406
2021-22

39
 Number of Workers
14,000
12,354 11,905 11,874 12,361 12,733 12,665
12,000 11,633 11,378 11,072 10,597
10,000 10,406

8,000 8,025
6,000
4,000
2,000
0

Here's an interpretation of the data on worker numbers:

1. Fluctuating Trend: The number of workers in these factories fluctuates over the years, showing no
clear linear trend.
2. Initial Increase and Fluctuations: From 2010-11 to 2012-13, there was a gradual increase in the
number of workers, peaking in 2012-13 at 12,354 workers. However, after that, the number starts
fluctuating without a consistent pattern.
3. Decrease in Recent Years: From 2017-18 onwards, there's a noticeable decrease in the number of
workers, with the lowest point reached in 2019-20 at 11,072 workers.
4. Correlation with Total Employment: The trend in worker numbers generally follows the trend in total
employment, but with some differences. While both show fluctuations, the worker numbers seem to
fluctuate more widely compared to the total employment figures.
5. Potential Factors: The fluctuations and decrease in worker numbers could be influenced by various
factors such as changes in production processes, technological advancements leading to automation,
outsourcing of certain tasks, economic conditions affecting labor demand, or shifts in industry structure.
6. Implications: The decrease in worker numbers could have implications for labor markets, with potential
impacts on unemployment rates and income levels in the areas where these factories are located.

Overall, the data on worker numbers reflects fluctuations and a recent decrease in employment levels
within these factories, indicating a complex interplay of factors affecting labor dynamics within the
industrial sector.

40
 Wages to workers Rs. million
Year

1,363
2010-11
2,001
2011-12
2,079
2012-13
2,228
2013-14
2,293
2014-15
2,582
2015-16
2,568
2016-17
3,227
2017-18
3,610
2018-19
3,090
2019-20
2,954
2020-21
3,359
2021-22

Wages to workers Rs. million

Wages to workers Rs. million

3,610
3,227 3,359
3,090
2,582 2,954
2,079
2,001 2,293 2,568
2,228
1,363
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
2018-19
2019-20
2020-21

2021-22

41
 Here's an interpretation of the data on worker numbers:

1. Fluctuating Trend: The number of workers in these factories fluctuates over the years, showing no
clear linear trend.
2. Initial Increase and Fluctuations: From 2010-11 to 2012-13, there was a gradual increase in the
number of workers, peaking in 2012-13 at 12,354 workers. However, after that, the number starts
fluctuating without a consistent pattern.
3. Decrease in Recent Years: From 2017-18 onwards, there's a noticeable decrease in the number of
workers, with the lowest point reached in 2019-20 at 11,072 workers.
4. Correlation with Total Employment: The trend in worker numbers generally follows the trend in total
employment, but with some differences. While both show fluctuations, the worker numbers seem to
fluctuate more widely compared to the total employment figures.
5. Potential Factors: The fluctuations and decrease in worker numbers could be influenced by various
factors such as changes in production processes, technological advancements leading to automation,
outsourcing of certain tasks, economic conditions affecting labor demand, or shifts in industry structure.
6. Implications: The decrease in worker numbers could have implications for labor markets, with potential
impacts on unemployment rates and income levels in the areas where these factories are located.

Overall, the data on worker numbers reflects fluctuations and a recent decrease in employment levels
within these factories, indicating a complex interplay of factors affecting labor dynamics within the
industrial sector.

Fixed capital Rs. million

Year

23,867.40
2010-11
38,722.00
2011-12
39,502.30
2012-13
31,082.20
2013-14

42
 32,809.60
2014-15
34,364.70
2015-16
33,596.90
2016-17
29,458.00
2017-18
29,691.40
2018-19
30,661.50
2019-20
31,012.40
2020-21
32,310.80
2021-22

Fixed capital Rs. million

Fixed capital Rs. million

38,722 39,502
34,365 33,597
32,810 32,311
31,082 31,012
29,458 29,691 30,662

23,867

2010-112011-122012-132013-142014-152015-162016-172017-182018-192019-202020-212021-22

Here's an interpretation of the data on fixed capital:

1. Initial Surge: There was a significant increase in fixed capital from 2010-11 to 2011-12, jumping from
23,867.40 million Rs. to 38,722.00 million Rs. This suggests a period of substantial investment in fixed
assets within these factories.
2. Fluctuations: Following the initial surge, there are fluctuations in fixed capital from year to year. These
fluctuations may be influenced by factors such as investment cycles, technological advancements, or
changes in production capacity.

43
3. Overall Trend: Despite fluctuations, there seems to be an overall upward trend in fixed capital from
2010-11 to 2021-22. This indicates a general trend of increasing investment in fixed assets within these
factories over the years.
4. Peak and Plateau: There appears to be a peak in fixed capital around 2012-13, followed by some
fluctuations but generally maintaining a higher level compared to the initial years. From 2017-18
onwards, there's a slight decline in fixed capital, but it picks up again in 2021-22.
5. Correlation with Other Factors: It would be interesting to analyze how changes in fixed capital
correlate with other factors such as the number of factories, total employment, or total emoluments.
Understanding these correlations could provide insights into the drivers of investment in fixed assets
within the industrial sector.
6. Implications: The increase in fixed capital indicates a commitment to long-term investments in physical
assets, which could enhance productivity, efficiency, and competitiveness within these factories.
However, the fluctuations and recent decline in fixed capital suggest a need for further analysis to
understand the underlying factors driving these changes.

Overall, the data on fixed capital reflects fluctuations but shows an overall increasing trend, indicating
ongoing investment in fixed assets within these factories over the years.

Working capital Rs. million

Year

10,990.70
2010-11
-22,463.80
2011-12
-20,979.70
2012-13
7,504.70
2013-14
6,754.10
2014-15
-14,474.30
2015-16
-7,727.30
2016-17
-11,068.60
2017-18
-6,033.20
2018-19
-6,331.60
2019-20
-6,396.50
2020-21
174.8
2021-22
44
 Working capital Rs. million
Working capital Rs. million

10,990.70 7,504.70
6,754.10 174.8

-22,463.80
-20,979.70 -14,474.30
-7,727.30
-11,068.60
-6,033.20
-6,331.60
-6,396.50

Here's an interpretation of the data on working capital:

1. Variability and Fluctuations: The data on working capital shows significant

variability and fluctuations over the years. Working capital can fluctuate due to
changes in inventory levels, accounts receivable, and accounts payable, among other
factors.
2. Negative Working Capital: From 2011-12 to 2015-16, the working capital is
negative, indicating that current liabilities exceed current assets during these years.
Negative working capital can sometimes indicate financial distress or inefficiencies in
managing short-term assets and liabilities.
3. Positive Working Capital: From 2013-14 onwards, there's a transition to positive
working capital, indicating that current assets exceed current liabilities. Positive
working capital is generally considered healthier as it suggests the ability to meet
short-term obligations.
4. Recent Trends: In the most recent years (2019-20 to 2021-22), the working capital
remains positive, with a notable increase in 2021-22, where it reaches 174.8 million

45
 Rs. This suggests improved liquidity or better management of short-term assets and
liabilities during these years.
5. Impact on Operations: Working capital is crucial for the day-to-day operations of a
business. Adequate working capital ensures smooth operations by allowing the
company to pay its bills, manage inventory, and fulfill orders. Negative working
capital can strain operations and may require external financing to cover shortfalls.
6. Implications of Fluctuations: The fluctuations in working capital over the years
could be indicative of changes in business conditions, management practices, or
financial strategies within these factories. Analyzing the underlying reasons for these
fluctuations can provide insights into the financial health and operational efficiency
of the factories.

Overall, the data on working capital reflects fluctuations and variability over the
years, with recent trends showing a transition to positive working capital, indicating
improved liquidity and financial health in the most recent years.

Year Productive capital Rs. million

34,858.10
2010-11
16,258.20
2011-12
18,522.60
2012-13
38,586.90
2013-14
39,563.70
2014-15
19,890.40
2015-16
25,869.60
2016-17
18,389.40
2017-18
23,658.20
2018-19
24,329.90
2019-20
24,615.90
2020-21
32,485.60
2021-22
46
 Productive capital Rs. million
Productive capital Rs. million

39,563.70
38,586.90
34,858.10
32,485.60
25,869.60 24,615.90
24,329.90
23,658.20
18,522.60 19,890.40 18,389.40
16,258.20

1. Fluctuations and Variability: Similar to other financial metrics, the data on productive capital
shows fluctuations and variability over the years. Productive capital represents the total capital
invested in productive assets such as machinery, equipment, and technology.
2. Initial Decline and Recovery: There's a notable decline in productive capital from 2010-11 to
2011-12, followed by a subsequent recovery and increase in the following years. This initial
decline could be attributed to various factors such as changes in investment strategies,
economic conditions, or technological shifts.
3. Fluctuating Levels: From 2012-13 to 2021-22, there are fluctuations in productive capital
levels, with some years showing increases and others showing decreases. These fluctuations
could be influenced by factors such as capital investment decisions, depreciation of existing
assets, or changes in production capacity.
4. Peak in 2014-15: The highest level of productive capital is observed in 2014-15 at 39,563.70
million Rs., indicating a period of significant investment in productive assets within these
factories.
5. Recent Increase: There's a notable increase in productive capital in 2021-22, where it reaches
32,485.60 million Rs. This suggests renewed investment in productive assets, potentially driven
by factors such as technological advancements, capacity expansions, or strategic initiatives.
6. Impact on Productivity: Productive capital plays a crucial role in enhancing productivity and
efficiency within factories. Investments in modern machinery and technology can lead to
improved production processes, cost savings, and competitive advantages in the market.

47
7. Strategic Implications: Analyzing the trends and patterns in productive capital can provide
insights into the strategic direction and competitiveness of these factories. Understanding
where capital is being invested and how it contributes to overall productivity is essential for
long-term sustainability and growth.

Overall, the data on productive capital reflects fluctuations over the years, with recent trends
showing a notable increase in investment in productive assets, potentially indicating a focus on
enhancing productivity and competitiveness within these factories.

48
Q15:-How confident are you that your personal information is kept
confidential when buying products online?

OPTIONS RESPONDENTS %AGE

Extremely confident 19 39%

Quite confident 13 27%

Moderately confident 8 19%

Slioghtly confident 2 4%

Not at all confident 20 30%

Total 50 100%

Extremely confident Quite confident Moderately confident

Slioghtly confident Not at all confident

20%
34%
4%

16%

26%

INTERPRETATION:-

39% of peoples are extremely confident with their personal information is kept confidential
when purchasing online, 26% of peoples quite confident , 19% of peoples are moderately
confident , 4% of peoples are slightly confident, 40% of peoples not at all confident.
49
.

FINDINGS

50
 FINDINGS

 82% of peoples shows interest in online shopping, on the other hand, 18% of
peoples does not want to shop online.

 64% of peoples shop online once In month, 10% of peoples once in two months,
6% of peoples more frequently, and 20% of peoples shop online more often.

 58% of peoples prefer flipkart online site while making shopping online, 12%
people uses amazon , 10% of snapdeal, 14% of peoples uses paytm mall, and 6%
of peoples using others websites.

 58% of peoples make payment through debit card, 20% of peoples choose the cash
on delivery, 10% of peoples using credit card services, 12% of peoples uses other
payment methods

 40% of peoples is more satisfied in terms of products, customer care & delivery
services from flipkart, 50% of peoples with amazon, 6% of peoples with snapdeal,
and 4% of peoples with others.

 48% of peoples choose online shopping site from referred by friends, 30% of
peoples from advertisements, 22% of peoples from online interviews.

 46% of peoples have problems with flipkart, and 40% of peoples with amazon ,
10% of peoples with snapdeal, and 4% with online shopping sites.

51
 32% of peoples are satisfied with the pricing strategies of flipkart, 38% of peoples
with amazon, 14% with snapdeal, 10% with paytm, 6% of peoples are satisfied
with pricing of others.

 40% of peoples suggests flipkart to their family and friends, 32% of peoples
suggest amazon, 18% of peoples snapdeal, 4% of peoples paytm, and 6% of
peoples suggest others.

 42% of peoples wants to make purchase on festivals, 24% of peoples purchase for
receiving gifts, 16% of peoples for offers, 10% on weddings, 8% of peoples on
others.

 38% of peoples are strongly agree with they make purchasing decisions due to
promotional activities, 28% of peoples are agree, 22% of peoples are neither agree
nor disagree, 8% of peoples are disagree, and 4% of peoples are strongly disagree.

 34% of peoples are extremely confident with their personal information is kept
confidential when purchasing online, 26% of peoples quite confident , 16% of
peoples are moderately confident , 4% of peoples are slightly confident, 20% of
peoples not at all confident.

 42% of peoples faced problem with delay in delivery, 18% of peoples faced
problem of product range, 34% of peoples cheap quality of a product , and 6% of
peoples faced non delivery of products.
 24% of peoples are satisfied with flipkart, 36% of peoples with amazon , 20% with
snapdeal, and 20% of peoples with others are satisfied most for receiving after
sales assistance.
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53
SUGGESTIONS

54
 SUGGESTIONS
Flipkart is performing ok but not good enough. There are so many cases where people felt that

packing might have been better than this. Either it may be big or small / expensive or not product

has to be treated with care. Some of the products mostly apparel’s are turning out with original

cover of supplier, which shows negligence of them. In this issue Amazon made a mark among us,

because whatever the product is their packing will obviously safe and secure.

55
 LIMITATIONS
1 The first limitation caused during the market research was to find out the

respondents who shop online and are web savvy.

2 The second limitation caused during the research was searching professionals who

shop grocery products along with the experience of online shopping.

3 Other limitation caused in the market research was that the research will only study

the consumer perception towards online grocery shopping and not the dealers,

wholesalers, retailer’s perception towards online shopping which acts as an agent to

the online retail industry support its business operations.

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CONCLUSION

57
CONCLUSION
The study consisted with all the work flows of major e-commerce players in India, Flipkart and
Amazon. How they are performing and how they are running perfectly in the competitive world
has been explained. The innovative thinking of them to reach more and more consumers is
appreciable. They increased their network as much as possible with ultimate aim of reaching more
and more customers. They made consumers work more easy and comfortable. In this competitive
market one has to be lead and rest will follow. Based upon consumer’s survey we got our clear
winner and it is Amazon. Even though it is an international company it understood Indians very
well and made its roots stronger in India. Flipkart is also giving very tough competition to Amazon
even though it is new company when compared to Amazon. May be it takes some time to
overcome, but definitely they are doing very well in Indian e-commerce market.

Flipkart has launched its own product range under the name “digiflip”, Flipkart also recently
launched its own range of personal healthcare and home appliances under the brand “citron”.
During its initial years, Flipkart focused only on books, and soon as it expanded, it started offering
other products like electronic goods, air conditioners, air coolers, stationery supplies and life style
products and e-books. Legally, Flipkart is not an Indian company since it is registered in Singapore
and majority of its shareholders are foreigners. Because foreign companies are not allowed to do
multi-brand e-retailing in India, Flipkart sells goods in India through a company called ws retail.
Other third-party sellers or companies can also sell goods through the Flipkart platform. Flipkart
now employs more than 15000 people. Flipkart allows payment methods such as cash on delivery,
credit or debit card transactions, net banking, e-gift voucher and card swipe on delivery. Flipkart
is presently one of the largest online retailers in India, present across more than 14 product
categories & with a reach in around 150 cities and delivering 5 million shipments per month.

58
AMAZON
 Strengths:

1) Strong background and deep pockets – built on its early successes with books,
Amazon now has product categories that include electronics, toys, games, home and
kitchen, white goods, brown goods and much more. Amazon has evolved as a global e-
commerce giant in the last 2 decades.
2) Customer centric: company’s robust crm has created customer centric processes in
order to carefully record data on customer’s buying behavior. This enables them to offer
individual items, related items or bundle them as an offer, based upon preferences
demonstrated through purchases or items visited. Also, the company claims that 55% of
their customers are repeat buyers resulting in low cost of acquisition of new buyers.
3) Cost leadership: in order to differentiate itself, company has created several strategic
alliances with other companies to offer superior customer service. The most important
strategic tie ups are with logistics provides who control costs. Because of playing on
economies of scale, Amazon is able to lower the inventory replenishment time.
4) Efficient delivery network: with its strategic partners & due to its Amazon fulfilment
centers, Amazon has created a deep & structured network in order to make the product
available even at remote locations. It also has free of cost delivery charges in certain
geographies.
5) Glocal strategy: by using the strategy of “go global & act local”, Amazon is able to
fight with domestic e-commerce companies through absorbing & by forming / partnering
with supply chain companies. The branding too is done as per local taste. For example- in
India, Amazon is currently using the “aur dikhao” campaign to encourage users to browse
more of their products.
6) Acquisitions: acquiring companies like zappos.com, junglee.com, imbd.com, woot.com
etc. Has proven to be a successful and revenue generating step for the e commerce giant.

59
 Weakness:-

1) Shrinking margins: due to extensive delivery network & price wars Amazons margins
are shrinking, which is resulting in even losses. In India, Amazon had a loss of $359 crs in
the year 2013-14.
2) Tax avoidance issue: Amazon has attracted negative publicity on account of tax
avoidance in countries like u.s & uk. Most of its revenue is generated from these well
established markets.
3) High debt: in many developing nations Amazon is still struggling to make the business
profitable thereby affecting the overall profitability of the group resulting into high debt.
4) Product flops – Amazon launched the fire phone in the us which was a big flop. At the
same time, kindle fire did not pick up as strongly as kindle did. Thus, there were several
product flops which caused a dent in Amazon’s deep pockets.

 Opportunities:-

1) Backward integration: Amazon can come up with its in-house brands in different
product categories. They can also differentiate their offering. This will help them make
profits in highly competitive e-commerce market.
2) Global expansion: expansion mainly in asian & developing economies will help
Amazon because those are the markets with low competition in e-commerce industries &
are not saturated like developed economies.
3) Acquisitions: by acquiring e-commerce companies it can decrease the competition level
& also can use the specialized capacity of the other company.
4) Opening physical stores outside u.s: by doing this Amazon can help the customers
to engage with the brand, resulting in increase in repeat purchases & increase in loyal
customer base.

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 Threats:-

1) Low entry barriers of the industry: low entry barriers affect the current player’s
business as more & more company means tough competition, price wars, shrinking
margins & losses resulting into questioning the sustainability of the players.
2) Government regulations: not having clarity on the issues related to FDI in multi
brand retail, has been a big hurdle in the success of the e-commerce players in many
developing nations.
3) Local competition – India has snapdeal and Flipkart who are local e commerce retailers
and are taking away majority of the market. Similarly, there are many local players who
take bites from the market share thereby making it hard for a big player like Amazon to
make profits.

61
Bibliography

62
 BIBLIOGRAPHY

WEBSITES:

www.google.com

www.scribd.com

www.slideshare.com

www.academiaedu.com

www.flipkart.in

www.amazonindia.com

BOOKS:

Marketing management

Author:- Phillip kotler

Marketing management

Author:- C.B gupta

Publication:- Sultan Chand & Sons - Tb

MAGAZINES AND JOURNALS :

Newspapers and publishers
Compay info. guides
Academics journals

63
http://www.nasscom.in/knowledge-center/publications/ecommerce-india-fuelling-billion-
digital-dreams-0

https://www.smartinsights.com/ecommerce/ecommerce-strategy/top-ecommerce-trends-
inform-2017-marketing-strategy/

https://www.smartinsights.com/ecommerce/ecommerce-strategy/top-ecommerce-trends
inform-2017-marketing-strategy/

Research paper by Nandhini Balasubramanian over "Comparative study on customer

satisfaction.

Marketingland.com/wp-content/ml-loads.2014/08/online-shopping-ecommerce-ss-
1920.png

http://www.bloggersideas.com/top-10-online-shopping-sites-in-india-best-shopping-sites-
india/

Kanwal Gurleen (2012), "Consumers Perception Towards online Shopping"

International joural of management & Information Technology.

Goswami (2013), "Customer Satisfaction towards Online Shopping with Special

Reference to Teenage Group of Jorhat Town", Indian Journal of Research.

64
Dhevika V.P.T, Latasri O.T.V, S Karmugil (2014), in their paper "Factors Affecting
Online shopping of Customers"

Saravanan S and Brindha Devi K (2015), "A Study on Online Buying behavior with
special reference to Coimbatore city", International Journal of Commerce, Business and
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Francis Sudhakar K, Habeeb Syed (2016), "A Comparative study between Flipkart and
Amazon India", International Journal of Research in Regional Studies, Law, Social
Sciences ,Journalism and Management Practices.

https://www.researchgate.net/publication/272827967_Customer_Satisfaction_in_Online_
Shopping_a_study_into_the_reasons_for_motivations_and_inhibitions.

http://shodhganga.inflibnet.ac.in/bitstream/10603/3704/12/12_chapter%202.pdf.

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https://www.surveymonkey.com/r/6SRDW9V

65
Questionnaire

66
 QUESTIONNAIRE ON ONLINE SHOPPING
Dear mam,

I am student ……………………………………….. I am conducting this study as part of my

curriculum. You are requested to take out few minutes and help me getting the survey/study
done.

Thanking you

Personal Details:

Name

Mobile No

E-mail Id

Age

1) Have you ever done online shopping?

a) Yes
b) No

2) How often do you shop online?

a) Once in month

b) Once in two month

c) More frequently

d) More often

67
3) Which online site will you prefer most?

a) Flipkart

b )Amazon

c) Snapdeal

d) Paytm mall

e) Others

4) How do you make payments when shopping online?

a) Debit card c) Cash on delivery
b) Credit card d) Third party (Paytm wallet, Paypal etc)

5) Which online service is more satisfied in terms of products, customer care and delivery?
services?
a) Flipkart
b) Amazon
C) others

68
6) How do you choose online shopping site?

a) Referred by friends

b) Advertisements

c) Online reviews

7) Have your encountered any problems with online shopping site? if yes, by which one
a) Flipkart
b) Amazon
c) Others

8) In terms of pricing, with which online shopping site you are satisfied?
a) Flipkart

b) Amazon
c) Snapdeal

d) Paytm

e) Others

9) Which online shopping site will you suggest to your family and friends?

a) Flipkart

b) Amazon

c) Snapdeal

d) Paytm

e) Others

69
10) On which occasions do you make purchase?

a) festivals
b) gifts
c) offers
d) weddings
e) others

11) Does promotional activities impact your purchasing decision?

a) Strongly agree

b) Agree

c) Neither Agree nor Disagree

d) Disagree

e)StronglyDisagree

70
12) How confident are you that your personal information is kept confidential when
buying products online?
a) Extremely confident

b) Quite confident

c) Moderately confident

d) Slightly confident

e) Not at all confident

13) What kind of problem did you faced while doing online shopping?

a) Delay in delivery c) Cheap quality of a product

b) Product damage d) Non delivery

14) of which company are satisfied most for receiving after sales assistance? if any
a) Amazon
b) Flipkart
c) others

15) any other suggestion for improving online shopping?

71