AMUL MILK CO. SM

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ACKNOWLEGEMENT

I would sincerely like to give my heartfelt acknowledgement and

thanks to my parents. Any amount of thanks given to them will never be

sufficient.

I would like to thank the University of Mumbai, for introducing

AMUL MILK CO. thereby giving the student a platform to abreast with

changing business scenario, with the help of theory as a base and

practical as a solution.

I would sincerely like to thank our Principal Prof. K.G.Tapase. I

would also like to thank my project guide Mrs. Ashwini Bachalkar for

his/her valuable support and guidance whenever needed.

I would like to thank the officials of AMUL MILK Co Ltd who

gave me their valuable time and gave explanations for the questions

asked.

I also feel heartiest sense of obligation my library staff members &

seniors who helped in collection of Data and materials and also in this

processing as well as in drafting manuscript.

Last, but not the least, I would like to thank my friends & colleagues for

always being there.

Signature

Dattatary Halge


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DECLARATION

I, Dattatray Annappa Halge student of KARMAVEER BHAURAO

PATIL,COLLEGE, VASHI Studying in M.com. Sem.-II hereby declare

that I have completed this project on EXPORT STRATEGY AMUL

MILK CO. as per the requirements of University of Mumbai as a part

of the curriculum of M.com. Sem.-II course and this project has not

been submitted to any other University or institute for the award of any

degree, diploma etc. the information is submitted by me is true and

original to the best of my knowledge.

Date: - --------------------- ----------------------

Place: Vashi, Navi Mumbai

--------------------------


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RAYAT SHIKSHAN SANTHAS

KARMAVEER BHAURAO PATIL COLLEGE

VASHI, NAVI MUMBAI400703

CERTIFICATE

This is to certify that Dattatray Annappa Halge Student of M.com. Sem.-

II has completed this project on EXPORT STRATEGY AMUL MILK

CO. and has submitted a satisfactory report under the guidance of Prof.

Mrs. Ashwini Bachalkarin the parttiial fulfillment of M.com. Sem.-II

course of University of Mumbai in the academic year 2013-2014.

-------------------- -------------------- --------------

Project Guide Coordinator principal

---------------------------

External


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-: CONTENTS :-

Sr. No. CHAPTER Page No.

1. INTRODUCTION 6

2. INTRODUCTION TO THE PROBLEM

Objective of the Study Scope of the study

9

10

3. PROFILE OF THE COMPANY 11

4. THEORETICAL PERSPECTIVE 15

5. METHODOLOGY

Data Collection Methods & Sources Sampling Plan

22

26

6.

DATA ANALYSIS & DATA INTERPRITATION 27

7. FINDINGS 32

8. LIMITATION 33

9.

CONCLUSION & RECOMMENDATIONS

Conclusion Recommendation

34

35

10.APPENDIX

Bibliography 36


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CHAPTER: 1

INTRODUCTION

-: PRODUCT DIVERSIFICATION :-

No company can survive on one product. Companies always try tomanufacture more then one product.This is diversification. Thediversification is on going process. Company can survive through adverseeconomic condition of the market if it has multi product and multi segmentbase. The strategies of diversification can include internal development ofnew products or markets, acquisition of a firm, alliance with acomplementary company, licensing of new technologies, and distributing orimporting a products line manufactured by another firm. Generally, the finalstrategy involves a combination of these options.

This combination is determined in function of available opportunitiesand consistency with the objectives and the resources of the company Anymodification of a current product that serves to expand the potential market

implies that the company is following a strategy of product diversification.The product diversification strategy is different from product developmentin that it involves creating a new customer base, which by definition expandsthe market potential of the original product. This is almost always donethrough brand extensions or new brands, but in some cases the productmodification may "create" a new market by creating new uses for theproduct.

Diversification is part of the four main growth strategies defined by theProduct/Market An soff matrix:-


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An off pointed out that a diversification strategy stands apart from the

other three strategies. The first three strategies are usually pursued with thesame technical, financial, and merchandising resources used for the originalproduct line, whereas diversification usually requires a company to acquirenew skills, new techniques and new facilities.

The product diversification strategy is different from productdevelopment in that it involves creating a new customer base, which bydefinition expands the market potential of the original product. This isalmost always done through brand extensions or new brands, but in some

cases the product modification may "create" a new market by creating newuses for the product. Teen People was an example of product diversificationsince it was a new product that expanded the market potential of the originalproduct, People magazine.

While some teenagers undoubtedly People magazine, they were notPeople's target market. Eventually, however, the product and Web site weremerged into the People brand. Courtyard by Marriott and Marriott offeredthose new brands they had little potential to expand sales in the business

and budget categories. Marriott had business and budget guests, but theywere not specifically targeted, so by concentrating on these two markets theywere able to add to their market potential.

It should be apparent why Marriott could not expand into suchdifferent categories with their original brand name. The main dangers facinga company following a product diversification strategy for a brand are that it
http://en.wikipedia.org/wiki/File:Ansoff_diversification.JPG


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could fail to adequately understand the new customer base and that any newbrand name may result in loss of meaning for the original brand and/orcannibalization of the original brand, particularly if it is a brand extension.Though diversification has been disastrous for many firms, diversified firms

can also be successful . Studies have found no obvious differences betweenhigh- and low-performing diversified firms along several important strategicdimensions. Categorization of firms into the 4 diversification-performancegroups is remarkably balanced.

High-performing firms are just as likely to be more diversified as they are tobe less diversified. Low-performing firms are just as likely to be lessdiversified as they are to be more diversified. No significant performancedifferences between high-performing more or less diversified firms. Higher

levels of diversification are not incompatible with high performance -- nordo they necessarily imply that firms will suffer lower performance levels. Italso seems to increase its market share to launch a new product that helpsthe particular company to earn profit.

For instance, the addition of tomato ketchup and sauce to the existing"Maggi" brand processed items of Food Specialties Ltd. is an example oftechnological-related concentric diversification. Also, as noted in theexample before, diversification can only reduce unsystematic risk. No

amount of diversification can reduce or eliminate systematic risk, whichaffects all of the markets at the same time.

Always have a blend of stocks from different groups and sectors to diversifynot only company-specific risk but also industry-specific or other group-specific, diversifiable risks. Index funds and ETFs from different assetclasses can also be used to diversify a portfolio. The only non-diversifiablerisk is the so-called systematic risk, that is, the market risk for all stocks as a

whole. And that is why investments in other markets such as the bond andcommodity markets should also be used.


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CHAPTER: 2

INTRODUCTION TO THE PROBLEM

A STUDY ON PRODUCT DIVERSIFICATION

AT AMUL MILK NAHUR( MUMBAI )

-:OBJECTIVE OF THE STUDY:-

To identify, How can Amul Milk make a good image in the market. To identify, Why Amul milk Expand business turnover. To identify, Why Amul milk is a market king in a milk product. To identify, How can increase demand of Amul milk product in

market.

To identify, Which strategy are used for product diversification. To know the preference of Amul Milk products with comparison to

Other competitive brands.

To know in which segment Ice cream are mostly like/preferred. To know Why people deciding purchase that product.


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SCOPE OF THE STUDY

The scope is confined to Mumbai region and male and female

customer .scene the project is on milk sector.

Primary data is the specificinformation collected by the person who is

doing the research .it can be obtain through clinical trial ,case study ,

true experimentand randomized controlled study.

This information can be analyzed by other expert who made decide totest the validity of data by repeating the same experiment.


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CHAPTER: 3

PROFILE OF THE COMPANY

AMUL MILK

ANAND MILK UNION LIMITED

THE KAIRA DISTRICT CO-OPERATIVE MILK

PRODUCERS UNION LIMITED.


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In the year 1946 the first milk union was established. This union was started

with 250 liters of milk per day. In the year 1955AMUL was established. In the

year 1946 the union was known as KAIRA DISTRICT CO-OPERATIVE

MILK PRODUCERS UNION. This union selected the brand name AMUL in

1955.

The brand name Amul means AMULYA. This word derived form

the Sanskrit word AMULYA which means PRICELESS. A quality

control expert in Anand had suggested the brand name AMUL. Amul

products have been in use in millions of homes since 1946. Amul Butter,

Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul Chocolates,

Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya havemade Amul a leading food brand in India. Today Amul is a symbol of many

things like of the high-quality products sold at reasonable prices, of the

genesis of a vast co-operative network, of the triumph of indigenous

technology, of the marketing savvy of a farmers' organization. And have a

proven model for dairy development (Generally known as ANAND

PATTERN).

Amul has spurred the White Revolution of India, which has made

India the largest producer of milk and milk products in the world. It is also

the world's biggest vegetarian cheese brand. Besides India, Amul has entered

overseas markets such as Mauritius UAE, USA, Oman, Bangladesh, Australia,

China, Singapore, Hong Kong and a few South African countries. Its bid to

enter Japanese market in 1994 did not succeed, but now it has fresh plans

entering the Japanese markets. Other potential markets being considered

include Sri Lanka.


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The turnover of GCMMF (AMUL) during 2010-11 was Rs. 97.74 billion.

It markets the products, produced by the district milk unions in 30 dairy

plants, The farmers of Gujarat own the largest state of the art dairy plant in

Asia Mother Dairy, Gandhinagar, Gujarat which can handle 2.5 million

litters of milk per day and process 100 MTs of milk powder daily.

The Union looks after policy formulation, processing and marketing of

milk, provision of technical inputs to enhance milk yield of animals, the

artificial insemination service, veterinary care, better feeds and the like - all

through the village societies. Basically the union and cooperation of people

brought Amul into fame i.e. AMUL (ANAND MILK UNION LIMITED), a

name which suggest THE TASTE OF INDIA.

The system succeeded mainly because it provides an assured market at

remunerative prices for producers' milk besides acting as a channel to

market the production enhancement package. What's more, it does not

disturb the agro-system of the farmers. It also enables the consumer an

access to high quality milk and milk products.

Contrary to the traditional system, when the profit of the business was

cornered by the middlemen, the system ensured that the profit goes to the

participants for their socio-economic upliftment and common good.Bring at

the command of the rural milk producers the best of the technology and

harness its fruit for betterment.Provide a support system to the milk

producers without disturbing their agro-economic systems.


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Achievements of Amul

3.1 million milk producer member families.

15,760 village societies. 15 District Unions. 9.4 million liters of milk procured per day . Rs. 150 million disbursed in cash daily . GCMMF is the largest cooperative business of small producers with an

annual turnover of Rs. 53 billion.

The Govt. of India has honoured Amul with the Best of all categoriesRajiv Gandhi National Quality Award.

Largest milk handling capacity in Asia. Largest Cold Chain Network. 48Sales offices, 5000 Wholesale Distributors, 7 lakh retail outlets. Winner of APEDA award for nine consecutive years.

GCMMF (AMUL) has the largest distribution network for any FMCGcompany. It has nearly 50 sales offices spread all over the country,more than 5,000 wholesale dealers and more than 7,00,000 retailers.

AMUL is also the largest exporter of dairy products in the country.AMUL is available today in over 40 countries of the world. AMUL isexporting a wide variety of products which include Whole andSkimmed Milk Powder, Cottage Cheese (Paneer), UHT Milk, ClarifiedButter (Ghee) and Indigenous Sweets

In September 2007, Amul emerged as the leading Indian brandaccording to a survey by Synovate to find out Asia's top 1000 Brands.

In 2011, Amul was named the Most Trusted brand in the Food andBeverages sector in The Brand Trust Report published by TrustResearch Advisory.


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CHAPTER: 4

THEORETICAL PERSPECTIVE

MEANING OF PRODUCT DIVERSIFICATION :-

Diversification is the process of entering new business markets with newproducts. Such efforts may be undertaken either through acquisitions orthrough extension of the company's existing capabilities and resources. Thediversification process is an essential component in the long range growthand success of most thriving companies, for it reflects the fundamentalreality of changing consumer tastes and evolving business opportunity. Butthe act of diversifying requires significant outlays of time and resources,making it a process that can make or break a company. Small businessowners, then, should carefully study diversification optionsand their ownfundamental strengthsbefore proceeding. "The range of success [ofdiversification efforts] varies considerably," observed the editors ofthe Complete MBA Companion. "The odds of success decline precipitouslythe further the firm strays from existing competencies."

DEFINATION:-

The process of expanding business opportunities through additionalmarket potential of an existing product diversification may be achived byentering into additional market and pricing strategies often the product maybe improved , altered or changed or new marketing activities are developed .the planning process includes market research , product, product adaptationand legal review.

Analysts of diversification generally break such efforts down into twocategories: 1) related or concentric diversification, and 2) unrelatedor conglomerate diversification. "In related diversification," wrote HenryMint berg and James Brian Quinn, authors of The Strategy Process: Conceptsand Contexts,"there is evident potential synergy between the new businessand the core one, based on a common facility, asset, channel, skill, even


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opportunity." But they also noted that "no matter what its bases, everyrelated diversification is also fundamentally anunrelated one, as manydiversifying organizations have discovered to their regret. That is, no matter

what is common between two different businesses, many other things are

not."

Companies diversify either by acquiring already existing businesses orby expanding their own businesses into new markets and new areas ofproduction or service. Acquisition is generally used more frequently by bigcompanies than smaller ones, since most acquisitions require a degreeof financial leverage and health that only larger firms can bring to bear.This means that there is a technological similarity between the industries,

which means that the firm is able to leverage its technical know-how to gain

some advantage. For example, a company that manufactures industrialadhesives might decide to diversify into adhesives to be sold via retailers.The technology would be the same but the marketing effort would need tochange.

It also seems to increase its market share to launch a new product thathelps the particular company to earn profit. For instance, the addition oftomato ketchup and sauce to the existing "Maggi" brand processed items ofFood Specialties Ltd. is an example of technological-related concentric

diversification.

The company could seek new products that have technological or marketing synergies with existing product lines appealing to a new group of customers. This also helps the company to tap that part of the market whichremains untapped, and which presents an opportunity to earn profits.Thebetter-off test: the new unit must either gain competitive advantage from itslink with the corporation or vice versa. Because of the high risks explainedabove, many companies attempting to diversify have led to failure. The cost-

of-entry test: the cost of entry must not capitalize all future profits.


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Goals of Product diversification:-

According to Calorie and Harvatopoulos (1988), there are two dimensions ofrationale for diversification. The first one relates to the nature of the

strategic objective: Diversification may be defensive or offensive. Defensivereasons may be spreading the risk of market contraction, or being forced todiversify when current product or current market orientation seems toprovide no further opportunities for growth. Offensive reasons may beconquering new positions, taking opportunities that promise greaterprofitability than expansion opportunities, or using retained cash thatexceeds total expansion needs.

The second dimension involves the expected outcomes of diversification:Management may expect great economic value (growth, profitability) or firstand foremost great coherence and complementary to their current activities(exploitation of know-how, more efficient use of available resources andcapacities). In addition, companies may also explore diversification just toget a valuable comparison between this strategy and expansion.

RISKSof Product diversification :-

Diversification is the riskiest of the four strategies presented in the An offmatrix and requires the most careful investigation. Going into an unknown

market with an unfamiliar product offering means a lack of experience in thenew skills and techniques required. Therefore, the company puts itself in agreat uncertainty. Moreover, diversification might necessitate significantexpanding of human and financial resources, which may detract focus,commitment, and sustained investments in the core industries. Therefore, afirm should choose this option only when the current product or currentmarket orientation does not offer further opportunities for growth. In orderto measure the chances of success, different tests can be done:-

The attractiveness test: the industry that has been chosen has to be eitherattractive or capable of being made attractive. The cost-of-entry test: the costof entry must not capitalize all future profits. The better-off test: the newunit must either gain competitive advantage from its link with thecorporation or vice versa. Because of the high risks explained above, manycompanies attempting to diversify have led to failure.


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THE REASON FOR PRODUCT DIVERSIFICATION ARE :-

1) Company can survive through adverse economic condition of themarket if it has multi product and multi segment base. If one product

does not do well, other will come to the help. Similarly, if one marketsegment is affected others will help.2) By adding products the company can optimize the use of existing

resources such as plant and machinery, sales force, distributionnetwork etc. this can help in reducing the cost of the product.

3) In industrial products the customers demand specific productsaccording to their specification.

4)The diversification can compliment the sales of existing products forexample , Colgate paste and Colgate toothbrush are complimentary to

each other.5) Related diversification can help in easy acceptance of a new product.Colgate mouthwash can be readily accepted due to popular acceptanceof Colgate toothpaste.

The main dangers facing a company following a product diversificationstrategy for a brand are that it could fail to adequately understand the newcustomer base and that any new brand name may result in loss of meaningfor the original brand and/or cannibalization of the original brand,particularly if it is a brand extension. Though diversification has beendisastrous for many firms, diversified firms can also be successful .Studieshave found no obvious differences between high- and low-performingdiversified firms along several important strategic dimensions.Categorization of firms into the 4 diversification-performance groups isremarkably balanced.. Marriott had business and budget guests, but they

were not specifically targeted, so by concentrating on these two markets theywere able to add to their market potential. It should be apparent whyMarriott could not expand into such different categories with their originalbrand name.


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TYPES OF PRODUCT DIVERSIFICATION:-

1)Related Diversification :-When the diversified product is in the same line of existing product it is

called related diversification. Thus the Bajaj having scooters, motorbike,mopeds etc. is a related diversification. The advantage of relateddiversification are that the existing infrastructure can be optimallyutilized and the reputation of existing product can be useful in easyintroduction of the newer products. The disadvantage of the relateddiversification are that if any of the products in the product line gets badname. Whole the line are affected. Also if the market is affected adverselydue to techno commercial changes all the related products are affected.

2)Unrelated Diversification :-As against related diversification here the products introduced are not

related to the existing products. Thus Godrej introducing refrigerators isin unrelated diversification to its existing range of soaps. Thedisadvantage of unrelated diversification are that it cannot optimizeexisting and reputation for the existing product line. However unrelateddiversification gives the company multi-product and multi market base

which is very useful in adverse market condition.

3)Forward or Backward integration :-Company can also diversify into products which were hitherto used asinputs or go products. Which are help of the products presently by thecompany. When a company diversifies into a product used by it formanufacturing existing products it is called backward integration. Acompany manufacturing ready made garments can startmanufacturing cloth as backward integration. The advantage ofbackward integration is that you can get the control over the qualitycost and delivery of the inputs. On the other hand if a cloth

manufacturing company starts manufacturing ready-made garments itis forward integration. Mafatlal Fabrics starting to manufacturingMafatlal apparels was an example of forward integration. Advantage offorward integration is that you can add value to your product and getbetter profits. a competitive edge.


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Ways to Diversify a Portfolio:-

Diversification can be done amongasset categories and within an asset

category. For example, an investor can choose to include stocks, bonds, andannuities in a portfolio to have a balanced risk and return. When stocks aredown, returns in bonds and annuities can make up part of the losses. But

when stocks are up, average performances of bonds and annuities can alsobring down the portfolios total return. Always have a blend of stocks fromdifferent groups and sectors to diversify not only company-specific risk butalso industry-specific or other group-specific, diversifiable risks. The onlynon-diversifiable risk is the so-called systematic risk, that is, the market riskfor all stocks as a whole. And that is why investments in other markets such

as the bond and commodity markets should also be used.

Prices of securities do not always move in a correlated way, whetherthey be stocks, bonds, or any other type of security. A price decrease in onesecurity can be offset by a price increase in a different security, and the moresecurities you mix into a portfolio, the greater the probability of thisoffsetting price movement. Therefore, by mixing more securities into aportfolio of investments, the overall risk (measured in terms of portfolio

variance) will be dampened by these offsetting price movements. Thus

diversification offers investors a way to obtain the same expected return withlower risk and variance in their returns.

A simple example may help clarify the concept. Suppose you live onan island, and you want to invest in toy companies for children. There aretwo extremely similar toy companies (Company A and Company B), sellingsimilar toys, and both companies' toys are equally popular. If you do notdiversify, you buy stock in only Company A. If a firm specific risk negativelyimpacts Company A, such as its factory burns down, then you will have a

major loss, and investors in Company B will have a major gain since it wouldbecome the only toy company left. However, if you diversify and buy stock inboth Company A andCompany B, then the large loss in Company A will beoffset by the equally large gain in Company B. Notice that by diversifying, aninvestor is able to reduce the unsystematic risk, the risk associated with onlya single company (in this case the risk of fire). Systematic risk cannot be


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eliminated by diversification. For instance, ifchildren no longer like to playwith toys, then the entire market for toys has been adversely affected, andnot simply an individual firm. In the case of systematic risk, diversificationcannot reduce this risk; diversification can only reduce unsystematic risk. Is

the process of spreading the total investment money available acrossdifferent asset classes, countries, industries, and individual companies.Diversification also entails choosing investments that are, as far as possible,uncorrelated, which means that when investment A is performing poorly,investment B is likely to be performing well. A prudent investor diversifiestheir holdings in a diversified portfolio of assets.

Limits to diversification:-

There are limits to how "diversified" a portfolio can get. Morediversification can always be achieved by adding more and moresecurities to a portfolio, and in theory a portfolio is not fully diversifieduntil you hold investments in every security that exists in the world.More practically, there are clearly decreasing marginal benefits todiversification. For stocks, generally accepted numbers are roughly 25-30 stocks to achieve sufficient diversification. Because it is costly todiversify, individual investors may find index funds, closed-end fundsor mutual funds an attractive option to buy a share of an alrjutineady

well diversified pool of investments.

Also, as noted in the example before, diversification can only reduceunsystematic risk. No amount of diversification can reduce oreliminate systematic risk, which affects all of the markets at the sametime.
http://www.wikinvest.com/wiki/Diversification?action=edit&section=2


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CHAPTER: 5

Methodology

DATA COLLECTION METHODS & SOURCESData collection is a term used to describe a process of preparing and

collecting data.The purpose of data collection is to obtain information to

keep on record, to make decisions about important issues, to pass

information on to others. Data collection is an important aspect of any type

of research study. Inaccurate Data collection can impact the results of a

study and ultimately lead to invalid results. Data collection methods for

impact evaluation vary along a continuum. Data Collection is very important

for product diversification.

Research methodology is a way to systematically do the job. It may be

understood as a science of studying how research is done scientifically. The

most desirable approach with regards to the selection of the research

methodology depends on the nature of particular work, time and resources

available along with the desire level of accuracy.

Methodology is a way to systematically solve the research problem. It may beunderstood as a science of study how research is done systematically. Thisresearch Performance management system in which problems and findingsare generated from the calculations. When some deduction is made fromdata then a problem is located regarding the same and reasons for the sameare also searched In the end suggestions and recommendations are made tomake research meaningful and worthy to improvise on the same.


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Research was carried out at Amul milk to find out the Consumer

Satisfaction.

In this research project the researcher option following two ways of datacollection.

1. Primary Data2. Secondary Data1. Primary Data :-

Primary data was collected through survey method by distributing

questionnaires to branch manager and other sales manager. It serves

as an original source of information about the topic. Primary Data alsocalled as raw data. Raw data can be input to a computer programmers

or used in manual analysis.The Primary data is widely used in

academic market research, market research and competitive

intelligence.Primary data is information collected by the researcher

directly through instruments such as surveys, interviews, focus groups

or observation.Primary data is utilized for any other purpose at some

subsequent enquiry.

2. Secondary Data :-Data collected & complied by someone other than theResearcher for

purpose not directly related to the studyresearch projectunder study.

Information that already exists somewhere, having been collected for

another purpose. Sourcesinclude census reports, trade publications,

and subscription services. There are two types of secondary data:

internal and external secondary data.Secondary data for social scienceinclude censuses, surveys, organizational records and data collected

through qualitative methodologies or qualitative research.Secondary

data, on the other hand, is basically primary data collected by someone

else. Researchers reuse and repurpose information as secondary data.

METHODS:-


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Following are the methods which I have used for Primary Data Research1. Questionnaire Method.

Open Ended Questions. Closed Ended Questions. Multi Choice Questions.

2. Observation Method.3. Interview Method.

Following are the Methods which I have used for Secondary Data Research.

1. Official Statistics, Mass media products.2. Diaries, Letters.

3. Government Reports,4. Books, Magazines, Journals, Newspapers.5.Web information

RESEARCH PROCESS

I am using this following research process.

Extensive Literature Survey. Formulating the research problems Design of Questionnaire. Determining the Sample size. Collection of Data. Analysis of Data. Generalization and Interpretation. Preparation for the report.

RESEARCH DESIGN:


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It is a Descriptive research. The study was based on both primary and

secondary data. The primary data was collected through the questionnaire

methods. Secondary data was collected through company websites,

journalism discussions with company guide. This stage shall help me to

restrict and select only the important question and issue.

Exploratory Research Design

Focus Group. Primary Data Analysis.

DESCRIPTIVE RESEARCH:

Steps in descriptive research.

Identification of information needed to solve the problem. Selection or development of instrument for gathering the

information.

Identification of target population and determination ofsampling plan.

Design of procedure for information collection. Collection of information. Analysis of information. Generalization or prediction.


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Sample size

Sample size determination is the act of choosing the number of observations

to include in a statistical sample. Sampling is giving more accurate data.

When the units are very large. Sampling gives scope for more accurate data.

It is the process of obtaining process of entire population by examining only

a part of in which generalization or influence are drawn based on the sample

about parameter of population from which samples are taken. The

researcher cannot discharge his work with the level of diligence as is

required in dealing with a large population. Collection of data from all units

leads to administrative problems and therefore in depth study becomes

difficult. Samplingis that part of statistical practice concerned with the

selection of a subset of individual observations within a population of

individuals intended to yield some knowledge about the Population of

concern, especially for the purposes of making predictions based on

statistical inference.

In my project Sample Size is 100. Area covered by Mumbai. In this project

use judgmental sample Random. Types of questions are closed ended

question, open ended question. In these 120 people are which included

Receptionist, Director, HRM, G.M., Sales manager, Sales Specification

Manager, Sales Executive officer, Sales Executive Manager, Marketing

Manager, Marketing Sales Personnel, Customers of which Siemens company

products are use etc


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CHAPTER: 6

DATA ANALYSIS &DATA INTERPRITAION

-: QUESTIONNAIREs :-

ANAND MILK UNION LIMITED

THE KAIRA DISTRICT CO-OPERATIVE MILKPRODUCERS UNION LIMITED

( AMUL MILK )

Survey area Nahur ( Mumbai )

I have met with around 100 milk retailers and customers and I found thefollowing information from the respondent for the relevant questionnaire :-

Amul : market Image

Product Good Best Excellence

Amul 20% 30% 50%


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Profit in product (out of 100)

Amul milk Ghee Ice cream Butter

70% 65% 93% 55%

Market Image

Good

Best

Excellent

Prrofit

Amul Milk

Ghee

Ice Cream

Butter


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(1) Profit of Amul than other

Demand for product in marketDemand Age group (child) Middle Age person

Amul production 56% 34% 10%

Amul's Competiter

Amul

Gokul

Varna

Mahananda

Demand(Age Group)

Child

Middle

Age Person

Amul 40%

Gokul 35%

Varna 15%

Mahananda 10%


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Prefrance by consumer to Amul than other

Brand Prefrance by consumer

Gokul 30%

Amul 35%

Varna 25%

Mahananda 10%

People preferred Because of

Price Good image Flome delivery Quality

25% 30% 20% 25%

Preference

Gokul

Amul

Varna

Mahananda

Preference

Price

Good Image

Home Delivery

Quality


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(1) Retailer keep the Amul product because ofQuality Market demand Profit margin

60% 20% 20%

Product Of Amul

Quality

Market DemandProfit


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CHAPTER: 7

FINDINGS

In my survey work I found some things as follow:-

Company have good marketing image. Company have large working capital. Because of good image Amul is a king of market. Main competitor of amul is gokul. They have a good business in city area. Amuls are proper utilize of their recourses. Consumer retailers first choice is amul products.


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CHAPTER: 8

LIMITATION

When I study this project, I got an opportunity to learn about ANAND

MILKUNION LIMITED COMPANY. During this period I learn some

limitation. They are as follow..

In my project some retailer and customers do not give right answer inmy questions.

My project time is 3 week's. its very limited time to understand wholemarket.

Some time people are not interested to give me answer.

My project working area (NAHUR) its so small to understand wholediversification of amul.

Sometimes it was very difficult to get the necessary information asfilling the questionnaire required time.

Because of the less data I didnt study more deeply about the productdiversification satisfaction of the company.


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CHAPTER: 9

CONCLUSIONS &RECOMMENDATIONS

-:CONCLUSIONS:-

High-performing firms are just as likely to be more diversifiedas they are to be less diversified. Low-performing firms are just as

likely to be less diversified as they are to be more diversified. Nosignificant performance differences between high-performing moreor less diversified firms. Higher levels of diversification are notincompatible with high performancenor do they necessarily implythat firms will suffer lower performance levels.

It also seems to increase its market share to launch a newproduct that helps the particular company to earn profit. For

instance, the addition of tomato ketchup and sauce to the existing"Maggi" brand processed items of Food Specialties Ltd. is anexample of technological-related concentric diversification. Also,as noted in the example before, diversification can only reduceunsystematic risk. No amount of diversification can reduce oreliminate systematic risk, which affects all of the markets at thesame time.


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-:Recommendation:-

Company must focus on each and every product equally. Company must be providing discounting, scheme & Free offers.

Company must provide retailer some facility to store theirdifferent product.

Company can reduce their product price because not only high,middle class but also lower class people are able to buy it.

Company can take brand ambassador for advertising theirdifferent product.

Company maintain good image for each and every productbecause if one product are fail in minds of consumer companyloose their market image for all brands.

Company use their total recourses it will help to increase theirprofit margin.


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-:BIBLIOGRAPHY:-

1. Philip Kotler- Marketing Management- 10thEdition- Prentice Hall Publication.2. C.R.Kotheri- Research Methodology (Methods Techniques)- 2ndEdition- New

Age International(Pvt) Publication

3. Research MethodologyTY.BBA (Tilak Maharashtra University)4. Marketing product diversification : Strategies and Programs", Guiltinan

et al., McGraw Hill/Irwin, 1996.

5. Sandhusen, Richard L.: Marketing (2000) 4thEdition..6. Marketing Research An Applied Orientation Naresh Malhotra.

Reference

www.amul.co.in

www.amul.com

www.amul-enterprise.com


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