A

Project Report On

“A Study of Consumer Durable Market

For Samsung Electronics Ltd”

With Special References to Indore Dist.

Under The Guidance Of

Prof. J.C Chaturvedi

Submitted To D.A.V.V University

Submitted By Mr. Anand Gupta

School Of Commerce

Institute Of Business Management & Administration.

Indore (M.P) Dist. Indore- 452003

Student Declaration

I hereby declare that this project report titled “The Study of Consumer Durable Market with Special Reference to Indore District” in SAMSUNG

ELECTRONICS LTD. is executed as per the course requirement for the post

graduate program in management. I have not been submitted by me or any other

person to any other university or institution for degree or diploma. It‘s my own work.

Place: Indore Date: 24 -April -2010 Anand Gupta .

MBA (F.T)

(2008-2010)

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ACKNOWLEDGEMENT

In this project I have made an honest and dedicated attempt to make the research

material as authentic as it could. And I earnestly hope that it provides useful and

workable information and knowledge to any person reading it.

During this small time frame of two months in which the project reached its

completion, there were a few people whom I would like to make a mention of and

without whose help the project would have never seen the light of the day.

I also thank to my internal guide Prof. J.C.Chaturvedi for his timely response

via e-mail, which immensely helped in giving the project the initial direction it needed.

I would like to thank my external guide Santosh Keseri (Marketing Executive)

who gave me a free hand as far as going about the project work was concerned.

I dedicate this project to the Dealers of Indore district who were extremely kind

and who at times went out of the way to help me. Without their co-operation it would

have perhaps not been possible to research a few places, which I did, within the

stipulated time frame.

Anand Gupta MBA (FT)

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Preface

We look our training at SAMSUNG ELECTRONICS LTD. Indore. During the training

was to get an overview of the Consumer Durable Market of Indore district. It was a

firsthand experience to get exposed to the professional set-up and face the market,

which was really a great experience. Training period was a learning experience.

When business is involved, an experience counts a lot. Experience is an instrument,

which leads towards success. Working with SAMSUNG ELECTRONICS LTD., has

been a pleasure

I take this opportunity to present the project report and sincerely hope that it will be

as much knowledge enhancing to the readers as it was to use during the fieldwork

and the compilation of the report.

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INDEX

Sr.no. Contents Page no.

1. Introduction

2. Industry Profile

3. Company Profile

4. Product Profile

5. Objective of Study

6. Research Methodology

1.Primary data

2. Secondary data

3.Sampling

4. Scope of the study

5.Limitations of the study

7. Theoretical Background of the study

8. Data Analysis

9. Findings

10 Recommendations

11 Conclusion

10. Bibliography

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INTRODUCTION Before the liberalization of the Indian economy, only a few companies like Kelvinator,

Godrej, Alwen, and Voltas were the major players in the consumer durables market,

accounting for no less than 90% of the market. Then, after the liberalization, foreign

players like LG, Sony, Samsung, Whirlpool, Daewoo, and Aiwa came into the

picture.

Today, these players control the major share of the consumer durables market.

Consumer durables market is expected to grow at 10-15% in 2007-2008. It is

growing very fast because of rise in living standards, easy access to consumer

finance, and wide range of choice, as many foreign players were entering in the

market with the increase in income levels, easy availability of finance, increase in

consumer awareness, and introduction of new models, the demand for consumer

durables has increased significantly. Products like washing machines, air

conditioners, microwave ovens, color televisions (C-TV) were no longer considered

luxury items. However, there were still very few players in categories like vacuum

cleaners, and dishwashers Consumer durables sector is characterized by the

emergence of MNCs, exchange offers, discounts, and intense competition. The

market share of MNCs in consumer durables sector is 65%. MNC's major target is

the growing middle class of India. MNCs offer superior technology to the Consumers

whereas the Indian companies compete on the basis of firm grasp of the local

market, their well-acknowledged brands, and hold over wide distribution network.

However, the penetration

Level of the consumer durables is still low in India.

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Indian Consumer durables market used to be dominated by few domestic players

like Godrej, Voltas, Allwyn and Kelvinator. But post liberalization many foreign

companies have entered

into Indian market dethroning the Indian players and dominating Indian market the

major categories being CTV, REFRIGRATOR, MICROWAVE OVEN and WASHING

MACHINES.

India being the second largest growing economy with huge consumer class has

resulted in consumer durables as the fastest growing industries in India. LG,

SAMSUNG the two Korean companies have been maintaining the lead in the market

with LG being leader in almost all the categories.

The rural market is growing faster than the urban market, although the penetration

level is much lower .The CTV segment is expected to the largest contributing

segment to the overall growth of the industry. The rising income levels double-

income families and consumer awareness were the main growth drivers of the

industries.

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INDUSTRY PROFILE

The Consumer Durables industry consists of durable goods and appliances for

domestic use such as televisions, refrigerators, air conditioners and washing

machines. Instruments such as cell phones and kitchen appliances like microwave

ovens were also included in this category. The sector has been witnessing significant

growth in recent years, helped by several drivers such as the emerging retail boom,

real estate and housing demand, greater disposable income and an overall increase

in the level of affluence of a significant section of the population. The industry is

represented by major international and local players such as BPL, Videocon, Voltas,

Blue Star, MIRC Electronics, Titan, Whirlpool, etc.

The consumer durables industry can be broadly classified into two segments:

Consumer Electronics and Consumer Appliances. Consumer Appliances can be

further categorized into Brown Goods and White Goods. The key product lines under

each segment were as follows.

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Industry Size, Growth, Trends

The consumer durables market in India was estimated to be around US$ 5 billion in

2007-08. More than 7 million units of consumer durable appliances have been sold

in the year 2006-07 with colour televisions (CTV) forming the bulk of the sales with

30 per cent share of volumes. CTV, refrigerators and Air-conditioners together

constitute more than 60 per cent of the sales in terms of the number of units sold.

In the refrigerators market, the frost-free category has grown by 8.3 per cent while

direct cool segment has grown by 9 per cent. Companies like LG, Whirlpool and

Samsung have registered double-digit growth in the direct cool refrigerator market.

In the case of washing machines, the semi-automatic category with a higher base

and fully-automatic categories have grown by 4 per cent to 526,000 units and by 8

per cent to 229,000 units, respectively. In the air-conditioners segment, the sales of

window ACs have grown by 32 per cent and that of split ACs by 97 per cent.

Since the penetration in the urban areas for these products is already quite high, the

markets for both C-TV and refrigerators were shifting to the semi-urban and rural

areas. The growth across product categories in different segments is assessed in the

following sections.

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Consumer Electronics

The CTV production was 15.10 million units in 2007-08 and is expected to grow by at

least 25 per cent. At the disaggregated level, conventional CTV volumes have been

falling while flat TVs have grown strongly. Market sources indicate that most CTV

majors have phased out conventional TVs and have been instead focusing more on

flat TVs. The flat segment of CTVs now account for over60 per cent of the total

domestic TV production and is likely to be around 65 per cent in 2007-08.High-end

products such as liquid crystal display (LCD)and plasma display CTV grew by 400

per cent and 150 per

Cent respectively in 2009–10 following a sharp decline in prices of these products

and this trend is expected to continue. The audio/video player market has seen

significant growth rates in the domestic market as prices have dropped. This trend is

expected to continue through 2009- 2010, as competition is likely to intensify to scale

and capture the mass market.

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COMPANY PROFILE

SAMSUNG – Introduction

Our Vision

Samsung is guided by a singular vision: to lead the digital convergence movement. We believe that through technology innovation today, we will find the solutions we

need to address the challenges of tomorrow. From technology comes opportunity for

businesses to grow, for citizens in emerging markets to prosper by tapping into the

digital economy, and for people to invent new possibilities.

It‘s our aim to develop innovative technologies and efficient processes that create

new markets, enrich people‘s lives and continue to make Samsung a trusted market

leader

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Our Mission

Everything we do at Samsung is guided by our mission: to be the best ―digital-

Company .Samsung grew into a global corporation by facing challenges

directly. In the years ahead, our dedicated people will continue to

embrace many challenges and come up with creative ideas to develop

products and services that lead in their markets. Their ingenuity will

continue to chart Samsung‘s course as a profitable, responsible global

corporation.

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SAMSUNG HISTORY

2009 -2010

Today the company still grows and is a household name for appliances and regarded as one of the top five industrial giants on the planet. They are also the official sponsors of the Olympic games from 2010 to 2016 taking in both the Olympic games and the winter Olympic games

Samsung will officially sponsor the Olympic Games and the Olympic Movement for the next eight years, a deal that covers the Vancouver Olympic Winter Games in 2010, the London Olympic Games in 2012, the 2014 Olympic Winter Games, and the 2016 Olympic Games.

Named Yoon-Woo Lee as a Vice Chairman & CEO of

Samsung Electronics

Launched OMNIA phone

Completed establishing TV manufactory in Russia

Kaluga

Became the official sponsor of 2010 Guangzhou Asian

2008 Game

Developed the world's first 2Gb 50 NANO

Samsung takes No. 1 spot in U.S. cellphone market

Opened Global Brand PR Centre ‗Samsung D'light'

No.1 worldwide market share position for TVs achieved

for the 9th quarter in a row

No.1 worldwide market share position for TVs achieved

for the seventh quarter in a row

Developed the world's first 30nm-class 64Gb NAND

2007 Flash™ memory

BlackJack bestowed the Best Smart Phone award at

CTIA in the U.S.

Attained No.1 worldwide market share position for LCD

for the sixth year in a row

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2006 Developed the world's first real double-sided LCD

Developed the worlds' first 50nm 1G DRAM

Unveiled 10M pixel camera phone

Launched "Stealth Vacuum," a vacuum cleaner with the

world's lowest level of noises

Launched the worlds' first Blu-Ray Disc Player

Developed 1.72"Super-Reflective LCD Screen

September, 2005 The India Retail Forum has awarded Samsung as the Best

Retailer of the year 2005 in the consumer Durables category.

James Damian, SVP, Best Buy and his team handed over the

award to Mr. Ravinder Zutshi, Dy MD and Samsung India at

the India Retail award function held in Mumbai on 16th

September.

February 2005 Mr. S. H. Oh appointed as the President and Chief Executive

Officer of Samsung South West Asia.

November 2004 Samsung received the Golden Peacock Special

commendation Certificate for Corporate Social Responsibility

(Private Sector) for the year 2004 from Mr. Shivraj Patil, Union

Home Minister.

February 2004 India made regional headquarters for Samsung Southwest

Asia.

February 2004 Mr. K. S. Kim appointed as the First President and Chief

Executive Officer of Samsung South West Asia.

November 2003 Inaugurated Samsung's new, High-Tech, advanced

Refrigerator facility.

August 2003 Commencement of production at refrigerator facility in Noida.

June 2003 Merger of SIEL with SEIIT. Software technology park set up at Noida

December 2002 Construction commences for 5,000,000 refrigerator plant in

Noida

October 2002 Samsung unveils new technology for Consumer Home

Entertainment (DNIe™)

June 1996 Foundation Stone laid for CTV Factory at Noida, Uttar

Pradesh.

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May 1996 Launch in South

Home Appliances Launch

December 1995 Samsung India Electronics (SIEL) products launched in India.

August 1995 Certificate for commencement of business received by

Samsung

GROWING TO BE THE BEST Samsung India aims to be the ‗Best Company‘ in India by the Year 2006. ‗Best

Company‘ in terms of both the internal workplace environment as well as the

external context in which the Company operates. Samsung aims to grow in India by

contributing to the Indian economy and making the lives of its consumers simpler,

easier and richer through its superior quality products.

―Our aim is to gain technological leadership in the Indian marketplace even as our

goal is to earn the love and respect of more and more of our Indian consumers. Mr.

S.H. Oh, President & CEO Samsung South-West Asia Regional Headquarters.

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Samsung in India

Samsung India is the hub for Samsung‘s South West Asia Regional operations. The

South West Asia Regional Headquarters looks after the Samsung business in Nepal,

Sri Lanka, Bangladesh, Maldives and Bhutan besides India. Samsung India, which

commenced its operations in India in December 1995, today enjoys a sales turnover

of over US$ 1Bn in just a decade of operations in the country.

Headquartered in New Delhi, Samsung India has a network of 19 Branch Offices

located all over the country. The Samsung manufacturing complex housing

manufacturing facilities for Colour Televisions, Colour Monitors, Refrigerators and

Washing Machines is located at Noida, near Delhi. Samsung ‗Made in India‘

products like Colour Televisions, Colour Monitors and Refrigerators were being

exported to Middle East, CIS and SAARC countries from its Noida manufacturing

complex. Samsung India currently employs over 1600 employees, with around 18%

of its employees working in Research & Development.

SAMSUNG GLOBAL

The DNA of Digital Innovation

Samsung Electronics is a global leader in semiconductors, telecommunications,

digital media and digital convergence technologies with 2004 parent company sales

of US$55.2Bn and net income of US$10.3Bn. Employing approx. 113,000 people in

over 90 offices in 48 countries, the company has of 5 main business units: Digital

Appliance Business, Digital Media Business, LCD Business, Semiconductor

Business and Telecommunication Network Business. Recognized as one of the

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fastest growing global brands, Samsung Electronics Corporation is the world‘s

largest pro ducer of Colour Monitors, Colour TVs, Memory Chips and TFT LCD‘s.

Customized products for Indian Consumers

Samsung understands the local cultural sensibilities to customize its products

according to the Indian market. It has set up a ―usability lab at the Indian Institute of

Technology in New Delhi to customize Samsung products to meet the specific needs

of Indian consumers. This industry-institute partnership is helping Samsung to study

and analyze consumer response in aspects of product design, including aesthetics,

ergonomics and interface.

Through its research done on consumer preferences in India, Samsung has

concluded that Indian consumers want more sound oriented products. Thus, the

Samsung televisions for India have a higher sound capacity than their foreign

counterparts.

For the semi-automatic segment of Samsung washing machines, Samsung has

introduced for the first time in India a feature called Super Dry. It is present in three

of Samsung‘s semi-automatic models and dries the clothes better than the rest.

Samsung washing machines have an additional menu that takes care of the local

Indian wardrobes. They also have a ‗memory re-start‘ that takes care of the frequent

power failures in India.

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PRODUCT PROFILE 650 Series Full HD LC D TV

Developed using our unique Crystal Design with a hint of

rose-red color accentuating a traditional piano-black

bezel frame, the 650 Series LCD TV features Auto Motion

Plus 120Hz, an Ultra Clear Panel, DNIe Pro and Wide

Color Enhancer Pro to provide perfect picture quality.

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Wide Video MP3 Player (YP-P2)

Equipped with Bluetooth and a touch screen interface,

the YP-P2 lets consumers enjoy vivid videos on a 3-inch

wide LCD screen. Samsung‘s proprietary DNSe 2.0

technology with EmoTure™ UI enhances the ultimate multimedia experience.

VRT Front Loading Washer

Designed with Vibration Reduction TechnologyTM (VRT),

our washer dramatically reduces barrel vibration—even

at the highest speed. It also reduces energy and water

consumption to the world‘s lowest levels. Further, we‘ve

enhanced washing performance and eco-friendly

performance with a diamond-shaped embossing drum.

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6-in-1 Steam Oven

Simple, yet stylish, our 6-in-1 steam oven combines all of

the features of a conventional oven with advanced steam

cooking technology to stimulate healthier eating.

Samsung‘s versatile steam cooking solution adds a

steam function to the conventional oven, grill and

microwave, as well as dry heat and fermenting.

Haptic Touch Screen Phones (SC H-W420/W4200)

Built with TouchWiz UI software, our Haptic model promises a

unique user experience, one that touches all of the senses.

The Samsung Haptic features one-touch access,

a widget for creating customized desktops and a G sensor

for automatic horizontal rotation of photos and videos.

It is designed for the innovative, ‗on-the-go‘ user who

demands cutting-edge multimedia features, including a web browser.

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Ultra-messaging BlackJack II (SG H-i617)

Microsoft‘s Windows Mobile software-enabled HSDPA

smart phone boasts a bigger screen than the BlackJack

I and includes a jog wheel. The phone also has cuttingedge features

such as a touch screen, Bluetooth, GPS and wireless LAN

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OBJECTIVES OF THE PROJECT

To find number of brands of consumer durable in Indore district. To study brand preference of consumer for consumer durable goods..

To find most important parameter for selection of brand of Colour television,

Refrigerators, Washing machine, DVD, Microwave oven.

To study profit margin of major brands in consumer durable.

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Research Methodology

Research methodology is considered as the nerve of the project. Without a proper

well-organized research plan, it is impossible to complete the project and reach to

any conclusion. The project was based on the survey plan. The main objective of

survey was to collect appropriate data, which work as a base for drawing conclusion

and getting result.

Therefore, research methodology is the way to systematically solve the research

problem. Research methodology not only talks of the methods but also logic behind

the methods used in the context of a research study and it explains why a particular

method has been used in the preference of the other methods

Research design Research design is important primarily because of the increased complexity in the

market as well as marketing approaches available to the researchers. In fact, it is the

key to the evolution of successful marketing strategies and programmers. It is an

important tool to study buyer‘s behavior, consumption pattern, brand loyalty, and

focus market changes. A research design specifies the methods and procedures for

conducting a particular study. According to Kerlinger, ―Research Design is a plan,

conceptual structure, and strategy of investigation conceived as to obtain answers to

research questions and to control variance.

Research design specifies methods and procedures for study. In this study the

company was interested to know the demand of different consumer durable product,

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about competitors, and potential for SAMSUNG procedures to be used for the study

among retailers/dealer and. However it was exclusively personal interview.

Data Collection:

This report was prepared after collecting data from the retailers/ dealers and past

data was arranged from the various studies conducted in last few years and

various other records of company.

Primary Data:

These data were collected by personal interview with retailers/ dealer. For this

purpose questionnaires were prepared in such that all necessary data would be

collected.

Secondary Data:

Information regarding the project, secondary data was also required. These data

were collected from various past studies and other sources of the company.

SAMPLING METHOD

Random Sampling method

SAMPLE SIZE

100 Dealers

Research tools:

Questionnaires

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RESEARCH AREA

INDORE DISTRICT-

Indore city

M.G Road

A.B. Road

Vijay Nagar

Rajwada

Jhawragmarg

knadia Road

Jail Road

Aerodrum Road

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Scope of the study

This project gives us great exposure to the consumer durable market because it

includes product knowledge and field survey job in which we visited the consumer

durable stores in Indore district.

While visiting the shops we

1. Calculated the display share of the SAMSUNG product in shop.

2. Collected the data of actual monthly sale of the SAMSUNG product in few shop.

3 Found out the problems that the dealer were facing while selling the SAMSUNG product.

4. Found out the customer response for SAMSUNG products by asking the owner of the shop. 5. Checked whether demo calls were attended or not

Scope

1. In term of purchasing power parity (PPP), India is the 4th largest economy in the world and overtake Japan in the near future become the 3rd largest.

2. Indian consumer durable market is expected to reach $450 billion by on 2010

3. India has the youngest population amongst the major countries. There were lot of people in the different income categories nearly the two third population is below the age of 35 and nearly 50% is below 25.

4. There were 56 million people in middle class, who were earning us$4,400-US$21,800 a year. And there were 6 million rich household in India.

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OPPORTUNITY

1. In India the penetration level of white goods is lower as compared to other developing

countries.

2. Unexploited rural market.

3. Rapid urbanization.

4. Increase in income level, i.e. increase in purchasing power of consumers.

Threats

1. Higher import duties on row materials.

2. Cheap imports from Singapore, China and from other Asian countries.

LIMITATION OF STUDY

Although I tried my best in preparation of this project, but this study has some

limitation:

1. The period of the project was not sufficient to study all the factors in deep.

2. Visiting various places for the study consumed a lot of time. 3. We cannot say that what the consumer have revealed will be right for each and

every situation because their perception is influenced by many factors.

4. Many consumer and dealers/retailers showed less interest in providing information

and haven‘t cooperated.

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Theoretical Background of the study

Scope of market research in view of modern global business.

Research methods provide you with the knowledge and skills you need to

solve the problems and meet the challenges of a fast-paced decision-making

environment. Business research courses are recognition that students in business,

not-for-profit, and public organizations – in all functional areas – need training in the

scientific method and its application to decision making. Two factors stimulate an

interest in more scientific decision making: (1) the manager‘s increased need for

more and better information and (2) the availability of improved techniques and tools

to meet this need.

During the last two decades, we have witnessed dramatic changes in the business

environment. Emerging from a historically economic role, the business organization

has evolved in response to the social and political mandates of national public policy,

explosive technology growth, and continuing innovations in global communications.

These changes have created new knowledge needs for the manager. Other

knowledge demands have arisen from problems with mergers, trade policies,

protected markets, technology transfers, and macroeconomic savings – investment

issues.

The trend toward complexity has increased the risks associated with business

decisions, making it more important to have a sound information base. Increased

complexity means there are more variables to consider. The competition is more

vigorous, with many business downsizing to make competitive gains. Workers,

shareholders, customers, and the public are better informed and more sensitive to

29

their self-interest. Government continues to show concern with all aspects of society.

Each of these factors demands that managers have more and better information

upon which to base decisions.

To do well in such an environment, you will need to be equipped with an

understanding of scientific methods and a means of incorporating them into decision

making. You will need to know how to identify good research and how to conduct it.

This book addresses these needs.

As the complexity of the business environment has increased, there has been a

commensurate, increase in the number and power of the tools to conduct research.

There is vastly more knowledge in all fields of management. We have begun to build

better theories. The computer has given us a quantum leap in the ability to deal with

problems. New techniques of quantitative analysis take advantage of this power.

Communication and measurement techniques have also been enhanced. These

trends reinforce each other and are having a massive impact on business

management.

Sources of collection of primary and secondary data for market research.

Ta sources may be classified as either internal (organizational) or external sources of

information.

Internal Sources

Internal sources of organizational data are so varied that it is difficult to provide

generalizations about their use. Accounting and management information systems

create and store much of the internal data. Research and development, planning,

and marketing functions also contribute. Examples are departmental reports,

production summaries, financial and accounting reports, and marketing and sales

30

studies. The collection methods used are unique to the specific situation, and

collection success depends on knowing just where and how to look. Sometimes the

information may exist in central files (i.e., at headquarters), in computer database, or

in departmental chronological files.

In other organizations, a central library keeps all relevant information. Systematic

searches should be made through exploratory interviews with everyone who handles

the information. Often company librarians, MIS. PR/communications, or

departmental secretaries can help in pinpointing critical data sources. Internal data

sources may be the only source of information for many studies.

External Sources

External sources are created outside the organization and are more varied

than internal sources. There are also better defined methods for finding them.

This discussion is restricted to published sources, although other sources of

information may be useful. Published sources of data can be classified into five categories. The newest and

fastest growing one is computerized database. They are composed of interrelated

data files. The files are sets of records grouped together for storage on some

medium. Access may be through online search or CD-ROM. Online databases are

often specialized and focus on information about a particular field. Major source of

published information consists of diverse materials from special collections. Within

this category there are many reference books, each a compendium of a range of

information. A second group includes university publications, of which there are

master‘s theses, doctoral dissertations, and research records. A third group includes

company publications such as financial reports, company policy statements,

speeches by prominent executives, sales literature, product specifications, and many

others. There are miscellaneous information sources consisting of the productions of

various trade, professional and other associations. These organizations often publish

statistical compilation, research report, and proceeding of meeting.

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Data Analysis and Interpretation

Table No.1 Number of company‘s product sold by dealers.

Sr. No. PRODUCT NO. OF RESPONDENTS

1 C-TV 86

2 C-TV &

REFRIGERATOR 67

3 C-TV &

REFRIGERATOR &

WASHING MACHINE 56

4 ABOVE ALL 92

TOTAL 301

Source: - Survey

Graph No. 1

INTERPRETATION:-

According to survey, 86 dealers were sold only C-TV, 67 dealers were sold C-TV

and REFRIGERATOR, 56 dealers were sold C-TV and REFRIGERATOR,

WASHING MACHINE and 92 dealers were sold all product.

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Table no. 2 shows no. of company‘s product sold from dealer‘s shop.

Sr. NO. NO. OF COMPANIES NO. OF RESPONDENTS

PRODUCT

1 FIVE 33

2 FOUR 24

3 THREE 9

4 TWO 34

TOTAL 100

Source:- Survey

Graph No. 2

INTERPRETATION-

According to survey, 33 dealers were sold 5 brands, 34 dealers were sold only 2

brands from their shops.

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Table No.3 Shows Major brand of C-TV sold by dealers.

Sr. NO. NO. OF

BRAND RESPONDENTS PERCENTAGE

1 LG 39 39

2 VIDEOCON 23 23

3 SAMSUNG 18 18

4 SANSUI 11 11

5 ONIDA 9 9

TOTAL 100 100

Source:- Survey

Graph No. :- 3 INTERPRETATION-

According to dealers, in Indore district LG is leading in

C-TV with 39%, after that VIDEOCON is 2nd

with 23% and then SAMSUNG is on 3rd

with 18%.

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Table No.4 Most important parameter for more sale of C-TV

Sr. NO. REASONS FOR NO. OF PERCENTAGE

MORE SALES RESPONDENTS

1 Price 28 28

2 Quality 30 30

3 Service 17 17

4 Advertisement 15 15

5 Schemes 10 10

TOTAL 100 100

Source:- Survey

Graph No.4

INTERPRETATION-

According to dealers, Price is most important parameter for more sale of C-

TV and then Quality, Services, Advertisement and Schemes.

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Table No. 5 shows the major brands of REFRIGERATOR sold by dealers.

Sr. NO NO. OF

BRAND RESPONDENTS PERCENTAGE

1 LG 22 22

2 VIDEOCON 13 13

3 SAMSUNG 9 9

4 GODREJ 12 12

5 WHIRLPOOL 19 19

6 KELVINATOR 16 16

7 KENSTAR 9 9

TOTAL 100 100

Source:- Survey

Graph No. 5

INTERPRETATION-

According to dealers, LG also leading in the REFRIGERATOR market in

Indoredistrict with 22%,

After that Whirlpool and Kelvinator is following them.

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Table No.6 shows most important parameter for more sale of REFRIGERATOR

Sr. NO. REASONS FOR NO. OF PERCENTAGE

MORE SALES RESPONDENTS

1 Price 27 27

2 Quality 32 32

3 Service 19 19

4 Advertisement 13 13

5 Schemes 9 9

TOTAL 100 100

Source:-Survey

Graph No. :- 6

INTERPRETATION-

According to dealers, most important parameter for more sale of Refrigerator

is Quality and then Price, Services, Advertisement and Schemes.

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Table no.7 shows Major brands of Washing Machine sold by dealers.

Sr. NO. NO. OF

BRAND RESPONDENTS PERCENTAGE

1 LG 18 18

2 VIDEOCON 11 11

3 SAMSUNG 15 15

4 IFB 7 7

5 WHIRLPOOL 21 21

6 GODREJ 9 9

7 KELVINATOR 10 10

8 KENSTAR 9 9

TOTAL 100 100

Source:- Survey

Graph No. :-7

MAJOR BRAND OF WASHING MACHINE

LG

9% 18% VIDEOCON

10%

11% SAMSUNG

9% IFB

WHIRLPOOL

GODREJ

21% 15% KELVINATOR

7%

KENSTAR

INTERPRETATION-

According to dealers, LG is leading in Washing Machine market with 18%, after that

VIDEOCON and SAMSUNG is leading in Indoredistrict.

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Table No.8 shows most important parameter for more sale of Washing Machine

Sr. NO. REASONS FOR NO. OF PERCENTAGE

MORE SALES RESPONDENTS

1 Price 26 26

2 Quality 32 32

3 Service 24 24

4 Advertisement 10 10

5 Schemes 8 8

TOTAL 100 100

Source:- Survey

Graph No.8

INTERPRETATION-

According to dealers, the most important factor which affects the sales of washing

machine is QUALITY, and then prices and services is considered by the customers.

39

Table No.9 shows Major brands of DVD sold by dealers.

Sr. NO. NO. OF

BRAND RESPONDENTS PERCENTAGE

1 LG 11 11

2 VIDEOCON 13 13

3 SAMSUNG 10 10

4 ONIDA 15 15

5 PHILIPS 22 22

6 SANSUI 12 12

7 SONY 8 8

8 INTEX 9 9

TOTAL 100 100

Source:-Survey

Graph No. :- 9

MAJOR BRAND OF DVD

RE

SP

ON

DE

NT

S

25 22

20

13

15

15 11 12

10

NO. OF RESPONDENTS

9

8

10

OF

5

NO

.

0

LG ONIDA

INTEX

VIDEOCONSAMSUNG

SONY

PHILIPS SANSUI

BRANDS

INTERPRETATION-

According to dealers, PHILIPS is the most popular brand in DVD market with 22%,

after that ONIDA with 15% and VIDEOCON with 13% on 3rd

position.

40

Table No.10 shows most important parameter for more sales of DVD

Sr. NO. REASONS FOR NO. OF PERCENTAGE

MORE SALES RESPONDENTS

1 Price 21 21

2 Quality 42 42

3 Service 17 17

4 Advertisement 8 8

5 Schemes 12 12

TOTAL 100 100

Source:- Survey

Graph No. 10

INTERPRETATION-

According to dealers, Quality is major factor in respect of more sale of DVD, and

then Services and prices were to be considered.

41

Table No.11shows Major Brand of MICROWAVE OVEN sold by dealers.

Sr. NO. NO. OF

BRAND RESPONDENTS PERCENTAGE

1 LG 18 18

2 VIDEOCON 13 13

3 SAMSUNG 15 15

4 KENSTAR 21 21

5 GODREJ 9 9

6 PHILIPS 8 8

7 BAJAJ 9 9

8 SONY 7 7

TOTAL 100 100

Source:- Survey

Graph No. 11

NO. OF RESPONDENTS

25 21

20 18

15

15 13

9

9

NO. OF RESPONDENTS

10 8

7

5

0

LG

PHILIPS BAJAJ SONY

GODREJ

KENSTAR

VIDEOCONSAMSUNG

INTERPRETATION-

According to dealers, KENSTAR is very popular brand for microwave oven.

KENSTAR is making a huge business as compare to other competitors after that LG

and then SAMSUNG. According to dealers, microwave oven does not have that

much demand as compare to other consumer durable product.

42

Table No.12 shows Reason for more sales of MICROWAVE OVEN

Sr. NO. REASONS FOR NO. OF PERCENTAGE

MORE SALES RESPONDENTS

1 Price 21 21

2 Quality 36 36

3 Service 14 14

4 Advertisement 17 17

5 Schemes 12 12

TOTAL 100 100

Source:- Survey

Graph No. 12

INTERPRETATION-

The most important factor of more sales of microwave oven is QUALITY of the

product. Quality is mostly affected on sales of microwave oven.

43

Table NO.13 shows High Profit margin brands

Sr. No. NO. OF

BRANDS RESPONDENTS PERCENTAGE

1 LG 21 21

2 SAMAUNG 18 18

3 WHIRLPOOL 16 16

4 VIDEOCON 13 13

5 SONY 11 11

6 GODREJ 9 9

7 PHILIPS 7 7

8 KENSTAR 5 5

TOTAL 100 100

Source: - Survey

Graph No.13

HIGH PROFITABLE BRAND

RE

SP

ON

DE

NT

S

25

20

15

NO. OF RESPONDENTS

10

OF

5 .

N O

0

LG SONY

PHILIPS

SAMAUNG VIDEOCON GODREJ KENSTAR

WHIRLPOOL

BRANDS

INTERPRETATION-

According to dealers, in Indian consumer durable industry

LG is leading company because of their low pricing policy and the better quality of

44

product.

SAMSUNG is on 2nd

position, if SAMSUNG will change their pricing policy like LG

and VIDEOCON then SAMSUNG should be on 1st

position.

Table No.14 shows Suggestion from dealers for SAMSUNG to increase the business

Sr. No. SUGGESTION NO. OF RESPONDENTS

1 FAST AND REGULAR

AFTER SALES SERVICE 31

2 REDUCE PRICES 21

3 INCREASE DEALER

MARGIN 15

4 ADVERTISMENT AT

RURAL AREA 13

5 IMPROVE QUALITY 10

6 REGULAR SCHEMES 9

TOTAL 100

Source: - Survey

Graph No.14

35

30 Series1

25 Series2

20 Series3

15 Series4

Series5

10 Series6

5 Series7

0

SA

LE

S

RE

DU

CE

AD

VE

RT

ISM

EN

T

IMP

RO

VE

A N D

AND

PR

IC

ES

QU

ALI

TY DR

A

W

D E A L E R M A R G I N

FAS

T R

E

G UL

AR

SE

RV

IC E

I N C R E A S E

R U R A L

A R E A

S U G G E S T I O N

R E G U L A R

A F T E R

A T

S C H E M E S

LU C K Y

NO. 1 2 3 4 5 6

INTERPRETATION-

According to suggestion of dealers, AFTER SALES SERVICE is most important factor which

is helping to the SAMSUNG for increase the sales. After that PRICES OF THE PRODUCT

should be economic. DEALER MARGIN should increase for motivation of dealers.

45

FINDING 1. We came to know while visiting the shop most of the dealers sold entire consumer

durable product including C-TV, Refrigerator, Washing Machine, DVD, Microwave

oven.

2. We know that during the survey in consumer durable industry in Indoredistrict and

rural area of Indoredistrict LG is leading in Colour television, Washing Machine,

Refrigerator.

3. Study shows that quality is most important parameter for more sale of colour

television and then price is considered by consumers.

4. Study shows that quality of the product is most important parameter for

Refrigerator then price is considered by consumers.

5. While visiting the shop we came to know that quality is most important parameter

which is affect on more sales of Washing Machine.

6. According to Survey, Philips is most popular brand for DVD. 7. We came to know that while visiting the shop, Kenstar is most preferable brand for

Microwave oven because of their quality.

8. While visiting the shop we know that LG is gives high profit margin as compare to

other competitors.

9. While visiting the shop dealers suggested that after sales service is most

important factor which contributes towards the sales of Consumer durables.

46

10. All the dealers were not satisfied with the profit margin.

11. SAMSUNG product is costly as compare to LG and VIDEOCON. 12. Maximum rural area is covered by the VIDEOCON because of their low price

products.

13. We came to know while visiting the shops that there was big problem of after

sales service.

14. Many dealers were facing the problem of after sale service because there is no

follow up calls from SAMSUNG.s

15. Demo calls also not done properly. 16. LG and Videocon is the main competitor of SAMSUNG.

17. Advertising of SAMSUNG CTV is more effective as compare to the competitors.

18. Sales promotion scheme were sufficient.

47

SUGGESTIONS &RECOMANDETION

Company should improve the after sales service of products as it is the main

factor for the sales of consumer products.

If the SAMSUNG Ltd. reduces their product price like LG and VIDEOCON

then SAMSUNG will take over the LG in all categories.

Company should distribute free key chain, calendar, t-shirts for making brand

popular among people.

Company should introduce low price and low power consumption Refrigerator

for acquiring the middle income group.

Dealer desire more advertisement to be done through local newspaper and

cable TV ads. To make consumers aware about the product.

Prompt of service in time.

Advertisements of the company‘s products should focus on quality rather then

price.

Company should target upper middle class or premium class customers.

Company should introduce low cost products to satisfy the needs of low or

middle class.

48

Demo calls as well as follow up Help Company to maintain customer

relationship and hence the company should focus on these aspects.

SAMSUNG ltd. should concentrate on after sales service.

SAMSUNG ltd. should try to trap the rural market.

SAMSUNG ltd. Establish the service center as per taluka place.

49

Conclusion

With respect to the above study and the findings thereby, the company has

definitely entrenched into the urban market.

With few more concerted efforts, the said organization needs to enter the rural

market in order to completely establish itself all over.

50

ANNEXURE

A. Questionnaire

Study of Consumer Durable Market for SAMSUNG Electronics Ltd. With Special reference To Indoredistrict.

Name of shop:

Address:

Contact no.: 1) Which is consumer durable product you sold from your shop?

□C-TV □Refrigerator □Washing Machine

□DVD □Microwave

2) How many no. of company‘s product you sold from your shop?

□ONE_______________________________________________ □TWO_______________________________________________ □THREE_____________________________________________ □FOUR______________________________________________ □FIVE_______________________________________________ □SIX________________________________________________

3) Which is major brand of Colour-Television you sold from your shop?

□SAMSUNG □LG □ Videocon □ Onida

□ Sansui

5) What is the important parameter for more sales of Colour-Television brand? □Price □ Quality □ Services □ Advertisement

□ Schemes

5) Which is major brand of Refrigerator you sold from your shop? □ Godrej □ Whirlpool □ Kenstar □ LG

□ SAMSUNG □ Videocon □ Kelvinator

6) What is the important parameter for more sales of Refrigerator brand? □ Price □ Quality □ Services □ Advertisement □Schemes

7) Which is major brand of Washing Machine you sold from your shop?

□ IFB □ Whirlpool □ Kenstar □ LG

□ SAMSUNG □ Videocon □ Kelvinator □

Godrej

51

8) What is the important parameter for more sales of Washing Machine brand?

□ Price □ Quality □ Services □ Advertisement

□ Schemes

10) Which is major brand of DVD you sold from your shop? □SAMSUNG □ LG □ Videocon □ Onida

□ Sansui □ Philips □ Intex □SONY

10) What is the important parameter for more sales of DVD brand?

□ Price □ Quality □ Services □ Advertisement □ Schemes

12) Which is major brand of Microwave you sold from your shop?

□SAMSUNG □ LG □ Videocon □ Kenstar □ Godrej □ Philips □ Bajaj □SONY

12) What is the important parameter for more sales of Microwave brand? □Price □ Quality □ Services □ Advertisement □ Schemes

13)Which company‘s product you give high profit margin?

□SAMSUNG □LG □VIDEOCON □SONY

□WHIRLPOOL □GODREJ □PHILIPS □KENSTAR

14) What are your suggestions for SAMSUNG to increase the sales?

__________________________________________________________________

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B. LIST OF DEALERS:-

Sr. no. Name of the Counter Name of Dealar LOCATION

1 Lotus Electronics parakh Sapna Sangeeta

2 Boathara Electronics Subhash Bothara M.G.Road

3 Hari-Om(Next) mahesh M.G.Road

4 Sai-Sakshi Electronics Umesh Shinde M.G.Road

5 Sushil Electronics Pravin Lodha M.G.Road

6 Jupiter Appliances Bharat N.D. M.G.Road

7 Shubham Electronics Sanjay Sanghvi M.G.Road

8 Kirti Electronics Sumit Kochar Jail Road

9 Pankaj Electronics Amol Sangvi Jail Road

10 Gulzar Electronics Jail Road

11 New TV Center Jail Road

12 Ashoka Electronics Jitendra Gujrani Jail Road

13 Patwa Electronics Rushabh Patwa Jail Road

14 Shivam Electronics Narendra Deore Jail Road

15 Sai-Parth Electronics Jayant Deopurkar Jail Road

16 H. Joshi Bros. Chandubai Joshi A.B. Road Indore

17 Banwarilal Marketing Basant Hisaria A.B. Road Indore

18 Uttam Electronics Uttam Hisaria A.B. Road Indore

19 Swastik Ref. s.s.lodha A.B. Road Indore

20 Adarsh Electronics p.bojwani Tilak Nagar

21 Yogesh Electronics s.wani Tilak Nagar

22 Electronics Corner s.lodha Tilak Nagar

23 Sai Elect. Thete Tilak Nagar

24 Parakh Appliances narendra parakh M.G.road

25 Prince Electronics Pramod Patil Nandanar

26 Shivam Electronics Chandrakant Savant Nandanar

27 Krushna Electronics Genmal Lodha Nandanar

28 Parakh Electronics Nandlal Parakh Nandanar

29 Mayur electronics Anil Choudhari Nandanar

30 Parakh elec. parakh Nandanar

31 Jagdish Electronics Rajendra Rathi Nandanar

53

32 Bhavsar Electronics Ravi Bhavsar Vijay Nagar Indore

33 Lakshmikrupa elec. Nilesh Mane Vijay Nagar Indore

34 Atul Electronics atul lute Vijay Nagar Indore

35 Jai Durga Vijay Nagar Indore

36 Rashmi Electronics _ Vijay Nagar Indore

37 Khambekar s. khambekar Vijay Nagar Indore

38 Vaibhav Electronics vaibhav Vijay Nagar Indore

39 New Bhansali Electronics Vijay Nagar Indore

40 Harshad Enterprises Vijay Nagar Indore

41 Bhavsar Electronics Ravi Bhavsar Vijay Nagar Indore

42 Bharat Electronics b.jivansingh Vijay Nagar Indore

43 parakh sales Yogesh Parakh Jail Road Indore

44 Raj Music Center Hemant Jadhav A.B. Road

45 Hari-Om TV Center Rupesh Gaikwad A.B. Road

46 Kalpesh Electronics Prakash Gaikwad A.B. Road

47 mahavir electronics m.chhajed A.B. Road

48 Sapana Electronics Vardhaman Abad A.B. Road

49 Shiv krupa elec. sunil mane A.B. Road

50 Lata electronics kiran palve A.B. Road

51 Manoj Home Apliances A.B. Road

52 Sanjay Furniture A.B. Road

53 Anokha Electronics A.B. Road

54 samartha enterprises Bhaskar Deore A.B. Road

55 Suvidha electronics Madhavrav Aher A.B. Road

56 mahavir electronics Ravi Ostawal A.B. Road

57 Para electronics Sanjay Para A.B. Road

58 Yashwant electr. Deepak Ahire A.B. Road

59 Alfa electronics Manoj Hemchand A.B. Road

60 Kalyani electronics Prashant Bhamre A.B. Road

61 Jalaram electronics Vasant Nikam A.B. Road

62 Sudhir electronics Sunil Brahamankumr A.B. Road

63 Gajanan electronics Satyajeet Deore A.B. Road

64 Saptashrungi elec. Bhushan Kothari A.B. Road

65 Bhagyalakshmi elec. Ganesh Malpure Aerodrum Road

66 Shri samartha elec. Shailesh Aher Aerodrum Road

67 Malegaon electronics Malegaon Store Aerodrum Road

68 Krushna Electronics Krushna Shinde Aerodrum Road

69 Khandelwal electr. Nitin Khandelval Aerodrum Road

70 Komal electronics Manohar Nikam Aerodrum Road

71 Prashant electronics Santosh Nikam Aerodrum Road

72 Arihant electronics Pradip Jain Aerodrum Road

73 Sony electronics Kiran Suryawanshi Aerodrum Road

74 Shri saptashrungi Vaibhav Bachav Aerodrum Road

75 Yash electronics Sanjay Jadhav Aerodrum Road

54

76 Shivkrupa elec. Purushotam Bhamre Aerodrum Road

77 Gurukrupa electroncs r.bamb Aerodrum Road

78 Kalyani electronics nitin & babasaheb Aerodrum Road

79 Om electronics d. khapre Aerodrum Road

80 Madhuri electronics sharad ahinde Aerodrum Road

81 Jain electronics Jain Aerodrum Road

82 Shivam electronics Prakash Chavhan M.G.road

83 Parakh electronics Narendra Parakh M.G.road

84 mahavir electronics Guvtam Jain knadia Road

85 Santoshi electronics Prabhakar Navase knadia Road

86 Jayashree enterprises Soni Paresh knadia Road

87 Mayur electronics k.gaikwad knadia Road

88 Ajit electronics Ajit Shejwal knadia Road

89 jitendra electronics Jitendra Welgaonkar knadia Road

90 sai enterprises Satish Kaka knadia Road

91 Sahaj electronics Balasaheb Sonawane knadia Road

92 Shree Swami Samartha p.bhatevara Jhawragmarg

93 Gurukrupa electroncs j.bamb Jhawragmarg

94 Jain electronics Jain Jhawragmarg

95 Saubhagya elec. Ashish Bora Jhawragmarg

96 Anand elec. Sameer Sharma Jhawragmarg

97 Shriji Electronics Umesh Joshi Jhawragmarg

98 Mahalaxmi Electronics Yogesh Wadekar Jhawragmarg

99 Bholenarth Refrigerator Jimmy Joshi Jhawragmarg

100 New Jaymatadi Santosh Mishra Jhawragmarg

55

B). Bibliography

1- http://www.samsung.com/in/aboutsamsung/index.html

2- http://www.samsung.com/in/aboutsamsung/corporateprofile/index.html

3- http://www.samsung.com/in/aboutsamsung/corporateprofile/history.html

4- http://www.samsung.com/in/aboutsamsung/corporateprofile/visionmission.html

5- http://www.samsung.com/in/consumer/index.html

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