Summer Training ProjectCompetitive Analysis Of Godrej with Samsung

Presented To:- Presented By:-Mrs. Harleen Mahajan Tisha SharmaFaculty, PCTE. 94972238247

Godrej Group consists of two corporate entities: Godrej Consumer Products and Godrej Industries.

 Godrej Industries Ltd. (GIL) is India's leading manufacturer of oleo-chemicals and makes more than a hundred chemicals for use in over two dozen industries. It also has a major presence in food products such as refined oil and tetra pack fruit beverages. Besides, it operates businesses in medical diagnostics and real estate.

INTRODUCTION TO CORPORATE

Godrej Consumer Products Ltd. (GCPL) is a major player in the Indian FMCG market with leadership in personal, hair, household and fabric care segments. Each company has several divisions and factories. They are presently exporting their products to 30 countries.

Started in 1897 as a locks manufacturing company, the Godrej Group is today one of the most accomplished and diversified business houses in India.

In 1930, Godrej became the first company in the world to develop the technology to manufacture soap with vegetable oils.

The Godrej Group stands in a strong position today. With annual sales in excess of $1 billion, a workforce of approximately 18,000, and a strong diversified portfolio, Godrej has proven its ability to deliver strong financial performance.

HISTORY GODREJ GROUP

On 7th May, 1897, Ardershir Godrej gave up law and took up lock making. Godrej and Boyce Mfg. Co. Ltd., was established at Lalbaug, Mumbai. This was the holding company of the Godrej Group.

Godrej began manufacturing of refrigerators in 1958. Godrej started manufacturing Washing Machines in 1996.

GODREJ is dedicated to DELIVER SUPERIOR STAKEHOLDER VALUE by providing solutions to existing and emerging consumer needs in the Household & Personal Care business.

We will achieve this through ENDURING TRUST & RELENTLESS INNOVATION delivered with PASSION & ENTREPRENEURIAL SPIRIT.”

VISION

Godrej’s Mission is to operate in existing and new businesses which capitalize on the Godrej brand and our corporate image of reliability and integrity .Our objective is to delight our customer both in India and abroad.

We shall achieve this objective through continuous improvement in quality, cost and customer service .we shall strive for excellence by nurturing, developing and empowering our employees and suppliers. We shall encourage an open atmosphere conducive to learning and team work.

 

MISSION

Godrej Products Consumer Products Godrej Consumer Products Ltd.(GCPL) is a major player in the Indian

FMCG market with leadership in personal, hair, household and fabric care segments. The company is among the largest marketers of toilet soaps in the country and has a leadership position in the hair colour category in India.

1. Appliances 2. Locks3. Furniture4. Security equipment

5. Office automation6. Conferencing solution7. Soaps & personal care8. Food9. Aircare10. Household insecticides11. Housing12. Vending machine

Industrial products: Godrej offers an entire spectrum of industrial solutions from storage to material handling

to construction to process equipment and many, many more. Whether clients are looking for standard equipment or custom engineering solutions, the first name is Godrej.

1. Storage solution 2. Automated warehousing 3. Material handling equipment 4. Process equipment 5. Precision components & systems. 6. Machine tool service 7. Electrical & electronic services 8. Tooling 9. IT solution 10. PLM solution 11. Medical diagnostics 12. Agro product 13. Chemicals 14. Construction material & services.

 

Appliances Product of Godrej and Boyce Mfg Co. Ltd

•Refrigerators.

Direct cool Frost free

•Air Conditioners

Split Window

• Washing Machines. 

Fully Automatic Semi Automatic  

Microwave Ovens.   Steam Convection Grill/combination Solo

On March 1, 1938, founding chairman Byung-Chull Lee started a business in Taegu,

Korea, with 30,000 won.  At the start, his business focused primarily on trade

export, selling dried Korean fish, vegetables, and fruit to Manchuria and Beijing.

1970: Black –and –white TV (model:p-3202) production started by Samsung-Sanyo.

  1974: Began washing machine and refrigerator production Samsung India strengthens its

Fully Automatic Washing Machine range. 1976. 1 millionth black-and-white TV produced.

SWOT ANALYSIS 

STRENGTHS

The Company has wide range of product line. The management is trained and efficient. The Company has got wide range of branches within the

country. Robust manufacturing. Sophisticated IT connectivity with distributors. Well-developed R&D capabilities

The Company does not go for advertising, which is one of the biggest disadvantage of Godrej.

Its emphasis more on the advertising of office automation & prima division.

The company is focusing many security products at a same time.

The effective selling schemes are not available like payment on installments.

Gifts not being so attractive. Most of the dealers prefer other companies appliances.

WEAKNESSES:

Increase consumer offers. Huge market share.

THREATS Strong competition. Products are not unique. Lot of branding done by other competitors.

OPPORTUNITIES

Financial Ratio Analysis

Ratios Year 2009 Year 2008

Current Ratio 1.47 1.38

Quick Ratio 0.84 0.73

Absolute Liquid Ratio

0.0025 0.003

Debt Equity Ratio 0.93 0.67

Funded Debt to Total Capitalization Ratio

32.61 35.93

Equity Ratio 0.315 0.257

Gross profit ratio 10.675 4.947

2009 2008

Net profit ratio 5.98 4.94

Other expenses ratio 19.47 20.51

Current liability to proprietor’s fund

2.109 1.86

Fixed assets to funded debt

1.492 1.339

TITLE 

COMPETITIVE ANALYSIS OF

GODREJ WITH SAMSUNG

To study the preference towards Godrej and Samsung Appliances.

  To study the promotional techniques used by Godrej

and Samsung.

To know the awareness of advertisement of Godrej and Samsung Appliances.

1.1STATEMENT OF OBJECTIVES 

Today, for any organization or firm to survive in this competitive world depends on its ability to be dynamic and be different from the competition to be unique in the industry. Customer Satisfaction helps every organization to keep the existing customer and to build new customer.

The information gathered through this research can be used by the company to improve its services and became more customers friendly. This can increase the goodwill of the company and its overall performance.

Thus this study is aimed to provide the management with some knowledge about its status in market . The research also aims to provide some ideas to improve the company’s present condition.

1.2NEED OF STUDY

The research methodology is the specification of method of acquiring the information needed to structure or solve the problem. It is not considered to be the decision of facts but also building up the data knowledge and to discover the new fact involved through the process in the dynamic change in the society.

Talk With Dealer’s

Ways to determine this include:

Meeting with Dealers  Asking open creative questions about what is required.  Using a 'content mirror' to ensure understanding and show you are listening and

Interested. 

1.3RESEARCH METHODOLOGY

The conceptual structure within which this research is conducted descriptive in nature as it brings forward the results concerning the set objectives, though facts, findings and enquiries; moreover it describes the state of affairs that exists at present.

Comparative Research

Comparative research, simply put, is the act of comparing two or more things with a view to discovering something about one or all of the things being compared. This technique is often utilizes multiple disciplines in one study. When it comes to method, the majority agreement is that there is no methodology peculiar to comparative research

Research Design

The data, which is collected for the purpose of study, is divided into 2

bases:

Primary Source: The primary data comprises information survey of

“Competitive Analysis of Godrej with Samsung”. The data has been

collected directly from dealers with the help of structured questionnaires. Secondary Source: The secondary data was collected from library and the

company.

1.4Data Collection:

Sampling technique The selection of respondents was done on the basis of random sampling.

Sampling unit The sampling unit in this report is dealers of Godrej and Samsung

appliances.

  Sample size The sampling size of my study is 32 respondents and this sampling size

was selected on the basis of Random sampling.

The sample size of Dealers is limited to 32 because of time factor

Many of the respondents were not open with their responses. Majority of the dealer were too aggressive in nature. Lack of Dealer’s cooperation was a major constraint.

There may be error due to bias of respondents. 

The behavior of the Dealers while approaching them to fill the

questionnaire was unpredictable.

 

1.5LIMITATIONS OF THE STUDY

Graph 1.6.1 showing the kind of business dealers are into

1.6DATA ANALYSIS AND INTERPRETATION

72%

6%

22%

KIND OF BUSINESS

DIRECT DEALERSHIP

CHAIN STORE

DISTRIBUTOR

Graph1.6.2 showing which all products they deal in

26%

25%

24%

25%

PRODUCT DEALED IN

REFRIGERATOR

AC

MICROWAVE OVEN

WASHING MACHINE

19%

32%

6%

15%

28%

WHICH BRANDS YOU HAVE

GODREJSAMSUNG1FBLGOTHERS

Graph1.6.3 showing which brands they have in their store

Godrej Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII IIII IIII IIII I 0 26/32 0.8125

Quality IIII IIII IIII IIII 0 0 35/32 1.093

After sale services

0 I IIII IIII IIII I IIII 66/32 2.062

Incentives 0 0 III IIII IIII IIII II 2.406

TABLE 1.6.4 FOR AIR-CONDITIONER

Godrej Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII I IIII IIII III 0 35/32 1.093

Quality IIII IIII III IIII I 0 0 25/32 0.781

After sale services

0 II IIII IIII IIII II 57/32 1.781

Incentives 0 I I IIII IIII IIII II 73/32 2.281

TABLE 1.6.5 FOR REFRIGERATOR

Samsung Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII I IIII IIII IIII IIII IIII 0 71/32 2.218

Quality IIII IIII IIII IIII IIII I IIII 0 48/32 1.5

After sale services

IIII IIII IIII IIII III IIII I 0 54/32 1.687

Incentives 0 0 0 IIII IIII IIII IIII IIII IIII

116/32 3.625

TABLE 1.6.6 FOR REFRIGERATOR

Godrej Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII IIII IIII IIII I 0 0 26/32 0.812

Quality IIII I IIII IIII III I 0 35/32 1.093

After sale services

0 I IIII IIII IIII IIII 63/32 1.968

Incentives 0 0 IIII IIII IIII IIII I 76/32 2.375

TABLE 1.6.7 FOR WASHING MACHINE

Samsung Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII IIII IIII IIII I IIII IIII 0 59/32 1.843

Quality IIII III IIII I IIII 0 46/32 1.437

After sale services

II IIII IIII III IIII IIII IIII 0 73/32 2.28

Incentives 0 0 1 IIII IIII IIII IIII IIII IIII

119/32 3.718

TABLE 1.6.8 FOR WASHING MACHINE

Godrej Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII IIII IIII I III 0 30/32 0.937

Quality IIII IIII IIII III I 0 28/32 0.875

After sale services

0 IIII IIII IIII I III 53/32 1.656

Incentives 0 I II IIII IIII IIII 68/32 2.125

TABLE 1.6.9 FOR MICROWAVE OVEN

Samsung Rank 1 Rank 2 Rank 3 Rank 4 Mean Mean in decimals

Price IIII IIII IIII III IIII IIII I 60/32 1.875

Quality IIII IIII IIII III IIII IIII I 0 41/32 1.281

After sale services

0 IIII IIII I IIII IIII IIII III 0 76/32 2.375

Incentives I 0 IIII I IIII IIII IIII IIII IIII III

112/32 3.5

TABLE 7 FOR MICROWAVE OVEN

22%

42%

36%

MAJOR SOURCE OF ADVERTISEMENT

PAMPHLETSHOARDINGSDANGLERSOTHERS

Graph1.6.10 showing what all company provides for the advertisement of its appliances

71%

29%

SEEN GODREJ AD-VERTISEMENT

YESNO

 Graph 1.6.11 showing the advertisements on television

90%

10%

SEEN SAMSUNG AD-VERTISEMENT

YESNO

32%

68%

GODREJ ADVER-TISEMENT EFFEC-

TIVE

YESNO

 Graph 1.6.12 showing that whether advertisements are effective

90%

10%

SAMSUNG ADVERT-ISEMENT EFFECTIVE

YESNO

Dealers’ feels quality of GODREJ product is Good, but SAMSUNG.has a better positioning in the minds of Dealers.  If a individual wants to have a Home Appliances then Samsung Priority comes onfirst number.  Quality of the service provided sale after service plays an important role in keepingthe existing customers and to bring new customers.  In pricing and reliability of GODREJ ‘S home appliances is rated very well bymost ..  Quality of the service provided plays an important role in retaining existingcustomers and goodwill is created through word of mouth in making new customers.  Dealers said that, People are willing to pay more for new design and latest look. 

1.7FINDINGS

A number of customers preferred GODREJ Due to the brand name of the company (GODREJ).

  Most of dealers said that, Customers were not happy that while they were

purchasing old look washing machine then others.

  Most of the dealers prefer to sale simple home appliances because the most of

consumer want it.

Marketing.  Advertisement –Both local and on television.   Enhance the quality of product.  Enhance the service level of company.   Make the Relation between dealers and company well and to be enhanced.  Models of product is look like old so it has to be modulating.  Launch the new model.  Offers & Schemes.

1.8Suggestion of dealers for how can GODREJ gains their sales.

The study revealed the picture of Dealers perception and satisfaction which help Godrej to encourage more people to be the customers/consumers of Godrej.

People are not aware about the upcoming products of Godrej

Godrej have a good position in mind of dealer’s but Samsung has a better

position as compared to Godrej.

1.9CONCLUSION

Company should focus on pricing policy in comparison to its competitors because its competitors provide same products in lower rates.

  The company should have to focus better design for product .  The company should focus on their after sale services.  Company Should Increase Man Power for sales.  The customer rate quality of the service as the most relevant one and

hence Godrej should maintain the quality in products and after Sale services and should make improvements in this feature.

  

1.10RECOMMENDATIONS

Many of dissatisfied Dealers asked for more information about New schemes .So the dissatisfaction may be due to not providing the latest news about new schemes. So the company can make use of this opportunity to retain its Dealers by providing the right news.

The product design is not So charming As Compare to Samsung. As per survey most of dealer discuss about it sale which Is down due to design.

  Any complaint is observed from the dealers, it should be dealt quickly. This will reduce

the chance for dissatisfaction.  Company should try to Maintain competitive prices for consumers ,And should focus on

these to keep the brand image in the minds of people.  Market strategies of home appliances providers should emphasize in price strategy.  If any complaint is observed from the consumer, it should be dealt quickly. This will

reduce the chance for dissatisfaction. so the company have to a customer care as other industries.

http://www.godrejappliances.com/godrej/GodrejAppliances/Pdf/WM_Press_Release.pdf

  http://www.godrejappliances.com/godrej/GodrejAppliances/pdf/summer_content.pdf  http://www.articlesnatch.com/Article/Godrej-Refrigerators/599790  http://www.articlesnatch.com/Article/Appliance-Manufacturer-Puts-Faith-In-

Composite-Doors-To-Improve-Durability/1135848  http://books.google.co.in/books?

hl=en&lr=&id=NKlIn7hMK1AC&oi=fnd&pg=PR11&dq=On+competition+By+Michael+E.+Porter&ots=dBVULh8Qwv&sig=yOZCDTMXvo2dWHqc3iHl74MHNoM#v=onepage&q&f=false

1.11BIBLIOGRAPHY

http://www.indianjournals.com/ijor.aspx?target=ijor:glogift2k8&volume=1&issue=1&article=chap048

  http://www.articlesnatch.com/Article/Godrej-Refrigerators/790333

  http://www.articlesnatch.com/Article/Godrej-Refrigerators/790333

  http://economictimes.indiatimes.com/News/News_By_Industry/

Cons_Products/Durables/Godrej_eyes_leadership_in_durables_segments/articleshow/2772156.cms

  http://www.articlesnatch.com/Article/Godrej/673085