INTRODUCTION

The project has been prepared in order to increase readers acquaintance to variety of promotional tool that are offered by a fasteners company to them at the time of purchase. The whole material has been divided into three descriptive chapters which enables to gains sufficient knowledge about the topic. Various tests of examples have been quoted adequately in addition to graphs so as to make the material more understanding and easier. The very first chapter of the project throws light on Research Methodology. From the collection of data to final analysis of questionnaire an attempt has been made to classify the basic concepts regarding research. Following it, the second unit, that is an overview of Sales Promotion techniques that are offered by the various fasteners companies in order to promote their sale to the ultimate users of the product. Apart from this dealers attitude towards much techniques and an analysis of questionnaire is also included. At last in chapter three the appropriate recommendation has been put forward regarding the topic followed by Annexure and bibliography at last. Note and Definition 1. To identify the sales promotion activities used by the company and its competitor different questions were put from retailers and distributors. 2. To identify the best media for sales promotion different types of question were put to retailers and distributors 3. While calculating the best media these following medias for sale promotion were taken into consideration. Posters Paper advertisement Display stand T.V. advertisement Magazine Advertisement Free sample

 Retailers margin Distributors margin Schemes

Sales promotion: an overview

Promotion decisions are made simultaneously with marketing mix decision regarding products, price and place. They involve finding target markets determining objectives and tasks, budgeting for promotion, selecting promotional media evaluating promotional effectiveness and finally controlling the promotion elements. Today, companies face task distributing the total promotion budget over the five promotional tools namely:Advertising Sales promotion Public relation Publicity Direct Marketing Promotion, one of the four major variables with which the marketing manager works, is communicating between the seller and buyer to change the attitudes and behaviour. Promotion is responsible for communication with potential customers of the existence of products persuades and convinces them that the products have want satisfying capabilities . All forms of promotion aim at influencing customer attitudes, belief and values and preferences, life styles and ways of living. The promotion mix is used to achieve the objective of promotion, which are information, possession and reminding. Companies are always searching for ways to gain efficiency by substituting one promotional tool for another. Many companies have replaced some fields, sales activity with ads, direct mail and telemarketing. Other companies have increased their sales promotion expenditures in relation to advertising. 2

MARKETING DEPARTMENT
DEPARTMENTAL PROCEEDING

Close feasibility

Quotation

Yes whether the product can be developed by the company or not

Close negotiations

Rates, lend time for delivery modes S.I., CST whether applied

Purchase order

Yes

Delivery schedule

For 1 year or so

As per the requirement in forthcoming period

Development of product

Delivery as per schedule Types of bills

Feedback whether accept

To follow up for the payments 3

COMPANY PROFILE

The Lakshmi Precision Screws Ltd, Rohtak was promoted by Sh. B.P. Jain and his associates as a private limited company on December 27, 1968. Shri B.P. Jain, promoter of the company and well known industrialist, has been associated with the manufacture of industrial fasteners for over 37 years. During this time he has established his experience regarding industry a record of successful management. And now Lalit Kumar Jain is the Chairman and Managing Director of the company. As in the beginning, the company was a private company and later on it was converted into public limited company on August 20, 1971 itself. In fact, LPS Ltd. Is one of the reputed engineering ancillary units in Haryana. It has continuously increased its installed capacity and product range by adding various production facilities over the years. The company supplies its product to some industries directly and to some other indirectly. This share in demand is estimated on the basis of directly supply, so on the whole, we can say that approximately 10% of the total demand is met by LPS Ltd. Alone. The installed capacity of LPS Ltd. Stands at above 13520 metric tones per annum and are ably supported by a host of ancillaries. 4

HISTORY 1968 - The Company was incorporated on 27th December, in Haryana as a Private Limited Co. and was converted into a Public Limited Co. on 20th August 1971. The Company was promoted by B.P. Jain and Associates. It manufactures cold and hot forged and hexagonal head screws/bolts, socket, set screws and cold forged nuts. The products are marketed under the name LPS. The Company also exports its products. 1969 - 4,000 No. of Equity shares issued to promoters, etc. 1970 - 2,200 No. of Equity shares issued to promoters, etc. 1971 - 5,600 No. of Equity shares issued to promoters, etc. 1973 - 1,000 No. of Equity shares issued to promoters, etc. 1978 - 2,000 No. of Equity shares issued to promoters, etc. 1979 - 3,000 No. of Equity shares issued to promoters, etc. 1980 - Equity shares subdivided into Rs 10 each. 50,000 No. of Equity shares issued to promoters, etc. 1981 - 1,20,000 No. of Equity shares issued to promoters, etc. 1982 - The Company had taken up an expansion programme for the manufacture of larger sizes of high tensile bolts and forged nuts by the installation of 1/2" nut former and 1" boltmaker. - 3,50,000 Bonus Equity shares issued in prop. 1:1 in November.

1983 - 37,50,000 No. of Equity shares offered at par for public subscription during October-November. 1984 - All imported equipment and associated machinery were commissioned. 1989 - Indian Fasteners Limited became a subsidiary of the Company. - The Company promoted a subsidiary company under the name of Indian Fasteners Ltd. 1991 - With a view to improving exports, the company proposed to undertake a modernisation-cum-expansion scheme. With a view to put further thrust as exports, the Company proposed to set up another export unit. 1993 - During July-August, the Company issued 21,75,000 rights equity shares of Rs 10 each at a premium of Rs 20 per share in the prop. 3:2 (all were taken-up). 1994 - 21,75,000 Rights equity shares of Rs. 10 each (Prem. Rs. 20) issued in propn. 3:2. 1995 - With a view to meet the challenge of an open economy, the Company proposed to undertake an expansion-cum-modernisation scheme involving a capital outlay of 1655 lakhs with an installed capacity of 2700 MT per annum. 1996 - After establishing its presence in the European and American Market the Company is diversifying its export activities with a two pronged strategy, firstly to introduce new products in the existing markets and secondly developing new markets of South East Asia, Middle East and South Africa. 1997 - Performance of the company was sluggish due to general slowdown in the economic growth coupled with stiff competition in the market. - The Company signed a joint venture agreement with the Bossard International AG, Switzerland for development of software and marketing/distribution of new range of fasteners for niche market of electrical, electronics etc. 6

- 16,00,000 No. of equity shares allotted at a prem. of Rs. 15.40 per share to promoters and their associate on private basis. 1998 - 8,00,000 equity shares allotted at a prem. of Rs. 9.75 pershare on conversion of 8 lakh warrants allotted as pref. basis to promoters of the Company. - The joint venture Companies LPS Bossard Information Systems Pvt. Ltd. and LPS Bossard Pvt. Ltd. in which the Company is holding 49% will start its activities in September.

1999 - Lakshmi Precision Screws Ltd (LPS), one of the largest exporters of high tensile fasteners from India, is exploring possibilities of exporting its products to newer markets with the objective of increasing its exports earnings in the coming years. - Lakshmi Precision Screws (LPS) is a front-runner in the Indian fastener industry. A name that signifies just about every kind of fasteners (over 6000 types). 7

SUBSIDIARY COMPANY: The LPS Ltd. has a subsidiary company named INDIA FASTENERS Ltd. This company was promoted by LPS in the financial year 1990-91. The company has a holiday companys in interest by virtue of Sec. 4(1) (a) of the companies Act 1956. LOCATION HEAD OFFICE: The company has a plot of land measuring 10900 square meters on the National Highway and is located at 46/1 milestone, Hisar road, Rohtak (Haryana). The present covered area of the land 10712 square meter. The registered office of the company is situated at Hisar road Rohtak i.e. the factory itself. It has its selling offices situated at Bombay, Delhi and Calcutta. Besides this company has appointed its sales representatives at Puna, Bangalore, Coimbatore and Madras. The location of the company is much useful and has no problem of transportation because company is at a distance of 3 Km. from bus stand and 4 Km. from railway station. Moreover, New Delhi, the capital of India is hardly 75 Km. from its plave and attached to Rohtak.

MANAGEMENT OF THE COMPANY: The company is managed by the Board of Directors. The day to day affairs of the company are being looked after by Managing Director Shri L.K. Jain subject to overall control and supervision of the board of directors, Shri Jain is assisted by whole time directors and an experienced team of executives. The board of directors of the company is comprised of the following given below: Lalit Jain : Chairman and Managing Director D.K. Jain V.K. Jain R.K. Jain Sushila Devi Jain J.R. Jain Babulal S. Aggarwal Dharmedra Bhandari Keshwa Nand Rattan Deepak Jain Ajay Kumar Chakraborty : : : : : : : : : : Vice Chairman and Managing Director Joint Managing Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director Non Executive Independent Director

MANAGEMENT TEAM: S.K. Jain J.C. Gupta R.P. Gupta M.G. Aggarwal : : : : Director Marketing G.M. Personnel Works Manager G.M. Quality Assurance 9

V. Sai Ram Pardeep Dhawan

: :

Senior Works Manager Deputy Works Manager H.P.S. Chugh V.R. Basal & Associates Chartered Accountants, Noida

Company Secretary & DGM (Finance) : Auditors :

Bankers

Canara Bank, Rohtak

Regd. Office, Factory & Corporate office: 46/1, Mile Stone, Hissar road, Rohtak-124001 (Haryana) Tel: 01262-248790 & 248289 Fax: 01262-248297 Registrar and Share transfer Agent: M/S MCS Ltd. Shri Venkatesh Bhavan, W-40, Phase-II, Okhla Industrial Area, New Delhi-110020 Tel: 011-4146151 10

Branch offices:

146, New Cycle Market Jhandewalan Extension, New Delhi-110055 Tel: 011-23587642 153-Wing-A, Mittal Tower, Nariman Point, Mumbai-400021 Tel: 022-56370984-85 8, Canning Street, 3rd floor, Room no. 303, Kolkata-700001, Tel: 033-22310754 305-A, Mittal Tower, 3rd floor, M.G. road, Bangalore-560001 Tel: 080-25588587

, 1/284,Transport Nagar, Agra (U.P) Tel: 0562-2600060

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ORAGNISATIONAL STRUCTURE:
Management by its nature deals with primarily organization of people and to some extent with physical recourses. So in an industry a large part of typical manager job is the integration of human physical resources. To accomplish this integration and to achieve basic business objectives a company design a formal organizational structure and objects job relationship and cooperative of efforts. The whole organizational structure of LPS Ltd. is clear from the organization chart depicted in figure:

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WELFARE SCHEME OF THE COMPANY:

The company has also initiated a number of welfare for the employee. In this regard, the company provides modern accommodation and other infrastructure facilities to its employees. Beside the housing facility provided by the company, the company also provide labour rest room staff rest room and lunch facility. The company issues one dress and two washing allowances are also given by the company to its employees. The company also pays bonus to its employees. RESEARCH AND DEVELOPMENT: The company also organize research and development and new projects directly through other association and institution for technological development. Total research and development expenditure as a percentage of turnover was 47% in 2005-06. MARKET DEMAND: The manufacture of high tensile fasteners by cold forging involves the use of advanced technology and the industry has been accorded a high priority of governments because of its vital contribution in the manufacture of automobile, two wheelers, tractors, earthmoving and material handling equipments. A major portion of the companys product are brought by the automobile industry which is in the process of substantial expansion. The demand for high tensile fasteners for non-auto application has been increasing steadily. The company therefore does not envisage any difficulty in marketing its entire production, moreover the company sells its products in home market as well as in the foreign markets. The purpose of selling its products in the foreign markets is to earn more and more foreign exchange, to capture foreign sells in foreign markets through selling agencies. In fact the companys products are becoming popular among prominent concerns.

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QUALITY MANAGEMENT
QUALITY CONTROL DEPARTMENT Now it is well known fact that that there is a very high variation between quality control and companys market credibility. The meaning of the concept quality is ever broadening and consequently getting redefined. Thus bringing with in its scope questions pertaining to productivity, cost, efficiency,customers service and much talked about product quality. All these questions taken together constitute the operational area for the quality control department of the enterprise. That is what the quality control department at LPS keeps in mind and tries to maintain high quality, not just by physical inspection as a ritual but by embedding it in every process of production itself. They are doing well to identify and measure process variables, the prevalent practice in the company is to take sample of material at each stop right from the raw material and testing up to both (a) Govt. Standard (b) Companys own internal standard. The whole process of testing and controlling has been illustrated below.

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PROCESS OF QUALITY CONTROL

Testing raw material

Issue of material from store

Care of temperature profile

Final inspection (1. dimensional test)

(2. Tightness ring gauge test)

Check out the finished product

As a part of the process of quality control the department is also responsible for tensile strength etc.

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PRODUCT LIST
STANDARD PRODUCTS A wide range of standard cold forged high tensile fasteners over 6,000 varieties covering the diameter range of 3 mm to 30mm and the length range of 6mm to 300 mm. Standard products covers most of international standards ISO, ANSI /ASME, BS, JIS, DIN etc. and engineered as per respective standards. These standard products covers a very wide range of industries viz Automobile sectors, standard / special m/c building sectors, textile sectors, printing machineries, Software sectors etc.

Socket Head Cap Screws Socket Low Head Cap Screws Socket Counter Sunk Head Screws Socket Button Head Cap Screws Socket Set Screw Knurled Cup Point / Special Points Hex Head Bolts / Screws Hex Nuts Dowel pins Stainless Steel Fasteners Special Automotive Fasteners

16

SPECIAL PRODUCTS A very comprehensive range of special high tensile bolts/screws, studs, nuts, and special cold forged components in the size range of 3 mm to 30 mm are manufactured. These special products are made to satisfy a very exacting engineering standards. LPS Range of Special Products cover the automobile, tractor, heavy earth moving equipments, textile machinery and machine building industries. To name a few of the special products in which LPS is the undisputed leaders are: Durlock Bolts Wheel / Hub Bolt Flange Bolt Connecting Rod Bolt Gear Shaft Axles Stud

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Market of LPS
17

Total Market Export 43% Domestic 57% Domestic Market Standard 25% OEM 75% OEM Market Tractor 12% Others 3% LCV/MCV 12% Machine Tools 15% Scooter/M otorcycles 58% 16

18

For LPS the international market contributes almost equally to the sales turnover of the company. The export contributes 40% to 50% of the turnover. If we look at the last year figure, the domestic market contributed to 57% of LPSs total sales and the export rest 43%. However in the domestic market the standard items contributed 25% of the turnovers are and 75% are by the items that are supplied to the domestic OEMs as per their specification. If we take a closer look at the sales to domestic OEMs, we find that Scooter/Motorcycle manufacturer take the large chunk i.e. 58%; machine tools have the share of 15%; the scooter/motorcycle manufacturer and the tractor manufacturer have equal share of 12%; others share is 3%.

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MAIN MARKETS:

(A) Domestic (User Industries) Automotive Aviation Heavy and light machinery Hydraulic pneumatic pumps Machine tools, jigs and fixtures Railways Refrigeration and air conditioning

(B) International (Countries) Australia Germany Holland Hong Kong Singapore South Africa South Korea Sweden Switzerland United Kingdom United States of America GROUP OF COMPANIES: Indian Fasteners Ltd. Amit Screws Pvt. Ltd Hanumant Wire Udyog Pvt. Ltd. J. C. Fasteners Ltd. L.P.S. Bossard Pvt. Ltd. (Joint venture) L.P.S. Bossard Information system Pvt. Ltd. (Joint venture)

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L.P.S. fasteners Industries and Wire Pvt. Ltd. NAV Bharat Industries NAV Bharat Agencies Shiv Industries United Engineers Universal enterprises Swadesh Engineering Industries Sudhir Automotive Industries Pvt. Ltd.

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DEPARTMENTAL PROCEEDING

The department proceeding is the marketing department is a complex process involving various types of task. The departmental; proceedings of the LPS are as follows: First of all a four members or five member committee is made which goes to the companies to enquire about the product they want. After knowing that what type of product needed, the feasibility of product is seen that whether the product can be manufactured by the company or not if yes then the further proceedings are done and if not deal is stopped there only. Now if the product can be manufactured by the company then the quotations are given which comprises of rates. Delivery modes ST and CST whether applied or not. FOR -> At our works At destination free up to city At your works (total free ) Central Excise Duty -> 15 % CST interstate dealing inter branch transaction NO CST ST + 5% only applicable in direct sales to company and not to dealers. After the giving up of quotations, negotiations are held a dif both the companies agree then the further proceedings are done and if not the dealings is closed. Then the purchase order is given by the company for 1 year or more. After getting the purchase order the delivery schedule is made i.e. that the order will be supplied in 2.3 or 4 delivery schedules as per the requirement in the coming period. 22

After making the delivery schedule the product development starts, which include many processes that is related to production department. After the product development, the delivery is made as per the schedule decided by the company. Then the feedback is made whether the product is accepted or rejected if there is found certain discrepancies in the product, then the product is returned to the company. Then follow up payment is done.

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PRODUCTION DEPARTMENT
For efficient production the department has been sub divided into various units such as production division, P.P.C. division, quality control division and engineering division. All the divisions are the part of production department and responsible for regulating all the workers of production and responsible to report the works manager who us directly reporting to the general manager. The function of the production department is to effectively plan and regulate the operation of that part of enterprise which is responsible for actual transformation of raw materials into finished products. The production activities in the LPS are looked after by works manager, who is responsible to report the general manager. In LPS, general manager himself also visits to the production department to observe the working of the plant. LPS offers a complete range of socket screws, hex head bolts/screws, hex nuts, special automotive fasteners confirming to international standard. The basic raw material used in the production of these screws and meets are CHQ carbon boron Alloy steel wires in rods and coils. The source of raw material is both Indian market LPS purchases from: 1. Mukund Limited, Bombay 2. Bihar alloys limited

LPS also imports its raw material from foreign countries. Main countries are 1. Donglu Corporation, Saudi Korea 2. Mitsui & Co. Ltd., Japan 3. Komorowaski Company, West Germany. Indian raw material is used in the production of hex nuts and imported raw material is used in high quality screws and nuts.

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PRODUCTION PROCESS
The plant of Lakshmi Precision Screws Limited comprises of modern imported automatic machines e.g. Nut Maker, Bolt Maker, and Thread Rollers etc. in an automatic machine the production is of continuous type. The wire is fed from one end to the machine where it is subjected to three or four simultaneously operation, as the case may be and from other end we get the finished product e.g. in screw making, parting off, thread rolling operations simultaneously takes in the machine itself. From the production, the company requires steel wire rods in the form of coils confirming to AISI 1541, 4140, 4137 & 4037 for manufacturing bolts and confirming to AISI 1008, 1110 and 1035 for nuts. After the screws/bolts/nuts are released from the machine it is subjected to head treatment/planting operations as per requirements of the party. In head treatment process, the component is hardened up to a certain grade as prescribed by the customer. Here the component is heated to a specific temperature and then slowly cooled for desired hardness. The hardened component is then subjected to planting process where zinc plating is done by electrolysis process. After the desired plating the component becomes ready for dispatch.

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PRODUCTION PROCESS

Chart

Wire from the bend or coils

Cutting of wire

Forging

Heat treatment

Rolling

Grinding

Plating Phosphate

Finishing

Oiling

Packing

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1. Production and material control: The production control manager is responsible for setting the overall production schedule and making certain that manufacturing has the parts and materials needed for this, he is required to compute the detailed requirements for materials needed. When a materials management concept of organization is used it is wise to consider production control separately from production scheduling. Production scheduling is concerned with allocation of work to men and machines to produce the number of units specified by production control within the scheduled time constraints. 2. Purchasing: The responsibility of buying the kinds and qualities of materials authorized by the requisitions issued by various departments, is of the purchasing department. Sometimes it is advisable that the purchasing is given the right and the duty to advise, question and even to challenge the requisitions issued by production control, engineering, maintenance and any other department on material specification and selection. 3. Non-production store: The stores department is responsible to control non-production (office supplies, perishable tools and maintenance, repair and operating supplies). It maintains physical stocks of non-production items to be drawn on as needed for operations or maintenance, manages inventories of non-production materials, minimize losses from piferage and spoilage and prevent stockouts . 4. Traffic: The traffic department is responsible for buying transportation services. It deals with inbound consignments of purchased materials and is responsible for selecting common or charter carriers and routings, auditing invoices from carriers and filling claims for refund transportation cost.

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5. Materials handling: It is concerned with the movement of materials within a manufacturing establishment. For this, development of special purpose equipment may be require to reduce handling costs per unit of materials and reduction in time required to move a unit of material from one location to another. The materials management organization is especially well suited to firms that spend substantial sums on purchased materials and must carry fairly large rawmaterials inventories. Material management in narrowest sense is concerned mostly with purchased parts and materials; physical distribution and logistics management focus mostly on finished goods. OBJECTIVES AND FUNCTIONS: Every business has economic and non-economic objectives. Economic objectives include survival and profits while favourable community relationship, best possible service to customers, good working conditions and opportunities for advancement for employees are some of the non-economic objectives. PRIMARY OBJECTIVES: 1. Low Prices is the first primary objective. If materials department succeeds in reducing the price, of items it buys, it contributes in not only reducing the operating costs but in enhancing the profits as well. 2. High inventory turnover can broadly be defined as the use of material along with the incoming flow so that the minimum is blocked on inventories. This will help in saving the investment on capital as well as interest on the capital. 3. Efficient handling of materials and storage lowers the acquisition and possession costs and thereby real cost is reduced.

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4. Continuity of supply Uninterrupted supply of materials is the essential requirement of any production organization. The average production cost of the product may rise considerably specially in case of automatic plants and on-line process plants where the interruption in supply of materials may result in to the total loss of manufacturing capability. 5. Consistency of quality The consistency in quality is aimed at to ensure proper products of standard specifications. Inferior materials and spare parts may result into severe consequential losses.

SECONDARY OBJECTIVES:
The secondary objective of materials management represent the materials departments contribution to the achievement of the primary objective of some other department. 1. Reciprocity Delibrate buying from its own customers by the company is known as reciprocity. Sound reciprocity involves a balancing of the advantages and disadvantages of using ones buying power as an instrument for getting sales. 2. Promotion of standardization Standardization helps in controlling materials management process. Materials personnel can periodically review stock to weed-out non-standard item, and they can promote the incorporation of standard components into product designs to reduce cost and they can promote standardization with suppliers. 3. Product improvement Materials personnel can assist the engineering department by their economic knowledge in making product improvement. They can suggest materials or components that will do a better or equivalent job at lower cost.

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4. Future forecast The future out look of prices of basic raw-materials and other items used, the availability and market trends may also be predicted by the materials department so as to achieve a better workable margin for companies to decide its manufacturing and sale activities.

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FLOW OF COMMUNICATION Marketing department mainly works in coordination and planning of production department. The main communication flow of marketing department is with these two departments planning and production. Marketing greatness of marketing department brings orders from the concerned companies and they supply the information to the planning department. Planning department according the need and necessarily of the item gives instruction to the production department when the production of the material starts. The production department and the marketing department after the material passes stage 1 i.e. forging. The production department both for confirmation. After supplying of information of the material undergoes different stage of production like forging there is rolling then information is supplied to planning department after each stage of production so that planning department should be aware that of which stage is material. Now after passing the material to the above stages the final inspection is done and then the material is passed to the store house. After the material has reached to store department, the information about the material is supplied to the marketing as well as planning department. In this communication flow occurs between departments.

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VISION

Be recognised as the best and preferred supplier of National / International standard.

MISSION To be a growth oriented professional company promoting high standards of business ethics and producing best quality products thereby achieving international standards of excellence. To establish a strong R&D facility to fulfill the demands of the automotive industry as comprehensively as possible. To make each member of the company feel proud and empowered by fostering a culture of participation and innovation.

To strive for reduction in defects and achieve 6 Sigma and beyond so as to make quality a way of life in LPS. To reduce cycle time in all processes as a step towards over-all improvement.

To provide prompt and excellent service to customers anywhere in the world.

To maximize shareholder's wealth.

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MILESTONES

Certifications / Accreditations Self-Certification Status from - FORD TRACTORS. Self-Certification Status from - LMW. Accredited in Mechanical & Chemical Testing by A2LA (USA), to meet fastener quality act of USA. Accredited in Mechanical Measurement, Mech. & Chemical testing by NABL, Govt. of India. ISO 9002 Self Certification status from TELCO. Technical Tie up with Sunil Machinery Co. - Korea Licenced Manufacturers of TORX Screws from CAMCAR Co. - USA. QS 9000 TS-16949 ISO -14001 Golden Peacock Award

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OBJECTIVES OF THE STUDY

The project report has been prepared in order to achieve certain objectives. To mention a few are: To make readers familiarity towards variety of sales promotional techniques used by different fasteners companies. To get acquainted to sales promotion, a promotional fool. To analyse OEM customers & dealers perception towards such techniques To analyse loop holes & put forward certain recommendations and suggestions regarding topic. To provide different sales promotion techniques that are present before different fasteners companies to offer.

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RESEARCH METHODOLOGY
Research in simple words can be defined as scientific and systematic search for pertinent information on a particular topic or subject. It is an endeavor to gain new knowledge. Thus it is an original contribution to present stock of knowledge making for its enhancement. Research methodology is the procedure for conducting the research. Research methodology should be carefully planned as the accuracy, reliability and adequacy of results depend up on the research methodology followed. It gives the researcher a guideline by which he can decide which techniques and procedures will be applicable to a given problem. Moreover it also helps in evaluation of the research by others also. So for the research to be purposeful and effective the researcher should plan research methodology before proceeding to research study. The following are the aspects, which should be considered while designing a research methodology. RESEARCH PROBLEM The first step while conducting a research is to carefully define the research problem. The present study has been undertaken to analyze the Various Sales Promotion Techniques of LPS ltd. & its various competitors in this area. Its aim is to find out that Sales promotion techniques should be added or improved, so that company can improve its strategies for increasing its sales in future.

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RESEARCH DESIGN
Research design is the blue print to study any problem. It is a plan for collection, analysis and interpretation of data in a manner that is relevant to the research purpose with economy in procedure. The following are the different type of research design. 1) Research design in case of exploratory research studies 2) Research design in case of descriptive research studies 3) Research design in case of diagnostic research studies 4) Research design in case of experimental research studies The present scheme is exploratory research scheme in this I took case studies and questionnaire as the important part of the research.

SAMPLE DESIGN
The amount of research work is limited by shortage of time and resources. Due to these limitations, it is not possible to gather complete information so technique of sampling is applied. The samples are so selected that they are representative of the entire problem. Sampling unit: Sample size: Sampling media: Dealers 150 Responders Questionnaire

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DATA COLLECTION
There are basically two types of data: Primary data and secondary data Primary data The data which are collected for the first time and happens to be original in nature. Secondary data The data which are already been collected by someone else and which has already passed through the statistical process. In research primary data is collated by the way of questionnaire, which was filed by the dealers itself.

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LIMITATIONS
1.As the Company deals in Industrial Products, rate of response is very less. 2. Industrial good consumers are less in comparison of other consumers 3. The most of material was collected from the persons employed in Company, So there are chances of biasness. 4. The Scope of Research is very less. 5. Research was done only in Limited Areas. 6. Fully correct information cannot be obtained due to the dependence of dealers on LPS.

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DATA ANALYSIS AND INTERPRETATION AWARENESS OF THE OEM CUSTOMERS AND DEALERS ABOUT THE COMPANY
Response Aware Unaware No. of respondents 143 07

5% AWARE (95 %) UNAWARE (5%) 95% INTERPRETATION: 95 % DEALERS AND OEM CUSTOMERS ARE AWARE ABOUT THE COMPANY AND 5% ARE UNAWARE.

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SATISFACTION OF SOCKET + HEAD CAP SCREWS AMONG OEM AND DEALERS Response Satisfied Unsatisfied No. of respondents 138 12

8% SATISFIED 92% UNSATISFIED 8% 92% INTERPRETATION: 92 % OF THE DEALERS ARE SATISFIED WHEREAS 8 % OF THE DEALERS ARE NOT SATISFIED.

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SATISFACTION OF LOW HEADD SOCKET CAP SCREWS AMONG OEMS AND DEALERS Response Satisfied Unsatisfied No. of respondents 128 22

15% SATISFIED 85% UNSATISFIED 15% 85% INTERPRETATION: 85 % OF THE DEALERS ARE SATISFIED WHERE AS 15% ARE NOT SATISFIED

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SATISFACTION OF HEX NUTS AMONG DEALERS Response Satisfied Unsatisfied No. of respondents 135 15

10% SATISFIED 90% UNSATISFIED 10% 90% INTERPRETATION: 90 % OF THE DEALERS ARE SATISFIED WHERE AS 10 % OF THE DEALERS ARE NOT SATISFIED.

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SATISFACTION OF HEX HEAD BOLTS AMONG OEMS AND DEALERS Response Satisfied Unsatisfied No. of respondents 143 07

5% SATISFIED 95% UNSATISFIED 5% 95% INTERPRETATION: 95 % OF THE DEALERS ARE SATISFIED WHEREAS 5 % OF THE DEALERS ARE NOT SATISFIED

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BUYING BEHAVIOUR OF FLANGE BOLTS AMONG DEALERS Response Buy Dont buy No. of respondents 120 30

20% BUY 80% DONOT BUY 20% 80% INTERPRETATION: 80% DEALERS BUY THIS PRODUCT WHEREAS 20% DONT BUY THIS PRODUCT

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BUYING BEHAVIOUR OF AXLE BOLTS AMONG DEALERS Response Buy No. of respondents

Dont buy 10% BUY 90% DO NOT 10% 90% INTERPRETATION: 90% OF DEALERS BUY THE PRODUCT AND 10% OF DEALERS DO NOT BUY THE PRODUCT

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BUYING BEHAVOIUR OF CONNECTING ROD BOLTS AMONG DELAERS Response Buy 40 No. of respondents 143

Dont buy 07 5% BUY 95 % DONOT BUY 5% 95% INTERPRETATION: 95% DEALERS BUY THE PRODUCT BUT 5%DEALERS DO NOT BUY THE PRODUCT

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RESONS FOR BUYING LPS PRODUCTS BY DEALERS Response Schemes Customer demand Better result Margin No. of respondents 30 68 30 22 41

15% 20% SCHEMES 20 % CUSTOMETR DEMAND 45 % BETTER RESULT 20% MARGIN 15% 20% 45% INTERPRETATION: 45 % FOR CUSTOMER DEMAND 20 % FOR SCHEMES 20%FOR BETTER RESULTS 15% FOR MARGIN

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SALES PROMOTION ACTIVITY USED BY LPS Response Dealers margin Automobile magazine Credit facility Inventory services Fairs and exhibitions No. of respondents 38 30 22 23 37 42

20% 25% 25% 15% 15% INTERPRETATION: 25 % FOR DEALERS MARGIN 20 % FOR AUTOMOBILE MAGAZINE 25 % FOR FAIRS AND EXHIBITIONS 15% FOR INVENTORY SERVICES 15 % FOR CREDIT FACILITIES DEALERS MARGIN 25% AUTOMOBILE MAGAZINE 20% CREDIT FACILITIES 15 % INVENTORY SERVICES 15 % FAIRS N EXHIBITIONS 25 %

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BEST MEDIA FOR SALES PROMOTION Response Fairs Automobile magazines Dealer margin Credit facility Inventory services No. of respondents 45 30 30 22 23 43

15% FAIRS 30% 30% 15% AUTOMOBILE MAGAZINES 20% DEALER MARGIN 20 % CREDIT FACILITY 15% INVENTORY SERVICES 15% 20% 20% INTERPRETATION: 20 % FOR DEALERS MARGIN 20 % FOR AUTOMOBILE MAGAZINE 30 % FOR FAIRS AND EXHIBITIONS 15% FOR INVENTORY SERVICES 15 % FOR CREDIT FACILITIES 49

FINDINGS 1. Though my survey I found that 95 % dealers and OEM customers are aware of the company and its products 2. As far as the buying behavior of the dealers is concerned , 50 % of the dealers buy the products due to customer demand, 20 % buy the products for better results, 20 % buy the products for schemes and rest 10 % respondents opt for margin 3. The best media of sales promotion which I found in my survey is the Fairs and Exhibitions, Automobile magazines, Dealers margin, Schemes, Credit facilities. 4. As far as the performance of the company BR is concerned 50 % dealers said that the performance is good, 40 % said average and 10 % responded

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CONCLUSIONS The marketing situation is changing very fast. With the Increasing competition, customers are having many alternatives for each and every product available in the market. As technology is becoming advanced, therefore more complexities have arisen whereby continuous sales promotion efforts have become a necessity. During study it was found that LPS has really very strong and efficient dealer network, where each individual is working hard to his/her level best to maintain. They believe in the principle: NEVER STOP LISTENING NEVER STOP LEARNING NEVER STOP TRAINING The company has been organizing various types of training programs for company and dealer engineers to meet the expectations of the customers. Customer is the king and he has always been so and continues to be so. However as the market undergoes a transition from the sellers market, no one can afford even a single dissatisfied customer. Customer satisfaction is not only necessary but profitable also because one satisfied customer brings in many more new customers, besides giving repeat business. Each customers need for the product depends upon his/her personal circumstances or their attitude and perception towards the product. So why not determine probable needs of all the customers who have purchased something from the dealer or by company side.

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SUGGESTIONS AND RECOMMENDATIONS LPS should concentrate on other countries also rather than concentrating on India. LPS should use more sales force for capturing the contracts from abroad. Company should concentrate on brand recognition. Company should provide good quality product to the customer at lower price.

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QUESTIONNAIRE Q1: a) Name of the Dealers firm_________________________ b) Location_______________________________________ Q2: Do you know about L.P.S. Yes [ ] No [ ] Q3: How many of the following products you know: Yes [ ] No[ ] a) Standard [ ] b) Special [ ]

Q4: Which product of the L.P.S. you buy a) Standard [ ] b) Special [ ] Q5: Which sales promotion effort of L.P.S. do you know about the Product? a) Automobile management [ ] b) Fairs N Exhibitions [ ] c) Paper Ads[ ] d) Bulk discount[ ] e) Display Stand [ ] Q6: What should be the various promotional efforts adopted by the L.P.S. to enhance its sale? 53

a) Automobile magazine[ ] b) Fairs n exhibitions[ ] c) Inventory services [ ] d) Bulk discount [ ] e) Time delivery [ ] f) Consultancy Sources [ ] g) Consultancy services [ ] h) credit facility [ ] Q7: Do you have the dealership of other fasteners manufacturers Organization Yes[ ] No [ ] If yes please mention the name of manufacturing organization a) __________________________ b) __________________________ c) __________________________ Q8: What are the various promotional efforts offered by the Other companies to you? a) Automobile Magazine [ ] b) Fairs N Exhibitions [ ] c) Inventory Services [ ] d) Bulk Discount[ ] e) Time Delivery [ ] f) Consultancy Sources [ ] g) Consultancy Services [ ] h) Credit Facility [ ] 54

Q9: According to you which companys promotion effort is best? a) L.P.S. [ ] b) sundram fasteners [ ] c) Mahindra fasteners [ ] d) others [ ] Q10: which of the following is the best media for sales promotion? a) Automobile Magazine [ ] b) Fairs N Exhibitions [ ] c) Display Stand [ ] d) Bulk Discount [ ] Q11: What would you rank sales promotion of L.P.S. product? a) Very good [ ] b) Good [ ] c) OK [ ] d) Bad [ ] Q12: How often L.P.S. sales representative visits to you? a) Once in a month [ ] b) Twice in a months [ ] c) Thrice in a month [ ]

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Q13: What is the attitude of the L.P.S. towards customer? a) Excellent [ ] b) Acceptance [ ] c) Good [ ] d) Poor [ ] Q14: Are you satisfied with the L.P.S. promotional efforts as a whole? Yes [ ] No [ ] Q15: Any other suggestion from your side to improve the sales Promotion of L.P.S. _____________________________________________ _____________________________________________ _____________________________________________

Thanking You

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BIBLIOGRAPHY
1. Kotler Philip (Marketing Management) 8th edition New Age International Pvt. Ltd. publishers, New Delhi. 2. Kothari C.R. 2nd edition (Research Methodology) New Age International Pvt. Ltd. publishers, New Delhi. WEBSITE: 1. http://www.lpsindia.com 2. http://www.google/salespromotion

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