Documentos de Académico
Documentos de Profesional
Documentos de Cultura
C PRODUCTS
A STUDY
On
CONSUMER BEHAVIOUR TOWARDS I.T.C PRODUCTS
Submitted by:
Mr. METHUKULA VINAY,
Regd No: 105027014.
Under the Guidance of
Mr. G.VISHWANATH SIR M.B.A.
Asst. Professor
DEPT.OF
Project
Submitted By
Mr. METHUKULA VINAY,
(REGISTER NO: 105027014)
In partial fulfillment of the degree of
BACHELOR OF BUSINESS MANAGEMENT
Under the guidance of
Mr. G.VISHWANATH, M.B.A.
ASST.PROFESSOR
DEPT.OF
BONAFIDE CERTIFICATE
DEPARTMENT OF MANAGEMENT STUDIES
This is to certify that the project work entitled CONSUMER BEHAVIOUR TOWARDS I.T.C
PRODUCTS is a bonafide record work done by
(Regd.
No.105027014) submitted in the partial fulfillment of the requirement for the award of the degree of
Head of Department
Place:
Date:
DEPT.OF
GUIDE CERTIFICATION
This is to certify that the project work entitled CONSUMER BEHAVIOUR TOWARDS
I.T.C PRODUCTS Is a bonafide record work done by Mr.
No.105027014) Submitted in the partial fulfillment of the requirement for the award of the degree of
BACHELOR
RAYALASEEMA
UNIVERSITY.KURNOOL.
Faculty Guide
Head of Department
Place:
Date:
DEPT.OF
DECLARATION
Date:
Place:
Name:
Reg. No:
DEPT.OF
ACKNOWLEDGEMENT
I would like to thank our Principal Mr. VIJAY KUMAR and for helping
me to undergo the training well.
Last but not least I would thank my guide Mr.G.VISHWNATH and also
our staff members, Dr. JYOTHIRMAYI DEGREE COLLEGE for their
support during the course of my project which is worth praising.
DEPT.OF
TABLE OF CONTENTS
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CHAPTER
CONTENTS
PAGE NO
Introduction
1.1 Definitions of Consumer Behavior & Marketing
1-9
Study design
2.1. Importance of study
2.2. Objectives of study
2.3. Need of study
2.4. Scope of study
2.4. Methodology
2.5.Limitation
10 - 16
17 - 31
32 - 48
49 - 51
Bibliography
Questionnaires
Annexure
52 - 63
4&5
LIST OF TABLES
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CONTENTS
PA
N
O
1
2
3
4
5
6
7
8
9
1
0
1
1
1
2
1
3
1
Are you satisfied with the quality and the quantity of the
Products
Suggestions
33
34
35
36
37
38
39
40
41
42
43
44
45
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46
LIST OF GRAPHS
CONTENTS
PA
H
N
O
1
2
3
4
5
6
7
8
9
10
11
12
13
14
33
34
35
36
37
38
39
40
41
42
43
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44
45
46
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CHAPTER-I
INTRODUCTION
Management:
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The basic unit of society is the individual. But no individual can satisfy
his needs and desires himself. So he unites his fellow beings and works in organized
group to achieve his objectives.
within a group/ organization which tends to lead it towards the group goal.
Management is a universal process in all organized, social and economic activities.
that ensures consideration and cohesiveness to the activity, with our acts would be
unproductive and ineffective.
country enough factors of production and other natural resources can still be poor if it
does not have competent managers to combine and coordinate resources. Without
management, a countrys resources of production remain as resources and never
become production.
activities and the way we manage and our institutions reflects with alarming clarity
what we and our society becomes.
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Definitions of management:
The art of knowing exactly what you want men to do and seeing that they to
do it in the best and the cheapest way
1.
2.
3.
Market:
A market is a set of actual and potential (future) buyers of a product.
The concepts of exchange and relationships lead to the concept of a market.
Economists use the term market to refer a collection of buyers and sellers, who
Marketing:
Marketing is perhaps most complex and challenging function performed by
every business firm. It is the main reason for the existence of business. In this age of
rapid change, marketing is the springboard of all business operations. It is guiding
element of every business. It is powerful mechanism which alone can satisfy the
needs and wants of the customer at the place and price they desire.
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Definition:
According to
American
Marketing Association
Marketing is the
performance of the business activities that directs flow of goods and services from
product to customers
by
which individuals and group obtain what they need and want through creating,
offering and exchanging products of value with others.
organizations and process by which nations resources are distributed among the
people and satisfy their wants and needs.
Consumer Behavior:
We are all consumers, consumer behavior is a vital factor which most be
known to the marketing management, unless a marketing manager has the knowledge
of the factors that effects the consumer purchasing patterns, he con not do his best in
the formation of sates policies and advertising policies.
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The term consumer behaviour refer to the behavior of the consumers while
purchasing using and disposing the products which they will satisfy their needs, so
this consumer behavior is vital factor in manufacturing management. The study of
consumer behavior is the study of how the individuals spend their available resources
like time, money and efforts etc on consumption of the product.
Definition:
The decision process and physical activity of individuals engage in when
evaluating, acquiring, using or disposing of goods and services.
-Loudon andbitta
There are four major factors influencing consumer behavior. They are:
1.
2.
3.
4.
Cultural factors
Social factors
Personal factors
Psychological factors
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Cultural factors:
Cultural factors are broadest and deepest influence on consumer behavior. The
marketer needs to under stand the role played by buyers culture, sub-culture and
social classes.
Culture:
Culture is the most basic cause of a person wants and behavior. Culture is
Sub-culture:
Each culture contains smaller sub cultures based on common life experience
and situations. Sub-cultures include nationalities, religions, racial groups and
geographic regions. Many sub-cultures make up important market segments.
Social classes:
class exhibits similar product and brand preferences. Social classes refer not only
income but other indicators such as education, occupation and residential area.
Social factors:
A consumers behavior also is influenced by social factors, such as the
consumers small groups, family and role and status.
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Groups:
A persons behavior is influenced by small groups. Groups that have a direct
influence and to person belong are called membership groups. Some are primary
groups with whom regular but informal interaction such as family, friends, neighbors
and co workers.
Family:
Family members can strongly influence buyers behavior. Family is a
fundamental reference group for many consumers. Infact, it is the target market for
many products. Marketers distinguish between two types of families in the consumer
life. The family of orientation consists of ones parents and siblings. On the other hand
family of procreation namely once spouse and children will have a more direct
influence on every day buying behavior. The concept of family life cycle gives
valuable insights in the buying behavior of a family.
Personal factors:
A buyers decisions also are influenced by personal characteristics such as the
buyers age and life style or life cycle stage, occupation, economic situations etc.
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Occupation:
A person occupation effects the goods and services bought blue collar workers
tend to buy more work clothes where as white collar workers buy more suits and ties.
Psychological factors:
Motivation:
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A person has many needs at any given time. Some are biological, arising from
stages of tension such as hungry, thirst or discomfort. Most of those will not be strong
enough to motivate when it is aroused to sufficient level of interest. A motive is need
that is sufficiently
pressing to direct the persons to seek satisfaction. Consumer motives can be described
as a process through which wants are satisfied human behavior is goal oriented. Goals
are sought after the results of motivated behavior.
Perception:
Perception is the process by which an individual selects, organizes and
interprets information inputs to create managerial picture of world. Perception has
strange implications for marketers. Consumers make decisions based on what they
perceive. They generally equal at the quality of product on the basis of variety of
informational causes such as colour, size, price and strong image. Consumers often
ready on prices as on indicator of quality. How consumers perceive a price has a
strong influence and purchase decision.
Learning:
When people act, they learn. Learning describes changes in individuals
behavior arising from experience. Learning theories says most of the human behavior
is learned. Learning occurs through the interplay of drives, stimuli, cause, responses
and reinforcement. Learning involves changes in a persons behavior due to the fast
experience.
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Through doing and learning people accrued beliefs and attitudes. These interns
influence their buying behavior. A belief is descriptive thought of a person has about
something. Marketers are interested in beliefs that people formulate about specific
product and service.
As consumers we have many attitudes towards products and services. But they
are not necessarily permanent, they do change. Marketers are instructed how
consumers attitudes form and how they changed.
CHAPTER-II
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STUDY DESIGN
What the consumer things of the companies products and those of its competitors.
What is the consumer attitude towards the products and its advertising
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IMPORTANCE OF STUDY
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Sources of data
Primary data:
respondents and dealers, discussions with consumers. The primary data is collected
and gathers for specific purpose.
Secondary data:
The secondary data is obtained from company records, circulars, and policy
documents, broachers of the company and from the company website.
Sample size:
Data were collected by the means of well structured closed ended and open
ended questions from 100 consumers. The consumers are from various classes and
various age groups.
Methodology
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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Observation method:
In this method it is possible to get both past and current information, it enables
to observe the variables which influenced consumers behaviour as it occurs.
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Although the attempt was made to gather relevant data. Yet there were few
short comings and difficulties.
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CHAPTER-III
INDUSTRY
PROFILE
&
COMPANY
PROFILE
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INDUSTRY
PROFILE
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INDUSTRY PROFILE
Fast Moving Consumer Goods (FMCG) goods are all consumable items
(other than groceries/pulses) that one needs to buy at regular intervals. These are
items which are used daily, and so have a quick rate of consumption, and a high
return. FMCG can broadly be categorized into three segments which are:
Personal care items as shampoos, toothpaste, shaving products, etc and finally
Food and Beverages as snacks, processed foods, tea, coffee, edible oils, soft
drinks
etc.
Global leaders in the FMCG segment are Nestl, ITC, Hindustan Unilever
Limited, Reckitt Benckiser, Unilever, Procter & Gamble, Coca-Cola, Carlsberg,
Kleenex, General Mills, Pepsi, Gillette etc.
Overview
The burgeoning middle class Indian population, as well as the rural sector,
present a huge potential for this sector. The FMCG sector in India is at present, the
fourth largest sector with a total market size in excess of USD 13 billion as of 2012.
This sector is expected to grow to a USD 33 billion industry by 2015 and to a
whooping USD 100 billion by the year 2025.
Rise in disposable incomes, resulting in premium brands having faster growth and
deeper penetration.
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Increasing rate of inflation, which is likely to lead to higher cost of raw materials.
The present slow-down in the economy may lower demand of FMCG products,
particularly in the premium sector, leading to reduced volumes.
The declining value of rupee against other currencies may reduce margins of many
companies, as Marico, Godrej Consumer Products, Colgate, Dabur, etc who import
raw materials.
In conclusion:
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COMPANY
PROFILE
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COMPANY PROFILE
Evolution
ITC was incorporated on August 24, 1910 under the name Imperial
Bazar Lane, Kolkata, was the centre of the Company's existence. The Company
celebrated its 16th birthday on August 24, 1926, by purchasing the plot of land
situated at 37, Chowringhee, (now renamed J.L. Nehru Road) Kolkata, for the sum of
Rs 310,000. This decision of the Company was historic in more ways than one. It was
to mark the beginning of a long and eventful journey into India's future. The
Company's headquarter building, 'Virginia House', which came up on that plot of land
two years later, would go on to become one of Kolkata's most venerated landmarks.
employs over 26,000 people at more than 60 locations across India and is listed on
Forbes 2000. ITC Limited completed 100 years on 24 August 2010.
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Paperboards, Packaging and Agri-Exports, it is rapidly gaining market share evenin its
nascent businesses of Packaged Foods & Confectionery, Branded Apparel, Personal
Care and Stationery.
History
medical care, sports facilities and paid holidays. In 1830, the company was renamed
W.D. & H.O. Wills. Their first brand was Bristol, made at the London factory from
1871 to 1974. Three Castles and Gold Flake followed in 1878 and Woodbine ten years
later.
Company from a merger of W.D. & H.O. Wills with seven other British tobacco
companies. Imperial remains one of the world's largest tobacco companies. Embassy
was introduced in 1914 and relaunched in 1962 with coupons. The last member of the
Wills family to serve the company was Christopher, the great great grandson of H.O.
Wills I. He retired as sales 1969.
Rural initiatives
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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products. ITC is one of the India's biggest foreign exchange earners (US $ 2 billion in
the last decade). The Company's 'e-Choupal' initiative is enabling Indian agriculture
significantly enhance its competitiveness by empowering Indian farmers through the
power of the Internet. This transformational strategy, which has already become the
subject matter of a case study at HarvardBusinessSchool, is expected to progressively
create for ITC a huge rural distribution infrastructure, significantly enhancing the
Company's marketing reach.
ITC is the first Indian company and the second in the world to win the prestigious
Development Gateway Award. It won the $100,000 Award for the year 2005 for its
trailblazing ITC e-Choupal initiative which has achieved the scale of a movement in
rural India.
ITC Hotel Royal Gardenia, Bengaluru is the first Indian Hotel and world's largest, to
get the LEED Platinum rating - the highest green building certification globally.
The Stockholm Challenge 2006 for the e-Choupal initiative. This award is for using
Information Technology for the economic development of rural communities.
Vision
world class performance, creating growing value for the Indian economy and the
Companys stakeholders.
Mission
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Cigarettes
ITC is the market leader in cigarettes in India. With its wide range of invaluable
brands, it has a leadership position in every segment of the market. It's highly popular
portfolio of brands includes Insignia, India Kings, Lucky Strike, Classic, Gold Flake,
Navy Cut, Players, Scissors, Capstan, Berkeley, Bristol and Flake, Silk Cut and
Duke.
Sunfeast
ITC made its entry into the branded & packaged Foods business in August 2001 with
the launch of the Kitchens of India brand. A more broad-based entry has been made
since June 2002 with brand launches in the Confectionery, Staples and Snack Foods
segments.
ITC entered the into different segments like Atta market with the
launch of Aashirvaad Atta, biscuits with Sunfeastrange of Glucose,
Marie and Cream Biscuits, confectionery segment with 'mint-o' and
'Candyman', salted snacks with Bingo.
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Lifestyle Retailing
ITC's
Lifestyle
Retailing
Business
Division
has
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Personal Care
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Safety Matches
The Matches business leverages the core strengths of ITC in marketing and
distribution, brand building, supply chain management and paperboard & packaging to
offer Indian consumers high quality safety matches. ITC's range of Safety matches
includes popular brands like iKno, Mangaldeep, Stylites, Aim and Aim Mega.
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technologically advanced and most eco-friendly, paper and paperboards business. The
business caters to a wide spectrum of packaging, graphic, communication, writing,
printing and specialty paper requirements through its four world-class manufacturing
units.
Packaging
ITC's Packaging & Printing Business is the largest value added converter of
paperboard packaging in South Asia. It converts over 70,000 tonnes of paper, paperboard
and laminates per annum into a variety of value-added packaging solutions for the food
& beverage, personal products, cigarette, liquor and consumer goods industries.
Its client list includes several well-known national and international
companies like Nokia, Colgate Palmolive, PernodRicard, Diageo, British American
Tobacco, Philip Morris International, Agio Cigars, UB Group, Tata Tetley, Tata Tea,
Reckitt Benckiser, RadicoKhaitan, Akbar Brothers, Surya Nepal, VST Industries, etc.
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ITC's Agri Business Division is the country's second largest exporter of agriproducts. It currently focuses on exports and domestic trading of: Soyameal- Rice
(Basmati), Wheat Shrimps and Prawns ,Fruit Purees/Concentrates, IQF/Frozen Fruits,
Organic Fruit Products, Fresh Fruits Coffee, Black Pepper, Chilly, Turmeric, Ginger,
Celery and other Seed Spices
Leaf Tobacco
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Nearly a century of creating customer delight ensures that globally, ITC's Leaf
Tobacco business is synonymous with being "The One Stop Shop for Quality Indian
Tobaccos".
Hotels
1975, with the opening of its first hotel - Chola Sheraton in Chennai. Since then the
ITC Hotels brand has become synonymous with Indian hospitality. With over 100
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hotels in more than 90 destinations, ITC Hotels has set new standards of excellence
in the hotel industry in Accommodation, Cuisine, Environment and Guest Safety.
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CHAPTER-IV &
V
DATA ANALYSIS
&
INTERPRETATION
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PARTICULARS
PERCENTA
GE(%)
84
16
YES
NO
Graph
90
80
70
60
50
Graph1
40
30
20
10
0
Yes
No
According to the graph 84% of people are using the I.T.C products and 16% of people
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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are not using them. By the help of this graph we came to know that most number of
people are using I.T.C products.
PARTICULARS
PERCENTAGE (%)
YES
54
NO
46
Graph
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100
90
80
70
60
50
Graph 2
40
30
20
10
0
Yes
No
The above graph shows the availability of I.T.C products. The graph shows
54% of respondents are satisfied with the availability of I.T.C products there is free
supply of products, so they are satisfied , 46% are not satisfied with the
availability of I.T.C products are not frequently available in villages, so they are not
satisfied.
PARTICULARS
PERCENTAGE (%)
47
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YES
40
NO
60
Graph
70
60
50
40
Graph 3
30
20
10
0
Yes
No
The above graph shows how many people are satisfied with price of
I.T.C products.40% are satisfied because they are from rich and above middle class
families.60% are not satisfied because they are from below middle class families so
they are not satisfied with price of I.T.C products.
4. Are you satisfied with the quality and the quantity of the
Products?
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PARTICULARS
PERCENTAGE (%)
YES
78
NO
22
Graph
90
80
70
60
50
Graph 4
40
30
20
10
0
Yes
No
quality and quantity of I.T.C products.78% of respondents are satisfied because they
are enjoying the quality and quantity of I.T.C products and 22% are not satisfied
because they want more from I.T.C products.
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YES
NO
PARTICULARS
PERCENTAGE (%)
54
46
Graph
56
54
52
50
Graph 5
48
46
44
42
Yes
No
The
graph
shows
satisfactory
level
of
consumers
towards
50
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PARTICULARS
PERCENTAGE (%)
YES
80
NO
20
Graph
90
80
70
60
50
Graph 6
40
30
20
10
0
Yes
No
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respondents refer I.T.C products to their relatives and friends because they are
satisfied with I.T.C products in all aspects and 20% of respondents are not satisfied
with I.T.C products so they do not refer the I.T.C products to others.
PARTICULARS
PERCENTAGE (%)
YES
82
NO
18
Graph
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90
80
70
60
50
Graph 7
40
30
20
10
0
Yes
No
The above graph shows the performance activities of I.T.C products out of
100%, 82% of respondents know about the social welfare activities performed by
I.T.C and just 18% of respondents do not know about the social welfare activities
done by ITC.
PARTICULARS
YES
PERCENTAGE (%)
52
53
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NO
48
Graph
53
52
51
50
Graph 8
49
48
47
46
Yes
No
consumers wishes. Out of 100% of respondents 52% only satisfy because they are
satisfied with the newly launched I.T.C products and 48% are not satisfied because
they need something more from I.T.C.
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PARTICULARS
PERCENTAGE (%)
YES
64
NO
36
Graph
70
60
50
40
Graph 9
30
20
10
0
Yes
No
The above graph shows weather I.T.C has advantages over its competitors.
Out of 100% of respondents 64% agreed that I.T.C has advantages over its
competitors as no other company has wide range of products as I.T.C and 36% do not
accept above statement because they use other company products.
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TYPE
PRICE
14
BRAND
26
ADS
26
QUALITY
34
PERCENTAGE (%)
Graph
40
35
30
25
20
Graph 10
15
10
5
0
Price
Brand
Ads
Quality
The above graph shows that what makes the consumers to buy I.T.C products
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26% of respondents buy I.T.C products because of brand name another 26% of
respondents buy because of ads and 34% of respondents buy I.T.C products because of
quality.
PERCENTAGE (%)
FAMILY
40
ADS
44
DEALERS
REFERENCE GROUPS
14
TYPE
Graph
50
45
40
35
30
25
Graph 11
20
15
10
5
0
Family
Ads
Dealers
Reference Groups
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The above graph shows by whom consumers influenced to buy I.T.C products.
Out of 100% of respondents 40% are influenced by family, 44% of respondents are
influenced by ads, just 2% of respondents are influenced by dealers and 14% of
respondents are influenced by reference groups.
TYPE
PERCENTAGE (%)
EXCELLENT
GOOD
64
AVERAGE
26
POOR
Graph
70
60
50
40
Graph 12
30
20
10
0
Excellent
Good
Average
Poor
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The above graph shows the rating of I.T.C products out of 100% of
respondents 8% rate I.T.C products excellent, 64% of respondents rate I.T.C products
very good, 26% of respondents rate I.T.C products average and just 2% rate I.T.C
products poor.
13. When you differentiate the ITC Product with other products on which basis
you can do?
TYPE
Price
PERCENTAGE (%)
10
35
Helping in Poor
30
Packaging
25
GRAPH
59
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40
35
30
25
20
15
10
5
0
Graph 13
The above graph shows the rating of I.T.C products out of 100% of
respondents 10% rate I.T.C products price, 35% of respondents rate I.T.C products
quality & quantity, 30% of respondents rate I.T.C products helping in poor and just
25% rate I.T.C products packaging.
14. ITC products providing good advertisement with their brand ambassadors
or not?
particulars
PERCENTAGE (%)
YES
60
NO
40
Graph
60
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70
60
50
40
Graph 14
30
20
10
0
YES
NO
The above graph shows the rating of I.T.C products out of 100% of
respondents 60% of respondents agreed that ITC providing good advertisement with
their brand ambassadors and 40% of respondents not agreed.
SWOT analysis
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Strength:
Weakness:
Opportunities:
Threats:
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CHAPTER-VI
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FINDINGS
&
SUGGESTIONS
CONCLUSION
Findings
1. Most of consumers are using I.T.C products because I.T.C has wide range of products
and services useful in all walks of life.
2. The products are available for reasonable prices, affordable by all classes and also
premium range available for high-end consumers.
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DEPT. OF MANAGEMENT
3. The quality and quantity of products are quite satisfactory when compared to the
competitors.
4. Main asset of I.T.C is its goodwill. As it has history of 100 years and dedication to
serve consumers. They believe that consumer is the king
5. People are satisfied with the advertising, as the celebrities like Sharukh khan, Deepika
padukune, Ranbir kapoor are the brand ambassadors.
6. Many people refer I.T.C products to their friends and relatives as they are satisfied
with quality, quantity and price.
7. It is also changing dynamically.
8. As I.T.C has many businesses all over the India, it is providing employees to lakhs of
people.
9. It is also helping society in the form of childrens primary education, project by
contributing some amount from sale of classmate books. Its main objective is rural
development.
10. The I.T.C e-choupal was very effective, this creates awareness among farmers about
agriculture,
The products must be available to rural customers also; it must not be limited to cities
and towns.
Advertising is not up to the mark when compared to competitors. It must be
improved.
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Some products like John players are of high cost, I.T.C hotels charge very high rates,
these prices must be made reasonable, which can be affordable by middle class
people.
Programs must be conducted to create awareness about wide range of I.T.C products.
The e-choupal is prevalent in northern parts of India only. Measures must be taken to
launch in other parts of the country also.
CHAPTER VII
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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BIBLIOGRAPH
Y
QUESTIONNAI
ERS
ANNEXURE
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Bibliography
Marketing management
Web
Site
Philip Kotler
Google Search
www.ITC.portal.com.
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QUESTIONNAIRE
QUESTIONNAIRE
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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DEAR RESPONDENTS,
B.B.M at
I assure that the information provided by you will be kept confidential and will be
used only for academic purpose.
YOURS
FAITHFULLY,
METHUKULA
VINAY.
NAME
AGE
OCCUPATION:
:
:
[ ] yes
[ ] no
DR.JYOTHIRMAYI DEGREE COLLEGE, ADONI
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2. Do you think I.T.C products are available with out any interruption?
[ ] yes
[ ] no
[ ] yes
[ ] no
4. Are you satisfied with the quality and the quantity of the products?
[ ] yes
[ ] no
[ ] yes
[ ] no
[ ] yes
[ ] no
[ ] yes
[ ] no
[ ] yes
[ ] no
[ ] yes
[ ] no
[ ] price
[ ] brand
[ ] ads
[ ] quality
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[ ] dealers
[ ] reference groups
[ ] average
[ ] poor
13. When you differentiate the ITC Product with other products on which
you can do?
basis
] Price
] Helping in Poor
] Packaging
14. ITC products providing good advertisement with their brand ambassadors
or not?
] Yes 60%
] No 40%
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ANNEXURE
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