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COOPERATIVES AND RURALMARKETING

SUBMITTED TO-

-PROF.AMARPREET SINGH

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GROUP MEMBERS

FARHAN CHOUDHARY

PRASHANT MAHADIK

ADITI VERMA

NEHA VORA

SIDDHESH WAGHELA

RAKESH WARE

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Road map

INTRODUCTION

LOCAL BRANDS

DIFFERENTIATION FACTORS INFLUENCING PRICE

DISTRIBUTION CHANNEL

PRICING STRATEGY

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Introduction

Makemax Electronics, commenced in the year

1982

customer friendly approach CEO of our company Mr. Manjeet Singh

Our dedication and hard work is best reflected

in the quality of our products.

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About sony

Sonys humble beginning started in Japan in1946 by Masaru Ibuka and Akio Moritatogether with a small team .

Main objective of the company was to designand create innovative products which wouldbenefit the people.

Sony is a technology company with anintimate understanding of the creativepossibilities of content

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LOCAL BRANDS

Regional and local advertising

Understanding the local consumer Effective relationship with retailers

Local brands cater to small segments

Not financially sound enough

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DIFFERENTIATION

Makemax

Feature

Price

Guarantee or warranty

Quality

Reach of product

SONY

Feature

Price

Guarantee or warranty

Quality

Reach of product

MAKEMAX SONY

FEATURES LOW UNIQUE

PRICE LOW HIGH

WARRANTY 6 MONTHS 1 YEAR

QUALITY INFERIOR SUPERIOR

REACH OF PRODUCT RURAL AREA ALL OVER NATIONS

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Factors influencing the price

Internal Factors

Cost

Pricing Objective External Factors

Customers

Distribution channel

Competitors

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COST PRICE

MAKEMAX SONY

PROMOTION LOW HIGH LEVEL

R & D, INNOVATION NO MORE EMPHASIS

QUALITY INFERIOR SUPERIOR

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PRICING OBJECTIVE

MAKEMAX

Minimum returns on

sales turnover

Deeper penetration of

the market.

SONY

Keeping with

competition

Product quality

leadership.

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customer

Ability of customer to buy

Willingness of customer to buy

Place of the product in the customers lifestyle(whether a status symbol or a product used

daily)

Benefits that the product provides tocustomers

Prices of substitute products.

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CHANNELS OF DISTRIBUTION

Make max

Manufacture

Retailer

Consumer

SONY

Distributor

Retailer

Retail outlets

Consumer

MANUFACUTRE OWN OUTLETS

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Pricing strategy

Avoid sophisticated

packaging

value for money

promotion

Market penetration

pricing

Value engineering

Communicate with

customers

Improve the technology

efficiency

Emphasis the value of

the product

Anticipate the risingcost

Skimming pricing

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story

Makemax is the comp which is located in Delhi.

Company first tried to understand the needs of

the consumer they decided that our product

should be low costed which can provide value for

money and create image in the mind of the rural

consumers. They adopted the market penetration

pricing policy. Under this policy a low price is charged initially in

order to create demand and capture the market

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Company purchases the scrapped materials in

bulk from china this enables the company to

have a low price for their audio products

Our company does not spend money on the

promotions on televisions and this enables

the company to reduce the cost

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Pricing Strategy

Value Engineering

This technique helps the organization not only lower

cost but enhance the value

Nirma detergent powder over a period of ten years

has become the largest selling brand in rural India.

The success of Nirma is due to affordable price,

medium quality,

availability at village shops and useof rural specific mass media.

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