consumer buying behavior @ srikrishna milk (p) ltd project report mba marketing

SRIKRISHNA MILK (P) LTD

Contents

Sl. No. Titles Page No.

I Chapter 1

Executive Summary

Introduction

Literature Review

Statement of the Problem

Purpose of the Study

Scope of the study

Objectives of the Study

II Chapter 2

Organization Profile

SRIKRISHNA MILK (P)LTD

Organization Chart

Sampling

Research Design

Data Collection Method

Measuring tools

III Chapter 3

Results & discussion with Charts & graphs

Findings

Suggestions

IV Chapter 4

Appendix

Questionnaire

Bibliography

Weekly Reports

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CONTENTS

- Executive Summary

- Introduction

- Literature review

- Purpose of the study

- Scope of the study

- Objectives

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EXECUTIVE SUMMARY

Sri Krishna Milk (p) ltd is known for the excellence of its quality and the

Different type of milk products. Not only in North kanara all Karnataka and Goa also.

The project was undertaken in SRI KRISHNA MILK (P) LTD Kirwatti, The study

was made to know ‘Consumer buying behavior and its impact on sales of Krishna

Milk’ at Haliyal”.

As in depth study was made to understand the organization as a whole. The

study contains the profile of the company, organization chart, function of

Departments etc. The information was collected through company guide & other

related materials like Questioners, website, company magazines etc.

The main objective of study was to analyses from few years there has been

low volume of sales and the consumers are adopting different brands rather than Sri

Krishna.

Method of collecting primary data was through personnel interview

(structured questionnaire) and secondary data has been collected through internet,

observation, company manual, etc. For the purpose of the study’ Consumer buying

behavior and its impact on sales of Krishna Milk’ at Haliyal” analyzed that included

all the requirements what the Sri Krishna Milk (p) ltd needed..

Depending on this suggestions mad & given idea’s to improve its Sales and

improve its market share of Sri Krishna Milk at Haliyal.

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INTRODUCTION:

A project report containing the marketing research on

“A study on ‘Consumer buying behavior and its impact on sales of Sri

Krishna’ at Haliyal” is partial fulfillment of requirement of MBA It was an

opportunity to learn the practical aspects of industries. I choose this topic

concerned to their (Industry) requirement as SRI KRISHNA MILK (P) LTD is

dealing with Sri Krishna Milk and its Products, from few years there has been

low volume of sales and the consumers are adopting different brands rather

than Sri Krishna

So the need to know, the Buying Behavior about Sri Krishna Milk was

needed. I collected the information by a structured questionnaire that included

all the requirements what the SRI KRISHNA MILK (P) LTD needed.

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Literature Review:

Consumer Behavior

The decision process and physical activity individuals engage in

when evaluating, acquiring, using, or disposing of goods and service.

OR

The mental, emotional, and physical activities that people engage in when

selecting, purchasing, using, and disposing of products and services so as to satisfy

needs and desires

1) Decision Making as Problem Solving

a) To make purchases, consumers go through a buying decision process that can

be thought of as solving a problem.

b) This process has six stages:

(1) Need recognition

(2) Choice of an involvement level

(3) Identification of alternatives

(4) Evaluation of alternatives

(5) Decisions

(6) Post-purchase behavior

c) There a number of factors that may affect this model of decision making.

i) The buyer can withdraw at any stage prior to the actual purchase.

ii) Some stages in this model may be skipped, depending upon the buying

situation.

iii) The stages are not all of the same length. For example, a need may be

recognized in an instant but the identification of alternatives to satisfy the

need may take hours, days, or weeks.

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iv) Not all stages will be performed consciously for all purchases.

d) Recognition of an unsatisfied need, or need recognition, creates tension or

discomfort for the consumer.

i) This need may arise internally, such as feeling hungry or thirsty, or

ii) It may arise because of external stimulation through such things as:

(1) An ad for a product,

(2) The sight of the product itself

iii) Needs may also be stimulated through dissatisfaction with a product the

consumer is currently using.

iv) Recognition of a need will often cause conflict for the consumer.

(1) The consumer has to decide how to allocate his/her resources of time

and money between competing needs.

(2) If this conflict is not resolved, the buying process stops.

e) The choice of an involvement level is when the consumer decides how much

effort to exert in satisfying a need. The more effort exerted, the higher the

involvement.

i) Involvement tends to be greater under any of the following conditions:

(1) The consumer lacks information about the purchase

(2) The product is viewed as important

(3) The risk of making a bad decision is perceived as high

(4) The product has considerable social importance

(5) The product is seen as having a potential for providing significant

benefits.

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ii) Most buying decisions for relatively low-priced products with close

substitutes are low involvement. This would include most products sold in

supermarkets, and variety stores.

iii) It is important to remember that involvement is consumer related and not

product related. This means that a low involvement product for one person

may be a high involvement product for another person.

(1) The purchase of stereo may be a high involvement purchase for

consumer who is concerned about the cost, but

(2) Be a low involvement purchase for a wealthy consumer who is buying

for a family room.

iv) Impulse buying is an important form of low-involvement decision making.

(1) These are purchase decisions that are made with little or no advance

planning.

(2) Shoppers have been conditioned to do more impulse buying through

self-service, open display retailing.

(3) Because of this greater emphasis must be placed on getting shoppers in

the store and making packages and displays more appealing.

f) Identification of alternatives includes both product and brand alternatives.

This may be simple as a memory scan or an extensive search.

i) The consumer must first identify which of the major product categories

might satisfy the experienced need. For example, a need for transportation

may be satisfied by automobiles, motorcycle, motor scooters, or bicycle.

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ii) Then the consumer must choose which brands from the selected category

to consider. Using the previous example, the consumer chose motorcycle

and not must consider Honda, Yamaha, Kawasaki, and Harley-Davidson.

iii) The search for alternatives will be influenced by:

(1) How much information the consumer already has from past experience

and other sources

(2) The consumer’s confidence in that information

(3) What the time and money costs would be to collect more information.

g) Evaluation of alternatives involves establishing criteria with which to evaluate

each alternative before making a decision.

(1) This may be a single criterion or several criteria. If there are several

criteria, they normally do not carry equal weight.

(2) The criteria that consumers use come from

(a) Past experience and feelings toward various brands

(b) Opinions of family members and friends.

h) The purchase decisions are a series of related decisions the consumer must

make if they decide to make a purchase.

i) These decisions may take a long time and include such things as:

(1) Special features of the product

(2) Where and when to make the actual purchase

(3) How to take possession

(4) Method of payment.

ii) One of the most important of these decisions is which store to purchase the

product from. The reason a person shops at a certain store are called

patronage buying motives and include:

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(1) Feeling comfortable in the store

(2) Having people like themselves shopping in the store

(3) An environment that reflects their values

iii) Successful retailers evaluate their target customers carefully and design

their stores accordingly.

iv) It is important to understand customer satisfaction because that is what the

marketing concept is built on.

(1) Customer satisfaction is based upon a comparison between the

consumer’s expectations before using a product and his actual

experience with the product.

(2) A consumer is satisfied when the product experience equals or exceeds

expectations.

(3) A consumer is dissatisfied when the experience falls short of

expectations.

(4) Marketers can influence consumer’s expectations through advertising

claims and sales presentations.

(5) Marketers can influence the consumer’s experience through the quality

of the product.

i) Post-Purchase Behavior can influence repeat sales and what the buyers tell

other about the product.

(1) In all but the most routine purchases, consumers may experience

anxieties that are explained by the theory of cognitive dissonance.

Cognitive Dissonance is any time there is inconsistency in a person’s

cognitions such as knowledge, attitudes, Beliefs, and values.

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(2) Post purchase dissonance occurs because each of the alternatives

considered by the consumer has both advantages and disadvantages. So

even the selected product has some drawbacks while rejected

alternatives have some advantages.

(3) Dissonance typically increases as:

(i) The dollar value of the purchase increases

(ii) The degree of similarity between items selected and items

rejected increases

(iii) The relative importance of the decision increases.

(4) To help reduce post purchase dissonance consumers:

(i) Avoid information that is likely to increase dissonance

(ii) Seek out information that reinforces the selected product; and

(iii) Spend more time in pre-decision evaluations.

(5) Marketers can help reduce dissonance through:

(i) Reassuring buyers through their advertising and personal

selling

(ii) Giving quality post-sale service.

A GENERAL SET OF QUESTIONS FOR UNDERSTANDING BUYER

BEHAVIOR MIGHT INCLUDE:

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1. Who initiates the buying process?

2. What event or factor stimulates a need to purchase?

3. What are the constraints associated with the decision?

4. Is this a one time or repetitive purchase situation?

5. What criteria are used to evaluate alternative products?

6. How are these criteria set? Which criteria are most important and how will they

change over time?

7. Whose opinions influence the evaluation of alternative purchases?

8. Who makes the final buying decision, and does any one individual have effective

veto power?

9. Who implements the actual purchase transaction?

10. Who uses the product once the purchase has been made?

Action Steps for Behavior Change

This is a circular process. Working through steps 2, 3 and 4 may lead to redefining

the objective in step 1.

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1. Define your objective. What is your desired end result? You may begin by

thinking broadly, but narrow your objective so it’s achievable and, if possible,

measurable. How will you know when you’ve achieved your desired result?

2. Select your audience. Brainstorm the possible audiences you could work with

and choose one. Pick the one most likely to get your desired result.

3. Learn about your audience. What do they need? What do they want? What do

they know? What are their perceptions? Who do they respect? Who do they

interact with (business and social networks)? Define the specific change you

want the audience to make to achieve your overall result.

4. Find out about your audience’s barriers to making the change. Go ask your

audience. Possible barriers include: External: it costs too much, technology isn’t

available, laws are conflicting, etc. Personal: they don’t recognize the problem,

don’t know what to do, don’t consider it a priority, etc.

5. Develop strategies to reach your audience, using the behavior change

principles (e.g., commitment, feedback, credibility, role models). Are there

community or political leaders, associations, retailers, innovators, or other specific

target groups that could help you reach your desired end result?

6. Develop a method to measure the effectiveness of your strategies. Refer back

to your objective in step 1.

Summary:

Key Behavior Change Principles

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Just providing information has a limited effect on behavior. There is no clear

causal relationship between providing information and changing behavior.

a. Learn about your customer or audience. What do they know? Care about?

Think about? Who influences them?

b. Address the barriers to changing behavior. Barriers may be external (it

costs too much, technology isn’t available, laws are conflicting) or personal (the

person doesn’t recognize the problem, doesn’t know what to do, doesn’t consider

it a priority, thinks it’s too hard).

1. Getting involved is the first step to making a commitment, and making a

commitment makes people more likely to act. Small commitments lead to big

ones. Start by getting the shop owner involved in a visit. Then ask them to sign a

form stating changes they will make.

2. Feedback and follow-up are important. Feedback gives people cues about the

impacts of their behavior changes. Additional contact is also very important in

motivating people to stick with a task.

3. People will listen first to their friends or relatives, or others they see as

credible. What they hear at a dinner party will have more weight than a

comprehensive data summary.

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4. Change agents and role models are important. A few people in a group will

typically adopt innovative ideas and behaviors first, and spread them through the

group. Find these people and help them successfully adopt a new behavior.

5. Changing attitudes may not change behavior.

There is no strong, direct or consistent relationship between attitudes

and subsequent action.

6. Incentives may help change short-term, but probably not long-term,

behavior. People may respond to incentives by changing their behavior, but when

the reward is removed, they generally revert to their original behavior.

7. If you need to provide information, present it effectively.

People are more likely to pay attention to information that is:

Vivid: Use language that conjures up a vivid and memorable image, or

provide a demonstration that will stick in someone’s mind.

Personal: Make statistical data personally relevant. Talk about personal

consequences or refer to a group with which the person identifies.

Specific and concrete: Tell them how to do the behavior you want them to do.

Stated in terms of loss rather than gain: Focus on showing people or

businesses how much they are losing every month or year by not doing a

specific behavior.

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Told as a story: Use success stories as a motivating example.

Emotional: People tend to be persuaded more by emotional messages than

logical ones.

Statement of the Problem:

Milk is an essential Commodity and we can’t choose any market

segment because all people are our target customers.

Now a day there is a neck to neck competition between different

brands of milk producers. Each brand his its own significance and is available with

some difference in Price, Quality and FAT content compared to competing brand.

Management Problem:

As there is a high demand for pasteurized milk now a days,

but to the Company is facing with the problem of decrease in sales of SRIKRISHNA

MILK in the Haliyal city.

Research Problem:

The study was made to understand the factors which have led

consumer to buy the SRIKRISHNA MILK and the factors which have made

consumer to adopt different brands rather than SRIKRISHNA MILK

Purpose of the Study

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The purpose of the study is to get practical knowledge and to get experience

and also to know the various challenges that are faced in the corporate world. The

main intention of choosing this topic is to study/to know-

1 Customer’s buying factors and their expectations towards Sri Krishna Milk.

2 To know the reasons for decrease in sales.

3 This project helps to improve the market share in the Haliyal city.

Scope of the Study:

The study was confined to the part of Haliyal city covering various

Areas like:--

1 Tilak road 2. Jawhar road3. V.R.Deshpane road 4. Bus stand road

5. Indira Nagar 6.Sadashiv Nagar 7.Fort road 8. Belgaum road

9.Dharwad road 10. Collage road.

Are based on the Market survey through Questionnaires . The total

number of Samples being 100 Customers and 30 Agents .

Objectives of the Study:

Research Objectives:

1. To determine the Awareness level of SRIKRISHNA MILK

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2. To study the Customer response and expectations

towards

SRI KRISHNA MILK

3. To Know the Reasons for decrease in the Market Share of

SRI KRISHNA MILK

4. To study the factors influencing consumer to buy for a

Particular brand

5. To know the Retailers response and expectations towards

SRI KRISHNA MILK

‘

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CONTENTS

- Organization profile

- Organization chart

- Sampling

- Research Design

- Data collection methods

- Measuring tools

“SRIKRISHNA MILK (P) LTD.”, Kirwatti,

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COMPANY OVERVIEW

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Name of the Company : “SRIKRISHNA MILK (P) LTD.”

Address of the Company : “SRIKRISHNA MILK (P) LTD.”

Sri Krishna Giri,

National Highway No.63

Kirwatti.(N.K)

Year of Establishment : 1st of August 1989.

Type of Unit : Small Scale Unit.

Max Operating Capacity : 45000 to 50000 Liters / day

Main Raw Material : Milk

GUIDELINES FOR THE UNION.

1. Honesty

2. Discipline

3. Quality at all stage

4. Mutual co-operation and Respect

5. Transparency

6. Hard work and sincerity

Objectives of “Sri Krishna milk (p) ltd.”

1. The main objective is to develop the members by procuring good

Quality milk .

2. To provide high quality to the continuous changing market and to increase the

position of union in introducing milk and milk products.

3. Honesty striving to become one of the best diarie in Karnataka State.

4. To achieve economies of scale to ensure max returns to milk producers.

5. To facilitate middlemen & organized institutions to be removed & managed

by milk producers themselves.

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COMPANY PROFILE

Sri Krishna Milk (P) Ltd was incorporated on 1st of August 1989. the founder of the

dairy is “Shri. G.S.Kamath” . The factory situated on the National Highway No.63 in

Kirwatti.

Sri Krishna Milk (P) Ltd is a pioneer in Milk factory in

Karnataka, which was started by the direction of Shri.G.S.Kamath. the total area of

industry 8 acres.

The group believes that the excellence is the only bench mark, hence it

has always sought and obtained the very best technologies to ensure top class

manufacturing.

MISSION OF THE COMPANY:

To Improve Quality & Quantity of their products and services by

promoting healthy practices with economical operations and with an aim to service

ultimate consumers to their utmost satisfaction at affordable price with an

optimization of groups wealth.

The company has owned land because a land has no. of advantages they as follows:-

ADVANTAGES Easy Transportation

No municipal actions

Easy to getting local raw milk

Easy to the village employees and workers for doing a job etc.

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The company providing employment opportunities to many poor people in that related village area.

The factory’s per day production capacity is 50,000 liter of milk product.

Sri Krishna has manpower of 55 with including skilled, semi skilled and unskilled

labors and about 29 Administration employees.

The company is making day to day turnover of about is Rs.6, 00,000/-. The company

has too much goodwill in market and as the company’s total investment is Rs.5, 92,

75,971/- for the date of 2006 December 31st.

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MANAGING DIRECTOR

Functions:

Receives the regular report from the general manager which includes the report of all the heads of department and detailed information in the factory.

Keeps the regular conduct with the general manager about managerial staff, production unit for smooth functioning of the plant.

Try’s to maintain the quality policy.

QULITIES:

Taking initiative.

Grasping opportunity.

Managing autonomously.

Using judgment to take calculated risk.

Highly ambitious.

Greatly achievement oriented.

Hard worker.

EXECUTIVE DIRECTOR

FUCTIONS:

Payment of parties for purchase raw milk.

Searching new parties for purchase of raw milk.

Payment of credit.

Payment of all management workers & employees’ salary & wages.

GENERAL MANAGER

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Functions:

To see and handle the work with govt. department like Labour dept and coordination with heads of the department.

To have the proper co ordination between the office staff, production dept., heads, lab our e.g.

The quality conscious aspect.

To present the order from to M.D about the quality & quantity & the type quality required for the further step of production.

To see that the sales required during the week, month, year are achieved against the target set.

QUALITY:

Discipline .

Sincerity.

Optimistic.

Honest.

Quality & quantity conscious.

POWER:

Signature for Banking.

Authority to sign consignment like purchase or sales.

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HR MANAGER

FUNCTIONS:

Labour control.

New Labour selection or recruitment .

Arrangement of Labour welfare .

Payment of salary & wages .

Providing mess facility .

Maintain discipline among the workers .

ACCOUNT MANAGER

FUNCTIONS:

Maintain financial record.

Making annual report for the financial matter.

Sending daily or weekly report to the top management.

PRODUCTION MANAGER

FUNCTIONS:

Maintain quality of product.

Control cost production.

Control wastage of milk.

Purchasing the right quality & quantity of milk.

SALES ASST. MANAGER

FUNCTIONS:

Day to day supply the milk product to the market or agent.

Sending the report of the sales to the tope management.

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MARKETING ASST. MANAGER

FUNCTIONS:

Making advertisement of the product.

Looking to the marketing changes.

Looking to the needs & wants of the customers.

Looking the opportunity to launching a new product.

Expand the market.

Control the advertisement cost.

Sending the report about the market environment to the top management.

INDUSTRIAL DEPARTMENTS

There are several departments of the company which are as follows.

1) PRODUCTION DEPARTMENT.

Under this department there are several sections such as

Maintenance section

Laboratory section

Packing section

Dispatch section

Dock section

Thus all the above sections briefly explained with their functions as follows.

MAINTENANCE DEPARTMENT

It is managed by the in charge PRASHANT.PAI. He is under worked for operators this is shown in the chart.

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INCHARGE

ELECTRICAL MACHINE CHILLING HELPERS

OPERATOR OPERATOR OPERATOR

FUNCTIONS OF OPERATOR:

Electrical operator is engaged only in electrical work & checks the damages etc…..,

Machine operator is engaged only in machine operating & checks the damages etc…..,

Chilling operator is engaged only in maintaining the degree of cooling & check the damages etc…..,

Helpers are engaged only in helping the all three operators.

FUCTIONS OF INCHARGE:

Maintaining the machine.

Purchase electrical goods.

Day to Day checking the machines.

Weekly sending the reports about the machines maintenance to the top management.

Control the maintenance cost.

Take care about the pollution.

LABORATORY SECTION:

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It is managed by In charge Nagesh Gunga. Under him there are only one

operator & one helper.

Factions

Testing the milk.

Checking the degree of fat

Fat should be –

Cow milk 3.5% to 4%

Buffalo milk 6% to 7%

Checking the degree of S.N.F (solid not fat) S.N.F should be –

Cow milk 8.5%

Buffalo milk 9%

Checking the degree of Acidity

Acidity should be –

Both milk 0.135% to 0.14%

Checking the degree of Soda, Sugar, Salt, & Urea. This adulterates the milk.

Checking on the basis of Correct Lactometer Reading.

Checking on the basis of Clot On Boiling. Then the report should be send to the production manager or purchase asst

manager.

Thus all the above test are required to check the milk & also purchase the right

quality of milk.

PACKING SECTION:

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There are 3 packing machines under this work 2 supervisors & 7 workers

are worked. The timing is morning 9am to evening 5pm 1st shift & evening 5pm to

12pm 2nd shift.

FUNCTIONS

Checking the leakage of the machine.

Machine maintenance.

Checking the quantity of packing of the Milk.

Control the wastage of Milk.

Taking the order from middle management.

Maintain a discipline among the workers.

DISPATCH SECTIONS:

Under this section there are 10 workers in that 1 supervisor.

FUNCTIONS:

Loading the Milk packs.

Checking the damage packs.

Checking the loading quantity.

Keeping the dispatch report.

Taking the order to making dispatch from the middle management.

DOCK SECTION :

Under this section there are 8 lady wor

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FUNCTIONS :

Cleaning the can & trays.

Checking the quantity of can & trays.

Checking the damage of cans & trays. to th

Sending the report of cans & trays e supervisor or middle management.

PRODUCTION PROCESS

Production process of the company is 19 to 20 hours.

Where, Morning 6 to Evening 2 1st shift Evening 2 to Night 10 2nd shift

DAILY WASTAGE

During the production process daily wastage of milk is 4 to 5 ltr.

COOLING

Degree of cooling is 5oc

CHEMICALS

Caustic & Acid chemicals using for cleaning or washing the machines, cans, trays e.t.c

ELECTRIC BILL

Factory’s per month electrical bill is about Rs 200,000/-

RESEARCH & DEVELOPMENT DEPARTMENT

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This is most important department of the production section. R&D helps in

thee development of new varieties with respect to competition in the market. To

meet the customers huge requirements, for this the company conducts market

research & survey, experimenting & developing a suitable product.

RAW MATERIAL DEPARTMENT

Purchasing is the first element in process of material management. It is

closely related to production & marketing departments of an organization. Success of

other department of an manufacturing undertaking largely depends on the success of

its purchasing department.

S.M (P) LTD does not have any separate purchase department. It is

having only the raw materials department, which look after the functions of store

keeping and supplying the goods as and when required by the production department.

Purchase order is given by the store division. Purchase order is placed on the

basis of the stock report. Purchase order contains clearly the terms & conditions viz.,

price, quantity, time of delivery e.t.c

The task of receiving the goods are entrusted to the raw material office at

S.M. (P) Ltd., Kirwatti. The officer in receipt of goods inspects the lorry receipts,

papers & compares the details given in the invoice with the actual goods. If goods are

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founds

according to the description, the same will be informed account department through

goods receipt note.

The raw material are purchased daily. The quantity of raw milk purchased is about 50,000 liter per day.

THERE ARE MAINLY TOW TYPE OF RAW MILK

Cow milk Buffalo milk

PURCHASING THE RAW MILK FROM THE STATE OF

QUALITY CONTROL DEPARTMENT

This is the most important department of the company. It is related

to R & D department without the approval of this department. The goods produced

can not be dispatched. The quality, superiority & defects of the raw milk are

examined in this department. The department is very much responsible for the quality

of the product.

Hence, it sees though the milk product produced is of the best quality.

Ever since the procurement of the raw milk till the dispatch of the final product of the

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Name of the state place

Andrapradesh Chandra dairy

Tamilnadu Sai lakshmi dairy

Maharastra Kholhapur dairy, sawanthwadi &

pandarpure.

Karnataka local


milk the function of the observation & examination of the quality department is keen

& careful.

Quality control department finds an important place in the production

process. following are the measures taken by quality control department in the

production process.

Purchase right quality & quantity of raw milk.

A providing training to workers.

Maintain discipline among the workers such as Uniform, Head covers, Hand gloves, Mouth covers & shoes e.t.c

Using clean water for the production process.

Day to day cleaning the machines, e.t.c

It is also fallen in the categories of control the cost of production, following are the

measures taken by the quality control department in the production process.

Providing training to the workers.

Control the wastage.

Increase productivity.

Providing optimum salary & wages to the workers.

Purchase right quality of raw milk in right time & with a affordable price.

Employ skilled workers.

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HUMAN RESUORCE DEPARTMENT

Men, Material, Money are regarded as the there significant factors of

production. Human beings constitute the organization at all levels and are regards as

the only dynamic factor of production. A business unit comes into existence with

certain well defined objectives. The management means an effort to co-ordinate the

human resource in such a manner that Organizational objectives are achieved. It is not

very difficult material resources, but without efficient use of human resource,

management can never accomplish objectives of the undertaking.

HR Management is that part of management, which is concerned with people

at work and their interpersonal relations. It is preliminary concerned with the efficient

utilization and conservation of these resources.

It is also concerned with formulation of the personnel policies with regard to

recruitment, selection, job-evaluation, merit rating, performance appraisal, working

condition etc.

The GM heads the HR department Sri Krishna Milk (P) Ltd. under him HR

manager, Training Officer, PF & ESI Officer etc. who report directly to a General

Manager.

The HR department is concerned with the following functions.

Recruitment & Selection. Training of new employees. Wages determination. Labour welfare. Transfer, promotion & demotion.

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Recruitment & Selection:

Recruitment is positive process of searching for prospective candidates and stimulating theme to apply for the job.

The HR department in Sri Krishna Milk(P) Ltd uses both the internal and external source for recruitment of employees. Every week or monthly temporary or casual workers recruitment is done in the company.

Basic Recruitment for Selection for Workers

Training of new

employees

The company provides training for both skilled & unskilled workers once in

a month. Training also given the other staff.

Wages determination

Wages determination is the responsibility of the top management. The

organization follows time wage system, method of wage payment i.e. wages are paid

on the time devoted to the factory rather then the goods produced.

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MALE FEMALE

AppearanceHealthy Healthy

Age 18 to 25 yrs 18 to 25 yrs

Height5 to 6 ft 4.9 to 5.5 ft

Weight 50kg 40kg Qualification

7th pass/fail 7th pass/fail

Language Marathi, Kannada & Hindi

Marathi, Kannada & Hindi


Labour welfare

The statutory facility provided in this regard are.

Canteen. Rest rooms & Lunch rooms. Health care.

Transfer, promotion & demotion

The HR department on the basis of department recommendations performs

these acts. Promotion is mainly based on the performance of the employees & not on

experience.

TRAINING DEPARTMENT

Sri Krishna Milk (p) Ltd believes that people are its biggest assets. The group

encourages its people to achieve this full potential by giving them opportunities for

continuous growth. Making every effort to stimulate & develop them by setting up &

transparent communication system it gives training to new workers& also to them

who are working in the company.

It covers following topics:

Introduction about factory.

Introduction of management body.

Introduction about different sections of the factory.

Introduction to seniors. e.t.c

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MARKETING & SALES DEPARTMENT

THE company is not directly involved in marketing to final consumers

but the product is sent to the depots. These distributors / depots are involved in

marketing or selling the product. The produced milk products are sent to all the

depots.

Ankola

Bangalore

Bagalkot

Bijapur

Davengere

Hubli

Mundgod

Sirsi

Yellapur

GOA STATE

DISPATCH

The packing department prepares daily packing report & sent to the dispatch

in charge. The dispatch head which is authenticated by the Central Excise Office will

prepare daily production report. Then the goods are transferred from packing

department to excise godown on an average daily production is nearly 50,000 ltr. In

one truck nearly 2000 liter’s can be dispatched.

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INVOICE SYSTEM

Moderate invoice is must, without it the transport vehicle is not allowed to

unload. This is also called transport copy. Original copy is sent to the depot & extra

copies are sent with the transport vehicle. Gate pass is given for the security’s for the

clearance of truck or tankers from the premises.

MARKET

The production is depends upon market demand. As & when they get demand

they produce & dispose the goods to market. There is a fixed price for goods. As &

when the demand increase, price not increases because price is fixed.

SALES

The sales tern over of s.m.(p) ltd per day is approximately Rs 165 lakhs.

PICRE OF THE PRODUCT

PRODUCT PRICE PER LTR / KG

Natural Rich Milk17

Toned milk15

7 AM 13Gold milk 15

Curds 12Ghee 150Pedha 125Lassi 30

Masala butter milk 15

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FACTORY’S SALES PER DAY:

NAME OF THE PRODUCT

SALES LITER / TONS

Natural rich milk 20,000 ltrToned milk 10,000 ltr

7 A.M 4,000 ltrCurds 2,800 ltr

Double toned milk 2,000 ltrGold milk 5,00 ltr

Lassi 3,00 ltrMasala butter milk 1,50 ltr

Ghee 20 to 25 tons / monthpheda orderly

MODE OF TRANSPORTATION:

The company involves only public vehicles by giving different rates / price for per klm.

Type of vehicles

No. of vehicles

Rate per/klm(Rs)

Tankers 8 11.50

Trucks 4 8.50

Jeeps 2 7.50

GHEE PACKETS & PRICE

S.M (P) LTD offer ghee to the market in to different packets.

Packs of ghee Price (Rs)200ml 32500ml 771000ml 150

500ml pet jar 84500ml aluminum pouch 80

50ml Al. pouch 1015 kg tins 2400

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CHANNELS OF DISTRIBUTION

S.M.(P) LTD has number of channels of distribution of milk product. They are as follows-

Ankola Bagalkot Bangalore Bijapur Dharwad Davangere Gokarna Haliyal Hubli Karwar Mungod Manglore yellepur Local area

CONTENTS OF THE MILK PRODUCTS

PRODUCTS CONTETS

Natural Rich Milk Fat 4.5% - S.N.F 8.5%

Toned Milk Fat 3.5% - S.N.F 8.5%Double Toned Milk Fat 1.5 – S.N.F 9 %

7 A.M Milk Fat 3.5% - S.N.F 8.5%Gold Milk Fat 6.09% - S.N.F 9%

Lassi Curds, SugarMasala Butter Milk Salt, Pepper,Chilly,

Ginger,Corinder

EXPIRY DATE OF EACH PRODUCT

Under Refrigerator condition.

Products Expiry date / monthMilk 2 days

Pheda 5 daysGhee 6 monthsLassi 2 days

Butter milk 2 daysCurds 2 days

UTILITIES

Power 2500 unit per days

Diesel 200 ltrWater 80,000 ltr

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MARKETING STRATERGIES:

The company has following strategies as follows.

To increase the sales decrease the price for a particular period. (Demand Marketing)

To special discounts

To special offers

ADVERTISEMENT:

The company makes a advertisement to the following

Banners.

Boards.

Hand bills.

T.V adds.

Radio.

News paper. etc.

COMPETITORS:

The competitors for s.m. (p) ltd, are

Arokya Milk

Bharat Milk

Nandini Milk

Sahayadri Milk

CONSUMER DISTRIBUTION CHANNEL:

The company has 2 level distribution channels for a consumer market.

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MANUFACTURER RETAILERS END CONSUMERS


ADVANTAGES:

Less costly.

Easy to transportation.

There is no wholesaler or agent between the manufacturer & retailers.

Easy to purchase / delivery of the product to the customers

ACCOUNT DEPARTMENT

In this department the financial accounts of the companies transactions

are properly maintained. Most of the accounting work is done on the computers to

maintain accuracy of the accounts. The accounting procedure is based on the usual

accounting principals. To maintain the day to day case transactions of the company.

The day book with cash & bank columns are maintained. It also maintains the journal,

ledger & subsidiary books.

Closing of the accounts is done on 31st of march every year. At the end of

the accounting period trading account, profit & loss account & balance sheet is

prepared to ascertain the profit or loss made by the company in that particular year.

The final accounting reports are submitted to the management. the company auditors

do final auditing.

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16 YEARS SUCCESSFUL PERFORMANCE

FINANCE

16 years performance of the company was increased in the finance,

made better profit year to year. Still the company investment is 5,92,75,971.

QUALITY

16 year performance of the company was increased the quality of

the product and also the range of the product. firstly the company was introduced only

double toned milk and toned milk but today the company was introduced number of

products such as Ghee, Butter milk, Pedha, Gold milk, Natural rich milk,& 7Ammilk

with a affordable price.

QUANTITY

16 year successful performance of the company was increased the

quantity of the products. Initially they produce only 5,00 ltr of milk per day. Today

they produce 50,000 ltr of milk.

The company’s general manager expressed that it is well

performance result. It is a great effort of the company groups and management

system. they were happy with increasing productivity of the milk to 45,500 ltr.

The general manager also said that they were intended to

pass the productivity mark up to 75,000 liter per day.

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FUTURE OUT LOOK

With a view to with stand the competition as well as adverse natural

climates, the company had set up task force in a regard to procurement, production

and marketing the finance of the company are also monitored on regular intervals

with their measures the director state that the future of the company is stable.

The company is also exploring the avenue of the product

diversification to increase its profitability. The director state that to create a

competition edge, the company following quality standards & would go for ISO

certification in near future

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Um is PRODUCTS OF “SRIKRISHNA MILK (P) LTD.”

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North kanra’s most favorite milk. SRI KRISHNA

MILK Toned Fresh and Pure milk containing 3.5% fat and

8.5% SNF. Available in 500ml and 1ltr packs

“SRIKRISHNA MILK Homogenized Milk is pure milk

which is homogenized and pasteurized. Consistent right

through, it gives you more cups of tea or coffee and is easily

digestible

Full Cream milk. Containing 6% Fat and 9 % SNF.A

rich, creamier and tastier milk, Ideal for preparing home-made

sweets & savories.

“SRIKRISHNA MILK spiced Butter Milk is a

refreshing health drink. It is made from quality curds and is

blended with fresh green chilies, green coriander leaves,

asafetida and fresh ginger. “SRIKRISHNA MILK spiced butter

promotes health and easy digestion.

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Curd made from pure milk. It's thick and delicious. Giving you all the goodness of

homemade curds

A taste of purity. “SRIKRISHNA MILK Ghee, made

from pure butter. It is fresh and pure with a delicious flavor.

Hygienically manufactured and packed in a special pack to

retain the goodness of pure ghee.

Sterilized flavored milk, a nutritious and healthy drink and an all-season

wholesome drink available in different flavors - Apart from refreshing energy.

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ORGANIZATIONAL STRUCTURE

Sri Krishna milk (p) ltd. s fallen in the category of line & staff organization.

STAFF ORGANIZATION:It means providing advice & policy guideline to executives.

R&D staff R&D staff. ADVT advisor.

Marketing Consultant.

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CHAIRMAN

BOARD OF DIRECTORS

General ManagerFinancial Advisor

Management advisor

Marketingmanager

Production manager

Sales asst. manager

Agent

supervisor

workers


Above chart shows that the chairman & board of directors will make a decision about

the flow of finance, production process & marketing e.t.c & make their policies to

help the General Manager.

Board of directors appoint a financial advisor & management advisor to guide

the General Manager in his affair. Financial advisor guides about the investment or

finance, production, marketing e.t.c & also guide about the how to control the cost of

each department.

Management advisor guides about how to behave among the each department

& section & about the quality control measures & about the discipline in the

organization e.t.c

Production manger guided by the R&D department about the how to produce a

product, their varieties & also market analysis & about the control of cost of

production & quality control measures e.t.c

Marketing manager guided by the advertising advisor & market research

consultancy. Here advertising advisor guides about how to make a advertisement,

how to control cost of advertising & when to make advertisement in the market

for better & effective performance.

Market research consultancy guides about the market changes, market

competitions, consumer needs & wants, type of products is launched, how to

make a market analysis e.t.c

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LINE ORGANIZATION: It means person who are to carry out tasks.

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CHAIRMAN

BOARD OF DIRECTORS

GENERAL MANAGER

ADM OFFICER A/C MANAGER H R MANAGERPROD. MGR

SUPERVISOR

LAB

PLANT

PRODUCTION

PACKING

ICE PLANT

STORES

DOCK

DISPATCH

LOADER

TRANSPORTATION

HELPERS

SECURITY


Sampling:

Representation of a particular population. And is the subset of the

population. Concerned to my project, in a city like Haliyal where a population of

more than 25000 exists each person’s opinion can not be sought. So the respondents

were chosen randomly from different areas of Haliyal.

The kind of sample taken for this study report is

Stratified Random sampling one where the population is divided into mutually

exclusive and mutually exhaustive strata or sub-groups and then a simple random

sample is selected within each of the strata or sub group. Thus the population is

divided into different strata on the basis of regions.

They include cluster, multi stage and area sampling. Hence the sample taken for this

study is Area sampling with the size of 100 Respondents and 30 Agents in an Haliyal

city.

Area Sampling:

It is a form of Multi stage sampling in which maps, rather than lists

or registers, are used as the sampling frame. In area sampling, the overall area to

be covered in a survey is divided into several smaller areas within which a random

sample is selected. However, Stratification in area sampling is based on

geographical considerations.

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SAMPLING PROCESS:

1. Population: People from the Haliyal.

2. Sampling frame : Household and resellers (agents)

3. Sampling unit: Milk buyers and agents.

4. Sampling size: 100 household customer and 30 agents.

5. Sampling Method: Stratified Random sampling.

(Area Sampling)

Survey Technique:

Once the researcher has decided to go for the survey method for

collecting the required Primary data. Then he should take a right decision among the

various survey techniques. Then various techniques are:

Personal Interview

Mail survey

Telephone Survey

Questionnaire

I have chosen the Questionnaire technique or method for the survey.

Research Design:

The research study was made keeping in mind the various

factors that were worked out in informal discussion with the SRI KRISHNA MILK

(P) LTD, that would be included as a research object and the study can be based on

the objectives.

Steps in the Research Design

Define the research problem

Estimate the value of Information

Select the data collection method

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Select the measurement technique

Select the Sample

Select the Analytical Approach

Evaluate the ethics of the Research

Specify time and financial cost

Prepare the Research Proposal

1. Define the research problem

To know customer and agents response and expectations towards

Krishna Milk the Haliyal.

2. Estimate the value of Information

The value of information should exceed the expected cost. I am

conducting the sample survey method; because the population is very high &

sample size for my research will 130 in number.

Step 3: Select the data collection method:

Decided to go for survey methods i.e., stratified random sample. Using

the questionnaire conducting the survey and using Dichotomous (close-ended), rating

scale and open-ended questions.

Step 4: Select the measurement technique:

Descriptive type of research, using the questionnaire with rating scale,

open & close- ended questions.

Step 5: Select the sample:

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The sample would be the both customers as well as the agents of Sri

Krishna milk, with different areas within Haliyal City.

Step 6: Select the Analytical Approach:

Analyzing the collected information with the help of percentages (%)

using SPSS 11.00 student version And MS-Excel software.

Step 7: Evaluate the ethics of the Research:

The collected information (data) will be used for solving the

management problem and not for any non-ethical objects; the main objectives will be

addressed.

Step 8: Specify time & financial cost:

Time needed is Four months (32 weeks) and the financial costs are,

Daily expenses about 30/- for two months it would be,

1800/-

Stationary and Printing about,

2500/-

Total financial cost = 1800 + 2500 = 4300/-

Step 9: Prepare the Research Proposal:

My understanding of his project is as follows,

As the Sales of Sri Krishna Milk were going down from few years

in the Haliyal city, So the management wants to know what are the Customers as well

as agents expectation and responses towards Sri Krishna milk.

For this purpose there was need to know the Consumer Behavior

towards the Sri Krishna milk.

Data Collection Methods:

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The information necessary for this research study is

collected by tapping primary and secondary sources. The sources are as follows:

Primary Sources:

a) Questionnaire

b) Personal interaction

Secondary Sources:

a) Company Websites

b) Related Information from Internet

c) Company Reports Books and Publications.

Measuring Tools:

The measurement and evaluation of the data is done using

statistical tools and techniques such as simple percentage method, mean, graphical

representation with help of data code sheet using MS Excel and SPSS software.

CONTENTS

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- Results & discussion with graphs & chart

- Conclusion, a proposed action plan with resource requirements

DATA ANALYSIS AND INTERPRETATION

Consumer Survey:

The Consumer survey was conducted in 100 household in the

selected areas of the city by Convenience Sampling method. The respondents were asked

to fill in a questionnaire along with which a free discussion with them helped us to get the

required information. Adequate care was taken to take the appropriate representations

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from all sections of the society. Thus obtaining more information about the preference of

such customers was more important. The aim of this survey was not to estimate the

market share of the union but to obtain insights into the preferences of the consumers

with complaints from Sri Krishna milk.

When professional market researchers ask their clients how

accurate any data should be, the answer is often such as ‘very accurate’ or ‘as accurate as

possible’. However accuracy, at least where fieldwork is involved, has a price and as a

general rule, increases in accuracy not only cost more but cost disproportionately more.

A high level of accuracy is not always needed to meet the overall research objective. If a

company is entering a new market, where common sense and observation tells us the

market is huge, there may be little point in spending lots of money closely measuring its

size. An approximation will do and the money saved may be better spent on some other

information need.

GRAPHS

Q2. Consumption of milk per day?

StatisticsN Valid 100

Missing 0 Consumption per day

Frequency Percent Valid Percent

Cumulative Percent

Valid "500Ml" 40 40.0 40.0 40.0

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"1 Liter" 36 36.0 36.0 76.0

"2 Liter or more"

24 24.0 24.0 100.0

Total 100 100.0 100.0

Respondents:-100

Interpretation:

From the above graph it is clear that out of the total respondents 40 %

respondents consume only ½ liter per day. 36% respondents consume one liter per day

and rest 24% respondents consume 2 or more liters per day.

So Survey Says that give more stress on ½ and ¼ liter to improve sale .

3) Awareness level of Krishna milk


Missing 0 Aware of Krishna Milk

Frequency Percent Valid Percent Cumulative Percent

Valid "Yes" 86 86.0 86.0 86.0

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"No" 14 14.0 14.0 100.0

Total 100 100.0 100.0

Interpretation:

From the graph it is clear that 86 % of the people are aware of Krishna

milk and 14 % of the samples are not aware. These14 % are specially observed (since

some of them are illiterate and some of them have just come to Haliyal). It’s really good

that many people are aware about Sri Krishna and its products from the company point of

view

4) Purchase of Krishna milk


Missing 14

Purchase of Krishna MilkFrequenc

yPercent Valid

PercentCumulative Percent

Valid "Yes" 56 56.0 65.1 65.1"No" 30 30.0 34.9 100.0Total 86 86.0 100.0

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Missing System 14 14.0Total 100 100.0

Interpretation:

In the market various brands of milk are available Out of 86 respondents

56 (65%)of them are consuming Krishna milk. 30 of them are buying other brand milks.

5) Where do you Purchase Krishna milk?


Missing 44 Where do you purchase Krishna Milk

Frequency

Percent Valid Percent

Cumulative Percent

Valid "Milk 25 25.0 44.6 44.6

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Parlors" "Grocery

Stores"18 18.0 32.1 76.8

"Bakery" 8 8.0 14.3 91.1 "Other" 5 5.0 8.9 100.0 Total 56 56.0 100.0 Missing System 44 44.0

Total 100 100.0

Interpretation: From the respondents who buy the Krishna milk it is been found that

44% respondents buy from milk parlors, 32% respondents buy from grocery stores,

15% buy from bakery and rest of 9% from other services like shops, houses etc.

Company has to make available the Krishna milk and its products where it is

necessary

6) Using Krishna milk for the Reason:

Good Flavor Easily avilable

Reasonble price

Credit facility by agent

Brand name Cream Others

26 33 29 11 14 22 8

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Using Krishna milk for

2633

29

11 1422

80

5

10

15

20

25

30

35

Goo

dF

lavo

r

Eas

ilyav

ilabl

e

Rea

sonb

lepr

ice

Cre

dit

faci

lity

byag

ent

Bra

ndna

me

Cre

am

Oth

ers

Q6

pariculars

per

cen

t

Series1 Series2

Interpretation:

The respondents who use Krishna milk say that

33% people use Krishna because of availability,

29% people use Krishna because of price

22% Respondents use because of cream coming

from milk, 26% respondents use because of the flavor

8% because of the good package and carrying

7) Satisfied with Krishna Milk


Missing 44

Satisfied with Krishna Milk

Frequency


Cumulative Percent

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Interpretation:

The 56 respondents who use Krishna milk in that 43(76%) satisfy and43( 24%)

are not satisfied.

8) Do you Recommended Krishna milk to others


Missing 44 Recommend Krishna Milk

Frequenc Percent Valid Cumulativ

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y Percent e Percent Valid "Yes" 39 39.0 69.6 69.6

"No" 17 17.0 30.4 100.0 Total 56 56.0 100.0 Missing System 44 44.0

Total 100 100.0

.

Interpretation:

This question was asked to the customers of Krishna Out of the 56

respondents 70% say that they have recommended the milk to others and 30% say

they haven’t. So company has good reputation in the minds of customer and it has to

maintain its quality

9) How did you come to know about Krishna?


Missing 44 Come to Know about Krishna

Frequenc Percent Valid Cumulativ

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y Percent e Percent Valid "Friends" 16 16.0 28.6 28.6

"Neighbors"

12 12.0 21.4 50.0

"News Paper"

20 20.0 35.7 85.7

"Others" 8 8.0 14.3 100.0 Total 56 56.0 100.0 Missing System 44 44.0

Total 100 100.0

Interpretation

From the survey it is revealed that 35% respondents buy

because milk vendors and papers have influenced them to buy, and 28% because of

friends and 21% neighbors.

10) Does Advertisement drive you to milk?

Statistics

N Valid 56 Missing 44

Advertisements drive to buy branded milk

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Frequency


Cumulative Percent

Valid "Strongly Agree"

11 11.0 19.6 19.6

"Agree" 16 16.0 28.6 48.2 "No

opinion"20 20.0 35.7 83.9

"Disagree"

6 6.0 10.7 94.6

"SD Agree"

3 3.0 5.4 100.0

Total 56 56.0 100.0 Missing System 44 44.0

Total 100 100.0

Interpretation:

Almost 48% of the people believe that advertisements will drive them to

buy the milk and 35% are not sure about it. So Company has to make more

promotional activities i.e., advertisements to attract more people and to get the

customers.

11) Do you think Brand ambassador will influence you to buy

Milk?


Missing 44 Brand Ambassadors will influence

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Frequency


Cumulative Percent

Valid "Yes" 37 37.0 66.1 66.1 "No" 19 19.0 33.9 100.0 Total 56 56.0 100.0 Missing System 44 44.0

Total 100 100.0

Interpretation

66% of the respondents believe that brand ambassador will really

make difference in buying and 34% of them don’t believe in it.

11) Change/Shift to another brand?


Missing 44

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Change/Shift to another BrandFrequenc

yPercent Valid




Interpretation

About 14% of the want to shift to another brand because of not

getting credit and also because of lack of freshness and quality .

15) Reasons for not using Krishna milk

Taste-less

Bad odor

High price

Not Available

easilyOther

Reason

4 4 2 15 5

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Reason for not using krishna milk

4 4

2

15

5

0

2

4

6

8

10

12

14

16

Taste-less Bad odor High price NotAvailable

easily

OtherReson

Particulars

Pec

esn

t

Series1

Series2

Interpretation:

From the survey it is revealed that most of the people i.e.…about 30 out 15 (50%)

of the respondents don’t buy for the reason Not Available easily, 30 feel that not

getting credit facility, bad odor, less taste some of them feel it is mixed with

Powder and some of them feel that it is a mixture of cow and buffalo milk

16) Which milk do you buy

Gowlies Arokya Nandini Sahayadri Any other

20 5 9 5 5

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20

5

9

55

0

5

10

15

20

25

Gow lies Arokya Nandini Sahayadri Any other

Series1 Series2

Interpretation:

The respondents say that 20 out of 44 people use Gowlies because of vailability,

9 people use Nandini 5Arokya 5 sahayadri, 5 others.

17) When you choose particular brand which are the important

factors you look for?

Good Flavor Availability Price Credit

Brand name Cream Others

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17 26 24 19 11 20 12

Choose Particular brand Imp Factors

17

2624

19

11

20

12

0

5

10

15

20

25

30

GoodFlavor

Avilablility Price Credit Brandname

Cream Others

Particular

per

cen

t

Series1 Series2

Interpretation:

It is been observed thru the survey that the factors which are highly

influencing them or driving them to buy is about 20% look for cream, 26% look for

Availability, about 17% look for taste, about 24% look for price; about 19% look for

credit facility and rest of the 110%look for the brand name, package and other

essential services.

Data Code Sheet of Agents Survey

Q. No Q 2 Q 3 Q 4 Q 5 Q 6 Q 7 Samples

1 1 2 2 1 1 22 3 2 1 1 1 53 1 2 2 1 2 14 3 2 1 1 1 4

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5 3 2 1 1 1 46 3 2 1 1 1 37 3 2 1 1 1 48 2 2 2 1 2 49 2 2 1 1 1 1

10 3 1 2 1 1 411 3 2 1 1 1 212 3 2 2 2 1 413 3 2 1 1 2 314 4 2 2 2 1 415 2 2 2 1 1 316 3 1 2 1 1 317 2 2 2 2 2 318 2 2 2 1 1 319 2 2 2 2 1 220 2 2 1 1 1 521 2 2 2 1 1 322 3 2 1 2 2 323 3 2 2 1 1 324 3 2 2 2 1 225 3 2 2 1 1 426 4 2 1 2 2 127 2 2 2 1 1 428 2 2 1 2 1 329 2 2 2 1 1 130 1 1 1 1 2 3

2. Quality provided by Krishna Milk.

How do you feel about the Quality provided by Krishna Milk?Frequenc

yPercent Valid


Valid Excellent 3 10.0 10.0 10.0 good 11 36.7 36.7 46.7

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Okay 14 46.7 46.7 93.3 Bad 2 6.7 6.7 100.0 Total 30 100.0 100.0

Interpretation:

From the above graph it is clear that 90% of the agents are happy with

quality provided by the Krishna milk (p) ltd and 10% of the respondents say it is not

consistent in the quality.

3. Satisfied with the Commission given?

Do they give a Healthy/better commission?Frequenc

yPercent Valid


Valid Yes 3 10.0 10.0 10.0 NO 27 90.0 90.0 100.0 Total 30 100.0 100.0

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Interpretation:

90 % of the respondents say that they are not getting sufficient

commission compared to other brands and rest 10 % are just satisfactory.

4. Payment procedure Carried down in Krishna milk (p)ltd’.

Are you happy with Payment procedure Carried down in Krishna milk(p)ltd?

Frequency


Cumulative Percent


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Interpretation:

Out of the 30 Respondents 60% of them complain that they are always

in a hurry to collect cash and rest 40% are bit satisfied.

5. Right time delivery of milk.

Do they give you right time delivery of milk?Frequenc

yPercent Valid



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Interpretation:

Survey carried down of 30 agents 73% of them are happy with the

delivery of milk at right time and rest of 27% them are not satisfied. They say that in

afternoon time they don’t come at regular time and sometimes in morning they come

at irregular time …

6. They respond and take care of your Complaints.

Do they respond and take care of your Complaints? Frequency Percent Valid Percent Cumulative

Percent

Valid Yes 23 76.7 76.7 76.7

NO 7 23.3 23.3 100.0

Total 30 100.0 100.0

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Interpretation:

About 24% of 30 agents say that they never care about their complaints and

rests of 76 % of them say that sometimes they look down

7. How do you feel about the Treatment of Krishna milk (p)ltd Representatives?

[1 Being lowest & 5 Being highest]

How do you feel about the Treatment of Krishna Representatives?

Frequency Percent Valid Percent

Cumulative Percent

Valid worst 4 13.3 13.3 13.3

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bad 4 13.3 13.3 26.7okay 11 36.7 36.7 63.3good 9 30.0 30.0 93.3

excellent 2 6.7 6.7 100.0Total 30 100.0 100.0

Interpretation:

From the graph it is clear that 7% them say that their behavior is

extremely well, 30% of them feel good about their approach, 36% say that its

satisfactory and rest 30% feel that they don’t visit often and never take car of their

complaints.

FINDINGS:

86% of the respondents are aware of Sri Krishna milk(p)ltd milk.

65.1% of the respondents purchase Sri Krishna milk.

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44% of the respondents purchase from milk parlors.

59% of the respondents look for availability while purchasing milk.

48.4% of the respondents believe that Advertisements play a vital role while

buying the milk.

14.3% users of Sri Krishna Milk who want to shift to another brand because

of credit, taste, freshness and replacement facility.

50% of the respondents don’t buy because it is not available easily.

65% of the respondents look for flavor, price, availability and brand name.

90% of the agents are not happy with the commission provided by Sri Krishna

milk.

56.7% are not satisfied with the Payment procedure carried down by Sri

Krishna milk

73% agents are happy with delivery of milk at right time.

76% of agents say that Sri Krishna milk doesn’t take care of their complaints.

60% of the agents are satisfied with the behavior of Sri Krishna milk

representatives.

SUGGESTIONS:

BABASAB PATIL


The study reveals that the awareness of the brand exits but the

more information has to be revealed about the different brands

of Sri Krishna milk available in the market.

The respondents demanded for the 250-ml packet. So if

possible Sri Krishna milk should think of it.

Respondents said that its taste is not good, not consistent in

the Quality and they don’t give replacement facility for spoiled

milk. So Sri Krishna milk should take steps by creating

awareness about that the milk is not adulterated.

Consumers need door delivery, so that they can get milk as like

gowlis. To compete with gowlis Sri Krishna milk should arrange

this service.

Many respondents complain about bad odor of Sri Krishna milk,

as milk is a perishable product so management should take

care about its hygiene and try to avoid more storage and they

should deliver the milk as early and as fresh as possible.

Company should try to provide credit facility schemes to

agents. So that he can give credit to the consumers and sell

more number of packets and capture more market.

Developing the town markets by placing some of the staff for

extension work. So that they can make arrangements for

people to get milk in their particular place at particular time.

To educate the people about the overall performance of Sri

Krishna milk Company should take necessary steps to enhance

BABASAB PATIL


more promotional activities like giving ads in newspapers, in

local channels and thru other media. (if possible Sri Krishna milk

can educate thru brand ambassador also)

Comparing to other brands agents are getting less commission.

So Sri Krishna milk should increase its commission, because

agents are the main connectors between Sri Krishna milk and

consumers.

Company should open the grievance redressal cell, officer in

charge of this cell should ensure proper recording of the

grievances and attend the consumer and agents complaints

periodically he should inform the MD and MD could instruct the

concerned functional groups to take necessary actions.

Reasons for decline in Sales Volume of Sri Krishna milk :

On observing the sales trend for the past two years and survey

results it is quite sad to note that Sri Krishna milk (p) ltd is loosing its market share

and its sales in the concerned area. In the light of its poor performance, it is worth

while to analyze the reasons for the same which can be listed below:

1) The Price of the milk Packets.

2) Presence of other Brands.

3) Low Promotional Activity

4) Low Commission to the agents.

5) No favorable perception towards diary milk.

6) Gowlies milk is so preferred

BABASAB PATIL


7) More of the FAT content in private brands

1) The Price of the milk Packets.

The price of the milk packets was increased from .50paise to

1.50 paisa. The increase in the price took place at a wrong time when the many

competitors started entering into the market to capture the market share. This has

resulted the loss of sales in the market, where many competitors entered and captured

the market which was less price then Nandini. For e.g. Mayur, Nandini, etc.

2). Presence of other Brands

Milk brands in Haliyal are cropping year after year. Right now

there are about 9 to 10 other brands apart from Sri Krishna milk . However there are

4major brands which are very competitive for Sri Krishna milk . They are Arokya,

Mayur, Gokul and Nandini

The union faces the competition from the other brands because of the following

reasons:

o Higher commission structure

o Schemes for agents

o Festival gifts

o Huge investments on Advertisements

o Acceptance of leakage

o Cash collection on next day

o Schemes for consumers.

3). Low Promotional Activity

BABASAB PATIL


The total amount spent for the promotional activity to increase the

sales is very important. The union should seriously carry out, aggressive marketing

campaign to promote its sales and to increase the awareness among the consumers.

4) No favorable perception towards diary milk:

Most of the consumers have a feeling that Sri Krishna milk

(p)ltd mixes powder and sells the reconstituted milk in the market. Though

reconstituted milk forms hardly around 5% of total sales. It is very difficult to

disassociate this feeling from the consumers mind. They also complain about the

fluctuating quality of milk.

5) Gowlies milk is so preferred:

Most of the consumers prefer purchasing milk from these

Gowlies as their milk is fresh and is being supplied at relatively cheaper rate. They

also deliver the milk at the door step of the consumers with credit facility.

7) More of the FAT content in private brands:

Most of the consumers on the market are not aware of the fat

i.e. Written on the packets. They test the quality of the milk by looking at the quantity

of the cream i.e. formed when boiled and they prefer the milk that gives more cream.

The following table shows fat content of Sri Krishna milk and other brands.

BABASAB PATIL


BRAND TM FCM STANDARD

Nandini 3.0% 6.0% 4.5%

Arokya 3.5% 6.6% ------------

Gokul 3.0% 6.3% -----------

Krishna 3.0% 6.3% 5%

Suggestions to improve the Market in the Haliyal:

1).Need for a modified Commission structure

2).Incentive or presenting the gifts to the agents by fixing their targets.

3).Critical evaluation of agent structure

4). Strengthening the sales force

5). Extensive field work

CONCLUSION

BABASAB PATIL


Lastly to conclude it was a great experience to work at Sri

Krishna milk. I met so many faces in market, and got the meaning about the real

market. I came to know about the marketing strategies of Sri Krishna milk I got the

reasons for the like and dislike of people towards Sri Krishna milk.

Comparing to other brands Sri Krishna milk (p) ltd has a

very well goodwill in the market. Even though it is facing some problems because of

Gowlies and other brands . So it should try to create awareness, provide good service

with good quality milk as well as it should motivate the dealers. I have found that Sri

Krishna milk (p)ltd is not concentrating on dealers, so dealers motivation is must.

The response of the people was very good towards Sri Krishna comparing to others.

It was welcome move by Sri Krishna milk (p) ltd that door

to door Survey is being arranged in due course at Haliyal city.

I wish Sri Krishna milk (p) ltd all the BEST and SUCCESS.

BABASAB PATIL


CONTENTS

- Executive Summary

- Appendix

Questionnaire

- Bibliography

Questionnaire

Dear sir/madam,

BABASAB PATIL


Place: Haliyal

Locality: ________________

1. Name of the respondent: Sri / Smt __________________________________________

Address _________________________________________________________________

_____________________________ Phone: ____________________________________

2. Consumption per day: 500ml ; 1 liter ; 2 liter or more

3. Are you Aware of Krishna Milk?

1. Yes 2. No

(If no go to question no 16)

4. Do you purchase Krishna milk?

1. Yes 2. No

(If no go to question no 15)

5. Where do you purchase Krishna Milk?

1. Milk parlors 2. Grocery stores

3. Bakery 4. Any other place

6. You are using the Krishna Milk for:-

Good flavor ; Easily available ; Reasonable price

BABASAB PATIL


Credit facility by agents ; brand name ; Cream

If Any Other Reasons ______________

7. Are you satisfied with the Krishna Milk?

1. Yes 2 No

8. Do you recommend Krishna Milk to others?

1. Yes 2.No

9. How did you come to know about Krishna milk?

Friends ; Neighbors ; News papers

10. Does advertisements drive you to buy branded Milk?

strongly agree Agree No opinion Disagree Strongly Disagree

11. Do you think that Brand Ambassadors will influence you to buy milk?

1. Yes 2. No

12. Do you want to change/ shift to another Brand? 1. Yes 2. No

13. If yes to which Brand please specify with reasons

_______________________________________________________________________

BABASAB PATIL


14. Any suggestions to improve the sales of Krishna Milk:- ________________________________________________________________________

15. If you are not using Krishna milk, can you please tell me the reasons:-

Taste – less ; bad odor ; High price

Not available easily ; any other reason ___________________

16. Which milk do you buy? Gowlies ; Arokya ; Nandini

; Sahayadri ; any other specify _________________________

17. When you choose a particular brand of milk, which are important factors you Look for Good flavor ; Availability ; Price

Credit ; Brand name ; Cream

If any other specify ______________________________________________________

Signature

Thank you,

Questionnaire

Dear sir/madam,

BABASAB PATIL


Locality:

1. Name Address Phone:

2. How do you feel about the Quality provided by Sri Krishna Milk?

Excellent Good Okay Bad Worst

3. Do they give a Healthy/better commission?

1. Yes 2. No

4. Are you happy with Payment procedure Carried down in SRI KRISHNA MILK (P) LTD?

1. Yes 2. No

5. Do they give you right time delivery of milk?

1. Yes 2. No

6. Do they respond and take care of your Complaints?

1. Yes 2. No

7. How do you feel about the Treatment of Sri Krishna Milk (p)ltd Representatives?

[1 Being lowest & 5 Being highest] 1 [ ] 2 [ ] 3[ ] 4[ ] 5[ ]

8. Any Suggestions / Complaints Regarding SRI KRISHNA MILK (P)LTD?

BABASAB PATIL


BIBLIOGRAPHY:

Marketing Management – Philip Kotler

Marketing Research – Tull and Hawkins

Internet Websites:

www.CBB.doc.com

www.google.co.in

BABASAB PATIL

consumer buying behavior @ srikrishna milk (p) ltd project report mba marketing

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sri krishna milk p

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