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Business Research On
Tubular PolesBY
Neeraj Goyal
PGDM (FT) 08-10
F1-0825
SECTION-C
AT
JINDAL INDUSTRIESLTD
5STMAY TO 15THJUNE 2009
A REPORT SUBMITTED IN PARTIAL FULFILMENT OF THE
REQUIREMENTS OF PGDM (FT)
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Table of Contents
Title P.No.
Students Undertaking
Company certificate
Acknowledgment
Executive Summary
Introduction
Key Management Person
Product Range
Specifications
Manufacturing process
Quality Measures
Tubular Poles
Past Trends
Products
Certifications
Some Valued Clients
Product Applications
Objective of the study
5
6
7
8
9-10
11
12-14
15-16
17-20
21-23
24-27
28-30
31
32
33-34
35-39
40-42
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Research Plan./ Methodology
Data View
Findings
Factor Analysis
Conclusion
Recommendations/ Suggestions
References
Annexure
43-44
45-46
47-54
56-58
59
60
61
62
STUDENT UNDERTAKING
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I, Neeraj Goyal hereby declare that the Project Work titled Business
Research on Tubular Poles is the original work done by me and
submitted to Jagan Institute of New Delhi, as a Summer Training
Project in partial fulfillment of requirements for the award of PostGraduate Diploma in Management.
Company guide: Mr. Surender Kumar Goyal
Faculty Guide: Mr. S.C. Kapoor
CRMC Guide: Ms. Priyanka Arora
COMPANY CERTIFICATE
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ACKNOWLEDGEMENT
Preservation, inspiration and motivation have always played a key role in the success of any
venture. In the present world of competition and success, training is like a bridge between
theoretical and practical working; willingly we prepared this particular Project. First of all we
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would like to thank the supreme power, the almighty god, who is the one who has always
guided me to work on the right path of my life.
I express my sincere thanks to Mr. S.C. Kapoor for his valuable support. We would also like
to thank Mr. ASHOK GUPTA (CEO, Jindal Industries Ltd. (Hissar)) who extended hissupport throughout the project. I would also like to thank Mr. Surender Goyal at the
Marketing Branch office, Bhikaji cama palace, New Delhi for providing us with the dealer
list and customer database without which our project would not have been complete.
I also thank to& others faculty members ofCRMC, for the valuable suggestion and
making this project a real successful.
Last but not least, my sincere thanks to my parents and friends who directly or
indirectly helped me to bring this project into the final shape.
NEERAJ GOYAL
ROLL NO. FI-0825
SECTION- C
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EXECUTIVE SUMMARY
Indias rapid economic growth is built on a frame of steel. A soaring demand by sectors like
infrastructure, real estate, and automobiles at home and abroad, has put Indias steel industry
on the world map. India ranked eighth in terms of world crude steel production, with a
production of 33MT of crude steel production. The large amount of steel production is then
used for making products like pipes, sheets etc. in different companies.
This project is an organized approach towards gaining knowledge about the research on
tubular poles required by a company why the demand of the Swaged type tubular poles is
going down by which it can take further action for increasing its sale of Swaged type tubular
Poles.
The theme of the project is to know about market scenario of tubular poles, different types of
poles, companys competitors, and the factors which are influencing a customer to purchase a
particular type of pole.
The basic idea is to ascertain what is the future perspective of Swaged type tubular poles for
further expansion and daily operations, in the best possible manner and at the lowest rate.
In view of competition, it is desirable to have more persons on the marketing department for
the increase in sales and increase production and show better results.
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INTRODUCTION
We are the future of Steel
Jindal Industries Limited (JIL), Hisar incorporated in early sixties, is a leading manufacturer
in India for Galvanised Steel Pipes, Black steel Pipes, Hollow Sections and steel Tubular
Poles. Founded in early 60s by the group of Jindal and their partners, the unit has steadily
grown to become a premium brand in galvanized Steel pipe industry. Jindal HISSAR,
products have earned the reputation of impeccable quality and total reliability. The name has
become synonyms with the BEST in Steel Tubes.
Jindal Industries Limited has doubled its production and sales during last Five years. It hasachieved this feat by winning a higher share in a very competitive market, which is also
flooded with inferior and duplicate quality Pipes. Its strength lies in its all time endeavor to
provide higher & higher standards of quality and service to their worthy customers. They
never compromise on Quality front even under the most adverse market conditions. Mainly
SAIL material in Steel and High Grade Zinc from Hindustan Zink Limited is being used to
cater to high quality Pipes/Tubes demand in the Market.
Jindal Industries Ltd. Manufactures Pipes using state-of-art manufacturing
facilities in range 1/2 (15mm NB) to 12 (300mm NB) for use in water transportation,
chemical industry, Agro based industries, Power sector, Fire Fighting application etc. with acapacity to produce about 200,000 tonnes per annum. The unit is equipped with modern
machinery including 8 rolling mills, 4 galvanised plants, threading and finishing equipments.
It is fully automated to ensure premium quality and high degree of dependability.
Jindal Industries Ltd has earned a commendable reputation for reliability and
quality due to its adherence to uncompromising standards of quality. The objective is to
delight customers at reasonable prices. All pipes have to pass through a series of tests during
stages of production at our in-house testing laboratory. Jindal Industries Ltd. has adopted the
total quality management approach. Its systems conform to ISO Standards viz ISO 9001, ISO
14001 and OHSAS 18000.
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The pipes are engraved with ISI Mark and Trade Mark Jindal with the device
of the map of India in oval shape and word HISSAR underneath, which has become
synonymous with high quality Steel Pipes. Each Pipe/Tube manufactured by Jindal Industries
Limited is a testimony to our commitment to Quality and Service. Keeping in mind the
profile of the end users particularly house holders and farmers, Company has taken the onus
of ensuring quality better than the requirements, the pipes are normally manufactured to
closer tolerances and care is further taken enroute to exceed users expectations.
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Key Management Person
Name Designation
Smt. Savitri Devi Jindal Chairperson
M.P. Jindal Director
Basu Dev Agarwal Director
R.C. Singal Exec. Director
Ashok Kumar Gupta C.E.O.
PRODUCT RANGE
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1. Galvanized Pipe
For Water, Gas & Air Lines, Confirming
to IS: 1239 (Part - I) Equivalent to BS: 1387
from 15mm dia NB to 150 mm dia NB
For Water, Gas & Sewerage Confirming
to IS: 3589 (Grade 330 and 410) from 200 mm
dia NB to 2100 mm dia NB.
2. Mild Steel (M.S.) Black Pipe
Features:
Standard 21-foot lengths TBE
Black malleable (soft) cast iron fittings
with Black oxide scale formed on the
surface of steel pipes
Coats with protective oil for protection
from rust and corrosion
Cut either with a heavy-duty tube cutter
or cutoff saw or by hacksaw
Maintenance free
Indian Standards:
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1. Indian Standards: Specification IS: 1239 (Part-I) 1990 (Light, Medium &Heavy
Series) Black & galvanized, plain end screwed and socketed.
2. Indian Standards: Specification IS: 1978-1982 up to 200 mm NB grade &YST- 170
and YST - 210.
3. Indian Standards: Specification IS: 1161-1998 up to 150 mm NB grade &YST- 210
and YST - 240.
4. Indian Standards: Specification IS: 3601-1984 up to 168.3 mm OD and 7.1 mm wall
thickness.
5. Indian Standards: Specification IS: 3589-1991 ERW Steel Tubes 150 mm to 400 mm
NB.
6. Indian Standards: Specification IS: 4270-1992 ERW Steel Tubes for water wells up to
300 mm NB.
3. Industrial Steel Tube
Features:
Manufactured from a wide variety of
materials
Common rating: lined, plated, flanged,
insulated, and underground rated
Possess high structural reliability and
flexibility
Corrosion resistant and are easy to maintain
Designed and fabricated to any height and strength as per customers order
Industry Usage:
Processing Industry, Energy Industries, Construction Industry
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4. Steel Casing Tube
Features:
Smooth wall and a minimum yield
strength of 35,000 psi
Available in different height, length,
width and thickness
Casing pipes are used for casing for oil
and gas wells. Corrosion-proofing water-basedpaint is applied on the outside
Treated with synthetic slags and cast by
continuous casters.
High tensile, ductility and corrosion
resistance properties
Delivered with metal or composite caps at both ends for thread Production.
Industry Usage:
Oil and Gas Industry
Steel casing pipes and tubing are applied to furnishing and installing cased tunnels, where
they indicate to pass other utilities or obstructions without open excavation. Steel casing
pipes and tube have smooth wall and minimum yield strength of 35,000 psi. Casing pipes are
used for casing for oil and gas wells. Corrosion-proofing water-based paint is applied on the
outside pipe surface to protect against atmospheric corrosion during transportation and
storage. The pipes can be delivered with metal or composite caps at both ends for thread
protection.
Pipes are heat-treated in a computerized walking beam furnace. Steel grades and heat
treatment regimes applied allow high-strength pipe to be obtained. Casing pipes are
manufactured out of steel are smelted in the electric furnace, treated with synthetic slags and
cast by continuous casters.
The applied steel making process ensures the achievement of chemically pure steel with
reference to sulphur and phosphor contents providing high tensile, ductility and corrosion
resistance properties of pipes to be operated at low temperatures in various corrosion media.
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SPECIFICATIONS OF THE PRODUCT
GALVANIZED AND BLACK PIPES FOR WATER, GAS AND AIR CONFORMING TO
IS-1239(PART-1) 2004/BS-1387/IS-1161 (STRUCTURAL TUBES)
N.B Series Mean
Outside
Diameter
(MM)
Wall
Thickness
Nominal Weight Galvanized
&Black Tubes
Sockets
MM SWG Plain End Screwed &
Socketed
OD in
MM
Length
MM
Kg/m Mtrs/
Tone
Kg/m Mtrs/
Tone
15 Light
Medium
Heavy
21.20
21.40
21.40
2.00
2.60
3.20
14
12
10
0.95
1.21
1.44
1056
826
694
0.95
1.22
1.45
1046
820
690
27.00 37.00
20 Light
Medium
Heavy
26.65
26.90
26.90
2.30
2.60
3.20
13
12
10
1.38
1.56
1.87
725
641
535
1.39
1.57
1.88
719
637
532
32.50 39.00
25 Light
Medium
Heavy
33.50
33.75
33.75
2.60
3.20
4.00
12
10
8
1.98
2.41
2.93
505
415
341
2.00
2.43
2.95
500
412
339
39.50 46.00
32 Light
Medium
Heavy
42.50
42.45
42.45
2.60
3.20
4.00
12
10
8
2.54
3.10
3.79
394
323
264
2.57
3.13
3.82
389
319
262
49.00 51.00
40 Light
Medium
Heavy
48.10
48.35
48.35
2.90
3.20
4.00
11
10
8
3.23
3.56
4.37
310
281
229
3.27
3.60
4.41
306
278
227
56.00 51.00
50 Light
Medium
Heavy
59.90
60.25
60.25
2.90
3.60
4.50
11
9
7
4.08
5.03
6.19
245
199
162
4.15
5.10
6.26
241
196
160
68.00 60.00
65 Light
Medium
Heavy
75.60
75.95
75.95
3.20
3.60
4.50
11
9
7
5.17
6.42
7.93
175
156
126
5.83
6.54
8.05
172
153
124
84.00 69.00
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80 Light
Medium
Heavy
88.30
88.75
88.75
3.20
4.00
4.80
10
8
6
6.72
8.36
9.90
149
120
101
6.89
8.53
10.10
145
117
99
98.00 75.00
100 Light
Medium
Heavy
113.45
114.05
114.05
3.60
4.50
5.40
9
7
5
9.75
12.20
12.50
103
82
69
10.00
12.50
14.80
100
80
68
124.00 87.00
125 Medium
Heavy
139.65
139.65
4.80
5.40
6
5
15.90
17.90
63
56
16.40
18.40
61
54
151.00 96.00
150 Medium
Heavy
165.20
165.20
4.80
5.40
6
5
1890
21.30
53
47
19.50
21.50
51
46
178.00 96.00
150 Heavy 168.30 6.30 25.20 40
200 Medium
Heavy
219.10
219.10
5.40
5.90
29.50
31.00
34
33
250 Heavy 273.00 5.90 38.90 26
300 Heavy 323.90 6.30 49.30 20
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Manufacturing Process
Slit Preparation
HR Coils are slitted to predetermined widths for each size of pipe and thickness.
Slitted coil is uncoiled at the entry of ERW mill and the ends are sheared and welded
one after another to make it single endless strip.
Forming
Slitted coils are initially formed into U shape and then into a cylindrical shape with
open edges using a series of forming rolls.
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Welding
The open edges are heated to the required temperature through high frequency low
voltage high current and press welded by forge rolls making perfect and strong butt
weld without filler materials.
Debeading
Weld flash on top and inside (if needed) is trimmed out through carbide tools.
Seam Annealing
Whenever required, welding portion and heat affected zone is put to normalizing withmedium frequency normaliser and then cooled down in air cooling bed.
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Sizing and cutting
After water quenching, slight reduction is applied to pipes with sizing rolls
to give them desired accurate outside diameter. Pipes are cut to required lengths byflying cut off disc/saw cutter.
Facing and Beveling
The pipe ends are faced and beveled by the end Facer.
All the processes are continuous with auto arrangements. These plain ended tubes go
for further processing as per the customer need like galvanizing, threading, black
varnishing etc.
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Packing
Finished pipes are bundled in desired number of pieces as per customer's requirement
and packed properly to ensure freshness till delivery.
Packing system for Hexagonal Packing and Rectangular packing are being installed
Standards to which Pipes can be manufactured.
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QUALITY MEASURES
1. MECHANICAL TESTING
TENSILE STRENGTH
YIELD STRESS
ELONGATION %
BEND TEST (UPTO 50 MM)
FLATTENING TEST (ABOVE 50 MM)
2. HYDRO TESTING
A hydro test is the common way in which leaks can be found in pressure vessels suchas pipe and plumbing. Using this test helps maintain safety standards and durabilityof a tube over time. Newly manufactured pieces are initially qualified using thehydrostatic test and continually re-qualified at regular intervals using theproof
pressure testwhich is also called the modified hydrostatic test.
EACH PIPE TESTED AT 51 KG/CM2 TEST PRESSURE.
PRESSURE HOLDING DURATION - 5 SECONDS
JINDAL has got 5 nos. of Advanced Hydro testing M/cs
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Triple Tubes Hydro Testing Machine (from Gallium)
Galvanizing Plant
TESTS Specified Requirement
MASS OF ZINC COATING 360 G/M2 (MIN)
(Jindal maintains Zn Coating around 400 g/m)
Mass of Zn Coating measured using
latest measuring devices at regular
intervals
UNIFORMITY TEST 5 DIPS
IN COPPER SULPHATE
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(ONE MINUTE EACH DIP)
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TUBULAR POLES
Building on a long standing tradition of quality steel pipes and tubes, Jindal Industries Ltd.
Manufacture Steel Tubular Poles and supply to clients nationwide for a variety of applications
including telecommunications, sports/street lighting and other utilities. JIL Tubular Poles are
highlights with the feature like efficiency, ease of installations, reduced maintenance, corrosion
resistance etc.
Jindal Industries Ltd. Manufactures Pipes using state-of-art manufacturing facilities
in range 7 M to 9 M for use of lightening purposes.
Manufacturing Process
Applications
Street lighting
Highway
Dock and water Fronts
Offshore Platform
Corrosive Area
Chemical Plants
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Jetties
Real Estate
Types of Poles
Swaged Type Steel Tubular Poles
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Octagonal Poles
Tapered Poles
Jindal Hissar only Manufactures Swaged type tubular Poles.
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Advantages of Jindal Poles
1. Free from Defects
Poles are well finished, clear and free from harmful surface defects. End of the poles are cuts
square.
2.Protection against corrosion
The poles are coated with black bituminous paint conforming to IS: 156-1968 throughout,
internally and externally, up to the level which goes inside the earth. The remaining position of
the exterior are painted with one coat of red oxide primer as specified in IS: 2074-1979.
Alternatively, tubular poles are galvanized, subject to agreement between the supplier and thepurchaser.
So they are anti corrosion.
3.Straight
4.Tolerance
5. Good Quality standards
Prices of Poles
Swaged Type Tubular Poles Rs.37000/tones
Octagonal Poles Rs.45000/tones
Tapered Poles Rs.48000/tones
As we can see that swaged type tubular poles are cheaper than Octagonal Poles and Tapered
poles in terms price. So consumer mostly prefer Swaged type tubular poles.
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Past Trends
How Reserve have Grown
(Rs. in crore)
Finance Year
ended 2005 2006 2007 2008 2009
2010
(Projected)
SALES
29
9.92
360.
50
550
.55
70
8.11 830.18 850.00
EBITD 8.00
11.
25
32
.49
4
0.97 65.68
EBITD in % 2.67 3.12 5.90 5.79 7.91
Interest 2.56
3.
37
5
.18 6.62 7.28
Depreciation 0.95
0.
90
1
.07 1.20 1.50 1.70
PBT 4.49 6.97
26 33.14 56.90 50.00
Income Tax 1.60
2.
55
8
.90
1
1.00 19.00 17.00
PAT 2.54 4.65 16.67 21.68 37.90 33.00
Dividend in % 25 25 100 150 0 0
Reserve 21.14 26.26 41.18 61.89 99.79 132.79
Equity Share 1.50 1.50 1.50 1.50 1.50 1.50
Own Fund 22.64 27.76 42.68 63.39 101.29 134.29
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(a)
(b)
(c)
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Production Capabilities
Capacity -180,000 Tons per Annum
Being expanded to 200,000 Tons per annum
Current Utilization 155,000 tons per annum
8 Running Mills
Each working in a different diameter range
Another 2 old mills are in the process of being replaced
4 Galvanizing Plants
Running 3 at a time
End Facing/ Beveling machines
Being replaced by Automatic End facing facility
Threading machines
Packing equipment being installed by ITW
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Some Valued Clients
Indian Sugar & General Engg
CorporationPunj Lloyd Limited
Indian Oil Corporation Limited National Thermal Power Corporation
Larsen & Toubro Bharat Heavy Egg Limited
Oil India Limited Oil and Natural Gas Corporation Ltd
Gas Authority of India Limited Bharat Petroleum Corporation Limited
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Thermal LtdChennai Petroleum Corporation Ltd
Steel Authority of India Limited Indraprastha Gas Limited
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Product Application
1. Oil refineries
2. Power Projects
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3. Construction Industries
4. Tube wells & Water wells
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5. Tubular Pole
6. Overseas Customers
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7. Structurals
Water Treatment Plants
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1. Steel Industries
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OBJECTIVE OF THE PROJECT
The project is carried out for the study of market scenario of tubular poles market, trend in the
market, market ratio of different types of poles ,the competitors of Jindal Industries Ltd. and why
the demand is going down for Swaged type tubular Poles.
This would be done by finding out the consumer preferences and factors that influence a
customer decision to purchase a particular type of pole.
PEST ANALYSIS
The following analysis gives an overview of the environment in which the Steel pipe industry is
operating. We have analyzed the Political, Economic, Sociocultural and Technological environment
for the industry.
Political Environment
Finished Product
a.Steel pipe below 2000tonnes/month capacity are on negative import list in order to
protect the domestic industry. Customers of below 2000tonnes/month segment are
very price sensitive so when foreign players enter the market, they would be offering
the same product at a competitive price which in turn would affect the domestic
players. Therefore the threat from imports in the Steel pipe segment is minimal due to
quantitative restrictions and high duties.
Import Duties on Raw Materials
Import duty on Steel pipe parts is also as high as 40%. The high imposition of duty on
the imported components discourages the companies to import their parts and
promotes the manufacture of the parts within India. Thus most of the MNC also
source their requirements form the Indian manufacturers and thus enable the
development of the ancillary manufacturing units in India.
The custom duty on the cold rolled sheets required for the outer
cabinet is 30%. As the import is high it discourages import. Thus there is an alternate
use of plastic cabinets by the manufacturers.
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Other Taxes
Sales tax on Poles varies from one state to another. The sales tax along with the excise duty
constitutes about 8.3% of the sales price. Thus any decrease in these taxes and duties will
have a significant impact on the prices and subsequently boost demand of Steel price.
Economic Environment
Disposable Income of the Population
With the sustained growth in the GDP of approximately 6-7% in the last few years there has
been a high rate of growth in the infrastructure sector in the country. This has led to the higherdemand in the market. Indias rapid economic growth is built on a frame of steel. A soaring
demand by sectors like infrastructure, real estate, and automobiles at home and abroad, has put
Indias steel industry on the world map. By which the demand of tubular poles has increased.
Availability of Finance
Consumer finance has picked up substantially in India though the interest charged on loans lies
in the range of 6%to15%. Consumers are no more averse to the concept of buying now and
paying later. Consumer financing schemes account for 30% of the sales in 1995-96 on whole
India basis, while in the South it accounts for 40% of the sales. The availability of consumer
credit has also increased over the last few years and this gives a boost to the industry as the
demand increases.
Sociocultural Environment
Growing Middle ClassIndia has about 157.2 million households of which about 52 percent fall in the low income (up to
Rs 20,000) category; a further 20 percent in the lower middle category (Rs 20,001-40,000). Of
the remaining population, the households in Rs 40,001 to Rs 62,000 income group with per
capita mean purchasing power of about Rs. 9,000 p.a constitute another 12% of total and the
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infrastructure sector and real estate industry in the country is at the boost, so this has increased
the demand.
New Highways and Road
The Government of India and many state government has announced to built many highways and
roads like
Technological Environment
Introduction of technology like octagonal poles which are stronger and having better life
than ordinary poles which have increased the competition.
Introduction of lethal chemicals in manufacturing of steel pipes led to increase in sales as
it strengthen the strength of Pipes.
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Research Plan/Methodology
For carrying out the comparative study
1) Preference between Swaged type tubular Poles and Octagonal Poles.
2) Factors influencing a consumer to purchase a particular type of pole.
Sample of public at large taken from respective markets in all over Delhi and
The sample size consisted of many electrical contractors in Delhi and end customers visiting. I
went on various construction sites to meet contractor and customers for their feedback.
For Comparative study of tubular poles in terms of consumer preference Direct Interviews with
customers and also Direct Interviews with buyers visiting at dealers were carried out. Apart fromthis, they were required to fill a questionnaire and thus consumers perspective about the tubular
poles were identified.
Sample Size:
1. Road Electrical Contractors: around 27 responses.
2. Building electrical Contractor: 23 responses
Total sample size was taken 50. Many of responses were not considered due to biasness or
probable chance of occurring standard error.
Sampling Plan
Target Population: Our target population includes electrical contractors, end users of
tubular poles. We will access our target population specifically from the
manufactures to get information about the market scenario of tubular poles.
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Sampling Frame:
Secondary Data: The elements of the target population are identified from the sources such
as, Jindal Hissar customers database, dealers list and websites.
Primary Data: The primary data was initially collected from more than 50 responses in
various locations in the Delhi and NCR region during the course of our exploratory research. We
have an interview session with some of the manufactures and electrical contractors of tubular
poles. Then I get the information about the various types of tubular poles and market scenario.
Finally, a questionnaire is designed to be filled by the target size.
Sampling Technique:
The method of sampling without replacement was applicable because we had to obtain views ofeach dealer separately and hence cannot be selected again.
Direct Interviews with Electrical contractors and end user were carried out. Apart from this, they
were required to fill a questionnaire and thus consumers perspectives about the tubular poles
were identified.
For Pre-testing the questionnaires we conducted a pilot study taking a sample of 30.This was
done to check the content and wording of questionnaire. Also the sequence and layout of
questionnaire was judged. From this test we conclude that questionnaire is drafted precisely and
doesnt require aby corrections into it.
All the questions were on nominal scale and ratio scale which were used only to codify different
elements in the question. According to our objectives in few questions we used non-
comparatives scales like likert scaling.
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DATA VIEW
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FINDINGS
1. Test Applied to know consumer awareness
Preference
Preference Frequenc
yPercent Valid
Percent Cumulative Percent
Valid 1.00 18 39.1 39.1 39.12.00 16 34.8 34.8 73.95.00 6 13.0 13.0 87.06.00 2 4.3 4.3 91.3
7.00 4 8.7 8.7 100.0
Total 46 100.0 100.0
N Valid 46
Missing 0
Mean 2.6087
Median 2.0000
Mode 1.00
Std. Deviation 2.03828
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Analysis
As per response, we can state out of 46 respondents, 18 prefer the swage type tubular poles,
while 16 prefer the octagonal poles and other respondents prefer the swaged and other type of
poles. So most of the respondents prefer swaged type tubular poles because they are price
conscious and they have very less knowledge about the other type of poles.
2. Consciousness
N Valid 46
Missing 0
Mean 1.3478Median 1.0000Mode 1.00Std. Deviation .48154
Conscious
Frequenc
y PercentValid
PercentCumulative
Percent
Valid 1.00 30 65.2 65.2 65.2
2.00 16 34.8 34.8 100.0
Total 46 100.0 100.0
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Analysis
As per the response, we can find out that 65% of the respondents are cost conscious and the 35%
are quality conscious. As Jindal Hissar poles are high in price so they will be having a low
demand. We may introduce new product range while considering the cost as a major fact
to caters such demand.
3. Brand Preference
Valid 46Missing 0
Mean 2.1739Median 2.0000Mode 3.00Std. Deviation .79734
Brand preference
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Sale of Tubular poles is mainly based on marketing, but Jindal Hissar has very less
management person for concentrating on tubular poles because they have a huge demand
for pipes.
Local manufactures can manufacture the poles as per the requirement of manufacture and
provide the poles in the less quantity also, but Jindal hissar has some specificspecifications and dont give poles in the small quantity.
The cost of plant for manufacturing swaged type tubular poles is very less. So there are
many manufactures in the area. Thats why Local poles are more demanded.
Jindal Hissar Poles are good in Quality, but they are high in price. But local poles
manufacture poles from the scrap pipes. So their poles are cheaper in price.
Bajaj Electricals Ltd. Has got 35% because they manufactures Octagonal Poles in which they
are specialist. For the interviews, I find that Octagonal Poles are now a days more popular
because of the reason:
Octagonal Poles are majorly used by the Government for the lightimg purposes on the
roads and highways. For this, they require high length Poles which has more life and less
maintainance. Octagonal Poles are suitable for this. Although, they are high in price.
Swaged type poles are manufacture with the welding of 2 or more pipes. They are
chances that welding will break down after sometimes because of the rain and corrorion.
In octagonal poles, G.P, sheets are used. Which have a long life and this is light weight
and have better quality. While for the swaged type tubular poles Mild steel pipes are used
which have no Zinc coating.
Ontagonal Poles are fancy and good looking as compare to others type of poles.
Swaged type of poles are fitted 2-3 feet down the earth. So for setting the pole,
Contractor has to first set up the pole and then make the road. But on the other hand
octagonal poles are set up on the foundation which can be made with the road and after
this pole can be set up.
The octagonal poles are stronger than swaged and other type of poles and also the life is
more than the other type of poles.
4. Preference Rank
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Statistics
PreferenceRank
swaged
PreferenceRank
octagonal
PreferenceRank
tapered
PreferenceRankothers
N Valid 46 46 46 46
Missing 0 0 0 0
Mean 3.6087 3.0217 2.2174 1.2391
Mode 4.00 4.00 2.00 1.00
Std. Deviation .49344 .97728 .51264 .63892
Variance .243 .955 .263 .408
Sum 166.00 139.00 102.00 57.00
Preference Rank Swaged
Frequency Percent Valid PercentCumulative
Percent
Valid 3.0018 39.1 39.1 39.1
4.0028 60.9 60.9 100.0
Total46 100.0 100.0
Preference Rank Octagonal
Frequency Percent
ValidPercent
CumulativePercent
Valid 1.00 3 6.5 6.5 6.5
2.00 12 26.1 26.1 32.6
3.00 12 26.1 26.1 58.7
19 41.3 41.3 100.0
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4.00
Total 46 100.0 100.0
Preference Rank Tapered
Frequency Percent Valid PercentCumulative
Percent
Valid 2.00 11 23.9 23.9 23.9
3.00 33 71.7 71.7 95.7
4.00 2 4.3 4.3 100.0
Total 46 100.0 100.0
Preference Rank Others
Frequency Percent Valid PercentCumulative
Percent
Valid 1.00 40 87.0 87.0 87.0
2.00 1 2.2 2.2 89.1
3.00 5 10.9 10.9 100.0
Total 46 100.0 100.0
Analysis
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As per the response, Contractors has ranked the swaged type tubular poles as the No. 1pole, octagonal no.2 and tapered as the 3rd. This shows that swaged type poles are still ingreat demand rather than the other type of poles because of its feature.
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FactorAnalysis
To obtain the reduced number of factor by applying principal component analysis of
extraction and varimax rotation we get the output. The main objective of following the
extraction process is to identify the main factors from the existing set of data (i.e. cost, life,
strength, installation, design and size).
Communalities
Initial Extraction
Factor cost 1.000 .549
Factor life 1.000 .713
Factor strength 1.000 .757
Factor installation 1.000 .246
Factor design 1.000 .684
Factor size 1.000 .790
Extraction Method: Principal Component Analysis
Total Variance Explained
Comp
onent
Initial Eigen values
Extraction Sums of
Squared Loadings
Rotation Sums of Squared
Loadings
Total
% of
Varianc
e
Cumula
tive % Total
% of
Varianc
e
Cumula
tive % Total
% of
Varianc
e
Cumula
tive %
1 2.534 42.240 42.240 2.534 42.240 42.240 2.326 38.767 38.767
2 1.206 20.093 62.333 1.206 20.093 62.333 1.414 23.566 62.333
3 .905 15.085 77.418
4 .536 8.926 86.344
5 .488 8.132 94.476
6 .331 5.524 100.000
Extraction Method: Principal Component Analysis.
Looking at total variance explained table. Under the cumulative percentage column. We find that
two factors extracted out of six factors. Accounts for 62.333% of total variance.
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Hence 6 factors which were accounted for 100% variance now gets reduced to 2 factors and
reduced variance of 62.333%.
Looking at rotated component matrix we see that loading of Eigen value of all the 6 factors on 2
extracted factors.
Rotated Component Matrix (a)
Component
1 2
Factor cost -.696
Factor life .839
Factor strength .865
Factor installation -.493
Factor design -.364 .742
Factors size .881
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
A Rotation converged in 3 iterations.
Looking at each component we find low and negative Eigen value to be eliminated or we dont
consider such values.
These factor can be interpret as
Factor 1: Durability
S.no Factors Loading
1 Life .839
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2 Strength .865
Factor 2: Size
S.no Factors Loading
1 Size .881
As per the Rotated Component Matrix the other Eigen values are not considered in factorbecause either they are less than .800 or in negative state. So, its not feasible to interpret
such factors.
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CONCLUSION
As per our Primary Research and Analysis, now I am in condition to make statement to simplify
our objectives of the study through the data, facts and finding gathered from various sources.
We can conclude that customers prefer swaged types than the other type of tubular poles,because the customers are cost conscious.
Consumers have very less knowledge that Jindal Hissar manufactures tubular poles, theyknow Jindal Industries Limited only for Pipes, because this is a new product from JindalHissar.
Company has no management person for the marketing of tubular pole, but this requiresmarketing.
Finding through SPSS
We can conclude that most of the customer prefer swaged type tubular poles, because
they are lesser costly as compare to octagonal and tapered type of poles and major of the
customers are cost conscious.
Still most of the respondents use the swaged type tubular pole while there are many other
poles in the market.
Contractors use mostly local poles while their quality is inferior. So Jindal Hissar can
launch a new range of poles considering the cost as the major Factors.
Demand of octagonal poles is growing day by day because of the features of these poles.
So company can manufactures these poles.
Life and strength are the most important factors which influence the customer. So Jindal
Industries should try to concentrate on these.
Respondents have ranked the swaged type tubular poles as the no. 1 Poles, while
Octagonal are No. 2 and the tapered is No. 3.
Looking at existing sales most of the respondents has opted for swaged type tubular
Poles. So there is a huge potential market lays ahead, need to be targeted.
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RECOMMENDATIONS AND SUGGESTIONS
Jindal Hissar need to improve its marketing strategy as poles market is basically based on
marketing of the poles and with the networking. Very less amount of people know that Jindal Hisar manufactures the tubular poles. They
only know Jindal Hisar for the Pipes and tubes. Jindal Hissar is having a single plant located in Hissar, this single plant supply its
material in all parts of India. If a new could have been installed in southern part of India ,which will supply material in south India, with a result reduces the demand pressure onHissar plant and able to supply more material in North India.
Installing a plant in South India will also led to cost cutting, as more units will producecost per unit will decrease and also reduce transportation cost.
Jindal Hissar can introduce a new range of poles considering the cost as a major factor. Jindal Hissar can also introduce a plant for Octagonal Poles as there is a great demand for
Octagonal poles and future is going for the octagonal poles because of the feature of this
pole which attract the consumer to purchase this kind of pole. Jindal Hissar is financially sound company, but installing a plant require huge amount to
be invested, they may go for IPO, this will also help to market their product globally asJindal Industries Ltd. Is not a listed company.
Durability and size has emerged as the main factors. So for product design they shouldkeep this factor in the mind.
Reserves have grown tremendously over past few years, they must look for to invest iteither in new plant otherwise can be invested in sister concern companies.
A good Product requires a good marketing. Similarly ACL Pipes and tubular polesneeds good marketing as many of respondent doesnt know about it features and benefits.
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RFEFERENCES
Dealers list from www.jindalinds.com/networks www.google.com List of various contractors obtained from Jindal marketing
office. Drafting Questionnaire is completely based on exploratory
research.
http://www.jindalinds.com/http://www.jindalinds.com/ -
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If any other (please specify) ___________________
3 Please rank the following tubular poles from 1 to 4 with 4 representing the most
preferred and 1 representing the least preferred.
-Swaged type tubular pole________
-Octagonal poles ________________
-Tapered poles__________________
-If any other (please specify) ____________________
4 Are you cost conscious or quality conscious?
Cost conscious
Quality conscious
5 Which brand do you prefer most?
Jindal Hissar
Bajaj
Local
If any other (please specify) ____________________
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6 Why do you prefer this brand?
________________________________________________________________________
________________________________________________________________________
7 Please rank the below mention factors from 1 to 5 as per your preference where 1 is most
preferred and 5 is least preferred?
-Cost ____________________________________________
-Life _____________________________________________
-Strength __ _______________________________________
-Installation _______________________________________
-Design & looks ___________________________________
-Size _____________________________________________