research methodology

40
RESEARCH METHODOLOGY Attempt any 5 cases, equal marks for all cases. CASE-2 (16 Marks) The weight (gms) of 31 books picked from a consignment are as follows: 106, 107, 76, 82, 106, 107, 175, 93, 187, 95, 123, 125, 111, 92, 86, 70, 127, 68, 130, 129, 139, 119,115, 128, 100, 186, 84,99, 113, 204, 111 Test whether this sample may be treated as random? Briefly explain? Ans: In order to understand random sampling, you need to become familiar with a couple of basic statistical concepts. 1. Error - This is that "plus or minus X%" that you hear about. What it means is that you feel confident that your results have an error of no more than X%. 2. Confidence - This is how confident you feel about your error level. Expressed as a percentage, it is the same as saying if you were to conduct the survey multiple times, how often would you expect to get similar results. These two concepts work together to determine how accurate your survey results are. For example, if you have 90% confidence with an error of 4%, you are saying that if you

Upload: smuassignment

Post on 26-Oct-2015

127 views

Category:

Documents


0 download

DESCRIPTION

Research Methodology

TRANSCRIPT

Page 1: Research Methodology

RESEARCH METHODOLOGY

Attempt any 5 cases, equal marks for all cases.

CASE-2 (16 Marks)

The weight (gms) of 31 books picked from a consignment are as follows:

106, 107, 76, 82, 106, 107, 175, 93, 187, 95, 123, 125, 111, 92, 86, 70, 127, 68, 130, 129,

139, 119,115, 128, 100, 186, 84,99, 113, 204, 111

Test whether this sample may be treated as random? Briefly explain?

Ans:

In order to understand random sampling, you need to become familiar with a couple of basic

statistical concepts. 

1. Error - This is that "plus or minus X%" that you hear about. What it means is that you feel

confident that your results have an error of no more than X%. 

2. Confidence - This is how confident you feel about your error level. Expressed as a

percentage, it is the same as saying if you were to conduct the survey multiple times, how

often would you expect to get similar results. 

These two concepts work together to determine how accurate your survey results are. For

example, if you have 90% confidence with an error of 4%, you are saying that if you were to

conduct the same survey 100 times, the results would be within +/- 4% of the first time you

ran the survey 90 times out of 100. 

If you are not sure what sort of error you can tolerate and what level of confidence you need,

a good rule of thumb is to aim for 95% confidence with a 5% error level. 

Error is also referred to as the "confidence interval" and Confidence is also known as

"Confidence Level." In order to avoid confusion, these concepts will simply be referred to as

"Error" and "Confidence".

Determining the "Correct" Sample Size

Page 2: Research Methodology

Determining the "correct" sample size requires 3 pieces of information 

1. The size of your population 

2. Your desired error level (e.g. 5%) 

3. Your desired level of confidence (e.g. 95%) 

Performing a Stratified Random Sample

If you are performing a stratified random sample, there are a couple of additional steps that

you need to take. 

1. Determine the size of the smallest subgroup in your population. For example, if you want

to look at males vs. females and there are fewer females, then this is the group you want to

look at. 

2. Calculate the number of people required to achieve your desired error level and level of

confidence for this subgroup. 

3. Calculate what percentage of people that you will need to survey within this subgroup

(number of people to survey divided by total subgroup size). 

4. Finally, calculate the number of people in each of the other subgroups that are needed to

achieve this same ratio (multiply the percentage from step 3 by the size of each of the other

subgroups). This is how many people you will need to survey within each group. 

Remember, a larger group means a smaller percentage required to get the same level of

accuracy. That is why we start with the smallest group and work our way up. The results you

get from the larger groups should actually be even more accurate than the results from the

smallest group, but you can at least be sure that each group meets your minimum accuracy

requirements. 

Do not calculate the number of people required to achieve the desired error level and level of

confidence for each subgroup. While this might seem tempting since it would mean

surveying fewer people from the larger groups, it will distort your overall results. It is

important that each subgroup is proportionately represented. If you survey 75% of the people

from a smaller group and only 25% of the people from a larger group, then the overall results

Page 3: Research Methodology

for the entire population will be skewed in favor of the smaller group since they will be

disproportionately represented. You might find this rather restrictive, especially if your

subgroups vary greatly in size. While it might be OK to fudge a little around the edges, it is

critical that you not disregard the importance of this fact. It is possible to manually

manipulate the final results to get proportionately weighted results from each subgroup, but

this requires a certain level of expertise. 

Final Steps - Putting it All Together

Once you have determined how many people you need from either your population as a

whole or from each subgroup within your population, you simply need to determine a way to

randomly select the specified number of people from each group. There are many wrong

ways to go about this. Whatever technique you use, be sure that you really are selecting

people at random and not accidentally giving preference to anybody for any reason. An easy

and fast way to randomly select people is to use MS Excel. The steps to make the random

selection are as follows: 

1. Copy and paste a list of every book in the group into a single column. You can use names,

colour, book numbers, or whatever. 

2. In a second column, fill the entire column with Excel's "Randomize" function. The exact

value of each cell should be "=rand()" (do not include the quotation marks). Only fill the cells

next to where you pasted the group info in step #1. 

3. Sort both columns by the "Randomize" column. It does not matter whether you sort them

in ascending or descending order. 

4. Scroll down to the row number of the group size. Everybody from this row up is a part of

your sample (see important note below regarding response rates). 

Page 4: Research Methodology

Case-3 (16 Marks)

A local supermarket has experienced a decline in unit sales and little change in rupee value

sales. Profits have almost vanished. The chief executive in searching for ways to revitalize

the operation was advised to increase the number of hours the market is open for business. He

comes to you for advice in structuring a research problem that will provide relevant

information for decision making, Define the research problem taking care to:

(a) State the relevant question.

(b) Enumerate the alternative answers.

(c) Clearly define the units of analysis and characteristics of interest.

Ans:

The Research Process

Sequence of steps in business research

Formulate Problem

Decision Problem

Research problem

Determine Research Design

Explorative research

Descriptive research

Causal research

Determine data Collection Method

Secondary Data

Primary data

Page 5: Research Methodology

Design data Collection Forms

Quantitative Data

Qualitative Data

Design Sample and Collect data

Sample Frame and sample

Probability versus non-probability sample

Analyze and Interpret Data

Editing/Quality assurance of data

Coding

Tabulation

Data Analysis

Prepare the Research Report (proposal)

Structure

Scientific Requirements/Theory/Models

Literature

Decision Problem and Research Problem

Drivers for problem formulation:

1. Unanticipated change, basically in the environment of the local firm (suppliers,

competitors, customers)

2. Planned change (estimation, effects, outcome)

3. Serendipity (random ideas or information)

Different Problem Levels:

Page 6: Research Methodology

1) Individual orientation, PSYCHOLOGY

2) Individual-individual, SOSIAL PSYCHOLOGY

3) Individual and group, ORGANIZATION THEORY,

ORGANIZATION PSYCHOLOGY

4) Group/department, ORGANIZATION SOCIOLOGY

5) Inter-group, ORGANIZATION THEORY

6) Group/department and organization, ECONOMIC

THEORY, PRINCIPAL-AGENT THEORY, ORGANIZATION THEORY

7) Organization/firm, ECONOMIC THEORY, BUSINESS

ADMINISTRATION

8) Firm-firm, ECONOMICS OF ORGANIZATION, ECONOMIC THEORY,

GAME THEORY

9) Firm and environment

ECONOMIC THEORY, CONTRACT LAW, INDUSTRIAL ECONOMICS

)

Decision Problem:

The problem facing the decision maker (organization) for which the research is

intended to provide answers or information

Research Problem:

A statement of the decision problem into research terms

A practical example:

Introduction of a new product because sales are below the target

Revision of the target?

Page 7: Research Methodology

Withdraw the product?

Revise some elements in the marketing mix?

Further investigation:

Assumption about ineffective advertising

Lack of awareness among potential users?

Lack of interest among potential users?

The decision problem should focus on what needs to be done?

Bad performance in one specific supplier firm:

The ability/skills in the supplier firm?

The motivation in the supplier firm to carry out satisfactory services for the

purchasing organization

The research problem should aim at providing information which enable the decision

maker to take relevant decisions or carry out relevant actions in order to solve the

problem

Examples of failures:

Taste of food and drinks

Image of food and drinks

Instant coffee

How can you avoid to make wrong specification of the research problem?

Page 8: Research Methodology

Wait until you have explored the decision problem sufficiently before you state your

research problem

The typical research failure is to start the research process by making a proposal

stating the methods which is to be used to complete the research

A more fruitful way of doing research is to examine the decision maker’s situation

carefully in the first place with focus on:

1. The decision maker (organization) and its environment

2. Alternative courses of action

3. The objective of the decision maker

4. The consequences of alternative actions

Start by making a research request step:

1. Action: The actions that are contemplated on the basis of the research

2. Origin: The events that led to a need for action give a deeper understanding of the

decision problem

3. Information: The questions which need to be answered in order to take relevant

decision

4. Use: The way each piece of information will be used to help make the proper

decisions

5. Target and subgroups: Localize the groups from whom relevant information can be

gathered

6. Economy: Estimate the time and money that are available for

Conducting the research

Example:

Decision problem:

Page 9: Research Methodology

Sales reductions for a specific product group

1. Action:

Drop the product?

Improve marketing mix?

Improve distribution and logistics?

2. Origin:

Increased competition?

Recession in the economy?

The product life cycle is in the ending stage?

Turn over and problems in the sales force of the company

Sales development over time?

3. Information:

The information need is determined by the origin of the problem which might narrow

your research agenda when you look at the correspondence between action and origin

Suppose that we know that the competitors are winning market shares, that the market

size is maintained for the product, and that we are loosing sales volume in specific

distribution channels A marketing and/or logistic problem

4. Use:

What kind of information is relevant now?

Page 10: Research Methodology

Our firm has to pay attention to the actors in a specific distribution channel, e.g.

industrial distributors in international markets

Find sales figures for different distribution actors in this channel

Quality rating (bench marking) of the product

Sales promotion support

Prices and margin for the distribution actors

Currency development

Logistic performance, delivery time and lead time and order costs

Integration or long term relationships between dominant actors

in the distribution channel

5: Targets and subgroups

Relevant information and informants:

Within the firm:

Statistics providing sales development figures for product groups and

customers/distribution actors

Interviews or focus groups:

Top manager

Marketing manager

Page 11: Research Methodology

Sales manager

Logistic manager

Outside the firm:

Competitors/marketing intelligence

Interviews:

Distributors

Final customers

Consultancy firms

6. Economy:

Start with most available data

Make priorities among the different information sources

Research Proposal:

1. Tentative project title

2. Statement of the research problem

Describe the general problem under consideration

Why is this problem of any relevance?

Page 12: Research Methodology

Literature, new papers, journals, statement from the case firm/decision maker, some

verification is necessary

3. Purpose and limits of the project

Focus and purpose of the project should be elaborated in more details

Scope and limitations, what is left out and what is the main focus

Research questions or hypotheses

4. Outline

Tentative framework for the entire project

Literature review

Research model

5. Data sources and research methodology

Setting for the study

Primary/secondary data

Specification of informants

Data collection

6. Estimated time and scheduling

Time schedule for the different stages of the project

7. Cost estimates (research consulting firms)

Specification of costs for carrying out the project

CASE-5 (16 Marks)

Page 13: Research Methodology

The market for jewellery in India is second only to that for foods and the trade is built around

so-called family jewelers. Tanishq belongs to the House of Tata and, true to the group's

policy it aims at bringing in credibility and professionalism to the jewellery industry.

India's jewellery market is estimated to be worth Rs. 400 billion a year and the share of the

organised sector -jewellery stores and brands managed by corporate houses - stands at about

Rs. 10 billion. This small but significant niche is largely the creation of Tanishq, a path-

breaking effort that has earned a well-deserved reputation for reliability and excellence, and

for introducing pioneering concepts in an industry where tradition once ruled. The brand has

a 40% share of the organised jewellery market and a 1% bite of the overall jewellery pie.

There are more than 300,000 independent, non-branded jewellery retailers in India.

Tanishq was a trailblazing endeavour to create a national retail chain that would provide

consumers with jewellery of reliable worth and high design value. Its entry changed, in more

ways than one, the way the Indian jewellery market operates. With 66 exclusive outlets

spread across some 50 cities and a fully integrated jewellery manufacturing facility at Hosur,

in Tamil Nadu, Tanishq has emerged as one of India's biggest retailers.

The introduction of 'Karatmeters' - instruments that can be easily used by consumers to

measure the purity of gold in a non-destructive manner - at its outlets is a key innovation that

has developed tremendous equity for the brand. Another Tanishq novelty, one on which the

brand's growth strategy is premised, is in the matter of differentiated designs, be they

contemporary or traditional, Indian or international.

Modern retail values and principles in the selling of branded jewellery in Indiaare almost

completely the handiwork of Tanishq. The brand has broken fresh ground in retailing by

creating exclusive outlets with hitherto unknown in-store ambience and hospitality

touchstones. It has launched new collections at a quicker rate than its competitors, and

conducted marketing promotions and fashion shows to enhance the shopping experience of

consumers.

Although the purchase of branded jewellery is still a new experience for a whole lot of

Indians, the Tanishq brand enjoys increasing levels of consumer loyalty. In 2002, about one

million people shopped at Tanishq stores all over the country. A highlight of the brand's

success is that, while the jewellery market growth has declined during the past two years,

Tanishq has recorded an annual growth of approximately 40%.

Page 14: Research Methodology

Besides catering to Indian consumers, Tanishq has successfully entered key export markets

such as the US, the UK, the Middle East, Singapore and Australia. This is testimony to the

brand's ability to craft products that meet the requirements of varied cultures and sensibilities.

The brand Tanishq, like the Tata name, has established itself as an ethical brand, earning the

respect and affection of its consumers. The Tanishq portfolio comprises a wide range of

jewellery, including 18-carat studded products, 22- carat plain-gold products, silverware and

coins. Tanishq is the first brand in the jewellery category to introduce collections designed

exclusively for the modern Indian woman, especially working women. Among the Tanishq

collections that have caught the imagination of consumers are Aria and Diva. Collection G,

with a selection of over 90 designs, addressed the everyday jewellery needs of working

women. Positioned as ‘9-to-5 jewellery’, the collection is stylish and modern and is designed

to suit all forms of attire, western and Indian, casual and formal. The introduction of

lightweight gold –jewellery that looked heavy but was light in weight and on the purse –

marked another milestone in Tanishq’s brand history.

Tanishq’s retail boutiques are temples for the brand and are used as a platform for

celebration, be it the launch of a new collection, a new marketing promotion or a festival.

This gives Tanishq outlets a unique appeal and consumers an opportunity to heighten their

shopping experience. One of Tanishq’s more innovative ideas is to offer special schemes

during various festivals. Tanishq has also initiated a loyalty program called the Golden

Harvest Savings Scheme, which offers buyers the benefit of getting more jewellery than what

they have paid for. The scheme allows consumers to plan future purchases in advance and

pay for them in easy installments.

In sync with the Tata brand values, Tanishq is synonymous with trust and purity in a category

that is fraught with questionable practices. Being a member of the Tata family has meant that

it can leverage the group’s well-earned reputation for ethics and values in a business where

such attributes are critical to win the trust of consumers. Tanishq consumers can afford to

take issues such as purity for granted, and they know they can depend upon the brand to

deliver quality products all the time. The brand’s winning virtues in design and overall

quality have shaped a class of discerning buyers who seek the best in jewellery products.

Leadership and innovation are two of the other brand features that Tanishq is consistently

identified with. These values have helped the brand bond with its consumers like no other

Indian jewellery retailer.

Page 15: Research Methodology

Tanishq has deliberately moved away from mass-media advertising and focused on store

promotions to make the brand more accessible to consumers. This has been done to correct

the consumer perception that the brand is highly priced and only meant for the rich and the

famous. This approach has also ensured that Tanishq’s promotional approach is product-led.

Read the caselet carefully and answer the following questions:

1. Discuss the various bases or criteria for segmenting consumer markets. Explain Tanishq’s

segmentation and positioning strategy.

Page 16: Research Methodology

Ans:

Criteria for segmenting consumer markets

Measurable

A segment should be measurable. It means you should be able to tell how many potential

customers and how many businesses are out there in the segment.

Accessible

A segment should be accessible through channels of communication and distribution like:

sales force, transportation, distributors, telecom, or internet.

Durable

Segment should not have frequent changes attribute in it.

Substantial

Make sure that size of your segment is large enough to warrant as a segment and large

enough to be profitable

Unique Needs

Segments should be different in their response to different marketing efforts (Marketing

Mix).

Bases for Consumer Market Segmentation

There are number of variables involved in consumer market segmentation, alone and in

combination. These variables are:

Geographic variables

Demographic variables

Psychographic variables

Behavioral variables

Geographic Segmentation

Page 17: Research Methodology

In geographical segmentation, market is divided into different geographical units like:

Regions (by country, nation, state, neighborhood)

Population Density (Urban, suburban, rural)

City size (Size of area, population size and growth rate)

Climate (Regions having similar climate pattern)

A company, either serving a few or all geographic segments, needs to put attention on

variability of geographic needs and wants. After segmenting consumer market on geographic

bases, companies localize their marketing efforts (product, advertising, promotion and sales

efforts).

Demographic Segmentation

In demographic segmentation, market is divided into small segments based on demographic

variables like:

Age

Gender

Income

Occupation

Education

Social Class

Generation

Family size

Family life cycle

Home Ownership

Religion

Ethnic group/Race

Nationality

Demographic factors are most important factors for segmenting the customers groups.

Consumer needs, wants, usage rate these all depend upon demographic variables. So,

considering demographic factors, while defining marketing strategy, is crucial.

Psychographic Segmentation

Page 18: Research Methodology

In Psychographic Segmentation, segments are defined on the basis of social class, lifestyle

and personality characteristics.

Psychographic variables include:

Interests

Opinions

Personality

Self Image

Activities

Values

Attitudes

A segment having demographically grouped consumers may have different psychographic

characteristics.

Behavioral Segmentation

In this segmentation market is divided into segments based on consumer knowledge, attitude,

use or response to product.

Behavioral variables include:

Usage Rate

Product benefits

Brand Loyalty

Price Consciousness

Occasions (holidays like mother’s day, New Year and Eid)

User Status (First Time, Regular or Potential)

Behavioral segmentation is considered most favorable segmentation tool as it uses those

variables that are closely related to the product itself.

Tanishq’s segmentation and positioning strategy

Page 19: Research Methodology

SEGMENTATION

Niche Marketing

After its inception in 1995 focus on exports, Tanishq's designs had been

conceptualized for the Western markets and were introduced in India without any

alterations. Tanishq positioned itself as an international brand for the Indian elite. The

brand was targeted at a niche market (However they later on started targeting the

mass marketing since 1997).

Psychographic Segmentation

Life Style: Tanishq has found that 40% of the Indian women are working and they

targeted this segment wth a specific group of products called collection-G, a 9-to-5

jewellery for the working women.

Geographical Segmentation

Titan realized that, given the diverse nature of Indian ethnicity, it would have to satisfy

the tastes of all regions. So, the designs became more ethnic. Titan also decided to

transpose designs by stocking Bengali designs in Delhi, Keralite designs in Tamil

Nadu and typical designs from Tamil Nadu in Bombay in order to appeal to a variety

of people.

BRAND POSITION

Tanishq has been projected as an impeachable mark of trust by raising the awareness of the

people about unethical practices in the jewellery business and then measuring the gold purity

by caratmeter.

Tanishq also has been positioned as a branded jewellery of luxury rather than commodity. It

moves jewellery beyond investment to the fashion and adornment sector.

Page 20: Research Methodology

2. What are Tanishq’s key brand values or brand strengths? Explain.

Ans:

The market for jewellery in India is second only to that for foods and the trade is built around

so-called family jewelers. Tanishq belongs to the House of Tata and, true to the group's

policy it aims at bringing in credibility and professionalism to the jewellery industry.

Page 21: Research Methodology

India's jewellery market is estimated to be worth Rs. 400 billion a year and the share of the

organised sector - jewellery stores and brands managed by corporate houses - stands at about

Rs. 10 billion. This small but significant niche is largely the creation of Tanishq, a path-

breaking effort that has earned a well-deserved reputation for reliability and excellence, and

for introducing pioneering concepts in an industry where tradition once ruled. The brand has

a 40% share of the organised jewellery market and a 1% bite of the overall jewellery pie.

There are more than 300,000 independent, non-branded jewellery retailers in India.

Tanishq was a trailblazing endeavour to create a national retail chain that would provide

consumers with jewellery of reliable worth and high design value. Its entry changed, in more

ways than one, the way the Indian jewellery market operates. With 66 exclusive outlets

spread across some 50 cities and a fully integrated jewellery manufacturing facility at Hosur,

in Tamil Nadu, Tanishq has emerged as one of India's biggest retailers.

The introduction of 'Karatmeters' - instruments that can be easily used by consumers to

measure the purity of gold in a non-destructive manner - at its outlets is a key innovation that

has developed tremendous equity for the brand. Another Tanishq novelty, one on which the

brand's growth strategy is premised, is in the matter of differentiated designs, be they

contemporary or traditional, Indian or international.

Modern retail values and principles in the selling of branded jewellery in India are almost

completely the handiwork of Tanishq. The brand has broken fresh ground in retailing by

creating exclusive outlets with hitherto unknown in-store ambience and hospitality

touchstones. It has launched new collections at a quicker rate than its competitors, and

conducted marketing promotions and fashion shows to enhance the shopping experience of

consumers.

Although the purchase of branded jewellery is still a new experience for a whole lot of

Indians, the Tanishq brand enjoys increasing levels of consumer loyalty. In 2002, about one

million people shopped at Tanishq stores all over the country. A highlight of the brand's

success is that, while the jewellery market growth has declined during the past two years,

Tanishq has recorded an annual growth of approximately 40%.

Besides catering to Indian consumers, Tanishq has successfully entered key export markets

such as the US, the UK, the Middle East, Singapore and Australia. This is testimony to the

brand's ability to craft products that meet the requirements of varied cultures and sensibilities.

The brand Tanishq, like the Tata name, has established itself as an ethical brand, earning the

respect and affection of its consumers.

Page 22: Research Methodology

The Tanishq portfolio comprises a wide range of jewellery, including 18-carat studded

products, 22-carat plain-gold products, silverware and coins. Tanishq is the first brand in the

jewellery category to introduce collections designed exclusively for the modern Indian

woman, especially working women. Among the Tanishq collections that have caught the

imagination of consumers are Aria and Diva. Collection G, with a selection of over 90

designs, addressed the everyday jewellery needs of working women. Positioned as ‘9-to-5

jewellery’, the collection is stylish and modern and is designed to suit all forms of attire,

western and Indian, casual and formal. The introduction of lightweight gold – jewellery that

looked heavy but was light in weight and on the purse – marked another milestone in

Tanishq’s brand history.

Tanishq’s retail boutiques are temples for the brand and are used as a platform for

celebration, be it the launch of a new collection, a new marketing promotion or a festival.

This gives Tanishq outlets a unique appeal and consumers an opportunity to heighten their

shopping experience. One of Tanishq’s more innovative ideas is to offer special schemes

during various festivals. Tanishq has also initiated a loyalty program called the Golden

Harvest Savings Scheme, which offers buyers the benefit of getting more jewellery than what

they have paid for. The scheme allows consumers to plan future purchases in advance and

pay for them in easy installments.

In sync with the Tata brand values, Tanishq is synonymous with trust and purity in a category

that is fraught with questionable practices. Being a member of the Tata family has meant that

it can leverage the group’s well-earned reputation for ethics and values in a business where

such attributes are critical to win the trust of consumers. Tanishq consumers can afford to

take issues such as purity for granted, and they know they can depend upon the brand to

deliver quality products all the time. The brand’s winning virtues in design and overall

quality have shaped a class of discerning buyers who seek the best in jewellery products.

Leadership and innovation are two of the other brand features that Tanishq is consistently

identified with. These values have helped the brand bond with its consumers like no other

Indian jewellery retailer.

Tanishq has deliberately moved away from mass-media advertising and focused on store

promotions to make the brand more accessible to consumers. This has been done to correct

the consumer perception that the brand is highly priced and only meant for the rich and the

famous. This approach has also ensured that Tanishq’s promotional approach is product-led.

Page 23: Research Methodology

3. What are the strength and weakness of Tanisq.

Ans:

STRENGTH

Purity (karat meter)

Distribution network and retailing store

Award winning designs

Diversity in jewellery gold/diamond/platinum

Page 24: Research Methodology

Competitive prices

WEAKNESS

Capture Rs 70,000-crore

Escalated gold costs lower margins

Strength

Purity of the jewellery through karat meter is still the sign of total purity. Distribution

network and retailing store are in place for the company with 130 stores countrywide. Mind

boggling/award winning designs have come for the company. Diversity in jewellery

gold/diamond/platinum enhances the product range of the company. We also have

competitive prices for the entire product ranges as compared to the competitors.

Weaknesses

Capture Rs 70,000-crore Indian jewellery market. Tanishq comprises a small share of the

overall Rs 70,000-crore Indian jewellery market and hence it needs to increase its market

share in this huge industry. Escalated gold costs has caused lower margins is to push sales as

much as possible.

CASE-6 (16 Marks)

A recent survey on washing machines conducted among housewives showed that most of

them belonged to middle income households, were generally employed had growing up

children and preferred a compact, easy-to-use, top-loading washing machine. They wanted a

machine that gets clothes clean and comes with a trouble-free service. If you were the

marketer of Whirlpool's washing machine, how will you use this information for planning

your marketing strategy?

Page 25: Research Methodology

Ans:

Whirlpool, right from its inception in 1911 as first commercial manufacturer of motorized

washers to the current market position of being world's number one manufacturer and

marketer of major home appliances, has always set industry milestones and benchmarks. The

parent company is headquartered at Benton Harbor, Michigan, USA with a global presence in

over 170 countries and manufacturing operation in 13 countries with 11 major brand names

such as Whirlpool, KitchenAid, Roper, Estate, Bauknecht, Laden and Ignis. The company

boasts of resources and capabilities beyond achievable feat of any other in the industry.

Whirlpool initiated its international expansion in 1958 by entering Brazil. However, it

emerged as truly global leader in the1980's. This encouraging trend brought the company to

India in the late 1980s. It forayed into the market under a joint venture with TVS group and

established the first Whirlpool manufacturing facility in Pondicherry.

Soon Whirlpool acquired Kelvinator India Limited in 1995 and marked an entry into Indian

refrigerator market as well. The same year also saw acquisition of major share in TVS joint

venture and later in 1996, Kelvinator and TVS acquisitions were merged to create Indian

home appliance leader of the future, Whirlpool India. This expanded the company's portfolio

in the Indian subcontinent to washing machines, refrigerator, microwave ovens and air

conditioners.

Today, Whirlpool is the most recognized brand in home appliances in India and holds a

market share of over 25%. The company owns three state-of-the-art manufacturing facilities

at Faridabad, Pondicherry and Pune. Each of these manufacturing set-ups features an

infrastructure that is witness of Whirlpool's commitment to consumer interests and advanced

technology.

In the year ending in March '09, the annual turnover of the company for its Indian enterprise

was Rs.1,719 Crores.

The company's brand and image speaks of its commitment to the homemaker from every

aspect of its functioning. It has derived its functioning principles out of an undaunted

partnership with the homemakers and thus a slogan of “You and whirlpool, the world's best

Page 26: Research Methodology

homemaker” dots its promotional campaigns. The products are engineered to suit the

requirements of ‘smart, confident and in-control' homemaker who knows what she wants.

The product range is designed in a way that it employs unique technology and offers

consumer relevant solutions.

KAJOL: On association with Whirlpool:

"Whirlpool believes in providing world-class quality to its consumers. Whirlpool is a

'‘Perfect partner to the demanding homemaker' of today. Whirlpool's products are stylish,

modern and contemporary with elegant looks and reflect the sense of pride homemakers take

in choosing them for their homes."

AJAY:On association with Whirlpool:

"Whirlpool brand has successfully emulated the dreams, aspirations and expectations of

Indian home maker through the years. It symbolizes a relationship based on equality, love

and romance, which is why I agreed to represent the brand," declares Ajay Devgan. " We

are very pleased to be associated with Whirlpool – the leaders in home appliances”, he adds.

For a 100 years of now, Whirlpool has been synonymous with excellence in fabric cleaning

and care:

 6th sense is womens' intuition captured by technology. It enables our machine to adjust

water level and detergent quantity depending on your wash load and fabric type.

 Stain wash : Brings together unique properties of Hogwash and 1-2 , 1-2 hand wash to

completely remove all common household stains

Page 27: Research Methodology

CASE-7 (16 Marks)

A company wishes to launch a new tooth paste which can effectively prevent cavities and

tooth decay as well make teeth whiter. But the tooth paste market is highly crowed with

multiple brands. Design a questionnaire to identify product attributes important to consumers

and consumer purchase behaviour. Also decide the target group on whom the questionnaire

can be executed.

Ans:

Page 28: Research Methodology

QUESTIONNAIRE

1. Name ________________________________

2. Age ________ , Gender _______ , Contact No.

____________________

3. Which Tooth Paste do you like most?

Close up Pepsodent Colgate

4. Status : Student Professional House Wife Businessman

5. Number of Tooth Pastes used per month ______

6. Which Brand do you like most ?

HLL Colgate-Palmolive

7. Which are the factors that influence you the most when you buy a tooth paste?(Give

Ratings 1-8 )

a) Price b) Colour c) Advertisement d)

Packing

Page 29: Research Methodology

e) Scheme f) Availability g) Taste h) Liking

8. Which attribute do you look for, when you buy a tooth paste?

( Rank in order of preference from 1 - 6 , the brand which has these attributes )

a) Healthy tooth & gums b) Long lasting freshness c) Prevention

of tooth decay

d) Whiteness e) Use of Natural herbs f) Good foam

9. The tooth paste advertisement that like most is of

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

- - - - - - - - - - - - - - -

10. I would switch to another brand, possibility for one or more of the following reasons :

a) Price rise of my current brand

b) Better packing of another brand

c) Scheme with another brand

Page 30: Research Methodology

d) Advertisement impact

e) When my brand is not available

f) To try new option

g) Influence by other

Tooth paste should try to target the youth segment by using Celebrities in their

advertisements. It is good thing that they mostly use Dentists to attract the customers but as

compared to HLL, they always use models and young people in their advertisements.

Celebrities attract today’s youth more.