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A

PROJECT REPORT
ON

A Study on Brand Positioning of Birla Cement with


Special Reference to Bhilwara
At
Birla Corporation Limited
Chanderia, Chittorgarh
Rajasthan (India)

FOR THE PARTIAL FULFILLMENT OF


“MASTERES IN BUSINESS ADMINISTRATION”
2008-2010

SUBMITTED TO: SUBMITTED BY:


Mr. VIBHOR PALIWAL H AMIT GHAWARI
Mr. RAHUL JAIN

Vision School of Management


(Affiliated to Rajasthan Technical University Kota AICTE Approved)
E-Mail : vision_mgmt@yahoo.com
Website : visionmanagement.org
DECLARATION

I, AMIT GHAWARI, hereby declare that the project report entitled” “A Project on

Brand Positioning” under the guidance of Mr. D.S. SHARMA submitted in

partially fulfillment of the requirement for the award of degree of Master of

Business Administration to Rajasthan Technical University, Kota is my

original work - research study - carried out during 18th May, 2009 to 26th June,

2009 and not submitted for the award of any degree, diploma, fellowship or other

similar titles or prizes to any other institution/organization or university by any

other person.

Date : / / 09 SIGNATURE
Place: Chittorgarh (AMIT GHAWARI)

(VIBHOR PALIWAL) (RAHUL JAIN)


PREFACE

Founded in 1919 by the visionary industrialist, Shri G.D. Birla, at the outskirts of
the then Calcutta. Birla Manufacturing Company Ltd. was the first company of Birla
industrial conglomerate. Under the stewardship of his nephew, Shri M.P. Birla, the
company diversified and expanded its business interest beyond cement, jute, PVC goods,
steel casting and auto trims. Birla Corporation Limited is the flagship company of M.P.
Birla group. It has variety in its basket. The core business of Birla Corporation limited is
cement, generating 93% of the revenue for the company, 6% jute and 1% from other
sectors.

The project entitled “KNOWING BRAND POSITIONING OF BIRLA


SAMRAT CEMENT IN BHILWARA MARKET.” The term of study was kept
limited to make the title true. The focus of the report is to get the crystal clear
understanding of the Brand positioning of Birla Samrat Cement in Rajasthan. Particularly
in Bhilwara owing the status of heart of Rajasthan. With the growing Indian economy
and the government policies for infrastructure the demand for cement is increasing and
seeing this as an opportunity we are under taking many new projects for expansion of the
production which are under implementation for increasing the capacity of the plants.
Brand position has been taken into the consideration by two ways – overall study of the
whole Birla Market & by Doing Survey of whole cement market of above mentioned two
cities.

The project contains the basic things which are necessary for knowing Brand-
Positioning of Company. Firstly is the Market Research is done by me in Bhilwara by
Taking SIX major Brands Birla Samrat Cement, Ambuja Cement, Ultratech
Cement, Binani Cement, J.K. Laxmi Cement & Shree Cement. Data collected by me
only from Dealers .After data collection Research Methodology is done & find out the
Brand-Positioning of cement in Bhilwara.

In a nut-shell after the completion of my Brief & Vast report on the crucial subject
matter of “Knowing the Brand-Position of Birla Corporation Limited”. I in my long
lasting view has brought an eternal light towards “Findings, Suggestions & Constraints”
regarding the Brand Position of the Birla Corporation which can play a vital role in
taking it to the heights of the Success & goodwill to capture a good market share in this
Neck-To-Neck Competition Creating hyper tension.
ACKNOWLEDGEMENT

Words are indeed inadequate to convey my deep sense of gratitude to all those
who have helped me in completing my summer project to the best of my ability. Being a
part of this project has certainly been a unique and a very productive experience on my
part.

I am really thankful to Mr. D.S. Sharma (G.M. Maketing) for making all kinds
of arrangements to carry the project successfully and for guiding and helping me to solve
all kinds of quarries regarding the project work. His systematic way of working and in
comparable guidance has inspired the pace of the project to a great extent.

I would also like to thank my mentor and project – coordinator, Mr. Mukesh Dad
(Assistant Manager Marketing TCS) for assigning me a project of such a great learning
experience and acquainting me with real life project financing and appraisal.

This project also would not have been successful without the help of Dr. S. K.
Jain (Dy. G.M. HRD). Last but not least I would like to thank all the employees of Birla
Corporation Ltd. who have directly or indirectly helped me with their moral support for
the completion of my project.

I express my deep sense of gratitude to Dr. A.L. Jain (Director of Vision School
of Management, Chittorgarh) for his valuable guidance during my report work. I also
greatful to all Faculty members Dr. Snehal Maheshkar, Mr.Vibhor Paliwal,
Mrs.Pratibha Pagaria, Miss. Shobhika Tyagi, Mr. Rahul Jain and Staff members Mr.
Purshottam Dashora, Mr. Rastraverdhan who guided me in my project.

AMIT GHAWARI
Vision School of Management
Chittorgarh
EXECUTIVE SUMMARY

This project report is prepared as the partial fulfillment of two year degree programme of
MBA curriculum of Rajasthan Technical University, Kota. This Research project is a
compulsory part of the academics. This research is done in the Third semester of the
MBA program.

In this research, I have attempted the research about Brand Positioning.


Positioning is one of the key elements of modern marketing management (Kotler, 2000).
The overall purpose of this research is to indentify the Brand Position of Birla cement in
Bhilwara market. I have taken six major cement brands for this research. The whole
research is based on Dealer & Sub Dealer survey.

The project is followed by 8 Chapters.

Chapter 1 : Introduction of Cement Industry, Current Scenario in India, growth in


Production & consumption, Birla Corporation history, subsidiaries
companies, types of cement, manufacturing process of cement, standard
requirement of raw material, distribution channel & SWOT analysis.

Chapter 2 : Definition & concept of brand positioning, brand positioning strategy,


competitive study among various cement brands.

Chapter 3 : Research methodology, objective of research.

Chapter 4 : Analysis & interpretation of collect data’s.

Chapter 5 : Findings & conclusions

Chapter 6 : Suggestions

Chapter 7 : References cited

Chapter 8 : Annexure

This report is an honest work towards the topic. There can be many short comings in it
because of the lack of the time, unavailability of data and other constraints.
TABLE OF CONTENT

CONTENTS PAGE NO.


CERTIFICATE l
DECLARATION ll
PREFACE lll
ACKNOWLEDGEMENT lV
EXECUTIVE SUMMARY V
Chapter 1 : INTRODUCTION OF BIRLA CEMENT
♦ Current Scenario in India 3
♦ Growth in Production & Consumption 5
♦ Top Ten Players in Cement Industry 6
♦ History & Company profile 8-12
♦ Subsidiaries Company 13-14
♦ Corporate Social Responsibility 15-16
♦ History of BCW & CCW 17-20
♦ Awards 21
♦ Cement 22-23
♦ Manufacturing Process of Cement 24-27
♦ Standard Requirement of Raw Material 28
♦ Distribution Channel 29
♦ SWOT Analysis 30-31
Chapter 2 : CONCEPTUAL FRAMEWORK
♦ Brand Positioning - Definition and Concept 32-33
♦ Brand Positioning Strategy 34-39
♦ Competitive Study Among Various Cement Brands 40
Chapter 3 : RESEARCH METHODOLOGY
♦ Objective of Research 41
Chapter 4 : ANALYSIS & INTERPRETATION 42-52
Chapter 5 : FINDINGS & CONCLUSIONS 53
Chapter 6 : SUGGESTIONS 54
Chapter 7 : REFERENCES CITED 55-56
Chapter 8 : ANNEXURE 57-59
LIST OF TABLES

CONTENTS PAGE NO.


Chapter 1 : INTRODUCTION OF BIRLA CEMENT
♦ TABLE 1.1 Current Scenario of Cement 4
♦ TABLE 1.2 Current Scenario of Clinker 4
♦ TABLE 1.3 Capacity wise Top 10 Players for year 2007-2008 6
♦ TABLE 1.4 Location of Cement Plants in India 13
♦ TABLE 1.5 Unit Capacity of Cement Plant in India 14
♦ TABLE 1.6 Product and Brand names of Various Plants 16
♦ TABLE 1.7 Department & Heads of Department 20
♦ TABLE 1.8 Awards 21
♦ TABLE 1.9 Storage of Cement 27
♦ TABLE 1.10 Standard Requirement of Various Raw Materials 28
Chapter 3 : RESEARCH METHODOLOGY
♦ TABLE 3.1 Research Methodology 41
Chapter 4 : ANALYSIS & INTERPRETATION
♦ TABLE 4.1 Total of the score given by the Respondents 42
♦ TABLE 4.2 Overall rank for the Attributes only 42
♦ TABLE 4.3 Overall rank of the Companies 42
♦ TABLE 4.4 No. of Forms of Various Companies 43
♦ TABLE 4.5 Preferences Collected from Various Cement Dealers 43
♦ TABLE 4.6 Quality Collected From Various Cement Dealers 44
♦ TABLE 4.7 Packing Quality Collected From Various Cement Dealers 44
♦ TABLE 4.8 Colour Collected From Various Cement Dealers 45
♦ TABLE 4.9 Availability Collected From Various Cement Dealers 45
♦ TABLE 4.10 Price Collected From Various Cement Dealers 46
♦ TABLE 4.11 Tech. Services Collected From Various Cement Dealers 46
♦ TABLE 4.12 Sales Pro. Collected From Various Cement Dealers 47
♦ TABLE 4.13 Brand Name Collected From Various Cement Dealers 47
♦ TABLE 4.14 Advertisement Collected From Various Cement Dealers 48
♦ TABLE 4.15 Total Score In Percentage Company Wise 49
♦ TABLE 4.16 Rank The Attribute Which Contributes Brand Positioning 51
♦ TABLE 4.17 Results After Calculating Weighted Average Method 52
LIST OF FIGURES

CONTENTS PAGE NO.


Chapter 1 : INTRODUCTION OF CEMENT INDUSTRY
♦ FIGURE 1.1 Growth in Cement Production 2006-07-08 5
♦ FIGURE 1.2 The Forms of Cement Produced 7
♦ FIGURE 1.3 Major Players in Indian Cement Sector 7
♦ FIGURE 1.4 Manufacturing Process of Cement 24
♦ FIGURE 1.5 Process Flow Diagram 25
♦ FIGURE 1.6 Products of BCW & CCW 27
♦ FIGURE 1.7 Distribution Channel 29
Chapter 2 : CONCEPTUAL FRAMEWORK
♦ FIGURE 2.1 Vision , Mission , Values of Brand Positioning 33
Chapter 4 : ANALYSIS & INTERPRETATION
♦ FIGURE 4.1 No. of Forms of Took During Survey 43
♦ FIGURE 4.2 Preferences Collected from Various Cement Dealers 43
♦ FIGURE 4.3 Quality Collected From Various Cement Dealers 44
♦ FIGURE 4.4 Packing Quality Collected From Various Cement Dealers 44
♦ FIGURE 4.5 Colour Collected From Various Cement Dealers 45
♦ FIGURE 4.6 Availability Collected From Various Cement Dealers 45
♦ FIGURE 4.7 Price Collected From Various Cement Dealers 46
♦ FIGURE 4.8 Tech. Services Collected From Various Cement Dealers 46
♦ FIGURE 4.9 Sales Promotion Collected From Various Cement Dealers 47
♦ FIGURE 4.10 Brand Name Collected From Various Cement Dealers 47
♦ FIGURE 4.11 Advertisement Collected From Various Cement Dealers 48
♦ FIGURE 4.12 Total Score in Percentage Company Wise 49
♦ FIGURE 4.13 Results After Calculating Weighted Average Method 52
C HAPTER -

1
INTRODUCTION
INTRODUCTION

Cement Industry

Cement Industry originated in India when the first plant commenced


production in 1914 at Porbandar, Gujarat. The industry has since been growing at a
steady pace, but in the initial stage, particularly during the period before Independence,
the growth had been very slow. Since indigenous production was not sufficient to meet
the entire domestic demand, the Government had to control its price and distribution
statutorily. Large quantities of cement had to be imported for meeting the deficit. The
industry was partially decontrolled in 1982 and this gave impetus to its pace of growth.
Installed capacity increased to more than double from 27 million tons in 1980-81 to 62
million tons in 1989-90.
The cement industry responded positively to liberalization policy and the
Government decontrolled the industry fully on 1st March 1989. From 1991 onwards
cement industry got the status of a priority industry in schedule III of the industry policy
statement, which made it eligible for automatic approval for foreign investment up to
51% and also for technical collaboration on normal terms of payment of royalty.
After the globalization and liberalization of Indian economy, the cement industry
has been growing rapidly at an average rate of 9 percent. The country is now the second
largest producer of cement in the world next only to China with a total capacity of 217.80
million tones. Additionally, in the last two decades, the industry has undergone rapid
technological up gradation and growth, and now, some of the cement plants in India are
comparable to the worlds best operating plants in all respects.
Till a few years ago India was importing cement from other countries, as the
production could not meet the demand for the whole country. Now the tables have turned
as India has started exporting large quantities of cement and clinker to Bangladesh,
Nepal, Sri Lanka, Maldives, Mauritius, Africa, Seychelles, Burma, UAE, and Singapore
etc.
India is today the second largest producer of cement in world with an installed
capacity of close to 217.80 million tons per year. 95 % is consumed domestically and
only 5% is exported. Demand is growing at more than 10 % per annum. More than 90 %
of production comes from large cement plants. There are a total of 146 large and more
than 350 small cement manufacturing units in the country. More than 80% of the cement-
manufacturing units use modern environment friendly “dry” process.

In the cement industry there are two sectors – one consisting of large plants and
the other consisting of mini cement plants. A factory with an installed capacity exceeding
2,97,000 tones per annum (900 tons per day) is a large plant and with capacity up to and
including 2,97,000 tons is a mini cement plant. At present, there are 146 large plants and
about 365 mini cement plants. Since mini cement plants are scattered all over the country
with a number of associations representing different types of processes, sizes etc. and
some of them are even tiny units, it has not been possible to obtain correct data of this
sector. The present installed capacity of large plants is 217.80 million tons and the
estimated capacity of mini cement plants is 11.8 million tons.

Overview of the performance of the Cement Sector

The Indian cement Industry not only ranks second in the production of cement in
the world but also produces quality cement, which meets global standards. However, the
industry faces a number of constraints in terms of high cost of power, high railway tariff;
high incidence of state and central levies and duties; lack of private and public investment
in infrastructure projects; poor quality coal and inadequate growth of related
infrastructure like sea and rail transport, ports and bulk terminals. In order to utilize
excess capacity available with the cement industry, the government has identified the
following thrust areas for increasing demand for cement:

• Housing development programmers & Promotion of concrete highways and roads;

• Use of ready-mix concrete in large infrastructure projects;

• Construction of concrete roads in rural areas under Prime Ministers Gram Sadak
Yojana.

In India, the different types of cement are manufactured using dry, semi-dry, and
wet processes. In the production of Clinker Cement, a lot of energy is required. It is
produced by using materials such as limestone, iron oxides, aluminum, and silicon
oxides. Among the different kinds of cement produced in India, Portland Pozzolana
Cement, Ordinary Portland Cement, and Portland Blast Furnace Slag Cement are the
most important because they account for around 99% of the total cement production in
India.
The types of cement in India have increased over the years with the advancement
in research, development, and technology. The Indian cement industry is witnessing a
boom as a result of which the production of different kinds of cement in India has also
increased.

By a fair estimate, there are around 11 different types of cement that are being
produced in India. The production of all these cement varieties is according to the
specifications of the cement.

CURRENT SCENARIO

The Indian cement industry is the second largest producer of quality cement,
which meets global standards. The cement industry comprises 130 large cement plants
and more than 300 mini cement plants. The industry's capacity at the end of the year
reached 188.97 million tons which was 166.73 million tons at the end of the year 2006-
07. Cement production during April to March 2007-08 was 168.31 million tons as
compared to 155.66 million tons during the same period for the year 2006-07.Despatches
were 167.67 million tons during April to March 2007- 08 whereas 155.26 during the
same period. During April-March 2007-08, cement export was 3.65 million tons as
compared to 5.89 during the same period.

Cement industry in India is currently going through a consolidation phase. Some


examples of consolidation in the Indian cement industry are: Gujarat Ambuja taking a
stake of 14 per cent in ACC, and taking over DLF Cements and Modi Cement; ACC
taking over IDCOL; India Cement taking over Raasi Cement and Sri Vishnu Cement; and
Grasim's acquisition of the cement business of L&T, Indian Rayon's cement division, and
Sri Digvijay Cements. Foreign cement companies are also picking up stakes in large
Indian cement companies. Swiss cement major Holcim has picked up 14.8 per cent of the
promoters' stake in Gujarat Ambuja Cements (GACL). Holcim's acquisition has led to the
emergence of two major groups in the Indian cement industry, the Holcim-ACC-Gujarat
Ambuja Cements combine and the Aditya Birla group through Grasim Industries and
Ultratech Cement. Lafarge, the French cement major has acquired the cement plants of
Raymond and Tisco. Italy based cement has acquired a stake in the K.K. Birla promoted
Zuari Industries' cement plant in Andhra Pradesh, and German cement company
Heidelberg Cement has entered into an equal joint-venture agreement with S P Lohia
Group controlled Indo-Rama Cement.

Cement (Mn.Ton.)

Particulars Mar-08 Feb-08 Mar-07 2007-08 2006-07


Production 16.39 14.73 14.99 168.31 155.66
Despatches(Including
Export) 16.42 14.79 15.13 167.67 155.26
Export 0.32 0.21 0.45 3.65 5.89
Closing Stocks 1.07 1.15 0.85
Capacity Utilization (%) 104 98 108 96 94
TABLE 1.1

During March 08, Cement production was 16.39 Mn.T, registering a growth of
9.34% as compared to 14.99 Mn.T in March 07.

Cement Despatches were 16.42 Mn.T in March 08, showing a growth of 8.53% as
compared to 15.13Mn.T in March 07

Clinker (Mn.Ton.)

Particulars Mar-08 Feb-08 Mar-07 2007-08 2006-07


Production 11.88 10.83 11.19 129.69 121.75
Sales 0.41 0.29 0.27 3.01 2.35
Export 0.21 0.2 0.19 2.37 3.11
Transfer 1.55 1.42 1.45 16.16 15.58
Closing Stcoks 5.47 6.09 4.41
TABLE 1.2

During March 08, Cement Export was 0.32 Mn.T a decline of 28.89% from 0.45
Mn.T in March 07, whereas Clinker Export showed a growth of 10.53% (from 0.19
Mn.T. in March 07 to 0.21 in March 08)

GROWTH IN CEMENT PRODUCTION 2007-08/2006-07 (Apr-Mar)

FIGURE 1.1

This Graphical represenation shows that overall growth in cement production in inidia is
8% in 2007-08. but if we are distributing in different region then it shows 14%, 8%, 8%,
5%, 4% to North,East,South,West,Centre respectively.In North,higest growth is 14% and
least growth in centre region which is only 4%.
CAPACITYWISE TOP TEN PLAYERS FOR YEAR 2007-2008

(Figures in Mn. Tones)

COMPANY CAPACITY

HOLCIM / ACC / AMBUJA 38.21

GRASIM / ULTRA TECH CEMENT 36.25

JAYPEE GROUP. 9.93

THE INDIAN CEMENTS LTD. 9.64

SHREE CEMENT 9.10

CENTURY TEXTILES & INDUSTRIES LTD. 7.80

BIRLA CORPORATION LTD. 5.78

MADRAS CEMENTS LTD. 5.47

LAFARGE INDIA PRIVATE LTD. 5.47


JK CEMENT 4.30
TABLE 1.3

The Forms of Cement Produced

FORMS

OF

CEMENT

FORMS PORTLAND PORTLAND

OF POZZOLANA SLAG

CEMENT CEMENT CEMENT

FIGURE 1.2

Major players in Indian cement sector

* ACC

* L
 afarge

* Gujarat Ambuja Cement/Holcim


* Ultratech Cement

* India Cements

* Century Cements

* J aypee Group

* Madras Cements

* B
 irla Corporation Limited FIGURE 1.3

INTRODUCTION OF BIRLA CORPORATION LIMITED

History of the company

The company was founded by Late Shri G.D.Birla and was incorporated on 25th August
1919, in the name and style of The Birla Jute Manufacturing Company Limited. A man
of vision and enterprise, he set up the first Indian –Owned Jute Mill near Kolkata which
marked not only the birth of the company but also the beginning of the Birla Industrial
Group in India. The company grew steadily under his guidance in the earlier years.
Thereafter Shri M.P.Birla took over the reins of the company and he helped transform it
from a jute mill to a leading multi-product, multi-location corporate with widespread
activities.

Today, the product range includes cement, jute goods, vinoleum floor covering, auto
trims and steel castings. After the demise of Shri M.P.Birla in 1990, Smt.Priyamvada
Birla took over as the Chairman of the company and under her Chairmanship; company
crossed the Rs.1,000 cores plus turnover mark. After the demise of Smt.Priyamvada Birla
on 3rd July 2004, Shri R.S.lodha took over as the chairman of the company and under his
Chairmanship, company has attained new heights. The name of the company was
changed to Birla Corporation Limited with effect from 27th October, 1988 to establish the
size, image and conglomerate character of the company.

Credit Rating of the Company


Credit Analysis and Research Limited ( CARE ) has assigned “CARE AA” rating for the
company long and medium term facilities of more than one year tenure and PR 1 + ( PR
one plus) rating for short term bank facilities , aggregating Rs.500 crores. Further, the
rating Committee of CARE has re-affirmed PR 1 + rating and CARE AA rating for short
term debt and the proposed long term borrowing programme of the company.

COMPANY PROFILE

Birla Corporation Limited is a multi- product conglomerate.

• It plays significant roles in the Cement, Jute, PVC floor Covering, Auto Trim and
Steel casting industries.
• The concentric around the triangle represents this very multi-dimensional nature.
• The apex of the triangle is a visual representation of the force that drives the entire
corporation–the unifying force in search of excellence.

Late Shri M.P.Birla Late Smt. Priyamvada Birla

MANAGEMENT

The day- to- day management of the company is being looked after by the Chief
Executive Officer, Shri B.R.Nahar who is assisted by a team of highly qualified
professional persons.

CHAIRMAN ED & CEO


Late Shri R.S. Lodha Shri B.R.Nahar
Board of Directors
Shri N.K. Kejriwal Shri Vikram Swarup
Smt Nandini Nopany Shri Anand Bordia
Shri Harsh V. Lodha Shri B.B. Tandon
Shri Pracheta Majumdar Shri D.N.Ghosh

Logo of Birla Corporation Limited


The corporate symbol of concentric circles around a triangle represents this very

multi-dimensional nature. The apex of the triangle is a visual representation of the

force that drives the entire corporation – the unifying force in search of excellence.

The various sub-business units are diverse in interest & operation. But they are held

together by this centripetal drive. The circles represent the inspiration to explore

new frontiers of growth.


QUALITY CONTROL AND ASSURANCE

In order to ensure quality, effective control has to be exercised throughout the process of
production. The control procedures cover all aspects of cement manufacture from quarry
operation, handling, mixing and grinding to packing. In order to achieve quality
assurance, most of the cement plants have established facilities for sophisticated controls.
Some of the important controls introduced in the cement industry as follows: -

• Computerized mine planning and deposit evaluation to enable optimum use of raw
material
• Online X-ray fluorescence spectrometer for raw material control and raw mix
design.
• Better aided instrumentation and process measurements using X-ray analysis, gas
analyzers, temperature and pressure measuring devices, etc.
• Centralized kiln control system in conjunction with expert control systems for
process and operation control.
• Continuous monitoring of quality in production by plants as well as by the
certifying agency, namely, Bureau of Indian Standards (BIS) under compulsory
Certification Scheme.

BIS certification is compulsory for all varieties and grades of cement under the Cement
(Quality Control) Order, 1962 issued under the Essential Commodities Act, 1955. Since
the Indian cement industry recognizes that ISO-9000 quality system is extremely
important for quality assurance, reliability and competitiveness, about 45 cement plants
have already secured ISO-9000 Certification. The Total Quality Management (TQM)
concept has also been adopted by more than 70 cement plants. Besides, some leading
companies have acquired TPM (Total Productive Maintenance) accreditation. Some
manufacturers are going ahead for world class rating, e.g. WCM (World Class
Manufacturing) or ERP (Enterprise Resource Planning) to be at par with ‘Best Practices’
anywhere in the world.

India produces different varieties and grades of cement, namely, Ordinary Portland
Cement (OPC) (33,43,53 grades), Portland Pozzolana Cement (PPC), Portland Blast
Furnace Slag Cement (PBFSC) and many other varieties. Some of these varieties are used
for special applications, e.g. blended cement helps in resisting certain chemical agents,
sulphate resisting cement can be used in places where concentration of sulphate is more,
a low heat cement is used for mass concreting work like dams, barrages and deep
foundations. All these varieties of cement have been covered by Indian Standard
Specifications.
MISSION & VISION

Mission

 To achieve international standards of excellence in all aspect of division and


diversified business with focus on customer delight through value of product,
Services, cost and reduction.
 To maximize creation for wealth and satisfaction for the stakeholder.
 To foster a culture of participation and innovation of employee growth and
contribution.
 To cultivate high standards of business ethics and total Quality Management.
 To provide technology and service through sustained research and development.
 To attain leadership in developing, adopting and assimilating state-of-art
technology for competitive advantage.
 Offered full opportunities and challenges to develop individually enabling career
growth.
 Encouraged to acquire knowledge to meet the challenges of new technologies and
business needs in the changing scenario.
 Educated and guided to inculcate and practice right values as are nurtured by the
organization.

Vision

 A major diversified, transnational, integrated company with leadership and a


strong environment conscience playing a national role in cement, Jute, Auto trim,
Venolium and public distribution.

OBJECTIVES & OBLIGATIONS

Objectives

 To serve the national interests in the Product and related sectors in accordance and
consistent with Government policies.
 To earn a reasonable ate of on interest.
 To maximize utilization of the existing facilities in order to improve efficiency and
increase productivity.
 To work towards the achievement of self-sufficiency in the field of cement market
by setting up adequate capacity and to build up expertise in lying of crude.
 To further enhance distribution network for providing assured service to customers
throughout the country through expansion of reseller network as per Marketing
Plan/ Government approval.
Obligations

 Towards Customers and Dealers: To provide prompt, courteous and efficient


service and quality products at fair and reasonable prices.
 Towards Suppliers: To ensure prompt dealings with integrity, impartiality and
courtesy and promote ancillary industries.
 Towards Employees: Develop their capability and advancement through
appropriate training and carrier planning.
 Towards Community: To develop techno-economically viable and environment
friendly products for the benefit of the people.

SUBSIDIRES COMPANY OF THE BIRLA CROPORATION

CEMENT DIVISION:-

Cement is the primary product of the company and accounts for around 90% of the
turnover of the company. The company has seven cement plants at four locations,
namely, Satna Cement Works ( SCW ) and Birla Vikas Cement ( BVC ) at Satna
(Madhya Pradesh ), Chanderia Cement Works ( CCW ) and Birla Cement Works ( BCW
) at Chanderia ( Rajasthan ), Durgapur Cement Works ( DCW ) and Durga Hitech
Cement ( DHC ) at Durgapur ( West Bengal ) and Cement Grinding Unit at Raebareli
(Uttar Pradesh). The present installed capacity of cement is 58.80 lac metric tones per
annum. Location wise details are given here under:-

Location of Cement Plants in India

STATE TOWN UNITS

Madhya Pradesh Satna Satna Cement Works


Birla Vikas Cement
Rajasthan Chanderia Birla Cement Works
Chanderia Cement Works
West Bengal Durgapur Durgapur Cement Works
Durga Hitech Cement
Uttar Pradesh Raebareli Raebareli Grinding unit
STATE TOWN UNITS CAPACITY
Mill. Ts
M.P. Satna 1.55

Rajasthan Chanderia 2.00

West Bengal Durgapur 1.60

Uttar Pradesh Raebareli 0.63


TABLE 1.4

CAPACITY : 5.78 Mill. Ts.

TABLE 1.5

The Product and Brand names are as Follows:

UNITS PRODUCTS BRAND NAME

Birla Cement Works OPC - 43G, 55G, PPC Birla Cement Chetak
Chanderia Cement Works PPC Birla Cement Samrat
Satna Cement Works PPC & OPC (43 Gr.) Birla Cement Samrat
Birla Vikas Cement Birla Cement
Khajuraho
Raebareli Grinding Unit Portland Pozzolana Birla Cement Samrat
Cement (PPC)
Durgapur Cement Works Portland Slag Cement Birla Cement
(PSC) Birla Premium Cement
Durga Hitech Cement Portland Pozzolana Birla Cement Samrat
Cement (PPC)
TABLE 1.6

Corporate Social Responsibilities

Educational Activities

 South Point School, Kolkata, West Bengal

 M.P. Birla Foundation Higher Secondary School, Kolkata, West Bengal

 M.P. Birla Shiksha Bhawan, Allahabad, Uttar Pradesh

 M.P. Birla Industrial Training Institute, Rewa, Madhya Pradesh

 Birlapur Vidyalaya, West Bengal

 Birla Vikas Vidyalaya, Satna, Madhya Pradesh

 School at Chittorgarh, Rajasthan

 Sarada Kanya Vidyapith, Barrackpore, West Bengal

 M.P. Birla Foundation Veda Sanskrit Pathshala, Bangalore, Karnataka

Medical Activities

 Bombay Hospital, Mumbai, Maharashtra

 Belle Vue Clinic, Kolkata, West Bengal


 M.P. Birla Medical Research Centre at Birlapur, West Bengal and Satna, Madhya
Pradesh

 Birla Vikas Hospital, Satna, Madhya Pradesh

 Birlapur Hospital, Birlapur, West Bengal

 Dispensary at Allahabad, Uttar Pradesh

 Hindustan Medical Institution at Barrackpore, West Bengal

Other Philanthropic Activities

 M.P. Birla Planetarium, Kolkata, West Bengal

 Express Dairy, Behala, Kolkata, West Bengal

 Joka Agricultural & Horticultural Society, Joka, West Bengal

SOCIAL SERVICES

 Water Facilities in Satna & Chanderia.

 Roads in Chanderia.

 Cleanness Campaign with Zilla Parishad in Chanderia.


AWARDS & ACHIEVEMENTSore..
.

 CAPEXIL “Special Export Award” every year, since 1990.

 ISO 9002 certification for Satna Cement Works, Birla Vikas Cement and
Durgapur Cement Works.

 ISO 9001-2000(QMS) certification for Birla Cement Works, Chanderia Cement


Works from BVQI, UK.
 IS/ISO 14001 certification in 1999-2000 for Satna Cement Works and Birla Vika
Cement, in 2002-2003 for Birla Cement Works & Chanderia Cement Works for
environment management systems & “Best in Energy Performance” in 1986-87.

 "Best in Energy Performance" for Satna Cement Works in 1993-94, 1994-95,


1995-961997-98.

 "Best improvement in Thermal Energy Performance" recognition from NCB for


Birla Cement Works in 1992-93 and Chanderia Cement Works in 1993-94.

 "Bhama Shah Samman" from the Rajasthan Government for Educational


Activities for Birla Cement Works in 1996-97.

 "Excellence in Improving Machinery Health Condition" in 1997.

 Ministry of Labour, Government of India, for Birla Cement Works & Chanderia
Cement Works in 1998-99 and again in 2001-02.

 "Lal Bahadur Shastri Memorial National Award" for Excellent Pollution Control

BIRLA CEMENT WORKS


Chanderia, Chittorgarh (Rajasthan)

(Unit of M/s. BIRLA CORPORATION LIMITED)

Since I had done my summer training at the units situated at Chittorgarh i.e. BCW &
CCW so here I am giving a brief description of these two units-

BIRLA CEMENT WORKS (BCW) was commissioned in February 1967, was the 1st
dry process plant with two suspension preheating technology in the country. Shri
M.L.Sukhadia laid the Foundation stone of BCW on January 1962 and it started
functioning on Basant Panchmi in year 1967.Its initial capacity of 2 lac tones was
increased to 4lac tones in year 1992. In a major modernization drive, the two stages pre-
heater were converted into five stages pre-heater & a Modern computerized system was
installed. The BCL installed a new plant in year 1986 called “Chittorgarh Cement Works
(CCW)”. It is equipped with state –of-art equipment like 5 stage pre-heater, inline
clinker, Hot ESP etc. were commissioned in 1986. A central computerized control system
with X-rays analyzer & other sophisticated quality control system have been provided to
ensure the best quality cement production. The company has its own mines named ‘Jai
Surjana’ which is at a distance of about 4Km from factory.

BCW was the 1st cement plant in the country to install Electrostatic Precipitator (ECP’s)
in order to control the dust emission. To further improving the efficiency of ESP’s, gas –
conditioning towers have been installed and bag dust collectors have been provided at all
material transfer points in both the units. Today as many as 11 ESP’s & 57 bag dust
collectors are functioning efficiently to control and maintain the emission levels well
below the air pollution control act.
BCW & CCW’S Core Values, Vision, Mission

Core Values

A) Business entity & Ethics. B) Transparency & Openness.

C) Sense of Ownership. D) Striving for excellence

Vision

Be one of the best known work culture & organization climate in cement
industry. Attain excellence in every sphere through team work while fostering individual
uniqueness, Entrepreneurship & Empowerment.

Mission
To develop an enabling learning, responsive & trustful organizational climate

Where people are respected empowered & derives joy in working.

Environment & Safety

Number of activities on safety awareness, health checkup of all employees is being


carried.

Safety

In order to have control overall accidents and serious / fatal accidents within the
plants, the each and every employees of the organization is familiar with the thinking and
objectives of the organization and support the safety programme.

To prevent accident, we have included the safety programme like investigation &
analysis of all serious and fatal accidents, recommendations / remedial measures to
prevent similar accidents and we also included the near miss situation / accidents in our
safety programme.
The regular safety inspection is being conducted in the plant to identify unsafe
conditions and unsafe practices, which lead to accidents. Awareness and training
programmes are being conducted to develop correct attitudes towards safety.

A safety booklet in Hindi was published giving information of safety rules and
regulation and distributed to the all employees including the contractors’ workmen.

System, Methods and Instructions has been prepared for the safety related activities in the
plants. Maintaining all statutory requirements as per The Factories Act. Fire hydrant As a
part of regular activity safety department organized various competitions like slogan,
poster, declamation etc. with regards to safety for employees. Safety week and safety day
are celebrated with great zeal. Several employees are awarded on the occasion.

Environment

External environment audits through certifying agencies were conducted and various
environmental initiatives including environmental monitoring were implemented to
maintain the ecological balance in and around the plant & mining premises. The statutory
requirements relating to various environmental legislations and environment protection
were duly compiled with, beside several voluntary initiatives such as background
concentration assessment. Water management studies of the district and mass
environmental awareness programmes are being conducted.

Facilities Provides By BCW & CCW

The factory has provided the various kinds of the facilities to the company employees &
workers. It gives the soothing environment to the workers & motivates to do better &
more work for company.

These facilities are under

 Recreation Center

 Clubhouse

 Residential Colony
 Vividha

 School & Canteen

 Transportation Facility

 Vocational Training

 Play grounds & sports fields

 Tree plantation in Gardens

Department and Heads of Department

The company has 21 departments in the organization for well directing the
organization and to achieve the goals and mission for the company.

Name of the Department Head of the Department


HRD Dr. S.K. Jain
Gen Administration Mr. Anil Sharma
Accounts Mr. M.M. Jagetiya
Information System Mr. Bhupesh Sharma
Purchase Mr. P. Ghosh
Legal Mr. Umesh Pareek
Personal & Welfare Mr. N.K. Singhee
Security Mr. Lt. Col. Jai Raj
Mines Mr. S.R. Sharma
Stores Mr. S.S. Choudhary
Building Mr. P.K. Saboo
Environment Mr. M.S. Murgan
Safety Mr. Sanjay Rathi
Time Office Mr. S.N. chechani
Production Mr. Arvind Jha
T.C.S. Mr. Mukesh Dad
Engineering Mr. K.R. Karwa
Electrical Mr. S.Thattey
Sales & Marketing Mr. D.S. Sharma
Sales Accounts Mr. K.B. Jagetiya
Logistics Mr. N.K. Tripathi
TABLE 1.7
AWARDS

Plant has been awarded with number of awards, details are given below:-

S. Name of Award Awarding Institute


NO.
1. ISO 9001 : 2000 Certification BVQI, UK in 2002 to BCW & CCW

2. IS / ISO : 14001 Certification BIS, New Delhi in 2002 to BCW &


CCW
3. Best Productivity Award NPC to CCW in 1989-90 & again in
1993-94
4. Best improvement in Thermal NCB to BCW in 1992-93
Energy Performance
5. Best improvement in Energy NCB to BCW in 1992-93
Performance
6. Bhama Shah Award for Government of Rajasthan to BCW in
Educational Activities 1996-97
7. Excellent award for Maintaining IIT, Chennai & Vibration Engineers
Health Condition of Machinery Consultants (P) Ltd. to BCW & CCW
in 1996-97
8. Merit Award VEC (P) Ltd., Chennai for sustained
implementation of condition
monitoring and continued machine
health improvement in 2001.
9. Workers Education Trophy Central Board for Workers Education,
Udaipur, Ministry of Labour,
Government of India to BCW & CCW
in 1998-99 and again in 2001-02
10. Best Supporting Core Plant Regional Training Centre (North),
Nimbahera in 1998-99, 2000-01 &
2001-02.
11. DGMS, Udaipur – 1995(1), 1996(2),
Awards to Captive Mines (Safety 1997(1), 1998(3), 1999(4), 2000(2),
Week celebration in Udaipur 2001(5) & 2002(3).
region)
12. Best Income Tax Payee (TDS) Income Tax Department, Udaipur
Award range to BCW in 1996-97
TABLE 1.8

PRODUCT PROFILE

Definition of Cement:

In General is a generic name for powered material which initially have plastic flow when
mixed with water but from solid structure on several hours with varying degree of
strength & bonding properties which continue to improve with age.

Cement is a binding material. Earlier the cement was used as a binding material. Cement
is one of the strongest binding materials with long life. The weathering effect on cement
is very low. For manufacturing of cement the basic raw materials is limestone (calcium
carbonate). The limestone used in manufacturing of cement should have at least 80%
purity.

History of Cement

• Joseph aspedene discovered cement in 1824.

• Materials used were- lime, Brick, Bed, Volcanic, lava, water & ash.

• 1897 wet process KILAN came in existence DRY-PROCESS.


Types of Cement

1. BIS covers 14 types of cement.

2. 9’s are the commercially produced in India.

3. Major Cements are OPC, PPS, & PSC.

Different types of cement that are produced in India are

• Ordinary Portland cement (OPC):


OPC, popularly known as grey cement, has 95 per cent clinker and 5 percent gypsum and
other materials. It accounts for 70 per cent of the total consumption.
• Portland Pozzolana Cement (PPC):
PPC has 80 per cent clinker, 15 per cent pozzolana and 5 per cent gypsum and accounts
for 18 per cent of the total cement consumption. It is manufactured because it uses fly
ash/burnt clay/coal waste as the main ingredient.
• White Cement:
White cement is basically OPC - clinker using fuel oil (instead of coal) with iron oxide
content below 0.4 per cent to ensure whiteness. A special cooling technique is used in its
production. It is used to enhance aesthetic value in tiles and flooring. White cement is
much more expensive than grey cement.
• Portland Blast Furnace Slag Cement (PBFSC):
PBFSC consists of 45 per cent clinker, 50 per cent blast furnace slag and 5 per cent
gypsum and accounts for 10 per cent of the total cement consumed. It has a heat of
hydration even lower than PPC and is generally used in the construction of dams and
similar massive constructions.
• Specialized Cement:
Oil Well Cement is made from clinker with special additives to prevent any porosity.
• Rapid Hardening Portland cement:

Rapid Hardening Portland Cement is similar to OPC, except that it is ground much finer,
so that on casting, the compressible strength increases rapidly.

• Water Proof Cement:

Water Proof Cement is similar to OPC, with a small portion of calcium stearate or non-
saponifibale oil to impart waterproofing properties.

Raw material required for Cement -

Various raw materials required for manufacturing cement are :-

Limestone - extracted from own mines

Laterite - readily available from nearby mines

Gypsum - purchased from Bikanar & Nagore

Pet Coke - imported from foreign countries

Fly Ash - brought from Kota Thermal Power Plant

Manufacturing Process Of Cement


FIGURE 1.4

PROCESS FLOW-DIAGRAM

Limestone Limestone
Mining Crushing Transportation Stock Pile
Cement Cement
Silo Processing Raw Grinding
Storage Grinding

Cement
Fuel Grinding
Packing

FIGURE 1.5

Manufacturing Process

Mining -
Limestone is extracted from own mines, which are situated approx. 4 km. away from
plant. The mining of limestone is done in such a way so as to get 78% to 82% pure
limestone.

Crushing -
The extracted limestone is then transported to Jai crusher by dumpers. The limestone is
crushed into small pieces of approx. 16 to 25 mm. sizes.

Grinding -
The crushed limestone along with latrine is feed into the Raw Mill for grinding. The
ground material is called Raw Meal. It is than sent to the CF Silo.

Blending -
In the Silo the Raw Material is blended to make the mixture uniform. From here the
material is sent to the pre heaters.

Burning -
In pre heaters, the mixture is heated at various temperatures at various stages. This
preheated material is now fed into the kiln where it is heated at the temperature of 1400-
1500 degree where calcinations take place. Coal is used in the kiln to maintain the
temperature and finally clinker emerges out of it. This clinker is transported through a
conveyor into a storage Silo from where it taken out through vibratory feeders & fed into
the open circuit cement grinding mill hoppers.

Grinding -
The grinding of clinker with gypsum is done in cement mill. It is basically have where
the grade of cement is controlled gypsum is added to increase the setting time of the
cement. Then cement is than stored for some time.

Storage & packing -


The cement is than conveyed to different cement storage silos according to their grades &
from silos it is packed in pp bags by using electronic packaging machines.

PRODUCTS OF BCW & CCW

CEMENT

OPC PPC SRC

43 Grades
33 Grades 53 Grades
FIGURE 1.6

Storage of Cement

Storage Time Compressive Strength


Fresh 100%
3 Month 80%
6 Month 72%
12 Month 60%
24 Month 46%

TABLE 4.1

Standard requirement of various Raw Materials

Particular Standard requirement


OPC
Clinker - Limestone 92-93%
- Iron Ore 02-03%
- Gypsum 05%
PPC
Clinker 70%
Gypsum 05%
Fly ash 25%
TABLE 4.2

Method of cement storage

1. All windows & doors are closed and weather & Moisture must not affect to the
cement.
2. Distance of stacking bags should be 1 feet from wall & 2 feet from ceiling.
3. In one stacking put only max. 15 cement bags.
4. Use of cement bags FIFO system.
5. Put the cement bags on wooden-plates & than cover by the plastics-sheets.

DISTRIBUTION CHANNEL

Company has a very simple distribution channel for delivering the goods to the
consumer. It is combination of:
Company

Direct Selling
Stockiest
To

Various Govt.
Retailer
Contracts

FIGURE 1.7

SWOT ANALYSIS OF BIRLA CORPORATION LIMITED

Strengths:-

1. The industry is likely to maintain its growth momentum and continue growing
at about 9 – 10% in the foreseeable future.
2. Government initiative in the infrastructure sector such as the commencement of
the second phase of the National Highway Development project, freight carriers,
rural roads and development of the housing sector, are likely to be the main drivers
of growth.

3. Measures initiated by the Government towards public-private partnership for


removing bottleneck in the development of infrastructure in the country, augurs well
for the industry.

4. In the coming few years the demand for the cement will increase which will be
booming news for cement manufactures.

5. For the purpose of the packing of essential item, jute products which are
environment friendly and biodegradable characteristic are considered as best option.

Weaknesses
1. High capital cost and investment cost for each and every project.

2. The complex Excise Duty structure based on the category of buyer and end
use of the cement has caused at lot of confusion in the industry.

3. The recent ban on export of cement clinker would increase the availability
of cement in the domestic market, which in turn would put pressure on cement
prices.

4. The major concern for the industry are :

• Continuous increase in labour cost.


• Shortage of skilled labourers.
• Appreciation of rupees against foreign currencies.
• Procuring of limestone mines at economical price an entry barrier.
Opportunities

1. Adequate support from the Government is very essential to promote


business activities.

2. Increase in the production and sell of cement at different plants have


increased the turnover of the company.
3. It would be in the interest of both the government and the industry to work
together with aim to streamline the indirect tax regime and keep the prices of the
inputs such as coal under control so that the cement price can be maintained at
reasonable levels.

4. Despite slightly lower economic growth, the construction and infrastructure


sector is expected to record healthy growth, which augurs well for cement industry.

5. The modernization, productivity improvement and cost control measures


will improve the performance of the division in times to come.

Threats

• The recent moves by the Central Government in making the import of the
cement total duty free, is a cause of for the Indian cement industry.

• Further recent changes in the Central Excise Duty structure by way of


introduction of multiple slabs of Excise Duty is also a cause of worry for the
industry.

• Almost all the major players in the industry have announced substantial
increase in the capacity and the possibility of over supply situation cannot be ruled
out.

• Increased railway freight, coal prices and dispatch bottlenecks on account


of truck Loading restrictions imposed by various State Governments

• Scarcities of good quality Coal are some other factors which are cause of
concern for the industry.
C HAPTER -

2
CONCEPTUAL
FRAMEWORK
“Developing Marketing Strategy by Knowing Brand-Position of BCW/CCW
Product- 2009 for Birla Cement Works”

Brand Positioning - Definition and Concept

Brand positioning refers to “target consumer’s” reason to buy your brand in


preference to others. It is ensures that all brand activity has a common aim; is guided,
directed and delivered by the brand’s benefits/reasons to buy; and it focuses at all points
of contact with the consumer.

Brand positioning must make sure that:

• Is it unique/distinctive vs. competitors ?


• Is it significant and encouraging to the niche market ?
• Is it appropriate to all major geographic markets and businesses ?
• Is the proposition validated with unique, appropriate and original products ?
• Is it sustainable - can it be delivered constantly across all points of contact
with the consumer ?
• Is it helpful for organization to achieve its financial goals ?
• Is it able to support and boost up the organization ?

In order to create a distinctive place in the market, a niche market has to be carefully
chosen and a differential advantage must be created in their mind. Brand positioning is a
medium through which an organization can portray its customers what it wants to achieve
for them and what it wants to mean to them. Brand positioning forms customer’s views
and opinions.

Brand Positioning can be defined as an activity of creating a brand offer in such a manner
that it occupies a distinctive place and value in the target customer’s mind. For instance-
Kotak Mahindra positions itself in the customer’s mind as one entity- “Kotak ”- which
can provide customized and one-stop solution for all their financial services needs. It has
an unaided top of mind recall. It intends to stay with the proposition of “Think
Investments, Think Kotak”. The positioning you choose for your brand will be influenced
by the competitive stance you want to adopt.

Brand Positioning involves identifying and determining points of similarity and


difference to ascertain the right brand identity and to create a proper brand image. Brand
Positioning is the key of marketing strategy. A strong brand positioning directs marketing
strategy by explaining the brand details, the uniqueness of brand and it’s similarity with
the competitive brands, as well as the reasons for buying and using that specific brand.
Positioning is the base for developing and increasing the required knowledge and
perceptions of the customers. It is the single feature that sets your service apart from your
competitors. For instance- Kingfisher stands for youth and excitement. It represents brand
in full flight.

FIGURE 2.1
Defining Values and Principle

 You already know how to do this

– Your values and principle are part of your Org and Brand drivers!!!

– Keller calls principle “Brand Mantra”

 Your Values, Principle, and position all are related

– NOTE: Keller says that associations are values, but we have a stricter
definition of associations from the IBM.

Brand Positioning Strategy

Brand positioning is an essential element of a winning branding strategy. Positioning


simply refers to how your product or service is viewed in the minds of prospects and
customers relative to other products or services available in your niche.

The term positioning has two connotations: a vertical and a horizontal one. In terms of
the vertical connotation, the term refers to the order in which your product ranks relative
to the products of your competitors in the minds of your customers in your industry
niche.

(For example, which product comes to mind first when I say the word cola?)

In terms of the horizontal connotation, the term refers to the qualities and attributes your
product represents in the mind of your customers, again relative to your competitors.

While you cannot directly control the ranking that your product or service enjoys in the
minds of your customers, you can influence how you position the product in terms of
qualities and attributes. That is, by properly positioning your product relative to your
competitors in the minds of your customers, you will have much more control over how
your brand is perceived in the marketplace. You will then effectively have a guide or map
for how to execute your branding strategy.
Effective Brand Positioning

No matter how long you’ve been in business, chances are good that you are engaged in
developing and promoting your brand positioning strategy. You’ll invest plenty of time in
the process of evaluating your products or services in terms of market share, sales and
customer base and comparing this information to that of your competitors. You’ll work to
determine how your customers perceive your business and its major offerings and use the
detailed findings to establish your business at the proper place within that all important
target market.

Your business position within the target market will determine your business’s degree of
success. If you think you can maneuver into a more profitable place, do so by adjusting
your products or services to more closely match the desired position (known as re-
positioning), or pursue strategies that change customer perception of the products and
services offered by your competitors (de-positioning).

Here are some strategic tips that can help you to be as effective as possible during your
brand positioning process:

1. Understand brand positioning as fully as you can, especially in the way that it directly
affects your business. Businesses, especially smaller ones, are very diverse in their needs
and offerings, and it might take quite a bit of effort to even be sure that you are
positioning yourself within the correct market. Look closely at the businesses sharing
your pool of regular customers, their purchasing patterns and the roles that your business
plays in their everyday lives.

2. Develop the most efficient method possible for gathering customer information.
Remember that you’re trying to get inside their heads and back out again with an
unvarnished look at how they see your business in terms of the benefit that it provides for
them. You might consider questionnaires, phone surveys or online surveys and offer a
small bonus to compensate customers for their valuable time.

3. Determine which of your products and/or services are the most popular or powerful, so
that you can use them to build on or adjust your overall positioning strategy.
4. Rank all of your products and/or services in terms of positive customer review and in
relation to those of your competitors.

5. List the most popular group of attributes that describe your business and products from
the viewpoints of your customers and combine them to reach your ideal vector…the
position in your target market from where your business can operate at the highest
possible level of strength.

6. Product-based businesses can complete the positioning process more easily than
service based businesses. After all, your customers can see, touch and watch
demonstrations of your products to see how they work and visualize their benefits. Here
are some hints for exploring how customers perceive your business and its services:

• Create simulations, descriptions or case studies showing proven results.


• Find out how customers view your services in terms of value, results and convenience.

7. Regardless of your business type, take the information about customer perception that
you’ve gathered, determine your top benefits and attributes and use them to determine
your current positioning and how far that point is from your ideal vector in the
marketplace.

8. Decide whether you are satisfied with the current positioning of your business, or
whether you need to change your strategy. Consider your target market and decide if your
business is positioned in such a manner that it maximizes every opportunity for visibility
in that market.

Finally, keep in mind that positioning can be either an active or passive process. If you
choose not to fully engage in it – it will still take place. Don’t give up the valuable
opportunity to monitor and influence the process and increase profitability
5 Factors of Brand Positioning

1. Brand Attributes

What the brand delivers through features and benefits to consumers.

2. Consumer Expectations

What consumers expect to receive from the brand.

3. Competitor attributes

What the other brands in the market offer through features and benefits to consumers.

4. Price

An easily quantifiable factor – Your prices vs. your competitors’ prices.

5. Consumer perceptions

The perceived quality and value of your brand in consumer’s minds (i.e., does your
brand offer the cheap solution, the good value for the money solution, the high-end, high-
price tag solution, etc.?).

In order to Position a Brand…

 You must decide

– Who the Target Consumer is

– Who your main competitors are

– How the Brand is similar to your competitors

– How the Brand is different from your competitors

 Where do you get this information?

– Your BRAND INVENTORY!!


Brand Positioning

A good brand positioning help guide marketing strategy by clarifying the brands
essence but goals it help the consumer achieve and how it does so in a unique way.

The result of the positioning is the successful creation of a customer focused value
proposition, a cogent reason why the target market should buy the product.

Birla Corporation Ltd. (Cement Division) introduce their new product, SAMRAT, with
the value proposition of "Aajya kal majboot har pal" with PPC (Portland Pozolona
Cement) instead of OPC (Ordinary Portland Cement) main features of SAMRAT is-

• Corrosion Resistant
• Work ability
• Sulphate resistant
• Low heat of hydration
• Durability
• Less use of water
• Seepage Resistant
• Low Cracks in RCC
• Fineness
• Mass Concrete

Competitive Frame of Reference

A starting point in defining a competitive frame of reference for a brand positioning is to


determine Category Membership- the products with which a brand competes and which
function as close substitute.

Points of Parity and Point of Difference

Once the competitive frame of reference for positioning has been fixed by defining the
customer target market and nature of competition, marketers can define the appropriate
points-of-difference and point-of-parity associations.

Point-Of-Difference
POD's are attributes or benefits consumer strongly associates with a brand, positively
evaluated, and believe that they could not find the same extant with a competitive brand.
Strong, favorable and unique brand associations that make up POD.

Point-of-Parity

POP's on the other hand, are associations that are not necessarily unique to the brand but
may in fact be shared with other brands. These types of associations come in two basic
forms:

1. Category
2. Competitive

Category POP's are associations consumers view as essential to be a legitimate and


credible offering within a certain product or service category. Competitive POP's are
associations designed to negate competitors' points-of-difference.

Choosing POP's and POD's

POP are driven by the needs of category membership (to create categ POP's) and the
necessity of negating competitors POD's (to create competitive POP's)
These are three key consumer desirability criteria for POD's-

1. Relevance
2. Distinctiveness
3. Believability

There are three key deliverability criteria

1. Feasibility
2. Communicability
3. Sustainability

Competitive Study Among Various Cement Brands


 ABOUT THE PROJECT :-
The project contains various questions. These
questions are designed to analyses the various dealer behavior towards the Best Cement
Brand in Bhilwara Project includes whole study of cement market & questionnaire. By
help of this survey we know that which cement company best according to a various
attributes of cement which company provides best sales promotion strategy, which
company media is more effective in present market which company best in quality
,color ,supply T.C.S. etc. are know by this survey.

Major Issue:-
The study basically draws attention towards the
perceptional attributes of the various dealer and which factor influence to dealer. Major
issue is to knowing cement market where we stand & what the reason behind lacking is &
trying to come out with best result which helpful to company growth.

About questionnaire: -
The questionnaire consists of 13 questions. All these
questions are related to know the position of different brands prevailing in the market and
dealers satisfaction level. This questionnaire is also helpful in knowing the market
potential of Bhilwara. It is also helpful in knowing where our company stands in market.

Analysis of questionnaire below: -

1. Brands available in Bhilwara district.


2. Market share of companies.
3. Brand leader in district.
4. Suggestions to increase the goodwill.
5. Effective media for advertising.
6. Brand image of Birla Cement.
7. Effectiveness of T.C.S. of Birla Cement.
8. Timely delivery of Birla Cement.
C HAPTER -

3
RESEARCH
METHODOLOGY
RESEARCH METHODOLOGY

Statement of problem:-

• Objective of Research:-

The purpose of research is to discover answer to question through the application of


scientific procedures. The main aim of research is to find out the truth which is hidden &
which has not been discovered yet.

However, each research study has its own specific purpose. There are several common
objective of research as follow:-

 To study the brand positioning of “Birla Samrat” in the market.

 To compare the major cement brands in terms of Price, Preference, Quality,


Packing and Color.

 To compare the advertisement strategy of the various cement brands.

Research Methodology

Project Research Type Descriptive Research


Data Sources Primary Data , Secondary Data
Research Approach Survey Method
Research Instrument Questionnaire
Data Analysis Logical analysis
Sampling Procedure Random Sampling
Sample Size 50 Respondents
Geographical Coverage Bhilwara
Duration of the Survey 21 Days
TABLE 3.1

C HAPTER -

4
ANALYSIS &
INTERPRETATIO
N
Data Analysis by taking various attributes of CEMENT & their SCORE

Total of the score given by the Respondents -:

Ultratec
Attributes Birla Samrat Ambuja h Binani J.K. Shree
Preference 266 175 189 140 184 90
Quality 252 181 214 133 192 78
Packing 235 211 215 143 190 86
Color 213 220 203 139 189 86
Availability 264 187 189 135 188 123
Price 205 194 212 130 195 114
Tech. Service 195 202 196 137 186 134
Sale Promotion 145 179 186 153 198 196
Brand Image 274 183 225 105 175 75
Advertisement 120 186 256 144 201 146
Total 2169 1918 2085 1359 1898 1128
TABLE 4.1

Overall rank for the Attributes only -:

Ultratec
Attributes Birla Samrat Ambuja h Binani J.K. Shree
Preference 1 4 2 5 3 6
Quality 1 4 2 5 3 6
Packing 3 2 1 5 4 6
Color 2 1 3 5 4 6
Availability 1 4 2 5 3 6
Price 2 4 1 5 3 6
Tech. Service 3 1 2 5 4 6
Sale Promotion 6 4 3 5 1 2
Brand Image 1 3 2 5 4 6
Advertisement 6 3 1 5 2 4
TABLE 4.2

Overall rank of the Companies -:

Company BIRLA AMBUJA ULTRATECH BINANI J.K SHREE


No. of Forms 17 6 8 6 7 6
st
RANK 1 3rd 2nd 5th 4th 6th
TABLE 4.3

No. of Forms of Various Companies

Company Forms
Birla Samrat 17
Ambuja 6
Ultratech 8
Binani 6
J.K.Laxmi 7
Shree 6
Total 50
Forms
TABLE 4.4

FIGURE 4.1
1. Preferences Collected from Various Cement Dealers

Company Pref.

Birla Samrat 266


Ambuja 175
Ultratech 189
Binani 140
J.K.Laxmi 184
Shree 90
TABLE4.5

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
Preference to Birla Samrat, 2nd Ultratech, 3rd J.K Laxmi, 4th Ambuja, 5th Binani &
lastly Shree Cement.

2. Quality Collected From Various Cement Dealers

Company Quality

Birla Samrat 252


Ambuja 181
Ultratech 214
Binani 133
J.K.Laxmi 192
Shree 78
TABLE 4.6
Interpretation: The above survey clearly shows that most of the dealers GIVE 1ST
choice for Quality to Birla Smrat,2nd Ultratech,3rd J.K.Laxmi,4th Ambuja,5th Binani
and Lastly Shree Cement.

3. Packing Quality Collected From Various Cement Dealers

Company Packing
Quality

Birla Samrat 235


Ambuja 211
Ultratech 215
Binani 143
J.K.Laxmi 190
Shree 86
TABLE 4.7

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Packing Quality to Birla Samrat,2nd Ultratech,3rd Ambuja,4th J.K.
Laxmi,5th Binani and Lastly Shree Cement.

4. Colour Collected From Various Cement Dealers

Company Color

Birla Samrat 213


Ambuja 220
Ultratech 203
Binani 139
J.K.Laxmi 189
Shree 86
TABLE 4.8
Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Colour to Birla Samrat,2nd Ambuja,3rd Ultratech,4th J.K. Laxmi,5th Binani
and Lastly Shree Cement.

5. Availability Collected From Various Cement Dealers

Company Availability

Birla Samrat 264


Ambuja 187
Ultratech 189
Binani 135
J.K.Laxmi 188
Shree 123
TABLE 4.9

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 st
choice for Availability to Birla Samrat, 2nd Ultratech, 3rd J.K. Laxmi, 4th Ambuja, 5th
Binani and Lastly Shree Cement.

6. Price Collected From Various Cement Dealers

Company Price

Birla Samrat 205


Ambuja 194
Ultratech 212
Binani 130
J.K.Laxmi 195
Shree 114
TABLE 4.10
Interpretation: The above survey clearly shows that most of the dealers GIVE 1ST
choice for Price to Birla Samrat, 2nd Ultratech, 3rd J.K. Laxmi, 4thAmbuja, 5th
Binani and Lastly Shree Cement.

7. Technical Services Collected From Various Cement Dealers

Company Technical
Services

Birla Samrat 195


Ambuja 202
Ultratech 196
Binani 137
J.K.Laxmi 186
Shree 134
TABLE 4.11

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Technical Services to Birla Samrat,2nd Ambuja,3rd Ultratech ,4th
J.K.Laxmi,5th Binani and Lastly Shree Cement.

8. Sales Promotion Collected From Various Cement Dealers

Company Sales
Promotion

Birla Samrat 145


Ambuja 179
Ultratech 186
Binani 153
J.K.Laxmi 198
Shree 196
TABLE 4.12
Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Sales Promotion to Birla Samrat,2nd J.K. Laxmi,3rd Shree ,4th Ultratech,5th
Ambuja and Lastly Binani Cement.

9. Brand Name Collected From Various Cement Dealers

Company Brand
Name

Birla Samrat 274


Ambuja 183
Ultratech 225
Binani 105
J.K.Laxmi 175
Shree 75
TABLE 4.13

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Brand Name to Birla Samrat,2nd Ultratech,3rd Ambuja ,4th J.K. Laxmi,5th
Binani and Lastly Shree Cement.

10. Advertisement Collected From Various Cement Dealers


Company Advert.

Birla Samrat 120


Ambuja 186
Ultratech 256
Binani 144
J.K.Laxmi 201
Shree 146
TABLE 4.14

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Advertisement to Ultratech,2nd J.K. Laxmi,3rd Ambuja ,4th Birla
Samrat,5th Shree and Lastly Binani Cement.

Total Score in Percentage Company Wise


Company Total Rank

Birla Samrat 2169 1


Ambuja 1918 3
Ultratech 2085 2
Binani 1359 5
J.K.Laxmi 1898 4
Shree 1128 6
TABLE 4.15

Interpretation: The above survey clearly shows that lastly by collecting all the
scores from dealers, we come to know that overall position of Birla Samrat is On 1st ,
2nd choice for go to Ultratech,3rd Ambuja,4th J.K. Laxmi ,5th Binani, and Lastly 6th is
Shree Cement.

Weighted Average Method


Meaning & Definition

A weighted average is an average that adjusts for the frequency of individual values.

The weighted mean is similar to an arithmetic mean (the most common type of average),
where instead of each of the data points contributing equally to the final average, some
data points contribute more than others. The notion of weighted mean plays a role in
descriptive statistics and also occurs in a more general form in several other areas of
mathematics.

If all the weights are equal, then the weighted mean is the same as the mean. While
weighted means generally behave in a similar fashion to arithmetic means, they do have a
few counter-intuitive properties, as captured for instance in Simpson's paradox.

The term weighted average usually refers to a weighted arithmetic mean, but weighted
versions of other means can also be calculated, such as the weighted geometric mean and
the weighted harmonic mean.

Formula For Calculate Weighted Average

W= ∑ WX
∑X

X = No. of Respondents which are given.


W= Weight Rank

Application of the Weighted Average Method


Interpretation: The above method clearly shows that while comparing all the 10
attributes most of the respondents give 1st rank to Birla Samrat, 2nd rank to
Rank Rank Rank Rank Rank Rank
Option Total
1 (6) 2 (5) 3 (4) 4 (3) 5 (2) 6 (1)

266 175 189 140 184 90


Preference 4105
(1596) (875) (756) (420) (368) (90)
252 181 214 133 192 78
Quality 4134
(1512) (905) (856) (399) (384) (78)
235 211 215 143 190 86
Packing 4220
(1410) (1055) (860) (429) (380) (86)
213 220 203 139 189 86
Color 4071
(1278) (1100) (812) (417) (378) (86)

Availability 264 187 189 135 188 123


4179
(1584) (935) (756) (405) (376) (123)
205 194 212 130 195 114
Price 3942
(1230) (970) (848) (390) (390) (114)

Technical 195 202 196 137 186 134 3881


Service (1170) (1010) (784) (411) (372) (134)

Sale 145 179 186 153 198 196 3560


Promotion (870) (895) (744) (459) (396) (196)

Brand Image 274 183 225 105 175 75 4199


(1644) (915) (900) (315) (350) (75)

Advertiseme 120 186 256 144 201 146 3654


nt (720) (930) (1024) (432) (402) (146)

Total 13014 9590 8340 4077 3796 1128 39945

Weighted 32.5% 23.8% 20.8% 10.2% 9.5% 2.8%

Rank 1st 2nd 3rd 4th 5th 6th

Birla Ultra T. Ambuja J.K Binani Shree


Ultratech, 3rd rank to Ambuja, 4th rank to J.K. Laxmi, 5th rank to Binani and Lastly
6th rank to Shree Cement.

Results after calculating the Weighted Average Method

Company Total Rank


Birla Samrat 32.5% 1
Ultratech 23.8% 3
Ambuja 20.8% 2
J.K.Laxmi 10.2% 5
Binani 9.5% 4
Shree 2.8% 6
TABLE 4.17
C HAPTER –

5
CONCLUSIONS
& FINDINGS

FINDINGS & CONCLUSIONS

It can be concluded from the study through model Birla Cement has a good brand
image in the dealers mind in Bhilwara. It is not easily available on demand which places
the company at the disadvantage which compared with lack vendors. This problem which
can be improved by the strength and the distribution network of Birla Cement Works &
Supply.

 Dealers are of the opinion that among all the media television is the most powerful
media followed by the hoarding and wall painting which every common man can
see. So company should have to utilize then as much as possible.

 I found company is poor in providing services such as timely small deliveries


regular visits and gift items etc.
 The company should focus more on sales promotion, advertisement and public
relation.

 Network spread of Birla Cement is very high in Bhilwara can be this as its
strength.

 If check out the satisfaction level of dealers with respect to quality of Birla
Cement then we find that 85% dealers are told that it has excellent quality. So
company can also see this as its strength compare to other brand in market.

 Dealers opinion regarding price is Favoring Birla Samrat & It’s Get 1 st rank in all
six-brand. Its price is reasonable according to quality it’s also satisfy the dealer.

 It was found company has very good Brand Image in dealers mind. Dealers are
satisfy with the price.

 It was found that company is lacking in Supply.

 As far as Brand-Name is concern in Bhilwara, Company is on 1st Rank despite of


Very popular brand like Ambuja Cement, Ultratech Cement.
C HAPTER –

6
SUGGESTIONS
SUGGESTIONS

 At the end, I would humbly suggest the company that if company has good
quality, more advertisement, regular contact, marketing experts dealing with
dealers in all rural and urban areas. Then company can improve their market
shares, brand loyalty and promote their sales easily.

 Company should develop its R & D department as per the market requirement.

 Company should increase availability by which it can increase the sale and brand
image.

 For customer care Services Company should starts its concrete mobile van
facilities.

 As we all know infrastructure sector is growing rapidly so company improve


supply to capture maximum market share.

 Company should start its internal call centre for its valuable customers by which
they can directly interact with company experts.
 Company conducts society welfare programs in rural area. So that company
creates good brand image among people.

 By giving some gifts and best wishes cards to the customer that your buying
decision is very good. Company can improve sales and brand loyalty.

 Company should organize seminars, conferences, Manson meetings and dealers


meet to promote sales quarterly.
C HAPTER –

7
REFERENCES
CITED

REFERENCES CITED

References
Kotler, Philip “Marketing Management” published by Vikas publishing house Pvt. ltd.
New Delhi.

Kothari, C. R. “Research Methodology” (third edition 2007) published by new age


international (P) ltd.

“CMA Magazine (Cement Manufacturers Association)”.

Aaker, D.A. and Shansby, J. (1982) “Positioning your Product,” Business Horizons, 25,
(May/June), 56-62.
Alden, D. L., Steenkamp, J. B. E. M. and Batra, R. (1999) “Brand Positioning through
Advertising in Asia, North America, and Europe: The Role of Global Consumer
Culture,” Journal of Marketing, 63 (January), 75-87.
Best, R.J. (2004) Market-Based Management: Strategies for Growing Customer Value
and Profitability, 3rd Edition, Upper Saddle River, NJ, Prentice-Hall, 246-267.
Bhat, S. and Reddy, S. K. (1998) “Symbolic and Functional Positioning of Brands,”
Journal of Consumer Marketing 15, (1), 32-43.
Blankson, C. and Kalafatis, S. P. (2001) “The Development of a Consumer/Customer-
Derived Generic Typology of Positioning Strategies,” Journal of Marketing
Theory and Practice, 9 (2), (Spring), 35-53.
Crawford, C. M. (1985) “A New Positioning Typology,” Journal of Product Innovation
Management, 4 243-253.
Domzal, T. and Unger, L. (1987) “Emerging Positioning Strategies in Global Marketing,”
Journal of Consumer Marketing, 4 (4), 23-40.
Hooley, G. and Saunders, J. (1993) Competitive Positioning: The Key to Market Success,
Hemel Hempstead: Prentice-Hall.
Hooley, G., Saunders, J. and Piercy, N. F. (1998) Marketing Strategy and Competitive
positioning (2nd edn), Hemel Hempstead: Prentice-Hall.
Johansson, J. K. and Thorelli, H. B. (1990) “International Product Positioning,” In
Thorelli, H. B. and Cavusgil, S. T. (eds.) International Marketing Strategy, New
York: Pergamon Press (3rd edn), 471-485.
Kotler, P. (2000) Marketing Management, (Millennium Ed), Upper Saddle River, NJ:
Prentice-Hall.
Muhlbacher, H., Dreher, A. and Gabriel-Ritter, A. (1991) “MIPS-Managing Industrial
Positioning Strategies,” Industrial Marketing Management, 23, 287-297.
Park, C. W., Jaworski, B. J. and McLnnes, D. (1986) “Strategic Brand Concept-Image
Management,” Journal of Marketing, 50 (October), 135-145.

News Papers

• Times of India
• Hindustan Times
• Economic Times

Web Based References

• http://www.birlacorporation.comhttp://www.bcw.com
• http://www.birlacementworks.com
• http://www.cma.com
• http://www.scribd.com
• http://www.amzon.com
• http://www.wikipedia.com
• http://www.answer.com
C HAPTER –

8
ANNEXURE
Questionnaire

BRAND-POSITIONING OF BIRLA SAMRAT CHETAK CEMENT

Note :- According to your opinion please Rank 1 to 6 .


Name :-

Address:-

Telephone No:- (M)

1. For how many years you are doing this Business.

Year …...............................

2. According to your Preference rank the cement companies.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

3. Rank the cement companies according to their Quality.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

4. Which cement company has good Packing Quality?

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )


(C) Ultratech Cement ( ) (F) Shree Cement ( )

5. The Color of which cement companies customer like the most.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

6. Cement of which company is always available in the market.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

7. According to Quality & Market Image the Price of which cement company do you
agree with.
(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

8. Which cement company provides Technical Services regularly?


(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

9. The activities of which cement company companies attract you for increasing their
Sales.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

10. Rank the cement companies on the basis of Brand Image.


(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

11. The Advertisement of which cement companies attract you.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

12. The cement of which company is quickly available.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

13. Cause of taking Dealership.


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