PROJECT REPORT ON

PRODUCTS POSITION IN MARKET AND MEASURES TO IMPROVE POSITION IN MARKET

AT BSL LIMITED, BHILWARA BY VIDHI RAWAL

FOR PARTIAL FULFILLMENT OF THE COURSE PGDM BIOTECHNOLOGY

MITCON INSTITUTE OF MANAGEMENT BALEWADI, PUNE 411045 2009-2010

ACKNOWLEDGEMENT

Behind every success there is certainly an unseen power of almighty God .But success is attained with association of predecessors, teachers, family members, friends & colleagues. It may privilege to acknowledge people who have supported me throughout the training work & helped me to reach this acme of investigation. Above all I express deep indebtness to Mr. RD Jat (HR personnel), Mr. Vivek Vyas (Marketing Personnel), Ms. Kusum (Publicity Dept) and whole publicity department along with staff working in factory while industrial visit. They have guided me in all possible ways by arranging all my requirements as per my project and so I am very thankful to all of them. Contribution of my parents has enabled me to lay a good foundation for a good character in life and to complete my project successfully.

INDEX PAGE

SR.NO TOPICS 1 2 3 4 5 6 7 8 9 10 11 12 Executive Summary Industry Profile Company profile Research Problem Review of literature Objectives Research Methodology Findings: Data Presentation and Analysis Suggestions Limitation and scope for further studies Conclusions Annexure: Questionnaire: Charts and Graphs : References: Others

PAGE NO. 1 3 4 6 9 11 14 16 38 40 41

EXECUTIVE SUMMARY

EXECUTIVE SUMMARY BSL is a big name in textile sector but companys turnover is very less though products are of good quality and with suitable prices. Therefore it is needed to find position of different products in market and measures to improve them.

Problem Definition: To find position of different products of company in the market. Company has various products but sales are not up to the mark to check this problem various products position in market should be identified. This is major problem other than this is to make company aware about market scenario and fierce competition.

Methodology: Research methodology used for this problem is of both type exploratory and descriptive. In both qualitative as well as quantitative approach is used for collection of data. With reference to S.No 1.3, exploratory research includes interviews, analysis of secondary data and discussions with experts whereas in descriptive strict questionnaire is used.

Findings: After research and survey many of the findings has came into the light. Low production of readymade garment in spite of high demand in market PV fabric is the leading one followed by PW, with reference to graph S.No 1.8 Share of BSL in domestic market is high with reference to chart S.No 1.9 Share of BSL in national market is very low compare to others, reference chart S.No 1.10 Branding of the company is very weak After interviewing various customers and dealers it is finded that brand value of company is very low comparatively to other companies After analyzing secondary data provided by company i.e. financial accounting books and brochures of company it is finded that turnover of company is very low

Suggestions: Few suggestions to a company are as follows: Company is highly poor in publicity and promotional events it should be increased Production of company is very low it should be increased Sometimes it introduces special fabrics for promotional events and stop it soon rather than continuing its production, production should be continued Its brand value is nowadays decreasing it should be enhanced by various marketing strategies It is restricted to middle class majorly and so measures should be taken to target high class also though it produces fabrics of high quality but due to lack of brand value high class people often prefer other brands like Raymonds etc Lack of aggressive marketing It is very well known brand globally and so it targets majorly global market and ultimately its attention is less on national market, this should not happen and equal attention should be paid It imports raw material and thus change in any government policies puts effect on prices of raw material and so production hampers this should be avoided by having some extra stock of raw materials for emergency Like expansion of spinning for just in time delivery for exports, expansion should also be done for national market Long term borrowings in Indian rupees avoid rate variation risks Company have imported machineries and all are well maintained this should be continued Company has stopped distributing calendars, key chains etc to their dealers/retailers which form good relationship with them Company way of dealing with dealers is not so effective, should be improved Customers often get the same quality as BSL in local fabrics also and then they prefer local fabrics therefore quality should be more enhanced or something innovative should be introduced to be in market 2

CHAPTER 1 INDUSTRIAL PROFILE

CHAPTER 1 INDUSTRY PROFILE Indian textile industry contributes about 14 per cent to industrial production, 16.63 per cent to export earnings. Nearly 40 per cent of the textiles produced in the country is exported and the textiles sector is the biggest employment generator after agriculture. The sector targets US$ 6 billion foreign direct investment (FDI) by 2015 to be invested in green field units in textiles machinery, fabric and garment manufacturing, as well as technical textiles. A growth trend in textile industry varies. In 2007-2008 it has gradually increased but in 2009 its growth rate has declined due to recession and many other factors. GROWTH TREND CHART YEAR 2005-2006 2006-2007 2007-2008 2008-2009 YIELD(Kgs/hectare) 478 521 567 526 S.NO 1.1 There are various factors which influence growth trends. Increased production is because of favorable climatic conditions, government policies, easy availability etc where as low production is due to low export and adverse policies. The Indian textile and apparel industry is taking a new scours by entering the Chinese market. Indian textiles and apparel exports, which is worth US$ 22 billion. The Government has announced the release of a subsidy of US$ 533.87 million for the textile industry under the Technology Up gradation Fund scheme (TUFs). Ministry of Textiles is considering setting up textile parks at Vidarbha and Marathwada, the largest cotton growing regions in Maharashtra. According to the Minister for Textiles, Mr. Dayanidhi Maran, around US$ 5.14 billion of foreign investment is expected to be made in India in the textile sector over the next five years. Major players of textile industries in India are Arvind Mills ,Raymonds ,Reliance Textiles, Bombay Dyeing , Grasim Industries,BSL Suitings , S.Kumars etc .

CHAPTER 2 COMPANY PROFILE

CHAPTER 2 COMPANY PROFILE BSL is in 1971 and is located in Bhilwara, Rajasthan in north western India and is part of LNJ group which also constitute of many other brands like mayor suitings, Maral overseas etc. Brands of BSL are BSL suitings, Geoffrey Hammonds, Louis Breton, La Italia. BSL today emerged as a strong global player, producing over 12 million meters of fabric every year. In the days when idea of poly viscose was new in India BSL has grown up with this concept. Right from raw material sourcing to product finishing, emphasis is on shorter lead time and greater efficiency.BSL product range is quite wide which consist of yarn to readymade garments. The industries like Blackberry, Shapes, and Madura Garments are buying fabric directly from BSL suitings. It imports Australian Marino wool for polywool fabric and silk from china for silk products also low pill trevrira from Germany. The mission of the company is to maximize the revenue, Increase productivity, reduce cost, protect the bottom line, customer relationship, and enhance efficiency and effectiveness. Its turnover is around 200 crores during the fiscal year ended March 31, 2009 (fiscal 2009), the Company exports constituted 46% of the total turnover. The Company textile business has 4.83 lacks spindle age. BSL is exporting at present to 59 countries in Europe and west Asia as also USA, added Aurora on the sidelines of a BSL-organized lifestyle show to formally announce new product plans and garments. BSL suitings opened exclusive retail outlet RIVOLI in Dubai. Numbers of overall employees are 17000 but in Bhilwara branch 500 are staff members and 2500 are workers in factory.BSL has collaboration with Enercon, India and Enercon, Germany.

BSL has been certified with ISO 9001, ISO 1401, and ISO 9002 for merit export and also have export house certificate. BSL has also awarded wool mark emblem for woolen fabric. BSL quality system is among the best system. Every raw material is checked minutely before undergoing production. It conducted many tests for fabric quality check like Fabric Assurance by Simple Testing(FAST).BSL have wide variety of product range it varies from yarns to readymade garments which include formals for both men and women , casuals, suit length, uniforms etc.

PRODUCT RANGE

Yarns

fabrics

Readymade Garments

Specially treated fabric

Normal fabric

Cotton candy

Stay Fresh Zero Crush Stain &Water repellant Deodorant Anti Bacterial Bamboo Benz Soya Silk S.NO 1.2

Pure wool Jack N Jill Polyester wool Uniforms Polyester Viscose Denim Club Poly Cotton Subh Vivah Safari length Club Elite Right choice

Above defined flowchart shows products of the company and the categories of the products. It shows that company basically produces three products that are yarns, fibers and readymade garments. These categories have their own products range. Yarns produced by the company are utilized by company itself for weaving. Other category is fabric which consist of varieties of products which are manufactured with the help of biotech like soya silk which is made by soybeans and Bamboo Benz fabric by bamboo tree etc products are included under this category. These are specially treated fabrics on the other hand there are normal fabrics which include pure wool, Poly Cotton, Polyester viscose etc which are used very commonly by every class of people. After fabric comes readymade garments category which further have huge range of products. Readymade Garments are both formal and casuals for different age groups. Formal includes formal wear for both men and women whereas casuals includes products like denim Club, club elite etc. Other than this it also manufacture Uniforms for students, Navy, ONGC employee, Police, Hospitality etc. It also have Subh Vivah collection for marriage and safari length for safari suit.

CHAPTER 3 RESERCH PROBLEM

CHAPTER 3 RESEARCH PROBLEM Textile industry is nowadays is growing fast because of the needs and also many government policies which are facilitating this business because textile industry contribution to countrys production is remarkable.BSL is renowned name in textile world and it produces vast range of products which includes yarns, fabrics and readymade garments. Although it is a manufacturer of this entire vast product range, its turnover is not up to the mark. There are lots of problems behind this which need to be addressed. Historical Background: It is the company who had taken initiative for production of Poly Viscose fabric in 1971 which was a totally new concept in market that time. BSL is company of LNJ (Laxmi nivas Mittal) group which also includes many more companies along with it like mauyr suitings, maral overseas etc. Earlier BSL was restricted for production of few products, with time they broaden their range of products. With few range of products they were able to give high production rate but todays scenario is quite different in aspect of turnover as well as in product range Technical Background: BSL is sound and is equipped with lots of machineries which are imported and some are from the country itself. It have spinning, weaving and processing department and so related machineries are available. Earlier major portion of work was manual but nowadays it is replaced by machines. BSL continues to be on the cutting edge of manufacturing technology and systems. In quest for excellence, great attention is paid to details at every stage of production--from raw material to finished product. The worsted yarn is prepared on internationally acclaimed N Schlumberger & Cie machines from France, which mixes the fine polyester and woolen blends. The yarn is woven on Shuttleless P-7100 projectile and G 6200 & G6300Rapier weaving machines with electronic Dobby from Sulzer Textile, Switzerland. Many more machines like Mzzera from Italy for silk fiber is also present.

Present Situation: General impression of present situation BSL after discussing with top authorities of marketing department is that the company is in pinch due to many reasons few of them are: Recession Strengthening of rupee against dollar Raw material prices Fierce competition domestically as well as globally Low exports

Therefore, present situation of company is not up to the mark due to above defined reasons. Also many of the products of the company is not going well due to reasons like improper promotion of product, wrong launching, high prices, not suited to particular area etc. Scope: Scope of the study in the company is wide because of huge product range and problems related to each product. As BSL office is in Bhilwara which popularly known as textile city due many textile companies, detailed study can be done on the competitors and the strategies company is opting for product launch and where it is lagging behind ,by interviewing dealers and customers of company. Also company is indulged in activities like survey for their brand and product so secondary data is easily available which helps in detailed study of the company. Though with the wide scope of study of concerned topic few limitations are there like authorities are not very willing to reveal the exact data which cause error in primary data. Few problems are not stated by company as they can not disclose their private details and at that time conclusion is drawn on the basis of survey with dealers and customers. Sometimes company pretends that business is going well but after exploring case was fully different.

 Product Position in Market and Measures to Improve is concerned topic and is of great importance for company because companys turnover is only 200 crores which is very less and problems should be need to know so that accordingly company can take measures to improve particular lagged behind product sale in market, thus by increasing annual turnover of the company. Also it will give idea to company that which product in market is doing well and so company can encash that product easily along with knowing why a particular product is not doing well and if some innovations are needed can be inculcated into that particular product. Therefore few reasons for its relevance to company are: To encash a product doing well in market To know lagged behind product To know problems associated with different products Awareness about product innovation after going through survey report To understand what their competitors are providing and they are not

Following are research problems: Low turnover Low branding and promotion Low production To know why particular product lagged in market Problems related with various products Competitors product in market Products doing well in market with reasons Problems related with dealers and retailers regarding product and company

CHAPTER 4 REVIEW OF LITERATURE

CHAPTER 4 REVIEW OF LITERATURE To know which product is doing well in market and which is not performing well in market data plays a very important role. Primary data as well as secondary data both are very valuable in terms of analyzing pros and cons of a particular product. Primary data is collected after surveying and interviewing dealer, Retailers, and customers. On the other hand secondary data is easily available in company brochures etc and can be easily traced out. Market Research: It is the study of actual and potential buyers, their location, their potential volume of purchase and their motives and habits. Market research deals with facts and problems relating to the sale of a particular product or service. Methods of Market Research: Some methods used are: 1) Personal interview 2) Survey method 3) Telephonic interview method Personal Interview Method: It is a very effective form of investigation in which skilled interviewer collect information from selected individual. A personal interview is conducted by asking questions and recording the replies. Open ended and close ended questions are used. Telephone Interview method: It involves interview on phone. Large number of people can be interviewed in short span of time as it saves time in travelling and physically meeting people. It gives frank opinion. Survey Method: In this method survey is done of customers etc. for this project survey done of market by asking questions with dealers, retailers, customers and employees of company.

Advantage of market Research: It supplies information regarding the consumer response to a particular product introduced by the organization in the market Helps in launching new product It helps in studying the similar product by the competitors It gives an idea about future trends Helps in designing sales strategies Helps to understand consumers response According to apparel online 2009 Bhilwara where BSL is situated is hub of textile industry. Bhilwara with 500 units, 12500 looms and some state of the art process houses , produces about 5 crores meter of PV fabric. 20% of total production of goes for exports when BSL is considered. According to Mr. Churiwal chairman of BSL When we started spinning polyester yarn, there was no one to weave it, so in 1971, BSL was established to weave fabric In same magazine fact file of company is given which is:

Fact File Turnover: 200 crores/annuam Exporting countries: 59 countries Production: 7 lakhs meters/month, 80% is PV fabric Product profile: Wool, premium light weight fabrics, Trevrira wool and other specialized fabric blended with lycra, silk, linen, denim etc . RMG: 4000 trousers per month for domestic market Home textiles: Silk furnishing fabrics New launch: Premium silk suiting New development: Silk and wool blend

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CHAPTER 5 OBJECTIVES

CHAPTER 5 OBJECTIVES BSL is a vast company with 3 brands viz. La Italia, Geoffrey Hammond, BSL. Though it have good reputation in market its turnover is not satisfactory. It is doing average work in domestic market but globally it is much more outshined by other players like Raymonds, Grasim and Mayur which belongs to same LNJ group to which BSL belongs. It is fully equipped with latest imported machineries with domestic skilled man power than also its production is much less than many other domestic players like Ranjan Process House, Suzuki etc. After studying and discussing with senior people of company day to day problems what company encountered is outlined along with the reasons for particular problems. Problems that company is facing nowadays are related to low productivity and low exports if compared to earlier statistics of the company and also with the competitors not only global but domestic competitors also. Why such problems are rising although company is having sufficient equipments and all necessities is the major concern of company. Few problems that company encounter day to day are low productivity, copy of designs, wrong product positioning in market it means launching product in the market which is not apt for the product .Company is into production of many innovative and elite class fabrics with the help of biotech but these fabrics though having lots of qualities superior than others is not doing well in market because these are not positioned properly in the market. Sometimes if product is positioned in right market but company is unable to create awareness of the product in the market, they are not able to make customers think of their product.BSL is company whose mission includes superiority in quality and believe that there is no shortcut for excellence, company produce finest quality of fabric but is not doing well in market also because of low promotion i.e. branding of company is quite weak and so is lagged behind. Other problem company face is outdated stock, many times dealers refuse to take ordered products and so their stocks go outdated and they have to bear losses though it occurs very few times. Most of the times even customers are under misconception for many of the products and so they opt for others product for example company produces polyester wool fabric into different categories according to climate and demographics.

11

It came into market in many counts like 2/10, 2/40, 2/60 etc the more the count the thin is fabric but customers are under impression that fabric is made up of wool and is not suitable to wear in summers although fabric is apt for summers if higher count is taken because it produces thinner fabric which allows air to pass in but customers dont understand this and opt for some other product and so subsequently sale of polyester wool goes drastically down. This is also a problem company face in a regular manner. Other than this problem another major problem arises due to very slightest mistake while dyeing fabric, produced fabric is not according to the ordered fabric or desired fabric whole lot goes in waste, conditions become worst when the fabric is ordered because that time customer requires what exactly is ordered, this situation also creates problems very frequently. Company also deals with pricing problem. As already stated company is under production of many specialized treated fabrics though are good in quality but pricing is sometimes an issue but at times company dont count it as an major issue and dont deal with it. Therefore company faces many day to day problems like: Outdated stock Low productivity Dyeing problem and ultimately fabric wastage Low branding Wrong product positioning Pricing Sales of a particular product like polyester wool goes down due to misconception Low exports Copy of design Domestic as well as Global Competitors

Above defined are few problems company faces in day to day working which need to be addressed. Objective of the study is to analyze different product position in the market and measures to improve it. This objective is primary objective of the study. Other than this many secondary objectives are also included in study which is basically associated with the primary objective.

12

Primary objective of the report is-research on products of company by surveying dealers, customers and company employees. Secondary Objectives of study are many like: To study problems related to products To make company aware about product position To make company known about demands of customers and dealers Improvement in branding strategies Measures to improve product position in market

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CHAPTER 6 RESEARCH METHODOLOGY

CHAPTER 6 RESEARCH METHODOLOGY This research includes research and analysis of variety of products of company, for this Descriptive as well as Exploratory both types of research is required and is used. Descriptive research is needed for detailed description of the product position in market i.e. to draw conclusion about a particular product it is needed where as Exploratory is used for generation of input for descriptive data as well as to know the attitude, behavior, usage pattern etc of a particular product to know the exact position of product in market. As both types of research are used in the project research approach is both Qualitative and Quantitative. Qualitative for exploratory and Quantitative for descriptive type of research. Reason for selecting descriptive type of research is to conclude product position in market by generating data which include quantitative approach. Exploratory is used to know consumer and dealer behavior which helps in descriptive research by knowing attitudes, beliefs etc for this qualitative approach is used. Research plan/design used in research is flexible for exploratory and rigid and accurate for descriptive research. Good design should be economical, with less error with minimum bias and more reliability on data, which provide accurate information. Data collected is both primary as well as secondary. Secondary data is collected through the brochures, books provided by company, advertisements given by company in various magazines, pamphlets of company, internet etc. Source of primary data collection is personal interview or face to face interview with dealers and customers along with the top authorities of company. Research instrument used is questionnaire and interviews. It includes sample design. Sample design is a special plan to obtain sample from given population. It is defined before data is collected. Sample design consists: Population in this research is all dealers of BSL in Bhilwara, dealers of BSL as well as competitors dealer of Bhilwara, customers including both females and males who are professionals (doctors, engineers, businessman, tailors and teachers), college going, retired population, factory workers, kids, household, management students and retailers of Bhilwara. Sampling unit is dealers, customers( employees, students, professionals, household), retailers

14

Sampling technique/sample design is of two types random and non-random sampling. In this research random sampling is used to avoid bias, in this every element of population have equal opportunity to be included as sample. For this simple random sampling is used

Sample size taken is 50-100.

Both primary as well as secondary data has been collected. Secondary has taken from documents and booklets provided by company, companys annual report, magazines and also with the use of internet. Primary data has taken by market survey through questionnaire and by observing trend going in market and in company. Face to face interview is also done for primary data collection. Problems rise during survey is quite less because dealers are always willing to share their experience but sometimes while interacting with customers, customers do not respond properly to questionnaire and it results in wrong data. This problem is taken care of by choosing appropriate customers who is capable of give answers.

RESEARCH

Exploratory Qualitative Interviews Secondary data analysis Discussion with experts

Descriptive Quantitative Strict questionnaire

S.No 1.3

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CHAPTER 7 FINDINGS

CHAPTER 7 FINDINGS 7.1 Data Collection: Data collection for this research is through both approaches i.e. Quantitative and Qualitative. Data is collected through questionnaire method. Questionnaire consists of both closed ended and open ended questions. For dealers open ended questions are more and for customers numbers of closed ended questions are more. Secondary data is collected through companys annual report, brochures, pamphlets, magazines etc. Dealer/retailer questionnaire: OBJECTIVE: To analyze position of different products of company and suggestions to improve its position in market.

Q) Which companys products (brands) you keep?

Q) What are various ranges of products you keep?

Sales
15% 5% La Italia Pv fabric 10% 35% Polywool Polycottpon 10% Stf Parker 25%

Inference: Both readymade garments (RMG) and Fabrics have 50% share in market. In fabric 25% is occupied with PV fabric, 10% by PC fabric, 10% by PW fabric and 5% by specially treated fabric (STF).

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Q) Out of various brands which brand you prefer mostly and why? 1) Raymonds 3) BSL 2) domestic products 4) any other ( )

Sales
OCM

Arvind

BSL

Others

Raymonds

Inference: Out of various brands most preferred brand is BSL followed by Raymond and Arvind. BSL is chosen because of high margin. Q) Which companys products are doing well in market?

Sales
Local

Raymonds Arvind

BSL

Inference: Raymond is doing great in market followed by BSL and various other local companies. 17

Q) Why particular companys product is more popular? 1) Quality 3) Brand name 2) Price 4) other reason ( )

Sales
Brand and quality

Easy availability High Margin

Q) What is the position of products of BSL?

Sales
Bad

Can do better

Good

Inference : High percentage of people say that BSL position is good in market. 18

Q) Which product of BSL is mostly preferred and why?

Sales
STF PW fabric RMG

PC fabric

PV fabric

Inference: Mostly preferred are fabrics in which PV fabric tops the list and than comes readymade garments. It is doing good because of low cost and maintenance.

Q) Which product of BSL is not doing well in market and why?

Sales
RMG

Seasonal STF

Inference: Product majorly not doing well in market are specially treated fabrics(stf) followed by seasonal and RMG.

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Q) Who is major competitor of BSL in market? No competition at local level and is major player but at national level it have many like Raymond, Grasim, Arvind, S.Kumars etc

Q) What measures company can take to improve product position in market?

Sales
More varitiey

High production

High branding and pramotion of brand

Inference: Majorly said that company should pay attention towards branding and promotion of its brand.

Name Age

: ______________________________________________________________ : ______________________________________________________________

Profession : _______________________________________________________________ City : ______________________________________________________________

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Customer Questionnaire: OBJECTIVE: To determine position of products of BSL by knowing tastes and preferences of customers. Q) Mention various brands of fabrics/readymade garments you prefer? Why? 1) Raymonds 3) Local company products 2) BSL 4) Any other ( )

Sales
Other Local Raymond

BSL

Inference: Majority of people prefer local clothings followed by BSL. Q) Why you prefer particular brand? 1) Quality 3) Suitable to working conditions 2) Price 4) other reason ( )

Sales
odr reson Price Quality

Suitable to working conditions

Inference: Most of the customers opt for price. 21

Q) Do you use products of BSL? 1) Yes 3) Sometimes 2) No 4) Dont no

Sales
Dont know

Sometimes Yes

Inference: 75% says yes they use products of BSL Q) Which product of BSL you use often? 1) Simple fabric 3) Readymade Garments 2) Specially treated fabric

Sales
STF

RMG Simple fabric

Inference: Most used product of BSL is simple fabric.

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Q) Which simple fabric you opt for? 1 )PV 3) PC 2) PW 4) Blend

Sales
Blend

PW fabric

PV fabric

PC fabric

Inference: PV fabric is the most used fabric in simple fabric.

Q) Why a particular product?

Sales

Low maintenence

Low range with high quality

Low price Suitable to climatic conditions

Inference: Majority opt for high quality within low range.

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Q) How will you rate products of BSL? (1-excellent, 2-v.good, 3-good, 4-average, 5-poor) 1) Fabric 2) Specially treated fabric 3) Readymade garments ( ( ( ) ) )

Sales

RMF-2

Fabric-1

Inference: Fabric is rated excellent and RMG is very good. Q) Are you satisfied with the products of company? 1) Yes 3) Partially 2) No 4) Cant say

Sales

yes

Inference: 100% people said yes. 24

Q) Any suggestions about products? _______________________________________________________________________________ _______________________________________________________________________________ _______________________________________________________________________________

Name Age Profession

: ____________________________________________________________ : ____________________________________________________________ : _____________________________________________________________

Income Level: _____________________________________________________________ City : _____________________________________________________________

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7.2 Data Analysis : Data collected from dealer/retailer:

Table S.No. 1.4

Questionnaire

Dealer/retaile Dealer/retailer Dealer/retailer(S Dealer/retaile r(Botique (Somani omani Brothers) r(Ayodhya) Rosary) Associates) BSL,Raymonds ,OCM,Arvind, Mafatlal,Centur y etc Fabric and readymade garment(La Italia)

Which company's product you keep?

BSL,Raymonds,O BSL,Parker CM,Arvind,Mafat lal,Century etc

BSL

Fabric and Fabric and Readymade What are various range of product you keep? readymade garments (La garment(La Italia) Italia & Parker) All the brands kept is according to priority though BSL is doing good.

Fabric and Readymade garment(La Italia)

Out of various brands which brand you prefer?

BSL,Parker

BSL

Choosen brands are priorities

Good reputation and high margin. Why particular brand is preferred over other? Due to high margin BSL is prefered.

Due to local manufacturing unit high margin in BSL and easy availability of parker.

Wholesale dealer of BSL, no other products,due to demand.

Brand name, quality and easy availability.

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Questionnaire

Dealer/Retaile Dealer/Reatai Dealer/Retaile r( Somani ler(Boutique Dealer/Retalier r(Somani Brothers) Rosary) (Ayodhya) Associates)
La Italia's readymade All products on garment on their place are demand but production is good but pv fabric is always low and in fabric pv is in demand. always demanded. Seasonal and specialized product due to low production According to the different segment All products are of customers good not any different ranges specificity. are available and all products are doing good. readymade due to low production and few specialized fabric due to low promption. It is unique in its way so no competition but nationaly and globaly firms like raymond,S.kuma r etc

Which product of BSL is doing good in market?

Which product of BSL is lagging back in market?

Readymade None of the garments due to product in this low production situation

Who is major competitor of BSL?

At local level no No as such such competition competition but nationally Raymond is one.

No question of competition

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Data collected from customers: Table S.No. 1.5

Questionnaire Which brand of fabric/readymade garments you prefer? Mr.Ashish Mr.Rajeev Mr.Vivek Mr.Patodi not not specific Raymonds BSL specific but oftnly BSL Quality Any brand Good and price which suits Brand quality are to name within compatib conditions range le sometime Yes s Yes Mr. R.P Gupta arvind Mr.raman Mr. Purvey Mr. RD Jat Raymond Local s BSL

Why a particular brand?

Nominal charge

high quality

Price with local same manufactu quality of ring unit brand

Do you use products of Yes BSL?

dont Sometime remembe sometimes Yes s r if used

All products Which product you Simple Readymad fabric oftnly use of BSL? fabric e and readyma de more oftnly pv but Which fabric in simple occassio PV fabric you opt? naly special fabric too PV is apt It is Good for all suitable brand condition for all Why a particular value of s and working product? La italia special conditions and fabric is and quality of good climate quality. How do you rate the fabricFabric-2 rmg-2 product? ,stf-1 Are you satisfied with Yes Yes Yes the products? To be Easy More consistent availabili produccti with stf ty of la on of stf also. Any suggestions? italia

simple fabric

Simple Fabric

Readyma Simple de fabric

Simple fabric

pv and pw pv

pv

PV and PW

good quality and low rates

suitable to all climatic good condition quality s and low rates Fabric-1 Yes Rmg-2 Yes high producti on

good High quality in quality in low rates. low range

fabric-1 Yes

Fabric-1 Yes

Fabric-1 Yes

no

No

No

No

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Questionnaire Which brand of fabric/readymade garments you prefer? Why a particular brand?

Mr. Aggarwal Any brand

Mr.Mahip Mr. al Jaspal local BSl

Mr.praya Mr.vaibh Mr.Rakesh s av Mr.Saurabh BSl Good quality within range Yes Any Brand Arvind not specific

Brand Reasonab nameand le good quality sometime Yes s

Do you use products of Yes BSL?

high quality _ and _ brand name dont Sometime remembe _ s r

Which product you oftnly use of BSL?

fabric

All

simple fabric and redaymad _ e garments of La Italia

Which fabric in simple PV and PW fabric you opt?

Why a particular product?

How do you rate the product?

PV is apt for all conditions and _ special fabric is of good quality. Opt for any brand and so no specific _ rating for any product Yes no _ _

more oftnly pv but occassio naly special fabric too PV is apt for all condition s and special fabric is of good quality.

pv and pw _

good quality and low rates

fabric,stf-1

fabric-1

Are you satisfied with the products?

Yes _

Yes

_ _

_ _

Any suggestions?

Easy availabilit No y

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Questionnaire Which brand of fabric/readymade garments you prefer? Why a particular brand?

Mr.Prakas Mr.K.C Mr.Ramesh h Sharma not specific local Arvind

Mr.Peeyus Mr. h Mahesh BSl Good quality within range Yes Any Brand

Mr.Toshn iwal Mr. verma Mr. Yash Raymond Local s or BSL high quality and brand name Not specific

Brand Reasonab nameand le good quality sometime Yes s

Price with same _ quality of brand no may be

Do you use products of Yes BSL?

Sometime yes s

Which product you oftnly use of BSL?

Not defined _

simple fabric and redaymad _ e garments of La Italia

Readyma de and fabric also.intre sted in specially _ treatd fabrics which nowdays are not in market

Which fabric in simple _ fabric you opt?

Why a particular product?

more oftnly pv but occassio naly special fabric too PV is apt for all condition s and special fabric is of good quality.

pv and pw pv

PV

pv

PV and PW

good quality and low rates

suitable to all climatic good condition quality s and low rates

good High quality in quality in low rates. low range

How do you rate the product?

Opt for any brand and so no specific rmg-2 rating for any product Yes Yes

fabric,stf-1

fabric-1

Fabric-1

Rmg-2

Fabric-1

Fabric-1

Are you satisfied with the products?

Yes

Yes

Yes

Yes

Yes

Yes

good quality

Any suggestions?

To enhance productio n od No readymad e garments

high producti on for BSL

No

No

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Questionnaire Which brand of fabric/readymade garments you prefer? Why a particular brand?

Mr. Mr. Pangareya Jaiswal RMG of any local brand

Mr.Suroli Mr.patha Mr.kaushi a Mr. Sachin k Mr.Khan k Mr.Sharma Grasim BSl Good quality within range Yes Any Brand Raymond not s specific high quality and brand name La Italia

Quality

Brand Reasonab name le and good quality sometime Yes s

reasonabl e and quality yes

Do you use products of Yes BSL?

Sometime yes s

dont know

Which product you oftnly use of BSL?

Fabric

simple fabric and redaymad _ e garments of La Italia

Readymad e garments

Which fabric in simple PV fabric fabric you opt?

Why a particular product?

more oftnly pv but occassio naly special fabric too PV is apt for all condition s and special fabric is of good quality. _ Yes

pv and pw

any fabric

Opt for readymade garments

good quality and low rates

suitable to all climatic good condition quality s and low rates

good High quality in quality in low rates. low range

How do you rate the product? Are you satisfied with the products?

Fabric-1 Yes

_ Yes

fabric-1 and RMG- _ 2 Yes Yes

_ Yes

_ Yes

RMG_1 Yes

good quality

Any suggestions?

To enhance productio n od No readymad e garments

high producti on for BSL

No

No

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Questionnaire Which brand of fabric/readymade garments you prefer? Why a particular brand?

Mr.jain BSl

Mr.Joshi local

Mr.ratho Mr. re Mr.prteek nishant Grasim BSl Good quality within range Yes Any Brand

Mr.Nuwa l Mr. Naruka Mr. Manish Raymond not s specific high quality and brand name La Italia

Quality

Brand Reasonab name le and good quality sometime Yes s

reasonabl e and quality yes

Do you use products of Yes BSL?

Sometime yes s

dont know

Which product you oftnly use of BSL?

Fabric

simple fabric and redaymad _ e garments of La Italia

Readymad e garments

Which fabric in simple PV fabric fabric you opt?

Why a particular product?

more oftnly pv but occassio naly special fabric too PV is apt for all condition s and special fabric is of good quality. _ Yes

pv and pw

any fabric

Opt for readymade garments

good quality and low rates

suitable to all climatic good condition quality s and low rates

good High quality in quality in low rates. low range

How do you rate the product? Are you satisfied with the products?

Fabric-1 Yes

_ Yes

fabric-1 and RMG- _ 2 Yes Yes

_ Yes

_ Yes

RMG_1 Yes

good quality

Any suggestions?

To enhance productio n od No readymad e garments

high producti on for BSL

No

No

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After surveying and collection of primary data as well as secondary data many inferences about various products of the company can be drawn. Secondary Data inference: Year 2006-2007 Table S.No. 1.6 Products Qty Value(crores)

Fabric(Lac mtrs)

182.15

174.00

Readymade garments(No. of pcs) Yarns(Tons)

35387

1.15

207.78

4.95

Year 2007-2008 Table S.No 1.7 Products Qty Value(crores)

Fabric(Lac mtrs)

172.66

168.72

Readymade garments(No. of pcs) Yarns(Tons)

34947

1.31

385.49

6.63

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Year 2008-2009 Table S.No 1.8 Products Qty Value(crores)

Fabric(Lac mtrs)

154.93

173.76

Readymade garments(No. of pcs) Yarns(Tons)

33015

1.18

712.55

10.41

After analyzing the secondary data of the quantity and value of corresponding product in three consecutive years it can be easily demonstrated that: Fabric quantity is reducing with the years and value shows abrupt behavior because when production is low that time value was good and at high production value is comparatively low. When readymade garments are considered, their quantity is reduced with time and value also but shows somewhat abrupt behavior may be because of high demand or seasonal purchasing because like fabrics it also shows high value at low quantity. Case of yarn is different, unlike other products its production is increased with time and with production value also increases and it shows smooth growth in market although it is not for direct consumers and mostly used for business to business deals and it is showing good remarks. Thus after analyzing these data it can be concluded that except yarn both the other products are not doing well in the market because of various reasons the very first reason can be the low production (quantity) of the products or may be due to non availability of raw material can be a reason for low production and ultimately low value.

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Primary data inference: Primary data is collected by interviewing dealers/retailers and customers. Questionnaire is prepared and handed to them for this purpose. After analyzing all the answers given by various dealers and customers it can be concluded that BSL suitings is having good reputation in market specially in Rajasthan and local market i.e. Bhilwara but when its all over sales and figures are considered it is lagged behind by many other big and renowned suiting like Raymonds, Grasim etc. Dealers do keep fabric and readymade garments of BSL because of its low price and good quality and added to this is belief of people on it due to its local manufacturing unit. Dealers also get high margin because of local manufacturing unit transportation and many other charges get reduced and result is high margin for dealers which for other cases is somewhat lower. Good reputation in local market (Bhilwara) as well as in whole Rajasthan Nationally and globally it is weak player because of high competition and its low branding and promotion Good quality in low price and therefore suitable for middle class but also have material for upper middle and higher class. Low production also hampers its sales because it use Marino wool which is imported from Australia and so it takes lots of time and till than production is on hold Very less amount is spend on advertisements and in publication of companys calendar, key chains etc material which earlier was done, and it is one of the reason for its not very sound reputation in national market Sometimes customers have prejudices for particular product and so they prefer other companys product It needs aggressive marketing and branding Organic fabrics not doing well PV fabric is the one highly used by all class of people specially by middle class People prefer La Italia in readymade garments but due to lack of stock sales are low Other than PV, PW is other fabric used highly

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Sales of various fabrics of BSL in market: S.No 1.9

3.5

2.5

1.5

PV Fabric

PW Fabric

Specially treated farbric

Market share of BSL in domestic market (Rajasthan and Bhilwara): S.No 1.10

Sales
Other 11% Arvind 13% BSL 46%

Raymond's 30%

Chart 1.10 depicts the share of BSL and other companies in market. It shows the market share of company in domestic market. From this it is demonstrated that BSL have good market value in domestic market. 36

Market share of BSL in national market:

S.No.1.11

Sales

Others 26%

raymond's 21%

BSL 11% S.kumars 21%

Grasim 21%

Chart 1.11 shows market share of various companies including BSL in national market. Compared to market share at domestic level share is too low and many other big companies are in race and need to increase share at national level is required. From chart it is noted that Raymonds, Grasim and S.Kumars are having big market value and BSL is far behind to touch this value. While remained market is covered by other companies. From above data collected through surveys and through company brochures it can be demonstrated that company have good reputation and market share in domestic market but as far as national level considered it is lagged behind by many other companies. Its fabrics especially PV and PW is doing well in market but specially treated fabrics are no more in demand and its production is also nowadays on hold due to less demand and low promotion.

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CHAPTER 8 SUGGESTIONS

CHAPTER 8 SUGGESTIONS

After going through detailed study of the company, its working and many other procedures need some change for high production and market share. Though BSL is a big name in market as far as domestic market is considered due to its local manufacturing unit. It was the only unit of its time who produces different varieties of fabric and so have good name in market as well as goodwill because have done lots of work for society. In Bhilwara itself it has opened textile engineering college, also a hospital in Bhilwara and so it has goodwill in market. This is all about the company in domestic market, but at national market its footprint are not so remarkable and still trying to get well in national market. It is because of lot many reasons and those reasons are regularly overlooked by company and so their turnover is decreasing day by day. Few suggestions recommended to company are: Company is highly poor in publicity and promotional events Production of company is very low it should be increased Sometimes it introduces special fabrics for promotional events and stop it soon rather than continuing its production Its brand value is nowadays decreasing it should be enhanced by various marketing strategies It is restricted to middle class majorly and so measures should be taken to target high class also though it produces fabrics of high quality but due to lack of brand value high class people often prefer other brands like Raymonds etc Lack of aggressive marketing It is very well known brand globally and so it targets majorly global market and ultimately its attention is less on national market, this should not happen and equal attention should be paid It imports raw material and thus change in any government policies puts effect on prices of raw material and so production hampers this should be avoided by having some extra stock of raw materials for emergency

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Like expansion of spinning for just in time delivery for exports, expansion should also be done for national market Long term borrowings in Indian rupees avoid rate variation risks Company have imported machineries and all are well maintained this should be continued Company has stopped distributing calendars, key chains etc to their dealers/retailers which form good relationship with them Company way of dealing with dealers is not so effective Customers often get the same quality as BSL in local fabrics also and then they prefer local fabrics therefore quality should be more enhanced or something innovative should be introduced to be in market Above stated are few suggestions or company get its brand name more recognized in

national market because it is good both at local and global market, weak point is national market and that should be improved. Need of today is aggressive marketing and high branding techniques to make its name more recognizable. Publicity and promotion not only through paper media but also through electronic media is very important. Innovation in product and to keep that innovation on is another required thing. To improve turnover and brand value these suggestions should be followed.

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CHAPTER 9 LIMITATIONS OF STUDY

CHAPTER 9 LIMITAIONS OF STUDY While going through project, lots of limitations have occurred. Major constraints are in data collection. Limitations during data collection: Sampling size was one of the problem because large sample size compels to interview more number of people which is quite a difficult task and data collected after is not 100% correct While interviewing dealers and consumers, response they give not satisfactory and sometimes even they dont give any response Few consumers are ignorant about products and their quality which pose few problems in data collection but such customers are less While asking about problems related to various products with the company employees, they dont answer correct and clear because of obvious reasons Company employees are unaware about the companys share in market and competitors and such information is than gathered from internet Limitations during data analysis: In data analysis limitations are not much. Though very few problems arose which get easily resolved . Data entry was a problem because sample size is large enough and in that case entry of data in a proper way was a problem but get fixed easily Earlier data cleaning was an issue but with the progress of project it get resolved

Other than above stated no any limitations encountered and project run smooth.

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CHAPTER 10 CONCLUSUIN

CHAPTER 10 CONCLUSION Indian textile industry is swiftly moving towards growth. It is a sector which provides highest employment after agriculture. A government is positive and seeks high export aspects in this sector and laid down lot many favorable policies for its export. BSL is renowned name in textile sector. It is located in Bhilwara, Rajasthan. It was established in 1971 and was the first company who started production polyviscose fabric. With reference to S.No 1.2 (flowchart of product) it is concluded that BSL produces lot many products which includes fabric, yarns and readymade garments which further have many varieties of products. Like fabric have PV, PW, PC etc in readymade garments it have varieties for different occasions. BSL limited owns lot many brands which include BSL, La Italia, and Geoffrey Hammonds. These all brands are of different classes like BSL is preferred by middle class and lower class people where as Geoffrey Hammonds is for high class people whereas La Italia is readymade garment brand. Present scenario of company is different what is expected with it. General impression of present situation BSL after discussing with top authorities of marketing department is that the company is in pinch due to many reasons few of them are: Recession Strengthening of rupee against dollar Raw material prices Fierce competition domestically as well as globally Low exports

Concerned matter is position of products in market and measures to improve them. Study on this topic has revealed lot many facts and figures about variety of products launched by company for different target markets. Position of products in market is excellent in domestic market but nationally it is lagged behind by many other big companies. After interviewing and collecting primary data it is explored that which product of BSL is doing well in market and why and which product is required attention for sale in market.

41

After study it is revealed that company is facing lot many problems due to which its products in market are not doing well. Some of the problems are: Outdated stock Low productivity Dyeing problem and ultimately fabric wastage Low branding Wrong product positioning Pricing Sales of a particular product like polyester wool goes down due to misconception Low exports Copy of design Domestic and global competitors

Primary objective of report was research on products of company by surveying dealers, customers and company employees. This objective is fulfilled by interviewing concerned people like dealers, retailers and customers. With reference to table S.No 1.4(data from dealers) and S.No 1.5(data from customers) it is concluded that in an all at domestic level BSL have good brand value but still people prefers some other brands when comes to brand value but as far as pricing is concerned BSL is most preferred by customers and with reference to graph S.No 1.9 it can be concluded that: PV(fabric) is the most preferred product by customers because of low price and good quality along with no maintenance and it works well in all climatic conditions PW(fabric) follow PV in preferred fabric because of rich look of fabric but prejudices of customers that it is warm to wear in summer make it less sellable in summers though this is totally wrong Readymade garments are in high demand but its low production make things worse. La Italia is the brand in readymade garments and highly preferable brand and its production should be increased Specially treated fabrics was once introduced by company was also did well in market but its production suddenly stopped also these fabrics are more in cost due to its various organic properties so was affordable by high class people only Yarns are also one of the product of the company but not directly for customers and are for business purposes 42

Secondary Objectives of study are: To study problems related to products: Various problems are related with different products. PV in fabric is the one without problem , PW face problem of wrong assumption among customers due to its name polywool and they consider it only for winters Readymade garments face production problem though it have high demand in market Specially treated fabrics production is stopped due to restricted target market

To make company aware about product position: Other objective of report is to make company aware of its various product position. Company is still in dilemma about the position of various products in market and if they required publicity or branding for creating brand value. In nutshell it is all about what customers need and what company portrays its image for more customers. This objective is fulfilled by interviewing customers, dealers to know the positions of various products in market. Table S.No 1.4 and S.No 1.5 shows pros and cons of particular product.

T o make company known about demands of customers as well as dealers: What are the demands of customers and dealers/retailers company should be aware of it. While surveying and interviewing customers and dealers various positive and negative points of all the products of company has been noted so that company can look into those points for improvement of product and betterment of company. After querying dealers and customers their likes and dislikes are noted as well as which other brand they prefer and why they prefer that brand is explored and penned down to make company know about demands of customers.

43

Improvement in branding strategies: Company is good in aspects like quality, price, colour, pattern etc but then also its brand value is none in market therefore branding strategies should be inculcated into the system for creating brand name and to make people know about BSL. Earlier it was good but with time it get deteriorated and get restricted to paper media only but todays time is of electronic media and company can take advantage of social networking sites which are very popular nowadays.

Measures to improve product position in market: Regular market survey to know current market scenario Aggressive marketing of products Generation of brand value

Thus, above stated are secondary objective of project which was fulfilled to an extent and other measures should be taken by company to improve product position in market. Following are few points that can be concluded in nutshell: Company is doing good in domestic market but required to get proper attention in national market Company have good quality product but highly lagging in brand value Lack of aggressive marketing like various schemes etc Lack of publicity and promotion via electronic media and by use of various sites nowadays in trend Low production as happened with La Italia due to shortage of raw material More focus on global market It have good quality in low price which is highly acceptable by middle and upper middle class which cannot afford to buy other brands In nutshell BSL is a big company with turnover of 200 crores annually but can increase with aggressive marketing and branding techniques.

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ANNEXURE

ANNEXURE

MAGZINES: Apparel India, March 2010,Positive and negative of textiles, DFU Publications, Vol. 2 Apparel online, February 2009, Bhilwara: Biggest hub for polyster viscose fabric, DFU Publications Attire World, December 2009, New launchings ,Vol. 2, issue 6, Pg 30

WEBSITES: www.bsl.com www.apparelindia.com

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QUESTIONNAIRE: Dealer/Retailer questionnaire: Q) Which companys products (brands) you keep? Q) What are various ranges of products you keep? Q) Out of various brands which brand you prefer mostly and why? Q) Which companys products are doing well in market? Q) Why particular companys product is more popular? Q) What is the position of products of BSL? Q) Which product of BSL is mostly preferred and why? Q) Which product of BSL is not doing well in market and why? Q) Who is major competitor of BSL in market? Q) What measures company can take to improve product position in market? Customer Questionnaire: Q) Mention various brands of fabrics/readymade garments you prefer? Why? Q) Why you prefer particular brand? Q) Do you use products of BSL? Q) Which product of BSL you use often? Q) Which simple fabric you opt for? Q) Why a particular product? Q) How will you rate products of BSL? (1-excellent, 2-v.good, 3-good, 4-average, 5-poor) Q) Are you satisfied with the products of company? Q) Any suggestions about products?