Summer Training Project Report

ON

SALES & PROMOTIONAL ACTIVITIES FOR HOME PC’S

AND
LEAPTOP OF HCL INFOSYSTEM LIMITED

Submitted in partial fulfillment for the award of

Master of Business Administration
(Annamalai University, Chennai)
2008-2010

Under The Guidance

MR. AMIT KUMAR

Regional Sales Manager

Submitted By

SHANKAR LAL
MBA-1ST YEAR
ENROLMENT NO. 4740800090

THE NIS ACADEMY, AJMER (RAJ.)

(Affiliated To Annamalai University)
 PREFACE

In this era fast and unpredictable changes in every sphere of human existence

acclimatization of an individual to his working environment holds immense

importance. This is more to form the viewpoint of management education in

perspective of the fact that whole concept of business as well as technology

undergoing phenomenal developments. To cope-up with the complexity and the

uniqueness of the situation the need for in house training at various business

organizations for better insight up to management education can’t to be

overemphasized.

This had initiated the incorporation of such training schedules in most of the

management education and development programs of today.

through canopies, road shows special events in schools, college and

institutes, special discount offer & EPP activity and influencing the customers

because these are the most important activity which Influences the buying

behavior of customers. The study was conducted for the period of two-month .An

attempt is being made to give a precise, comprehensive and graphs, tables are

made to facilitate the understanding of the subject matter.

 Acknowledgment

I sincerely thank to my Internal Guide Ms. Surbhi Sharma, Faculty, NIS

Academy, Ajmer for providing me an opportunity to work as a summer trainee

with HCL INFOSYSTEMS LTD. The training was part of my course curriculum

and it has brought immense changes in my overall personality.

I want to thank to Mr. Amit Kumar (Regional Sales Manager, HCL

INFOSYSTEMS LTD.), my supervisor, for his valuable advice and kind support,

without which I would not be able to complete this project successfully. Mr. Amit

Kumar motivated me at every step of my training and clears all my conflicts by

stealing time from his own busy schedule.

SHANKAR LAL

2
 EXECUTIVE SUMMARY
HCL Info systems Limited is India's premier information enabling company. HCL

is the one-stop-shop for requirements of products & services in the areas of

Computers, Laptops, Servers, Storage, Enterprise Networking, Copiers, Digital

Projectors & Communication Devices. This is backed by HCL's service support

infrastructure - the widest in the country.

In a country like ours, the price point of a product is a critical factor. The cut in

excise duty and SAD (Special Additional Duty) has brought down the price of

PCs in the country, making it more affordable to the ever-growing middle class,

leading to a higher PC penetration. In addition, the price reduction by the

organized sector will help combat the grey market. The consumer prefers a

branded PC, which comes with the assurance of quality and long-term customer

service.HCL Info systems Limited, as usual, has been first to pass on the benefit

of duty reduction to it’s consumers by an appropriate reduction in PC prices

under the brand name HCL Ezeebee and Beanstalk within few days they have

expended their Distribution Channel to cater to the dramatic increase in

customer demand for its desktop PC In LUCKNOW region.

During my summer I had been indulged with promotion activities of HCL ezeebee

it includes paper inserts, road shows, special events, carnivals, newspaper

advertisement as well as I was focusing sales too.Apart from it I was also

studying the behavior of consumer.I have done competitor analysis also.

3
 CONTENTS

S. Description
No.
1 Introduction
2 Industry profile
3 Company profile
4 Importance of the study
5 Objective of research
6 Literature review
7 Research methodology
8 Data analysis & interpretation
9 Conclusion
10 Recommendation and suggestion
11 Limitation of the study
12 References
13 Appendix(Questionnaire)

4
 LIST OF TABLE

S. Description
No.
1
Market share of top five player in PC market
2 Problem of channel partner

3 Product and poster display in channel partner

4 Effect of product and poster display

5 Effect of catalogue

6
Purchasing affecting factor

5
 LIST OF GRAPH
Description
S.

No.
1
Market share
2
Problem of channel partner

3 channel partner

4 Scheme to consumer

5 Effect of product and poster display

6 Effect of catalogue

7
Market Potential for Ezeebee

8
Promotional activities which more effective

9
Comparison between branded & assembled computers

10 Branded players in PC

11
Affecting factor when purchasing

INTRODUCTION

6
IT industry can be segmented into hardware, software and training. Hardware has little

synergy with software and very few companies are engaged in both activities. Even

where hardware companies provide ‘total solution’, software is typically off the shelf

software developed by specialized software companies. IBM’s acquisition of lotus is

one of the few exceptions to this case. Characteristics and market requirement of both

the segments are vastly different.

Software and training have a unique, but limited synergy between themselves.

Training provides software development helps to develop better training inputs. It is

therefore quite common to find a single company offering software services/products

and training.

HARDWARE

Computer Hardware Company further segmented into

• Complete systems like mainframes, workstations, personal computer etc.

• Peripherals like printer, modem, T.V. tuners, digitizer etc., and

• Consumables like cables, wires, switches etc.

Mostly hardware is solid like a commodity – there is very little differentiation in

terms of capabilities and performance. No single company manufactures the entire

system on its own. Each company produces one or two basic parts, which are

assembled together and solid as a complete system. Several regions/ companies

have emerged as leaders for various products. Examples are Intel for

microprocessor chips, Malaysian and Taiwanese companies for printed circuit

boards and other electronic parts and so on.

SOFTWARE

7
Software industry can be segregated into services and products. Services would

include body shopping, data processing, programming services etc where revenue

is generated on the basis of time spent (time & material) or on the basis of

negotiated contract price (fixed price). Software products could be niche products

or mass-market products-systems software, and application software.

TRAINING

The domestic training segment has a fairly large number of scattered players.

However, the top two (NIIT & APTECH) control around 70% of the market, which is

estimated at around Rs.9.1bn. revenues are seasonal in nature, as 90% of it

comes from individual training, and enrollment peaks during summer vacations.

The key to profits is reducing idle time of computers and tutors, which is generally

around 25-30%. Training institutes are perceived as high priced of low quality

(barring a few top players). In spite of this, the segment grew by 38% in FY99,

driving by emerging career opportunities for high-end software packages and

increasing penetration of computers.

PERSONNEL COMPUTER

With IBM selling off its PC business, the world PC market is headed for

a major shake-up. China’s Lenovo Group, which bought the business from IBM for

$1.25 billion plus assuming $500 million IBM debt, with this single move, is set to

become the world’s third largest PC maker.

IBM’s selling off of the PC business to concentrate on services and support marks

the end of an era, as it was Big Blue, which pioneered the PC movement.

Who made the first PC?

8
Though some computers were made before IBM’s personal computer, it was the

latter which made the device an item for mass consumption.

According to a Reuters report, the MITS Altair was introduced in the January 1975

issue of Popular Electronics as a home construction kit. But is caught the fancy of

hobbyists who began building rudimentary "home computers”.

In 1976, Steve Wozniak and Steve Jobs introduce Apple I, which was an open

circuit board bolted together in a wooden case and which reportedly sold for

$666.66. Apple Computer was incorporated the following year.

It was in 1981 that IBM unveiled the personal computer, the IBM-PC model 5150. It

was this machine that helped set the standard for personal computers and went on

sale on a mass scale.

That same year, British technical publisher Adam Osborne introduced the first

popular "portable computer" weighing 23.5 pounds that came pre-installed with a

bundle of software. However, the company went bankrupt in 1983.

In 1982, Compaq was founded and it introduced the Compaq Portable, the first

IBM-compatible PC, a 28-pound machine the size of a sewing machine.

In 1982 again, typewriter-maker Olivetti of Italy introduced its first personal

computer, the M20. In 1983, Michael Dell, a first-year student in the University of

Texas, founded Dell Computer in his college dormitory room.

What is the state of the world PC market today?

9
IDC forecasts say that worldwide PC shipments will grow by 10.1 per cent to 195.1

million in 2005, a year in which the global economy is expected to face a

slowdown. That compares with a growth expected to come in at 14.5 per cent this

year with a shipment forecast of 177.2 million units. The growth rate was 11.9 per

cent in 2003 and 1.9 per cent in 2002.

That sector is expected to post 11.3 per cent growth in PC shipments next year

compared with consumer growth rates of eight per cent worldwide and just 5.1 per

cent in the United States. In the third quarter, growth in worldwide consumer PC

shipments slipped to less than eight per cent, down from a peak of more than 25

per cent in the year-ago quarter.

Gartner forecasts PC unit growth to average 5.7 per cent annually from

2006through 2008, compared with average growth of 11.3 per cent from 2003

through 2005.

10
 INDUSTRY PROFILE

The Indian pc market has three tiered structure multinational companies, domestic

vendors and the local assemblers. The assembled PCs dominate the market with

volume market share of 50% and rest of the shares taken by MNC & Domestic

vendors.

What is the state of the world PC market today?

IDC forecasts say that worldwide PC shipments will grow by 10.1 per cent to 195.1

million in 2005, a year in which the global economy is expected to face a slowdown.

That compares with a growth expected to come in at 14.5 per cent this year with a

shipment forecast of 177.2 million units. The growth rate was 11.9 per cent in 2003

and 1.9 per cent in 2002.

That sector is expected to post 11.3 per cent growth in PC shipments next year

compared with consumer growth rates of eight per cent worldwide and just 5.1 per

cent in the United States. In the third quarter, growth in worldwide consumer PC

shipments slipped to less than eight per cent, down from a peak of more than 25 per

cent in the year-ago quarter.

Gartner forecasts PC unit growth to average 5.7 per cent annually from 2006 through

2008, compared with average growth of 11.3 per cent from 2003 through 2005.

What is the state of the Indian PC market?

11
A PTI report quoting IDC India says that the Indian PC market grew by an impressive

32 per cent in the first half of fiscal 2005-06 as compared to 18 per cent during the

corresponding period last year with HP topping the list with 15 per cent market share,

according to IT research firm IDC India.

The total shipments inclusive of all form factors (desktops, notebooks and x86

servers) stood at 17 lakh units in the first six months of the current fiscal as against 13

lakh units during the same period in the previous year.

The overall top five vendor rankings remained unchanged in first six months of 2004-

05 as compared to the first half of the previous fiscal, with HP maintaining the

leadership position with 15 per cent share of the total unit shipments in the market.

HCL followed with 12 per cent share while IBM was at the third position with eight per

cent. Dell and Zenith rounded out the top five in that order.

Total desktop shipments in the first half stood at 16 lakh units, up by 29 per cent year-

on-year. Consumer desktop shipments posted an impressive performance, growing

faster at 31 per cent, as compared to commercial desktops that grew by 27 per cent

during the period.

Things are only likely to get better once the WTO regime is introduced in India in early

2005, according to the PTI report. Though a wait-and-see approach in purchases is

likely to result in a softer second half in anticipation of the WTO regime

implementation, strong activity will drive the PC market upward in 2005-06.

Why did IBM sell its PC business?

12
 IBM had good reasons to exit the PC business. The company, says an AP report, had

outsourced most of its manufacturing years ago, selling the last PC plants it owned

alone in 2003. Since their introduction, its PCs used a Microsoft operating system and

Intel chips. The only thing that made them unique was their design, and that wasn't

enough to let IBM set above-market prices.

IBM CEO Sam Palmisano said in an e-mail to employees that IBM was getting out of

the PC business because it had become too much like consumer electronics, which

relies heavily on

individual consumers and depends on economies of scale.

Taking PCs off the books will be “a huge benefit to their profitability”, Promisel said of

IBM.

Returns for IBM's PC business are at the low end of the industry, the AP report

quoted Morgan Stanley analyst Rebecca Rankle .

According to Goldman Sachs, IBM's PC business is projected to have a pretax profit

margin of 0.5 per cent in the third quarter of the company's 2006 fiscal year. Most grocery

chains, which set the standard for low margins, do better than that, points out the A

report.

Is the IBM-Lenovo deal the first major case in the global PC market?

13
No. The churn in the PC industry had begun quite sometime back as a number of

players emerged in the global market. Analysts expect consolidation to be the name of

the game in this industry.

In 1994, Commodore, a PC maker since the late 1970s, filed for bankruptcy.

In 1996, another PC maker, Digital Equipment Corporation (DEC) exited the consumer

desktop PC market.

That same year, Packard Bell Electronics merged with Zenith Data Systems, a part of

a $650-million deal with NEC of Japan and Group Bull of France. Once the No. 2

maker of PCs for the US consumer market, Packard Bell dropped out in 1999. It

remains a major brand in Europe, according to a Reuters report.

Two years later, in 1998, Compaq acquired DEC. But it soon discontinued with DEC

PC lines in favour of Compaq models.

In 2002, Compaq itself was acquired by HP after a vigorous shareholder battle.

14
And, earlier this year, Gateway acquired eMachines in a deal valued at $266 million in

cash and stock.

According to a Reuters report, IBM's exit from the PC hardware sector will step up

pressure on Toshiba, the sixth-biggest personal computer maker, to lower its

computer division's costs or jettison the unprofitable business, analysts said.

The Japanese firm was struggling to turn around the division even before IBM

announced the sale of its PC operation to China's largest computer company, Lenovo

Group.

However, some industry watchers believe Toshiba, ranked third by laptop sales, could

benefit if IBM's "Thinkpad" range of portables loses its lustre under Lenovo's

ownership

. According to another Reuters report from Seattle, Hewlett-Packard will also be under

pressure to sell its personal computer business after IBM's decision but analysts said

the No. 2 computer maker would hold on to its $25-billion PC division for now.

“HP is now on the spot to show why their PC business is a strategic part of the

company,'' said Martin Reynolds, analyst at Gartner Research.

HP, like IBM, has built its business in the last several years by offering large

companies PC hardware as well as consulting services, serving as a one-stop-shop

for information technology systems

So, who leads the world PC market now?

15
According to Gartner, Dell is the leader in PCs globally as of now. In the period from

January to September, 2004, it had 16.4 per cent of the global market.

Hewlett-Packard comes second with a share of 13.9 per cent.

Till its deal with Lenovo is completed, IBM stands third with 5.2 per cent. It was once

the leader. And now, it has only 5.2 per cent of the market.

Following IBM are Jaoan’s Fujitsu/Fujitsu Siemens (3.8 per cent), Taiwan’s Acer (3.2

per cent), Toshiba (3.2 per cent), NEC (2.6 per cent), Gateway (2.2 per cent), Lenovo

(two per cent) and Apple (1.9 per cent).

After having signed the IBM deal, Lenovo is now poised to take up the third slot.

MARKET SHARE PC market shares 2004-2005

ASSEMBLER 50%
MNC BRAND 30%
INDIAN BRANDS 20%

MARKET SHARE OF TOP FIVE PLAYERS IN THE PC MARKET

16
 MARKET SHARE

HP
HCL
IBM
4% 6%
5% ZENITH
8% DELL

OTHERS
ASSEMBLERS
12%

50%

TOP VENDORS15% MARKET SHARE

HP 15%
HCL 12%
IBM 8%
ZENITH 5%
DELL 4%
OTHERS 6%

17
 KEY PLAYERS IN THE INDUSTRY

Zenith Computers Ltd

Zenith Computers Ltd. & Zenith InfoTech Ltd. Have been promoted by Mr.Rajkumar

Saraf. In 1980, he promoted Zenith Computers Ltd.

with the objective of manufacturing, installing and servicing computer systems

He has over 20 years of experience in the electronics and computer industry He has

also been responsible for introducing pioneering technologies into India, such as

networking technology, notebook computers and Unix based computers

Zenith was marginally behind HCL in the home segment with the market share of 5%

as compared to HCL’s 12.0%. Zenith has always sold on the platform of price. Its

tagline ‘MNC quality, Indian prices ‘ targets buyers who are price sensitive but are

looking for reliable, branded PC. Thus, it is operating in the narrow price band

between assembled PC’s and lower end brands.

Zenith manages to keep its prices low by controlling overheads & manufacturing costs

and having shot term purchase plan for components, which gives it more flexibility and

better rates.

HP & COMPAQ INDIA

In 1993, vectra was the first foreign PC to be marketed in India. However, its JV with

HCL ran into trouble and HP reentered the Indian PC market in early 1998. By that

time, IBM and Compaq had entered and established their brands at the premium end.

18
HP immediately made a dent into the market through its attractive priced PC’s bundled

with peripherals.Since then, both HP and Compaq have been engaged in a relent less

price war to woo the homebuyer. According to IDC, HP had moved up to be the NO.2

brand behind HCL in 2001.

In 2002 HP had merge up with Compaq India. Now the HP and Compaq is the

same company producing the PC, s. But HP has different unit for peripherals.

COMPAQ

The world’s largest seller of PCs entered India in 1994. Initially, the commercial

segment (large corporations, government, educational & research institutions) was its

main target segment. But with recession in the economy in mid 1990’s and

consequent slashing of IT budget of corporate, it turned its attention to the home

segment. However, it soon it realized that its PC’s although perceived well on

reliability and quality, were considered too expensive. The assemblers and Indian

brands were cornering a major chunk of the market. It slashed prices of its sub brand

Presario from 65000 to 50000 to penetrate into the price conscious Indian house

holds.

At the same time, Compaq is aggressively going after corporate segment by offering a

range of product tailored around services to meet specific needs. Its merger with

digital equipment further strengthened its in high end server market.

Now HP+COMPAQ is the top vendor in terms of value-15% of the market, far ahead

of HCL’s 12%. Compaq has more then 200 retail stores in 60 cities.

19
IBM INDIA

IBM reentered through a joint venture with TATA’s. However, two split in 1999 to chart

separate paths in 1999. IBM has concentrated on being a solution provider to medium

and large business unlike HP COMPAQ who are vigorously chasing the household

buyer.

In 2000, it had a value share of 7.7%. This can be attributed to its high products. In

portables, it was the second largest selling brand after Compaq. IBM has

manufacturing base in Pondicherry, which it intends to use as an export hub. It has

more then 200 dealers in 48 cities.

ASSEMBLERS

Having the market share of 50% assemblers are the greatest competitors of HCL.

The assemblers’ dominance can be attributed to their lower price as compared to the

branded players. A branded PC with better configuration will cost any thing between

25,000 and 30,000.While assembled PC with the same configuration can be obtained

for 20,000 to 22,000. Its not big difference but Indian market is price conscious rather

then quality conscious. That’s why assemblers enjoying the market but time are near

when assembling market will goes down.

The branded player find it difficult to match their price because of more man power

and overhead cost and the duties they have to pay on components most of which are

imported. In year 2001-2002 branded PC cost was around 40,000 to 50,000. but due

to deduction in duties and taxes now the cost is near to assemblers.

20
In 2000-2002 assembler had taken near about 58% market share. It is believed that

many assemblers are able to price their PC’s low by using the unofficial channel of

imports, compromising the quality of inputs, evading excise duties and loading pirated

software.

Assembler’s score over branded PC’s on many other aspects too. They give choice

and flexibility to end user in selecting a PC and its components, be it processors, hard

disks, monitors, cabinets, keyboards & multimedia kits etc. the user get to choose

what is best suited for his requirement and budget. It is simple and inexpensive to

upgrade the assembled machine while in case of branded one; one has to pay much

more. Also, assemblers have advantage of interacting with clients

On a personal basis, which allows them to understand their requirement very clearly

and fulfill them satisfactory. And, assemblers provides the satisfactory service to their

customers then branded vendors They play the role of personal tutor to their

customers by training them in the basics of PC’S, there by building long term

relationships. In fact, their entire business is promoted through word of mouth publicity

and personal contacts.

21
Mindia is saluting the prowess of the Indian mind. Mindia is HCL's humble

acknowledgement of the achievements of the great Indian mind. Mindia is apt

manifestation of basic feeling that binds all Indians together, that of being "Proud to

be an Indian".

Mindia is saluting the prowess of the Indian mind. Mindia is HCL's humble

acknowledgement of the achievements of the great Indian mind. Mindia is apt

manifestation of basic feeling that binds all Indians together, that of being "Proud to

be an Indian".

Mindia ™

Being an Indian is more than just an acknowledgement of our nationality, our

race or color of our skin. Being an Indian is a state of mind.

The Indian mind.

Mindia is a tribute to that single quality that binds all Indians together. Mindia is

saluting the prowess of the Indian mind and its great achievements against all

odds. Indian mind is all about finding solutions where none seem to exist, and

that is what today makes us a strong nation that has risen above its problems

and limitations.

22
We are today one of the fastest growing economies of the world. Today, India is

globally recognized as a force to be reckoned with in all fields of technology, from

medicine to Information Technology. The remarkable prowess of the Indian

Minds has undoubtedly proven that a third world country can have a first rate

mind.

It is this great Indian mind that we, at HCL salute today. And it is this Indian mind

that has brought us where we are today as a successful Company. We have over

the years made our humble contribution in unearthing and developing the great

potential of the Indian mind. In fact, HCL is the only Indian Organization to have

successfully straddled and made a mark in all the core areas of IT.

Mindia has taken us to ever greater heights in every field. We have taken on, and

bettered, the best in the world, and we certainly believe that the Indian Mind shall

continue to script our success in the years to come.

The following pages bear few examples, which illustrate how mindia has the

ability to overcome every impediment in its way.

We believe in mindia and are proud to be Indian.

23
 COMPANY PROFILE

HCL INFOSYSTEMS LIMITED LTD.

HCL Infosystems Limited is India's premier information enabling company.

Leveraging its 30 years of expertise in total technology solutions, HCL

Infosystems Limited offers value-added services in key areas such as system

integration, networking consultancy and a wide range of support services.

HCL Infosystems Limited is among the leading players in all the segments

comprising the domestic IT products, solutions and related services, which

include PCs, servers, networking products, imaging & communication products.

Continuously meeting the ever increasing customer expectations and

applications, its focus on integrated enterprise solutions has strengthened the

HCL Infosystems Limited' capabilities in supporting installation types ranging

from single to large, multi-location, multi-vendor & multi-platform spread across

India.

24
 HCL Info systems Limited, today has a direct support force of over 2000+

members, is operational at 300+ locations across the country and is the largest

such human resource of its kind in the IT business. A majority of the team

members have been specially trained in a variety of supporting solutions, the

company's key focus area.

HCL Infosystems Limited' manufacturing facilities are ISO 9001 - 2000 & ISO

14001 certified and adhere to stringent quality standards and global processes.

With the largest installed PC base in the country, four indigenously developed

and manufactured PC brands - 'Infiniti', 'Busybee' 'Beanstalk' and 'Ezeebee' - and

its robust manufacturing facilities; HCL Infosystems Limited aims to further

leverage its dominance in the PC market. It has been consistently rated as Top

player in PC industry by IDC .The 'Infiniti' line of business computing products is

incorporated with leading edge products from world leaders such as Intel. A fully

integrated and business-ready family of servers and workstations, the 'Infiniti

Global Line' is targeted at medium and large companies to help them to manage

their enterprise-related applications. It has considerable dominance in verticals

like Finance, Government, and Education & Research.

The Channel Business of HCL Infosystems Limited has an extensive network of

over 2500+ resellers across 300 locations. It has actively promoted the

penetration of PCs in the home and the small office/home office (SOHO)

segments, through Beanstalk, Ezeebee & Busybee PCs and Toshiba Laptops.

HCL Infosystems Limited has two focused business units.

25
While HCL Infosystems Limited concentrates on the IT products, solutions and

related services business, HCL InfiNet focuses on the rapidly growing

communication and imaging products, solutions and services industry.

HCL InfiNet, with a presence in more that 35 cities, has the ability to service

around 250 cities in its catchments area. It provides corporate networking

services like Virtual Private Network, Broadband Internet Access, Hosting & Co-

location services, designing & deploying Disaster Recovery Solutions & Business

Continuity solution, Application Services, Managed Security Services & NOC

Services over its state-of-the-art IP network to over 200 corporate. With the

Office Automation (OA) Division being part of it, HCL InfiNet now has an

exclusive sales and support partnership with Toshiba Corporation, Japan, for its

photocopier products. The product portfolio covers a range of other office

automation and communication products through alliances with world leaders -

including Duprinters from Duplo, data projectors from InFocus,

Telecommunication solutions from Samsung and Ericsson and mobile

communication products from Nokia. HCL Infinet Ltd. has a strong and dedicated

retail network of Nokia Professional Centers, Nokia Priority Dealers and Re-

distribution Stockiest across the country.

HCL has closely seen the IT industry rise from scratch, and has actively

participated in its progress. During the twenty-eight year journey, it has picked up

valuable lessons in serving the IT needs of the Indian customer and gathered

domain expertise to successfully service various businesses.

26
As a leading information enabler, HCL Infosystems Limited has long standing

relationships with world technology leaders such as SUN for enterprise

computing solutions, Intel and AMD for PCs & PC Servers; Microsoft, Novell and

SCO for operating systems and software solutions; Toshiba Corp. for business

automation equipment; SAP AG for specialist ERP solutions; and Oracle, Sybase

and Informix for RDBMS platform, EMC, Veritas for storage solutions. The aim is

to straddle the entire landscape of information enabling technology far more

HCL Infosystems Limited Ltd is one of the pioneers in the Indian IT

market , with its origins in 1976. For over quarter of a century, we
have developed and implemented solutions for multiple market
segments, across a range of technologies in India. We have been in
the forefront in introducing new technologies and solutions. The
highlights of the HCL saga are summarized below:

comprehensively, effectively and competitively. Indeed, a vision to create

enterprises of tomorrow.

27
28
YEAR HIGHLIGHTS

1976 - Foundation of the Company laid

- Introduces microcomputer-based programmable calculators with
wide acceptance in the scientific / education community
1977 - Launch of the first microcomputer-based commercial computer
with a ROM -based Basic interpreter
- Unavailability of programming skills with customers results in
HCL developing bespoke applications for their customers
1978 - Initiation of application development in diverse segments such
as textiles, sugar, paper, cement , transport
1980 - Formation of Far East Computers Ltd., a pioneer in the
Singapore IT market, for SI (System Integration) solutions
1981 - Software Export Division formed at Chennai to support the
bespoke application development needs of Singapore
1983 - HCL launches an aggressive advertisement campaign with the
theme ' even a typist can operate' to make the usage of
computers popular in the SME (Small & Medium Enterprises)
segment. This proposition involved menu-based applications for
the first time, to increase ease of operations. The response to the
advertisement was phenomenal.

- HCL develops special program generators to speed up the

development of applications
1985 - Bank trade unions allow computerization in banks. However, a
computer can only run one application such as Savings Bank,
Current account,Loansetc.

- HCL sets up core team to develop the required software - ALPM

( Advanced Ledger Posting Machines) . The team uses reusable
code to reduce development efforts and produce more reliable
code. ALPM becomes 29
the largest selling software product in
Indian banks
GUIDING PRINCIPLES

30
 VISION AND MISSION

VISION-STATEMENT
"Together we create the enterprises of tomorrow"

MISSION-STATEMENT
"To provide world-class information technology solutions and
services to enable our customers to serve their customers
better"

QUALITY POLICY

"We deliver defect-free products, services and solutions to meet the

requirements of our external and internal customers, the first time, every time"

OUR OBJECTIVES

OUR MANAGEMENT OBJECTIVES

To fuel initiative and foster activity by allowing individuals freedom of action and

innovation in attaining defined objectives.

OUR PEOPLE OBJECTIVES

To help people in HCL Info systems Limited Ltd. share in the company's

successes, which they make possible; to provide job security based on their

performance; to rec ognize their individual achievements; and help them gain a

sense of satisfaction and accomplishment from their work.

CORE VALUES

31
• We shall uphold the dignity of the individual
• We shall honor all commitments
• We shall be committed to Quality, Innovation and Growth in every

endeavor
• We shall be responsible corporate citizens

Alliances & Partnerships

32
 To provide world-class solutions and services to all our
customers, we have formed Alliances and Partnerships with
leading IT companies worldwide.

HCL Info systems Limited has alliances with global technology

leaders like Intel, AMD, Microsoft, Bull, Toshiba, Nokia, Sun
Microsystems, Ericsson, NVIDIA, SAP, Scan soft, SCO, EMC,
Verities, Citrix, CISCO, Oracle, Computer Associates, Red Hat,
In focus, Duplo, Samsung and Novell.

These alliances on one hand give us access to best technology & products as

well enhancing our understanding of the latest in technology. On the other hand

they enhance our product portfolio, and enable us to be one stop shop for our

customers.

33
 HCL & Nokia decide on longer term strategy to further penetrate Indian market

Gist of Q&A with callers/ investors/ shareholders on the announcement relating to

the long term Agreement with Nokia
Toshiba in partnership with HCL Infosystems Limited expands its retail presence in
India by unveiling 'shopToshiba'
HCL forms a strategic alliance with Bull to launch a new range of Scalable
Enterprise Class Servers on Open Architecture
AMD & IT Ministry unveil affordable computer to promote 50x15 vision in India.
HCL Info systems Limited ( HCLI) draws it's strength from 29 years
of experience in handling the ever changing IT scenario , strong
customer relationships , ability to provide the cutting edge technology
at best-value-for-money and on top of it , an excellent service &
support infrastructure
.

Today HCL is country's premier information enabling company. It

offers one-stop-shop convenience to its diverse customers having an
equally diverse set of requirements.
Be it a large multi-location enterprise, or a small/medium enterprise,
or a small office or a home, HCLI has a product range, sales &
support capability to service the needs of the customer.

Recent Updates:

Last 29 years apart from knowledge & experience have also given us continuity

in relationship with the customers, thereby increasing the customer confidence in

us.

34
Our strengths can be summarized as:

-Ability to understand customer's business and offer right technology

-Long standing relationship with customers

-Pan India support & service infrastructure

-Best-vale-for-money offerings

Technology Leadership

HCL Info systems Limited is known to be the harbinger of technology in the

country. Right from our inception we have attempted to pioneer the technology

introductions in the country either through our R&D or through partnerships with

the world technology leaders.

Using our own R&D we have

-Created our own UNIX & RDBMS capability (in 80s)

-developed firewalls for enterprise & personal system security

-launched our own range of enterprise storage products

-launched our own range of networking products

We strive to understand the technology from the view of supporting it post

installation as well. This is one of the key ingredients that go into our strategic

advantage.

HCL Infosystems Limited has to its claim several technology pioneering

initiatives. Some of them are:

35
--Country's first Desktop PC - BusyBee in 1985

-Country's first branded home PC - Beanstalk in 1995

-Country's first Pentium 4 based PC at sub 40k price point

-Country's first Media Center PC

QUALITY

36
 Philosophy of Quality

"We deliver defect-free products, services and solutions to

meet the requirements of our external and internal
customers, the first time, every time."

To exist as a market leader in a globally competitive

marketplace, organizations need to adopt and implement a
continuous improvement-based quality policy.

One of the key elements to HCL's success is its never-ending pursuit of superior

quality in all its endeavors. HCL INFOSYSTEMS LIMITED believes in the Total

Quality Management philosophy as a means for continuous improvement, total

employee participation in quality improvement and customer satisfaction. Its

concept of quality addresses people, processes and products. Over the last 20

years, we have adapted to newer and better Quality standards that helped us

effectively tie Quality with Business Goals, leading to customer and employee

satisfaction.

QUALITY AT HCL INFOSYSTEMS LIMITED LTD

The history of structured quality implementation in HCL Infosystems Limited

began in the late 1980s with the focus on improving quality of its products by

using basis QC tools and Failure Reporting and Corrective Active Systems

(FRACAS). We also employed concurrent engineering practices including design

reviews, and rigorous reliability tests to uncover latent design defects. In the early

90s, the focus was not merely on the quality of products but also the process

quality systems. Our manufacturing unit at NOIDA was certified initially to ISO

37
9002:1994 by BVQI in 1994 and later on to ISO 9001:1994 in 1997. As of now,

all our manufacturing units are certified by BVQI as per ISO 9001:2000

In early 1995, a major quality initiative was launched across the company based

on Philip B. Crosby's methodology of QIPM (Quality Improvement Process

Management). This model was selected to because it considered the need and

commitment by an organization to improve but more importantly, the individual's

need towards better quality in his personal life.

Under our Quality Education System program, we train our employees on the

basic concepts and tools of quality. A number of improvement projects have

been undertaken by our employees, whereby process deficiencies and

bottlenecks are identified, and Corrective Action Projects (CAPs) are undertaken.

This reduces defect rates and improves cycle times in various processes,

including personal quality.

We have received Maid’s 'Level II recognition for Business Excellence' for our

initiatives in the Information Technology Industry, adding another commendation

to our fold. Maid’s Level II recognition is based on the 'European Foundation for

Quality Management' (EFQM), for gaining quality leadership and business

competitiveness.

Our certifications / awards in 2003 include ISO 9001-2000 by BVQI for our Info

Structure Services and award of First Prize by ELCINA (Electronic Component

Industries Association) for Quality, 2002-03. The ELCINA award criteria consider

38
two aspects. (1) Enablers (Leadership & Management commitment, Resource

Management, Product Realization, Measurement Analysis & Improvement) and

Results (Product Quality, Customer / Stake holder satisfaction , Business

results).

The tryst for continuous quality improvement is never-ending in HCL Infosystems

Limited. We always strive to maintain high quality standards, which help us fulfill

our mission to provide world-class information technology solutions and services,

to enable our customers to serve their customers better.

COMPANY ACHIVEMENTS

HCL Info systems Limited (HCL Insets), India's premier Information enabling

company, today touched yet another milestone, when it crossed USD 1 billion in

revenue in just nine months according to its un-audited results for the quarter

ended March 31, 2005 that were announced today.

The company has reported a consolidated revenue of Rs 2011.8 crores

(USD446.6 Mn) during the quarter ended March 31, 2005 as against Rs 1192.5

39
corers (USD264.7 Mn) in the corresponding quarter of the previous year, a

growth of 69%.

Profit before tax is reported at Rs 83.1 corers (USD18.4 Mn) as against Rs 65.6

corers (USD14.6 Mn) in the corresponding quarter of the previous year, a growth

of 27%.

Revenue from the Computer Systems business is Rs 537.0 corers (USD119.2

Mn) as against Rs 424.1 corers (USD94.1 Mn) in the corresponding quarter of

the previous year, a growth of 27%. Profit before interest and taxes is at Rs 43.0

corers (USD9.5 Mn) as against Rs 40.0 corers (USD8.9 Mn) in the corresponding

quarter of the previous year, a growth of 8%.

Revenue from the Office Automation and Telecommunication business is Rs

1466.8 crores (USD325.6 Mn) as against Rs 764.0 crores (USD169.6 Mn) in the

corresponding quarter of the previous year, a growth of 92%. Profit before

interest and taxes is at Rs 38.7 crores (USD8.6 Mn) as against Rs 23.7 crores

(USD5.3 Mn) in the corresponding quarter of the previous year, a growth of 63%.

Consolidated EPS for the quarter is Rs 19.7 (USD0.4) per share.

The company has reported a consolidated revenue of Rs 5586.1 crores

(USD1240.0 Mn) during the nine months ended March 31, 2005. Profit before tax

is reported at Rs 220.1 crores (USD48.9 Mn).

The Board of Directors has recommended the sub-division of the Company's

equity share of Rs 10/- each into 5 equity shares of Rs 2/- each, subject to the

approval of the shareholders through a postal ballot.

40
The Board of Directors has declared a third quarterly Interim dividend of Rs

7/- per share (70% on an equity share of par value of Rs. 10/- each).

Conversion rate 1US$ = 45.05 INR

"Our results speak for themselves. Even as our revenues exceed a record USD 1

billion in just nine months, what is more gratifying is seeing the immense hard

work put in by every HCL employee translate into the phenomenal growth of the

company," said Mr. Ajai Chowdhry, Chairman and CEO, HCL Infosystems

Limited. "Our leadership position in both the enterprise and consumer segment is

a result of our continued focus in technology and enhancing service offers to

consumers. Our strategy of taking IT to the masses by exploring new territories

has also contributed to our growth .I also wish to thank our partners like Intel,

Toshiba, Nokia, AMD and Microsoft in helping us cross this milestone".

HCL Info systems Limited maintained its number one position in the Desktop PC

segment for the year 2004. According to the recent IDC report, HCL leads the

market ahead of the MNCs, with a market share of 13.7 %, up from 9.2% last

year. In consumer PC segment HCL led the tally, it's market share increased to

12.8% in 2004 , clocking an annual growth of over 250%. In commercial PC

segment also HCL was number one and increased it's market share to 14.2% in

2004, up from 11.2% in 2003. Thus making HCL the most preferred PC brand in

both commercial and consumer segment.

41
Earlier this year HCL broke the price barrier yet again, making branded PCs

more affordable than ever before. The company announced the launch of a new

PC 'Ezeebee' Pride that is available at a very affordable price of Rs 12,990. The

company now has the most extensive product range right from the value for

money PC - Ezeebee to ultimate digital convergence device - Beanstalk Neo.

During the quarter, HCL Info systems Limited commissioned the country's largest

Internet backbone network for Bharat Sanchar Nigam Limited (BSNL). The

project involved large scale and multi-location systems integration.

The company formally handed over the largest EPABX installation in the country

at IIT Kharagpur which consisting of 14000 lines providing traditional telephony,

IP telephony & ADSL broadband connectivity to the entire campus. The company

also obtained three SI orders in Telecom for an integrated police voice & data

solution (Police 100) that will help Police to serve the citizen better.

In the GSM handset distribution business the company leveraged the distribution

network strength to introduce a slew of new handset models at various price

points based at different technologies that also included an entry-level color

phone at a very attractive price. All this contributed to increase in market share of

Nokia GSM phones.

HCL Info systems Limited has direct customer services center across 260+

locations and two ISO 9001 certified state-of-the-art manufacturing facilities. With

a mission to provide world-class information technology solutions and services to

42
enable its customers to serve their customers better, HCL Info systems Limited is

forever setting new standards of IT in the country.

 HCL Info systems Limited registers a market share of 13.7% to become the

number one Desktop PC company for year 2004

 HCL Info systems Limited launches Four Terminal PC for Multiple Users

 HCL drives 'PC in every home' dream with Ezeebee Pride

 HCL Info systems Limited introduces revolutionary Micro BTX Form Factor

 HCL Info systems Limited launches RP2 System to overcome power

problems for PC users

 HCL Info systems Limited targets SMB market in partnership with Microsoft

 HCL Info systems Limited bags 76 crore order from Department of School

Education, Punjab

 HCL Info systems Limited and Union Bank partner to make PCs more

affordable. Lowest ever EMI in India: Rs.499 for HCL Ezeebee.

 HCL Infinite managed Nokia Care Centers receive ISO 9001:2000

certification.

43
 HCL launches next generation Xeon Processor based Infiniti Global Line

2700 server series.

 HCL Info systems Limited becomes the first company to cross the 1 lakh unit

milestone in the Indian Desktop PC market.

 HCL partners with Microsoft & Intel to revolutionize digital entertainment in

India

 HCL Info systems Limited partners with PortWise to launch 'HCL Info

SecuAccess'

 HCL Infosystems Limited maintains No.1 position in the Desktop PC segment

for year 2003

 IDC India - Dataquest Customer Satisfaction Audit 2004 rates HCL

Infosystems Limited as the number one brand in desktop PCs

 HCL Infosystems Limited first to announce price cut, post duty reduction. HCL

Ezeebee at a never before post budget price af Rs.17990/-

 HCL Infosystems Limited maintains No.1 position in the Desktop PC segment

for January - September'03

 HCL Insys showcases Fault Tolerant Solutions for Enterprises

44
 HCL launches India's first Windows XP enabled Beanstalk Media Center PC

 HCL Infosystems Limited is the first Indian company to offer high availability

solution for Oracle Database with Real Application Clusters

 HCL Infosystems Limited launches PCs with latest AMD Athlon™ 64

processor

 TRAI study puts HCL InfiNet on top for dial-up Internet Services

 HCL InfiNet opens Second Nokia Care Centre in Delhi

 HCL InfiNet ties-up with OmniTouch

 HCL Infosystems Limited to sustain number one position in the Commercial

PC segment

 HCL Infosystems Limited brings breakthrough technology to corporate and

everyday consumer PC users

 HCL Infosystems Limited and Sun Microsystems partnership forges ahead

with major wins

 HCL Infosystems Limited Ltd launches Beanstalk Home Wonder series

45
 HCL Infosystems Limited and industry leaders to deliver certified high-end

solutions on Intel® Architecture

 HCL Infosystems Limited realigns businesses

Products profile

HCL recommends Windows® XP Professional for Business

46
 Desktop and notebooks

HCL recommended Microsoft window XP Professional for business.

The marketplace is constantly changing in term of consumers, competition and

strategy to garner market share. Almost all aspects of your business are ever

evolving. The only change over the past few years in that the pace of change has

accelerated. In fact, it is increasing even as you read this.

Information technology (IT) changes accordingly, perhaps even faster. What is

vital that the decisions you make today need to have the capacity to address

situations for a least the next three years and the changes that are bound to

occur in that time. Infiniti is the market leader in competition. Infiniti is the only

brand in India IT that offers you remote support for friendly and extremely

47
efficient in problem resolution, saving you time and opportunity. We at infinite

product development recognize this need as the key to success for you and

for us. Infinite, backed by direct selling and built –to—order, ISO 9001 & ISO

14001 manufacturing, ensures that you get the best available product at the

time of delivery, rather than at the time of order. This technology First brand

features the latest innovations in central processing unit (CPU ) design,

graphics, display design ,I/O advancement and a host of the order technology

that have made infinite the number one corporate PC brand in India.

INFINITI

Developed by HCL Labs specifically to meet today’s high performance needs,

HCL Infiniti Desktops provides exceptional performance, responsiveness and

reliability.

HCL Indic PC:- Enjoy computing in your language with HCL Indic PC- the latest

from the stables of Infiniti Business Desktops.

More information-

Infiniti Pro SL:- A powerful and stylish computer for the corporate world.

Infiniti Pro SL 1080/1085/1110 Infiniti Pro SL, 1200 Infiniti Pro SL 1205.

Infiniti Pro BL:- Infiniti Pro BL with 845GV chipset and DDR RAM, Infiniti Pro BL

with 845GE chipset and DDR RAM, Infiniti Pro BL with SIS chipset and DDR

RAM, Infiniti Pro BL/HL with865GV chipset & Hyper Threading Technology.

Infiniti Pro BL/HL 1200 with 915G chipset & Hyper Threading Technology, Infiniti

Pro BL/HL 1205 with 915GV chipset & Hyper Threading Technology.

Infiniti Plus BL:- Infiniti Plus BL with VIA PLE 133 chipset.

48
Infiniti Orbital Series:- Packed with advanced, high efficiency features, the Infiniti

Orbital series is designed to meet your diverse computing requirements.

HCL Desktop Management Software:- Manage your Infiniti desktop efficiently

with HCL Desktop Management Software (HDMS)- software that ensures

desktop uptime reduces support & administrative costs.

ABOUT HCL EZEEBEE

HCL also has a large range in Intel Pentium 4 processor. Model which are

available in P4 are Intel P4 2.26GHz, Intel P42.4GHz, Intel P4 2.8GHZ, Intel P4

2.93GHz and Intel P43.0GHz with and without HT(HYPER THREADING)

technology.

Intel P4 2.26GHz is largest selling computer by HCL. Its simple description as

followed- Intel P4 2.2GHz with 128 RAM, 40GB HDD with 7200 RPM (Very Fast),

10/100 internet, 52XCD drive, floppy disk drive, 845 chipset Mother Board, CD

writer and Multimedia Key Board with optical mouse.

HCL recommends Microsoft Windows XP Professional the all- new Bean Stalk

Series, where performance is rivaled only with elegance of design. You get

superior technology and great value for money, all fused into one. It comes with

49
the super-speed Intel processor, SD RAM and Ultra ATA Hard Disk that gives it

incredible speed.

What’s more, it is upgrade friendly and so virtually future-proof.

Manufactured at HCL Infosystem’s state-of-the-art ISO 9001 certified plant. It is

designed to outperform every other Home Computer you have ever seen or

heard about. And with more than 250 Support providers across the country, its

widespread network ensures excellence in Customer Care. So go ahead and

enjoy the wonder that is HCL BeanStalk, and watch, it will amaze you for years to

come.

It is faster than the fastest home computer. The HCL Bean Stalk comes equipped

with the lightening fast Intel Pentium 4 processor which means you can now get

mind blowing multimedia performance from your computer. With its high

performance processor, it brings you the Internet like no other computer can. So

get ready to experience 3D graphics, virtual reality and realistic audio-video, like

never before.

The HCL Bean stalk with Intel Pentium 4 processor. The centre of your digital

world is designed to meet not just your today’s computing requirement, but also

the needs of your future. So bring home the HCL Bean Stalk today and stay

ahead of the rest of the world.

Home PCs

HCL recommends Microsoft® Windows® XP Professional

the all-new BeanStalk Series, where performance is rivaled only with elegance of

design. You get superior technology and great value for money, all fused into

50
one. It comes with the super-speed Intel® processor, plus SD RAM and Ultra

ATA Hard Disk that gives it incredible speed.

What's more, it is upgrade friendly and so virtually future-proof. Manufactured at

HCL Infosystems Limited' state-of-the-art ISO 9001 certified plant, it is designed

to outperform every other Home Computer you have ever seen or heard about.

And with more than 250 Support providers across the country, its widespread

network ensures excellence in Customer Care. So go ahead and enjoy the

wonder that is HCL BeanStalk, and watch, it will amaze you for years to come.

It is faster than the fastest home computer. The HCL BeanStalk comes equipped

with the lightening fast Intel® Pentium® 4 processor which means you can now

get mind blowing multimedia performance from your computer. With its high

performance processor, it brings you the Internet like no other computer can. So

get ready to experience 3D graphics, virtual reality and realistic audio-video, like

never before.

The HCL BeanStalk with Intel® Pentium® 4 processor. The centre of your digital

world is designed to meet not just your today's computing requirements, but also

the needs of your future. So bring home the HCL BeanStalk today and stay

ahead of the rest of the world.

HCL IS MARKET LEADER IN DESKTOP PC WITH ITS EZEEBEE PRODUCT

HCL EZEEBEE DESKTOP CONFIGURATION

51
HCL EZEE BEE AMD SEMPRON 2200+

CONFIGURATION-128MB RAM, 40 GB HDD,52X CDROM, 1.44 MB FDD,

INTERNET KEYBOARD, SCROOL MOUSE, LAN CARD, 15” DIGITAL COLOR

MONITOR, LINUX PRELOADED, 100 HOUR INTERNET PACK, 1 YEAR

WARRENTY.

PRICE-16990+TAX

1. HCL EZEEBEE INTEL CELERON

CONFIGURATION-256MB RAM, 40 GB HDD,52X CDROM, 1.44 MB FDD,

INTERNET KEYBOARD, SCROOL MOUSE, LAN CARD, 17” DIGITAL COLOR

MONITOR, LINUX PRELOADED, 100 HOUR INTERNET PACK, 1 YEAR

WARRENTY.

PRICE-21240+TAX

2. HCL EZEEBEE AMD ATHLON 64 BIT 2800+

CONFIGURATION-128MB RAM, 40 GB HDD,52X CDRW, 1.44 MB FDD,

INTERNET KEYBOARD, SCROOL MOUSE, LAN CARD, 17” DIGITAL COLOR

52
MONITOR, LINUX PRELOADED, 100 HOUR INTERNET PACK, 1 YEAR

WARRENTY.

PRICE-20990+TAX

3. HCL EZEEBEE INTEL PENTIUM 4 @ 2.26

CONFIGURATION-256MB RAM, 40 GB HDD,52X CDROM, 1.44 MB FDD,

INTERNET KEYBOARD, SCROOL MOUSE, LAN CARD, 15” DIGITAL COLOR

MONITOR, WIN XP HOME, 100 HOUR INTERNET PACK, 1 YEAR

WARRENTY.

PRICE-21990+TAX

4. HCL EZEEBEE INTEL PENTIUM 4 515 @ 2.93

INTEL 915 PLATFORM

CONFIGURATION-256MB RAM, 40 GB SATA HDD,52X CDROM, 1.44 MB

FDD, INTERNET KEYBOARD, SCROOL MOUSE, INTERNET

MODEM+SPEAKERS, LAN CARD, 17” DIGITAL COLOR MONITOR, WIN XP

HOME, 100 HOUR INTERNET PACK, 1 YEAR WARRENTY.

PRICE-26740+TAX

5. HCL EZEEBEE INTEL PENTIUM 4 531 @ 3.0 915 PLATFORM

CONFIGURATION-256MB RAM, 80 GB SATA HDD,52X CDROM, 1.44 MB

FDD, INTERNET KEYBOARD, SCROOL MOUSE, INTERNET

MODEM+SPEAKERS, LAN CARD, 17” DIGITAL COLOR MONITOR, WIN

XP HOME, 100 HOUR INTERNET PACK, 1 YEAR WARRENTY.

53
PRICE-29490+TAX

IMPORTANCE OF THE STUDY

The business management courses are insufficient to solve all the problems

arising in practical field. There is no any shortcut way to solve management

problems coming out of concern. Thus this eight weeks summer training in any

successful running or organization, through it is a part of fulfillment of M.B.A.

program is must for the students. The aim of training is to develop the ability of

correct decision making. A correct decision cut the right moment itself is an

added advantage for any problem arising out on regular basis.

54
 OBJECTIVE OF RESEARCH

The objective of the study to understand the consumer behavior & which

sales and promotional activity more effective regarding PC and Leaptop.

Information’s to get the objective as follows:

To know the factors which affects the behavior of the consumer while

purchasing the PC.

* To know the problem of channel partner

* To know the effect of product and poster display

* To know the reason for purchasing the specific brand’s PC laptop

55
 * To know the consumer perception regarding PC.

* To know the competitors of HCL.

* To know the more effective sales and promotional activity

* To know the effect of catelouge

A major step in the conduction of marketing research is the decision

regarding the nature of research design we are selecting for the purpose of

our study.

The benefits of research design are that it evaluates client’s need in terms of

results and the analytical work on the gathered data that will convert it to useful

findings for the management.

The selection of a particular design depends on the causality of the variables

involved.

** (Since we do not want to calculate any causality between any variables

therefore descriptive design is preferable.)

For the purpose of our study we intend to take up descriptive design.

They cover research designs that are intended to produce accurate descriptions

of variables relevant to the decision being faced, without demonstrating that

some relationship exists between variables.

Decision makers very often choose or are willing to accept descriptive data,

which would permit only inferences to be drawn about causation.

56
Here we are using cross-sectional design to produce a picture of the phenomena

in which the decision maker is interested –for example, the market shares of

various firms, consumer’s brand images and consumption, consumer perception

regarding PC.

LITERATURE REVIEW

This project is done under the title “SALES &PROMOTIONAL ACTIVITIES FOR

HOME PC’S&LEAPTOP OF HCL INFOSYSTEM LIMITED’

For preparing this project we went to many organizations institutional

organizations of LUCKNOW. We collected information of customers & Dealers

consuming various services provided by HCL.

 We went to the companies, institutes and observe the following things---

More documentation is main reasons for not availing the consumer

finance.
 There are so many finance cases which are still pending because of

complex process of Union Bank of India.

 HCL is getting big competition from COMPAQ and Assembled Pc’s.
 Price & after sales service are significant factors which decides the sales

of computers.
 The Distributors of HCL computers should be exclusive one, so that they

can give more time and mind to the sale of HCL computers only.
 The person who is handling the finance case should be expert and have

the capability to clear the cases through bank.

57
 1. Whether our product is available or not at that company & organizations

institutional.

2. If not then we saw of which company product is available.

RESEARCH METHODOLOGY

In application of market research the research has to go through several steps or

stages and these steps are following.

Step 1: Defining the Problem:

Defining the problem is the most important part of the market research process,

because wrong definition misdirects research.

The type of the research to be carried out, the questions to be raised, and the

sampling procedure to be followed and the data to be collected, all depend on

the current understanding of the problem.

HCL is having tough competition in the market with other players these

players are assemblers and branded. There are many factors, which

influence the buyer for purchasing the PC.

58
Step 2: Develop the Research Plan:

The second stage of marketing research calls for developing the most efficient

plan for gathering the needed information.

Designing a research plan calls for decisions on the data sources, Research

approaches, research instruments, sampling plan, and contact methods.

 Research Approaches: Primary data can be collected in five

ways: Observation, Focus groups, Surveys, Behavioral-data, and Experiments.

 Observation research: Fresh data can be gathered by, observing the

relevant actors and settings.

 Focus group research: - A focus group is a gathering of six to ten people

who are invited to spend a few hours with a skilled moderator to discuss a

product, service, organization, or other marketing entity. The moderator needs to

be objective, knowledgeable on the issue, and skilled in-group dynamics.

Participants are normally paid a small sum for attending. The meeting is typically

held in pleasant surroundings and refreshments are served.

 Survey research:- Surveys are best suited for descriptive research.

Companies undertake surveys to learn about people's knowledge, beliefs,

59
preferences, and satisfaction, and to measure these magnitudes in the general

population.

This approach best suited for project-research hence this method

was adopted (survey-research) for the project work.

 Behavioral Data: Customers leave traces of their purchasing behavior in

store scanning data, catalog purchase records, and customer data bases. Much

can be learned by analyzing this data.

 Experimental research: The most scientifically valid research is

experimental research. The purpose of experimental research is to capture

cause- and-effect relationships by eliminating competing explanations of the

observed findings.

 Data Sources: The researches can gather secondary data, primary

data, or both. Secondary data are data that were collected for another purpose

and already exit some-where. Primary data are gathered for specific purpose or

for a specific research project.

When the needed data do not exist or are dated, inaccurate, incomplete, or

unreliable, the researcher will have to collect primary data. Most marketing

research projects involve some primary data collection.

Same is the case for our project as well. For the purpose of our study we have

collected primary data in the form of (1) the data’s nature and (2) its function in

the ultimate interpretation and analysis.

60
 Types of data

1. Demographic

2. Sociological

3. Psychographic

4. Behavioral

Here we are going to analyze the opinions that how people perceive

something what they believe about it and what those believes signify. The most

potent form of opinions tends to be attitudes, which are mental sets of

predispositions to act in some manner.

Here in our project we intend to analyze the opinions and attitudes of the

target population by using appropriate sample. So the data collected in our

project is basically demographic and behavioral.

 Communication approaches

In deciding on which of the several of communication means to choose, a

researcher has much to consider a simple division of communication media into

two broad types: observation and questioning. Also we will consider the matters

of whether to use structure and disguise.

From the point of view of our project we have selected the questioning method of

communication with our selected respondents, and for that purpose we have

drafted a questionnaire to quantify and evaluate the customer responses.

61
 Questioning

In the majority of research problems, the required information can be gained only

by asking for it. This is done mainly by interviewing, but also data maybe

obtained through self-administered questionnaires distributed by mail and other

ways.

As explained earlier that we have selected the questionnaire method of data

acquisition, therefore, we choose to draft the questionnaire having closed ended

questions and that will help us quantify the results in an appropriate format.

 Research instruments:

Marketing researchers have a choice of two main research instruments in

collecting primary data: Questionnaires and mechanical devices.

 Questionnaires: A questionnaire consists of a set of questions presented

to respondents for their answer. Because of its flexibility, the questionnaire is by

62
far the most common instrument used to collect primary data. Questionnaires

need to be carefully developed, tested, and debugged before they are

administered on a large scale.

In preparing a questionnaire, the professional marketing researcher carefully

chooses the questions and their form, wording, and sequence. The form of the

question asked can influence the response. Marketing researchers distinguish

between closed-end and open-end questions. Closed-end questions-prespecify

all the possible answer. Open end-questions provide answers that are easier to

interpret and tabulate. Open-end questions often reveal more because they do

not constrain respondents, answers.

Finally, the questionnaire designer should exercise care in the wordings and

sequencing of questions. The questionnaire should use simple, direct, unbiased

wording and should be pre-tested with a sample of respondents before it is used.

The lead question should attempt to create interest.

Mechanical instruments: Mechanical devices are occasionally used in

marketing research. One example is of Galvanometers used to measure the

interest or emotions aroused by exposure to a specific and or picture.

63
 QUESTIONNAIRE DESIGN

From basic aspects of measurement and meaning, we proceed to their

application in designing the instruments for seeking and recording data. Data

may be obtained by either observing or asking for them, and forms are needed

for field use in observation and interviewing. The accuracy and relevancy of the

data gathered depend heavily on the questionnaire.

FUNCTIONS OF QUESTIONNAIRES

A questionnaire is simply a formalized schedule to obtain and record specified

and relevant information with tolerable accuracy and completeness. In other

Determine the specific data to be sought.

words, it directs the questioning process and promotes clear and proper
Determine the interviewing process.
recording.

STEPS OF DEVELOPING A QUESTIONNAIRE

Evaluate the question content.

Determine response format.

Determine wording of the questions.

Determine questionnaire structure.

Determine the physical characteristics of the

form.

64
Pretest revise and final draft.
We in our questionnaire have tried to evaluate buying pattern of our customer

and know the problem of dealer and distributor that face in business. Now, for

major the consumer behavior we first, define what is consumer behaviour means.

It is the decision making process and physical activity individuals engage in

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

65
 RESEARCH PROCESS

Sampling and determination of sample size

 Sampling Plan: After deciding on the research approach and

instruments, the marketing researcher must design a sampling plan. This plan

calls for three decisions:

1. Sampling Unit: Who is to be surveyed? The marketing researcher

must define the target population that will be sampled.

The target Institutes for our survey were everyone Intermedite$ Proffesional

Institutes Our sampling frame was Lucknow.

2. Sample Size: How many customer and channel partner should be

surveyed? Large samples give more reliable results than small samples.

However, it is not necessary to sample the entire target customers $ channel

partner or even a substantial portion to achieve reliable results. A total of 250

interviews were conducted to both in Lucknow region in different locations.

3. Sampling procedure: How should the respondents be chosen? To obtain

a representative sample of the population, a probability sample of the population

should be drawn.

66
 Probability Sampling allows the calculation of confidence limits for sampling

error. Three types of probability sampling are described in following table, part A.

When the cost or time involved in probability sampling is too high, marketing

researchers will take Non probability samples. Following table, part B,

describes three types of non-probability sampling. Some marketing researchers

feel that non-probability samples are very useful in many circumstances, even

though they do not allow sampling error to be measured.

67
A. Probability Sample
Simple random sample - Every member of the population has an equal chance

of selection.

Stratified random sample - The population is divided into mutually exclusive

group (such as age groups), and random samples are drawn from each group.

Cluster (area) sample - The population is divided into mutually exclusive groups

(such as city block), and the researchers draw a sample of the groups to

interview.

B. Non Probability sample

Convenience sample - The researcher selects the most accessible population

member.

Judgment sample - The researcher selects population members who are good

prospects for accurate information.

Quota sample - The researcher finds and interviews a prescribed number of

people in each of several categories

I have conducted the convenient sampling in different areas in Lucknow

region.

 Data source

68
To meet with consumers and asked to fill structured questionnaire and no

secondary data was collected.

Personal interviewing is the most versatile method. The interviewer can ask

more questions and record additional observations about the respondent, such

as dress and body language. Personal interviewing takes two forms. In arranged

interviews, respondents are contacted for an appointment.

Intercept interviews involve customer and channel partner decision authority to

meat and requesting an interview.

Step 3: Collect the Information: The data collection phase of marketing

research is generally the most expensive and most prone to error. The

information collected should be both accurate and relevant as per as the

requirements of research project. Depending on the requirement, the researcher

has to work out a suitable data collection method.

Broadly data collection method can be classified into,

(a) Primary methods: when data is directly collected by a researcher, they are

known as primary methods e.g. interviews and questionnaires.

(b) Secondary methods: The data are termed secondary data when they were

not originally collected for use in the research project under consideration, they

were collected rather for use by some other person or for some other project.

69
Step 4: Analyze the Information: The next step in the marketing research

process is to extract findings from the collected data. The researcher tabulates

the data and develops frequency distributions. Averages and measures of

dispersion are computed for the major variables. The researcher will also apply

some advanced statistical techniques and decision models in the hope of

discovering additional findings.

Step 5: Present the findings: As a last step of market research process,

Results (findings) are extracted from the Analysis of information and are

presented to the related party. The researcher should present major findings that

are relevant to the major marketing decisions facing management. The findings

should be written in a concise, simple and objective orientated language.

For the purpose of our project, the analysis were conducted on the basis of

following conditions.

As we earlier suggested that we are going to categorize the scores into various

intervals.

Now as we have attached scores to all the parameters according to their

importance.

70
 DATA ANALYSIS & INTERPRETATION

.Problem of Channel Partner/ Demo Center

Criteria Very High High Moderate Low None

Rating 80 60 40 20 0
S.NO
scale PROBLEM DESKTOP LAPTOP/NOTE
BOOK
1. Supply of product
A)From Company Very High Moderate
B)From Distributor Moderate Low
2. Time of Delivery High Low
3. Packaging High High
4. Model Version Very High Moderate
5. Scheme Very High Moderate

71
 90
80
70
60
50 desktop
40 leptop/notebook
30
20
10
0
e stib y

pa liv r

sc so n
m ck ery

e
de t e

el ing
tim di pan

m
of u

a d ag

he
r
ve
m m
fro o
ly m c
pp ro
su l y f
pp
su

PROBLEMS

Comments: From the above table and chart, it is clear that the main problem of

company is no supply or less supply of product from channel partners. Hence

company should give attention towards it.

Otherwise chances are more for shift brand of current as well as future

customers.

72
Criteria Excellent Very Good Average Poor None
Good
Rating 10 8 6 4 2 0
Scale

. Product Display and Advertisement / Poster Display in

Channel Partner/Demo Center.

Sr.No. Address of Channel Partner/ Product Display Poster Display

demo center

1. World processor Lucknow Moderate High

2. Infoage Systems Lucknow Moderate Moderate

3. Rajat System Lucknow Moderate Moderate

4. Solution Lucknow High Moderate

5. The Computer Shoppe Kanpur High High

6. Nesco Computer Lucknow High High

7. Dinesh Jain$ Sons Lucknow Very high High

CHANAL PARTENAR

73
 COMMENT:-

From the above it is clear that the Product display is very good at Dinesh Jain &

Sons and Computer Shoppe.

Whereas Poster display is good at both the agency.

.
Scheme Sr.No Scheme Name Demand
1. Bandal Offer Very High
Criteria Very High
2. HighFree Tour
Moderate
Package Low None Low
Rating 8 6 4 2 0
3. Free CD Pack High
scale
4. Free Upgradition in RAM Moderate

to consumers

74
 10
8
6
Series1
4
2
0
Bandal Offer Free Tour Free CD Free
Package Pack Upgradition
in RAM

COMMENT:-

From the above chart reveals that Bandal Offer is very popular scheme among

the

Customers. This scheme also gives the sales volume to the company because

this scheme

Is available with all models of HCL PCs. Company should modify tour package

and

75
Highlight the free up gradations in RAM.

Criteria Excellent Very Good Average Poor None

Good

Rating 10 8 6 4 2 0
Scale

. Effect of Product and Poster Display

76
Sr.No. Address of Channel Partner/ Product Display Poster Display
demo center

1. . World processor Lucknow Moderate High

2. Infoage Systems Lucknow Moderate Moderate

3. Rajat System Lucknow Moderate Moderate

4. Solution Lucknow High Moderate

5. The Computer Shoppe Kanpur High High

6. Nesco Computer Lucknow High High

7. Dinesh Jain$ Sons Lucknow Very High High

77
 9
8
7
6
5 Product Display
4 Poster Display
3
2
1
0

e
m

rS s
ns
r

pp
so

er
te

So

ut

ho
es

ys

o m mp
oc

&
Pr

ge

Co
n

te
i
ja

pu
a
ld

n
fo

sh
or

t io
In

ne
W

lu

C
So
Di

e
Th

COMMENT:-
The above table and chart reveals the effects of Product display and Poster

display in Channel Partner/Demo center. Both the displays create more

awareness of HCL products also creates more demand among customers.

78
Sr.No. Address of Channel Partner/demo center Effects
1. . World processor Lucknow Average
Criteria Excellent Very Good Average Poor None
2. Infoage Systems
GoodLucknow Good

Rating 10 8 6 4 2 0
Scale
3. Rajat System Lucknow Average

4. Solution Lucknow Good

Very Good
5. The Computer Shoppe Kanpur

Effects of Catalogue

79
 Effect of catelogue

9
8
7
6
5
Effect of catelogue
4
3
2
1
0
World Infoage Dinesh jain Solution The
Processor System & Sons Computers Computer
Shoppe

COMMENT: -

The catalogue is very effective. It is beneficial to customer as well as company. It

Increases the awareness of HCL product, Product depth.

Hence demand Product of different of HCL also increased

80
. Market Potential for EZEEBEE

M A RK E T P O TE NTIA L FO R E ZE E B E E

3% 15%
Low
M edium
High
82%

• According to 42% dealers there is tremendously high market potential for

HCL EZEEBEE

81
. Consumer preference for HCL EZEEBEE

CO NS UM E R P RE FE RE NCE FO R HCL
E ZE E B E E

8% 23% Low
M e d iu m
H ig h
48% 21% C a n 't S a y

• According to various dealers 48% of consumers preferred HCL EZEEBEE

than other IT player’s home segment computer.

82
Promotional activities which dealers found most effective one.

P R O M O TIO N A L A C TIV ITY W H IC H D E A L E R S

F O U N D M O S T E F F E C TIV E O N E

In s e rt io n
3 %1 2 % 22% C anopy
12% A d in N e w s p a p e r
D ire c t M a rk e t in g
23% 28% EPP
C a n 't S a y

COMMENTS:-

Canopy is the most effective promotional activity. ad in Newspaper and insertion

are other effective activities.

83
 COMPARISION BETWEEN BRANDED &
ASSEMBLED COMPUTERS.

CONSUMERS
WHO
PURCHASE
ASSEMBLED
PC
50% 50% CONSUMERS
WHO
PURCHASE
BRANDED PC

It has been found that branded PC has equal market with assembler PC. But, in

previous year’s assembler were dominating the Indian PC market. But due to

cutting the price by companies branded PC has been growing in the market. I

have also observed that companies are highly indulged with the promotional

activities as well as advertising to take grip on the market.

Companies have tie up with different banks to provide easy finance schemes.

Consumers are going for finance schemes to purchase the computers.

84
 If we consider only branded players then the most preferable
PC’s are as follows.

4% 4%
12% HCL
32% COMPAQ
LG
8% PCS
ZENITH
8% IBM
OTHERS
32%

HCL and Compaq is the most preferable PC used by the consumers. Both the

brand having a good image in the market. IBM is having 4% market share but

IBM is good brand but due to its high price its not more preferable by the Indian

consumers.

HCL & Compaq both is having 32% shares in branded PC market. After that

comes zenith with 12% market. Zenith is also preferred by consumers because

of its low price then others. PCS and LG also having 8% share in the market.

There are also many players in branded segment like wipro, dell etc. are having

4% share.

85
 Factors, which are taken into consideration while purchasing the

PC&Laptop

180

160
140
TOP 6 PREFERED FACTORS FOR PURCHASING
120
THE PRODUCT
100 Series1
COST 160 1
QUALITY 80 145 2 Series2
SERVICE 140 3
SUPPORT 60 130 4
BRAND 40 80 5
DISCOUNT 75 6
20

Taking all the factors combined & assigning them some value according to their

rank in preference it has been observed that cost & quality play equal roles

whereas ‘support comes next followed by serviceability. brand comes on second

last and finally comes discount.

86
Study shows that while selecting a product for purchase cost plays the vital role

in the Indian minds. Next factor that comes is quality followed by brand image.

Discount also play role for purchasing the computer.

WHICH BRAND IS THE BEST BRAND IN THE CONSUMERS MIND.

87
 BEST BRAND OPTED BY CONSUMERS

50%
40%
30% BEST BRAND
OPTED BY
20% CONSUMERS
10%
0%
Q

S
L

M
L
C

ER
EL
PA

IB
H

TH
M
O

O
C

HCL is the best brand according to consumers in the Lucknow region. It is in top

because of its lower price among good brands and its better quality.

Compaq is on the second position because of its quality and brand name.

Compaq is the big competitor of HCL.DELL comes on third position because of

its brand name and its customization of the product according to the consumer

need. IBM comes after DELL.

DATA INTERPRETATION

88
The most interesting and crucial phase of any research is the presenting of

findings and giving interpretation, this project is no exception. After concluding

with the project I am in a position to present the following:

HCL Infosystems Limited is one of the pioneers in the Indian IT market, with its

origins in 1976. For over quarter of a century, they have developed and

implemented solutions for multiple market segments, across a range of

technologies in India.

Undoubtedly HCL INFOSYSTEMS LIMITED was leader in after sales services

but now the company is lacking in this field. Company is having good quality

product with low price but it’s lacking in technology. Company should change its

technology. Change in prices earlier is biggest problem in this brand.Realibility

and after sale service is the biggest problem in HCL company.

But HCL is most competitive brand in India then others.

Now for our own personal experience this project was a real rewarding

experience for us and helped us gain insights into the ways marketing research

works. The survey let us know the functioning of the survey reports and their

preparation. We are really indebted to our faculty to have provided us with this

opportunity.

PROBLEM IDENTIFICATION

89
Ezeebee, Beanstalk, Ezeebee Note are the core product of HCL and

TOSHIBA notebook which is marketed and sale by HCL in India. These

products can be successful if promoted in schools, colleges, institutes,

corporate and for end use.

To find out the factors effecting the buying behavior of customers. To study

which promotional activity is more effective in Lucknow and to find out the

preference of customers for home PCs.And it is also find out problems of

channel partner which face during the business.

TOOLS USED FOR PROMOTIONAL ACTIVITIES

90
• Employee purchase programme (EPP).

• Road shows.

• Special events in schools, college and institutes.

• Follow up by Tele-calling.

• Personal selling/door to door selling.

• Special discount offer.

DESCRIPTION OF ACTIVITIES

Promotional activities done by HCL for their channel partner have given a

boom in sales of home PCs. Above table in which sales data has given can

justify that promotional activities/events are helpful in increase the sales

volume.

Different ways of promotional activities are as under:-

EMPOYEE PURCHASE PROGRAMME (EPP)

91
Employee Purchase Programme are basically the special scheme or offer

designed for the employees of an organization. So that they can purchase

EZEEBEE home PCs at a discounted price. In this special offer which is given

to the employees of targeted corporate or organization for limited period so

that they feel themselves important and purchase a computer under the

scheme. This is also beneficial for the company to increase its product sales.

Employee Purchase Programme is very effective promotional activity to

improve sales graph procedure:-

• First to select corporate or govt. office for this programme.

• Then make a cell to HR manager or administration to fix up an

Appointment.

• Meet to concern person and give them offer of scheme and convince

them and get permission for it.

• Get information about right location and right days for the

Programme.

• Organize the event in a faithful manner for employees.

• Try to get the maximum sale of product during this period and also

satisfy them by better service/delivery of product.

• Also collect the database for future purpose.

92
Special about Employee Purchase Programme:-

• A price of products is much lower than market price of product.

• Nominal margin of channel partners make it more attractive.

• On the spot finance scheme is also helpful in this programme.

• Rate of interest for finance schemes is lower than normal rates.

• Accessories of computer as web camera, printers and UPS etc. can be

provided at cheaper rate.

Employee Purchase Programme is a way to thanks the organization and their

employees for their support.

ROAD SHOWS

Road show is also a effective promotional activity and most of companies are

using it. HCL is also using this promotional tool very aggressively in Lucknow

because this is helpful in getting the attention of target customer.

The procedure of road show is to set up a CANOPY at road side of different

markets where maximum number of people can notice it. So we can say

CANOPY should be set up at prime location of market. One or two employee

of company may present in CANOPY with leaflets of company.

They distribute the leaflet in public and also give the answer or detail of

queries generate by visitors. It is a easy way to generate queries for following

which helps in converting the interesting consumer into customer.

93
Road shows also can done with mega events. It helps in increasing the

awareness about the special schemes and offers.

MEGA EVENTS

HCL is doing mega event in Lucknow very aggressively. These events

organize at public place, appropriate location in a good market, in schools,

colleges and also in residential colonies where potential customer is available

for the success of event. It is necessary to know the location that target or

potential customer is there or not.

In schools and colleges these events can be organize on particular days like-

Annual day, Teacher day, Culture day and other special days so the event can

get more success than normal days.

PERSONAL SELLING

Personal selling is also an effective method of sale promotion. Under this

method an employee of company visits to the cyber cafes, computer coaching

centers, big shops and malls on the benefit of company.

New queries can be generated by this way, which is also convertible into sale

because of by this way customer get importance.

94
Queries which are generated by Employee Purchase Programme, events etc.

also use to visit personally to convince the customer.

CONCLUSION
Main aim of any Research which is conducted in the market place to flashes

back hidden truths and basic facts, which effects the business of company

directly or Indirectly. These hidden truths are basic facts, which are out coming of

the research, are known as a finding the information gathered from the markets,

which are accountable in the achievement of the objective and for the company,

which makes the project more interesting, are basically known findings. The

result of assigned project in management studies is known as findings. The

findings of this project are as follows:-

95
1. HCL is doing promotional activities in Lucknow city very aggressively.

2. HCL is a market leader in IT products in Lucknow but have a very close

competition with Compaq.

3. Most of people know that HCL only deals in desktop PC’s and servers where

only few knows that HCL, also provides leaptop, software development,

networking, internet services, facility management and High End solution.

4. Most of people think that HCL is typically hardware firm having no relations

with Software.

5. Compaq and HCL are two companies that are at top of mind in Brand fateek

customers. .

6. Cost and Quality are two major factors that are taken into consideration while

purchasing any IT product.

7. Technology wise means quality wise HCL is considered to be number two

after IBM.

8. Cost wise HCL is number three whereas Dell first position. Second rank goes

into account of HP

9. HCL is not focusing on advertising as much as its competitors are doing.

10. Corporate Image of HCL is good. It equalant to IBM and Compaq. HCL give

very tuff competition to MNC companies.

11. According to customer Satisfaction in desktop Index HCL is No.1 whereas

second and third is of Compaq and IBM.

Customer are facing problem in Lucknow city related to after sales service. More

service centre are required to come out from this problem.

96
 SWOT ANYLSIS

STRENGTH

• HCL is a brand in itself.

97
 • Aggressive Marketing strategy.

• HCL has strong distribution network as compared to competitors.

• HCL available Products can provide solution to any environment.

• Customized products for every type of customer for example up gradation

as per the requirement of customer.

Weakness’

• HCL has not been able to establish an entry barrier for competitors.

• Services provided by HCL are not up to the market Channel partner of

HCL has not much capable to provide good and frequent services to their

potential customers.

98
OPPORTUNITIES

• HCL products because of their price factor over other companies and

assemble are gaining popularity.

• The new technology that provided by HCL is one of the big opportunities

that HCL have.

• Lower rates of different models give opportunities to HCL for grab the

assemblers market.

THREATS

• Possibility of more new player’s come in the same business is expected

• HCL PCs is facing a big challenge from Hp and IBM in higher segment

and from Assemblers in lower segment.

• HCL facing a big challenge in Laptop segments.

99
 RECOMMENDATION/SUGGESTION

• HCL has a good brand image in the field of home PCs but laptops and

PCs required company is promoting these products in advertising to utilize

its brand image.

• HCL is also giving advertisement of its product frequently in magazines,

newspaper and Television channels etc.

• Hoardings of company’s product should be stand by at the prime location

where maximum people can see it.

• Relationship between the customer and company is the base of growth.

Company maintain better relationship with its big customer as institutions,

corporate, schools, colleges and end user also because good relationship is

always helpful in growth of sales.

100
 • Companies sends cards and invitation to the customer time to time or on

certain occasion.

• Until and unless after sales services of the company is not good, it is not

possible for company to increase the sale. HCL is also facing this problem in

some areas of Lucknow so company should open service centre at required

location.

• Distribution of machine from company to dealer/channel partner is not

done at time. So dealer can not deliver the PCs to customer in time. So

delivery of PCs is on time.

..

LIMITATIONS OF THE STUDY

Although I have tried to give the accurate and latest information about study. But

these following limitations were there:-

• The time period allotted for this study was two months, which is short for

this type of study.

• Area of study was limited in Lucknow city only, but HCL has a big

market a national & International level.

• This project has done in summer session. So that result may not

became for all session.

101
 REFRENCES

TEXT BOOK

• Philip Kotler(2005) Marketing management

• C.R. Kothari(2006) Research Methodology

• G.C.Berry(2002) Marketing Research

WEB SITE

• www.google.com

• www.hcl.in

• www.hcl store.in

• www.indiainfoline.com

MAGAZINE

• Data quist

• Chip

102
• Digital India

• Business India

• Business today

ANNEXURE

QUESTIONNIRE (For Dealers)

Name: - Phone no:-

Address: - E-Mail :-

Q.1. what is your perception in HCL brand?

Very Good Good Not Good Nor Bad Bad Very Bad

Q.2. which brand do you deal with?

COMPAQ HCL LG ZENITH Others .

Q.3. which brand at the top in the chart for maximum sale last month.

COMPAQ HCL LG ZENITH ASSEMBLE OTHERS.

Q. 4. Rank the following Brands at your counter. (GOOD=5, AVERAGE=3,

POOR=2)

COMPAQ HCL ZENITH ASSEMBLES OTHERS .

Q.5. which attributes customers considers while purchasing.

Price Brand Features After Sale Service Look

Others.

Q6.Which activity is more effective?

103
Canopy EPP Direct marketing Advertise in newspaper other

----------

Q7.Woold you like give any Suggestions:-

Thanks

QUESTIONNAIRE

(For customers)
Name: - E-Mail :-
Address: - Phone No.:-
Q.1. Have you knowledge about HCL leaptop/ desktop?

Yes No

Q.2. Have you seen or heard about the advertisement of HCL products.

Yes No

Q.3. If, Yes then where?

TV HOLDING Newspaper Other specify……………

Q.4 Which brand you are more aware

COMPAQ HCL LG ZENITH DELL

Q.5. What is your perception about HCL brand?

Very Good Good Not Good nor Bad Bad Very Bad

Q.6 Which colour do you like in HCL BRAND ?

White Silver Black Any other please specify………………….

Q. 7. Are you aware of new finance schemes of HCL?

Yes No

Q.8 Do you want to purchase leap top / desktop?

Yes NO
Q.9Which brand you want purchase leptops/desktop?

104
COMPAQ HCL LG ZENITH Others

Q10 How you want to purchase?

Cash Finance credit card Other

105