CHAPTER I INTRODUCTION

As one writer put it: "This may sound mystical but I do believe it's essential to feel that something's following straight from here [he trapped his head] through my right arm, my hand, my forefinger and thumb, into the pen and right on to the paper without a break. Nothing must break the circuit." George Greenfield A ballpoint pen is a writing instrument which features a tip that is automatically refreshed with ink. It consists of a precisely formed metal ball seated in a socket below a reservoir of ink. As the pen is moved along a writing surface, ink is delivered. Even though ballpoint pens were first patented in the late nineteenth century, they only started to reach commercial significance in the early 1950s. Now, ballpoint pens dominate the writing instrument market, selling over one hundred million pens each year worldwide. The stationery market in India is driven by not only growth in the education sector but also Industrial growth. The Governments focus on the education sector, formulating schemes for its enhancement through the Eleventh Five Year Plan and the Union Budget, and the rising MNC (Multination Corporation) base in India will fuel strong demand for stationery products. Due to the increase in organized retailing and trends towards creating stronger visibility, Indian stationery market is poised for further growth. The report begins with an overview of the stationery market in India offering segmentation by type and usage. An overview is then provided describing the market and includes its market size and growth. A clear indication of percentage break-up in terms of segments share and usage share has also been highlighted. This is followed by the sections on notebooks and paper, and writing instruments. An overview of the notebook and paper market in included which covers segmented share as well as the split between the organized and unorganized market. This is followed by an overview of the writing instruments market which highlights the primary characteristics of the market and also provides a segmented share of products. Additionally, there is a section on sales and distribution models prevalent in this sector in India. The section on EXIM (EXPORT IMPORT) provides an overview to the imports and exports. It covers the overall imports and exports as well as the segmented share across major countries participating in trade. An analysis of the drivers explains the factors for
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growth of the market including growth in the education sector, growth in industrial sector and Government initiatives. India is an emerging economy with a huge population base. Rising income levels coupled with the Governments impetus on educating the masses will lead to the development of the stationary market. Rising literacy rates a chief pointer towards growth in the education sector. Additionally, it has been observed that many global companies have been setting up facilities in India while domestic players continue to expand operations due to favourable market scenarios.

While growth in education will affect demand for school stationery products, industrial sector growth will drive demand for office stationery products. However, the sector is also facing certain challenges. Factors such as availability of cheap products and stringent taxation system pose as barriers for growth. Government regulations imposed on the sector has also been highlighted. The major trends indentified in the market include rise in organized retailing, emergence of new trademarks, shift towards quality products, entry of foreign brands and shift in consumer preference towards opting for new pens rather than a refill. The competition section includes a competitive landscape of the players in the market which contains a snapshot of their corporate information and business highlights. Strategic recommendations for this market have been provided. The report is concluded with an appendix with specifications for major players in terms of their products and prices. (www.ennotes.com)

HISTORY OF BALLPOINT PEN

The manufacture of economical, reliable ballpoint pens arose from experimentation, modern chemistry, and the precision manufacturing capabilities of 20th century technology. Many patients worldwide are testaments to failed attempts at making these pens commercially viable and widely available. The ballpoint pen went through several failures in design throughout its early stages. The first patent on a ballpoint pen as issued on 30 October 1888, to John Loud, a leather tanner, who was attempting to make a writing instrument that would be able to write on his leather products, which then-common fountain pens could not do. Loud's pen had a small rotating steel ball, held in place by a socket. Although it could be used to mark rough surfaces

such as leather, as Loud intended, it proved to be too coarse for letter writing and was not commercially viable. In the period between 1904 and 1946 particularly, alternatives or improvements to the fountain pen were invented. Slavoljub Eduard Penkala invented a solid-ink fountain pen in 1907, a German inventor named Baum took out a ballpoint patent in 1910, and yet another ballpoint pen device was patented by Van Vechten Riesburg in 1916. In these inventions, the ink was placed in a thin tube whose end was blocked by a tiny ball, held so that it could not slip into the tube or fall out of the pen. The ink clung to the ball, which spun as the pen was drawn across the paper. These proto-ballpoints did not deliver the ink evenly. If the ball socket were too tight, the ink did not reach the paper. If it were too loose, ink flowed past the tip, leaking or making smears. Many inventors tried to fix these problems, but without commercial success. Lszl Br, a Hungarian newspaper editor, was frustrated by the amount of time that he wasted in filling up fountain pens and cleaning up smudged pages, and the sharp tip of his fountain pen often tore the paper. Br had noticed that inks used in newspaper printing dried quickly, leaving the paper dry and smudge free. He decided to create a pen using the same type of ink. Since, when tried, this viscous ink would not flow into a regular fountain pen nib, Br, with the help of his brother Gyrgy, a chemist, began to work on designing new types of pens. Br fitted this pen with a tiny ball in its tip that was free to turn in a socket. As the pen moved along the paper, the ball rotated, picking up ink from the ink cartridge and leaving it on the paper. Br filed a British patent on 15 June 1938. Earlier pens leaked or clogged because of incorrect viscosity of the ink, and depended on gravity to deliver the ink to the ball. Depending on gravity caused difficulties with the flow and required that the pen be held nearly vertically. The original Biro pen used capillary action and a piston that pressurised the ink column, solving the ink delivery flow problems. Later Biro pens had a spring that kept pressure on the piston, and still later the Biro pens used just gravity and capillary action. In 1941 the Br brothers and a friend, Juan Jorge Meyne, fled Germany and moved to Argentina. On 10 June, they filed another patent and formed Br Pens of Argentina. The pen was sold in Argentina under the Birome brand (portmanteau of Br and Meyne), which is how ballpoint pens are still known in that country. Lszl was known in Argentina as
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Ladislao Jos Br. This new design was licensed by the British, who produced ball point pens for RAF aircrew as the Biro; they found they worked much better than fountain pens at high altitude, the latter being prone to ink-leakage in the decreased atmospheric pressure. Eversharp, a maker of mechanical pencils, teamed up with Eberhard Faber in May 1945 to license the design for sales in the United States. At about the same time a U.S. businessman, Milton Reynolds, saw a Biro pen in a store in Buenos Aires. He purchased several samples and returned to the U.S. to found the Reynolds International Pen Company, producing the Biro design without license as the Reynolds Rocket. He managed to beat Eversharp to market in late 1945; the first ballpoint pens went on sale at Gimbels department store in New York City on 29 October 1945 for US$9.75 each. This pen was widely known as the rocket in the U.S. into the late 1950s. (www.worldwatch.org)

PROFILE OF THE BRANDED BALLPOINT COMPANIES IN INDIA REYNOLDS

G.M.Pens International Pvt. Ltd. is the exclusive licensee of Reynolds, France in India and the SAARC countries. Reynolds, France now belongs to Sanford Corporation of USA, a global leader in writing instruments. Headquartered in Chennai, G.M.Pens has pioneered the writing instruments revolution in the Indian market. G M Pens was established in the year 1986 to manufacture and market the Reynolds brand of writing instruments. In a short period of 20 years the company has grown from strength to strength and has changed the very way writing instruments are perceived in India. G.M.Pens has invested substantially in building up a large manufacturing base with facilities in Chennai and Pondicherry. A state of the art R&D facility in Chennai, one of the most sophisticated in the Reynolds family worldwide, ensures that the latest in writing technology is available to the Indian consumers.

CELLO

Cello Writing Instruments. The makers of India's favourite Cello pens are a part of Rs.1000 core (US$ 250mn.) Cello Group. Lauded as one of the world's best and India's largest pen manufacturer's and well known for its dynamism and spirit of innovation. Cello ceaselessly endeavours to bring in the newest and the best of technology to set new benchmarks in quality and innovates constantly to blaze new trails in the market place. At Cello, innovation is not just a guiding philosophy; it is a key business process, dynamism and a defining attitude. Today Cello offers one of the largest range of pens offered by any manufacturer in the world, all conforming to the highest global standards. The result of a well-equipped assembly line with over 180ultra-sophisticated injection moulding machines and a highly trained and dedicated work force of 10000. Cello's extensive global R & D, cutting-edge manufacturing technology, production, processes, globally sourced material and exhaustive quality standards are among the best in the world. It's what makes Cello Group strong business conglomerate. It's what makes a Cello a Cello.

LINC
Linc Pen and Plastics Ltd. take pride in itself on being a leading manufacturer and exporter of quality writing instruments in India. Our sales continue to grow year after year because of the quality of our products, and the innovation of our Research and Development teams. Our spirit of innovation has always focused on serving consumers writing needs. Linc has two large state-of-the-art manufacturing units located at West Bengal, India. Linc Pens is an ISO-9001:2000 certified Unit. Both the Units are well equipped with modern technologies and machineries which help in making a better work environment and thus resulting in production of quality writing instruments at competent prices. Our Units operate under strict quality control standards, ensuring the superior quality of all Linc products.

ROTOMAC
ROTOMAC GLOBAL PRIVATE LIMITED (ISO 9001:2008), was incorporated in the year 1992. The project was conceived with an objective to provide a good quality and economically priced ball pens in the market. Rotomac, today is a leading manufacturer of all kinds of writing instruments.

Accordingly, a world class integrated production facilities to manufacturer and a supply writing instrument was set up. Within a short span of time Rotomac became generic name for ball pens from a mere commodity to a highly valued branded product. It is one of the leading manufacturer and exporter of diversified range of ball pens, having highly satisfied customer base. Rotomac has a core team of young professionals, in the field of production, sales & exports and finance. Together they have achieved excellence in a very short time. Our engineers have been trained in leading writing instrument plants like Edding Germany & Pental Japan in various countries. Rotomac is very aggressive in the international arena. We participate in various trade fairs around the world. Presently Rotomac pen is being exported to more than 50 countries around the world. This inter-action gives us a chance to keep track of changing trends in the international market as well as continuously upgrade our technology.

CAMLIN
Camlin was established by Mr. Dandekar in his living Quarters in Mumbai in 1931. Camlin started operations with Horse ink powders and tablets, followed shortly by Camel ink. Today, the company manufactures art and stationery material and sells products like colors, fountain pens, pencils, adhesives and inks. It is also a market leader in colors space with presence across segments like writing instruments and scholastic. The company can leverage its strong brands namely Camel and Camlin and wide distribution network across the country.

TODAYS
Todays Writing Products Limited (TWPL), Incorporated in April 29, 1992 as Creative Stationo Products Ltd By promoter Rajesh.K.Drolia, a first Generation Entrepreneur is one of the leading manufacturer of pen in India. Company has now changed it names from Creative Staiono to Todays writing Products Limited since October 1995.The company came up with it maided public Issue at par in April 1996, which was oversubscribe two and half times.TWPL has been awarded with " Certificate For Excellence' by the "Writing Instrument Manufacturer's Organization Of India for the Year 2001-02, & 2002-03.

TWPL (R & D) has mastered the art of making the dies and designs of the pen, which gives it a significant advantage over its competitors, both in Organized and Unorganized sector. The company on an average launches 15 New Products every Year.

LEXI
Lexi Pens is an internationally acclaimed Manufacturer & Exporter of High Quality precision Tip Plastic Ball Pens, Plastic Gel Pens, Metal Pens and Refills SINCE 1997. We manufacture about 1 million pens a day and Sell about 365 million pens annually Worldwide. We hold the recognition for being India's Highest Selling single model pen (Lexi 5). Lexi Pens are best known and appreciated worldwide for their Originality of Designs, Quality, Affordability and their Ease of Writing. Lexi is considered one of the Most Preferred and Reliable pen brands in India amongst prevailing 4000 products. We have built a brand in a highly competitive Indian market within a very short span of time. We have undertaken special efforts to provide a unique packaging and "Original Quality Designs" to our partners worldwide. Lexi is valued due to our readiness to understand and deliver, cater to specific customer needs, consistency in supply and reliable after sales services.

MONTEX
In year1976 when we started our journey, and three decades later, Montex has written its own history. We began by manufacturing precision-finished nibs at one part of the world, and today we are recognized as a global brand name when it comes to writing implements. At the time, we focused our energies on exports, and catered to thousands of writers, in Africa, Asia, Australia, Europe and North and South America. Under the visionary leadership of our Chairman, Raman Jain, our business grew exponentially within a short period, and we expanded into manufacturing ball-point pens and accessories like plastic and metal refills, feeder sections, cap liners and even ink cartridges. Our writing implements, renowned for their Japanese aesthetics, Swiss technology and German ink, etched headline the world over and soon we were the largest exporter in Asia. In the year 2000, we tapped the Indian markets, and designed an innovative range of superiorquality, attractive pens exclusively priced to suit the Indian writer. These we sold under the Montex brand. To the young and old alike, Montex pens offered the finest, smoothest writing experience. We are proud to record that we met with the same thumping success as we did in the foreign markets. Many chapters hence, today, we are the premier writing instruments company in India, and continue to uphold our high writing standards.
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PARKER
Founded in 1888, PARKER has been an inspiration to people around the globe. A brand dedicated to passion for perfection and driven by bold innovation, PARKER's philosophy is to put consumers and craftsmanship first and this is what makes PARKER the most recognized fine writing brand globally. Launched in India 1996 by LUXOR WRITING INSTRUMENTS PVT LTD, a pioneer in the writing instruments market in India, PARKER offers an exclusive range of fine writing instruments, legends in their own right, and lifestyle statements relevant to every generation. PARKER has made a mark on the nation so much that it has been awarded ' The Most Trusted Brand' for five years in a row. Available PAN India, PARKER has served professionals impeccably with writing solutions that are a perfect combination of elegance, reliability, durability and timeless style. The very reason that PARKER has been writing thousands of success stories over the years. Even today it is an inspirational and a prized possession for Indian populace, as it was long ago- A True Timeless Appeal. LUXOR Luxor Group of Companies, headed by Mr. D K Jain, President of the Company, started manufacturing writing Instruments in India in the year 1963. Today LUXOR is the brand leader in Indian Writing Instrument Industry, having market share of over 20 percent with an excellent network of dealers and distributors. Luxor was formed in the year 1991. As of today Luxor is a leading manufacturer and exporter of Writing Instruments from India with over 15 percent of Export Market Share with its 4 manufacturing facilities in New Delhi and 3 at Bombay, employing over 600 people.

NEED FOR THE STUDY

The term consumer behaviour refers to the consumer understanding and

searching

for, purchasing, using, evaluating and disposing of products and service that they expect, will satisfy their needs. Consumers are highly complex individuals, subject to a variety of psychological and sociological needs apart from their survival needs. Pen has become a basic element for human survival and his ideas are easily transcripted for the beneficial of society and development and innovations. Understanding the literate society the marketer have developed new pen which can satisfy the need of the consumers in terms quality, comfortable writing tip etc. This pen segmentation helps to understand the need of the market and their satisfaction level. Studying this market industry of can develop new pen in the technological growth.

STATEMENT OF THE PROBLEM Considering the importance, features help the consumer determine the research problem is defined as to study "Awareness and preference of the ballpoint pen in Coimbatore"

SCOPE OF THE STUDY

The scope of the study extends to obtaining firsthand knowledge about the consumer preferences towards various branded ballpoint pens features in Coimbatore. The study will help the manufacturers to consider, building all features required by the consumers into the ballpoint pens. The study would provide the cues to the advertising agencies and marketing outputs to focus on specifics of features ballpoint pens as the unique selling propositions

OBJECTIVES OF THE STUDY The main objectives of the present study are as follows: To understand the influence of demographic factors while purchasing branded ballpoint pen To ascertain consumer's awareness about various branded ballpoints in Coimbatore. To understand the factors influencing buying decision of ballpoint pens Critically analyze consumer need, want and their preferences of ballpoint pens

CONSUMER BEHAVIOUR
Dr. Abdul Haneef, Dr. M. Edwin Gnanadhas and Mr.B.A. Abdul Karim (2010) absorbs the type of buyer behaviour involved in two-wheeler purchase is mostly "complex buying behaviour". Consumers are highly involved in a purchase and perceive significant differences among brands. Consumers may be high involved as the two -wheeler is costly, risky, purchased infrequently and highly self-expressive. Typically consumer has much to learn about the availability of different brands and models before taking the buying decision. The buyer will pass through a learning process, first developing beliefs about the product, attitudes and the making a thoughtful purchase choice. Everybody is the consumer. Each of us buys and sells or consumes goods and service in the life. The relevance and importance of understanding consumer behaviour is rooted in the modern marketing. The needs of not even two consumers are the same. Therefore, they buy only those products and services, which satisfy their wants and desires. To survive in the market, a firm has to be constantly innovating and understanding the latest consumer needs and tastes. It will be extremely useful in exploiting marketing opportunities and in meeting the challenges that the Indian market offers. A study of consumer behaviour is significant for regulating consumption of goods and thereby maintaining economic stability. Within the board framework of marketing, the area that entices most researchers is the study why a consumer behaves in a particular way. The complexity of the behaviour is the study of how individuals make decisions to spend their available resources on consumption of related items. (Schiffman, 1978)

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