A SUMMER TRAINING REPORT ON

"CONSUMER BUYING BEHAVIOUR FOR BALL PENS"

AND COMPANY OVERVIEW

AT

"TODAYS WRITING PRODUCTS LIMITED" DADRA SILVASSA

SUBMITTED IN PARTIAL FULLFILLMENT OF THE REQUIREMENT OF MBA PROGRAMME

SUBMITTED BY: SHAH.VIRAG.A MBA (3RD SEMESTER)

UNDER THE GUIDANCE OF: INTERNAL GUIDE AT GRIMS PROF: JAYSHREE TAILOR EXTERNAL GUIDE AT COMPANY
MR. SUSHIL SHARMA (GM, Sales & Marketing)

POST GRADUATE CENTRE GIDC RAJJU SHROFF ROFEL INSTITUTE OF MANAGEMENT STUDIES, VAPI AFFILIATED TO VEER NARMAD SOUTH GUJARAT UNIVERSITY, SURAT

PROJECT PREPARED AT :
TODAYS WRITING PRODUCTS LIMITED" DADRA SILVASSA.

OBJECTIVES OF REPORT

To understand the Business Mechanism and to run it profitably in Competitive Business Environment.
To Understand the role of each subsystem (Dept) and its relationship with other Subsystems for the Business as a System To get the Practical Interface of Industry by applying Theoretical Concepts. To know about consumer buying Behaviour regarding pens.

INDUSTRY OVERVIEW
The size of the writing Instruments Industry in India is estimated at about
Rs 1800 Crores of which organized players account for 70% of the market share and the unorganized players for the rest.

Industry Grew by 15% and 13.5% in 2004-05 & 05 -06 respectively. Growth is mainly due to Consumer demand which rose due to easy
availability, affordability, quality & Brand Name. Other factors crucial to
Growth of Industry are as under:

Increase In Literacy over the Years 55% of Population below 25 years of age. Affrodability.(Huge Product Varities, Types & Price Range). Increased Promotion efforts & Different Product Designs.

Cont.Other Key Information

Changing Consumer Behaviour: Previously consumer use to purchase a

single pen for all purpose, but now its change there are different pen for different purposes and even different types of pen for varied consumer taste, preferences, mood, needs & occupation.

Global Writing Instrument Industry : The global Writing Instrument

Industry is estimated at Rs 50000 (p.a).Growth of Different Country
Market are as Under:

USA : 5% 2005 06

CHINA : 10% 2005 -06.

INDIA : 10 15% 2005 -06, Expected Growth over 3 Years Is the
10 12% (AC.Nielson Retail Audit).

MARKET INFORMATION

The worldwide Market's Size for Writing Industry is Rs 50000 crores (p.a) USA market alone is $2.2 Billion Dollars (App 10000 Crores Rs). Chinas exports of Pens are over Rs 5000 Crores (p.a). India's Pens Exports are merely Rs 200 Crores (p.a). The Annual Turnover of the Industry in India is now estimated at Rs 1800 Crores (p.a) and is expected to Increase annual growth rate by 15-20% (p.a). India is Viewed as Quality Supplier, where as China as Cheaper and Lower quality Products. Germany, Japan, Taiwan & Korea were hubs for the Writing Instrument Industry, But due to cast factor manufactured have started shifting to China and India. Previously Switzerland was the manufacturing centre for Ball point Tips, but now India is emerging as a major Tip Manufacturer satisfying not only Domestic demand but Global Demand Also.

COMPANY OVERVIEW
Todays

Writing Products Limited (TWPL), Incorporated in April 29,1992 as

Creative Stationo Products Ltd By promoter Rajesh.K.Drolia.

It has 3 Plants at Dadra, Tighra & Damni in UT Silvassa.(TWPL, Millenium &

Premium Writing Products).

Produces Ball, Gel, Ink, Markers Pens and out sources Stationary Items in

Full Range from other local manufacturers but markets through its own Brand
Name TODAYS

Daily Production Capacity of all 3 Plants is Approximately 14 lacs Pen/Day.

Brand Image : One of the leading company in Indian Writing Instrument

Industry.

Advertisement Logo: "EVERY PEN SPEAKS

ACHEIVEMENTS OF COMAPNY
YEAR (1992)

(YEAR 1995)

Incorporated as Private Limited Company in the name and style of Creative Stationo Products Pvt Ltd

The Name of the Company changed Todays Writing Products Ltd Various Products in Economy and Premium Range launched and well accepted in the market. In the very first year of operating Company made a Net Profit.

(YEAR 1996)

(YEAR 1996 97)

Company went for IPO 25,00,000 Equity shares. And is Listed on 6 Stock Exchanges. The blockbuster Brand Khusboowala was Launched that improve the Brand Image (Domestically & Globally). Turnover of the Company Crossed (Rs 25 crore).

(YEAR 1998)

A Series of Marketing and Promotional events led to Increase in distribution Network from 50000 Outlets to 3,00,000 outlets It include A slogan Created to Encourage the Indian cricket team during the World Cup (Jeetna Hal Todays). Celebrity Endorsement for product and merchandising Various Times. Celebrity used are Salman Khan, Hrtihik Roshan, Raima Sen etc.. Sponsorship of Mumbai Cricket Team with Sachin Tendulkar, VInod Kambli Agarkar And Others.

Cont

Turnover of the Company Crossed 50 Crores. Ball Pen and Refill production crossed 10 lakhs Pieces Per day Merger with Profit Making Todays Writing Instruments Ltd Successfully Completed.

(YEAR 2000)

Turnover of our company crossed.(75 Crores)

(YEAR 2001)

Retail Market Penetration reached to more than 4,00,000 Outlets.

(YEAR 2002)

Signing of the MONAMI agreement (September 2002) Launch a Gel Pen at Rs 5/- Price Point First time in India as Gel Pen were sold at Minimum of Rs10/-Per piece

(YEAR 2003)

Entered into an Agreement with Pounland with 150 Retail Outlet all Across UK.

(YEAR 2005) Started Stationary Business by Outsourcing Pencils,Erasers,Scales,Notebooks selling through existing Brand Name Today's Entered into Agreement with JL MORRISON, for marketing their products under the companies sole Brand Name In Srilanka.

MARKET PLAYERS

Competitors are as under: Cello. Addgel. Reynolds. Parker. Linc. Montax. Other Unorganized Players.

MARKET

MARKET SHARE OUT OF 80%

SHARE OF DIFFERENT COMPANIES. 25

20 15 10 5
TODAYS

CELLO

ADDGEL

REYNOLDS

COMPANIES

OTHERS

LOCATION ADVANTGAGE
1. 2. 3. 4. 5. 6.

TAX FREE ZONE. CLOSENESS TO FINANCIAL HUB (MUMBAI). INFRASTRUCTURE FACILITIES. AVAILABILITY OF POWER. AVAILABILITY OF CHEAP LABOUR. AVAILABILTY OF WATER FACILITIES.

VISSION OF THE COMAPNY

"To be India's NO 1 Company in Writing

Instruments and Office Stationary Industry Dedicated to Quality and Consistent Performance

MISSION OF THE COMAPANY.

Consistently make good Products at the friendliest Prices.. Constantly Grow in Volume and Value through New Ideas And by Imbibing the World's Best Technologies, Continuing to remain relevant to our customers in India and the World as a Brand that Stands for our Quality and More Value for Money than any others..

COMPANY SWOT ANALYSIS

A. STRENGTHS. Brand Equity Designing and Mould Making Mass Manufacturing High Quality & Low Cost: Distribution Network Institutional Sales B. WEAKNESSES. Government Restriction on Investment. Unability to Compete Unorganized Players.

Cont..
C. OPPURTUNITIES. Growth In Gel Pen Segment. New EOU,for Office Stationary. Rising Raw Materials Prices,pressurising unorganized players. D. THREATS. Increased Number Of Domestic Players. Increasing Influx of chinese products in coming years. Duplicity of Product & its design especially by unorganized players.

TYPES OF PRODUCTS
The Company is engaged in manufacturing the following products at it different plants. Ball Pen. Gel Pen. Ink Pen. Roller Pen. Stationary Products (Outsourcing It).

RAW MATERIAL USED

The following is the list of raw material use to manufacture different parts of Pen. Plastic Granules. Inks. Tips & Points. Packaging Materials.

PRODUCTION PROCESS.
The production process involves converting the raw material into finished goods. The following are the steps involve in making Pens.
INJECTION MOULDING PROCESS

REFILLING PROCESSS Foiling Stage LABELLING PROCESS (ON Cap & Body of Ball Pens) Plotting Stage. ASSEMBLING PROCESS

Packaging

QUALITY CONTROL
There are 4 stages that are undertaken at TWPL. I. Preliminary Inspection. II. Daily Production Process Inspection III. Post Production Inspection. IV. Final Inspection.

MAINTENANCE ACTIVITY.
At TWPL, maintenance activity is very necessary in order to ensure continuous production as it has around 14 lacs pieces per day. Thus maintenance is required. The following types of maintenance is done:

Routine Maintenance. Running Maintenance. Shut down Maintenance.

Maintenance Activities.

COMPANIES FINANCIAL PERFORMANCE AND ROBUST GROWTH

Company

Robust Growth Chart Is attached as a Hyperlink Document. COMPANIES FINANCIAL PERFORMANCE AND ROBUST GROWTH.doc

Turnover & Profits.

TURNOVER (In Lakhs)
PROFIT OF THE COMPANY
900 800 700
RUPESS (LACS)

Profit Rs 900 800 700 600 500 400 300 200 100 0 2005 2004-05 2003-04 2002-03 2001-02 Dec Year

500 400 300 200 100 0 2005 Dec 2004-05 2003-04 YEARS 2002-03 2001-02

Rs (Lakhs)

600

DISTRIBUTION OF INCOME
Retained Earnings
Particulars Retained Earnings Depreciation Interest Paid Dividend & Tax Corporate Tax Other Overheads Advertisement Rate % 6 3 4 2 3 2 1

Dividend & Tax Advertisement

Depreciation % EXPENSES Corporate Tax Selling & Dist Exp

Interest Paid Other Overheads Manpower Cost Material Cost

Packing Material Cost Manufacturing Cost 66%

Selling & Dist Exp

Manpower Cost Packing Material Cost Manufacturing Cost Material Cost

4
2 3 4 66

6% 4% 3% 2% 4% 4% 1% 2% 3% 2% 3%

RATIO ANALYSIS
RATIO TYPE
Net working Capital

FORMULA
Total Current Assets + Total Current Liab

CALCULATION
82, 82, 10595 + 24, 27, 58559

INTERPRETATION
107, 09, 69154.

Current Ratio
Quick Ratio

Current Assets / Current Liabilities

Current Assets Inventory / Current Liabilities Sales or COGS/ average Inventory sales/ average debtors 360/ debtors turnover = sales / net current assets Debt/Equity*100

82, 82, 10595 / 24, 27, 58559

82, 82, 10595 25, 23, 01172 / 24, 27, 58559 94, 45, 88471/ 25, 23, 01172/2 94, 45, 88471/45, 03, 76337/2 360/4.19 94, 45, 88471 / 58, 54, 52036 25, 64, 18395/57, 87, 40729*100

3.41: 1
2.37:1

Inventory turnover Ratio Debtors turnover ratio Collection period Working capital turnover ratio Debt Equity Ratio

7.5 times 4.19 times 85.91 Days 1.61:1 0.44 %

Cont
RATIO TYPE
GP ratio

FORMULA
G P / sales

CALCULATION
94, 45, 88471 62, 88, 15470- 14, 98, 30265/ 94, 45, 88471 7, 37, 02704 / 994, 73, 52987*100 7, 37, 02704/58, 5452036*100 5, 25, 13637/9473, 52987*100

INTERPRETATION. s
17.81%

Net Profit Ratio Return on Equity Selling Expenses/Total Revenue%

PAT / Net Sales*100 PAT/Net Assets*100 Selling Expenses/Total Revenue%

7.77% 12.74 % 5.59%

HUMAN RESOURCE PLANNING

Identification of deficiency of manpower Source of supply through references

Matching the supply with the requirement

Recruiting the personnel at a particular post as per is qualification. Giving them targets and furnishing timely reporting to measure the standards against the actual achievements..

Indent Of Vacoancy

TOP LEVEL only through Promotion

Advertisement for filling the vacavcy

Employment Agencies

Newspapers

Labour Market

Inviting Application from Candidates

For Worker Its Direct Selection after Approval Of GM Production.

For Administrative Staff, 2 Phase Interview Process Selection Of Candidate for 6 Months

IF YE S

IF YES

Permanent Staff for TWPL IN INDIA (Any Where)

OTHER ACTIVITIES OF PERSONNEL DEPARTMENT

Other activities followed at TWPL, are as under: I. TRAINING. II. PEFORMANCE APPRAISAL. III. ACTIVITIES OF PERSONNEL DEPARTMENT. Time Keeping.
Salary, Wages& Compensation.

Employee Welfare Activities.

MANPOWER REQUIREMENT
The Company is going to set up a New Unit EOU at Silvassa,where the capacity of producing the pen would be as under:
1.
2. 3. 4. 5.

Ball Pen 12 Lakhs Pieces Per Day...

Gel Pen 7 Lakhs Pieces Per Day. Refills 20 Lakhs Pieces Per Day. Highlighters 0.5 Lakhs Pieces Per Day. Markers 0.5 Lakhs Pieces Per Day. For the proposed project it is sure that the company requires a high potential employee willing to work dedicatedly to achieve the target and perform. The following

chart shows the additional Manpower Requirement for the Project. Thus manpower
requirement is as under :MANPOWER PEQUIREMENT FOR NEW PLANT.doc

CORPORATE STRUCTURE
CMD

CFO

GM Sales

Chief Operating Officer

Manager Finance Director Commercial

Manager Accounts

Manager Domestic Sales

Manager
Intl Sales

Manager. Institutional Sales

Sr Mger Legal & Secretarial

VP Administration & Marketing

Manager Purchase

Manager Stores

Manager HRD

Manager EDP

CEO. EOU

GM Production

GM Tech Development

GM R&D

CORE COMPETENCY

The biggest strength of the company which its competitor are not able to capitalize is Its Own R&D, In-house Manufacturing of Mould & Dyes this

enables the company to launch Newer and Newer Design and varieties
faster than its competitiors.It also reduces it production cost giving a competitive price advantage over its competitions in organized sector. Company has its separate Brand Wonder Gel in many varieties as a result

of which company is Leader in Gel Segment.

Other Things Contributing to Success Of the Company are as under Extensive Distribution Network, reaching 4, 40,000 Retail outlets. Huge Production Capacities 14 Lakhs Pieces Per day. Large Varieties of Pen (Ball & Gel) in Different Price Range. Stationary Items.

MARKETING MIX OF THE COMPANY

Marketing mix is a set of controllable marketing variables that the firm plans to produce the response it wants in the target market. It Comprises mainly of 4P,s, they are as under:

A. PRODUCT:

A Product is anything that can be offered to a market to satisfy a want or need. A product mean the bundle, which satisfy human needs.TWPL is major manufacturer of following products:

Ball Pen
Gel Pen Refills Office Stationary.

Cont Pictures Of the Product.

Cont.

Cont

PRODUCT VARIETIES
TWPL is having large varieties of Ball pen And Gel Pen which is contributing to success of the firm since years. On an Average the Company Launches 15 New Products & Design Every Year out of which majority of them are successful. The list of different Ball & Gel, in different Point size is as under.
Name of the Product 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. Todays C5 Todays Cameos Todays Floral New Starry Notty Boy School Mate Extra Mate 24 Carat Export) Colour Slim Todays Combo Extra Point Todays Gel @ 5 Ink Advisor Todays MIG 1 Pirate Ball Sonic Ball Super Smooth Walker Todays 18 Carat ZEE 200 TRIK Pocket Pen Todays Jockeys Ball Pen/ Gel Pen. Ball pen Ball Pen Ball & Gel Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball & Gel Ball pen Ball Pen Gel pen Ball Pen & Gel Ball Pen Ball & Gel Ball Pen Ball pen Ball Pen Ball Pen Ball Pen Ball Pen Ball pen BallPen Point/Tip Of the pen(mm) 0.5 0.6 0.5 0.6 0.5 & 0.6 0.5 0.6 0.7 0.5 & 0.6 0.6 0.5 0.6 0.5 0.5 & 0.6 0.5 0.5 & 0.6 0.5 0.5 0.6 0.5 0.5& 0.6 0.5 0.5 Price Per Piece MRP. 5.00 5.00 5.00 6.00 5.00 5.00 5.00 15.00 6.00 6.00 7.00 5.00 5.00 7.00 &5.00 10.00 10.00 12.00 10.00 12.00 2.00 3.00 3.00 2.50

Product Varities for International Market

Point/Tip Of the pen(mm)

Name of the Product .1Arrow Ball

Ball Pen/ Gel Pen. Ball Pen

0.5

.2Cushion Ball
.3Sonic Ball .4Writer

Ball Pen
Ball Pen Ball Pen Ball Pen & Gel Pen Ball Pen Ball Pen

0.5
0.6 & 0.5 0.6 & 0.5

.5Walker Gel
.6Carat 24 .7Zooter India

0.6 & 0.5

0.7 & 0.6 0.6

cont

Product Varieties
Name of the Product Ball Pen/ Gel Pen. Price Per Piece MRP.India

INTERNATIONAL & DOMESTIC PREMIUM BRAND WONDER GEL

1. 2. 3. 4.

Wonder Gel Jasmine Wonder Gel School Series Wonder Little Heart Wonder Perfume Gel

Gel Pen Gel Pen Gel Pen Gel Pen

5 5 5 5

5. 6.
7.

Wonder Chroma Wonder Apple Gel

Wonder Sparkle Gel

Gel Pen Gel Pen

Gel Pen

5 5
5

Product Features.
TWPL, has different Pens in different Price range and with different characteristics, out of which features of some premium selling Pen of the company is as under :
Pocket Friendly Clip Clear Crystal Body High Technology Tip Permiting smooth Ink Flow 1st Gel pen @ Rate of Rs 5 in India.

Gel Pen @ 5 Todays its features are as under:

Smooth & Precise Writing Ink Level Indicator Easy Snap Cap.

Ink Adviosr

Smart Executive look. Metallic Clip. Inbuilt Grip for better Handling Soft Grip Outer for long Writing

Todays walker

Carat 24 & 18

Innovative Design. & Executive Look Smooth Precise Writing Eay Snap Cap.

Cont...

Product Packaging

Packaging is the most important for any product from protecting it against any damage, At TWPL packaging is done in different sizes using different material and in addition to it serves as a promotional and tool for the company. The packaging of Pen is done as under:

Single Piece Packaging Double Piece Packaging Five Piece Packaging Ten Piece Packaging Hanger Packaging ( IN 5,10&20)

Transparent Plastic Bags with Logo Transparent Plastic Bags with Logo Coloured Plastic Thick Bags with Logo Hardbound Boxes with Logo Corrugated Boxes, with Customer Logo on the Pen.

For Corporate Customers

PRICING
It is the exchange value of product or services always expressed in monetary terms. Price is matter of Importance both for the buyer and seller. Price is important factor in consumer purchase decision. At TWPL, the Product pricing are reviewed at the end of each Quarter by M.D & V.P (Sales & Marketing) in consultation with other senior Executives and Director of the Company. The Price is decided considering the following types of cost and other variables:

FINAL PRICING

Raw Material Cost

Production Cost

Transportation Cost

Packaging & Labeling

State Wise Duties

External Factors. Consumer Regional Demand. Competitors Product. (Cello)

Cont Price & Sales Break Up Source: Companies Annual Report.

PRICE RAN GE (RS) Rs 1 3 Rs 3-5 Rs 5 7 % SALE
Rs 7 10 7% Rs 10 & Above 10% Rs 1 3 9%

9 19 55
Rs 3-5 19%

Rs 1 3 Rs 3-5 Rs 5 7

Rs 7 10
Rs 10 & Above

7
10

Rs 7 10 Rs 10 & Above

Rs 5 7 55%

PLACE (DISTRIBUTION)
Distribution is an important function of any organization. Making the product available at right place and at right time with less cost is the key objective of any distribution management personnel.The Distribution channel of the company is as under:
MANUFACTURI NG FACILITIES

SUPER DISTRIBUTORS ZONE WISE DISTRIBUOTRS STATE WISE

WHOLESSELER S

RETAILERS

CONSUMERS

Cont Distribution
TWPL is having a extensive distribution network throughout India with more than200 Special Distributors across the Country, and 4,40,000 retail outlet. The distribution of Today is done across India by Zone Wise. The Zone Wise charts is attached here under as a Hyperlink. DISTRIBUTION ZONE WISE.doc

Region wise Sales Break Up

Sales%

Zone Eastern Western Northern

Sales% 5 54 10

Eastern

Western

Northern

Southern

Export

Others

Export Southern

Others

Eastern

Southern
Export Others

10
2 5

Northern Western

PROMOTION.

Promotion plays a distinct role in marketing. It is a combined effort of salesman, advertisement and marketing channels. At TWPL, promotion is done using the following ways.
The advertisement message of the company is Every Pen Speaks. The company is engage in heavy advertisement almost using all mediums. It is spending on an average 6 crore rupees on advertisement in different forms. It is also using Celebrities in advertisement to market it pen such as Hrtihik Roshan, Raima Sen. Vinod Kambli.etc. It also uses different event as a marketing source, the most successful was to be associated with World Cup India team (JEETNA HAI TODAYS).It mainly uses preference Advertisement mode rather than Brand Awareness.

1)

ADVERTISEMENT:

2)

SALES PROMOTION CORPORATE SALES PROMOTION INTERNATIONAL SALES PROMOTION

3) 4)

OBJECTIVES OF STUDY
"Identifying Consumer Buying Behaviour regarding Pens SUB OBJECTIVES:
1.

MAIN OBJECTIVE

To identify the influence of different characteristics/features of Pen on Consumers in different segments.(i.e) Student, Business Person, Service Person To find out why consumer prefer particular brand of pen? Which are the factors that influence and motivate him to buy the preferred brand of the pen? To get a better understanding of pen Market. To find the most preferable brand among the various kinds of pen and to find which brand enjoy the market leadership position To study the impact advertisement on consumers in different Age Group, Income Group & by profession To help the Company Marketing Managers to Design an Effective Marketing Mix for it target Customers

2.

3. 4.

5.

6.

RESEARCH METHODOLOGY.
METHODS OF DATA COLLECTION PRIMARY DATA & SECONDARY DATA .

RESEARCH INSTRUMENT
TYPES OF QUESTIONS PURPOSE OF THE STUDY DEGREE OF RESEARCH QUESTION CRYSTALLISATION TIME DIMENSIONAL METHOD OF DATA COLLECTION RESEARCH ENVIRONMENT SAMPLING AREA SAMPLED POPULATION SAMPLE SIZE SAMPLING TECHNIQUE

QUESTIONNAIRE.
OPEN & CLOSE ENDED. 13 QUESTIONS. DESCRIPTIVE STUDY. EXPLORATORY STUDY. CROSS SECTIONAL (In Span of 8 weeks). PERSONAL INTERVIEW. FIELD STUDY. VALSAD, VAPI, KILLA PARDI. STUDENT,BUSINESS & SERVICE PERSON, HOUSEWIFES, PROFESSIONALS ETC. 100 CONSUMERS. CONVIENENCE SAMPLING.

ANALYSIS OF QUESTIONS
1.
Which brand of Ball Pen do you prefer to Write ?
Brand Responses Todays 11 Parker 19 Cellos 41 Montax 3 Addgel 9 Reynolds 8 Others 9

45 40 35 30 25 20 15 10 5 0

Todays

Parker

Cellos

Montax

Addgel

Reynolds

Company

Others

Cont.. Q1
Brand
Business Person

Todays

Parker

Cellos

Montax

Addgel

Reynolds

Others

4 3 2

6 4 7

12 15 10

1 1 1

1 4 3

4 1 2

2 2 5

Service Person

Student

Others

--

Q2.

Which type of Pen do you currently use?

Gel Pen 22 Ink Pen 2 Pilot Pen 4 72

Ball Pen

Pilot Pen

Type Of Pen

Ink Pen

Gel Pen

Ball Pen

20

40

60

80

No Of Respondant

Q3.

Which Colour Of Pen Do You Normally Use?

Blue 75 Red 6 Black 15 Multiple 4

80 70 60 50 Responses 40 30 20 10 0 Blue Red Colour Black Multiple

Q4

Which BallPen Point Do You Normally Use ?

0.5 40 0.45 6 0.6 40 0.8 14

Point of Pen

Occupation Group Business Person Service Person Student Others

0.5

0.45

0.6

0.8

13

10

14

10

13

11

--

--

Q4. Cont
4
0.8

Ball Point

3
0.45

0.6

1 0 10 20 30

0.5

40

50

Responses

Q5

Which Characteristics of Pen Influence Your Buying Decision?

Features Response Point 15 Grip 11 Price 26 Long Life 6 Ink 7 Performance 35

Characteristics of Pen Occupation Group

Point

Grip

Price

Long Life

Ink

Performance

Business Person

Service Person
Student Others

4
5 1

3
5 0

10
5 2

1
0 2

2
3 0

10
12 5

Q5.Cont
Performance Point Grip

Ink Price Long-Life

Q5.

Cont.. HYPOTHESIS TEST (USING CHI SQUARE). PRICE. Ho: The null hypothesis is that, Price does not have influence on buying decision of Business Person. H1: Price influences on buying decision of Business Person.

Income >5000

O 1

E 7.5

(O E) 42.25

(O E) /E 5.633

5001 10000
10001 20000 20001 & Above

10
14 5 30

7.5
7.5 7.5

6.25
42.25 6.25 Calculated value

0.8333
5.633 0.8333 12.93

Table Value of X2 for 3 (dof) at 5% significance level is 7.85 Calculated value of X2 is greater than table value so null hypothesis is Rejected Conclusion:- ,As null hypo is rejected so alternate hypothesis hold true, that it can be concluded that business person buying decision is influenced by the price of the Pen.

Hypothesis Test (B) POINT.

Ho: he null hypothesis is that, Student buying Decision are not influenced by the Point of Pen. H1: Point influences on buying decision of Students.
Age Group >5000 5001 10000 10001 - 20000 20001 & Above 2 1 0 0 O 0.75 0.75 0.75 0.75 E (O E) 1.5625 0.0625 0.4218 0.4218
2

(O E) /E 2.0833 0.8333 0.5624 0.5624

Calculated Value 3.2914

Table Value of X2 for 3 (dof) at 5% significance level is 7.85 Calculated value of X2 is less than table value so null hypothesis is Accepted Conclusion:- So alternate hypothesis holds true that, point of the pen does not influence the buying decision of students

C) PERFORMANCE (Combination of more than 1 variable)

Ho: The null hypothesis is that, Performance does not have influence on buying decision of Service Person. H1: Performance influences on buying decision of Business Person.
(O E)
2

Income Group

(O E) /E

12 20
21- 25 26 - 30 31 - 40

3
2 3 2

2.5
2.5 2.5 2.5

0.25
0.25 0.25 0.25 Calculated Value

0.1
0.1 0.1 0.1 0.4

Calculated value of X2 is less than table value so null hypothesis is Accepted Conclusion:- So alternate hypothesis holds true that, Performance of the pen is the most influencing characteristic impacting the buying decision of Service Person.

Table Value of X2 for 3 (dof) at 5% significance level is 7.85

Flow chart showing the responses on the

Q6. ). Do You Choose Only One Brand ?

YES 36 HIGH 9. MODERATE 19

LOW 8 NO 64

Because of Advertisement 8 8 Because of Advertisement Change In Price 15 15 Change In Price

Due to Fashion 7 7 Due to Fashion

New Product Design 22 22 New Product Design

Product Performance 12 12 Product Performance

Q7. Do you refill Your Pen Regularly?

YES 25 NO 75

Pen Cost is Negligible Than Refill 40

Replacement Results in Poor Performance 21 Refill is unavailable 9 Others 5

Q8.

Q8 Which Advertising Media Influence You the Most ?

TV Advertisements 45 Banners & hoarding 19 Newspapers & Magazines 27 Internet 9

50 TV Ad 45 40 35 30 25 20 15 10 5 0 Internet Banners Newspapers

Q8.

Hypothesis Test Using Anova Analysis. Null Hypothesis :- Ho: The null hypothesis is that, Influence Of Advertising Media Does Not differ By Profession"

Type Of Media Occupation Groups Business Person Service Person Student Others Total TV 10 18 14 3 45 Banner & Hoarding 4 5 9 1 19 Newspapers 12 4 5 6 27 Type Of Media Occupation Groups Business Person Service Person Student Others Total TV 3 11 7 -4 17 Banner & Hoarding -3 -2 2 -6 -9 Newspapers 5 -3 -2 -2 -1 Internet -3 -4 -5 -7 -7 Total 2 2 2 -18 -12 Internet 4 3 2 0 9 Total 30 30 30 10 100

Cont.

Source Of Variation Correction Factor = T2/N = (-12)2= 9. 16 Sum of Squares Between Columms = 174 Between Colums (Advertisemnts) Degree Of Freedom = v = (4 1) = 3 Sum of Squares Between Rows = 75 Degree Of Freedom = v = (4 1) = 3 Between Rows Total Sum of Squares = 377 (Profession) Degree Of Freedom = (16 1) = 15. Residual Total

Sum Of Squares 174

Dof 3

Mean Square 58

75
377

3
15

25
25.13

Comparison of Advertisement variance estimate with residual variance estimate F = Greater Variance
Smaller Variance = 58 25.133 = 2.30

Table Calculation :- The table value of F for 3 and 15 DoF at 5% level of significance is 3.2874. Comparison of Profession variance estimate with residual variance estimate F = Greater Variance Smaller Variance = 25.133 25 = 1.00532 Table Calculation: - The table value of F for 3 and 15 DoF at 5% level of significance is 3.2874. Conclusion: - For both comparisons calculated value is less than Table value, so null hypothesis is REJECTED. Thus it signifies that the influence of advertisemnt media does not differ by sprofession or occuaptional GrouP.

Q9 Which Price Range Does your Pen belong To?

15 17 6-- 10 24 11 20 40 7

21 30

31 - 50 7

50-above 5

Occupation Groups
15 6 --- 10 11 20

Price Range
21 30 31 - 50 50-above

Business Person
Service Person Student

1
4 9

9
7 8

17
11 5

1
4 2

2
3 3

-1 3

Others

--

40

24 17

7 1 5 6 -- 10 11 20

7 5

21 30

31 - 50

Price Range

50-above

Q10. Which Type of Scheme Affects Your buying Decision ?

Extra Refill Discount On Bulk 44 Free Pen 28 Others 11 17

45 40 35 30 25 Responses 20 15 10 5 0 Extra Refill Discount On Bulk Free Pen Others

Promotional Schemes

Q11.

According To You Which Pen Brand Enjoys Market Leadership Position?

Parkers 15 Cello 59 Montax 6 Addgel 6 Reynolds 9 Others --

Todays

From the above chart it is clear that cello enjoys market leadership position I the market as almost 60% of responses have revealed that they recognized cello as the leader among all the companies. At 2nd position it is Parkers. Reynolds is at 3rd position but for Todays it shows that it is recognized Market Leader by least number of responses in spite the Toughest competitor of Cello n organized Sector as compared to any other players.

Q 12

Which Type Of Writing Do you Prefer ?

Bold 24 Crispy 28 Fluent 35 Emphatic 13

35 30 25 20 Re sponse s 15 10 5 0 Bold Crispy Fluent Emphatic Type Of Wrting

As most of them like Fluent & Crispy writing the demand for the Pen in the Pont size of 0.5 , 0.45, & 0.6 ould be highest and 0.8 & 1mm pen would be less demanded. Thus companies should concentrate on producing pen in the same Nib Size.

Q 13. Rank The Following Types Of Pen Ranging From ( 1 to 4)?

Types 1
st

nd

rd

th

Ball Pen Gel Pen Ink Pen Pilot Pen

58 19 16 7

18 44 27 11

18 26 29 27

6 11 28 55

70 60 50

Responses

40 30 20 10 0 1st 2nd Ranking 3rd 4th Ball Pen GelPen Ink Pen Pilot Pen

CONCLUSION (FINDINGS).
Cello Brand enjoys market leadership position and it is also prefer by the majority of the consumer

for writing among different brands OF Pen available in the market. In different types of Pen, BallPen is preferred by most of consumers and they have ranked Ball-Pen as No 1 among different Types of pen Blue Colour is preferred by the consumer among different Colours Majority of the Consumer prefer Ball Point of 0.5 & 0.6 mm and they like Crispy and Fluent hand writing as this point size gives the desired writing to consumers Most of the consumers Buying Decision is not only influenced by any specific single characteristics but it is influenced by either the combination of more than 1.Thus majority buying decision is influenced by Performance of Pen in Total, Of course in different consumer segments there are different characteristics impacting buying Decision. OCCUPATION WISE ANALYSIS:-

For Service Person: Price & Performance have impact influence on buying

For Business Person: The most influencing characteristic impacting buying decision is Price.

decision. It signifies that Service Person purchase pen not only considering price but along with it some different features such as Grip, Long Life, etc are also impacting the Decision. But still Price & Performance are dominating features for this Consumer Segments. For Students: - In this consumer segment it cannot be predicted or analyzed that any 1 characteristic is impacting their decision. But student wants everything in the Pen Affordable Price, proper Grip, Long Life and even the performance of the pen. Thus student buying decision regarding pen is influenced equally by almost all variables

Cont
In the Pen Market the consumers are not loyal to a particular Brand,

majority of them do not stick or purchase the same brand. Repeat Purchase is very less. Consumers do not purchase the same brand mainly due to Influx of Newer and Newer Products in the Market by different players and in different Price range ultimately changing the consumer buying Decision

In the Present market condition where Pen is available even in the Price Range of Rs 1 3, consumers do not go for refilling the Pen. They do not refill pen as the Believe that New Pen Cost is Negligible as compared to purchasing a refill For E.g.. Todays Wonder Gel Rs 5 and refill of the same is of Rs 4.Even the refilling does not give the same writing performance as of the original refill. So consumer refrains from refilling the Pen.

TVs Advertisement is having a significant impact on majority of the Consumer, but Influence of different Advertising Media is not differing by Profession. Thus almost all media is having the impact on buying decision of different consumer Segments.

RECOMMENDATION.

Cello Company is regarded as No 1 market leader due to its product varities mainly in the Price range ranging from Rs 5 20 this is Low Price Segment where majority of consumers prefer to buy their pen. And in the Point Size of 0.5 & 0.6 cello has huge product range. but At the same price range Todays have very less products which can satisfy consumer need and even in the Point Size it has more Pen in 0.6 & 0.8 mm and do not have large varities in that Point Size which is impacting the sales in different consumers segments. So hereby I suggest that Company (Todays) should come up with the product in Effective Price range Of Rs 5 20, with Point Size of 0.5 & 0.6, targeted to different consumer segments. Todays Company is spending huge sum of money on Advertisement, with Logo (Every Pen Speaks) but like other Companies it is not targeting specific segments. From the survey it is clear that different variable/features influence buying decision of consumer in different segments. Thus Company should not have a common Positioning for all Target Markets. The companies should try to focus on a target group by focusing on various characteristics that affect their buying decision. For Different Consumer Segments.

Cont
Occupational Group What Targeted Price Should Be Characteristics/Featur es to Emphasized in Product
PERFORMANCE & PRICE PRICE. PERFORMANCE.

Business Person Rs 11 - 20 Service Person Student

Rs 11 - 20 Rs 11 - 10

Company also does not have any specific product emphasizing specific characteristic like Point, Price, Grip etc.Thus it should also have such product in order to fight the competition. For E.g. Cello has TECHNO TIP, emphasizing Tip Point), Cello Gripper (For Grip), Cello Meterwala Pen (For Long Life ).

Cont.. Suggestion General

In this world of Competition there is competition not only from organized players but unorganized players also.Todays is also getting tough competition from unorganized players,I hereby suggest that Todays with its own R & D facilities can outperform this unorganized players by producing the Pen In the price range of Rs 1 -3 (i.e.) Use & Throw which are favorite among students now a Days. There is huge Opportunity for the Company to have such type of pens and even take First Move Advantage in this type of pen as still no organized player is producing Pen in Price Rs 1 3. Company is almost leader in Gel Pen Segment, due to its huge product varities and price range, but in ball pen its is competitor due to many reasons. I hereby suggest the Company to Increase the Product Varieties substantially in Ball Pen Segment as it as about 82% of the total Market.

 Marketing

Edition Financial Management ------ Khan & Jain. www.acnielson.com www.todays-pen.com www.economictimes.com Company's Draft Prospectus. Company's 13th Annual Report Business Research --- By Cooper. JC BARRY.

Management ---- Philip Kotler 12th