bata and customized shop like my foot in hubli

H.E.T’s Institute of management studies, Hubli.

Table of contents:

Institute of management studies 1

Sl No Title Page no

1. Chapter 1

Introduction and design of the study

Problem statement

Objectives

Need for the study

Methodology

Data collection

Hypothesis

Data analysis (tools)

Limitations

4 -- 8

2. Chapter 2

Overview of the study 10 -- 19

3 Chapter 3

Opinion of the study 21 --- 36

4 Chapter 4

Findings

Suggestion and conclusion

Bibliography

Annexure

38 -- 41

Table of charts and graphs

Sl no Title Page no

1 Age profile 21

2 Profession 22

3 Awareness of shop Existence 23

4 Respondents Visits 24

5 Location 25

6 Knowledge of the Staff 26

7 Friendliness of Employees 27

8 Customer Service 28

9 Ordering process 29

10 Delivery Service 30

11 Innovative Products 31

12 Quality 32

13 Prices 33

14 Awareness of customer 34

15 Overall comparison 35 -36


Chapter 1


Introduction and

scheme of studyIntroduction:

This report is based on the data collected from the undertaken survey. The

survey asks the customers about their satisfaction regarding the service,

quality and convenience, and also a comparison of Bata & My Foot.

I have conducted the study to understand the working of both shops so the

study has been undertaken at Bata and my foot this research title “A

comparative study on BATA & MY FOOT”. It helps to understand the

number of customer visiting the shop.

A project title is to know the study on factors influence them to visit,

satisfaction & expectation from BATA & MY FOOT. The research was

carried out as per the steps of market research process. The data collection

approach adopted was Experimental Research. The instrument used for data

collection was Questionnaire.

The target were the customers of BATA & MY FOOT, with sample size of

200.The charts and graphs were used to translate the data into meaningful

information to get the most out of the collection data.


Design of the study:

Design of the study is organized in the following section:

1. Methods used

2. Hypothesis

3. Data analysis

4. Over view of the study

5. Opinion of the study

6. Findings, Suggestion and Conclusion

Problem statement:

To make a comparative study between brand player like Bata and

customized shop like My Foot in Hubli.

Objectives:

To know the opinion of the customer regarding the two players


To make a focused market research on cost and quality aspects

To know the market leader in Hubli/the better one

Complete comparison between them; such as CRM.

Need for the study:

The study is undertaken by the researcher to understand the market

conditions in this segment due to the changing scenario of the market and

also to make a comparative analysis report of the footwear shops regarding

to the parameters as mentioned above, and also to produce a research report

to the institute as the academic submission.

Methodology:

Size of the sample: 200 respondents

Sampling design:

Non probability Judgmental sampling

Sampling unit: Customers, Showrooms Managers.

Geographical area of the study:


Hubli City

Vidya Nagar

Station Road

Durgad Bali

Keshwapur

Data collection:

Primary data: First hand data collected from the respondents

Questionnaire

Secondary data: From the published resources, websites, official

authorities.

Hypothesis:

H0: Bata is the better in terms of quality and cost.

H1: Both the shops are preferred by the customers.

Data Analysis tools:

Data collected was classified and tabulated


Data was analysed using various statistical tools like graphs, Average

and correlation.

Limitations:

Lack of awareness in customers about MY FOOT shop

Time duration was not sufficient to conduct the in depth study or

cover the sample size

The research may suffer due to convenient sampling

There are chances of non response errors

No proper co-operation from the organizations


Chapter 2


Over view of the

study

Global Footwear Trade Over view:

In 1999, the global import of footwear (leather and non-leather) in terms of

value was around US$ 43,278 million, accounting a share of 63.42% in the

total global import of leather and leather products.

Out of this, import of leather footwear alone accounted for US$ 26379

million and non-leather footwear US$ 16899 million.

Export:

India’s export of footwear touched Rs. 26,073 million in 2003-04, recording

an increase of over 30% as compared to the preceding year. The major

markets for Indian Leather Footwear are the U.K., the U.S.A., Germany,

Italy, France and Russia. Nearly 71% of India’s export of Leather Footwear

is to Germany, the U.S.A., the U.K and Italy. Export of leather footwear

from India constituted 21% share of its total export of leather and leather

products. Nearly 33 million pairs of various types of leather footwear were

exported, out of which shoes / boots constituted 90%. The different types of


leather footwear exported from India are dress shoes, casuals, moccasins,

sport shoes, sandals, ballerinas, booties.

Supply and demand:

Almost 70 % of the above mentioned market is rural which is largely

serviced by the local or regional small-scale manufacturers, offering the

price sensitive functional or utility footwear for the masses. The

manufacturing remains localized primarily because of the regional or local

preferences and seasonality, lack of proper distribution network

consequently impacting adversely on prices to the end consumers.

In contrast the urban market is rapidly changing with the advent of new

format retail stores and international influence through Brand Marketing.

Prices continue to be the dominant factor for the vast majority, but the

younger consumers are becoming more and more fashion and comfort

conscious.

This market is catered to by both the regional unorganized and organized

manufacturers. The organized sector operates at national or regional levels in

a marketing mix of both Retail and Wholesale. Bata India continues to be

the largest manufacturer and marketer followed by like of Action, liberty,


lakhani,29 M & B footwear, Paragon, Ajanta, Khadim, Metro, Regal etc.

This market too continues to be dominated by the utility footwear followed

by daily office or school uniform shoes.

Regulatory framework

The footwear manufacturing industry is governed by all the regulations

relating to other industries viz.

Central Excise and Customs

Factories Act and Labour laws

Environment Control Acts

On the marketing side it is governed by the Central and State Sales Tax

Acts, Standards of Weights and Measures Act and the Shops and

Establishments Act. Besides above there are specific state sponsored

association and bodies viz. Council for Leather Exports, Central Leather

Research Institute, Footwear Design and Development Institute which

promote the industry for specific purpose.

Recent Policy Initiative:


Specific Industry Associations viz. Council for Leather Exports, Central

Leather Research Institute, Footwear Design and Development Institute

declares various schemes on an ongoing basis to promote specific activities

viz. Export promotion, Training Design Inputs, etc. The States Governments

of Himanchal Pradesh, Uttranchal, Jammu and Kashmir and Assam are

promoting manufacturing by offering Tax holiday for a period of ten years

on full Excise duty and Income Tax and a subsidy in sales Tax, Land/

Building and Plant/ Machinery.

Indian Footwear Industry:

The Footwear Industry is a significant segment of the Leather Industry in

India. India ranks second among the footwear producing countries next to

China. The industry is labour intensive and is concentrated in the small and

cottage industry sectors. While leather shoes and uppers are concentrated in

large scale units, the sandals and chappals are produced in the household and

cottage sector. India produces more of gents. Footwear while the world’s

major production is in ladies footwear. In the case of chappals and sandals,

use of non-leather material is prevalent in the domestic market. The major

production centers India are Chennai, Ranipet, and Ambur in Tamil Nadu,

Mumbai in Maharastra, Kanpur, Jalandhar, Agra and Delhi.

Shoes manufactured in India wear brand names like Florsheim, Gabor,

Clarks, Salamander and St. Michael’s. As part of its effort to play a lead role

in the global trade, the Indian leather industry is focusing on key


deliverables of innovative design, consistently superior quality and unfailing

delivery schedules.

The Indian footwear industry is provided with institutional infrastructure

support through premier institutions like Central Leather Research Institute,

Chennai, Footwear Design & Development Institute, Noida, National

Institute of Fashion Technology, New Delhi, etc in the areas of technological

development, design and product development and human resource

development.

The availability of abundant raw material base, large domestic market and

the opportunity to cater to world markets makes India an attractive

destination for technology and investments.

The leather Industry in India occupies a place of prominence in the Indian

economy, in view of its massive potential for employment, growth and

exports. India’s abundance of raw materials (10% of the

world raw material) in terms of raw skins and hides and its comparatively

low tanning costs makes it the second among the footwear producing

countries next to China. However, India produces more of gent’s footwear,

while the world’s major production is in ladies footwear. The domestic

footwear market is highly fragmented between rural and urban sectors with

large part of the market belonging to the unorganized sector. The total

footwear production in India was estimated at 186 million pairs in 2003-04

by Economic Intelligence Service, Centre for Monitoring Indian Economy

Pvt. Ltd. in their publication titled.


In the urban markets, national and international brands are fast emerging

offering the latest in fashion and comfort at competitive prices and the boom

is fueled by the burgeoning retail markets. The rural market continues to be

large at approximately 70% of the total market but continues to be

dominated by the multiple medium-sized regional players and services

through the traditional independent dealers.

HISTORY AND BUSINESS OF THE COMPANY

Brief History:

Bata is very large MNC in the world, Bata was originally promoted as Bata

Shoe Co Pvt Ltd by Leader AG, Switzerland, a member of the Toronto-

based multinational, Bata Shoe Organization (BSO). It became a public

limited company in 1973 and the name was changed to Bata India Ltd.

The Company was originally incorporated as Bata Shoe Company Limited

on December 23, 1931 under Indian Companies Act, 1913 for the purpose of

manufacturing and marketing of all types of footwear, footwear components,


leather and products allied to the footwear trade. Subsequently, the

Company changed its name to .Bata Shoe Company Private Limited.

On 6th April 1956, changed into private

company. The Company changed its name

from .Bata Shoe Company Private Limited

to Bata Shoe Company Limited., upon

conversion to a public company on April 18, 1973. The name was once

again changed to the current name, i.e. Bata India Limited, on April 23,

1973. The Company was promoted by Leader A.G., St. Moritz, Switzerland,

a member of the multinational Bata Shoe Organization (BSO) with a 100%

Equity Shareholding, and consequently, the Company too is a member of the

BSO. The BSO consists of independently run companies operating in

several countries across the world. Bata Limited, Toronto, Canada acts as

the headquarters of BSO. Bata Shoe Organization provides an important

interchange of new manufacturing technologies, machine design, factory

lay-out plans advertising market forecasts, fashion trends, and modern

marketing techniques, and new material testing and also information on the

most advanced machinery and technology for production of shoes are made

available to the Bata group of companies, including Bata India Limited.

Bata is very large MNC in the world, Bata was originally promoted as Bata

Shoe Co Pvt Ltd by Leader AG, Switzerland, a member of the Toronto-

based multinational, Bata Shoe Organization (BSO). It became a public

limited company in 1973 and the name was changed to Bata India Ltd


SWTO ANALYSIS OF BATAStrengths

The brand .Bata. is closely identified with footwear by consumers

Six manufacturing locations enable the Company to schedule

production to meet demand for a large number and varied categories

of footwear

Being a part of the Bata Shoe Organization gives the Company access

to new designs, brands and production technologies

Weaknesses

The Company has a large labour force resulting in high employee

costs


The Company has been in existence for more than seven decades and

faces a challenge in switching to new production technologies

Opportunities

• India is a very large market and offers good demand potential for footwear

which is an item of mass

Consumption

• The Company sees potential in leveraging the .Bata. Brand for marketing

other merchandise consumer products

Threats

The Company faces competition from the unorganized market which

is able to sell footwear at low cost due to lower overheads and

manufacturing costs

Opening of the Indian market to imports has resulted in the Company

facing competition from cheap imports.

My Foot is a company started with a vision to capture the entire Hubli

market and to stand as number one footwear manufacturing unit in the

footwear market under customized segment. It was started in the year 1999

with limited resources and products like custom made shoes for men and

women. In the short line, they capture the market and customer interest by

introducing various products like bags, traveling bags, wallets, ladies

hanging bags, ladies pouches, mobile covers, leather belts for boys and girls,

jackets, hand gloves and executive bags. It has two production units with

the names My Foot at Gokul Road, second one My Sole at Gokul Road.

In past ten years it has grown up with their customers. There is an increase

of 20 to 25 per cent sales every year. They have launched first innovative


kind of footwear in Hubli-Dharwad i.e. customized footwear. They started

with footwear then came up with other leather products also. Their products

are leather shoes, sandals, wallets, leather belts, bags, accessories, etc.

Their sales ratio is divided into the following categories;

45 per cent ladies

40 per cent gents

15 percent kids

Their idea is to make their customers have footwear of their choice and

design and at the same time to attract customers with the other leather

products when to come purchase footwear. The target customers of My Foot

are youth, they mainly focus on the latest trends, designs and fashion

accessories, all these are only taken care by only high net worth individuals

and youth where as the middle class do not go for My Foot.

SWOT ANALYSIS OF MY FOOT:

Strengths

Customers are completely satisfaction with design and style. Company is reliable because it will always attend to problems

of customers. Production units are in the same city. Durable products are manufactured.

Weakness High price of product. Lack of awareness of the products. No bargaining power given to customers. Takes longer period to reach customers. Quality is not up to the mark.


Opportunity Attract customers by designing their choice of footwear and

other leather products. Latest trend of footwear available in size ordered by customers.

Threats Competition from Artisans’ Footwear. Competition from branded companies.

Chapter 3


Analysis and

InterpretationRespondent’s profile

1. Age profile of the respondents:

Table showing the number of the respondents of different age groups

Age Bata My Foot11-20 9 1221-30 59 46

30 & Above 50 24


Inference:

Out of 200 respondents, the people of age 11 to 20 about 9 say Bata & 12

say My Foot, Age 21 to 30 about 59 for Bata & 46 for My Foot & Age 30 &

above about 50 of them say Bata & 24 say My Foot.

2. Profession of the respondents:

Profession Bata My FootStudents 44 30

Working customers 79 47


Inference:

Amongst 200, 79.64% of working population & 44.36% of students go to

Bata & about 47.61% of working population & 30.39% of students go for

My Foot.

3. Awareness of the shop existence:

Table sowing the number of respondents aware and unaware about the shops


Sl no Awareness of the shops No of respondents1 Yes 1782 No 22

Inference:

Amongst the population undertaken 89% are aware of the shops where as 11% are unaware of the both the shops.

4. Respondents visit:

Table showing the No of respondents visiting the different shops

Visit Bata My Foot Both Others


No of respondents

130 33 23 14

Inference:

Among the 200 around 64% is Bata, 17% is My Foot, 12% is both& others are 7%, which implies Bata is the best.

Analysis & InterpretationQ4. A Convenient Location of the shops:

Table showing the Opinion of the respondents for convenient location


Convenient location Bata My FootYes 161 76No 39 124Total 200 200

Inference:

In sample size of the survey, about 68% say Bata has Convenient Location & 38% say My Foot has Convenient Location, The survey says that Bata has a Convenient Location for all.

B. Knowledge of the staff:

Table showing the Opinion of the no of respondents for the Knowledge of the staff

Knowledge of the staff Bata My Foot


Yes 143 61No 57 139

Inference:

According to the analysis, the out come is that Bata is having the

less Know ledged employees, as Compared to My Foot this may be

due to the Less No of employees in My Foot, so they could get

better training facilities about the product.

C. Friendliness of the employee:

Table showing the No of respondents Opinion for the Friendliness

Friendliness of the employee Bata My Foot


Yes 106 58No 94 142

Inference:

The above graph shows that the % of friendliness of the employee

is more by 30% in Bata i.e. is 65% where as My Foot is 35% and

are not that friendly with the customers to convenience or in giving

info.

D. Customer service:

Table showing the No of respondents Opinion for the Customer service

Customer service Bata My FootYes 145 42


No 55 158

Inference:

78% of the sample size agrees that Bata has the better customer

service as compared to the My Foot with 22%, again it implies that

Bata provides customer service better then the My Foot.

E. Ordering process

Table showing the No of respondents Opinion for the Ordering Process

Ordering Process Bata My FootYes 120 64No 80 136


Inference:

Ordering Process of the both is similar with 60% of Bata & 68% for My Foot. Both are considerer good w.r.t to ORDERING of the products

F. Delivery service:

Table showing the No of respondents Opinion for the Delivery service

Delivery service Bata My FootYes 143 47No 57 153


Inference:

79% of the respondents say Bata has better Delivery Services of

their products, where as 21% say no & regarding My foot 76% are

not satisfied with Delivery Services of the My foot.

G. Innovative products:

Table showing the No of respondents Opinion for the Innovative Products

Innovative products Bata My FootYes 116 86No 74 114


Inference:

My Foot has Innovative products is agreed by the majority of the

respondents with 57% and Bata has 43% of the respondents share.

H. Product Quality:

Table showing the No of respondents Opinion for the Product quality

Products Qualities Bata My FootYes 153 39No 47 161


Inference:

Bata holds up around 80% of the respondent’s satisfaction & only 20% 0f the sample size say My Foot has any Quality matter.

I. Product Price:

Table showing the No of respondents Opinion for the Product price

Products prices Bata My FootYes 131 43No 69 157


Inference:

75% of the respondents say Price is very high or not satisfied with

price of My Foot; where as 85% of they are satisfied with the

pricing strategy of the Bata.

J. Awareness of the Customer needs:

Table showing the no of respondents for the awareness of the customer needs


Awareness of customer needs Bata My FootYes 130 44No 70 156

Inference:

Respondents say Bata is more aware of the Customer need where

50% say Yes & 50% say No but compared to My Foot its 25% say

Yes & 75% say No, even this is best with Bata.

Over all Comparison:

Variants: Bata My Foot

Characters: Yes NO YES No

1. Convenient location 161 36 76 124


2. Knowledge of staff 143 57 61 139

3. Friendliness of employees 106 94 58 142

4. Customer service 145 55 42 158

5. Ordering process 120 80 64 136

6. Delivery service 143 57 47 153

7. Innovative products 116 74 86 114

8 Product qualities 153 47 39 161

9. Product prices 131 69 43 157

10. Awareness of customer needs 130 70 44 156


Inference:

The above graph states the overall comparison between BATA & MY

FOOT and it clearly indicates that BATA is the market leader in Hubli city


Chapter 4

Findings, Suggestion

& conclusion


Findings

Bata being the outside company, it has a very good penetration in the

market that the customer feel or presume it to be an Indian origin

Bata has a very good brand image customer satisfaction that the

customers do not want to think about the other when given an option

In Hubli city per day average walk in of one showroom is around

400,as they say that their products are for all class of customers,

where as the My Foot is only for youth and high net worth individuals

or upper class customers.

Amongst the population undertaken 89% are aware of the shops

where as 11% are unaware of the both the shops in the Hubli city.

Out of 200 respondents, the people of age 11 to 20 about 9 say Bata &

12 say My Foot, Age 21 to 30 about 59 for Bata & 46 for My Foot &

Age 30 & above- about 50 of them say Bata & 24 say My Foot as

their choice.

Amongst 200, 79.64% of working population & 44.36% of students

go to Bata & about 47.61% of working population & 30.39% of

students prefer My Foot.


In sample size of the survey, about 68% say Bata has Convenient

Location & 38% say My Foot has Convenient Location, The survey

says that Bata has a Convenient Location for over all customers in the

Hubli city.

According to the analysis, the out come is that Bata is having the less

Know ledged employees, as Compared to My Foot this may be due to

the Less No of employees in My Foot, so they could get better training

facilities about the product.

My Foot has Innovative products is agreed by the majority of the

respondents with 57% and Bata has 43% of the respondents share.

Bata holds up around 80% of the respondent’s satisfaction & only

20% 0f the sample size say My Foot has Quality also.

75% of the respondents say Price is very high or not satisfied with

price of My Foot; where as 85% of they are satisfied with the pricing

strategy of the Bata.

Respondents say Bata is more aware of the Customer need where 50%

say yes & 50% say No but compared to My Foot its 25% say yes &

75% say No, even here Bata stands the best.


Suggestions:

The Price play’s the major role in the market, so it should be

competitive comparing the market

Innovative Products is to be focused to attack the customer and by

understanding their need and satisfaction (trendy & fashionable)

Product quality has to upgraded frequently as per the customer needs

and market pick up, Quality must increase the durability, satisfaction

of the product

On-Time delivery, Proper customer care will increase the customer

reliability & loyalty

Convenient Location is another factor & also with comfortable place

in the shop for the customers.

One –Time shopping i.e. should maintain the stock of the products on

the visit of the customers will also develop the positive impact on the

buyers

Employee and customer commutation to built the relation and make

them understand their products and schemes

Advertisements and promotional activities.


Conclusion:

Market is catered to by both the regional unorganized and organized

manufacturers. The organize sector operate at a national or regional levels in

a marketing mix of both Retail and Wholesale. Company has been focusing

on specialty value added products for better margins. It has been

continuously introducing new designs in shoes for men, ladies and children.

The Company is endeavoring to break the myth of the price factor, by

introducing an economy range of products that will encompass both style

and quality.

Customers are becoming very brand and fashion cautious so the footwear

industry is gaining more importance and increasing the growth of Indian

Economy.

Finally from the survey which has undertaken in Hubli states that BATA

India Shoe organization is doing good in the market compared to the

customize Footwear i.e. MY foot


Bibliography:

Marketing Research by Cooper & Schindler

Research methodology by Depak Kumar Bhattacharyya

INTERNET:

www.economics times.com

www.Bataindia.com


http://www.economics/

Annexure:

Questionnaire for customers

Comparison between Bata and My foot

Dear sir/madam I the student of HET IMS perusing MBA is undertaking a survey to make a comparative study between the two footwear shops in Hubli, i.e. Bata and My Foot, so kindly spare your time to give the information. This information will be kept confidential and is for academic purpose only.

Personal details:

Name: ………………………………. Contact number: …………………….

Age: …………………………………

Profession: ……………………...……

1. Do you know about My Foot and Bata footwear shops in Hubli?

Yes No

2. Do you visit any of these shops if yes which and if no mention other?

............................................. Bata My Foot

3. How frequently do you visit? Please tick any one.

Monthly Quarterly Yearly


4. according to the Following Characteristics, Please rate the foot ware shops from 1 to 4 Where 4=Excellent, 3= Good, 2= Satisfactory, 1=Poor.

1. Convenient location

2. Knowledge of staff

3. Friendliness of employees4. Customer service

5. Ordering process

6. Delivery service

7. Innovative products

8 Product qualities

9. Product prices 10. Awareness of customer needs

5. Do you think that retail has affected the sales of Bata and My Foot? Yes No

6. What would you recommend to overcome competition?...........................................................................................................................................................................................................................................

7. State some comparisons between both the shops:..........................................................................................................................................................................................................................................8. Suggestions for improvement:

My Foot.................................................................................................... ...................................................................................................................

Bata........................................................................................................... ...................................................................................................................

Thank you for spending your time to give valuable information, have a nice day.


Bata My Foot Bata My Foot Bata My Foot Bata My Foot1 2 3 4

Institute of management studies, Hubli. 5

bata and customized shop like my foot in hubli

Documents