Institute of Innovation in Technology and Management

SUMMER PROJECT REPORT

On

Making strategies to establish our product in wholesale market in a better way and doing competition analysis.

KARA WET WIPES (ADITYA BIRLA GROUP)

Submitted in partial fulfillment of the requirement of Bachelor of Business Administration , Guru Gobind Singh Indraprastha University

Submitted to: Submitted By:

Mrs. Neha Gupta Harsh Kumar Gupta

04690401709

1

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ACKNOWLEDGEMENT

This project has been a great learning experience for me and I would like to express my gratitude

towards all the people who guided me throughout, and without whose guidance and support, this

project would not have been completely successful.

I express my sincere gratitude to my industry guide Mr. DivyankarGoel, Regional Sales

Manager, North Division, Grasim Industries & Birla Cellulose for his able and continuous

support and cooperation throughout my project, without which the present work would not be

possible.

Special thanks to Mr. Ahmed Tajoor and Mr. Dushyant , Area Sales Manager, New Delhi,

Grasim Industries & Birla Cellulose for his continuous guidance and assistance throughout the

training.

I would also thank SKA Enterprises Team (Distributor) of Grasim Industries & Birla Cellulose

(New Delhi), for the constant support and help in the successful completion of the project.

Also, I am thankful to my faculty guide, Mrs. NehaGupta of my institute, for his continuous

guidance and immense support as well as invaluable time.

Harsh Kumar Gupta

04690401709

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Certificate

I, Mr./Ms. Harsh Kumar Gupta , Roll No. 04690401709 , certify that the Summer Training

Report BBA 311 entitled “Making strategies to establish our product in wholesale market in a

better way and doing competition analysis.” is done by me and it is an authentic work carried out

by me atGRASIM INDUSTRIES & BIRLA CELLULOSE, A unit of ADITYA BIRLA

GROUP. The matter embodied in this has not been submitted earlier for the award of any degree

or diploma to the best of my knowledge and belief.

Signature of the Student:

Date:

Certified that the Summer Training Report BBA 311 entitled “Making strategies to establish our

product in wholesale market in a better way and doing competition analysis.” done by Mr./Ms.

Harsh Kumar Gupta, Roll No. 04690401709, is completed under my guidance.

Date:

Name of the Guide:

Designation:

Signature:

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TABLE OF CONTENTS

Chapter No. Subject Page No.

Ch. 1.0 Introduction5

Ch. 2.0 SWOT Analysis 12

2.1 SWOT Analysis of the Industry13

2.2 SWOT Analysis of the Product 16

2.3 Competition Analysis 17

Ch. 3.0 Analysis of financialstatements 25

of the company

Ch. 4.0 Lessons learnt 35

Recommendations40

Bibliography43

Annexures 46

5

CHAPTER-1

INTRODUCTION

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Grasim Industries Limited

Grasim Industries Limited is a Aditya Birla Group company that started in 1948 and which

started as a textilemanufacturer. Since then Grasim has successfully diversified

into Viscose Staple Fiber (VSF), cement, sponge iron and chemicals.

Grasim Industries Limited was incorporated in 1948; Grasim is the largest exporter of Viscose

Rayon Fiber in the country, with exports to over 50 countries. This, along with Aditya Birla

Nuvo can be considered as companies of the AV Birla Group. Grasim is headquartered

in Nagda,Madhya Pradesh and also has a huge plant at Kharach.

Vision

To be the Global Leader in the Man-made Cellulosic Fibre Industry

7

Mission

Aims to create Superior & Sustainable Value for all our stakeholders, maintaining the largest

market share in the Man-made Cellulosic Fibre Industry globally through:

Innovation in Products & Processes

Excellence in Quality, Service, People Development &

Focus on Environment Friendliness in all our activities

Sources of Competitive Advantage

Cost: Grasim is the lowest cost producer of VSF in the world. It is the most integrated fiber

producer with the chain stretching right from Forest to Pulp to Yarn. Almost all the intermediate

goods are captive. Besides, their in-house engineering division enables us to grow in a most cost

effective manner.

Technology: On technology front, they produce all the three generations of man-made

cellulosic fiber from an in-house development capability through research and development.

Their research and development efforts are not limited to fiber stage alone but extend to entire

textile value chain. While the plantation and related activity is carried out at Grasim Research

Institute(GFRI, Harihar, India) the product innovations are carried out at Birla Research

Institute(BRI, Nagda, India). For value chain related activities, a state of art “Textile Research &

Application Development Centre” has been established at Kharach, Gujarat, India to entire

textile value chain from yarn to fabric to garments.

8

Markets: On marketing front their reach extend to the entire globe, through marketing

offices. On a global level, the inmajor strength is in spun-dyed fibers and no wother specialties

such as Non-woven , Modal, and Excel have started penetrating in global markets. The brand

“Birla Cellulose” is firmly entrenched in the market. Their value added marketing services

comprising of technical, logistical, financial, marketing and informational support have enabled

us to emerge as the most preferred supplier of VSF in world. Our offerings whether from India,

Thailand, Indonesia and China are all marketed under the mother brand “Birla Cellulose” and

sub brands Birla Viscose, Birla Modal and Birla Excel. An umbrella brand has enabled us to

create common identity for our product across the globe irrespective of its production origin and

creating of awareness and consumer pull you have to come in kiet.

About The Product:

Kara Skincare wipes can be called as India's first branded skincare wipe product. Skincare wipes

are popular in the west but in India the category is a new one. Although Indian consumers are

familiar with the products which are imported, its the first time that an Indian company enter

this segment.

Kara means care . The brand also marks Aditya Birla Group's foray into the Indian FMCG

market.

9

According to reports, Wipes market is worth around Rs 30 crore ( source : Ginni filaments

website).

Kara Skincare wipes is positioned as am essential skincare accessory. The brand is being

launched in five variants -

Refreshing

Deep Pore Cleansing

Toning

Moisturizing

& Sunscreen Wipes

Kara wipes were highly effective with unique formulations having natural ingredients that

nourish the skin. They are alcohol free and dermatologically safe. Kara is made from 'Birla

Cellulose', a fibre that is 100 per cent natural and biodegradable

Kara Skincare Wipes are:

Convenient

Hassle free application of lotion withou using cotton balls

Portable

Optimized Efficacy

100% Natural and Biodegradable

Hygenic

Alcohol Free

Dermatologically Safe

Assurance of “The Aditya Birla Group”

10

Varients of the Product:

Refreshing Facial Wipe:

Kara refreshing wipe is enriched with Aloe Vera for skin nourishment and Mint Oil for

effective freshening. It ensures effective cleansing to remove dirt, excess oil, and grime

from the face and neck and also leaves a lingering fragrance.

Deep Pore Cleansing Wipe:

Kara Deep Pore Cleansing is a gentle, effectiveway to clean your skin of dirt, grime and

excess oil. Enriched with Jo joba and Avocado extracts, it unclogs pores, detoxifies and

thoroughly exfoliates dead skin cells.

Moisturizing Wipes:

Kara Moisturizing wipes is enriched with the goodness of Almond and Honey for

beautiful radiant and glow skin. It is also fortified with vitamins for skin conditioning and

is suitable for use right throughout the year.

Toning Wipes:

Kara Toning wipes is enriched with Rose and Thyme extracts that tighten the skin and

maintain the normal pH balance.

Sunscreen Wipes:

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Kara Sunscreen wipes has the formulation of SPF20* which protects the skin from the

adverse effect of UVA and UVB sunrays. It is enriched with antioxidents like Plum extract

and Vitamin E that nourish the skin and Aloe Vera extracts that keeps he skin

moisturized.

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CHAPTER-2

SWOT ANALYSIS

13

SWOT Analysis of the Industry: Competitive Industry of Indian Textile

Industry

Strengths:  

1. Indian Textile Industry is an Independent & Self-Reliant industry. 

2. Abundant Raw Material availability that helps industry to control costs and reduces the lead-

time across the operation. 

3. Availability of Low Cost and Skilled Manpower provides competitive advantage to industry. 

4. Availability of large varieties of cotton fiber and has a fast growing synthetic fiber industry. 

5. India has great advantage in Spinning Sector and has a presence in all process of operation and

value chain. 

6. India is one of the largest exporters of Yarn in international market and contributes around

25% share of the global trade in Cotton Yarn. 

7. The Apparel Industry is one of largest foreign revenue contributor and holds 12% of the

country’s total export. 

8. Industry has large and diversified segments that provide wide variety of products. 

9. Growing Economy and Potential Domestic and International Market. 

10. Industry has Manufacturing Flexibility that helps to increase the productivity.

Weaknesses: 

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1. Indian Textile Industry is highly Fragmented Industry. 

2. Industry is highly dependent on Cotton. 

3. Lower Productivity in various segments. 

4. There is Declining in Mill Segment. 

5. Lack of Technological Development that affect the productivity and other activities in whole

value chain. 

6. Infrastructural Bottlenecks and Efficiency such as, Transaction Time at Ports and

transportation Time. 

7. Unfavorable labor Laws. 

8. Lack of Trade Membership, which restrict to tap other potential market. 

9. Lacking to generate Economies of Scale. 

10. Higher Indirect Taxes, Power and Interest Rates. 

Opportunities:

1. Growth rate of Domestic Textile Industry is 6-8% per annum. 

2. Large, Potential Domestic and International Market. 

3. Product development and Diversification to cater global needs. 

4. Elimination of Quota Restriction leads to greater Market Development. 

5. Market is gradually shifting towards Branded Readymade Garment. 

15

6. Increased Disposable Income and Purchasing Power of Indian Customer opens New Market

Development. 

7. Emerging Retail Industry and Malls provide huge opportunities for the Apparel, Handicraft

and other segments of the industry. 

8. Greater Investment and FDI opportunities are available. 

Threats:

1. Competition from other developing countries, especially China. 

2. Continuous Quality Improvement is need of the hour as there are different demand patterns all

over the world. 

3. Elimination of Quota system will lead to fluctuations in Export Demand. 

4. Threat for Traditional Market for Powerloom and Handloom Products and forcing them for

product diversification. 

5. Geographical Disadvantages. 

6. International labor and Environmental Laws. 

7. To balance the demand and supply. 

8. To make balance between price and quality. 

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SWOT Analysis of Kara

Strength:

The name Aditya means a reliable product.

Natural and Biodegradable

Innovative concept

Superior Quality

Inventory easily available

Availability in 5 variants

Weakness:

Undeveloped category

High prices

People don’t associate Aditya Birla Group with cosmetic products

Irregular follow up by the sales mans hindering the sales to go up

Opportunities:

Growing market of Skincare products in India

Huge untapped market

Climate of India is favorable for such product

17

Threats

Chinese wipes

New competition emerging

Threat in terms of prices

High pricing strategies

Competition Analysis

Kara Skincare wipes is a new product to hit the Indian market. The brand is now running heavy

print campaigns announcing the launch. Kara Skincare wipes can be called as India's first

branded skincare wipe product. Skincare wipes are popular in the west but in India the category

is a new one. Although Indian consumers are familiar with the products which are imported, its

the first time that an Indian company enter this segment.

Kara means care . The brand also marks Aditya Birla Group's foray into the Indian FMCG

market. Wipes market is worth around Rs30 crore now. Kara Skincare wipes is positioned as am

essential skincare accessory. The brand is being launched in five variants -

Refreshing

Deep Pore Cleansing

Toning

Moisturizing

& Sunscreen Wipes

But in wholesale market, refreshing wipes are only ones which are sold due to the margin of

refreshing wipes.

18

The brand aims to create a new category of wipes in India . Hence the challenge is to educate the

TG about the usefulness of this product. This task is cut out for Kara since the TG is already

exposed to such products. The only task is to inculcate the habit of buying and using the wipes.

The product is relevant in the Indian market for two reasons. One is the climate which

necessitates such a product and second is the growing number of lady professionals The brand

has the tagline " At your best. Always " which clearly communicates the core brand positioning.

The brand is being promoted as the anytime solution to look good.

Kara has a good potential to create and own a new category. The brand already has the first

mover advantage. But the category does not have much entry barriers. It can face stiff

competition from cheap imports. But Kara has the financial backing of Birla group and the

investment in building this brand will pave the way for another successful marketing story.

As the advertisement with Anushka Sharma and Sharman joshi has also started which is also

enhancing the sales of Kara, it will also be able to tackle competition with it. It clearly tells that

Kara wipes are not only for women but are also for men as shown in the advertisement of Kara

wipes.

Competition is also raising in wipes market as the market of wipes is untapped in India. Many

Chinese wipes are coming to India with their lower cost and trying to capture market of wipes as

in many shops of wholesale market in Delhi there other wipes as well which are sold with lower

prices being offered to wholesalers and with more wipes in a packet.

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Competitors

20

Sound Wave Wet Wipes

Chinese Wipes

Ginni Wet Wipes

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Good look Wet wipes

Organic Wet wipes

These foreign wipes are also trying to capture the market of wipes which is still untapped. As

with the name of Aditya Birla its market will definitely grow

Prices of competitors wipes offered to wholesalers at Karol Bagh

1. Uzane- Rs20 for 25 wipes pack (Chinese wipe)

2. Good Look- Rs25 for 25 wipes pack

3. Organic- Rs28 for 25 wipes pack

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4. Fresh Air- Rs24 for 25 wipes pack

5. Ginni- Rs32 for 25 wipes pack

Prices of competitors wipes offered to wholesalers at Sadar Bazar

1. Fresh Air- Rs20 for 25 wipes pack

2. Pure Soft- Rs10 for 25 wipes pack

3. Good Look- Rs25 for 25 wipes pack

4. Neon- Rs10 for 25 wipes pack

With these low cost wipes being offered to wholesalers with 25 in each pack. Kara skin

care wipes are offered at Rs 30 for each pack, which is a bit costly than others but still is

been demanded more in the market due to its brand name and qualities.

But there are some wholesalers who thinks that in wholesale market the product will be

sold only due to its prices and not by its qualities. Brand name does not matter in

wholesale market, it is the only thing which is prices which matters in this market. As

consumers just come to a wholesale market to get things at a lower cost and if it gets it in

same rates, then why would a consumer come to a wholesale market, instead will buy it

from a retail.

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Analysis of wholesale market at Karol Bagh

The market at Karol Bagh is very good and wholesalers but Kara wipes at small as well as big

quantity, according to size of the shop. More than 95% cosmetics wholesaler keeps Kara wipes

due to its good sales to consumers which is due to its quality and brand name. Prices seem to be

just fine at Karol Bagh market as the talk with wholesaler there reveals that prices are not a

problem with them infact with my consent the prices for wholesalers should be a bit more. We

do not need to worry about the competitors much as they are a bit far behind Kara wipes as far as

Karol Bagh market is concerned. And for now 20 wipes pack seems to be just fine for Kara, and

there is no need to introduce 10 wipes pack but in fact other variants of Kara wipes should be

brought to the wholesale market of Karol Bagh and do not want refreshing wipes just in blue

color as it is being introduced just this year’s pack, in fact they want it in different colors so that

the packaging would become interesting for consumers to buy.

So, the market at Karol Bagh is much better but only the thing we could do next is advertising

more so that we can attract more and more consumers to buy Kara wipes.

Analysis of wholesale market at Sadar Bazar

The market at Sadar Bazar is also fine and wholesalers buy Kara wipes at good quantity. As most

of the consumers comes to buy products with lower prices, so the thing which matters there is

prices. According to the wholesaler, there are around 60% consumers who does not look for

24

brand , they just want wipes at lower prices at Sadar Bazar. And also the wholesalers wants the

Kara wipes at lower prices as compared to competitors because there the competitors sell their

wipes at lower prices and wipes in their pack are more(25) as compared to Kara wipes(20). Still

there are many wholesalers who keeps Kara wipes as well as other wipes(Chinese, Good look,

etc.) and those who don’t keep, I tried to convince them and they told they will try Kara wipes

next week as they were having a good amount of stock of others competitor’s wipes. And some

wholesalers there think that retailers get Kara wipes at same prices as to wholesalers, so why

would consumer come to Sadar Bazar as the consumers can get from any retailer, I was able to

convince them for a small order for Kara wipes.

So, prices are a concern at wholesale market at Sadar Bazar and we can give various discounts to

wholesalers according to the competitor’s wipes so as to attract wholesalers for Kara wipes

CHAPTER-3

FINANCIAL STATEMENTS OF THE

25

COMPANY

Meaning of Financial Analysis

The first task of financial analysis is to select the information relevant to the decision under

consideration to the total information contained in the financial statement. The second step is to

arrange the information in a way to highlight significant relationship. The final step is

26

interpretation and drawing of inference and conclusions. Financial statement is the process of

selection, relation and evaluation.

BAL ANCE SHEET OF BIRLA CELLULOSE fig. in crores

Mar '10

Mar '09 Mar '08

12 mths

12 mths 12 mths

Sources Of Funds

Total Share Capital 0.50 0.50 0.50

Equity Share Capital 0.50 0.50 0.50

Share Application Money 0.00 0.00 0.00

Preference Share Capital 0.00 0.00 0.00

Reserves 0.67 0.66 0.64

Revaluation Reserves 0.00 0.00 0.00

Networth 1.17 1.16 1.14

Secured Loans 0.00 0.00 0.00

Unsecured Loans 0.00 0.00 0.00

Total Debt 0.00 0.00 0.00

Total Liabilities 1.17 1.16 1.14

Mar '10

Mar '09 Mar '08

12 mths

12 mths 12 mths

Application Of Funds

Gross Block 0.00 0.00 0.00

Less: Accum. Depreciation 0.00 0.00 0.00

Capital Work in Progress 0.00 0.00 0.00

Investments 0.00 0.00 0.00

Inventories 0.00 0.00 0.00

Cash and Bank Balance 0.07 0.06 0.06

Total Current Assets 0.07 0.06 0.06

Loans and Advances 1.12 1.10 1.09

Fixed Deposits 0.00 0.00 0.00

Total CA, Loans & Advances 1.19 1.16 1.15

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Deffered Credit 0.00 0.00 0.00

Current Liabilities 0.00 0.00 0.00

Provisions 0.00 0.00 0.00

Total CL & Provisions 0.00 0.00 0.00

Net Current Assets 1.19 1.16 1.15

Total Assets 1.19 1.16 1.15

Contingent Liabilities 0.00 0.00 0.00

Book Value (Rs) 23.43 23.17 22.82

PROFIT AND LOSS ACCOUNT fig. in croresOF BIRLA CELLULOSE

Mar '10

Mar '09 Mar '08

12 mths

12 mths 12 mths

Income

Sales Turnover 0.03 0.03 0.03

Excise Duty 0.00 0.00 0.00

Net Sales 0.03 0.03 0.03

Other Income 0.00 0.00 0.00

Stock Adjustments 0.00 0.00 0.00

Total Income 0.03 0.03 0.03

Expenditure

Raw Materials 0.00 0.00 0.00

Other Manufacturing Expenses 0.00 0.00 0.00

Selling and Admin Expenses 0.00 0.00 0.00

Miscellaneous Expenses 0.01 0.01 0.01

Preoperative ExpCapitalised 0.00 0.00 0.00

Total Expenses 0.01 0.01 0.01

Operating Profit 0.02 0.02 0.02

PBDIT 0.02 0.02 0.02

Interest 0.00 0.00 0.00

PBDT 0.02 0.02 0.02

Depreciation 0.00 0.00 0.00

Other Written Off 0.00 0.00 0.00

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Profit Before Tax 0.02 0.02 0.02

PBT (Post Extra-ord Items) 0.02 0.02 0.02

Tax 0.01 0.01 0.01

Reported Net Profit 0.01 0.02 0.02

Total Value Addition 0.01 0.01 0.01

Preference Dividend 0.00 0.00 0.00

Equity Dividend 0.00 0.00 0.00

Corporate Dividend Tax 0.00 0.00 0.00

Per share data (annualised)

Shares in issue (lakhs) 5.00 5.00 5.00

Earning Per Share (Rs) 0.26 0.35 0.35

Equity Dividend (%) 0.00 0.00 0.00

Book Value (Rs) 23.43 23.17 22.82

CASH FLOW OF BIRLA CELLULOSE fig. in crores

Mar '10 Mar '09 Mar '08

12 mths 12 mths 12 mths

Net Profit Before Tax 0.02 0.03 0.03

Net Cash From Operating Activities 0.00 0.00 0.00

Net Cash (used in)/fromInvesting Activities

0.00 0.00 0.00

Net Cash (used in)/from Financing Activities 0.00 0.00 0.00

Net (decrease)/increase In Cash and Cash Equivalents

0.00 0.00 0.00

Opening Cash &Cash Equivalents 0.06 0.06 0.06

Closing Cash & Cash Equivalents 0.07 0.06 0.06

3.5 Interpretations

3.5.1 Liquidity Ratios

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It is extremely essential for a firm to be able to meet its obligations as they become due.

Liquidity ratios measure the ability of the firm to meet its current obligations. In fact, analysis of

liquidity needs the preparation of cash budgets and cash and fund flow statements ; but liquidity

ratios, by establishing a relationship between cash and other current assets to current obligations.

The most common ratios are:

1. Current ratio

2. Liquidity Ratio

Current Ratio:

This ratio compares the current assets with the current liabilities. It is also known as ‘working

capital ratio’ or ‘solvency ratio’.

Current Ratio = Current Assets

Current Liabilities

Liquid Ratio:

This ratio compares the current assets with the current liabilities. It is also known as ‘working

capital ratio’ or ‘solvency ratio’.

30

Liquid Ratio = Liquid Assets

Current Liabilities

Liquid Ratio:

This ratio compares the current assets with the

current liabilities. It is also known as ‘working

capital ratio’ or ‘solvency ratio’.

Liquid Ratio = Liquid Assets

Current Liabilities

The ratios commonly calculated are:

Debt To Total Fund Ratio

Proprietary Ratio

Debt to Total Fund Ratio:

The relationship between creditor’s funds and owner’s capital can also be expressed in terms of

leverage ratio. This is the Debt to Total Fund Ratio.

31

Here, the outside liabilities are related to the total capitalisation of the firm and not merely to the

shareholder’s equity.

Debt to

Total fund ratio = Debt (Secured Loans + unsecured Loans)

Total Fund ( Debt + Equity)

Proprietary Ratio:

The ratio indicates the extent to which assets are financed by owner’s funds.

Proprietary Ratio = Proprietor’s Fund or (Reserves + Equity)

Total Fund ( Debt + Equity)

3.5.3 Profitability Ratios

These ratios help measure the profitability of a firm. A firm, which generates a substantial

amount of profits per rupee of sales, can comfortably meet its operating expenses and provide

more returns to its shareholders. The relationship between profit and sales is measured by

profitability ratios. Profitability Ratios include:

1. Gross Profit Margin

2. Net Profit Margin

3. Earnings Per Share

4. Return on Capital Employed

32

1. Gross Profit Ratio:

Meaning:

This ratio measures the relationship between gross profit and sales. It is defined as the excess of

the net sales over cost of goods sold or excess of revenue over cost. This ratio shows the profit

that remains after the manufacturing costs have been met. It measures the efficiency of

production as well as pricing. This ratio helps to judge how efficient the concern is I managing

its production, purchase, selling & inventory, how good its control is over the direct cost, how

productive the concern , how much amount is left to meet other expenses & earn net profit.

Gross Profit Ratio = Gross Profit x 100

Sales

2. Net Profit Ratio:

This measures the relationship between the net profits and sales of the firm. It measures the

percentage of each sales rupee remaining after all cost and expenses including interests and taxes

have been deducted.

33

Net Profit Ratio = Net Profit x 100

Sales

1. Return on Capital Employed:

Return on Capital Employed is the relationship between the profit made by an entity during a

defined period of time and the amount of capital required to make that profit .

Return on

Capital Employed =Net Profit Before Interest and Tax

Capital Employed

1. Earnings Per Share:

Earnings per Share are calculated to find out overall profitability of the organization. Earnings

per Share representearning of the company whether or not dividends are declared. If there is only

one class of shares, the earning per share are determined by dividing net profit by the number of

equity shares. EPS measures the profits available to the equity shareholders on each share held.

Earnings per share = Net profit after tax

Number of equity shares

34

KEY FINANCIAL RATIOS OF BIRLA CELLULOSE

Mar '10 Mar '09 Mar '08

Face Value 10.00 10.00 10.00

Dividend Per Share -- -- --

Operating Profit Per Share (Rs) 0.41 0.50 0.53

Net Operating Profit Per Share (Rs) 0.61 0.68 0.68

Liquidity And Solvency Ratios

Current Ratio 151.34 266.84 242.36

Quick Ratio 151.34 266.84 242.36

Earnings Per Share 0.26 0.35 0.35

35

CHAPTER-4

LESSONS LEARNT

36

Conclusions:

New product development (NPD) should start with an insight based on consumer needs.

Throughout the NPD process, market research is a valuable tool for the company to check

viability and minimize the risk of the product launches. Being an international company, it is

essential that it develops new products using the insights of consumers across markets and

cultures. This ensures the products are relevant to a large number of global consumers and will

deliver the maximum return when launched. This maximizes return on investment for the

company and results in happy, satisfied and loyal wholesalers and consumers.

37

1. Have you heard the name of Kara wipes?

94%

6%

YesNo

Interpretation:

According to the survey conducted in wholesale market o Delhi (Karol Bagh and Sadar Bazar), It

is clearly visible that 94% of the wholesalers have heard the name of the Kara wipes due to its

brand and Aditya Birla Product. Whereas 6% of them have not heard the name- the reason being

that they give much preference to other chinese wipes due to their prices being lower.

38

2. Do you sell Kara wipes?

76%

24%

YesNo

Interpretation:

76% of the wholesalers in the Delhi wholesale sell Kara wipes it is mainly due to its brand name

and the advertisement started now and 26% of the wholesalers do not sell Kara wipes which is

mainly as they do not sell wipes or are concerned with the prices of Kara which are a bit higher

rates due to advertisementand selling more of chinese wipes.

39

3. Which of the following brand do you keep including Kara?

23%

5%

8%

18%

3%

28%

18%

Column1

GoodlookUzaneFresh AirChineseHimalayaOnly KaraDon’t keep Kara

Interpretation:

According to the survey conducted, mostly preferred by wholesalers is keeping only

Kara and among all the competitive brands in the wholesale market the brands mostly

preferred by wholesalers is Good Look, whereas other brands like not keeping Kara at all

and Chinese also include a share of 18% and 17% respectively which is due to their low

prices offered to wholesalers and rest Fresh Air, Uzane and Himalaya having share of

7%, 5% and 3% respectively.

40

RECOMMENDATIONS

41

Recommendations:

As per the survey and the interviews which I have undertaken, personally I strongly believe that

there are so many factors which are need to be kept into the mind while introducing any new

product with new concept into the market, especially that market which doesn’t have that similar

kind of concept in the market as far earlier. Companies need to look upon the various factors

like:

 

Current market situations

 

Various distribution channels,

 

Needs of the customers,

Wholesaler’s expectations and so many

Following are the some recommendations on the basis of interview and surveys taken:

42

Good concept in the Indian market to modernize the people and improve the standard of

living.

In order to beat the Chinese wipes, company should educate the people and wholesalers that

what is good for them and what is bad by organizing campaigns at different places.

Regular contact should be maintained with the retailer directly so that they can give their

feedback to the company regarding to the consumer reaction rather than through the agents. 

Some schemes on time basis should be get introduced soon in order to attract the customer

and to tell them about the quality of the product

Give training even to sales executives that with selling they also need to do some marketing

activities such as doing survey and putting posters.

Giving healthy discount when the wholesalers allows to do marketing activity behind their

shop

Motivating sales executives to frequently visit wholesalers, so that they may permanently

sell Kara only.

Rest the visual advertising is going good in the market and having good response as well

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BIBLIOGRAPHY

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Books:

Marketing Management, Philip Kotler, Kevin Lane Kotler, Published by Prentice Hall,

U.S.A

Advertising and Integrated Brand Promotion, 4th Edition,Thomas C. O’Guin,Chris T.

Allen, Richard J. Semenik, Published by Thomson South-WesternPublishing house.

Consumer Behaviour Analysis (critical perspectives on business and

management) by G.R Foxall, Published by Routeldge Publishers.

Emotion in Advertising & Promotion, Stuart J. Agres

Trochim M.K. William, Research Methods, II edition, Biztantra

Websites:

http://living.oneindia.in/insync/2008/aditya-birla-group-kara-skincare-wipes

http://marketingpractice.blogspot.com/2008/05/kara-skincare-wipes-at-your-best-alway

http://www.indiaprwire.com/pressrelease/consumer/2008060410008.htm

http://www.adityabirla.com/careers/home.asp

http://en.wikipedia.org/wiki/Aditya_Birla_Group

http://www.grasim.com/

http://en.wikipedia.org/wiki/Grasim_Industries

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http://www.adityabirla.com/our_companies/indian_companies/grasim_overview.htm

Other Sources:

Suggestions from industry guide

Suggestions from Sales Executives

46

ANNEXURES

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QUESTIONNAIRE

1. Name: _______________________________________________

Address:_______________________________________________

Phone No.: __________________________

2. Have you heard the name of Kara wipes?

Yes No

3. Do you sell Kara wipes?

Yes No

4. Which of the following brand do you keep including Kara?

Good Look Uzane Fresh Air Chinese Himalaya

Only Kara Don’t keep Kara

5. Please rank (1-6) them according to the priorities that consumers look in for before

buying the product

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Brand Name Cleaning Effectiveness Value Package size

Easy availability Multitasking

6. Do you think advertisement will increase the sales of Kara?

Yes No

7. How much stock do you order of Kara as compared to other wipes stock?

Small Big Large Don’t keep Kara

Don’t keep Other wipes

8. Do you think more variants in refreshing wipes would help in increasing sales?

Yes No

9. Which pack wipe would you think would be suitable for wholesale market?

Sachet 10 pack 20 Pack 30 pack

10. What do consumers feel about prices of Kara according to you?

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Very Expensive Optimal Price Very Cheap

11 What according to you should be the margin for wholesalers

15%-20% 20%-30% 30%-40% 40%-45%

45%-50%

12 Any more recommendations for Kara wipes

_______________________________________________________________

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