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INTRODUCTIONThe project has been prepared in order to increase readers acquaintance to variety of promotional tool that are offered by a fasteners company to them at the time of purchase. The whole material has been divided into three descriptive chapters which enables to gains sufficient knowledge about the topic. Various tests of examples have been quoted adequately in addition to graphs so as to make the material more understanding and easier. The very first chapter of the project throws light on Research Methodology. From the collection of data to final analysis of questionnaire an attempt has been made to classify the basic concepts regarding research. Following it, the second unit, that is an overview of Sales Promotion techniques that are offered by the various fasteners companies in order to promote their sale to the ultimate users of the product. Apart from this dealers attitude towards much techniques and an analysis of questionnaire is also included. At last in chapter three the appropriate recommendation has been put forward regarding the topic followed by Annexure and bibliography at last.
Note and definition1. To identify the sales promotion activities used by the company and its competitors different questions were put from retailers and distributors. 2. To identify the best media for sales promotion different types of question were put to retailers and distributors 3. While calculating the best media these following medias for sale promotion were taken into consideration. Posters Paper advertisement Display stand T.V. advertisement Magazine Advertisement Free sample 1
Retailers margin Distributors margin Schemes
Sales promotion: an overviewPromotion decisions are made simultaneously with marketing mix decision regarding products, price and place. They involve finding target markets determining objectives and tasks, budgeting for promotion, selecting promotional media evaluating promotional effectiveness and finally controlling the promotion elements. Today, companies face task distributing the total promotion budget over the five promotional tools namely:Advertising Sales promotion Public relation Publicity Direct Marketing Promotion, one of the four major variables with which the marketing manager works, is communicating between the seller and buyer to change the attitudes and behavoiur. Promotion is responsible for communication with potential customers of the existence of products persuades and convinces them that the products have want satisfying capabilities. All forms of promotion aim at influencing customer attitudes, belief and values and preferences, life styles and ways of living. The promotion mix is used to achieve the objective of promotion, which are information, possession and reminding. Companies are always searching for ways to gain efficiency by substituting one promotional tool for another. Many companies have replaced some fields, sales activity with ads, direct mail and telemarketing. Other companies have increased their sales promotion expenditures in relation to advertising. 2
DEPARTMENTAL PROCEEDING Close feasibility Yes whether the product can be developed by the company or not
Quotation Rates, lend time for delivery modes S.I., CST whether applied Close negotiations Yes Purchase order For 1 year or so Delivery schedule As per the requirement in forthcoming period Development of product Delivery as per schedule Types of bills Feedback whether accept To follow up for the payments 3
The Lakshmi Precision Screws Ltd, Rohtak was promoted by Sh. B.P. Jain and his associates as a private limited company on December 27, 1968. Shri B.P. Jain, promoter of the company and well known industrialist, has been associated with the manufacture of industrial fasteners for over 37 years. During this time he has established his experience regarding industry a record of successful management. And now Lalit Kumar Jain is the Chairman and Managing Director of the company. As in the beginning, the company was a private company and later on it was converted into public limited company on August 20, 1971 itself. In fact, LPS Ltd. Is one of the reputed engineering ancillary units in Haryana. It has continuously increased its installed capacity and product range by adding various production facilities over the years. The company supplies its product to some industries directly and to some other indirectly. This share in demand is estimated on the basis of directly supply, so on the whole, we can say that approximately 10% of the total demand is met by LPS Ltd. Alone. The installed capacity of LPS Ltd. Stands at above 13520 metric tones per annum and are ably supported by a host of ancillaries. HISTORY 1968 - The Company was incorporated on 27th December, in Haryana as a Private Limited Co. and was converted into a Public Limited Co. on 20th August 1971. The Company was promoted by B.P. Jain and Associates. It manufactures cold and hot forged
and hexagonal head screws/bolts, socket, set screws and cold forged nuts. The products are marketed under the name LPS. The Company also exports its products. 1969 - 4,000 No. of Equity shares issued to promoters, etc. 1970 - 2,200 No. of Equity shares issued to promoters, etc. 1971 - 5,600 No. of Equity shares issued to promoters, etc. 1973 - 1,000 No. of Equity shares issued to promoters, etc. 1978 - 2,000 No. of Equity shares issued to promoters, etc. 1979 - 3,000 No. of Equity shares issued to promoters, etc. 1980 - Equity shares subdivided into Rs 10 each. 50,000 No. of Equity shares issued to promoters, etc. 1981 - 1,20,000 No. of Equity shares issued to promoters, etc. 1982 - The Company had taken up an expansion programme for the manufacture of larger sizes of high tensile bolts and forged nuts by the installation of 1/2" nut former and 1" boltmaker. - 3,50,000 Bonus Equity shares issued in prop. 1:1 in November. 1983 - 37,50,000 No. of Equity shares offered at par for public subscription during October-November. 1984 - All imported equipment and associated machinery were commissioned. 1989 - Indian Fasteners Limited became a subsidiary of the Company. - The Company promoted a subsidiary company under the name of Indian Fasteners Ltd.
1991 - With a view to improving exports, the company proposed to undertake a modernisation-cum-expansion scheme. With a view to put further thrust as exports, the Company proposed to set up another export unit. 1993 - During July-August, the Company issued 21,75,000 rights equity shares of Rs 10 each at a premium of Rs 20 per share in the prop. 3:2 (all were taken-up). 1994 - 21,75,000 Rights equity shares of Rs. 10 each (Prem. Rs. 20) issued in propn. 3:2. 1995 - With a view to meet the challenge of an open economy, the Company proposed to undertake an expansion-cum-modernisation scheme involving a capital outlay of 1655 lakhs with an installed capacity of 2700 MT per annum. 1996 - After establishing its presence in the European and American Market the Company is diversifying its export activities with a two pronged strategy, firstly to introduce new products in the existing markets and secondly developing new markets of South East Asia, Middle East and South Africa. 1997 - Performance of the company was sluggish due to general slowdown in the economic growth coupled with stiff competition in the market. - The Company signed a joint venture agreement with the Bossard International AG, Switzerland for development of software and marketing/distribution of new range of fasteners for niche market of electrical, electronics etc. - 16,00,000 No. of equity shares allotted at a prem. of Rs. 15.40 per share to promoters and their associate on private basis. 1998 - 8,00,000 equity shares allotted at a prem. of Rs. 9.75 pershare on conversion of 8 lakh warrants allotted as pref. basis to promoters of the Company. - The joint venture Companies LPS Bossard Information Systems Pvt. Ltd. and LPS Bossard Pvt. Ltd. in which the Company is holding 49% will start its activities in September. 6
1999 - Lakshmi Precision Screws Ltd (LPS), one of the largest exporters of high tensile fasteners from India, is exploring possibilities of exporting its products to newer markets with the objective of increasing its exports earnings in the coming years. - Lakshmi Precision Screws (LPS) is a front-runner in the Indian fastener industry. A name that signifies just about every kind of fasteners (over 6000 types).
SUBSIDIARY COMPANY:The LPS Ltd. has a subsidiary company named INDIA FASTENERS Ltd. This company was promoted by LPS in the financial year 1990-91. The company has a holiday companys in interest by virtue of Sec. 4(1) (a) of the companies Act 1956.
LOCATION HEAD OFFICE:The company has a plot of land measuring 10900 square meters on the National Highway and is located at 46/1 milestone, Hisar road, Rohtak (Haryana). The present covered area of the land 10712 square meter. The registered office of the company is situated at Hisar road Rohtak i.e. the factory itself. It has its selling offices situated at Bombay, Delhi and Calcutta. Besides this company has appointed its sales representatives at Puna, Bangalore, Coimbatore and Madras. The location of the company is much useful and has no problem of transportation because company is at a distance of 3 Km. from bus stand and 4 Km. from railway station. Moreover, New Delhi, the capital of India is hardly 75 Km. from its plave and attached to Rohtak.
MANAGEMENT OF THE COMPANY:The company is managed by the Board of Directors. The day to day affairs of the company are being looked after by Managing Director Shri L.K. Jain subject to overall control and supervision of the board of directors, Shri Jain is assisted by whole time directors and an experienced team of executives. The board of directors of the company is c