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report on allied axim

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1

OverviewThe growth path of the leather industry continued in the first decade of 21st Century and several landmark initiatives were taken by the Government which includes recognition of leather sector as a "Focus Sector" in Foreign Trade Policy 2004-09 and 2009-14 , implementation of Indian Development programme (ILDP) in the 10th and 11th plan and dereservation of the Leather Sector. The long term planning have also led to the establishment of world class institutions like Central Leather Research Institute,Footwear Design and Development Institute, MSMEDevelopment Institutes and Central Footwear Training Institutes at various centers, which are rendering yeoman services in the area of skill development. Thus, the success of the leather industry can be attributed to various long term and short term plans implemented by the Government of India. Though Indian Leather Industry has achieved significant growth, the share of Indian Leather Sector in the global imports of leather and leather products is only 2.94%. The Leather Industry definitely has the potential to double its export performance in the coming years. The Department of Commerce, Ministry of Commerce and Industry has fixed a target of USD 8.5 billions for the Indian Leather Sector, to be achieved by 2013-14. The Industry has to achieve an annual growth of about 26% (as against the present level of about 10.5%) in order to achieve this target. However, there are challenges on account of higher commodity prices, high food inflation and rising interest rates, coupled with lack of infrastructure facilities and the rise of low cost economies like Vietnam, Bangladesh etc. have posted a threat to the Indian players.

2

Allied Exims Pvt. Ltd. produces finished leather, cut components and finished shoeand boot uppers for industrial safety shoes. We are manufacturers and exporters of safety shoes/boots as per EN 345 norms and also Upholstery/Sofa leather. Allied Exims Pvt. Ltd started early as one of the first few leather industries in Kanpur - the place which is now a globally known center for leather and allied industries. Since then Allied Exims has kept pace with advancements in technology, market competition and quality awareness. Today we are proud to be accredited with ISO 9002 for both of our manufacturing units.

Outer view of Allied Exims Pvt. Ltd. Banthar Unnao.

3

Shop floor view of newly setup Unit at Banthar Unnao

Allied Exims belongs to the era of Second World War when it was established as a trading company dealing in raw hides. This activity continued till 1966 when we set up our own leather tannery at Jajmau, Kanpur.

The Allied Exims , is a part of conglomerate (Allied Leather Group) which is made up of five companies namely,

Name of Group Company

Product manufactured

1.

Allied Exim Pvt. Ltd

Upholstery leather (for BMW AND AUDI)

2.

Allied Leather Finishers Pvt. Ltd.

Sofa leather (for IKEA and Durian Furniture)

4 3. Kelco Impex Pvt. Ltd S AD D L E R (for Saks saddler Co. UK and for Canadians, Australian and US Co.) 4. Kelco Fashion and Trend Pvt. Ltd Leather shoes, Safety shoes Leather jacket,Belts and Wallets (for Versace,EDHardy and Jack&Jones) 5. Allied Chemicals Pvt. Ltd Import expensive and complex leather Chemical (from BASF France & China For Domestic Sale and own consumption)

A US $50 million group, Allied Leather group has 5 units, with a workforce of over 1800 and a presence in more than 10 countries. Our commitment to quality is reaffirmed by our ISO 9002 certification. Stringent EN 345-norms make us one of the most respected manufacturers amongst importers from European countries. Being equipped with requisite infrastructure and strict adherence to high standards of quality, we are able meet CSA, ANZ & and SABS standards.

The Allied Group have five companies which export leather, leather products in the UK, the U.S.A., the U.A.E., Europe, South Africa, Middle East and South East primarily engaged in marketing and distribution of leather, leather products and accessories.

The group has crossed an annual turnover of Rs. 500 million. The Group has five manufacturing units located in Jajmau Kanpur and Banthar Unnao

From a single tannery in the 1966 producing finished leather, Allied Group has emerged as one of the largest players in the industry. We started with a commitment to excel, achieve and deliver the very best. Towards this end, we engineer, optimize and control every phase of the

5 manufacturing process from raw material to finished products to ensure that end products are of the highest quality and also the best value for money for our clients.

A perfect blend of highly technical, skilled and semi-skilled workforce and competent managers has helped us in carving out an enviable position for ourselves in the global market. Our existence in the trade for over three decades has given us a wealth of knowledge, which allows us to offer our customers the maximum in choice, value and quality. In addition, we are approved vendors for global brands such as BMW,AUDI, IKEA,DURAIN Furniture, Saks saddler Co. ,ED-Hardy, Versace and Jack &Jones and also some traders located in Canada , Australia and United states.

Vision and MissionThe last three decades Allied Exims have been dedicated towards building strong foundations for Allied leather Group brick by brick: from infrastructure to technology, from solid relationships with employees to market acceptance. We are now poised to take the next giant leap to establish

ourselves to compete with

leather giants Mirza International, S U PE R H OU S E Group and Sultan Tanners Pvt. Ltd which enjoy leadership in the field of Leather and Footwear manufacturing and exports. as the undisputed leader in leather products be it footwear or finished leather or leather accessories.

Retaining our leadership through growth as a consequence of customer satisfaction is of paramount important to us. To achieve our vision, the framework for quality inputs and , processes is in place, and is constantly monitored and upgraded.

Allied Exims aims to constantly improve the quality of its products by fulfilling its

6 customers expectations.

C OMPANY S D ETAILS1. Companies Partners :Mr. Akhtar Qaiyum Mr. Arshad Qaiyum Mr. Ishrat Qaiyum Mr. Rafat Qaiyum Mr. Nafez Qaiyum

2. Companies Auditors :-

M/s. Khamesra Bhatia & Mehrotra, Chartered Accountants

3. Cost Auditor :-

Mr. A.K. Srivastava Cost Accountant

4. Secretarial Auditor :-

M/s Savita Jyoti Associate Company Secretaries

7 5. Bankers :IDBI Bank, The Mall ICICI Bank, The Mall State Bank of India, Jajmau knp

6. Registered office :-

377-C, Allied Street, Jajmau Kanpur-208010- INDIA

7. Corporate & Marketing :-

A-7, Mega Mall The Mall Kanpur, INDIA

Office

8. Works :-

Kanpur Unnao Link Road, A-1 Sector Banthar, Unnao 209 801

Kanpur Unnao Link Road, A-2 Sector Banthar, Unnao 209 801

C-4, 5, 36 & 37, Sector-59, Prince Iqbal Street Jajmau, Kanpur

UPSIDC Industrial Area,

8 Site II, Unnao 20 8001

HISTORYAllied Exims belongs to the era of Second World War when it was established as a trading company dealing in raw hides. This activity continued till 1966 when we set up our own leather tannery at Jajmau, Kanpur.

Allied Exims Pvt. Ltd started early as one of the first few leather industries in Kanpur - the place which is now a globally known center for leather and allied industries. Since then Allied Exims has kept pace with advancements in technology, market competition and quality awareness. Today we are proud to be accredited with ISO 9002 for both of our manufacturing units.

The company is first in India to be certified ISO 9002 for both units i.e. leather finishing unit at Unnao & shoe upper unit at Jajmau, Kanpur. The company is also a Government recognised Export House. The Company also enjoy Monopoly on export of Upholstery leather to reputed Car manufacturing Companies like BMW and AUDI on contract basis since last nine years.In its Jajmau Division (Kelco Fashion&Trends Pvt. Ltd ) company manufacture safety shoes Leather shoes Leather jacket,Belts and Wallets (for Versace, EDHardy and Jack&Jones).

9

Unit 1 Jajmau, Kanpur

This unit is located at Kanpur and is manufacturing Safety shoe uppers and leather shoes as per EN344 norms.

10

Unit 2 Banthar,Unnao

The four new unit is established in Banthar Unnao, approximately 20 km. from first unit at Jajmau kanpur. This unit produces high quality finished leather - specially for safety footwear conforming to DIN specifications as well as EN 344 norms.

11

TOP EXPORT PRODUCT INFORMATION OF ALLIED EXIM

TOP Product Description Code Nubuk Oily Buff Finished Leather (other Than Lining Leather Reptile/fur Skin 01011010 & Leather Hair On S Finished Leather Oily Buffalo Half Butts Thickness 3,6-4,0 Mm Resined 41012020 Backside Length 42 60 41041100 Finished Leather Buff Barton Print Din 8 3tr Thickness 2.0-2mm Colour.black, Barton Din S3 Buff Finished Leather (other Than Lining Leather,reptile/fur Skin 41041900 & Leather,hai Pebble Grain Buff Finished Leather (othe R Than Lining Leather/reptile/furskin 41043901 & Leather & Hair On

12

Q UALITY IN M ANAGEMENT (C ERTIFICATION AS ISO 9002 CSA, ANZ & AND SABS STANDARDS ).T HEC OM PA N Y HA S G OT

ISO 9002 C E RT I FI C AT E

FR OM

DNV, N E T H E RL AN DS

F OR QU AL I T Y I N O U R M A N A GE M E N T M A KE U S O NE O F T HE M OS T RE S PE C T E D M AN UF ACT U R E R S A M ON G S T I M P ORT E RS F ROM

E U R OPE AN

C O U NT RI E S .

ISO 9002 Certificate from DNV, Netherlands for quality in our management .

The company has also got Stringent EN 345-norms make us one of the most respected manufacturers amongst importers from European countries. Being equipped with requisite infrastructure and strict adherence to high standards of quality, we are able meet CSA, ANZ & and SABS standards.

13 The Company also have a separate quality control and Research& Development department will which keep a close check on quality of product as well as development of new kind of leather through research and development. The company always strive for quality and cost effective product, which can satisfy customers need and company also. Q U A LI TYIN

P R O D U C T - CTC C ER T I F IC A TIO N

Our product are manufactured with utmost control over their quality. Our products have been successfully tested at CTC, France.

14 It has always been our Endeavour to maintain quality - both in our management as well as in our products. As a result of these efforts, we have been successfully accredited by internationally known organizations, ISO and CTC

Quality of our products - certification from CTC France

15 An Environmental Management System has been implemented at the tanneries and shoe units. The four of its units has been certified as ISO 14001:2004. The Group is committed to the Health and Safety of its workforce. The tanneries and shoe units have been awarded with the certificate of OHSAS 18001:1999 for Occupational Health and Safety Management System Standard.

Allied Exims in Global MarketOur products conform to the most stringent quality standards laid down by some of the most quality conscious and discerning markets like UK, Germany and France.

At present, Company's products are being exported to UK, Europe, South Africa, Middle East and South East.

List of countries from whom allied exim do bussiness

Today, Allied Exim has a manufacturing capacity of 15 million sq. ft. of finished leather and 1.6 million pairs of safety uppers and fashion leather shoes annually at its three manufacturing units. Unit -1 at Jajmau, Kanpur and Unit-2&3 at UPSIDC Leather Technology Park Banthar, Unnao industrial area.

16

EXPANSION PROGRAMME

Keeping in view the increasing demand of Company's product in the global market Company started the production activity at newly set up Shoe Factory at Greater Noida (Unit 6). This will take the present installed capacity of 4.8 million pairs per annum to 6.0 million pairs per annum over the next three years and will further augment the Company's turnover and overall profitability. The Unit 6 of the Company will be an eco-friendly unit having green building concept for construction. The bricks used in the building are made of fly ash waste from power plants and sand (thereby helping in preserving topography of the area and ecology). They are not only cheaper than clay bricks but also have better insulation properties. The Building walls are double insulated to keep the Building cool as the production halls are constructed having east-west orientation. This will help in keeping the buildings cool with minimum forced cooling equipment and thus, saving precious energy cost. The entire boundary wall has solar energy lighting system again to save energy cost. It is proposed to have a solar energy electricity generation plant of 25kw for entire lighting needs to further save the energy cost.

Social ResponsibilityThe Allied Exim is also a partner of a Common Effluent Treatment Plant in the state of Uttar Pradesh in 1993(set up and maintained by Allied leather group, Superhouse Group, Mirza International and Sultan Tanners Pvt. Ltd) for the treatment of effluent generated by leather industries at the secondary stage with the assistances of the World Bank and the government of Uttar Pradesh.

17

Allied Exims also have his personal Effluent Treatment Plants to reduced the water pollution in river the Ganga.

An Environmental Management System has been implemented at the tanneries and shoe units.

units has been certified as ISO 14001:2004. The Group is implementing the Social Audit in every manufacturing unit and the leather garments unit of the Group has already received the SA8000 Certification. Continuous efforts are made to create awareness about environmental conservation among inhabitants of towns/cities where The Group is committed to the Health and Safety of its workforce. The tanneries and shoe units have been awarded with the certificate of OHSAS 18001:1999 for Occupational Health and Safety Management System Standard. As a socially responsible organization, the Allied Group has contributed not only to economic well being of the Communities it interacts with, but has also enhanced their social well being And development. Since its inception, the Allied Group has always been engaged in activities, which add value to the community around it. As a part of its commitments to CSR initiatives, your Company,during the year, made available medical and educational assistance to economically disadvantaged and socially weaker section of the society by distribution of School Uniforms, School Bags and Books to School going children in association with the

18 District Administration Authorities. In the area of health care, the Company organized free Eye Camps jointly with Rotary Club, Kanpur (a society registered for Charitable and Social Welfare purposes) and successfully performed Cornea operations of poor and weaker section of society. On yet another project, Company distributed blankets to poors to protect them from the severe winter.Your Company has also been one of the contributory to fund for setting up a Multi Speciality Hospital and Research Centre in association with MIRZA FOUNDATION and other Industry Partners for the welfare of poor & weaker section of society. All national events such as Republic Day and Independence Day and other days such as May Day and, Vishwa Karma Day are celebrated at the units.

ProductsAllied leather Group manufactured variety of leather and leather products which have huge demand in European countries, United States, Canada, china and Malaysia as well as middle east countries. Allied Exims mainly focus on manufacture and export of safety shoes/boots as per EN 345 norms and also Upholstery/Sofa leather. The product which Allied Exims produces are of high quality and also satisfy the quality norms of various countries laid by the different governments. It has always been our Endeavour to maintain quality - both in our management as well as in our products. As a result of these efforts, we have been successfully accredited by internationally known organizations, ISO and CTC .

The company has also got Stringent EN 345-norms make us one of the most respected manufacturers amongst importers from European countries. Being equipped with requisite infrastructure and strict adherence to high standards of quality, we are able meet CSA,

19 ANZ & and SABS standards.

Finished Leather/ Upholstery leather

Mens Footwears

Childrens Footwears

Safety Shoes

Riding & Saddler Products

Leather Leather jackets

Accessories

20

Leather Garments

21

Allied Exims is well known for his specialty in his shown making mainly in Gents fashion shoes and safety shoes. Allied Group has emerged as one of the largest players in the industry.

22 We started with a commitment to excel, achieve and deliver the very best. Towards this end, we engineer, optimize and control every phase of the manufacturing process from raw material to finished products to ensure that end products are of the highest quality and also the best value for money for our clients.

A perfect blend of highly technical, skilled and semi-skilled workforce and competent managers has helped us in carving out an enviable position for ourselves in the global market. Our existence in the trade for over three decades has given us a wealth of knowledge, which allows us to offer our customers the maximum in choice, value and quality.

Manufacturing FacilitiesThe Group has five manufacturing units located in Jajmau Kanpur and Banthar Unnao. In all five tanneries different types of finished leather ,shoes ,riding equipments are made, The company has distributed all the product manufacturing to different group tanneries, depending upon availability of raw material and labour at cheap cost. Allied leather Group manufactured variety of leather and leather products which have huge demand in European countries, United States, Canada, china and Malaysia as well as middle east countries. Allied Exims mainly focus on manufacture and export of safety shoes/boots as per EN 345 norms and also Upholstery/Sofa leather. Product which are manufactured in different units are given below

Name of Group Company

Product manufactured

23 1. Allied Exim Pvt. Ltd Upholstery leather (for BMW AND AUDI) 2. Allied Leather Finishers Pvt. Ltd. Sofa leather (for IKEA and Durian Furniture) 3. Kelco Impex Pvt. Ltd S A DD LE R Y (for Saks saddler Co. UK and for Canadians, Australian and US Co.) 4. Kelco Fashion and Trend Pvt. Ltd Leather shoes, Safety shoes Leather jacket,Belts and Wallets (for Versace,EDHardy and Jack&Jones)

5.

Allied Chemicals Pvt. Ltd

Import expensive and complex leather Chemical (from BASF France & China For Domestic Sale and own consumption)

All manufacturing units are committed to the Health and Safety of its workforce. The tanneries and shoe units have been awarded with the certificate of OHSAS 18001:1999 for Occupational Health and Safety Management System Standard.

An Environmental Management System has been implemented at the tanneries and shoe units. The units has been certified as ISO 14001:2004.

Today, Allied Exim has a manufacturing capacity of 15 million sq. ft. of finished leather and 1.6 million pairs of safety uppers and fashion leather shoes annually at its three manufacturing units. Unit -1 at Jajmau, Kanpur and Unit-2&3 at UPSIDC Leather Technology Park Banthar, Unnao industrial area.

Allied Exims had received Certification from CTC France, is treated as most honorable

24 and reputed authority , which certify only few leather manufacturing companies for its for quality in production management and corporate social responsibilities towards its environment.

Manufacturing & Production Facilities

1. Finished leather And Upholstery leather Division

Tannery No. 1-Upholstery leather UPSIDC Banthar Unnao.

Tannery No. 2-Sofa leather UPSIDC Banthar Unnao.

Factory No.3 Safety Shoes leather UPSIDC Banthar Unnao.

25 2. Footwear Divison I Footwear Division II

Footwear

Division.

1-

Fashion

Footwear Division. 2- Fashion shoes (Gents & ladies Division)

shoes(Gents Division), Jajmau

3. Childrens Footwear Division

26

4. Leather Accessories And Jacket Division

Accessories Factory No.1, Belts and wallets.

Factory No. 2 Leather JacketDivison and WareHouse of Raw hides

27

5. Riding Products

Horse Unnao) Breeches Division (Jajmau)

saddler

Divison

(banthar

Riding Boot Division (KDA CLY)

An ISO 9002 certified company. The company is first in India to be certified ISO 9002 for both units i.e.leather finishing unit at Unnao & shoe upper unit at Jajmau, Kanpur. The company is also a Government recognised export house.

28

TOP EXPORT PRODUCT INFORMATION OF ALLIED EXIM

HS Code01011010 Leather)

Production DesprictionNubuk Oily buffed finished Leather(other than reptile Lining

41012020 back length

Finished leather oily Buffalo Half Butt thickness3,6-4 and resined

41041100 leather)

Finished Leather buff Barton Print (upholstery leather and sofa

41041900 shoes)

Barton din S3 Buffed finished leather ( For safety shoes and fashion

41043901 sandels )

Pebble grain buffed finished leather (for gents shoes and ladies

Export Shipment Database Details of Allied Exims Pvt. Ltd.Date HS Code Descriptn. Foreign Cntry Qty

27.04.2011

0100110

Nubuk oily Finished Leather

Hamburg,Germany

8097 Sqf

18.05.2011

41012020

Oily Buff half butt

Hong Kong

2084Sqf

29 20.06.2011 41000110 Finished Leath Barton Buff Print Austria 4961 Sqf

19.07.2011

41041100

Buffalo leather Buff Mod. Spain

1200 Sqf

29.08.2011

41041900

Finished sofa leather

Australia

1660 Sqf

21.09.2011

41041900

Riding accessories&

Great Britan

2500 Units

saddlers

19.10.2011 Sqf

41043909

Barton split Buff Leath.

Germany

3150

09.11.2011 4961 Sqf

41000110

Finished Leath Barton

Austria

Buff Print

18.12.2011

41012020

Oily Buff half butt

Australia

2084Sqf

27.01.2012 Sqf

0100110

Nubuk oily Finished

Hamburg, Germany

8097

30 Leather

08.03.2012 pairs

41012129

Fashion Shoes

Italy

9000

29.03.2012 pairs

41012112

Safety Shoes

Moscow, Russia

9000

ExperienceThe vast experience of sourcing and selecting raw hides of high quality, gained over the years stood in good stead for the company and another modern tannery with Italian machines was set up in 1996 at Banthar, Unnao.

Allied Exim is committed to continuous Research and Development, technological innovation, up-gradation and improvements to achieve ever-higher standards of quality. Allied Exims is well known for his specialty in his shown making mainly in Gents fashion shoes and safety shoes. Allied Group has emerged as one of the largest players in the industry. We started with a commitment to excel, achieve and deliver the very best. Towards this end, we engineer, optimize and control every phase of the manufacturing process from raw material to finished products to ensure that end products are of the highest quality and also the best value for money for our clients.

A perfect blend of highly technical, skilled and semi-skilled workforce and competent managers has helped us in carving out an enviable position for ourselves in the global market.

31 Our existence in the trade for over three decades has given us a wealth of knowledge, which allows us to offer our customers the maximum in choice, value and quality.

Q UALITY

AT

A LLIED E XIMS P VT . L TD

Allied Exims Pvt. Ltd started early as one of the first few leather industries in Kanpur - the place which is now a globally known center for leather and allied industries. Since then Allied Exims has kept pace with advancements in technology, market competition and quality awareness. Today we are proud to be accredited with ISO 9002 for both of our manufacturing units.

The company is first in India to be certified ISO 9002 for both units i.e. leather finishing unit at Unnao & shoe upper unit at Jajmau, Kanpur. The company is also a Government recognized Export House. The Company also enjoy Monopoly on export of Upholstery leather to reputed Car manufacturing Companies like BMW and AUDI on contract basis since last nine years. In its Jajmau Division (Kelco Fashion Trends Pvt. Ltd ) company manufacture safety shoes Leather shoes Leather jacket, Belts and Wallets (for Versace, EDHardy and Jack &Jones).

T HE

C OM PA N Y HA S G OT

ISO 9002 C E RT I FI C AT E

FR OM

DNV, N E T H E RL AN DS

F OR QU AL I T Y I N O U R M A N A GE M E N T M A KE U S O NE O F T HE M OS T RE S PE C T E D M AN UF ACT U R E R S A M ON G S T I M P ORT E RS F ROM

E U R OPE AN

C O U NT RI E S .

The company has also got Stringent EN 345-norms make us one of the most respected manufacturers amongst importers from European countries. Being equipped with requisite

32 infrastructure and strict adherence to high standards of quality, we are able meet CSA, ANZ & and SABS standards.

The Company also have a separate quality control and Research& Development department will which keep a close check on quality of product as well as development of new kind of leather through research and development. The company always strive for quality and cost effective product, which can satisfy customers need and company also.

Research and Development in Allied EximsAllied Exims is committed to continuous Research and Development, technological innovation, up-gradation and improvements to achieve ever-higher standards of quality. The Research and Development facilities of the Group: Separate Research and Development Departments for every factory. Separate Design Centers for Shoes, Bags, and Garments. Specialized design center in China. Renowned designers from various countries. CAD-CAM facilities at shoe factories. CAD-CAM facilities at fashion garment units. State-of-the-art laboratories at the tanneries.

A perfect blend of highly technical, skilled and semi-skilled workforce and competent managers has helped us in carving out an enviable position for ourselves in the global market.

33

Retaining our leadership through growth as a consequence of customer satisfaction is of paramount important to us. To achieve our vision, the framework for quality inputs.

R&D and Design Centers:

Design Center in China C103, No. 603-613 Xicha Road, Baiyun District

Cad-Cam Footwear

Facilities

in

CAD-CAM Facilities in Footwear Plot No. A Division-II 3, Export

Division-I

D-15, Industrial Area, SiteII Unnao - 209801 UP INDIA

Guangzhou, CHINA

Promotion Industrial Park Agra 282007

34 LaboratoryinTanneryNo.1 A-1,Site-II,UPSIDCIndustrial AreaUnnaoINDIA

The company focused on supplying high quality leather and leather products to the overseas markets and gradually became one of the largest exporters of finished leather in the country.

During this phase, Allied group took a significant leap, by venturing into newer areas which were extensions of its existing competencies. The global shoe market was then looking upon outsourcing of leather footwear in a big way. To take advantage of this opportunity, Allied diversified into manufacturing of shoes. Very swiftly, four state-of-the-art manufacturing units were setup at Banthar Unnao.

Having made a foothold in the upholstery leather and footwear business, Allied Group quickly reorganized itself by setting up In-house Design and Development studios, Marketing offices and a strong Distribution and Logistics network. After successfully reorganizing itself, Allied also making efforts to its own brands.

Fair Participation of Allied GroupAllied group is well known for its upholstery leather ,sofa leather, fashion shoes(for gents& ladies) and safety shoes. The company is whole export units so its whole production is sale out in foreign specially in European countries and in south asian countries. The companies is totally produced leather on contract basis to reputed companies like Mercedes, Audi and BMW. Companies always keen to participate in reputed leather fairs across worlds to meets potentials buyers and to learn the new techniques of leather finishing .

35 The Company participate in all the following international fairs:

Fashion Footwear

Country

Safety Footwear

Country

Riva Del Garda Micam Shoe Event

Italy Italy

A+A Expo Protection Safety and Health Expo Sicur Tech

Germany France U. K. Spain

Finished Leathers

Country

Leather

Garments,Country

Riding Products

Roslegprom Aplf Lineapelle

Moscow Spoga Fair Hong Kong Beta Fair Italy Indian Intl Garment Fair India U. K. Germany

Leather, AccessoriesMipel

CountryItaly

36

Achievements & Recognition. Set up a fully integrated production line Own tannery for captive consumption in shoe factories with a capacity of 20 million sq ft p.a. Increased production capacity to 3.35 million pairs p.a. Developed over 25 dedicated ancillaries Developed 2 fully dedicated outsourcing units for mass products, supplying 1.2 million pairs of shoes p.a. All factories, Indian Offices and UK office connected through ERP network for a seamless information system Created a strong design team based in China ,Enabled global presence through group companies and marketing arrangements exchanges and is ISO 9001, 9002 and 14000 certified. Best Overall Export Performance 2010-11 Gold Trophy presented by Council for Leather Exports. Best Export Performance 2009-10 for Non Leather Harness & Saddlery presented by Council for Leather Exports. Outstanding Award State Export Award 2007-08 Presented by Uttar Pradesh Government. Mr. Ishrat Qaiyum, Whole time partner Managing Director of Allied Exims Pvt Ltd unanimously elected as Chairman of Council for Leather Export. Second Prize State Export Award.Presented by Uttar Pradesh Sarkar.

37

Apart from above mentioned awards and achievements the Allied Exim is also a partner of a Common Effluent Treatment Plant in the state of Uttar Pradesh in 1993(set up and maintained by Allied leather group, SuperhouseGroup, Mirza International and Sultan Tanners Pvt. Ltd) for the treatment of effluent generated by leather industries at the secondary stage with the assistance assistances of the World Bank and the government of Uttar Pradesh.

Allied Exims also have his personal Effluent Treatment Plants to reduced the water pollution in river the Ganga.The Group is implementing the Social Audit in every manufacturing unit and the leather garments unit of the Group has already received the SA8000 Certification. Continuous efforts are made to create awareness about environmental conservation among inhabitants of towns/cities here our unit sare located. The Group is committed to the Health and Safety of its workforce. The tanneries and shoe units have been awarded with the certificate of OHSAS 18001:1999 for Occupational Health and Safety Management System Standard.

As a socially responsible organisation, the Allied Group has contributed not only to economic well being of the Communities it interacts with, but has also enhanced their social well being And development. Since its inception, the Allied Group has always been engaged in activities,which add value to the community around it.As a part of its commitments to CSR initiatives, your Company,during the year, made available medical and educational assistance to economically disadvantaged and socially weaker section of the society by distribution of School Uniforms, School Bags and Books to School going children in association with the District Administration Authorities.

38

Expansion And Development programmeKeeping in view the increasing demand of Company's product in the global market Company started the production activity at newly set up Shoe Factory at Greater Noida (Unit 6). This will take the present installed capacity of 4.8 million pairs per annum to 6.0 million pairs per annum over the next three years and will further augment the Company's turnover and overall profitability. The Unit 6 of the Company will be an eco-friendly unit having green building concept for construction. The bricks used in the building are made of fly ash waste from power plants and sand (thereby helping in preserving topography of the area and ecology). They are not only cheaper than clay bricks but also have better insulation properties. The Building walls are double insulated to keep the Building cool as the production halls are constructed having east-west orientation. This will help in keeping the buildings cool with minimum forced cooling equipment and thus, saving precious energy cost. The entire boundary wall has solar energy lighting system again to save energy cost. It is proposed to have a solar energy electricity generation plant of 25kw for entire lighting needs to further save the energy cost.

39

AN INTRODUCTION TO Topic

40

MARKETING STRATEGY OF THE COMPANY

Marketing is indeed an ancient art; it has been practiced in one form or the other since the days of Adam and Eve. Its convergence as a management discipline however is of relatively recent origin. And within this relatively short period, it has gained a great deal of importance and structure. In fact, today most management thinkers and practiotners the world over regard marketing as the most important of all management functions in any and every business. The Marketing strategies adopted by the Allied exim has been highly competitive and has enable the company to keep a firm grip on the battle ground and fight competition and retain its market share and profits thereafter. IN following paragraphs I shall discuss the marketing strategies adopted by the company at various levels. My findings are dispersed into 4 Ps of Marketing Mix, i.e. PRODUCT PRICE PLACE PROMOTION

To begin with the product strategy of the company is being examined and is as follows:

41

PRODUCT STRATEGYThe firm Allied exim has a powerful and strong that is popular in leather c industry, which has been of high standards and is approved by various authorities. The research and development department of the company constantly rolls out new and sturdy versions of product thanks to the relentless efforts of the R & D team. It has proved as a backbone to the Companys strong existence in the market. The Allied key product strategy happens to be its emphasiss on the quality of the products. To corroborate this, at various stages of production there are numerous quality checks carried out to ensure highest level of quality are achieved is the final end product. As a certification to these quality standards exercised by the company ISO 9001 has helped these products to have a universal acceptance and especially a great demand among the related customers. The right quality and on time delivery are hallmarks of Allied service. With the growing global competition, the keyword for industrial success is excellence in product quality. The company is fully aware of this and is very imperative and with its deep commitment to quality, Allied has always been raising its quality standards to the highest level set by its reputed customers both national and international.

PRODUCT DIVISION UPHOLSTERY LEATHER SOFA LEATHER SADDLERY LEATHER SHOES,SAFTEY SHOES, LEATHER JACKET,BELTS & WALLETS IMPORT EXPENSIVE & COMPLEX LEATHER CHEMICAL

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UPH0LSTERY LEATHERThis leather mainly deals in meeting the requirements of the franchisee owners only for BMW & AUDI , But those are given another division which co-exists in this. The main objective behind the success of ALLIED Limited is not only betterment in quality, but also evoking customer satisfaction and public perception of the product. The division is also aiming at direct interface with its distributors, retailers and franchisees through a process of suggestions, complaints and queries. This would prove to be of valuable help in order to enhance and improve the product range, because to stay at the top of the ring, a standard of quality has to be maintained

SOFA LEATHERTouching hearts in many ways ALIIED make leather for IKEA and DURION furniture, USA and successfully launched a new brand of furniture in the Indian market, durion, with its unique range of sofa, came along like a breathe of fresh air and captured the hearts of audience. Constantly innovating and expanding, DURION+- introduced the ever popular furnitures. Simple innovations of the low coast sofa, the design and the technical excellence of the leather seat have made it one of the most popular products of DURION. Setting itself high standards in terms of craftsmanship, quality and segment of the market both in India and abroad. An exclusive product deserves an exclusive showcase the ever expanding and unique range of the products produced by IKEA and DURION. With a very successful past, DURION intends to touch many more hearts, as it continues with its quest for excellence in the future.

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SADDLERYSaddlery is a division had brought a revolution in the leather product division of Alled especially in the Australia and Canada division. saddlery was created to take care of riders and horse being made under the Kelco Impex & trend pvt. ltd. It broadly use in Australia because they use only one time a SADDLERY , on there SADDLERY many of creation like with gold cut and also diamond cut SADDLERY. CANADIAN not uses it more than two times and it does not matter how much it cost so in AUS & CANADA its very much success as an ALLIED leather under Kelco impex .

LEATHER SHOES, SAFTEY SHOES, LEATHER JACKET,BELTS & WALLETSUnder Kelco faishon and trend pvt. Ltd. was earlier made to manufacture and as well as market the products being manufactured, but as the company had to face losses in doin so, it started importing goods from all over the world from countries such as China, Japan, South Korea, USA and UK. Through this, the company started making profits and so now it is not facing problems like large amount of dead stock or the overhead expenses. But because of this the goods have become a little more expensive but as the quality of the products are better than before the customer does not seem to mind paying a few more for a better product. This division takes care of all the imported items which include Shoes, belt ,and safety leather which are being manufactured by Allied themselves.

44 IMPORT EXPENSIVE & COMPLEX LEATHER CHEMICALMonth of April and May 2002 saw the launch of a new venture- Allied leather accessory with a lot of splendor and enthusiasm. It was a big affair at BMW, New Delhi In April 2002 and a, Chandigarh in May 2002. The venues wore bright young and vivacious looks: all decked up with banners and life size cutouts of leather seat and safety leather. The press gave it sizeable coverage al all leading dailies Under ALLIED chemicals from BASF France & China for domestic leather. They have flooded the market already.

PLACE STRATEGYAllied has achieved an extremely favorable innings through its highly efficient style of working, which has helped the company set up cost-effective production line-ups. The largescale production of leather and export of unique and different quality leather has made it a profitable system for the company and its clients. The brand visibility has given a boost to profitability in a highly price-sensitive market. The record of the uninterrupted profits and dividends in the past years shows a commendable track record. The conglomerates continuous growth in production and sales has certainly resulted in better financial engineering. The timely execution expansion projects, technology inputs, operational efficiency and better work force productivity have helped the company achieve a constant growth pattern. Over the years Allied franchise outlets have been operating successfully in many cities and towns in India and abroad. The tremendous brand popularity of allied products and their

45 experience in retail management have created opportunities for more such franchise outlets all over India. Generally, it has been considered imparts very less or no productivity as far as product upward sale is concerned. As, the retailer is in direct contact with the consumers so he has a good opportunity to influence or change buyers decision about purchasing the greeting cards & gifts. Irrespective of the companys profile, advertising strategies and products quality, company depends very much on retailers network, because they are the people who are in the direct link with the end users. So, they have a better perception of the market as well as customers specific and minute but important information. In todays competitive era it is very important for any professional company to have a clear assessment of the market and consumers need and this is the very same point where retailer has utmost importance. In Allied group (Franchisees division or retailers network); the company is catering to residential segment of greeting cards mainly in metros, cities and towns. Generally, end customers do not have any specific idea about expressing his/her feelings so they are very much dependent on retailers advice about various greeting cards, as this is the common criteria in Indian Market. Nut, in taking view of customers quality consciousness and having acquired sharp skills, retailer can absolutely influence their buying decision. As customers who go and buy as per their requirement retailers role requires some calculated and diplomatic steps They also participate in competitive bids to secure orders from various shops and general stores. The company ensures the schedule delivery of the orders placed by them. Proper care is taken to ensure the delivery of good quality and specified quantity as asked by the customer.

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WAREHOUSINGThe company has 4 warehouses located in Kanpur, England, Italy & china otherwise the company relies on the large chain of distributors and sub-distributors for warehousing facility. Since, the company has vast network of distributors and sub-distributors spread across the length and breadth of the entire country, company need not open its own warehouses for serving the customers.

DELIVERYThe company lays great emphasis of timely Export of the products. There are various in-built checks at every level of production. Progress is reviewed very frequently. Top management takes active interest in executing orders in time.

PROMOTION STRATEGYIn the early years, promotion for Allied was restricted to mail order advertising. Its first press advertisement appeared in 2004, for the Great Allied Explosion, an exposition held in a five star hotel. Its first TV commercial was broadcast the following year, being one of the first to use cable & satellite channels for advertising. Since then Allied has evolved with the times, using mass media in a manner that highlights the brands' preoccupation with sentiments, feelings and emotions.

The Allied Best of Both Worlds tv Programme indirectly like by BMW & AUDI or IKEI & DURION sofa.

Over time, Allied promotions have successfully married the medium and the message to reap rich returns. Bas chalta hi jaye tag used by DURION on TV.

47 MARKETING TECHINIQUES Changes in the operating environment will no doubt have their impact on the marketing and distribution logistics in the greeting card and gift industry. The several facets that have to be borne in mind are: with the abolition of freight equalization fund, regional concentration of demand centers will occur; with increasing competition from both domestic producers and imports, brand loyalty and stringent quality specification will have to be developed and a more flexible market driven product mix will become a reality. The stringent foreign exchange situation will make an aggressive export thrust a prerequisite. Imports of capital equipments as well as raw material will have to be financed by export earnings without resort to the more expensive option of buying foreign exchange in the open market. The export markets cannot be developed overnight. Continued exports presence, financing export credit sales and adapting to possibly lower unit value realizations will be the realties that the new marketing strategies will have to face. Allied Ltd. used several types of media for advertising their product. Those are as follows:

ELECTRONIC MEDIAElectronic media is the most powerful and most extensively used media by most of the marketers. It has a wide coverage right from cities and villages to metropolitan cities. This media has been used very selectively.

SALES PROMOTIONAL ACTIVITIESEXHIBITIONS Allied Ltd. participates in various exhibitions, trade fairs to demonstrate their products specifications and applications to the potential customers. Many times company itself organizes these exhibitions etc.

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PRICE STRATEGYAllied has achieved an extremely favorable innings through its highly efficient style of working, which has helped the company set up cost-effective production line-ups. The largescale production of greeting cards and gifts accessories has created a profitable system for the company and its clients. The brand visibility has given a boost to profitability in a highly price-sensitive market. The record of uninterrupted profits and dividends in the past years shows a commendable track record. The conglomerates continuous growth in production and sales has certainly resulted in better financial engineering. The timely execution of expansion projects, technology inputs, operational efficiency and better work force productivity have helped the company achieve a constant growth pattern. There is a fierce competition in the greeting cards & gifts industry. As such Indian customers are very sensitive about price. So it is very challenging to price your product competitively without compromising with the quality. For pricing of the competitors, prevailing market conditions and customers background. Customers behavior plays a very important role in determining the price of the product offered to him. In serving industrial customers who relies heavily on credit customers who relies heavily on credit customers background is verified, his past record is checked and accordingly price is quoted. While serving trade customers factors like competitors pricing policy, prevailing cost of the product are taken into the account. Generally, trade customers pay in cash whereas industrial customers are extended credit facility. Here, company experience with the other company is taken into consideration and it also depends on the size of the order and on the other companys reputation.

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SWOT ANALYSISSTRENGTHS o High brand equity o Strong corporate images o Satisfied work force o Well qualified and experienced management o Excellent distribution network o Sound financial position o Largest market share

OPPORTUNITIES o Export potential due to low cost product WEAKNESS o Huge brand portfolio o Not effective in central region o Premium plus segment yet to be captured THREATS o New entrants are advertising & promoting heavily o MNCs with deep pockets o Market is very dynamic o Government policies

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COMPETITIONPresently there are 4-5 major players in the organized sector having their presence across the country; other players in the organized sector are regional or local players. The two leading players in the organized segment of the leather industry are Allied and superhouse. Other players are Wilson, mirza international, and Ambassador. Smaller unorganized players in the market compete on the price front. Vintage is the most significant competitor at the national level and operates through a chain of franchise outlets similar to Allied. Sales dropped by 2% to in Quarter 1 2005. The decline in sales is due to the company switching over from a distributor-based network to C&F agent based network. Operating profit margin, excluding other income recorded a 1% point decline from 25.6% to 24.5%. Net profit also declined by 15.7%. In the field of leather and leather chemical industry. It is tapping local markets through regional requirement. It is inspired by the growth and success of the regional media and convinced that the regional languages can significantly contribute to the growth of the personal and social expression industry. It has specially focused on servicing multi-brand retail outlets by leveraging its all India distribution network. It has also forged special relationships with key retailers under the 'Expressions Valued Customer' scheme. It is already exporting greeting and gifting products to neighboring countries and the AUS.

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RECENT DEVELOPMENTSALLIED focus on its core business has enabled the company to identify emerging customer trends. With its line of vernacular SAFTEY LEATHER, ALLIED is now expanding its universe of customers, as well as growing the social expressions market. In addition to this, the company's line of Gifts has expanded tenfold over the last three years.

Over the same period, with its core business in place, the prime focus of the company stander quality leather. The end objective is to provide the customer with a better and a more complete, world class finishing and comfortable experience.

It is the aim of the company in the next three to four years to be present in every significant shipping real estate in the country. With a view to better control the ultimate experience for the customer, the focus will be on company owned or company managed stores as opposed to the pure route that has been followed so far.

ACHIEVEMENTA US $50 million group, Allied Leather group has 5 units, with a workforce of over 1800 and a presence in more than 10 countries. Our commitment to quality is reaffirmed by our ISO 9002 certification. Stringent EN 345-norms make us one of the most respected manufacturers amongst importers from European countries. Being equipped with requisite infrastructure and strict adherence to high standards of quality, we are able meet CSA, ANZ & and SABS standards.

The Allied Group have five companies which export leather, leather products in the UK, the U.S.A., the U.A.E., Europe, South Africa, Middle East and South East primarily engaged in marketing and distribution of leather, leather products and accessories.

52 The group has crossed an annual turnover of Rs. 500 million. The Group has five manufacturing units located in Jajmau Kanpur and Banthar Unnao

From a single tannery in the 1966 producing finished leather, Allied Group has emerged as one of the largest players in the industry. We started with a commitment to excel, achieve and deliver the very best. Towards this end, we engineer, optimize and control every phase of the manufacturing process from raw material to finished products to ensure that end products are of the highest quality and also the best value for money for our clients.

A perfect blend of highly technical, skilled and semi-skilled workforce and competent managers has helped us in carving out an enviable position for ourselves in the global market. Our existence in the trade for over three decades has given us a wealth of knowledge, which allows us to offer our customers the maximum in choice, value and quality. In addition, we are approved vendors for global brands such as BMW,AUDI,IKEA,DURAIN Furniture, Saks saddler Co. ,ED-Hardy, Versace and Jack&Jones and also some traders located in Canada , Australia and United states.

FUTURE PLANS

To improve service and availability of its products, allied is revamping its distribution system and introducing C&F agents instead of distributors. A greater emphasis will be laid on setting up more Vision 2000 warehouse. Allied has identified its leather business to drive up the sales volumes for the company.

In the next three years, the company has targeted the AUSTIN MARTIN & FERRARI business to contribute 50% of its turnover. It is expecting a growth of 75-80% in that business for the next couple of years.

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OBJECTIVES & RESEARCH METHODOLOGYOBJECTIVES To study the Marketing strategies adopted by ALLIED products. To analyze the companies preference and perception for Allied products with reference to other market players. Analysis of the product, pricing, availability, and quality of Allied products. To study the customer behavior about Allied products. To study, how much companies interested for making new deal with Allied Exim in trade fairs like SPOGA & 8++.

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RESEARCH METHODOLOGYResearch methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. Descriptive research study will be chosen for research, because the major objective of descriptive research is to describe something- usually market characteristic or functions. Descriptive research is conducted for the following reasons: Market studies, which describe the size of the market, buying power of the consumers, availability of distributors, and consumer profile. Market share studies, which determine the proportion of total sales received by company and its competitors. Product usage studies, which describe consumption pattern. Sales analysis studies, which describe sales by geographic region, product line, type and size of the account.

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Sources of Data CollectionPrimary as well as secondary data for will be used for research study.

Primary sources:Primary data is collected through interviewing, administering questionnaires and observing people and phenomena.

Secondary Sources:Secondary data is collected through internet and books.

SamplingConvenient sampling study will be used; in each will be conducted collection of data. Sample size I adopted six companies (BMW, AUDI, DURION FURNITURE, IKEA, JACK&JONES, and VERSACE) with 48 contacts for preparing the project report on critically analyzing Allied Limited. This includes tackling situations while gathering the relevant information. o A list of the names of the executives to be contacted was prepared o Various places from where the data could be available were noted down. o To support the findings & give meaning to the project report a list of various sources were planned out. o Questionnaires prepared to collect feedback from Dealers, and Customers. o Analysis of the Questionnaires to be done to get the final findings and recommendations.

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STEPS AND TOOLS INVOLVED IN PREPARING PROJECT First of all, the company of which I wanted to make the project was selected and I chose Allied exim only because it was the current market leader in the Greetings & Gifts Industry. Then, the field in which I wanted to make the project was selected, I chose Marketing only because it interested me very much and would provide me with greater knowledge. Then, I contacted the head office of the company and took an appointment with the executives of the company. So that they could provide me with greater insight about the company. I used many marketing books to get my project ahead. Also started collecting information in different newspapers, magazines, etc. Then, through www.google.com search engine searched for data and information about the company so that I could back my project with adequate facts and figures. I prepared a Questionnaire to get first-hand information from the customers. So, that I could analyze the data and could bring out actual findings. Analyzed the data gathered and with the help of pie-charts and other diagrammatic representations tried to give my project a better present ability.

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SCOPE OF THE STUDYExtensive survey on customer preferences will provide lot of valuable information about the brand awareness of the product and it will be easy to find out the likes and dislikes about the product. For company, it will provide through knowledge about the consumer preferences in comparison with other market product and suggest valuable direction of the current market trend. It will provide lot of information about the market trend and customer preferences about the product. It will include valuable suggestions for the company, how the company can strengthen their own brand? The study of customer preferences will provide me lot of information on: 1) How customer profile differs across the user segments? 2) Dopes the different classes of the customers differ their preferences? Company officials are secretive and hesitant about divulging any information whatsoever amount spent on Advertisement and aspects related to Research and Development.

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IMPORTANT POINTS BEFORE MAKING A PROJECTVarious points kept in mind before making a project they are as below: Plan of common work Economically Simplicity Flexibility Service reliability Development & Modernization Safety & Precautions Availability of condition Selection of equipment

Advantages of Projects 1) Projects give sufficient ideas 2) It gives sufficient knowledge for type of material and money required for it. 3) If a project is designed there is no wastage of money and material 4) Projects have to work systematically 5) It develops the mind of people and facilitates development of the country 6) If we have any project for any purposed job, then there will be great easiness in installation.

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DATA ANALYSISSURVEY Marketing strategy & Customer Satisfaction of Allied Products This Survey has been conducted by me with the help of a Questionnaire First of all, I selected the list of companies. Then the people which I chose. Its a one day Survey and that is why I chose the most free day of the week .(Monday) Then I tried to convince people to fill the Questionnaire and managed to get call 48 people in a total of 4 hours. Then, it was up to me to do the analysis and with the help of Diagrammatic Representation; I have tried to present the best project.

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INTERPRETATIONQ1. Do you know Allied Exims?

S.N

People says

Number respondent

of

1 2 3

Yes No Partially

25 13 10

people0 13

25

yes no partialy

10

25 people says that they know about Allied Exim, 13 people partially know & 10 people didnt know about Allied Exim.

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Q2. How do you know about Allied Exims?

S.N

Source

No. respondent

of

1 2 3 4

Television Radio Newspaper Magazine

7 3 15 23

People7 3 23 TV radio 15 News paper magzine

Most of people know about Allied by magazine, 15 people know it by news paper, 3 people know by radio & seven people know by tv indirectly because its promoted by DURION & IKEA furnitures.

62 Q3. How Allied make new client?

S.N. 1 2

SourceArticle Trade fairs

No. of respondent 17 31

People

17

Article 31 Trade fair

Allied make their clint mostly in trade fair. 31 people says that they use to know about Allied in trade fairs like SPOGA, 8++ & many more trade fairs. 17 people says that they know about Allied by Articles.

63 Q4. How often export is made?

S.N 1 2 3 4

TimeWeekly Fortnightly Monthly Once in six month

How much times 1 2 4 12

Times1 2 4 Weekly fortnightly 16 monthly once in six month

Allied Exim made their export weekly (may be one time), fortnightly (may be two time), monthly (approximately four time)& once in six month .

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Q5. How much the expenditure is made (in million)?S.N. 1 2 3 During the period Three month Six month Annually In millions 5 10 15

In Million

three month 10 six month annually

Allied Exim made five million expenditure in three month, in six month 10 million & annually its approximately 15 million.

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Q6. Which market does it mainly focus?

S.N.

Differential market

Particular market focused by allied

1 2 3

Fashion & trend Auto expo Sports

30% 30% 40%

.

30%

30%

faishon & trend auto expo sports 40%

Company mainly focus for auto expo in comparison to sport & fashion & trend, because auto expo give it maximum turnover.

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Q7. Which mode of of transportation does company follow?S.N. 1 2 3

Mode of transportationAir ways Water ways Any other

Number of respondent 22% 60% 20%

.70% 60% 50% 40% 30% 20% 10% 0%

60% 20% 20% airways water ways any other

.

For transportation company mostly choose water ways, because its cheaper & safe in comparison to air ways & others.

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Q8. Does company make changes their policy as per the norm by the government?

S.N

Employees says

NO.

of

respondent

(total In(%)

people=48) 30 8 10 55% 15% 20%

1 2 3

Yes No May be

.

may be

30%

no

15%

.

yes

55%

0%

10%

20%

30%

40%

50%

60%

Company change their policy as per government rule , in 55% case it is possible to change , in 15% case company is not going to change their policy as per government norm.

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Q9. Which one of allied product you prefer most?S.N

Products

NO.

of

respondent

(total In(%)

people=48) 1 Leather chemical 2 3 Saddler Sofa leather 10 14 15% 20% 24 50%

.

50% 20% 0% saddler leather chemical sofa leather 50% 30% . .

As per result companys

prefer mostly for leather chemicals. Saddler mostly use in

Canadian & Australian countries & too much costly so its less in use .

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+Q10. Does the company follow environmental norms?

S.N

People says

NO.

of

respondent

(total In(%)

people=48) 1 2 3 Completely Partially Fully ignore 6 14 28 10% 30% 60%

what people say

10%

completely 30% 60% partially fully ignore

As the result we can see that company fully ignore the environmental norms. But company should take care about environment.

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Q11. Which one of trade fair, would you like to join?S.N 1 2 3 4 Trade fair SPOGA 8++ EVERY ONE NOT INTRESTED No of respondent 19 11 14 2

Total people - 48not intrested

every one 8++ spoga 0

Total people - 48

5

10

15

20

SPOGA is one of biggest trade fair in comparison to others & 8++ is also big trade fair but most of people interested to join SPOGA .

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Q12.Which one furniture is much better for sofa leather?S.N 1 2 3 Furniture IKEA DURION NOT SURE No of respondent 13 15 20

people13 20 IKEA DURION NOT SURE 15

DURION furniture is much better than IKEA furniture for sofa leather. Total people are 48 in which 15 said that DURION is better and 13 says IKEA 7 rest of them are not sure about this.

72 Q13.How much you are interested in new policy (white leather for Fashion & trend, saddler & sofa leather) of Allied Exim?S.N NO. of respondent (total In (%)

people=48) 1 2 3 Completely Partially Not interested 28 14 6 60% 30% 10%

.

10%

completely 30% 60% partally not intrested

A new policy in Allied Exim that is white leather for fashion & trend and in response completely interested people are 60%, partially 30% and 10% people are not interested.

73 Q14. Overall how satisfied are you with allied?S.N 1 2 3 4

People saysVery satisfied Somewhat satisfied Somewhat dissatisfied Not satisfied

No of people 55% 35% 15% 5%

.80% 60% 40% 20% 0% very satisfied somewhat satisfied . somewhat disatisfied fully dissatisfied .

At last I ask to peoples that over all how satisfied they are & 55% people are very satisfied, 35% are partially satisfied ,15% are partially dissatisfied .

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FINDINGS By the survey, it was clear that the target group of Allied products is mainly as 75% of the customers in the survey were above 40 years. That implies that the company should be making the products and offers more attractive for the Foreign Company. Also, another thing that came out through the project which is that, Allied is week in commercial advertisement, it should be advertise more. The customers are maximum in the category of Monthly comers and in once in six month comers. So, this is a sign for the company to provide more opportunities for them to come, so that the turnover can be increased. More than 40% only people in the survey which to order for Rs. 5-10 millions. That is an indication for the company to target this group and provide some discount and gifts for this group, for making much better relation with this group. Around about half of the people prefer to buy SADDAL and white leather when they come to an Allied and only a small percentage come to buy Leather chemicals. So, the company should concentrate more on them. If the company wants to target the masses, it needs to revise its pricing strategy as 24 out of 48 people think that Allied provides Value for their Money but only partially.

By the survey it was clear that people think that the Quality of leather which use in SADDAL is better than DURION furniture product. Allied mostly used water way for transportation, because it is much better in comparison to air ways .

75 Some Attention should be given to the display of leather shoes & leather furniture so that it is easier and simpler for the customers to see and choose them. As someone has rightly said the purpose of a salesperson is to serve the customer That has been proved by the Allied leather personnel as more than 60% company say that the service or attention got at Allied leather is Very Good. Overall, it is shown that the customers are Somewhat Satisfied as there is a majority of people which think that ways. But still it is less than totally satisfied, and it is important to look at the reasons for that Prices should be made more affordable Some stress should be laid on Advertising International range of products in LEATHER items should be available Dress code for the staff for a more professional look Lesser repetition of products should be there Prices should be made more realistic Improve the availability of products

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CONCLUSIONSIn the field of concept by using the ideas and by inventions / imagination/psychological and cultural fields. ALLIED have mixed up various human sentiments and created an altogether mixed market where they are able to promote and in cash benefits for themselves as well for building different human/socio relations.

World largest trade fairs organized in Germany , and allied leather chemical awarded three times , so we can say that leather chemical is very good but allied association take care about their upholstery and saddler leather, kelco impex and also kelco fashion & trend.

Regarding Customer Demands, Allied needs to tap the specific customer demands and need to improve on providing products at the right time, right place and at the right price. Also, as Allied leather, DURION furniture are all joints there purpose is to keep more variety, so there should be a better replacement scheme between the company and the shops, so that the shops can keep greater variety The main reason for the almost Monopoly of ALLIED is the Quality that it provides that gives it that extra edge over the other players.

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RECOMMENDATION Attend all trade fair. More attentive for SPOGA & 8++. To have some kind of control on their diversification to have a perfect production / consumption ratio. They should now concentrate more on their product which are not showing good sales and should discontinue them if see constant losses, newer products to be introduced on their place. To become hit selective and also try to avoid the situation which may put them in a tight spot some time in future as they are moving very fast and go to the masses to know what people want and not just force them to purchase anything manufactured. Try to organize trade fair not only in foreign also in India. Advertise more with the help of T.V., radio & also magazine.

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LIMITATIONSa. Increase of Primary data, sometimes it was difficult to contact or meet the Professional, due to their busy work schedule. b. Sometimes, Professionals are unable to furnish some of the information due to confidentiality of the same. c. Personally contacting the managers of the company involved time and cost. d. It was difficult to find information that exactly fitted the needs of the project at hand in case of secondary data or information is concerned. e. Secondary data when collected was invaluable but due to passage of time and with many dynamic changes taking place in the markets, the information losses its value in the current scenario. f. Being a very sensitive issue, company official were reluctant to give exact pricing policies followed by them. g. This project report gives a birds view of the marketing strategies adopted by the company. This project doesnt give detailed and deep insight of the marketing strategies. This project report gives only an idea.

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BIBLIOGRAPHYMagazines

-

India Today (year 2009, month July) Business Today(year 2002, month September) Business World(year 2006, month February)

Internet Sites

-

www.alliedleatherfinisher.com/leatherchemical2428/de.12/finshedproduct www.alliedexim.com/ikea/furniture/300osifurniture/sofaleather www.google.com/alliedleatherfinisher/leatherchemical/faishon/kelcoimpex

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QUESTIONNAIRE

Date-_________

Place-________

Name-________________________________________________ Address-______________________________________________ Age-___________ Ph.-______________

Q1. Do you know Allied Exims? a. Yes b. No c. Partially

Q2. How do you know about Allied Exims? a. TV b. Radio c. News paper d. Magazine

Q3. How Allied make new client? a. b. Article Trade fairs

81 Q4. How often export is made? a. Weekly b. Fortnightly c. Monthly d. Once in six month Q5. How much the expenditure is made ( in million ) annually? a. 5 b. 10 c. 15 Q6. Which market does it mainly focus? a. Fashion & trend b. Auto expo c. Sports Q7. Which mode of of transportation does company follow? a. Air ways b. Water ways c. Any other Q8. Does company make changes their policy as per the norm by the government? a. Yes b. No c. May be

82 Q9. Which one of allied product you prefer most? a. Saddler b. Leather chemical c. Sofa leather Q10. Does the company follow environmental norms? a. Completely b. Partially c. Fully ignore Q11. Which one of trade fair, would you like to join? a. SPOGA b. 8++ c. EVERY ONE d. NOT INTRESTED Q12. . How often do you give new order at Allied Exim? a. Monthly b. Weekly c. Fortnightly d. Once in six month Q13. Which one furniture is much better for sofa leather? a. IKEA b. DURION c. NOT SURE

83 Q14.How much you are interested in new policy (white leather for Fashion & trend, saddler & sofa leather) of Allied Exim? a. Completely b. Partially c. Not interested Q15. Overall how satisfied are you with Allied? a. Very satisfied b. Somewhat satisfied c. Somewhat dissatisfied d. Fully dissatisfied

If you were less than totally satisfied, what could have been done to serve you better? ___________________________________________________________________________ ___________________________________________________________________________ __________________________________________________________________ Any other Suggestions ___________________________________________________________________________ ___________________________________________________________________________ ________________