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    BUSINESS MARKETING

    BUSINESS PROPOSAL

    From

    TRAVEL DIARY

    TO

    Help MTDC (Maharashtra Tourism Development Corporation) to market Nagpur as an

    International tourism destination

    By: Nitin Kumar Shukla 2013180

    Nishant Aggarwal2013174

    Prerna Bansal2013

    Poloumi Sarkar2013

    Pallavi Gupta2013

    Pulkit Aggarwal -2013

    Faculty guide: Prof. Rajeev Kamble

    Institute of Management Technology, Nagpur.

    2013-15

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    Acknowledgement

    Every project is an opportunity to learn, to figure out problems and challenges, to invent and

    reinvent.

    We would start by expressing my sincere thanks and gratitude to all who participated in our survey

    for the better understanding of Tourism industry in Nagpur and to promote it at international Level.

    We would like to thanks all the persons who had personally interacted with us on field to give a realtime picture of the current tourism scenario in Nagpur and its future prospects which includes:

    Akshardham mandir

    Chikaldhara

    Ramtek

    Tadoba

    All of them have been of great help throughout the project. All our interactions with them have been

    very positive which enriched our learning experience.

    We would like to thank Institute of Management Technology, Nagpur and Prof. Rajeev Kamble for

    conceptualizing the term projects and providing us the opportunity of applying our class knowledge

    in real time business prospects.

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    Table of Contents

    Introduction.4

    Objective..5

    Buying Behaviour and Purchase Decision..........6

    Market Research Analysis.......8

    Product Mix.....9

    Price and Promotion...11

    Challenges..........................................................................................................................12

    Classification of Investment plan, Resources and Services...13

    AftermarketsHospitality, Support & Guide...18

    Understanding Customer Needs............19

    Motivation to Buy..........21Categories...............23

    Pricing strategies for Business Markets..................................................................................24

    Concept and Relationship Marketing.....25

    Conclusion..............................................................................................................................27

    Bibliography...........................................................................................................................28

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    Introduction

    Nagpur Tourism Company is a new entrant in a newly created category in Nagpur where our job is

    to make different set of attractive packages for the tourist coming from all over the country and

    targeting specially the International Tourists to promote Nagpur tourism.

    And, for making profits we will increase the no. of tourist in the region while promoting Nagpur

    tourism on International platform which will help in generating revenues for our company as well

    as for the whole tourism industry of Nagpur.

    Plan of Action of Nagpur Tourism Company is to sell different holiday packages like Escorted

    group holidays and customized holidays for International tourist to the companies who deals in the

    tourism industry globally and they will sell it to the end consumers which makes a win-win

    situation for both the parties and in the process we will generate employment while increasing the

    demand for the tourism industry in Nagpur

    Customer Prospects:

    We will try to reach maximum no. Of globally recognised holiday planners to unveil the Nagpur

    tourism market on International level. Some of them listed below:

    SOTC

    Cox and Kings

    Thomas Cook

    Sterling Holidays

    Make My Trip

    Yatra

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    MARKET RESEARCH

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    We have conducted a primary Market Research to find out general factors which influence a person

    to choose a vacation tour package. This research will help us to find out and categorize local

    destinations in Nagpur as per tourists requirement and design relevant packages to promote

    Nagpur. Following are the main results

    We found out that the purpose of the tour in 22.9% cases is sightseeing followed by Relaxing and

    Adventure Sports. In context to our project Nagpur has a mix of all 3 top reasons to visit a place.

    Next we found out what are the other factors influencing a tourist besides his interests. While

    visiting a place for sightseeing

    a tourist will seek 3 important

    factors, if they have enough

    time, how much will it cost

    them and the weather, hence

    the package design of the tourhas to be in synch i.e. it has to

    be affordable and planned

    during holidays like Christmas

    etc, also Nagpur is rich in

    natural reserves which serves

    the purpose of sightseeing.

    The chart shows that he gives

    equal importance of 19.5% to budget, time and 17.2% to weather.

    22.9%

    8.6%

    14.3%

    17.1%

    11.4%

    20.0%

    5.7%

    Tours On Purpose

    Sight Camping Night/recre Adventure/Sports Shopping relaxing pilgrim

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    When The purpose of visit is just relaxing, tourists would prefer a place with nice ambience as

    evident from the chart, the importance on factors likeKind Of Place, budget and weather, hence

    23.5% to the kind of

    place, which means the

    package developed for

    such tourists will include

    the best hospitality

    services at reasonable

    price i.e. closest to the

    price they are willing to

    spend on the tour.

    When the Purpose of visit is Adventure Sports tourists give equal importance to the budget, weather

    and time available. Hence the tour packages developed accordingly, Also we have identified the

    major categories of

    preference for each familymember the observations

    are as follows, it is

    observed that when the

    respondent goes out alone

    or with his spouse he/she

    is more interested in

    sightseeing , while when

    he is with a group of

    friends he would prefer aplace with recreation and

    night life, also when

    asked about the

    preferences of their daughter mostly it was found that sightseeing is preferred over other activities ,

    while in case of sons camping was the first preference. These results will help us to project various

    aspects of Nagpur to different types of tourists and design packages around their interest.

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    DECISION MAKING MATRIX

    The decision process will have the following key players:

    Initiator-The tour package buying decision can be initiated from any of the external information

    sources to the consumer. According to secondary research data the most significant source of

    information are the travel agents and

    the media adverts.

    Hence to initiate the process MTDCwill come out with incentive

    schemes and promotions via

    brochures and presentations to big

    international tour companies. The

    tour companies can then promote the

    packages to their clients.

    Decider- The international tourists

    themselves are the deciders.

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    Influencer-Influencers could be people who have already visited India before or the external

    factors, according to secondary research the following are the influencers.

    Purchaser-The international tour

    packages buyers.

    Gatekeeper-The international tourism

    agency i.e. our client, our company will

    assure a safe and enjoyable experience to

    all the tourists to keep the gatekeepers

    happy.

    User- The tourist himself, he should be

    convinced of all the facilities.

    A behavioural sequence model can be constructed to understand the tour package buying

    process of the consumers

    The first power of decision making lies with the international tour operator i.e. the gatekeeper in

    our case, MTDC will have to convince them of the security and assistance to be provided all over

    the journey to get the deal done.

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    AFTERMARKET SERVICES

    After sales in tourism includes ensuring safety and ambience of the tourist places to be visited bythe group of international tourist.

    Local Transport/tourist Guides-The local transport within tourist spots will be well connected,

    also the tourists will be entitled to use government/government-authorized facilities

    http://tourism.gov.in/TourismDivision/TTList.aspx?Name=Travel%20Trade&TCID=Tourist%20T

    ransport%20Operator .

    This will ensure that the tourists are not cheated and charged fair amounts if they wish to explore an

    area on their own.

    Many times foreigners visit India for a purpose it might be for the reason of pilgrimage or for the

    sake of exploring new places on their own hence they should be empowered with the ability to avail

    government services and move around on their own. The tourist will also be provided with a

    personal guide if they wish to avail.

    Basic Amenities In tourist Locations- Availability of basic amenities like food water and toilet

    would be ensured in the places offered under the travel packages.

    Security- The concern of personal security and security of belongings will be taken care of by the

    tour operators, a catalog of shopping places and nightclubs will be provided to the tourists wherein

    they could go and enjoy without being cheated or harassed by the wrong people.

    A point of contact will be provided in case they are lost in the way- The Company will provide a

    mobile application which will be GPS enabled to track each tourist and help them whenever

    needed; the foreign tourists can locate the nearest restaurants, markets, bus stops and any other

    necessity when they need it. They can even enquire about the history and geography of the places

    they would be visiting.

    CONCEPT MARKETING

    There can be different ways to market Nagpur as a travel destination; a few are illustrated in the

    following:

    Rural Tourism- Foreign tourists often take vacations to countryside to distress, the concept of agri-

    tourism will not only drive growth in tourism but will also add to the infrastructure of the

    participating firms , the government will take good care of the participating firms to ensure a

    pleasant stay and relish able experience to the tourists.

    www.exploreindia.org has already a list of rural Indian places to visit.

    Eco Tourism-Nagpur is the 2ndmost green state of India and is rich in natural reserves like lakesand forests hence it can be an attractive destination for the tourists exploring flora and fauna of the

    http://www.exploreindia.org/http://www.exploreindia.org/http://www.exploreindia.org/
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    place and interested in bird and animal watching. Nagpur has a lot of lakes and sanctuaries to satisfy

    the thirst for nature.

    Food Tourism- Nagpur can be promoted as a hub of orange production, a tour package can be

    designed around major orange growing firms where the visitors will be taken through the whole

    cycle of orange productions several benefits of the fruits can be demonstrated along with the usage

    of oranges for different purposes including alternate medicines and usage in food products.

    Camping/Adventure Tourism- Ramtek, a village situated around 50 km from Nagpur, has various

    adventure sports which await tourists. Adventure village in Ramtek offers paragliding, quad bikes,

    zorbing, parasailing and so on. Ramtek, one of the most visited places in Maharashtra state, is

    famous for its Lord Rama Temple and Khindasi Lake.

    Nagpur can be promoted as a trekking/camping destination

    The following are the treks which can be suggested:

    Ramtek- Chorbawli Track

    Distance of the starting point from Nagpur: Around 50 kms

    Highlights: An adventure village has been set up midway on this route. Khindsi backwaters provide

    lots of bird watching opportunities for the trekkers. Singapore cherry farm on the way, is a treat forthe birds/tired trekkers and bikers. Forest department has developed a cycling/trekking/bird

    watching trail on this route, which is a sight for the sore eyes with spellbinding countryside and

    forest for company.

    Level: Moderate

    Maitraban-Bore Dam

    Distance of the starting point from Nagpur: 25 Kms

    Highlights: You can make friends with serene countryside, paddy fields, forest and hills while you

    are riding/trekking past beautiful green arenas. A visit to the dam site and nature interpretation

    centre is a must for those who take pride in all things natural.

    Level: Beginner

    Trek-Circling the Khindsi Lake

    Distance of the starting point from Nagpur: 50 kms

    Highlights: It is an amazing experience cycling through agri-farms and picturesque Khindsi Lake.

    You can trek up and down the terrain around Sindhura Hills. Thriving paddy fields and huge brick

    Kilns, with river beds on one side are straight out of a picture postcard.

    Level: Moderate

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    Ramtek-Nagardhan Fort-Mansar Excavation

    Distance of the starting point from Nagpur: 45 kms

    Highlights: Trekking through agriculture farms and weathered Nagardhan fort, trekkers/ bikers can

    travel back in time at the Mansar excavation site, which was the capital of Pravarpur and reportedly

    goes back to 300 A.D.

    Level: Beginner

    Ramtek-Pench Dam-Kunwara Bhivsen-Kolitmara-Kirangi Sarra-Sillari- Paoni

    Distance of the starting point from Nagpur: 50 kms

    Highlights: There is a lot of excitement in store for those who cycle through Navegaon Khairi Dam

    and Pench tiger reserve forests. There is an interesting rural trekking trail here, wherein you can getacquainted with tribal Gond culture and architecture of the tribals. A visit to local markets is a must

    for those interesting knickknacks.

    Level: Challenging

    Kolitmara-Dhawalapur-Bori Pani - Gardeo Nala

    Distance of the starting point from Nagpur: 80 kms

    Highlights: This is said to be an unforgettable forest and mountain biking/trekking expedition.

    Entire cycling route in under Mansingdeo wildlife sanctuary, so the chances are that you will get to

    make friends with many a wild animal as you walk through this track.

    Level: Moderate

    Kolitmara- Tippat-Saleghat- Shiladevi-Narhar

    Distance of the starting point from Nagpur: 80 kms

    Highlights: The riders/trekkers, who go on this expedition, have to pass through the backwaters of

    Pench River. There are certain areas in this route, which can only be crossed in a boat, with bikes

    too sitting pretty along with you.

    Level: Challenging

    Ramtek-Umari-Murda-Guguldoh-Panchala-Mandri-Musewadi

    Distance of the starting point from Nagpur: 70 kms

    Highlights: Passing through scintillating terrain, you can ride/trek through typical rural countryside.

    What adds to the thrill factor is the bandoned manganese mines near Murda, which have now turned

    into caves, with amazing underground waterbodies, which can be viewed using head torches.

    Level: Moderate

    Ramtek-Mogarkasa

    Distance of the starting point from Nagpur: 50 kms

    Highlights: There is an ancient Jain temple at Mogarkasa, which offers a glimpse into an era goneby, and you can enjoy some spellbinding countryside, as you ride/trek past lush green forest and the

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    typical rural countryside. The historic remains of Ramtek Fort and its surrounding temples are a

    trekker/biker's delight. You can beat your blues in the local markets, buzzing with wonderful

    chaotic energy and trek past lush green forest and water bodies.

    Level: Moderate

    CLASSIFICATION

    The business of providing the travel packages to MTDC can be classified as a non technical

    business service as everything in the package is purchased from some outside business entity and

    added in the package, like hotel reservation have been purchased from hotels owner to be included

    in a holiday package based on the category of hotel the customer wants to stay.

    Resources

    1. Research TeamFor ground research

    2. Marketing Team

    3. Computers/Website

    4. List of hotels with Prices

    5. Travel agents for flight/train tickets

    6. Rental cars

    7. Tour Guides

    8.

    Sales Team

    UNDERSATNDING THE CUSTOMER NEEDS

    Understanding the needs of the customers is very important for designing the packages and making

    all the arrangements.

    Needs may include

    Shelter and food (primary)

    Physical challenges

    Transportation

    Language and other cultural challenges

    Reasonable prices

    Expectationsmay include

    Cleanliness

    Noise level, comfort

    Quality products and services

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    Adherence to schedules

    Courteous employee

    Categories of Package

    1. Family Tour

    2. Adventure

    3. De-stress package

    4. Globetrotting packages

    5. Wildlife

    PRODUCT

    The core product we are offering is a Tourism packagefor the Orange City, Nagpur. We have

    come up with different packages for different age groups and/or income groups of the tourists.

    We will be typing up with different Cab services, Hotels, Restaurants, Car and Bike Rentals,

    Photographersto provide wholesome service. The data along with the contacts for the same has

    been mentioned in the Annexure.

    BUSINESS MODEL

    Our direct and sole customer will be MTDC(Maharashtra Tourism Development Corporation) and

    we will provide them our Tour Package as a product and/or service that will help market Nagpur as

    an International Tourist Destination.

    Our Indirect Customerswill be all the partnered Hotels, Restaurants, Cab Services and

    Photographers who will get business from us. Our target audience who are the end users of our

    product will also be our customers though we will serve them under the brand name of Maharashtra

    Tourism Development Corporation.

    We will have a Linked Websitefrom the main website of MTDC so that both the parties can keep

    a track of the registrations made

    Example:http://www.maharashtratourism.gov.in/OurCompany.com/

    http://www.maharashtratourism.gov.in/OurCompany.com/http://www.maharashtratourism.gov.in/OurCompany.com/http://www.maharashtratourism.gov.in/OurCompany.com/http://www.maharashtratourism.gov.in/OurCompany.com/
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    PRICE

    Our price model for MTDC will have both a fixed and variable componentto it. We will also signa Contract of 20 years with the government to provide exclusive service.

    First 5 years

    Fixed Component per year: Cost + 25 lakhs

    Variable Component per year: 30% of profit on each package sold

    Next 5 Years

    Fixes Component per year: Cost + 50 Lakhs

    Variable Component per year: 35% of profit on each package sold

    Next 5 years

    Fixed Component per year: Cost + 75 lakhs

    Variable Component per year: 40% of profit on each package sold

    Next 5 years

    Fixed Component per year: Cost + 100 Lakhs

    Variable Component per year: 45% of profit on each package sold

    Buying Behaviour and Purchase Decisions

    Buyer behaviour of any B2B marketing company depends on the following parameters according to

    the type of the Industry

    1.

    Purchasing motives and skills

    2.

    Purchase involvement

    3.

    Order size and frequency

    4.

    Buying power

    5.

    Vendor Loyalty

    In case of our company Travel Diary we are entering a new market where we have to buy several

    packages from the Hotels and to have different world class arrangements at different tourist spots

    according to their requirements.

    Our involvement in the purchase is very high as all the products we purchase are experiential in

    nature and requires high vendor loyalty because the end consumers will directly interact with the

    vendors and the purchasing motives are very clear to promote Nagpur tourism and to increase therevenues generated by this Industry in past.

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    Decision making process in purchase requires a set of alignment among the authorities capable of

    taking decisions which include a set of processes which is to be followed by any B2B selling

    company:

    1.

    Recognition of need

    2.

    Definition of the product type needed

    3.

    Development of detailed specifications

    4.

    Search for qualified suppliers

    5.

    Acquisition and analysis of proposals

    6.

    Evaluation of proposals and selection of supplier

    7. Selection of an order procedure

    8. Evaluation of product performance

    So purchase decisions plays a very important role in generating revenues for the company as it

    clearly explains that your pricing is completely based on the purchases made by the company and

    the amount of mark-up they put on their products.

    Basic Deliverables (Every Package)

    1. Pick-Up + Drop Service

    The party will be picked up from the airport / railway stationand will be taken to their respected

    hotels. At the end of the tour, they will also be dropped back as per their respective flight / train

    schedules.

    2. Welcome + Farewell

    The party will be welcomed at the hotel of their choiceon their arrival with garlands and sweets

    to make them feel special and at home. When the tour ends, a small farewell partywill be given to

    the guests wherein they will be given a chance to bid adieu to their fellow tourists.

    3. Itinerary + Guide

    They will be provided an Itinerary of their entire scheduleso that they know about their next three

    days in advance. A guide versed with the local language of the party will be provided to them so

    that they are able to enjoy their tour better.

    4. Three - Day Tour

    A three day fun, relaxing and adventuroustour of Nagpur taking the party to various places like

    the natural reserves, sight-seeing locations, famous tourist spots, pilgrimages, adventure sports

    sights and much more.

    5. Food + Drinks

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    We will also take care of the food provided to the parties as per their choice of veg or non-neg.

    Breakfast and Dinnerwill be provided at their respective hotels. Lunch and Evening Snackswill

    be in the form of packed food which will be delivered during the course of the tour.

    The food and drinks will consist of famous Nagpur delicacies like Varhadi cuisine, Saoji cuisine,

    Dabeli, Vada Pav, Papad, Raytas, Orange Jiuce, Santra Barfi etc.

    6. Full time Manager + Doctor

    A 24*7 service of a Tour manager to guide youthroughout the entire journey and a Doctor to take

    care of your healthwill be provided for the entire three days of the tour.

    Additional Services (Extra Payment)

    1. Photography

    So that the party can take home their memories, we will provide paid services of a photographer and

    a video-maker. The photographs can be taken at the tourist spots or during any phase of the journey.

    Videos during the adventure sports or at the pilgrimagescan be made as per the choice of the

    party. The photos and videos will be handed to the party at the end of the tour in the form of a CD /

    DVD.

    2. Rent Vehicles

    For those who like their privacy and want to travel alone, an option will be open in the form a

    rented car or bike which will be available at hourly rates. The option of travellingwith or without

    a driver will also be provided. The party will need to submit an ID proof as security which could be

    collected at the return of the vehicle.

    3. Tool Kit

    A tool kit fir the novice travelers, who forget to carry their personal belongings or who dont like

    to go on a tour with a lot of luggage, will also be there for their disposal. It will consist of the

    following items of the basic necessitiesand these items can be individually selected to make yourown personalized tool kits.

    The itemswill be such as Brushes, Paste, Comb, Shampoo + Conditioner, Sanitizer, Face-Wash +

    Hand-Wash + Body-Wash, Powder, Moisturizer, Torch, Band Aids + Medicines, Deodorant, Dettol

    + Cotton, Lock + Key.

    4. Wheel Chairs

    For the elderly, physically handicapped or injured persons, wheel chairs will be provided so that

    they can enjoy their journey without any hassles. Care takerswho will move the wheelchairs will

    also be there if need be.

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    5. Souvenirs

    Many times you want to take away gifts for friends & family from your tours.An exhibitionof allsuch famous items from Nagpur will be provided at the end of the tour so that people can buy all

    what they couldnt during the tour.

    Customized Packages (Two Day)

    1. Adventure Sports

    Targeted at youngsters, the package will only include the adventure sports locations. Sports like

    Trekking, Biking, Camping, Paintball, Body Zorbing, Zip Lining, Motion Gaming, Para Gliding,Para Sailing etc. will be a part of the tour.

    2. Pilgrimage Destinations

    Mainly for the oldies, it is a package that will have visits to the famous and ancient temples in

    Nagpur like Dragon Temple, Mata Mandir Karodi, Ramtek Fort Temple, Sri Balaji and Sri

    Karitikeya Temple, Telankhedi Hanuman Temple, Shiv Temple, Deeksha Bhoomi, Balaji Mandir,

    Sri Poddareshwar Ram Mandir, Shri Vyankatesh Temple, Tekdi Ganesh Mandir, Swami Narayan

    Mandir, Maha Lakshmi Temple, Ganesh Temple, Kuldaivat Temple, Jain Temple, Jama Masjid,

    Buddhist Temple, Masjid Ghareeb Nawaj etc.

    3. Wildlife Sanctuaries

    Aimed at families, the package will take the party through variousBird Sanctuaries, Tiger Reserves

    and others so that both the elders and the children can enjoy the tour equally. A few of them are

    Nawegaon National Park, Nagzira Wildlife Sanctuary, Bor Dam, Chaprala Wildlife Sanctuary,

    Tadoba National Park, Maharajbagh Zoo etc.

    4. Historical Spots

    With a focus on explorers, this package will take the party to various important and famous tourist

    destinations of Nagpur like Zero Mile Stone, Lonar Crater Lake, Raman Science Centre, GavilgadFort, Naranala Fort, Balapur Fort, Sitabuldi Fort etc.

    5. Sightseeing Places

    With customer segment lying in nature-lovers, this package will include the scenic beauty places

    like Ambazari Lake, Gandhisagar Lake, Zilpi Lake, Surabardi Lake, Khindsi Lake, Sonegaon Lake,

    Rama Dam, Navegaon Dam, Kamthikhairy Dam, Amrit Dhara Waterfall, Ambakhori Waterfall etc.

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    References:

    Personal Interaction with the following:

    1) Mr. Sandeep Bajpai ()

    2) Mr. XXX ()

    http://topconsokkia.ind.in/sokkia_brand/index.php

    http://topconsokkia.ind.in/topcon_brand/products.php?product_id=Products

    http://topconsokkia.tradeindia.com/company-profile.html

    http://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-

    revision-committee-consumer-durables

    http://topconsokkia.ind.in/sokkia_brand/index.phphttp://topconsokkia.ind.in/sokkia_brand/index.phphttp://topconsokkia.ind.in/topcon_brand/products.php?product_id=Productshttp://topconsokkia.ind.in/topcon_brand/products.php?product_id=Productshttp://topconsokkia.tradeindia.com/company-profile.htmlhttp://topconsokkia.tradeindia.com/company-profile.htmlhttp://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-revision-committee-consumer-durableshttp://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-revision-committee-consumer-durableshttp://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-revision-committee-consumer-durableshttp://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-revision-committee-consumer-durableshttp://articles.economictimes.indiatimes.com/2008-12-05/news/27701826_1_psu-employees-revision-committee-consumer-durableshttp://topconsokkia.tradeindia.com/company-profile.htmlhttp://topconsokkia.ind.in/topcon_brand/products.php?product_id=Productshttp://topconsokkia.ind.in/sokkia_brand/index.php
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