JK Tyre & Badrinarayan
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Transcript of JK Tyre & Badrinarayan
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CONTENTS
Executive Summary:
a. Introduction
b. About Tyre industries in India
(Background, key issues, Review of performance)
c. Growt of Tyre Industries
d. !arious Types of Tyre segment
JKs Brief profile (Company)
a. About "#
b. $ission % !ision
c. $arketing strategyd. &'T anaysis
e. rgani*ationa structure
Barinarayan ru!!ers "vt# $t# (Company)
O!%ectives of t&e stuy
Nee for t&e stuy
$imitation of t&e stuy
'esearc& et&ooloy of t&e stuy
Data analysis & Interpretation
*inins
Suestions
Conclusion
Bibiograpy
Anne+ure
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Executive Summary
a# ,ntrouction
In todays word of intense competition and rapid dynamism, a te companies
wordwide are tuning teir focuses on te customer. &uddeny, te customer ad
succeeded in capturing a te attention of te companies towards im, so muc so, tat
te once famous ma+im, /customer is te god0 as become so true and reevant today.
Tere as been a /paradigm sift0 in te tinking of tese companies and none oter ten
te customer as brougt tis about.
1ariertere was a seers market, since goods and services were in sort suppy and
te seers use to ca te sots. But, ever since te advent of te era of gobai*ation,
tere as been tota transformation in te way te customers being perceived. Today,
marketers are directing teir efforts in retaining te customers and customers base. Teir
focus as sifted towards integrating te tree eements peope, service and marketing.
Te customers importance as assumed imponderabe proportions in todays
word, because of te inerent vaue tat te customers command. A customers can
/make or break0 a company. It is te responsibiity of every company to see tat a its
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customers are e3uay satisfied wit tem, for one singe dissatisfied customer wi te at
east nine oters about te dissatisfaction and wi spark off a cain reaction and spe
doom for tat company. In suc scenario, retention of te e+isting customers assumes
diaboica proportion. Researc as trown igt on some important aspects of customers
retention it as been proved empiricay tat ac3uiring new customers can cost five times
more tan te cost invoved in satisfying and retaining current customers.
In te past, te customers was taken for a ride, as tere were not many payers in te
fieds, not muc importance was attaced to product safety, 3uaity, service and product
appea. Te attitude of te manufacture was tat of /caveat 4 emptor0. Tanks to te
government poicies on iberai*ation, gobai*ation and privati*ation (56G), te market
scenario as canged today. Today, te customer as a ost of defense mecanism ike
te customers protection aws, reguation of te government, te powerfu ands of te
organi*ation, customers courts, switcing to substitute or competitors tat offer at
competitive prices, etc. Te ma+im,0 caveat 4 emptor0 as been repaced by /caveatvenditor0.
In tepast, after saes service was consider as a cost center, 7ompanies were etargic in
attending to customers compaints. Avaiabiity of trainee service persona and 3uaity
genuine spare parts posed serious probems. 8owever, wit te rising competition, tere
coudnot be muc product differentiation, as price and 3uaity were comparabe and
atesttecnoogy was to eac and every company in te fied. &ince, tere coud not be
mucdifferentia a tangibe assets, te companies concentrated on te /intangibe assets0,
namey te /service factor0, wic served as a ma9or differentiator. Today after saes
service is an important aspect of every company, and it is no more considered as a costcenter, but considered as a profit center. 1very organi*ation strives ard to retain its
e+isting customers at any cost since it is five times costy to get a new customers, t en to
retainan e+isting customers. $ost of te industries today use of information tecnoogy
to best services to teir customers.
!# +!out Tyre inustries in ,nia
Bac1roun
Te origin of te Indian Tyre Industry dates back to :-; wen
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Key ,ssues of tyre inustries
4i& tax usae
Te ig ta+ content on tyres can be gauged from te fact tat te percentage of tota ta+
to te ta+ e+cuded price for various categories of tyres is D >>@ for Truck TyreE >@ for6assenger 7ar Radia Tyre, 2C@ for Tractor Rear Tyre and ;@ for Truck Tyre Tube.
,ncrease in ra. material costs
Apart from being capita intensive, te tyre industry is igy raw materia intensive. Any
cangein te prices of raw materias affects te profitabiity of tyre companies. Te raw
materias used in te manufacture of tyres are rubber and petroeum derivatives ike
nyon tyre cord, carbon back, styrene butadiene rubber and poy butadiene rubber. Te
most important raw materia is rubberDnatura and syntetic. Fatura rubber (FR), wit-:@ weigtage in te cost of raw materias used by tyre industry, is te igest cost item.
Annuaconsumption of FR by tyre industry is 2.C? ak tonnes, vaued at Rs. > biion.
ver C@ of FR consumed by te industry is procured domesticay. C@ is imported.
In te -??2D?> fisca, as against te $inimum &tatutory 6rice of Rs. 2-.? per kg, te
ruing domestic price of FR ad been over Rs. C? per kg. Tis is iger tan te word
rubber prices. 8owever, tis does not entai te tyre industry payers to import as a
numberof restrictions are imposed on te import of FR. FR can be imported onytrougtwo portsDBanmore, $orena % !isakapatnam. Te customs duty on import of
natura rubber is -?@, wit ?@ under Bangkok Agreement. 8owever, tis is not
reevant, as FR is not cutivated in &out #orea, Bangades % 7ina (signatories under
te Bangkok Agreement). 8ence, FR can be sourced ony from &ri 5anka (under te
IndoD&ri 5anka Agreement), wic is of bad 3uaity. Tus, te options of rubber import
are restricted and te manufacturers ave to rey on te domestic market for procuring
rubber.
,mportof tyres
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India, occasionay tere are reports of import of suc tyres in a candestine manner,
sometimes as new tyre at ow vaue, since tere is no restriction on import of new tyres or
as tyres under te oters category. $any countries suc as "apan, Bangades, 6akistan,
6iippines, Taiand, #enya, &out #orea, etc. ave eiter put a compete ban on import
of used tyres or ave paced stringent conditions on suc imports.
Tyre Exports
Te product focus of tyre e+ports from India as been Traditiona Truck Tyres. Gobay
tis segment of tyre e+port is srinking due to greater acceptance of radia tyres. ver te
years, 7ina as emerged as a ma9or e+porter in bias tyre category. Additionay, e+port
of Indian tyres to seect countries is sub9ected to nonDtariff barriers (FTBs) by way of
standards, tests, etc. 1+port of ceaper tyres from 7ina to ma9or tyre importing markets,
ike J&, is adversey affecting Indian tyre e+ports to tese markets. Indias sare in
e+ports to tese countries (especiay J&A) is progressivey decining. If te trend is not
reversed, Indian tyre industry wi find it e+tremey difficut to regain its erstwie
position in tese markets. 5ow rate of interest, ceaper eectricity tariff, idden subsidies
by te 7inese Government, better infrastructure faciities and ower transaction costs are
factors favourabe to 7inese tyre industry.
Trens in "rouction5 Consumption5 "rice 0 Capacity 6tili3ation
Te tota tyre produced in te country was C.C miion units in =H-??2 D a :@ growt
rate over =H-??-.
C+-' of tyre prouction (in 7)
*8 9;>;
7*8 9;; 7
*8 =>>=>; 97
Compiled by INGRES
7urrenty, te si*e of te Indian tyre industry is estimated at Rs. - biion (?.C@ of
Indian G
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Aeman Supply -ap
Te demand for tyres is eiter in te domestic market or in te e+port market. As far as
domestic demand is concerned, te 1$ and te repacement segments are ikey to
witness strong growt given te current performance of te automotive sector. Given te
strong inkages of tyre industry wit automotives, its demand is ikey to be strong over
te sort to medium term. As for te e+port demand for tyres, te outook is positive,
even toug some downsides remain.
As regards suppy of tyres, currenty, te ma9or payers are in te process of e+panding
teir capacities, in anticipation of uptrend in saes. =or instance, Apoo Tyres as set up a
9oint venture wit $icein for manufacture and sae of bus and truck radias. "# is
e+panding its $ysore truck and bus radia faciity aong wit eyeing ac3uisitions of
smaer units. 7eat as increased its offtake by 2 times from 6irei. 8owever, a
caracteristic of te Indian tyre industry is tat most of te tyre manufacturers in te past
ad increased capacities in anticipation of a surge in demand, but wen it did not
materiaise, tey reduced teir addition to capacities. Tus, te demandDsuppy gap isikey to be an important issue for te Indian tyre industry over te sort to medium term.
'evie. of "erformance
Overall "erformance
Te operating margin of te representative sampe of tyre companies improved during
=H-??2. 8owever, te net profit margin of te tyre companies even toug improved,was sti at 2@.
"erformance in *8=>>
Te tyre industry continues to be driven by good demand growt, propeed by sustained
uptrend in demand and saes of automobies in genera, and commercia veices and
passenger cars in particuar. 8owever, tis does not get transated into improvedmargins
for te industry, as it is witnessing sustained rise in prices of raw materias ike natura
rubber. Additionay, te customs duty on imports as been brougt down from-C@ to
-?@ and &pecia Additiona @ as been dispensed wit.
Outloo1
Te eve of economic activity, performance of domestic automotive industry, and te
faring of te transport sector directy infuence te performance of te tyre industry in
India. 'it te repacement segment dominating te overa tyre demand in India, te
industry remains inerenty vunerabe to economic cyces. 'ie radicai*ation as
become te norm in te passenger car segment, in te bus and truck tyre segment, its
acceptance is sti imited. Bus and truck radicai*ation coud emerge in te ong term as
te 3uaity of roads improves and te restrictions on overoading are better enforced. Te
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8owever, te tyre industry as to grappe wit raw materia price voatiity, rupee
appreciation and ceap 7inese imports.
Te tyre industry in India recorded a 7AGR of :.;: per cent during -??-D?.
Te si*e of te industry was estimated at Rs :,??? crore in -??;D? wit a totaproduction of 2; ak units of tyres.
In -??;D?, te repacement tyres accounted for C2 per cent of te tota tyre tonnage
offtake, foowed by 2 per cent sare of 1$ and C per cent by e+ports.
ut of te 2; ak ton of tyres, C>, >:,C;? units wort Rs -,;?? crore were e+ported.
Te e+ports from India posted a 7AGR of 2 per cent in unit terms and per cent in
vaue terms between -??-D?.
Te studypoints out tat on te e+port front, te Indian tyre companies need to e+pore
newer markets as te e+isting market for bias truck tyre wic accounts for about >C per
cent of te tota e+port voume is nearing saturation.
Tis apart, wit rationai*ation catcing up in te foreign markets, te Indian tyre
companies need to graduate to radia tyres so as to protect teir sare in te e+port
market.
At present, radicai*ation of tyres is ow in India e+cept for te car tyre market were : C
per cent of te tyres is radicai*ed wie cross py tyres is preferred in a oter categories.
7ross pytyres are preferred owing to poor road conditions, overoading in trucks, iger
cost of radia tyres and poor awareness among te tyre users in te country.
Te 7AR1 report observes tat toug te tyre tecnoogy in India as witnessed severa
deveopments wit continuous innovation, te domestic tyre manufacturers sti ag
beind teir goba counterparts in terms of product differentiation.
Goba tyre makers offer a wide cange of products ike tyres wit pressure warning
systems, run fat tyres, ecoDfriendy tyres and energy efficient tyres.
# /arious types of Tyre sement
Tyres !y Type
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Te Indian tyre industry produces te compete range of tyres re3uired by te Indian
automotive industry, e+cept for aero tyres and some speciaised tyres. @ of te tota passenger car tyre demand in =H-??2.
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'it te stock of cars increasing, repacement demand is ikey to continue.
otorcycle Tyres
$otorcyces accounted for ;@ of twoDweeers sod in te domestic market in =H-??2.
$otorcyce tyres constitute te argest segment of te domestic tyre industry (-:@ of
tota tyre demand in =H-??2). Te repacement market accounted for around >:.@ of
te tota motorcyce tyres sod in =H -??2, wie 1$ demand accounted for around
C?@.
Scooter Tyres
&cooters were te dominant segment in te Indian twoDweeer industry ti =H::,
accounting foraround >-@ of domestic twoDweeer saes. 8owever, te introduction of
new motorcyce modes as seen te sare of scooters decining to :@ of domestic twoD
weeer saes in =H-??2. Te 1$ segment accounted for around 2>@ of te tota saesin te scooter tyre segment in =H-??2, wit te rest being accounted for by te
repacement market.
Tyre Aeman!y ar1ets
/e&icle anufacturers or OEs
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Te demand from te 1$ segment is a derived one and directy correated to te eve
of automotive production. Te 1$s demand varies significanty across categories from
between @ for truck and bus tyres to over C?@ for some oter segments ike, 9eeps and
mopeds.
'eplacement ar1et
Te repacement market, incuding &tate transport undertakings and Government buying,
accounted for around C:@ of te tota tyre demand in =H-??2. Te demand in te
repacement market depends on te veice popuation, te eve of economic activity, ife
of te products transported, kiometreage per veice, te price of te tyres and te
3uaityof te e+isting road infrastructure. Additionay, te repacement market, wic
offers better margins, is e+tremey competitive. Te repacement market is dominatedby
te truck and buses segment, wic accounted for --@ of a tyre saes in te repacement
market in =H-??2.Te arge si*e of te repacement in turn is determined by te interpayof various factors as discussed beowL
Te repacement demand may be ower because of onger repacement intervas and
ower business mieage if te economic activity sows down.
Repacement demand in India is iger because of a ow veice scrap page rate.
6oor road conditions by owering te ife of tyres, ave a positive impact on
repacement demand.
&tricter enforcement of te $! Act, wic seeks to prevent overoading of
veices, wi resut in an increase in te ife of tyres and tus impact repacement
demand negativey.
Appying a new tread or reDtreading can e+tend te ife of te tyre at a
significanty ower cost, tereby owering repacement demand. In India, reD
treading finds greater acceptance in te commercia segment.
Radicai*ation of tyres is ikey to resut in ower repacement demand. 'ie car
radicai*ation in te country as reaced a eve of ;C@, truck and bus
radicai*ation stands at 9ust -D?@. 6oor road and support infrastructure as we astraditiona veice designs act as a barrier to radicai*ation in te commercia
veice segment. Radia tecnoogy for trucks and buses woud ep increase
operating efficiencies by deivering better mieage and minimi*ing wear and tear.
According to AT$A, even if ony -C@ of te truck and bus segment is radicai*ed,
te savings in fue costs woud be around Rs. ,C?? miion.
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Introduction of tubeess tyres in te passenger car segment is aso ikey to affect
repacement demand adversey
Introduction of ecoDfriendy radia tyres suc as yperDbonding siica tecnoogy
in te passenger car segment may affect repacement demand adversey.
Exports
In te igt of te prevaiing domestic market situation, most of te tyre manufacturers
ave taken to e+ports to reduce inventory buidDups. In =H-??2, Indian tyre e+ports stood
at Rs. ?. biion (?@ of te tota industry) in vaue terms and 2. miion in unit terms
(;.C@ of tota production). Indian companies ave currenty entered into sourcing
agreements (for tyres) wit neigboring countries. =or instance, 7eat and " # Tyres ave
sourcing agreements wit tyre producers in &ri 5anka and 7ina. Tis is ikey to ave a
positive impact on tyre e+ports from India.
ar1et "layers
&omeof te ma9or payers in te Indian tyre industry are $R=, 7eat, "# Industries,
Apoo Tyres, Bridgestone India, Goodyear India, =acon Tyres and T!& &ricakra. Te
tyre industry in India is fairy concentrated, wit te sampe of eigt companies
JKs Brief "rofile
a# +!out JK
"k Tyre and Industries is a mega corporate entity tat is embematic of e+ceence,
diversification and pioneering new tecnoogies. A part of "# rgani*ation wic ranks
among te top private groups private groups in India, "k Tyre and Industries is committed
to sef reiance and foows an etic tat views customer satisfaction as an inde+ of
acievement.
ver te years, te company as e+panded and diversified its business portfoio. It as
deveoped into a muti product, mutiDocation corporate entity comprising of foowing
business divisionsL
Te advent of "# rgani*ation on te industria andscape of India amost syncroni*eswit te beginning of an era of industria awareness D an endeavor for sef reiance and
te setting up of a dynamic Indian industry. Tis was way back in te midde of te :t
century. And te rest tat foowed is istory.
CO'E /+$6ES:
"# rgani*ation as been a forerunner in te economic and socia advancement of India.
It aways aimed at creating 9ob opportunities for a mutitude of countrymen and to
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provide ig 3uaity products. It as striven to make India sef reiant by pioneering te
production of a number of industria and consumer products, by adopting te atest
tecnoogy as we as deveoping its own knowDow. It as aso undertaken industria
ventures in severa oter countries.
"# rgani*ation is an association of industria and commercia companies and caritabe
trusts. Its member companies, empoying neary C?,??? persons are engaged in te
manufacture of a variety of products and in diverse fieds of commerce.
Trusts are devoted to promoting industria, tecnica and medica researc, education,
reigious vaues and providing better iving and recreationa faciities. 'it te spirit of
socia consciousness uppermost in mind, ".#. rgani*ation is committed to te cause of
uman advancement.
:22 =irst in India to manufacture 7aico 6rintsD "uggia #amapat 7otton
&pinning and 'eaving $is 7o. 5td., #anpur.
:>? =irst in India to manufacture stee Baiing 8oops for 9ute and cotton and to
make te country sef sufficient by meeting te entire demandD".#. Iron %
&tee 7o. 5td., #anpur.
:>> =irst in India to produce Auminium virgin $eta from Indian Bau+iteD
Auminium 7orporation of India 5td., "aykaynagar.
:>: =irst in India to manufacture 1ngineering fiesD ".#. 1ngineers M=ies,
Bombay.
:C: =irst in India to set up a continuous process Rayon 6ant.
:;? =irst to manufacture a 8ydrauicay perated 7ane 7rusing $i for
#andsari &ugar 6ant and competed ?? ton pantD".#. Iron % &tee 7o.
5td., #anpur.
:; =irst in word to set up a pant for production of 8ydrosupite of soda by
&odium Amagam 6rocessD ".#. 7emicas 5td., Bombay.
>
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:;C =irst to produce &odium &upo+yate =ormadeyde (Rangoite 7 of
=ormosu) in India D ".#. 7emicas 5td., Bombay
:; =irst to manufacture T! &ets in IndiaD ".#. 1ectronics, #anpur. =irst to
manufacture $etaic 7ops for &yntetic =iament yarn industries in IndiaD
&ynte+ tube works, #anpur.
:;: =irst to manufacture Acryic =ibresD ".#. &yntetics 5td. #ota
=irst to deveop differentiay
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:: Banmore Tyre 6ant (BT6) setDup wit a capacity of C. acs tyres p.a.
::- R % < center setDup at 8A&T1RI.
::> Indias first TDRated tyre aunced
Banmore Tyre 6ant (BT6) crossed ?? T6
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"# Tyres ranked ;t argest Tyre 7ompany in te word.
I&A D >??? accredition for environment % safety.
-??? "# introduced Fationa GoD#arting 7ampionsips.
-?? Recieved 7A61OI5 award.
".#. Industries recieved =7J& 5A7 e+port award for te year :::D-???.
7ommendation 7ertificate of 7II 1+im.
IInd Fationa GoD#arting 7ampionsips ed.
JK Tyres No 9 mar1et position
In wat is being considered as a andmark decision in te igy competitive Indian tyre
industry, te Advertising &tandards 7ounci of India (A&7I) as uped "# Industries
5tds caim of being Indias Fo tyre manufacturer in te fourDweeer tyre segment,
reaffirming "#s eadersip position in te market.
1+pressing is appiness over A&7Is 9udgement, "# Tyre marketing director T #
Baner9ee saysL Tis is a fabuous e+ampe of wy a of us need to ave fait in bo dies
ike A&7I. 'e beieve tat te process of sefDreguation in Indian advertising is workingfor bot companies and agencies. 'e aso ope tat tis woud encourage various payers
to bring superior tecnoogy and consumer service standards and caim eadersip in a
more eatier and competitive manner.
Te case was started wen few competitors fied a compaint wit A&7I against "# Tyres
print advertisement, in wic "# Tyre announced its numero unoposition in te fourD
weeer tyre segment, 3uoting production figures compied by Automotive Tyre
$anufacturer Association and oter autentic industry sources.
But tecompetitors contradicted te caim, stating te fact tat market figures from acompanys annua report soud be used as autentic data to caim ones eadersip, not
te production figures.
But A&7I considered te case at te 7onsumer 7ompaints 7ounci on -2 $ay -??- and
uped"# Tyres contention tat production figures, as compied by autentic industry
sourcesand used by "# Tyre to caim its eadersip, is a vaid and appicabe compari son
patform.
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8ence, "# Tyres caim as Fo tyre manufacturer in India is a perfecty vaid and correct
statement. Tis aso refects A&7Is agreement to "# Tyres viewpoint tat figures, as
stated in te ones annua report, coud actuay be miseading and coud incude revenues
from nonDtyreDreated businesses aso.
"# Tyre, pioneers of radia tecnoogy in India, is today Indias argest manufacturer of
tyres in te fourDwee segment, incuding tyres for trucks and buses, 57!s, passenger
cars, 9eeps, tractors, A
tecnoogies in India, "# Tyre as recenty aunced te countrys first ecoDfriendy
cooured tyres as we as steeDbeted tractor rear radias.
!# ission 0 /ision
Vision:
To beamongst te most admire companies in India committed to be e+ceence #
Mission:
a. Be a customer obsessed company
b. Fo. Tyre brand in India
c.
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iv# Aistri!ution: &tructura canges in inventory management, mobie distribution are
some of te key factors tat are going to affect te distribution process in te Indian
market.
v# anain for result: 'it pressure on costs, prices, and margins, marketers wi
ave to make effective utii*ation of every rupee spent in marketing.
ar1et opportunity of JK:
Identification of market opportunity is critica before te management of affirm takes a
decision to aunc or diversify in any product area. Tis invoves anaysis of te
foowingL
&i*e of te market
$arketing strategies and te e+tent and 3uaity of services rendered by oter firm in
te industry.
$arket programmed re3uired to satisfy market wants
Identification of key success factors in an industry and inking tem to a firmsstrengts and weakness
ar1et opportunity
a. &i*e of te market
b. 8ow we te market is served
c. 6rospective inces
d. $arketing mi+ re3uired to succeed
=ramework of market opportunity anaysis
Si3e of t&e mar1et:
Market opportunity&i*e of te market8ow we te market is served6rospective inces$arketing mi+ re3uired to succeed7ore competencies re3uired
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&i*es of te market are....
I. Aeman analysis: is te core aspect of market opportunity.
II. Sementation analysis:is te process of dividing te market into omogeneous sub
units.
,,,# ,nustry analysis:
,nustry +nalysis < "orters oel
iv. Competitor analysis: anaysis of competition ow we te market is served.
Inter =irm RivaryL 5owTe tyre industry in India is fairyconcentrated, wit te top eigt
companies accounting for more tan?@ of te tota production of tyres
1ntry BarriersL 8ig
Te entry barriers are ig for te tyreindustry. It is a igy capita intensiveindustry. A pant wit an annua capacity of.C miion crossDpy tyres costs between Rs.>,??? and Rs. C,??? miion. A simiiar pantproducing radia tyres costs Rs. ,???miion.
Bargaining 6ower of te&uppiersL 8ig
Te tyre industry consumeneary C?@ of te naturarubber produced in te countryTe price of natura rubber icontroed by Rubber 7ontroBoard and te domestic priceof natura rubber avregistered a significan
increase in recent times.
Bargaining 6ower of teBuyersL 8ig
Te 1$s ave tota controover prices. In fact, te1$s faced wit deciningprofitabiity ave asoreduced te number ofcomponent suppiers to makete suppy cain moreefficient.
Treat of &ubstitutesL 5ow but Increasing
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ar1etin mix:
A $arketing mi+ is te division of groups to make a particuar product, by pricing, product,
branding, pace, and 3uaity. Atoug some marketersPwho?Qave added oter 6s, suc as
personneandpackaging, te fundamentas of marketingtypicay identifies te four 6s of
te marketing mi+ as referring toL
. 6roduct
-. 6rice
2. 6romotion
>. 6ace
-
http://en.wikipedia.org/wiki/Marketerhttp://en.wikipedia.org/wiki/Wikipedia:Avoid_weasel_wordshttp://en.wikipedia.org/wiki/Wikipedia:Avoid_weasel_wordshttp://en.wikipedia.org/wiki/Wikipedia:Avoid_weasel_wordshttp://en.wikipedia.org/wiki/Personnelhttp://en.wikipedia.org/wiki/Packaginghttp://en.wikipedia.org/wiki/Marketinghttp://www.jkorg.in/http://www.jkorg.in/http://en.wikipedia.org/wiki/Marketerhttp://en.wikipedia.org/wiki/Wikipedia:Avoid_weasel_wordshttp://en.wikipedia.org/wiki/Personnelhttp://en.wikipedia.org/wiki/Packaginghttp://en.wikipedia.org/wiki/Marketing -
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"rouct
A tangibe ob9ect or an intangibe service tat is mass producedor manufactured on a
arge scae wit a specific voume of units. Intangibe products are often service based
ike te tourism industry % te ote industry. Typica e+ampes of a mass produced
tangibe ob9ect are te tyre.A ess obvious but ubi3uitous mass produced service is a
computer operating system.
"rouct rane:
B,+S
S,DE T8"E
',B :.??D-?>6R
"1T RIB
:.??D-?;6R
"1T RIB
?.??D-?;6R "1T RIB
"1T $I51&
:.??D-?>6R
TRA7# TJ=
--
http://en.wikipedia.org/wiki/Mass_producedhttp://en.wikipedia.org/wiki/Tourism_industryhttp://en.wikipedia.org/wiki/Tourism_industryhttp://en.wikipedia.org/wiki/Hotel_industryhttp://en.wikipedia.org/wiki/Motor_carhttp://en.wikipedia.org/wiki/Motor_carhttp://en.wikipedia.org/wiki/Computer_operating_systemhttp://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jktyre.com/marketing-productrange-farm.htmlhttp://www.jktyre.com/marketing-passenger.htmlhttp://www.jktyre.com/marketing-productrange-lcv.htmlhttp://www.jkorg.in/http://www.jktyre.com/marketing-productrange-truck-lcv.htmlhttp://en.wikipedia.org/wiki/Mass_producedhttp://en.wikipedia.org/wiki/Tourism_industryhttp://en.wikipedia.org/wiki/Hotel_industryhttp://en.wikipedia.org/wiki/Motor_carhttp://en.wikipedia.org/wiki/Computer_operating_system -
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SE,
$6-
:.??D-?;6R
TRA7# TJ=
?.??D-?;6R
TRA7# TJ=
$6-
FR$A55A6R
"1T TRA7#
:.??D-?>6R "1T TRA7#
:.??D-?;6R "1T TRA7#
?.??D-?;6R "1T #IFG
.??D-?;6R "1T #IFG
-.??D-?;6R "1T #IFG
$6R "1T TRA7#
:.??D-?>6R "1T TRA7#
:.??D-?;6R "1T TRA7#
?.??D-?;6R "1T 75A&&I7
?.??D-?;6R TRA7# 2: %
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',B
:.??R-?>K;6R "1T 'AH "J7
?.??R-?;6R "1T 'AH "BR
.??R-?;6R "1T 'AH "J8
-.??R-?6R "1T 'AH "J8
"rice
Te price is te amount a customer pays for te product. It is determined by a number of
factors incuding market sare, competition, materia costs, product identity and te
customers perceived vaue of te product. Te business may increase or decrease te
price of product if oter stores ave te same product.
"lace
6ace represents te ocation were a product can be purcased. It is often referred to as
te distribution canne. It can incude any pysica store as we as virtua storeson te
Internet.
"romotion
6romotion represents a of te communications tat a marketer may use in te
marketpace. 6romotion as four distinct eements D advertising, pubic reations, word of
mout and point of sae. A certain amount of crossover occurs wen promotion uses tefour principa eements togeter, wic is common in fim promotion. Advertisingcovers
anycommunication tat is paid for, from teevision and cinema commercias, radio and
Internet adverts troug print media and biboards. ne of te most notabe means of
promotion today is te 6romotiona 6roduct, as in usefu items distributed to targeted
audiences wit no obigation attaced. Tis category as grown eac year for te past
decade wie most oter forms ave suffered. It is te ony form of advertising tat
targets a five senses and as te recipient tanking te giver. 6ubic reations are were
te communication is not directy paid for and incudes press reeases, sponsorsip deas,
e+ibitions, conferences, seminars or trade fairs and events. 'ord of mout is any
apparenty informa communication about te product by ordinary individuas, satisfiedcustomers or peope specificay engaged to create word of mout momentum. &aes staff
often pays an important roe in word of mout and 6ubic Reations.
Broady defined, optimi*ing te marketing mi+ is te primary responsibiity of
marketing. By offering te product wit te rigt combination of te four 6s marketers
can improve teir resuts and marketing effectiveness. $aking sma canges in te
->
http://en.wikipedia.org/wiki/Pricehttp://en.wikipedia.org/wiki/Placehttp://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://en.wikipedia.org/wiki/Promotionhttp://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://en.wikipedia.org/wiki/Word_of_mouthhttp://en.wikipedia.org/wiki/Word_of_mouthhttp://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://en.wikipedia.org/wiki/Pricehttp://en.wikipedia.org/wiki/Placehttp://en.wikipedia.org/wiki/Promotionhttp://en.wikipedia.org/wiki/Advertisinghttp://en.wikipedia.org/wiki/Public_relationshttp://en.wikipedia.org/wiki/Word_of_mouthhttp://en.wikipedia.org/wiki/Word_of_mouthhttp://en.wikipedia.org/wiki/Point_of_sale -
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Indian customers are mainy vaue buyers demanding a better overa package. "# is
poised in a better position tan oter payers in te market to capitaise on tis
opportunity
1ntry of new payers wit newer and better tecnoogies in te sma car tyre segment
&o many cose competitors ike Appoo, Bira, 7eat, $odi, #ai*en etc.
e. Orani3ational structure of JK Tyre
T4'E+TS
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B+A',N+'+8+N '6BBE'S "/T# $TA#
$Ks. BA
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TradeIndia, TradeIndia
AD;, ka Industria Area, 6aseD-
Few C?;C
Registration &ervice 6roviderL Tradeindia,
S:.>;?C??
Tiscompany may be contacted for domain oginKpasswords,
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4,STO'8 +NA AE/E$O"ENT
Te BA
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brings into e+istence wit sma capita. Te promoter can form industry in very
sma time tis is te anoter benefit of te sma scae industry.
+N6*+CT6',N- "'OCESS +NA "'OA6CTS
+N6*+CT6',N- "'OCESS C4+'T
6urcase Raw materiaK&tock
'ork In 6rocess
&emi =inis Goods
=inis Goods
&aes
+N6*+CT6',N- "'OCESS: 9#F7 F#?7
B+A',N+'+8+N
'6BBE' => 9#>7 >#F@7OT4E'S 9F 9#>F7 >#;7
TOT+$ 9= 9>>#>>7 >#@7
=igD2.(a) =igD2.(b)
>2
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,nterpretation:From the above table it is shown that in Rib and Semi lug tyre
segment Appolo is the market leader with 3.!"#$ %ollowed by &' with (.1)# market
share$ *RF with 1!.!+#$ ,AT with 1.("#$ irla with /.+0#$ adrinarayan Rubber
with 1.!)# and others with1.)+# o% market shar.
Exhibit-3"
Ta!le s&o.in ar1et s&are in $6- tyre
Table-3.
N+ENO# O* $6-
T8'ES
7 ,N TOT+$
$6- T8'ES
7 ,N TOT+$
T8'ES
+"O$$O ; =;#?=7 9#9>7
B,'$+ 9 @#=7 #7
CE+T ;F =9#>97 9=#7
J#K# F?? =?#97 9#?=7
'* =9F 9>#;7 #9F7
B+A',N+'+8+N'6BBE' 99> F#;97 ;#9F7
OT4E'S F ;#97 9#?7
TOT+$ =>@> 9>>#>>7 F#=97
>>
http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/ -
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=igD2.-(a) =igD2.-(b)
,nterpretation: From the above table it is shown that in lug tyre segment &' is the
market leader with /.!1# %ollowed by Appolo with 3./#$,AT 1.)1#$ *RF with
1).3(#$irla with ".(#$ adrinarayan Rubber with +.31#$and others with1./0#
Exhibit-3"Ta!le s&o.in Total mar1et s&are
Table-3.3
N+E TOT+$ NO O* T8'ES 7 ,N TOT+$
+"O$$O F =@#;F7
B,'$+ =? ?#9?7
CE+T => 9@#@;7
J#K# 9>>; =?#7
'* =9 9=#>7B+A',N+'+8+N
'6BBE' 9;> ;#@=7
OT4E'S ?> =#=7
TOT+$ ; 9>>#>>7
>C
http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/ -
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=igD2.2(a) =igD2.2(b)
From the above table it is shown that in lug tyre segment &' is the market leader with
/.0(# %ollowed by Appolo ".3+# $,eat with 1"."3# *RF with 1.)!#$ irla with
/.1/#$ adrinarayan Rubber with 3."# and others are .(#.
*inins
Suestions
>;
http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/ -
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*,NA,N-S
After taking te feedback of more tan ?? customers te study reveas tat customers
are fondof different brands in different areas. 5ike, in Gouripur area amost ?@ of
customers prefer BIR5A tyres (especiay &A$&F), in 6aniati areas customers prefer
"# tyres,were in
http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/ -
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>. "# Tyre is aving edge breaking probem
S6--EST,ON
. "# Tyre is doing we in rib segment but tey are based in ony on one brand
/!ikrant0. &o "# soud try to aware to increase te awareness of oter brands.
-. /6riceDNuaity reationsip0 needs to improve in premium rib and ug tyre
segment.
2. #eep eye to reduce te cost of manufacturing. &o price wi furter reduced and
competition wi increased.
>. Te company soud ook after its tread erosionKbreaking probem.
CONC$6S,ON
"#is one of te best Tyre manufacturing companies in India. 'ere te improvement is
re3uired is te reationsip wit its potentia customer. Aso in some segment "#as not
any strong od compare to BA
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B,B$,O-'+"48
*arketing management$ Raan Sa2sena
*arketing management$ hilip 'ittler
www.india4ar.net
www.ktyre.4om
www.businessstandard.4om
http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.jkorg.in/http://www.indiacar.net/http://www.jktyre.com/http://www.businessstandard.com/