Management in Managing Brand

8/8/2019 Management in Managing Brand

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Brand loyalty-

Aaker (1991 p.39) defined Brand loyalty as the attachment that a customer has to

a brand. It can also be seen as consumers preference to purchase a particular brand in a product class and this could be as a result of the consumer awareness

about that particular brand.

Benefit of a strong brand

According to Dave Dolak (2003), a strong brand will create the following benefits

amongst others:

Build name recognition for your product/company. Influence the consumers buying decision.

Build trust and emotional attachment to a firms product/service.

Make purchase decision easier. For example in a commodity market where

product and services are indistinguishable, it will enable customers trust

and create a set of belief about your product even without knowing the

uniqueness of your products and characteristics.

A strong brand increases the consumers attitude towards a particular brands product and services and the strength of such attitude is developed

through experience with such brand.

Consumers experience help to increased perceived qualities, inferred

attributes and eventually leads to brand loyalty which are not easy to

evaluate except before purchase.

SOURCES OF BRAND EQUITY

a) Brand Awareness :

It consists of brand recognition and brand recall performance. Brand recognitionis capability of consumer to identify brand among a variety of brand. And brand

recall is the

capapbility of consumer to collect information about brand from memory when a

product category is given to him.

According to Aaker (1991 p.62), there are three levels of brand awareness:


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Brand recognition : It is the ability of consumers to identify a certain

brand amongst other i.e. aided recall. Aided recall is a situation whereby

a person is asked to identify a recognized brand name from a list of brands

from the same product class. Brand recall : This is a situation whereby a consumer is expected to name

a brand in a product class. It is also referred to as unaided recall as they

are not given any clue from the product class.

Top of mind : This is referred to as the first brand that a consumer can

recall amongst a given class of product.

Achieving brand awareness -

Aaker (1991) prescribed some of the following factors as ways to achieve brand

awareness:

Involve a slogan or jingle: a slogan is a visible feature of a brand. There

can be a strong link between a slogan and a brand. The slogan and jingle

are powerful and can be a great change for a brand.

Be different and memorable: as a result of the similarity between product

and their means of communication, product differentiation is important.

Symbol exposure: a known symbol will make it easier to recall and

memorize a visible illustration of the brand. A logo that is connected to an

existing brand or a developed brand will play a vital role in developing and

keeping brand awareness.

Publicity: one of the most important ways to get publicity and create

awareness is through advertisement.

Event sponsorship : sponsorship of event can also help to create and

maintain awareness.

Consider brand extension: one way to increase brand recall is to show the

logo or name on the product and make the name popular. Example of this

is coca-cola which is more publicized than the key product.

Using cue: packaging is one of the most significant cues to a brand due to

the fact that it is what the purchaser sees when purchasing a product. If the


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CRITERIA FOR CHOOSING BRAND ELEMENTS

In general, there are six criteria in choosing brand elements

1. Memorability

The brand must have a high level of brand awareness. it must be easily

recognizable and easily recalled by consumer.

2. Meaningfulness

Beside brand awareness, a brand must convey the message in terms of

valuable information It must convey general information about the

nature of product category on one side. On other side, it must provide

information regarding specific attribute and benefit of the brand.

3. Liability

Brand element can be chosen that are rich in visual and verbal imagery

and inherently fun and interesting.

4. Transferability

Up to what extent can the brand element add to the product category

and geographic sense? upto what extent does not element add to brand

equity across geographic boundaries and market segment?5. Adaptability

The brand should be changed with the change in consumer values and

opinions as well as taste and preferences for example, logos and

characters can be given a new look or a new design to make them

appear more modern and relevant.

6. Protectability

This is last consideration regarding legal and competitive sense. The brand elements can be legally protected on an international basis. The

brand formally registers them with appropriate legal bodies.

NAMING PROCEDURE

A number of different procedure or systems have been suggested for

naming new products.


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Significant

differences between

brands

Complex buying

behaviour

Variety-seeking

behaviour

Few differences

between brands

Dissonance-reducing

behaviour

Habitual buying

behaviour

Table 1: four type of buyers behaviour, source: Kotler et al (1999) p.251

Complex buying behaviour is when consumers purchase a high quality

brand and before making the purchase he seeks a lot of information

about it.

Habitual buying behaviour is when consumers purchase a product out of

habit.

Variety seeking buying behaviour is when consumers go around

shopping and experiment with a variety of product.

Dissonance reducing buying behaviour is when a buyer is so highly

involved with buying a product as a result of the fact that it is expensive or

rare.

NEW TRENDS IN MARKETING

The strategy and tactics behind marketing programs have changed dramatically in

recent years as firms have dealt with the enormous shift of the new economy in

their external marketing environment. Changes in economic, technological,

political legal, sociocultural, and competitive environments have compelled

marketers to develop new approaches and philosophies. Kotler identifies fivemajor forces of this new economy .

1. Digitalization and connectivity through Internet, Intranet and mobile

services.

2. Disintermediation and reintermediation via new middlemen of various

sorts.

3. Customization and customization through tailored products and by

providing customers ingredients to make products themselves.

4. Industry convergence through the blurring of industry boundaries.


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5. New customers and company capabilities.

In the face of tighter budgets and the general demand for greater effectiveness

in marketing many marketers are starting to employ more creative and innovative

ways to reach out to their target customers. Many have started marketing

cooperatively in order to share costs among two or more marketers who are trying

to reach the same consumers.

HOW BUSINESS PRACTICES ARE CHANGING

The change in technology and economy are eliciting a new set of beliefs

and practices on the part of business firms.

1. From organizing by product units to organizing by customer segments.

2. From focusing on Profitable transactions to focusing on customer lifetime

value.

3. From focusing on Just the financial scorecard to focusing also on the

marketing scorecard.

4. From focusing on shareholders to focusing on stakeholders.

5. From marketing does the marketing to everyone does the marketing. Every

employee has an impact on the customer and must see the customer as thesource of companys prosperity.

6. From building brands through advertising to building brands through

performance.

7. From focusing on customer acquisition to focusing on customer retention.

8. From no customer satisfaction measurement to in-depth customer

satisfaction measurements.

9. From over-promise, under-deliver to under promise, over-deliver.

HOW MARKETING PRACTICES ARE CHANGING

E-business describes the use of electronic means and platform to conduct

a companys business. The advent of Internet has greatly increased the ability of

companies to conduct their business faster, more accurately, more timely with

reduced cost, and with the ability to customize and personalize customer


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offerings. E-commerce and E-marketing are new strategies to meet the demand

of consumers in new economy.

E-commerce is more specific than e-business, it means that in addition to

providing information to visitors about the company, its history, philosophy,

product and job opportunities, the company or site offeres to facilitate the selling

of product and services online.

E-purchasing means companies decide to purchase goods, services and

information from various online suppliers.

E-marketing describes company efforts to inform, communicate, promote

and sell its products and services over the internet.

There are four major internet domains through which E-business take

place.

1. Business to consumer ( B2C)

2. Business to Business (B2B)

3. Consumer to Consumer (C2C)

4. Consumer to Business (C2B)

SETTING UP WEB SITES

A key challenge is designing a site that is attractive on first viewing and

interesting enough to encourage repeat visit. Early tet-based web sites have

increasingly been replaced by sophisticated sites that provide text, sound and

animation.

7 Cs as essential elements of effective web site

1. Context-layout and design

2. Content Text, picture, sound, and video

3. Community How the site enables user-to-user communication

4. Customization sites ability to tailor itself to different users or to

allow users to personalize the site.

5. Communication site to user, user to site communication

6. Connection degree to site is linked to other site

7. Commerce capability to enable commercial transactions .


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Strong brand equity has become a very important factor that influences

consumers perceptions of a brand. Success in brand management arises from

understanding and managing brand equity correctly to produce strong attributes

that will influence consumers when making their choices.

This thesis focuses on the importance of these dimensions (brand awareness,

brand loyalty, brand image and perceived quality) of customer-based brand equity

on consumers perceptions of a brand. This is based on the assumption that all

these dimensions of customer based-brand equity will have influence on

consumers perceptions of brand. However, this thesis aims to find out which

among these three dimensions (brand image, brand loyalty and perceived quality)

appear to have the least brand equity in both restaurants and to find out if

customer based-brand equity differ between the two restaurants with respect to

each attribute of brand awareness, brand image, perceived quality and brand

loyalty. Brand awareness was treated separately from other dimensions because of

the difference in scale.

A structured questionnaire was constructed to provide answers to our research

question. In this study, one hundred questionnaires were distributed, but only sixty

four useable questionnaires were realized. The study surveyed four dimensions of

consumers based-brand equity namely brand awareness, brand image, perceived

quality and brand loyalty. Among the three dimensions, brand loyalty appears to

have the least brand equity rating by consumers than the other dimensions.

Although, the four dimension appear to have influence on consumer perceptions

of brand.

Conclusively, the best way to build brand value and stop product and service

commoditization is through continuous attempt to build brand equity. Strong

brands are established by creating an emotional attachment with customers,

seeking differentiation in communication and performing the service. Branding

makes clear a restaurants reason for existence and inspires its employees to get

used to the brand thereby building it for customers.


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The Keller Model

A major contribution to branding theory was that made by Kevin Keller (1993;

2001; 2003)with his introduction of the concept of customer-based brand equityand the brand hierarchy(as graphically portrayed in Figure 1) (Keller, 2003).

Figure 1: Kellers Customer-Based Brand Equity Pyramid

Resonance

Judgments Feelings 3.ResponseWhat about you?

Performance Imagery 2. MeaningWhat are you?

Salience

Two brand building blocks make up this step - performance and imagery.

1. Identity

Who are you?

2. Meaning

What are you?

3. Response

What about you?

4. Relationships

What about you and me?

The next step is brand response whereby the proper customer responses to the

brand identification and meaning are elicited (Keller, 2003). This step is achieved

with the judgments and feelings building blocks, and answers the question -

What about you?

4. Relationship

What about you and me?

1.IdentifyWho are you?


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Brand relationships constitutes the final step in the CBBE pyramid where brand

response is converted to an intense, active loyalty relationship between customers

and the brand (Keller,2001). Addressing the customer question of - What about

you and me? - the final brandbuildingblock and the pinnacle of the pyramid is

resonance. Kellers conceptual framework provides guidance in building,

measuring and managing brand

equity. While Keller claims that the model can be applied in a B2B context and a

consumer environment (Keller, 2003), it does not appear to have been tested for

industrial brands. The similarities and differences between business and consumer

markets have long been debated with organizational buyers found to differ in

many ways (Hutt and Speh , 1998; Kotler , 2000;Mudambi, 2002; Thompson,

Knox and Mitchell, 1997/1998; Wilson and Woodside, 2001),suggesting that the

application of such a model in a B2B setting will pose challenges .In answer to

Kellers call for additional research to refine the framework and suggest

implications for marketing strategy (Keller, 1993), this exploratory study aims to

identify difficulties in applying the CBBE model in a B2B context - that of

electronic tracking systems for waste management.

An Empirical Test Application of Kellers Model for Brands of

Electronic Tracking Systems for Waste Management

To address legislation requirements for Australian local authorities to monitor the

generation , transportation and disposal of wastes, new companies have emerged

with electronic means of waste tracking. Two competitors operate in this space,

with different technologies: a bar code docket system, brand A, and a system

using the Global Positioning System (GPS), brand B .The market for electronic

tracking systems for waste management is an interesting one for investigation.

The use of brands for high-technology products has been minimal until recently,

with the marketing of such products representing a challenging field (Zajas and

Crowley, 1995). The potential for waste tracking systems however will encourage

the entrance of competitors, thus increasing the importance of branding. Already

there are indications that branding is critical in this market as potential customers

learn to differentiate between the technologies and their manufacturers.


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FACTORS AFFECTING CONSUMER BEHAVIOUR

There are many factors which can affect consumer behaviour. These factors can

be divided in to two parts:

a) Psychological Factors

b) Environment Factors

a) Psychological Factors

There are different factors lies with in the consumer which affects

consumer behaviour is know as psychological factors. These

Psychological factors are:

I. Perception

II. Personality

III. Motivation

IV. Learning

V. Attitude

b) Environment Factors

Factors lie in outside environment and affect consumer behaviour are

known as environment factors. Environment factors are:

I. Culture

II. Sub-CultureIII. Social Class

IV. Reference Group

V. Family

VI. Social Group


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1.2 SIGNIFICANCE OF THE PROJECT

Each and every study has some significance. The significance of my study is to

find out the awareness of LG ,Samsung and preferences of the various customers

regarding the various types of flexibility ,availability etc. In todays scenario there

are various Service providers available in the market which is providing different

functions and charges different prices each having its distinct features. Now a

days the customer have various options so they have to choose the best option

available in the market. This study also helps in finding out the customer

preferences regarding reliability, flexibility etc. This study also helps in knowing

the various pricing and advertisement strategies of the various service providers.


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1.4 HYPOTHESIS

Hypothesis is considered as the principle instrument in research. It enables to

make profitability statement about population parameters. It can be defined as a

proposition or set of propositions set forth as an explanation for the occurrence

Of some specified group of phenomena either asserted merely as a provisional

conjecture to guide some investigation or accepted as highly probable in the light

of established facts:

The hypotheses involved in the study are;

1. The influencers play and important role while making the purchase

decision.

2. Most of the respondents prefer branded electronic product than other

product.

3. Prices do not play a significant role in influencing the buying selection.

4. There is only 9% respondents shift among different brands.


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1.5 RESEARCH METHODOLOGY

Research Methodology is a way to solve the problem scientifically andsystematically. It includes not only the Research Methods but also the comparison

of the logic behind the method we use in the context of our research study and

explain why we are using a particular method and why not others. The research

methodology provided a systematic and planned approach to the research project

and involves tags and elements that are consistent with each other.

Formulation of research problem:

First of all the researcher must decide the general area of interest of asubject matter he would like to inquire into define the problem and then

rephrasing the same into meaningful terms from an analytical point of

view.

Extensive Literature Survey:

Once the problem is formulated, a brief summary of it should be written

down. It is compulsory for a research worker writing a synopsis of the

topic and submit it to the necessary committee at the juncture theresearcher should undertake extensive literature survey connected with the

problem.

RESEARCH DESIGN

Constructing research design: Research design contains the over all

framework with in the research have to be conduct. Research design

Descriptive

(1) Data Sources

a) Primary Sources

b) Secondary Sources

(2) Research Approaches

a) Survey

b) Observation


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c) Unstructured Interview

(3) Research Instruments

a) Questionnaire

(4) Sampling Plan

a) Sampling Size

b) Sampling Techniques

(5) Contact Method

a) personal

(1) Sources of Data Collection:

Primary source:

Marketing personnel and HR personnel of concerned locations were

approached to obtain the information. It is collected by Questionnaire and

Personal Interviews at Hubs and Outlets Bahadurgarh, Hisar

Secondary source:

Internet, Articles from various newspapers and magazines., Company

brochures, literature and pamphlets. Research Methodology is a way to

systematically solve the problems.

(2)Research Approaches

a) Survey: Survey is an effective way of gathering information for

any kind of research. During the information, same respondents

were fully cooperative and some were indifferent.

b) Observation: Observation is done by only observing the

respondent behavior.In this research observation is done along with

the survey.

c) Unstructured Interview: Unstructured Interview also takes place

during the survey with many of the respondents.


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(3) RESEARCH INSTRUMENT

Structured Instrument

QUESTIONNAIRE

A questionnaire consists of a number of questions printed in a definite order on aform or a set of forms. . A specimen of the same has been placed in the project

report. 30 copies of the questionnaire were circulated among different groups of

people including under graduate, graduate, post graduate etc. Due to large strength

of people, the respondents were selected on the sample basis..

MAIN ASPECTS OF QUESTIONNAIRE

a) Structured questionnaire

b) Clear and smooth moving sequence of questions

c) Simple & easy language

d) Relevant questions

All the personal details were kept confidential. At attempt was made to include

only those questionnaires which were complete in all respects. The questionnaire

was of structured type. It contained all closed ended type questions so that all

classes of the employee find it convenient to spare sometime for filling up these.

(4) SAMPLING PLAN

SamplingConvenience Sampling to collect data

Sample size 60 people

Sample kind Customer & Distributors, Employees.

SAMPLING UNIT

The elementary units or the cluster of such units may from the basis of sampling

process. In this case each customer is our sampling unit.

TECHNIQUES OF SAMPLING


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Convenience sampling was the technique adopted for sampling.

ANALYSIS OF INFORMATION

The information was analysed with the help of pie-charts to reach at conclusion.

For that editing, tabulation and interpretation of data was done.

Editing

It involves a careful scrutiny of the completed questionnaires. It is the

process of examining the collected raw data to detect errors and omissions

to correct these when possible.

Tabulation

It involves arranging the data in concise and logical order. It involves

summarizing raw data and displaying the same in compact form.

Interpretation

It involves drawing the ultimate inferences and reaching to the

conclusions.


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2.1 REVIEW OF LITERATURE

Since the development of brand equity in 1980s, there have been rapid

developments in the subject. This is due to the fact that branding has been

recognized as an important factor for the success of a firm especially in a very

competitive business environment.

In the literatures, different definitions of brand equity have been proposed.

According to Park and Srinivasan (1994), brand equity has no acceptable

definition. Farquhar (1989) defined brand equity as the value which the brand

adds to the product. Similar definitions were provided by researchers such as

Aaker 1991, Keller 1993 , Leuthesser 1998, Yoo and Donthun 2001.

Keller (1993 p.8) sees brand equity as the differential effect of a brand

knowledge on consumer response to the marketing of a brand. This is based on

the assumption that the power of a brand lies on what have been learned, heard,

seen and felt by the customer about the brand over time. Aaker (1991,p.15)

provided the most precise definition of brand equity, he defined brand equity as a

set of brand assets and liabilities linked to a brand, its name and symbol, that add

to or subtract from the value provided by a product or service to a firm and/or tothat firms customers.

Simon and Sullivian (1993) used the word incremental utility to refer to brand

equity. Park and Srinivasan (1994) refer to brand equity as the distinction

between the overall brand preference and the multi attribute preference depending

on the objectively measured attribute level .

Agarwal and Rao (1996)

also refer to brand equity as the total quality and choice intention. From the above

it is clear that brand equity is viewed in different ways by different researchers.In

other word, brand equity can be said to be any asset or liability connected to a

brand name that adds or subtract value to a product.The definition of brand equity

can be widely classified into three perspectives i.e. it could be based on financial

perspective which stress the value of a brand to a firm, customer perspective

which sees brand equity as the value of a brand to consumers and a combination


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memory of a brand. The other proprietary brand asset has to do with patents and

trademarks.

A similar conceptualization was proposed by Keller (1993) . According to Keller

(1993), consumer based brand equity consist of two dimensions, brand knowledge

and brand awareness. Cob-walgren et al (1995) based their study on customer

based perceptual measure of brand equity. Their study adopted three of Aaker

(1991) perceptual component of brand equity i.e. brand awareness, brand

association and perceived quality. They tested whether brand equity has an affect

on

Brand perception,

Intention

Attitude

Low and lamb Jr (2000) and Prasad and Dev (2000) also adopted four of

Aaker (1991) component i.e.

Brand awareness

Perceived quality

Brand loyalty

Brand association.

Therefore, for the purpose of our study, customer based brand equity will be based

on Aaker (1991 1996) conceptualization i.e. brand awareness, brand loyalty,

perceived quality and brand association. Brand association here is referred to as

brand image i.e. the set of associations that are connected to the brand which are

easily retained in customers memory.

Aaker (1991 2002) classified loyalty as follows:

Non- customer : these are people who buy the brands of competitors.

Price switcher : these are the once that are sensitive to price.


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Passive loyal : these once are purchase brand/product as a result of habit

rather that reason.

Fence sitters : are those that are indifferent between several brands.

Committed: are those who are honestly loyal to the brand.

Attitude toward the Web Site and Brand Choice

Analogous to the well-accepted definition of attitude toward the Ad (A ad), a

"predisposition to respond in a favorable or unfavorable manner to a particular

advertising stimulus during a particular exposure situation" (MacKenzie, Lutz, &

Belch, 1986, p. 130), Chen and Wells (1999, p. 28) defined attitude toward theWeb site (A st) as a "predisposition to respond favorably or unfavorably to Web

content in natural exposure situations." Their examination of differences among

Web sites that scored high, medium and low on the measurement of A st found that

a high A st score could be from many different underlying perceptual dimensions

such as entertainment, informativeness, and organization.

A review of the literature reveals that research studies examining this relatively

new construct, A st, have focused on the role of Web sites as an advertising

medium (Bruner & Kumar, 2000; Poh & Adam, 2002; Stevenson, Bruner, &

Kumar, 2000). In an effort to test whether the relationship between A ad, brand

attitude and purchase intent holds even in an online context, these studies

examined the association of A st with A ad from the site, attention to the ad, brand

attitude and purchase intent. Although more rigorous testing is needed to

understand the relationships among these constructs on the Web, past research

suggests that, if a Web site is well-liked, some visitors to the Web site may be

more receptive to the Web site's contents, including its advertisements (Poh &

Adam, 2002).

The primary research issue in this study centers on how attitude toward the Web

site influences brand choice. Even though judgment (constructing an overall

evaluation of an alternative) and choice (choosing one alternative from a set) have

not always been clearly distinguished, there are sufficient processing differences


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between judgment and choice that call for caution in accepting A st - judgment

(e.g., attitudes and intentions) results as indicative of the A st - choice.

With these possible processing differences between judgment and choice, it is

likely that consumers could choose without completely processing all brand

information or forming overall evaluations (Biehal et al. 1992). That is, they may

make choices without differentiating between brands on the basis of brand attitude

or even without ever forming an overall brand attitude.

These possible differences between judgment and choice may have important

implications for understanding the role of A st in brand choice. That is, used as a

cue in differentiating between brands, A st may have a direct (separate from theeffect of brand attitude on brand choice) effect on brand choice. Moreover, this

direct, separate, effect of A st on brand choice may be expected to increase in the

online shopping environment. Shoppers appear to be attracted to the Web because

of the ease with which they can find products with detailed information and the

variety of choices offered (Ward & Lee, 1999) .

While very few research studies have examined the effects of response mode in

the context of marketing research, existing research regarding A ad may provide

some indication on what to expect. In general, most research focusing on the role

of A ad in determining ad outcomes has dealt with how A ad affects brand cognition,

brand attitude, and purchase intention (e.g., Burke & Edell, 1989; MacKenzie,

Lutz, & Belch, 1986; Miniard, Bhatla, & Rose, 1990). That is, most of the

research interest in A ad as an indicator of advertising effectiveness has focused on

how A ad affects consumer judgment, rather than consumer choice.

Attitude toward

the Web site

(Chen & Wells,

1999)

(5-point scale anchored by "Definitely Disagree" and "Definitely

Agree")

1. This Web site makes it easy for me to build a relationship with this

company.

2. I would like to visit this Web site again in the future.

3. I am satisfied with the service provided by this Web site.

4. I feel comfortable in surfing this Web site.


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5. I feel surfing this Web site is a good way to spend my time.

6. This site is for a brand that I am familiar with.

7. I've visited this Web site before.

8. Compared with other Web sites, I would rate this one as (5-point

scale anchored by "One of the worst" and "One of the best")

R elationship between attitude toward the brand and consumerconfidence

Relationship between attitude toward the brand and consumer confidence

Event study procedure

Event study methodology measures the stock price reaction to an unanticipated

announcement of an event. Event studies are used to test that the market

incorporates this new information efficiently and to examine the impact of the

event on the wealth of the firm's stock holders (Binder, 1998). The premise

underlying the methodology is the efficient market hypothesis. . Abnormal returns

occur when the market perceives that the firm's announcement or "event" will

have a positive (or negative) impact on the firm's future cash flows, resulting in

immediate stock price increases (decreases). The mathematical calculations


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pharmaceutical industry, the focus of attention is likely to be solely on the

pharmaceutical industry. If the scope is broader, for example corporate

sponsorship of the Olympic Games, a cross-section of firms and industries is more

likely to be examined.

Step 3: Calculation of normal and abnormal returns

To measure the impact of an event on shareholder value, the difference between a

firm's normal everyday returns and the abnormal returns experienced around the

event date are calculated. This figure is achieved by computing the daily (or

cumulative) abnormal returns accrued during the event window minus the

expected normal returns as if no such event had occurred. Two main approachesto model the normal returns are used: the constant mean return model, and the

market model (see MacKinlay, 1997; McWilliams and Siegel, 1997; Srinivasan

and Bharadwaj, 2004). The constant mean return model is based on the notion that

the mean return of a given stock is constant over time. The market model assumes

a linear relationship between the return of the overall market portfolio and the

individual stock's return. Calculation of the market portfolio is often based on a

leading broad-based stock index such as Standard and Poor's (S&P) 500 index, the

CRSP value-weighted index, or the CRSP equal-weighted index (Srinivasan and

Bharadwaj, 2004).

Step 4: Estimation of the normal performance model

While the event window used to calculate the abnormal returns focuses on the

days when information related to the event is most likely to be released, the

estimation window used to calculate the normal performance model, on the other hand, focuses on "normal" trading days, generally a period well in advance of

information about the event being released. Typically, estimation windows are

quite large (around 250-600 days stock market trading days) and are separated

from the event window by a significant number of days (45-90).


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Step 5: Statistical calculations and hypothesis testing

Having determined the parameters for estimating the normal performance model,the abnormal returns are calculated and tested for significance. To explore the data

further, abnormal returns can be aggregated over time for an individual stock and

also across firms and over time (see Srinivasan and Bharadwaj, 2004). Findings

are presented as mean abnormal returns and mean cumulative abnormal returns

expressed in percentages and direction of change (positive or negative). Where

abnormal returns are particularly dramatic, the dollar impact or net present value

may be calculated to illustrate the practical significance of the findings (e.g. Pruitt

et al., 2004). Test statistics in event studies are quite sensitive to outliers. The

impact of any one firm's returns on the sample statistic can be magnified

particularly when the study is based on a small sample of events.


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3.1 INDUSTRY PROFILE OF ELECTRONIC AREA

SAMSUNG

Occupational Employment Statistics

Occupational Employment and Wages, May 2007 49-2097

Electronic Home Entertainment Equipment Installers and

Repairers Repair, adjust, or install audio or television

receivers, stereo systems, camcorders, video systems

National estimates for this occupation

Industry profile for this occupation

State profile for this occupation

Metropolitan area profile for this occupation

Industries with the highest published employment and wages for this occupation

are provided. For a list of all industries with employment in this occupation, see

the Create Customized Tables function.

Industries with the highest levels of employment in this occupation:

Industry EmploymentHourly

mean wage

Annual mean

wage

Electronics and Appliance Stores 13,610 $15.71 $32,680

Electronic and Precision Equipment

Repair and Maintenance6,680 $15.58 $32,400

Cable and Other Program Distribution 5,390 $15.53 $32,310

Building Equipment Contractors 5,300 $16.78 $34,900

Electrical and Electronic Goods

Merchant Wholesalers960 $18.74 $38,970
http://www.bls.gov/oes/current/oes492097.htm#nathttp://www.bls.gov/oes/current/oes492097.htm#indhttp://www.bls.gov/oes/current/oes492097.htm#sthttp://data.bls.gov/oes/search.jsp?data_tool=OEShttp://www.bls.gov/oes/2007/may/naics4_443100.htmhttp://www.bls.gov/oes/2007/may/naics4_811200.htmhttp://www.bls.gov/oes/2007/may/naics4_811200.htmhttp://www.bls.gov/oes/2007/may/naics4_517500.htmhttp://www.bls.gov/oes/2007/may/naics4_238200.htmhttp://www.bls.gov/oes/2007/may/naics4_423600.htmhttp://www.bls.gov/oes/2007/may/naics4_423600.htmhttp://www.bls.gov/oes/current/oes492097.htm#nathttp://www.bls.gov/oes/current/oes492097.htm#indhttp://www.bls.gov/oes/current/oes492097.htm#sthttp://data.bls.gov/oes/search.jsp?data_tool=OEShttp://www.bls.gov/oes/2007/may/naics4_443100.htmhttp://www.bls.gov/oes/2007/may/naics4_811200.htmhttp://www.bls.gov/oes/2007/may/naics4_811200.htmhttp://www.bls.gov/oes/2007/may/naics4_517500.htmhttp://www.bls.gov/oes/2007/may/naics4_238200.htmhttp://www.bls.gov/oes/2007/may/naics4_423600.htmhttp://www.bls.gov/oes/2007/may/naics4_423600.htm


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Top paying industries for this occupation:

(1) Estimates for detailed occupations do not sum to the totals because the totals

include occupations not shown separately. Estimates do not include self-employed

workers.

(2) Annual wages have been calculated by multiplying the hourly mean wage by a

"year-round, full-time" hours figure of 2,080 hours; for those occupations where

there is not an hourly mean wage published, the annual wage has been directly

calculated from the reported survey data.

(3) The relative standard error (RSE) is a measure of the reliability of a survey

statistic. The smaller the relative standard error, the more precise the estimate.

(4) Estimate not released.

Industry Employment Hourlymean wageAnnualmean wage

Local Government (OES designation) 90 $22.61 $47,030

Satellite Telecommunications 270 $20.28 $42,180

State Government (OES designation) 70 $19.50 $40,550

Wholesale Electronic Markets and

Agents and Brokers(8) $19.17 $39,870

Wireless Telecommunications Carriers

(except Satellite)(8) $19.15 $39,830

Wages estimate
http://www.bls.gov/oes/2007/may/naics4_999300.htmhttp://www.bls.gov/oes/2007/may/naics4_517400.htmhttp://www.bls.gov/oes/2007/may/naics4_999200.htmhttp://www.bls.gov/oes/2007/may/naics4_425100.htmhttp://www.bls.gov/oes/2007/may/naics4_425100.htmhttp://www.bls.gov/oes/current/oes492097.htm#(8)http://www.bls.gov/oes/2007/may/naics4_517200.htmhttp://www.bls.gov/oes/2007/may/naics4_517200.htmhttp://www.bls.gov/oes/current/oes492097.htm#(8)http://www.bls.gov/oes/2007/may/naics4_999300.htmhttp://www.bls.gov/oes/2007/may/naics4_517400.htmhttp://www.bls.gov/oes/2007/may/naics4_999200.htmhttp://www.bls.gov/oes/2007/may/naics4_425100.htmhttp://www.bls.gov/oes/2007/may/naics4_425100.htmhttp://www.bls.gov/oes/current/oes492097.htm#(8)http://www.bls.gov/oes/2007/may/naics4_517200.htmhttp://www.bls.gov/oes/2007/may/naics4_517200.htmhttp://www.bls.gov/oes/current/oes492097.htm#(8)


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From its inception as a small export

business in Taegu, Korea, SAMSUNG

has grown to become one of the world's

leading electronics companies,

specializing in digital appliances and

media, semiconductors, memory, and

system integration. Today SAMSUNG's

innovative and top quality products and

processes are world recognized. This

timeline captures the major milestones in

SAMSUNG's history, showing how the

company expanded its product lines and

reach, grew its revenue and market

share, and has followed its mission of

making life better for consumers around

the world.

At SAMSUNG, we see every challenge

as an opportunity and believe we are

perfectly positioned as one of the world's

recognized leaders in the digitaltechnology industry.

Our commitment to being the world's

best has won us the No.1 global market

share for 13 of our products, including

semiconductors, TFT-LCDs, monitors

and CDMA mobile phones. Looking

forward, we're making historic advances

Company Profile

Samsung India Electronics Ltd

Samsung India is the hub for

Samsungs South West Asia Regional

operations. The South West Asia

Regional Headquarters looks after the

Samsung business in Nepal, Sri Lanka,

Bangladesh, Maldives and Bhutan

besides India. Samsung India which

commenced its operations in India in

December 1995, today enjoys a sales

turnover of over US$ 1Bn in just a

decade of operations in the country.

Headquartered in New Delhi, Samsung

India has a network of 19 Branch

Offices located all over the country.

The Samsung manufacturing complex

housing manufacturing facilities for

Colour Televisions, Colour Monitors,

Refrigerators and Washing Machines islocated at Noida, near Delhi. Samsung

Made in India products like Colour

Televisions, Colour Monitors and

Refrigerators are being exported to

Middle East, CIS and SAARC

countries from its Noida manufacturing

complex. Samsung India currently

employs over 1600 employees, with

around 18% of its employees working

in Research & Development.

2000-Present Pioneering the Digital Age

The digital age has brought revolutionary change and opportunity to global

business, and SAMSUNG has responded with advanced techno-logies,

competitive products, and constant innovation.


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in research and development of our overall semiconductor line, including flash

memory and non-memory, custom semiconductors, DRAM and SRAM, as well as

producing best-in-class LCDs, mobile phones, digital appliances, and more.

2000-Present Pioneering the Digital Age

2008

Samsung takes No. 1 spot in U.S. cellphone market

No.1 worldwide market share position for TVs achieved for the 9th

quarter in a row

2007

No.1 worldwide market share position for TVs achieved for the

seventh quarter in a row BlackJack bestowed the Best Smart Phone award at CTIA in the U.S.

Attained No.1 worldwide market share position for LCD for the sixth

year in a row

2006

Developed the world's first real double-sided LCD Developed the worlds' first 50nm 1G DRAM Unveiled 10M pixel camera phone Launched "Stealth Vacuum," a vacuum cleaner with the world's

lowest level of noises Launched the worlds' first Blu-Ray Disc Player

Developed 1.72"Super-Reflective LCD Screen

2005

Developed the largest Flexible LCD Panel Ranked 27th in "the World's Most Admired Company" of Fortune

Released the world's first 7 mega pixel camera phone Developed the world's first OLED for 40" TV

Developed the first-ever speech recognition phone2004 Produced the first wrinkle-free steam washer

Sold more than 20 million cellular phones in the U.S Ranked top in mobile phone sales in Russia Released new PDP TV featuring the highest contrast ratio in the

world


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Developed a 3rd Generation Optical Blu-Ray Disc Recorder

Released 46" LCD TV for the first time in the world

2003

SAMSUNG brand value ranked 25th in the world by Interbrand Ranked 5th on the "Most Admired Electronics Company" list

released by the Fortune Magazine

Released the first HD DVD combo

2002

Development of the 54"TFT-LCD, the largest digital TV monitor in

the world Launches PDP-TV, the slimmest in the world Launch of color mobile phones in which the new concept UFB-LCD

is introduced

Launched new high-definition TFT-LCD color cellular phone

2001

Ranked No. 1 of world's Top 100 IT Companies by BusinessWeek Unveils 16 Chord Progression Melody Phone Begins Mass Production of 512Mb Flash Memory Device Unveils Industry's First Ultra-Slim Handset

Develops World's first 40 inch TFT-LCD

2000

Unveils TFT-LCD with Record-breaking Definition Launches PDA phone SAMSUNG Olympic Games Phone selected as the official mobile

phone of the Sydney 2000 Olympic Games TV Phone and Watch Phone Make Guinness Book of World Records Unveils the Worlds Fastest Graphics Memory Chip

SAMSUNG Electronics and Yahoo! Form Strategic Alliance

Further Reading:

"A Giant with Wings?" Business Korea, December 1994, pp. 21--23.

Jameson, Sam, "Samsung Isn't Content to Be a Mere Giant," Los Angeles

Times, July 5, 1990, Sec. D, p. 1.


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Nakarmi, Laxmi, with Kevin Kelly and Larry Armstrong, "Look Out,

World--Samsung Is Coming," Business Week, July 10, 1995, pp. 52--53.

Ota, Alan K., "Samsung Expands Overseas in Drive to Transform Itself,"

Oregonian, July 2, 1995, Sec. F, p. 9. "Samsung Chairman Lee Kun-Hee: A Modern Day Fortuneteller?"

Business Korea, August 1993, pp. 1819

. "Samsung Group: Lee Kun-Hee's First Five Years," Business Korea,

December 1992, p. 37.

"Samsung: Steering a New Course," Business Korea, February 1992, p.

26.

Selwyn, Michael, and Erwin Shrader, "Samsung Takes On the Giant," Asian Business, October 1990, pp. 28--34.

Sohn, Jie-Ae, "Samsung Group Embracing Breathtaking Changes,"

Business Korea, August 1993, pp. 1518

. Steers, Richard M., with Yoo Keun Shin and Gerardo R. Ungson, The

Chaebol, New York: Harper & Row, 1989.

Tanzer, Andrew, "Samsung of South Korea Marches to Its Own

Drummer," Forbes, May 16, 1988, pp. 84--89.


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LG

1947-1959

Birth and establishment of a new era for chemical and electronic industriesLG Group founder In Hwoi,Koo set LG history in motion with the establishment

of the Lak Hui Chemical Industrial Corp. in 1947. During those formative years,

the company emphasized the principle of creating harmony among people. The

employees believed that mutual trust and responsibility were crucial to

accomplishing business objectives.

In 1952, Lak Hui (currently LG Chem) became the first Korean company to enter

the plastics industry. As the company expanded its plastics business, it establishedGoldstar Co., Ltd., (currently LG Electronics Inc.) in 1958. In 1959, Goldstar

produced Korea's first radio, opening a new era for the nation's electronics

industry. In the early 1950s, LG had already established the foundation for its two

major sectors-the chemical and electronics businesses-thereby leading the

development of Korea's industries.

History/Corp. Milestone

1958 : GoldStar (todays LG Electronics) established1959: Koreas first radio produced

1962 : Radio exported to the US and Hong Kong as Koreas first

1965 : Koreas first refrigerator produced

1966 : Koreas first black & white TV produced

1968 : Koreas first air conditioner produced

1969: Koreas first washing machine produced

1974: GoldStar Communications went public1977 : Color TV produced

1978 : Exports surpassed US$100 million, a first for Koreas electronics industry

1980: First EU sales subsidiary in Germany (LGEWG) established

1982: Color TV plant established in the US in Huntsville, Alabama

1984: Sales surpassed 1 trillion Won

1986: European-standard VCR plant established in Germany

1989 : Sales subsidiary and a joint production subsidiary established in Thailand

1990: Ireland-based design technology center established


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1993 : With the establishment of Huizhou subsidiary in China(LGEHZ),

marketing in China took full swing

1995: Company name changed to LG Electronics and US-based Zenith acquired

1997 : 40-inch Plasma TV and the worlds first IC set for DTVs developed India

production subsidiary (LGEIL) established

1998: Worlds first 60-inch Plasma TV developed

1999 : LG.Philips LCD established

2000: LG Information & Communications merged The worlds first Internet-

enabled refrigerator launched Global sales of refrigerators reached the number one

position

2001: Asynchronous IMT-2000 equipment commercialized The worlds first

Internetenabled washing machine, air conditioner, and microwave oven launched

LG.Philips Displays, a joint venture with Philips established

2002 : Under the LG Holding Company system, the Company spun off to LG

Electronics (LGE)& LG Electronics Investment (LGEI) The first home network

system commercialized in the global market.

2003 : Worlds first synchronous-asynchronous IMT-2000 mobile phone

developed The worlds first 76-inch Plasma TV developed CDMA mobile

handsets took the largest share in the US and world CDMA market Launched the

worlds first Super Multi DVD Rewriter

2004

EVSB, the next-generation DTV transmission technology, chosen to be the

US/Canada DTV transmission standard by the US ATSC All-in-one LG 55-inch

LCD TV, the worlds first and largest among LCD

TVs, commercialized The worlds largest and first 71-inch Plasma TV

commercialized The worlds first terrestrial DMB phone developed Developed

Wireless Speaker Home Cinema System.

2005

The worlds first DMB notebook commercialized The worlds slimmest TV

commercialized The worlds largest 102-inch Plasma TV developed LG and

Nortel Networks agreed to establish a joint venture for telecommunication

network equipment Satellite-based DMB phone commercialized The largest shareseized in the global CDMA market.


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2006

Launched the LG Shine, the second handset in the Black Label Series Globally

launched the steam washing machine and interactive TV refrigerator Developed

the world's first 100-inch LCD TV Launched the world's largest Full HD 102-inch

Plasma TV (1080p) Developed the world's first dual-format high-definition Disc

Player& Drive.

2007

Launches the industry's first dual-format, high-definition disc player and drive

Launches 120Hz Full HD LCD TV Demonstrated the world-first MIMO 4G-

Enabled technologies with 3G LTE Won contract for GSMA's 3G campaign.

2008

Introduces new global brand identity: "Stylish design and smart technology, in

products that fit our consumer's lives."


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VIDEOCON

Today the group operates through 4 key sectors:

Consumer Electronics, Home Appliances & Compressor manufacturing in

India

We enjoy a pre-eminent position in terms of sales and customer satisfaction in

many of our consumer products like Colour Televisions, Washing Machines, Air

Conditioners, Refrigerators, Microwave ovens and many other home appliances,

selling them through a Multi-Brand strategy with the largest sales and service

network in India. Refrigerator manufacturing is further supported by our inhouse

compressor manufacturing technology in Bangalore.

Display industry and its components

With the Thomson acquisition Videocon has emerged as one of the largest Colour

Picture tube manufacturers in the world operating in Italy, Poland and China,

continuing to lead through new innovative technologies like slim CPT, extra slim

CPT and High Definition 16:9 format CPT.


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imaginable and unimaginable. Videocons ingenious manoeuvres are actually

flexi-strategy that abstracts from shifting ground conditions and decides game-

plans, or sometimes changes the rules of the game.

intrepid entrepreneurship: the means

An enterprise with the odds stacked against it makes great business sense. This is

because higher the obstacles, lower the number of players likely to be active in

that field - thus, fetching extraordinary returns. The only requirement is a bold and

confident attitude willing to brave the odds. Videocons foray into oil and gas is a

bold and intrepid endeavour that arises from immense faith on the surefooted

competence of the companys in-house managerial talent.

improved technology: the means

Technology is no more a premium input; it has become the bare minimum in

recent years. Rapid advances have only fuelled this phenomenon. Videocon is

extremely vigilant in shunting out dated technology and replacing it with the best-

in-class offers of the times.

innovative products: the means

Product development, innovation and customisation are the tools Videocon uses to

stay ahead of the competition. This is because a continuous stream of innovative

products excites the market and enhances brand recall. A strategy that Videocon

banks on a lot, especially on the domestic front.

insightful marketing: the means

The market share battle scene has long shifted from technology and processes to

the psyche of the customer. This means that those with deeper insights into the

elusive mind of the buyer are likely to dominate. Videocon is reinforcing

marketing strengths to read better the pulse of the market and help create products

that map perfectly into customer preferences.

inspired thinking about the future.: the means

The future is unpredictable, but not doing anything about it is fraught with grave

risk. Videocon extrapolates future trends on the basis of current changes in

technology and preferences as well as sheer gut feel. Fine-tuned business instincts

are worth their weight in gold, lots of it. The company has perfected its practice

almost into an art form with some calculated gambles like oil and gas proving to

be absolute money-spinners.


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Values & Philosophy

Shri Nandlal Madhavlal Dhoot, the founder of the Videocon Group, completed his

education in Ahmednagar and Pune. He was a successful sugarcane and cotton

cultivator. As a next logical step to vertical integration, he boldly took upon anentrepreneurial venture by importing machinery from Europe to set up the

Gangapur Sakhar Karkhana (Sugar Mill) in 1955. Those were the times when the

village did not even have electricity. Thus was unleashed an Industrial Revolution.

The die was cast. Over the years, Nandlalji's path-breaking attitude found

expression in a myriad ways, earning him the well-deserved reputation of the

pioneer of industrial activity in Marathwada India.

In early 80's Nandlalji initiated his three sons - Venugopal, Rajkumar and Pradeep

into business. Through a technical tie up with Toshiba Corporation of Japan, he

launched India's first world-class color Television: Videocon. Today, Videocon is

household name across the nation- India's No. 1 brand of Consumer Electronics &

Home Appliances, trusted by over 50 million people to improve their quality of

life.

The Late Shri. Nandlal Madhavlal Dhoot

Founder, The Videocon Group

( 26 February 1932 - 26 April 1993 )A man of Ideas. A man of Substance.

A man of Vision.


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CEO

K. R. KIM

Vice Chairman and CEOVideocon Industries Limited

K R Kim was appointed as Vice Chairman and CEO, Videocon Industries Limited

in 2008. Since then, he has led the company to expand its operations throughout

the country in the Domestic and Global operations of the consumer durables and

infotainment division.

A veteran in the consumer goods industries and the former MD of LG electronics,

K.R Kim, a Law graduate from Seoul National University has been associated for

over 30 years with LG Electronics before joining Videocon. During his tenure he

served at esteemed positions of President and that of a Managing Director.

K.R Kims proficient leadership skills, task driven approach and matchless degree

of excellence and discipline has conspicuously carved his identity worldwide.

Moreover, he has been the proud recipient of the Super Achiever award from

CETMA (Consumer Electronics and TV Manufacturers Association) for his rolein advancing maturity of Indias Electronics and Durable goods market. He has

also been awarded for Excellence in Corporate Leadership and Entrepreneurial

Spirit established by CNBC TV 18- by our Honorable Prime Minister Mr.

Manmohan Singh.

.


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2) Benefits derived as a result of the above R& D .

The company has derived the following benefits as a result of the Research

and Development:

1. Development of new design in product and launch of various new models.

2. Able to compete with the foreign players in the Indian Markets by cost

reductions and offering innovation features and to maintain market

leadership in Television under Videocon umbrella.

3. Increase in Productivity.

4. Reduction in power consumption of some of the products.

3) Future Plans of action

In the coming days company is aiming to achieve development in the

following areas through Research & Development:

1. Manufacturing of components for consumer Electronics Products.

2. Multimedia TV.

3. Plasma Televisions.

4. Launching of New Brands & Sub-brands under Videocon umbrella.

5. Composite Home Entertainment system with internet adaptability.

6. To work on better features, better quality & improved reliability with

reduced/low prices.

Your company always attempts to use the latest and advanced technology in

production process. Keeping pace with the technological developments, the

company keeps on adding sophisticated equipments with focus on automation to

minimize manual intervention in the manufacturing process thereby ensuring

quality of the final products.


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ONIDA

Company History

To think of the future, you need to think of your past.

It all began with just a vision. In the year of 1981, Mr. GL Mirchandani and Mr.

Vijay Mansukhani started a company called Onida with just a goal of

manufacturing television sets and going beyond convention. By the end of that

year, we started assembling television sets at our factory in Andheri, Mumbai.

With the passage of time, superior products and the combination of a distinctive

voice, a cutting-edge advertising strategy, and purposeful marketing ensured that

Onida became a household name.

Then we asked some more questions:

1. Is there an inherent consumer need that is not being met by the current

products in the market?

2. Is there anything we can significantly add, upon entering the category?

3. Is there something that the other product players have overlooked, which

we can address?

Some of the innovations that surprised the world.

After having established a reputation for being an intelligent and pioneering

innovator in the application of technologies: we were the first to launch the

Webcruiser TV, the worlds first built-in Internet TV which offers the benefits of

a personal computer and a TV, and that too, equipped with a a modem, printer

port and a cordless keyboard with it; the first to launch the ultimate in Flat TV

technology with Onida Black with a high picture clarity with DVMC which

ensures uniform scanning at the centre and corners of the TV screen.

Again, the Onida Twister was the first TV that turned to face the viewer; we were

the first to introduce SRS technology for surround sound in Audioport. In 1999,

we were the first to introduce the pure flat TV in the country. The Candy was the


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first instance of any brand providing a multi-coloured cabinet option to its

customers.

It still wasnt enough.

The common perception was that we were a focused TV manufacturer. But then

with a knack for spotting a gap in the market, we realised that there were

undiscovered needs and wants in other categories of consumer durables as well.

So we recognized latent synergies which enabled us to provide customers with a

wider range of products under the ONIDA brand.

Washing Machines:

In 2003-04 we launched the washing machine with Hydrofall technology which

addressed the need of having a more powerful cleaning system. Then we realised

that people still used their hands for cleaning so we launched the Triomatic

technology which gives the perfect hand wash. Then we realised that people still

keep bending to wash clothes so we launched a washing machine with a higher

and wider vent so you dont have to bend.

Air conditioners:

With the soaring summer heat, we saw a need for an AC with powerful cooling.

And in addition due to the raising electricity consumption, the need for energy

efficiency as well. Hence, the thought of an ultra slim powerful AC with unique

APM cooling technology that cools even at 48oc and is the most energy efficient

in the country which constantly keeps your electricity bills in check.

DVDs:

With todays technology boom, theres a need for a single multimedia interface as

most people now download movies, music and click pictures through mobiles.

Hence the need for USB and card reader. We also saw that most DVDs are rented

hence are scratched. Which is why, we developed a DVD player with USB and

Card Reader which also play scratched discs effortlessly.

Microwave Ovens:

We saw that people used Microwave primarily to heat food and not to cook. We

also noticed that its difficult to cook food in a microwave. Especially Indian food.

So to make cooking simpler we introduced 123 Indian autocook menus. So all you

need to make Indian dishes is a finger. We later gave it a sleek, black look with a

mirror finish so that it looks stunning too.LCDs:


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What began as a TV became the window to the future. With the advent of

televisions increasing popularity, there were many players with a wide foray of

our models. To make matters interesting, there were several foreign players with

technology that seemed futuristic and with a sleek look. However we mainly

focused on picture clarity. So instead of just aping what the offering was, we

asked ourselves, Why not give a complete audio / video experience at home as

well? And the result was obvious: Our CTV had up to 3500 Watts of sound. This

was our first milestone which others followed. However, this held true twenty

years later as well. LCD technology came in, in a bigger way. Onida once again

took the onus to remind everyone, that sound is equally important to complete the

viewing experience. So we made our Xaria with more than twice the sound output

of other LCDs in the market.

Then later on, we got onto its drawing board a pseudo home theatre with a 5.1

amplifier system and 1000-watt PMPO speakers, thereby putting a theatres soul

inside a TVs body.

We took the future by its horns and went on to make Indias first fully developed

indigenised Xaria LCD with more than twice the sound output of other LCDs in

the market.

Mobiles:

With the cellphone market already heavily penetrated, there was a need for a

mobile that could stand apart. So what we sought to do was make every single

Onida Mobile do so much more than what an ordinary cellphone does. So the

moment you turn it on, you would realise that its fully-loaded. So many features.

So many things. And so easy. But all these features are there in it for a reason. All

of them to help you do better, enjoy better, listen better, work better or simply talk

better.

Vision and Mission

The core of the thought.

Our Vision

To build a brand around substance. To communicate simple truths that customers

understand. To become a leader in our chosen field and become a globally

recognized, prestigious company through synergistic businesses investment,


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differentiation through innovation, passion through empowerment, cost through

economies of scale and world class systems and procedures that bring in a sense

of delight to our stakeholders.

Our Mission

To benefit society at large through Innovation, Quality, Productivity, Human

Development and Growth, and to generate sustained surpluses, always striving for

excellence, within the framework of law and in nothing but the truth in which we

base our every action

Corporate Philosophy

To think about you, we first think about everything.

Commitment to society/nation

We respect the society and the environment to which we belong and will

contribute to its progress and welfare.

Passion for quality

Strive to create products with substance that are the best in class. Never

compromise on quality. Give our customer better value-for-money, always.

Fairness

We stand for truth, fairness and justice in all our business and individual dealing -

without this spirit, no man can win respect no matter how capable he may be.

People - our greatest assets

We value good people. It is our responsibility to create actively and constantly an

environment that supports them to grow and flourish.

Harmony and co-operation

Alone we are weak. Together we are strong. Work together as a family in mutual

trust and responsibility.

Courtesy and Humility

Respect the right of others. Be cordial, modest and humble. Praise and encourage

freely.


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Strive for continuous improvement ( KAIZEN )

Seek and find in every action a way to do things better, always better.

Growth

Growth is vital. Increasingly seek out ways and means to constantly move

forward.

Innovation

Progress by adjusting to ever-changing environment around us. As the world

moves forward, we must keep-in-step.

Gratitude

Always repay the kindness of our customers, associates, community, nation and

friends worldwide with gratitude.

Milestone

1981 : MIRC Electronics Pvt. Ltd. was established

1982 : CTV production started at Nand Bhavan, Mumbai

1983 : Technical collaboration with JVC, Japan for CTV

1985 : Established in-house R&D wing

1986 : Production expanded and moved to a new factory at Kalina

1987 : Moved to our own factory building "ONIDA HOUSE" : Iwai, Speaker

plant commences its operation

1990 : Tuner plant commences operation

1991 : Akasaka, PCB plant commences its operation : New CTV manufacturing

plant at Vasai commences operations

1992 : Crossed 1 million CTV sales

1994 : Moved to a fully automated Plant of 600K CTV per year at Wada


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1994 : Moved to a fully automated Plant of 600K CTV per year at Wada

1995 : ISO 9001 certification obtained from BVQI

1998 : Award for excellence in electronics by ministry of IT

1999 : First in India to develop Internet enabled CTV

2000 : Launched the KY Thunder, Profile Series

2001 : AV Max award for best CTV

: Launched Onida Black, flat CTV range

: Multimedia projectors launched: Commenced project to expand CTV capacity to 1 million

2002 : Completed plant expansion project to increase capacity from 600K CTVs

to 1.2 million CTV's per year.

: Launched 'KY Theatre' with circle surround sound, the first complete Home

Theatre package

: Launch of 'Igo'- the economy brand

: Launched VCD player

2003 : Launched world's first LCD remote 'i-Control'

: Launched Air-conditioners

: Launched Rear Projection TV, Plasma TV & DVD Players

: Launched Fully Automatic front loading Washing Machines

: A MIRC product is getting sold every 27 seconds

: Operations started in Russia

2004 : Launch of the 'Oxygen Series' CTV

: Crossed Sale of 250,000 CTV's in October month

: Launch of Microwave Owens

: Mr.Gulu Mirchandani, CMD awarded 'Man of Electronics for the year' by

CETMA

2004- 05 : Achieved 1.20 million CTV sales


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2005 : Launch of 'POISON' range of CTV's

ManagementMeet the thinkers.

Mr. Gulu Mirchandani (Chairman & Managing Director)Mr. Vijay Mansukhani (Managing Director)Mr. G. Sundar (Chief Executive Officer)Mr. Satrajit Ray (Chief Financial Officer)Mr. Vikas Shirodkar (Chief People Officer)Mr. C. R Talati (Vice President - Operations)Mr. Sriram Krishnamurthy (Vice President - Marketing, Sales &Service)

Manufacturing Plant

Onida's principal assembly operations are conducted in a state-of-the-art plant at

Wada, 80 kms from Mumbai. The plant in Delhi caters to the production

requirements for the Northern region. Our network of 33 branch offices, 208

Customer Relation Center's and 41 depots across India ensuring that Onida

products are available on retail shelves.

At Onida, we recognize that we can strengthen our competitive edge if we

produce as much as possible from a given capacity at the lowest possible cost. We

reduced the time it takes for a single color television to be produced from 20

seconds to 12 seconds and increased the capacity from 0.5 million to 1.2 million

sets during the year under review.

In 2002-03, using the existing infrastructure, a decisive step forward was taken by

entering into the manufacture of washing machines and air conditioners at the

Wada factory.

Quality Assurance

Thinking of your smiles. Thinking of quality,

Quality for us isnt just a norm; its a way of life. We realised that we have to

accept and increase our levels of quality at every single stage even before the product is designed, even after the product is sold; only then do we believe that


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Per Million (PPM). Apart from ISO 9001 QMS certification, we are also certified

for ISO 14001, Environmental Management System.

So as you can see for us quality isnt just a department but rooted in every single

thing that we do.

Research & Development

Researching your minds.

We believe that before we redefine technology, we should relook the way the

department that researches technology.

For only with a strong backing can your dreams, your desires take a solid shape

with a stunning design. We believe that Research and Development isnt about

technology but a lot neanderthal than that: its about experience. For theres no

use of complicated and microbial technology working for you, if its not simple

or easy to use; for theres no use of superb design, if the quality inside isnt as

promising. And thats what our R&D department attempts to do every single day.

Make it just a little bit better.


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Experience our thoughts.

Our R&D department doesnt just work towards giving you a better and more

useful product. Thats just the tip of the iceberg.

It attempts to add experience and value to the consumers at every stage of the

product. For instance, when it comes to television, it isnt just about better picture

or better sound but also about the remote that you use. Even when it comes to

washing machines, it isnt just about better or cleaning washing but about how do

you put your clothes in. We do the same thing for every single of our products. So

that when you use an Onida product, satisfaction comes automatically.

A little research. A lot of thoughts.

Heres a few example what our R&D unearthed across all categories:

KY Thunder Case Study

A small change that was heard across the country.

The background:

The competition in televisions was fierce. But while people upgraded from Black

and White sets to colour to stunning picture clarity, no one focused on giving the

complete audio/video experience.

The task:

The simple reason why it was so because there was no more room for fittingspeakers on the TV. So instead of putting everything inside, the R&D team simply

fitted the sound behind the screen thereby giving a superb surround sound effect.

The result:

The rest obviously is history. It caught on faster than wildfire, everybody wanted

to lay their hands on one, including the competition. The competition had to get

technicians from abroad to understand what went through it and by the time they

could copy the same, the market was already won. So much so that the brand


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Microwave Case Study Push-button-cook.

The background:

We saw that consumers used microwaves primarily to heat food and not to cook.

We also noticed that its very cumbersome to cook food in a microwave.

Especially Indian food at that. So we had change the way people looked at

microwaves.

The task:

In order to make cooking simpler we introduced 123 Indian autocook menus. So

all you need to make Indian dishes is a finger to cook any form of Indian dishes

you preferred. We then later gave it a sleek, black look with a mirror finish so that

it looks stunning as well.

Exports

Thinking globally.

Onida with its Sales & Marketing office in Dubai reported a 215 percent export

growth in two years, setting the base for an increased robust international presence.

The shipments to the Gulf contribute almost 65 percent of Onida's export revenue

while shipments to the fast growing East African market (Uganda, Tanzania,

Kenya and Ethiopia) and the SAARC countries accounted for 16 percent of export

revenues.

Home Theatres and DVD players have been introduced in these markets to

strengthen the Onida brand presence. These products have customised models with

local language user interfaces in line with its geographies of focus. Onida models

are now available with Arabic, Persian and Russian OSD (menu).

Onida products have been favored by hypermarkets like Lu Lu Centres,

Carrefours, Geants and Dasmans in GCC countries.

In addition to the Gulf countries ONIDA has now a sizeable presence in Russia,


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Ukraine and neighbouring CIS countries. ONIDA has already crossed 1,00,000

mark in CTV exports to Russia in a span of just 2 years and plans to grow in these

markets at a much faster pace.

Apart from Television Exports to Russia, Onida also exports DVD Players and

high end LCD Televisions.

Our Export Plans

Onida plans to expand its international presence by:Developing a production facility in the CIS countries/North Africa.

Launching Home Theatre Systems, Microwave Ovens, Vacuum Cleaners andWashing machines in the Other than GCC in the near future.Launching the "Onida" range in Nigeria, Yemen and Iran/ IRAQ and SAARC

countries as well.


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WHIRLPOOL

Innovation: Unique and compelling solutions valued by our customers and

aligned to our brands create competitive advantage and differentiated shareholder

value.

Operational Excellence (OPEX): A methodology for solving problems &

continuous improvement of products & processes through pursuit, acquisition, and

utilization of knowledge using critical thought and planned experimentation helps

us achieve operational excellence.

Customer Excellence: Excelling the customer expectation from the company, its

brands, products and services are a three-step process. The three steps are: Know a

customer, Be a customer, Serve a customer.

Knowing a customer helps us know who our customers are, how to treat them,

how we add value, and what the drivers of brand loyalty are. This information is

gathered from the customer's data base history. This way we are better able to

customize products for them and recommend the right product to solve problems.Being a customer is important to share customer knowledge and insights, drive

actions based on customer insights, be passionate about our brands and customer

loyalty and provide a positive voice for our brands. We show empathy for

customers and seek to resolve their problems by creating consistent customer

touch-points, with our endeavor always being to provide unique solutions for the

customer.

Whirlpool is transforming into a completely customer-centered company where

the customer lies in the core of every of our functions. This focus has arrived as

direct consequence of our core competency of customer excellence. It allows us to

build Customer Loyalty. The transformation is made up of five elements:

Market leadership through customer loyaltyInnovation

Diversity with inclusion and core competenciesPassion for customer excellence


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Operational excellence

The elements of the transformation hold the promise of making Whirlpool a

growing company and thereby increasing value for our shareholders. The five

elements are the basis for describing our strategy internally and guide the

development of our plans and initiatives.

Whirlpool has swiftly moved from being a World Class Manufacturer to a World

Class Marketer using the brand-building framework. We are dedicated to creating

unique branded solutions that build customer loyalty and achieve brand

excellence.

Vision & Mission

Our pervasive vision, Every Home, everywhere, with pride, passion and

performance, rests on the pillars of innovation, operational excellence, customer-

centric approach and diversified talent. These are embedded within our business

goals, strategy, processes and work culture.

Be it our products that are the result of innovation and operational excellence tomeet every need of our consumers or the people behind these products that come

from a wide spectrum of backgrounds, everything we do features a distinct

Whirlpool way

Whirlpool India

Whirlpool, right from its inception in 1911 as first commercial manufacturer of

motorized washers to the current market position of being world's number onemanufacturer and marketer of major home appliances, has always set industry

milestones and benchmarks. The parent company is headquartered at Benton

Harbor, Michigan, USA with a global presence in over 170 countries and

manufacturing operation in 13 countries with 11 major brand names such as

Whirlpool, KitchenAid, Roper, Estate, Bauknecht, Laden and Ignis. The company

boasts of resources and capabilities beyond achievable feat of any other in the

industry.


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Whirlpool initiated its international expansion in 1958 by entering Brazil.

However, it emerged as truly global leader in the1980's. This encouraging trend

brought the company to India in the late 1980s. It forayed into the market under a

joint venture with TVS group and established the first Whirlpool manufacturing

facility in Pondicherry.

Soon Whirlpool acquired Kelvinator India Limited in 1995 and marked an entry

into Indian refrigerator market as well. The same year also saw acquisition of

major share in TVS joint venture and later in 1996, Kelvinator and TVS

acquisitions were merged to create Indian home appliance leader of the future,

Whirlpool India. This expanded the company's portfolio in the Indian

subcontinent to washing machines, refrigerator, microwave ovens and air

conditioners.

Today, Whirlpool is the most recognized brand in home appliances in India and

holds a market share of over 25%. The company owns three state-of-the-art

manufacturing facilities at Faridabad, Pondicherry and Pune. Each of these

manufacturing set-ups features an infrastructure that is witness of Whirlpool's

commitment to consumer interests and advanced technology.

In the year ending in March '09, the annual turnover of the company for its Indian

enterprise was Rs.1,719 Crores.

The company's brand and image speaks of its commitment to the homemaker

from every aspect of its functioning. It has derived its functioning principles out of

an undaunted partnership with the homemakers and thus a slogan of You and

whirlpool, the world's best homemaker dots its promotional campaigns. The products are engineered to suit the requirements of smart, confident and in-

control' homemaker who knows what she wants. The product range is designed in

a way that it employs unique technology and offers consumer relevant solutions

Media Room

WHIRLPOOL INDIA: YOUR MAGIC IN HOMEMAKING


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Whirlpool Corporation is a global manufacturer and marketer of major home

appliances, with annual sales of more than $19 billion (for year 2005), 80,000

employees and nearly 60 manufacturing and technology centers around the globe.

Whirlpool of Indias net sales for the period April 2005 -March 2006 stood at Rs.

1274 crores with an operating profit of Rs. 14.57 crores. Company witnessed a

growth of 25% (Approx.) in net sales over the same period last year. The company

manufactures in 13 countries and markets products in approximately 170 countries

under 11 major brand names such as Whirlpool, Maytag KitchenAid, Roper,

Estate, Bauknecht, Laden and Ignis.

Whirlpool has sustained its leadership position within the global appliance

industry, thanks to its innovation led approach and a keen understanding of the

customers' needs, a firm commitment to addressing those requirements through

companys superb brands, products and services. Whirlpool Corporation entered

India in the late 80s and today has grown to become one of the leading

manufacturers and marketers of major home appliances in India.

Whirlpools international outlook was initiated in 1958 when it entered Brazil, but

it was the 80s that marked the beginning of Whirlpools aggressive strategy to

be a world-wide competitor. India was identified as a growth market in late 80s

when Whirlpool Corporation entered into a joint venture agreement with TVS

group to produce automatic washers at a plant set up in Pondicherry. A modest

beginning was made to establish the Whirlpool brand in India. In 1995 Whirlpool

Corporation acquired Kelvinator of India Limited and entered into the

Refrigerator market in India. In late 1995 majority ownership was gained in the

TVS joint venture and the two entities were merged to form Whirlpool of India

Limited in 1996.

Whirlpools aggressive business approach delivered the success that consisted of

an extensive brand building exercise, fixed cost reduction and restructuring.

Whirlpool chose to position the brand as a Partner to the homemaker and the

values were translated into the various elements of the brand identity leading to

the well known tagline You & Whirlpool, The Worlds best hom

Management in Managing Brand

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