A Project Report on

CONSUMER BUYING BEHAVIOUR

TOWARDS
VIJAYA DAIRY MILK
Submitted to JNT University, Hyderabad for
the partial fulfillment of the requirements for the award of Degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

SUNIL KUMAR .R
(H.T.NO.07C31E0032)

Under the Guidance of

Mr. R. RAMESH

Department of Business Management

BALAJI INSTITUTE OF TECHNOLOGY & SCIENCE
NARSAMPET – WARANGAL - 506331

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 (2007-2009)
K.Sharath Babu
B.Tech, MBA, M.Phil (Ph.D)
Head of the Department
Department of Business Management

Date:

CERTIFICATE

This is to certify that the project report entitled “A STUDY ON

CONSUMER BUYING BEHAVIOR TOWARDS VIJAYA DAIRY
MILK” was carried out by Mr. SUNIL KUMAR R, H.T.No 07C31E0032.
Under my guidance. He has completed his project work as per the rules
prescribed and submitted to the JNT University, Hyderabad for the partial
fulfillment for the award of degree of Master of Business Administration. It
is a bonafide work done by him and has not been submitted else where either
in part or in full for any degree or diploma of any university earlier.

INTERNAL GUIDE HEAD OF THE DEPARTMENT

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 DECLARATION

I, SUNIL KUMAR R, H.T.NO. 07C31EOO32 studying MBA at

BALAJI INSTITUTE OF TECHNOLOGICAL AND SCIENCES of here by

declare that the project report entitled “CONSUMER BUYING

BEHAVIOUR TOWARDS VIJAYA DAIRY MILK” submitted in partial

fulfillment for the award of degree of Master of Business Administration is

an original work done by me and not submitted for the award of any degree,

diploma, fellowship or other similar titles or prizes.

DATE:

PLACE:

SUNIL KUMAR R
H.T.No. 07C31E0032

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 ACKNOWLEDGEMENT

I would like to thank Mr.CH. SATYANARAYANA, Manager,

Vijaya Dairy, Warangal, for giving me an opportunity to do project and
helping me in carrying out my project.

I would like to thank our Principal Dr. P. NAGESWARA REDDY

for permitting me to do the project. I am highly indebted to my Head,
Department of Business Management Mr. K. SHARATH BABU for his
immense support in completing the project.

I am highly thankful to Mr. R. RAMESH, Asst. Professor for his

valuable guidance throughout my project work.

I also thank my parents, friends and all those who directly or

indirectly extended their support in completion of my project.

SUNIL KUMAR R

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 INTRODUCTION

Everyday we are coming across with television advertisements, newspaper

commercial direct mails and sales calls. Someone is always trying to sell something.

Anything that can be offered to a market for attention, acquisition use or

consumption that might satisfy want or a need it includes physical object, services and
persons places, organization and ideas.

To satisfy their needs and wants of the people who are depending on market where
transaction take place.

People are participating in marketing by satisfying their needs and wants through
exchange. Exchange is an act obtaining a desired object from someone by offering and
something in returns.

Marketing is a social and managerial process by which individuals and groups

obtain what they want and need through creating and exchanging products and values with
others. Activities such as product development research. Communication, distribution,
pricing and services are Core Marketing activities

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 If a market do good job of understanding consumer needs, develop products.That
provide superior values and prices, distribution and promotes them effectively, these
products will sell very easily.

Peter F Drucker: A Leading Management thinker put them in this way, “Aim of
marketing is to make selling superfluous. The aim is to know and understand the customer
so well that the product or service fits and sells itself. Outstanding Marketing companies
stay close to customer”.

Duddy &Rerzon: “Marketing is the economic process by mean of which goods and
services are exchanged and their values determined in terms of money prices”.

American Marketing Association : “ Marketing is the process of planning and executing

the conception, pricing, promotion and distribution of ideas, goods , services to create
exchanges that satisfy individual and organizational goals “

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 INTRODUCTION TO CONSUMER BUYING BEHAVIOR

An important part of the marketing process is to understand why a customer or buyer

makes a purchase. Without such an understanding, businesses find it hard to respond to the

customer’s needs and wants.

Marketing theory traditionally splits analysis of buyer or customer behaviour into two

broad groups for analysis – Consumer Buyers and Industrial Buyers

Consumer buyers are those who purchase items for their personal consumption

Industrial buyers are those who purchase items on behalf of their business or

organization. Businesses now spend considerable sums trying to learn about what makes

“customers tick”. The questions they try to understand are:

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 •Who buys?

•How do they buy?

•When do they buy?

•Where do they buy?

• Why do they buy?

For a marketing manager, the challenge is to understand how customers might respond to

the different elements of the marketing mix that are presented to them.

If management can understand these customer responses better than the competition, then it

is a potentially significant source of competitive advantage.

Definition of Buying Behavior

Buying Behavior is the decision processes and acts of people involved in buying and

using products.

Need to understand:

 Why consumers make the purchases that they make?

 What factors influence consumer purchases?

 The changing factors in our society.

A firm needs to analyze Purchase behavior for:

 Buyers reactions to a firms marketing strategy has a great impact on the firms
success.
 The marketing concept stresses that a firm should create a Marketing Mix (MM)
that satisfies (gives utility to) customers, therefore need to analyze the what, where,
when and how consumers buy.
 Marketers can better predict how consumers will respond to marketing strategies.

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Stages of the Consumer Buying Process

Six Stages to the Consumer Buying Decision Process (For complex decisions).
Actual purchasing is only one stage of the process. Not all decision processes lead to a
purchase. All consumer decisions do not always include all 6 stages, determined by the
degree of complexity.

The 6 stages are:

1. Problem Recognition(awareness of need)

Difference between the desired state and the actual condition. Deficit in assortment
of products. Hunger--Food. Hunger stimulates your need to eat.
Can be stimulated by the marketer through product information--did not know you
were deficient? I.E., see a commercial for a new pair of shoes, stimulates your
recognition that you need a new pair of shoes.

2. Information search

o Internal search, memory.

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o External search if you need more information. Friends and relatives (word of
mouth). Marketer dominated sources; comparison shopping; public sources etc.
o A successful information search leaves a buyer with possible alternatives, the
evoked set.
o Hungry, want to go out and eat, evoked set is
o Chinese food
o Indian food

3. Evaluation of Alternatives

Need to establish criteria for evaluation, features the buyer wants or does not want.
Rank/weight alternatives or resume search. May decide that you want to eat something
spicy, Indian gets highest rank etc. If not satisfied with your choice then return to the
search phase. Can you think of another restaurant? Look in the yellow pages etc.
Information from different sources may be treated differently. Marketers try to
influence by "framing" alternatives.

4. Purchase decision

Choose buying alternative, includes product, package, store, method of purchase

etc.

5. Purchase

May differ from decision, time lapse between 4 & 5, product availability.

6. Post-Purchase Evaluation

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 Outcome: Satisfaction or Dissatisfaction. Cognitive Dissonance, have you made
the right decision. This can be reduced by warranties, after sales communication etc.
After eating an Indian meal, may think that really you wanted a Chinese meal instead.

Types of Consumer Buying Behavior

Types of consumer buying behavior are determined by:

 Level of Involvement in purchase decision. Importance and intensity of interest in a

product in a particular situation.
 Buyers level of involvement determines why he/she is motivated to seek
information about a certain products and brands but virtually ignores others.

The four types of consumer buying behavior are:

 Routine Response/Programmed Behavior

Buying low involvement frequently purchased low cost items; need very little
search and decision effort; purchased almost automatically. Examples include soft
drinks, snack foods, milk etc.

 Limited Decision Making

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 Buying product occasionally. When you need to obtain information about
unfamiliar brand in a familiar product category, perhaps. Requires a moderate amount
of time for information gathering. Examples include Clothes--know product class but
not the brand.

 Extensive Decision Making/Complex high involvement

Unfamiliar, expensive and/or infrequently bought products. High degree of

economic/performance/psychological risk. Examples include cars, homes, computers,
education. Spend a lot of time seeking information and deciding. Information from the
companies MM; friends and relatives, store personnel etc. Go through all six stages of
the buying process.

 Impulse buying, no conscious planning.

The purchase of the same product does not always elicit the same Buying Behavior.
Product can shift from one category to the next.

For example:

Going out for dinner for one person may be extensive decision making (for someone
that does not go out often at all), but limited decision making for someone else. The reason
for the dinner, whether it is an anniversary celebration, or a meal with a couple of friends
will also determine the extent of the decision making.

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Factors that influence the Consumer Purchase Decision making Process

A consumer, making a purchase decision will be affected by the following three

factors:

1. Personal
2. Psychological
3. Social

The marketer must be aware of these factors in order to develop an appropriate MM for
its target market.

Personal
Unique to a particular person. Demographic Factors. Sex, Race, Age etc.
Who in the family is responsible for the decision making. Young people purchase things
for different reasons than older people.

Psychological factors

Psychological factors include:

Motives: A motive is an internal energizing force that orients a person's activities toward
satisfying a need or achieving a goal. Actions are effected by a set of motives, not
just one. If marketers can identify motives then they can better develop a
marketing mix.

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 MASLOW hierarchy of needs!!

o Physiological
o Safety
o Love and Belonging
o Esteem
o Self Actualization

Need to determine what level of the hierarchy the consumers are at to determine
what motivates their purchases. Motives often operate at a subconscious level therefore are
difficult to measure.

Perception

What do you see? Perception is the process of selecting, organizing and interpreting
information inputs to produce meaning. IE we chose what info we pay attention to,
organize it and interpret it. Information inputs are the sensations received through sight,
taste, hearing, smell and touch.

Selective Exposure

Select inputs to be exposed to our awareness. More likely if it is linked to an event,

satisfies current needs, intensity of input changes (sharp price drop).

Selective Distortion

Changing/twisting current received information, inconsistent with beliefs.

Advertisers that use comparative advertisements (pitching one product against another),
have to be very careful that consumers do not distort the facts and perceive that the
advertisement was for the competitor. A current example...MCI and AT&T...do you ever
get confused?

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Selective Retention

Remember inputs that support beliefs, forgets those that don't. Average supermarket
shopper is exposed to 17,000 products in a shopping visit lasting 30 minutes-60% of
purchases are unplanned. Exposed to 1,500 advertisements per day. Can't be expected to be
aware of all these inputs, and certainly will not retain many.

Ability and Knowledge

Need to understand individual’s capacity to learn. Learning, changes in a person's

behavior caused by information and experience. Therefore to change consumers' behavior
about your product, need to give them new information re: product...free sample etc. When
making buying decisions, buyers must process information. Knowledge is the familiarity
with the product and expertise.

Inexperience buyers often use prices as an indicator of quality more than those who
have knowledge of a product. Non-alcoholic Beer example: consumers chose the most
expensive six-pack, because they assume that the greater price indicates greater quality.

Learning is the process through which a relatively permanent change in behavior

results from the consequences of past behavior.

Attitudes

Knowledge and positive and negative feelings about an object or activity-maybe

tangible or intangible, living or non- living.....Drive perceptions

Individual learns attitudes through experience and interaction with other people.
Consumer attitudes toward a firm and its products greatly influence the success or failure
of the firm's marketing strategy.

Attitudes and attitude change are influenced by consumers personality and lifestyle.

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 Consumers screen information that conflicts with their attitudes. Distort information to
make it consistent and selectively retain information that reinforces our attitudes. IE brand
loyalty.

There is a difference between attitude and intention to buy (ability to buy).

Personality

All the internal traits and behaviors that make a person unique, uniqueness arrives from
a person's heredity and personal experience. Examples include:

o Compulsiveness
o Dogmatism
o Self confidence
o Friendliness
o Adaptability
o Ambitiousness
o Authoritarianism
o Introversion
o Extroversion
o Aggressiveness
o Competitiveness.

Traits effect the way people behave. Marketers try to match the store image to the
perceived image of their customers.

There is a weak association between personality and Purchase Behavior, this may be
due to unreliable measures. Nike ads. Consumers buy products that are consistent with
their self concept.

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Lifestyles

Recent US trends in lifestyles are a shift towards personal independence and

individualism and a preference for a healthy, natural lifestyle.

Lifestyles are the consistent patterns people follow in their lives.

Example healthy foods for a healthy lifestyle. Sun tan not considered fashionable in US
until 1920's. Now an assault by the American Academy of Dermatology.

Social Factors

Consumer wants, learning, motives etc. are influenced by opinion leaders, person's
family, reference groups, social class and culture.

Opinion leaders

Spokespeople etc. Marketers try to attract opinion leaders...they actually use (pay)
spokespeople to market their products. Michael Jordon (Nike, McDonalds, Gatorade etc.)
Can be risky...Michael Jackson...OJ Simpson...Chevy Chase

Roles and Family Influences

Role...things you should do based on the expectations of you from your position within
a group.People have many roles. Husband, father, employer/ee. Individuals role are
continuing to change therefore marketers must continue to update information.

Family is the most basic group a person belongs to. Marketers must understand:

o That many family decisions are made by the family unit

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 o Consumer behavior starts in the family unit
o Family roles and preferences are the model for children's future family (can
reject/alter/etc)
o Family buying decisions are a mixture of family interactions and individual
decision making
o Family acts an interpreter of social and cultural values for the individual.

The Family life cycle: families go through stages, each stage creates different consumer
demands:

o Bachelor stage...most of BUAD301

o Newly married, young, no children...me
o Full nest I, youngest child under 6
o Full nest II, youngest child 6 or over
o Full nest III, older married couples with dependant children
o Empty nest I, older married couples with no children living with them, head in
labor force
o Empty nest II, older married couples, no children living at home, head retired
o Solitary survivor, in labor force
o Solitary survivor, retired
o Modernized life cycle includes divorced and no children.

Reference Groups

Individual identifies with the group to the extent that he takes on many of the values,
attitudes or behaviors of the group members. Families, friends, sororities, civic and

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professional organizations. Any group that has a positive or negative influence on a persons
attitude and behavior.

Social Class

An open group of individuals who have similar social rank. Criteria: Occupation,
Education, Income, Wealth, Race, Ethnic groups and possessions.

Social class influences many aspects of our lives. I.e., upper middle class prefer luxury
cars Mercedes.

o Upper -upper class, .3%, inherited wealth, aristocratic names.

o Lower-upper class, 1.2%, newer social elite, from current professionals and
corporate elite
o Upper-middle class, 12.5%, college graduates, managers and professionals
o Middle Americans-middle class, 32%, average pay white collar workers and blue
collar friends
o Working class, 38%, average pay blue collar workers
o Lower Americans-lower class, 9%, working, not on welfare
o Lower-lower class, 7%, on welfare

Social class determines to some extent, the types, quality, and quantity of products
that a person buys or uses.

Lower class people tend to stay close to home when shopping, do not engage in
much prepurchase information gathering. Stores project definite class images.

Family, reference groups and social classes are all social influences on consumer
behavior. All operate within a larger culture.

Culture and Sub-culture

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 Culture refers to the set of values, ideas, and attitudes that are accepted by a
homogenous group of people and transmitted to the next generation. Culture also
determines what is acceptable with product advertising. Culture determines what
people wear, eat, reside and travel. Cultural values in the US are good health,
education, individualism and freedom. In American culture time scarcity is a growing
problem. IE change in meals. Big impact on international marketing.

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 NEED AND IMPORTANCE OF THE STUDY

India is wide and large country, which is highly concentrated in rural society and spread

over 5, 65,742 villages, which is nearly about 70% of the overall population. Agriculture is

the main income source. Dairying is complementary to Agriculture income and playing

important role in the stability of rural economy. The cow was adored as the deity

Kamadenu with its milk as nectar for human life.

Milk and its product depute an important and compulsory part of daily life. From early ages

of human life milk is considered as the most significant and complete food among all the

food products. Milk gives energy, body building proteins, bone forming minerals, vitamins,

Lactose, fast and fatty acids, etc. Besides providing certain essential fatty acids, it contains

nutritional components for easy assimilation of food and digestion.

All these properties make milk an important food product in the universe.

As Indian Economy is predominantly agricultural dependent, Dairy and Animal Husbandry

from an important activity of its Economy. This dairying activity constitutes 10% of total

G.D.P. Agriculture being a seasonal activity it cannot give regular income throughout the

year certain activities like dairying, sheep rearing, poultry, etc. are taken up. Major part of

the milk is produced in rural areas, but the demand for milk is mainly from the urban area.

Urban consumers receive milk through private milk vendors who collect milk from rural

areas i.e. village.

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Dairy in India was not in an organized manner till 1895. There were military dairies until

1940 with modern processing facilities like that of pilot dairy at Anand.

After independence in 1947 greater “Bombay Milk Scheme” was started and Airey milk

colony was established. Milk was supplied from Kaira District Co-operative Milk Producer

Union known as “Anand Milk Union Limited (AMUL)” to greater Bombay Milk Scheme.

In 1951, Government started ‘Key Village Scheme’ to improve the productivity intensive

cattle development productivity of milk cattle under Five Year plan Scheme. Productivity

intensive cattle development Project was started through scientific breeding, feeding and

right management practices.

In 1960, under the pattern of greater “Bombay Milk Scheme” some state Governments in

India started milk supply schemes procuring milk from rural areas paying remunerative

price to the milk producers. Then dairying acquired national level recognition.

India has the largest cattle and buffalo population but its share of the milk production is

10% only. In India, the average animal milk capacity per cow is only 150 liters per year

and buffalo 50 liters per year. In some countries due to dairy development activities, the

average milk production per cow is 300 liters to 400 liters per year. In India at present the

level of milk consumption is only 19 ml per head while a healthy person requires at least

21ml daily.

In India, many problems arise in marketing of the milk. The main problems are lack of

adequate and timely supply of milk, poor quality and adulteration of milk leakage of

packets, high and low discrimination of prices.

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Government of India adopts several measures to improve the marketing system, quality and

sales of milk in rural as well as in urban areas. Consequently, today most of the urban areas

covered by Dairy Co-operative Societies of their respective states.

Recognizing the nature of business, the dairy industry concerted into a commercial

institution of AP Dairy Development Corporation Limited in 1974. With a mission of

industrializing rural dairying, tapping and promoting the dairy industry with greater

development opportunities to the people of Andhra Pradesh.

Because of the changing scenario in the competitive environment in the last five years, the

role of Government and voluntary organization has been limited with a major focus on

private industry. Governing companies like Heritage, Cream line dairy, Ravila etc. The role

of NDDC and Vijaya Dairy has been subsided.

Keeping this in view and devised an effective marketing strategy for Vijaya Dairy with a

competitive orientation. “Warngal and Hanamkonda Milk Producer Co-operative Union

Limited” is one of the unit of Andhra Pradesh Dairy Development Co-operative Federation

Limited is selected.

OBJECTIVES OF THE STUDY

This project is based on the study on consumer buying behavior towards “Vijaya Dairy

Milk”.

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  The Main objective of the study is to know the consumer purchase behavior

towards Vijaya Dairy milk

 The study is to find out the various attributes in a product which results in purchase

 To identify level of consumer satisfaction and the consumer needs

 To study the factors affecting the consumer buying behavior

To offer pertinent suggestions to the company in understanding consumer behavior

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SCOPE OF THE STUDY

As learning is a human activity and is as natural, as breathing. Despite of the fact that

learning is all pervasive in our lives, psychologists do not agree on how learning takes

place. How individuals learn is a matter of interest to marketers. They want to teach

consumers in their roles as their roles as consumers. They want consumers to learn about

their products, product attributes, potential consumers benefit, how to use, maintain or even

dispose of the product and new ways of behaving that will satisfy not only the consumer’s

needs, but the marketer’s objectives.

The Scope of My study restricts itself to the analysis of consumer buying behavior, with

special reference from “VIJAYA DAIRY MILK”, Warangal. The scope of my study is also

restricts itself to Warangal region only. And the study depends on psychological aspects

and the opinions may differ from one consumer to another.

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RESEARCH METHODOLOGY

This chapter describes the methodology of the study. This project is based on information

collected from primary sources. After the detailed study, an attempt has been made to

present comprehensive analysis of consumption of Vijaya Dairy Milk consumed by the

people. The data had been used to cover various aspects like consumption, consumer

buying behaviour and customer’s satisfaction regarding Vijaya Dairy Milk. In collecting

requisite data and information regarding the topic selected, I went to the residents of

Warangal and collected the data.

Survey design:

The study is a cross sectional study because the data were collected at a single point of

time. For the purpose of present study a related sample of population was selected on the

basis of convenience.

Sample Size and Design:

A sample of 100 people was taken on the basis of convenience. The actual consumers were

contacted on the basis of random sampling.

Research Period:

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 Research work is only carried for 5 or 6 weeks.

Research Instrument:

This work is carried out through self-administered questionnaires. The questions included

were open ended, dichotomous and offered multiple choices.

Data Collection:

The data, which is collected for the purpose of study, is divided into 2 bases:

 Primary Source: The primary data comprises information survey of “Consumer

Buying Behavior towards Vijaya Dairy Milk”. The data has been collected directly

from respondent with the help of structured questionnaires.

 Secondary source: The secondary data was collected from internet, References

from Library.

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Limitations of the Study:

 The survey is restricted to Warangal tri cities only.

 Since the Sample size is 100 and the data may not represent the accurate results.

 The views expressed by the consumers may not be 100% accurate.

 The time period of the project is only six weeks, which may not be sufficient for the

study

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 DAIRY INDUSTRY

In the history of world dairying, the year 1998 has been a lucky year for India. We

have just emerged as the highest milk producing country in the world and that too in

the 50th year of our independents. Increasing the annual milk production from 20

million tones in 1970 to around 14 million tones in 1998 is no mean achievement.

Infact, it is unique success story of India’s dairy development contributed by the small

holders.

Our country has the largest bovine population in the world (195 million cattle and 77

million buffaloes). The results of White Revolution are quite visible with our per

capital milk consumption rising to 210 g per day inspite of the ever increasing human

population. All the has largely been a developmental agency of governmental, non-

governmental and cooperative institutions.

Indian deriving has over the years created an identify of its own. It has also succeeded

in having a competitive edge due, to its low-investment, energy-efficient, cost

Effective production system. A recent survey conducted by the Food and Agriculture

Organization (FAO) of the United Nations has declared India as the top milk producer

in the world, surpassing USA. The credit for enabling India to reach this milestone

goes to millions of small and marginal farmers and land less labourers for their untiring

efforts and the institutional support provided by the National Dairy development board

under the Operation flood Programmed. Here, a noteworthy aspect is that India has

achieved this coveted position without giving any incentive or subsidy to it dairy

farmers unlike most of the developed dairying nations.

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 The dairy sector provides round-the-year employment which no other agri business

can do. Besides, it also provides a safety net to the weaker sections of our society. But

unfortunately this sector’s contribution to the Indian economy and its growth potential have

not yet been properly recognized. The industrial sector has been regularly receiving

several forms of subsidies and incentives since independence. The agriculture sector too

has its own share of privileges and subsidies. But, if one goes through the budgetary

allocations of all the plans made so far, dairying’s share is too insignificant as compared to

any other sectors. And, never any special incentive was given to it. The dairy sector is

also deprived of the special banking support as is provided to the industrial as well as

agriculture sectors.

EMERGING WORLD SCENARIO (Dairy Industry)

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Dairy Industry in the Emerging world Scenario:

Dairying has played a prominent role towards household nutrition security and also

in strengthening our rural economy. It has been organized as an instrument to bring about

socio-economic transformation. Also the dairying sector has helped national economy by

emerging as the largest milk producer in the world. The import dependent Indian dairying

soon become not only self sufficient but also poised for an export oriented dairying nation.

This has been primarily attributable to the implementation of the Operation Flood

Programme launched in 1970 under the aegis of the National Dairy Development Board.

The architect of the quite Revolution Dr. Kurien deserves special compliments.

However, the gains of the White Revolution achieved through the cooperative

networking of the small and marginal farmers, and land less labourers are needed to be

sustained to cope with the rapid transformation that are now taking place consequent to the

GATT Agreement and establishment of the World Trade organization (WTO). In future,

international trade will be strongly regulated by the WTO regime. New ever and stricgter

Sanitary and Phytosanitary Standards are being framed for regulating quality standards.

Under these circumstances, our practices for production and processing milk cannot stay at

variance with the international standards.

EMERGING WORLD SCENARIO:

The Uruguay Round of Multi-lateral Trade Negotiations signed on 15th April. 1994 us well

as General Agreement on Tariffs and Trade (GATT) the world economies are swiftly

31
gearing to adjust with the situation arising due to the withdrawal of trade subsidies. The

major dairying countries of the world, which had heavily relied on these subsidies, are now

readjusting their internal economies in order to produce milk at the competitive price. One

sound economic principle guiding the trade globally is, "if a commodity cannot be

produced at competitive prices, it is wiser to import". Since such changes were anticipated,

most of the European Nations had the acumen of streamlining their economies long back.

The Eastern Europe has consciously reduced production of milk from 39 MT in 1991 to 35

MT in 1998. In the same period, West Europe has reduced milk. Production from 129 MT

to 126 MT. Several other adverse factors, such as the perceived image of production has

led to a decrease in butter production on a global basis. The world production of butter has

declined from 5.03 MT in 1991 to 5.01 in 1997. Withdrawal of subsidies coupled with

reduced demand of skim milk powder has led to the decline of its production from 1500

MT to 1100 MT. It is paradoxical that as a global impact of GATT, EU has resorted to

conscious reduction of domestic milk production, even though the demand for cheese and

whole milk is rising. Consequently, to fill up this gap, world trade of cheese has gone up

from 950MT to 1300 MT during 1993-96. There has also been an increased from 1050 MT

to 1300 MT in the global of whole milk Powder.

EMERGING TRENDS IN MILK PROCESSING:

With the changing declining trends in the domestic/export markets as well as profits

for conventional dairy products, such as milk powder, butter etc., need for product

diversification that permits value addition, long life-cycle and greater income has become

quite obvious. Growing awareness towards the beneficial role of milk and milk products in

32
maintaining normalcy of human health has led to the development of a new range of

functional floods, also called 'health foods' or 'nutraceutical' or even 'mood

elevating/refreshing foods'. It is widely recognized that components derived from milk such

as immunoglobulin, lactoperoxidase, lactoferrin, lysozyime, vitamin binding proteins etc,

play an 'extra nutritional' which are formed during the passage through digestive tract.

Fermented milk products such as yogurt in particular provide beneficial microbes, which

favorably influence the microbial ecology of the gut-system. These, in turn, effect various

biochemical functions to protect human health. Biotechnology has been successfully

employed to develop genetically modified strains of dairy cultures that tend to reduce risks

of enteric infections, hypercholestemia,, rate of proliferation of an cancer cells as well as

augment immune system besides offering may other health promoting attributes. The dairy

industry in advanced countries is rapidly diversifying its product mix to produce arrange of

dairy foods that is targeted to reduce the role of medicine in maintaining normalcy of dairy

foods that is targeted to reduce the role of medicine in maintaining normalcy of human

health. Japan the world leader in this sector. where the current market of US$ 5.5 billion is

still last growing. In the USA 11 billion. Hence, biotechnology, Bioengineering and food

science offers new opportunities to Industry, which we must capitalize through, required

R&D efforts, both in the public and private sectors.

Dairy industry is also fast diversifying to develop special food ingredients derived

from milk. Which can be deployed advantageously to improve the sensory quality

attributes. These include fractionated casemates whey protein concentrates, enzymatic

hydrolyses prepared by employing innovative energy efficient unit processes. Packaging is

another area, which is receiving intensive R&D inputs for developing low cost,

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biodegradable materials to prevent further damage to the environment and ensure greater

food safety.

However, greater challenge lie before the Indian dairy industry in modernizing the

unorganized sector engaged in the preparation of wide range of indigenous milk products.

Intensive scientific, R&D and financial input are necessary to develop industrial

manufacturing and packaging system. Apart from the development of

continuous/mechanized systems for industrial production of ghee, khoa, gulabjamun,

shrikhand and burfi, very little progress had been made in this area. The weakest link is in

developing appropriate packaging systems that may conform to the international standards

of product safety, shelf life and labeling requirements. It is in this context, India is yet to

take advantage of UHT technology, which could otherwise help in minimizing post-harvest

losses and also accord greater physical access in remote and difficult areas.

34
INDIA’S CHANGING SCENARIO (Dairy industry)

India's competitiveness:

Livestock sector is the backbone of India's economy in terms of income

employment equality sustainability and foreign exchange earnings. By virtue of traditional

practice of utilizing the crop resides as feed for the milk animals, India has been able to

achieve milk production of 70 million MT at a very competitive 'Farm Gate Milk Price’ on

global basis. India enjoys competitive edge over Newzealand, Australia and the USA of

being able to produce milk at a lower cost. Livestock products have registered a compound

growth rate of 5.26% per annum, during the preceding decade. Milk and milk products

account for 66% of the total value of livestock products. Another noteworthy feature of

Indian dairy scenario is that all the milk is produced by a very large number of milk

animals having low productivity. Thus, only marginal improvement ion animal

productivity is capable of making a substantial impact. On the other hand. in the

technologically advanced countries, even small targets for increased milk production

present major challenge, since animals have already attained their maximum genetic

potential and the production systems have also been optimized.

India has well-organized dairy infrastructure of 7,800 rural milk cooperatives and a

processing capability of abut 12million litre per day in about 280 dairy plants. India has a

strong HRD capability to meet the multi sectoral requirement of the dairy industry. India

has generated very valuable experience and competence in treopical dairying, which can

serve as model for developing countries. In particular, India has developed a very precious

R & D reservoir for buffalo; milk processing. This provides opportunities for export of

35
technologies to partner countries through an integrated approach for accessing

remunerative markets.

With the liberalization of world economies, Indian dairy industry has also ventured

to explore the export markets. A rather modest, beginning has been made through exports

of milk powders, being Rs. 318.5 to 22 countries, mainly Bangladesh, Srilanka, Nepal,

UAE, the Philippines and the Netherlands

PROSPECTS OF CHEESE PRODUCTION IN INDIA

Cheese has the potential of emerging as the No. 1 dairy product in India, with its

present estimated demand of 1800 tones projected to rise to 30000 tonnes by 2000 AD. The

global cheese market is also beckoning the Indian producers. For, after the WTO enforced

withdrawal of the milk producer subsidy, European producers would Fine it difficult to

market cheese at competitive prices.

Prospects of cheese production in India is quite bright. This is because of the fact

that cheese has all the attributes of an ideal dairy product. Cheese is a fermented dairy

product. Fermentation has occupied a place of pride in the food preservation practices from

time immential. It improves nutritional value and enriches the flavor, body and texture of

the product. Fermented milk products have been reported to have therapeutic.

Anticarcinogentic and anticariogenic properties.

Cheese represents a balanced food with concentrated from of energy and good

quality? protein. As such, it is only food, which could prove to be an appropriate substitute

to non-vegetrial diet. Cheese has high food and nutritive value. It is an excellent source of

high quality protein, rich source of calcium and phosphorous, an excellent source of several

36
fat-soluble vitamins. To consumers, it provides good nutrition, variety. Convenience for

use. Portability, food safety and novelty of flavor and texture.

Process cheese spread and slices have proved to be an ideal bread-mate. The

consumption of bread is increasing very fast in India. Butter, the traditional spread for

bread, is not avoided because of its high fast content. The other conventional spread like

jam and jelly are considered as junk food. Thus it is the cheese, which can provide

nutritionally sound spread for bread.

STEPS INVOLVED:

Milk is procured from the farmers by the dairy units and goes through various tests

and processed to obtain good satisfactory results from the consumers. It involves the

following steps.

 Testing

 Chilling

 Pasteurization and chilling

 Packaging

TESTING:

37
Milk procured undergoes through various tests such as:-

 Ph Test: The Ph value gives the measure of the time acidity of milk. Generally ph

ranges from 6.6-6.8. milk over ph 6.9 is considered as suspicious of disease or

lactation of milk.

 Acidity Test: It is used lo find out the quality and heat stability of milk

and also to check the content of lactic acid present in it.

 Sedimental Test: It presents a rapid and quantitative means indicating the cleanliness

of milk as regards to visible dirt.

 Alcohol Test: It is made to detect whether milk has tendency to curdle during the

sterilization process.

 On Boiling Test (COB): COB test is meant to have final confirmation of the quality of

milk. Since, with high acidity and salt content clots on boiling due to precipitation of

protein it is rejected.

 Fat test: It is conducted to estimate the fat percentage present in the milk that

is procured form the farmers.

CHILLING:

Milk procured from various areas throughout the settle from framers is brought to

their respective dairy units by solo milk tanker, where the milk is chilled. Milk is chilled to

very low temperatures so that it last longer and does not perish. This is very important for

milk storage, as it can be stored at very low temperatures only.

PASTEURIZATION AND CHILLING:

38
 Pasteurization is a process where milk is churned at. high speed and sterilized by

heating at high temperatures. Here the milk is made free from derived amount of fats,

edible oils and also disease causing germs after pasteurization process. Chilling process

takes place for longer storage of milk.

PACKAGING:

It is a technique of using most appropriate container to protect, carry, identify and

merchandise any product. Manufacturer desires his product to reach in safe delivery to the

consumers through the various stages of ; manufacture, storage, transport, distribution and

marketing. The packaging of any product is judged as follow:

 It must protect and preserve the commodity until it reaches the consumers.

 It must be suitable for selling and distribution system.

 It must attractive to the consumer.

 Easy to open, store and dispose.

 Reasonable in cost.

39
ATTRIBUTES

Many products are obtained from milk. They are:

 CREAM: It is obtained from cow or buffalo milk or of a combination there of

which separated from it by means of centrifugal force, where milk is rotated at the high

speed with which, the cream moves away from the axis. This cream is generated during

the rotation and is taken from the sides of the separator. Generally the fat content in the

cream is of the 25% taken from the sides of the separator. Generally the fat content in

the cream is of the 25%.

 BUTTER: Butter is a fat rich product containing about 80% of milk fats while the

rest is a water, salt curd and also colour is added to some types of the butter and

cooking butter.

 GHEE : It is the most important ingredient- in day life of nay Indian. Ghee is the pure

clarified fat derived solely from milk or curd or from desibuytter or from cream to

which no coloring or preservative is added. It is obtained by pre-stratification method

i.e.. Rise in temperature of milk to I 10-120c. the shelf life is 6 months only.

 CHEESE: It is obtained by draining after coagulation of milk with a harmless milk

cultures. It has a minimum of 42% of milk fat. The most common cheese used is the

cheddar cheese. It is hard, ripened cheese made from pasteurized milk to which small

amount of lactic is added. The shelf life of cheese is 4-6 months only.

40
 FROZEN PRODUCTS: The most common frozen products that water one's mouth

arc ice creams, kulfi and choc-bar. These are obtained from cow or buffalo milk or

combination there of or from cream. They have 10% milk fat and are prepared with

mixtures of dry fruits of nuts or both to have an excellent taste. These frozen products

are cooled below 4c only. The shelf life of froze products l-2rnonths only.

INDIGENOUS DAIRY PRODUCTS;

 PANEER: It is obtained from cow or buffalo milk or combination thereof by

precipitation with sour milk and lactic acid. The milk fat content is a minimum of 50%

of the product.

 KHOA: It is obtained from cow or buffalo milk or a combination there of by rapid

drying. The milk fat content in a khoa is 20% product.

 DAHI : Dahi or commonly called curd is obtained from boiled milk by souring,

natural or otherwise, by a harmless lactic acid or bacterial culture.

 DRIED MILK : It is milk powder, which is prepared by spray drying of

fresh skimmed milk of cow or buffalo or a mixture thereof. It when mixed with water

becomes milk. Its shelf life is up to a period of 9 months.

41
SALES:

India is currently the second largest milk producer in the world after the USA milk

production has increased from 23 m MT in the years 1972-73 to 58.6 m MT in 1992-93 i.e

a rise of 150% over a period of 20 years, this phenomenal rise of the dairy sector in Indian

can largely be attributed to the successful implementation of the "operation flood" program

space under NDDB.

In AP major quantity of milk is procured from CHITTOR and VIJAYAWADA

districts. During the 'FLESH' season (SEP-MAR) and 'LEAN' season (Apr-Aug) of every

year, maximum and minimum amount of milk is respectively procured, Finally country's

milk export is low due to exploitation of farmers and improper utilization of sources.

VIJAYA DIARY

42
 PROFILE OF WARANGAL DAIRY:

This chapter gives detailed information about the development availability under

taken by Warangal Dairy and the existing management system of Warangal Dairy etc.

It is also contains of a fries profile of Warangal Dairy.

In Warangal districts around 60% of the population depends on agriculture of their

livelihood. It also has a tourist with a range of 3.7 lakhs hectors.

In Warangal district different types of cattle breed are found. There are certain

types of buffaloes in the District, according to the Animal husbandry department. The

buffalo living in Warangal are apart from production of milk, cattle’s are used for

agricultural purpose.

There is a Dairy plant in Warangal town and foremilk chilling centre, each at

Thorrur, Mulugu, Narsampet and Jangaon. Their milk chilling centres collect milk

from collection centres in the villages. The collected milk is chilled at the concerned

chilling centre and it is transported to the Warangal Dairy. The processed milk at

Warangal Dairy is marketed to the milk consumers in the tri-city of Warangal,

Hanamkonda and Kazipet in the form of distribution.

Warangal is considered as Municipal Corporation which covers the entire area of

Warangal city and some sub urban areas like Hasanparthy etc., it covers there towns

mainly Warangal, Hanamkonda and Kazipet. Warangal is considered the centre of

trade while Hanamkonda was famous for Government offices and educational

Institutions. The importance of Kazipet because of it’s being Railway Junction.

43
DAIRY DEVELOPMENT ACTIVITIES IN WARANGAL

DISTRICT:

In Warangal District Organizational attempts to procure and distribute milk in the

year 1968. Milk supply of farmers of Warangal District was formed in Organized Co-

operative sector under the intensive milk supply scheme; these activities were looked

alter by the State Government Department of agriculture and Animal Husbandry.

Under this scheme a medium size of Dairy was sanctioned with a capacity of 12,000

litres per day, when the State Government has established the Dairy development in

1970. Warangal Dairy has bought under its shadow. Again when the state government

established Andhra Pradesh Dairy Development co-operation limited (APDDC LTD)

Warangal Dairy came under their control. The Government of Andhra Pradesh has

decided to implement operation Flood-II Programme in the state. A.P.Organization

structure of APDDCF Ltd., from 1981 onwards. At present Warangal is under the

supervision and control of APDDCF Ltd.

To meet the requirement of procedure as well as consumers in Warangal town, a

bulk cooler is installed at that period with the installation of cooler, milk supply to the

Warangal was started on 10th March 1969. The construction of building and

installation of plant and machinery was completed in 1971. Dairy opening ceremony

was help on September 1971. It was speed over as area of 5 acres and 24 guntas. The

cost of construction was more than Rs. 20 lakhs. An initial stage milk automatic bulk

machine with a capacity of 5,880 bottle per hour was installed. In the year 1982 the pre

packed machined was instandand milk is now being supplied in polythene sachets. At

present there are two pre packed machines functioning each with a capacity of 5000

44
milk sachets per hour. The milk in Warangal is distributed through more than 100-

booth need over the tri-city of Warangal. In addition to this milk is also being supplied

on credit to instructors like hospitals, hotel, Railways, canteen and Central Jail etc.,

Relating to this Warangal Dairy has there Dairy parlors for selling milk products like

whole milk powder, ghee, butter, cheese etc.

OBJECTIVE OF THE WARANGAL DAIRY ORGANIZATION:

45
 Warangal Dairy Organization is using “VIJAYA” Brand labels to sell their

products to the consumers wherein some other states, the Dairy federation is using

“AGMARK” Brand to market their products.

Warangal Dairy is a District level unit and all the policy decisions are taken at the

head office level. Warangal unit is only a functioning unit, which operates the work to

achieve the objection of Dairy federation.

OBJECTIVES OF WARANGAL DAIRY:

 To provide the good market for all rural as well as urban markets.

 To create awareness among Vijaya brand products like milk.

 Supply of pasteurized milk to the people of Warangal, Hanamkonda and Kazipet at

reasonable price.

 To increase the sales by improving the quantity of Vijaya brand milk.

 To avoid the distance and convenience of customer.

 To educate people to buy milk (Vijaya) through advertisement and marketing.

 Fulfillment of social obligation.

DISTRIBUTION METHODS IN WARANGAL DAIRY:

46
 Distribution of milk is done through three methods. They are

- Cash Sales method

- Advance Sales method

- Credit Sales method

The milk sales are being conducted in the tri-cities of Warangal, Hanamkonda and

Kazipet through 98 booths is a Credit Institutions. The sales have reached now up to

15,000 litres per day. For prompting sales of company product the study of consumer

behaviour is inevitable or compulsory. Marketing manager should take decisions

regarding. Brand, discount, packaging, commission, advertising policy, gifts, free

samples etc., by studying consumer behavior.

MILK AND MILK PRODUCTS:

Today APDDCF offers the widest spectrum of milk products in India, under the

brand name “VIJAYA”. These include Ghee, Bhutter, Processed Cheddar, Chese and

Cheese spread, UHT Milk, flavoured milk, slim milk in Tetra packets, sterilized

Cream, Skim milk powder, Dairy Whitener, cooking butter and ice cream. Several

among these carry the Agmark, an attestation of quality by Government of India and

the ISI mark of Bureau of India standards. The brand “VIJAYA” denotes quality &

quality, which makes it a trusted name in millions of house hold across the country.

In addition, APDDCF also manufactures products such as sterilized favour milk,

apnner, Doodh peda and Dairy parlours and a chain of retailers spread across Andhra

Pradesh.

ORGANIZATIONAL STRUCTURE:

47
 With a strong desire to develop the dairy industry in the state, involving the milk

procedures in organizing the procurement production, processing and marketing of the

milk produced in rural areas. For this purpose, the Government of Andhra Pradesh has

taken a decision to convert the Andhra Pradesh Dairy Development Corporation

Limited into Andhra Pradesh Dairy Co-operative Federation Limited (APDDCF LTD)

on 5th September, 1981. For the administrative convenience of APDDCF its

organization structure formed into milk sheds in 25 Districts of Andhra Pradesh. Each

milk shed is under the charge of a Joint Director or a Deputy Director.

State Level Apex Body

District Level APDDCF Unions

Milk Unions

Village Level
Societies

Milk Producers co-op

societies

Three-tier Dairy Co-operative Structure

In Andhra Pradesh the Co-operative sector is having 3 tiers. It is having societies.

Union and federations. They are,

48
  At village level, milk producers Co-operative societies.

 At District level, milk producers Co-operative Unions.

 At State level Co-operative milk producers federation.

Out of 23 Districts of Andhra Pradesh, Operating, Flood-II Programmed is being

conducted in 16 districts. The 7 Districts, which are not covered under this program,

are Adilabad, Karimnagar, Warangal, Khammam, Mahaboobnagar, Nellore and

Ananthapur. This program cannot be adopted in these Districts because their daily

procurement is less than 20,000 liters per day.

Today, Dairy Industry in Andhra Pradesh has emerged as a powerful instrument of

socio-economic change. There are 63 Dairy units in different parts of the state

including 48 milk chilling centres, 9 District Dairies and 6 milk product factories About

6,400 villages co-operative Societies are procuring milk from 11,900 villages among

286 routes. It is estimated that 5 lakhs milk producing families and 24 lakhs consumers

are benefited by the activities of the APDDCF. The dairy Industries concentrating on

increasing the procurement was 636 lakh liters. It is increased to 2.52 lakh liters in the

year 1985-1986 and it has increase enormously in 1992, 1993 to the effort of 8,000 lakh

liters per day. In the present year 2006-07, the dairy industries concerning on the

increasing procurement was above 50, 000, 00 lakh liters per day.

Table 3.1

BRAND OF MILK PREFERRED TO PURCHASE

S.No Brands No. of Respondents % of Respondents

1 Vijaya 35 35%

49
2 Jersey 15 15%
3 Mulkanoor 40 40%
4 Others 10 10%
Total 100 100%

Others
10%

Vijaya
35%

Mulkanoor
40%

Jersey
15%

The above graph depicts that majority of respondents (40%) are prefer the Mulkanoor, 35
of respondents are preferring Vijya Milk.

50
 Table 3.2
MODE OF PURCHASE

S.No Attributes No. of Respondents % of Respondents

1 Milk Vendors 35 35%
2 Milk Dealers 20 20%
3 Retail Stores 45 45%
4 Others 0 0%
Total 100 100%

Others
0%

Milk Vendors
35%
Retail Stores
45%

Milk Dealers
20%

From the above graph, it is observed that 45% of respondents are buying the Milk from

Retail stores, 35% are buying the Milk from Milk Vendors.

51
 Table 3.3

FORM OF MILK FOR CONSUMPTION

S.No Attributes No. of Respondents % of Respondents

1 Loose Milk 35 35%
2 Packet Milk 48 48%
3 Both 17 17%
Total 100 100%

Both, 17
Loose Milk,
35

Packet
Milk, 48

The above graph shows that 48% of respondents are buying the milk in Packet form, 35%

of respondents are in Loose Milk.

52
 Table 3.4

MODE OF COMMUNICATION

S.No CHANNELS No. of Respondents % of Respondents

1 Advertisement 0 0%
2 Retail Stores 75 75%
3 Neighbors / Friends 25 25%
Total 100 100%

Advertisemen
Neighbors / t
Friends 0%
25%

Retail Stores
75%

From the above graph, it is known that 75% respondents are came to know about Milk

from Retail Stores, 25% of respondents are came to know by Neighbor/Friends and

Advertisement.

53
 Table 3.5

QUANTITY OF MILK CONSUMED (DAILY)

S.No Attributes No. of Respondents % of Respondents

1 ½ Lit 45 45%
2 1 Lit 35 35%
3 1 ½ Lit 8 8%
4 2 Lit 12 12%
Total 100 100%

2 Lit, 12

1 ½ Lit, 8

½ Lit, 45

1 Lit, 35

The graph indicates that 45% of respondents are consuming ½ Ltr Milk, 35% of

respondents are consuming 1 Ltr Milk.

54
 Table 3.6

ATTRIBUTES COMPELLING TO PREFER MILK BRAND

S.No Attributes No. of Respondents % of Respondents

1 Margin 35 35%
2 Quantity 30 30%
3 Demand 10 10%
4 Brand Image 25 25%
Total 100 100%

Brand
Image, 25

Margin, 35

Demand, 10

Quantity, 30

The graph depicts that 35% of respondents are compelled to buy the Milk by Margin as

main attribute, 30% of respondents are Quantity as main Attribute.

55
 Table 3.7

PREFERANCE TO BUY THE VIJAYA BRAND FOR EVER

S.No Options No. of Respondents % of Respondents

1 Yes 65 65%
2 No 35 35%
Total 100 100%

No
35%

Yes
65%

The graph depicts that 65% of respondents are willing to continue the Vijaya Milk forever,

35% of respondents are not willing to continue the Vijaya Milk.

56
 Table 3.8

OPINION ON QUALITY OF VIJAYA BRAND MILK

S.No Opinion No. of Respondents % of Respondents

1 Excellent 15 15%
2 Good 35 35%
3 Average 45 45%
4 Poor 5 5%
Total 100 100%

Poor
Excellent
5%
15%

Average
45%
Good
35%

The above graph shows that 45% of respondents are saying Quality of Vijaya Milk is

Average, 35% are saying well.

57
 Table 3.9

PURPOSE OF CONSUMING THE MILK

S.No Attributes No. of Respondents % of Respondents

1 Tea/Coffee 45 45%
2 Feeding Children 30 30%
3 Curd 15 15%
4 All 10 10%
Total 100 100%

All
10%

Curd
15% Tea/Coffe
e
45%

Feeding
Children
30%

The graph depicts that 45% of respondents using the milk for the purpose of Tea/Coffee,

30% are for the purpose of Feeding Children.

58
 Table 3.10

ROLE OF ADVERTISING IN PROMOTING MILK BRANDS

S.No Options No. of Respondents % of Respondents

1 Yes 65 65%
2 No 35 25%
Total 100 100%

No
35%

Yes
65%

Graph shows that 65% of respondents are saying that advertisement plays a role to promote

the milk brands, 35% are saying no.

59
 Table 3.11

PROBLEMS ENCOUNTERED IN USAGE MILK BRAND

S.No Options No. of Respondents % of Respondents

1 Yes 20 20%
2 No 80 80%
Total 100 100%

Yes
20%

No
80%

The graph shows that 20% respondents are facing the problem while consuming of Milk,

80% of respondents are not facing any problem.

60
 Table 3.12(1)

ADOPTION OF OTHER BRAND

Opinion No. of Respondents % of Respondents

YES 95 95%
NO 05 05%
Total 100 100%

IF YES

Table 3.12(2)
Opinion No. of Respondents % of Respondents
Jersey 30 30%
Mulkanoor 50 50%
Others 20 20%
Total 100 100%

NO
5%

Y ES
95%

Others, 20
Jersey, 30

M ulkanoor,
50

The above graphs depicts that 95% respondents are changing their brand and they will

prefer 50% Mulkanoor and 30% of respondents will prefer Jersey.

61
 Table 3.13

OPINION ON PRICE OF VIJAYA MILK

S.No Reasonable respondents percentage

1 yes 75 75%
2 No 25 25%
total 100 100%

No
25%

yes
75%

Most of the people i.e, 75% of people accepted that Vijaya milk price is reasonable.25% of

the people don’t accept the price of Vijaya milk.

62
 Table 3.14

NEED FOR CHANGES IN VIJAYA BRAND Milk

S.No Change Options No. of Respondents % of Respondents

1 Quantity 0 0%
2 Quality 10 10%
3 price 15 15%
4 Service 75 75%
Total 100 100%

Quantity Quality
0% 10%

price
15%

Service
75%

Most of the people i.e, 75% people want changes in Vijaya milk product,15% of the people

want change in price of Vijaya milk.

63
CONCLUSIONS:

 Majority of the respondents are using packet milk.

 Most of the respondents are prefer to purchase Mulkanoor.

 Majority of the respondents are consuming milk for tea/coffee and

feeding children.

 Maximum no of respondents consume ½ liter milk.

 Most of the respondents are preferring packet milk.

 Maximum of the respondents are aware of vijaya milk through kirana, general

stores and neighbors.

 Most of the respondents accepted that vijaya milk price is reasonable.

 Most of the respondents feel that vijaya milk is having quality.

 Majority of the respondents change their brand when vijaya milk not available

in the market.

 Majority of the respondents want changes in vijaya milk product

64
SUGGESTIONS:

1. Vijaya Dairy should concentrate more on quality to improve the sales of product.

2. The Organization should improve the sales of product, more advertising can be

used.

3. Look out for strategies, which will help in being different from the competitors like

having catchy “ PUNCH LINES” which could attract the customers

4. The Vijaya Dairy should improve on availability and distribution of milk

5. The Organization can provide the milk booths to convince the customers in

different locality.

6. As Mulkanoor is consumed by many people so the Vijaya Dairy Milk should

maintain some strategies to improve the Sales in market.

7. Print date of packing on the sachets in order to discourage the supply of old stock

65
 QUESTIONNAIRE

Dear Respondent,

I am student of MBA (Marketing) of BALAJI INISTITUTE OF

TECHNOLOGY & SCIENCES,NARSAMPET,WARANGAL(AP) .I am doing a Project

on “CONSUMER BUYING BEHAVIOR” Towards VIJAYA DAIRY MILK.

PERSONAL INFORMATION

NAME:

AGE:

PLACE:

EDUCATION:

1) WHICH IS THE BRAND OF MILK YOU PREFER TO PURCHASE?

a) Vijaya Dairy
b) Jersey
c) Mulukanooru
d) Other

2) HOW DO YOU GENERALLY BUY THE MILK?

a) Milk Vendors b) Milk dealers c) Milk booths

66
3) IN WHICH FORM YOU WOULD LIKE TO BUY YHE MILK?

a) Loose milk b) Packet milk c) Both

4) HOW DO YOU CAME TO KNOW ABOUT VIJAYA BRAND MILK?

a) Advertisements
b) General Stores
c) Neighbors
d) Others

5) HOW MUCH QUANTITY OF MILK DO YOU CONSUME DAILY?

a) ½ Liter
b) 1 Liter
c) 1 1/2 Liter
d) 2 Liter

6) WHICH ATTRIBUTE COMPELS YOU TO PREFER A PARTICULAR MILK

BRAND?

a) Margin
b) Quantity
c) Demand
d) Brand Image

7) DO YOU PREFER TO BUY THE VIJAYA BRAND FOR EVER?

a) Yes
b) No

8) IF YES/NO PLESE GIVE REASON

____________________________________________________________

9) WHAT IS YOUR REASONS IN QUALITY OF VIJAYA BRAND MILK IS____

a) Excellent

67
 b) Good
c) Average
d) Poor

10) FOR WHICH PURPOSE DO YOU CONSUME THE MILK?

a) Tea / Coffee
b) Feeding Children
c) Curd
d) All
e) Other

11) DO YOU THINK ADVERTISING PLAYS ANY ROLE IN PROMOTING MILK

BRANDS_______

a) Yes
b) No

12) IF YES IN WHAT WAY

____________________________________________________________

13) IS THE PRICE OF THE VIJAYA MILK IS REASONABLE?

(A)Yes (B) No

14). DO YOU NEED ANY CHANGES IN VIJAYA PRODUCT?

(A)Quantity (B) Quality

(C)Price (D) Service

15) DID YOU FACE ANY PROBLEMS WHILE CONSUMING THE VIJAYA

BRAND MILK?

a) Yes
b) No

68
 16) IF YES, PLEASE GIVE REASON / WHAT TYPE OF PROBLEM?

________________________________________________________________
___

17) IF VIJAYABRAND IS NOT AVAILABLE IN YOUR AREA, THEN WILL YOU

CHANGE YPUR BRAND?

(A)Yes (B) No

18) IF YES WHICH BRAND DO YOU PREFER?

(A) Swakrushi (B) Thirumala (C) Vyshnavi

(D) Telangana (E) Mulkanoor (F) Others

19) PLEASE OFFER ANY SUGGESTIONS TO IMPROVE THE QUALITY AND

SALES OF VIJAYA BRAND MILK?

_____________________________________________________________
____

69
 Bibliography

1. Philip Kotler, “Marketing Management”, Pearson Publishers, 12th Edition, New

Delhi.

2. Leon Schifman & Lesile Lazer Kanulk, “Consumer Behavior” Eastern Economy

Edition Publishers 8th Edition, New York.

3. C.R. Kotari, “Research methodology”, Kalyani publishers, New Delhi, 1972.

4. S.J. Bedker and G.C. Berry, “Marketing Research” 1st Edition, Oxford University.

70
References :

www.apdairy.com

www.nddb.com

www.apddcf.govt.in

71