“A SURVEY REPORT ON “Customer Perception Regarding

Change In Price Of FMCG Goods After Implementation Of GST”

Submitted for the partial fulfillment Of the requirement for

POST GRADUATE DIPLOMA IN MANAGEMENT

2018-2020

Submitted to: Submitted By:

Mentor Anupam Shukla Harshita Chauhan

(Associate Professor) PGDM - II

PG/24/034

1
 DECLARATION

I , Harshita Chauhan hereby declare that my report entitled “Customer Perception

Regarding Change In Price Of FMCG Goods After Implementation Of GST ”. is a project
work carried out by me independently. The information presented in the report is correct
to the best of my knowledge and the analysis is as per the norms and guidelines of the
report. I have utilized the required concepts and applied the relevant methodologies to
analyze the data collected to reach the conclusion.

I claim this report to be my indigenous work and have not presented it anywhere else for
any purpose.

Date: Harshita Chauhan

Place: PGDM 2ndSem

PG/24/034

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 ACKNOWLEDGEMENT

I consider this as the best opportunity to thank everyone , who has cooperated with me and
encouraged me to carry out this Survey Report on the Topic “Customer Perception Regarding
Change In Price Of FMCG Goods After Implementation Of GST”.

I express my Sincere thanks and gratitude from the core of my heart to my Mentor Anupam
Shukla(Associate Professor) for his impeccable support through his suggestions and guidance
without which it would been impossible to complete my Survey Report.

Last but not the least , I am highly obliged to all those who helped me directly or indirectly in
completion of this survey report . My seniors , classmates and friends who always encourage me
and help me.

I feel it to be my duty to put it into records with great and inspiration to my reverent Parents for
their constant encouragement , financial, and moral supports throughout the study period.

Last but not least, I specially acknowledge my sincere thanks to all those who love and care for
me.

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Table of Content

CHAPTERS: PAGE NO.

 Introduction 5-8
 Literature Review 9-13
 Objective 14
 Research Methodology 15
 Data Analysis & Interpretation 16-44
 Benefits of Survey 45
 Limitation of Study 46
 Findings 47
 Conclusion 48
 Bibliography 49
 Annexure 50-53

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 INTRODUCTION
The goods and services tax(GST), which is being implemented from 1st July,2017 is proposed to
be a unified tax for the entire nation. the intended objective of GST 2017 is to replace a lot of
other indirect and direct tax like the VAT , SERVICE TAX , Luxury tax. The implementation of
GST is expected to affect consumer behavior in India. This study examine the impact of GST on
the buying behavior of FMCG consumer.

.GST is considered as an indirect tax for the whole nation that would make India one unified
common market. It is a tax which is imposed on the sale, manufacturing and the usage of the
goods and services. It is a single tax that is imposed on the supply of the goods and services,
right from the manufacturer to the customer.

The credits of the input taxes that are paid at each stage will be available in the subsequent stage
of value addition which makes GST essentially a tax only on the value addition on each stage.
The final consumers will bear only the tax charged by the last dealer in the supply chain with the
set of benefits that are at all the previous stages.

It is charged at the national and state level at similar rates for the same products and it also
replaces almost all the current indirect taxes that are imposed separately by the Centre and the
state.

The President of India approved the Constitution Amendment Bill for Goods and Services Tax
(GST) on 8 September 2016, following the bill's passage in the Indian parliament and its
ratification by more than 50% of state legislatures.

This law will replace all indirect taxes levied on goods and services by the central government
and state government and implement GST by April 2017.
The implementation of GST will have a far-reaching impact on almost all the aspects of the
business operations in India
. With more than 140 countries now adopting some form of GST, India has long been a stand-out
exception.
GST is a value-added tax levied at all points in the supply chain, with credit allowed for any tax
paid on input acquired for use in making the supply
. It would apply to both goods and services in a comprehensive manner, with exemptions
restricted to a minimum.
In keeping with the federal structure of India, it is proposed that the GST will be levied
concurrently by the central government (CGST) and the state government (SGST).
It is expected that the base and other essential design features would be common between CGST
and SGSTs for individual states.

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The inter-state supplies within India would attract an integrated GST (IGST), which is the
aggregate of CGST and the SGST of the destination state

The following are the salient features of the proposed GST system:

 The power to make laws in respect of supplies in the course of inter-state trade or
commerce will remain with the central government. The states will have the right to levy
GST on intrastate transactions, including on services.
 The administration of GST will be the responsibility of the GST Council, which will be
the apex policy-making body for GST. Members of GST Council will comprise central
and state ministers in charge of the finance portfolio.
 The threshold for levy of GST is a turnover of Rs. 1 million. For a taxpayer who conducts
business in a northeastern state of India the threshold is Rs. 500,000.
 The central government will levy IGST on inter-state supply of goods and services.
Import of goods will be subject to basic customs duty and IGST.
 GST is defined as any tax on supply of goods and services (other than on alcohol for
human consumption).
 Central taxes such as central excise duty, additional excise duty, service tax, additional
custom duty and special additional duty, as well as state-level taxes such as VAT or sales
tax, central sales tax, entertainment tax, entry tax, purchase tax, luxury tax and octroi will
be subsumed in GST.
 A provision will be made for removing imposition of entry tax/ octroi across India.
 Entertainment tax, imposed by states on movies, theatre, etc., will be subsumed in GST,
but taxes on entertainment .

 Stamp duties, typically imposed on legal agreements by states, will continue to be levied.
 The key benefits associated with GST are:
 Offers a wider tax base, necessary for lowering tax rates and eliminating classification
disputes
 Eliminates the multiplicity of taxes and their cascading effects
 Rationalizes the tax structure and simplifies compliance procedures
 Automates compliance procedures to reduce errors and increase efficiency

With GST, it is anticipated that the tax base will be comprehensive, as virtually all goods
and services will be taxable, with minimum exemptions.

GST would bring in a modern tax system to ensure efficient and effective tax
administration.

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 It will bring in greater transparency and strengthen monitoring, thus making tax evasion
difficult. While the process of implementation of GST unfolds in the next few months,

it is important for industry to understand the impact and opportunities offered by this
reform. GST will affect all industries, irrespective of the sector.

It will impact the entire value chain of operations, namely procurement, manufacturing,
distribution, warehousing, sales and pricing.

For checking the customer perception regarding change in price of FMCG goods after
implementation of GST.

 Product GST rate

 SHAMPOO 28%

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Abstract
GST is a taxation procedure for goods and services transported from one destination to other; it
was discussed for years by the Government of India to get implemented and still now a pending
case. Taxation and its associated governing laws, in the current scenario, is playing a significant
role in the life of business, individual also for the government for the betterment of policies for
social good. This paper is designed to provide an overview of the impact of GST when
implemented, it features, GST in light of export, suggestion on a strategy to be adopted for
implementing GST and it's associated benefits when implemented. The paper is made using
exploratory research methodology using secondary data. The study lends information that, GST
is beneficial for most of the industrial sector reducing overall cost of commodity to great extent,
however GST is not favorable towards agricultural sector, this is due to the fact that, as of now
Indian government is not charging any tax on agricultural goods for domestic consumption,
wherein, when GST is implemented, tax will be imposed on agricultural products also, this may
lead to rising in the price of the agricultural products, which is considered to be basic entity for
the survival.
India‘s industrial and economic development undoubtedly,
whereas, it fullest success can be realized, when government liberalizes tax policies towards few
commodities such as agricultural products, which are considered to be a basic entity for survival
instinct of people. Thereby, GST implementation and liberalization of tax policies on certain
commodities will create a beneficial impact on industry, individual and economy of India.
Keywords
—
GST in India; Features of GST; Benefits of GST; Impact of GST; GST with respect to export.

Introduction

History of Taxation
The word tax was derived from Latin ‗tax are‘, which
means - to estimate. A tax is not a voluntary contribution instead it is enforced payment by
legislative authority on public residing under them. The first taxation system can be traced out in
Ancient Egypt during 3000BC
–
2800BC.The taxation practices followed early times can be clearly seen even in the religious
book such as bible and Quran. To illustrate with an example in Bible
–

Genesis ―But when

the crop comes in, gives a fifth of it to Pharaoh. The other four-fifths, you may keep as seed for
the fields and as food for yourselves and your Girish Garg, households and your
children‖
(www.eduplace.com, 2015). In India, the tradition of taxation was in practice from ancient times,
books like ‗Arthasathra‘ and ‗Manu Smriti‘ are the best

8
reference. The history of Islamic ruler states that taxes were implemented and was formally
called as Jizya, Jizyawas collected prior to Akbar period and also during Aurangzeb rule, who is
the last prominent Mughal emperor, whose period of rule was 1618AD to 1707AD(the jihad
project, 2015). It was during British rule; India has witnessed a remarkable change in the
taxation system .Although, it was in favor of British government it was more modern and
scientific taxation method and system that can be implemented and well managed (Sury,
2006).Setting up a separate administrative system to monitor taxation was first done and
practiced by the British government. Both direct taxation and indirect tax were followed by
British. Tax India in recent times is levied by both central government and state governments,
few minor taxes are also levied by Municipalities and local authorities( Garg, 2014). In recent
times tax is formally a segregate din to different types as; toll, impost, duty, customs, excise,
subsidy, aid, a tribute to the government of the respective country.

Objectives of the Study

 To understand the concept of Goods and Services Tax;

 To examine the features of Goods and Services Tax;
 To analyze the impact of GST on various industrial sectors.
 To provide information on Goods and Services Tax with respect to Export.
 To know the benefit of Goods and Services Tax to the economy, business and industry
and consumer.
 To analyze the implementation strategy of GST in India.

Research Methodology
Exploratory research methodology has been utilized in the preparation of research paper.
Secondary data is been used and it is sourced from journals, articles, magazines ,and media
report.

Literature Review
(Garg, Basic Concepts and Features of Good and Service Tax in India, 2014) Studied the basic
concept and made an insight on GST significance. Further indirect tax evasion discussed by
(Vasantha gopal, 2011) has led to GST value dissipation in comparison to VAT. (Adukia, 2015)
Studied the impact and implementation strategy of GST in India .The review by (Morrissey,
2003) states that under, GST the taxation will be equitably divided among manufacture sand the
service providers, also a low value of tax will be charged in comparison to existing tax system. It
is to be noted that GST is implemented in more than 150 countries around the globe and the
value of GST is directly reflecting on the economy of the countries where GST is implemented
in a positive way (KUMAR, 2014).

GST
GST can be defined as a tax on goods and service, which is exercised when transferred from one
location to other or at each point of the sale or provision of services. The accumulated tax so as
VAT which is currently followed in India falls on Consumer. Unlike VAT, GST value during
final consumption is dreadfully low (Beri, 2014). Under GST, both central and state has the

9
power to levy from goods and service during final consumption. In general, the GST exercised
by central is popularly known as the central tax, service tax, surcharge and additional customs
duties. In the state level, it is termed as State VAT (Majithia, 2014).GST is a valued added tax on
goods and service, wherein tax is exercised at every point of transaction and at the end the
retailer will be claiming credit for the tax for which he is paid while buying goods for the
purpose of retailing i.e. tax is exercised from the whole seller to retailer to consumer, to
exemplify with example suppose the manufacturer buy input for 50Rs. For producing goods,
whose value is added to 100Rs, then he is supposed to pay GST of 5Rs taking a tax credit of 5Rs.
Similarly, the wholesaler who on buying the good for 150Rs will pay GST of 5Rs and retailer
who sells the product for 170Rswill pay a GST of 2Rs by taking the tax credit which is15Rs.
5.1 Goods and Services Tax in India
The GST is not entirely a new initiative for India ,rectification of existing VAT in the elementary
level and fine tuning its shortcoming is GST. Thereby, this is an attempt to improve the existing
VAT system for beneficial of Indian economy and the individuals therein (Shadab,2014). VAT
was formulated and put into practice during April 1, 2005, in order to overcome the shortcoming
of sales Tax. Every state in India from commencement has witched from multi-point sales tax to
Value Added Tax(VAT). As in similar fashion that VAT was introduced to gap the shortcoming
of multi-point tax, the essence of GST is to correct the shortcoming VAT. Bringing service under
tax net and taxes for input and output is not possible under VAT system. Hence, GST is more
comprehensive ,transparent and smoother in its functioning. This can be a better than the best
solution for a country such as India, to reduce corruption, increase economic welfare and
increase the standard of living of the individual. Finance Minister Mr. P. Chidambaram, during
his budget revelation for the year 2007-08 announced the implementation of the Goods and
Service Tax (GST). In order to make progress on GST related work, a group of central officers,
as well as the state government, was constituted in May 2007. The report was submitted to the
committee on November 19, 2007, the report was in theme with GST module. A detailed
discussion in relation to report took place during November 28, 2007, in meeting with
empowered committee. An important interaction in regards to GST also held between Shri
Pranab Mukherjee, the union minister and the empowered committee during October 19, 2009,
in which major problems associated with GST, were also discussed. After a while with further
discussion, Mr. Pranab Mukherjee announced the deadline for GST implementation as April 1st
, 2012, unfortunately,
couldn‘t accomplish
(finmin.nic.in, 2015). Ex-Finance minister Mr. P. Chidambaram in his budget speech April2014
made apologize for the failure to meet the deadline as announced to implement GST.

Key features of the Goods and Services Tax

The GST is applicable to most of the goods and services, only a few are exempted out of
government consideration. GST will be credited to central and State government separately, the
rates would be appropriately divided based on formulated principles by the government
following it, which is based on revenue generated and acceptability. The GST is exercised on
imported goods and services by the country. Though GST is levied by the central and state
government, it is treated separately. Even when the credit is taken as Input Tax Credit (ITC) by
the Central government, it is an obligation that central should utilize the payment only against
Central GST. The rules governing utilization of credit for the central GST and state GST will be

10
according to the prescribed rules of GST with few exemptions .The uniform procedure will
exist to collect both Central GST and State GST, which would be prescribed by the respective
legislative community of Central and State. Each taxpayer will be allotted unique PAN can den
closing identification number which is 13 or 15 digits long. The PAN will be linked to GST
system, facilitating transparency, data exchange and compliance. The taxpayer should file their
periodical return separately against Central and State GST authorities.

7.

Impact of Goods and Service Tax

GST, when implemented, will bring serious consequence to the food industry. The GST exercise
taxation on agricultural goods including basic food products for human sustainability such as
cereals, fish, meat, poultry and dairy products, which is exempted from taxation by the
government of India currently. Thereby on the implementation of GST would lead to doubling
the tax burden on food commodities and increasing the price of the agricultural products. This
effect can only be reduced if and only the basic necessitate products are pinned under exception
list.
GST tax is included for construction and housing sector ,this is because it is a significant
contributor for the national economic

India's FMCG sector is growing enormously earning $25billion during 2008 in retail sales in
spite of economic recession. When GST implemented, it will pave a new way for more FDI and
increase the industry size to many folds in mere years to come.

There has been a serious discussion for including rail sector under GST to attain significant tax
gain and keep the overall GST rate low. If rail sector comes under GST the transportation of
goods has to be tracked using Information Technology to attain GST associated with it.

GST is not mandatory for financial service also it is not levied in most of the countries following
GST. In India, service tax is applicable to financial industry, thereby the probability of India
bring financial service under GST umbrella is more also Indian financial service plays role
consisting a large amount of customer within.

The software is considered as the intellectual property and regarded as the service lends to
making the operation go easier in the industry utilizing it. Thereby when the software is
transferred or transmitted in media or any other form from one seller to buyer than it is subjected
to GST. According to FICCI
–
Techno park Report, Implementation of GST will provide uniform and single point taxation,
thus reducing the overall cost of the software products.

The GST has slab line, those companies whose earning is below the slab line prescribed, is
exempted from the tax, whereas companies which meet the requirement and companies earning
above the slab line are levied by GST. The major issues are; that State GST can be readily put

11
into practice while Central GST is complex to get implemented in a country like India having the
huge business population and industry orientation

Exportation of Goods and Services

Export is exempted from GST. Exporters are allowed to claim the GST bill during export of
processed import products, formally known as duty drawback. An exporter is liable to pay
customs duty at the time of exportation, however under GST, it will be zero rated. In India GST
classification and valuation are governed by customs Act1967. The beneficial to FDI is that in a
case of Export Company, it can appoint an agent from India and export to the required country
will be subjected to GST and tax will not be claimed, hence, there exist high scope for export
company FDI promotion for economic progress. The agent will be liable under GST because the
export will be carried under his name. The beneficial factor in GST is that, if the company
delivers goods to the local forwarding agent for the purpose of export to an overseas client, no
GST is needed to be charged from the overseas client by the company. In case of machinery fault
imported for export production, the export of service is zero rated, whereas if any parts are newly
implemented then GST will be levied during import of machinery, if the only service is carried
out on existing machine, GST will not be charged. The important documentation to be enclosed
for export are Export declaration (K2), Sales invoices, Bill of lading, Shipping note, Insurance
note, Payment document, such as documentary credit, debit advice, bank statement, Debit and
Credit note, Tally sheet from Port Authority, Short ship /short landed certificate,

Implementation Strategy
the goal of economic development. GST, a modified version of existing VAT can make
functional. The major setback existing GST for implementation is that it have to be approved by
every state existing in India, else the total exertion on GST will be a disaster. A well-formulated
one point and one type of taxation for goods and service are required in India, moreover, the
formulated taxation has to be exercised by the Central, State and Interstate where lies the
complexity. In order to bring uniformity, it is necessary to bring Dual GST system like Dual
VAT system followed recently in India. The major beneficial of dual GST is that; Uniform
taxation can be practiced, low charges compare able to VAT, better taxable system, better tax
return and registration system. To put GST into practice, PAN(Permanent Account Number)
should be allotted to every individual citizen of India. The impact of GST on economic growth
can be well recognized, provided few goods and service have to be exempted from the GST like
agricultural goods, health, education and financial services, this is because it would hit the poor
people in India to attain basic amenities higher cost. Export is zero rate dander GST, this would
direct to economic success such as India as more than 25% GDP lays on export. GST is
exercised on the import of goods and services also high rate is charged for the same. The dealer
in the importing state has to declare every import made monthly and its return within prescribed
time. This brings dealers purchasing within and from outside the state pay same tax .Therefore,
this model will be more effective when implemented with pre-payment of taxes.
Conclusion
capable of allowing seamless flow of input tax credit along the value chain of goods and
services, which will to reduced cost of overall goods and services existing .GST environment
would lead to an improved disclosure of tax transactions, which may have a positive impact on

12
direct tax collections also. The average tax burden on companies will fall which will reduce the
costs of Indian goods and services in the international market which in turn boost Indian
industrial standard and exports; it will tone down cascading and double taxation and enable
compliance through the lowering of the overall tax burden on goods and services. India is a rich
country, whose people are poor, Overall, if GST properly implemented with tax exemption for
certain goods like agricultural commodities, it will result in increasing revenue at the Centre as
the tax collection system becomes more transparent, making tax evasion problem vanish and
leading to economic growth, helping Indian people re gain the wealth lost within country.

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 OBJECTIVES

• The main objective of this study is to analyze the impact of GST on the buying
behavior of FMCG consumer.

• To study the various factors influencing buying behavior.

• To analyze the consumer knowledge level towards GST.

HYPOTHESIS TESTING –

H⁰ : there is no impact of purchase of shampoo on implementation of GST.

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Research Methodology
 Population
I would target both Men and Women in my selected area of Survey.
 Sampling Size
I would take a sample size of 100 respondents who will represent the entire
targeted population.
 Sample Universe
Customer OF Varanasi City.
 Sample Unit
Student, Working People, Housewife, Old Age.
 Sampling Technique
Convenience Sampling Technique
 Types of Research
Descriptive Research
 Data Collection
Primary Data (Questionnaire)
 Statistical Tool
Mean, Median, Mode, Skewness, Kurtosis and Standard Deviation.
 Data Analysis Tool
EXCEL & SPSS

15
ANALYSIS DATA and INTERPRETATION

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GENDER
Female
Male

 In this survey maximum number of men have been responded with 66% and
women is with 34%.

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 Statistics

gender

N Valid
100

Missing 0

gender

Frequency Percent Valid Percent Cumulative Percent

Valid female
34 34.0 34.0 34.0

male 66 66.0 66.0 100.0

Total 100 100.0 100.0

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OCCUPATION
Job
Teacher
Housewife
Student

 Occupation of customer who responded in this survey is 46% in job ,39% with
student,8% with teacher and 7% with housewife.

19
 Statistics

occupation

N Valid 100

Missing 0

Mean 2.3900

Median 2.0000

Mode 1.00

Std. Deviation 1.39910

Skewness .152

Std. Error of Skewness .241

Kurtosis -1.875

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 4.00

occupation

Frequency Percent Valid Percent Cumulative Percent

Valid job 46 46.0 46.0 46.0

teacher 8 8.0 8.0 54.0

housewife 7 7.0 7.0 61.0

student 39 39.0 39.0 100.0

Total 100 100.0 100.0

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INCOME

0-10000

10000-20000

20000-30000

30000-40000

40000-ABOVE

 Most of the customer with the income 0-10000 are 50% ,10000-20000 with 21%,20000-30000
 with 11% ,30000-40000 with 17% and 40000-above are with

21
 Statistics

income

N Valid 100

Missing 0

Mean 1.0193E2

Median 1.5000

Mode 1.00

Std. Deviation 9.99806E2

Skewness 10.000

Std. Error of Skewness .241

Kurtosis 100.000

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 1.00E4

Cumulative
Frequency Percent Valid Percent Percent

Valid 0-10000 50 50.0 50.0 50.0

10000-20000 21 21.0 21.0 71.0

20000-30000 11 11.0 11.0 82.0

30000-40000 17 17.0 17.0 99.0

10000 1 1.0 1.0 100.0

Total 100 100.0 100.0

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Do You Purchase Shampoo?

Yes

No

Data Analysis
Most of the customer said yes with 98% and rest 2% said they don’t use shampoo.

Data Interpretation
The maximum customer said yes with 98% and minimum 2% said no.

23
 Statistics

Do you purchase shampoo ?

N Valid 100

Missing 0

Mean 1.0200

Median 1.0000

Mode 1.00

Std. Deviation .14071

Skewness 6.962

Std. Error of Skewness .241

Kurtosis 47.418

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 2.00

Do you purchase shampoo ?

Frequency Percent Valid Percent Cumulative Percent

Valid yes 98 98.0 98.0 98.0

no 2 2.0 2.0 100.0

Total 100 100.0 100.0

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Do you use shampoo?

Daily basis

Weekly

Monthly

Yearly

Data Analysis
 most of customer is using shampoo daily with 53% ,45% customer said they use
shampoo weekly and 2% said they use monthly.

Data Interpretation
 maximum 53% customer use shampoo daily and minimum 2% use shampoo monthly

25
Do you use shampoo on

N Valid 100

Missing 0

Mean 1.5700

Median 2.0000

Mode 2.00

Std. Deviation .53664

Skewness .115

Std. Error of Skewness .241

Kurtosis -1.162

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 3.00

Do you use shampoo on

Frequency Percent Valid Percent Cumulative Percent

Valid daily basis 45 45.0 45.0 45.0

weekly 53 53.0 53.0 98.0

monthly 2 2.0 2.0 100.0

Total 100 100.0 100.0

26
The reason for use of shampoo?
Enhance the texture and quality of hair

Non sticky and shiny

Devitalized hair by lubricating of hair

strengthen the structure of damage hair

Because of the brand image

Data Analysis
 37% customer said that they use shampoo because it enhance the texture and quality of
hair.18% said because of the brand image,17% said the shampoo is non-sticky and shiny
,16% said it devitalized hair by lubricating of hair rest 12% said it strengthen the structure
of damage hair.

Data Interpretation
 Maximum 37% of customer using shampoo as it Enhance the texture and quality of hair and
minimum 12% said they use shampoo as strengthen the structure of damage hair.

27
 Statistics

The reason for use of shampoo?

N Valid 100

Missing 0

Mean 2.5700

Median 2.0000

Mode 1.00

Std. Deviation 1.52590

Skewness .430

Std. Error of Skewness .241

Kurtosis -1.302

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 5.00

The reason for use of shampoo?

Cumulative
Frequency Percent Valid Percent Percent

Valid enhance the texture and quality 37 37.0 37.0 37.0

non sticky and shiny 17 17.0 17.0 54.0

devitalized hair by lubricating

16 16.0 16.0 70.0
of hair

strengthen the structure of

12 12.0 12.0 82.0
damage hair

because of the brand image 18 18.0 18.0 100.0

Total 100 100.0 100.0

28
From how many years you are using shampoo?
1-2 years

2-3 years

3-4 years

4-5 years

More than 5 years

Data Analysis
 32% customer said that they are using shampoo from 4-5 years as well same majority
goes with 3-4 years ,23% people said they are using shampoo from 2-3 years ,10% said
more than 5 year they are using shampoo and rest 3% goes with 1-3 years.

Data Interpretation
 Maximum of the customer using shampoo from 3-4 years as well 4-5 years with 32% and
minimum 3% is using from more than 5 years.

29
 from how many years using shampoo

Cumulative
Frequency Percent Valid Percent Percent

Valid 1-2years 3 3.0 3.0 3.0

2-3years 23 23.0 23.0 26.0

3-4years 32 32.0 32.0 58.0

4-5years 32 32.0 32.0 90.0

more than 5 years 10 10.0 10.0 100.0

Total 100 100.0 100.0

30
Do you think that by using this shampoo your hair will be nourished and will stay
healthy for long duration ?
Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Data Analysis
56% of the customer agree with this statement ,17% people strongly agree as well as same
percentage of people said they are neutral ,6% of customer said they are disagree and rest 4% are
strongly disagree with this statement.

Data Interpretation
Maximum of customer agree with the above question with 56% and minimum 4% of customer
are strongly disagree

31
 Statistics

Do you think that by using this shampoo your hair will

be nourished and will stay healthy for long duration ?

N Valid 100

Missing 0

Mean 2.2400

Median 2.0000

Mode 2.00

Std. Deviation .94409

Skewness 1.116

Std. Error of Skewness .241

Kurtosis 1.442

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 5.00

Do you think that by using this shampoo your hair will be nourished and will stay healthy for
long duration ?

Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 17 17.0 17.0 17.0

agree 56 56.0 56.0 73.0

neutral 17 17.0 17.0 90.0

disagree 6 6.0 6.0 96.0

strongly disagree 4 4.0 4.0 100.0

Total 100 100.0 100.0

32
Is there any price change of the product after GST implementation
Yes
No

Data Analysis
83% of customer said there is price change of product after implementation of GST rest 17% of
customer said that there is no change.

Data Interpretation
Maximum customer said yes there is a price change due to implantation of GST with 83% where as 17%
said there is no change.

33
 Statistics

Is there any price change of the product after GST

implementation

N Valid 100

Missing 0

Mean 1.8300

Median 2.0000

Mode 2.00

Std. Deviation .37753

Skewness -1.784

Std. Error of Skewness .241

Kurtosis 1.206

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 2.00

Is there any price change of the product after GST implementation

Cumulative
Frequency Percent Valid Percent Percent

Valid yes 17 17.0 17.0 17.0

no 83 83.0 83.0 100.0

Total 100 100.0 100.0

34
Do you agree with change in price
Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Data Analysis
30% of the customer are neutral with the statement 29% of the customer are agree ,24% said they
are disagree ,11% said strongly disagree where as 6% of the customer goes with strongly agree.

Data Interpretation

35
Maximum percentage of the customer goes with neutral 30% whereas 6% of customer is strongly agree

Statistics

If yes , Do you agree with change in price

N Valid 100

Missing 0

Mean 3.0500

Median 3.0000

Mode 3.00

Std. Deviation 1.10440

Skewness .129

Std. Error of Skewness .241

Kurtosis -.786

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 5.00

If yes , Do you agree with change in price

Cumulative
Frequency Percent Valid Percent Percent

Valid strongly agree 6 6.0 6.0 6.0

agree 29 29.0 29.0 35.0

neutral 30 30.0 30.0 65.0

disagree 24 24.0 24.0 89.0

strongly disagree 11 11.0 11.0 100.0

Total 100 100.0 100.0

36
which item you avoid purchasing after GST implementation
Shampoo

Skin Care

Sugar

Book

Coconut Oil

Data Analysis
28% of the customer avoiding purchasing skin cares ,24% of said books,21% of said sugar ,20%
said coconut oil only 7% of customer avoid purchasing shampoo.

Data Interpretation
Maximum 28% avoid purchasing cosmetics whereas only 7% avoid purchasing shampoo after
implementation of GST.

37
 Statistics

which item you avoid purchasing after GST

implementation

N Valid 100

Missing 0

Mean 3.2200

Median 3.0000

Mode 2.00

Std. Deviation 1.25191

Skewness -.018

Std. Error of Skewness .241

Kurtosis -1.163

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 5.00

which item you avoid purchasing after GST implementation

Cumulative
Frequency Percent Valid Percent Percent

Valid shampoo 7 7.0 7.0 7.0

skin care 28 28.0 28.0 35.0

sugar 21 21.0 21.0 56.0

book 24 24.0 24.0 80.0

coconut oil 20 20.0 20.0 100.0

Total 100 100.0 100.0

38
Do you think /agree that GST is beneficial for India ?
Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Data Analysis
42% of the customer is agree with the statement that GST is beneficial for India,30% of the
customer are neutral ,11% are disagree 9% is strongly disagree and 8% are strongly agree.

Data Interpretation
Maximum 42% of the customer agree and they said that GST is beneficial for whereas 8% are
strongly agree with the statement.

39
 Statistics

Do you think GST will burden the people /

consumer ?

N Valid 100

Missing 0

Mean 1.9200

Median 2.0000

Mode 2.00

Std. Deviation .27266

Skewness -3.144

Std. Error of Skewness .241

Kurtosis 8.043

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 2.00

Do you think GST will burden the people / consumer ?

Cumulative
Frequency Percent Valid Percent Percent

Valid yes 8 8.0 8.0 8.0

no 92 92.0 92.0 100.0

Total 100 100.0 100.0

40
Do you think GST will burden the people / consumer ?
Yes
No

Data Analysis
92% people said that GST is not a burden for the people whereas 8% thinks that it is a burden.

Data Interpretation
Maximum people said that GST is not a burden for India with 92% where only 8% said it is a burden.

41
 Statistics

Do you think GST will burden the people /

consumer ?

N Valid 100

Missing 0

Mean 1.9200

Median 2.0000

Mode 2.00

Std. Deviation .27266

Skewness -3.144

Std. Error of Skewness .241

Kurtosis 8.043

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 2.00

Do you think GST will burden the people / consumer ?

Cumulative
Frequency Percent Valid Percent Percent

Valid yes 8 8.0 8.0 8.0

no 92 92.0 92.0 100.0

Total 100 100.0 100.0

42
Are you facing problem because of GST ?
Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

Data Analysis
42% of the people are neutral with the statement that they are facing problem because of gst or
not 35% disagree that they are not facing any problem 11% agree they are facing problem,8% is
strongly disagree only 4% is agree .

Data Interpretation
Maximum people said that they are not facing any of the problem because of GST whereas
4%people is strongly agree that they are facing problem.

43
 Statistics

Are you facing problem because of GST ?

N Valid 100

Missing 0

Mean 3.3200

Median 3.0000

Mode 3.00

Std. Deviation .91982

Skewness -.367

Std. Error of Skewness .241

Kurtosis .219

Std. Error of Kurtosis .478

Minimum 1.00

Maximum 5.00

44
BENEFIT OF SURVEY

 Removal of bundled indirect taxes such as VAT, CST, Service tax, CAD, SAD, and
Excise.

• Less tax compliance and a simplified tax policy compared to current tax structure.

• Increased demand and consumption of goods.

• Reduction of manufacturing costs due to lower burden of taxes on the manufacturing

sector.

• Boost to the Indian economy in the long run.

45
Limitation

 Time Constraint
 Budget Constraint
 The implication of the Survey may not apply to other parts of the State.
 The respondent’s information may not be true which affect the result of final
outcome.

46
FINDINGS

• Consumers are aware about GST rates applicable to the products.

• The study found that 80% of the respondents confirming that GST has no effect on the
buying decision related to FMCG products 99% respondents opinioned that GST could
help the government and people to support volume growth for certain products.

47
 CONCLUSION

• Because of GST inflation rate has been reduced from 10% to 4.7%.

• GST is being a dynamic and comprehensive legislation which shall replace most of the
indirect taxes in our country.

• Since it is a major indirect tax reform in India . There would be new legislation and new
procedure.

• GST is the best example of cooperative federalism .

• It is the biggest tax reform till date in our country.

48
Bibliography

• www.wikipidia.com
• www.googledox.com
• www.surveymonkey.com
• www.statcrunch.com

49
 ANNEXURE
QUESTIONNAIRE

Customer perception regarding change in price of FMCG goods after

implementation of GST ?

Name –

Age-

Gender
a) Male
b) Female

Occupation-

INCOME
a) 0-10000
b) 10000-20000
c) 20000-30000
d) 30000-40000
e) 40000-Above

SHAMPOO

50
Do you purchase shampoo ?

a) YES
b) NO

Do you use shampoo on

a) Daily Basis
b) Weekly
c) Monthly
d) Yearly

The reason for use of shampoo?

a) Enhance the texture and quality of hair

b) Non sticky and shiny
c) Devitalized hair by lubricating of hair
d) strengthen the structure of damage hair
e) Because of the brand image

From how many years you are using shampoo ?

a) 1-2 years
b) 2-3 years
c) 3-4 years
d) 4-5 years
e) More than 5 years

Do you think that by using this shampoo your hair will be nourished and will
stay healthy for long duration ?

a) Strongly Agree
b) Agree
c) Neutral
d) Disagree
e) Strongly Disagree

IMPLEMENTATION OF GST
51
Is their any price change of the product after GST implementation

a) Yes
b) No

If yes , Do you agree with change in price

a) Strongly Agree
b) Agree
c) Neutral
d) Disagree
e) Strongly Disagree

which item you avoid purchasing after GST implementation

a) Shampoo
b) Skin Care
c) Sugar
d) Book
e) Coconut Oil

Do you think /agree that GST is beneficial for India ?

a) Strongly Agree
b) Agree
c) Neutral
d) Disagree
e) Strongly Disagree

Do you think GST will burden the people / consumer ?

52
 a) Yes
b) No

Are you facing problem because of GST ?

a) Strongly Agree
b) Agree
c) Neutral
d) Disagree
e) Strongly Disagree

53