NAME RAMESH PATEL CLASS - S.Y.B.M.S.

ROLL NO. 2347

SUBJECT Marketing Management

TOPIC BIRLA TYRES

GUIDED BY Prof. Prerna Sharma

ACKNOWLEDGEMENT The project of such magnitude cannot be accomplished without theassistance and co-operation of several people. Exchange of ideas generatesa new object to work in a better way. So, whenever a person is helped andco-operation by others, his heart is bound to pay gratitude and is not merelyformalities but an expression of deep sense of gratitude and cumulativeappreciation.Now first and foremost, I feel highly obliged to Mr. R. K. Sharma, DistrictManager: BIRLA Tyres Ltd. who got me placed for project training, which had sent materials, according to my topic for execution in order to perform the work for preparing this dissertation.I would like to mention something special about my supervisor Mrs. Prerna sharma, pillai s College of Business Management,panvel, and making acknowledgement that without his kind co-operation, attention, wise guidance and a regular feedback from me, my mission would not have been fulfilled its milestone. I have not the desired word power to express my heartiest gratitude regards reverence and indebtness to him. I also acknowledge with a deep sense of reverence, my gratitude towards of my parents and member of my family, who has always supported me morally as well as economically.

PREFACE
As it is said ............"The theory without practice is lame and practice without theory is blind." obviously the theory and practice are two facts of same coin,or in other way theory and practices complementary and supplementary to each other. And of course these two embody the real knowledge based on the principle of coming by doing or in pursuit of knowledge these two have become part and parcel. Here, the practical during summer vacation is of prime to the Faculty of Management for the purpose of evolution of final (4rthSemester) examination assist the paper in order to complete in M.B.A. course of the academic curriculum.This dissertation imparts a deductive and prescriptive discussion on the duly * on Sales Promotion (with reference to BIRLA Tyres Ltd. Marketing division,Muzaffarpur) in comprehensible and concise way............ on the basis of the training, which was done by me in marketing division of BIRLA Tyres Ltd.,Muzaffarpur. The report has been written for main of marketing as well as the consumer, Marketing is the lifeblood of any organization to run fast. Somarketing starts right from the time of production. Marketing is nothing but firstto assess the market and then to access the market. The present study is entitled to the study on Sales Promotion of BIRLA Tyres have been determined.The whole study has been done to a particular area i.e. Muzaffarpur.Simplicity is the main feature of this report from beginning to end so that evena non-marketing man can take advantage of it. My observation in BIRLA Tyres Ltd. was to treat main, who are the main Factor of Production among man, machine, materials, money manufacturing technology with respect and dignity.

Executive Summary
In today s world of intense competition and rapid dynamism, all the companies worldwide are tuning their focuses on the customer. Suddenly, the customer had succeeded in capturing all the attention of the companies towards him, so much so, that the once famous maxim, customer is the god has become so true and relevant today. There has been a paradigm shift in the thinking of these companies and none other then the customer has brought this about. Earlier there was a sellers market, since goods and services were in short supply and the sellers use to call the shots. But, ever since the advent of the era of globalization, there has been total transformation in the way the customers being perceived. Their focus has shifted towards integrating the three elements people, service and marketing. A customers can make or break a company. It is the responsibility of every company to see that all its customers are equally satisfied with them, for one single dissatisfied customer will tell at least nine others about the dissatisfaction and will spark off a chain reaction and spell doom for that company. Research has thrown light on some important aspects of customers retention it has been proved empirically that acquiring new customers can cost five times more than the cost involved in satisfying and retaining current customers .In the past, the customers was taken for a ride, as there were not many players in the fields, not much importance was attached to product safety, quality, service and product appeal. The attitude of the manufacture was that of caveat emptor . Thanks to the government policies on liberalization, globalization and privatization (LPG), the market scenario has changed today. Today, the customer has a host of defense mechanism like the customers protection laws, regulation of the government, the powerful hands of the organization, customers courts, switching to substitute or competitors that offer at competitive prices, etc. The maxim, caveat emptor has been replaced by caveat venditor

S. No. 1. 2. 3. 3.1 3.2 3.3

Particulars Introduction to the Industry Introduction to the Organization Research Methodology Objective of Study Type of Research Sample Size & method of selecting sample

Pg. No.

3.4 3.5 4. 5. 6. 7. 8. 10.

Scope of Study Limitation of Study Facts and Findings Analysis and Interpretation SWOT Conclusion Recommendations &Suggestion Bibliography

INTRODUCTION TO THE INDUSTRY

The brand, and "branding" and brand equity have become increasinglyimportant components of culture and the economy, now being described as"cultural accessories and personal philosophies".In non-commercial contexts, the marketing of entities which supply ideas or promises rather than product and services (e.g. political parties or religiousorganizations) may also be known as "branding".ConceptsSome marketers distinguish the psychological aspect of a brand from theexperiential aspect. The experiential aspect consists of the sum of all points of contact with the brand and is known as the brand experience . The psychological aspect, sometimes referred to as the brand image , is asymbolic construct created within the minds of people and consists of all the in formation and expectations associated with a product or service. Marketers engaged in branding seek to develop or align the expectations behind the brand experience (see also brand promise), creating the impression that a brand associated with a product or service has certain qualities or characteristics that make it special or unique. A brand is there foreone of the most valuable elements in an advertising theme, as it demonstrates what the brand owner is able to offer in the marketplace. The art of creating and maintaining a brand is called brand management. This approach works not only for consumer goods B2C (Business-to-Consumer), but also for B2B(Business-to-Business), see Philip Kotler & Waldemar Pfoertsch.A brand which is widely known in the marketplace acquires Brand recognition . When brand recognition builds up to a point where a brand enjoys a critical mass of positive sentiment in the marketplace, it is said to have achieved brand franchise . One goal in brand recognition is the identification of a brand without the name of the company present. For example, Disney has been successful at branding with their particular script font (originally created for Walt Disney's "signature" logo), which it used in the logo. Consumers may look on branding as an important value added aspect of products or services, as it often serves to denote a certain attractive quality or characteristic (see also brand promise). From the perspective of brand owners, branded products or services also command higher prices. Where two products resemble each other, but one of the products has no associated branding (such as a generic, store-branded product), people may often

select the more expensive branded product on the basis of the quality of the brand or the reputation of the brand owner. Brand name The brand name is often used interchangeably with "brand", although it is more correctly used to specifically denote written or spoken linguisticelements of a brand. In this context a "brand name" constitutes a type of trademark, if the brand name exclusively identifies the brand owner as the commercial source of products or services. A brand owner may seek toprotect proprietary rights in relation to a brand name through trademarkregistration. Advertising spokespersons have also become p art of somebrands, for example: Mr. Whipple of Charmin toilet tissue and Tony the Tiger of Kellogg's. The act of associating a product or service with a brand has become part of pop culture. Most products have some kind of brand identity, from common table salt to designer clothes Brand identity How the brand owner wants the consumer to perceive the brand - and by extension the branded company, organisation, product or service. The brand owner will seek to bridge the gap between the brand image and the brand identity.

Brand identity is fundamental to consumer recognition and symbolizes the brand's differentiation from competitors. Brand identity may be defined as simply the outward expression of the brand, such as name and visual appearance.

Some practitioners however define brand identity as not only outward expression (or physical facet), but also in terms of the values a brand carries in the eye of the consumer. In 1992 Jean-Noel Kapferer developed the Brand Identity Prism, which charts the brandidentity along a constructed source and constructed receiver axis, withexternalization on the one side and internalization on the other. On theexternalization side brand identity consists of "physical facet", "relationship" and "reflected consumer". On the internalization side brand identity consists of "personality", "culture (values)" and "consumer mentalisation". In this respect Kapferer positions brand personality as one factor within brand identity. Brand personality Brand personality is the attribution of human personality traits to a brand as away to achieve differentiation. Such brand personality traits may includeseriousness,

warmth, or imagination. Brand personality is usually built through long-term marketing, as well as packaging and graphics

Brand promise Brand promise is a statement from the brand owner to customers, which identifies what consumers should expect from all interactions with the brand. Interactions may include employees, representatives, actual service or product quality or performance, communication etc. The brand promise is often strongly associated with the brand owner's name and/or logo. Brand value Brand equity or brand value measures the total value of the brand to the brand owner, and reflects the extent of brand franchise. A brand can be an intangible asset, used by analysts to rationalize the difference between a company's "book value" and market value. For example,the market value of a company can far exceed its tangible assets (physicalassets owned by the company, such as stock or machinery), and its brandvalue can account for some of the difference. Up to 85 percent of acompany s market value might be intangible (for example know-how, existing client relationships), and Interbrand, a brand consultancy, states that tangibleassets may account for less than five percent of a company s market value .Brand value, especially in the case of consumer product brands, may arise out of customer loyalty. Brand value may also arise in terms of staff retention benefits (e.g. the ability of the company to attract and retain skilled and/or talented employees offering competitive salaries). Campaigning groups may deliberately target a company s brand value to force a company into adopting a certain position or practices. Some campaign groups have thought to do this by deliberately subverting a brand s image, logo or message, creating a negative association among consumers. This attack may be visual, as pioneered by groups such as Adbusters, or focusing on the message.

Brand monopoly In economic terms the "brand" is, in effect, a device to create a "monopoly" or at least some form of "imperfect competition" so that the brand owner can obtain some of the benefits which accrue to a monopoly or unique point of sale, particularly those related to decreased price competition. In this context, most "branding" is established by promotional means. However, there is alsoa legal dimension, for it is essential that the brand names and trademarks are protected by all means available. In all these contexts, retailers' "own label" brands can be just as powerful. The"brand", whatever its derivation, is a very important investment for any organization Branding policies There are a number of possible policies: Company name Often, especially in the industrial sector, it is just the company's name which is promoted (leading to one of the most powerful statements of "branding"; the saying, before the company's downgrading,). In this case a very strong brand name (or company name) is made the vehicle for a range of products or even a range of subsidiary brands.

Individual branding Individual branding, also called multibranding, is the marketing strategy of giving each product in a product portfolio its own unique brand name.This is contrasted with family branding in which the products in aproduct line are given the same brand name. The advantage of individual branding is that each product has a self image and identitythat's unique. This facilitates the positioning process. That means thatthere are less Halo-effects and one can position all products differentlywithout making trade-offs.

Attitude branding Attitude branding is the choice to represent a larger feeling, which is not necessarily connected with the product or consumption of the product at all. Marketing labeled as

attitude branding include that of Nike, Starbucks, The Body Shop, Safeway, and Apple Computer. In the 2000 book, No Logo, attitude branding is described by Naomi Klein as a "fetish strategy". "No-brand" branding Recently a number of companies have successfully pursued "No-Brand"strategies, examples include the Japanese company Muji, which means "No label, quality goods" in English. Although there is a distinct Muji brand, Mujiproducts are not branded. This no-brand strategy means that little is spent on advertisement or classical marketing and Muji's success is attributed to the word-of-mouth, a simple shopping experience and the antibrand movement. Other brands which are thought to follow a no-brand strategy like Muji, does not brand its products Derived brands In this case the supplier of a key component, used by a number of suppliers of the endproduct, may wish to guarantee its own position by promoting thatcomponent as a brand in its own right. Brand development In terms of existing products, brands may be developed in a number of ways: Brand extension The existing strong brand name can be used as a vehicle for new or modifiedproducts; for example, many fashion and designer companies extendedbrands into fragrances, shoes and accessories, home textile, home decor,luggage, (sun-) glasses, furniture, hotels, etc. Multi-brands Alternatively, in a market that is fragmented amongst a number of brands a supplier can choose deliberately to launch totally new brands in apparent competition with its own existing strong brand (and often with identical product characteristics); simply to soak up some of the share of the market which willin any case go to minor brands. The rationale is that having 3 out of 12 brandsin such a market will give a greater overall share than having 1 out of 10(even if much of the share of these new brands is taken from the existingone). In its most extreme manifestation, a supplier pioneering a new market which it believes will be particularly attractive may choose immediately to launch a second brand in competition with its first, in order to pre-empt others entering the market. Earlier there was a sellers market, since goods and services were in short supply and the sellers use to call the shots. But, ever since the advent of theera of globalization, there has been total transformation in the way thecustomers being

perceived. Their focus has shifted towards integrating the three elements people, service and marketing.A customers can make or break a company. It is the responsibility of every company to see that all its customers are equally satisfied with them, for one single dissatisfied customer will tell at least nine others about thedissatisfaction and will spark off a chain reaction and spell doom for that company. Research has thrown light on some important aspects of customers retention it has been proved empirically that acquiring newcustomers can cost five times more than the cost involved in satisfying and retaining current customers. In the past, the customers was taken for a ride, as there were not many players in the fields, not much importance was attached to product safety, quality, service and product appeal. The attitude of the manufacture was that of caveat emptor . Thanks to the government policies on liberalization, globalization and privatization (LPG), the market scenario has changed today .Today, the customer has a host of defense mechanism like the customersprotection laws, regulation of the government, the powerful hands of theorganiza tion, customers courts, switching to substitute or competitors that offer at competitive prices, etc. The maxim, caveat emptor has been replaced by caveat venditor . About Tyre industries in India Background The origin of the Indian Tyre Industry dates back to 1926 when Dunlop Rubber Limited set up the first tyre company in West Bengal. MRF followed suit in 1946. Since then, the Indian tyre industry has grown rapidly.

Transportation industry and tyre industry go hand in hand as the two are interdependent. Transportation industry has experienced 10% growth rate year after year with an absolute level of 870 billion ton freight. With an extensive road network of 3.2 million km, road accounts for over 85% of all freight movement in India. Key Issues of tyre industries High tax usage The high tax content on tyres can be gauged from the fact that the percentage of total tax to the tax excluded price for various categories of tyres is - 44% for Truck Tyre; 41% for Passenger Car Radial Tyre, 35% for Tractor Rear Tyreand 76% for Truck Tyre Increase in raw material costs Apart from being capital intensive, the tyre industry is highly raw material intensive. Any change in the prices of raw materials affects the profitability of tyre companies. The raw materials used in the manufacture of tyres are rubber and petroleum derivatives like nylon tyre cord, carbon black, styrenebutadiene rubber and poly butadiene rubber. The most important raw material is rubber-natural and synthetic. Natural rubber (NR), with 29%

weightage in the cost of raw materials used by tyre industry, is the highest cost item. Annual consumption of NR by tyre industry is 3.50 lakh tonnes, valued at Rs.14 billion. Over 85% of NR consumed' by the industry is procured domestically. 15% is imported. Import of tyres During the FY2002, over 1,10,000 passenger car tyres were imported. Although this constitutes a small percentage (1.5%) of total passenger car tyre production in the country, since total imports are of radial passenger car tyres, the percentage is higher when compared against domestic production of radial passenger car tyres. A large percentage of imports are from SouthKorea at a concessional rate of customs duty (i.e. 15%) under the Bangkok Agreement - as against 20% normal rate of customs duty .Even though the Government has imposed a restraint on the import of used tyres into India, occasionally there are reports of import of such tyres in aclandestine manner, sometimes as new tyre at low value, since there is no restriction on import of new tyres or as tyres under the "others" category.Many countries such as Japan, Bangladesh, Pakistan, Philippines, Thailand, Kenya, South Korea, etc. have either put a complete ban on import of used tyres or have placed stringent conditions on such imports. Tyre Exports The product focus of tyre exports from India has been Traditional Truck Tyres. Globally this segment of tyre export is shrinking due to greater acceptance of radial tyres. Over the years, China has emerged as a major exporter in bias tyre category. Additionally, export of Indian tyres to select countries is subjected to non-tariff barriers (NTBs) by way of standards, tests, etc. Export of cheaper tyres from China to major tyre importing markets, like US, is adversely affecting Indian tyre exports to these markets. India's share in exports to these countries (especially USA) is progressively declining. If the trend is not reversed, Indian tyre industry will find it extremely difficult to regain its erstwhile position in these markets. Low rate of interest, cheaper electricity tariff, hidden subsidies by the Chinese Government, better infrastructure facilities and lower transaction costs are factors favourable to Chinese tyre industry.

Trends in Production, Consumption, Price & Capacity Utilization The total tyre produced in the country was 51.58 million units in FY2003 - a19% growth rate over FY2002. CAGR of tyre production (in %)

FY 1993-2003 FY 1993-1998 FY 1999-2003

9% 7% 9%

FY 2002-2003 19% Compiled by INGRES Currently, the size of the Indian tyre industry is estimated at Rs. 128 billion(0.5% of Indian GDP), as of FY2003. The total installed capacity of the Indian tyre industry is around 60.5 mn units, and the capacity utilization is around85%. Additionally, in FY2003, the price realization of tyre manufacturers also registered an increase by 8%, as against a 0.6% increase in FY2002. Demand Supply Gap The demand for tyres is either in the domestic market or in the export market. As far as domestic demand is concerned, the OEM and the replacement segments are likely to witness strong growth given the current performance of the automotive sector. Given the strong linkages of tyre industry withautomotives, its demand is likely to be strong over the short to medium term. As regards supply of tyres, currently, the major players are in the process of expanding their capacities, in anticipation of uptrend in sales. For instance, Apollo Tyres has set up a joint venture with Michelin for manufacture and sale of bus and truck radials. JK is expanding its Mysore truck and bus radial facility along with eyeing acquisitions of smaller units. Ceat has increased its offtake by 3 times from Pirelli. However, a characteristic of the Indian tyre industry is that most of the tyre manufacturers in the past had increased capacities in anticipation of a surge in demand, but when it did not materialise, they reduced their addition to capacities. Thus, the demand-supply gap is likely to be an important issue for the Indian tyre industry over the short to medium term.

Review of Performance Overall Performance The operating margin of the representative sample of tyre companies improved during FY2003. However, the net profit margin of the tyre companies even though improved, was still at 3%. Performance in FY2004 The tyre industry continues to be driven by good demand growth, propelled bysustained uptrend in demand and sales of automobiles in general, andcommercial vehicles and passenger cars in particular. However, this does not get translated into improved margins for the industry, as it is witnessing sustained rise in prices of raw materials like natural rubber. Additionally, the customs duty on imports has been brought down from 25% to 20% and Special Additional Duty of 4% has been dispensed with. Outlook The level of economic activity, performance of domestic automotive industry, and the faring of the transport sector directly influence the performance of the tyre industry in India. With the replacement segment dominating the over all tyre demand in India, the industry remains inherently vulnerable to economiccycles. While radicalization has become the norm in the passenger car segment, in the bus and truck tyre segment, its acceptance is still limited. Bus and truck radicalization could emerge in the long term as the quality of roads improves and the restrictions on overloading are better enforced. The practice of re-treading, which is gaining increasing acceptance, could pose a challenge to replacement demand in the medium term. In the domestic market, tyre manufacturers are expected to increasingly focuson expanding their dealership networks & explore possibilities of tie-upsamong themselves to penetrate the growing customer base. They are also likely to pursue innovative measures (such as "dial-a-tyre service and road shows) to improve customer awareness.

The consolidation of the Indian tyre industry is likely to continue in the comingyears through mergers among existing players. The industry is likely toexpand through a combination of organic and inorganic growth. While organicgrowth would come from raising efficiency levels, inorganic growth would beachieved through alliances and M&As.

a. Growth of Tyre industries in India The Indian tyre industry is expected to clock a tonnage growth of 9-10 per cent over the next five years, according to a study by Credit Analysis andResearch Limited (CARE)While the truck and buses tyres are set to register a CAGR (compoundedannual growth rate) of 8 per cent, the LCV (light Commercial vehicles) tyresare poised for a CAGR of 14 per cent.According to the CARE study, the growth in the Indian tyre industry will befuelled by the expansion plans of the automobile companies, government'sfocus on development of road infrastructure and sourcing of auto parts by theglobal Original Equipment Manufacturers (OEMs). However, the tyre industryhas to grapple with raw material price volatility, rupee appreciation and cheapChinese imports.The tyre industry in India recorded a CAGR of 9.69 per cent during 2002-07.The size of the industry was estimated at Rs 19,000 crore in 2006-07 with atotal production of 736 lakh units of tyres. In 2006-07, the replacement tyresaccounted for 53 per cent of the total tyre tonnage offtake, followed by 31 per cent share of OEM and 15 per cent by exports.Out of the 736 lakh ton of tyres, 54, 49,560 units worth Rs 2,600 crore wereexported. The exports from India posted a CAGR of 13 per cent in unit termsand 18 per cent in value terms between 2002-07.The study points out that on the export front, the Indian tyre companies needto explore newer markets as the existing market is nearing saturation. Thisapart, with rationalization catching up in the foreign markets, the Indian tyre

companies need to graduate to radial tyres so as to protect their share in the export market. The CARE report observes that though the tyre technology in India haswitnessed several developments with continuous innovation, the domestictyre manufacturers still lag behind their global counterparts in terms of productdifferentiation. Global tyre makers offer a wide change of products like tyres with pressure warning systems, run flat tyres, eco-friendly tyres and energy efficient tyres

Individual brand names naturally allow greater flexibility by permitting a variety of different products, of differing quality, to be sold without confusing theconsumer's perception of what business the company is in or diluting higher quality products .

Once again, Procter & Gamble is a leading exponent of this philosophy,running as many as ten detergent brands in the US market. This alsoincreases the total number of "facings" it receives on supermarket shelves.Sara Lee, on the other hand, uses it to keep the very different parts of thebusiness separate from Sara Lee cakes through Kiwi polishes to L'Eggspantyhose. Small business brands Branding a small or medium sized business (SME) follows essentially thesame principle a branding larger corporation. The main differences being thatsmall businesses usually have a smaller market and have less reach thanlarger brands. Some people argue that it is not possible to brand a smallbusiness, however there are many examples of small businesses thatbecame very successful due to branding. Own brands and generics With the emergence of strong retailers the "own brand", a retailer's ownbranded product (or service), also emerged as a major factor in themarketplace. Where the retailer has a particularly strong this "own brand" maybe able to compete against even the strongest brand leaders, and may outperform those products that are not otherwise strongly branded. Concerns were raised that such "own brands" might displace all other brands,but the evidence is that at least in supermarkets and department stores consumers generally expect to see on display something over 50 per cent(and preferably over 60 per cent) of brands other than those of the retailer. The strength of the retailers has, perhaps, been seen more in the pressurethey have been able to exert on the owners of even the strongest brands (andin particular on the owners of the weaker third and fourth brands).Relationship marketing has been applied most often to meet the wishes of such large customers (and indeed has been demanded by them asrecognition of their buying power). Some of the more active marketers havenow also switched to 'category marketing' - in which they take into account all the needs of a retailer in a product category rather than more narrowly focusing on their own brand. At the same time, probably as an outgrowth of consumerism, "generic" (that is, effectively unbranded goods) have also emerged. These made a positive virtue of saving the cost of

almost all marketing activities; emphasizing the lack of advertising and, especially, the plain packaging (which was, however, often simply a vehicle for a different kind of image)..

INTRODUCTION TO THE ORGANIZATION

History of the Organization BIRLA Tyres straddles the Indian tyre industry much like the Greek Sun God BIRLA's four horse-drawn chariot races across the vast expanse of the sky, symbolising the creation of light, hence knowledge and truth. And like the Greek charioteer, BIRLA Tyres has stood the test of time on the four pillars of vision, integrity, quality and sheer determination. The history of BIRLA Tyres dates back to 1974 when it was incorporated as a company in Cochin, Kerala through the purchase of a licence from the Ruby Rubber Works. Cochin by Mr. Mathew T. Marattukalam, Jacob Thomas and his associates. In 1976, the company was taken over by Dr. Raunaq Singh.BIRLA's first manufacturing facility (often referred to as the 'mother plant') is in Perambra, Cochin where production commenced in 1977 with an installed capacity of 420,000 each of tyres and tubes.The first 20 years of the company's existence were not easy. Those were times when licences and quotas ruled the world of manufacturing in a market dominated by multinational companies with access to technology and machinery and deep pockets. Therefore, soon after its inception, due to the huge investments required, BIRLA wiped out its net worth and became a BIFR company during the Emergency years. However, BIRLA Tyres was returned to its owners during the Janata Government. BIRLA then used to make the entire gamut of tyres required for scooters, bicycles, trucks and cars. However, the then core team, led by Onkar SinghKanwar, realized that to make an impact in the market and become financially viable it had to become a dominant player in the commercial vehicles segment. At the time, Modi Tyres had an overwhelming market share and reputation. Extensive on-ground research by the team allowed it to understand the areas in which BIRLA could make an impact.

The philosophy then was 'one product fits all', where regardless of the kind of usage, the tyres truckers fitted on their vehicles were the same. Team BIRLA decided to known as the 'overload' segment and produce tyres which could withstand the extra load the vehicles were made to carry, while providing drivers with the crucial safety net. It was a tyre called the Hercules which was the first of its kind. Later, products like Amar, Loadstar and XT-7, XT9 andXT-9 Gold were introduced, products still enjoy consumer validation. In fact,XT-9 is the

only tyre in India to have sold more than one crore units, providing the superiority of the product. In later years, there have been many such first in BIRLA's cap. Apart from enjoying the distinction of being the first tyre company to segment the market on the basis of load and mileage requirements, it has been the first to introduce packaging for car tyres and tubes and also the very first Indian company to introduce farm radial tyres. n other innovative moves, BIRLA is the first tyre company to run customer loyalty and awareness programmes to enable them to derive optimal benefits from their BIRLA farm tyres, and also the first to launch exclusive rural retail stores 'BIRLA Tyre World' for trucktyres. BIRLA tyres Ltd. has another first to its credit being the first Tyre Manufacturing Company Worldwide to be certified for B7799 given for information security of IT systems. Another landmark has been the success ful implementation of SAP across the organisation for better results and productivity.

"People deliver innovation Innovations deliver success A few of the differences our people made" First-Indian tyre company to launch exclusive branded outlets -- BIRLA TyreWorld -- for truck tyres First-Indian tyre company to segment the market on the basis of load andmileage requirements First-Indian tyre company to introduce packaging for car and two-wheeler tyres and tubes First-Indian tyre company to run a customer loyalty programme First-Indian tyre company to introduce radial tyres for the farm category First-tyre company in India to obtain ISO Certification for all its operations First-Indian tyre company to produce H, V and W-speed rated tubeless tyres First-Indian tyre company to run HIV-AIDS awareness and prevention clinicsfor the trucking community First-Indian tyre company to support the creation of an Emergency MedicalService in an Indian city First-Indian tyre company to execute an overseas acquisition First-Indian tyre company to reach a revenue of over US$ 1 billion

1975Inception 1975Registered as a company 1977First plant commissioned in Perambra (Cochin, Kerala) 1991Second plant commissioned in Limda (Baroda, Gujarat ) 1995Acquired Premier Tyres in Kalamassery (Cochin, Kerala) 1996Exclusive tubes plant commissioned in Ranjangaon (Pune,Maharashtra) 2000Exclusive radial capacity established in Limda 2000Established BIRLA Tyres Health Care Clinic for HIV-AIDS awareness and prevention in Sanjay Gandhi Transport Nagar, Delhi 2003Expansion of passenger car radial capacity to 6,600 tyres/day 2004Production of India 's first H-speed rated tubeless passenger car radialtyres 2004Support in setting up India 's first Emergency Medical Service inBaroda , Gujarat 2005BIRLA Tyres Health Care Clinics in Udaipur in Rajasthan and Kanpur in Uttar Pradesh 2006Expansion of passenger car radial capacity to 10,000 tyres/day2006Expansion of passenger car range to include 4x4 and all-terrain tyres 2006Acquired Dunlop Tyres International in South Africa and Zimbabwe 2006Opening of BIRLA Tyres Health Care Clinic in Ukkadam, Tamil Nadu 2006Launch of DuraTread, treading material and solutions 2006Launch of India's first range of ultra-high performance V and W-speedrated tyres 2007Launch of Regal truck and bus radial tyres 2007Launch of DuraTyre, retreaded tyres from BIRLA 2007Launch of the BIRLA Tennis Initiative and Mission 2018

The Future At BIRLA Tyres, they believe in being in control of their destiny. They set ambitious targets and believe in stretching themselves to outperform them.

Therefore, the leadership position in the Indian market notwithstanding,BIRLA is now set to look overseas for new challenges. Nearly all initiativesbeing taken at this point in time are geared to fuel this ambition. At home and abroad, BIRLA is looking to not only consolidate its leadershipposition in various segments through newer, high technology products butalso through consistent organic and inorganic growth opportunities, in tyresand allied products. Becoming a leader in the passenger car tyre segment is apriority as is the export of passenger car radials. If the company continues to grow at the current pace, BIRLA expected to reach the US$1 billion mark in less than five years. Continuous focus on cost control and operating efficiencyremains the hallmark of the company. Adding to all this is the fact that radialisation in India is throwing up fresh opportunities, as is the boom in road infrastructure and the completion of the Golden Quadrilateral and the North-South-East-West corridor. Therefore thefuture is optimistic with promises of a virtuous cycle of growth. BIRLA has three Tyre manufacturing facilities and one unit for the productionof tubes and flaps in four locations based in West and South India. BIRLAEndeavour has been to have the widest spread of sales and regional offices,along with stock points at locations which allow for maximum customer reachand efficient supply chain management. BIRLA dealer or business partnersare also chosen with great care. BIRLA's products are sold through acombination of outlets ranging from exclusive dealerships to multi-brand andbranded retail outlet The continuous up gradation of dealer knowledge is inBIRLA's interest and therefore their training is undertaken by the company.With a dedicated field sales, technical and commercial force of 600, we feel that we are best positioned to meet the customer specific needs. Research and Development for BIRLA Tyres The state-of-the-art Research & Development Centre had its birth at Perambra, Cochin and later on, it has grown to a substantial height and stature at its present location at Limda, Baroda. From the hour of inception, its goal has been to foster development and promote the evolution of newtechnologies in the field of Tyre Science & Technology. Recently companyhas tie ups with IIT's & IIM's for Rubber Technologies. All the activities of the centre are extensively supported by a series of highlysophisticated equipment,which help the research scientists develop products as per customers' specific requirements.

We have the facilities and expertise for: Development of compounds for improved performance Raw material development Analytical research Reverse engineering Advanced design using CAD FEA modeling of tyres Simulation testing of the designed product Product validity & reliability studies The different activities of the centre are being executed by a pool of specialists from the arena of Polymer Science, Rubber Technology, Inorganic& Organic Chemistry, Textile Technology, Physics and Mathematics. Through a synergistic blend of knowledge, experience and hard work, this multidisciplinary team of scientist devoted to lead the organisation towards an outstanding level of success. Currently, the centre is aiming for further growth and is exploring unchartered areas of research in the field of Tyre Technology that will provide BIRLA Tyres the edge in today's ultra-competitive global market scenario. The brand name is often used interchangeably with "brand",although it is more correctly used to specifically denote written or spoken linguistic elements of a brand. In this context a "brand name" constitutes atype of trademark, if the brand name exclusively identifies the brand owner as the commercial source of products or services. A brand owner may seek to protect proprietary rights in relation to a brand name through trademark registration. Advertising spokespersons have also become part of some brands, for example: Mr. Whipple of Charmin toilet tissue and Tony the Tiger of Kellogg's.

Marketing Strategy Strategic thinking is key to the evolution of successful marketing strategies of Birla Tyre. This involves the following analyses: i. Understanding markets: Strategic perspective of the market requires skilful analysis of the trend and how they affect the market size and demand for the firm s product. ii. Finding market niches: Price, service, convenience and technology are some of the niches in Indian market. iii. Product and service planning: Analysis of the customer s promotion of the brand, both of the firm and competitors,besides an analysis of the situation in which the customer uses the product. iv. Distribution: Structural changes in inventory management, mobile distribution are some of the key factors that are going to affect the distribution process in the Indian market. v. Managing for result: With pressure on costs, prices, and margins, marketers will have to make effective utilization of every rupee spent in marketing.

Market opportunity of Birla: Identification of market opportunity is critical before the management of affirmtakes a decision to launch or diversify in any product area. This involvesanalysis of the following: Size of the market Marketing strategies and the extent and quality of services rendered byother firm in the industry. Market programmed required to satisfy market wants Identification of key success factors in an industry and linking them to afirm s strengths and weakness Market opportunity a. Size of the market b. How well the market is served c. Prospective inches d. Marketing mix required to succeed e. Core competencies

Framework of market opportunity analysis Size of the market: Sizes of the market are.... I.Demand analysis: is the core aspect of market opportunity. II.Segmentation analysis: is the process of dividing the market in to homogeneous sub units. III. Industry analysis:

Marketing mix: A Marketing mix is the division of groups to make a particular product, by pricing,product, branding, place, and quality. Although some marketers have added other P's, such as personnel and packaging, the fundamentals of marketing typically identifies the four P's of the marketing mix as referring to: 1. Product 2. Price 3. Promotion 4. Place

Product A tangible object or an intangible service that is mass producedor manufactured on a large scale with a specific volume of units. Intangibleproducts are often service based like thetourism industry& the hotel industry.Typical examples of a mass produced tangible object are the tyre. A lessobvious but ubiquitous mass produced service is acomputer operating system

PRICE The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product. The business may increase or decrease the price of product if other stores have the same product. Place

Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. Promotion Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements -advertising, public relations, word of mouth and point of sale. A certain amount of crossover occurs when promotion uses the four principal elements together, which iscommon in film promotion. Advertising covers any communication that is paidfor, from television and cinema commercials, radio and Internet adverts

through print media and billboards. One of the most notable means of promotion today is the Promotional Product, as in useful items distributed totargeted audiences with no obligation attached. Saes staff, word of mouth,Public relations etc are other such means of promotion.

We are manufacturers and exporters of Automotive Tyres, Tubes & Flaps.Various types of tyres available is given here :Deep Tread Highway Rib, Standard Highway Rib, Heavy Duty Highway Rib,Highway Rib, Extra Heavy Duty Lug, All Terrain Highway Traction, ExtraDurable Lug, RIB-LUG FOR HEAVY DUTY ON/OFF USE, HIGHWAY RIB,PASSENGER BIAS TYRES, REAR FARM TYRES, FARM SERVICE RIB,FABRIC BELTED RADIAL PASSENGER TYRES, MUD AND SNOW TYRES.We provide services such as :ESC : YOUR VITAL LINK TO THE INFORMATION TECHNOLOGY ANDELECTRONICS INDUSTRY IN INDIA.Electronics and Computer Software Export Promotion Council (ESC)-anautonomous organization under the Ministry of Information Technology,Government of India is the nodal agency to promote the Electronics and Computer Software trade with India. It has a membership of 1800 companiesdivided into the following product groups :- Consumer Electronics and toys of all kinds, Electronic Components, Computer Hardware and Peripherals,Telecommunication Equipment, Electronic Instruments, Medical and other Industrial Electronics, Computer Software, Internet Related Services.Practically all major players in the Indian Electronics export arena are members of ESC. The services provided by ESC include. -Development of export and exploration of possibilities of strategic tie ups,contract manufacturing and other tie ups. Market research studies in major overseas markets on a regular basis toexplore foreign markets and identify items of export potential.A constant stream of upgraded information on international marketing trendsand products specifications is made available, on a regular basis to Indianelectronics and computer software exporters.The information is packaged through Seminars, Workshops and Deep TreadHighway Rib, Standard Highway Rib, Heavy Duty Highway Rib, Highway Rib,Extra Heavy Duty Lug, All Terrain Highway Traction, Extra Durable Lug, RIB-LUG FOR HEAVY DUTY ON/OFF USE, HIGHWAY RIB, PASSENGER BIASTYRES, REAR FARM TYRES, FARM SERVICE RIB, FABRIC BELTEDRADIAL PASSENGER TYRES, MUD AND SNOW TYRES.We provide services such as :ESC : YOUR VITAL LINK TO THE INFORMATION TECHNOLOGY ANDELECTRONICS INDUSTRY IN INDIA.Electronics and Computer Software Export Promotion Council (ESC)-anautonomous organization under the Ministry of Information Technology,Government of India is the nodal agency to promote the Electronics andComputer Software trade with India. It has a membership of 1800 companiesdivided into the following product groups :- Consumer Electronics and toys of all kinds, Electronic Components, Computer Hardware and Peripherals,Telecommunication Equipment, Electronic Instruments, Medical and other Industrial Electronics, Computer Software, Internet Related Services.Practically all major players in the Indian Electronics export arena aremembers of ESC. The services provided by ESC include. -Development of export and exploration of possibilities of strategic tie ups,contract manufacturing and other tie ups.Market research studies in major overseas markets on a regular basis to

explore foreign markets and identify items of export potential. A constant stream of upgraded information on international marketing trends and products specifications is made available, on a regular basis to Indian electronics and computer software exporters.The information is packaged through Seminars, Workshops and Publications.ESC participates in practically all major electronic exhibitions in the world to help Indian electronics and computer software exporters meet potential importers. Organises buyers/sellers meets, market surveys and sales study missions in overseas markets. We are one of the leading manufacturers of automotiveTyres and Tubes in India. We are part of B.K. Birla Group of companies, oneof the biggest business houses in India, having set-up of a very modern plantat Balasore and Orissa, in technical collaboration with Pirelli Ltd., U.K. Theplant has an installed capacity of 1 million Tyres & Tubes per annum.Birla Tyres became one of the first tyre manufacturers in the country to beawarded the ISO 9001 certificates. Our tyres are approved by DOT (Dept. of Transportation, USA) and in-metro, Brazil.

Consumer Buying Behaviour

Consumer buying behavior is influenced by the culture and subculture. Habits,likes and dislikes of the people belonging to a particular culture or subculturecan affect the marketing efforts of a firm to a great extent. The social class towhich the individual belongs tells about the type of products the individualprefers. Other factors that influence the buying behavior are social factors likereference group and family, personal factors like the age, life cycle andoccupation, and psychological factors like motivation, perception and attitudesof the customers.Buying roles and buying decision constitute consumer s decisionmakingbehavior. A customer can adapt various buying roles like initiator, influencer,decider, buyer, preparer, maintainer and disposer in purchasing and using theproducts. Buying behavior helps marketers learn the intensity and degree of involvement of customers in purchasing the products. Customer buyingbehavior is broadly classified into three types. Extensive problem solvingbuying behavior is exhibited when a customer buys high involvement,expensive and less frequently purchased products. Consumers are involvedin routine problem solving decision-making process, when they purchaseroutinely purchased, low cost products. Variety seeking behavior is seen when customers purchase lowinvolvement products. Customers usually go through five stages in arriving at a purchase decision, though it might not be so in all the cases. In the first stage, the customer identifies an unsatisfied need in him. In the second stage, customers collect the information about the product and available brands through personal sources, commercial sources, public sources or experiential sources. In the third stage, the customers evaluate all the alternatives with the help of available information. In the fourth stage, the customer makes a purchase

decision. And finally in the fifth stage, he experiences post purchase satisfaction or dissatis faction. Post purchase usage and disposal of the product is also of equal importance to the marketer, as it can save cost and time of producing as well as help in protecting the environmental equilibrium.

Factors influencing the behaviour of buyers .Consumer behaviour is affected by many uncontrollable factors. Just think,what influences you before you buy a product or service? Your friends, your upbringing, your culture, the media, a role model or influences from certain groups?

Culture is one factor that influences behaviour. Simply culture is defined as our attitudes and beliefs. But how are these attitudes and beliefs developed? As an individual growing up, a child is influenced by their parents, brothers, sister and other family member who may teach them what is wrong or right.T hey learn about their religion and culture, which helps them develop these opinions, attitudes and beliefs (AIO). These factors will influence their purchase behaviour however other factors like groups of friends, or people they look up to may influence their choices of purchasing a particular product or service. Reference groups are particular groups of people some people may look up towards to that have an impact on consumer behaviour. So they can be simply a band like the Spice Girls or your immediate family members.Opinion leaders are those people that you look up to because your respect their views and judgments and these views may influence consumerdecisions. So it maybe a friend who works with the IT trade who mayinfluence your decision on what computer to buy. The economicalenvironment also has an impact on consumer behaviour; do consumers havea secure job and a regular income to spend on goods? Marketing andadvertising obviously influence consumers in trying to evoke them to purchasea particular product or service.People s social status will also impact their behaviour. What is their role withinsociety? Are they Actors? Doctors? Office worker? And mothers and fathersalso? Clearly being parents affects your buying habits depending on the ageof the children, the type of job may mean you need to purchase formalclothes; the income which is earned has an impact. The lifestyle of someonewho earns 250000 would clearly be different from someone who earns25000. Also characters have an influence on buying decision. Whether theperson is extrovert (out going and spends on entertainment) or introvert(keeps to themselves and purchases via online or mail order) again has animpact on the types of purchases made.

Types of buying behaviour. There are four typical types of buying behaviour based on the type of products that intends to be purchased. Complex buying behaviour is where the individual purchases a high value brand and seeks a lot of information be fore the purchase is made. Habitual buying behaviour is where the individual buys a product out of habit e.g. a daily newspaper, sugar or salt. Variety seeking buying behaviour is where the individual likes to shop around and experiment with different products. So an individual may shop around for different breakfast cereals because he/she wants variety in the mornings! Dissonancereducing buying behaviour is when buyer are highly involved with thepurchase of the product, because the purchase is expensive or infrequent.There is little difference between existing brands an example would be buying a diamond ring, there is perceived little difference between existing diamond brand manufacturers.

How do customers buy? Research suggests that customers go through a five-stage decision-makingprocess in any purchase. This is summarized in the diagram below:

This model is important for anyone making marketing decisions. It forces the marketer to consider the whole buying process rather than just the purchase decision (when it may be too late for a business to influence the choice!) The model implies that customers pass through all stages in every purchase. However, in more routine purchases, customers often skip or reverse some of the stages.

The buying process starts with need recognition. At this stage, the buyer recognizes a problem or need (e.g. I am hungry, we need a new sofa, I have a headache) or responds to a marketing stimulus (e.g. you pass Starbucks and are attracted by the aroma of coffee and chocolate muffins).An aroused customer then needs to decide how much information (if any) is required. If the need is strong and there is a product or service that meets the need close to hand, then a purchase decision is likely to be made there and then. If not, then the process of information search begins. A customer can obtain information from several sources: Personal sources: family, friends, neighbors etc Commercial sources: advertising; salespeople; retailers; dealers;packaging; point-of-sale displays Public sources: newspapers, radio, television, consumer organizations;specialist magazines Experiential sources: handling, examining, using the product The usefulness and influence of these sources of information will vary by product and by customer. Research suggests that customer s value and respect personal sources more than commercial sources (the influence of word of mouth ). The challenge for the marketing team is to identify which information sources are most influential in their target markets. In the evaluation stage, the customer must choose between the alternative brands, products Post-purchase evaluation - Cognitive Dissonance The final stage is the post-purchase evaluation of the decision. It is common for customers to experience concerns after making a purchase decision. This arises from a concept that is known as cognitive dissonance . The customer, having bought a product, may feel that an alternative would have been preferable. In these circumstances that customer will not repurchase immediately, but is likely to switch brands next time. To manage the post-purchase stage, it is the job of the marketing team to persuade the potential customer that the product will satisfy his or her needs. Then after having made a purchase, the customer should be encouraged that he or she has made the right decision.

Indian consumer profile Indian consumers are knowledgeable. They are tech savvy. Indian consumers are literate. Most of the Indian are middle class. Standard of living improved. Rational and think in a linear manner. They can explain their thought and behaviour. Think in words

3. RESEARCH METHODOLOGY3.1Title of the study: Brand and Image 3.2 Duration of the study: 3.3 Objective of the Study:-

The main objective of study is to present conclusion and necessarysuggestions regarding consumer awareness relating to BIRLA Tyres. The purpose of the study is to explore the market of BIRLA Tyres Ltd.and betterment of its Sale. The objective of study is to describe the unique characteristics of BIRLA Tyres in Comparison to others. To collect the information and their attitude from Tyres customers. To know the awareness level of customers of BIRLA Tyres specially. To collect their ideas about future purchasing of BIRLA Tyres. The objective of the study is to develop sound inter personal relation toget maximum output both customer and producer of BIRLA Tyres. To know the latest grievance of Customers.

3.4 Scope of the Study

The scope of marketing research can be pointed out by a single word,"Consumer Preference". It can be termed as the balance wheel as themarketing system which harmonies the study and demand factors. Marketing survey has wide scope and covers all aspects of marketing.Broadly its scope can be classified in the following categories :It is concerned with product of BIRLA Tyres. It is concerned with Sales and Distribution of BIRLA Tyres. Research on Promotional Policies of BIRLA Tyres Research on pricing of BIRLA Tyres. Business Economics Research of BIRLA Tyres It is concerned with Buying behaviour of BIRLA Tyres. Last but not the least Brand Image of BIRLA in market

3.5 Methodology of the Study

During the entire study, methods were followed which were found to be mostimportant :i) Personal Discussion :A lot of information on the subject, which were well known to thedifferent departments and branches of the company, were prevalent.Academic went to these depts. And branches together, theseinformation from their respective heads. ii) Documentary Observations :Secondary sources like books, journals published and unpublishedmaterials from different departments of the company were consulted. iii) Field Observation :During the training period I visited Muzaffarpur market being sent byBIRLA Tyres Ltd. Muzaffarpur to observe how the marketing operationswere being performed there.

The marketing strategies and operations are closely observed for all theseinformation I visited retailers dealers and as well as consumers to assess thepresent market situation of the product of BIRLA TYRES LTD.

3.6Limitation of the Study

In Summer Project this study has some limitations when I joined the companythat time DM was too much busy with his own assignments as it was theperiod where market was witnessing a lot dynamic changes like :(i)Unusual price increase like 8-10% in last 3 months. (ii) All of a sudden under load restriction was imposed by the Govt. of Bihar e.g. Golden Card (which was a govt. authorized taken for overload) was withdrawn for transporters.

Under these circumstances or critical situations I face difficulties which mayaffect my report directly or indirectly.

4. FACTS AND FINDING

Findings After taking the feedback of more than 100 customers & analyzing 2156 tires the study reveals that customers are fond of different brands in different areas. Like, in Puranichhavni area almost 60% of customers prefer BIRLA tires (especially BT339),in hanuman areas customers prefer Birla tyres, where in Transport Nagar people prefer JK & APOLLO. Not only different choices but also having different experience on different brands. It is found that many customers prefer JK sguaranteed tyres such as JET TRAK 39 and economy class rib tyre VIKRANTTRACK KING for its milage & reliability but it is also true that many other brands such as JET MILES , JET ACE , JET SUPER LUG do not have a strong place in customers mind. The study shows that JK s strong contender is CEAT who s quality was appreciated by many. CEAT s FM 78 & HCL SUPER are very much preferred. In guaranteed tyres APOLLO s FM78 is the main contender of JK.Incase of normal loaded trucks customers mostly rely on CEAT but in over load APOLLO & JK are reliable. Certainly MRF has not a good reputation at all. Also for LUG & Semi Lug segment Chinese tyres such as YELLO SEA & CROSS are also grabbing a strong foothold in the market. 1. Birla is the market leader followed by APOLLO. 2. VIKRANT TRACK KING of JK is most used/preferred tyre overall 3. In economy segment JK has Strong hold but premium segment is dominatedby CEAT. 4. JK Tyre is having edge breaking problem We are manufacturers and exporters of Automotive Tyres, Tubes & Flaps.Various types of tyres available is given here :, out of which 5 countries, we are market leaders

5 . DATA ANALYSIS AND INTERPRETATION Due to rapid changes in Technology, Competitor and Consumer preferencesa company can not to stick solely with its existing products and services. Customers want the new and improved product that comes about competitor. A company may obtain new product development in company's own research and development. To serve this purpose "BIRLA Tyres" has Research and development department which develops new products as per the demand of the market. To improvise this products or services they collects information from the research person about their competitors products. BIRLA Tyres is the largest tyre manufacturing company in India. It provides good tyres to their customers.

SWOT ANALYSIS

7.Conclusion
After conducting six weeks survey at Muzaffarpur I have reached these conclusion.

BIRLA tyre is the market leader in the LCV&SCV segment followed By MRF, J.K., Birls, Ceat.

BIRLA Tyres brand XT-7 and Amar are market leader at Muzaffarpur Urban and Rural Area.

XT-7 is Lug tyres and Amar RIB tyres, Most of the customers are satisfied with the performance of both tyres.

Appox 70% customers have positive and 30% customers have negative attitude in support of preference of BIRLA tyre at Muzaffarpur.

Customer's awareness level is better at Muzaffarpur area.

BIRLA tyres is the first tyre company which has launched new schemeto solve the claim within 2 days.

Most of the customers are unsatisfied with this scheme. Because dealers do not provide them this type of facility at their disposal.

8.. Recommendation and suggestion

The suggestions from the consumers to the tyre company are following

Some consumer are unsatisfied with the price because competitors product price are less than BIRLA, So company should pay attention in their mind on price.

Company should provide more mileage of tyres because overloading has been imposed by the government.

Company should provide credit facility because customer demands this type of facility.

The problem of BIRLA consumers are lack of adequate promotional schemes. Dealers don't provide adequate information in the support of the BIRLA brands. They see their margin of profit alone.

Some schemes should be provided by company. It is good technique for sales promotions.

Company should give special attention after sales service of their customers.

BIBLIOGRAFHY
WWW.WIKIPEDIA.COM WWW.BIRLATYRE.COM WWW.GOOGLE.COM