JK TYRE INDUSTRIES

FROM: - June 11, 2012 TO August 16, 2012

JK TYRE INDUSTRIES

Acknowledgement
A project report like this can be completed without help and advice from different services. The report has been made possible through the direct and indirect co-operation of various person for whom I wish to express my appreciation and gratitude. As the part of M.B.A. program helped me and given me a chance to work and gain experience in my specialization subject. First and foremost I am thankful to the academic and the administrative member of the Hindu Institute of Management & technology family, for giving me a chance to work on this project .I am thankful to Mr.Vivek Varshney not only for his idea regarding the project work. But also for his effective guidance whole hearted cooperation and support while developing this project. Last but not least, I am thankful to that person who helps me morally while conducting survey to collect the primary data regarding the project.

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PREFACE
The world today has come closer and in the wake of globalization and liberalization of the economic policy there is stiff demand of a through understanding of the various facts of management. Learning is continuous process and upgrading existing level of learning is a very important thing for the learner. Both theoretical and practical aspect of learning should receive utmost attention without acquiring practical knowledge we can hardly succeed. Studying
MBA

course from HIMT, under Maharishi Dayanand

University provided me the opportunity to have the theoretical knowledge and develop managerial skill.

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CONTENTS
Acknowledgement Preface

CHAPTER-1
Introduction Profile of JK tyre Vision & Mission Management Persons JK Tyre profit for the Quarter ended on June.30,2012 Tyre Terminology Type of Truck Tyre with respect to Load Quality Assurance Human Resource Development

CHAPTER-2
Objective of Study Scope of Study Importance

JK TYRE INDUSTRIES

Area of Survey

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CHAPTER-3
Research Methodology Observation Graphical representation Recommendation and Suggestion Conclusion

CHAPTER-4
Questionnaire Contributors Bibliography

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CHAPTER-1
Introduction Profile of JK tyre Vision & Mission Management Persons JK Tyre profit for the Quarter ended on June.30,2012 Tyre Terminology Type of Truck Tyre with respect to Load Quality Assurance Human Resource Development

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INTRODUCTION
The object of Buying Behavior of Truck tyre with respect to load and route conducted by me is a part of the market research programme of JK Tyre Indus. and is on attempt to get an idea about the consumers behavior and their views. This survey is essentially like a mirror which will reflect both the pre as well as post purchase behavior of the customer. With the growing need of not only retaining the market share but also increasing the share in the market it is of utmost importance that the companies must posses maximum information about their customers as well as those which are likely to be their customers in future, their expectations, their demand for quality and service, so that the company can make regular improvements in the quality of the product and services it is offering to the customers.

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In order to enhance the Sales and Promotion, the company will really have to keep in mind that the customer is the king and should be given what he demands, what he asks for. I surveyed about hundreds of truck customers in Delhi & Rohtak . I also visited some of the dealers, fitters and in the shops corner and tried to know many things about the tyre and the cost factor. During my survey I had found that many of the truck customers are using the JK tyre in their truck and are favourite among the other companies. The information I collected will be helpful to the company to gain confidence and faith of consumers and also enhance the sales figure. Therefore, I think this survey will necessarily will provide essential guidelines to the company for deciding and implementing policies, so as to increase market share and give JK Tyre competitive edge over its competitors.

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Profile of JK Industries
It comes from an urge to strive and deliver the best. A mindset that says, when it is good enough, improve it. It is a way of thinking that comes only from a power within." H.S.Singhania

JK tyre, a Division of JK Industries is the flagship company under the umbrella of JK Organization.

The advent of JK Organization on the industrial landscape of India almost synchronizes with the beginning of an era of industrial awareness - an endeavor for self reliance and the setting up of a

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dynamic Indian industry. This was way back in the middle of the 19th century. And the rest that followed is history. JK Organization has been a forerunner in the economic and social advancement of India. It always aimed at creating job opportunities for a multitude of countrymen and to provide high quality products. It has striven to make India self reliant by pioneering The production of a number of industrial and consumer products, by adopting the latest technology as well as developing its own knowhow. It has also undertaken industrial ventures in several other countries. JK Organization is an association of industrial and commercial companies and charitable trusts. Its member companies, employing nearly 50,000 persons are engaged in the manufacture of a variety of products and in diverse field of commerce and other fields. Trusts are devoted to promoting industrial, technical and medical research, education, religious values and providing better living and recreational facilities. With the spirit of social consciousness

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uppermost in mind, J.K. Organization is committed to the cause of human advancement. JK Tyre is a leading exporter of tyres from India and roughly accounts for about 5% of the total tyre exports from India (along with its associate Vikrant Tyres Limited) It is the first and only tyre manufacture in the world to receive the QS 9000 for multilocation operations: World's first tyre manufacture to receive the ISO 9000 for all its operations in one go. Also J.K Tyres is the first tyre company in India to receive ISO 14001 in recognisition of its environmental management systems. Today, JK Tyre's products compete with the best international players in the premium international bias market in more than 55 countries in 6 continents. The exports operate through a strong and dedicated distribution network, and our distributors are fully supported by the company's technical team in terms of continued product development to meet specific market needs. JK Tyre had obtained international accreditation for its products in the US, Europe, South America and the Middle East.

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J.K Tyre has been the recipient of various awards for exports for the last many years for its commitment to offer superior performance standards & path -breaking innovations. It was honored with ' The Special Export Award 2000-2001' from Capexil, making it its fourth consecutive award from India's premier industrial association. JK Tyre has also been recently recognized by Indian Trade Promotion Organization (ITPO) for being the largest tyre exporter to Latin America markets and is the proud recepient of first-ever FOCUS LAC Award for the year 1999-2000. J.K Tyres constant endeavor to deliver superior value to its customers and a sound marketing strategy forms the foundation of this spectacularly consistent performance on internationalfront. While JK Tyre has maintained its consistency in its marketing and distribution strategies for the export markets, it has also actively pursued development of new superior products to adapt to specific requirements of the different markets. The credit goes to the India's biggest in-house R&D centre, HASETRI (Hari Shankar Singhania Elastomer and Tyre Research Institute).

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This Centre for Rubber and Allied Technology was established at Jaykaygram, ISO/IEC Guide 25 & EN 45001. Equipped with advanced testing facilities, it pursues excellence by evolving technologies for superior product performance to reduce waste and pre-empt consumer needs. JK Tyre has achieved lot of milestones. However, with plans to bring in several pioneering technologies and benchmarking customer service standards there's lot which will roll out in future in JK Tyre's unstinted path to winning. JK Tyre is the leader in the Truck/Bus segment. With its customer oriented state-of-the-art product offerings, it has outpaced the industry growth rate and surged ahead of its competitors. Our tyres are specifically designed in accordance to the different loading and application requirements of our valued customers. The "Unique SEV System" in its Truck/Bus and LCV range of tyres ensures a highly efficient and uniform tyre curve - the best option for a wide variation of road and load conditions under which trucks operate in our country. The SEV System offers the outstanding

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advantages of Super Mileage, Greater Strength and Higher Ret readability - They Run More to Earn More..

Vision & Mission

VISION
To be amongst the most admired companies in India, committed to excellence

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MISSION

Be a Customer Obsessed Company - Customer First 24x7 No.1 Tyre Brand in India Most profitable Tyre Company in India Motivated and Committed team for excellence in performance Be a Green Company Deliver Enhanced Value to all stakeholders Enhance global presence through Acquisition / JV / Strategic Partnerships

MANAGEMENT
CHAIRMAN Hari Shankar Singhania
Board of Directors The Board of Directors consists of twelve Directors out of which seven directors are independents i.e., more than 50%. The Chairman is non- executive.

Audit Committee Four Directors (three non-executive independent directors and one executive director)

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Arun Kumar Bajoria (President & Director) Dr.Ragupati Singhania (VP & director) Shri Arvind Singh Mewar Shri Ashok U Katra (May 22, 2012) Managing Directors and Dy. Managing Director

Shareholders / Investors Grievance Committee A non-executive director is the Chairman of the Committee. Regional Sales Manager (Delhi region) - Mr. Jatin Kandhari Area Manager Mr.Sanjay Malhotra General Employee

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JK Tyre profit for the Quarter ended on June.30,2012

JK Tyre & Industries net profit rises 2473.96% in the June 2012 quarter Capital Market / 19:32 , Jul 30, 2012 Sales rise 2.28% to Rs. 1434.08 crore

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JK Tyre & Industries net profit rose 2473.96% to Rs. 24.71 crore in the quarter ended June 2012 as against Rs. 0.96 crore during the previous quarter ended June 2011. Sales rose 2.28% to Rs. 1434.08 crore in the quarter ended June 2012 as against Rs.1402.12 crore during the previous quarter ended June 2011. Particulars Sales OPM % PBDT PBT NP Quarter Ended Jun. 2012 Jun. 2011 % Var. 1434.08 8.78 82.44 56.11 24.71 1402.12 4.40 27.26 2.78 0.96 2 100 202 1918 2474

QUALITY EXCELLENCE

To maintain its competitiveness and zeal to perform better, JK Tyre has all along been on the path of quality journey. JK Tyre has yet again become the first tyre company in the world to receive the ISO/TS 16949:2000 Certificate for its entire range of

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Products (Bias & Radials) and for all plants (Four) as well as Corporate Office. All the plants of the Company continue to be ISO 9001 and ISO 14001 (for Environment

Management System) accredited, which reflects its commitment towards maintaining highest standards of quality and environment. Water and Energy are the critical resources in India and JK Tyre has been maintaining unrelented drive towards conserving these at its plants. At our Kankroli Plant, we not only do water harvesting but also ensure complete recycling of water to avoid waste.

CONSERVATION OF ENERGY ETC. The details as required under the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules 1988 are annexed. SUBSIDIARY COMPANIES The particulars required under the provisions of the Companies Act 1956 in respect of the subsidiary companies are appended.

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AUDITORS M/s. Lodha & Co., Chartered Accountants, Auditors of the Company, retire and are eligible for re-appointment. The appointment of the Auditors is required to be made by a special Resolution pursuant to Section 224-A of the Companies Act 1956. The observations of the Auditors in their report on Accounts read with the relevant notes are self-explanatory. COST AUDIT The Audit of the Cost Accounts of the Company for the year ended March 31,2012 will be conducted by the Cost Auditor and the Cost Audit Report will be submitted to the Department of Company Affairs, Government of India. PARTICULARS OF EMPLOYEES Information in accordance with the provisions of Section 217 (2A) of the Companies Act 1956 read with the Companies (Particulars of Employees) Rules 1975 as amended regarding employees is annexed to this Report. However, as per the provisions of Section 219(1) (b) (iv) of the Companies Act 1956. The Report and Accounts are being

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sent to all shareholders of the Company excluding the aforesaid information. Any shareholder interested in obtaining such particulars may write to the Secretary at the Company's New Delhi address.

CORPORATE GOVERNANCE Your Company reaffirms its commitment to the good corporate governance practices. Pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges, Management Discussion and Analysis, Corporate Governance Report and Auditor's Certificate regarding Compliance of conditions of Corporate Governance are made a part of this Annual Report. DIRECTORS' RESPONSIBILITY STATEMENT As required under Section 217 (2 AA) of the Companies Act 1956, your Directors state that: in the preparation of annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures; the accounting policies have been selected and applied

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consistently and judgments and estimates made are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for that period. Proper and sufficient care has been taken for maintenance of adequate accounting records in accordance with the provisions of the said Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; and The annual accounts have been prepared on a going concern basis. ACKNOWLEDGEMENTS Your Directors wish to acknowledge, the continued support and cooperation received from our valued Customers, Dealers, Suppliers, Shareholders, Banks, Financial Institutions, and various Central and State Government Agencies. They place on record their appreciation of the continued support of its Technical Collaborators M/s Continental AG, Germany. Your Directors also acknowledge and appreciate the commitment and dedication of the employees at all levels.

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On behalf of the board. On Dec.15,2011 H.S. Singhania New Delhi Chairman

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ANNEXURE TO DIRECTORS REPORT A. ENERGY CONSERVATION Monitoring of energy usage across all plants is carried out on a continuous basis by dedicated team of experts. Various projects for bringing down the energy consumption and reduction in the cost of power, steam, air and water cost are identified and implemented after proper analysis. These measures include change in machine, specs., introduction of variable frequency drives, improvised insulation of presses and pipe lines, improvements in condensate recovery, use of natural light, use of energy efficient lights at all administrative offices etc. With these measures consumption of energy at all plants has been optimized. As a major step towards energy conservation, the Company has saved water consumption substantially by recirculation, rain water harvesting and modification of process parameters. Specific area of additional investments and proposals The company has planned investments in a number of projects for conservation of energy, which include conversion of high cost fuel based DG sets to

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low cost fuels at its tyre plants, replacement of oil fired boiler by Coal Fired Boiler, revamping of hot water generator, providing auto control for heavy duty equipment, addition of more variable frequency drive for mills and re-use of surplus condensate in D.M. water inlet.
PARTICULARS OF CONSERVATION OF ENERGY 2009-10 I. Power & Fuel Consumption 1 Electricity a) Purchased: Unit (Kwh in lacs) Total Amount (Rs. in crores) Rate / Unit (Rs) b) Own Generation: Fuel Oils Unit (kwh in lacs) Unit/Ltr. Of Fuel Oil (kwh) Cost / Unit (Rs.) Turbo Generator (i) Thru Coal: Unit (kwh in lacs) Unit/MT of Coal Cost/Unit (Rs) (ii) Thru Bagasse: Unit (kwh in lacs) Unit/MT of Bagasse Cost/Unit (Rs) 2 Coal Quantity (MT) Total Amount (Rs. in crores) Average Rate (Rs./MT) Furnance Oil Quantity (KL) 201011

777.66 35.82 4.61

806.81 36.17 4.48

488.89 2.85 3.26

473.43 3.43 3.63

377.62 834.21 3.37

494.83 784.27 2.98

Not applicable 231.44 ,, ,, 221.09 ,, ,, 0.87 94631 21.37 2258 17065 134953 29.02 2150 7444

JK TYRE INDUSTRIES Total Amount (Rs in crores) Average Rate (Rs./Ltr.) II. Consumption per unit of production: Electricity (kwh/MT) Tyre Division Sugar Coal/Furnance Oil Tyre Division 19.5 11.43 8.14 10.94

966 0.48

965 370 0.44

B. RESEACH AND DEVELOPMENT

Research

and

Development

Activities:

The

'Technology Leadership' is at the core of all the R &D activities of the Company. The Company's commitment towards highest customer satisfaction and delivery of high value added products with fast changing needs of the automobile sector and customer preferences determines the road map of research and development at JK Tyre in close coordination with our Technical Collaborator (Continental AG., Germany). To Augment and fulfill this mission, the Company had promoted the state-of-the-art facility. 'Hari Shankar Singhania Elastomer and Tyre Research Institute (HASETRI), which is a unique

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combination of tyre material and mechanic research centre. Functioning since 1992, this DSIR recognized R &D Institute has been successful in developing new technologies for new high performance products, new compounds and components for traction, improved ride, low noise and better wear properties, energy efficient processes, recycling technology, improvement in pollution control and introduction of Radial Tractor Tyre. New initiatives and efforts have been well acclaimed by our OEM Customers. Research & Development Expenses The recurring expenditure on R &D during the year was Rs.6.86 crores, which was 0.33% of the net turnover. C. TECHNOLOGY ABSORPTION, ADAPTATION &

INNOVATION The Company has a team of well qualified and experienced Engineers, Scientists and Technologists who are up-to-date and committed to absorbing and adapting the latest technology. Absorption of design and manufacturing technology of all types of tyres are done with the help of the Collaborator as well as through indigenously developed programmes. These are further augmented by

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investing in-house R &D infrastructure and several modernization and expansion plans made at the plant by installing latest process equipments.

TYRE TERMINOLOGY
Provided here, for your benefit, are simple definitions of technical tyre terms that will enable you to understand the technology that goes into a tyre. Learn what each part of a tyre does, and get tyre-savvy!

Tyre Placard Decoding all that information on the sidewall Tyre Sizing Systems Other Markings Aspect Ratio (or sidewall height)

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Speed Ratings Load Indices

Tyre Placard 1. A vehicle's original tyre and wheel specifications are detailed on a placard affixed to all vehicles

manufactured on or after the 1st of January 1973. 2. The tyres conform to specific load carrying specifications as recommended on the vehicle manufacturer's tyre placard, as required by Australian Design Rule 23 (ADR23). 3. Tyres should be appropriate to the type and size of rim fitted to the vehicle. Decoding all that information on the sidewall All numbers, letters, symbols, mysterious codes. Heres the important stuff:

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A: Manufacturer or brand name, and commercial name or identity. B & J: Tyre size, construction and speed rating designations. See tyre sizes and speed ratings below. C: Denotes type of tyre construction. D: M&S denotes a tyre designed for mud and snow. Reinforced marking only where applicable. E: Load and pressure marking requirement. Tyre seizing System: Over the years there has been many different methods used to size tyres. Many of these are still in use today, with the ISO Metric Sizing System the most widely used. 1. Numeric Sizing System

This first system developed for tyre sizing was used until the late 1960s, but provided only the cross section width of the tyre and the rim diameter in inches. If the section width ended in zero (e.g., 7.00-16 or 7.50-16), the tyre had a common aspect ratio of about 92. For section widths not ending in zero (e.g., 8.25-15), the tyre was

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considered "low profile" with an aspect ratio of about 82.

2. Alphanumeric

Sizing

System

In 1968, a new concept was introduced worldwide. The Alphanumeric sizing system is a load-based system where tyres are designated by their load-carrying capacity and a spect ratio. The first letter is the load and size relationship, with letters ranging from A to N.The lower the letter, the smaller the size and, of course, the lower the load-carrying capacity of thetyre.

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3. P-Metric

Sizing

System

To accommodate the smaller tyres used on compact cars, the P-Metric

(Passenger Metric) system was created in 1976. The maximum inflation pressures of P-Metric tyres were raised for lower rolling resistance.

4.

Metric

Sizing

System

Because Europe primarily uses the metric system of measurement; the Metric sizing system was developed. It is essentially a conversion of the Numeric system. Section widths are notated in millimetres instead of inches. Originally, tyres not identified with an aspect ratio were assumed to be 82-series. When 60- and 70 series tyres appeared, the aspect ratio was added to the nomenclature, similar to the PMS. 5.ISO Metric Sizing System

The International Standards Organization (ISO) Metric system combines the Metric system with

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a service description. The service description provides the load index along with the speed rating symbol. 6.Millimetric Sizing System

The Millimetric sizing system is similar to the Metric system except that the rim diameter is also represented in millimeters.

7.

Light

Truck

Numeric

System

Similar to the Numeric system for cars, it lists the section width in inches, construction type, rim diameter in inches, plus the light truck designation. 8.Light Truck Metric System

Similar to the P-Metric system, except the P is replaced with the LT light truck designation. Also, LT-Metric and P-Metric tyres differ in construction. 9.Light Truck High Flotation System

Similar to the Numeric system for cars, it lists

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the section width in inches, construction type, rim diameter in inches, plus the light truck designation.

OTHERS.
DOT Codes - Coding satisfying the requirements of the US Department of Transportation contain a mixture of letters and numbers such as DOT DVDE MTA129.

E-Marks - Tyres for sale in the European Community must carry an E -Mark in accordance with ECE Reg 30 - eg E4 027550. Aspect Ratio (or sidewall height) Aspect ratio is the ratio of a tyre's width to it's height. A 70 series tyre, therefore, is a tyre whose height is equal to 70% of its width. Lower Profile Tyres hence have lower series numbers.

Speed rating of the tyre.

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All tyres carry a speed symbol in the form of a letter indicating the maximum speed for which the tyre is intended. This indicates the maximum speed that the tyre can sustain for ten minute endurance without coming to pieces and destroying itself and the car it is on. The table below shows which speed goes with each letter:

Speed Category Symbol D E F G J K L M N P

Speed (km/h) 65 70 80 90 100 110 120 130 140 150

Speed Category Symbol Q R S T U H V W Y ZR

Speed (km/h) 160 170 180 190 200 210 240 270 300 * OVER 240

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THE TYPE OF TRUCK TYRE ACCORDING TO LOAD

JET TRAK (NORMAL LOAD)

FEATURES & BENEFITS

16 PR Nylon Tyre for Rear Fitment on Normal and

Moderate loading vehicles.

Wide Deep Pyramid Lugs with high stability, are most suitable

for On & Off road Conditions.

Strong Shoulder designed to carry Loads under any Road Conditions.

Computer Aided Design for Uniform Wear. Wider Center Rib for higher Initial Mileage and Tread life.

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INNOVATIVE CONSTRUCTION

Super Strong Casing which gives maximum service and better Retreadibility.

Deep Tread for Extra Mileage.

SUPERIOR PERFORMANCE

Dual Compound Tread to ensure Structural Stability and high Mileage Potential.

Runs cooler for high performance. Renders Excellent Service and Clean Casing fetches far better Casing Value

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JET KING 10

FEATURES & BENEFITS

16 PR Nylon Tyre for Rear Fitment On Normal Load Vehicles.

Optimum design and premium Lug depth for Extra High Mileage for Normal Load Applications.

Computer Designed Tread for Uniform wear. Wide Deep Pyramid Lugs for all types of road conditions. Wider Center Rib for Higher Initial Mileage and Tread life. Sipes provided for Better Road Grip in Wet Road Conditions and cooler running.

INNOVATIVE CONSTRUCTION

Super Strong Casing which gives Maximum Service and Better Retreadibility.

DeepTread to give best possible mileage in normal to moderate loads.

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SUPERIOR PERFORMANCE

Dual Compound Tread to ensure Structural Stability and High Mileage Potential.

Cut Resistant. Runs Cooler For High Performance. Gives Extra High Mileage. Renders Excellent Service and Clean Casing.

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JET TRAK DX

FEATURES & BENEFITS

18 PR Nylon Economy Tyre for Rear Fitment on Heavy and

Moderate loading vehicles.

Wide Deep Pyramid Lugs with special compounding to reduce damage from side wall impact and avoid Lug Chipping.

Strong Shoulder designed to carry Loads under any Road Conditions.

Dual Tread Compound For cooler running.

INNOVATIVE CONSTRUCTION

Super Strong Casing which gives maximum service and better Retreadibility.

Specially constructed Super Strong Bead for Better load carrying capability and added safety factor.

FEA analysed cavity for smoother, quiet running and superior mileage.

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SUPERIOR PERFORMANCE

Extra Premium Depth Tyre for Higher Initial Mileage. Dual Tread Compound For cooler running. Renders Excellent Service and Clean Casing fetches far better Casing Value

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JET TRAK 39 (HEAVY LOAD) FEATURES & BENEFITS

18 PR Nylon Tyre for Rear Fitment on Heavy Loads.

A tyre designed exclusively for

'Heavy Load Conditions'.

Wide Deep Pyramid lugs most suitable for 'On & Off ' road Conditions.

Extra Strong casing designed to carry Heavy Loads under grueling conditions.

Computer aided design Tread for uniform wear.

INNOVATIVE CONSTRUCTION

Super Strong casing to provide stability under Heavy Loads. Superior Tread Compound for greater Mileage.

SUPERIOR PERFORMANCE

Dual Compound Tread to ensure Structural Stability, more Mileage Potential and high load carrying ability.

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Runs Cooler for High Performance. Tried and Time proven Lug Tyre for heavy loads. Renders Excellent Service and Clean Casing fetches far better Casing Value.

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JET TRAK 39 DX (SUPER HEAVY)

FEATURES & BENEFITS

18 PR Nylon Tyre for Rear Fitment on Heavy and Super Heavy Loads.

Wide Deep Pyramid lugs most

suitable for 'On & Off ' road Conditions.

Extra Strong casing designed to carry Heavy Loads under grueling conditions.

Computer aided design tread for uniform wear.

INNOVATIVE CONSTRUCTION

Additional rubber in tread for better Mileage. Extra strong shoulder for carrying heavy loads. Special re-inforced bead construction to carry extra heavy loads.

Special rubber compounding to have super cool running at heavy loads.

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SUPERIOR PERFORMANCE

Dual Compound Tread to ensure Structural Stability, more Mileage Potential and high load carrying ability.

Runs Cooler for High Performance. Renders Excellent Service and Clean Casing fetches far better Casing Value.

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Quality Assurance
While
cost

efficiency and a comprehensive product line will ensure

that the companys growth in the market, it will be quality which determine the rate and potential of its growth. Keeping this in Mind quality standards and processes are being revamped in corporating most modern day methods to ensure international level of quality.

Human Resource Development

The company is strengthening its human resource development department with a special emphasis on the area of in house training and participation in organized workshop, for all level and cadres. Employees are sponsored for on the job training.

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CHAPTER-II

Objective of Study Scope of Study Importance Area of Survey

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OBJECTIVE OF STUDY
The objective of Buying Behavior of Truck tyre with respect to load and route conducted by me is a part of market research program of JK Industries and is on attempt to get an idea about the consumer behavior and their views, this survey is essentially like a mirror which will reflect both the pre as well as post purchase behavior of the consumer. The main objectives of the study are: To find out the key and unique feature of JK tyre among the certain consumer. To find out the different marketing strategies. To find out the cost factor. To find out the problem regarding the load which affects the tyre. To find out the market share

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To find out what the customer wants.

SCOPE OF THE STUDY

The scope of the study is very wide as it provides information about the brand preference of consumer in the market. Sometimes consumer wants every features in one product (we can see in the case of the tyre where customer wants every thing such as cost, long lasting, reliability, durability etc in one brand). Therefore consumer is the king. This study reveals the current market situation related to the buying behavior of truck tyre keeping in view all the aspects.

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IMPORTANCE OF THE STUDY

Importance for the increasing market share. To know the problem regarding the load which affects the tyre? To know the different marketing strategies to increase the sales. Helpful in providing the relevant information about the customer. To know the cost factor in comparison to other tyre companies. To know the consumer preferences.

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AREA OF SURVEY (HARYANA)

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CHAPTER-III
Research Methodology Observation Graphical Representation Recommendation and Suggestion Conclusion

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RESEARCH ETHODOLOGY
Research design: - The main objective was to know the Buying Behavior of Truck tyre with respect to load and route, in this study report descriptive research design was adopted. Data source How the data is collected? Primary Data: - The primary data was collected through questionnaire & face to face interaction with the customer. Secondary Data: Marketing Management Data from Marketing Associates Magazines Journals Internet

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Universe

of

Study: - Area of survey was Delhi / Rohtak

Unit of Investigation: - All Consumers of age group 20 years and above. Sampling Design: - Random Sampling was conducted. Technique of data collection Response was generated through questionnaire. Sample Size: - About hundreds of customer in Delhi / Rohtak

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Research Methodology
Research is a common parlance refers to a search of knowledge. Research can also be defined as a scientific and systematic search for Particular information on a specific topic. In fact research is an art of scientific investigation. According to Clifford Woody research comprises defining and redefining problems, formulating hypothesis or suggested solutions, collecting, organizing and evaluating data, making deductions and reaching conclusions, and at last carefully testing the conclusions to determine whether they fit the formulating hypothesis.

Objective of Research
The main aim of research is to find out the truth which is hidden and which has not been discovered as yet. The following objectives of research are given: 1. To gain familiarity with a phenomenon or to achieve new insights into it (study with this object in view are termed as exploratory or formulate research studies).

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2. To portray accurately the characteristics of a particular individual, situation or a group (Study with this object in view are termed as descriptive research studies). 3. To determine the frequency with which something occurs or with which it is associated with something else (study with this object in view are termed as diagnostics research studies). 4. To test a hypothesis of a casual relationship between variables (study with this object in view are termed as hypothesis-testing research studies).

Types of Research
The types of research are as follows: 1. Descriptive Vs Analytical: Descriptive research includes surveys and fact-finding enquiries of different kinds. In this of method the researcher has no control over the variables; he can only report what has happened or what is happing.

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In analytical research, the researcher has to use facts or information already available, and analyze these to make a critical evaluation of the material. 2. Applied Vs. Fundamental: Applied research aims at findings a solution for immediate problems facings a society or an industrial/business

organization, whereas fundamental research is mainly concerned with generalizations and with the formulation of a theory. Gathering knowledge for knowledges shake is termed pure or basic research. 3. Quantitative Vs. Qualitative: Quantitative research is based on the measurement of quantity or amount. It is applicable to phenomenon that can be expressed in terms of quantity. Where as qualitative research is concerned with qualitative phenomenon. It is especially important in the behavioral science where the aim is to discover the underlying motives of human behavior. Through such research we can analyze the various factors which

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motivate people to behave in a particular manner or which make people like or dislike a particular thing. 4. Conceptual Vs. Empirical: Conceptual research is that related to some abstract idea(s) or theory. It is generally used by philosophers and thinker to develop new concepts or to reinterpret existing ones. Where as Empirical research relies on experience or observation alone, often without due regard for system and theory. It is based research, coming up with conclusions which are capable of being verified by observation or experiment. 5. Some other types of research: All other types of research are variations of one or more of the above stated approaches, based on either the purpose of research, or the time required to accomplish research, or the environment in which research is done, or on the basis of some other similar factor. The research can be One-time research or longitudinal research, Field-setting research or laboratory research or

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simulation

research,

Clinical

or

diagnostic

research,

Exploratory or formalized, Historical Research, Conclusionoriented and decision-oriented research.

Research Design
The formidable problem that follows the task of defining the research problem is the preparation of the design of the research project, popularly known as the research design. Decision regarding what, where, when, how much, by what means concerning as inquiry or a research study constitute a research design. A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. More explicitly, the design decision happens to be in respect of: 1. 2. 3. 4. 5. What is the study about? Why is the study being made? Where will the study be carried out? What type of data is required? Where can be the required be found?

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6. 7. 8. 9.

What period of time will the study include? What will be the sample design? What techniques of data collection will be used? How will the data be analyzed?

10. In what style will the report be prepared? Keeping in view the above stated design decisions; one may split the overall research design into the following parts: (a) The Sampling design which deals with the method of selecting items to be observed for the given study: (b) The Observational design which relates to the conditions under which observations are made; (c) The Statistical design which concerns with the question of how many items are to be observed and how the information and data gathered are to be analyzed; and (d) The Operational design which deals with the techniques by which the procedures specified in the sampling, statistical and observational design can be carried out.

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Research Process Before embarking on the details of research

methodology and techniques, it seems appropriate to present a brief overview of the research process. Research process consists of series of actions or steps necessary to effectively carry out research and the desired sequencing of these steps. However the following order concerning various steps provides a useful procedural guideline regarding the research process: 1. 2. 3. 4. 5. 6. 7. 8. 9. Formulating the research problem; Extensive literature surveys; Developing the hypothesis; Preparing the research design; Determining sample design; Collecting the data; Execution of the project; Analysis of data; Hypothesis testing;

10. Generalization and interpretation; and 11. Preparation of report or presentation of the result.

JK TYRE INDUSTRIES Define research problem Review concepts and theories Reviews previous research findings

Formulate Hypothesis Analyze data( Test Hypothesis if any) Collect Data (Execution) Design research(including sample design)

FF

Interpret and report

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FF

RESEARCH PROCESS IN FLOW CHART

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Sampling and Sample Design

All the items under consideration in any field of inquiry constitute a universe or population. A complete enumeration of all the items in the population is known as a census inquiry. It can be presumed that in such an inquiry when all the items are covered no element of chance is left and highest accuracy is obtained. The researcher must decide the way of selecting a sample or what is popularly known as the sample design. A brief mention of the important sample designs is as follows: 1. Deliberate Sampling: Deliberate sampling is also known as purposive or non-probability sampling. This sampling method involves purposive or deliberate selection of particular units of the universe for constituting a sample which represents the universe. When population elements are selected for inclusion in the sample based on the ease of access, it can be called convenience sampling. 2. Simple Random Sampling: This type of sampling is also known as chance sampling or probability sampling where each and every item in the population has an equal chance of

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illusion in the sample and each one of the possible samples, in case of finite universe, has the same probability of being selected. 3. Systematic Sampling: In some instances the most practical way of sampling is to select every 15 th name on a list, every 10th house on one side of a street and so on. An element of randomness is usually introduced into this kind of sampling by using random numbers to pick up the unit with which to start. 4. Stratified sampling: If the population from which a sample is to be drawn does not constitute a homogeneous group then stratified sampling technique is applied so as to obtain a representative sample. In this technique, the population is stratified into a number of non-overlapping subpopulations or strata and sample items are selected from each stratum. If the items selected from each stratum is based on sample random sampling the entire procedure, first stratification and then simple random sampling, is known as stratified random sampling.

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5.

Quota sampling: in stratified sampling the cost of taking random samples from individual strata is often so expensive that interviewers are simply given quota to be filled from the different strata, the actual selection of items for sample being left to the interviewers judgment. This is called quota sampling.

6.

Cluster sampling and Area sampling: cluster sampling involves grouping the population and then selecting the groups or the clusters rather than individual element for inclusion in the sample. Area sampling is quite closer cluster sampling is often talked about when the total geographical area of interest happens to be big one. Under area sampling we first divide generally called geographical clusters, then a number of these smaller areas are randomly selected, and all units in these small areas are included in the sample.

7.

Multi-stage sampling: This is a further development of the idea of cluster sampling. This technique is meant for big inquiries extending to a considerably large geographical area like an entire country.

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8.

Sequential sampling: This is somewhat a complex sample design where the ultimate size of the sample is not fixed in advance but is determined according to mathematical decisions on the basis of information yielded as survey progresses. This design is usually adopted under acceptance sampling plan in the context of statistical quality control.

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SWOT ANALYSIS
S: Strength W: Weakness O: Opportunities T: Threats Strengths:
1. Growing Market 2. Good brand equity 3. Latest technology used 4. Best quality product

Weakness:
1. 2. Advertisement is not upto the reach of the consumers. Costlier than other brands.

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Opportunities:
1. 2. Dealers and Retailers network boost the sales. Our Road Show Programmes will make products familiar to the consumers.

Threats:
1. 2. Unbranded Adhesive are big competitors Big use of promotional tools by other companies.

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O B S E R V A T I O N

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SAMPLE
In my survey of truck tyre I came to know that out of 100 customers about 19% were Apollo Tyre, 24% were JK Tyre, 12% were CEAT Tyre in the market, 29% were MRF Tyre and 12% were Birla Tyre. I tried to what made them like these tyres through questionnaires, the detail is given below. JK tyre is growing day by day with there performance. Name of the Company Apollo Tyre JK tyre MRF Tyre Ceat Tyre Birla Tyre Others Percentage 19% 24% 29% 12% 12% 04%

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Purchasing Factor of Truck Tyre

While doing my survey of truck tyre on purchasing factor many reason came in front and the top factor was the cost factor, grip factor on the road, durability/reliability, Service network, maintenance. I came to know that out of 100 customers about 40% gave priority to the cost factor 25% gave priority to the reliability of the tyre. Purchasing Factor Price Factor Grip on the road Durability/reliability Service Network Maintenance Factor Percentage 40% 10% 25% 20% 5%

Thus we see that as for the factors of purchasing are concerned the customer choice goes first the cost and second the reliability factor.

Information about the Tyres

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While doing my survey of truck tyre I had gathered some of the information about the tyres who had already purchased their tyre. In which I had seen that 55% owners came to know through their friends, 10% from TV, and so on. These can be viewed in the table. Sources Friends Television Newspaper Hoardings/Posters Relatives Shops No. of Customer 55 10 05 10 12 08 Percentage 55 10 05 10 12 08

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Satisfaction with regard to performance

As I had gone through whole process while making this project I had found that mostly people were satisfied with the performance of their truck tyre through questionnaire with 100 of customers. The customer using the JK tyre in their truck more than 70% customers are satisfied and 30% are not satisfied. JK TYRE user Satisfied 70% Unsatisfied 30%

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Performance of Tyre with respect to LOAD

As I had gone through whole process while making this project I had found that mostly people were satisfied with the performance of their truck tyre according to their load on the truck .Through questionnaire with 100 of customers using the JK tyre in their truck about 55% of the customer Under load and 25% are between 12.1-15 tonnes and 20% are between 15.1-18 tonnes & over load Capacity/Load Under load 12.1-15 tonnes 15.1-18 tonnes & overload No. of Customer 55 25 20 Percentage 55% 25% 20%

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Performance with respect to the ROUTE

While doing my survey of truck tyre I had gathered some of the information about the truck routes which runs all around India, Haryana, North-East states, Gujarat and Maharashtra All the truck was running on the National Highway, GT road. Therefore the performances of the tyre were good running on these routes. But there is some problem under state & Inter state route like Delhi to Bihar Delhi to Himachal Pradesh Rohtak to Tosham Rohtak to Faridabad

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G R A P H I C A L

R E P R E S E N T A T I O N

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SAMPLE
Name Of Company APOLLO TYRE JK TYRE MRF TYRE CEATE TYRE BIRLA OTHERS
SAMPLE
35 30 25
APOLLO

Percentage 19% 24% 29% 12% 12% 04%

PERCENTAGE

20 15 10 5 0 COMPANIES

JK MRF CEATE BIRLA OTHER

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Purchasing Factor of Truck Tyre

Purchasing Factor Price Factor Grip on the road Durability/reliability Service Network Maintenance Factor Percentage 40% 10% 25% 20% 5%

40 35 30 25 20 15 10 5 PRICE 0 DURABILITY GRIP MAINTENANCE SERVICE

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Information about the Tyres

Sources Friends Television Newspaper Hoardings/Posters Relatives Shops No. of Customer 55 10 05 10 12 08 Percentage 55 10 05 10 12 08

Information about the tyres

RELATIV ES

HOARDI NGS TV

FRIENDS

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Satisfaction with regard to performance of JK Tyre

Satisfied 70% Unsatisfied 30%

Unsatisfie d 30% Satisfied 70%

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Performance of Tyre with respect to LOAD

Capacity/Load Under load 12.1-15 tonnes 15.1-18 tonnes & over load No. of Customer 55 25 20 Percentage 55 25 20

Performance of Tyre with respect to LOAD

Under load 12.1-15 15.1-18

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R E C O M M E N D A T I O N

A N D

S U G G E S T I O N

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Recommendation and Suggestion

Keeping in view all the facts, figures and finding I want to make certain recommendations which are as follows: Cost should be reduced to some extent in comparison to other tyres. The company must ensure timely visit of their marketing officers to all the service centers and dealers to ensure that the customers are satisfied; company can also hire engineers to solve the technical problems of the consumers as soon as possible. I must recommend that company should must come up with some beneficial schemes like gift offers for dealers and consumers. Get interacted with Customers & various stake holders

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C O N C L U S I O N

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CONCLUSION
The last few months have been better in terms of volume growth. JK Tyres has captured a better share in the market in comparison to other tyres just below MRF tyres with a Margin of 05% with respect to the buying behavior of the truck tyre keeping in view the load and route of the truck. The performance of the tyre is up to the mark. JK Tyres has made his vital place in the market. Watching it cost in the Market it is slightly high in comparison to other. Market realities are getting complex everyday and so are the needs. The sales of the tyres are increasing at a very high speed in this very fast paced environment. In the, regional market now different competitors are crossing their boundaries to enhance reach and cater the buyer in both urban and rural areas, which are more advertising, focused. The fight for a better market will continue. The Indian political and business environment had been extremely good for the tyres industries. There have been so many models and new products are being launched in the market in support of the environment.

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JK TYRES has just launched Indias first Eco-Friendly Tyre in the market. Every single marketer today wants to maximize its reach. Customers are getting more and more advance and brand awareness. We try to work closely with the marketers on the brand experience in totality to the consumer is very satisfying. Since we are able to effectively integrate the marketing and the new mediums that I have talked about earlier I find marketers finding better value by JK Tyres. The most targeted customer was between 30-40. Because of the widespread use of the truck customer in the same age groups. An example of a good deal would be pay for one.

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CHAPTER-IV
Questionnaire Contributors Bibliography

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Questionnaire
1. Do you own a Truck? 2. What is the type of Vehicle? Yes/No 6wh/10wh/18wh

3. Which brand of tyre you have in your truck (a) APOLLO ( ) (b) JK ( ) (c) CEATE ( ) (d) MRF ( ) (e) BIRLA ( ) (f) GOODYEAR ( ) (g) ANY OTHER ( ) 4. Which factor influence you to purchase the tyres (a) Price (b) Performance ( (c) Service network ( (d) Maintenance ( (e) Durability/reliability ( ( ) ) ) ) )

5. From where did you get the information about the Tyre: (a) Friends (b) TV ( ( ) ) ) ) )

(c) Hoardings ( (d) Relatives ( (e) Newspapers (

6. Are you satisfied with the performance: Yes/No

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7. Are you satisfied with the services provided by the dealers: Yes/No 8. Do you have any plans to purchase new tyres if yes then which tyre would you like to buy? 9. Why do you want to purchase this tyre give reason? (a) Price (b) Performance ( (c) Maintenance ( (d) Durability/reliability ( (e) Other ( ) ( ) ) ) )

10. Are you attracted by given scheme or gift? Yes/No 11. What is your average Capacity/load of your truck? (a) Under load (0-12 tonns) (b) 12.1-15 tonns (c) 15.1-18 tonns (d) 18.1-above 12. Does over load affects your tyre to get damaged? Yes/No 13. What problem do you face due to over load give reason? 14. According to your route what problem you face in your truck tyre?

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15. If you have to recommend a tyre which one you will recommend after your first choice? 16. How any complain with your tyre during its Guarantee/warranty period? (a) (b) (c) (d) (e) 1 2 3 4

17. Your comment/suggestion/advice about the JK Tyre. NAME: -

AGE: ADDRESS: PHONE: Thanks for your cooperation.

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CONTRIBUTORS
Mr. Jatin kandhari (Regional Manager) Mr. R.Takur (Regional Operational Manager) Mr. Vivek Kumar Varshney (Area Service Head) Mr. Ankur Jaggi (Area Manager Delhi T/B tyre) Mr. Sanjay Malhotra (Area Manager, Rohtak ) Mr. C.K Jain (Sr.Sales officer Rohtak) Whole Family

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BIBLIOGRAPHY

Marketing Management Analysis, Planning and Control

by Philip Kotlar

Research for Marketing Decision by Paul E. Green,

Donald S. Tull, Gerald Albaum

Research Methodology written by C.R. Kothari Organizational Data from Internet.

www.jktyre.com

www.google.com

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