1

CHAPTER I
INTRODUCTION










2



INTRODUCTION TO TOPIC

Consumer satisfaction is a term frequently used in marketing .it deals with
consumer more than any other business function. Creating consumer value and
satisfaction are the heart of modern marketing thinking, practice and promotional tools
and technique.
Marketing is defined by American Marketing Association as "Marketing is
the process of planning and executing the conception pricing, promotion and distribution
of goods and services to create exchanges that satisfy individual and organizational
objectives".
The two-fold goal of marketing is to attract new customers by delivering
satisfaction. To achieve the two fold goal of marketing, marketers must know the
perception of consumers because how the person acts is influenced by his or her
perception of the situation.
Marketing makes use of various social, economical, managerial,
mathematical, artistic, psychological and scientific techniques to attain their goals. Those
marketers who understand perception of consumers and producing goods, which satisfy
consumer needs, can stand in the market and have more market share by promotional
activities. Those who are not giving much importance to the perception of consumers
they cannot satisfy the consumer needs so they lose their market share. So knowing of
perception is necessary in modern marketing because creating customer value and
satisfaction is the heart of modern marketing.



3

Scope of the study
Marketing is typically seen as the task of creating, promoting and
delivering of goods and services to consumers and businesses. Marketers are skilled in
stimulating demand for a company product, but this is too limited a view of the tasks
marketers performs. Just as production and logistics professionals are responsible for
supply management; marketing managers seek to influence the level, timing and
composition of demand to meet the organization's objectives.
Marketing people are involved in marketing 10 types of entities: goods
services, experiences, events, persons, places, properties, organizations, information and
ideas.













4

OBJECTIVE
To analyze the satisfaction level of the consumers of Panyam Cement.

CONSUMER
A "consumer" is a person or group of people, such as a household, who
are the final users of products or services. The consumer's use is final in the sense that the
product is usually not improved by the use.
The consumer is the one who pays to consume the goods and services
produced. As such, consumers play a vital role in the economic system of a nation. In the
absence of effective consumer demand, producers would lack one of the key motivations
to produce: to sell to consumers and the consumer also form part of the chain of
distribution.
Rise of consumer Awareness
Kautilya was one of the earliest to write in his Arthasastra about the need
for Consumer awareness and protection. With the growth of private sector there is a
greater need for discipline and regulation of the market. Consumers must be aware of the
sale and purchase of goods, the health and security aspects also. Ensuring the safety of
food items sold in the market is essential these days.
Legal measures for consumer safety and consumer awareness must be
uniform, and transparent in terms of prices, quality of goods, and stocks. Consumers must
have the tools to combat malpractices and protect their rights.




5

Rights and Duties of Consumers
As codified under the Indian Laws the Consumers have the following:
Rights
1. Right to Safetyto protect against hazardous goods
2. Right to be informed about price, quality, purity
3. Right to chooseaccess to a variety of goods and services at competitive prices.
4. Right to be heardconsumers interest and welfare must be taken care of
5. Right to seek Redressprotection against unfair trade practices and
Settling genuine grievances.
6. Right to Consumer Education,Knowledge about goods and issues related to
consumers.
Duties
1. Get a bill for every important purchase and also the Warranty card
2. Check the ISI mark or Agmark on the goods
3. Form consumer awareness groups
4. Make a complaint on genuine grievances.
5. Consumers must know to exercise their rights.




6

CONSUMERS OF CEMENTS
CONSUMERS CONSUMPTION PERCENTAGE
HOUSING-PRIVATE 65
INFRASTRUCTURE-GOVERNMENT 20
INFRASTRUCTURE-PRIVATE 1
INDUSTRY (including associate housing)
14

TOTAL 100






7











CHAPTER-II
INDUSTRY & COMPANY PROFILE












8

CEMENT INDUSTRY IN INDIA

CEMENT INDUSTRY PROFILE
Cement industry is one of the major manufacturing industries in the Indian
Economy. It is an indigenous Industry in which the country is endeavored with all
necessary raw materials, skilled manpower, machinery and equipment's, technology and
further know how. It is one of; the key, capital-intensive energy and transport intensive
industries in India. It produces a commodity that enters into various constructions,
investments and welfare activities in almost every segment of the economy. Its
contribution to the development of modern civilization. It is thus a vita! Industry which
assumes a crucial part in the economic growth and development of a country.
CONCEPTUAL BACKGROUND
The word cement is derived from the LATIAN word "CEMENTUM"
cement may be defined as an adhesive substance capable of uniting fragments or massed
of solid, matter to a compact whole. Such a definition embraces a large number of
different adhesive substances.
The history of cement as a product used in construction works can be
detailed back to the early Indus civilization. But it is the origin of cement was steam from
Greek and Romans. It was 1824, Joseph Asp Olin, an English Mason developed a type of
cement, which would set and harden in water.
He named it as Portland cement of the set and hardened stone of cement
looked similar in color and feature to building stoned from quarries near Portland in
sincethis development of this product has been wrapped and spectacular and it was this
Portland cement, which had made almost all the modern constructions possible. ;



9

EARLY HISTORY
Cement was produced for the first time in India 1904 by South India
Industries Limited, Madras. This unit which had an installed capacity of 30 tons per day.
By 1913 however, three units were started their operations with a combined installed
capacity of 7,500 tons per annum. In 1914 indigenous production fell for short of
domestic demand necessitating an import of 1,675,725 tones. Shipment difficulties and
foreign trade restrictions during the first world war year acted as incentive to the
development of indigenous Industry by 1924 the latest capacity grown to 5,59,00 tones
per annum. The capacity Utilization rate however, remained unsatisfactory partly due to
large scale imports, cut throats competitions and resultant price decline in the past one
year and some companies even had to face liquidation.
The government referred to the problem of the Industry to the tariff board,
which recommended tariff protection. Account this time, the CMA(CEMENT
MANUFACTURERS ASSOCIATION) and 'The Cement Marketing Company of India'
came into being with the chief objective of popularizing indigenous cement and co-
ordination the marketing and pricing functions of cement.
DEVELOPMENT OF CEMENT INDUSTRY
The rigid control on price and distribution of cement for decade results in
an uneven growth of cement Industry like the fifth year plan. The production was totally
inadequate to meet domestic demand. Imports had to be restored from time to time since
1977-78.
However the introduction of multi tier retention formula assuring a past
tax return of 12% net worth and the scheme of partial decontrol is introduced in 1982,
attracted new investments, consequently unprecedented progress took place in cement
Industry in terms of capacity and production. The capacity which was 24.3 million tons in
1979-80 reached up to 428 million tons in 1984-85. And cement production also
increased from 17.6 million tons to 30.2 million tons during the same period
10

The installed capacity of cement increases from 3.3 million tons in 1950-
51 to 44.0 million tons in 1985-86 at the average rate of 77%. Production of cement rose
from 3.0 million tons to 33.1 million tons at the rate 71%. Capacity utilization of cement
Industry covered around 9% on an average rate.
Within short period of 4 years (1982-83 to 1985-86) the cement industry
added more than half of the capacity it sustained during the preceding three decades. Also
the country has come out of the acute shortage and black marketing in cement.
Over the last five years, increasing capacity was grown by 9% a year,
where as demand has grown by only 7%. So the industry has been operating at an
average capacity of 81% in 1996-97.
VARIOUS TYPES OF CEMENT
There are different verities of cement produced in India. Some important
verities mentioned below.
1. OPC - ORDINARY PORTLAND CEMENT
2. PP - PORTLAND POZZYLANA
3. PPC - PORTLAND PARG CEMENT
4. HSC - HIGH STRENGTH CEMENT
5. SRC - SULPHATE RESISTANT CEMENT
6. OWC - OIL WELL CEMENT
7. IOC - IRON-ORE CEMENT




11


STRENGTHS OF INDIAN CEMENT INDUSTRY
1. India is the fourth cement producer in the world.
2. Indian cement Industry has been in an unprecedented growth for the last 15 years.
Projected growth rate expected of the next two years is 8.3% to 10%.
3. Indian cement Industry has undertaken comprehensive modernization and employs
state-of the-art technology.
4. Quality of the cement produced can be comparable with the best in the world.
5. Indian Cement plants produce 11 varieties of cement conforming to high standards
prescribed by BIS (Bureau of Indian Standards) and is being exported to not only
neighboring countries but also to South East Asia and West Asia.
6. Many plants in India are adopting TMQ. Many cement plants obtained ISO-9002
certification and many others are set to fall in line.
7. Some modern cement plants have achieved high energy efficiency of 800 kcal/kg
thermal energy and 90kwh/t electrical consumption, thereby increasing
their productivity considerably.
8. Industry has been adapting newer technologies such as
Online bulk analyses
Pre-blending of coal
Vertical roller mill with external circulation systems H Jar
Mechanical conveying system
9. Indian has got large resources of limestone (90 billion tons) and coal (190 billion
tons to meet the demand, domestic as well as export.
10. Indian cement Industry has acquired technical competence and managerial
capabilities on par with international standards.
12

WEAKNESS OF INDIAN CEMENT INDUSTRY
1. Uneven distribution of limestone deposition the country leading to
Concentration of large plants in clusters resulting in greater transport distances
from plants to consumption centers.
2. Distance between consumption centers and production centers is very large
(average 650 KM), leading to high transport costs. Transportation costs of fuel
(coal) from coal fields to manufacturing centers in high (average distance is
1200km).
3. Captive power costs accounts to 40% to 45% of cement cost due to power cuts in
several states.
4. Handling cement in bags is costly by comparison to bulk handling sine it involves
additional cost due to packing and losses in handling.
5. Low per capita consumption in India which is 71(1998), as against world average
of 223kg (1993).
6. The demands of various growing industries has been increasing in the infrastructure
sectors which are unable to grow due to paucity of funds.
7. Average capacity Utilization over the installed capacity is 80% (Installed capacity
is 83 million tone).
8. Quality coal not available within the country and better quality coal imports only
feasible for port-based unites.
9. Lack of port facilities impending export.



13

MAJOR CEMENT COMPANIES IN ANDHRA PRADESH
Name of the unit Capacity Cement Production
A.C.C-Mancherial 3,35,664 4,44,792
Orient Cements Ltd. 9,00,000 10,27,201
Kesoram Cements 9,00,000 7,82,383
Zuari Cements 5,00,004 5,61,730
Adilabad -CCI 3,99,996 1,91,818
Teraguntla - CCI 3,99,996 2,35,396
Tandur-CCI - 9,99,996 4,23,360
VizagAndhra Cements 4,99,992 1,88,940
Nadikudi - Durga Cements 4,99,992 1,89,840
Chikamjur-ICL 9,99,996 9,21,141
Madras Cements, Jayanthipuram 11,00,004 10,09,316
K.C.P. Ltd., 3,99,996 4,74,880
Panyam Cement s 5,31,000 5,00,054
Rasi Cements 15,99,996 16,46,644
Priya Cements 6,00,000 7,16,223
Sir Vishnu Cements 6,00,000 6,04,441
Total 1,17,20,148 1,00,43,994


14

COMPANY PROFILE
PROFILE OF PANYAM CEMENT LTD.
Mr. S.P.Y Reddy started with a small plastic container manufacturing
around 30 years ago and soon graduated into pipes manufacturing. With focus on quality
and innovative marketing the group had grown into a multi product, multi location entity.
We are into manufacturing of PVC pipes, HOPE pipes, Storage containers, flexible
hoses, fittings and processing of dairy products.
The group had acquired majority stake in Panyam Cements two years ago.
After resolving all issues, production was restarted in the month of May 2006. We
believe with infrastructure and construction boom all around, the prospects are excellent
for this unit.
We have also initiated construction of Ethanol unit. We hope to
commence production by Jan 2007. Our vision is to have three successful vertical entities
Plastics, Cement and Ethanol by 2007.
History of Panyam Cements
Cement Division
Panyam Cements & Mineral Industries Limited was promoted by Padmasri Somappa and
others during 1955. Initially one kiln with a capacity of 200 TPD was installed and later
on the capacities were augmented by addition of two more kilns with a capacity of 300
TPD and 600 TPD respectively. Over the years, the wet process kilns were converted into
dry process and the capacities were increased to a level of 2200 TPD.
Engineering Division
The Engineering Division was established in 1976 at Bangalore as a separate Company
under the name of "Deccan Wires Limited" by the original Promoters of PCMIL. Deccan
Wires Limited was later amalgamated with PCMIL in 1980. The unit was set up to
manufacture 10000 tones of
15


High Carbon and Alloy Special Steel Wires. In 1988 the company was became sick and
the management of the company was taken over by late M.V.Subba Rao and Associates.
M.V.Subba Rao and Associates have taken various steps to improve the profitability of
the company which has yielded results in wiping out the accumulated losses and the
company reported excellence performance in the years 1996-97 and 1997-98.
However, the Cement Industry went through severe crisis in 1999
consequent to the liberalization policy announced by the Government of India. In
addition, the Cement Unit could not run to its capacity due to various reasons such as
paucity of working capital finance, higher consumption of power and fuel when
compared to industry norms and huge wage bill of workmen. The then existing
management were unable to meet day to day requirements for running the cement unit on
a continuous basis.
Considering the worst situation prevailing in PANYAM CEMENTS, more
particularly about the welfare of the workmen and labour who were striving hard for their
livelihood due to non-operation of the unit for nearly three years, Sri S.P.Y.Reddy, sitting
Member Parliament (representing Nandyal Parliamentary Constituency in A.P) and
Chairman of Nandi Group of Companies has taken over the Management of the company
during September 2004. The new management has invested about Rs.35 cores for
restarting the operations of the company and addressed the issues relating to pressing
liabilities like payment of statutory dues, salaries to workmen, secured and unsecured
creditors, and procurement of raw materials. The new management has also taken
effective steps for recapturing the market for our brand which was having brand image
for more than 50 years. Against the funds brought in by the promoters, the company has
allotted shares to the promoters aggregating to Rs.7.10 cores pursuant to Section 81(1A)
of the Companies Act, 1956 i.e. preferential allotment and also complied with the
takeover regulations under SEBI.
16

At the time of taking over the company by the new management, the
accumulated losses were about Rs.100 cores and the liabilities were more than Rs.120
cores as detailed here under:
The built up area comes to 27 million sift. The company has entered into
an agreement with M/s.Salarpuria Developers (P) Limited for developing the land under
joint development considering the boom in real estate. The company has received
advances from the prospective buyers against the company's proportionate share under
joint development and the same was utilized towards settlement of dues under OTS to
secured creditors and other pressing creditors.
The company has restarted the production at the Cement Division from
15th May, 2006 and I presently producing 1600 Million Tons of cement per day on a
continuous basis. The company has achieved a turnover of Rs.187.33 cores and made a
net profit of Rs.41.98 cores for the financial year ended 31st March, 2008. During the
first quarter of the current financial year i.e. 2008-09 the company has earned a net profit
of Rs. 11.12 cores on a gross turnover of Rs.52.36 cores.
The company has taken up modernization of Kiln No.l for enhancing the
capacity of the said kiln to 2000 Million Tons at a project cost of Rs.80 cores. The
company has already placed orders for main plant and machinery and also released
advance payments from internal accruals. The civil works has been completed in all
respects and the erection works is under process. The project is likely to commission
during the current financial year.






17

Location Details - Panyam Cements and Mineral Industries
Location Type Address
Factory/plant
Cement Nagar
Kurnool District - 518206
Andhra Pradesh - India
Phone. 274638Fax :274644
Email: pcmil@panyamcements.com
Factory/plant Engineering Division.
PB. No. 6904 Bommanahalli Madivala P.O.
Bangalore - 560068
Karnataka - India
Phone: 25732273, 25732943
Fax:25732943
Administrative Office
Plot No.188, Phase II, Kamalapuri Colony
Hyderabad - 500073
Andhra Pradesh - India
Phone : 23555317
Fax:23555316
Email: caohyd@panyamcements.com
18

Registered Office
C-l, Industrial Estate,
Bommalasatram, Nandyal
Kurnool District-518502,
Andhra Pradesh - India
Phone:222274
Fax:243106, 243350
Email: regoffice@panyamcements.com

Major Milestones in Group's History
1978 - SSI Unit for LDPE Pipes
1984 - Sujala Pipes (Pvt.,) Ltd., for PVC Pipes
1998 - Acquisition of Monarch Pipes Ltd.,
Anantapur & Integrated Thermoplastics Ltd. Hyderabad.

2005 - Acquisition of Panyam Cement.
2006 - S.P.Y. Agro Industries.

Panyam Cements & Mineral Industries Limited was promoted by
Padmasri Somappa and others during 1955. Initially one kiln with a capacity of 200 TPD
was installed and later on the capacities were augmented by addition of two more kilns
with a capacity of 300 TPD and 600 TPD respectively. Over the years, the wet process
kilns were converted into dry process and the capacities were increased to a level of 2200
TPD
19



BOARD OF DIRECTORS

Board of Directors

Director Name Designation

S.P.Y. Reddy Chairman
S. Sreedhar Reddy Managing Director
A. Sathya Bhushana Rao Alternate Director
R.K. Prasad Sunkara Director
V. Ramnath Director
A.V. Narasimha Reddy Director






20


PROCESS OF MANUFACTURE

A brief note regarding the process of manufacture along with flow chart
covering production, utility and service department of the product. The Crushed
Limestone, Bauxite, Laterite and Iron Ore and area ground to the required fineness in raw
mills. The resultant fine dry powder 'Raw Meal is homogenized to required chemical
composition in the Blending Silos and stored in Storage Silos'. Raw meal is extracted
from Storage Silos and pumped to the four stage suspension preheater. In the preheater
raw meal is heated upto 800 Degree Centigrade and the partly calcined raw meal enters
the rotary kiln and is burnt to incipient fusion, resulting in Cement Clinker. Pulverized
Coal is used for firing the kiln. Coal fed to the mill is dried by hot air from the Furness.
The Cement Clinker coming out of the rotary kiln is cooled in
Grade / planetary coolers and transported to Storage Yard. The clinker is ground with
suitable percentage of Gypsum and on Slag in case of Slag Cement in the ball mills and
the Cement is produced. The Cement is conveyed pneumatically to the Cement Silos. It
extracted pneumatically and sent to the packing machines for filling in suitable bags
having holding capacity of 50 Kgs each. The packed cement is transported from packing
machines through belt conveyors for loading into Lorries.

Strict Quality Control measures are taken during the process in order to
exceed the minimum standards of quality prescribed by the Bureau of Indian Standards.
The Cement is passed as per BIS. Surprise checks are conducted by the representatives of
Bureau of Indian Standards, National Council for Building Materials and other
Government Authorities as to conformity to ISS and the weight of Cement in bags.
,

21

PROCESS FLOW CHART


























LIME STONE CRUSHING
LIME STONE CRUSHING
IRON ORE
RAW MILL BAG FILTER
LATERITE
BLENDING SLLOS
BAG FILTER
PRE HEATER & PRECALCINATOR
COAL COAL MILL
KILN ESP
GRATE COOLER
ESP
CLINKER YARD
GYPSUM
CEMENT MILL BAG FILTER
CEMENT SILO BAG FILTER
PACKING BAG FILTER
22










CHAPTER-III
REVIEW OF LITERATURE














23

MARKETING
Marketing deals with customers more than any other business function.
Creating customer value and satisfaction are the heart of modern marketing thinking,
practice and promotional tools and technique. In old sense, marketing means "telling and
selling" but in the new sense marketing means satisfying customer needs by several
promotional activities with after sales services also.
Marketing is defined by American Marketing Association as "Marketing is
the process of planning and executing the conception pricing, promotion and distribution
of goods and services to create exchanges that satisfy individual and organizational
objectives".
Marketing is the delivery of customer satisfaction through services. The
two-fold goal of marketing is to attract new customers by delivering satisfaction. To
achieve the two fold goal of marketing, marketers must know the perception of
consumers because how the person acts is influenced by his or her perception of the
situation.
Marketing makes use of various social, economical, managerial,
mathematical, artistic, psychological and scientific techniques to attain their goals. Those
marketers who understand perception of consumers and producing goods, which satisfy
consumer needs, can stand in the market and have more market share by promotional
activities. Those who are not giving much importance to the perception of consumers
they cannot satisfy the consumer needs so they loose their market share. So knowing of
perception is necessary in modern marketing because creating customer value and
satisfaction is the heart of modern marketing.
Definition of Marketing
Philip Kotler defined "Marketing is a social and managerial process by
which individuals and groups obtain what they need and want through creating, offering
and exchanging products of value with others".
24

Most producers work with marketing intermediaries to bring their
products to market. The marketing intermediaries make up a marketing channel or
distribution channel. Marketing channels are sets of interdependent organizations
involved in the process of making a product or service available for use or consumption.
A Marketing Channel performs the work of moving goods from producers
to consumers. It overcome the time, place and possession gaps that separate goods and
services from those who need or want them.
The Scope of Marketing
Marketing is typically seen as the task of creating, promoting and
delivering of goods and services to consumers and businesses. Marketers are skilled in
stimulating demand for a company product, but this is too limited a view of the tasks
marketers performs. Just as production and logistics professionals are responsible for
supply management; marketing managers seek to influence the level, timing and
composition of demand to meet the organization's objectives.
Marketing people are involved in marketing 10 types of entities: goods
services, experiences, events, persons, places, properties, organizations, information and
ideas.
Goods:
Physical goods constitute the bulk of most countries production and
marketing effort. Not only do companies market their goods, but thanks to the internet,
even individuals can market goods.
Services:
As economies advance, a growing proportion of their activities are focused on. The
production of services. Services include the work of airlines, hotels, car rental firms,
barbers and beauticians, maintenance and repair people, dog. Kennels and dog therapists,
as well as professionals working within or for companies, such as accountants, lawyers,
engineers, doctors, software programmers and management consultants.
25


Experiences:
By orchestrating several services and goods, a firm can create, stage and
market experiences.
Events:
Marketers promote time based events, such as the Olympics, company
anniversaries, major trade shows, sports events, and artistic performances.
Persons:
Celebrity marketing is a major business. Years ago, someone seeking fame
would hire a press agent to print stories in newspapers and magazines. Today every major
film star has an agent, a personal manager, and ties to a public relations agency. Artists,
musicians, CEO's physicians, high profile.
Lawyers and Financiers, and other professionals are also getting help from
celebrity marketers.
Places:
Places-cities, states, regions and whole nations-compete actively to attract
tourists, factories, company head quarters, and new residents.
Properties:
Properties are intangible rights of ownership of either real property (real
estate) or financial property (stock and bonds). Properties are bought and sold, and this
requires marketing. Real estate agents work for property owners or sellers or buy
residential or commercial real estate. Investment companies and banks are involved in
marketing securities to both institutional and individual investors.
Organizations :Organizations actively work to build a strong favorable image in the
minds of their target publics. Companies spend money on corporate identify ads.
26

Information: Information can be produced a/id marketed as a product. This is essentially
what schools and universities produce and distribute at a price to parents, students and
communities. Encyclopedias and most nonfiction books market information, magazines,
journals, papers respectively.

Ideas: Every marketing offering includes a basic idea. Social marketers are busy
promoting such ideas as "say no to drugs", "save the rain forest", "exercise daily", or
"avoid fatty foods".
MARKETING STRATEGIES
An organization's strategy that combines all of its marketing goals into one
comprehensive plan. A good marketing strategy should be drawn from market research
and focus on the right product mix in order to achieve the maximum profit potential and
sustain the business. The marketing strategy is the foundation of a marketing plan.
6 Simple Marketing Strategies:
1) Offer some free classes/workshops: related to your products and/or services - in
your home, in a rented venue or through a local education institution such as a
Community College. Target specific audiences or events, if appropriate. For instance,
someone with a beading business might offer special workshops on Beaded Christmas
Projects or Beading for Girls. A yoga instructor might offer a class such as Yoga for
Men.
2) Join local business organizations and networking groups: Many, such as home-
based business groups, are inexpensive to join. And the marketing benefits are huge.
Once they get to know you and what you do, the other business people in your group will
mention your business to others and may even give you referrals. Local business
organizations are also great opportunities to create and participate in some cooperative
marketing strategies, such as holding special Market Days or other events.
3) Create or become front and center in a charitable event: YOU can get huge amounts
of press for events like this - which can translate into new customers. One local artist has
27

painted paper grocery bags which he is selling with all proceeds going to a selected
charity, for example. But you don't even have to go to the trouble of creating your own
event; many charities have established events that you can become a very visible part of
by becoming a sponsor. See 10 Ways to Get Known for more on charity-based marketing
strategies.
4) Create your own blog :And use it to build an audience of people who would be
interested in your products and/or services. Creating a blog is easier than creating a
website -and savvier too. How do I Go About Creating a Business Blog? tells how to get
started. Then write regularly about topics related to your business and what your business
is doing. You'll start connecting with other bloggers, business people and potential
customers
5) Join and use Twitter: If you have time to get to know and use a variety of social
media, do. But if you only have time for one, Twitter is my pick of all the social media
out there because it's so quick and easy to use. How to Twitter: a Get Started Guide will
have you up and tweeting in no time. As for marketing strategies, be sure you don't use
Twitter exclusively to promote your product but to find and converse with like-minded
people who may be interested in what you're doing. Read How to Use Twitter to Promote
Your Business for details.
6) Ask for referrals: If you operate a service-based business, you know that I have saved
the best for last here, because asking for referrals is the easiest and least time-consuming
of all the marketing strategies in this article. It really makes me wonder why it's also one
of the least used marketing strategies. If you don't regularly ask your satisfied customers
for referrals because you don't know how or feel awkward doing it, read my Ask for
Referrals article; it provides scripts you can use to make it easier to do.
Marketing Strategy vs. Marketing Plan
What's the Difference?
28

It's not uncommon for people to confuse the difference between a
marketing strategy and a marketing plan. I've found the easiest way to explain the
difference is like this:
Marketing Strategy - Your marketing strategy is an explanation of the goals you need to
achieve with your marketing efforts. (What) Your marketing strategy is shaped by your
business goals. Your business goals and your marketing strategy should go hand-in-hand.
Marketing Plan - Your marketing plan is how you are going to achieve those marketing
goals. (How) it's the application of your strategy a roadmap that will guide you from one
point to another.
The issue is that most people try to set out to achieve the "how" without
first knowing the "what." This can end up wasting resources for a company, both time
and money.
When it comes to marketing, we must always identify the what, and then
dig into the how. If you remember one sentence from this article, it's this one:
Strategy is the thinking and planning is the doing. Here is an example of
how the two work together:
Example:
Objective : To gain broader market adoption. ,
Marketing Strategy: Introduce into new market segments.
Marketing Plan : Develop marketing campaign that reaches out, identifies
with and focuses on that specific segment.
A successful formula that can be used to further explain the importance on
marketing strategy and marketing planning looks like this:
Marketing Strategy > Marketing Plan > Implementation = Success

29

Your marketing strategy consists of:
The "what" has to be done.
Inform consumers about the product or service being offered.
Inform consumers of differentiation factors.
Your marketing plan consists of:
The "how" to do it.
Construct marketing campaigns and promotions that will achieve the ''what" in
your strategy.
Your implementation consists of:
Taking action to achieve items identified in marketing strategy and marketing
plan.
If you are preparing your marketing strategy and your marketing plan to go into
your business plan these are the components that must go into each section:
Components of Your Marketing Strategy
External Marketing Message.
Internal Positioning Goal.
Short Term Goals and Objectives.
Long Term Goals and Objectives.
Components of Your Marketing Plan:
Executive Summary : High level summary of your marketing plan.
Your Challenge : Brief description of products / services to be marketed and a recap of
goals identified in your marketing strategy.
Situation Analysis: This section should identify the following:
Goals
Focus
Culture
30

Strengths
Weaknesses
Market Share
Analysis Of Your Customer- How many customers would you like to strive for? What
type of customers are they? What are the values that drive them? What does their
decision process look like? What customers will you focus on for the products or services
that you offer?
Analysis of Your Competitors - What's your marketing position? What's their market
position? What are your strengths when it comes to your competitors? What are your
weaknesses? What market share are you going after? What market share has your
competitor already tapped?
Identification of your 4 P's (Product / Price / Distribution / Place)
Summary - Summary of above and how you will use this information to achieve the
goals you have identified in your marketing strategy. Be specific - the more specific
actions you have the easier it will to follow through on the last step which is
implementation.
As you can see your marketing strategy goes hand-in-hand in with your
marketing plan. Without both you will find that you not only waste resources, but that
you could also end up stuck without an idea of where to go.










31







CHAPTER-IV
RESEARCH METHODOLOGY














32



RESEARCH METHODOLOGY
To analyze the satisfaction level of consumer of Panyam cements.
RESEARCH DESIGN
It is a Descriptive Research Design. Research in common pursuance refers to a
search for knowledge in a scientific and systematic way to pursuant information on
specified topic.
Once the objective is identified that next step is to collect the data which is
relevance to the problem identified and analyze the collected data in order to find out the
hidden reasons for the problem.
SOURCE OF DATA
Primary data: The data was collected using a structured questionnaire.
RESEARCH INSTRUMENT
Research instrument used for data collecting is questionnaire and interview schedule.
Questionnaire The questionnaire is prepared in a well-structured and non disguised form
so that it is easily understandable and answerable by everyone. The type of questions
include in the questionnaire are open-ended questions, multiple choice questions.
Interview Schedule The interview method of collecting data involves presentation of
oral-verbal stimuli and reply in terms of oral-verbal responses. Then the responses are
filled up in the questionnaire, for further analysis.


33

CONTACT METHOD
For my research I had adopted the personal interview method of contact
method.. It is the most versatile of the three methods because we can ask more questions
and can record additional observations about the respondent.
Secondary data: The data was collected from the company, industry profile and official
web sites, Wikipedia, Google, Marketing and Research Methodology books.
SAMPLE DESIGN
Geographical area: The study is conducted in three areas i.e. Krishna, Guntur and
Hyderabad. Districts.
Duration of project: The duration of project work was for 45 days.
Population: Population for this research is the set of consumers who are using Panyam
Cements in the areas of Krishna, Guntur and Hyderabad Districts.
Sample units: The sampling units used by us for this research, are those who are
consumers of the PANYAM CEMENTS.
SAMPLE SIZE
The sample size is 100 consumers.
Sampling procedure / Sampling method
The sampling method used for this study is a non-probability Convenience sampling,
which is selected according to the ease and convenience of the researcher.
STASTICAL TOOLS USED FOR ANALYSIS
The researcher carries out analysis through various statistical tools. The statistical
analysis is useful for drawing inference from the collected information.
Simple percentage analysis
Bar diagrams
34


LIMITATIONS OF THE STUDY

Since the survey was done only in Krishna, Guntur and Hyderabad Districts, the
result obtained may not be taken as universal.

Quality of the information highly is dependent on the knowledge of the
respondents.

The results may not be accurate because the survey is on PANYAM CEMENTS
dealers and hence there is a possibility of bias in their responses. The size of the
sample was only 100 for the consumers.

The time period for the study was only 45 days.









35







CHAPTER-V
DATA ANALYSIS AND INTERPRETATION











36

TO ANALYSE THE SATISFACTION LEVEL OF THE
CONSUMERS OF PANYAM CEMENT
DATA ANALYSIS AND INTERPRETATION
1. Frequency distribution of respondents along the factor they considered
while doing on the brand.
TABLE NO:5.1
Serial number Factors No. of responses Percentage (%)
1. Price 53 53.00
2. Quality 38 38.00
3. Coupons 4 4.00
4. Gold coin 1 1.00
5. No response 4 4.00
Total 100 100.00
Graph no 5.1

INTERPRETATION
According to the data 53.00% of respondents prefer price as the deciding factor, 38.00 %
prefer quality and 4.70 % of respondents prefer incentive coupons only 1.20% prefer gold
coin as the incentive. As a whole the price is considered as a deciding factor by the
consumers.
37

2) QUALITY OF PANYAN CEMENT
Consumers rating of the quality of Panyam cement. Table sowing the perception of
consumers on the quality of Panyam cement
Table no:5.2
Consumers opinion No of consumers Percentage(%)
Average 75 75.00
Good 15 15.00
Excellent 10 10.00
Total 100 100.00
Graph no:5.2

INTERPRETATION
According to the data collected from 100 consumers, 15 of the consumers are satisfied
with the quality of Panyam cement, 75 of consumers expressed the quality of Panyam is
average and only 10 consumers expressed quality of Panyam is excellent. On a whole,
most of the consumers say the quality of Panyam cement is average.

38

3).PACKING OF PANYAN CEMENT Consumers opinion about package on Panyam
cement . Table showing on packing for Panyam cement. The data laid down in the
follows
Table no:5.3
Consumers opinion No of consumers Percentage(%)
Average 65 65.00
Good 30 30.00
Excellent 5 05.00
Total 100 100.00
Graph no:5.3

INTERPRETATION
According to the data collected from 100 consumers, 65 of the consumers expressed
average, 30 consumers expressed good and 5 consumers expressed excellent over
packing of Panyam cement. They expressed that some cement bags are getting
damaged during transportation and also suggested that by using thick bags,
damages can be avoided during transportation.
39

4. PRICE OF PANYAM CEMENT
Consumer opinion about price of Panyam cement.
Table showing the perception of consumers on the price of Panyam cement.
Table no:5.4
Price opinion No of Consumers Percentage(%)
High 35 35.00
Medium 25 25.00
Low 40 40.00
Total 100 100.00
Graph no:5.4

INTERPRETATION
According to the data, Out of 100 consumers 40 consumers expressed the price of
Panyam cement is low, 35 members said that the price is high and 25 members
explained the price is medium. They expressed all the grades of cement should have
same prices.

40

5). RELATIONS BETWEEN THE CONSUMERS AND DEALERS
Pattern of consumers frequency of visiting the dealers. This table showing the
relations between consumers and dealers. The information is laid down in follows
Table no:5.5
Visit times in month No. of consumers Percentage(%)
One time 65 65.00
Two times 18 18.00
More than two times 17 17.00
Total 100 100.00
Graph no:5.5

INTERPRETATION
According to the data, out of 100 consumers 65 consumers visit the dealer once a
month at a percentage of 65.00, 18 consumers visit the dealer twice a month at a
percentage of 18.00 and only 17 of consumers meet more than twice at a percentage
of17.00. Totally the consumers said to improve the purchasing power of Panyam
cement it should be improved by the brand loyalty through the dealers.
41

6) PROFESSIONS OF THE CONSUMERS
Respondents distribution along their occupation. This table showing the
professions of the consumers.
Table no: 5.6
Profession No. of consumers Percentage(%)
Employees 57 57.00
Farmer 33 33.00
Businessman 10 10.00
Total 100 100.00
Graph no: 5.6

INTERPRETATION
According to the data, out of 100 consumers 57 consumers are employees and
constitute a percentage of 57.00, 33 of consumers are farmers and constitute a
percentage of 33.00 and the remaining 10.00 percent are businessman. From this we
can understand the consumer purchasing power, through the professions of the
consumers.
42

7) PURPOSE OF BUYING THE CEMENT
Respondents distribution along the purpose for which they buy the cement. Table
shows the purpose of buying the cement based on the reasons.
Table no: 5.7
Purpose of buying No of consumers Percentage(%)
Houses 60 60.00
Apartments 25 25.00
Bridges 5 05.00
Industries 10 10.00
Total 100 100.00
Graph no:5.7

INTERPRETATION:According to the data, out of 100 consumers 60 consumers
purchase cement at a percentage of 60.00 for houses, 25 consumers purchase cement
at a percentage of 25.00 for apartments and five members purchase for building the
bridges and 10 members purchasing for industries. Form this we can understand
the consumer mostly purchase cement for building the houses.

43

8) GRADES OF PANYAM CEMENT
Respondents distribution along the grades of cement that they buy. This aspect of
the study helps the marketer know the cement consumers grade preferences. So that
a proper production plan could be evolved and appropriate marketing strategies
would be designed. Frequency distribution of respondents along grade preferences
as they buy the product.
Table no:5.8
Cement No of consumers Percentage(%)
43 grade 25 25.00
53 grade 35 35.00
PPC 40 40.00
Total 100 100.00
Graph no:5.8

INTERPRETATION
According to the data, out of 100 consumers 25 members at a percentage of 25.00,
prefer to buy 43 grade cement, 40 members prefer to buy PPC cement at the
percentage of 40.00 and remaining 35 members prefer to purchase the opc grade
cement. So most of the consumers prefer to buy the PPC grade cement.
44

9) PURCHASING THE UANTITY OF CEMENT
Pattern of volumes of cement in which respondents buy. This table showing the
purchasing power of consumer per month through bags(50kgs) in Krishna and
Guntur districts.
Table no:5.9
No. of bags No of consumers Percentage(%)
100 10 10.00
200 30 30.00
300 20 20.00
More than 300 40 40.00
Total 100 100.00
Graph no:5.9

INTERPRETATION
According to the data, out of 100 consumers 40 respondents purchase more than 300
paper bags(in a month) with an aggregate percentage of 40.00, 20 respondents buy
300 bags, 30 respondents buy the 200 bags with an aggregate percentage of 30.00
and remaining respondents buy only 100 bags per month with an aggregate
percentage of 10.00
45

10) SUGESSIONS OF THE CONSUMERS
Respondents suggestions on various dimensions of the marketing strategies. This
table showing the suggestions of the consumers for Panyam cement.
Table no:5.10
Suggestions No of consumers Percentage(%)
Transport facility 30 30.00
Brand image 35 35.00
Wall paintings 20 20.00
Equalizing the all grades of
prices
15 15.00
Total 100 100.00
Graph no:5.10

INTERPRETATION
According to the data, out of 100 consumers 3 consumers give suggestion to improve
the brand image with a percentage of 35.00, 30 consumers give suggestion to
improve the transport facility with a percentage of 30.00, 20 consumers give
suggestion to improve wall paintings with a percentage of 20.00 and 15 consumers
give suggestion to equalizing the all grades of prices.
46








CHAPER VI

FINDINGS & SUGGESTIONS














47

FINDINGS
Consumers feel that packaging of Panyam cements in plastic bags is more
effective and advantageous than paper bag packaging as it eliminates the risk of
moisture and problems of storage.
The quality of Panyam cements is average in the views expressed by 68 out of 85
consumers.
Consumers feel that promotional activities such as publicity through Television,
Radio, T-shirts, Caps, Pens Bill boards, Hoardings, pamphlets, wall paintings,
advertisement through transport media (buses, taxis, auto rickshaw etc...) will be
helpful to a great extent to motivate the consumers and increase the sales.
As of now the demand for Panyam cements is neither high nor low as it occupies
market follow position. KCP cements is the market leader and holds the current
top position.
Dealers usually gets exciting offers such as aboard trips and exciting gifts ( Car,
Bikes, Gold Coins ,A.C.s).
Panyam cements company select dealers based upon their capacity and goodwill.
Panyam company provides delivery schemes based upon quantity ordered and
availability of trucks.
The Most of the respondents (62.35%) prefer price among other factors while
making the purchase decisions.
Brand reputation of Panyarn cement is very low when compared to other brands
like
Ramco, parasakthi, Raasi, and KCP except Vishnu cements in 2 districts.





48

SUGGESTIONS
It is suggested that the firm should continue providing special offers to the
consumer so as to win their opinion and sustain their loyalty to the firm.
Plastic bags are preferred to paper bags for packaging for more efficiency and
advantages.
To improve the brand reputation of Panyam cements, the discounts should be
provided regularly.
Promptness of delivery plays an important role with purchase of cement
maintaining the faster delivery of cement compared to its competitor.
The best media for advertising are posters, wall paintings and hoardings.
The quality of Panyam cement is low when compared to the other competitors as
far as Guntur and Krishna districts are concerned.
According to Present situation in these two districts most of the people are
building their own houses and apartments, so price and quality are the most
preferred factors in making the purchase decision.
The transport facility should be improved in these two areas because the layout of
the company is at Kurnool. So compared to the other companies the transporting
time taken one more than day than other brands of the cement.
It is suggested that it has only three grades (43 grade, 53 grade and opc) of
cements. So based on the marketing competition some other grades should
be improved to awareness about the brand to the consumers.
The price among the three grades of Panyam should be needed to equal.






49

CONCLUSION
Cement unlike any product cannot be differentiated easily, except on the
basis of grade. But it is the way in which its promotional, marketing activities and
advertising are done that creates a perceived value among the brands.
Panyam Cement has to build up a strong marketing strategy campaign to
create awareness about the brand. The difference in prices of all the grades of cement
should be minimal.
Overall the satisfaction of the consumer on the quality, price and
packaging of Panyam cements is average.
The relationship between the dealers and consumer is comparatively good.












50

ANNEXURES
QUESTIONNAIRE FOR CONSUMERS
1)Yours profession please?
a)Employee b)farmers c)businessman d)professional

2)For which of the following purposes are you buying the cements?
a)house b)apartments c)industries d)bridges

3)Which of the following do you give top priority while purchasing a brand of cement
a)price b)quality c)coupons d)gold coins

4)please rank the following brands according to your preference:



BRAND

RANK

BRAND

RANK
a)K.C.P f)chakra
b)Panyam g)maha
c)priya h)para sakthi
d)nagarjuna i) penna
e)deccan j)others
51

5)Whats your expected level of discounts of transact with the dealers? [%age / Rs]

6)Which grade of cement do you usually of Panyam cement?
a)43 grade b)opc grade c)ppc grade

7)Do you prefer quality to longer shelf?
a)yes b)No
8)Which brand of cement do most people in your surrounding prefer?

BRAND

BRAND

a)K.C.P f)chakra
b)Panyam g)maha
c)priya h)para sakthi
d)Nagarjuna i)penna
e)Deccan j)others

10)You generally prefer a brand of cement in one of the following price brackets?
a)high price b)low price c)medium price
11)How many times do you visit the dealers?
a)once a month b)twice c)three times a month d)more than 3 times d)once a year
52

12)According to your expectations whether Panyam cement is the frequently purchased
brand at dealers stores?
a)yes b)No c)may be

13)Please mention the usual quality of cement you purchase from dealer per month?
a)100 bags b)200 bags c)300 bags d)more than 300 bags

14)Please tick the brand of cement you usually buy:

BRAND

BRAND

a)K.C.P f)chakra
b)Panyam g)maha
c)priya h)para sakthi
d)Nagarjuna i)penna
e)Deccan j)others


15)Your suggestions to improve the sales of Panyam cements:-
------------------------------------------------------------------------
------------------------------------------------------------------
16) Name(optional)
17) Address (optional)
53

BIBLIOGRAPHY

BOOKS
1. HAIR, BUSH, ORTINAU, MARKETING RESEARCH WITHIN A CHANGING
INFORAMTION ENVIRONMENT, THIRD EDITION, 2006, TATA MC GRAW HILL,
NEW DELHI 095.Pg No:96,97,98,99
2. KOTLER, KELLER, KOSHY, JHA, MARKETING MANAGEMENT, A SOUTH ASIAN
PERSPECTIVE, 12
th
EDITION, 2007, PEARSON, NEW DELHI 017.
Pg No:76,145,574
3. SCHIFFMAN, KANUK, CONSUMER BEHAVIOUR, EIGTH EDITION, 2004,
PRENTICE-HALL OF INDIA, NEW DELHI 001.Pg No:13-15,41,223

WEBSITES
1. http://www.panyamcements.com
2. http://www.slideshare.net
3. https://www.google.co.in
4. http://wikipedia.org