Rural Management

Rural Management aims at creating an efficient ruralsystem that integrates opera

tions, marketing, financed,HR and IT functions for achieving the overalleffectiv
eness and efficiency.Rural Management is a subject that studies the variousaspec
ts of rural life and business with a view to suggeststrategies for the optimum u
tilization of availableresources thereby resulting in increased efficiency.
Rural Management is a subject that studies the variousaspects of rural life and
business with a view to suggeststrategies for the optimum utilization of availab
leresources thereby resulting in increased efficiency.
Rural Management
Rural Management as a specialized field of a study aims tobring about an overall
positive change in the rural society byeffectively Planning, Organizing, Direct
ing and Controllingvarious personal, professional and infrastructural aspectswhi
ch are crucial for growth and development.The objective of Rural Management is t
o ensure theprogress and development of backward and forwardlinkages of agri-bus
inesses by the suitable application of various tools, techniques and concepts.
Scope of Rural Marketing
Keenly debated topic

Definitions based on organisational/ institutional vision,mission & goals

Need for a comprehensive and modular understanding

Rural Marketing is a

work in progress

Multi

disciplinary approach is necessary for sharperunderstanding

Changes in Rural India

Diverse change levers in rural India

The

pull of the cities & towns

migration and its sideeffects

Effect of government programmes

Civil society interventions

Natural & manmade disasters

Slow but sure change

===================
Transitions In Rural India

Food Grain Crops

On land activities

Farm Activities

Non

food, cash crops

Livestock & fisheries

Manufacturing &services=================
Rural Marketing- Schools of Thought
Determinist School

Activist School

What is the right approach?

Dependent on level of market development, stage in the PLCand access to resource

s

Amul & ITC prominent examples

No water-tight compartmentalisation
==================================
Evolutionary Vs revolutionary changes in rural markets

Role of state & market forces

ICT based interventions

Partnership innovations

Developmental role of rural marketing

Scalability & replication of rural marketing programmes

=======================================
Functions / Scope of Rural Management

Rural Operations

Rural Marketing

Rural Finance

Rural Information & CommunicationTechnology

Rural Human Resources

Rural Development
=======================
Importance of Rural Management

Improving Efficiency

Quality of Life

Rural Financing

Poverty Alleviation

Overall Development

Better Rural-urban Coordination

================================
Features of Rural Society

Predominantly Agricultural

Caste System

Jajmani System

Poverty

Illiteracy

Low Population

Joint Family System

Heterogeneity

Simple Lifestyle
================================
Geographical Spread of RuralConsumers

Geographical Area

Population Density

No. of Villages
=====================================

Classification of Rural Products

Non-Farm Products

Fisheries

Poultry Products

Agro-Forestry

Dairy Products

Handicrafts

Pottery

Reasons for the rise in demand forConsumer Durables

Surplus Income

Rising Corporate Interest

Industrialization

Tailor Made Products

Contact with Urban Agglomerates (Clusters)

Improved Communications

Electrification

Societal Changes
Corporate Interest in Rural Market
Corporate Houses have now realized theimportance of rural sector, which until ad
ecade ago was neglected due to amisconception that it offers fewer rewards,now m
ore and more companies like HUL, ITC,Phillips, Nirma, AMUL, Escorts and many mor
ehave undertaken major initiatives to make amark in the rural sector.
Corporate Interest in Rural Market

Market Size

High Potential, Low Penetration

Rise in Income

Risk Diversification

Urban Competition

Changes in consumer behavior

Socio-Economic Reforms

Rural Housing

Land Reforms

Rural Literacy

Rural Employment

Poverty Eradication Schemes

Consumer Durables
These are consumer durables that remain inoperation for quite a long duration.Du
rables could be classified into followingcategories:

Agricultural input like tractors, tillers, pump sets, generatorsets, etc.

Non-agricultural goods like refrigerator, television, aircooler, mixer, automobi

les, etc.

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Corporate Interest in Rural Market

Market Size

High Potential, Low Penetration

Rise in Income

Risk Diversification

Urban Competition

Changes in consumer behavior

=====================================================
market size
Introduction
According to the third annual edition of Accenture Research, Masters of Rural Mar
kets: From Touchpoints to Trustpoints - Winning over India's Aspiring Rural Cons
umers, rural consumers are particularly aspiring or striving to purchase branded,
high quality products. Consequently, businesses in India are optimistic about g
rowth of the country's rural consumer markets, which is expected to be faster th
an urban consumer markets. The report highlights the better networking among rur
al consumers and their tendency to proactively seek information via multitude so
urces to be better informed while making purchase decisions. Importantly, the wi
der reach of media and telecommunication services has provided information to In
dia s rural consumers and is influencing their purchase decisions. In line with ge
neral trend, rural consumers are evolving towards a broader notion of value prov
ided by products and services which involves aspects of price combined with util
ity, aesthetics and features, and not just low prices.
The hinterlands in India consist of about 650,000 villages. These villages are i
nhabited by about 850 million consumers making up for about 70 per cent of popul
ation and contributing around half of the country's Gross Domestic Product (GDP)
. Consumption patterns in these rural areas are gradually changing to increasing
ly resemble the consumption patterns of urban areas. Some of India's largest con
sumer companies serve one-third of their consumers from rural India. Owing to a
favourable changing consumption trend as well as the potential size of the marke
t, rural India provides a large and attractive investment opportunity for privat
e companies.

Market size
India s per capita GDP has grown at a Compound Annual Growth Rate (CAGR) of 12.3 p
er cent between 2009-10 to 2015-16, contributed by growth in rural sector. The F
ast Moving Consumer Goods (FMCG) sector in rural and semi-urban India is expecte
d to cross US$ 20 billion mark by 2018 and reach US$ 100 billion by 2025@.
Recent Developments
Following are some of the major investments and developments in the Indian rural
sector.
The Ministry of New and Renewable Energy (MNRE) has an annual target of setting
up one lakh family size biogas plants to the states and union territories for FY
2016-17.
Indian Institute of Technology-Madras (IIT-M) has entered into a three-year part
nership with Nokia Networks to create technology solutions which will enhance br
oadband connectivity in rural India.
The United Economic Forum (UEF), an organisation that works to improve socio-eco
nomic status of the minority community in India, has signed a Memorandum of Unde
rstanding (MoU) with Indian Overseas Bank (IOB) for financing entrepreneurs from
backward communities to set up businesses in Tamil Nadu. As part of the agreeme
nt, entrepreneurs who have been chosen by the UEF, will get term loan / working
capital requirements from the bank. The UEF will appoint mentors to guide entrep
reneurs for successful implementation of the project, with both IOB & UEF period
ically monitoring the progress of the project.
Tata Motors, India's biggest automobile company by revenues, plans to aggressive
ly expand its network with a focus on rural markets. The company is aiming to mo
re than triple its network to 1,500 over the next three years from 460 now, maki
ng it the biggest such expansion by a passenger vehicle maker in the country so
far.
Bharti Airtel is applying for a payments bank licence and has involved Kotak Mah
indra Bank as a potential investor in the venture, in a bid to tap significant r
evenue opportunities from the Reserve Bank of India's financial inclusion initia
tive. Payments banks are meant to fan out into the rural, remote areas of the co
untry, offering limited but critical services such as money transfers, loans and
deposit collection. While banks have the knowhow, telecom companies have the ne
twork, making it an ideal match.
Government Initiatives
The Government of India has planned various initiatives to provide and improve t
he infrastructure in rural areas which can have a multiplier effect in increasin
g movements of goods, services and thereby improve earnings potential of rural a
reas subsequently improving consumption.
Mr Piyush Goyal, Minister of State (Independent Charge) for Power, Coal, New and
Renewable Energy, has stated that the Government of India has set a target to e
lectrify all un-electrified villages in the country by the end of 2016.
The Government of India plans to integrate villages with country s economic mains
tream by purchasing around 80,000 mini-buses, which will connect over 125,000 vi
llages to markets and thereby provide access to better job and education prospec
ts.
The Union Budget 2016-17 proposed a slew of measures to improve agriculture and
increase farmers welfare such as 2.85 million hectares to be brought under irriga
tion, Rs 287,000 crore (US$ 42.5 billion) grant in aid to be given to gram panch
ayats and municipalities and 100 per cent village electrification targeted by Ma
y 01, 2018.

Prime Minister Mr Narendra Modi has launched the National Rurban Mission with th
e aim of enabling cluster based development and creating smart villages which wi
ll complement the smart cities initiative.
The Government of Gujarat plans to undertake several steps to promote micro, sma
ll and medium enterprises (MSMEs) in the state, including setting up a separate
department for this segment and providing dedicated industrial estates for MSMEs
.
The Union Government plans to build 2.23 lakh km of roads in the rural areas and
has proposed a total spending of Rs 27,000 crore (US$ 4 billion) until March 20
17.
E-commerce players like Flipkart, Snapdeal, Infibeam and mobile wallet major Pay
tm have signed Memoranda of Understanding (MoUs) with the government to reach ru
ral areas by connecting with the government s common service centres (CSCs) being
setup in villages as part of the Digital India initiative.
With the increasing demand for skilled labour, the Indian government plans to tr
ain 500 million people by 2022, and is looking out for corporate players and ent
repreneurs to help in this venture. Corporate, government, and educational organ
isations are joining in the effort to train, educate and produce skilled workers
.
The Union Cabinet has cleared the Pradhan Mantri Krishi Sinchaee Yojana (PMKSY),
with a proposed outlay of Rs 50,000 crore (US$ 7.41billion) spread over a perio
d of five years starting from 2015-16. The scheme aims to provide irrigation to
every village in India by converging various ongoing irrigation schemes into a s
ingle focused irrigation programme. The Government of India aims to spend Rs 75,
600 crore (US$ 11.21 billion) to supply electricity through separate feeders for
agricultural and domestic consumption in rural areas. This initiative is aimed
at improving the efficiency of electricity distribution and thereby providing un
interrupted power supply to rural regions of India.
To promote agriculture-based businesses, the Government of India has started A Sc
heme for Promotion of Innovation, Rural Industry and Entrepreneurship (ASPIRE). U
nder this scheme, a network of technology centres and incubation centres would b
e set up to accelerate entrepreneurship and to promote start-ups for innovation
and entrepreneurship in agro-industry.
The Government of India seeks to promote innovation and technology development i
n the remote rural and tribal areas. The government plans to form a committee to
study various innovations and submit their reports to the concerned Department
or Ministry. The programme called the NavKalpanaKosh aims to improve rural areas a
t various levels, such as governance, agriculture and hygiene.
Banks are working to set up rural ATMs, which will dispense smaller denomination
currency notes. "We have encouraged banks to find a solution for bringing in ru
ral ATMs... banks will have to find an appropriate technology solution for a dif
ferent type of ATM to care for the needs of the rural people," as per Mr R Gandh
i, Deputy Governor, Reserve Bank of India (RBI). Confederation of Indian Industr
y (CII), an association of Indian businesses, plans to set up a centre of excell
ence for start-ups in smaller towns across the country to help create a conduciv
e environment for their incubation and growth.
Road Ahead
As is the trend with urban India, consumers in the rural regions are also expect
ed to embrace online purchases over time and drive consumption digitally. The ru
ral regions are already well covered by basic telecommunication services and are

now witnessing increasing penetration of computers and smartphones. Taking adva

ntage of these developments, online portals are being viewed as key channels for
companies trying to enter and establish themselves in the rural market. The Int
ernet has become a cost-effective means for a company looking to overcome geogra
phical barriers and broaden its reach.
Market research firm Nielsen expects India s rural FMCG market to reach a size of
US$ 100 billion by 2025. The annual real income per household in rural India is
forecasted to rise to 3.6 per cent 2025, from 2.8 per cent in the last 20 years
#.
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1. PRESENTED BY BIRENDRA BHAGAT C-08-55 SECTION-II RURAL PRODUCTS THE HEART OF RU
RAL MARKETS
2. Rural product <ul><li> Anything that has a value in exchange </li></ul><ul><li
>Product to be marketed with the requirements of the Rural Consumer should not b
e an extension of urban offerings </li></ul><ul><li>( Philips launched Free Powe
r Radio
does not require </li></ul><ul><li>Battery/electricity you wind it with
a lever and radio runs </li></ul><ul><li>For approximately 30 min. </li></ul>
3. Product Goes to <ul><li>1. Urban to Rural: marketers in rural areas. These
include: Pesticides, FMCG Products,Consumer durables, etc. </li></ul><ul><li>2.
Rural to Urban: There generally are middlemen, agencies, government co-operative
s, etc who sell fruits, vegetables, grains, pulses and others. </li></ul><ul><li
>3. Rural to rural: These include selling of agricultural tools, cattle, carts a
nd others to another village in its proximity. </li></ul>
4. Classification Of Rural Products FMCG (HLL, Dabur, Marico, Colgate=Palmoliv
e Coke, Pepsi) Consumer Durables TV ,Fridge, Fan, Presssure Cooker, Cycle, Two w
heelers, Sewing machines, watch, mixer grinder, radio, music system, Fans, Washi
ng machines (Philips, LG, Videocon, Onida ) Services Telecom, Banking, Health ca
re ,Insurance (Airtel, BSNL, SBI, PNB,Dena bank,) Agri-inputs Seeds, pesticides,
tractors (Rallis India, Bayer,) Product Life Cycle (PLC) Launch Take Off Maturi
ty Decline
5. Points to note <ul><li>Rural Products </li></ul><ul><li>Easy to Use </li></
ul><ul><li>After sales support </li></ul><ul><li>Conveniently packed- success of
Sachets </li></ul><ul><li>Product literature to be simple </li></ul><ul><li>Hav
e a logo easy to identify eg Thums Up </li></ul>
6. Product <ul><li>Product
price
place
promotion </li></ul><ul><li>Challenges
Availability, affordability, acceptability & awareness </li></ul>Marketing Tools
Marketing Challenge Product Acceptability Price Affordability Place Availabilit
y Promotion Awareness
7. Cont d
8. CORE BENEFIT BASIC PRODUCT EXPECTED PRODUCT AUGMENTED PRODUCT POTENTIAL PRO
DUCT Product Levels
9. Cont d Product Level Characteristics Example Rural Vs Urban Core Benefit Fund
amental benefit/ services Entertainment Same Basic Product Benefit/service into
tangibles Television Set Same Expected Product Attributes & conditions buyers no
rmally expect Digital sound, flat screen Appearance of differences in expectatio
ns Augmented Product Exceeding customer expectations Battery Operated TV Pleasan
t surprise for rural customer Potential Product Encompassing all augmentations &
transformations Jolly Startek TV Uniquely rural value proposition
10. Product Development Stages Stage Marketing Activities Idea Generation <ul>
<li>Searching for new product ideas </li></ul>Idea Screening <ul><li>Select the
most promising ideas and drop those with only limited potential. Study the needs
and wants of potential buyers, the environment and competition. </li></ul>Conce
pt Testing <ul><li>Describe or show product concepts and their benefits to poten
tial customers and determine their responses. Identify and drop poor product con
cepts. Gather useful information from product development and its marketing pers
onnel. </li></ul>Business Analysis <ul><li>Assess the product s potential profitab
ility and suitability for the market-place. Examine the company s research, develo

pment, and production capabilities. Ascertain the requirements and availability

of funds for development and commercialisation. Project ROI. </li></ul>Product D
evelopment <ul><li>Determine technical and economic feasibility to produce the p
roduct. Convert the product idea into a prototype. Develop and test various mark
eting mix elements. </li></ul>Test Marketing <ul><li>Conduct market testing. Det
ermine target customers Reactions. Measure its sales performance. Identify Weakne
sses in product or marketing mix. </li></ul>Commercialisation <ul><li>Make neces
sary cash outlay for production facilities. Produce and market the product in th
e target market and effectively communicate its benefits. </li></ul>
11. Need-Product Relationships and the changes happening in Rural India Needs
Old Products New Products BRUSHING TEETH Neem sticks, Charcoal, Rocksalt, Husk T
oothpaste, tooth powder WASHING VESSELS Coconut fiber, Earthy materials, Brick P
owder, Ash Washing Powders, soaps and liquids TRANSPORT Bullock Cart, Horses, Do
nkeys Tractors, LCVs, Mopeds, Scooters, Motor cycles IRRIGATION Wells, Canals, W
ater lifters, Wind Mills Bore-wells, Motors, Power Generators, Pump Sets HAIR WA
SH Shikakai powder, Retha, Besan Shampoos and hair care soaps
12. FMCG Consumption Trends Products Urban( 1000 HH) Rural ( 1000 HH) Toilet S
oap 998 992 Washing Cake 980 950 Cooking Oil 968 952 Hair Oil/ Cream 897 787 Tea
876 758 Toothpaste 822 449 Washing Powder 819 576 Electric Bulb 723 394 Shampoo
663 352 Biscuits 579 314 Health Beverages 324 67 Source: National Council for A
pplied Economic Research, 2005
13. Product Strategies <ul><li>Small unit packeging-Red Label Rs. 3.00 pack ha
s more sales as compared to the large pack. </li></ul><ul><li>New product design
</li></ul><ul><li>Sturdy products </li></ul><ul><li>Utility oriented products <
/li></ul><ul><li>Brand name </li></ul><ul><li>Simplicity is key </li></ul><ul><l
i> Sense & Simplicity
Phillips Global Campaign </li></ul>
14. Cultural factors influencing consumer behaviour <ul><li>Product (colour, s
ize, design, and shape) </li></ul><ul><li>Social practices </li></ul><ul><li>Dec
ision-making by male head </li></ul><ul><li>Changes in saving and investment pat
terns e.g-From gold, land, to tractors, VCR s, LCV s </li></ul>
15. Affordable Products <ul><li>Nestle s brands </li></ul><ul><ul><li>Maggi at R
s. 5 </li></ul></ul><ul><ul><li>KitKat at Rs. 2 </li></ul></ul><ul><li>CavinKare s
brand </li></ul><ul><ul><li>Chik at Rs. 17 for 100 ml. </li></ul></ul><ul><li>G
odrej Consumer Product </li></ul><ul><ul><ul><li>Cinthol, Fairglow and Godrej No
. 1 (50 gm at Rs.5) </li></ul></ul></ul><ul><li>Hamam at Rs. 3.25 </li></ul>18/0
3/2008
16. Small FMCG <ul><li>Shampoo </li></ul><ul><li>Detergent </li></ul><ul><li>H
air oil </li></ul><ul><li>Fairness cream </li></ul><ul><li>Toothpaste </li></ul>
<ul><li>Shaving cream </li></ul><ul><li>Soap </li></ul>
17. Packaging <ul><li>Associated with affordability - Convenience - Consumer r
ecognition & product protection Packaging material plastics, poly packs, unbreaka
ble materials </li></ul><ul><li>Looks - attractive colours (like all tea compani
es) </li></ul><ul><li>Size and convenience- small is beautiful </li></ul>
18. Corporate Responses to Fakes <ul><li>Look-alikes- Spell-alikes & Duplicate
s </li></ul><ul><li>Prices range from MRP to 60 % of MRP </li></ul><ul><li>Margi
ns range from 60 % to 300 % </li></ul><ul><li>Legal action
awareness programmes
New Package Development </li></ul>
19. Fakes: Some Examples
20. Cont d
21. Pricing
22. Pricing strategies <ul><ul><li>Low cost/ cheap products- e.g Britannia s Tig
er Glucose Biscuit Cadbury s Dairy Milk Chocolate Parle-G </li></ul></ul><ul><ul><
li>Refill packs / Reusable packaging- </li></ul></ul><ul><li>Application of valu
e engineering </li></ul><ul><li>Ensuring price compliance- Rural retailers, most
of the times, charges more than the MRP. The manufacture has to ensure price co
mpliance either through promotional campaigns. </li></ul>
23. <ul><li>Godrej recently introduced three brands of Cinthol, Fair Glow and
Godrej in 50-gm packs, priced at Rs 4-5 meant specifically for Madhya Pradesh, B
ihar and Uttar Pradesh the so-called `Bimaru' States. </li></ul><ul><li>Hindusta
n Lever, among the first MNCs to realise the potential of India's rural market,

has launched a variant of its largest selling soap brand, Lifebuoy at Rs 2 for 5
0 gm </li></ul><ul><li>Coca-Cola has also introduced Sunfill, a powdered soft dr
ink concentrate. The instant and ready-to-mix Sunfill is available in a single-s
erve sachet of 25 gm priced at Rs 2 and mutiserve sachet of 200 gm priced at Rs
15. </li></ul>
24. Place- Rural Distribution Challenges <ul><li>Large number of small markets
</li></ul><ul><li>Dispersed population and trade </li></ul><ul><li>Poor connect
ivity </li></ul><ul><li>Low availability of suitable dealers </li></ul><ul><li>I
nadequate banking/ credit facilities </li></ul><ul><li>Poor product display and
visibility </li></ul><ul><li>Poor communication of offers and schemes </li></ul>
25. RURAL DISTRIBUTION Physical Distribution Channel of Distribution Transport
ation Warehousing Communication PHYSICAL DISTRIBUTION Transportation Railways, R
oads ,Waterways, Animals Communication ITC using internet, Mobile users by fishe
rman Warehousing (Three Tier Rural Warehousing Set Up) Central/State Warehousing
Cooperatives Rural Godowns
26. Levels of Distribution Level Partner Location 1 Company Depot/ C & FA Nati
onal/ State level 2 Distributor/ Van Operator/ Super Stockist/ Rural Distributor
District level 3 Sub Distributor/ retail Stockist/ sub stockist/star seller Teh
sil HQ, towns and large villages 4 Wholesaler Feeder towns, large villages, haat
s 5 Retailer Villages, haats
27. Distribution Adaption <ul><li>Hub and Spoke Model, Example: Coca Cola </li
></ul><ul><li>Use of Affinity groups, Example: Project Shakti </li></ul><ul><li>
Haat Activation, Example: Colgate </li></ul><ul><li>Syndicated distribution, Exa
mple: Cavin Care & Amrutanjan </li></ul><ul><li>Use of marketing co-operatives,
Example: Warna Bazaar in Rural Areas </li></ul><ul><li>Mobile traders, Example:
FMCG companies </li></ul>
28. <ul><li>e.g.To service remote village, stockists use autorickshaws, bulloc
k-carts and even boats in the backwaters of Kerala. Coca-Cola, which considers r
ural India as a future growth driver, has evolved a hub and spoke distribution m
odel to reach the villages </li></ul>
29. Media Vehicles Mass Media Local Media Personalized Media Radio Haats, Mela
s, Fairs Direct Communication Cinema Wall Paintings Dealers Press Hoardings Sale
s Persons TV Leaflets Video Vans Folk Media Animal Parade Transit Media Research
ers
30. Choosing media vehicles <ul><ul><ul><li>High reach High frequency </li></u
l></ul></ul>Low reach High frequency Jeep based advertising Wall painting Bus st
and & bus panels Haats Hoardings Postal branding Co-operative notice board Shop
house Dealer boards Village boards Well tiles Calenda
front painting Tin plating
rs/labels <ul><ul><ul><li>High reach Low frequency </li></ul></ul></ul><ul><li>V
an based advertising </li></ul><ul><li>Melas </li></ul><ul><li>Direct to home </
li></ul><ul><li>Folklore group </li></ul><ul><li>Exhibitions/created events </li
></ul><ul><ul><ul><li>Low reach Low frequency </li></ul></ul></ul><ul><ul><ul><u
l><li>Tin painting tree/shops </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Leafl
ets </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Posters & banners </li></ul></u
l></ul></ul><ul><ul><ul><ul><li>Streamers </li></ul></ul></ul></ul><ul><ul><ul><
ul><li>Danglers </li></ul></ul></ul></ul>
31. Promotion strategies <ul><li>Think Global Act Local </li></ul><ul><li>Thin
k in Local IdiomThanda matlab Coca Cola </li></ul><ul><li>Simplicity & Clarity
</li></ul><ul><li>Narrative Story Style </li></ul><ul><li>Choice of Brand Ambass
ador- Govinda in the Mirinda as boosted the sales of the drink in the rural mark
ets </li></ul><ul><li>Using a direct selling through a sales force, Example: Swa
sthya Chetna for Lifebouy , Example: Tata Shaktee Haat Hungama </li></ul>
32. : Special Products for Rural Markets <ul><li>ICICI BANK customized their r
ural ATMs, so they can operate biometric authentication. ICICI rural ATMS are ba
ttery operated so that power failure is not issue. </li></ul><ul><li>Rural Trans
porter: Mahindra & Mahindra is busy developing the prototype of what it calls a R
ural Transporter
basically a hybrid between a tractor and a rural transport vehic
le. The product at 20-25 HP will be targeted at those who cannot afford a normal
tractor and would also fulfill the need of family transporter that could take i

n the rural roughs but would be much more comfortable and safer than the convent
ional tractor-trolley. </li></ul>
33. Cont <ul><li>Sampoorna TV: LG Electronics, the Korean firm has rejigged the
TV to appeal to local needs. It spent Rs. 21 Lacs to develop a set that would h
ave on-screen displays in the vernacular languages of Hindi, Tamil and Bengali.
The logic, rural consumers unfamiliar with English would still be able to use th
e TV without being intimidated. </li></ul><ul><li>Titan Watches: A recent NCAER
study revealed that there is a great potential for watches in rural areas. In fa
ct it is considered to be a high priority list. It was also found that a rural c
onsumer looks for the ruggedness of the watch more than the urban consumer does.
He prefers thick watches than slim watches. </li></ul>
34. CONCLUSION <ul><li>Rural market has an untapped potential like rain but it
is different from the urban market so it requires the different marketing strat
egies and marketer has to meet the challenges to be successful in rural market <
/li></ul>
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