Report

“Study on the Customer Perception with reference to Viveks
Limited, Bangalore”
Dissertation submitted in partial fulfillment of the requirements for the

award of the degree of
MASTER OF BUSINESS ADMINISTRATION

Of
BANGALORE UNIVERSITY
BY
VIKRAM JOGI K
Resister number 06kucm6050
Under the guidance of
Mrs. Arul Jyothi
Faculty, Department of Managements Studies
P.G. Department of Management Studies
M.S. Ramaiah College of Art, Science and Commerce

Customer Perception with reference to Viveks Limited
Bangalore – 560054
MSRCASC-MBA 2
CHAPTER 1
GENERAL INTRODUCTION
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1.1 MARKETING
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.
“Marketing is so basic that it cannot be considered as a separate function. It is the

whole business seen from points the point of view of its final results, that is from
customer point of view… business success is not determined by the producer but by the
customer”
Peter.F.Drucker
“Marketing consists of all activities by which a company adapts itself to its

environment”
Ray Corey
What is market?
Market consists of all the potential customers sharing a particular need or wants
who might be willing and able to engage in exchange to satisfy that need or wants.
Market Segmentation
The task of breaking the total market into segments that share common properties
is market segmentation. It is the process of identifying a group of consumers with similar
needs and producing a product that will meet those needs at a profit. Market
segmentation will facilitate the firm to identify and find out the additional benefit desired
by the people to pay benefits and source where they would like to buy it.
MSRCASC-MBA 4
Customer Value
Customer value is defined as the ratio between the customer perceived benefits
(economic, functional and psychological) and the resources (monetary, time, effort,
psychological used to obtain those benefits.
Customer Satisfaction
The buyer is satisfied after purchase depends on the offer’s performance in relation to the
buyer’s expectations. In general satisfaction is a person’s feelings of pleasure or
disappointment resulting from comparing products perceived performance or outcome in
relation to his or her expectation. If the performance falls short of expectations, the
customer is dissatisfied. If the performance exceeds expectations, the customer is highly
satisfied or delighted.
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1.2 INTRODUCTION TO RETAIL INDUSTRY
Shopping in India have witnessed a revolution with the change in the consumer buying
behavior and the whole format of shopping also altering. Industry of retail in India which
have become modern can be seen from the fact that there are multi- stored malls, huge
shopping centers, and sprawling complexes which offer food, shopping, and
entertainment all under the same roof.
India retail industry is the largest industry in India, with an employment of around 8%
and contributing to over 10% of the country's GDP. Retail industry in India is expected to
rise 25% yearly being driven by strong income growth, changing lifestyles, and favorable
demographic patterns.
It is expected that by 2016 modern retail industry in India will be worth US$ 175- 200
billion. India retail industry is one of the fastest growing industries with revenue expected
in 2007 to amount US$ 320 billion and is increasing at a rate of 5% yearly. A further
increase of 7-8% is expected in the industry of retail in India by growth in consumerism
in urban areas, rising incomes, and a steep rise in rural consumption. It has further been
predicted that the retailing industry in India will amount to US$ 21.5 billion by 2010
from the current size of US$ 7.5 billion.
India retail industry is expanding itself most aggressively, as a result a great demand for
real estate is being created. Indian retailers preferred means of expansion is to expand to
other regions and to increase the number of their outlets in a city. It is expected that by
2010, India may have 600 new shopping centers
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India tops the AT Kearney's annual Global Retail Development Index (GRDI) for the
third consecutive year, maintaining its position as the most attractive market for retail
investment.
The Indian retail market, which is the fifth largest retail destination globally, according to
industry estimates is estimated to grow from the US$ 330 billion in 2007 to US$ 427
billion by 2010 and $637 billion by 2015. Simultaneously, modern retail which presently
accounts for 4 per cent of the total market is likely to increase its share to 22 per cent by
2010.
India has one of the largest number of retail outlets in the world. Of the 12 million retail
outlets present in the country, nearly 5 million sell food and related products. Even with
this large number of outlets, organized retail accounts for only 4 per cent of the total
market, opening huge growth potential in this segment.
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1.3 THE INDIAN RETAIL SECTOR CAN BE BROADLY

CLASSIFIED INTO
Food R etailers
There are large number and variety of retailers in the food-retailing sector. Traditional
types of retailers, who operate small single-outlet businesses mainly
Using family labour, dominate this sector .In comparison, super markets account for a
small proportion of food sales in India. However the growth rate of super market sales
has being significant in recent years because greater numbers of higher income Indians
prefer to shop at super markets due to higher standards of hygiene and attractive
ambience
Health& Beauty Products
With growth in income levels, Indians have started spending more on health and beauty
products. Here also small, single-outlet retailers dominate the market However in recent
years, a few retail chains specializing in these products have the total market, their
business is expected to grow significantly in the future due to the growing quality
consciousness of buyers for these products.
Clothing& Footw ear
Numerous clothing and footwear shops in shopping centers and markets operate all over
India. Traditional outlets stock a limited range of cheap and popular items; in contrast,
modem clothing and footwear stores have modern products and attractive displays to lure
customers. However, with rapid urbanization, and changing patterns of consumer tastes
and preferences, it is unlikely that the traditional outlets will survive the test of time.
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Hom e Furniture
& Household G oods
Small retailers again dominate this sector. Despite the large size of this market, very few
large and modern retailers have established specialized stores for these Products.
However there is considerable potential for the entry or expansion of Specialized retail
chains in the country.
Durable Goods
The Indian durable goods sector has seen the entry of a large number of foreign
Companies during the post liberalization period. A greater variety of consumer Electronic
items and household appliances became available to the Indian customer. Intense
competition among companies to sell their brands provided a strong impetus to the
growth for retailers doing business in this sector.
Leisure& personal goods
Increasing household incomes due to better economic opportunities have encouraged

consumer expenditure on leisure and personal goods in the country. There are specialized
retailers for each category of products (books, musk products, etc.) in this sector. Another
prominent feature of this sector is popularity of franchising agreements between
established manufacturers and retailers.
Retail space
Driven by changing lifestyles, strong income growth and favorable demographic patterns,
Indian retail is expanding at a rapid pace. Mall space, from a meager one million square
feet in 2002, is expected to touch 40 million square feet by end-2007 and an estimated 60
million square feet by end-2008, says Jones Lang LaSalle's third annual Retailer
Sentiment Survey-Asia.
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Alongside, Indian cities are witnessing a paradigm shift from traditional forms of
retailing into a modern organized sector. A report by Images Retail estimates the number
of operational malls to more than double to over 412 with 205 million square feet by
2010 and further 715 malls by 2015, on the back of major retail developments even in tier
II and tier III cities in India.
Luxury retail
With consumers for luxury goods more in numbers than adult population of several
countries, the Indian luxury retail market is estimated to leap-frog from around US$ 3.5
billion to US$ 30 billion by 2015, according to a survey done by AT Kearney. India's
luxury market, estimated to be the 12th largest in the world, has been growing at the rate
of 25 per cent per annum.
Already Indians splurge US$ 2.9 billion on luxury assets, spend another US$ 953 million
on luxury services and top it by buying luxury goods worth US$ 377 million. And with a
rapidly expanding population of high net worth individuals, India could emerge as the
next hub for luxury goods consumption.
Consequently, a number of foreign brands including French Connection, Sanrio of Hello

Kitty fame, Jimmy Choo, La Pearla and Calvin Klein among others have already lined up
for permission to infuse foreign direct investment through the single-brand retail window.
Kids' retail
When it comes to Indian children, retailers are busy bonding -- and branding:
• Monalisa, the Versace of kids, is coming to India.

• International brand Zapp tied up with Raymond to foray into kids' apparel.
• Disney launched exclusive chains which stock character-based stationery.
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• Pantaloon's joint venture with Gini & Jony will set up a retail chain to market
kids' apparel.
• Swiss kidswear brand Milou is collaborating with Tirupur-based Sreeja Hosieries.
• French furniture brand Gautier is all set to hit the Indian retail market by the end
of the year with a comprehensive range of furniture for children and infants.
• The UK based retail chain, Marks & Spencer, is launching its kids' wear
categories in India.
Leading the kids' retail revolution is the apparel business, which accounts for almost 80
per cent of the revenue, with kids' clothing in India following international fashion trends.
According to research firm KSA Technopak, the branded segment comprises US$ 701.7
million of the total kids' apparel market-size of over US$ 3 billion. Industry experts say
kids' retailing will touch annual growth of 30-35 per cent.
Discount Malls
Even as the organized retail market is starting to take off, there has been a concomitant
surge in branded discount outlets in India. Top realtors and local retail chains are
developing malls in regional boroughs, specifically to sell premium branded goods. At
least 50 such malls are to come up in the next two years across the country positioned in
the middle-to-the-premium end of the market.
For example, Royal Palms is developing Orchard Road Mall in the western suburbs of
Mumbai. Similarly, Akruti Nirman, which is planning to brand its discount malls in
Kanjurmag, Ghatkopar, Mumbai and Thane as 'Cityworld', has decided to develop similar
malls in Tier II and Tier III cities. Some of the other prominent discount retailers include
Pantaloon Retail (India) Ltd's Brand Factory, Arvind Mills Ltd's Megamart andand
Provogue (India) Ltd's Promart among others.
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E-tailing
The increase in the PC and internet penetration along with the growing preference of
Indian consumers to shop online has given a tremendous boost to e-tailing-the online
version of retail shopping. An estimated 10 per cent of the total e-commerce market is
accounted by e-tailing.
With today's, net-savvy Indians making online purchases like never before, both the
number and variety of products sold online has grown exponentially. According to the
Indian Marketing Research Bureau (IMRB) and Internet and Mobile Association of India
(IAMAI), the e-tail market is estimated to grow by 30 per cent to US$ 273.02 million in
2007-08, from US$ 210.01 million in 2006-07.
Retail Franchising
Along with e-tailing another perceptible trend in the growth of organized retail market
has been the concept of retail franchising. According to industry estimates, retail
franchising has been growing at the rate of 60 per cent in the last three years and is set to
grow two-fold in the next five years.
A number of companies have been taking this route driven mainly by the need to meet
the increasing consumer expectations of quality, ambience and brand experience. In
addition, this route also helps the big retailer players to rapidly foray into the tier II and
III towns and rural areas.
Rural retail
Led by the rising purchasing power, changing consumption patterns, increased access to
information and communication technology and improving infrastructure, rural retail
market is estimated to cross US$ 45.32 billion mark by 2010 and US$ 60.43 billion by
2015, says a study by CII and YES BANK.
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Consequently, Corporate India is already firming up concrete plans to tap the rural retail
market, which is growing at double the rate of urban markets, with innovative schemes
and human resource policies. And with 87 per cent of rural markets not having access to
any sort of organised marketing and distribution, this segment has tremendous potential
for growth. I
International Retailers
With international brands like Tommy Hilfiger, Esprit and Puma (that have entered the
country) growing well over 100 per cent, many others are also planning to foray into the
Indian retail market. India's vast middle class with its expanding purchasing power and
its almost untapped retail industry are key attractions for global retail giants wanting to
enter newer markets.
• The world's largest retailer, Wal-Mart, has tied-up with Sunil Mittal's Bharti
Enterprises to enter Indian retail market.
• Microsoft's first shop-in-shop pilot has been launched with the Tata Group
subsidiary Infiniti Retail's multi-brand consumer durables retail format, Croma.
• The Walt Disney Company, consumer product retailing arm of global animation
giant, will soon add 135 new stores to its existing 15 stores.
• World's leading coffee chain, Starbucks' enters India through a tie-up with the
country's leading multiplex operator PVR Limited.
• Apple Inc has entered into an exclusive marketing and distribution deal with
Reliance Retail through "iStore by Reliance Digital".
• The UK-based international coffee chain, Costa Coffee, plans to double the
number of retail outlets by the end of 2008.
Some of the international players that have already entered India include McDonald's,
Pizza Hut, Dominos, Levis, Lee, Nike, Adidas, TGIF, Benetton, Swarovski, Sony, Sharp,
Kodak, Medicine Shoppe among others.
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Growth of Retail Companies in India exhibits the boom in the retail industry in India over
the years. The increase in the purchasing power of the Indian middle classes and the
influx of the foreign investments have been encouraging in the Growth of Retail
Companies in India.
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1.4 Growth of Retail Companies in India
Growth of Retail Companies in India is still not yet in a matured stage with great
potentials within this sector still to be explored. Apart from the retail company like
Nilgiri's of Bangalore, most of the retail companies are sections of other industries that
have stepped in the retail sector for a better business. The Growth of Retail Companies in
India is most pronounced in the metro cities of India, however the smaller towns are also
not lagging behind in this. The retail companies are not only targeting the four metros in
India but also is considering the second graded upcoming cities like Ahmedabad, Baroda,
Chandigarh, Coimbatore, Cochin, Ludhiana, Pune, Trivandrum, Simla, Gurgaon, and
others. The South Indian zone have adopted the process of shopping in the supermarkets
for their daily requirements and this has also been influencing other cities as well where
many hypermarkets are coming up day to day.
The growth factors in Indian organized sector are various but it is mainly due to the fact
that India's economy is booming.
Also, the rise in the working population which is young, pay- packets which are hefty,
more nuclear families in urban areas, rise in the number of women working, more
disposable income and customer aspiration, western influences and growth in expenditure
for luxury items. All these are the factors for the growth in Indian organized retail sector.
In fact, India retail industry is the fastest growing industry in India and it accounts for
10% of the country's GDP. In 2006, the retail industry in India amounted to US$ 200
billion and out of this, the organized retail sector in India amounted to US$ 6.4 billion.
By 2010, the Indian organized retail sector is expected to rise to US$ 23 billion. In 2003,
the Indian organized retailing sector accounted for more than 4.5 million sq. ft of space
absorption by malls.
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Many Indian companies have entered the retail industry in India and this is also a factor
in the growth of Indian organized retail sector. Reliance Industries Limited is planning to
invest US$ 6 billion in the organized retail sector in India by opening 1500 supermarkets
and 1000 hypermarkets. Bharti Telecoms is planning a joint venture worth ï¿½ 750
million with Tesco a global retail giant. Pantaloons is planning to invest US$ 1 billion in
order to increase its retail space to 30 million square feet. Such huge investments is also a
factor in the growth of the organized retail sector in India.
Global retail giants are also entering the retail industry in India and this is also one of the
factors in the growth of the organized retail sector in India.
Reasons for the fast Growth of Retail Companies in India.
The retail companies are found to be rising in India at a remarkable speed with the years
and this have brought a revolutionary change in the shopping attitude of the Indian
customers. The Growth of Retail Companies in India is facilitated by certain factors like -
 existing Indian middle classes with an increased purchasing power

 rise of upcoming business sectors like the IT and engineering firms
 change in the taste and attitude of the Indians
 effect of globalization
 heavy influx of FDI in the retail sectors in India
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1.5 CHALLENGES TO RETAILING
FO REIG N DIRECT INVESTMENT IN RETAIL SECTOR IN INDIA
Foreign Direct Investment in retail sector in India is a big issue these days. The main
question, which everybody is asking, "is that whether to allow FDI in retailing or
not".
One of the fundamental facts is that the circle of economic activity cannot be
completed until what is produced reaches the consumer. Hence efficient distribution
and retailing are very important.
Presently the retail trade in India is highly unorganized and inefficient. The entry of
the organized sector in retail trade is capable of mitigating the huge waste involved in
the current system. It would simultaneously lead to better prices for the producers
and lower prices for the consumers.
The efficiency of the organized sector in retailing is manifested in some of the newer
super-markets in urban/Metropolitan India- the produce is cleaner, fresh, well packed
and often cheaper than the local shopkeeper. This is possible by cutting layers of
middlemen. There are other benefits too of transforming retail sector into an
organized sector like a number of new jobs will be created, far better paid than the
underage labour working in the local shops, circulation of black money and tax
evasion will be curbed etc .. Thus one can observe that FDI in retailing is beneficial
to all the stakeholders involved. Some of the evidences are stated below:
MSRCASC-MBA 17
The local Indian retail industry is by and large unorganized and is in a nascent stage
and thus organizing any form of FDI would eradicate the local players by wiping out
the competition primarily because of there financial strength. It is generally believed
that foreign players would bring along with them foreign capital and thus would benefit
the nation with the huge influx of funds. On the contrary what generally happens is that
foreign players use the capital from the local market as they are able to get funding from
financial institutions and banks which presently unorganized retail sector is unable to get.
FDI could also lead to predatory practices from the foreign player, develop a
monopolistic scenario in the industry and destroy the level playing field. Bringing in
foreign players could lead to labor exploitation. Generally the retail sector does not
require highly skilled labor and thus the foreign players would use the hire n fire policy
even more so because the retail sector has not been given an industry status.
Presently the domestic supply chain management in the country is very fragmented and
involves a lot many intermediaries. Thus it is presently not adept to work in tandem with
the foreign player. The domestic player however is aware of the local condition and thus
would be able to tackle the situation better. Thus before the FDI gates are opened the
SCM has to be put in order which eventually would lead to purchasing of good from the
producer itself and doing away with the intermediaries.
Typically there is no uniformity in the way the taxes are being applied in the states. Thus
there are huge discrepancies in the excise, sales tax and octroi between the states. Also
entry and exit taxes are charged each time a product enters or leaves the state. Also the
lack of implementation of VAT across all states is a major hurdle in opening the retail
sector to FDI. This would primarily lead to a concentrated development in the retail
sector where such taxes issues can be done away with or where taxes are less as
compared to other states. This is contrary to the govt. perception of a development in
MSRCASC-MBA 18
Tier-2 cities which in turn could bring huge investment. Presently the state issues are
being tackled by the Govindrajan committee.
Typically across the world the retail sector is linked with tourism, eg Dubai. In India the
tourism sector is still in its developing stage and thus not adept to take on the FDI in
retail. Also there is a possibility that the supplier industries to retail would be drastically
hit if the foreign player is able to source goods from other developing countries at
cheaper rates. The present laws in the Real estate sector are not adept to take on with the
FDI in retail sector such as the Urban-land ceiling act and the rent control act. Also the
majority of laws in the country are pro-tenant; as a result it could led to haphazard
development.
GOVERNMENT ALLOWS 51% FDI IN SINGLE BRAND RETAILING

(RESTRICTIVE)
Under the government of Manmohan Singh, Government decided to allow Foreign Direct
Investment(FDI) in retail outlets meant exclusively for single Brands.This will allow
multi national Giants to invest in Indian Outlets meant for premium brands like Nike,
Gucci or Reebok. Foreign companies would be allowed to invest up to 51% in Joint
Ventures that set up such outlets. By opening up of Branded Retail to FDI would assist
the government by gradually opening up major segments of retail to FDI. Investment in
these premium Brands would not hurt Mom n Pop stores.
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Retailing as an industry in India has still a long way to go. To become a truly flourishing
industry, retailing needs to cross the following hurdles:
• Regulations restricting real estate purchases, and cumbersome local laws.

• Taxation, which favors small retail businesses.
• Absence of developed supply chain and integrated IT management.
• Lack of trained work force.
• Low skill level for retailing management.
• No Industry status has been provided to Retail Industry. It is still governed within
the directives of FIPB (Foreign Investment Promotion Bureau) and DIPP
(Department of Industrial Policy and Promotion).
The retailers in India have to learn both the art and science of retailing by closely
following how retailers in other parts of the world are organizing, managing, and coping
up with new challenges in an ever-changing marketplace. Indian retailers must use
innovative retail formats to enhance shopping experience, and try to understand the
regional variations in consumer attitudes to retailing.
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Retail marketing efforts have to improve in the country -advertising, promotions, and
campaigns to attract customers; building loyalty by identifying regular shoppers and
offering benefits to them; efficiently managing high-value customers; and monitoring
customer needs constantly, are some of the aspects which Indian retailers need to focus
upon on a more pro-active basis. Despite the presence of the basic ingredients required
for growth of the retail industry in India, it still faces substantial hurdles that will retard
and inhibit its growth in the future.
One of the key impediments is the lack of FDI status. This has largely limited capital
investments in supply chain infrastructure, which is a key for development and growth of
food retailing and has also constrained access to world-class retail practices. Multiplicity
and complexity of taxes, lack of proper infrastructure and relatively high cost of real
estate are the other impediments to the growth of retailing.
The international players currently in India include Me Donald, Pizza Hut, dominos, Lee,
Levis, Nike, Adidas, Benetton, Sony etc. Global Players are entering India indirectly, via
the licensee/franchisee route, since FDI is not allowed in the sector. Recently the
government has announced it's intention to open up retail sector to foreign investment.
It is still, however debating whether to allow 26% or 49% FDI in the sector. Presently it
is inclined to 49% FDI at one go, despite opposition from the left parties. For instance
Wall Mart store have announced their intention to enter India in a big way. To achieve
this objective they have already established a Market Research and Back-office facility at
Bangalore.
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Pending the opening up of the organized retail sector to FDI, the government has taken
some important decisions for shooting up the industry. For instance it has opened up the
real estate sector by allowing 1 0 0 % FDI
o f in the Infrastructure development projects. This
will attract foreign investments and new technology to the market.
MSRCASC-MBA 22
1.6 Scope of the Indian Retail Market
The scope of the Indian retail market is immense for this sector is poised for the highest
growth in the next 5 years. The India retail industry contributes 10% of the countries
GDP and its current growth rate is 8.5%. In the Indian retail market the scope for growth
can be seen from the fact that it is expected to rise to US$ 608.9 billion in 2009 from US$
394 billion in 2005.
The organized retailing sector in India is only 3% and is expected to rise to 25- 30% by
the year 2010. There are under construction at present around 325 departmental stores,
300 new malls, and 1500 supermarkets. This proves that there is a tremendous scope for
growth in the Indian retail market.
The growth of scope in the Indian retail market is mainly due to the change in the
consumers behavior. For the new generation have preference towards luxury
commodities which have been due to the strong increase in income, changing lifestyle,
and demographic patterns which are favorable
The scope of the Indian retail market have been seen by many retail giants and thats the
reason that many new players are entering the India retail industry. The major Indian
retailers are:
• Pantaloons Retail India Ltd

• Shoppers Stop
• Bata India Ltd
• Music World Entertainment Ltd
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1.7 Opportunities in Indian Organized Retail sector
The opportunities in Indian organized retail sector are many for this sector is witnessing a
boom.
The retail industry in India amounted to US$ 200 billion in 2006, and out of this amount
the Indian organized retail sector amounted to US$ 6.4 billion. The opportunities in India
organized retail sector can be judged from the fact that by 2010 it is expected to rise to
US$ 23 billion.
The various opportunities in the organized retail sector in India are mainly there for the
Indian consumers behavior pattern has changed. Now the Indian consumer gets more
hefty pay- packages, is younger, a large number of women are working, western
influences, and more disposable income have opened a lot of opportunities in Indian
organized retail sector. The Indian consumer wants to shop, eat and get entertainment in
one place and is have also given Indian organized retail sector an opportunity to grow.
The Indian government in 2005 allowed foreign direct investment (FDI) in single brand
retail to 51%. This have opened up a lot of opportunities in India organized retail sector.
In fact 325 departmental stores, 300 new malls, and 1500 supermarkets are being built
which shows the tremendous opportunities in the organized retail sector in India.
Many Indian companies seeing the various opportunities in organized retail sector in
India have entered it. Pantaloons have decided to increase its retail space to 30 million
square feet with an investment of US$ 1 billion. Reliance Industries Limited is targeting
for annual sales of US$ 25 billion by 2011. It is planning to invest US$ 6 billion in order
to open 1,500 supermarkets and 1000 hypermarkets. Bharti Telecoms is planning a joint
venture with Telco a global retail giant worth ï¿½ 750 million.
MSRCASC-MBA 24
The opportunities in the organized retail sector in India have also increased with the
desire of many global retail giants to set up shop here.
The global retail giants who are entering the Indian organized retail sector are:
• Tesco
• Wal- Mart
• Metro AG
• Carrefour SA
MSRCASC-MBA 25
1.8 Consumer Durables Retail
In the last 10 years, a huge growth has taken place in the consumer durables retail market.
Taking the present situation into account, one can see that the demand for consumer
durables has been increasing.
The increase in demand for consumer durables retail is because of the increase in
disposable income levels in families, since most families are based on a double income
these days. The rise in the levels of family income have transformed the visage of the
Indian lifestyle which means that most companies view India as a prime destination for
consumer durables retail.
Most of the the consumer durables retail market comprises of television sets, audio
systems, VCD players, washing machines, microwave ovens, air conditioners, toasters,
juicer-mixer-grinders, and so on. Though Indian consumer durables have been increasing
in demand within the domestic market, it has tough competition from international
consumer durables companies such as Sony, Samsung, LG, and Philips. In fact,
according to the Indian Retail Sector analysis 2006-07, the size of the Indian consumer
durables industry in the retail sector stands at US$ 4.5 billion.
Among consumer durables retail goods, flat-screen television and frost-free refrigerators
have been in huge demand in recent times. In 2005 alone, 9 million TV sets and more
than 4 million refrigerators were sold in India.
The performance of the consumer durables retail is critical to the growth of the retail
industry of India. There are new ventures being forayed into by the big Indian companies.
For instance, we have the Speech and Software technologies, from the Tata Group which
is working towards the launch of consumer durables in India.
MSRCASC-MBA 26
The Tata Group has successfully done the work in collaboration with Woolworths - an
Australian company. Such steps in the consumer durables retail sector would definitely
facilitate the need for Foreign Direct Investment. However, some international retailers
have already started investing in the Indian consumer durables market, such as Metro,
Spa International, and Dairy Farm.
Among Indian companies, Pantaloons is looking forward to start its saga of consumer
durables retail. The commodities would constitute color televisions, washing machines,
refrigerators, and microwave ovens. The chain of goods will be available in Big Bazaar,
which is owned by Pantaloons.
It is quite a challenge to maintain the consumer durables retail market in India because of
the unprecedented challenges that are attached with it. However, the consumer durables
retail market in India are here to stay because of the new age tastes of the modern
consumer in India.
MSRCASC-MBA 27
CHAPTER 2
RESEARCH METHODOLOGY
MSRCASC-MBA 28
2.1 STATEMENT OF THE PROBLEM
In the emerging knowledge based economy it has become necessary to understand how
the customers are satisfied. The study of customer satisfaction is essential in market
planning.
On the one hand, customers’ needs and preferences keep on changing. On the other,
there are competitors who are to pull the customers towards their products and services.
Hence, markets have to plan their activities keeping customer preferences and
competitor’s strategies in mind . Customer satisfaction plays a crucial role in enabling an
organization to change and develop with its customers. They are making their choice on
their basis of their perception of service and value. Companies need to understand the
need of determinant value and satisfaction.
Hence, the satisfaction of customer is very much important for an industry or company
to survive in the market. Keeping the existing customer contended is generally much
easier takes less time and involves less expense. The reason for this is that it takes less
time to find new prospective customer. The study is mainly made to find whether the
customers are satisfied with the service of Viveks Limited.
The realistic side of the problem is to know the acceptance level of the customer
towards the product. This study will help us to understand the customer’s satisfaction and
what problems the consumers face, based on which appropriate measures can be taken to
solve them.
MSRCASC-MBA 29
2.2 NEED FOR THE STUDY
The need for the study arises in order to maintain the market leader position.
The need for the study arises due to the following reasons: -
Since the Indian retail industry is no more nascent today. There has been a significant
change in retail trading over the years, from small kiranawalas in the vicinity to big super
markets; a transition is happening from the traditional retail sector to organized retailing.
The unorganized retailing still holds a dominant position in this industry. The organized
segment holds just about 1.2% of the current US $ 245 billion retail market. With
consumers looking at convenience with multiplicity of choice under one roof and
expectations evolving over time, consumer demand is truly the driving force for
organized retailing in the country.
The organized retail is expected to grow stronger than GDP growth in the next 5 years
driven by changing lifestyle, strong income growth and favorable demographic pattern.
Organized retailing in India is on the rise and offers a huge potential both to the
companies and consumers. The challenge is how to make the unorganized sector which
forms more than 95% of the retail market more systematic and organized. The future of
the retail depends on the right kind of policies, the right economic environment, the right
infrastructure and the right people.
Thus it becomes essential for us to completely understand the Indian retail scenario in
depth & to know about one of the leading market players of future.
 To measure the level of customers satisfaction towards Viveks Limited.

 To know the customer preferences towards Viveks Limited.
 In order to retain the existing customers.
 To market brand loyally towards the product.
 To know the customers opinion towards existing after sales service provided by
MSRCASC-MBA 30
the company.
2.3 OBJECTIVES OF STUDY
The main objectives of the study are:
 To find the source where from the customer is getting the information about the
various Products offered by Viveks Limited.
 To find out the impact of showroom ambience, product briefing.

 To know whether the customers are satisfied with the skill and efficiency of the
sales Executives they consulted.
 To study whether the customer is convenient with the overall service and facilities
offered by the Viveks.
 To know whether the customer has any suggestion for improving the service
offered.
 To know the various factor that influence to purchase the product of the particular
organization.
 To find out various attributes the customers consider before purchasing a product
 To find the availability of finances schemes and mode of purchase through the
various financial schemes.
MSRCASC-MBA 31
2.4 SCOPE OF THE STUDY
1. It helps to know the publicity media that gives maximum retention to the
customers.
2. The study also helps the company to improve their standard of service &
handle the competition in the near future.
3. It also helps in putting in possible improvements, additions, and new
strategies and offers to the customers.
4. It also puts a detailed insight into the different aspects of the company,
such as marketing, sales, finance etc.
MSRCASC-MBA 32
2.5 RESARCH DESIGN OF THE STUDY
Research in common parlance means to search for knowledge. D. Slesinger and

M. Stephenson in the encyclopedias of social science define Research as “the
manipulation of things, or symbols for the purpose of generalizing to the extent, correct
or verify knowledge aids in constructing of theory or in the practice of an art”.
Thus survey is a purposive investigation. It is “organized inquiry”. Research
design is a logical and systematic plan prepared for directing a research design. Decision
regarding what, when, how much, by what means concerning an enquiry 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”. In fact, research design is the conceptual
structure within which the research works; it constitutes the blue print for the collection,
measurement and analysis of data.
The study is descriptive in nature. So survey method is used for the study.
Companies usually undertake surveys to learn about people’s knowledge, understanding,
satisfaction and attitudes in the population.
A research design is the arrangement of conditions for the collection & analysis of data in
a manner in which it aims to combine the relevant information to the research purpose. A
research design is purely & simply to framework on plan for a study that guides the
collection & analysis of the data. The research design in the conceptional structure with
in the research & analysis data.
MSRCASC-MBA 33
Types of Research Design:-
Basically there are 3 types of research design in accordance to the type of research
to be taken into consideration.
They are: -
1. Explanatory Research
2. Descriptive Research
3. Experimental Research.
1. Explanatory Research
This is more, a study phase, rather than a research phase in order to gain
formally with the subject & identify the problem.
There are 3 types of explanatory research

a) Literature
b) Experience Survey
c) Case Study.
a) Literature: - it is the quicker and most economic way of locating a source of

hypothesis through Newspaper, magazine, Journals Company records & documents.
b) Experience Survey:-the experience survey attempts to top the experience expertise of

knowledgeable person, concerned with the area of research like executives, sales person,
retailer & consumers.
c) Case Study: - a case study calls for an intensive study of one individual unit,
company, consumer & an community the purpose is to probe deeply & analyze carefully
the life cycle of a unit with a view to establish generalization about a population to which
the unit belongs.
MSRCASC-MBA 34
2. Description research-aims to derive the characteristics of a sample which is taken up

for knowing the proportion of units in a given population which behaved in a particular
manner on to determining the relationship between two or more variables.
3. Experimental research-it is a process in which one or more variables are manipulated

by on the request of the research under controlled condition which permits collection
data’s in order to show the effects of such variables on the research phenomenon clearly..
Sampling Procedure
The sample size of collection of data is 50 respondents. Sampling is

basically targeted to the customers of Viveks limited, who are chosen by simple random
technique
Empirical field studies require collection of first hand information on data

pertaining to the unit of study from the field. This sampling plan is effective in getting the
first hand information, i.e. primary data, which has been required for the study by the
research
Sources of data
Sources of data mean the various methods and means by which the data were
collected.
It refers to method used to conduct research VIVEKS LIMITED. In this research all the
data have been collected through “primary source of Data collection” method, for the
study of “CUSTOMER PERCEPTION”.
MSRCASC-MBA 35
Data collection method
The type of information required for the study was relating to satisfactory levels
of the consumers. So data is collected through ‘personal interview method’. This method
has helped in obtaining data on factors such as attitude, satisfaction level, mode of
purchase etc. By this method one can expect reliable information, which is referred to as
quantitative research design method.
Field Work
The collection of data was done during the period from march 3rd 2008 to march 29th
2008.On an average, an interview took around 8 to 10 minutes per respondent. The
interview was mainly done at showrooms, friends’ and relatives’ houses.
MSRCASC-MBA 36
2.6 LIMITATIONS OF THE STUDY
A good project report “sells” the result of the study, but every project has its own
limitations.
1. The study could not be conducted on a large sample size and area because
of time constraints. This covers all the academic requirements strictly maintaining
organization standards; a sincere attempt has been made to collect information.
2. The number of sample size is 50 respondents only.
3. The study is targeted to the population of students, officials, servicemen,
businessmen and professionals.
4. The study is confined only to Bangalore
5. Some respondents did not answer correctly as they were short of time.
MSRCASC-MBA 37
2.7 OVERVIEW OF THE REPORT
Chapter 1: These deals with the general introduction to retail industry,

classification, growth of the industry, challenges, scope, opportunity and consumer
durables industry.
Chapter 2: This chapter gives the description of the statement of the problem,
need for the study, objective of the study, scope of the study, methodological assumption,
limitations, research design, sampling procedure, data collection techniques, fieldwork,
sources of data and overview of the report.
Chapter 3: This chapter contains company profile of the study, origin of the
organization, growth, mission, vision, board of directors, accolades and mile stones and
the product profile.
Chapter 4: This chapter includes classification & tabulation of data, analysis and
interpretation of data.
Chapter 5: This chapter includes findings, suggestion and conclusion.
Chapter 6: Bibliography
Chapter 7: Annexure
MSRCASC-MBA 38
CHAPTER 3
COMPANY PROFILE
MSRCASC-MBA 39
3.1 The Evolution: - The Story of Viveks
From a small room selling folding chairs and radios in Chennai, to the countries finest
World Class Retailing chain for consumer electronics and home appliances.
B.A Lakshmi Narayana Setty influenced by the lofty ideals of Swami Vivekananda set up
a small shop of 200 sq.ft., at Mylapore, Chennai, with an investment of only Rs. 10,000
(USD 230) to sell folding chairs. Slowly he added radios, fans, mixers, irons, heaters and
other household equipments. He named his business Vivek & Co inspired by his Guru
Swami Vivekananda. B.A Kodandaraman took over the reins of Viveks after the demise
of his brother B.A Lakshmi Narayana Setty and increased the turnover of Rs. 1.65 lakhs
(USD 3,840) in the first year to a stunning figure of Rs. 28 crores (USD 643,680) by
1980.
Viveks evolved its strategies to suit the larger scene where there was a stigma attached to
borrowing. Very few hire purchase options were available and hence Viveks started
Vivek Hire Purchase and Leasing Ltd to finance consumer durables, which enhanced the
core retailing business also.
On 3rd May 1965, a young engineering graduate, B.A Lakshmi Narayana Setty, deeply
influenced by the lofty ideals of Swami Vivekananda of Service to humanity, set up a
small shop, all of 200 sq.ft., at Mylapore, Chennai, to sell folding chairs, then added
radios, fans, mixers, irons, heatersand so on. He named his business Vivek & Co, after
his inspirational guru.
The founder had a vision, of offering the best products to the people on most affordable
terms: to provide uncompromising customer care and to offer employment to the
deserving and needy. He had a heart to serve the larger interests of the Society in ways
dear to him.
MSRCASC-MBA 40
3.2 The concept of Viveks - THE UNLIMITED SHOP
Upto the year 1995, Viveks had 3 mega showrooms in Mylapore, Purasawalkam and
T.Nagar, all in Chennai, earning for itself immeasurable goodwill of its customers, built
on the strong foundations of product quality, reliability of service and cordial customer
relations, which have brought customers into its showrooms, again and again, all through
the years.
Simultaneously, Viveks has maintained an excellent rapport with manufacturers and

suppliers. They have been instrumental in popularizing many a brand. Naturally, these
associates continue to be a source of strength to the company.
Today this little enterprise, rechristened as Vivek Limited, is the largest Consumer
Electronics & Home Appliances retail chain in India, with 14 world class showrooms in
Chennai, Bangalore and Salem; covering a retail space area of over 1,00,000 sq.ft. and a
turnover of over Rs.one Billion (US $ 23 Million). Its brand , VIVEKS, is now a
household name.The groups turnover, comprising of interests in Distribution of consumer
products; Finance, Safe Deposit Lockers; property Development and Real Estate, is about
2 Billions (US $ 46 Million)
MSRCASC-MBA 41
Viveks had spent several years laying the foundation for a speedy growth. Its mission
was to be Indias leading world class, Consumer Durables retailing chain. It aimed to
achieve this through geographical expansion, upgrading standards, widening its product
range, offering easy finance schemes supported by aggressive advertising, publicity and
promotional efforts.
Its strategy was to offer customers more of everything, viz., more space, more products,
more brands and models, more service, more attractive promotions. Thus, was born the
concept of Viveks, The Unlimited Shop
Viveks grew from 3 stores to more than 53 stores and turnover increased to over Rs. 350
crores (USD 80 million) and also become a public limited company from a family run
enterprise. In this process, 14 store Jainsons was bought over in 1999, 2 store Premier in
2001 and Spencers in 2002 and have recently absorbed Spencers into the Premier brand.
With the liberalization of economy and other changes in the global scene, Viveks
streamlined the marketing and advertising activities and shopping ambience was
improved
With the induction of experienced professionals in functional areas such as Marketing,

Business Development, Finance & Accounts, HRD, Training & Development, Corporate
Communications etc., the company has induced professionalism in its operations.
MSRCASC-MBA 42
3.3 Mission and Vision
Mission
To offer quality products and services to people at affordable costs
Vision
To retain the number 1 position in the consumer durable segment and evolve from a
regional player to a national force.
Viveks in accordance with the “Vision” are expanding vigorously through geographic
penetration, human resource development, technological up gradation and revamping of
showrooms in alignment with the “Mission”. The process will enable the company to
reach the targeted revenue of Rs. 1308 crores (USD 301 million) by the year 2010.
Viveks Agencies
Viveks with a novel approach to retail business, ventured into a new area in the
distribution channel. Viveks group realized the importance of an integrated approach to
retailing well ahead of time and set up a distribution firm Vivek Agencies in 1976.
Starting with the distribution of Sumeet Mixers, the company has added a whole range of
products to its distribution basket. The strategy to focus only on one product (i.e.) Sumeet
Mixers for a substantial period of time helped in making Sumeet a household name in
Tamil Nadu and Karnataka.
Today Vivek agencies represents many principal companies as a distributor, namely Sony
Ericsson Mobiles, Siemens Mobiles, Philips Mobiles, AIWA audio Systems, Cool Air air
coolers, Napro VCD/DVD, DMS systems, etc. Vivek’s foray into the distribution years
ago helped the overall understanding of the consumer durable business.
MSRCASC-MBA 43
3.4 A brief profile of Board of Directors, who render able guidance to

our professionals, is given below.
Sri B.A. Kodandaraman

Chairman & Managing Director
Born, February 1939
Simple and unassuming, Sri B.A. Kodandarman, is the Chairman & Managing Director
of Vivek Limited. He has ably nurtured the Company from its infancy to its present
premier position in the industry. He is known for his dynamic entrepreneurship,
organizational capabilities, skilled interpersonal relationships, personal charm and
constant interactions. Sri. Kodandaraman has displayed exemplary leadership skills in
giving a cutting edge to the Viveks group.
Sri. R. Srinivasan
Vice Chairman
Born: April 1928
Sri. R. Srinivasan is a multi faceted personality with a commandable knowledge and

experience base.
He was inducted into the Board of Viveks on June 17, 1999. Earlier he served as an
Advisor and Consultant to the Board for a couple of years.
A graduate of the Loyola College, Chennai, in 1948, he acquired the prestigious PSC.
degree in 1957 from the Defense Service Staff college. He has worked for the Naval
Armament Service and coordinated the activities of six major ordinance factories. He
also served BHEL in senior positions. Later, he lent his expertise to ONGC, where he
was elevated as a Board Member before his superannuation.
MSRCASC-MBA 44
After Super-anuation, he has been an Advisor and on the Board of several top notch
organizations like ONGC, Rohtak Textiles, Binatone Electronics etc. He has had a stinct
with a Pharmaceutical Group in UK and Nigeria with the Status of Managing Director.
Sri. B. A. Chandrashekar
Joint Managing Director
Born June, 1946
A dynamic personality with a great marketing acumen, Sri B.A. Chandrashekar has spelt
class and achievements in whatever he has done.He is highly recognized and respected
for his outstanding services and has won several laurels. He was honoured by the
International Parliament for safety and peace (registered in USA) as a senator member of
High Chamber. He is conferred with the Royal Noble Status Knighthood "Chevaliar",
approved by Pope John V.
Sri. B.A. Srinivas

Joint Managing Director
Born March, 1957
He is versatile and is admired for his organizational ability, business acumen, and
management insight. He has made effective use of the latest technology in directing the
day-to-day affairs of the company. He is an engineering graduate in electronics.
MSRCASC-MBA 45
Sri J Ramanan
Director
Born July, 1946
He has great financial and administrative acumen and is instrumental in turning

companies towards impressive achievements in profitability and growth. He is a Fellow
Member of the Institute of Chartered Accountants of India with 27 years of varied
experience in national and international companies, holding responsible positions.
Sri Ramanan is a Fellow Member of the Institute of Chartered Accountants of India with
27 years of well diversified experience in national and international companies holding
responsible positions. With his deep rooted financial and administrative acumen, he has
been instrumental in turning companies towards impressive achievements in profitability
and growth.
MSRCASC-MBA 46
3.5 Accolades
Viveks, established in the year 1965 has specialized in introducing innovative methods to
keep pace with the changing trends in the global scene. Post liberalization, Viveks has
embarked upon a speedy growth always maintaining uncompromising quality standards
and customer satisfaction. This commitment has won Viveks several honours and an
enviable position in the industry.
Viveks is the only Indian consumer durables retailer to be ranked in the Top 500 retailers
in the Asia Pacific Region by Euromonitor International and KPMG - 2004
Viveks bagged Images Consumer Durables Retailer of the Year 2004 award
Viveks has been ranked third among India's top 10 retailers by Business Today - 2001
Viveks was reported as more trusted than the brands it sells by CII and Mckinsey - 2002
Viveks was reported as the most trusted store in the retail market with over 3 lakh
customer families by Mckinsey - 2000
MSRCASC-MBA 47
Mile Stones
Viveks group has a 42-year legacy and today operates out of 53 stores in South India in a
total area of 1,75,000 sq. ft with an overall turnover of Rs. 360 crores. (USD 75.8
million) Landmarks achieved, traced from the year of inception leave an impression of
sustenance and growth at a rapid pace.
2006 Viveks's T.Nagar & Coimbatore received VM-RD Retail Design Award 2007
Vivek's Coimbatore received the Merit Award for the best store Visual
2006
Merchandising
Vivek's T.Nagar received Special Jury Award for the Best Shop Fitting store in
2006
the Country
2004 Received the “Images Consumer Durables Retailer of the Year 2004” award
Launched a home theater gallery named “Multiplex”, the first of its kind in
2004
India
2004 Launched a new strategic business unit "Viveks Service Centre"
2002 Received India’s No.1 Retailer Award from Kenstar
2001 Received “Employer – Employee Relations Award” from Rotary Club of
Madras for the second time
2001 Acquired Premier and Spencers
1999 Acquired 14 store Jainsons
Received the “Employer – Employee Relations Award” from Rotary Club of
1998
Madras
1996 Outstanding performance from IFB
1995 Received President’s Cup from Whirlpool for maximum sales of Whirlpool
washing machines
1994 Changed from a partnership firm to a Public Limited Company
1993 Launched group company “Viveks Lockers”
1990 Launched group company “Vivek Hire Purchase & Leasing Ltd.”
1987 Received the “Best Dealer” by Bajaj IIM
1980 Opened third store in T. Nagar, Chennai
1976 Launched group company “Vivek Agencies”
1969 Opened second store in Purasawalkam, Chennai
1965 Opened first store in Mylapore, Chennai
MSRCASC-MBA 48
3.6 Products and Brands
Televisions
Home Theatres
Audio Systems
Microwave Ovens
MSRCASC-MBA 49
VCDs / DVDs
Refrigerators
Washing Machines
MSRCASC-MBA 50
Air Conditioners
Kitchen Appliances
Dish Washers
MSRCASC-MBA 51
Mobile Phones
Cameras
Others
MSRCASC-MBA 52
CHAPTER 4
TABULATION & DATA

ANALYSIS
MSRCASC-MBA 53
Table 1: Occupation of the Respondents.
Occupation No of Respondents No of Respondents (%)
Student 15 30
Employee 23 46
Businessman 7 14
Others 5 10
Observation
Out of the total surveyed respondents, 30% or 15 respondents were students; 46% or 23
respondents were employee; 14% or 7 were businessmen and 10% or 5 were others like
housewife.
MSRCASC-MBA 54
Graph 1: Occupation of the Respondents
50 46
45
40
35 30 Student
30
Employee
25
Businessman
20
14 Others
15 10
10
5
0
No of Respondents (%)
MSRCASC-MBA 55
Table 2: How did you come to know about Viveks Limited?
Particulars No of Respondents No of Respondents (%)
Media 17 29.31
Friends 20 34.48
Relatives 15 25.86
Others 6 10.34
Observation
When asked how they came to know of Viveks Limited Out of the total surveyed
respondents 29% or 17 respondents told through media,34% or 20 respondents told
through friends,25% or 15 respondents told through relatives and 10% or 6 respondents
told through other sources like colleagues.
MSRCASC-MBA 56
Graph 2: How did customers come to know

about Viveks Limited
50
45
40 34.48
35 29.31
30 25.86 Media
25
Friends
20
15 Relatives
10.34
10 Others
5
0
MSRCASC-MBA 57
Table3: Rating for the floor space.
Ratings No of Respondents No of Respondents (%)
Good 20 40
Satisfactory 14 28
Average 16 32
Poor 00 00
Observation
Out of the surveyed respondents for rating the floor space at Viveks Limited 40% or 20
respondents told it was good, 28% or 14 respondents told it was satisfactory and 32 %or
16 respondents told it was average.
MSRCASC-MBA 58
Graph 3: Rating for the floor space
50
45 40
40
35 32 Good
30 28
Satisfactory
25
20 Average
15 Poor
10
5 0
0
MSRCASC-MBA 59
Table 4: Rating for the interior and space utilization.
Good 21 42
Satisfactory 15 30
Average 13 26
Poor 1 2
Observation
Out of the surveyed respondents for rating the interior and space utilization at Viveks
Limited 42% or 21 respondents told it was good, 30% or 15 respondents told it was
satisfactory , 26 %or 13 respondents told it was average and 2% or 1 respondents told it
was poor.
MSRCASC-MBA 60
Graph 4: Rating for the interior and space

Utilization
50
45 42
40
35 30 Good
30 26 Satisfactory
25
20 Average
15 Poor
10 2
5
0
MSRCASC-MBA 61
Table 5: Product Preference by the Customers
Electronic products 20 35.08
Home appliances 23 40.35
IT Products 14 24.56
Observation
Out of the surveyed respondents for Product Preference at Viveks Limited 35% or 20
respondents preferred electronic products, 40 % or 23 respondents preferred home
appliances products and 25% or 14 respondents preferred IT products.
MSRCASC-MBA 62
Graph 5: Product Preference by the

Customers
50
45 40.35
40 35.08
35 Electronic
products
30
24.56 Home
25
appliances
20
IT Products
15
10
5
0
MSRCASC-MBA 63
Table 6: Ratings for Brand Varieties
Good 22 44
Satisfactory 18 36
Average 9 18
Poor 1 2
Observation
Out of the surveyed respondents for rating the Brand Varieties at Viveks Limited 44% or
22 respondents told it was good, 36% or 18 respondents told it was satisfactory , 18% or
9 respondents told it was average and 2% or 1 respondents told it was poor.
MSRCASC-MBA 64
Graph 6: Ratings for Brand Varieties
50
44
45
40 36
35 Good
30
Satisfactory
25
18 Average
20
15 Poor
10
5 2
0
MSRCASC-MBA 65
Table 7: Ratings for Product Range.
Good 7 14
Satisfactory 32 64
Average 11 22
Poor 00 00
Observation
Out of the surveyed respondents for rating the Product Range at Viveks Limited 14% or 7
respondents told it was good, 64% or 32 respondents told it was satisfactory and, 22% or
11 respondents told it was average.
MSRCASC-MBA 66
Graph 7: Ratings for Product Range

64
65
60
55
50
45
40 Good
35 Satisfactory
30 Average
25 22
Poor
20 14
15
10
5 0
0
MSRCASC-MBA 67
Table 8: Ratings for Stock Availability.
Good 19 38
Satisfactory 17 34
Average 13 26
Poor 1 2
Observation
Out of the surveyed respondents for rating the Stock Availability at Viveks Limited 38%
or 19 respondents told it was good, 34% or 17 respondents told it was satisfactory , 26%
or 13 respondents told it was average and 2% or 1 respondents told it was poor.
MSRCASC-MBA 68
Graph 8: Ratings for Stock Availability
50
45
40 38
34
35 Good
30 26 Satisfactory
25
Average
20
15 Poor
10
5 2
0
MSRCASC-MBA 69
Table 9: Pricing at Viveks Limited
Price No of Respondents No of Respondents (%)
Best price 6 12
Competitive 21 42
Varies 18 36
Same as others 5 10
Observation
Out of the surveyed respondents Pricing at Viveks Limited 12% or 6 respondents told
Best Price, 42% or 21 respondents told it was Competitive , 36% or 18 respondents told
it Varies and 10% or 5 respondents told it was Same As Others.
MSRCASC-MBA 70
Graph 9: Pricing at Viveks Limited
50
45 42
40 36
35
Best price
30
Competitive
25
Varies
20
12 Same as others
15 10
10
5
0
MSRCASC-MBA 71
Table 10: Reason for purchasing products at Viveks Limited
Brand name 19 38
Price 8 16
Service 22 44
Others 1 2
Observation
For purchasing at Viveks Limited Out of the surveyed 38% or 19 respondents told due
to Brand Name , 16% or 8 respondents told because of Price , 44% or 22 respondents
told it due to Service and 2% or 1 respondents told others reason like urgency.
MSRCASC-MBA 72
Graph 10: Reason for purchasing products at

Viveks Limited
50 44
45
40 38
35 Brand name
30 Price
25
20 16 Service
15 Others
10 2
5
0
MSRCASC-MBA 73
Table 11: Ratings for Response by the Salesperson
Good 19 38
Satisfactory 22 44
Average 8 16
Poor 1 2
Observation
Out of the surveyed respondents for rating the response by the Salesperson at Viveks
Limited 38% or 19 respondents told good, 44% or 22 respondents told satisfactory ,
16% or 8 respondents told average and 2% or 1 respondents told poor.
MSRCASC-MBA 74
Graph 11: Ratings for response by the

Salesperson
50
44
45
40 38
35 Good
30
Satisfactory
25
20 Average
16
15 Poor
10 2
5
0
MSRCASC-MBA 75
Table 12: Ratings for the knowledge of the Salesperson
Good 15 30
Satisfactory 24 48
Average 11 22
Poor 00 00
Observation
Out of the surveyed respondents for rating the knowledge of the Salesperson .at Viveks
Limited 30% or 15 respondents told good, 48% or 24 respondents told satisfactory and
22% or 11 respondents told average.
MSRCASC-MBA 76
Graph 12: y the sSalesersonmited of VIveks 3
MSRCASC-MBA 77
Table 13: Ratings for the over all response of the staff.
Good 18 36
Satisfactory 22 44
Average 10 20
Poor 00 00
Observation
Out of the surveyed respondents for rating for the over all response of the staff .at Viveks
Limited 36% or 18 respondents told good, 44% or 22 respondents told satisfactory and
20% or 10 respondents told average.
MSRCASC-MBA 78
Graph 13: Ratings for the over all response of

the staff
50
44
45
40 36
35 Good
30 Satisfactory
25 20
20 Average
15 Poor
10
5 0
0
MSRCASC-MBA 79
Table 14: Most beneficial Service Provided
Free home delivery 18 31.57
Installment purchase 23 40.35
Exchange goods 10 17.5
Others 6 10.52
Observation
For the Most beneficial Service at Viveks Limited Out of the surveyed respondents 32%
or 18 respondents told Free Home Delivery, 40% or 23 respondents told Installment
Purchase, 16% or 10 respondents told Exchange of Goods and 11% or 6 respondents
told others like Discounts.
MSRCASC-MBA 80
Graph 14: Most beneficial Service Provided
50
45
40.35
40 Free home
35 31.57 delivery
30 Installment
purchase
25
Exchange goods
20 17.5
15 10.52 Others
10
5
0
MSRCASC-MBA 81
Table 15: Benefits expected.
Status 6 11.53
After sales service 32 61.53
Replacement in case of 13 25
defects
Others 1 1.92
Observation
For the benefits expected at Viveks Limited Out of the surveyed respondents 12% or 6
respondents told Status, 62% or 32 respondents told After sales Service, 25% or 13
respondents told Replacement in Case of Defects and 2% or 1 respondents told others
like Credit Card Discounts.
MSRCASC-MBA 82
Graph 15: Benefits expected
65 61.53
60
55
50 Status
45
40 After sales service
35
30 Replacement in
25
25 case of defects
20 Others
15 11.53
10
5
1.92
0
MSRCASC-MBA 83
Table 16: Ratings for the over all service rendered.
Good 13 26
Satisfactory 24 48
Average 11 22
Poor 2 4
Observation
Out of the surveyed respondents for ratings the over all service rendered at Viveks
Limited 26% or 13 respondents told good, 48% or 24 respondents told satisfactory ,
22% or 11 respondents told average and 4% or 2 respondents told poor.
MSRCASC-MBA 84
Graph 16: than 2 yearsrhs time or ed he VIveks 3
MSRCASC-MBA 85
Table 17: Ratings for the accessibility
Good 16 32
Satisfactory 22 44
Average 10 20
Poor 2 4
Observation
Out of the surveyed respondents for ratings the accessibility to Viveks Limited 32% or
16 respondents told good, 44% or 22 respondents told satisfactory , 20% or 10
respondents told average and 4% or 2 respondents told poor.
MSRCASC-MBA 86
Graph 17: Ratings for the accessibility to
50
44
45
40
35 32 Good
30 Satisfactory
25 20
20 Average
15 Poor
10 4
5
0
MSRCASC-MBA 87
Table 18: Association with Viveks Limited.
First time 21 42
More than Six months 11 22
More than 1 year 11 22
More than 2 years 7 14
Observation
When asked about the time or Association with Viveks Limited ,Out of the surveyed
respondents 42% or 21 respondents told First time, 22% or 11 respondents told More
than six months , 22% or 11 respondents told More than one year and 14% or 7
respondents told More than 2 years.
MSRCASC-MBA 88
Graph 18: Association with Viveks Limited.
50
45 42
40 First time
35
30 More than Six
months
25 22 22
More than 1 year
20
14
15 More than 2 years
10
5
0
MSRCASC-MBA 89
CHAPTER 5
FINDINGS, SUGGESTION &

CONCLUSION
MSRCASC-MBA 90
5.1 FINDINGS
1. 48% of the customers are employee and 14% from businessman.
2. 34% of the people came to know about Viveks through friends and 29% through
media.
3. 32% of the customers felt the floor space was average.
4. 26% of the customers felt the interior and space utilization was average.
5. 25% of the customers preferred for IT products.
6. 18% felt the brand variety was average.
7. 14% of the customers felt the product range was good.
8. 26% of the customers felt the stock availability was average.
9. 12% of the customers felt they got the best price.
10. 16% of the customers felt preferred to buy because of price.
11. 16% of the customers felt the response by the salesperson was average.
12. 22% of the customers felt the knowledge of the salesperson was not up to the mark.
13. 22% of the customers felt the overall response of the staff was average.
14. 17% of the customers felt the exchange of goods was beneficial for them.
15. 11% of the customers felt the status was their expectation.
16. 22% of the customers felt the overall service was average.
17. 20% of the customers felt the accessibility was not good.
18. 14% of the customers are associated with Viveks for the past more than 2 years.
MSRCASC-MBA 91
5.2 SUGGESTION
1. Give more offers which attract the working class and do more marketing to attract the
businessman.
2. Need to be more attractive in terms of media and advertisement.
3. More spacious floor space needed for free movement.
4. Good designing of the stores to be done so the products are displayed and the features
be explained in detail.
5.With more number of exclusive mobile stores coming up need to have more space ,
brand and varieties in IT products.
6. Since there are a number of products coming into market every day have to maintain
good brands.
7. Need to keep all the products in the respective brand.
8. Should keep sufficient stocks and store rooms well maintained.
9. Need to be more competitive in pricing strategy by offering the best price in the
market.
10. Pricing strategy to be properly analyzed and good price be given.
11. Salesperson should be given proper training in hospitality and customer interaction.
12. The salesperson should be trained well and should have complete knowledge about
the product about the features usage etc.
13. Right from the security till the delivery person must be trained with basic
communication skills
MSRCASC-MBA 92
14. More service should be given for exchanging goods like picking up the product,
valuation etc.
15. Create a more standard brand image in minds of people with good marketing, service
and make customer confident about the purchase.
16. Need to keep the sales and after sales service active and help the customer in having a
pleasant shopping experience.
17. Depending upon the requirement, population and market demand need to open more
stores.
18. Special discount, customer privilege cards and offers should be given to grow the
loyalty and the customer base.
MSRCASC-MBA 93
5.3 CONCLUSION
1. Large number of customers come from the working class like employee 48% and
students 30%.
2. Advertisement through word of mouth is one of the most effective kinds of
advertisement as we can see most of the customer came to know through friends 34%.
3. Most of the surveyed respondents were happy with the floor space.
4. Most of the customers were happy with the interior and space utilization but have a
feel that it can be better.
5. Customers were more interested in electronic products 35% and home appliances 40%.
6. Brand variety was satisfactory but need to add more brands.
7. Customers are satisfied with the product range but as the brand increases the product
range also increases with it.
8. 38% had no problem but 34% were satisfied with stock availability.
9. Pricing which is one of the most important factor was rated has competitive 42%.
10. 44% stated service and 38% brand name for reasons to purchase.
11. 44% of the customers were satisfied by the response of the salesperson.
12. The knowledge of the salesperson and overall response by the staff was satisfactory
with an average of 44%.
13. Installment purchase was the most beneficial service and more service and lost
interest installment should be provided.
MSRCASC-MBA 94
14. After sales service remains at the top 61%.This shows that this is the most important
part in any sales done.
15. Overall service was rated has satisfactory 48% and customers had a hazel free
shopping.
16. Accessibility to store was rated has easy but need to expand to cover more areas.
17. 42% of the customers were first time visitors care should be taken to provide good
service to retain than and build a loyal and good customer data base.
The retail industry is growing by leaps and bounds in the past few years. The consumer
durable is also growing due to various brands, products, features and services. For the
retail sector to achieve further growth, the spread of organized retailing has to become a
national phenomenon. Although many international retailers and brand still regard India
as too difficult, they would welcome the opportunity to create an appropriate joint
venture, if they felt India is changing. The growth of the organized retail industry in the
country will mean thousands of new jobs, increasing income levels and living standards,
better products and services, a better shopping experience and more social activities.
Though there are others brand stores in the market Viveks Limited has established itself
as market leader. This is the result of good product and appreciable services provided by
them.
The satisfied customers are also equally responsible to the popularization. The
organization must keep its eyes and ears open to sense the changing need of the current
and prospective customers.
This will definitely help the company in marinating its leadership position and satisfy
their customer to increase sales and profit.
MSRCASC-MBA 95
CHAPTER 6
BIBLIOGRAPHY
MSRCASC-MBA 96
6. BIBLIOGRAPHY
Books:
1. Principles of Marketing Management
By Philip Kotler
2. Research Methodology
By C. R. Kothari
Web sites:
http://business.mapsofindia.com/india-retail-industry/index.html
www.viveks.com
News paper:45
Times Of India
MSRCASC-MBA 97
CHAPTER 7
ANNEXURE
MSRCASC-MBA 98
7. ANNEXURE
I am Vikram Jogi K, a student of MBA from M S Ramaiah College of Arts

Science and Commerce conducting a survey on “Customer Perception on
Viveks Limited, Bangalore” as a part of my course curriculum. I kindly
request you to fill the questionnaires to the best of your knowledge and
experience.
Questionnaire
1. Name:
2. Occupation:
Student [ ] Employee [ ]
Businessman [ ] Others....................
3. How did you come to know about Viveks Limited?
Media [ ] Friends [ ]
Relatives [ ] others [ ]
4. What do you feel about the floor space at Viveks Limited?
Good [ ] Satisfactory [ ]
Average [ ] Poor [ ]
MSRCASC-MBA 99
5. What do you feel about the interior and space utilization at Viveks Limited?
6. What do you prefer at Viveks Limited?
Electronic products [ ] Home appliances [ ] IT Products [ ]
7 How do you rate the Brand and product range at Viveks Limited?
Good Satisfactory Average poor
Brand varieties
Product range
Stock availability
8. What do you feel about the pricing at Viveks Limited?
Best price [ ] Competitive [ ]

Varies [ ] Same as others [ ]
9. What factor influenced you to purchase products at Viveks Limited?
Brand name [ ] Price [ ]

Service [ ] Others………………..
MSRCASC-MBA 100
10. How do you rate the staff at Viveks Limited?
Good Satisfactory Average poor
Response by the
salesperson
The knowledge of
the salesperson
Over all response of
the staff
11. Which service provided by Viveks Limited benefited you the most?
Free home delivery [ ] Installment purchase [ ]

Exchange goods [ ] Others………………….
12. What benefits do you expect from Viveks Limited?
Status [ ] After sales service [ ]

Replacement in case of defects [ ] Others………………..
13. What do you feel about the over all service rendered by Viveks Limited?
14. What do you feel about the accessibility to Viveks Limited?
MSRCASC-MBA 101
15. From how long are you associated with Viveks Limited?
First time [ ] More than Six months [ ]

More than 1 year [ ] More than 2 years [ ]
Thank you…
MSRCASC-MBA 102

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“Study on the Customer Perception with reference to Viveks

Dissertation submitted in partial fulfillment of the requirements for the

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of

Mrs. Arul Jyothi

Faculty, Department of Managements Studies

P.G. Department of Management Studies

M.S. Ramaiah College of Art, Science and Commerce

Marketing is a social and managerial process by which individuals and groups

“Marketing is so basic that it cannot be considered as a separate function. It is the

“Marketing consists of all activities by which a company adapts itself to its

1.2 INTRODUCTION TO RETAIL INDUSTRY

1.3 THE INDIAN RETAIL SECTOR CAN BE BROADLY

Health& Beauty Products

Clothing& Footw ear

Leisure& personal goods

Increasing household incomes due to better economic opportunities have encouraged

Consequently, a number of foreign brands including French Connection, Sanrio of Hello

• Monalisa, the Versace of kids, is coming to India.

1.4 Growth of Retail Companies in India

Reasons for the fast Growth of Retail Companies in India.

 existing Indian middle classes with an increased purchasing power

1.5 CHALLENGES TO RETAILING

FO REIG N DIRECT INVESTMENT IN RETAIL SECTOR IN INDIA

GOVERNMENT ALLOWS 51% FDI IN SINGLE BRAND RETAILING

• Regulations restricting real estate purchases, and cumbersome local laws.

1.6 Scope of the Indian Retail Market

• Pantaloons Retail India Ltd

1.7 Opportunities in Indian Organized Retail sector

1.8 Consumer Durables Retail

2.1 STATEMENT OF THE PROBLEM

2.2 NEED FOR THE STUDY

 To measure the level of customers satisfaction towards Viveks Limited.

2.3 OBJECTIVES OF STUDY

The main objectives of the study are:

 To find out the impact of showroom ambience, product briefing.

2.4 SCOPE OF THE STUDY

handle the competition in the near future.

3. It also helps in putting in possible improvements, additions, and new

strategies and offers to the customers.

such as marketing, sales, finance etc.

2.5 RESARCH DESIGN OF THE STUDY

Research in common parlance means to search for knowledge. D. Slesinger and

Types of Research Design:-

There are 3 types of explanatory research

a) Literature: - it is the quicker and most economic way of locating a source of

b) Experience Survey:-the experience survey attempts to top the experience expertise of

2. Description research-aims to derive the characteristics of a sample which is taken up

3. Experimental research-it is a process in which one or more variables are manipulated

The sample size of collection of data is 50 respondents. Sampling is

Empirical field studies require collection of first hand information on data

Data collection method

2.6 LIMITATIONS OF THE STUDY

organization standards; a sincere attempt has been made to collect information.

2. The number of sample size is 50 respondents only.

3. The study is targeted to the population of students, officials, servicemen,

businessmen and professionals.

4. The study is confined only to Bangalore

2.7 OVERVIEW OF THE REPORT

Chapter 1: These deals with the general introduction to retail industry,

Chapter 5: This chapter includes findings, suggestion and conclusion.

3.1 The Evolution: - The Story of Viveks

3.2 The concept of Viveks - THE UNLIMITED SHOP