SUMMER TRANING PROJECT REPORT

On
MARKET POTENTIAL & AWARENESS OF DESIGNER TILES AMONG A CASE OF KAJARIA WORLD Ltd REAL ESTATE DEVELOPERS IN NOIDA REGION At

Submitted in the Partial fulfillment for the degree of Master of Business Administration from Mahamaya Technical University, Noida

Under the Guidence of: Ms.KIRAN MALIK (lecturer, Management)

Submitted by: ANURAG SINGH CHAUHAN 1064470008 MBA (III sem.)

Submitted To M.T.U. NOIDA

SVS
SHAHJI VISHNU SWROOP 1

CERTIFICATE

CERTIFICATE

This is to certify that the project titled MARKET POTENTIAL AND SCOPE FOR DESIGNER TILES AMONG REAL ESATATE DEVELOPERS IN NOIDA region is the work carried by ANURAG SINGH CHAUHAN

in the fulfillment of the requirement for the degree of POST GRADUATE DIPLOMA IN MANAGEMENT FROM KIET SCHOOL OF MANAGEMENT, GHAZIABAD (approved by AICTE, ministry of HRD, Govt. of India) under our guidance and direction.

PREFACE

PREFACE

THE WOODS ARE LONELY, DARK AND DEEP BUT I HAVE PROMISES TO KEEP, AND MILES TO GO BEFORE I SLEEP

Progress is a continuous process. It is relative and absolute. We cannot stop at a certain destination and declare that target has been achieved and we need not to go further. The research reports are designed to give the manager the future of the corporate happenings and work culture. These real life situations are entirely different from the stimulated exercise enacted in an artificial environment inside this programmers and designed, so that the manager to tomorrow do not feel ill case when the time comes to shoulder responsibilities.

I was privileged enough to Join KAJARIA WORLD. as a summer trainee. The experience that I have gathered during this period has certainly provided me with an orientation which, I believe, will help me to shoulder any assignment successfully in near future. During this period, I have visited many prominent builders of Meerut city like Aksardham, Supertech, RajKamal Residency etc. collected all the pertinent

information though primary and secondary data, which were available at the concerned office and outside of the company. On the basis of my research, I have
5

tried my best to arrange the work in a systematic and chronological way. However to cove Detailed information of the organization in such a short period was not possible. Despite the inherent shortcomings of the study, a genuine attempt was made on my part see that the study was carried out in the right respective.

ACKNOWLEDGEMENT

ACKNOWLEDGEMENT

The Summer Internship at KAJARIA WORLD LIMITED has been a quantum leap in terms of practical savvy, understanding of management concepts, sincerity, diligence, responsibility & above all self-confidence. In particular, I would like to extend my heartfelt gratitude to MR. VIPIN KUMAR SHARMA (AREA MANAGER) without whose facilitation and cooperation this project would not have been so fulfilling. I would like to take this opportunity to thank my project guide Mrs. RAMA GOEL. For her guidance and for keeping me on track through her expertise in the field of HR and the entire esteemed faculty of KIET-KSM, GHAZHIABAD for providing me the required theoretical background to prepare the project. Above all, I would definitely like to thank all my fellow summer trainee friends in the company who always provided me the support and confidence and without whom I would have a never able to do my research successfully.

CONTENTS
1. PREFACE 2. ACKNOWLEDGEMANT 3. COMPANY PROFILE 4. OBJECTIVE 5. SCOPE 6. RESEARCH METHODOLOGY 7. DATA INTERPRETATION 8. FINDINGS 9. LIMITATIONS 10. SUGGESTIONS 11. SWOT ANALYSIS 12. CONCLUSION 13. MANAGERIAL USEFULLNESS 14. ANNEXURES 15. BIBLIOGRAPHY 04 07 12 53 55 58 62 78 80 82 85 90 92 93

102
9

INTRODUCTION

Practical training constitutes an integral part of the Management studies. Training gives an opportunity to the students to expose themselves to the industrial environment, which is quite different from the classroom teachings. The practical knowledge is an important suffix to the theoretical knowledge. One cannot rely upon theoretical knowledge. It has to be coupled with practical to be fruitful. Classrooms lectures make the fundamental concept of technologies clear but not their application in actual practice. A positive & correct result of the classroom learning needs realities of the practical situation. The training also enables the Management students to see themselves the working conditions under which they have to work in the future. It thus enables the students to undergone those experiences, which will help them later when they join any organization. It is in this sense that practical training in company has a significant role to play in the subject of Management for developing managerial & administrative skills in the future managers & to enhance their analytical skills.

10

I underwent eight weeks of training at KAJARIA WORLD. I consider myself lucky to get my Project training in such a big company. It really helped me to get a practical insight into the actual working environment and provide me an opportunity to make my Ceramic industry related concepts more clear.

11

COMPANY PROFILE

12

Global Tiles Industry

The major regions in the world that produce and export ceramic tiles in bulk are Asia, Latin America and European Union (EU), in 2009, they had jointly produced more than 87% of the global output. World production of ceramic tiles was 7565 million sq.mt. in 2009 China was the largest producer with a total production of 2200 million sq.mt. Spain and Italy were the 2nd and 3rd largest producers with production of 635 million sq.mt. and 589 million sq.mt. respectively. India ranks at 5th position with production of 270 million sq.mt., which is around 2.5% of global production.

Ceramic tile production has been increasing at a rate of close to 6 per cent. Asia is the most significant region by production, as well as for consumption, accounting for more than 50 per cent of both. China is the leading country in the production of ceramic tiles with a share of 33 per cent at a total production of 2,200 million square meters, followed by Spain and Italy. Europe accounts for 30 per cent and of the total global production of ceramic tiles. In terms of consumption the pattern remains similar, with Asia accounting for 51 per cent, Europe for 26 per cent and USA accounting for 18 per cent of the total global ceramic tile consumption.

13

14

INDIAN CERAMICS INDUSTRY

Ceramic Tiles Indias ceramic tile industry emerged in the 1950s. Tiles form the most significant part of the Indian ceramics industry and consist of floor tiles (46 per cent), vitrified and porcelain tiles (12 per cent) and wall tiles (42 per cent). The floor tiles segment is growing faster as compared to wall tiles. Vitrified and porcelain tiles are recent entrants into the ceramic tile industry and have increased the size of the market considerably. It is expected that this segment will capture the bulk of the market gradually, replacing the conventional floor and wall tiles segment. These tiles are light and have the added advantage of being offered in designer looks as compared to mosaic tiles, which are heavier and more expensive to transport. Both organized and unorganized sectors play a key role in the m anufacturing of ceramic tiles in India. The per capita consumption of ceramic tiles in India is very less as compared to the other countries in the world. It is as low as 0.25 sq.mtr per annum. This low per capita consumption shows the likely demand that is going to arise in the future in India as more and more development takes place. Ceramic Tiles are
15

furnishing material apart from being utility or hygiene products. Despite an overall slowdown of the economy this sector continues to grow at a healthy rate of 12 percent per annum. Growth of the unorganized sector in India accounted for 44 percent of the total Production and the revenue earnings from the organized sector accounted to over Rs150 crore. India ranks 5th in terms of production in the world and the market share of India have risen from 1.7 percent to 2.7 percent in terms of ceramic tile production.

Ceramic Tile industry with respective shares of different tiles

16

MARKET SIZE OF THE INDIAN CERAMIC INDUSTRY The total ceramic tile market in India is valued at INR 110 billion & is poised to reach INR 171by 2012. It Comprises of wall tiles, floor tiles and vitrified tiles. The per capita Consumption of ceramic tiles in India is just 0.25 square meters per Annum, which is quite low as compared to developed countries.

17

Production of Ceramic Tiles

Million Tonnes

The industry has been experiencing increased demand, which, in recent years, has matched the installed capacity. While capacity has also increased significantly, from 120 million tonnes in 2004, to 215 million tonnes in 2009, the demand has grown nearly two and a half times in the same period, from 97 Million tonnes to 207 million tonnes. Ceramic tiles are produced by organised, as well as unorganised players. The share of production of organised players is around 55 per cent. The
18

organised sector is characterised by the existence of a few large players, such as H.R.Johnson, Kajaria Ceramics,Bell Ceramics, Varmora, Asian Granito , OCIL and Nitco.

CERAMIC INDUSTRY STATISTICS

World production

7565 Million sq.mt. 340 Million sq.mt..

India's Share

World ranking (in production):

Per capita consumption:

0.30 sq.mt.

Global Industry Growth Rate: Growth Rate (India Domestic Market)

6% 12%

Organized industry turnover

Rs 3000 crores

Glazed Wall Tile share:

40%
19

Glazed Floor Tile share: : Unglazed Vitrified Tile share : Glazed Porcelain Tile Share

46%

8%

6%

Unorganized Industry Turnover

Rs 3500 crores

Glazed Wall Tile share:

57%

Glazed Floor Tile share:

35%

Unglazed Vitrified Tile share:

6%

Glazed Porcelain Tile Share:

2%

Investments in last 5 years:

Rs 2000 crores

Organized sector

Share of Production:

56% 16

20

No. of units: Rs 300 crores Revenue (excise duty):

Unorganized sector
Share of Production: 44%

No. of units:

200 (approx) (70% based in Gujarat region) Rs 350 crores per annum or less

Revenue (excise duty):

Job Potential:

50,000 direct ,500,000 indirect

21

List of Players in Indian Ceramic Industry with their websites addresses

22

Name of Member

Website

Anant Raj Industries Ltd.

www.romano.tradeindia.com

Antique Granito Pvt. Ltd.

www.antiquegranito.com

Asian Granito (India) Ltd.

www.asiangranito.com

City Tiles Ltd.

www.citytilesltd.com

Century Tiles Ltd.

www.centurytiles.com

Deco Lights Ceramics Ltd.

www.decocovering.com

Euro Ceramics Pvt. Ltd.

www.eurogranamite.com

H. & R. Johnson (India) Ltd.

www.hrjohnsonindia.com

Jalaram Ceramics Ltd.

www.siddharthceramics.com

Kajaria Ceramics Ltd.

www.kajariaceramics.com

Murudeshwar Ceramics Ltd.

www.naveenceramics.com

Oracle Granito Ltd.

www.oraclegranito.com

Orient Ceramics And Industries

www.orienttiles.com
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RAK Ceramics India Pvt. Ltd.

www.rakceram.com

Regent Granito (India) Ltd.

www.regentgranito.com

Restile Ceramics Ltd.

www.restile.com

Sentini Cermica Pvt. Ltd.

www.sentinicermica.com

Sogo Ceramics Pvt. Ltd.

www.sogovitrified.com

www.somanytiles.com SPL Ltd. Varmora Granito (P) Ltd. www.varmora.com

24

History of Tiles

25

HISTORY OF TILES

tile art had survived in Turkey and the Middle East and the Delft tiles art survived in Holland.

A form of tile making had also evolved among the natives of North and South America at some point. The first decorative tiles to appear in Colonial North America were imported from Northern Europe, mainly England the Brits having hijacked the technology from the Dutch. The tiles were too expensive for utilitarian purposes in the Colonies and were found almost exclusively in the homes of the wealthy. Through the centuries, tile decoration was improved upon, as were methods of tile manufacture. For example, during the Islamic period, all methods of tile decoration were brought to perfection in Persia. Throughout the known world, in various countries and cities, Ceramic tile production and decoration reached great heights. The tile mosaics of Spain and Portugal, the floor tiles of Renaissance Italy, the faiences of Antwerp, the development of tile iconography in the Netherlands, and the Ceramic tiles of Germany are all prominent landmarks in the history of Ceramic tile.

In the early days, the tiles were hand-made, each tile was hand-formed and handpainted, thus each was a work of art in its own right. Ceramic tile was used almost everywhere on walls, floors, ceilings, fireplaces, in murals, and as an exterior cladding on buildings. Today Ceramic tile throughout the world is not hand-made or hand-painted for the

26

most part. Automated manufacturing techniques are used and the human hand does not enter into the picture until it is time to install the tile. They are used in an almost infinite number of ways and you dont have to consider yourself wealthy to own them. In commercial buildings, where both beauty and durability are considerations, ceramic tiles will be found, particularly in lobby areas and restrooms. In fact most modern houses throughout use Ceramic tiles for their bathrooms and kitchens and in every vital area of the premise. Ceramic tiles are also the choice of industry, where walls and floors must resist chemicals. And the Space Shuttle never leaves Earth without its protective jacket of high-tech, heat resistant tiles.

27

Ceramic Tiles

Vitrified Tiles

Imported Tiles

Sanitary ware

Real Estate

Kajaria Ceramics Limited is the largest manufacturer and exporter of ceramic wall and floor tiles in India. Kajaria is the first tile company to win the Superbrand Status.Kajaria`s distribution network comprises of about 600 dealers .

Kerrogres, the new look Vitrified Tiles are the result of latest technology sourced by Kajaria. These tiles ideal for use in both domestic and commercial applications e.g. Schools, Hospitals, Residences, Restaurants.

Kajaria world offers you tiles from the leader of Italy, Spain and China. Over 100 options in bathroom concepts with ceramic and porcelain tiles for floors in living areas, dining halls.

Kerovit insists to the faith of pursuing perfection, bringing forth new ideas unceasingly, making ideal life, creating forever in simple and devotes itself to develop products of unify composing construction.

Kajaria first Real Estate project Kajaria Greens in Bhiwadi under the banner of Kajaria Infrastructure. Kajaria Greens the

first multistoried apartments (9 storied) in Alwa Distt.

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ABOUT KAJARIA CERAMICS LIMITED

YEAR EVENTS 1985 - The Company was incorporated on 20th December at Kanpur. It manufactures glazed and unglazed wall & floor tiles. The company obtained the certificate of commencement of business on 20th January 1986. It was promoted by Shri Ashok Kumar Kajaria, his associates. The Company entered into a technical collaboration agreement with Todagres S.A., of Spain for the manufacture of ceramic glazed wall & floor tiles.The agreement provides for supply of technical know-how and manufacturing assistance necessary design, drawings, specifications and also train the company's personnel and provide technical assistance for the setting up of the plant.The company undertook a project to set up a plant for the manufacture of 12,000 tpa of ceramic glazed wall/floor tiles in various shades. The plant is located on a plot of 17.5 acres acquired from UPSIDC at Sikandrabad Industrial Area in Bulandshahr district of U.P. main plant and machinery was supplied by Sacmi Imola and Omis Due SPA of Italy. Three D.G. sets of a total capacity of 835 KVA were installed to meet contingent power requirement. The company has an obligation to export 25% of the production for a period of 5 years from the date of commercial production. It was hopeful of meeting the export requirement with the help of the promoter company, Kajaria Exports, Ltd. The company received the necessary registration for the expansion of the installed capacity from 12,000 tpa to 26,000 tpa. 1989 - The company maintained an average capacity utilization of 120%. The

company started exporting tiles to the Gulf countries, Europe and Bangladesh. New

29

range of tiles were introduced in the market. Various new designs and prints were introduced in the market. The expansion programme was on the verge of completion and production at the expanded capacity was expected to commence in June, 1990. 1991 - The company was awarded "CAPEXIL" special exports award for the year 1992 for being the largest exporter of ceramic tiles from the country. 1993 - The company proposed a further expansion of the installed capacity to 1,30,000 MT with the support of technical collaborators M/s. Todagres SA of Spain.

1994 - During the year the company successfully launched wall tiles manufactured with single firing technology which was well accepted in the market. 2003 -The Members approved the of Mr. Rishi Kajaria as Director on the Board and ratification of re-appointment of Mr D.D.Rishi in the capacity of Jt.Managing Director of the Company for a period of 5 years. The year 2003 also saw the launch of kajaria world showrooms extending the brand equity.These showrooms wee aimed at targeting the upper end of market i.e designer & luxury tiles imported from different countries namely Spain, Italy, Turkey etc. Redefined Kajaria as the countrys most influential brand in ceramics.

2004 -The Board of Directors in their meeting held on December 26,

2003Commenced the commercial production of its additional capacity of 2 million sq mtr per annum on February 27, 2004, with an investment of Rs.340 million at Gailpur

30

Plant. With this expansion, the aggregate capacity of the company has become 14 million sq.mtr per annum.

2008 - The company is now ready to forge into real Estate with Kajaria Infrastructure. To mark its first venture Kajaria Infrastructure, announces Kajaria Greens, a residential project that will exchange the face of Bhiwadi forever & make it the most sought after destination.

31

Vision

32

vision

The ability to think about or plan the future with imagination or wisdom or a mental image of what the future will be .kajaria ceramics limited has few visions they are as follows :-

We will offer unparalleled value to create customer delight and

enhance business productivity.

We will also generate value for our capabilities beyond Indian borders

and enable millions of India's knowledge workers to deliver their

services globally.

Build a globally respected and enduring business firm so that they get

closer to realizing their vision and become a leader in their industry.

A Leader in the Indian Automobile Industry, Creating Customer delight & Shareholders Wealth.

A Pride of India.

33

34

MISSION

35

MISSION

kajaria main mission is to make its product keeping in mind the ecological

environment in the country. It aims that the pollution should not be increased.

To work with vigor, dedication and innovation to achieve excellence in

service, quality, reliability, safety and customer care as the ultimate goal. To consistently achieve high growth with the highest levels of productivity.

To contribute towards community development and nation building.

To be a responsible corporate citizen nurturing human values and concern for

society, the environment and above all, the people.

Our mission is to strive for excellence in production and marketing of

Ceramic.

36

CHAIRMANS MESSAGE

India being one of the largest domestic market and an emerging Global center is very well positioned to take the mantle of a Global manufacturing base. Kajaria Ceramics Ltd has played its own role in achieving this goal. Since our founding in mid 1988, we have been moving forward on many fronts to capitalize on solid growth opportunities, to improve our operating efficiency and to sharpen our business portfolios focus . Today, as a result of our internal growth initiatives and several strategic and innovative initiatives, our business has grown many folds. We started with one mn sq mtr capacity in 1988. Today the aggregate capacity of the Company is 21 mn sq mtr distributed across two plants. Sikandrabad at Uttar Pradesh (capacity 6.90 mn sq mtrs) and Gailpur at Rajasthan (capacity 14.10 mn sq mtrs We are also in advance stage of commissioning 2.5 mn sq mtr vitrified tile facility at Sikandrabad (Uttar Pradesh), adding a margin-accretive product vertical to the business model. After this, the aggregate capacity of the Company would become 23.50 mn sq mtr of tile production per annum.

Apart from growth, the company is focusing up on larger consumer satisfaction in the years to come.

Ashok kajaria (Chairman & Managing Director)

37

AWARDS AND RECOGNITIONS

Kajaria Ceramics Limited has been awarded the "Super Brand" Title. Kajaria is the only ceramics tile company who have won the status of consumers "Super Brand", this status of super brand is with Kajaria from the last 10 years. The company has had a unique distinction of having received the President's Award for achieving the highest exports in the industry. Kajaria Ceramics is the largest exporter of ceramic tiles in India and consistently winning the Export Awards. Kajaria Gailpur is the only plant in India to have the following four ISO Certifications. Achievements for Kajaria are not just about being number one brand; the company is conscious of its social responsibilities and committed to improving the quality of life. In2001 Kajaria became one of a handful of companies in India and the only one in the tiles industry to adopt a formal environment policy. To fulfill this obligation Kajaria undertook extensive product reformulation, process modification, equipment redesign and re-cycling and re-use of materials. For this it was bestowed the ISO 14001certification. The company was awarded the prestigious OHSAS 18001 for fulfilling international standards in occupational health and safest management system specifications. Its no surprise that Kajaria Ceramics is also amongst a very few ceramic tile companies in the world to get this certification. It was also the first company in the ceramic tile industry to receive the ISO

38

9002certification confirming its adherence to global standards of quality.

39

CAPEXIL AWARD
Certificate in Recognition of Export achievement in respect of Glazed Ceramic Tiles for the year 2008-2009.

Certificate in Recognition of Export achievement in respect of Glazed Ceramic Tiles for the year 2008-2009

Kajaria Gailpur is the only plant in India to have the following four ISOCertifications Achievements for Kajaria are not just about being number one brand; the company is conscious of its social responsibilities and committed to improving the quality of life.

In 2001 Kajaria became one of a handful of companies in India and the only one in
40

the tiles industry to adopt a formal environment policy. To fulfill this obligation Kajaria undertook extensive product reformulation, process modification, equipment redesign and recycling and re-use of materials. For this it was bestowed the ISO 14001 certification. The company was awarded the prestigious OHSAS 18001 for fulfilling international standards in occupational health and safest management system specifications. Its no surprise that Kajaria Ceramics is also amongst a very few ceramic tile companies in the world to get this certification. It was also the first company in the ceramic tile industry to receive the ISO 9002certification confirming its adherence to global standards of quality. Now kajaira has yet again proven it worth by forming the largest nationwide chain of Imported designer tiles showrooms.Under brand name of Kajaria World.

41

CURRENT STATUS

Kajaria Ceramics Limited is the largest manufacturer and exporter of ceramic wall and floor tiles in India. Kajaria is the first tile company to win the Super brand Status. Kajaria`s distribution network comprises of about 600 dealers . Kajaria Ceramics is the largest manufacturer of ceramics tiles in India. It has an annual capacity of 21 mn. Sq. mtr. Distributed across two plant Sikandrabad at Uttar Pradesh (capacity 6.90 mn. Sq. mtrs) and Gailpur at Rajasthan (capacity 14.10mn.Sq.mtrs.).

The Company is in advance stage of commissioning 2.5 mn sq mtr vitrified tile facility at Sikandrabad (Uttar Pradesh), adding a margin-accretive product vertical to the business model. After this, the aggregate capacity of the Company would become 23.50 mn sq mtr of tile production per annum. The company has received the ISO 9001 (for quality management), ISO 14001 (environment management), OHSAS 18001 (for safety and health management) and SA-8000 (for commitment to society) certifications across its plant. ), These plants also fulfill international norms.

It is a continuous process, which allows us to express through tiles what words can't say and provide our consumers with new and innovative options. The new range of tiles released this year adds to the already impressive Kajaria Collection. Certificate in recognition of export achievement in respect of Glazed Ceramic Tiles for the year 2008-2009.

42

DEALERS AND SUB DALERS SHOWROOMS

kajaria ceramics has a strong distribution network of about 600 dealers and over 6000 sub dealers spread all over india. These dealer showrooms showcase innovative products, panels combinations for customers to choose from. The display division of the marketing department has done a remarkable job by upgrading 600 dealer and 6000 sub-dealer showrooms across the country.

43

INTERNATIONAL MARKET

KAJARIA Ceramics exports to more than 20 countries round the Globe. The International Marketing operations are organized by a specialist export division that manages a network of international agents and distributors supported by our exclusive office/showroom in UAE. Now in international markets we enjoy a similar brand Recall value as that of Domestic.

44

Kajaria World is inherited from Kajaria Ceramics, the pioneer in luxury tile designs. Focusing on exclusive designer walls & floors and home aesthetics. Kajaria World was established in the year 2003 as an strategic business unit for kajaria ceramics under this a series of showrooms are established all over India showcasing different international renowned brands of tiles sourced from countries like Spain, Italy, Turkey and Brazil etc. In fact the concept of designer tiles in India was first introduced by Kajaria ceramics only. Now Kajaria World has become Indias first & largest chain of Imported tiles showrooms.

YEAR EVENTS 1985 - The Company was incorporated on 20th December at Kanpur. It manufactures glazed and unglazed wall & floor tiles. The company obtained the certificate of commencement of business on 20th January 1986. It was promoted by Shri Ashok Kumar Kajaria, his associate and Kajaria Exports Ltd.
Company is Kajaria Ceramics Limited not Kajaria World Limited. Its a Devision of Kajaria Ceramics Limited and KCL started in 1988

The Company entered into a technical collaboration agreement with Todagres S.A., Spain for the manufacture of ceramic glazed wall & floor tiles.The agreement provides for supply of technical know-how and manufacturing assistance necessary design, drawings, specifications and also train the company's personnel and provide technical assistance for the setting up of the plant.The company undertook a project to set up a plant for the manufacture of 12,000 45

tpa of ceramic glazed wall/floor tiles in various shades. The plant is located on a plot of 17.5 acres acquired from UPSIDC at Sikandrabad Industrial Area in Bulandshahr district of U.P. main plant and machinery was supplied by Sacmi Imola and Omis Due SPA of Italy.

Three D.G. sets of a total capacity of 835 KVA were installed to meet contingent power requirement.

The company has an obligation to export 25% of the production for a period of 5 years from the date of commercial production. It was hopeful of meeting the export requirement with the help of the promoter company, Kajaria Exports, Ltd.

The company received the necessary registration for the expansion of the installed capacity from 12,000 tpa to 26,000 tpa.

1989 - The company maintained an average capacity utilization of 120%. The company started exporting tiles to the Gulf countries, Europe and Bangladesh. New range of tiles were introduced in the market. Various new designs and prints were introduced in the market.

The expansion programme was on the verge of completion and production at the expanded capacity was expected to commence in June, 1990.

1991 - The company was awarded "CAPEXIL" special exports award for the year 1992 for being the largest exporter of ceramic tiles from the country.

1993 - The company proposed a further expansion of the installed capacity to 1,30,000 MT with the support of technical collaborators M/s. Todagres SA of Spain.

46

1994 - During the year the company successfully launched wall tiles manufactured with single firing technology which was well accepted in the market.

2003 -The Members approved the of Mr. Rishi Kajaria as Director on the Board and ratification of re-appointment of Mr D.D.Rishi in the capacity of Jt.Managing Director of the Company for a period of 5 years and volunatry delisting of equity shares from U P Stock Exchange Association Ltd.,Delhi Stock Exchange Association Ltd. and Calcutta Stock Exchange Association Ltd.

Kajaria Ceramics Ltd has informed that the securities of the company have been delisted from the Delhi Stock Exchange Association Ltd w.e.f December 10, 2003.

2004 -Kajaria Ceramics Ltd has informed that consequent upon acquisition of R&TA Division of M/s Computech International Limited by M/s MCS Limited, the Registrar & Transfer Agent of the Company stands changed from M/s Computech International Ltd to M/s MCS Limited. The change of the same has been approved by the Board of Directors in their meeting held on December 26, 2003Commenced the commercial production of its additional capacity of 2 million sq mtr per annum on February 27, 2004, with an investment of Rs.340 million at Gailpur Plant. With this expansion, the aggregate capacity of the company has become 14 million sq.mtr per annum.

47

Aparici

Cermicas Aparici S.A. produces and comercialices ceramic wall and floor tiles and porcelain tiles to the national and international market. The ceramic company is managed in Alcora ( Castelln de la Plana ) in 1961, the place where the fabrication of tiles is already, a tradition associated with its culture. In its origins it counted with a team of 8 people with which is dedicated to elaborate a bizcocho' through traditional kilns. At the moment, the facilities of Cermicas Aparici possesses a productive capacity that reaches the 14.500.000 square meters a year and a total of 280.000 square meters (including a space to display our large range of products and that with 1.600 square meters is considered one of the largest in its sector).

48

Argenta Ceramica

Argenta ceramic now a days in full expansion occupies an industrial surface of which

200,000m2 of which .Latest bid on de I plus D plus I, the latest technology in each dept allows annual production of 16,500,000m2 of high quality wall & floor & porcelain tiles It is the third company in Europe which is the member of European Integrated Environmental Authorization.

EGE SERAMIK

Ege Seramik was founded in 1972; production began in Izmir, Kemalpasa three years later. In 1981, Ege joined the Polat group, a financially strong and strategically focused, major Turkish holding company. Since that time, the firm quickly became a leading domestic tile manufacturer and shortly thereafter, due to a program of wellplanned investment and growth, joined the elite circle of the world's primary ceramic tile producers and marketers. Today having an annual production of 24 million square meters. More than half of the
49

company's production is exported to over 50 countries. And 40% of its exported materials are shipped to the United States and Canada. Since setting up office in 1991, Ege Seramik America as been a major supplier of top-

quality Turkish-manufactured ceramic and porcelain tile materials. We currently serve roughly 100 active U.S. and Canadian customers from our stateside headquarters in

Atlanta, Georgia. For years, the Ege brand has been the number one Turkish product exported to the North American continent, with sales exceeding $20 million in 2006.

Grespania

It is the tile manufacturer from Spain established in the year 1976.It is the world leader in manufacturing of tiles Maximum quality in the manufacturing process, continuous innovation in design, coupled with a determination to offer customers the best services & an absolute undertaking to protect the environment &maintain a

responsible attitude towards it. The company was found in the castellon in spain

which is having astong tradition in building of tiles. It iss having 3 factories in the region incorporating the latest technology & the most advanced manufacturing process. It has the distribution centres through out he Spain & has branches in France, Holland, Poland, United kingdom, Italy .

50

GRANITO FORTE

Granito Forte is a leading Italian tile manufacture which is a supplier to kajaria world.It was established in the year 19991. It has the total production capacity of 13 million tonnes.

BALDOCER CERAMICS

Baldocer ceramics is the leading ceramic tile Manufacturer & supplier of Spain. It was established in the year 1994. It deals with manufacturing of designer tiles & supplies to over to dozen countries .It has branches all over Europe

51

Different imported Designer Tiles under Brand kajaria World sourced from different parts of the Globe.

THE EUROPEAN TILE COLLECTION

THE GLAZED PORCELAIN TILES

SANITARYWARE

52

53

SCOPE

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Scope Of The Study

Ceramic tile comes under Building Material Industry. Over the years, Indian Building Material Industry is growing at a fast pace of almost 16%/annum due to boom in real estate and construction industry. Increase in income levels and availability of a range of financing options for housing has enabled rapid growth in housing construction. In India, particularly in NCR region, growth rate of building material industry is at Very high rate and constantly growing. By this project finding, I had tried to analyze the awareness and potential of Designer tiles real estate developers with respect to kajaria World for their commercial and residential needs in Noida region.

Also as marble prices begin to pinch purses in these times, tiles are making deeper inroads into urban homes.

The study helps the company to redefine & redesign their services, price,

promotion, product according to the need of bulk buyers. This study will help in developing marketing strategies more effectively for Real estate developers who are using products of other companies. The study will help to redefine positioning of Kajaria World The prime objective of this to find out the customer approach to designer tiles

of Kajaria world as compared with other companies.

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 This study will also help the company to target real estate companies more effectively in Noida.

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OBJECTIVE OF STUDY

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OBJECTIVE OF STUDY

The objective of this study is to do an analysis regarding awareness & potential of

Kajaria World among developers in Noida.

To determine the Market Potential of designer tiles.

To ascertain the market potential of Kajaria World .

To know about the awareness about Kajaria World products.

To analyze about the purchasing trend of builders in Noida region.

To determine the position of competitors with respect to Kajaria world.

To check the interest of Real Estate Developers with regard to designer

tiles.

To predict the Trend of market about designer tiles.

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RESEARCH METHODLOGY

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RESEARCH METHODLOGY

The present research plan "Market potential & awareness of Kajaria World among real Estate developers in Noida" is exploratory in nature. The present work is based on both primary data & secondary data which is collected through questionnaire & interviews conducted by the researcher. There are 14 questions in the questionnaire & have been arranged in systematic manner. The questions have been asked from developers & their architects. Along with informal interaction and non participation observation were also used so as to assess the real picture of problem.

RESEARCH PROBLEM

The first step while conducting a research is to carefully define the research problem. The problem to be studied must be defined unambiguously. The present study has been undertaken in Noida region of Uttar Pradesh to identify the market awareness & potential of Kajaria World Products among real estate developers.

The main problem with my topic is that, there is no control on the variable; we can only report what is happening and what has happened. The questions which researcher had found out were, buying behavior of customer, brand preferred etc. these questions are quantitative whereas, the satisfaction level of engineers and their opinions are qualitative in nature.
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UNIVERSE

All the items under consideration in any field of inquiry constitute a universe or population. In practice only few items are selected from the universe for the study purpose. The items so selected is technically called a Sample. In this study sample is selected from the Real Estate developers of from Noida.

SAMPLE DESIGN

For collecting information from the sample selected any method of sample design may be selected. the basis of easy to access. In this research researcher used- Convenient Sampling technique on

Sample Unit Type of Research Sample size Sample Medium Sampling Technique

Real Estate Developers Exploratory 25 Respondents Questionnaire Convenient Sampling

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Area Covered

Noida

COLLECTION OF DATA

The data required for the study is primary data as well as secondary data The primary data are those which are collected a fresh and for the first time and thus happen to be original in character. The secondary data, on the other hand, are those which have already been collected by someone else and which have already been passed through statistical process. Various method used for collection of primary data are interview method, questionnaires & secondary data company websites, internet etc. are collected from the various sources like papers,

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DATA INTERPRETATION

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Ques1. Are you aware about Kajaria World? A).Yes B).No

Interpretation:- The idea about this question is to determine the awareness about Kajaria world among real estate developers in Noida region. This shows out of 25 only 2 developers are not aware about the Kajaria World
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Ques2. How do you came to know about Kajaria & Kajaria World ?

Interpretation: The idea behind this question is to know the means which need to be followed to maximize the companys awareness.

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Ques3. Which Brand of tiles you would like to prefer to use in your projects?

Interpretation:- The reason behind this question is to know the preference of the developers for tiles which they would like to use in their projects that are available in the market.

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Ques4. If you are using brand other than Kajaria World why? (Rate it )

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Interpretation:-The reason behind this is to determine the factors which influence developers to go for a particular brand in the market, also the factors which are important to developers.

Ques5. Which are the areas where you would like to use tile most in your projects?

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Interpretation:- The idea of this question is to analyze the areas where the designer tiles are being used by developers in their projects, Whether it is Kitchen, Bathroom Floor or Drawing room.

Ques6.From where you purchase designer tile ?

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Interpretation:- The reason behind this question is to know the options preferred by developers to procure their tiles.

Ques7. Indicate the criterion for using the designer tiles?

Interpretation:- The reason for this question is to determine the criteria for developers to use the tiles in their projects

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Ques8. How do you rate our products & services & did they meet your expectations regarding quality & performances?

Interpretation:- This question indicates that the tiles which are used by the developers are able to meet their expectations regarding quality & performance or not.

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Ques9. Have you ever been contacted by our executives or not?

Interpretation:- This questions helps the company to know the effectiveness of their sales team, whether the executives & officials are taking adequate steps in approaching the real estate developers or not.

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Ques10. Rank the features of tiles according to importance

Interpretation:-This question indicates the criteria of developers regarding features which they rank want in the tiles according to their respective importance while they are purchasing them.

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Ques11. While purchasing your main Objective remains on.

Interpretation:- This shows the factors which the developers look for when they are purchasing tiles.

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Ques12. If you are not satisfy than what are the reasons ?

Interpretation:- This questions tries to analyze the factors which discourages the developers during purchasing of the ti

Ques13. Are you satisfied with Price and Quality ratio of Kajaria world?

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Interpretation:-This chart shows the perception of developers regarding the price & quality ratio of Kajaria World. Whether the products are priced right or not or they are charged more of them.

Ques14. Any suggestions . ...

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Competitive Profile Matrix

It identifies firms major competitors and their strengths & weaknesses in relation to a firms strategic position.

K.W Critical Success Factor Advertisin g Product Quality Price Competitio n Customer Loyalty Market Share Financial position Manageme nt Global Expansion Total

Schablona

Le Studio

WEIGH T 0.20

RATIN G 4

SCOR E 0.80

RATIN G 1

SCOR E 0.20

RATIN G 3

SCOR E 0.60

0.10

0.40

0.40

0.30

0.10

0.30

0.30

0.40

0.10

0.40

0.40

0.20

0.05

0.20

0.05

0.15

0.15

0.45

0.60

0.45

0.10

.30

0.40

0.30

0.20

0.40

0.80

0.40

1.00

3.25

3.15

2.80

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The result of the matrix shows that the Kajaria World with the score of 3.25 is the best company among the major competitors in the market.

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FINDINGS

FINDINGS

To find out the market potential I used the interview & questionnaire method. The important findings from the Noida are given below:79

 There is lot of potential for the designer tiles as there are more developers coming out with more luxury projects. Designer tiles are costlier than other tiles. There are some of the brands available in the market like Le Studio, Schalbona & Stiler but they have entered after Kajaria World also their awareness is low as compared to kajaria World. Most of the developers are aware of Kajaria World. The prices of the Kajaria World tiles are higher as compared to other competitors in the area. The sales promotional technique of Kajaria World is good but still there need to be more emphasis on personal contact with developers of Area manager. Some of the real estate developers are going for tiles imported through their trusted importers this is the threat to Kajaria World. Schablona ,Stiler & Le studio are the strongest competitor of Kajaria in that region also their product ranges are updated time to time. There is also use of designer tiles in office space like high end IT/ITES companies offices.

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Limitations

Limitations

The scope of the study restricted to only few areas of Noida Respondents might not have given accurate data

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 Busy nature of the respondents leading to Non response. Sample size of respondents was small in comparison with the population of Noida. Respondents biasness towards the certain priorities and features. Lack of time is the basis limitation in the project. Some respondent gave biased or incomplete information regarding the research. Some respondent did not answer all the question or do not have time to answer. This study does not gives a sales forecast of the market.

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SUGGESTIONS

SUGGESTIONS
After analyzing the respondents views I found that the company has a very good image in market. They have positioned the product well in the mind of the customers. Developers buy their the tiles according to their need, style, performance

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& brand. But some customers are not satisfied due to different reasons for that I have some suggestions for the company.

The company should participate in different real estate related exhibitions organized in country. Awareness of company should be raised from new innovative means like Facebook, Twitter, Banner ads on internet should be followed. T.V & News Paper ads should be there showing its luxury appeal, so as to increase the awareness of Kajaria World in certain class of society about it. Sales people should have to visit time to time to builders place & also to their architects too with the company's design and catalogs. They can provide information through more sophisticated means like PPT Presentations, audio, video presentations. The distribution channels should be improved & concept of only companys self Operating showrooms should be followed because it increases the exclusive appeal.

The company should open its showrooms in the different parts of the country where there is demand for premium housing & office space. It should focus on The 7 Stars of India* i.e Delhi NCR, Mumbai, Pune,
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Banglore, Chennai, Hyderabad. Quality of tiles should be improved, also the delivery time period for it should also need to be taken care of. met. If the customer demands for extra pieces of tiles, there demand should be

*Source:- Jones Lang La salle Meghraj quarterly report

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SWOT ANALYSIS

SWOT ANALYSIS

SWOT analysis is the short form of Strength, Weakness, Opportunity and threats analysis. In this analysis we discuss about the product under these four points. Strength, Weakness, Opportunity and threats for the designer tiles are as follows86

STRENGTHS

It is a new concept in ceramic industries in India, thereby increasing the chance of

success.

The name of Kajaria is itself a big support to increase the brand awareness of

Kajaria World.

Innovativeness in design and quality products is quite better, particularly in bigger

size.

Availability of international brands increases appreciation & reputation for the

company.

The company is having a wide presence in Indian cities, thereby making

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available products in time.

Distributing through own showrooms add to exclusivity, which is most important

in luxury products.

WEAKNESES

The designer tiles are very costly, as they are imported from different countries

so import cost & excise duty is levied on them making them costlier.

There is no use of broken tiles.

Customers in Tier 2 & 3 cities are not aware about it.

It is out of reach of middle class customer which are more in majority.

Kajaria has to depend on different other companies for making the tiles

available so more time is involved in delivering goods

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OPPORTUNITIES

The designer tiles are having very good opportunity because of its look and its increasing use in luxury housing projects also by many high end users who earlier have to depend on importers. It can be said that in coming future there will be only and only designer tiles. Kajaria because of its position & reputation can make available these tiles to the use of the common man especially middle class at affordable rates who are now seen & respected as a huge market. As the developers move into Tier 1 & Tier 2 cities of India there will be an increase in demand for luxury housing there by creating a huge market opportunity for the company. Now a days IT/ITES companies are entering in to other cities thereby increasing the demand for premium office space.

THREATS

In spite of very good opportunity, the Indian ceramic market has a threat of Chinese tiles. The Chinese tile are not only less in price but also have better designs.

The other threat emerging from government policy is excise & other import
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duties which kajaria had to pay for importing tiles thereby increasing the cost

of the product.

The designer tiles are mainly design based, ones the design are removed

from offerings then it becomes tough to procure them.

Threat from local importers like PPC is also there

There is also a threat to the company from other organized players like

Schablona, Le Studio & Stiler.

Schablona from SOMANY , Le Studio from NITCO & Stiler from Orient

has also ventured in designer tile market so kajaria should also take some

steps to maintain its leadership position.

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91

Conclusion

Conclusion
The conclusion of the report is that the Kajaria World should focus on its

strength & new emerging markets in India while Keeping the requirement of

real estate developers in mind. It was found that Kajaria World is a quality product and it can capture more market share if the company focuses on 7 Ps

of marketing more effectively & efficiently. Company should make strategies

to make the product affordable & making it available to higher end customers

in society and spread awareness among them as the product is not known to
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the customers yet as it is supposed to be.

Managerial Usefulness

The report will help the management to analyze the potential of Noida as a

market. In making quick business decision i.e. Operations, Marketing Strategies,

Financial Strategies It can be helpful in identifying the different obstacles/areas where we need to

be focused It can help in identifying the changing trends of the market with respect to

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companys business . This report can act as a record to the manager to analyze the whole data. The report can help management to identify future prospect for the business of

designer tiles. To analyze the different competitors who are there in the market. It will help in identifying the details of captured market of the Noida region

and gives details where company need to improve.

Annexure
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Questionnaire

Name of the Construction Company . Address.

Telephone no..

Project Name

Decision making Authority

Name of the Architect

Email id

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Ques1. Are you aware about Kajaria World?

A).Yes

B).No

Ques2. How do you came to know about Kajaria & Kajaria World ?

A) Self Approached

B) Exhibitions

C) World of mouth

D) Use by fellow competitors

Ques3. Which tiles you would like to prefer to use in your projects?

A) Kajaria World

B) Chinese Imported
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C) Somany (Schablona)

D) H&R Johnson

Ques4. If you are using brand other than Kajaria World why? (Rate it )

A) For quality

B) For price

C) Easy Availability

D) Good service

E) Brand

Ques5. Which are the areas where you like to use tile most in your projects?

A) Kitchen

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B) Bathroom

C) Floor

D) Lobby

E) Drawing room

Ques6.From where you purchase designer tile ?

A) Direct from manufacturer

B) From Importer

C) From organized company outlets

Ques7. Indicate the criterion for using the designer tiles? A) Convenience

B) Premium

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D) More of fashion

Ques8. How do you rate our products & services & did they meet your expectations regarding quality & performances?

A) Excellent

B) Good

C) satisfied

D) poor

Ques9. Have you ever been contacted by our executives or not?

A) Yes

B) No

Ques10. Rank the features of tiles according to importance.

A) Robustness/Strength

B) Color
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C) Styles or design

D) Stain resistance

E) Others

Ques11. While purchasing your main Objective remains on.

A) Discount

B) Quality

C) Price

D) Service

Ques12. If you are not satisfy than what are the reasons ?

A) Cost

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B). Design

C) Finishing

D) Quality

E) Service

Ques13. Are you satisfied with Price and Quality ratio of Kajaria world?

A) Prices are higher than quality

B) Less than quality

C) Reasonable

D) No response

Ques14. Any suggestions . ...

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BIBLIOGRAPHY

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Books:
> Kothari, C.R., (2002), "Research Methodology Methods & Techniques", Wishwa Prakashan, New Delhi. > Kotlar, Philip (2003), "Marketing Management" (11 * Edition),

> Pearson Education (Singapore) Pvt. Ltd., New Delhi.

Magazine/Journal:

> India Today Edition March. 2010

> Aug.2010 Newspaper:

> Times of India

> Hindustan time

Web Sites:
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> http://www.google/.com

> http://www.joneslanglasalle.co.in/India

> http://www.wikipiedia/.com

> http://www.SOMANY GLOBAL/.com

> http://www.DESIGNER TILES/.com

> http://kajariaworld.co

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