PROJECT REPORT ON CAPITAL BUDGETING

The Partial Fulfillment of the Degree Course of

Master of business administrative !"#$%#&'

INDIA GL(COL) LIMITED

)ubmitted to
MR)+ AN),UL (MBA Dept)

)ubmitted b*
NEELAM

PRE-ACE

This project is submitted in partial fulfillment of the M+B+A /IC,,A'. t is the out come of !or". GLCOL) LIMITED+

of the

)URAJMAL AGAR.AL GRIL) COLLEGE O- MANAGEMENT ha#e undergone at INDAI

AC/NO.LEDGEMENT
feel m$self pri#ileged at ha#ing an opp. to than" the people !ho me at all stages of m$ Training. t is !ith a deep since of gratitude that ac"no!ledge #aluable guidance and timel$ suggestion offered to me b$ project %uide&
Mr. A.'. () (*D A (r. MA+A%,- .)- /T-A + +%.

*n the completion of this project& #er$ gladl$ ta"e this opp. of repressing m$ grateful than" to )- Manager of .%.0. 1ho ga#e a sound platform to shape our career in a better !a$ and help us understand features of .%.0. am highl$ grateful to the staff of the .%.0. and than" them for their guidance co2operation and support to ma"e this project a success.

)TUDENT DECLARATION

This project has been under ta"en as a partial fulfillment of the re3uirements for the a!ard of 0MA)TER IN BU)INE)) ADMINI)TRATION1 OU+T+U+ UTTRA/,AND). The project !as e4ecuted during rd semester of MBA programme under the super#ision of M-( A+()50 . declare that project is m$ original !or" and the anal$sis and finding are for academic purpose onl$. ((tudent (ignature)

E2e3utive )ummar*

(ur$a incandescent lamps commonl$ called as 0ight Bulbs are in use for o#er t!o decades and still continue to be the most !idel$ used lamps in the !orld. The$ come in #arious shapes and !attages ranging from 671 to 8771. Depending upon the application area& the$ are a#ailable in Clear& Frost Finished and Colour #ersions !ith (ingle coil or Coiled coil (as the case ma$ be) tungsten filament as per international standards and fitted !ith t!o integral micro2fuses for greater safet$. The coiled 2 coil filament increases luminous efficienc$ b$ o#er 679 and heat loss b$ con#ection or conduction is thus reduced. The %lass en#elops for lamps are being manufactured on latest -ibbon %lass Plant from D,MA ,ngineering 2 5' (formerl$ "no!n as %B %lass 2 5') resulting to glare2free light output. The$ emit a continuous spectrum of appro4imatel$ 8:77' and a colour2rendering inde4 approaching to ;7. (ur$a ncandescent lamps are made on !orld<s most sophisticated& 6779 ($nchroni=ed ncandescent lamp lines from FA0MA (Montena (.A) (!it=erland& tested in accordance !ith the international standards in force and conform to the ,C >77>? 2 Tungsten Filament 0amps for Domestic / similar %eneral 0ighting Purposes ,+ >7?@8262(afet$ and interchangeabilit$ re3uirement of tungsten filament incandescent lamps for general lighting ser#ice and ndian (tandard ( ?6:.

INTRODUCTION

Customer satisfa3tion
Customer satisfa3tion&
A term fre3uentl$ used in mar"eting& is a measure of ho! products and ser#ices supplied b$ a compan$ meet or surpass customer e4pectation. Customer satisfaction is defined as Athe number of customers& or percentage of total customers& !hose reported e4perience !ith a firm& its products& or its ser#ices (ratings) e4ceeds specified satisfaction goals.A n a sur#e$ of nearl$ 877 senior mar"eting managers& B6 percent responded that the$ found a customer satisfaction metric #er$ useful in managing and monitoring their businesses. t is seen as a "e$ performance indicator !ithin business and is often part of a Balanced (corecard. n a competiti#e mar"etplace !here businesses compete for customers& customer satisfaction is seen as a "e$ differentiator and increasingl$ has become a "e$ element of business strateg$. 1ithin organi=ations& customer satisfaction ratings can ha#e po!erful effects. The$ focus emplo$ees on the importance of fulfilling customersC e4pectations. Furthermore& !hen these ratings dip& the$ !arn of problems that can affect sales and profitabilit$. These metrics 3uantif$ an important d$namic. 1hen a brand has lo$al customers& it gains positi#e !ord2of2mouth mar"eting& !hich is both free and highl$ effecti#e. Therefore& it is essential for businesses to effecti#el$ manage customer satisfaction. To be able do this& firms need reliable and representati#e measures of satisfaction. n researching satisfaction& firms generall$ as" customers !hether their product or ser#ice has met or e4ceeded e4pectations. Thus& e4pectations are a "e$ factor behind satisfaction. 1hen customers ha#e high e4pectations and the realit$ falls short& the$ !ill be disappointed and !ill li"el$ rate their e4perience as less than satisf$ing. For this reason& a lu4ur$ resort& for e4ample& might recei#e a lo!er satisfaction rating than a budget motelDe#en though its facilities and ser#ice !ould be deemed superior in EabsoluteF terms. The importance of customer satisfaction diminishes !hen a firm has increased bargaining po!er. For e4ample& cell phone plan pro#iders& such as AT/T and Geri=on& participate in an

industr$ that is an oligopol$& !here onl$ a fe! suppliers of a certain product or ser#ice e4ist. As such& man$ cell phone plan contracts ha#e a lot of fine print !ith pro#isions that the$ !ould ne#er get a!a$ if there !ere& sa$& a hundred cell phone plan pro#iders& because customer satisfaction !ould be !a$ too lo!& and customers !ould easil$ ha#e the option of lea#ing for a better contract offer. There is a substantial bod$ of empirical literature that establishes the benefits of customer satisfaction for firms.

)3o4e of stud*
The scope of the report is limited to consumer pac"aged goods& so the findings ma$ not appl$ to all categories. Also the anal$sis defines lo$alt$ as& EGreater than 50% of buyers total purchasing is of a single brand, not including private label.CF 1hile $ou can argue !hether or

not this is an accurate definition of lo$alt$& the report points to a fe! trut5s about brand 6o*a6t* 75i35 stand on t5eir o7n and 75i35 stand t5e test of time+ #+ Pri3e does not e8ua6 va6ue+ Percei#ed #alue dri#es lo$al purchase beha#ior. The report e4plains& Eeven when times are tight, brands are important. owever, in the conte!t of the new, more conservative world of "#G, brands that provide value are critical.F But #alue isnCt about price alone. The researchers found that !hen it comes to brand decisions& B;9 of consumers consider price and B>9 consider past usage and trust of the brand. (hoppers also factor in re3uests of household members& product labels& in2store displa$s& and much more into their bu$ing decisions. Further t!ice as man$ people agree !ith the statement& E$ tend to buy the items that give me the best value for the moneyF as those agreeing& E$ tend to buy the lowest price item.F (o& bottom line& brands 3an9t bribe 3ustomers into 6o*a6t* 7it5 4ri3e. !+ As brand 6o*a6t* in3reases: 3onsumers are 6ess sensitive to 4ri3e 35an;es+ 1hile mar"eters ma$ "no! this intuiti#el$& ($mphon$ - reports categor$ data to pro#e the pointH E$n sugar and butter, where loyalty is pretty low, substantial price hi%es have led to sharp drops in loyalty during the past three years. $n blades and dish detergent, on the other hand, relatively high brand loyalty has continued to grow despite rather sharp price increases.F This should be good ne!s to the man$ companies !hose categories ha#e been hit !ith rising ra! material and manufacturing costs. t suggests that consumers accept some price increases . 6o*a6t* is 6evera;e. And <ust be3ause a 3ate;or* ma* not ins4ire 5i;5 6o*a6t* in ;enera6: it9s not stu3=+ The research sho!s that brands can still build lo$alt$ during inflationar$ times. Chocolate cand$ is an e4ample of a categor$ !ith relati#el$ lo! a#erage lo$alt$ (6>9) that has seen an increase in lo$alt$ bet!een 877: and 8766.

Limitations of stud*

*n2line couponingH Coupons are a#ailable online. Consumers print them out and ta"e them to the store. Mobile couponingH Coupons are a#ailable on a mobile phone. Consumers sho! the offer on a mobile phone to a salesperson for redemption. *nline interacti#e promotion gameH Consumers pla$ an interacti#e game associated !ith the promoted product. (ee an e4ample of the nteracti#e nternet Ad for tomato "etchup. -ebatesH Consumers are offered mone$ bac" if the receipt and barcode are mailed to the producer.

ContestsIs!eepsta"esIgamesH The consumer is automaticall$ entered into the e#ent b$ purchasing the product.

Resear35 Met5odo6o;*

Brand E8uit* Ten Aa=er'> Da#id Aa"er& a mar"eting professor and brand consultant&
highlights ten attributes of a brand that can be used to assess its strength. These include Differentiation& (atisfaction or 0o$alt$& Percei#ed Jualit$& 0eadership or Popularit$& Percei#ed Galue& Brand Personalit$& *rgani=ational Associations& Brand A!areness& Mar"et (hare& and Mar"et Price and Distribution Co#erage. Aa"er doesn<t !eight the attributes or combine them in an o#erall score& as he belie#es an$ !eighting !ould be arbitrar$ and !ould #ar$ among brands and categories. -ather he recommends trac"ing each attribute separatel$

Brand E8uit* Inde2 Moran'> Mar"eting e4ecuti#e Bill Moran has deri#ed an inde4 of
brand e3uit$ as the product of three factorsH &ffective 'ar%et (hare is a !eighted a#erage. t represents the sum of a brand<s mar"et shares in all segments in !hich it competes& !eighted b$ each segment<s proportion of that brand<s total sales. )elative #rice is a ratio. t represents the price of goods sold under a gi#en brand& di#ided b$ the a#erage price of comparable goods in the mar"et. *ifferentiation+ The defining characteristics of the brand and its distincti#eness relati#e to competitors. )elevance+ The appropriateness and connection of the brand to a gi#en consumer. &steem+ Consumers< respect for and attraction to the brand. ,nowledge+ Consumers< a!areness of the brand and understanding of !hat it represents.

T,E CONCEPTUAL -RAME.OR/

Pur4ose

A business ideall$ is continuall$ see"ing feedbac" to impro#e customer satisfaction. Customer satisfaction pro#ides a leading indicator of consumer purchase intentions and lo$alt$. Customer satisfaction data are among the most fre3uentl$ collected indicators of mar"et perceptions. Their principal use is t!ofoldH 6. 1ithin organi=ations& the collection& anal$sis and dissemination of these data send a message about the importance of tending to customers and ensuring that the$ ha#e a positi#e e4perience !ith the compan$Cs goods and ser#ices 8. Although sales or mar"et share can indicate ho! !ell a firm is performing currentl$& satisfaction is an indicator of ho! li"el$ it is that the firmCs customers !ill ma"e further purchases in the future. Much research has focused on the relationship bet!een customer satisfaction and retention. (tudies indicate that the ramifications of satisfaction are most strongl$ reali=ed at the e4tremes. *n a fi#e2point scale& indi#iduals !ho rate their satisfaction le#el as EKF are li"el$ to become return customers and might. 8. The e#en e#angeli=e for the firm. (A second important metric related to satisfaction is !illingness to recommend. This metric is defined as AThe percentage of sur#e$ed customers !ho indicate that the$ !ould recommend a brand to friends.A 1hen a customer is satisfied !ith a product& he or she might recommend it to friends& relati#es and colleagues. This can be a po!erful mar"eting ad#antage.) ndi#iduals !ho rate their satisfaction le#el as E6&F b$ contrast& are unli"el$ to return. Further& the$ can hurt the firm b$ ma"ing

negati#e comments about it to prospecti#e customers. 1illingness to recommend is a "e$ metric relating to customer satisfaction.

$+ Constru3tion Measurin; 3ustomer satisfa3tion'

*rgani=ations need to retain e4isting customers !hile targeting non2customers. Measuring customer satisfaction pro#ides an indication of ho! successful the organi=ation is at pro#iding products andIor ser#ices to the mar"etplace. Customer satisfaction is measured at the indi#idual le#el& but it is almost al!a$s reported at an aggregate le#el. t can be& and often is& measured along #arious dimensions. A hotel& for e4ample& might as" customers to rate their e4perience !ith its front des" and chec"2in ser#ice& !ith the room& !ith the amenities in the room& !ith the restaurants& and so on. Additionall$& in a holistic sense& the hotel might as" about o#erall satisfaction E!ith $our sta$.F As research on consumption e4periences gro!s& e#idence suggests that consumers purchase goods and ser#ices for a combination of t!o t$pes of benefitsH hedonic and utilitarian. )edonic benefits are associated !ith the sensor$ and e4periential attributes of the product. 5tilitarian benefits of a product are associated !ith the more instrumental and functional attributes of the product (Batra and Athola 6;;7). Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction !ill #ar$ from person to person and productIser#ice to productIser#ice. The state of satisfaction depends on a number of both ps$chological and ph$sical #ariables !hich correlate !ith satisfaction beha#iors such as return and recommend rate. The le#el of satisfaction can also #ar$ depending on other options the customer ma$ ha#e and other products against !hich the customer can compare the organi=ation<s products. 1or" done b$ Parasuraman& Leithaml and Berr$ (0eonard 0) bet!een 6;:K and 6;:: pro#ides the basis for the measurement of customer satisfaction !ith a ser#ice b$ using the gap bet!een the customer<s e4pectation of performance and their percei#ed e4perience of performance. This pro#ides the measurer !ith a satisfaction AgapA !hich is objecti#e and 3uantitati#e in nature. 1or" done b$ Cronin and Ta$lor propose the AconfirmationIdisconfirmationA theor$ of combining the AgapA described b$ Parasuraman& Lenithal and Berr$ as t!o different measures

(perception and e4pectation of performance) into a single measurement of performance according to e4pectation. The usual measures of customer satisfaction in#ol#e a sur#e$ !ith a set of statements using a 0i"ert Techni3ue or scale. The customer is as"ed to e#aluate each statement and in term of their perception and e4pectation of performance of the organi=ation being measured. Their satisfaction is generall$ measured on a fi#e2point scale.

Customer satisfaction data can also be collected on a 672point scale. -egardless of the scale used& the objecti#e is to measure customersC percei#ed satisfaction !ith their e4perience of a firmCs offerings. t is essential for firms to effecti#el$ manage customer satisfaction. To be able do this& !e need accurate measurement of satisfaction. %ood 3ualit$ measures need to ha#e high satisfaction loadings& good reliabilit$& and lo! error #ariances. n an empirical stud$ comparing commonl$ used satisfaction measures it !as found that t!o multi2item semantic differential scales performed best across both hedonic and utilitarian ser#ice consumption conte4ts. According to studies b$ 1irt= / 0ee (877@)& the$ identified a si42item B2point semantic differential scale (e.g.& *li#er and (!an 6;:@)& !hich is a si42item B2point bipolar scale& that consistentl$ performed best across both hedonic and utilitarian ser#ices. t loaded most highl$ on satisfaction& had the highest item reliabilit$& and had b$ far the lo!est error #ariance across both studies. n the stud$& the si4 items as"ed respondentsC e#aluation of their most recent e4perience !ith ATM ser#ices and ice cream restaurant& along se#en points !ithin these si4 itemsH Eplease me to displeased meF& Econtented with to disgusted withF& Every satisfied with to very dissatisfied withF& Edid a good -ob for me to did a poor -ob for meF& Ewise choice to poor choiceF and Ehappy with to unhappy withF.

A semantic differential (? items) scale (e.g.& ,roglu and Machleit 6;;7) !hich is a
four2item B2point bipolar scale& !as the second best performing measure& !hich !as again

consistent across both conte4ts. n the stud$& respondents !ere as"ed to e#aluate their e4perience !ith both products& along se#en points !ithin these four itemsH Esatisfied to dissatisfiedF& Efavorable to unfavorableF& Epleasant to unpleasantF and E$ li%e it very much to $ didnt li%e it at allF. The third best scale !as single2item percentage measure& a one2item B2point bipolar scale (e.g.& 1estbroo" 6;:7). Again& the respondents !ere as"ed to e#aluate their e4perience on both ATM ser#ices and ice cream restaurants& along se#en points !ithin Edelighted to terribleF. t seems that dependent on a trade2off bet!een length of the 3uestionnaire and 3ualit$ of satisfaction measure& these scales seem to be good options for measuring customer satisfaction in academic and applied studies research ali"e. All other measures tested consistentl$ performed !orse than the top three measures& andIor their performance #aried significantl$ across the t!o ser#ice conte4ts in their stud$. These results suggest that more careful pretesting !ould be prudent should these measures be used. Finall$& all measures captured both affecti#e and cogniti#e aspects of satisfaction& independent of their scale anchors. Affecti#e measures capture a consumerCs attitude (li"ingIdisli"ing) to!ards a product& !hich can result from an$ product information or e4perience. *n the other hand& cogniti#e element is defined as an appraisal or conclusion on ho! the productCs performance compared against e4pectations (or e4ceeded or fell short of e4pectations)& !as useful (or not useful)& fit the situation (or did not fit)& e4ceeded the re3uirements of the situation (or did not e4ceed).

Met5odo6o;ies
American Customer (atisfaction nde4 (AC( ) is a scientific standard of customer satisfaction. Academic research has sho!n that the national AC( score is a strong predictor of %ross

Domestic Product (%DP) gro!th& and an e#en stronger predictor of Personal Consumption ,4penditure (PC,) gro!th. *n the microeconomic le#el& academic studies ha#e sho!n that AC( data is related to a firm<s financial performance in terms of return on in#estment (-* )& sales& long2term firm #alue (Tobin<s .)& cash flo!& cash flo! #olatilit$& human capital performance& portfolio returns& debt financing& ris"& and consumer spending. ncreasing AC( scores has been sho!n to predict lo$alt$& !ord2of2mouth recommendations& and purchase beha#ior. The AC( measures customer satisfaction annuall$ for more than 877 companies in ?@ industries and 67 economic sectors. n addition to 3uarterl$ reports& the AC( methodolog$ can be applied to pri#ate sector companies and go#ernment agencies in order to impro#e lo$alt$ and purchase intent. T!o companies ha#e been licensed to appl$ the methodolog$ of the AC( for both the pri#ate and public sectorH CF %roup& nc. and Foresee -esults appl$ the AC( to !ebsites and other online initiati#es. A(C scores ha#e also been calculated b$ independent researchers& for e4ample& for the mobile phones sector& higher education& and electronic mail. The 'ano model is a theor$ of product de#elopment and customer satisfaction de#eloped in the 6;:7s b$ Professor +oria"i 'ano that classifies customer preferences into fi#e categoriesH Attracti#e& *ne2Dimensional& Must2Be& ndifferent& -e#erse. The 'ano model offers some insight into the product attributes !hich are percei#ed to be important to customers. P*(, Anal$sis offers an alternati#e to customer satisfaction. nstead of e#aluating satisfaction !ith a proposition& P*(, Anal$sis determines both the positioning and strength of a proposition. P*(, Anal$sis thus offers a competiti#e perspecti#e to customer satisfaction. (,-GJ5A0 or -AT,- is a ser#ice23ualit$ frame!or" that has been incorporated into customer2satisfaction sur#e$s (e.g.& the re#ised +or!egian Customer (atisfaction Barometer to indicate the gap bet!een customer e4pectations and e4perience. M.D. Po!er and Associates pro#ides another measure of customer satisfaction& "no!n for its top2 bo4 approach and automoti#e industr$ ran"ings. M.D. Po!er and Associates< mar"eting research consists primaril$ of consumer sur#e$s and is publicl$ "no!n for the #alue of its product a!ards. *ther research and consulting firms ha#e customer satisfaction solutions as !ell. These include A.T. 'earne$<s Customer (atisfaction Audit process& !hich incorporates the (tages of

,4cellence frame!or" and !hich helps define a compan$Cs status against eight criticall$ identified dimensions. For Business to Business (B8B) sur#e$s there is the nfoJuest bo4. This has been used internationall$ since 6;:; on more than 667&777 sur#e$s (+o# <7;) !ith an a#erage response rate of B8.B?9. The bo4 is targeted at Athe most importantA customers and a#oids the need for a blan"et sur#e$. n the ,uropean 5nion member states& man$ methods for measuring impact and satisfaction of e2go#ernment ser#ices are in use& !hich the e%o#Mo+et project sought to compare and harmoni=e. These customer satisfaction methodologies ha#e not been independentl$ audited b$ the Mar"eting Accountabilit$ (tandards Board (MA(B) according to MMAP (Mar"eting Metric Audit Protocol).

How to Measure Customer Satisfaction: Satisfaction Measurement and Theory

Measuring satisfaction and building a satisfaction sur#e$ re3uires at least a basic "no!ledge of the satisfaction measurement literature& combined !ith $our o!n customer satisfaction e4periences. This brief tutorial pro#ides such an introduction to the theoretical and methodological underpinnings of satisfaction research. Customer satisfaction is the most common of all mar"eting sur#e$s and is part of the Abig threeA research studies in mar"eting that include mar"et segmentation and concept testing.

.5at Is Customer )atisfa3tion?

Customer satisfaction measures ho! !ell a compan$<s products or ser#ices meet or e4ceed customer e4pectations. These e4pectations often reflect man$ aspects of the compan$<s business acti#ities including the actual product& ser#ice& compan$& and ho! the compan$ operates in the global en#ironment. Customer satisfaction measures are an o#erall ps$chological e#aluation that is based on the customer<s lifetime of product and ser#ice e4perience. A

.5* is Customer )atisfa3tion )o Im4ortant?

,ffecti#e mar"eting focuses on t!o acti#itiesH retaining e4isting customers and adding ne! customers. Customer satisfaction measures are critical to an$ product or ser#ice compan$ because customer satisfaction is a strong predictor of customer retention& customer lo$alt$ and product repurchase.

)atisfa3tion Measurement> Overa66 Measures of )atisfa3tion

(atisfaction measures in#ol#e three ps$chological elements for e#aluation of the product or ser#ice e4perienceH cogniti#e (thin"ingIe#aluation)& affecti#e (emotional2feelingIli"e2disli"e) and beha#ioral (currentIfuture actions). Customer satisfaction usuall$ leads to customer lo$alt$ and product repurchase. But measuring satisfaction is not the same as measuring lo$alt$. (atisfaction measurement 3uestions t$picall$ include items li"eH 6. An o#erall satisfaction measure (emotional)H *#erall& ho! satisfied are $ou !ith ANoni fresh $ogurtAO (atisfaction is a result of a product related e4perience and this 3uestion reflects the o#erall opinion of a consumer<s e4perience !ith the product<s performance. +ote that it is meaningful to measure attitudes to!ards a product that a consumer has ne#er used& but not satisfaction for a product or brand that has ne#er been used. 8. A lo$alt$ measure (affecti#e& beha#ioral)H 1ould $ou recommend ANoniA to $our famil$ and friendsO

@. A

series

of

attribute

satisfaction

measures

(affecti#e

and

cogniti#e)H

)o! satisfied are $ou !ith the AtasteA of Noni fresh $ogurtO )o! important is AtasteA to $ou in selecting Noni fresh $ogurtO (atisfaction and attitude are closel$ related concepts. The ps$chological concepts of attitude and satisfaction ma$ both be defined as the e#aluation of an object and the indi#idual<s relationship to it. The distinction is that satisfaction is a Apost e4perienceA e#aluation of the satisfaction produced b$ the product<s 3ualit$ or #alue. ?. ntentions to repurchase (beha#ioral measures)H Do $ou intend to repurchase Noni fresh $ogurtO (atisfaction can influence post2purchaseIpost2e4perience actions other than usage (such as !ord of mouth communications and repeat purchase beha#ior). Additional post2 e4perience actions might include product or information search acti#it$& changes in shopping beha#ior and trial of associated products. As sho!n in Figure 6& customer satisfaction is influenced b$ percei#ed 3ualit$ of product and ser#ice attributes& features and benefits& and is moderated b$ customer e4pectations regarding the product or ser#ice. ,ach of these constructs that influence customer satisfaction need to be defined b$ the researcher.

)atisfa3tion Measurement> Affe3tive Measures of Customer )atisfa3tion

A consumer<s attitude (li"ingIdisli"ing) to!ards a product can result from an$ product information or e4perience !hether percei#ed or real. Again& it is meaningful to measure attitudes to!ards a product or ser#ice that a consumer has ne#er used& but not satisfaction.

)atisfa3tion Measurement> Co;nitive Measures of Customer atisfa3tion

A cogniti#e element is defined as an appraisal or conclusion that the product !as useful (or not useful)& fit the situation (or did not fit)& e4ceeded the re3uirements of the problemIsituation (or did not e4ceed). Cogniti#e responses are specific to the situation for !hich the product !as purchased and specific to the consumer<s intended use of the product& regardless if that use is correct or incorrect.

)atisfa3tion Measurement> Be5aviora6 Measures of Customer tisfa3tion

t is sometimes belie#ed that dissatisfaction is s$non$mous !ith regret or disappointment !hile satisfaction is lin"ed to ideas such as& Ait !as a good choiceA or A am glad that bought it.A 1hen phrased in beha#ioral response terms& consumers indicate that Apurchasing this product !ould be a good choiceA or A !ould be glad to purchase this product.A *ften& beha#ioral measures reflect the consumer<s e4perience indi#iduals associated !ith the product (i.e. customer ser#ice representati#es) and the intention to repeat that e4perience.

)atisfa3tion Measurement> E24e3tations Measures

Man$ different approaches to measuring satisfaction e4ist in the consumer beha#ior literature. 0eonard Berr$ in 8778 e4panded pre#ious research to refine ten dimensions of satisfaction& includingH Jualit$& Galue& Timeliness& ,fficienc$& ,ase of Access& ,n#ironment& nter2 departmental Team!or"& Front line (er#ice Beha#iors& Commitment to the Customer and nno#ation. Berr$<s dimensions are often used to de#elop an e#aluati#e set of satisfaction measurement 3uestions that focus on each of the dimensions of customer satisfaction in a ser#ice en#ironment. A diagnostic approach to satisfaction measurement is to e4amine the gap bet!een the customer<s e4pectation of performance and their percei#ed e4perience of performance. This Asatisfaction gapA in#ol#es measuring both perception of performance and e4pectation of performance along specific product or ser#ice attributes dimensions. Customer satisfaction is largel$ a reflection of the e4pectations and e4periences that the customer has !ith a product or ser#ice. )o!e#er e4pectations also reflect that influences the e#aluation of the product or ser#ice. 1hen !e ma"e major purchases& !e research the product or ser#ice and gain information from the ad#ertising& salespersons& and !ord2of2mouth from friends and associates. This information influences our e4pectations and abilit$ to e#aluate 3ualit$& #alue& and the abilit$ of the product or ser#ice to meet our needs.

E24e3tations t5at Inf6uen3e )atisfa3tion T*4es of Customer

Customer performance e4pectations for attributes& features and benefits of products and ser#ices ma$ be identified as both e4plicit and implicit e4pectation 3uestions. E246i3it e24e3tations are mental targets for product performance& such as !ell identified performance standards. For e4ample& if e4pectations for a color printer !ere for 66 pages per minute and high 3ualit$ color printing& but the product actuall$ deli#ered @ pages per minute and good 3ualit$ color printing& then the cogniti#e e#aluation comparing product performance and e4pectations !ould be 66 PPM D @ PPM P )igh D %ood& !ith each item !eighted b$ their associated importance.

Im46i3it e24e3tations represent the norms of performance that reflect accepted standards established b$ business in general& other companies& industries& and e#en cultures. )tati3 4erforman3e e24e3tations address ho! performance and 3ualit$ for a specific application are defined. ,ach s$stem<s performance measures are uni3ue& though general e4pectations relate to 3ualit$ of outcome and ma$ include those researched b$ Berr$& or others such asH accessibilit$& customi=ation& dependabilit$& timeliness& and accurac$& tangible cues !hich augment the application& options& cutting edge technolog$& fle4ibilit$& and user friendl$ interfaces. (tatic performance e4pectations are the #isible part of the icebergQ the$ are the performance !e see and D often erroneousl$ D assume are all that e4ist. D*nami3 4erforman3e e24e3tations are about ho! the product or ser#ice e#ol#es o#er time and includes the changes in support and product or ser#ice enhancement needed to meet future business or use en#ironments. D$namic performance e4pectations ma$ help to AstaticA performance e4pectations as ne! uses& integrations& or s$stem re3uirements de#elop. Te35no6o;i3a6 e24e3tations focus on the e#ol#ing state of the product categor$. For e4ample& mobile phones are continuall$ e#ol#ing. Mobile ser#ice pro#iders& in an effort to deal !ith the desire to s!itch to ne! technolog$ phones& mar"et rate plans !ith high cancellation penalties. The a#ailabilit$ of lo! profile phones !ith email& camera& MP@& email& and blue tooth technolog$ changes technolog$ e4pectations as !ell as the static and d$namic performance e4pectations of the product. These highl$ in#ol#ing products enhance perceptions of status& ego& self2image& and can e#en in#o"e fear !hen the product is not a#ailable. Inter4ersona6 e24e3tations in#ol#e the relationship bet!een the customer and the product or ser#ice pro#ider. Person to person relationships are increasingl$ important& especiall$ !here products re3uire support for proper use and functioning. ,4pectations for interpersonal support include technical "no!ledge and abilit$ to sol#e the problem& abilit$ to communicate& time to problem resolution& courtes$& patience& enthusiasm& helpfulness& understood m$ situation and problem& communication s"ills& and customer perceptions regarding professionalism of conduct& often including image& appearance. For each of these t$pes of e4pectations that !hen fulfilled result in customer satisfaction (or !hen not deli#ered& result in dissatisfaction and complaining beha#ior)& the percei#ed 3ualit$ and #alue are critical and directl$ influence intention to repurchase and lo$alt$.

)atisfa3tion Measurement> Per3eived @ua6it* Measures

Percei#ed 3ualit$ is often measured through three measuresH o#erall 3ualit$& percei#ed reliabilit$& and the e4tent to !hich a product or ser#ice meets the customer<s needs. Customer perceptions of 3ualit$ are the single greatest predictor of customer satisfaction.
)atisfa3tion Measurement> Per3eived Aa6ue Measures

Percei#ed #alue ma$ conceptuall$ refer to the o#erall price di#ided b$ 3ualit$ or the o#erall 3ualit$ di#ided b$ price. Percei#ed #alue is measured in man$ !a$s including o#erall e#aluation of #alue& e4pectations of price that !ould be paid& and more rigorous methodologies including the Gan 1estendorp pricing anal$sis& and conjoint anal$sis (other Jualtrics !hite papers and tutorials are a#ailable on these topics). The consumer beha#ior literature sho!s that price is a primar$ indicator of 3ualit$ !hen other attributes and benefits are relati#el$ un"no!n. )o!e#er !hen repeat purchases are made in some product categories& price ma$ be reduced in importance.

)atisfa3tion Measurement> Customer Lo*a6t* Measures

Customer lo$alt$ reflects the li"elihood of repurchasing products or ser#ices. Customer satisfaction is a major predictor of repurchase& but is strongl$ influenced b$ e4plicit performance e#aluations of product performance& 3ualit$& and #alue.

Mode6s of E24e3tations and Customer )atisfa3tion

,4pectations are beliefs (li"elihood or probabilit$) t5at a product or ser#ice (!ith certain attributes& features or characteristics) !ill produce certain outcomes (benefits2#alues). These e4pectations are based on pre#ious affecti#e& cogniti#e and beha#ioral e4periences. ,4pectations are seen as related to satisfaction and can be measured in the follo!ing !a$sH 6. mportance2Galue of the productIser#ice fulfilling the e4pectationQ

8. *#erall Affect2(atisfaction ,4pectationsH The (li"ingIdisli"ing) of the productIser#iceQ @. Fulfillment of ,4pectationsH the e4pected le#el of performance #s. the desired e4pectations. This is APredicti#e FulfillmentA and is a respondent specific inde4 of the performance le#el necessar$ to satisf$.

?. ,4pected Galue from 5seH (atisfaction is often determined b$ the fre3uenc$ of use. f a productIser#ice is not used as often as e4pected& the result ma$ not be as satisf$ing as anticipated. For e4ample a )arle$ Da#idson motorc$cle that sits in the garage& an unused $ear subscription to the local fitness centerIg$m or a little used season pass to the local s"i resort or amusement par" ma$ produce more dissatisfaction !ith the decision to purchase than !ith the actual productIser#ice.

E24e3tan3* Aa6ue Measures of Be5aviora6 Intention BI': Attitude A' and )atisfa3tion )AT'

,4pectanc$ #alue models ha#e been found to perform !ell in predicting both satisfactionIdissatisfaction and beha#ioral intention (intention to tr$& purchase& recommend& or re2purchase a product or ser#ice). The ,4pectanc$ #alue model using attitudes and beliefs readsH

!hereH

!6& !8 R !eights that indicate the relati#e influence of the o#erall attitude to!ard the object and the normati#e influence to purchase the product Ao R Attitude to!ard the object (brand& product& ser#ice or compan$) R the o#erall attitude to!ard the object. The o#erall attitude is formed b$ the multiplicati#e product of ai (the person<s affecti#e e#aluation of attribute i)& and bi (here defined as the importance of attribute i in the purchase decision). The sum is ta"en o#er the % attributes that are defined as salient in the purchase decision. R The o#erall normati#e component of the decision process. This is computed as the multiplicati#e product of nbi (the norms go#erning attitude i)& and mci (the moti#ation of the respondent to compl$ !ith those norms).

Be5aviora6 Intention BI'

Beha#ioral intention is measured using a 3uestion such as A ndicate the li"elihood of $ou bu$ing sometime during the ne4t $earA !ith a fi#e or se#en2point 0i"ert or semantic differential scale labeled Adefinitel$ !ill purchaseA and Adefinitel$ !ill not purchaseA at the endpoints. )atisfa3tion

*#erall satisfaction or dissatisfaction !ith an object is often measured using a fi#e2point satisfaction scale. As an e4ample& A*#erall& ho! satisfied are $ou !ith (par"le toothpasteOA could be measured !ith a AGer$ (atisfied& (ome!hat (atisfied& +either (atisfied +or Dissatisfied& (ome!hat Dissatisfied& Ger$ DissatisfiedA scale. More e4amples are pro#ided belo!. The li"e2disli"e measure is used as an o#erall measure of respondent satisfaction !ith a product or ser#ice (after purchase). (atisfaction leads to fa#orable feelings and dissatisfaction leads to unfa#orable feelings.

The e#aluati#e dimension ma$ be measured in terms of li"e2disli"e& fa#orable2unfa#orableQ appro#e2disappro#eQ good2badQ and delight2failure scales. Attitude aiBbi'

bi 2 the probabilit$ that attribute i is associated !ith performing beha#ior B. The concept ACrest toothpaste pre#ents deca$A could be rated on a se#en point scale !ith endpoints labeled AGer$ 0i"el$A and AGer$ 5nli"el$A. ai 2 the e#aluation of belief i. A representati#e measure of ai !ould be A n terms of bu$ing Crest toothpaste& deca$ pre#ention is SA !ith a fi#e or se#en point scale !ith AgoodA and AbadAQ or A,4cellentA and APoorA at the endpoints. n building a customer satisfaction sur#e$& it is also helpful to consider reasons !h$ pre2 purchase e4pectations or post2purchase satisfaction ma$ or ma$ not be fulfilled or e#en measurable. 6. ,4pectations ma$ not reflect unanticipated ser#ice attributesQ 8. ,4pectations ma$ be 3uite #ague& creating !ide latitudes of acceptabilit$ in performance and e4pected satisfactionQ @. ,4pectation and product performance e#aluations ma$ be sensor$ and not cogniti#e& as in taste& st$le or imageQ ?. The product use ma$ attract so little attention as to produce no conscious affect or cognition (e#aluation)& and result in meaningless satisfaction or dissatisfaction measuresQ K. There ma$ ha#e been unanticipated benefits or conse3uences of purchasing or using the product (such as a use or feature not anticipated !ith purchase)Q >. The original e4pectations ma$ ha#e been unrealisticall$ high or lo!Q B. The product purchaser& influencer and user ma$ ha#e been different indi#iduals& each ha#ing different e4pectations.

.5en to Condu3t Customer )atisfa3tion )urve*s

The best timing for measuring customer satisfaction and building customer satisfaction sur#e$s depends on the "ind of product or ser#ice pro#ided& the "inds of customers ser#ed& ho! man$

customers are ser#ed& the longe#it$ and fre3uenc$ of customerIsupplier interactions& and !hat $ou intend to do !ith the results. Three #er$ different approaches both produce meaningful and useful findingsH

Post Pur35ase Eva6uation D (atisfaction feedbac" is obtained from the indi#idual customer at the time of product or ser#ice deli#er$ (or shortl$ after!ards). This t$pe of satisfaction sur#e$ is t$picall$ used as part of a C-M (Customer -elationship Management ($stem) and focuses on ha#ing a long term relationship !ith the indi#idual customer

Periodi3 )atisfa3tion )urve*s D (atisfaction feedbac" from groups of customers at periodic inter#als to pro#ide an occasional snapshot of customer e4periences and e4pectations.

Continuous )atisfa3tion Tra3=in; D (atisfaction feedbac" is obtained from the indi#idual customer at the time of product or ser#ice deli#er$ (or shortl$ after!ards). (atisfaction trac"ing sur#e$s are often part of a management initiati#e to assure 3ualit$ is at high le#els o#er time.

(atisfaction sur#e$s are de#eloped to pro#ide an understanding of customers< e4pectations and satisfaction. (atisfaction sur#e$s t$picall$ re3uire multiple 3uestions that address different dimensions of the satisfaction concept. (atisfaction measurement includes measures of o#erall satisfaction& satisfaction !ith indi#idual product and ser#ice attributes& and satisfaction !ith the benefits of purchase. (atisfaction measurement is li"e peeling a!a$ la$ers of an onion2each la$er re#eals $et another deeper la$er& closer to the core. All three methods of conducting satisfaction sur#e$s are helpful methods to obtain customer feedbac" for assessing o#erall accomplishments& degree of success& and areas for impro#ement.

Bui6din; a Customer )atisfa3tion )urve*

Customer satisfaction sur#e$s often include multiple measures of satisfaction& includingH

*#erall measures of customer satisfaction Affecti#e measures of customer satisfaction Cogniti#e measures of customer satisfaction

Beha#ioral measures of customer satisfaction ,4pectanc$ #alue measures of customer satisfaction

%eneral Measures that are part of a customer satisfaction anal$sis usuall$ in#ol#e product fulfillment and !ill often include product use scenarios !here and ho! is the product usedO

Common In;redients of a Customer )atisfa3tion )urve* Product Use

Fre3uenc$ of product use Primar$ use location Primar$ precipitating e#ents or situations for product use or need 5sage rates and trends

Product Familiarity

Degree of actual product use familiarit$ 'no!ledge (read product information& read product label& etc.) 'no!ledge and n#ol#ement !ith product and the purchase process A!areness of other brands -easons for original product purchase (selection reasons) Primar$ benefits sought from the product

Product Evaluation

Attribute e#aluation matri4H (3ualit$& price& trust& importance& performance& #alue) Percei#ed benefit associations matri4 mportance& performance dentification of primar$ benefits sought Comparison to other brands (better& !orse) 1hat is the best thing about the brand& !hat could be done better

Message and Package Evaluation

Pac"aging si=e& design Ad#ertising Promise& message fulfillment e#aluation

alue !nalysis

,4pectation of price ,4pectation of relati#e price (full price& on sale) Current price paid

Satisfaction Measurements

*#erall (atisfaction -easons for (atisfaction ,#aluation (atisfaction !ith attributes& features& benefits (atisfaction !ith use ,4pected and deal (atisfaction2Performance Measures 0i"elihood of recommending 0i"elihood of repurchasing

ABOUT T,E COMPAN(

t gi#es me great pleasure in !ishing our belo#ed Customers& Business Associates& (ta"eholders and ,mplo$ees a festi#al season filled !ith happiness and prosperit$. t gi#es me great satisfaction to inform readers of the substantial in#estments !e ha#e made in our business acti#ities. 1e ha#e set up a (piral 1eld ((1) (teel Pipe Plant of 8 la"h MT capacit$ at Bhuj in %ujarat and a %al#ani=ed (teel )igh Mast plant at Malanpur& %!alior.

At Bhuj& !e !ill roll out T B7 AP specification (1 Pipes in the range of 6>F to 677F. Machines for this

plant ha#e been imported from Mala$sia and %erman$. 1e ha#e also set up an ,-1 (teel Pipe Plant to produce pipes in the range of 6F to :F diameter. These plants !ill generate emplo$ment for 8777 locals in the area. The plant !as inaugurated b$ the )on<able Chief Minister of %ujarat on Dec.78& 877;. 1ith the <(tate of The Art< technolog$ that !e ha#e& !e are leaders in the lighting industr$ manufacturing high 3ualit$ energ$ sa#ing products. To maintain our leadership and reputation as trendsetters& !e ha#e entered the field of 0uminaires and )igh Masts. Both these s$stems complement each other and can be used for lighting large open spaces& airports& e4press!a$s& stadiums etc. for !hich& there is a #ast potential. (ur$a<s benchmar"s concentrate on E,nerg$ ,fficientF products. Toda$& !e are manufacturing %o#ernment rated KU T: (@>1) slim fluorescent tube lights !hich& in comparison to other similar con#entional products& ha#e a life of 6K&777 hoursV Benefits are lo! po!er bills !ith better and higher 0u4 le#els. n addition to the TK #ariet$ of 8 feet length& 6?1 and ? feet 8?1 tube lights& (ur$a !ill soon be the onl$ compan$ producing TK lamps. The %!alior Plant !ill soon be doubling its production capacit$ of CF0 from 8K to K7 la"hs b$ $ear end !ith arri#al of machines from China. Focus on energ$ conser#ation continues unabated. 1e ha#e deplo$ed large manpo!er countr$!ide to educate retailers on ad#antages of energ$ efficient lamps. As part of our long term goals& (ur$a is e4ploring feasibilit$ of establishing plants for Ductile iron pipes& (eamless pipes and 5PGC pipes. Morale of our emplo$ees is #er$ high. To strengthen management s"ills& lateral induction of (enior ,4ecuti#es at #arious le#els has ta"en place. To ensure a continuous and a high enthusiastic approach& training is imparted to the e4ecuti#es at (ur$a<s Management Training nstitute (MT ). Beside manufacturing high 3ualit$ energ$ sa#ing products and promoting en#ironmental protection& Corporate (ocial -esponsibilit$ is an important aspect of our acti#ities. This is being discharged b$ (ur$a Foundation through the medium of its Thin" Tan"s& )ealth promoting s$stems& Personalit$ and Nouth De#elopment Programmes and deal Gillage Projects co#ering o#er 8777 #illages

Code of Condu3t Introdu3tion This Code of Conduct (WCodeC) for the Board Members and (enior Management ensures compliance

!ith legal re3uirements and helps to maintain the standards of business conduct. The purpose of the Code is to deter !rongdoing and promote ethical conduct.

All Directors and (enior Management must act !ithin the pur#ie! of the authorit$ conferred upon them and !ith a dut$ to ma"e and enact informed decisions and policies in the best interests of the Compan$ and its shareholders Ista"eholders. The Compan$ appoints the Compan$ (ecretar$ as a compliance officer& !ho !ill be a#ailable to directors and senior management to ans!er 3uestions and to held them compl$ !ith the Code. The follo!ing code of conduct helps the Board Members and (enior Management to maintain the high standards that the Compan$ re3uires. #+ ,onest* and Inte;rit* To4

All directors and senior management shall conduct their acti#ities in accordance !ith the highest standards of personal and professional integrit$& honest$ and fairness. All directors and senior management !ill act in good faith& responsibl$& competence and diligence& !hich are free from fraud and deception& in the best interests of the Compan$ !ithout indulging their personal interest.

!+

Conf6i3ts of Interest

To4

All Directors and (enior Management of the Compan$ shall not engage in an$ business& relationship or acti#it$& !hich might detrimentall$ conflict !ith the interest of the Compan$. Their dut$ to the Compan$ demands that the$ a#oid and discloses actual and apparent conflicts of interest. Conflict can arise in man$ situations and it is not possible to define the e#er$ possible conflict situation. (et forth& are some of the circumstances that ma$ lead to a conflict of interest& actual or potentialH

Directors and senior management should not engage in an$ business or acti#it$ that conflicts or prejudicial to the interest of the Compan$ and !hich creates conflict in discharging their respecti#e dut$ to!ards the Compan$. f an$ director or senior management officer is considering in#esting in customer& supplier& de#eloper or competitor of the Compan$& he or she must first ta"e care to ensure that these in#estments do not compromise on their responsibilities to the Compan$. Directors and senior management should a#oid conducting Compan$ business !ith a relati#e& or !ith a firmIor compan$ in !hich a relati#e is associated in an$ significant role. f such related

part$ transaction is una#oidable& it must be full$ disclosed to the Board or to the Managing Director of the Compan$.

$+

Com46ian3e

To4

Directors and senior management must compl$ !ith all applicable la!s& rules& regulations and regulator$ orders& both in letter and spirit. n order to assist the Compan$ in promoting la!ful and ethical beha#iour& directors and senior management must report an$ possible #iolation of la!& rules& regulation or the code of conduct to the Compan$ (ecretar$.

&+

Ot5er Dire3tors5i4s

To4

t is a conflict of interest to ser#e as a director of an$ compan$ that competes !ith the Compan$. And therefore& all directors must report I disclose such relationships to the Board on an annual basis.

C+

Confidentia6it* of Information

To4

The Compan$Cs confidential information is a #aluable asset. An$ information concerning the Compan$Cs business& its customers& suppliers etc.& !hich is not in the public domain and to !hich the directors and senior management ha#e access or possesses such information& must be considered confidential and held in confidence& unless authorised to do so and !hen disclosure is re3uired as a matter of la!. +o director or senior management officer shall pro#ide an$ information either formall$ or informall$& to the press or an$ other publicit$ media& unless speciall$ authorised.

D+

Prevention of Insider Tradin;

To4

Directors and senior management officers shall not deri#e an$ benefit or assist others to deri#e an$ benefit from the access to and possession of information about Compan$& !hich is not in the public domain and thus constitutes insider information. All directors and senior management officers !ill compl$ !ith the pre#ention of insider trading guidelines as issued b$ (,B .

E+

Prote3tion of Assets

To4

The assets of the Compan$ should not be misused but emplo$ed for the purpose of conducting the business for !hich the$ are dul$ authorised. Directors and senior management officers must protect the Compan$Cs assets and information and ma$ not use these for personal use& unless appro#ed b$ the Board.

F+

Gifts and Donations

To4

+o director and senior management shall recei#e& offer or ma"e& directl$ or indirectl$& an$ illegal pa$ments& remuneration& gifts& donations or comparable benefits !hich are intended to or percei#ed to obtain business or uncompetiti#e fa#ours for the conduct of its business. )o!e#er& nominal gifts& !hich are customaril$ gi#en and are of commemorati#e nature& for special e#ents ma$ be accepted and reported to the Board.

G+

Periodi3 Revie7

To4

*nce in e#er$ $ear or upon re#ision of this Code& e#er$ director must ac"no!ledge and e4ecute understanding of the Code and an agreement to compl$. +e! Directors !ill sign such a deed at the time !hen their directorship begins

TEAM )UR(A

BOARD O- DIRECTOR)>

J+P+A;ar7a6& Chairman / Managing Director M+G+Ba=re: DB +ominee /+/+Naru6a& Director B+B+C5ad5a& Director G+)+Gu4ta& Director Ra<endr Ar*a& Director Urmi6 A;ar7a6: Director )+N+Bansa6& Director (Finance / Corporate Management) Arvind Bansa6& Director (*perations / Corporate Management) Aineet Gar;& Director (Projects / Corporate Management)

)5ri Chairman /

J+P+A;ar7a6 Managing Director

(Clic" here to #ie! <From CMD<s Des")

AUDIT COMMITTEE>
/+/+Naru6a B+B+C5ad5a G+)+Gu4ta

MANAGEMENT TEAM>
)+N+Bansa6 2 Director Finance/ Corporate Management Arvind Bansa6 2 Director *perations / Corporate Management Aineet Gar; 2 Director Projects / Corporate Management )an<a* Goe6 2 (r.Gice President2*utsourcing /ris5na Raman 2 (r. Gice President 2 (ales / Mar"eting 2 0uminaires )+C5a=rabort* 2 Gice President 2 Technolog$ )+/+B5asin 2 Gice President21or"s2Pipes A+N+Baner<ee 2 Gice President21or"s2CAni6 Bansa6 2 Gice President2Commercial P+/+Pande* 2 Chief %eneral Manager2'ashipur R+/+Ja;;i 2 Chief %eneral Manager2Malanpur

AUDITOR)>
)astr* / Anandam H Com4an*

BAN/ER)>
)tate Ban= of India Pun<ab Nationa6 Ban= )tate Ban= of Patia6a

Ana6*sis and findin;s

Ana6*sis> A product !ith a successful consumer #alue proposition is directl$ lin"ed to a products actual and sustained performance #ersus competition. The t!o main attributes that allo! consumers to differentiate among products are price and 3ualit$. Finding the correct balance bet!een these t!o attributes usuall$ leads to a successful product. f a compan$ is able to produce the same 3ualit$ product as its direct competition but sell it for less& this pro#ides a price #alue to the consumer. (imilarl$& if a compan$ is able to produce a superior 3ualit$ product for the same or a slightl$ higher but acceptable price& the #alue to the consumer is added through the 3ualit$ of the product. A product must offer #alue through price andIor 3ualit$ in order to be successful.

A customer #alue proposition is a business or mar"eting statement that describes !h$ a customer should bu$ a product or use a ser#ice. t is specificall$ targeted to!ards potential customers rather than other constituent groups such as emplo$ees& partners or suppliers. t is a clearl$ defined statement that is designed to con#ince customers that one particular product or ser#ice !ill add more #alue or better sol#e a problem than others in its competiti#e set.

-indin;>

(alesIre#enue and customer satisfactionIlo$alt$ are the most fre3uentl$ used tools in measuring brand strength

Both ad#ertisers and mar"eters most commonl$ define Ebrand buildingF as either a process of increasing brand imageIreputation or building a!areness

1hile ad#ertisers most commonl$ define Edemand generationF as lead generation (6B9)& understanding the mar"et (6>9)& and increasing purchase consideration (6@9) and demand for products (6@9)& mar"eters most fre3uentl$ define the phrase as connecting branding !ith sales (6>9) and increasing purchase consideration (6K9)

Con36usion

n conclusion& (ur$a Bulbs is a successful product& not onl$ because it has built a recogni=able logo and brand name& but mostl$ because it has managed to position its brand in a !a$ that ta"es ad#antage of all the elements of mar"eting mi4& i.e. product& place price and promotionIdistribution. n doing so& it achie#es to de#elop a brand personalit$ and distinguish itself from competition& !hile offering consumers a clear #ie! of its brand #alues. This leads to increased brand lo$alt$ and satisfaction.

Re3ommendation
(ur$a -oshni& the lighting industr$ major& has launched an ambitious e4pansion plan to increase its manufacturing capacit$ of CF0 lamps b$ setting up a ne! and modern plant at Malanpur& %!alior. This !as inaugurated on 8;th Mul$ 877: b$ Madh$a Pradesh )onourable Chief Minister& (hri (hi#raj (ingh Chauhan.The CM e4pressed his happiness at the in#estment made b$ (ur$a -oshni and loo"ed for!ard to greater in#estment in the industr$ friendl$ state. Considered the !orldCs best CF0 project& Malanpur is the proud o!ner of the !orld class %, plant from ,urope. The CF0 lamps to be produced here !ould be the !orldCs pro#en product meeting the -*)( (!orldCs latest standard of health and safet$Ien#ironment friendl$) re3uirements. *ne of the biggest benefits of using CF0 lamps is the substantial sa#ings in po!er consumption and electricit$ charges. Consuming onl$ about 879 of po!er for the

same light gi#en b$ ordinar$ bulbs& the sa#ings in cost in a $ear !ould be about -s @77 to -s K77 per bulb depending upon the !att used. This in#estment in the state is e4pected to generate greater emplo$ment opportunities to the people in the region besides increasing business opportunities to the feeder and ancillar$ units nearb$. The compan$ has plans to enter into the luminaires and project lighting in a big !a$. As a 3ualit$ producer bringing !orldCs best technolog$ into its products& (ur$a is creating a great impact in the lighting industr$ and the mar"et.

Bib6io;ra45*

6. 1i"ipedia Brand and Consumers 8. !!!.netmba.comIMar"eting @. !!!.brandloalit$.comImar"eting ?. !!!.brandloalit$sanimation.com K. !!!.dr$pen.inImar"etingIimportance2of2mar"eting. >2 Business Boo"s& ?Ps ,tc. Boo=s>% 2 %ar$ Armstrong& Philip 'otler((i4th edition)

Anne2ure
(ample (atisfaction Measures from the Jualtrics Juestion 0ibrar$H

(cott (mith is the founder of Jualtrics.com. )e is the Mames Passe$ Professor of Mar"eting and Director of the nstitute of Mar"eting at Brigham Noung 5ni#ersit$. )e recei#ed his Ph.D. in Mar"eting and Juantitati#e Methods from Penns$l#ania (tate 5ni#ersit$.

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