SUBMITTED IN THE PARTIAL FULFILLMENT OF THE

REQUIREMENT OF TWO-YEAR FULL TIME COURSE OF MASTER’S

DEGREE IN BUSINESS ADMINISTRATION

Under the guidance of

MS. VANDNA PRUTHI

PROJECT COORDINATOR

SUBMITTED BY:-
------------------------
AJEET KUMAR
ROLL NO. 16/MBA/RDIAS/02-04

RUKMINI DEVI INSTITUTE OF ADVANCED STUDIES

(Affiliated to GGSIPU, Delhi)
Approved By A.I.C.T.E. Ministry of HRD, Government of India
 Acknowledgement
I am deeply indebted to my Project Guide Ms. Vandna Pruthi for her
valuable suggestion, able guidance and constant encouragement throughout
the Project.

I also extend my sincere gratitude to other faculty members for helping me

to channelize my effort in the right direction.

Finally, I would like to thank all others who helped me directly and
indirectly during this project.

AJEET KUMAR
 Executive Summary
Today retailing industry is growing at a great extent. Multinational
companies are coming with lot of brands in the retailing segment. The
acceptances of foreign giants are increasing. Consumer perception and
behavior is changing drastically.

This project “A Consumer Perception study about Levi’s and Nike” explores
the consumer acceptance, preference, and attitude towards these two brands /
companies. In this project, the consumer perception is studied on various
aspects like quality, price, product, distribution, promotion, positioning etc.

Retailing includes all the activities involved in selling goods or service

directly to final consumer for personal, non-business use. A retailer or retail
store in any business enterprise whose sales volume comes primarily from
retailing.

Any organization selling to final consumer – whether it is a manufacturer,

wholesaler, or retailer- is doing retailing. It is not matter how the goods and
services are sold (by person, mail, telephone, vending machine, or internet)
or where they are sold (in a store, on the street, or in the consumer’s home).
In this project , we study the brief history of Nike and Levi’s company.

The retail sector in India has witnessed a radical transformation in the past
3 to 4 years, be it branded apparel, packaged food or electronics. The Indian
consumer has become more demanding and focused on value for money.
India’s retail markets are very disorganized, there are 12 million retail
outlets but organized retail contributes only 2 % (2003 projections) to
overall revenues.

The business of retailing is changing at a very fast pace in India, Telecom,

health, insurance & banking are some of the new emerging sectors. The
Indian consumer is becoming more of a convenience shopper therefore
retail formats are being driven to a one stop shop kind of format including
entertainment. The new trend is towards multiplexes, where shopping,
entertainment, restaurants and utilities are all at one big integrated
complex. The largest opportunities it appears will emerge in food &
groceries where the organized retailing format is estimated to grow to Euro
20000 million by the year 2010.

We used survey method of collect the data from respondent. We used

descriptive research in our project. In our project convenience in data
collection preferred. Number of respondents are 100. We used various
sampling and data analyzing techniques in the project.
 Table of Contents

1. Introduction- Retailing

2. Company introduction- Nike & Levi’s

3. Retailing In India

4. Research Methodology and limitation

5. Analysis and interpretation

6. Conclusion and suggestions

7. Bibliography

8. Appendix
 Introduction-Retailing
Retailing includes all the activities involved in selling goods or service directly to final
consumer for personal, non-business use. A retailer or retail store in any business
enterprise whose sales volume comes primarily from retailing.

Any organization selling to final consumer – whether it is a manufacturer, wholesaler, or

retailer- is doing retailing. It is not matter how the goods and services are sold (by person,
mail, telephone, vending machine, or internet) or where they are sold (in a store, on the
street, or in the consumer’s home).

Type of retailers: consumer today can shop for goods and service in a wide variety of
retail organizations. There are store retailer, non-store retail and retail organization. But
best known retailer store are departmental store.

• Specialty store
• Departmental store
• Supermarket
• Convenience store
• Discount store
• Off-price retailer
• Superstore
• Hypermarket
• Catalog showroom
• Corporate chain store
• Voluntary chain
• Retailer cooperative
• Consumer cooperative
• Franchise organization
• Merchandising conglomerate

Retailing giants:
• Wal-Mart
• Nike
• Levi’s
• Sears
• Sunglass hut
• Tiffany
• Pantaloon
• Shopper stop
Decision taken by retailers:
• Price decision
• Place decision
• Promotion decision
• Product decision

New trend in retailing decision:

• New retail form and combination
• Growth of intertype competition
• Growth of giant type retailers
• Growing investment in technology
• Global presence of major retailers
• Selling an experience , not just goods
• Competition between store based and non-store-based retailing

-: The new retailing forms are coming like big bazaar, big shopping malls, chain store etc.
Few retailing concepts are emerging like:
• Collaborative retailing
• Organized retailing
• Scientific retailing

-: in retailing, we give main emphasis on the value and ambience. Information

technology plays a big role in current retailing.
 Company Introduction- Nike &
Levi’s
History of Levi’s company

Levi Strauss came to San Francisco in 1853, at the age of twenty-four, to open a west
coast branch of his brothers' New York dry goods business. He had spent a number of
years learning the trade in New York after emigrating there from his native Germany. He
built his business into a very successful operation over the next twenty years, making a
name for himself not only as a well-respected businessman, but as a local philanthropist
as well.

One of Levi's many customers was a tailor named Jacob Davis. Originally from Latvia,
Jacob lived in Reno, Nevada, and regularly purchased bolts of cloth from the wholesale
house of Levi Strauss & Co. Among Jacob's customers was a difficult man who kept
ripping the pockets of the pants that Jacob made for him. Jacob tried to think of a way to
strengthen the man's trousers, and one day hit upon the idea of putting metal rivets at the
points of strain, such as on the pocket corners and at the base of the button fly.

These riveted pants were an instant hit with Jacob's customers and he worried that
someone might steal this great idea. He decided he should apply for a patent on the
process, but didn't have the $68 that was required to file the papers. He needed a business
partner and he immediately thought of Levi Strauss.

Jacob wrote to Levi to suggest that the two men hold the patent together. Levi, who was
an astute businessman, saw the potential for this new product and agreed to Jacob's
proposal. On May 20, 1873, the two men received patent #139,121 from the U.S. Patent
and Trademark Office. We consider that day to be the official "birthday" of blue jeans.

Although denim pants had been around as work wear for many years, it was the first use
of rivets that created what we now call jeans. "Waist overalls" was the traditional name
for work pants, which is what these first jeans were called. The word jeans became more
popular around 1960 when the baby-boom generation adopted the term for its favorite
type of pants.

Sometime during 1873, the first riveted clothing was made and sold. (We're not sure of
the exact date because we lost all our historic records in the 1906 San Francisco
earthquake and fire.) Jacob Davis was in charge of manufacturing when Levi Strauss &
Co. opened its two San Francisco factories.

The denim for the riveted work pants came from the Amoskeag Mill in Manchester, New
Hampshire, a company known for the quality of its fabrics. Within a very short time, all
types of working men were buying the innovative new pants and spreading the word
about their unrivaled durability. Around 1890, these pants were assigned the number 501,
which they still bear today.

Holding a patent on this process meant that for nearly twenty years, Levi Strauss & Co.
was the only company allowed to make riveted clothing until the patent went into the
public domain around 1891. When the patent expired, dozens of garment manufacturers
began to imitate the original riveted clothing made popular by Levi Strauss & Co.

So, the next time you see someone wearing a pair of Levi's® 501® jeans, remember that
these pants are a direct descendant of the original pair made in 1873. And it was two
visionary immigrants, Levi Strauss and Jacob Davis, who turned denim, thread and a
little metal into the most popular clothing product in the world - blue jeans.

It takes courage to be great. Courage is the willingness to challenge hierarchy, accepted

practices and conventional wisdom. Courage includes truth telling and acting resolutely
on our beliefs. It means standing by our convictions. For example:

(1)It took courage to transform the company in the late 1940s. That was when we made
the tough decision to shift from dry goods wholesaling, which represented the majority of
our business at the time, and to focus instead on making and selling jeans, jean jackets,
shirts and Western wear. It was a foresighted — though risky — decision that enabled us
to develop and prosper.
(2) In the 1980s, we took a similar, bold step to expand our U.S. channels of distribution
to include two national retail chains, Sears and JCPenney. We wanted to provide
consumers with greater access to our products. The move resulted in lost business in the
short term because of a backlash from some important retail customers, but it set the
stage for substantial growth.
(3) We also demonstrated courage in our workplace practices. In 1992, Levi Strauss &
Co. became the first Fortune 500 company to extend full medical benefits to domestic
partners of employees. While controversial at the time, this action foreshadowed the
widespread acceptance of this benefit and positioned us as a progressive employer with
prospective talent.
A brief history of Nike

The Nike athletic machine began as a small

distributing outfit located in the trunk of Phil
Knight's car. From these rather inauspicious
beginnings, Knight's brainchild grew to become the
shoe and athletic company that would come to
define many aspects of popular culture and myriad
varieties of 'cool.'

Nike emanated from two sources: Bill Bowerman's quest for lighter, more durable racing
shoes for his Oregon runners, and Knight's search for a way to make a living without
having to give up his love of athletics. Bowerman coached track at the University of
Oregon where Phil Knight ran in 1959. Bowerman's desire for better quality running
shoes clearly influenced Knight in his search for a marketing strategy. Between them, the
seed of the most influential sporting company grew.

The story goes like this: while getting his MBA at Stanford in the early '60s, Knight took
a class with Frank Shallenberger. The semester-long project was to devise a small
business, including a marketing plan. Synthesizing Bowerman's attention to quality
running shoes and the burgeoning opinion that high-quality/low cost products could be
produced in Japan and shipped to the U.S. for distribution, Knight found his market
niche. Shallenberger thought the idea interesting, but certainly no business jackpot.
Nothing more became of Knight's project.

Cut to 1963. Phil Knight traveled to Japan on a world-tour, filled with the wanderlust of
young men seeking a way to delay the inevitable call of professional life. Seemingly on a
whim, Knight scheduled an interview with a Japanese running shoe manufacturer, Tiger--
a subsidiary of the Onitsuka Company. Presenting himself as the representative of an
American distributor interested in selling Tiger shoes to American runners, Knight told
the businessmen of his interest in their product. Blue
Ribbon Sports--the name Knight thought of moments after
being asked who he represented--was born. The Tiger
executives liked what they heard and Knight placed his first
order for Tigers soon thereafter.

By 1964, Knight had sold $8,000 worth of Tigers and

placed an order for more. Coach Bowerman and Knight
worked together, but ended up hiring a full-time salesman,
Jeff Johnson. After cresting $1 million in sales and riding
the wave of the success, Knight et. al. devised the Nike name and trademark Swoosh in
1971.
By the late '70s, Blue Ribbon Sports officially became Nike and went from $10 million to
$270 million in sales. Katz (1994) describes the success via Nike's placement within the
matrix of the fitness revolution: 'the idea of exercise and game-playing ceased to be
something the average American did for fun,' instead Americans turned to working out as
a cultural signifier of status. Clearly, the circumstances surrounding the shift are not this
simple; it is one of the aims of this project to discover other generators of popular
attention to health.

If Nike didn't start the fitness revolution, Knight says, "We were at least right there. And
we sure rode it for one hell of a ride" (Katz, 66). The 80s and 90s would yield greater and
greater profits as Nike began to assume the appearance of athletic juggernaut, rather than
the underdog of old. "Advertising Age" named Nike the 1996 Marketer of the Year,
citing the "ubiquitous swoosh...was more recognized and coveted by consumers than any
other sports brand--arguably any brand" (Jensen, 12/96). That same year Nike's revenues
were a staggering $6.74 billion. Expecting $8 billion sales in fiscal 1997, Nike has
targeted $12 billion in sales by the year 2000.
 Retailing in India

The retail sector in India has witnessed a radical transformation in the past 3 to 4 years,
be it branded apparel, packaged food or electronics. The Indian consumer has become
more demanding and focused on value for money. India’s retail markets are very dis-
organised, there are 12 million retail outlets but organized retail contributes only 2 %
(2003 projections) to overall revenues.

Indicated below are Industry specific retailing revenues (estimates) in Euro Million
as regards the Indian industry segment-wise;

Euro Million
Industry Total Branded Organized retail
Food, grocery &
135400 5208 416
tobacco
Clothing & Textiles 12500 2500 1040
Home Décor 5200 200 104
Consumer Durables 7290 3750 310
Footwear 1770 730 370
Jewellery & Watches 7290 1040 520
Beauty & Body Care 3750 730 40
Books, Music & Gifts 1560 730 104
Pharmacies 3750 3540 50
Total 178510 18428 2954

Organized retailing started in Chennai (ex. Madras) the south of India around 104 years
ago, the SPENCERS departmental store was established in 1897 and had many divisions
within itself, what is now known as shop-in-shop. Now in south India there are
numerous organized retail outlets like Nalli’s (silk store), Nilgiri’s , Vivek, Vasant etc.
In 1995 FOOD-WORLD was set up in Chennai, this was the year that organized
retailing started in a big way.

ORGANISED RETAILING IN INDIA

Supermarkets/ Organized retailing in Estimated Format Number of

India Turnover in outlets in
Million Euro India
Haiko Supermarket 2 Food and leather 1
 goods, culture
shop
Food &
Bombay Bazaar 9 250
provisions
Food &
Foodland Not available 1
Provisions
Piramyd (MALL) Not available Lifestyle/ Food 1
Clothing,
The Mall (Nirmal Lifestyle) 15 restaurants, 4
Lifestyle etc
Lifestyle/
Premsons Not available 1
processed food
In & Out (Bharat Petroleun Corpn.
Not available Supermarket Over 250
Ltd)
Food, music,
RPG Retail 92 110
health
Fresh produce,
Foodworld 72 75
food, medicines
Foodland Not available Food 1
Processed food &
Crawford Market Not available 1
fresh produce
The growth accelerator for 2002 was decidedly the working woman, with average money

spent by her 1.3 times that of a housewife.

Food & Fashion related retailing will account for 85 % of organized retailing, organized
retailing is expected to generate a turnover (2002) of around Euro 2950 million.

Private consumption statistics will provide an insight into the format of the retail mix;

Private Final Consumption (2000 – 2001)

Expenditure by object in Domestic Market (%)

Food & Beverages & Tobacco 48.1
Recreation Education & Cultural Services 3.7
Transport & Communication 13.3
Gross Rent Fuel & Power 11.3
Clothing & Footwear 4.9
Medical Care & Health Services 7.3
Miscellaneous Goods & Services 8.3
 TOTAL EXPENDITURE in EURO 273665 Million

As per the 1991 census, the Indian population was at 1.027 billion, with an addition of 18
million every year. Almost 81 % of the Indian population is below 45 years, overall
consumer spending is growing at 5 to 6 % every year over the past 10 years.

GROWTH OPPORTUNITIES IN RETAILING – INDIA

The business of retailing is changing at a very fast pace in India, Telecom, health,
insurance & banking are some of the new emerging sectors. The Indian consumer is
becoming more of a convenience shopper therefore retail formats are being driven to a
one stop shop kind of format including entertainment. The new trend is towards
multiplexes, where shopping, entertainment, restaurants and utilities are all at one big
integrated complex. The largest opportunities it appears will emerge in food & groceries
where the organized retailing format is estimated to grow to Euro 20000 million by the
year 2010.

Organised retail has a very high potential in India, however the process is evolutionary,
there is no retail revolution as yet as the sector needs long term investments in terms of
infrastructure. Direct foreign investments are not yet allowed in India, however it is
expected that the Indian government will have to allow direct Foreign investment in this
sector at least in the urban metropolis.

Organized retailing in India is at nascent stage compared to developed nations. Still, it is

one of the fastest growing sectors in India, catering to the world’s second largest
consumer market. The current players have just touched the tip of the potential of over
Euro 200,000 million of annual consumer spending in India through various retail
channels.

Imported goods have just started finding place in the Indian shelves. This is mainly due to
the increase in the purchasing power of Indian consumers and also due to the fact that the
import restrictions on consumer goods have been only lifted recently.

Modern Indian consumers are increasingly exposed to International product ranges and
shopping experience and demands this right here. They are increasingly deciding their
purchases on lifestyle cues and brand experience, not just for clothes and accessories but
on other daily life products as well.

OPPORTUNITIES (Sectors)

- to establish national retail chains for a wide range of consumer durables including
appliances, home entertainment products & home information technology,
communication products like Best Buy of U.S.A.. The market is Euro
- 10,000 million increasing at a healthy clip every year. Real estate is not really a major
hurdle in this category as the location can be outside the city.

- increasing private ownership of homes by relatively young couples – across most major
cities in India – national retail chain offering home furniture and accessories like IKEA

- food and grocery super markets.

- specific retail chains focusing on specific categories such as health, personal care,
footwear, maternity and children wears.

In India the organized retailing can be classified into;

1. Top Fashion Retail Chains (Departmental Stores)

a. Ebony – 7 stores/multiproduct/All India/ one in Chennai
b. Globus – 4 stores/ multiproduct/ Chennai & Indore
c. Lifestyle – 3 stores/multiproduct / South India Chennai, angalore & Hyderabad
d. Pantaloon – 47 stores/multiproduct / All major cities in India, including Chennai
e. Shoppers Stop – 8 stores /multiproduct/ All major cities including Chennai
f. Westside – 5 stores/multiproduct / Major cities including hennai

2. Exclusive Shopping malls (In Chennai)

a. Spencer Plaza ( 30000 sq. mtrs. Area) with ample car park
b. Ispani Towers (10000 sq. mtrs area) with ample car park

3. Branded stores ( All major cities in India)

a. Arrow - 200
b. Dockers - 30
c. Levis - 50
d. Lee - 50
e. Benetton -100
f. Proline /Fila - 40

4. Food chains (Food and Grocery)

a. Food World (70 outlets in South India -Chennai, Hyderabad & Bangalore)
b. Nilgiris (31 outlets in South India – Chennai, Bangalore, Coimbatore)
c. Vitan ( 17 outlets in Chennai)
d. Margin Free (40 outlets in Kerela)
e. Subhiksha ( 65 outlets in Chennai)
f. Giant ( 1 outlet in Hyderabad) and one coming up in Chennai)
g. Appna Bazar ( 25 outlet in Hyderabad)
h. Trinethra ( 30 outlets in Hyderabad)

5. Sports and Footwear ( All major cities/towns in India)

a.Woodland (All India 58 outlets)
b. Reebok (All India 85 outlets)
c. Adidas (All India 80 outlets)
d. Nike (All India 62 outlets)
e. Wills Sports (All India 29 outlets)

6. CD/CE/IT (Chennai)

a. Viveks ( 19 outlets / Consumer durables)

b. Jainsons (17 outlets / consumer durables)

c. VGP ( 12 outlets / consumer durables)

7. Health and Beauty

a. Health & Glow (16 outlets)

b. Lakme – Lever ( 19 outlets)

8. Books & Music

a. Crossword (10 outlets All India)

b. Musicworld (7 outlets All India)
c. Planet M (3 outlets All India)
d. Landmark (2 outlets Chennai)
e. Higginbothams (2 outlets Chennai)
f. Archies / Hallmark (300 outlets All India)

9. Home

a. The Home Store (Home products / 29 outlets / National)

b. Gautier (Furniture / 50 outlets/ National)

· There is an incredible amount of activity in terms of creation of retail oriented space

across India. As per some estimates, there are over 200 retail mall projects under
construction or under active planning stage spanning over 25 cities. This may translate
into over 2.5 million sq.mtrs. of new retail space in the market within next 24 months.
This has already led to a significant decline in the cost of retail space in most cities.

· No Foreign Direct Investment is permitted in the retail sector. Therefore no MNC

directly there. Distribution is also largely managed by Indian Companies with a few
exceptions in the IT industry. The major problem pertain to managing supply chains,
quality control and pilferage.

REPORT ON RETAILING/DEPARTMENT STORES IN NEW DELHI

1. GENERAL INFORMATION

2. FORECAST

Organized retail is in the midst of an unprecedented boom and fashion has driven this
retail boom in India and it continues to mark its prominence in all kinds of markets, malls
and stores. Fashion has accounted for Rs. 14,250 crore organized retailing business this
year.

While in the department stores, the share of the fashion wares will be over 95%, in
hypermarkets like Big Bazaar the share could go as high as 70%. It will be fashion again
that will see maximum growth in terms of organized retail expansion with over 1000
branded exclusive showrooms and over 20 large department stores opening in the next
two years.

The following factors will trigger rapid growth in demand for consumer products in India
in the following years:

· High GDP growth rate of 6-8% and commitment to economic reform measures
· Low per capita consumption pointing towards latent demand potential
· Burgeoning middle class population and rising disposable income
· Entry of MNCs and abundant choice for consumers
· Dramatic change in consumption habits and aspiration for better lifestyle
· Rising awareness brought about by sophisticated market communication pattern
· The media revolution and the publicity and brand promotion measures

3. APPROACH TO THE INDIAN MARKET

The prime focus of firms undertaking retail business would be to identify the market
conditions and expectations and then define the range of strategic options available for
fulfilling the market demands. The optimal strategy for achieving long term goals is
governed by the environment and internal capabilities along with a suitable product mix.

In a survey carried out in February 2002 on the % share of different products in the total
sales of top department stores, apparel forms 73%, Jewellery, wristwear & fashion
accessories 10%, home furnishings 7%, cosmetic and fragrance as 5% and footwear 1%.
 4. OBSTACLES

1. Real estate

A shortage of good quality retail space, very high rents for that which is available, high
demand for space in cities which compounds shortage, debarment of foreigners from
owning property in India which blocks FDI, high stamp duties on property deals, rigid
building and zoning laws, strong pro-tenancy laws and absence of clear titles to
ownership are some of the common problems

2. Labour laws

The labour laws instituted to protect store workers are not flexible enough to support the
modern formats of retailing. These rigidities in the law constrain the operations of
modern retail outlets. Working hours are restricted with shops required to close one day
of the week and the hiring of part time employees is difficult.

3. Bureaucracy

The existence of a layer of petty bureaucracy that requires licenses for everything is time
consuming and harassing. State and city license is required for trading. Separate licenses
are required for dealing in rice and textiles and a drug license is required for dealing in
baby foods.

4. Other factors

Inadequate infrastructure (shortage of power), lack of trained manpower (in retailing) and
absence of adequate parking space are some of the areas that merit attention.

5. Presently, FDI is not allowed in retailing per se. However, trading is permitted
under the automatic route with FDI up to 51% provided it is primarily export
activities and the undertaking is an export house/trading house/super trading
house/star trading house.

5. LIST OF PRINCIPAL OPERATORS

It was fashion again that enthused investors and retailers to think of large format stores in
mid nineties. With the advent of Big Jo’s, Ebony, etc. in Delhi and the value retailing
chains of Pantaloons in several cities across India, the market started looking different.
Large Indian retail stores of yesteryears began to look smaller in comparison to the mega
stores of 30,000 to 70,000 sq.ft. that started attracting more customer traffic, thus
ushering in the period of retail concentration.
The entry of large corporate houses and MNCs in fashion retail business added more life
to the happenings at the market place. While Tata launched fashion retail brand stores-
WESTSIDE in Delhi and kolkata in North India among other cities, the Dubai based
Landmark Group came to India with LIFESTYLE STORES and the Rahejas came up
with GLOBUS.

SHOPPER’S STOP already has 9 outlets all over India with one store in Delhi (planning
3 more here), 1 in Jaipur and remaining in other cities in India. As of February 2002,
apparel formed 73% of total sales in this store with 11% being attributed to jewellery,
wristwear & fashion accessories.

PANTALOONS is another department stores with 13 outlets and 34 franchisees all over
India out of which Kolkata has 2 outlets and Kanpur in North India has 1.

K’s MALL, S.M. STORES, BIG JOS and EBONY are some of the large independent
stores in New Delhi which are now expanding into satellite towns like Gurgaon where for
e.g., K’s MALL is taking up 18000sq.ft space and BIG JO’s is taking up 30000 sq.ft in a
mall in Gurgaon.

Departmental stores pertaining to garments in Mumbai

The Indian market is yet to be tapped fully by the organised retail segment. Organised
retailing is today present only in the major metro cities of Mumbai, Delhi, Bangalore,
Chennai, Hyderabad, etc, while the semi-rural and rural areas have been left untouched.
India is a price conscious market, and organised retail outlets have an image of stocking
high priced items (which to an extent is the reality), and has hence not entered into the
interiors of the country. However, with a number of brands moving into semi-urban areas
and smaller towns in a bid to expand sales (as the urban markets are getting saturated),
one expects organised retailing to move to these areas too.The retail sector has remained
confined mainly to garments and clothing, bookstores, diners and snack bars.

Present situation

Retail activity is expected to go up in the near future, with the above stores planning to
open a number of other outlets in various metros. In Mumbai, many textile mills have
closed down, and the land available is being developed for the retail sector. The
government is looking at allowing foreign direct investment (FDI) in retailing, but no
final decision has been taken so far. Retail activity in the country is increasing
significantly, and especially in the major metros - Mumbai, Delhi, and Bangalore.Retail
outlets, for garments, can be categorised into 3 segments - multi-brand outlets, exclusive
outlets, and high fashion outlets.

Departmental stores

- Piramyd – Crossroads
One of the major Mega store at Crossroads, Mumbai. Recently opened a store in Pune
and has plans to open another store in Mumbai.

It has a wide range of lifestyle products, mens formal unisex ware, ethnic, casual fashion
jewellery, footwear, etc. It also houses some of the important international brands like
Ermenegildo Zegna and Marks and Spencer. Other sports brands are also available.

- Shoppers' Stop (10 stores in India)

Shoppers’ Stop – a retail chain of 30,000 sq. ft. launched its fourth outlet in Mumbai in
Kandivili in November 2002.

- Trent (Brand - Westside) (stores its in-house brands, and other brands, all over the
country)

Starting with one store at Bangalore they now have nine stores in Mumbai, Bangalore,
Hyderabad, Chennai, Pune, Nagpur and in the North of India.

Vama and Weekender (outlets all over country)

Other multi-brand outlets In Mumbai

- Globus

Globus Stores Pvt. Ltd. is the retail division of Rajan Raheja Group launched in 1998
operating in Mumbai and the south.

KBN, Benzer, Roopam, Akbarallys, Big Bazar

High fashion garments

This is a sector picking up with many present and new Indian brands widely available.
Some of them who have their own outlets are Sheetal Design Studio, Ensemble, Golden
Thimble, And, Studio Valaya, Mayflower, etc.

Sportswear

Foreign labels have done relatively better in the men’s casualwear segment. In fact, this
segment is dominated mainly by foreign labels – Levis, Lee Cooper, >United Colors of
Benetton, Lacoste, Adidas, Nike, Reebok, etc.

Indian labels are few and far between – Proline being the best-known Indian brand, the
other brands are more local in nature.
Menswear

Brands like Indigo Nation, Calvin Klein, Van Heusen, Peter England, Louis Philippe,
Allen Solly, Arrow, etc are available in boutiques or stores

- Raymonds

Raymond Limited, incorporated in 1925, is India’s leading producer of worsted suiting

have 40% of the market share. They have wide ranges of brands including Park Avenue,
available in many stores and also plying in their own retail.

- Pantaloons

Having a well equipped Design and Concept team which understands the need of the
buyers and provide them with a progressive range of fabrics and production capacities.
Their brands are available in various stores and they also have in-house outlets
“Pantaloons Family Stores” in the country.

- Daks

This British brand which dates back to 1894 comprises of premium formal wear now
available in India under the aegis of the Forbes Group.

Womenswear

Blackberry, Scullers, Mango, Oobe and many others all have their own outlets. Major
part of womens clothing is still dominated by Indian wear which is popular under Indian
designers.

DEPARTMENTAL STORES AND ORGANISED RETAILING IN INDIA

Department Stores/Organised retailing Estimated Format Number of
in India Turnover in outlets in
Million Euro India
Clothing/
Shoppers Stop Ltd & Crossword 57 Accessories, Home, 22
Fashion, books.
Clothing, Utilities &
Pantaloon 35 50
groceries
Clothing, home,
Westside (Trent) 15 7
fashion
Piramyd (MALL) Not available Lifestyle 1
Globus (MALL) Not available Clothing, Cosmetics 4
Clothing, restaurants,
The Mall (Nirmal Lifestyle) 15 4
Lifestyle etc
Akbarallys Not available Lifestyle 4
Clothing/ accessories,
Ebony Retail 22 home, fashion, books, 10
gifts, music, toys
Fabrics, Clothing, &
Raymond 80 263
Accessories
Benetton 16 Clothing 100
Madura garments 21 Clothing 140
Weekender 10 Clothing 75
 Research Methodology and
Limitation
1. Objective of Research:

Primary objective:

• To judge the consumer perception towards both the company.

Secondary objective:

• To check the consumer preferences between Nike and Levi’s in apparels category.

• To compare the brand awareness of the company.

• To check the consumer perception and attitude about branding, pricing, product,
distribution, and promotional strategy.

2. Type of research:

We used Descriptive research in the project. The main objective of descriptive

research is to describe the market characteristics or function. It is the part of
conclusive research. We used two type of method in research:
• Secondary data
• Survey method

3. Instrument / Tools:

Non probability sampling: sampling technique that does not use chance selection
procedure. Rather, they rely on the personal judgment of the researcher. In this sampling
we use:

• Convenience sampling: a non probability sampling technique that

attempts to obtain a sample of convenient element. The selection of
sampling units is left primarily to the interviewer. We use this by using the
convenience in :
 i. Time
ii. Reach
iii. Using students, friends etc. in the sample.
In our project, convenience sampling helps us in easy data collection.

4. Data Collection Method:

The data collection method used is:

1. primary source - Survey method

2. Secondary source – Books, Net, Magazines, Newspapers etc.

5. Sample size:
The sample size selected is 100 respondents.

6. Sampling Area selected:

The area selected for the survey is basically DELHI region.

In Delhi we surveyed all the zones .Following areas are given below:

West Delhi
• Rohini
• Pitampura
• JanakPuri
• Patel Nagar
• Shalmar Bagh
• Rajouri garden
• Paschim vihar
• Sarita vihar
• dwarika

North Delhi
• Mayur Vihar
• Kamla nagar
• Noida
East Delhi
• Dilshad Garden
• Laxmi Nagar

South Delhi
• South-x
• Safdherjung enclave
• Lajpat nagar
• Malviya nagar
• Defence colony
• Vakas puri
• G.k-2
• Niti bagh

7. Limitation: we are restricted with the following limitation:

• Our Sample size is 100 and this sample very small for this type of research
study and don’t show the true picture of whole Delhi region.

• Time limit is the big constraint against our research because these type of
research needs lot of time.

• The biasness from the consumer side, we have to accept.

• We don’t use lot of complex statistical tools like perceptual mapping in

our project because at this stage lack of knowledge of these tools is a
constraint.
 Analysis and Interpretation
The male and female proportion in sample is:

Gender Number
Male 51
Female 49
Total 100

Total
100

Total
Female
49 51

Male

0 20 40 60 80 100 120

Total

Company’s position in offering more Number of product categories in

apparels is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 27 21 3 0
Female 32 08 9 0
Total 59 29 12 0

70
60
50 Male
40
Female
30
20 Total
10
0
18-25 25 above 18-25 25 above

Levi’s Nike
The response is in favors of Levi’s company in more number of product categories in
apparels. 88% favor Levi’s and 12% favor Nike. Out of 88 respondents for Nike 59 is
between 18-25years of age and 29 are more than 25 years of age. For Nike all 12 are
between 18-25years of age. For Levi’s Female ratio between 18-25 is more than male but
in above 25 years of age male ratio is more than female. For Nike female ratio is more.

The company that has more focus on the Quality is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 23 14 8 6
Female 30 05 12 2
Total 53 19 20 08

25 above
6
2
Nike

18-25
12
8

25 above
14

5
Levi’s

18-25
23

30

0 10 20 30 40 50 60

Male Female

The result is in favor of Levi’s company. 72% favors Levi’s and rest 28% favor Nike.
Female ratio is more in the Levi’s for age range of 18-25 and for 25 above direction is
reverse. Same trends are for Nike Company.
The company that gives more numbers of innovative designs in apparels
is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 30 19 0 02
Female 34 08 07 0

Total 64 27 07 02
 70
60
50 Male
40
30 Female
20 Total
10
0
18-25 25 18-25 25
above above

Levi’s Nike

The result is in favor of Levi’s company. 90% favors Levi’s and rest 10% favor Nike.
Out of 49 female respondent 42 favor Levi’s and Out of 51 male respondent 48 favors
Levi’s company. The age group of 18-25 is more for Levi’s company.

The company that has reasonable price range in its apparels is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 29 21 01 0
Female 32 09 08 0
Total 61 30 09 0

70
60
50
40
30 Male
20
10 Female
0 Total
18-25 25 18-25 25
above above

Levi’s Nike

The respondents have a favor direction towards Levi’s company. 90% favor Levi’s and
rest 10% for Nike. Major portion that favor Levi’s is 18-25 age range.

The Company that has an offers value for money product is:
Gender Levi’s Nike
18-25 25 above 18-25 25 above
Male 30 21 0 0
Female 30 07 12 0
Total 60 28 12 0

25 above
Nike

18-25
12

25 above
21

7
Levi’s

18-25
30

30

0 20 40 60 80

Male Female

The response is in favors of Levi’s company. 88% favor Levi’s and 12% favor Nike. Out
of 88 respondents for Nike 60 is between 18-25 years of age and 28 are more than 25
years of age. For Nike all 12 are between 18-25 years of age. For Levi’s male-Female
ratio of 18-25age is equal but in above 25 years of age male ratio is more than female.
For Nike all respondent are female.

The company that has convenient outlets of apparels is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 26 18 05 02
Female 30 07 12 0
Total 56 25 17 02

25 above
2
Nike

18-25
12
5

25 above
18

7
Levi’s

18-25
26

30

0 10 20 30 40 50 60

Male Female
The response is in favors of Levi’s company. 81% favor Levi’s and 19% favor Nike. Out
of 81 respondents for Nike 56 is between 18-25years of age and 25 are more than 25
years of age. For Nike 17 are between 18-25years of age and rest 2 are 25 above. For
Levi’s Female ratio of 18-25 is more than male but in above 25 years of age male ratio is
more than female. For Levi’s Female ratio in 18-25 is more than male but in above 25
years of age all are male.

The company that’s dealership or exclusive store you find more is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 18 15 13 05
Female 25 04 19 01
Total 43 19 32 06

25
20
15
10
Male
5
Female
0
18-25 25 18-25 25
above above

Levi’s Nike

The response is in favors of Levi’s. Female ratio is more in 18-25 age groups for Levi’s
company and it is for Nike Company.

The company’s ads you’re seen recently are:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 18 12 12 09
Female 26 05 15 03
Total 44 17 27 12
 50
40
30
20 Male
10 Female
0 Total
18-25

18-25
above

above
25

25
Levi’s Nike

61 respondents favor Levi’s company and rest 39 favors Nike. The age group has 71
respondent and 44 favor Levi’s. This shows the youth direction towards this company.

The company that services (inside showroom and after purchase,

replacement etc.), are more certifiable to consumer is:

Gender Levi’s Nike

18-25 25 above 18-25 25 above
Male 21 16 10 04
Female 28 07 14 0
Total 49 23 24 04

Fem ale
28

14
7

Male
21

16

10

0 10 20 30 40 50 60

Levi’s 18-25 Levi’s 25 above Nike 18-25 Nike 25 above

The 72% favor Levi’s company and rest 28% favor Nike. Out of 51 male, 37 favor
Levi’s. Out of 49 female, 35 favor Levi’s company. Out of 73 of 18-25 age groups, 49
support Levi’s and rest for Nike.

The product offering of the Nike that consumer purchase more is:
Gender Nike
Shirt Jacket Pant Pullove Top Short C.Crew S.Top
r
Male 34 14 25 21 0 0 0 0
Female 14 07 05 0 32 02 0 0
Child 0 0 02 0 0 0 0 0

Child
2

Female
14

32 14
7
5

2
Male
34

25

21
0 20 40 60 80 100

Nike Shirt Nike Jacket Nike Pant

Nike pullover Nike Top Nike Short
Nike Cotton Crew Nike Sleeve Top

In female, more direction is for pullover and then for shirt. In male, more direction is for
shirt and then for pant and pullover. In child all for pant.

The brand of the Levi’s you purchase more is:

Gender Levi’s
Strauss Khaki Jeans
Male 25 07 35
Female 0 02 42

Levi’s
25

Strauss
Dockers
Levi’s

7
2

khaki
Levi’s
35

42

jeans

0 20 40 60 80 100

Male Female

More direction is for jeans and than for Strauss and then khaki. In jeans, the female ratio
is more. In khaki, it is for male. In Strauss, all for male.

The company’s ad you see more is:

Internet Magazines T.V.
16 50 25

INTERNET

16
Levi’s

MAGAZINES

50
T.V.
25

0 10 20 30 40 50 60

Series1

Highest response is for magazines and than for T.V. and than for Internet. This shows the
usefulness if print media in apparels advertising.

Internet Magazines T.V.

30 46 23

INTERNET
30
Nike

MAGAZINES
46

T.V.
23

0 10 20 30 40 50

Series1

Highest response is for magazines and than for Internet and than for TV. This shows the
usefulness if print media in apparels advertising.
Some subjective supportive reasons for respective companies
are:

Levi’s: ------
1. More apparels variety.
2. Better range in price.
3. More number of outlets.
4. More design and different style in jeans and other apparels.
5. Ease in availability and focusing on youth
6. Brand image
7. Product worthiness
8. More quality focused

Nike: ------
1. Offer more sport apparels.
2. Brand image
3. Product worthiness
4. More variety in short wears
 Conclusion and Suggestions

Conclusion:

The conclusion of the research goes in favor of Levi’s company in all

aspect like:

 Levi’s has good results in the Quality of product aspect. 72% of the respondent favors
Levi’s company. Good quality oriented offers increase the awareness of the brand of
the company.

 Levi’s has good results in the innovative design for the apparels category. 90% of the
respondent favors Levi’s and rest 10% favor Nike. Out of 49 female respondent 42
favor Levi’s and Out of 51 male respondent 48 favors Levi’s company.

 The response is in favors of Levi’s company in more number of product categories in

apparels. 88% of the respondent favors Levi’s and 12% favor Nike.

 Levi’s company offers more Value for money in the apparels category. 88% favor
Levi’s and 12% favor Nike. This shows a drastic value for money policy at higher
extent.

 The exclusive stores of the Levi’s company are in the reach of customer conveniently.
The location and exclusiveness is more in the Levi’s store.

 Levi’s company has more Frequent visibility in advertisement. 61 respondents favor

Levi’s company and rest 39 favors Nike. The age group has 71 respondent and 44
favor Levi’s. This shows the youth direction towards this company.

 Levi’s company has more emphasis on the customer service. The 72% favor Levi’s
company and rest 28% favor Nike. Out of 51 male, 37 favor Levi’s. Out of 49 female,
35 favor Levi’s company. Out of 73 of 18-25 age groups, 49 support Levi’s and rest
for Nike.
Suggestions:

Though Levi’s has good results in all aspect. It shows good results in consumer
awareness and consumer perception.

So I suggest only about Nike company that:

 Since the Nike Company has lack of consumer awareness in apparels category. So
company should give more focus on the apparels category.

 There is a problem in the presentation and availability/ reach to customer. So,

Company has to increase its aviliability by focusing more on ads and exclusive
store.

 Levi’s company has a good value for money offer but Nike has a lacks here. So,
Company has focus on value for money aspect.

 Company has to do effort to increase its brand perception in the mind of

consumer. Because it is the main area where company is lacking.
 Bibliography

 http://xroads.virginia.edu/~CLASS/am483_97/projects/hincker/nikhist.html

 http://www.levistrauss.com/about/history/denim.htm

 http://www.nike.com/nikebiz/nikebiz.jhtml?page=0

 Kotler Philip, “ Marketing Management-Analysis, Planning, Implementation

And Control”, 11th Edition, Prentice Hall Of India, pp.563-575.

 “Obarski Manne, ”Retailing Business Is Show Business”, Marketing

Mastermind, Oct 2003, pp.45

 “Retailing Is Nike Riding A Bicycle”, The Strategist, Business Standard,

Tuesday 03 Feb 2004,pp.1

 Rohiman Howard, “ Companies That Changed The World”, 1st Edition, Jaico
Publishing House, pp.83-86.

 S.Shajahan , ”Retailing Through Shopping Malls: Emerging Trends”,

Marketing Mastermind, April 2004,pp.17-30

 “Still Window Shopping”, The Strategist, Business Standard, Tuesday 10 Feb

2004, pp.1.
 Appendix
The questionnaire used in the survey is given below:

1.Name: 2. Gender: Male Female

3. Occupation:

Business Service Student Household Self Employed

4.Address:

5.Age: 10-18 18-25 25-35 35&above

6.family income (Per month in thousand):

10-15 15-20 20-30 30&above

7.Do you like to buy apparels of foreign brand?

Yes No

PARTICULARS LEVI’S NIKE

8. Which company do you think offers more
Number of product category in apparels?

9. Which company do you think has more focus on the

Quality?

10. Which company do you think gives more numbers

of innovative designs in apparels?

11. Which company do you think has reasonable price

range in its apparels?

12. Which Company do you think offers value

for money product?

13. Which company do you think has convenient

outlets of apparels?
14. Which company’s dealership or exclusive store
you find more ?
15. Which company’s ads you’re seen recently?

16. With which company services (inside showroom and

After purchase, replacement etc.), are you more satisfied?

17. Which brand you think has more quality associated?

Specify the reasons__________________________________
__________________________________________________

18. Which product offering of the Nike you purchase more?

MALE Shirt Jacket Pant Pullover

FEMALE Top Jacket Pant Shirt
CHILD Sleeve Top Pant Short Cotton Crew

19. Which brand of the Levi’s you purchase more?

Levi’s jeans Dockers khaki Levi’s Strauss

signatures

20. Where do you see more advertisement of?

NIKE T.V. Magazines Internets

LEVI’S T.V. Magazines Internets

21. Any specific reason for preferring one company?