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SHRI RAMSWAROOP MEMORIAL UNIVERSITY

LUCKNOW- DEVA ROAD, UTTAR PRADESH

SUMMER TRAINING REPORT


ON

"A STUDY ON BRAND POSITIONING OF BIRLA CEMENT "

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT


FOR THE AWARD OF DEGREE
OF
BACHELOR OF BUSINESS ADMINISTRATION
TO
SHRI RAMSWAROOP MEMORIAL UNIVERSITY
2016-17

Under the Guidance of: Submitted By:


Mr. Abhishek Kulshreshtha Utkarsh Dev Singh
(Assistant Professor) Roll No- 201410702110062
Department of Management & Commerce
SRMU, Lucknow

CERTIFICATE OF ORIGINALITY
I_____________________________________ Roll No __________________of, a full time
bonafide student of first year of Master of Business Administration (MBA)/ Bachelor of
Commerce (H)/ Bachelor of Business Administration (H) Programme (Year) of Shri
Ramswaroop Memorial University. I hereby certify that for this project work carried out by me at
_________________________________________________ the report submitted in partial
fulfillment of the requirements of the programme is an original work of mine carried out under
the guidance of the industry mentor
___________________________________________________________________ and faculty
mentor _______________________________________________________ and is not based or
reproduced from any existing work of any other person or on any earlier work undertaken at any
other time or for any other purpose, and has not been submitted anywhere else at any time to the
best of my knowledge.

(Student's Signature)

Date:

2
DEPARTMENT OF MANAGEMENT & COMMERCE
SRMU

This is to certify that the project entitled A Study on Brand Positioning of Birla

Cement submitted by Utkarsh Dev Singh [Univ. Roll No. 201410702110062 and in

the partial fulfillment of the requirement for the award of the DEGREE OF MASTER OF

BUSINESS ADMINISTRATION/ BACHELOR OF COMMERCE (H)/ BACHELOR OF

BUSINESS ADMINISTRATION (H) of SHRI RAMSWAROOP MEMORIAL

UNIVERSITY to the best of my knowledge it is a record of students own work carried under

our supervision and guidance. The project report embodies result of original work and the study

carried out by the student and the contents do not form the basis for the award of any other

degree to the candidate or to anybody else.

Dr. Abhishek Kulshreshtha Director


Assistant Professor (Management, Commerce & Economic)

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DEPARTMENT OF MANAGEMENT & COMMERCE
SRMU

DECLARATION

I hereby declare that the project entitled A Study on Brand Positioning


of Birla Cement

submitted by me in the partial fulfillment of the requirements for the award of the degree of

Master of Business Administration of Shri Ram Swaroop Memorial University, is a record of my

own work carried under the supervision and guidance of

..

To the best of my knowledge this project has not been submitted to SHRI RAMSWAROOP

MEMORIAL UNIVERSITY or any other University or Institute for the award of any degree.

Name- Utkarsh Dev Singh


University Roll. No- 201410702110062

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Acknowledgement

I would like to thank for providing me the opportunity to add a new dimension in my
knowledge by getting training in this esteemed organization.

It gives me great pleasure to express my regards and profound gratitude to my Mentor


Mr. Abhishek Kulshreshtha for his expert guidance throughout my training. I am highly
indebted for his painstaking attention and giving me his valuable time towards my projects and
suggestions which helped shape my project to perfection.

The acknowledgement will not be complete without a vote of thanks to the entire team of
CENTRAL QUALITY for their help and support at all times. There are numerous other people
whom I may not be able to acknowledge here but their contribution is equally important in the
success of my project.

Finally I want to thank all my friends with whom I had developed a special bond for their
helping attitude and co-operation during the course of this project.

{Utkarsh Dev Singh}

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EXECUTIVE SUMMARY

This project report is prepared as the partial fulfillment of two year degree programme of
MBA curriculum of Rajasthan Technical University, Kota. This Research project is a
compulsory part of the academics. This research is done in the Third semester of the
MBA program.

In this research, I have attempted the research about Brand Positioning.


Positioning is one of the key elements of modern marketing management (Kotler, 2000).
The overall purpose of this research is to indentify the Brand Position of Birla cement in
Bhilwara market. I have taken six major cement brands for this research. The whole
research is based on Dealer & Sub Dealer survey.

The project is followed by 8 Chapters.

Chapter 1 : Introduction of Cement Industry, Current Scenario in India, growth in


Production & consumption, Birla Corporation history, subsidiaries
companies, types of cement, manufacturing process of cement, standard
requirement of raw material, distribution channel & SWOT analysis.

Chapter 2 : Definition & concept of brand positioning, brand positioning strategy,


competitive study among various cement brands.

Chapter 3 : Research methodology, objective of research.

Chapter 4 : Analysis & interpretation of collect datas.

Chapter 5 : Findings & conclusions

Chapter 6 : Suggestions

Chapter 7 : References cited

Chapter 8 : Annexure

This report is an honest work towards the topic. There can be many short comings in it
because of the lack of the time, unavailability of data and other constraints.

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TABLE OF CONTENT
CONTENTS

CERTIFICATE
DECLARATION
PREFACE
ACKNOWLEDGEMENT
EXECUTIVE SUMMARY
Chapter 1 : INTRODUCTION OF BIRLA CEMENT
Current Scenario in India
Growth in Production & Consumption
Top Ten Players in Cement Industry
History & Company profile
Subsidiaries Company
Corporate Social Responsibility
History of BCW & CCW
Awards
Cement
Manufacturing Process of Cement
Standard Requirement of Raw Material
Distribution Channel
SWOT Analysis
Chapter 2 : CONCEPTUAL FRAMEWORK
Brand Positioning - Definition and Concept
Brand Positioning Strategy

Competitive Study Among Various Cement Brands


Chapter 3 : RESEARCH METHODOLOGY
Objective of Research
Chapter 4 : ANALYSIS & INTERPRETATION
Chapter 5 : FINDINGS & CONCLUSIONS
Chapter 6 : SUGGESTIONS
Chapter 7 : REFERENCES CITED
Chapter 8 : ANNEXURE

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LIST OF TABLES
CONTENTS
Chapter 1 : INTRODUCTION OF BIRLA CEMENT
TABLE 1.1 Current Scenario of Cement
TABLE 1.2 Current Scenario of Clinker
TABLE 1.3 Capacity wise Top 10 Players for year 2007-2008
TABLE 1.4 Location of Cement Plants in India
TABLE 1.5 Unit Capacity of Cement Plant in India
TABLE 1.6 Product and Brand names of Various Plants
TABLE 1.7 Department & Heads of Department
TABLE 1.8 Awards
TABLE 1.9 Storage of Cement
TABLE 1.10 Standard Requirement of Various Raw Materials
Chapter 3 : RESEARCH METHODOLOGY
TABLE 3.1 Research Methodology
Chapter 4 : ANALYSIS & INTERPRETATION
TABLE 4.1 Total of the score given by the Respondents
TABLE 4.2 Overall rank for the Attributes only
TABLE 4.3 Overall rank of the Companies
TABLE 4.4 No. of Forms of Various Companies
TABLE 4.5 Preferences Collected from Various Cement Dealers
TABLE 4.6 Quality Collected From Various Cement Dealers
TABLE 4.7 Packing Quality Collected From Various Cement Dealers
TABLE 4.8 Colour Collected From Various Cement Dealers
TABLE 4.9 Availability Collected From Various Cement Dealers
TABLE 4.10 Price Collected From Various Cement Dealers
TABLE 4.11 Tech. Services Collected From Various Cement Dealers
TABLE 4.12 Sales Pro. Collected From Various Cement Dealers
TABLE 4.13 Brand Name Collected From Various Cement Dealers
TABLE 4.14 Advertisement Collected From Various Cement Dealers
TABLE 4.15 Total Score In Percentage Company Wise
TABLE 4.16 Rank The Attribute Which Contributes Brand Positioning
TABLE 4.17 Results After Calculating Weighted Average Method
LIST OF FIGURES

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CONTENTS
Chapter 1 : INTRODUCTION OF CEMENT INDUSTRY
FIGURE 1.1 Growth in Cement Production 2006-07-08
FIGURE 1.2 The Forms of Cement Produced
FIGURE 1.3 Major Players in Indian Cement Sector
FIGURE 1.4 Manufacturing Process of Cement
FIGURE 1.5 Process Flow Diagram
FIGURE 1.6 Products of BCW & CCW
FIGURE 1.7 Distribution Channel
Chapter 2 : CONCEPTUAL FRAMEWORK
FIGURE 2.1 Vision , Mission , Values of Brand Positioning
Chapter 4 : ANALYSIS & INTERPRETATION
FIGURE 4.1 No. of Forms of Took During Survey
FIGURE 4.2 Preferences Collected from Various Cement Dealers
FIGURE 4.3 Quality Collected From Various Cement Dealers
FIGURE 4.4 Packing Quality Collected From Various Cement Dealers
FIGURE 4.5 Colour Collected From Various Cement Dealers
FIGURE 4.6 Availability Collected From Various Cement Dealers
FIGURE 4.7 Price Collected From Various Cement Dealers
FIGURE 4.8 Tech. Services Collected From Various Cement Dealers
FIGURE 4.9 Sales Promotion Collected From Various Cement Dealers
FIGURE 4.10 Brand Name Collected From Various Cement Dealers
FIGURE 4.11 Advertisement Collected From Various Cement Dealers
FIGURE 4.12 Total Score in Percentage Company Wise
FIGURE 4.13 Results After Calculating Weighted Average Method

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C HAPTER -

1
INTRODUCTION
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INTRODUCTION

Cement Industry

Cement Industry originated in India when the first plant commenced


production in 1914 at Porbandar, Gujarat. The industry has since been growing at a
steady pace, but in the initial stage, particularly during the period before Independence,
the growth had been very slow. Since indigenous production was not sufficient to meet
the entire domestic demand, the Government had to control its price and distribution
statutorily. Large quantities of cement had to be imported for meeting the deficit. The
industry was partially decontrolled in 1982 and this gave impetus to its pace of growth.
Installed capacity increased to more than double from 27 million tons in 1980-81 to 62
million tons in 1989-90.
The cement industry responded positively to liberalization policy and the
Government decontrolled the industry fully on 1st March 1989. From 1991 onwards
cement industry got the status of a priority industry in schedule III of the industry policy
statement, which made it eligible for automatic approval for foreign investment up to
51% and also for technical collaboration on normal terms of payment of royalty.
After the globalization and liberalization of Indian economy, the cement industry
has been growing rapidly at an average rate of 9 percent. The country is now the second
largest producer of cement in the world next only to China with a total capacity of 217.80
million tones. Additionally, in the last two decades, the industry has undergone rapid
technological up gradation and growth, and now, some of the cement plants in India are
comparable to the worlds best operating plants in all respects.
Till a few years ago India was importing cement from other countries, as the
production could not meet the demand for the whole country. Now the tables have turned
as India has started exporting large quantities of cement and clinker to Bangladesh,
Nepal, Sri Lanka, Maldives, Mauritius, Africa, Seychelles, Burma, UAE, and Singapore
etc.
India is today the second largest producer of cement in world with an installed
capacity of close to 217.80 million tons per year. 95 % is consumed domestically and
only 5% is exported. Demand is growing at more than 10 % per annum. More than 90 %
of production comes from large cement plants. There are a total of 146 large and more

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than 350 small cement manufacturing units in the country. More than 80% of the cement-
manufacturing units use modern environment friendly dry process.

In the cement industry there are two sectors one consisting of large plants and
the other consisting of mini cement plants. A factory with an installed capacity exceeding
2,97,000 tones per annum (900 tons per day) is a large plant and with capacity up to and
including 2,97,000 tons is a mini cement plant. At present, there are 146 large plants and
about 365 mini cement plants. Since mini cement plants are scattered all over the country
with a number of associations representing different types of processes, sizes etc. and
some of them are even tiny units, it has not been possible to obtain correct data of this
sector. The present installed capacity of large plants is 217.80 million tons and the
estimated capacity of mini cement plants is 11.8 million tons.

Overview of the performance of the Cement Sector

The Indian cement Industry not only ranks second in the production of cement in
the world but also produces quality cement, which meets global standards. However, the
industry faces a number of constraints in terms of high cost of power, high railway tariff;
high incidence of state and central levies and duties; lack of private and public investment
in infrastructure projects; poor quality coal and inadequate growth of related
infrastructure like sea and rail transport, ports and bulk terminals. In order to utilize
excess capacity available with the cement industry, the government has identified the
following thrust areas for increasing demand for cement:
Housing development programmers & Promotion of concrete highways and
roads;
Use of ready-mix concrete in large infrastructure projects;
Construction of concrete roads in rural areas under Prime Ministers Gram Sadak
Yojana.

In India, the different types of cement are manufactured using dry, semi-dry, and
wet processes. In the production of Clinker Cement, a lot of energy is required. It is
produced by using materials such as limestone, iron oxides, aluminum, and silicon
oxides. Among the different kinds of cement produced in India, Portland Pozzolana
Cement, Ordinary Portland Cement, and Portland Blast Furnace Slag Cement are the
most important because they account for around 99% of the total cement production in
India.

The types of cement in India have increased over the years with the advancement
in research, development, and technology. The Indian cement industry is witnessing a
boom as a result of which the production of different kinds of cement in India has also
increased.

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By a fair estimate, there are around 11 different types of cement that are being
produced in India. The production of all these cement varieties is according to the
specifications of the cement.

CURRENT SCENARIO

The Indian cement industry is the second largest producer of quality cement,
which meets global standards. The cement industry comprises 130 large cement plants
and more than 300 mini cement plants. The industry's capacity at the end of the year
reached 188.97 million tons which was 166.73 million tons at the end of the year 2006-
07. Cement production during April to March 2007-08 was 168.31 million tons as
compared to 155.66 million tons during the same period for the year 2006-07.Despatches
were 167.67 million tons during April to March 2007- 08 whereas 155.26 during the
same period. During April-March 2007-08, cement export was 3.65 million tons as
compared to 5.89 during the same period.

Cement industry in India is currently going through a consolidation phase. Some


examples of consolidation in the Indian cement industry are: Gujarat Ambuja taking a
stake of 14 per cent in ACC, and taking over DLF Cements and Modi Cement; ACC
taking over IDCOL; India Cement taking over Raasi Cement and Sri Vishnu Cement; and
Grasim's acquisition of the cement business of L&T, Indian Rayon's cement division, and
Sri Digvijay Cements. Foreign cement companies are also picking up stakes in large
Indian cement companies. Swiss cement major Holcim has picked up 14.8 per cent of the
promoters' stake in Gujarat Ambuja Cements (GACL). Holcim's acquisition has led to the
emergence of two major groups in the Indian cement industry, the Holcim-ACC-Gujarat
Ambuja Cements combine and the Aditya Birla group through Grasim Industries and
Ultratech Cement. Lafarge, the French cement major has acquired the cement plants of
Raymond and Tisco. Italy based cement has acquired a stake in the K.K. Birla promoted
Zuari Industries' cement plant in Andhra Pradesh, and German cement company
Heidelberg Cement has entered into an equal joint-venture agreement with S P Lohia
Group controlled Indo-Rama Cement.

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Cement (Mn.Ton.)
Particulars Mar-08 Feb-08 Mar-07 2007-08 2006-07

Production 16.39 14.73 14.99 168.31 155.66


Despatches(Including
Export) 16.42 14.79 15.13 167.67 155.26
Export 0.32 0.21 0.45 3.65 5.89
Closing Stocks 1.07 1.15 0.85
Capacity Utilization (%) 104 98 108 96 94
TABLE 1.1

During March 08, Cement production was 16.39 Mn.T, registering a growth of
9.34% as compared to 14.99 Mn.T in March 07.

Cement Despatches were 16.42 Mn.T in March 08, showing a growth of 8.53% as
compared to 15.13Mn.T in March 07

Clinker (Mn.Ton.)

Particulars Mar-08 Feb-08 Mar-07 2007-08 2006-07


Production 11.88 10.83 11.19 129.69 121.75
Sales 0.41 0.29 0.27 3.01 2.35
Export 0.21 0.2 0.19 2.37 3.11
Transfer 1.55 1.42 1.45 16.16 15.58
Closing Stcoks 5.47 6.09 4.41
TABLE 1.2

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During March 08, Cement Export was 0.32 Mn.T a decline of 28.89% from 0.45
Mn.T in March 07, whereas Clinker Export showed a growth of 10.53% (from 0.19
Mn.T. in March 07 to 0.21 in March 08)

GROWTH IN CEMENT PRODUCTION 2007-08/2006-07 (Apr-Mar)

Growth in Cement Production


14%

12%

10%

8%
Percentage
6%

4%

2%

0%
North East South West Centre All India

FIGURE 1.1

This Graphical represenation shows that overall growth in cement production in inidia is
8% in 2007-08. but if we are distributing in different region then it shows 14%, 8%, 8%,

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5%, 4% to North,East,South,West,Centre respectively.In North,higest growth is 14% and
least growth in centre region which is only 4%.

CAPACITYWISE TOP TEN PLAYERS FOR YEAR 2007-2008

(Figures in Mn. Tones)

COMPANY CAPACITY

HOLCIM / ACC / AMBUJA 38.21

GRASIM / ULTRA TECH CEMENT 36.25

JAYPEE GROUP. 9.93

THE INDIAN CEMENTS LTD. 9.64

SHREE CEMENT 9.10

CENTURY TEXTILES & INDUSTRIES LTD. 7.80

BIRLA CORPORATION LTD. 5.78

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MADRAS CEMENTS LTD. 5.47

LAFARGE INDIA PRIVATE LTD. 5.47

JK CEMENT 4.30
TABLE 1.3

The Forms of Cement Produced

FORMS

OF

CEMENT

FORMS PORTLAND PORTLAND

OF POZZOLANA SLAG

CEMENT CEMENT CEMENT

FIGURE 1.2

Major players in Indian cement sector

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* ACC

* Lafarge

* Gujarat Ambuja Cement/Holcim

* Ultratech Cement

* India Cements

* Century Cements

* Jaypee Group

* Madras Cements

* Birla Corporation Limited FIGURE 1.3

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INTRODUCTION OF BIRLA CORPORATION LIMITED

History of the company

The company was founded by Late Shri G.D.Birla and was incorporated on 25 th August
1919, in the name and style of The Birla Jute Manufacturing Company Limited. A man of
vision and enterprise, he set up the first Indian Owned Jute Mill near Kolkata which
marked not only the birth of the company but also the beginning of the Birla Industrial
Group in India. The company grew steadily under his guidance in the earlier years.
Thereafter Shri M.P.Birla took over the reins of the company and he helped transform it
from a jute mill to a leading multi-product, multi-location corporate with widespread
activities.

Today, the product range includes cement, jute goods, vinoleum floor covering, auto
trims and steel castings. After the demise of Shri M.P.Birla in 1990, Smt.Priyamvada
Birla took over as the Chairman of the company and under her Chairmanship; company
crossed the Rs.1,000 cores plus turnover mark. After the demise of Smt.Priyamvada Birla
on 3rd July 2004, Shri R.S.lodha took over as the chairman of the company and under his
Chairmanship, company has attained new heights. The name of the company was
changed to Birla Corporation Limited with effect from 27 th October, 1988 to establish the
size, image and conglomerate character of the company.

Credit Rating of the Company

Credit Analysis and Research Limited ( CARE ) has assigned CARE AA rating for the
company long and medium term facilities of more than one year tenure and PR 1 + ( PR
one plus) rating for short term bank facilities , aggregating Rs.500 crores. Further, the
rating Committee of CARE has re-affirmed PR 1 + rating and CARE AA rating for short
term debt and the proposed long term borrowing programme of the company.

COMPANY PROFILE

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Birla Corporation Limited is a multi- product conglomerate.

It plays significant roles in the Cement, Jute, PVC floor Covering, Auto Trim and
Steel casting industries.
The concentric around the triangle represents this very multi-dimensional nature.
The apex of the triangle is a visual representation of the force that drives the entire
corporationthe unifying force in search of excellence.

Late Shri M.P.Birla Late


Smt. Priyamvada Birla

MANAGEMENT

The day- to- day management of the company is being looked after by the Chief
Executive Officer, Shri B.R.Nahar who is assisted by a team of highly qualified
professional persons.

CHAIRMAN ED & CEO

Late Shri R.S. Lodha Shri


B.R.Nahar
Board of Directors
Shri N.K. Kejriwal Shri Vikram Swarup
Smt Nandini Nopany Shri Anand Bordia
Shri Harsh V. Lodha Shri B.B. Tandon
Shri Pracheta Majumdar Shri D.N.Ghosh
Logo of Birla Corporation Limited

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The corporate symbol of concentric circles around a triangle represents this very

multi-dimensional nature. The apex of the triangle is a visual representation of the

force that drives the entire corporation the unifying force in search of excellence.

The various sub-business units are diverse in interest & operation. But they are held

together by this centripetal drive. The circles represent the inspiration to explore

new frontiers of growth.

QUALITY CONTROL AND ASSURANCE

In order to ensure quality, effective control has to be exercised throughout the process of
production. The control procedures cover all aspects of cement manufacture from quarry
operation, handling, mixing and grinding to packing. In order to achieve quality
assurance, most of the cement plants have established facilities for sophisticated controls.
Some of the important controls introduced in the cement industry as follows: -

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Computerized mine planning and deposit evaluation to enable optimum use of raw
material

Online X-ray fluorescence spectrometer for raw material control and raw mix
design.

Better aided instrumentation and process measurements using X-ray analysis, gas
analyzers, temperature and pressure measuring devices, etc.

Centralized kiln control system in conjunction with expert control systems for
process and operation control.

Continuous monitoring of quality in production by plants as well as by the


certifying agency, namely, Bureau of Indian Standards (BIS) under compulsory
Certification Scheme.

BIS certification is compulsory for all varieties and grades of cement under the Cement
(Quality Control) Order, 1962 issued under the Essential Commodities Act, 1955. Since
the Indian cement industry recognizes that ISO-9000 quality system is extremely
important for quality assurance, reliability and competitiveness, about 45 cement plants
have already secured ISO-9000 Certification. The Total Quality Management (TQM)
concept has also been adopted by more than 70 cement plants. Besides, some leading
companies have acquired TPM (Total Productive Maintenance) accreditation. Some
manufacturers are going ahead for world class rating, e.g. WCM (World Class
Manufacturing) or ERP (Enterprise Resource Planning) to be at par with Best Practices
anywhere in the world.

India produces different varieties and grades of cement, namely, Ordinary Portland
Cement (OPC) (33,43,53 grades), Portland Pozzolana Cement (PPC), Portland Blast
Furnace Slag Cement (PBFSC) and many other varieties. Some of these varieties are used
for special applications, e.g. blended cement helps in resisting certain chemical agents,
sulphate resisting cement can be used in places where concentration of sulphate is more,
a low heat cement is used for mass concreting work like dams, barrages and deep
foundations. All these varieties of cement have been covered by Indian Standard
Specifications.

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MISSION & VISION
Mission

To achieve international standards of excellence in all aspect of division and


diversified business with focus on customer delight through value of product,
Services, cost and reduction.
To maximize creation for wealth and satisfaction for the stakeholder.
To foster a culture of participation and innovation of employee growth and
contribution.
To cultivate high standards of business ethics and total Quality Management.
To provide technology and service through sustained research and development.
To attain leadership in developing, adopting and assimilating state-of-art
technology for competitive advantage.
Offered full opportunities and challenges to develop individually enabling career
growth.
Encouraged to acquire knowledge to meet the challenges of new technologies and
business needs in the changing scenario.
Educated and guided to inculcate and practice right values as are nurtured by the
organization.

Vision

A major diversified, transnational, integrated company with leadership and a


strong environment conscience playing a national role in cement, Jute, Auto trim,
Venolium and public distribution.

OBJECTIVES & OBLIGATIONS

Objectives

To serve the national interests in the Product and related sectors in accordance and
consistent with Government policies.
To earn a reasonable ate of on interest.
To maximize utilization of the existing facilities in order to improve efficiency and
increase productivity.
To work towards the achievement of self-sufficiency in the field of cement market
by setting up adequate capacity and to build up expertise in lying of crude.

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To further enhance distribution network for providing assured service to customers
throughout the country through expansion of reseller network as per Marketing
Plan/ Government approval.
Obligations

Towards Customers and Dealers: To provide prompt, courteous and efficient


service and quality products at fair and reasonable prices.
Towards Suppliers: To ensure prompt dealings with integrity, impartiality and
courtesy and promote ancillary industries.
Towards Employees: Develop their capability and advancement through
appropriate training and carrier planning.
Towards Community: To develop techno-economically viable and environment
friendly products for the benefit of the people.

SUBSIDIRES COMPANY OF THE BIRLA CROPORATION

CEMENT DIVISION:-

Cement is the primary product of the company and accounts for around 90% of the
turnover of the company. The company has seven cement plants at four locations, namely,
Satna Cement Works ( SCW ) and Birla Vikas Cement ( BVC ) at Satna (Madhya Pradesh
), Chanderia Cement Works ( CCW ) and Birla Cement Works ( BCW ) at Chanderia
( Rajasthan ), Durgapur Cement Works ( DCW ) and Durga Hitech Cement ( DHC ) at
Durgapur ( West Bengal ) and Cement Grinding Unit at Raebareli (Uttar Pradesh). The
present installed capacity of cement is 58.80 lac metric tones per annum. Location wise
details are given here under:-

Location of Cement Plants in India

STATE TOWN UNITS

Madhya Pradesh Satna Satna Cement Works


Birla Vikas Cement
Rajasthan Chanderia Birla Cement Works
Chanderia Cement Works
West Bengal Durgapur Durgapur Cement Works
Durga Hitech Cement

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STATE TOWN UNITS CAPACITY
Uttar Pradesh Mill. Ts
Raebareli Raebareli Grinding unit
M.P. Satna 1.55
TABLE 1.4
Rajasthan Chanderia 2.00 CAPACITY : 5.78 Mill. Ts.
West Bengal Durgapur 1.60

Uttar Pradesh Raebareli 0.63

TABLE 1.5

The Product and Brand names are as Follows:

UNITS PRODUCTS BRAND NAME

Birla Cement Works OPC - 43G, 55G, PPC Birla Cement Chetak
Chanderia Cement PPC
Works Birla Cement Samrat

Satna Cement Works PPC & OPC (43 Gr.) Birla Cement Samrat
Birla Vikas Cement
Birla Cement
Khajuraho

Portland Pozzolana
Raebareli Grinding Unit Cement (PPC) Birla Cement Samrat

Durgapur Cement Works Portland Slag Cement Birla Cement


(PSC)

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Birla Premium Cement

Durga Hitech Cement Portland Pozzolana Birla Cement Samrat


Cement (PPC)
TABLE 1.6

Corporate Social Responsibilities

Educational Activities

South Point School, Kolkata, West Bengal


M.P. Birla Foundation Higher Secondary School, Kolkata, West Bengal
M.P. Birla Shiksha Bhawan, Allahabad, Uttar Pradesh
M.P. Birla Industrial Training Institute, Rewa, Madhya Pradesh
Birlapur Vidyalaya, West Bengal
Birla Vikas Vidyalaya, Satna, Madhya Pradesh
School at Chittorgarh, Rajasthan
Sarada Kanya Vidyapith, Barrackpore, West Bengal
M.P. Birla Foundation Veda Sanskrit Pathshala, Bangalore, Karnataka

Medical Activities

Bombay Hospital, Mumbai, Maharashtra


Belle Vue Clinic, Kolkata, West Bengal
M.P. Birla Medical Research Centre at Birlapur, West Bengal and Satna, Madhya
Pradesh
Birla Vikas Hospital, Satna, Madhya Pradesh
Birlapur Hospital, Birlapur, West Bengal
Dispensary at Allahabad, Uttar Pradesh
Hindustan Medical Institution at Barrackpore, West Bengal

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Other Philanthropic Activities

M.P. Birla Planetarium, Kolkata, West Bengal


Express Dairy, Behala, Kolkata, West Bengal
Joka Agricultural & Horticultural Society, Joka, West Bengal

SOCIAL SERVICES

Water Facilities in Satna & Chanderia.


Roads in Chanderia.
Cleanness Campaign with Zilla Parishad in Chanderia.
AWARDS & ACHIEVEMENTSore..
.

CAPEXIL Special Export Award every year, since 1990.

ISO 9002 certification for Satna Cement Works, Birla Vikas Cement and Durgapur
Cement Works.

ISO 9001-2000(QMS) certification for Birla Cement Works, Chanderia Cement


Works from BVQI, UK.

IS/ISO 14001 certification in 1999-2000 for Satna Cement Works and Birla Vika
Cement, in 2002-2003 for Birla Cement Works & Chanderia Cement Works for
environment management systems & Best in Energy Performance in 1986-87.

"Best in Energy Performance" for Satna Cement Works in 1993-94, 1994-95,


1995-961997-98.

"Best improvement in Thermal Energy Performance" recognition from NCB for


Birla Cement Works in 1992-93 and Chanderia Cement Works in 1993-94.

"Bhama Shah Samman" from the Rajasthan Government for Educational


Activities for Birla Cement Works in 1996-97.

27
"Excellence in Improving Machinery Health Condition" in 1997.

Ministry of Labour, Government of India, for Birla Cement Works & Chanderia
Cement Works in 1998-99 and again in 2001-02.

"Lal Bahadur Shastri Memorial National Award" for Excellent Pollution Control

BIRLA CEMENT WORKS

Chanderia, Chittorgarh (Rajasthan)

(Unit of M/s. BIRLA CORPORATION LIMITED)

Since I had done my summer training at the units situated at Chittorgarh i.e. BCW &
CCW so here I am giving a brief description of these two units-

BIRLA CEMENT WORKS (BCW) was commissioned in February 1967, was the 1 st
dry process plant with two suspension preheating technology in the country. Shri
M.L.Sukhadia laid the Foundation stone of BCW on January 1962 and it started
functioning on Basant Panchmi in year 1967.Its initial capacity of 2 lac tones was
increased to 4lac tones in year 1992. In a major modernization drive, the two stages pre-
heater were converted into five stages pre-heater & a Modern computerized system was
installed. The BCL installed a new plant in year 1986 called Chittorgarh Cement Works
(CCW). It is equipped with state of-art equipment like 5 stage pre-heater, inline clinker,
Hot ESP etc. were commissioned in 1986. A central computerized control system with X-

28
rays analyzer & other sophisticated quality control system have been provided to ensure
the best quality cement production. The company has its own mines named Jai Surjana
which is at a distance of about 4Km from factory.

BCW was the 1st cement plant in the country to install Electrostatic Precipitator (ECPs)
in order to control the dust emission. To further improving the efficiency of ESPs, gas
conditioning towers have been installed and bag dust collectors have been provided at all
material transfer points in both the units. Today as many as 11 ESPs & 57 bag dust
collectors are functioning efficiently to control and maintain the emission levels well
below the air pollution control act.

BCW & CCWS Core Values, Vision, Mission

Core Values

A) Business entity & Ethics. B) Transparency & Openness.

C) Sense of Ownership. D) Striving for excellence

Vision

Be one of the best known work culture & organization climate in cement
industry. Attain excellence in every sphere through team work while fostering individual
uniqueness, Entrepreneurship & Empowerment.

Mission
To develop an enabling learning, responsive & trustful organizational climate
Where people are respected empowered & derives joy in working.

Environment & Safety

Number of activities on safety awareness, health checkup of all employees is being


carried.

29
Safety

In order to have control overall accidents and serious / fatal accidents within the
plants, the each and every employees of the organization is familiar with the thinking and
objectives of the organization and support the safety programme.

To prevent accident, we have included the safety programme like investigation &
analysis of all serious and fatal accidents, recommendations / remedial measures to
prevent similar accidents and we also included the near miss situation / accidents in our
safety programme.

The regular safety inspection is being conducted in the plant to identify unsafe
conditions and unsafe practices, which lead to accidents. Awareness and training
programmes are being conducted to develop correct attitudes towards safety.

A safety booklet in Hindi was published giving information of safety rules and
regulation and distributed to the all employees including the contractors workmen.

System, Methods and Instructions has been prepared for the safety related activities in the
plants. Maintaining all statutory requirements as per The Factories Act. Fire hydrant As a
part of regular activity safety department organized various competitions like slogan,
poster, declamation etc. with regards to safety for employees. Safety week and safety day
are celebrated with great zeal. Several employees are awarded on the occasion.

Environment

External environment audits through certifying agencies were conducted and various
environmental initiatives including environmental monitoring were implemented to
maintain the ecological balance in and around the plant & mining premises. The statutory
requirements relating to various environmental legislations and environment protection
were duly compiled with, beside several voluntary initiatives such as background
concentration assessment. Water management studies of the district and mass
environmental awareness programmes are being conducted.

Facilities Provides By BCW & CCW

30
The factory has provided the various kinds of the facilities to the company employees &
workers. It gives the soothing environment to the workers & motivates to do better &
more work for company.

These facilities are under

Recreation Center
Clubhouse
Residential Colony
Vividha
School & Canteen
Transportation Facility
Vocational Training
Play grounds & sports fields
Tree plantation in Gardens

Department and Heads of Department

The company has 21 departments in the organization for well directing the
organization and to achieve the goals and mission for the company.

Name of the Department Head of the Department


HRD Dr. S.K. Jain
Gen Administration Mr. Anil Sharma
Accounts Mr. M.M. Jagetiya
Information System Mr. Bhupesh Sharma
Purchase Mr. P. Ghosh
Legal Mr. Umesh Pareek
Personal & Welfare Mr. N.K. Singhee
Security Mr. Lt. Col. Jai Raj
Mines Mr. S.R. Sharma
Stores Mr. S.S. Choudhary

31
Building Mr. P.K. Saboo
Environment Mr. M.S. Murgan
Safety Mr. Sanjay Rathi

Time Office Mr. S.N. chechani


Production Mr. Arvind Jha
T.C.S. Mr. Mukesh Dad
Engineering Mr. K.R. Karwa
Electrical Mr. S.Thattey
Sales & Marketing Mr. D.S. Sharma
Sales Accounts Mr. K.B. Jagetiya
Logistics Mr. N.K. Tripathi
TABLE 1.7
AWARDS

Plant has been awarded with number of awards, details are given below:-

S. Name of Award Awarding Institute


NO.
1. ISO 9001 : 2000 Certification BVQI, UK in 2002 to BCW & CCW

2. IS / ISO : 14001 Certification BIS, New Delhi in 2002 to BCW &


CCW
3. Best Productivity Award NPC to CCW in 1989-90 & again in
1993-94
4. Best improvement in Thermal NCB to BCW in 1992-93
Energy Performance
5. Best improvement in Energy NCB to BCW in 1992-93
Performance
6. Bhama Shah Award for Government of Rajasthan to BCW in
Educational Activities 1996-97
7. Excellent award for Maintaining IIT, Chennai & Vibration Engineers
Health Condition of Machinery Consultants (P) Ltd. to BCW & CCW
in 1996-97

32
8. Merit Award VEC (P) Ltd., Chennai for sustained
implementation of condition
monitoring and continued machine
health improvement in 2001.
9. Workers Education Trophy Central Board for Workers Education,
Udaipur, Ministry of Labour,
Government of India to BCW & CCW
in 1998-99 and again in 2001-02
10. Best Supporting Core Plant Regional Training Centre (North),
Nimbahera in 1998-99, 2000-01 &
2001-02.
11. DGMS, Udaipur 1995(1), 1996(2),
Awards to Captive Mines (Safety 1997(1), 1998(3), 1999(4), 2000(2),
Week celebration in Udaipur 2001(5) & 2002(3).
region)
12. Best Income Tax Payee (TDS) Income Tax Department, Udaipur
Award range to BCW in 1996-97
TABLE 1.8

33
PRODUCT PROFILE

Definition of Cement:

In General is a generic name for powered material which initially have plastic flow when
mixed with water but from solid structure on several hours with varying degree of
strength & bonding properties which continue to improve with age.

Cement is a binding material. Earlier the cement was used as a binding material. Cement
is one of the strongest binding materials with long life. The weathering effect on cement
is very low. For manufacturing of cement the basic raw materials is limestone (calcium
carbonate). The limestone used in manufacturing of cement should have at least 80%
purity.

History of Cement

Joseph aspedene discovered cement in 1824.


Materials used were- lime, Brick, Bed, Volcanic, lava, water & ash.
1897 wet process KILAN came in existence DRY-PROCESS.

Types of Cement

1. BIS covers 14 types of cement.


2. 9s are the commercially produced in India.
3. Major Cements are OPC, PPS, & PSC.

Different types of cement that are produced in India are

34
Ordinary Portland cement (OPC):
OPC, popularly known as grey cement, has 95 per cent clinker and 5 percent gypsum and
other materials. It accounts for 70 per cent of the total consumption.
Portland Pozzolana Cement (PPC):
PPC has 80 per cent clinker, 15 per cent pozzolana and 5 per cent gypsum and accounts
for 18 per cent of the total cement consumption. It is manufactured because it uses fly
ash/burnt clay/coal waste as the main ingredient.
White Cement:
White cement is basically OPC - clinker using fuel oil (instead of coal) with iron oxide
content below 0.4 per cent to ensure whiteness. A special cooling technique is used in its
production. It is used to enhance aesthetic value in tiles and flooring. White cement is
much more expensive than grey cement.
Portland Blast Furnace Slag Cement (PBFSC):
PBFSC consists of 45 per cent clinker, 50 per cent blast furnace slag and 5 per cent
gypsum and accounts for 10 per cent of the total cement consumed. It has a heat of
hydration even lower than PPC and is generally used in the construction of dams and
similar massive constructions.
Specialized Cement:
Oil Well Cement is made from clinker with special additives to prevent any porosity.
Rapid Hardening Portland cement:

Rapid Hardening Portland Cement is similar to OPC, except that it is ground much finer,
so that on casting, the compressible strength increases rapidly.

Water Proof Cement:

Water Proof Cement is similar to OPC, with a small portion of calcium stearate or non-
saponifibale oil to impart waterproofing properties.

Raw material required for Cement -

Various raw materials required for manufacturing cement are :-


35
Limestone - extracted from own mines

Laterite - readily available from nearby mines

Gypsum - purchased from Bikanar & Nagore

Pet Coke - imported from foreign countries

Fly Ash - brought from Kota Thermal Power Plant

Manufacturing Process Of Cement

FIGURE 1.4

PROCESS FLOW-DIAGRAM

36
Limestone Limestone
Mining Crushing Transportation Stock Pile

Cement Cement
Storage Grinding Silo Processing Raw Grinding

Cement
Packing Fuel Grinding

FIGURE 1.5

Manufacturing Process

Mining -

37
Limestone is extracted from own mines, which are situated approx. 4 km. away from
plant. The mining of limestone is done in such a way so as to get 78% to 82% pure
limestone.

Crushing -
The extracted limestone is then transported to Jai crusher by dumpers. The limestone is
crushed into small pieces of approx. 16 to 25 mm. sizes.

Grinding -
The crushed limestone along with latrine is feed into the Raw Mill for grinding. The
ground material is called Raw Meal. It is than sent to the CF Silo.

Blending -
In the Silo the Raw Material is blended to make the mixture uniform. From here the
material is sent to the pre heaters.

Burning -
In pre heaters, the mixture is heated at various temperatures at various stages. This
preheated material is now fed into the kiln where it is heated at the temperature of 1400-
1500 degree where calcinations take place. Coal is used in the kiln to maintain the
temperature and finally clinker emerges out of it. This clinker is transported through a
conveyor into a storage Silo from where it taken out through vibratory feeders & fed into
the open circuit cement grinding mill hoppers.

Grinding -

The grinding of clinker with gypsum is done in cement mill. It is basically have where
the grade of cement is controlled gypsum is added to increase the setting time of the
cement. Then cement is than stored for some time.

Storage & packing -

38
The cement is than conveyed to different cement storage silos according to their grades &
from silos it is packed in pp bags by using electronic packaging machines.

PRODUCTS OF BCW & CCW

CEMENT

OPC PPC SRC

33 Grades 43 Grades 53 Grades

FIGURE 1.6

Storage of Cement

Storage Time Compressive Strength


Fresh 100%
3 Month 80%
6 Month 72%
12 Month 60%
24 Month 46%

TABLE 4.1

39
Standard requirement of various Raw Materials

Particular Standard requirement


OPC
Clinker - Limestone 92-93%
- Iron Ore 02-03%
- Gypsum 05%
PPC
Clinker 70%
Gypsum 05%
Fly ash 25%
TABLE 4.2

Method of cement storage

1. All windows & doors are closed and weather & Moisture must not affect to the
cement.
2. Distance of stacking bags should be 1 feet from wall & 2 feet from ceiling.
3. In one stacking put only max. 15 cement bags.
4. Use of cement bags FIFO system.
5. Put the cement bags on wooden-plates & than cover by the plastics-sheets.

40
DISTRIBUTION CHANNEL

Company has a very simple distribution channel for delivering the goods to the consumer.
It is combination of:

Company

Direct Selling To
Stockiest

Various Govt.
Retailer Contracts

FIGURE 1.7

SWOT ANALYSIS OF BIRLA CORPORATION LIMITED

41
Strengths:-

1 The industry is likely to maintain its growth momentum and continue growing at
about 9 10% in the foreseeable future.

2 Government initiative in the infrastructure sector such as the commencement of the


second phase of the National Highway Development project, freight carriers, rural
roads and development of the housing sector, are likely to be the main drivers of
growth.

3 Measures initiated by the Government towards public-private partnership for


removing bottleneck in the development of infrastructure in the country, augurs well
for the industry.

4 In the coming few years the demand for the cement will increase which will be
booming news for cement manufactures.

5 For the purpose of the packing of essential item, jute products which are
environment friendly and biodegradable characteristic are considered as best option.

Weaknesses
1 High capital cost and investment cost for each and every project.

2 The complex Excise Duty structure based on the category of buyer and end use of
the cement has caused at lot of confusion in the industry.

3 The recent ban on export of cement clinker would increase the availability of
cement in the domestic market, which in turn would put pressure on cement prices.

4 The major concern for the industry are :

Continuous increase in labour cost.


Shortage of skilled labourers.
Appreciation of rupees against foreign currencies.
Procuring of limestone mines at economical price an entry barrier.
Opportunities

42
1 Adequate support from the Government is very essential to promote business
activities.

2 Increase in the production and sell of cement at different plants have increased the
turnover of the company.

3 It would be in the interest of both the government and the industry to work together
with aim to streamline the indirect tax regime and keep the prices of the inputs such
as coal under control so that the cement price can be maintained at reasonable
levels.

4 Despite slightly lower economic growth, the construction and infrastructure sector is
expected to record healthy growth, which augurs well for cement industry.

5 The modernization, productivity improvement and cost control measures will


improve the performance of the division in times to come.

Threats

The recent moves by the Central Government in making the import of the cement
total duty free, is a cause of for the Indian cement industry.

Further recent changes in the Central Excise Duty structure by way of introduction
of multiple slabs of Excise Duty is also a cause of worry for the industry.

Almost all the major players in the industry have announced substantial increase in
the capacity and the possibility of over supply situation cannot be ruled out.

Increased railway freight, coal prices and dispatch bottlenecks on account of truck
Loading restrictions imposed by various State Governments

Scarcities of good quality Coal are some other factors which are cause of concern
for the industry.

43
C HAPTER -

2
CONCEPTUAL
44
FRAMEWORK
Developing Marketing Strategy by Knowing Brand-Position of BCW/CCW
Product- 2009 for Birla Cement Works

Brand Positioning - Definition and Concept


Brand positioning refers to target consumers reason to buy your brand in
preference to others. It is ensures that all brand activity has a common aim; is guided,
directed and delivered by the brands benefits/reasons to buy; and it focuses at all points
of contact with the consumer.

Brand positioning must make sure that:

Is it unique/distinctive vs. competitors ?

Is it significant and encouraging to the niche market ?

Is it appropriate to all major geographic markets and businesses ?

Is the proposition validated with unique, appropriate and original products ?

Is it sustainable - can it be delivered constantly across all points of contact


with the consumer ?

Is it helpful for organization to achieve its financial goals ?

Is it able to support and boost up the organization ?

In order to create a distinctive place in the market, a niche market has to be carefully
chosen and a differential advantage must be created in their mind. Brand positioning is a
medium through which an organization can portray its customers what it wants to achieve
45
for them and what it wants to mean to them. Brand positioning forms customers views
and opinions.

Brand Positioning can be defined as an activity of creating a brand offer in such a manner
that it occupies a distinctive place and value in the target customers mind. For instance-
Kotak Mahindra positions itself in the customers mind as one entity- Kotak - which
can provide customized and one-stop solution for all their financial services needs. It has
an unaided top of mind recall. It intends to stay with the proposition of Think
Investments, Think Kotak. The positioning you choose for your brand will be influenced
by the competitive stance you want to adopt.

Brand Positioning involves identifying and determining points of similarity and


difference to ascertain the right brand identity and to create a proper brand image. Brand
Positioning is the key of marketing strategy. A strong brand positioning directs marketing
strategy by explaining the brand details, the uniqueness of brand and its similarity with
the competitive brands, as well as the reasons for buying and using that specific brand.
Positioning is the base for developing and increasing the required knowledge and
perceptions of the customers. It is the single feature that sets your service apart from your
competitors. For instance- Kingfisher stands for youth and excitement. It represents brand
in full flight.

FIGURE 2.1

Defining Values and Principle

You already know how to do this

Your values and principle are part of your Org and Brand drivers!!!

Keller calls principle Brand Mantra

Your Values, Principle, and position all are related

46
NOTE: Keller says that associations are values, but we have a stricter
definition of associations from the IBM.

Brand Positioning Strategy

Brand positioning is an essential element of a winning branding strategy. Positioning


simply refers to how your product or service is viewed in the minds of prospects and
customers relative to other products or services available in your niche.

The term positioning has two connotations: a vertical and a horizontal one. In terms of
the vertical connotation, the term refers to the order in which your product ranks relative

47
to the products of your competitors in the minds of your customers in your industry
niche.

(For example, which product comes to mind first when I say the word cola?)

In terms of the horizontal connotation, the term refers to the qualities and attributes your
product represents in the mind of your customers, again relative to your competitors.

While you cannot directly control the ranking that your product or service enjoys in the
minds of your customers, you can influence how you position the product in terms of
qualities and attributes. That is, by properly positioning your product relative to your
competitors in the minds of your customers, you will have much more control over how
your brand is perceived in the marketplace. You will then effectively have a guide or map
for how to execute your branding strategy.

Effective Brand Positioning

No matter how long youve been in business, chances are good that you are engaged in
developing and promoting your brand positioning strategy. Youll invest plenty of time in
the process of evaluating your products or services in terms of market share, sales and
customer base and comparing this information to that of your competitors. Youll work to
determine how your customers perceive your business and its major offerings and use the
detailed findings to establish your business at the proper place within that all important
target market.

Your business position within the target market will determine your businesss degree of
success. If you think you can maneuver into a more profitable place, do so by adjusting
your products or services to more closely match the desired position (known as re-
positioning), or pursue strategies that change customer perception of the products and
services offered by your competitors (de-positioning).

Here are some strategic tips that can help you to be as effective as possible during your
brand positioning process:

1. Understand brand positioning as fully as you can, especially in the way that it directly
affects your business. Businesses, especially smaller ones, are very diverse in their needs

48
and offerings, and it might take quite a bit of effort to even be sure that you are
positioning yourself within the correct market. Look closely at the businesses sharing
your pool of regular customers, their purchasing patterns and the roles that your business
plays in their everyday lives.

2. Develop the most efficient method possible for gathering customer information.
Remember that youre trying to get inside their heads and back out again with an
unvarnished look at how they see your business in terms of the benefit that it provides for
them. You might consider questionnaires, phone surveys or online surveys and offer a
small bonus to compensate customers for their valuable time.

3. Determine which of your products and/or services are the most popular or powerful, so
that you can use them to build on or adjust your overall positioning strategy.
4. Rank all of your products and/or services in terms of positive customer review and in
relation to those of your competitors.

5. List the most popular group of attributes that describe your business and products from
the viewpoints of your customers and combine them to reach your ideal vectorthe
position in your target market from where your business can operate at the highest
possible level of strength.

6. Product-based businesses can complete the positioning process more easily than
service based businesses. After all, your customers can see, touch and watch
demonstrations of your products to see how they work and visualize their benefits. Here
are some hints for exploring how customers perceive your business and its services:

Create simulations, descriptions or case studies showing proven results.


Find out how customers view your services in terms of value, results and convenience.

7. Regardless of your business type, take the information about customer perception that
youve gathered, determine your top benefits and attributes and use them to determine
your current positioning and how far that point is from your ideal vector in the
marketplace.

8. Decide whether you are satisfied with the current positioning of your business, or

49
whether you need to change your strategy. Consider your target market and decide if your
business is positioned in such a manner that it maximizes every opportunity for visibility
in that market.

Finally, keep in mind that positioning can be either an active or passive process. If you
choose not to fully engage in it it will still take place. Dont give up the valuable
opportunity to monitor and influence the process and increase profitability

5 Factors of Brand Positioning

1. Brand Attributes

What the brand delivers through features and benefits to consumers.

2. Consumer Expectations

What consumers expect to receive from the brand.

3. Competitor attributes

What the other brands in the market offer through features and benefits to consumers.

4. Price

An easily quantifiable factor Your prices vs. your competitors prices.

5. Consumer perceptions

The perceived quality and value of your brand in consumers minds (i.e., does your
brand offer the cheap solution, the good value for the money solution, the high-end, high-
price tag solution, etc.?).

In order to Position a Brand

50
You must decide

Who the Target Consumer is

Who your main competitors are

How the Brand is similar to your competitors

How the Brand is different from your competitors

Where do you get this information?

Your BRAND INVENTORY!!

Brand Positioning

A good brand positioning help guide marketing strategy by clarifying the brands
essence but goals it help the consumer achieve and how it does so in a unique way.

The result of the positioning is the successful creation of a customer focused value
proposition, a cogent reason why the target market should buy the product.

Birla Corporation Ltd. (Cement Division) introduce their new product, SAMRAT, with
the value proposition of "Aajya kal majboot har pal" with PPC (Portland Pozolona
Cement) instead of OPC (Ordinary Portland Cement) main features of SAMRAT is-

Corrosion Resistant
Work ability
Sulphate resistant
Low heat of hydration
Durability
Less use of water
Seepage Resistant
Low Cracks in RCC
Fineness
Mass Concrete

51
Competitive Frame of Reference

A starting point in defining a competitive frame of reference for a brand positioning is to


determine Category Membership- the products with which a brand competes and which
function as close substitute.

Points of Parity and Point of Difference

Once the competitive frame of reference for positioning has been fixed by defining the
customer target market and nature of competition, marketers can define the appropriate
points-of-difference and point-of-parity associations.

Point-Of-Difference

POD's are attributes or benefits consumer strongly associates with a brand, positively
evaluated, and believe that they could not find the same extant with a competitive brand.
Strong, favorable and unique brand associations that make up POD.

Point-of-Parity

POP's on the other hand, are associations that are not necessarily unique to the brand but
may in fact be shared with other brands. These types of associations come in two basic
forms:

1. Category
2. Competitive

52
Category POP's are associations consumers view as essential to be a legitimate and
credible offering within a certain product or service category. Competitive POP's are
associations designed to negate competitors' points-of-difference.

Choosing POP's and POD's

POP are driven by the needs of category membership (to create categ POP's) and the
necessity of negating competitors POD's (to create competitive POP's)
These are three key consumer desirability criteria for POD's-

1. Relevance
2. Distinctiveness
3. Believability

There are three key deliverability criteria

1. Feasibility
2. Communicability
3. Sustainability
Competitive Study Among Various Cement Brands

ABOUT THE PROJECT :-


The project contains various questions. These
questions are designed to analyses the various dealer behavior towards the Best Cement
Brand in Bhilwara Project includes whole study of cement market & questionnaire. By
help of this survey we know that which cement company best according to a various
attributes of cement which company provides best sales promotion strategy, which
company media is more effective in present market which company best in quality
,color ,supply T.C.S. etc. are know by this survey.

53
Major Issue:-

The study basically draws attention towards the


perceptional attributes of the various dealer and which factor influence to dealer. Major
issue is to knowing cement market where we stand & what the reason behind lacking is &
trying to come out with best result which helpful to company growth.

About questionnaire: -

The questionnaire consists of 13 questions. All these


questions are related to know the position of different brands prevailing in the market and
dealers satisfaction level. This questionnaire is also helpful in knowing the market
potential of Bhilwara. It is also helpful in knowing where our company stands in market.

Analysis of questionnaire below: -

1. Brands available in Bhilwara district.


2. Market share of companies.
3. Brand leader in district.
4. Suggestions to increase the goodwill.
5. Effective media for advertising.
6. Brand image of Birla Cement.
7. Effectiveness of T.C.S. of Birla Cement.
8. Timely delivery of Birla Cement.

54
C HAPTER -

3
RESEARCH
55
METHODOLOGY
RESEARCH METHODOLOGY

Statement of problem:-

Objective of Research:-

The purpose of research is to discover answer to question through the application of


scientific procedures. The main aim of research is to find out the truth which is hidden &
which has not been discovered yet.

However, each research study has its own specific purpose. There are several common
objective of research as follow:-

To study the brand positioning of Birla Samrat in the market.

To compare the major cement brands in terms of Price, Preference, Quality,


Packing and Color.
To compare the advertisement strategy of the various cement brands.

Research Methodology

Project Research Type Descriptive Research

56
Data Sources Primary Data , Secondary Data
Research Approach Survey Method
Research Instrument Questionnaire
Data Analysis Logical analysis
Sampling Procedure Random Sampling
Sample Size 50 Respondents
Geographical Coverage Bhilwara
Duration of the Survey 21 Days
TABLE 3.1

C HAPTER -

4
57
ANALYSIS &
INTERPRETATIO
N
Data Analysis by taking various attributes of CEMENT & their SCORE
Total of the score given by the Respondents -:

Ultratec
Attributes Birla Samrat Ambuja h Binani J.K. Shree
Preference 266 175 189 140 184 90
Quality 252 181 214 133 192 78
Packing 235 211 215 143 190 86
Color 213 220 203 139 189 86
Availability 264 187 189 135 188 123
Price 205 194 212 130 195 114
Tech. Service 195 202 196 137 186 134
Sale Promotion 145 179 186 153 198 196
Brand Image 274 183 225 105 175 75
Advertisement 120 186 256 144 201 146
Total 2169 1918 2085 1359 1898 1128
TABLE 4.1

58
Overall rank for the Attributes only -:

Ultratec
Attributes Birla Samrat Ambuja h Binani J.K. Shree
Preference 1 4 2 5 3 6
Quality 1 4 2 5 3 6
Packing 3 2 1 5 4 6
Color 2 1 3 5 4 6
Availability 1 4 2 5 3 6
Price 2 4 1 5 3 6
Tech. Service 3 1 2 5 4 6
Sale Promotion 6 4 3 5 1 2
Brand Image 1 3 2 5 4 6
Advertisement 6 3 1 5 2 4
TABLE 4.2

Overall rank of the Companies -:

Company BIRLA AMBUJA ULTRATECH BINANI J.K SHREE


No. of Forms 17 6 8 6 7 6
st
RANK 1 3rd 2nd 5th 4th 6th
TABLE 4.3

No. of Forms of Various Companies

Company Forms
Birla Samrat 17 No. of Forms Took During Survey
Ambuja 6 60
Ultratech 8
Binani 6 50
J.K.Laxmi 7 40
Shree 6
Total 50 NUMBER 30
Forms 20
TABLE 4.4
10

0
Birla samrat Ultratech J.K.Laxmi Total Forms:
FIGURE 4.1

59
1. Preferences Collected from Various Cement Dealers

Company Pref.
Preferences
Birla Samrat 266
Ambuja 175 FIGURE 4.2
Ultratech 189
300
Binani 140
J.K.Laxmi 184 250
Shree 90 200
TABLE4.5
150
100
50
0
Birla Ambuja Ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
Preference to Birla Samrat, 2nd Ultratech, 3rd J.K Laxmi, 4th Ambuja, 5th Binani &
lastly Shree Cement.

2. Quality Collected From Various Cement Dealers

Company Quality
Quality
Birla Samrat 252
Ambuja 181 FIRURE 4.3
Ultratech 214
300
Binani 133
J.K.Laxmi 192 250
Shree 78
TABLE 4.6 200

150

100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

60
Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Quality to Birla Smrat,2nd Ultratech,3rd J.K.Laxmi,4th Ambuja,5th Binani
and Lastly Shree Cement.

3. Packing Quality Collected From Various Cement Dealers

Company Packing
Quality Packing Quality
Birla Samrat 235 FIGURE 4.4
Ambuja 211
250
Ultratech 215
Binani 143 200
J.K.Laxmi 190
150
Shree 86
TABLE 4.7 100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Packing Quality to Birla Samrat,2nd Ultratech,3rd Ambuja,4th J.K.
Laxmi,5th Binani and Lastly Shree Cement.

4. Colour Collected From Various Cement Dealers

Company Color
Color
Birla Samrat 213
Ambuja 220 FIGURE 4.5
Ultratech 203
250
Binani 139
J.K.Laxmi 189 200
Shree 86
TABLE 4.8 150

100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

61
Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Colour to Birla Samrat,2nd Ambuja,3rd Ultratech,4th J.K. Laxmi,5th Binani
and Lastly Shree Cement.

5. Availability Collected From Various Cement Dealers

Company Availabilit
y Availability
Birla 264 FIGURE 4.6
Samrat
300
Ambuja 187
Ultratech 189 250
Binani 135
200
J.K.Laxmi 188
Shree 123 150
TABLE 4.9
100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 st
choice for Availability to Birla Samrat, 2 nd Ultratech, 3rd J.K. Laxmi, 4th Ambuja, 5th
Binani and Lastly Shree Cement.

6. Price Collected From Various Cement Dealers

62
Company Price
Price
Birla Samrat 205
Ambuja 194 FIGURE 4.7
Ultratech 212
250
Binani 130
J.K.Laxmi 195 200
Shree 114
TABLE 4.10 150

100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Price to Birla Samrat, 2nd Ultratech, 3rd J.K. Laxmi, 4thAmbuja, 5th
Binani and Lastly Shree Cement.

7. Technical Services Collected From Various Cement Dealers

Company Technical
Services Technical Services
Birla Samrat 195 FIGURE 4.8
Ambuja 202
250
Ultratech 196
Binani 137 200
J.K.Laxmi 186
Shree 134 150
TABLE 4.11
100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Technical Services to Birla Samrat,2 nd Ambuja,3rd Ultratech ,4th
J.K.Laxmi,5th Binani and Lastly Shree Cement.

63
8. Sales Promotion Collected From Various Cement Dealers

Company Sales
Promotion Sales Promotion
Birla Samrat 145 FIGURE 4.9
Ambuja 179
200
Ultratech 186
Binani 153
J.K.Laxmi 198 150
Shree 196
TABLE 4.12 100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Sales Promotion to Birla Samrat,2nd J.K. Laxmi,3rd Shree ,4th Ultratech,5th
Ambuja and Lastly Binani Cement.

9. Brand Name Collected From Various Cement Dealers

Company Brand
Name Brand Name
Birla Samrat 274 FIGURE 4.10
Ambuja 183
300
Ultratech 225
Binani 105 250
J.K.Laxmi 175
200
Shree 75
TABLE 4.13 150

100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

64
Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Brand Name to Birla Samrat,2nd Ultratech,3rd Ambuja ,4th J.K. Laxmi,5th
Binani and Lastly Shree Cement.

10. Advertisement Collected From Various Cement Dealers

Company Advert.
Advertisement
Birla Samrat 120
Ambuja 186 FIGURE 4.11
Ultratech 256
300
Binani 144
J.K.Laxmi 201 250
Shree 146
200
TABLE 4.14
150

100

50

0
Birla ambuja ultratech Binani J.k.laxmi Shree

Interpretation: The above survey clearly shows that most of the dealers GIVE 1 ST
choice for Advertisement to Ultratech,2nd J.K. Laxmi,3rd Ambuja ,4th Birla
Samrat,5th Shree and Lastly Binani Cement.

Total Score in Percentage Company Wise

Company Total Rank

Birla Samrat 2169 1


Ambuja 1918 3
Ultratech 2085 2
Binani 1359 5
J.K.Laxmi 1898 4
Shree 1128 6
TABLE 4.15
65
Total
FIGURE 4.12

Shree; 10%
Birla; 27%
J.K.Laxmi; 16%

Binani; 12%
Ambuja; 17%

Ultratech; 18%

Interpretation: The above survey clearly shows that lastly by collecting all the
scores from dealers, we come to know that overall position of Birla Samrat is On 1 st ,
2nd choice for go to Ultratech,3rd Ambuja,4th J.K. Laxmi ,5th Binani, and Lastly 6th is
Shree Cement.

Weighted Average Method

Meaning & Definition

A weighted average is an average that adjusts for the frequency of individual values.

The weighted mean is similar to an arithmetic mean (the most common type of average),
where instead of each of the data points contributing equally to the final average, some

66
data points contribute more than others. The notion of weighted mean plays a role in
descriptive statistics and also occurs in a more general form in several other areas of
mathematics.

If all the weights are equal, then the weighted mean is the same as the mean. While
weighted means generally behave in a similar fashion to arithmetic means, they do have a
few counter-intuitive properties, as captured for instance in Simpson's paradox.

The term weighted average usually refers to a weighted arithmetic mean, but weighted
versions of other means can also be calculated, such as the weighted geometric mean and
the weighted harmonic mean.

Formula For Calculate Weighted Average

W= WX
X

X = No. of Respondents which are given.


W= Weight Rank

Application of the Weighted Average Method

67
Rank Rank Rank Rank Rank Rank
Option Total
1 (6) 2 (5) 3 (4) 4 (3) 5 (2) 6 (1)

266 175 189 140 184 90


Preference 4105
(1596) (875) (756) (420) (368) (90)
252 181 214 133 192 78
Quality 4134
(1512) (905) (856) (399) (384) (78)
235 211 215 143 190 86
Packing 4220
(1410) (1055) (860) (429) (380) (86)
213 220 203 139 189 86
Color 4071
(1278) (1100) (812) (417) (378) (86)

Availability 264 187 189 135 188 123


4179
(1584) (935) (756) (405) (376) (123)
205 194 212 130 195 114
Price 3942
(1230) (970) (848) (390) (390) (114)

Technical 195 202 196 137 186 134 3881


Service (1170) (1010) (784) (411) (372) (134)

Sale 145 179 186 153 198 196 3560


Promotion (870) (895) (744) (459) (396) (196)

Brand Image 274 183 225 105 175 75 4199


(1644) (915) (900) (315) (350) (75)

Advertiseme 120 186 256 144 201 146 3654


nt (720) (930) (1024) (432) (402) (146)

Total 13014 9590 8340 4077 3796 1128 39945

Weighted 32.5% 23.8% 20.8% 10.2% 9.5% 2.8%

Rank 1st 2nd 3rd 4th 5th 6th

Birla Ultra T. Ambuja J.K Binani Shree


Interpretation: The above method clearly shows that while comparing all the 10
attributes most of the respondents give 1st rank to Birla Samrat, 2nd rank to

68
Ultratech, 3rd rank to Ambuja, 4th rank to J.K. Laxmi, 5th rank to Binani and Lastly
6th rank to Shree Cement.

Results after calculating the Weighted Average Method

Company Total Rank


Birla Samrat 32.5% 1
Ultratech 23.8% 3
Ambuja 20.8% 2
J.K.Laxmi 10.2% 5
Binani 9.5% 4
Shree 2.8% 6
TABLE 4.17

Total
Figure 4.13

Shree; 3%
Binani; 10%
J.K.Laxmi; 10% Birla Samrat; 33%

Ambuja; 21%

Ultratech; 24%

69
C HAPTER

5
CONCLUSIONS
& FINDINGS
70
FINDINGS & CONCLUSIONS

It can be concluded from the study through model Birla Cement has a good brand
image in the dealers mind in Bhilwara. It is not easily available on demand which places
the company at the disadvantage which compared with lack vendors. This problem which
can be improved by the strength and the distribution network of Birla Cement Works &
Supply.

Dealers are of the opinion that among all the media television is the most powerful
media followed by the hoarding and wall painting which every common man can
see. So company should have to utilize then as much as possible.

I found company is poor in providing services such as timely small deliveries


regular visits and gift items etc.

The company should focus more on sales promotion, advertisement and public
relation.

Network spread of Birla Cement is very high in Bhilwara can be this as its
strength.

If check out the satisfaction level of dealers with respect to quality of Birla
Cement then we find that 85% dealers are told that it has excellent quality. So
company can also see this as its strength compare to other brand in market.

71
Dealers opinion regarding price is Favoring Birla Samrat & Its Get 1 st rank in all
six-brand. Its price is reasonable according to quality its also satisfy the dealer.

It was found company has very good Brand Image in dealers mind. Dealers are
satisfy with the price.

It was found that company is lacking in Supply.

As far as Brand-Name is concern in Bhilwara, Company is on 1 st Rank despite of


Very popular brand like Ambuja Cement, Ultratech Cement.

72
C HAPTER

6
SUGGESTIONS
73
SUGGESTIONS

At the end, I would humbly suggest the company that if company has good
quality, more advertisement, regular contact, marketing experts dealing with
dealers in all rural and urban areas. Then company can improve their market
shares, brand loyalty and promote their sales easily.

Company should develop its R & D department as per the market requirement.

Company should increase availability by which it can increase the sale and
brand image.

For customer care Services Company should starts its concrete mobile van
facilities.

As we all know infrastructure sector is growing rapidly so company improve


supply to capture maximum market share.

Company should start its internal call centre for its valuable customers by
which they can directly interact with company experts.

Company conducts society welfare programs in rural area. So that company


creates good brand image among people.

By giving some gifts and best wishes cards to the customer that your buying
decision is very good. Company can improve sales and brand loyalty.

74
Company should organize seminars, conferences, Manson meetings and
dealers meet to promote sales quarterly.

C HAPTER

7
75
REFERENCES
CITED
REFERENCES CITED

References

76
Kotler, Philip Marketing Management published by Vikas publishing house Pvt. ltd.
New Delhi.

Kothari, C. R. Research Methodology (third edition 2007) published by new age


international (P) ltd.

CMA Magazine (Cement Manufacturers Association).

Aaker, D.A. and Shansby, J. (1982) Positioning your Product, Business Horizons, 25,
(May/June), 56-62.
Alden, D. L., Steenkamp, J. B. E. M. and Batra, R. (1999) Brand Positioning through
Advertising in Asia, North America, and Europe: The Role of Global Consumer
Culture, Journal of Marketing, 63 (January), 75-87.
Best, R.J. (2004) Market-Based Management: Strategies for Growing Customer Value
and Profitability, 3rd Edition, Upper Saddle River, NJ, Prentice-Hall, 246-267.
Bhat, S. and Reddy, S. K. (1998) Symbolic and Functional Positioning of Brands,
Journal of Consumer Marketing 15, (1), 32-43.
Blankson, C. and Kalafatis, S. P. (2001) The Development of a Consumer/Customer-
Derived Generic Typology of Positioning Strategies, Journal of Marketing
Theory and Practice, 9 (2), (Spring), 35-53.
Crawford, C. M. (1985) A New Positioning Typology, Journal of Product Innovation
Management, 4 243-253.
Domzal, T. and Unger, L. (1987) Emerging Positioning Strategies in Global Marketing,
Journal of Consumer Marketing, 4 (4), 23-40.
Hooley, G. and Saunders, J. (1993) Competitive Positioning: The Key to Market Success,
Hemel Hempstead: Prentice-Hall.
Hooley, G., Saunders, J. and Piercy, N. F. (1998) Marketing Strategy and Competitive
positioning (2nd edn), Hemel Hempstead: Prentice-Hall.
Johansson, J. K. and Thorelli, H. B. (1990) International Product Positioning, In
Thorelli, H. B. and Cavusgil, S. T. (eds.) International Marketing Strategy, New
York: Pergamon Press (3rd edn), 471-485.
Kotler, P. (2000) Marketing Management, (Millennium Ed), Upper Saddle River, NJ:
Prentice-Hall.

77
Muhlbacher, H., Dreher, A. and Gabriel-Ritter, A. (1991) MIPS-Managing Industrial
Positioning Strategies, Industrial Marketing Management, 23, 287-297.
Park, C. W., Jaworski, B. J. and McLnnes, D. (1986) Strategic Brand Concept-Image
Management, Journal of Marketing, 50 (October), 135-145.

News Papers

Times of India

Hindustan Times

Economic Times

Web Based References

http://www.birlacorporation.comhttp://www.bcw.com

http://www.birlacementworks.com

http://www.cma.com

http://www.scribd.com

http://www.amzon.com

http://www.wikipedia.com

http://www.answer.com

78
C HAPTER

8
79
ANNEXURE
Questionnaire

BRAND-POSITIONING OF BIRLA SAMRAT CHETAK CEMENT

Note :- According to your opinion please Rank 1 to 6 .


Name :-

Address:-

Telephone No:- (M)

1. For how many years you are doing this Business.

Year ...............................

2. According to your Preference rank the cement companies.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

3. Rank the cement companies according to their Quality.


80
(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

4. Which cement company has good Packing Quality?

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

5. The Color of which cement companies customer like the most.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

6. Cement of which company is always available in the market.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

7. According to Quality & Market Image the Price of which cement company do you
agree with.
(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

8. Which cement company provides Technical Services regularly?


(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

81
(C) Ultratech Cement ( ) (F) Shree Cement ( )

9. The activities of which cement company companies attract you for increasing their
Sales.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

10. Rank the cement companies on the basis of Brand Image.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

11. The Advertisement of which cement companies attract you.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

12. The cement of which company is quickly available.

(A) Birla Samrat Cement ( ) (D) Binani Cement ( )

(B) Ambuja Cement ( ) (E) J.K. Cement ( )

(C) Ultratech Cement ( ) (F) Shree Cement ( )

13. Cause of taking Dealership.


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83