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1.1 INTRODUCTION

In a societal structure, we have many stakeholders, one amongst them are

companies or Corporate Houses. These Corporate houses are meaningfully
contributing from their kitty which impact their internal stakeholders and also
openhandedly support societal initiatives. In India companies like TATA and Birla
are practicing the Corporate Social Responsibility (CSR) for decades, long before
CSR become a popular basis. There are many instances where corporate have
played a dominant role in addressing issues of education, health, environment and
livelihoods through their corporate social responsibility interventions across the
country. As per United Nations and the European Commission, Corporate Social
Responsibility (CSR) leads to triple bottom-line: profits, protection of environment
and fight for social justice. It is expected that Civil society, activist groups,
Government and corporate sectors should work together to create appropriate
means and avenues for the marginalized and bring them to the mainstream.

The success of CSR lies in practicing it as a core part of a company’s

development strategy. It is important for the corporate sector to identify, promote
and implement successful policies and practices that achieve triple bottom-line
results. At one end of the spectrum, CSR can be viewed simply as a collection of
good citizenship activities being engaged by various organizations. At the other
end, it can be a way of doing business that has significant impact on society. For
this latter vision to be enacted in India, it will be necessary to build CSR into a
movement. That is to say, public and private organizations will need to come
together to set standards, share best practices, jointly promote CSR, and pool
resources where useful. An alliance of interested stakeholders will be able to take
collective action to establish CSR as an integral part of doing business – this is not
a passing fad.

There are more than 1,000,000 registered companies in India out of which
less than 1percent companies are traded on the Indian Stock Exchange. A new
Trend has started in Corporate is the establishment of special committees within
the board of directors to oversee CSR activities. Groups of corporate are being
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encouraged to come together to promote CSR. In 2006, Europe created the

European Alliance for CSR. It currently consists of 70 multinational corporate
houses and 25 national partner organizations and has become a unique resource
for building capability in CSR.

Definition of CSR

The well accepted definition of CSR is not a common term; MNC’s prefers
sustainable development or sustainable business while several Indian companies
talk about responsible business or Triple P (People, Planet, and Profit). It is
important to note that Indian companies and stakeholders give a broader definition
of CSR then MNC and stakeholders.

According to the Indian Corporate: “Sustainable development implies

optimizing financial position while not depleting social and environmental aspects
and CSR implies supporting issues related to children, women and environment”.
These corporate refer in its definition of CSR to community development. In the
context of Western community, development is often seen as charity. In the Indian
context it is seen as a large responsibility of a corporate, not only by stakeholders
but also by the local Indian management. The background of this is that
stakeholders see the large western companies as capitalist islands in a developing
country. This position gives them a certain responsibility towards the community.
Most of the MNC’s leave room to their Indian daughter company to develop
initiatives in this field; sometimes they have a special fund. All kinds of initiatives
are developed by the interviewed Indian companies, many times bottom up
initiated by the employees. Nearly all leading corporate in India are involved in
corporate social responsibility (CSR) programs in areas like education, health,
livelihood creation, skill development, and empowerment of weaker sections of the
International Conference on Technology and Business Management March 28-30,
2011 society.

Notable efforts have come from the Tata Group, Infosys, Bharti
Enterprises, ITC Welcome group, Indian Oil Corporation among others. The 2010
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list of Forbes Asia’s ‘48 Heroes of Philanthropy’ contains four Indians. The 2009
list also featured four Indians. India has been named among the top ten Asian
countries paying increasing importance towards corporate social responsibility
(CSR) disclosure norms. India was ranked fourth in the list, according to social
enterprise CSR Asia's Asian Sustainability Ranking (ASR), released in October
2009.Although corporate India is involved in CSR activities, the central
government is working on a framework for quantifying the CSR initiatives of
companies to promote them further. According to Minister for Corporate Affairs, Mr
Salman Khurshid, government is developing a system of CSR credits, similar to
the system of carbon credits which are given to companies for green initiatives.
Moreover, in 2009, the government made it mandatory for all public sector oil
companies to spend 2 per cent of their net profits on corporate social
responsibility. Besides the private sector, the government is also ensuring that the
public sector companies participate actively in CSR initiatives.

The Department of Public Enterprises (DPE) has prepared guidelines for

central public sector enterprises to take up important corporate social
responsibility projects to be funded by 2-5 per cent of the company's net profits.
Today, CSR in India has gone beyond merely charity and donations, and is
approached in a more organized fashion. It has become an integral part of the
corporate strategy. Companies have CSR teams that devise specific policies,
strategies and goals for their CSR programs and set aside budgets to support
them. These programs, in many cases, are based on a clearly defined social
philosophy or are closely aligned with the companies’ business expertise. A
handful corporate houses are dedicated and practicing the CSR as they are
dictated by the very basis of their existence. It is observed that many companies
are promoting their CSR activities and uses it as a tool for Marketing. This denotes
that the companies are far from perfect as the emphasis is not on social good but
rather as a promotion policy.
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1.2 OBJECTIVES

 To study about the Corporate Social Responsibility activities of Eastern

Condiments Private Limited
 To study about the awareness and benefits of CSR activities provided by
Eastern Condiments Private Limited among the customers in Adimali,
(Idukki district) Kerala
 To analyze the impact of CSR activities in purchasing decision of
customers
 To give suggestions to improve the effectiveness of CSR
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1.3 SCOPE OF THE STUDY

The study is intended to attain the first hand experience on “ the impact of
corporate social responsibility on customer purchase decisions -special reference
to eastern condiments private limited, Adimali, Kerala”. The study is conducted in
central Kerala, mainly in Adimali among customers.

The corporate social responsibility (CSR) movement continues to thrive and

brands are slowly but surely shifting their focus to broader and deeper issues
surrounding sustainability, accountability and governance concerns. Companies
are taking more efforts in the socially responsible activities than before. Society
also expects certain kind of actions from the corporate in this regard. But still we
can’t say every company is active in CSR activities. Some of them provide certain
CSR activities only because of the legal implications and many others act in order
to create a fake image. Even though, the importance of corporate social
responsibility is increasing.

This is the relevance of my study. I selected this topic to provide the people
and companies, a basic knowledge about the CSR activities and also to find out
the ways to improve the performance of Eastern. In this project I tried to study the
impact of CSR on sales of Eastern condiments Pvt. Ltd. This report will be
beneficial for Eastern as well as other companies providing CSR activities.
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1.4 REVIEW OF LITERARATURE

Review of literature is a search for existing findings of previous research
studies on a particular topic. It is useful to a present researcher to know what has
happening in previous researches in particular topic.

Review of literature is helpful for the researcher for the following ways,

 To broaden the perspective about the research work.

 To gain new and varied ideas.
 To acquire more knowledge along with the direct experience.
 To know the current issues with respect to research area.
 To spot the area which have not been covered.

Riya Maitra (June 2011) presented her view in her article Corporate
Social Responsibility –As a Business Strategy in Indian Context. The
business organizations have been always seen as profit-making bodies who tend
to derive maximum benefits from its operating environment while contributing only
lip-service to social responsibilities, but during the past few decades due to
unprecedented changes in the global front, companies are taking up their social
responsibilities seriously which led to metamorphosis of this otherwise theoretical
concept into a viable practical approach in Indian market scenario. The article
aims to explore the need of CSR and how it can be used as a core business
strategy enabling corporate to do good and ethical business in Indian market.

M.V.Suprabha Menon (December 2005) presented his view in his article

Corporate Social Responsibility – Trends and Challenges. The paper explores
the origin, practice, growing relevance and future of Corporate Social
Responsibility (CSR). Economic liberalization, globalization of markets and
instantaneous spread of information have opened up opportunities for private
enterprise that have generated and accumulated wealth. Exploitation and improper
approaches have earned adverse attention of stakeholder and public. Companies
(including Indian) have been propelled voluntary means or through public pressure
or enactment of legislations.
Sustainable CSR requires careful planning and integration with the organization’s
major business venture. Companies can survive only when their actions are
sanctioned and accepted by the society. Apart financial measures like profits and
achievements in technical/ service parameters, investment in innovation,
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Corporate Social Responsibility measures have also become key performance

indicators of corporate success. Success can be made sustainable by integrating
CSR with business strategy.

Fortunato John A (November 2011) presented his view in his study

Confronting Obesity: A Case Study of the Corporate Social Responsibility of
McDonald’s. Engaging corporate social responsibility activities is considered by
many as a necessity for any company. The necessity is heightened when a
company has to deal with the usage of its product being thought of as behavior
risk. Such is the situation for a company in the fast food industry. The article
examines how McDonald’s, a leading global food service provider, implements and
communicates its Corporate Social Responsibility initiatives to specifically address
the societal concern of obesity. The Article details how Mc Donald’s tactics closely
align with the strategies that the scholarly literature provides for an effective
Corporate Social Responsibility initiative.
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1.5 RESEARCH METHODOLOGY

Research methodology is the backbone of the research work; it is the way
to systematically solve the research problem. It may be understood as a science of
studying how research systematically solves the research problem and how
research done scientifically. In this study, the researcher studies various steps that
are generally adopted in studying his research problem along with the logic behind
them. In methodology, the researcher discusses the aim, objective, selection of
area, sample design, data, tabulation and analysis, tool used to analyze data,
period of study and limitation of study.

Research methodology is a way to systematically solve the research

problem. The researcher must examine all the available literature to get good
solution for the problem. It includes the overall design, the data collection
methods, the sampling procedures and the analysis procedure .The research
design is a basic plan, which guides the data collection and analysis of the phases
of the project. Data will be collected from primary and secondary sources. The
primary sources will be the employees and customers. Secondary sources will be
the company documents and the internet.

Having identified the variables in a problem situation, we have to design

research in a way that the requisite data can be gathered and analyzed to arrive at
a solution.

Research Design

The study is designed as descriptive one based on the survey method. Both
primary and secondary data have been used for the study. A survey literature is
undertaken familiarize the researcher with the various aspects of the study, to
evolve appropriate methodology and to formulate a conceptual framework for the
study.

A descriptive research uses set of scientific methods and procedures to

collect raw data and create data structures that describe the existing
characteristics of a defined target population or, market structure.
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Sampling Technique

The research use convenience sampling technique for selecting the

respondents.

Sample Size

A sample of 150 was selected at random from various areas of Adimali,

Idukki district to cover all types of consumers in the sample.

Sample Elements

The sample element will consist of people who come in to the major retailing
shops to purchase Eastern condiments at Idukki district.

Data Collection

Data collection from secondary sources: The secondary data have been
obtained from annual reports, manuals and other published documents of the
company. Besides, information has also been collected from various books and
journals and websites, connected with subject.

Data collection from Primary sources : Primary data are those collected for
first time for a particular purpose and then originated in character. For collecting
primary data direct personal investigation is made using structured questionnaire.

TOOLS USED FOR ANALYSIS

Percentage Analysis
Percentage analysis is used for the analysis of primary data collected
from the sample. In this analysis the various kinds of research are summed
separately and the percentage of responses by the respondents in that category is
found out by dividing the summed value by the total respondents

Percentage Analysis Formula

Percentage = (No. Of Respondents) 100/Total Population

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STATISTICAL TOOLS:
Appropriate statistical techniques are used to supplement the analysis
and data interpretation. Statistical techniques like chi-square test applied with the
help of SSPS (statistical package tool for social science).

Chi-Square Test
Chi-square test is one of the simplest and most widely used non
parametric tests in statistical work. The chi-square test was first used by Karl
Pearson In the year 1900. The quality chi-square describes the magnitude of the
magnitude of the difference between theory and observation.

A test that statistically determines significance in the analysis or

frequency distribution. A non-parametric chi- square test is one which can be
determining if categories data shows dependency or the two classifications are
independent.

The chi-square value can be calculated from the following formula

X2= SUM (Oij – Eij) 2 / Eij

Oij = Observed frequency of the cell in ith row and jth column

Eij = Expected frequency of the cell in the ith row and jth column

Eij = row total of that row of the cell * column total for that column of the cell grand
total

Karl Pearson’s correlation coefficient

Karl Pearson’s correlation coefficient measures quantitatively the extent to
which two variables x and y are correlated for a set of n pairs of values of x and y.
Karl Pearson’s correlation coefficient ‘r’ is,

r=
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1.6 LIMITATIONS OF THE STUDY

The following factors are limitation for the study

1. The area of research was very wide and lack of sufficient time and money.
The time required to conduct a detailed research was limited. The project
takes a period of 3 months only.
2. Due to external bias, sometimes the data obtained from respondents
may not be accurate
3. Respondent’s attitude may change in time. This is based on primary
data, so that the consumers may differ in their opinion in future.
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1.7 INDUSTRY PROFILE

Spice, aromatic vegetable product used as a flavoring or condiment,
normally refers to the derivatives from certain herbs like seeds, leaves bark, roots
etc. they are used mainly for enhancing taste of the food. In addition to it, spices
have some commercial uses too. For example, they are used as ingredients for
medicines, perfumes, incense, soaps, etc.

The spice trading is a commercial activity of ancient origin which involved

the merchandising of spices, incense, herbs, drug, opium, etc. Trading of spices
was prevalent in India from the time of civilization. India has traditionally been
known for its spice and culinary herb production.

Spice Industry Overview

Spice industry has been witnessing phenomenal growth rate both in the
international and domestic sector. The growth in this sector can be attributed to the
change in the lifestyle patterns of the consumers all over the world. The shift in the
trend of consumption towards natural products has also contributed to the
increased global demand of spices and culinary herbs. The market of spices and
derivatives is booming because, these products find immense application in a
number of industries including that of pharmaceutical, medicine, beverages, food
processing, personal hygiene products to name a few. Developing countries
especially in the Asian continent are the major producers of variety of spices. A
large percentage of international and domestic trade takes place in the dried form.
India, Indonesia, China, are few of the prime producers of a variety of high quality
spices and also expanding though the production areas cover a wild area. India is
one of the prime producer and supplier of raw herbs to USA and the EU. This is a
labor intensive industry and therefore producers ought to have a sound knowledge
of the techniques and processes involved in the production of herbs and spices.

The global spice and culinary herbs industry comprises of many plant
having diverse end users including culinary, medicinal etc. The industry also
consists of spice derivatives like essential oils, oleoresin, and spice oils etc.
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According to International trade estimates about 85% of spices and culinary

herbs are traded in dried form. These spices are cleaned and used in a crude form
without any further processing.

The world production and processing centers of spices and culinary herbs
remain concentrated in Europe and in a number of Asian countries. Canada is
fast emerging as one of the leading players in the international spices and herb
industry. There are certain countries acting as leading producers and traders of
some particular spices and culinary herbs. For example India is popularly known
for being a source of cloves, Indonesia has supplied the global market with
cinnamon and nutmeg and China has been the leading providers of ginger.

An Overview of the Indian Spices Market

India has traditionally been known for its spice and culinary herb production.
It not only produces variety spices, it ranks well in the consumption too. Its
strategic location, climate conditions, advanced production processes and
availability of cheap labor makes it advantageous for the producers to ensure large
scale production of quality spices and herbs. India has made a dent on the
production of spices that are widely used in industries like pharmaceutical,
neutraceuticals, perfumery, toiletry and cosmetics.

The Indian spice industry is booming with a substantial increase in exports

over the past few years. India accounts for nearly 45% and 30% in terms of
volume and value in the world spice trade.

The booming global spice market also poses good opportunities for the
Indian spice industry to provide quality spice at competitive prices. India faces stiff
competition from China, Malaysia and Pakistan in terms of pricing of the
production. Manufactures should therefore ensure consistency supply, product
quality, pricing and marketing strategy to increase the share in exports.

Producers are incorporating latest method and technologies to ensure

higher quality of spices and herbs. India is one of the prime exporters of pepper,
chilly, turmeric, seed spices and spice derivatives to the rest of the world. USA,
EU, Japan and Sri Lanka import these Indian spices in large volumes.
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Spice derivatives can be categorized into spice oil, oleoresins and essential
oils. The demand for spice derivatives is also increasing due to the hygiene,
standardization and consistency factor. India contributes nearly 70% to the world
spice derivative market. It exports largely to the US, EU.etc. Indian southern states
including Kerala, Karnataka and Tamilnadu provide concentrated oils and
oleoresins for use in perfumery, pharmaceuticals, foods processing and industrial
chemical industry.

Indian government is providing finance assistance to farmers, growers and

spice producers and has also taken certain steps to ensure the availability of
better quality spices, more hygienically processed spices in order to boost exports.
Indian spice board also provides financial and technical assistance to farmers.

Among the Indian Federal states, Kerala tops in pepper (96 percent),
Cardamom (53 percent), Ginger (25 per cent) production in the country. Andhra
Pradesh leads in Chilly and Turmeric production in the country with 49 per cent
and 57 per cent. In coriander, cumin and fenugreek production in the country,
Rajasthan emerges as the largest producer with 63 per cent, 56 per cent and 87
per cent. The world spice trade is estimated at US$ 1.5-2 billion in terms of value
and 500,000tonnes in terms of quantity.

State Scenario

Kerala is known as the best in the world in this spices industries. Indian
spices offer all that an international government looks for in the fire foods. The
most popular among the spices are the pepper, cardamom, chilly and ginger.
Pepper is known as the king of spices. Perhaps the world’s oldest known spices
and is cultivated in over 15800 hectors in Kerala, which accounts for 96 percent of
total population of the country. Even in such a situation, there are few who
skimmed against tide and to make a position in the international market of the
packaged spices.

Growth of Spices Market in India and its Share

The Indian spice market has shown remarkable growth in spice and
culinary herbs exports. Indian spices manufactures are making substantial efforts
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to improve the quality of spices backed up by technological advancement in order

to tap the international market. This has become large with the advantage of
liberalization, globalization and privatization. Advanced technologies such as
carbon dioxide extraction, cry grinding, encapsulation of spice oil is being
undertaken to ensure high quality of spices and their derivatives.

The Indian spice industry is booming with a substantial increase in exports

since 1990’s. India accounts for nearly 30% in terms of value in the world spice
trade. The booming global spice market also poses excellent opportunities for the
Indian spice industry to provide quality spices at competitive prices. India faces
stiff competition from China, Malaysia and Pakistan in terms of pricing of the
products. Manufactures should therefore ensure consistency in supply, product
quality, pricing ensuring security of product marketing strategy to increase the
share in exports

Producers are incorporating latest methods and technologies to ensure

higher quality of spices and herbs. India is one of the prime exporters of pepper,
chillies, turmeric, seed spices and spice derivatives to the rest of the world. USA,
EU, Japan, and Srilanka import these Indian spices in large volumes.

At present India produce around 2.5 million tones of different spice valued
at approximately 3 million US dollar, and hold the premier position in the world.
Because of the varying climate suitable for the spice cultivation almost all spices
are grown in this country. In almost all spices are grown in this country. In almost
all the 28 states and six union territories of India, at least one spice is grown in
abundance. No country in the world produces as much variety of spices as India.

Exports of Spices from India

India can now boast as the monopoly supplier of spice oils and oleoresins
the world over. In the case of curry powders, spice powders, spice mixtures and
spices in consumer packs, India is in a formidable position. The consistent effort of
the Board during the last one decade has improved the share of the value added
products in the export basket to 60%.
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Key Industrial Trends

 There has been a substantial increase in use of fresh herbs and spices
owing to an increased demand in the hotel industry.
 Change of consumers towards leading a healthy lifestyle has increased the
use of herbs/natural spices for natural flavorings.
 Use of spice derivatives like essential oils are being widely used
internationally in food and beverage industries for flavorings and
fragrances.
 The global demand of spice has increased due to :-
 Increase in demand and consumption of ethnic food.
 Introduction of flavored coffee, tea and aerated drinks in the
beverage industry.
 A sharp growth in the processed food consumption.
 Increase in the demand for natural fragrances for various health
therapies.
The major applications of spices & Derivatives,
 Food flavoring
 Food preservation
 Personal Hygiene products
 Aromatherapy
 Feeds
 Pharmaceuticals
 Industrial chemicals
 Beverages

Initiatives of Government of India

Indian government is providing financial assistance to farmers, growers and

spice producers and has also taken certain steps to ensure the availability of
better quality spices, more hygienically processed spices in order to boost exports,
Indian spices board also provides financial and technical assistance to farmers.
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1.8 COMPANY PROFILE

HISTORY & GROWTH OF THE ORGANISATION

Eastern Condiments is one of the leading brands in South India. In 1983 a

common man in Adimali, a hilly area in Kerala started a Small scale business which is
now named as Eastern Condiments. It is Mr. M.E. Meeran who started the small scale
business and developed it to a large scale business with a strong vision of providing
quality products to common man at reasonable prices. Mr. Meeran started his career as
a whole sale business man in Adimali and with that experience, he started Eastern. That
initiative and hard work is molded the present successful brand name in Spice industry
“Eastern Condiments Pvt Ltd”.

Eastern started manufacturing spice powders with understanding of the scope

and unavoidability of the spices in Indian food culture. It was one of historical movement
as it is now a pioneer firm which operates in the Spices industry. Eastern started its
operation with Coffee powder and Spices. Gradually the company developed its own
production techniques and started the production of blended curry powders, Masala
powders and Pickle powder. All those products made drastic changes in the south Indian
taste concepts and has built new possibilities in instant cooking concepts.

Eastern follows a direct sale method from its inception. This creates a direct
relation with the retailer and also helps them to understand the market pulse. Today
Eastern supply its products all over Kerala and to almost all the major retailing centers in
Tamilnadu and Karnataka through direct supply system. Eastern started their operation
with strength of 15 employees and now the employee strength is around 4000. The
company runs now with a turnover of Rs.503 Cr with respect to the previous year and
their target for next 2 year is going to be 2000 Cr rupees. Rs.90 Cr out of the total earning
comes from Export with a growth rate of 20%.

Kochi is an important platform for Eastern as their corporate office is situated in

there. Today Eastern Condiments Pvt Ltd is a subsidiary of the successfully diversified
Eastern Group. Eastern Condiments have its own manufacturing units in Adimali (Kerala),
Theni (Tamil nadu) Gundur (Karnataka), Gaziabad (UP) and an export division at
Kothamangalam (Kerala) and is an ISO certified company. By keeping quality as their
primary objective Eastern Condiments has achieved ISO 9001:2003 and ISO22000:2007.

Mr. M.E.Meeran was the founder chairman. The present chairman is Mr. Navas Meeran
and he leads the director board with the support of other members, Mrs. Nabeesa
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Meeran, Mr.S.M.Muhammad, Mr. M.E.Muhammad, and Mr. Firoz Meeran. The company
follows chairman’s policy in their entire working environment i.e., ‘40% skill and 60%
commitment’. All the workers follow this policy with one heart and one soul and it is the
major element behind the success of Eastern.

Eastern tries to keep all their operations in an environmentally friendly manner as

possible. For this, the company tries to maintain an Eco-friendly production process by
using coconut shell as a raw material for generating power for various production
processes. Also the company has plans to build wind energy system in Tamilnadu and
Kerala for producing electricity with the view of promoting maximum use of renewable
energy sources. Inside the office also they follow Eco-friendly practices like recycling of
waste papers etc.

VISION

 To be the preferred provider of products and services of outstanding

value, satisfying the basic needs of the mass market through the
adoption of globally acceptable standards and continuous innovation.
 To be the preferred employer in the industries we are in, by providing
a challenging work environment and adding value to our people
through exposure and shared learning.
 To be the preferred business partner of all our stake holders, by
providing them with exemplary benefits and shared growth.

MISSION

 To provide good quality goods to the present and prospective

customers so that company can prosper more.
 To have continuous availability of products of Eastern so that there
shall not be any shortage of goods in the market.
 To give the ‘customers delight’ that is giving more than what is
expected by the customer.
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OBJECTIVE

“Winning the trust of the customer through commitment to quality at the

right price in all our products.”

MILESTONES

The different phases of development since inception of the company:-

1978-83: Birth of Eastern Trading Company and Eastern Agencies.

1983-86: Birth of Eastern Coffee and Curry Powder.

Company get support of KSFE and with that planned to sell 2000kg.

With the support of James Engineering Company, install “Impex Pulverizer” first
in Kerala.

1983-84 company get Small Scale Industry registration.

1984: 17-09-1984 Eastern Coffee and Curry powder is started with 15 employee
strength.

1986: between 1983 and 1986 the company marked initial growth with the
products like Chilly, Turmeric, Coriander and Coffee.

1986-91: Plant expansion

In this period company started the production of blended curry powders, Masala
powders like Meat, Sambar, Rasam and Pickle. During this period the company
also started new sales agencies with expanded distribution line facilities.

In this period the company lab get Agmark approval.

1991- Birth of Eastern Condiments (P) Ltd.

This period company incorporated and also achieved 100000 kg sales with the
support of 400 workers.
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1993 – Export Era started

In this period company started to export its products by getting the approval of
Spice Board of India. Gulf countries are the first exporting area.

1994 – Birth of Eastern foods with SSI licence.

1995- Started new plant in Theni and also continues the export era with starting of
eastern spices.

1996-Eastern got best exporter award from Spices Board of India. Till this 2012 no
one can get a chance to get this achievement. (1996-2011 eastern is the best
exporter in spices)

1999- There is a labour issue is formed with the effect of political parties, with a
patient and tactical way the company solve the issue.

2000-2001- Period of Professionalization

During this period the company move its path to a professional way and for that
they form a director board. In this period the company started Adimali Agro Food
Industries and also started an export oriented production plant in Okkal.

2003-2005 – Plant expansion & unification

In period the company get ISO 9001 Certification from Bureau VERITAS Quality
International (BEVQ), (ISO 9001:2003).

In this period also takes place the amalgamation of various sections of Eastern
into Eastern Condiments,

 Spices And Exports with Eastern Condiments

 Eastern Foods, Adimali Agro Food Industries in 2005.

During this period also plant expansion is done in Rice powder plant (2003-04).

2005-2010: Sales expansion

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During this period the important change s happened that the company expanded
the sales volume by increasing the route number from 50 (2006) routes to 75
routes (2008).

In this period company get another ISO certification i.e., ISO22000:2007.

2009 company achieved 24 Lakh kg sales.

LEGAL FRAMEWORK OF THE ORGANISATION

Eastern Condiments Pvt Ltd is incorporated under THE COMPANIES ACT 1956
on 26th Feb 1991 having its registered office at P. B no:15 Eastern Valley Adimali. The
Authorized share capital of the company is Rs 35, 00,000/- divided into 3500 shares of Rs
1000 each.

MANAGEMENT

The group is managed by a team of professional and family members.

From the very beginning Mr. M.E. Meeran was the chairman and manager of the
company. Mr. Navas Meeran is the present chairman. Mr. S.M. Muhammad, Mr.
M.E. Muhammad, Mr. Firoz Meeran holds the chain of Directors and Mrs.
Nabeesa Meeran playing a key role behind the success of the Eastern Group; she
has been the principal of the Eastern Public School Adimali.

AWARDS & CERTIFICATIONS

The Track Records

Eastern curry powder is fast growing into all India markets and the
introduction of market specific new variants. The success of Eastern is a story of
hard work and commitment of quality besides bringing a good product at the right
prices to the customers.

Eastern curry powder has ventured into new markets in India and Middle
East countries. Today, Eastern curry powder is the largest exporter of spice
powders in consumer pack from India that export mainly to Middle East, UK, USA,
Australia and Germany. Presently the company is exporting 60% of its products.
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Awards of Excellence

Over and above many awards for excellence ‘Eastern’ won the prestigious
award for outstanding export performance by Spices Board ,India for 8
consecutive years from 1997-98 to 2004-05. Eastern has won so many prestigious
awards in the recent years too.

The company has got ISO 22000 and the Hazards analysis critical Control
Points (HACCP) certification form BV, a Dutch certified body. Eastern was the first
company in India to get ISO 22000.

Stringent quality control techniques has got Eastern several quality

certifications and accreditations, including the HACCP and ISO22000. Moreover,
the spices board of India has awarded Eastern for being the largest exporter of
spice powders’ in consumer packs, consecutively for 9 years.

HACCP-Certificate issued by Food Cert B V (BUREAU VERITAS)

Netherlands. HACCP means Hazards Analysis Critical Control Point and it is given
for food safety.

ISO 22000:2005-Eastern is the first company in India to get the ISO 22000
certification issued by Food Cert BV (BUREAU VERITAS) Netherlands and
accredited by RVA (Raad Voor Accreditatie), the first body in the world for food
safety accreditation.

Eastern is currently on an aggressive growth path and is in the process of

transforming itself into a highly mechanized quality conscious and IT enabled
organization.

Certifications under Process

The ECPL has initiated processes for the following certification:
NABL (National Accreditation Board for Testing and Collaboration Laboratories)
ISO 14001-environmental
EUREP GAP (a common standard for farm management practice created in the
late 1990’s by several European supermarket chains and their major suppliers)-
to assure quality of raw materials at the farm end.

Competitors
 Saras Curry Powder
 23

 Nirapara Spices
 Brahmin’s Food Products
 Grandmas Food Products
 Shakthi Masala
 Achi Masala

FUTURE SCOPE OF THE ORGANIZATION

The company has also plan to set up chilly processing plant at Guntur in
Andhra Pradesh, a coriander plant at Rajasthan, and export unit at
Kothamangalam. The project in these areas is in different stages of planning and
implementation.

Eastern condiments have clocked a turnover of Rs.200 Cr in the financial

year 2007-08. Of this 30 % of the turnover is from the export. It points out that the
total curry powder market in India is estimated at Rs.1000 Cr and of which, 20% is
the share of the organized segment

In Kerala, the market is estimated at 300 Cr and the company got 70%
share in the market. Besides the spices and condiments, the Eastern Group also
has the business interest in the rubber retreading, mattresses, readymade
garments, and also the packaged drinking water. The group with a turnover of
Rs.503 Cr is aiming to achieve Rs.2000Cr by 2012.

OTHER BUSINESS ESTABLISHMENTS OF EASTERN GROUP

OF COMPANIES

Eastern has ventured into various areas like Procured tread, Mattresses,
Garments, Packaged foods, Mineral water, Retreads, Public school and has many
more projects in its vision. By close watching all of this the company move in a
success with diversified business, one business is entirely differ from another and
by this we can measure the attitude and management strength in business
management.

EASTERN MATTRESSES PVT LTD.

Sunidra Rubberized Coir Mattress

 24

Eastern Mattresses Pvt. Ltd. was set up in 1999 to manufacture rubberized coir
mattresses with a state of the art factory in Thodupuzha, the company
manufacturer The Company is an ISO 9001-2000 certified company and produces
world class mattresses.

EASTERN AQUA MINERALS

Eastern Aqua Mineral, a recently launched company was set up in the year
2000, entered the area of packaged drinking water with a state of the art plant
located in Kalady, Kerala. Eastern packaged drinking water is all set to quench the
thirst of millions of the people with mineral water of highest purity standards, high
quality with Control 12 8B testing facilities and export supervision ensures a quality
product of international standards.

EASTERN PUBLIC SCHOOL

The Eastern group entered the area of education with the setting up of the
Eastern NEWTONS Public School at Adimali, Idukki dist; Kerala. Eastern Public
School ensures high quality education from kinder garden to primary levels with
C.B.S.E syllabus providing all the residential facilities and highly trained faculties
to the thousands of families residing the hills of Idukki district Kerala. Mrs.
Nabeesa Meeran is the principal of this esteemed institution.

EASTERN TREADS LTD.

Eastern Treads Ltd. is a public company engaged in the manufacturing of quality

procured tread, cushion, bonding gum and black vulcanizing cement. It branches
all over India and has been showing consistent high performance and growth. The
factory has annual turn over 12 crores and it is located in Oonnukal about 60 km
from Kochi has a state of the art infrastructural transport and communication
facilities.

EASTERN RETREADS PVT.LTD

 25

Eastern Retreads Pvt. Ltd. was set up in 1993 is engaged in retreading of

tires. The factory is located at Vazhakulam; Thodupuzha in Kerala is equipped with
hot and cold retreading process.

Retreads are not only cost effective but they are also dependable, reliable
and safe. Retreads are used by truckers with scheduled delivery times and small
package delivery companies with guaranteed delivery times. Retreads are also
environment friendly tyres which are basically petro-chemical products.

EASTERN CLOTHING COMPANY

King Richard, a brand of men’s wear from the Eastern clothing company
was set up in 1999 is yet another foray of Eastern into the world of men’s wear. It
includes all the new trends of colour combinations, designs, fashions of shirts and
trousers with a view to meet the aspiration of the working class with a quality ready
wear at reasonable price in international styles.

EASTEA

In recent time the company launched a new product ‘East Tea’ from its
product line. “Taste and Strength in every sip”, Eastea - Premium blended tea,
from Eastern has just entered the market with its signature promise of taste and
strength.

PRODUCT PROFILE

India is considered to be the home of spices. Spices play a very vital role in
our national economy. The purity and freshness of Indian spices and spice
powders has made it a favourite in India and all over the world. Spices are used in
many countries as flavouring agents. They improve the flavour and acceptability of
cooked food and make them more delicious. Eastern Condiments Pvt. Ltd. has
varieties of spices, curry powders and pickles in its product mix. The purity and
freshness of Eastern curry powders has made Eastern a household name and it
grew to be a leading brand in Kerala.
 26

Eastern curry powders popularly known as ‘Strong Masala’ are processed

using the unique flavour-lock technique. The best quality spices are powdered
under stringent temperature control, using micro pulverisers ensuring that the
precious volatile oils that give the flavour to the spice are preserved. Eastern curry
powders are so pure and fresh so that use just half as much as any other for
excellent taste.

Eastern curry powders export to various countries like Middle East, U.K,
U.S.A, Australia and Germany. Eastern has grown into a favourite in Indian home
across the world. Excellent quality and right pricing has become the winning
formulae of the Eastern Group. Eastern curry powder is fast growing into an all
India brand with its entry into new markets and the introduction of market specific
new variants.

EASTERN CONDIMENTS PRODUCT PROFILE

Eastern Condiments Pvt. Ltd. has different varieties of spices, curry powders,
blended curry powders-Masala, instant pickle powders and pickles. The
company’s pickle market is mainly concentrated in exporting. The different
categories of products are as follows,

SPICE POWDERS

 Chilly Powder
 Turmeric powder
 Kashmeri chilly powder
 Coriander powder
 Big Geera Masala
 Pepper Powder
 Dry ginger powder
 Methi powder
 Cumin seed Masala

BLENDED CURRY POWDERS

 Rasam Powder
 Sambar Powder
 27

 Pickle Powder
 Fish Powder
 Chicken Masala
 Meat Masala
 Biriyani Masala
 Kahab Masala
 Gharam Masala
 Tandoori Masala
 Egg Curry Masala
 Pav Masala
 Kulambu Masala
 Channa Masala
 Chicken Fry Masala
 Chat Masala

PICKLES

 Mango pickle
 Ginger pickle
 Garlic pickle
 Lemon pickle
 Dates pickle
 Prawns pickle
 Mixed Vegetable pickle
 Gooseberry pickle
 Pineapple pickle
 Carrot pickle
 Fish pickle
 Beetroot pickle

BEVERAGES
 Coffee powder(Adimali Kappi)
 Eastea(Tea)
 Eastern Chukku Kappi
 Eastern Drinking Water

RICE PRODUCTS

 Rice powder
 Puttu podi
 Appam podi
 Idly podi
 Idiyapam podi
 Dosa podi
 Chemba puttu podi
 Pathiri podi
28
 29

TABLE NO. 2.1 AGE OF THE RESPONDENTS

No. of respondents Percentage (%)

Category
below 30 years 34 23
30-40 50 33
41-50 39 26
above 50 years 27 18
Total 150 100

Source: Primary data

CHART NO. 2.1

INFERENCE
The above table shows that 33% respondents are from the age group of 30-40.
26% respondents are from 41-50 years. 23% of the respondents come under the
age group of below 30 years.
 30

TABLE NO. 2.2 GENDER OF THE RESPONDENTS

No. of respondents Percentage

Category
male 116 77

female 34 23

Total 150 100

Source: Primary data

CHART NO. 2.2

INFERENCE
The above table shows that 77% of the respondents are male. Female
respondents accounts to 23%.
 31

TABLE NO. 2.3 QUALIFICATION OF THE RESPONDENTS

Category No. of respondents Percentage

SSLC 76 51
UG 49 33
PG 11 7
OTHERS 14 9
Total 150 100
Source: Primary data

CHART NO. 2.3

INFERENCE
The above table shows that 51% of the respondents are having the basic
education i.e., SSLC. 33% respondents having under graduate degree.7%
respondents completed their post graduation.9% have some other educational
qualifications.
 32

TABLE NO.2.4 ANNUAL INCOME OF THE RESPONDENTS

No. of Percentage
Category respondents
below 30000 29 19
30001-50000 27 18
50001-70000 36 24
above 70000 58 39
Total 150 100
Source: Primary data

CHART NO.2.4

INFERENCE
Majority (39%) of the respondents are having annual income more than 70000.
24% respondents are having the annual income between 50001-70000. People
having annual income 30001-50000 and below 30000 are 18% and 19%
respectively.
 33

TABLE NO.2.5 IMPORTANCE TO COMPANIES THAT PROVIDING

CSR ACTIVITIES WHILE MAKING PURCHASE

Category No. of Respondents Percentage (%)

Yes 89 59
No 61 41
Total 150 100
Source: Primary data

CHART NO.2.5

INFERENCE
The above table and chart shows that 59%of respondents are giving importance to
companies that are providing CSR activities to the society while making purchase
decision. Remaining 41% respondents are not considering this factor.
 34

TABLE NO.2.6 EVERY COMPANY HAVE TO PERFORM SOME

OBLIGATIONS TO PUBLIC

Category No. of Respondents Percentage (%)

Yes 124 83
No 26 17
Total 150 100
Source: Primary data

CHART NO.2.6

INFERENCE
The above table shows that 83%of respondents are of the thought that, every
company has certain obligations to the public. 17% people not supporting this
idea.
 35

TABLE NO.2.7 REGULAR CUSTOMER OF EASTERN GROUP

PRODUCTS

Category No. of respondents Percentage (%)

Yes 110 73%
No 40 27%
Total 150 100
Source: Primary data

CHART NO.2.7

INFERENCE
73% of the respondents are regular customers of Eastern group products. 27% of
them are not regular customers.
 36

TABLE NO.2.8 REASON FOR CHOOSING EASTERN PRODUCTS

Category No. of Respondents Percentage (%)

Good quality 62 41
Fair price 8 5
Good brand image 19 13
CSR 24 16
Public opinion 26 17
Advertisement 8 5
Others 3 2
Total 150 100
Source: Primary data

CHART NO. 2.8

INFERENCE

Majority of respondents (41%) choose Eastern products because of its good

quality. 17% respondents choose Eastern because of good public opinion about its
products. Good brand image and socially responsible activities are other major
factors which affects the customers.
 37

TABLE NO.2.9 AWARENESS ABOUT CSR PRACTICES OF

EASTERN

Category No. of Respondents Percentage (%)

Yes 136 91

No 14 9

Total 150 100

Source: Primary data

CHART NO.2.9

INFERENCE

90%of respondents heard about CSR activities of Eastern. Only 10% are not
aware about the activities.
 38

TABLE NO. 2.10 AWARENESS ABOUT DIFFERENT CSR

ACTIVITIES OF EASTERN
Category No. of Respondents Percentage (%)
School& college 118 79%
Sponsorship 34 23%
Scholarship 12 8%
Medical camp 4 3%
Free medicines 4 3%
Ambulance 32 21%
Wind farm 53 35%
Tree planting 6 4%
Effluent treatment 12 8%
plant
Solar energy 13 9%
production
Plastic awareness 22 15%
programs
Women 97 65%
empowerment
Wide employment 89 59%
Source: Primary data

CHART NO.2.10

INFERENCE
Majority of respondents (79%) know about the school. Women empowerment
(65%) and wide employment (59%) are the other activities that most of the
respondents are aware about. 35% of them know about wind farms of Eastern and
21% about ambulance facility
 39

TABLE NO.2.11 PERSONALLY EXPERIENCED CSR ACTIVITIES

OF EASTERN

Category No. Of Respondents Percentage (%)

Yes 49 33
No 101 67
Total 150 100
Source: Primary data

CHART NO.2.11

INFERENCE

Out of 150 respondents 101 (67%) personally experienced at least one of the CSR
activities of Eastern. 33% of them have no personal experience in this regard.
 40

TABLE NO.2.12 BRAND IMAGE OF EASTERN INCREASES

THROUGH CSR ACTIVITIES

Category No. of Respondents Percentage (%)

Yes 108 72

No 42 28

Total 150 100

Source: Primary data

CHART NO. 2.12

INFERENCE
72% of the respondents think that brand image of Eastern increases through their
CSR activities. Remaining 28% are not supporting this point.
 41

TABLE NO.2.13 TRUST IN EASTERN INCREASES THROUGH CSR

ACTIVITIES

Category No. Of Respondents Percentage (%)

Yes 107 71

No 43 29

Total 150 100

Source: Primary data

CHART NO.2.13

INFERENCE
Out of 150 respondents 107 (71%) says that trust in Eastern increases through
CSR activities. 29% says no to this question.
 42

TABLE NO.2.14 RESPONDENTS WHO PREFER EASTERN ONLY

BECAUSE OF CSR ACTIVITIES

Category No. of Respondents Percentage

Yes 55 37
No 95 63
Total 150 100
Source: Primary data

CHART NO.2.14

INFERENCE
37% of the respondents prefer Eastern products only because their social welfare
activities. But 63% respondents have other reasons for choosing Eastern.
 43

TABLE NO.2 15 EXPECTATIONS OF RESPONDENTS ABOUT A

PRODUCT OTHER THAN QUALITY

Category No. of Respondents Percentage (%)

Utility 61 41
CSR 49 33
Status 9 6
Offers 20 13
Others 11 7
Total 150 100
Source: Primary data

CHART NO. 2.15

INFERENCE
41% respondents consider utility as the important factor other than quality while
making purchase. Social responsibility and social welfare activities (CSR) of
company influence 33% respondents. Offers are expected by 13% of the
respondents. Status and some other factors also affect the purchasing decision.
 44

TABLE NO.2.16 ANY OTHER ORGANISATION PROVIDING CSR

ACTIVITIES

Category No. of Respondents Percentage (%)

Yes 30 20
No 120 80
Total 150 100
Source: Primary data

CHART NO.2.16

INFERENCE
80% of the respondents say that there is no other organization providing CSR
activities in this area. 20% disagree this.
 45

TABLE NO.2.17 EASTERN PLAYS AN IMPORTANT ROLE IN THE

DEVELOPMENT OF ADIMALI

Category No. of Respondents Percentage

Yes 132 88
No 18 12
Total 150 100
Source: Primary data

CHART NO. 2.17

INFERENCE

Out of 150 respondents 132 thinks that Eastern plays an important role in the
development of Adimali. It accounts for 88% of the total respondents.12% of the
respondents do not think like this.
 46

CHI-SQUARE TEST

TEST 1 - COMPARISON BETWEEN GENDER OF THE

RESPONDENTS AND THE CONCEPT EVERY COMPANY HAVE
TO PERFORM SOME OBLIGATION TO PUBLIC

Null hypothesis (H0): There is no significance difference between genders

of respondent with the respondent’s idea about company’s obligations to
public.

Alternative hypothesis (H1): There is significance difference between

genders of respondent with the respondent’s idea about company’s
obligations to public.

Gender of the respondent * Every company have to perform some

obligations to public

TABLE NO.2.18 Cross tabulation

Count Every company have to perform Total
some obligations to public
Yes No
gender of the respondent Male 94 22 116
female 30 4 34
Total 124 26 150
 47

TABLE NO.2.18.1 Chi-Square Tests

Asymp. Sig. Exact Sig. Exact Sig.
Value df
(2-sided) (2-sided) (1-sided)
Pearson Chi-Square .951 1 .329
Continuity Correction .515 1 .473
Likelihood Ratio 1.022 1 .312
Fisher's Exact Test .443 .242
Linear-by-Linear
.945 1 .331
Association
N of Valid Cases 150

INFERENCE
From the above table we get the chi-square value as 0.312

Since the calculated value is greater than tabulated value .Hence the null
hypothesis is accepted.

Thus from the above table researcher inferred that there is no significance
difference between gender of respondent and respondent’s idea about company’s
obligations to public.
 48

TEST-2 COMPARISON BETWEEN AWARENESS ABOUT CSR

PRACTICES OF EASTERN AND REASON FOR CHOOSING
EASTERN PRODUCTS

Null hypothesis (H0): There is no significant difference between awareness

about CSR practices of eastern and reason for choosing eastern products

Alternative hypothesis (H1): There is significant difference between

awareness about CSR practices of eastern and reason for choosing
eastern products

Aware about CSR practices of Eastern * Reason for choosing

Eastern products

TABLE NO.2.19 Cross tabulation

Reason for choosing Eastern products

Count Good
Other Fair Advertis brand Public Good
s price ement image CSR opinion quality Total
Aware about Yes 3 6 6 17 24 22 58 136
CSR practices No
of Eastern 0 2 2 2 0 4 4 14

Total 3 8 8 19 24 26 62 150
 49

TABLE NO.2.19.1 Chi-Square Tests

Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square 9.186 6 .163
Likelihood Ratio 10.286 6 .113
Linear-by-Linear Association 1.582 1 .208
N of Valid Cases 150

INFERENCE
Since the calculated value 0.113 is higher than the tabulated value, the null
hypothesis is accepted and alternative hypothesis is rejected.

Hence there is no significant difference between No. of people aware about CSR
practices with reason for selecting the Eastern products
 50

TEST 3 - COMPARISON BETWEEN AGE OF THE RESPONDENT

AND TRUST IN EASTERN INCREASES THROUGH CSR
ACTIVITIES

Null hypothesis (H0): There is no significance difference between Age of

the respondent and Trust in Eastern increases through CSR activities.

Alternative hypothesis (H1): There is significance difference between Age

of the respondent and Trust in Eastern increases through CSR activities

Age of the respondent * Trust in Eastern increases through CSR

activities

TABLE NO.2.20 Cross tabulation

Trust in Eastern increases
Count through CSR activities
Yes No Total
Age of the respondent below 30 years 24 10 34
30-40 35 15 50
41-50 26 13 39
above 50 years 22 5 27
Total 107 43 150
 51

TABLE NO. 2.20.1 Chi-Square Tests

Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square 1.828 3 .609
Likelihood Ratio 1.938 3 .585
Linear-by-Linear Association .471 1 .492
N of Valid Cases 150

INFERENCE
Since the calculated value 0.585 is higher than the tabulated value, the null
hypothesis is accepted and alternative hypothesis is rejected.

Hence there is no significant difference between Age of the respondent and Trust
in Eastern increases through CSR activities
 52

TEST-4 COMPARISON BETWEEN PERSONAL EXPERIENCE ON

CSR ACTIVITIES OF EASTERN AND BRAND IMAGE INCREASES
THROUGH CSR ACTIVITIES

Null hypothesis (H0): There is no significant difference between personal

experience on CSR activities of eastern and brand image increases through
CSR activities

Alternative hypothesis (H1): There is significant difference between

personal experience on CSR activities of eastern and brand image
increases through CSR activities

Personally experienced CSR activities of Eastern *

Brand image of Eastern increases through CSR
activities

TABLE NO.2.21 Cross tabulation

Brand image of Eastern increases

Count through CSR activities

Yes No Total

Personally experienced CSR Yes 41 8 49

activities of Eastern
No 67 34 101

Total 108 42 150

 53

TABLE NO.2.21.1 Chi-Square Tests

Asymp. Sig. Exact Sig. (2- Exact Sig. (1-
Value df (2-sided) sided) sided)

Pearson Chi-Square 4.919 1 .027

Continuity Correction 4.097 1 .043

Likelihood Ratio 5.239 1 .022

Fisher's Exact Test .033 .019

Linear-by-Linear
4.886 1 .027
Association

N of Valid Cases 150

INFERENCE
Since the calculated value 0.022 is less than the tabulated value, the null
hypothesis is rejected and alternative hypothesis is accepted.

Hence there is significant difference between personal experience on CSR

activities of eastern and brand image increases through CSR activities
 54

CORRELATION

TEST- 5 RELATIONSHIPS AMONG AGE OF THE RESPONDENTS

AND EXPECTATION OF RESPONDENTS ABOUT A PRODUCT
OTHER THAN QUALITY

Age of the respondent * Expectation of respondents about a

product other than quality

TABLE NO.2.22 Cross tabulation

Expectation of respondents about a product other than
quality
Count Status Others Offers CSR Utility Total
below 30
years 3 2 7 12 10 34
Age of the 30-40 3 3 9 15 20 50
respondent 41-50 2 3 2 14 18 39
above 50
years 1 3 2 8 13 27
Total 9 11 20 49 61 150

TABLE NO.2.22.1 Symmetric Measures

Asymp. Std.
Value Error Approx. Tb Approx. Sig.

Interval by Interval Pearson's R .117 .082 1.438 .152

Ordinal by Ordinal Spearman Correlation .142 .081 1.744 .083

N of Valid Cases 150

INFERENCE
Since the calculated value 0.152 is greater than the tabulated value. Thus the two
factors are positively correlated.

Hence, there is positive correlation exist between Age of the respondent and
Expectation of respondents about a product other than quality such as utility, CSR,
offers, status and others.
 55

TEST- 6 RELATIONSHIPS AMONG AGE OF THE RESPONDENTS

AND IMPORTANCE GIVEN TO COMPANIES PROVIDING CSR

Age of the respondent * Giving importance to companies

providing CSR

TABLE NO.2.23 Cross tabulation

Giving importance to
Count companies providing CSR
Yes No Total
Age of the below 30
23 11 34
respondent years
30-40 27 23 50
41-50 23 16 39
above 50
16 11 27
years
Total 89 61 150

TABLE NO.2.23.1 Symmetric Measures

Asymp. Approx. Approx.
Value Std. Error Tb Sig.
Interval by Pearson's R
.040 .080 .484 .629
Interval
Ordinal by Spearman
.041 .081 .501 .617
Ordinal Correlation
N of Valid Cases 150

INFERENCE
Since the calculated value 0.629 is greater than the tabulated value. Thus the two
factors are positively correlated.
 56

Hence, there is positive correlation exists between age of the respondent and
giving importance to companies providing CSR.
 57

TEST- 7 RELATIONSHIP AMONG GIVING IMPORTANCE TO

COMPANIES PROVIDING CSR AND REASON FOR CHOOSING
EASTERN PRODUCTS

Giving importance to companies providing CSR * Reason

for choosing Eastern products

TABLE NO.2.24 Cross tabulation

Reason for choosing Eastern products

Count Good
Othe Fair Adverti brand Public Good
rs price sement image CSR opinion quality Total
Giving Yes 1 7 3 11 24 7 36 89
importance No
to companies
providing 2 1 5 8 0 19 26 61
CSR
Total 3 8 8 19 24 26 62 150

TABLE NO.2.24.1 Symmetric Measures

Asymp. Approx. Approx.
Value Std. Error Tb Sig.
Interval by Pearson's R
.082 .082 .997 .320
Interval
Ordinal by Spearman
.084 .082 1.027 .306
Ordinal Correlation
N of Valid Cases 150

INFERENCE
Since the calculated value 0.320 is greater than the tabulated values, thus the two
factors are positively correlated. Hence, there is positive correlation exists
between importance to companies providing CSR with the reason for choosing
 58

Eastern products such as good quality, public opinion, CSR, brand image,
advertisement and other reasons.

3.1 FINDINGS

1. 59% of the respondents give much importance to the companies who are
providing CSR activities while making purchases.
2. 83% of the respondents believe that every company has certain obligations
to public.
3. Among the respondents majority (73%) of the peoples are regular customers
of Eastern group products.
4. Majority of respondents i.e., 41% choose Eastern products because of its
good quality. 17% respondents choose Eastern because of good public
opinion about their products. Good brand image (13%) and socially
responsible activities (16%) are other major factors which affects the
customers while choosing the Eastern products.
5. 90% of the respondents are aware about the CSR activities of Eastern.
6. 79% of the respondents know about the school facility provided by Eastern
group.
7. 35% know about the wind farms of Eastern.
8. 65% respondents are aware about the women empowerment activities of
Eastern.
9. 59% respondents are aware about the wide employment opportunities
provided by Eastern.
10. 23% respondents know about the sponsorship of students by the company.
11. Majority (67%) of respondents don’t have personal experience on CSR
activities of Eastern
12. 72% of the respondents think that brand image of Eastern increases through
their CSR activities.
13. Majority (71%) of the respondents says that trust in Eastern increases
through CSR activities.
14. 37% of the respondents prefer Eastern products only because their social
welfare activities. But 63% respondents have other reasons for choosing
Eastern.
 59

15. 41% respondents consider utility as the important factor other than quality
while making purchase. Social responsibility and social welfare activities
(CSR) of company influence 33% respondents. Offers are expected by 13%
of the respondents.
16. 80% of the respondents say that there is no other organization providing
CSR activities in this area.
17. Out of 150 respondents 132 (88%) thinks that Eastern plays an important
role in the development of Adimali.
18. There is no significance difference between gender of respondent and
respondent’s idea about company’s obligations to public. Thus both male
female expect that the companies should do favors for the public apart from
their work process.
19. Awareness about the CSR activities of Eastern Company didn’t make any
difference in selecting particularly the eastern product, which shows that
some other factors like quality, price availability also influences the sales.
20. Age of the respondent didn’t have any impact on increase in Eastern
Company through CSR activities.
21. There is significant difference between personal experience on CSR
activities of eastern and brand image increases through CSR activities
22. There is positive correlation exist between Age of the respondent and
Expectation of respondents about a product other than quality such as utility,
CSR, offers, status and others. Thus respondents give importance for
product attributes.
23. There is positive correlation exists between age of the respondent and
giving importance to companies providing CSR.
24. There is positive correlation exists between giving importance to companies
providing CSR with the reason for choosing Eastern products.
 60

3.2 SUGGESTIONS

 Most of the respondents expect that the company should do people welfare
activities rather than doing business alone. So Eastern Company should
continue their CSR activities to retain the present level.
 Apart from the CSR activities consumers consider about product attributes
also, so the company should concentrate on developing the product
according to the market changes.
 When compared to other factors, environmental protection activities have
less awareness among the respondents. Thus Eastern Company should try
to promote all their CSR activities that are people aware about that.
 Respondents agreed that trust towards company increases through CSR
activities. Thus improve the CSR activities which make the customers to be
loyal towards the company.
 Respondents agreed that Eastern have a significant role in the
development of Adimali, thus by improving the CSR activities, Eastern
should try to develop the other near areas also.
 From the direct observation, it is known that people expect activities like
development of higher study opportunities and a good hospital from the part
of the company.
 61

3.3 CONCLUSION

The study entitled “A study on the impact of corporate social responsibility

on customer purchase decisions -special reference to Eastern Condiments Private
Limited, Adimali, Kerala” was intended to understand the concept of CSR and the
influence of the same in the purchase decision of people. The objective of this
research is to study about the CSR activities of Eastern Condiments Private
Limited and to understand the awareness and benefits of CSR activities provided
by Eastern. Based on this reports, it is found that by means of CSR activities,
people became more loyal to the brand and also it is found that people giving
more importance for product attributes.

Thus CSR and product attributes both are vital to retain the customers.
Thus the Eastern should try to maintain the present level. If it develops further
means, it will create a unique brand image and gives more competitive advantage
for Eastern Condiments Private Limited.