Annexure-V- Cover Page for Academic Tasks

Course Code: MKT514 Course Title: Rural Marketing

Course Instructor: Dr. Syed Tabrez Hassan

Academic Task No. 02 Academic Task Title: An All-Weather Friendship

Date of Allotment: Dec 17, 2021 Date of submission: Dec 23, 2021

Student’s Roll no: A01 Student’s Reg. no: 12013378

Evaluation Parameters:

Learning Outcomes: This assignment has helped to recall the management theory

Declaration:
I declare that this Assignment is my individual work. I have not copied it from any other student’s
work or from any other source except where due acknowledgement is made explicitly in the text, nor
has any part been written for me by any other person.

Student’s Signature: Ishita Sharma

Evaluator’scomments (For Instructor’s use only)

General Observations Suggestions for Improvement Best part of assignment

Evaluator’s Signature and Date:

Marks Obtained: Max. Marks: …………………
 Table of Contents

S.No. Particulars Remarks

1. Introduction
2. Problems Identification
3. Analysis of Problems
4. Solutions
5. Links to the course
 Introduction

The Nagarjuna bunch was established by the late K. V. K. Raju, an expert technocrat, in 1973. It is one of
the quickly developing business houses in India. The gathering's resource base will cross USD S billion in
the following five years. The gathering has huge presence in the steel, fertilizers, synthetic substances and
monetary administrations areas of the country.
Nagarjuna Fertilizers and Chemicals Limited (NFCL), the lead organization is the first gas-based compost
industrial facility in Quite a while. Development started in 1988 in Kakinada in Andhra Pradesh and
business creation initiated from 1 August 1992. In 1998, it multiplied the limit of urea to 1.4 million tons.
Different organizations of the gathering offering farming arrangements are Vijayalakshmi Insecticides and
Pesticides, Nagarjuna Agrichem Ltd, Nagarjuna Agrisocial Research and Development Institute and
Nagarjuna Haifa India Ltd (Vietnam).

Within excess of 3,000 sellers more than 11 states the nation over, the office handles a turnover above Rs
8 billion for its item range involving 25-30 items. It has six advertising zones across the country, two in
Andhra Pradesh (one at Vishakhapatnam and the other at Hyderabad) and one each in West Bengal, Orissa,
Maharashtra and Karnataka.

The new logo of the gathering represents a dynamic and worth based association activating the idea of
trusteeship. The logo epitomizes the gathering's inward strength through the fundamental beliefs of
hierarchical concern, responsibility, quality and uprightness towards its investors and clients. The focal
circle represents the sun, the wellspring of prime energy of the planetary group. The five circles likewise
represent the five components of the universe and soul of coherence. The triangle rep-hates the planet Mars,
which from days of yore has represented flourishing, achievement and a bounty of energy. Subsequently,
it addresses the vertical progression of enduring energy towards the mission of the gathering.

Mission of the company: It targets turning into the main agri-input provider in the nation addressing the
farmers need of value inputs for working on their usefulness through most recent innovations and
administrations.

Range of Products:
Fertilizers: Manufactured urea (1.4 million p.a.), Traded Fertilizers (0.2 millions p.a.)
Pesticides
Seeds
Specialty Fertilizers
Other plant nutrients
 Problem Identification

Overdependence on Monsoon: Farmers in the case are highly dependent on the monsoon season for
agriculture purpose

Agriculture Marketing: They are profoundly affected by the examples of success stories of the farmers.

Red Tapism: Since farmers are reliant upon revolving credit with high interest.

Government Intervention: It seems that there is a monopoly of the government who controls the pricing
of the products.

Undue advantage of farmers: Many traders/agents resort to swindling the farmers in conspiracy with
government authorities.

Credit Collection: Company was finding it very difficult to recover the credit from the dealers.
 Analysis of Problems

• Dependency on the monsoon season make the farmers feel insecure about their production. The
general economy stays truly vulnerable against the monsoon, since helpless precipitation can
altogether diminish agriculture production.

• Farmers here are using old source of information by depending on the success stories of the farmers
rather than relying upon the limited time endeavors through advertising, sales or government or
business associations.

• Lack of knowledge about the different source of funding, they still adopt credit with higher interest
from the moneylenders and frequently pay in kind to their lenders. This show high degree of
dependability to such financiers who are generally brokers and commission specialists.

• Still, the prices are controlled by the government as there is an excise duty of around 8% on urea.
The MRP of a 50 kg urea sack is Rs. 238.50. Be that as it may, competitors have initiated value
wars and the greater part of the organizations are selling 50 kg packs at Rs. 220.

• Agent and traders, they first try to win their trust by becoming a reliable friend and then they cheat
the farmers by with the help of government officials.

• Credit facility is stretched out to dealers with an interest of 1.5 percent. Notwithstanding, assortment
of credit installments represents an issue for the organization as all things being equal, an absence
of data check is genuinely at the base of this issue.

• Also, farmers are profoundly price sensitive because of the low edges associated with agribusiness
and which is measured by the price elasticity of demand.
 Effective Solutions and strategies

• They should start focusing on high volume and high value margins to have a proper demand in the
market. Market focus ought to be on business crops as they can then propose to pay more for quality
items.

• Globalization has opened new ways for the business which has helped in the presentation of new
agri-portal like ikisan.com which talks with farmers in all dialects thus making them competitive
globally.

• Companies should provide distribution through neighborhood wholesalers so as the trust of the
farmers should not get betrayed.

• It is believed that for staying together in the long run, strategy for holding companions and winning
their blessings need be created.

• Farmers should stop the idea of buying in kind and start buying in cash to offer alluring benefits
and incentives toward the start of the period.

• They need to be taught about the usefulness of the item and its use so as they should have complete
knowledge about the products so that customers should buy based on our pitching skills.

• It is often said that truth can be stranger than fiction. Rather than zeroing in on organization
supported exhibitions, it is desirable over feature the fields of farmers who have intentionally
utilized the organization's image.

• A proper assistance needs to be provided in the promoting of produce as by assisting farmers with
offing their produce, we win their altruism as well as guarantee leeway of their obligations to the
organization.

• They should be offered specialized administrations to meet contest. Offer types of assistance to
work on cultivating rehearses, for example, innovation move and co-usable cultivating with an
arrangement
• of the farmers' serious necessities.

• A clear emphasis should be on coordinated farmer improvement. The agri-input marketing program
ought to conceive an incorporated improvement approach to serve the rancher local area than a tight
region/harvest or season-based arrangement.

• There should be development of farmers' clubs to examine their concerns and potential
arrangements.

• Also, there needs to be connection with researchers, specialists and effective farmers to learn and
take care of issues.

• They should be preparing on the appropriate utilization of data sources and farmer gear, especially
that of showering.

• An encouragement should be given so that they can show interest in return programs like field days,
farmers meets, TV/video programs.
 Links to the Course

https://store.legal.thomsonreuters.com/law-products/solutions/clear-investigation-software/skip-tracing-
collections/the-top-four-challenges-for-the-collections-industry

https://www.yourarticlelibrary.com/agriculture/rural-credit/rural-credit-in-india-problems-measures-and-
farm-loan-waiver-scheme/62868

https://economictimes.indiatimes.com/special-report/how-to-solve-the-problems-of-indias-rain-
dependent-agricultural-land/articleshow/8845170.cms?from=mdr

https://blog.pricebeam.com/4-factors-that-influence-price-sensitivity-of-customers

https://www.researchgate.net/publication/334131974_Challenges_and_changes_in_Indian_rural_credit_
market_a_review