MEDI-CAPS UNIVERSITY

INDORE

LIVE PROJECT REPORT

(CONTEMPRORY ISSUES IN MANAGEMENT)
ON

“BUYING AND SELLING STRATEGY OF

D’MART”

Submitted as Partial Fulfillment for

Degree of Master Business Administration
to Medi-Caps University, Indore

GUIDED BY – SUBMITTED BY –
Prof. Anupama Pardeshi MS20MS501201 Prateek Patil
MS20MS501237 Ruchi Thakur
MS20MS501218 Rahul Bhayal
MS20MS501249 Sameer Shukla
MS20MS501258 Sefali Singh
 INDEX

S. No. Particulars Page no.

Preface
1-3
Certificate by the Supervisor
Declaration by the Student
Acknowledgement
1. Introduction
4-8
1.1 Overview of the Topic
1.2 Rationale of the study
1.3 Objectives of Study
2. Review of literature
9-10
(Published related literature about the Title)
3. Research Methodology
11-13
4. Data Analysis and Interpretation
14-26
5. Swot Analysis
27-28
6. Suggestions and Conclusion
29-30
7. Limitations of the study
31-32
8. Implications / Scope of Study
33-34
9. References
35
10. Appendix (tables, graphs etc.)
36-41
 Certificate

This is to certify that the research on the “Buying and selling strategy of D-
mart” is a bonafide work carried out by Ruchi Thakur, Sefali Singh, Sameer
Shukla, Rahul Bhayal and Prateek Patil, students of MBA 2nd Semester (Batch
2020-22) of Medi-caps University, Indore under my guidance and direction.

Date: -10/06/2021 Signature

Place: Indore Name: -Prof. Anupama Pardeshi

1
 Declaration By The Student

It is hereby declared that all the facts and figures included in the dissertation
is a result of our research and investigation including formal analysis of the
entire report work and the same had not been submitted to any examination
of this institute.

Signature of students:
Sefali Singh (MS20MS501258)
Rahul Bhayal (MS20MS501218)
Ruchi Thakur (MS20MS501237)
Sameer Shukla (MS20MS501249)
Prateek Patil (MS20MS501201)

2
 Acknowledgement

It is indeed a great pleasure and proud privilege to present this project

work.
We thank our project guide and class coordinator Prof. Anupama Pardeshi
for the guidance co-operation in completion of the project. Without her
help and suggestion at each stage of the project, this report could not have
reached to its present form.
Lastly, we would like to thank all the staff members of the D-mart for their
support and the answers which they have given to us regarding the project.

3
4
 Introduction

1.1 Overview of the topic:

The Indian retail industry is emerging as one of the most dynamic and
growing industries due to the market size and economic power. Indian retail
industry is under transition today, bringing a lot of transformations in
retailing business. The shoppers enjoy the privilege of shopping the goods
and services required by them in a variety of formats to meet their
expectations.

D-Mart is a chain of hypermarket and supermarkets in India started by R K

Dammani. It founded in 15th May 2002 As of 2016, it has 110 stores spread
across Maharashtra, Gujarat, Telangana, Andhra Pradesh, Madhya Pradesh,
Chhattisgarh and Karnataka. The company shows a good pace in advancing
towards expanding across India.

D-Mart is increasingly profitable retail supermarket chain in India that aims

to offer customers a wide range of basic home and personal products under
one roof with an objective to offer good products at great price.

5
D-Mart is termed as Indian Wal-Mart and this accomplishmentis largely due
to their business philosophy, long-term vision, pricing strategy, cautious
focus, regimented model, ACT formula, innovative planning and product
categories.

As we know that, With the rising need for consumer goods in different
sectors including consumer electronics and home appliances, many
companies have invested in the Indian retail space in the past few months.

The Government of India has taken various initiatives to improve the retail
industry in India.

The main motive of this report is to study the “Buying and selling strategy
of D-mart”.

• Investment Strategy
• Market Strategy
• Factors affecting the profit
• Business Model

6
1.2 Rationale of the study

The topic which has been chosen by our team members is “Buying and

Selling strategy of D-mart”. We chose this topic to study the strategy

adopted by D-mart to become one of the most successful super markets in

the country. We want to know the policies adopted by D-mart to hold the

position which they are holding today. D-mart is one of the famous super

markets which everybody knows and want to purchase items/products from

there.

7
1.3 Objective

The objective of this paper is to identity the issues and to discuss them to
acquire the knowledge of the market strategy of D-Mart retail chain and to
provide insights about their success in India.
Customers prefer D-mart for better value for money and masses of
discounts than their competitors. Their target customers are middle-income
groups and families who are aspiring to meet most regular consumer needs.
Our objective is to know consumer buying behavior with reference to D-
Mart is to checking the buying behavior of an individual consumer when he
used to shop in D-Mart. D-Mart offers all over the household products for
our daily routine in best affordable prices for every customer.
The key objectives of this project are:
• To study of availability of offers and services.
• To know availability of varieties of products.
• To know about affordable price for everyone.
• To know the customer satisfaction level.
• To study of quality of products.
• Market strategy of D-mart.
• Strategic elements of D-mart.

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 Review of literature

The meaning of review of literature is the comprehensive summary of

previous research on a topic. It surveys scholarly articles, books, and other
sources relevant to a particular area of research. With the help of the
research, researchers take advantages of the knowledge which has
accumulated in the past as a constant human Endeavour.
To review the topic, we have divided this section into following parts: -
2.1 D-mart
D-mart is the chain of hypermarket and supermarkets in India started by
Shri Radhakrishnan Dammani in the year 2002, with its first branch in
Powai’s Hiranandani Gardens. The company has its headquarters in
Mumbai. It has its branches all over the India and known for selling best
quality of items like groceries, utensils, clothes etc. There are wide range of
products available in the stores of Dmart which help customers to buy
things at one roof without wandering stores to stores to purchase different
items.
2.2 Market strategy of D-mart
The market strategy which is followed by D-mart is to keep the prices of the
products at low to attract more customers, which leads to high salesvolume.
The prices are economical which leads tohigh footfall in the stores.
Everyday low pricing strategy is followed by them. Store keeps offer on day-
to-day basis which encourage customers to buy more products.Offers like
buy one get one free, discounts on MRP etc., helps to keep D-mart their
regular customers.

9
2.3 Buying strategy of D-mart

D-mart purchase goods from the vendors in bulk and pays its on time. They
directly sold goods from manufacturers to end -users. D-mart operates on
B2C model (business to customer) eliminates intermediaries and hence no
extra cost is added in the price of products. This further helps the company
to sell goods at lower price.

10
 Research Methodology

Since the study is on retail sector first the detail study of the store is been
conducted about its Management team its structure the number of
departments which all brands do the store has, who are the suppliers about
its warehouses. Based on the topic objectives were set and to arrive at the
opinion on objectives a set of 24 questionnaires were designed and
response is collected from the customers who are visiting the store. For
data collection Personal investigation, filed survey, as well as Sampling
method are adopted. For this project the area of research is Indore.

Objectives of Project:
Project was undertaken bearing following objective:
• To Scan the customer buying behavior.
• To comprehend the determinants of customer satisfaction.
• To know about the growth prospective with respect to demand analysis.
• To study of availability of offers and services.
• To know availability of varieties of products.
• To know about affordable price for everyone.
• To study of quality of products.

11
Scope of Study:
Since the study is on D-Mart shopping the detail study of the D-Mart is been
conducted about its customers & their behavior regarding shopping in D-
mart.

Based on the topic objectives were set & to arrive at the opinion on
objectives a set of 25 questionnaire were designed & response is collected
from the customers who are visiting the D-mart.
For data collection Random Sampling Method was adopted.
Data Collection:
For this project the area of research is Indore. Any research requires two
types of data i.e. primary data & secondary data. Primary data has been
used abundantly for the study.
Well-structured questionnaires were prepared & the survey was
undertaken. Feedback for the display has been taken by asking questions &
observations has also done to gather primary information. There is also a
use of secondary data, collected from the various journals, books, &
websites & from store managers.

Types of Data:There are two types (sources) for the collection of data.
(1) Primary Data
(2) Secondary Data

(1) Primary Data: The primary data are the first-hand information collected,
compiled and published by organization for some purpose. They are most
original data in character and have not undergone any sort of statistical
treatment. Example: Population census reports are primary data because

12
these are collected, complied and published by the population census
organization.

(2) Secondary Data: The secondary data are the second-hand information
which are already collected by someone (organization) for some purpose
and are available for the present study. The secondary data are not pure in
character and have undergone some treatment at least once.

Methods of Collecting Primary Data:

Primary data are collected by the following methods:
1) Personal Investigation: The researcher conducts the survey him/herself
and collects data from it. The data collected in this way is usually accurate
and reliable. This method of collecting data is only applicable in case of
small research projects.
2) Through Investigation: Trained investigators are employed to collect the
data. These investigators contact the individuals and fill in questionnaire
after asking the required information. Most of the organizing implied this
method.
3) Collection through Questionnaire: The researchers get the data from
local representation or agents that are based upon theirown experience.
This method is quick but gives only rough estimate.
4) Through Telephone: The researchers get information through telephone
this method is quick and give accurate information.

Methods of Collecting Secondary Data

The secondary data are collected by the following sources:
1) Staff Members: The researchers visited the store and asked questions
with the staff members to know the working style of the store.
2) Articles available on internet.
3) Marketing books.
4) Company website.
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 DATA ANALYSIS &INTERPRETATION

❖ Age group Of Respondents:

AGE
100
90
80 87
70
60
50
40
30
20
10
11 2
0
10-30 30-60 60-80

From Fig we can comprehend that 87% of total respondents belong to the age
group of10-30 years. This is because most of the consumers that prefer D-MART
belong to this age group. About 11% belong to age group of 30-60 and 2% belong
to age group of 60-80.

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❖ Gender of Respondents: -

Gender

46% Male
54% Female

From Fig we come to know that in survey of 100 Peoples, gender of the total
respondents is almost 54% Females and 46% males.

15
❖ Annual Income of Respondents: -

From Fig. We can comprehend that Annual Income of Total Respondents are as
follows.

62% of respondent has the annual income in between Rs. 0-2,50,000.

20% of respondent has the annual income in between Rs. 2,50,000-5,00,000.

12% of respondent has the annual income in between Rs 5,00,000-10,00,000.

6% of respondent has the annual income is Above Rs 10,00,000.

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❖ Response OfHow Frequently Peoples Visit a D-Mart Store.

How frequently do you visit a D-Mart store?

22% 15%

63%

Weekly Monthly Yearly

From Fig we can comprehend that 15 % people visit D-Mart on weekly basis ,63%
on the monthly basis and 22% yearly. So we can conclude that most of the people
visit D-Mart on monthly basis.

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❖ Response of Which Offer Peoples Like the Most.

From Fig we can comprehend that there are many options available in the store
such as Buy one get one free, Gift Voucher, Future card and other. But it is clearly
evident that Buy one get one free is most liked by the people.

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❖ Response of products people prefer to purchase first.

CLOTHES 12

HOUSE HOLD 16

GROCERY 52

FOOD ITEMS 20

0 10 20 30 40 50 60

From Fig we can comprehend that there are different sorts of products available in
the store and people prefer as their needs, Clothes 12%, Household 16%, Grocery
52% and food items 20%. In that most of the consumer prefers to buy Grocery
first.

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❖ Response of preference according day to day needs.

43% D-Mart

57% Other Store

From Fig we can comprehend that there are different needs of people in day-to-
day life and for that people prefer D-Mart with 53%.Whereas 43% people prefer
Other stores.

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❖ Response Of exchange / return policy.

46

30

15

Excellent Not satisfactory Good Satisfactory

From Fig we can comprehend that the exchange policy of D-Mart is quite good as
46% recommend it as good, 30% satisfactory, 15% excellent and 9% not
satisfactory.

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 ❖ Response Of reason behind D-Mart purchasing.

26%
Price

47% Fachion
Quality
Offers
26%
1%

From Fig we can comprehend that different reason behind the purchasing shows
that 47% prefers Price ,26% prefers Offers, 26%prefers Quality and 1% Fashion.

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 ❖ Response Of ‘Is D-Mart affordable for everyone .

8%

Yes
No

92%

From Fig we can comprehend that 92% of the public says that D-Mart is affordable
for everyone and rest of the 8% deny this.

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 ❖ Response Of Mode Of Payment IN D-Mart.

41% Debit Card

50% Credit Card
Cash Payment

9%

From Fig we can comprehend that there is neck to neck in payment with Cash
Payment (41%) and Debit Card (50%) and only 9% prefer Credit Cards.

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 ❖ Response Of Recommendation for shopping in D-Mart.

5%

Yes
No

95%

From Fig we can comprehend that majority of the people recommend to buy from
D-Mart with 95% votes. Whereas 5% deny this.

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 ❖ Response Of Facilities need to be provided.

51

29

11
9

WHEELCHAIR SITTING AREA OTHERS RESTROOM

From Fig we can comprehend that there are different facilities that are to be
improved and people have given their response for this, Sitting Area 51%, 9%
wheelchair, 11% restroom and 29% others.

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 SWOTAnalysis

SWOT stands for Strength, Weakness, Opportunity and Threat.

Strengths:
Strengths are defined as what each business does best in its gamut
of operations which can give it an upper hand over its competitors. The
following are the strengths of D-Mart:

• Focus on long-term
• People-centric management style
• Discount Policy
• Clear price-based differentiation
• High brand value
• Strong market position
• Good reputation of quality and low price

Weakness:

Weaknesses are used to refer to areas where the business or

the brand needs improvement. Some of the key weaknesses of D-Mart are:

• Focus on certain places

• Slow growth
• Low reaction to change in market
• Non-Luxurious

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Opportunities:

Opportunities refer to those avenues in the environment that surrounds the

business on which it can capitalize to increase its returns. Some of the
opportunities include:

• Technology
• Personalization of services
• Increased demand
• Customer concern regarding environment

Threats:

Threats are those factors in the environment which can be detrimental to

the growth of the business. Some of the threats include:

• Online retailers
• Online Start-ups
• Stringent regulation

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 Suggestions and Conclusion

Suggestions:
After analyzing the data and successfully testing the methods we would like
to make following suggestions:

➢ D-mart should provide large area for the parking, so that customers
can easily park their vehicles.
➢ The infrastructure should also be changed to a bit during weekends as
heavy crowd comes in to d-mart during those days.
➢ D-mart should include more branded products to attract more
customers.
➢ They should concentrate on hoardings, advertisements etc. They
should show ads and promotional offers in local languages of the city.
➢ Hoarding should be placed where public can easily see the ads of D-
mart.
➢ Separate billing counters should be provided for the customers who
are purchasing few items/products for faster customer turnover.
➢ They should also provide following facilities like:
• Restroom
• Sitting area

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 Conclusion:
The research of the team members is coming to the conclusion that there
are some limitations in the study but still we get some information with the
help of the staff members of D-mart and the customers who are willing to
give their feedback.

The data which has been collected from the questionnaire indicated that
the customers are satisfied with the services provided by D-mart. They trust
D-mart for their shopping irrespective of the products. D-mart has positive
image among the people, which gives them the edge to become successful
in the market. The main thing which differentiates D-mart with other shops
/malls are that they provide each and everything under single roof. The
customer gets large variety of products at one place.

It is observed that D-mart is operating in various cities on their own

property. By observing this procedure, they required to spent considerable
amount while starting the showroom. But in this, the plus point is that they
don’t need to distribute the profit with anybody. This enables them to
develop the business fast.

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 Limitations of the study

The following are the limitation of the study:

➢ The study is limited to D-Mart consumers of Indore city only.

➢ Disturbance in the mall and consumers were quite busy buying goods
also adds to the limitations of this study.
➢ The data we have collected from the staff of D-Mart but unable to
contact with managers.
➢ This research is conducted on sample size, so it might be possible that
the information given by such respondents may not match with the
replay of total customers available in the store that time.
➢ The study was restricted to only the customers of D-Mart.
➢ The time constrain was a limiting factor, as more time was required to
carry out study on other aspects of the topic.
➢ The result and analysis based on the customer survey method and
small sample size has taken only 100.
➢ Findings are related to particular areas
➢ It might be possible that the answers given by the respondents are of
biasness

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➢ This research is conducted on a sample size, so it might be possible
that the information given by such respondents may not match with
the replay of total customer available in the D-Mart that time. The
study was restricted to only the customers of D-Mart. The time
constrain was an irritating factor, as more time was required to carry
out study on other aspects of the topic. The result & analysis based
on the customer survey method & small sample size has taken only
100. Findings are related to particular areas. It might be possible that
the answers given by the respondents are of biasness.
➢ A large number of respondents and cannot able to study in depth of
the subject.
➢ Consumers in the stores busy with shopping, so it was very difficult to
collect answer to questionnaire.
➢ People have shown negative attitude while filling personal details in
questionnaire.

32
 Scope of Study

➢ This study helps to the retailers to devise market and make the
strategies for target market.
➢ It helps to collect information about customers’ needs and wants,
lifestyle and attitude towards shopping.
➢ It helps to know how much the consumers are attracted towards
advertisement and promotional offers.
➢ It helps to resolve which media is more effectively suitable for
advertising.
➢ Planning to increase the number of outlets.
➢ Order on call facility
➢ Improvise the online shopping options.
➢ Planning to conduct weekly campaign about the promotional offers.
➢ Robotic technology for customer service
➢ A food court would be great if available.
➢ Product arrangements like brand wise or price wise need to be
improved.

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➢ D-Mart can also sell premium products like international snacks,
drinks and much more at their best prices.
➢ A handy shopping section for faster shopping experience for regular
food and household items.
➢ D-Mart can improve the customer service like they can provide a
attender to senior citizens when they visit. They help them in finding
what they need faster and in moving their carts as well. Attender can
also take their products list then find the product and can also offer if
any competitive product available.

34
 References

1. To get the idea about D-mart we have used the following the site:
https://www.marketingmind.in/marketing-business-model-d-mart-
became-number-one-retail-space/

2. To know the business model of D-mart we used the following site:

https://blog.finology.in/investing/business-model-dmart

3. Research and case study related to D-mart:

https://www.digitalzak.com/2020/03/dmart-business-model-dmart-case-
study.html

4. Marketing case study related to D-mart:

https://www.slideshare.net/prasadkulkarnigit/marketing-case-study-
dmart

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 Appendix

(Questionnaire)

1. Name*

2. Gender*

Male

Female

3. Age*

4. Annual income?*

0 - 2,50,000
2,50,000 - 5,00,000
5,00,000 - 10,00,000
Above 10,00,000

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5. HowfrequentlydoyouvisitaD-Martstore?*

Daily

Weekly

Monthly

Yearly

6. AreyouhappywiththelocationofD-Mart?*

Yes

No

7. Areyouhappywiththeparkingfacilityprovided?*

Yes

No

8. Whichofferyoulikethemost?*

Buy one get one

free Gift voucher

Future card

Other

37
9. DoyouuseD-Martapponyourmobile?*

Yes

No

10. .Howwouldyouratetheexchange/returnpolicyoftheD-Martstore?*

Excellent

Good

Satisfactory

Not satisfactory

11. Reason behind D-Mart Purchasing?*

Fashion

Quality

Price

Offers

12. Forday-to-dayneedsyouprefer?*

D-Mart

Other Store

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13. Typesofproductsyouprefertofirstpurchase? *

Grocery

Food items

House hold

Clothes

Stationary

14. Doessalespersonorstaffmembershelpyouinsearchingandguidingthe
product?*

Yes

No

15. DoyouthinkD-Martismoreaffordableforeveryone?*

Yes

No

16. AreyousatisfiedwiththearrangementsmadeintheD-Martstore?*

Yes
No

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17. LevelofshoppingfromD-Mart*

Below Rs.1000

Below Rs 2000

Below Rs5000

More than Rs

5000

18. Areyousatisfiedwiththeprocedureofthebillingcounter?*

Yes

No

19. WhatisyourmodeofpaymentinD-Mart?*

Cash Payment

Debit Card

Credit Card

20. HowmuchtimedoyouspendinavisittoD-Mart?*
Less than half an hour
Half an Hour to 1 hour
1 hour to 1.5 hour
More than 1.5 hour

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21. WouldyourecommendshoppingatD-Marttosomeone?*

Yes

No

22. Formonthlypurchasingyouprefer*

D-Mart

Other stores

23. Facilitiesneedtobeprovided?*

Wheelchair

Restroom

Sitting area

Others

24. Your suggestion and recommendation?

41