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PROJECT REPORT

ON

PREDICTIVE ANALYSIS

BY

KRUTHIKA V

1NH20BA074

Submitted to

DEPARTMENT OF MANAGEMENT STUDIES

NEW HORIZON COLLEGE OF ENGINEERING,

OUTER RING ROAD, MARATHALLI,

BENGALURU
In partial fulfilment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION


Under the guidance of

Dr. Priyameet Kaur Keer

Associate Professor

2020 – 2022
DEPARTMENT OF MANAGEMENT STUDIES

CERTIFICATE

This is to certify that KRUTHIKA V bearing USN (1NH20BA074) (2020-22 batch), is a bonafide
student of Master of Business Administration, New Horizon College of Engineering, Bengaluru
affiliated to Visvesvaraya Technological University, Belagavi.

Project report on Predicting customer buying behaviour is prepared by her under the guidance
of Dr. Priyameet Kaur Keer, in partial fulfillment of the requirements for the award of the degree
of Master of Business Administration of Visveswaraya Technological University, Belagavi,
Karnataka.

Signature of Internal Guide Signature of HOD Principal

Name of the Examiners with affiliation: Signatures with date

1. External Examiner

2. Internal Examiner
DECLARATION

I, KRUTHIKA V, hereby declare that the project report at “Flipkart” prepared by me


under the guidance of Dr. Priyameet Kaur Keer, faculty of M.B.A Department, New
Horizon College of Engineering.
I also declare that this project report is towards the partial fulfilment of the university
regulations for the award of the degree of Master of Business Administration by
Visvesvaraya Technological University, Belgaum.
I have undergone an industry internship for a period of Eight weeks. I further declare that
this report is based on the original study undertaken by me and has not been submitted for
the award of a degree/diploma from any other University / Institution.

Signature of Student
Place:
Date:
ACKNOWLEDGEMENT

The successful completion of the project would not have been possible without
the guidance and support of many people. I express my sincere gratitude to
Mrs. Roopa N, HR, Flipkart, Bengaluru for allowing to do my project at
Flipkart.
I thank the staff of Flipkart, Bengaluru for their support and guidance and
helping me in completion of the report.
I am thankful to my internal guide Dr. Priyameet Kaur Keer, for her constant
support and inspiration throughout the project and invaluable suggestions,
guidance and also for providing valuable information.
Finally, I express my gratitude towards my parents and family for their
continuous support during the study.

STUDENT NAME
USN NO
TABLE OF CONTENTS

SL. NUMBER CONTENTS PAGE NUMBERS

1 Executive Summary

2 Theoretical Background of the study

3 Introduction

4 Industry Profile &Company Profile

5 Analysis and Interpretation

6 Finding and Conclusion

7 Bibliography
EXECUTIVE SUMMARY

As part of my post graduate program, I have completed my project at this


organization. For the duration of my project, I was officially assigned to work in the
analytics department. Flipkart is one of India's most well-known E-Commerce
companies, with over 500 different departments and commodities, as well as creative
materials and references). It became a public limited company in 2006.

Flipkart is a corporation located in India. The major goal of this paper is to use
predictive analysis to forecast customer buying behavior for goods. The majority of
the information comes from both primary and secondary sources.

I went over the introduction as well as other formalities like background, current
performance, management team, and major functional areas, which I needed to keep
in order for my report to be qualified. The following section discusses the research I
conducted. Finally, I went over the concerns and offered some suggestions to
Flipkart.

Product availability on carts and web portals were also used to gauge client
satisfaction. People nowadays are more interested in brands than in items. That is
why businesses seek to establish their own brand. There are numerous advantages to
using the brand from the customer's perspective.
CHAPTER – 1

INTRODUCTION
Background of Study

As a student in the analytics department at New horizon college of engineering, I had


to meet the requirements of the project report under the MBA program. Therefore,
my focus on Flipkart has been aimed at giving me the opportunity to familiarize
myself with organizational culture, behavior and other aspects.
In addition, I will conduct an investigation and submit it as a report based on
business interests as well as educational requirements. Therefore, this report is
proposed and assigned to my Administrative Supervisor
Mr Varun sharma(Director, Flipkart) and my academy Professor
Mrs. Priyameet ( Professor, New horizon college of engineering). I would like to
add that I have tried my best to take this opportunity to enrich my knowledge on the
business analytics of the industry.
After careful observation, I have prepared this report based on my findings and
observations related to this.
Topic: Predicting customer behavior using business analytics

Business analytics is a combination of disciplines and technologies that use data analysis,
statistical models, and other quantitative methods to solve business challenges. It entails
an iterative, rigorous investigation of an organization's data, with a focus on statistical
analysis, in order to inform decision-making.

How business analytics works

BA begins with numerous foundational activities before beginning any data analysis:

• Determine the analysis's business purpose.

• Decide on an analytical method.

• Gather company data to aid in the analysis, which might come from a variety of systems
and sources.

• Cleanse and combine data in a single repository, such as a data warehouse or data mart.

Business analytics are divided into several categories:

• descriptive analytics, which tracks key performance indicators (KPIs) to understand the
current state of a business

• predictive analytics, which analyses trend data to predict the likelihood of future
outcomes and

• prescriptive analytics, which uses past performance to generate recommendations for


dealing with similar situations in the future.
Predictive Analytics

Predictive analytics is the study of past data in order to forecast future events and trends.
To increase the accuracy of forecasts, predictive analytics often employs methods such as
big data, machine learning, and regression analysis (which investigates the correlations
between past data sets).

Predictive analytics in marketing

Despite its many advancements over the decades, marketing technology does not always
do the best job of assisting purchasers. Anyone who has ever gone online in search of new
shoes only to have their computer bombard them with adverts for new sneakers for the
next several months can attest to this.

However, predictive analytics is assisting marketers in improving their ability to predict


customer behaviour so that they may customise a marketing campaign for the right
audience at the right time on the right channels.

Challenge: Predicting client behaviour trends so that marketing campaigns can be


properly focused.

Solution: Use marketing automation software with comprehensive analytics features to


assist your marketing teams follow buyer behaviour at every stage of the customer
journey, giving them insight into the next steps customers are most likely to take.
Predictive Analytics Measurement Models

With predictive analytics, there are three main types of models to consider:
• Cluster Models: These algorithms are used to categorise audiences based on previous
brand involvement, previous purchases, and demographic information.
• Propensity Models: These assess a customer's potential to convert, act on an offer, or
disconnect from a brand.
• Recommendations Filtering: This approach analyses previous purchase data to see
where additional sales possibilities may exist.

What role does predictive analytics play in marketers' marketing strategies?


To take use of predictive analytics, marketers need advanced marketing tools and
measurement capabilities because there is so much data accessible.

Marketing Metrics in One Place

Marketers require a large amount of past data to forecast future trends. Marketers
must track each engagement as customers connect with campaigns, progress through
the sales funnel, and eventually convert. To properly construct customer identities,
all of this data must be connected and synced. By centralising data on market trends,
consumer behaviour, and online and offline engagements, unified marketing
measurement provides predictive analytics.

Software for Marketing Analysis

Multiple measurement models and a large amount of data are required for predictive
analytics.
Marketers need powerful marketing analytics software that can condense all of this
data into digestible information from which actionable insights may be derived in
order to fully benefit from predictive analytics.

Artificial Intelligence and Machine Learning

AI and machine learning are expected to play a big part in marketing optimization,
and they're already being talked about as must-have elements when it comes to
omnichannel marketing solutions.

These solutions are necessary because they allow marketers to respond on data in real
time, automatically presenting dynamic content. Dynamic pricing, automated sales
predictions, automated content generation, and real-time personalization are all
possible with predictive analytics, machine learning, and AI marketing capabilities.

Today's customers have more options than ever before. They are no longer limited to
what is in stock at their local store; they may order whatever they want, whenever
they want. As a result, vendors, merchants, and service providers are all competing
fiercely. The only way to stay competitive is to stay ahead of consumer trend s and
desires. This is possible because to predictive analytics, which helps marketers
evaluate customer behaviour and patterns, forecast future shifts, and design
campaigns appropriately.
CHAPTER 1. DEFINITION AND NATURE
OF ORGANISATION

INTRODUCTION:

ORGANISATION : In general, we can define an organisation as a group of


persons who interact with one another and contribute their efforts to the
achievement of specific goals or objectives. In other words, an organisation
can be defined as a cooperative I a healthy relationship between groups that
is built up item by item through an ineffective communication system with
the objective of achieving their specific common goals."Organizing" can be
defined as a method used by any corporation to achieve its own goals or
objectives in a timely and efficient manner. It is the process of ensuring
healthy relationships across departments through effective communication
channels so that the individuals (workers) of each department can give their
all in order to achieve the desired results.

Organization Process:
Because a vast number of events or activities are carried out as part of the organising
process with the purpose of achieving the current goals in an ineffective manner, the
notion of organising can be regarded a process. In fact, organising entails assigning
tasks, determining activities, grouping operations, delegating authority, and ensuring
optimal coordination and balance among various IT departments and employees in
order to achieve predefined goals. Overall, it is obvious that a business firm's
objectives cannot be met by doing a single action.
FAYOL'S 14 PRINCIPLES OF MANAGEMENT

1.Work division- When people become more specialised, their production can grow as
they become more skilled and inefficient.

2. Authority – Managers must have the power to issue commands, but they must also
remember that with power comes accountability.

3. Discipline - Organizations must maintain discipline, and the means for doing so differ.

4. Unification of Command - Employees should report to a single direct supervisor.

5. Unification of Direction — Teams with the same goal should be led by a single
manager and follow a single strategy. This will guarantee that actions are coordinated
properly.

6. Individual Interests are Subordinated to the Common Good The interests of one
employee should not take precedence over the interests of the group. Managers are
included in this.

7. Remuneration - Fair remuneration for all employees is critical to employee happiness.


This encompasses both monetary and nonmonetary rewards.

8. Centralization — This principle relates to the degree to which employees are involved
in decision-making. It's crucial to aim for an unsuitable equilibrium.

9. Organizational Hierarchy - Employees should be aware of their position in the


organization's hierarchy, or line of command.

10. Order - Employees must be able to work in a clean, orderly, and safe environment.
Everything should be in its proper position.

11. Equity - Managers should always be in the air with their employees, both in terms of
upholding discipline when necessary and responding with kindness when it is not.

12. Personnel Tenure Stability - Managers should endeavour to keep employee turnover to
a minimum. Prioritizing personnel planning should be a top focus.

13. Initiative - Employees should be provided the required freedom to develop and
implement plans.

14. Esprit de Corps - Organizations should attempt to foster a sense of belonging and unity
among their employees.
Types of Organizational Structures

Organizational structures have developed from inflexible, vertically integrated,


hierarchical, and autocratic systems to largely boundaryless, empowered, and networked
businesses that can swiftly adapt to consumer needs with tailored products and services.

Organizations are commonly organised vertically, vertically and horizontally, or with open
boundaries in today's world. The following are examples of specific types of structures
found within each of these categories:

Vertically, there are functional divisions.

Matrix—vertical and horizontal.

Vertical structures (functional and divisional)

Vertical structure can be divided into two types: functional and divisional. Work and
employees are divided into specialisations by the functional framework. It's a hierarchical
structure that's frequently vertically integrated. For specialist individuals in relatively
specific jobs, it promotes standardisation in structure and processes.

Divisional structure

A divisional organisation, or centralised structure, is more typical in enterprise


firms with numerous significant departments, markets, or territories. A food
conglomerate, for example, might use a divisional structure to give each of its food
lines and products complete autonomy.
Each line or product has its own chief commanding executive in the divisional hierarchy,
as shown in here.
The following are the key benefits of a divisional structure:
Different departments have the freedom to function independently of the rest of the
organisation, making it more responsive to consumer needs.

Matrix structure
The matrix structure is a flexible variation of the traditional hierarchical framework. As
the horizontal lines in this diagram show, this centralised organisation system allows
personnel to transfer from one department to another as needed.

The following are the primary benefits of a matrix organisation:

Supervisors have the freedom to select the best staff for a project, allowing for a dynamic
org chart with varied employee responsibilities.

Employees can study and develop talents outside of their core responsibilities. The
following are some of the drawbacks of a matrix organisation:

There may be conflicts of interest between the needs for project and department
organisation, and the organisational chart is subject to frequent adjustments.

Network structure

In the present era, a network structure is particularly well suited to a large, multi-
city, or even multinational company.
It not only coordinates relationships between departments in a single office location,
but also between other locations and their teams of freelancers, third-party
organisations to whom specific activities are outsourced, and more. While this may
seem like a lot for one sort of network structure to cover, it demonstrates how
beneficial this decentralised structure can be, especially when it comes to knowing
your company's human resources.

These are some of the potential benefits of a network structure:

It enhances knowledge of how functional roles are distributed across on-site


employees, off-site employees, freelancers, and third-party outsourcers.

It allows one department or location to outsource responsibilities to another with


greater flexibility.

It promotes staff collaboration, communication, and innovation.

It lays down workflows and supply networks in detail.

The Span of Management refers to the maximum number of subordinates that a


superior may effectively manage. Simply said, the span of management refers to a
manager who has a group of subordinates who report directly to him.

The Management Span has two ramifications:


1. Has an impact on the difficulties of a manager's job.
2. Determine the Organization's shape or configuration.

The horizontal layers of the organisation structure are related to the span of
management. Management spans a large and limited range.
With a broader spread, there will be fewer hierarchical levels, resulting in a flatter
organisational structure. The hierarchical layers rise as the span narrows, hence the
organisational structure will be tall.

Both of these organisational models have their own set of benefits and drawbacks. The
lofty organisational structure, on the other hand, creates additional challenges:
Because the span is short, there are fewer subordinates under one superior, which
necessitates the hiring of more managers in the organisation. As a result, the salaries to be
provided to each senior would be prohibitively high.
When there are additional layers in a hierarchy, communication suffers greatly. Because
the working staff is separated from the top management, it takes a long time to reach the
relevant locations, causing actions to be delayed. Lack of coordination and control.
Span of control

The term "span of control," often known as the management ratio, relates to how
many subordinates a superior has direct influence over. It's a crucial notion for small
business owners to grasp because small enterprises frequently fail when the founder
has too much power. The concept of span of control is taught in business schools
and is frequently used in major organisations such as the military, government
agencies, and educational institutions. In an article for Entrepreneur magazine, Mark
Hendricks noted, "Yet few entrepreneurs know the phrase or are ready to admit any
limit to the number of individuals they directly supervise." When a small business
owner's sphere of control expands too far, it might stifle the company's growth.

Sir Ian Hamilton developed the notion of span of authority in the United Kingdom
in 1922. It started with the premise that managers only had so much time, energy,
and attention to dedicate to their duties. Hamilton discovered that British military
officers could not effectively supervise more than three to six people directly in his
investigations of them. Since then, these statistics have become widely regarded as
the "rule of thumb" for span of control. A.V. Graicumas mathematically
demonstrated the concept of span of control more than a decade later. His research
found that as the managers' breadth of authority grew bigger, the number of
encounters between managers and their subordinates—and hence the amount of time
managers spent on supervision—increased geometrically.
1.2 Objectives of the Study

Overarching Goals
The primary goal of education is to increase one's knowledge. In order to gain knowledge,
we must combine theoretical understanding with practical application in the real world.
The following is a list of the study's objectives.

Specific Objectives
 To understand about the current state of difficult learning solutions.
 To investigate how Wiculty learning solutions are perceived by customers.
 To make recommendations based on research and observation.
 to research its competitors' brands
 To understand how employees contribute to the brand's positions.
 Leads collected through various marketing means are converted.
 Creating a short- and long-term sales strategy to achieve the target
 Consistently meet revenue targets in accordance with team/organizational goals.
 Identifying cross-selling/up-selling prospects with customers on a proactive basis
Identifying references from the existing client base to boost sales funnel
 Customer Relationship Management (CRM) is a term that refers to the
management of customer relationships.
 Understand the customer's needs and communicate them to the product team
through Key Account Management, New Account Development, Operations, and
Reporting.
 Managing the assigned's pre-sales and post-sales support activities.
1.3 Scope of the Study

This report was created after lengthy discussions with Flipkart employees and their
supervisor. I met with an analytics manager to compile this report. He gave me an update
on his activities. I had a great opportunity to learn about data cleansing, sorting, finding
new clients through data visualisation, and other related topics while producing this report.
Conference publications have a substantial market. This book made it simple for me to
compile information from a small number of conference publications.

1.4 Limitations of the Study

 A fundamental limitation in the organisation is the lack of relevant documents and


information.
 For me, an important constraint of the study was the unintended failure of the
target audience / responder to give the essential information due to their busy
schedules.
 There is a lot of information that can't be shared because of security concerns or
other corporate commitments.
 There may be deliberate inaccuracies due to a lack of experience in writing such
extensive reports.
1.5 Study Methodology

The investigational aspect of the report was evident in the data gathered from both primary
and secondary sources.

Data Collection

This study is mostly based on secondary and primary data obtained from LPL's various
divisions and departments, as well as other pertinent information obtained from LPL's
annual reports, Organ and other files, prospectuses, and market circumstances compared to
competitors.

Primary sources of data

Data from a customer's past purchase, a conversation with the team leader, and practical
desk work.

Secondary sources of data

LPL has produced a procedure handbook.


Newspaper articles based on lecture guidebooks or lecture-related news
LPL has a different vacancy notice.
Branches' files and documents.
LPL instructions in various formats.
CHAPTER-2

INDUSTRY PROFILE & COMPANY PROFILE


Flipkart, India's largest e-commerce startup, was started by Sachin Bansal and Binny
Bansal in 2007. Although Flipkart is registered and situated in Singapore, the company
operates fully in India and is headquartered in Bangalore, Karnataka. Under the name
"DigiFlip," Flipkart has developed its own line of items, including tablets, USBs, and
laptop cases. Under the "Citron" brand, Flipkart has also developed its own line of home
and health equipment. Flipkart is not an Indian firm legally because it is based in
Singapore and has a large number of foreign shareholders and investors.

DST Global invested $ 210 million in May 2014, followed by $ 1 billion in July, led
by previous investors Tiger Global and the South African media conglomerate
Naspers. Sachin Bansal and Binny Bansal, both former students of the Indian Institute
of Technology in Delhi, created Flipkart in 2007. Previously, he had worked for
Amazon. In October 2008, the company was formally established as Flipkart Online
Services Pvt. Limited.

Flipkart was founded in 2007 with an initial investment of Rs. 4 lakhs (the savings of
the co-founders). India has never had it easy when it comes to e-commerce trading,
since it has had poor experiences in the past. People were extremely special in paying
for something they had not seen or gotten, so fleeing was not a simple process.
Consumer confidence in India has plummeted. As a result, Flipkart has to work hard
to earn the trust and confidence of its customers.

That is exactly what they accomplished, and the next post will go over how they
achieved it. Because books are easy to acquire, there are plenty of books to read in the
target demographic, and books offer good margins, convenience of packing and
delivery, and no difficulty with transportation, Flipkart began with book sales.
Arrives on time, and most importantly, the books are reasonably priced.
Flipkart began with a consignment arrangement, which meant that anytime a
consumer requested a book, they would contact one of two distributors in Bangalore.
The founder's personal cell phone numbers were used as customer service lines in the
early months. So, at first, they tried their hardest to provide good service, pay
attention to the website - which was easy to navigate and order, and work.
The company began with two employees and now employs over 4,500 people. As
most of the customer's difficulties, such as late delivery, began to open up warehouses
from the buy model as they began to acquire more investment, Flipkart began with the
consignment model indicated above. Bangalore was the company's first warehouse,
followed by Delhi, Kolkata, and Mumbai. The company currently works with
approximately 500 vendors. Over 80% of Flipkart's orders have been processed
through warehouses, allowing for faster and more efficient service.

Flipkart, which began with just books, today sells everything from cell phones to
laptops to computers to cameras to games to music to audio players to televisions to
health items to washing machines. Your profits from online book sales. Flipkart is the
market leader in both online and offline book sales in India, with an online market
share of over 80%. Naptal, Letsbuy, IndiaPlaza, Tradus, Infibim, and Yeebi are just a
few of the companies that sell electronic devices. The electronic market share is
divided among them in varied amounts that are unclear.

Sachin Bansal and Bani Bansal, both former students of the Indian Institute of
Technology in Delhi, created Flipkart in 2007. He had previously worked for Amazon.
Flipkart Online Services Pvt. Ltd. was formally incorporated in October of 2008.
Flipkart began by focusing solely on books, but as the company grew, it moved into
lifestyle products like as electronics, air conditioners, air coolers, stationery supplies,
and other items. Also, start selling e-books.
In India now, there are around 13.5 million Internet users, with 10.5 million households
receiving cable and satellite television (C & S). By 2014, the number of Internet users is
predicted to reach 300 million, with 140 million C&S homes. As a result of India's rapid
internet expansion and customers' growing acceptance of e-commerce, the e-commerce
sector's future looks bright. This year, over 25 lakh consumers traded online. The
number is anticipated to rise in the future. Furthermore, the majority of Flipkart clients
order things via the internet using a PC or laptop. Mobile Internet usage is now quite
low, but as smartphones become more common, mobile Internet usage for e-commerce
transactions will rise. India has a population of 80 million people.

Acquisitions

 Mime 360, a digital content platform, was founded in 2011.


 Chuckpack.com, a Bollywood news website providing the most up-to-date
information, news, images, and videos, was launched in 2011. Chuckpack's digital
collection, which has 40,000 filmography and 10,000 videos, has been acquired by
Flipkart.
 Letsbuy.com, an Indian electrical equipment retailer, was founded in 2012.
Flipkart paid US$ 25 million for the company. Letsboy.com has been
decommissioned, and all Letsboy traffic has been redirected to Flipkart.
 2014: Cintra.com, a website with a revenue of Rs 2,000, was purchased.
Finance

The creators initially paid $400,000 merely to create a website in order to start a
business. Flipkart has now received funding from venture capital firms Excel India (US
$ 11 million in 2009) and Tiger Global (US $ 10 10 million in 2010 and US $ 20 20
million in June 2011). Flipkart announced the completion of its fourth round of
fundraising of $ 150 million on August 24, 2012, with MIH (part of the Nasper Group)
and Iconicu Capital. On July 10, 2013, Tiger Global, Nesper, Assel Partners, and Iconic
Capita announced that the business has raised an additional $200.2 billion from
existing investors.

Flipkart reported sales of 40 million in FY 2008–2009, 750 million in FY 2009–2010,


and 750 million in FY 2010–2011. Flipkart's revenue will exceed $ 5 billion ($ 100
million) in the fiscal year 2011-2012, as the country's Internet usage grows and
individuals develop a habit of shopping online. By 2014, Flipkart expects to have made
ten billion dollars in sales. Flipkart sells roughly 10 products each minute on average,
with a sales aim of 50 billion rupees ($0.81 billion) by 2015. Flipkart was one of the
companies probed in November 2012 for possible violations of the Foreign Exchange
Management Act 1999's FDI restrictions.
Flipkart claimed to have set e-commerce history by selling 650 INRCrore worth of
merchandise in 10 hours on October 6, 2014 - "The Big Billion Day," but their hard-
earned reputation for exceptional customer care has left shoppers unsatisfied by product
prices and availability on social media. Problems and resentment are plaguing you. He
claimed to be selling something. 500,000 mobile phones, 500,000 garments and shoes, and
25,000 television sets were sold in just a few hours of this bargain sale, which began at 8
a.m. Flipkart had a market valuation of 11 billion in December 2014, after getting 700
million from another investor.

Market Size and Growth

Broadband Internet (which has increased by 20% MOM) and 3G penetration are the key
drivers of Indian e-commerce. Standard of living Mail discretionary income continues to
rise, indicating that the middle class is becoming more mobile. Reduce product
availability, inventory, and real estate expenses for a considerably broader range of
products (including long tails and direct imports) than those available through physical
shop intermediaries. Increase the number of people who visit the site and more Consumers
can buy and sell secondhand things over the internet.

India's retail market was valued at 200 billion dollars in 2011, and it is expected to
increase to 75 757575 billion dollars by 2016, with a CAGR of 50.50 billion dollars by
2020. According to Forrester, India's e-commerce market would develop at the fastest rate
in the Asia-Pacific area between 2011 and 2015, with a CAGR of over 57 percent.

The Indian e-commerce sector would be valued at Rs.28,500 (US $ 6.3 billion) in 2011,
according to India Goes Digital, a report by Avendus Capital, a renowned Indian
investment bank in the field of digital media and technology. Today, the dollar has a huge
part of the market (87 percent).
Over the next four years, India's online travel business is predicted to expand by 22%,
reaching 54,800 crore ($ 12.2 billion) by 2015. The Indian e-commerce business is valued
at $3.600 billion ($800 million). It is expected to reach Rs 53,000 crore ($ 11.8 billion) in
2011 and Rs 53,000 crore ($ 11.8 billion) in 2015.

Closures
Despite the fact that the sector has experienced and is likely to continue to develop, many
e-commerce businesses are under a lot of pressure to maintain cash flow. However, this
did not apply to all eCommerce sites. Many of them, like Hingingna and Rock.NC, had to
shut down.

Infrastructure
Target Corporation was recently the victim of a cyber assault, putting it in jeopardy of
facing legal action in a number of jurisdictions. Trends are shifting, and some e-
commerce businesses are now offering SaaS to host online storefronts for a low one-
time fee. E-commerce marketing can take numerous forms, including blogs, forums,
search engines, and online advertising platforms like Google AdWords and Adroll.

Funding

Most e-commerce enterprises still have money to make in 2012. Many venture capital
firms, such as Excel Partners, have made major investments because of their growth
prospects. Flipkart's top fundraising drives in 2012 raised around 22 822 million.
BookMyShow.com, an entertainment ticketing company, has received a $100 million
investment from cell phone partners.
Flipkart stated on July 10, 2013 that it has obtained $200 million in funding from current
investors Tiger Global, Nespers, Excel Partners, and Iconic Capital. Tiger Global's
Dragner Investment Group, Morgan Stanley Wealth Management, Sofina and Vulcan Inc.,
among others, earned a total of 160 160 million. On April 13, Snapdeal had a revenue of
$1350 million. Myntra.com, an online apparel shop, raised $50 million in February 2014
from a consortium of investors led by Wipro President Azeem Premji and Premji
Investments. Flipkart's Myntra was purportedly purchased for 2,000 Glory in May 2014.
Investors and financial organisations, on the other hand, are still overlooked when it comes
to investing in India due to cyber law and e-commerce.
Kart Rocket, an Indian e-commerce platform, announced a series of A-rounds in October
2014.

Regulatory Violations and Unfair Practices

E-commerce legal issues are frequently overlooked in India by e-commerce websites.


This may soon change, since foreign enterprises and e-commerce portals will be
compelled to register in India and adhere to Indian regulations. Nutraceuticals,
Wikipedia, Ayurvedic items, online pharmacy, online payments, online poker, and
other e-commerce websites are prohibited by Indian law.
India's Enforcement Directorate (ED) has already taken legal action against bitcoin-
related businesses in the country. The tax burden of foreign businesses such as Google
and Facebook is being considered in India.
SWOT ANALYSIS OF FLIPKART
STRENGTH

● Strong Brand Value.


● Own Logistic arm.
● Own online payment gateway solution.
● Own market place model.
● Inventory management.
● Customer Service.
● Supplier network/relation

WEAKNESS

● Investors driven Organization or lack of Independent board.


● Secretive and Political culture.
● Excessive focus on expanding customer base rather than pulling profits.
● Global reach

OPPORTUNITY

● Online fashion and apparel business.


● Opportunity is always there because of a strong brand name.
● Providing logistics services to its competitors.
● Growth in online retail sector in India.
● Enter new untapped global markets.
THREAT

● From competitors like Amazon, Snapdeal, Infibeam, Indiaplaza, Homeshop18


etc .
● Less usage/preference of online buying.
● Low Internet penetration.
PORTER’S MODEL OF
FLIPKART
The Porter Five Forces model is a framework for describing the elements that influence an
industry's profitability and attractiveness. This model, named after Michael E. Porter,
identifies and analyses the five opposing factors that shape each industry, as well as
assisting in the identification of industry weaknesses and strengths.

1. Supplier Strength
2. Purchasing Power
3. Rivalry between competitors
4. Substitutes as a Threat
5. Threat of a New Entrant
1) Supplier

Power We'll see how easy it is for suppliers to raise prices in this section. It relies on the
number of important input suppliers, the uniqueness of their product or service, their
power and control over us, the cost of switching suppliers, and so on. There are fewer
options available, and the more efficient suppliers we require, the more efficient suppliers
we require.

2) Buyer Power

We'll see how easy it is for suppliers to raise prices in this section. It relies on the number
of important input suppliers, the uniqueness of their product or service, their power and
control over us, the cost of switching suppliers, and so on. There are fewer options
available, and the more efficient suppliers we require, the more efficient suppliers we
require.

3) Competitive Rivalry

The number and performance of rivals are the most important factors here. If you
have a lot of competitors who offer similar products and services, and your suppliers
or purchasers don't earn much from you, you'll go elsewhere and have little leverage.
When no one else can do what you're doing, on the other hand, you can often
summon incredible strength.
4) Threat of Substitutes

Your capacity to find another way to perform what you do is influenced by your
consumers' ability. Employees can convert the process from manual execution to
outsourcing if you give a unique software application that automates an important process.
If replacement is simple and possible, it weakens your position.

5) Threat of New Entry

People's ability to enter your market has an impact on their power. New entrants will
enter your market fast if it takes less time or money to enter and compete
successfully, if there are little economies of scale, or if your key s are not well
protected. It has the potential to join your market and erode your position. You can
sustain an advantageous position and take reasonable advantage of it if you have
strong and permanent barriers to entry.
Vision , Mission & Goal of Flipkart

1) Vision - “To become Amazon of india .”

2) Mission - “ Providing a delightful and memorable customer service”


.

3 ) Goal - “Completely shopping free experience with the best


prices”.
Future prospects of Flipkart

Sachin Bansal ceased paying office costs for about a week before Walmart announced
its plan to buy a controlling share in Flipkart in a news release. Walmart, the world's
largest retailer, announced that Flipkart would purchase 77 percent of Walmart's stock
for $ 16 billion on May 9, 2018. The value of Sachin Bansal's (5.5 percent) share in
Flipkart was estimated to be over $1 billion. He was a co-founder and executive
chairman of Flipkart, as well as the company's Chief Executive Officer for 9 years. It's
unknown how things will finish for him, based on large thinkers and recent news. His
return to the Arabs was the subject of the story. Except for Sachin, no one was allowed
to speak to the press about Arabia. Flipkart established a relationship with Asus, a
Taiwanese phone manufacturer, on April 17th of this year.

The team was perplexed when Sachin stopped coming to work earlier this
month. "Sachin has not sent us any mail or a parting message." "All of a
sudden, we didn't know where we were," one group member (source 3)
explained. Binnie stated on the day Walmart was announced that they will
play a role in Flipkart's new incarnation. Krishnamurti met with a group of 20
people later that morning and told them they would have to join Flipkart's
private label team. By this time, it was evident that Binnie Bansal, the current
CEO of Flipkart Group, and Kalyan Krishnamurti, the company's CEO,
would stay on. Sachin's time at Flipkart was also coming to an end.
Walmart working groups Binnie Bansal and Kalyan Krishnamurti, who oversee joint ventures,
fresh talent from within, and Walmart executives, including board of directors Steuart Walton,
help Flipkart develop its leadership. In addition, the company launched a number of services,
including a premier loyalty programme, which reflects the company's increasing competitiveness
with Amazon, which will boost product sales growth in the future months.

Around 5,000 to 6,000 Flipkart dubbed Flipstars congregated on the ground floor of
the Flipkart office in Embassy Tech Village, Bangalore, on the day Walmart made the
announcement. Bani Bansal announced Sachin's resignation, saying that Walmart will
only help Flipkart expand, in a short address. He ensured that the company's
operations would not be impacted.

Krishnamurthy was mistakenly dressed in blue jeans and a brown shirt when he spoke
to the employees at the monthly event on Friday. He informed employees that in the
future months, Flipkart would stop giving discounts solely to buy growth. Latanu will
invest in locations where businesses would not damage others in order to get clients.
The goal will be to keep customers happy.

According to a May 13 research from investment banking company Morgan Stanley,


Flipkart controls almost 60% of India's e-commerce sector, while Amazon controls
around 30%. The Indian retail market, on the other hand, has a lot more juice.
Analysts forecast that by 2020, it will have grown to $ 1.3 trillion. Walmart's
ambition to wring a substantial market share from India's e-commerce company, as
well as Walton's presence on the board of directors, will be obvious shortly. Flipkart
wants to offer a succession of new products and services in the next five to six
months that will help the company grow and overtake Amazon.
Through its cooperation with MakeMyTrip, a Gurgaon-based online travel provider,
Flipkart is anticipated to offer tickets and hotel bookings. It will be a fully developed
product in the coming months, according to at least two people. It will also serve as a
category for furnishings. Flipkart, according to internal estimates, already accounts
for about 30% of online furniture sales. By the end of 2018, areas such as gems and
jewellery, as well as pharmacy and healthcare, will be available. The food shop,
however, will receive the biggest boost, as it is a vast and appealing category in
which Alibaba promotes BigBasket.
"Walmart's Cash & Carry business supports Kiranas and Flipkart through a lot of
touchpoints, whether it is a marketplace or a phonepee," an IA official stated, "and is
a vital to Kiranas' success and modernisation." The two together have the ability to
boost the market and benefit farmers. This will not be simple, as Amazon, which was
granted a food retail licence in India in July of last year, is still testing the waters.
Selling fresh fruits and vegetables to Indian households, according to experts, is not the
most difficult element of collaborating with corporations like HUL and P&G. According
to a May 13 research from investment banking company Morgan Stanley, Flipkart controls
almost 60% of India's e-commerce sector, while Amazon controls around 30%. The Indian
retail market, on the other hand, has a lot more juice. Analysts forecast that by 2020, it will
have grown to $ 1.3 trillion.
Walmart's ambition to wring a substantial market share from India's e-commerce
company, as well as Walton's presence on the board of directors, will be obvious shortly.
Flipkart wants to offer a succession of new products and services in the next five to six
months that will help the company grow and overtake Amazon.
CHAPTER-3

APPLICATION OF THEORITICAL
FRAMEWORK
McKinsey 7s model:

Strategy, structures (such as corporate charts and reporting lines), and systems are the
three "hard" factors (such as formal processes and IT systems). These are easy to
recognise, and management has a direct influence on them. Four "soft" characteristics,
on the other hand, are more difficult to define, less obvious, and more influenced by
your company's culture. They are, nevertheless, equally as vital as the hard factors in a
company's success.
Let's have a look at each of the components separately:

1) Strategy: Your company's plan for gaining and maintaining a competitive advantage
over its competitors; as a result, your company is organised (ie how the departments and
teams are structured, who reports)

2) Organization: This refers to how your organisation is set up (ie how departments and
teams are formed, includingwho informs whom).

3) Shared Ideals: These are the company's essential values, as expressed in its corporate
culture and work ethic. They were originally referred to as "overall goals" when the model
was first designed.

4) Leadership Style: A well-liked leadership style.

5) Employees and their general abilities are referred to as personnel.

6) Skills: The organization's personnel' relevant skills and competences.

Using the McKinsey 7-S Model

It can be used to figure out what has to be rebuilt in order to improve performance or to
keep alignment and performance throughout other adjustments. Rebuilds, new processes,
mergers, new systems, and leadership changes are examples of these changes.
1) Start with your shared values: is it compatible with your design, strategy and
systems?

2) Look at the hard side of the chicken. How well does each support the other? Identify
where
changes need to be made. Next, look for soft elements. Do they support the hard points
they want?
Do they support each other? If not, what needs to change?

3) Next, look for flexible elements. Do they support the tough points they want? Do they
support each other? If not, what needs to change? When you set and assemble elements,
you need to use a repetitive (and often lengthy) process to make adjustments, then re-
analyze how it affects other elements and their alignment.

An Example of the McKinsey 7-S Framework in Action

White Hawk Electronics, we explain, is a five-person startup. As a young company, it still


relies totally on its creator Alex's vision and principles, and all of its elements are in sync.
It caters to the same market and makes use of off-the-shelf computers and accounting
software. The company expands over time, employing 30 people and diversifying into
other markets. Marketing, technology, product development, and financial management
skills are all in demand from new customers.

Alix did a seven-second analysis. Whitehawk's sales strategy no longer fit her small
company skill set, she discovered. Because of the quick influx of new employees brought
on by technology advancements, some employees lack the requisite system skills. To
make matters worse, they are unsure about the organization's principles and mission.
Checklist Questions for the McKinsey 7-S Framework

What is our plan of action?

Structure:
• What are the divisions within the company/team?
• What is the order of things?
• How are the various departments' efforts coordinated?
• How are the members of the team organised and aligned?
• Is control and decision-making centralised or decentralised? Is this appropriate in light of
what we're doing?
• What are the communication channels? What's the difference between explicit and
implicit?

Systems:
• What are the organization's key operating systems? • Where are the controls, and how are
they monitored and evaluated? • Consider financial and HR systems, as well as
communications and document storage.
•What internal procedures and rules does the team use to stay on track?
Values in Common:

• What are the fundamental values?


• What is the company's or team's culture?
• What is the strength of the values?
• What are the foundational ideals around which the company/team was founded?
• Do your employees/team members have a competitive or cooperative attitude?
• Do real teams exist within the organisation, or are they just fictitious groups?
LIMITATION OF THE STUDY

• The data was incomplete - missing values and a section made it difficult to use.

• The quality and format of data obtained from various sources varied- Data acquired from
various sources such as surveys, e-mails, data-entry forms, and the company website had
distinct properties and structures. There was a lot of incompatibility between data fields
from diverse sources.

RESEARCH METHODOLOGY

• Data Mining: Data mining is used to manage massive amounts of data sets, both
structured and unstructured, in order to uncover hidden patterns and relationships among
variables. These associations can be utilised to understand the behaviour of the event from
which data is compiled once they've been recognised.

• Statistical Modeling: Statistical data models can be constructed in parallel to the data
mining process, based on the context of what has to be predicted, utilising the same
acquired data as for data mining. The fresh data is incorporated into models to forecast
future outcomes once the model has been developed.

• Machine learning (ML): ML can use iterative approaches and procedures to detect
patterns and develop models from enormous data sets.
CHAPTER-4

ANALYSIS & INTERPRETATION OF FINANCIAL


STATEMENTS
Flipkart tracks each customer's 'journey' by analysing every click and touch they make
during each session.Users' journeys help us learn how they use the Flipkart app and
anticipate their next purchase.

When a customer browses a product range's catalogues, for example, the customer's search
patterns are recorded and a persona is created for him so that when he returns to the
website, the time spent searching is drastically reduced by displaying the most relevant
product that the customer might be interested in purchasing.

Sellers should expect 2.5 to 6 times business growth during the Big Billion Days.
Sellers collectively employ more than 10 lakh people to meet the rising business demand.
Transactions have gotten more smoother for both sellers and e-commerce companies since
the switch to GST last year.

Gender wise online shopping for clothes

INTERPETATION: Among all 100 respondents, there 60.00% males and 40.00%
females.
Better sales service by gender

INTERPETATION: Among all 100 respondents, there were different


respondents accessing websites for online shopping .

How the respondents came to know about Flipkart ?

Frequency percent Valid percent Cumulative


percent
TV ads 43 43 43 43.0
Newspaper ads 21 21 21 64.0
Hoardings 10 10 10 74.0
Internet ads 26 26 26 100.0
Total 100 100 100
INTERPRETATION: there were 43.00% respondents knew through TV Ads,
10.00% knew through hoardings,26.00% knew through Internet Ads and
21.00% respondents knew through Newspaper Ads.

How long has the respondent been accessing Flipkart ?

Frequency percent Valid percent Cumulative


percent
Valid <1 10 10 10 10.0
Month
2-6 Months 6 6 6 16.0
7-12 Months 36 36 36 52.0
>12 Months 48 48 48 100.0
Total 100 100 100
INTERPRETATION:

there were 10.0% using from less than 1 months, 6.0% respondents using from 2
- 6 months, 36.0% using from 7 - 12 months and 48.0% respondents using for
more than a year.
CHAPTER – 5

LEARNINGS, FINDINGS, SUGGESTIONS AND


CONCLUSION
Findings:

• The majority of respondents were unhappy with Flipkart's customer service. The service was
rated as satisfactory by 74% of customers.

• 19% of consumers did not believe in all of the different things that are always available on the
Flipkart web portal, according to 33 percent of consumers.

• 48% couldn't say anything at all about them.

• Twenty percent of consumers had seen Flipkart advertised on television.

• 42% for newspaper ads, 26% for billboards, and 12% for Internet commercials.

Why Selling high-end items on Flipkart isn't much better.

• Flipkart offers were rated as satisfactory by 79 percent of respondents.

Suggestions:

• Web companies should examine the availability of various products on their web portal
on a regular basis.

• The company's marketing approach must be changed because high-end product sales are
low.

• The corporation must remove the product information that caused the sale to be halted
from its website because it was providing incorrect information to its clients.

• The organisation should make use of the most advanced technologies available to serve
its customers.

• The information must be correct.

• Fake data must be thrown away.


Conclusion:

• Flipkart offers a diverse range of products, some of which are essential and
others which are extraordinary. Clients are more likely to learn about middle-tier
things than premium items, which could be due to a lack of promotion or
exhibiting of the excellent range of products.
• Purchasers had a positive experience with Flipkart in general. 48 percent of
respondents were extremely satisfied, while 23 percent were satisfied, which
sounds like a fantastic result.
• The data must be accurate in order to predict customer preferences.
•Following a customer's engagement with Flipkart, we should ensure that they
become brand loyal and track their activity on the platform.
Bibliography:

 Organisation related references


 Survey and data collection
 https://www.analyticssteps.com/blogs/predictive-analytics-techniques-and-
applications
 https://www.dummies.com/article/technology/information-technology/ai/machine-
learning/the-limitations-of-the-data-in-predictive-analytics

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