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GROUP-3 BRIJESH KUMAR-16 RAMAN CHANDRA-17 RICHA GHOLY-18 SHALINI IYER-19 DAMINI CHAUHAN-20 NIKITA SHARMA-21

MANAGEMENT PROBLEM
Whirlpool Corporation is considering whether to enter

the Indian TV market or not.

RESEARCH PROBLEM
To determine the current perception of consumers

about Whirlpool corporation vis--vis other brands(competitors) and to know the most important factors buyers consider while buying a brand of television.

RESEARCH QUESTIONS
1.What factors do households consider when selecting a TV brand? 2.What is the market size of TV industry in India? 3.Which are the major competitors in the market and their market share? 4.Which brands are preferred when shopping for specific product categories? 5.What is the demographic and psychological profile of the customers ?

INDIAN TV MARKET TRENDS


India television market is the third largest TV market after the

U.S. and China. Market which was once dominated by Indian players like Videocon, BPL and Onida are now dominated by MNC players LG, Samsung, Sony, Panasonic and Toshiba. Even in technology wise market is clearly shifted towards LCD, LED and Plasma from CRT (Cathode Ray Tube) TVs. Upper class and Upper middle class has already shifted to smart TV segment, now middle class segment is largely shifting towards LCD, LED and Plasma TVs.

A robust 400 million Indian middle class with growing

disposable incomes has been instrumental in driving demand of various consumer electronic devices. During 200613, LCD, LED and Plasma TVs segment has shown a robust 76 % growth rate in India. For the financial year 2012-13 this segment has sold more than 4.6 Million units, which accounts Rs 105 Billion. Domestic demand of electronics in India is expected to reach USD 400 Billion by 2020. At the current rate of growth domestic production can cater to a demand of USD 100 Billion in 2020 as against a demand of 400 Billion USD and the rest would need to be met by imports.

MAJOR FACTORS CONTRIBUTING TO GROWTH


Intensity of competition
Emergence of MNCs High rate of new entrants

Promotional schemes
Exchange scheme Free gifts Discounts

Payment schemes
Easy availability of credit Interest free deferred payments 6 months to 3 years payment duration

PENETRATION LEVELS
Indian television market is highly under penetrated compared

to China, developed countries and world average.


1000 900 800 700 600 500 400 300 200 100 0

Penetration level of Television sets per 1000


856 865 772 751 676 678 World Average=538 478

179

(Source: Economic intelligence unit,2013)

CTV MARKET SIZE AND GROWTH RATES


Television market in India is expected to grow at a robust rate of

19.1% CAGR till 2016.


800
700 600 500 400 300 200 211 241
12.3%

Market size of TV in India (in INR Billion)


19.1%

735 618

514 297 329 380 435

257

100
0

2007

2008

2009

2010

2011

2012

2013

2014E 2015E 2016E

(Source: FICCI)

FLAT PANEL TV MARKET SIZE


This market consists of LCD, LED, Plasma, 3D and Smart TVs. The FPD TV market which in 2012 stood at $3.55 billion , is

likely to grow at a compound annual growth rate of 21.7 per cent by 2015. flat panel TV market in India is expected to touch the $6.39 billion mark by 2015. The total market in terms of consumption for such TVs stood at 6.48 million units, while the total domestic manufacturing was 1.93 million units in 2012.

LCD,LED,PLASMA TV MARKET SHARE IN FY12-13


OTHER S 27%
LG 20% LG, Samsung and Sony dominates the segment with more than 65 % market share and are the top television brands in India

SONY 21%

PANAS ONIC 7%

SAMSU NG 25%

FACTORS DRIVING SHIFT TOWARDS LCD,LED AND PLASMA TVs


Changing lifestyle Different payment options Technological advancements Rise in family income Minimal price difference between CRT and LCD,LED TVs. Picture quality

Sound quality
Innovation

KEY STRATEGIES OF MAJOR PLAYERS


SAMSUNG
Create a premium image by emphasising on global brand Competitive pricing

LG
Focus on low and medium priced products Regional distribution model LG was the first brand to introduce gaming in CTVs

SONY
Enhance product strength in order to increase sales and product value. launch models tailored to meet local needs

ONIDA
value for money proposition Creating a strong emotional pull through brand salience Broad basing product offering

VIDEOCON
Leveraging on being an Indian company Multiple brand strategy Focus on dealer/distribution network

BPL
market segmentation strategy Sub-branding strategy Focus on in-store and POS branding

SWOT ANALYSIS OF TV INDUSTRY


STRENGTH Presence of established distribution networks in both urban and rural areas. Presence of well known brands. Easy availability of finance. Weakness Demand is seasonal and high during festive season. Demand is dependent on good monsoons. Poor government spending on infrastructure. Low purchasing power of consumers.

Opportunities In India, penetration level of white goods is lower as compared to other developing countries. Unexploited rural market. Rapid urbanization. Increase in income levels, i.e. increase in purchasing power of consumers Threats High import duties on raw materials. Cheap imports from ASEAN at 0% or concessional import Duty & imports from China Poor infrastructure; Non-Availability of regular power supply

IMPACT OF FTAS
Currently India tops the list of ASEAN countries with 30 FTAs,

eight are with the integrating Asian region, while 22 are outside of Asia. The local manufacturing benefits of all the major consumer appliances in expected to decrease by 2017 when the FTAs with the ASEAN countries are fully implemented

RESEARCH DESIGN
Exploratory research The objective is to gather preliminary information that will

help define problems. Secondary research such as reviewing available literature and/or data to determine trends and shifts in consumer preferences. competitor analysis. Descriptive research The objective is to describe the market potential and market share of TV industry. Primary data will be collected through sources like personal interviews, questionnaire to gain an understanding of customer preferences, competition and factors taken into consideration while purchasing TV. This will be then followed by statistical analysis on the survey to find any pertinent associations or trends.

METHODOLOGY
Specification of information sources
Published Secondary data collected through General

business sources such as guides like the Research Papers , insights on the websites of Samsung, Sony, Panasonic and other research firms .
Specification of Data Collection
Personal interviewing : Field Work-To collect data from

consumer, we will be using written questionnaires. Gather information about the most important factors buyers consider while buying a brand of television. To understand the consumer preferences.

Overview of sampling plan


Sample size will be of 120. Methodology used for the sampling is Non-probability

sampling - Judgmental sampling. According to our judgment, we will be taking our sample frame from Dwarka region of West Delhi.

LIMITATION OF THE STUDY


The nature of self-reporting: Respondents

sometimes are reluctant to reveal private details in our questionnaire. Moreover it is also affected by the customers behavior at that instant. Sample Selected: Sample selected by us is some of the well developed areas of Delhi so result might be different if we will focus on others parts as well. Qualitative research Limitations: Every time the findings related to various factors cannot be generalized to the larger population. Time Constraints: we have very less time to complete our research due to academic schedule.

DATA ANALYSIS STRATEGY


Here we will use generic software such as SPSS, and Microsoft Excel. We will use ANOVA, Regression or Correlation technique as may be applicable. Result can come in a Better and more understandable format if we will focus on specialized market research tools.

TIMELINE
DAYS 1 1-2 6-7 2-3 2-3 1 1 ACTIVITY Literature Review Questionnaire Development Fieldwork, Personal Interview Data Preparation Analysis Presentation Final report available

RESOURCES REQUIRED
Research papers on TV industry.
Manpower. Past information and data.

EXPECTED OUTCOMES OF RESEARCH


Since the Indian TV market is about to experience high

growth, has low penetration levels and domestic production is not sufficient to cater to such demand, the company should enter the Indian TV industry. It should focus on metros and tier I and tier II cities initially and subsequently enter the rural market.

BIBLIOGRAPHY
http://www.currentweek.com/top-television-brands-in-india-market-

2013-trends-market-share-in-lcd-led-plasma-tvs-segment/ http://www.adlittle.com/downloads/tx_adlreports/Consumer_applian ces_report.pdf http://www.samsung.com/in/