A

LIVE PROJECT REPORT

OF

MARKETING MANAGEMENT

A study on the role of retailer with special referenceA study on the role of retailer with special reference

Submitted To: - Submitted By:-

Prof: Pooja Kunwar Digvijay Sinh zala

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CERTIFICATE

This is to certify that the project on the study on ROLE OF RETAILER WITH SPECIAL REFERENCE TO AMUL LTDS has been successfully done by Mr. DIGVIJAY SINH Z ALA as a partial fulfillment of MARKETING MANAGEMENT project of their 2 years Master in Business Administration in INC Adam Smith Institute Of Management, Ahmedabad.

Place: Ahmedabad

Date: 15/02/2008

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PROF. POOJA KUNWAR, Mr. JAGDISH PATEL,

Faculty, Principal,

INC ASIM, INC ASIM,

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Ahmedabad. Ahmedabad.

PREFACE

The practical Study in MBA program develops the feeling of

awareness. It helps the management student to know about the

difficulties and challenges of the business world. Only theoretical

studies do not impart complete education. There must be practical

study to add meaning of education.

To fulfill this objective live project has become an integral part of

MBA Program. Us you have practical outlook of the motivational

aspects and witness the functions of organizational productivity in

real business, I have tried my level best to present a project based on

role of retailers in amul outlets.

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ACKNOWLEDGEMENT

The successful completion of this report could not have been

possible with out the co-operation and support of my teachers and all my

college who have provided permission letter for preparing the marketing

management project.

I forward my gratitude to respected principal of the INC ASIM Mr.

Jagadish Patel & I also extend my thanks to my faculty Prof: POOJA

KUNWAR for imparting valuable guidance and co-operation during the

making the report.

Last but not least, I am thankful to INC ASIM Ahmedabad for

introducing live project report visit as a significant aspect of our M.B.A.

program, which exposes us to actual business environment

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INDEX

SR. NO. PARTICULARS PAGE NO.

1

Introduction of project

1.1 Specific focus of live project1.2 Topic assigned by faculty member1.3 Concept it is based on1.4 Methodology to be adopted1.5 Objectives of the project

6

2 Company Profile 7

3 Methodology 9

4 Conceptual Relevance 10

5 Facts and observation 13

6 Suggestion 15

7 Limitation 16

8 Conclusion 17

9 Bibliography 18

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INTRODUCTION

Specific focus of the project;

I am preparing this project report with main focus of role played by retailer in amul outlets. This would help in knowing the retailers role in amul outlets.

Topic of the project;

The topic of my project is a study on retailer with special reference to amul ltd outlets.

Concept it is based on;

Project report is based on mainly to know the role of retailer in amul ltd outlets. It also helps in knowing the in which role played by retailers in amul outlets.

Methodology;

For the completion of this project report I have mainly used the primary data and secondary data. Which already exist somewhere else?

Objectives of the report;

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My main objective for preparing this report is to know the roles of retailers in amul outlets.

COMPANY DETIALS

Amul or Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF) as India's largest food products marketing organization with annual sales turnover of Rs.2881 crores (US $ 650 million). They manufacture and market a wide range of dairy products in India and abroad under the brand names of Amul and Sagar. GCMMF has 19 affiliated dairy plants with a total milk handling capacity of 6.7 million liters per day. The total milk drying capacity is 510 MT per day. GCMMF is also the largest exporter of dairy products from India.

They manufacture and market a wide range of dairy products in India and abroad under the brand names of Amul and Sagar. The product categories are Infant Milk Food, Skimmed Milk Powder, Full Cream Milk Powder, Dairy Whitener, Table Butter, Cheddar Cheese, Mozzarella Cheese, Emmental Cheese, Cheese Spreads, Gouda cheese, Ghee, Sweetened Condensed Milk, Chocolates, Malted Milk Food, Blended Bread spreads, Fresh milk, UHT (Long life) Milk, Ice-ream and ethnic Indian sweets. Each of our products is a market leader in India.

GCMMF is the largest exporter of dairy products from India. They export there products in consumer packs and bulk to USA, Singapore, UAE, Australia, Bahrain, Qatar, Oman, Kuwait, Bangladesh, Madagascar, Yemen, Sri Lanka etc. On a regular basis. They have won 9 awards consecutively from APEDA, Govt of India.

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COMPANY PROFILE

Basic Information

Company Name:Amul India (Gujarat Co-operative Milk Marketing Federation Ltd.) 

Business Type: Manufacturer  

Product/Services:

Infant Milk Food, Skimmed Milk Powder,Butter,Cheese (Cheddar,Mozzarella,Emmental,Gouda),Cheese spreads,Ghee,Condensed Milk,Chocolates,malted milk food,Breadspreads,fresh milk,UHT milk, Ice-cream.  

Address: Amul Dairy Road  

Number of Employees:

501 - 1000 People  

Company Website URL:

http://www.Amul.com

Ownership & Capital

Year Established: 1973  

Legal Representative/Busines

B M Vyas  

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s Owner:

METHODOLOGY

For gathering the information about this project I have followed both

primary and secondary data collection.

I have gathered some more information from Internet also.

I have referred to the books of INC Adam Smith Institute of Management for the theoretical knowledge regarding a role of retailers.

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CONCEPTUAL RELEVANCE

Retailing consists of the sale of goods or merchandise from a fixed location, such as a department store or kiosk, or by post, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be individuals or businesses. In commerce, a retailer buys goods or products in large quantities from manufacturers or importers, either directly or through a wholesaler, and then sells smaller quantities to the end-user. Retail establishments are often called shops or stores. Retailers are at the end of the supply chain. Manufacturing marketers see the process of retailing as a necessary part of their overall distribution strategy.

Shops may be on residential streets, shopping streets with few or no houses, or in a shopping center or mall. Shopping streets may be for pedestrians only. Sometimes a shopping street has a partial or full roof to protect customers from precipitation. Online retailing also referred to as B2C type of e-commerce, and mail order are forms of non-shop retailing.

Shopping generally refers to the act of buying products. Sometimes this is done to obtain necessities such as food and clothing; sometimes it is done as a recreational activity. Recreational shopping often involves window shopping (just looking, not buying) and browsing and does not always result in a purchase

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The advent of modern format retailing has led to a sea change in purchasing behavior of consumers. While large retail chains do provide some convenience to consumers, historically they have rarely had any beneficial impact on farmers who supply agricultural produce to them. Across the world, it is observed that the farmer’s share in the consumer’s rupee, keeps on declining due to the rising bargaining power of supermarket chains. This phenomenon will definitely take place in India, as well, within the next few years. To counter this, we have decided to set up our own Amul Preferred Outlets (APOs), all across the country.

GCMMF ventured into organized retailing in 2002 with a view of getting closer to the consumer and provide her the complete brand experience. We have made our presence felt by creating several strategically located parlours, in a short period of time. The entire expansion drive is based on the franchisee route adopted by GCMMF, which means an employment opportunity for thousands of enterprising Indians. The Retailing operations would not only help farmers and small time entrepreneurs to counter the onslaught of Modern Format stores but would also help consumers to relish complete Amul brand experience.

Amul has recently entered into direct retailing through "Amul Utterly Delicious" parlours created in major cities Ahmedabad, Bangalore, Baroda, Delhi, Mumbai, Hyderabad and Surat. Amul has plans to create a large chain of such outlets to be managed by franchisees throughout the country. We have created Amul Parlours at some prominent locations in the country, which are run by the company or its wholesale dealers:

1. Delhi Metro Rail Corporation 2. The Somnath Temple

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3. National Institute of Design 4. Infosys Technologies in Bangalore, Mysore & Pune 5. Wipro campus in Bangalore 6. L.J. College, Ahmedabad 7. Ahmedabad Airport 8. Surat Municipal Corporation 9. Delhi Police 10. Gujarat State Road Transport Corporation 11. Jubilee Mission Medical College, Trichur, Kerala 12. Sanjay Gandhi Hospital Parlour, Amethi 13. Indian Institute of Management, Kolkata 14. Cafe Amul, MDG, Gandhinagar

"Amul Utterly Delicious" parlours are an excellent business opportunity for investors, shopkeepers and organizations. In order to come closer to the customer, they have decided to create a model for retail outlets, which would be known as "Amul Preferred Outlets"(APO).

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FACTS & OBSERVARTIONS

The findings regarding the roles of retailer in amul ltd outlets:

1. The criteria for selection of APOs would be - a. Visibility - How prominent is the location of your shop? b. Shop area: 100 - 300 sq. ft. c. Good Business potential d. Exclusive Amul outlet - no other products e. Willingness to sell the entire range of Amul Products f. Creditworthiness and past business experience

2. On inquiry - Amul Field force would visit your site. He/She would fill the APO proposal form with retailer passport size photograph. retailer would require:

i. Shops and Establishment license ii. Layout of the shop and frontage - The layout of the shop

designed by a local architect/local contractor. iii. 2 Passport size photographs

Renovation Work of the Shop to give it a standard look - would be done to meet the design and specifications at retailers cost. The cost of renovation of a typical shop would normally be between Rs. 60,000 to Rs. 1 lac.

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Branding - The APOs would be branded as "Amul Utterly Delicious". The cost of the signage fabrication and installation would be borne by GCMMF office operating in your region.

Equipment - retailers would require the following equipment:

a. 1or 2 deep freezers can be purchased through Hamara Apna Deep Freezer Scheme

b. 1 Refrigerator through Hamara Apna Refrigerator Scheme c. 1 pizza oven d. 1 Chest Milk Cooler for Pouch Milk

Security Deposit - retailers would be required to furnish an interest free refundable security deposit of Rs. 25,000 to us. An amount of Rs. 5000/- would be deducted towards refurbishing the signage, in the event of closure of APO before 3-year of operation.

Supplies - The delivery of products would be done through our wholesale dealers

Amul feel that the shop has good potential, and needs support in the initial days; they can offer additional margins up to maximum of 1% on dairy products and 2% on Ice cream. The additional margin shall be target based and shall be given in kind.

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SUGGESTIONS & RECOMMENDATIONS

By studying the role of retailers in amul outlets I would like to suggest that they should provide.

They should help retailers financial while setting up outlets.

They should remove criteria of allowing that person only is eligible to set up outlets if has already having experience in business.

They need to increase profit margin of retailers also.

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LIMITATIONS

First limitation is related to the time factor. Because it is very difficult to cover all the aspect of role of retailers in a short time duration.

We have included only one organization in to consideration for the project and not all because to take all it is almost impossible.

Retailing is very wide topic so we are not able to cover all the information.

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CONCLUSIONS

After doing this live project, I have come to the conclusion that the

role of retailers in AMUL LTD that company already has cleared the

role of retailers. They have clear all details from setting up the outlets,

equipments required by the retailers, investment required. And every

necessary information has been cleared by amul.

.

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BIBLOGRAPHY

BOOKS

Marketing management------ INC Adam Smith Institute of Management

WEBSITES

www.google.com www.amul.com

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