A STUDY ON COMPETITION ANALYSIS DONE FOR

ZUARI CEMENTS LTD

Yerraguntla, Kadapa (Dt)

PROJECT REPORT
Submitted in partial fulfillment of the
Requirement for the Award of the Degree of
MASTER OF BUSINESS ADMINISTRATION
(Sri Venkateshwara University)

BY
J. KIRAN KUMAR
( Reg.No. 380998018 )
Under the Esteemed Guidance of
Mr. GURUNATHAM NAIDU, MBA

Assistant Professor
Department of management studies
SRI VIDYANIKETHAN INSTITUTE OF MANAGEMENT
( Affliated to Sri Venkateswara University )
Sree sainath nagar, A.Rangampet
TIRUPATI-517102

2008-2010
 ACKNOWLEDGEMENT

I express my sincere thanks to Mr. PAVAN KUMAR, HR MANAGER. For

his valuable suggestions and co-operation during the completion of project work.

I express my sincere thanks to Mr. K.R.VENKATESH, MARKETING

MANAGER for his valuable suggestions and co-operation during the completion of
project work.

I express my sincere thanks to Mr.CH.RAVI, MANAGER(P&A), for his

valuable suggestions and co-operation during the completion of project work.

I express my sincere thanks to Mr.R.RAJA SEKHAR REDDY, for his

valuable suggestions and co-operation during the completion of project work.

I express my sincere thanks to Dr.C.S.G.KRISHNAMACHARYULU

DIRECTOR, SVIM, TIRUPATI, &, SVIM for encouragement, guidance and
valuable suggestions.

(J.KIRAN KUMAR)

DECLARATION
 I here by declare that the project report entitled “A STUDY ON
COMPETITION ANALYSIS DONE FOR ZURARI CEMENTS LTD” is actual
work done by me for the partial fulfillment for the award of Master Degree in Business
Administration Affiliated to SVU,TIRUPATI.

(J.KIRAN KUMAR)

CONTENTS
Chapter 1
 Introduction
 Industry profile
 Company profile
 Product profile

Chapter 2
Deals with topic under study
 Need for the study
 Objectives
 Scope of the statement
 Limitations

Chapter 3
 Research methodology
Chapter 4
 Data analysis & interpretation

Chapter 5
 Findings
 Suggestions
 Conclusion

Appendix
 Questionnaire
 Bibliography

INTRODUCTION
 Cement finds its use in various construction activities like building, dams,
bridges, Colonies, railway sleepers, aerodromes etc., Different grades of cement are
being use in different kinds of work depending on the strength and load - bearings
requirements. However in all colonial housing construction activities, it is the 43 and 53
grades of cement that are in prevalent use in the society, at large.

For various reasons, particularly population explosion and urge on the part of
major chunk of the population to build their own houses, however small may be, within
the budget constraints and also because of the housing loan schemes as offered by banks,
both nationalized and private and other co-operative societies and other cooperation etc.
The 43 & 53 grade cement market is fast expanding and managerial skills are supporting
its growth. But the branded cements are in developing stage.

Though there were only a few players in the cement market in sixties and
seventies, of late the competition, with so many players more or less the same quality of
cement, at least in the eyes of the individual and at more or less the same price.

What makes a particular brand click and what makes a particular brand a flop is
the subject of this project and the purpose of this survey meant elicit the perceptions of
individual and their preferences which have a substantial bearing on the sales turn over of
any brand cement.

The present study is descriptive in character all the information gathered from primary
sources and secondary sources. Because of time constrain, the entire population of
audience could not be covered and hence a stratified random sampling was restored to in
lien of census.

Though every care was taken to eliminate bias, both on the part of the interviewer
and the respondents, an element of the bias, to some extent might have crept in the
tendency on the part of humans to behave artificially particularly when observed can’t by
passed altogether. However, there was the enthusiasm on the part of the surveyor as a
business Study and a lot of encouragement was forth coming of the executive circles
spread across a spectrum of cement industries.

Based on the survey, an analysis, comprising graphical and statistical tools was
make and consequently the research has arrived at various findings and conclusions and
based on these, a list of recommendations were made to the ZUARI CEMENT in view of
the cut throat competition and the predicament of the dealers while selecting a brand of
cement.

INDUSTRY PROFILE

ABOUT THE INDUSTRY:

Cement, and steel, is one of the basic materials for the technical development of
the country. Consumption is universally recognized as an index of the economic
development of country.
 Cement industry in India is nearly eight decades old, the first cement plant
having been commissioned in 1914 at Boradhpur(Gujarat).The cement industries growth
has been slow and even mainly on account of the statutory price and distribution control
for over forty years. Consequently, the targets of capacity and production fixed under
successive five-year plans did not fully materialize. This trend was reversed in 1977 and
climate of accelerated growth set in with the announcement of a formula for new
investment based on 12% post return, the policy of partial decontrol announced in 1982
gave further boost to the cement industry.
In the wake of new policy, ambitious and comprehensive modernization
expansion programs have been under taken by the industry which include conversion
measures; comprehensive adoption of latest technology, such as the use of vertical raw
materials precalcinators and installations of pollution control devices, setting up of
captive power units, modernization of quarry operations etc.
India is the third largest producer of cement in the world after China and Japan.
Though the Indian cement industry has come a longer way in terms of production yet the
percapita consumption is 87 kgs in India is abysmally low when comparing to the world
average of 200 kgs.

The cement industry has passed through various stages. Tight price and
distribution control in the 70’s with resultant sluggish growth, partial decontrol and
massive investment in the late 80’s and severe market recession and abrupt slow down of
pace of growth is the early 90’s and in the last two years. With firming up cement prices,
the industry witnessed a recovery in 1994, which turned up a boom in 1994-1995.

As such all the cement players have shown lower bottom lines and some even
have shown huge losses as the capacity addition outpacing the growth in demand. The
implication is that prices are likely to remain under pressure mainly northern and central
part of the country where the capacities are very high.

The Indian cement industry now in the midst of consolidation phase, has seen its
fortunes flagging in the 4 last 18-24 months, A full in construction activity and dismal
infrastructure development have led to poor off take and as result low capacity utilization
and falling prices have dogged the industry. However, recent developments. Suggest
signs of modest revival. The last five years of 2002-2008 have shown a definite change
for the better.
PERFORMANCE OF CEMENT INDUSTRY:
(Including mini and white cements, in million tones)
Price and distribution controls:
During Second World War, cement was declared essential under the defense of
India rules and brought under price and distribution controls which resulted in sluggish
growth. The installed capacity reached only to 27.9 MT by the year 1980-81 partial
decontrolling in February 1982, was announced under this scheme levy cement quota was
fixed for the units and the balanced could be sold in the opened market. This resulted in
extensively modernization and expression drive, which can be seen from the increase in
the installed capacity to 59 MT in 1988-89. In comparison with the figure of mere
27.9MT in 1980-81, an increase of almost 111percent.
At present there are 60 companies in large sector having 1230 plants constituting a
total installed capacity of 100.30 MT industry total turnover is around Rs.20,000 cores
the total production was about 96.73 MT during the 2005-06 which is around 14.61%
more than 2004-05. in 2006-07 the industry grew by 11 present in the current it is
expected to grow by 13 percent over the year between 1982-83 to 2006-07 the cement
consumption recorded a growth of 12-13 percent compounded annually against the
GDP growth. The demand as improved and there is pick in the rural market.

During the current year the production have increased to 37.64 MT in the first 6
months-registering 5.02 percent growth over the corresponding period in the year.

Export:
Cement, a high volume product is extremely thinly traded commodity recently India
did not export any cement at all. Therefore though the country is the third largest
producer of cement in the world yet its presence in the global market is negligible. Our
exports have reached 8 MT only in 2006-07.

Future:
The consumption of cement is determined by factors influencing the level of housing
and industrial construction irrigation projects, roads and lying of water supply and
drainage pipe etc. These factors in turn are determined by the level and the growth of
GDP and its sectional composition, capital formation, Development expenditure, growth
in population level of urbanization, cost of obtaining credit and other factors. But the
domestic market for cement is mainly from the housing and building activities. While the
consumption for infra structure development has been low. Exactly reverse is the
scenario of the developed nations where bulk of the cement is consumed for constructing
roads, bridges, dams etc.

Considering a huge capacity addition particularly in the northern region out; acing
the demand growth has created a surplus situation in the respective area, such capacity
utilization is likely to comedown and price realization also might continue to be under
pressure there by squeezing in the margins.

But the southern region is likely to enjoy the present status for some more time. At the
same time the inter region price differences is also likely to vanish more(or) less with
number of Gujarat based plants making in road to the southern marked by using sea route
transport. To sum up, the industry is heading towards a situation of competitions and
price wars. As such only cost efficient and strong brand image companies are expected to
perform well. There will be more mergers and acquisitions taking part as seen in the last
one year. Another major development in the industry will be the emergence of the new
concepts ready-mix concrete (RMC). RMC will be an eco-friendly and high quality
product with a lot of time saving. Another major development be large players will be to
set up bulk terminals to minimize the distribution chain.

COMPANY PROFILE

Zuari cement and Italcementi, the new binding strength

Zuari cement is now fully owned by the Italcementi group, the fifth largest
cement producer in the world and the biggest in the Mediterranean region. With net sales
of five billion Euros in 2005 and a capacity of 70 million tones, Italcementi has a strong
presence in over 19 countries. Now in India, with its inherent strengths, Italcementi is all
Italcementi set to give the building industry, cement that’s truly international.
 Italcementi believes in customer satisfaction through continuous quality
improvement. This belief reflects in the group’s Quality Management system that
compiles with ISO9001:2000 standards. This system covers all the processes, across all
the group companies, to ensure that the product delivered to costumers is nothing short of
world class.
The export market is Zuari’s another key focus area. In fact, in the year 2005-
2006, the company’s innovative marketing strategies have earned it’s the reputation of
being the leading exporter of cement in South India. Recognizing Zuari’s noteworthy
efforts in the exports front is the fact that, Sri Vishnu Cement Limited has won the
prestigious CAPEXIL certificate of merit for the year 2005-06.
While technology is just one of its strengths, there are many other factors that
contribute equally to Zuari’s success. These include superior work force and de-
centralized quality assurance teams, which ensure every bag of cement that leaves the
plant matches customers’ expectations.
The Zuari Agro Limited (ZACL) was conceptualized on 12th May, 1967 with
main object of manufacturing, distributing and marketing of fertilizer and other
agriculture inputs. Zuari cements is a division of Zuari Industries Limited, a company
prompted by the house of Birla and multination giant USX, having its registered office at
jai Kissan office at jai kissan bhawan, Zuari Nagar, Goa.

Zuari cement is running under the flagship of Zuari Agro chemicals Limited.
Zuari cement is strategically located 6Kms away from Yerraguntla town of Kamalapuram
Taluk in Kadapa, Andhra Pradesh. Railway line has been laid connecting the Yerraguntla
station.
Zuari cement formerly known as Texmaco Cement, taken over by Zuari Agro
Chemicals limited in year 1994. The plant was modernized and upgraded to increase the
production capacity of 1500 TPD to 5000 TPD. In 1994 Zuari Agro Chemicals Limited
took over Texmaco Cement on a lease basis and later in 1995 February 7th it acquired it
for amount of Rs.137.78 crores. Texmaco Limited commenced its production in 1985
with an installed capacity of 150 TPD. By the introduction of best technology, the
capacity enhanced to 5500 TPD. By the Acquisition of Vishnu cements the annuals
capacity of the plant has gone up to 3.5 million tones.
Zuari Groups have identified cement as one of the core business to grow. It has
therefore, been decided to constitute a separate corporate entity and hire off cement
business to it. To accelerate the growth and achieve capacity addition quickly, it decided
to from a joint Venture with Ital cement group was identified to be suitable partner for
pursuing growth.
Zuari and Italcementi group have agreed to form a 50:50 joint venture.
Italcementi group is the largest producer and distributor of cement in Europe and one of
the leaders in World Market place. The group operates in 13 countries including
Belgium, Canada, France, Greece, Italy, Moracco, Spain, Turkey and U.S. with recent
acquisitions, in Bulgaria, Kazakhastan and Thailand.

SOURCE OF RAWMATERIAL:
The core raw materials required for manufacture of Zuari Cement plant are
Limestone, Iron core bauxite and gypsum. The Lime stone is being excavated from the
plant which in the leased area another vital called coal is supplied by Singareni Collieries
Co Limited and Western Coal fields by surface transport to the plant.
The required water for the process is being met from bore well located in the
plant. The required water for the process is being met from bore well located in the plant
site. Zuari Cement manufactures both 43 and 53 Grade and Super fine and offers superior
quality products monitoring at each stage of production process with help of
computerized control system.

KEY FEATURES OF ZUARI CEMENTS PROCESS TECHNOLOGY:

 Complete homogenization of limestone is achieved by stacking the limestone
in stockpiles with the used of stackers and reclaiming it through reclaimers.
➢ The optimum ratio of raw mix is attained by the use of X-Ray Analyzer and
Automatic Weigh Feeders, which are liked to the centralized Computer Control
Room.
➢ Sorting it in Continuous Fluidized Silo attains reduced variability in kiln feed
and complete homogenization of raw meal. This ensures that every grain of
cement is of consistent quality.
➢ The totally computerized monitoring systems enable quality clinkerisation. It
dictates the optimum retention time in the precalciner and the kiln Equipped
with a six-stage double stream preheated cyclone system, the precalciner only
adds to the quality.
➢ The modern closed circuit grinding units have a high efficiency separator that
produces finer particles of cement hydrates, this yields cement matrix with a
lower pore diameter. This in turn gives concrete of high density and low
permeability.

ADVANTAGE OF ZUARI CEMENT:

With a superior and wide range of cement catering to every conceivable building
need, ZUARI CEMENT is today a formidable player in the cement market. Here are just
a few reasons why Zuari Cement is the choice of millions of India.
➢ Very low free lime content and high proportion of silicates, providing silicate
gels of high impermeability, makes ZUARI CEMENT extremely resistant to
acids, alkalis, chlorine and sulphur. Lowest magnesia content ensures reduced
tensile cracks.
 ➢ Owing to greater fineness ZUARI CEMENT, concrete obtained is dense and
highly impermeable. Hence, it is free from segregation, honeycombing and sand
rum. This prevents the passage of air and water (the two chief agents of
corrosion) through the hardened concrete.

The later requirements for zuari cement are less because of very low lime
content. This leads to low heat of hydration and drying shrinkage, as a result, cracks don’t
appear in the concrete. Captive power plant with diesel gensets takes care of 80% of the
total power requirement state-of-the-art wagon tippler efficiently handles good quality
coal, which is the homozinized with stacker and reclaimed for generating power. The
plant it is also equipped with vertical coal mill.
 Product profile

Product profile

Zuari Cement manufactures and distributes its own main product lines of cement .We aim to optimize
production across all of our markets, providing a complete solution for customer's needs at the lowest
possible cost, an approach we call strategic integration of activities.

Cement is made from a mixture of 80 percent limestone and 20 percent clay. These are crushed and
ground to provide the "raw meal”, a pale, flour-like powder. Heated to around 1450° C (2642° F) in
rotating kilns, the “meal” undergoes complex chemical changes and is transformed into clinker. Fine-
grinding the clinker together with a small quantity of gypsum produces cement. Adding other
constituents at this stage produces cements for specialized uses.

Zuari Cements range of cement

Zuari Superfine Cement Zuari 43 Grade Cement Zuari Superfine P53 Cement

PPC Superfine

Quality Parameters Of Zuari Superfine Cement

Test Zuari BISI 489 -
Physical Properties Superfine (Part-1):1991
FINENESS
Setting Surface M2/Kg 350.0 300.0
SOUNDNESS
Lechatlier Method (mm) 1.0 Not more than 10
Auto clave (%) 0.02 Not more than 0.8
SETTING TIME
Initial minutes 120-140 Not less than 30
 Final minutes 200-220 Not more than 600
COMMPRESSIVE STRENGTH MPa
3days 38.0 Not less than 16.0
7days 47.0 Not less than 22.0
28days 60.0 Not less than 33.0
CHEMICAL REQUIREMENTS Not more than 5%
Loss of ignition X + 4.0(100-X)/100
1
Insoluble residue X= Declared % of
12
Magnesium Oxide Fly ash % will not
1.3
Lime saturation factor vary more than +- 3.0%
1.3
Sulphuric Anhydride
-
Alkalis Not more than 6%
0.01 (X) 15%
Chlorides Not more than 3%
Declared % of fly ash used Not more than 0.05

Products - OPC 43 Grade

Quality Parameters Of Zuari 43 Grade Cement

Test Zuari BIS
Physical Properties 53 Grade 8112-1989
FINENESS
Setting Surface M2/Kg 300.0 225.0
SOUNDNESS
Lechatlier Method (mm) 0.5-1.0 Not more than 10
Auto clave (%) 0.05-0.06 Not more than 0.8
SETTING TIME
Initial minutes 85-110 Not less than 30
Final minutes 150-180 Not more than 600
COMMPRESSIVE STRENGTH Map
3days 35.0 Not less than 23.0
 7days 45.0 Not less than 33.0
28days 58.0 Not less than 43.0
CHEMICAL REQUIREMENTS
Loss of ignition
0.8-1.0 Not more than 5%
Insoluble residue
0.6-0.8 Not more than 2%
Magnesium Oxide
1.0-1.5 Not more than 6%
Lime saturation factor
0.85-0.90 0.66-1.02
Sulphuric Anhydride
1.0-1.2 3.00
Alkalies
0.12 Not more than 0.8
Chlorides
Declared % of fly ash used

Products - OPC 53 Grade

Quality Parameters Of Zuari 53 Grade Cement

BIS
Test Zuari
12269-1987
Physical Properties 43 Grade
OPC-53
FINENESS
Setting Surface M2/Kg 330.0 225.0
SOUNDNESS
Lechatlier Method(mm) 0.5-1.0 Not more than 10
Auto clave(%) 0.05-0.06 Not more than 0.8
SETTING TIME
Initial minutes 85-110 Not less than 30
Final minutes 150-180 Not more than 600
COMMPRESSIVE STRENGTH MPa
3days 39.0 Not less than 27.0
7days 52.0 Not less than 37.0
28days 63.0 Not less than 53.0
CHEMICAL REQUIREMENTS 0.8-1.0 Not more than 4%
Loss of ignition 0.6-0.8 Not more than 2%
 Insoluble residue
Magnesium Oxide
0.5-1.0 Not more than 6%
Lime saturation factor
0.90-0.93 0.80-1.02
Sulphuric Anhydride
1.0-1.2 3.00
Alkalies
0.16 Not more than 0.8
Chlorides
Declared % of fly ash used

NEED FOR THE STUDY

In the current scenario, there is heavy competition in the cement industry. Zuari
cement is one of the major companies in the cement industry facing cut-throat
competition. “Unless we tell them, we can’t sell them”, which means that people will not
buy products until they become aware.

“A STUDY ON COMPETITION ANALYSIS DONE FOR ZUARI

CEMENTS” will help in studying the awareness of zuari cement in the market when
comparing to other brands, which enables to analyze sales of the company in the view of
competition. A careful and thorough study of the different factors enables the company to
withstand to the changing situations of the environment and suggests suitable strategies to
the company.
 OBJECTIVES

➢ To find the main competitors of zuari cement.

➢ To find the retailers Brand awareness on zuari cement when compare to other
brands.

➢ To find the effect of advertisement by zuari cement on retailers.

➢ To compare the Brand awareness of zuari cement with other brands.

➢ To find the customers awareness on zuari cement with other brands.

➢ To find out most selling brand in the market.

 SCOPE OF THE STUDY

The project work “A STUDY ON COMPETITION ANALYSIS DONE FOR

ZUARI CEMENTS” with reference to zuari cements ltd in kadapa district, to find how
the competition is going on cement industry in kadapa district.

♦ It is also intended to know the effect of advertisement on building awareness on

zuari cements.

♦ This study also considers the comparisons of awareness of other cement brands
with zuari cement.

♦ This study also considers finding the major competitors for the zuari cement in
kadapa district.
 LIMITATIONS

➢ The study is conducted from retailers’ point of view.

➢ The study is confined to kadapa district region only.

➢ The biasing in the respondents view can be ignored.

➢ The accuracy of the answers depends upon the mode and interests of
respondents.

➢ The study is limited to 8 weeks.

 RESEARCH METHODOLOGY

RESEARCH DESIGN:
A research design is considered as the frame work or plan for a study. That guides
as well as helps in collection and analysis of data. A sound research is the basis of
success of any formal market research. The present study is descriptive type.
Nature of data:
The data collected for this study were mainly primary in nature. There are first
hand information which is retailers opinions, expectations and awareness to wards the
help line. Besides the secondary data were also collected from company brochures,
journals and websites.
Source of data:
 Primary data collected from the target retailers in Kadapa district.
 Secondary data were collected from company brochures, records and websites.
Methods of data collection:
The method adapted to elicit information from retailers in through a structured
questionnaire that contains closed, open ended questions. The reasons for choosing the
questionnaire method are primary due to qualitative nature of the study.
(1) primary data:
The primary data are that information which is collected afresh and
for the first time, and thus happen to be original in character. Primary data can be
collected in marketing research by three basic methods. Viz., survey, observations
and experiments.
SURVEY METHOD:
Survey is the most commonly used method of primary data collection
in marketing research. This method is highly flexible. Survey research is the
systematic gathering of data from respondents’ through questionnaires. A
questionnaire will contain a list of questions to be answered in the survey.
 (2) Secondary data:
The secondary data are those which have already been collected by some
other agency and which have already been processed. In this study researcher used the
secondary method for collecting details from the company records, magazines and other
marketing journals.
Survey:
Wide range of information about retailers opinions, exceptions and awareness
were gathered through survey from kadapa district with structured questionnaire.

SAMMPLE DESIGN:
Sample unit:
The sample units were the retailer of Cement Company.
Sample size:
The sample size is 100, in kadapa district.
Sample method:
A simple random sampling was adapted in Kadapa district.
STATISTICAL TOOLS USED:
For the purpose of analysis, Chi-square test, weight average method and
percentage method are used for calculations and the results were interpreted. This test
was used to minimize the error of the data collected. Graphs were used to represent the
data for the better and accurate interpretation of the results.
Simple tools are used for analysis purpose. They are as follows:
1. percentages analysis
2. weighted Average method

PERCENTAGES ANALYSIS
Percentages refer to a special kind of ratio in making comparison between two or
more data and to describe relationships between the data. Percentage can also be used to
compare the relative terms, the distribution of two or more series of data.
 Percentage = No. of Respondents X 100
Total Respondents

WEIGHTED AVERAGE ANALYSIS

There are cases where the relative importance of the different items is not
the same. When, this is so, the researcher can use the weighted arithmetic mean. The
‘weight’ stands for the relative importance of the different items. The formula for
computing weighted arithmetic mean is:

Xw =Σ WX / Σ W

Where -- Xw represents the weighted arithmetic mean

--X represents the variable values, i.e.,X1,X2,……Xn.

--W represents the weights attached to variable values, i.e.

W1, W2………Wn, respectively.

An important problem that arises while using weighted mean is regarding

selection of weights. Weights may be either actual or arbitrary. i.e., estimated. Needless
to say, if actual weights are available, nothing likes this. However, in the absence of
weights, arbitrary or imaginary weights may be used. The use of arbitrary weights may be
lead to some error, but it is better that no weights at all. In practice, it is found that if
weights are logically assigned keeping the phenomenon in view, the error involved will
be so small that it can be easily over looked.
DATA ANLYSIS & INTERPRETATION

TABLE-1

TYPE OF BUSINESS RUNNING BY RESPONDENTS

 Options Number of respondents Percentage
Retailing 52 52
Wholesaling 48 48
Total 100 100

FIGURE-1

INFERENCE:
From the above table it can be inferred that 54% of respondents are
dealing through retailing and 48% are dealing through wholesaling.

TABLE-2

EXPERIENCE OF THE RESPONDENTS

IN THE FIELD OF DEALERSHIP

years Number of respondents Percentage

Less than 1 year 11 11
1 – 5 years 42 51
5 –10 years 31 22
More than 10 years 16 16

FIGURE-2
INFERENCE:
From the above table it can be inferred that 11% of respondents
are having below 1 year of experience, 42% of respondents are having 1-5
Years of experience, 31% are having 5-10 years of experience and 16% are
having more than 10 years of experience.

TABLE-3

TYPE OF SHOP WHERE PRODUCT IS SELLING

Type of shop No of respondents Percentage

Exclusive cement shop 72 72
Cement /hardware 24 24
All building materials 4 4

Figure-3

INFERENCE:
From the above table it is clear that 72% of respondents are dealing the
product through exclusive cement shops, 24% are dealing through cement /hardware
shops and 4% through all building material shops.

TABLE-4

PRESENTLY DEALING BRANDS

Brands No of respondents Percentage

Ultratech 24 16.66
 Zuari 48 33.33
Penna 35 24.3
Coromandel 18 12.5
ACC 5 3.47
Others 14 9.72

Figure-4

INFERENCE:
From the above facts, it can be inferred that 33.3% of the respondents are
dealing zuari followed by 24.3% dealing penna, 16.66% dealing ultratech, 12.5% dealing
coromandel, 3.47% dealing ACC, 9.72% dealing other brands.

TABLE-5

DEALERS WHO HAVE DEALT WITH ZUARI CEMENT

Response No of respondents Percentage

YES 42 42
NO 58 58

FIGURE-5

INFERENCE:
From the above facts, it can be inferred that 58% of the dealers have not
yet dealt with zuari cement and 42% have dealt with zuari cement at least once.
 TABLE-6

FACTORS INFLUENCING TO BE A DEALER (for all brands)

Factors No of respondents Percentage

Sales volume 8 8
Quality 64 64
Customer choice 10 10
Good service 3 3
price 15 15

FIGURE-6

INFERENCE:
From the table , it can inferred that 64% of respondents preferred the
product due to quality, 15% of respondents preferred due to price, 10% due to customer
choice, 8% due to sales volume,3% due to good service.

TABLE – 7

FACTORS INFLUENCING TO BE A DEALER (for zuari)

Factors No of respondents Percentage

Sales volume 5 10.4
 Product quality 34 70.8
Customer choice 6 12.5
Good service 3 6.8
price 0 0

FIGURE-7

INFERENCE:
From the above table it is clear that 70.8% of respondents preferred zuari
cement due to quality, 12.5% due to customer service, 10.4% due to sales volume, 6.8%
due to good service and none for price.

TABLE – 8

MAJOR CUSTOMERS FROM THE DEALERS

Options No of respondents Percentage

Household customers 72 72
Builders/contractors 28 28

FIGURE – 8

INFERENCE:
 From the above facts, it is clear that 72% of customers are household
customers and remaining are builders / contractors.

TABLE – 9

MOST PREFERED GRADE BY CONSUMERS

Options No of respondents Percentage

Opc 53 grade 65 65
Opc 43 grade 0 0
Ppc super fine 15 15
Others 20 20

FIGURE – 9

INFERENCE:
From the above table, it can be inferred that 65% of respondents revealed
that customers prefer opc 53 grade and 15% revealed that customers prefer for ppc
superfine and 20% revealed that customers prefer for others.

TABLE – 10
 TABLE SHOWING PRICING OF ZUARI CEMENT

Level No of respondents Percentage

High 64 64
Moderate 8 8
Low 0 0
Not known 28 28

FIGURE – 10

INFERENCE:
From the above table, it can be inferred that 64% of the respondents
opines that pricing of zuari cement is high, 8% opines that it is moderate, none are opines
that it is low, 28% are not aware of pricing of zuari cement.

TABLE –11

TABLE SHOWING PACKING OF ZUARI CEMENT

Level No of respondents Percentage

Excellent 12 12
Very good 14 14
Good 25 25
Fair 14 14
Poor 7 7
Not known 28 28

FIGURE – 11
INFERENCE:
From the above table, it can be inferred that, 12% of respondents opines
that packing of zuari cement is excellent, 14% said it is very good, 25% said it is good,
14% said it is fair, 7% said it is poor and 28% are not aware of packing zuari cement.

TABLE – 12(a)

EFFECT OF THE INCREASING ADVERTISEMENT ON IMPROVING SALES

Response No of respondents Percentage

Yes 74 74
No 26 26

FIGURE –12(a)

INFERENCE:
From the above table, it is clear that 74% of respondents are think that
advertisements play a major role in improving sales and 26% are think that it is not plays
a major role.

TABLE –12(b)
 THEN WHAT MEDIA PREFERENCE FOR CEMENT PRODUCTS

Media No of respondents percentage

Print Media 6 6
Electronic Media 29 29
Outdoor Media 65 65

FIGURE – 12(b)

INFERENCE:
From the above facts, it can be inferred that 65% of dealers said that
outdoor media is good, 29% said that electronic media is good, 6% said that print media
is good for cement advertisements.

TABLE-13

WHAT DOES THE CUSTOMERS LOOKS FOR

IN ANY BRAND FOR CONSUMPTION

Particulars No of respondents Percentage

High quality 18 18
Low price 29 29
Brand image 10 10
All the above 43 43

FIGURE-13
INFERENCE:
From the above table it can be inferred that, for consumption the product,
18% of customers looks for in the brand for high quality, 29% looks for low price, 10%
for brand image,43% prefer for all the above.

TABLE-14

AWARENESS OF SALES PROMOTIONAL TECHNIQUES

FOLLOWED BY THE COMPANY

Awareness No of respondents Percentage

Yes 34 34
No 66 66

FIGURE-14

INFERENCE:
From the table it can be inferred that, 34% of the respondents are aware of
sales promotion techniques followed by the company and 64% of the respondents are not
aware.

TABLE-15
 BEST BRAND PREFERRED BY THE DEALERS

Brands No of respondents Percentage

Ultratech 20 20
Zuari 33 33
Penna 24 24
Coromandel 12 12
ACC 4 4
Others 7 7

FIGURE-15

INFERENCE:
From the table it can be inferred that, 33% of respondents prefer zuari as a
best brand followed by, penna with 24%, ultratech with 21%, coromandel with 12%,
ACC with 4%, others with 7% .

TABLE-16

BEST BRAND PREFERED BY THE CUSTOMERS

Brands No of respondents percentage

Ultratech 15 15
Zuari 35 35
Penna 27 27
Coromandel 10 10
ACC 4 4
Others 9 9

FIGURE-16

INFERENCE:
 From the above facts, it can be inferred that 15% of respondents said that
customers prefer for ultratech, 35% of respondents said that zuari, 27% said that penna,
10% said that coromandel, 4% said that ACC, 9% said that others.

WEIGHTED AVERAGE METHOD-1

TABLE-17

RANKING OF FACTORS THAT INFLUENCE THE DEALERS

TO PURCHASE ZUARI CEMENT

Factors R1(X1) R2(X2) R3(X3) R4(X4) R5(X5) R6(X6)

W=6 W=5 W=4 W=3 W=2 W=1
Quality
56 30 10 2 1 1
Sales
Volume 36 25 20 10 7 2
Custome
r 6 8 9 20 28 29
Choice
Price
2 8 10 12 38 30
Packing
1 2 4 10 35 48
Food
service 8 21 9 21 20 21

Formula Weight = Σ Wx / Σ W

Quality = (56 x 6) + (30 x 5) + (10 x 4) + (2 x 3) + (1 x 2) + (1 x

1)
= 535 / 21
= 25.47
Sales Volume = (36 x 6) + (25 x 5) + (20 x 4) + (10 x 3) + (7 x 2) + (2x 1)
= 467 / 21
= 22.23
Customer
choice = (6 x 6) + (8 x 5) + (9 x 4) + (20 x 3) + (28 x 2) + (29 x 1)

= 257/21
=12.23

price = (2 x 6) + (8 x 5) + (10 x 4) + (12 x 3) + (38 x 2) + (30 x 1)

= 234/21
= 11.14

packaging = (1 x 6) + (2 x 5) + (4 x 4) + (10 x 3) + (35 x 2) + (48 x 1)

= 180/21
= 8.57

good service = (8 x 6) + (21 x 5) + (9 x 4) + (21 x 3) + (20 x 2) + (21 x 1)

= 313/21
= 14.90

Factors Weights Percentage Overall Ranking

Quality 25.47 27 1
Sales volume 22.23 23.5 2
Customer service 12.23 12.9 4
Price 11.14 11.78 5
Packaging 8.57 9.06 6
Good service 14.90 15.76 3
 WEIGHTED AVERAGE METHOD-2
TABLE-18

RANKS OF THE MOST SELLING BRAND

Brands R1(X1) R2(X2) R3(X3) R4(X4) R5(X5) R6(X6) R7(X7) R8(X8) R9(X9)
W=9 W=8 W=7 W=6 W=5 W=4 W=3 W=2 W=1
Zuari
44 27 15 8 3 1 1 1 --

Ultratech
18 15 11 10 5 4 9 15 13
Penna
25 20 16 10 6 6 5 5 7
Coromandel
9 8 4 7 6 7 16 24 19

ACC
4 5 -- 5 4 5 19 36 25
Nagarjuna
-- -- 1 1 1 -- 1 37 59
Priya
2 -- 2 -- 8 4 5 30 39
Panyam
1 -- -- 1 2 2 9 40 45
DC
diamonds 1 -- -- 1 -- 2 2 44 50

Formula weights = Σ Wx / Σ W

Zuari = (44x9)+(27x8)+(15x7)+(8x6)+(3x5)+(1x4)+(1x3)+(1x2)+(0x1)
= 789 / 45
= 17.53

ultratech = (18x9)+(15x8)+(11x7)+(10x6)+(5x5)+(4x4)+(9x3)+(15x2)+(13x1)
= 530 / 45
 =11.77

Penna = (25x9)+(20x8)+(16x7)+(10x6)+(6x5)+(6x4)+(5x3)+(5x2)+(7x1)
= 623 / 45
=13.8

coramandel = (9x9)+(8x8)+(4x7)+(7x6)+(6x5)+(7x4)+(16x3)+(24x2)+(19x1)
= 388 / 45
= 8.62

ACC = (4x9)+(5x8)+(0x7)+(5x6)+(4x5)+(5x4)+(19x3)+(36x2)+(25x1)
= 300 / 45
= 6.66

Nagarjuna = (0x9)+(0x8)+(1x7)+(1x6)+(1x5)+(0x4)+(1x3)+(37x2)+(59x1)
= 154 / 45
= 3.42

priya = (2x9)+(0x8)+(2x7)+(0x6)+(8x5)+(4x4)+(5x3)+(30x2)+(39x1)
= 202 / 45
= 4.48

panyam = (1x9)+(0x8)+(0x7)+(1x6)+(2x5)+(2x4)+(9x3)+(40x2)+(45x1)
= 185 / 45
= 4.11

Dc.diamonds = (1x9)+(0x8)+(0x7)+(1x6)+(0x5)+(2x4)+(2x3)+(44x2)+(50x1)
= 167 / 45
= 3.71
 Brands Weight Percentage Overall Ranking

Zuari 17.53 23.56 1

Ultratech 11.77 15.8 3

Penna 13.8 18.5 2

Coromandel 8.62 11.58 4

ACC 6.66 8.9 5

Nagarjuna 3.42 4.5 9

Priya 4.48 6.02 6

Panyam 3.71 4.98 8

DC
diamonds 4.11 5.52 7
 Findings

FINDINGS

 Based on the information collected, it is clear that 52% are dealings through
retailing and 48% dealing through wholesaling.
 16% of respondents have more than 10 years experience in their field and they
were in a better position to rate the attributes and satisfaction level regarding
varies brands of cements, 42% have 1-5 years of experience, 31% have 5-10 years
of experience and 11% have less than 1 year experience.

 It is clear from the data collection that 33.33% of the respondents prefer zuari
cement.

 Based on information collected, it is clear that 64% of the respondents to prefer

product quality.

 Through the analysis I found that 70% of the respondents are said to quality of
zuari cement is good when comparing to other brands.

 Through this based on respondents respondence,65% of customers prefer for opc

53 grade and 15% prefer to ppc superfine and 20% prefer for other cements.

 Media preference for cement products is mainly out door media which is
65%followed by outdoor media with 29% prefer to electronic media & 6%prefer
to print media.

 Based on information collected, it is clear that most of the respondents said that
the price is high for all cement brands.

 Regarding the packing of zuari cement, majority of respondents opines that it is

good and it is of 25%, followed by excellent with 12%, v.good with 14%, fair
with 14%, poor with 7%.

 34% of dealers prefer to zuari, followed by penna with 24%, ultratech with 17%,
and coromandel with 13%, others with 12%.
 Through weighted average method, it can be find out that quality is the main
factor that influences dealers to purchase zuari cement followed by sales volume,
good service, customer choice, price, packing.

 In the ranking, among the most selling brands, zuari is the top selling brand and it
occupies first place followed by penna, ultratech, coromandel, ACC and others.
 Suggestions

SUGGESTIONS
 Company should try to make more dealers.i.e. the distribution network needs to
be strengthened and dealers should be encouraged by the way of incentive
schemes to rush the product.
 The management should take care of smaller dealers along with bigger dealers.
 The management should maintain consistent rating policy for all the dealers.

 Zuari cements may concentrate extensively on advertising as to improve the

awareness of the product.

 According to my perception through maximum people said the price of zuri

cements is high, the management has to concentrate on the pricing strategies for
the increase of sales of zuari cements.

 Zuari needs to maintain more flexibility in packing, so that the product will be
made more attractive to all the consumers, contractors and masons.

 For creating high brand image, a clear promotional strategy and a planned
advertising campaign is necessary.

 The company has to conduct different types of meetings in order to improve the
communication with the contractors, dealers, masons and engineers.

 The company can undertake promotional activities specifically directed to the

builders and dealers to boost sales.

 The company may go with a competitive scheme with price allowance for bulk
package, transport, warehousing facilities and gift schemes etc.,
 Conclusion

CONCLUSION

 In the recent years we will find a growing consumers demand for cement due to
the infrastructure development and housing. Because of intensive demand fort
cement more than 15 players came into the market with their marketing
strategies. The dealers are major sellers of the cement and whole perception will
really makes the difference. The dealers are becoming very conscious about the
 quality, credit, price, strength and durability of cement. They need better cement
at competitive price.

 In zuari cement, advertisements have to play a vital role to attract more no. of
consumers to purchase their products and also play an important role to improve
their sales.

 The zuari cement is slowly setting the insights of builders because of its quality
and affordability. There was a good satisfaction among the dealers of zuari
despite its market reach is limited.

 On the whole, the quality aspects of zuari cement are superior in the views of
dealers and it is positional as “quality-affordable cement” in the market.
 Questionnaire

A STUDY ON COMPETITION ANALYSIS DONE FOR ZUARI CEMENTS

NAME :
ADDRESS :

PHONE NO. :

1.Type of business [ ]
(a) Retailing (b) Wholesaling
2. How long have you been in this field? [ ]
 a)Less than 1 year b)1-5 years
c)5-10 years d)above 10 years
3. What type of shop is this ? [ ]
a)Exclusive cement shop b)cement/hardware
c)All building materials
4. At present Which brands of cements are you dealing ? [ ]
a)Ultra tech b) Zuari c)coromandel
d) penna e)ACC f)Others
5. If zuari , which factors influence you to be a dealer of Zuari cement? [ ]
a) Sales volume b) Quality c) Customer choice
d) Good service e) Others
6. If others, which factors influence you to be a dealer? [ ]
a) Sales volume b) Quality c) Customer choice
d) Good service e) Others
7. Who are the major buyers from you? [ ]
a) Household customers
b) Contractors/builders
c) Others

8. Which cement grade would most preferable by the customers? [ ]

a)Opc 53 grade b)Opc 43 grade
c) Ppc super fine d)others :
9. Why did you prefer the brands you are dealing with? Rank accordingly.

SalesVolume Quality Customer Good others

Brand
choice Service
Ultratech
Zuari
Penna
Coromandel
ACC
others
10. (i) Do you think that advertisements play a major role in improving [ ]
Sales of cement?
a)yes b)No
(ii)Which media do you prefer for cement advertisement? [ ]
a)Electronic :i)T.V ( ) ii)Radio ( ) iii )Internet ( )
b)Print :i)Newspaper( ) ii)Magazine ( ) iii)others ( )
c)Outdoor :i)Hoarding ( ) ii)Bill boards( ) iii)Wall painting ( )
11. In case of price, how do you feel about the pricing of the product ?
Brand High Moderate Low
Ultratech
Zuari
Penna
Coromande
l
ACC
others

12. In case of quality, Rank according to your preference.

Brand Setting time Strength Fineness Colour
Overall Rank
Ultratech
Zuari
Penna
Coromandel
ACC
others
13. In case of packing, how do you feel about the packing of the product ?
Brand Excellent V.Good Good Fair Poor
Ultratech
Zuari
Penna
Coromandel
ACC
others
14. Are you aware of sales (trade & customer) promotional techniques?
given by the company ?
(a) (b)
15. Based on the above factors , which is the most preferred brand by the customers ?
 Brand Rank
Ultratech

Zuari
Penna
Coromandel

ACC
others

16. According to you , which is the best brand taking into consideration all the factors
specified in the above questions ?

Brand: (1)
(2)
(3)

Comments:

Suggestions:

Thank you very much sir for spending your valuable time.

( Signature&seal )
 BIBLIOGRAPHY

Marketing Management: PHILIP KOTLER

11th Edition
PHI publications

Marketing Research: (i) Gilbert A . churchill,Jr. &

Dawn lacobucci
9th Edition
THOMSON&SOUTH-WESTERN crp
(ii) Dr.D.D.Sahrma
2nd Edition,published year, 2000
Sultan Publishing House.

Research Methodology: C.R. Kothari

2nd Edition, published year 2002
Wishwa prakaasham publications

Statistical Techniques: S.P.Gupta

11th Edition
S.C & Co. publication, 1997.
Websites: http://www.google.com
http://www.zuari.com