LITERATURE REVIEW

Marketing Marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others or other wise it is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods, services to create exchanges that satisfy individual and organizational goals. Marketing Strategy Marketing strategy is a set of objectives, policies and rules that leads the company's marketing efforts. It is the marketing approach to accomplish the bread objective of the marketing approach to accomplish the bread objective of the marketing plan. The various process of marketing strategy are given below. 1. Selecting largest markets segmentation 2. Positioning 3. Product 4. Price 5. Place 6. Promotion 7. Research and development 8. Marketing research

Market segmentation and selecting target market It is an effort to increase a company's precision marketing. The starting point of any segmentation discussion is mass marketing. In mass marketing, the seller engaged in the mass production, mass distribution and mass promotion of one product for all

buyers. Market segment consists of a large identifiable group within a market with similar wants, purchasing power geographical location, buying attitudes or buying habita. It is an approach midway between mass marketing and individual marketing. Through this the choice of distribution channels, and communicaton channels become much easier. The researchers try to form segments by looking at consumer characteristics; geographic, demographic, and psychographic. After segmenting the market then target market selected. 2. Positioning:- The positioning is a creative exercise donw with an existing product. the well known products generally hold a distinctive position in consumer's minds. The positioning requires that every tangible aspect of product, price, place and promotion must support the chosen positioning strategy. Company should develop a unique selling proposition (USP) for each brand and stick to it, PPL consistently promotes its DAP fertilizer by Higher yield at lower cost. As companies increase the number of claims for their brand, they risk disbelief and a loss of clear positioning. In general a company must avoid four major positioning errors. Those are under positioning over positioning, confused positioning and doubtful positioning. 3. Product:- A product is any offering that can satisfy a need or want. The major types of basic offerings are goods, services, experiences, events, places, properties, organizations, information and ideas. The company gives more importance in quality, packaging, services etc. to satisfy the customers. The products has it's life cycle. The product strategies are modified in different stages of product life cycle. 4. Price:- It is the most important aspect in company's point of view. Price of the product will be decided by the company according to the competitor's price. 5. Place:- This plays a major role in the entire marketing system. the company emphasis on it's distribution network. Proper distribution network gives proper availability of the product. 6. Promotion:- Promotion is the one of the major aspects in marketing strategies. By adopting various promotional activities the company create strong brand image. It also helps in increasing the brand awareness. It includes advertising, sales promotioins and public relations etc.

7. Research and Development:- after testing, the new product manager must develop a preliminary marketing strategy plan for introducing the new product in to the market. The plan consists of three parts. The first part describes the target market's size, structure and behavior. The second part out lines the planned price, distribution strategy and marketing budget for the first year. The third part of the development describes the long run sales and profit goals and marketing mix strategy over time.

MARKETING MIX
Target Market Product Product variety Quality Design Features Brand name Packaging Sizes Services Warranties returns Price List price Discounts Allowances Payment period Credit terms Promotion Sales promotion Advertising Sales forces Public relation Direct marketing Place Channels Coverage Assortments Locations Inventory Transport

SECOND REVIEW
LITERATURE REVIEW
Processed food industry: Among the various industrial sectors, food processing is somewhat unique in that, unlike others, it covers a fairly broad spectrum of products based on a wide range of raw materials from agriculture. Horticulture, plantations, animal husbandry and fisheries. As much, for a country like India, endowed with diverse climate regions and a long coastline and producing a variety of crops, fruits, vegetables, flowers, livestock and seafood, this sector has not only a great potential but is also of significance in improving the rural economy. In fact, food processing as sush is not new in India. It has been carried on for centuries but by adopting low-cost homegrown technologies. Conversion of paddy into rice, production of atta from wheat, preparation of pickles from mangoes, lemons etc., baking of bread and biscuit and making of fruit juices are a few examples. However, in the early 1980s the Government of India felt the need for sustained and organized efforts to give a boost to this sector, with the twin objective of reducing wastage of, and adding value to, farm produce and setting up an exclusive Department of Food Processing Industries in the Ministry of Agriculture. From all accounts the initiatives taken since then have led to a positive growth in this sector. This is evident from the number and variety of bakery and confectionery products, snacks and drinks available in the market under different brand names and from the increasing interest evinced by private entrepreneurs in this sector. Still, as against the potential, the present level of processing is admittedly too low. Right now only two percent of the fruits and vegetables produced in the country are now processed, as compared to 30 per cent in Thailand, 70 per cent in Brazil, 78 per cent in Philippines and 80 per cent in Malaysia. The value addition in the food sector in India is a mere 7 per cent. The output of fruits and vegetables is projected to increase substantially in the coming years. Currently it constitutes 6.6 percent of total food grain production and this figure is expected to reach 80 per cent by the year 2010. Now there is huge increment is expected in food processing from 2% to the 10 per cent by the year 2010 and 25% by the year 2025 thanks to the government policies initiated by the food ministry. Set for a quantum jump- The development of the food processing sector assumes importance in the context of the liberalized global trade regime under the WTO agreement----B. S. Padmanabhan (Noted critic), The Hindu 2006.

Liberalization has brought in through the entry of large multinational and transnational corporations, foreign investment in this sector. This resulted in competition, technological upgradation and market expansion. In the face of the competition, domestic Industries are gradually losing market share and thus selling their businesses to the new entrant MNCs well before the value of the brand and businesses drops further due to ongoing onslaught of multinational brands. This is happening because MNCs have much eater resources to put behind their brand and business and also have long term vision and sustainability. Domestic industries are no comparison. The first attack came in soft beverages industry with Coke acquiring Parle brands and Pepsi acquiring Dukes and with the entry of Cadbury Schweepes in this sector entire

soft drink industry is now in control of MNCs. MNCs such as Nestle, Brooke Bond and SmithKline & Beechern controlled earlier only hot beverages (both white and brown segments). But soft beverage sector was dominated by domestic industries. With Coke and Pepsi acquiring Indian businesses, total non-alcoholic beverage industry is now under control of MNCs. Recently Sara Lee -- a US multinational has acquired Nutrine -- a large Indian bakery and confectionery business. Britannia is already under control of Danone group of France. Only large bakery and confectionery left to be acquired in private sector is Parle Products. And with the entries of confectionery giants like Perfetti, Wriggly and Agrilimen (a Spanish confectioner in joint venture with Dabur but in the process of acquiring Dabur's equity to have 100% control) confectionery and bakery sector, will also become the domain of MNCs. With Nestles' strong presence in Tomato Ketchup and Pickles and Hindustan Lever acquiring Kissan and Dipy brands from UB group through Brooke Bond route fruit and vegetable sector is also dominated by multinationals. Heinz, the world's largest Tomato Ketchup manufacturer had acquired food business of Glaxo. Due to strategic restructuring of portfolio Glaxo decided to divest their dairy business with established brands like Complan, Glucon-D and Farex. Hindustan Lever, on the other hand, through a strategic alliance route, took control of Kwality Ice-cream as well as 100% Ice-cream brand of Jagatjit. Hindustan Lever with their own presence in dairy sectors, and with the introduction of Baskin Robbins and Walls has emerged as a dominant player in dairy segment, in general and Ice-cream segment, in particular. Hindustan Lever (HLL) also acquired Dollop Icecream brand from Cadburys'. HLL, however, recently announced their intention to sell-off their Dairy unit in UP. Ice-cream industry, which is reserved for small-scale sector, has now been in the control of multinationals through a different route. The argument that ice-cream is actually a frozen dessert -- a nomenclature that has been accepted by both food and law ministry of Govt. of India -- paved the way for Hindustan Lever for this strategic acquisition. The earlier successful domestic businesses such as Dalmia Dairy. National Dairy Development Board (NDDB) with its strong brand Amul and with its deep root extended up to farmers level as a means of backward integration will of course, remains a significant force to reckon with. But nobody will deny that in branded dairy products Amul has to put up a constant fight against multinational brands. Vadilal is also a significant player in icecream but their presence is limited in Western India and for how long they will remain has to be seen. Kraft Foods a unit of Phillips Morris is holding a license to set up 100% owned entity and they are expected to come and set up their operation anytime. There are a lot of other Brands like Knorr and some other have also ventured because of the openness of the government policy.
Globalization has changed the Indian Processed Food Industrys scenario by bringing in the Worlds best known multinational brands. ------R. Seshasayee, president, Confederation of Indian Industries, 2006.

Shopping foods is no longer a strenuous and uncomfortable affair. Instead, it is a pleasurable experience. From simple trading activity, food retailing is now graduating to a status of an industry. Food retailing has come of age -from a period when food items were sold in small road side grocer shops & mandis and bazzars to a stage when food products are retailed through supermarket stores where consumers can inspect, select and pick up the products they like in a comfortable ambient and still pay a fair price for the product and the merchandise and sometimes even pay less than the price they would have paid at the nearest food stores. And since the Wal Marts shown interest in the retail venture in India with its partner Bharti Group the scenario has gone under further changes. Now the availability of Processed Foods will be much easier for the company and the benefits will be equally reaped by the Consumers who can get fresher foods available at the big retail outlets at cheaper price. The bargaining made by the retailers will be further driven to the end users. Changing Face of Processed Food Industry stimulated by the consumers improved life standard in India "Dr. Rajat K. Baisya , Ph.D. degree in Engineering and management education,2006.

Technology and research play very vital role in the development of Processed Food Industry and the role of technology and research can not be ignored since the consumers are price conscious and they are equally quality conscious, so company must ensure the quality of the product which can only be possible with the help of latest updated technology. Those who have ventured a little ahead thus incorporated process conditions standardizations to improve product quality. Nothing therefore happened in terms of any major breakthrough in process technology in India. Whatever little we have seen in new product development and product quality upgradation is the result of the efforts on the part of the industry largely triggered from the need as a survival strategy in the face of competition. Another factor that has marked the failure of food research activities in India to create any dent in terms of value addition in the processing and technology is due to the fact that there was little or no collaborative efforts between industry and research institutions. The mutual mistrust and lack of confidence on the part of the industry leaders on the ability of the institutional research to deliver value has increased with the passage of time. As a result, researchers have ventured into their own chosen subjects while industries have decided to go it alone. Formation of an independent Ministry of Food Processing Industry which has now been reduced to the status of a department did not help change this scenario. Technology is playing its role to ensure quality in Processed Food Industry
Prof. V. Subramaniam, first Director of CFTRI (Central Food Technological Research Institute), 2006. Today Market is driven by the consumers choice and marketers accordingly change their product type to meet the need of the customers. Although there are four types of Biscuit products consist of --hard biscuit, cookies, crackers and wafer. Consumers, however, generally choose biscuits by their brands not by the type. Producers generally produce more than one type of biscuit. They produce almost all type to suit various market segments At a time when growth rates for most FMCG products has wound down to single digit, Biscuit companies have managed to sustain a fairly healthy growth in its sales revenues

Leaving the product aside what marketer are trying to do is- they are differentiating the product on the basis of packaging type. Some one is trying to differentiate on the basis of colour and someone is trying to differentiate on the basis of design. Apart from these ways they are also trying to differentiate the product on the basis of the information they are providing to the biscuit consumers. Changing days of biscuit packaging-

Sabyasachi Samajdar, Head,The Federation of Biscuit

Manufacturers of India (FBMI),2006

Growing packaged food industry has forced company to go on acquisitions mode and the big FMCG giants are going accordingly and they are on the vast acquisition mode. And the same way Indian FMCG giant like ITC are on the large expansion mode to acquire the more packaged food under its kitty. Consumers improved life standard and their earnings are making the packaged food business more demanding and challenging. And for the big giants like ITC and HLL cost of the acquisition does not bother them at all. I have an open mandate for acquisitions, and for a company like ITC, money to buy companies is not an issue," Ravi Naware, divisional chief executive (foods), ITC, 2006

third
Review of Literature http://www.exclusivemba.com/ijemrConsumer decision-making process is adjusted according to the complexity of the purchased service. Decision making in more complex offerings include more information search and evaluation than decisions in simple offerings and thus process lasts longer. In an extreme situation, consumer can even feel that the service is too complicated and decides not to purchase at all. On contrary, decision making in simple services can be very straightforward. When a need is actualized, consumer might move straight to buying without searching information or evaluating alternatives. In these situations, consumer just buys the service that is familiar or reaches in for a competing service. (Kotler 2006, 157) Kuwan C.Y, Yeung K.W,AU K.F conducted a research on decision making behaviour towards casual wear buying: A study of young consumers in Mainland, China. This study aim to find the relationship between decision making styles and clothing choice criteria towards casual wear. The consumer style inventory (CSI), developed by Sproles and Kendall (1986) for examining different consumer decision making styles. The researchers used Sporles and Kendall CSI.A sample size of 161 University students selected from Shanghai, Beijing and Guangzhou in the Mainland. Structured questionnaire was used by the researcher for collecting information. Multiple regressions were applied for analysis. The decision making style used here was recreational and hedonistic consciousness, perfectionism consciousness, confused by over choice, habitual and brand loyalty, price and value consciousness, and brand and fashion consciousness. The result showed that decision making style was adopted by the respondents in Mailnand. Decision-making styles are mainly viewed as a patterned, mental, and cognitive orientation towards shopping and purchasing, which constantly dominates the consumers choice, resulting in a relatively-enduring consumer personality (Sproles &Kendall, 1986). Some claim that it is the learned habitual response pattern exhibited by an individual when confronted with a decision situation (Scott & Bruce, 1995). The consumer literature suggests that decision-making styles can be categorized into three main approaches: the consumer typology approach (Darden & Ashton, 1974; Moschis, 1976), the psychographics/lifestyle approach (Lastovicka, 1982; Wells, 1975), and the consumer characteristics approach (Sproles & Kendall, 1986; Sproles & Sproles, 1990).IJEMR October 2011-Vol 1 Issue 5 ISSN 2249 2585 Group decision-making had a tradition of research in social psychology (Messick,Moore, & Bazerman, 1997; Samuelson, 1992; see Brandstaetter, Davis, & Stocker-Kreichgauer, 1982 for a review). Reviews have underlined the fact that small group research in social psychology has waned over the years, but has been revitalized within the domain of organization psychology (Davis, 1996; Ilgen, 1999; Levine & Moreland, 1990; Simpson & Wood, 1992), as Steiner (1986) had partially predicted. The trend is indeed to use teams in organizations more heavily (Bettenhausen, 1991; Guzzo, Salas, & Associates, 1995; Ilgen, 1999; Paulus, 2000). The current assumption is that groups make better decisions than individuals (Guzzo & Dickson, 1996; Shaw, 1981). For historical reasons, there is also probably a desire to avoid the dominance of autocratic individuals who decide for everyone else (Davis & Hinsz, 1982). Thus, teams making important strategic decisions are seen as crucial to the sustainability of organizations (Dooley & Fryxell, 1999). Historically, emotions have had a negative reputation when it comes to their influence on peoples behaviours, and namely on decision-making (Forgas, 2000). Decision-making is supposed to be a rational activity (Loewenstein & Lerner, 2003). In contrast, emotions have been associated with irrationality, disruption, or interruption (Ketelaar & Clore, 1998; Scherer, 1984b; Simon, 1987). Traditionally called passions, emotions were perceived as a negative force for human behavior by disrupting and interfering with the serene process of rational thought (Ellsworth & Smith, 1988, p. 302). Three research domains can be held responsible for gradually changing the negative perceptions of the role of emotion in decision making. First, decision-making theorists have demonstrated peoples bounded rationality

(Gigerenzer & Selten, 2001; March & Simon, 1958; Simon, 1976), and the limitations encountered by humans to exhaustively process all of the information available. Second, research on emotion has demonstrated the complex interrelations between emotion and cognition (see Dalgeish & Power, 1999; Forgas, 2000). Third, research on the relationships between affective processes and decision-making processes has demonstrated that these relationships can be beneficial or detrimentdal depending on the intensity and the quality of the affect considered (e.g., Loewenstein & Lerner, 2003). Emphasis in this study will be placed on the third research stream, considering that positive and negative effect, positive and negative mood, and emotions are representing different http://www.exclusivemba.com/ijemrintensities and qualities of affect. Their respective influence on decision-making at the individual level will first be reviewed, and then their influence on group decision-making will be reviewed next. Considerable research has demonstrated the variety of influences of affect on decision making at the individual level, which has mostly focused on mild affect or mood rather than emotion, but has also used these terms interchangeably (for reviews, see Forgas, 1995; Isen,1993; Isen, 1987; Isen & Baron, 1991; Loewenstein & Lerner, 2003; Schwarz, Bless, & Bohner, 1991; Schwarz & Bless, 1991). Research on affect and decision-making distinguishes between two main categories of emotions: expected or anticipated emotions and immediate emotions (see Loewenstein & Lerner, 2003; Schwarz, 2000, for reviews). Expected or anticipated emotions consist of predictions about the emotional consequences of decision outcomes (e.g. Baron, 1992; Janis and Mann, 1977; van Dijk & van der Pligt, 1997; Zeelenberg, Dijk, Manstead, & Pligt, 2000). Immediate emotions consist of emotions that are experienced at the time of decision-making, which will be the focus of this section. The main findings regarding the relationship between respectively positive affect/mood, and negative affect/mood, and decision-making will first be reviewed bearing in mind that the separation is sometimes slightly artificial, given the remark made above that authors have used the terms affect, affective, mood, and emotion interchangeably. A few examples of effects of emotion and decision-making will be reviewed next.