A COMPREHENSIVE PROJECT REPORT

ON

Effectiveness of Product Placement in Bollywood Movies Submitted to, (Chaudhari Technical Institute) IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF THE AWARD FOR THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION In Gujarat Technological University UNDERTHE GUIDANCE OF

Faculty Guide Prof. Bhumika Raval

Submitted by Bhoomi Patel (117080592029) Rachana Agrawal (117080592009) Trupti Dave (117080592032)

MBA SEMESTERIII/IV MBA PROGRAMME Affiliated to Gujarat Technological University Ahmadabad 2011-2013

Students Declaration
We are the student of Chaudhari Technical Institute, hereby declare that the report for Comprehensive Project entitled Effectiveness of Product Placement in Bollywood Movies is a result of our own work and our indebtedness to other work publications, references, if any, have been duly acknowledged. Place: Gandhinagar Date : (Name of the Student) Bhoomi Patel (117080592029) Rachana Agrawal (117080592009) Trupti Dave (117080592032)

PREFACE
Experience is the best teacher. The saying has played a guiding role in the infusion of the project report as a comprehensive Report after the 1st year of Master in Business Administration (M.B.A) programme of the Gujarat Technological University, Ahmadabad. The infusion gets a special consideration and importance to the programme as it allows a student as exposure to the International Trade. A person cant learn by merely reading hundreds of books in it. He/She requires practicing his hand at the helm of it. Similarly, management learning remains incomplete without a test of real business life. Thus theoretical knowledge is not enough for management students; practical study holds an important place. Our knowledge remains incomplete without practical aspect. This report includes what are the product placement marketer use in the Bollywood movies, and the effectiveness of product placement on audience in Bollywood movies.

ACKNOWLEDGEMENT
Master in Business Administration(M.B.A) is a professional course, so when the student completes the course he/she should not have only theoretical knowledge but also have practical knowledge the student are required to prepare the project report. Industrial project is the best opportunity for all the management students specially for MBA students, through which one can get the knowledge about the structure, working methods and strategies for different departments of an organization. We would like to thanks to our Head of the M.B.A. department Prof: Amit Patel for providing guidance and constructive suggestions and showing faith in our abilities. We would also like to express our gratitude to Prof: Ms. Bhumika Raval and Mr.Sanjeev Sir who had provided us the project guidelines and also guided us in preparing the project report. This project would not have been possible without the whole-hearted cooperation and support that we received from our parents, classmates and other friends. So we owe a deep attitude to all of them. We thank all the respondents for showing co-operation with us. At last, but not the least we would like to thank all those who helped us directly or indirectly for preparation of this project report, their efforts have not gone unnoticed.

Executive Summary
The research titled A Study on Effectiveness of Product placement in Bollywood movies is carried out to study the audience towards product placement in Bollywood movies. The research was carried out as per the steps of Marketing Research. The well supportive objectives were set for the study. To meet the objectives primary research was undertaken. The data collection approach adopted was survey research and Interviews. The instrument used for the data collection was questionnaire and focus group. The target respondents were graduate and post graduate student of Ahmadabad and Gandhinagar.

Table of content
CHAPTER CONTENT PAGE NO.

Part 1 1

General Information

About the Film Industry

Overview of the world Market & growth.

Overview of Indian & Gujarat Market 2 About Major companies in the industry

3 Product Profile

Part 2

Primary Study Introduction of the topic

Literature review Background of the study Problem of the Study Objective of the study Research methodology

About the Film Industry

The first films India watched were not made in Bollywood but cinema had indeed arrived on Indias shores. The year was 1896, and thanks to the countrys colonial rulers, it was the Lumpier Brothers who introduced the art of cinema to the sub-continent. Bombay, as it was then called, was the first Indian city to screen Cinematography, six short films by these cinematic pioneers.

But it was a portrait photographer called Harischandra Sakharam Bhatavdekar who made Indian motion picture' history. His short reality film screened in 1899 was called The Wrestlers and was a simple recording of a local wrestling match.

It was only after the turn of the century that Indian entertainment underwent a sea change when the Father of Indian Cinema, Dadasaheb Phalke, released his pathbreaking film of the Silent Era, Raja Harishchandra. The film, based on a mythological character, was released in 1913 and was Indias first full-length feature film.Yes, Bollywood had finally arrived!

The growth of technology and the excitement it generated the world over eventually gave birth of Indias first talking and singing film Alam Ara made by Ardeshir Irani and screened in

Bombayin1931. Finally, Indias actors had found a voice. They could talk, they could shout, they could even cry, and they could do one more thing sing for their audiences! It was a gift that remains the Developments in the world of Indian cinema were rapid and the 1930s and 1940s saw the rise of film personalities such as Debaki Bose, Chetan Anand, S S Vasan and Nitin Bose, among others.

In the meantime, the film industry had made rapid strides in the South, where Tamil, Telugu and Kannada films were taking South India by storm. By the late 1940s, films were being made in various Indian languages with religion being the dominant theme. Indias struggle for independence in the 1950s finally parted the curtain on the Golden Age of Indian cinema. This historic period provided a strong impetus to the industry, with themes changing to social issues relevant at the time. Sure they were entertaining but the movies were but it was the Golden Age 1950s and 1960s that produced some of Indias most critically acclaimed films and memorable actors of all time. Among those in Bollywoods hall of fame are Guru Dutt, Mehboob Khan, Raj Kapoor, Balraj Sahani, Nargis, Bimal Roy, Meena Kumari, MadhubalaandDilipKumar.

So while the Guru Dutts and Bimal Roys held audiences in a trance, Indian cinema moved one step further with the release of K Asif`s Mughal-e-Azam in 1960. The film kickstarted a trail of romanticmoviesalloverIndia.

While Indian commercial cinema enjoyed popularity among movie-goers, Indian art cinema did not go unnoticed. Adoor Gopalakrishnan, Ritwik Ghatak, Aravindan, Satyajit Ray, Shaji Karun and several other art film directors were making movies that took India to international fame and glory. and others. The masala film the quintessential Bollywood entertainer burst onto the scene only in the 1970s. And audiences were enthralled by the histrionics of actors such as Rajesh Khanna, Sanjeev Kumar, WaheedaRehman, Asha Parekh, Tanuja

This was Bollywoods heyday, a time when director Ramesh Sippy gave us his iconoclastic

Sholay (1975). The film, which has been internationally acclaimed, also clinched the title of superstar for Amitabh Bachchan, who already had well over 30 films under his belt by then.

The 1980s saw the rise of several woman directors such as Aparna Sen, Prema Karnath and Meera Nair. It was also the decade when sultry siren Rekha wooed audiences with her stunning performance in Umrao Jaan (1981). The 1990s ushered in a mixed genre of romantic films, thrillers, action movies and comedy films. Gradually, the face of Indian cinema was changing once again. Technology now gave us Dolby digital sound effects, advanced special effects, choreography and international appeal. This brought investments from the corporate sector along with finer scripts and performances.

It was time to shift focus to aesthetic appeal. And stars like Shah Rukh Khan, Rajnikanth, Madhuri Dixit, Aamir Khan, Chiranjeevi, Juhi Chawla and Hrithik Roshan began to explore ways to use new techniques to enrich Indian cinema with their performances. Indian cinema finally found global mass appeal at the turn of the 21st century. As the world became a global village, the industry reached out further to international audiences.

Apart from regular screenings at major international film festivals, the overseas market contributes a sizeable chunk to Bollywoods box office collections. Investments made by major global studios such as 20th Century Fox, Sony Pictures, and Warner Bros was confirmation that Bollywood had etched itself on the global psyche.

Prominent Indian corporate firms such as Zee, UTV and Adlabs also jumped onto the Bollywood bandwagon, to both produce and distribute films. This coupled with the multiplex boom across India made fame and fortune soar to new heights.

Such was the excitement in the industry that by 2003, as many as 30 film production companies had been listed on the National Stock Exchange. Cinema in India remains the single largest entertainer to date. And despite technology such as Direct-to-Home TV bringing the movies straight into the living room, the marquee still rules

1950 to 1960 in the Hindi Film Industry

Although the majority of Indian cinema continued to feature a large dose of color (which had been recently introduced in filmmaking), music and dance, the 1950s saw the increasing popularity of cinema that derived its inspiration from realism. Foreign influence played a key role in this development. The first International Film Festivals of India were held in Mumbai, Chennai and Kolkata by the Films Division in 1952. The film festival helped Indian filmmakers learn more about French and Italian neo-realist films. Western classics such as Bicycle Thieves (1949), an Italian film, were shown at the festival and created waves amongst young Indian filmmakers, who were frustrated with the fantastical movies made in India. Satyajit Ray was one of the many young filmmakers inspired by the festival to break out of the mainstream mold. With his debut Bengali film, Pather Panchali (1955), he became the pioneer of a genre of films that would come to be recognized as Indian parallel cinema. The film won the Best Human Document award at the Cannes Film Festival and brought Indian cinema into the international limelight. The Indian film industry would not receive another nomination for 30 years, until Salaam Bombay won the

Camera Dor award at Cannes in 1988.Rays film also marked the beginning of the resurgence of Bengali cinema, where films targeted educated and sensitive viewers. Bollywood recognized the talent pool found in Bengali cinema and was quick to scout leading screenwriters, music composers, directors and, interestingly, female actors such as Sharmila Tagore and Jaya Bandhuri, to be a part of its films. Pather Panchali and many of Rays other works were not considered traditional Bollywood movies, but their importance in globalizing Indian cinema cannot be overlooked. Bollywood movie makers started experimenting with themes other than love stories. Following suit, Mehboob Khans magnum opus, Mother India (1956), a movie that traced the life of a female protagonist as her family struggled to survive in a rural community just after Indias independence, was a phenomenal success in India and became the first Indian film nominated for an Oscar award in 1958. While Indian parallel cinema was making a mark in the festival circuits, traditional Bollywood was gaining popularity overseas. Raj Kapoor, often considered the =ultimate showman of Bollywood, both directed and acted in his films, and played a key role in popularizing mainstream Indian cinema abroad. Kapoors film Awara (1951), dubbed in Turkish, Farsi, and Arabic, broke box office records in South East Asia and the Middle East. The film was also dubbed and released in the USSR, which was one of Indias major political allies.Given the Cold War and hostility towards capitalism, Hollywood films were banned in the Soviet Union. Most Soviet films at that time were filled with Communist propaganda. Kapoors films presented similar pro-working class themes, but in magical and magnificent settings far removed from the drab movies produced locally. One observer remarked, .Anyone who visited the Soviet Union, either its European or Asian wings, will confirm that it has three Indian heroes: Jawaharlal Nehru, Indira Gandhi, and Raj Kapoor, although not necessarily in that order. Probably the reverse..Recognizing his popularity, Kapoor cast a Russian actress and a famous Russian circus in his film, Mera Naam Joker (1970). Raj Kapoors early films Awara and Shri 420 (1955) were screened as a prelude to Indian Prime Minister Nehrus first visit to the Soviet Union. Kapoor reached such heights of popularity that the Russians paid tribute to him as one of great personalities of cinema. The large numbers of Indian working-class immigrants in the Middle East and South East Asia in the 1950s were credited for introducing Indian cinema to these regions. There were several reasons for the success of Indian films in predominantly Muslim countries. There was a lack of

high quality domestic content, and Indian films were relatively cheap to acquire. Many Bollywood movies were dubbed in regional languages, screened in theaters, and then in later years broadcast over local television channels. The content of Bollywood movies appealed to the conservative audiences of these countries. Bollywood-style =love-stories were different from their Hollywood counterparts, where the emphasis was placed on the extended family, patriarchy and filial duty. The audience in Islamic countries found Bollywoods conservative portraits of family life easier to identify with than Hollywoods portrayal of nuclear families. The music of Bollywood movies resonated well with local tastes and often drew inspiration from Arabic tunes. With the increasing clout of film stars such as Raj Kapoor, Dilip Kumar, Meera Kumari in Bollywood and Arthur Goal Ramachandran (MGR) in Kollywood, the power of large studio houses began the dwindle. By the late 1950s, this trend, coupled with increased government regulations, led to the demise of the studio system in India.

1970s 1980s: The Angry Young Man Awakens

In the 1970s and 1980s, Hindi films became a .catalyst for the nations homogenizing mission., where the poor, underprivileged man was the primary audience.Zanzeer (1973), a film starring Amitabh Bachchan, narrated a story about a police officer who breaks the law to bring justice, and introduced the concept of the =angry young man to cinemagoers. Bachchan, who was credited for popularizing this personification, instantly became a Bollywood icon and his unparalleled superstardom continued well into the 2000s. The =angry young man, a typically .disaffected, cynical, violent, rebellious, urban worker who was often seen single-handedly fighting rich businesses and ineffectual and corrupt politicians,. resonated deeply with audiences.The sexuality of women was recognized and films of this era did not shy away from topics such as premarital affairs and casual sex. Female actors such as Parveen Babi, Zenith Amman, and Rocha achieved stardom for their portrayal of strong and sexual women in films like Dewar, Urbane, and Silesia.

From the 1970s onwards, Indian cinema began producing a series of multi-star films- films with more than one main male and female lead. The idea was to cash in on each actors sizeable fan following. The chemistry between actors of the same sex became just as important as the rapport between the female and male actor. In 1970 an official =art cinema developed in India, where films were funded partly though state subsidies and promotion at international film festivals. Film directors such as Sham Bengal and Kean Mehta filled Satyajit Rays footsteps in making realistic films where the emphasis was placed on the plot and the acting skills of the protagonist. Although their budgets and outputs were more modest than mainstream Bollywood, =art films received disproportionate interest because they appealed to film critics, educated classes, and discerning international audiences. This created a chasm between the two industries, where actors and directors who were involved in =art films were often typecast and their opportunities in mainstream Bollywood were limited. Prior to the 1980s, only those South Asian immigrants living in large urban cities had access to Indian films by way of monthly screenings at select theaters. However, with advancements in technology such as the invention of the video cassette recorder, an increasing number of suburban South Asian immigrants gained access to Indian films. Though viewership skyrocketed, the export market of films was relatively .minor, disorganized, and chaotic,. where tapes were illegally copied and mass-distributed to Indian grocery stores.38 To the film industrys detriment, rampant film and music piracy ensued and continue until present day.

1990s 2000s: Bollywood Gains Global Popularity

The 1990s were a decade of profound change in Indian cinema with two dominant, noteworthy trends. Primarily, the liberalization of the Indian economy led to the opening of the Indian film industry to multinational corporations and foreign investments. Secondly, the invention of new media technologies such as satellite television and the internet facilitated the spread of the cinema. The post-1990 Indian film focused not on the plight of the poor and the marginalized, but celebrated affluence and harmony. The wealthy were no longer looked upon as villainous outsiders, but as shining models of Indian liberalization. Indian film stars became literally revered by their viewers. In southern India temples were built for some actors. Film stars increasingly entered politics. Some of India's most popular Chief Ministers hailed from films, including the late N.T. Rama Rae (three times chief minister of Andhra Pradesh), J. Jayalalitha (a former Chief Minister of Tamil Nadu), and Arthur 'MGR' Goal Ramachandran (a former Chief Minister of Tamil Nadu). During the 1990s members of the Indian Diaspora, many of whom gained financial success abroad, also found a .prominent place within the terrain of who got included. in cinema. Although accurate information on viewership of Indian films outside the South Asian region is not available, there is enough anecdotal evidence to suggest that

Bollywood has made substantial inroads. Amitabh Bachchan, one of Indias biggest film stars, was voted .Superstar of the Millennium. in 1999 by BBC News Online users by a large margin. Bachchan beat Sir Laurence Olivier, who took second place, and Sir Alec Guinness, who finished third. The Indian diaspora community, estimated at over 20 million people, was notable not only for its size, but also for the strong local connections that Indian expatriates continued to foster.41 Whether living in Qatar or in Quebec, Indian cinema came to serve as a key cultural link between the immigrant South Asians and their homeland. Diwale Dulhania Le Jayenge (DDLJ) (1995), one of the highest grossing films of the decade, reflected a paradigm shift in how Non Resident Indians (NRIs) were portrayed in cinema. Overview of world market Latin America will be the fastest-growing region, with a projected 10.5% compound annual increase to USD 109 billion in 2015 from USD 66 billion in 2010. In addition to broadband growth, high inflation rates will contribute to nominal growth

Overview of world market

Latin America will be the fastest-growing region, with a projected 10.5% compound annual increase to USD 109 billion in 2015 from USD 66 billion in 2010. In addition to broadband growth, high inflation rates will contribute to nominal growth in E&M spending. Asia Pacific will be next, at 6.5% compounded annually from USD 395 billion to USD 541 billion. EMEA will expand at a 5.2% compound annual rate to USD 614 billion in 2015 from USD 477 billion in 2010. EMEA will pass North America in 2013 to become the largest region. North America will be the slowest-growing region, increasing by 4.7% on a compound annual basis from USD 481 billion to USD 607 billion. Global E&M spending will increase from USD 1.4 trillion in 2010

Indias place in the world

As the table below illustrates, India has the highest numberof admissions as compared to most other countries. However, the average ticket price (ATP) is less than a dollar.

Over view of India/Gujarat market India Market Current market situation

Bollywood is the most well-known film producer in India, and therefore the name is often used to describe the whole film industry in India even though the industry is divided into many regional areas. The Bollywood production takes place in Mumbai earlier referred to as Bombay, hence the name Bollywood. The name also reflects the American counterpart Hollywood. Bollywood is the largest film producer in the world. They produce roughly 1000 movies a year. Hollywood only produces 500 and Japan produces 400 The Bollywood industry had a revenue of US$ 2.5 billion in 2008, and has been growing at approx. 9% a year. The revenue is expected to reach US$ 4.1 bn by 2013. 71% of all cinema tickets sold in the world are Bollywood tickets, but the Hollywood share is growing. Bollywood is the largest film producer in the world. They produce roughly 1000 movies a year. Hollywood only produces 500 and Japan produces 400 movies a year.

The Bollywood industry had revenue of US$ 2.5 billion in 2008, and has been growing at approx. 9% a year. The revenue is expected to reach US$ 4.1 bn by 2013. 71% of all cinema tickets sold in the world are Bollywood tickets, but the Hollywood share is growing.

Revenue Distribution of Bollywood Key drivers

Increased demand for multiplex theaters Indirect profits from product placements, celebrity endorsement etc Favorable demographic changes Higher quality and awareness of the films produced: SlumdogMillionaire.; an International production has created a synergy to Bollywood Robot. released in late 2010; Price USD 43 million -most expensive Bollywood production PeepliLive.; nominated at the Sundance Film festival 2010 and nominated for the 2011 Oscar nomination in the category of Best Foreign Language Film.

Growth of the Film Industry

INR billion Film

2010

2011

2012

2013

2014

2015

CAGR

87.5

96.5 10.3

104.5 8.3

115.3 10.3

125.0 8.4

136.5 9.2

9.3

%change -

Revenue Growth

CHAPTER 2 About Major Companies

Some well-known Indian Film Production houses based in India are:

Aamir khan production Mukta Arts Red Chillies Entertainment Percept Picture Company PVR Pictures Yash Raj Films Vishesh Films Dharma Productions Balaji Telefilms Hari Om Entertainment Super Cassettes Industries Ltd (T-Series) Madras Talkies Pritish Nandy Communications Suresh Productions Sahara One Vishesh Films Geetha Arts Shree_Ashtavinayak_Cine_Vision_Ltd Viacom 18 Motion Pictures UTV Motion Pictures Reliance Entertainment Eros International Excel Entertainment

Amir khan production

Aamir Khan Productions is an Indian motion picture production and distribution company, based in Mumbai. The company was founded in 2001 by actor Aamir Khan and started with production of Lagaan. B. Shrinivas Rae is the Executive Producer for Aamir Khan Productions and Khan's wife, Kiran Rae also serves as a producer; she was the Associate Producer for both Taare Zameen Par and Jaane Tu Ya Jaane Na. Aamir Khan Productions (AKP) was set up in 1999 by Hindi film actor Aamir Khan with the purpose of producing the film Lagaan. He decided to produce Lagaan after the script was not purchased by any other studio. B. Shrinivas Rae also joined Aamir Khan Productions as the Line Producer on Lagaan. The movie was released in 2001, starring Khan as the lead actor. The film was both a major critical and commercial success, and was selected as India's official entry to the 74th Academy Awards in the Best Foreign Language Film category. It was eventually chosen and nominated in that category along with four other foreign films but lost to No Man's Land. The film won many major awards at several award functions such as Filmfare and IIFA. B. Shrinivas Rae later served as the Executive Producer on Khan's directorial debut Taare Zameen Par and became the Executive Producer for the production company, supervising all of its productions. Khan also starred in Taare Zameen Par, sharing the screen with the debut of child actor Darsheel Safary and Tisca Chopra. The film was initially conceived of and developed by the husband and wife team, Amole Gupte and Deepa Bhatia. It tells the story of a young child who suffers in school until a teacher identifies him as dyslexic. The movie was critically acclaimed, as well as a major box office success. Taare Zameen Par won the 2008 Filmfare Best Movie Award as well as a number of other Filmfare and Star Screen Awards. It was declared tax free by the Government of Delhi.Khan's wife, Kiran Rae also worked as the Associate Producer for Taare Zameen Par. The third film produced by the company is Abbas Tyrewala's Jaane Tu Ya Jaane Na, which was released in July 2008. It marked the debut of AamirKhan and Mansoor Khan's nephew Imran Khan. The movie was both commercially and critically acclaimed. The latest film produced by the production company is Anusha Rizvi's Peepli Live. The film released on 13 August 2010 having a very low budget starring Omkar Das Manikpuri, Raghubir Yadav, Shalini Vatsa, Malaika Shenoy, Nawazuddin Siddiqui, Naseeruddin Shah. Story was

based on the suicides committed by the Indian farmers due to bad conditions of theirs financial status. Peepli Live had its Melbourne premiere at the Melbourne International Film Festival MIFF 2010 on 6 August 2010 at the Regent Theatre, Melbourne. In 2004, Rizvi asked Amir Khan to read her script and, although he initially refused as he was preoccupied with shooting Mangal Pandey: The Rising, he eventually relented and decided to finance the film after she described the plot to him. In 2011, the English (partly Hindi) Delhi Belly was released, and was a departure from the "clean, family entertainment" tag of Aamir Khan Production

Yash Raj Movies:

YRF Studios (the only privately owned Studio in India) is spearheaded by Yash Chopra a leading light of the Indian entertainment industry for the last five decades. He celebrates 50 years as a filmmaker in 2011. YRF Studios started out as a film-making company in 1970. In the last four decades it has grown from strength to strength and today has to its credit India's most enviable film catalogue some films of which have been the highest grossers in the entertainment business. YRF Studios, over the years, has expanded to distribution of films all over the world its own as well as films made by other well-known Indian names.

YRF Studios has also widened its horizons into Home Entertainment by marketing and distributing DVD's VCD's and Blu-ray discs all over the world through its offices in UK, USA, UAE and India. YRF Studios has been associated with producing various successful music albums and also markets and distributes its own Music through it its own Label YRF Music. YRF Studios has also forayed in to production of television software, ad films, music videos, and documentaries with its enviable creative team always at the fore. 1st January, 2010 marked the entry of YRF Television, producing new age Television software for transmission on Sony Entertainment Television - India's leading television broadcaster, ushering a new wave of television viewing experience. YRF launched a youth films studio, Y-Films in 2011. A dynamic, vibrant start-up at the intersection of films, creativity and youth culture that hopes to challenge the norm and detonate boundaries. Giving the youth a creative outlet and voice that will entertain and unite on film and beyond. Keeping with its vision of being a platform for new talent, Y-Films has an aggressive line up of 3 releases for 2011 and will be a launch pad for new directors and stars. YRF Studios has its own Post-production facilities, Television Division, Design Cell, Equipment Division, Marketing Division, Digital & New Media Division,

Licensing Division, Merchandising Division all in-house facilities, which make it one of the most coveted creative houses in the country. In 2004, Hollywood Reporter carried a survey on the "Biggest Film Distribution Houses" in the world in which YRF Studios (Yash Raj Films) was listed as the Number 1 Film Distribution House in India and 27th in the world Yash Chopra founded Yash Raj Films in 1971, setting himself up independently from BR. From 1973 he produced many of his own films but also made films for Gulshan Rai's 'Trimurti Films'. His first film for Rai, Joshila ('Passionate', 1973), an action-oriented movie fared only averagely at the box office, but his first independently produced film Daag ('The stain' or 'The stigma', 1973), a melodrama about a man with two wives, was a great success. He then made a number of the classic Amitabh Bachchan movies, scripted by Salim-Javed, notably Deewaar ('The wall; I'll die for mama', 1975) and Trishul ('The trident', 1978) were great hits and remain popular today. These movies set the trend for the late 70s and 1980s, establishing Amitabh as the biggest star of all time in India, in his role as the angry young man, showing also the rise of the writer as star, in particular Salim Khan and Javed Akhtar.
"clean, family entertainment" tag of Aamir Khan Productions

Red Chillies Entertainment

Red Chillies Entertainments headed by Shah Rukh Khan and Gauri Khan is a company that is surging ahead in the global entertainment industry It's latest release and box office record breaking movie Ra.One (2011) is Bollywood's very first futuristic movie with stunning visual effects and state of the art production technique and an impressive star cast comprising of Shah Rukh Khan, Arjun Rampal and Kareena Kapoor.

Red Chillies earlier endeavors includes, My Name is Khan (2010) which is a co-production of Red Chillies and Dharma Production starring Shah Rukh Khan and Kajol, the movie was a blockbuster hit of 2010. Billu (2009), starring Irrfan Khan and Lara Dutta created a buzz, Om Shanti Om (2007) which set the box-office on fire and Paheli (2005) India's official entry to the Oscars. Founded in 2002 as a film production house, Red Chillies Entertainments has branched itself into other spheres of production, starting from setting up a path breaking Special Effects studio, VFX, which brought Hollywood's slick sophistication to Indian cinema. Don - The Chase Begins Again, won European accolades for Best Special Effects in 2006. And a year later, the Star Screen Awards singled out Om Shanti Om, for best visual effects (2007). The film also made a clean sweep winning, all the special effects awards for the year 2007. In 2008, VFX followed up on its winning streak by clutching all the biggies to expand it's awards arsenal with the Filmfare, Zee Lux, IIFA (Bangkok), Screen, Indy's & Apsara Producer's Guild Awards. In 2004, choreographer Farah Khan, a good friend of Khan, decided to direct a film with him. He then took over the production company Dreamz Unlimited which he created with Juhi Chawla and director Aziz Mirza and transformed it into Red Chillies Entertainment with his wife Gauri Khan, who became producer of the first production Main Hoon Na in which Khan starred as well. The movie did well at the box office, becoming the second highest grossing film of the year. Khan also starred in the company's 2nd release, the 2005 movie Paheli, belonging to the genre of Indian Parallel Cinema, the film was critically acclaimed and was selected as India's official entry to the 79th

Academy Awards in the Best Foreign Language Film category, but was a commercial failure. The third film produced by the company was Farah Khan's mega-budget Om Shanti Om, which was released in November 2007. The film was set in the 1970s and 2000s and paid tribute to, and pokes fun at the, Indian film industry of both these eras. Upon release, it broke many box office records, grossing over 1.48 billion and thus became the highest-grossing Hindi film of all-time at the time of its release. The 2009 film Billu starring Irrfan Khan and Lara Dutt was the company's next release, the film opened to good reviews, but was a box office failure. The latest film produced by the production company is Roshan Abbas's Always Kabhi Kabhi, the film did poorly. The company continued working on other projects until finally deciding on Ra.One (2011) starring Khan himself, Kareena Kapoor and Arjun Rampal. The pre-production work began in 2007 after the release of Om Shanti Om. The film's crew consisted of more than 5,000 members from India, Italy and the US, and was pieced together by more than 1,000 people, working in shifts, in around 15 studios across the world.It saw the inclusion of several visual effects techniques being incorporated in the production which were carried out by Red Chillies VFX. With an estimated budget of 1.25 billion, Ra.One was the second-most expensive film ever produced in Indian cinema, and the most expensive Bollywood film.The film witnessed a level of publicity campaigning previously unseen in India films, with marketing taking place over a period of nine months and involving major brand tieups of a 52 crore (US$9.88 million) which set the record for the largest marketing budget in India. The film released across 3,100 screens in India and 904 prints overseas in both 2D and 3D,making it the largest Indian cinematic release in the world. Upon release, while the Indian critics gave mixed reviews, the overseas film critics received it warmly. The film has been widely praised for its visual effects and action, though criticism has been generated regarding its script and direction. Subsequently, the success of the effects and the 3D version of the film prompted multiple other Bollywood filmmakers to consider technology as a part of film-making, especially in view of the success of Ra.One and the inordinately higher returns generated from 3D ticket sales. The film went on to break multiple box-office records and according to its distributors, is the second highestgrossing Bollywood film worldwide earning over 2.4 billion. Their next production will be Karan Johar's next directorial venture, Student of the Year, which will be co-produced by Johar's production company.

production will be Karan Johar's next directorial venture, Student of the Year, which will be coproduced by Johar's production company.

Dharma Productions
Established by Late Shri Yash Johar in 1976, Dharma Productions endeavor has always been to produce high quality cinema that is accepted and appreciated by audiences across the world. Soon after its inception, Dharma Productions became a buzzword for stellar productions such as 'Dostana', 'Duniya', 'Muqaddar Ka Faisla', 'Agneepath' and 'Gumrah'. 1998 saw the release of Dharma Production's Kuch Kuch Hota Hai ('Heartbeats'), the directorial debut of Karan Johar that featured the most loved on-screen couple of contemporary Indian cinema, Shah Rukh Khan and Kajol. This massive production turned into a huge box office blockbuster and became the first Indian feature film to figure in the UK Top 10 (Empire, December 1998). Kuch Kuch Hota Hai not only broke box-office records but also accumulated a number of National and International awards. Hailed for its superlative performances and excellent craftsmanship Kuch Kuch Hota Hai is acclaimed for its unparalleled standards in presentation, styling and production mounting till this date. Its landmark recognition has been the Indian National Award for Best Popular Film Providing Wholesome Entertainment. All of these landmark achievements set up a huge expectancy and anticipation for the next movie from Dharma Productions, and Karan Johar did not fail to deliver. 2001 saw the release of Kabhi Khushi Kabhie Gham, ('Laughter and Sadness'), which was scripted and directed by Karan and featured a line-up of Indian megastars across generations. This movie lit up the silver screen with its casting coup of industry stalwarts Amitabh Bachchan and Jaya Bachchan, contemporary megastars Shah Rukh Khan and Kajol, and current heartthrobs Hrithik Roshan and Kareena Kapoor. Kabhi Khushi Kabhie Gham represented everything that was ever expected of a Dharma Productions movie in terms of its grandeur, exquisiteness, and touching storyline and it won millions of hearts across the world. The movie established new box-office benchmarks, featured in both the US and UK Top Ten Listings, and went on to win awards at a host of National and International Film Festivals. Kabhi Khushi Kabhie Gham made its debut at No. 3 on the UK chart (behind Harry Potter and Lord of the Rings) and was on the Top Ten Films in UK for 4 consecutive weeks in a row. Besides being invited at various International Film Festivals across the Globe, it has also been listed in the Top 20 Asian Films by admission in Europe in the Cannes Film Festival 2002. In

fact Kabhi Khushi Kabhie Gham is the first Indian film to have a mainstream release in the territories of Germany, France and Poland. It was very well received with Five Awards including the Best Actress Awards for Kajol at the Valenciennes International Film Festival, France. With a clear vision of how he wanted to nurture Dharma Productions, Karan Johar embarked on producing films with independent directors under his banner. The first step towards this goal was Kal Ho Naa Ho a film produced by Dharma Productions, written by Karan Johar and directed by his long time associate and assistant Nikhil Advani. Kal Ho Naa Ho, besides starring old favourites like Jaya Bachchan and Shah Rukh Khan, also had Preity Zinta and Saif Ali Khan. Besides being hugely successful in the domestic market, this film also became a top grosser in UK and USA. Kal Ho Naa Ho also screened at the International Film Festival - Faces of love, MOSCOW and International Filmfestival Berlinale, BERLIN. The Screenplay of 'Kal Ho Naa Ho' has found a place in the Oscar Archives at the Library of Motion Pictures, Arts and Science, an academy where scripts are collected and preserved mainly for the use for research by actors, students, film-makers and writers who are regular patrons of the library. Kabhi Alvida Naa Kehna (Never Say Goodbye), the third directorial venture from Karan Johar dealt with the mature and bold theme of infidelity and was received with a tremendous response internationally. Apart from being a commercial success, the film raised a lot of debate in the country on the changing views on marriage in India. The varied opinions on the film's point of view only added to the company's profile as a production house unafraid to raise issues that are less discussed. Released in August 2006, Kabhi Alvida Naa Kehna (Never Say Goodbye) has grossed a recordbreaking sale of US $ 30 million worldwide. It holds the distinction of having the biggest opening worldwide ever in the history of Indian Cinema and has gone on to become the highest grossing Indian film in the Overseas Market to date. Around this time, Karan also embarked on a journey to actively nurture young directors. To give them a voice and to make their kind of cinema...cinema for the young, by the young. His protgs went on to create a world within a world...with beautiful stories told.

Dostana (Friendship), Tarun Mansukhani's directorial debut, was released worldwide in November 2008. Rated as one of the finest comedies of the year, Dostana continued Dharma Productions' endeavor to push the envelope thematically. The film initiated debates all over India about homosexuality and attained pop-culture status for the subject - a mammoth task in a country where homosexuality is still not legally recognized. By the use of humor, Dostana helped homosexuality enter the drawing rooms and board room discussions in India. Dostana was a commercial success as well, raking in over US $ 20 million worldwide. Oct 2, 2010 saw the release of Wake up Sid. Helmed by debutant Ayan Mukherjee, this film saw both critical and commercial acclaim. Shot entirely in Mumbai, the film starred today's youth icon, Ranbir Kapoor in the leading role. A coming of age film, Wake Up Sid takes a look at young India's aspirations and their sense of purpose. The film won many laurels in the awards circuit including the best debut award (direction) for Ayan Mukherjee at the Film fare awards in 2009. November 2009 was marked by another release Kurbaan. Rensil D'Silva's directorial debut had Saif Ali Khan and Kareena Kapoor in leading roles. The film talks about the times we live in and an individual's take on terrorism. Once again, Dharma Productions looks at a new theme, albeit controversial, taking story telling and pushing the envelope to newer heights. My Name is Khan, Karan Johar's fourth directorial venture and a mammoth production starring Shah Rukh Khan and Kajol, released on February 12, 2010. Set against the backdrop of the aftermath of 9/11, the film deals with racial stereotyping suffered by Asians in America and one man's quest to spread the message of tolerance and love. The film opened to a thunderous response not only in India but all over the world. It premiered at the Berlin Film festival, a first for an Indian film, where the film was received with a standing ovation from audiences all over the world. My Name is Khan has gone down in history as the most successful Indian film in the international markets raking in well over 209 cr INR. My Name is Khan is also the only Indian film to have widest mainstream release in the international markets thus establishing the unparallel goodwill and appreciation among the audiences all over the world. It opened newer markets for an Indian film like France, Poland, Puerto Rico, Spain, Lebanon, Syria, Egypt, Russia, China, Taiwan, South Korea to name a few. The film also became the first Indian feature to be released in a phased manner in certain part of the world.

With its fingers firmly entrenched on the pulse of the audience, Dharma released yet another enchanting love story in July of 2010. I Hate Luv Storys marked the debut of Punit Malhotra. Starring Imran Khan and Sonam Kapoor, the film was major success across all markets. I Hate Luv Storys is a young, bubbly film which takes a look at the life of Jay (Imran) and his hatred towards sloppy, predictable love stories and how soon enough his life begins to resemble like one when he falls in love with Simran (Sonam Kapoor). Set amidst the Indian film industry, this film takes pot shots at several industry big wigs and looks at various clichs that mark the industry. The film generated tremendous amount of business making it a certified box office success. We are Family released with much fanfare and anticipation. An official remake of the acclaimed Hollywood film "Stepmom", through this Dharma achieved a coup of sorts by bringing together two of the biggest powerhouse performers of the Indian film industry, Kajol & Kareena Kapoor. In keeping with Dharma's tradition of nurturing new talent, this film also marked the directorial debut of Siddharth Malhotra. With power packed performances, emotional and heartfelt moment and superb production values, We are Family was very well received by audiences in India and abroad. It brought back the old world charm of movies which could be viewed by the entire family together. Moving forward Dharma Productions will continue its journey of bringing enjoyable, path breaking cinema which will be appreciated by both the masses and classes. Under the leadership of Karan Johar, Dharma is committed to nurturing and giving a voice to new talent across all spectrums of film making.

CHAPTER 3 Product Profile

A bolly wood movie 1991 to 2ooo , highest product placement

Name of Movie

product

Love

Thumsup Amul shreekand Vix Meggii

Dilwale Dulhania Le Jayenge

Canned Stroh's

Taal

Coca-Cola,

Thums Up, ,Sony DieCoke, Nescafe MTV,BPL Honda20 3 Hum Tum Times of India Group, Lays 4 Koi Mil Gaya Karizmaa Hero Honda, Bourvita 5 Chalte Chalte Hyundai Santro

Castrol 6 Bagban Ford Ikon ICICI Bank, Tata Tea

CHAPTER NO 4 Introduction of the Study

Primary Study

Literature Review
Balasubramaniam (1994) has defined Product Placement as a paid product message aimed at influencing movie or television) audiences via the planned and unobtrusive entry of a branded product into a movie (or television program). Steortz (1987) on the other hand, defined brand placement as the use of a products name, signage or other trademarks appearing in media. Gupta and Gould (1997) seemed to incorporate both the above mentioned definition and defined product placements as a means of incorporating brands in movies in return for money. Product placements enhance realism and are important tool of character development which aid in enhanced sense of familiarity (Gupta and Gould, 1997). Product placement in Hollywood dates back to 1920s when cigarette manufacturers promoted cigarettes and their use through movie actors (Schudson, 1984). Until the late 1970s product placement was not a paid for tool. Product sponsors used to loan the products to the filmmakers free of cost. Since early 1980s there was a significant change as this tool became paid for (Krasnoff 1986, Fleming 1990). Balasubramanian (1994) considered the success of product placement in a movie to be dependent on the relationship between a filmmaker, a specialized firm and a product sponsor.The filmmaker controls opportunities for product appearances in his movie while the sponsor seeks such value creating opportunities and the specialized firm makes significant changes in the script to fit the product and the brand in the film.The specialized firm has the toughest job of carefully reviewing the script and the scenes to be picturised to locate the appropriate context for placing a specific product (Salmans, 1981). Simultaneous working of this symbiotic relationship results in product placement (Newsweek, 1989). For example, in the movie Namastey London,actor Rishi Kapoor, playing the role of the father of the lead actress fills up a form in bharatmatrimony.com for his daughter and specifically mentions Galti ka koi scope hi nehin hain (there is no scope for error) endorsing Bharatmatrimonys reliability.

Again Rajapal Yadav, a gangster in the movie, compares himself with hutch ka chhota recharge(Small Recharge of Hutch) thus stating the flexibility and power of the Hutch Recharge Coupon. Bollywood movies have worldwide reach and significant shelf life through DVDs and VCDs and broadcast and cablecast opportunities. The number of captive 52 Product Placement in Bollywood Movies audience in theatres is increasing. Hence sponsor perceived value of Bollywood is also increasing (Fleming, 1990). Since Bollywood or Hollywood movies mostly remain unchanged across countries, international brands even if placed in local media through cablecast or broadcast, may serve as global marketing strategy (Gould et al., 2000). Culture plays a very important role as regards to communication (Hall, 1984).Communication in India is generally expressed in an explicit non verbal style (De-Mooij, 1998). This form of communication makes the usage of symbols and signage through celebrities all the more important as it increases the level of involvement. Tavassolli et al. (1995) are of the view that when individual involvement is too high recall is bound to suffer. McCartey (2004) is however of the view that high involvement of the audience in the movie would positively enhance processing of brands related to the plot but negatively impact those not linked to the plot. Lord and Gupta (2002) also supported this view and said that recall will be more in case of audience with high involvement. Gupta and Lord (1998) even found out that more recall was elicited for properly placed brands in movies than traditional advertisements.

Back ground of the study

What is product placement?

Product placement is a promotional tactic used by marketers in which a real commercial product is used in fictional media, and the presence of the product is a result of an economic exchange Product placement is an advertising technique In which companies pay a fee or provide services in exchange for a prominent display of their products. When featuring a product is not part of an economic exchange, it is called a product plug. Product placement appears in plays, film, television series, music videos, video-games and books. Product placement occurs with the inclusion of a brand's logo, or a favorable mention or appearance of a product. The most common form of product placement is movie and television placements and more recently video games.

Advantages of product placement

The viewer cant ignore the placement without missing the plot in films. Films reach a global audience; more people are going to the cinema and renting or buying videotapes and DVDs (Digital Video Disks), thus increasing the audience. People can also see the product in use, usually by a celebrity, giving the product some sort of status and an endorsement. More and more companies are using product placement because "traditional" advertising is becoming less and less effective. With new technology such as digital video recorders, viewers now do not have to sit through commercials. Product placement is a way for advertisers to break down the wall between television shows and commercials and to become part of the environment of the show.

Forms of product placements

The most basic form of product placement is the inclusion of a product name or logo in the foreground or background of a scene. Payments are based on exposure, including the number of times the product is shown or mentioned, the duration of that exposure, and the degree of inclusion of the product in the story line. Sometimes product usage is negotiated rather than paid for.Some placements provide productions with below-the-line savings, with products such as props, clothes and cars being loaned for the production's use, thereby saving them purchase or rental fees.

Types of product placement

Passive product placement A passive product placement is on in which the product is shown either in the background or in the foreground. The Brand per se is not part of the storyline or plot. Active product placement An active placement is one in which the brand is just not present in the background or foreground, but the actor touches the product or provides an auditory mention. There is contextuality in its presence. Hyperactive product placement A hyperactive placement is one in which the brand is not just present in the show , but the brand ambassadors (or the actors or host) use & refer to it blatantly. Eg: Pepsi launched its new product Pepsi Cafechino on Sonys Indian Idol. Its brand ambassadors Kareena Kapoor & Priyanka Chopra appeared on the show wearing the same clothes they had worn in the ad. They proceeded to hold the bottle, raise it, refer to it, drink it and talk about it!

Problem of the study

Most of the past research studies of product placement attempt to measure the effectiveness especially at effects on brand recall, recognition and attitude. However, some studies on the effects of product placement yielded mixed results with respect to the recall or recognition of brands placed. Research studies found that recall of placed brands was weak and perceptions differ by product class (Ong and Meri, 1994; Gupta and Gould 1997). This failure was mainly because of ethical issues as well as due to failure to recognize the multidimensional nature of product placement, such as the effectiveness of product placement of the types of placement. Marketers are spending too high on product placement in movies but in Indian market people are less aware as well as only popular products get success on recall attribute.

Objective of the study:

To find whether consumers can recall various brands being endorsed by film stars in movies. To analyze whether celebrities in movies cast any influence on consumers decision making/ buying behavior

CHAPTER 5 Research Methodology

Research Methodology:
Research Design : Qualitative Type of research: Exploratory research followed by descriptive

Data Sources:Primary Data : Through questionnaire and Focus group interview Secondary Data : Articles Related Product Placement from Net Population: Graduate and post graduate students of Gandhinagar and Ahmadabad.

Sampling Design: Sampling Frame: Collages of Ahmadabad and Gandhinagar Sampling Method: Non Probability-Convenient Sampling Sample Size: 100 students Sample Unit: Student Data Collection Method: Survey method Data Collection Instrument: Questionnaire & Interview Data interpretation tool: Excel, Spss

Limitations of the study:Reluctance on the part of the respondents to provide exact details. . Study is limited to specific city {gandhinagar} Time limitation. Sample size.

QUESTIONNAIRE
Dear Respondent, I am the student of MBA 4th SEM in Chaudhari Technical Institute, Gandhinagar. I am doing a Research on To Study the Effectiveness of Product Placement in Bollywood Movies. and for the same we humbly solicit your valuable response. The information provided by you will be kept confidential and used for the academic purpose only

Q1. Do you watch movies? a) Yes (b) No

Q2. If yes how often do you watch them? a) b) c) Sometimes Frequently Daily

Q3. Where do you watch movies? (a) Television (b) Theaters/Cinema halls

Q4. Do you think the Movies are trying to promote the Brands? (a) Yes (c) Cant say (b) No

Q5 What Impact Do the Celebrities Create In the Movies? (Can Tick More than One). (a) Attract Attention Towards Advertisements. (b) Arose Interest In The Products (c) Build Desire To Have The Product. (d) To Action For Buying A Product Q6. The following statement is based on your ability to remember/ recall the product. Please tick the statement(s) as per your agreement to the statement. (a) The particular brand was my favorite brand and so I could remember. (b) The brand was endorsed by my favorite actor. (c) My friends spotted it and showed me.

(d) I was well aware of brand so I could see and remember it. Q7. Which Other Factors In Movies Can Influence You To Buy The Product? (a) Brand Name (c) Product (b) Music/Jingle (d) Cast of Film(hero/heroine)

Q8. Please List down the Celebrity Name and Brand/Product Endorsed by him/her That You Can Recall Celebrity Name Aamir Khan Brand Endorsed Samsung Mobile,Tata Sky,Coca Cola Amitabh Bachan Himani Fast Relief, Boroplus, Navratan Cement. Abhishek Bachan Juhi Chawla Aishwarya Rai Idea,Motorola,Lux. KurKure Coca Jewellers. Shahrukh Khan Sunfeast, Airtel, Nokia, I-10, I20, Fair and Handsome. Imraan Khan Akshaey Kumar Coca Cola ThumsUp Cola,Lux,Tanishq oil,Pepsi, Binani

Q9.Have You Ever Bought A Product Under The Influence Of A Movie? (a) Yes (b) N

Q10.Are you planning to purchase it in future? (a) Yes (b) No

Q11.How Can The Celebrity Influenced Your Purchasing Decision? (Can Tick More Than One) (a) Due To Good Image (c) Possesses Attractive Personality (b) Make Rational Appeal (d) Define the Product Effectively

12) Do you think that the product placement is effective in bollywood movies? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly disagree

Personal Information: Name: Gender: