INTRODUCTION:

Marketing has been for a long time a neglected area in India, because of protective controls and a prevalence of a sellers market in most products. How ever, the new trends as the government levels of fearing controls is bound to results in increasing competition and a change over in many more products to a buyers market. Ordinarily marketing is a considered as an activity or function performed by business firms. Marketing also can be carried out by other organizations are performing, a marketing. Marketing touches all of us everyday of our lives. We wake up to an alarm. Then we brush our teeth with Colgate, shave with Gillette. Use other toiletries and appliances, which are being used for our daily activities. Computer which is being used for printing, all are produced and marketed by manufacturers around the world. In addition to the range of items normally considered as goods and a services, what is being marketed may be ideas, such as reducing air pollution or contributing to the united way; people , such as industrial plant sites or a place to go for a variation. or even by individuals. Whenever we try to persuade somebody to do something, you

Marketing is the business function that identifies unfulfilled needs and wants defined and measures their magnitude, determines which target markets the organization can best serve, besides an appropriate product, services and programmers to serve these markets and calls up on every one in the organization to think and serve the customers form as a social point of view, marketing is the force that harness a national industrial capacities to meet the societys material wants. William Davidow observed. While great devices are invented in the laboratory, great products are invented in the marketing departments.

Definitions of Marketing: The marketing concept is a point of view on business. It enunciates that any business is essentially a need satisfying process. It also enunciates that all the goals of the organization, integrated management action and generation of consumer satisfaction. -V.S. RAMASWAMY&S.NAMA KUMARI Marketing is a social and managerial process by which individuals groups obtain what they need and want through create, offering and exchanging products of value with others.

MARKETING REASEARCH Several characteristics of modern business encourage the use of marketing research by business. First the suppliers of product and services need to have information about consumers in order to product and services more effectively. Second, as the company grows and starts distributing its products to different markets, the managers of the company find themselves becoming more separated from the final consumer of their products. Marketing research is the function of which links the consumer and public to the marketing through information information used to identify and defining marketing opportunities and problem generate, refine and evaluate marketing action; monitor marketing performance and improve understanding of marketing as a process. Marketing research specifies the information required to address these issues; designing the method for collecting information; manage and implement the data collection techniques the analysis and interpretation and communicates the findings and suggestions. The concept of markets brings us full circle to the concept of marketing, marketing means human activity taking place in relation to markets. Marketing means working with markets to actualize potential exchanges for the purpose of satisfaction human needs and wants.

Marketing Management: Marketing Management is the process of planning and executing the conception, pricing, promotion and distribution of ideas goods and services to create exchanges that satisfy individual and organizational objectives. -American Marketing Association. Marketing is the performance of business activities that directs the flow goods and services from products to customers or user to satisfy customer and accomplish the firms objectives. CUNDIFF The aim of marketing is to make selling superfluous. The aim is to know and understanding the customer as well as that the product or services fits and it self. P.F DRUCKER Marketing is the total system of business activities designed to plan, price, and promote and distributing want satisfy products to target markets to achieve organizational objectives. -J. STANTAN Thus marketing actually confines many activities such as marketing research, product development, distribution, pricing, advertising, personal selling and other designed to sense, serve and satisfy and consumer needs while meeting the organizational goals.

For a company or succeed and grow, all companies must look a head and develop long-term strategies to meet the changing contribution in their industries. Marketing plays an important role in strategic planning. The company must look into its environment, which factors deeply effect the company. The marketing environment offers both opportunities and threats and the company must use its marketing research and marketing intelligence systems to watch the changing environment.

OBJECTIVES

To know the product line and products mix of Praga tools and trace

importance of branding and packaging in its marketing. To know the effectiveness of pricing methods followed by Praga

tools ltd. To know the row of distribution channels in making Praga tools a

successful market. To evaluate the promotional strategies Praga tools and suggest some

measures for any drawbacks in those strategies. To know the customer perception towards Praga. To know the customer level of satisfaction. To evaluate the service provided to the customers,.

NEED FOR THE STUDY

Machine tools industry is the backbone of all major industries, like automobiles. Heavy electronics, railways, defenses etc., in recent years these industries has developed tremendously with the development of the huge industries. The private entrepreneurs have shown a lot of interest in these Industries. Even though the product is small it plays an important role in the moving the other industries flexibly. The strategies adopted by the company to sell the products and to reach the targeted sales have a greater importance in to bringing out the best possible result from various elements of marketing combinations. In marketing there are two different but related processes.

The first one deals with stimulation of deals while the second deals with the physical distribution of goods.

SCOPE OF THE STUDY

The scope of the study is confined in the twin cities only

The study is limited to 45 days

The data collection from the respondents is qualitative in nature i.e.,

views, opinions, etc., so it is not a convenient data for the study for the study for a longer duration.

RESEARCH METHODOLOGY

The following is methodology adopted for study. Sources of data: This methodology adopted and the information collected for this study is exclusively Secondary data and has been compiled using the following. Company files

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Past records Annual reports Consulting administrative staff Consulting marketing managers.

Research design of the study: 1. 2. 3. Define the problem . developing research plan .analyze the information

1)Define the problem: A problem is well defined is half solved sometime if we able to define a problem We require an explanatory research together data about the real nature of the Problem and to suggest possible solution or new ideas.

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2) Developing the research plan:Most efficient plan for gathering the needed Contains The following: a) Data sources: information to be developed

Primary data. Secondary data. primary data:- This is first hand information collected from original Sources through various methods such as observation, interviews, etc primary Data collected by interviewing persons chosen for this study. They include Students for various academic backgrounds. For the purpose of this study structured or directive interviews are

employed His is an interview with a detail standard schedule where in Information is Collected in minimum time for respondent. Structured Interview makes use of a questionnaire in collecting the information from the respondents.

There is various methods of data collection like:Methods of primary data collection: Observation

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Interviewing Mail survey Experimentation Simulation Projective techniques Questionnaires

In this study, interview techniques of data collection are practiced. Secondary data: - secondary data is the collected from sources which contain data that has been collected and compiled for another purpose. It may be defined as data that for an earlier purpose other than currently Pursued. The secondary in this study consists of:1. 2. 3. 4. 5. published records reports technical and trade journals book magazines and newspapers public records and statistics related websites

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b) Research Approaches: The various research approaches are: Observation or descriptive approach. Applied research. Experimental research. Conceptual research.

In this study of consumer perception towards Praga tools ltd is collected hashed on observation or descriptive research. This approach surveys and fact finding enquires of different kinds. The main reason behind employing this approach is the state of fairs, as it exists at present. c) Research instrument:This research instrument used in this study is

questionnaire sample selection sample plan and unit sample size

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sampling procedure

i)Questionnaire:- The questionnaire is to get the specific information about the specific problems so that the after analysis and interpretation results in a better application of the problem. ii) sample Selection:- The process includes: sampling plan and unit sampling size sampling procedure contact method

iii)Sampling plan and unit :- It is a detailed plan regarding the designs Prior to the actual research work . it refers to the procedures the research Would adopt in selecting items for the samples. Sample means representation Items of the population. Since it is difficult the study the population, sample can be on the population and study can be conducted. The sampling unit is the geographical one such as state, district, village, and etc. or a construction unit such as House, flats, and etc or it is social unit such as family club school etc , or it may be

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individual or a thing .The sample units for the survey were schools, College and individuals in a given area. iv)sample size:- this refers to the no of items selected from the universe to constitute a sample in other words the number of respondents from which data is collected. vi) Sampling procedures:-This refers to the procedures to be followed in selecting the sample from the population. The sampling procedure can be: Method of sampling:- The important method of sampling are stated below . . Restricted or random sampling method Simple or unrestricted random sampling

A) Restricted or random sampling:It may be following types: Stratified sampling Systematic sampling Cluster sampling Area sampling

B) Non random sampling:It may be of following type: 1. 2. Judgment or positive sampling Quota sampling

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3.

Convenience sampling

In this considered convenience and judgment sampling methods of non random sampling and cluster and area sampling under restricted random sampling. The total area of happened to be a big one. Hence the best and convenient way is adopted in this study by dividing the area into a small nonoverlapping area and a sampling is drawn randomly which amounted to area sampling. 3) COLLECT THE INFORMATION:The primary data is collected with utmost care , so to avoid any sample Basis or error . It is the cost list , life - blood and time consuming aspect of research.

4) ANALYZE THE INFORMATION:The data collected is tabulated with utmost care and caution by Employing sample statistical tools like means , sample average , percentage etc To infer the salient finding of the study. In order to strengthen the finding Pictorial and graphical techniques are utilized. 5) PRESENTATION OF FINDINGS:-

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The findings are presented in sample language so as that manager in Understand and get what he wants. The findings report has been prepared keeping In view the requirements of such that it can be clearly understood by the reader and also useful for the company it has been prepared Osmania university.

LIMITATIONS

The scope of the study is limited to Hyderabad only. This study is limited to Praga tools only. The observation is there within a specific time i.e., 6 weeks.

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The data given by some of the respondents are not accurate due to lack of time.

There is a possibility of causal or careless answers by the respondent.

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INDUSTRY PROFILE

Introductionheavy machine tools industry India ranks nineteenth in production and sixteenth in consumption of machine tools in the world. The Indian machine tool industry averaged more than 35 per cent growth in 2004-05. Imports exceeded production in the year 2004 with US$ 356 million worth machine tools being imported while the production was only

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US$ 225 million. Machine Tools form 1 per cent of India's engineering industry and contribute 0.3 per cent of total machinery exports. The Indian machine tool industry currently consists of about 450 manufacturing units of which approximately 33 per cent (150 units) fall under the organized category. Further, ten major Indian companies constitute almost 70 per cent of the total production. The government-owned Hindustan Machine Tools Limited (HMT) alone accounts for nearly 32 per cent of machine tools manufactured in India. Approximately 75 per cent of the Indian machine tool producers have received the coveted ISO certification. While the large organized players cater to India's heavy and medium industries, the small scale sector meets the demand of ancillary and other units

ORIGEN OF MACHINE TOOL INDUSTRY:

The oldest machine tools company with its decades in the field d of heavy machine s is M/S PRAGA TOOLS LIMITED. It as a machine tool manufacturing organization needs no reference. It has got a well-acknowledged product group and brand images supported by world wide clientele.

HEAVY MACHINES A HISTORY:

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Heavy machine industry was incorporated as a joint stock company in private sector in the year 1983. Technical assistance of Czechoslovakian engineers was sought to make the beginning. Name Praga originated from this association with Czech national after Prague their capital. Alter in March 1959, the government of India acquired controlling interest by subscribing to the majority shares in the erstwhile Praga tools limited. And placed the company under the administrative control of the ministry of commerce and industry. Subsequently ministry of defense took over the administrative control with effect from December 27, 1963 and from April 25, 1986; the administrative control was again transferred to the ministry of industry (department of public enterprise).

THE GROWTH OF MACHINE TOOLS INDUSTRY

Praga, s wisest investment has been in its excellent collaboration with world famous names like Jones and shipman of U.K., Gambian of France and George fisher of Switzerland, Mitsubishi heavy industries on Praga producing machine tools of their highest quality conforming to international standards. y virtue of their dependability, precision engineering and proven performance, Praga machine tools are penetrating into larger segments of foreign markets including U.K., C.I.S, Canada Australia, France, Singapore, Holland, Bulgaria, Indonesia, Germany, Japan, U.S.A. etc.,

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Praga is even more proud of the fact it ahs contributed to the development of the machine tool industry in the country and the creation of a vast band of skilled technicians. Thus Praga today, is a name to recon with in the machine tool industry. Pragas most treasured testimonial is user preference for Praga products- the expression of total satisfaction from its clientele.

EVOLUTION OF NEW TECHNOLOGY- CNC MACHINES: because of the rapid advancement in technology, the need for use of computers instead of control units arise and one needs to replace as much of the conventional NC hardware with software as possible and simplify the remaining hardware. The one that does this is the CNC. The CNC (computer numerical mini-computer, controlled by stores instruction, to perform some or all of the basic numerical control functions.

COMPANY PROFILE

Praga is one of the leading machine tool manufacturing units in India. Established in 1943, pragas products are well known in the field of machine tools. The company is organized in four divisions viz., the machine tool, forge, foundry and C.N.C. Division which pulsate with the activities of 1940 employees, turning out wide range of products. The four divisions, equipped with modern facilities for design, development and manufacture of machine tools, are manned by qualified personal record of technical knowledge and exquisite craftsman ship over a period of time years.

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M/s Praga tools limited as a machine tool manufacturing organization need as no references. As the oldest machine tools company with its decades of starting of starting in the field and well acknowledged product group and brand image supported by world wide clientele and then converted as certificate it has acquired a testimony of impeccable accidentals. Praga history Praga tools limited, was incorporated as a joint stock company in private sector in the year 1943. Technical assistance of Czechoslovakian engineers was sought make the beginning. Name PRAGA organized from this association with Czech national after Prague their capital. Later in March 1959, the government of India acquired controlling interest by subscribing to the administrative control of the ministry of commerce and industry. 9001:2000

Sub sequent ministry of defense took over the administrative control with effect from December 27, 1963 and from April 25, 1986, the administrative control was again transferred to the ministry of industry(department if public enterprise). Praga fame: Praga is proud of its diverse range of machine tools the cutter and tool grinders, surface grinders, milling machines, copy lathes, thread rolling machines and drilling machines. In addition, the company also manufactures a wide range of industrial forgings for railway, auto motives and ordnance applications. Praga has now gone in for C.N.C. Machines keeping pace with the ever changing technology.

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Praga s wisest investment has been in its excellent collaboration with worldfamous names like Jones and shipman of U.K., Gambian of France and George fisher of Switzerland, Mitsubishi heavy industries Japan, kayo spiky also of Japan. The collaborations have culminated in Praga producing machine tools of the highest quality conforming to international standards. By virtue of their dependability, precision engineering and proven performance, Praga machine tools are penetrating into larger segments, Holland of foreign markets including U.K,. C.I.S., Canada, Australia, Singapore, Holland, Bulgaria, Indonesia, Germany, Japan, U.S.A. etc... Praga is even more proud of the fact that has contributed to the development of the machine tool industry in the country machine tool industry. and creation of a vast band of skilled technicians. Thus Praga today, is a name to recon with in the

There is a most treasured testimonial is user performance for Praga products the expression of total satisfaction from its clientele.

There is a wide talk in the industrial sector that PRAGA stands for 1. Precision 2. Reliability 3. Adaptability 4. Genuine concern 5. Assurance in quality Thus reveals the fame acquired by Praga in its long successful run for over 59years.

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PROCESS AT PRAGA

DEMANDS CUSTOMER

OF

R&D

P.P.C

P.E.D

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MARKETING

MATERIALS

M.T.-1

M.T.-11

M.T.A

ASSEMBLY

PRODUCT

CUSTOMER SATISFACTION

HRD

Customer

Training employees

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T raining

Quality Quality

EDP Attendance of workers & in time Dispatch

DEPARTMENTATION @ PRAGA MARKETING: This department meets the demands of the customers and gets orders for the company by doing some promotional work like trade work, advertising and exhibition. In this process 37% of the machine value is collected at the time of order and remaining at the time of the dispatch. The annual target of Praga is 54 crores. RESEARCH AND DEVELOPMENT: The R&D department provides the drawings of components and assemblies to the PED. R&D makes some modifications is the standard machine to suit the requirement of a particular customer.

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ORGANIZATION CHART OF

R&D

MANAGER

Divisional manager

Divisional manager

Divisional manager

Assistance manager Jr.manager Jr.manager

Assistance manager Jr.manager Jr.manager

Sr. Dosmen

Sr.Dosmen

Sr.Dosmen

Jr.Dosmen

Jr.Dosmen

Jr. Dosmen

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PRODUCTION PLANNING AND CONTROL: P.P.C. Is a link between manufacturing department and materials Department? It comes to know of the customer requirements through plan. the marketing Department and decides the sequence of operations as per the sales

PRODUCT ENGINEERING DEPARTMENT (P.E.DE): The main function of this department is tool design and tool planning it receives the component drawing from R & D and designs the Tools required to produce those components and sends them for assembly. MATERIALS AND SCIENCE DEPARTMENT: The chief activity of this department is to procure raw materials to Manufacture products and tools as inferred from the rout card prepared by P.P.C. It also procures some bearings, forgings, castings etc. M.T.-1 & M.+.- 11: The machines manufactured in M.T- 1 are cutter and tool grinder and surface grinder. On the whole, M. T.-1 components caters to the production of heavy

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M.T-11 mainly manufactures smaller components various rolling and grinding Machines used in M.T.11 are: 1. Surface grinding machine used for flat jobs. 2. Thread formed rolling machine -used for the manufacture of automobile parts. 3. Hi-fin dry rolling machine. 4. CNC lathe. MACHINE TOOL ACCESSORY (M.T.A): It receives the raw materials from materials department to produce chucks which are job holding devices. machines. ASSEMBLY: The products of M.T.-1, M.T.-11&MTA are sent to his department for final assembly. Hence all the mentioned above in as finished product from assembly polished. M.T.-1&M.T.-11 are obtained with the machines being even painted and This department produces two type of chuck that is, lathe chucks used in conventional lathes and over chucks in CNC

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QUALITY CONTROL INSPECTION (Q.C.1): This department assures the customer of the quality of products through Documentation. It checks for the variation in the production of any component at every stage of operation analysis the variation and takes corrective action against i Final inspection that is performance tests of machines is done in assembly. FINANCE: Two divisions look after the two major activities of finance department that is the purchase accounts division & the par-roll division. Purchase accounts division looks after payment to parties and pay-roll division looks after the payment to employees. HUMAN RESOURCE DEVELOPMENT DEPARTMENT: The functions of HRD are:
1. To create facilities for employees to enhance their skills. 2.

To provide skilled man power for present and future needs. For this performance evaluation is done on a quarterly basis to encourage the employees.

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ELECTRONIC DATA PROCESSING DEPARTMENT (E.D.P): This department processes the data related to pay roll, inventory man machine Utilization etc. It also acquired the data related to provider. Fund trust, income tax evaluation and return etc. care by this department. COMPUTERISED NUMERICAL CONTROL DIVISION (C.N.C): The various machines in their functions are briefly described below:
1. Horizontal machining centers have axes(x, y, z and rotary axes) and are

Attendance of the workers is also Taken

used in the Production of automobile and defense parts.

2. Horizons and vertical milling machines are four axes machines used for

milling and drilling.

3. Grinding and Plano milling machines used for roughing only. These are

not computerized.
4. C.N.C. Lathe is a 2 axis machine (x & y axes). Manual data input is

given for small functions and the mechanism is same as that of machining center.

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FORGE AND FOUNDARY DIVISION: Various heat treatment processes are carried out in the forge shop and later the components are hammered using pneumatic hammer, hydraulic hammed, counter Bolt hammer etc,. To the required dimension. In foundry, carbon dioxide is passed though sand mixed with sodium silicate. The Induction furnace and cupola here 3 tones capacity each and used for charge preparation.

TYPES OF MACHINE TOOLS PRODUSED: The various types of machines tools and accessories produced in Praga are here under: 1. Conventional machine:
a. Cold forming machines

1.thread rolling machines. 2. Spine rolling machines. 3. Pulley forming machines. 4. Tube finishing machines.
b. Milling machines

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c. Surface grinding machines d. Cutter and tool grinding machines

2. CNC machines
a. Horizontal machining center b. Lathe c. Milling machines d. Cutter tool grinding machines e. Surface grinding machines

3. machine tools accessories & forgings:

a. Chucks b. Forged flanges

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EVELUTION OF CNC MACHINES: Because of the rapid advancement in technology, the need for use of computers in stand of controller units arise and one needs to replace as much of the conventional NC hardware with software as possible and simply then remaining hardware. The one that does this is the CNC. The CNC (computer controlled by stores numerical control) is a self contained NC system for a single for a single machine tool and it includes a detailed mini-computer, instruction, to perform some or all of the basis numerical control functions.

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ADVANTAGES OF CNC MACHINES:

An increase in flexibility. The reduction on hardware circuits and simplification of the remaining hardware.

The availability of automatic diagnostic programs entails a need for less maintenance personal.

A reduction in inaccuracies in manufacturing due to a reduced use of the tape reader.

An improvement in the possibilities for correcting errors in part programming- the editing feature.

Elimination of operator errors. Longer tool life. Flexibilities in changes of component design. Reduced inspection.. Maintenance through alarms. All outputs can be seen on the screen.

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PRAGA

view on the business and their customer can be received from their

statement as follows: We are in business for profit. Profit comes from customers. Customers want service. Speed needs control. Control comes from efficiency. Efficiency demands high tech C.N.C. Money comes from profit.

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PRAGA view from Housekeeping to Happiness is as follows: Housekeeping means orderliness. Orderliness means cleanliness. Cleanliness means quality. Quality leads to productivity. Productivity leads to prosperity. And prosperity means happiness.

PRAGA distinguishes the winner and the looser as fallows:

The winner is always a part of the answer the looser is always a part of the problem.

The winner always has a problem the looser always has an excuse.

The winner says let me do it for you the looser says that is not my job.

The winner sees the answer in every problem the looser sees a problem in every answer.

The winner says it may be difficult but it is possible the looser says it may possible but it is too difficult.

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Praga suggests you to be WINNER

Praga defines a customer as fallows: a customer is the most important visitor on our premises He is not dependent on us. We are dependant on him. He is not an outsider on our business. He is part of it. We are not doing him a favor by serving him favor by giving us an opportunity to do so.
-

He is doing us

MAHATMA GANDHI

Praga says all of us need to accept then fact that from this Movement our situation and future is in capable hands of ours. Pragas successes and happiness starts with you.

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CONCEPTUAL FRAME WORK

MARKETING MIX THE THEORY

MARKET A Market consists o all the potential customers sharing a particular need or want who might be willing and able to exchange to satisfy that need or want. -Philipkotler Thus the size of the market depends upon the no of persons who exhibits the need have resources interest others and are willing to offer these resources in exchange for what they want. Marketing

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Marketing is a social and managerial process by which individuals groups obtain what they need and want through creating, offering and exchange products of value with others. -Philipkotler

The concept of markets brings us full circle to the concept of marketing. Marketing means human activity taking place in relation to markets. Marketing mean working with markets to actualize potential exchanges for the purpose of satisfying human needs and wants. Marketing management: marketing management is the process of planning and executing the conception, pricing, promotion and distribution of ideas goods and services to create exchanges that satisfy individual and organizational objectives -American Marketing Association. This definition recognizes that marketing management is a process of involving analysis planning, implementation, and control; that covers ideas. Goods an services , that it rests on the notions of exchange; and that the goal is to produce satisfaction for the parties involved.

Industrial marketing

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Industrial

buyers

constitute

the

largest

market of the rupee volume of

transactions; involved in industrial buying significantly exceeds that of ultimate consumers market.

Industrial or business marketing is the process 1. .Determining the needs and requirements of commercial enterprises Governments and institutions and, 2. Developing the appropriate products, services, prices, distribution channels and communications to satisfy those requirements An industrial marketer , as opposed to a consumer goods marketer, concentrates on meeting the needs of organizations (business, government, institutions) a production which purchase goods and process. Thus from above understanding we can define industrial marketing management as marketing of products and services to commercial enterprises, governments and not-for-profit institutions, either for resale to other industrial consumer or for use in the production of their own products or services. 1. 2. 3. What customer comprises the industrial market? Similarities between the customer and consumer goods customer. What forces influence the behavior of industrial market demand? services that are incorporated into a finished

products, used to produce a finished products ,or used to facilitates

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Marketing mix: Marketing mix is the set of marketing tools that the firm uses to pursues its marketing objectives in the target market. Philipkotler

There are literally dozens of marketing mix tools. Mc Carthy popularized a four factor classification of these tools called the 4 P`s 1.Product 2.Price 3.Place 4.Promation

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Marketing Mix

Produc t

Place

Price
Sales Promotion Discounts Allowances ~ 48 ~ Payment period Credit terms Advertising Sales force Public relations direct marketing

Product variety Quality Design Features Brand name Packaging Sizes Services Warranties Returns List price PRODUCT

Promoti on

Channels Coverage Assortment s Locations Inventory Transport

People satisfy their needs and wants with products. Let us define products broadly to cover anything that can be offered to some one to satisfy a need or want. Normally the word product brings to our mind a physical object, such as an automobile, a television set or a soft drink. Since a product is simply a bundle of properties, it should posses those properties which fit into the needs of target market s in any way which will give the marketer the greatest competitive advantage. Due to the diversity of needs a product a single product or even a single line of products, i.e. products which serve the same general purpose who buy them together. or are so closely associated with the customers

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PRODUCT TYPES Classification of products Consumer goods

A) Convenience Goods b) Shopping Goods c) Specialty Goods d) Unsought Goods

industrial goods
A) Material & Parts b) Capital items c) Supplies & Services

1. Consumer goods are products intended for use by ultimate household consumers for non business purposes. 2. Industrial products intended for use in producing other goods or in rendering

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services in business. Product line A product line is groups that are closely related because they perform a similar function, are sold to the same customer groups, are marketed through the same channels or make up a particular price range. -Philipkotl er A group of similar products intended for essentially similar use. A group of products that are closely related, because they function in a similar manner, are sold to the same customer groups. And are marketed through the same types of outlets or fall within given ranges.

Product line analysis: Product line managers need two types of information. First they must know the sales and profits of each item in the line. Second, they must know their product line is to be compared with competitors product lines. Product Mix

A product mix (also called product assortment) is the set of all product lines and items that a particular seller offers sale to buyers.

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-Philipkotler the set of all products lines and items that a particular seller offers for sale to buyers. Or The full list of products offered for sale by a company PRICE All profits organizations and many non-profit organizations set prices on their products or services. Price goes by names. Price is all around us. You pay rent for your apartment, tuition for education, and a fee to your physician or dentist. The airlines, railway, taxi and bus companies charge you a fare; the local utilities call their price a rate; and the local bank charges you the money you barrow. Through most of history, prices were set by buyers and sellers buyers would offer le s than they expected to pay.

negotiating with each other. Seller would ask for a higher price than they expected to receive, and Through bargaining they would arrive at an acceptable price. Setting the price. Pricing is a problem when a firm has to set price for the first time. This happens when the firm develops or acquires a new product, when it introduces its regular product into a new distribution channels or geographical area, and when it enters bids on new contract work.

The most decide where to position its product, quality and price. One firm offers a high quality product at a higher price; another firm offers an average

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quality product at average price and still another firm offers allow quality product at a low price. Price Decisions: Pricing the product is more one of the important element in marketing mix. Until recently it has been one of the most neglected areas. Even today, pricing in some firms is simply based on the concepts of cost, market position, completion and necessary profits. Advantages of pricing decisions: 1. 2. 3. 4. 5. To maximize the profits To stabilize the price To take advantage of competitors situation To achieve a target return To capture the market.

Factor affecting the pricing decisions: The following factors may be considered important while taking a decision for pricing the product. 1. 2. 3. 4. 5. 6. 7. Objective of the business Cost of the product Market position Competitors prices. Distribution channels policy of organization Product differentiation of the organization Economic environment

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8. 9. 10.

Social and ethical considerations Government polices Buying patterns of the consumers

PLACE A channel of distribution or marketing is the structure of intercompany organization units and extra-company agents, dealers, wholesalers, and retailers through which a commodity or products or services are marketed. The distribution channel is the movement of goods and services between the point of production and channel are: Producers, intermediaries and consumers, the participants in the industrial marketing system are linked by both direct and indirect channels. The direct channels is traditionally defined as one in which the producers control the distribution of their products from to user or OEM customer At the risk of over simplification it may be useful to identify some of the more common channels arrangements through which industrial goods reach user and OEM customers. the point of consumption through institutions that perform a verity of marketing activities. The major participants in the destitution

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Distribution channels i. ii. iii. iv. Manufacturer to branch house or branch office to customers. Manufacturer to distribution to customer. Manufacturer to agent to customer. Manufacturer to agent to distributor to customer.

PROMATION the coordination of all seller initiated to set up channels of information and persuasion to facilitate the sale of goods or services or the acceptance of an idea. The word promotion originates from the Latino word promo ere. The meaning is to move forward or to push forward or advance an idea. Promotion is the final element in the marketing mix, after nature of the product is decided Its price is fixed and methods of distribution are adopted, the producer has to take effective steps to meet the consumer in the market. In consumers oriented markets the producer must know what are required by the consumers and to make the consumers know from where, when, how and at price the products would be available. They have to apply the promotional Methods like advertising and personal selling. .

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Sales promotion: sales promotion is an organized effort applied to selling job to secure the greatest effectiveness for advertising and dealers help George. W. Hopkins. Purpose of sale promotion: Customers are selective in their buying choices and a good promotional program me is needed to reach them. The basic purpose of promotion is to disseminate information to the potential customers. Sellers use incentive type promotion to attract new customers. To reward l royal customers and to increase the repurchase rates of occasional users sales promotion yield faster responses in sales than advertising. Sales promotion is considered as a special selling effort to accelerate sales. Brand switchers are primarily looking for low price, goods valve and premium. Sales promotion is likely to turn them into loyal brand users. MARKETING CHANNELS To reach the target market, the marketer uses three kinds of marketing channels communication channels deliver and receive message from target buyers and include newspapers, magazines, radio, television, mail, telephone, bill boards, posters, filers, CDs, audiotapes, and the internet. Beyond these communications are conveyed by facial expressions and clothing, the loll of retail stores, and many other media. Marketers are increasingly adding dialogue channels (e-mail & tool free numbers) to counter-balance the normal monologue channels (such as ads).

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The marketer uses distribution channels to display, sell, or deliver the physical product or services to the buyer or user. They include distributors, wholesalers, retailers, and agents.

The marketer also uses services channels to carry out transactions with potential buyers or services channels include warehouses, transportation companies, bank and insurance companies that facilitate transactions. Marketers clearly face a design problem in choosing the best mix of communication, distribution, and services channels for their offerings. CHANGING MARKETING PRACTCES IN CUSTOMER RELATIONSHIP MARKETING In addition to e-marketing, companies are becoming more skillful customer relationship. Marketing and database marketing .customer relationship marketing (CRM) enables companies to provide excellent real-time customer service by developing relation ship with each valued customer through the effective use of individual account information. Based on what they know about each customer, companies can customize market offering, services, programs messages and media. Customer relationship marketing holds that a major driver of company profitability is the aggregate value of the companys customer base. Winning companies are more productive in acquiring and growing customers. These companies improve the of their customer base by excelling the fallowing customer strategies. Reducing the rate of customer definition.

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Increasing the longevity of customer. Enhancing the growth potential of each customer through share

of wallet cross and up selling. Making low profit customers more profitable or terminating them. Focusing disproportionate effort or high value customers.

of the groundwork for customer relationship marketing was laid by the Dom peppers a Martha Rogers in their book, the one to-one future. Pepper and Rogers used a four structural framework for one-to-one marketing. Identify your prospects and customers. Do not go after everyone. Differentiate customers in firms of their needs and value to your

company. As for customer value, companies should proportionately more effect on their most valuable customers. Customer value is estimated as the net present value of all future profits coming from purchases, margin levels, and referrals, less customers specific serving costs. Interact with individual customers to improve your learning about

their individual needs and in build stronger relationships. Customize products, services and messages to each customer.

Tools for tracking and measuring customer satisfaction Complaint and suggestion system Customer satisfaction surveys Ghost shipping

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Lost customer analysis

CUSTOMER RELATENTION A company and would be wise to measure customer satisfaction regularly, because the key to customer retention is customer satisfaction. A highly satisfied customer stays loyal longer , buys more as the company introduction new products and upgrades products, talks favorably about the company and its products pays less attention to competing brands and is less sensitive to price, offers products or services identify to routine. The best thing a company can do is to make it easy for the customer to complaint suggestion forms and toll-free numbers and e-mail addresses serve this purpose. The 3MCompany claims take over two thirds of its products product improvement ideas come from listening to customer complaints. Listening is not enough, however. The company must respond the company, and costs less to serve than new customers because transactions are

quickly a constructively to the complaints.

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PROMOTUION MIX

Sales promotion

Advertising

Produ cts COMPANY Services Prices Sales force Distribution channels Target customers

Public relations

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Direct mail, Telemarketing And internet

THE NATURE OF HIGH PERFORMANCE BUSINESS The consulting firm of ArthurD little proposed a model of the characteristics of a high performance business. It pointed to four factors as fallows: Stake holders Processes Resources Organization

.Set strategies to satisfy key stakeholders .By improving critical business process .And aligning resources and organizations SHAKE HOLDERS PROCESSES

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RESOURCE ORGANIZATIONS

RELATIONSHIP MARKETING To understand customer relationship marketing, we must review the process involved in attracting and keeping customers. The following figure shows the main steps in the customer development process
Suspec ts Prospec ts First time custom ers Repeat custom ers Clients Inactive or

Disqualified prospects

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ex-customers

Member Partner Advoca ss tes

Suspects: The starting point is suspects, everyone who might conceivably buy the product or services. The company looks hard at the suspects to determine who most likely prospects.

Prospects: Those people who have a strong potential interest in the products and the ability to pay for it.

Disqualified prospects: They are those, the company reject s because they have poor credit or would be unprofitable.

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First-time customers: The company hopes to convert many of its qualified prospects into firsttime customers. Repeat customers: The company after converting into first-time customers then converts them into repeat customers. Both the first-time customers and repeat customers may continue to buy from competitors as well.

Clients: The company converts repeat customers into clients people whom the company treat very specially and knowledgeably. Members: The next challenge is to turn clients into members, by starting a

membership program that offers a whole set of benefits to customers who join. Advocates: Hopefully then, the members will turn into advocates. Customer who

enthusiastically recommend the company and is products and services to others. Partners: The ultimate challenges are to turn advocates into or drop out for reasons of bankruptcy, moves to other locations, dissatisfaction, and soon. Here the companys challenge is to reactive dissatisfied customers through customer win-

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back strategies. It is often easier to retract ex-customers, knows their names and histories, than to find new ones.

because the company

We need to distinguish five different levels of investment in customer-relationship management

1.

Basic marketing: The salesperson simply sells product.

2.

Reactive marketing:

The sales person sells the product and encourages the customer to call if he or she has questions, comments, or complaints 3. Accountable marketing; The sales person phones the customer a short a short time after the sale to check whether the product is meeting expectations and also asks the customer for suggestion to improve the service and performance.

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4.

Proactive marketing: The company salesperson contacts the customer from time to time with suggestions about improved product uses or hopeful new products.

5.

Partnership marketing ; The company works continuously with the customer to discover ways to perform better.

Many companies practice only basic marketing when their markets contain many customers and their unit profit margins are small. LEVELS OF RELTAIONSHIP MARKETING HIGH MARGIN Many customers/ distributors Accountable Reactive Basic or reactive MEDIUM MARGIN LOW MARGIN

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Medium no. of customers/ distributors Few customers/ distributors Partnership Accountable Accountable Proactive Accountable Reactive

What specific marketing tools can a company uses to develop stronger customer bonding and satisfaction? Berry and Parasura man have distinguished three valuebuilding approaches:

1. 2. 3.

Adding financial benefits Adding social benefits Adding structural ties

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1.

Adding financial benefits:

Two

financial

benefits

that

companies can offer are frequency to

marketing programs and club marketing programs. Frequency marketing programs (FMPs) are designed to provide rewards customers to who buy frequently and/or in substantial amounts. Frequency marketing is business. American airlines were one of the first companies to pioneer a an acknowledgement of the fact that 20

percent of a company`s customers might account for 80 percent of its

frequency marketing program.

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2.

Adding social benefits: Here company personal work on increasing their social bonds with customers by individualizing and personalizing customer relationship; in essence, Donnelly, be nameless. thoughtful companies turn their customers into clients. berry and Thompson draw this distinction:

Customers may be nameless to the institution; clients cannot Customers are served as part of the mass or as part of larger segment; clients are served on an individual basis customers are served by anyone who happens to be available; clients are served by the professional assigned to them.

3.

Adding structural ties: The company may supply customers with special equipment or A good example for this is McKesson

computer linkages that help customers manage their orders, payroll, inventory, and so on. millions of dollars. Corporation, a leading pharmaceutical wholesaler; which invested

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DATA ANALYSIS & INTERPRETATION

Customers dealing with praga tools

S.NO 1 2 3 4 5

PARTICULARS 0-5 Years 5-10 Years 10-15 Years 15-20 Years Above 20 Years

NO.OF RESPONDENTS 19 3 11 9 6

From te above table we can conclude that major number of respondents i.e, 19 are dealing with praga from 0-5 years. The next major number of resondents i.e., 11, are dealing with from 10-15 years. 6 respondents are dealing with praga from the 20 years and 9 respondents are dealing with praga since 15 years , only 3 respondents are dealing with from 5-10 years which is the least one.

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Influencing factors dealing with praga tools S.NO 1 PARTICULARS Good quality NO. OF RESPONDENTS 20

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2 3 4

Pricing After sales service goodwill

6 18 8

From the above table we can that major number of respondents felt that after sales service of Praga is then factor to deal with i.e., 18 which comprises 35% of the total. Some respondents deal because of its good quality and goodwill i.e., 20 to 8 which comprises 38% and 15% of the total respectively. total. Only few respondents deal because of its pricing factor i.e., which comprises 12% of the

Grading of pricing of praga tools S.NO 1 2 3 4 5 PARTICULARS Excellent Very good Good Average poor NO.RESPONDENTS 12 13 11 6 ~ 73 ~ 0

From the above table we can conclude that major number of respondents felt that the pricing of excellent and very good i.e., 12 and 13 which comprises 29% and 31% respectively. Some respondents felt that they were good and average i.e., 11 and 6 respectively had complained about their pricing.

Quality of machines & accessories

S.NO

PARTICULARS

NO.OF

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1 2 3 4 5

Excellent Very good Good Average poor

RESPONDENTS 15 12 9 5 2

From the above table we can conclude that the major number of respondents i.e., 15 felt that the machines are of excellent quality which comprises 34% of the total. The next major number of respondents felt that they are of very good quality which comprises 28% of the total. Some respondents felt that they are of good and average quality i.e., 9and 5 respectively. Only few respondents felt that they were poor i.e., 2 which comprises 5% of the total. On the whole that the machines & accessories are of excellent quality.

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Delivery schedule of praga tools

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S.NO 1 2 3

PARTICULARS Exceeds expectation Meets expectation Bellow expectation

NO.OF RESPONDENTS 9 27 5

From the above table we can conclude that major number of respondents felt that the delivery schedule is meeting expectation i.e., 27 which comprises 66% of the total. Some respondents i.e., 9 felt it that was exceeding expectation which comprises 22% of the total. Only few respondents felt that it was below expectation i.e., 5 which comprises 12% of the total. On the whole the delivery schedule is meeting expectation.

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Graph representing service S.NO PARTICULARS NO.OF RESPONDENTS

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1 Very fast 2 Fast 3 Slow 4 Very slow From the above table we can say that the major of

20 18 17 9 respondents felt that the 27%

service is very fast which comprises 31% of the total. Some respondents felt that the services are fast and slow i.e., 18 and 17 which comprises 28% and 14% of the total. Of the total. On the whole the service is very good respectively. Only few respondents felt that the service is poor which comprises

RELATIONSHIP WITH CUSTOMERS S.NO 1 2 3 4 5 PARTICULARS Excellent Very good Good Average poor CONTACT PARSONS 6 9 8 14 13
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From the above table we can conclude that we can conclude that major number of respondents feel that the relationship of Praga with the customers is average and poor. This comes to 14 and 13 respectively. And the relationship is excellent to 6 very good to 9 and good to 8.

SERVICE PROVIDED BYSERVISEMEN S.NO 1 2 3 4 5 PARTICULARS Excellent Very good Good Average poor NO.OF RESPONDENTS 15 14 10 8 4

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From the above table we can conclude that the major number of respondents feel that the service provided by the service men at Praga is excellent and very good which comes to 15 and 14 of the total respectively. And some respondents feel that it is good and average which are 10 and 8 respectively.

CUSTOMERS PRESPONSE S.NO 1 2 3 4 PARTICULARS Fast Friendly Slow poor NO.OF RESPONDENTS 14 18 12 5

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From the above table we can conclude that the majority of the respondents felt that the Praga is friendly in customer response i.e., 18 which comprises 37% of the total. Some of the respondents felt that the Praga is fast and slow in customer responses i.e. 14 and 12 which come to 29% and of 24% of the total respectively. Least number of respondents feels that it is poor in customer response which is to 10% of the total.

USEFULNESS OFMACHINES&ACCESSORIES S.NO 1 2 3 4 PARTICULARS Really useful Quit good Average No use NO.OF RESPONDENTS 23 16 13 0

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From the above table we can conclude that most of the respondents felt that the machines are really useful which are 23. Some respondents feel that are quite good which are 16 and some feel it as average which are 13.

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FINDINGS ~
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The following are the finding from the project done in Praga tools limited. 1. The sales have been gradually decreasing. The reasons may be Excessive dependences on the traditional customer segments Unfavorable sales mix and a the absence of strategy Lack of customer focus- delayed deliveries of machines tools and services poor marketing skills contributed to the decline in performance of the company. Economic imbalances. 2. It is doing well in CNC machines. 3. There is a need of highly technician personal. 4. Pricing of the products is quite satisfactory. 5. There is need of more distribution channel so as to capture of market. 6. Customer care services are also recognizable.

SUGGESTIONS
Highly qualified engineers are required to be appointed. To complete the present market more promotional strategies are required.

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To concentrate more on CNC machines. Distribution channel is required to be widened. Upgrade the business development strategies as per the present market. Pricing of the machines is to be reduced keeping the competitors in view. Staff should be made aware of the present marketing strategies. Financial benefits to the customers are too provided in order to retain it. Social benefits are required to implement to improve its product awareness.

CONCULUSIONS:
Business development deportment is also doing well but there is no up gradation of strategies.

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The strategy adopted present products for the present markets is quite good.

The service provided by the servicemen is satisfying the customers. Same is the case with the social benefits. Financial benefits to the customers to maintain the good relationship is not implemented by the company.

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EFFECTIVENESS OF MARKETING MIX OF PRAGA TOOLS

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QUASTIONNAIORES FOR CUSTOMERS NAME: ADDRESS: DESIGNATION: 1. How long are you dealing with Praga tools? a)0-5 yrs b)5-10 c)10-15 d)15-20 e)above 20 2. What are the factors are influenced to deal with Praga tools? a)good quality b)prices c)timely delivery 3. How fast the quotations offers are provided by Praga tools? a)very fast b)fast c)slow d)very slow 4. How do you rate the quality of Praga machines and accessories? a)excellent b)very good c)good d)bad e)satisfactory 5. What is your opinion on distribution system? a)excellent b)very good c)good d)bad e)satisfactory 6. What is your opinion on Praga tools doing? a)excellent b)very good c)good d)bad e)satisfactory 7. Are the Praga tools providing any financial benefits? a) yes b)no

8. 9) Are the Praga people are providing any social benefits? (Yes/no) (If yes, specify)

9. 11) What would you think of the usefulness of the machines/accessories supplied by us? a) Really useful b) quite good c) average d) no use

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10. 12) How would you place us for customer & business response? a) Fast b) friendly c) slow d) poor

11. 13) Any suggestions to improve our customer care and relationship . Thank you

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BIBILOGRAPHY

List of books 1. Philp kotler, marketing management, prentice hall of India, New Delhi. 2. W. j Stanton, fundamentals of marketing mc graw-hill, New

yark.1994 3. Rajan saxena, marketing management .Himalaya publishers, New Delhi. List of journals: 1. Indian journal of marketing. 2. Journals of marketing research. Magazines: 1. Facts for you 2. Advertising &marketing. 3. Business India. 4. Business world.

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News papers: 1. Business line. 2. The Hindu. 3. Economic times of India. WEBSITES www.praga tools.org. marketing@praga tools.org. www.learn marketing.com

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