Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
SUBMITTED TO
For the partial fulfillment of the degree
Of
Masters of Business Administration
By
NAMRATA DEEWAN
(Y142820142)
MBA-2stsemester
DECLARATION BY CANDIDATE
I hereby declare that the project report titled Survey on small scale
bussiness of Gold Market in sagar city is my own work under
the supervision of Mr. Ashish Gupta (Assistant Professor), Department of
Business Management, Dr. Hari Singh Gour central university, Sagar. To
the best of my knowledge the report does not contain any work which has
been submitted for the award of any degree anywhere.
Namrata Deewan
MBA 2st sem. 34Batch
Roll No:-Y1428203
Department of Business Management
Dr H.S Gour central university, Sagar
(M.P.)
CERTIFICATE
Signature of Supervisor
Signature of H.O.D
Signature of Examiner
ACKNOWLEDGEMENT
It is indeed of a great moment and pleasure to express my sense of profound
gratitude & in difference to all the people who have been instrumental in
making my project work a rich experience.
In the making of this project report, I have relied upon the valuable assistance
and help of several people without whom this report has not been possible.
I would like to pay my sincere thanks to Prof. Y.S.Thakur, Head of the
Department of Business management, Dr. Hari singh Gour Central
University Sagar for providing me the opportunity to work on project.
I also pay my heartiest thanks to my project guide Mr. Ashish Gupta
(Assistant Professor) for her valuable guidance & support. Without her help
I would not have completed my project report successfully.
I pay my heartiest thanks to my parents and friends for their kind support and
suggestion.
PREFACE
The Project work is field which uses tools and techniques to transfer
subjectivity in the environment into objectives, also the findings of the research,
when applied show results, which can be measured and evaluated so there is
feedback this is what makes it a dynamic activity.
This survey is an analytical study of different facts of the product versus price.
The focus is given on the Brand profile. This project is Survey on small
scale business of Gold Market in sagar city for the partial fulfilment
of the degree of Masters of Business Administration.
The idea behind this project is to give practical knowledge and to make them to
face real life situation. The project survey is commonly used for the collection
from the respondents through questionnaire. In this method statistical
techniques have been used systematically. This project survey is not only with
my own efforts but also that of others.
Namrata Deewan
MBA 2stsem
TABLE OF CONTENTS
COVER PAGE
NO.
PAGE
DELCELARATION
CERTIFICATE
II
ACKNOWLEDGEMENT
III
PREFACE
IV
TABLE OF CONTENTS
CHAPTER 1 INTRODUCTION
1-6
2.2
MARKETING MIX
7-12
13
(A)
14
(B)
SAMPLING PLAN
15
(C)
(D)
17
(E)
18
16
19-28
29
CHAPTER VI CONCLUSION
30
BIBILIOGRAPHY
31
ANEXURE
32-52
CHAPTER -1
1. INTRODUCTION
Trading on derivatives first started to protect farmers from the risk of their
values against fluctuations in the price of their crop. From the time it was sown to the time it
was ready for harvest, farmers would face price uncertainty. Through the use of simple
derivative products the farmers can transfer their risk (i.e. fully or partially) by locking the
price of their products. This was developed to reduce the risk of the farmers. Lets take an
example when a farmer who sowed his crop in June which he would receive his harvest in
September may face uncertainty in prices over the period because of the oversupply they are
selling at a very low cost.
In 1848, the Chicago Board of Trade (CBOT) was established to bring farmers
and merchants together. A group of traders got together and created the `to-arrive' contract
that permitted farmers to lock in to price upfront and deliver the grain later. Today, derivative
contracts exist on a variety of commodities such as corn, pepper, cotton, wheat, silver, etc.
Besides commodities, derivatives contracts also exist on a lot of financial underlying like
stocks, interest rate, exchange rate, etc.
Due to the high volatility in Financial Market with high risk & low rate of
return had made investors to choose alternate investments such as Bullion market in
Commodity market. In India Gold Market has traditionally played a multi-faceted role. Apart
from being used for armament purpose, it has also served as an asset of the last resort and a
hedge against inflation and currency depreciation. But most importantly, it has most often
been treated as an investment.
Many people have become very rich in commodity markets. It is one of the
areas where people can make extraordinary profits within a short span of time. For example,
Richard Dennis borrowed $1600 and turned it into a $200 million fortune in about ten years.
Definition of Derivatives: A derivative is a product whose value is derived from value of
one or more underlying assets or variables in a contractual manner. The underlying asset can
be equity, forex, commodity or any other assets.
For example: A wheat farmers may wish to sell their harvest at a future date to
eliminate the risk of a change in prices by that date.
The Forwards Contracts (Regulation) Act, 1952, regulates the forward/ futures
contracts in commodities all over India. However when derivatives trading in securities was
introduced in 2001, the term security in the Securities Contracts Regulation Act, 1956
(SCRA), was amended to include derivative contracts in securities.
when the contract is signed. The exchange of money and the underlying goods only happens
at the future date as specified in the contract. In a forward contract the process of trading,
clearing and settlement does not happen immediately. The trading happens today, but the
clearing and settlement happens at the end of the specified period.
A forward is the most basic derivative contract. We call it a derivative because it
derives value from the price of the asset underlying the contract, in this case Gold Market . If
on the
1st of April, Gold Market trades for Rs.15100 in the spot market, the contract becomes more
valuable to Suman because it now enables him to buy Gold Market at Rs.15050. If however,
the price of Gold Market drops down to Rs.15000, he is worse off because as per the terms
of the contract, he is bound to pay Rs.15050 for the same Gold Market . The contract has now
lost value from Sumans point of view. Note that the value of the forward contract to the
Gold Market smith varies exactly in an opposite manner to its value for Suman.
Commodity trading in India:
The history of organized commodity derivatives in India goes back to the
nineteenth century when the Cotton Trade Association started futures trading in 1875, barely
about a decade after the commodity derivatives started in Chicago. Over time the derivatives
market developed in several other commodities in India. Following cotton, derivatives
trading started in oilseeds in Bombay (1900), raw jute and jute goods in Calcutta (1912),
wheat in Hapur (1913) and in Bullion in Bombay (1920). However, many feared that
derivatives lead to unnecessary speculation in essential commodities, and were harmful to the
healthy functioning of the markets for the underlying commodities, and also to the farmers.
With a view to restricting speculative activity in cotton market, the Government of Bombay
prohibited options business in cotton in 1939. Later in 1943, forward trading was prohibited
in oilseeds and some other commodities including food-grains, spices, vegetable oils, sugar
And cloth. After Independence, the Parliament passed Forward Contracts (Regulation) Act,
1952 which Regulated forward contracts in commodities all over India. The Act applies to
goods, which are defined as any movable property other than security, currency and
actionable claims. The Act prohibited Options trading in goods.
The Act envisages (imagine) three-tier regulation:
1) The Exchange which organizes forward trading in commodities can regulate
trading on a day-to-day basis,
from Government of India for facilitating online trading, clearing and settlement operations
for commodity futures markets across the country. Key shareholders of MCX are Financial
Technologies (India) Ltd., State Bank of India, NABARD, NSE, HDFC Bank, State Bank of
Indore, State Bank of Hyderabad, State Bank of Saurashtra, SBI Life Insurance Co. Ltd.,
Union Bank of India, Bank Of India, Bank Of Baroda, Canara Bank, Corporation Bank.
Headquartered in Mumbai, MCX is led by an expert management team with deep domain
knowledge of the commodity futures markets. Through the integration of dedicated resources,
robust technology and scalable infrastructure, since inception MCX has recorded many first
to its credit.
Inaugurated in November 2003 by Shri Mukesh Ambani, Chairman &
Managing Director, Reliance Industries Ltd, MCX offers futures trading in the following
commodity categories: Agri Commodities, Bullion, Metals- Ferrous & Non-ferrous, Pulses,
Oils & Oilseeds, Energy, Plantations, Spices and other soft commodities. MCX has built
strategic alliances with some of the largest players in commodities eco-system, namely,
Bombay Bullion Association, Bombay Metal Exchange, Solvent Extractors' Association of
India, Pulses Importers Association, Shetkari Sanghatana, United Planters Association of
India and India Pepper and Spice Trade Association.
Today MCX is offering spectacular growth opportunities and advantages to a
large cross section of the participants including Producers / Processors, Traders, Corporate,
Regional Trading Centers, Importers, Exporters, Cooperatives, Industry Associations,
amongst others MCX being nation-wide commodity exchange, offering multiple
commodities for trading with wide reach and penetration and robust infrastructure, is well
placed to tap this vast potential.
COMMODITIY
Price/Unit
NAME
Trading
Delivery Center
Multiplier
Lot
Initial
Margin
%
GOLD MARKET
Rs /
1 KG
MUMBAI
100
100Gms
MUMBAI
10
8Gms
MUMBAI
14.5
10Gms
2
GOLD MARKET
Rs /
10Gms
GOLD MARKET
Rs/ 8Gms
GUINEA
/AHMEDABAD
SILVER
RS/ KG
30 KG
AHMEDABAD
30
SIVERM
Rs / 1 KG
5 KGS
AHMEDABAD
MENTHA OIL
Rs/KG
360 KG
CHANDAUSI
360
11
KAPASIA
Rs/50 KG
10 MT
AKOLA
200
6.5
KHALLI
8
ALUMINIUM
Rs/KG
5 MT
MUMBAI
5000
COPPER
Rs/KG
1 MT
MUMBAI
1000
12
10
NICKEL
RS/KG
250 KG
MUMBAI
250
15.5
11
ZINC
RS/KG
5000 KG
MUMBAI
5000
11
12
LIGHT SWEET
Rs/Barrel
100/Barrel JNPT-MUMBAI
100
12
CRUDE OIL
Definition:
The official definitions of a small scale unit are as follows:
(i) Small-Scale Industries:
These are the industrial undertakings having fixed investment in plant and
machinery, whether held on ownership basis or lease basis or hire purchase
basis not exceeding Rs. 1 crore.
Characteristics of Small-Scale Industries:
(i) Ownership:
Ownership of small scale unit is with one individual in soleproprietorship or it can be with a few individuals in partnership.
(ii) Management and control:
A small-scale unit is normally a one man show and even in case
of partnership the activities are mainly carried out by the active
partner and the rest are generally sleeping partners. These
units are managed in a personalized fashion. The owner is
activity involved in all the decisions concerning business.
(iii) Area of operation:
The area of operation of small units is generally localized
catering to the local or regional demand. The overall resources
at the disposal of small scale units are limited and as a result of
this, it is forced to confine its activities to the local level.
(iv) Technology:
Small industries are fairly labour intensive with comparatively
smaller capital investment than the larger units. Therefore,
businesses are
normally
privately
to
qualify
Administration programs.
for
Small
many
U.S. Small
businesses
can
Business
also
be
stores,
other
small
shops
(such
as
and
analysts
of
small
or
owner-managed
partnership,
consequent
legal
sole-trader
and
or
accounting
corporation)
boundaries
and
of
the
owner-
managed firms are consistently meaningful. However, ownermanagers often do not delineate their behavior to accord with
the implied separation between their personal and business
interests. Lenders also often contract around organizational
(corporate) boundaries by seeking personal guarantees or
accepting privately held assets as collateral. [1] Because of this
behavior, researchers and analysts should reject the relevance
of the organizational types and implied boundaries in many
contexts relating to owner-managed firms. These include
analyses that use traditional accounting disclosures, and
studies that view the firm as defined by some formal
organizational structure.
Price/Unit Trading
Lot
Delivery
Center
Multiplier Initial
Margin
%
1
PURE KILO
Rs /
1 KG
MUMBAI
100
GOLD MARKET
10Gms
PURE SILVER
Rs / 1 KG
30 KGS
DELHI
30
18
SILVER 5 (mini
Rs / 1 KG
5 KG
DELHI
GOLD MARKET
Rs / 10
10
Gms
JEERA
Rs /
3 MT
UNJHA
30
1 MT
KOCHI
10
15
10 MT
NIZAMABAD
100
12
5 MT
GUNTUR
50
33
50 MT
NIZAMABAD
500
21
10 MT
JODHPUR
100
15
5 MT
JODHPUR
50
15
Lot)
4
Quintal
6
PEPPER
Rs /
Quintal
TURMERIC
Rs /
FINGERS
Quintal
Rs /
Quintal
MAIZE
Rs /
Quintal
10
GUAR SEED
Rs /
Quintal
11
GUARGUM
Rs /
Quintal
CHAPTER 2
2 BUSINESS LOCATION AND PROFIT MARGIN
The process of arriving a figure at which a person buys and another sells a
futures contract for a specific expiration date is called price discovery. The process of price
discovery continues from the market's opening until its close and also free flow of
information is also very important in an active future market. Futures exchanges act as a focal
point for the collection and distribution of statistics on supplies, transportation, storage,
purchases, exports, imports, currency values, interest rates and other relevant formation. As a
result of this free flow of information, the market determines the best estimate of today and
tomorrow's prices and it is considered to be the accurate reflection of the supply and demand
for the underlying commodity. Price discovery facilitates this free flow of information, which
is essential to the effective functioning of futures market.
We try to understand the pricing of commodity futures contracts and look at
how the futures price is related to the spot price of the underlying asset. We study the cost - of
- carry model to understand the dynamics of pricing that constitute the estimation of fair
value of futures.
Investment assets versus consumption assets
When we are studying futures contracts, it is essential to distinguish between investment
assets and consumption assets. An investment asset is an asset that is held for investment
investment assets. However investment assets do not always have to be held entirely for
investment. As we saw earlier silver for example, have a number of industrial uses. However
to classify as investment assets, these assets have to satisfy the requirement that they are held
by a large number of investors solely for investment. A consumption asset is an asset that is
held primarily for consumption. It is not usually held for investment. Examples of
consumption assets are commodities such as copper, oil, and pork bellies.
We can use arbitrage arguments to determine the futures prices of an
investment asset from its spot price and other observable market variables. For pricing
consumption assets, we need to review the arbitrage arguments a little differently. We look at
the cost of carry model and try to understand the pricing of futures contracts on
investment assets.
The above table gives the indicative warehouse charges for qualified warehouses that
will function as delivery centers for contracts that trade on the NCDEX. Warehouse charges
include a fixed charge per deposit of commodity into the warehouse, and as per unit per week
charge. Per unit charges include storage costs and insurance charges. We saw that in the
absence of storage costs, the futures price of a commodity that is an investment asset is given
by F = S erT Storage
Costs add to the cost of carry. If U is the present value of all the storage costs that will be
incurred during the life of a futures contract, it follows that the futures price will be equal to
Where:
r = Cost of financing (annualized)
T = Time till expiration
U = Present value of all storage costs
For understanding the above formula let us consider a one year future
contract of Gold Market . Suppose the fixed charge is Rs.310 per deposit up to 500kgs and
the variable storage costs are Rs.55 per week, it costs Rs.3170 to store one kg of Gold Market
for a year (52 weeks). Assume that the payment is made at the beginning of the year. Assume
further that the spot Gold Market price is Rs.13763 per 10 grams and the risk free rate is
7% per annum. What would the price of one year Gold Market futures be if the delivery unit
is one kg?
We see that the one year futures price of a kg of Gold Market would be Rs.1479493. The one
year futures price for 10 grams of Gold Market would be about Rs.14794.93.
Now let us consider a three month futures contract on Gold Market . We
make the same assumptions that the fixed charge is Rs.310 per deposit up to 500kgs, and the
variable storage costs are Rs.55 per week. It costs Rs.1025 to store one kg of Gold Market
for three months (13 weeks). Assume that the storage costs are paid at the time of deposit.
Assume further that the spot Gold Market price is Rs 13763per 10 grams and the risk free
rate is 7% per annum. What would the price of three month Gold Market futures if the
delivery unit is one kg?
We see that the three month futures price of a kg of Gold Market
would be Rs.
1401640.30. The three month futures price for 10 grams of Gold Market would be about
Rs. 14016.40
II.
If we regard the futures contract as a forward contract, this strategy leads to a profit of
F - (S+U) erT at the expiration of the futures contract. As arbitragers exploit this opportunity,
the spot price will increase and the futures price will decrease until Equation (5) does not
hold good.
Suppose next that
In case of investment assets such as Gold Market and silver, many investors hold the
commodity purely for investment. When they observe the inequality in equation 6, they will
find it profitable to trade in the following manner:
I.
Sell the commodity, save the storage costs, and invest the proceeds at the risk
free interest rate.
II.
This would result in a profit at maturity of (S+U) e rT F relative to the position that the
investors would have been in had they held the underlying commodity. As arbitragers exploit
this opportunity, the spot price will decrease and the futures price will increase until equation
6 does not hold well. This means that for investment assets, equation 4 holds good. However,
for commodities like cotton or wheat that are held for consumption purpose, this argument
cannot be used. Individuals and companies who keep such a commodity in inventory, do so,
because of its consumption value not because of its value as an investment. They are
reluctant to sell these commodities and buy forward or futures contracts because these
contracts cannot be consumed. Therefore there is unlikely to be arbitrage when equation 6
holds good. In short, for a consumption commodity therefore
That is the futures price is less than or equal to the spot price plus the cost of carry.
is used as
investment purpose 8.5%. Considering the situation in India, the demand for Gold Market
consumption is far more ahead than its availability through production, scrap or recycled
Gold Market . Where Gold Market production in India is only 2tonnes, where demand is
18.7% of world Gold Market consumption, which make India a leading consumer of Gold
Market followed by Italy, Turkey, USA, China, Japan. According to Countries wise demand,
the following graph shows the demand in each country. Large part constitute by Jewelry
consumption with 85.56% during 2004 by Indian consumers, who seem to spend a
disproportionate percentage of their disposable income on Gold Market and Gold Market
jewelry.
Gold Market fabrication for domestic and international market, also formed
large part of business in India with 527 tonnes of Gold Market fabricated in India in 2004,
making world largest fabricator which is 60% more than its closest competitor Italy, Turkey,
USA. But this Jeweler Fabrication is unable to generate much revenue, as most of its
consumed in India (479 tonnes).
dramatically since 1996, and in 2001 stood at over 60 tons. The US accounted for about one
third of total official exports. Manufacturers located in Special Export Zones can import Gold
Market tax-free through various registered banks under an Export Replenishment scheme.
televisions, and other equipment. Gold Market 's unique properties provide superior
electrical conducting qualities and corrosion resistance, which are required in the
manufacture of sophisticated electronic circuitry. In dentistry, Gold Market alloys are
popular because they are highly resistant to corrosion and tarnish. For this reason Gold
Market alloys are used for crowns, bridges, Gold Market inlays, and partial debenture.
3. Governments and central banks: The third source of Gold Market demand is
governments and central banks that buy Gold Market to increase their official reserves.
Central banks holds 28,225.4 tons, the holdings of Reserve Bank of India are only a modest
397.5 tons.
4. Private investors: Finally, there are private investors. Depending upon market
circumstances, the investment component of demand can vary substantially from year to year.
11 Days Highest, Lowest and Closing prices of Silver
Highest Price
18358
18432
18208
18193
17990
17345
17203
17200
17116
17778
17380
Lowest Price
17204
18000
17953
17975
16941
16837
16884
16900
16500
16556
17001
Closing Price
18200
18129
18062
18014
17060
17124
17062
17061
16770
17422
17203
Bar Chart
Lowest Price
Closing Price
12030
11779
11903
11990
11780
11885
12100
11924
11997
12200
12080
12141
12820
12225
12797
13155
12830
12941
13226
12785
13105
13288
13004
13145
13192
13000
13051
13179
12985
13125
Bar Chart
India is the worlds largest Gold Market consumer market and in 2010, Indian Gold Market
demand is likely to recover near to its pre-credit crunch level following the fall in demand in
2009. This should drive Gold Market imports up from the relatively low levels experienced
last year. In 2009, total Indian Gold Market
accounting for 15% of the global Gold Market market. Over the past ten years, the value of
Gold Market demand in India has increased at an average rate of 13% per year,
invested in Gold Market . Continued rapid economic growth and urbanization will create
greater wealth but also inflationary pressures stimulating Gold Market demand.
Asian demand for Gold Market will be a key driver of the Gold Market market for decades
to come. Currently, India and China together account for approximately 25% of annual Gold
Market outpacing the countrys real GDP growth by almost 6%.
In India, Gold Market is seen as a symbol of security and as a sign of prosperity. Unlike
other Gold Market markets, the love for Gold Market has not only spread across many
generations but also across all social strata within the country. Indian consumers regard Gold
Market jewellery as an investment and are well aware of Gold Market s benefits as a store
of value. Gold Market is also recognized as a form of money in India, a tradable liquid asset.
It is one of the foundation assets for Indian households and a means to accumulate wealth. At
the end of 2009, Indian consumers price expectations were strengthened by the Reserve
Bank of Indias purchase of 200 tonnes of Gold Market from the IMF and the transaction
reinforced the perception among local consumers that Gold Market is reliable and safe as a
monetary asset.
India will remain pivotal to the global Gold Market market. In the Indian culture, Gold
Market is an integral part of daily life where purchases of Gold Market jewellery are
considered as a form of a liquid and tradable investment for the accumulation of wealth. It is
important to highlight that in analyzing the Gold Market
perceptions of the division between jewellery and investment demand and demand drivers do
not apply.
As consumers have adjusted their price expectations upwards, a further rise in Gold Market
jewellery and investment demand could be anticipated and this trend is projected to continue
over the
long-run as local investors are buying Gold Market driven by wealth accumulation motives.
The fact that Indian Gold Market jewellery and investment demand remains robust, despite
the rising price emphasizes the enduring desire among local consumers to purchase Gold
Market driven mainly by its allure as a jewellery and its properties as a hedge to offset the
effects of depreciation and erosion of both savings and income. The country currently has one
of the highest saving rates in the world; estimated at around 30% of total income, of which
10% is demand. They are likely to grow further as a proportion of demand in years to come
In the longer term, we are confident that Indias favourable demographic trends, the growing
affluent middle classes and declining age profile, should ensure buoyant consumption
growth. The investment sector exhibits great potential for further growth and will play an
increasingly important role in the domestic Gold Market market as it overlaps with Gold
Market jewellery consumption, boosted by increasing accessibility and opportunities in new
Gold Market investment products. Despite being the largest global Gold Market consumer,
Indian jewellery consumption intensity is still relatively low. Its consumption of jewellery on
a per capita basis of 0.4 grams in 2009 remains below countries such as Italy and the US.
This is a reflection of both the countrys large population and low incomes. The strategic
outlook for India will be the subject of a subsequent report in Q1 2011.
JEWELLERY CONSUMPTION
Gold Market jewellery accounted for around 75% of total Indian Gold Market demand in
2009, the remainder being investment (23%) and decorative and industrial (2%). Indian
consumers also regard Gold Market jewellery as an investment and are well aware of Gold
Gold Market plays a fundamental role in the marriage ceremony, and when it comes to
Indian weddings, Gold Market is said to be considered a necessity rather than a luxury. The
Gold Market (and other gifts) the bride receives are called her Streedhan (Stree meaning
woman and dhan meaning wealth) and are a means of passing on some inheritance to
daughters, as Hindu tradition dictates that the familys assets are only passed down.
Gold Market is especially important in this respect as it remains directly under a wifes
control, whereas she may not be privy to the familys other financial affairs.
Wedding-related demand accounts for a substantial proportion of overall jewellery demand.
This is particularly true in the south of India, where the most popular wedding jewellery sets
tend to be the more traditional, intricate but bulky styles in heavier weights. In the northern
cities there has been a trend towards more western styles, and lighter wedding sets, as well
as diamond-set pieces, are becoming increasingly popular.
CHAPTER - 3
RESEARCH METHODOLOGY
SAMPLING PLAN
10 respondents were considered for data collection i.e. Gold Market owners.
Sampling Techniqe
Deliberate sampling technique is used in the report. Deliberate sampling
method involves purposive or deliberate selection of particular units of the
universe for constituting a sample which represents the universe.
Different Types Of Sample Design
There are different types of sample designs based on two factors, i.e., the
representation basis and the element selection technique. On representation
basis, the sample may be probability sampling or it may be non-probability
sampling. On element selection basis, the sample may be either unrestricted
selection technique or restricted selection technique.
Thus, the sample designs are basically of two types, i.e., non-probability
sampling and probability sampling.
Sample size: I have taken sample size of 10 respondents. Because the population is too large
so it is difficult to survey.
The Marketing Research Process:
As marketing research is a systemic and formalized process, it follows a
certain sequence of research action. The marketing process has the following
steps:
Formulating the problems
Developing objectives of the research
Designing an effective research plan
CHAPTER - 4
Rate of interest
Table 5.2
Manappuram
Opinion
Muthoot Response
% of
Response
% of Muthoot
Manappuram
Excellent
20
Very good
10
33.33
Good
11
30
36.6
Fair
16.67
23.3
Bad
fig. 5.2
INTERPRETATION
The above chart was designed to understand the satisfaction of the customers with the interest
rate on Gold Market loan offered by Muthoot and Manappuram.
II.
Table 5.3
Opinion
Muthoot Response
Manappuram
Response
% of Muthoot
% of
Manappuram
Excellent
26.67
16.6
Very good
17
11
56.67
36.6
Good
16.66
26.6
Fair
16.6
Bad
3.3
fig. 5.3
INTERPRETATION
The above chart shows the customer response on the location of both the institutes.
Here, Muthoot has a superior lead over Manappuram. This is easily recognisable as 26.67%
of Muthoots respondents believe that location of the institutes is excellent while 56.67% of
them believe it is very good.
III.
Staff behavior
Table 5.4
Manappuram
Opinion
Muthoot Response
% of
Response
% of Muthoot
Manappuram
Excellent
23.33
23.3
Very good
12
30
10
33.33
23.3
Fair
13.34
13.3
Bad
Good
fig. 5.4
INTERPRETATION
Staff behavior is interpreted in the above chart. About 23.33% of both the organizations
thought that the behavior of staff is excellent.
IV.
Table 5.5
Manappuram
Opinion
Muthoot Response
% of
Response
% of Muthoot
Excellent
12
30
Very good
10
11
14
36.67
Fair
13.33
Bad
Good
Manappuram
fig. 5.5
INTERPRETATION
The above chart was designed to interpret the response of customers to Muthoots and
Manappurams Gold Market loan procedure.
V.
Infrastructure facilities
Table 5.6
Opinion
Muthoot Response
Manappuram
% of Muthoot
% of
Response
Manappuram
Excellent
26.67
Very good
14
46.67
Good
12
16.66
Fair
10
Bad
fig. 5.6
INTERPRETATION
The above chart represents the rating given by the customers on the infrastructure facilities of
both institutes.
26.67% was the share of Muthoot customers who thought that these facilities were excellent
and almost half of the total respondents (47.67%) believed it is very good.
Muthoot Response
Response
% of
% of Muthoot
Manappuram
13.33
5- 10 minutes
30
11- 30 minutes
15
19
50
31- 60 minutes
6.67
Others (Please
mention)
fig. 5.7
fig. 5.8
INTERPRETATION
The above pie diagrams represents one of the main factors which decides the fate of any Gold
Market loan financing company i.e. time taken for clearing a Gold Market loan.
13.33% of Muthoots respondents believed that it takes less than 5 minutes for the whole
Gold Market loan procedure. But this option was not at all selected by any of the
Manappurams respondents.
Those respondents who thinks the whole Gold Market loan procedure takes 5- 10 minutes
stands at 30% (Muthoot) and 20% (Manappuram).
The option 11-30 minutes was selected by 50% (Muthoot) and 63.33% (Manappuram)
respectively.
CHAPTER -5
FINDINGS AND SUGGESTIONS
1)
50% of the Gold Market owners operate for 9months of year. So as to maximise
their profit the owners must try to increase their working months.
2)
70% of the Gold Market owners produce Gold Market and from times point of
view they must try to produce cement bricks as now they are being preferred by
the customers.
3)
30% of owners produce 1,50,000 of units per month and they must try to
Increase the production units to maximise their profit.
4)
30% of owners sales a batch of 1000 bricks for Rs.5000 (cement bricks)
30% of the owners sales a batch of 1000 bricks for Rs.3000 (Gold Market ) .the
owners must make strategies for reducing the price of bricks.
5)
40% of the owners have individuals with small construction projects as their main
customers. the owners must try to increase their customer by adopting new
promotional techniques.
6)
48% from the total workers of all the Gold Market are permanent workers and
52% are daily wages workers.
7)
40% of the owners recruit labour by their own self so therefore majority of owners
must try to recruit efficient workers in order to improve quality of production.
8)
40% of the owners have invested Rs. 20 lacks so the owners must try to increase
their rate of investment.
9)
40% of the owners promotional tool are brokers so the owners must try to increase
their contact with other customer.
10)
40% of the owners face problem due to rainfall loss. So the owners must try to
improve their sight of production.
CHAPTER-VI
CONCLUSION
The objective of the project of studying the scope and marketing strategies used by
different business units has been achieved during the course of time. Gold Market industry is
a rapidly growing sector.
After analyzing the responses of the various Gold Market owners about the scope and
marketing strategies used by the marketer, the result shows that most targeted market
preferred by the various units are government projects ,construction companies, small
construction projects and local households.
In my survey it is found that now a days costumers are purchasing cement bricks because of
the good quality and the size of the brick. Gold Market are not good in quality and can be get
broken easily but the cement bricks are of very good quality and made up of the mixture of
ANNEXURE
Survey on small scale business of Gold Market Business in sagar city
[For Answers Put Tick Mark in the boxes
______________________________
Address:
______________________________
Age:
______________________________
1. How many months out of the year does this Gold Market operate?:
(a). 6 months
(b).9 months
(c.) 12 months
b) Cement bricks
3. How many bricks do you produce per month?:
(a) 50000
(b) 75000
(c) 100000
(d) 150000
4. On average, how much do you sell a batch of 1000 bricks for?:(a) RS.2500
(c)RS.3000
(b) RS.2700
(d) RS.5000
a) Permanent workers
b) Daily Wages
7. How do you recruit workers?:
a) Recruit myself
b) Recruit through other employees
c) Purchase contracts from other kilns
d) Other
8. How much do you invest :
a) 10 lacks
b) 20 lacks
c) 30 lacks
d) 40 lacks
1. Who serves you as a promotional tool?:a) Contractors
b) Builders
c) Brokers
d) Others
2. Which problems do you face?:a) Labour turnover
b) Low sales
c) Investment
d) Loss due to rainfall
BIBLIOGRAPHY
www.dcmsme.gov.in
www.udyogmitrabihar.com
www.undp.org
www.teriin.org
www.cosmile.org
www.firedGold Market .com