FICTITIOUS PRODUCT

Welcome to the new High-tech world of

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 TABLE OF CONTENTS

Sr no. Topic Page no.

1 Acknowledgement 3

2 Company Insight 4

3 Features of the Product 5

4 Types of Products 8

5 Markets of the Product 11

6 Product Life Cycle 14

7 Selling of the Product 15

8 SWOT Analysis 16

9 Advertising the Product 18

10 Cost structure 21

11 Conclusion 22

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 ACKNOWLEGDEMENT
“PERFECTION IS NOT ACHIVED COMPLETELY BY ANYONE IN THE WORLD,

BUT IF YOU KEEP CHASING PERFECTION, SOMEWHERE ON THE WAY,

YOU MAY CATCH EXCELLENCE!”

This is a thought that has helped us accomplish this project and do justice to this topic,
under the guidance of our professor, Miss ’Tanvi’ and miss ’Palavi ‘.Our high regards’ to her for
having given us a topic like “fictitious product” which has not only helped us in presenting a
beautiful project, but has also helped us in gaining better insight into market analysis and
consumer psychology. Under her guidance and monitoring we hope to endure further success.

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 COMPANY INSIGHT
NAME: COGENT-ELOQUENT

LOGO:

TAG LINE: CHASE THE BREEZ WITH EASE

LOCATION: GERMANY

NETWORK: AS AN FDI IN INDIA AND U.S.A

MARKET: ESTABLISHED BRAND WITH GOODWILL

STATUS: WORTH RS $10 MILLION

HISTORY: ESTABLISHED IN 1930 DURING THE GREAT DEPPRESSION

ERA TO BEAT THE HIGH FUEL CRISIS BY RENTING THE

ASSSIMILATED BICYCLES TO THE CONSUMERS. AS THE

MARKET TOOK UP, IT ESTABLISHED ITSELF ITS NETWORK

IN THE LOCAL AREA AND THEN AFTER STRATEGIC

MANAGEMENT STARTED VENTURING INTO GREATER

EFFICIENT MARKETS.

B.O.D: ID Code

M.D: Miss. Zain Kazi 31

CEO: Miss. Hemangi Bhatt 09

MARKETING HEAD: Miss. Siddhi Dalal 16

HR HEAD: Miss. Chandani Mehta 47

FINANCE HEAD: Mr. Mohit Talreja 59

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PRODUCTION HEAD: Mr. Rohan Adhiya 01

FEATURES OF THE PRODUCT

Riding Comfort
Forget all of the stories about
small wheels and wobbly
handling, hard work and
unusable low gears. Our
bicycles are more
maneuverable than traditional
bicycles; they're lighter and
offer a low step-thru frame
(no high cross bar to
negotiate when mounting and
dismounting the bic ycle). Our
bicycles can be adjusted in
variety of ways to provide a
custom fit ride.
Greater Adjustability =
Greater Flexibility
Flexability is what X is really
about. W hether you need the
portability for your commute
by rail, bus, subway, or air
OR a bicycle to conveniently
fit into the trunk of your car,
RV or boat, or where storage
is a problem
(condo/apartment dwellers)
OR want a bike that adjusts
to fit anyone in your family,
then X bicycles are right for
you. Car and RV owners, say
goodbye to roof racks and
the associated hassles – dirt,
damage, theft, vandalism,
time and effort.
Adjustable Handlebars
Different riders want different
riding positions: some want
their handlebars higher for
easy cruising, while others
want them low for a more
aerodynamic position over
long rides or even lower as in
the case of children. All
bicycles include adjustable
handlebars that can be
changed to the desired height
in seconds with no tools
required.

Long, Adjustable
Seat Post

Just because our Durability

bicycle can be
compressed into a X bicycles’ zinc Affordability
small, portable plated steel frames Besides being priced within
size, doesn’t provide the ideal the means of just about
mean that it can’t combination of anyone, X bic ycles stretch to
handle riders over strength and Compactness fit the size of the rider (one
6 feet tall. Our durability but at a bike fits all). The frame
X bicycles fold
fraction of the cost length, seat height and
seat posts can be down to a size that
of more expensive handle bar height are all
extended in is convenient for
metals like titanium. portability and adjustable to ensure that the
seconds to But don’t think that rider has a custom fit for the
accommodate storage. X bicycles
our bic ycles are ultimate in riding comfort. The
even the tallest of are ideal for use
heavy. X’s unique unique, adjustable frame
with mass transit or
riders, up to 6’ 4”. design allows for combined with a low frame
with RVs and boats
And, just as the bicycle to be and can fit into the tube connecting the front &
easily, the seat lightweight too – trunk of almost any rear wheels allows one bike
post can be weighing only 27½ to be suitable for the whole
car. As well, the
lowered to lbs (for the 16” family with a few, quick
compact X is also
model). adjustments. Adults (both
accommodate elevator, stairs and
men and women), kids and
shorter riders. hallway friendly.
older folks will find the bike
equally easy to ride.

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Stretching also along with your
means that X kids. And X’s
bicycles can grow unique design also
Convenient, Easy
Storage
Our bicycles are storage
friendly too. Our bicycles
can be easily stored in a
closet, under the bed, in
the office, storage room,
RV storage bin, car trunk,
corner of an apartment
living room or balcony or
just about anywhere. You
can even leave it in the
trunk of your car – and use
it when it’s convenient. It
can even double as an
emergency transportation
too should your car break
down or run out of gas.
Sportability
With its rugged good looks
and comfortable ride, X turns
portability into sportability!
The X is a real head turner,
especially when you collapse
your bicycle in seconds and
carry it away. Our 6 speeds
lets you get the maximum
possible speed/distance for
the minimum effort. It also
affords the maximum
flexibility for different types
of riders and road conditions.
means that
mounting and
dismounting is
Faster Acceleration
The lower rotating mass of
the small wheels,
compared to conventional
bikes, facilitates faster
acceleration. The shorter
spokes on the smaller
wheels make them stiffer
and stronger than larger
wheels. Also the center of
gravity is lowered,
resulting in improved
stability. Smaller wheels
also reduce the overall
length of the bicycle,
making it more compact,
lighter and easier to
transport.
Serviceability
Most components of X
bicycles are standard and can
be replaced with off the shelf
items carried by your local
bicycle dealer.
V-brakes
The latest in technology, V-
brakes provide the ultimate
in lightweight stopping
power. All X bicycles
incorporate V-brakes for
both the front and rear
brakes.
effortless because there is no
high horizontal bar to
negotiate.
Unique Suspension
In order to accommodate
the hard ride of the ultra-
rigid frame, strong wheels
and high pressure tyres,
full suspension has been a
mandatory feature of all X
bicycles. This coupling of
advanced suspension and
small wheels provides
superior comfort and road
holding.
X bicycle suspension has
been developed to
maximize rider comfort
and efficiency. The
Hydrolastic suspension on
the New Series Xs
features a rubber spring
with adjustable fluid
damping. The flexitor front
suspension system utilizes
rubber in torsion,
eliminating lubrication,
wear, and 'stiction.' This
provides unparalleled
shock isolation and a
uniquely silky ride.
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Saddle

X bicycles come with modern 2-tone

waterproof saddles that are padded for
comfort, light in weight and require no The calorie meter helps you know
maintenance. Optional saddles are also how effective each pedal is to lose weight.
available including a deluxe comfort saddle
and a saddle with a built-in rear light for
extra visibility during night rides.
Charger

An efficient source of energy

The BiSaddle was initially
designed primarily to function
as a saddle for long distance
road or exercise bike riders,
but can and has been used
successfully for all sorts of
riding.
The Nokia Bicycle Charger Kit starts
charging at walking speed (6 km/h) and
stops when your speed reaches 50 km/h.
The total charging time varies depending on
the phone and the cycling speed. For
example, with just 20 minutes of cycling at
10 km/h you can power up a Nokia 1202 for
1 hour of talk time or 74 hours of standby
time. The Nokia Bicycle Charger Kit is
compatible with all Nokia phones that have
a 2 mm charging interface.

Refrigeration

There is a special cooler or a size of a bottle

for cooling purpose.

Calorie Meter

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 A GPRS navigator, an instrument that’s attached
on the handle which makes the viewing and
tracing of the location much more simpler so we
GPRS Navigator need not need to stop and ask someone for the
address location !!

Types of Foldable Bicycles

Storage space a problem? Portability an issue? W e have the answer! You can fold a bicycle
into a portable size in seconds. Flip the frame latches and the frame pushes in. Flip another
latch and the handlebar swings down, lower the seat and fold in the pedals and you’re done!
When you fold/collapse a bicycle, you do not need to disassemble any tires, brakes or fenders
unlike some other brands of folding bicycles. Our bicycles compresses and expands easily,
cleanly and quickly. Very quickly (in about 1 minute) and best of all – no tools required!

1. Yanko Design

The ‘Rotation’ city rotating &

This folding bicycle has a
folding bicycle is fully
futuristic-looking design that
adjustable, so you can
compacts into an incredibly
2. Rotating Folding determine the best position
small package. It’s meant to
Bicycle for the handlebars, saddle
make bicycle transport in
and distance between the
urban environments easier
front & rear wheels. It’s also
by creating a super-portable
two different vehicles in one
bike that can go practically
– it can be used as a bicycle
anywhere. It’s difficult to tell
or unicycle – and folds up
from the images of this
after use.
concept, however, exactly
how it works.

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3. The Locust Concept
OT HER S
1. The Loop Style
The MyLoop bicycle has been
designed to take very little
space in the city and, in
principle, has unlimited
capacity in the way bikes can
be locked to one another.
While recharging, one bike
becomes the docking station
of the other. In addition to a
futuristic design, the MyLoop
has a simple and user-friendly
interface.
The construction is simple and
the body is sturdy. A
command console is placed
over the headset, along the
fork tube. Front LED lighting,
a screen and a card sensor
are integrated in this console.
On the rear part, seat and
luggage rack are adjustable in
height. A rear LED light is
located under the seat. The
Space comes at a premium,
and with a world population
that is rapidly multiplying by
the day, it’ll only get worse
as the years pass. That
light switches both on and off
automatically according to the
luminosity.
2. The Cube Urban Street
Bike Concept
This fierce, folding fixie-style
bicycle concept adds an
entirely new frame philosophy
to high speed bike design. The
Cube Urban Street Bike
Concept ditches the seat tube
and top stoy sections of the
traditional bike frame for this
explains why so many
bicycle designers are creating
concepts that are getting
increasingly more compact.
The ‘Locust’ concept by
Josef Cadek features parts
that fold neatly into a circular
central frame. Such a design
makes it ideal for bringing it
onto trains and buses.
three-piece system that leaves
the back wheel floating.
Technically, this design could
remove a significant amount of
weight from the modern
bicycle, but this design
appears a bit bulky. Bulky or
not, sexy it is. Can you
imagine the heads you’ll turn
carving up the pavement with
this thing? We hope Cube has
addressed stiffness issues, as
working without those rear
tubes can be problematic.
The Furious Sports Bike
Concept by Nenad Kostadinov
is another experiment with the
traditional bike frame, this time
removing the down tube and
top stoy. Unlike other
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 concepts, however, this one and other information is shown
appears to provide the support to the rider front and center
and stiffness needed for an throughout their session, be it
efficient, comfortable and for pleasure or a daily
stable ride. Yet the change in commute.
frame structure isn’t what
makes this bike special, it’s the
on-board computer which
displays various information
about your ride. Speed,
location, calorie consumption

3. Intelligent Bike Concept

The Intelligent Bike Concept features a solar-powered backup motor, an onboard computer, a
fingerprint security scanner and a spoke-free wheel design. We’re having a tough time spotting the
photovoltaic panels, but since this is just a rendering we imagine they’ll be added later. This concept is
designed to add all the future-level functionality to a bike today, giving a rider a rounded cycling
experience that may not be seen on the road for decades. Oh, and did we mention that it looks
awesome

4. Other Basic Models

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U.S.A- AS A MARKET:

The outlook for the future in bicycles is positive, though stability is the story of the recent past.
The bicycle industry is a seasonal business that can be impacted by unusual weather, as well as
an industry that relies on discretionary spending impacted by economic conditions. Industry sales
of bicycles seem to be stable at around 18 million bicycle units annually, plus parts, accessories
and service, which historically is a very healthy number for the industry. National trends related
to the green movement, environmental sustainability, the need to address health problems related
to inactivity, and higher gas prices also bode well for the future of human-powered
transportation.

The federal government has also budgeted significant transportation money for construction of
bicycle-specific facilities such as bike paths and road improvements friendly to bicycles in the
coming years, which is another sign of the emergence of bicycling as an important form of
transportation. Making a more bicycle-friendly America is one of the industry's key initiatives
going forward

INDIA- AS A MARKET:

With the increase in fuel prices and the sudden impact on the consumers travelling by rickshaws
with the high travelling cost have made the market favorable for our entry into it. Not only this
but the growth of cycle sports and the social responsibilities imbibed within the mind of the
people for a better environment have accelerated the process of assimilation of bicycles by the
consumers . Thus taking into purview that it is a growing economy and a potential market CE
has opted for India.

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THE OPERATING WEB OF CE

Business Ecosystems
Trade associatioins
Labour
Unions
Extented enterprise Direct Customers

Suppliers of
Core business
Core ontributors Customers
my
Distribution Channels
suppliers Of my
Direct Suppliers
Customers
Other
Stakeholder
Govt
Agencies &
Other regulaotry Competing Organisations that have shared
Bodies Product and service attributes,
Business process

Distribution Analysis
The retail bicycle market can be broken down into two segments, the independent bicycle shops
and the chain bicycle shops. Most bike shops are independent; however, there is a growing trend
of bicycle shops being part of a chain
Industry Analysis

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Currently the industry is served by 10-15 different wholesalers. Each wholesaler has their own
niche to some degree, but generally they have a fairly wide product offering. Some or most of
the wholesalers have a sale or closeout section, but this typically makes up a small percentage of
their business. It is well known that the margins in the retail bicycle industry are small; 30% for
bicycles, 75% for components, and 100% for clothing. Closeouts are a great way to increase
store traffic and significantly helps out the shop's bottom line with higher margins
Target Distributors Strategy
CE will target the retail bicycle shops through three means:

x Trade shows. CE will be visible at the two major industry trade shows. 75% of the retail
bicycle shops attend at least one trade show a year. The shows provide retailers an
opportunity to view upcoming products and chat with a spokesman from the company, as
well place pre-season orders.
x Advertisements. CE will be advertising in Bicycle Retailer, the industry magazine. 90%
of the bicycle shops in America receive a copy of Bicycle Retailer making the advertising
opportunities especially valuable.
x Website. CE will develop a website that includes a current catalog of their offerings. This
will be the most up-to-date source of product information and availability. All advertising
activities and trade show presence will highlight the website as an indispensable source of
information.

Competition and Buying Patterns

The major competitors are:

x Seattle Bike Supply: this is a national distributor with several warehouses spread out across
the country. Seattle sells closeout products, but they make up a small portion of their
business.
x Quality Bicycle Products: this is a relatively high-end bicycle component distributor that
operates on a national scale; however, they only have one warehouse in Minneapolis, MN.
x Riteway: this is a national wholesaler with multiple warehouses. Riteway has an extensive
product catalog and does offer a decent amount of closeouts, in part due to a minority
holding of the GT bicycle company.

Bicycle retailers tend to favor one type of distributor for certain things. Some variables that
influence decisions are price, availability, shipping time, and available terms. The retailers will
often use one main wholesaler and aggregate as much as possible into an order to save shipping
costs.

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 PRODUCT LIFE CYCLE OF A BICYCLE

Like all living being products are also observed to have a lengths of life and past through different stages
of life like birth, growth, maturity and death. PLC as a concept is really important for managers for the
development of marketing. PLC highlights that sooner or later all product die and if we as a company
wants to maintain sales revenue we must replace the dying product with newer ones.PLC is used as a
forecasting tool by the marketing managers regarding the demand of the product in future so as to
strategize production and marketing plans related to that product.

Application of PLC concept

Introduction stage-When our product enters the market there will be high promotional expenses
and sales will pick up slowly. Here there could be possible changes in the product on the basis of
feedback from customers. This is a little time consuming stage as it takes time to make the product
available to customers on a large scale. At the same time it needs to be perceived positively by the
customers.

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Growth stage- here the sales will start shooting. Their will be better analysis of consumer
psychology, so as to which models are better perceive by them and thus production could be altered.

Maturity stage- a trendy bicycle as a product would have already taken a huge market share and
penetrated in to the minds of the consumers. It will lead to a clear monopoly status in the market as a
sole marketer of the product.

Decline stage- after reaching the peek the in this case the model will start declining and not the
product. As the product stars declining CE shall introduce new versions of the model as per the market
demand. Thereby keeping the product alive.

SELLING OF THE PRODUCT

"You can say the right thing about a product and nobody will listen.
You've got to say it in a way that people will feel it in their gut.
Because if they don't feel it, nothing will happen."

Let's face it, it won't matter what products we sell if our customers aren't buying. Before
considering what product to sell, we have determined what market we want to sell to-

Geographic Demographic

Our geographic market caters to all the Age-

bicycle industries...
The local market is Germany, Europe at
large, acting as an FDI in the markets of
US and India.
Our potential customers are in regional
and national market place level.
Our analysis focuses mainly on three
target groups namely-

1) The infants aged grouped

between 8-14
2) The youngsters aged between
15-28
3) Elderly 29 - 60

Geographic Percentage

Germany Infants 15

India Yongsters

U.S Elderly
 SWOT ANALYSIS OF OUR COMPANY

Strengths:

x Well knitted dealers network and sub-dealers.

x Sales cum services showrooms
x Effective advertisement and sales promotion through celebrities organizing events.

Weakness:

x The Augmented level is highly versatile and supplying the potential level of the product,
tremendously increases the cost structure of the company.
x Our company is facing stiff competition from the rival companies Like, Avon, Atlas,
Hero and few foreign competitors.
x The competition is strong in standard cycles because the market growth of standard
cycles is slow. But it is weak in a sense that market for special cycles is growing rapidly.
Switching cost in special is low so the buyer may shift the demand.

Threats:

1. New Entrants-
Over all the industry is growing so there is strong threat of new players particularly from
China, Indonesia and Taiwan with low priced cycles. It is also weak because access to
distribution channels is difficult and strict regulatory control of the Government.
2. Substitute-
CE faces a considerable threat of substitute because close substitute of cycles is offered by
Hero but switching cost is high.
3. Supplier-
CE does not face sizeable threat from suppliers because the major parts of cycles are
manufactured by us except some of the parts for special cycles are imported from Japan.
4. Buyers-
The Dealers and sub-dealers are compelling to provide the cycles of their choice (Special)
which may cause losing the market for standard cycles. Buyers switching cost is low because
of the availability of Hero, Atlas, Avon and Chinese Cycles in the market.

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 Opportunities:

1. Market Development
Our company can consider following future strategies for the market development.
a) Northern markets should be focused for broadening sales.
b) Offering cycles to University Students.
c) Offering cycles for rally of social cause.
d) Offering cycles for athletes.

2. Product Development
a) Our company should develop an advanced version of standard cycles for rural area by adding
shock absorbers to carry heavy load with ease.
b) Light and folding cycles should be developed the urban areas to avoid traffic congestion
and parking problems.
c) A purpose built cycle with wide carrier for lunch providers in the urban areas.
d) Purpose built cycles for house wives with added carriers.

3. Recommendations
1. Our company should focus on redeveloping its bicycle manufacturing.
2. Include lower cost segment of bicycles. Create another brand of bikes. These bikes will
be of the lower cost variety.
3. Outsource manufacturing of lower cost products to different countries.
4. Change distribution strategy to include major retailers. Lower cost line can be sold in these
stores.
5. Include sales over the Internet.

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 ADVERTISING OF THE PRODUCT
Since we are introducing a product in the augmented level were the competition in highly
versatile, the main emphasis is needed to be made on advertising new features in the existing
product. The public needs to be updated with the new discoveries and inventions happening in
the market. The advertisements are the best means to communicate with the consumers. These
are a couple of strategic means used by CE to penetrate into the market.

Medium of Advertising

Outdoor Print Adv. M e d ia

Bill Boards Motion Window disp.

Ad v

TV Adv Radio Adv Online Adv In-Movie Adv

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Print advertising:-
Magazines, newspapers, fliers & brochures are some of the tools that are used by CE for
information communication. It has the advantage of broad Market coverage, as we are targeting a
large number of audiences. Due to the wide coverage and accessibility print ads are popular
among general masses.

Television Advertising:-
As far as India is concern it is the third largest television market in the world. Advertising
through television is one of the best advertising option in India because television enjoys a great
coverage area in fact currently it also covers a great amount of rural area.

Radio Advertising:-
With the entry of private radio channels, radio has become a very popular media for advertising,
targeting mainly the greater masses as they have reached into the pockets of every man due to
technological advancement. The ads on the radio especially target college and school going
youngsters.

Online Advertising:-
It is one of the vital element of media as it isn’t cost effective but is a highly convenient means
by which we can stream together audio, video, text, animation all at one point and reach our
target that too in a fraction of time. We have targeted the important social networking sites
namely Facebook, Twitter & You-tube which are used extensively over the world.

In-Film Advertising:-

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It acts as a silent promoter and is very cost effective. We are looking forward to such
opportunities to advertise our product.

Out-door advertising:-
In metropolitan cities where a lot of time is spend in travelling on roads and getting stuck up in
traffic jams at that time bill boards really works good. We are aiming at the best location for our
out-door advertisements.

Advergaming:-
Advertising has made its way into the world of videogames. The concept is that if the game is
fun, consumers are more likely to remember not just the brand or product , but also associate
specific brand attributes with that of the game. As our product is an adventure product it can be
easily and very well related to the concept.

Other Means
Apart from all these media we would also provide trial offers and we also have plans to sponsor
some of the largest cycling events in India like’ The Cycling Federation Of India’ and ‘Tour The
India’ in order to promote our brand. We are also associated with social institutions like ‘Green
Activism and Civil Society’.

Frequency
We have a high frequency of ads during our introductory phase. During the introductory phase it
becomes necessary to undertake extensive advertising to make people aware of our products as
well as to enjoy a greater brand recall value. Most of the people in India have a perception that
‘Cycling is for children and not for the grown ups’. To remove this perception from their minds
through advertising will be one of our greatest hurdle to overcome.

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 COST STRUCTURE
Costing per unit

The cost structure entirely explains part wise cost incurred on the production of our bicycles.
Following are the cost of adding the additional features:-
1) Refrigeration – Rs 1,500
2) GPRS – Rs 2,000
3) Calorie Meter – Rs 200
4) Charger – Rs 500
5) Detachable Dual Saddle – Rs 500

Model Wise cost

The costing for the foldable bicycles are as follows

x Yanko Design - Rs 26,000

x Rotating Folding Bicycle - Rs 30,000
x The Locust Concept - Rs 28,000

The costs for other premium models are as follows

x The Loop Style - Rs 24,000

x The Cube Urban Street Bike Concept - Rs 35,000
x Intelligent Bike Concept - Rs 22,000
x The range of cost for the basic model varies from Rs 15,000 to Rs 20,000.

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 CONCLUSION

CE as a company as the name means logically reasonable and unique keeping the
essence of the name alive CE as a company has established good network and
goodwill in the market by this product it aims at severing the consumers with the
best product without any compromises on its quality.

By the project above which states about its means of archiving the desired mission
we hope to accomplish our targets and thereby enduring success. And keeping in
mind the famous quote,

“THE HEIGHTS BY GREAT MEN REACHED AND KEPT

WERE NOT ATAINED BY A SUDDEN FLIGHT,
BUT
WHEN THEIR COMPANIONS’ SLEPT
WERE TOILLING UPWARDS IN THE NIGHT.”

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