Agency Selection & Investment Behavior of Government Employe

8/13/2019 Agency Selection & Investment Behavior of Government Employe

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EPO TON

AGENCY SELECTION & INVESTMENTBEHAVIO OF GOVE NMENT

EMPLOYEE S

ATICICI P UDENTIAL LIFE INSU ANCE

COMPANY LTD., AJKOT

A P OJECT EPO TSUBMITTED IN PA TIAL FULFILLMENT

OF SUMME T ANING OF M.B.A. DEG EE.

BY


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MANIA NISHIT P.OLL NO . 3041

Acknowledgement

It is a matter of great pleasure for me, to get this

opportunity of expressing my deep and sincere sense of

gratitude to my reserved and learned professor of M.B.Adepartment Shri M.N.Khandelwala, Shri Neeraj

Amarnani whose inspiration and guidance gave me

sufficient strength t finish the Industrial Awareness

Training.

On occasion for submitting the Industrial

Awareness Training it is with profound feelings of

gratitude, I place on record my extreme indebtness to Shri

Pankaj Agrawal (A.S.M.) and Shri Abhay Raj (Branch

Manager) ICICI Prudential Life Insurance Company

Ltd, Rajkot for permitting me to undergo training as a

part of my study in M.B.A. after 1styear.

I shall fail in my duty if I do not express my sincere

feelings of thanks and gratitude to Shri Amit Doshi,

under whom I undergo my training His punctuality,

discipline, hard working nature and sincerity will inspire

me, whenever I go.

My sincere thanks also goes to all the member of

the company for giving me information and clarifying my

doubts, obligatory.

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Last but not the least, I extend my thanks to all

who shared with me at any stage.

-MANIAR NISHIT P.

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PrefaceAs a part of our syllabus of after 1styear in M.B.A.

we have to go through eight weeks of Summer Training

in any reputed Industry.

During this period we have to observe/critically

analyse our own live experience about the culture, the

procedure and people at work. We have to understand

basic interrelationship between sales and Marketing

function, Human management department, Financedepartment and different service functions for

integration of an organization.

We have to prepare a Report based on our own

exposures and experiences during training and give

update and relevant information regarding making of a

Marketing strategy and changes in product applied in

industry.For this, I select ICICI PRUDENTIAL LIFE

INSURANCE COMPANY LTD. branch at Rajkot,

which is selling life insurance policy.

The subject of Marketing is the creation of new

better idea and improving the existing ones. A new and

better marketing strategy is one, which give more

strength to business. From the study of existing ideas, anew idea is to be conceived. For the successful

implementation of the marketing strategy into an actual

reality.

Taking this in consideration, I select the subject of

my Project Work as A study of Agency selection process

in ICICI Prudental Life Insurance Co. Ltd. Rajkot

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India has an amorphous middle-class of about 300

million people who can afford to buy life, health, and disability

and pension plan products. Out of this, only 20% have

insurance -and that too covers only 25% of their needs andfinancial capacity. The remaining 80% have no insurance cover.

The life insurance market of India, therefore, is practically

untapped.

With the liberalization and entry of foreign players in

the field, the already existing players - LIC and GIC are going

to face a tough competition. One of the factors in favor of LIC

and GIC is that they have a very good network to tap the rural

and market. But still they will have to bring changes in their

policies to stand the fierce competition. So the state owned

insurance companies are feeling the warming up of competition

as private players are queuing up to capture some portion of the

accounts.

ICICI Prudential Life Insurance Co. Ltd., give high

competition to national player in insurance industry company

capture 8% out of 100%. And in private insurance sector

ICICI Prudential is No. 1 company with 40% share. Company

has flexible product, which is suitable for any person.

Company gives market link product, which give high

return with some risk. People who wants high return companygive with low risk. All type of product for all age of person.

For achieve 1st rank in insurance industry company

recruit best advisor. Because they are main strength of the

company. By this advisor, a force company can reach at every

part of the country. Company has 30,000 advisors in all part

of the country. Company looking for different segment for

recruit best advisor, which can give good business for company6


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like Jewelers, Share-Broker, Businessman and Marketing

Executive etc.. These are the segments, in which company

looking for recruit businessman.

For knowing awareness about Section 88, Section 80ccc(i) and investment behavior in Central Government employee

doing a research. And went to Custom Department, Telephone

Department and other department. Here sample size is 130, in

this sample all employees are in different income tax slab.

In 21st century, in a competition era ICICI Prudential

Company wants to be No.1 in Insurance industry. And

therefore looking best advisor and also doing survey to check

awareness in people. CONTENTPART 1: INTRODUCTION

CONTENT 1: 3 WHY OF PROJECT 02 CONTENT 2: INTRODUCTION OF INSURANCE 05

CONTENT 3: ABOUT COMPANY 16

PART 2: AGENCY RECRUITMENT

CONTENT 1: AGENCY RECRUITMENT PROCESS 28

CONTENT 2: WORKING SEGMENT 29 CONTENT 3: RESULTS 32

PART 3: INVESTMENT BEHAVIOR STUDY CONTENT 1: OBJECTIVE 34

CONTENT 2: GRAPHS & CALCULATIONS 36

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CONTENT 3: INFERENCES 47

ANNEXURE 48CONCLUSION

50

BIBLIOGRAPHY 51

PART 1

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INTRODUCTION

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3 WHY OF PROJECT

Why we have e!e"#e$ #he !%&e %'()a'"ee"#*)+

Life insurance sector acts as the backbone of any economy.This sector pools large funs from masse an then in!ests in theinfrastructure pro"ects as sell as other long#term pro"ects$ %hich

prouce a regular income flo% in coming years. Traitionally$ lifeinsurance %as "ust taken to the sector ne% customi&e proucts

ha!e been introuce. 'ence$ no% if you %ant to sell lifeinsurance prouct to anyone you ha!e to analy&e his(her life stage$risk preference$ priorities an then suggest the appropriate prouctto that in!estor.

This %oul nee a great eal of financial planningkno%lege$ as %ell as the kno%lege about the current financialmarket thus you can compare the other financial prouct to theinsurance prouct an then con!ince your client about theinsurance prouct. )lso insurance companies has to manage theirin!estment in such a %ay that the principle amount shoul noteroe$ an in!estor shoul get the assure returns those thecompany has promise. This %oul in!ol!e a great eal ofkno%lege about the portfolio management of the in!estments anheging the risk. Thus this %oul gi!e us a great e*posure tofinancial markets as %ell as the intricacies of ifferent financialinstitutions$ ho% they %ork an %hat ifficulties they face.

+,


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Why we have e!e"#e$ ICICI P)($e'#%a!+

--- /ruential is first number among the pri!ate lifeinsurance players. There is a !ast potential in the -nian market

hence$ the company is e*paning its operations in ifferent regionsof -nia. )s %ell as not only the company stans at first number

but it treats its employees like no +. ompany gi!es many re%ars0 recognition to their employees an a!isors for their

performances. The culture of --- /ruential is like an 'inu1ni!ie amily. )s %e look at the current performance of--- /ruential$ it brings in our min the %ors of obert rost

,#he w**$ a)e !*ve!y

$a)- a'$ $ee./a'$ 0%!e #* * e&*)e I !ee.4

'ence %e firmly belie!e that %e coul not get better e*posure tolife insurance sector$ if %e %oul not ha!e "oine the ---/ruential.) line

We cover you at every step of life

++


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Why we have e!e"#e$ Ra-*# "%#y+

hen you go in any o%n to%n of any metro city in 1 you%ill fin a huge number of financial institutions are establishe

o!er there. The same thing is here in a"kot$ 9 out of +2 pri!atelife insurance companies ha!e their branches in a"kot. mallcale -nustries are gro%ing like anything in a"kot an it is saito be the hub of -nia for the iesel engines an its spare parts.This %oul attract many financial institutions to tape this !irginmarket. a"kot is one of the most e*pensi!e cities in u"arathence the eni&ens of a"kot ha!e a goo purchasing po%er. Thus%e belie!e that %e %oul get a goo e*posure regaring thein!estment pattern of any mile class family.

a"kot :ranch of --- /ruential is fastest gro%ing branchin 'imalayan region. hich has complete its first year ofoperation on 9th ;une 2,,4. ith premium collection of s. 2.5crore an in present


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INTRODUCTION OF IN6URANCE

F('$a0e'#a! *& I'()a'"e-n life e!ery human being#you an %e inclue is e*pose to anelement of risk$ commonly efine as the possibility of loss. These

broaly relate to t%o spheres#our li!es an our materialpossessions. urther$ e!ery loss has t%o implications financial annon#financial. or instance %hen a person ies$ the family suffers agrie!ous emotional loss$ %hich can perhaps ne!er be compensate.:ut the family also suffers another significant loss#financial loss

particularly person %ho ies %as an earning member or e!enpotentially earning member. There are then concerns about thefinancial stability of the epenents. imilarly$ %hen a factory is

gutte in a fire$ in aition to the loss of property$ there are otherconsierations the effort to rebuil the factory$ the future of%orkers an the fate of suppliers an consumer attache to the

business.

-n both instances$ little can be one about non#financial losses. :utfinancial losses can#an must#be aresse an using riskmanagement tool an that is -nsurance.

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Wha# % I'()a'"e+=-nsurance is a financial ser!ice for collecting the sa!ing of the

public an pro!iing them %ith a risk co!erage.>Thus in insurance$

The isk

The insure The insurer

eneral efinition -n the %ors of ;ohn ?agee$ Insurance is aplan by which large number of people associate an transfer to the

shoulers of all ris!s that attach to ini"iuals#$

unamental efinition -n the %ors of @.. 'ansell$ Insurance

is accumulate contributions of all parties participating in thescheme#$

ontractual efinition -n the %ors of "ustice Tinall$ Insuranceis a contract in which a sum of money is pai to the assure as

consieration of insurer%s incurring the ris! of paying a large sum

upon a gi"en contingency#$

Why $* y*( 'ee$ I'()a'"e "*ve)+-nsurance %ill help pro!ie protection to in!estors from certain oruncertain risks. ertain risk inclues e!ents like eath$ retirement$

pension$ eucation$ marriage$ etc. 1ncertain risk inclues e!entslike theft

) human life is also an income#generating asset. This assetalso can be lost through une*pectely early eath or maenon#functional through sickness an isability cause by

accient. )ccient may or may not happen. @eath %illhappen$ but the timing is uncertain. -f it happens aroun thetime of retirement$ %hen it coul be e*pecte that theincome %ill normally cease or the person coul ha!e maesome other arrangement to meet the continuing nees. :ut ifit happens much earlier %hen the alternati!e arrangementsare not in place$ insurance is necessary to help thoseepenent on income.

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-n case of a human being$ he may ha!e mae arrangementsfor his nee after his retirement. These %oul ha!e beenmae on the basis of some e*pectations like he may li!e foranother +5 years or that his chilren %ill look after him. -f

any of these e*pectations %oul become inae


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H%#*)y *& I'()a'"e 6e"#*)

-nsurance La% ha its genesis in Lonon. -n the earlyLonon offeehouses %ere centers not only of commerce anliterature but of ebate an intellectual e*ercise as %ell. They alsoha a political influence that mo!e the reigning king harles -- toattempt unsuccessfully their suppression.

)mong such se!enteen Bcentury Lonon coffee houses %asone calle Lloys offee house o%ne by A%ar Lloy ansituate in To%er treet. The coffee house an the a!antage of

being near to ri!er Thames thus attracting the patronages of menintereste an connecte %ith marine acti!ities.

-n the se!enteenth century there %ere no corporate entitiesengage in insurance acti!ities. The practice pre!alent %as thatini!iuals %rote their names belo% some clauses to guaranteecommercial !entures on personal basis$ Lloys offee house %asthus the fa!orite !enue for such guarantors %ho came to be calle1ner%rites to conuct business informally o!er cups of coffee.ith passage of time Lloys offee house become recogni&e as

a place for people %anting insurance co!er to fine the uner%riters.

A%ar Lloy encourage the business by pro!iing thecustomers in the coffee house %ith pen$ ink$ paper an shippinginformation obtaine fro the %aterfront. The insurance acti!ities inthe coffee house culminate in the formation of orporation ofLloys uner the )ct of +87+. The name %as immortali&ealthough A%ar Lloys passe a%ay in the year +7+3.

Lloys ?arine -nsurance policy originally aopte in theyear +779 is still commonly use as stanar form %ith suitableaitional clauses to suit moern re


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insurance are co!ere by general legislation. -n -nia the marine-nsurance )ct +963 base on the Anglish ?arine -nsurance )ct$+9,6 is the legislation ealing only %ith aspect of ?arine-nsurance policies. The pro!isions of the -nsurance )ct +938

regulate the other !ariations of insurance policies.

)ll insurance policies ha!e to be in agreement %ith thepro!isions of la% if contracts. ) policy of insurance coifies acontract bet%een the insurer an the insure hence all principles ofla% of contract ha!e to be follo%e. The legislation ealingspecifically %ith contracts bet%een t%o or more is the -nianontract )ct$ +872.

+7


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7RIEF HI6TORY OF 8IFE IN6URANCE

6ECTOR IN INDIA

The early e!elopments of life insurance %ere closely linke %iththat of marine insurance. The first insurers of life %ere the marineinsurance uner%riters %ho starte issuing life insurance policieson the life of master an cre% of the ship$ an the merchants. Theearly insurance contracts took the nature of policies for a short

perio only. The uner%riters issue annuities an pension for afi*e perio or for life to pro!ie relief to %io%s on the eath oftheir husbans. The first life insurance policy %as issue on +8 th

;une +583$ on the life of illiam ibbons for a perio of +2months. -t %as in the eighteenth century$ societies began to beforme for issuing life insurance policies. )mong such societiesthe )micable ociety C+7,5D$ The A


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:y +956$ +54 -nian insurers$ +6 foreign insurers an 75 pro!ientsocieties %ere carrying on life insurance business in -nia. )t thattime life insurance business %as concentrate in urban areas an

confine to the higher strata of the society. ;anuary +956 themanagement of life insurance business of 245 -nian an foreigninsurers an pro!ient societies %ere taken o!er by the centralo!ernment %ith a capital contribution of s.5, mn$ an thannationali&e on +st eptember +956 in the /arliament an Life-nsurance orporation CL-D.

The -nian insurance market %as restricte sector. Enly t%ogo!ernment giants namely L- 0 - rule it till it %as set open

to the pri!ate players.The Farasimha ao go!ernment unleashe liberal changes in-nias rigi economic sector. The ao go!ernment appointe aommittee of eforms in the -nsurance sector in )pril +993 unerthe chairmanship of .F. ?alhotra. The insurance egulatory)uthority %as set up. )fter o!er fi!e years -nsurance egulatory0 @e!elopment )uthority C-@)D )ct$ +999 coul be passe bythe /arliament @uring Fo!ember +999. -@) open its %ino% for)pplication for gi!ing ne% licenses to the prospecti!e players on+6th)ugust$ 2,,,.

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NEED FOR PRIATI;ATION OF

IN6URANCE 6ECTOR

Liberali&ation an reforms ha!e the potential to change thecomple*ion of an inustry. The -nian insurance is no e*ception.-n bi to make it more effecti!e$ the go!ernment has opene upinsurance sector for pri!ate players. Let us see rationale foropening up an insurance sector in -nia.

U'#a..e$ P*#e'#%a!

Life -nsurance -nia has an amorphous mile#class of about 3,, million people %ho can affor to

buy life$ health$ an isability an pension planproucts. Eut of this only 2, ha!e insurance #anthat too co!ers only 25 of their nees anfinancial capacity. The remaining 8, ha!e noinsurance co!er. The life insurance market of-nia$ therefore$ is practically untappe.

The lo% le!el of penetration of life insurance in -niacompare to other e!elope nations can be "uge by acomparison of per capita life premium.

C*('#)y 8%&e P)e0%(0 Pe) Ca.%#a U6 < %' 1==>

;apan 3$8+7

1G +$28,

1) 964

-nia 4

learly$ there is consierable scope to raise per capita life premium

if the market is effecti!ely tappe. ith an insurable populationof 3,, million$ per capita life premium can be raise to a le!el of1 M 2,, # M3,, an hence the market can e*pan by 5, to 75times o!er the e*isting si&e through the e*tensi!e an efficientreach to this untappe area by pri!ate players. The insurance

business in -nia is pegge at M6.6 billion %hereas inustry leaersfeel pri!ati&ation %oul open up as much as M26 billion.

2+


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G)*w%' Nee$ F*) %'()a'"e:

-n -nia$ insurance is traitionally consiere as an instrumentof sa!ings. The potential of insurance proucts as riskB

compensators has al%ays been uneremphasi&e.)ccoring to fining of an L- sur!ey as many as 4, ofinsurance buyers consier insurance proucts a!enue forcompulsory sa!ings. Enly 26 see insurance as ol age pension%hile "ust about +8 consier insurance a pro!ision for risk anuncertainties.This tren is in for a change soon. Fo% customers prefer moreoptions. They %ant not "ust basic insurance proucts butin!estment base insurance proucts$ pension proucts an

health care proucts as %ell. actors such as increasing lifee*pectancy$ isintegration of the traitional "oint family systeman rising cost of health care are boun to make market clamourfor !ariety of insurance proucts %ith nee base features. Lifee*pectancy$ %hich %as "ust 32 years uring fifties mo!e up toan a!erage of 6+ years uring +996#97. The result a longretire life. Faturally$ there is an increasing nee for pensioninsurance proucts.

/rere


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Fo person other than the promoters shoul be allo%e tohol more than + of the e


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A7OUT COMPANY

--- /ruential Life -nsurance ompany is a "oint !enture

bet%een --- :ank$ a premier financial po%erhouse an/ruential plc$ a leaing international financial ser!icesgroup hea


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Iision

To make --- /ruential the ominant Life an /ensions playerbuilt on trust by %orl#class people an ser!ice.

This %e hope to achie!e by 1nerstaning the nees of customers an offering them

superior proucts an ser!ice Le!eraging technology to ser!ice customers


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The success of the company %ill be foune in its unflinchingcommitment to 5 core !alues ## -ntegrity$ ustomer irst$:ounary less$ E%nership an /assion. Aach of the !alues escribe%hat the company stans for$ the


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t%o partners$ --- :ank an /ruential plc$ contribute capital intheir e*isting proportions$ 7426 respecti!ely. The authori&ecapital of the company stans at s +2,, crore.

The aitional capital %ill be use to meet capital ae


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Wha# I H(0a' 8%&e+I'()a'"e 6*!(#%*' &*) I'$%v%$(a!

--- /ruential Life -nsurance offers a range of inno!ati!e$customer#centric proucts that meet the nees of customers ate!ery life stage. -ts +7 proucts can be enhance %ith up to 6riers$ to create a customi&e solution for each policyholer.

6av%' 6*!(#%*'

# 6e"()e P!( is a transparent an feature#packe sa!ings planthat offers 3 le!els of protection.

& Cah P!(is a transparent$ feature#packe sa!ings plan thatoffers 3 le!els of protection as %ell as li


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option of choosing from !arious annuity options or opting for apartial commutation of the annuity at the time of retirement.

G)*(. Te)0 P!a':--- /ruNs fle*ible group term solutionhelps pro!ie afforable co!er to members of a group. The

co!er coul be uniform or base on esignation(rank or amultiple of salary. The benefit uner the policy is pai to the

beneficiary nominate by the member on his(her eath.

F!e%!e R%$e) O.#%*'--- /ru Life offers fle*ible riers$ %hich can be ae to the

basic policy at a marginal cost$ epening on the specific nees ofthe customer.

+. A""%$e'# $%a%!%#y e'e&%#:-f eath occurs as theresult of an accient uring the term of the policy$ the

beneficiary recei!es an aitional amount e


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6. Wa%ve) *& P)e0%(0:-n case of total an permanentisability ue to an accient$ the premiums are %ai!e tillmaturity. This rier is a!ailable %ith ecure /lus an ash /lus.

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PART2AGENCYRECRUITMENT

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Ae'"y Re")(%#0e'#

or insurance inustry irect marketing is a main marketing tool

for business. --- /ruential also try to make best a!isor forcefor the business. -n -nia there is 3,$,,,#a!isor force incompany. ompany al%ays %orks for recruit best a!isor. -n thisforce :usinessmen$ ?arketing A*ecuti!e$ .).$ Ta* onsultant$;e%elers$ 'ouse%i!es$ tuent$ @ealer etc.. ome of them %orkfull time or others part#time. ho ha!e a high net %orth ornet%ork$ %illing to %ork sincerely can "oin the company as ana!isor. ompany al%ays looking for those people %ho %ants to%ork sincerely an recruit them.

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RECRUITMENT PROCE66

/erson must +2thpass or +,J3 year @iploma course. This isa minimum eligible criterion.

Then there is a hunre hour training$ %hich is compulsoryby -nsurance egulatory an @e!elopment )uthorityC-..@.).D.

)fter training there is an e*amination %hich is taken by-..@.). $ %hich is compulsory.

)fter passing this e*am person get license an person can obusiness. 'e(he can o business any part of the country.

Fa"%!%#y .)*v%$e y #he "*0.a'y

There is a +,, management support to an a!isor.)!isor can o unlimite phone calls$ other peripherals likePero* machine$ fa*$ computer$ an printer. ompany oesnot put any restriction for using these peripherals.

ompany gi!e broachers$ pamphlets an other material freeof cost.

-n starting time of a!isor 1nit ?anager go %ith them anhelp to get business an gi!e practical kno%lege ofmarketing.

)ny time 1nit ?anager al%ays reay to help their a!isor.or any a!isor appointment 1nit ?anager reay to go %iththem if any a!isor feel uncomfortable in call.

ompany also pro!ies career opportunity to a!isor bygi!ing permanent "ob in a company as a 1nit ?anager. orthis a!isor fulfill some criteria by continuous performance.

)lso there is an e!ery month 0 e!ery


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FINDING6

till there is untouche market of hare :roker an;e%elers.

-n this segment there is lot of potential.

:ecause they ha!e high ini!iual net %orth an net%ork.

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RE6U8T6

- ha!e contacte 23,

)n get appointment of +,5

ecruite 3

'ot 2

4,


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PART 3I've#0e'# 7ehav%*)

6#($y O& Ce'#)a!G*ve)'0e'#

E0.!*yee I' Ra-*#

C%#y.

4+


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Oe"#%ve

# To check the a%areness of ection 88 of -ncome Ta* )ct

among entral o!ernment Amployees.# To stuy the le!el of priority gi!en to ta* benefits %hilein!esting by o!ernment Amployees.

# To check the a%areness of ection 8,C-D of -ncome Ta*)ct among o!ernment Amployees.

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Me#h*$*!*y *& 6#($y

esearch methoology use here is =ur!ey>. @ata ollection

?etho use is /rimary @ata.

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Pe)"e'#ae *& .e)*' %' $%&&e)e'# I'"*0e

Ta 6!a

Ta 6!a O& 1

8ee'$ 1

O& 2

8ee'$ 2

O& 3

8ee'$ 3

Fo. of personsout of +3,

54 57 +9

Awareness of Section 80ccc

1

48%2

52%

1 2

P)%*)%#%e *& I've#0e'#

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Total S+3,

H%h Re#()'

1

Ta 7e'e&%#

2

Ch%!$)e'

E$("a#%*'

3

Wea!#h

C)ea#%*' >

Re#%)e0e'#

P!a''%' 5

+6 68 +7 +7 ++

Investment Priorities

1

12%

2

53%

3

13%

4

13%

5

9%

1 2 3 4 5

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I'&e)e'"e:

?ost of the o!ernment employees$ 53 of total +3,employees inter!ie%e$ gi!e priority to Ta* :enefits %hile

in!esting. -t is because of the fact that o!t. is gi!ing Ta* benefits

uner ec.88 an ec.8, C-D 0 ec.8,L.

o o!t. employees are achie!ing t%in ob"ecti!e of sa!ing$in!estment as %ell as ta* sa!ing.

)lso employees are gi!ing importance to hilrenseucation(other e*penses in!estment$ the same %ay as theyo to %ealth creation.C:oth +3 eachD

Amployees in!esting for high returns C+2 employeesD arene*t to them.

Least persons are thinking of retirement planning C9 ofemployeesD.

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Awa)e'e *& 6e"#%*' KK

Total S +3,

Awa)e

1

N*#

Awa)e

2

+,2 28

Awareness of Section 88

1

78%

2

22%

1 2

I'&e)e'"e:

e!enty eight percent of the sample is a%are about ec88of -ncome Ta* )ct.

This is because of the fact that this section gi!es ta*rebate an subse


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The I've#0e'#

T*#a! L 13

8e #ha'R2

7e#wee' R2 R5

A*ve R 5

46 32 22

Investment for Tax Planning

1

46%

2

32%

3

22%

1 2 3

48


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Awa)e'e *& 6e"#%*' KCCC%

Total S +3,

Awa)e1

N*#Awa)e

2

62 68

Awareness of Section 80ccc

1

48%2

2%

1 2

5,


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Hy.*#he%:

N(!! Hy.*#he% HThe proportion in the population gi!ing priority to Ta* :enefits%hile in!esting is inepenent of -ncome Ta* slab rates.

A!#e)'a#e Hy.*#he% H1:The proportion in the population gi!ing priority to Ta* :enefits%hile in!esting is not inepenent of -ncome Ta* slab rates.

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6#a#%#%"a! Te# A..!%e$

)s the ata - ha!e collecte is of Fominal type an the case is of

one sample$ the statistical test applicable for hypothesis testing ishi#s


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De)ee *& F)ee$*0

.f. S k B +

here$ kS The number of categories.

'ere kS3$therefore .f. S 3 B + S2

$& L 2

Ch%6?(a)e Ca!"(!a#%*' :

2 L -IL1 O% E%2E%

2 S C27#28D2(28 J C3,#3,D2(3, J C+2#+,D2(+,

S ,.,357 J , J ,.4

S ,.4357

C)%#%"a! Te# a!(e:

rom the ritical Ialues of the hi#


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I'&e)e'"e:

?ost of the o!ernment Amployees take into account ta*benefits %hile in!esting.

This is seen across the category of -ncome Ta* slabs.

Aach an e!ery go!ernment employees first in!est forreucing an if possible for &ero ta* in the instruments thatgi!e ta* benefit.

The instruments of in!estment an sa!ing like //(/$Life insurance$ an Fational a!ings ertificates etc. arehea!ily in!estment mostly by go!ernment employees

because of the sai reason.

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A''e()e

(e#%*''a%)e

@ate.

Pe)*'a! I'&*)0a#%*'

Fameesience )ress

? E

Ergani&ation

+. -n %hich of the follo%ing ta* bracket oes your income fallUV W +, V W 2, V W 3,

2. hat are your priorities %hile in!estingUCaD 'igh eturns V WCbD Ta* :enefits V WCcD hilrens eucation V WCD ealth creation V WCeD etirement planning V W

3. 'a!e you a!aile fully benefits offere by ec. 88 of -.T.)ctUV W Hes V W Fo

4. -n a year appro*imately ho% much o you in!est for ta*planningUV W X2,$,,, V W :et%een 2,$,,, 0 5,$,,, V W 5,$,,, 0

)bo!e

5. hat in!estment options are you using for ta* planningUV W //(/ V W :onsV W F V W /ost Effice a!ingsV W Life -nsurance V W 1T-#1L-/

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6. hat factors o you consier for meeting your long(short

term Cabo!eD plansUV W afety V W 'igh returnsV W Li


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ConclusionAfter

coming out of

cool and mild climates of College and University, it was the

period for me to serve huge Industrial Management and

Organization. Over here I faced lot of hardship in work and as

the saying is one learns from good and bad experience sooner or

latter, this was true for me. Also the fear of industries was

ransacked from my mind and I got the experience of working

effectively by the background of this training.

During my training, I came to know the way one must

deal with people, how to communicate in more efficient manner

so that we may reach our target in more efficient and easy

manner.After completing training the extract of the achievements

is presented in the report. I realized the essence of Industrial

training when I met people who were employed as fresher

without previous industrial exposure.

For present day M.B.A. of India, the need of the hour is

field exposure with theoretical knowledge. This is essential to

make them valuable in the liberalized and Global Market ofIndia.

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