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CHAPTER I
INTRODUCTION AND HISTORY
In the year 1946 the first milk union was established. This union was started with 250 liters of
milk per day. In the year 1955 AMUL was established. In the year 1!" the union was known
as KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION. This union
sele#ted the brand name AMUL in 155.
The brand name Amul means “AMULYA”. This !"# #$"i%$# &!"' (h$ S)*s+"i(
!"# “AMULYA” hi,h '$)*s “PRICELESS” A $uality #ontrol e%pert in Anand had
su&&ested the brand name 'AMUL(. Amul produ#ts ha)e been in use in millions of homes
sin#e 1!". Amul *utter+ Amul Milk ,owder+ Amul -hee+ Amulspray+ Amul heese+ Amul
ho#olates+ Amul /hrikhand+ Amul I#e #ream+ utramul+ Amul Milk and Amulya ha)e made
Amul a leadin& food brand in India. The total sale is s. " billion in 20053. Today Amul is a
symbol of many thin&s like of the hi&h4$uality produ#ts sold at reasonable pri#es+ of the
&enesis of a )ast #o4operati)e network+ of the triumph of indi&enous te#hnolo&y+ of the
marketin& sa))y of a farmers or&ani6ation. And ha)e a pro)en model for dairy de)elopment
-enerally known as “ANAND PATTERN”3.
In the early !07s+ the main sour#es of earnin& for the farmers of 8aira distri#t were
farmin& and sellin& of milk. That time there was hi&h demand for milk in *ombay. The main
supplier of the milk was P!.s!* #)i"/ .i'i($#+ whi#h was a pri)ately owned #ompany and
held monopoly o)er the supply of milk at 0!')/ from the 8aira distri#t. This system leads
to e%ploitation of poor and illiterates7 farmers by the pri)ate traders. The traders used to
beside the pri#es of milk and the farmers were for#ed to a##ept it without utterin& a sin&le
word.
9owe)er+ when the e%ploitation be#ame intolerable+ the farmers were frustrated. They
#olle#ti)ely appealed to S)"#)" V)..)hh)i P)($.+ who was a leadin& a#ti)ist in the
freedom mo)ement. /ardar ,atel ad)ised the farmers to sell the milk on their own by
establishin& a #o4operati)e union+ Instead of supplyin& milk to pri)ate traders. /ardar ,atel
sent the farmers to Sh"i M!")"2i D$s)i in order to &ain his #o4operation and help. /hri :esai
held a meetin& at S)')"+h) )illa&e near Anand+ on 4(h 3)*)"/ 1946. 9e ad)ised the
farmers to form a so#iety for #olle#tion of the milk.
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These )illa&e so#ieties would #olle#t the milk themsel)es and would de#ide the pri#es at
whi#h they #an sell the milk. The distri#t union was also form to #olle#t the milk from su#h
)illa&e #o4operati)e so#ieties and to sell them. It was also resol)ed that the -o)ernment
should be asked to buy milk from the union.
9owe)er+ the &o)t. did not seem to help farmers by any means. It &a)e the ne&ati)e
response by turnin& down the demand for the milk. To respond to this a#tion of &o)t.+ the
farmers of K)i") #is("i,( went on a milk strike. ;or 15 whole days not a sin&le drop of milk
was sold to the traders. As a result the *ombay milk s#heme was se)erely affe#ted. The milk
#ommissioner of *ombay then )isited Anand to assess the situation. 9a)in& seemed the
#ondition+ he de#ided to fulfill the farmers demand.
Thus their #ooperati)e unions were for#ed at the )illa&e and distri#t le)el to #olle#t
and sell milk on a #ooperati)e basis+ without the inter)ention of -o)ernment. M" V$"h$s$
K"i$* showed main interest in establishin& union who was supported by Sh"i
T"ih%)*#)s P)($. who lead the farmers in formin& the o4operati)e unions at the )illa&e
le)el. The 8aira distri#t milk produ#ers union was thus established in ANAND and was
re&istered formally on 14(h D$,$'$" 1946. /in#e farmers sold all the milk in Anand throu&h
a #o4operati)e union+ it was #ommonly resol)ed to sell the milk under the brand name
AMUL.
At the initial sta&e only 57 .i("$s of milk was #olle#ted e)eryday. *ut with the &rowin&
awareness of the benefits of the #ooperati)eness+ the #olle#tion of milk in#reased. Today Amul
#olle#t 11 .)+hs .i("$s of milk e)eryday. /in#e milk was a perishable #ommodity it be#omes
diffi#ult to preser)e milk flora lon&er period. *esides when the milk was to be #olle#ted from
the far pla#es+ there was a fear of spoilin& of milk. To o)er#ome this problem the union thou&ht
out to de)elop the #hillin& unit at )arious
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ACHIEVEMENTS<
A'. < Asia7s lar&est dairy #o4operati)e was #reated way ba#k in1!" to make the
milk produ#er self4reliant and #ondu#t milk4 business with pride. Amul has always been the
trend setter in brin&in& and adaptin& the most modern te#hnolo&y to door steps to rural
farmers.
Amul #reated history in followin& areas?
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)= ;irst self moti)ated and autonomous farmers or&ani6ation #omprisin& of more‟
than 5000000 mar&inal milk produ#ers of 8aira :istri#t.
= reated :airy #o4operati)es at )illa&e le)el fun#tionin& with milk #olle#tion
#entres owned by them.
,= omputeri6ed milk #olle#tion system with ele#troni# s#ale and #omputeri6ed
a##ountin& system.
#= The first and only or&ani6ation in world to &et I/@ 000 standard for its farmers
#o4operati)es.
$= ;irst to produ#e milk from powder from surplus milk.
Amul is the li)e e%ample of how #o4operation amon&st the poor mar&inal farmers #an
pro)ide means for the so#io4e#onomi# de)elopment of the under pri)ile&ed mar&inal farmers
A>ARDS<
Amul a #o4operati)e so#iety and its #o4operation has led many different
awards in its fa)or.
Ma&saysay award for #ommunity leadership presented in manila+ ,hilippines
to /hri Tribhu)andas ,atel+ /hri : 8hurody and /hri . 8urien
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A'. i* )"!)#<
Amul is &oin& pla#es. Literally. After ha)in& established its presen#e in hina+ Mauritius and
9on& 8on&+ -uER< AMUL@S SECRET O: SUCCESS
The system su##eeded mainly be#ause it pro)ides an assured market at remunerati)e
pri#es for produ#ers milk besides a#tin& as a #hannel to market the produ#tion enhan#ement
pa#ka&e. =hats more+ it does not disturb the a&ro4system of the farmers. It also enables the
#onsumer an a##ess to hi&h $uality milk and milk produ#ts. ontrary to the traditional
system+ when the profit of the business was #ornered by the middlemen+ the system ensured
that the profit &oes to the parti#ipants for their so#io4e#onomi# upliftment and #ommon &ood.
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Lookin& ba#k on the path tra)ersed by Amul+ the followin& features make it a pattern and
model for emulation elsewhere.
A'. h)s $$* ).$ (!<
• ,rodu#e an appropriate blend of the poli#y makers farmers board of
mana&ement and the professionals? ea#h &roup appre#iatin& its rotes and
limitations+
• *rin& at the #ommand of the rural milk produ#ers the best of the te#hnolo&y
and harness its fruit for betterment.
• ,ro)ide a support system to the milk produ#ers without disturbin& their a&ro4
e#onomi# systems+
• ,lou&h ba#k the profits+ by prudent use of men+ material and ma#hines+ in the
rural se#tor for the #ommon &ood and betterment of the member produ#ers and
The Union looks after poli#y formulation+ pro#essin& and marketin& of milk+
pro)ision of te#hni#al inputs to enhan#e milk yield of animals+ the artifi#ial insemination
ser)i#e+ )eterinary #are+ better feeds and the like 4 all throu&h the )illa&e so#ieties. *asi#ally
the union and #ooperation of people brou&ht Amul into fame i.e. AMUL ANAND MILK
UNION LIMITED=+ a name whi#h su&&est THE TASTE O: INDIA.
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P.)*(s<
:i"s( plant is at ANAND+ whi#h en&a&ed in the manufa#turin& of milk+ butter+ &hee+
milk powder+ fla)oured milk and buttermilk.
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S$,!*# plant is at MOBAR + whi#h en&a&ed in manufa#turin& #ho#olate+ nutramul+
Amul -anthia and Amul lite.
Thi"# plant is at K)*2)"i+ whi#h produ#es #attelfeed.
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:!"(h plant is at Kh)(")2+ whi#h en&a&ed in produ#in& #heese.
Today+ ($.%$ #)i"i$s are produ#in& different produ#ts under the brand name Amul. Today
Amul dairy is *! 1 dairy in Asi) and *! in the !".#+ whi#h is matter of proud for
-u
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PRODUCT PRO:ILE
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CHAPTER
CONSUMER 0EHAVIOUR
A0OUT THE TOPIC
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DIVERSITY O: CONSUMER 0EHAVIOR
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It is belie)ed that #onsumers or #ustomers make pur#hase de#ision on the basis of re#eipt of a
small number of sele#ti)ity #hosen pie#es of information. Thus it will be )ery important to
understand what G how mush them to e)aluate the &oods G ser)i#es offerin&s.
CONSUMER DECISION MAKINB PROCESS
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All business firms ha)e reali6ed that marketin& is a #ore element of mana&ement philosophy
G the key to its su##ess lies in fo#usin& more G more on the #ustomers. That is+ it will be the
#ustomer who will de#ide where the firm is headin&. Thus the #hallen&e before the marketer
is to ensure that they should satisfy e)ery #ustomer.
/atisfa#tion is an important element in the e)aluatin& sta&e. /atisfa#tion refers to the buyers
state of bein& ade$uately rewarded in a buyin& situation for the sa#rifi#es he has made one
the #ustomer pur#hase G use the produ#t they may then be#ome either satisfy or dissatisfied.
The result of satisfa#tion to #ustomer form the pur#hase of the produ#t or ser)i#es is that
more fa)ourable post4pur#hase attitude+ hi&her pur#hase intention G brand loyalty to be
e%hibited that the same beha)ior is likely to be e%hibited in a similar pur#hasin& situation.
The term #onsumer7 is a typi#ally used to refer to someone who re&ularly pur#hase from a
parti#ular store or #ompany.
ustomers are people who are happy with the produ#t G ser)i#es G are willin& to #ome ba#k
G pay for it a&ain.
Today the firms aim to &i)e satisfa#tion to the #ustomer throu&h marketin& #on#epts. The
firm try to help the buyers in the sol)in& the problem then #ompetitors. The marketers must
see that #onsumers with pur#hasin& power #onstitute a potentials buyers are identified. It is
essential for the marketer to #arry out the business in su#h a way that they &i)e satisfa#tion to
#onsumers needed. =hen a firm markets a produ#t or ser)i#e it should aim to en
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#onsumers. ,er#ei)e produ#t G brand G stores. =hat their attitudes are before and after
promotional #ampai&ns G how G why they make their #onsumption de#ision.
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CHAPTER-
MARKETINB RESEARCH
MARKETINB RESEARCH
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1= D$&i*$ (h$ "!.$' )*# i(s !2$,(i%$s
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3 K%perimentation
A= S"%$/ M$(h!#< - In this method+ information &athered dire#tly from indi)idual
respondents+ either throu&h personal inter)iews or throu&h mail $uestionnaires or telephone
inter)iews.
0= Os$"%)(i!* M$(h!#< - The resear#h data are &athered throu&h obser)in& and re#ordin&
their a#tions in a marketin& situation. This te#hni$ue is hi&hly a##urate. It is rather an
e%pensi)e te#hni$ue.
C= EF$"i'$*(). M$(h!#< - This method in)ol)es #arryin& out a small s#ale trial solution
to a problem+ while at the same time+ attemptin& to #ontrol all fa#tors rele)ant to the problem.
The main assumption here is that the test #onditions are essentially the same as those that will
be en#ountered later when #on#lusions deri)ed from the e%periment are applied to a broader
marketin& area.
D= Th$ P)*$. R$s$)",h
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Th$ "$!"( 's( i%$G,!*()i* (h$ &!..!i* i*&!"')(i!*
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RESEARCH METHODOLOBY
RESEARCH METHODOLOBY
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• As Amul milk ad)ertisements are mainly done throu&h hoardin&s but on tele)ision the
ad)ertisement is bein& tele#asted timely and on the proper time or not.
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RESEARCH DESIBN
A esear#h desi&n spe#ifies the methods and pro#edures for #ondu#tin& a parti#ular study. It
is a map or3 blue print to whi#h the resear#h is to be #ondu#ted. :es#ripti)e resear#h desi&n
has been #onsidered as a suitable methodolo&y for present study and for data analysis.
SAMPLINB DESIBN
The samplin& desi&n used was on)enien#e samplin&+ whi#h is a non4probability samplin&
method. The #on)enien#e fa#tors were the a)ailability and approa#hability of the
respondents.
POPULATION
All types of outlets that sto#k and sell Amul milk in the markets. The outlets ha)e been
#lassified into as follows
on)enien#e stores? All kinds of shops in#ludin& bakeries
Kateries? all kinds of eatin&
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)ii. *udhapara.
)iii. -olba6ar.
i%. Telibandha.
%. *ramhpuri.
%i. 8ankali ,ara.
%ii Lakhe a&ar.
%iii. /antoshi a&ar.
%i). ,urani *asti.
%). /an
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P"i')"/ s!",$s
The primary data was #olle#ted throu&h $uestionnaires. They were filled usin& the s#heduled
method of data #olle#tion by the resear#her.
S$,!*#)"/ s!",$s
The se#ondary sour#es were used only for #olle#tin& information re&ardin& the sample they
were howe)er not used for analysis
LIMITATIONS O: THE RESEARCH
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1. /amplin& Te#hni$ue ? on probability samplin&
A non probability samplin& te#hni$ue is that in whi#h ea#h element in the
population does not ha)e an e$ual
#han#e of &ettin& sele#ted3
2. /ample Unit ? ,eople who buy milk a)ailable
in retail outlets+ superstores+ et#
E. /ample si6e ? 100 respondents A&e ran&in&
*etween 1? yrs to 65 yrs3
!. Method ? :ire#t inter)iew throu&h $uestionnaire.
5. :ata analysis method ? -raphi#al method.
". Area of sur)ey ? aipur :istri#t.
C. Timin& of sur)ey ? .00 am to 5.E0 pm.
:IELD >ORK- METHOD USED :OR DATA COLLECTION
• Nuestionnaire was prepared keepin& the ob
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• In order to &et #orre#t information I had to approa#h #onsumers ran&in& from 15 /"s
(! 65 /"s
• I )isited as many respondents as I #an and asked them their real likin&s about any
milk and also &ot an idea.
• It is really a H$",.$)* task to understand onsumer *eha)iour+ as the definition
su&&est+ “Consumer behaviour is a physical activity as well as decision process
individual engaged in when evaluating, acquiring, using and disposing goods and
services”.
• In order to #olle#t a##urate information I )isited to B)"#$*; P)"+s; T$'.$;
S$"s(!"$s )*# B/'*)si'+ ea#h and e)ery $uestion was filled personally by the
respondents and #he#ked properly.
• ,eople were not willin& to answer+ when they were #onta#ted between 1.00 pm to
5.00 pm+ the time when most of the people take rest durin& the s#or#hin& heat.
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CHAPTER-5
DATA ANALYSIS AND INTERPRETATION
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E5F of the respondents are male and "5F of the respondents are female. ;rom the
abo)e table we #an #on#lude that+ the ma
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@##upation o. of. respondents ,er#enta&e
F
*usiness 20 20
Kmployee 10 10
9ouse wife "5 "5
@thers 05 05
Total 100 100
S!",$s< P"i')"/ D)()
T).$ N!< 5
INTERPRETATION<
20F of the respondents are businessmen+ 10F of the respondents are employees+ and
"5F of the respondents are house wi)es+ 05F of the respondents are others &roup.
INCOME?
In#ome de#ided the pur#hasin& power of the #ustomer. If the in#ome is hi&h then+ they
&o for hi&h $uality irrespe#ti)e of pri#e of the produ#t. 9en#e in this resear#h I like to #olle#t
the data how in#ome is influen#e to pur#hase Amul Milk .
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Analysis of Monthly In#ome of the espondents
Monthly in#ome o. of respondents ,er#enta&e F
*elow 5000 EB EB
5001410000 E0 E0
10001415000 21 21
15001 G abo)e 11 11
Total 100 100
S!",$s< P"i')"/ D)()
T).$ N!< 5
INTERPRETATION?
As per the data EBF of the respondents earn per month below 5000+ E0F of the
respondents earn 5001 to 10000+ 21F of the respondents earn abo)e 10001 to 15000. 11F of
the respondents earn 15000 G abo)e. ;rom the abo)e table we #an #on#lude that ma
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BRAPH NO< 5
PURCHASINB :ACTOR<
Identifi#ation of )arious fa#tors plays a )ital role in #onsumer beha)ior
study. The )arious fa#tors su#h as $uality+ pri#e easy a)ailable et#. is influen#in& lot and
influen#es positi)ely. The followin& data re)eals how )arious fa#tors are influen#in& to
buyin& of Amul Milk and Milk produ#ts.
Analysis of ;a#tors to *uy AMUL Milk
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;a#tors o. of espondents ,er#enta&e F
Nuality EB EB
*rand ima&e 2B 2B
,ri#e 20 20
Kasy a)ailability 1! 1!
@thers il il
Total 100 100
O S!",$< P"i')"/ D)()
B")h N! 54
I*($""$()(i!*<
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EBF of respondents buyin& AMUL Milk for its -ood Nuality+ 2BF of respondents use
for its *and ame+20F of its ,ri#e #onsideration+ 1!F of its easy a)ailability of respondents
buyin& AMUL Milk G Milk produ#ts.
R$s!*#$*(s C!*s'(i!* ).i(/<
onsumption $uality is )aryin& with )arious respondents. /ome of #ustomer they buy
less $uantity and some them hu&e $uantity depends upon re$uirement and number of people
in their houses. The data is #olle#ted to know the )arious #onsumption patterns.
A*)./sis !& C!*s'(i!* !& A%$")$ Mi.+ $" D)/
onsumption o. of espondents ,er#enta&e F3
1 Litre C0 C0
24! Litre 10 10
More than ! Litres 20 20
Total 100 100
S!",$s< P"i')"/ D)()
T).$ *!< 55
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B")h *!55
INTERPRETATION<
C0F of the respondents are #onsumin& one litre per day. 10F of the respondents are
#onsumin& two to four litres per day. 20F of the respondents are #onsumin& more than four
litres per day.
;rom the abo)e table we #an #on#lude that ma
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" Months 05 05
142 Pears 15 15
E4! Pears 20 20
More than ! years "0 "0
Total 100 100
S!",$s< P"i')"/ D)()
T).$ *!< 56
INTERPRETATION?
As per the data &athered+ out of 100 respondents+ 05F of the respondents buyin& sin#e
last si% months+ 15F of the respondents from one to two years+ 20 F of the respondents from
three to four years+ "0F of the respondents buyin& AMUL Milk G Milk produ#ts from more
than four years.
;rom the abo)e table we #an #on#lude that ma
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Graph no: 5.6
OPINION TO>ARDS PRODUCT?
The beha)iour of users after his #ommitment to a produ#t has been #olle#ted with
respe#t produ#t and terms of satisfa#tion with ratin& s#ale. The followin& are the data
obtained related to AMUL Milk.
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A*)./sis !& R)(i* (!)"#s AMUL Mi.+ .
atin&s o. of espondents ,er#enta&e F3
K%#ellent 25 25
-ood !B !B
A)era&e 22 22
,oor 05 05
Total 100 100
S!",$< P"i')"/ D)()
T).$ *!< 58
INTERPRETATION<
25F of the respondents rated that AMUL Milk G Milk produ#ts are K%#ellent. !BF of
the respondents rated as &ood+ 22F of the respondents rated as A)era&e Nuality. 05F of the
respondents rated that AMUL Milk G Milk produ#ts are ,oor.
;rom the abo)e table we #an #on#lude that ma
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B")h *!58
VALUE :OR THE MONEY?
onsumers always think while payin& pri#e to the produ#ts su#h as how mu#h we are
payin& towards produ#ts and how mu#h we are &ettin&. This data is &athered to know what
)alue they are re#ei)in& from the AMUL Milk.
Analysis of alue for Money ,aid by the espondents
esponse o. of espondents ,er#enta&e F3
Pes " "
o 0! 0!
Total 100 100
S!",$s< P"i')"/ D)()
T).$ *!< 5?
INTERPRETATION?
38
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"F of the respondents feel that they &et the )alue for money they paid. @nly 0!F of
the respondents feel that they are not &ettin& the )alue for money what they paid.
;rom the abo)e table we #an #on#lude that ma
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S!",$s< P"i')"/ D)()
T).$ *!< 59
INTERPRETATION?
CF of the respondents were re#ommended Amul milk and+ 0EF of the respondents
were not re#ommended Amul milk and produ#ts to others.
;rom the abo)e table we #an #on#lude that ma
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CHAPTER-6
:INDINBS; SUBBESTION AND CONCLUSION
:INDINBS
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E. In#ome of the people de#ides the pur#hasin& power. The hi&h in#ome prefers to pur#hase
produ#t with the $uality+ freshness+ thi#kness+ et#. and )i#e )ersa. /o I su&&est Amul to
#on#entrate also on low in#ome se&ment to #apture market and position themsel)es in the
minds of the #ustomer with re$uired $uality and $uality milk.!. /in#e Amul is ha)in& loyal #ustomers and therefore should #on#entrate more on this fa#tor
throu&h )arious potential pro&rammes su#h as #ampai&n+ premium pa#ks+ offers et#.+ this
helps to in#rease the loyalty towards the Amul produ#ts.
5. Milk is ha)in& hi&h demand and it is #onsidered as a )ery essential produ#ts. In present
pra#ti#e+ pur#hase of milk is throu&h dealers. In this #onne#tion dealers approa#h towards the
produ#t.
". ustomer is influential+ hen#e I su&&est Amul to look after the dealers issue with due #are.
C. =hen produ#t possesses $uality and other important attributes naturally they propa&anda
about produ#t throu&h word of mouth and )i#e )ersa. Therefore if the $uality and attributes
are fine tuned a##ordin& to the needs will help the Amul to &et reputation and addition
market.
B. Introdu#tion of )arious e#onomi# produ#ts lies may help Amul to attra#t the e%istin& and new
#ustomers and may attra#t all in#ome le)el &roups. 9en#e I su&&est mana&ement to introdu#e
new produ#t line whi#h #an satisfy the entire &roup.
CONCLUSION?4
;rom the sur)ey #ondu#ted it is obser)ed that Amul milk has a &ood market share.
;rom the study #ondu#ted the followin& #on#lusions #an be drawn. In order the
dreams #omes into reality and for turnin& liabilities into assets one must ha)e to meet
the needs of the #ustomers.
The fa#tors #onsidered by the #ustomer before pur#hasin& milk are freshness+ taste+
thi#kness and a)ailability.
;inally I #on#lude that+ ma
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dealers and outlets+ promotion pro&rammers+ produ#t lines et#.+ definitely #ompany #an be as
a monopoly and stron& market leader.
Amul has also to take #are of its #ompetitors into #onsideration and more importantly its
#ustomers before makin& any mo)e.
43
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0I0LIOBRAPHY >E0LIOBRAPHY
Marketin& Mana&ement ,hilip 8otler+ The Millennium Kdition+ ,renti#e 9all @f India
,ri)ate Limited+ ew :elhi.
,eriodi#al? *usiness =orld
esear#h Methodolo&y? ..8othari + 2nd edition.
/. Murty and U *ho