Contents List of Graphs ……………………………………………………………………………………...…i Chapter 1: Introduction..........................................1 1.1 Genesis......................................................1 1.2 Nature and scope of project..................................2 1.3 Background of the place of work..............................3 1.4 Process Capabilities.........................................5 1.5 Products.....................................................6 1.6 Product description..........................................6 Chapter 2: Industry overview....................................11 2.1 What are Lubricants.........................................11 2.1.1 Industry Overview........................................11 2.1.2 Lubricant Industry Segmentation..........................12 2.2 Specialty Chemicals.........................................13 2.2.1 Innovations plus volumes.................................14 2.2.2 MNC’s captive audience...................................14 2.2.3 Markets in speciality chemicals..........................15 2.2.4 The staple areas.........................................17 Chapter 3: International Business at KAPL.......................18 3.1 International Business at KAPL..............................18 3.2 Supply chain at KAPL........................................20 3.3 E- Business at KAPL.........................................21 3.4 ‘5S’ in KAPL................................................26 Chapter 4: Research Methodology.................................32 4.1 Research methodology........................................32 4.1.1 Research design..........................................32 4.2 Data analysis...............................................34 4.2.1 Chi-Square Test..........................................43 Chapter 5: Conclusion...........................................44 5.1 Limitations.................................................44 5.2 Conclusion..................................................44 Index
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Contents
List of Graphs ……………………………………………………………………………………...…i
Chapter 1: Introduction.........................................................................................................................11.1 Genesis......................................................................................................................................11.2 Nature and scope of project.......................................................................................................21.3 Background of the place of work..............................................................................................31.4 Process Capabilities...................................................................................................................51.5 Products.....................................................................................................................................61.6 Product description....................................................................................................................6Chapter 2: Industry overview.............................................................................................................112.1 What are Lubricants................................................................................................................11
2.1.1 Industry Overview............................................................................................................112.1.2 Lubricant Industry Segmentation.....................................................................................12
2.2 Specialty Chemicals................................................................................................................132.2.1 Innovations plus volumes.................................................................................................142.2.2 MNC’s captive audience..................................................................................................142.2.3 Markets in speciality chemicals.......................................................................................152.2.4 The staple areas................................................................................................................17
Chapter 3: International Business at KAPL.......................................................................................183.1 International Business at KAPL..............................................................................................183.2 Supply chain at KAPL.............................................................................................................203.3 E- Business at KAPL...............................................................................................................213.4 ‘5S’ in KAPL...........................................................................................................................26Chapter 4: Research Methodology.....................................................................................................324.1 Research methodology............................................................................................................32
4.1.1 Research design................................................................................................................324.2 Data analysis............................................................................................................................34
4.2.1 Chi-Square Test................................................................................................................43Chapter 5: Conclusion........................................................................................................................445.1 Limitations...............................................................................................................................445.2 Conclusion...............................................................................................................................445.3 Learning Experiences from the project...................................................................................45References..........................................................................................................................................46
Inde
x
International Marketing
Chapter 1: Introduction
1.1 GenesisThe boundary-less business world of today has seen organizations operating from multiple
locations across the globe. With the extension of area of operations, comes the challenge of
managing business operations in multiple countries. International marketing involves
coordinating the firm’s marketing activities in more than one nation. This report examines
the various tasks involved in international marketing of KAPL’s products discusses the
challenges present therein.
Chapter 1 of this report tells about the overview of the Krishna Antioxidants Pvt.
Ltd. Its products literature, process capabilities and organization structure.
Chapter 2 of this report explains the nature of industry i.e. Lubricant and specialty
chemicals in which company deals. It also reveals industry segmentation and
international sale volume of speciality chemicals.
Chapter 3 gives the idea about how exactly the process of International business
happens in the KAPL.
Chapter 4 explains the methodology that we adopted while conducting marketing
research. It includes,
1. Collection of data
2. Create a database according to the company standard.
3. Contacting the customer
4. Customer satisfaction survey
Chapter 5 gives the data analysis of the research
Chapter 6 includes conclusion and learning from the project.
Dr. V. N. Bedekar Institute of Management Studies 1
International Marketing
1.2 Nature and scope of projectThe project work is pursued as a part of MMS curriculum. It is undertaken as a traineeship
at Krishna Antioxidants Pvt. Ltd. The project is done under expert supervision and
guidance of Mr. Samir Gupta. The project is about the International operations of the
company and also efforts done to make improvements in the customer acquisition process
for better results.
At Krishna Antioxidants Pvt. Ltd., initially we were imparted process and product
knowledge. We were given sufficient time to know about the products, and all other
business activities. The main aim was to develop business in international market and for
this different ways were tried and implemented. The project dealt with various fields like,
oilfield, speciality chemicals etc.
Thus it gave me the opportunity to learn about the all the products related to the various
industries and its international market. Our task was divided into following phases;
1. Product Knowledge: This included theoretical knowledge about the products which
needed to be marketed.
2. Creating Database: This included implementation of knowledge imparted to us and test
of our management skills.
3. Customer satisfaction survey: This includes, customers view about the company and its
product. From this survey we understand that they are keen to retain business relationship
with us in future.
4. Implementation at corporate level: This included the implementation of all the
Knowledge and ways learnt for the pitching and extracting business out of the corporate.
With the end of 7 weeks every phase was completed and it gave us the real experience of the
corporate world.
This project summarizes the work and experience gain at Krishna Antioxidants Pvt. Ltd.
And brief overview of international operation of the business.
Objective
To identify the potential customers of the company across the world in order to
expand the international business and find whether existing customers are satisfied
with the KAPL’s service or not.
Dr. V. N. Bedekar Institute of Management Studies 2
International Marketing
1.3 Background of the place of work
Krishna Antioxidants Pvt. Ltd.1
Founded and incorporated in 1991, Krishna Antioxidants Pvt. Ltd. has evolved to be one
of the leading privately owned specialty chemicals producers in India.
Over the last decade, company has developed core strength in producing a comprehensive range of
specialty chemicals, sold under the CRISTOLTM trade name, that deliver Quality, Reliability &
Performance. These products are continuously updated to meet the requirements of their customers
and the latest industry standards.
Company also provides technical services to tailor make their products to meet specific
requirements of customers.
Company’s range of performance specialty chemicals is complemented by its contract
manufacturing business; all backed by innovative approach to the development and production of
new specialty chemicals.
Manufacturing site of company is located about 300 kms. from Mumbai at Chiplun, Dist. Ratnagiri,
Maharashtra. The site can be conveniently reached by road or by express rail from Mumbai.
Quality policy
Krishna Antioxidants Pvt. Ltd. is an ISO 9001-2000 company with an uncompromising attitude
towards quality of chemicals which they produce and the service which they provide to their
customers. Company’s quality systems are controlled by a professionally qualified and experienced
management team that ensures that quality standards are met with at all times. Company has a
dedicated analytical laboratory attached to production facility for all R&D activities, quality
assurance, quality control, production control and compliance requirements.
As per the company’s Quality Policy, company has a sacrosanct commitment to achieve full
customer satisfaction. They achieve it by ensuring that everyone understands and meets the
customer requirements.
1 www.cristol.co.in
Dr. V. N. Bedekar Institute of Management Studies 3
International Marketing
Company has an intensive training programme because they never lose sight of the fact that
"Quality is a race without a finishing line".
1.3.1 Organization Structure
Dr. V. N. Bedekar Institute of Management Studies 4
International Marketing
1.4 Process Capabilities
Their plants are equipped with polyvalent facilities to carry out most unit processes such as:
Alkylation Ethoxilation
Blending Oxidation
Chloro-sulphonation Phosphitation
Chilling Polymerization
Compounding Reduction
Condensation Sulphation
Distillation Sulphonation
Drying Neutralization
Epoxidation Nitration
Esterification Washing
Contract Manufacture
They successfully executed several projects of contract manufacture for a range of speciality
chemicals, which have been undertaken both for major multinational chemical companies
and for smaller/medium companies seeking independent, third party confidential contract
manufacture. These businesses are conducted under terms of strict confidentiality.
Dr. V. N. Bedekar Institute of Management Studies 5
International Marketing
1.5 Products
Industry Classification
Biofuels (Biodiesel)
Coatings/Paints/Inks
Crop Protection
Lubricants
Oilfield Drilling and Exploration
Personal Care
Pharmaceuticals
Plastics
Refineries
Rubber
Textile Chemicals
Water Treatment
1.6 Product description
Biofuels: KRISHNA offers an extensive range of Flow improvers / pour point
depressants for Biofuel formulations.
Biofuels are gaining importance in the backdrop of increased fossil fuel prices driven by
reduced supplies and increased concern about environmental pollution. The advantages
of these alternative fuels are their higher content of oxygen leading to a more complete
Dr. V. N. Bedekar Institute of Management Studies 6
hydraulic oil etc. are examples of industrial oils.
Greases are mixture of a thickening agent like soap with oil. The soap may be metallic soaps
like lithium, calcium etc. Greases are used where lubrication by oil is not possible. For example
wheel bearings, chassis of vehicles.
2.1.1 Industry Overview
These are exciting times for the lube industry in India. Each one of the vast contingent of 22
Multinationals and a total of 80 big & small players are vying for a pie of Rs.5500 Crore market.
Worldwide established brands, some of them albeit new to India, like Shell, Mobil, Caltex, Elf,
Pennzoil are fighting it out with established Indian brands like SERVO & others to establish their 2 Sudeb Gupta & Subimal Mondal, LUBE Industry-‘Fortune’ favors the best
Dr. V. N. Bedekar Institute of Management Studies 11
International Marketing
foothold in the 6th largest lubricant market in the World. Compared to the average World
consumption of 35 Million tonnes per annum & Asia-Pacific region consumption of 7.5 million
tones, the Indian lube industry with annual demand of 1 million tonnes is just behind Japan and
China in Asia having a demand growth rate of 4% compared to the World growth rate ranging
between zero to 2%. That is the lube industry in India today.
Prior to 1992 the lube industry in India was controlled by the 4 major Public Sector Oil
companies namely Indian Oil, HPC,BPC & IBP and a handful of private companies like Castrol,
Gulf, Tidewater & others. With the distribution & canalisation of base oil import being controlled
by the Government of India, the PSU Oil Companies controlled 90% of the market share. The
decanalisation of the lube base oil imports in 1993 by the Govt. of India followed by reduction of
import duty on lube base oils from 85% to 30% and gradual scrapping of administered pricing
observed the announcement of almost a new lube venture every month during 1994. Most of the
new entrants formed associations with Indian companies both in the Private & Public sectors. All
these new entrants are targeting for a very small share of the market considering that even 1%
market share means a sale of Rs.55 Crores.
The Indian Oil controlled 54% of the lube market out of total PSU's market share of more
than 90% during 91-92. The Government policy of deregulation followed by entry of multinationals
through JVCs had its effect on the market dominance of PSUs. This has been followed by sudden
entry of lot many players, each one claiming to have some international collaboration and a
`foreign' brand name. This had its initial impact and illusions in the market and the market became
more volatile. During these phases marketing channels of distribution had drifted from petrol
stations to bazaar trade.
2.1.2 Lubricant Industry Segmentation
The lubricant industry can be divided into two major categories i.e., Automotive &
Industrial brand of lubricants. The industrial segment basically comprises of Core Sector industries
like Defence, Railways, State Transport Undertakings, Steel Plants, Coal Mines, Fertilizers, Power
Houses, Chemicals & Heavy Engineering Industries. In the industrial segment, the PSUs could
successfully maintain their stronghold due to the reasons that the requirement is most end use