jk report

1

JK TYRES

A Practical Training Report

On

“MARKETING”

Undertaken At

JK TYRE IND.

JAIPUR.. (Rajasthan)

Submitted in partial fulfillment for the award of the degree of

BACHELOR IN BUSINESS ADMINISTRATION

2008-2011

SUBMITTED TO: SUBMITTED BY:

Mr. RAMAKANT SINGH NEHA MAM

BBA DEPARTMENT

APEX INSITUTE OF MANAGEMENT & SCINCE

MANSAROVER, JAIPUR

2

JK TYRES

SUMMER TRAINING

REPORT

ON

“A STUDY OF INCREASING MARKET SHARE THROUGH PERSONAL SELLLING”

FOR

JK TYRE & INDUSTRIES LIMITED.

Under the supervision of: Under the guidance of:

MR. PRABASH KAMISHRA MR.RAJAT Area Manager M.B.A Faculty

Submitted by:

RAMAKANT SINGH BBA 3rd Year

APEX INSITUTE OF MANAGEMENT & SCINCE

JAIPUR

3

JK TYRES

4

JK TYRES

SUMMER TRAINING REPORT ON

“A STUDY OF INCREASING MARKET SHARE & PRODUCT SELLING BY PERSONAL SELLING”

FOR

JK TYRES & INDUSTRIES LIMITED

5

JK TYRES

PREFACE

In spite of the theoretical knowledge gained through classroom study , a

person is incomplete if not subjected to practical exposure of real

corporate world .He may have to face hurdles, which will be difficult to

overcome without any first-hand experience of business . In this context,

research program has been designed to make the person aware of

Happenings of the real business world. In training period, I worked upon

the analysis of JK TYRES Fitment & DEALER SHIP SURVEY in JAIPUR

by the market survey, customer attitude, and dealer preference Through

the personal contact, interview and questionnaire .During summer

Training, I got an opportunity to apply my theoretical Knowledge and

meaningful concept to actual business condition and to Familiarize with the

marketing activities of the products . All the works done on this project

report is confined to my broad objective.

6

JK TYRES

7

JK TYRES

ACKNOWLEDGEMENT:

I would like to pay my gratitude to Mr. R.K. Jagged, Sales Manager, and

Mr. Prabash Khamresa, Area Manager for his guidance and support. I am

extremely grateful and convey my deep sense of gratitude to for their

support and professional assistance because of which I have opportunity to

understand the managerial aspects and appreciate the rich professional

culture more fully.

Also I would like to thank to Mr. Rajendra Singh, Senior Sales Officer

and all the members of J.K. Tyres and Industries Ltd. for their kind support.

Finally, I am extremely thankful to the, Mr. RAJAT of my college for giving

me the opportunity to take training in an industry.

I apologies to any one I have missed.

8

JK TYRES

TABLE OF CONTENT

PART-1

INTRODUCTION TO INDIAN

TYRE INDUSTRY.

COMPANY PROFILE.

PART-2

OBJECTIVE OF STUDY.

NEED OF THE STUDY.

LIMITATION OF THE STUDY.

RESEARCH METHADOLOGY.

PART-3

DATA ANALYAIA & INTERPERTATION.

PART-4

FINDING

SUGGESSION

CONCLUSION

9

JK TYRES

INTRODUCTION TO TYRE INDUSTRY

The origin of the Indian Tyre Industry dates back to 1926 when Dunlop

Rubber Limited set up the first tyre company in West Bengal. MRF followed

suit in 1946. Since then, the Indian tyre industry has grown rapidly.

Transportation industry and tyre industry go hand in hand as the two are

interdependent. Transportation industry has experienced 10% growth

rate year after year with an absolute level of 870 billion ton freight. With an

extensive road network of 3.2 million km, road accounts for over 85% of all

freight movement in India.

MAJOR PLAYERS:-

MRF APOLLO JK TYRE CEAT BIRLA GOODYEAR

10

JK TYRES

FINANCIAL REPORT ON TYRE INDUSTRY:-

Financial Year 2007-2008 (Est.)

Turnover of Indian Tyre Industry  Rs. 20,000 Crores

Tyre Production (Tonnage) 11.35 lakh M.T.

Tyre Production – All Categories (Nos.)

811 Lakh

Tyre Export from India (Value) : Rs. 3000 (est) crores

Number of tyre companies: 43

Industry Concentration 10 Large tyre companies account for over 95% of total tyre production.

Radialisation Level - Current (as a % of total tyre production) 

Passenger Car tyres: 95% Light Commercial Vehicles: 12%Heavy Vehicles ( Truck & Bus ): 3%

Calendar Year 2007 (Est.)

Turnover of Indian Tyre Industry  US $ 4600 Million

Installed Capacity (Nos.) 85 Million

Capacity Utilitsation 87%

Total Tyre Production (Nos.)  78 Million

Total Tyre Import (In 000 Nos.) 2077

Government Policy

Tyre Industry Delicenced since 1987

Export (of tyres and tubes) Freely allowed

Import (of new tyres and tubes) Freely allowed Since 2001 except Truck / Bus (Radial Tyres), which is in the Restricted List from 24th Nov. 2008 onwards.

Import Policy for Used / Retreaded tyres:

Restricted Since April, 2006

ENVIORNMENT ANALYSIS:-

11

JK TYRES

Porter's Model 

Entry Barriers: High The entry barriers are high for the tyre industry. It is a highly capital intensive industry. A plant with an annual capacity of 1.5 million cross-ply tyres costs between Rs. 4,000 and Rs. 5,000 million. A similiar plant producing radial tyres costs Rs. 8,000 million.

Inter Firm Rivalry: Low

The tyre industry in India is fairly concentrated, with the top eight companies accounting for more than 80% of the total production of tyres.

Threat of Substitutes: Low but IncreasingDuring the FY2002, over 1,10,000 passenger car tyres were imported. This constitutes over 2% of total radial passenger car tyre production in the country. However, with the reduction of peak custom duty, the import of tyres is likely to increase.

MARKET SEGMENTATION :-

Bargaining Power of the Buyers: High

The OEMs have total control over prices. In fact, the OEMs faced with declining profitability have also reduced the number of component suppliers to make the supply chain more efficient.

Bargaining Power of the Suppliers: High

The tyre industry consumes nearly 50% of the natural rubber produced in the country. The price of natural rubber is controlled by Rubber Control Board and the domestic prices of natural rubber have registered a significant increase in recent times.

12

JK TYRES

INDIAN TYRE INDUSTRY

COMMERCIAL VECHILE PASSENGER VECHILE OTHERS

TYRES (76%) TYRES (22%) (2%)

MHCV LCV TRACTORS PASS. CAR MOTERCYCLE ADV OTR INDUSTRIAL (60%) (7%) (9%) & MUV & SCOTTER

CE 14% 18% 44% 39% 52%REPLACE-MENT 63% 53% 52% 55% 47%EXPORT 31% 29% 5 % 6% 1%GOVTSALE 2% - - - -

13

JK TYRES

Growth of Tyre industry in India

The Indian tyre industry is expected to clock a tonnage growth of 9-10 per

cent over the next five years, according to a study by Credit Analysis and

Research Limited (CARE), a noted rating firm that offers a wide range of

rating and grading services across sectors.

While the truck and buses tyres are set to register a CAGR (compounded

annual growth) of 8 per cent, the LCV (light Commercial vehicles) tyres are

poised for a CAGR of 14 per cent.

According to the CARE study, the growth in the Indian tyre industry will be

fuelled by the expansion plans of the automobile companies, government's

focus on development of road infrastructure and sourcing of auto parts by

the global Original Equipment Manufacturers (OEMs).

However, the tyre industry has to grapple with raw material price volatility,

rupee

Appreciation and cheap Chinese imports.

The tyre industry in India recorded a CAGR of 9.69 per cent during 2002-

07.

The size of the industry was estimated at Rs 19,000 crore in 2006-07 with a

total

Production of 736 lakh units of tyres.

14

JK TYRES

In 2006-07, the replacement tyres accounted for 53 per cent of the total

tyre tonnage offtake, followed by 31 per cent share of OEM and 15 per

cent by exports.

Out of the 736 lakh ton of tyres, 54, 49,560 units worth Rs 2,600 crore were

exported.

The exports from India posted a CAGR of 13 per cent in unit terms and 18

per cent in value terms between 2002-07.

The study points out that on the export front, the Indian tyre companies

need to explore newer markets as the existing market for bias truck tyre

which accounts for about 45 percent of the total export volume is nearing

saturation.

This apart, with rationalization catching up in the foreign markets, the

Indian tyre

Companies need to graduate to radial tyres so as to protect their share in

the export

Market.

At present, radicalization of tyres is low in India except for the car tyre

market where 95 per cent of the tyres is radicalized while cross ply tyres is

preferred in all other categories.

15

JK TYRES

Cross ply tyres are preferred owing to poor road conditions, overloading in

trucks, higher cost of radial tyres and poor awareness among the tyre users

in the country.

The CARE report observes that though the tyre technology in India has

witnessed several developments with continuous innovation, the domestic

tyre manufacturers still lag behind their global counterparts in terms of

product differentiation.

Global tyre makers offer a wide change of products like tyres with pressure

warning systems, run flat tyres, eco-friendly tyres and energy efficient tyres.

16

JK TYRES

Tyre Demand by Markets

Vehicle Manufacturers or OEMs

The demand from the OEM segment is a derived one and directly

correlated to the level

of automotive production. The OEMs demand varies significantly across

categories from

Between 8% for truck and bus tyres to over 50% for some other segments

like, jeeps and

Mopeds.

Replacement Market

The replacement market, including State transport undertakings and

Government buying, accounted for around 59% of the total tyre demand in

FY2003. The demand in the replacement market depends on the vehicle

population, the level of economic activity, life of the products transported,

kilometreage per vehicle, the price of the tyres and the quality of the

existing road infrastructure. Additionally, the replacement market, which

offers better margins, is extremely competitive. The replacement market is

dominated by the truck and buses segment, which accounted for 22% of all

tyre sales in the replacement market .The large size of the replacement in

turn is determined by the interplay of various factors as discussed below:

17

JK TYRES

The replacement demand may be lower because of longer replacement

intervals and lower business mileage if the economic activity slows down.

Replacement demand in India is higher because of a low vehicle

scrap page rate.

Poor road conditions by lowering the life of tyres, have a positive

impact on replacement demand.

Stricter enforcement of the MV Act, which seeks to prevent

overloading of vehicles, will result in an increase in the life of tyres

and thus impact replacement demand negatively.

Applying a new tread or "re-treading" can extend the life of the tyre at

a significantly lower cost, thereby lowering replacement demand. In

India, retreading finds greater acceptance in the commercial

segment.

Radialization of tyres is likely to result in lower replacement demand.

While car radicalization in the country has reached a level of 65%,

truck and bus radicalization stands at just 2-10%. Poor road and

support infrastructure as well as traditional vehicle designs act as a

barrier to radicalization in the commercial vehicle segment. Radial

technology for trucks and buses would help increase operating

efficiencies by delivering better mileage and minimizing wear and

tear.

18

JK TYRES

According to ATMA, even if only 25% of the truck and bus segment is

radicalized, the savings in fuel costs would be around Rs. 7,500 million.

Introduction of tubeless tyres in the passenger car segment is also

likely to affect replacement demand adversely

Introduction of eco-friendly radial tyres such as hyper-bonding silica

technology in the passenger car segment may affect replacement

demand adversely.

Exports:

In the light of the prevailing domestic market situation, most of the

tyre manufacturers have taken to exports to reduce inventory build-

ups. In FY2007-08, Indian tyre exports stood at Rs. 3000 cror appx.

(15% of the total industry) in value terms. Indian companies have

currently entered into sourcing agreements (for tyres) with

neighboring countries. For instance, Ceat and J K Tyres have

sourcing agreements with tyre producers in Sri Lanka and China.

This is likely to have a positive impact on tyre exports from India

19

JK TYRES

COMPANY PROFILE

JK Tyre and Industries Ltd. is a mega corporate

entity that is emblematic of excellence,

diversification and pioneering new

technologies. A part of JK Organization which

ranks among the leading private sector groups

in India, JK Tyre and Industries is committed to

self reliance and follows an ethic that views

customer satisfaction as an index of

achievement.

HISTORY:

JK Tyre started manufacturing of tyres in 1977 with a capacity of 0.5

million tyres per annum which has grown over the years to its present

capacity of 8.7 million tyres per annum. It has four modern plants in India,

strategically located in the State of Rajasthan, Madhya Pradesh and

Karnataka. The Company produces and sells tyres and tubes under well

known brand names of "JK Tyre” and “Vikrant” for all categories of four

wheelers. 

20

JK TYRES

INTRODUCING JK TYRE AND INDUSTRIES :

JK Tyre has emerged as India’s leading four-wheeler tyre manufacturer and

the amongst top 20 tyre manufacturer in the world. As the pioneers of

Radial technology in India, the company brought the radial revolution by

introducing Passenger Radials way back in 1977 and has taken forward this

revolution in the Truck and Bus segments in 1999. The Company continues

to be the undisputed Industry Leader in Radial tyres in India – the only tyre

manufacturer, offering full range of radial tyres for Cars, Jeeps, SUVs,

LCVs, Truck & Bus and Tractors. The company’s state-of-the-art Truck/Bus

Radial Plant in Mysore (Karnataka) is the only of its kind in India. Over the

years, JK Tyre has achieved innumerable feats including the top honors

such as “The Brand Equity Award”, “CII-Exim Bank Award” and several

National awards in Technology, Manufacturing, Quality, Export and

Environment year after year. 

21

JK TYRES

Mission & Vision

Vision: To be amongst the most admire companies in India committed to be

Excellence.

Mission:

a. Be a customer obsessed company

b. No.1 Tyre brand in India

22

JK TYRES

c. Deliver enhanced value at all stakeholders

d. Most profitable Tyre Company in India

e. Enhance global presence through acquisition

f. Motivated and committed team development for high performance

organization

CORE VALUES:

JK Organization has been a forerunner in the economic and social

advancement of India. It always aimed at creating job opportunities for a

multitude of countrymen and to provide high quality products. It has striven

to make India self reliant by pioneering production of a number of industrial

and consumer products, by adopting the latest technology as well as

developing its own know-how. It has also undertaken industrial ventures in

several other countries.

JK Organization is an association of industrial and commercial companies

23

JK TYRES

and charitable trusts. Its member companies, employing nearly 50,000

persons are engaged in the manufacture of a variety of products and in

diverse fields of commerce.

Trusts are devoted to promoting industrial, technical and medical research,

education,religious values and providing better living and recreational

facilities. With the spirit of social consciousness uppermost in mind, J.K.

Organization is committed to the cause of human advancement.

MILESTONES:

1933 First in India to manufacture Calico Prints- Juggilal Kamlapat

Cotton

Spinning and Weaving Mills Co. Ltd., Kanpur.

1940 First in India to manufacture steel Bailing Hoops for jute and cotton

and to make the country self sufficient by meeting the entire

demand J.K. Iron & Steel Co. Ltd., Kanpur.

1944 First in India to produce Aluminium virgin Metal from Indian

Bauxite-

24

JK TYRES

Aluminium Corporation of India Ltd., Jaykaynagar.

1949 First in India to manufacture Engineering files- J.K. Engineers

‘Files,

Bombay.

1959 First in India to set up a continuous process Rayon Plant.

1960 First to manufacture a Hydraulically Operated Cane Crushing Mill

For Khandsari Sugar Plant and completed 100 ton plant-J.K. Iron &

Steel Co. Ltd., Kanpur.

1961 First in world to set up a plant for production of Hydrosulphite of

Soda by Sodium Amalgam Process- J.K. Chemicals Ltd., Bombay.

1965 First to produce Sodium Sulphoxylate Formaldehyde (Rangolite C

of

Formosul) in India - J.K. Chemicals Ltd., Bombay

1968 First to manufacture TV Sets in India- J.K. Electronics, Kanpur. First

To manufacture Metallic Cops for Synthetic Filament yarn industries

in India- Syntex tube works, Kanpur.

1969 First to manufacture Acrylic Fibres- J.K. Synthetics Ltd. Kota

First to develop differentially Dyeable Nylon- J.K. Synthetics Ltd.,

Kota.

25

JK TYRES

1973 First in India to license Synthetic Fibre Technology to third party as

well as the first to manufacture Synthetic Fibre Machinery Fibretec

Engineers & Manufacturers, Dadri.

1976 First in India to produce steel belted Radial Tyres for passenger

cars,

trucks and buses- J.K. Tyre Plant, Kankroli.

1980 First in world to make Steel Belted Radial Tyres for three wheelers-

J.K. Tyre Plant, Kankroli.

1984 First in India to produce white cement through dry process- J.K.

White cement. Gotan.

1985 First in India to produce Cathonic Dyeable Polyester Fibre- J.K.

Synthetics Ltd., Kota.

First in India to produce Nylon Tyre Cord based on Spin Draw

Technology- J.K. Synthetics Ltd., Kota.

1989 First in India to produce magnetic tapes with cobalt technology J.K.

magnetics, Surajpur.

1991 Banmore Tyre Plant (BTP) set-up with a capacity of 5.7 lacs tyres

p.a

26

JK TYRES

1992 R & D center set-up at HASTERI.

1994 India's first T-Rated tyre launched.

Banmore Tyre Plant (BTP) crossed 100 TPD.

1995 Mercedes Benz Launched on JK steel radials.

first tyre manufacturer in the world to get ISO 9001.

1996 India's first dual contact high traction steel radial- aquasonic

launched Introduced steel wheels.

1997 Awarded the National Export Award for 96-97.

Vikrant Tyres (VTL) acquired.

India's first H rated tyre launched.

Only Tyre manufacturer to get 'E' Mark certification.

HASETRI became the first research institute in Asia to get ISO 9002.

1998 First tyre manufacturer in the world to get QS 9000.

Awarded CAPEXIL's highest export award for 1997-98.

1999 Synergy with VTL in procurement, marketing and production

flexibility.

Completion of state of the art modernisation of truck radials.

JK Tyres ranked 16th largest Tyre Company in the world.

ISA - 14000 accredition for environment & safety.

27

JK TYRES

2000 JK introduced National Go-Karting Championships.

2001 Recieved CAPEXIL award.

J.K. Industries recieved FOCUS LAC export award for the year 1999-

2000.

Commendation Certificate of CII Exim.

IInd National Go-Karting Championships held.

TECHNOLOGICAL ADVANCEMENT:

JK Tyre has a Technical tie-up with M/s Continental AG of Germany – the

4th largest in the world. JK Tyre has been the store house of producing

innovative products in the market. The company was first to launch High

28

JK TYRES

Performance ‘H’, ‘V’, and ‘Z’ rated tyres in India. Besides this, JK tyre was

also the first company to launch ‘Eco Friendly – Green Tyres’.

To stay at the forefront of technological advancements, company has set

up India’s biggest & most advanced research institutes Hari Shankar

Singhania Elastomer & Tyre research Institute (HASETRI) and Raghupati

Singhania Centre of Excellence for Tyre & Vehicle Mechanics, Jointly with

IIT. Which remains the nerve centre for providing cutting edge

technology? 

The company is a leading Supplier to all Major OEMs – Ashok Leyland,

Tata Motors, Eicher Motors, Force Motors, Maruti Suzuki, Mahindra &

Mahindra, Mahindra Renault, Punjab Tractors, Swaraj Mazda, TAFE etc. 

Expansion Plans :

The company is fast expanding its capacity, to cater to the rising demand

and drive growth. JK Tyre has undertaken expansion of Rs.480 crores to

29

JK TYRES

increase the capacity and is further planning to invest Rs.1200 crores in

the next 3-4 years to fulfill the growth demand for JK Tyre.  The pace of

radialization of truck/bus segment in India is picking up fast. It is expected

to move from nearly 7% to 15% in the next 5 years. To fulfill this rising

demand, JK Tyre is expanding its trucks and bus radial capacity from 3.67

lac to 8.00 lac tyres, i.e. more than double. The company is also setting up

capacity to manufacture specialty tyres for niche markets.

Motorsport:

Motorsport in India is synonymous with JK Tyre.

Building infrastructure to organizing events for

motorsport, JK Tyre has single handedly catapulted the

popularity of the sport to remarkable heights. Today JK

Tyre National Racing Championship and Karting

championships are the two most awaited events by

Indian youth. These events are the only platforms

available in the country to nurture young talents. By

winning the national rally championships 8 times team

JK Tyre has been rated the best in the motorsport in the

country. JK Tyre prodigies like Narain Kartikeyan, Karun

Chandhok, Armaan Ebrahim are already making India

proud and the young crop of talent is ready to represent

India internationally.

JK Tyre's No 1 market position:

30

JK TYRES

In what is being considered as a landmark decision in the highly

competitive Indian tyre industry, the Advertising Standards Council of India

(ASCI) has upheld JK Industries Ltd's claim of being India's No 1 tyre

manufacturer in the four-wheeler tyre segment, reaffirming JK's leadership

position in the market.

Expressing his happiness over ASCI's judgement, JK Tyre marketing director T K Banerjee says:

''This is a fabulous example of why all of us need to have faith in bodies like ASCI. We believe

that the process of self-regulation in Indian advertising is working for both companies and

agencies. We also hope that this would encourage various players to bring superior technology

and consumer service standards and claim leadership in a more healthier and competitive

manner.''

The case was started when few competitors filed a complaint with ASCI

against JK Tyre's print advertisement, in which JK Tyre announced its

numero uno position in the fourwheeler tyre segment, quoting production

figures compiled by Automotive Tyre Manufacturer Association and other

authentic industry sources.

But the competitors contradicted the claim, stating the fact that market

figures from a company's annual report should be used as authentic data to

claim one'sleadership, not the production figures.

But ASCI considered the case at the Consumer Complaints Council on 23

May 2002 and upheld JK Tyre's contention that production figures, as

compiled by authentic industry sources and used by JK Tyre to claim its

leadership, is a valid and applicable comparison platform

31

JK TYRES

Hence, JK Tyre's claim as No 1 tyre manufacturer in India is a perfectly

valid and correctstatement. This also reflects ASCI's agreement to JK

Tyre's viewpoint that figures, as stated in the one's annual report, could

actually be misleading and could include revenues from non-tyre-related

businesses also. JK Tyre, pioneers of radial technology in India, is today

India's largest manufacturer of tyres in the four-wheel segment, including

tyres for trucks and buses, LCVs, passenger cars, jeeps, tractors, ADVs

and OTRs. After 25 years of pioneering world-classtechnologies in India,

JK Tyre has recently launched the country's first eco-friendly coloured tyres

as well as steel-belted tractor rear radials.

PRODUCT RANGE

BIAS

SIZE TYPE

32

JK TYRES

RIB

9.00-2014PR JET RIB 9.00-2016PR JET RIB 10.00-2016PR JET RIB

JET MILES

SEMI LUG

9.00-2014PR TRACK TUF 9.00-2016PR TRACK TUF

10.00-2016PR TRACK TUF

LUG

NORMAL LOAD

8.25-2014PR JET TRACK9.00-2014PR JET TRACK

9.00-2016PR JET TRACK10.00-2016PR JET KING11.00-2016PR JET KING12.00-2016PR JET KING

MODERATE

8.25-2014PR JET TRACK9.00-2014PR JET TRACK9.00-2016PR JET TRACK10.00-2016PR JET CLASSIC10.00-2016PR TRACK 39 &

DX10.00-2016PR TRACK 39 DX

RADIAL

SIZE TYPE

33

JK TYRES

LUG

9.00-2016PR JET STEEL-JDH10.00-2016PR JET STEEL-JDC11.00-2016PR JET STEEL-JDC

SEMI LUG

09.00-2016PR JET WAY JUC10.00R2016PR JET WAY JUC11.00R2016PR JET WAY JUC

LUG 9.00R2014/16PR JET WAY JUC 10.00R2016PR JET WAY JBR 11.00R2016PR JET WAY JUH 12.00R2018PR JET WAY JUH

34

JK TYRES

JET RIB TYREFEATURES & BENEFITS : Deep grooves High mileage High skid

resistance Unique siped pattern design Helps easier steering Improves

wet road grip Fluted shoulders Quicker heat dissipation for cooler

running Tough casing Greater safety More retreads and greater

economy

JET STEEL RADIAL TYREFEATURES & BENEFITS : Aggressive stud pattern Excellent perform on

indian roads Wider and deeper tread with more "land" High Mileage

Tread blocks with sipes at center Maximum traction and best cut

resistance Wide robust shoulder blocks Prevents shoulder wear, tearing

& chunking Casing and design optimised with "CAD" & "finite element

analysis" Excellent structural durability, directional

WIDER THREAD TYREFEATURES & BENEFITS : 1. Optimised curve grooves coupled with

angled sipes Most efficient water drainage from centre of contact patch,

thus low aquaplaning 2. Stiffness gradient across the tread arc with

stifness increasing towards outer shoulder of tyre.

DEEP TREAD TYREFEATURES * Deep tread for extra mileage. * Big tread blocks and open

shoulder for better on-off road application. * Unique cavity design and

strong steel construction for extra load. * Uniform pressure distribution

across tread with flat tread for smoother wear."

35

JK TYRES

HIGH PERFORMANCE TYRESFEATURES * Four rib highway pattern with more land in tread for higher

mileage * Very flat tread profile for excellent uniform contact for even

wear * Wider shoulder rib for rigidity and even wear * Special groove

design to facilitate stone ejection and facilitate draining *

JET TRAK CLASSIC NYLON TYREFEATURES & BENEFITS * 16 PR Nylon Economy Tyre for Rear Fitment

on Normal and Moderate loading vehicles. * Wide Deep Pyramid Lugs

with special compounding to reduce damage from side wall impact and

avoid Lug Chipping. * Strong Shoulder designed to carry Loads under

any Road Conditions.

NYLON FRONT TYRE FOR TRUCKFEATURES & BENEFITS * 16 PR Nylon Tyre for Front Fitment in Trucks

and All Wheel Positions in Buses. * Aggressive 5 Rib Pattern for Easy

Steering. * Computer Designed Tread for Uniform wear and Smooth

running. * Multiple radius tread design for Better Road Contact which

Improves Mileage and Wear Nature and helps in Quicker Heat

Dissipation.

36

JK TYRES

PART-2

Objectives of the study.

Need for the study

Limitation of the study

Research Methodology of the study

37

JK TYRES

Objectives of the study:

To find out market share of JK Tyres.

To understand the marketing strategy of JK Tyres.

To focus on the Marketing mix of JK tyre

To evaluate the limitations of JK tyre.

To analyze the customer’s needs regarding the product and policies formulated by the company.

To find out the brand image of JK tyre

38

JK TYRES

Need for the study:

Management is like a coin having two sides. One is the theoretical part and

second is the practical part. In the theoretical part of management we learn

in our classroom from the lectures, seminars, group discussions that are

arranged from time to time.

To know the practical aspect of management a practical training is provided

to the students. The main idea behind practical training is to bring the

management students face to face with the actual environment of practical

management so that he/ she will be able to apply theory to practical

situation before finally moving into the professional world to show the

efficiency and capability.

The project study focused on “JK tyre” as a product and the subject is to

understand the mind set of different customers about the product. Being a

student of marketing management, the inquisitiveness to peep on practical

side of consumer perception promoted in study.

In this study efforts have been made to prepare the report as realistic as

possible.

39

JK TYRES

Limitation of the study:

The project surfers from the following limitations due to the inherent and

restrictive nature of the study undertaken:

Due to constraints of time, money and other resources applicable to

this study. This study is confined to only a few specified areas of and

is not comprehensive study of the customers of JK tyre all over north

india.

This study is restricted only to sample space chosen for the study.

Many respondents were not interested to give a requires time for

questionnaires

The areas covered under the surveys are jaipur.

40

JK TYRES

Research Methodology of the study:

SAMPLE SIZE: 275 trucks

METHOD OF COLLECTION: MARKET SURVEY (FITMENT SURVEY)

LOCATION: JAIPUR

DATA TYPE:

For the above study both type of data were used such as primary data and

secondary data. For primary data different areas of jaipur were being

visited and for the secondary data internet & reference books have been

used.

Collecting data from market through Fitment survey of Trucks on road.

Working on the data.

Graphical representation of results.

Analyzing the graph and driving further enquiries.

41

JK TYRES

UNIT -3

DATA ANALYSIS

AND

INTERPERTATION

42

JK TYRES

Table showing the market share in 10 wheelers tyre segment:

company

Tyre(in unit) Percentage(%)

1. Apollo

2. MRF

3. JK

4. Birla

5. Ceat

6. Others

310

260

302

268

49

61

24.80

20.80

24.16

21.44

3.92

4.88

total 1250 100

43

JK TYRES

INTERPERTATION:

From the above table and graph it is shown that the in 10 wheeler tyre

segment MRF occupy’s the first position. While JK and Appolo sharing the

second position together. While apart from these one’s Birla and MRF also

have a good stake in this segment.

44

JK TYRES

Table showing the market share in 6 wheelers tyre segment:

Company Tyre(units) %APOLLO 305 33.89MRF 223 24.78JK 187 20.78BIRLA 134 14.89CEAT 29 3.22

OTHERS 22 2.44

Total 900 100

45

JK TYRES

INTERPERTATION:In the 6 wheelers segment the market share have some changes, apart

from Apollo and MRF, Kaizen also has good presence in the market due to its cheap price and comparatively good quality.

46

JK TYRES

Total market share in 6 and 10 wheelers segment:

COMPANY TYRES(UNITS)

PERCENTEGE (%)

APOLLOMRFJKBIRLACEATOTHERS

TOTAL

615483489402 7883

2150

28.6022.4722.7418.70 3.633.86

100

47

JK TYRES

INTERPERTATION:

Looking at the combined market share of the 10 & 6 wheelers Apollo and

JK are the leader of the market containing 28.60% & 22.74% % of market.

MRF contain 3rd position with 22.47% of the market.

INTERPERTATION:

The market share of the different brands of the jk tyres is shown in the

above graph and table..if look the share of the jk tyre brand wise than we

find that jet one and jet track cover more than 70% of the market. Jet rib

also has its presence in the market.

48

JK TYRES

UNIT-4

FINDING

SUGGESSION

CONCLUSION

49

JK TYRES

Findings:

After taking the feedback of more than 100 customers the study reveals

that the buying behavior of the customer is very different according to the

size of their business. Big transporters mostly prefer JK TYRE and they are

less concern with the price the main concern of them is take quality and JK

TYRE providing them the same. While the small customers (owner of 1-5

trucks) mostly preferring the cheap tyres so most of them are using BIRLA

tyres. They are very much concern with the price of the tyre.

The customers are also having different experience on different brands. It

is found that many customers prefer JK’s guaranteed tyres such as “JET

TRAK 39” and economy class rib tyre “VIKRANT TRACK KING” for its

mileage & reliability but it is also true that many other brands such as “JET

MILES”, “JET PACE”, “JET SUPER LUG” do not have a strong place in

customers mind. The study shows that JK’s strong contender is APOLLO

whose quality was appreciated by many. APOLLO’s “XT-7” & “LOAD STAR

SUPER” are very much preferred. In guaranteed tyres BIRLA’s “SAMSON”

is the main contender of JK. Incase of normal loaded trucks customers

mostly rely on CEAT but in over load APOLLO & JK are reliable. Certainly

MRF has not a good reputation at all.

50

JK TYRES

1. JK is the market leader followed by APOLLO.

2. VIKRANT TRACK KING of JK is most used/preferred tyre overall.

3. In economy segment JK has Strong hold but premium segment is dominated by APOLLO.

4. JK Tyre is having edge breaking problem.

Suggestion:

1. JK Tyre is doing well in rib segment but they are based in only on one

brand “Vikrant”. So JK should tryto increase the awareness of other brands.

2. “Price-Quality relationship” needs to improve in premium rib and lug tyre

Segment.

3. Keep eye to reduce the cost of manufacturing. So price will further

reduced and competition will increased.

4. The company should look after its tread erosion/breaking problem.

51

JK TYRES

Conclusion:

1. The market share of JK Tyres in JAIPUR is more then 19 % in 10

Wheeler Segment.

2. The market share of JK Tyres In JAIPUR is more then 19 % in 6

Wheeler Segment.

3. The big transporters & customers are satisfied with the JK Tyres .

4. The prices of JK Tyres are not high against with the other Company

tyres.

5. After sale service (Claim) of JK Tyres is very good.

6. JK Tyres is the market king in case of the RADIAL Tyres.

52

JK TYRES

SWOT ANALYSIS:

STRENGTHS:

Strong brand image.

Being quality oriented rather than quantityOriented.

Large product width & line (product mix).

Economies of scale due to optimum capacity utilization.

Collaboration with Vikrant, know for their technological superiority. bringing together performance, economy, durability and comfort.

Strong financial positions.

Very large distribution channel.

Reasonable price.

Effective employee in JK.

53

JK TYRES

WEAKNESSES:

Less Brand Awareness

Less concern about small car segment

OPPORTUNITIES:

A burgeoning work force and growing middle class population.

High growth potential for its exports as demand for JK tyre in Europe

Increasing.

Strong brand image.

Being quality oriented rather than quantity

Oriented.

Large product width & line (product mix)

Indian customers are mainly value buyers demanding a better overall

package. JK is poised in a better position than other players in the

market to capitaliseon this opportunity

54

JK TYRES

THREATS:

Entry of new players with newer and better technologies in the small

car tyre segment.

So many close competitors like Appolo, Birla, Ceat, Modi, Kaizen etc.

APPENDIX

NAME:…………………..

JOB NO:…….

Q: 1- How many truck you have in 10 wheelers segment?

A: 5-10

B: 10-15

C: more than 15

55

JK TYRES

Q: 2- How many truck you have in 6 wheelers segment?

A: 5-10

B: 10-15

C: more than 15

Q: 3- Which company you prefer mostly in your truck?

A: JK

B: APPOLLO

C: MRF

D: OTHERS

Q: 4- Which type of Tyre you like to purchase in terms of price?

A: Cheapest

B: Reasonable

C: High

Q: 5-Are you satisfied with the price of JK tyre?

A: YES

B: NO

56

JK TYRES

Q: 6- How do you find the service of JK industry?

A: Good

B: Better

C: Average

57

JK TYRES

BIBLIOGRAPHY:

1. “Philip Kotler”, Marketing Management, Millennium edition.

2. www.parleagro.com

3. www.netmba.com

4. www.indiainfoline.com

5. www.financialexpress.com

6. Business line.

7. Brand Equity, Economic Times

8. www.coolavenues.com