Project

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INTRODUCTION

CUSTOMERSATISFACTION

Customersatisfactionreferstotheextenttowhichcustomersarehappy

with the products and services provided by a business firm. Customer

satisfaction levels can be measured using survey techniques and

questionnaires. Customer satisfaction plays a huge role in the success (or

failure) of a firm’s marketing campaign.Creating a successful marketing

strategy begins and ends with knowing your target audience. In a

competitive marketplace where businesses compete for customers,

customer satisfaction is seen as a key differentiator and increasingly has

becomeakeyelementofbusinessstrategy.

Inthiscontext,PhilipKoltersays,“ofthedozensofcategoriesofhuman

actionworking,sleeping,walking,eating,breathing,buyingandsoforththe

one of primary interest to the marketer is buying. The buyer’s decision

makingprocesscanbeveryelaborate”.Aspinpointingaconsumer’sbuying

decision is hard, it could be determined by his multi dimensional

personality.

Hence, from the fact that all of us are consumers onewayor another,

marketing manager must identify and measure the importance of his

customers.Gaininghighlevelsofcustomersatisfactionisveryimportantto

a business because satisfied customers aremost likely to be loyal and to

make repeat purchases and to use a wide range of products offered by a

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business. Knowing what your customer wants then makes it possible to

tailoreverythingyoudotopleasingthecustomerse.g.providingthegoods

thatcustomerswant,inthepackagingthattheywant,inretailoutletswhich

areconvenienttouseandwellplaced.

Theneed for achieving customer satisfaction is increasingdaybyday.

Thereasonisobvious.Modernworldiscompetitiveandconsumersoccupy

andpivotalposition.Allbusinessactivitiesaredirectedtowardshiminsuch

a manner that the customer satisfaction can be achieved. In the modern

world, products are produced and services and rendered as per the taste,

requirements and needs of the target customer. Otherwise, good/services

willbeleftunsold.

Whether the buyer is satisfied after purchases depends on the offer’s

performance inrelation tobuyer’sexpectations.According toPhilipKotler

“satisfaction is a person’s feelings pleasure disappointment resulting from

comparingaproduct’sperceivedperformance (outcome) in relation tohis

orherexpectations”.

Thefactorswhichleadtohighlevelsofcustomersatisfactionincluding:

Products and Services, which are customer focused and hence,

providehighlevelsofvalueformoney.

Customer Service, which gives personal attention to the needs of

individualcustomers.

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After Sales Service ‐ following up the original purchase with after

salessupportsuchasmaintenanceandcustomercontactsetc.

Customersatisfactionisseenasaproofofdeliveringaqualityproductor

service. It is believed that customer satisfaction brings sales growth, and

marketshare.Thisturnwillnotonlygeneratehigherprofitsbutwillprovide

competitive strength for long‐term business vitality and growth. The

followingfigureillustratesthesehypotheticalrelationships.

Relationshipmarketing

Relationship marketing involves creating, maintaining and chancing

strong relationships with customers and other stakeholders including

employee’sdealers,suppliersandshareholders.Itisanattemptatthelong‐

term relationship and is an exercise in brand building, which is an

interactionbetween thebrandand itscustomer.Relationshipmarketing is

on going interaction between a buyer and seller in which the seller

continuously improves its understanding of the buyer’s and he becomes

increasinglyloyaltotheseller.Itgoesbeyondconventionalmarketingseeks

to establish and enduring relationship with the customers. The ultimate

outcome is the building of unique to company assets called a marketing

network.

A marketing network consists of the company and its supporting

stakeholders(customers,suppliers,distributors,retailersandagenciesand

others)withwhomithasbuiltmutuallyprofitablebusinessrelationship.It

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is a thesisof salepromotion,which isa short term,exercisesa temporary

incentive for people to buy. Relationship market is the key to relating

customers.Thecompanyhopestoconvertmanyofitsqualifiedprospectsin

to first time customers, and to then convert those satisfied first time

customers in to repeat customers. Both first‐time customers and repeat

customersmaycontinuetobuyfromcompetitorsaswell.Thecompanyacts

to convert repeat customers in to clients.Thenext challenge is turn client

intoadvocates,customerswhopraisethecompany.Theultimateistoturn

advocates in to partners, where the customer and the company work

togetheractively.

Itshouldn’tbethoughtthatrelationshipmarketingisareplacementfor

transactional marketing as it has been practiced to date. Rather it is an

augmentationandarefocusingofthemarketingconceptwiththeemphasis

placed upon strategies to enhance customer relation and loyalty. In

transactional marketing, customer service commitment to quality is often

ignored, where as in relationship marketing the focus is on retaining the

customer the getting the repeat business. Hence the quality of products,

service and direct with customers receive a highly priority. Johnson &

Johnson sendsmailers and gift packs to expectantmothers and continues

therelationshipuntilthechildreachesadulthood.

One of the distinguishing characteristics of the relationshipmarketing

approach is that it places the emphasis upon the need to take a cross‐

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functional approach to customer satisfaction. The basic philosophy of

understanding relationship marketing is that the goal of all marketing

activity should the established of mutually beneficial partnership with

customers. Hence the challenge to management is to develop marketing

strategiesthataredesignedtocreateenduringcustomerrelationship.

Understandingtheconsumers

Satisfying the consumer calls for a lot of research and analysis and

careful.Systematicandthroughismostessential.Practicallyinallcases,the

satisfyingofaneedorwantisanticipatedandtherebecomesthereasonfor

purchase. Therefore, whether the product is going to live unto the

consumer’ssatisfactionwillbedeterminedbytheprinciplesaslaiddownby

Graves.

1. Theinherentabilityoftheproducttoperformasanticipated.

2. Advertising.

3. Thepromisesdirectorimplied,ofthesalesman.

4. The consumer’s use (or abuse) of the product as intended by

manufacturer.

Reasonsforthecreationofdissatisfiedconsumers:

1. Unfulfilledpromisesmadebythesalesman.

2. Failuretoinformcustomersastoconditionofservice.

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3. Failureofoneproducttoperformasanticipatedlossescustomersfor

awholerageofotherproducts.

4. Over‐enthusiasm can lead to exaggerated claim and disappointed

customers.

5. Whenresearchbecomestooacademictobeofvalue.

Advertising which promises “The greatest…” or “The biggest…”is

preparingthewayofcustomer’sdissatisfaction.Thesalesman,whoiseager

tocreateasale,takesthefirststeptowardsmakingdissatisfiedcustomers.

Toconclude,consumerbehavioraccordingto,mightverywellbeviewedin

theframeworkofdiscoveringproblemsolving.

Thebehavioroftheconsumerisgoalorientedandthereforepurposive.

Helearnswhatlatterbecomehabitualmodesofreducingtension.Helearns

to rely on dependable modes of reducing tension but he is constantly

dropped of old habits and taking risk in searching out new means of

problemsolving.Itisonlythroughrisk‐takingandvariationthatgrowthcan

occur.

Measurementofcustomersatisfaction:

Organizations are increasingly interested in retaining existing

customerswhiletargetingnon‐customers;measuringcustomersatisfaction

provides an indication of how successful the organization is at providing

products and/or services to themarketplace.Customer satisfaction is an

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ambiguousandabstractconceptandtheactualmanifestationofthestateof

satisfaction will vary from person to person and product / service to

produce/service. The state of satisfaction depends on a number of both

psychological and physical variables, which correlate with satisfaction

behaviorssuchasreturnandrecommendrate.Thelevelofsatisfactioncan

also vary depending on other options the customer may have and other

products against which the customer can compare the organization’s

products.Becausesatisfactionisbasicallyapsychologicalstate,careshould

be taken in the effort of quantitative measurement, although ugh a large

quantityofresearchinthisareahasrecentlybeendeveloped.Workdoneby

BerryBrodeurbetween1990and1998definedbyBerryin2002andknown

asthetendomainsofsatisfaction.Thesetendomainsofsatisfactioninclude:

Quality, value Timelines, Efficiency, Ease of Access, Environment, Inter‐

departmentalTeamwork,Front lineServiceBehaviors,Commitment to the

CustomerandInnovation.

These factors are emphasized for continuous improvement and

organizationalchangemeasurementandaremostoftenutilizedtodevelop

thearchitectureforsatisfactionmeasurementasanintegratedmodel.Work

donebyParasuraman,ZeithamlandBerrybetween1985and1988provides

the basis for themeasurement of customer satisfaction with a service by

usingthegapbetweenthecustomer’sexpectationofperformanceandtheir

perceived experience of performance. This provides the measurer with a

satisfaction“gap”whichisobjectiveandquantitativeinnature.Workdone

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byCroninandTaylorproposethe“confirmation/disconfirmation”theoryof

combiningthe“gap”describedbyParasuraman,ZeithamlandBerryastwo

different measures (perception and expectation of performance) into a

singlemeasurementofperformanceaccordingtoexpectation.Accordingto

Garbrand, customer satisfaction equals perception of performance divided

byexpectationofperformance.

Theusualmeasuresofcustomersatisfactioninvolveasurveywithaset

of statements using a Likert Technique or scale. The customer is asked to

evaluateeachstatementandintermoftheirperceptionandexpectationof

performanceoftheorganizationbeingmeasured.

Customervalue:

Until quiet recently it was assumed that customer value was show

respective buyers judged a good service on some combinations of quality

and price. Today, value is a much boarder concept, which also includes

dimension like convenience, timely delivery and service. Customer now

wants more of the dimensions they value. If the value convenience, they

want their purchase to busy; if they value low price, they want lowest

possiblerates; iftheyvaluespeed,theywantthepurchasetobeextremely

fast.

Toprovidecustomervalueamanufacture,retailer,orserviceprovided

dose not have to complete on all these direction. Search conducted by

managementexpertssuchasMichaelTreacyandFredWiersemasuggests

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thatfirmscannotsucceedbybeingallthingstoallpeople.Insteadtheymust

findtheuniquevaluethattheyalonecandelivertoaselectedmarket.Many

successfulfirmshavechosentodeliveroutstandingcustomervaluewithone

ofthethreevaluestrategiesnamely,bestprice,bestproduct,orbestservice.

Thus a firm chooses a value propositions by assessing its customers,

competitive and itself. So now the expression “Customer value” can be

definedas–“WhateverCustomersValue”.

Customervalueandsatisfaction:

Customer satisfaction is an impotent fuscousof themarketing concept.To

find out the worth of a satisfied customer, firms have to calculate the

financialvalueofsatisfiedcustomerovertime.

These calculations have focused marketer’s attention on customer

retention. Ford Motor Company has set a target of increasing customer

retention‐thepercentageoffordownerswhosenextcarisalsoaFordfrom

60%to80%.

INDUSTRYPROFILE

HistoryofPlastic

In this era of many astonishing industrial developments, probably no

industryhasundergonesuchrapidgrowthanddevelopmentastheplastics

industry. According to most authorities in this field, the plastics industry

reallybeganin1868.AyoungAmericanprinter,namedJohnWesleyHyatt,

wassearchingforanewmaterialtobeusedasasubstituteforivoryinthe

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making of billiard balls. A $10,000 prize had been offered for such a

discovery.Hefoundthatcellulosenitrate,formedbytheactionofnitricacid

oncottoncellulose,mixedwithcamphorandtreatedwithproperamounts

of pressure and heat, produced a substance, which could be molded into

desired shapes. He called his new material "Celluloid.” It was not until

almost the beginning of the twentieth century that a second plastic was

produced. Adolph Spitteler, a German,mixed sourmilk and formaldehyde

togethertoformamaterial,whichwasreallycaseinplastic.In1909,Dr.Leo

Baekeland,anAmericanborninBelgium,wastryingtoproduceasynthetic

resin.Hedidthissuccessfullybymixingphenolandformaldehydetogether

undercertainconditions,thusproducingthefirstsyntheticresin.Thisnew

plastic was called "Bakelite.” Many new plastics have been made since

"Bakelite."Productionofplasticshasincreasedover2000%since"Bakelite"

was first produced, and there are now more than twenty known types.

Research along the lines of plastics has given a great impetus to research

andinventioninmanyotherdifferentfieldsofendeavor.Millionsofdollars

are spent yearly in plastics research, trying to find new plastics and to

improvetheexistingones.Muchresearchwillbedoneinthefuturetolower

thecostofproducingplasticssothattheirconsumptionwillbecomegreater.

In spite of the varied andwidespread application of plastics in practically

everyphaseofeverydaylife,thepossibilitiesofthiswonderfulnewmaterial

havebeenbynomeansexhausted.Itseemssafetosaythatiftheapplication

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anduseofplasticscontinuetoincreaseatthepresentrate,wemaybeliving

ina"PlasticsAge."

Issuesfacingtheplasticindustry1.Sustainingdevelopment

a)Obtainingacceptableprofits

b)Environmentalstewardship

c)Corporateresponsibility

2.Economicissues

a)Captiveconsumption

b)RiseofMiddleEasternproduction

c)Stateofglobaleconomies

3.AddressPlastics’roleinpossibleclimatechanges4.Developnewproducts

Fore.g.improvedpackaging

a)Longershelflife

b)Lesswastageofproducts

c)Improvedhealthandsafety

5.Feedstocksupply6.Internationaltrade7.Improveplants

a)Newprocesses

b)Upgradeoldplants

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Globalscenario

Last few years have been tumultuous for plastics and petrochemical

sectorduetosteepriseinoilprices,whichhasadverselyaffectedtheglobal

economies.However, considering the feedstockadvantageandabundance

of oil reserves newer petrochemical complexes are being established in

Middle‐eastcountries. i.e.Oman,SaudiArabia,UAE,etc. It isprojectedthat

bytheendof2010,Ethylenecapacity inMiddleEastwouldreachtoabout

35milliontonsperannumandPolypropylene(PP)capacitytotouchabout7

million tones per annum. The US Petrochemical sector may lose Export

competitiveness,asmostoftheEthylenecapacitiesinUSAareEthanebased,

which are not cost competitive and are capable to produce only

Polyethylene (PE). Similarly, the revamping of European Petrochemical

Complexes would be imperative as they are based on old and expensive

technology and are not cost competitive with the Middle‐East companies

having the biggest advantage of raw material at their doorstep. China,

MiddleEastandIndiawouldbethemajorglobalplayers,whereexpansion

andaugmentationofexistingpetrochemicalcapacitywouldtakeplaceinthe

next5years.

Worldwide Plastics Industry witnessed a steady growth in the year

2007,whichisreflectedintheincreasedconsumptionfiguresofalltypesof

Plastics materials. Asia has been world’s largest plastics consumer for

several years, accounting for about 30% of the global consumption

excluding Japan, which has share of about 6.5%. Next to Asia is North

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Americawith26%share,thenWesternEuropewith23%shareintheglobal

market.

Thekeygrowthsegmentremains“Packaging”whichaccountedforover

35%of theglobal consumption.Amongst the individualPlasticsMaterials,

Polyolefinaccountedfor53%ofthetotalconsumption,(PEwith33.5%,PP

with19.5%)followedbyPVC–16.5%,PS‐8.5%,PET&PU‐5.5%,Styrene

copolymers(ABS,SAN,etc)–3.5%otherengineering&highperformance&

specialtyplastics,blends,alloys,thermosettingplastics–13%.

In recent years, significant aspect of plasticsmaterial growth globally

has been the innovation of newer application areas for plastics such as

increasingplasticsapplicationsinautomotivefield,rail,transport,defense&

aerospace, medical and healthcare, electrical & electronics,

telecommunication, building & infrastructure, furniture, etc. Plastics have

becomethekeydriversofinnovations&applicationdevelopment.Polymer‐

Electronicsisonesucharea,whichhasopenedupnewavenuesforplastics;

from organic light emitting diodes to electro‐optical and bioelectrical

complements,fromlow‐costplasticchipstoflexiblesolarcells.Newplastics

can conduct electricity and emit light. While polymers will not replace

silicon as semiconductors, they do offer completely new opportunities for

low‐priced mass‐manufactured products. Radio‐frequency identification

(RFID)tagsinsmartcardsforidentificationandaccesscontrol,paymentand

ticket systems,price labels,product trackingsystems in the logistics chain

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or packaging that monitors product quality – many things are in offing.

Growth‐trendofplasticshasprovedthat therehasbeenaquiet“Plastics–

revolution”takingplaceinthematerial–sector.

GlobalPercapitaconsumptionofPlasticsis(inKgs)

WorldAverage 26

NorthAmerica 90

WestEurope 65

EastEurope 10

China 12

India 5.0

SouthEastAsia 10

SouthAmerica 18

Worldwide,theplasticsandpolymerconsumptionwillhaveanaverage

growth rate of 5% and itwill touch a figure of 227million tons by 2015.

Globally,itisprojectedthatPET(Bottlegrade)willhavethehighestgrowth

rateofabout11%AAGR.

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Diagram1:GlobalGrowthRates

(Annual Average Growth Rate) amongst all polymers, followed by PP, PE,

PVCandPSinthedescendingorder,asdepictedintheFigure.

Furthermore, the grades of PE (HDPE, LLDPE, LDPE) are expected to

grow about GDP growth annually up to 2020. The forecast about global

polyethylenedemandisasfollows:

• Global polyethylene demand is estimated to grow an average 4.4%

annually through2020.This is about1%above the expectedglobalGDP

growth.

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• LLDPE is expected to experience the fastest growth, with an average

annual growth rate of 6.2 percent. This comes at the expense of LDPE,

whichisexpectedtogrowonly1.8%duringthesameperiod.

•HDPEgrowthisestimatedtoaverage4.6percent.

Diagram2:TheGlobalDemandupto2020projected

TheGlobalPEDemandintermsof1000tonsperyearupto2020is

projected:

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Similarly, Polyethylene (PE) dominates the future capacity addition

amongst different polymers by 2008, which is evident from the Global

CommodityPolymerCapacityAdditionsbetween2004and2008.

Indianplasticindustry

The Indian Plastic Industry has taken great strides. In the last few

decades, the industry has grown to the status of a leading sector in the

countrywitha sizablebase.Thematerial is gainingnotable importance in

differentspheresofactivityandthepercapitaconsumptionisincreasingat

a fast pace. Continuous advancements and developments in polymer

technology, processing machineries, expertise, and cost effective

manufacturing is fast replacing the typicalmaterials in different segments

withplastics.

Onthebasisofvalueadded,shareofIndia'splasticproductsindustryis

about0.5%ofIndia'sGDP.Theexportsofplasticproductsalsoyieldabout

1%ofthecountry'sexports.Thesectorhasa largepresenceofsmallscale

companies in the industry,which account formore than 50% turnover of

the industryandprovidesemployment toanestimateof about0.4million

peopleinthecountry.ApproximatelyRs.100billionareinvestedintheform

offixedassetsintheplasticprocessingindustry.

History

Indianplasticindustryhasmadesignificantachievementsinthecountry

ever since it made a promising beginning with the start of production of

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polystyrene in 1957. The industry is growing at a rapid pace and the per

capitaconsumptionofplasticsinthecountryhasincreasedseveraltimesas

comparedtotheearlierdecade.Thechronologyofproductionofpolymersis

summarizedasunder‐

1957‐Polystyrene

1959‐LDPE

1961‐PVC

1968‐HDPE

1978‐Polypropylene

Currently, the Indian plastic industry is highly fragmented with an

estimateofaround25,000firmsandover400,000employees.Thetop100

players of Indian Plastic Industry account for just 20% of the industry

turnover.Barring10to15%ofthefirmsthatcanbecategorizedasmedium

scaleenterprises,mostoftheunitsoperateonasmall–scalebasis.

The immensepotentialof Indianplastic industryhasmotivated Indian

manufacturers to acquire technical expertise, achieve superior quality

standards and build capacities in different facets of the booming plastic

industry.Substantialdevelopmentsintheplasticmachinerysectorcoupled

with matching developments in the petrochemical sector both of which

support the plastic processing industry, have facilitated the plastic

processors to develop capacities to cater both the domestic as well as

overseasexports.

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Exports

Inthecalendaryear2006,thevalueofworldplasticexportwasUS$375

billion.HowevertheshareofIndiawaslessthan1%withexportsofworth

US$3.187billion.Thepercentageofgrowthinexportwas21%.Duringthis

trend of growth in exports, the export of plastics rawmaterial increased

from55%to60%ofthetotalexportofplasticgoods,whiletheexportof

processedplasticgoodshasregisteredanegativegrowthfrom45%to9%.

Accordingtorecentreports,theindustryissaidtobelosinganopportunity

of USD 300million through value addition on the rawmaterials that are

exported.

Thetop10tradingpartnersforIndianplasticindustryare

o USA

o UAE

o Italy

o UK

o Belgium

o Germany

o Singapore

o SaudiArabia

o China

o HongKong

TheIndianplasticexportswerevaluedataboutUS$532millionduring

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FY 2004 (1st half FY2005 exports US $ 295 million). With significant

capacity additions leading to over‐capacity in domestic markets during

FY2001 and beyond, polymer exports have increased considerably.

However,duetothelowercompetitivenessoftheplasticproductsindustry,

polymershavebeenexporteddirectly.

Products

ThemajorplasticproductsthatIndiaexportsare‐

Raw Materials ‐ PVC, polypropylene, polyethylene, polystyrene, ABS,

polyesterchips,urea/phenolformaldehyde,masterbatches,additives,etc

Packaging‐PP/HDPEwovensacks/bags/fabrics,poly‐linedjutegoods,

box strapping, BOPP tapes, a range of plastic sheeting / films (of PVC, PP,

HDPE, nylon, FRP, PTFE, acrylic, etc.), pouches, crates, bottles, containers,

barrels,cans,carboys,shopping/carrier/garbagebags.

Films ‐ Polyester film, BOPP film,mesh, metalized /multilayer films and

photofilms

Consumer Goods ‐ Toothbrushes, cleaning brushes, hair brushes, nail /

cosmeticbrushes,combs,moldedfurniture(chairs,tables,etc.)houseware,

kitchenware, insulated molded house ware, microwave re‐heatable

containers,matsandmattresses,waterbottles,giftsandnovelties,arangeof

stationeryitemslikefiles,folders,mathematicalinstruments,etc.

WritingInstruments‐Pens,ballpens,markers,signpens,refills,etc.

Travel ware ‐ Molded luggage, soft luggage, a range of bags like school

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bags/ladieshandbags,wallets,etc.

LeatherCloth/ArtificialLeatherFloorCoverings‐Vinylfloorcoverings

andlinoleums

Foam Boards Drip Irrigation Systems/Components Pipes & Pipe

Fittings‐MadeofPVC,HDPE,PP,FRP,nylon

Water Storage Tanks Toys and Games Engineering Plastics ‐ Auto

components, parts for various machinery / equipment in

telecommunications,railways,electronics,etc.

Electrical Accessories FRP/GRP Products ‐ Safety helmets/equipment,

pipes,storagetanks,etc.

SanitaryFittings‐Cisterns,toiletseats,bathroomfittings,etc.

Construction‐PVCprofiles,doors,windows,etc.

TarpaulinsLaminatesFishnets/FishingLinesCordage/Ropes/Twins

Eyewear‐Lenses,spectacleframes,goggles,etc.

LaboratoryWareSurgical/Medical ‐Disposablesyringes,blood/urine

bags,I.V.sets,etc.

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TrendsinIndianExportofPlasticProducts

IndiaPlasticProductsExportsFY2004US$531.6Million

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PolymerDemandinIndia(MMT)

Figure1

PlasticIndustryIndiaPerspective

Over the years, India has made significant progress in the industrial

worldwithhealthyeconomicgrowth.Onpurchasepowerparitybasis, it is

oneofthetopfiveglobaleconomicsandisexpectedtobethethirdlargest

bytheturnofthisdecade.Plastics,oneofthefastestgrowingindustriesin

India, have a vital role to play. Indian Plastics Industry is expanding at a

phenomenalpace.Majorinternationalcompaniesfromvarioussectorssuch

as automobiles, electronics, telecommunications, food processing, packing,

healthcare etc. have set‐up largemanufacturing bases in India. Therefore,

demandforplasticsisrapidlyincreasingandsoonIndiawillemergeasone

ofthefastestgrowingmarketsintheworld.

The next two decades are expected to offer unprecedented

opportunities for the plastic industry in India. This would necessitate

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industryinitiativestofosterinvestments,growthemarket,upgradequality

standards,enhanceglobalparticipation,encourageIndianindustry,toadopt

andadapttoworld‐classtechnologyandmanufacturingpractices

DespiteinstabilityinInternationalpricesofpolymermaterialsin2006‐07,

plastics industry in the country has consolidated its performance by

consuming about 5.0million tonnes of polymers, as compared to Chinese

consumptionofabout30milliontonnes in2007. Indianplastics industries

areenthusiasticabouttheaccelerationofthegrowthengineinthenext3to

5yearsduetocapacityexpansionofexistingpetrochemicalcomplexesand

settingupofnewcrackersinthecountrycurrently.RelianceIndustriesLtd.,

(RIL) has about 75% share of Indian Petrochemical Cracker capacity,

followedbymediumsizedcapacityofGasAuthorityofIndiaLtd.(GAIL)and

HaldiaPetrochemicalsLtd.,(HPL).RILhasambitiousplanofaugmentingits

PP capacity from 1010 KT to 2600 KT by the year 2010. Indian Oil

Corporation (IOC) has also planned an 800 K tonnes naphtha cracker at

PanipatataninvestmentofRs.6300crorestoproduce800KTofPEandPP

eachatPanipat.IOCwouldalsobesettingupaproductioncapacity150KT

PPatChennaibyyear2009aswellasstyrene,whichisnotbeingproduced

inIndia.Thesepositivefactorsofavailabilityofpolymericmaterialswould

infallibly be harbinger in accelerating the growth of plastics sector in the

nearfuture.

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FutureForecast

TheIndianplasticindustryclearlyhasthepotentialtocontinueitsfast

growth. However, over the next few years, competition in the industry is

expected to increase considerably, as a result of global trends, whichwill

become applicable to the liberalizing economy of country. To survive the

competition,bothpolymermanufacturersandprocessorswillneedtoadopt

radicallynewmethodsandapproachestoreducecosts,improvemarketand

customerserviceandmanagementofperformance.

ThepercapitaconsumptionofplasticsinIndiaiswellbelowtheworld

average. However it also reflects themany years of growth ahead, as the

country's economy continues to grow and upgrade the usage of products.

Translatingtheexpectedgrowthrateintoincrementaldemand,itisobvious

thatthecountrywillremainoneofthelargestsourcesofadditionaldemand

foralmostallkindsofplastics.

Hence,itisclearthatplasticswillcontinuetobeagrowthindustry,with

boosting prospects for fresh investments in polymerization and

downstream processing capacity. This is in contrast to the situation in

variousothercountries,wheregrowthprospectsarelimited,eitherbecause

ofstagnantdemandorduetothehistoricaloverbuilding.Insuchcountries,

the overall outlookwould be far less promising,with the key imperatives

beingcostcuttingandcapacityrationalization.

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COMPANYPROFILE

PartnershipFirm

According to section 4 of The Indian Partnership Act 1932, defines

‘partnership’ as “the relationship between persons who have agreed to

sharetheprofitsofabusinesscarriedonbyalloranyofthemactingforall.”

Iftwoormorepersonsjoinhandstorunthebusinesssuccessfully,such

mutualrelationshipbasedonagreementamongthesepersonsistechnically

called ‘partnership’. The people who have entered into partnership are

individually knownas ‘partners ‘ and collectively as’ Firm’. The liability of

partnerisunlimited.

Themainrulesofpartnershipare,

Profitsharing

Interestoncapital

Interestonloan

Interestondrawings

Remunerationtopartners

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REDSTARPOLYPRODUCTS

Plastics, thewonderfullymouldablematerial, seem tohave takenover

the world today. The innumerable products made out of it find infinite

varietyofusesinalmostallwalksoflife.

RedstarPolyProductswasinceptedintheyear1997;ithasemergedas

a leading manufacturer of plastic house holds articles. Redstar is a

Registered Partnership firm under the Indian Partnership Act 1932. The

firm started its production and marketing of various plastic household

articles from the year 1997. Their plastic products aremolded to desired

shapesandsizesinattractivecolors.Manufacturingwidevarietyofproducts

requiresanunendingsupplyofrawmaterialstomeettheimmediateorders

placedbytheircustomers.

Redstar produces different articles for household activities. The firm

startedproductionof22productsandnowit isabout46productsatgood

marketpotentialinKerala,India.ThefirmissituatedatPoravoor,Karikkad

Village, Thrissur District, Kerala with sophisticated facilities. The firm is

concentratingintheproductionofqualityproductsatreasonableprice.The

firmhasgotISO9001:2000certificationsforitsquality.

Ever Since its inception, the relentless quest for quality has made

Redstar’sproductsa resoundingsuccessacrossKeralaState.There isonly

onemantra behind its success, Quality. Right from selecting the purest of

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virginplasticstomouldingusingthemostadvancedmachineries,emphasize

onglobalstandards.

Having made significance advances in the last several years, Redstar

Poly Products is now a fully integrated company with the ability and

infrastructure to take a product from discovery through research and

development,mouldingittoperfectionandintovariousmarketsusingvivid

distribution network. The regular addition of new products is just one of

manyreasonsthatmakethecompanyallthemoreattractive.

Departments

HumanResourceDepartment

FinanceDepartment

MarketingDepartment

WorksDepartment

FinanceDepartment

Finance Manager heads this department. Under his supervision, one

Chief Accountant is there. Two assistants are there to help the Chief

Accountant. Finance department is controlling the day‐to‐day expenses

inside the company and they’re also responsible for the wage and salary

administration, provident fund and gratuity allowances, raw material

purchases. It also performs all, accounting and financial activities of the

organization and maintains different types of books and ledger. Cash

receiptsanddisbursementsaremadethroughthisdepartment.

29

HumanResourceDepartment

The Human Resource Manager heads this department. There is one

assistant also. This department is responsible for the welfare measures,

wage and salary administration, safety measures, recruitment etc. This

departmentforcontrolstheadministrativeactivitiesofthefirm.Employees

arepaidmonthlysalarywithD.A,HRAetc.

WorksDepartment

Work manager is one who controls all production activities, mould

settling andquality control.Workmanager control all the activities inside

the production plant. Under work manager there is a quality section,

machine operators, supervisors and helpers. In the plant there are 100

employees. Three shifts are there. It is 8 hours in each shift. In the plant,

production is according to the order creation. For fast moving products,

thereisbatchproductionandforslowmovingproducts,orderistakenand

thentheproductionstarts.

MarketingDepartment

Thefirmhasastrongmarketingdepartment.MarketingManagerheads

this department. Under his supervision, the store and dispatchworks are

donewiththehelpofaGeneralSupervisor.Allthemarketingstrategiesare

discussed and executed by this team with suggestions from General

ManagerandManagingDirector.Companyishavingadistributionchannel

30

all overKerala.Theproductsaredistributed throughagencyanddirect to

customers.

Productsofthefirm

RedstarPolyProductsisproducingplastichouseholdarticles.Herethemain

objectofproductionistheoptimumuseofresourcesatoptimumcost.The

firm is concentrating in the production of quality products at reasonable

rate.

In this firm, there is production of different products. Their arrays of

plastic molded products are made from high quality raw materials like

virgin grade HPDE, Co‐Polymers etc for commercial aswell as residential

purposes.

Bucketswith/withoutlids

Drumswith/withoutlids

Plasticbasins

Dustbins

Pedal

Airtightcontainers

Servicetrays

Utilityboxes

Plasticbaskets

Waterjugs

Laundrybaskets

Filetray

Tubs

31

SmallScaleIndustryRegistration(SSI)

In their own interest, all existing small scale units or intending

entrepreneurs employing more than ten workers should get themselves

registeredwiththewiththeDirectorofIndustriesintheirstates.Acopyof

thisapplicationforregistrationshouldbesenttotheDirectorofSmallScale

Industries Service Institute in the concerned state. Such registrations are

requiredforafirmorconcerntobeentitledasSmallScaleIndustriesUnit.It

will facilitate the concern for getting assistance fromGovernment and for

obtainingmachinery onHire Purchase System fromNSIC. REDSTARPOLY

PRODUCTShasgotthecertificateofpermanentregistrationasSSI.

BenefitsasSSI

InIndia,entrepreneursareofferedanumberofanumberofincentives

because they facilitate decentralization of industries and also facilitate

transformation of traditional technique into a modern technique. The

GovernmenthasannouncedvariousdevelopmentprogramslikeDIC’sPMRY

program,exportpromotion,reservationofitemsetc.forencouragingthose

industries. Ithasalsoannounced ‘financialassistance’ to suchconcernsby

wayofSIDBI,NABARD,ICICIandBanksetc

Apart from the above other facilities like, registration concession, tax

benefit etc. are also benefited by such concerns. Recently, during the year

2000theCentralGovt.hasdeclaredsomespecialbenefitsforSSSunits.

32

Excise duty exemption limit enhanced from Rs.5000000/‐ to

Rs.1crore

Capitalsubsidyof12%forinvestmentintechnologyinselected

sectors

Provision of 20% projected annual turnover to be given as

working capital loan for Khadhi and village industries and so

on.

Sales tax, onproducts raisedby any small‐scale industrial unit for the

after its registration under SSI sector is exempted. The Govt. has also

allowedthreeyearsadditionalexemptionapartfromthefiveyearsalready

given,undertheexpansionandmodernizationscheme.Theonlyconditionis

suchunitmust invest25%ofthefixedblockduringthetimeofexpansion.

The firmgetssales taxexemption3%against form18onpurchaseof raw

material from registereddealerswithin the state.As the concern ‘C’ From

with it has to pay 4% CST on purchase of raw materials required on its

production.

Unfortunately according to the last financial report, the govt. has

withdrawnallthetaxexemptionsandsubsidiesprovidedtoSSIunits.Under

thepurviewofincometax,notaxbenefitsareavailabletoSSIunits.

33

ORGANIZATIONALCHART

ManagingDirector

Secretary

GeneralManager

FinanceManager

ChiefAccountant

Assistants

HRManager

AssistantManager

MarketingManager

GeneralSupervisor

Dispatch Store

Supervisor

Helpers

Supervisors

Helpers

WorksManager

QualitySection

MachineOperators

Supervisors

34

RESEARCHMETHODOLOGY

Statementoftheproblem

Customer is the central figure of all marketing activities. It is the

customerswhodeterminethegrowth,prosperityandeventheexistenceof

business enterprise. Customers’ mind is the deciding factor behind his

buyingpatternswithregardtoproductorservice.

Amarketershouldplanhisproductionanddistributiontosuittheneeds

and convenience of consumers. Customer Satisfaction is the key factor for

thedevelopmentandupgradationofafirm.

This study reveals, the Customer Satisfaction level of Redstar Poly

Products,thereasonfortheirsatisfactionanddissatisfactionoftheservices,

their suggestionsandcommentsetc canbeunderstood.This studywillbe

providingalargenumberofideasforthefurtherdevelopmentofthefirm.

Scopeofthestudy

The existence of an organization is heavily depends upon the

satisfaction it customers. Without proper customer the company will not

havegoodwill.Sothecustomersatisfactionsplayavitalroleinthesuccess

ofanorganization.

The scope of the study is to find out the existing level of satisfaction

among the customers of the company and to analyze the results and give

35

suggestions so as to improve the quality of the firm in serving their

customersandmaintainingtheirproductquality.

Modeofresearch

The research studywas conducted only by questioningmethod to find

outthecustomersatisfactiononproductqualityaswellasservicequalityof

thefirm.Thisstudywasdoneby:

Designingquestionnaires

Selectingsamplesfromthegroupofrespondents

Executingquestionnaire

Conductingpersonalinterviews

Comparisonofquestionnaires

Analyzingcollecteddata

Interpretationofcollecteddata

Presentationofthefindingsandsuggestions

Researchdesign

Research design is the arrangement of conditions for collection of

analysis of data in the manner that aims to combine relevance to the

researchpurposewitheconomy inprocedure.Theresearch is followedby

descriptive nature of the study. Here the study wasmainly conducted by

usingdescriptiveresearch.Thestudyismainlyconnectedwithprimarydata

collectedfromtherespondents.

36

Sampledesign

The process of extracting a sample from respondents is called sampling

process. The section of sample to conduct the research depends upon the

natureandscopeofthestudyalongwiththeobjectivetobeachieved.

Samplesize

The sample size selected for this study is 50 samples, the survey has

beenconductedbyquestionnaireandpersonal interviewmethodwasalso

administratedinordertomaketheresearchmoreeffective.

Sourcesofdatacollection

Data has been collected through both primary and secondary data

collection methods. Primary data has been collected using personal

interview and questionnaires. Secondary data is collected from journals,

previousliteratures,projectsandtheweb.

Toolsusedforanalysis

For extracting meaningful information from the data obtained, data

analysis is done. The tools used for the analysis are tables, charts,

percentage analysis, averages anddiagrams. The collected data are coded,

editedandtabulatedintheformoftables.

Periodofstudy

Thetimeperiodallottedforthestudyisfrom12thJanuary2010to06th

February2010.

37

Objectives:

Modern marketing is customer oriented. Therefore, the study of the

customer satisfaction is important as well as the main objectives for any

businessenterprise.

Followingaresomeoftheobjectivesofthestudy.

TofindouttheexistinglevelofcustomersatisfactionofRedstarPoly

Products.

Toidentifytheefficiencyofpresentmarketingstrategiesinsatisfying

thecustomers.

To evaluate the effect of present pricing policy in customers

satisfaction.

Tostudythecausesofdissatisfaction,ifany.

Toascertaintheknowledgeamongthecustomerswithrespecttothe

customersatisfactionactivitiesofRedstar.

To study the factors influencing the customers for buying the

products.

Tofindoutareaswhereservicesandproductscanbeimproved.

To study the relationship between customer satisfaction and the

performanceofthecompany.

Togivesuggestionsforimprovingthecustomersatisfaction.

38

Limitations:

Thefollowingarethelimitationfacedduringthecourseofthestudy.

Themainlimitationoftheprojectwastimeduration.

Asitisanacademicproject,thelackofprofessionalismwillbethere.

Confidentialityoftheorganization.

The study was conducted using sample respondents so the custom

limitationsofsampledatawillbethere.

Therespondentsarenotreadytodisclosesomeusefulinformation.

39

REVIEWOFLITERATURE

WhatisCustomerorConsumerSatisfaction?

According to Oliver (1997), Customer satisfaction is the customer’s

fulfillmentresponse.Itisajudgmentthataproductorservicefeature,orthe

product or service itself, provided (or is providing) a pleasurable level of

consumption‐related fulfillment, including levels of under‐ or over

fulfillment.

According toTse andWilton (1988),The consumer’s response to the

evaluation of the perceived discrepancy between prior expectations (or

somenormofperformance)and theactualperformanceof theproduct as

perceivedafteritsconsumption.

According to Churchill and Surprenant (1982), Conceptually, an

outcomeofpurchaseanduseresultingfromthebuyer’scomparisonofthe

rewards and costs of the purchase relative to anticipated consequences.

Operationally,similartoattitudeinthat,itcanbeassessedasasummation

ofsatisfactionswithvariousattributes.

According toWestbrookandReilly (1983),An emotional response to

the experiences provided by and associated with particular products or

servicespurchased,retailoutlets,orevenmolarpatternsofbehaviorsuchas

shopping and buyer behavior, as well as the overall marketplace. An

emotionalresponsetriggeredbyacognitiveevaluativeprocessinwhichthe

40

perceptions of (or beliefs about) an object, action, or condition are

comparedtoone’svalues(orneeds,wants,desires).

AGENERALDEFINITIONALFRAMEWORKOFCONSUMERSATISFACTION

ByAcademyofMarketingScience(AMS)ReviewVolume2000 Any generic definition of satisfaction will be subject to chameleon

effects. Rather than presenting a generic definition of satisfaction, AMS

identify the conceptual domain of satisfaction, delineate specific

components necessary for any meaningful definition of satisfaction, and

outline a process for developing context‐specific definitions that can be

comparedacrossstudies.

As concluded by the literature review and validated by the group and

personalinterviewdata,thereappearstobethreeessentialcomponentsof

consumersatisfaction:

1.Summaryaffectiveresponse,whichvariesinintensity;2.Satisfactionfocusaroundproductchoice,purchaseandconsumption;and3.Timeofdeterminationwhichvariesbysituation,butisgenerallylimitedinduration. In this framework, satisfaction is limited to an affective response

reflectingsatisfactionasaholisticevaluativeoutcome.Thisdistinctiondoes

not preclude the importance of cognitions in determining satisfaction;

however, cognitions are bases for the formation of satisfaction, but the

cognitions are not satisfaction. This is similar to choice in that the brand

41

chosenmay be based on cognitive evaluations; however, the choice is not

cognitionbutthebrandsselectedornotselected.

The summary affective response is defined as the holistic nature of

consumer’s state of satisfaction, the focus is the object(s) of consumer’s

state,andtimingreferstothetemporalexistenceofsatisfaction.According

to field data results and supported by extant satisfaction literature, these

componentsareapplicableacrosssituationsandacrossconsumers.

All of these components are critical to appropriately operationalize the

definition, toproducevalid results, andmakeaccurate interpretationsand

managerialdecisions.Thus,thefollowingcomponentsshouldbeincludedin

anycontextspecificdefinitionofconsumersatisfaction.

Consumersatisfactionis:A summary affective response of varying intensity. The exact type of

affective response and the level of intensity likely to be experiencedmust be

explicitlydefinedbyaresearcherdependingonthecontextofinterest.

With a timespecific point of determination and limited duration. The

researcher should select the point of determination most relevant for the

researchquestionsandidentifythelikelydurationofthesummaryresponse.It

is reasonable to expect that consumers may consciously determine their

satisfaction response when asked by a researcher; therefore, timing is most

criticaltoascertainthemostaccurate,wellformedresponse.

Directedtowardfocalaspectsofproductacquisitionand/orconsumption.

Theresearchershouldidentifythefocusofinterestbasedonthemanagerialor

research question they face. This may include a broad or narrow range of

42

acquisitionorconsumptionactivities/issues.

By fleshing out these components, researchers should be able to develop

specificdefinitionsthatareconceptuallyricherandempiricallymoreuseful

than previous definitions. To develop context‐relevant definitions and

measures,researchersmustbeabletoidentifyboththequestionstheyare

interested in answering and somebasic informationabout the setting and

consumers.Specifically,theresearcherwillneedtoprovidedetailsaboutall

threecomponentsofsatisfaction.

SatisfactionFocus ‐Thedifficultdecision fora researcher is todetermine

thedegreeofdetailneededtodefinethesatisfactionfocus.Forexample, is

satisfactionwiththeproductanappropriatefocus(e.g.,theautomobile),or

should it be limited to specific attributes (e.g., gas mileage) or specific

benefits (e.g., the automobile is fun to drive)? One‐way researchers could

identify the appropriate focus or foci is by surveying or interviewing

existingornewcustomersduringthepurchaseprocessoratvariouspoints

following purchase (Gardial et al. 1994). This information would allow

researcherstosegmenttheircustomersonthebasisofwhatfociareactually

consideredwhen theydetermine theirsatisfaction. The purpose would be to

develop a battery of satisfaction survey instruments tailored to different types of

customers and research questions.

Timing ‐ As noted above, there are two important properties related to

timing; time of determination and duration. When examining time of

43

determination,theresearchermustidentifywhichstageofthepurchaseand

consumption process is most important to the research question. For

example, if an automobile manufacturer is interested in repeat purchase,

thenthefinalstagesofconsumptionmaybemostappropriate.Ontheother

hand, if the firmwere interested in improvingthewarrantyprogram,then

earlier stageswould bemost appropriate. Durationwill also help identify

the most appropriate time of determination to consider. For example, if

satisfactionisfleeting,thenitshouldbemeasuredearlierintheprocess.

Summary Response ‐ The final step is to identify appropriate affective

responses. Intensity represents the key properties of response. Affective

responsescanvarydramaticallyacrossarangeof responses.Forexample,

Cadotte, Woodruff and Jenkins (1987) identify ten different types of

affective descriptors that may be appropriate in a restaurant setting.

However,itisunreasonabletoassumethatallofthesewillbeappropriatein

anotherspecificcontext.Researchersmustselectdescriptorsthataccurately

reflect the emotional responses to the relevant satisfaction focus. If the

range of intensity is too large, then there will be little variance in any

measuresofsatisfaction.Iftherangeistoosmall,thentheresearcherdoes

notobtainthemaximuminformationthat theconsumerscanprovide(Cox

1980).

44

Thenotionofconsumersatisfaction

Thebasisforconsumersatisfactionordissatisfactionliesinmankind's

ability to learn frompast experiences. Accordingly, consumerpreferences

are constantly being updated by way of the learning process. Learning

theoryposits,"Agivenresponseisreinforcedeitherpositivelyornegatively

to the extent that it is followedbya reward. Reward, in turn, leads to an

evaluation that the purchase was satisfactory, and hence it can exert an

effectonbrandbeliefsandattitudes.Theprobabilityofengaginginasimilar

buyingactwillbeincreasediftherearepositiveconsequencesintheactof

purchaseanduseandviceversa"(Engel,Kollat&Blackwell,1968).

Abasictenetofmarketingisthatconsumersatisfactionwithaproduct

is likely to lead to repeat purchases, acceptance of other products in the

product line, and favorable word‐of‐mouth (Cardozo, 1965). However,

whiletheideaofpost‐purchaseoutcomehasbeenincludedasavariablein

earlyconsumerbehaviormodels(Engel,Kollat&Blackwell,1968;Howard&

Sheth, 1969), the study of CS/D, as a separate outcome of the purchase

decision,wasnotgivenmuchresearchattentionuntil the latterpartofthe

1970s (Anderson, 1973). Early attempts to understand consumer post‐

purchase responses focused on the notion of cognitive dissonance

(Festinger, 1957). A number of early studies suggested that CS/D was a

more definitive outcome of the post‐purchase decision (Cardozo, 1965;

Engel,Kollat&Blackwell,1968).

Innotingthatit"wouldindeedbeanunderstatement"tosaythatthere

45

is no general agreement onhow todefine satisfaction,Day (1980) asserts

that "while everyone knows what satisfaction means, it clearly does not

mean the same thing to everyone". Early conceptualizations of consumer

satisfaction view it as a single variable,which involves a single evaluative

reaction from consumers, which may or may not be related to pre‐

evaluationconcepts.

In discussing the conceptualization of consumer satisfaction, for

example,Hunt (1977b) notes that “satisfaction is a kind of stepping away

from an experience and evaluating it… One could have a pleasurable

experience that caused dissatisfaction because even though it was

pleasurable, it wasn't as pleasurable as it was supposed to be. So

satisfaction/dissatisfaction isn't an emotion, it's the evaluation of the

emotion".

TheoreticalFrameworkforCustomersatisfaction

Today’s’ companies are facing their toughest competition ever. In this

project we spell out in detail how business firms can go about winning

customersandoutperformingcompetitors.Theanswerliesindoingabetter

job of meeting or exceeding customer expectations. Customer ‐ centered

business firmsareadeptatbuildingcustomers,not justproducts; theyare

skilledinmarketengineering,notjustproductengineering.

We believe that customers estimate which offer will deliver themost

value. Customers are value creators, within bounds of search costs and

limitedknowledge,mobilityandincome.Theyformandexpectationofvalue

46

and act on it. Whether or not the offer lives up to the value expectation

affectsbothsatisfactionandrepurchasesprobability.

CustomerPerceivedValue

Ourpremise is that customerswill buy from the firm that they see as

offering the highest perceived value. CPV is the difference between the

prospectivecustomersevaluationofall thebenefitsandall thecostsofan

offering and the perceived alternatives. Total customer value is the

perceived monetary value of the bundle of economic, functional and

psychologicalbenefitscustomersexpectfromagivenmarketoffering.Total

customercostisthebundleofcostscustomersexpecttoincurinevaluating,

obtaining,usinganddisposingofthegivenmarketoffering.

CustomerSatisfactionsurveys

Studies shows that through customers aredissatisfiedwithoneout of

every fourpurchases less than5%ofdissatisfiedcustomerswillcomplain.

Mostcustomerswillbuylessorswitchsuppliers.Complaintlevelsarethus

not a good measure of customer satisfaction. Responsive companies

measurecustomersatisfactiondirectlybyconductingperiodicsurveys.They

send questionnaires ormake telephone calls, to random sample of recent

customers.Theyalsosolicitbuyersviewontheircompetitors’performance.

While collecting customer satisfaction data, it is also useful to ask

additional questions to measure repurchase intention. It is also useful to

47

measure the likelihood or willingness to recommend the company and

brandtoothers.Ahighpositivewordofmouthscoreindicatesthecompany

isproducinghighcustomersatisfaction.

Attractingandretainingcustomers

Inadditiontoimprovingtheirrelationwiththeirpartnersinthesupply

chain,manycompaniesareintentondevelopingstrongerbondsandloyalty

with their ultimate customers. In the past, many companies too their

customersforgranted.Theircustomersmaynothavehadmanyalternative

sourceof supply, or all supplierswereequallydeficient in services, or the

marketwasgrowingsothatthecompanydidnotworryaboutsatisfyingits

customers.Clearly,thingshavechanged.

Today’s customers areharder toplease.They are smarter,moreprice

conscious, more demanding less forgiving and approached by more

competitorswithequalorbetteroffers.Thechallenge,accordingto Jeffery

Gitomer, is not to produce satisfied customers several competitors can do

this.Thechallengeistoproduceloyalcustomers.

Attractingcustomers

Companies seeking to grow their profits and sales have to spend

considerable time and resources searching for new customers. Customer

acquisitionrequiressubstantialskills in leadgeneration, leadqualification,

and account conversion. To generate leads, the company develops

48

advertisementsandplacestheminmediathatwillreachnewprospects;its

salespeopleparticipateintradeshowwheretheymightfindnewleads;and

soon.Allthisactivityproducesalistofsuspects.Thenexttasteistoqualify

which of the suspects are really goods prospects and this is done by

interviewingthem,checkingontheirfinancialstandingandon.

Theprospectsmaybegradedashot,warmandcool.Thesalespeople

first contact the hot prospects and work on account conversion, which

involvesmakingpresentations, answering, objections andnegotiating final

terms.

TotalCustomerSatisfaction

Whether the buyer is satisfied after purchase depends on the offer’s

performanceinrelationtobuyer’sexpectations.Ingeneral,satisfactionisa

person’sfeelingsofpleasureordisappointmentresultingfromcomparinga

product’sperformanceor(outcome)inrelationtohisorherexpectations.If

theperformance falls short of expectations, the customer is dissatisfied. If

the performance the expectations, the customer is satisfied. If the

performance exceeds the expectations, the customer is highly satisfied or

delighted.

CustomerExpectations

Howdobuyers formtheirexpectations?Frompastbuyingexperience,

friend’sandassociate’sadvice,andmarketers’andcompetitors’information

andpromises.Ifmarketersraiseexpectationstoohigh,thebuyerislikelyto

49

be disappointed. However, if the firm sets expectations too low, it won’t

attractenoughbuyers(althoughitwillsatisfythosewhodobuy).

Deliveringhighcustomervalue

Thekeytogeneratinghighcustomerloyaltyistodeliverhighcustomer

value. According to Michael Lanning, in his delivering profitable value, a

companymustdesignacompetitivelysuperiorvaluepropositionaimedata

specificmarketsegmentbackedbyasuperiorvalue ‐deliverysystem.The

value proposition consists of the whole cluster of benefits the company

promisestodeliver;itismorethanthecorepositioningoftheoffering.

Measuringsatisfaction

Although the customer ‐ centered firm seeks to create high customer

satisfaction that is not its main goal. If the company increases customer

satisfactionbyloweringitspriceorincreasingitsservices,theresultmaybe

lowerprofits.The firmmightbeable to increase itsprofitabilitybymeans

other than increased satisfaction. Also, the firm has many stakeholders,

includingemployees,dealers,suppliesandstockholders.Spendingmoreto

increase customer satisfaction might divert funds from increasing the

satisfaction of other “partners”. Ultimately, the firm must operate on the

philosophy that it is trying to deliver a high level of customer satisfaction

subject to delivering acceptable levels of satisfaction to the other

stakeholders,givenitstotalresources.

50

APPROACHESTOTHESTUDYOFCONSUMERSATISFACTION/

DISSATISFACTION

Anumberof theoretical approacheshavebeenutilized toexplain the

relationship between disconfirmation and satisfaction (Oliver, 1980b;

Anderson, 1973). These approaches can be viewed as variations of

consistencytheoriesandfocusmainlyonthenatureoftheconsumer'spost‐

usagecomparisonprocess(Oliver,1980b).

Consistencytheoriessuggestthatwhenexpectationsandtheactualproduct

performancedonotmatchtheconsumerwillfeelsomedegreeoftension.In

ordertorelievethis tensiontheconsumerwillmakeadjustmentseither in

expectationsorintheperceptionsoftheproduct'sactualperformance.Four

theoretical approaches have been advanced under the umbrella of

consistencytheory:

1.Assimilationtheory

2.Contrasttheory

3.Assimilationcontrasttheory

4.Negativitytheory.

1.Assimilationtheory.

Festinger's (1957) dissonance theory forms the basis of assimilation

theory. Dissonance theory posits that consumers make some kind of

cognitive comparison between expectations about the product and the

51

perceived product performance. If there is a discrepancy between

expectations and perceived product performance then dissonance arises.

This view of the consumer post‐usage evaluationwas introduced into the

satisfaction literature in the formofassimilation theory (Anderson,1973).

According to Anderson (1973), consumers seek to avoid dissonance by

adjusting perceptions about a given product to bring itmore in linewith

expectations.

Consumers can also reduce the tension resulting from a discrepancy

between expectations and product performance either by distorting

expectations so that they coincidewithperceivedproductperformanceor

byraisingthelevelofsatisfactionbyminimizingtherelativeimportanceof

the disconfirmation experienced (Olson & Dover, 1979). Assimilation

theory has a number of shortcomings. First, the approach assumes that

there is a relationship between expectation and satisfaction but does not

specifyhowdisconfirmationofanexpectationleadstoeithersatisfactionor

dissatisfaction. Second, the theory also assumes thatconsumers are

motivated enough to adjust either their expectations or their perceptions

about the performance of the product (Forman, 1986). If the consumer

adjustseitherexpectationsorperceptionsaboutproductperformancethen

dissatisfaction would not be an outcome of the post‐usage evaluation

process. A number of researchers have found that controlling for actual

product performance can lead to a positive relationship between

expectation and satisfaction (Olson & Dover, 1979; Anderson, 1973).

52

Therefore,itwouldappearthatdissatisfactioncouldneveroccurunlessthe

evaluative processes were to begin with negative consumer expectations

(Bitner,1987).

2.Contrasttheory.

Contrasttheory,firstintroducedbyHovland,HarveyandSherif(1957),

presentsanalternativeviewoftheconsumerpost‐usageevaluationprocess

than was presented in assimilation theory in that post‐usage evaluations

lead to results in opposite predictions for the effects of expectations on

satisfaction (Cardozo, 1965). The approach holds that when consumers

experiencedisconfirmationtheyseektominimizethediscrepancybetween

prior expectations and actual product performance by shifting their

evaluationsawayfromtheexpectations.Dawes,SingerandLemons(1972)

definecontrasttheoryasthetendencytomagnifythediscrepancybetween

"one'sownattitudesandtheattitudesrepresentedbyopinionstatements"

(p. 281) endorsed by persons with opposing views. While assimilation

theorypositsthatconsumerswillseektominimizethediscrepancybetween

expectation and performance, contrast theory holds that a surprise effect

occursleadingtothediscrepancybeingmagnifiedorexaggerated.

3.Assimilationcontrasttheory.

Theassimilation‐contrasttheoryhasbeenproposedasyetanotherway

to explain the relationships among the variables in the disconfirmation

model (Hovland, Harvey & Sherif, 1957). A combination of both the

53

assimilationandthecontrasttheories,thisparadigmpositsthatsatisfaction

is a function of the magnitude of the discrepancy between expected and

perceived performance. Generally, consumers have zones or latitudes of

acceptance or rejection with respect to their perceptions. As with

assimilation theory, the consumers will tend to assimilate or adjust

differencesinperceptionsaboutproductperformancetobringitinlinewith

prior expectations, but only if the discrepancy is relatively small. When

there is a large discrepancy between expectations and perceived

performance,contrasteffectsoccurandtheconsumertendstomagnifythe

perceived difference. Whether assimilation or contrast occurs depends

upon the perceived disparity between expectations and actual product

performance.

Arguing that Cardozo's (1965) attempt at reconciling the two earlier

theories was methodologically flawed, Anderson (1973) presented his

adaptation of an earlier work. He asserted that consumers possess a

"noticeabledifference"disconfirmationthreshold.

Assimilation‐contrast theory attempts illustrate that both the

assimilation and the contrast theory paradigms have applicability in the

study of consumer satisfaction. The approach makes it possible to "…

hypothesize variables other than the magnitude of the discrepancy that

might also influencewhether the assimilation effect or the contrast effect

would be observed… when product performance is difficult to judge,

expectations may dominate and assimilation effects will be observed…

54

contrast effects would result in high involvement circumstances. The

strengthoftheexpectationsmayalsoaffectwhetherassimilationorcontrast

effectsareobserved"(Bitner,1987,p.13).

Researchers attempting to empirically test this theory havemetwith

mixedresults. Forexample,OlsonandDover(1979)andAnderson(1973)

found some evidence to support the assimilation theory approach. In

discussing both of these studies, however, Oliver (1980a) arguesthat they

only measured expectations and assumed that there were perceptual

differences between disconfirmation or satisfaction. This criticism is of

somesignificancebecauseresearchersdonotactuallymeasuresatisfaction

or dissatisfaction. Instead, researchers generally believed that it is the

perception of disconfirmation that leads to satisfaction or dissatisfaction

(Forman,1986).

In contradiction to the findings supporting the assimilation

perspective, Cadotte, Woodruff and Jenkins (1983) reported negative

correlation between expectation and disconfirmation. They therefore

concludedthatsatisfactionisreallyanadditivefunctionofthetwoconcepts.

Further ambiguity is created by results of studies, which found no

relationship between expectation and disconfirmation (Oliver, 1977a,

1977b,1979).

4.Negativitytheory.

Likethethreeprevioustheories,negativitytheoryhas its foundations

in thedisconfirmationprocess. Introduced into the consumer satisfaction

55

literature by Anderson (1973), negativity theory posits that when

expectations are strongly held, consumers will respond negatively to any

disconfirmation. Accordingly, dissatisfaction will occur if perceived

performance is less thanexpectationsor ifperceivedperformanceexceeds

expectations(Carlsmith&Aronson,1963;Anderson,1973).

Customersatisfactionprocess Theparamountgoalofmarketingistounderstandtheconsumerandto

influence buying behavior. One of themain perspectives of the consumer

behaviorresearch,analysesbuyingbehaviorfromtheso‐called“information

processingperspective" (HolbrookandHirschman1982).According to the

model, customer decision‐making process comprises a need‐satisfying

behavior and a wide range of motivating and influencing factors. The

processcanbedepictedinthefollowingsteps(Engel,Blackwelletal.1995):

1. Need recognition – realization of the difference between desired

situation and the current situation that serves as a trigger for the entire

consumptionprocess.

2. Search for information ‐ search for data relevant for the purchasing

decision, both from internal sources (one's memory) and/or external

sources.

56

3.Prepurchasealternativeevaluation ‐assessmentofavailablechoices

thatcanfulfilltherealizedneedbyevaluatingbenefitstheymaydeliverand

reductionofthenumberofoptionstotheone(orseveral)preferred.

4.Purchase‐acquiringofthechosenproductorservice.

5.Consumption‐utilizingoftheprocuredproductorservice.

6. Postpurchase alternative reevaluation ‐ assessment of whether or

not and to what degree the consumption of the alternative produced

satisfaction.

7.Divestment‐disposingoftheunconsumedproduct.

Besides the information processing perspective, marketing analyses

consumer behavior by employing a psychologically grounded concept of

attitudes(Balderjahn1988;Ronis,Yatesetal.1989;LuzarandCosse1998).

It is consumer attitudes that are usually named as the major factor in

shapingconsumerbehaviorandawealthofstudiesisavailableonthetopic

ofhowattitudescanpredictbehavior.

57

DATAANALYSISANDINTERPRETATION

Thischapterdealswiththeanalysisandinterpretationofcollecteddata.

Collecteddataareanalyzedandinterpretedbyusingtablesanddiagramsin

ordertogetaclearpictureaboutthestudy.

Theword“analysis”literallymeans,“tobreakintoparts”.Analysisisthe

processofbreakingdownacomplexsetoffigurerintosimplestatementsin

ordertohaveabetterunderstanding.

The term “interpretation” literally means to explain the meaning of

interpretationsandsignificanceofdata.

AnalysisandInterpretationaretwodifferentprocessofbreakingdown

a complex set of figurer into simple statements. But interpretationmeans

explaining the meaning and significance of this simplified statement.

AnalysisandInterpretationareinter‐related.

58

1.Statethecategoryofoutlet?

Outletformat No.ofrespondents Percentage

Retailshop 15 30

Wholesaler 25 50

Modernformat 5 10

Others 5 10

Graph:Typeofoutlet

59

Interpretation

It is clear from the graph that the firm’s main channel of distribution is

wholesaler customersaswell as the retail shops.And themodern formats

and other players dominate the rest. As this is the period of booming of

modernformats,thefirmshouldalsoconcentrateinthatfieldalso.

2.WhydoyoupreferRedstarpolyproducts?

Reasons No.ofrespondents Percentage

Quality 30 60

Brandimage 10 20

Price 5 10

Others 5 10

Interpretation

Most of the customers select the firm’s products because of their quality

products and the other reason is brand image of the firm. Regarding the

price,itisnotveryeconomicalbutreasonablebecausewehavetopaylittle

highpriceforqualityproducts.10%ofpeoplepreferbecauseofsomeother

reasons.

60

Graph:ReasonsforpreferringRedstar

61

3.WhichallRedstarproductsareyoudealingpresently?

Product No.Respondents Percentage

Buckets 50 100

Containers 50 100

Drums 40 80

Trays 45 90

Baskets 50 100

Waterjugs 50 100

Tubs 45 90

Basins 50 100

Utilityboxes 50 100

Dustbins 50 100

Pedalbins 40 80

Mugs 100 100

Interpretation

From the results, we can understand all the customers under study are

dealingin8outof12productsandtherestofproductsnamelypedalbins

(80%), tubs (90%), trays (90%) and drums (80%) And it is only a few

customersarenotdealingintheseproducts.Thefirmhasagoodcustomer

valueaswellasproductvalue.

62

Graph:SelectionofproductsdealtbyRedstarcustomers

63

4.HowyoucametoknowaboutRedstarproducts?


Advertisement 15 30

Publicity 10 20

Companystaff 20 40

Others 5 10

Graph:Knowledgeaboutthefirm

64

Interpretation

Fromtheresults,mostofthecustomersareawareofthefirmbecauseofthe

companystaffandtheirdirectcontacts.30%ofthecustomersareawareof

thefirmbecauseoftheiradvertisingandotherpromotionalactivities.Sothe

firm has to improve their marketing and advertising programs. Publicity

gives20%andothersmodesmakeit10%.

5.Commentuponthedefectsoftheproducts?


Nodefects 45 90

Lessstrong _ _

Lackoffinishing 2 4

Others 3 6

Graph:Defectsabouttheproduct

65

Interpretation

The very major portion of the customers can’t find any defects in the

products. That means the firm is producing in high quality and thus the

customers are satisfied. 4% find some lackof finishing in theproducts, so

thefirmshouldshedlightuponthis.6%issomeotherdefects.Soanoverall

qualitycheckingandmaintenanceshouldbeestablished.

6.HowyoucommentupontheproductqualityofRedstar?


Excellent 15 30

Good 27 54

Average 8 16

Belowaverage _ _

Graph:Productqualityofthefirm

66

Interpretation

From the above we can understand the customers are satisfied with the

productqualityof the firmand30%of themsee theproductsasexcellent

qualityand54%feelitisgoodthereisnoone,whichfeelthattheproductis

belowaveragequality.Sothefirmisgoodinqualityandofcourseit isthe

successofthefirm.

7.HowyoucomparethepriceofRedstarwithotherbrands?


High 5 10

Reasonable 40 80

Low 5 10

Graph:Comparisonofthepricewithotherbrands

67

Interpretation

Majorityofthecustomersaresatisfiedwiththepriceoftheproductswhen

comparingwithotherbrands.Only10%ofthecustomersfeelthattheprice

ishigh.As thereareopinionsasbothhighand lowprices, the firmshould

takea lookat theirpricingdecisions, andmake thepriceasa competitive

weapon.

8.HowfrequentlyyouordertheRedstarproducts?


1‐2weeks 15 30

2‐4weeks 22 44

1‐2months 10 20

Above2months 3 6

Interpretation

Fromtheabove,wecanunderstandthatthefirmisgettingordersfromthe

customersfrequentlyas74%ofthecustomersareorderingtheproductsin

ashortspanofonemonthandonly26%takes itmore thanonemonth to

replenishthestock.Thatmeansthereisagoodturnoveroftheproductsor

thereisagooddemandfortheproductsamongthecustomers.

68

Graph:Frequencyoforder

9.InyouropinionhowlongtheuserscanuseRedstarproducts?


Below1year 4 8

1‐2years 15 30

2‐3years 23 46

Above3years 8 16

69

Graph:Durabilityoftheproducts

Interpretation

From the above, we can understand that the firm’s products are good in

durabilityasmostofthecustomersfeelthattheproductcanbeusedmore

than one year and 62% can use it more than 2 years. So with regard to

durability,wecansaythatcustomersaresatisfiedandalsothefirmshould

findreasonswhythis8%couldn’tuseitatleastoneyearormore.

70

10.Howsatisfiedareyouwiththerelevantknowledgeofthestaffyoudealtdirectlywith?


Excellent 4 8

Good 35 70

Average 9 18

Poor 2 4

Graph:Knowledgeofthestaffs

71

Interpretation

Fromtheabove,wecanunderstand that thestaffs thatare indirect touch

withthecustomershaveagoodknowledgeintheirrelevantfields.Only4%

ofthecustomersfeelthattheknowledgeofthestaffsispoorandofcourse

thisshouldbeimprovedtomakethecustomersmoresatisfied.

11.Commentuponthecourtesyofthecompanystaffs?


Excellent 9 18

Good 30 60

Average 11 22

Poor _ _

Interpretation

Fromthe results,weknow that78%of thecustomers feel thecourtesyof

thecompanystaffsisgoodormorethangood.22%feelthatthecourtesyof

thestaffs isaverageand thisshouldbe improved.For this the firmshould

payattentiontotheirpsychologicalaspectsandall.

72

Graph:Courtesyofthecompanystaffs

12.Howsatisfiedareyouwiththespeedinwhichtheservice/productwasdelivered?


Highlysatisfied 8 16

Satisfied 30 60

Averagefeeling 12 24

Poor _ _

Interpretation

Most of the customers are satisfied with the delivery of the services or

productsofthefirm.24%ofthecustomershaveanaveragefeeling.Evenif

mostofthecustomershavegoodfeeling,this24%averagefeelingshouldbe

improved.

73

Graph:Deliveryoftheservice/product

13.Commentuponavailabilityofproductinformation?


Verygood 9 18

Good 28 56

Average 13 26

Belowaverage _ _

74

Graph:Availabilityofproductinformation

Interpretation

From the above, most of the customers are satisfied in the availability of

productinformation.Only26%ishavinganaveragefeeling.Thatmeaneven

ifagoodresponseregardingtheavailabilityofproductinformation,thefirm

should make all the arrangements for 100% availability of product

information.

75

14.Commentuponthevalueoftheproduct?


Veryhigh 7 14

High 28 56

Average 15 30

Belowaverage _ _

Graph:Valueoftheproduct

76

Interpretation

From the above, we can understand that the products are having a good

valueperceptionamongthecustomers.Majorityof thecustomersperceive

thattheproductsarehavingahighvalue.Only30%arefeelingthattheyare

gettinganaveragefeelingandhencethefirmshouldcheckwhethertheyare

givingreasonablevaluetothereturnsmadebythecustomers.

15a.WouldyouliketoconsiderorderingRedstarproductsagain?


Yes 49 98

No 1 2

Piediagram:Opinionregardingorderingtheproductsagain

77

Interpretation

98% of the customers are ready to reorder the products. This it self

implicatesthatthefirmachievedagoodlevelofsatisfaction.Althoughit is

likethat,thefirmshouldfindthereasonwhythat2%came.

15b. If yes, how likely would you be to consider ordering Redstarproductsagain?


Verylikely 32 64

Somewhatlikely 13 26

Somewhatunlikely 5 10

Veryunlikely _ _

Interpretation

Mostofthecustomersarelikelytoreordertheproductsagainandonly10%

areunlikely toorderagain.Anyway the results show that there is agood

acceptance rate among the customers for the company’s products. Firm

shouldalsolookontothematterssuchasdeliverytime,designetc.

78

Graph:Likelihoodofreorderingofproducts

16.Forhowlong,haveyoubeendealingwithRedstarproducts?


Below1year _ _

1‐2years 3 6

2‐3years 6 12

Above3years 41 82

79

Graph:Periodofcontactwiththefirm

Interpretation

Averygoodmajorityofcustomersaredealingwiththefirmfrommorethan

2 years. This means that firm is having a good reputation and customer

satisfactionlevelamongthecustomers.

80

17.Howyouratetheservicesprovidedbythecompany?


Excellent 15 30

Good 30 60

Satisfactory 5 10

Poor _ _

Graph:Ratingofservicesprovidedbythefirm

81

Interpretation

The firm is providing satisfying services to their customers and theyhave

goodsatisfactionlevel.Despite10%(satisfactory),therestofthecustomers

are feeling the services are good or more than good. Any way the firm

shouldmakeimprovementswherevernecessary.

18.Howdoyouratetheresponsivenessofthecompanyindealingwithyou?


Verygood 15 30

Good 27 54

Average 8 16

Belowaverage _ _

Interpretation

Fromtheabove,itisclearthattheresponsivenessofthefirmindealingwith

thecustomersisgoodandtheyaresatisfyingthecustomers.Only16%feels

itisanaverageresponsivenessfromthefirm.Soitshouldbeimproved.

82

Graph:Responsivenessofthefirmindealingwiththecustomers

19.Howdoyouratethecompany’sapproachtoqualitymanagementtoensurecompletecustomersatisfaction?


Excellent 4 8

Good 31 62

Average 15 30

Belowaverage _ _

83

Graph:Ratingforcompany’sapproachtototalqualitymanagement

Interpretation

Most of the customers are satisfiedwith the company’s approach to total

qualitymanagement.30%ofthecustomersarefeelingthatthecompanyis

doingaverageefforts regarding this.As30% isnota sillymatter, the firm

should seriously approach the total quality management concerns for

completecustomersatisfaction.

84

20.How satisfied are you that the staff showed interest in you as anindividual/treatedyouasavaluedcustomer?



Satisfied 26 52

Averagefeeling 7 14

Belowaverage _ _

Graph:Interestofthestaffs

85

Interpretation

Fromtheabove,mostof thecustomersaresatisfied in thebehaviorof the

staffs regarding their interest indealingwith them.Mostof them feel that

they got individual care or attention from the staffs. Only 14% have an

averagefeeling.Overalltheyaresatisfied.

21.Howsatisfiedareyouwiththehelpfulnessofthecompanystaff?



Satisfied 36 72

Averagefeeling 4 8

Belowaverage _ _

Interpretation

Most of the customers are satisfied with the helpfulness of the company

staffsthatmeanstheyaregoodindealingwiththecustomers.Only8%feels

itisanaverageeffortfromthepartofthestaffsinhelpingthecustomers.

86

Graph:Helpfulnessofthecompanystaff

22.Commentuponthewayproblemswereresolved?


Excellent 6 12

Good 36 72

Average 8 16

Belowaverage _ _

87

Graph:Ratingforproblemresolving

Interpretation

Mostofthepeoplearesatisfiedwiththewayproblemswereresolved.Sothe

firm isgood insettlingall issuesdiligently.Only16%feels that the firm is

having an average quality to resolve the problems. So the management

qualityshouldbeimprovedespeciallywithregardtosettlingproblemsand

issues.

88

23.Commentuponthereputationofthecompany?


Excellent 6 12

Good 44 88

Average _ _

Belowaverage _ _

Graph:Reputationofthefirm

89

Interpretation

Everycustomerissatisfiedorfeelsthatthefirmishavingagoodreputation

amongtheindustry.Sothefirmisdoingthebusinessverysmartly.

24.HowdidyoufindyouroveralldealingswithRedstar?


Verygood 3 6

Good 41 82

Average 6 12

Poor _ _

Graph:Ratingofoveralldealingswiththefirm

90

Interpretation

From the results, majority of the customers are satisfied with the overall

dealingswiththefirm.12%ofthecustomersarehavinganaveragefeeing.

Sofirmshouldmakeimprovementstoachievetotalcustomersatisfaction.

91

FINDINGS,SUGGESTIONSANDCONCLUSION

Findings

From the above studies, I found that the level of satisfaction of

customersishighwithregardtofirm’sproductsandservices.

Mostofthecustomersfeelthattheproductsandservicesareofgood

quality.

Thefirmisgoodinthedeliveryofproductsandservices.

Customersaresatisfiedwiththeoverallservicesprovidedbythefirm.

Customersareverysatisfiedwiththecourtesyandhelpfulnessofthe

companystaffs.

Althoughthecustomersaresatisfiedinthefirmsoverallperformance,

Ithinkthatfirmhastotakeatmostcaretoimprovealltheserviceand

products.

Thepricepolicyofthefirmisgoodandcustomersarehappywiththe

priceoftheproducts,averysmallthinksthatthepriceishigh.

92

Mostof thecustomersaredealing inalmostallproductsof the firm

andall thecustomerscaterat least8productsoutof12productsof

thefirm.

Firm’sadvertisingcampaignsandeffortsshouldbeimproved.

Thedurabilityoftheproductsisgoodandverymuchsatisfying.

Thefirmishavingagoodreputationamongthecustomersandinthe

industry andmost of the customers are dealing with the firm long

back.

93

Suggestions

Itisbetterthatincreasingoutdooradvertisingwhichincludesboards

and attractive illuminated logos with the brand name may be

exhibitedinplaceattention.

Customersseekmoreinformationabouttheproductbeforeordering,

so considerable amount of information should be communicated

throughadvertisement.

Any developments in the products and services should be

communicatedtocustomersonaregularbasis.

Mostofthecustomersarepriceconscious,sofirmshouldtryhardto

offer the products at competitive rate and make the price as a

competitiveweapon.

Conductproperincentiveprogramsforthecustomerse.g.BestDealer

oftheyearAwards,allthesewillhelpthefirmtogetmoreorders.

Overallqualitymeasuresshouldbeimproved.

Itwouldbebetterthat, improvingtheadvertisementsinmediaswill

bringmoreturnoverandprofit

As the firm’s marketing lineup is strong, firm can go for mass

productionandmarketing.

94

Conclusion

Theprojecttitled“CustomerSatisfactionofRedstarPolyProducts”was

carriedoutwiththecoreobjectivetoanalyzethecustomersatisfactionlevel

of the company. As all know, customer is the king of business;

understandingof their responses regarding theproducts and serviceswill

help the firm to improve their contact with them. So a proper Customer

RelationshipManagementshouldbeimplemented.Fromstronganddetailed

observations, I can understand that the firm changed the Polymer

manufacturing industry and most of their customers are satisfied in

productsaswellastheservicesofthefirm.Thecompanyisfunctioningwith

moreefficientthananyothercompanyinthesameindustry.Thecompanyis

utilizingtheirresourcesatamaximumfortheirsuccess.

Iwishthecompanyeverysuccessandabrightfuture.

95

EXECUTIVESUMMARY

Theprojectentitled“CUSTOMERSATISFACTIONOFREDSTARPOLYPRODUCTS“

has been undertaken in REDSTAR POLY PRODUCTS, Poravoor, Karikkad PO,

Thrissur.Thecompanywasestablishedin1997.Thecompanyisproducingvariety

of plastic household articles. The study has been conducted in order to relate

theoretical concept that has been taught in the classroom about the customer

satisfaction, surveys, research andmarketing. Itwas a great experience to know

thepracticalworks inside andoutside an organization. Theperiod of studywas

from12thJanuary2010to06thFebruary2010.

The main objectives of study are to find out the level of customer satisfaction

towardsthefirm.ItalsohelpstostudythecustomerattitudetowardsthePlastic

products. Research methodology is based on survey method and descriptive

research. Both primary and secondary data are used for the study. The primary

datawascollectedthroughquestionnaireandsecondarydatawascollectedfrom

companyreport,record,magazinesandwebsites.

Fromtheanalysisoftheresults,Ifoundthatthelevelofsatisfactionofcustomers

ishighwithregardtofirm’sproductsandservices.Onlyfewcustomershavelow

levelofsatisfaction.Buttheoverallopinionofcustomersisgoodaboutthefirm.

Customersatisfactionisanintegralpartofasuccessivefirmormanagement.The

studiesrevealthatthemajorityoftherespondentsaresatisfiedwithregardtothe

products and services of the firm. But, still there is a need for improvements in

advertisements through medias. In a nutshell, the customers are very satisfied

withthefirm.Andofcourse,theyaretherealassetsofthisesteemedorganization.

96

BIBLIOGRAPHY

STATUES:

Indian Partnership Act, 1932

PERIODICALS:

The Week

Business India

BOOKS:

Marketing Management - Philip Kotler

Service Marketing - S.M. Jha

WEBSITES:

google.co.in

altavista.com

97

QUESTIONNAIRE

DearSir/Madam,

I am Vibin P Cheriyan from Pondicherry University, doingM.B.A in

Marketing (Reg. No. 1308360001) As a part of my curriculum, I am

conductingasurveyforREDSTARPOLYPRODUCTS,Poravoor,Karikkad

PO,ThrissurDistrict,amongthecustomersoftheirproducts.Irequestyou

tofillupthisquestionnairebyputtingatickmarkagainstyourappropriate

choice for each statement. The data collected will solely be used for my

studypurposesonlyandwillbekeptconfidential.

StoreName: ……………………………………………………………………………………..

Position: ……………………………………………………………………………………..

City/District: ……………………………………………………………………………………..

Phone: ……………………………………………………………………………………..

E‐mail: ……………………………………………………………………………………..

PostalCode: ……………………………………………………………………………………..

98

Pleaseputatickmarkforyourappropriatechoiceofstatement.1.Statethecategoryortypeofoutlet?

RetailshopWholesalerModernformatOthers…………………………

2.WhydoyoupreferRedstarproducts?

QualityBrandimagePriceOthers………………………………..

3.WhichallRedstarproductsareyoudealingpresently?

BucketsContainersDrumsTraysBasketsWaterjugsTubsBasinsUtilityboxesDustbinsPedalbinsMugs

4.HowyoucametoknowaboutRedstarproducts?

AdvertisementPublicityCompanystaffOther……………………………..

5.Commentuponthedefectsoftheproducts?

NodefectsLessstrongLackoffinishingOthers………………………..

99

6.HowyoucommentupontheproductqualityofRedstar?

ExcellentGoodAverageBelowaverage

7.HowyoucomparethepriceofRedstarwithotherbrands?

HighReasonableLow

8.HowfrequentlyyouordertheRedstarproducts?

1‐2weeks2‐4weeks1‐2monthsAbove2months

9.InyouropinionhowlongtheuserscanuseRedstarproducts?

Below1year1‐2years2‐3yearsAbove3years

10.Howsatisfiedareyouwiththerelevantknowledgeofthestaffyoudealtdirectlywith?

ExcellentGoodAveragePoor

11.Commentuponthecourtesyofthecompanystaff?

ExcellentGood AveragePoor

100

12. How satisfied are you with the speed in which the service/product wasdelivered?

HighlysatisfiedSatisfiedAveragePoor

13.Commentuponavailabilityofproductinformation?

VerygoodGoodAverageBelowaverage

14.Commentuponthevalueoftheproduct?

VeryhighHighAverageBelowaverage

15a.WouldyouliketoconsiderorderingRedstarproductsagain?

YesNo

15b.Ifyes,howlikelywouldyoubetoconsiderorderingRedstarproductsagain?

VerylikelySomewhatlikelySomewhatunlikelyVeryunlikely

16.Forhowlong,haveyoubeendealingwithRedstarproducts?

Belowoneyear1‐2years2‐3yearsAbove3years

101

17.Howyouratetheservicesprovidedbythecompany?

ExcellentGoodSatisfactoryPoor

18.Howdoyouratetheresponsivenessofthecompanyindealingwithyou?

VerygoodGoodAverageBelowaverage

19. How do you rate the company’s approach to quality management to ensurecompletecustomersatisfaction?


20. How satisfied are you that the staff showed interest in you as an individual /treatedyouasavaluedcustomer?

HighlysatisfiedSatisfiedAveragefeelingBelowaverage

21.Howsatisfiedareyouwiththehelpfulnessofthecompanystaff?

HighlysatisfiedSatisfiedAveragefeelingBelowaverage

22.Commentuponthewayproblemswereresolved?


102

23.Commentuponthereputationofthecompany?


24.HowdidyoufindyouroveralldealingswithRedstar?

VeryGoodGoodAveragePoor

25.Anymoreresponses,oranysuggestionstoimproveourproductsandservices?……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………….…………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

Project

Documents

customer relation

target customer

customer satisfaction

satisfied customers

customer service commitment

firsttime customers

marketing network

marketing manager