Supreme petrochem ltd

M.B.A.programme Shivaji University, Kolhapur

INTRODUCTION OF THE COMPANY

1.1 Company profile (Holding company)

Company Name: SUPREME PETROCHEM LTD.

Corporate office: Solitaire corporate park-11,5th floor, Chakala , Andheri

(east), Mumbai 400093

Business Type: Manufacturer of Product or Service

Sell: XPS-Extruded Polystyrene boards, Styrofoam, foamular.

Number of Employees: Min.101 –Max. 500 People

Working area: Regional office West/Central-Mumbai, Regional office

North/East-Kolkata, Regional office South-Chennai, Bangalore & Hyderabad.

Main Customers: Whirlpool, Tata

Total Annual Sales Volume: Above US$100 Million

C.I.M.D.R., Sangli Page 1


Initial capital :

Net revenues for the year ended June 30, 2011 Rs.1943.49

crores.

Net profit of the year Rs.87.69 crores.

A dividend of Rs 2.80 per equity share declared for the year

2010-11.

Certifications :

TS16949, ISO 9001: 2000 accreditation from BVQI for Quality Management

systems.

ISO 14001: 1996 certification from DNV for Environmental Management

System.

OHSAS 18001: 1999 from BVQI for Occupational Health & Safety

Management.

5 star rating from Health & Safety Management from British Safety Council.

State award for exemplary 'Energy Conservation & Management in

Petrochemical industry’.

Silver award from Greentech Foundation for outstanding 'Environment

Management'.

1.2 Introduction of Company



Supreme Petrochem Ltd (SPL), owns and operates a state-of-the art

Polystyrene facility, with an installed capacity of 2,72,000 TPA located at

Nagothane in Raigad District, about 100 Kms south-east of Mumbai city. The

facility also includes a world class coloring and compounding facility with an

installed capacity of 17000 TPA. The Plant is based on technology from the

erstwhile Huntsman Chemical Corporation (Now NOVA Chemicals) USA

with basic engineering by ABB Lummus Crest, USA. SPL is the leader in

Polystyrene business in the Indian market place with a share of more than

50%. SPL is also the largest exporter of PS from India, exporting to over 95

countries around the globe. Currently SPL's exports are over 100,000

Tons/Year. The Product range covers the entire spectrum of Polystyrene.

GPPS range covers MFI of 1.6 to 20, HIPS covering both extrusion and

molding grades, ESCR, High Gloss and super High Impact grades. Supreme

Petrochem Ltd is the One-Stop-Shop for the entire chain of styrenic polymers

EPS, Specialty Styrenics, Compounds. A Minor Port to be developed to offer

logistic solutions for fast movement of goods. Over 50% market share in

India.

The specialty range includes UL listed Ignition Retardant HIPS (both

V0 and V2 rating), Mineral Filled HIPS, Micro floppy diskette grade, UV

stabilized PS, Toughened PS and custom colored PS, filled PP for

automotive/appliance industry application, high quality white and gray color

master batches for injection molding as well as film, sheet extrusion

applications. To hasten the development of new applications and use of these

materials Product Application Centre has been established where joint

programmes with customers are initiated.

SPL's reputation as a reliable supplier is due to its internationally acclaimed

safety record in plant operation and total compliance with global and local

standards on EHS. For these SPL has been awarded with 5 star rating from

British Safety Council.



Its operations are ISO 9001:2000, ISO 14001:1996 and OHSAS

18001:1999 certified. A strong online customer feed back system on quality of

products and services are the essence of SPL's quest for continuous

improvement. To strengthen the competitive position further, the company is

keenly pursuing its minor port project in district Raigad, Maharashtra to

handle the import of its raw materials. The company has taken over

management control of Shin Ho Petrochemical (India) Ltd, an existing player

in Expanded Polystyrene (EPS) in Chennai, (Southern India) with an installed

capacity of 6000 TPA. Same is being increased to 20,000 tpa. New EPS

project of 60,000 TPA capacities is under implementation in Nagothane

Styrenics Complex.



Supreme Petrochem Ltd (SPL),

Products

GPPS (General Purpose Polystyrene) - High heat /Medium to High flow

- Water clear version

Extruded Polystyrene (XPS) board - Supreme “Insuboard” for thermal

insulation

Compounds - Precolored GPPS / HIPS

- FR HIPS

- Toughened Polystyrene

- Modified PS Super high impact

- High Chemical resistance, UV,

Antistatic etc.

- Synthetic Wood Compound

- FR-PP

- PP filled compounds for Automobiles

- Green PPR compounds for hot water

piping

Polystyrene - versatile thermoplastics

- Various Grades of GPPS and HIPS

Injection molding, extrusion &

thermoforming, blow molding, foam

sheet / board extrusion and bi-axially

oriented sheet / film extrusion.

Crystal Polystyrene / GPPS -a transparent, amorphous polymer,

which exhibits high stiffness, good

dimensional stability and electrical

insulation properties etc.

-The sparkling clarity



HIPS (High Impact Polystyrene) - Medium to High flow

- ESCR version

- High Gloss version

Masterbatches - White & Grey MBs (PE/PP/PS based)

- UV MBs

- Nucleating MBs for XPS sheet/board

- Filler MBs

- Green MB for PPRC pipes

Specialty Polystyrene specifically designed for Appliance

industry, XPS (extruded expanded

foamed PS) insulation boards, OPS

(Oriented PS) sheet etc.



1.3 Company profile (Distributor of insuboard )

Company name: P V ENTERPRISES, Sangli.

Address : 15,Nav Sandesh road, Bhave Natya Campus,Peth bhag,

Sangli-416416

Owner : Pratik Bagaria .

Nature of business: Trades in all types of plastic raw materials, Distributor of

SUPREME PETROCHEM LTD., Distributor of Supreme Industries Ltd.

Working area: Sangli, Kolhapur, Solapur, Satara.

Products

Extruded Polystyrene (XPS) board - Supreme “Insuboard” for thermal

insulation

Specialty Polystyrene specifically designed for Appliance

industry, XPS (extruded expanded

foamed PS) insulation boards, OPS

(Oriented PS) sheet etc.

Vision To set up high standards of quality, productivity and efficiency.



1.4 Organization structure of P V Enterprises:


PROPRIETOR

RESEARCH & DEVELOPMENT

MAINTANANCE DEPT.

PURCHASE & STORE DEPT.

ACCOUNTANT


DISTRIBUTION CHAIN

DIRECT

DISTRIBUTE


Main company

Supreme Petrochem ltd

P V ENTERPRISES,

Sangli

(Distributor of Supreme

Petrochem ltd)

RETAILER

CUSTOMER


THEORETICAL BACKGROUND

2.1 INTRODUCTION

The main aim of marketing is to meet and satisfy target customers need

and wants. Buyer’s behavior refers to the people or organization conduct

activities and together with the impact of various influences on them towards

making decision on purchase of product and service in a market. A firm can

obtain new products in two ways. One is through acquisition-by buying a

company, a patent, or a license to produce someone else’s product. The other

is through the firm’s own new product launch efforts. Many new products are

launched into the marketplace with little prior planning for targeting the

customers, creating a sales strategy, developing a distribution strategy, training

the sales force, and integrating the competitive strategy. This mistake

significantly reduces or eliminates any potential profit the product may have,

and greatly increases the sales development time. These problems must be

avoided if a company wants to survive in today's competitive marketplace.

The product launch involves managing the development and

support of complex products and services throughout the entire lifecycle from

product design to product build to post-sale service. It includes the integration

of traditional new product introduction (Product innovation, design and

collaboration) with sourcing and procurement, supply chain planning and

execution, and service – the entire product lifecycle. The importance of being

first to market is discussed extensively in various sources. Besides the

instinctive idea that it is best to be first, other measurable benefits are possible

for those that get to the market sooner with Innovative products and services:



• Increased sales through longer sales life – The earlier product reaches the

market, relative to the competition, the longer its life can be.

• Increased margins – The more innovative product (that is, the longer it

remains on the market with little or no competition), the longer consumers will

pay a premium purchase price.

• Increased product loyalty – Getting the first opportunity to attract customers,

especially early adopters, offers an advantage in terms of customer loyalty;

customers will most likely upgrade, customize or purchase companion

products.

• More resale opportunities – For components, commodities or products that

other companies can private-label, being first to market can often help ensure

sales in other channels. New products are important-to both customers and the

marketers who serve them. For companies, new products are a key source of

growth. For customers, they bring new solutions and variety of their lives.

Product introduction is a primary source of long-term competitive advantage.

Companies with fast and efficient product introduction processes, which

provide customers with the products and services they demand, are better

positioned to win than competitors that are slow to react to market changes

and advances in product and process technology.



2.2 NEW PRODUCT LAUNCH

In recent years, product launching has become an art which can

make or break a product. A successful launch makes potential customers

aware of the new product and keen to try it. The new product launch process

plays a critical part in ensuring market in a timely and cost effective manner.

Moving through the product launch process it can be a resource intensive

exercise and laborious exercise. Yet, when product launch processes are

executed well they can make the difference between success and failure for the

product as well as for the organization.

DEFINITION OF NEW PRODUCT LAUNCH

PRODUCT LAUNCH is the orchestrated introduction of a new

product (or version of a product) to the market; the events surrounding making

the product available for purchase for the first time. Depending on company’s

distribution channel, a comprehensive product launch could entail a number of

elements and activities, possibly including: advertising campaign, direct

marketing campaign, public relations campaign, brochures and sales literature,

point-of-sales displays, product demonstrations, sales training, call-center

training (both pre-sales and post-sales support), inventory stocking in the

distribution channel, etc. In the fast moving world of Digital Entertainment,

the products offered to customers change very rapidly. Seasonal packages are

offered at different times of the year, in addition to special promotions that are

linked to popular events. The degree of change presents a considerable

challenge for both Marketing, trying to introduce new products into the

offering, and Contact Centre Operations needing to get team’s skilled-up

while continuing to meet demanding performance targets.



In the most successful ventures, planning for the New Product Launch starts

with preliminary design and development. Positioning, sales channels and

distribution, advertising and public relations all need to be addressed and

should be given as much time and energy as the development and design

stage. Synchronizing marketing activities with product development is also

critical for success. Among the key components included in a strong product

launch plan:

Clearly defined sales objectives.

Assured sales channel readiness.

Promotional functions in place (public relations/marketing/advertising )

Resources to track monitor and account for execution.

The secret of a successful product launch is to start planning early, plan

meticulously and focus on maintaining the momentum up to and beyond

launch. To create a dynamic set of plans (strategic and tactical plans created

and refined primarily during the product development phase) made within the

constraints of the project's time, resources, scope and quality parameters, to

achieve the best results possible for the product and for the company.

Define launch objectives

Structure and organize resources for success

Develop launch strategy, action plan, budget and timeline

Reducing uncertainty inherent in launching new products Shaping a customer-

oriented management process

Organizing a independent launch group and highly authorize it Protecting new

product from other followers-identifying direct and indirect competitors for

price, availability, unique strengths and distinguishing features

Avoiding the misunderstanding of the trend of market through further

employing surveys, focus group, interviews and sample testing

Carrying out testing toward the target market of you current product regularly

New product market sampling before launch process

Shaping the market not following it



The Product Launch Process must address all the steps necessary to start

volume production, plan and execute marketing activities, develop needed

documentation, train sales and support personnel (internal and external), fill

channels, and prepare to install and support the product.

Before the launching the new product in the market company must develop the

product development process. To create successful new products, a company

must understand its customers, markets, and competitors and develop products

that deliver superior value to customers. It must carry out strong new product

planning and set up a systematic, customer-driven new product development

process for finding and growing new products. Following are the process of

new product development.



2.3 New product development process:

1. Idea generation

New product development starts with idea generation-the systematic

search for new product ideas. A company typically generates hundreds of

ideas, in order to find a few good ones. Major sources of new product ideas

include internal sources and external sources such as customers, competitors,

distributors, & suppliers.

2. Idea screening

The purpose of idea generation is to create a large number of ideas.

The purpose of the succeeding stages is to reduce that number. The first idea-

reducing stage is” idea screening”, which helps spot good ideas and drop poor

ones as soon as possible. Product development cost rise greatly in later stages,

so the company wants to go ahead only with the product ideas will turn into

profitable products.

3. Concept development and testing

An attractive idea must be developed into a product concept. It is

important to distinguish between a product idea, a product concept, and a

product image.


Idea generationConcept

development and

testing

Marketing strategy

development

Business analysisProduct

development

Test marketingCommercialization

Idea screening


o Concept development

Product concept is a detailed version of the new product idea stated in

meaningful consumer terms. Marketer’s task is to develop new product into

alternative product concept and find out how attractive each concept is to

customers, and chose the best one.

o Concept testing

Concept testing calls for testing new product concepts with groups of

target consumers. The concept may be presented to consumers symbolically or

physically. Many firms routinely test new-product concepts with consumers

before attempting to turn them into actual new products. For some concept

tests, a word or picture description might be sufficient. However, a more

concrete and physical presentation of the concept will increase the reliability

of the concept test.

4. Marketing strategy development

Marketing strategy development is a designing an initial marketing

strategy for a new product based on the product concept. The marketing

strategy statement consists of three parts.

a) The first part describes the target market, the planned value proposition, and

the sales, market share, and profit goals for the first few years.

b) The second part of the marketing strategy statement outlines the product’s

planned price, distribution, and marketing budget for the first year.

c) The third part of the marketing strategy statement describes the planned long

run sales, profit goals, and marketing mix strategy.

5. Business analysis

It involves a review of the sales, costs, and profit projections for a

new product to find out whether they satisfy the company’s objectives. If they

do, the product can move to the product development stage.



6. Product development

If the product concept passes the business test, it moves into product

development. R&D develops the product concept into a physical product.

R&D hopes to design a prototype that will satisfy and excite consumers and

that can be produced quickly and at budgeted costs. Company can do their

own product testing or outsource testing to other firms that specialize in

testing.

7. Test marketing

Test marketing, the stage at which the product and marketing program

are introduced into realistic market settings. Test marketing gives the marketer

experience with marketing the product before going to the great expense of

full introduction. It lets the company test the product and its entire marketing

program-targeting and positioning strategy, advertising, distribution, pricing,

branding and packaging, and budget levels. The amount of test marketing

needed varies with each new product. When introducing a new product

requires a big investment, when the risks are high, or when management is not

sure of the product or marketing program, a company may do a lot of test

marketing.

When using test marketing, consumer products companies usually

choose one of the three approaches-standard test markets, controlled test

markets, or simulated test markets.

Standard test markets

Using standard test markets, the company finds a small number of

representative test cities, conducts a full marketing campaign in these cities,

and uses store audits, consumer and distributor surveys and other measures to

gauge product performance. The results are used to forecast national sales and

profits, discover potential product problems, and fine-tune the marketing

program. However there are some drawbacks they can be very costly and they

may take a long time. Despite these, standard test markets are still the most

widely used approach for major in market testing.



Controlled test markets

Controlled test markets, such as Behavior scan, usually cost less than

standard test markets. Also, because retail distribution is “forced” in first week

of the test, controlled test markets can be completed much more quickly than

standard test markets. These test market allow competitors to get a look at the

company’s new product. And some companies are concerned that the limited

number of controlled test markets used by the research services may not be

representative of their products markets or target consumers.

Simulated test markets

Companies can also test new products in a simulated shopping

environment. The company or research firm shows ads and promotions for a

variety of products, including the new product being tested, to a sample of

consumers. This simulation provides a measure of trial and the commercial’s

effectiveness against competing commercials. The researcher then asks

consumers the reasons for their purchase or non-purchase. Recently, some

marketers have begun to use interesting new high-tech approaches, such as

virtual reality and the internet, to simulated test market research.

8. Commercialization

Test marketing gives management the information needed to make a

final decision about whether to launch the new product. If the company goes

ahead with commercialization introducing the new product into the market-it

will face high costs. The company may need to build or rent a manufacturing

facility. And, in the case of a major new consumer packaged well, it may

spend hundreds of millions of dollars for advertising, sales promotion, and

other marketing efforts in the first year. The company launching a new

product must first decide on introduction timing. The company must decide

where to launch the new product-in a single location, a region, the national

market, or the international market. Few Companies have the confidence,

capital, and capacity to launch new products into full national or international

distribution right away.



2.4 Managing new product development

Companies must take a holistic approach to managing new product

development. A Successful new product development requires a customer

centered, team based, and systematic effort.

I. Customer-centered new product development

New product development must be customer centered .when looking

for and developing new products, companies often rely too heavily on

technical research in their R&D labs. But like everything else in marketing,

successful new product development begin with a thorough understanding of

what consumers need and value. Customer centered new product development

focuses on finding new ways to solve customer problems and create more

customer satisfying experiences. The most successful new products are ones

that are differentiated, solve major customer problems, and offer a compelling

customer value proposition.

II. Team based new product development

In order to get their new products to market more quickly, many

companies use a tem based new product development approach. Under this

approach, company departments work closely save time and increase

effectiveness. Instead of passing the new product from department to

department, the company assembles a team of people from various

departments that stay with the new product from start to finish. Such teams

Usually include people from marketing, finance, design, manufacturing, and

legal departments, and even supplier and customer companies in this

approach, if one area hits snags, it works to resolve them while the team

moves on.



III. Systematic new product development

The new product development process should be holistic and

systematic rather than compartmentalized and haphazard. Otherwise, few new

ideas will surface, and many good ideas will sputter and die. The company

can appoint a respected senior person to be the company’s innovation

manager. It can set up web based idea management software and encourage all

company stakeholders-employees, suppliers, distributors, dealers-to become

involved in finding and developing new products. The innovation management

system approach yields two favorable outcomes

It helps create an innovation oriented company culture.

It will yield a larger number of new product ideas, among which will be found

some especially good ones

Thus, new product success requires more than simply thinking up

a few good Ideas, turning them into products, and finding customers for them.

It require holistic approach for finding new ways to create valued customer

experiences, from generating and screening new ideas to creating and rolling

out want satisfying products to customers.



PROJECT DESIGN AND METHODOLOGY

3.1 Introduction to The Project Title:

“A STUDY OF NEW PRODUCT LAUNCH - INSUBOARD WITH

REFERENCE TO PV ENTERPRISES, SANGLI”

The study of new product launch help firms and organizations to earn

half of their sales and profits for earlier in the product life cycle than company

leaders realize. After an early window of opportunity, new products are often

smothered by copycat competitors rushing to market, waning media and

analyst attention, sales channel apathy, price pressures and purchasers unable

to distinguish the product through all the competitive clutter.

With the correct launch, new and innovative products have great

advantages early in their life cycles—competition is light, media and analyst

interest is heavy, sales channel enthusiasm is passionate and buyers are

energized by the novelty of the product's promised solutions. In today's “speed

of thought” mentality, getting product to market first is absolutely critical to

organization’s sales and profit success.



3.2Objective:

1. To study the process of new product launch of insuboard.

2. To study the various alternatives used by customers for cooling purpose.

3. To identify potential market for product –insuboard.

3.3 Importance & significance of study:

The basic idea of taking up this study is to test the market which is

efficient to the product insuboard and at the same time, an attempt was made

to understand the distribution channel relationship and the problem faced by

the dealers.

3.4 Hypothesis:

High income group people use AC for maintaining their status.

Customer residing in independent house will easily accept installation of

insuboard.

3.5 Scope of study:

As there are a large number of constructions started in Sangli area so

the study was conducted in Sangli, Miraj and Madhavnagar to test the

potential market for product insuboard.



3.6 Research Methodology

REASEARCH METHODOLOGY is a way of systematically

solves the research problem.

It may be understood as a science of studying how research is done

scientifically. In it researcher study the various steps that are generally adopted

by him in studying his research problem along with the logic behind them. It is

necessary for the researcher to know not only research methods/ techniques

how to calculate the mean, mode, median or standard deviation or chi-square.

How to apply particular research techniques but also they need to know which

of these are methods or techniques are relevant and which are not, and what

would they mean and indicate and why researchers also need to understand the

assumptions underlying various techniques and they need to know the criteria

by certain problems and others will not, all this means that it is necessary for

the researcher to design his methodology for his problem as the same may

differ from problem to problem.

Sample size:

Sample size is 50.

TECHNIQUES OF INTERPRETATION AND ANALYSIS:

For analysis and interpretation of data the researcher has use following Statistical

techniques such as:

Tabulation & analysis

Percentage

Graph and average

Chi square technique



SOURCES AND METHODS OF DATA COLLECTION

Source of data collection:

There are two types of data collection:

1. Primary data collection

2. Secondary data collection

Data collection method:

Primary data:

It is original data, first hand and for the specific purpose of the research

project. For this project, researcher has used the following common research

instrument:-

Questionnaire:

In this Questionnaire, researcher have used mostly close-ended questions that

are easier to be answered by respondents and also easier for interpretation and

tabulation & one open-ended question to take the opinion of the respondents in

their own words.

For collecting the answers from the Questionnaire, following common

method is used:-

Personal interview:

It is the most common method for contacting consumers and collecting

primary data. It is most expensively used method. It enables better control of

the sample and ensures answers from the respondents. It also provides for a

tactful approach to the respondent since it is based on a person–to-person talk.

Researcher has interviewed with contractors & building owners to study their

response regarding the product –insuboard.



Secondary data

It was collected to add the value to the primary data. Its profile and other

necessary records and information was collected by referring to website,

magazines, annual reports, reference books, etc

3.7 Limitation:

1. It was assumed that the information given by the respondents is authentic and

best of their knowledge.

2. Some of the view given was completely views by consumers as they were in a

hurry and were not considered in the data analysis.

3. Researcher came across language barrier during survey.



PRESENTATION OF DATA

4.1 INTRODUCTION ABOUT THE PRODUCT-INSUBOARD

XPS Insulation Board:

Extruded Polystyrene (XPS) Thermal insulation board is a rigid foam board

extruded from Polystyrene, having closed cell structure. It is globally

acknowledged to be one of the best value-for-money thermal insulation

options. Insuboard is available in thickness of 25 to 100 mm; standard size is

1250 x 600mm.

Density : 36 ( + 2 ) Kg/m3

Dimensions : 1250 x 600 mm

Thickness : 25, 50, 75, 100 mm



4.2 BENEFITS OF THE PRODUCT:

Savings energy costs

XPS Thermal Insulation helps save energy costs in a building as air-

conditioning loads will be lower & cooling effect is retained longer in an

insulated building.

Living comfort inside the building

XPS Thermal Insulation helps provide a comfortable living inside the

building by providing a thermal barrier against heat conduction, suppressing

air movements to limit heat convection & limiting heat radiation effects.

Enhanced life of the building structure

XPS insulation enhance the life of the building structure by providing

protective insulation & thereby preventing the formation of cracks due to

thermal expansion-contraction stresses which occur when a building structure

is exposed to sunlight.XPS also helps in extending life of terrace

waterproofing



WHY Thermal Insulation . . . ???

1) Conduction :-

It is the direct transfer of heat through the windows to the out doors.

2) Radiation :-

It is the movement of heat as infrared energy through the glass.

3) Convection :-

It occurs where air gives up its heat to the cooler glass and sinks

toward the floor. This movement sucks new, warmer air toward the glass that

is turn cooled, creating a draft.

4) Air leakage :-

It is the passage of heated air through cracks and around whether

stripping



4.3 Applications of insuboard

XPS Boards Can Be Effectively Used For Following Applications :-

§ Roofing Insulation (Concrete / Pitched Roof /Inverted Roof / Ceilings)

§ Flooring Insulation

§ Wall Insulation

§ Cold Storage - Walls, Floor, Ceiling



4.4 Extruded P oly s tyrene thermal insulation board

INSUboard can be protected from fire by facing material or

complete encapsulation. When installed correctly, (by protecting

INSUBOARD™ from ignition sources and damaging heat build up) it does

not represent fire hazards. Use of proper PPE (Personal Protective Equipment)

is recommended, during installation. General Service temperature for

INSUBOARD™ is -5O °C to +75 °C. Direct contact with surface exceeding

75°C, such as chimney, heater vent, steam pipe, etc. to be avoided. Prolonged

exposure to sun light will cause discoloration of the product. It is

recommended to store the product covered with PE film at dry and cool place

away from sunlight. Adhesive based on Solvents of Polystyrene may erode the

surface of XPS. Use of adhesive at actual site to be preceded by prototype

demonstration.

Good Thermal insulation value to weight ratio. Closed cell structure with

homogeneous composition offers high resistance to water absorption & vapour

diffusion therefore no change in thermal resistance with time .Use of

Environment friendly (non-Ozone depleting) blowing agent. Good mechanical

strength offers durable exterior wall structure.

XPS demonstrate good 'walk-ability' hence eminently suitable as roof

insulation material. It is Light; rigid and easy to handle with no need for

special protection & also easy to stacking, non-bending and non-friable, hence

no dust issues, making the product easy to handle from the production site to

the building site. Non-toxic, non-itchy, non-irritant and no identified health

and safety issues in working with XPS. Immune to attack from pests, rodents,

bacteria and micro organisms.



XPS is not a nutritional source for insects and animals hence allowing

integrity of the insulation system for very long period. It is easy to cut & use

for speedy installation can be glued by adhesive tape / special polymer

adhesives, or fixed by regular tools. At the end of life building life, the XPS

can be recovered and recycled.

XPS Insulation is acknowledged to be one of the best solutions as a building

envelope for the roofs, walls and basements, as it helps insulate the building

interiors, reduces cooling energy requirements, & enhances the life of the

building structure. It is environment friendly, does not absorb moisture, has a

long life and does not rot, mould or get spoiled.



4.5 Insulation: terminologies

• K value:

Thermal conductivity is the ability of a material to conduct heat. Unit : W/mK

• U value:

K / t: Thermal transmittance is the rate of transfer of heat (in watts) through

one square metre of material when unit temperature difference is maintained.

Unit: W/m²K.

• R value:

Thickness / K = 1 / U. Unit : m²K / W


http://en.wikipedia.org/wiki/Metre

http://en.wikipedia.org/wiki/Watt


PropertyXPS (SPL-

INSUboard)PUF Panel EPS (Thermocol)

Thermal Resistivity

(R-Value-m²k/W)0.88-0.95 0.97-1.14* 0.65-0.7*

Density (kg/m³) 34-38 30 15-33

Water Absorption by Volume 0.3% 5-7% 2-4%

Compressive Strength (kpa) 250-300 200 100-200

Application areaOver deck / Under

deckUnder deck only Under deck only

Effective Life Approx. 60 Yrs. Approx. 3 Yrs. Approx. 5 Yrs.

Cell Structure

100 % HomogenousHomogenous

Closed Cell structure.Closed Cell structure.

No voids presentNo voids present

between the cells.between the cells.

Open Cell StructureOpen Cell Structure

Open Cell Structure as theOpen Cell Structure as the

beadsbeads

are surrounded by voids.are surrounded by voids.

Comparison of Insulating Materials

* R Value Drops with respect of time and condition



XPS (SPL-INSUboard)

PUF Panel

EPS (Thermocol)



Fastener for the fixing of insuboard



Final look after fitting the insuboard



DATA ANALYSIS AND INTERPRETATION

Table 5.1 Table showing Income group of respondents.

Income groupNo. of

RespondentsPercentage (%)

5-10 lakhs 11 22

11-15 lakhs 15 30

16-20 lakhs 13 26

20 & above 11 22

Total 50 100

Graphical representation

5-10 lakhs

11-15 lakhs

16-20 lakhs

20 & above

0

2

4

6

8

10

12

14

16

11

15

13

11

INCOME GROUP

No. of Re-spondents

Interpretation

It was found that, most of the respondent are from the income group of Rs.11-

15 lakhs i.e.15 out of 50 (30% ),followed by 13 members out of 50 with

income group 26%,followed by the income group of 11 member each for

income group Rs 5-10 lakhs and Rs 20& above. So it is clear that in sangli

area most of respondent are from middle income group.



Table- 5.2: Table showing different types of houses that are mostly used

by people.

ParticularsNo. of

respondentPercentage (%)

Flat 22 44

Row houses 12 24

Bunglow 16 32

Total 50 100


22

12

16

Types of houses

flatRow housesbunglow

Interpretation:

As per the above table 5.2 it is clear that, most of respondents are from middle

class family so that they choose flat system for their living style.44 %

respondent use flat system for their living in Sangli area. Whereas 32 % live in

their own bunglow, followed by 24 % live in row houses.



Table- 5.3: Table showing budgeting plan for construction purpose

Particulars No. of Respondents Percentage (%)

2-5 lakhs 11 22

6-10 lakhs 12 24

11-15 lakhs 15 30

16 lakhs 12 24

Total 50 100


2-5 lakhs

6-10 lakhs

11-15 lakhs

16 lakhs02468

10121416

1112

15

12

Budgeting plan

No. of Re-spondents

Interpretation

As per the above table 5.3 researcher found that, 30 % respondent are ready to

invest money in construction and prepare budget plan which is lies between

11-15 lakhs where as there are equal percentage of budget plan i.e.24 %

between 6-10 lakhs and 16 lakhs.



Table- 5.4: Table showing whether people live in owned house or rented

house


Owned house 41 82

Rented house 9 18

Total 50 100

Graphical Representation

41

9

Living style

Owned houseRented house

Interpretation

As per the above table 5.4 it is clear that, 82% respondents live in their own

house whereas 18 % respondents are live in rented house because of the

middle income status.



Table- 5.5: Table showing that people face the problem of excessive heat

in their house

ParticularsNo. of

RespondentsPercentage (%)

Yes 38 76

No 12 24

Total 50 100


38

12

No. of Respondents

YesNo

Interpretation

The table 5.5 shows that,76 % respondent face the problem of excessive heat

in their house, whereas only 12% respondent feels comfort in their house.

Table- 5.6: Table showing the problems faced by the people




Excessive heat 15 30

High electricity

bill24 48

Allergy from AC 1 2

Skin disease 2 4

All of the above 8 16

Total 50 100


Interpretation

From the above table 5.6 it is clear that, 48% respondent face the problem of

high electricity bill whereas 30% respondent face the problem of excessive

heat, 2 % respondent got allergy from using AC and 4% respondent suffers

from skin disease.16 % respondent having the entire problem like excessive

heat, high electricity bill, allergy from AC and skin disease.


Exces

sive h

eat

High el

ectri

city b

ill

Allerg

y fro

m AC

Skin di

seas

e

All of t

he ab

ove

0

5

10

15

20

25

15

24

1 2

8

No. of problems

No. of Respondents


Table- 5.7: Facilities that are mostly used for cooling air in the house


Fan 20 40

cooler 11 22

Ac 19 38

Total 50 100


20

11

19

No.of facilities

FancoolerAc

Interpretation

As per the above table 5.7 it is clear that 40 % respondent use fan for cooling

purpose where as 38 % respondent use AC and remaining 22 % use cooler for

maintaining cool air in the house as per their income level status.



Table- 5.8: Table showing the months in which people uses electronic

devices for cooling air in house

Months No. of Respondents Percentage (%)

Jan-Mar 6 12

Apr-Jun 16 32

Jul-Sept 0 0

Oct-Dec 0 0

All months 28 56

Total 50 100


6

1628

No. of months

Jan-MarApr-JunJul-septOct-DecAll months

Interpretation

The above table 5.8 depicts that most of i.e.56 % respondent use the electronic

devices in all months while 32 % respondent use these devices in the month of

April – June where as 12 % respondent in Jan –Mar and because of less heat in

the month of Jul –Sept and Oct –Dec people cannot use these electronic

devices for cooling purpose.



Table- 5.9: Table showing that the number of hours using electronic items

for cooling air

No. Of hoursNo. of

respondentPercentage (%)

1-5 hrs 10 20

6-10 hrs 18 36

10 & above 4 8

continuous 18 36

Total 50 100


10

184

18

No. of Hours

1-5 hrs6-10 hrs10 & abovecontinuous

Interpretation

Above table 5.9 shows that, using the electronic devices for cooling the air is

equal 36 % respondent used these electronic devices for 6-10 hrs as well as

continuously while 20 % respondent use these devices for 1-5 hrs and



remaining 8 % respondent use for 10 & above hrs due to excessive heat in the

environment.

Table- 5.10: Table showing the electricity bill per month

Bill per month

(in Rs)No. of Respondents Percentage (%)

500-700 4 8

700-1000 21 42

1000-1500 12 24

1500 & above 13 26

Total 50 100


500-700 700-1000 1000-1500

1500 & above

0

5

10

15

20

25

Electricity Bill Per Month

Series1

Interpretation



The above table 5.10 shows that, 42 % respondent got Rs 700-1000 electricity

bill per month while 26 % respondent got bill in between 1500 & above due to

excessive heat.

Table- 5.11: Table showing the response of people for reducing their

electricity bill.


Interpretation

The above table 5.11 shows that 92 % respondent want to reduce their

electricity bill while only 8% respondent are satisfied with their per month

bill. Some respondent are comfort with their living style and they don’t want

to reduce their electricity bill as they are satisfied.


yes no05

101520253035404550

46

4

No. of Respondents

No. of Respondents


Yes 46 92

No 4 8

Total 50 100




Table- 5.12: Table showing the beliefs of people on any product that it

reduces their electricity bill by keeping their house cool during summer

and other season.


Yes 13 26

No 24 48

Don’t

know13 26

Total 50 100


13

24

13

No. of Respondents

YesNoDon’t know

Interpretation

From the above table 5.12 it is clear that, 48 % respondent believes that any

product cannot reduce their electricity bill while 26 % respondent thought that

there is the product which can reduce the electricity bill whereas 26 % said

that they don’t know whether any product can reduce their electricity bill or

not.



Table- 5.13: Table showing the awareness among the people regarding the

product insuboard.


Yes 26 52

No 13 26

Can’t say 11 22

Total 50 100


26

13

11

NO.OF AWARENESS

YesNoCan’t say

Interpretation

The above table 5.13 shows that , 52 % respondent are aware about the quality

and benefits of the product insuboard whereas 22 % respondent can’t say

about their awareness. While 26% respondent are not aware about the quality

and benefits that are provided by the product insuboard.



Table- 5.14: Table showing that if people are ready to invest in product insuboard while it increases their budget of construction up to Rs 40-50 THz per sq feet by giving lifelong benefit.


Yes 26 52

No 16 32

Can’t say 8 16

Total 50 100


Yes No Can’t say0

5

10

15

20

25

30

26

16

8

No. of Respondents

No. of Respondents

Interpretation

From the above table 5.14 it is clear that 52 % respondent are ready to invest

in the product insuboard while it increases their construction plan up to Rs 40-

50 THz per sq.feet Whereas 32 % respondent don’t want to change their

construction plan because most respondent are from middle income group and

other 16% people thought that they can’t say if they want to change their

construction plan or not because of some limitations.



Table- 5.15: Table showing response of people towards the benefits that

insuboard will serve.

benefits No. of Respondents Percentage (%)

Reduce electricity bill 25 50

Enhance building life 3 6

Comfort of living 9 18

All of the above 13 26

Total 50 100


25

39

13

No. of benefits

Reduce electricity bill

Enhance building life

Comfort of living

All of the above

Interpretation

From the above table 5.15, it is clear that half of the respondent believe that

insuboard can gives the benefit of reducing electricity bill while 26 %

respondent believe that the insuboard can provide all the benefits like reducing

electricity bill, enhance building life, comfort of living etc whereas 6 % people

thought that product can enhance their building life and remaining 18% people

feel that insuboard can provide comfort of living to them.



Table- 5.16: Table showing the investment of people in product insuboard

for their house


Only for hall 5 10

Only for bed-

room12 24

Minimum 2 rooms 17 34

None of the above 16 32

Total 50 100


5

12

17

16

No. of Respondents

Only for hall

Only for bed-room

Minimum 2 rooms

None of the above

Interpretation

From the above table 5.16 it is clear that 10 % respondent are ready to invest

their money only for hall while 24 % are ready for bed-room only, whereas 34

% respondent are ready to invest for minimum 2 rooms. Remaining 32%



respondent are not ready for invest money for any of the room, hall or bed-

room



HYPOTHESIS TESTING

1) High income group people using AC for maintaining their status.

Ho: - There is no relationship between income group and use of AC

Ha: - There is the relationship between income group and use of AC

Income

group

( in

thousands )

No. of People using AC

Strongly

agree

Agree Neutral Strongly

disagree

Dis -

agree

TOTA

L

5-10 2 1 3 0 0 6

11-15 5 6 4 0 2 17

16-20 1 7 5 0 1 14

20 & above 9 3 1 0 0 13

Total 17 17 13 0 3 50



Expected Frequency Table

Income

group

( in

thousands )

No. of People using AC

Strongly

agree

Agree Neutral Strongly

disagree

Dis -

agree

TOTA

L

5-10 2.04 2.04 1.56 0 0.36 6

11-15 5.78 5.78 4.42 0 1.02 17

16-20 4.76 4.76 3.64 0 0.84 14

20 & above 4.42 4.42 3.38 0 0.78 13

Total 17 17 13 0 3 50

Expected frequency = Totalof Row∗Totalof Column

Total Value



Chi - square method

Sr. No

Observed Frequency

Expected

Frequency

O –E (O-E)2 (O-E)2/E

1 2 2.04 -0.04 0.0016 0.000782 5 5.78 -0.78 0.6084 0.105253 1 4.76 -3.76 14.1376 2.970084 9 4.42 4.58 20.9764 4.745795 1 2.04 -1.04 1.0816 0.530196 6 5.78 0.22 0.0484 0.008377 7 4.76 2.24 5.0176 1.054118 3 4.42 -1.42 2.0164 0.456199 3 1.56 1.44 2.0736 1.3292310 4 4.42 -0.42 0.1764 0.0399011 5 3.64 1.36 1.8496 0.5081312 1 3.38 -2.38 5.6644 1.6758513 0 0 0 0 014 0 0 0 0 015 0 0 0 0 016 0 0 0 0 017 0 0.36 -0.36 0.1296 0.3618 2 1.02 0.98 0.9604 0.9415619 1 0.84 0.16 0.0256 0.0304720 0 0.78 -0.78 0.6084 0.78

Total 55.376 15.54



X2 = (O-E) 2

E

Degree of freedom= (R-1)*(c-1)

= (4-1)*(5-1)

=12

Comment:

Since the calculated value of 15.54 is greater than table value for 12 degree of

freedom at 5 % level of significance are 11.340, so hypothesis is rejected.

Therefore we can say that there is the relationship between group of income

level people and use of AC. So high income group people use AC for

maintaining their status.



2) Customer residing in independent house will easily accept installation of

insuboard

Ho: There is no relationship between resident profile of customers and

installation of insuboard.

Ha: - There is the relationship between resident profile of customers and

installation of insuboard


Types of

houses Profile of Residence

Flat Row houses bunglow TOTAL

Owned house 6 3 0 9

Rented house 15 8 18 41

TOTAL 21 11 18 50


Expected Frequency Table


Types of

houses

.

Profile of Residence

Flat Row houses Bunglow TOTAL

Owned house 3.78 1.98 3.24 9

Rented house 17.22 9.02 14.76 41

TOTAL 21 11 18 50


Expected frequency = Totalof Row∗Totalof Column

Total Value



Chi square method

Sr. No

Observed Frequency

Expected Frequency

O –E (O-E)2 (O-E)2/E1 6 3.78 2.22 4.9284 1.30

2 15 17.22 -2.22 4.9284 0.28

3 3 1.98 1.02 1.0404 0.52

4 8 9.02 -1.02 1.0404 0.11

5 0 3.24 -3.24 10.4976 3.24

6 18 14.76 3.24 10.4976 0.71

Total 6.16

X2 = (O-E) 2

E

Degree of freedom = (R-1)*(c-1)

= (2-1)*(3-1)

= 2

Comment:

Since the calculated value of chi square 6.16 is greater than table value from 2

degree of freedom at 5 % level of significance is 5.99. So hypothesis is

rejected. Therefore we can say that there is the relationship between resident

profile of customers and installation of insuboard. So Customer residing in

independent house will easily accept installation of insuboard.

FINDINGS & SUGGESTIONS



6.1 FINDINGS&OBSERVATIONS:

Observations :

It was observed by the researcher during the survey that the awareness level of

insuboard is very negligible among contractors, architectures & owners

because of less publicity of the product .Researcher could generate awareness

among them.

It was observed by the researcher that AC & cooler are the strong competitors

to the product insuboard.

During survey it was observed that, most of the respondent prefer eco friendly

product.

It was observed that proper advertisement of the product was not be there so

it is a most difficult task to get the publicity of the product up to final

consumer.

Findings:

During survey it was found that, most of respondent are from middle class

family so that they choose flat system for their living style

People are faced the problem of excessive heat into their houses due to

increase in global warming.

Due to the problem of excessive heat respondent pay high electricity bill and

so that they want such a product that can be reduce the electricity bill as well

as make them feel comfort in their house.

52 % of respondent were convinced with benefits of insuboard.

Half of the respondent were believe that insuboard will provide the benefit of

reducing electricity bill while 26 % people believe that the insuboard will

serve the benefits like reducing electricity bill, enhance building life, comfort

of living etc.

More than 50 % respondent are ready to invest in the product insuboard while

it increases their construction plan per sq feet because of generating awareness

among them about the quality & benefits of the product –insuboard .



Majority of respondent are aware of current pricelist due to the effective

communication by the distributors after generating awareness among them.

Most of the respondents are from the income group of Rs.11-15 lakhs. So they

are ready to invest money only for bed-room. 34 % people are ready to invest

for minimum 2 rooms. It shows that insuboard has got strong grip in the

market and if the distributor will contribute more enthusiastically then market

share may grow further.



6.2 SUGGESTIONS:

Since the product is newly launched in the market so that it suffers through

introductory stage of product life cycle. In this stage the firm seeks to build

product awareness and develop market for the product. So in this stage 4’s are

affect on the product as market changes these are product, price, promotion

and place.

It is a period of slow sales growth as the product is introduced in the market.

Profits are nonexistent because of the heavy expenses incurred with product

introduction.

So as per the life cycle Company should introduce low price product to satisfy

the needs of the low or middle class people in the segment and also apply

proper marketing strategy for promoting the product.

Company should do STP analysis as per the demography wise. Demographic

variables are the most popular bases for distinguishing customer groups as per

the age, family size, income group etc. Here company should do STP as per

the income level of the people.



Income

group

No. of Respondents

5-10 lakhs 11

11-15 lakhs 15

16-20 lakhs 13

20 & above 11

Total 50

From the above table company should target high income group people so that

product can get easy and efficient market. Company should also make the

team market-driven as per the STP analysis.

Branding and promotional activities should be done effectively as it creates a

long lasting image in the mind of the customers. So before launching the

product in the market company should build a proper brand image in the mind

of customers.

Company should train customer service department fully so that they can

effectively sell the product.

Company should compare the product with its substitutes like AC & cooler

and do benchmarking of the product

Company should contact with civil engineers and also with the architecture

association as per the STP analysis and also explain to them the benefits of the

product insuboard can be providing after installation.



Identification of SWOT is essential because subsequent steps in the process of

planning for achievement of the selected objective may be derived from the

SWOT

SWOT ANALYSIS FRAMEWORK



SWOT analysis of the company

Strengths

- Unique product

- Location of the

business

- Quality of the

product

Weaknesses

- Poor marketing and

sales

- Undifferentiated

product

Opportunities

- New emerging

of developing

market

- Market trends

Threats

- New competition

in the market

- Price wars

- Economic

conditions

So before launching the product in the market company should be done their SWOT analysis as per the segmentation. SWOT Analysis provide information that helps in synchronizing the firm’s resources and capabilities with the competitive environment in which the firm operates.



Conclusion:

The overall study of new product launch –insuboard with reference

to “P V ENTERPRISES” indicates that maximum customers are aware

about the quality of the product. This study also provides the idea about

further expansion of the product in different sectors and it also helps to

make changes in present practice. Company need to modify their

advertising strategies in order to educate the target audience about the

product-insuboard. Hence insuboard will be able to win a major role

between the competitors.



APPENDICES

Questionnaires

Study of new product launch

INSUBOARD

NAME:

AGE:

ADDRESS:

PROFESSION:

INCOME (THZ): 5-10 11-15 16-20 20 & ABOVE



1) What kind of house is yours?

a) Flat b) Row house c) Bunglow

2) If it is flat, on which floor?

a) Top b) Middle c) Lower

3) What is your budgeting plan for construction?

a) 2-5 lakhs b) 6-10 lakhs

c) 11-15 lakhs d) 16 lakhs

4) Is your house owned or rented?

a) Owned b) Rented

5) How many rooms are there in your house?

a) 2 b) 3 c) 4 d) 5 & above

6) Do you face the problem of excessive heat in your house?

a) Yes b) No



7) What are the problems you face more?

a) Excessive heat

b) High electricity bill

c) Allergy from AC

d) Skin disease

e) All of the above

8) What kind of facilities you used mostly for cooling air?

a) Fan b) Cooler c) AC

9) Do you think AC is a status symbol?

a) Strongly agree b) Agree c) Neutral

d) Strongly disagree e) Disagree

10) During which months you used these electronic things mostly?

a) Jan – Mar b) Apr - Jun

c) Jul - sept d) Oct – Dec

e) All months

11) For how many hours you used these electronic things?

a) 1-5 hrs b) 6-10 hrs c) 10 & above hrs

d) Continues



12) How much is your electricity bill per month?

a) 500-700 b) 700-1000 c) 1100-1500

d) 1500 & above

13) Would you like to reduce your electricity bill?

a) Yes b) No

14) Do you think, any product reduces your electricity bill by keeping your house

cooler during summer and other season?

a) Yes b) No c) Don’t know

15) According to you, which of the following benefits that insuboard will

serve?

a) Reduce electricity bill b) Enhance building life

c) Comfort of living d) All of the above

16) If insuboard increases your construction budget by Rs 40-50 THz per sq feet

but gives you lifelong benefit then are you ready to invest in it?

a) Yes b) No c) can’t say

17) Are you aware about the product insuboard?

a) Yes b) No c) can’t say



18) For how many rooms would you like to invest?

a) Only for hall b) Only for bed-room

c) Minimum 2 rooms d) None of the above

19) Suggestions; if any



BIBLIOGRAPHY:

BOOK REFERRED

- Kotler, Philip; `` Principles of Marketing’’, Dorling Kindersley

(India) Pvt. Ltd., 2010.

Search Engine: www.google.com

Internet Websites:

No author, no date, about us retrieved on 20/06/2011 from www.insuboard.com

No author, no date, about us retrieved on 05/07/2011

www.supremepetrochem.com

No author, no date, about mutual fund retrieved on 12/07/2011 from

http://www.irieauctions.com


http://www.irieauctions.com/

http://www.supremepetrochem.com/

http://www.insuboard.com/

Supreme petrochem ltd

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