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PROJECT REPORT ON INTERNATIONAL MARKETING OF SALTEX
PROJECT REPORT
ON
INTERNATIONAL MARKETING
OF SALTEX
SUBMITTED TO
UNIVERSITY OF PUNE
BY
MOHMAD YASEEN
UNDER THE GUIDENCE OF
PROF. TAHSEEN MAKANDAR
IN PARTIAL FULFILMENT
OF
BACHELOR OF BUSINESS
ADMINSTRATION (BBA)
(2010-2011)
ABEDA INAMDAR SENIOR COLLEGE
PUNE (411001)
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INTRODUCTION
TO THE
STUDY
SALTEX
(PUNE)
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DECLARATION
I, the undersigned, hereby declare that this project titled "INTERNATIONAL MARKETING of
SALTEX is a bonafide work prepared by me. The empirical findings in this report are based on
the data collected by me. The work incorporated in this project is original. All the Endeavour
put in the completion of this project are genuine and original.
This report is submitted to Pune University, in partial fulfillment of the Bachelors Degree in
Business Administration.
Mohmad Yaseen
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ACKNOWLEDGEMENT
This project has been made possible through the direct and indirect co-operation of various
people for whom I wish to express my appreciation and gratitude.
I would like to thank SALTEX (Pune) for giving me opportunity to giving me full co-operationwhile collecting the data about the SALTEX.
As a student of BBA I got an opportunity to visit SALTEX (Pune) extensively collecting data. Iinteracted with the sales persons, customers. This gives me a lot of exposure.
I would like to thank Mr. Fareed Salepur who guided me through out the project. And also Iwould like to thank all staff at SALTEX (Pune) for their direct or indirect support.
I would like to thank Mr. Tahseen sir for guiding me while preparing the project.
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Table of contents
Chapters page no
Introduction to study 6
(a) Background of the study 7
(a) Objectives of study 8
(b) Scope of study 9
(c) Assumptions 10
(d) Limitations of study 11
(e) Significance of the study 12
Company profile 13
Literature Review 17
Research Methodology 21
Data Analysis and Interpretation 23
Findings 29
Suggestions and Recommendations 31
Future scope 33
Questionnaires 35
Bibliography 37
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INTRODUCTION
The project international Marketing was a project undertaken at SALTEX (Pune), the mainaim of this project was to see the INTERNATIONAL MARKETING Strategy of SALTEX forcoming competitions.
To conduct the project the first and foremost need was to collect the data for the study. Thesource of data is the customer and the staff of the SALTEX (Pune).
The sole purpose of this study is to find out and suggest strategies for SALTEX so that it canretain its position as of market leader. And find out the customer preference about the company.
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BACKGROUND OF THE STUDY
The project was undertaken for partial fulfillment of the BBA program conducted by ABEDA
INAMDAR SENIORCOLLEDGE under Pune University.
This study helped in identifying the customers preference and product availability in regards to
choice of SALTEX products in different area of the world and also helped in identifying
problem areas and complaints of the customers towards the products. This study was undertaken
for a period of 10 days during which saltex employees and some customers were interviewed.
Personal interactions with some of the customers of SALTEX, helped in identifying the
problems faced by them and their complaints towards products of SALTEX.
The research undertaken was of Descriptive type. The nature of research was Quantitative. The
type of questionnaire was structured. The type of questions was formalized and limited probing.
The results obtained were through personal interviews with the customers.
The research was carried out in company premises. During the study, customers complaints and
suggestions were taken to improve on the product and distribution system. This information
would help the company to further enhance its association with its existing as well as new
dealers by providing quality and service from the customer point of view.
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OBJECTIVES
The main objective of conducting the study was:
To find out customers preference towards selling products.
To identify customers complaints about products.
To study the product availability of products in different areas of the world.
To determine the most important factor to sell products according to the customers
perception.
To develop International Marketing strategy for SALTEX.
To suggest a strategy for maximum reach to the customers.
To study the current strategies in SALTEX
To study the areas of improvement
To find out how efficiently the company using its strategies in market.
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SCOPE
The data was mainly collected from SALTEX (Pune) company.
The scope of the study covers SALTEX company only
The data was mainly collected from the staff and management of SALTEX
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ASSUMPTIONS
The information and data provided by the SALTEX is correct and up to date.
Find out the international Marketing Strategy was the main aim motive of the research
It was assumed that the kind of services provided at SALTEX was very good.
It was assumed that the setup of the layout of SALTEX was just perfect.
SALTEX provides customers with quality and branded products at affordable prices.
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LIMITATIONS
The study has the following limitations:
The study was carried out in a fixed time period of 50 days.
Results of the study are applicable to SALTEX only
The sample size of customers taken was limited.
The management and the staff may have acted biased on some questions as they are the
employees of the company.
The finding of the report was made in SALTEX only. Care should be taken while
generalizing the data of other companies.
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SIGNIFICANCE OF THE STUDY
1. The research was mainly carried out to analyze the product availability and product
preference of SALTEX in different Areas of world. This study will help the company to
identify how much is the current sales and how much can be increased in this particular
area by providing better service to customer.
2. The study was also carried out to identify the complaints of the customers in regards to
products. By overcoming these complaints the company can achieve higher sales and
market share.
3. During the survey, customers were asked as to how they find the service of the company
and whether they had any suggestions to help the company to improve sales. These
suggestions if implemented properly can help the company in the long run.
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COMPANY
PROFILE
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SALTEX:
Format:
Export business
History:
Started in 2000
Selling propositions:
Cotton yarn, Fruits, Coal (brick), Dry fruits, Honey.
Key categories:
Cotton yarn, Fruits, Dry fruits, Honey coal (brick)
Presence:
Pune
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AREAS OF BUSINESS
SALTEX is dealing in following product lines:
Cotton yarn:
Depend on the size of the thread particularly of different size.
Fruits:
Banana. Apple.
Dry fruits:
Nuts, almonds, cashew nuts.
Coal (brick):
Coal of different type and size particularly used by different companies for manufacturingpurpose.
Honey:
This is the new product introduced by the company for export.
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SALTEX:
SALTEX is one of the leading in export business in products like cotton yarn, coal, honey, dryfruits. In the year 2000 the company was established .SALTEX is a company operating fromPune city.
The company was mainly dealing in cotton yarn from 2000 till 2008 the till that period the turn
over was 20 cores per year. Then in year 2009 they included fruit and coal, and recently lastyear also included honey as an export item. After the inclusion of coal, dry fruits, fruits the turnover go up to 24 cores in 2011.
The main suppliers of cotton are from Maharashtra, U.P; the suppliers of fruits are fromMaharashtra, dry fruits from Kashmir, coal from Gujarat
In the year 2000 the main source of the products where from Maharashtra then from U.P. andnow Kashmir.
The main customers are Clara Egypt, Ilshan Egypt, Sara Iran, Ahmad shamba Tunisia, Dytex
Egypt.
Today, SALTEX is operating from Pune and exporting tom different countries such as Iran,Iraq, Tunisia, and Egypt.
Company is exporting for JNPT Jawaharlal Nehru Port and Trust Mumbai. This is the main portfrom the company is doing export to different countries.
Mode of payment is mainly on transfer basis the main transfer banks are Bank of Tehran,Tunisian commercial bank , cooperative bank of Egypt.
Location:
SALTEX is mainly operating from Pune city of Maharashtra.
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Literature Review
Introduction to international marketing:
International marketing may be understood as those business transactions that involves thecrossing of national boundaries. Globalization is synonymously used with internationalmarketing and the two terms are used interchangeably.
What essentially happens in international marketing is the economic integration among thecountries across the globe.
International marketing can be understood by this definition that it is that type of marketing inwhich marketing of the products is undertaken internationally.
As previously defined that is that type of marketing in which marketing of products isundertaken globally. In this type of marketing different types of products are done as thecompany wants to sell his products to different customers to different parts of the country.
Different countries use different strategies in the marketing of their products, based on their ownbusiness strategies used in the marketing of their products.
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Nature of international marketing:
International marketing involves marketing of products globally, as a company uses its differentstrategies for the marketing of the products. The different strategies must be by the way ofadvertising, promotions of products, advertising may be done by different ways, it may be print,electronic, outdoor, transit etc.
There is a vast difference between domestic marketing and international marketing. Domesticmarketing is undertaken in the geographical boundaries of the countries that mean it is doneinside the country. Domestic marketing takes place in different states of the country. Where asinternational marketing is that type of marketing in which marketing of products is undertakenoutside the national boundaries of the country. As we can also say it as it is the marketing ofproducts in different parts of the world i.e. in different countries of the world.
The international marketing may include:
(a) Product presence in different markets of the world.
(b) Product base across the globe.
(c) Availability of different variety of the products.
(d) Availability of products on suitable price.
(e) Good quality of products.
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Mode of payment:
The payment is made with the help of foreign exchange market. Foreign exchange market idthat type of market in which national currencies are bought and sold against one another.
The foreign exchange market is a market in which foreign exchange transactions takes place.
That is, it is a place where money denominated in one currency is bought and sold with moneydenominated in another currency. For example, if US imports goods from a British company,US dollar needs to be converted into sterling, this conversion from one currency into another istypical of the transactions that place in foreign exchange market.
Foreign exchange market- Functions:
A well developed exchange market is a vital important to institutional business as it dischargesthree main functions:
(a) Facilities conversion of currencies (i.e. transfer of purchasing power)
The primary function of foreign exchange market is the transfer of purchasing power from onecountry to another and from one currency to anther. For example if a Japanese exporter sellsautomobiles to an Indian importer, the exporter could bill the Indian importer in Japanese Yen.
(b) Credit for Transactions (i.e. provides credit)
The credit function performed by this market facilities growth of foreign trade. Exportersmay get pre-shipment and post-shipment credit. Credit facilitates are available for importers
also.
(c) It minimizes exposure to their risk of exchange rate fluctuations
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The other important function of the foreign exchange market is to provide hedging facilities.It refers to covering of foreign trade risk. It provides mechanism to exporters and importersto guars themselves against loss arising from fluctuations in exchange rates.
Apart from the above three main functions of the foreign exchange market
other activities are:
Direct and indirect quotes:This market expresses the exchange rate for a country in adirect or in an indirect quote. If one unit of foreign currency is expressed in terms of the unit of
a local currency, it is called a direct quote for example, 1US $ = Rs. 45. On the other hand, ifone unit of local currency is quoted in terms of the number of units of foreign exchangecurrency, it is called indirect quote. For example, Rs. 100=$2.19.
Bid and Offer rates:bid rate is the rate at which the bank is willing to buy the foreignexchange and the offer rate is the rate at which it is willing to sell foreign exchange.
Sport and Forward exchange markets:in the sport market, the delivery of the foreignexchange has to be made on the sport usually within two days of the transaction. The exchangerate at which the transaction takes place is called the sport market. In the forward market, theforeign exchange is bought and sold for the delivery at future date at an agreed rate today. The
rate at which the forward exchange contact is agreed upon is called the forward rate.
Methods/Instruments of affecting International payments.
(a) Transfers.
(b) Cheques and bank drafts.
(c) Foreign bill of exchange.
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(d) Documentary credit.
Research Methodology
Research objective:
Marketing research is the systematic and objective identification, collection, analysis,dissemination and use for the purpose of improving decision making related to the identificationand solution of problems and opportunities in marketing.
The main objective of this project study is to find out the marketing strategies used by thecompany and the problems faced by the company.
Research Design:
A research design is a framework or blueprint work for conducting the marketing research. Itdetails the procedures necessary for obtaining the information needed to structure or solve the
marketing problem.
The idea behind this research study is that it makes the complete procedure simple. We put touse the theoretical background in research methodology for conducting the actual study. Theresearch is based on the work done in the field of research methodology.
Types of research design:
Exploratory research is undertaken to explore or search through a problem or situation toprovide insights and understanding. Exploratory research is characterized by its flexibility aversatile.
Information needed:
This study will require information from two sources. The sources are:
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1. Management
2. Customers.
DATA COLLECTION
DATA IS PRIMARLY OF TWO KINDS
Primary
Secondary.
Primary:
Consist of original information gathered from SALTEX Company. The primary data wascollected through personal interview. Personal interview is the most common instrument in
collecting primary data.
Secondary:
Secondary data may be defined that has been collected earlier for some purpose of presentstudy. it is not a direct source of data but an indirect source of data. Any data available prior tocommencement of research project is secondary data and is called as historic data. Secondarydata is easy to retrieve and time saving for e.g. newspaper, magazines, documents, Etc.
The primary data collection was directly from the company. Data was mainly collected from topmanagement and middle management with the method of personal interview and questionnaires.
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Highly Satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
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The secondary data was collected from the company website, magazine of the company, alsofrom the internet.
Data Analysis and Interpretation
The data collected was then prepared for a detailed analysis. This part of the analysis was basedon the question administrated into two questionnaires.
Questionnaires for customers:
Q.No.1 Did the quality of the products provided by SALTEX meet the
international standard quality?
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Highly Satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
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As the pie chart shows that there are average numbers of persons who mostly like the productsof the SALTEX Company. Also there are satisfied customers also who like the products. But
on the result basis products are acceptable.
Q.No.2 How much satisfied you are with the product availability of the
SALTEX ?
As the above pie diagram shows the customers are highly satisfied as well as satisfied by theproduct availability of the company, customers are satisfied on average base also. But there isless number of customers which are less satisfied by the product availability of the company.
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There is no any customer who is highly dissatisfied by the availability of the products. Companyis trying to improve his service quality so that products can reach to the customers on time.
Q.No.3 How much satisfied you are with the durability of the SALTEX
products?
Highly Satisfied
Satisfied
Average
Dissatisfied
Highlydissatisfied
As the company is dealing with the durable and non-durable goods now the questions arises thathow much customers were satisfied with the durability of the products. As we see on the piechart there are are about 40% of the customers who are satisfied with the durability of theproducts.
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Also there are highly satisfied and satisfied customers with the durability of the products. Alsothere are dissatisfied customers also.
Q.No.4 How much satisfied you are with the promotional activities
carried by SALTEX?
Highly Satisfied
Satisfied
Average
Dissatisfied
Highlydissatisfied
Regarding the promotional activities which are done by the company there were many viewsabout this.
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Television
BusinessMagazines
Radia
Newspaper
Others
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Different customers were different views about promotional activities some customers wherehighly satisfied, some customers where on average base also some were highly dissatisfied.
Q.No.5 Which media you believe SALTEX shall use to promote their
products?
Now the question was about the type of media the customers like to promote the products of thecompany.
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The main views were about television and newspaper, as the customers thought that it is themain promotional media for the products which reaches to the most of the customers.
Q.No.6 How much satisfied you are with over all services provided by
SALTEX?
Highly Satisfied
Satisfied
Average
Dissatisfied
Highlydissatisfied
The last question which was put on the customers was about the overall services provided by thecompany.
The answer to this was that most of the customers were satisfied with the overall servicesprovided by the company. But there were less number of customers which were highly or fullysatisfied.
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The main thing is also that there no any customer which is highly dissatisfied with the overallservices provided by the company.
Findings
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Findings:
SALTEX should advertise his products particularly through advertising and sales promotiontechnique.
Newspapers and company magazines are the best medium for the advertising.
SALTEX should also advertise on T.V because it is watched almost in al parts of the world.
SALTEX should also increase his promotional activities the ads about the present products aswell as new products.
Providing new offers discounts etc.
SALTEX should also increases coverage in new different parts of the world.
SALTEX should improve further by giving good quality of products.
Company should also provide information to its customers when the need it
Company should improve his service to the customers.
Complaints about the products should be taken seriously so that the complaints can be solvedaccordingly.
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Company should also provide up- to- date information to the management and customers.
Suggestions
And
Recommendations
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Suggestions and Recommendations
SALTEX should provide good quality products to the customers
Company should do good packaging of the products.
Company should try to deliver products on time.
The advertising of the products should be done regularly.
Sales promotion technique should be used by the company to create demand of the products.
By doing continuous advertising should create brand image of their product.
Regular training should be given to the company employees.
The campaign for the new product should be made to the company customers before the launch
of the product.
Personal contact should be created by the company to its regular customers.
Price of the products should be regularly maintained so their cannot cannot be problemregarding the price of the product.
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FUTURE
SCOPE
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FUTURE SCOPE
The scope and application of any study depends on a plethora of the conditions.
The most important are, however, directly depends on the objectives of the study and inverselyrelated to its limitations. The limitations are a kind of check on the scope of the study but also ina way define the scope of it.
The scope of its study is vaster than its content. It encapsulates the cluster of marketingstrategies of SALTEX and makes the area of immediate action as well as proposes a setsuggestion for the achievement of long term benefits
Lastly the study can guide and highlight certain areas needed further coherent research thatexcludes the limits and narrowness of this study.
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Questionnaires
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Questionnaires
Q.No.1Did the quality of the products provided by SALTEX meet the international standardquality?
Q.No.2How much satisfied you are with the product availability of the SALTEX products?
Q.No.3How much satisfied you are with the durability of the SALTEX products?
Q.No.4How much satisfied you are with the promotional activities carried by SALTEX?
Q.No.5Which media you believe SALTEX shall use to promote their products?
Q.No.6How much satisfied you are with over all services provided by SALTEX?
Q.NO.7 Suggestions/ Complaints?
SALTEX should provide good quality products to the customers. Company should do good
packaging of the products. Company should try to deliver products on time. The advertising ofthe products should be done regularly. Sales promotion technique should be used by thecompany to create demand of the products. By doing continuous advertising should create brandimage of their product.
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BIBLOGRAPHY
Mrs. KIRAN JOTWANI International Business
Websites
www.google.com
www.ask.com
www.saltex.net