1

A
Project Report
On

Marketing Strategies of
DABUR INDIA LTD.

To be submitted for the partial fulfillment of the Requirement
for the degree of
BBA from Dr. B.R. Ambedkar University, Agra

Under the guidance
Mr Prakash Chawla (Manager Marketing)

Session ( 2009-2012)

Submitted to: Submitted by:
Ms. Akansha Shukla Jagdish Kumar
(H.O.D.) BBA VIth Sem.
Roll No. 92472


Uttam institute of technology management studies
Runakta Kirawali Road, agra
2

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A research project report is the very important part of any management
programme. It is a Launch Pad for introducing students to a real-life scenario,
which cannot be simulated in the classroom. It not only enables the student to
apply the theoretical knowledge in a practical scenario but also enables them to
learn things beyond books. This is a period where the students add value to
them self and learn management skills as well as the corporate culture.

Only academic knowledge is not enough for the students, it is also necessary for
them to have a slice of the practical corporate world wherein they can apply
their knowledge and put their skills to a test. This is a first step towards
corporate world.

A research project report provides an opportunity for students, to satisfy their
inquisitiveness to know more details, exposes them to technical skills, and helps
them to acquire social skills by drawing them into communication with outside
professionals for continuous interaction.







3


ACKNOWLEDGEMENTS



It is essential to acknowledge the help received from the people of
various quarters. I find myself at a loss as to how to thank them. These words
are not a formality but a sincere voice of my heart & I owe gratitude to all of
them.
At the onset I would like to thank Ms. Akansha Shukla (H.O.D.) for
providing me a wonderful opportunity to work on this project. Their valuable
time and guidance went a long way in helping to make a quality work out of
this project. I also owe my regards to my Faculty Members, who has helped me
in every possible way to make this project a success.

Last but not the least, I would like to thank all the Faculty members and
Staff members who all helped me in completing my Project successfully.

Jagdish Kumar
BBA VIth Sem.
Roll No. 92472

4

DECLARATION

I, Jagdish Kumar student of BBA VIth Sem. Roll No. 92472 of Uttam
Institute of Technology Management Studies, Runakta Kirawali Road, Agra
hereby declare that this project work on Marketing strategies of Dabur India Ltd
is my work, carried out under the guidance of my company guide Mr Prakash
Chawla (Manager Marketing ) Dabur India Ltd, Agra. This report, neither
in full nor in part, has ever been submitted for award of any other degree of
either this university or any other university.

Jagdish Kumar
BBA VIth Sem.
Roll No. 92472

Date :
Place: Agra


5


Uttam Institute of Management Studies Runakta Kirawali Road, Agra
Date ..
Certificate

This is to certify that Mr Jagdish Kumar student of BBA VIth Sem. has
conducted an empirical research study and prepared this research report on
Marketing Strategies of Dabur India Ltd. in the specialization area of
Marketing. This project report is submitted in partial fulfillment of the award of
BBA. degree of Dr. B.R. Ambedkar University, Agra. His work is original and
authentic.


Akansha Shukla
H.O.D.



6


7

TABLE OF CONTENTS
OBJECTIVE

RESEARCH METHODOLOGY

INTRODUCTION TO DABUR

VISION

PRINCIPLES

OVER HUNDRED YEARS OF CARING

CORPORATE PHILOSOPHY

LOCATION OF OPERATIONS

COMPANY'S BUSINESS ACTIVITIES

MANUFACTURING UNITS OF DABUR

JOINT VENTURES

SUBSIDIARIES

8

COLLABORATIONS

DABUR PRODUCTS

AYURVEDIC SPECIALITIES

PHARMACEUTICALS

AYURVEDIC HEALTH TONICS

DIGESTIVES

CHILD CARE PRODUCTS

WOMEN CARE PRODUCTS

HAIR AND SKIN CARE

ORAL CARE

DABUR FOODS LIMITED

QUALITY POLICY

QUALITY OBJECTIVE
9


IMPORTANT STRATEGIES ADOPTED

LEVEL STRUCTURE OF ORGANISATION

LIST OF DIRECTORS

ECO-FRIENDLY DABUR

DOMINANT BRANDS

BRINGING UP DABUR

CONCLUSION

Bibliography








10

OBJECTIVES

The main objectives of this project are:

To study the marketing strategies of Dabur India Ltd..
To analyze the effectiveness of the Marketing strategies of
Dabur India Ltd.
To find out the sales and distribution of Dabur India Ltd.















11

RESEARCH METHODOLOGY
COLLECTION OF DATA:-
Primary Data- The data which is collected for the first time and is the
original data.
Personal interaction
Questionnaire
Secondary Data- This is the data which is collected from any other source
and is the duplicate data.
Books
Journals
Internet
Company documents
RESEARCH DESIGN :-
Descriptive Design
Research Instrument :
Neither Structures nor disguised Questionnaire for
retailers.
But there are a specific Questionnaire for house
hold customers for finding their opinion.

12

SAMPLING PLAN:-
Sampling Method :
Non-Probability Sampling [Convenience & Quota
Sampling]
Sample Size :
100 Retailers
1000 House hold customers
Sample Unit:
Agra
Sample Area :
Bhagwan Talkies
Sanjay Place
Sadar Bazar
Khandari
Khandari crossing
Divani
Delhi gate
Shahganj (pratap nagar)
Dayal bagh
Kamla nagar

13

LIMITATIONS OF THE STUDY
This survey although carried out with fullest possible
efforts and devotion, the limitation of the time, resources
available and limited area chose may lead to limited
representation of the universe. The major limitations from
which the study suffers are as follows.
Time Constraint:-
Time factor has been a very big limitation in the
research/survey like this. The respondents have limited time so
they sometimes refuse to answer the questionnaire, also me as
a surveyor has less time to conduct the survey. So the size of
the sample was restricted to Agra.
Biasness in Information:-
It was felt that respondent did not come up with true
responses, in several case the respondent answered the
questions with the help of other family members and it was
mostly in case of less educated person.
14





Financial Constraint:-
The financial aspect, which includes the traveling cost, cost of
administrating questionnaire and collection of data through
other resources was also costly.
Constraint Regarding the use of technique:-
The deeper statistical techniques such as analysis using
variance, multiple regressions etc., could not be adopted due
to the constraint of time and efforts. So simple statistical
techniques were used to analyze the data.



15

COMPANY PROFILE

Dabur India Limited came into existence over 100 years ago in
1884 in Calcutta. The founder of Dabur India Limited-
Dr.S.K.Burman (1856-1907) was a physician who brought
Ayurvedic medicines for the masses of Bengal. His off quoted
dictum is the guiding spirit behind Dabur even today:

"What is the life worth which cannot bring comfort to
others"
And the Vision of DIL is:
"Dedicated to the health and well being of every
household"
16

INTRODUCTION TO DABUR
Dabur India Limited came into existence over 100 years
ago in 1884 at Calcutta. The founder, Dr.S.K.Burman, was a
practicing allopathic doctor. At that time Malaria, Cholera and
Plague were the common diseases. He was a physician who
brought ayurvedic medicines to the masses of Bengal. Initially
established as a proprietary firm for the manufacture of
chemicals and ayurvedic drugs it was later on 19th November
1930 incorporated as private limited company. Late Shri
C.L.Burman, son of late Dr S.K. Burman and his son late Shri
P.C.Burman in the name of Dr S.K.Burman Pvt.Ltd. to expand
the operations by setting up production facilities at Garia and
Narendrapur, West Bengal and Daburgram, Bihar.
Dabur (Dr.S.K.Burman) Pvt. Ltd. was merged with
Vidogum and Chemicals Ltd. w.e.f. 1st July1985 and the
amalgamated company was renamed DABUR INDIA
LIMITED and a fresh certificate of incorporation was issued to
that effect. In 1970,the bulk of manufacturing facilities were
shifted from West Bengal to Faridabad in Haryana.
17

In 1975,vidogum and chemicals were incorporated in
technical collaboration with Unipekin AG (Switzerland) for the
manufacture of edible grade and industrial grade Guargum
powder at Alwar in Rajasthan.

In 1977,a modern automated plant was set up in
Sahibabad (U.P.) for the manufacture of Chyawanprash,
Asavrishthas, Hair oil, Tooth powders, Hajmola, and other
Ayurvedic specialties. Certification for production of toiletries
and food grade products was issued on 13th October 1986 by
the registrar of Delhi and Haryana to the company, Dabur
Private Limited, a closely held Public Limited Company.

It was incorporated as a Private Ltd. Company in the name
of Dabur (Dr. S.K. Burman) Pvt. Ltd. From a humble beginning
in 1884, a manufacture of traditional medicine in Calcutta,
Dabur has come a long way to become a multifaceted
multinational, multi-product, modern Indian corporation with a
global presence. It now enjoys the distinction of being the 2nd
18

largest FMCG Company and is praised to become a true Indian
Multinational.

The main plant was set up in Sahibabad (U.P.) in 1977
for manufacturing of Chyawanprash, hair oil, tooth powder,
hajmola and other ayurvedic medicines and food products etc.
Dabur's main line of business is in the sphere of Health care,
Personal care and Beauty care. Its strength lies in natural and
herbal preparations.

Dabur's corporate philosophy has always been ahead of
its time. The founder's initial success was mainly due to his
direct main campaigns- a technique that became very popular
nearly a century later. The company was one of the earlier
Indian companies to have fully equipped R & D lab as early as
in 1919. Today, the company has its own mainframes and
computers are a way of life here.

Dabur is also an ISO 9002 certified company. The
19

certification was obtained in 1995 by SGS YARSLEY
international services Limited U.K. Dabur's revenue today
exceed Rs.800 crores with plans to achieve Rs.2, 000 crores by
year 2003. Dabur has 34,000 shareholders with market
capitalization of over Rs.1, 400 crores.

Dabur has 11 manufacturing plants in India and Nepal
and a licensee in the Middle East. It has manufacturing base in
Egypt also. The company has over 4,000 employees with
around 1,500 looking after sales and marketing functions.

The Indian market is being served through a transactional
network of sales offices and carrying and forwarding agents.
The company has its offices in London, New York and Moscow.
Dabur products are being exported to around 50 countries.
Dabur portfolio is exceeding 500 products of FMCG and health
care products.

20

The Board of Directors of Dabur India Limited (DIL) met
on July 23, 2003 to consider the unaudited financials of the
company for the first quarter that ended on June 30, 2003.
Company has recorded a growth of 36 per cent in its net profit
per cent growth in its turnover during April-June 2003.

The turnover of DIL, during the three-month period, has
increased to Rs 266 crore to Rs 300 crore while the net profit
has increased 11.5 crore to Rs 16 crore during the same
period.

The first quarter results should not be annualized as sales
usually improve in subsequent quarters.
21


VISION

"Dedicated to the health and well being of every house
hold."
Dabur is a company with a set of established business
values, which direct it's functioning as well as all its operations.
The guiding forces for Dabur are the words of its founder, Dr.S.
K. Burman, "what is that life worth that can not give
comfort to others." The Company offers its customers, the
products to suit their needs and give them good values for
money. The company is committed to follow the ethical
practices in doing business. At Dabur, nature acts as not only
the source of raw materials but also an inspiration and the
company is committed to product the ecological balance.

22


PRINCIPLES

OWNERSHIP:

This is our company. We accept responsibility and
accountability to meet business needs.


PASSION FOR WINNING:

We all are leaders in our responsibility, with a deep
commitment to deliver the results. We are determined to be
the best at doing what matters the most.


PEOPLE DEVELOPMENT:

People are our most important asset. We add value
23

through result- driven training and we encourage rewards and
excellence.



CONSUMER FOCUS:

We have superior understanding of consumer needs and
develop products to fulfill their demands.


TEAM WORK:

We work together on the principle of mutual trust and
transparency in a boundary less organization.


INNOVATION:

24

Continuous innovation in products and processes and is
the base of our success.

25


DABUR OVER THE YEARS


More than a century ago, a young doctor started with a
vision to provide innovative and affordable health care
products to Indian masses. Thus, was born an organisation
today known as Dabur India Limited. The twelve hundred
crores corporate today started with a small dispensary at
Calcutta, the noble thoughts of Dr.S.K.Burman being the main
source of inspiration behind the project. From that humble
beginning, the company has grown into Indias leading
manufacturer of consumer health care, personal care and food
products. This phenomenal progress has seen many
milestones, some of which are mentioned below:

1884: Dr.S.K.Burman lays the foundation of what is
known as Dabur India Limited. Started from a small shop
at Calcutta, he began a direct mailing system to send his
26

medicines to even the smallest of villages in Bengal. The
brand name Dabur is derived from the words "DA" for
Daktar or doctor and "BUR" from Burman.

1896: As the demand for Dabur products grows, Dr.
Burman felt the need for mass production for some of his
medicines. He set up a small manufacturing plant at
Garhai near Calcutta.

Early 1900s: The next generation of Burman's take a
conscious decision to enter the Ayurvedic medicines
market, as they believe that it is only through ayurveda
that the healthcare needs of poor Indians can be met.

1919: The search for processes to suit mass production
of ayurvedic medicines without compromising on basic
ayurvedic principles lead to the setting up of the first
Research and Development laboratory at Dabur. This
initiate a pain staking study of ayurvedic medicines as
27

mentioned in age old scriptures, their manufacturing
processes and how to utilize modern equipment to
manufacture these medicines without reducing the
efficacy to manufacture these medicines without reducing
the efficacy of these drugs.

1920s:A-manufacturing facility for Ayurvedic Medicines is
set up at Narendrapur and Daburgram. Dabur expands its
distribution network to Bihar and northeast.

1936: Dabur India (Dr. S.K.Burman) Pvt.Ltd. is
incorporated.

1940: Dabur diversifiers into personal care products with
the launch of its Dabur Amla Hair Oil. This perfumed hair
oil catches the imagination of the common man and film
stars alike and becomes the largest hair oil brand in India.

1949: Dabur Chyawanprash is launched in a tin pack and
28

becomes the first branded Chyawanprash of India.

1956: Dabur buys its first computer. Accounts and stock
keeping are one of the first operations to be
computerized.

1970: Dabur expands its personal care portfolio by
adding oral care products. Dabur Lal Dant Manjan is
launched and captures the Indian rural market.

1972: Dabur shifts base to Delhi from Calcutta. Starts
production from a hired manufacturing facility at
Faridabad.

1978: Dabur launches the Hajmola tablets. This is the
first time that a classical ayurvedic medicine is branded
from Shudhabardhak bati to Hajmola tablets.

1979: The Dabur Research Foundation (DRF), an
29

independent company is set up to spearhead Dabur's
multi-faceted research. Commercial production starts at
Sahibabad. This is one of the largest and most modern
production facilities for ayurvedic medicines in India at
this time.

1984: The Dabur brand turns 100 but is still young
enough to experiment with new offerings in the market.

1986: Dabur becomes a public Limited company through
reverse merger with Vidogum Limited, and is re-
christened Dabur India Limited.

1989: Hajmola Candy is launched and captures the
imagination of children and establishes a large market
share.

1992: Dabur enters into a joint venture with Agrolimen of
Spain far manufacturing and marketing confectionery
30

items such as bubble gums in India.

1993: Dabur set up the oncology formulation plant at
Baddi, Himachal Pradesh.

1994: Dabur India Limited comes out with its first public
issued at a premium of Rs.85 per share. The issue is
subscribed over 21 times.

1994: Dabur enters the oncology (anti-cancer) market
with the launch of Intaxel (Pacitaxel). Dabur becomes
only the second company in the world to launch this
product. The Dabur Research Foundation develops the
unique eco-friendly process of extracting the drug from
the leaves of the Asian Yew Tree.

1995: Dabur enters into a joint venture with
Osem of Israel for food and Bongrain of France for
cheese other dairy products.
31


1996: Dabur launches Real fruit juices, which heralds the
company's entry into the processed food market.

1997: The foods division is created, compromising of real
fruit juices and Homemade cooking paste to form the core
of this division's product portfolio.

1998: Project STARS (Strive To Achieve Record
Successes) is initiated by the company to achieve
accelerated growth in the coming years. The scope of this
project is strategic, structural and operational changes to
enables efficiencies and improves growth rates.

1998: The Burman family hands over the reins of the
company to a professional, Mr. Ninu Khanna joins Dabur,
as the Chief Executive Officer.

1999-2000: Dabur achieves the Rs.1000 crores turnover
32

mark.

2001-2002: Launched Amla Light, new flavors in Real
Juices-grapes, guava, apple active, orange active,
homemade pappad, Vatika- an anti-dandruff shampoo.

2002: New launches homemade coconut milk (in south),
Tang, Tomato puree, Vatika light.

2003: Dabur achieves Rs.1,232 crores turnover mark
with an increase of 6 per cent. Turnover of FMCG reaches
to Rs l048.5crores, which shows a profit of Rs. 72 crores.
Turnover of pharmaceuticals reaches to Rs 184 crores
with a profit of Rs.13 crores.


33

CORPORATE PHILOSOPHY

Knowledge is the key to growth in today's world.
Whatever be the industry, it is the knowledge, which provides
cutting edge to individual and organisations. For more than a
century nature has been a rich source of knowledge for
DABUR. Nature has not only gives it the ingredients for all its
products but also has taught it how to create a harmony within
and outside the organisation. Nature has inspired DABUR in all
its acts. Ayurveda - the science of life is based on principles of
nature. All ayurvedic preparation has their ingredients derived
from nature. Dabur has converted the healing properties of
natural ingredients and the age-old knowledge of ayurveda into
contemporary health care to eliminate health problems of its
consumers.

Dabur is committed to expand the reach of its age-old
knowledge of ayurveda and Nature through web. Through web
the aim is to overcome the physical boundaries to take
34

ayurvedic way of life to global frontiers. Dabur India limited
understands its responsibility as a corporate house. It has not
only set a sight on increasing turnover and profitability of the
company but also on propagating Ayurveda - The Indian
System of Medicine.
35


LOCATION OF OPERATIONS


Head office : Sahibabad, Ghaziabad (U.P.)
Regd. Office : Asaf Ali Road, New Delhi
Corporate office : Kaushambi, Ghaziabad (U.P.)
Sales & Marketing : New Delhi

OFFICES:

Chandigarh (H.P.), New Delhi (Delhi), Jaipur (Rajasthan),
Kanpur (U.P.), Patna (Bihar), Ahemadabad (Gujarat), Indore
(M.P.), Cuttak (Orissa), Mumbai (Maharashtra), Hydrabad
(A.P.), Chennai (TamilNadu), Bangalore (Kamatka), Kochi
(Kerela), Guwahati (Assam), Kathmandu (Nepal), Russia, U.K.

FACTORY:

36

Baddi (H.P.), Ghaziabad (U.P.), Alwar (Rajasthan), Daburgram
(Bihar), Kalyani&
Narendrapur (West Bengal), Katni (M.P), Birgunj (Nepal),
Egypt.
C&Fa:

Jammu, Chandigarh (HP) Ambala (Punjab), New Delhi (Delhi),
Ghaziabad (U.P.), Dehradun (U.P.), Lucknow (UP), Rachi,
Patna (Bihar), Guwahati (Assam), Calcutta (West Bengal),
Jaipur (Rajasthan), Ahemadabad (Gujarat), lndore (M.P.)
Raipur (M.P.), Bhubaneshwar (Orissa), Cuttak (Orissa),
Mumbai (Maharashtra), Hydrabad
(A.P.), Chennai (TamilNadu), Bangalore (Karnataka), Cochin
(Kerela).

37



THE COMPANY BUSINESS ACTIVITIES COMPRISES OF:

HEALTH CARE PRODUCTS: Markets a range of OTC health
care: products based on ayurveda, some of its products like
Chyawanprash, Hajmola, Hajmola Candy, Pudinhara are
market leaders with over 65 per cent market share in their
respective categories.
PERSONAL CARE PRODUCTS: It includes hair care, oral care
and honey. Dabur Amla as a brand has made its mark beyond
India; it is a leading hair oil brand in Middle East and Africa.
Other well-known brands are Vatika, Dabur Lal Dant Manjan.
AYURVEDIC SPECIALITIES: There is a range of over 400
Ayurvedic medicines. It has vast range of classical ayurvedic
drugs and priority ayurvedic medicines developed by own R&D.
PHARMACEUTICAL DIVISION: It includes a range of natural
ethical products like Livfit, Lionitus, Legal etc, and angel of
contract media and gynecological. This division has a major
38

presence in Anti-thronbolytic, Anti-migrane therapy and radio
opaque dyes.

ONCOLOGY: The formidable range includes brands such as
Intel, Docetaxel that were manufactured in India for the first
time by Dabur. The company is a market leader in this
category in India and plans to establish itself as a general
Oncology player in selective global market.

BULK DRUGS AND CHEMICALS: Dabur manufactures
synthetic and semi-synthetic bulk pharmaceutical substances,
bulk natural compounds and intermediaries. Isolation of pure
natural compounds and custom synthetics are focus areas.
FOODS DIVISION: One of the youngest divisions of the
company markets a range of sauces, ethnic pastes and foods.
Real fruit juices gave Indian consumer for the first time, fruit
juices with nothing artificial, no preservatives, no colour and no
flavors added. Launched two years back, the range includes
Real Juices and cooking pastes under the brand name Home
39

Made.
NATURAL GUMS: This division manufactures and process
Guar gums, Gum Karaya, tamarind based gums and psyllium
husk. The division produces a range of industrial and grade
natural gums to meet the customer specifications.
AYURVEDIC VETERINARY: It deals exclusively in animal
hea1thcare. Markets safe and non-toxic herbal veterinary
products for poultry.
40


MANUACTURING UNITS OF DABUR

Dabur India Limited has 12 manufacturing plants in
India, Nepal and Egypt.

Sahibabad unit1: Group generating a turnover of over
Rs.250 crores. The key
product line of this unit includes Asavs, Hajmo1a, Hingoli,
Oncology medicines, Dabur Amla hair oil, Chyawanprash and
Ashokarisht. The unit operated on these shifts as well as a
general shift, with product lines running for one, two or
three shifts according to the market demand and supply
chain requirell1ents.

Sahibabad unit 2: Recently established for manufacturing
and packing Dabur hair oil in Pet Bottles.

Baddi unit 1: The most modern plant for manufacturing
ayurvedic medicines and honey, this unit was built following
stringent guideline for pharmaceutical units.
41


Baddi unit 2: Manufacturing one of Dabur's most popular
products-Dabur Chyawanprash, this unit also boasts of the
most modern processing and packaging unit for the
medicated oil Asavrishthas.

Baddi Injectibles: This unit manufactures Oncologicals,
and is certified by OGYI of Hungary and South Africa.

Alwar: This unit manufactures food and print grade Natural
gums, Psyllium Husk and Ayurvedic Veterinary products.

Narendrapur: One of Dabur oldest plant. It produces
Ayurvedic medicines and Honey.

Kalyani: This bulk drugs unit was bought from Pfizer and
upgraded to manufacture oncology bu1k drugs of critical
importance.

Katni: Set up in the heart of Amla producing belt of India.
This unit manufactures Amla pishi, an essential ingredient in
42

Dabur Chyawanprash.

Birgunj, Nepal: Dabur's first overseas manufacturing unit.
It is one of the most important besides Sahibabad and
Baddi. This modern manufacturing unit churns out Ayurvedic
Medicines, Oral Care and Hair Care Products, Honey and
Fruit Juices. It also has the facility to process leaves of the
Asian Yew Tree to extract Paclitaxel, an important part of all
anti-cancer products.

Egypt: This part was established to serve Saudi Arabia and
the fast growing African market. It manufactures Hair and
Skin Care and Food products.


JOINT VENTURES

Dabur International Limited: Dabur has also collaborated
with Bongrain of France for the manufacture and marketing
of speciality cheese and other Dairy Products. This joint
venture company has already made its presence felt in the
Indian cheese market through the launch of processed
43

cheese under the brand name Lebon, and a specialty cheese
under the brand name Delicieux.

SUBSIDIARIES
Dabur has six subsidiary units, which come under the
umbrella of the Dabur India Organisation. These are:

Dabur Foods Limited: Dabur Foods Limited, a 100 per
cent subsidiary of Dabur India Limited, is spearheading
Dabur's foray into food processing industry. The company,
set up in April 1999,is marketing a range of fruits juices
under the brand name Real, Homemade Cooking Paste and
Sauces and Lemoneez -- lemon juice. Dabur was the first
company in India to introduce fruit juices in packaged form
without any artificial additive. Real is today the market
leader in this category with more than 50 per cent market
share. Homemade cooking paste is the only national brand
in this category. Lemoneez is the only product in its category
available in unique drop and trickle pack and uniquely
shaped tabletop pack.

44

Dabur Nepal Private Limited: Dabur Nepal was the first
manufacturing base overseas for Dabur group. The company
is today the leading exporter of Nepal and the third largest
and most modern manufacturing base for Dabur. Dabur
Nepal is today involved in promoting cultivation of herbs and
apiculture activities in Nepal. The Company has set up
state of the art greenhouse at Banepa for developing
sampling for 20 medicinal plants. Dabur Nepal has also set
up an Apiculture center for promoting bee-keeping activity in
Nepal and developing queen bee colonies for exports.
Dabur Egypt Limited: Dabur Egypt is group's gateway to
Africa. This manufacturing base set up a couple of years
back to cater to the demands of Middle East and African
market is producing Hair Care, Skin Care Products and
foods.
Dabur oncology PIc: Set up recently in UK, this subsidiary
of Dabur India Limited will be manufacturing anti-cancer
formulations for European market. The company is in the
process of setting up manufacturing base near London and is
expected to start operation from year 2001.

45

Dabur Research Foundation (DRF): Incorporated in
1979, is a premier research organisation recognized by
Department of Scientific and Industrial Research,
Government of India. It is situated at Sahibabad,
Ghaziabad, Uttar Pradesh. DRF today is known for its path
breaking research in the field of health care and personal
care. The foundation is on the forefront of oncology research
and is in the process of developing many new molecules to
fight with a dreaded disease like Cancer. In fact DRF was the
first organisation in the world to develop a process for
extraction of Paclitaxel, a drug, for cancer without harming
its source tree. This process has now become a universal
one.

Herbal health care is an area where Dabur Research
Foundation has made immense contribution by doing
research and development work using modern
pharmaceutical protocols.

46

OTHER ASSOCIATE COMPANIES OF DIL


REROCK LIMITED.

BRITISH HEALTH PRODUC'TS LIMITED.

NORTHERN AROMATICS LIMITED.

BURMAN LABORATORIES LIMITED.

DABON INTERNATIONAL LIMITED.

MAXCARE INTERNATIONAL LIMITED.

PRECISE LABORATORIES LIMITED.


47

COLLABORATIONS


Dabur Foods Limited: 100% subsidiaries (taking care
of all the food products)

Dabur Nepal Limited: Wholly owned subsidiary in
collaboration with DRF

Dabur Egypt Limited: Wholly owned subsidiary.

Dabur Oncology Limited: Wholly owned subsidiary.

Dabur Overseas Limited: Owned subsidiary.

Dabur International Limited: Subsidiary (not yet
commenced business)


48



49


DABUR PRODUCTS

A vast array of products touching the lives of almost every
individual, from an infant to a grand old man, from poor to rich
that's how the Dabur range of health personal care and food
products could be best explained. Today Dabur trust has
travelled beyond the boundaries of India and is available in
more than 50 countries worldwide.

AYURVEDIC SPECIALITIES

Ayurvedic Specialties is a range of over 350 Ayurvedic drugs
and proprietary Ayurvedic Medicines- developed by Dabur's
own Research and Development department. Dabur has
products for all the 16 categories as defined in the Ayurveda.
Some of the leading products in this category are:

Asav Arishtas: These are medicated decoctions with self-
50

generated alcohol contents.
Churnas: These are finely ground medicinal powders used to
treat a variety of ailments ranging from digestive problems to
cough and fever.
Ras Rasayanas: Preparations containing mineral drugs as
main ingredients are called Ras Rasayanas.

Medicated oil: The oils boiled along with certain prescribed
drugs are known as medicated oils. These oils retain the
curative properties of herbs and are used for injunction and
massage.

PHARMACEUTICALS

Branded Pharmaceuticals: It includes a range of natural
ethical products like New Livfit, Honitus, Uigeletc and a range
of contrast media and gynecological.

Oncology: This wide and formidable range includes brands
51

such as Intaxel, Docetaxel and Topotecan, all of which were
manufactured for the first time in India by Dabur. Little wonder
then, that Dabur is the undisputed market leader in this
category in India and has plans to establish itself as a generic
oncology player in selected global market. Bulk drugs and
Chemicals-this range consists primarily oncology category.
Healthcare is one of the biggest and the oldest divisions of
Dabur with a wide range of OTC healthcare products. It
comprises of:

52

AYURVEDIC HEALTH TONICS

Chyawanprash: The leader in the Chyawanprash market in
India, Dabur Chyawanprash is one of the most well known
Ayurvedic products in India & abroad. An effective herbal
immunodulator, Dabur Chyawanprash has the essential
goodness of amla & over 50 other herbs. Dabur has conducted
several clinical trials on this product, which confirm its efficacy
as a unique product that strengthens the body from within.
DIGESTIVES
Hajmola Tablets: Hajmola tablets are the first classical
ayurvedic product to be branded and positioned as fun-filled
products with medicinal properties. It finds mention in
ayurvedic scriptures as Kshudhavardhak bati & was branded as
Hajmola, a name derived from Hajma, which means digestive
in Urdu. It is available in regular & tamarind flavors.

Hajmola Candy: To cash in on the brand equity enjoyed by
Hajmola, Dabur launched Hajmola Candy in 1989. Since then,
53

the company has added Mango & Tamarind flavors besides the
regular one.

Pudin Hara: One of the oldest products in Dabur portfolio,
Pudin Hara is available in liquid as well as capsule form. It has
a special combination of mint oils and cures gastric problems
without any side effects. The company has added effervescent
powder with goodness of mint for gas and acidity and named it
Pudin Hara G.

Hingoli: Asafetida or Hing is mentioned in Ayurveda as an
effective aid in digestion, and is used a lot in Indian cooking.
Dabur's Hingoli has all the goodness of asafetida & other herbs.

CHILDCARE PRODUCT
Dabur Lal tail: The largest baby massage oil in India. It has
the goodness of herbs, which helps in strengthening the bones
of infants.
Dabur Janam Ghutti: This Ayurvedic preparation helps in
54

strengthening the digestive system of new ones.
WOMEN CARE PRODUCTS
Efarelle comfort:
An herbal medicine in self-gel capsule form to overcome
abdominal pain during PMS. A combination of natural oils this
formulation gives immediate relief from pain without any side
effects.
The largest division in terms of sales, the Family Product
Division of Dabur has in its portfolio- hair care and skin care
products, oral care and food product like Honey.


HAIR & SKIN CARE
Dabur is the leader in hair care products in India and
has covered almost all the categories of hair oils.

Dabur Amla Hair Oil: As a brand has made its mark beyond
India and is a leading hair oil brand in middle East and Africa.
A perfumed heavy hair oil, it is Dabur's largest brands.
55

Dabur Special Hair Oil: It is light hair oil that combines the
natural hair care properties of lemon and hibiscus.
Vatika: The fastest growing brand in India, Vatika has single-
handedly created an altogether new category of herbal
enriched natural oils. The Vatika range also includes an herbal
shampoo, which has made its mark in the very fast year of its
launch in the competitive shampoo market of India. The
company has recently launched Vatika Anti-Dandruff Shampoo
having herbal ingredients to fight the problem of Dandruff.
Gulabari: Rose water derived from best of Indian roses makes
the skin supple and glowing.



ORAL CARE
Dabur Lal Dant Manjan: It is the second largest brand of
India and the largest in coloured tooth powder category. This
herbal tooth powder is very popular in rural parts of India.

56

Binaca Tooth Brushes: After having acquired this dormant
brand a few years back, Dabur launched toothbrushes under
this umbrella. There are plans to launch other oral care
products under the Binaca brand.

Dabur Honey: When repositioned in 1993, it totally changed
the perception of Indian consumers. Launched over two years
back Dabur food range include juices under the brand name
Real & cooking paste under the brand name Homemade.


57

DABUR FOODS Ltd.
Dabur Foods Ltd, a 100% subsidiary of Dabur India Ltd., is
making foray into food processing industry. The company,
setup in April 1999, is marketing a range of fruit juice under
the brand name Real, home made cooking paste & sauces &
Lemoneez- lemon juice.

Dabur was the first company India to introduced fruit juices in
packaged form without any artificial additives. Real is today the
market leader in this category with more than 50 per cent
market share. Homemade cooking paste is the only national
brand in this category. Lemoneez is the only product in its
category available in unique pack & uniquely shaped tabletop
pack.
58


QUALITY POLICY

At Dabur, quality is a relentless commitment to continuous
improvement in products, process and systems to provide
consistent quality products to meet customer's requirements
worldwide.
The management is fully committed to quality and ensures all
resources to accomplish this task. Dabur has been on steep
path for few years. Its sales turnover has increased from
Rs.530 crores in 1995 to Rs.1166 crores in 2000-01.
In 1999-2000, overall growth of 13.5 per cent was recorded in
sales (Rs.1000 crores plus) with Family Product Division
recording a growth of--15.85 per cent, Health Care Division-
12.3 per cent, Ayurvedic Specialties Division -27 per cent and
Pharmaceuticals Division- 20 per cent. Exports recorded a
growth of 11 per cent in 1999-2000,amounting to Rs.114.16
crores. The major contributions of growth were herbal
products, bulk drugs & anti-cancer formulations. Gross margin
59

showed an improvement of 4 per cent and net profit amounted
to Rs.77 crores.
In 2000-01,sales turnover had recorded a growth of 12 per
cent, amounting to 116.5 crores and net profit had soured by
39.2 per cent amounting to Rs.78.5 crores. Sales turnover in
light of such growth path has been targeted for Rs 2000 crores
in 2003-04.

The Board of Directors of Dabur India Limited (DIL) met
on July 23, 2003 to consider the unaudited financials of the
company for the first quarter that ended on June 30, 2003.
Company has recorded a growth of 36 per cent in its net profit
per cent growth in its turnover during April-June 2003.

The turnover of DIL, during the three-month period, has
increased to Rs 266 crore to Rs 300 crore while the net profit
has increased 11.5 crore to Rs 16 crore during the same
period.

60

The first quarter results should not be annualized as sales
usually improves in subsequent quarters.


61

QUALITY OBJECTIVES
To focus on customers successfully and to strive to meet
their needs and requirements.
To manufacture effective health care products at
competitive prices and to improver the Quality of Life of
common masses.
To implement and emphasise on systems to ensure
prevention of errors rather than detection of errors.
To ensure global competitiveness by striving to achieve
Current Good Manufacturing Practices (CGMP).
To ensure safety in all operations and to follow the
systems in all areas of operations.
To continually train people to build up and upgrade skills
and expertise and to involve them to become committed
to the quality process.
To reduce wastages within the organisation and increase
productivity.


62

IMPORTANT STRATEGIES ADOPTED
"Developing to built" philosophy for HR personnel.

Shifting to zonal set up of sales and marketing to facilitate
better distribution.

Adopting contribution enhancement plan for performance
management.

Empowering employees through Employee Stock Purchase
Option Plan.

Backward integration strategy in Ayurvedic Products by
engaging in plantation of herbs needed for the production
of Ayurvedic Products.

Continuous enhancement of automation.

Continuous emphasis on Research & Development (DRF
63

i.e. Dabur Research Foundation is a separate company
working in collaboration with Dabur solely for the purpose
of R&D).
64

LEVEL STRUCTURE OF ORGANISATION

Vice President


General Manager


Deputy General Manager


Senior Manager


Manager


Assistant Manager

65


Officer


Assistant Officer


Supervisor/Chemist


Senior Mechanic/Senior Assistant


Mechanic/Junior Chemist


Junior Mechanic


66

Workers

67


MANAGEMENT, DIRECTORS AND BANKERS

CEO
Mr. Sunil Duggal

LIST OF DIRECTORS

DESIGNATION NAME

Chairman Mr.Vivek Chand
Burman
Vice Chairman Dr.Anand Burman
Directors Mr.Ashok Chand
Burman
Mr.Siddharth
Burman
Mr.Pradip Burman
Mr.Amit Burman
68

Mr.S.M.Dutta
Mr.Ashok Geonka
Air Chief Marshal
Nirmal Chand
Suri (Retd.)
Mr.Uday S.Kotak
His Highness Maharaja Gaj Singh
Raja Vijay Karan
Mr.Pritam Das
Narang
Mr.Ajay Bahl
Mr.P.N.Vijay



BANKERS

Punjab National Bank, ANZ Grendlays Bank Ltd., American
Express Bank Ltd, The Hong Kong &Shengai Banking Corp.
69

Ltd., State Bank Of India, Deutsche Bank AG, ABN Amro Bank
NV, Citibank NA, United Bank Of India.

ECO-FRIENDLY DABUR

Dabur is committed to maintaining the ecological balance.
It understands the need for a healthy and eco-friendly
environment for the existence living beings. The company's
reforestation program aims at planting medicinal herbs, plants
and trees in the Himalayan range extending in to Nepal. An in-
house tissue culture program actively supports this exercise.
PERSONNEL DEVELOPMENT IN DABUR
Personnel department is headed by Vice- President (HR)
Functions of Vice President (HR)
Personnel administration
Recruitment and Promotion
Industrial Relations
Human Resource Group
Human Resource Development
70

General Administration and Welfare
Public Relations
Security/Fire Vigilance
Medical Services
Implementation Of Official Language Policy (Hindi)
Land Acquisition
The above functions are grouped under different General
Managers/Deputy General Managers. These executives provide
support to Vice President (HR) on different issues, which arise
in Headquarter/regional offices and field. Vice President (HR)
has the responsibility of keeping the Board of Directors
informed on the above mentioned personnel activities and also
on Industrial Relations. In addition to this, he is also expected
up date senior officials in their respective areas.
DOMINANT BRANDS


Amla Hair Oil

71

Vatika Hair Oil

Red Tooth Powder

Chyawanprash

Hajmola Tablets

Asavs

Hajmola Candy

Real Fruit Juice

Honey

Pudin Hara
BRINGING UP DABUR

72

Dabur has made a mark and created a space for itself while
catering to the needs of the Indian customers. It fulfills all their
requirements while assuring the quality product. Asking about
the name of the five largest FMCG companies in India one is
likely to dash of one of that own desi -sounding brands like
Chyawanprash, Vatika, Hajmola etc. This is the stand of Dabur
that it has acquired over the years. Dabur India Ltd. is the
India's fourth largest FMCG Company, having a turnover in
fiscal 2000-01 at Rs.1,167 Crores, ahead of big and mighty
multinationals such as Proctor & Gamble, Rickitt and Coloman,
Johnson & Johnson.

The Board of Directors of Dabur India Limited (DIL) met on
July 23, 2003 to consider the unaudited financials of the
company for the first quarter that ended on June 30, 2003.
Company has recorded a growth of 36 per cent in its net profit
per cent growth in its turnover during April-June 2003.

73

The turnover of DIL, during the three-month period, has
increased to Rs 266 crore to Rs 300 crore while the net profit
has increased 11.5 crore to Rs 16 crore during the same
period.


The first quarter results should not be annualized as sales
usually improve in subsequent quarters.
However, most of its turnover comes from two divisions -
Family Product Division (FPD), accounting for 40 percent, and
secondly, Health Care Division (HCD), which accounts for 30
per cent. FPD is Dabur's biggest, having the biggest product -
Dabur Amla Hair Oil, and a brand of Rs.160 Crores in fiscal
1999-2000.The strategies in the hair care market emphasis
brand extension. It plans to launch two new products, Amla
light and Vatika light over the next few months.
A separate company, Dabur Foods, looks after food products
such as real fruit juice and homemade of pastes. Dabur sees a
74

lot of potential in the "real" brand-currently Rs.30 crores
brand, which claims 3 per cent market share.
Two another divisions of Dabur, Ayurvedic specialties, and
Pharmaceuticals, constitute 8 per cent and 7 per cent
respectively of its turnover.
The Pharmaceuticals division is internally considered of great
promise with the potential of producing safe medicines much
required by mankind. Its most promising product is anti-cancer
drug, Intaxel, which is prepared of ingredients from the
Himalayan Yew Tree.
Dabur Amla, which is derived from vegetables and minerals,
has an 80 per cent market share in the heavy perfume hair oil
segment. The other leading brand in the Hair Care Division,
Dabur Vatika shampoo was launched at the end of 1998.In the
fiscal year 1999-2000,it was Rs.2 crores brand with a 30 per
cent market share of Rs.75 crores herbal shampoo market.
All the products of Dabur are prepared from natural extracts;
they are pure and nutrition. Dabur's brand offers products both
for fun or health; Dabur has a brand to match to the demands
75

of majority of cross-section of the people across various
market segments, different cultures and also tries well to cater
to the global demands.




















BRAND PORTFOLIO STRENGTH

The products offered by Dabur are unique thus
attracting many consumers.

76

The brands are strongly enriched in traditional usage
and habits.

The brands are prepared in active collaboration with
the mother nature and Dabur is also having right
consideration that its products do not cause any harm
to the environment thus takes necessary steps.

The products offer immense potential for growth and
extension.









77

DABUR INDIA LIMITED


HELP TAKEN FROM HDFC Securities Ltd

Parent
Company :
Dabur India Limited
HSL Code : DABIND BSE Code : 96 NSE Code : DABUR
Income
Statement
Balance
Sheet
Latest
Results
Ratio
Analysis
Earnings
Income Statement

As on (months)
31-Mar-
10(12)
31-Mar-
09(12)
31-Mar-
08(12)
Profit / Loss A/C Rs mn Rs mn Rs mn
Net Sales 9977.60 10801.70 10272.40
Operating Income 10027.36 10838.97 10349.79
OPBDIT 1321.21 1317.06 1187.23
OPBDT 1252.24 1146.25 947.74
OPBT 1073.70 909.64 693.80
Non-Operating
Income
60.70 45.68 61.31
Extraordinary/Prior
Period
-35.44 -31.93 -49.65
Tax 87.50 74.30 55.10
Profit after tax(PAT) 1011.46 849.08 650.36
Cash Profit 1189.99 1115.67 959.87
Dividend-Equity 572.50 400.05 142.75
78


Balance Sheet

As on 31-Mar-10 31-Mar-09 31-Mar-08
Assets Rs mn Rs mn Rs mn
Gross Block 2648.64 3186.84 3731.96
Net Block 1472.23 1779.97 2260.40
Capital WIP 63.38 248.05 160.58
Investments 561.43 1167.86 1166.70
Inventory 1114.98 1786.52 1585.33
Receivables 420.72 1166.58 1199.66
Other Current Assets 1814.06 1180.94 1358.17
Balance Sheet
Total
5446.79 7329.93 7730.85
Liabilities Rs mn Rs mn Rs mn
Equity Share Capital 286.25 285.75 285.59
Reserves 2320.53 3782.61 3660.06
Total Debt 398.13 1100.08 2135.02
Creditors and
Acceptances
1621.42 1547.03 1210.73
Other current
liab/prov.
820.47 614.45 439.45
Balance Sheet
Total
5446.79 7329.93 7730.85















79


LATEST QUARTERLY/HALF YEARLY

As On (months) 30-Sep-10(3) 30-Sep-10(3)
Profit / Loss A/C Rs mn Rs mn
Sales of
Products/Services
2895.50 3367.40
Other Income 27.20 21.80
Total Income 2922.70 3389.20
Total Expenses 2393.80 2900.60
Stock Adjustments 0.00 0.00
OPBDIT 528.90 488.6
Interest 9.10 20.00
Depreciation 41.00 46.80
Extraordinary Items 0.00 0.00
Prior Period
Adjustments
0.00 0.00
Provision for Tax 47.50 43.60
After Tax Profit 431.30 378.20
Equity Capital 286.30 0.00
Reserves 0.00 0.00


NET PROFIT AFTER INTEREST , DEPRECIATION & TAX FOR QUARTER
ENDED SEPTEMBER 30,FOR YEAR 2003 &2004 (in Rs million)
80


NP INCREASED BY 14.04 % IN A QUARTER










350
360
370
380
390
400
410
420
430
440
378.2 431.3
30sep03(3)
30sep04(3)
81

RATIO ANALYSIS

As on 31-Mar-10 31-Mar-09 31-Mar-08
OPBIT/Prod.cap.empl.(%) 92.96 29.34 19.91
PBIT/Cap. Employed (%) 39.71 22.24 15.96
PAT/Networth (%) 38.80 20.87 16.48
Tax/PBT (%) 7.96 8.05 7.81
Total Debt/Networth (x) 0.15 0.27 0.54
Long Term
Debt/Networth (x)
0.05 0.05 0.07
PBDIT/Finance Charges
(x)
19.52 7.79 5.01
Current Ratio (x) 1.37 1.91 2.51
RM Inventory (days
consumption)
38.98 55.15 39.97
FG inventory (days cost
of sales)
19.07 31.33 36.12
Receivables (days gross
sales)
14.44 36.91 40.25
Creditors (days cost of
sales)
67.98 59.30 48.23
Op. curr. assets (days
OI)
80.00 137.00 137.00







82

CURRENT RATIO(CURRENT ASSETS / CURRENT LIABLITY)

IDEAL RATIO= 2:1
But in DABUR it is decreasing at a alarming rate & for the year
end 31mar,04 it is just 1.37:1.
So in my view it should be find out that where the company is
lacking and how can this problem be rectified.



0
0.5
1
1.5
2
2.5
3
2.51 1.91 1.37
31-Mar-02
31-Mar-03
31-Mar-04
83

DABUR ENJOYING ITS SUCCESS
It can be very well seen in the given below diagrams that
DABUR is utilizing its success completely by leaving the good
impression of its growth on the debtors as well as creditors.
AVERAGE COLLECTION PERIOD of Creditors & Debtors are
showing the inverse trends.
Year by year ACP is increasing in case of creditors where as
decreasing incase of debtors.
This shows that people are ready to work with DABUR at any
cost.
0
10
20
30
40
50
60
70
48.23 59.3 67.98
31-Mar-02
31-Mar-03
31-Mar-04
84



CREDITORS(DAYS COST OF SALES) DEBTORS(DAYS GROSS SALES)











0
5
10
15
20
25
30
35
40
45
40.25 39.61 14.44
31-Mar-02
31-Mar-03
31-Mar-04
85

EARNINGS
As on 31-Mar-10 31-Mar-09 31-Mar-08
EPS (Rs.) 3.53 2.97 2.28
CFPS (Rs.) 4.16 3.90 3.36
Book Value (Rs.) 9.11 14.24 13.82
DPS (Rs.) 2.00 1.40 0.50

EARNING PER SHARE IN DABUR (I) FOR 3 YEARS

86


0
0.5
1
1.5
2
2.5
3
3.5
4
2.28 2.97 3.53
2002
2003
2004
87

DIVISION WISE BREAK DOWN OF CONSOLIDATED
REVENUES FINANCIAL YEAR 2009- 10




CHYAWANPRASH Largest Ayurvedic medicine with market
size of about Rs. 2 billion. Dabur is market leader with 65%
share.

88






INTERIM DIVIDEND OF 100% DECLARED BY THE BOARD







89

BIBLIOGRAPHY

Gupta C.B., Human Resource Management, Sultan Chand
& Sons, New Delhi.
Dcenzo & Robbins Human Resource Management,
Prentice-Hall International.
Monappa, Arun Managing Human Resources, McMillan
India

www.dabur.com
T.V.

Magazines

News Paper








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