A Summer Internship Project

On
Customer Perception about Vitrified Tiles
Of
Royale touche

As a Partial Fulfillment of the Requirement Of

Master of Business Administration
Batch 2011-2013
Submitted To

Affiliated To
Gujarat Technological University
Submitted By
DANGAR REETA N. (MBA-103016)
Project Guides
Mr. Pradip Mitra (Asst. Prof., MEFGI, Rajkot )
0

DECLARATION
This project report entitled customer perception about the vitrified tiles has
been submitted to Gujarat Technological University. Ahmedabad in partial fulfillment
for the award of degree of Master Of Business Administration. I, the under signed Ms.
REETA DANGAR hereby declare that this report has been completed by me under the
supervision of. Pro. Ass. PRADIP MITRA. Marwadi Education Foundations Group of
Institutions. Rajkot.
The report is entirely the result of own efforts and has not been submitted either
in part or whole to any other institute or university for any degree.

DATE:
PLACE:

(
)
REETA DANGAR

PREFACE
True training is borne out of experience & observation. Practical experience is
one of the best types of learning that one can remember the aspect of administration and
management.
Practical study in the form of Summer Training at the MBA level introduces
guideline to individual and competitive world. Summer training tries to bridge the gap
between theoretical and practical studies of management. It increases the skill, ability &
attitude to perform specific job in the industrial environment.
The summer training program is merely objected to understand the corporate
world and it suspect so as to expose the trainee undergoing through this summer training
program.
The master of business administration course is not limited to managing things
but it has wise area of performance and perspective which are applied in todays world
of management job. The training is an important part of any organization makes as
individual more experience and practical towards todays organizational undertakings.
Fortunately, I got permission to have my training at ROYALE TOUCHE
VITRIFIED Pvt. Ltd. Morbi. Here I got the chance to work in the organization and so
this has given us an altogether new experience that would be immense help to me in my
days to come.
This management education is given in meticulous way using different means of
learning. A classroom study contains theory, case study and presentations. With it, we
use library for secondary data of corporate and Project work as a field study for the
primary data sources. With it we have cocurricularand extra activity for the overall
growth of the student.
For management students practical studies is very important. It helps them to
improve their knowledge about various market trends. Management students are
concerned with marketing, finance, HR etc.

ACKNOWLEDGEMENT
I would like to express my thanks to all those instrumental in this project. First of
all, I would like to thanks Prof. Pradip Mitra, professor of Marwadi Education
Foundations Group Of Institution (Department of MBA) for giving me this
opportunity to do this project and learn from it. I am thankful to Royale Touch Vitrified
Pvt. Ltd for giving me permission for the summer internship in their organization and
also for the giving such information and great support to me in the summer internship.
I express my sincere thanks to chairperson Mr Rajani Kaila. of the Royale
Touch Vitrified Pvt. Ltd. and Prof Pradip Mitra, my project guide for helping and
giving me all the relevant information and constant guidance throughout the project.
My special thanks to corporate people of Royale Touch Vitrified Pvt. Ltd. for
providing me all necessary and relevant information of the product of the company. I
would also to acknowledge Mr. Amit patel of the Royal touche Pvt. Ltd., who gives me
continuous support in every possible manner to gain practical knowledge in the industry.
Finally I would like to thanks all the Professor of the Marwadi Education
Foundation Group of Institution (Department of MBA) and our friends & family for
kind of support and to all who directly and indirectly helped us in preparing this project
report.

__________________
3

EXECUTIVE SUMMERY
The summer training is very important for any management student in building
his/her career. The summer training done at corporate house which can give a real life
practical working experience. In this summer training I had done a competitive analysis
on customers perception towards vitrified tiles of the Royale Touch Pvt. Ltd. in Morbi.
The project is designed to find out customers awareness about the Royale
Touch Vitrified Pvt. Ltd. Morbi and also which things are to be in considered when they
buy various ranges of vitrified tiles. The secondary objective is to know the awareness,
company image, satisfaction and the expectation of the customer from the company.
In order to conduct research for this project I used descriptive survey method
(personal interview). And questioner is used as data collection instrument I have taken
the 54 sample from Morbi to know the awareness of the customer towards the Vitrified
Tiles. Samples were selected by using non random sampling method (convincing).

INDEX
4

Sr No.

Particulars

Page No.

1
2
3

5
6

7
8
9

Introduction
Industrial Overview
2.1 Global level ceramic industry
2.2 Global scenario
Company Overview
Products of the company
Technical Specification
Research Methodology
3.1. Title of the study
3.2 Objective of the study
3.3 Need for the study
3.4 Research Design
3.5 Collection of Data
3.6 Limitation of the Study
3.7 Scope of the study
Litrature Review
Analysis and Interpretation of data
6.1 Analysis and interpretation of data
6.2 CHI- Square test
6.3 Model Analysis
Findings, suggestions and conclusion
Conclusion
Suggestion
Bibliography
Annexure

6
9
10
11
14
17
20
21
22
22
22
22
23
23
24
25
27
28
39
41
53
55
59
60
62

CHAPTER-1
INTRODUCTION

INTRODUCTION
The product to be manufacture by the proposed project belongs to the category of
TILES, which is an important material used widely in construction of various types of
buildings and civil structures.

Application- wise, the tiles can broadly be classified into two categories
(1) Floor Tiles
(2) Wall Tile.
According to the type of basic raw materials and process used for their manufacture, tiles
can also classified as:

Natural stones Tiles

Mosaic Tiles
Ceramic Tiles

Tiles made from natural stone and mosaic Tiles are generally used as floor tiles, where
as ceramic Tiles could find applications as wall tiles and floor tiles.

A ceramic tiles is made of different types of clays and other minerals in powder from
which are mixed, pressed to from a shape and fired under high temperatures to from a
hard body called bisque. Different regions of the world produce unique types of clays
with combinations of hardness, color, texture, etc. the minerals provide strength and
8

stability to the bisque and the clay provides density. The inherent advantage of clay is that
it is moldable when wet but hardness when baked or fired. Glass may be fused to the
bisque using intense heat. This process is called glazing. A tiles may also be left
unglazed. Glazing lends a wide spectrum of colors ans designs to the tiles. It also makes
them stain-resistant by forming a non- porous surface over the tiles.

Many local traders deal simultaneously in stones, mosaic tiles, marble and granite.
Ceramic tiles can further be segmented into 1) Floor tiles 2) Wall tiles and 3) Fully
vitrified tiles (Granite).
Floor tiles are generally thicker, larger and more porous than wall tiles. The
manufacturing process also differs in some parameters. While wall tiles are generally
double-fired, the floor tiles are single fired. The vitrified tiles are as tough as granite or
marble, but yet elegant and slip rasistant. They are particularly used in heavy traffic zones
such as shopping complexes, airports and railway platforms.

10

CHAPTER-1
INDUSTRY OVERVIEW

Global level ceramic industry

During the period from 2001 to 2008, total ceramics trade grew at a CAGR of
9.8%, from US$ 39.6 billion to US$ 83.5 billion. During the period exports increase
from US$ 19.8 billion to US$ 41.3 billion.
China is th largest trader of the ceramic industry in the world, with total trade of
US$ 8.5 billion during 2008 followed by the Italy, US and Germany with total trade of
US$ 7.4 billion, US$ 6.9 billion and US$ 6.8 billion, respectively.
China was the largest ceramic exporter during 2008, with exports of US$ 8
billion. Italy, Germany and Spain followed China with annual exports of US$ 6.3 billion,
11

US$ 4.2 billion and US$ 3.9 billion, respectively. The top ten countries together
accounted for close to 72% of total ceramics exports during 2008.
Worlds Major ceramic exporter
According to data of the ITC, Geneva 2008

12

Here from the above chart we can interpret that the USA is the highest importer
of the world in the ceramic. The France is the second highest importer of the ceramic in
the world according the data that of the ITC Geneva.And the worlds highest export
country is the China.In the export of the ceramic product the second highest export
country is the Italy.

Global scenario
World production of ceramic tiles was 5904 million sq.mt.in 2010. China was
13

the largest producer with a total production of 2100 million sq. Mt. Spain and Italy
were other major producers with production of 651 million sq.mt. And 606 million
th

sq.mt., respectively. India ranks 8

position with production of 150 million sq.mt.

Which is around 2.5% of global production?

However, in terms of production growth, India ranked 2nd with a CAGR of
24.35%.
Total world consumption is 5426 million sq. Mt., of which 25.5% is traded
globally and the rest being sold domestically. China is the largest consumer followed
by Brazil and Spain. India ranked 6th in terms of consumption volume, but has highest
consumption growth rate of 22.26% per annum.
In terms of exports, Italy ranked 1st in the world. In 2002 Italy exported
436 million sq.mt. of ceramic tiles, this is 8.10% of world consumption. Spain and china
were 2nd and 3rd largest exporters. In recent years Chinas export has increased at a
much faster pace than others.
In terms of imports, USA was the largest importer with an import volume of
189 mn. Sq.mt, which is around 13.6% of global import. Germany and France are
two other major importers of ceramic tiles. USA, Germany and France jointly imports
around 30% of total world imports.
China is the largest producer and exporter in Asia. Italy and Spain are two
most important production centers in EU. Brazil is the largest producer in Latin America.
Among the entire major producer china has achieved most rapid growth in production and
export. However, quality wise, Italy and Spain produce best tiles in the world. Italian
ceramic tiles are also very costly. The current price of Italian tiles is Euro 8.74 per sq.mt.,
which is highest among all producer countries.

Table 1 Top ten manufacturing countries in the world

14

Rankin
g
1
2
3
4
5
6
7
8
9
10

Country
China
Spain
Italy
Brazil
Indonesi
a
Turkey
Mexico
India
Iran
Vietnam
Total

Productio
n
2100
651
606
508
230

%
of
Production
35.6
11.0
10.3
8.6
3.9

162
159
150
105
105
5904

2.7
2.7
2.5
1.8
1.8
100

Asia is the largest consumer with a share of 50.8% of global consumption. EU

and South America are two other major consuming areas with consumption share of
19.2% and 10.9% respectively.
China tops the consumption list with domestic consumption level of 1750
million sq.mt./year, which is nearly 4 times of second largest consumer, Brazil. India
ranks at 6th position with domestic consumption of 145 million sq.mt. However, the
consumption growth rates in India had a CAGR of 22.26%, which is highest among the
major consuming countries and much higher than the world consumption growth rate
of 7%.

15

CHAPTER-2
COMPANY OVERVIEW

The ROYALE TOUCHE ceramic is the located at the Morbi in the Rajkot
District and they are producing the vitrified tiles in the ceramic industry in the Morbi. In
the Morbi there are more than 650 ceramic companies is located. There are mainly
producing products are wall tiles, floor tiles, vitrified tiles .
16

In the ceramic industry of the Morbi the ROYALE TOUCHE ceramic is the one
of the branded company and they are also produce the good quality product for the
customer.
ROYALE TOUCHE ceramic quality is a ceaseless quest to do better every time be
it newer designs, superior craftsmanship,

more

cost

effective

technology,

more

rational pricing or greater product accessibility among the customers.

Customer delight being the ultimate goal, the focus will always be processes that
turn out exciting products. A perpetual endeavor will be to make systematic
improvements newer innovation and pool in the finest human resource, so that excellence
prevails in every aspect of the business.
ROYALE TOUCHE ceramics has achieved the coveted stamp of the quality, the
ISI mark, for eight of its vitrified tiles product the highest in the small scale industry. It
was only the representative of the vitrified tiles industry featured in the business
document produced by the government of India related to the Vibrant Gujarat Global
investors Summit 2005. ROYALE TOUCHE ceramics designs are much imitated by others
in the industry.

COMPANY PROFILE

17

Company Name

ROYALE TOUCHE Pvt. Ltd.

Address

Orson ceramic zone,

Lakhdhirpur road,
Morbi 363642
Gujarat India

Phone No.

+91-2822-243888, 242888

Fax No.

+91-2822-242777.

Size of the Company

SSI

Form of Organization

Private Limited

Brand Name

Royale touche Vitrified Tiles

Banker

SBI, HDFC, ICICI

Chair Person

Mr. Rajani Kaila

Market Area

All over India & some foreign country also

Website

www.royaletouchevitrified.com

E-mail ID

royaletouchevitrified@yahoo.com

PRODUCT OF THE COMPANY

Plain Colours
Cloudy Series
18

White Matt Marble

Ivory Matt Marble
White Glossy Marble
Ivory Glossy Marble
Wooden Glossy Marble
Rustic Marble
Satin Series

Plain Colours:

Cloudy Series:

White Matt Marble:

Ivory Matt Marble:

19

White Glossy Marble:

Ivory Glossy Marble:

Wooden Glossy Marble:

Rustic Marble:

20

Satin Series:

21

Technical Specification:

22

CHAPTER-3
RESEARCH
METHODOLOGY

3.1. Title of the study:

23

A Research on know the perception of the customer about the vitrified tiles of the
Royale Touche pvt.ltd. In the region of Morbi

3.2 Objective of the study:

Identify the awareness of various vitrified tiles brand.
Identify the perception of the customer towards the product of

ROYALE

TOUCHE
Identify the requirement of customer for Vitrified Tiles
Identify the customer satisfaction level
Identify the future demand of Vitrified tiles
Identify the reason for the result of above objective

3.3 Need for the study

The project I choose is a study on customers relationship as a financial
adviser of

ROYALE TOUCHE PVT LTD. The survey helps to find out the

possible strategic steps and decision that the company should take to increase the
market share in the vitrified tiles segment.

3.4 Research Design

I had used Descriptive Research as it describes some market characteristics
of the tiles market and the awareness regarding the tiles of the Royale Touche among
the respondents. For descriptive research I have used the personal interview method. I
also had done the exploratory research as it provides helps in understanding the
problem.

3.5 Collection of Data

Primary data sources

Structured questionnaire (Open eded and Close ended)

24

 Secondary data sources

Books Websites Magazines Newspaper

Contact Method:
We personally meet the respondent and collect the information

Statistical Tool:
Our research is based on quantitative tools

Analytical Tools:
We have used graphical and MS Office software

3.6 Limitation of the Study

The study is restricted only to the Morbi city. So, the result may not be
applicable to the other areas. The study is based on the prevailing customers
satisfaction & perception. But the customers satisfaction may change according to
time, technology, development, etc.As per the population of the study is huge, the
sample size is 54 sample respondent is only covered till now. Data collection of exact
data for the research is not possible because there is a gap between what respondent say
and what they actually do. Information provided by the customer may not be accurate.
They may hide some of the information at the time of filling of the questionnaires.
Limited numbers of respondents have been taken due to the time constraint and this
could affect the accuracy of result of certain extent.

3.7 Scope of the study

25

The scope of the study is limited to the traders and second users of vitrified
tiles. and the research conducted to study customer awareness of the ROYALE
TOUCHE pvt. ltd. morbi. The study was considered in Morbi.

LITERATURE REVIEW
In the recent years, the ceramic industry is witnessing encouraging trends in demand,
26

powered by sustained rise in housing construction and booming hospitality industry. The
industry also laid great thrust on cost control measures, capacity expansion, and exploration of
newer markets and introduction of newer designs. All this measures are expected to facilitate
better growth in the industrys revenues and profitability in future (Kundaria, 2007)
If the government can provide gas, electricity and water to this industry at lower
rates, the sector can become a major money spinner of India (Detroja, 2009)
The performance of industry is poor because of skewed capital structure, poor
economies of scale, high duties paid on raw materials and squeezing margins as a result of
the influx of cheap imports and new industry players. Small ceramic manufacturers who
are ignorant of policy and export procedures do not go for exports and sell their
products at lower prices in the local market. (Pethapara , 2009)
To boost exports, the DEPB scheme should be extended to vitrified tiles and
floor tiles firms, Small units which do not export directly are not covered under DEPB
scheme. If some special provisions are provided, there is vast scope for development for
small firms in this sector, (Aashar),
The high power rates charged by electricity board are further inflating the cost of
production of small manufacturers; the government has given the priority to this
industry under the cluster development programme. (Patel, 2008)
Increase in domestic market demand will automatically boost the industrys
sustainability at international level. To increase export in the most advanced and
remunerative markets, it has become essential to establish a loyal sales network. (Vyas,
2007)
Ceramic tiles are something which is very commonly employed in architecture
to enhance the beauty of a building. The building can be of any kind - religious,
restaurants, shops, offices, hospitals or residential. Tiles in these buildings can be
employed in the form of floor tiles, wall tiles, roof tiles, pavements, or furniture. The
earliest known evidence of ceramic tiles is Egyptian (4000

B.C).

According

to

historical records ceramic tiles were initially made by Assyrians, Babylonians and the
Islamic Empire.
27

Tiles play a very important role to define any space, whether it is an interior of a
building or an exterior. Traditional style of ceramic tiles was commonly used for the
interiors or exteriors of the building but with very minimal techniques or design. For
example: Islamic ceramic architecture (Interior of the mausoleum of Sultan Suleyman,
Istanbul) was more focused on flora and fauna, or religious quots.

28

CHAPTER-4
ANALYSIS AND
INTERPRETATION OF
DATA

4.1) ANALYSIS AND INTERPRETATION OF DATA

1) Have you make any purchase of vitrified tiles?

Yes
No
Total

Frequency
54
0
54

Percent
100.0
0
100

29

Chart of showing the using of vitrified tiles

percentage
120
100
80

percentage

60
40
20
0
yes

no

Here we take the sample from region of Morbi city only and from that
following data we get.
Form 54 respondent we get that data that all the respondents have the experience
of the purchase of the vitrified tiles.
Here all the respondents have the experience of the purchase of the vitrified tiles
so we can get the good data regarding the research.

Our question to the respondent was that have you ever made any purchase of the
vitrified tiles?
So from the questionnaire we get that 100% respondents have the experience to
purchase the vitrified tiles.

Q-2 Which thing you consider while purchasing the vitrified tiles?
Particulars
Price
Quality
Design
Variety of Colour
Availability
Total

Frequency
13
17
15
8
1
54

Percentage
24
32
27
15
2
100

30

Chart of factor affecting purchasing

35
30
25
particular

20

frequency
15

percentage

10
5
0
1

From the second question we come to know that which factor that
important at the time of the purchase of the vitrified tiles.
According to the respondent the Quality is the most important in the purchase
of the sanitary wares. Here 32% respondent says that they are emphasizing on the quality
while making purchase of vitrified tile Only 2% respondent focus on the availability of the
vitrified tiles.
The second highest component at the time of the purchase is the design of the
vitrified tiles according to the respondents.
Price is the third most important factor at the time of the purchase of the vitrified
tiles after the design available in the vitrified tiles.

Q-3 Rate following brands on the basis of various performance standards for vitrified
tiles?

31

Particulars
Eros Ceramics
Perry ware ceramic
Royale Touche
ceramic
Marvell ceramic
Solo ceramic

Quality
18.10
19.83
25.00
20.69
16.38

Price
18.10
20.69
19.83
22.41
18.97

Percentage
Design Availability
19.83
18.10
22.41
23.28
24.14
23.28
18.97
18.97
15.52
17.24

Colour
22.41
13.79
18.97
22.41
22.41

Chart of various performance standards of the vitrified company

30
25
20

Eros Ceramics
Perry ware ceramic

15

Royale Touche ceramic

Marvell ceramic

10

Solo ceramic

5
0
Quality

Price

Design

Availability

Colour

Here from this question we come to know from the respondent that
which company is better in reference of quality, price, design, availability and color
etc.

According to the respondents Quality is most important factor and Royale

touche ceramic is providing best quality among them. In providing good quality the
st
1 rank company is the Royale touche ceramic according to the respondent.

In the sense of Price component the Marvell ceramic is the preferred by the
respondents.
In component of the Design the Royale touche ceramic and the Parry ware ceramics
32

is the best company from the given option. And the Solo is the least preferred brand in
sense of the design component in the vitrified tiles.

As Availability option is concern the Royale touche ceramic and the Parry wares
ceramics are the most preferred by the respondent from the given option.

In color option the Eros and the solo is the most preferred by the respodent.

From all the above data we can analyze that the Royale touch ceramic and the
Parry wares ceramic is the most preferred by the Customer from the given option. And the
Solo ceramic is the least preferred by the respondent from the option.

Q: 4 Show the important of the following factors at the time of buying the vitrified tiles?

33

PERCENTAG
EEEEEeeEeEE
Extremely Somewhat
Indifference
important important
44.83
45.69
9.48
56.03
33.62
10.34
26.72
25.86
40.52
43.97
38.79
17.24

Factors

Price
Quality of material
Availability
Design
Promotional
Activities
43.97
Reference of friends
and family
12.93

Not so
important
0.00
0.00
6.03
0.00

Not at
all important
0.00
0.00
0.86
0.00

38.79

17.24

0.00

0.00

26.72

36.21

21.55

2.59

60
50
40

Price
Quality
Availability

30

Design
Prmt.Act.

20

Rfrnc of frnd

10
0
Ext.Imp.

Some Imp.

Indiff.

Not so Imp.

Not Imp.

By asking this question we were trying to get that which factor is most important at
the time of the vitrified tiles and which one is least important factor.
In the terms of the Price the around 45% respondent says that they have
extremely important factor is the price at the time of the buying vitrified tiles.

The highest extremely important factor is the Quality that by the 56.03%
respondent.

In the somewhat important factor the price is the highest by the 45.69% respondent.

34

The design is also the extremely important factor at the time of the purchase of the
sanitary wares respond by the 44% respondent.

In sense of the promotional activity 44% respondent says that that is also
extremely important for them at the time of the purchase.
The reference of friend and the family is in the indifference by the 36.21 %
respondent.

Availability is also in the category of the Indifference by the 40.52% respondent.

Most of the respondent are consider the price and the quality as the extremely
important or the somewhat important.

So from the above analysis and the table we can say that the price and the quality
are the most important factor in the mind of the respondent at the time of the made
purchase of the vitrified tiles.

Q-5 which brand of vitrified tiles is easily available in the market?

Particulars

Frequency Percentage
35

Eros ceramic
Perry ware ceramic
Royale touch
Marvel ceramic
solo ceramic
Other
Total

15

7
15
16

27
30
16
7
5
100

9
4
3
54

5. Chart of availability of vitrified tiles.

Availability

Metro

Antique

Magnum

Simpolo

Ozzy

Other

Here by using this question we are trying to know the which companys brand is
easily available in the market.
According to the respondents data the most available brand is the Eros ceramic
companys brand in the market.
And from other among alternative the Solo ceramic brand is the least available in
the market.

Second highest available in the market is the Royale touch ceramics brand and
then Parry wares ceramic in the market availability
Q: 6 which of the following brand you are seeing frequently in media tools?

36

particular

frequency

Percentage

Eros ceramic

16

Perry ware
ceramic
Royal touche

11

20

14

26

Marvel ceramic

15

Solo ceramic

17

other

Total

54

100

6. Chart of usage of media by the various vitrified tile.

frequency
newapaper
friend
family member
tv
magazine ads
hoardings

Q:7 Do you have ever purchase vitrified tiles of royale touche?

37

If yes than why do you prefer it?

Particulars
Price
Design
Quality
Avaliablity
Others
Total

Frequency Percentage
11
21
9
16
7
13
18
34
9
16
54
100

frequency
price
quality
design
color
avaliability

The purpose behind asking this question is that what buying factor affects the
behaviour of the customer.
After analysis the result we come to know that the most affected buying factor
is reasonable rate which is 34 %. And the least factor which is affected the buying decision
is availability of stock.
After the rate, color result is most affected factor which is 21%.then customer
service and cheaper transport affected equally to the buying decision of the customer.

Q:8 from where you come to know about Royale Touche ceramic?
38

particular

frequency

Percentage

Newspaper

11

Friend

12

22

Family
member
Tv

10

19

Magazine ads

Hoardings

13

24

Others

Total

54

100

frequency
newspaper
friend
family member
tv
magazine ads
hoardings
others

39

4.2 CHI-SQUARE TEST

I have taken sample size of 54 respondents and apply chi-square for their income level.
STEP: 1
H0 = the observed distribution of income is same as the expected distribution
H1 = the observed distribution of income is not same as the expected distribution
STEP: 2
Distribution of Income:
Monthly Income
0-10,000
10,000-20,000
20,000-30,000
30,000-40,000
>40,000

Percentag
e
8%
18%
47%
11%
16%
100%

STEP: 3
Observed Frequency:
Monthly Income
0-10,000
10,000-20,000
20,000-30,000
30,000-40,000
>40,000

Observed
Frequency(f
o)
4
10
25
6
9
54

STEP: 4
Construction of Expected value for income level:

Monthly
Income
0-10,000
10,000-20,000
20,000-30,000
30,000-40,000
>40,000

Expected
Proportion
0.08
0.18
0.47
0.11
0.16

Expected
Frequency(fe)
4.32
9.72
25.38
5.94
8.64
54.00

40

STEP: 5
Calculation of chi-square for given income level:
Monthly
Income
0-10,000
10,000-20,000
20,000-30,000
30,000-40,000
>40,000

Fo

fe

(fo-fe)2/fe

4
10
25
6
9
54

4.32
9.72
25.38
5.94
8.64
54.00

0.0237
0.0081
0.0057
0.0006
0.015
2=0.0531

So, Observed chi-square is 2=0.0531

STEP: 6
Critical chi-square value:
Here we take = 0.05
With 5 categories of income is given in this example, so k = 5
Degree of Freedom = (k-1)
= (5-1)
=4
So, critical chi-square value is 2 (0.05, 4) = 9.4877

STEP: 7
Conclusion: Because the observed value of chi-square of 0.0531 is not greater than the
critical table value of 9.4877, so the survey of income will not reject the null hypothesis

41

4.3 MODEL ANALYSIS

A. Five force
Model analysis
It uses concept developed in Industrial Organization economics to derive five
forces that determine the competitive intensity and therefore attractiveness of a
market. Porter referred to these forces as the micro environment, to contrast it
with the more general term macro environment. They consist of those forces close
to accompany that affect its ability to serve its customers and make a profit. A
change in any of the forces normally requires a company to re- assess the
marketplace. So here five forces for the Royale Touche ceramic are as follow:

1. Rivalry among Excising Customer

There are two type of player in Ceramic Industry for the Royale touche in the vitrified tiles.

42

 State Level
o
o
o
o
o

Sonet Ceramic
Metro Ceramic
Marvel Ceramic
Solo Ceramic
Eros Ceramic

National Level
o
Somany ceramics
o
Perry ware ceramic
o
Lexicon International
o
Kajariya Ceramic
o
Orient Tiles
These are the competitors in the market who are concentrating on the customer
for the Royale touche ceramic vitrified tiles. The production differentiation, diversity of
competitors and industry growth rate are the main factors those are come under the
rivalry among existing customer.
2. Bargaining power of Buyer
Indian ceramic industry is the fastest growing industry. In ceramic industry,
innovation price is the main drivers; growth and decline in successive quarters as sales
is dependent on order of local customer as well as order undertaken by the companies.
Bargaining power of the customer is high. There are many companies are
available at a place so the consumer can have strong bargaining.
There are many competitors company in the market so customers bargaining
power is high so customers switch over chances are more in the competitors market.
3. Bargaining power of supplier
Raw material for the industry is easily available at Morbi place. Another supply
source is Labour which is also available for the industry. So overall bargaining power of
supplier is moderate to low.
Most of the raw material for the industry is available at proper Morbi form the
supplier they can get easily. The number of supplier in the Morbi is more in compare to
the buyer of raw material so there bargaining power is moderate. So here if supplier will
43

convince the company can switch the supplier.

4. Threat of new entrants
To enter in the ceramic industry needs investment for new machinery, buildings,
labors, land for large scale as well as small scale. So, threat to new entrance is moderate.
Barrier to entry as follow:
- Product differentiation
- Capital requirement
- Access to distribution channel
So these are the threat to entry in the industry they have to need huge investment for it.
5. Threat of substitute
Ceramic industry offers a wide range of products and designs in India. After
purchasing the product the switching cost will be high. So, after purchasing it is not easy
to substitute. So threat to
substitute will be moderate to low.

44

B. PEST analysis

A scan of the external macro-environment in which the firm operates can be

expressed in terms of the following factors:
P-Political factors
E-Economical factors
S-Social factors
T-Technological factors

PEST analysis is concerned with the environmental influences on a business.

The acronym stands for the Political, Economic, Social, and Technological issues
that could affect the strategic development of a business.

These factors are include in the PEST analysis so here we see one by in the ceramic
industry PEST analysis and see the which factors are more impact in the industry.

Chart of the PEST analysis:

45

PEST analysis is the macro environment factors in the business and that are affect
to the business development as positive as well as negative also that depend on the
factors that arise in the environment.
A PEST analysis is an analysis of the external macro-environment that affects all
firms. P.E.S.T. is an acronym for the Political, Economic, Social, and Technological
factors of the external macro environment. Such external factors usually are beyond the
firm's control and sometimes present themselves as threats. For this reason, some say that
"pest" is an appropriate term for these factors. However, changes

in the external

environment also create new opportunities and the letters sometimes are rearranged to
construct the more optimistic term of STEP analysis.

PEST Factors chart

Political Factors
Political factors include government regulation and legal issues and define both
formal and informal rules under which the firm must operate.
Main political factors in the ceramic industry as follow:
46

1. Environmental regulation and protection

2. Tax policies
3. Consumer protection and Employment law
4. Safety regulation
5. Political stability
6. Trade restriction and tariffs
Here the Royale touche ceramic face these political factors in the industry
from the political or government policy. They have to pay the taxes and they have to
maintain the customer protection and provide them good quality product. Political
stability also affects the ceramic industry.

Economical factors
Economic factor affect the purchasing power of the potential customer and the
firms cost of capital.
Main economical factors in the ceramic industry as follow:
1. Economic growth
2. Interest rates
3. Exchange rate
4. Inflation rate
5. Stage of the business cycle
6. Labor cost
7. Taxation
8. Monetary policies
Here in the Royale touche ceramic or the ceramic industry the economical
factors such as the purchasing power of the customer is hardly affect the buying
behavior of the customer in the market. And the monetary policy affect the interest rate
as well as the inflation so that directly affect the customer. So these are the factors in the
ceramic industry affect as the economical factors.
Social Factors
47

Social factors include the demographic and cultural aspect of the external macro
environment. These factors are affect consumer needs and the size of the potential
market.
Society shapes the belief, value and norms that largely define consumer tastes
and preferences. Values, attitude and aspiration of people vary significantly across
different customers group and religions.
Some social factors that affect the ceramic industry as follow:
1. Population growth rate
2. Emphasis on safety
3. Age distribution
4. Entrepreneurial spirit
5. Education
6. Life style changes
7. Standard of living
So in the ceramic these factors affect mostly. The population growth rate is
affected the companys production level and the customer also. Age distribution and
the entrepreneur spirit is also affecting to the company. Education level in the
customer or the population is good for the company because they can aware then by the
using different technology like the advertisement on the TV and the hording as well.

Technological factors
Technological factors can lower barrier to entry and reduce minimum efficient
production level and influence outsourcing decision. How the technology changes in the
industry is affect the development of the industry. Technology is the most important
factor in the every industry now days. So where the technology is the best then there is
great development of the industry.
Some technological factors in the ceramic industry are as follow:
1. R & D activity
2. Automation
3. Rate of technology change
4. New invention and development
5. Technology incentives
48

So these are the factors that affect to the ceramic industry by the technological
way. R & D activity that done by the company is helpful them and that is help in the
invention of the good product. Rate of the technology change is the benefited sometime
for the company and the loss also so that affects to the ceramic industry.

49

C. SWOT analysis
SWOT analysis of any company is shows the internal strength and weakness and
external opportunity and threat for the company. In the SWOT analysis includes the
following:
S- Strengths
W-Weaknesses
O-Opportunities
T-Threats

Here we are see in consider to the Royale touche ceramic in the ceramic industry
that produce the sanitary wares.
Strengths
The strength of the Royale touche ceramic in compare to the other ceramic
company and for the competing as follow:
-- Royale touche ceramic use the latest technology nano technology in the
production of the vitrified tiles that is different than others.

50

-- Royale touche ceramic has the strong linkage with the other cluster of the
ceramic industry.
-- Company has the strong industrial relation with the employee of the company.
-- Royale touche ceramic produce the Handcrafted designed vitrified tiles that are
first time in the India so by this they can get the more customers.
.Royale touche ceramic already have the good market condition in the ceramic
market so that is beneficial for the company.
-- Gas is provided by Government of Gujarat through pipeline.
-- High distribution efficiency and sound to cope up with economic situation.

Weaknesses
The main weaknesses of the Royale touche ceramics as follow:
-- For the raw material company have to depend on the supplier and in delivery
may not on time then they have to stop the production.
-- Some of the raw materials of the vitrified tiles are to import from the outside
the Gujarat so its cost is very high.
-- Non-availability of processed raw materials in the local market.
Opportunity
The opportunity for the Simpolo ceramic in the ceramic industry market as
follow:
-- Rapidly development in the Realty sectors so demand more ceramic
product that is the opportunity for the company to capture that market.

51

-- Opportunity for the export in the Middle East, Africa and central Asia.
-- Government also supports for the export the production in the many countries
so that is the opportunity for the company.
-- There is huge market in the Indian rural so that is also opportunity for the
company.

Threats
The main threat for the company in the vitrified tiles market as follow:
-- In the market there are many importers from the china at the low price so there
company have to compete them in the market.
-- Changing the consumer preference is also the threat for the company.
-- Quick change in the technology is very difficult to maintain for the company.
-- Threats from the economic cycle i.e. Inflation or Deflation.
So this is the SWOT analysis of the ceramic industry in the Morbi region that
helpful in the catch up the new opportunity in the market for the ceramic industry.

52

D. 4P analysis
In the 4P analysis of the any company there are main thing are included as follow:
P-Product
P-Place
P-Promotion
P-Price
So here in the ceramic industry these four things how affect and what is the
position of there is seen in conceder to ceramic industry.
Product:
The ceramic products have traditionally been associated with the aesthetic
value of cultures. Today due to increasing hygiene consciousness and growing tendency
to adopt new construction materials has boosted the demand of the product. The product
is also associated with kitchen and ornamental items.
Ceramic vitrified tiles are very convenient as compared to marble, granite, and
stone in terms of price, color, choice, weight, sizes, surface and availability
Place:
Gujarat has a highly developed ceramic industry concentrated in the Morbi,
Wankaner, Thangadh, Bamanbor, Shaper, Veraval areas in Rajkot district. The industry
has a turnover of around 3000 crore per annum in the state.
These areas in the Saurashtra region are rich on red soil, which is raw material
such as volestonite and feldspar are acquired from mines in Bikaner and Jaipur. Powder
used in industry comes from Pune and Udaipur. Fuel gas is supplied from Porbander.
Ceramic products like glazed tiles, sanitary ware and kitchenware are
manufactured in Morbi and Thangadh and are exported to countries in the Middle East
and Africa.
The ceramic industries earn foreign exchange worth Rs. 37.5 crore a year. There
are close to 650 units in the ceramic industry in the region. Of these, 100 are engaged in
the production of vitrified tiles.
53

Promotion:
India ceramic companies now displays their product range at international
exhibitions held in major trade hubs like Dubai, Singapore etc also brand loyalty is given
due importance.
On 9th

March 2006 there was an International Ceramic Exhibition at

Morbi. Many companies from India and overseas had launch their products in this
extravaganza. This exhibition will definitely give a platform to the small players in this
industry and an international exposure which was otherwise not possible.
Many ceramic companies in Gujarat have launched online portals to directly
come in contacts with customers. Visitors of the site can customize the designs at their
will and order a sample of the tile before buying it.

Price:
Through Indian ceramic industry is facing price war from China, our price is
reasonably low in premium markets like Europe, Canada and US. Only thing we need is
proper sales network in these markets.

54

Chapter: 5
Findings,
suggestions and conclusion

Findings
55

Findings from this research that as follow:

From our first question we find that 100% respondents have made purchase of
vitrified tiles, as far as industry is growing day to day so it means that there are bright
future of ceramic industry in India.
From our second question we find that out of 116 respondents 32% respondent
emphasis on quality of the material while purchasing of vitrified tiles. Respondents also
emphasis on design and price at 27% and 24% respectively while variety of color and
availability of product are with 15% and 2% respectively.
From our third question we find that which ceramic company is best and in
what is its strengths. 25% respondent says that Royale touche ceramic is best in
providing quality and design among all of them.
In the answer of our fourth question state that on which base respondent made
purchase of the vitrified tiles. We find that quality of material and price of the product
are two most important factors which buyer consider while purchasing
From our fifth question we find that which brand is easily available in the
market of the given brands. From the answer we get that product of Eros ceramic is
easily available in the market. Royale touche ceramic and Perry ware ceramic are on the
2nd and 3rd position with 24% and 19% respectively.

56

SUGGESTION

After the observation of the data we have some suggestions which we like to share with
Royale Touche.
57

 According to study Royale touche should make improvement in some of the area of
its service. to grab large market.
First Royale touche should improve its transportation service.
Royale touche also require to improve its dispatch and loading service. So that order
can reach to the customer as per requirement.
Royale touche should look upon customer relation.
Royale touche should be produce the material as per customer requirement. Some
customer require filler material while some are required 100% virgin so Antique
should look upon both kind of requirement.
Royale touche should give distribution agency in Maharashtra, madhyapradesh,
Andhrapradesh ,Karnatak,Tamilnadu, west Bengal.
Royale touche can produce laminated fabric. To meet the demand in agriculture
packaging.
ROYALE TOUCHE should focus on surgical industry which is larger user of
nonwoven fabric.
ROYALE TOUCHE should focus on exporting the fabric in South Africa and
Europe.
ROYALE TOUCHE should be produced Oxibio degradable fabric which is 100 %
eco friendly.
ROYALE TOUCHE should focus on genuine customers rather than small and local
customers.
ROYALE TOUCHE should upgrade its technology and adept nano technology.

58

59

CONCLUSION

Conclusion

The project was a great experience for us in order to study the marketing
aspect in the world.
This is an information era significance of information cannot be over
emphasized. study attempts to find out the perception of consumer regarding to Royale
Touche ceramic. On the basis of the study the various aspects of the company can be
concluded.

60

Royale Touche ceramic is a successful company with excellent infrastructure

facility, using the latest technology, efficient production, effective human capitals and
efficient management.
The strength of the Royale Touche ceramics like latest technology for production,
strong industrial relationship with employees, efficient distribution chain, there is good
consistent growth in the ceramic. They have aggression in the ceramic industry that is
also the one of the good factor for the company.
The dependency on the supplier for the raw material is the weak point of the
ceramic company. The construction and housing boom to provide bolstering demand for
ceramic products. The untapped rural market supported by a strong growth witnessed
by Indian agriculture provides tremendous potential for the domestic ceramic
manufacturer.

61

Chapter: 6
Bibliography

Books;
Black, K. (2010). Business Statistics. John wiley & Sons pvt. ltd.

Web Reference;
www.royaletouchevitrified.com
www.wikipedia.com

62

CHAPTER-7
63

Annexure

QUESTIONNAIRE
I am the student of Marwadi Education Foundations group of Institution , Rajkot pursuing
an MBA as a part of our curriculum we are required to undergo summer training as a part of
that training we are doing research on A research on customers perception towards
vitrified tiles of the Royale Touche ceramics in the Morbi so kindly co-operate us to fill
up this questionnaire. The information provided by you would be used for academic purpose
only and will be kept confidential.

1.Have you ever make any purchase of vitrified

tiles.?
Yes

No

2.Which things you consider when you purchase

the vitrified tiles.?
64

Price
Quality
Design
Veriety of colour
Avaliability

3.Rate following brands on the basis of various

performance standards for vitrified tiles.
(1 is most preferred brand and 5 is least preferred brand)
Name

Eros Ceramic
Perryware
Ceramic
Royale Touche
Marvel Ceramic
Solo Ceramic
Other (specify
Name)

Rank
Rank on
on the the basis
basis of of price
quality

Rank on
Rank on the Rank on
the basis of basis of
the basis of
design
Availability Colour

4. Show the important of the following factors at the time of

buying the Royale touche.
Factors

Not at all Not so

Important important

Indifference

Somewhat
Important

Extremely
important

Price
Quality of
Material
Availability
Design
Promotional
Activities
Reference of
friends and
family

5.Which brand of vitrified tiles is easily available in the

market?
65

Eros ceramic
Perry ware ceramic
Royale touche
Marvel ceramic
Solo ceramic
Other

6.Which of the following brand you are seeing frequently in

news paper?
Eros ceramic
Perry ware ceramic
Royale touche
Maevel ceramic
Solo ceramic

7.Do you have ever purchase vitrified tiles of royale touche?

Yes

No

If yes, why do you prefer it?

Price
Design
Quality
Avaliablity
Others

8. From where you come to know about Royale touche

ceramic?
66

News paper
Friend
Family member
TV
Magazine ads
Hoardings
Others

9. Are you satisfied with the services of royale touche?

Yes

No

10. If no than give your reason for that.

11. Please give your valuable suggestion so that Royale

touche can improve product and services.
Personal details;
Name:
Age:
Gender:

Education and profession:

Mothly income:
Less than 10000
S
10000 to 20000
20000 to 30000
More than 30000
67

68