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Solved Assignment July Dec 2016

MS-611 (Sample Copy)

Course Code
Course Title
Assignment Code
Assignment Coverage

MS - 611
Rural Marketing
MS-611/TMA/SEM - II/2016
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1. Discuss the rural environment in terms of the infrastructure available for marketing. How does this
environment affect the marketing decisions and opportunities? Explain taking the example of banking services.
Rural infrastructure plays a critical role in poverty reduction, economic growth and empowerment for the Indian rural poor. The
lack of adequate and reliable infrastructure touches ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and vital information. Local roads and tracks are often
impassable making it difficult, if not impossible for rural families to access the rural economy.
Various factors affecting marketing function.
The environmental factors that are affecting marketing function can be classified into :
1) Internal ----------------------------and
2) External -----------------------------------------------Internal ---------------------------------------------------- :
This refers to factors existing --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, because the company has control over these factors :
a) it can alter or modify factors --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- as marketing mix, to suit the environment.
There are many internal factors that influence the marketing function, they are :
Top Management : The organizational -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- marketing decisions and their implementation.
Finance and Accounting: Accounting refers to ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------to carry out the marketing plan. Financial
factors are financial polices, financial position and capital structure.
Research and Development : Research and Development ---------------------------------------------------------------------------------------------------------------------------------------------------------------- determine a company ability to innovate and compete.
Manufacturing : It is responsible for ---------------------------------------------------------------------------------------------------------------------------------------------------------------- technology and efficiency of the productive apparatus, distribution logistics etc.,
Purchasing : Purchasing refers to ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- activity of the business.
Company Image and Brand Equity : The image of ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- or sales contract, launching new products etc.
In organization, the marketing resources like organization ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------- for new product introduction and brand extension, etc..
External -------------------------------------------- Marketing.
External factors are beyond ------------------------------------------------------------------------------ adaptability to the environment.
The external ------------------------------------ consists of :
a) Macro ----------------------------------, and

b) Micro ---------------------------------------a) Micro environment: The environmental factors ------------------------------------------------------------------------------------------------------------------------------------------------------------ non-capacity to produce and serve the market.The factors are :
1) Suppliers: The suppliers to a firm ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------This equation is based on the industry
condition and the extent to which each of them is dependent on the other.
The bargaining ------------------------------------------------- following situations:
a) The seller ------------------------------------------------------------ oligopoly firm.
b) The supplier is not --------------------------------------------------------------------- sale to the buyer group.
c) The ----------------------------------------------------------------------------------------- customer.
d) The suppliers -------------------------------------------------------------------------------- and finished product.
e) The supplier ------------------------------------------------------------------- integration.
2) Market Intermediaries : Every producer has to -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------market service agencies and financial institutions.
3) Customers : The ------------------------------------------------------------------ classified as :
1) Ultimate customers: These ------------------------------------------------------ and householders.
2) Industrial customers: These ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------fulfilling other objectives.
3) Resellers: They are the intermediaries ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ be wholesalers, retailers, distributors, etc.
4) Government and other non-profit customers: These customers purchase goods and services to those for whom they are
produced, for their consumption in most of the cases.
5) International customers: These customers are ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, producers, resellers, and governments.
6) Competitors: Competitors are those who sell the goods -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------. Therefore, it is necessary to build an efficient
system of marketing. This will bring confidence and better results.
7) Public: It is duty of the company to satisfy the ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------must be fully taken care of.
Macro Environment:
Macro environment factors ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------the influence marketing decisions of the company.
These are the macro environmental factors that affect the companys marketing decisions:
a) Demographic Forces: Here, the -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------of macro-level factors related to means of


production and distribution that have an impact on the business of an organization.
c) Physical Forces: Components of physical forces -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of resources available to a marketer for his production.
d) Technological Factors: The technological environment consists of factors related to knowledge applied, and the materials and
machines used in the production of goods and services that have an impact on the business of an organization.
e) Political and Legal Forces: Developments in ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and promotion. Government
in almost all the country intervenes in marketing process irrespective of their political ideologies.
f) Social and Cultural Forces: This concept has ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ on the marketing process.

Marketing of banking services


The marketing strategy for rural areas, by and large, assigns a responsible role on branch officials in bringing out socio-economic
transformation of the rural society. There is need for a total marketing approach from the personnel to penetrate all levels in all
areas of banking operations. Efforts need to be ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------strategies. This calls for the need
of training the staff with sharp focus on improving the knowledge of the bank staff about the rural atmosphere and the skills
necessary to deal with the rural customers. There is also need for developing a sense of belonging towards the organisation,
customers and the society.
The field staff, to the extent possible, should know the language and dialect of the people and should be able to communicate in a
manner which is appealing to the people. The ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------requirements.
Further,
the
institutions need to motivate their personnel for popularising the services in rural areas. Every member of the staff is a salesman of
the banks services and an ambassador of the institution among people. Marketing efforts made by the personnel and its effect on
business development should be appreciated and rewarded by the bank management.
The bank personnel, as a matter of strategy, should try to find a place in the hearts of the rural folks. Role of personal influence
on acceptance of an organisation or services in the rural ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------always acts as an
ambassador of goodwill for the bank and brings clientele through his own efforts. The personnel, therefore, should strive for
customer satisfaction as a marketing strategy, if not as the objective of the organisation.
It may be understood that the success of marketing ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------making the efforts and the
organisational support available to them.

2. You are a cellular telecom operator with strong roots in the urban markets. Due to saturation in the existing
urban markets, you now want to expand into rural areas. How would you modify your current marketing mix
strategies according to the rural consumers? Discuss.
The term rural has been given a definition ---------------------------------------------------------------------------------------------------------------------------------------------------------------------- a municipality or a corporation, a cantonment area notified or is a town area
All other locations which have a minimum of 5000, a population density of more than 400 per sq kms. and where more than 75%
the male workforce is engaged in nonagricultural occupations.
Taking on from the above, a habitation is defined as rural if

It has a --------------------------------------------------- 400 per sq. km.


At least ------------------------------------------------------------------- in agriculture related activities, and
There is, ------------------------------------------------------ municipal board.

India today has about 6.4 lakh villages. All ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and scope, of rural market in this country.
Almost 70% of the Indian population lives in villages and rural areas. Rural India consumes almost 60% of the total goods
manufactured in India with majority of the products coming from FMCG sector. Products like shampoo or skin moisturizer was
never affordable to people in the rural areas ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------are a big headache for the FMCG
companies.

Factors affect the -------------------------------------------- in case of mobile phonesIn India, as in other developing countries, rural ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, the phone sometimes is shared
with non-family members, usually at no cost to the user.
Marketing mix (programme) comprises of various ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------characteristics of rural customers.
Since behaviour of rural consumers is different and less predictable, the marketing manager has a challenging task to design
marketing mix strategies for the rural segments. Due to considerable level of heterogeneity, a manager needs to design tailor-made
programme to cater needs and wants of specific groups.
Dynamics of rural markets differ from urban ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and China, and even the focus of
international symposia organized in these countries.
Following part ------------------------------------------- rural segments for Mobile Phones:
1. Product Mix:
Product is a powerful determinant of firms success-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------and improvements to sustain


its suitability over time. Note that effectiveness of other decisions like pricing, promotion and place also depends on the product.
2. Price Mix:
Price is the unique element of marketing mix, ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------. However, some rural customers
are quality and status conscious.
3. Promotion Mix:
Rural markets are delicately powerful. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ and is glued to TV sets!
Marketing manager has to decide on promotional tools such as advertisement (objectives, message, media, budget, scheduling,
etc.), sales promotion (sales promotion tools, levels, costs, timing, etc.), personal selling (including objectives, sales force size,
recruitment and selection, training and development, remuneration, training, controlling, etc.), and publicity and public relations.
The method of promotion needs to be tailored to ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, colourful wall paintings, etc.,
techniques have been proved effective. The wide reach of television has exposed the conservative audience to westernization.
Similarly, puppet-shows, dance, dramas and ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------render for communication with the rural society.
Village fairs and festivals are ideal venues for projecting these programmes. In certain cases, public meetings, too, are used for
rural promotion. Music cassettes (CDs) are another effective medium for rural communication. It is an appealing medium and a
comparatively less expensive medium.
Different language groups can be reached with a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ must match the rural context.
Evidently, rural communication needs creativity and innovation. In rural marketing, usually a greater time lag is involved between
the introduction of a product and its economic size sale. This is because the rural buyers adoption process is relatively more time
consuming.
Opinion leaders play a key role in --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------to novelties. The reach of mass media, especially,
television has influenced the buying behaviour greatly.
4. Place Mix:
Rural markets face the critical issues of distribution. The marketer has to strengthen the distribution strategies. Distributing small
and medium sized packets through poor roads, over long distances, into deep pockets of rural India and getting the stockiest to
trust the mobility is a herculean task.
Both physical distribution and channel of distribution ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------at different regions, and deploying specially
trained sales force are some of the critical decisions in rural distribution.
Normally, indirect channels (particularly one or ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------is booming in villages of some


states. Service industries are trying to penetrate the rural segments by deploying the specially trained employees and local agents.
Surprisingly, online or cyber marketing is making its place gradually in rural areas of the progressive states. Marketer must design
and modify time to ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- differently than that of urban markets.

3. Explain the importance of branding and packaging decisions in rural marketing.


Product branding and packaging decisions ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------price, the contents and also the
various other factors.
The marketers of all the competitive brands of a product try ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of an altogether a
new brand with attractive product features including appealing packaging.
The marketers therefore need to continuously ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------time to time about this brand and its packaging.

Branding decisionsA look into the extant literature shows ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------it is so advised by the retailers.
The increased exposure to television has --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------that the rural marketers should pay attention to are:
1 Brand -------------------------------2. Logo/---------------------------3. Brand ----------------------------------4------------------------/one liner
5. -------------------------------6. ---------------------------Brand name is one of the most important ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of diversity amongst the rural pockets
of different regions.
Among the different brand elements, the logo or symbol has a special role in building brands in the rural markets. In India, there
are 16 official languages and more than 460 dialects. However a well-conceived logo can mean the same thing to diverse groups
of customer. MRF Tyre's Muscular Man Lifts the Tyre would connote the same meaning to people in different regions.
Thus the logo is able to transcend the ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------musicals can be associated with a brand

and thereby giving potential buyers one more cue for easy retrieval from memory. Titan's signature tune, and Liril's La-La-La,
are attempts to surround the brand with interesting and memorable cues.
Benefits of Branding
Establishing a brand involves ------------------------------------------------------------------------------. But once established, a brand has
several advantages to offer. If a brand is properly nourished, it grows and has a long shelf life.
a)
A brand serves as a guarantee --------------------------------------------------------- among the consumers.
b)

A branded product ------------------------------------------------------------------------- easy to select and buy.

c)

The greatest advantage, ------------------------------------------------, the product can compete on a non-price basis.

Packaging decisionsPackaging today is being used as an ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------is most often identified on the basis of the
packaging of the brand, primarily because of-

1. Low ---------------------------------------------------levels
2. Availability --------------------------------------- brands
3. Low -------------------------------------- media vehicles
How small fractional packages have -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------small SKUs (Stock Keeping Units).
Packaging in reusable containers: The rural -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------lowest ebb.
Packaging Colour and Design: Package becomes a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------red & white recognizable
tooth paste, Lifebuoy's familiar package and Brittania's Tiger biscuit packs are the prominent examples which generated brand
identification and recall partly on the basis of package colour and logo designs.
Similarly, depiction of recognizable logos on the package are positive aids in brand recognition and recall. Successful examples
are the Eveready Cat-o-nine lives, Gemini ----------------------------------------------------------------------------------- widely
understood symbols help the rural customers in making brand associations and generating recall.
Importance of Packaging
Depending on the products and the industry, the packaging can have different levels of importance. Sometimes packaging
becomes the most important way of delivering the good, ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------about the product, price, manufacturer
and the consumption precautions etc. can be conveyed to the buyer.
Product packaging decisions are very important ------------------------------------------------------------------------------------------------------------------------------------------------- is sometimes the key factor of success or failure of a new launch.
Packaging, as a function, has two -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- to the consumer directly or subtly.

Overall it can be concluded that packaging is an integral and an important component of the product. It not only helps in
protecting the product from being damaged during its handling but also protects it as an attractive packaging works as a silent
salesman.

4. What are the commonly used methods of sales promotion directed at the consumers? Identify and describe
some rural sales promotion efforts aimed at generating trial.
There are many sales promotional techniques -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and widely used. The rest of the techniques usually include some
kind of combination of these 12 most used techniques of sales promotion.
1. Sampling - the use of ------------------------------------------------------------------------------------ with the purpose to initiate trial.
2. Coupons - A promotional ----------------------------------------------------------------------------------------------- the coupon
3. Trade incentives - ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- as displaying merchandise or selling certain lines of merchandise.
4. ---------------------- - deals that are offered to ---------------------------------------------------------------------------- brand
5. ---------------------------------------------------------------------------------------- a reduction in the brand's regular price.
6. In, on, and near-packs (------------------------------------------------------------------------------------------------------------ consumers
who purchase the promoted product.
7. Free-in the mail ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------- manufacturer in return for submitting a required number of proofs of purchase.
8. Self-liquidating premiums - a method ---------------------------------------------------------------------------------------------------------of premium item. From manufacturer's point of view this form of promotion is cost free, and therefore the name is self-litigating.
9. Contests and sweepstakes - a form of ----------------------------------------------------------------------, or merchandise.
10. Refund offers - A cash reimbursement -------------------------------------------------------------------------- has purchased.
11. Bonus packs - Extra----------------------------------------------------------------------------------------- at a regular price.
12. Stamp plans ----------------------------------------------------------------------------------------------------------------------------------------------------------------------- for continuos use or repetitive purchase of a product/service, f.ex frequent flyer programs.
Pricing alone cannot generate traffic and purchase. Promotional ingredients are necessary to make the strategy effective. While
pricing offers affordability to buy, advertising offers ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------techniques which companies can use to stimulate immediate
purchase.

S.N.

Technique

Table 4.1: Promotion Pricing Techniques


Description

Cash ------------- Discounts

Textile show ----------------------------------------------------------------------- of their inventories.

Price-off

Many -------------------------------------------------------------------------- price reductions.

-------------------- financing

TVS and other two -------------------------------------------------------------- kind long since.

----------------------- terms

LIC policies, ------------------------------------------------------------------------- over a long period.

Warranties & service


contracts

There is hardly any consumer --------------------------------------------------------------------------------- fans carry warranty to 7years. For all these products free service coupons are given for a period.

Loss leader ---------------------

Retailers --------------------------------------------------------------- as traffic builders.

Every ------------------pricing

Many retailers like --------------------------------------------------------------------------------------------------------------------------------------------- of others while quality is the same.

----------- price offer

Old products of ------------------------------------------------------------------- price with new ones.

Membership --------------

Family health cards ----------------------------------------------------------------------------------------------------------------- of reduction based on number of family members availing it.

Economists defines price as the exchange value of a product or service always expressed in terms of money. In simple terms price
is the amount charged for the -----------------------------------------------------------------------------------------------------------------------------------------------------------. To the seller price is a source of revenue and main determinant of profit.
Though ideal for consumer goods, sales promotions ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------and spares, and posting of trained staff to assist/supervise in
the working of the equipment in the client's premises, at the manufacturer's cost.
The sales promotion schemes offered at the ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------contests and prompt service awards.

Some ExamplesMajor Hair Oil Manufacturers in India


Marico - is a leading FMCG Indian Manufacturer ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, Code 10 and Black Chic.
The major brands of Marico holding significant market share are Parachute and Saffola. Parachute is essentially coconut oil.
The other sub brands of Parachute are Nihar, Uttam and Oil of Malabar which are also coconut oils. It established a plant at
Kanjikode, Palghat to manufacture Parachute -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------popular item is perhaps
Parachute coconut oil. This unique product is manufactured from high grade coconuts and helps users in all their hair related
ailments.
Bajaj Corp. Bajaj Corp Ltd is one of Indias leading FMCG company with major brands in Hair care category. It is one of the
oldest business houses of the country. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------managed to retain its ground due to its
superior quality. The different hair oil products that the company offers are Almond drops, Brahmi Amla, Amla Shikakai &
Jasmine hair oil.
Dabur India Limited has marked its presence with significant achievements and today commands a market leadership status.
Dabur Amla Hair Oil is Indias trusted hair oil. ---------------------------------------------------------------------------------------------------

---------------------------- million consumers.aster hair oil brands are Dabur- Ayurvedic healthcare products & Vatika Premium
hair care.
Emami Ltd. the flagship company of the Group, is a Rs 1100 crore business entity, a leading player in the personal and
healthcare consumer products industry in India engaged in manufacturing and marketing of health, beauty and personal care
products that are based entirely on ayurvedic formulation. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of providing relief
from hair related problems. It is the most trusted brand in the cool oil category. It commands a holding of 50% of market share of
the cool oil market. It has a monopoly in the southern states with a market share of 98 %

5. Briefly explain the factors that influence buyer behavior in the rural context, highlighting the impact of
Family Life Cycle.
Consumer behaviour can be examined as it is a decision making process of an individual when consumer engaged in evaluating,
acquiring, using or disposing goods/services. The decision making is basically depend on two important aspects that are the
consumers expected amounts of satisfaction and the resources that are available to him for spending.
Understanding the Buyer behaviour process ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------out the specific differences that
rural buyers exhibit, while selecting, consuming and disposing of goods and services.
1. Problem Recognition- Problem recognition is the first step in initiating the buying process. In terms of individual drivers of
buying processes, the rural consumer is no ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------day's shopping at the weekly haat or
bazaar. How different are the consumers really? It is a few differences in environmental context that compel us to realise the
difference between the two.
2. Information Search
Sources of -------------------------------------- consumers are:

Personal sources: -------------------------------------------, acquaintances

Commercial ---------------------------------------------------------- packaging, displays

Public sources: -------------------------------------------------------- organisations

Experiential sources: ---------------------------------------------- consumer

On the other hand, the other key influencers --------------------------------------------------------------- in the rural markets are:

The -------------------------------------- (Mukhiya)

The ------------------------------------------------------------ products

The prospective consumer's -----------------------------------------------------------------------------------------------------------------------------------------------------------------, who are frequent visitors to their villages.

Rural markets as compared to the urban markets require more intensive personal selling effort. Hence, a brand needs to ' associate
itself with the day to day activities and the psyche of the rural consumers and then act accordingly.'
3. Evaluation of Alternatives- Unlike the urban ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------their evoked sets have been

smaller, sometimes limited to one or two brands. The history of use and long familiarity with these limited number of brands have
resulted in a "perceived loyalty". '
4. Purchase Decision+ The final purchase is a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------purchase and more in the earlier
stages, the reasons for which are higher exposure levels, and availability of alternatives as well as large amounts of information.

The factors, ---------------------------------------------- choice, are:

Attitude ------------------------------------------------

--------------------------------------------------- situational factors

Perceived ----------------------------

The issue of attitude of others in addition ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, will rely on the batteries of the same company.
5. Post Purchase Behaviour
Within the framework of the buyer behaviour process, the post purchase behaviour forms a critical part, as it lays the foundation
for the repeat purchases and development of loyalties------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------combination will be a good
product with consistent quality. Once you earn the villager's loyalty (and they are known for their brand loyalty), it will be
difficult for competitors to take away your customers".
Companies are also beginning to realise the importance of changing patterns of the demand and the fact- that customers are
moving up the value chain. You have heard of washing ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------made washers. Says Navin Gupta of Videocon. Added to
this is also the fact that the purchase patterns are changing and more consumers are willing to experiment and explore better and
more convenient options.
In conclusion the critical factors for the rural customer in the buying decision process would be:"

The --------------------------------------- product

The -------------------------------- capacity

The ----------------------------------------- product

The cost benefit ----------------------------------- before buying the product

The social ------------------------------------------ the society

The factors influencing buying decisions are ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------has influences, which are far
stronger and deep rooted, especially on issues of culture and group dynamics.

The rural buyer lives in a. cultural and social ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------try to understand, the differential
way in which these influences operate for the rural consumer, so as to identify implications for marketing decisions.

Conclusions and Recommendations


Rural customers trust retailers in their villages. During the field visits, it is observed out that though the retailers are aware of the
fact that their customers listen to them, they are not aware of this wonderful principle called, the Trust Factor. The companies
must educate rural retailers about such modern marketing ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------customers, value for
money results when the purchased FMCG meets the intended benefits. As the study revealed that the rural customers (along with
price) also think about quality, performance, reliability, brand and other critical aspects, it is recommended to promote FMCG in
lines of rationality rather than just making low price appeals.
Rural marketers should design innovative promotional strategies for rural markets that can express messages in an easy way to the
villagers and compatible with their education and ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------Prahalad and many
researchers have been emphasizing on this fact. Hence, it is recommended not to compromise on the quality of FMCG. Low
prices have to be charged while maintaining the quality.
Preference for attractive packaging is noticed in ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------while keeping the costs low.
Also the rural marketers can promote their FMCG on the basis of attractive packaging.
It is recommended that rural marketers should devise their strategies in alignment with Governments rural development programs
and form their marketing communications a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ of animated celebrity characters.
Other suggestions include, maintaining quality, devise and implement sales promotion campaigns, apply retail strategies like shelf
display, apply CRM techniques like consumption points, etc.

6. Explain the role of Melas and Haats in rural distribution.


The countrys oldest tradition holds the key to rural penetration. The average daily sale at a Haat is about Rs.2.25 Lacs while the
annual sales at melas amount to Rs.3, 500 crore.
In rural India, annual melas organised with a -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------8000 such melas are held in rural India every year.
Rural markets have the practice of fixing specific days in a week as Market Days when exchange of goods and services are carried
out. This is another potential low cost distribution channel available to the marketers. Haats serve a good opportunity for
promotion after brand building has been done at Mela.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------their attitude is far more utilitarian than that of visitors to a fair.

MelasMelas are gatherings of people for both ----------------------------------------------------------. Here's more about them:
Annual melas that are ----------------------------------------------------------------------------- an excellent platform for distribution.
Over 25,000 melas are held --------------------------------------------------------------------------------------- 7.6 lakh visitors.
Rural markets come alive at these melas and people visit them to make several purchases, with the average spend ranging between
Rs. 5000 to Rs. 50,000 a day.
Melas work best for fast moving consumer goods, as buyers are more favorably disposed towards new brands of non durables,
specially since more women and children are present. The advantages of selling through rnelas are the large visitor turnout, high
sale of factory-made products, high sales volumes as ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of the space is devoted to amusement part for children. The
remaining 50 per cent of the space consists of stalls selling consumer products.
The factors taken into consideration by marketers to use the mela as a marketing tool are as follows: A list of melas, is made
at the beginning of the year in which the company wishes to participate. The mela selected depends on its location with respect to
brand presence. The duration of the fairs, target audience ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------which gives great 'confidence to villagers to buy the
product. The advantages of mixer-grinder, pressure cooker etc. can be demonstrated. The stall are required to be richly, brightly,
colourfully decorated with banners, posters, ---------------------------------------------------------------------------------------------------------------------------------------------------------------------- or a free gift have often been shown to help in clinching a sale.
Many brands are advertised and ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- familiarity, brand reminder and word of mouth.
Besides melas, rural markets also have ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- of goods and services are carried out.
For example- Linterland's extensive expertise and ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------India helps it to track and exploit more opportunities in these
markets.
HaatsHaats are weekly markets where people ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------of 10 to a maximum of 50 villages, drawing as many as 4000 villagers.
Haats are periodic markets and offer a Major rural marketing infrastructure in India. In spite of the development of permanent
shops, these temporary markets play a vital ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------for buying daily necessities, supplies' and equipment and a place 7-for
socio-political-cultural contact. Since most agricultural, laborers get their wages once a week, haats are also held on a weekly
basis. Sunday markets are most popular.
On an average a haat caters to customers in 16 villages, nearly two thirds of all haats are held at a distances of at least 15 kms from
the nearest town. Another 27 per cent are held at distances between 6 km and 15 km while only 5 percent are held within 5 km of
a town. The average number of outlets at a haat is ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------or positioning. Demonstrations are essential to convert

consumers at haats since their attitudes are far more utilitarian than that of visitors to melas. Haats also offer opportunity for
sampling, thus enabling the product to make inroads into a new buyer's home.
Let us briefly look at a comparative picture of haats and melas. At haats, the percentage of agricultural product outlets is large, upto
39.5 per cent. It is only 56 per cent in melas. Hence we see haats satisfy essential needs of people. Manufactured goods forms only
24.3 per cent in haats while they were found to occupy ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------can use the occasion not just to sell their products, but also
to listen closely to the problems of rural consumers in order to build relationships by offering solutions, and develop customized
products, Both haats and melas provide the rural marketers an opportunity to get a good insight in rural buyer behavior and
observe the purchase process first hand.
The countries oldest tradition holds the key to rural penetration. The average daily sale at a Haat is about Rs.2.25 Lacs while the
annual sales at melas amount to Rs.3, 500 crore.
In rural India, annual melas organised with a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------such melas are held in rural India every year.
Rural markets have the practice of fixing -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------channel available to the marketers. Haats serve a good opportunity for
promotion after brand building has been done at Mela.
Also, one satellite town where people prefer to go ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------since their attitude is far more utilitarian than that of visitors to
a fair.
Haats are weekly markets where people from ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------to a maximum of 50 villages, drawing as many as 4000 villagers.
Melas are gatherings of people for both ------------------------------------------------------------------------------ more about them:
Annual melas that are ----------------------------------------------------------------- an excellent platform for distribution.
Over 25,000 melas are held in India annually that hold an average of 7.6 lakh visitors.
Rural markets come alive at these melas -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ranging between Rs. 5000 to Rs. 50,000 a day.
Many brands are advertised -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------, brand reminder and word of mouth.
Besides melas, rural markets also have the practice of fixing specific days in a week as 'Market Days' when the exchange of goods
and services are carried out.
Linterland's extensive expertise and reach -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------to track and exploit more opportunities in these markets.
Various companies and organization dissect ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------for segmenting the rural market.
Brand building in rural areas also requires ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------mouth is a huge motivator. Focused brand-building initiatives like


participation at community events such as melas, haats, street theatre, van campaigns, and puppet shows generate positive wordof mouth and influence buying decisions.
Therefore communication for rural markets calls for a ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------mass media, the strategy will be of crying in the wilderness in
rural areas. Besides mass and outdoor media, rural extravaganza like temple festivals, melas and other events where the villagers
come together can be used for promotions.

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kianpublication1@gmail.com
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