ICFAI NATIONAL COLLEGE, GULBARGA

A Live Project on

IMPACT OF DISCOUNT ON SALES OF DURABLE GOODS

(2007-2009)

Submitted by: KONICA D. AMAN

Enroll No: 7NBGL008.

Faculty, INC Gulbarga.

Submitted to: Mr. shivkanth shetty

Acknowledgement

I am very much thankful to Mr. V. Onkar, Principal, INC Gulbarga opportunity to gain for giving me such an knowledge regarding

application of various aspects of the subject knowledge we obtained in the class room to the real time application.

My project wouldnt be a success without the guidance of Mr. shivkanth sheety Faculty, INC Gulbarga. So I thank for guiding me in each steps. Konica Amman. Enrollment No: 7NBGL008.

Contents
Introduction Objective of study Methodology of the study analysis of data Questionnaire

Conclusion Reference

 Introduction
MONOPOLISTIC COMPETITION

The concept of monopolistic competition has been introduced in the literature by Prof. Chamberlain in his famous book, The Theory of Monopolistic Competition The basic assumptions of monopolistic competition are the same as those of perfect competition with the exception of the homogeneous product. The conditions which prevail in a monopolistically competitive market can by summarized as follows: 1. There are relatively large number of firms, each satisfying a small, but not microscopic, share of the market demand for a similar, but not identical, products. 2. The product of each firm is not a perfect substitute for the product of competitive firms. The product is differentiated from any other product. 3. The firms in the market do not consider the reactions of their rivals when choosing their product prices or annual sales targets. 4. Relative freedom of entry and exit of firms exists in monopolistically competitive markets. 5. Neither the opportunity nor the incentive exists for the firms in the market to cooperate in ways that decrease competition. Each firm may be thought of as being monopolist producing a good which is not produced by others. Monopolist faces competition from others producing a good

which is a close substitute of his product. The monopolistic competition can, therefore, be regarded as a situation where different monopolists are competing with one another, Since each firm is distinctive features or the special characteristics of his own product. As a result, selling costs or advertising expenditure are necessary in monopolists competition.

QUESSIONARY
Impact of Discount on sales of durable goods. 1. Why consumers buy T.V while discount is offered ? Ans .Consumer buy T.V while discount is offered because they get their good in lesser price than regular price. 2. How is the quality of T.V when discount is offered ? Ans . Quality of T.V is same as regular T.V. 3. Weather , It has effect on other T.V s as per sales.? Ans Yes, It has effect as per sales. 4. Weather, It has effect on other T.V s as per prices.? Ans Yes, It has effect as per sales. 5. When discount is offered the supply of goods is increased ordacreased? Ans Increased. 6. When discount is offered does the market share increase, Ans Yes, It increases. 7. Weather, It has impact on other company when your company has offered the discount. Ans Yes it has impact on other companys when our company has offered the discount. 8. At what time company prefers the discount scheme? Ans Specially on the special occasion and festivals.

9. Weather demand increases after alloting discount? Ans . Yes, the demand increases. 10. After offering the discount does your company faces stiff competition with other competitors. ? Ans Yes, It has stiff competitors. 11. When your company offers discount do other companys also offer discount on their goods? Ans . Yes, scheme other company , also offer discount on their goods 12. Weather demand increases by offering gifts or by offering discount. Ans Both ways gifts as well as discount

Objective of study
1)to know the impact of discount of sales on durable goods

Methodology of the study analysis of data Area of study

The area chosen for study is BPL Branch: Super Market, Gulbarga

Sources of data
Data is taken from Amit Malu owner of BPL showroom

Conclusion
It shows that theirs lots of impacts occurring on durable goods as per discount

Reference
Inc text book of ECONOMICS FOR MANAGERS