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A STUDY ON

MARKET SHARE OF STANDARD FURUKAWA BATTERIES IN


TWIN CITIES

FOR
EXIDE INDUSTRIES LTD
HYDERABAD

A Report submitted to the Department of Business Administration in partial fulfillment


for the award of

MASTER OF BUSINESS ADMINISTRATION

BY

R.MADHU

MBA (2005-2007)
Hall-Ticket No:- 250698025

DEPARTMENT OF BUSINESS ADMINISTRATION

SESHACHALA INSTITUTE OF MANAGEMENT STUDIES

PUTTUR.
ACKNOWLEDGEMENT

I take this opportunity to thank Mr. Chandra Shekar, Area Manager EXIDE
INDUSTRIES LIMITED, Hyderabad, for giving me an opportunity to undertake a
project work in their organization.

I express my deep thanks to Mrs. SubbaRao, Senior sales officer (AP) for His
constant guidance and help at every stage of this project work.

With Regards

R.MADHU
DECLARATION

I R. Madhu, declare that this project work titled “Market Share of Standard
Furukawa Automotive batteries” it has been prepared by me for EXIDE
INDUSTRIES LIMITED. I further declare that it is my original work as a part of my
Academic course and not formed the basis for the award of any other Degree or Diploma.

Place:

Date: R.MADHU
CONTENTS

• ABSTRACT

• PRODUCT PROFILE 01

• COMPANY PROFILE 06

• INDUSTRY PROFILE 24

• PURPOSE OF OBJECTIVE AND STUDY 27

• RESEARCH METHODOLOGY 28

• DATA ANALYSIS 31

• FINDINGS 63

• RECOMMENDATIONS 64

• QUESTIONNAIRE 65

• BIBLIOGRAPHY 68
ABSTRACT

The current Project work titled “Market Share of Standard Furukawa


Auotmotives Batteries in Twin Cities” covers the following aspects.

Product Profile, which describes the importance of Standard Furukawa products.


The Company profile, which includes the history of company and its collaborations.
Industry profile includes the story of how manufacturing of batteries started, where and
for what purpose these products are invented etc.

The analysis part includes the clear analysis of the views of interviews and is also
supported by graphs for clear understanding. Findings include the important information
or facts known during the process of data collection. Recommendations are produced
according to the findings, these includes the suggestions which will be helpful for the
organization.
PRODUCT PROFILE

The product in focus is “Standard Furukawa” which was basically a Japanese

product after few years of introducing this brand in India, Exide industries limited

acquired whole of the Standard Furukawa brand .

The Standard Furukawa range of batteries, designed in technical collaboration with the

Leading Japanese battery manufacturer- The Furukawa Battery co Ltd, combines advaced

grid alloys, improved formulations in process technology and is manufactured using

Modern assembly line machines. SF automotive batteries are available in a wide range of

Capacities in “Hard Rubber” and “polypropylene” containers to meet diverse heavy-duty

Applications. They are supplied as original equipment to a host of car, truck, tractor &

genset manufacturers in India

SF Power Box Range- For Heavy Duty Applications:

These are high performance polypropylene Batteries with unique glassfibre mat

Cushioned polyethylene envelope separator.

Special Features:

 Unique glassfibre mat cushioned polyethylene envelope separator.

 Thicker plates comparable to the Hard Rubber types.

 Through partition inter-cell welding.


 Rugged handle.

 Substantial savings in weight and floor area.

 High cranking power.

 Ultra low maintenance characteristics.

 Extremely low self-discharge.

 Factory charged and wet shipped.

 TS 16949 reliability at every stage of manufacturing process.

The Standard Furukawa Power Box Range batteries which is used for heavy duty

applications gives excellent life for all heavy duty non-vehicular applications like

UPS, INVERTORS and GENSETS etc.

RANGE OF STANDARD FURUKAWA BATTERIES:

These batteries are designed to meet Japanese standards (JIS D5302) quality

Manufacturing systems awarded ISO9001 by RWTUV of Germany.

These batteries are strong durable polypropylene containers with heat shield leads.

The plates in these batteries are manufactured to an exclusive design using special grid

Alloys to give durability and resistance to corrosion.

The special low resistance flat separators bounded on to non-degradable glasswool

retainer mats prevent plate shedding and ensure enhanced charge –discharge life cycle
.

INTIAL CHARGING DESCRIPTION :

Apply petroleum jelly on the terminal cable clamps.


Remove the filling plugs loosely place them in position.

Ensure positive and negative terminals of the battery are connected properly to the

Corresponding charger terminals to avoid reverse charging.

Continue charging at this rate approximately for 8-12 hours till the cells are

gassing freely and the voltage remains same for three hourly consecutive readings at

the top of charge terminal voltage of 16.2 volts for 12v battery .

Adjust the obtained specific gravity to the recommended final specific gravity by

replacing requisite quantity of electrolyte with distilled water in case the obtained

specific gravity is higher .

Dilute sulphuric acid of 1.400 specific gravity in case of the obtained specific gravity is
lower .

Confirm specific gravity and levels of all cells are identical as per requirements.

Tighten filling plugs, wash the top of the battery with tap water and apply petroleum

jelly on the terminal cable clamps before installing the battery of the vehicle .

SPECIFIC GRAVITY:
Initial filling –1.230+- 0.005 .

Gravity is fully charged condition (270 c)-1.230-1.240.

Charge duration 8-12 hours.

CAUTION:
While charging more than one battery, make sure that identical type batteries are

Charged and they are connected in series keep the charger off before connecting or
Disconnecting a charger load.

While charging if Electrolyte temperature exceeds 50deg centigrade stop charging and
allow battery to cool.

While charging is in progress, always keep the filling plugs in

loose condition so that gases escape freely .

Batteries expel explosive gases, keep naked flame away.


COMPANY PROFILE

INTRODUCTION TO CAR BATTERIES:

A car battery is principally used to start the engine. It is also used to filter or

stabilize .power and to provide extra power for the ignition, lighting and other

accessories when their combined load exceeds the capability of the charging

system, i.e., when the engine is idling. It also provides power to the electrical

system when the charging system is not operating.

The battery lies hidden under the bonnet and is an

essential component of the vehicle. Regular care is a must, for if it in bad shape,

the car will refuse to move. "Push-start" is a solution but cannot be carried on for

long. A well-maintained battery lasts for two years.

The Product:

The product is a maintenance-free battery, similar in design to a conventional

automotive battery, but just a heavier-duty version of the same arrangement.

Many of the components have thicker construction, and different, more durable

materials are typically used. This design is called a lead-calcium battery. The

heavier-duty parts ensure that fluid loss is kept to a minimum and that
components have a much longer life, making it a closed system.

Purchase Occasions :

The automotive battery business consists of OE (original equipment) and after-

market or replacement market segments. The OE market is around 1.2 million

units and the larger replacement market is around 5 million units per annum.

Purchase therefore occurs when the current battery ‘dies’, which is usually after a

period of approximately two years.

Target Audience Demographics:

Region: India, urban population

Occupation: Service, working professional, self-employed

Gender: Male

Religion: Insignificant

Income: 1,80,000 p.a. upwards

Social class: Upper Middle and upwards

Family life cycle: Middle aged, married with children

Behavioral:

Occasions: When previous battery ‘dies’/breaks down

User status: First time user

Loyalty status: Not defined

Readiness Stage: Uninformed

Attitude toward product: Inquisitive


Attitude toward brand: Trusting.

Competition:

Exide is a market leader in the original equipment (OE) automotive batteries

segment with a market share of over 85% in the OE automotive batteries segment

and more than 25% in the replacement market (more than 60% amongst the

organized players). The unorganized players have a bigger role in the

replacement market, with a market share of above 55%.

For the rest 15 per cent of the pie, there’s a clamour

between players like Prestolite, Volta, AC Delco, Delkor & Amaron and the mid-

range Panasonic batteries and high-end Varta batteries. Other players in the

organized market are Tudor and Amco. The other zero-maintenance batteries,

apart from Amaron such as the German Varta (OE supplier to Mercedes and

BMW in Europe), are at much higher price points. Other competitors are Amara

Raja ABL’s Power Breed; Middle East Battery Company’s JV with Delphi;

Dynex; EL; Furukawa; Standard Furukawa; Index; Power Safe; InStart;

and Sparco Batteries.

Tone and Manner for Advertisement:

If you want to focus on a practical advantage, don't be shy. Say it in the tagline.

Create visuals that bring it to life and show it. Use testimonials or other evidence
to prove it. And guarantee it. You can be clever or direct. But communicate the

advantage clearly, for instance - The last Battery your car will ever need.

The tone can be authoritative and educational like the image of an elder brother

taking care of you as Eveready takes care of your car

OR

It could be humorous while getting the message across; as such advertising in the

category has shown to have positive results with good brand recall.

Products:

Lead Acid Storage Batteries for Automotives, Motorcycles, Gensets, Trawlers,

VRLA,

Industrial Standby, Motive Power and Submarine applications.

Factories:

Exide has 9 Factories spread across India. Together the annual production

capacity is of over 7.2 million automobile batteries(including motorcycle

batteries) and over 360 million AH of Industrial Power.

Quality:

Exide is certified to ISO9001, QS9000 and ISO14001 Quality Systems by

RWTUV, Germany.

OEM Supplier to:


Honda, Fiat, Toyota, Hyundai, John Deere, Telco, Suzuki, Mazda, GM, Leyland,

Caterpillar, Mitsubishi, Piaggio. Only manufacturer of Submarine Battery in


India.

R&D:

Exide has a Govt. approved sophisticated R&D Centre manned by hiqhly

qualified personnels. Exide R&D owns 11 Patents for Batery Development

Technology. This member's information has NOT been authenticated or verified

by Alibaba or any third party. Only Alibaba Gold Suppliers and TrustPass

members have completed an authentication and verification procedure conducted

by third-party credit agencies.

Exide Industries hold:

HELPED by the robust demand from the automobile segment, battery major

exide Industries recorded a 28 per cent growth in turnover for the quarter ended

December 2004. As the leader in the original equipment market of the

automobile battery segment, the company benefited from the growth in the

automobile production seen in the recent quarters.

The company also has a presence in the industrial

battery market, which accounts for about 40 per cent of revenues. The enhanced

activity levels in telecom and power sectors have resulted in increased demand

for industrial batteries as well. The profitability was under pressure owing to

spiralling input cost. The price of lead, the key raw material, rose by over 40 per

cent during the period under consideration. Lead accounts for about 75 per cent
of the total cost of production and raw material cost over 50 per cent of

revenues. Owing to a sharp spurt in lead price, the operating profit margin

dropped to 13 per cent from 19 per cent in the quarter ended December 2003. The

competitive environment and the growing demand from the original equipment

market have limited the scope for revising battery prices to completely

accommodate changes in input cost. The soft interest rate regime and the low

gearing have given the company savings in interest cost. The company's

performance depends on the trend in the price of lead.

Though sustaining volume

growth would not be difficult, the fluctuation in the cost of inputs would be the

key determinant of growth in bottom line. The increased automobile production in

the last couple of years would translate into enhanced demand from the lucrative

replacement market. The efforts to gain access to the rural market would also
drive

demand from the replacement market. The implementation of the more stringent

norms pertaining to recycling of used batteries is another positive trigger. This is

likely to dilute the presence of unorganized sector players in the replacement

market.

The company is also implementing capacity expansion projects. This, along with

The location of the unit from Aurangabad (Maharasthra) to Bawal (Haryana),

would have long-term positive implications.

On the flip side, the recent decision to permit duty-free imports of sealed
maintenance free batteries could expose domestic players to the threat from

cheaper imports. Besides, the removal of anti-dumping duty on lead acid batteries

could also affect the prospects of domestic players.

The government had imposed an anti-dumping duty a few years ago on

complaints from the domestic companies about the dumping of cheaper imported

batteries.

Though Exide has strong brand equity and products positioned across various

price points, it would remain vulnerable to the threat from imports, especially in

the replacement market segment. There would, however, be a marginal impact in

the original equipment market due to relaxed norms for imports.

From an investment

perspective, shareholders can retain their holdings Fresh exposures

may be considered on evidence of softening of lead price or sustained buoyancy

in automobile production. The key risk is the prospective threat from cheaper

imports.

Besides, any further rise in lead price would also have an impact on profitability.

Leaders in Power Storage Solutions:

Exide Industries Limited, India's flagship of the storage battery industry- is also

the largest Power Storage Solutions company in South and South East Asia. It

manufactures the widest range of storage batteries in the world from 2.5Ah to

20,600Ah capacity, to cover the broadest spectrum of applications.

Capital Rs.712 Million(USD$15.8 Million)


Turnover Rs. 12182 Million in 2003-04(USD$271 Million)

Employees Over 4000

Market Share 33% Market Share in overall domestic Auto Battery Market and

90% Market Share in Automotive OE. industrial battery market share50%.

Company History:

1916: Chloride Electrical Storage Co. (CESCO) UK set up trading operations in

India as an import house

1946: First factory set up in Shamnagar, West Bengal

1969: Second Factory, Chinchwad, Pune

1976:R&D Centre established in Kolkata 1981 Third factory, Haldia, West

Bengal

1992 : First Submarine batteries delivered to the Indian Navy

1993 :Technical collaboration with Shin Kobe Electric Machinery Co.


Ltd. of

Japan,

1994 : subsidiary of the Hitachi Group

1995 :Chloride Industries Ltd renamed Exide Industries Ltd.

1996 :Fourth factory set up at Hosur, Tamil Nadu

1997 :Exide acquires the operations of Standard Batteries Ltd & adds
four more

1998 :factories,

1999 : taking the total to eight.

2000 :Acquisition of 10% stake in Chloride Batteries South East


Asia(CBSEA),
2001 :Singapore & 49% in Associated battery Manufacturers Ceylon|
(ABMEL), Sri

2002 :Lanka.Battery charging commenced at Bawal, Haryana to cater to


OEM IT

2003 :supplies

2004 :Launch of exidetraction.com, an e-commerce website for


international

2005 :customers of

2006 :traction batteries.

2007 :Became second largest 2-wheeler battery company in the world.


Launch of

2008 :Achieve 100 PPM “ at Hosur Plant

2003: Commissioning of Eighth Plant at Bawal, Haryana

New JV company in UK- ESPEX Batteries Ltd

Strategic Alliance with IBG in Netherlands for Marketing in Europe

2004 Launch of exidereachout.com, a CRM initiative for Exide Trade

Manufacturing Capacities:

Factories (Established) Capacity

K Units M Ah

Auto MC INDL

Shamnagar (1946) 600 - 140

Chinchwad (1969) 1300 2400 -

Haldia (1981) 1000 - 160

Hosur (1997) 700 - 270


Taloja (1998)* 750 600 -

Kanjurmarg (1998)* - - 15

Guindy (1998)* - - 15

Bawal (2003) - 1200 -

Total 4500 4800 600

Multi location hedge supply risks to customers - delivery confidence

Strategically located near markets

Logistically efficient, considering 70% raw materials imported

Proximity to ports - cost efficiency in exports

Marketing Network

Offices -26

Exide Care Centers -100

Exide Power Centers -25

Dealers

SLI -3423

MC -2469

Marketing Staff -291

EIL is the market leader in the organized sector in both the automotive and

industrial segments. 'EXIDE' and 'SF(Standard Furukawa)', the flagship brands of

the Company, IS also the leading battery brands in the country.

The Company has the dominant share in the original equipment segment for

automobiles. It powers almost all the cars which have been introduced in India
such as Honda City, Honda Accord, Hyundai Santro, Hyundai Accent, Hyundai

Sonata, Suzuki Baleno and Suzuki Wagon R, Mitsubishi Lancer, Tata Indica, Tata

Indigo, Fiat Palio, Opel Corsa, Toyota Qualis, Mahindra Scorpio and Mahindra

Bolero. EIL also has the dominant share in the organised sector replacement

segment for Automobile batteries.

The Industrial applications of EIL batteries extend

to Power, Telecom, Motive Power, Mining, Railways, Emergency Lighting and

Non-Conventional Energy Sources. The Company is the largest manufacturer of

caplamp batteries in the world. It is also one of the five companies in the world

which has the capability to make submarine batteries for both Russian and

German types.

EIL is the first battery company in the country to introduce

polypropylene case batteries and maintenance-free batteries. It is also the pioneer

of several new technologies like flat-plate, and tubular plate batteries.

By virtue of being the largest Sealed Maintenance Free(SMF) batteries in Asia

outside Japan, the Company has earned the status of a global supplier to American

Power Conversion, the largest UPS manufacturer in the world. Besides, it also

caters to other multinationals operating within the country i.e. Siemens and

Ericsson and other major players as TVSE, HTL, Tata Liebert, Numeric and ITI.

The Company has always believed in working closely with the Government in

developing and sustaining applications which are best suited to the country's
national interest. It has tried to do its bit for the country by providing batteries

specially tailored for Bofors guns, armoured vehicles and tanks, wireless

transmission, solar applications in remote areas and devising anti pollution masks

among others. The country's first battery powered electric boat, designed and

developed by EIL is an extension of its social initiatives and it contributes

towards building an eco-friendly and pollution free nation.

Exide was the first to

introduce batteries for electric vehicles, traction batteries for electric wheelchairs,

flat-plate batteries for golf carts and batteries for automated guided vehicles.

In an agrarian economy such as India, the farm sector is one which cannot be

ignored. Accordingly, Exide's avowed objective was to cater to the tractor

segment as a thrust area. Its major initiative, Project Kissan, has made steady

inroads into the rural regions, particularly those of the North and West. This has

helped to spread consciousness among the rural populace on the need to use eco

friendly and technologically superior batteries.

Exide has made extensive use of Kissan Melas and Dhabas to promote this

scheme and has introduced "Jai Kissan" battery to cater to the replacement market

in this segment. In furthering its social commitment, EIL has planned to adopt

select villages to improve social welfare.

The Company exports batteries which have captured niches in South East Asian

Vision Statement :

"To win our customers, stakeholders and employees by transferring quality into a
Performance oriented business which will secure market leadership and profitable

growth through effective fulfillment of customers' needs. "

World Class Manufacturing :

Exide has eight manufacturing plants producing world class products. Exide

factories are located strategically around the country to provide logistic support

for its production of over five million batteries per annum.Each of these factories

are equipped with state-of-the-art equipment sourced from the best battery making

machinery manufacturers in the world. Exide, due to its strong roots with the

erstwhile Chloride group, has access to the best manufacturing practices in the

Acid Batteries

A technology tie-up with Shin-Kobe, Japan the makers of world

class Hitachi VRLA batteries has given Exide the technological edge in

maintenance free batteries. Other strategic technology agreements with Furukawa,

Japan and Oldham, U.K. has given Exide the competitive edge in providing the

most reliable solutions for packaged power.

Collaborations :

Shin-Kobe Electric Machinery Co. Ltd.,Hitachi Group, Japan

For Automotive and VRLA Batteries

The Furukawa Battery Co. Ltd.,Japan


For Automotive Batteries at Taloja

Board of Directors :

Mr. S.B. Ganguly Executive Chairman & Chief Executive Officer

Mr. R.B. Raheja Vice Chairman & Non-Executive Director

Mr. T.V. Ramanathan Managing Director & Chief Operating Officer

Mr. S. Chand Director-Corporate Affairs

Mr. P.K. Kataky Director-Automotive

Mr. G. Chatterjee Director-Industrial

Dr. S.K. Mittal Director (R&D)

Mr. R.G. Kapadia Non-Executive Director

Mr. H.M. Kothari Non-Executive Director

Mr. B. Mitter Non-Executive Director

Mr. S.N. Mookherjee Non-Executive Director

Mr. A.H. Parpia Non-Executive Director

Mr. S.B. Raheja (Alternate D.S.Parekh) Non-Executive Director

Mr. W. Wong Non-Executive Director

Mr. V. Aggarwal Non-Executive Director Compliance Officer

. Barun Das Divisional Head - Legal & Company Secretary

Executive Commitee

Mr. S.B. Ganguly

Mr. T.V. Ramanathan


Mr. S. Chand

Mr. P.K. Kataky

Mr. G. Chatterjee

Dr. S.K. Mittal

Mr. Barun Das

Mr. Monodip Chaudhuri

Mr. R.P. Ray

Research and Development:

In the era of intense competition, technological changes are putting extreme

pressure on Companies to innovate or decline.Therefore, contribution of

innovation & technology is becoming a key success fator in many of the

organizations.

Exide recognizes the importance of technology & innovations. In

order to maintain technological leadership, Exide R&D have been actively

developing differentiated battery technologies for tropical countries. The Exide

R&D has been recognized by the Department of Scientific & Industrial Research,

Ministry of Science & Technology, Government of India since April 1977.

R&D work is carried out on various facets of lead-acid battery technology, which

include development of new products for applications such as Automotive,

Motorcycle, VRLA, Telecom, UPS, Railways, Defense, etc. primarily to make the

product range internationally competitive. In addition, the R&D is engaged in


projects embracing process technology aimed at improving the product quality &

consistency, production efficiency and material utilization. Furthermore, R&D

program includes improvement and indigenization of materials such as metals,

alloys, plastics, etc. R&D emphasis is on studying and improving the

environmental aspects associate with the manufacturing process.

Functional Areas:

All the above specific areas are well administered by a strong group of human

assets. The qualified R&D personnel are Ph.D.'s in Engineering / Applied

Science, Post-Graduate / Graduate in Engineering / Science, MBA's and Diploma

in Engineering with broad spectrum of experience and they work in the following

functional areas:

Battery Design & Development :

Process Development

Tool Design & Development

Alloy Development

Development of Plastic Components

Hard Rubber / Soft Rubber Components Development

Analytical Services

Battery Testing & Quality Assurance

Environmental Health Monitoring

Patents:
In addition to several innovative patents granted in India, quite a few International

Patents have already been published with details as under:

Details Published No. Published Date Place Range of Products Covered

Design Patent jointly with Shin-Kobe 1053740 10 November1999 Japan 75D31R

MF95D31R MF

Design Patent Design Regn. No. 1163467 20 January 2003 Japan Leak Resistant

Design 38B20L/R MF

Patent for leak resistant automotive batteries US2003/0017381 A1 23 January

2003 USA Eternity Range (ET40, ET40L) ATB Range (MF70Z, MF50Z,

DIN55MF) DIN-MF Range (DIN66MF, DIN74MF) CV Range (MHD600,

MHD800)

P2003-45398A 14 February 2003 Japan

EP1 280 214 A2 29 January 2003 Europe

Patent for leak retardant automotive batteries US2003/0013006 A1 16 January

2003 USA ATB Range (MFS40, MF40SV, DIN44MF, 55B24LMF) MF Range

for Premium Cars (55D23LMF, 70D23LMF, 75D23LMF)

P2003-31191A 31 January 2003 Japan

EP1 278 254 A1 22 January 2003 Europe

Technology for Tropical Countries:

In tropical countries like India, automotive battery life is adversely affected by the
following conditions:

High ambient temperature

High Vehicle Vibration due to rough roads

Outdated charging system particularly on old vehicles

Sluggish vehicle movement in congested city drives

Frequent start - stop

Weak infrastructure for maintenance

Inferior quality of water for topping up.

Exide R&D Centre, therefore, has a special focus on developing the desired

automotive battery characteristics for India / Tropical conditions which include

the following:

High temperature endurance

Recovery from deep discharge

Resistance to vibration & bumps

High reserve capacity

Good cranking ability at low as well as normal temperature

Heavy load endurance

Resistance to overcharge

Low water loss

Low self discharge

Spill proof / Leak resistant

State-of-charge indication

Spark resistant
Some of the major development work done at the R&D Centre and viewed at a

glance is as follows:

Japanese range of automotive batteries

Japanese range of Motorcycle batteries

Jai Kisan range of Tractor batteries

MHD range of automotive batteries as per Indian Standards

DIN range of automotive batteries suited to vehicles of European origin

Valve Regulated Lead Acid (VRLA) batteries for Telecom application

Valve Regulated Lead Acid (VRLA) batteries for Indian Railways

Valve Regulated Lead Acid (VRLA) batteries for Inverter application

Motive Power Batteries for Fork-lift Trucks § Submarine battery for Indian Navy

High energy density battery for Electric Vehicles § Plante batteries for Power

stations New products have been developed for the domestic and export markets

such as Jai Kisan range of batteries for tractors. Furthermore, long-life,

maintenance-free batteries for cars have also been developed which are presently

being marketed under the brand name Exide Eternity. Also a new heavy duty,

MHD Range of batteries have been developed and introduced for the entire

commercial range of vehicles. Batteries were also developed for CNG/LPG

powered three-wheelers and golf carts.

A range of batteries for Industrial application including new batteries for

Telecom, Solar, Traction and small VRLA for UPS system was also developed.

Major OE customers for automotive batteries include Toyota, Hyundai, Honda,


M&M, Maruti, GMI, Tata Motor, etc. etc.

Major OE customers for motorcycle / three-wheeler batteries include Bajaj Auto,

Hero Honda, LML, Kinetic Motor, Yamaha, etc. etc.

Major OE customers for industrial batteries include DOT, RDSO, NPC, NTPC,

APC, etc. etc.

Infrastructure / Laboratories:

Exide R&D Centre is also well equipped with a Tool-Room, CAD facilities,

material testing and laboratories having the modern equipment for testing of the

raw materials and components used for manufacture of batteries. These include

optical emission Spectrometer, Particle Size Analyzer, Porosemeter, Image

Analyzer Workstation, Profile Projector, Universal Tensile testing machine, etc.

etc.

Product Testing Facilities:

Product Testing Department acts as the nodal point for product validation through

intra R&D linkage with Automotive Design Department for Automotive,

Motorcycle & EV batteries Industrial Design Department for VRLA, Plante

(Flooded), Tubular (Flooded), Submarine, Solar, Minars' Cap Lamp, etc.

Process Development Department for change or improvement in manufacturing

processes

MRR for ISO and QS Quality Standards:


Product Testing Department also interacts with all the manufacturing units i.e.

Shamnagar, Chinchwad, Haldia, Hosur, Taloja, Ahmednagar & Guindy for testing

and quality assurance of their products from time to time and as per QS

Standards.

In order to achieve Business Generation through Type Approval Tests of newly

developed products, Product Testing Department keeps liaison with Industrial &

Automotive Marketing Department and carry out Type Approval Tests which is

usually witnessed by the customer / ultimate user at R&D Test House.

R&D Test House is

equipped with state-of-the art test facilities which are mainly

Microprocessor based computer controlled charge - discharge test system

Environmental test machines e.g. Vibration, Controlled Temperature & Humidity

Chambers, etc.

High Current Discharge Circuits for Automotive & Industrial

Some special testing machines e.g. High Voltage Tester, Spark Tester, Short

Circuit Tester, etc.

In the era of intense competition, technological changes are putting extreme pressure on

Companies to innovate or decline.Therefore, contribution of innovation & technology is

becoming a key success factor in many of the organizations.

Exide recognizes the importance of technology & innovations. In order to maintain


technological leadership, Exide R&D have been actively developing differentiated

battery technologies for tropical countries. The Exide R&D has been recognized by the

Department of Scientific & Industrial Research, Ministry of Science & Technology,

Government of India since April 1977.

R&D work is carried out on various facets of lead-acid


battery technology, which include development of new products for applications such as

Automotive, Motorcycle, VRLA, Telecom, UPS, Railways, Defense, etc. primarily to

make the product range internationally competitive. In addition, the R&D is engaged in

projects embracing process technology aimed at improving the product quality &

consistency, production efficiency and material utilization. Furthermore, R&D program

includes improvement and indigenization of materials such as metals, alloys, plastics, etc.

R&D emphasis is on studying and improving the environmental aspects associate with

the manufacturing process.

Functional Areas:

All the above specific areas are well administered by a strong group of human assets. The

qualified R&D personnel are Ph.D.'s in Engineering / Applied Science, Post-Graduate /

Graduate in Engineering / Science, MBA's and Diploma in Engineering with broad

spectrum of experience and they work in the following functional areas:

Battery Design & Development

Process Development

Tool Design & Development

Alloy Development
Development of Plastic Components

Hard Rubber / Soft Rubber Components Development

Analytical Services

Battery Testing & Quality Assurance

Environmental Health Monitoring

Exide , a name coined out of Excellent Oxide –a product ingredient, has


through its continuous commitment and customer-need focus, emerged as one of the most
powerful brands in existence today
PURPOSE AND OBJECTIVE OF STUDY

The objective of the survey is to know the market share of standard


furukawa automotive batteries in twin cities and to rate the batteries in terms of sales,
services.To know the complaints received by the mechanics. To get suggestions and other
information from the mechanics in order to increase the sales by providing good
services.To know the opinion of the standard furukawa batteries and to compare with
other brands of batteries in terms of performance, price, after sales services, package,
promotional activities and other related information.

This is also done to know the features consumers will consider uring
the purchase of batteries and to know the brand suggestions given by the mechanics to
their customers , to know the role of advertisement in drawing the attention of customer
and to know the effective medium of communication such as T.V, radio, news paper ,
magazines, shop paintings and also to know the strengths and Weakness of standard
furukawa batteries and to get good suggestions in order to boost the sales of standard
urukawa batteries.
RESEARCH METHODOLOGY AND DATA COLLECTION

Research plan:

To achieve the objectives, a questionnaire was prepared consisting of


questions covering all aspects for which information was to be derived.

1. DATA SOURCE # Primary data

2. RESEARCH INSTRUMENT # Questionnaire

3. RESEARCH APPROACH # Survey

4. SAMPLING PLAN #

a) Sampling unit : People


b) Sampling Size : 100
c) Sampling Procedure : Random Sampling

5. CONTACT METHOD # Personal


PRIMAR
1. Different types of brands dealing with:
brands No. of respondent’s percentage

Exide,Amron 30 30%

Exide ,Amron,Amco 29 29%

Exide,Panasonic 6 6%

Exide,SF,Amco 3 3%

SF, Amron,prestolite 10 10%

All 2 2%

Exide,SF,Amron 20 20%

Total 100 100%

Respondents dealing with Exide and Amron are 30%

Respondents dealing with Exide , Amron and Amco are 29%

Respondents dealing with Exide and Panasonic are 6%

Respondents dealing with SF, Amron and prestolite are 10%

Respondents dealing with all brands are 2%.

Respondents dealing with Exide, SF and Amron are 20%


10
20
30
40
50
60

0
EX
ID
E

SF
AM
RO
PR N
ES
TO
LI
TE

AM
CO
N PA
O N
T AS
AB
LE O
NI
TO C
D
EC
ID
E
Series1
2. Demand for automotive batteries:
Demand No. of respondent’s percentage
60 60%
High

Medium 40 40%

Low 0 0%

Total 100 100%


Respondents viewed high demand for automotive batteries are 60%

Respondents viewed medium demand for automotive batteries are 40%

Respondents viewed low demand for automotive batteries are 0%


RESPONDENTS

70

60

50

40
RESPONDENTS
30

20

10

0
HIGH MEDIUM LOW
3. Features consumer will consider during the purchase of the batteries:
Features No. of respondent’s percentage
Performance and brand 30 30%
name

Price and performance 35 35%

Price and brand name 25 25%

Package and performance 10 10%

Total 100 100%

Respondents viewed performance and brand name during the purchase of batteries are
30%.

Respondent’s viewed performance during the purchase of batteries is 35%.

Respondents viewed price and brand name during the purchase of batteries are 25%.

Respondents viewed package and performance during the purchase of batteries are 10%.
0
5
10
15
20
25
30
PERFORMANCE,BRANDNAM 35
E

PRICE,BRANDNAME

NOT ABLE TO DECIDE


RESPONDENTS

TS
RESPONDEN
3. Features consumer will consider during the purchase of the batteries:
Features No. of respondent’s percentage
Performance and brand 30 30%
name

Price and performance 35 35%

Price and brand name 25 25%

Package and performance 10 10%

Total 100 100%

Respondents viewed performance and brand name during the purchase of batteries are
30%.

Respondent’s viewed performance during the purchase of batteries is 35%.

Respondents viewed price and brand name during the purchase of batteries are 25%.

Respondents viewed package and performance during the purchase of batteries are 10%.
0
5
10
15
20
25
30
PERFORMANCE,BRANDNAM 35
E

PRICE,BRANDNAME

NOT ABLE TO DECIDE


RESPONDENTS

TS
RESPONDEN
3. Features consumer will consider during the purchase of the batteries:
Features No. of respondent’s percentage
Performance and brand 30 30%
name

Price and performance 35 35%

Price and brand name 25 25%

Package and performance 10 10%

Total 100 100%

Respondents viewed performance and brand name during the purchase of batteries are
30%.

Respondent’s viewed performance during the purchase of batteries is 35%.

Respondents viewed price and brand name during the purchase of batteries are 25%.

Respondents viewed package and performance during the purchase of batteries are 10%.
0
5
10
15
20
25
30
PERFORMANCE,BRANDNAM 35
E

PRICE,BRANDNAME

NOT ABLE TO DECIDE


RESPONDENTS

TS
RESPONDEN
10. Complaint received from the customers of SF:
complaints No of respondents percentage

Yes 5 20%

No 20 80%

Total 25 100%
No of respondents received complaints are 20

No of respondents did not received are 5


RESPONDENTS

25

20

15

RESPONDENTS

10

0
YES NO

9. Average sales at the counter:


Brand name No of batteries
Exide 410

SF 336

Amron 308

Prestolite 10

Amco 34

panasonic 25

Total 1123
No of batteries sold per month by the respondents :
Exide---410

SF------336

Amron—308

Prestolite---10

Amco---34

Panasonic—25
RESPONDENTS

450

400

350

300

250
RESPONDENTS
200

150

100

50

0
IC
E

ES ON

TE
SF

AS O
ID

PA MC

N
LI
R

O
EX

TO
AM

A
N
PR

FINDINGS

Advertisements of Standard Furukawa batteries are not up to mark.


There are no promotional activities of this brand.

After sales services are not up to the mark at several areas.

There is no relationship with garage people.

Brand awareness is lacking in some areas.

There is no quick response after receiving the complaints.

Battery mobile service is not satisfactory.

SF batteries stands third in ranking exide ranked third and amron ranked second.

While purchasing batteries consumers will consider mainly performance, brand name,

and price

As far as sales are concerned exide ranks first,SF second, amron third etc.

Only few complaints are received from the customers of SF

Most of the people who where interviewed advised advertisement for increasing sales.

The price of SF batteries is competitive and low.

As far as advertisement is concerned T.V, news papers, shop displays and shop paintings,

play major role in drawing the attention of the consumers.

According to the garage people automotive batteries has got high demand as there is an
increase in the purchases of cars

Most of the mechanics suggest their customer to go for a particular brand.

Exide, amron and amco are the brands which are dealt by many of the garage people.

Packaging of SF is normal when compared to other brands.

As far as promotional activities are concerned SF is poor when compared to amron,


amco.

Performance of SF batteries is satisfactory

RECOMMENDATIONS

1. Provide battery mobile services effectively to gain customer satisfaction.


2. Provide better after sales services then the competitors, with out delay after

receiving complaints

3. Letting the stock of batteries in the MASS and other big garages by providing

them the batteries at discounted prices will help to increase the sales.

4. More advertisement is needed for increasing the sales.

5. Advertisement in TV’s, news papers and shop display’s plays important role in

drawing the attention of consumers.

6. Should have a good rapport with garage people apart from dealers and retailers.

7. Dealer’s margin and retailer’s margin should be more then the margin provided

by the competitors so that they can provide commissions to the mechanics.

8. Take necessary action towards the batteries which are damaged within the warranty

period, without delay.

9. Need to invest more on promotional activities as there is more potential for

automotive batteries.

THE MARKET SHARE OF STANDARD FURUKAWA


AUTOMOTIVE BATTERIES IN TWIN CITIES
Name:

Address:

1. What are the different types of brands you are dealing with?
a)Exide b)Standard furukawa
c)Amaron d)Prestolite
e)Amco f)Panasonic

2. Demand for Automotive batteries?

a)High b)Medium
c)Low

3. What are the features consumers will consider during the purchase of batteries?

a) Price b) Performance
c) Package d) Brand name

4. Rank the different automotive batteries in terms of sales?

a) Exide ----- b) Standard Furukawa -----


c)Amaron ----- d)Prestolite -----
e)Amco ----- f)Panasonic -----

5. Do you suggest any brand to your customer?

a) Yes b) No

6. Which brand do you suggest to your customer?

a)Exide b) Standard Furukawa


c)Amaron ----- d)Prestolite -----
e)Amco ----- f)Panasonic -----

7. Your Opinion of Standard Furukawa batteries?

i)Performance:-

a) Satisfied b)Unsatisfied

ii)Price:-

a)High b)Low
c)Competitive

iii) After sales service:-

a) Good b) Average
c) Poor

iv)Package:-

a)Attractive b)Normal
c) Unattractive

v) Promotional Activities:-

a)Good b)Average
c) Poor

8. Do you think advertising plays an important role in drawing attention of the


customers?

a) Yes b) No

i) Which media will draw more attention of customers :

a)Electronic Media:

i)TV ii)Radio

b)Print Media:

i) Newspapers ii)Magazines

c) Shop display’s:
i) Display board ii) Shop painting

iii) Hoardings

9. What is the average sale at your counter?

a)Exide b) Standard Furukawa


c)Amaron ----- d)Prestolite -----
e)Amco ----- f)Panasonic -----

10. Have you received any complaint from the customer after purchasing the batteries?

a) Yes b) No

If Yes

i)Furnish some of the complaints you have faced

a)

b)

c)

11. Please furnish the following:

a)Strength of Standard Furukawa

b)Weakness of Standard Furukawa

12. Any suggestions which help in boosting the sales of Standard Furukawa?

BIBLOGRAPHY
WEB SITES:

 WWW. EXIDE INDUSTRIES.COM

 WWW. GOOGLE.COM

 WWW. STANDARD FURUKAWA.COM

BOOKS:

 MARKETING RESEARCH(GC BERRY)

 STANDARD FURUKAWA BROUCHERS

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