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A Project Report On

“MARKET MAPPING AND CEAT PRESENCE IN THE


CURRENT SCENARIO”

A Project report submitted in partial fulfillment of


Post Graduate Diploma in Management (PGDM)
Degree
Requirements under ASBM

By
DAYANIDHI SWAIN
REGD NO- PGDM/15-17/13

Faculty Guide Corporate


Guide
Dr.Phalgu Niranjana Mr. Jyoti Tripathy
Associate Dean,ASBM Regional Manager,
Ceat

ASIAN SCHOOL OF BUSINESS MANAGEMENT


July 2016

DECLARATION

I hereby declare that the project report entitled “Market Mapping and Ceat Presence in the
Current Scenario” is the produce of my sincere effort.

This Summer Internship Project Report is being submitted by me alone, at Asian School of Business
Management, BBSR, for the partial fulfillment of the course PGDM, and the report has not been
submitted to any other educational institutions for any other purpose.

Date: Signature:
ACKNOWLEDGEMENT

I would like to express my gratitude to all those who gave me the possibilities to complete this
project. I would like to thank Ceat, Bhubaneswar and college authorities first for providing me the
opportunity to work with one of the prestigious organization.

I want to thank Regional Manager, CEAT, Bhubaneswar Mr. Jyoti Tripathy for giving me
permission to commence this project in the first instance, to do the necessary research work and for
being my Company Guide.
With a deep sense of gratitude and humble submission I would like to express my heartiest
gratefulness to my Faculty Guide Prof. Phalgu Niranjana, whose help, stimulating suggestions
and encouragement helped me in all the times of the summer training project.

Dayanidhi Swain
PGDM/15-17/13
Executive Summary

This project entitled as “Market Mapping & CEAT Presence in the Current Scenario” has been done
on one of the leading tyre manufacturers of India and an RPG Group company, CEAT limited.

Project has undertaken at CEAT‟s Regional Distribution Centre, Bhubaneswar.

The company profile clearly elucidated the present activities taken up by CEAT with regards to its
entire product portfolio and the customer satisfaction to words CEAT TYRES. Through the method
of observation and effecting questionnaires to concerned persons that came to know the whole
procedure of CEAT limited.
In this project our objective is to know the customer satisfaction and preference of tyres in the
market. Through this project we will try to understand the factors which helped the consumer choose
a particular brand, what are the sources for purchasing, who are the influencers in their decision
making process, what pattern they prefer most, consumer‟s satisfaction levels from the tyre they are
using currently and about their preference for the next tyre option of various age groups. An attempt
has also been made to predict the market share of different tyre industries in present and future
scenario.
CHAPTER-1

INTRODUCTION
&
REVIEW OF LITERATURE
Market Mapping

Organizations are increasingly interested in retaining existing customers while targeting non-
customers; measuring customer satisfaction provides an indication of how successful the
organization is at providing products and/or services to the marketplace. Customer satisfaction is an
ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary
from person to person and product/service to product/service. The state of satisfaction depends on a
number of both psychological and physical variables which correlate with satisfaction behaviors
such as return and recommend rate. The level of satisfaction can also vary depending on other
options the customer may have and other products against which the customer can compare the
organization's products. Because satisfaction is basically a psychological state, care should be taken
in the effort of quantitative measurement, although a large quantity of research in this area has
recently been developed. Work done by Berry (Bart Allen) and Brodeur between 1990 and 1998
defined ten 'Quality Values' which influence satisfaction behavior, further expanded by Berry in
2002 and known as the ten domains of satisfaction. These ten domains of satisfaction include:
Quality, Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-departmental Teamwork,
Front line Service Behaviors, Commitment to the Customer and Innovation. These factors are
emphasized for continuous improvement and organizational change measurement and are most often
utilized to develop the architecture for satisfaction measurement as an integrated model. Work done
by Parasuraman, Zeithaml and Berry (Leonard L) between 1985 and 1988 provides the basis for the
measurement of customer satisfaction with a service by using the gap between the customer's
expectation of performance and their perceived experience of performance. This provides the
measurer with a satisfaction "gap" which is objective and quantitative in nature. Work done by
Cronin and Taylor propose the "confirmation/disconfirmation" theory of combining the "gap"
described by Parasuraman, Zeithaml and Berry as two different measures (perception and
expectation of performance) into a single measurement of performance according to expectation.
According to Garbrand, customer satisfaction equals perception of performance divided by
expectation of performance.

The usual measures of customer satisfaction involve a survey with a set of statements using a Likert
Technique or scale. The customer is asked to evaluate each statement and in term of their perception
and expectation of performance of the organization being measured.
INTRODUCTION
The origin of the Indian Tyre Industry dates back to 1926 when Dunlop Rubber Limited set up the
first tyre company in West Bengal. CEAT followed suit in 1946. Since then, the Indian tyre industry
has grown rapidly.

Transportation industry and tyre industry go hand in hand as the two are interdependent. The Indian
tyre industry produces the complete range of tyres required by the Indian automotive industry,
except for aero tyres and some specialized tyres. Domestic manufacturers produce tyres for trucks,
buses, passenger cars, jeeps, light trucks, tractors (front, rear and trailer), animal drawn vehicles,
scooters, motorcycles, mopeds, bicycles and off-the-road vehicles and special defense vehicles.

The Indian tyre market has shown robust growth in 2014 and is further expected to continue its
thrust and grow at a CAGR of around 14% till 2017 due to increasing number of automobile sales in
the country. With extremely low automobile market penetration and increasing disposable income in
the country is driving the demand for tyres.

India tyre market will witness phenomenal growth in near future. The outlook for the Tyre market in
India seems very promising as the overall consumer spending and population is on rise. Better
quality tyres are available at affordable price due to the number of players in the market.

India has emerged as one of the world‟s most competitive tyre markets due to vast availability of
raw material (natural rubber) and ultramodern production facilities. The Indian tyre market has
attracted global manufacturers on account of encouraging growth figures. These manufacturers are
expected to invest huge amounts into the industry over the next few years, with a major proportion
of this investment directed towards the Truck & Bus (T&B) radial tyre capacity expansion.

India is known to be an appetizer of invention and implements new technologies and products, and
tyre industry is no exception to this. The concept of „green tyres‟ is becoming a paradigm of the
country‟s competitive edge. This new category of tyres is now being widely accepted in India, and it
is expected that in the coming years, the demand for green tyres will outperform the overall
passenger tyre demand in the country.
India‟s market for radial tyres in commercial vehicles section is still an infant. The passenger car
segment switched to radial tyres in a short period of time, with radial tyre penetration level for the
category reaching 98%. Besides, the penetration level of radial tyre has also started to increase
rapidly in the light commercial vehicles and truck & bus segment. This segment will be the largest
growth area over the next few years.

Tyre market projections, in value terms, have been provided for all prominent segments, including
two-wheelers, passenger cars, utility vehicles and multi-purpose vehicles. This will provide clients
with cutting edge market intelligence and help them make sound investment decisions.

Literature Review
Ceat in Current Scenario
In a competitive marketplace where businesses compete for customers, presence of product is seen
as a key differentiator and increasingly has become a key element of business strategy.

Improving Marketing Strategies


Published standards exist to help organizations develop their current levels of customer

satisfaction. The International Customer Service Institute (TICSI) has released The International

Customer Service Standard (TICSS). TICSS enables organizations to focus their attention on

delivering excellence in the management of customer service, whilst at the same time providing

recognition of success through a 3rd Party registration scheme. TICSS focuses an organization’s

attention on delivering increased customer satisfaction by helping the organization through a

Service Quality Model.

TICSS Service Quality Model uses the 5 P's - Policy, Processes, and People, Premises,
Product/Services, as well as performance measurement. The implementation of a customer service
standard should lead to higher levels of customer satisfaction, which in turn influences customer
retention and customer loyalty.
CHAPTER-2

RESEARCH
METHODOLOGY
RESEARCH METHODOLOGY

MARKETING RESEARCH:
Marketing research is the systematic and objective identification, collection, analysis, dissemination
and use of information for the purpose of improving decision making related to the identification and
solution of problems and opportunities in marketing.

To achieve the stated objective a survey was conducted at Bhubaneshwar city regarding customer

“satisfaction towards CEAT Tyres”.

Primary Data: Primary data is collected by the sampling method. Here we have interviewed 50

customers through Questionnaire and personal interview and collected the primary data.

Secondary Data: These are generally published sources which have been collected originally for

some other purpose, they are not gathered specially to achieve the objectives of the particular research project

hands but already assembled.

Survey Techniques:Once the researcher has decided to use survey method for collecting data he has to make

a decision to adopt any one of the following survey techniques.

1. personal interview

2. telephone survey

3. mail survey

Questionnaire-It is the most commonly used instrument in collecting primary data. A questionnaire

consisting of set of questions presented to a respondent for his/her answer. The questionnaire is very flexible

in the sense that there are many ways to ask questions.


Data Collection- Method used to collect data for the study was through survey. Survey is a systematic

collection of information directly from the respondents; survey was through personal interview which

involves collection of data through face to face communication with the help of questionnaire.

Method of Sampling:Bhubaneshwar city has a huge population and each person‟s opinion cannot be

collected. So the respondents were chosen randomly in Bhubaneshwar city.

Sample Size:Sample size for the study consisted of 50 persons residing in Bhubaneshwar city.

Among them only some of them responded and others rejected to respond as they were not interested.

RESEARCH OBJECTIVES:

1. To know the significance of CEAT tyres in Bhubaneshwar city.

2. To know the attributes which creates customer satisfaction among CEAT tyre users in

Bhubaneshwar .

3. To know the level of desire of the customer with the CEAT tyres.

4. To know the existence of ceat in the Bhubaneswar-Cuttack city.

RESEARCH DESIGN:

The type of research deigns used by me to gather information or data for this project can be termed
as Descriptive Research. Descriptive Research includes surveys and facts findings enquiry through
different modes. The major purpose of this is to know the buying behavior of consumers while
purchasing tyres for their motorcycles. Therefore I have adopted the questionnaire method and
surveyed branded stores, dealers and auto-spare parts and also collected information from two-
wheeler users. During the survey have also visited the competitor‟s sales office to know their
potentials.
RESEARCH AREA:
The study is confined to the area of Bhubaneswar, Cuttack, Puri. The main focus for the field survey
was on branded stores, dealers and auto-spare parts and two-wheeler users residing in these areas.

RESEARCH PROCEDURE:
It is not possible for a researcher to collect data from every member of the population for a
particular research due to the limitation of time, and therefore I have adopted Sampling
technique i.e. Random Sampling procedure. In this sampling procedure, it assures each
element in the population an equal chance of being included in the sample. Therefore I have
selected customers randomly and then collected the information through the questionnaire which
is related to my research.
CHAPTER:3

DATA ANALYSIS

AND

INTERPRETATION
DATA ANALYSIS AND INTERPRETATION

Data Analysis: I have conducted marketing survey on 50 customer to analysis their satisfaction

level, for this purpose I have prepared a questionnaire to collect the information from them. Among

these 50 customers, only some of them responded as per that now we will see the analysis of the

collected data.

1. The following tables shows the factors which motivated the customer to purchase the “CEAT

TYERS”

FACTORS CUSTOMERS

Friends 21

Brand Image 14

Advertisement 9

Relatives 3

Self-decision 2

Total 50

Relatives
Advertisement 6%
19%

Brand Image Friends


30% 45%

Interpretation:

The above table & graph shows that:

A. 2 customers have purchased CEAT Tyres by their own decision.

B. 21 customers have purchased CEAT Tyres by their Friends recommendation.

C. 14 customers have purchased CEAT Tyres by its Brand Image.

D. 9 customers have purchased CEAT Tyres on the basis of Advertisement.

E. 3 customers have purchased CEAT Tyres on their Relatives recommendation.


2. As compare to other tyres the “CEAT TYRES” are rated as below.

A) Price of Tyres
Excellent 16

Very Good 22

Good 9

Average 3

Total 50

Excellent Very Good Good Average

6%
18% 33%

43%

Interpretation:
33 % of customers said the price of CEAT tyres is Excellent. 43

% of customers said the price of CEAT tyres is Very Good. 18 %

of customers said the price of CEAT tyres is Good.

6 % of customers said the price of CEAT tyres is Average.


B) Quality Of Tyres:

Excellent 23

Very Good 17

Good 7

Average 3

Total 50

Excellent Very Good Good Average

6%
14%

45%

35%

Interpretation:
45 % of customers said the Quality of CEAT tyres is Excellent. 35

% of customers said the Quality of CEAT tyres is Very Good. 14 %

of customers said the Quality of CEAT tyres is Good.

6 % of customers said the Quality of CEAT tyres is Average


C) Durability of Tyres

Excellent 8

Very Good 23

Good 16

Average 3

Total 50

Excellent Very Good Good Average

6%
16%

31%

47%

Interpretation:
16 % of customers said the Durability of CEAT tyres is Excellent. 47

% of customers said the Durability of CEAT tyres is Very Good. 31 %

of customers said the Durability of CEAT tyres is Good.

6 % of customers said the Durability of CEAT tyres is Average.


D) Performance Of Tyres:

Excellent 14

Very Good 23

Good 8

Average 6

Total 50

Excellent Very Good Good Average

12%
27%
16%

45%

Interpretation:
27 % of customers said the Performance of CEAT tyres is Excellent. 45

% of customers said the Performance of CEAT tyres is Very Good. 16 %

of customers said the Performance of CEAT tyres is Good.

12 % of customers said the Performance of CEAT tyres is Average.


E) Mileage Of Tyres:

Excellent 13

Very Good 15

Good 17

Average 5

Total 50

Excellent Very Good Good Average

10%
28%

33%

29%

Interpretation:
28% of customers are strongly satisfied with the Mileage of tyres

30% of customers are only just satisfied with the Mileage of tyres

13% of customers are not satisfied with the Mileage of tyres

9% of customers are fully not satisfied with the Mileage of tyres


3.The following tables show the customer opinion about “CEAT TYRES”.

Excellent 13

Very Good 19

Good 17

Average 1

Total 50

2%

33% 26%
Excellent
Very Good
39%
Good
Average

Interpretation:

As per the above chart it shows the details:

26 % of customers said CEAT TYRES is Excellent. 39

% of customers said CEAT TYRES is Very Good. 33 %

of customers said CEAT TYRES is good.

2 % of customers said CEAT TYRES is Average.


4.The following table’s shows the behavior of the showroom people while taking quotations or

purchasing the “CEAT TYRES”.

Very Friendly 18

Friendly 25

Not – Friendly 2

Don‟t Know 5

Total 50

Very Friendly Friendly Not - Friendly Don’t Know

4%
10%

35%

51%

Interpretation:
35 % customer say that the behavior of showroom people while taking quotation or

purchasing CEAT tyres were very friendly.

51 % customer says that the behavior of showroom people were friendly 4

% customer says the behavior of showroom people not friendly

10 % customer says the behavior of showroom people – don‟t know.


5.The following table shows the customers opinion about service charges in show room.

Excellent 18

Very Good 28

Good 4

Average 0

Total 50

Excellent Very Good Good Average

0%
8%

35%

57%

Interpretation:
35 % of customers said that service charges are very reasonable.

57 % of customers said that service charges are reasonable.

8 % of customers said that service charges are costly

0 % of customers said that service charges are very costly


6.The following tables show why customer prefers “CEAT TYRES”.

Quality 13

Price 14

Service 15

Durability 8

Total 50

Quality Price Service Durability

16%
28%

29%

27%

Interpretation:
28 % customers prefers the CEAT tyres due to the good Quality 27

% customers prefers the CEAT tyres due to the reasonable price 29

% customers prefers the CEAT tyres due to its durability

16 % customers prefers the CEAT tyres due to its service


7.The following tables shows the problems faced by customers while purchasing “CEAT

TYRES”

Lack of Information 12

Non co-operation of show room people 7

Delay 7

No problem 24

Total 50

Sales
Lack of Information Non co-operation of show room people Delay No problem

23%

49%

14%

14%

Interpretation:

23 % customer faced the problem due to lack of information

14 % customer faced the problem due to non cooperation of show room

people 14 % customer faced the problem due to delay

49 % customer faced no problem


Marketing Research of the Tyres Industries
After communicating with the several peoples in the market we got to know about the tyres industries and
customers preference of tyres in their vehicles

For doing this survey we communicated with several customers in the markets who are using four wheel cars
and jeeps after communicating with them we asked about their preference of tyres in their vehicles so we got
following results.

NUMBER OF TYRE
PREFRENCE IN THEIR Percentage of
NAME OF THE BRANDS VEHICLES Share in Market
CEAT 16 8.16
BRIDGESTONE 40 20.41
GOOD YEAR 32 16.33
APOLLO 40 20.41
MRF 28 14.29
JK TYRE 32 16.33
MICHELIN 8 4.08
TOTAL 196 100.00
45
40
35
30
25
20
15 FIG

10
5
0

Interpretation:

 According to our survey The leaders in the tyres industries are the Bridgestone & Apollo tyres.
 The market share of both Bridgestone & Apollo Tyres are 20.41%

 Amongst all the companys CEAT tyres is in the 6 th


position.
CHAPTER-4

CONCLUSION
&
RECOMMENDATION
FINDINGS & CONCLUSION

45% of customers have purchased on by the recommendation of their friends and relatives.
Which means if company is providing good services then their friends will recommends to
others as well for buying Ceat tyres.
Majority of customers means 59% are satisfied with the fulfillment of their need/purpose.
Only 33% of customers are fully satisfied with price of the tyres about 43% are not satisfied
and 6% of customers are fully not satisfied with the price.
About 45% of customers are fully satisfied, 35% o f customers are only just satisfied and 6%
are not satisfied with the quality.
About 47% of customers are satisfied with durability of tyres, and 6% are not satisfied with
durability.
About 27% of customers are fully satisfied with the performance of the tyres, and only 12%
are dissatisfied.
The customers are having a very good opinion about the CEAT TYERES” about 28% are
strongly satisfied with its performance, and only 17% are not satisfied with performance.
The customers are having very good opinion about the behavior of showroom people about
35% of customers are saying they are friendly and only 10% are don‟t know.
The service charges are very reasonable in the view of about 35% of customers and none of
the customers believe that the service charges are costly.
Majority of customers are fully satisfied with the “CEAT TYRES”
There are Huge number of competitors are there in the market where their market shares are
higher than the CEAT tyres. According to the study I conclude that the CEAT TYRES
company satisfies the customer need and the purpose, but only problem is with the service
given to the customers by the showroom. So, as per study in my opinion based on project I
can say that CEAT TYRES should think about the service provided by showrooms in order to
capture the maximum market segment.
According to Bhubaneshwar city the market is vast almost the whole district customers and

other new people purchase the CEAT Tyres because it is well known brand running tyres in

market. Almost people demands the CEAT Tyres comparing to other company tyres.
LIMITATION DURING SURVEY:

It was quite unbalancing for me when I interviewed people and visited shops. The
difficulties I faced while doing are:-

 Many respondents did not like to spend time in filling the survey paper as it was
immaterial to them.

 Some shopkeepers did not want to share their information regarding sales.
 My research area is considerably large and it is difficult for me to cover every part of the
city.
RECOMMENDATION

 Showroom must recruit well qualified and skilled labors that care about the customer. It
will abolish the problem of unskilled and poor quality service.

 Showroom should maintain tyres, tube, air compression machines etc,. which are needed
to the customer at any time.

 Always adopt the improvement of servicing system and keep the showroom in good
conditions.

 The company should reduce the price of their products.

 Improve the distribution network and make available the products in needed time of
customers.

 Company always keeps some prizes and gifts to attract the customers.

 The products should advertise in the Regional TV channels and in leading newspaper must.

 As the area or market of Bhubaneswar is increasing the company to provide some more
showrooms.

 The company should make agreement or deals with the leading four wheelers companies
to use ceat tyres in their vehicles.

 The company should give more important brand value of ceat by maintaining a good
customer relationship.

 The company should give more preference on R&D to improve the quality as well as to
introduce new and improve tyres.
Appendix
ABOUT CEAT LTD.
CEAT Limited is a tyre manufacturing company based in Mumbai, India. CEAT is an abbreviation
for Cavy Electrician Affine Torino (Electrical Cables and Allied Products of Turin). Founded in
Italy as CEAT Tyres by Virginia Bruin Tedeschi, the company established its manufacturing in India
in 1958 and was sold to Pirelli by Virginia‟s heir Alberto Tedeschi (Carla Bruni's grandfather) in the
1970s. The company's Indian division was then taken over by RPG Enterprises in the year 1982
which also got the rights to the CEAT brand and renamed the company as CEAT Limited. Its tagline
is "Take it on".

COMPANY PROFILE
 Ceat Ltd, a part of the RPG conglomerate is one of the leading tyre manufacturers in India. The
company offers the widest range of tyres to leading Original Equipment Manufacturers across
the world. They manufacture a range of tyres catering various segments, which includes tires for
heavy duty trucks and buses (T&B), light commercial vehicles (LCVs), earthmovers and
forklifts (specialty segment), tractors, trailers, passenger cars (PC), motorcycles, scooters and
auto-rickshaws.
 They produce over 10 million tyres a year and commands around 17% share of the Indian tyre
market. The company operates two plants in Maharashtra, one in Bhandup and the other in
Nasik and one more in Halol, Gujarat.
 They have a robust national network consisting of 38 regional offices and over 3,500 dealers
and more than 100 C&F agents. Dedicated customer service, with customer service managers in
all four divisional offices, assisted by 50 service engineers.
 The company has their presence in 130 countries. Ceat Ltd was incorporated in the year 1958 as
Ceat Tyres of India Ltd in collaboration with Tata Group. The company was established with the
main object to construct, produce, prepare, manufacture, press, vulcanize, repair, retread,
purchase, sell, import and to deal in tyres, semi-tyres for all types of vehicles and inner tubes,
flaps and repairs material in general.
 Over the last 53 years, the company has established a strong presence in both the domestic and
the international markets. In February 22, 1960, the first tyre rolled out from the company's
factory at Bhandup in Mumbai.
 In the year 1972, they set up a Research and Development unit at their plant in Bhandup. In the
year 1981, Deccan Fibre Glass Ltd was amalgamated with the company with effect from June 1,
1981. In the year 1982, the RPG Group acquired the company.
 The company along with the Pradeshiya Industrial and Investment Corporation of UP Ltd.
promoted a joint venture company, namely UPCOM Cables Ltd in technical collaboration with
Ceat Cari of Italy. During the year, CTI Investments Ltd, Ceat Investment Ltd and Ceat Finance
Co Ltd became the wholly owned subsidiaries of the company. The company also entered into a
collaboration agreement with Yokohama Rubber Company of Japan in order to keep abreast of
the technological progress in the tyre industry as also to develop radial tyres suitable to the
Indian road conditions.
 In the year 1983, Atlantic Holdings Ltd and Malabar Coastal Holdings Ltd, became the
subsidiaries of the company. In the year 1987, the company entered into a technical
collaboration agreement with Toray Industries Inc of Japan for setting up a factory for the
production of nylon industrial yarn/cord and nylon tyre cord fabric at Malanpur, in Madhya
Pradesh.
 In the year 1988, the company entered into an agreement with Boseki Co Ltd, Japan for
improved technology for expansion of the licensed capacity of the fibre glass division to 5,000
tonnes per annum.
 In August 1988, Meteoric Industrial Finance Co Pvt Ltd became a subsidiary of the company
and in July 1989, Murphy India Ltd amalgamated with the company. The company changed
their name from Ceat Tyres of India Ltd to Ceat Ltd on January 10, 1990.
 In the year 1993, the company entered into a collaboration agreement with Yokohama Rubber
Company of Japan for the manufacture of Tyres at Nasik plant.
 In the year 1996, the company launched a new radial car tyre 'Maestro', the first radial tyre in
India to use state-of-the-art polyester tyre cord technology combined with steel belts. They also
launched a new heavy-duty product 'Stamina', which is a light commercial vehicle tyre. The
radial tyre plant has commenced commercial production in Nasik and the formula one radial
tyre was received in the market.
 Ceat is the first tyre company in India was awarded the International accreditation ISO/TS
16949 - 2002 Quality Standard Certification.
 The company entered into agreement with Pirelli of Italy for outsourcing radial tyres, which
were marketed in the brand name, CEAT Spider Radials. During the year 2004-05, Malabar
Coastal Holdings Ltd ceased to be a subsidiary company with effect from January 1, 2005.
 During the year 2005-06, CEAT Ventures Ltd, CEAT Holdings Ltd and Meteoric Industrial
Finance Company Ltd, the wholly owned subsidiary companies amalgamated with the company
with effect from April 1, 2006.
 During the year 2006-07, Associated Ceat Kelani Venture, the joint venture company in Sri
Lanka commissioned their radial plant.
 During the year 2007-08, the company proposes to set up two grassroot plants, one in
Maharashtra for Specialty Tyres and the other for Radial Tyres for Cars, Utility Vehicles and
Trucks at a total capital outlay of about Rs. 900 crore.
 In March 2008, the company sold nearly seven acres of surplus land at Bhandup in Mumbai for
Rs. 1.3 billion. During the year 2008-09, the company successfully implemented the scheme of
arrangement and consequently, the investment undertaking of the company was transferred to
CHI Investments Ltd with effect from July 1, 2007.
 It has manufacturing plants in Mumbai, Nasik and Halol near Baroda. CEAT owns:

 4 Manufacturing plants - 3 in India and 1 in Sri Lanka


 10 outsourcing units for tyres, tubes and flaps
 3 dedicated 2-3-wheeler plants controlled by CEAT

VISION AND VALUES:


To be amongst the most profitable tyre companies in India by 2016 through:

 Market leadership in select categories in India and


 Market leadership in significant countries outside India.
ACHIEVEMENTS AND AWARDS:
 CEAT wins Gold at the EFFIE Awards 2011 for Be Idiotsafe Campaign.
 CEAT wins Cause Marketer of the year award at CNBC Awaaz Consumer Awards 2011
 CEAT wins awards for Employer Branding and Best HR Practices for 2010
 CEAT receives Reader's Digest Trusted Brand Gold Award for 2009
 The 2007-08 Raid de Himalayas 2 wheeler Rally was won on CEAT Tyres
 CEAT was the no 1 in exports amongst all tyre companies in India..... Source ATMA Report
2007-08
 CEAT Shoppe wins Best Innovation Award 2007-08 (* Franchisee Association of India)
 From a 2 wheeler tyre to a Car Tyre to a Giant OTR Tyre, CEAT makes the entire Range of
Tyres.
 CEAT won the Employer Branding Award for "Excellence in Training 2007-08" (Awards
by the Asia Pacific HR congress)
 CEAT has adopted a village "Tirad Seth", near Nasik as part of its CSR activities.
 ICQCC Distinguish award for Quality Circle in 2002 at Lucknow India
 NCQC Distinguish award for Quality circle in 2004 at Mumbai
 NCQC Distinguish award for Quality circle in 2006 at Kanpur India
 CCQC Mumbai Chapter Distinguish Award for Quality Circle in 2007
 Best case study award from CII in 2005
 RPG Best TQ\M Team Award for CFT in 2005 and 2006
 Recognized with RPG BTT Six Sigma Team Award in 2005-06
 Winner of RPG Quality award in 2003, 2004 & 2006
 Certificate of merit in RPGOE in 2005
 100 percent vendors are ISO certified
 Rated amongst top four auto ancillaries
 National Exports Award (CAPEXIL) - 13 times
 Best Exports certificate of merit - 7 times in the last 20 years
PRODUCTS:

 Motorcycle and Scooter tyres


 Auto-rickshaw tyres
 Car / SUV
 Farm Vehicles / Trailers
 LCV (Light Commercial Vehicles) / Trucks
 OTR (Off-The-Road tyre)

Other Products:
 Inner tubes
 Tyre Flaps

Types of Motorcycle Tyres:-

 Secura F67
2.50-18 4PR (Front)
Features

 Rectangle Block & Straight Grooves


 Rib pattern
 Unique tread compound

Benefits

 Better wet grip performance


 Excellent stearing and cornering
 Good drainage action
 Smooth ride and straight tracking

 Secura M72
2.75-17 (Front)
Features

 Rectangle Block & Straight Grooves


 Rib pattern
 Unique tread compound
Benefits

 Better wet grip performance


 Excellent stearing and cornering
 Smooth ride and straight tracking
 Good drainage action

 Secura Zoom F
2.75-17 (Front)
2.75-18 (Front)
Features

 Directional Pattern
 Enveloping wider tread and profiling
 Nylon Casing
 Unique tread compound

Benefits

 Better Wet Grip at High Speed


 Excellent Steering Control
 Good drainage action
 Excellent Handling at High Speed

 Secura Sport
2.75-18 (Rear)
300-17 (Rear)
300-18 (Rear)
100/90-17 (Rear)
100/90-18 (Rear)
120/80-17 (Rear)
120/80-18 (Rear)
Features

 Sturdy Block

Pattern Benefits

 Excellent traction and stability


 Good cornering
 High Biting for better safety while cornering
 Secura F85
2.75-18 4PR
Features

 Rectangle Block & Straight Grooves


 Distinctive Rib pattern
 Unique tread

compound Benefits

 Better wet grip properties


 Excellent stearing and cornering
 Smooth ride and straight tracking
 Good drainage action
 Good handling & road holding ability

 GRIPP
2.75-18 6PR (Rear)
3.00-17 (Rear)
3.00-18 (Rear)
Features & Benefits

 Unique tread pattern in directional block


 Sturdy blocks for excellent GRIP
 Excellent water pumping even while cornering
 Excellent handling at high speed
 Excellent stability at high speed
 High grip on wet and dry surface

 Secura M86
2.75-18 6PR (Rear)
3.00-17 6PR (Rear)
3.00-18 6PR (Rear)
Features

 Radial and Longitudinal Grooves


 Unique tread compound

Benefits
 Excellent Dry & Wet grip
 Good Aquaplaning design
 Good cornering
 High Mileage

 RAGE
120/80-17 (Rear)
120/80-18 (Rear)
Features

 Directional pattern with specially designed sipes


 Unique tread compound
 Nylon casing

Benefits

 Excellent handling at high speed


 Good grip at high speed
 Better wet grip properties
 Stabilised for minimum dynamic growth
OPERATING STRUCTURE OF CEAT LTD.
The basic operating structure of the Ceat Ltd comprises of the following entities:
 Factory
 DDC

 RDC

 C&FA

 Dealers

DISTRIBUTION STRUCTURE OF CEAT LTD.

CEAT has three level distribution structures.

 The factory supplies goods to the RDCs (Regional Distribution Centers) and from these
RDCs the goods are transferred to CFAs (Carrying and Forwarding Agents) which act as
godowns for distribution to the dealers. There is only one DDC (Divisional Distribution Centre)
at Nashik and is used for Storage and Assembly of tyres, Tubes and Flaps from the Nashik plant.

 RDCs are the mother godowns for storage of goods. The tyres, tubes and flaps are
transported to these from factories. The set is formed at RDCs and strapped. The tube is inflated
before transportation to RDCs. The Dispatch challans are issued to the transporters. In some
cases, the RDCs are required to supply the goods directly to the dealers and invoice them in the
required format.

 CFAs are the smaller godowns which pull the goods from the RDCs. They transfer the goods
to the dealers and an invoice needs to be generated. The CFAs pull the goods from RDCs
according to demand. These CFAs then distribute the goods to the dealers.

The Dealers are of three types: -

 Tyre retailers: These are usually multi-brand tyre dealers. They stock many brands of
tyres for a particular segment of customers. These can further be divided into Truck Dealers
and Non-Truck dealers.2.
 Trader Dealers: These dealers are used typically to ensure upcountry coverage where
the company distribution network is absent. These dealers have their shops in upcountry
locations or sell to other dealers in upcountry locations and thus enhance the distribution
reach of the company. They purchase tyres in bulk and often avail of the Turn
overdiscounts.3.

 Ceat Shoppe: Ceat Shoppe is a retail outlet where only ceat tyres are sold. This is
used mainly for passenger car and 2 wheeler tyre sales. The customers get a range of tyres
and advise about selecting the right tyre while purchasing from here. They also get a very
good after sales service.

PROCESS OF ORDERING TYRE:


The dealers have to open an account with the RDC, the same way as people used to hold an account
with bank with certain amount to be deposited. Only those having/holding accounts are the
authorized dealer. The dealers used to place their orders to RDC. After receiving the orders from
different dealers the RDC used to give the updates to the planning department where they plan about
the different requirements about the orders. The planning department therein coordinates between
the marketing department and production department and finally placed the order to the
manufacturing unit. Then after getting the order, the manufacturing unit produces the required
amount of tyres placed and sends it to distribution unit. From distribution unit it is been sent to the
respective RDC‟s. From RDC it is been sent to different dealers as per their orders placed.

Note: There are 5 CFA‟s places in Odisha. They are – Cuttack, Bhubaneswar, Rourkela,
Sambalpur and Barbil

DISTRIBUTION CHANNEL:
There are 2 ways of distribution:

I. Direct Distribution
II. Through Distributors
I. Direct Distribution

Company Dealers Customer

Dealers: These are small retail counters. It is authorized to sell tyres of all range from MC to OTR.

II. Through Distributors

Company

Distributor

Dealers/ Dealers/ Dealers/


Sub-dealers Sub-dealers Sub-dealers

Customers Customers Customers Customers Customers Customers

Distributor: It deals with MC & SC tyres. Over here distributors need to have their own
transportation facilities. It is the responsibility of the distributor to deliver the tyres to the dealers at
their place. They are been given a target to sell 500 tyres per month per district.

Advantage: - Deeper penetration of brand.

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