INTRODUCTION

BAKERY INDUSTRYBakery industry in India is the largest of the food industries with an annual turnover of
about Rs. 3000 crores. Bread and Biscuits form the major baked foods accounting for
over 80% of total bakery products produced in the country. . Bakery products once
considered as sick mans diet have now become essential food items of the vast majority
of population. Though bakery industry in India has been in existence since long, real fillip
came only in the later part of 20th century. The contributing factors were urbanization,
resulting in increased demand for ready to eat products at reasonable costs etc. With the
quick food culture catching up, demand for bakery products has increased tremendously.
The bakery industry or for that matter all the businesses catering to bakery are witnessing
a sort of revolution tremendously. In an age where malls, hypermarkets and supermarkets
have become the customer's preferred destination, the concept of chain bakeries has come
into its own. The bakery industry has become more organized in the recent past. It is
following the path of restaurants - as the industry has become more organized, chain
restaurants have taken over the market and standalone restaurants have found it tough to
survive on its own.
INDIAN BREAD HISTORY

The Bread industry is low - tech and low margin industry. In 1977, the
Government of India had reserved bread industry for small scale industries (SSI).
The then existing two large units viz., Britannia Industries Limited and Modern
Food Industries Ltd. were however allowed to continue on the basis of their
respective existing installed capacity.

35 % of the total production comes from the small scale sector with about 15001800 units in operation. The organized sector accounts for 20 % of the total
production. The balance production comes from the unorganized traditional
bakery units operating under cottage/tiny sector numbering approximately 65000
units in the country. BIL & MFIL are having a market share of 10-12 % and 7-8 %
respectively. Apart from big players like BIL & MFIL regional players such as
Spencers in South India, Vibbs in Maharashtra, Harvest Gold and Perfect in
Delhi, etc.

Bread being consumed by wide cross - section of the society, the marketing of
bread is based on strong retail distribution networks, which service the customers.

As bread industry is a low margin business, cost control is crucial in sustaining

profitability in the long run.

The total market size of bread industry is approximately 15 billion standard loaves
(SL) or 1.5 million tonnes. The current growth is around 5 - 6 percent p.a. and is
expected to remain in the same level in the medium term.
EMERGENCE OF HEALTHY PRODUCT

Along with an increase in demand for the bakery products, the awareness about health is
also on the rise. Bakeries are making sure that they come out with healthier products.
"The awareness of the virtues of products like whole grain, health breads, cholesterol-free
products and such other health products is growing in our country. An increasing demand
and health awareness results the demand for products like Specialty Breads.

ABOUT THE COMPANY

I conform to the view that there are three kinds of companies -those that watch things
happen; those that make things happen; and those that wonder what happened. We
certainly wish to make things happen.....My personal commandment is Do unto others
what you don't wish done unto you. It's not the big who swallow the small; it is the fast
that swallow the slow
- Sunil Alagh, CEO, Britannia Industries Limited
Britannia Industries Limited (BIL) is the leading player in Bakery Products (Biscuits,
Bread, Rusk and Cake), jointly promoted by French food major DANONE and Nusli
Wadia. It enjoys market leader ship in Biscuits with 39 % market share in value term. It
owns key brands like Tiger, Good Day and Marie Gold. It has six pillar brands, which
contribute around 90 % of its top line. Each of its pillar brand generating sales exceeding
Rs.1 billion and these six pillar brands include Good Day, Tiger, 50:50,Treat, Milk Bikis,
and Marie Gold. BIL is enjoying market leadership in all sub-categories of biscuits,
Except in Glucose category where Parley is the leading player.

PRODUCT BASKET OF BRITANNIA

The groups principal activities are manufacturing & marketing

Biscuits

Cakes

Rusk

Bread

Daily products

COMPANY PROFILE

Britannia, one of the premier food product company in India. Britannia started as a small
biscuit

company

in

1892

and

has

grown

to

household

name.

Britannia started its business in Calcutta (now Kolkata) with an initial investment of Rs.
295. From thereon, Britannia's business flourished acquiring a reputation for quality and
value.
Britannia Industries Ltd. has a number of awards and accolades in its name like :
Forbes Global rated Britannia 'One amongst the Top 200 Small Companies of the
World'.
The Economic Times pegged Britannia India's 2nd Most Trusted Brand.
Activities
Britannia product line includes biscuits, snacks, packed milk, cheese, butter, buttermilk
and yogurt. Britannia owns popular brands like:
NutriChoice Sugar Out.
NutriChoice Digestive Biscuit.
Treat Fruit Rollz.
New Britannia Milk Bikis.
Britannia Marie Gold Doubles.
Britannia 50-50.
Britannia Tiger Biscuits.
The Wadia Group (parent company of Britannia) along with Groupe Danone of
France has turned up to be an International FMCG Major specializing in Fresh Dairy

Products, Bottled Water and Biscuits/Cereals. One of the World leaders in the food
industry, some of its achievements are:
No # 1 worldwide in Fresh Dairy Products.
No # 1 worldwide equally placed in Bottled Water (by volume).
No # 2 worldwide in Biscuits and Cereal Products.
GROUPE DANONE three core business areas are Fresh Dairy Products,
Beverages and Biscuits and Cereal Products strives to improve the lives of people around
the world by providing them with better and value added food products. Its dominant
position worldwide is based on major international brands and on its rock solid presence
in local markets (about 70% of global sales come from brands that are local market
leaders.)
Performance
Britannia has registered a turnover of Rs 21,993 million for the year ended
31st March 2006-07. Britannia has posted Net Profit to the tune of Rs 1076 million for
the year ended 31st March 2006-07.

IMPORTANT PERSONS IN THE COMPANY

BOARD OF DIRECTORS

Chairman

Mr.Nusli Neville Wadia

Managing Director

Ms. Vinita Bali

Mr. Keki Dadiseth

Director

Mr. Avijit Deb

Director

Mr. A.K.Hirjee

Director

Mr. Nimesh N Kampani

Director

Mr. S.S.Kelkar

Director

Mr. Pratap Khanna

Director

Mr. Jeh N Wadia

Director

introduced in 1998 with favors such as mint, orange and chocolate. But it did not really
succeed in capturing the consumers attention. So after a few years it was re launched
with just one flavor i.e. chocolate flavor with new packaging. After the re-launch it has

started gaining attention of its potential buyers and hence is in the growth stage of its life
cycle. It has to fight for its stand in the market since it faces competition from Britannias
good-day choco nuts.
Packaging and Labeling
The time spent by a customer for picking up a product from a retail outlet is a few
seconds; therefore a package should appeal to a customer within such a small interval of
time. In this, both packaging & labeling play an important role in attracting customers
both visually & psychologically
Britannia -the 'biscuit' leader with a history-has withstood the tests of time. Part of
the reason for its success has been its ability to resonate with the changes in consumer
needs-needs that have varied significantly across its 100+ year epoch. With consumer
democracy reaching new levels, the one common thread to emerge in recent times has
been the shift in lifestyles and a corresponding awareness of health. People are
increasingly becoming conscious of dietary care and its correlation to wellness and
matching the new pace to their lives with improved nutritional and dietary habits. This
new awareness has seen consumers seeking foods that complement their lifestyles while
offering convenience, variety and economy, over and above health and nutrition.
Britannia saw the writing on the wall. Its "Swasth Khao Tan Man Jagao" (Eat
Healthy, Think Better) re-position directly addressed this new trend by promising the new
generation a healthy and nutritious alternative - that was also delightful and tasty.
Thus, the new logo was born, encapsulating the core essence of Britannia - healthy,
nutritious, optimistic - and combining it with a delightful product range to offer variety
and choice to consumers.
2006-07 was an exceptional year for Britannia with top line sales growing at 27.5%,
making Britannia the leader among FMCG Companies in terms of organic growth. It also
saw the Bread, Cake and Rusk business grow 54% to become a Rs. 2,000 mn business.
Top line growth was driven by investment in the fundamental growth pillars of
brands - renovating existing brands and launching new ones and expanding reach. With
the segmented and sharpened go to market strategy , Britannias brands now have greater
availability

in

rural

markets

and

pervasive

presence

in

modern

trade.

In a fiercely competitive environment Britannia outpaced market growth and

Britannia brands continue to lead the market in every category, except for Glucose

biscuits. Britannia was ranked second among FMCG Companies in the Business World
Most Respected Company Survey2006.
Britannia's strategy of strengthening and sharpening its brands and liberating them from
existing formats and conventional biscuit archetypes has paid off. In that context, Tiger is
now more than a glucose biscuit and includes cream and coconut varieties. The Tiger
Chota extension draws on the kids snacking habit presenting biscuits as small, pop-able,
snacks in a pouch pack. Similarly, Treat added Fruit Rollz to its repertoire of delightful
and indulgent experiences for kids.
Innovation has shown its promise as a key business driver addressing several purchase
and consumption opportunities both in-home and out of home, as well as for gifting.
Britannia's focus on innovation has meant more new offerings (brands, product and pack
forms) than the rest of the industry combined. Prominent innovations include Chota Tiger,
50:50 Chutkule, Treat Fruit Rollz, NutriChoice Digestive, NutriChoice Sugarout,
Renovated Milk Bikis and Chocolate Cream in the Tiger range.The Bread, Cake and Rusk
portfolio was strengthened with the successful national launch of Good Day cup cakes
and extension of rusk to the south.
As a corporate , Britannia has worked for the benefit of all stakeholders
- shareholders, consumers, dealers, suppliers, bankers and employees. It has established
an excellent track record in terms of its financial performance and dividends distributed to
its shareholders . This has been adequately demonstrated with the Company's topline
growing from 8, 478 Mn in 1998 to 23,171 mn in 2007, a growth of 173% over the last 10
years. The net profit grew even more significantly at 273 % from Rs 289 Mn in 1997-98
to
.

Rs

1,076

Mn

in

2006-07,

giving

CAGR

of

15.72

%.

Company History - Britannia Industries

1994
- During the year, the bakery division launched `Bakers Choice' a sweet biscuit and
`Thinlite' a light semi-sweet biscuit aimed at fitness concious consumers.
1995
- Under the `Pure Magics' Umbrella, the company launched a new sandwich cream
biscuit with two-in-one flavour viz. double cream and this was well received in the
market. In the cake market, under the premium segment, the company launched with
Groupe Danone's technological input a Swissroll Cake Mini Roule which was also met
with good response.
1996
- Marie gold biscuits registered quantum growth in volumes and milk bikis milk cream
launched during the year was well received. Despite general slowdown in the economy
the company's profits improved.
1997
- The Biscuit industry has been dereserved which would not only remove restriction on
increasing capacity but would also provide opportunities of growth through new products
and efficient production systems. The Company undertook to diversify into cheese and
dairy whitner.
- The Company launched `Tiger' range of biscuits for mass market category, `Jim-Jam'
and `Chekkers' in the premium segment. The Company also launched Butter in Delhi
during the year.
- Britannia Industries Ltd is all set to launch a new corporate identity and a total revamp
of its product portfolio, with strategic inputs from an international strategic design and
brand repositioning company - Shining Strategic Design.
1998

- Food major Britannia Industries Ltd (BIL) has signed a wage agreement with the
Maharashtra General Kamgar Union (MGKU), providing an average wage increase for
1,000 workers employed in the biscuit manufacturing unit at Reay Road, Mumbai.
- The company has launched Half/Half, a soft cake filled with cream in two variants,
chocolate-vanilla and vanilla-orange. Half/Half comes in a twin-cake pack (Rs.6) and a
tray pack containing five cakes.
1999
- Britannia Industries Ltd has rolled out its flavoured milk brand `Zip-Sip' in tetrapaks.
Zip-Sip has been launched in Mumbai and some markets in the South.
- Britannia Industries, launching the country's first branded flavoured milk is another step
towards its goal of becoming a dairy-products giant.
2000
- Britinnia Industries has launched consumer promotion scheme `Britannia Khao,
Cricketer Ban Jao' on May 1st.
- Britannia Industries, in its second coming in the Indian dairy market under the
`Milkman' brand, is introducing a range of products many in desi flavours to woo the
Indian consumer.
- The Company has launched Vita Mariegold, a semi-sweet biscuit which reportedly has
10 essential vitamins, milk protein and 58 cereals.
2001
- Britannia Industries has launched Britannia Milkman Milk in Delhi.
- Biscuits major Britannia Industries will fund its in-principle agreement to acquire 49
per cent of Kwality Biscuits through internal accruals.
2002
-Britannia Industries Ltd announced on March 26, 2002 that it has entered into a joint
venture with the Fonterra Cooperative Group, New Zealand's biggest company and one of
the leading diary co-operative groups in the world.

-Britannia's new COO is Nikhil Sen.

2003
- Board of Directors of Britannia Industries Ltd has passed a resolution to terminate the
employment of Mr S K Alagh as Managing Director of the company with immediate
effect.
- The management of

Britannia Industries has roped in John Miller, a Danone

representative, as additional director on its board.

-Britannia New Zealand Foods, a joint venture of Britannia Industries and Fonterra Cooperative group of New Zealand has launched Britannia MilkMan fresh milk.
2004
-Britannia Industries Ltd has informed that pursuant to the approval of the shareholders of
the Company at the AGM held on August 08, 2003 and the subsequent application to the
Cochin Stock Exchange Ltd., the said stock exchange has delisted the securities of the
Company with effect from November 15, 2003.
2005
-Britannia New Zealand launches health drink for adult.
2006
-Britannia Industries Ltd has forged a strategic alliance with CCD. Daily Bread Pvt Ltd a
Bangalore based Company engaged in manufacturing and retailing of premium breads,
cakes and high end ready to eat foods and snacks.
-Britannia Industries Ltd has appointed Mr. Stephan Gerlich as a Director.

MARKETING STRATEGIES
MARKETING :
In earlier times, marketers could understand consumers through the daily
experience of selling to them. Marketing involves an exchange transaction between the
buyer and seller. In other words, it is a set of activities to direct and facilitate the flow of
goods and services from the original producer to final consumer in the process of
distribution.
Perhaps the basic change in the marketing thinking is the paradigm shift from
perceiving a sale to creating a customer. Marketing in part has been largely transacted
oriented; today it is more relationship oriented. In addition to designing the best
marketing mix to make a sale, there is growing emphasis on winning and keeping
customers. Good customers are always an asset which, when well managed and served,
will return a handsome lifetime income stream to the company. In the intensely
competitive market place, the companys loyalty through continually satisfying their
needs in a superior way.
According to Philip Kotler. Marketing can be defined as a social and managerial
process by which individuals and groups obtain what they need and want through
creating, offering and exchanging products of values with others.
CONSUMER
The term customer is typically used to refer to someone who regularly
purchases a particular store or company. Thus, a person who shops at FOOD-WORLD or
who uses Pepsodent tooth is viewed as a customer of these firms.
The traditional view points have been to define consumers strictly in terms of
economic goods and services. This position holds that consumers are potential purchasers
of products and services offered sale. Here our primary attention will be directed toward
ultimate consumers, those individuals, who purchase for the purchase of individual or
household consumption. And thus, this view has been broadened over time so that at least
some scholars now do not consider a monetary exchange essential to the definition of
consumer.

CONSUMER MARKET & BUYER BEHAVIOUR :

The aim of marketing is to meet and satisfy target customers needs and wants. But
getting to know your customers is never a simple job. Customers may state their needs
and wants but act otherwise. They may not be in touch with their deeper motivations.
They may respond to influences that change their mind at the last minute.
BRAND :
Branding has been around for centuries as a means to distinguish the goods of
one producer from those of another. In fact, the word brand is derived from the Old Norse
word brandr, which means "to burn," as brands were and still are the means by which
owners of livestock mark their animals to identify them. According to the American
Marketing Association (AMA), a brand is a "name, term, sign, symbol, or design, or a
combination of them, intended to identify the goods and services of one seller or group of
sellers and to differentiate them from those of competition."
Thus, the key to creating a brand, according to the AMA definition, is to be able to
choose a name, logo, symbol, package design, or other attribute that identifies a product
and distinguishes it from others. These different components of a brand that identify and
differentiate it can be called brand elements. Brand elements come in many different
forms. For example, consider the variety of brand name strategies that exist. In some
cases, the company name is essentially used for all products (e.g., as with General
Electric and Hewlett-Packard). In other cases, manufacturers assign individual brand
names to new products that are unrelated to the company name (e.g., as with Procter &
Gamble and their Tide, Pampers, Iams, and Pantene product brands).
Definition :
An identifying symbol, words, or mark that distinguishes a product or company from its
competitors. Usually brands are registered (trademarked) with a regulatory authority and
so cannot be used freely by other parties. For many products and companies, branding is
an essential part of marketing.

Branding:
Definition
Entire process involved in creating a unique name and image for a product (good or
service) in the consumers' mind, through advertising campaigns with a consistent theme.
Branding aims to establish a significant and differentiated presence in the market that
attracts and retains loyal customers.
Brand awareness :
Brand awareness is a marketing concept that refers to a consumer knowing of a brand's
existence; at aggregate (brand) level it refers to the proportion of consumers who know of
the brand.
Brand equity :
Brand equity refers to the marketing effects or outcomes that accrue to a product with its
brand name compared with those that would accrue if the same product did not have the
brand name [1][2][3][4]. And, at the root of these marketing effects is consumers' knowledge.
In other words, consumers' knowledge about a brand makes manufacturers/advertisers
respond differently or adopt appropriately adept measures for the marketing of the brand
Brand Strategy :
A plan that employs a unique set of design tools - logo, palette, typefaces, formats,
images, and language - created for an organization and applied to all its communication
tools: annual report, letterhead, business cards, packaging, .
Brand Awareness :
Brand awareness consists of brand recognition and brand recall performance. Brand
recognition relates to consumers ability to confirm prior exposure to the brand when
given the brand as a cue. In other words, brand recognition requires that consumers can
correctly discriminate the brand as having been previously seen or heard. For example
when consumers go to the store, is it the case that they will be able to recognize the brand
as one to which they have already been exposed. In other words brand recall requires that
consumers correctly generate the brand from memory when given a relevant cue. For

example, recall of Kellogg's Corn Flakes will depend on consumers ability to retrieve the
brand when they think of the cereal category.
Brand Image :
A positive brand image is created by marketing programs that link strong, favorable and
unique associations to the brand in memory. The definition of customer-based brand
equity does not distinguish between the source of brand associations and the manner in
which they are formed; all that matters is the resulting favorability, strength and
uniqueness of brand associations. This realization has important implications for building
brand equity. Besides marketer-controlled sources of information brand associations can
also be created in a variety of other ways: by direct experience; from information
communicated about the brand from the firm or other commercial or non partisan sources.
OPERATIONAL DEFINITIONS OF THE CONCEPTS :
Brand: A brand is a name, term, symbol, design, or other feature that identifies one
sellers good or service as distinct from those of other sellers.
Brand Name: A brand name is that part of a brand that can be spoken, including letters,
words, and numbers; a brand name is often a products only distinguishing characteristic
Brand Loyalty: Brand loyalty is a customers favorable attitude toward a specific brand,
which affects the likelihood of consistent purchase of this brand when the need arises for
a product in this product category.

MARKETING MIX AND PRODUCTS

Products offered by Britannia industries
Britannia Portfolio

GLUCOSE BISCUITS

TIGER

CHOTA TIGER

TIGER CHAI BISKOOT

TIGER ROSEMILK CREAM

TIGER BRITA ENERGY POPS

TIGER CHOCLATE CREAM

TIGER ORANGE CREAM

TIGER COCONUT ENERGY

TIGER ELAICHI CREAM

TIGER KESAR CREAM

TIGER BANANA

CREAM BISCUITS

TREAT CHOCO GELO

TREAT DELICIOUS DATES

TREAT APPLE PUNCH

TREAT FLAVOURED TANGY ORANGE

TREAT STRAWBERRY FLAVOURED SURPRISE

BOURBORN TREAT

TREAT ELAICHI FON

TREAT JIM JAM

TREAT MANGO MISCHIET

TREAT MASTI ORANGE

TREAT PINEAPPLE PRANK

NUTRI CHOICE BISCUITS

NUTRI CHOICE 5GRAINS

NUTRI CHOICE DIGESTIVE

NUTRI CHOICE CREAM CRACKER

NUTRI CHOICE THIN ARROWROOT

NUTIR CHOICE SUGAROUT CHOCLATE

MARIE BISCUITS

MARIE GOLD

VITA MARIE GOLD

MILK BISCUITS

MILK BIKIS

MILK BIKIS CREAM

GOOD DAY BISCUITS

GOOD DAY CHOCONUT

GOOD DAY BUTTER SCOTCH

GOOD DAY HONEY & RAISIN

GOOD DAY CHOCLATE CHIP

GOOD DAY RICH BUTTER COOKIES

GOOD DAY RICH CASHEW COOKIES

GOOD DAY RICH PISTA BADAM

50-50 BISCUITS

50-50

50-50 MASKA CHASKA

PEPPER CHAKKAR

LITTLE HEARTS

LITTLE HEARTS CLASSIC

PURE MAGIC
PURE MAGIC

SWOT ANALYSIS
STRENGTHS

Opportunities

Rural markets.

Cost saving from

lowering of excise
duty on bakery
products.
Price hike in 100gram Parle-G brand.
Threats

High overhead costs

vis a vis competition
from Parle, Priya
Gold.

World-class factories.
Research and
Development
department.

S-O Strategies

Established brand
name.
Widespread
Distribution Network.
Wide Range products
covering all segments.
Focus on rural
markets.
Superior technology
e.g. SAP.

WEAKNESS

Differentiate brand
according to regional
disparities (product
content, packaging
etc.).
Uttaranchal
manufacturing
facility will cover
burdens significantly.
Maintain the price to
gain market share,
focus on the Tiger
brand taste.
S-T Strategies

W-O Strategies

Distribution thrust
into interiors.
Appointing A/Ws,
RPDs.
Opening van markets.

W-T Strategies

Unorganized
bakeries.
Rising input costs.
ITC and HLL entry in
biscuits. Priya Gold
and Anmol lower
price offerings.

Establish brand as
emotional surplus
identity.
Restructure
production facilities.
Heavy advertising to
create consumer pull
and be allowed to
charge a premium.

Advertisements
emphasizing the
product quality and
nutritional value.
Cut overheads.
Preempt innovations
by these players, got
first mover advantage.

OBJECTIVES OF STUDY

To know the feedback of customers regarding the services which are being
provided by the company.

To understand the importance of client relationship.

To understand customer satisfaction regarding the products offered by the

company.

To find out the problems faced by customer.

To know the Advertising Strategies towards the after sales service offers by
Britannia.

RESEARCH METHODOLOGY
Research Methodology is a systematic method of discovering new facts or verifying old
facts, their sequence, inter-relationship, casual explanation and the natural laws which
governs them. In it we study the various steps that are generally adopted by a researcher
in the studying his research problem along with the logic behind them.
Different stages involved in research consists of enacting the problem, formulating a
hypothesis, collecting the facts or data, analyzing the facts and reaching certain
conclusion either in the form of solution towards the concerned problem or in
generalization for some theoretical formulation.
Type of Sample Design:

Judgment Sampling

Sample Size: 50 Percent Respondent of People

In Research Methodology mainly Data plays an important role.
The Data is divided in two parts:
a) Primary Data.
b) Secondary Data.
Primary Data is the data, which is collected directly by direct personal interview,

Interview, indirect oral investigation, Information received through local agents, Drafting
a schedule, drafting a questionnaire.
Secondary Data is the data, which is collected from:
Various books.
Magazine and material.
Internet
The data which is stored in the organization and provide by the HR people are also
secondary data. The various information is taken out regarding that subject as well other
subject from various sources and stored. The last years data stored can also be secondary
data. This data is kept for the internal use of the organization.
The HR manual is for the internal use of the organization they are secondary data which
help people to gain information. In this report the data plays a very crucial role. For this
report the data was provided to me by HR department and other departmental head in the
organization.

COMPETITORS :
Generally all organizations have competitors in the market. A particular organization
always comprises with other same business and according to market share we clarify the
brand of product is giving more challenge to my product.

DATA ANALYSIS & INTERPRETATION

1. Write down the first brand name that comes in your mind regarding biscuits?

Interpretation The survey suggested that 70% consumers of Britannia, 20%

Consumers of Parle-G and 10% Consumers of other brand in the market.

2.What is the frequency of biscuits you take?

Interpretation According to the Survey 50% customers take frequency of

biscuits is once in a week, 30% is twice in a week and 10% is thrice in a week
and 10% consumer any other brand.

3.What brand do you have on occasions?

Interpretation The survey Suggested the 30% respondent use parle-G on

occasions and 60% are use britannia and 10% customers sun feast.

4.Which biscuits gets you best freshness?

Interpretation The survey suggest that 55% customers say that Britannia get
me best fresheness and 20% say for 50-50 15% respondent say for krack jac and
10% are agree with mari gold.

5.Have you any complain about the biscuits?

(Just tick).

Interpretation 20% Respondent complain with Britannia to Price to high, 15%

non available Britannia its near by 10% Dirty Rappers and 15% shortage 10%
bad quality and 30% respondent complain to others reason.

6.Which brand do you prefer mostly?

Interpretation According to this survey 50% customers prefer mostly britannai,

30% Parle-G 10% Sun feast and 10% prefer other brand.

7.Can you change your mind for others brand, if the brand is not available in
shop which you prefer? (Just tick choice).

----------------------------------- Thanking you ---------------------------------------------

Interpretation The survey Suggest that 60% respondent can change our mind
for other brand, if the brand is not available.

FINDINGS

In this project I calculate some ratios; these ratios are very useful to interpret
financial position of the company. From that it is clear that the Britannia and
Cadbury india Ltd are in advanced stage. From the ratios calculated above
following conclusions can be drawn.

The gross profit earned by the both the companies are declining every year. From
2006 to 2010, it is fluctuating a lot which is due to failure in managing purchases,
production, sales and inventory or loses control over direct costs of labor, fuel,
freights etc.

Operating ratio of Britannia going down from 2006 to 2010 which is nothing but
due to certain reasons like low efficiency in managing the operations of the
company or low margin available to meet non-operating expenses whereas as
compared to Cadbury the fluctuations are not much.

The net profit is nothing but profit earned by the company after deducting interest
and taxes. The graph is showing that in Britannia from 2006 to 2010,the net profit
is declining which is due to inefficiency in managing its activities like trading,
production, financing and investment or unsatisfactory control over operating or
non operating costs whereas in Cadbury its rising from year year.

SUGGESTIONS:-

The in-depth analysis of key financial ratios in this project helps in

measuring the financial strength, liquidity conditions and operating
efficiency of the company. It also provides valuable interpretation
separately for each ratio that helps organization implementing the findings
that would help the organization to increase its efficiency.

Ratios are only post mortem analysis of what has happened between two
balance sheet dates. For one thing the position of the company in the
interim period not revealed by analysis, moreover they give no clue about
the future. Ratio analysis in view of its several limitations should be
considered only as a tool for analysis rather than as an end itself.

From the analysis it is evident that the gross profit ratio is good, whereas
the operating ratio is around optimum level to the industry standards. As a
whole the liquidity position of the company is good.

The company not very well used its fixed assets efficiently company has
reduce it in order to invest the major portion in working capital or
investment in current assets. This is one of the reason for profit fluctuation.

Thus finally the company must try to improve its profit margins as they are
below industry levels. This improvement may also bring up its return on
investment and overall efficiency to the company.

The business environment of both the company is reasonably good. The

companys track record is always oriented towards profitable growth and
with strong fundamentals

LIMITATIONS
Though the every researcher tries his/her best to fulfill the objectives of his, her study, but
still there are some limitation.

The authority and genuinely of the data received cannot be tested as every
company does not disclose al l of its records on internet or discloses bon the
financial statement.

False result
Accounting ratio is based on data drawn from accounting records. In this case if
data is correct, then only the ratio will be correct. The data therefore must be
absolutely correct.

Effect of price level changes

Price level changes often make the comparison of figures difficult over a period of
time.
Changes in price affect the cost of production, sales and also the value of the
assets.

The comparison is rendered difficult because of differences in situations of one

company as compared to the other.
Ratios are tool of quantitative analysis only. Normally qualitative factors are
needed to draw conclusions.
Ratio Analysis is only the beginning as it gives only a little information for the
purpose of decision making.

CONCLUSION

Opportunity is always knocking, goes a splinter thought of the popular aphorism.

The trick is to open the door every time it knocks. It clearly indicates that the price
increase of 100-gram Parle-G glucose biscuits is a very good opportunity for Britannia to
achieve its objective of making the companys Tiger glucose biscuit brands the number
one in the glucose biscuit segment. Though the 50-paisa price increase of the 60-year-old
100-gram Parle-G brand seems to be a major price change, it has been found to be very
significant for the just 7-year-old Britannia Tiger brand. The research of the company
show that the 50-paisa price increase of 100-gram Parle-G brand has really added an
appreciable percentage of the glucose biscuit consumers to Britannias 100 gram Tiger
brand customer segment and also a notable percentage is likely to be added to it. The
major reason that has driven Parle-G customers to change their brand was found to be the

50-paisa increase in the price of Parle-G, thereby indicating the price sensitivity of the
customers.
In the case of Parle-G brand, the researcher found that its the taste, which
contributed towards the customers brand loyalty. Parle-Gs long presence in the market
didnt have much impact on the consumers brand choice, rather it was the taste that
deferred customers from switching to the other brands of glucose biscuits.The Parle-G
customers are not against consuming the Tiger brand provided they get the same quality
taste as that of the Parle-G brand. They pointed out that the Tiger brand has a little lower
milky taste and is a little sweeter than it should be. Thus, the company must maintain the
price and concentrate on the brand taste to take maximum advantage of this opportunity.
Also, marketing efforts are required to make the consumers aware of the brands price and
make them more of nutrition-conscious so that they can understand the Glucose H-Force
Biscuit concept.

BIBLIOGRAPHY
Following books were referred for carrying out the project: 1. Financial Management by N.M. Venchalekar.
2. Financial Management by KHAN AND JAIN.
3. Annual Reports of Britannia and Cadbury India Ltd.
4. Financial Management by Ainapure Ainapure

Following websites were referred: 1.

www.money.rediff.com

2.
3.
4.

www.cadburyindia.com
www.wikipedia.com
www.cadbury.com

QUESTIONNAIRE
Name ................................................
Occupation..................................
Contact No. ........................................

Age ..................................
Gender ............................

1. Write down the first brand name that comes in your mind regarding biscuits?
(A) Britannia

(b) Parle-G

(c) 50-50

2.What is the frequency of biscuits you take?

(Tick you prefer).
a) Once in a week
b) Thrice in a week

b) Twice in a week
d) .Any others

3.What brand do you have on occasions?

(Tick you prefer).
a) Parle G

b) Britannia

c) Sun feast
4.Which biscuits gets you best freshness?
(Tick your choice).
c) Mari Gold
d) .Britannia

c)
d)

.. 50-50

Krack Jack

5.Have you any complain about the biscuits?

(Just tick).
e) . Price to high d)Non-availa Britannia ity near by
f) . Dirty Rappers
g) . Bad quality

e) Shortage
f) Others reason

6.Which brand do you prefer mostly?

(Just tick).
a) Parle G

b) Britannia

c) Sun feast

d) 50-50

7.Can you change your mind for others brand, if the brand is not available in
shop which you prefer? (Just tick choice).
a) .Yes
b) .No
----------------------------------- Thanking you ---------------------------------------------

Brand Ambassadors

PRODUCT ADVERTISMENT

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