A

SYNOPSIS ON

“SALES & DISTRIBUTION”

AT

“TATA MOTORS”
Submitted in partial fulfillment of the requirement for the
award of the
MASTER OF BUSINESS ADMINISTRATION
BY
MOHAMMED ADNAN

H.T NO: 1422-21-672-165

Department of management studies

CSI INSTITUTE FOR P.G. STUDIES

(Affiliated to Osmania University)

EAST MARREDPALLY, SECUNDERABAD, TELENGANA

2021-2023
 INTRODUCTION

Distribution (business)

Physical distribution (or place) is one of the four elements of the marketing mix. An
organization or set of organizations (go-betweens) involved in the process of making a
product or service available for use or consumption by a consumer or business user.

The other three parts of the marketing mix are product, pricing, and promotion.

The distribution channel

Chain of intermediaries, each passing the product down the chain to the next organization,
before it finally reaches the consumer or end-user.... This process is known as the
'distribution chain' or the 'channel.' Each of the elements in these chains will have their own
specific needs, which the producer must take into account, along with those of the all-
important end-user.

Channels

A number of alternate 'channels' of distribution may be available:

 Distributor, who sells to retailers

 Retailer (also called dealer or reseller), who sells to end customers
 Advertisement typically used for consumption goods

Distribution channels may not be restricted to physical products alone. They may be just as
important for moving a service from producer to consumer in certain sectors, since both
direct and indirect channels may be used. Hotels, for example, may sell their services
(typically rooms) directly or through travel agents, tour operators, airlines, tourist boards,
centralized reservation systems, etc.

There have also been some innovations in the distribution of services. For example, there has
been an increase in franchising and in rental services - the latter offering anything from
televisions through tools. There has also been some evidence of service integration, with
services linking together, particularly in the travel and tourism sectors. For example, links
now exist between airlines, hotels and car rental services. In addition, there has been a
significant increase in retail outlets for the service sector. Outlets such as estate agencies and
building society offices are crowding out traditional grocers from major shopping areas.

Channel decisions

 Channel strategy
o Gravity
o Push and Pull strategy
 Product (or service)<>Cost<>Consumer location

Managerial concerns

The channel decision is very important. In theory at least, there is a form of trade-off: the cost
of using intermediaries to achieve wider distribution is supposedly lower. Indeed, most
consumer goods manufacturers could never justify the cost of selling direct to their
consumers, except by mail order. Many suppliers seem to assume that once their product has
been sold into the channel, into the beginning of the distribution chain, their job is finished.
Yet that distribution chain is merely assuming a part of the supplier's responsibility; and, if
they have any aspirations to be market-oriented, their job should really be extended to
managing all the processes involved in that chain, until the product or service arrives with the
end-user. This may involve a number of decisions on the part of the supplier:

 Channel membership
 Channel motivation
 Monitoring and managing channels
Type of marketing channel

1. Intensive distribution - Where the majority of resellers stock the 'product' (with
convenience products, for example, and particularly the brand leaders in consumer
goods markets) price competition may be evident.
2. Selective distribution - This is the normal pattern (in both consumer and industrial
markets) where 'suitable' resellers stock the product.
3. Exclusive distribution - Only specially selected resellers or authorized dealers
(typically only one per geographical area) are allowed to sell the 'product'.

Channel motivation

It is difficult enough to motivate direct employees to provide the necessary sales and service
support. Motivating the owners and employees of the independent organizations in a
distribution chain requires even greater effort. There are many devices for achieving such
motivation. Perhaps the most usual is `incentive': the supplier offers a better margin, to tempt
the owners in the channel to push the product rather than its competitors; or compensation is
offered to the distributors' sales personnel, so that they are tempted to push the product. Dent
defines this incentive as a Channel Value Proposition or business case, with which the
supplier sells the channel member on the commercial merits of doing business together. He
describes this as selling business models not products.

Monitoring and managing channels

In much the same way that the organization's own sales and distribution activities need to be
monitored and managed, so will those of the distribution chain.

In practice, many organizations use a mix of different channels; in particular, they may
complement a direct sales force, calling on the larger accounts, with agents, covering the
smaller customers and prospects. these channels show marketing strategies of an
organization. Effective management of distribution channel requires making and
implementing decision in these areas. 1-Recruiting 2-Training 3-Motivating 4-Servicing 5-
Compensating 6-Evaluating and replacing channel members.
NEED FOR THE STUDY

Consumer satisfaction is the most important objective for any manufacturing concern
to successfully market its products. Pena has from gradually and would want to take a stock
of the satisfaction level of consumers and define areas where possible improvement may be
made. The research work has been therefore selected in this area.

The company which produces products doesn’t give life to sustain in competition
without sales of products. So sales are important function of the manufacturing company to
get profits. Through sales only wealth maximization if possible.

Distributions are also one of the important functions in marketing. Through

distribution only one company can sell its products. Here the distribution channels contain the
dealers. Who are very near to the customers and act as middlemen between the organizations.
So there is a need to study sales and distribute on strategies.

Distribution system includes distribution channels. Which are sets of independent

organizations involves in the process of making a product (or) a service available for the
consumption. Distribution network is necessary for smooth flow of goods.
SCOPE OF THE STUDY

The study aims to measure satisfaction level of the dealers regarding TATA
MOTORS LTD. The area within which the study was conducted regarding the
information the primary data is collected in the form of questionnaire collected from the
dealers in Rangareddy district. To sum up the project had within the scope of the study in the
area of “EFFECTIVENESS of SALES and DISTRIBUTION CHANNEL” of TATA
MOTORS LTD dealers in Rangareddy district for a particular time

OBJECTIVES OF THE STUDY

Primary objective:

To assess the role of dealers in TATA MOTORS LTD

Secondary objective:
1. To assess the channel effectiveness in TATA MOTORS LTD

2. To find dealers opinion on various issues of the present market situation and furthering
(strengthening) channel effectiveness.

To offer suggestion in building effective channel strategy to TATA MOTORS LTD

RESEARCH METHODOLOGY OF STUDY:

In view of the objectives of the study, an exploratory design has been adopted.
Further the researcher also touched the descriptive researcher design and causal analysis to
relate between different variables. Exploratory research is one which largely interprets the
available information on the study and it lays emphasis on the analysis and interpretation of
the exiting and available information. This research is generally useful when we use the
information collected from three sources, viz., study of secondary sources, discussion with
individuals and analyzing the some specific case.

Sources of Data:

To perform the Research study by Researcher, the sources of data obtained are:
Primary Data:
This data is obtained by interacting and interviewing the dealers in Rangareddy
district.
Secondary Data:
This data is obtained directly from the company in the form of broachers, charts,
diagrams, document and other forms.

Data Collection Tool:

Questionnaire:

This is one of the data collection tools. It is quite popular particularly in case big
enquires. It is being adopted by private individuals, research worker, private and public
organization and even government. In this method, a questionnaire is issued to the persons
concerned with a request to answer the questions and return the questionnaire. A
questionnaire consists of number of questions printed or typed in a definite order or a form or
set of forms.
The researcher used the structured questionnaire in which the questions were:
Open-ended questions
Close-ended questions
Dichotomous questions
Multiple choice questions

Sampling Design

The researcher has done his research study on the dealers of TATA MOTORS LTD to
know their present satisfaction and expectation from this brand. The researcher selected the
dealers of TATA MOTORS LTDat Rangareddy district for his research study.
Sampling Plan
Sample size: Sample size consists of 100 dealers.
Sampling unit: The Sampling unit includes all the dealers of TATA MOTORS
LTDproducts present in Rangareddy District.
Sampling method: For collecting information from dealers, non-probabilistic simple random
sampling method is used.

Tools of analysis:

The data collected trough survey has been carefully and meaningfully analyzed by
using well established statistical tool and techniques. Important statistical technique is
percentage method.

Hypothesis:

Hypothesis is a part of research that enables the researcher to predict about the future
based on the present trend. It is very much essential in any research activity to develop the
policies for a better working of the system. Based on the above concept, the hypothesis for
the study developed by the researcher at the various stages of analysis.
LIMITATIONS OF THE STUDY:

The selected sample members are conspicuous and inconspicuous in nature. So, there is
chance to arise some errors in the courts of survey.
The errors may be as follows:
Respondents may not disclose the right information, because the researcher is very stranger to
them.
Respondents may give pleasing answers to the researchers even though it is not correct from
the prospective.
The perceptional values like status, not-disclosure of the correct information and difficulty in
expressing their personal feeling to an unknown researcher can bring wrong opinion poll ton
filling the questionnaire.
Since, the sample size is small; a perfect mix of the respondents may not be available for the
researcher to conduct the opinion survey.
 BIBLIOGRAPHY

1. Phillipkotler,2003Marketing Mgmt, T.M.H,

New Delhi (9TH EDITION)
2. Schiffman&Kanuk,1997, Consumer behavior, PHI
(6TH EDITION)
3. Levin & Kirpatric, Quantitative Techniques For M.B.A, Tata McGraw Hill-1985

Websites:
1. www.marketing.org
2. www.estrategicmarketing.com
3. www.marketingprofs.com
4. www.btobonline.com
5. www.marketingstudies.net
6. www.heritage.com
7. www.harshatoyota.com

Journals:
1. Economic Times
2. Business Standard