A Summer Training Report of Action Shoes Alok Surya

Entrepreneurship and Management Processes International NEW DELHI – 74,July 2009 1

CERTIFICATE This is to certify that Mr. ALOK KUMAR SURYA has worked under my supervision on topic titled “Evaluate the business potential and identify product offering for action shoes in North delhi ”, a project, which was undertaken at ACTION SHOES for a period of 8 weeks.

During the period I found his work satisfactory.

Col. K. Guruswamy

Mr. J.Goswami Dean & Mentor

Faculty

PGPEBA

PGPEBA

EMPI Business School

EMPI Business School

2

CERTIFICATE This is to certify that Mr. ALOK KUMAR SURYA has worked under my supervision on topic titled “Evaluate the business potential and identify product offering for action shoes in North delhi ”, a project, which was undertaken at ACTION SHOES for a period of 8 weeks.

During the period I found his work satisfactory.

Col. K. Guruswamy

Mr. J.Goswami Dean & Mentor

Faculty

PGPEBA

PGPEBA

EMPI Business School

EMPI Business School

2

CERTIFICATE OF THE ORGANIZATION

3

ACKNOWLEDGEMENT

The present work is an effort to throw some light on Business potential and product offerings of “action shoes” . The work would not have been possible to come to the   present shape without the able guidance, supervision and help to me by number of   people. With deep sense of gratitude I acknowledge the encouragement and guidance received by my organizational guide

and other staff members.

I convey my heartful affection to all those people who helped and supported me during the course, for completion of my Project Report.

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EXECUTIVE SUMMARY

This project aims first, at analyzing the sports shoe industry India and finding a place in it for “action shoes”. It then sets out to describe the target audience for the product range and finally suggests “how to evaluate business potential and identifying product offerings opportunities for action shoes: .The plan begins with a brief overview of the product category being dealt with, namely   premium quality shoes. It also dwells briefly on the history of the company and its current position and activities. The project moves on to the crux of the matter – the marketing plan to be followed by action. Firstly, the objectives behind this plan -To find out business potential, To find out  product offerings, Reasons behind brand preference. , Brand Satisfaction. After starting the objectives and reasoning behind them, the actual marketing programs are described in detail Suggestions are made on each and every one of these aspects; improvements and innovations are recommended. The plan then goes on to the customer analysis section. The customer base is identified and various segments are pointed out. Various criteria and factors have been taken into consideration while segmenting the market. We have also tried to ascertain why customers buy these products, how they choose, and what factors matter most when making their decisions.

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TABLE OF CONTENT CHAPTER ONE CHAPTER TWO

CHAPTER THREE CHAPTER FOUR

CHAPTER FIVE

-General Introduction -Introduction to the Project (8-10pages) 2.1 Hypothesis/objectives of the Project (11) 2.2 Significance/Need of the Project (12) 2.4 Managerial Usefulness of the Project(13) -Profile of the Organization (14-61) -Research Methodology ( 62-65) 4.1 Research Design 4.2 Data Collection Sources 4.3 Data Collection Methods 4.4 Data Collection Instruments 4.5 Sampling Plan 4.6 Field Work Plan -Findings and Analysis (66-88 pages)

CHAPTER SIX

Limitations (89 Pages)

CHAPTER SEVEN

Conclusions and recommendations (90-92 pages)

CHAPTER EIGHT CHAPTER NINE

Bibliography (93Pages) questionnaire (94)

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CHAPTER 1 - INDUSTRIAL BACKGROUND

REEBOK  Reebok International Limited is a British producer of athletic footwear, apparel, and

accessories and is currently a subsidiary of Adidas. The name comes from Afrikaans/Dutch spelling of Reebok, a type of African antelope or gazelle. The company, founded in 1895, was originally called Mercury Sports but was renamed Reebok  in 1958. The company's founders, Joe and Jeff Foster.

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ADIDAS Adidas Ltd. AG is a major German sports apparel manufacturer and part of the Adidas

Group, which consists of Reebok sportswear company, Taylormade golf company, Maxfli golf balls, and Adidas golf. The company is the second largest sportswear  manufacturer in the world. Adidas was founded in 1948 and named after its founder, Adolf (Adi) Dassler 

NIKE

Nike, Inc. is a publicly traded sportswear and equipment maker based in the United

States. The company is headquartered in the Portland metropolitan area of Oregon, near  Beaverton. It is the world's leading supplier of athletic shoes, apparel and sports equipment with revenue in excess of $16 billion USD in 2007. As of 2008, it employed 8

over 30,000 people world-wide. Nike is the only Fortune 500 company headquartered in the state of Oregon.

PUMA AG

Puma AG Rudolf Dassler Sport (Puma) is a large German-based multinational

company that produces high-end athletic shoes and other sportswear. The company is perhaps best known for its football shoes and has sponsored such international football stars as Pelé, Johan Cruijff, Enzo Francescoli, Diego Maradona and Lothar Matthäus. In the United States, the company is probably best-known for the suede   basketball shoe it introduced in 1968, which eventually bore the name of New York  Knicks basketball star Walt "Clyde" Frazier. Puma is the third largest sportswear  manufacturer in the world behind Nike and Adidas. The company also offers lines shoes and sports clothing, designed by Lamine Kouyate, Amy Garbers, and others.

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CHAPTER 2 -INTRODUCTION TO THE PROJECT OBJECTIVES OF WORKING ON THIS PROJECT

• To find out business potential •

To find out product offerings

• Reasons behind brand preference.

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NEED OF THE PROJECT

Footwear is a growing industry in India. my research is to identify how to evaluate   business potential and what should be the product offerings. During the project I knew about footwear industry. Through the era of chappals we entered into footwear world. The focus study during this project on to find out the causes where we are lacking to increase our business potential and to increase the business potential what change we should make in our product offering. The business potential of any brand is effected by its distribution channel, marketing strategies, product feature, competition analysis and many other factor . The study includes knowing the customer preference and customers   perception about the action’s product. It help us to identify the need and choices of  customer. on the basis of customer’s needs , likings we reached at certain conclusion.

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MANAGERIAL USEFULNESS OF THE PROJECT

1. Pricing strategy 2. Product feature 3. Distribution channel 4. Promotion •

Action had adopted a good pricing strategy . As India is a poor country and maximum population is of middle class and lower class . the price strategy which is adopted by action is better quality with low price . It can be easily affordable by everyone .

•

Second usefulness of action shoe is product feature. There are different feature

such as comfort , durability , style , light weight etc. are easily available in action and its

sub brand weather it is a campus , chanchal , dotcom .as comfort and

light weight is required by higher age group people and style is required by youngster . •

Third managerial usefulness of action shoe is its distribution channel . it had

adopted a single and straight policy that is retailers or wholesaler . Action shoe directly supply its product to retailer and sell them to consumer . •

Fourth managerial usefulness of action shoe is promotion. Action shoe promote its

sale through gifts , coupon , sale , discount . When sale goes down these  promotion tools helps in increasing it

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CHAPTER 3- PROFILE OF THE ORGANIZATION

“A relentless race against time. The burning passion to win.. A strong desire to set the trends...

 No wonder , life is all Action...."

What one needs is a partner that's always on the move, that tracks your every move, just right and smartly too. And that's exactly the inspiration behind our trendy footwear  collection ranging from performance sport shoes to semi-formal and formal footwear for  men, women, teenagers and kids. Ultimate in design, comfort, and fit. Action shoes not only look good but also are good for your feet. Each Action product is the manifestation of our high standards of workmanship, access to latest technology. That's how Action is synonymous with maximum quality and performance.... and of course that essential look. So get into Action. And feel free to walk on the rough roads of life. Surely you'll be the winner.

ABOUT THE COMPANY

The Action group is one of the India's leading business conglomerates. The group commenced its operations as a source of footwear and its components in domestic and export markets, gradually moving its core competence into other diversified fields such as: (API) Chemicals and Plasticizers, (MICROTEK ) Computer Monitors and 13

Peripherals, Power Back Up/Inverters, (OKAYA) Batteries, (SUN CITY) Housing Projects and (SRI BALAJI ACTION MEDICAL INSTITUTE ) Health Care.

There are different individual companies under a common umbrella, each dedicated to a specific line of product manufacturing, procuring or other particular business activities.

Today the group strategy is to be competitive and to be a leader in the quality of goods and services provided.

ABOUT COMPANY’S WORKINGS

With over three decades of experience in footwear industry, Action is synonymous with quality shoes for the whole family-ranging from casuals to formals; from daily wear to sports wear and from an elegant collection for ladies to a fun range for kids.

True to its name Action is always on the move to scale newer heights in footwear  designing and manufacturing. Intensive R& D efforts and the latest technology go into the making of Action footwear. We have in house manufacturing facilities, including modern equipments and machineries specially procured from different countries to manufacture footwear at par with international class and quality.

Each Action shoe is the product of a relentless quest for quality, high level of  workmanship and a true commitment to customer satisfaction. At Action we strive to listen to the customers in their local markets and identify their footwear needs and then   provide products that exceed the customer's expectations in terms of quality, style and value. 14

Hardly surprising, Action has carved a special niche in the Indian footwear market and in the hearts of millions of its consumers through out the country.

COMPANY’S LOCATION

Action is headquartered in Delhi, supported by multiple manufacturing and development units in rest of the states like - Haryana, Himachal Pradesh and Daman etc. A number of  its executives are based in customer geographies with the express purpose of creating and nurturing channel partners as well as customers relationship.

STRATEGIC INTENT

VISION

To nurture a financially strong, growth oriented group through leadership and innovation and to widen future options by entering newly emerging industries where the potential seems enormous. We as a group shall continue to seek opportunities where we can leverage our resources and skills.

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MISSION

At Action group our mission is to work together, respecting each other, our skills and knowledge to:-

•

Build higher quality of products and services.

•

Continually strive to enhance customer satisfaction.

•

Improve customer retention and loyalty.

•

Gain a competitive advantage and larger market share

•

Elimination of scrap, waste, defects and errors.

•

To create a great place to work.

•

Be welcomed in the communities in which we operate.

VALUES

How we accomplish our mission is as important as the mission itself. Fundamental to the success for the company are these basic values.

Teamwork 

Learning and Innovation

Energy and Passion

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Employee involvement in process improvement.

Integrity and accountability.

MARKETING STRATEGY

MARKETING PHILOSPHY

The Action marketing philosophy emphasizes catering to the masses, consistently meeting the need and aspirations of every evolving generation. Action is committed to   producing the high quality shoes to suit every walk of life. Based on our cultivated understanding of the Indian consumer psyche, most Action offerings are in the mid range price segments. However, Action also manufactures variety of premium products for those who refuse to compromise, who seek and strive beyond ordinary.

MARKET POSITIONING

Action has consistently used "COMPLETE FAMILY FOOTWEAR" positioning and continues to use it. The company virtually makes shoes for the entire family- more  precisely-for everyone- for all occasions.

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DISTRIBUTION NETWORK  To complement our philosophy of catering to every walk of life, our powerful distribution network is mushroomed far and wide. Action has established a wide marketing network for distributing its products in India. The extensive distribution network, built over the years, is a major strength for Action products. Action products are available to consumers, even in the most remote places and in the smallest of villages with

a

very

meager

population. The

distribution

network

comprising

of 

DISTRIBUTORS, WHOLESALERS, RETAILERS AND EBO's through out the country, ensures that the customer wherever located is served efficiently. We have a network of more than 50,000 retail outlets all over India to sell our footwear, which is  being sold through more than 500 distributors appointed by the company.

TOTAL CUSTOMER SATTISFACTION QUALITY COMMITMENT

Quality is the cornerstone of our success. Everyday, millions of people all over the India show their confidence in us by choosing Action products. This confidence is based on our quality image and a reputation for high standards that has  been built up over many years. Quality is our most successful product. It is the key to our success.

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MANUFACTURING EXCELLENCE

The concept of " QUALITY MGT " in manufacturing is aimed at continuously improving the quality of goods and services to better meet the 'needs and expectations' of  the customers. Intensive R & D efforts and the latest technology go into the making of Action footwear. We are equipped with rotary pouring machines for making polyurethane and direct injection rotary machines for double density polyurethane to make shoes. All these machines are supplied by world-class machine manufacturers from Italy. In these machines all processing parameters and movements of parts are controlled through PLC and Computer, which ensures ultra high precision and consistency for the quality of shoes and unit soles. Great care is exercised in the selection and quality control of raw material; pacakaging material and standards are ensured at every stage of manufacturing process.

Quality people

Adequate equipment, procedures and systems are needed to make QUALITY; so are involved and dedicated people. At Action we recruit and train the best people at all levels of our organization. At Action we motivate employees by setting challenging goals and by giving them responsibility and recognition. Quality must be a way of life for everyone in the company. Quality customers

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At Action we are fully responsible for maintaining quality standards. Not only manufacturing, marketing and human resource but CUSTOMERS also have vital role to  play in maintaining quality. Our objective is to generate and retain high customer confidence and loyalty by delivering high customer value. Maximizing value to consumers and building customer relationship are the core endeavors at Action.  At Action customer satisfaction is both a goal and marketing tool.

SOCIAL RESPONSBILITY

Action group endorses the principles of social responsibility and recognizes our  responsibility to the environment and the community in which we operate.

These principles are central to the values of Action group and guide our business activities. At Action group we constantly strive to be the best and responsible corporate citizen and extends support to various social organizations.

We are able to reach out to a diverse range of families and communities, and we do it in many different ways.

The Action group runs "Lala Muni Lal Mange Charitable Trust" since 1977. Today it is engaged in various kinds of charitable activities. It is running an 80 - bedded hospital at

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Hissar (Harayana). This hospital has been working since 1979. It also started a day care OPD in 1984 at Daya Basti, Delhi. To cater to the needs of pilgrims at Vrindavan, the trust built an Ashram in 1994. This Ashram has large accommodation and a beautiful temple. This Ashram is a boon for the widows living in different parts of Vrindavan. Over 700 widows gather in this Ashram daily. They participate in the Bhajan organized by the Ashram daily and get the ration and other required goods of their daily use. Many a times Lala Mange Ram, who is the chairperson of this trust himself joins this Bhajan Samaroh and gives them moral support.   Now Lala Mange Ram has openened Sri Balaji Action Medical Institute in Delhi. Spread over 6 acres of land and 400 bedded hospital (out of which 100 beds are ICU  beds), mission of this trust is to set up an institute for providing world-class integrated healthcare facilities to all sections of the society with a hu manitarian touch.

WHAT WE DO With over three decades of experience in footwear industry, Action is synonymous with quality shoes for the whole family-ranging from casuals to formals; from daily wear to sports wear and from an elegant collection for ladies to a fun range for kids. True to its name Action is always on the move to scale newer heights in footwear  designing and manufacturing. Intensive R& D efforts and the latest technology go into the making of Action footwear. 21

We have in house manufacturing facilities, including modern equipments and machineries specially procured from different countries to manufacture footwear at par  with international class and quality. Each Action shoe is the product of a relentless quest for quality, high level of  workmanship and a true commitment to customer satisfaction. At Action we strive to listen to the customers in their local markets and identify their footwear needs and then   provide products that exceed the customer's expectations in terms of quality, style and value. Hardly surprising, Action has carved a special niche in the Indian footwear market and in the hearts of millions of its consumers through out the country.

WHERE WE LOCATED Action is headquartered in Delhi, supported by multiple manufacturing and development units in rest of the states like - Haryana, Himachal Pradesh and Daman etc. A number of  its executives are based in customer geographies with the express purpose of creating and nurturing channel partners as well as customers relationship.

GENERIC GROWTHSTRATEGIS Action group is committed to growth. To ensure that the growth is maintained along with a competitive edge, Action group has moved vertically as well. Action group implemented a backward integration strategy by entering into chemicals and plastisizers  business.

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CHEMICAL AND PLASTISIZERS: We have our plant located at Daman for the manufacturing of PVC compound, DOP, DBP, DOA, and DIDP etc. under the brand name API providing employment opportunities in backward areas of India. This ensures the availability and quality of  supplies and helps to control the cost and improve overall profits as well. The group has also implemented forward integration strategy by opening ACTION EXCLUSIVE STORES all over India with the ultimate objective to realize additional profit potential. Conglomerate Diversification Action is not only a leading brand in footwear, but also

group has made investments in various streams un-related to the existing line of   business .

MICROTEK (COMPUTER PERIPHERALS & POWER BACK UP) Year 1986, Action in a joint venture entered into an altogether different industry. Brand MICROTEK was launched in the Indian market. Computer monitors (colored/mono), speakers, keyboards, mouse, motherboard, UPS, cases, spikes, suppressor etc. are manufactured under this brand name. Later on the company extends its product line and goes into the making of INVERTERS and makes it presence in the power back up segment also. Five manufacturing plants, more than 20 branch offices, 250 distributors and over 2500 strong dealers besides its own showrooms, MICROTEK is the country’s largest computer peripheral and inverter manufacturer. Microtek manufacturing facilities have been awarded ISO 9002 certification. The entire customer support activity is also ISO 9002 certified. 23

OKAYA (AUTOMOTIVE AND INDUSTRIAL BATTERIES)

Arrow International” has been promoted by multi crore ‘Microtek’ to give to the Indian consumers OKAYA world class Japanese Technology batteries. Batteries for all kind of  cars, automobiles, heavy-duty trucks, motorcycles, telecommunication systems, electric utilities etc are produced under the Brand name OKAYA. The Co. enjoys UL CERTIFICATION, the ISO 9001:2000 by UNDERWRITERS LABORATORIES INC. USA. The company caters to both replacement market and original equipment customers.

SUN CITY (HOUSING AND COMMERCIAL PROJECTS) Another joint venture is in the REAL ESTATES under the name SUN CITY PROJECTS which is being promoted by three distinguished groups ACTION, ESSEL (Zee Networks) and ODEON builders. Sun City Projects emerged with a mission to provide ‘International Quality Housing, Leisure and Entertainment’ at affordable prices. Outcome was an integrated township spread over 150 acres of land. Sun City is also coming up with ‘North Square Mall’ (North Delhi) and ‘Cross River Mall’ (The biggest in East Delhi) with a new vision but the same mission “Affordable International Standard Retail Spaces”.

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SRI BALAJI ACTION MEDICAL INSTITUTE (HEALTH CARE)

Action group has also stepped into the HEALTH CARE sector and has recently opened Action Medical Institute in Delhi. Spread over 6 acres of landscaped sprawling grounds with 3 lacs square feet of centrally air - conditioned built up area, mission of the group is to set up an institute for providing - world class integrated health care facilities to all sections of the society with a humanitarian touch, whilst maintaining high standard of  ethical practice and professional competency with emphasis on training and education leading to research. With a center of excellence in Cardiology, Pediatric, Gynecology,   Nephrology, Gastroenterology and Orthopedics, the Institute with over 25 medical specialties and 400 beds will serve as a referral hospital for Delhi and adjoining areas.

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BRAND ARCHITECTURE

The brand ' ACTION ' has been able to maintain its aura of exclusivity and distinction since its first pair of non-formal sporty shoes hit the stores. It continues to be the most  preferred brand in India.

With the growing popularity, proliferation comes along. The company has elaborated the  brand concept by launching a variety of sub-brands and shoes to suit different occasions. The new products were coined with attractive catchword, thus helping the customers finding the right shoes.

Our range of brands cater to every need in shoe world

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Health plus is our top of the line product manufactured with a careful quality concept, taking into consideration the Anatomic Structure of the feet. Our feet are the main center  of our nervous and circulation system, which summarize the whole body organs in itself. The whole day work cause strain on ridge/ankles and pain in our feet. Health  plus brings relief to all these problems due to special levels/stages provided by Anatomic sole support. Anatomic base with technically designed 5 pressure points help your feet for natural movement and walk with full joy and confidence. Health plus is excellent to use at all occasions and places like home/picnic/shopping etc. It comes in the size group of 36-41 for ladies and 6-11 for gents and has been priced in the range of  Rs.700- Rs.1700.

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Campus symbolises the carefree attitude of youth. with campus lightweight casual shoes and sandals for young people and kid's freedom is in the air. A combination of soft synthetic leather/Nubuck and breathable mesh with padded tongue and soft plus collar  lining shoes are manufactured through the latest world class stuck-on process using EVA and Phylon soles which provides cushion and

shock absorption. The perfect

combination of style and comfort gives you a retro feel. The shoes comes in the size and prize range of 8-13 (Rs. 399-499), 3-5 (Rs. 599), 6-10 (from Rs. 599-1399). The sandals comes in the size and prize range of 3-5 (Rs. 399-429), 6-10 (Rs. 468-499).

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"  Digital approach to your life" Dot Com is our top of the line product, tailored to

represent your image of maturity and brilliance before the society. An ultimate achievement by the house of Action in comfort, style and quality in footwear technology Dot Com formal and semi - formal shoes, sandals & sleepers have become a precious element, without which final grooming of a complete gentle man is next to impossible. Check it out and experience for yourself before you get changed and start this believing. It comes in the size group of 6-10 and has been priced in the range of  Rs.700 to Rs.1300.

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Action introduces 'MILANO' leather range a unique lightweight HI - TEC formal shoe with a soft insole (for excellent comfort) and special P. U sole for extra grip. The soft uppers, which gently hug the foot, are made up of genuine leather. Every care has been taken to produce technically viable product, which can give the highest comfort to the foot. World- class materials like upper leather, lining leather, inner lining has been chosen to give you the best product. The product has been designed keeping in view the Corporate Appeal and caters to the middle aged executives. It comes in the size group of  6-10 and has been priced in the range of Rs.790 to Rs.1100.

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Introducing the EVA FLOTTER range of footwear for the quality conscious Indian. The EVA slippers are made of Ethyl Vinyl Acetate whose property enable us to give much lighter products. The EVA products are much comfortable than the other similar    products because of its fine and uniform cell structure which gives excellent flexibility and comfort ability. The EVA products are wash friendly and heat resistant, so they are more suitable for summers. The EVA products are available in different colors, which give good aesthetic appeal. The product is priced between Rs. 99 to Rs.125 and serves the day-to-day purpose of both men and woman.

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School time has a complete range of school uniform shoes in black, brown as well as white colors. It is available in various ranges with Velcro closure, laces and removable straps for both boys and girls. Soft full grain leather looks synthetic upper and soft lining enhanced comfort feature for growing feet. the PVC sole gives extra gripping and durability. With an affordable prize ranging from Rs 140 to Rs. 248, it is no doubt the most loved choice of students as well as parents. It comes in the size and prize range of 7-10 (Rs. 149), 11-1(Rs. 182), 2-4 (Rs 206), 5-6 (Rs. 231), 6-11 big (Rs. 248)

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Mausam is the brand for men's footwear of all ages, ranging from trendy sandals, slippers and moccasins to sports shoes. From colorful activity filled shoes for kids to jazzy and fashionable shoes for young and vibrant people to stylish and comfortable wear for the aged, Mausam has it all. The synthetic and textile fabric upper gives a slick finish as well as freedom to your feet. the flexible PU soles and padded ankles provide that extra bit of  cushioning and bounce to the walk. The PVC soles adds to its live. It comes in the size and prize range of 5-10, 11-1 (Rs. 149-198) for kids, 6-10 (Rs. 748-850) sports, 3-5, 610 (Rs. 248-475) sleepers and sandals, 6-10 (Rs. 388-513) moccasins and laces.

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Presenting the Florina range of sandals and sleepers for the lady of substance in a divine combination of design, quality and comfort. The Florina range comes in aesthetically exhilarating designs that glorify the style that marks the woman of today. Florina comes in classic styles with a complete range of casuals, stylish and party wear. Florina range of footwear comes lined with soft Lycra material for extra comfort and soft P.U latex cushioned sole for extra cushioning. Walk on in the Florina range of featherweight footwear for an experience as comforting and delightful as walking on a bed of roses. It comes in the size group of 36-41 and has been priced in the range of Rs.250 to Rs.450

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Action's Micro is a range of sleepers, sandals, shoes and moccasins made for all seasons. this highly economical footwear for both men and women is the most used range among all strata of society. With ultra-flexible PVC upper and sole this range promises comfort and durability of the highest order and it's perfect for use in high density rainfall areas, making it highly durable. Its USP is that it is light weight and yet tough enough for  rough treatment. It comes in the size and prize range of 1-2, 3-4, 5-6, 7-9, 10-11 (Rs. 78-139) for gents and 3-4, 4-8, 5-7 (Rs. 68-94) for ladies.

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Hooha is a collection of trendy shoes and sandals for children, who want to dare the world. The innovative ranges of Hooha uses a lot of colours and cartoons, complements to a child's growing. The synthetic upper gives it a sporty look and the inner soft lining makes it ideal for a growing delicate feet. The use of micro-expanded granules absorbs shock and are anti-skid. Attractive lights attached at the soles, make your child jump out of the bunch of little trouble makers. Hooha shoes and sandals comes in the size and prize range of 7-10, 11-1 (Rs. 199-224)

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With our Funtime range for children, it is time for making merry. Funtime's trendy and animated collection is for your fun-loving kids between age ranges 4 to 9. The electrifying coloured shoes have designs in lace-up and Velcro adjustable straps with embroidered detailing for a perfect fitting. Padded tongue and collar, fully lined in soft synthetic fabric, cushioned comfortable insole, with durable PVC sole keep your children going all day long. The soft inner lining makes growing delicate feet breath. It comes in the size and prize range of 5-10 (RS. 149-162).

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With Action's Roaming youth wear range, become a trend-setter and make waves. Have your pick today from its complete range of fashionable quality slippers, sandals and sports shoes, in the most economical price. The light upper is made of PU, tetron and  breathable mesh for extra comfort. The PVC sole gives extra grip adding mileage to your  dynamic life. Mileage, trendy, comfortable as well as its breath taking economical price, makes Roaming the most sought after brand by young people. Its comes in size and prize range of 6-10, 11-1, 2-5 (Rs. 199-399) for kids, 11-13, 1-5 (Rs. 347-462) for children and 6-10 (Rs. 487-699) for gents.

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Fly float is a range of trendy and economical sandals and slippers for leisure use for both men and women. Home, picnic or shopping, Fly float light weight, is ideal for all kinds of leisurely occasions. The imported synthetic leather upper gives it a classy look and the inside of the upper sole is made up of suede, funky mesh and P.U. latex, giving it extra comfort. This high quality range comes in Velcro fitting to suit every foot. The sole with micro expanded granules with air technology, gives maximum comfort to your feet and more mileage. It comes in size and prize range of 2-5, 6-11 (Rs.299-383) 39

Action's Chanchal brand epitomizes simplicity, a range of winter foot wear for ladies. Ideal for daily wear, Chanchal is comfortable and durable. Soft textile fabric upper and soft lining hugs your feet, giving the warmth and cozy feel. The soft PVC sole give extra  protection to your heels and are long-lasting, making it an ideal daily footwear. It comes in a variety of designs and floral colours that adds to a woman's femininity. It comes in the size and prize range of 11-2, 3-8 (Rs. 137-173)

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Flotter is a new class of super comfort, stylish, lightweight and cushioned sandals and slippers manufactured by Action. These are made from Synthetic uppers and PVC sole for giving you an unforgettable comfort and durability. A special air cushion has been   provided in the insole so that you can walk more. Available in both ladies and gents, Flotter hydro walk is available in different colors and styles. It comes in the size group of 6-11 and has been priced in the range of Rs.125 to Rs.450.

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Action's Eazy line is a range of comfortable routine and household footwear for both ladies and gents. Bring style home with Action's Eazy line ranges. The synthetic fabric upper make it in vogue, trendy and comfortable. PVC materials use in the shoes makes it highly durable and wash resistant. The Eva guard sole makes it slip resistant making it the most sought after home footwear. It comes in the size range of 11-1, 2-5 for kids, 4-8 for ladies, 6-11 for gents.

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BRAND ENDORSES At Action group we constantly strive to create, maintain, protect and enhance the brands. Our challenge is to develop a deep set of positive associations for the brand.Our objective is not only to have a fairly high degree of ......... BRAND AWARENESS, but to move

to ACCEPTABILITY PREFERENCE Finally, BRAND LOYALTY

In order to achieve all these stages and to achieve higher attention & recall, Action group often uses celebrities as spokespeople or endorsers. Our brand have been associated with the world known celebrities like KAPIL DEV, SACHIN TENDULKAR and so on is the list of different celebrities of different fields including Indian Cinema like AJAY JADEJA, AMRISH PURI, APOORVA AGNIHOTRI, AMAN TALWAR, RENUKA, PALLAVI JOSHI etc 43

STORE CONCEPT A new concept of exclusive showrooms has been introduced in the market by the company to match the individual demand of the customers. Convenience and variety is the general concept behind opening these stores. Keeping in view the demand that varies from customer to customer and possibility of every retailer  to keep the complete range of footwear at all times, Action came up with this idea of  exclusive showrooms. This idea has not only given the company a chance to provide the complete array of shoes to the customers but has also given salesman an opportunity to interact with them on a personal level. These inputs of the customers helps tremendously in new product innovations. The first of its kinds was started in 1999 and after experiencing the tremendous response the number of these stores have been increased to around 70. Plans are on the anvil to open more than 200 showrooms by the year 2007.

FRANCHISING OFFER  Shape up your dreams with Action Exclusive showroom.

Low risk ,Profitability ,Respectability Franchising is a way of doing business. A concept to promote mutual benefits. With the opening of the economy the environment of franchising has caught on the new market scenario. Today customers are getting more and more conscious about the quality and the status-quo standards of the product they buy. The Customers of the new millennium 44

wants to buy branded and quality products from mega stores where they do not have to worry about anything. Action shoes, a business conglomerate of repute with a mega shoe brand "ACTION"  beckon you to grab this fortune. With your vast inherent entrepreneur talent and keen business acumen you can also  provide customers a shopping pleasure of global standards being the proud owner of an ACTION super store. All you need to have is an area of 800 to 1000 sq.ft. in the hub of your city, capability to invest 12-15 lakhs and business acumen and you will soon become a millionaire. What more you will get the return on your initial investment within 12-18 months. You can yourself imagine the potential of the golden opportunity to rake in big bucks and being the proud owner of Action store. So what are you waiting for, opportunities don't knock twice

CORPORATE PORTFOLIO We bring to you an opportunity to design and tailor your shoes to your taste and need.

For more than 30 years Action has been manufacturing top quality footwear and its components for the domestic and export markets. Having pioneered the development of  footwear range from casuals to formals, from daily wear to sports wear and from elegant collection for ladies to fun range for kids, Action now operates a specialized technology and research driven 'CORPORATE SALES' division which caters to the 45

variant needs of institutional segments. Corporate division of Action shoes manufactures a full range of shoes i.e. (Safety boots) with Steel toe and Fibre toe-cap for Industrial workers, comfort, sturdy and Heat/Cold resistance shoes for Military, Navy & Police, oil resistant and anti skid shoes for working in professional Kitchens and water resistant and anti- fungal shoes for Miners. It is the policy of our 

Corporate Division to listen to your your needs & specifications assess the communication points at both the ends, develop a detailed but concise survey instrument, gather customer perspectives and then finally develop and deliver high quality products and services meeting the customer requirements from time to time. We have our R&D department with well-qualified professionals in diverse streams who constantly research and develop new products. Our long-term experience, services and quality are evident in every product we create to perfection. We are able to manufacture products as per  client's specifications with the Shortest Lead Time and the Highest Quality. Our clientele includes… Asian Paints, Asashi India Glass, Jet Airways, Hindalco Industries,

Maruti Udyog Ltd, Samsung India Ltd, Indian Army, Indian Air Force, Delhi University, Park Royal, Parle Biscuits, Mother Diary, Hyatt Regency, Le- Meridian and many more.

46

Sole Division

Action has a diversified segment on sole manufacturing completely dedicated in making world-class soles. Action has made a name in manufacturing high quality PU and TPR  soles in domestic as well as international market. It has always been a pioneer in research and development of new materials and styles in order to best meet the everchanging market demands. Action Sole division has a team of dedicated researchers who are in constant endeavor to develop the best technology on soles that fulfills the need and requirement of every end user. Action soles have double density polyurethane with excellent abrasion resistance, zero oil migration, best slip resistance, very high flexing  property at subzero temperature and extra high tensile strength, excellent cushioning and comfort due to its compact foaming and lightness. This makes our soles both incredibly durable and surprisingly lightweight. Best of all, the soles are also made according to our clients specifications. Our excellent  production capabilities, guarantee prompt delivery of every order in addition to designing 47

new molds within the shortest lead time after receiving the order. We continually concentrate our efforts on attracting and maintaining world-class talent, producing high quality products and above all delivering customer satisfaction. We present a comprehensive collection of premium quality PU and TPR Soles for men and women's casual & formal footwear. Available in a variety of designs and sizes Ladies (35 - 41) and Gents (5 - 11), it comes in the price range from (Rs. 75 - Rs. 170) for ladies and (Rs.80 - Rs 180) for gents. Some of our esteemed national and international clients are…. CLARKS, BATA, LIBERTY, PONDS, FRANCO LEONE, HIKER, JOSEPH SIEBEL etc.

ANATOMY OF THE SHOE The anatomy of a shoe can be divided in an upper and lower (or bottom part). Sections of  the upper include vamp, quarter, toe box, throat, insole board, and top line. The sections of

the

lower

shoe

consist

of

an

outsole,shank

and

heel.

48

THE UPPER OF THE SHOE

All parts or sections of the shoe above the sole that are stitched or otherwise joined together to become a unit then attached to the insole and outsole. The upper of the shoe consists of the vamp or front of the shoe, the quarter i.e. the sides and back of the shoe, and the linings. Uppers are made in a variety of different materials, both natural and synthetic. Leather upper allows air to pass through to and from the skin pores thereby   providing an opportunity to keep the feet, cool. Ironically synthetics used as uppers display elastic properties, which mean the shoe upper never quite adjusts to the foot, shape in the same way as natural leather. Synthetics are cheaper to mass-produce and are now found in most mass produced footwear. Synthetic uppers are more waterproof. Woven fabric such as cotton corduroy can be used as uppers.

VAMP

The vamp covers the dorsum of the foot (includes the tongue piece) and superior aspects over the toes. This section i.e. the toe puff is reinforced which serves to give the shoe its shape as well as protect the toes. The vamp is often made of more than one piece, creating a decorative pattern. There are various types of vamps suited to different styles of shoes.

49

QUARTER  The complete upper part of the shoe behind the vamp line covering the sides and  backpart. The top edge of the sides and back of the quarter describes the topline of the shoe. Oxford style lacing shoes, the eyelet section is formed by the superior part of the quarter (while the underlying tongue is part of the vamp). In the Gibson style the lacing segment forms part of the vamp. The heel section of the quarter is frequently reinforced with a stiffener. In boots the quarter is often referred to as 'top'. In athletic shoes the vamp and quarter panels are often one continuous piece of nylon or leather with additional leather pieces added to reinforce critical areas of the shoe.

COUNTER  The counter is a component of the quarter that stabilises the hindfoot in the shoe and retains the shape of the posterior portion of the shoe. Counters are usually made from fibreboard or heat moulded plastic. Sometimes a counter will extend medially to support the heel and prevent prolonged pronation.

TOECAB Many shoes incorporate a toecap into the upper of the shoe. Toecaps are either stitched over or completely replace the distal superior aspect of the vamp and can be made into a decorative features referred to as toe tips. The toe box refers to the roofed area over and around the part of the shoe that covers the toes. The function of the toe box is to retain the shape of the forefoot and allow room for the toes.

50

LININGS In quality shoes the quarters and vamps are lined to enhance comfort and durability. Linings may consist of various materials ie leathers, fabrics, and manmade synthetics. The lining on the insole segment is called 'the sock' and may be full-length, three-quarter  or just the heel section. Many linings are made of synthetic material and are usually confined

to

the

quarters

and

the

insock.

THROAT The central part of the vamp just proximal to the toe box. The throat is formed by the seam joining the vamp to the quarter i.e. throatline. The throat is defined by the connection of the rear edge of the vamp and the front part of the quarter. This refers to the point where the lacing is attached to the vamp. The throat of the shoe dictates the maximum girth permitted by the shoe.

THE SOLE OF THE SHOE Insole (inner sole)

A layer of material shaped to the bottom of the last and sandwiched between the outsole (or midsole) and the sole of the foot inside the shoe. The insole covers the join between the upper and the sole in most methods of construction and provides attachment for the upper, toe box linings and welting. This provides a platform upon which the foot can operate and separates the upper from the lower. The majority of insole boards are made of cellulose and are treated with additives to inhibit bacterial growth. 51

OUTSOLE

This is the outer most sole of the shoe, which is directly exposed to abrasion and wear. Traditionally made from a variety of materials, the outsole is constructed in different thickness and degrees of flexibility. Ideal soling materials must be waterproof, durable and possess a coefficient of friction high enough to prevent slipping. SHANK 

The shank bridges between the heel breast and the ball tred. The shankpiece or shank  spring can be made from wood, metal, fibreglass or plastic and consists of a piece approximately 10cm long and 1.5 cm wide. The shankpiece reinforces the waist of the shoe and prevents it from collapsing or distorting in wear. The contour of the shank is determined by heel height. Shoes with low heels or wedged soles do not require a shank    because

the

torque

between

the

rear

and

forefoot

does

not

distort

the

shoe. HEEL

The heel is the raised component under the rear of the shoe. Heels consist of a variety of  shapes, heights, and materials and are made of a series of raised platforms or a hollowed section. The part of the heel next to sole is usually shaped to fit the heel, this is called the heel seat or heel base. Shoe Lasts Most shoes are made to a last. This is a foot model with dimensions and

shape similar to the anatomical foot but sufficiently different to not be exact. Shoe fit and

52

to

some

extent

the

last

influences

its

durability.

Traditionally made from wood but are now available now in metal or plastic. Lasts are not the same size and dimensions of the anatomical foot but instead an abstract form with specific functions. Lasts provides a working surface on which flat leather components can be given plastic form. To allow the last to be removed from the shoe they are often hinged around the instep. Shoe lasts are not made to resemble feet but instead to suit the shoe manufacture. Modern lasts are totally unlike the foot with the sole of the last, flat in order to assist in manufacture. POLYMER IN FOOTWEAR INDUSTRY Shoe Upper

Leather, PVC & PU coated fabrics

Shoe sole

Vulcanized rubber TPR, PVC, PU, EVA, EPDM & Nylon

Heels

High impact polystyrene, ABS, PVC

Toe Puff & stiffer

Thermoplastic materials

Insole

Cellulose, cellulose board

Thread

Nylon, polyester 

Adhesive

Epoxy, neoprene, PU, Rubber latex

53

SHOE MANUFACTURING PROCESS

54

MEATHODS OF CONSTRUCTION There are many ways to attach the sole to the upper but commercially only a few methods are preferred. Shoes were traditionally made by moulding leather to a wooden last. Modern technology has introduced many new materials and mechanized much of the manufacture. Remarkable as it may seem the manufacture of shoes remains fairly labor  intensive. No matter the type of construction the first stage in construction is to attach the insole to the undersurface of the last. Two main operations follow : Lasting describes the upper sections are shaped to the last and insole. Followed by Bottoming, where the sole is attached to the upper. The process of bottoming will determine price, quality and  performance of the shoe.

STUCK ON CONSTRUCTION

For lightweight and flexible footwear the outsole is stuck to the upper by an adhesive. Bonwelt is a variation with its distinguishing feature being a strip of welting attached by stitching or cementing to the top edge of the insole. The shoe is then flat lasted. This is not a true welt construction wherein the welt is attached to the rib of the insole.

GOOD YEAY WELT

For high quality dress and town shoes the top section (or welt) is chain stitched to the upper and insole rib at the point where it curves under the last. This is supplemented by a lockstitch outseam bonding the welt and outsole. The outsole is then sewn to the welt around the edge. Goodyear Welt creats heavier less flexible footwear.

55

STICH DOWN VELDT

A cheaper method used to produce lightweight flexible soles for children's shoes and some casual footwear describes the upper turned out (flanged) at the edge of the last. This is then stitched to the runner. In some countries it is known as 'veldt' and 'veldschoen.'

MOCCASIN

Thought to be the oldest shoe construction this consists of a single layer section, which forms the insole, vamp and quarters. The piece is moulded upwards from the Under  surface of the last. An apron is then stitched to the gathered edges of the vamp and the sole is stitched to the base of the shoe. This method is used for flexible fashion footwear. The imitation moccasin has a visual appearance of a moccasin but does not have the wrap around construction of the genuine moccasin.

MOULDED METHODS (DIP)

The lasted upper is placed in a mould and the sole formed around it by injecting liquid synthetic soling material (PVC, urethane). Alternatively, the sole may be vulcanized by converting uncured rubber into a stable compound by heat and pressure. When the materials in the moulds cool the sole-upper bonding is complete. These methods combine the upper permanently into the sole and such shoes cannot therefore be repaired easily. Moulded methods can be used to make most types of footwear.

56

SHOE STYLES BOOT

Any footwear extending above the ankle. There are numerous designs and types for a variety of uses and made from a number of materials.

LACE UP

Any low cut shoe fastened by lacings, such as an Oxford or Blucher.

57

MOCCAIN

Originally it described a simple one-piece hide, wrapped round the foot and held on with rawhide thongs. Later the Indians gradually stylised the moccasin by adding the moccasin  plug, fringes and coloured beads, which depicted rank and occupation were also

SANDAL

Originally a slab of leather sole attached to the foot by thongs. Today any open shoe who's upper consists of any decorative or functional arrangement of straps. A sandal can 58

  be foot low to knee high, or with any heel height, designed for simple utility or casual wear or as a fashion shoe.

MULE

A backless shoe or slipper with or without a heel.

MONKS

Similar to Derby Shoes but with a cross over section to fasten the quarters with a side  buckle. 59

PUMP

Heeled shoes with low cut fronts and usually no fastening.

60

CHAPTER 4 – RESEARCH METHDOLOGY

The search for Knowledge through Objective and Systematic method of finding solutions to a problem is Research.

RESEARCH DESIGN

Source of information: There are two kinds of sources of information i.e. primary and secondary.

PRIMARY SOURCE

The data collected and gathered from these sources is assembled specifically for the research project at hand. The data collected is a fresh and for the first time and thus happened to be original in character. It is used for satisfying various marketing research objective. Basically there were two instruments: 1. Structured Instrument 2. Unstructured Instrument

1. Structured instruments:

(a)

Personal interview: This method involved asking questions generally in a

face to face contact to potential customers (data for them was collected initially) It was in the form of direct personal investigation .In this case the 61

interviewer collected the information personally from the sources concerned .The interviewee was allowed to ask questions from the interviewer regarding his doubts Interviews were formal or informal depending upon their nature and the person being interviewed .Following points were kept under  consideration: •

Planning the interview

•

Preparation of questions before hand

•

 Not to make interview hasty

•

Focusing on substance

•

Accuracy of subject

2. Unstructured Instrument: (a) Questionnaire

A questionnaire consists of a number of questions printed or typed .In a definite order on a form or set of forms. The questionnaire was mailed to potential customers . They were to answer the questions on their own.

Main aspects of Questionnaire: (1)

Structured questionnaire

(2)

Clear and smooth moving sequence of questions

(3)

Simple and easy wordings

(4)

Relevant questions

All the personal details were kept confidential. 62

(b) Secondary sources:

The data for these sources is that which have been previously collected for some  project other than at hand. The data colleted is historical in nature .It is the data which you don’t have collected yourself but is already available. Some of these sources are: (a)

Magzine

(b)

Internal Reports

(c)

Financial reports

(d)

Published industry data.

Sampling Unit: The elementary units or the groups cluster of such units may form the

 basis of sampling process in this case each potential customer is our sampling unit.

Sample size : Interview 100 persons and collected data through questionnaires

Technique of sampling: In the Project sampling is done on basis of Probability

sampling. Among the probability sampling design the sampling design chosen is stratified random sampling.Because in this survey I had stratified the sample in different age group, different gender and different profession

63

Analysis of information: The information was analyzed with the help of pie charts and

graphs to reach at conclusions. For that editing, tabulation and interpretation of data was done.

Editing: It involves a careful scrutiny of the completed questionnaires and or schedules.

It is the process of examining the collected raw data to detect errors and omissions and to correct these when possible.

Tabulation: It involves arranging the data in concise and logical order. It involves

summarizing raw data and displaying the same in compact form.

Interpretation: It involves drawing the ultimate interferences and reach conclusions

STEPS FOLLOWED IN COMPLETING THE STUDY

(i) Marketing books, journals are consulted. (ii) Internet sites containing information on action shoes & marketing are browsed. (iii) Sample survey was conducted.

64

CHAPTER 5 – FINDINGS AND ANALYSIS

OBJECTIVE ,FINDING AND ANALYSIS FOR DIFFERENT QUESTIONS

QUESTION 1Do you wear shoes? •

This is a dichotomous kind of question. A respondent has to pick one option from yes or No . In India whether we talk about Rural or Urban areas, Shoes are use everywhere. They have a large market and also available at different Brands. This is mainly focused at categorizing the respondent in terms of users and non-users and hence easy to find the right audience for survey.

17%

yes

no

83%

65

FINDING:•

Out of the 120 respondents 20 respondents around 17% had told that they do not wear shoes.

ANALYSIS:•

From the above finding we can say that most of the people wear shoes but there is a market which is still remain unexplored and unstructured.

•

Findings also suggest that the business potential is still wear shoes from this market, which can be addressed through a plan and proper product offerings

66

QUESTION 2IF YES, WHICH BRAND DO YOU PREFER? OBJECTIVE:-

In India there are several Branded and non Branded Shoes available. We took some   popular Brand of Shoes like Reebok, Nike, Adidas, Action, Puma, or any other Brand that costumer uses. We try to put Brands, which are popular among the respondents.

25 25 19

20 15

12

12

11

10

7 4

5 0

ACTION LIBERTY

NIKE

REEBOK ADIDAS

BATA

OTHERS

FINDINGS:•

In this particular question we have received strange findings regarding customer    preference of brand. Having the option to choose from one of the well known   brands we found that 25 % respondents has gone for brands which are lesser  known like Relaxo, lakhani etc.

•

Among the brands Nike is the most preferred brand with 19 % respondents choice followed by Reebok, action, adidas, Bata, liberty. 67

ANALYSIS:•

From the above finding it can say that a well-known brand only one of the factor  for buying shoes but not the necessary factor.

•

Action and Reebok both simultaneously standing at third place; it shows that it has some brand value in the mind of customer.

•

As we know from the findings that maximum number of people are using un  branded product or lesser known brand so we an target this particular market also  by better availability of products, pricing and promotion strategies. As this market shows great business potential.

68

QUESTION 3ARE YOU SATISFIED WITH THE QUALITY OF YOUR  PREFERED BRAND? OBJECTIVE:•

This is dichotomous type of question .in this question there are two options are given. we want to know only yes or no. Answer is If yes, then another question is which feature affects the respondent most? If no then what kind of changes respondents want from action. This will help action to strengthen the market  potential as well as product offerings.

 NO 26% YES  NO YES 74%

FINDINGS:•

In this question 74 % respondents are satisfied with their brand and 26 % are dissatisfied with their brand.

ANALYSIS:•

Here we have an opportunity to find the cause of dissatisfaction and try to find the solution. And hence make these customer switches to Action shoes.

•

We also take the suggestion for improvement of our brand and product portfolio.

69

QUESTION 4IF YES, WHICH FEATURE AFFECT YOU MOST BEFORE BUY ANY SHOES ? OBJECTIVE:•

In this question we provide several options to the respondents to find what he likes most in shoes. From several features that a brand can exhibit we put certain features like comfort, price, style, lightweight, durability and any other. In case of   positioning a marketer try to highlight certain features in the mind of costumers.

COMFORT 18%

38% 8%

9%

8% 15%

PRICE STYLE LIGHT-WEIGHT DURABILITY

4%

ANY OTHER  MORE THAN ONE FACTOR 

70

FINDING:•

We have found that maximum numbers of customers are looking for more than one factor while buying product and the most preferred combination is comfort and style.

•

Among the independent factor comfort is the most valued one followed by style, lightweight, durability, price and any other.

ANALYSIS:•

The success of any brand lies in many factors like comfort, style, lightweight, durability, price independently or in combinations.

•

From the finding we can carry out the strength and weakness analysis of our own  brand. we can leverage out our strength like comfort and price at the same time work on other factors to give the customer complete range of product.

71

QUESTION 5IF NO, WHAT KIND OF CHANGES YOU WOULD LIKE TO SUGGEST FOR “ACTION SHOES” ? OBJECTIVE:•

In this question we provide several options to the respondents to find suggestion. What kind of changes they want in action shoes. We tried to find out those certain features, which attracts a costumer most. So that a marketer can understand what costumer want, and based on these kinds of features Action can make a good  product offerings.

27% 35%

MORE PRODUCT RANGE LOW PRICE RANGE DESIGN 15%

CHANGE IN PROMOTIONAL ACTIVITY

23%

72

FINDINGS: •

From the finding we can say that most of the respondents are of the view that action shoes is lagging behind in terms of brand equity due to lesser promotional activity.

•

Other areas of improvement suggested by the customer design, more product range and pricing in descending order.

ANALYSIS:•

People generally want then to be associated with a brand, which has more brand awareness as this is not much in case of action shoes, we need to improve upon it.

•

More design and more product range are factors internal to the company and can  be improved.

•

Some respondents also suggested that we should have product of lesser price range so Action should consider this also.

73

QUESTION 6HOW

MUCH

YOU

CAN

AFFORD

FOR

YOUR

MOST

PREFERED SHOE? OBJECTIVE:•

Sometimes a costumer after buying any shoes generally think that If he can got a more stylish or latest designed shoes. On the same hand he also knows that these additional features can increase the price. But he is ready to invest this additional amount

in

order

to

get

his

most

prefered

shoes.

8

MORE THAN 6000 RS

4000-6000 RS

14

2000-4000 RS

27

1000-2000 RS 35 LESS THAN 1000 RS

16 0

5

10

15

20

25

30

35

74

FINDINGS:•

Maximum of the respondents preferred price range between 1000-2000 Rs followed by price bends of 2000-4000 RS, less than 1000 RS, 4000-6000 RS, and more than 6000 RS.

ANALYSIS:•

An action shoes is having the product in the price range of below 600 to 1500 RS. Though we are addressing the larger mass but still we are not touching around 52 % of the total audience. This indicates in market having great potential is still unexplored by Action shoes.

•

If we can introduce shoes up to the range of 4000 RS then we can also cater to a larger audience at higher end.

75

QUESTION 7WHERE DO YOU LIKE TO GO FOR BUY A SHOE? OBJECTIVE;•

In this question we tried to find out the most preferred source form where costumers use to buy their shoes. This question helped us to determine which is most preferred outlet for respondents. From a company point of view this question help us to strengthen its market potential.

ON LINE 0%

 NEAR BY SHOPS 27%

SHOPPING MALL 34%

 NEAR BY SHOPS EXCLUSIVE SHOWROOM 39%

EXCLUSIVE SHOWROOM SHOPPING MALL ON LINE

76

FINDINGS:•

From the finding we have come to know that most of the people about 39% prefer  to buy shoes from exclusive showrooms where as 34%of the respondents prefer to   purchase from shopping mall and remaining 27% from there respective near by local and/or renowned shop and hardly any respondents is there to purchase on line.

ANALYSIS:-

•

As action shoes has less presence in terms of exclusive showrooms and shopping malls. it is loosing a great market because it was clearly indicated by the respondents that maximum shoes are bought from these places.

•

Though the good presence in near by shoe centers giving action shoes around 27% exposure but it is very negligible if we see the size of the market.

•

Action shoes have to communicate to target audience to audience by retailing their product in marketing to the masses .

77

QUESTION-8 HAVE YOU EVER BUY “ACTION SHOES? OJECTIVES:-

•

This is direct type of question from which we tried to know from customer have they ever bought action shoes because In India there are several Branded and non Branded Shoes available. Want to see market awareness of action shoes from this question.

70

63

60 50 40

37

30 20 10 0 YES  NO

78

FINDINGS:•

Out of 100 respondents 63 % are aware of the brand and tried it once or more. The 37 %, which have never tried action shoes, which are either respondent, don’t aware with the brand or have negative attitude towards the brand.

ANALYSIS:-

•

Must try to address the masses of customers who have never tried Action. This can be done through different promotional activities.

79

QUESTION 9IF NO,WHY ? OBJECTIVE:•

In this question we provide several options to the respondents to find why they did not ever buy action shoes. There are six options given in this question lack of  advertisement, low product range, not stylish, high price range, weight and color, others. We will know from this question why they have not tried action shoes. It will help product offerings and us to strengthen the market potential.

14% 30%

LACK OF ADVERTISEMENT LOW PRODUCT RANGE  NOT STYLISH

19%

HIGH PRICE RANGE WEIGHT AND COLOR  8%

13% OTHERS 16%

80

FINDINGS:•

As I have mentioned earlier the majority of the people who have not tried action shoes are not aware of the brand and others are having negative attitude towards the brand due to factors like lack of advertisement, not stylish, low product range, weight and color.

ANALYSIS:•

Action shoes must focus on promotional activities so that a greater awareness can  be created among the people.

•

Style, product range, weight and color should be modified according to latest trends and by taking people opinion.

•

Some people are considering action shoes to be highly price. This problem can be addressed by introducing products in lower price range or by adopting sales  promotion.

•

Action has to come up with new ways of communication their offering to customer like newer advertisement to attract newer generation

81

QUESTION 10WHAT

PRICE

RANGE

DO

YOU

USUALLY

PAY

FOR 

“ACTION SHOES”?

OBJECTIVES: •

This question is meant to know people’s mindset regarding the value for money of action shoes. As in the previous question some people thought that action shoes to be highly price. We are just trying to know the customers perceived value for  action shoes.

6% 18% LESS THAN 1000 RS 44%

1000-1500 RS 1500-2000 RS RANGE DOESN'T MATTER 

32%

82

FINDINGS:-

•

In this question we find that 44% people are comfortable to give up to 1000 RS, 32 % between 1000-1500 RS, 18 % 1500-2000 RS, and rest 6% do not bother for  money.

ANALYSIS:-

•

As we are seeing that action shoes is addressing all the price range quoted by   people. Hence it cannot say that action shoes are highly priced. barring a few customers who have a opinion about action shoes that it is highly priced.

•

As the price more than 75% people approve range of action shoes. We must try to add more products in this range and see the buyer purchasing power.

83

QUESTION 11MOST PREFERED BRAND OF ACTION AMONG PEOPLE YOU KNOW? OBJECTIVE:•

From this question we want to identify the popularity of various brands of action shoes. It will tell us at which product we should concentrate more.

DON'T KNOW

9

FLY FLOAT

8

MICRO

4

FLOTTER 

18

HEALTH PLUS

3

MILANO

6

CAMPUS

53 0

10

20

30

40

50

60

FINDINGS:•

From this question it is clear that campus is the most popular brand among the respondents then flotter followed by don’t know, fly float, milano, micro and health plus.

84

ANALYSIS:•

With the help of known brand we can position our another brand like .

•

In above findings 9 respondents said that they don’t know about action’s brand so we should run Brand awareness campaign (celebrity endorsement) promotions.

85

QUESTION 12- WHAT TYPES OF PROMPTIONAL TOOL YOU PREFER?

OBJECTIVE:-

To identify the various ways of promotional activities to increase the volume of sales.

BUY ONE GET ONE FREE

19

DISCOUNT

54

FREE GIFT

15

LUCKEY COUPON

12

0

10

20

30

40

50

60

FINDINGS:•

According to the above bar diagram we came to know that more than 50 respondents prefer to have a discount promotional toolin order to save their  money. where as 19 respondents go for buy one get one free and remaining respondents prefer to have free gift and lucky coupon respectively 15 and 12.

86

ANALYSIS:•

From the finding we came to know that the majority of the respondents prefer to select discount promotional tool rather than any other else. So, the company should focus more on special discount promotional activities to attract more customer and market potential.

87

CHAPTER 6 -LIMITATIONS OF RESEARCH

•

The geographical area was very much limited to residential area & so the results are not particularly reflection of the current behavior.

•

Compare the market potential of North Delhi:- the sample size of 100- target Audience is relatively small. This doesn’t represent the true picture.

•

Most of the targeted audiences were not aware about various brands names.

•

Due to limited time period and constrained working hours for most of the Respondents, the answers at times were vague enough to be ignored.

88

CHAPTER 7 – CONCLUSIONS AND RECOMMENDATIONS

•

From the above finding we can say that most of the people wear shoes but there is a market, which is, still remain unexplored and unstructured.finding also suggest that the business potential is still wear shoes from this market, From the above finding it can say that a well-known brand only one of the factor for buying shoes  but not the necessary factor.

•

Action and Reebok both simultaneously standing at third place; it shows that it has some brand value in the mind of customer.

•

As we know from the findings that maximum number of people are using un  branded product or lesser known brand so we an target this particular market also  by better availability of products, pricing and promotion strategies. As this market shows great business potential.

•

Here we have an opportunity to find the cause of dissatisfaction and try to find the solution. And hence make these customer switches to Action shoes. We can also take the suggestion for improvement of our brand and product portfolio.

•

The success of any brand lies in many factors like comfort, style, lightweight, durability, price independently or in combinations.

•

From the finding we can carry out the strength and weakness analysis of our own  brand. we can leverage out our strength like comfort and price at the same time work on other factors to give the customer complete range of product.

•

People generally want to be associated with a brand, which has more brand awareness as this is not much in case of action shoes, we need to improve upon it. 89

•

More design and more product range are factors internal to the company and can   be improved. Some respondents also suggested that we should have product of  lesser price range so Action should consider this also.

•

An action shoes is having the product in the price range of below 600 to 1500 RS. Though we are addressing the larger mass but still we are not touching around 52 % of the total audience. This indicates in market having great potential is still unexplored by Action shoes.

•

If we can introduce shoes up to the range of 4000 RS then we can also cater to a larger audience at higher end.

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As action shoes has less presence in terms of exclusive showrooms and shopping malls. it is loosing a great market because it was clearly indicated by the respondents that maximum shoes are bought from these places.

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Though the good presence in near by shoe centers giving action shoes around 27% exposure but it is very negligible if we see the size of the market.

•

Action shoes have to communicate to target audience by retailing their product in marketing to the masses

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Action shoes Must try to address the masses of customers who have never tried Action. This can be done through different promotional activities.

•

Action shoes must focus on promotional activities so that a greater awareness can  be created among the people.

•

Style, product range, weight and color should be modified according to latest trends and by taking people opinion.

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Some people are considering action shoes to be highly price. This problem can be addressed by introducing products in lower price range or by adopting sales  promotion. Action shoes has to come up with new ways of communication their  offering to customer like newer advertisement to attract newer ge neration

•

As we are seeing that action shoes is addressing all the price range quoted by   people. Hence it cannot say that action shoes are highly priced. barring a few customers who have a opinion about action shoes that it is highly priced.

•

As the price more than 75% people approve range of action shoes. We must try to add more products in this range and see the buyer purchasing power.With the help of known brand we can position our another brand.

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we should run Brand awareness campaign (celebrity endorsement) promotions.

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www.actionshoes.com

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www.sportsshoes.com

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www.design-technology.org

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http://www.google.com

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http://www.sz-wholesale.com

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www.nike.com

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www.adidas.com

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www.reebok.com

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www.puma.com

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www.marketresearch.com

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www.marketresearchworld.net 92

QUESTIONNAIRE

I AM PURSUING POST GRADUATE STUDENT OF EMPI BUSINESS SCHOOL. CONDUCTING A SURVEY. NAME OF THE OF THE PROJECT TITLE- HOW TO EVALUTE BUSINESS POTENTIAL AND IDENTIFY PRODUCT OFFERING OPPURTUNITY FOR ACTION SHOES IN NORTH DELHI REGION. ALL INFORMATION COLLECTED WILL BE APPLIED FOR INTERNAL USE ONLY. PLEASE TAKE SOME TIME TO HELP ME FINISH THE QUESTIONNAIRE. THANK  YOU.

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1- DO YOU WEAR SHOES ?

YES

NO

2- IF YES, WHICH BRAND DO YOU PREFER ?

ACTION

NIKE

LIBERTY

ADIDS

REEBOK 

BATA

OTHERS ( SPECIFY)

3- ARE YOU SATISFIED WITH THE QUALITY OF YOUR PREFERED BRAND ?

YES

NO

4- IF YES, WHICH FEATURES AFFECT YOU MOST

BEFORE BUY YOUR 

PREFERED BRAND ?

COMFORT

LIGHT-WEIGHT

PRICE

DURABILITY

STYLE

ANY OTHER-

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MORE THAN ONE FACTOR(PLEASE SPECIFY)-

5- IIF NO, WHAT KIND OF CHANGES YOU WOULD LIKE TO SUGGEST FOR  “ACTION SHOES” ?

MORE PRODUCT RANGE

LOW PRICE RANGE

DESIGN/STYLE

CANGE IN PROMOTIONAL ACTIVITIES

6-HOW MUCH YOU CAN AFFORD FOR YOUR DREAM SHOE ?

LESS THAN 1000 RS.

2000-4000 RS.

1000-2000 RS.

4000-6000 RS

MORE THAN 6000 RS

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7- WHERE DO YOU LIKE TO GO FOR BUY A SHOE ?

 

NEAR BY SHOES SHOP

SHOPPING MALL

BRANDED SHOWROOM

ON LINE

8-HAVE YOU EVER BUY “ACTION SHOES” ?

YES

NO

9- IF NO,WHY ?

LACK OF ADVERTISEMENT

 

NOT STYLISH

WEIGHT AND COLOUR

LOW PRODUCT RANGE

HIGH PRICE RANGE

OTHERS (PLEASE SPECIFY)

10- WHAT PRICE RANGE DO YOU USUALLY PAY FOR “ACTION SHOES” ?

LESS THAN 1000 RS

1000-1500 RS

1500-2000 RS

RANGE DOESN’T MATTER  96

11- MOST PREFERED BRAND OF ACTION AMONG PEOPLE YOU KNOW ?

CAMPUS

MILANO

FLOTTER

MICRO

HEALTH PLUS

FLY FLOAT

12- WHAT TYPES OF PROMPTIONAL TOOL YOU PREFER ?

LUCKEY COUPON

DISCOUNT

FREE GIFT

BUY ONE GET ONE FREE

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98

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