Every business organization that comes into contact with the customer
develops a perception in the mind of the customer. Today, in this
competitive world every organization needs to know the perception in
the mind of the customers. In order to gain mind share or heart share
of customers along with the market share is the main lookout for the
organizations. Especially in consumer electronics sector, where the
products are more or less same, the only way to leave positive impact
on customer’s mind and to gain competitive advantage is providing
best possible services to the customers.
Introduction part of this report is classified into two different sections.
1. Problem Statement
The principle cause behind this project is to know that to what
level customers are enjoying and aware of videocon TV offered
by the company and what further improvement can be done in
future in this area so as to get brand awareness.
To have an overview of videocon.
To know the reputation of videocon T.V. in the market.
How the consumer preference towards the brand videocon.
The main objective how to increase the reputation of
videocon brand in the market.
To understand its competitors in business.
How videocon will create a good image in the market.
To understand the 4 Ps used by the videocon in business
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 1
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 2
Before the liberalization of the Indian economy, only a few companies like
Kelvinator, Godrej, Allwyn, and Voltas were the major players in the consumer
durables market, accounting for no less than 90% of the market. Then, after the
liberalization, foreign players like LG, Sony, Samsung, Whirlpool, Daewoo,Aiwa
came into the picture. Today, these players control the major share of the consumer
Consumer durables market is expected to grow at 10-15% in 2007-2008. It is growing
very fast because of rise in living standards, easy access to consumer finance, and
wide range of choice, as many foreign players are entering in the market.
Consumer durables are the products whose life expectancy is at least 3 years. These
products are hard goods that cannot be used up at once.
Consumer durables Sector can be classified as follows:
1. Consumer Electronics includes VCD/DVD,home theatre,music players, color
televisions (CTVs), cameras, camcorders, portable audio, Hi-Fi, etc.
2. White Goods include dishwashers, air conditioners, water heaters,washing
machines, refrigerators, vacuum cleaners,kitchen appliances, non-kitchen appliances,
microwaves, built-in appliances, tumble dryer, personal care products, etc.
3. Moulded Luggage includes plastics.
4. Clocks and Watches
5. Mobile Phones
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 3
4. ABOUT CONSUMER ELECTRONICS INDUSTRY
1.History of consuemr Electronics in India
The Electronics Industry in India took off around 1965 with an
orientation towards space and defense technologies. This was rigidly
controlled and initiated by the government. This was followed by
developments in consumer electronics mainly with transistor radios,
Black & White TV, Calculators and other audio products. Colour
Televisions soon followed. In 1982-a significant year in the history of
television in India – the government allowed thousand of Colour TV
sets to be imported into the country to coincide with the broadcast of
Asian Games in New Delhi. 1985 saw the advent of Computers and
Telephone Exchanges, which were succeeded by Digital Exchanges in
1988. The period between 1984 and 1990 was the golden period for
electronics during while the industry witnessed continuous and rapid
From 1991 onwards, there was first an economic crises triggered
by the Gulf War, which was followed by political and economic
uncertainties within the country. Pressure on the electronics industry
remained though growth and developments have continued with
digitalization in all sectors and more recently the trend towards
convergence of technologies.
In recent years the electronic industry is growing at a brisk pace.
It is currently worth $ 10 Billion but according to estimates, has the
potential to reach $ 40 billion by 2010. The largest segment is the
consumer electronics segment. While is largest export segment is the
consumer electronics segment. While is largest export segment is of
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 4
5. The breakup of production in various segments the industry is shown
1950s Radios -imported & Sold
Late 1960s B&W TV Transmission started
1970s Manufacturing of B/W TV started
1982 Colour TV Transmission, Manufacturing of CTV started
1992 Economic Liberalization Process initiated
1993-94 Dismantling of controls such as licences,
Ban on use of Foreign Brand Names etc.
1994-95 Entry of MNCs – Panasonic, Sony, LG, Samsung etc.
Lowering of Import duties.
Cable TV Started.
1995 Till Date Entry of Many MNCs & Rapid Growth,
Continuous Lowering of Import Duties
2001 Non tariff Barriers on Imports removed.
2004 Free Trade Agreement (FTA) with Thailand implemented,Resulting
in reduction of import duties to 0% on Colour Television sets,
Colour Picture Tubes, Refrigerators and Air Conditioners, thus
2005 DTH Services Started
2007 Entry of Organised Retail
2008 FTAs with other countries & FDI in retail likely.
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 5