0601033 to measure market potential for greaves gensets in pune city

A Project Report On
“To Measure Market Potential for Greaves Gensets in Pune City”
For “Greaves Cotton Limited (Diesel Engines Unit)”
By
Naresh B. Mahajan
Under the Guidance of
Prof. Mahesh Gadekar
Submitted To
University Of Pune
In partial fulfillment of the requirement for the award of the degree of Master of
Business Administration (MBA)
Through
Vishwakarma Institute of Management
Pune-48

ACKNOWLEDGEMENT
This project has been made possible through the direct and indirect cooperation of
various persons for whom I wise to express my appreciation and gratitude.
I express my deep respect and gratitude from the care of my heart to my Project
Leader at Greaves Cotton Ltd., Mr. Shashikant Singh for his continuous help,
guidance and co-operation. He always extended his help whenever required.
I am deeply obliged to my Project Guide Mr. Mahesh Gadekar for his valuable
suggestions and expert guidance in the subject and taking keen interest in all aspect of
bringing this project to almost standard.
I express my gratitude towards our IT Professor Mr. Vishal Soni of VIM.
It is with a profound sense of gratitude that I acknowledge the constant help and
encouragement from our Director Dr. Sharad Joshi.
I am extremely grateful to all maintenance managers of different companies for their
co-operation. I also like to thank my friends for their help given to me during my
project.
Naresh B. Mahajan
2

CERTIFICATE
To Whomsoever It May Concern
This is to certify that Mr. Naresh B. Mahajan is a bonafide student of our institute.
He has successfully carried out his summer project titled “To Measure Market
Potential For Greaves Gensets in Pune” for Greaves Cotton Ltd. This is the
original study of Mr. Naresh B. Mahajan & important sources of data used by him
have been acknowledged in his report.
The report is submitted in partial fulfillment of two years full time course of Masters
in Business Administration (2006-2008) as per the rule.
Prof. Mahesh Gadekar Dr. Sharad Joshi
(Project Guide) (Director)
(Vishwakarma Institute Of Management)
3

INDEX
SR.NO. TITLE PAGE NO.
01 Executive Summary
5
02 Company Profile
6
03 Objectives of the Study
21
04 Research Methodology
24
05 Data Analysis
29
06 Findings
45
07 Suggestions & Conclusions
46
08 Limitations
48
09 Bibliography
52
EXECUTIVE SUMMARY
5

This project was carried out at Greaves Cotton Ltd, Chinchwad, Pune. The
project title is Market Potential of Gensets in Pune. The duration of the project was
two months from 1st June 2007 to 31st July 2007. My project work was to find out
market potential, market positioning of greaves gensets and find new business
opportunities.
The present scenario of gensets and its demands are soaring rapidly. With the
emphasis on work continuity and its flow, intervention due to lack of electricity is not
excused. The problem with the Maharashtra State Electricity Board still continues and
the government load shedding plans for power crisis is a big problem.
The company manufactures wide range of diesel engines. The Greaves Oil
Engines are famous worldwide for their quality. Although greaves is established since
so long, it isn’t the numero uno leader. Its market share is less in the 100kva range,
where Cummins is the leader. But it has a good share in the more than 100kva range,
yet over here KOEL and Cummins surpass Greaves.
All data that was required for this project has been through interviews and
questionnaires which is the primary source. Then the secondary data collected was
through internet, magazines etc.
Greaves Cotton Ltd produces the best diesel engine which is superior in many
aspects, yet it isn’t in the usual run of the mill market. The marketing department isn’t
delivering up to its required potential. A radical change is needed to overcome
marketing deficiency. Then again aggressive and widespread advertising needs to be
done, thereby taking corporate brand image from a mediocre to a class apart one.
COMPANY PROFILE
6

HISTORY
The history of the Greaves Cotton Ltd. goes back to 1859, when Mr. James
Greaves had set up shop in Broach (Gujarat) under sole proprietorship. In 1868, Mr.
James Greaves and Mr. George Cotton joined forces and took their respective
surnames to form the partnership firm of Greaves Cotton and the company on 29th
march, 1922 was incorporated into Ltd. Concern.
After independence in 1947, the company was brought over by Lala
Karamchand Thapar.In 1955; the plant was shifted to Pune when two companies
started manufacturing of high speed inline vertical YD series engines in 1961. It also
started YW series engines in 1971 in full flow power requirements of market.
The company has established its new plant in 1981, to manufacture Greaves
MWM diesel engines, in which it has got technical collaboration with Morton Works
Mannheim AG Germany. Since 1981, 232 series are being manufactured and
subsequently in 1981, it has started with 234 series engines. Advantages seen is high
power to weight ration compact full, efficient etc. Thus the name Greaves Ltd. was
given in 1993 and today the Greaves forms a significant part of the Thapar Group of
Companies
ABOUT DEU
Diesel Engine Unit (DEU), formerly known as Ruston and Hornsby Ltd. is
located at Chinchwad, Pune- 411019
M/S Ruston and Hornsby was incorporated in 1929 as a Pvt. Ltd. Company
and was jointly promoted by M/S Greaves Cotton and Ruston. The company was first
established as a pilot plant at Sion road, Bombay where it commenced Ruston slow
speed horizontal diesel engine.
7

In 1955 the plant was shifted to Pune when two companies “Greaves Cotton”
and “Ruston and Hornsby”, Lincon, UK, collaborated with technical know how
Ruston and Hornsby Ltd.
Today the Greaves forms a significant part of the Thapar Group Of Companies
PRODUCT RANGE
The company manufactures wide range of diesel engines. The Greaves Oil
Engines are famous worldwide for their quality. At present following type of engines
are manufactured.
 YD/YW series of engines are manufactured in the range of 10 BHP to
175BHP.
 ‘D’ series engines.
PHOTOGRAPHS OF VARIOUS TYPES OF GENSETS
8

To manufacture and market a wide range of high quality products, services
and system of world class technology to the total satisfaction of the customer and
domestic and overseas market.
HRD philosophy is to create an environment of openness and trust which
individuals are provided with opportunities and training to function the best of
intellectual reward in keeping with their performance and help Greaves to achieve its
immediate and long term corporate objectives.
QUALITY POLICY
The quality policy of the Greaves company shall be to design, manufacture
and market engineering products at competitive costs of such quality, which results in
total customer satisfaction and product leadership.
CORPORATE OFFICE
The company has its corporate office at Mumbai, which has the corporate staff
department such as Managerial, Human Resource Department, Accounts and
Taxation, corporate planning and development, commercial, Technology and
communication.
BUSINESS CENTERS
10

The company has four business centers in India.
1 Mumbai Head office of Western Region
2 New Delhi Head office of Northern Region
3 Kolkatta Head office of Eastern Region
4 Chennai Head office of Southern Region
BRANCHES AND OTHER OFFICES
Ahmedabad Bangalore Bhopal
Bhubaneshwar Gandhinagar Cochin
Coimbature Goa Guwahati
Hyderabad Jaipur Lucknow
Nagpur Ranchi Manchenster
U.K. Moscow(Russia) Singapore
THE BUSINESS GROUPS
The company has four business groups, consisting of manufacturing and
marketing set up namely –
1. Power Generation
2. Agro Equipments
11

3. General Engineering
4. Industrial Product
The company has also international operations and integration system
division.
CUSTOMER SERVICES
The company is mainly supplying engines for the military and the railways.
This order is supplied by the company in its own name bit with the contracts with the
Mahindra OVEANS for the Trailer and Kirloskar for the Alternator.
The company has exported its product to the following countries,
1. UK
2. Tanzania
3. Australia
4. Kenya
5. Lebanon
6. Jordan
7. Peru
8. Mauritius
9. Philippines
10. Singapore
11. Malaysia
12. Malawi
12

13. South Vietnam
14. Nigeria
DEPARTMENTS AND FUNCTIONS
1. Personnel Department And Industrial Relation
I. Manpower planning for bargainable and non bargainable employees.
II. Recruitment
III. Trade Union
IV. Negotiations and collective bargaining
V. Welfare committee
VI. Safety
VII. Agreements
VIII. Court proceeding
2. Commercial Department
I. To receive information regarding all requirements of material and
equipment of various department.
3. Production Department
I. Production planning and control
II. Plans production programme, preparing schedules
III. Control issues of workshop
13

4. Quality Control Department
I. Inspect the work at various station
II. Inspect while assembly and testing.
5. Industrial Engineering And Testing
I. To set various working standards
II. Cost optimization
III. Work strictly
IV. Plan layout.
COMPANY MANAGEMENT:
Board of Directors
Mr.Karan Thapar
(Chairman)
↓
14

Mr.Praveen Sachdev
(MD And CEO)
↓
Mr. Sukumar Mukhopadhjay
↓
Mr.Vijay Rai
↓
Mr Brij Mohan Thapar
↓
Mr Gautam Thapar
↓
Dr Surinder Kapur
↓
Dr Suresh Talwar
The ranges of dg sets are as follows:-
Units
Products Range Applications /
Industry
Diesel
Engines
Unit,
Pune
Diesel
Engines
Air Cooled
10-110 Hp
Water Cooled
: 10-1000 Hp
Winches,
Compressors,
Pumpsets, Fire
Fighting Pumps,
Construction
15

Equipments,
Industrial,
Locomotive, Marine &
Defence Vehicles
Gensets
7.5 - 520
kVA
DG Set with SRCP /
AMF / Synchronising
Panel. Also available
Greaves Whispower
Acoustic D6 Sets,
Trailer Mounted Sets.
Dual Fuel
Engines /
Gensets
30 - 400 kVA
Engine / Genset
Working on Various
Fuels Like natural
Gas, Producer Gas &
Bio-gas
Gas
Gensets
25 kVA, 37.5
kVA, 125-
300 kVA
Foundry
Unit,
Pune
C.I. & S.
G. Iron
Castings
Machine
Molding :
5 - 100 Kg. Per Piece
Brake Drums,
Axle, Housings,
Wheel Hubs,
Differential
Cases, Cylinder
Heads, Crank
Cases, Exhaust
Manifolds & Gear
Cases.
Hand
Molding :
Shell
Molding :
LITERATURE REVIEW
Generator converts the mechanical energy into electrical energy by using
different fuels. Generator gives economical, uninterrupted, reliable power, wherever
and whenever you need it to keep working in the different industries without
interruption. Due to the high growth of industries and scarcity of the electric power,
many industries require standby power generation unit to work 24*7 without any
interruption. So to fulfill this requirement generator is the technically perfect solution
with best fuel efficiency and emissions.
16

The generators are classified on the basis of use of fuel like:
 Petrol generator
 Diesel generator
 Gas generator
 Dual fuel generator
Petrol generator is not preferred in our country because the price of the petrol
is much high, so the use of petrol generator is much less. Gas generator uses different
types of gas as fuels like LPG, natural gas and propane. But still it is not much in use.
Also duel fuel generator is not in use. Diesel powered generator sets remain the
number one choice for standby and emergency power systems worldwide. Able to
start and assume load in less then 10 seconds and price of diesel is also less compared
to petrol.
There are many companies that make diesel generators. Some of major companies in
India are:
 Kirloskar
 Cummins
 Greaves
 Caterpillar
The generators are used in industries, agriculture, construction, multiplexes,
power generation and so on. Diesel generator has two parts one is engine and second
17

is alternator (Electric). Mainly generator is known by an engine of the make the
selection of the diesel generator is done on different criteria like: range of the
generator, generators come with different KVA rating like 15 KVA, 20 KVA, 25
KVA, 30 KVA, 35 KVA, 40 KVA, 45 KVA, 50 KVA, 62.5 KVA, 75 KVA to 2000
KVA, 3000 KVA and 6375 KVA and so on. The diesel generator is also selected on
the base of starting system like automatic or manual diesel generator. Automatic
diesel generator will start automatically when in case of manual diesel generator,
when power is off you have to start manually like you start your car. Also there are
many other criteria like fuel efficiency, emissions, product features etc.
Total Market Potential
Total market potential is the maximum amount of sales that might be available
to all the firms in an industry during a given period under a given level of industry
marketing effort and given environmental conditions. A common way to estimate
total market potential is as follows: Estimate the potential number of buyers times the
average quantity purchased by a buyer times the price. If 100 million people buy
books each year, and the average book buyer buys three books a year, and the average
price of a book is $10, then the total market potential for books is $3 billion (100
million _ 3 _ $10). The most difficult component to estimate is the number of buyers
in the specific product or market. One can always start with the total population in the
nation, say 261 million people. The next step is to eliminate groups that obviously
would not buy the product. Let us assume that illiterate people and children under 12
do not buy books, and they constitute 20 percent of the population. This means that
only 80 percent of the population, or approximately 209 million people, would be in
the suspect pool. We might do further research and find that people of low income
18

and low education do not read books, and they constitute over 30 percent of the
suspect pool. Eliminating them, we arrive at a prospect pool of approximately 146.3
million book buyers. We would use this number of potential buyers to calculate total
market potential.
Area Market Potential
Companies face the problem of selecting the best territories and allocating
their marketing budget optimally among these territories. Therefore, they need to
estimate the market potential of different cities, states, and nations. Two major
methods of assessing area market potential are available: the market-buildup method,
which is used primarily by business marketers, and the multiple-factor index method,
which is used primarily by consumer marketers.
Market Potential
It is an estimate of the maximum possible sales of a commodity, a group of
commodities, or a service for an entire industry in a market during a stated period.
It is the estimated size of total present or future market and alternatively, the
maximum share of a market which can be reasonably achieved during a defined
period.
Market Potential data measures the likely demand for a product or service in a county,
ZIP Code, or any other defined trade area. Businesses and other organizations use
Market Potential data to make decisions about where to offer products and services.
With Market Potential Data You Can
 Optimize your merchandise mix
 Invest marketing dollars more effectively
19

 Develop successful advertising and marketing plans
 Decide which expansions are most profitable
Why Use Market Potential Data?
Market Potential data helps companies understand, predict, and influence
consumer behavior by providing insight into areas with the highest growth potential.
This allows you to make informed decisions about products and services based on the
latest trends and consumer demand.
Customer satisfaction
Customer satisfaction, a business term, is a measure of how products and
services supplied by a company meet or surpass customer expectation. It is seen as a
key performance indicator within business.
In a competitive marketplace where businesses compete for customers,
customer satisfaction is seen as a key differentiator and increasingly has become a key
element of business strategy
Customer satisfaction is an ambiguous and abstract concept and the actual
manifestation of the state of satisfaction will vary from person to person and
product/service to product/service. The state of satisfaction depends on a number of
both psychological and physical variables which correlate with satisfaction behaviors
such as return and recommend rate. The level of satisfaction can also vary depending
on other options the customer may have and other products against which the
customer can compare the organization's products because satisfaction is basically a
psychological state, care should be taken in the effort of quantitative measurement,
although a large quantity of research in this area has recently been developed
20

Increasing competition (whether for-profit or nonprofit) is forcing businesses to pay
much more attention to satisfying customers
PROBLEM STATEMENT
1. To achieve a market share of 10% from the current 4% within a year’s time
with existing below 100KVA gensets and also improve the market share in the
above 100KVA gensets for Greaves Cotton Ltd.
2. Appropriate product positioning of Greaves gensets in the market needs to be
decided and done according to the needs and wants of the customer.
21

OBJECTIVES
1. To measure out the market potential.
Market potential for the gensets needs to be found out, thus benefiting the
company. Unless the market potential isn’t been rightly found and tapped, it can
be detrimental to the company.
2. To find out the needs of the customers.
Every customer has his needs which the company has to fulfill to provide
maximum customer satisfaction because customer satisfaction is very important.
3. To find out new business opportunities.
Finding new business opportunities is very important for any company for the
growth of his business and only then will the company prosper.
4. Market positioning of Greaves gensets
The market positioning for any company is highly important and that needs to
implemented
5. To find the obstacles and compare existing system used by the companies
There are always some obstacles, loopholes and drawbacks in any organization .
Hence these need to be found out and improved. Also the comparison of existing
system used by the companies is important.
22

SIGNIFICANCE
1. MARKET POSITIONING
The consumers of gensets are varied and diverse. Thus the wants, demands
and expectations from each are also varied. Still the product must be the first
and best choice for the customer, among similar products. Thus here, market
positioning is highly important.
The residential customers, who stay in these huge residential buildings,
give utmost importance to brand name. Hence such preference factors also
needs to be considered .
2. INTIMATE THE COMPANY ABOUT THE POTENTIAL MARKET
As electricity backup is almost indispensable in very every field, there is a
huge potential market for gensets. Its only that the type of genset required in
each case is different. The major buyers of gensets were the construction
companies, who required high KVA rated gensets, which is lucrative for
Greaves.
3. INVALUABLE SUGGESTIONS TO ORGANISATION REGARDING THE
MARKETING DEPT
The company needs to concentrate much more in their marketing section,
as their R&D is doing quite well. More attention needs to be given to
advertising and even brand awareness.
23

RESEARCH METHODOLOGY
Managers need information in order to introduce products and services that
create value in the mind of the customer. But the perception of value is a subjective
one, and what customer’s value this year may be quite different from what they value
next year. As such, the attributes that create value cannot simply be deduced from
common knowledge. Rather, data must be collected and analyzed. The goal of
marketing research is to provide the facts and direction that managers need to make
their more important marketing decisions. To maximize the benefit of marketing
research, those who use it need to understand the research process and its limitations.
24

Meaning:
Research means the process of getting knowledge and that can be carried out
either arbitrarily or in a systematic fashion. It is a purposive investigation.
Research process involves defining the problem, formulating the hypothesis,
organizing and evaluating the data, deriving inference and conclusion after
careful testing.
Definition:
According to Bery “A careful investigation or inquiry specially through search
for new facts in any branch of knowledge.”
Redman and mory defined research as “Systematized effort to gain new
Knowledge.”
Marketing Research vs. Market Research
These terms often are used interchangeably, but technically there is a
difference. Market research deals specifically with the gathering of information about
a market's size and trends. Marketing research covers a wider range of activities.
While it may involve market research, marketing research is a more general
systematic process that can be applied to a variety of marketing problems.
The Value of Information
Information can be useful, but what determines its real value to the
organization? In general, the value of information is determined by:
25

The ability and willingness to act on the information.
The accuracy of the information. The level of indecisiveness that would exist without
the information.
The amount of variation in the possible results.
The level of risk aversion.
The reaction of competitors to any decision improved by the information.
The cost of the information in terms of time and money.
The Marketing Research Process
Once the need for marketing research has been established, most marketing
research projects involve these steps:
1. Define the problem
2. Determine research design
3. Identify data types and sources
4. Design data collection forms and questionnaires
5. Determine sample plan and size
6. Collect the data
7. Analyze and interpret the data
8. Prepare the research report
For every comprehensive research, a proper research methodology is
indispensable and it has to be properly conceived. The methodology adopted by
me is as under:
Data to be collected
26

Data includes facts and figures, which are required to be collected to achieve the
objective of the project. In order to determine the current market size, potential
and market share of the Greaves Cotton Ltd., the information needed to be collect can
be classified into following two types-
Primary Data
The data that is collected at hand and for the first time or to particularly fulfill
the objective of the project and happen to be original in nature is known as the
primary data.
The primary data were collected through, project Managers, site managers, etc. and
managers of and site managers and survey was conducted through interview,
observation, and questionnaire prepared for them.
Secondary Data:
Secondary Data Secondary data are that type of data, which are already collected,
available, analyzed, or assembled by someone else. And need not to collected from
outside. These types of data were
a. Company profile
b. Product profile
c. Competitor knowledge
The aforesaid data were collected through Internet and company s financial
reports, newspapers, and interior products magazines.
Data Collection Method
For given project, the primary data was more significant. This type of
information gathered through survey technique, which is the most popular and
effective technique for correct data collection. The survey was completed with
27

the use of questionnaires and observations. There was questionnaire for survey
of Project Managers, Site Managers, etc.
a) Questionnaire for Project Managers, Site Managers, etc.
b) Observations
Dealers and retailers as the elements of channel of distribution are the most
significant for the success of a building material product; they were taken under
consideration as the samples for the survey. The questionnaire is present further
in the annexure.
Sampling
Sample is the small group taken under consideration from the total group. The
small group represents the total group, in the project the market segment, which
was ask to be studied was Pune market but there was a limitation of the
project to approach all the Project Managers, Site Managers, etc. of the city.
Calculation of sample size is based on random sampling technique for the
project & contact method is direct survey.
Sample Space - Pune Market
Samples - Project Managers, Site Managers, etc
Sampling Technique Random Sampling
Sample Size 45 Project Managers, Site Managers, etc.
Contact method Direct Survey
Pune more than 500 projects available but for the study of this particular
project, the above mentioned samples were selected because of the
constraints like geographical coverage, time frame of the project.
28

Data Evaluation
The extensive data collected through the questionnaires was evaluated to arrive
at the market size, market potential of the company. This
compilation was put into the charts for getting the information at a glance and
easy availability for ready reference.
SCOPE OF RESEARCH
1. Survey was limited to Pune only. Larger potential markets outside Pune
were untapped. Hence we need to explore untapped market.
2. Unawareness of genset is limited to handful of general public.
Importance of gensets needs to be created on a larger scale, thereby enhancing
the sales of gensets.
DATA ANALYSIS AND INTERPRETATION
Market share of different companies in diesel generator: -
29

MARKET SHARE OF VARIOUS COMPANIES IN
GENSETS
0
10
20
30
40
50
kirloskarcum
m
ins
caterpillargreaves
ashok
leyland
ruston
kohlerdetroiltopeeleicher
fujidieselcham
p
om
kerpeter
atlas
copco
COMPANIES
%SHAREINTHE
MARKET
Kirloskar is the market leader for Diesel Generator sets with 46% of market share.
Cummins is at 2nd position in the Diesel Generator sets with 37% of market share.
Whereas Caterpillar & Greaves have very less market share as compared to Kirloskar
& Cummins.
Others are nowhere in the market as compared to Kirloskar & Cummins.
Categorization of the respondents
The respondents were from various sectors and the various sectors were categorized
as
30

1. Industry(mechanical)
2. Services(telecom ,banks etc)
3. Infrastructure and real estate buildings
4. Government/PSU/defense
5. IT infrastructure
In the industry, we had the various mechanical industries ,who were into hard core
metal forging ,grilling and so on .
In the service sector, we had the companies like banking, telecom etc and so on, but
IT isn’t been included here
Infrastructure and real estate buildings include all the various housing colonies and
real estate buildings that are booming in this city.
Govt. /PSU/defense include all the defense and government offices as their demand is
also quite high.
IT infrastructure is been taken as completely different sector because IT is a the most
booming sector in India, especially in Pune. Hence there are many IT buildings that
are coming up in various parts. Various multi nationals want to set up their firm here.
Nature of the demands
The demand for gensets were different from sectors and also the range of KVA was
different .
31

Thus the demand in a particular sector was less in particular sector i.e. the quantity of
demand was less, but the range of KVA was of high value. Similarly the quantity of
demand was more,but the range of KVA was high.
A sector like the real estate sector had the demand of a genset of less range, which
was always less than 100KVA .Then a sector like the IT sector always had the
demand of genset which had had a range of more than 100KVA. This is because in
the IT sector the back up of electricity is of utmost important. There are so many
computers in this particular IT company that if there is any electricity problem the
whole system will go haywire.
Division of range of gensets
The gensets have been divided into two ranges viz
 Below the range of 100KVA and
 Above the range of 100KVA.
The division has been done in such a manner because this range segregation helps to
distinguish properly the demand nature of the gensets. This range segregation helps us
to understand and study properly the demand nature.
Demand from each sector
32

We surveyed 45 respondents from various sectors in two months and each sector had
their respective demand of gensets. According to our study, we made the following
observations-
Below 100 KVA range
SECTOR Industry Services
Infrastructure/
Buildings
Govt/
Defense
IT
DEMAND
IN NO.
7 3 0 0 0
Above 100 KVA range
SECTOR Industry Services
Infrastructure/
Buildings
Govt/
Defense
IT
DEMAND
IN NO
0 4 10 5 21
Thus the demand of gensets below 100KVA is as follows:
33

Thus the demand for gensets above 100KVA range is as follows:
Total demand of the gensets according to various sectors is as follows:
No. of DG sets required
Industry
7
Services
3
IT
0
Infrastructure/
Buildings
0
Govt/defense
0
Industry
Services
Infrastructure/
Buildings
Govt/defense
IT
Industry, 0
Services, 4
Infrastructure,10
Govt/defense, 5
IT, 21
Industry
Services
Infrastructure
Govt/defense
IT
34

Industry, 7
Services, 7
Infrastructure,
10Govt/defense, 5
IT, 21
Industry
Services
Infrastructure
Govt/defense
IT
The above pie chart shows the overall demand of the gensets. This overall demand
includes both , the above 100KVA gensets and also the below 100KVA gensets.
The IT sector has the highest demand for the gensets, which is 21 in number. This is
because in the current scenario, there are many IT buildings coming up in the city and
thus there is huge demand of genset in this sector
The infrastructure/building sector also had a good demand, but all of them were below
100KVA gensets,which is 10 in number.
The industry,service and the Govt/defense sector had the demand of 7, 7 and 5
respectively.
The elements considered by respondents while buying gensets,as per the
questionnaire are:
35

 Price
 Brand Name
 Fuel efficiency
 Reliability
 Durability
 Ruggedness
 Warranty/Services
 Noise
All of the above factors are considered by any buyer while purchasing a genset. But
the big question that arises is that, what preference each buyer gives to each factor
while purchasing a genset.
Hence it is highly imperative that we need to find out which factor has the highest
preference by a buyer while purchasing a genset. Once we find the factors are
considered important by a buyer, the company can accordingly pay attention to these
factors.
Thus in this survey ,the respondents from various sectors were asked to rate a
particular factor. The rating scale had 4 as its highest point and 1 as its lowest point. If
a customer gave the highest preference to a particular factor while purchasing a
genset, then he would rate it as 4 out of 4.
The rating for the various parameters as per the questionnaire are as follows
36

 The respondent’s rating from the various sectors for ‘price’ is shown in the
form of bar graph as follows:
RATING (OUT OF 4) FOR 'PRICE'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Industry Services Infrastructure Govt/defense IT
SECTOR
RATING
1. The industry and the Govt/defence sector has given ‘price’ as the highest
priority
2. The service and infrastructure sector has rated ‘price’ as 3 out of 4
3. The IT sector has given it 2 out of 4.
 The respondent’s rating from the various sectors for ‘brand name’ is shown
in the form of bar graph as follows:
37

RATING(OUT OF 4) FOR 'BRAND NAME'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
SECTOR
RATING
1. The IT sector and the Infrastructure/building sector has given ‘brand name’ 4
out of 4. Thus they both give brand name the highest preference, whenever
they purchase a genset.
2. The service sector and the Govt/defense sector has given ‘brand name’ 3 out
of 4. That means it is important for them,but not that important.
3. The industry sector has rated it 2 out 4
38

 The respondent’s rating from the various sectors for ‘fuel efficiency’ is shown
in the form of bar graph as follows:
RATING(OUT OF 4) FOR 'FUEL EFFICIENCY'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
SECTOR
RATING
1. The industry sector and the infrastructure sector has ‘fuel efficiency’ its
highest preference,by rating it 4 out of 4.
2. The service,IT and the Govt/defense sector has rated it 3 out of 4. thus for
each of them .the fuel efficiency is important ,but its not of the highest
preference for them.
39

 The respondent’s rating from the various sectors for ‘reliability’ is shown in
the form of bar graph as follows:
RATING(OUT OF 4) FOR 'RELIABILITY'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
SECTOR
RATING
1. Over here all the sectors have given ‘reliability’ their highest preference ,as all
of them have rated them 4 out of 4. here we see that reliability in a genset is of
so much importance and this must be taken into consideration by the
company.
40

 The respondent’s rating from the various sectors for ‘durability’ is shown in
RATING (OUT OF 4) FOR 'DURABILITY'
0
0.5
1
1.5
2
2.5
3
3.5
SECTOR
RATING
1. The IT sector and the industry sector has rated ‘durabilty’ 3 out of 4. thus is
important for them,although not that important.
2. The service,infrastructure and the govt/defense sector has rated it 2 out of 4.
41

 The respondent’s rating from the various sectors for ‘ruggedness’ is shown in
RATING(OUT OF 4) FOR 'RUGGEDNESS'
0
0.5
1
1.5
2
2.5
3
3.5
SECTOR
RATING
1. The industry sector and the Govt/defense sector has ‘ruggedness’ as 3 out of 4.
2. Then the service ,infrastructure/building and the IT sector has rated it 2 out of
4.
42

 The respondent’s rating from the various sectors for ‘warranty/services’ is
shown in the form of bar graph as follows:
RATING(OUT OF 4) FOR 'WARRANTY/SERVICES'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
SECTOR
RATING
1. The industry,service and the Govt/defense sector has given
‘warranty/services’ as their highest preference by rating it as 4 out of 4
2. The infrastructure/building and the IT sector has rated it as 3 out of 4.
43

 The respondent’s rating from the various sectors for ‘noise is shown in the
form of bar graph as follows:
RATING (OUT OF 4) FOR 'NOISE'
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
SECTOR
RATING
1. The service and infrastructure/building and the IT sector have rated ‘noise’ 4
out of 4. hence they give the noise free factor in a genset ,the highest
preference.
2. the industry and the Govt/defense sector rates it 3 out of 4.
Thus from the graphical representation we see that,
1. POTENTIAL
IT sector has the maximum potential (42%) in the present market scenario, as
there are so many IT buildings coming up and all require high KVA gensets. Then
the industrial sector (14%) follows with the other sectors behind it.
44

2. PREFERENCES
Preferences of the all the sectors are as follows:
SECTOR PREFERENCE
Industry
Price, fuel efficiency, reliability,
warranty/services
Services Reliability, warranty/services, noise
Infrastructure/buildings
Brand name, fuel efficiency, reliability,
noise
Govt./defense
Price, reliability, warranty/services
IT sector Brand name, reliability, noise
FINDINGS
45

1. Among all the preferences given to the respondents, most of them rated
reliability as the most important factor. Thus reliability in a genset must be
the given paramount importance.
2. Among the areas which have maximum potential, we have the IT sector
having the highest potential in the current scenario.
3. Greaves has a good market share in the market, but it can go way ahead with
proper market positioning, marketing strategies and customer satisfaction.
SUGGESTIONS
46

1. The marketing strategies need to be revised and improved and aggressive
advertising needs to be done. The corporate brand of Greaves Cotton Ltd is
good but, it still needs to be enhanced further.
2. Greaves is doing well in the above 100 KVA market, but needs to improve in
the below 100 KVA market.
3. The after sales service isn’t at its best, so the after sales service needs to be
improved.
4. The spare parts are either costly or not easily available to the customers, which
can’t be ignored by any company.
5. Timely and prompt reply to the customer’s enquiry regarding the genset needs
to be done. Timely supply of the quotes to the customers is also important.
CONCLUSION
47

1. Market potential for the diesel generator industry is very good as there is a
huge demand for the diesel generators among the various sectors. Expansion is going
in almost every industry, so they need diesel generator sets to meet their power needs,
which they are unable to fulfill by the widespread load shedding problem. No
alternate technology is available that can be used as a standby power supply system.
2. As of now, the maximum potential lies in the IT sector,as IT is the most
booming sector and there are many IT firms coming up in Pune city. After this the
other sectors also have good potential.
3. With correct market positioning, the sales of the gensets will soar up.
Appropriate steps is needed to be taken for this purpose. Last but not the least,
reliability also played a major role in customers selecting a genset.
LIMITATIONS
48

In market research , the collection of correct data and other relevant
materials are required but the data collection depends upon the researcher and the
respondents. Hence some drawbacks or limitations are bound to exist in the study.
These limitations were as follows:
1) Mostly the civil industry was targeted.
Out of all the major industries, mostly the civil and the construction industry
was targeted, as this sector has been the most lucrative sector for the company
till date
2) Study was limited only upto Pune city
This study was limited to Pune industrial areas but the findings may differ for
other parts of India where I have not visited.
3) Telephonic interviews were conducted in some cases
Places where the respondents were not physically met, telephonic interviews
were carried out.
4) No Proper Information
In some cases I have observed that after asking questions to concerned person,
he gives wrong answer to the question or says that he does not know.
E.g. - In some company even maintenance manager does not know KVA
rating at the diesel generator and the year of purchase.
5) Non-cooperative respondents:
49

Some times it happens that even after taking appointment they refuse to meet
due to work overload, lack of time or any other reasons. In some case it
happened that respondents denied giving information. Also some may give
purposefully wrong information.
6) Human factors:
Some times it also happened that researcher asks question something else and
the respondent perceives something else. This happens due to human
limitations like behavior, attitude and perception are not stable at all point of
time which will lead to mistakes.
7) Resources:
To conduct the research, one of many resources is time & money. However
the limitation had been effectively counter balanced as far as possible. But still
this limitation may affect the judgments.
QUESTIONNAIRE
50

Research On Genset Market in Pune City
Name of the Co. :
Person visited :
Contact No. :
Which elements you consider before buying Gensets? (Rate them)
 Price 1 – 2 – 3 - 4
 Brand Name 1 – 2 – 3 - 4
 Fuel efficiency 1 – 2 – 3 – 4
 Reliability 1 – 2 – 3 – 4
 Durability 1 – 2 – 3 – 4
 Ruggedness 1 – 2 – 3 – 4
 Warranty/Services 1 – 2 – 3 – 4
 Noise 1 – 2 – 3 - 4
Would like to buy Genset that will satisfy all above mentioned requirements?
Project No of Sites No. of Buildings No. of Gensets
You require
Range (KVA)
Current
Upcoming
51

Definitely buy / Probably buy / Not sure / Probably not buy / Definitely not
buy
After Sale Services are –
Extremely important / Very imp / Somewhat imp / Not very imp / Not at all
imp.
Your Suggestions:
Any References:
Signature
BIBLIOGRAPHY
BOOKS:
52

1. Dr. Kulkarni B.D., Research Methodology , Everest Publishing House, Pune,
(2002).
2. Mr. Kotler Philip, Marketing Management , Pearson Education Inc., (2005).
3. Mr. Beri G.C., Marketing Research , Tata McGraw-Hill Publishing
Company limited, New Delhi, (2004).
WEBSITES:
1. www.greavescotton.com
2. www.quickmba.com
53

0601033 to measure market potential for greaves gensets in pune city

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