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Distribution Management

MYMUL

EXECUTIVE SUMMARY
Marketing is a social and managerial process by which an individual and group obtain
what they need and want, through creating, offering and exchanging products of values with
others. Marketing is getting the right goods and services to the right people by right people,
at right time, with the right communication, at a profit.
The document provides the details of study titled A Study on Distribution Management with
reference to MYSORE MILK UNION LIMITED.
An appropriate research methodology for the systematic design of report, collection, analysis
and reporting of data and findings relevant to the specific marketing situation facing the
organization was employed. Primary data is collected by interviewing persons chosen for
this study, with the help of a structured, open and close ended questionnaire. Secondary data is
collected from various journals, reports and websites.
Tabulating the data does analysis of data and pictorially representing the same in the form of
charts besides precise interpretation is also provided. Probability sampling technique is used
for this study and the sample size is of 100 people from Mysore city.
The respondent's response is presented with a well-structured questionnaire as a part of the
survey method. The opinions of the respondents were rated on a scale to arrive at the level of
awareness, satisfaction and the perception of the product.
This report also reveals the detailed organization study which includes industry profile,
Company profile with special reference to organization under study.
The analysis of the data led to a wide pool of findings about various aspects related to the
Product perception. These findings were taken up for logical conclusions. Some interesting
findings were made during the course of the study, the most important being regarding the brand
awareness.

Distribution Management

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CHAPTER 1
INTRODUCTION

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DISTRIBUTION MANAGEMENT
INTRODUCTION ABOUT THE PROJECT
A systemized study requires proper planning and implementation of the same. So, this research
design includes an outline of the study, which was conducted at MYMUL, MYSORE. The
design of the study contains information stating the statement of the problem, objective of the
study, scope of the study, significance of the study, research methodology, and sources of data,
tools and techniques of data collection, plan of analysis, limitations of the study and operational
definition of the concepts, sampling and sampling design.
This internship is basically about effectiveness of sales and distribution management
followed by Mysore Milk Union Limited. It is a co-operative milk union fully owned and
managed by milk producers of Mysore and Chamarajanagar districts of Karnataka state. The
union is constantly striving to further the dairy development and marketing activities in its
milk shed area.
The summer internship project report as per the requirements of the source not only fulfills
that very requirements but has also developed us personally by getting acquainted with how
the company regulates. Thus, this project report will help us to gain the insight about the
industry and help us enhance our knowledge in every way possible.
This project report is a study of sales and distribution management at Mysore Milk Union
Limited.
Milk is an almost ideal food. It has high nutritive value. It supplies body building proteins,
bone forming minerals and health giving vitamins and furnishes energy giving lactose and
milk fat. All these properties make milk an important food for pregnant mothers, growing
children, adolescents, adults and patients.
The national institute of nutrition has recommended a minimum of 300gms daily intake of
milk for children between 1 to 3 years of age and 250g for those between 10-12 years. In our

Distribution Management

MYMUL

country, most such adults consume milk only as whiteners for tea and coffee, some dahi or
buttermilk.
PROBLEM STATEMENT:
Distribution management in this competitive world have to bring awareness in the minds of
consumers and also it has to come up with the updated channels and sales promotional
strategies.
Hence my study focuses on, analyzing the effectiveness of the reach through different channels
of distribution, to the consumers and the awareness of brand among the consumers of Mysore
district.
NEED OF THE STUDY:
The development of the distribution channels requires that a firm must determine what its best
potential markets are and then select the means by which it will try to sell to its customers.
Distribution channels often require the assistance of others in order for the marketers to reach its
target market.
OBJECTIVE OF THE STUDY:
To know the effectiveness of the distribution management.
To analyse the customer expectation.
To study the impact of distribution on consumer buying.
To analyse the different medium through which the advertisement reaches maximum
number of people in the market.
SCOPE OF THE STUDY:
This study covers the customers of Nandini milk and its products in Mysore district.
This study is to understand the distribution management of MYMUL.

Distribution Management

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RESEARCH METHODOLGY:
Research design
Descriptive research:
Descriptive research is used to collect various information from customer to study the
distribution level with respect to Nandini milk.

Data collection
Data can be collected in two ways-primary method and secondary method.
The primary data is collected through the raising structured questionnaire to customer.
The secondary data is collected from the journals, articles, books and related websites.

Sample design
The samplings taken for this study are randomly 50 customers in Mysore. The
probability sampling will be used.
Sampling techniques: structured questionnaire is used.
LIMITATION
The study is purely for academic purpose.
The time constraints the study is restricted to MYSORE district only.
The sample size has been confined to 50 due to lack of time and resources.

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SCHEME OF THE STUDY:


Chapter 1: This includes introduction about the topic, problem statement, objectives of the
study, scope, methodology used, literature review and limitations of the study.
Chapter 2: In this chapter industry and organizational profile are analyzed. Promoters, vision,
mission, products and services of KMF, SWOT analysis are briefly discussed.
Chapter 3: This is the core of the study where data collected are analyzed and interpretation is
drawn on the basis of analysis.
Chapter 4: In this chapter, findings of the study based on data analysis are drawn and suitable
suggestions and recommendations are made to overcome obstacles.

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CHAPTER 2
INDUSTRY PROFILE AND COMPANY PROFILE

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INDUSTRY PROFILE
HISTORY OF MILK INDUSTRY:
Earlier people used to have animal milk for food. However the people of ancient Babbly
Lon, Egypt and India raised dairy cattle as early as 400 B.C. At that time, the family cow
was the cheap source of milk. A family used as much it needed and traded or sold the rest to
neighbor.
A dairy industry grew; several cities passed laws to control the sale of milk. Some of
these laws made it illegal to add water to milk or to remove cream from milk. However, none
of the early laws set health standard for milk. Many dairies added chemical preservatives to
milk. But after sometimes these chemicals were found to be harmful, laws prohibited their
use. Gradually cities and states began supervising the milk industry in order to protect public
health. In 1856 an American inventor named Gail Borden received a patent for the first
successful milk condensing process.
About in 1885, dairies first used glass, jars and bottles, in which workers were filled milk
by hand. The invention of bottling machine in 1886 has proved that filling the containers easier
and faster.
In 1890, Stephen M. Babcock, an American agricultural chemist developed a list to
measure the fat content of the milk. The market value of milk depends on its fat content,
which dairies still determine by the Babcock test. In 1890s a few dairy plants introduced
pasteurization, a process invented by the French scientist Louis Pasteur.
One of the greatest epics -Mahabharata gives us the fact that dairying has an age-old
background. In those days cattle were treated as god. As the years passed, people started
using cattle to satisfy their needs of milk, milk products and for cultivation. But during olden
day's milk and milk products were not sold. Only after 1940's dairying was started in an
organized manner, in those days dairies were encouraged to make pasteurized butter, mainly
for the British army. One of such firm was "Urban Milk Supply Scheme". After
independence greater Bombay Milk Scheme has come into existence. By this time many
state government set up composite "Dairy Development Department" to facilitate milk
production, procurement, processing and marketing. A dairy is place which deals with
collection, processing of milk and manufacturing of various milk products on an industrial
scale.
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KARNATAKA MILK FEDERATION


KMF was instituted in 1984, by federating the 13milk unions in the state and thus forming
the state level apex organization. As a cooperative apex body of the state of Karnataka, it
represents dairy farmers organization and also implements dairy development activities to
achieve the following objectives:
Provides assured and remunerative market for the milk produced by the farmer
members.
Provide quality milk to urban consumers.
To build village level institutions in co-operative sectors to manage the dairy activities.
To ensure provision of milk production inputs, processing facilities and dissemination
of know-how.
To facilitate rural development by providing opportunities for self employment at
village level, preventing migration to urban areas, introducing cash economy and
opportunity for steady income.

LIST OF CO-OPERATIVE MILK PRODUCERS UNDER


KARNATAKA MILK FEDERATION
Bangalore Milk Union
Belgaum Milk Union
Bellary Milk Union
Bijapur Milk Union
Dharwar Milk Union
Gulbarga Milk Union
Hassan Milk Union
Kolar Milk Union
Mandya Milk Union
Mysore Milk Union
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Shimoga Milk Union


Tumkur Milk Union
DAIRYING IN INDIA:
Around 1500 to 2000 the Aryans were the first to domesticate cattle use for tilling their
land and obtain milk to be consumed as food. It was the Aryans who priced the milk of a cow
more than its meat, forbade its slaughter and created legends about it, even worshipped it.
Hindus even today consider cow as sacred. More of the total production of milk is obtained from
cows. In India, dairying has been practiced as a rural cottage industry since the remote past.
Semi commercial dairying started with establishment of military dairy farms and cooperative
milk unions throughout the country towards the end of the 19th century.
However, market milk technology may be considered to have commenced in 1956 with the
functioning of the central dairy of Aarey milk project technology in 1956 with the establishment
of AMUL dairy.

PRESENT STATUS OF THE INDUSTRY:


The Indian dairy industry is heading towards new century with an accelerated and positive
momentum. With unprecedented growth in milk production by over two and a half time in the
two decades to about 58.8million tons in 1992, India has emerged as the largest milk producer
in the world with an annual milk production of 76 million tons. Food processing industry ranks
as the 5th largest industry in the country. Through the milk and the milk products have 85%
business in unrecognized sector; it is having only 7% growth per year.
The establishment of a cooperative structure as a ready and regular buyer or milk produced gave
a new turn to the rural economy. Today, over 275 dairy plants and 85 milk product factories in
the cooperative, public and private sectors handle an estimated 12-15% of the total milk
produced. In most of the countries in the world, the proportion of the milk delivered to the
dairies is over 90%.

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The trends are now changing fast in India too. It is expected that the processing of the milk on
organized scale will increase sharply in developed countries. This will consequently increase the
opportunities for the value addition. While the value of the output of the dairy products in the
countries food sector has increased from 5-7% during the same period. Now the days of milk
scarcity and imports are behind us. The organized sector can seize the opportunity of tapping the
market of value added dairy products like butter, cheese, lactose, khova, paneer etc.
It is beyond doubt to mention that the organized dairy industry has done a splendid job by
transforming itself from an import dependent enterprise to self sufficient industry and the
embarking on export of various products. And now it is poised for another wave of expansion by
undertaking large scale production of milk in the organized sector.
MILK FEDERATION:
The Karnataka Co-operative Milk Producers Ltd came into existence on 1-5-1984by
federating the milk unions in the state and thus forming the state level apex organization.
When all the project activities are completed, the main role of the federation will be to market
surplus milk products and to produce and supply centralized inputs.

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COMPANY PROFILE
MYMUL
Mysore Dairy with the capacity of 10 TLPD was started in the year 1965 under the control
of the Department of Animal Husbandry and Veterinary Services of Karnataka State, which
was transferred to Karnataka Dairy Development Corporation in the year 1974. The capacity
was expanded to 60 TLPD in 1980 under the scheme operation flood and transferred to the
Karnataka Milk Federation in 1984. As per the Government policy the Dairy and its
Chilling Centers were handed over to Mysore Milk Union on 01.06.1987. The capacity was
expanded to 100 TLPD under the Operation Flood II and further expanded to 180 TLPD
under Perspective Plan I Programme.
Under the World Bank aided Karnataka Dairy Development Projects, the activities on Dairy
Development were taken up in the year 1975. The Mysore District Co-operative Milk
Producers Societies Union Ltd was registered on 23.11.1976, having the jurisdiction
extended to the entire Mysore District and Five Taluks of Mandya District. The Union
undertook the work of organization of Milk Co-operatives in AMUL Pattern with the main
objective of socio-economic reformation of the farmers in the rural areas through Dairying
as main subsidiary occupation.
Later the Union was bifurcated into Mysore and Mandya District Co-Operative Milk
Producers Societies Union Ltd from 01.04.1987. Consequent to the bifurcation of Mysore
District into Mysore and Chamara+janagar Districts, this Union is renamed as MysoreChamarajanagar District Coop Milk Producers Societies Union Ltd. Later from April
2015 Bifurcation of Mysore-Chamarajanagar district milk union as Mysore milk union and
Chamarajanagar milk union.

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VISION, MISION AND QUALITY POLICY:


VISION AND MISSION:
Mysore Milk Union is committed to socio economic development of its member milk producers
by adopting advanced technology to make dairying a profitable business by the dedicated
workmanship to provide best services to its members and consumers thereby achieving the best
position in the country.
MYMULs Values:
Honesty, Discipline/Timeliness, Quality, Trust, Impartial, Savings, Transparency.
QUALITY POLICY
Mysore District Milk Union is committed to procure and supply safe Milk & Milk Products
to the satisfaction of consumer by:
Complying with statutory and regulatory requirements
Constant communication with all parties involved in the food chain
Adopting GHP, GMP & HACCP
Adopting scientific processing methods
Training of employees Union/Dairy Co-operative societies.
ISO 22000 Documented and Under Implementation.
This commitment is supported by measurable objectives and brings about continual
improvement.

PRODUCTS AND SERVICES PROFILE:


The product profile refers to the study of the products information of the company. The various
milk and milk products manufactured at MYMUL are shown below:
The following are the products and their quantity offered by MYMUL:

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Toned milk

Full cream milk

Peda

Homogenized toned milk

Ghee

Butter

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Paneer

MYMUL

Khova

Masala majjige

Mysore pak

Sweet lassi

Curd

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Badam Powder

Flavored Milk

Chocolate Bite

Jamoon Mix

Nandini Toned Milk


Nandini Toned Milk is the Karnatakas most favorite Milk. Fresh and pure milk containing
3.1% fat and 8.5% SNF. Available in 520 ml & 1 liter packs.
Nandini Homogenized Toned Milk

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Nandini Homogenized Toned Milk is pure Milk containing 3.1% Fat & 8.5% SNF. This is
Homogenized and pasteurized. It gives you more cups of tea or coffee and is easily
digestible.

Nandini full cream milk:


Full milk; contain 6.1% fat and 9%soloid not fat. Rich creamier and tasted milk, ideal for
preparing homemade sweets and savories. Available in 500ml.
Nandini Ghee
A taste of purity, Nandini Ghee made from pure butter. It is fresh and pure with a delicious
flavor. Hygienically manufactured and packed in a special pack to retain the goodness of
pure ghee. Available in 200 ml, 500 ml, 1000ml packs & 15 kg tins.
Nandini Peda
Nandini Peda made from pure Milk. Available in 100gms & 250gms packs.
Nandini Peda made from pure Milk. Available in different flavor like Kesar peda.
Paneer
It is a tasty, wholesome and nutritious supplement for a variety of dishes. Add Paneer to
make dishes creamy and mouth-watering. Available in 200g and 1kg packs. Can be stored for
30days when kept frozen.
Khova
Add Khova to preparations like carrot halwa, gulab jamoon etc. and increase the richness of
its taste. Available in 200g packs. Can be stored for 30 days when kept frozen.
Cashew Burfy
Pure Milk based cashew burfi is available in 250gms.
Nandini Curd
Nandini Curd made from pure milk. Its thick and delicious giving you all the goodness of
homemade curds. Available in 250 grams and 500 grams packs.
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Nandini Sweet Lassi


Nandini Sweet Lassi the most refreshing drink made from fresh curd. Best alternative to cool
drinks during summer.
Nandini Peda Kesar
Nandini Peda made from pure Milk. Available in different flavours like Kesar & Elaichi.
Good life
Cows pure milk. UHT processed, bacteria free in a tamper proof tetra fino pack which keeps
this milk fresh for 60days without refrigeration until opened. Available in 500ml and in
200ml bricks.
Badam burfi
Badam burfi is a delicious treat made up of milk and it can be stored at room temperature.
Flavored milk
Sterilized flavored milk. Nutritious and wholesome milk available in 5 different flavors,
pineapple, rose, badam, pista and natural orange.
Masala majjige
It is one of the drinks available in the dairy. Its prepared using masala ingredients.

AREAS OF OPERATION

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As a district milk union under KMF, individually the union has no opportunities to
expand their operation because the MYMUL is structured under KMF as a district milk
union of Mysore district. The union itself acts as a branch of KMF but the union has
opportunities by way of marketing its milk products out of its limited market borders means
of its district market borders.
The district milk unions are controlled by the KMF, which acts as a mother
organization to all other district unions in Karnataka. The union receives all types of demand
orders from in and outside the country. Especially the milk powder has more demand from
foreign countries. The union will produce other milk products according to their demand
rate.
PROCUREMENT:
To procure the surplus milk available in the primary milk producers Co-operative societies
of the union jurisdiction area.
Organising dairy co-operative societies at village level.
Organising milk procurement route to procure milk.
All the dairy co-operative societies in the union jurisdiction will be a share holder to the
affiliated federal body where in the dairy co-operative societies will be assisted in procuring
milk in both shifts and providing technical input support to the producer members and to
make remunerative payment to the dairy co-operative societies on the quality parameter.
TECHNICAL INPUT ACTIVITIES
It is one of the fundamental objectives of MYMUL to carry out activities for enhancing Milk
production in its Milk shed area. In view of this, various technical input services like
veterinary health care, artificial insemination services, vaccination, supply of balanced cattle
feed and quality fodder seed etc. are provided for enhancing milk production and economic
development of farming community.
ANIMAL HEALTH AND EMERGENCY SERVICES
The union is taking special care to promote the health of the cattle of member milk
producers. Veterinary health care facilities have been extended to all the DCS. Emergency
veterinary routes, Health camps, Vaccination against Foot and mouth disease are being
provided to all functional societies. Mass deworming programme is carried out twice in a
year at all DCS. There is also a backup of Veterinary First Aid Services to needy milch
animals through trained DCS staff. Introduced Trio-NB-Sac and 'Godhara Shakthi' to
improve quality of Milk.
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STEP (Support to Women Training & Education Program)


The Programme of STEP aims
To organize exclusive Women Dairy Cooperatives and to take up employment cum
income generation activities.
To provide need based and extensive training for skill upgradation.
Mobilizing women in formation of Self Help Groups as a tool for income generating
activity and for easy access to credit.
COMPETITIORS OF MYMUL:
The major competitors of MYMUL are as follows:

Jersey
Dodla
Arogya
Gomatha
Thirumala
Swastika
Loose milk vendors
Heritage

Jersey:
Plant located at Andhra Pradesh
Sale in union jurisdiction 45tlpd (100 tlpd in city)
MRP is 20per litre seller rate rs.22 based on quantity
Commission ranges from 40-70 per litre
Quality perception-thick and longer shelf life
Flexible distribution-retailers, wholesalers or anyone willing to sell
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Payments cash and carry or while collecting empty crates on return trip.
Availability- mostly retail outlets and now capturing institutional sales by any means.
Vigorous advertisement especially at the point of purchase.

Dodla:
Plant located at Nellore
Availability of raw materials at cheaper rate.
sale in union jurisdiction 18tlpd
MRP rate Rs.19per litre-seller rats Rs.22
Commission ranges from 40-50paisa.
Quality perception-thick and long shelf life.
Flexible distribution-retailers or anyone willing to sell
Returns will be accepted
Payment-cash and carry or while collecting empty crates on return trip.
Channel members are playing critical role in boosting the sales.
Packing is attractive with multi colour pricing on sachets.
Consumers perceive that milk is good for making curds.
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Arogya:
Plant located at Bangalore.
Sale in union jurisdiction 10tlpd.
MRP rats Rs.18per litre
Commission ranges from 60paisa per litre.
Availability- mostly retail outlets like bakeries, condiments and departmental stores.
Packing is attractive with multi colour pricing on sachets.
Concentrating on value added products and not much on milk.

Loose milk vendors:


Market share is next to Nandini.
Loose milk from erode and local cattle rears.
Sale in union jurisdiction-140tlpd.
MRP rate Rs.7 to Rs12 per litre.
Majority of the milk is heavily adulterated and no uniform quality.
Sales from 50ml and above.

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SWOT ANALYSIS
A SWOT analysis is a strategic planning tool used to evaluate the strengths, weaknesses,
opportunities and threats involved in a project or in a business venture or in any other
situation requiring a decision.

Environmental analysis

Internal Analysis

Strengths

External Analysis

Weakness

Opportunities

Threats

SWOT Analysis

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SWOT Analysis of the Organization


STRENGTHS:
Market leader.
Nandini is a trusted house hold brand name.
Two lakh farmer members.
Provides excellent veterinary, AI, vaccination, Extension facilities, Feeds and Fodder
seeds supply etc., in the field, which cannot be thought off by any private operator.
Hence earned lot of goodwill from member producers, who patronize the union
throughout the year.
Has earned the distinction of not failing to deliver the milk to market on time
throughout the year.
There are days with no power supply, no water supply; but there is no day without
NANDINI milk supply.
Highly remunerative and timely payment to producers.
Union is in good financial position.
ISO 9001-2000 certificate.
Good institutional support from KMF, NDDB, etc.,
WEAKNESS
Lack of flexibility in deciding about its operation. No authority over issues like
pricing, offering volume discounts etc.,
Political interference.
Organizational structure does not permit incentive/ reward for good performance.

OPPORTUNITIES
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Since the Mysore district is under Cauvery basin, perennial greens are available to the
cattle.
Institutional markets, bakeries, hotels etc., are not fully tapped and these can be
captured preferably by direct marketing.
Diversification of milk products like Peda, Mysore Pak.... etc.,
Exploit the Human Face, by positioning in the market as an organisation with social
responsibilities of serving the milk produced by paying remunerative price and serving
customer by offering hygienic quality product at a reasonable price throughout the
year. Union is not in the business to maximise the profit as in the case of private
dairies and is acting as price stabilizing force in the market. Projecting these to the
customers will reinforce the positive image of the organisation in customers minds as
a caring organisation which service to them as its motto.
THREATS
After liberalization, entry barriers in the dairy industry eased for new entrants.
The competition from Co-operatives like Dodla, Heritage, Kamadenu.... etc.,
Private dairies procure milk at low cost from producers and sell milk resorting to
unethical trade practices. It is a marketing war in which union has to fight by rules and
other private dairies do not fight by rules. Hence, there is no level playing field for
organization with social responsibilities to compete with organizations with purely
profit motive.
Some private dairies are selling homogenised milk, which appears rich. The union
cannot homogenize all its huge quantity of milk due to lack of homogenizing capacity
and increase in processing cost.
Plans of major companies like Reliance, ITC to enter into milk market in future.

INFRASTRUCTURAL FACILITIES
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I MILK PROCUREMENT
*Milk collection from farmers.
*Dairy co-operative society.
*Bulk milk products.
II. TRANSPORTATION
*They have procurement group contract vehicles.
*Milk Tankers.
III. MILK PROCESSING
*Raw milk reception dock
*Cream separators
*Milk pastures
*Cream pastures
*Stored tanks
*Electronic milk tester and milk scan
IVPACKING
*Milk packing machine
*Curd packing machine
*Lassie, masala majjige packing machine
*Flavored milk packing machine
*Ghee packing machine

V ENGINEERING
*Reformation equipments
*Boiler equipment
*Effluent treatment plants
*Electronic generation

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VI MARKETING
a. Distribution network
*Agents
*parlors
*Depots
*Franchise
b. Distribution Transport
*Trucks
* Goods auto
*Mobile

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CHAPTER 3
THEORITICAL BACKGROUND OF THE STUDY

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THEORITICAL BACKGROUND OF THE STUDY


MEANING AND DEFINITION OF DISTRIBUTION
Product distribution (or place) is one of the four elements of the marketing mix.
Distribution is the process of making a product or service available for use or consumption
by a consumer or business user, using direct means, or using indirect means with
intermediaries.
The other three parts of the marketing mix are product, pricing, and promotion.
CHANNELS AND INTERMEDIARIES
Distribution of products takes place by means of channels. Channels are sets of
interdependent organizer (called intermediaries) involved in making the product available
for consumption to end-user. Merchants are intermediaries that buy and resell products.
Agents and brokers are intermediaries that act on behalf of the producer but do not take title
to the products.
CHANNEL DESIGN
A firm can design any number of channels they require. Channels are classified by the
number of intermediaries between producer and consumer. A level zero channel has no
intermediaries. This is typical of direct marketing. A level one channel has a single
intermediary. This flow is typically from manufacturer to retailer to consumer.
CHANNEL MIX
In practice, many organizations use a mix of different channels; in particular, they may
complement a direct sales-force who typically calls on larger customers with agents who
cover the smaller customers and prospects. In addition, online retailing or e-commerce is

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leading to disintermediation. Retailing via Smartphone or m-commerce is also a growing


area.
MANAGING CHANNELS
The firm's marketing department needs to design the most suitable channels for the firm's
products, and then select appropriate channel members or intermediaries. The firm needs to
train staff of intermediaries and motivate the intermediary to sell the firm's products. The
firm should monitor the channel's performance over time and modify the channel to enhance
performance.
CHANNEL MOTIVATION
To motivate intermediaries the firm can use positive actions, such as offering higher margins
to the intermediary, special deals, premiums and allowances for advertising or display.[1] On
the other hand, negative actions may be necessary, such as threatening to cut back on
margin, or hold back delivery of product.

CHANNEL CONFLICT
Channel conflict can arise when one intermediary's actions prevent another intermediary
from achieving their objectives.[1] Vertical channel conflict occurs between the levels within
a channel and horizontal channel conflict occurs between intermediaries at the same level
within a channel.

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CHAPTER 4
DATA ANALYSIS AND INTERPRETATION RESULTS

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DATA ANALYSIS AND INTERPRETATION

Data analysis is a practical in which raw data is ordered and organized so that useful
information can be extracted from it. The process of organizing and thinking about data is
key to understanding what the data does not contain. There are a variety of ways in which
people can approach data analysis, and it is notoriously easy to manipulate data during the
analysis phase to push certain conclusion or agendas. For this reason, it is important to pay
attention when data analysis is presented, and to think critically about the data and the
conclusions which were drawn.
Raw data can take a variety of forms, including measurements, survey responses, and
observation. In its raw forms, this information can be incredibly useful, but also
overwhelming. Over the course of the data analysis process, the raw data is ordered in a way
which will be useful. For example, survey results may be tallied, so that people can see at a
glance how many people answered the survey, and how people responded to specific
questions.
Charts, graphs, and textual write ups of data are all forms of data analysis. These methods
are designed to refine and distill the data so that readers can glean interesting information
without needing to sort through all of the data on their own. Summarizing data is often
critical to supporting arguments made with that data, as it is presenting the data in a clear
and understandable way. The raw data may also be including in the form of an appendix so
that people can look up specifics for themselves.

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DATA ANALYSIS AND INTERPRETATION


TABLE-1
Table showing the gender of respondents.
Sl. No

GENDER

FREQUENCY

PERCENTAGE %

1.

MALE

20

40%

2.

FEMALE

30

60%

TOTAL

50

100

GRAPH-1

MALE; 40%

FEMALE; 60%

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From the above data it can be analysed that 40% are male and 60% are female.
TABLE-2
Table showing the age group of respondents
Sl.no

PARTICULARS

NO OF RESPONDENTS

RESPONDENTS %

1.

10-24

10

20%

2.

25-39

14

28%

3.

40-54

19

38%

4.

Above 55

14%

TOTAL

50

100

GRAPH 2

above 55; 16%

40 to 54; 37%

10 to 24; 19%

25 to 39; 28%

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TABLE-3
Table showing percentage of people consuming milk and milk products.
OPTIONS

CUSTOMERS

PERCENTAGE

YES

26

52%

NO

24

48%

TOTAL

50

100

GRAPH-3

NO; 47%

YES; 53%

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Distribution Management

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TABLE-4
Table showing frequency of buying milk and milk products
Sl.no

Frequencies

No of respondents

percentage

1.

Daily

37

74%

2.

Once in 2-3 days

11

22%

3.

Once in 4-6 days

4%

4.

Once in a week

TOTAL

50

100

GRAPH-4

once in 4-6 days; 3%


once in 2-3 days; 23%

Daily; 74%

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Distribution Management

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TABLE-5
Table showing amount of purchase of milk and milk products.
sl.no

Amount of purchase

No of respondents

percentage

1.

Less than 1ltr/1kg

16

32%

2.

1 to 2ltr/kg

24

48%

3.

2 to 4ltr/kg

14%

4.

More than 4ltr/kg

6%

TOTAL

50

100

GRAPH 5

More than 4ltr/kg; 6


2 to 4ltr/kg; 14
Less than 1ltr/1kg; 33

1 to 2ltr/kg; 47

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Distribution Management

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TABLE-6
Table showing usage patterns of different categories of milk and milk products
Sl.no

Usage pattern

Volume%

1.

Bread spread

70%

2.

Flavored milk

76%

3.

Powder milk

40%

4.

Fresh cheese

52%

5.

For cooking

82%

6.

Dessert

45%

7.

Health drinks

40%

GRAPH-6

Health drinks; 10%

Bread spread; 17%


Dessert; 11%
Flavored milk; 19%

For cooking; 20%


Powder milk; 10%
Fresh cheese; 13%

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Distribution Management

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TABLE-7
Table showing percentage of buyers buying branded milk products and unbranded.
Sl.no

Categories

No of respondents

Percentage%

1.

Branded products

37

74%

2.

Unbranded

13

26%

TOTAL

50

100

GRAPH-7

unbranded; 26%

branded; 74%

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Distribution Management

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TABLE-8
Table showing kind of purchase made for unbranded products.
Sl.no

Category

No of respondents

Percentage

1.

Packed

32

64%

2.

Loose

18

36%

TOTAL

50

100

GRAPH-8

Loose ; 36%

Packed ; 64%

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Distribution Management

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TABLE-9
Table showing ranking of companies according to the preference of the customers.
Sl.no

Brands

Ranking

Nandini

Amul

Nestle

Mother diary

Purabi diary

Hatsun

Brittania

GRAPH-9

Ranking

Nandini; 1 Amul ; 2
Brittania ; 7
Nestle ; 3
Mother diary; 4
Hatsun ; 6
Purabi diary; 5

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Distribution Management

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TABLE-10
Table showing percentage of buyers buying other brands if nandini is unavailable.
Sl.no

Options

Customers

Percentage

1.

Yes

45

90%

2.

No

10%

TOTAL

50

100

GRAPH-10

NO; 10%

YES
NO

YES; 90%

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Distribution Management

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TABLE-11
Table showing percentage of customers who are aware of nandini products.
Sl.no

No of products

No of
respondents

Percentage

1.

1 to 5

8%

2.

6 to 15

36

72%

3.

16 & above

16%

4.

All products

4%

TOTAL

50

100%

GRAPH-11

all products; 4% 1 to 5; 8%
16 & above; 16%

6 to 15; 72%

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Distribution Management

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TABLE-12
Table showing rating of factors while purchasing milk products.
Sl.no

Ratings

No of

Percentage

respondents
1.

6%

2.

10%

3.

12%

4.

32

64%

5.

8%

TOTAL

50

100

GRAPH-12

Ratings

5; 33%

1; 7%
2; 13%

3; 20%
4; 27%

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Distribution Management

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CHAPTER 5
SUMMARY OF FINDINGS, CONCLUSION AND SUGGESTION,
RECOMMENDATION

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Distribution Management

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SUMMARY OF FINDINGS
MYMUL has a wide marketing network throughout the state.
The customer awareness level towards Nandini milk is excellent because all the 100
respondents are aware of it.
Proper training programs for farmers are an additional services provided by the
company which is improving Nandinis popularity among the farmers and ensures
quality and consistency of supply of milk from them.
Majority of respondents belongs to the age group of 22-50 years.
Majority of respondents are of female category.
Majority of the respondents have chosen TV as the best media to increase the sales.
Majority of the respondents buy the products because of their own decisions.
Majority of respondents have suggested creativity in advertisement makes it most
memorable.
Majority of respondents say Nandinis advertisement convey enough required
information about its products.
Majority of the respondents say picturisation strategies impress the customers more.
Majority of the respondents buy Nandini products because of their availability.

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SUGGESTIONS
The company should make more use of the different medias available like television,
radio and other medias which can attract lot of customers.
It can be suggested that advertisements should be made more attractive and innovative
to draw the attentions of the customers.
It can be suggested that different offers must be made available and that will attract
customers.
Most of the customers buy Nandini products due to its ease availability, so maintain
products available to customers through effective distribution channels.
It can be suggested that the company should have their upper held priorities towards
revising their pricing strategies to popularize the products for the mass greater reach
outs in the future period of time.
Company can reduce the price of the product by adopting few cost reduction
techniques, so it will help attract different classes of people.
Bonus and incentives can be given to the dealers in order to motivate them.

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Distribution Management

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CONCLUSION:
Though the study is not exhaustive, the data obtained is enough to understand the attitude of
the customers towards Nandini products.
The result of the survey proves that, Indians in spite of being price conscious, nowadays
they are more health concerned and quality oriented. To be dominant players in the market,
sales promotion is very crucial weapon. To maintain and retain the tough customers and
also, to build a good rapport with the channel partners.
According to market research the consumer had given positive response regarding all
aspects of Nandini products. It shows Nandini is attracting consumers and prospecting in
business. But in a competitive field, one should not satisfy with ones present performance.
In order to maintain higher competitive efficiency, regular market research will help an
organisation to ascertain the consumer preference and according to them for creating and
maintaining brand image in the minds of people.

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Distribution Management

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BIBLIOGRAPGHY
BOOKS REFERRED:
Philip Kotler, Marketing Mangement, 11th edition, Pearson education Asia
Publication.
Pingali Venugopal, Sales and Distribution management, SAGE RESPONSE
PUBLISHERS, Response edition.
ARTICLES:
Bob Trebilcock, Editor at Large(2012), Distribution and Logistics.
Dave Kahle, Power strategies for Distribution Salespeople.
WEBSITES:
www.kmfnandini.com
www.mymul.com

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Distribution Management

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ANNEXURE
A study on distribution management at MYMUL, Mysore.
Mysore Milk Union Ltd.
I am Kavyashree.M.N pursuing 4th semester MBA in B N Bahadur Institute of Management
Sciences in Mysore. As a part of my academics, I am conducting this survey to know the
effectiveness of distribution and usage of Nandini milk and milk products at Mysore.
Questionnaire for consumers:
Nameof the
respondent
Contact No. (Optional)..
Address
Gender: male/female.
Age: 10-24

Staying: Single / with family. Marital status: married/ unmarried

25-39

Occupation: Student

40-54

55- and above

businessmen

1. Do you consume milk & milk product?

Serviceman
Yes

No

2. What is your frequency of buying milk & milk products?


Daily

once in 2-3 days

once in 4-6 days

once in a weak.

3. What would be your daily purchase of milk and milk products?


Less than 1lt/1kg

1 to 2 ltr/kg

2 to 4 lt/kg

more than 4 ltr/kg

4. What is your usage pattern of different categories of milk and milk product (in percentage volume)?
Usage pattern
% volume
Bread spread( butter )
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Distribution Management

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Flavored Milk drinks


Powder milk
Fresh
Cheese
For cooking
Desert
Health drinks
5. You buy:
Branded milk products

unbranded milk products

Both branded and unbranded milk products


6. If you buy unbranded milk products then what kind of purchase you make
Packed
loose
7. Rank the following companies in order of your preference towards the milk products they cater
No two brands should receive the same rank number
Brand

Nandini
Amul
Nestle
Mother dairy
Purabi dairy
Hatsun
Britannia

rank order

8. If your Nandini brand is not available, will you purchase other brand?
Yes
No
If yes, which brand would you purchase ?
a)Amul

b) Nestle

c)Mother diary d)Hatsun

9. How many products of Nandini you are aware of?


1 to 5
6 to 15
16 and above

All the products

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10. How do you consider the following as factors while purchasing milk products.
(rate from 1-5 where 1= very poorly considered , 2= poorly considered, 3=indifferent, 4= strongly
considered, 5= very strongly considered)
Scale 1
2
3
4
5
Factors
Brand
Taste
Price
Perishability
Offers
Availability of
substitute
products
Size of the
shop

52

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