Mahendra and Mahendra

DISTRIBUTION CHANNEL
CONTENTS
CHAPTER I
1.
Page No
INTRODUCTION
1-2
1.1 . Objectives of Study

1.2 . Scope of Study
CHAPTER II
2.
3-5
UNIT PROFILE
CHAPTER III
3.
COMPANY PROFILE
STRUCTURE OF MARKETING DEPARTMENT

CHAPTER IV
4.
42 - 48
49 - 50
CONCLUSION & SUGGESTIONS
APPENDIX
26 - 41
DATA ANALYSIS
CHAPTER VII
7.
23 - 25
DISTRIBUTION THEORY
CHAPTER VI
6.
22
RESEARCH METHODOLOGY
CHAPTER V
5.
6 - 21
QUESTIONNAIRE
BIBLIOGRAPHY
51 - 54
CHAPTER I
INTRODUCTION
1.1.OBJECTIVES
The survey is conducted in favor of MAHINDRA & MAHINDRA Ltd.

It is the one of the top automotive sector.
The survey was done with the following objectives.
To deliver the goods [vehicles] in time.
To study the most effective channel of distribution of vehicles.
To give suggestion to develop companies performance in the marketing field.
To find out the motivation factors which influence the buying behavior of the
customer.
To get recognition in international level.
To establish and maintain laboratories for purpose of research and development.
M.B.A, Osmania University
1.2.SCOPE OF THE STUDY

The Study was conducted to find out the problems faced by the dealers and to
know the attitude of dealers as well as suggestion from the dealers on the performance of
MAHINDRA & MAHINDRA Ltd. The present study is conducted in the Twin Cities (Hyd
& Sec), Zaheerabad and Gulbarga. The sample size was selected to be 5 with a view that
the time is a major constraint. The study is conducted in the following areas in the
following cities.
VARIETY AUTOMOTIVES
Nagole-Uppal Ring Road, Hyderabad 39.

BHAVANI MOTORS
Mumbai Highway (NH-9),
Beside Indian Oil Pump, Miyapur, Hyderabad 500 049.
AUTOMOTIVE MANUFACTURE LTD
8571, RP road,
Secendarabad 500003.
PAVITH AUTOMOBILE
Near R.T.O. Check Post. X Road.
ZAHEERABAD 502 220.
AVINISH & COMPANY
Nehru Gunj, Gulbarga.
CHAPTER -II
UNIT PROFILE
UNIT PROFILE
Unit Scenario:
The MAHINDRA & MAHINDRA Company is located at 108 Kilometers From the
State capital of Hederabad in AP at Zaheerabad. It has an area of 350 hectors land including
all facilities.
In July 1983 Hyderabad Allwyn Limited (HAL), a State Public Sector Undertaking of
A.P. Government entered into a technical and financial assistance Agreement with Nissan
Motor Company (NMC) Limited of Japan for manufacturingOf new generation of Light
Commercial Vehicles (LCVs) in India. The scope of Transfer stocks of imported kits procured
at favorable rates during the year 1962 Vehicles were sold. Although company achieved a
60% localization in its products, yet the raising value of yen continued to adversely effect its
financial performance.
At the same time the State Government was facing a severe financial crisis and both
the Financial Corporation and Industrial Development Corporation were facing massive cuts
in government findings. Therefore, in order to cover the closing down of units, the State
Government indifference to the State Industrial Policy decided to sell Allwyn Nissan Ltd.
(A N L) to capable of business houses, in this case preferably and established automobile
company.
M.B.A, Osmania University.
3
After that an intensive negotiation MAHINDRA & MAHINDRA LTD., the Countrys
leading manufacturing of Jeeps and Tractors entered into a Memorandum of Understanding
with HAL on 10th June 1988 and agreed to acquire 26% of share capital in ANL and there after
take control of the companys management with this transfer of shares and management. The
Joint venture between HAL & NISSAN Motor Company was terminated and a fresh joint
venture Agreement was entered in to 7th November 1988 by M & M with NMC.
The name of the company was changed to MAHINDRA ALLWYN NISSAN LTD.
M & M finally took entire control of the operation of the Plant on 1992.
Product Details:
Mahindra & Mahindra has modern facility at Zaheerabad, Near Hyderabad where
some of the important products are
Mahindra FJ 470 DS4 High Roof Minibus.

Mahindra Cabking 576
Mahindra DI 3200
Mahindra FJ Minibus
Mahindra Tourister
Mahindra Cab king 576 DI
4
Mahindra Champion
Mahindra Load King DI
Mahindra Load King Super
Mahindra Marshall 2000 Delux
Mahindra Marshall DX Royale
Future Focus:
Mahindra & Mahindra Company was to gain number one position in automotive
sector.
CHAPTER - III
COMPANY PROFILE
COMPANY PROFILE
General Profile:
The Automobile Sector is one of the fastest growing manufacturing sectors in
India. In the 1990s the industry witnessed an average growth rate of above 20% .
Indian Automobile Industry is characterizzzed by a very high 21% (75%) of two
wheeler production, ranking second only to Taiwan. India is also the largest
Manufacturer of Tracotrs. The world leaders in the sector are evincing keen interest in
establishing Manufacturing facilities for manufacturing and assembling components.
A politically stable and vibrant state, Andhara Pradesh is centrally located with the
support of Seaports, International Airports, assured and reliable power supply,
abundant water, broad base of auto component manufacturers, highly trained, skilled
and disciplined manpower and is therefore, the preferred location for Automobile
industries.
M/s. Ford, Mercedes, Benz, Daewoo, Fiat, Honda, Hyundai, Suzuki,
Mitsubishi, Opal, Peugeot, Proton, Skoda, Toyota etc., have already set up their
units in India. In the last two years, several joint ventures and collaborations have
been set up with investments to the tune of US $ 500 Million. About 10 percent of the
production in value terms are exported all over the world.
6
Company Product Details:

Mahindra Scorpio
Bolero Range:
Mahindra Bolero
Mahindra Bolero Caper
Pick-up Range:
Mahindra Utility
Mahindra pick-up
Mahindra NC 640 DP
Mahindra pick-up CBC
Maxx Range:
Mahindra Maxx
Mahindra Maxx LX
CL Range:
Mahindra MM 540/550 DP
Mahindra MM 540/550 XDB
Mahindra MM 540 DP
Mahindra MM ISZ-Petrol Soft-Top.
Commander Range:
Mahindra Commander 650 DI
Mahindra Commader 750 ST
Hard Top Range:
Mahindra Economy
Mahindra Marshal
Mahindra MM775 XDB
Mahindra Three and Five Door Hard Top

Mahindra Marshal 2000 Delux
Mahindra marshal DX Royale
7
DISTIBUTION CHANNEL
Alternative Fuel Range:

Mahindra CNG Three Door
Mahindra Bijlee
Mahindra FJ CNG Mini Bus
Army Range:
Mahindra Rakshak (Bullet Proof Vehicle)
Mahindra MM550 XD
Three Wheeler Range:
Mahindra Champion DX
Mahindra Champion
Business:
The main business of Mahindra & Mahindra Limited is to manufacture the utility
Vehicles and Light Commercial Vehicles and Tractor to market these Vehicles for customers.
The Mahindra Group is divided into 6 sectors and these are the strategic core business units.
Automotive Sector
Farm Equipment Sector
Automotive Component Sector
Trade and Finance Sector
Infrastructure Development Sector
Telecom Software Exports Sector
Location:
Automotive Sector:
It is nothing but the manufaturing and marketing of Light Commercial Vehicles and
Utility Vehicles. The Plants are located at the following places.
8
Kandivili Plant is located at Mumbai.

Nasik Plat is located in the State of Maharashtra,
Ligature Plant is located in the State of Maharastra.
Zaheerabad Plant is located at Zaheerabad, Andhra Pradesh.
Mission:
At M &M, will design, manufacture and market Internationally Competitive, Automotive
Vehicles farm equipment and products.
Our customers needs especially the requirement of safety, reliability value for
money and farm productivity will be our primary concern. In our Business operations are will
ensure sustained profitability and growth we will create a dynamic collaborative in which
our people will feel challenged and cared or and build an organization that is re-silient flexible
and productive.
As an organization we will be recognized for high Ethical Standards and
responsiveness to the social environment we will continue to be.
Objectives:
The main objective of Mahindra is that they want to maintain none to second
position. Best top company by maintaining talented people.

Customer Focussed:
People Culture:
By Encouraging team work
By providing a healthy and good work environment
By Sake practices
By appraisal and Reward System.
9
DISTRIVBUTION CHANNEL
Community Culture:
By setting high ethical standards.

By responsible to environmental needs.
By to community welfare.
Time Discipline:
By Meeting set targets

By delivering on time
By ensuring service on time
By quick response to needs
Quality Discipline:
By positive reputation for quality

By following international quality assurance, systems and procedures.
By delivering right time and every time.
Cost Discipline:
By elimination of non-value added work.

Through continues improvement.
By productive use of assets.
History:
Mr. J.C. Mahindra and Mr. K.C. Mahindra established the company in 1945 and
named as Mahindra & Mahindra Limited .

Mr. Mohammed name was included in the name of the company as Recognition of his
Enormours help for the establishment of the company. After the divergence of India and e
Pakistan Mr. Mohammed has become the First Finance Minister of Pakistan and the company
was incorporated in 1945.
10
The company renamed as Mahindra & Mahindra Limited in 13 Jan, 1948. Upto
Jan 14, 1955 it was continued as private company which covered under the Companies Act,
1923. It has become public limited company on 15th Jan 1955 and the shares were listed in
BSE in 1956. It was initially formed to manufacture the utility vehicles to Indian People and it
was initially assembling and importing Willy Over Land Corporation .
The Mahindra & Mahindra Limited has started manufacture of Utility Vehicles firstly
the Willis Jeep in 1954 and later in 1965 it has concentrated on manufacturing the
Light Commercial Vehicles by producing Successor. New Part of Diamler Chrysler
corporation. In year 1963 the International Tractor Company.
In 1969 Export of Vehicles started and the company started to export

the spare part to Yugoslavia. Exports also made to Ceylon, Singapore, Philippines and
Indonesia. In 1987 M & M 540 D P Metal Body Wagonette introduced. In 1993
Mahindra launched Armada and LCV Vehicles were shifted from Nasik to
Zaheerabad. In 1995 Cab King D I 3150 were introduced and classic vehicles were
launched. In 1997 Voyager was launched at Zaheerabad Plant. In 1998 complete
localization of Cab King Model at Zaheerabad Plant.
11
Unique Achievements:
1945:
On October 2, Mahindra & Mohammed formed.
1948:
The Company was renamed Mahindra & Mahindra Limited (M & M) Steel
Trading business was started in association with Suppliers in U K Business
connections in USA through Mahindra Wallace.
1950:
The first business with Mitsubishi Corporation (for 5000 Tons) for Wagon
building plates for supply from Yawata Iron & Steel.
1954:
Technical & Financial Collaboration with Willys Overland Corporatin.
1956:
Shares listed on the Bombay Stock Exchage Dr. Beek & Co. Formed a JV with
Dr. Beck & Co., Germany.
1958:
Machine Tools Division started.
1960:
Mahindra Sintered Products Ltd. Formed a JV with the GKNs Group, UK.
1963:
Iinternational Tractor Co. of India (ITCI) formed a JV with International
Harvester Co., USA
1965:
Vickers sperry of India Ltd., a JV with Sperry Rand Corporation, USA Roplas
(India) a collaboration with Rubery Owen, UK Manufacture of Light Commercial
Vehicles commenced.
12
1970:
Mahindra Engineering & Chemical Products Ltd. (MECP) commenced
operation.
1971:
International Harvester Collaboration ended.
1977:
ITCI merges with M & M, to become its Tractor Division.
1979:
License from Automobile Peugeot, France for manufacture of XDP Engines.
1982:
License from KIA for manufacture of 4 Speed Transimissions Mahindra
Brand of Tractors born Siro Plast formed.
1983:
M & M becomes market leader in Indian Tractor Market.
1984:
Mahindra Hellenic Auto Industries S.A. formed J V in Greece to assemble
and market utility vehicles in Europe.
13
1986:
Mahindra British Telecom (M B T) formed a JV with British
Telecommunications plc (BT), UK.
1987:
Acquired international instruments Ltd.
1989:
Automotive Pressing Unit acquired from GKW.
1992:
Triton over Water Transport Agency Ltd. Formed.
1993:
Mahindra Steel Service Centre limited formed in association with Mitsubishi
Corporation and Nissho Iwai Corporation of Japan. Mahindra Acres Consulting
Engineers Ltd. (MACE) formed.
1994:
Mahindra Realty & Infrastructure Developers Limited. (MRIDL) formed
Mahindra USA Inc., formed, for distribution of Tractors in the USA EAC Graphics
(India) Ltd., formed in collaboration with The East Asiatc Company Ltd. Mahindra
Sona Ltd., Mahindra Nissan Allwyn Limited merged with the Company.
14
1995:
Mahindra Holding & Finance Ltd. ( M H F 1 ) becomes a subsidiary of M & M
to carry out business as an investment company technical collaboration with
Mitsubishi / Samcor to manufacture L300.
1999:
Launch of Bijlee a battery operated, 3 Wheeler environmenta friendly
vehicle. The largest online used vehicle web site in India launched by Mahindra
Network Services. The business of Inter Trade Division and Mahindra Exports Ltd.m
Combined and renamed Mahindra Inter Trade Ltd. The Company acquired major stake
in Gujarat Tracors. Mahindra & Mahindra Financial Services Ltd. Becomes a
subsidiary of M & M.
2000:
The Company unveils new logo.
Mahindra Auto Specialties Ltd., a new 100% subsidiary is formed.
M & M sets up its first satellite tractor plant at Rudrapur.
The Company launches New Age Tractor, the Mahindra Arjun 605 DI.
The Company launches Bolero GLZ a utility Vehicle a response to needs of urban
Consumer.
15
2001:
A 3 Wheeler diesel vehicle Champion is launched. The Company
Launches Mahindra MaXX a MUV positioned with the caption Maximum Space,
Maximum Comfort. M & M ties up with Renault for petrol engines. M& M
established a separate division to provide Defence Solutions.
2002:
M & M launch SCORPIO A sprots utility vehicles.
2003:
Scorpio Recipient of prestigious Awards car of he the year award from
Business Standard Motoring, Best SUV of the year and Best car of the Year
Award from BBC on Wheels, Car of the Year Award from CNBC Auto Car.
M & M launch the Invader a sporty open top vehicle.
M & M open a second tractor assembly plant USA.
M & M launches MaXX Pik Up.
M & M Tractors awarded the prestigious deming Prize for excellence in Quality.
The first tractor company in the world to receive the award.
M & M launches Indias first Turbo Tractor, Scorpio wins National Award for R & D.
M & M venture into Industrial Engine business.
16
Functional Profile:
Organization Chart:
The Mahindra & Mahindra Limited is headed by General Manager (Operations)
Who is assisted by Deputy General Manager from Production Department, Quality
Assurance, Finance Department, PHRD Department, Supply Module Department, and
Ancillary Administration Department. The General Manager (operation) is also assisted
by Senior Managers from Service Department, Administrative Department, and
Vehicle Engineering Department and also assisted by manager from Product Control
Department. The Senior Manager Production and Senior Manager Maintenance assist
the Deputy General Manager Quality Assurance is assisted Senior Manager Quality
assurance and Senior Manager Pre Delivery Inspection.
The Deputy General Manager Finance Department is assisted by the senior
Manager Accounts, Senior Manager Finance and Senior Manager of Excise Cell. The
concerned Senior Manager assists the Deputy Manager of Ancillary Development
Department.
Departmentalization:
In Mahindra & Mahindra Limited the departmentalization is divided into:
1. Direct Departments.
2. Indirect Departments.
17
Direct Departments:
The Department, which directly involves in the production process, comes under this
Category. The Core Departments are as follows:
Production Planning and Control Department
Vehicle Engineering Department (VED)
Paint Shop.
Production Planning and Control Department:
The Core Function of this Department is target setting. This Department seeks
information from Mumbai regarding the requirements of vehicles depending on the targets for
which the company has to strive to achieve. To achieve the targets Mahindra & Mahindra at
ZHB get engines from Igathpuri Plant and spare parts from other plants.
The Chief Functions is:
Realize plans for model of the Vehicle, based on marketing.

Control on the moving models.
Total control and coordination with other departments.
Coming up with contingency plans, in case of any problems.
Vehicles Engineering Department:

The Main objective of the Department is customer satisfaction Research and a design
activity of the organization depending on customer wants. Taking consideration as privations

and with of customer this Department designs required vehicles with the help of Corporate
R & D.
Looks after the new products units it goes into production.
Responsible for bringing out manual for different vehicles.

Testing the vehicles for ascertaining its functioning.]
Incharge / handles the technical library.
18
Paint Shop:
Paint shop is used to give a high technology paint to the body of the vehicles.
Indirect Departments:
The Departments, which are not directly, involve in production process, and give more
assistance comes under this category. The Core Departments are as follows:
Administrative Department.
Finance Department.
Personnel and HRD Department.
Service Center
Material Control Department of Ancillary Development Department.
Industrial Engineering Department.
Maintenance Stores Department.
Administrative Department:
Administrative Department is one of the important, which looks after various aspects
like house keeping, provision of transport facilities, maintenance of security, safety aspects and
maintenance exchanges.
Finance Department:
The Department looks after allocation of funds, costing and accounting of the financial
resources of the organization. A Part from these functions the Finance Department looks after
the Provident Fund Trust as the Treasurer, Capital Purchase, Taxation and final Accounts.
Personnel and HRD Department:
The Department looks after HRD activities they are
Training for apprentices

Internal and external training and development
19
DISTRIBUTION CHANNLE
Induction programs
House magazines and Mahindra news
Suggestions schemes
Sports and Games
Quality circles
Increment Policy
Staff performance appraisal
The above HRD activities are conducted by Personnel Department. The quality circles
program conducted with the assistance of Production Department and Industrial Engineer. This
organization greatly concentrates on training aspects.
Service Center:
This center comes under the MARKETING Department it provides services to
customers to field officers and dealers. The various functions of this Department are as under:
Provides service training to dealers and field officers.

Feed back to various departments about the products.
Warranty processing.
Makes service trails.
Technical sale and collaboration with foreign companies.
Sales of manuals and operators instructions.
Material Control Department of Ancillary Development Department:

The ADD and MCD Departments are linked to one another the control focus of these
Department is too. Indigenous localizes the components of various parts used in the vehicles.
20
Industrial Engineering Department:

The IED is an important Department, which totally coordinates with all the other
Departments it is responsible of the manpower planning of each section and also arranges, the
tools needed for production of the vehicles in this Department they will self the production
targets and inform to all the Departments. They also draw the process sheets, charges from time
to time. The implement of TACT and MOST will be looked after through this Department.
Maintenance Stores Department:
In M & M Maintenance Department which take care of the maintenance of the various
machinery equipment assets and instruments the Department does the following functions.
Up Keeping of the plant and machinery for high productivity.

Spare part planning, stocking, inventory control of the maintenance stores.
Break down maintenance.
Periodical inspection of factory equipments and installations.
21
STRUCTURE OF MARKET
DEPARTMENT
STRUCTURE OF MARKETING Dept (SALES SUPPORT)
22
CHAPTER IV
RESEARCH METHODOLOGY
RESEARCH METHODOLOHGY
DATA COLLECTION METHODS:
The information which has collected through the processes of
Personal Interview
Questionnaire
Previous records (like Dealers data record of the company).
SOURCES OF DATA:
The data which was collected for the study is of the following two types,
those are
a.
Primary Data:
The primary data is collected through survey method by administering a
Structured questionnaire.
b.
Secondary data:
The secondary data is collected from the printed material provided by
the SPL and from journals and magazines.
SAMPLING METHOD:
Sample is picked from the total dealers by adoption Random Sampling Method.
23
SAMPLE SIZE:
The sample size is selected to 5. The total 5 Dealers were covered in some
selected cities.
DURATION OF STUDY:
The study was carried on for 45 days i.e., from April 25 to June 8, 2005
AREA OF STUDY:
The study is conducted in
VARIETY AUTOMOTIVES
Nagole-Uppal Ring Road, Hyderabad 39.
BHAVANI MOTORS
Mumbai Highway (NH-9),
Beside Indian Oil Pump, Miyapur, Hyderabad 500 049.
AUTOMOTIVESECTOR
8571, R.P.Road, Secenderabad 500 003.
PAVITH AUTOMOBILE
Near R.T.O. Check Post. X Road.
ZAHEERABAD 502 220.
AVINISH & COMPANY
Nehru Gunj, Gulbarga.
24
DISTIVBUTION CHANNEL
LIMITATIONS:
It would be inappropriate to say that the survey conducted is perfect and
accurate. Infact like other surveys, it also faced some limitation due to which the
outcome may have certain deviations. These limitations were:
1.
The area, which is the researcher, covered for the particular research will not be
suitable for entire marketing area of the product.
2.
The conclusions drawn are subjected to the information provided by the various
dealers contacted.
3.
The Dealers are very busy with business activities. Due to the limitation Dealers
may not be able to provide correct information.
4.
The researcher cannot specify the data which has collected is purely right,
because some of the Dealers may not have given the actual information.
Inspire of all above limitations, a sincere attempt is made in this to assess the
significance of distribution of the Mahindra & Mahindra vehicles.
25
CHAPTER V
A THEORATICAL APPROACH
DISTRIBUTION CHANNEL: (Def)
A set of interdependent organizations in the process of making a product or

service available for use or consumption by the consumer or business users.
The distribution channel transport & store goods & services from producers to
consumers.
Distribution channels can be described by the number of channel levels involved.
CHANNEL LEVEL:
A layer of intermediaries that performs some work in bringing the product and its
ownership closer to the final buyer is Channel level.
Because the producer and the final consumer both perform some work, they are
part of every channel.
We use the number of intermediary levels to indicate the length of a channel.
There are two types of marketing channel.
a).
Direct Marketing channel
b).
Indirect Marketing channel
26
a).
A market channel that has intermediary levels is called Direct marketing
channel.
b).
A market channel containing one or more intermediary level.
Below figure shows several consumer distribution channels of different lengths
CHANNEL 1.
Channel 1 Called a direct marketing channel, has no intermediary levels. It
consists of a company selling directly to consumers.
Ex: - AMVAY---etc; sell their product door to door or through home and office sales
parties. The remaining channels in figure are indirect market channels.
CHANNEL 2.
Channel 2 contains one intermediary level. In consumer market this level is
typically a retailer.
Ex: - The makers of televisions, cameras and many other products sell their goods
directly to large retailers. Such Wal-Mart and Sears which then sell the goods to final
consumers.
27
CHANNEL 3.
Channel 3 contains two intermediary levels, a wholesaler and a retailer. Small
manufacturer of food drugs, hard ware and other products often uses this channel.
CHANNEL 4.
Channel 4 contains three intermediary levels. In the meat packing industry.
For example, Jobbers buy form wholesalers and sell to smaller retailers who generally are
not served by larger wholesalers.
Figure 1:
28
A. CUSTOMER MARKETING CHANNEL
Figure 2: -
Consumer and business marketing channel
B. Business Marketing Channel
In the past many companies used a single channel to sell to a single market or
market segment.
To day with the proliferation of customer segments and channel possibilities,
more and more companies have adopted Multi channel distribution system often called
Hybrid marketing channel.
Multi Channel: (Def)

A distribution system in which a single firm sets up two or more marketing
channels to reach one or more customer segments is called Multi Channel distribution
system.
29
Functions and Distribution [Marketing] Channels perform: This channel performs many key functions. Some help complete transactions by
gathering and distributing information needed for planning and aiding exchange by
developing and spreading persuasive communication about an offer
by performing contact work finding and communicating with prospective
buyers;
by matching shaping and fitting the offer to the buyers needs and by entering
in to negotiation to reach and agreement on price and other terms of the offer so that
ownership can be transferred.
Other functions help to fulfill the completed transaction by offering Physical
Distribution transporting and storing goods.
Financing acquiring and using funds to cover the costs of the channel work.
Risk taking assuming the risks of carrying out the channel work.
DEALERS PERCEPTION: -
Dealer Selection:
Marketing take great care in the selection and appointment of dealers granting
franchise to under serving dealers will be detrimental to the business interests or the firm.
30
The firm should take for a number of essential qualities and qualification in their
prospective dealer. Some of these qualifications are irrespective of products lines and
such alitiesare financial strength, credit worthiness, salesmanship, experience and reties,
business capacity; etc. in practice, the firm may some times find it difficult to locate
dealers possessing all the desired qualifications and attributes. Out of the available
candidates dealers should be selected care fully. In the case of specialty.
Products, selections of dealers require elaborate efforts.
Qualities to be looked for while selecting dealers:
Credit worthiness
Financial soundness & willingness to invest in line
Previous experience in the field
Business reputation
Business capacity & salesmanship
Willingness to provide credit
Capacity to offer:
Required assortments of product
Required service
31
Capacity to provide: Good relation with:
Concerned government officials, sub dealers if any, consumers,

Banks and other financial institutions.
Storage facilitates, Show rooms, Shops, Service Workshops, Sales and

serviceman, consummate with expected business.
Social status.
Positive attitude towards the company on the part of the dealer and his key personnel.
Dealer motivation: To be effective the dealers have to the constantly motivated. The firm should
constantly strive the needs of the dealers. It is applied said that a wise firm gets a good
band of dealers settle down with firm. Dealers motivational elements are as follows.
1.
Harmonious dealers motivation is very important in dealer motivation.
2.
Ensuring good store image and deriving promotion advantage though the store
image.
3.
An attractive trade margins is not doubt. The primes factor in dealer motivation.
32
4.
Ensuring dealers support in merchandising is another important aspect of dealers

management and dealers motivation.
5.
Prompt delivery, efficient service and incentives.
Managing the dealer network:

The designing of the channel and the creation of the channel are not everyday
tasks in channel management. It is the administration of the dealers network that
constitutes every day tasks channel management. In the broadest sense, managing the
dealer network will include the dealer servicing, dealer administrating, co dealer
compensation, dealer motivation and dealer development.
Performance appraisal of individual dealers: Periodical evaluation of the performance of the dealers is yet another important
Aspect of channel management. The performance appraisal must be done with a view to
identifying the specific strengths and weakness of the dealers. If the performance is
below the desire level, remedial action must be taken promptly
Criteria for dealer appraisal:
Market awareness
33
Sales point facilities
Public relation
Storage space provided
Inventory handling support
Market intelligence
Efficient of service provided to customers
Sales intensity
Enrollment of new accounts
Promotional support
Submission of reports
Timely payment of bills
Maintaining of business records
The appraisal of dealers performance should lead an important in their

performance in addition to proper performance appraisal of individual dealers,
periodic review of the dealer network as a whole and removal of weakness in the
network must also be take up. Hence, we can say that dealers job is a
continuous job.
34.
Dealer principal relation: The relations between a firm and a dealer revolve largely around the following
factors.
1.
Services or functions to be performed by the dealer.
2.
Territory of operation.
3.
Services or functions to be performed by the principal.
4.
Remuneration to the dealer.
The firm normally expects a dealer to establish the product in the market,
maintain fair trade practices, and provide serviced to consumers and help in promoting
the products. The dealer in turn expects the firm to delivery a quality product, make
adequate and reasonable profits for the Delaware in the price structure and render good
sales promotion support.
Dealer induction: Proper induction of the dealer in to the organization is another important part of
dealer management. Many firms view dealers as synonymous with dealer training. While
induction does include a training component, it needs to be handled as a distinct function.
It should lead to the smooth assimilation of the dealers in to the organization.
35
About area offices and their addresses, and Dealers address and distance
from ZAHEERABAD.
NORTH ZONE: AREA OFFICE
CHANDIGARH
ADDRESS
Sco33,sector
NEW DELHI/
JAIPUR
LUCKNOW
Mahindra Tower
408,4th floor,
Mahinra Towers,
26G,Madhya
2A, BIKAJI
GANAPATHI
gopal Tirath plaza,
Marg,chandigarh
CAMAPLACE,
PLAZA,MI Road
Auto Sector,Opp-
160 026
NewDelhi/
Jaipur 302 006
HALL, Fizabad
KARNAL
Road,Lucknow,22
sco-15,sector
6 016
8,Main
market,karnal132 001
Distance from
Km
km
Km
Km
ZAHEERABAD
By Own power
1950
1609/2000
1730
1494
By Carrier/Trucks
2100
2010/2060
1730
1627
24 Dealers attached to the CHANDIGARH area office in those 8 main dealers

(MD), 5 mahindra authorized dealer branch (MADB), 5 mahindra authorized service
center (MASC), and 5 stockiest.
36
31 Dealers attached to the NEW DELHI/KARNAL area office in that 10 main

dealers (MD), 1 mahindra authorized dealer branch (MADB), 7 mahindra authorized
service center (MASC), 7 stockiest.
36 Dealers attached to the JAIPUR area office in those 10 main dealers (MD), 8
mahindra authorized dealer branch (MADB), 12 mahindra authorized service center
(MASC), and 2 stockiest.
39 Dealers attached to the LUCKNOW area office in those 34 main dealers (MD),
0 mahindra authorized dealer branch (MADB), 0 mahindra authorized service center
(MASC), and 2 stockiest. Totally 129 dealers attached to the north zone.
EAST ZONE: AREA OFFICE
ADDRESS
CALCUTTA
7,KYD Street, 3rd
GUWAHATI
PATNA
1st floor, consultancy
3rd floor,J-J complex,
floor, kolkatta-700
house, mani ram
East Boarding, conal
016.
deven road, bamuni
road, patna 800
maidan.
001.
Distance from
Km
Km
Km
ZAHEERABAD
By own power
1765
2956
1632
By trucks/carrier
1767
3300
1632
37
16 Dealers attached to the CULCUTTA area office in those 5 main dealers (MD),
14 Dealers attached to the GUWAHATI area office in that 7 main dealers (MD), 1
(MASC), 2 stockiest.
10 Dealers attached to the PATNA area office in those 10 main dealers (MD), 0
3 Dealers attached to the AGARTALA area office in those 2 main dealers (MD),
21 Dealers attached to the BHUBANESHWAR area office in those 5 main dealers

center (MASC), and 3 stockiest. Totally 64 dealers attached to the east zone.
38
WEST ZONE: -
AREA
MUMBAI/
OFFICE
ADDRESS
GOA
PUNE
NAGPUR
BHOPAL
AHMEDAB
AD
Mahindra
6, Jagatap
A1-
2nd floor,
APG
Towers,
marg,
indrasagar,
quality
bungalow
ground floor,
ambedkar
ravindranath
business
no.12,
worli road
road,pune-
tagore road,
center, plot
N.C.marg,sha
civil lines,
no: 7, zone II,
hibaug,
nagpur-440
M.P. nagar,
ahmedabad-
001.
commer
380 004
no. 13,
mumbai-
411 001
4000 018
complex,
Bhopal.
Distance
Km
Km
Km
Km
Km
from
Zaheerabad
By own
Goa-730
1025
1150
Goa-730
1025
1150
power
By
trucks/carrier
16 Dealers attached to the MUMBAI/GOA area office in that 8 main dealers

center (MASC), 5 stockiest.
39
21 Dealers attached to the PUNE area office in those 12 main dealers (MD), 4
10 Dealers attached to the NAGPUR area office in those 7 main dealers (MD), 0
mahindra authorized dealer branch (MADB), and 0 mahindra authorized service center
27 Dealers attached to the BHOPAL area office in those 3 main dealers (MD), 6
17 Dealers attached to the AHMADABAD area office in that 12 main dealers
center (MASC), 1 stockiest.
14 Dealers attached to the COHIN area office in that 1 main dealer (MD), 8
(MASC), and 2 stockiest.Totally 105 dealers attached to the west zone.
40
SOUTH ZONE: Area office

Address
BANGOLORE
APH, Raheja
CHENNAI
APG,Bharat
HYDERABAD
Mahindra house,
chamber, 1st floor,
Insurance
TSR complex,1-7-
husum road,
Buld,129,annasalai,
1,Park
bangalore-560 001.
Km
chennai-600 002
Km
lane,secenderabad-3
Km
By own power
750
825
120
By trucks/carrier
850
900
---
Distance from
ZAHEERABAD
15 Dealers attached to the BANGALORE area office in those 8 main dealers

18 Dealers attached to the CHENNAI area office in that 15 main dealers (MD), 2
19 Dealers attached to the HYDERABAD area office in those 7 main dealers
M.B.A,Osmania University.
41
CHAPTER - VI
DATA ANALYSIS
1Q. Since how long you are taken dealer ship of M & M vehicles?
RESPONSE
a) Before 1 year
b) Before 2 years
c) Before 3 years
d) More than 3 years
PERCENTAGE
10%
0%
20%
70%
Most of the Dealers taken PIE

their CHART
Dealer ship more than 3 years.
a) Before 1 year
20 % Dealers taken their Dealer ship before 3 years.
And 10 % Dealers taken their Dealer ship before b)

1 year.
Before 2 years
c) Before 3 years
42
d) More than 3
years
2Q. What is the present position of M & M in the market?
LINE CHART
80%
60%
40%
20%
0%
PERCENTAG
E
a)
b)
c)
d)
Before Before Before More
1 year 2 years 3 years than 3
years
RESPONSE
a) Excellent
b) Good
c) Average
d) Poor
100%
80%d) Poor
60%
c) Average
40%
b) Good
20%
a) Excellent
0%
RESPONSE a)
Excellent
0
PERCENTAGE
95%
5% COLUMN CHART
0%
0% BAR CHART
PERCENTAGE
Series2
Series1
b) Good c) Average
0.2
0.4
0.6
d) Poor
0.8
Most of the Dealers said that present position of M & M company is Excellent.
Remaining 5 % of the Dealers said present position of M & M Company is good.
43
3Q. Will you get the vehicles from the R.S.O intime?
RESPONSE
a) Yes
b) No
PERCENTAGE
90%
10%
PIE CHART
a) Yes
b) No
Most of the Dealers said that they would get the vehicle from R.S.O intime.
10 % of the Dealers said no.
LINE CHART44
1
0.8
0.6
4Q. Will Company people assist you in advertisements?

0.4
0.2
Series1
Series2
0
RESPONSE
a) Yes
b) No
RESPONSE
a) Yes
b) No
PERCENTAGE
90%
10%
RADAR
Most of the Dealers said that
companyCHART
people assist them in advertisement.
10 % of the Dealers said that no.
RESPONSE
1
b) No
45
Series1
a) Yes
Series2
5Q. What is your expectation of sales target?
LINE CHART
1
0.8
0.6
Series1
0.4
0.2
Series2
0
RESPONSE
RESPONSE
a) Reach the goal
b) Other factor
a) Yes
b) No
PERCENTAGE
100%
0%
LINE CHART
PIE CHART
120%
100%
80%
60%
40%
20%
0%
PERCENTAG
E
RESPONSE
a) Reach the goal
a) Reach the b) Other factor

goal
b) Other factor
All of the Dealers said that their expectation sales target is Reach the goal.
46
6Q. Are you satisfied with the margins given by the company?
RESPONSE
a) Yes
b) No
PERCENTAGE
100%
0%
RADAR CHART
All the Dealers said that they satisfied with the margins given by the company.
RESPONSE
1
b) No
a) Yes
Series1
47
Series2
7Q. Are you conducting any survey regarding customer satisfaction?
COLUMN CHART
1.2
1
0.8
0.6
0.4
0.2
0
Series1
Series2
COLUMN CHART
RESPONSE
0.8
RESPONSE
0.6
a) Yes
b) No
0.4
a) Yes
b) No
PERCENTAGE
90%
10%
Series1
Series2
0.2
0
RESPONSE
a) Yes
b) No
Most of the Dealers said that they are conducting survey regarding customer satisfaction.
Remaining 10 % of the Dealers said that they have no time.
48
PIE CHART
RESPONSE
a) Yes
b) No
CHAPTER VII
CONCLUSION & SUGGESTIONS
CONCLUSION
The Project has been taken up to find out the what are the problems faced by the
Dealers and what is the present company position in Twin Cities (Hyd, Sec), Zaheerabad
and Gulbarga and what are the other suggestions to the company to increase the sales. I
did the survey with the sample of 5 Dealer points in the given cities.
Actually in the market Mahindra & Mahindra have very good name.
In a survey I can conclude that the transportation (Dispatching) of the vehicles

of M & M Company is very good.
Dealers are showing their good response.
Most of the Dealers opinion is that the company advertisement is not good in
Cities. They are telling that the management is not showing interest to
increase the advertisement.
Maximum number of dealers are satisfied with the services of the company.
49
SUGGESTIONS
After Through analysis of the findings researcher offers following suggestion to

the Management of the Mahindra & Mahindra for their improvement.
The most of the dealers suggestion is the management has to maintain to their
increase the company sales.
Maximum numbers of Dealers are satisfied with the transportation. But some
are not satisfied. Because they are telling that the management is doing some
delay in transportation. Dealers suggestion is to avoid the time delay.
And most of the Dealers suggestion is to conduct the Dealers at least once in
a month.
Some of the Dealers telling that in the Regional Sale office (R.S.O) [AREA
OFFICE] is no good response. So my suggestion is the management have to
concentrate on the Area Office, which is in city.
My best suggestion is that the management has to increase the advertisement

of their vehicles. They have to concentrate on advertisement very much.
50
APPENDIX
QUESTIONNAIRE ON DISTRIBUTION CHANNEL

Dealer perception in terms of DISTRIBUTION CHANNEL.
Dealer point:
1Q. Since how long you are taken dealer ship of M & M vehicles?
a) Before one year
b) Before 2 years
c) Before 3 years
d) More than 3 years
2Q. What is the present position of M & M in the market?

a) Excellent
b) Good
c) Average
d) Poor
3Q. What is the reason to sell exclusively for M & M vehicles only?
4Q. Will you get the vehicles from the RSO in time?
Yes { }
No { }
5Q. How many types of vehicles maintaining in your dealer shop?
6Q. At present which one is the highest selling vehicle? What is the reason?
7Q. Who are your competitors?

51
8Q. What is the equal range of competitors of your vehicles?
M & M vehicles
Competitor vehicles
9Q. Will Company people assist you in advertisements?
Yes { }
No { }
10Q. Are you satisfied with the margins given by the company?
Yes { }
No { }
11Q. Will you tie up with any banks for giving vehicle loans to the customers and why?
Do you choose that particular bank?
Yes { }
No { }
12Q. How do you provide the service to make the customer satisfaction?
13Q. Are you conduction any survey regarding customer satisfaction?
Yes{ }
No { }
14Q. Have you observed any increasing sales on particular vehicle & why?
What is the reason?
52
15Q. The company gives what is your actual target to selling the vehicles that?
16Q. What is your expectation of sales target?

a) Reach the goal
b) Other factor
17Q. How do you promote the vehicles?
18Q. What is your sales Index & Sales growth?
19Q. What is the perception towards M & M vehicles?
20Q. On which factor emphasize for which vehicle?
53
BIBLIOGRAPHY
BOOKS
TITLE
1)
Marketing Management
AUTHOR
PHILIP KOTLER
McGraw HILL EDITION
2)
Principles of Management
KOONTZ
McGraw HILL EDITION
BASIC MATERIALS
1.
Profile of Mahindra and Mahindra Ltd.
2.
Product Profile of Mahindra and Mahindra Ltd.
WEB SITE ADDREESS
www.indiainfoline.com
www.automartindia.com
www.automotive.mahindraworld.com
54

Mahendra and Mahendra

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DISTRIBUTION CHANNEL

1.1 . Objectives of Study

STRUCTURE OF MARKETING DEPARTMENT

CONCLUSION & SUGGESTIONS

The survey is conducted in favor of MAHINDRA & MAHINDRA Ltd.

To deliver the goods [vehicles] in time.

To study the most effective channel of distribution of vehicles.

To give suggestion to develop companies performance in the marketing field.

To get recognition in international level.

To establish and maintain laboratories for purpose of research and development.

M.B.A, Osmania University

1.2.SCOPE OF THE STUDY

Nagole-Uppal Ring Road, Hyderabad 39.

M.B.A, Osmania University

M.B.A, Osmania University.

Mahindra FJ 470 DS4 High Roof Minibus.

M.B.A, Osmania University

M.B.A, Osmania University

M.B.A, Osmania University

Company Product Details:

Mahindra Three and Five Door Hard Top

Alternative Fuel Range:

M.B.A, Osmania University

Kandivili Plant is located at Mumbai.

position. Best top company by maintaining talented people.

By appraisal and Reward System.

M.B.A, Osmania University

By setting high ethical standards.

By Meeting set targets

By positive reputation for quality

By elimination of non-value added work.

named as Mahindra & Mahindra Limited .

was incorporated in 1945.

M.B.A, Osmania University

corporation. In year 1963 the International Tractor Company.

In 1969 Export of Vehicles started and the company started to export

M.B.A, Osmania University

M.B.A, Osmania University

M.B.A, Osmania University

M.B.A, Osmania University

M.B.A, Osmania University

M.B.A, Osmania University

Realize plans for model of the Vehicle, based on marketing.

Vehicles Engineering Department:

activity of the organization depending on customer wants. Taking consideration as privations

Looks after the new products units it goes into production.

Responsible for bringing out manual for different vehicles.

M.B.A, Osmania University

Training for apprentices

M.B.A, Osmania University

Provides service training to dealers and field officers.

Material Control Department of Ancillary Development Department:

M.B.A, Osmania University

Industrial Engineering Department:

Up Keeping of the plant and machinery for high productivity.

M.B.A, Osmania University

STRUCTURE OF MARKETING Dept (SALES SUPPORT)

M.B.A, Osmania University

Nehru Gunj, Gulbarga.

M.B.A, Osmania University

significance of distribution of the Mahindra & Mahindra vehicles.

M.B.A, Osmania University

DISTRIBUTION CHANNEL: (Def)