INTRODUCTION

Asian Paints India Ltd. was founded in 1942 as a small partnership firm & now is India's largest paint company. It ranks amongst the top ten decorative coatings companies in the world today, with a turnover of Rs.54.63 billion. Asian Paints operates in 22 countries and has 28 paint manufacturing facilities in the world servicing consumers in over 65 countries. Asian Paints product range includes Decorative Paints, Industrial Paints & Automotive Paints. Besides, the Company operates around the world through its subsidiaries Berger International Limited, Apco Coatings and SCIB Chemicals. Asian Paints has its presence in almost all the segment through its brands Royale in the premium segment, Apcolite in the mid-segment, Gattu, Tractor, Utsav and 3-Mango etc. in the lower segment.

HISTORY
1st February, 1942: Armed with little knowledge and great determination, Champaklal H. Choksey, Chimanlal N. Choksi, Suryakant C. Dani and Arvind R. Vakil get together to manufacture paint in a garage on Foras Road, Bombay. 1945: Asian Paints touches a turnover of Rs. 3,50,000. 1954 : Asian Paints mascot, Gattu, the mischievous kid, is born. 1957 66 : The family-owned company makes the transition to a professionally managed organisation. 1967 : Asian Paints emerges as India's leading paint company ahead of any international competition. 1973 : AP becomes public ltd company 2002 : AP was a market leader of Indian Decorative Paints with market share of 44%

VISION
Asian Paints aims to become one of the top five Decorative coatings companies world-wide by leveraging its expertise in the higher growth emerging markets. Simultaneously, the company intends to build long term value in the Industrial coatings business through alliances with established global partners.

Subsidiaries:
Apco Coatings Limited Asian Paints Industrial Coatings Limited Berger International Limited (BIL)

SCIB Paints Asian PPG Industries Limited Taubmans Paints

Balance sheet
Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07

Sources of funds
Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 95.92 1,879.40 95.92 1,461.30 95.92 998.55 95.92 832.58 95.92 648.16

Loan funds
Secured loans Unsecured loans Total 23.43 25.59 24.59 36.70 66.90 40.70 40.70 40.70 40.70 40.70 2,039.45 1,623.51 1,159.76 1,005.90 851.68

Uses of funds
Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments 1,611.22 554.03 1,057.19 67.32 1,034.76 1,194.39 486.93 707.46 380.72 703.69 1,364.85 1,533.21 -168.36 1,623.51 1,116.93 494.02 622.91 164.64 234.77 1,172.36 1,034.92 137.44 1,159.76 937.89 509.06 428.83 136.25 422.88 1,035.22 1,017.28 17.94 1,005.90 806.20 471.29 334.91 16.31 334.39 869.21 703.15 166.06 851.68

Net current assets

Current assets, loans & advances 1,729.79 Less : current liabilities & provisions 1,849.61 Total net current assets -119.82 Miscellaneous expenses not written Total 2,039.45

Customer Profile
Asian paint with its natural competitive advantage of size (Number 1 in India), Strong brand equity & largest distribution Network has acquired the number one position in Decorative segment in India. There are few reasons due two which the customers in the decorative segment has been choosing Asian Paint as their brand 1. As we know brand name has its own value & Asian paint is the number one in decorative segment, so a purchaser automatically leans in purchasing it. For example, we have two different types of paints, namely Apolite glass Aenamel & Apolite care Emulsion, which are from Asian Paints, Nerolac paints, Berger paints & ICI paints. Again due to the competitive market the price is very closed for all the companies. But due to the Branch awareness of common people they mostly tend to purchase the products from Asian paints. 2. Company have provided with different varieties of product for different income groups. For e.g. UTSAV which is a low value paint, is growing at a faster rates & penetrating with high speed at the lower income group. This policy is helping the company to move from metros to small towns for branded products. 3. In India frequency of painting has still not increased, which is once is 5 years only. So consumers are normally changing over to the better quantity & branded paints. In 2001, Asian Paint launched a new product Tractor Emulson, which pulled the customer who used distemper to move to emulation paints.

Market Share
Asian Paints is Indias leading paint manufacturing company with a market share of 50% in the organized paint market offering a wide array of products.

Competitor with market share

Nerolac Paints Berger Paints ------- 17% ------- 17%

Product Mix
Asian DECORATIVE PAINTS INDUSTRIAL AUTOMOTIVE ANCILLARIES

Nerolac Decorative Paints General Industrial Coatings Automotive Coatings High Performance Coatings Powder Coatings Speciality Coatings Berger paints Interior wall coating Exterior wall coating Metal and wood paints Living green Construction chemical

Pricing
The price range of Asian paint varies according to the product. Asian paint had always a stragegy in domination in the rural sector. The product that is supplied to the rural area have low price range. Where as in the urban sector some of the high price product circulates. Factors which influence price of paint Prices of the raw materials Import Policies Global Crude oil Prices Govt. Policies Packaging Costs

Distribution Network
Asian Paints Extensive distribution network of: 4 manufacturing units 6 regional distribution centres 55 Depots 15,000 Dealers (Urban+local)

 90,000 Sub-dealers Exclusive 3000 asian paints stores 4500 colour world stores Nerolac
Nerolac has a strong distribution network of over 11,000 dealers.The company has 8 sales divisions and 66 depots in the country to meet local demands.