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Research Report on Catchment Area Analysis & Merchandising of FMCG

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Research Report on Catchment Area Analysis & Merchandising of FMCG “Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products” Report Submitted In Partial fulfillment of the requirement for the certificate of Post Graduate Programme in Retail Management Submitted By Ankur Srivastava Reg. No. – FPRB0810/005 Under the Guidance of Internal Mentor External Mentor Prof. Heema .D Mr. Dheeraj Choudhary Professor Store Manager Indian Business Academy Spencer’s Hyper Lucknow Miss. Shefali Gupta Department Manager (Fmcg –food) INDIAN BUSINESS ACADEMY Lakshmipura, Thataguni Post Kanakapura Main Road, Bangalore – 560 062 INDIA DECLARATION I, Mr. Ankur Srivastava, student of Indian Business Academy, Bangalore, declare that this project report titled “Catchment Area Analysis & Merchandising of FMCG-Food Products” is submitted in partial fulfillment of the requirement for the summer internship project during the Post Graduate Programme in Retail Management. This is my original work and has not been previously submitted as a part of any other degree or diploma of another Business school or University. The findings and conclusions of this report are based on my personal study and experience, during the tenure of my summer internship. Mr. Ankur Srivastava FPRB0810/005 Indian Business Academy Lakshmipura, Thataguni Post Kanakpura Main Road, Bangalore – 560062 INDIA Tel: +91-80-28435931/32/33/34 Fax: +91-80-28435935 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products Acknowledgement It is a great pleasure for me to express my hearty and sincere gratitude to my CEO Mr. Manish Jain , My Dean. Dr. Subhash Sharma & faculty guide, Mrs Hema.D, under whose genuine and inspiring guidance the present piece of investigation could get its present shape within such a limited range of time. I am highly thankful to Mr. Deeraj Chaudhary (Store Manager Spencer’s Hyper, Lucknow) who guided me in the survey, Ms Shefali Gupta (Department Manager FMCG-Food) for giving me a deep insight about the category and the working of Spencer’s and to the management of Spencer’s for permitting me to carry out present research work. Special thanks are also due to all the customers and employees of the Spencer’s for their precious co-operation provided to me during the period of data collection. More than anyone I wish to records my feelings of gratefulness to my family members. I am thankful to my father Mr .Pramod Kumar Srivastava, my mother Preeti srivastava, my sister Shweta Srivastava and all my friends. Their inspirations, affection, care and whose blessings have given me necessary enthusiasm and encouragement to complete this work. Place: Lucknow Ankur Srivastava Spencer’s Hyper--Lucknow Page 3 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products CEO’S CERTIFICATE This is to certify that Mr. Ankur Srivastava is a bonafide student of Indian Business Academy, Bangalore. He is presently pursuing Post Graduate Programme in Retail Management. He has submitted his project report titled “Catchment Area Analysis & Merchandising of FMCG-Food Products” in partial fulfillment of the requirement for the Summer Internship Project during the Post Graduate Diploma in Retail Management. This report has not been previously submitted as part of another degree or Diploma of any other Business School or University. Mr. Manish Jain, Indian Business Academy Lakshmipura, Thataguni Post Kanakpura Main Road, Bangalore – 560 062 INDIA Tel: +91-80-28435931/32/33/34 Fax: +91-80-28435935 Spencer’s Hyper--Lucknow Page 4 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products DEAN’S CERTIFICATE This is to certify that Mr. Ankur Srivastava is a bonafide student of Indian Business Academy, Bangalore. He is presently pursuing Post Graduate Programme in Retail Management. He has submitted his project report titled “Catchment Area Analysis & Merchandising of FMCG-Food Products” in partial fulfillment of the requirement for the Summer Internship Project during the Post Graduate Diploma in Retail Management. This report has not been previously submitted as part of another degree or Diploma of any other Business School or University. Dr. Subhash Sharma, Indian Business Academy Lakshmipura, Thataguni Post Kanakpura Main Road, Bangalore – 560 062 INDIA Tel: +91-80-28435931/32/33/34 Fax: +91-80-28435935 Spencer’s Hyper--Lucknow Page 5 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products MENTOR’S CERTIFICATE This is to certify that Mr. Ankur Srivastava is a bonafide student of Indian Business Academy, Bangalore. He is presently pursuing Post Graduate Programme in Retail Management. He has submitted his project report titled “Catchment Area Analysis & Merchandising of FMCG-Food Products” in partial fulfillment of the requirement for the Summer Internship Project during the Post Graduate Diploma in Retail Management. This report has not been previously submitted as part of another degree or Diploma of any other Business School or University. Prof. Hema .D, Indian Business Academy Lakshmipura, Thataguni Post Kanakpura Main Road, Bangalore – 560 062 INDIA Tel: +91-80-28435931/32/33/34 Fax: +91-80-28435935 Spencer’s Hyper--Lucknow Page 6 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products Content Part I - Corporate Analysis Page Nos. Corporate profile - chapter I 8 Business Model - Chapter II 28 Functional areas or Department - Chapter III 42 Merchandise Mix - Chapter IV 43 Retail service Model - Chapter V 52 Value Chain and Back end operations - Chapter VI 54 Technology in Retail - Chapter VII 56 Store Operations-Chapter VIII 59 Learning Outcomes of Tasks 62 Part II - Research Analysis Review of Literature 64 Methodology of the study 67 Analysis of Data 72 Limitation 95 Finding & Conclusion 96 Bibliography 97 Annexure Spencer’s Hyper--Lucknow Page 7 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products Part 1 – Corporate Analysis Chapter -1 Introduction Corporate Profile Overview RPG Enterprises, established in 1979, is one of India’s fastest growing business groups with a turnover touching Rs. 15,000 cr. The group has more than twenty companies managing diverse business interests in the areas of Power, Tyre, Transmission, IT, Retail, Entertainment, Carbon Black, and Specialty. Wide-ranging businesses, growing returns and a reputation to reckon, makes working with RPG an enriching experience. Where entrepreneurial skills are valued, excellence is the by-word, and performance is a pre-requisite. Management The RPG Management Board is the backbone of the conglomerate. Its members are highly qualified professionals, well experienced in their respective fields. Values RPG’s business ethics promote higher levels of excellence. The group’s values of Customer Sovereignty, People Orientation, Innovation & Entrepreneurship, Transparency & Integrity, Passion for Superior Performance, Anticipation, Speed and Flexibility propel it to perform and excel in all spheres of the business. Quality RPG quality determines success. Continuous process improvements are carried out to ensure complete satisfaction of customer and market requirements. Beyond Business RPG is a socially responsible organization; believing in giving back to the community what it has gained from it. The group regularly contributes toward the welfare of various social groups and is involved in promoting social activities in the field of sports and arts. History Spencer’s Hyper--Lucknow Page 8 Research Report on Catchment Area Analysis & Merchandising of FMCG-Food Products The history of RPG began in 1820 when Ramdutt Goenka, from a small town in Rajasthan, came to Calcutta to do business with the British East India Company. The following milestones speak of his enterprising efforts, and the subsequent growth of the RPG group. • By the 1900s the Goenkas establish themselves in diverse business sectors like banking, textiles, jute and tea. • Sir Hariram Goenka and Sir Badridas Goenka are conferred knighthood by the British for outstanding contribution to business and the community. • In 1933, Sir Badridas Goenka becomes the first Indian to be appointed Chairman of the Imperial Bank of India (now the State Bank of India). • He is elected President of the Federation of Indian Chambers of Commerce and Industry (FICCI) in 1945. • Keshav Prasad Goenka (son of Sir Badridas Goenka) continues the successful trait of entrepreneurship. • In 1950 Goenka’s acquire two British trading houses - Duncan Brothers and Octavius Steel. • After successful acquisitions in the areas of tea, automobile, tyre, jute, cotton textile and electric cables, Keshav Prasad Goenka retires in the 70s. His business is taken over by his three sons. • One of the sons, Rama Prasad Goenka (better known as RP Goenka), starts RPG Enterprises in 1979 with Phillips Carbon Black, Asian Cables, Agarpara Jute and Murphy India. • The 80s see further acquisitions by the RPG group, the first being CEAT Tyres of India in 1981. The group then went on to acquire KEC (1982); Searle India, now RPG Life Sciences (1983); Dunlop (1984); HMV (1988); and finally CESC, Harrisons Malayalam, Spencer & Co. and ICIM in 1989. • RP Goenka’s sons Harsh (Chairman) and Sanjeev (Vice-Chairman) spearhead the group’s management from 1990. • RP Goenka currently oversees the group’s affairs as “Chairman Emeritus”. Today, RPG has more than twenty companies across eight business sectors, with a Turnover of Rs. 15,000 cr. Milestones 1863 John William Spencer and Charles Durrant open the first ever Spencer store in Chennai
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