University of Petroleum & energy studies _SIP_Report_2017-2018

UNIVERSITY OF PETROLEUM & ENERGY STUDIES

School Of Business, Dehradun

Project Report
On

“A Study on FINANCIAL AFFAIRS of DROLIA ELECTRO STEELS

LIMITED”

(Summer Internship Program)

Bachelor of Business Administration
(with specialization in…AUTO MARKETING…………)

2017-2020

Submitted to: Submitted by:

Dr.Ankur Kumar Rastogi AVISH MAKHIJA

Facuilty 500063524
Dep.General management R300217029

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University of Petroleum & energy studies _SIP_Report_2017-2018

Acknowledgement

I would like to express my gratitude and appreciation to all those who gave me the possibility to
complete this report. A special thank you to my mentor, Dr Ankur Kumar Rastogi sir, whose
help, simulating suggestions and encouragement, helped me to coordinate my project especially
in writing this report.
I would also like to acknowledge the staff of DROLIA ELECTRO STEELS LIMITED, who
gave the permission to use all required material and for allowing me to see how work is done in
the company.
A special thanks to Mr K Laxami Narayan Sir, who helped me while doing this internship and
for explaining me how work is done in the company.
Last but not least, many thanks to all my family members and friends who helped me in
completing this project.
Student’s Name: AVISH MAKHIJA
Course: BBA specializing in AUTO MARKETING

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University of Petroleum & energy studies _SIP_Report_2017-2018

CERTIFICATE

This is to certify that the summer internship report title ‘FINANCIAL AFFAIRS.
Submitted by AVISH MAKHIJA to UPES for partially fulfillment of requirement for
bachelors of business administration (Auto Marketing) is a bonafide record of the
internship word carried out by him under my supervision and guidance. The content of the
report, in full or part have not been submitted to any other Institute or University for the
award of any other degree or diploma .

Signature of faculty, mentor

Dr. Ankur Kumar Rastogi

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University of Petroleum & energy studies _SIP_Report_2017-2018

Table of Contents

1. INTRODUCTION………………………………………………. Page No. 4

2. COMPANY PROFILE………………………………………………. Page No. 8
3. RESEARCH OBJECTIVE ………………………………………………. Page No.12
4. POLICIES&MARKETING SRATERGIES …………………………… Page No.18
5. DATA ANALYSIS………………………………………………. Page No.22
6. SUGGESTIONS&LIMITATIONS ……………………… Page No. 41
7. APPENDIX ………………………………………………. Page No.48
8. CONCLUSION…………………………………………… Page No.49
9. BIBLOGRAPHY ………………………………………………… Page No.52

CHAPTER-1

INTRODUCTION
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University of Petroleum & energy studies _SIP_Report_2017-2018

INTRODUCTION

Marketing strategies are the means by which a marketing goal is to be achieved usually
characterized by a specified target market and a marketing program to reach it. Each institution
has a marketing strategy, which is an overall plan for the attainment of institutional goals.

In this chapter, we consider the place of marketing strategies in an organization. In attempting this
we start by defining the concept of “strategy” from the perspective of a selected view.

1.1. DEFINITION OF MARKETING

Dr. Philip Kotler defines marketing as “the science and art of exploring, creating, and
delivering value to satisfy the needs of a target market at a profit. Marketing identifies
unfulfilled needs and desires. It defines measures and quantifies the size of the identified
market and the profit potential. It pinpoints which segments the company is capable of
serving best and it designs and promotes the appropriate products and services.”

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Marketing is traditionally the means by which an organization communicates to, connects

with, and engages its target audience to convey the value of and ultimately sell its products
and services. However, since the emergence of digital media, in particular social media and
technology innovations, it has increasingly become more about companies building deeper,
more meaningful and lasting relationships with the people that they want to buy their products
and services. The ever-increasingly fragmented world of media complicates marketers’ ability
connect and, at the same, time presents incredible opportunity to forge new territory. Julie
Barile – Vice President of ecommerce, Fairway Market

1.2. DEFINITION OF STRATEGY

Strategy is viewed in different ways by various authorities. The oxford advanced learners
dictionary defined “strategy” as art of planning and directing an operation in a war or campaign or
skill in planning or managing any affair well, or a plan or policy designed for a particular purpose.

Chandler (1962) sees a strategy as:

“The determination of the basic long term goals and objectives of an enterprise and the
adoption of courses of action and the allocation of resources necessary to carry out these
goals”.

Anthony (1965) defines strategies as resulting from:

“The process of deciding on objectives, on the resources used to attain these objectives and
the policies that are to govern the acquisition, use and disposition of these resources”.

Andrew (1971) sees strategy as the pattern of objectives, purposes or goals and plans for achieving
these goals stated in such a way as to define what business the company is in or is to be in and the
kind of company it is or is to be.

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A critical examination of all the views and definitions above show that while the term “strategies”
still usually has a competitive implication, it has been increasingly used to reflect broad overall
concepts of an enterprise operations. “Strategies”, therefore, most often denote a general program
of action and an implied deployment of emphasis and resources to attain comprehensive objectives

1.3. MEANING OF MARKETING STRATEGIES

Strategy as earlier on stated among others is the means by which objectives are achieved. It
objectives specify what is to be done, then strategy lays down how it is to be done. Marketing
strategy according to Kotler, Armstrong, Saunders and Wong (1999) is the marketing logic by
which the business unit hopes to achieve its marketing objectives.

That is it shows how strategies for target markets and positioning build upon the firms differential
advantages. It should detail the market segments on which the company will focus. These segments
according to Kotler et al (1999) differ in their needs and wants responses to marketing and
profitability. The company should put its effort into those market segments it can best serve from
a competitive point of view. It should develop a marketing strategy for each targeted segment.

Kotler (1990) defines marketing strategy as the broad principles by which the business unit
expects to achieve its marketing objectives. It consists of basic decisions on total marketing
expenditure, marketing mix and marketing allocation.

In the view of Bovee and Thill (1992), marketing strategy is the overall plan for choosing a target
and succeeding within it through product, pricing, distribution and promotional choices. This is
companies with a strong marketing cultures develop strategies that are build around satisfying their
customers. The first step in developing a marketing strategy according to Bovee and Thill (1992)

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is to research the market thoroughly and pick out groups of target customers. The second step is
to create the Marketing mix, a sort of recipe for success that is periodically updated to meet
changing market conditions.

CHAPTER-2

COMPANY PROFILE

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2.1. PROFILE OF THE ORGANISATION

Drolia Electrosteel Pvt. Ltd. (DEPL) One of the leading steel producer in Chhattisgarh. DEPL is
with a turnover of around Rs.200 crores. Quality steel products from DEPL, have carved a niche
for themselves in the Chhattisgarh steel market. The company aims at making its global presence
felt through export, joint ventures and alliance with Chhattisgarh reputed steel markets.

In a fast changing product market scenario, DEPL has launched a new strategy for achieving a
turnaround, which includes financial restructuring and business restructuring to focus on core
business of making steel (Billets) and withdrawing from non-core and non-viable activities.
Making employees focus on market requirement, ensuring greater involvement of plans in
marketing initiative, achieving cost leadership through rigorous cost cutting drive and rationalizing
manpower to bring down the total number of employees to competitive levels are some other facets
of the strategy.

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Fig. 2.1

In the new millennium, there is a strong focus on DEPL’s business activities for customer
satisfaction, adopting an approach for increased synergy between production capabilities and
market need’s and ensuring supply of customized products with shorter lead times.

DEPL has been progressively investing in technological up gradation of its plants and facilities for
supporting costs reduction, improving product quality and yields, and for environmental
protection. In the new millennium, the accent of DEPL has been to accelerated the process of
change, adapt to emerging competitive business environment and excel as a business organization
within India.

2.2. VISION OF DEPL

To be a respected world Class Corporation and the leader in Indian steel business in quality,
productivity, profitability and customer satisfaction.

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2.3. MISSION OF DEPL

 We build lasting relationships with customers based on trust and mutual benefit.

 We uphold highest ethical standards in conduct of our business.

 We create and nurture a culture that supports flexibility, learning and is proactive to change.

 We chart a challenging career for employees with opportunities for advancement and rewards.

 We value the opportunity and responsibility to make a meaningful difference in people’s lives.

CHAPTER-3

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RESEARCH OBJECTIVE
AND METHODOLOGY

3.1. SIGNIFICANCE

The first & foremost step in any research work is to identify the problems or objectives on
which the researcher has to work on.

Any Research has its own importance in any business organization. The research shows
the real fact about product as well as organization. Research is a systematic and scientific
investigation of any idea either precise or abstract from a continuous basis for learning ,
it could be either exploratory or descriptive.

According to above definition research is a systematic and scientific investigation

through which any organization try to find out its strength and weakness as well as
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opportunity and threat. As we know in the present era the business activities have become
more complex and complicated due to modern technology, globalization and liberalization and
in other hand today customer are highly conscious about products and brand .

In recent time customers are not blind follower of a product. They are giving high priority
to all feature like price, quality, innovative features etc. But after all this features brand
becomes the inevitable parts of any product because it gives the complete identification of product
so it is also the one most important part.

My research work is highly focused on this issue, which is important for me as well as the
organization. During research work I learnt retailer’s opinion about product and services.

I learnt which factors affect the retailer to sale an individual product, this research gives
me insight to understand the retailers problem as well their area of interest, in this I got the
great experience about the market

For company point of view I tried to find the serious drawback, which is highly,
affected the sale of Steel (Billets). I tried to find market share of DEPL which is itself
important .

3.2. MANAGERIAL USEFULNESS OF THE STUDY

The research is a systematic investigation of any idea. The research is widely used in the
business world for analyzing & evaluation business policy as well as the analyzing & evaluates
competitor’s activity and policy. The research is itself valuable. The research gives fact and figure,
which is useful in planning.

As it is obvious any business activity is based on to the 4 P’s of marketing viz. price,
product, promotion, place all these P’s have its own importance and all are inter-related with each
other but most importantly all the factor are independent in the nature. In any organization all
factors are carefully formulated to gain a success in the market. It is very important for business
analyst to evaluate the modern trend and market position. In the other hand it is vital for business

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operation to know the need and desire of customer. All the necessary information is received from
market by research work.

The study reveals many facts that have come up during my project and these facts can
either be used as opportunities in exploring and expanding the business as well as can be used as
safeguards against threats by the competitions. A company should maintain good relation with
their distributors and retailers keeping in view competitive orientation in today’s Indian market.
Company should neither put much emphasis on competitors positioning nor should it solely
concentrate on its own products and policy. Rather it should find midway between these two
extremes and adopt flexible policy. Companies should manage a good balance of declares retailer,
consumer & competitors monitoring.

The information will prove beneficial in taking proactive action for combating competition
.the standing of the company and its competitors in the mind off the retailer in a vital factor in
deciding the success of business the study also aims at finding out the market share in term of their
sale, product penetration demand etc which is adjusted by retailer. This information is good guide
to management as it brings out the strength of the competition their product penetration, product
demand their promotion policy, which gives an overview where the company needs to improve.
This study basically aimed at providing the management desired vital information about the market
situation.

3.3. OBJECTIVES OF THE STUDY

Steel Industries play a vital role in maximization of national income in every country like India.
The objective of the project is to evaluate the contribution and performance of steel industries in
India.

This evaluation is also concerned with the competitiveness of Indian steel industries in foreign
market. These evaluations are based on the kind of efforts that the Indian steel industries are
making and generating desired results for maximum performance.

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The following are the objectives of my present study:-

 To study the role of Indian Steel Industry in the contribution to National Income.

 To evaluate the present marketing strategy and key attributes help to enhance the efficiency of
Steel Industry.

 To know the export capacity of Indian steel industry to enhance national income.

3.4. SCOPE OF THE STUDY

There are some of the following scopes of study:-

 This study can be applied to find out an effective role of steel industries related to other
economic sectors in India.

 From the present study we can know the market share of different Steel firms and accordingly
formulated strategy to enhance it.

 The present study can be extended to assess the present marketing condition of different Steel
Plants.

 The study can be used to design a proper product, price, place & promotional strategy for the
by-products of different Steel Plants.

3.5. RESEARCH METHODOLOGY

I carried out a research which is both qualitative and quantitative in its support. The qualitative
approach applies to both, descriptive and inductive forms of research. While as in case of
quantitative approach, an extensive use has been made of the literature available to carry out a
detail research on the nature of the problem. I have chosen DEPL as the target company.

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A combination of both primary and secondary resources have been used to achieve the aims and
objectives of this report

Primary data collection methods

Sample area: Siltara, Industrial Area, Raipur (C.G.)

Sample unit: officials and employees of DEPL

Method of collection of data: Questionnaire method as well as interview method was employed
to extract best results from the target respondents

SECONDARY RESEARCH

The secondary sources of data consists of books for an academic perspective, industry journals,
magazines for competitive strategy, annual reports, government publications and views of other
authors.

Some of the secondary sources of information include

 Books
 Internet links
 Journals

ANALYSIS

The results of the questionnaire were analyzed using graphs and charts and a trend on the internal
working of the organization were marked out. This allowed reaching conclusions on the issue as
to whether the internal operations of the organization are conducive for growth or not.

The results of the interviews would allow us to go in-depth into the marketing policies of the
organization and would allow us to link it to the future competitive position.

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Both quantitative and qualitative data analysis shall be done by using appropriate means which
complies with both academic and professional standards.

CHAPTER-4

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POLICY & MARKETING

STRATEGY OF
COMPANY

4.1. EVALUATION OF MARKETING STRATEGY OF DEPL

Marketing is the process of planning and executing the conception, pricing, promotion and
distribution of ideas, goods and services to create and exchange that satisfy individual and
organizational objective. The marketing concept requires that customer satisfaction rather than
profit maximization is the goal of the organization. In other words, the organization should be
consumer oriented and should try to understand consumer’s requirement and satisfy them quickly
and efficiently, in way that are beneficial to both organization and the consumer. This means that
any research organization should try to obtain information on consumer need and gather marketing
intelligence to help and satisfy these needs efficiently.

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Marketing research is a critical part of such a marketing intelligence system, it helps to improve
management decision making by providing relevant, accurate and timely information. Every
decision poses unique needs for information and relevant strategies can be developed based on the
information gathered through marketing research.

One of the major tasks in researching a market is to estimate it’s a current decisions hang on these
estimates whether the market demand upon in future to justify the market entry. Once a company
enters a market segment in order to allocate it resources effectively. Thus we can see that demand
estimate is essential in carrying out three important functions: -

 Analysis of market opportunities

 Planning of marketing efforts

 Control of marketing performance

A market is a set of all actual and potential buyer of a product. The actual or, available market is
a set of buyer who has interest and access to a particular market offer. If the organization is not
satisfied with its current sales or has some expansion plans, it could try to attract a large percentage
of people from its served market by promoting the product to available market. Untimely it could
try to expend the potential market by launching the campaign to convert uninterested buyer into
interested buyer.

4.2. SECONDARY PRODUCT

In the process of making core project some defective come out. Because of some of
break down and some mechanical default. We also get some scrap in the process of making cutting
sheets. These secondary products are process from the beginning or sold through the auction and
lot sale.

For a nation that is economically strong, free of the problems of underdevelopment and plays a
meaningful role in the world as befits a nation of over one billion people, the groundwork would

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have to begin right now. The Steel Industry will be required and is willing to play a critical role in
achieving this target.

4.3. PRODUCT STRATEGY

Steel will continue to have a stronghold in traditional sectors such as construction,

housing, ground transportation, special steels will be increasingly used in hi-tech engineering
industries such as power generation, petrochemicals, fertilizers etc. As the key attributes discussed
above are very much in favor of steel industry.

In budget 2004-05, the customer duty on non-alloy steel was reduced steel from 15% to 10% and
on alloy steel from 20% to 15%. Further, custom duty on several raw materials used by the steel
sector like non-coking coal, met coke and nickel has been reduced to 5% and on coking coal to
zero. So government is also coming forward to make Indian steel industry a global hub.

Marketing is one of the most dynamic fields in any business along with finance, production and
operations, Human resource management and systems. Its orientation needs to be handled
carefully as it is only through integration of marketing with other fields that makes an organization
successful or face the odds. Indian steel industry is also concentrating on its marketing activities.

4.4. POLICY IMPLICATION

There are some steps need to be taken to help the Indian Steel Industry achieve its potential which
is as follows:

Steel is yet to touch the lives of millions of people in India. Per capita consumption of steel in
India is only 29 kg and has to go a long way to reach consumption levels of around 400 kg in
developed countries like USA and world average of 140 kg.

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There is a need to continue the current thrust on infrastructure related activities and extend them
to rural India. Rural Indian today presents a challenge for development of the country and the
opportunity to increase usage of steel in these areas through projects such as rural housing etc.

Current shortage of inputs has pushed up the costs for the steel industry. Government should ensure
that quality raw material such iron-ore and coke are available to the industry. With Ministry of
Steel targeting an output of 100 MT of steel there is an urgent need to develop raw material
resources for inputs like iron-ore and coal within or outside the country. Countries like Japan have
already taken similar steps to safeguard their industries.

Adequate enabling infrastructure such as power, ports, roads, rail transport is pre-requisite for the
steel industry to remain competitive.

Government should not regulate prices and free market forces should prevail. Intervention by the
Government is only a short-term solution to the issue of steel prices in the country. Once left alone,
market dynamics will automatically ensure price corrections and determine the optimum price of
steel.

The Indian steel Industry is amongst the least protected in the world. While developed countries
have put numerous tariff and non-tariff barriers on steel exports from the country, the domestic
industry is exposed to cheaper imports from competing nations. As in case of other important
industries, the Government should give reasonable levels of protection to the domestic steel
industry, which is just starting to get back on its feet.

Today, Indian producers employ world-class standards of technology. Steel from Indian finds
growing acceptability in international markets. But despite this India’s share in world trade steel
is a miniscule 2%. Given the capabilities of the Indian steel industry there is tremendous scope to
increase this share further. While the steel industry will continue servicing the domestic demand
there is a lot of untapped export potential with the industry.

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CHAPTER-5

DATA ANALYSIS &

INTERPRETATION

QUESTIONNAIRE ANALYSIS DEPL OFFICIALS

(Please tick your choice)

Q1. Which company do you think is the main competitor of your company?
 Sarda Energy & Minerals Ltd. ----------------------------------- 50 per cent
 Hi Tech Power & Steel Ltd. ------------------------------------- 20 per cent
 Vandana Global -------------------------------------------------- 30 per cent
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No. Of Employees
Name of the Company (Out Of 10 Percentages
Employees)
Sarda Energy & Minerals Ltd. 5 50%
Hi Tech Power & Steel Ltd. 2 20%
Vandana Global 3 30%

60%
50%
50%

40%
30%
30%
20%
20%

10%

0%
Sarda Energy & Minerals Ltd. Hi Tech Power & Steel Ltd. Vandana Global

Fig. 5.1

Q2. How would you rate your companies’ competitiveness in relation to the industry?
 Less Competitive ------------------------------------------ 20 per cent
 Moderately Competitive --------------------------------- 60 per cent
 Very Competitive ------------------------------------------ 20 per cent

No. Of Employees
Level of Competitiveness Percentages

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(Out Of 10
Employees)
Less Competitive 2 20%
Moderately Competitive 6 60%
Very Competitive 2 20%

70%

60%
60%

50%

40%

30%

20% 20%
20%

10%

0%
Less Competitive Moderately Competitive Very Competitive

Fig. 5.2

Q3. In your opinion is your company ready to expand other states like other steel
companies?

 Yes ----------------------------------------------------------- 70 per cent

 No ----------------------------------------------------------- 30 per cent

No. Of Employees

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Opinion of Employees (Out Of 10 Percentages

Employees)
Yes 7 70%
No 3 30%

80%

70%
70%

60%

50%

40% Yes

30% No
30%

20%

10%

0%
DEPL

Fig. 5.3

Q4. In your opinion, which style of leadership does your company have?

 Autocratic ---------------------------------------------------- 10 per cent

 Moderate -------------------------------------------------------- 60 per cent
 Democratic ------------------------------------------------------ 30 per cent
No. Of Employees
Opinion of Employees Percentages

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(Out Of 10
Employees)
Autocratic 1 10%
Moderate 6 60%
Democratic 3 30%

45
40
40

35
30 30
30

25 Autocratic
Moderate
20
Democratic
15

10

0
DEPL

Fig. 5.4

Q5. How are the atmosphere and the environment at work?

 Very Tensed ---------------------------------------- 70 per cent

 Tensed ----------------------------------------------- 20 per cent
 Moderate -------------------------------------------- 10 per cent
 Relaxed ------------------------------------------------- 0 per cent

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 Very Relaxed ------------------------------------------ 0 per cent

No. Of Employees
Opinion of Employees (Out Of 10 Percentages
Employees)
Very Tensed 7 70%
Tensed 2 20%
Moderate 1 10%
Relaxed 0 0%
Very Relaxed 0 0%

80%
70%
70%

60%

50% Very Tensed

Tensed
40%
Moderate

30% Relaxed
Very Relaxed
20%
20%
10%
10%
0% 0%
0%
DEPL

Fig. 5.5

Q6. How would you rate the turnover rate in your organization?

 Very High ------------------------------------------------ 10 per cent

 High --------------------------------------------------------- 30 per cent
 Medium --------------------------------------------------- 60 per cent
 Low ----------------------------------------------------------- 0 per cent

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 Very Low ----------------------------------------------------- 0 per cent

No. Of Employees
Opinion of Employees (Out Of 10 Percentages
Employees)
Very High 1 10%
High 3 30%
Medium 6 60%
Low 0 0%
Very Low 0 0%

70%
60%
60%

50%
Very High
40% High
30% Medium
30%
Low
20% Very Low

10%
10%
0% 0%
0%
DEPL

Fig. 5.6

Q7. According to you how is the culture of the organization?

 Conducive for growth ----------------------------------------- 90 per cent

 Hinders Growth ------------------------------------------------- 10 per cent
Opinion of Employees No. Of Employees Percentages

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(Out Of 10
Employees)
Conducive for Growth 9 90%
Hinders Growth 1 10%

70
65

60

50

40
35
Conductive For Growth

30 Hinders Growth

20

10

0
DEPL

Fig. 5.7

Q8. Does your company have a clear and defined future goal?

 Yes --------------------------------------------- 90 per cent

 No ---------------------------------------------- 10 per cent
No. Of Employees

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Opinion of Employees (Out Of 10 Percentages

Employees)
Yes 9 90%
No 1 10%

100%
90%
90%

80%

70%

60%

50% Yes
No
40%

30%

20%
10%
10%

0%
DEPL

Fig. 5.8

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Q9. How clear are authority and responsibility relationships defined in your
organization?

 Very clear ------------------------------------------------ 80 per cent

 Very unclear -------------------------------------------- 0 per cent
 Can’t say ------------------------------------------------- 20 per cent
Opinion of Employees No. Of Employees Percentages
(Out Of 10
Employees)
Very Clear 8 80%
Very unclear 0 0%
Can’t say 2 20%

90%

80%
80%

70%

60%

50%
Very Clear
Very UnClear
40%
Can't say

30%

20%
20%

10%

0%
DEPL

Fig. 5.9

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Q10. The future is very competitive; do you think your organization is ready to face the
competition?

 Yes ---------------------------------------------------- 80 per cent

 No ----------------------------------------------------- 20 per cent
No. Of Employees
Opinion of Employees (Out Of 10 Percentages
Employees)
Yes 8 80%
No 2 20%

90%

80%
80%

70%

60%

50%
Yes
40% No

30%

20%
20%

10%

0%
DEPL

Fig. 5.10

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QUESTIONNAIRE ANALYSIS CUSTOMERS

(Please tick your choice)

Q1. Do you agree that the steel industry in Chhattisgarh is witnessing an industrial and
market boom?

 Yes -------------------------------------------------- 83.33 per cent

 No ---------------------------------------------------- 6.66 per cent
 Don’t know/ Can’t say -------------------------- 10 per cent
No. of Customers
Opinion of Customers (Out Of 30) Percentages
Yes 25 83.33%
No 2 6.66%
Don’t know/ Can’t say 3 10%

90% 83%
80%
70%
60%
50% Yes

40% No
Don't know/ Can't say
30%
20%
10%
10% 7%

0%

Fig. 6.1

Interpretation:

The above response reflects that the rolling steel industry in India is presently witnessing an
industrial and a market boom.

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Q2. What is the awareness of DEPL in steel market?

 Good ------------------------------------ 50 per cent

 O.K. -------------------------------------- 33.3 per cent
 Poor -------------------------------------- 6.6 per cent
 Do not know/ Can’t say --------------- 10 per cent
No. of Customers
(Out Of 30) Average
Good 15 50%
O.K. 10 33.3%
Poor 2 6.66%
Don’t know/ Can’t say 3 10%

60%

50%
50%

40%
33.30% Good
O.K.
30%
Poor
Don't know/ Can't say
20%

10%
10% 6.60%

0%

Fig. 6.2

Interpretation:

The awareness level in the market about the DEPL products is quite good.

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Q3. Do you agree that the Steel market is growing at a fast pace and thereby attracts
market leaders?

 Yes ------------------------------------------------- 76.6 per cent

 No --------------------------------------------------- 13.33 per cent
 Do not know/ Can’t say ----------------------- 10 per cent
No. of Customers
(Out Of 30) Average
Yes 23 76.6%
No 4 13.33%
Don’t know/ Can’t say 3 10%

90.00%

80.00% 76.60%

70.00%

60.00%

50.00% Yes
No
40.00%
Don't know/ Can't say
30.00%

20.00%
13.33%
10%
10.00%

0.00%

Fig. 6.3

Interpretation:

The fast growing Indian rolling steel market provided good market opportunities for rolling
steelmakers, and attracted many domestic and Indian investors’ attention. It is a fact that the rolling
steel industry is being developed very fast in recent years.

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Q4. What are the marketing strategies adopted by DEPL in the domestic market?

 Product Expansion ------------------------------ 40 per cent

 Strengthening the export strategy -------------- 33.33 per cent
 To create demand for our products -------------- 16.66 per cent
 Other measures ---------------------------------------6.66 per cent
 Do not know/ Can’t say -------------------------- 3.33 per cent
No. of Customers
Opinion of Customers (Out Of 30) Percentages
Product Expansion 12 40%
Strengthening the export Strategy 10 33.33%
To create demand for our products 5 16.66%
Other measures 2 6.66%
Don’t know/ Can’t say 1 3.33%

45%
40% Product Expansion
35%
Strengthening the export
30%
Strategy
25% To create demand for our
20% products

15% Other measures

10%
Don't know/ Can't say
5%
0%

Fig. 6.4

Interpretation:

The Steel makers are resorting to product expansion for strengthening their domestic market.
Besides the above stated measure, the companies are also working in the direction of building a
competitive marketing strategy and creating domestic demand for their products.

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University of Petroleum & energy studies _SIP_Report_2017-2018

Q5. Are you satisfying with this company’s product?

 Yes ----------------------------------------------- 76.6 per cent

 No ------------------------------------------------ 6.66 per cent
 Don’t know/ Can’t say ------------------------------------- 10 per cent
No. of Customers
Opinion of Customers (Out Of 30) Percentages
Yes 25 76.6%
No 2 6.66%
Don’t know/ Can’t say 3 10%

90.00%
80.00% 76.60%

70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10%
10.00% 6.66%

0.00%
Yes No Don't know/ Can't say

Fig. 6.5

Interpretation:

The company product gives more satisfaction to the customers. We can see from the above
interpretation 76.6 per cent of customers are satisfied with company’s product. This shows how
much demand for this company in this steel market.

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University of Petroleum & energy studies _SIP_Report_2017-2018

SUGGESTIONS &
LIMITATIONS

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University of Petroleum & energy studies _SIP_Report_2017-2018

SUGGESTIONS

SUGGESTION TO ENHANCE EFFICIENCY OF STEEL INDUSTRY IN INDIA

There is a need to continue the current thrust on infrastructure related activities and extend them
to rural India. Rural Indian today presents a challenge for development of the country and the
opportunity to increase usage of steel in these areas through projects such as rural housing etc.

Current shortage of inputs has pushed up the costs for the steel industry. Government should ensure
that quality raw material such iron-ore and coke are available to the industry. With Ministry of
Steel targeting an output of 100 MT of steel by 2020 there is an urgent need to develop raw material
resources for inputs like iron-ore and coal within or outside the country. Countries like Japan have
already taken similar steps to safeguard their industries.

Adequate enabling infrastructure such as power, ports, roads, rail transport is pre-requisite for the
Indian steel industry to remain competitive.

Government should not regulate prices and free market forces should prevail. Intervention by the
Government is only a short-term solution to the issue of steel prices in the country. Once left alone,
market dynamics will automatically ensure price corrections and determine the optimum price of
steel.

The Indian steel Industry is amongst the least protected in the world. While developed countries
have put numerous tariff and non-tariff barriers on steel exports from the country, the domestic
industry is exposed to cheaper imports from competing nations. As in case of other important
industries, the Government should give reasonable levels of protection to the domestic steel
industry, which is just starting to get back on its feet.

Industry should be allowed to have a fair return on investment and contribute to the overall health
of the Indian manufacturing segment. The steel industry has invested a capital of over Rs 90, 000
crores. CRISIL in a recent study has concluded that given the large exposure that banks and
financial institutions have to the steel industry, a healthy steel sector is in the interest of the
economy. Steel industry still continues to be unattractive for investors.

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Today, Indian producers employ world-class standards of technology. Steel from Indian finds
growing acceptability in international markets. But despite this India’s share in world trade steel
is a miniscule 2%. Given the capabilities of the Indian steel industry there is tremendous scope to
increase this share further. While the steel industry will continue servicing the domestic demand
there is a lot of untapped export potential with the industry.

LIMITATIONS

 In completing the study the investigator encountered number of difficulties.

 In such a short span of time it is very difficult to study the whole personnel functions or a/c of
the organization.

 The impact of the marketing programme on organization is a continuous process. It is

impossible to study the whole procedure within such a short span

 Apart from this there were lots of other problems encountered during the research work. The
officials were very hesitant and reluctant to give interviews and answers to questions of
investigators.

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University of Petroleum & energy studies _SIP_Report_2017-2018

APPENDIX

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APPENDIX

QUESTIONNAIRE DEPL OFFICIALS

Dear Respondent,

I am AVISH MAKHIJA of BBA V sem of UPES, DEHRADUN, I am doing project on

“Drolia Electrosteel (P) Ltd.” for the partial fulfillment of BBA degree. For which I have to
collect data for my project, so, I need your kind support for gathering information.

Personal Questions:

1. Name of the Respondent:-

2. Address:-

3. Contact:-

4. Gender: - Male Female

5. Education: Senior High School Graduate

Post Graduate Others Please Specify:____________

5. Marital status: - Married Unmarried

6. Occupation: -

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Research Question

(Direction: Please tick your choice)

Q1. Which company do you think is the main competitor of your company?
 M/s. Sarda Energy & Minerals Ltd.
 M/s. Hi Tech Power & Steel Ltd.
 M/s. Vandana Global

Q2. How would you rate your companies’ competitiveness in relation to the industry?
 Less Competitive
 Moderately Competitive
 Very Competitive

Q3. In your opinion is your company ready to expand other states like other steel
companies?

 Yes
 No

Q4. In your opinion, which style of leadership does your company have?

 Autocratic
 Moderate
 Democratic

Q5. How are the atmosphere and the environment at work?

 Very Tensed
 Tensed
 Moderate
 Relaxed
 Very Relaxed

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University of Petroleum & energy studies _SIP_Report_2017-2018

Q6. How would you rate the turnover rate in your organization?

 Very High
 High
 Medium
 Low
 Very Low

Q7. According to you how is the culture of the organization?

 Conducive for growth

 Hinders Growth

Q8. Does your company have a clear and defined future goal?

 Yes
 No

Q9. How clear are authority and responsibility relationships defined in your
organization?

 Very clear
 Very unclear
 Can’t say

Q10. The future is very competitive; do you think your organization is ready to face the
competition?

 Yes
 No

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University of Petroleum & energy studies _SIP_Report_2017-2018

QUESTIONNAIRE ANALYSIS CUSTOMERS

Dear Respondent,

I am AVISH MAKHIJA of BBA V sem of UPES, DEHRADUN, I am doing project on

“Drolia Electrosteel (P) Ltd.” for the partial fulfillment of BBA degree. For which I have to
collect data for my project, so, I need your kind support for gathering information.

Personal Questions:

1. Name of the Respondent:-

2. Address:-

3. Contact:-

4. Gender: - Male Female

5. Education: Senior High School Graduate

Post Graduate Others Please Specify:____________

5. Marital status: - Married Unmarried

6. Occupation: -

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University of Petroleum & energy studies _SIP_Report_2017-2018

Research Question
(Direction: Please tick your choice)

Q1. Do you agree that the steel industry in Chhattisgarh is witnessing an industrial and
market boom?

 Yes
 No
 Do not know/ Can’t say

Q2. What is the awareness of DEPL in steel market?

 Good
 O.K.
 Poor
 Do not know/ Can’t say

Q3. Do you agree that the Steel market is growing at a fast pace and thereby attracts
market leaders?

 Yes
 No
 Do not know/ Can’t say

Q4. What are the marketing strategies adopted by DEPL in the domestic market?

 Product Expansion
 Strengthening the export strategy
 To create demand for our products
 Other measures
 Do not know/ Can’t say

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University of Petroleum & energy studies _SIP_Report_2017-2018

Q5. Are you satisfying with this company’s product?

 Chhattisgarh
 Madhya Pradesh
 Maharashtra
 Punjab
 Uttar Pradesh

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University of Petroleum & energy studies _SIP_Report_2017-2018

CONCLUSION
The Indian steel industry is among the upcoming industries of the world. It has
a number of iron ores, which means that it has plenty of resources from which
to draw its raw material.
The rate of production of steel in India has been going up at a steady rate in
the last few years. In the recent times Orissa and Jharkhand have been
identified as the potential steel destinations of India - the ones that would
provide the Indian steel industry with its necessary raw material. There are
also a number of steel companies in India like Tata and ArcelorMittal that are
either coming up or have established themselves as prominent forces in the
world steel scenario.
In the recent times a lot of foreign direct investment is being made in the
Indian steel industry. In fact the rate of investment has increased in the last
few years and, to a certain extent, this increase has been contributed to by the
growth potential of the steel industry of India that is thought of as being
impressive in the international steel circle.
In the recent years a number of major steel corporations of the world have
come flocking to India to avail the benefits of the flourishing steel industry of
India. The number of steel projects in India has increased as well and this
implies that the number of companies lining up to participate in these projects
would be increasing too.
There are certain challenges that are being faced by the Indian steel industry
of late. There are certain issues regarding the condition of the infrastructural
facilities available and the skill level of the members of the steel fraternity.
The levels of skill of the various technical people associated with the steel
industry has been found to be wanting and this has been a result of the
inability of the Indian steel industry to attract the best people from the world of
engineering and technology. The state of infrastructure needs to be improved
so that the production of steel can be taken to the next level.
India has traditionally been regarded as one of the top steel producers of the
world. In 2004 it was ranked as the seventh largest producers of steel in the
world, which is testimony to the standing of the Indian steel industry of the
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world. India is also supposed to have the best growth potential in the context
of steel and is preceded only by China, which is a prominent steel producing
and consuming country of the world.

BIBLIOGRAPHY

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BIBLIOGRAPHY

1. Brealey R, Myers S, (2003). “Principles of Corporate Finance”, Seventh Edition,

New Delhi, Tata McGraw-Hill.

2. Johnson G, Scholes K, Whittington R. (2005). “Exploring Corporate Strategy

Text and Cases”. 7Th Edition, Harlow England. FT Prentice Hall.

3. Mehta, SR, Business World, 2007, volume-2, issue-iv

4. Shroff, Pesi, 2005,India Today, issue dated 15th June 2005

5. Pandhe M K, 2007, Business Today, issue dated 1st August 2007

6. Porter, E M, (1985) “Competitive Advantage, Creating and Sustaining Superior

Performance.” USA, the Free Press.

7. Wharton (1997) “Wharton on Dynamic Competitive Strategy” New York, John

Wiley & Sons, Inc

8. ICFAI Press, Journal on Industry, Feb 06, Volume-2

9. Das SN, Business & Economy, Jan 06, Volume-1

10. Hindu, Survey Of Industry, 2006

11. Philip Kotler (1990); Marketing Management analysis, Planning,

Implementation and Control 6th edition prentice- hall of India Private Limited
New Delhi – 110001
12. Michael E. Porter (1980), Competitive Strategy: Techniques for Analysis

Industries and Competitors, Free Press New York.

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Thankyou

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