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SUMMER INTERNSHIP REPORT On
“MARKET ANLYSIS AND DEVELOPMENTAL STRATEGY FOR MOTHER DAIRY CALCUTTA IN
SOUTHERN REGION OF WEST BENGAL”
SUBMITED BYNAME- SAMBIT BANERJEE
ROLL NO:– 10REGISTRATION NO:-338 0F 2011-13
SUBMITED FOR PARTIAL FULFILMENT OF THE DEGREE OFMASTER OF BUSINESS ADMINISTRATION (2011-13)
UnderVIDYASAGAR UNIVERSITY
MIDNAPUR
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ACKNOWLEDGEMENT
I am extremely indebted to Mother Dairy Calcutta for providing me opportunity to undertake the project works in their Prestigious organization. I am extremely grateful for all the guidance provided by Mr. D.K Mukherjee and Mr. Sanjib Mukherjee (Manager-Sales & Marketing ), without their help and support this project would not have been possible.
.
I would like to express my sincere gratitude to Prof.K.C Paul (H.O.D) and Mr.Sudin Bag (Asst Prof.), of the MBA Department of Vidyasagar University, for their Guidance to fulfilment of my project Report.
I would also like to convey my gratitude to all the member of mother dairy Calcutta especially (Mr. Animesh Dey, Mr. P. Biswas in Quality Section & Processing section and Mr.Tamal Pal ,Mr.V.R kumar in Marketing section).
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Declaration
I do hereby declare that this project “MARKET ANALYSIS AND DEVELOPMENTAL STRATEGY IN SOUTHERN REGION OF WEST BENGAL” done with my own effort and submit to “MOTHER DAIRY CALCUTTA”. It is not submitted to be published by any other university before.
Place: Midnapur
Date: Signature
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Table of Contents
Sl. No. TOPIC Page No.
[1] Executive Summary 5
[2] Introduction to the topic / Theoretical Background 6
[3] Project Scope / Objectives of the study 12
[4] Company profile (brief) 14
[5] Research Methodology (adapted for this project) 23
a) Sample Description 24
b) Hypothesis 25
c) Statistical Tools used 26
d) Data Collection 27
i) Primary
ii) Secondary
[6] Analysis & Interpretation of results 29
[7] Developmental Strategy 47
[8] Limitation 49
[9] Recommendation 50
[10] Research Findings & Conclusions 52
[11] References (Bibliography, Webliography) 54
[12] Appendix 55
Questionnaire(Customers & Retailers)
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EXECUTIVE SUMMARY
In today’s completion market various private organizations have come in world, It is very necessary to have good knowledge about the current market situation in order to achieve long-term goal. This information regarding the activities of competitor’s existing in the market , So that we can plan our each activity according to that. It also necessary to retain the existing retailers & customers and attract to new retailers & customer. It is a real experience to get feedback from retailers & customers. My project is concern with the market analysis & developmental strategy of mother dairy milk and milk products. This project is conducted in Southern Region (Burdwan, Birbhum, Bankura &Purulia) of West Bengal.This project is include as part of MBA Programme project from 28th July to 30th September 2012.
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GENERAL INTRODUCTION OF DAIRY INDUSTRY
The dairy industries companies run mainly on the factor such as quality, price, availability service frequency & taste and preference. Quality and price plays important role because right quality also indicate further purchase and price is mainly for purchasing power depend upon price and availability of products.
India is the world leader in milk production with total volume of 115 million tons. Driven by steady population growth and rising income, milk consumption continues to rise in India. Dairy market is currently growing at an annual growth rate of around 7 per cent in volume terms. The market size of Indian dairy industry stands at around US$ 45 billion.
In India, rural households consume almost 50 percent of total milk production. The remaining 50 percent is sold in the domestic market. Most dairy products are consumed in the fresh form and only a small quantity is processed for value addition. In recent years, however, the market for branded processed food products has expanded. Although only around 2 per cent food is processed in India, still the highest processing happens in the dairy sector, where 35 per cent of the total produce is processed, of which only 13 per cent is processed by the organised sector.
Key Facts 65 per cent of the milk is sold in “loose” form Only 5 per cent of the milk is sold through retail chains 70 per cent is delivered to the homes by ‘milk agents’ Carton milk or packaged milk has been growing at 24 per cent annually Most branded FMCG companies are keen on launching flavoured dairy
products whose market size is pegged at US$ 166 million
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Indian Dairy industry- A profile
Indian dairy sector is expected to triple its production in the next 10years in view of expending potential for export to Europe and the west. Moreover with WTO regulation expected to come into force coming years all developed countries which are big exporters today would have to Withdraw the support and subsidy to their domestic milk product sector. Also India today is the lowest cost producer of per litter milk in the world at 27%, compared with U.S63% also to take advantage of lowest cost of milk production in the country multinational companies are planning to expend their activities here. Some of these milk producers have already obtained quality standard certificates from the authorities. This will help them in marketing their products in foreign countries in processed form.
The urban market for milk products is expected to grow at an accelerate pace of around 33% per annum to around Rs 83500 crores by year 2011. This growth is going to come from greater emphasis on the processed foods sector and also by increase in the conversion of milk into milk products. By 2011, the value of Indian of Indian Dairy produce to expected to be Rs 10,00,000 million. Presently the market is valued around Rs 7,00,000 million.
Background of Dairy IndustryBeginning in organised milk handling was made in india with the establishment of military dairyFarms. Handling of milk co-operative milk unions established all over the country on a small scale In early stages. Long distance refrigerated rail –transport of milk from Anand to Bombay since 1945. Pasteurization and bottling of milk on a large scale for organized distribution was started at Aarey (1950), Calcutta (Haringhata, 1959), Delhi (1959), Worli(1961), Madras (1963) etc. Establishment of Milk Plants under the Five-Year Plan for Dairy Developmental over India. These were taken up with the dual object of increasing the national level of milk consumption and ensuing better returns to the primary milk producer. Their main aim was to produce more, better and cheaper milk.Milk Production•India's milk production increased from 21.2 million MT in 1968 to more than 100 million MT in 2008-09.
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•India is the largest producer of Milk in the World (replacing US•Per capita availability of milk presently is 250 grams per day, up from112 grams per day in 1968-69.•India's 3.8 percent annual growth of milk production surpasses the 2 percent growth in population; the net increase in availability is around 2 percent per year.Innovation•Bulk-vending - saving money and the environment.•Milk travels as far as 2,200 kilometres to deficit areas, carried by innovative rail and road milk tankers.•Ninety-five percent of dairy equipment is produced in India, saving valuable foreign exchange.Macro Impact•The annual value of India's milk production amounts to about Rs. 900billion.Dairy cooperatives generate employment opportunities for some 12million farm families.•Dairy Farming is the single largest contributor to the economy (5% of GDP &13% of employment)•Dairy industry represents a huge opportunity being the largest single FMCG Market
Key challenges before Indian Dairy Industry are as follows:
•Ensuring Quality•Procurement and efficiencies in supply chain•Product differentiation and value addition.
OPERATION FLOOD
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Programme implementation:Operation Flood was implemented in three phases. Phase I Phase I (1970-1980) was financed by the sale of skimmed milk powder and butter oil gifted by the European Union then EEC through the World Food Programme. NDDB planned the programme and negotiated the details of EEC assistance. During its first phase, Operation Flood linked 18 of India's premiermilk sheds with consumers in India's four major metropolitancities: Delhi, Mumbai, Calcutta and Chennai.
Phase II Operation Flood's Phase II (1981-85) increased the milk sheds from 18to 136; 290 urban markets expanded the outlets for milk. By the end of 1985, a self-sustaining system of 43,000 village cooperatives covering4.25 million milk producers had become a reality. Domestic milk powder production increased from 22,000 tons in the pre-project year to140,000 tons by 1989, all of the increase coming from dairies set up under Operation Flood. In this way EEC gifts and World Bank loan helped to promote self-reliance. Direct marketing of milk by producers’ cooperatives increased by several million litres a day.
Phase III Phase III (1985-1996) enabled dairy cooperatives to expand and strengthen the infrastructure required to procure and market increasing volumes of milk. Veterinary first-aid health care services, feed and artificial insemination services for cooperative members were extended, along with intensified member education. Operation Flood's Phase III consolidated India's dairy cooperative movement, adding 30,000 new dairy cooperatives to the 42,000 existing societies organized during Phase II. Milk sheds peaked to 173 in 1988-89 with the numbers of women members and Woman’s Dairy Cooperative Societies increasing significantly. From the outset, Operation Flood was conceived and implemented as much more than a dairy programme. Rather, dairying was seen as an instrument of development, generating employment and regular incomes for millions of rural people."Operation Flood can be viewed as a twenty year experiment confirming the Rural Development Vision”.
HISTORICAL BACKGROUND OF NDDB
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The National Dairy and Development Board was founded in 1965, with the mission of organizing poor milk producers, thereby transforming dairying into an instrument for the economic development of India’s rural people. The formation of the NDDB stemmed from the vision of the then Prime Minister of India, the late Lal Bahadur Shastri, to extend the success of the Kaira Cooperative Milk Producer’s Union (in the state of Mother) to other parts of India. NDDB began its operations with the mission of making dairying a vehicle to a better future for millions of grassroots milk producers. The mission achieved thrust and direction with the launching of "Operation Flood" in 1970, a programme extending over 30 years and which used World Bank loan to finance India's emergence as the world's largest milk producing nation. During this period, dairy commodity surpluses were building up in Europe. Imports from Europe had already adversely affected the dairy industry in India. Imports by individual players in India would have resulted in a market glut and a fall in the prices throughout the country. With the backing of government policy, and with the assistance of the World Food Program, NDDB imported food aid in the form of milk powder and butter oil, and marketed it under its own brand name. The surplus from these sales was invested in the expansion of the cooperative movement in the dairy industry. Operation Flood's third phase was completed in1996 and has to its credit a number of significant achievements. Since its inception, the Dairy Board has planned and spearheaded India's dairy programmes by placing dairy development in the hands of milk producers and the professionals they employ to manage their cooperatives. In addition, NDDB also promotes other commodities-basedCo-operatives, allied industries and veterinary biological on the intensive and nationwide basis .NDDB subsidiaries include Mother Dairy Calcutta.
Major Players
There are virtually 15 major Dairy Cooperative Federations in India, namely
1. Andhra Pradesh Dairy Development cooperative Federation Limited (APDDCF)
2. Bihar State Cooperative Milk Producers Federation Limited (COMPFED)3. Gujarat cooperative Milk Marketing Federation Limited (GCMMF)4. Himachal Pradesh State cooperative Milk Producers Federation Limited
(HPSCMPF) 5. Haryana Dairy Development Cooperative Federation Limited (HDDCF)
6. Karnataka Cooperative Milk Producers' Federation Limited (KMF) 7. Kerala State Cooperative Milk Marketing Federation Limited (KCMMF) 8. Madhya Pradesh State Cooperative Dairy Federation Limited (MPCDF)
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9. Maharashtra Rajya Sahakari Maryadit Dugdh Mahasangh (Mahasangh) 10. Orissa State Cooperative Milk Producers' Federation Limited (OMFED) 11. Pradeshik Cooperative Dairy Federation Limited (UP) (PCDF) 12. Punjab State Cooperative Milk Producers' Federation Limited (MILKFED) 13. Rajasthan Cooperative Dairy Federation Limited (RCDF) 14. Tamilnadu Cooperative Milk Producers' Federation Limited (TCMPF) 15. West Bengal Cooperative Milk Producers' Federation Limited. (WBCMPF)
National Dairy Development Board (NDDB) is the central cooperative board of the country and was created to promote, finance and support producer-owned and controlled organizations mentioned above. Two main players – Mother of GCMMF and Mother Dairy of NDDB – is the leading brand in India. Our main focus is to analyze the strategic move of NDDB for mother Dairy from top to bottom. Thus we are going to concentration the progress of Mother Diary and NDDB for their future strategies
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Objective of Project
The Main Objective of study is to analysis present Market Scenario of Mother Dairy in Southern region of West Bengal, Besides it the sub objective are as follows-
A) To find out the important Parameter which effect development of Mother Dairy.
B) To study the Strategy of Mother Dairy for Developmental of Mother Dairy.
Scope of Project
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The study carried out in Southern Region of West Bengal so its scope Mainly Asansol, Durgapur, Birbhum and Purulia.
1.It gives information about the services given by LAD (Local Area Distributor) to their Retailer
2. To enter intimate areas.
3.It gives full scenario of the company that runs profit or loss in current market situation.
4. It collects the feed backs and also try to provide effective strategy to company.
5.It gives information about the sales promotion activities to improve the milk sale.
6.It will serve consumer in better manner
7.It gives information about competitor’s product.
8. It minimizes the gap between LAD –Retailers.
OVERVIEW OF MOTHER DAIRY CALCUTTA
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MOTHER DAIRY CALCUTTA:- a Government of West Bengal project, was started under Operation Flood II of National Dairy Development Board. It was set up initially to cater to the demand of the Kolkata urban agglomeration spread over the Kolkata Metropolitan area, approximately 852 sq kms. Mother Dairy is also reaching out to the consumers of other Districts. The commissioning of the Dairy started in July 1978 and the first Distribution vehicle loaded with milk sachets rolled out of the Dairy in the morning of 8th December 1978. Initially, the management of Mother Dairy was looked after by the National Dairy Development Board. On 24th March 1982, the then Honourable Chief Minister Shri Jyoti Basu dedicated Mother Dairy Calcutta to the rural milk producers and urban milk consumers of West Bengal. From then onwards, the story of Mother Dairy is one of success after success. The growth of the Dairy continued unabated. Mother Dairy safeguards the interest of the rural milk producers by encouraging co-operative movement & marketing the surplus milk available from the villages, thus helping the milk producers to realize their own potential for organized endeavour & the creation of more rural wealth in the shape of 'Anand Pattern' as profounder by Dr. V.Kurian, The Milk Man of INDIA. In November 1996 , the management of Mother Dairy was taken over by West Bengal Cooperative Milk Producers’ Federation Ltd.
It is selling Milk & Milk Products like Mishti Doi , Flavoured Yoghurt, Plain yoghurt, Paneer, Cow Ghee and Packaged Drinking Water. Now it has started diversifying its activity by selling the produce of other Cooperative, Unions of West Bengal and other States as Mother Dairy has a strong marketing network.
Under Operation Flood III in the year 1997, the processing capacity of the plant was increased from 400,000 litres per day to 600,000 litres per day.
In the year 2000, Mother Dairy Calcutta received ISO 9002 certification and in the year 2001 Mother Dairy received HACCP Certification. Our certification agency is internationally renowned D.N.V [DET NORSKE VERITAS, NETHERLANDS]. Mother Dairy has also receive Environment Excellence award [2000 - 2001]. In the year October'2003 Mother Dairy Calcutta received ISO 9001:2000 and the certification agency is SGS India Pvt. Ltd., a renowned London based Organization.ISO also revised to ISO 9001:2008
The biggest strength of Mother Dairy was the trust it had created in the minds of its consumers regarding the quality of its products. NDDB, and its brand Mother Dairy, stood for guaranteed purity of whatever products it had produced. Adulteration was simply not done in any of its products. In India, where such trust was hard to come by, this could provide a central anchor for
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Mother Dairy’s future business plans. For more than 40 years' Mother Dairy helping to create a national network has been adapted and extended to other commodities and areas. Their constant effort to learn and to enrich experience is central to their approach and capacities. In times to come, Mother Dairy shall strive tobecome a leading player in the food industry in India.
SL. No
Product Name Varities/ Flavoured
01 Milk PP DTM,PP CM,‘MAA’ Shakti, PP DTM,‘MAA’ SHAKTI DTM,
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‘MAA’ Shakti PP CM, ‘MAA’ SHAKTI PP CFM ,‘MAA’ Shakti PP FCM MAA Shakti Loose DTM
02 Culture Product
Mishti Doi, Probiotic Yoghurt, Flavoured Yoghurt,Probiotic Doi,Butter Milk.
03 Ice-Cream Vanila,Strawberry,Two In One,Chocolate,Butter Scotch ,Kesar Pista,Chocobar,Orange Candy,Vanila Cup.
04 ‘MAA’ Shakti Cow Ghee
No Varities.
05 VacuumPacked Panner
No Varities.
PRODUCT PROFILE
Packaged Milk is Available 8 Different variants
Variants of Milk SNF %(Min)
FAT %(Min)
PP DTM 9.00 1.50 PP CM 8.50 3.50‘MAA’ SHAKTI PP DTM 9.10 1.60‘MAA’ SHAKTI PP CM 8.60 3.60‘MAA’ SHAKTI PP CFM 8.90 0.50‘MAA’ SHAKTI PP FCM 9.20 6.20‘MAA’ SHAKTI LOOSE DTM
9.10 1.60
CULTURE MILK PRODUCTS
Mishti Doi :-
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Mishti Doi is Relish the palatable and soothing taste of Mishti Doi. Fortified with Vitamin A. It has excellent nutritional profile and food value. It helps in digestion and keeps one's system cool. Mother Dairy Mishti Doi is packed and shelled in pilfer proof cups in automatic packaging machine ensuring right quality and quantity.
Probiotic yoghurt:-
The secret of longer life of the hill tribes of Bulgaria for centuries was a daily diet of yoghurt. Yoghurt improves appetite, vitality and vigour, cures intestinal disorder and controls cholesterol besides having numerous other
beneficial effects.
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Flavour Yoghurt:-
Mother Dairy Flavoured Yoghurt is a treat to your taste bud and is available in different delicious flavours like
Vanilla, Pineapple, Green Mango, Chocolate, Strawberry and Pista. It posses all the benefits of plain yoghurt. Flavoured Yoghurt is also fortified
with Vitamin A.
Panner:-
It is Direct consumption & for preparation of different delicious dishes.
Cow Ghee:-
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Cow Ghee is the richest source of Milk Fat of all Indian Dairy Products. It contains Fat soluble Vitamins A, D, E & K that provide energy. Its pleasing flavour, aroma and palatability make it a desirable dietary component as
well as valuable cooking Fat. From time immemorial Ghee is considered as a source of nutrient in Indian Diet.
Packed Drinking Water:-
It is produced using reversed osmosis technology with multiple barrier filtration, ozonisation & ultra violet treatment under total aseptic environment. It is free from harmful chemical, bacteria & Virus.
Mother dairy Ice cream
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Mother Dairy Calcutta (Valentine Ice Cream)Offering delicious milk and milk products for over 3 decades, Mother Dairy - Calcutta has been contributing to making the whole of West Bengal prosper with health. They are the pioneers in processed milk and milk products like mishti doi, flavoured yoghurt, plain yoghurt, paneer, cow ghee and packaged drinking water.Prepared under modern hygienic conditions, their ice creams are loved by the young and old alike. The flavours include Vanilla, Strawberry, Two in One, Chocolate, Butter Scotch and many more. One can enjoy single serve packs or treat their loved ones with party packs. Prepared in modern processing units, one can vouch on the quality of their products. The frozen delicacies make for an ideal dessert idea. A meal time is best complimented with the sinful ice creams by Mother Dairy - Calcutta.
Reasons to buy:-Mother Dairy Calcutta is the only 1S0 9001:2008 dairy in Eastern India honoured with the International HACCP Certification on food safety Variety of delicious ice creams to choose from Hygienic preparations and best packaging
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Channel Distribution of Mother Dairy in Southern West Bengal
Production Of Milk & Milk Products
(Guskara-Franchise) (Truck)
R-(20) R- (7) R-(30)
(Tanker)
R-(6) R-(5)
=Retailers , =Local Area Distributor
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DurgapurLAD-1
BirbhumLAD-1
AsansolLAD-1
PuruliaLAD-2
BankuraLAD-1
R LAD
Research Mathodology
Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying the project systematically. A proper research methodology has various step, those are generally adopted by a researcher in studying his problem along with the logic behind them. It is important for the researcher to know not only the research methods but also to know the methodology.“The process by which researcher goes about their work of describing, explaining and predicting phenomenon are called methodology.”Method comprises the procedures used for generating, collecting and evaluating the data. The procedure required for the researcher to do the project may vary from one project topic to another. Data collection is an important step for any project, success behind any project will largely depend upon how much time, money and effort required to collect the necessary data. Data collection plays an important role in any research work. Without proper data availability for analysis we cannot do the research work accurately. For this particular project where we had to analyze the Market in order to achieve organizational growth, we had to go through Various Distributor, Retailer and customer for the company and get the feedback from them with the help of questionnaire. The research was carried out from two different aspects: one was primary Data and the other was Secondary Data. The sources of secondary Data were the Mother Dairy Records, Their own customer details from their four Major District of West Bengal (Burdwan, Birbhum, purulia, Bankura)
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A) SAMPLE DESCRPTION
Sample Size:- The size of sample of the project was Local Area Distributor- 05 Retailers – 30 Customer- 90Family Survey:- The survey was conducted few families and get different feedback by different family Members (Age 10 – 60). This type of survey is possible from home.
Mail survey:- Another Most effective survey is the mail survey by getting feedback from Internet by Friends ,relatives.
.
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A) HYPOTHESIS TEST
.Chi-square Test :
The chi-square (I) test is used to determine whether there is a significant difference between the expected
frequencies and the observed frequencies in one or more categories. Do the number of individuals or objects that
fall in each category differ significantly from the number you would expect?
Is this difference between the expected and observed due to sampling error, or is it a real difference?
Chi-Square Test Requirements
1 Quantitative data. 2 One or more categories. 3 Independent observations. 4 Adequate sample size (at least 10). [ Our
sample size is 30. ]
5 Simple random sample. 6 Data in frequency form.
7 All observations must be used.
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D) DATA PROCESSING & STATISTICAL TOOLS
1.Likert scale :
A Likert scale is a psychometric scale commonly involved in research that employs questionnaires. It is the most widely used approach to scaling responses in survey research, such that the term is often used interchangeably with rating scale, or more accurately the Likert-type scale, even though the two are not synonymous. The scale is named after its inventor, psychologist Rensis Likert. Likert distinguished between a scale proper, which emerges from collective responses to a set of items (usually eight or more), and the format in which responses are scored along a range. Technically speaking, a Likert scale refers only to the former. The difference between these two concepts has to do with the distinction Likert made between the underlying phenomenon being investigated and the means of capturing variation that points to the underlying phenomenon. When responding to a Likert questionnaire item, respondents specify their level of agreement or disagreement on a symmetric agree-disagree scale for a series of statements. Thus, the range captures the intensity of their feelings for a given item, while the results of analysis of multiple items (if the items are developed appropriately) reveals a pattern that has scaled properties of the kind Likert identified.
1.Bar Chart : Bar charts provide a visual presentation of categorical data. Categorical data is a grouping of data into quality, Price. In a column bar chart, the categories appear along the horizontal axis; the height of the bar corresponds to the value of each category.
2.Line Chart : - A line chart or line graph is a type of chart which displays information as a series of data points connected by straight line segments. It is a basic type of chart common in many fields. It is an extension of a scatter graph, and is created by connecting a series of points that represent individual measurements with line segments. A line chart is often used to visualize a trend
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in data over intervals of time – a time series – thus the line is often drawn chronologically .
3.Pie Chart:- It is a circular chart divided into sectors each of whose length (consequently its central angle and area), is proportional to the quantity it represents. When angles are measured with 1 turn as unit then a number of percent is identified with the same number of cent turns. Together, the sectors create a full disk. It is named for its resemblance to a pie which has been sliced. The earliest known pie chart is generally credited to William Playfair's Statistical Breviary of
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D) DATA COLECTION
A)1) Primary Data:- The primary Data were collected from the feedback that I collected from the Distributor ,Retailer and customer by preparing the questionnaire .
2) Secondary Data:- The questionnaire was prepared based on the study of Secondary Data collected . Since the preference of Retailers & customers were to be known based on view point of mother dairy.
Face-to-face and phone interview was carried out with both open and closed questions .company profile, internet, various books, Company Broachers etc.
B) Structured Questionnaire:- The questionnaire was split into three parts 1.Market Analysis consisting Local area Distributior(LAD) basis in Southern Region of west bengal. 2. Market and Product analysis consisting Retailers and small shops.
3. Questionnaire for customers (Family Households) divided into. a) Consumption Level & Availability b) Brand Preference
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Q-1) Sale of Different Variant of mother dairy milk in Southern Region of West Bengal
1. Asansol
Place Double tonned milk
Cow milk cholesterol free milk
Total
Asansol 170 Carets 50Carets 30 Carets 250 Carets
Double tonned milk
Cow milk cholesterol free milk
Total0
50
100
150
200
250
Asansol
Asansol
Interpretation- According to this survey high sale of Double toned milk is very high as per customer demand. Cow milk and cholesterol milk are low sale volume than Double toned milk . The sale of Double tonned millk is 68%. The sale of Cow Milk is 20%. The sale of Cholesterol free milk is only 12%.
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2.Durgapur
Place Double tonned milk
Cow milk cholesterol free milk
Total
Durgapur 90 Carets 40 Carets 10 Carets 140 Carets
Double Toned Milk Cow Milk Cholesterol
free milk Total
020406080
100120140
Durgapur
Durgapur
Interpretation - In Durgapur, the sale of Double toned milk is very high rather than other milk. Cow milk has moderate demand of this region. The sale of Double Tonned Milk is 64%. The sale of Cow milk is 29%. The sale of Cholesterol Free Milk is 7% Only.
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3.Birbhum District
Place Double tonned milk
Cow milk cholesterol free milk
Total
Birbhum 35 Carets 25 Carets 10 Carets 70Carets
Full Cream Milk Double Toned
milk Cow milkTotal
010203040506070
Birbhum
Birbhum
Interpretation- This graph indicate total sell per day is 70 carets. Full cream milk sale is very high i.e 35 carets and less volume sale is Double toned milk (25 carets) and cow milk (10 carets). The sale of Double tonned milk is 50%. The sale of Cow Milk is 36%. The sale of Cholesterol free milk is 14% only.
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4. Purulia District
Place Cow Milk Full Cream Milk
Double Tonned Milk
Total
Purulia 60 Carets 45 Carets 15 Carets 120 Carets
Cow Milk Full Cream Milk Double Toned Milk 0
10
20
30
40
50
60
70
Purulia
Purulia
Interpretation :- The sale of Cow Milk is very high in Purulia , Other Milk has low sell then cow milk as per customer demand (Where total sell is 120 carets). Thus the sale of Double tonned Milk is only 12.50%. The sale of Cow Milk 50%. The sale of Full Cream Milk is 37.50%.
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Analysis On the basis of Quality :-
Place Quality as a parameter most Important
Quality as a parameter Important
Quality as a parameter not at all Important
Durgapur 5 2 0Asansol 7 2 0Birbhum 2 5 0Purulia 4 3 0
Asansol Durgapur Birbhum Purulia0
1
2
3
4
5
6
7
Quality As a parameter Most importantQuality as a parameter Impor-tantQuality as a parameter not at all Important
Interpretation :- It shows quality is most important parameter that effects the higher sell of products.
In Durgapur Retailers are not satisfied with Mother Dairy quality In Asansol Retailers & LAD not satisfied with Mother Dairy quality. In Birbhum District retailer are neutral zone of satisfaction level. In purulia District retailer are not satisfied with mother dairy.
More or less quality is very important parameters for intermediates to sell products for end consumers.
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Q-2 )Anlysis On the basis of price :-
Place Price not Important
Price somewhat Important
Price Important
Asansol 2 7 2Durgapur 3 2 1Birbhum 2 5 0Purulia 2 3 1
Asansol Durgapur Birbhum Purulia0
1
2
3
4
5
6
7
Price as a Parameter not Important Price as a Parameter Somewhat ImportantPrice as a Parameter Important
Interpretation:- This graph indicate Price factor is very much important in southern region. Actually Margin provided to retailer by the milk companies play an important role in deciding purchase of milk by retailer.
In Durgapur Price is most important parameter. In Asansol Price is not very much important. In birbhum district Price is most important. In purulia District price is not very much important.
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Q-3) Analysis on the Basis of LAD ship :-
Places Existing LAD Interest switch on LADAsansol 1 0Durgapur 1 0Birbhum 1 1Purulia 2 0
Asansol Durgapur Birbhum Purulia0
0.5
1
1.5
2
2.5
LAD Ship Status
Existing LAD Interest switch on LAD
Interpretation:-In Birbhum district a retailer want authorization as LAD ship (except milk product) from Mother Dairy. Only Purulia district has two LAD ship, and Burdwan district specially (Asansol & Durgapur) both only have one LAD .
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Q-4) Analysis On the Basis of Retailer ship In Southern Region:-
Places Existing Retailers Interest to Retailership
Think to switch off Retailership
Purulia 15 4 6Durgapur 26 4 8Birbhum 10 2 3Asansol 27 5 8
purulia
Durgapur
birbhum
Asansol
0 5 10 15 20 25 30 35 40
Existing RetailersInterest to RetailershipThink to swich off re-tailership
Graph indicates Current Retailer ship status in Southern Region of W.B.
Interpretation:- This graph indicate some retailers are Switch off over mother dairy products due to some problems. The retailers are not satisfied with mother dairy milk product. Similarly retailers are sell other brands of milk product. If the problems are to be rectify than a chance of enhance sales volume in this place. Some Small shops are willingly to interested to sell Mother Dairy Products of Brand Name& Previous Quality Measurement. Actually Total Retailers are 78 but I have meet with Only 30 Retailers.
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Q-5) Analysis on the Basis of Sell :-
Places % in salesDurgapur 24%Birbhum 12%Purulia 21%Asansol 43%
Durgapur24%
Birbhum12%
Purulia21%
Asansol43%
% in Sale in different regions
Interpretitation:- As per this survey the highest sell is in Asansol due to high customer demand. Out of 100% Asansol sales have 43 %, Durgapur 24%, Birbhum 12% and Purulia 21%.
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Q-6) Retailers Respondents over Mother Dairy Product’s Problem
Places Problems RespondendAsansol Quality & Transport 12Durgapur Quality & Lickages of Packet 8Birbhum Quality & Lickages of Packet 4Purulia Quality & Lickages of Packet 6
2 3 2 2Asansol Durgapur Birbhum Purulia
0
1
2
3
4
5
6
7
8
Interpretation:-This graph indicate major problem is Quality in four major areas.Lickage and Transport also problem of low sell. This problem is continuing from 2years as per retailers feedback that I got.
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Q-7) Sell Per Day Though the Local Area Distributor in different Region?
Places Sale per day LADAsansol 250 Carets 1Durgapur 140 Carets 1Birbhum 70 Carets 1Purulia 120 Carets 2
DurgapurBirbhum
PuruliaAsansol
0
50
100
150
200
250
300
Under LADPer Day Sale
This Graph shows the sale per day in different regions.
Interpretation:- In asansol sell per day 250 carets under one Local Area Disributor .In Durgapur sell per day is 140 carets under one Local Area Distributor.In Birbhum District sell is very low 70 carets under one Local Area Distributor.In Purulia District Sell is 120 Carets under two Local Area Distributor.So, sale is very high as compare to other LAD.
-
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Q-8) Retailer and Customer are mutually use other reputed Brands(Except Mother Dairy) for sale & consume.
Name of Competitor’s Brand
Amul Metro Red Cow Bhagirathi
Respondents 23 16 14 06
0.5 1 1.5 2 2.5 3 3.5 4 4.50
5
10
15
20
25
Respondents
Interpretation:- Customer & Retailers mostly preferred Amul Brand Product mostly .Metro Dairy also preferable for the customer. There are many products of Amul thus both are preferred , also have a reputed Brand Name exist in country..
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Q-9) Customer Daily Usage of Mother Dairy Products for Family purpose?
Use of Mother Dairy Tea & coffe Drinking Other food stuff
Respondent 65 15 10
65%
15%
10%
Family Purpose useTea & Coffe Drinking Other Food stuff
Interpretation-Actually Mother dairy milk basically use for Tea & coffee of southern region of west Bengal households. The ratio of usage of mother dairy milk is 13:3:2.This curve shows that the Mother dairy is suitable for making Tea and coffee other to be neglected.
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Q-10) Are you satisfied with the current Milk & Milk product of Mother Dairy? (Rate your overall satisfaction)
Application Of Likert’s Scale : Score = Weightage* Respondents
Overall Score : Excellent = 13 *5 = 65
Good = 25*4= 100
Average = 27*3=81
Fair = 18*2 = 44
Poor=9*1= 13
Particulars Rank Score Good 1 100 Avarage 2 81 Excellent 3 65 Fair 4 44 Poor 5 13
Interpretation : Likert’s Scale is the most widely used approach to scaling responses in survey research . This part have 5 different category and have different weight age. .
Likert’s scale method helped me to measure actual satisfaction level of the observed people in a scientific manner.
As per the application of Liker’s scale shows that overall satisfaction of the customer of Mother Dairy Milk belongs to “Good” region .
Test of Hyphothesis
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Particulars Excellent Good Average Fair poor
Respondents
13 25 27 22 13
Weightage 5 4 3 2 1
H0 - There is no significant difference between service provided by the LAD and Development of Mother dairy Calcutta(southern region)
H1- There is significant between service of LAD and development of MDC
Observed Frequency From Survey
Score/ Weightage
5 4 3 2 1
Qn. Particulars Excellent Good Neither Good or Neither Poor
Poor Very Poor
Total
1 Promotional tool offered by LAD
0 1 7 16 6 30
2 Location of Retailers
7 10 8 3 2 30
3 Training Facility of Retailers
2 8 10 4 6 30
4 Quality of Mother Dairy Products (including Lickacage of milk packets)
0 2 3 7 18 30
5 Delivery Time of products
14 8 2 4 2 30
6 Behaviour of LAD towards retailers
12 4 5 3 6 30
Total 35 33 35 37 40 180
Degree of Freedom =(Number of Rows-1)*(Numbers of column -1)=(6-1)*(5-1)=5*4=20
Expected Frequency
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Expected Frequency =(Sum total of column * sum total of row)/Total frequency
5 4 3 2 1Qn. Particulars Excellent Very Good Good Fair Very Poor1. Promotional
tool offered by LAD
35*30/180=5.83
33*30/180=5.5
35*30/180=5.83
37*30/180=6.16
40*30/180=6.67
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2. Location of Retailers
5.83 5.5 5.83 6.16 6.67 30
3. Training Facility of Retailers
5.83 5.5 5.83 6.16 6.67 30
4. Quality of Mother Dairy Products (including Lickacage of milk packets)
5.83 5.5 5.83 6.16 6.67 30
5. Delivery Time of products
5.83 5.5 5.83 6.16 6.67 30
6. Behaviour of LAD towards retailers
5.83 5.5 5.83 6.16 6.67 30
Total 35 33 35 37 40 180
Now,
Chi square test
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1st column= (0-5.83)²/5.83+(7-5.83)²/5.83+(2-5.83)²/5.83+(0-5.83)²/5.83+(14-5.83)²/5.83+(4-5.83)²/5.83 =5.83+0.234+2.516+5.83+11.44+0.57 =26.42
2nd column =(1-5.5)²/5.5+(10-5.5)²/5.5+(8-5.5)²/5.5+(2-5.5)²/5.5+(8-5.5)²/5.5+(4-5,5)²/5.5 = 3.68+0.818+2.27+1.13+2.27+0.409 =10.57
3rd column =(7-5.83)²/5.83+(8-5.83)²/5.83+(10-5.83)²/5.83+(3-5.83)²/5.83+(2-5.83)²/5.83+(5-5.83)²/5.83 =0.234+0.807+2.98+1.373+2.56+6.51 =14.41
4th column =(16-6.16)²/6.16+(3-6.16)²/6.16+(4-6.16)²/6.16+(7-6.16)²/6.16+(4-6.16)²/6.16+(3-6.16)²/6.16 =15.71+1.62+0.757+0.114+0.757+1.62 =20.57
5thColumn =(6-6.67)²/6.67+(2-6.67)²/6.16+(6-6.67)²/6.67+(18-6.67)²/6.67+(2-6.67)²/6.67+(6-6.67)²/6.67 =0.067+3.269+0.067+19.24+3.269+0.67 =27.85
Therefore , Chi square=(26.42+10.57+14.41+20.57+27.18) =99.82
The tabulated value of chi-square at degree of freedom = 20 and at 0.05 is 35.41 and the calculated value of chi-square ( 99.167) is greater than 35.41. Thus, the calculated value of Chi-square falls in the rejection region of the graphSo.We can say that Distribution network is most important to increase sales of Mother Dairy Products .The Distribution network among all intermediaries like LAD,Retailers should be smoth and simple that’s why the end customer simply get the product very eassily.
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Finally we can say that the entire development of Mother Dairy distribution system not only southern region the other region should take into consideration.
So, we reject Ho and conclude that Parameter of LAD services Depends on the development of Mother Dairy Calcutta on this survey.
Tabulated value at d.f=20
Level of significance Calculated value Decision
35.41 0.05(5%) 99.167 H0 Rejected
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Developmental Strategy :-
SWOT Analysis For Mother Dairy CALCUTTA
The 3’C of Mother Dairy in Southern Region
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Strength 1.Brand Name2.Affortable Price2.Wide Range of Products.
Weakness 1.Perishable Item shelf life is very low2. Very much competition in Local Market3. Less advertisement and limited area cover in southern Region of West Bengal.4.Quality of milk Products.
Opportunity 1.Tap the Export Market.2. Keep Capture the demand full Places.3. Interest for Retailer ship and Lad ship
Threat 1. Increasing Population2. Threat from other companies3. Less Distribution of milch
animals with Bank Linakage.4. Difficulty of proper maintain
channel distribution.
The 3C's Model is a business model, which offers a strategic look at the factors needed for success. It was developed by Kenichi Ohmae, a business and corporate strategist.
The 3C’s model points out that a strategist should focus on three key factors for success. In the construction of a business strategy, three main players must be taken into account:
1. The Customer2. The Competitors3. The Company
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Customer
Company
Competitor
Largest MILK Brand in Asia.
Enjoys Fine Reputation.
Adequate skilful employee are working
Raw milk is fully use that myself visited in the production Department.
Defending against Amul,Red Cow,Meto, Bhagirathi.
Aggressive moves against Nestle, Amul,kwality
Moved from losse milk to Packaged Milk.
Ready to try More Product.
Best Quality of Panner & GheeCustomer.
Limitation of the Study
The period of project work is too short.
Some of the customer did not give attention due to lack of time.
Some of the customers hesitate to express themselves.
There is visiting card allowed for us.
The study conducted only in selected areas.
Apart from the time constraint another limitation was that the LAD of different District stay at various locations of Southern Region , so it was very difficult for us to cover more than 5 LADs ,Retailers & Customers within 2 months. Hence in the very short time frame we have managed to meet 30 Retailers & customers.
Some questions of the questionnaire was unanswered by them, hence it created problem while calculating the scores.
The new Retailer’s & Customers mostly preferred neutral answer to avoid any kind of problem
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RECOMMENDATION
a. Quality of milk which is produce in Guskara plant, burdwan is bad
in quality according to the customer. So It should be better in quality to sustain in the market in long run.
b.According to the LAD In Purulia District the milk comes late in
time. So it should be punctual in time.
c. Lickage problem is a very vital issue in Birbhum,Purulia &
Burdwan. So Mother Dairy should focus on the Matter.
d.During our survey we find out that the relationship between LAD
& Retailer is so much bad, so it should be removed as much as possible.
e. LAD & retailers want promotional tools which should be offered
by Mother Dairy Calcutta.
f. Delivery of Milk is not come in orderly manner, it is also not a
good sign for mother dairy Calcutta.
G. Commission is very low according to retailer & LAD ,so we should also have to focus on it.
H. Longivity of milk is not up to the customer expectation, so it also a very big problem.
I. Density of Mother Dairy should be better
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K. LAD (Asansol) should not provide any receipt to Retailers after Delivery .
L. Availability should be better in purulia District.
M. There is no Personal touch of LAD and Mother Dairy employees.
.
.
Research Findings & Conclusions:-
The identity details are kept secret as the piracy of the data has been maintained to the greatest extent possible for cultivating and obtaining an unbiased data accordingly. It has been observed that Mother Dairy’s Milk & Milk product has a very
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low retention rate which is really Weakness for the Southern Region. Still am mentioning some of the findings by me while intervening with the different Retailers , LAD & customers of the different Districts as mentioned previously.
A} The Sell of of Mother Dairy Milk & Milk Products are Gradually fall in each an every next year due to some reason --------------
The Quality of Mother Dairy Milk is decreasing year by year and spread up some bad smell due to problem of milk processing system. Most of all retailers ,LAD & truthful Customer are not fully satisfy from the quality as well as smell of mother dairy milk.
Actually Mother Dairy’s all product are come from Guskara Plant which is a franchise of Mother Dairy Calcutta and its very tough to deliver products in some long route distance district (Purulia & Bankura) from plant. Normally lickage will be happen in bulk quantity of products.
The price is charge high of milk and milk products, and low commission.
The Milk’s Variant Time or longevity is very much low varying 1-2 days only.
B} It also been found that unable to identify new LAD ship (Murarai-a highly demanded place) of milk product (Ice- Cream ) which is one of my main topic of mine project want to take authorization from the higher authority,
C} LAD are not able to deliver product timely, Orderly ,destination places and not yet give any receipt to Retailer.
D} There is no personally touch of LAD & Retailers with the company person while to detect accurate problem in the field of current market situation and less market survey in southern region of west Bengal. It is one of the Major strategy .. E} We know Mother Dairy is reputed and Government Undertaking company but there is very less amount of advertisement and sales promotion .
F) It was found that very weak Distribution channel system of (producer- Customer) in southern region.
G} There is some misunderstanding with LAD and Retailers in southern Region of West Bengal.
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References
53
Bibliography:-
Books:
Marketing Management – Philip Kotler (13th Editon) Marketing Management – Ranjan Saxena. Research Methodology – C. R. Kothari
Webliography:-
Internet:
http://www.motherdairycalcutta.com/
http://en.wikipedia.org/wiki/Main_Page
http://www.nddb.org/
Appendix:-
i)Questionnaire:-
CUSTOMER BASIC INFO
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NameAddressAge
*Please tick on appropriate box*
CONSUMPTION LEVEL & AVAILABILITY:-
1. Milk consumption per day:- 250ml/ 500ml/ 1ltr. / More than 1ltr.
2. Frequency of Requirement:- Everyday/ Every alternative day/ Once or twice in a week
3. Has your family consumption increase over the past few days? Yes / No
4.Do you Get Mother dairy milk from :- Authorized outlet/ free outlet/ home delivery/ others.
BRAND PREFERENCE:-
1.How do you consider Mother dairy milk: very good/ good/ satisfactory/ not-satisfactory
2.Price of Mother dairy milk to you:- High/ Moderate/ Competitive/ Avarage.
3.Taste and Flavour of Mother Dairy to you: Pleasant/ State/ Souring/ Others.
\4.Density of Mother dairy milk is you: Very good/ Good/ Satisfactory/ Not satisfactory
5. Shelf-life by duration: Very good/ Good/ Satisfactory/ Not-satisfactory
6.Usage of Mother dairy milk in your family for : Tea & coffee/ Drinking/ other Food stuff.
7.On what basis do you judge mother dairy products overall : Taste/ Quality/ Health &Hygiene/ Price / Packing/ Availabilty/ Others
.
8. Do you know Mother dairy milk contains Vitamin A: Yes/ No.
9. Do you prefer other Brands : Metro/ Amul/ Other(specify……………..)
10. Do you make use of other Mother dairy product : Mishti Doi/ Yoghurt/ Paneer/ Ghee / Other
11. Ranking on preference :
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a)Amul
b)Mother Dairy
c)Metro Dairy
d)Red cow
Questionnaire for Retailers
Retailers Name
Address
56
Shop No-
1)Recommendation about Mother Dairy Milk?
TYPES OF MILK Quality PriceCow MilkDouble Toned MilkColestral FreeMilk
2)Any Other Product use except Milk (Example-Panner)?
3)Do you want any Other New Product (Example-Toned Milk)?
4)What are the Brands that you Sell Other than Mother Dairy?
5) Is the Demand Equivalence with the supply?
6) Do you get the Products in terms of Credit Or Cash?
7) Comment About Timely Delivery of Milk?
8) Sale per day Milk (in Carets) ?
9) What do you expect about sound service in future days?
10)What type of delivery Mode (Transporter/Distributor/Self) Is Used?
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11) At What Price each Variant is bought from whatever Source?
12) Anything In General to be Improve for Mother Dairy Calcutta?
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