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Business Communication


CASE-1 (20 Marks)

Nestle has launched quality street ,lion and after 8 choclates imported from Europe. Qualtty Street is an
assortment of chocolates priced at Rs. 7 5 for 218 gm. After Eight is a popular adult chocolate priced at Rs.25
for 20 gm and Lion is a caramel wafer bar priced at Rs. 20 for a 45 gm bar. (Kit Kat )is priced at Rs. 6 for a 17
gm bar and has a chocolaty taste while Lion has a crunchy taste). The brands have different tastes and will
appeal to different target segments (though the target segment is one which may have already been exposed to
these brands during visits abroad). These brands have been introduced in metros in upmarket stores which sell
brands bears the label "lmported by Nestle India Ltd." indicating that they may be better than smuggled ones
(which may be stale).


Question :

1 Suggest suitable media /media vehicles for promoting these brands. Give reasons in support of your answer

2 What business communication media you will utilize if you have to launch a soap in rural India?

























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Answer:

INTRODUCTION
One of the worlds largest food processing companies, NESTLE found itself mired in
promotion of its chocolates. There are many types of brand and in that chocolates are produced by
the company. But out of that QUALITY STREET, LION and AFTER 8 chocolates faces promotion
problems.
These brands have different taste and taste is an Indian taste but promotion
problem hinders its sales.

SITUATION
Situation to this case is such that the 3 imported chocolates namely quality street, lion and
after 8 has its price and quantity as follows:

QUALITY STREET (218 gm) =RS75
LION- (45 gm) =RS 20
AFTER 8- (20gm)=RS25

TARGET CUSTOMERS
Already been exposed to these brands during visits abroad

ECONOMIC ANALYSIS
(Potential consumers of chocolate in the country)


Income
Groups Age Groups
(Rs'000 p.a.) 5 to 14 15 to 19 20 - 24 25 to 34 Total
Rural 62 - 86 2.2 0.8 0.7 1.2 4.9
(Millions) >86 13.5 4.8 4.3 7 29.6
Total 15.7 5.6 5 8.2 34.5
62 - 86 7 2.5 2.2 3.7 15.4
>86 18.8 4.9 4.4 7.2 30.2
Total 20.08 7.4 6.6 10.8 45.7
Total 36.5 13 11.7 19 80.2

As per the study of above table we can make out the targeted consumer of different age
groups as per their incomes. We can come to the result of our focus customers.



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SOLUTION & UNDERSTANDING THE SOLUTION
The above situation can have two solutions for the same

Firstly taking the Quality Street chocolate is the tasty chocolate but has a high quality in it
and so the prices seem to be high. Seeing to the Indian customers, mentally customers see
the price first and then the quality usually so from 218 grams it should be reduced to 102
grams chocolate. Doing this price set can be reduced from Rs 75 to Rs 35. This being not loss
to the company but it can be profitable as there will be more buyers for the same product. Its
not only about the price also but once again it has also to be affordable for all class of people.
It has to be affordable to all of them.
Then comes the Lion chocolate which is liked by mostly by the children. So it should have
some very attractive packing. Some cartoon, Barbie shaped which is liked by children or some
promotional activities to be done in terms of some good model or cartoonist promoting the
product. Some gifts such as stickers, brands & stationary can also be given if it suffices the
pricing of the same & once again affordable.

Then comes After 8 chocolates which can be done in simple packing, but needs to change
somewhat its taste as it does not have perfect an Indian taste. It should be less bitter taste &
somehow more sweet in comparison with the taste of Christian one. As it has less sugar it has
to improve the ingredients.
Nestle Kit Kat - are crisp wafer fingers covered with choco layer. NESTL KIT KAT has a
unique finger format witha breaking' ritual attached to it. KIT KAT is one of the most
successful brands in the world and every year over 12 billion NESTL KIT KAT fingers
are consumed around the globe
Liking of Chocolates
Liking for the chocolates Yes No
Number of Respondents 95 5

Number of Respondents
0
20
40
60
80
100
Yes No
Number of Respondents

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Frequency of
Consumption
Number of
Respondents
Once in a fortnight 16
Daily 17
Weekly 39
Monthly 18
Quartely 5


Number of Respondents
0
10
20
30
40
50
O
n
c
e

i
n
a
f
o
r
t
n
i
g
h
t
W
e
e
k
l
y
Q
u
a
r
t
e
l
y
Number of Respondents


The second solution is various types of offer that can be given to customers. i.e. most popular
product of Nestle is Maggie & it is consumed by all the age groups of customers and so a free
chocolate is also consumed by these age group of customers & so a free chocolate can also
be offered. Once tasted by any age group would surely buy if tasted & it can also be
consumed. Therefore there would be increase in sales of Maggie as well as chocolates.
Early Customer Testing
Packing & design
Brand name
Launching Strategies & time of launching
Rural Market Initiatives

Once again any chocolates which are imported & branded as per the guidelines & regulatory of the
particular country & to be marketed under Indian branch if the same has been promoted within India.
(India in an example in the case)
Nestle is the authorized importer of that particular chocolate/product which is to be marketed
& sold through Nestle India label only. It can be called as authorized importer. No other brand
can import the same product & market the same.
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Product are made as per the their consumption, In which country it is consumed & the
importer of the same. There are some minor changes in terms of product taste, size and
packing of the same.
Promotion and marketing solely depends upon the consumption area of that particular
product.
If we take an example of Kit Kat, one of the most successful product of Nestle, Nestle is the
authorized importer and it has to be marketed under Nestle India brand only. No other
competitor brands can import the same & make their labels accordingly. Taste, packing & size
may differ country to country.

Suitable Media
The best suitable media would be television because firstly it is a suitable product which needs
a remainder each day, a recall at all the intervals and at regular basis. The advertisement
agency should see to it that an attractive advertising will surely increase the sales. Once again
frames of advertisement as well as the cost has also to be taken care of. An advertisement of
30 seconds would suffice to promote a product.
It is required that company has wide distribution network in metros and all the markets
including interior. Perfect supply network and mode of transportation has to be taken care.
Communication with wholesalers, semi wholesalers & big retails should always be in contact.
with it target customers and all of them are covered by all upcoming stores and at all the
premium areas as per the footfalls. Airports and stations should be supplied strongly as there
would be maximum footfalls.
Hoardings at all the metro locations initially which covers 40% - 50% of the market where the
product is sold & then at interior locations.
Product visibility at all the web portals and other social networking sites where there is
maximum hit
Promotional offers with other products can also be offered. Quantity in terms of grams would
be minimum. Once tasted would be a final choice of the individual.

Media of
Advertisement
Number of
Respondents
Television 82
News Papers 7
Broushers 3
Hoarding 4


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Number of Respondents
Number of
Respondents,
Television, 82
Number of
Respondents, News
Papers, 7
Number of
Respondents,
Broushers, 3
Number of
Respondents,
Hoarding, 4
0
10
20
30
40
50
60
70
80
90
Television News Papers Broushers Hoarding
Number of Respondents


Benefits
Increase in sales & profitability of the company
More reach
Brand promotion at all levels & in all areas including interiors and reach to all class of people
Product acceptance
New product launches & expandable distribution network

Conclusion
Thus due to above solution there can be increase in sales which also increases ultimately in
profit. There can be hurdles even in implementing all the strategies and key changes but once again
its all about stream lining the same. Proper planning also helps in achieving all the targets in terms of
sales & promoting a product & achieving the desired goal of the company.

Company is a legal artificial person and so also restricted by laws and rules & it should be
taken care & proper steps is carefully taken to reach to next level.
















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2) Soap in Rural India

Personal Selling most effective way and best communication that can be used at the
rural area because people in the rural area especially in India are illiterate and soap is that thing which
is not on most priority for rural people.
Pricing to be taken on almost priority as it has to be more competitive
Offers of Buy 1 & Get 1 free or packs of 3 together to be sold at competitive rates. This helps
as their would be more sales.
Strong Distribution channel and scheme for small retailers.
Packing to be more attractive
Offer can be made by increasing size of the bar also. (Eg. in grams)
Schemes along with its co product. Eg 1 small bar of 50 grams free with a bottle of shampoo.
In this case, customer utilizes the soap and it can be promoted by itself. Therefore sales of
both the product increases i.e. soap as well as shampoos.
Transportation cost is also lower in comparison with bigger cities.
Hoardings and small banners to be loaded and especially in regional languages.
Launch has to be done with big bang.
Expectations of the rural people is less as compared to others
Conclusion:
Rural is the area where each company has to focus. If promoted well with all the required
strategies if can surely be made a big success.



















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CASE -2 (20 Marks)

The herbal shampoo market is valued at around Rs. 100 crores. Ny/e, Ayur, Dqbur and Biotique are some of the
established brands in the market.

Helene Curtis (J K Group) has introduced a premium herbal shampoo (with variants Shikskai, henna and qmla
and brqhmi and josur) priced between Rs. 80 and Rs. 90 (500 ml) for different types of hair. The proposition is
the benefits offered by lhe variant based on the combination of herbs, benefits offered by the variants range
from extra protection and nourishment to colour, body and bounce. The shampoos have been launched under
the brand name Premium Herbsl Shsmpoos and they target urban housewives with a monthly household
income of Rs.25,000. The brand is distributed through 7 0,000 retail outlets and 120 Raymond shops. The
company has planned only point of purchase (POP) posters initially and may consider the electronic media
later. The shampoo has an annual advertising expenditure of Rs. 10 crores.


Question :

1 Comment on the marketing mix of J K's Premium Herbsl Shampoos ?

2 How can you make their communication more effective ?.



































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Answer:

Introduction:
India is the country as such which has native nations and benefits. This country has wide
acceptability for ayurvedic herbs then compared to antibiotics and homeopathic herbs. This country
believes in and has the conviction of using natural and ayurvedic products.
Similarly in the case of herbal shampoo which are available in markets are Nyle, Ayur, Dabar
Biotique etc are available in the markets and are established brands at this point of time and
consumed in big volumes. Any new player upcoming in the market has to come up with something
different.

Segmentation
Shampoo remains the key hair care segment, accounting for 41 per cent of sales. Although
overall sales have remained flat year on year, medicated shampoos are offsetting a decline in the
two-in-one shampoo sector. Sales of medicated shampoos are driven by traditional brands, such as
Head & Shoulders.
Hair conditioners are performing well (sales up four per cent since 2001) and making some gains
as consumers shift away from two-in-one shampoos. The customer's desire for greater convenience
appears to be declining in importance, with the "two-in-one" market now accounting for only 19 per
cent of the overall shampoo market, with sales down seven per cent since 2001
Which of the following brands of shampoo have you purchase.
Dabur Ayur
Organics Vatika
others (please specify)
Dabur Ayur Organics Vatika Others
Male 7 5 4 8 3
Female 5 3 2 8 3
Response
It can been seen that clinic all clear has been tried by most people that account for 16 of 20 sample
and next coming to be Pantene with 12. After this brand sunsilk is used more followed by organics.

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Analysis
The survey showed a number of reasons for consumers using more than one brand or type
of shampoos simultaneously. No single shampoo, according to the consumer, was able to
fulfill all the hair requirements. Dandruff was the most important hair problem which led the
consumer to use more than one shampoo at a time. Some people use two or more
shampoos simultaneously, just for change.
Key Findings
It has been observed that people use not only shampoos but home remedy is also preferred
because of its uniqueness of effectiveness. People also use more than one shampoo or keep
two shampoos
q Most people have tried one or more shampoos but hardly finds any differences. Except for
clinic all clear and organic in which respondents have positively agreed of best shampoo than
others.
q People buys those shampoos giving them maximum benefits. Female normally look for
shampoo matching with their hair type but male look for combination of benefits i.e. 1
st
hair
problem and then fragrances followed by price.
An advertisement is the one that influences a lot than any other factors.
Most people change their shampoos occasionally but there are people who never change their
shampoo i.e. they are satisfied with their current brand.
People normally shampoo twice a week or three to four times a week.
Most people normally buy sachets available followed by above 250-ml pack.
Most people know of the brands through advertisements. Next come magazines. And then the
newspapers.
Satisfaction is maximum drawn with people using clinic and organic. These are the brands,
which attract most because of perceived quality and brand image.
Situation:
Helene Curtis (J .K. Group) who has introduced a premium herbal shampoo priced between
80 to 90 which consist of 500 ml and for different types of hair and for urban housewives and which is
th of total costumers. Therefore the expectation of the product would also be high as targets users
are somewhat higher.
Prices are big higher as compared to other products available in the market. All the ingredients
used has to be as per the products available in the market and something better than that in
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terms of quality and packing.
Distribution has to be at its best as there are 7000 outlets and 120 Raymond shops. All the
outlets are to be decorated with the POP and some small banner. Therefore distribution plays
a key role in this case.
The promotion needs to be boost up as the advertisement expenditure which is of 10 crores
has to be absolutely used effectively. As per the budgets available all the print and media
promotion can happen as per the plans.
Solution
Product
The product used has to be with one of the best ingredients and to be used such as
shikakai heena, amla brahmi etc which gives fast results compared to other shampoos. So the
product to be suggested is to add all such ingredients which gives better results such as anti
dandruff, long hair, lasting and smell has also to be taken care and should be made
accordingly.
Place
The place of the product should be such that there is less transportation cost and raw
material etc.
Place which is selected is best and retail outlets which is of good number of raymond
shops. Its suggest good distribution network. Distribution is done widely and so the product is
easily available to all the customers.
Price
The price of the product is considered keeping in mind the urban area (whose wives
income is more than 25000) along with that rural area should be kept in mind and than
the price should be determined.

Promotion & Marketing

The companies promotion need to be handled more efficiently because here comes the main role
and core activity which make the product popular and here there is less promotion activies done.
Solutions available are as follows
There can be any offer at the time of the launch of the product. Eg some conditioner free with
each shampoo. The launch has to be done in big way with all possible things
Personal selling improves the awareness of the product.
Packing should be done such that it is more attractive and less wastage.


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Brand
Media
Vatika
Male female
Ayur
Male female
Biotique
Male female
Dabur
Male female
TV 10 10 10 10 10 10 10 10
Magazine 6
8
8 9 5
4
4 7
Newspaper 4
6

9 7 6 4 7 5

Response
Reveals that in TV as media for advertisement all the responded have had the same
frequency of seeing the ads of all the brands. In case of print media as in Magazine highest
number of viewer ship went to Dabur, Vatika, Ayur, Biotique, in decreasing order. In case of
Newspaper the maximum no. of viewership went to these brands.
Analysis
It says that T.V. is best media for advertising for all kind of advertising and it has best
opportunity for the brand to penetrate in market. All of the brands have equal no. of viewership
in TV but in magazine &Newspaper they had different viewership.
Recommendations
Target those people who use shampoo and trust the shampoo as their best solution for hair
care.
Develop quality and brand image so that by trial of your brand leaves with a good image and
then followed by usage of bigger pack which then will be used by them.
Identify the key benefits such as hair strengthening, Missing form shampoo and makes them
the USP of new brands. The USP could be rebuilding damaged hair, shiny and healthy hair.
Look for different problems for which people use shampoo for hair care, falling hair and
dandruffs etc. And deliver the same of high quality and at the same time positioning the brand
as solution for your hair problem and which also rejuvenate your hair, and keep your hair
healthy to that target group.
The ideas, associations and images that people have of a shampoo brand determine the
demand side of the brand equity equation. There are two ways in which advertising is likely to
influence perceived product performance. First, by guiding the expectations about the
shampoo experience - process called product enhancement and second, by creating a halo of
superiority around the brand via a mechanic termed Interest Status. There are two key
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advertising related factors First, the advertisement needs to be remembered. This is important
because its main influence is at the point of trial. Second, the message should relate in some
way to the experience of using the product - for instance, does it create any expectation of
what the shampoo would feel like to your hair i.e., how will it take care of your hair and
especially to your specifications. But the advertiser should always bear in mind that the
benefits proclaimed are in line with what the product can actually deliver.
Use country wide sampling activity to acquaint potential customers with the benefit of
shampoo backing up the effort with advertising to convert intent to purchase.
Offer value for money impetus for the decision to use the product more intensively
Again benchmark the company that has well positioned itself in the minds of the consumer and
they [consumers] rarely change their shampoo. Here these people are almost satisfied with
their current brand because the core features the consumer looks for is being derived from
their brand. And so delivering the improved one will make them switch to your brand but it
should be well advertised and substantiated
This action of company will have other positive effect of attracting those switchers, changing
frequently and/or occasionally and drawing the crowd towards your brand.
Go for strategic sizing and pricing. Have those packs available in the market so that people
have a wider option available and presence of your brand. After a gap of some time check
which are the packs that are bought most and assure their availability.
Last but not the least there are separate issue that have to dealt with being the male and
female factor and then growing demand of herbal shampoo. Looking at first point the female
factors of buying a shampoo are different than male. A female normally have less problem of
falling hair than male and so they look for those hair shampoo that improve from the current
position of their hair. [Rejuvenate and healthy etc.] But one common problem [male & female]
that they may have is of dandruffs. And so the company can develop the brand image and
quality and communicate better to the target group of these core benefits of your brand i.e.,
solution for hair problem and thus improving and rejuvenating them. Second point. Can the
company in the same line of chemical shampoos change the perception in the mind of the
consumer of chemical shampoo having no side affects and at the same time advertise about
the possible advantages of using their shampoo and/or can they come up with a herbal
shampoo as the product extension and there by building a well brand image. Like the Colgate
has done with the already launched product of herbal toothpaste. If yes please go ahead but
probe before you plunge.
The advt. Slogan could be :
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Expert care for every type of hair
Extra protection for your hair
Remove dandruffs in secs
Healthy shiny u ever wanted.
Conclusion
Thus seeing this marketing mix of the company, the company is good at his product and place
but it needs more improvement in price and promotion.
Company is with such a product without advertisement no once would accept the product or
we can say ready to empty their pockets for such a product. Company has to have such a promotion
that a repeated buying process is done and for that customer has to be satisfied with its product to the
customer.
Company in case the transportation cost is not dealt with but personally it can be advised that
company should have its manufacturing department nearer to the raw material and target place where
product is to be sold.
Thus lastly we can say that a Helene Curtis is gives importance to certain matters more
carefully will be world wide accepted company.

























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CASE 3 (40 Marks)
Attempt all cases of the following: (10 marks each)

(i) Iran Rafsanjan Co., Rafsanjan City, Iran has taken a marine insurance policy No. VB/84/3629/29 dated
20
th
December, 2005 from Albroz Insurance Co., Kerman City, Iran for the import of 500 tractor gears
from Apex Products (India) Ltd., Delhi. The exporter shipped the cargo on board vessel SEEMA on
26
th
December, 2005 for Bandar Abbas Port of Iran.

As per the letter of credit condition, the exporter was required to fax the shipment details to Albroz
Insurance Company within 24 hours of the shipment. However, the exporter could not fax such details due
to change in telephone (fax) number of the insurance company.

Draft an express telegram to intimate shipment details.

ii) Yours is a multinational company having joint venture with a Chinese company. Plant is to be located at
Surat. The company immediately needs an Executive - Foreign Affairs (male/female) with ability of
writing and speaking Chinese language.

Draft a recruitment advertisement for publication under classified column of a national daily. Salary-is no
bar for the right candidate. E-mail address -info@krishnafashions.com

iii) The local head office of State Bank of India is located at 11, Parliament Street, New Delhi-110001. The
bank wants to construct 76 flats at Noida for its employees and invite applications for pre-qualification of
contractors. Full details are available on its website - www.sbi.co.in or www.statebankofindia.com/
procurement_news.


Draft a notice for pre-qualification of contractors.

iv) The J oint Admission Board (J AB) of Indian Institutes of Technology in its meeting held on 17
th

September, 2005 at Kolkata has taken some decisions with regard to J oint Entrance Examination (J EE)
2006, i.e., to appear in J EE, one must secure at least 60% marks (55% for SC/ST and PD) in 10+2
examination; a candidate can have only two attempts with effect from J EE-2006; and a candidate who
joins any of the IITs through J EE-2006 will not be permitted to appear in JEE in future.* It was also
decided that candidates, who have passed their qualifying examination in 2005 or earlier, will be allowed
to appear in J EE-2006 as the last chance, witji no consideration of marks or attempts at J EE subject to age
requirements. On behalf of the J AB, draft a suitable press release to be issued by organising chairman
highlighting these decisions.
















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Answer

(iii)


State Bank of India
11, Parliament Street, New Delhi 110 001


17
th
December, 2011


Notice of Contract

Notice is hereby to inform contractors who are interested in constructing 76 flats at Plot No.46,
Knowledge Park-III, Noida - 201308, India in reference to circular no. CIR/5674/CRD/786543. The
construction place as per the address specified is purchased and all the documents are complete.
The contractor has to furnish labor or material, or both labor and material or is to furnish or has
furnished labor, materials, rental equipment, appliances or both in the erection, alteration on that
land. Below are the necessary requirements.

It has to be completed with ONE year or below the time specified with the notice.
The building has to be such that has the attractive layout with maximum utilization of the area.
It should be 2BHK flat with all the necessary furniture and fixtures
The fees and all the charges are to be clarified with the receipt of your proposals

All the required details are including circular is uploaded on our website:
www.sbi.co.in/www.sbi.com/procurement/news

Your Proposal should reach physically on the above address or by Email: admin@sbi.co.in from
15 days of this advertisement

For further details contact

J ohn Abraham
Vice President State Bank of India (Admin)
Delhi



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Answer

(i)

To,
Albroz Insurance Co,
Kerman city, Iran

CC M/s Iran Rafsanjan Co. Rafsanjan City

Sub : Consignment sailing confirmation vide insurance policy No. VB/84/3629/29 dated
20
th
December, 2005

Dear Sir,
This is to confirm all concerns that we the shippers M/s Apex Products (India) Ltd., Delhi have
exported 500 nos. tractor gears ( as per attached invoice/ packing list / PO nos : NH475/67543566) to
Consignee M/s Iran Rafsanjan Co., Rafsanjan City, Iran per vessel MV Seema sailed on 26
th

December, vide Bill of Lading no:2457890 ( as attached)

Thanking you

For, M/s Apex Products (India) Pvt Ltd.


_____________

++++++++++++++++++++



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Answer
(ii)

URGENT REQUIREMENT

Krishna Fashions Ltd
64 Athwa Lines
Surat 567 002
Gujarat - India

Dear 20
th
Dec 2011

It is a pleasure to inform you that we are a multinational company having collaboration with Finshu
Inc, Shenzhen for manufacturing Textiles. We are in need to fill the position of Executive, Foreign
Affairs at Surat. A copy of our announcement is attached. We have also attached a copy of our scope
document which should provide you with detailed information about our our profile and scope of the
company. Candidate should be

Fluent in writing and reading Chinese language
Fluent in making documents and communications in regional as well as Chinese.

Salary is no bar for the eligible candidate. Any experience within the profile would be an add-on
advantage.

Email all your resumes on info@krishnafashions.com on or before 7 days from this published
advertisement.

We would like to take this opportunity to invite you to apply or nominate individuals who are well-
suited for this position. We are genuinely interested in recruiting candidates from diverse ethnic and
cultural backgrounds.

Sincerely,

Mary J ohn
Krishna Fashions



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Answer
(iv)


JOINT ADMISSION EXAMINATION BOARD, 2005

The joint administration board has its board meeting held on 17
TH
SEPTEMBER, 2005 at KOLKATTA
and has declared some rules and dates for examination


IMPORTANT RULES FOR EXAMINATION



1 Dateofregistration
(a)online 20122005
(b)offline 25122005
2 onlinewebsite www.jointadmissionboard.com
3 Dateofexamination
(a)online 2012006
(b)offline 2812006
4 Centreofexamination asindicatedinyourcard
5 Resultofexamination (offline)2332006
6 scorecard after20february,2006
(ifdemanded)
7 Agerequirement 23to27Years



IMPORTANT NOTES

60% marks minimum( 10+2)
55% marks required for other classes i.e.sc, st,obc
Only 2 attempts with effect from jee-2006
J oins any of the IITs through J EE-2006 wiil not be permitted to appear in J EE in future
Candidate who have passed their qualifying exam in 2005 or earlier will be allotted to appear
in 2006 as last chance(with no consideration of marks or attempt at J EE subject to age
requirement)


Chairman
JOINT ADMISSION EXAMINATION BOARD
Email - ____________________

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