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    ON

     TO PROMOTE ALUMINIUM FURNITURES IN INDIA

    SESSION (2012-13)

    UNDER THE GUIDENCE OF - SUBMITTED BY:-

    Mr. MANVIR AZAD SUJIT KUMAR PATHAK

    OFFICER LOGISTICS GNIT COLLAGE OF MANAGEMENT

    0

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    Dedication

    This Survey Report is Dedicated to the

    great visioary thi!er"ho #aid do" the

    $oudatio stoe

    o$ this greatistitutio

    1

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    %&'NOED*E+ENT

     With great pleasure, we express our hearties thanks toMr.S.K.Das(General Manager

     Training and Development), Mr. Ajay Jauhari (Deputy, General Manager) for

    providing us an opportunity to undergo the summer training in “HINDALCO

    INDUSTRIES LIMITED”,Renukoot.

     We would like to extend our earnest gratitude toMr.Manvir Azad (Officer, Logistics)for

    his timely guidance and assistance which kept us in the right direction throughout our

    project work.

     We would like to also thank the intire marketing department for lending us all possible

    cooperation’s.

    S,IT ',+%R .%T/%' 

    (GNIT COLLEGE OF MANAGEMENT)

    2

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    PREFACE

    Summer training is an integral part of our academy curriculum. During the training

    a student gets an opportunity to understand the practical of theory. Training makes

    the concept clear.

     This project is the outcome of summer training that we have undergone at

    HINDALCO INDUSTRIES LIMITED atRENUKOOT for the partial fulfilment of POST

    GRADUATE DIPLOMA IN MANAGEMENT (PGDM).

    During the period we were asked to make a project on TO PROMOTE ALUMINIUM

    FURNITURES IN INDIA.

     We have tried our best to collect all necessary information for our project to make it

     better project.

    Preparation of project requires proper guidance initiatives. So it’s mandatory to take

    the aid of various departments.

    3

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    IN HONOUR OF ALUMINIUM

     There is some swear by titanium,

    and some by manganese.

     There’s virtue in a lump of tin

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    andiron is hard to please,

    Of course the steel doesn’t give appealing feel.

    By choice the dead are lined with hard

     The living hired with gold.

     There’s some that think the best is zinc,

     And some on silver, gold

    Magnesium&cadmium,

     And copper are fine.

    But this is the wise who truly unrivalled the alumina,

    So raise a flag & beat the drum.

    IN HONOUR OF ALUMINIUM

     TABLE OF CONTENTS PAGE NO

    1)Objective of the project 07

    2)Research methodology 08-09

    3)Relevance 10

    4)Introduction 11-53

    5)Marketing Mix 54-56

    5

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    6)Analysis 57-85

    7)Findings 86-87

    8)Conclusion 89

    9)Suggestion 90

    10)Limitation 91

    11) Bibliography 92

     12) Annexure 93-99

    OBJECTIVES OF THE PROJECT

     The major objectives of the study are:

    1) To know about awareness level ofuse of aluminium furniture in Indian market.

    2) To promote use ofaluminium furniture across households and institutions.

    6

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    3) To suggestoptimal marketing mix to support sale of aluminium furniture.

    4) To provide a platform forHINDALCO to collaborate with established as well as

    new manufacturers to widen the scope & horizon of aluminium furniture

    market.

    RESEARCH METHODOLOGY

     Types of research: -

    1. Descriptive research

    Descriptive Research - is a research which mentions present state of affairs about

    any research problem. It reveals objectives without undergoing any causal7

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    investigation. Descriptive research is a fact finding investigation with adequate

    interpretation.

    2. Analytical research

     Type of data use: -

    Primary data,

    Primary data - Primary data is that, which is collected for the first time and directly

    influencing research objective.

    Data collection method: -

    Field survey,

    Surveys are concerned with opinion that are held, processes that are going on,

    effects that are evident i.e. describing, recording, analyzing and interpreting

    conditions that exists.

    Data collection technique: -

    Questionnaire,

     A Questionnaire consists of number of questions printed in a

    Definite form. The respondent has to answer those questions on their own.

    Sample: - Customer’s, retailer’s, manufacturer’s

    Sampling unit: - Renukoot, Shaktinagar, Waidhan, Turra.

    Sample size: - For consumer-100, for retailers-30, for manufacturer-10

    Sampling method: - Convenience.

    Statistical Tools: -

     As per the need of project analysis to be used for analysis:-

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    • Percentage

    • Graphs

    • Bar Diagrams

    • Pie Charts

    • Scatter charts

    • Line charts

    Limitation: -

    1.Sample size is small.

    2.Time bound study period.

    3.Biasness factor /error could not be eliminated completely.

    !

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    RELEVANCE OF PROJECT

    1. This will give us the presentscenario of furniture market in India.

    2. From this we will know about growing scenario of aluminium furniture’s in India.

    3. It will give clear idea of retailers and manufacturers demand for furniture to

    satisfy consumer.

    4. From this we will know about brand’s name effect in market demand.

    5. This will give about change in individual thinking from one product to other

    product.

    10

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    Our vision

    To be a premium metals major, global in size and

    reach, excelling in everything we do, and creating

    value for its stakeholders

    Our mission

    To relentlessly pursue the creation of superior shareholder

    value, by exceeding customer expectation profitably,

    unleashing employee potential, while being a responsible

    corporate citizen, adhering to our values.

    Our values — Path to excellence

    Honesty in every action.

    On the foundation of integrity, doing whatever it takes to deliver, as promised.

    Missionary zeal arising out of an emotional engagement with work.

    hinking and working together across functional silos, hierarchy levels, !usinesses and

    geographies.

    11

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    INTRODUCTION OF ADITYA BIRLA GROUP

     A US $29.2 billion corporation, the Aditya Birla Group is in the league of Fortune

    500. It is anchored by an extraordinary force of 130,000 employees, belonging to 30

    different nationalities. In India, the Group has been adjudged "The Best Employer in

    India and among the top 20 in Asia" by the Hewitt-Economic Times and Wall Street

     Journal Study 2007. Over 50 per cent of its revenues flow from its overseas

    operations.

     The Group operates in 25 countries — India, UK, Germany, Hungary, Brazil, Italy,

    France, Luxembourg, Switzerland, Australia, USA, Canada, Egypt, China, Thailand,

    Laos, Indonesia, Philippines, Dubai, Singapore, Myanmar, Bangladesh, Vietnam,

    Malaysia and Korea.

    Globally the Aditya Birla Group is:

    :

    :

     A metals powerhouse, among the world's most cost-efficient aluminium and

    copper producers.Hindalco-Novelis is the largest aluminium rolling company.

    It is one of the three biggest producers of primary aluminium in Asia, with

    the largest single location copper smelter

    :

    :

    No.1 in viscose staple fibre.

    ::

     The fourth largest producer ofinsulators.

    :

    :

     The fourth largest producer ofcarbon black.

    :

    :

     The 11th largestcement producer globally, the seventh largest in Asia and the

    second largest in India.

    :

    :

     Among the world's top 15BPO companies and among India's top four.

    :

    :

     Among the best energy efficientfertiliser plants.

    In India:

    :

    :

     A premier branded garments player.

    ::

     The second largest player in viscose filament yarn.

    12

    http://www.hindalco.com/http://www.novelis.com/http://www.grasim.com/http://www.adityabirlainsulators.com/http://www.birlacarbon.com/http://www.grasim.com/http://www.minacs.adityabirla.com/http://www.adityabirlanuvo.com/indogulf/index.aspxhttp://www.adityabirlanuvo.com/maduragarments/index.aspxhttp://www.adityabirlanuvo.com/indianrayon/index.aspxhttp://www.novelis.com/http://www.grasim.com/http://www.adityabirlainsulators.com/http://www.birlacarbon.com/http://www.grasim.com/http://www.minacs.adityabirla.com/http://www.adityabirlanuvo.com/indogulf/index.aspxhttp://www.adityabirlanuvo.com/maduragarments/index.aspxhttp://www.adityabirlanuvo.com/indianrayon/index.aspxhttp://www.hindalco.com/

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    :

    :

     The second largest in the chlor-alkali sector.

    :

    :

     Among the top fivemobile telephony companies.

    :

    :

     A leading player inlife insuranceandasset management.

    :

    :

     Among the top three supermarket chains in theretail business.

    Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where

    success does not come in the way of the need to keep learning afresh, to keep

    experimenting.

    FOOTPRINTS OF ADITYA BIRLA GROUP

     Aditya Birla Group, India's first multinational corporation, traces its origins back

    to the tiny village of Pilani in the Rajasthan desert, where Seth Shiv Narayan Birla

    started cotton trading operations in 1857. Today, the Group's footprint extends to

    25 countries and its revenues are US$ 29.2 billion. We retrace the highlights ofthis remarkable journey, starting from the present:

    2010

    :

    :

    Mr. Kumar Mangalam Birla, Chairman of the Group, was conferred the All

    India Management Association (AIMA) Managing India Award 2010 for '

    Business Leader of the Year'. AIMA confers these awards to persons who

    are “exemplary leaders who have made a fundamental difference”.

    2009

    :

    :

    Grasim's pulp and fibre division has won the highly prestigious Asian CSR

     Award. The Asian CSR Awards, Asia's Premier CSR Awards program, is a

    project of the Asian Institute of Management, Manila.

    :

    :

     The Ministry of Labour and Social Welfare, Government of Thailand will be

    conferred “The Best Labour Relations and Welfare Award, 2009” on Indo

     Thai Synthetic Company Limited.

    13

    http://www.ideacellular.com/http://www.birlasunlife.com/BirlaSunLife/Insurance/BSLI_MP/index5.aspxhttp://www.birlasunlife.com/BirlaSunLife/Mutual_Fund/BSLAMC_MP/index.aspxhttp://www.morestore.com/http://www.ideacellular.com/http://www.birlasunlife.com/BirlaSunLife/Insurance/BSLI_MP/index5.aspxhttp://www.birlasunlife.com/BirlaSunLife/Mutual_Fund/BSLAMC_MP/index.aspxhttp://www.morestore.com/

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    :

    :

    Birla Sun Life Mutual Fund has been named "The Asset Management

    Company of the Year, India", by the Hong Kong based magazine, "The

     Asset", in the country awards category of their "Triple A Investment

    Performance Awards 2009".

    :

    :

    CNBC TV18 Crisil recognised Birla Sun Life Mutual Fund as "The Mutual

    Fund House of the Year" in 2008 and 2009 (for 2007 and 2008), creatinghistory as the only fund house to have won this recognition in two

    consecutive years.

    :

    :

     The Birla Sun Life Equity-Linked FMP won the "Best Local Currency

    Structured Product-India" at - Triple A Investment Performance Awards

    2009.

    :

    :

     The Best "Onshore Fund House - India Award" by Asian Investor, a Hong

    Kong based magazine at - Asian Investor Investment Performance Awards2009”.

    2008

    :

    :

     The President of India, Mrs.PratibhaPatil conferred the much coveted

    Rotary International Polio Eradication Champion Award on Mrs.Rajashree

    Birla in an elegant function at the RashtrapatiBhavan (Delhi), attended by

    the Chairman, select Rotarians and WHO officials.

    2007

    :

    :

     The Aditya Birla Group was honoured with the India Today Group's

    Readers Digest Gold award in recognition of the work that truly

    exemplifies the highest values of society as well as those of Reader's

    Digest. The award was received by Mrs.Rajashree Birla, Chairperson,

     Aditya Birla Center for Community Initiatives and Rural Development, at

    the Pegasus Corporate Social Responsibility Awards 2007 function.

    2006

    :

    :

    Hindalco in a joint venture with Almex USA Inc.

    :

    :

     TransWorks Information Services announces success of bid to acquire

    Minacs Worldwide.

    2005

    14

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    :

    :

    Indian Rayon re-christened as Aditya Birla Nuvo.

    :

    :

     Aditya Birla Group to set up a world-class aluminium project in Orissa.

    2004

    :

    :

    Board reconstituted with Mr. Kumar Mangalam Birla taking over as

    Chairman.

    :

    :

    Completion of the implementation process to demerge the cement

     business of L&T and completion of open offer by Grasim, with the latter

    acquiring controlling stake in the newly formed company UltraTech.

    ::

    Grasim, Nagda, received the FICCI Annual Award 2003-2004 inrecognition of corporate initiaitve in rural development.

    :

    :

     Aditya Birla Chemicals (India) Limited, Rehla, Jharkhand, has received

    the

    FICCI Annual Award 2003-2004 in recognition of corporate initiative in

    family welfare.

    :

    :

    Hindalcorecieves India CFO Award 2004 for excellence in finance in a

    large corporate.

    2003

    :

    :

    Mr. Kumar Mangalam Birla, Chairman of the Group, is selected as

    Business India's Businessman of the Year - 2003.

    :

    :

    Mr. Kumar Mangalam Birla is selected as The Economic Times' Business

    Leader of the year.

    15

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    :

    :

     The Group is ranked 16th in India's first ever survey of 'Great places to

     work in', published in Business World magazine. The Group's joint

     venture concern, Birla Sun Life Insurance, is ranked 9th in the same

    study.

    2002

    :

    : The Grasim board approves an open offer for purchase of up to

    20 per cent of the equity of L&T, in accordance with the

    provisions and guidelines issued by the Securities & Exchange

    Board of India Regulations, 1997.

    :

    :

    Grasim increases stake in L&T to 14.15 per cent (351.84 lakh

    shares).

    :

    :

    Landmark corporate restructuring of Hindalco and Indo Gulf. The

    fertiliser business of Indo Gulf to be demerged into a separate

    company called Indo Gulf Fertilisers. Indo Gulf's copper business

    to be merged with Hindalco, creating a non-ferrous metals

    powerhouse.

    2001

    :

    :

    Grasim acquires 2.50 crore shares -- representing just over 10

    per cent of the equity -- in L&T from Reliance Industries Ltd.

    :

    :

    Birla Consultancy & Software Services spun off; becomes a

    separate entity called Birla Technologies Ltd.

    2000

    :

    :

    Indian Rayon acquires Madura Garments and selected overseas

     brand rights, taking the Group to the top of the league in the

     branded apparels sector.

    :

    :

     The Group forays into e-business through a strategic alliance of

    its software arm, Birla Software and Consultancy Services

    (BCSS), with Lawson Software (USA).

    : 'Gyanodaya', the Institute of Management Learning of the Adiya

    16

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    : Birla Group, is inaugurated.

    1999

    :

    :

     A joint venture with financial services major Sun Life of Canada

    is inked, as part of the overall restructuring of the Group's

    financial services business.

    1998

    :

    :

     The Group forms a 50:50 joint venture company with Tembec Inc.

    of Canada, called A.V. Cell Inc., to supply pulp for the Group's

     VSF operations.

    :

    :

    Grasim acquires Dharani Cement and Shree Digvijay Cement to

    consolidate the group's leadership position in cement.

    :

    :

     The cement businesses of Indian Rayon and Grasim are

    consolidated into a single division of Grasim – the biggest

    restructuring ever by any corporate entity in India.

    1996

     To honour the memory of the late Aditya Birla, a new corporate

    logo- Aditya, the rising sun – is launched.

    :

    :

     All group companies are consolidated under the umbrella of the AdityaBirla

    Group, led by Mr Kumar Mangalam Birla.

    1962

    :

    :

    Hindalco commences production at its aluminium complex at

    Renukoot, UP.

    1958

    :

    :

    Hindalco is incorporated.

    1947

    17

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    :

    :

    Grasim is incorporated. It commences operations with a small

    rayon weaving unit at Gwalior, MP.

    1919

    :

    :

    Ghanshyamdas Birla, grandson of Shiv Narayan Birla, sets up the

    first Birla jute mill, marking his entry into the manufacturingsector. Rapid business expansion follows.

    1857

    :

    :

     The foundation of the Birla Group of Companies is laid by Seth

    Shiv Narayan Birla – cotton trading operations commence at

    Pilani, Rajasthan.

    1

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    Beyond business — the Aditya Birla Group is:

    :

    :

     Working in 3,700 villages

    :

    :

    Reaching out to seven million people annually through the Aditya Birla

    Centre for Community Initiatives and Rural Development, spearheaded by

    Mrs.Rajashree Birla

    :

    :

    Focusing on: health care, education, sustainable livelihood, infrastructure

    and espousing social causes.

    :

    :

    Running 42 schools and 18 hospitals.

    1!

    http://www.adityabirla.com/social_projects/overview.htmhttp://www.adityabirla.com/social_projects/overview.htmhttp://www.adityabirla.com/social_projects/overview.htmhttp://www.adityabirla.com/social_projects/overview.htm

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    SECTORS OF ABG

    key products and !rands "ocations capacities country

    Hindalco #ndustries "td.

     Alumina Renukoot !ttar "radesh#$elgaum %arnataka#&uri 'harkhand#

    ()),))) tpa*+),))) tpa-),))) tpa

    ndia

     Aluminium Renukoot/irakud 0rissa#

    *(+,))) tpa1*,))) tpa

    2xtrusions Renukoot Alupuram %erala#

    **,))) tpa*,))) tpa

    20

    http://www.hindalco.com/http://www.hindalco.com/

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    flat rolled products Renukoot$elur 3est $engal#Taloja &aharashtra#&ouda &aharashtra#

    )),))) tpa+(,))) tpa+),))) tpa*),))) tpa

    redraw rods Renukoot (+,))) tpa

    foil and packing %alwa &aharashtra#4ilvassa 5adra and 6agar 

    /aveli#%ollur Andhra "radesh#

    7,))) tpa*),))) tpa

    1,))) tpa

     

    foil rolling %ollur 1,))) tpa  

    key products and !rands "ocations $apacities country

    %irla $opper  &Hindalco #ndustries "td.'

    copper cathodes 5ahej 8ujarat# +)),))) tpa ndiacontinuous cast copper rods 9),))) tpa

    sulphuric acid ,1(),)))tpa

    phosphoric acid -),))) tpa

    gold $irla 8old# 97 mt

    silver $irla 4ilver# 9)) mt

    5A" and complexes $irla$alwan#

    1)),))) tpa

    Hindalco #ndustries "td. &(ditya %irla Minerals "imited'

    copper cathodes 6ifty mines 9+,))) tpa Australia

    copper in concentrate 6ifty mines 7),))) tpa Australia

    power 6ifty mines 9- mw Australia

    copper concentrate &t. 8ordon mines 1),))) tpa Australia

    key products and !rands $apacities country

    )rasim #ndustries "td.

    white cement $irla 3hite +7),))) tpa ndia

    ready:mix concrete plants *# +.7 million cubic metres  

    grey cement 6ational brand; !ltraTech

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    *ltraech $ement "td.

    !ltraTech   -.9 million tpandiabulk terminals inndia andanka#

    !ltra

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    key products and !rands $apacities country

    Pulp

    )rasim #ndustries "td.

    rayon grade pulp (),))) tpa ndia

    (- $ell #nc.

    softwood @ hardwood pulp ?,))) tpa ana 9+,+1- spindles

    wool tops 6uvo >ana -,))) tpa

    P #ndo "i!erty extiles

    23

    http://grasim.com/http://www.adityabirla.com/our_companies/international_companies/avcell_canada.htmhttp://www.adityabirla.com/our_companies/international_companies/av_nackawic.htmhttp://grasim.com/http://www.birlacellulose.com/http://www.thairayon.com/http://www.thaiacrylic.com/http://www.adityabirlanuvo.net/http://www.linenclub.org/jayashree-iril/index.htmhttp://grasim.com/http://www.adityabirla.com/our_companies/international_companies/avcell_canada.htmhttp://www.adityabirla.com/our_companies/international_companies/av_nackawic.htmhttp://grasim.com/http://www.birlacellulose.com/http://www.thairayon.com/http://www.thaiacrylic.com/http://www.adityabirlanuvo.net/http://www.linenclub.org/jayashree-iril/index.htm

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    synthetic spun yarn in)) per cent rayon andpolyster, polyster:viscose and open endrayon yarn

    -,+)) mtpa singleyarn#1,+)) mtpa doubleyarn#

    ndonesia

    P 1legant extile #ndustry

    rayon, polyester, rayon:polyester blended spunyarn

    7-,)-- spindles ndonesia

    P 0unrise %umi extiles

    viscose rayon, polyester viscose, spun polyester,polyster combed cotton, anti pill yarn, sewingthread, high twist yarn, reverse twist yarn, flameretardant yarn, rayon cotton blended yarn, microdenier polyester rayon yarn, rayon silk yarn, slubyarn, lycra core spun yarn

    -,7?7 spindles ndonesia

    #ndo Phil )roup of $ompanies

    cotton yarn, poly viscose blended yarn, poly cottonblended yarn, polyester yarn, high bulk acrylic dyedyarn, non:bulk acrylic dyed yarn

    97,1)) tpa "hilippines

    #ndo hai 0ynthetics $o. "td.

    synthetic yarns *9,+)) tpa Thailand

    a!rics

    )rasim #ndustries "td.

    abric 8rasim, 8raviera 1- looms ndia

    (ditya %irla +uvo "td.

    linen fabric >inen

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    key products and !rands $apacities $ountry)rasim #ndustries "td.

    caustic soda 9+-,))) tpa ndia

    (ditya %irla +uvo "td.

    caustic soda -9,9+ tpa ndia

    liBuid chlorine +),*1) tpa

    hydrochloric acid +,1(+ tpa

    anfac #ndustries "td.

    aluminium fluoride +,7)) tpa ndia

    anhydrous hydrogen fluoride +,7)) tpa  

    sulphuric acid 1,1)) tpa

    (ditya %irla $hemicals ndia' "imited

    caustic soda ))C 6a0/# ?9,(+) mt ndia

    liBuid chlorine +7,))) mt

    /ydrochloric acid ))C# 1*,(+) mt  

    sodium hypochlorite

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    $irlox 9,0care

    key products and !rands capacities $ountry1ssel Mining 4 #ndustries "td

    iron and manganese ore + million tons ndia

    key products and !rands capacities $ountry

    Pan $entury 0urfactants #nc.

    fatty acids ++,))) tpa "hilippines

    natural detergents alcohol *),))) tpa

    8lycerine 7,+)) tpa

    key products and !rands capacities $ountry

    (ditya %irla #nsulators

    nsulators *-,-)) mtpa ndia

    key products and !rands capacities $ountry

    (ditya %irla Minacs # 0ervices "td.subsidiary of Aditya $irla 6uvo >td.#

    T solutions banking, finance and insurance# ndia

    key products and !rands capacities $ountry

    (ditya %irla Minacs 5orldwide "imited &su!sidiary of (ditya %irla +uvo "td.'

    $"0 @ T24 ?,(-7 seats ndia

    26

    http://www.esselmining.com/http://www.adityabirla.com/our_companies/international_companies/pan_century_surfactants.htmhttp://www.adityabirlainsulators.com/http://www.psidata.com/http://www.minacs.adityabirla.com/http://www.minacs.adityabirla.com/http://www.esselmining.com/http://www.adityabirla.com/our_companies/international_companies/pan_century_surfactants.htmhttp://www.adityabirlainsulators.com/http://www.psidata.com/http://www.minacs.adityabirla.com/

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    key products and !rands $apacities $ountry

    (ditya %irla inance "td.financial services ndia

    %irla 0un "ife #nsurance $ompany "td.

    insurance solutions ndia

    %irla 0un "ife (sset Management $ompany "td.

    mutual funds ndia

    (ditya %irla Money Mart "imited

    investment planning services ndia

    %irla #nsurance (dvisory and %roking 0ervices "td

    non:life insurance advisory services ndia

    (ditya %irla $apital (dvisors Private "imited

    invesment management and advisoryservices

      ndia

    key products and !rands

    $apacities $ountry

    #dea $ellular

    cellular services dea over 1(. million ndia

    key products and !rands $apacities $ountry

    (ditya %irla /etail "imited

    multi:format stores more.# 7+7 retail outlets ndia

    /ypermarkets more.# 9 ndia

    Major companies of ABG

    27

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    $ompany Products 6 services

    )rasim viscose staple fibre, rayon grade pulp, cement, chemicals,textiles

    77 !ltraTech tdE ordinary portland cement, portland blast furnace slagcement, portlandpozzolana cement and grey portland

    cement

    Hindalco aluminium, copper 

    (ditya %irla +uvo garments, viscose filament yarn, carbon black, textiles,insulators

    77 dea td.EE cellular telecommunications

    77 $irla 4un >ife nsurance td EE life insurance

    77 $irla 4un >ife Asset &anagementtd.EE

    mutual funds

    77  Aditya $irla &oney &art >imited.EE mutual fund distribution

    77  Aditya $irla imited E leading player in broking space

    77  Aditya $irla &inacs T 4ervices >td.E application development, maintenance and enhancementsolutions

    77  Aditya $irla &inacs 3orldwide >imited E customer relations management imited E asset:based finance, corporate finance and investmentbanking, capital market and treasury

    77 $irla nsurance Advisory F $roking4ervices >td

    non:life insurance advisory and broking services

    77 &adura 8arments >ife 4tyle Retail td E

    apparel retail

    77 "eter 2ngland ashions and Retail >td E apparel retail

    77 &adura 8arments 2xports >imited E apparel exports

    (ditya %irla /etail "imited multi:format stores

    anfac #ndustries "td.EE fluorine chemicals

    1ssel Mining 4 #ndustries "td iron and manganese ore mining, noble ferro alloys

    SOCIAL PROJECTS OF ABG

    Our vision

    "To actively contribute to the social and economic development of the

    communities in which we operate. In so doing, build a better, sustainable way2

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    of life for the weaker sections of society and raise the country's human

    development index.".

    — Mrs.RajashreeBirla, Chairperson,

     TheAditya Birla Centre for Community Initiatives and Rural Development

    Before Corporate Social Responsibility found a place in corporate lexion, it was

    already textured into our Group's value systems. As early as the 1940s, our founding

    father Shri G.D Birla espoused the trusteeship concept of

    management. Simply stated, this entails that the wealth

    that one generates and holds is to be held as in a trust for

    our multiple stakeholders. With regard to CSR, this means

    investing part of our profits beyond business, for the larger

    good of society.

     While carrying forward this philosophy, his grandson, Aditya

    Birla weaved in the concept of 'sustainable livelihood', which transcended cheque book

    philanthropy. In his view, it was unwise to keep on giving endlessly. Instead, he felt that

    channelising resources to ensure that people have the wherewithal to make both ends

    meet would be more productive. He would say, "Give a hungry man fish for a day, he will

    eat it and the next day, he would be hungry again. Instead if you taught him how to fish,

    he would be able to feed himself and his family for a lifetime."

     Taking these practices forward, our chairman

    Mr. Kumar Mangalam Birla institutionalised the concept of triple bottom

    line accountability represented by economic success, environmental

    responsibility and social commitment. In a holistic way thus, the interests

    of all the stakeholders have been textured into our Group's fabric.

     The footprint of our social work today straddles over 3,700 villages,

    reaching out to more than 7 million people annually. Our community work

    is a way of telling the people among whom we operate that We Care.

    Our strategy

    “Our projects are carried out under the aegis of the "Aditya Birla Centre for

    Community Initiatives and Rural Development", led by Mrs.Rajashree Birla. The

    Centre provides the strategic direction, and the thrust areas for our work ensuring

    performance management as well

    Our focus is on the all-round development of the communities around our plants

    located mostly in distant rural areas and tribal belts. All our Group companies —-

    Grasim, Hindalco, Aditya Birla Nuvo, Indo Gulf and UltraTech have Rural

    Development Cells which are the implementation bodies.

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    Projects are planned after a participatory need assessment of

    the communities around the plants. Each project has a one-

     year and a three-year rolling plan, with milestones and

    measurable targets. The objective is to phase out our

    presence over a period of time and hand over the reins of further development to the

    people. This also enables us to widen our reach. Along with internal performance

    assessment mechanisms, our projects are audited by reputed external agencies, who

    measure it on qualitative and quantitative parameters, helping us gauge the

    effectiveness and providing excellent inputs.

    Our partners in development are government bodies, district authorities, village

    panchayats and the end beneficiaries -- the villagers. The Government has, in their

    5-year plans, special funds earmarked for human development and we recourse to

    many of these. At the same time, we network and collaborate with like-minded

     bilateral and unilateral agencies to share ideas, draw from each other's experiences,and ensure that efforts are not duplicated. At another level, this provides a platform

    for advocacy. Some of the agencies we have collaborated with are UNFPA, SIFSA,

    CARE India, Habitat for Humanity International, Unicef and the World Bank.

    Our focus areas

    Our rural development activities span five key areas and our single-minded goal here

    is to help build model villages that can stand on their own feet. Our focus areas are

    healthcare, education, sustainable livelihood, infrastructure and espousing social

    causes.

     

    30

    Education

    Balwadis (pre-school)

     Adult education

    Non-formal education

    Continuing education

    Scholarships for girls, merit and technical education

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    31

    Sustainable development and livelihood and

    agriculture and watershed development

    Self-help groups

    SGSY - dairy, readymade garments, jute project,

     basket making, aggarbati making, bee keeping, durriemaking.

    Check dam

    Irrigation

    Land development

    Soil and water conservation

    Pasture development

    Social forestry/ plantation activities/ nursery

    HorticultureFarmer training

    Infrastructure development

    Roads

    Dams

    Community centres

    Houses

    Culverts

    ElectricityHealth centres

     Water channels

    Schools

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    Emergence of a metal major: The beginning of a chronicle

     The Hindalco story dates back to the young Indian democracy of the 1950s. Ready to

    take a giant leap, India was geared to make it big, especially in terms of innovation

    and industrialisation.

    Hindalco embarked on its journey in 1958. Its first real contribution to the vision of

    an industrial India occurred four years later, when the visionary — late Mr. G.D.

    Birla set up India's first integrated aluminium facility atRenukoot, in the eastern

    fringe of Uttar Pradesh, India. It was backed by a captive thermal power plant at

    Renusagar in 1967. Hindalco attained its leadership position in the aluminium

    industry under the dynamic leadership of the late Mr.AdityaVikram Birla — a

    formidable force in the Indian industry.

     And it was through the vision and guidance of Mr. Kumar Mangalam Birla, the

    Group Chairman that the business segments of aluminium and copper are

    consolidated to make Hindalco the non-ferrous metals powerhouse it is today. This

     was achieved in part by expansion through mergers and acquisitions with

    companies such as Indal and Birla Copper. Hindalco also secured copper reserves

    and amplified its operating base by acquiring the Australian Nifty and Mt. Gordon

    copper mines.

    32

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    Over the years, Hindalco has grown into the largest vertically integrated aluminium

    company in the country and among the largest primary producers of aluminium in

     Asia. Its copper smelter is today the world's largest custom smelter at a single

    location.

    In 2007, the landmark acquisition ofNovelis Inc., the world's largest aluminium

    rolling company, placed Hindalco's footprint across the globe, securing it a rankamongst the top five global aluminium majors and also placing it in the Fortune 500

    league.

     At the heart of Hindalco's process and product, behind its growth and success, lies the

    story of the Hindalco team. A multi-lingual, multi-cultural cross section of people bound

     by the same values and pursuing a common mission — to create superior value, realise

    their full potential and steer the company towards a preeminent position amongst global

    metals major .

     An achievement-focused and development-oriented ethos embedded in high standards of

     business ethics and supported by sound management practices is the defining

    characteristic of the Hindalco work culture.

     We are a learning organisation where motivation runs through the talent pool and

    skillsset from the shop floor to the office desk..

    Powered by people

    It’s our people who make the difference in Hindalco. These men of mettle make the

    maximum use of resources, dextrously handle crisis situations, scrutinise every single

    process parameter, mull over every variation to ensure quality and efficiency in products

    and processes. Needless to say, the Hindalco shop floor is where all the action happens.

    .

    33

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     We have a multidisciplinary workforce anchored by spirit of ownership that helps us

    respond proactively to challenges and opportunities.

     An industry leader in aluminium and copper

     An industry leader in aluminium and copper, Hindalco Industries Limited, the

    metals flagship company of the Aditya Birla Group is one of the world's largestaluminium rolling companies and one of the biggest producers of primary

    aluminium in Asia.

    Established in 1958, we commissioned our aluminium facility at Renukoot in

    eastern Uttar Pradesh, India in 1962. Later acquisitions and mergers, with Indal,

    Birla Copper and the Nifty and Mt. Gordon copper mines in Australia, strengthened

    our position in value-added alumina, aluminium and copper products.

     The acquisition of Novelis Inc. in 2007 positioned us among the top five aluminium

    majors worldwide and the largest vertically integrated aluminium company in India. Today we are a metals powerhouse with high-end rolling capabilities and a global

    footprint in 12 countries. Our consolidated turnover of USD 15 billion (Rs. 600,128

    million) places us in the Fortune 500 league.

    Hindalco'sbusinesses — Creating superior value

    Hindalco is one of the leading producers of aluminium and copper. Our aluminium

    units across the globe encompass the entire gamut of operations, from bauxite

    mining, alumina refining and aluminium smelting to downstream rolling, extrusions,

    foils, along with captive power plants and coal mines.

    34

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    Our copper unit, Birla Copper, produces copper cathodes, continuous cast copper

    rods and other by-products, such as gold, silver and DAP fertilisers. Our copper

    smelter holds the unique distinction of being among the world's largest single-

    location custom smelters. .

    Our units are ISO 9001:2000, ISO 14001:2004 and OHSAS 18001 certified. We have

     been accorded the Star Trading House status in India. Hindalco's aluminium metal

    is accepted for delivery under the High Grade Aluminium Contract on the London

    Metal Exchange (LME). Our copper quality standards are also internationally

    recognised and registered on the LME with Grade A accreditation.

     Aluminium

    Hindalco's major products include standard and speciality grade aluminas and

    hydrates, aluminium ingots, billets, wire rods, flat rolled products, extrusions and foil.

     The integrated facility at Renukoot houses an alumina refinery and an aluminium

    smelter, along with facilities for the production of semi-fabricated products; namely,

    redraw rods, flat rolled products and extrusions. The plant is backed by a co-generationpower unit and a captive power plant at Renusagar to ensure the continuous supply of

    power for smelter and other operations.

     A strong presence across the value chain and synergies between operations has

    given us a dominant share in the value-added products market. As a step towards

    expanding the market for value-added products and services, we have launched

     various brands in recent years — Ever last roofing sheets, Freshwrapp kitchen foil

    and Freshpakk semi-rigid containers.

    Copper

    Birla Copper, Hindalco’s copper unit, is located at Dahej in

    Gujarat, India. The unit has the unique distinction of being one of

    the largest single-location copper smelters in the world. The

    smelter uses state-of-the-art technology and has a capacity of

    500,000 tpa. .

    Birla Copper also produces precious metals, fertilisers and sulphuric and phosphoric

    acid. The unit has captive power plants for continuous power generation and a captive

     jetty to facilitate logistics and transportation.

    35

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    Birla Copper upholds its longstanding reputation for quality copper cathodes and

    continuous cast copper rods by assuring its management processes meet the highest

    standards. It has acquired certifications such as ISO-9001:2000 (Quality Management

    Systems), ISO-14001:2004 (Environmental Management System) and OHSAS-

    18001:2007 (Occupational Health and Safety Management Systems.).

    MinesHindalco acquired two Australian copper mines, Nifty and Mt. Gordon, in 2003. The

    Birla Nifty copper mine consists of an open-pit mine, heap leach pads and a solvent

    extraction and electro winning (SXEW) processing plant, which produces copper

    cathode.

     The Mt. Gordon copper operation consists of an underground mine and a copper

    concentrate plant. Until recently, the operation produced copper cathode through

    the ferric leach process.

    In 2004, a copper concentrator was commissioned to provide concentrate for use

    atHindalco's operations in Dahej. During FY2008, Mt. Gordon produced 23,886

    tonnes of copper in cathode/concentrate. .

    Both Nifty and Mt. Gordon have a long-term life of mine off-take agreement with

    Hindalco for supply of copper concentrate to the copper smelter at Dahej.

    36

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    37

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    HINDALCO'S PRODUCTION

    3

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    Map of Aluminium Plants in India of Hindalco

    3!

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    40

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    Renukoot

    Renukoot plant was commissioned in 1962, with one potline and a smelter of 20,000 tpa

    capacity. Over the years the plant has increased its capacity through various brownfield

    expansions and asset sweating measures.

     Today Hindalco, at Renukoot, operates across the aluminium value chain from bauxitemining, alumina refining, aluminium smelting to downstream rolling and extrusions.

     The integrated facility houses a 700,000 tpa alumina refinery and a 390,000 tpa

    aluminium smelter along with facilities for production of semi-fabricated products

    namely conductors redraw rods, sheet and extrusions.

    In 1967 Hindalco established a captive power plant at Renusagar, the first captive power

    plant (CPP) for aluminium industry in India. This along with a co-generation power unit

    ensures continuous supply of power for the smelter and other operations.

    Renukoot has earned the Integrated Management System (IMS) certification

    combining quality, environment and occupational health and safety into one

     business excellence model.

     The sprawling 1056 acre Renukoot complex located near the Rihand Dam, 160 kms

    from the city of Varanasi, includes beautifully landscaped gardens with residential

    colony cum mini township for management and staff members, a full-fledged

    hospital for employees and the community around along with schools, clubhouses, banks sports, cultural facilities, supermarkets and the RenukeshwarMeade Temple.

     As a responsible corporate citizen HindalcoRenukoot’s Community Development Cell

    plays a leading and exemplary role in social projects on health care, women’s

    empowerment, education, and sustainable livelihood schemes and espouses social

    causes such as widow re-marriage and dowry-less marriages.

    41

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    HindalcoRenukoot's CSR cell has taken up various innovative rural development

    projects in 385 neighbouring villages around its operating sites in the states of Uttar

    Pradesh, Jharkhand and Chhattisgarh. These social projects are carried out under

    the aegis of Aditya Birla Center for Community Initiatives and Rural Development

    spearheaded by Mrs.Rajashree Birla.

     A dedicated and highly enthused team of around 1285 managers at Renukoot and

    Renusagar are engaged in challenging and enriching jobs. The unit has been a

    recipient of several national and international awards in quality, environment

    management, energy conservation, CSR, among others.

    Hindalco Industries Ltd

    Type Private

    Industry Metals

    Founded 1962

    Headquarters Mumbai, India

    Key people Kumar Mangalam Birla(Chairman)

    Products Aluminium and Coer 

    Revenue !"#$1%&' billion

    Total assets "#$1'&1 billion

    Employees 1,6*

    42

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    Parent Adit+a Birla rou

    Website -indal.o&.om

    Financial information

     The company has annual sales of$ 5 billion and employs 13,675 people and is listed

    onForbes 2000. A metals powerhouse with a turnover of US$ 14 billion, Hindalco is

    the world's largest aluminium rolling company and one of the biggest producers ofprimary aluminium in Asia.

    Novelis takeover

    On February 11, 2007, the company entered into an agreement to acquire theCanadian companyNovelis for U$6 billion, making the combined entity the world's

    largest rolled-aluminium producer. On May 15, 2007, the acquisition was completed

     with Novelis shareholders receiving $44.93 per outstanding share of common stock.

    Hindalco, through its wholly-owned subsidiary AV Metals Inc., acquired 75,415,536

    common shares of Novelis, representing 100 percent of the issued and outstanding

    common shares. Immediately after closing, AV Metals Inc. transferred the common

    shares of Novelis to its wholly-owned subsidiary AV Aluminium Inc.

    Other acquisitions and takeovers

    In July 2007, Hindalco announced it is acquiring the stake of Alcan Inc.'s in the

    Utkal Alumina Project located in Orissa.

    43

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    In June 2000, acquisition of controlling stake in Indian Aluminium Company

    Limited (Indal) with 74.6 per cent equity holding.

    Forbes ranking

    Hindalco is listed on theForbes Global 2000 at the position1821.

     ALUMINIUM BUSINESS

    Hindalco is Asia's largest integrated primary producer of aluminium and among the

    most cost-efficient producers globally. Our aluminium units across India encompass

    the entire gamut of operations, from bauxite mining, alumina refining, aluminium

    smelting to downstream rolling, extrusions and recycling.

    In India, we enjoy a leadership position in aluminium and downstream products. Our

    product range includes rolled products, extrusions, foils, primary aluminium ingots,

     billets, wire rods and aluminium slabs.

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    Hindalco metal is accepted under the high-grade aluminium contract on the London

    Metal Exchange (LME) as a registered brand. We have also been accorded the Star

     Trading House status in India.

    Hindalco’s integrated complex at Renukoot, in Uttar Pradesh, India, houses an

    alumina refinery, an aluminium smelter and facilities for the production of semi-

    fabricated products. Power is sourced from our Renusagar power plant, located

    about 45km from mubai.

     The captive power plant located at Renusagar, Uttar Pradesh, with 10 power-

    generating units, has a current generation capacity of 854 MW. Excellent operational

    standards have ensured a consistent plant load factor of over 90 per cent.

     The integrated complex at Renukoot also houses a co-generation plant with a

    capacity of 37.5 MW. A new co-generation plant with a capacity of 41 MW has just

     been commissioned to meet the requirements of the enhanced post-expansion

    capacities.

     As a step towards building the market for value-added products and services, we

    have launched several brands in recent years, namely, Freshwrapp aluminium foil,

    Ever last aluminium roofing sheets, Permashield aluminium waterproofing

    membrane sheeting, and Al Planet, an exhibition showcasing aluminium products

    for the construction industry.

     All our units are ISO 9001, 14001 and OHSAS 18001 certified. Furthermore, many

    of our units have adopted the Integrated Management System (IMS) certification,reflecting a combined business excellence model.

    45

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    Furniture

    A

    Overvie

    46

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    Furniture

    Furniture (probably from the French 'fournir' — to provide)

    is themass noun for the movable objects ('mobile' in Latin

    languages) intended to support various human activities

    such asseating and sleeping in beds, to hold objects at a

    convenient height for work using horizontal surfaces

    above the ground, or to store things. Storage furniture

    such as anightstand often makes use of doors, drawers,

    shelves and locks to contain organize or secure smaller

    objects such as clothes, tools, books, and household goods.

    Furniture can be a product of design and is considered a form ofdecorative art. In

    addition to furniture's functional role, it can serve a symbolic or religious purpose.

    Domestic furniture works to create, in conjunction withfurnishings such asclocks

    andlighting, comfortable and convenient interior spaces. Furniture can be made

    from many materials, including metal, plastic, and wood. Furniture can be made

    using a variety of woodworking joints which often reflect the local culture.

    History

    Furniture in fashion has been a part of the human experience since the developmentof non-nomadic cultures. Evidence of furniture survives from theNeolithic Period

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    and later inantiquity in the form ofpaintings, such as the wallMurals discovered at

    Pompeii;sculpture, and examples have been excavated inEgypt and found in tombs

    inGhiordes, in modern day Turkey.

    Neolithic Period

    Skara Brae houseOrkneyScotland evidence of home furnishings i.e. a dresser

    containing shelves.

     The Classical World

    Early furniture has been excavated from the 8th-century B.C.Phrygiantumulus, the

    Midas Mound, in Gordion, Turkey. Pieces found here includetables and inlaid

    serving stands. There are also surviving works from the 9th-8th-century B.C

    Early Modern Europe

    Florentinecassone from the 15th century

     The furniture of themiddle Ages was usually heavy,oak, and ornamented with

    carved designs. Along with the other arts, the ItalianRenaissance of the fourteenth

    and fifteenth century marked a rebirth in design, often inspired by theGreco-Romantradition.

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    19th Century

     The nineteenth century is usually defined by concurrentrevival styles, including

    Gothic, Neoclassicism, Rococo, and theEast Haven Movement. The designreforms of

    the late century introduced the Aesthetic movement and the Arts and Crafts

    movement. Art Nouveau was influenced by both of these movements.

    Modernism

    Red and Blue Chair (1917), designed byGerritRietveld

     The first three-quarters of the twentieth century are often seen as the march towards

    Modernism. Art Deco,De Stijl,Bauhaus, Wiener Werkstätte, and Vienna Secessiondesigners all worked to some degree within the Modernist idiom. Born from the

    Bauhaus and Art Deco/Streamline styles came the post WWII "Mid-Century Modern"

    style using materials developed during the war including lamenated plywood,

    plastics and fibreglass

     Asian history

    Sendai-dansu for kimono, zelkova wood, note the elaborate ironwork, handles on

    side for transportation, and lockable compartment

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     Asian furniture has a quite distinct history. The traditions out ofIndia,China,

    Pakistan, Indonesia (Bali and Java) and Japan are some of the best known, but

    places such asKorea,Mongolia, and the countries ofSouth East Asia have unique

    facets of their own.

     Types of furniture

    Storage

    • Armoire (Wardrobe)

    • Bookcase

    • Cabinet

    • Chest

    • Credenza

    • Cupboard

    • Curio

    • Dresser

    • Nightstand

    • Sideboard

    Seating

    • Bean bag

    • Bench (furniture)

    • Chair

    • Chaise longue

    • Couch

    • Fauteuil

    • Footstool

    • Love seat

    • Ottoman

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    • Recliner

    • Settee

    • Sofa (couch)

    • Stool (type of chair)

    • Tuffet

    • Watchman's chair

    Surfaces

    • Coffee table

    • Desk

    • End table

    • Folding table

    • Gateleg table

    • Table

    Sets

    • Bedroom set (group)

    • Dinette (group)

    • Dining set (group)

    • Vanity set

    Sleeping or lying

    • Bed

    • Headboard

    Entertainment

    • Gramophone

    • Hi fi

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    • Piano

    • Radiogram (furniture)

    • Television set

    • Wireless set

    Other

    Definition 1: Objects usually kept in a house or other building to make it suitable or

    comfortable for living or working in.

    • Built-in furniture

    • Folding screen

    • Garden furniture

    • Headboard (furniture)

    • Lamps are covered underfurnishings orlighting.

    • Radiogram (furniture)

    • Coat Hanger / Stand (furniture)

     World furniture industry

    Furniture industry has changed over the years. It no longer restricts itself to a

    production of a chair or a table or a bed but today it includes manufacturing of a

    range of furniture and home furnishings and designed interiors which spell class

    and elegance. There is a boom time for furniture industry. Every country sports a

    string of furniture showrooms of all kinds and sizes. Changing lifestyle, disposable

    incomes, economy growth, increasing migration to urban areas have all contributed

    to the demand for furniture and in turn the growth of the furniture industry as whole.

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    Furniture industry comprises not only the production of a wide range of products

    related to office, living room, bedroom, kitchen , garden, school furniture but also

    mattresses, furnishings, upholstery, parts of furniture etc. A wide variety of raw

    materials are used in production of furniture like wood, rattan, plastic and metal

    and more recently silver. Including various varieties of wood, wooden furniture is the

    major production and exports of the furniture industry in almost every country.

    Characteristics of the furniture industry

    •  Furniture manufacturing worldwide forms a regionally centralized competition

    pattern under the clustering effect.

    •  The furniture industry is both an organized and a non-organized sector.

    •  Utilization of skilled and unskilled workers.

    •  Utilization of handcrafted tools, machines and CAD/CAM for manufacturing and

    designing.

    •  Source of employment for rural workers.

    •  Employment is spread across many sectors showing the diverse nature of the

    industry and a broad product range.

    •  Consumer expectations and purchasing behaviours have marked regional

     variations.

    Industry Trends

     As the world economy is developing fast in the past 10 years, the furniture markets

    have opened up more and the world furniture industry has been growing fast.

     Traditional furniture making countries continue to firmly take up over 70% of the

    global market. This is possible because of their their long established productioncapacity, advancement in science and technology, solid funds and rich management

    experiences.

    Meanwhile, developing countries and regions like China, Southeast Asia, Poland and

    Mexico, with China taking the lead, have built upon their respective competitive

    advantages and gradually have covered almost 30% of the world market. The

    furniture industry in such countries is developing strongly and showing great

    potentials.

     The European Union furniture industry accounts for about half of the world's

    furniture production. The production value of this industry in this region is around

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    € 82 billion. Considered to be a labour-intensive industry it provides employment for

    around 1 million people. Among the European countries, Germany takes the lead as

    the largest furniture producing country, accounting for about 27% of total EU

    production. This is followed by Italy (21.6%), France (13.5%) and the UK (10.4%).

     The Canadian Furniture Industry is the 5th largest exporter of furniture in the

     world.

     The major furniture producing countries in South East Asia are Philippines,

    Indonesia, Malaysia, Singapore, Thailand, Korea, Taiwan and India. In the context of

    global furniture trade, Asia shows healthy signs of growth with respect to its other

    international competitors. Asian furniture has always been popular in developed

    countries like USA, Europe and Australia.

    Over 20 years of fast growth, China has been able to bring unlimited business

    opportunities and vitality to the global furniture industry. Now, China has today

    emerged as a furniture production centre, a circulation centre as well as anexhibition centre in the world. The rise of China's furniture industry has brought

    about a new round of restructuring of the global furniture industry and trade

    pattern. According to a recent estimate, the Indian furniture industry is estimated at

    around Rs 350 billion. Eighty-five per cent of this falls into the unorganized sector.

     According to a study by the World Bank, the organized furniture industry is expected

    to grow by 20 per cent a year and India, Brazil and Russia will witness a boom.

    Dollar millionaires fuel luxury furniture market

    Designer furniture on display at a store in Bangalore in this file picture.

     There are over one lakh dollar millionaires in the country and more than 60,000 of

    them furnish their homes with uber luxury items. From a Hickory chair that cost

    about Rs 50,000 to Glant furnishings (priced at about Rs 3,000 a meter) to floral

    arrangements from Natural Decorations Inc that carry price tags of Rs 4,000 to 25-

    inch mattresses that would make the wallet lighter by Rs 50,000, the lifestyle of the

    rich and famous in India is now on par with millionaires in the US or Europe.

    “Clients with a Rs 3-crore house would easily spend about Rs 75 lakh on premium

    furniture”, says Ms AnjalekaKripalani,

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     The Indian furniture industry

    Indian Furniture market is estimated to be more than Rs. 60,000 cr. The industry is

    dominated by the unorganized sector, which constitutes 90% of the market. The

    organized furniture market is at 10% and growing at about 35% CAGR

    •  The share of the wooden furniture market is around Rs 60 crore (Rs 600 million).

    •  The world home furniture market is worth Rs 20,000 crore (Rs 200 billion). During

    the past three years, it grew by 35% per cent a year.

    •  According to a World Bank study, the organized furniture industry is expected togrow by 20 per cent a year and India, Russia and Brazil will witness a boom.

    •  The range of indigenous furniture available in India includes both residential and

    contract system furniture, with an increased concentration in office and kitchen

    furniture.

    •  Manufacturers in India generally use a three-tier selling and distribution

    structure, comprising the distributor, wholesaler and retailer.

    •  The current imports are mainly from Italy Germany, Spain, China, Korea,

    Malaysia, Indonesia, the Philippines and Japan.

    •  The furniture market in India is mainly concentrated in A, B and C cities (the top

    589 cities).

    •  It has been estimated that the top 784 urban centres contribute 41 per cent to the

    total consumer furniture market. A and B type cities together contribute 33 per

    cent of the total market.

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    10"

    !0"

    uriture Sa#es i Idia ar!et

    o#$ani%ed %ecto# &no#$ani%ed %ecto#

    Furniture segment comprises 65% of the home market & 35% of Institutions. The

    entire Home decor category spends, furniture accounts about 68% of the share while

    remaining 32% comprises of furnishings and home improvement. Imported furniture

    constitutes to 85% of the total organized furniture industry in the country.

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    India imports furniture from Italy, Germany, Spain, China, Korea, Malaysia,

    Indonesia and Philippines

    Key driving forces in the demand for furniture:

     The following factors guide the demand for furniture:-

    •  Elasticity in terms of the disposable income of the householdGenerally theestimated elasticity changes from country to country. But the average elasticity

    has been found to be 1.5 that effectively means, if the income increases by 1, the

    demand for furniture is going to rise by 1.5 and vice versa.

    •  Economic scenario - This translates into consumers' confidence in the economy

    of the nation, growth of the Gross National product, the purchasing power and

    also factors like level of unemployment.

    •  Infrastructural considerations - Like level of investments in housing etc.

    •  The evolution of the borrowing terms - If the interest rate is hiked the

    consequences are higher costs for borrowing for purchasing furniture and

    housing, and vice versa if the interest rate falls

    •  Demographic variables - Such as the evolution of marriages, household

    formations, births taking place and the composition of age class.

    Distribution of wealth - It is quite evident that demand for furniture would be s

    higher in countries where wealth is more evenly distributed than in countries where

     wealth has a tendency to be concentrated.

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     Why aluminium?????

    Properties of aluminium

     After iron, aluminium is now the second most widely used metal in the world. This is

     because aluminium has a unique combination of attractive properties.Low weight,

    high strength, superior malleability, easy machining, excellent corrosion

    resistance and good thermal and electrical conductivity are amongst

    aluminium’s most important properties. Aluminium is also very easy to recycle.

     Weight

     Aluminium is light with a density one third that of steel, 2.700 kg/m3.

    Strength

     Aluminium alloys commonly has tensile strengths of between 70 and 700 mpa. The

    range for alloys used in extrusion is 150 – 300 mpa. Unlike most steel grades,

    aluminium does not become brittle at low temperatures. Instead, its strength

    increases. At high temperatures, aluminium’s strength decreases. At temperatures

    continuously above 100°C, strength is affected to the extent that the weakeningmust be taken into account. .

    Linear expansion

    Compared with other metals, aluminium has a relatively large coefficient of linear

    expansion. This has to be taken into account in some designs.

    Machining

     Aluminium is easily worked using most machining methods – milling, drilling,

    cutting, punching, bending, etc. Furthermore, the energy input during machining is

    low.

    Formability

     Aluminium’s superior malleability is essential for extrusion. With the metal either

    hot or cold, this property is also exploited in the rolling of strips and foils, as well as

    in bending and other forming operations. .

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    Conductivity

     Aluminium is an excellent conductor of heat and electricity. An aluminium

    conductor weighs approximately half as much as a copper conductor having the

    same conductivity. .

     Joining

    Features facilitating easy jointing are often incorporated into profile design. Fusion

     welding, Friction Stir Welding, bonding and taping are also used for joining.

    Reflectivity

     Aluminium is a good reflector of both visible light and radiated heat.

    Screening

      EMC

     Tight aluminium boxes can effectively exclude or screen off electromagnetic

    radiation. The better the conductivity of a material, the better the shielding qualities.

    Corrosion resistance

     Aluminium reacts with the oxygen in the air to form an extremely thin layer of oxide.

     Though it is only some hundredths of a (my) m thick (1 (my) m is one thousandth of

    a millimetre), this layer is dense and provides excellent corrosion protection. The

    layer is self-repairing if damaged. .

     Anodizing increases the thickness of the oxide layer and thus improves the strength

    of the natural corrosion protection. Where aluminium is used outdoors, thicknesses

    of between 15 and 25 ¥ìm (depending on wear and risk of corrosion) are common.

     Aluminium is extremely durable in neutral and slightly acid environments.

    In environments characterized by high acidity or high basicity, corrosion is rapid.

    .

    Non-magnetic material

     Aluminium is a non-magnetic (actually paramagnetic) material. To avoid interference

    of magnetic fields aluminium is often used in magnet X-ray devices.

    Zero toxicity

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    after oxygen and silicon, aluminium is the most common element in the Earth's

    crust. Aluminium compounds also occur naturally in our food.

     Weight and strength - aluminium is approximately one third as dense as steel.

     Aluminium alloys have tensile strengths of between 70 and 700MPa.

     Aluminium is easy to work using most machining methods.

     These heat sinks exploit aluminium’s high thermal conductivity.

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     Aluminium combines low density and high strength. These properties are

    demonstrated in the decking of a bridge.

     Aluminium has excellent resistance in neutral and slightly acid environments.

    MARKETING MIX IN ALUMINIUM FURNITURES

    Marketing mix of new product is hard for new product especially for any industrial

    product like Aluminium. In Marketing mix of Aluminium several parts are included

    as shown in the figure below-

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    M a # 'e t in $ ( i)

    o * A +& ( in i& (*n i te

    . r

    o d

    uc t

    ,# i

    ce

    , +a ce

    Product Mix:-

    House hold furniture  Table, Chairs, Sofa sets, dining tables,kitchen furniture’s ,swinging chairs

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    etc-

    Office furniture Rest chairs, Official table, Computer

    table, windows and doors etc-

    Furniture for Hotels Couples dinner tables, stylish chairs

    and tables, premium sofa sets for good

    suits etc-

    For hospitals Stretchers’, wheel chairs, wheel beds,

    O.T beds, medicine stands etc-

    Others In this furniture for lawns, park etc- is

    made.

    2. SERVICE MIX: -It includes

    a)PRODUCT: - CORE LEVEL Product basically is the final product which is in need.

     TANGIBLE LEVELis one in which final appearance of the product is given.

     AUGMENTED where is the main service which is very important to give in

    aluminium furniture’s to make its market same strategy is followed by the

    Europeans to promote the use of aluminium in Europe where aluminium

    consumption is one of the highest in top 10 consumer now a days.

     b) SERVICE LIFE CYCLE: -This includes in understanding & developing appropriatemarket based strategy.

    Service can quickly be created when compared to the physical product. This

    is due to the fact that industrial buyers prefer running their businesses with the

    existing services mix rather than shift.

    c) PRICING: - Different price are charged for different services in accordance to the

    product. If service is of good quality then the service is charged as the high price.

    Service also today makes an important part for the new shift to give rise to

    industries to promote their product with the help of services.

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    d)PROMOTION: - This is very important part for the Aluminium furniture’s

    especially in the India where the population size is mainly in the middle class which

    is in the ignorance about new product due to their strong affection toward their work

    and busy in their schedule work. So to target them as customers in large amount

    they have to fully about the new product through media.

    e)PLACE: - In service place relates to the ease with which the service is accessed.

    Due to the inseparability of services, they are produced and consumed at the

    same place. In banking with the development of transactions via the internet, place

    has lost value with respect to delivery of transactions.

      Place as a contemporary aspect of the MARKETING MIX has cost relevance in

    these kinds of services.

    f)PHYSICAL EVIDENCE: -Service customers a greater perceived risk as they cannot

    rate a particular service until it is consumed. Therefore service provider should tryto attach an element of tangibility to their service offerings. Brochures, reports,

    certificate, etc.

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    n a +

    % i %n d

    I n t e #

    # e t ai o n

    n a +

    % i %n d

    I n t e #

    # e t ai o n

    &

    t

    (

    #

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    #

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    ON CUSTOMER’S

    1. Do you have aluminium furniture?

    a)Yes b) No

     /e% No

    0

    10

    20

    30

    40

    50

    60

    70

    0

    !0

    100

    24

    76

    Do you have a#u1iiu1 $uriture 2

    Do -o& ae a+&(ini&(

    *nite

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    Interpretation: -

    From the sample of 100 maximum respondents do not have aluminium

    furniture however only about 25 % have aluminium furniture

    2. What type of furniture you keep at you keep at your house?

    a)Metal b) wooden

    c) Plastic / Fibre

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    eta+ ooden .+a%tic#e

    0

    10

    20

    30

    40

    50

    60

    70