Heritage Foods Limited

INTRODUCTION

Marketing in simple terms can be said to be “A human activity directed at

satisfied needs and wants through an exchange process.” Marketing as a functional
area of management is becoming extremely important as compared to other fields. All
decisions in modern business organization revolve around information related with
marketing decision making situations, which are characterized by Distribution Strategy,
Channel members and Product decisions. The Product Decisions, customers assess a
product’s value by looking at many factors including those that surround the product.
Market:
The set of all actual and potential buyers of a product or service.
Marketing:
A social and managerial process whereby individuals and groups obtain what they need
and want through creating and exchanging products and value with others.
MARKETING

“Marketing is a societal process by which individuals and groups obtain what

they need and want through creating, offering, promoting and freely exchanging the
product and service of value with other”.
-----PHILIP KOTLER

To create exchange that satisfies individuals and organizational objectives. It is

total system of activities designed to plan, fix price, promote and distribute want
satisfying goods and services to market.

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INDUSTRY PROFILE
GENERAL INTRODUCTION
The progress of mankind and civilization has, since began, been closely alike with
his diet. Even today the leading nation and nations capable of becoming strong are those,
which can obtain food in abundance for their people.
It has been said that cow is a machine that converts raw materials (plants) into
food in a surprisingly efficient manner. The method by which cattle are managed in
order o produce milk can be accomplished in many ways. In order to be most successful,
dairymen or those contemplating entering the business should carefully survey to
produce under local conditions.
Milk may be defined as the whole, fresh, clean, lacteal secretion obtained by the
complete milking of one or more healthy milk animals. It is an almost ideal good.
Although milk is commonly thought of as a beverage, it is nature’s most nearly perfect
food and contains more actual solids than many so called slid goods, especially
vegetable. Milk is the only food, which is designed by nature solely as good. It serves as
the foundation of an adequate diet. It supplies bodybuilding protein, bone forming
minerals and health giving vitamins and furnishers’ energy giving lactose and milk fat.
All these properties make milk important for pregnant mothers, growing children,
adolescents, adults, invalids, convalescents and patients alike. An adequate consumption
of milk can correct dieting deficiencies for most people to have strong and healthy
bodies. It is a delicious and appetizing good for all ages as well as being healthful.
CONSTITUTENTS OF MILK PERCENTAGE
Water 87.0
Butterfat 4.0
Casein 2.0
Albumin 0.5
Lactose(Milk sugar) 5.0
Minerals 0.7
Milk constituents are divided into groups, water and solids. The constituents
other than water are called the total solids (TS). The total solids mines the butterfat is
termed as the solids-not fat (SNF). All the constituents expect the butterfat are known as
the milk serum. The casein and albumin make up most of the protein of the milk actually
about 0.5% globulin also is present.

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The major constituents of milk are water, butterfat, protein, lactose and minerals.
The minor constituents are vitamins, pigments such as carotenes, fat soluble pigment
xanthophylls and water soluble pigment Lactoflavin, Cholesterol, Phospholipids
(lecithin), sterols, enzymes such as lipase, Galactase, diastase etc., gases such as
carbondioxide, oxygen and nitrogen and nitrogenous substances such as uric acid, urea
nitrogen and truces of amino acids. The true constituents are milk fat, casein and lactose.

Milk is absolutely essential for the welfare of human race. The cow has been
rightly called “the foster mother of the human race” and she is found in most of the
civilized countries of the world.

MARKET MILK INDUSTRY IN INDIA AND ABROAD

Although a beginning in organized milk handling was made in India with the
establishment of military dairy farms (oldest Allahabad, 1889), the salient features of the
market industry had been:
1. Handling of milk in Co-operative Milk Unions established all over the country on
a small scale in the early stages.
2. Long distance refrigerated rail-transport or milk from Anand to Bombay since
1945.
3. Pasteurization and bottling of milk on a large scale for organized distribution was
started a Aarey (1950), Worly(1961), Calcutta (Haringhta, 1959), Delhi(1959),
Madras(1963)etc.,
4. Establishment of Milk plants under the five-year pans for Dairy Development all
over India. These were taken up with the dual object of increasing the national
level of milk consumption and ensuring better returns to the primary milk
producer. Their main aim was to produce more, better and cheaper milk.

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GROWTH AND DEVELOPMENT OF THE INDUSTRY

Until the year 1940, there was very little published information of the method of
preparation and use of these products. The credit for the first publication on the subject
goes to Dr. W.B. Davies, the first director of Dairy Research, India Dairy Research
Institute (now National), Bangalore. Within the span of three or four decades sine his
book appeared, considerable research has been conducted at the National Dairy Research

In India, there was no progress in the Diary Industry before independence.

Government of India realized the necessity of increasing Milk production and by
products there by availing substantial job opportunities to the urban and rural
Community. The government of India has focused much more attention on Dairy
Development Programmed by allocating more funds on the 4 th and 5th Five year plans.
The Government of India during 1970 has launched massive programmed via. Flood
Operation Flood II and I with the help of European Nations and world Production
Programme costing Rs.500 Crores.

The Government of India has undertaken various schemes through organizations

and institutions viz., India Dairy Corporation, India Dairy Development Board animal
husbandry department of all Sates, Private Sectors, Organizations of milk Producers, Co-
operative and Dairy Plants, National Dairy Research Institute. These programs enable
for immediate development in Dairy Activities, Dairy development in our Country with
the helps of and effective marketing system.

A market is one of Principal way of increasing milk production and milk

productivity of Dairy Industry. In addition to the above, marketing helps to the
enhancement of profitability of the enterprise.

OPERATION FLOOD PROGRAMME IN INDIA

In order to build a viable and sustaining National Dairy Industry and Co-
operative lines the NDDB launched a project christened operation Flood mobilized from
the sale of products based on foreign food donations in the form of Skim Milk Powder

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and Butter Oil. Operation flood, the lagers development Programme undertaken in the
worked, was initiated closely on the heels of green Revolution in the Country. Against
the back drop of huge surplus of Milk Production in the highly developed Milk
producting Countries in the West and dwindling per capital. Milk availability at home
with its pledge to provide milk to one and all it was considered the World’s larges Dairy
Development Programme. It spurred the Indian Dairy Industry to launch a “White
Revolution”.

The establishment of Milk Producers off co-operative societies to link dairy

Development worth Milk Marketing formed the Central Plant of the Project, which gave
into a vigorous Milk co-operative movement under the basis of NDDK. This was a
unique development effort, which was initiated at the grassroots level the villager and
went up to the “Dairy Federation” of a state with its operational effectiveness ascending
at every step.

According to the Agreement signed by World Food Programme (WFP) and

Government of India, the WFP will arrange to supply 1,26,000 metric tones of butter oil
which the corporation will handle on behalf of the Government. The Projector aims at
the improvement of Milk Marketing in the Organized Sector especially in the Four
Major Cities extended over ten States i.e., Punjab, Haryana, Rajasthan, Utter Pradesh,
Bihar, West Bengal, Tamilnadu, Andhra Pradesh, Maharashtra and Gujarat.

NATIONAL DAIRY DEVELOPMENT BOARD (NDDB):

At the time of inauguration of cattle feed factory at Kanjari in October 1964.

The late Shri Lal Bahadur Shastri, the Prime Minister of India paid an unscheduled visit
to milk production Co-operative society and stayed there overnight. He was impressed
by the Socio-economic changes brought by milk co-operatives in Kaira District, and
desired to have a national Dairy Development Board is the Chief Executive of the
organization who is supported by Professional to carry out Board’s activities.

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ANAND PATTERN DAIRY DEVELOPMENT

The formation of Anand Pattern of milk co-operatives was landed with the
organization of the Kaira District Co-operatives Milk Production. Milk Producers
themselves control procurement processing and marketing.

KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS UNION LIMITED

(AMUL)

Amul symbolizes the successful struggle if Kaira District Farmers to earn a fair
price for their products. It reached its climax in 1945. The Milk was then collected by a
Private Trader Mr. Pestonji Edurji person through contractors for Bombay Milk Scheme.
Every Milk producer can become a member of co0operative Society. As a general
meeting of members, representatives are selected to form a managing committee, which
Manager the day affaires to milk collection and its testing concept, sold cattle feed. Each
society also provides Artificial Insemination (AI) services and veterinary first aid.

DAIRY INDUSTRY IN ANDHRA PRADESH

The main occupation in Andhra Pradesh is cultivation. The villages reflect the
socio-economic development, moral and cultural values of human race Dairy stands as
the back bone of Agriculture and at the same time it maintains important role for
stability of rural economic conditions and helps to maintain nation’s health by supplying
sweet milk. It provides not only health but also income to milk producers.

Self Sufficiency:
In Andhra Pradesh the pilot milk scheme brought revolutionary change in Dairy
Development and the economic development. The programme of “Operation Flood”
created milk revolution and laid new hopes for eradication of poverty and
unemployment. Now, the Dairy Industry is equipped with Modern Technical know how
and is on a position to face any challenge of future milk demands under co-operative
sector several steps are taken to provide milk collecting centers in every nook and corner
of the state of increase the production capacity of the milk yielding animals the help of

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programme of modern technical methods for achieving self-sufficiency in milk

production.
Dairy Development:
In 1960 a pilot milk supply scheme was started in our started in our state for the
Dairy Development. It initial milk collection capacity was 100 liters a day at the time of
starting. Now, its dairy milk collecting increased 10 lakh liters per day. It is acting as a
liaison between milk producers of villages and consumers of the milk providing
reasonable price to the producers to maintain stable market.

Packaging Technology:
Milk was initially sold door-to-door by the local milk man. When the dairy co-
operatives initially started marketing branded milk, it was sold in glass bottles sealed
with foil. Over the years, several developments in packaging media have taken place. In
the early 80’s plastic pouches replaced the bottles. Plastic pouches made transportation
and storage very convenient, besides reducing costs. Milk packed in plastic
pouches/bottles have a shelf life of just 1-2 days, that too only if refrigerated. In 1996,
Tetra packs were introduced in India. Tetra packs are aseptic laminate packs made of
aluminum, paper, board and plastic. Milk stored in tetra packs and treated under Ultra
High temperature (UHT) technique can be stored for four months without refrigeration.
Most of the dairy co-operatives in Andhra Pradesh, Tamil Nadu, Punjab and Rajasthan
sell milk in tetra packs. However tetra packed milk is costlier by Rs.5-7 compared to
plastic pouches,. In 1999-00 Nestle launched its UHT milk market is expected to grow at
range of more than 10-12% in coming years.

CHANGING PATTERN OF THE INDUSTRY

The demand for milk and milk products in the country is on the rise. The increase
in purchasing power and pace of urbanization is leading to a change in the lifestyle and
consumption habits of the households. The current trends indicate that 44% of the total
population will definitely lead to an increase in consumption of dairy products.

The domestic market for butter and ghee is growing at a healthy rate of over 10%
per annum but the same may not be true in case of an international market. The

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production and export of butter has witnessed a major decline in some of the developed
countries. The situation is now alarming to the industries which are having international
market for this product. These companies definitely have to think about other potential
products that are gaining steady growth all over the world.

STRATEGIES TO BOOST INDIAN DAIRY PRODUCTS GLOBALLY

 Improve the quality of the products.
 Value addition into widely accepted products.
 Improving productivity and improving the cost of production.
 Building brands.
 Public relations and stick measures to avoid misinformation, viz.
 To maintain lead in milk production.
 Research and development.
 Utilization of desirable constituents from the waste rather than draining.

FUTURE ASPECTS
The invariable growth of milk production in India has made its position envious
to the other nations. The proper utilization of milk in the right products and direction will
definitely be helpful in realizing the growth potential of dairy industry. A more
systematic approach to process innovation, quality assurance and shelf life improvement
for the indigenous and western dairy products in needed. More energy efficient systems
and introduction of some of the continuous processes for the and strong in near future.

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COMPANY PROFILE

Heritage Foods

Heritage Foods Limited

Type Public limited company (BSE)

Industry Dairy and Agribusiness

Founded 1992

Founder Nara Chandrababu Naidu

Headquarters Hyderabad, India

Key people Nara Brahmani (Executive

Director)
Sambasiva Rao (President)

Revenue  US$500 million (in 2018

-19)

Owner Nara family

Number of 3000+
employees

Website www.heritagefoods.in

Heritage Foods Limited (commonly known as Heritage Foods) is one of the

largest private sector dairy enterprises in Southern India.

History

The Heritage Group was founded in 1992 by Telugu Desam Party Chief and
former Chief Minister of Andhra Pradesh Shri Nara Chandrababu Naidu, with three-
business divisions viz., Dairy, Retail and Agri under its flagship Company Heritage
Foods Limited (HFL), one infrastructure subsidiary - Heritage Infra Developers Limited
and other associate Companies viz., Heritage Finlease Limited, Heritage International

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Limited and Heritage Agro Merine Private Limited. The annual turnover has crossed
$200 million USD during FY 2008'09.[1][2]

Heritage’s milk products have market presence in Telangana, Andhra Pradesh,

Karnataka, Kerala, Tamil Nadu ,Maharashtra,Delhi, Rajasthan and Punjab its retail
stores across Bangalore, Chennai,Hyderabad and Visakhapatnam. Integrated agri
operations are in Chittoor and Medak Districts and these are backbone to retail
operations.

In the year 1994, HFL went to Public Issue to raise resources, which was oversubscribed
54 times and its shares are listed on BSE (Stock Code: 519552) and NSE (Stock Code:
HERITGFOOD).[3]

Heritage Foods has its headquarters in Hyderabad, Telangana, India.

The Dairy Brand - Heritage

Heritage by choosing Chittoor district of Andhra Pradesh as its primary procurement

base of milk, had taken full advantage of the large, high yielding and cross-
bred cow population found in the area.

Today Heritage has network in the states of Telangana, Andhra

Pradesh, Karnataka, Tamil Nadu, Maharashtra and Delhi for procurement and
distribution of quality milk and milk products. Heritage products are also distributed in
the state of Kerala. Heritage has drawn plans to be a pan-India player in the dairy.

Products

A pouch of Heritage Toned Milk

Heritage's dairy range of products among others include milk, curd, ice

cream, buttermilk, flavored milk, dairy whitener, skim milk powder. The Fresh range of
products include 177 sku's of fresh fruits and vegetables, 150 sku's of in house bakery
products and the private labels Farmers' Pride like cereals, pulses, staples, and spices.

Controversy

Motaparti Siva Rama Vara Prasad, who was a director of the company and was also
Chairperson of a number of committees like Audit, Remuneration and Risk
Management. On 3 April 2016, his name featured in the list of high-profile names

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released in the Panama Papers, a set of 11.5 million confidential documents created by

the Panamanian corporate service provider Mossack Fonseca.

When questioned by journalists whether his holdings were the proceeds of political
corruption or tax evasion, he replied that he was an international businessman with
companies in three continents established over the last 30 years. But the article also
highlighted his ignorance on the fact that he didn't know who his agents were when
setting up these off-shore Shell companies or why he decided to use nominees to hide his
name from the true ownership.

Since he is a very close confidant of N. Chandrababu Naidu and the distinct possibilities
of linking these companies to money laundered through corruption in politics, he was
asked to resign from his post as Director to try and reduce the exposure of the Chief
Minister and the Panama Papers .

Heritage Foods Limited

The Heritage Foods Limited was founded by Mr. Nara Chandrababu Naidu in the year
1992, which is one of the fastest growing Public Listed Companies in India, with two
business divisions - Dairy and Renewable Energy. The annual turnover of Heritage
Foods crossed INR 2482 crores in the financial year 2018-19.

Currently, Heritage's milk and milk products have a market presence in Andhra Pradesh,
Telangana, Karnataka, Kerala, Tamil Nadu, Maharastra, Odisha, NCR Delhi, Haryana,
Rajasthan, Punjab, Uttarakhand, Himachal Pradesh, Uttar Pradesh & Madhya Pradesh.

In the year 1994, HFL went public and was oversubscribed 54 times. HFL shares are
listed on BSE (Stock Code: 519552) and NSE (Stock Code: HERITGFOOD).

Vision

VISION

Delighting every home with Fresh & Healthy products and empowering the Farmer

Mission

 To be a nationally recognized brand for Healthy and Fresh products with a

revenue of INR 6000 Crore by 2024

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 To anticipate, understand and respond to our Customers' needs by creating high-

quality products and making them available through innovative and convenient
channels

 To embrace the right technology to delight our Customers

 Advocating the balancing of economic, social and environmental aspects to

create a better tomorrow

 Empowering the farmer community through our unique 'Relationship Farming'

Model

 Be the Employer of Choice by nurturing entrepreneurship and promoting

empowerment, alongside transparency

Mrs. Bhuvaneswari NaraVice-Chairperson & Managing Director

A B.A. Graduate and a Director for several companies. Is a dynamic leader who has
extensive experience in business and has been successfully steering Heritage Foods
Limited towards growth and better prospects. Joined Heritage in 1994 as whole-time
Director and is now serving as Vice Chairperson & Managing Director. Is guiding and
monitoring the overall workflow of the organization.

Mrs. Brahmani NaraExecutive Director

Holds a Master's in Business Administration from Stanford University, Bachelor’s in

Electrical Engineering from Santa Clara University, California, USA and
Communication Engineering from Chaitanya Bharathi Institute of Technology,
Hyderabad, India. Investment Associate in Vertex Venture Management Pvt Ltd
between 2009-2011 in Singapore. Joined Heritage in 2011 as Vice President Business
Development and is now serving as Executive Director. Takes care of such vital

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functions as design, development and implementation of strategic plans for the

organization in a cost-effective and time-efficient manner.

Dr. M. Sambasiva RaoPresident,

Post Graduate and Doctorate in Zoology. Served the state and central governments for
about two decades as a member of the Indian Administrative Services (IAS). Dr Rao was
the Joint Secretary in the Department of Commerce under the Ministry of Commerce
and Industry, Government of India.

CA A. Prabhakara NaiduVice President - Finance & Accounts,

Fellow Member of the Institute of Chartered Accountants of India and graduated from
Sri Venkateswara University with a university rank in science. Has 26 years of
experience in finance and accounts. Has been associated with the Heritage group since
its inception.

Mr. Umakanta BarikCompany Secretary,

Has a Master’s in Economics, LLB, FCS, and LIII. Is a Fellow Member of the Institute
of Company Secretaries of India, New Delhi and a Licentiate from Insurance Institute of
India, Mumbai. Has over 19 years of experience in the domains of Secretarial, Legal,
Insurance & Intellectual Property Rights.

Mr. J. Samba MurthyHead - Dairy Division,

Holds an MBA in Marketing and a Bachelor's in Science. Is the Senior Vice President at
Heritage and has been associated with the Company since 2007. Has worked previously
in APDDCF Limited, Visakha Dairy NDDB, and Reliance in various positions in the
field of Sales & Marketing.

Heritage Renewable Energy

We at Heritage have recognized our responsibilities to protect the environment. With

this, we are dedicated to expand our green footprint and thus we have started our clean
energy journey by entering into renewable energy projects for captive consumption.

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RESEARCH METHODOLOGY
Source of data
Secondary data would be collected from the book published, articles and through
electronic media.
Sample size
All the 100 employees will be considered as respondents for the study.
Survey design
The survey is based on primary source of data. Three methods of primary data are
selected to conduct the study that is., the questionnaire method, observation method and
the personal interview method. Since the statement in the questioners are schedule were
quantified on a five point scale using like type technique.
 Strongly agree

 Agree

 Average

 Disagree

 Strongly disagree

Methods of sampling
There are many sample methods to collect data. The sampling method used is
simple, random sampling.
Simple random sampling:
According to this method the sample is collected randomly for example taking
every tenth house in a street or taking every fifth employee in the universe is simple
random sampling.

Sources of data
The data has been collected from both primary and secondary sources for the
research work.
Secondary Data:
Secondary data work collected from journals training manual of M/s Heritage
Foods Limited and through internet.
Secondary data may either be published or unpublished data. Published data are
available in various publications of the company. This is also collected from the various
books, magazines and newspapers. The sources of the unpublished data are mainly like

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diaries, letters, and unpublished biographies and also may be available with scholars and
research workers, trade associations, lab our bureaus and public/private individuals and
organizations.
As compared to secondary data the primary data is factual.
Selection of the Study:
The general manager suggested going for the study on “performance appraisal” in
Heritage Foods Limited Milk Products [p] Ltd.
Preparation:
In the light of objectives a schedule is basis on the various attitudinal dimensions.
Data Collection:
Investigator followed schedule and the questionnaire method through direct
interview to accumulate data.
Statistical Technique Used:
Percentage analysis method.
Limitations of the study:
1) Study is limited only to M/s Heritage Foods LimitedPalamaner.
2) The reluctance of the respondents to reveal the personal information has acted as
a limitation factor.
3) The time factor was also as a constraint in gathering data completion of the
project.
Plan of the study
The present study entitled “A study on Performance appraisal” with special
reference to Heritage Foods Limited.
It is classified into following chapters.

Need of the study

 To help to understand the changes in assets and which are not evident financial
statements or in the income statement.
 To inform on that how the loans to the business has been used.
 To point out the financial strengths and weakness of the business.
 To help in planning sound dividend policy

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SCOPE OF THE STUDY

This study refers to only individual enterprise i.e., Heritage Foods Limited In
fact, an examination of all components of Current Assets will enable to assess the
efficiency of working capital management as all these components are interrelated.

This study is on Funds Flow position in the company. It is based on schedule of

changes in working capital and funds flow statement:

(1) Schedule of changes in Working capital and

(2) Funds Flow statement.

The scope of two statements is given below:-

(1) Schedule of changes in working capital:

This statement is prepared with Current Liabilities as appearing in the balance

sheet of the Company.

(2) Funds flow statement:

This statement is also prepared with sources of funds & application of funds as
appearing in the balance sheet of the company.

OBJECTIVES OF THE STUDY

• To study the fund flow operations in Heritage Foods Limited milk products(p)
ltd.

• To analyse the changes in amount of working capital of the company.

• To identify sources and application of funds.

• To find out the operating efficiency of the organization.

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LIMITATIONS OF THE STUDY

Limitations of funds Flow Analysis:
 It is essentially historic in nature and projected funds flow statement cannot be
prepared with much accuracy.
 It cannot be reveal continues changes.
 It is not an original statement but simply it is arrangement of data given in the
financial statements.  
 The data was collected and analysis only for five years which might be too small
a base to draw accurate conclusions. 

 The study is limited only from the financial statements provided by the company
to me. 

 Much of literatures regarding the financial activities have not been gathered,
because the company is not ready to disclose its financial secrets. Hence, my
study is bound within these limiting factors

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Heritage Foods Limited

MISSION & VISION

Mission

Bringing prosperity into rural families of India through co-operative efforts and
providing customers with hygienic, affordable and convenient supply of " Fresh and
Healthy " food products.

Vision

 To be a progressive billion dollar organization with a pan India foot print by 2012.
To achieve this by delighting customers with "Fresh and Healthy" food products,
those are a benchmark for quality in the industry.
We are committed to enhanced prosperity and the empowerment of the farming
community through our unique "Relationship Farming" Model.
To be a preferred employer by nurturing entrepreneurship, managing career
aspirations and providing innovative avenues for enhanced employee prosperity

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PRODUCT PROFILE

Heritage Milk a naturally nutritive, rich, fresh, wholesome food par excellence
which self-contained protective food characteristic. Hygienically procured, pasteurized
and poly packed under PEA standards, Heritage milk is a complete food for any age be it
children Teenages, adults, expecting mother as older citizens, rich with just about all
essential nutrients.
Heritage Milk is full of strength building calcium and phosphorus,. And the
essential life giving vitamins. The milk products of heritage dairy.
The milk products of dairy are as follows;
 Ghee
 Skimmed milk powder
 Butter milk
 Curd
 Toned milk
 Double toned milk
 Whole milk

Marketing of milk and it’s by products:

One of the most crucial links in the marketing of milk and products is that it is
highly perishable commodity. It cannot be stored in its original state for more than four
hours and therefore drilling and packing is required for increasing its keeping quality.
Further it is chemical saving gat solids and also essentially proteins minerals vitamins
and water ans its main ingredients; therefore it can be suitably converted into butter,
ghee and milk powder and reconverted into milk, when required. Thus these things will
be kept in main while planning effective marketing linkage.

Milk:
Heritage Milk…naturally nutritive, rich, fresh, wholesome food par excellence
with self contained protective food characteristics. Hygienically procured, pasteurized
and poly packed under PFA standards, Heritage Milk is a complete food for any age, be
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it children, teenagers, adults, expecting mothers or older citizens. Rich with just about all
essential nutrients… Heritage Milk is full with strength building protein, energy giving
carbohydrates &fats, bone & teeth building calcium & phosphorus and the essential life
giving vitamins.

Curd:
Aroma, freshness ‘n’ purity kept intact!!
Robotics natural Dairy Food Preparation from double toned milk:
A new generation health promoting food with improved nutritional benefits due to the
presence of viable eitidobacterium tactics & lactobacillus acidophilus.

Ghee:
Agmark special grade Heritage Ghee is pure clarified fat made from fresh cream,
with no colors or preservatives, tantalizing the human senses with its envigoring taste,
fragrant aroma, rich texture. And vitamins A, D, E and K as bonus

Butter Milk:
Aroma, freshness ‘n’ purity kept intact!!
High quality butter milk with natural taste.

Flavored Milk:
Nutritional Information
200ml Contains Approx
Fat 3.0g
Proteins 6.6g
Carbohydrates 26.0g
Minerals 1.5g
Energy 157k.cal

Skim milk powder:

Heritage Skim milk Powder is a low fat & calorie, high protein spray dried milk
powder made from fresh skimmed milk that instantly dissolves in lukewarm water, And

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tastes just like milk!! With clean, rich, sweet and very pleasant natural milk flavor, it
flows fine and smooth and is homogeneous in texture.

Variety and composition

Variety Pack size
Whole milk 500ml
Homogenized Toned Milk 200ml,500ml,1000k
Standard milk 500ml
Double Toned Milk 500ml
Golden cow milk 500ml
Each 500ml of Heritage Milk Contains
Fat -- 3.0%
SNF -- 8.5%

Each 200ml of Heritage Milk Contains

Fat -- 7.5gms
Lactose -- 12.0gms
Proteins -- 8.25gms
Calcium -- 312.5mg
Energy -- 148.5k.cal

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DATA ANALYSIS & INTERPRETATION

Table – 3.1
1. Size of the family to consumers purchasing milk

Size of the family Number of respondents Percentage

2 persons 30 18.75
3 persons 45 28.12
4 persons 60 37.05
Above 4 persons 25 15.62
Total 160 100

INTERPRETATION:
The above table indicates 37.5% of the respondent’s family size is 4 persons, 28.12% of
the respondent’s family size is 3 persons, 15.62% of the family size is above 4 persons
and remaining 18.75% of the respondent’s family size was 2 persons.

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Graphical Representation:

Size of the family to consumers purchasing milk

Chart -3.1

INTERPRETATION:
The above Graph indicates 37.5% of the respondent’s family size is 4 persons, 28.12%
of the respondent’s family size is 3 persons, 15.62% of the family size is above 4 persons
and remaining 18.75% of the respondent’s family size was 2 persons.

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Table – 3.2

2. Consumer preference towards various milk

Type of milk Number of respondents Percentage

Cow’s milk 30 18.75
Buffalo’s milk 40 25
Packed milk 90 56.25
Total 160 100

INTERPRETATION:
The above table indicates 56.25% the respondents prefers packed milk, 25% of them
prefer buffalos milk and remaining 18.75% of the respondents prefer cow’s milk

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Graphical Representation:

Consumer preference towards various milk

Chart - 3.2

INTERPRETATION:
The above Graph indicates 56.25% the respondents prefer packed milk, 25% of
them prefer buffalos milk and remaining 18.75% of the respondents prefer cow’s milk

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Table – 3.3

3. Consumers preference towards Quantity of milk

Pack size Number of respondents Percentage

200ml 26 16
500ml 102 64
1 liter 32 20
Total 160 100

INTERPRETATION:
The above tabulation indicates that 64% of the respondents prefer 500ml packets, 20%
of them prefer 1-liter packets and remaining 16% of the respondents prefer 200ml pack
size.

Graphical Representation:

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Consumers preference towards Quantity of milk

Chart -3.3

INTERPRETATION:
The above Graph indicates that 64% of the respondents prefer 500ml packets,
20% of them prefer 1-liter packets and remaining 16% of the respondents prefer 200ml
pack size.

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Table – 3.4

4. Respondents Brand awareness towards Heritage Milk

Awareness Number of respondents Percentage

Yes 110 69
No 50 31
Total 160 100

INTERPRETATION:
The above table indicates that 89% of the respondents are yes 31% are no of Heritage
milk.

Graphical Representation:

Respondents Brand awareness towards Heritage Milk

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Chart - 3.4

INTERPRETATION:
The above Graph indicates that 89% of the respondents are yes 31% are no of Heritage
milk.

Table – 3.5

5. Consumer preference towards branded packed milk

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Brand Number of respondents Percentage

Heritage 80 50
Tirumala 20 12
Balaji 22 14
Sangam 28 17
Others 10 7
Total 160 100

INTERPRETATION:
The above tabulation indicates that 50% of the respondents prefer heritage milk. 17% of
the respondents prefer other brands 33%.

Graphical Representation:

Consumer preference towards branded packed milk

Chart – 3.5

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INTERPRETATION:
The above Graph indicates that 50% of the respondents prefer heritage milk. 17% of the
respondents prefer other brands 33%.

Table – 3.6

6. Consumers usage towards various milk products at Heritage milk

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Year of experience Number of respondents Percentage

Below 6 months 29 18
6 months to 1 years 45 28
1-2 years 49 31
More than 2 years 37 23
Total 160 100

INTERPRETATION:
The above table indicates that 31% of the respondents purchasing from the period of 1-2
years, 28%respondents purchasing from the period of one to 6 months to 1 year,the
period of the more then 2 years above 23%.

Graphical Representation:

Consumers usage towards various milk products at Heritage milk

Chart – 3.6

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INTERPRETATION:
The above Graph indicates that 31% of the respondents purchasing from the period of 1-
2 years, 28%respondents purchasing from the period of one to 6 months to 1 year,the
period of the more then 2 years above 23%.

Table – 3.7

7. Factors Influencing to purchase current brand

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Influencing factors Number of respondents Percentage

Quality 92 57
Packing 26 17
Price 32 20
Advertisement 10 6
Total 160 100

INTERPRETATION:
The above tabulation indicates that 57% of the respondents purchasing heritage milk was
quality, response of Price 20% and 16% purchasing for packing, 6% of advertisements.

Graphical Representation:

Factors Influencing to purchase current brand

Chart – 3.7

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INTERPRETATION:
The above Graph indicates that 57% of the respondents purchasing heritage milk were
quality, response of Price 20% and 16% purchasing for packing, 6% of advertisements.

Table – 3.8

8. Media influences in increase the sale promotion of Heritage milk

Media Number of Respondents Percentage

Hoardings 43 27

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Wall posters 15 9
Friends 102 64
Total 160 100

INTERPRETATION:
The above tabulation indicates that 64% of the respondents knows of Heritage brand by
friends, 27% of the respondents know of Heritage milk by hoardings and remaining 9%
of the respondents know of Heritage by wall posters.

Graphical Representation:

Media influences in increase the sale promotion of Heritage milk

Chart – 3.8

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INTERPRETATION:
The above Graph indicates that 64% of the respondents knows of Heritage brand by
friends, 27% of the respondents know of Heritage milk by hoardings and remaining 9%
of the respondents know of Heritage by wall posters.

Table – 3.9

9. Consumers Opinion of compared to other Brands of milk

Opinion of price No. of respondents Percentage

Thickness 70 44
Brand Image 50 31
Available 30 19
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Price 10 6
Total 160 100

INTERPRETATION:
The above table indicates that 44% of the respondents feel that the thickness, 31% of the
response of brand image, of the respondents available 19% of the 6% respondents of the
price.

Graphical Representation:
Consumers Opinion of compared to other Brands of milk

Chart – 3.9

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INTERPRETATION:
The above Graph indicates that 44% of the respondents feel that the thickness, 31% of
the response of brand image, of the respondents available 19% of the 6% respondents of
the price.

Table – 3.10

10. Consumers Satisfaction level of Heritage milk

Satisfaction Number of respondents Percentage
Highly satisfied 49 31

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Satisfied 96 60
Neither satisfied nor dissatisfied 10 6
Highly Dissatisfied 5 3
Total 160 100

INTERPRETATION:
The above tabulation indicates that 60 % the respondents was satisfied, 31% of the
respondents were highly satisfied.

Graphical Representation:

Consumers Satisfaction level of Heritage milk

Chart -3.10

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INTERPRETATION:
The above Graph indicates that 60 % the respondents was satisfied, 31% of the
respondents were highly satisfied.

Table – 3.11

11. Consumers Opinion of the quality of heritage milk

Rank of quality No. of respondents Percentage
Excellent 83 52
Good 50 31
Average 21 13
Poor 6 4

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Total 160 100

INTERPRETATION:
From the above table it is inferred that 52% of the respondents feel quality was excellent,
31% percent of the respondents feel good, 13% percent of the respondents feel average
and remaining 4% percent of the respondents feel quality was poor.

Graphical Representation:

Consumers Opinion of the quality of heritage milk

Chart -3.11

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INTERPRETATION:
From the above Graph it is inferred that 52% of the respondents feel quality was
excellent, 31% percent of the respondents feel good, 13% percent of the respondents feel
average and remaining 4% percent of the respondents feel quality was poor.

Table – 3.12

12. Respondents opinion on Media for sales promotion

Media No. of respondents Percentage

Hoardings 90 56
News papers 30 19

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Radio jingles 25 16
Display broad 15 9
Total 160 100

INTERPRETATION:
The above table indicates that 56 %of the respondent’s opinion was hoardings is the best
media and 18% go to News papers through radio jigles16% through the display broad
9%.

Graphical Representation:

Respondents opinion on Media for sales promotion

Chart – 3.12

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INTERPRETATION:
The above Graph indicates that 56 %of the respondent’s opinion was hoardings is the
best media and 18% go to News papers through radio jigles16% through the display
broad 9%.

Table – 3.13

13. Consumers Opinion on pricing of Heritage milk

Opinion of price No. of respondents Percentage

High 50 31
Very high 26 16
Moderate 84 53
Total 160 100
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INTERPRETATION:
The above table indicates that 53% of the respondents feel that the heritage price of the
milk is moderate of the respondents high 31%of the respondents very high 16%.

Graphical Representation:

Consumers Opinion on pricing of Heritage milk

Chart – 3.13

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INTERPRETATION:
The above Graph indicates that 53% of the respondents feel that the heritage price of the
milk is moderate of the respondents high 31%of the respondents very high 16%.

Table – 3.14

14. Consumers Other product offering Heritage

Opinion of product No. of respondents Percentage

Butter 45 28

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Paneer 21 13
Ghee 58 37
Doodh Peda 36 22
Total 160 100

INTERPRETATION:
The above table indicates that 37% of the respondents feel that the heritage ghee and
28% of the respondents of Butter, 22% of the respondents.

Graphical Representation:

Consumers Other product offering Heritage

Chart - 3.14

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INTERPRETATION:
The above Graph indicates that 37% of the respondents feel that the heritage ghee and
28% of the respondents of Butter, 22% of the respondents.

CHI-SQUARE TEST
CHI-SQUARE RELATIONSHIP BETWEEN ABRAND AND SATISFICATION

Table: 3.15

Brand Heritage Tirumal Balaji Sungam Other Total

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a
Satisfaction
Highly
Satisfied 26 6 6 10 0 49

Satisfied 50 10 12 13 6 91
Neither 2 2 1 3 2 10
Satisfied nor
Dissatisfied
Highly 2 2 2 2 2 10
Dissatisfied
Total 80 20 22 28 10 160

Independence attributes of chi-square relationship

∑(Oi – Ei)2
X2 = -------------
Ei

NULL HYPOTHESIS: (HO)

There is no significance relationship between brand and satisfaction

ALTERNATIVE HYPOTHESIS: (Hi)

There is no significance relationship between brand and satisfaction

TEST STATISTICS:
The independent attributes of chi-square relationship

∑(Oi – Ei)2
X2 = -------------
Ei

Where; Oi=observed value

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Ei=expected value

Row total X Column Total

Expected value(Ei)= -------------------------------------
Grand Total

Oij Eij Oij-Eij (Oij-Eij)2 (Oij-Eij)2 Eij

26 24.5 1.5 2.25 0.09
6 6.1 -0.1 0.01 0.0016
7 6.7 0.3 0.09 0.013
10 8.5 1.5 2.25 0.264
0 3.0 -3.0 9 3
50 45.5 4.5 20.25 0.445
10 11.3 -1.3 1.69 0.149
12 12.5 -0.5 0.25 0.02

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13 15.9 -2.9 8.41 0.528

6 5.6 0.4 0.16 0.028
2 5 -3 9 1.8
2 1.25 0.75 0.5625 0.45
1 1.3 -0.3 0.09 0.069
3 1.7 1.3 1.69 0.994
2 0.6 1.4 1.96 3.266
2 5 -3 9 1.8
2 1.25 0.75 0.5625 0.45
2 1.3 0.7 0.49 0.377
2 1.7 0.3 0.09 0.053
2 0.6 1.4 1.96 3.266
17.0636

∑(Oi – Ei)2
X2 = -------------
Ei

= 17.0636

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The degree of freedom of chi square relation is

V=(R-1)(C-1)
= (4-1)(5-1)
= 3x2
=12

At the 5% level of significance the table value at 12 degree of frequency is 21.026

∑(Oi – Ei)2
X2 = -------------
Ei

X2 Calculated = 17.0636
X2 Tabulated = 21.026

Results:
X2 Calculated value less then X2 Tabulated value.
Acceptance Null hypothesis

INTERPRETATION:

There is no significant relationship between brand and satisfaction.

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FINDINGS

1. It found that 68% are aware, 32% are unaware of Heritage milk in compute.

2. 56% of the respondent’s preferred packed milk, 25% of them prefer buffalo’s milk,

used remaining 19% of preferred cow’s milk.

3. 51% of the respondents prefer Heritage milk, 17%of the respondents prefer sangam

milk, 14% of the respondents prefers Balaji milk, 11% of the respondents prefers

Tirumula milk, 7% of the respondents prefers others brands milk.

4. 57% of the respondents purchasing Heritage due to its thickness, quality 20% of the

respondents prefer for price, 17% of the respondents prefers packing 6% of the

respondents prefers advs.

5. 64% of the respondents are known of Heritage brand through friends,27% of the

respondents known of Heritage milk by hoardings and remaining 9% of the

respondents known of Heritage by wall posters.

6. 60% of the respondents are satisfied and, 31% of the respondents are highly

satisfied , and 6% of the respondents neither satisfied nor dissatisfied and, 3% of the

respondents highly dissatisfied of Heritage milk.

7. 53% of the respondents feel that moderate,31% of the respondents feel that high

price,16% of the respondents feel that very high price to while adopting Heritage

milk.

8. 50% of the respondents feels Heritage milk packing is good,41% of the respondents

feels Heritage milk packing is average,9% of the respondents feels is not bad.

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SUGGESTIONS

1. Efforts should be made to improve communication between dairy authorities and end

users through regular interaction.

2. Information regarding the manufacturing facilities and the hygienic conditions

maintained by Heritage dairy should be provided to the consumers in the form of

attractive pamphlets.

3. Promote and sponsor athletics and sports meets in various colleges and schools by

projecting the Heritage dairy milk mascot. It has to cover by local T.V network.

4. Improve the quality, competitive pricing and better packing innovations should be

concentrated by the company to increase sales volume by Heritage milk.

5. The company should conduct meets in flats, colonies and uncovered areas still now

for promoting the brand.

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CONCLUSION

The traditional quality assurance systems are becoming absolute and are getting
globally replaced by HACCP based system complemented by Good Hygienic Practices,
Good Manufacturing Practices etc. in the dairy industry will enquire a strong
commitment from the management, the quality mark certification organization and
finally the regulatory authorities to make HACCP, including sanitation programs, as part
of their regulations.

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QUESTIONNAIRE

Name : Age: Date: …………...

Address:

1. No. of Family members:

(i) 2 Persons (ii) 3 Persons (iii) 4 Persons (iv) Above 4 Persons

2. Which Milk do you refer:

(i) Vendor’s milk (ii) Packed milk.

3. Which size of pack do you refer:

(i) 500ml (ii) 200ml (iii) 1litre (iv) Above 2ltrs

4. Do you know Heritage milk :

(i) Yes (ii) No

5. Which brand you would like to use regular:

(i) Heritage (ii) Sangam (iii) Tirumala (iv) Balaji (V) Dodla

6. Since how long have you been using Heritage milk:

(i) Before 6 months (ii) 6 months to1year (iii) 1 to 2years (iv) More than 2years

7. What are the factors that influenced you to purchase Heritage milk :
(i) Quality (ii) Packing looks/Styling (iii) Price (iv) Advertisement

8. Which media do you prepare will increase the sales of Heritage milk :
(i) Hoardings (ii) Wall paintings (iii) Friends

9. What is your opinion of compared to other brands of milk in terms of Brand name :
(i) Thickness (ii) brand image (iii) price (iv) Availability

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10. Satisfaction level of Heritage milk:

(i) Highly satisfied (ii) Satisfaction (iii) Neither satisfied nor dissatisfied
(iv) Highly Dissatisfied

11. Opinion on Quality of Heritage milk:

(i) Excellent (ii) Good (iii) Average (iv) not Bad

12. Which Media do you prefer as a best sales promotion:

(i) Television (ii) Radio Jingles (iii) News Papers (iv) Hoardings

13. Opinion on pricing of Heritage Milk:

(i) Very High (ii) High (iii) Average (iv) Low

14. Do you know products are there in Heritage:

(i) Yes (ii) No

15. Have you aware of any other products offering Heritage:

(i) Paneer (ii) Ghee (iii) Butter (iv) Badam Milk (v) Doodh peda

Any Suggestions Please Specify:

……………………………………………………………………………………………
……………………………………………………………………………………………
……………………………………………………………………………………………
……………………………………………………………………………………………
……………………………………………………………………………………………
…………………………………………

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BIBLIOGRAPHY

Books Referred

S. NO Book Name Author Name Edition Publishers

MARKETING
1. Philip Kotler 13th Edition Pearson Education
MANAGEMENT
RESEARCH New Age International
2. C.R. Kothari 2nd Edition
METHODOLOGY P Ltd
MARRKETING Tata McGraw hill
3. Kotler 3rd Edition
MANAGEMENT Publishing House

Website:
www.heritagefoodsindia.co.in

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