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Assessment of Distribution Channel and Opportunities for

Improvement of Sales in B2B Segment
– Campus Shoes

A PROJECT CONDUCTED FOR

Action shoes

SUBMITTED IN PARTIAL FULFILMENT OF POST GRADUATE DIPLOMA IN M ANAGEMENT (PGDM) 2010 -2012

Ashish Dhull
PGDM 2010-2012

ROLL NO. 10DM035

April-June 2011

FACULTY MENTOR INDUSTRY MENTOR

Prof. R.J.Masilamani Mr. N.K.Garg

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Summer Project Certificate

This is to certify that ASHISH DHULL bearing Roll No. 10DM035 a student of PGDM has worked on
summer project titled Assessment of Distribution Channel and Opportunities for Improvement of Sales
in partial fulfilment of the requirement for the programme. This is his original work to the best of my
knowledge.

Prof. R.J.Masilamani

Date: BIMTECH, Greater Noida.

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CERTIFICATE FROM SUMMER PROJECT GUIDES

This is to certify that ASHISH DHULL a student of Birla Institute Of Management, PGDM, Roll Number-
10DM035 has worked on summer project titled Assessment of Distribution Channel and
Opportunities for Improvement of Sales - CAMPUS SHOES from 18.4.2011 to 18.6.2011 (2 months)
under our guidance and supervision. This Summer Project Report has the requisite standard and to the best
of our knowledge no part of it has been reproduced from any other summer project, monograph, report or
book.

MR. N.K.GARG

SALES MANAGER

CAMPUS SHOES

ACTION GROUP

DELHI

DATE:

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ACKNOWLEDGEMENT

I express my sincere thanks to ACTION RETAIL VENTURES PVT. Ltd. for giving me an opportunity to
carry out this project. I take this opportunity to express my profound sense of gratitude to Mr. N.K.Garg
(Sales Manager) whose sincere co-operation and guidance enabled the project to assume its systematic
shape.

I want to express my thanks to Prof. R.J.Masilamani (Faculty guide, Birla Institute of Management
Technology), for his time and valuable efforts. He constantly encouraged me right from the selection of the
project to final preparation of my project.

I also express my thanks to Mr. H.K.Aggarwal, Mr. Pramod Sharma and Mr. Sunny Khatri for extending
their support.

ASHISH DHULL

PGDM 2010-2012

Roll No. 10DM035

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TABLE OF CONTENTS:-

Executive Summary 6
Topic of the Project 7
Literature Review 9
Company Profile 14
How Campus operates 23
Methods of construction 25
Campus shoes at Delhi 26
SWOT Analysis 27
Research Methodology 31
Results and Analysis 33
Conclusion and Recommendations 42
Annexure 43
Bibliography 48

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CHANGES MADE IN THE REPORT

 Changed the alignment.
 Added sources.
 Rephrased the paragraphs.
 Sentence Formation Errors are corrected in Bracket with Red colour.

(NOTE: All the changes made are highlighted in the report)

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EXECUTIVE SUMMARY

Action Shoes was incorporated in the year 1972. The beginning was with a range of footwear made from
PVC by the name of Micro, with a vision to serve the average Indian population at that point of (in) time. In
the year 1979, the group ventured into sports shoes (shoe) market by the brand name of Action and made a
revolution.

Action has a network of more than 50,000 retail outlets all over India to sell its footwear, which are being
supported by more than 500 distributors throughout the country and this ensures that the customer wherever
located is served efficiently.

The objective of the study is to assess the distribution system of Campus and service efficiency in the B2B
segment. It includes interacting with distributors and retailers of different areas through survey finding out
where Campus is lacking and what things needs to be implement (implemented). It was carried out in five
parts.

Initially, the working system was developed after study and discussion among the employees involved in the
process and then it was progressively implemented to understand it better.

Subsequently, many retailers and distributors of Delhi were interviewed to understand the market trend and
the working process of the company. All relevant points were noted to help in forming a comprehensive
questionnaire to be administered in a planned survey.

The questionnaire was focused on the retailers’ perception of Campus brand and its competitors and based
upon (on) the responses analyses were carried out.

All departments of the company were studied in depth in order to find out the scope for improvement if
possible. It includes sales department, design department, testing department, production processes, visit to
factories and working with sales persons.

Finally, after surveying in different areas like in various parts of Delhi, Rohtak (Haryana) and Chandigarh
important points got conveyed to company and concerned areas got discussed in which Campus could work
for better results. Few things like entering in new segment (bags and t-shirts in showrooms), advertisement
and new distributor requirement are positively taken up by the company and worked on it. All possible
points got conveyed regarding market response about the Campus products and what steps could be taken to
get progress in terms of sale.

On the basis of the analysis, it is found that Campus is either first or second best in quality, style and brand
visibility.

It emerged that Sparx and Columbus have very high brand presence i.e. availability, visibility and
connection link with youth by providing better designs. So it is recommended that Campus needs to focus on
its marketing and promotional strategies to increase brand visibility.(The) Proper distribution channel is
required to cover all interested retailers who are presently not getting Campus plus producing good designs.

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Edited and Rephrased

Executive Summary

About Action Shoes in India.

1. Action Shoes was incorporated in the year 1972.
2. Group ventured into sports shoe market by the brand name of Action.
3. Today, 'Action Shoes' is one of the largest shoe producers in the country manufacturing more than 100,000
pairs every day with a wide network of more than 50k+ Retail Outlets and 500 distributors all over India.

Vision
 “To reach all indigenous consumers first and then the world consumers at large, with fascinating pairs
of footwear supplies for Men, Women and Kids, at best affordable prices with Impeccable Quality and Durability.”

Objective of the study

To assess the distribution system of Campus and service efficiency in the B2B segment.

Key Insights
1. Many retailers and distributors of Delhi were interviewed to understand the market trend and the working
process of the company.
2. All departments of the company were studied in depth. It includes:
a. sales department
b. Design department
c. Testing department
d. Production processes
e. Visit to factories
f. Working with sales persons.
3. Survey was conducted in different areas like in various parts of Delhi, Rohtak (Haryana) and Chandigarh.
4. Concerned areas like entering in new segment (bags and t-shirts in showrooms), advertisement and new
distributor requirement were discussed and worked on it seriously.
5. Analysis state that Campus is either first or second best in quality, style and brand visibility.

Recommendation
Campus needs to focus on its marketing and promotional strategies to increase brand visibility. Proper distribution
channel is required to cover all interested retailers.

THE PROJECT

Project Title:

Assessment of Distribution Channel and Opportunities for Improvement of Sales - CAMPUS SHOES.

Objective:

First- Finding out the issues/concerns in the current distribution system and suggesting
improvements.
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Second- Doing Competitive analysis and suggesting ideas for improving the brand’s
competitiveness.

Third- Explore and identify things that could help in improving Campus shoes (shoe) sales.

NEED OF THE PROJECT

 Footwear is a growing industry in India. My research is to identify how to evaluate business potential and
what should be the product offerings. During the project I knew about footwear industry. Through the era of
chappals we entered into footwear world. The focus study during this project is to find out the causes where
we are lacking and to increase the business potential what changes we should make in our product offerings.
The business potential of any brand is affected by its distribution channel, marketing strategies, product
features, competition analysis and many other factors. The study includes knowing the customer preference
and customers perception about the Campus product. It helps us to identify the needs and choices
of customers; on the basis of customer’s needs, likings I reached at certain conclusion.

OUTCOME OF THE PROJECT

1. Pricing strategy

2. Product feature

3. Distribution channel

4. Promotion

• Campus has adopted a good pricing strategy. As India is a (the) poor country and the majority of the
population is of middle class and lower class, the price strategy which is adopted by Campus is acceptable
quality with low price. It can be easily affordable by everyone.

• Second usefulness is product feature. There are different feature such as comfort, durability, style, light
weight etc. are easily available in Campus. More emphasis is given on light weight and style as these are the
major concerns of (for) current population.

• Third managerial usefulness is its distribution channel. It has adopted a single and straight policy that
Campus would supply its products to distributors which would be followed by retailers and exclusive
showrooms.

• Fourth is the promotion. Campus is promoting its products by giving advertisements in newspapers and
television. Mails get (are) sent to distributors and exclusive show rooms regarding new products with
pictures. Salesman used to visit distributors and retailers with samples of Campus products for promoting.
Campus is also entering into apparel segment by coming up with Campus caps and school bags.

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Edited and Rephrased

NEED OF THE PROJECT

Research is to identify how to evaluate business potential and what should be the product offerings. The focus study
during this project is to find out the causes where we are lacking and to increase the business potential what
changes we should make in our product offerings. The business potential of any brand is affected by its distribution
channel, marketing strategies, product features, competition analysis and many other factors.

Pricing strategy Product feature Distribution channel Promotion

Value based Feature such as comfort, Single and straight policy By giving advertisements in
pricing durability, style, light weight etc. newspapers and television.
are easily available in campus.
Population is of More emphasis is given on light Campus would supply its Mails are sent to distributors
middle class and weight and style. products to distributors and exclusive show rooms
lower class which would be regarding new products with
followed by retailers and pictures.
exclusive showrooms.

Acceptable . Salesman used to visit

quality with low distributors and retailers with
price, Easily samples of Campus products
affordable. for promoting.

LITERATURE REVIEW

INDIAN FOOTWEAR INDUSTRY

The footwear sector is a very significant segment of the leather industry in India; rather it is the engine of
growth for the entire Indian leather industry.

 India is the second-largest global producer of footwear after China, accounting for 13% of global footwear
production of 16 billion pairs. India produces 2065 million pairs of different categories of footwear (leather
footwear - 909 million pairs, leather shoe uppers - 100 million pairs and non-leather footwear - 1056 million
pairs). India exports about 115 million pairs. Thus, nearly 95% of its production goes to meet its own (to
meet its domestic demand) domestic demand.

 The major production centers in India are (is) Chennai, Ranipet, Ambur in Tamil Nadu, Mumbai in
Maharastra, Kanpur in U.P., Jalandhar in Punjab, Agra, Delhi, Karnal, Ludhiana, Sonepat, Faridabad, Pune,
Kolkata, Calicut, and Ernakulam. About 1.10 million are engaged in the footwear manufacturing industry.

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Footwear exported from India are (is) Dress Shoes, Casuals, Moccasins, Sports Shoes, Horrachies, Sandals,
Ballerinas, Boots, Sandals(,) and Chappals made of rubber, plastic, P.V.C.(,)and other materials. 

MNC Brands sourced from India are Acme, Clarks, ColeHann, Deichmann, Ecco, Elefanten, Florsheim,
Gabor, Hasley, Hush Puppies, Double H, Justin, Marks & Spencer, Nautica, Nike, Nunn Bush, Reebok,
Salamander, Stacy Adams, Tony, Lama, Next, Bally

MNC Brands Sold in India are Aldo, Bally, Clarks, Ecco, Florshiem, Ferragammo, Hush Puppies, Lee
cooper, Lloyd, Marks & Spencer, Nike, Nine West, New Balance, Reebok, Rockport, Stacy Adams.

Indian Brands sold in India are Red Tape, Bata, Liberty, Khadims, Lakhani, Metro, Action, Relaxo. 

US Retail giant Wal-Mart has also begun sourcing footwear from India since the last two years.

The Footwear sector is now de-licensed and de-reserved, paving the way for expansion of capacities on
modern lines with state-of-the-art machinery. To further assist this process, the Government has permitted
100% Foreign Direct Investment through the automatic route for the footwear sector.

Conducive Investment climate towards attracting overseas investments and increasing cost competitiveness.

The Government of India is setting up dedicated Footwear Complex and Footwear Components Part where
footwear clusters are located.

There has been active interest in collaborating with Indian Footwear companies from European countries
like Italy, Spain and Portugal.

 Footwear – Global Scenario and India’s share

The global import of Footwear (both made of leather as well as non-leather) increased from US$ 59.77
billion in 2004 to US$ 87.23 billion in 2008, growing at a CAGR of 9.91%. During 2008, the () India’s
share in the global import is 1.76%.  

        (In Million US$)

  2004 2005 2006 2007 2008

Global import of
Footwear 59779.52 67066.21 72747.35 80722.29 87234.28
India's export of Footwear

& Footwear Components 910.77 1045.24 1236.91 1489.35 1534.32

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% Share of India 1.52% 1.56% 1.70% 1.85% 1.76%

Source: ITC, Geneva & DGCI &S, Kolkata

Footwear is the engine of growth of the leather industry in India. India’s export of Footwear touched US$
1507.51 million in 2009-10, with a share of 44.33% in India’s total export from the leather sector.  

 India’s Footwear export (leather, uppers & non-leather) is growing at a CAGR of 9.58% in the last five
years ending 2009-10 

India’s Footwear Export Growth over the last (Last) Four Decades 

(The) Export of footwear from India increased manifold over the last four decades. Today, India’s footwear
export is valued at US$ 1507.51 million, constituting 44.33% share in total export of leather & leather
products.

Footwear exports have increased from US$ 82.56 million in 1979-80 to US$ 1507.51 million in 2009-10

Edited and Rephrased

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INDIAN FOOTWEAR INDUSTRY

1. India is the second-largest global producer of footwear after China, accounting for 13% of global footwear
production of 16 billion pairs.
2. India produces 2065 million pairs of different categories of footwear (leather footwear - 909 million pairs,
leather shoe uppers - 100 million pairs and non-leather footwear - 1056 million pairs).
3. Thus, nearly 95% of its production goes to meet its domestic demand.
4. The major production centres in India includes:
Chennai, Ranipet, Ambur in Tamil Nadu, Mumbai in Maharashtra, Kanpur in U.P., Jalandhar in Punjab, Agra,
Delhi, Karnal, Ludhiana, Sonepat, Faridabad, Pune, Kolkata, Calicut, and Ernakulum.
5. Footwear exported from India includes:
Dress Shoes, Casuals, Moccasins, Sports Shoes, Horrachies, Sandals, Ballerinas, Boots, Sandals, and Chappals
made of rubber, plastic, P.V.C., and other materials. 
6. There has been active interest in collaborating with Indian Footwear companies from European countries
like Italy, Spain and Portugal.

MNC Brands sourced from India MNC Brands Sold in India Indian Brands sold in
India

Acme, Clarks, ColeHann, Deichmann, Ecco, Aldo, Bally, Clarks, Ecco, Florshiem, Red Tape, Bata,
Elefanten, Florsheim, Gabor, Hasley, Hush Ferragammo, Hush Puppies, Lee Liberty, Khadims,
Puppies, Double H, Justin, Marks & Spencer, cooper, Lloyd, Marks & Spencer, Nike, Lakhani, Metro,
Nautica, Nike, Nunn Bush, Reebok, Nine West, New Balance, Reebok, Action, Relaxo
Salamander, Stacy Adams, Tony, Lama, Next, Rockport, Stacy Adams
Bally

 Footwear – Global Scenario and India’s share

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India’s Footwear Export Growth over the last (Last) Four Decades 

Footwear exports have increased from US$ 82.56 million in 1979-80 to US$ 1507.51 million in 2009-10

Major Markets:

During 2009-10, the main markets for Indian Footwear were (the) UK with a share of 19.66%, Germany
14.88%, Italy 13.93%, USA 8.20%, France 9.58%, Spain 6.37%, Netherlands 4.32%, Portugal 1.50%,
U.A.E 2.63% (,) and Denmark 1.13.%.  These 10 countries together accounts (account) for 82.20% share in
India’s total footwear export.Nearly 90% of India’s export of footwear goes to European Countries and the
USA. Future growth of Indian footwear in India will continue to be market driven (market-driven). The
European countries and the US are major consumers for the () Indian footwear.

Edited and Rephrased

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SALES PROMOTION STRATEGY

Sales are the lifeblood of a business-Without sales there would be no business in the first place; therefore it
is very important that if a firm wants to succeed, it should have sales promotion strategy in mind. The
primary objective of a sales promotion is to improve a company’s sales by predicting and meeting the target

Customers’ expectations. Sales promotion is very important as it not only helps to boost sales but it also
helps a business to draw in new customers while at the same time retaining older ones. There are a variety of
sales promotional strategies that a business can use to increase their sales. However, it is important that we
first understand what a sales promotion strategy actually is and why it is important.

Sales promotion strategy is an activity that is designed to help boost the sales of a product or service. This
can be done through an advertising campaign, public relation activities, a free sampling campaign, a free gift
campaign, through demonstrations and exhibitions, through sponsoring events, through temporary price
cuts, personal sales letters, and emails.

When developing a sales promotion strategy for your business, it is important that the following points are
kept in mind.

 The brand strategy

 The competitive strategy
 The advertising strategy
 And other external factors that can influence-the product’s availability and pricing.

Sales Promotion Strategies

There are three types of sales promotion strategies:

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 Push strategy
 Pull strategy
 A combination of the two

A ‘push’ sales strategy involves pushing vendors and agents to sell the company’s products to the consumer
by offering various kinds of promotions and personal selling efforts. The basic objective of this strategy is to
persuade vendors and agents to carry the company’s brand, give it shelf space, promote it be advertising, and
ultimately push it forward to the consumer. Typical push sales promotion strategies include; buy-back
guarantees, free trials, contests, and discounts.

A ‘pull’ sales promotion strategy focuses more on the consumer instead of the vendor or agent. This strategy
involves getting the consumer to ‘pull’ or purchase the product directly from the company itself. This
strategy targets its marketing efforts directly on the consumers with the hope that it will stimulate interest
and demand for the product. Typical pull sales promotion strategies include; samples, coupons, cash refunds
or rebates, loyalty programs and rewards, and games.

A ‘combination’ sales promotion strategy is just that; it is a combination of both ‘push’ and ‘pull’ strategy. It
focuses both on the vendor as well as the consumers, targeting both the parties directly. It offers consumer
incentives side by side with discounts.

Methods of Sales Promotion

Some of the most common methods used in sales promotion strategies include:

Coupons, Price discounting, Gift with purchase offers, Sampling, Refund and premium offers, Group
promotions, frequent user/loyalty offers

Edited, Added and Rephrased

Sales Promotion is one level or type of marketing aimed either at the consumer or at the distribution channel (in the
form of sales-incentives). It is used to introduce new product, clear out inventories, attract traffic, and to
lift sales temporarily. The objectives of a sales promotion is to increase consumer demand, stimulate market
demand, to get potential buyers to heed a call to action, increase the size of purchases and improve product
availability using media and non-media marketing communications.

Types of Consumer Sales Promotion tools

1. Samples
2. Coupons
3. Demonstration
4. Contests
5. Cash-Refund Offer
6. Premium
7. ‘Price off’ offer- Goods are sold at reduced prices during slump season.
8. Consumer Sweepstakes- A sweepstakes calls for consumers to submit their names for a draw. Names of
consumers are included in a list of prize winning contest. The lots are drawn and the winners get prizes.
9. Buy Back allowances- Allowances are granted to buyers on the basis of their previous purchases.

Key Points while doing Consumer Sales Promotion

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1. The brand strategy

2. The competitive strategy
3. The advertising strategy
4. And other external factors that can influence-the product’s availability and pricing.

Sales Promotion Strategies

STOCK MANAGEMENT

Inventory needs to be available for sale when your customer is ready to buy. But since it sucks up cash to
have it waiting to be sold, it is good (to) stock management and forecasting which are needed to keep stock
for the shortest possible time.

Know the stock

The trick to shortening stock days is to carefully manage when the stock is coming in, as well as when it is
going out.

There is a need to know:

 What is selling
 What isn’t selling
 Which items are slow moving(slow-moving)
 Which items are obsolete
 What the trends/seasons are
 What are the margins on items. are()
 What it is costing to store stock.

Watch top performers

Finally, keep an eye on industry benchmarks. Good benchmarks should include stock days for the low,
average and top-performing products. The stock days of top-performing products are fewer than those of the
others.
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In a nutshell, shortening the length of time stock sits in the store room (storeroom) will free up working
capital to spend on other things like advertising, salaries, and expansion.

Setting Targets

The essence of control is the comparison of performance against plan or target. The monitoring of progress
and the comparisons with target reveal variations from the original plan(control activity) which can either be
used to guide activities back towards the original plan or for the monitoring of actual results and if
unforeseen conditions have arisen, can be used to revise the original plan.

Control activity is of great strategic importance and is part of general plan reviews which are vital in
uncertain conditions. Planning and control are distinct activities, but they go hand in hand. To maximize the
benefits from planning (budgeting), the manager should use the plan as a benchmark for controlling
(assessing the effectiveness and efficiency of implementation). Conversely, it is difficult to control activities
without a benchmark plan.

References:
http://www.footwear-industry.com/
http://www.leatherindia.org/footwear_2010.asp

Added and Rephrased

Stock management is the practice of ordering, storing, tracking, and controlling inventory. ... Stock
management applies to every item a business uses to produce its products or services – from raw materials to
finished goods. In other words, stock management covers every aspect of a business's inventory

1. Taking a physical count of inventory? ...

2. Use inventory scanners or other types of stock counting technologies. ...
3. Choose your “counters” wisely. ...
4. If you must do a full physical inventory count, schedule it ahead of time. ...
5. Map your store.

Setting Targets

 Identify revenue goals

 Figure out specific purchases you need to get
 Determine the closing rate and the number of opportunities
 Identify the quantity of sales qualified leads
 Identify the quantity of marketing qualified leads
 Estimate the number of visitors to your website
 Set goals for other key elements
 Divide your goals into phases

COMPANY PROFILE

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The Action group is one of the () India's leading business conglomerates. The group commenced its
operations as a source of footwear and its components in domestic and export markets and became the
market leader for footwear in India.

Driven by business processes that are dynamic (Dynamic Business Process), (The) quality that is world-
class (world-class quality), and an innovative approach to understanding market dynamics, the Group moved
its core competence into other diversified fields such as (API) Chemicals and Plasticizers, (MICROTEK)
Computer Monitors and Peripherals, Power Back Up/Inverters, (OKAYA) Batteries, (SUN CITY) Housing
Projects and (SRI BALAJI ACTION MEDICAL INSTITUTE) Health Care.

With a vision to cater (to) the needs of (the) nation & meeting the challenges of global markets, and
contribute towards (the) country's economy, the Group has embarked on a journey towards a steel and power
generation venture.

Overview - Action Shoes

Action Shoes was incorporated in the year 1972. The beginning was with a range of footwear made from
PVC by the name of , with a vision to serve the average Indian population at that point of (in) time. In
the year 1979, the group ventured into (the) sports shoes (shoe) market by the brand name of Action and
made a revolution.

Today, Action is synonymous with quality footwear for the whole family-ranging from casuals to formals
from daily wear to sportswear and from an elegant collection for ladies to a fun range for kids. Action Shoes
is the highest shoe producer in the country with more than 100,000 pairs every day and revenues (in excess
of) over 100 million dollars. We have a network of more than 50,000 retail outlets all over India to sell our
footwear, which are (is) being supported by more than 500 distributors throughout the country and this
ensures that the customer wherever located is served efficiently.

Action has had the best media campaigns which have set a high bench mark (benchmark). Our brand have
(has) been associated with the world known (world knew) sports celebrities like Kapil Dev, Sachin
Tendulkar, Ajay Jadeja and so on is the list of different celebrities of different fields including Indian
Cinema like Amrish Puri, Mahima Chaudry, Apoorva Agnihotri, Aman Talwar, Renuka, Pallavi Joshi (,)
etc.

The brand ' ACTION ' has been able to maintain its aura of exclusivity and distinction since its first pair of
non-formal sporty shoes hit the stores. It continues to be the most preferred brand in India. With the growing
popularity, proliferation comes along. The company has elaborated (on) the brand concept by launching a
variety of sub-brands and shoes to suit different occasions. The new products were coined with attractive
catchword (catchwords), thus helping the customers finding the right shoes.

Their range of brands caters to every need in shoe world.

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The Action group is one of the India's leading business conglomerates. The group commenced its operations
as a source of footwear and its components in domestic and export markets, gradually moving its core
competence into other diversified fields such as: (API) Chemicals and Plasticizers, (MICROTEK)
Computer Monitors and Peripherals, Power Back Up/Inverters, (OKAYA) Batteries, (SUN CITY) Housing
Projects and (SRI BALAJI ACTION MEDICAL INSTITUTE) Health Care.

There are different individual companies under a common umbrella, each dedicated to a specific line of
product manufacturing, procuring or other particular business activities.

Today the group strategy is to be competitive and to be a leader in the quality of goods and services
provided.

With over three decades of experience in footwear industry, Action is synonymous with quality shoes for the
whole family-ranging from casuals to formals; from daily wear to sportswear and from an elegant collection
for ladies to a fun range for kids.

True to its name Action is always on the move to scale newer heights in footwear designing and
manufacturing. Intensive R& D efforts and the latest technology go into the making of Action footwear. We
have in house manufacturing facilities, including modern equipments and machineries specially procured
from different countries to manufacture footwear at par with international class and quality.

Each Action shoe is the product of a relentless quest for quality, high level of workmanship and a true
commitment to customer satisfaction. At Action we strive to listen to the customers in their local markets
and identify their footwear needs and then provide products that exceed the customer's expectations in terms
of quality, style and value.

Hardly surprising, Action has carved a special niche in the Indian footwear market and in the hearts of
millions of its consumers throughout the country.

Where they are located

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Action is headquartered in Delhi, supported by multiple manufacturing and development units in (the) rest
of the states like - Haryana, Himachal Pradesh and Daman etc. A number of its executives are based in
customer geographies with the express purpose of creating and nurturing channel partners as well as
customers relationship.

STRATEGIC INTENT

VISION

To nurture a financially strong, growth oriented (growth-oriented) group through leadership and innovation
and to widen future options by entering newly emerging industries where the potential seems enormous. 

They as a group shall continue to seek opportunities where they can leverage our resources and skills.
 

MISSION

At Action group their mission is to work together, respecting each other, our skills and knowledge to:-

o  Build higher quality of products and services.

o  Continually strive to enhance customer satisfaction.
o  Improve customer retention and loyalty.
o  Gain a competitive advantage and larger market share
o  Elimination of scrap, waste, defects (,) and errors. 
o  To create a great place to work.
o  Be welcomed in the communities in which we operate. 

VALUES

How they accomplish their mission is as important as the mission itself. Fundamental to the success for (of)
the company are these basic values.

o Teamwork
o Learning and Innovation
o Energy and Passion
o Employee involvement in process improvement.
o Integrity and accountability.

Edited, Added and Rephrased

“A relentless race against time...,

The burning passion to win...,
A strong desire to set the trends....,
No wonder, life is all Action...."

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About Action Shoes in India.

1. Action Shoes was incorporated in the year 1972.
2. Group ventured into sports shoe market by the brand name of Action.
3. Today, 'Action Shoes' is one of the largest shoe producers in the country manufacturing more than 100,000
pairs every day with a wide network of more than 50k+ Retail Outlets and 500 distributors all over India.

Vision
 “To reach all indigenous consumers first and then the world consumers at large, with fascinating pairs
of footwear supplies for Men, Women and Kids, at best affordable prices with Impeccable Quality and Durability.”

Mission
The Shoe Aid Project aims to improve living standards in many communities in Cameroon by providing donated
shoes free of charge and by supporting local shoemakers.

Our brand has been associated with the world knew sports celebrities like:
1. Kapil Dev
2. Sachin Tendulkar
3. Ajay Jadeja and so on

Including Indian Cinema like:

1. Amrish Puri
2. Mahima Chaudry
3. Apoorva Agnihotri
4. Aman Talwar
5. Renuka, Pallavi Joshi

Gradually moving its core competence into other diversified fields such as:
1. (API) Chemicals and Plasticizers
2. (MICROTEK) Computer Monitors and Peripherals
3. Power Back Up/Inverters
4. (OKAYA) Batteries
5. (SUN CITY) Housing Projects
6. (SRI BALAJI ACTION MEDICAL INSTITUTE) Health Care.

Corporate division of Action shoes manufactures a full range of shoes i.e. (Safety boots) with Steel toe and Fibre toe-
cap for Industrial workers, comfort, sturdy and Heat/Cold resistance shoes for Military, Navy & Police, oil resistant
and anti-skid 18 shoes for working in professional Kitchens and water resistant and anti- fungal shoes for Miners.

The company manufactures products as per client's specifications with the Shortest Lead Time and the Highest
Quality. Company’s clientele includes… Asian Paints, Asashi India Glass, Jet Airways, Hindalco Industries, Maruti
Udyog Ltd, Samsung India Ltd, Indian Army, Indian Air Force, Delhi University, Park Royal, Parle Biscuits, Mother
Diary, Hyatt Regency, Le- Meridian and many more.

Action has a diversified segment on sole manufacturing completely dedicated in making world-class soles. Action has
made a name in manufacturing high quality PU and TPR soles in domestic as well as international market.

MARKETING STRENGTH

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MARKETING PHILOSOPHY

The Action marketing philosophy emphasizes catering to the masses, consistently meeting the need and
aspirations of every evolving generation. Action is committed to producing high quality (high-quality) shoes
to suit every walk of life. 

Based on our cultivated understanding of the Indian consumer psyche, most Action offerings are in the mid-
range price segments. 

However, Action also manufactures (a) variety of premium products for those who refuse to compromise,
who seek and strive beyond ordinary.

MARKET POSITIONING

Action has consistently used "COMPLETE FAMILY FOOTWEAR" positioning and continues to use it.
The company virtually makes shoes for the entire family- more precisely-for everyone- for all occasions.

DISTRIBUTION NETWORK

To complement the company’s philosophy of catering to every walk of life, a powerful distribution network
has been set up with width and depth. 

Action has established a wide marketing network for distributing its products in India.
The extensive distribution network, built over the years, is a major strength for Action products. Action
products are available to consumers, even in the most remote places and in the smallest of villages with a
very meagre population.

The distribution network comprising DISTRIBUTORS, WHOLESALERS, RETAILERS AND EBO's

(Exclusive Brand Outlets) throughout the country, ensures that the customer wherever located is served
efficiently.

They have a network of more than 50,000 retail outlets all over India to sell our footwear, which is being
sold through more than 500 distributors appointed by the company.

CORPORATE PORTFOLIO

For more than 30 years Action has been manufacturing top quality footwear and its components for the
domestic and export markets.

Having pioneered the development of footwear range from casuals to formals, from daily wear to sportswear
and from (the) elegant collection for ladies to fun range for kids, 

Action now operates a specialized technology and research driven (research-driven) 'CORPORATE
SALES' division which caters to the variant needs of institutional segments.

The Corporate division of Action shoes manufactures a full range of shoes i.e. (Safety boots) with Steel

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toe and Fibre toe-cap for Industrial workers, comfort, sturdy and Heat/Cold resistance shoes for
Military, Navy & Police, oil resistant and anti skid (anti-skid) shoes for working in professional
Kitchens and water resistant (water-resistant) and anti- fungal (anti-fungall) shoes for Miners. 

It is the policy of their Corporate Division to listen to people’s needs & specifications assess the
communication points at both the ends, develop a detailed but concise survey instrument, gather customer
perspectives and then finally develop and deliver high quality (high-quality) products and services meeting
the customer requirements from time to time.

They have our R&D department with well-qualified professionals in diverse streams who constantly
research and develop new products.

Their long-term experience, services, and quality are evident in every product they create to perfection.

They are able to (can) manufacture products as per (the) client's specifications with the Shortest Lead Time
and the Highest Quality.

Their clientele includes… Asian Paints, Asashi India Glass, Jet Airways, Hindalco Industries, Maruti
Udyog Ltd, Samsung India Ltd, Indian Army, Indian Air Force, Delhi University, Park Royal, Parle
Biscuits, Mother Diary, Hyatt Regency, Le- Meridian and many more.

Added and Rephrased

Brand Endorser

At Action group we constantly strive to create, maintain, protect and enhance the brands. Our challenge is to
develop a deep set of positive associations for the brand. Our objective is not only to have a fairly high degree
of.........
BRAND AWARENESS, but to move    to
ACCEPTABILITY PREFERENCE Finally, BRAND LOYALTY

In order to achieve all these stages and to achieve higher attention & recall, Action group often uses celebrities as
spokespeople or endorsers.

Brand Architecture  

The brand ' ACTION ' has been able to maintain its aura of exclusivity and distinction since its first pair of non-
formal sporty shoes hit the stores. It continues to be the most preferred brand in India.

With the growing popularity, proliferation comes along. The company has elaborated the brand concept by
launching a variety of sub-brands and shoes to suit different occasions. The new products were coined with
attractive catchword, thus helping the customers finding the right shoes.

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Our range of brands cater to every need in shoe world

Sole Division

Action has a diversified segment on sole manufacturing completely dedicated in (to) making world-class
soles. Action has made a name in manufacturing high quality (high-quality) PU and TPR soles in domestic
as well as international market. 

It has always been a pioneer in research and development of new materials and styles in order to (to) best
meet the ever-changing market demands. Action Sole division has a team of dedicated researchers who are
in (a) constant endeavour to develop the best technology on soles that fulfils the need and requirement of
every end user (end-user).

Action soles have double density polyurethane with excellent abrasion resistance, zero oil migration, best
slip resistance, very high flexing property at subzero temperature and extra high tensile strength, excellent
cushioning and comfort due to its compact foaming and lightness. This makes their sole both incredibly
durable and surprisingly lightweight.

Best of all, the soles are also made according to our clients (client’s) specifications. Their excellent
production capabilities, guarantee prompt delivery of every order in addition to designing new moulds
within the shortest lead time after receiving the order. They continually concentrate their efforts on attracting
and maintaining world-class talent, producing high quality (high-quality) products and above all delivering
customer satisfaction.
They present a comprehensive collection of premium quality PU and TPR Soles for men and women's
casual & formal footwear.

Added and Rephrased

Action soles have double density polyurethane with excellent abrasion resistance, zero oil migration, best slip
resistance, very high flexing property at subzero temperature and extra high tensile strength, excellent cushioning
and comfort due to its compact foaming and lightness. This makes our soles both incredibly durable and surprisingly
lightweight.

Available in a variety of designs and sizes Ladies (35 - 41) and Gents (5 - 11), it comes in the price range from (Rs. 75 -
Rs. 170) for ladies and (Rs.80 - Rs 180) for gents. Some of our esteemed national and international clients are….
CLARKS, BATA, LIBERTY, PONDS, FRANCO LEONE, HIKER, JOSEPH SIEBEL etc.

Products and their sole series

PRODUCTS Sole series

DIP sandals AYG, SP, CJ, AGS, SS, 3D, XN, LBK
DIP sports shoes SJ, NR, AD, AC
EVA sports shoes LB, LBK
Phylon shoes PC
Phylon sandals TPK

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Rubber sandals BG, RST

Sheetsole shoes PS, NJ, XN, LJ, EJ, TJ, ET

ANATOMY OF THE SHOE

 
The anatomy of a shoe can be divided in an upper and lower (or bottom part). Sections of the upper include
vamp, quarter, toe box, throat, insole board, and top line. The sections of the lower shoe consist of an
outsole, shank and heel. 

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Campus

Campus symbolises the carefree attitude of youth, with Campus lightweight casual shoes and sandals for
young people and kid's freedom is in the air. 

A combination of soft synthetic leather/Nubuck and breathable mesh with padded tongue and soft plus collar
lining shoes are manufactured through the latest world class (world-class) stuck-on process using EVA and
Pylon soles which provides cushion and  shock absorption. 

The perfect combination of style and comfort gives you a retro feel.

The shoes comes (come) in the size and price range of 8-13 (Rs. 399-499), 3-5 (Rs. 599), 6-10 (from Rs.
599-1499).
 
The sandals comes (come) in the size and price range of 11-1(Rs 249-335), 2-5 (Rs. 399-550), 6-10 (Rs.
468-999).

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POLYMER IN FOOTWEAR INDUSTRY

 
Shoe Upper Leather, PVC & PU coated fabrics 
Shoe sole Vulcanized rubber TPR, PVC, PU, EVA, EPDM & Nylon 
Heels High impact polystyrene, ABS, PVC 
Toe Puff & stiffer Thermoplastic materials 
Insole Cellulose, cellulose board 
Thread Nylon, polyester  
Adhesive Epoxy, neoprene, PU, Rubber latex

Competitive Scope

Campus (The campus) is in the sportswear and apparel business. The main competitors of Campus in India
are Relaxo, Columbus and Lotto (though there are others like Nicholas, Redchief (,) etc.; all brands are
competing for market share in India).

Relaxo

Relaxo Footwear commenced its journey with the manufacture of Hawaii slippers. It has now grown into a
large-scale entrepreneurship catering to the basic needs of the quintessential Indian citizen. From a modest
sale figure of Rs. 1 million in 1977 to more than Rs. 5000 million last year; the company has experienced
record-breaking growth since inception. Today, the company manufactures over 3 lakh pairs of footwear per
day, which approximately adds up to over 10 million pairs per year.

Columbus

Columbus shoes was (were) started in 1980 with an (a) humble starting and is (are) now the giant in the
footwear sector. Due to their quality work (,) they have also been certified ISO 9001; 2000. The key to their
success has always been the quality work, durability, comfort and the latest designs which make them stand
different. They have been exporting to various countries like USA, UK, Australia, Middle East countries.

Lotto

Lotto is an Italian sports apparel manufacturer. Its products are now distributed in more than 60 countries.
Today Lotto distributes its products in more than 70 countries through independent sports stores, specialty
chain stores and large stores with sports departments. The company is pushing the development of corner
and flagship stores, which are now widespread in Italy and in (Italy and other) other countries.

Future Plans

The Campus is looking to find acceptable new distributors in the area where there is a need of (for) (a)
distributor or where the existing distribution is not satisfactory, which requires (the) marketing of products
like in Rohtak (Haryana), Chandigarh, etc. Further (,) they are developing their own site of Campus which is
under construction. The Campus is also looking forward to promote (promoting) itself through
advertisements and is looking to show its products using web marketing.

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Campus is also interested in increasing its showrooms and would be looking to produce larger quantities
specially (especially) by focussing on designs.

ADDED AND REPHRASED SOME MORE COMPETITORS

Reebok International Limited is a British producer of athletic footwear, apparel, and accessories and is currently a
subsidiary of Adidas.

Adidas

Adidas Ltd. AG is a major German sports apparel manufacturer and part of the Adidas Group, which consists of
Reebok sportswear company, Taylormade golf company, Maxfli golf balls, and Adidas golf. The company is the
second largest sportswear manufacturer in the world.

Nike

Nike, Inc. is a publicly traded sportswear and equipment maker based in the United States. The company is
headquartered in the Portland metropolitan area of Oregon, near Beaverton. It is the world's leading supplier of
athletic shoes, apparel and sports equipment with revenue in excess of $16 billion USD in 2007.

Puma AG

Rudolf Dassler Sport (Puma) is a large German-based multinational company that produces high-end athletic shoes
and other sportswear. The company is perhaps best known for its football shoes and has sponsored such
international football stars as Pelé, Johan Cruijff, Enzo Francescoli, Diego Maradona and Lothar Matthäus. In the
United States, the company is probably best-known for the suede basketball shoe it introduced in 1968, which
eventually bore the name of New York Knicks basketball star Walt "Clyde" Frazier. Puma is the third largest
sportswear manufacturer in the world behind Nike and Adidas

How Campus operates

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As shown in the diagram above, Campus works mainly from its head office from Delhi. All important and
managerial decisions are taken from the office only. Its main production houses are one in Baddi (Himachal)
and one in Dehradun. All the raw material is first (to) get collected in Delhi only. The raw material includes
(an) upper part which consists of material for the upper, design of the shoe, printing, embossing, etc. The
sample is formed for the shoe and it is send (sent) to the vendors which are in Delhi only with all the things
required. All parts after proper work get send to vendors with paper, tin measuring, and instruction
information with sample piece. Vendors send back the upper required for the shoe which is then tested in
Campus house. Campus gets around 10,000 to 15,000 of (15000 uppers) uppers in from vendors and 5000 to
8000 uppers get tested per day by the testing department. All these uppers get send to the Campus factories
along with the cartons for packaging and other things required for (the) final packing of the shoe. Soles of
the shoes are also send (sent) which are outsourced and which would be used in stuck-on (in a stuck-on)
process where upper and sole would get join. All the raw materials get send to Campus factories and both
factories work on the raw material and send back the packed final shoes.

Factories work according to the instructions given to them from the head office about which product should
be made and in what quantity. Trucks are used for transporting raw material to factories and getting back the
packed shoes. Campus gives (the) order for production according to the need and demand in (the) market as
they already have orders (ordered) from various parties. So, according to the list (,) they send the cartons of
the shoes to various parties. They show sample at display area at Campus office to visiting owners of
exclusive showrooms and to the distributors. They also send pictures and mails (emails) to these people in
order to convey (the) message about Campus products and take orders on the phone. Then the cartons of
shoes get send to the various distributors and showrooms. Campus do not give shoes directly to retailers, it
has (a) straight policy of reaching the retailers through distributors. Campus has a fixed policy about
margins that would be offered to distributors and extra benefit that would be given to distributors if they pay
before (a) credit period of 2 months. Those who pay more early would get more margin percentage. Campus
arrange (a) meeting with the distributors time and again to make sure distributors are working fine in (the)
market and they are giving appropriate margin to retailers. (The) Distributor person goes to the retailers with
the product sample and market (markets) the Campus product to various retailers. Retailers then give order
(orders) and take the product from the distributors. Campus salesman plays an important part in creating
demand for the product in the market. They work with distributor person (people) to understand which shops
are taking products and try to work out things for the company. They are the sales persons (salespersons)
who give complete information about what’s going in (the) market and what should be done in order to raise
the sales. In this way (,) retailers and show-rooms (showrooms) get the Campus products which are then
taken up by the customers.

Campus is a fashion brand and it operates in two segments i.e. Spring Summer and Fall Winter

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Jan
Feb
Mar Spring
Apr
May
Jun
Summer
July
Aug
Sept Fall Winter
Oct
Nov
Dec

In spring summer Campus offers a completely different range from what it offers in Fall Winter period. The
summer spring collection is manufactured in post June period and Fall Winter in post December period
-This method is followed because of the lead time.

METHODS OF CONSTRUCTION

There are many ways to attach the sole to the upper but commercially only (a) few methods are preferred.
Shoes were traditionally made by moulding (molding) leather to a wooden last. Modern technology has
introduced many new materials and mechanized much of the manufacture. Remarkable as it may seem the
manufacture of shoes remains fairly labor intensive (labor-intensive). No matter the type of construction the
first stage in construction is to attach the insole to the undersurface of the last. Two main operations follow:
Lasting describes the upper sections are shaped to the last and insole followed by Bottoming, where the sole
is attached to the upper. The process of bottoming will determine (the) price, quality (,) and performance of
the shoe.

 STUCK ON CONSTRUCTION

 For lightweight and flexible footwear the outsole is stuck to the upper by an adhesive. Bonwelt (Bonwell) is
a variation with its distinguishing feature being a strip of welting attached by stitching or cementing to the
top edge of the insole. The shoe is then flat lasted. This is not a true welt construction wherein the welt is
attached to the rib of the insole.
The stuck on (stuck-on) process is (a) sequence wise process which (that) gets done on (the) conveyor belt.
First, latex is put on upper and on texan (Texan) and it is send (sent) to chamber heater of 70 to 100 deg.
Celsius. It is then send (sent) to toe marking and side marking where marking is done on the upper. (The)
Base is then provided on (the) conveyor where upper and base is checked for cleaning. Both the parts then
get pushed to (the) heat (heating) chamber to 50 to 60 deg. Celsius. Then glue gets put on both parts which
is (are) 1780 PU adhesive and double coating gets done. Then these get into another heat (heating) chamber
of 130 deg. Celsius. Just at its exit, both parts get joined according to marking and it is then worked on
pressing machine which uses 20 to 30 Kg weight. It is then send (sent) to (the) cooling machine where (the)
shoe pair gets cooled down and it is then taken out for finishing and packaging. These stuck on processes
required 420 KV of electricity.
MOULDED (MOLDED) METHODS (DIP)
Direct Injection process (Process) (DIP) uses melt material which gets poured into (the) shoe bottom that
becomes its (it’s) sole after cooling. The lasted upper is placed in a mould and the sole formed around it by
injecting liquid synthetic soling material (PVC, urethane). Alternatively, the sole may be vulcanized by
converting uncured rubber into a stable compound by heat and pressure. When the materials in the moulds
(molds) cool the sole-upper bonding is complete. These DIP machines are computerized but labor is
required at its each (every) station as manual work gets done on its finishing part. These methods combine
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the upper permanently into the sole and such shoes cannot therefore (, therefore,) be repaired easily.
Moulded (Molded) methods can be used to make most types of footwear. This method is beneficial as the
waste material again can get used with raw particles according to colour (color) requirement (requirements).
Anything gets worked with black and also some whitish particles get added with raw material to give
shining characteristic (characteristics) to the shoe.

Campus shoes at Delhi

Campus has 2 small production units within Delhi which are located at Udyog Nagar at G-11 and J-17. At
J-17 upper part of the shoe get (gets) formed by click machines which are 18 in number. These machines
work around 10,000 rounds per day cutting different parts used to form a complete upper for a shoe. This
unit produces 150-200 pair (pairs) of complete upper per day. At G-11 DIP (Direct Injection Process) is in
use to produce foot wears (footwear’s) like School Time. It has (a) total (of) 4 machines which includes both
single and multi colour (multicolor) injectors. There are three 16 station single injector machines and one 18
station (stations) multi colouring (coloring) injector machine. These are heavy machines which (that) uses
(use) raw material like tiny particles according to colour (color) required. Campus head office is at D-1
Udyog Nagar where it has (a) sales department, finance department, design department, testing department
(,) and others.

Testing Laboratory:

Campus has its own well placed and maintained testing laboratory. Materials for upper get ordered
according to demand and then it gets tested. Generally (,) testing is done to check for strength, weight (,) and
thickness of the material. Following are the tests which take place in (the) laboratory:

Trouser test – checks for cut elongation.

Peel strength – checks for attachment with (the) sole (best works for PU).
Flexing test – checks for (the) flexibility of (the) material.
Colour fastness (Colorfastness) – checks for colour (color) removal.

Sole testing:-

Sole flexing test – checks for flexibility of (the) sole

Rotary sole abrasion – checks for removal of sole due to rubbing of (the) bottom surface.
Adhesion test – checks at what load upper gets flashed from sole from tip front side.
Density test – piece of the sole gets weighed in the air and then in water.
Muffle furnace – used to find out (the) percentage of filler in the sample.
Compression test – piece gets compressed by 140 kg load for 24 hours.

Carton test – Pressure is used to see how much weight would destroy the carton.

Shoe test:-

Flexing test – Machine checks for pasting or crack problem using shoe pair. Cycle time is 4 days, shoe pair
gets checked on (a) daily basis.

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Bone test – Upper sole adhesion part gets cut and checked for tensile strength. The part gets placed by
marking it in 16 points. Each point gets checked in tensile testing machine.

SWOT Analysis
Strengths

– In (the) house production facility, with govt. subsidy.

– Selective outsourcing in both Indian and China.

– In house designing team.

– Huge distribution Network

• 250+ distributors and 50,000 retailers

• 150+ Ex Showroom (Ex-Showroom)

• Extensive sales team travelling (traveling) all over India round the clock.

• Relationship, Trust and Faith are three strong pillars throughout the supply chain
network.

– Well established brand name with Pan India presence

– Institutional Sales, bulk orders, like trekking (,) etc.

ADDED

1. Easy availability of low cost of labour.

2. Well-established linkages with buyers in EU and USA.
3. Comfortable availability of raw materials and other inputs.

Weakness

– The designing (design) and colour (color) combination are not updated as compared to its
competitors as discussed with the distributors and retailers.

– The brand signifies sport but is not associated with any sports club or sponsorship, which
creates brand recall.

– Being in sports, Campus is only into footwear the scope is huge in wear and accessories.

– Late to market, the products are launched with a big delay when the life cycle is going down.

ADDED

1. Low level of labour productivity due to inadequate formal training / unskilled labour.
2. Lack of modern finishing facilities for leather.

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3. Little brand image.

4. Non availability of quality footwear components.
5. Lack of fresh investment in the sector.
6. Uneconomical size of manufacturing units.

Opportunities

• (The) Indian Sportswear industry is growing and there a lot of opportunities to be bagged.

• Campus can strategize in 4 areas:-

• Improving the current product range.

• Expand the market

• Diversify the product range.

• Diversify into different product type (types).

1. Improving the current product range

A constant effort should be made by the designing team to assess the market needs and benchmark
with (the) top quality competitor.

2. Expand the market

a. This is currently an ongoing task in the management, they are keen on collecting the information
of new retailers so as to add them to the Campus Family and set up a new distributor if required.

b. The retail sector market is increasing at a rapid speed; Campus should capitalize on the same.

Big Bazaar and other emerging retail, Reliance Footprint, M&B, Web Marketing:
http://www.yebhi.com and to other websites as well. Indian Brands like Sparx, Lancer, Nicholas,
Columbus (,) etc. have already approached them and benefiting from the same.

3. Diversify the product range

Campus symbolizes the sports figure of Action. The Indian market has become very inceptive to new
designs and footwear styles recently. Converse Canvas shoes sold like chocolate and the new
slippers by Lotto were no exception as well.

a. Canvas Shoes: The concept is started by Converse, and now is accepted by every sportswear
company. E.g.:- North Star by Bata, Sparx, with (a) price range between 500 -700.

b. EVA Sandals: G&D, Fizik, Bata (,) etc. are already eating a big market chunk and giving
competition indirectly to (the) DIP range of Campus. Price range between 200 -300.

c. Slippers: They are very casual in nature but sends in a sporty look. The mid range (mid-
range) market is dominated by Lotto and Sparx but there is a lot of scope (scopes). Price
range between 200 –350.

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d. Sneakers: This is the next big thing which (that) will hit the market. In developed and sport
(sporty) crazy nations the market for sneakers is already huge. Brands like Nike, Adidas, and
Puma are leaders in it. Sneakers are sports shoes combined with style and comfort. As we can
see here, they are absolutely FLAT SOLE shoes (comfort) and the upper is with styling. The
canvas from Converse is a part of sneakers.

Many international brands are into (in) sneakers. But now even Indian brands are ready for
the challenge. Bata and Sparx have already launched their sneakers into the market.
The value for flat sole shoe is meaningful to Campus as it lead in (Lead-in) Sheet Sole Shoes
market which is also a flat sole shoe.

4. Diversify into different product type

Being a sports brand, Campus can look to expand its horizons by going into different product type
(types). For a (For sports) sports brands, the products is (are) categorized into 3 majors:-

a. Footwear, it (Footwear is the) is the main contributor.

b. Apparel, the sportswear part like T shirts, short (shorts) (,) etc.

c. Accessory, the sports equipments (equipment) like Tennis racket, Bat (,) etc.

Now, different companies have (a) different business model and they choose accordingly from
these
three.
E.g.:- Nike came into footwear and now into all three. Yonex which is the best in Badminton
rackets and
shuttles has now expanded itself into all three parts.

- Talking about the Indian Brands, Woodland and Red Tape are now into (the) first two
segments. Tracer, a new entry into (the) Indian sports market, has now come into the first two
as well.

- Paragon is into footwear and accessory as well, like school bags. Campus is very dominant in
the School shoe market and (the) addition of school bags to the portfolio can be beneficial
considering the brand loyalty of school children for School Time.

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Puma Revenue distributed into the three categories

Category Amount (Million $)

Footwear 9713.5

Apparel 4845.2

Accessories 1049.6

OPPORTUNITIES ADDED

1. Abundant scope to supply finished leather to multinationals setting up shop in India.

2. Growing international and domestic markets.
3. Retain customers through quality supplies and timely deliveries
4. De-reservation (विआरक्षण) of the footwear sector.

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Threats

– With the new business methods of (the) 21st century, the mode of transportation
communication and access to technology is making the market entry easy.

– After the Act of Liberalization in 1991, many foreign market players have entered and
captured the Indian Sports Shoes Market heavily.

Threats Added

1. Fast changing fashion trends are difficult to adapt for the Indian leather industries.
2. Non- tariff barriers - Developing countries are resorting to more and more non – tariff barriers indirectly.

RESEARCH METHODOLOGY
 
The search for Knowledge through Objective and Systematic method of finding solutions to a problem is
Research.
 
RESEARCH DESIGN

 Source of information: There are two kinds of sources of information i.e. primary and secondary.
 
PRIMARY SOURCE

The data collected and gathered from these sources is assembled specifically for the research project at hand.
The data collected is a (is fresh) fresh and for the first time and thus (this) happened to be original in
character. It is used for satisfying various marketing research objective (objectives). Basically (Basically,)
there were two instruments:
1. Structured Instrument
2. Unstructured Instrument
 
 1. Structured instruments:

# Personal interview:
This method involved asking questions generally in a face to face contact to (with) potential customers (data
for them was collected initially) It was in the form of direct personal investigation. In this case the
interviewer collected the information personally from the sources concerned. The interviewee was allowed
to ask questions from the interviewer regarding his doubts Interviews were formal or informal depending
upon their nature and the person being interviewed. Following points were kept under consideration:
• Planning the interview
• Preparation of questions before hand (beforehand)
• Not to make interview hasty

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• Focusing on substance
• Accuracy of subject

  2. Unstructured Instrument:

# Questionnaire
 A questionnaire consists of a number of questions printed or typed. In a definite order on a form or set of
forms. The questionnaire was mailed to potential customers. They were to answer the questions on their
own. Main aspects of (the) Questionnaire:
(1) Structured questionnaire
(2) (The) Clear and smooth moving sequence of questions
(3) Simple and easy wordings
(4) Relevant questions.

All the personal details were kept confidential.

SECONDARY SOURCE
 
The data for these sources is that which have been previously collected for some project (projects) other than
at hand. The data collected is historical in nature. It is the data which (that) you don’t have collected yourself
but is already available.

Some of these sources are:

(1) Magazine
(2) Internal Reports
(3) Financial reports
(4) Published industry data. 

Sampling Unit:

The elementary units or the group’s cluster of such units may form the basis of (the) sampling process in this
case each potential retailer is our sampling unit.

 
Sample size:

Interview 250 retailers and collected data through (a) questionnaire.

Results and Analysis

The survey was done in different parts of Delhi, Rohtak (Haryana) and Chandigarh.
I have surveyed retailers who stock and sell brands comparable to Action brands and these are the findings:

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Do you stock Action shoes?

Yes Yes 182 73%

No No 68 27%

It is found that out of out of 250 retailers that were surveyed, 73% keep Action shoes while 27% do not keep
Action.

If No, Why not?

It's a new shop 24 10%

Distributors are not
coming 33 13%
there is very less
demand 11 4%

It's a new shop

Distributors are not
coming
there is very less
demand

Out of 27% who do not keep Action, majority of them said because distributors are not coming to their shop.

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If yes, which product/products of Action except Campus do you keep?

Eva 116 64%

Milano 106 59%
Dot Com 46 26%
SchoolTime 171 95%
Mausam 58 32%
Florina 136 76%
Funtime 44 24%
Chanchal 10 6%
Flotter 151 84%
Synergy 110 61%

People may select more than one checkbox, so percentages

may add up to more than 100%.

It is found that most preferred products of Action by retailers are SchoolTime with 95%, Flotter with 84%
and Florina with 76%.

Which other footwear brands do you keep?

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Liberty 26 10%
Bata 34 14%
Lakhani 192 77%
Relaxo 219 88%
Lotto 175 71%
Columbus 147 59%
Lancer 67 27%
Adidas 28 11%
Nike 28 11%
Reebok 31 13%
Local items 212 85%
Woodland 10 4%
Nicholas 92 37%
Red Chief 22 9%

People may select more than one checkbox, so

percentages may add up to more than 100%.

On asking about what other brands retailers stock, it emerged that these include Relaxo, Lakhani, Columbus
and local items.

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What makes you sell other brands?

Customer demand 102 41%

getting better margin from
others 82 33%
brand image 26 10%
proper distribution channel 35 14%
less complaints 2 1%

It is found that others brands are stocked and sold because customers feel they are getting better designs at
reasonable prices. Also, retailers try to sell other brands because they get higher margins.

If you stock Action brand, does that include Campus?

Yes 120 48%

Yes No 62 25%
No

Out of 73% retailers who keep Action, 48% said that they keep Campus shoes where as 25% said they do
not keep Campus.

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If No, why not?

there is very less margin

offered 4 2%
many complaints in Campus 0 0%
it's a new shop 4 2%
distributors are not coming 54 22%
people preferred other
brands 0 0%

It is found that out of those who keep Action but do not keep Campus, maximum retailers work like that
because Campus distributors are not coming to them while there were few who said because they are getting
fewer margins from Campus or it’s a new shop.

If yes, which items do you take?

Eva items 94 78%

Phylon
shoes 60 50%
Among those who keep Campus, the School
products that are in demand are SchoolTime Series 116 97%
and Sandals. It is summer season so sandals Phylon
are more in (the) sale as compare to shoes. sandals 44 37%
Eva items are also in demand because of DIP sandals 100 83%
(the) light weight (light-weight). Rubber
sandals 109 91%
DIP shoes 68 57%
Sheetsole
shoes 88 73%
People may select more than one checkbox, so percentages
may add up to more than 100%.
You have Campus items in which price
range?

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249 to 499 102 85%

500 to 799 114 95%
800 to 999 99 83%
1000 above 70 58%

People may select more than one checkbox, so percentages may add up
to more than 100%.

It is found out that among those who sell Campus products, maximum retailers keep products price range of
249 to 999 but the middle range i.e. 500 to 799 is more in (the) sale. Campus products with (a) price range
of above 1000 were found less with retailers as such products don’t have (a) profitable sale.

How many Campus distributors are dealing with you?

None 130 52%

1 43 17%
2 to 3 60 24%
4 to 5 17 7%
more than 5 0 0%

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It is found that there were 52% (of) retailers who said that Campus distributors are not coming to them
because they are not selling Action or Campus or it’s a new shop. There were 24% who are dealing with 2 to
3 Campus distributors and 17% are dealing with 1 distributor which is generally in (the) local area.

Are all distributors are giving you the same margin on the same item?

Yes 65 26%
Yes No 55 22%
No

It is found that out of 48% (of) retailers who are dealing with Campus distributors, 26% said they are getting
(the) same margin from Campus distributors but it includes those who are dealing with only 1 distributor.
So, 22% who said they get different margin (margins) from different distributors hold important point
(points).

What do customers ask for when they come to buy?

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Any shoe/sandal Any shoe/sandal 191 76%

particular brand
particular brand 59 24%

When retailers were asked about what type of customers they deal with. 76% (of) retailers said that
customers do not prefer (a) particular brand, they look for good shoe/sandal so retailer presentation is
important in such (a) case. While 24% (of) customers are brand conscious.

Which is the best item of Campus in terms of sales?

School Series 41 16%

Eva 0 0%
Kids-items 52 21%
Trekking shoes 0 0%
Mile 18 7%
Sandals 5 2%
Sports shoes 4 2%

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On asking from retailers who keep Campus about which Campus product is best in terms of sales, Kids-
items and SchoolTime came out at the top.

Campus quality is up to the mark.

1 Strongly Disagree 0 0%
2 Disagree 34 14%
3 Can’t say 31 12%
4 Agree 56 22%
5 Strongly Agree 0 0%

It is found out that among those who keep Campus, (the) majority of retailers feel Campus quality is fine
while there were also many who said not good and also not bad. So, Campus quality is found to be average.

Who is the major competitor of Campus?

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Lotto 22 9%
Sparx 123 49%
Lakhani 8 3%
Nicholas 3 1%
Columbus 93 37%
Lancer 0 0%
Local Brands 1 0%

On asking about (a) major competitor of Campus, Sparx comes out at (the) top with 49% while 37% (of)
retailers said it’s Columbus. It’s found that Sparx is (a) major competitor in sandals while Columbus is in
shoes.

Sparx is ahead of Campus in terms of market share.

Strongly
1 Disagree 0 0%
2 Disagree 10 4%
3 Can’t say 18 7%
4 Agree 163 65%
Strongly
5 Agree 59 24%

As it was observed in Delhi, Sparx is capturing Campus market segment at (a) fast rate so retailers were
asked about where sparx (Sparx) lies in comparison with Campus. It was found approx 90% (of) retailers
said Sparx is ahead of Campus. So, Sparx is truly enjoying more market share.

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If customers are preferring sparx, they prefer which category/categories?

Sandals 241 96%

Kids-items 0 0%
Shoes 69 28%

People may select more than one checkbox, so

percentages may add up to more than 100%.

On enquiring from retailers about customers preferring specific sparx (Sparx) products, Sandals came out to
be in majority with 96%. There were very few who mentioned shoes as there were people who mentioned
both sandals and shoes. But clearly (clearly,) Sparx is doing wonders in sandals.

In which areas does Campus need to improve itself?

Adjustment of margins 120 48%

Designs 231 92%
wear and tear 9 4%
pasting 34 14%
price range 43 17%
after sales service 29 12%
advertisements(promotion) 186 74%
local distributor 94 38%
People may select more than one checkbox, so percentages
may add up to more than 100%.

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On asking about the important question related to which area Campus should focus on, designs come out to
be very much in demand and Campus needs to improve itself in this department. 92% replied with better
design requirement (requirements) while 74% came up with promotion required through advertisements.

Conclusion
There is no doubt that Campus is perceived as a premium brand in terms of reliability and brand value in
comparison to other brands but it does not have adequate brand presence especially as far as youth are
concerned i.e. availability and visibility in India as compared to Sparx or Columbus. The price of Campus is
also perceived as very high as compared to Sparx and Columbus for the same product type.
If we observe the above analysis carefully it is found that Sparx leads the studied parameters whether it is
quality or style or brand visibility. It is due to the fact that they are doing promotion though (through)
frequent advertising providing attractively designed products to their target segment at reasonable prices.
They are able to create demand in the market.

The main points out of the survey could be listed as:

 Campus at present is not able to enjoy market profits as it was earlier because there are so many
competitors in the same segment.

 Columbus in shoes and Sparx in sandals are competing strongly against Campus.

 Attractive designs and quality products are a must in today’s markets and customers could pay more
if products meet these expectations.

 (The) Proper distribution channel is important as there would be so many shops where distributors
are not reaching by some or other reason.

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 Campus retailers have issues with lot size also as other brands are providing lot size on demand from
distributors or retailers.

The healthy competition lies between Campus, Columbus (,) and Sparx. Though Campus has functional
attributes, variety and brand value but (value when it) when it comes to price and style, Columbus and Sparx
has (have) an edge.

Added Some More Conclusion

1. Youth prefers visit to get knowledge about the product. They also acquire knowledge through other means
like TV commercial, Print media, Internet etc Branded footwear companies can even go for advertising their
new product launch through the most preferred media like television and print media (newspapers and
magazines, etc.) Buyers are rational and they search a lot before buying a shoe. They also get influenced by
some opinion leader and also play as opinion leader.
2. Customers want quality that is bundle of benefits and they switch brand mainly because of price and offer.
And finally the feedback from customers revealed that they like to have variety in footwear, with some new
designs and colour combinations. Considering the views of many of the customers, they all like to go for
quality and durability at even slightly higher costs.
3. So winding up with the market, there lays abundant scope for companies to capture the untapped sectors
like those of middle income group and lower income group. There even lies the wide scope for capturing the
brand conscious people who like to go for quality, variety, design, durability at even higher costs.

Recommendations

In India, Reebok has (a) very high brand presence i.e. availability, visibility (,) and association with sporting
events. But Campus deals with (the) lower middle segment but here also brands like Sparx and Columbus
are coming up with their marketing strategies of style and design. So, Campus needs to focus on its
marketing and promotional strategies to increase brand visibility.
Since India is a price sensitive (price-sensitive) market, one cannot survive in it by offering its products at
(a) high premium no matter how high its brand value is. So, Campus should work on its margin offerings to
distributors and retailers. There should be proper meeting (meetings) with all distributors timely working out
the things in (a) simple and proper manner. Proper co-ordination (coordination) among all should be there.
(The) Company could explore those markets where no distributor is going but demand is there like in
Rohtak and Chandigarh. If products get delivered to retailers in (a) proper manner, he will definitely
increase Campus sales as retailer presentation is so important.
After sale (After-sale) service should also be improved as shoe complaints in (the) guarantee period needs to
be solved fast.

(The) Company has already accepted (a) few recommendations like constructing its own site, (the)
advertisement of (for) (a) new product, web marketing and entering into apparels (apparel). It can be a part
of marketing and increasing brand awareness which has become inevitable now as there are so many brands
competing in footwear. Hence it will give an edge.

ADDED Some More Recommendations

1. India customers are price sensitive so in order to increase sale some lucrative offer like discount since majority of
customers have favoured this promotional tool, should be introduced.

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2. There should be no play with quality in order to reduce price since majority care about quality more than price.

3. Customers want to associate themselves with the brand and they don’t feel more impact of celebrities on his/her
buying decision. So there is fewer need of going for ad involving high profile celebrity. Instead some favourable
should be done directly to the customer.

4. Purchasing power of Indian customers is going up so it need to expand geographically.

Some Key FINDINGS

Related to Action Shoes

1. Action’s vision is to remain a leader in Indian footwear industry. The company will continue to produce the quality
products that have been provided in the past.

2. Action will continue to meet the ever-changing needs of the customers, through product innovation.

3. Action despite being one of the most popular brand has not really caught the Indian market. It has still to capture
the southern market of the country.

4. Action will continue to focus on making the strong effort on price leadership. It will serve both the high-income
and middle-income group of the society.

5. Branded sports shoes mainly targeted to youth who are fun loving extrovert and enthusiastic.

6. Sports shoes are now not only for sports in India, this has now matter of style and fashion.

7. Most of the customers have full faith on the quality of the brand and they don’t find any problem in this.

8. Considering the price aspect of the footwear then there remains abundance scope for companies to capture the
market, with low range and variety footwear.

9. While purchasing the decision for purchase is influenced by price, for the maximum numbers of customers.

10. The customers like to go for quality footwear within a cost effective range.

11. The companies can even go for building customer loyalty by satisfying the customers in the best possible
manner.

ANNEXURE
Questionnaire to study retailers’ perception of Campus brand vis-à-vis competition

1. Name of the shop?

------------------------------

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2. Area/location of the shop?

-----------------------------------

3. Do you stock Action shoes?

-Yes

-No

4. If No, Why not?

- It's a new shop

-Distributors are not coming

-there is very less demand

5. If yes, which product/products of Action except Campus do you keep?

- Eva

-Milano

-Dot Com

-SchoolTime

-Mausam

-Florina

-Funtime

-Chanchal

-Flotter

-Synergy

6. Which other footwear brands do you keep?

-Liberty

-Bata

-Lakhani

-Relaxo

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-Lotto

-Columbus

-Lancer

-Adidas

-Nike

-Reebok

-Local items

-Woodland

-Nicholas

-Red Chief

7. What makes you sell other brands?

-Customer demand

-getting better margin from others

-brand image

-proper distribution channel

-less complaints

8. If you stock Action brand, does that include Campus?

- Yes

- No

9. If No, why not?

- there is very less margin offered

-many complaints in Campus

-it's a new shop

-distributors are not coming

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-people preferred other brands

10. If yes, which items do you take?

-Eva items

- Phylon shoes

-School Series

-Phylon sandals

-DIP sandals

-Rubber sandals

-DIP shoes

-Sheetsole shoes

11. You have Campus items in which price range?

-249 to 499

-500 to 799

-800 to 999

-1000 above

12. How many Campus distributors are dealing with you?

-None

-1

-2 to 3

- 4 to 5

-more than 5

13. Are all distributors are giving you the same margin on the same item?

-Yes

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- No

14. What do customers ask for when they come to buy?

-Any shoe/sandal

-particular brand

15. What is the average discount given to the customer?

------------------------------------------

16. Which is the best item of Campus in terms of sales?

-School Series

-Eva

-Kids-items

- Trekking shoes

-Mile

-Sandals

-Sports shoes

17. Campus quality is up to the mark.

Strongly Disagree------------------Strongly Agree

18. Who is the major competitor of Campus?

-Lotto

-Sparx

-Lakhani

- Nicholas

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- Columbus

-Lancer

-Local Brands

19. Sparx is ahead of Campus in terms of market share.

Strongly Disagree-------------Strongly Agree

20. If customers are preferring sparx, they prefer which category/categories?

-Sandals

-Kids-items

-Shoes

21. In which areas does Campus need to improve itself?

-Adjustment of margins

- Designs

-wear and tear

-pasting

-price range

-after sales service

-advertisements (promotion)

-local distributor

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BIBLIOGRAPHY
Books:

 Malhotra, Naresh k. And Dash, Satyabhushan, P 2009. Marketing Research. Pearson Publications,
New Delhi, 5th Edition.
 Schiffmean, Leon G. and Kanuk, Leslie Lazar, P 2009. Consumer Behaviour. Pearson Publications,
New Delhi, 9th Edition.
  KOTLER PHILIP,MARKETING MANAGEMENT,( EDITION 2005).

Websites:

 www.actionshoes.com
 www.actiongroup.co.in
 www.google.com
 www.wikipedia.com
 www.adidas.com
 www.indiainfoline.com
 www.webcrawler.com
 www.indiatimes.com

Ashish Dhull 10DM035