Amul Research Essay Example

study:

The aim of our study is to identify the key factors that impact the demand for milk in our study area.

The purpose of this inquiry is to identify the current marketing channel system being used by Amul for milk distribution.

The purpose of this study is to determine the role of marketing agents in the distribution of milk.

The objective is to comprehend the primary expenses connected to the marketing of these milk products.

The objective of the study is to identify the key distribution constraints in channel management in our area.

The purpose is to determine the alterations in the distribution channel that happen when there is an increase in milk demand.

The following section presents a literature review.

Various studies have investigated the marketing of liquid milk in India's cooperative and private dairy plants. These studies typically classify the Indian dairy industry into two sectors: organized and unorganized. One such study by Rajendran and Mohanty (2004) discovered that around 80% of milk produced by rural producers is managed by the unorganized sector, with the remaining 20% being handled by the organized sector. The research also highlighted the crucial role played by dairy cooperatives in diminishing rural poverty through boosting milk production and marketing in rural areas.

The study determined that India's marketing industry is facing future challenges in milk quality, product development, infrastructure support development, and global marketing. However, there have been limited studies that have sought to compare the efficiencies of cooperative and private dairy plants in specific regions or states. One example is the study conducted by Rangasamy and Dhaka (2008) in

Tamil Nadu, which aimed to compare the efficiencies of cooperative and private dairy plants.

According to a study, the marketing cost for toned milk is the same in both co-operative and private dairy plants. However, for standardized milk, full cream milk, and flavored milk, the cost is higher in the co-operative dairy plant. Except for toned milk, all dairy products generate higher marketing margins in private dairy plants compared to co-operative ones. The study also recommends the sustainable development of the co-operative dairy industry. A similar study was conducted by Saxena and Mahto (2007) for the Uttaranchal Cooperative Dairy Federation Limited (UCDFL).

Their research discovered that UCDFL primarily concentrates on marketing liquid milk and has not yet embraced product diversification, which is currently necessary. They also found that the insufficient profit margins have resulted in an increase in the number of agents working for other private dairies. The researchers recommended encouraging local milk sales at the society level to enhance the popularity of UCDFL's brand. Another study conducted by Sarker and Ghosh (2010) examined the price spread, marketing costs, marketing margins, marketing efficiency, and profit efficiency among market middlemen in cooperative and non-cooperative milk marketing channels within the West Bengal state's domestic trade market of liquid milk.

The study has found that while the price variation for liquid milk is relatively uniform in both inter-market and intra-market settings under a cooperative marketing agency, marketing agencies under cooperative channels receive significantly lower abnormal profit per unit of milk compared to non-cooperative channels. However, this does not result in much economic benefit for both producers and consumers due to the higher fixed cost per

unit of liquid milk. Previous research on liquid milk has mainly focused on regional or state level contexts. Building on this trend, this study aims to examine the marketing channels and their efficiencies for Amul specifically in the local context of Lucknow.

The methodology used in this study can be described as follows:

The study will be conducted in multiple stages. Firstly, participants within Amul milk's marketing channels will be identified. These participants consist of retailers such as local convenience stores, mini road milk sellers, bigger stores, distributors, and wholesalers in the Lucknow area. Afterward, data regarding costs, margins, stock quantities, reorder levels, minimum perishable time, and cost minimization strategies will be collected from participants at every level.

The objective of the research is to obtain firsthand information about supply and distribution obstacles from a range of sources including retailers, wholesalers/distributors, and households (15-20). The data collected will be examined to identify the factors that impact channel effectiveness and determine the most efficient distribution channel for Amul Milk in Lucknow.