Multidisciplinary Action Project

Report On
“

Submitted to

Institute Code: 817

Narandas Jethalal Sonecha Management and Technical
Institute
Under the Guidance of
In partial Fulfillment of the Requirement of the award of the
degree of
Master of Business Administration
(MBA) Offered By

Gujarat Technological University

Ahmadabad
Prepared by:

Enrollment No Name Sem

208170592024 Raikangor Niket Sem 1

208170592029 Chavda akshay Sem 1

208170592025 Totiya jigneshkumar Sem 1

 ACKNOWLEDGEMENT

The Success completion of any work would be always be incomplete

unless we mention the valuable cooperation and assistance of those people who
were a source of constant guidance and encouragement, they served as bacon
light and crowned our efforts with success.

We would like to extend our sincere gratitude to our facilities for their
guidance.
 PREFACE

A Practical study project report is an integral part of the MBA

programme. The main objective of the project report is to enhance skill of the
researcher and gain valuable knowledge of management skills that will be
useful in the future career building.

A Practical Study Project Report is one of the highly effective means of

the Learning and acquiring worldwide knowledge. It generates a concerted
effort by students to acquire in depth knowledge on a subject and present the
same in systematic manner.
 DECLARATION

We, the undersigned Niket raikangor, Akshay chavda and jignesh totiya,
students of MBA SEM-1 hereby declare that the project work presented in this
report is our own work and has been carried out under the guidance of SHITAL
MADEM of narandas jethalal sonecha management & technical institution.
This work has not been previously submitted to any other university for
any examination.

Date:
Place: Student’s Signature
Sr. No. Particular Page No.
1 Introduction of company
2 History
3 Company Profile
4 Product of the company
5 Accounting for management
6 Economics for Manager (EFM)
7 Managerial Communication (MC)
8 Organizational Behavior (OB)
9 Business Ethics & Corporate Governance (BE &
CG)
10 Management Information Systems (MIS)
11 Business Statistics (BS)
12 Bibliography
 Introduction of Cadbury

Brand

Cadbury Dairy Milk is a brand of milk chocolate currently manufactured by Cadbury,

except in the United States where it is made by Mondelēz International. It was introduced
in the United Kingdom in 1905 and now consists of a number of products. Every product
in the Dairy Milk line is made with exclusively milk chocolate. It is selling worldwide.
The tagline is Free The Joy. Dairy Milk is 23 percent cocoa solids. Many of the newer
Dairy Milk varieties are now manufactured in France. Dairy Milk itself is also
manufactured in France and these products are sold in the UK.

In June 1905 in England, Cadbury made its first Dairy Milk bar, with a higher proportion
of milk than previous chocolate bars, and it became the company’s bestselling product by
1914.George Cadbury Junior, responsible for the development of the bar, has said “All
sorts of names were suggested: Highland Milk, Jersey and Dairy Maid. But when a
customer’s daughter suggested Dairy Milk, the name stuck.”Fruit and Nut was
introduced as part of the Dairy Milk line in 1928, soon followed by Whole Nut in 1933.
By this point, Cadbury’s was the brand leader in the United Kingdom. In 1928,
Cadbury’s introduced the “glass and a half” slogan to accompany the Dairy Milk bar, to
advertise the bar’s higher milk content.

Cadbury has always tried to keep a strong association with milk, with slogans such as “a
glass and a half of full cream milk in every half pound” and advertisements that feature a
glass of milk pouring out and forming the bar. In 2004, Cadbury started a series of
television advertisements in the United Kingdom and Ireland featuring a human and an
animal (representing the human’s happiness) debating whether to eat one of a range of
included bars.
 History of Cadbury

Company Cadbury is a leading global confectionery company with an outstanding portfolio

of chocolate, hum and candy brand , we create brand . we create brand people love – brand
like Cadbury , Trident and halls , Our heritage starts back in 1824 when john Cadbury opened
a shop in Birmingham selling cocoa and chocolate . since then we have expanded our
business throughout the world by a programmed of organic and acquisition led growth . On 7
may 2008 , the separation of our confectionery and Americas beverages businesses was
complete creating Cadbury pic with a vision to be the world’s BIGGEST and BEST
confectionery.

 In India , Cadbury began its operation in 1948 by importing chocolates

 It today has 5 companies – owned manufacturing & 4 sales office in 4 metros.
 The corporate office is in Mumbai
 Cadbury enjoys a value market share of over 67 % -the highest Cadbury brand share
in the world
 The brand Cadbury dairy milk is considered the “gold standard “ for
chocolates in India
 Cadbury in India operated in five.
 COMPANY PROFILE

 Name of industry: Confectionery

 Head Office: Uxbridge, United Kingdom
 Establish Year: 1824, Birmingham, United Kingdom
 Brand Name: Cadbury
 Competitors: Mars, Nestle, Kraft Foods, Dove
 Chairman: Dirk Van de Put,
products
MISSION

“Cadbury’s mission statement says simply:”Cadbury means quality.’

VISION

The barrow Cadbury trust’s vision is of a peaceful, equitable society, free from,
Discrimination and based on the principal of social justice for all.

OBJECTIVE

 To make lots of chocolate

 Improve the quality of their chocolate
 To survive in the market.
 Management Accounting

(Subject Code: 4519201)

(Common size Income statement)

 2019 2020

Income

Sales Turnover 2,045.08 1,751.24

Excise Duty 110.71 162.65

Net Sales 1,934.37 1,588.59

Other Income 12.67 25.07

Stock Adjustments -16.28 51.32

Total Income 1,930.76 1,664.98

Expenditure

Raw Materials 832.28 732.53

Power & Fuel Cost 37.25 29.70

Employee Cost 150.62 130.22

Other Manufacturing Expenses 6.52 96.01

Selling and Admin Expenses 0.00 2.45

Miscellaneous Expenses 624.19 430.46

Total Expenses 1,650.86 1,421.37

Dec '17 Dec '18

12 months 12 months

Operating Profit 267.23 218.54

PBDIT 279.90 243.61

 Interest 1.72 5.20

PBDT 278.18 238.41

Depreciation 43.83

Profit Before Tax 234.35 201.89

 Common size income Statement as at 31st December, 2019 and 2020

Particulars Absolute Absolute Percentage of Net Percentage of Net

Amounts amounts Sales Sale

Amount Rs 2019 Amt Rs 2020 Amt Rs 2019 Amt Rs 2020

Net sale(A) 1934.37 1588.59 100% 100%

Less: operating
expenses
Raw material 832.28 732.53 43.026% 43.0225
Power and fuel cost 37.25 29.70 1.9256% 1.9256
Employee cost 150.62 130.22 7.7865% 8.1972
Manufacturing cost 6.52 96.01 0.3370% 0.3370
Selling and Admin 0.00 2.45 0.1542
Expenses
Miscellaneous 624.19 430.46 32.2683% 27.0969
Expenses
Total 1650.86 1421.37 85.2990% 89.4736
operating
Expenses(B)
Operating profit (A- 283.51 167.22 14.6564% 10.5263
B)
Add Non operating 12.67 25.07 0.6549% 1.5781
income
Total Income 1930.76 1664.98 99.8133% 104.80
Net profit before tax 234.35 201.89 12.1150% 12.708
Less Income tax 45.73 36.11 2.3640% 2.2730
Net Income tax after 188.62 165.78 9.7509% 10.436
tax
Economics for Manager

(EFM) (Subject Code:

4519202) Topic: Sift and

Demand Curve
SHIFTS IN DEMAND CURVE

The demand curve for product shows how much product people
buy at any given price, holding constant the many other factors
beyond price that influence customers buying decision. As a result,
this demand curve need not be stable over time. if something happens
to alter the quantity demanded at any given price, the demand curve
shifts.

There are many variables affecting demand of Cadbury

products. That are mentioned below:

(1) Price
This product is a brand loyal product, so if there is a slight increase in
the price, the demand of the product will remain unaffected. But if
there is a decrease in the price, the demand of product may slightly
increase

(2) Income
if the income of the people increase, the demand of the product
also increases and if the income of the people decrease, the demand
of the product decreases because then people will go for lower
price chocolate like éclair or melody of rs.1 or rs.2.so, there is a
positive relationship between income and the product demand.
(3) Brand image
The brand image of the Cadbury plays an important roll in the
demand of the Cadbury. This product has built such a brand image
that if has much attracted the mind of the consumers so they will
not like to switch over to the other brand.

(4) Consumer’s taste and preferences:

Cadbury produced milk chocolates by using the high quality of
cocoa bean and the taste has still remained the same which has
touched the heart of the consumers .so, they will not like to go for
any other product.

(5) Competition (price of related goods):

There many competitors like, nestle kit-kat,parle chocos ,foreign
chocolates (chinese chocolates) lotee etc. in the market so if the
price of the competitors increases, the demand of the dairy milk
also increases. but if the price of the competitors’ decrease, the
demand of the dairy milks not much affected by it.

(6) Advertisement campaign:

Advertisement campaign has played a vital role in attracting the
major part of the population towards the Cadbury dairy milk. It
was through thus campaign like “ Real Test of Life” & “kuch
Meetha
Ho Jaye” That Cadbury shifted its focus from kids to all age people
and later through

“ Khanewalon Ko Khane Ka Bahana Chahiye’’ cadbury has

associated dairy milk to celebrations and every moment of
achievement
And success.so, it is through advertisement that cadbury has gained
social acceptance which has played a major role in increasing
demand.
Managerial Communication (MC)

(Subject Code: 4519203)

Topic: Communication Process

Communication Theory

Communication theory is a field of information theory and mathematics that studies

the technical process of information, as well as a field of psychology, sociology,
semiotics and anthropology studying interpersonal communication and
intrapersonal communication.

Persuasive Communication Theory

Persuasion Theory is a mass communication theory that deals with messages

aimed at subtly changing the attitudes of receivers. ... In this
perspective, persuasive messages are thus able to activate an attitude change that
can modify behaviors of consumers, voters and individuals in general.

Communication Objective

Through the ad, they wanted to convey the message that there is child in
each one of us and they wanted to appeal to that child, since children loved
eating chocolates, the ad was meant to create a particular image in the eyes
of the customer and successfully communicate what the product conveyed.
It appealed to the child in every adult and Cadbury dairy milk became the
perfect expression of “spontaneity “and “shared good feelings “ in every
adult there is a child let that child express itself give in to temptation and
satisfy his or her desire to sink teeth into a smooth creamy delicious
chocolate. This approach to be unique to Cadbury.

What was communicated-?

The real taste of life was launched in the 1990s. it was an attempt to
capture the child-like spontaneity in every adult. From the depiction of an
old man offering his wife a Dairy Milk chocolate to the dancing girl in
crowded stadium, it all reflected the impulsiveness and the spontaneity of the
child in adult

Why they communicated-

 They wanted to re-create the image of a child in eyes of the adults,
remind them of their childhood and simulate them to buy chocolate them to
buy chocolate so as to make them remember the childhood days.
 What was achieved-
A change in consumer mind-set that chocolates were mostly for kids and
young People. Through the campaign, adults realized they could and should
enjoy chocolates as well.

“ Kuch Achha ho Jaaye – Kuch Meethaa ho Jaaye”-

Communication Objective-
The ad was meant to portray Cadbury as something which can be had on all
celebratory occasions. It projected chocolates as a substitute to mithai and
cheered people to have chocolate on every joyous occasion.

What was communicate- The basic depiction was that the ad

showed that chocolate can be showed as being enjoyed during Diwali and
any other celebratory occasions.
What they communicated- The idea was mainly to develop
preferences among people for chocolates to sweets and simulate the demand
for chocolates in festive and joyous occasions.
What was achieved- Depiction of chocolate as a substitute to\ sweet
and the fact that it can be enjoyed in joyous occasions too
 “ Shubh Aarambh ”

Communication Objective- Through the ad, it was aimed at widening

the chocolate consumption among the masses and making sure the product
reached a wider group of propel, based on age, gender etc.

What was communicated- The ad reflected the fact that Cadbury could
be available and eaten by all groups of people. In the ad, an elderly lady,
middle- aged man, newly married bride, young guy and a child are all seen
enjoying Cadbury, which showed that all people, irrespective of their gender
and age could enjoy

Why they communicated- The ad was meant to stimulate purchase

intentions and enable the reach of Cadbury to wider audience.

What was achieved- A widening of audience, which meant a wider

market for the product.
Organizational Behavior (OB)

(Subject Code: 4519204)

Topic: Project Vishwas

 INTRODUCTION TO CASE

Cadbury is a brand which almost everyone known’s. Even after

completion of more than 100 years, the brand is into hearts of many people
& it also leaves a significant mark amidst all the the competition. Cadbury
stands tall in food product sector. Cadbury is word’s leader in chocolates and
it is also one of the topmost FMCG brands in India. Cadbury decided to
enter Indian market in 1948.cadbury India began its operations in India by
importing chocolates. On 19th July 1948 Cadbury was incorporated in India.
Cadbury has a share of over 67% in the market, which is the highest
Cadbury brand share globally. Cadbury now has 5 manufacturing units all
over India. Cadbury operates in India with following categories of products:
chocolates
,confectionery,beverages,biscuits and candy. Cadbury was performing very
well since its incorporation in india. But, suddenly in 2003 Cadbury came
across a problem of worms.

In 2003, just a month before diwali few instances of worms in its dairy
milk bars were reported in Maharashtra. In eight outlets across maharatra
worms were found. In October 2003,customers in Mumbai complained about
finding worms in Cadbury dairy milk bars
 Problems faced by cadbury:
When these worms were found in some of the dairy milk bars,
maharashtra food and drugs administration responed quickly to this case and
it seized the stocks of chocolate bars which were manufactured in Cadbury’s
pune plant.

Cadbury in defense issued a statement where it mentioned that problems of

worms was not at the manufacturing stage but the problem arose due to poor
storage facility by the retailers.

FAD denied the statement made by cadbury.FDA commissioner uttam

khobragade came up with a statement saying “it was not at the storage level,
but then what about the packing – packaging was not proper or airtight,
either ways it’s a manufacturing defect with unhygienic conditions or
improper packaging.”

Then there were many allegations and counter allegations between Cadbury
and FDA. Due to this event reputation of Cadbury was hampered. Cadbury
sales went down by 30% which they had expected to increase by 15% due to
negative publicity
 Project vishwas.
Cadbury was losing on its sales and also reputation was being hampered..so,
reconverting from this type of situation was a challenge for Cadbury. In the
month of october only Cadbury launched public relation (PR) campaign
“vishwas” which was an education initiative covering 1,90,000 retailers in
key states.

Project Vishwas a three – pronged program that addressed the trade,

consumers, media and employees. The project incorporated the following
measures:

For Trade
A retail monitoring and education program was launched in which quality
checks at over 50,000
retail outlets and educated 190,000 wholesalers and retailers was done
regarding storage requirements.
A press and regarding ‘Facts about Cadbury ‘were also published by Cadbury
nationally in 55 trade

Publications which were about channel members taking remedial measures in

the company.
Posters and leaflets on the issue were also distributed to retailers, encouraging
them to share them
With consumers.
Cadbury also linked the trade with response cell through a toll-free number and
an email id to let
Them with customers.
 Cadbury also linked the trade with response cell through a toll-free
number and an email id to let them contact the company directly.
 For media
 The point-of-view of a company was explained to media, media was also
given updates about actions initiated by the company and encouraged to
share them with consumers.
The company instituted a media desk and diligently answered
every query, friendly or not. The company’s managing director urged
media to assure consumers that Cadbury was safe to eat, but that
consumers exercise the usual care in purchasing chocolate that they
exercise in purchasing a food item.

Furthermore, it also promised to implement packing changes

within two months to ensure against poor storage. Cadbury’s MD and key
spokespersons had one-to-one sessions with 31 media editors as part of
an”OUTEACH” program initiated in November 2003.
 CHANGE IN PACKAGING:
January 2004, the company launched a new double packaging
that was able to wrap even the smallest 13 gm chocolate in an
aluminum foil, heat-sealed for complete protection from all sides
and further encased in a poly flow pack, The over-engineered pack,
the first of its kind in India, cost a lot to a company, but fulfilled
the company’s promise to consumers and media. By investing up
to Rs 15 crore (Rs 150 millon) on imported machinery, Cadbury’s
revamped the packaging of Dairy Milk. The metallic poly-flow
was costlier by 10-15 per cent, but Cadbury didn’t hike the pack
price.

The new packaging was launched in a media conference. In a

conference. In a conference comparison kits were distributed.
These kits were useful in comparing old packs and new packs. A
video with packaging and factory shots for television coverage was
also launched.

AD CAMPAIGN:

Just after changing packaging Cadbury roped in Amithabh Bachchan as

brand ambassador. From the month January to March 2004, Cadbury came
uo with a strong Ad campaign which helped them to get back the consumer
confidence . During this period Advertising expenses went up by 15% but it
really helped Cadbury to get back its reputation.
 After that Incident Cadbury now takes great care of all the product they
have. Cadbury is currently leading the market in chocolates segment. market
share of the Cadbury dairy milk is around 35% in India. Cadbury has not
faced any controversy related to product after that incident.
 Business Ethics

&

Corporate Governance (BE & CG)

(Subject Code: 4519205)

Topic: Value System And Stakeholder

VALUE SYSTEM AND STAKEHOLDERS

Values are the basic conviction that give us a since of right and wrong, good
and bad.
Thus values form the basic of ethical behavior.

A coherent set of values adopted and/or evolved by a person, organization, or

society as a standard to guide its behavior in preferences in all situation.
 Stakeholder of an organization

Stakeholder are group of people who are directly interested in the activities of the
business. Different stakeholder of an organization are shown in the picture.
Meeting the objectives of its stakeholders
Cadbury is one of the world’s largest confectionary manufactures.
Cadbury believes that good ethics and good business go together
naturally to produce the best long term results for all the stakeholder
under.

 Employees

Cadbury identifies the abilities of its employees and then these

abilities are further enhanced and developed by offering on-the-job
assignments, executive education and coaching. Part of Cadbury’s
responsibility is to identify the training needs of his or her direct
reports, match those needs to training and development opportunities
and ensure that learning is transferred back into the workplace.

 consumers

Cadbury is providing high quality, tasty products with reasonable

prices and it also deals directly with consumers and has significant
resources in the business so to respond to customer’s complaints and
questions.

 Supplier

Cadbury is giving regular orders for purshase of goods, dealing on fair

terms and conditions, availing reasonable credit period and timely
payments of dues.
  Government

Cadbury is setting up units as per guidelines of government. Paying

fees, duties and taxes regularly as well as honestly. Not to indulge in
monopolistic and restrictive trade practices, conforming to pollution
control norms set up by the government and not to indulge in
corruption through bribing and other unlawful activities.

 Community

Cadbury’s purple goes green project was launched back in july 2007
setting a vision for the company to deal with change in climate. What
they did was they intended to minimize global environmental
footprints by reducing excess packaging, energy use and managing
water use.

1. 50% reduction in our absolute carbon emissions.

2. 10% decline in packaging of product and a more stretch of 25% for gift
and seasonal ranges. We will also aim for 60% biodegradable packaging.
3. 100% “water scarce” sites will have water reduction programs in place
Management Information Systems (MIS)

(Subject Code: 4519206)

Topic: Value chain model

 Value Chain Model

 Views firm as series of activities that add value to product

or servicesUtilize benchmarking, industry best practices

suppliers
suppliers firm custo
ors -mer
distributes

 Utilize benchmarking,indusry best practice

To relate your value chain to the value chains of other partners in the process.
for instance, if you are amazon.com ,you want to build systems that:
 make it easy for customers to pay for goods
 Develop systems that coordinate the shipment of goods to customers.
 make it easy for suppliers to display goods and open stores on the
Amazon site.
 Develop shipmen tracking systems for customers

Value chain analysis describes the activities that take place in a business and
related them to an analysis of the competitive strength of the business.
Influential work by michael porter suggested that the activities of a business
could be grouped under two headings:

(1) Primary activities- those that are directly concerned with creating and
delivering a product (e.g. component assembly); and

(2) Support activities- which whilst they are not directly involved in
production, may increase effectiveness or efficiency (e.g. human resource
management). It is rare for a business to undertake all primary and support
activities.
Value chain analysis is one way of identifying which activities are best
provided by other (“out sourced”)

Linking value chain analysis to competitive advantage

What activities a business undertakes is directly linked to

achieving competitive advantage. For example ,a business which
wishes to outperform its competitors through differentiating
itself through higher quality will have to perform its value chain
activities better than the opposition. By contrast, a reduction in
the costs associated with the value chain activities , or a
reduction in the total amount of resources used.

Primary activities
Primary value chain activities include:

Primary activity description inbound logistics all those activities

concerned with receiving and storing externally sourced materials
operations the manufacture of products and services the way in which
resource inputs (e. g.products ) outbound logistics all those activities
associated with getting finished goods & services to buyers marketing
and sales essentially an information activity-informing buyers and
consumers about products and services (benefits, use, price etc.)
service all those activities associated…continue reading please join
study mode to read the full document
 You may also find these documents helpful value chain analysis
by ovidijus jurevicius|25.4.2013 definition ‘’value chain analysis
(vca)is a process where a firm identifies its primary and support
activities that add value to its final product and then analyze these
activities to reduce costs or increase differentiation.” Value chain
represents the internal.
Business statistics
 Poisson distribution

Introduction
The poison distribution is discrete distribution. The poison disrbution
focuses only on the number of discrete occurrences over some
interval or continuum. The Poisson distribution describes the
occurrence of rare events. The Poisson formula has been refered to
as the law of improbable events.
The Poisson distribution often is used to describe the number of
random arrivals per some time interval. Each occurrence is
independent of the other occurrences. The occurrences in each
interval can range from zero to infinity. the expected number of
occurrences must hold constant throughout the experiment.

Poisson formula

x -y
P(X)= λ e
X!

Where X=0,1,2,3,4,……e=2.71828= long run average

Step 1: in the step we have entered the value of mean i.e. 2,5,0.7 and
2.9
Step 2: in the second step the value of p(x) i.e, the value of the
occurrence of rare events is inserted.
Step 3: a step which the Poisson distribution function, from which
the Poisson distribution for each rare event is calculated.
Step 4: Finally all the value of rare occurrence are found out

(Paresh Shah, Mankiw, Stephen P. Robbins, & Ken Black) (Paresh Shah, Mankiw, Stephen P.
Robbins, & Ken Black)
 SWOT ANALYSIS
Below are the Strengths in the SWOT Analysis of Cadbury:
1. Cadbury has a high brand equity and top of the mind chocolate
brand
2. Strong brand recall and customer loyalty among Cadbury's
customers
3. An employee strength of around 70,000
4. Strong parent brand of Kraft Foods gives a strong backing
5. Cadbury has had very successful marketing and advertising
Cadbury Strengths
campaigns
6. A wide variety of products on offer
7. Strong R&D and innovation in chocolates
8. Cadbury is a trusted and premium quality brand
9. Strong distribution network and operations in US, UK, India,
Australia and a few other countries
10. Cadbury' Dairy Milk is one of the most famous and widely sold
brand

Here are the weaknesses in the Cadbury SWOT Analysis:

1. A few controversies regarding advertising, worms etc made
Cadbury Weaknesses
international news
2. A few instances of product recall hampered Cadbury's brand image

Following are the Opportunities in Cadbury SWOT Analysis:

1. Cadbury can increase reach in rural markets
Cadbury
2. Increase its reach and penetration in untapped markets
Opportunities
3. Acquiring competition can boost the market dominance of Cadbury
4. Diversification of product range into related food segments

The threats in the SWOT Analysis of Cadbury are as mentioned:

1. Health consciousness amongst people can reduce intake of
chocolates
Cadbury Threats 2. Increase in cost of raw material
3. Inflation can cause reduction in sales
4. Higher competition form international and local chocolate brands
can affect Cadbury's market share
Bibliography
Paresh Shah, Mankiw, Stephen P. Robbins, & Ken Black. (n.d.). Accounting for Managers,
Economics Principal And Applications, Organizational Behaviour, Business Statistics .