ASSIGNMENT II : MARKETING MANAGEMENT CONCEPT IN

MICRO FINISH ENGINEERING CO.

Introduction : MICRO FINISH ENGINEERING CO.

Having strong belief in transparent business dealings and complete satisfaction of

customers, Micro Finish Engineering Co., today is known as one of the leading
manufacturers and suppliers of Heat Transfer Equipment. Our wide range of
Heat Transfer Equipment includes Shell & Tube heat exchangers such as Chillers,
Condensers, oil cooler. Our product range includes Single Skin Air Handling
Units, Double Skin Air Handing Units, Fan Coil Units, Centrifugal Fans,
Cooling Coils, Shell & Tube after cooler, and many more.

Our company is registered as SSI unit and has great reputation among customers for
offering them high performing equipment. These equipment are designed and developed
keeping in mind diversified requirements of clients, which helps us satisfy them
successfully. To offer complete satisfaction to our valued clients - has been our mission
since the establishment, which is vital for success in any business. Through our versatile
engineering services and world class products, we strive to meet their distinct
requirements within committed time frame.

1. Marketing :
 MICRO FINISH ENGINEERING CO. from the very beginning identified the
need of heating and cooling solutions for different process houses in chemical,
pharmaceutical, Petro-chemical and HVAC industries. In order to meet the
requirement of these industries.
 MICRO FINISH ENGINEERING CO. entered in to the marketing of :
1. Goods : Manufacturing & Supply of heat Exchangers, HVAC Equipments.
2. Services : Design and Consultation services pertaining to selection of right
equipments in order to solve the Heating and Cooling problems.
3. Information : Basic process Knowledge about these equipments are provided to
the client through published literature.

2. Market :
 MICRO FINISH ENGINEERING CO. is operating in Business Market.
 MFE is a part of HVAC industry catering its products and services to various
industries such as Chemical, Pharmaceutical, Petro-Chemical & Real Estate.
 Classifying further Market Buyers, MFE is offering its products to Private
Industry Organizations and Government Organizations.

3. Marketing Concepts of MFE :

(i) Relationship Marketing :- For over the years, MFE has successfully
maintained its relationships with OEM clients and End Users clients by
constantly monitoring certain issues pertaining to client as below :
(a) Total Customer Satisfaction.
(b) Monitoring Customer Satisfaction by reviewing the performance of Product &
Services periodically.
(c) Solving Customer Complaints with promptness and as quickly as possible.
(d) Providing Best possible Product and Service Quality.
(e) Interactions with customer at Regular Interval.
(f) Reducing the rate of customer defection.
(g) Increasing the longevity of the customer Relationship by offering new variants &
design of products to the existing customers.
(h) Enhancing the growth potential of each customer by involving our technical
members in solving their technical problems pertaining to our equipments.

Thus by addressing these issues, MFE has effectively maintained relationship with
customers which over a period of time have been converted into Loyal customers.

(ii) Integrated Marketing :- MFE has always emphasized on increasing its

customer base i.e. acquiring new customers and increasing business from
loyal customers by following certain strategies :
(A) Product Strategy : Strategies followed by MFE in designing and offering of
products is as mentioned below :
 Customization of each product according to the requirement of customers i.e.
Design, manufacturing process, material selection, painting and packaging of
equipments are done as per the specifications of the customers.
 Manufacturing facilities are upgraded to suit the requirement of vendor approval
criteria of clients.
 Products such as Heat Exchangers & AHU are designed to give superior
performance quality.
 Backed up with our strong R&D centre, MFE has developed some variants of
Heat Exchangers which have replaced the existing one and thus, has caused
preference of MFE among customers as an innovative company.
 Thus, MFE has always maintained Differentiation in its product offering by
customizing features and conformance quality according to client i.e. Heat
exchanger offer made to clients with inspection agency such as “EIL” will be
totally different than others.
 MFE is more preferred by clients as it provides complete cooling solutions by
offering various product mixes from Heat Exchangers to Air Handling Unit &
Air Conditioning Plant (i.e. from water cooling to air cooling).
 MFE has also extended its product line of Heat Exchangers by creating its niche
products such as water chiller, condenser, air cooled heat exchanger, oil cooler
and many more.
 MFE has also followed Line filling strategy by offering new variants in the field
of Heat Exchangers such as Plate fin tube type Heat Exchanger & Removal tube
Heat Exchanger.
 As an assurance of its products, MFE offers warranty on its products for any
mechanical defects or faulty workmanship for a period of 12 months from the
date of commissioning or 18 months from the date of supply, whichever is earlier.
(B) Price Strategy :
 MFE is following different pricing strategies for its different product categories
such as :
(i) Market Penetration Pricing for products such as condenser, chiller, oil cooler,
Air Handling unit which are in their mature stage of their life cycle.
(j) Maximum Market Skimming strategy for its newly introduced products such as
corrugated tubes, Plate Fin tube type Heat Exchanger.
 Market & Product categories in which MFE operates is less price elastic as it is
driven by stated needs of business customer which are specific & precise.
 MFE has always followed MARKUP PRICING for most of its products.
 MFE has always followed PRICE DISCRIMINATION & Customer Segment
Pricing for its various products. Eg. : It charges two different price for different
group of customer for the same product such as chiller, condenser, etc. It also
offers discounts for customers who buy products such as oil cooler who buy the
same in quantity & at regular interval of time.

(C) Place Strategy :

 MFE has adopted different Channel strategies for different geographic locations
which are as mentioned as below :
• It has followed 0- level channel for regions in Gujarat and around Maharashtra,
M.P. & Rajasthan.
• It is following Second level channel (via representative) for supplying its
products in South India & North India. Here, the representative are themselves
dealers of other companies along with MFE, hence channeling cost is minimum
as dealer gets paid for the products being sold.
• MFE has always preferred direct marketing channels more than “Indirect “
channels. MFE has approached direct sales force for regions in West India, while
approached representatives in South India and North India for economic
Considerations.
• MFE has also started marketing on Internet by registering itself with Business to
Business Portals such as Trade India and India Mart. Hence, MFE has increased
its visibility all over India and Globally also.

(D) Promotion Strategy :

 In B2B business in which MFE is dealing, promotion of product is based on
technical aspects and benefits derived from it.
 Hence, MFE had always placed advertisement with messages communicating
benefits derived from the technical aspects in technical magazines pertaining to
industries in which MFE is operating e.g. Cooling India, ISHRAE, Chemical
Weekly, etc.
 MFE has also promoted itself by participating in Technical Exhibition show such
as COMFEX, ACREX, etc, there by enhancing its direct marketing contact with
customers in their respective industry.

(iii) Internal Marketing :

 In MFE, there is generally alignment of every department i.e. purchase,
production, Design, Marketing & Sales with each other in understanding &
supporting each other to create & communicate customer value.
 Here, Design Department communicates with customers regarding their particular
requirement in products directly or via marketing people.
 Quality department takes care of necessary quality requirements of customers
during production stage of equipment by communicating & taking inspection
along with client at each stage of equipment. Hence, Creating a Value and
Customer Satisfaction in terms of Quality & Production.
 Purchase department selects the best supplier, which in order contributes to
Production & Quality department in creating more value.
 Marketing & Sales Personals communicate this value to customers and also
customers feel this value when they actually inspect and purchase these
equipments.
 Also, MFE provides great after sales services to its customers, thereby creating a
good customer Experience of ours.
 Thus, Integration of all departments has helped MFE to enhance its efforts of
marketing and customer value creation.

(iv) Performance Marketing :-

 Here, In MFE, all the marketing Activities are evaluated in terms of increase in
sales, sales revenue, customer base, loyalty and with other parameters. Based on
evaluation periodically, changes in marketing strategies are planned for further
action.
 MFE is carrying out social responsibility programs by involving itself and clients
in helping social organizations to an extent financially. Hence, it has been
following this “Societal Marketing” concepts over the years. Eg : If there has
been any social organization working for children or old age people, then we
usually help them financially and also promote them with clients also, so that they
get extra benefits.