Prospects and Challenges of Rural Marketing in India

3908 WordsJul 9, 201216 Pages
“PROSPECTS AND CHALLENGES FOR ENTERING INTO RURAL MARKET WITH SPECIAL REFERENCE TO HUL AND ITC” By Mrs. Madhulika Dutta Mrs. Megha Bhatia Assistant Professor Sr.Lecturer Department of Management Studies Department of Management Studies Institute of Foreign Trade and Management Institute of Foreign Trade and Management E-mail- E-mail-…show more content…
Buying behavior of the rural consumer is subservient to varied factors and is different from urban consumers in many ways. Firstly majority of rural consumers stay in a joint family and most of the purchase decisions are taken by elders. Secondly lack of knowledge of product usage by semi literate population hinders market penetration, like Lux soap being used in rural areas for washing hair. Thirdly and the biggest challenge in rural markets, other than resources and economic condition, is the traditional mindset to buy things which are according to their cultural setup. Fourthly, being a closely knit community, opinion-leadership plays a very important role in purchase decisions in rural areas, making publicity through advertisement almost redundant. Sarpanch is one such opinion leader who can influence rural consumer's purchase decision. Idea Telecom Company has used Abhishek Bacchan in one of the advertisements shown as a sarpanch just to have a positive appeal among the rural customers. OBJECTIVE OF THE STUDY Every research is undertaken with
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