CHAPTER - 1

Introduction

1.1 Background of the Fieldwork Report

Nepal is the developing country. More than 80% of the economically active
people depended on agriculture for their life hood. Traditional agriculture system
is the main causes of the last developed. The prospects, for over all economic
development will be brighter only in the present structure, can be gradually
transformed through the process of industrialization. Industrial development can
play highly meaningful role in replacing unemployment and substitutions and
imports through increasing domestic productions and improving in the balance of
payment situation in favor of the country.
With in decades, production of the noodles are highly increased in Nepal. In
this sometime. Many private companies were established in Nepalese market. The
market for consumer product has been changing into the more competition due to
the increase in large number of manufactures. In the case of noodles market in
Nepal. There are many companies such as Nepal thai food industries, Everest
noodles industries, multi food industries, Gandaki noodles industries etc. They
product different types or brands of noodles such as Mayos, RumPum, WaiWai,
MinMin, 2P.M. etc. It will makes a good contribute in national revenue in future.
At last the purpose of the study is to test the marketing variable of instant
noodles to analyze them and to provide some possible suggestions to get success in
marketing.

1.2 Marketing and Marketing Environment

Marketing is not new words for us. In general marketing means only buying
and selling activities or marketing is the performance of business activities that
direct the flow of goods and services from producer to consumer or user but in
actual marketing means before production and after sales services of all activities.
There fore marketing is a system of business activities design to plan to price
promote to distribute want satisfied goods and services to present and potential
consumers or individual user.
Marketing environment refers to various factors affecting the marketing
process. Micro environment and Macro environment.
The micro environment is the set of forces that affects the presence of a
company under consideration in the market the main element of micro
environment are the company customer, supplier competition, mediator and public.
The macro environment also affects the presence of the company in the
market. It effects are broad and these affect all the market area. The macro
environment is beyond the control of the company and has many strands like
Economic, Socio-cultural, Demographic, Political and legal, Technological,
Natural environment.

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1.3 Noodles
It takes very little time to prepare and can be use as fried or boiled or can be
eaten as it is. It is long thin strip made of flour and water, or flour and egg paste
and it can be used in soup with sources. In Nepal it called "Chaw Chaw" and taken
'Khaja'. But it is consumed as a meal in Italy, China and other countries. It can be
taken in several ways such as chawmein, fry chawmein, Thukpa with caution of
egg, chilly, meat, cauli-flower, tomato, tomato, Venice onion, garlic, salt etc. Pre
cooked ready made noodles can be consume straightly from the packet too.
General noodles in made out of wheat flour, vegetable oil ghee, egg,
chicken, salt, breaking powder, garlic, herbs and chemicals. A now a days noodle
has become popular food and it has increased in demand. The reason for its ever
increasing consumption may be attributed to its easy availability preparation and
consumption that 10,000 tone noodles are manufactured annually in Nepal.
Various brands and types of noodles are available in Nepalese market like
RumPum, Mayos, 2Pm, Aaha, MinMin, GolMal, Lekali, RaRa and WaiWai etc.

1.3.1 Types of Noodles

We can categorize it is in two types of noodles.
a) Plain noodles
b) Instant noodles

a) Plain noodles:
This types of noodles is in unprepared condition and it takes more
time to prepare. This noodles is cheaper price in comparison than instant noodles.
Thus restaurant mostly use these noodles. It requires curry, tomato, egg or meat,
Cabbage to make ready and make tasteful.
There are more than six dozens of plain noodles produced in Nepal. They
are preferable form the view cheaper price. Some popular plain noodles in
Nepalese market udyog, anmol foods product etc.

b) Instant noodles:
This is verity of noodles which is half readymade in its nature. It
takes very little time to prepare. So, it is called instant noodles. It can be use as
boiled or fried or without cooking. This noodle is costly high than plain noodles,
but people prefer these noodles due to the time factor. We do not require or
mixture to make it ready. To make ready, noodles are boiled for two minutes and
mixtures are added to make it tasty.
Instant noodles are common junk food which can be eaten straight from the
pocket any time any where. In Nepalese society it is taken as 'Khaja' although
some time it is used in place of meal. Trekkers and mountaineers take it as meal
while trekking or expedition. This type of noodle is more popular in Nepalese
market because of its taste easiness to prepare in short time, ready made nature.
About 2 dozen brand of instant noodles are available in Nepalese market like 2
PM, RumPum, Mayos, WaiWai, MinMin, YumYum, RaRa, Aaha etc. They can be
categorized in three types as follows :

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 (i) According to brands:
• Domestic brand : Rara, Aaha, Hurray etc
• Foregn brand : Mayos, YumYum, WaiWai etc.
(ii) According to soup base :
• Chicken flavored : RumRum, Rara, MinMin
• Vegetable flavored : RumPum, WaiWai
(iii) According to include spice:
• Season noodles : Aaha, Big MiMi, MinMin etc.
• Snack noodles : Hurry, MiMi etc.

1.3.2 Objectives of Fieldwork Report

• To understand the attribute of people towards brands on Geetanagar.
• To prepare the consumer opinion about quality, price, test, distribution
system, packaging, promotion, awareness etc.
• To analysis the sales of different brands of instant noodles.
• To identify the marketing strategy should be adopted by different
noodles.
Every study must have the characteristics of limitations. The following are
the major limitation of the study.
a) This study will be limited to urban area of Geetanagar.
b) Only the popular instant noodles should in Geetanagar are selected
such as WaiWai, RumPum, Mayos, MinMin, GolMol etc.

1.4 Organization of the Study

a) Introduction
b) The Research Methodology
c) Data Presentation and Analysis
d) Summary, Conclusion and Recommendation
This chapter mainly gives a brief picture of what is going to
be studied why the study is important and what the study is going to see.
In research methodology chapter, methodology employed in the
present study is described. It described about how the study being prepare,
what data collected, what types of sources are used for the data collection, how
these data are processed to fulfill the needs of the study.
The chapter of analysis and presentation of data deals with the issues
identified in the introduction and the last chapter is summary, conclusion and
recommendation. In the summary this presented study is discussed briefly and
conclusions are derived from analysis of the data on the basis of the study
suggestions will be made in this chapter.

1.5 Review of Study

In generally market means the meeting point and buyer and sellers. It
is the place or area where buyer and seller meet together. It consists of all
existing and potential customers. They should have needs and wants to satisfy.

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 They should have money to spend. They should willingness to spend through
exchange relationships.
Marketing activities are part of every day life. This is the age of
marketing. All types of organizational need marketing to achieve their goods
marketing has gained a great deal of strategic importance in modern
organization.
According to W.J. Stanton - "Marketing is a total system of business
activities designed to plan, price, promote and distribute wants satisfying
products, services and ideas to target markets in order to achieves
organizational objectives."
"Marketing refers to anybody or persons who are in intimate business and
carry on intensive transactions in any commodity."
- Jevons
"Marketing is the performance of activities that seek to accomplish
on organizations objectives by anticipating customer or client needs and
directing a flow of need satisfying goods and services from producer to
customer or client."
- E.Jerome Mc carthy

1.6 Brief Introduction of Sample Noodle Companies

Himalayan snack and Noodles (Pvt.) Ltd. was established 3 years ago. But it
started its operations from October 21st 2000. It's authorized capital of Rs. 20
cores and it s a large private sector company that has used modern Thai
machine which produces 4000 cases per hour. The approved production
capacity of company is 450,000 cases. It head office is located at Bijuli Bazaar,
Kathmandu and factory at Banepa. The major objection of company is to be the
market leader in Noodles. The product quality noodles to fulfill its social
responsibility etc.
The general food industries has been servicing the marketing by producing the
instant noodles 'YumYum'. It was establish in 2045 (B.S) under the company
Act 1964. At the establishment the authorized capital was Rs. 10 cores and 50
lakhs. But its present authorized capital has reached Rs. 15 cores. General food
industry is situated in chitwan, Tandi and head office is located at Kupandol,
Lalitpur, however it distributes it products nation wide through twenty-three
dealers. The objectives of general food industries includes the following : To
products of quality noodles, to play dominant role in import substitution by
increasing production of noodles etc.
The leader brand of instant noodles "WaiWai" manufacturer company, Thai
foods (Pvt.) Ltd. was established in 2041 B.S. with the authorized capital Rs.
90 million. It is situated in Dumkauli Nawalparasi. The company started its
productions from 2042. It head office is located at Sanepa, Lalitpur. The major
objectives of Nepal Thai foods (Pvt.) Ltd. are to produce high quality noodles
to generate employment in the country etc.
Everest noodles industries (Pvt.) Ltd. produce one of the popular brand instant
noodles 'Aaha'. It had been established as one of the private enterprises with the
authorized capital Rs. 60,00,000. The head office of the company is located at

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Kupandol and factory of the company is situated in Koshi district. The major
objectives of the company is to produce snack and to distribute different types
of noodles.

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 CHAPTER - 2

Research Methodology

Research methodology is the way of solving systematically about research

problem. The search methodology is followed to achieve the basis objectives and
goals of this research work. The major contents of research methodology followed
in course of this study are as follows:

2.1 Research Design

The study is design as exploratory in nature. In this two types of consumer
samples attitude have been evaluate. Hence, for this only questionnaire data are
used. The attitude data for instant noodles in Geetanagar Bazaar are collected on
the basis of non disguised and structured questionnaire technique.

2.2 Nature and Source of Data

On the field of research analysis, to obtain the objectives of this study,
primary data have been used because they are the first study on the marketing of
noodles in Geetanagar. Some secondary data have been also used for the purpose
of study. Most information collected from the primary source through the
questionnaires, and oral conversation with concerned dealers, wholesalers and
consumers. The questionnaires were distributed to the consumers and wholesalers
of chitwan, for the collect of necessary information.

2.3 Population
The population of the study is all buyers and sellers of the instant noodles in
Geetanagar area. They have different academic background, income level, sex age
and professions. The population represents the resident of Geetanagar and visitors
also.

2.4 Sampling
The target population of this study is very large. It is almost impossible to
include the whole population in the study so, out of these population only 100
customers and 10 dealer or wholesalers have been taken from different urban
areas, and the method used for this study is judgmental sampling is that population
under study is very large time and resources constraints have compelled the
researcher to adopt judgmental sampling method.

2.5 Data Collection Procedure

For the purpose of collection data from consumers are set of trucked
questionnaires were developed. The questionnaires were most carefully designed
to support all the objectives of this research and subjective closed and opened

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questions were included in questionnaires. Sample of the questionnaires are
presented in the appendix no. (i).
Altogether 100 questionnaire for consumers and 10 questionnaires for
dealer or wholesaler were distributed and all of them were collected. In the process
of the data collection the research was also in touch with the responsible officers of
different brands of noodles companies.

2.6 Data Processing and Analysis Techniques

All the questionnaires were distributed and collected by the researcher
himself so there was not any delay in every questionnaire was thoroughly checked
after the collection of the questionnaires distributed. All the questionnaires
distributed. All the questionnaires were found correct in the style of filling.
All the analysis is made on the basis of the data as presented in the master
table data is analyzed both descriptively, and statistically. For statistical analysis
required tools such as percentage, various graphs diagrams, multiple diagram etc.
are adopted.

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 CHAPTER - 3
Data Presentation and Analysis
This chapter incorporates data presentation and analysis. The data and
information collection from the consumers are presented and clear manner,
analysis carried out with the help of necessary table statistical tools and the
interpretation of the finding for attaining the stated objectives of the study.

3.1 Opinion Collected From Consumers

From the collection of data, a semi structured questionnaire was
administrated among 3 hundred selected respondents randomly. All respondents
conformant that they consume instant noodles on the basis of their responses, it
was fund that hundred of the respondents use instant noodles since last 7 year
before. The primary research data in different aspects are presented and analyzed
below:

3.1.1 Noodles Consumption Method

Noodles are consumed in different method by consumer. i.e., directly from
package, boiling or frying. The data obtained from the final consumer about their
consuming way of noodles have been provided in underneath table.
Table no. 1
Method of using noodles.
Method No. of respondents Percentage
Boiled 66 66%
Fried 8 8%
Straight 26 26%
From package 100 100%
Source : Field survey, 2063
According to above table must of the consumers consume noodles by
boiling followed by the consumer who consume it directly from package and a
small number of consumers consume it.
Figure no. 1
Method of using noodles.
66
70
60
50
40 Boiled
26
30 Fried

20 Straight
8
10
0
Boiled Fried Straight

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3.1.2 Noodles Consumption by Purpose
Noodles are used for multipurpose. They are used as meal as well as tiffin.
The data obtain from final consumer about their purpose of noodles have been
provided in the underneath.

Table no. 2
Classification of consuming purpose of Noodles.
Purpose No. of consumer Percentage
Meal purpose 8 8%
Tiffin purpose 72 72%
Meal and Tiffin purpose 20 20%
Total 100 100%

Noodles are specially eaten as Tiffin but sometimes people eat as meat and
both purpose out of 100 person 72 person eat only as Tiffin 20 person use for both
purpose and 8 person use for meal purpose.
Multiple bar diagram showing the classification of noodles consumption of
purpose.

Figure no. 2
Classification of consuming purpose of Noodles.
80 72%
No. of Consumers

60
40
20%
20 8%
0
Meal purpose Tiffin purpose Meal and Tiffin
purpose
Precnetage

3.1.3 Background Characteristics of end use Consumers of Noodles

Background characteristics is a major factor in consumption of any goods
so for the purpose of the study consumer's background characteristics is studies in
six board division and sub division as required.

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 Table no. 3
Classification of consumers by background characteristics
Classification Sub-Classification No. of respondents percentage
consuming noodles
Age Below 15 years 30 30
10-35 28 28
36-45 22 22
46 - above 20 20
Total 100 100%
Marital Status Married 46 46
Unmarried 54 54
Total 100 100%
Education Illiterate 6 6
Elementary 48 48
S.L.C 24 24
Intermediate 12 12
Bachelor above 10 10
Total 100 100%
Sex Male 48 48
Female 52 52
Total 100 100%
Profession Farmer 12 12
Student 30 30
Service holder 18 18
Business men 8 8
House wife 14 18
Other 18
Total 100 100%
Family income Below 3000 12 12
(Monthly) 3001 - 5000 34 34
5001 - 10000 32 32
10000 above 22 22
Total 100 100%
Source: Field survey, 2063

3.1.4 Preference of Consumers Over Different Brands

In the table below the consumers priority to noodles has been presented.
Note that the highest priority given noodles is denoted by 7 and the lowest priority
given noodles is denoted by:

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 Table no. 4
Ranking of noodle by consumers preference
No. of Respondent
Noodles Mean Rank
7 6 5 4 3 2 1
Mayos 15 11 8 7 5 4 - 5.24 1
RumPum 12 13 9 8 5 2 1 5.18 2
MinMin 7 8 16 6 10 2 1 4.72 3
WaiWai 11 9 8 7 6 5 4 4.62 4
GolMol 3 5 12 11 9 8 2 4.00 5
Hits 5 6 7 8 13 7 4 3.9 6
YumYum - 3 7 10 11 6 13 3.09 7
Source: Field survey , 2063

By the over all mean ranking of various seven brands of noodles, mayos
noodles is seen to be preferred most with highest mean value 5.24. It is followed
by RumPum. The YumYum noodles having the lowest value is the least preferred
brand.

3.1.5 Availability of Noodles

In the market easily to available brands of noodles is the consumers were
requested to response priority base which is presented in table no. 3.5, Here it is
denoted that 7 denoted the highest priority as 1 denotes the lowest.

Table no. 5
Ranking of noodles brands by their availability
No. of Respondent
Noodles Mean Rank
7 6 5 4 3 2 1
Mayos 21 13 11 3 2 - - 5.96 1
RumPum 19 15 8 4 3 1 - 5.80 2
MinMin 16 11 9 7 4 3 1 5.36 3
WaiWai 13 11 9 6 5 4 2 5.04 4
GolMol 11 9 13 6 4 2 8 4.82 5
Hits 6 8 12 10 4 2 8 4.28 6
YumYum 9 2 4 12 11 5 7 3.86 7
Source: Field Survey, 2063

From the table one will be able to dectear that Mayos is the noodles with
best advantages. RumPum and MinMin is also good but hits and YumYum brands
poor.

3.1.6 Sources of Knowledge noodles

Responds were asked on the sources of knowledge they introduced with
noodles. The expressed response are tabulated below:

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 Table no. 6
Distribution of consumer introductory sources of knowledge about
noodles.
Media No. of respondents Percentage
F.M./Radio 26 26%
Television 24 24%
News paper 16 16%
Internet 9 9%
Magazine 5 5%
wall painting 7 7%
Pumplets 6 6%
Hoarding board 4 4%
Friend and family 8 8%
Cinema 2 2%
Hulak/Telephone 3 3%
Total 100 100%

Observing the table, it is found that audio media, radio is the most popular
source to make the consumers introduced with noodles nearly followed by the
audio visual media-television where as the other source being news paper and
internet. The effects of cinema and hulak is found to be of equal valuable to make
consumer knowledge about noodles.

3.1.7 Consumer Loyalty over Different Brands

To know consumer loaylty, consumer were asked if they usually buy the
some preferred noodle. The responses are presented below:

Table no. 7
Distribution of consumer loyalty over different brands
Brands No. of consumers Percentage
Mayos 20 40
Rumpum 11 22
MinMin 4 8
WaiWai 9 12
GolMol 6 -
Hits - -
YumYum -
Total 50 100
Source : Field survey, 2063

From the field survey it is found that only a low percentage of consumer are
loyal over specific brand 75 among the loyal consumer mayos has the highest
number of consumer followed by RumPum, but Hits and YumYum has no loyal
consumers.

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3.1.8 Major Findings
1) The consumption of noodles in urban areas of Geetanagar is very popular
since it is seen that every consumer consumers noodles out of the total
potential consumers, only 100 of them in Geetanagar area selected for the
openion regaring instant noodles. It was found that 100% consumers have
been consuming noodles (Table no. 3)
2) With regard to preference consumer over different brands mayos has been
found to be the most populer brand in the market followed by RumPum
(Table no. 4)
3) Regarding the availability of different brands of noodles most of the
consumers respond that mayos is easily available among seven brands.
(Table no. 5)
4) Most of the advertisement from radio and T.V. (Table no. 6)

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 CHAPTER - 4
Summary, Conclusion and Recommendation
4.1 Summary and Conclusion
Today, marketing sector is the fully changes than traditional marketing
according to the modern concept of marketing, the consumer is given the highest
priority therefore the fundamental function of the marketing is the satisfy
consumer identifying their needs wants demand and accordingly providing goods
and services.
"Instant noodles industry" is a major category of food industry in Nepal.
There are more then 27 companies in Nepal but only ten companies are fighting it
out for a share instant noodle is a common food of Nepalese society. It is taken as
a Khaja but it does not serve the purpose of a wholesome meal although sometimes
it is used as a meal. In my study it can be seen that the consumption of instant
noodles is highly ncreasing in Geetanagar. Most people respondent have consumed
noodles at least time either as a Tiffin or meal. It's future is bright.
Mayos noodle is very popular and successful noodle in market it has coverd
highest percent of market share position. The good quality and easily availability
are the main factor their market share.
In conclusion accordance with sample survey it can be said that the future
of noodles in Nepal in bright the should equally take care in quality as well as on
promotional activities along with reasonable pricing to uplift their market share.

4.2 Recommendation
1) The consumption of noodles in urban area of Geetanagar is very
popular. All types of consumer consume noodles at least one time.
Student and service holder consumers prefer to consumer more and
more because of easy availability and easily prepare able. So, instant
noodles companies should make their targets to these groups and
focus marketing strategy to them.
2) The quality of Hits and YumYum brand noodles seen 10 be inferior.
So, that it is better to improve the quality of these noodles.
3) The availability of noodles is one of the most important influencing
factors to make the decision of buying noodles for consumers so
companies should give more emphasis on it.
4) A very few consumers are found to be brand loyalty and is not so
strong. As a result no company seems succeeded to make consumer
loyal to their brand so it is advised that the companies should make
appropriate programme for product positioning to their own brand.
5) Most of the consumer is found to know about noodles and their
brands through advertising at the pioneering stage. So, manufactures
are suggested to advertise their product through popular media like
radio and T.V. rather than in magazine.

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6) Distribution network of Aaha is very poor among the other brand
noodles. So, that is should established efficient distribution network.
7) Lastly every and each competin is increasing trend so that every and
each should adopt effective marketing polices and strategy to achieve
the goal.

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 Bibliography

Books:

• Koirala, K.D. : "Marketing decisions" 5th edition M.K. Publisher and

distribution Bhotahity, Kathmandu
• Agrawal, G.R. : "Fundamental of Marketing" M.K. publishers and
Distribution Bhotahity, Kathmandu oct, 2004
• Annual Report : Different kinds of instant noodles, 2005
• Basnet, N.B. : A study of marketing potentially of Gandaki Noodles in
Kathmandu valley, 2043
• Joy, P.K. : "Total project management", The Indian context, New Delhi,
2002

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 Appendix - I

Questionnaire for Consumer:

I am B.B.S student of Arunodaya college and my name is Kamala Kunwar.
I am writing a field work report entitled "Marketing of instant noodles" in
Geetanagar for this purpose, I will be thankful if you could provide below
mention information your response will be keeping confidential and will be
used for the academic purpose only.
I request you furnish the following as per the questionnaire.

Name :
Address:
Sex ( ) Male ( ) Female
Education :
( ) Elementary ( ) S.L.C ( ) Intermediate
( ) Bachelor
Profession :
( ) Student ( ) Service holder ( ) Farmer
( ) Business men ( ) Other ( ) House wife
Age :
( ) Below 15 years ( ) 16-25 yrs. ( ) 26-35 yrs.
( ) 36-45 yrs. ( ) 46 yrs and above
Marital status:
( ) Married ( ) Unmarried
Family income (Monthly):
( ) 3000 below ( ) 3001-5000 ( ) 5001-10,000
1. Have you ever eaten instant noodles ?
( ) Yes ( ) No
2. How do you prefer to eat these noodles ?
( ) Boiled ( ) Friend ( ) Straight from the package

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3. Which types of meal do you eat noodles ? What time you prefer noodle for ?
( ) Lunch ( ) Tiffin ( ) Dinner
4. Who ever you think of noodles which of the following noodles comes in
your mind ?
( ) Mayos ( ) RumPum ( ) WaiWai
( ) MinMin ( ) YumYum ( ) GolMol
5. Do you usually buy the some noodles ?
( ) Yes ( ) No
If yes which one do you buy ?
( ) MinMin ( ) Mayos ( ) WaiWai
( ) YumYum ( ) GolMol
6. How did you came to know about noodles ?
( ) T.V. ( ) Radio ( ) Newspaper
( ) Cinema ( ) Pamphlets ( ) Hording board
( ) Painting ( ) Friend and family ( ) Other
7. Which of the following media do you usually spent more time in a day ?
( ) Television ( ) Radio ( ) Newspaper
( ) Magazine
8. Which brand of noodles is easily available in your place ? (Priority base)
( ) WaiWai ( ) YumYum ( ) GolMol
( ) Mayos ( ) RumPum ( ) Hits
( ) MinMin
9. Please rank the following noodles in order to your preference from 7 to 3 (7
to 1) the most preferred one and so on.
( ) Mayos ( ) RumPum ( ) Hits
( ) GolMol ( ) MinMin ( ) YumYum
( ) WaiWai

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 Appendix - II

List of the following noodles industries in Nepal.

1. Himalayan foods industries (Pvt.) Ltd.
2. Nepal Thai foods (Pvt.) Lalitpur
3. Gandaki Noodles (Pvt.) Ltd. Pokhara.
4. Everest Noodles (Pvt.) Ltd. Pokhara
5. Asian Thai foods (Pvt.) Ltd. Biratnagar
6. Fast food industry (Pvt.) Ltd. Nawalparasi
7. General food industry (pvt.) Ltd. Chitwan
8. Pokhara noodles (Pvt.) Ltd. Pokhara
9. Himalayan Hygienic sanax and noodles (Pvt.) Ltd.
10. Multi food industries (Pvt.) Ltd. Kathmandu
11. Anupam foods Nepal (Pvt.) Ltd.
12. Morang noodles, Morang
13. Deurali noodles udyog, Kathmandu
14. Shaktishali chaw udyog (Pvt.) Ltd., Kathmandu
15. Himalayan agro products foods, Kathmandu
16. Woodland foods products (Pvt.) Ltd. Sunsari
17. National food and Ahied industries Ltd.
18. Mcoyur noodles Pvt. Ltd. Morang
19. Fresh foods industries (Pvt.) Ltd. Kathmandu
20. Anmol foods product (Pvt.) Ltd. Biratnagar
21. Dragon noodles (Pvt.) Ltd. Chitwan
22. Nippon noodles (Pvt.) Ltd. Hetauda
Source: HMG,. Department of Industries

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