INTRODUCTION OF BANKING SECTOR
Banking can be defined as the business activity of accepting and safeguarding money owned by other individuals, and then lending out this money in order to earn a profit. The banking sector is the most dominant sector of the financial system in India. Significant progress has been made with respect to the banking sector in the post liberalization period. The financial health of the commercial banks has improved manifolds with respect to capital adequacy, profitability, and asset quality and risk management. Further, deregulation has opened new opportunities for banks to increase revenue by diversifying into investment banking, insurance, credit cards, depository services, mortgage, securitization, etc. Liberalization has created a more competitive environment in the banking sector
INTRODUCTION OF AUTOMOBILE SECTOR
Automobile, self- propelled vehicle used primarily on public roads but adaptable to other surface. Automobile changed the world during the 20th century. Particularly in the United States and other industrialized nation. The manufacture, sale and servicing of automobiles become key element of industrial economics. But along with greater mobility and job creation, the automobile has brought noise and air pollution and automobile accident rank among the leading causes of death and injury throughout the world. But for better or worse, the 1900s can be called the age of the automobile, and cars will no doubt continue to shape our culture and economic well into the 21st century. The typical automobile, also called a car, auto, motorcar, and passenger car, has four wheels and carry up to six people. Those used to carry cargo are called pickups or trucks, depending on their size and design. Sport- utility vehicle, also known as SUVs, are more rugged than passenger cars and are designed for driving in mud or snow.
FEW COMPANIES UNDER BANKING SECTOR
1. State Bank Of India
2. Punjab Nation Bank
3. Bank Of India
4. ICICI Bank
5. AXIS Bank
6. HDFC Bank
INTRODUCTION OF PUNJAB NATION BANK (PNB)
Punjab National Bank is one of the Big four bank of India, along with State Bank of India and Bank of Boroda. It is the third largest bank in India in terms of asset size ( billion by the end of FY 2012-13). The bank has been ranked 248th biggest bank in the world by the Bankers' Almanac.
Punjab National Bank (PNB) is an Indian financial services company based in New Delhi, India. Founded in 1894, the bank has over 5,800 branches and over 6,000 ATMs across 764 cities. It serves over 80 million customers Punjab National Bank was registered on 19 May 1894 under the Indian Companies Act, with its office in Antalkali Bazaar, Lahore. The founding board was drawn from different parts of India professing different faiths and a varied back-ground with, however, the common objective of providing country with a truly national bank which would further the economic interest of the country PNB has had the privilege of maintaining accounts of national leaders such as Mahatma Gandhi, Jawahar Lal Nehru, Lal Bahadur Shastri, Indira Gandhi.etc
MR.K R Kamath is the chairman of Punjab National Bank.
FEW COMPANIES UNDER AUTOMOBILE SECTOR
1. TATA Motors Ltd.
2. Mahindra & Mahindra Ltd.
3. Maruti Suzuki India Ltd.
4. Hero Moto Corporation Ltd.
5. Bajaj Auto Ltd.
6. Ashok Leyland Ltd.
INTRODUCTION OF MAHINDRA & MAHINDRA LTD
Mahindra & Mahindra Limited (M&M) is an Indian multinational automobile manufacturing corporation headquartered in Mumbai, Maharashtra, India. It is one of the largest vehicle manufacturers by production in India and the largest seller of tractors across the world. It is a part of Mahindra Group.
It was ranked as the 10th most trusted brand in India, by The Brand Trust Report, India Study 2014. It was ranked 21st in the list of top companies of India in Fortune India 500 in 2011.
Its major competitors in the Indian market include Maruti Sszuki, Tata Motors, Ashok Leyland, Toyota, Hundia and others.
Mahindra & Mahindra, branded on its products usually as 'Mahindra', produces SUVs saloon cars, pickups, commercial vehicles, and two wheeled motorcycles and tractors. It owns assembly plants in India, Mainland China (PRC), the United Kingdom and has assembly plants in the United States. Mahindra maintains business relations with foreign companies like Renault etc.
MR. Anand Mahindra is the chairman of Mahindra & Mahindra Ltd.
ORGANISATION STRUCTURE OF PUNJAB NATIONAL BANK
Bank has its Corporate Office at New Delhi and 25 Zonal Offices which in turn supervise 48 Regional Offices under whichthe branches function. The delegation of powers is decentralized up to the branch level to facilitate quick decision making.
ORGANISATION OF STRUCTURE OF MAHINDRA & MAHINDRA LTD
SIMILARITY OF BOTH M&M AND PNB
1. Both of them have clear organizational structure.
2. Both organization try to fulfill the demand of public to the maximum.
3. Both organization run with the motive of profit.
4. Both offer wide ranges of service in their respective fields.
DISSIMILARITY BETWEEN M&M AND PNB
1. M&M deals with the production of automobiles where as PNB is concerned with banking sector.
2. M&M is international brand where as PNB operates within nation
3. M&M has wide organization structure where as PNB do not have.
4. M&M runs for the profit of the company where as PNB runs for the profit of the public.
CONCLUSION:
In the past quarter century, dynamic and dramatic changes, unimaginable twenty-five years ago, have occurred in the world's automotive industry. This industry started in Europe as car assembly by craftsmen, and then developed dramatically in the US, where a manufacturing system based on mass production was established. The automotive industry in Europe and the US developed along mass-production lines, but in Japan it lagged behind for more than forty years, and nobody would have predicted that Japan would become a world leader. There was a time when the automotive industry was expected to be mature once it entered a certain growth stage, and a kinked growth curve was also much discussed. Almost all of these predictions were completely wrong, and the automotive industry has shown a more dynamic development. Japan's automotive industry took the lead, adding vitality to the whole industry, and contributing a dynamic industrial model.
The project involves valuation of major Indian Banks including (PNB) Bank, SBI and HDFC Bank. The methodology followed is Target Pricing, which including estimating growth rate by regression on historical sales to forecast next year sales, earning and Profit and Loss account. Then EPS is calculated which is multiplied to Historical P/E to forecast intrinsic value of share. All shares are undervalued and expected to give positive risk adjusted returns to investors. Since the intrinsic value is more than current market price for all the companies, the share can be recommended to conservative investors.
Reference: Wikipedia
En.wikipedia.org/wiki/Mahindra_%26_Mahindra.
En.Wikipedia.org/wiki/Punjab National_Bank.
From task book