Page 294 - DMGT509_RURAL MARKETING

Unit 15: Marketing of Agricultural Produce

rural areas that came to more than 60 percent of the total population. In India also, the ratio Notes
of rural to urban population was slightly higher than the world’s ratio with 70 percent of
them living in rural areas. They domiciled in nearly 6,27,000 villages spread over 3.2 million
sq. km. This growing affluence along with good monsoon and the increased agriculture
output, increased the total disposable income of rural consumers to 58 percent with two-
third of middle income households being in the rural market. About 40 percent of the
graduates coming out of Indian Universities were from rural areas. As they are eager to earn
more and live better, their aspirations are similar to the urban youth. It is predicted by
industry analysts that by 2009-10, the urban households are projected to grow by 4 percent
while rural households are expected to grow by 11 percent. If the rural income rose by 1%,
then the buying power would correspondingly increase by about 10,000 crore. The colour
televisions, refrigerators, air-conditioners and microwaves have become a household sight
in villages and small townships that was long thought of as a luxury and domain of urbanites.
However, rural India had its own set of problems like illiteracy, early childhood marriages,
lack of access to birth control measures, poverty etc., that were interdependent on each other.
There are also large numbers of daily wage earners and most of the people depended on
vagaries of monsoon. Inadequate infrastructure like non-availability of gas supply, frequent
power cuts, improper sanitary conditions, inaccessible areas were the other common sight of
rural areas.

Self Assessment

Multiple Choice Questions:
11. Media influenced the mindset of the rural consumer to such an extent that people who had
money started purchasing the products unmindful of the:

(a) costs (b) product
(c) households (d) market
12. The Committee will examine commercial viability of the:
(a) group (b) project
(c) wages (d) rural areas.

13. .................... should submit all extract from the revenue record evidencing that charge has
been created on the revenue record in respect of the property.
(a) buyer (b) seller

(c) borrower (d) client
14. The .................... structure and the consumption pattern of rural and urban areas are
characteristically distinct.

(a) protection (b) pricing
(c) innovation (d) production

15.8 The Paradigm Shift

In most of the rural areas in different parts of the country, there is considerable awareness on
various latest products that are available in the market. This has been possible due to the
penetration of cable and satellite channels that have brought down the world at the finger tips
of the common man. The media influenced the mindset of the rural consumer to such an extent

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