Buying behavior of customers @ maruthi suzuki mba marketing project report

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Buying behavior of customers @ maruthi suzuki mba marketing project report

Buying behavior of customers @ maruthi suzuki mba marketing project report

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  • 1. SHANTESHA MOTORS PVT. LTD. EXECUTIVE SUMMARYA project report containing marketing research on “The Impact of Brand Preferenceamong B-Segment cars on Buying behavior of customers at Belgaum city” is partialfulfillment of requirement of MBA-II semester in Belgaum Institute of ManagementStudies, Belgaum.So the need to know which is the Brand preferred and the Buying behaviour of customer,I collected the information by a structured questionnaire that included all therequirements what the SMPL needed and the questionnaire is attached in the appendix.This study helps the organization in the following ways: • Management will know the most preferred brand among B-segment cars • Management will understand the buying behaviour of customers • To understand customers preference towards dealers. So these are some fact by conducting this survey.BABASAB PATIL Page 1
  • 2. SHANTESHA MOTORS PVT. LTD.INTRODUCTIONIt gives me an immense pleasure to present you this entire project. The project emphaseson “THE IMPACT OF BRAND PREFERENCE AMONG B-SEGMENT CARS ONBUYING BEHAVIOUR OF CUSTOMERS AT BELGAUM CITY ” the study isundertaken at Shantesha Motors Pvt Ltd. Belgaum.The project report focuses on the Brand preferred by the customers, their BuyingBehaviour, customers preference towards dealers and what all service the customerwanted.LITERATURE REVIEWBrand preference:Today, the primary capital of much business is their brands. For decades, the value of thecompany was measured in terms of its real estate, then tangible assets, plants andequipments. However, it has recently been recognized that a company’s real value liesoutside the business itself, in the minds of potential buyers. For the potential customer, a brand is a landmark. Like money, it facilitates trade.Faced with a multitude of silent or “hard –to-read” products, whose performance cannotbe assessed at first glance, customer are confused. Brand and prices make products easierto “read”, removing uncertainty. A product price measures it’s monetary value, it’s brandidentifies the products and reveals the facts of it’s differences functional value ,pleasurevalue and symbolic value as a reflection as a buyer’s self image. One word, One SymbolBABASAB PATIL Page 2
  • 3. SHANTESHA MOTORS PVT. LTD.Summarizes an idea, a sentence and a long list of attributes ,values and principles infusedinto the product or service .A brand encapsulates identity, origin and difference. Itevokes this information concentrate in a word or a sign. This is why brands are vital forbusiness exchange when faced with, say, hundreds of personal computers, a buyer canuse brands to structure this selection, to segment it, helping him to decide what he wants,looking towards the products whose brand indicate that they will satisfy his expectations,needs, or wishes. In markets in which technology and fashion mean that the choice isconstantly evolving, brands provide havens of stability, describing an identity andpromising constant features and direction.Brands are the real capital of business, yet brand management is still in its infancy. Atpresent, the tendency is to manage products that happen to have a name. Management isstill living in the age of the products, but brand management involves other, specificapproaches and principles. These are the focus of this presentation.A brand is not a product: it is the product’s source, its meaning, and its direction, and itdefines its identity in time and space. Businesses are discovering that brand equity mustbe managed, nurtured, and controlled. Brand consciousness is raising new questions formangers: how many brands be extended? What products and service should itencompass? Or, on the other hand, what should its limit be, even when a certain turnoversis expected from it? Going too far can also weaken brand equity.BABASAB PATIL Page 3
  • 4. SHANTESHA MOTORS PVT. LTD.How do you manage brands over time and keep them up to date, as technologies,products and customers are changing? How do you manage while staying the same? Howdo provide consistent synergic management of the range of product sold under a singlebrand? How do you optimize image in the relationship between products and their brand?How far can a brand be extended geographically? Does it have the potential to become ahomogeneous geo-brand in all countries? Or is this impossible, or even undesirable?Many companies have the same name as their brand (e.g., Renault, Nestle, IBM, BASF).What difference between managing a brand image and managing corporate andinstitutional image? Finally, given that brands do have a value, how can this be measured,so that it can be tracked and controlled? Should it be capitalized on the balance sheet, toindicate its true economic value to stockholders, investors, and financial partners?Brands vary in the amount of power and value they have in the market place. At oneextreme are brands that are not know by most buyers. Then there are brands for whichbuyers have a fairly high degree of brand awareness. Beyond this are brands with a highdegree of brand acceptability. There are brands that enjoy a high degree of brandpreference. Finally there are brands that command a high degree of loyalty.Tony O’ Reilly, former CEO of H. J. Heinz, proposed this test of brand loyalty: “My acidtest… is whether a house wife, intending to buy Heinz tomato ketchup in a store, findingit to be out of stock, will walk out of the store to buy it elsewhere. ”BABASAB PATIL Page 4
  • 5. SHANTESHA MOTORS PVT. LTD.Aaker distinguished five levels of customer attitude toward his or her brand, from lowestto highest. 1. Customer will change brands, especially for price reasons. No brand loyalty. 2. Customer is satisfied. No reason to change the brand. 3. Customer is satisfied and would incur costs by changing brand. 4. Customer values the brands and sees it as a friend. 5. Customer is devoted to the brand.Statement of the problemIn Indian car industry, small car segments have played a very crucial and significant roledue to its economy, efficiency and effectiveness. Due to invasion of foreign cars intoIndian markets, the pace of competition has hiked. This has brought into market, numberof Brands and their variants competing to with each other.All these factors have resulted in flux in the minds of the customers as to which brand togo for. In other words, Brand-switching is gaining the momentum. So to position thebrand in the minds of the customers the company or dealer should keep the track of thisshift in preferences. Hence the main purpose of this study is to find the “Impact ofBrand preference among B-Segment cars on Buying behaviour of customers atBelgaum city”.BABASAB PATIL Page 5
  • 6. SHANTESHA MOTORS PVT. LTD.Purpose of studyThe purpose of the study is to know the Brand preferred by the customers and change inbuying behavior can be estimated by this study. The marketing strategies can be designedin accordance with this change. It will be helpful for the managers to make decisions.Hence, this study should be conducted.Scope of the studyThe main purpose of the study is to know the “Impact of Brand preference among B-segment cars on Buying Behavior of Customers at Belgaum city”. This study will providesolutions to the management by understanding customers feedback.Through this study Management will know :  The reason why people opt four-wheeler.  To know the features considered by the customers while purchasing a car.  To know the most preferred brand by the customers.  The scope of the study is restricted up to the Belgaum city.BABASAB PATIL Page 6
  • 7. SHANTESHA MOTORS PVT. LTD. Objectives of the study 1. To find the impact of Brand preference among B-segment cars. 2. To understand the Buying behaviour of customers. 3. To know the facilities/services expected by the customers from the dealer. 4. To know the means of finance preferred by the customers. 5. To know the reason why people opt four-wheeler. 6. To know the significant attributes preferred by customers in a car.BABASAB PATIL Page 7
  • 8. SHANTESHA MOTORS PVT. LTD.ORGANIZATION PROFILE MARUTI UDYOG LIMITEDORGANIZATION OVERVIEW: Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act ofParliament, to meet the growing demand of a personal mode of transport caused by thelack of an efficient public transport system. Suzuki Motor Company was chosen from seven prospective partners worldwide.This was not only due to their undisputed leadership in small cars but also to theircommitment to actively bring to MUL contemporary technology and Japanesemanagement practices (which had catapulted Japan over USA to the status of the topauto manufacturing country in the world).A licence and a Joint Venture agreement was signed between Govt. of India andSuzuki Motor Company (now Suzuki Motor Corporation of Japan) in Oct 1982.BABASAB PATIL Page 8
  • 9. SHANTESHA MOTORS PVT. LTD.The objectives of MUL then were:1. Modernization of the Indian Automobile Industry.2. Production of fuel-efficient vehicles to conserve scarce resources.3. Production of large number of motor vehicles which was necessary for economicgrowth.ORGANIZATION VISION:"The Leader in The Indian Automobile Industry, creating Customer Delight andShareholders Wealth; A pride of India."OUR CORE VALUES:1. Customer Obsession2. Fast, Flexible and First Mover3. Innovation and Creativity4. Networking and Partnership5. Openness and LearningBABASAB PATIL Page 9
  • 10. SHANTESHA MOTORS PVT. LTD.TECHNOLOGICAL ADVANTAGE:We have introduced the superior 16 * 4 Hypertech engines across the entire MarutiSuzuki range. This new technology harnesses the power of a brainy 16-bit computer to afuel efficient 4-valve engine to create optimum engine delivery. This means every MarutiSuzuki owner gets the ideal combination of power and performance from his car.Our other innovation has been the introduction of Electronic Power Steering (EPS) inselect models. This results in better and greater maneuverability. In other words, our carshave become more pleasurable to drive.PRDUCTION/ R & D:Spread over a sprawling 297 acres with 3 fully-integrated production facilities, the MarutiUdyog Plant has already rolled out over 4.3 million vehicles. In fact, on an average, twovehicles roll out of the factory every minute. And it takes on an average, just 14 hours tomake a car. More importantly, with an incredible range of 11 models available in 50variants, theres a Maruti Suzuki made here to fit every car-buyers budget. And dream.BABASAB PATIL Page 10
  • 11. SHANTESHA MOTORS PVT. LTD.Production Milestones 1 st vehicle produced, December 1983 1,00,000 vehicles produced by August, 1986 5,00,000 vehicles produced by June, 1990 10,00,000 vehicles produced by March, 1994 15,00,000 vehicles produced by April, 1996 20,00,000 vehicles produced by October, 1997 25,00,000 vehicles produced by March, 1999 30,00,000 vehicles produced by June, 2000 35,00,000 vehicles produced by December 2001 40,00,000 vehicles produced by April, 2003 45,00,000 vehicles produced by April, 2004MILESTONES: 2006 The car of the Year Maruti SWIFT. 2005 The fiftieth lakh car rolls out in April, 2005 Growth in overall sales by 15.8%BABASAB PATIL Page 11
  • 12. SHANTESHA MOTORS PVT. LTD. 2004 New (non AlC) variant of Alto Alto becomes Indias new best selling car LPG variant of Omni Cargo Versa 5-seater, a new variant Baleno LXI, a new variant Maruti closed the financial year 2003-04 with an annual sale of 472122 units, the highest ever since the company began operations 20 years ago2003New Suzuki Grand Vitara XL-7Redesigned and all-new ZenNew upgraded WagonREnters into partnership with State Bank of IndiaProduction of 4 millionth vehicle. Listed on BSE and NSE after a publicissue oversubscribed 10 times 2002WagonR PrideEsteem Diesel. All other variants upgradedMaruti Insurance. Two new subsidiaries started: Maruti InsuranceBABASAB PATIL Page 12
  • 13. SHANTESHA MOTORS PVT. LTD.Distributor Services and Maruti Insurance Brokers LimitedAlto Spin LXi, with electronic power steeringSpecial edition of Maruti 800, Indias first colour-coordinated carMaruti True value in MumbaiMaruti Finance in Mumbai with 10 finance companiesSuzuki Motor Corporation (SMC) increases its stake in Maruti to 54.2Percent 2001Zen LxiMaruti True Value launched in Bangalore and DelhiMaruti Versa, Indias first luxury MPVAlto Spin LXi, with electronic power steeringAlto VxiCustomer information centers launched in Hyderabad, Bangalore andChennaiLaunch of versa2000First car company in India to launch a Call CenterNew AltoAltura, a luxury estate carBABASAB PATIL Page 13
  • 14. SHANTESHA MOTORS PVT. LTD.IDTR (Institute of Driving Training and Research) launched jointly withthe Delhi government to promote safe driving habits1999Maruti 800 EX ( 796cc, hatchback car)Zen LX (993cc, hatchback car)Zen VXi (993cc, hatchback car with power steering)Omni XL ( 796cc, MUV, high roof)Baleno (1600cc, 3 Box Car)Wagon RLaunch of Maruti - Suzuki innovative traffic beat in Delhi and Chennaias social initiatives1998Maruti launches website as part of CRM initiativesZen D (1527 cc diesel, hatchback car)Zen VX & Zen VX AutomaticNew (Omni & Omni E) (796cc, MUV)Launch of website as part of CRM initiativesBABASAB PATIL Page 14
  • 15. SHANTESHA MOTORS PVT. LTD.19971998 Esteem (1299cc, 3 box car) LX, VX and AXNew Maruti 800 (796cc,hatchback Car) Standard and DeluxeProduced the 2 millionth vehicle since the commencement of production1996Gypsy (E) (970cc, 4WD 8 seater)Omni (E) (796cc, MUV, 8 seater)Gypsy King (1298cc, 4WD, off road vehicle)Zen Automatic (993cc, hatchback car)Esteem 1.3L (1298 cc, 3 box Car)AXLaunch of 24-hour emergency on-road vehicle service1995Esteem 1.3L (1298 cc, 3 box car)VXWith the launch of second plant, installed capacity reached 200,000 unitsBABASAB PATIL Page 15
  • 16. SHANTESHA MOTORS PVT. LTD.1994Esteem1.3L (1298cc, 3 box car) LX Produced the 1millionth vehicle since the commencement ofproduction1993Zen(993cc, hatchback Car), which was later exported in Europe andelsewhere as the Alto1992SMC increases its stake1991Reaches cumulative indigenisation of 65 percent for all vehiclesproduced1990Maruti 1000(970cc, 3 box), Indias first contemporary sedan1988Installed capacity increased to 100,000 unitsBABASAB PATIL Page 16
  • 17. SHANTESHA MOTORS PVT. LTD.1987Exported first lot of 500 cars to Hungary1986Maruti 800 ( New Model-796cc, hatchback Car)Maruti 800 ( New Model-796cc, hatchback Car)1985Launch of Maruti Gypsy (970cc, 4 WD off-road vehicle)1984Omni, a 796cc MUVInstalled capacity reached 40,000 units1983Maruti 800, a 796 cc hatchback, Indias first affordable car.Production was started under JV A1982License and JV agreement signed between Maruti Udyog Ltd. and SMCof JapanBABASAB PATIL Page 17
  • 18. SHANTESHA MOTORS PVT. LTD.1981Maruti Udyog Ltd was incorporated under the provisions of the Indian Companies Act,1956AWARDS :2004Maruti Suzuki was No.1 in Customer Satisfaction, No.1 in SalesSatisfaction No.1 in Product Quality (Esteem and Alto) and No.1 inProduct Appeal (Esteem and Wagon R)No.1 in Total Customer Satisfaction (Maruti 800, Zen and Alto)Business World ranked us among the countrys five most respectedcompaniesBusiness World ranked us the countrys most respected automobilecompanyVoted Manufacturer of the year by CNBCVoted one of Indias Greenest Companies by Business Today-ACNielson ORG-MARG2003 Maruti 800, Maruti Zen and Maruti Esteem make it to the top 10 automotive brands in "Most Trusted Brand survey 2003" J D Power ranked 3 models of Maruti on top: Wagonr, Zen and EsteemBABASAB PATIL Page 18
  • 19. SHANTESHA MOTORS PVT. LTD. Maruti 800 and Wagonr top in NFO Total Customer Satisfaction Study 2003. MUL tops in J D Power CSI (200 1) for 4th time in a row 2001 MUL tops in J D Power CSI (200 1) for 2nd time in a row: another international first 2000 Maruti bags JD Power CSI – 1st rank; unique achievement by market leader anywhere in the world 1999 MSM launched as model workshop in India; achieves highest CSI rating. Central Board of Excise & Customs awards Maruti with "Samman Patra", for contribution to exchequer and being an ideal tax assessee 1998 CIIs Business Excellence A wardBABASAB PATIL Page 19
  • 20. SHANTESHA MOTORS PVT. LTD.1996Maruti wins INSSAN award for "Excellence in Suggestion Scheme"Awarded the Star Trading House status by Ministry of Commerce1994-95Engineering Exports Promotion Councils award for export performance1994Best Canteen award among Haryana Industries as part of employeewelfare1992-93Engineering Exports Promotion Councils award for export performance1991-92Engineering Exports Promotion Councils award for export performanceBABASAB PATIL Page 20
  • 21. SHANTESHA MOTORS PVT. LTD.SOCIAL WELFARE:Welfare CampsEvery year we organize blood donation camps along with Red Cross, in whichemployees donate blood. Eye check-up camps, family planning related camps andotherhealth camps are also organized periodically.Medical support & welfareThe employees of Maruti have always donated generously to people affected by naturalcalamities. They contributed Rs. 2 million to rehabilitate earthquake victims in Latur.We also run a creche for the children of construction workers, which provides foodshelter and education for 85 children. Education to underprivilegedDPS Maruti Shiksha Kendra, an education programme for the underprivileged, was inaugurated at DPS, Maruti Kunj recently. The objective of his project is to educate the children of below poverty line (BPL) families from the nearby villages of Gurgaon district. 120 students in the age group of 5-8 years have already enrolled. DPS Maruti Kunj is providing books, writing material and uniforms, refreshment and transport facilities to these children.BABASAB PATIL Page 21
  • 22. SHANTESHA MOTORS PVT. LTD.Education Programme for mothersChetna, an education programme for mothers - is an another endeavour to providebasic education to mothers of the students of DPS Maruti Kunj and surrounding villages.Majority of students at the school is first generation learners. Therefore, the concept ofstarting a movement of learning Chetna for mothers has been promoted. The responsehas been encouraging and about 130 mothers are attending it regularly.ENVIRONMENT CONCERN:Our environment Policy: • Prevent pollution. • Promote energy reduction and use of alternative energy. • Manage/ reduce those materials that put stress on environment. • Promote the three Rs (Reduce, Reuse, Recycle). • Promote "Green" procurement. • Provide our employees with environmental education to increase their awareness.BABASAB PATIL Page 22
  • 23. SHANTESHA MOTORS PVT. LTD.Since the commencement of operations in 1981 weve been committed to the protectionof the environment and conservation of non-renewable .energy sources. Our proactiveapproach depends not only upon meeting the expectations of the regulatory authoritiesbut achieving the high standards that weve set as a responsible corporate citizen.This philosophy of trying to make a difference to the environment penetrates throughour employees to the process of manufacture and finally into our products.Pollution Control CampsOur elaborate system of Free Pollution Check-Up Camps which run at regular intervals,is designed at making the cars already on the road operate more efficiently. It alsoinculcates awareness for environmental protection among the many car users of India.MPFIWe have introduced Euro II compliant MPFI engines in all our models. Along withour vendors, weve made investments of over Rs. 60 million for introducing MPFItechnology compliant cars.CNGMaruti is a strong advocate of CNG, a more eco-friendly fuel alternative to diesel andpetrol. In our endeavour to provide a cleaner and greener option to the customer, we arein the process of equipping an extensive dealer network to assist Maruti owners in fittingCNG kits.BABASAB PATIL Page 23
  • 24. SHANTESHA MOTORS PVT. LTD.Rain Water HarvestingTo recharge the aquifer, measures were taken to harvest the rain water through soakpits, recharging shafts and water lagoons. These measures are capable of charging nearly50% of the average annual rainfall at Maruti, into the Earth.MARUTI CULTURE:Our employees are our greatest strength and asset. It is this underlying philosophy thathas molded our workforce into a team with common goals and objectives. OurEmployee-Management relationship is therefore characterized by: • Participative Management. • Teamwork & Kaizen. • Communication and information sharing. • Open office culture for easy accessibilityBABASAB PATIL Page 24
  • 25. SHANTESHA MOTORS PVT. LTD.To implement this philosophy, we have taken several measures like a flat organizationalstructure. There are only three levels of responsibilities ranging from the Board OfDirectors, Division Heads to Department Heads. Other visible features of this philosophyare an open office, common uniforms (at all levels), and a common canteen for all.This structure ensures better communication and speedy decision-making processes. Italso creates an environment that builds trust, transparency and a sense of belongingamongst employees.The major players in small car segment are:Hyundai Motors India LtdTelcoFiat India LtdThe battle royal in the India car market has entered the next phase. One old assumptionhas been vindicated – that over 80% of the Indian car market is still confined to the small,sub – Rs 4 lakh models. And that mod-size and digger models can only provide the icingon the cake, not the cake itself to any manufacturer.Quite apart from these specific lessons that each man learnt, there were several surprisesthat the car market threw up. First world-class technology and quality were considered agiven now. Second, the Indian buyer had begun to expect model and engine upgrades asfrequently as his US or European counterparts. The Indica had toBABASAB PATIL Page 25
  • 26. SHANTESHA MOTORS PVT. LTD.upgrade their engines in less than one year after launch, the power steering option barelya year after it hit the market.And finally, while the manufacturers could continue to refer to it as the ‘Indian small carsegment ’, the buyer characteristics were anything but homogeneous. There were distinctgroup with distinct preferences. And the days of one model becoming the undisputedheavyweight champion were over for good.Brief description of major players in this segment.Hyundai: Hyundai has become the undisputed number two in the Indian auto market,and the only one-even rivals admit- with the capability of giving leader Maruti a run forits money in the total volume stakes though Hyundai in India currently sells just about aquarter of the numbers that Maruti does.Hyundai got everything right because it got the value-price–technology equation almostperfectly right from day one. The Santro was an instant winner from the day it wasintroduced in the Indian market because it offered the optimum mix of space andtechnology in the small car market, at a highly competitive price. And with easyconsumer financing available in the market,Hyundai did not have to work too hard topersuade even entry-level car buyers to go for the Santro instead of the Maruti 800.BABASAB PATIL Page 26
  • 27. SHANTESHA MOTORS PVT. LTD.And when it launched mid-size Accent some time later, Hyundai proved that it could getits value-price equation consistently right across different segments.But despite its great start, Hyundai made two mistakes and by Maruti it is also one underthe most pressure because after zooming to the number two spot, it cannot afford to skidin the race. But Telco’s Indica is snapping at its heels. And Marutis backlash isexpected to target the Santro more than any other model.The two miscalculations that Hyundai made? First, while Hyundai Santro was harping onthe fact that it was a new generation car, it hadnt brought its latest engine technology toIndia, it was a mistake that rival Matiz capitalised on once Euro-II pollution norms wereannounced for the motors. Daewoo most of the fact that every Matiz was Euro-IIcomplaint –while Hyundai could offer an Euro-II version only at a higher price. Though thelatter moved quickly in a damage-control exercise, the Santro did lose a bit of its sheen.But worse for Hyundai, it-miscalculated demand for its cars. The result: when demandpeaked for the Santro, it was in no position to offer the car off-the-shelf like its rivals.Buyers had to wait for three months to get a Santro after booking it.Hyundai is moving fast to sort out its capacity problem. Work will soon start on thesecond phase of its Sriperumbudur car project, one year ahead of what was initiallyplanned. An additional investment of $400 million will help expand capacity from 1.2lakh cars to 2 lakh cars per annum.BABASAB PATIL Page 27
  • 28. SHANTESHA MOTORS PVT. LTD.That apart, the big worry for Hyundai is that other than the Santro (the Atos in Korea), itdoesnt have any other small car in its armoury. Unlike Suzuki which is primarily a smallcar specialist, Hyundai can only introduce bigger cars in the Indian market either from itsown product range, or those of Kia Motors, which it took over last year.And the car maker is planning to do precisely that. Over the next two years, It plans tooffer the Sonata, priced at around Rs "12 lakh, m the segment above the Astra/Lancer/Citycategory. The Sonata is a niche product. We hope to sell about 250 cars a month," saysGandhi. Also, Hyundai will be launching a sports utility vehicle (SUV), currently underdevelopment in Korea.Hyundai is looking a bit vulnerable now because globally it is a minnow in the carmarket. St lacks the sheer money power and product muscle to keep fighting the Fords andTelco in any market. And if Ford does take over Daewoo Motors, Hyundais number twoposition in India could be seriously under threat.Telco: The Home-Grown ChallengerWhen it first announced its plans, scepticism abounded. With dozens of global car makershitting the Indian market with new products, few people would have given Telco much of achance with an indigenously-developed car. Especially since Telco did not boast a greatreputation for developing even world-class commercial vehicles, forget passenger cars.BABASAB PATIL Page 28
  • 29. SHANTESHA MOTORS PVT. LTD.When the Indica hit the market, the consensus opinion was that Telco had goofed upagain. It had got its car and engine developed abroad - but all that was marred by theproductionquality of the cars when they rolled out of the Telco plant in Pune. The Indica was riddledwith quality problems. A year down the line, almost everyone grudgingly admits that theIndica has been a success. The Telco formula of pushing the biggest small car with arugged diesel engine has been a major hit in the semi-urban and rural markets.Rajesv Dube, general manager, commercial (passenger cars), Telco, points out thecompanys biggest advantage: low costs, fin other words, Telco can recover the costs ofintroducing a new car at a much lower volume of sales than its rivals can. But the flip sideis that all global giants can amortise the costs of development by selling the same caracross different world markets, Telco cant.At the moment though, the Telco strategy is to tap the niches first. The Indica, with thediesel engines being pushed hard, was clearly aimed at a segment none of the rivals wasaddressing. Similarly, the new car Magna it is planning to launch is again expected to bea niche car addressing a particular need n the Rs 12-16 lakh car segment. And in the SUVmarket, Telco has already introduced the premium Safari, which again focuses on asmall niche.It is a smart strategy as it avoids taking any of the big guns head on. But in the long run,Telco knows it has to take on its rivals in the mainstream markets as well. It is ramping upcapacity to 160,000 from the current 120,000 cars anticipating that it will get the demand.But Telco is also the weakest player in the small car market - and unless it keepsspringing surprises,it could be the first casualty in this round of the car battles.BABASAB PATIL Page 29
  • 30. SHANTESHA MOTORS PVT. LTD.Fiat India Ltd:Fiat the Auto Titan was established in 1899 by Giovanni Agnelli. The company first setits foot on the Indian Turf in the year 1905, with the appointment of Mumbay Motor CarsAgency as its Sales Agent. The relationship with India was further strengthened when itsigned a licence and servicing contract with Premier Automobiles Limited (PAL), pavingthe way for manufacturing and selling of 1100 and 1100D Fiat, Padmini, Uno and thelatest offering being the cars from the project "178 World Car" range which includesSiena, Siena Weekend and the Palio.The company’s pivotal interest remains automobiles. It has the most admired and soughtafter models worldwide to boast of which includes Fiat Lancia, Ferrari, Maserati, AlfaRomeo etc., Siena being the latest offering to the Indian consumers.Fiat is the only automobile manufacturer to have won the most coveted "EUROPEANCAR OF THE YEAR" award for a record nine times, more than any other carmanufacturer. These awards have not made the group complacent as it strives to achievethe best in all aspects, which include the people, environment, technology andenergy.This is seen in the company’s endure towards Environmental issues and co-operation with all environmental organizations.Fiat has ambitious plans for making India its operational hub and plans to invest onebillion US dollars in the coming years.BABASAB PATIL Page 30
  • 31. SHANTESHA MOTORS PVT. LTD.Later the company introduced the Uno — Europe’s favourite car for the last two decadesinto India. The Fiat 178 World Car Project has been developed specifically to expandproduction in overseas markets. This project includes international-class cars like theSiena sedan, the Siena Weekend station wagon and the Palio hatchback.Fiat has achieved a high level of localization for all its cars, and is making world-classcars available in India at even more competitive and affordable prices. Fiat AutomobilesSpA owns the most-admired and sought-after models worldwide, including the FiatLancia, the Ferrari, the Maserati and the Alfa Romeo.Fiat is the only automobile manufacturer in the world that has won the coveted EuropeanCar of the Year award nine times. It is also the only company in the world thatmanufacturers recyclable cars.In the pipeline are ambitious plans to make India its operational hub in Asia in the futureand invest US $1 billion here in the coming years.BABASAB PATIL Page 31
  • 32. SHANTESHA MOTORS PVT. LTD.SHANTESHAMOTORSPVT.LTD.INTRODUCTION: SHANTESHA MOTORS PRIV A TE LIMITED is an authorized dealer for MarutiUdyog Ltd, for Marketing, Sales, Maruti Genuine Spares, Maruti Genuine Accessories,Service and Repairs of Maruti range of vehicles.HISTORY: Shantesha Motors commenced operations on 20/5/2000 in Belgaum and is one ofthegood authorized dealers for Maruti Udyog Ltd. Today they have turn over of20 crores,hencemaking them one of the Maruti dealer in India. Shantesha Motors have the excellent network of sales and services center in Belgaumand they are leading Maruti dealers in north Karnataka. At Belgaum Shanteshashowroom islocated near to K.L.E Hospital. The workshop located at Nehru Nagar. carries out aftersales operations, free service, paid service and Running repairs. Besides this theworkshop also in to selling of pre-owned cars and Ranks First for the sale of pre-ownedBABASAB PATIL Page 32
  • 33. SHANTESHA MOTORS PVT. LTD.cars in India. The stockyards situated at attach to showroom carries the pre-delivery .inspection of all the vehicles and gets them ready for the sales. It haspaved surface stocking area of about 50 to 100 Maruti vehicles.Quality Management System:  Shantesha Motors has a documented and established quality management system to ensure that  The documentation structure of Shantesha Motors can be represented in the following manner. 1. QULITY MANUAL 2. QULITY SYSTEM PROCEDURES 3. WORK INSTRUCTIONS AND CHECKLIST 4. FORMS AND RECORDS 5. REFERENCE STANDARDS AND EXTERNAL MANUALThe quality manual describes the ISO 9001: 2000 standards adapted atShantesha Motors. BABASAB PATIL
  • 34. SHANTESHA MOTORS PVT. LTD.  The quality management system procedure manual SM/BGM/PM/O 1 contents the detail of how the processes in the organization are being conducted, control and recorded and meet the customer demands  The work instructions and checklist contains how the specified activities are to be carried out.  The forms and records support the activities carried out and controlled.  All the external manuals and standards are controlled.Management Commitment: The management of Shantesha is committed to quality management systemthrough leadership and actions. The management shall provides the basic infrastructureand continually upgrade the work environment.The management is also committed to  The quality policy and quality objective of organization.  Ensures that the policy is understood, implemented and maintained at all the levels of the organization  Ensure focus on the customer requirement throughout the organization.  Ensure availability of necessary resources.  Review the established quality management system periodically through the management reviews. BABASAB PATIL
  • 35. SHANTESHA MOTORS PVT. LTD.Customer Focus at Sales:  The Field executives visit the customers and explain the features of the vehicle to them  Demonstration and test drives shall be given whenever required.  The Performa invoice/price list terms and conditions will be given.  The order booking forms duly collected from the customer and clarity with regard to the terms and conditions are explained and the copy id handed over to customer along with the receipt or payment made.  Any amendment required by the customer, it should be recorded on the order booking forms  The delivery is insured as per the checklist duly explaining all the features mentioned in the checklist.Customer Focus at Service:a) The customer can book the vehicle for the servicing/repairs either through thetelephone or personally the front office.b) The detail shall be entered in booking register by the telephone operator.c) The list of the vehicles shall be given to front office ~very morning to accept the vehicles for servicing for that date. BABASAB PATIL
  • 36. SHANTESHA MOTORS PVT. LTD.d) The customer can bring their vehicle for servicing without booking. However suchvehicle shall be accepted only after ensuring that there is enough capacity for thebooked vehicles.e) On the bases of kilometers run by the vehicle and customer requirement, thecustomer shall explained about the type of the servicing/repairs and spareparts required and to ensure that the service station has the required capacityto accept the vehicle.f) Before accepting the vehicle, a mutually acceptable delivery time and date is fixed with the customer.g) The customers consent shall be taken on the estimated cost of the repair/service of the vehicle.h) All the details of the work required along with the date and time of the delivery and the established cost shall be recorded in the job order card before commencement of the work.i) Incase of any change in the terms any change in the services, the cost or the delivery time then the client shall be informed verbally over the phone and any change shall be recorded in the Job Order Card. BABASAB PATIL
  • 37. SHANTESHA MOTORS PVT. LTD.Quality Policy:  The management of Shantesha Motors shall always remain committed to its objectives for quality for with the main thrust on meeting the customer expectation and requirements.  The managements commitment to quality reflected in its quality policy."We at Shantesha pledged to make quality a way of life through commitment tocontinual improvement customer satisfaction and adhering to quality managementsystem"The management ensure that the policy is understood implemented and maintained at alllevels of the organization and continual improvement in customer satisfaction.At present our quality objectives are  We ensure that customer complaints do not exceed 8 per 10,000 vehicles.  We ensure that repeat job do not exceed 2 %  We ensure CSI of90% with minimum of 15% feed back cards. BABASAB PATIL
  • 38. SHANTESHA MOTORS PVT. LTD.  We ensure SSI of80% at sales with minimum of20% feedback cards.  We ensure to conduct 3 free emission/service check camps per quarter.  We ensure to launch I incentive scheme per month.  We ensure to conduct 4 internal audits and 4 MRMs per financial year of quality management system.QUALITY MANAGEMENT SYSTEM PLANNING The quality plan at Shantesha Motors comprises the identification of the following.  The various models of vehicles from Maruti Udyog Ltd sold and serviced at Shantesha Motors.  The various types of services done at Shantesha Motors.  The external manual acquired from Maruti Udyog Ltd to sell and service the vehicles. The various models of vehicles from Maruti Udyog Ltd. Sold and serviced at Shantesha Motors.  Maruti-800 car  Maruti omni  Zen BABASAB PATIL
  • 39. SHANTESHA MOTORS PVT. LTD.  Alto  Wagon-R  Esteem  Versa  Baleno  Vitara  SwiftThe various types of servicing done at Shantesha Motors.  Services-Free service and paid service.  Running repair.  Quick service repair.  Break down service.The external manuals acquired from Maruti Udyog Ltd. To sell and service thevehicles.  Sales policy bulletin  Marketing circulars  Service manuals BABASAB PATIL
  • 40. SHANTESHA MOTORS PVT. LTD.  Service circulars  Service bulletin  Warranty bulletin  Spares parts price catalogue  Spares parts price list  Spare parts procedure manuals  Spare parts bulletin  Spare parts circulars  Maruti service quality standards  Customer care manual  Service marketing manual.Competence Awareness and Training: a) Recruitment is done as per MUL norms of education and experience. b) There exists well-defined system to identify and provide training to all the personnel procedure No. SM/BGM/PR/12. BABASAB PATIL
  • 41. SHANTESHA MOTORS PVT. LTD. c) Induction training and on job training shall be provided d) All concerned shall be trained on the latest sales/service/spares/bulletins/circulars from MUL. e) As per the MUL scheduled training programme Executives/Mechanics/Manager will be d,eputed for training. f) Training records shall maintain.Identification and Tracebility:Identification:1. New vehicle, which has completed pre-delivery inspection, shall be identified as PDI-OK on the windshield, MUL Invoice and job order card, PDI and stockyard egister.2. Identification of vehicles at the service workshop shall be through vehicle model, registration number and unique job order Nos.3. Inspection and test status of service/repair of vehicles shall be identified through thejob order card.4. Completed job order card and the stamp of the final inspector shall identify Final OK vehicles.5. Identification of spare parts shall be in the form of part Nos., as per Marutiguidelines. BABASAB PATIL
  • 42. SHANTESHA MOTORS PVT. LTD.6. Identification of new vehicles is by its colour, model, chassis and engine Nos., MUL Invoice, stockyard register.Traceability:1. Traceability shall be established though vehicle registration No. Job order numberand the date of job order.2. Traceability of new vehicle at stockyard is established through chassis and engine No,keyno., and parking slot No.Monitoring and Measurement:Customer Satisfaction:1. Feedback received from the customer on their perception and service experiencecustomer satisfaction measure (percentage) is generated using software supplied byMaruti Udyog Ltd.2. Results of customer satisfaction measure are discussed in the management review meetings and counter measure for the continual improvement is initiated.Internal Audit: BABASAB PATIL
  • 43. SHANTESHA MOTORS PVT. LTD.There is a well-defined procedure No.: SM/BGM/04 to conduct internal audit andexaminethe implementation of Quality Management System.Monitoring and Measurement of Processes:1. Pre-sales process is monitored and measured by the number of enquires and theclosure of sales.2. Sales process is monitored customer personal docket checklist, commitment anddelivery, SSI%.3. In service, repeat jobs, customer complaints, feedback card %, CSI%, PSF%, final inspection are monitored.4. Statistical graphs are used to indicate themeasures.ImprovementContinual ImprovementShantesha Motors, Belgaum shall continually improve the effectiveness of the Qualitymanagement System through commitment to Quality policy, Quality objectives as wellas BABASAB PATIL
  • 44. SHANTESHA MOTORS PVT. LTD.use of audit results, management review meeting decisions, analysis of data, correctiveandpreventive actions.Corrective Action:There is a documented system procedure No. SM/BGM/PR/05 to implement correctiveaction on all the non-conformities arising from:  Customer complaints  Repeat Jobs  System Non Compliances  Post Service Follow Ups  Post Sales Follow ups  CSI negative feedback  SSI negative feedback  Road test  Final inspection  Internal Audit findings  Supervision by supervisor Work Managers  External Audits. BABASAB PATIL
  • 45. SHANTESHA MOTORS PVT. LTD.Preventive Action There is a documented System Procedure No.SM/BGM/PR/06 to identifypotential Non-Conformities like recurring Non-Conformities determined from Repeatjob, Final Inspection, washing Quality as well as for potential Non-Conformitiesdetermined during MRM, Meetings and Audits and Analysis of Customer Feedback. BABASAB PATIL
  • 46. SHANTESHA MOTORS PVT. LTD.ORGANIZATION STRUCTURE OF SHANTESHA MOTORS PVT LTD.Showroom and stockyard: Chief Executive Officer Management G.M.(Sales) Representative G.M.(Works) Sr. General Manager (Operations ) Asst. Mgr Sr. Exe Dy. Mgr Dy. Mgr Sr. Exe (Mgr (Mktg) (pre-Del) (System) (Sales) Admn) Field Pre-del & Sr. Exe Sales Dy. Mgr Dy. Mgr Executives Delivery (System) Executive (Sales) (Sales) Executive Stockyard Asst Asst. Supervisor System BABASAB PATIL Washing Mechanic Operator
  • 47. SHANTESHA MOTORS PVT. LTD. BABASAB PATIL
  • 48. SHANTESHA MOTORS PVT. LTD. BABASAB PATIL
  • 49. SHANTESHA MOTORS PVT. LTD. SAMPLINGSelection of Sample:Sampling allows us to concentrate our attention upon relatively small number of people andhence devote more energy to ensure that the information collected from them accurate.POPULATION: People from the city of BelgaumSAMPLE FRAME: People who has own a four-wheeler car and prospect Buyers.SAMPLING SIZE: 100 UNITDURATION: 60 DAYSSAMPLE METHOD: Specifically stratified Random sampling methodi.e. the whole Belgaum city was divided into four major geographicalSegments i.e. Bagynagar segment, Bogarways segment, Chidambernagar and J.N.M.C.segment. BABASAB PATIL
  • 50. SHANTESHA MOTORS PVT. LTD. RESEARCH DESIGNDEFINITION OF RESEARCH PROBLEM: 1. Management problem classification: In Indian car industry, small car segments have played a very crucial and significant role due to its economy, efficiency and effectiveness. Due to invasion of foreign cars into Indian markets the pace of competition has hiked. This has brought into market numbers of brands and their variants competing with each other. Hence in the meeting with sales manager and service manager, a research project was discussed where both the managers wanted to analyze the buying behaviour and the brand preferred by the customers in B-segment cars. 2. Situation analysis: The Maruti Udyog Ltd has two types of service stations. i) Authorized dealer with service station. ii) Authorized service stations.Shantesha Motors private Ltd. Comes under the first category i.e., authorized dealer withservice station but before Shantesha Motors there were two service station namely Achaland Bharat. And also other local service stations. 3 .Model development: The study will provide solutions to the problem of the management. BABASAB PATIL
  • 51. SHANTESHA MOTORS PVT. LTD. a) Management will know the most preferred brand by the customers. b)Management will know the buying behaviour of the customers. 4. Specification of information required: a) To know the features considered by the customer while purchasing a car. b) To know the facilities/services expected by the customers from the dealer of service station. c) To know the means of Finance preferred by the customers. .DATA COLLECION APPROACH : The information necessary for this survey is collected by tapping primary andsecondary data. Primary data: a)Questionnaire b)Personal interaction Secondary data: a) Related information from internet: . b) Organization Report BABASAB PATIL
  • 52. SHANTESHA MOTORS PVT. LTD.MEASURMENT TECHNIQUES :The measurement technique used for this project are Questionnaires andattitude scales.SELECTION OF SAMPLE :Sampling allows us to concentrate our attention upon relatively small number of people andhence devote more energy to ensure that the information collected from them accurate.POPULATION: People from the city of BelgaumSAMPLE FRAME: People who has own a four-wheeler car and prospect Buyers.SAMPLING SIZE: 100 UNITDURATION: 60 DAYSSAMPLE METHOD: Specifically stratified Random sampling methodi.e. the whole Belgaum city was divided into four major geographicalSegments i.e. Bagynagar segment, Bogarways segment ,Chidambernagar and J.N.M.C.segment.SELECT THE METHOD OF ANALYSIS:Data are useful only after analysis. Data analysis involves Converting a series recordedobservations into descriptive statements and information about relationship.Hence concerned to this project method of analysis the data will be graphicalmethod,Simple Percentage method. BABASAB PATIL
  • 53. SHANTESHA MOTORS PVT. LTD. ETHICS OF THE RESEARCH: This will be note that the issues relating to the research will be review thatall the aspects will be certain and ethically sound. The information will be usedfor academic purpose as well as the benefit of the organization.DATA COLLECION METHOD: The information necessary for this survey is collected by tapping primary and secondary data. Primary data: a)Questionnaire b) Personal interaction Secondary data: a) Related information from internet. . b) Organization Report.MEASURING TOOLS:Data are useful only after analysis. Data analysis involves Converting a series recordedobservations into descriptive statements and information about relationship.Hence concerned to this project method of analysis the data will be graphicalmethod, Simple Percentage method. BABASAB PATIL
  • 54. SHANTESHA MOTORS PVT. LTD. BABASAB PATIL
  • 55. SHANTESHA MOTORS PVT. LTD. ANALYSIS 1. Please rank the following features when you buy a new car. a) Look/ Aesthetics Rank No. of Percentage respondent 1 4 4 2 16 16 3 8 8 4 40 40 5 4 4 6 4 4 7 - - 8 12 12 9 12 12 Look. 9 1 12% 4% 2 1 16% 8 2 12% 3 7 3 4 0% 8% 5 6 6 4% 7 5 8 4% 9 4 40%The above graph shows rank wise percentage of customer’s preference for Look. It showsthat Look is not their first preference, 40% of the respondents have given 4th rank for Lookwhereas only 4% have given 1st rank for the look. BABASAB PATIL
  • 56. SHANTESHA MOTORS PVT. LTD. b) Price: Rank No. of Percentage respondent 1 12 4 2 60 16 3 8 8 4 8 8 5 - - 6 - - 7 8 8 8 4 4 9 - - Price 9 0% 8 1 7 4% 12% 6 5 8% 1 4 0% 2 8% 3 4 3 8% 5 6 7 8 2 9 60%The above graph shows rank wise percentage of customer’s preference for Price. It showsthat Price is their second preference,60% of the respondents have given 2nd rank for Price,whereas only 12% have given 1st rank for the Price. BABASAB PATIL
  • 57. SHANTESHA MOTORS PVT. LTD. c) Mileage Rank No. of Percentage respondent 1 68 68 2 8 8 3 12 12 4 4 4 5 8 8 6 - - 7 - - 8 - - 9 - - Mileage. 5 9 8 7 6 4 8% 0% 4% 1 3 2 12% 3 4 5 2 6 8% 7 1 68% 8 9The above graph shows rank wise percentage of customer’s preference for Mileage. Itshows that Mileage is their First preference i.e. 68% of the respondents have given 1st rankfor Mileage. BABASAB PATIL
  • 58. SHANTESHA MOTORS PVT. LTD.d) Maintenance Rank No. of Percentage respondent 1 4 4 2 - - 3 56 56 4 16 16 5 4 4 6 8 8 7 - - 8 8 8 9 4 4 Maintenance. 8 1 8% 4% 7 9 4% 2 0% 0% 1 6 2 8% 3 5 4 4% 5 6 4 3 7 16% 56% 8 9The above graph shows rank wise percentage of customer’s preference for Maintenance. Itshows that Maintenance is not their First preference, 56% of the respondents have given3rd rank for Maintenance, whereas only 4% have given 1st rank for the Maintenance. BABASAB PATIL
  • 59. SHANTESHA MOTORS PVT. LTD. e) Safety features Rank No. of Percentage respondent 1 8 8 2 12 12 3 4 4 4 12 12 5 16 16 6 36 36 7 4 4 8 4 4 9 4 4 Safety features. 8 9 1 4% 4% 8% 7 2 1 4% 12% 2 3 3 4 4% 5 6 4 6 36% 12% 7 8 9 5 16%The above graph shows rank wise percentage of customer’s preference for Safety features.It shows that Safety is not their First preference, 36% of the respondents have given 6thrank for safety, whereas only 8% have given 1st rank for the safety features. BABASAB PATIL
  • 60. SHANTESHA MOTORS PVT. LTD. f) Company’s service: Rank No. of Percentage respondent 1 - - 2 - - 3 - - 4 12 12 5 12 12 6 12 12 7 16 16 8 44 44 9 4 4 Companys service. 3 2 1 4 9 0% 12% 4% 1 5 2 12% 3 4 8 5 44% 6 6 12% 7 8 9 7 16%The above graph shows rank wise percentage of customer’s preference for companyservice. It shows that company service is not their First preference, 44% of the respondentshave given 8th rank for company service, whereas no one has given 1st rank for thecompany service. BABASAB PATIL
  • 61. SHANTESHA MOTORS PVT. LTD. g) Space: Rank No. of Percentage respondent 1 - - 2 - - 3 4 4 4 - - 5 40 40 6 8 8 7 4 4 8 12 12 9 32 32 Space. 2 1 3 4 0% 0% 4% 1 9 2 32% 3 5 4 40% 5 6 7 8 8 9 12% 7 6 4% 8%The above graph shows rank wise percentage of customer’s preference for Space. It showsthat Space is not their First preference, 40% of the respondents have given 5th rank forsafety , whereas no one has given 1st rank for the safety features. BABASAB PATIL
  • 62. SHANTESHA MOTORS PVT. LTD. h) Ready availability: Rank No. of Percentage respondent 1 - - 2 - - 3 4 4 4 - - 5 40 40 6 8 8 7 4 4 8 12 12 9 32 32 Ready availability. 2 1 3 4 0% 0% 4% 1 9 2 32% 3 5 4 40% 5 6 7 8 8 9 12% 7 6 4% 8%The above graph shows rank wise percentage of customer’s preference for Readyavailability. It shows that Ready availability is not their First preference, 40% of therespondents have given 5th rank for Ready availability, whereas no one has given 1st rankfor the Ready availability. BABASAB PATIL
  • 63. SHANTESHA MOTORS PVT. LTD. i) Comfort: Rank No. of Percentage respondent 1 4 4 2 4 4 3 4 4 4 4 4 5 8 8 6 20 20 7 16 16 8 4 4 9 36 36 Comfort. 2 4% 1 3 4% 4% 4 1 4% 2 9 36% 5 3 8% 4 5 6 7 6 20% 8 8 9 4% 7 16%The above graph shows rank wise percentage of customer’s preference for Comfort. Itshows that Comfort is not their First preference, 36% of the respondents have given 9thrank for Comfort, whereas only 4% have given 1strank for Comfort. BABASAB PATIL
  • 64. SHANTESHA MOTORS PVT. LTD.2) What is your budget for a new car? Purchasing power of the Number of Respondent in respondent respondent Percentage < 3L 20 20% 3-4L 64 64% 4-5L 16 16% Purchasing power of the Customers 16% 20% < 3L 3-4L 4-5L 64%  The above graph shows that 20% of respondents are willing to spend less than 3 Lakh rupees, 64% of respondents are willing to spend between 3-4 Lakh rupees and 16% of respondents are willing to spend between 4-5 Lakh rupees. BABASAB PATIL
  • 65. SHANTESHA MOTORS PVT. LTD.3) Which of the following facilities/ services do you except from the dealer?Facilities / Services No. Of RespondentsQuick service 841 Yr Free service 76Discount on Accessories 12Home Delivery 8Discount on Spare Parts 24Installment Payment Facility 72Discount on Stereo System 8Vehicle Registration Process 12 Facilities Expected By Customers 12 Quick service 8 84 1 Yr Free service 72 Discount on Accessories Home Delivery Discount on Spare Parts Installment Payment Facility 24 Discount on Stereo System 8 12 76 Vehicle Registration Process  According to customer preference quick service, 1 Yr Free service and installment payment facility are considered to be the most important facility / services from the dealer / service station. BABASAB PATIL
  • 66. SHANTESHA MOTORS PVT. LTD. 4) Which means of Finance would you prefer? No. OfRespondentMeans of Finance Respondents in percentageEmployee Loan 16 16%Bank Loan 64 64%Car Finance Companies 12 12%Co-operative Society 8 8% Means of Finance70%60%50%40%30%20%10% 0% Employee Loan Bank Loan Car Finance Co-operative Companies Society  It is found from the survey that 64% of the respondents prefer bank loan as the means on finance followed by employee loan, car finance companies, and co- operative society. BABASAB PATIL
  • 67. SHANTESHA MOTORS PVT. LTD.5) Rank the following in the order of preference: a) Maruti DLX: Rank No. of Percentage respondent 1 4 4 2 4 4 3 4 4 4 - - 5 - - 6 12 12 7 - - 8 - - 9 16 16 10 60 60 Maruti DLX. 1 2 4% 4% 3 4 5 1 4% 0% 2 6 3 12% 4 8 7 5 0% 6 10 7 60% 9 16% 8 9 10The above graph shows rank wise percentage of customer’s preference for Maruti DLXcar. It shows that Maruti DLX car is not their First preference, 60% of the respondentshave given 10th rank for Maruti DLX, whereas only 4% have given 1st rank for MarutiDLX. BABASAB PATIL
  • 68. SHANTESHA MOTORS PVT. LTD.b) Maruti Zen: Rank No. of Percentage respondent 1 4 4 2 4 4 3 12 12 4 4 4 5 12 12 6 4 4 7 4 4 8 8 8 9 48 48 10 - - Maruti Zen. 10 1 2 0%4% 4% 1 3 12% 2 3 4 4 9 4% 5 48% 6 5 7 12% 8 6 9 4% 10 8 7 8% 4% The above graph shows rank wise percentage of customer’s preference for Maruti Zen car. It shows that Maruti Zen car is not their First preference, 48% of the respondents have given 9th rank for Maruti Zen, where as only 4% have given 1st rank for Maruti Zen. BABASAB PATIL
  • 69. SHANTESHA MOTORS PVT. LTD.c) Maruti Alto: Rank No. of Percentage respondent 1 64 64 2 8 8 3 4 4 4 8 8 5 4 4 6 8 8 7 4 4 8 - - 9 - - 10 - - 8 Maruti Alto. 0% 7 9 4% 0% 6 10 8% 0% 1 5 4% 2 3 4 8% 4 5 3 4% 6 7 2 1 8% 64% 8 9 10 The above graph shows rank wise percentage of customer’s preference for Maruti Alto car. It shows that Maruti Alto car is their First preference i.e. 64% of the respondents has given 1st rank for Maruti Alto. BABASAB PATIL
  • 70. SHANTESHA MOTORS PVT. LTD.d) Maruti Swift: Rank No. of Percentage respondent 1 4 4 2 8 8 3 64 64 4 8 8 5 4 4 6 4 4 7 - - 8 8 8 9 - - 10 - - Maruti Swift 8 10 1 9 7 0% 2 6 8% 4% 0% 8% 1 5 4% 2 4% 3 4 8% 4 5 6 7 8 9 3 10 64% The above graph shows rank wise percentage of customer’s preference for Maruti SWIFT car. It shows that Maruti SWIFT car is not their First preference, 64% of the respondents have given 3rd rank for Maruti SWIFT, where as only 4% has given 1 st rank for the Maruti SWIFT. BABASAB PATIL
  • 71. SHANTESHA MOTORS PVT. LTD.e) Maruti WagonR: Rank No. of Percentage respondent 1 - - 2 4 4 3 - - 4 8 8 5 8 8 6 4 4 7 56 56 8 8 8 9 8 8 10 4 4 WagonR 10 4% 1 2 3 9 0% 0% 4 4% 1 8% 8% 2 8 5 8% 8% 3 6 4 4% 5 6 7 8 9 7 10 56% The above graph shows rank wise percentage of customer’s preference for Maruti WagonR car. It shows that Maruti WagonR car is not their First preference, 56% of the respondents have given 7th rank for Maruti WagonR, whereas no one has given 1st rank for Maruti WagonR. f) Fiat Palio BABASAB PATIL
  • 72. SHANTESHA MOTORS PVT. LTD. Rank No. of Percentage respondent 1 12 12 2 - - 3 4 4 4 4 4 5 4 4 6 48 48 7 8 8 8 4 4 9 4 4 10 12 12 Fiat Palio. 2 0% 10 1 3 9 12% 12% 4% 1 4% 4 2 8 4% 3 4% 5 4 7 4% 5 8% 6 7 8 9 10 6 48% The above graph shows rank wise percentage of customer’s preference for Fiat Paliocar. It shows that Fiat Palio is not their first preference, 48% of the respondents havegiven 6th rank for Fiat Palio, where as only 12% of the respondents have given 1 st rankfor Fiat Palio. BABASAB PATIL
  • 73. SHANTESHA MOTORS PVT. LTD.h) Hyundai Santro: Rank No. of Percentage respondent 1 4 4 2 44 44 3 8 8 4 4 4 5 12 12 6 8 8 7 4 4 8 8 8 9 8 8 10 - - Hyundai Santro. 10 0% 9 8% 1 8 1 4% 8% 2 7 3 4% 4 6 5 8% 2 44% 6 7 5 8 12% 9 4 10 3 4% 8% The above graph shows rank wise percentage of customer’s preference for Hyundai Santro car. It shows that Hyundai Santro is not their First preference, 44% of the respondents have given 2nd rank for Hyundai Santro whereas only 4% of the respondents have given 1st rank for Hyundai Santro. BABASAB PATIL
  • 74. SHANTESHA MOTORS PVT. LTD.i) Hyundai Getz: Rank No. of Percentage respondent 1 4 4 2 12 12 3 - - 4 40 40 5 12 12 6 - - 7 8 8 8 12 12 9 8 8 10 4 4 Hyundai Getz. 10 1 9 4% 4% 2 8% 1 12% 2 8 3 3 12% 0% 4 5 7 6 8% 7 6 8 0% 4 9 5 40% 12% 10 The above graph shows rank wise percentage of customer’s preference for Hyundai Getz car. It shows that Hyundai Getz is not their First preference, 40% of the respondents have given 4th rank for Hyundai Getz whereas only 4% of the respondents have given 1st rank for Hyundai Getz. BABASAB PATIL
  • 75. SHANTESHA MOTORS PVT. LTD.j) Tata Indica: Rank No. of Percentage respondent 1 4 4 2 12 12 3 4 4 4 16 16 5 40 40 6 4 4 7 4 4 8 4 4 9 - - 10 12 12 10 12% Tata Indica. 9 0% 1 8 2 4% 4% 1 12% 7 2 4% 3 3 4% 6 4 4% 5 4 6 16% 7 8 9 5 10 40% The above graph shows rank wise percentage of customer’s preference for Tata Indica car. It shows that Tata Indica is not their First preference, 40% of the respondents have given 5th rank for Tata Indica whereas only 4% of the respondents have given 1st rank for Tata Indica. BABASAB PATIL
  • 76. SHANTESHA MOTORS PVT. LTD.6) Do you own a car? Response No. of Respondent Respondents in % Yes 68 68% No 32 32% Do you own a car? 80 68 70 60 50 Percentage Yes 40 32 No 30 20 10 0 Yes No  The above graph shows that 68% of the respondents are owners of cars and 32% of respondent have not owned car but are prospect buyers. BABASAB PATIL
  • 77. SHANTESHA MOTORS PVT. LTD.7) Why do you opt for a four wheeler? Purpose Respondent Need 4 Comfort / Convenience 52 Status 12 Purpose for owning a car? 60 52 50 40 Percentage 30 Respondent 20 12 10 4 0 Need Comfort / Status Convenience  It is found from the survey that 52% of the respondent opt four-wheeler for the comfort / convenience but not for need & status. BABASAB PATIL
  • 78. SHANTESHA MOTORS PVT. LTD.8) How did you get to know about this car? Percentage Awareness No. of respondent TV Advertisement 26 38.24 Magazines / Newspaper 7 10.29 Friends 22 32.35 Existing Customers 9 13.24 Car Finance Companies 4 5.88 How did you get to know about this car? 45 38.24 40 32.35 35 Percentage 30 25 No. of respondent 20 13.24 15 10.29 10 5.88 5 0 Car Finance Magazines / Newspaper Friends Advertisement Customers Companies Existing TV  The above graph shows that 38.24% of the respondents came to know about this car through TV advertisement and 32.35% of the respondents came to know about the car through friends. BABASAB PATIL
  • 79. SHANTESHA MOTORS PVT. LTD.11) Please tick the following attributes of your car a) Price Respondents Percentage Expensive 25 36.76 Reasonable 43 63.24 PRICE 70 63.24 60 50 Percentage 40 36.76 Expensive 30 Reasonable 20 10 0 RespondentsFrom the above graph it is clear that 63.24% of the respondents feel that the car whichthey own is expensive and 36.76% feel that the price of the car which they own isreasonable. BABASAB PATIL
  • 80. SHANTESHA MOTORS PVT. LTD. b) Style/Aesthetics Respondents Percentage Stylish 51 75 Simple 17 25 STYLE / AESTHETICS 80 75.00 70 60 50 Percentage Stylish 40 Simple 30 25.00 20 10 0 RespondentsFrom the above graph it is clear that 75% of the respondents feel that the car which theyown is stylish and 25% feel that the car which they own is simple. BABASAB PATIL
  • 81. SHANTESHA MOTORS PVT. LTD. BABASAB PATIL
  • 82. SHANTESHA MOTORS PVT. LTD.c)Comfort Respondents PercentageMore comfortable 56 82.35Less comfortable 12 17.65 COMFORT 90 82.35 80 70 60 Percentage 50 More comfortable 40 Less comfortable 30 17.65 20 10 0 Respondents From the above graph it is clear that 82.35% of the respondents feel that the car which they own is comfortable and 17.65% feel that the car which they own is less comfortable. BABASAB PATIL
  • 83. SHANTESHA MOTORS PVT. LTD.d)Maintenance Respondents PercentageExpensive 49 72.06Reasonable 19 27.94 MAINTENANCE 80 72.06 70 60 50 Percentage Expensive 40 Reasonable 27.94 30 20 10 0 RespondentsFrom the above graph it is clear that 72.06% of the respondents feel that the maintenancecost of the car which they own is expensive and 27.94% feel that the maintenance cost ofthe car which they own is reasonable. BABASAB PATIL
  • 84. SHANTESHA MOTORS PVT. LTD. e)Fuel efficiency Respondents PercentageSatisfactory 44 64.71Not satisfactory 24 35.29 FUEL EFFICIENCY 70 64.71 60 50 Percentage 40 35.29 Satisfactory Not satisfactory 30 20 10 0 Respondents From the above graph it is clear that 64.71% of the respondents feel that the fuel efficiency of the car which they own is satisfactory and 35.29% feel that the fuel efficiency of the car which they own is not satisfactory. BABASAB PATIL
  • 85. SHANTESHA MOTORS PVT. LTD. APPENDIXQUESTIONNAIREPlease tell us about yourselfName:______________________________________________Age:________________________________________________Sex:________________________________________________Occupation:__________________________________________1. Please rank the following features when you buy a new car. (Starting from 1 to 9, 1 for the most preferred and 9 for the least preferred) Look/Aesthetics [] Price [] Mileage [] Maintenance [] Safety Features [ | Company Service [] Space [] Ready Availability [] Comfort [] BABASAB PATIL
  • 86. SHANTESHA MOTORS PVT. LTD. 2. What is your budget for a new car? < 3 Lakh [ ] 3-4 Lakh [ ] 4-5 Lakh [ ] 3. Which of the following Facilities/Services do you expect from the dealer? Quick Service [j 1 year free Insurance [] Discount on Accessories [] Home Delivery [] Discount on Spare Parts [] Installment Payment Facility [ ] Discount on Stereo System [ ] Vehicle Registration Process [ ]4. Which means of Finance would you prefer? Employee Loan [] Bank Loan [] Car Finance Companies [ ] Co-operative Society [ ] If any other Specify____________________________________________5. Rank the following in the order of preference. (Starting from 1 to 10, 1 for the most preferred and 10 for the least preferred) Maruti DLX [] Zen [] Alto [] Swift [] Wagon-R [] FiatUno [] BABASAB PATIL
  • 87. SHANTESHA MOTORS PVT. LTD. Fiat Palio [] Hyundai Santro [ ] Hyundai Getz [] Tata Indica []Why do you rank the particular car as NO. 1?6. Do you own a Car? Yes [ ] No [ ] (If No, skip the below Questions)7. Why do you opt for a four-wheeler? Need [ ] Comfort/Convenience [ ] Status [ ]8. Do you find any difficulties in your Car? Yes [ ] No [ ] If yes, what are they? Spare Parts [ ] Mileage [] Company Services [ ] Space [] Service [] Maintenance [ ] Safety [] Comfort [] BABASAB PATIL
  • 88. SHANTESHA MOTORS PVT. LTD.9. Name and dealer of your Previous and Presently Owned Car. Name of the Car: Previous 1____________ 2____________ Present __________ Name of the dealer: Previous 1____________ 2 ____________ Present ___________10. How did you get to know about this Car?(Tick any one). T.V advertisement [] Magazines/Newspaper [ ] Friends [] Existing Customers [] Car Finance Companies [ ] Any other please specify_____________________11.Please tick the following attributes of your car.a. Price: Expensive [] Reasonable []b. Style/Aesthetics: Stylish [] Simple []c. Comfort: More comfortable [ ] Less comfortable []d. Maintenance: Expensive [] Reasonable []e. Fuel Efficiency: Satisfactory [ ] Not-satisfactory [] BABASAB PATIL
  • 89. SHANTESHA MOTORS PVT. LTD.12. Given a Second chance which car would you buy from the same budget?13. Please suggest any areas for improvement in your car dealer.Thank you for your Co-operation. BABASAB PATIL
  • 90. SHANTESHA MOTORS PVT. LTD.FINDINGS  According to survey it is found that 68% of respondents Prefer Mileage as the first most crucial feature considered while purchasing a car,and price is considered as the second considerable feature i.e 60% and maintenance cost is considered as the third considerable feature while purchasing a car i.e 56%.  It is found from the survey that 64% of the respondents are willing to pay 3-4 lakh for a new car,20% of the respondents are willing to pay less than 3 lakh for a new car, and 16% of the respondent are willing to pay 4-5 lakh rupees for a new car.  It is found that 84% of the respondent prefer Quick service as the most preferred facilitiesservices expected from the dealer and the next preferred facilities/services are one year free service i.e76% and Installment payment facility i.e72%  It is found that 64% of the respondent prefer Bank loan as the most preferred means of finance.  Maruti Alto stood first as the most preferred car among the B-segment cars followed by Hyundai Santro and Maruti DLX stood last.  It is found from the survey that 68% of the respondents are owners of B- segment cars.  It is found that 52% of customers opted car for comfort /convince rather than need and status.  It is found that 38.24% of the respondents came to know about the car through T.V advertisements and 32.35% of the respondents came to know about the car through friends.. BABASAB PATIL
  • 91. SHANTESHA MOTORS PVT. LTD.SUGGESTION  It is found that in this segment the important features considered by the customers while buying a car are mileage, price & maintenance. So manufacturer has to consider these aspects to attract and retain customers thus making an effort to build a good brand image.  Discount on accessories and spare parts also act as influencing factors for purchase decision. So dealer can give discounts on spare parts and accessories, after sales for a period of a year or two to stimulate the customers.  Customers want service at their doorsteps but are unaware of the home delivery facility provided by the dealers. So a measure has to be taken to create awareness in this direction.  Most of the customers buy cars from bank loan rather than financial companies. So the companies have to come up with attractive loan facilities to their customers.  Word of mouth is effective media of communication. Hence the dealer should keep the existing customers happy by providing good service and make customers talk good about their service provided.CONCLUSIONBelgaum although a small city, is dwelled by middle and higher-class people inmajority. Thus the market for four-wheeler has never been a dearth here. But of all thevarieties available in this segment, small cars are most preferred.Customers in this segment want to adopt change into their life style. This has fosteredentry of varieties of small cars available nation-wide to flourish in this market. Thishas enhanced the competition in this car segment. But Maruti with stood thiscompetition by retaining its market share to be the highest.The results of the survey conducted showed that Maruti Alto Brand is the mostpreferred car followed by Santro and it also showed the buying behaviour ofcustomers that the most of the customer purchase car based on mileage followed byprice and maintenance. BABASAB PATIL
  • 92. SHANTESHA MOTORS PVT. LTD. BIBLOGRAPHYREFERANCE BOOKS:Marketing research : Tull and HawkinsMarketing research : A.Parasuraman, Dhruv Grewal and R.Krishnan.INTERNET WEBSITES:WWW.MARUTIUDYOG.COMwww.google.com BABASAB PATIL
  • 93. SHANTESHA MOTORS PVT. LTD. BABASAB PATIL