“To Examine the Impact of Advertisement Effectiveness on Consumer”

~By Keyur Modi Page 1
A
Summer Internship Project Report
On
“To Examine the Impact of Advertisement Effectiveness on
Consumer”
At
KATARIA AUTOMOBILE
MBA (SEMESTER - III)

INTRODUCTION ON AUTOMOBILE INDUSTRY:-
The automobile industry is one of the core industries in India and largest industry in the
global market. Automobile Sector occupies an important place in the fabric of Indian
Economy. This is leader in product and process technologies in the manufacturing sector. It
has been recognized as one of the drivers of economic growth and the domestic. It is believed
to be the indicator of the economy. Such a belief is in line with international trends since in
most mature economies its performance is viewed as a reflection of the economy’s health.
This sector has developed as dawn sector in the Indian economy. According to data published
by Department of Industrial Policy and Promotion (DIPP), ministry of Commerce, the
amount of increasing foreign direct investment (FDI) inflow into the auto-mobile area from
April 2000 to November 2012 was Net-worth US$7,518 million. The auto sector accounts for
4 percent of the total FDI Inflows (in terms of US $) in India.
According to the recent data released by Society of Indian Automotive Manufacturers
(SIAM) India’s scooter and motorcycle manufacture have registered 4 percent growth during
April-November 2012.The automobiles sector is divided into four segments, - (1) two-
wheelers, (2) passenger vehicles, (3) commercial vehicles and (4) three wheelers. Two
wheelers India is one of the world’s highest growing car markets it is second largest two
wheeler manufacturer and fifth largest commercial vehicle manufacturer. It is also home for
the major motor cycle manufacturer. Moreover, India is fourth largest passenger car market
in Asia.
The automobile sector in India has achieved a growth rate of 26% in last two years (2010-
12). However, it has shown a sluggish growth of 12 percent in 2012. The movement is likely
to stay with a 10 percent growth outlined for 2013. The main reason are high ownership costs
(fuel costs, cost of registration, excise duty, road tax) and slow rural income growth. Over the
next few Years solid but alert growth is expected. The Macquarie equities research reveals
that the sale of passenger vehicles is expected to double in the next 4 years and growth
expected is higher than the 16% achieved in the past 10 years. The growth for auto-mobile
industry is important for growth in economy, particularly because the automotive industry
has strong multiplier effect.

Following are some of the important growth drivers:
(1) Road infrastructure development: Infrastructure development in India has
paid majorly in the country’s economic transformation and growth during the
last decade. Development of Road is one of key sector of infrastructure
development in India. With a total distance of 4.1 million km, today Indian
road network is the second largest in the world.
(2) Increase in per capita income: India’s gross national income per capita has
increase near Rs.53,331/-in 2010-11, which is three times the per capital
income of Rs.19040 in 2002-03’averaging 13.7%growth over these eight
years.
(3) Cost effectiveness over other developing countries: Due to availability of
skilled and qualified engineers, India has a competitive edge over the
developing countries in terms of labor cost. In terms of cost, with availability
of skilled labor and qualified engineers, India has competitive edge over
developing countries.
(4) Research $ Development and Innovations: Research & Development and
Originations are oil for development of automobile industry. Since in
Automobile sector being of the proper is determined by innovation, the
innovations and inventions of new processes and heart of the automobile
industry.
(5) Urbanization changes the face of Indian auto industry: The rapid
development Due to migration of the younger generation to cities for higher
education and in search of better opportunities have helped I flourishing the
Automobile Industry in India.
(6) Growing middle and working class population: With the Increase in per
capita income, growing employment opportunities with opening up of private
sector, there is transition from lower class to middle class. According to the
planning Commission report, between the year 2003 and 2009,130 million
people would have been added to the working population.
(7) Availability of cheaper and easier finance: Not only financial institutions
but also nationalized and scheduled banks offer loans for purchase.

HISTORY OF AUTOMOBILE INDUSTRY
The history of automobile industry is more than four centuries old the first invention of
automobile industry was as early as in 1769. The series of the automobile however was very
brief. The automobiles were driven by steam engines, which made them very heavy and
large. Besides, this the engine required ample starting time. Thereafter, in the U.S. Oliver
Evans designed a steam engine driven automobile. Then it came with the era of electric
carriage. A Scotsman, Robert Anderson, Stock an electric carriage between 1832 & 1839
first. In 1842 Thomas Davenport of the U.S.A and Scotsman Robert Davidson invented more
applicable automobiles, production use of non-rechargeable electric batteries.
The first car in India’s roads in 1898 in Bombay. Ager the end of the World War a large
number of military vehicles come on the roads in India in 1919. American General Motors,
an entirely owned Indian secondary of started assembly of CKD Trucks and Cares in 1928 In
Bombay. Canadian Ford Motors started assembly of cars in 1930-31 in Madras, Bombay and
Calcutta. In 1942 Hindustan Motors Lt was incorporated. Hindustan Motors produced its first
vehicle in 1950. In 1944 premier Automobiles Ltd incorporated. The 1st vehicle was launched
in 1947. So 1947 Bajaj started gathering of Auto in its scheme of replacing series rickshaw
by auto under a license from Piaggio. Due to nationalization and the license raj, the growth
was relatively slow in the 1950 and 1960 companies made entry: Suzuki, Honda, Kawasaki,
and Yamaha – all from Japan, Honda, and Piaggio (Italy) Scooters: Steyr Daimler Puch
(Austria), Zundapp (Germany) Mopeds: Agrati Garelli (Italy).
Starting time:
The history of automobile manufacturing in India is also quite old. Simpson & Co
introduced in 1840 were the first to build a steam car and a steam bus in India. Ager the
end of the world war a large number of military vehicles come on the roads in India in
1919. American general motors, a wholly owned Indian subsidiary of started assembly
of CKD trucks and cars in 1928 in Bombay. Canadian ford motors started assembly
of cars in 1930 /31 in Madras, Bombay and Calcutta.
In 1982 Maruti Udyog limited came up as a government initiative in Collaboration with
Suzuki of Japan to established volume production of Contemporary models.

World Market
The automotive industry begins in the 1860s with hundreds of manufacturers that pioneered
the horseless carriage. For many years, the United States led the world in total automobile
production. In 1929, the world had 32,028,500 automobiles in use, and the U.S. automobile
manufacturing formed over 90% of them. At that time the U.S. had one car per 4.87
persons. After World War II, the U.S. produced about 75% of world's auto production. In
1980, the U.S. was overtake by Japan and then became world's leader again in 1994. In 2006,
Japan narrowly passed the U.S. in manufacture and held this rank until 2009, when China
took the top spot with 13.8 million units. With 19.3 million units produced in 2012, China
nearly doubled the U.S. manufacture, with 10.3 million units, while Japan was in 3rd place
with 9.9 million units.
SAFETY
Safety is a state that implies to be protected from any risk, danger, damage or cause of
damage. In the automotive sector, safety refers that users, operators or manufacturers do not
face any risk or danger coming from the motor vehicle or its spare parts. Protection for the
automobiles themselves implies that there is no risk of damage.
In the automobile Sectors, safety is very important and therefore highly in
time. Automobiles and other motor vehicles have to examine with a certain number of norms
and regulations, whether local or international, in order to be received on the market. The
standard ISO 26262, is careful as one of the top practice framework for achieving
automobile functional safety.
ECONOMY:
All over the world, there were about 806 million cars and light trucks on the road in 2007,
through over 980 billion of gasoline and diesel fuel yearly. The automobile is a main mode of
transportation for many industrial economies.The Detroit division of Boston Consulting
Group predicts that, by 2014, one-third of world Demand will be in the four BRIC markets.
For now, in the developed countries, the Automobile sector has slowed down. It is also
accepted that this trend will Constant, especially as the younger generation of people no
longer want to own car anymore, and favour other modes of transports potentially
Strong automotive markets which are Iran & Indonesia. Emerging auto markets already buy
more cars than established in the markets.

Top 20 motor vehicle producing countries (2018)
Country Motor vehicle production (units)
China 29,015,434
United States 11,189,985
Japan 9,693,746
Germany 5,645,581
India 4,782,896
South Korea 4,114,913
Mexico 4,068,415
Spain 2,848,335
Brazil 2,699,672
France 2,227,000
Canada 2,199,789
Thailand 1,988,823
United Kingdom 1,749,385
Turkey 1,695,731
Russia 1,551,293
Iran 1,515,396
Czech Republic 1,419,993
Indonesia 1,216,615
Italy 1,142,210
Slovakia 1,001,520

Indian Market
The Indian auto industry became the 4th biggest in the world with sales increasing 9.5 %
year-on-year to 4.02 million units (excluding two wheelers) in 2017. It was the 7th biggest
manufacturer of commercial vehicles in 2017.
The Two Wheelers segment dominates the market in terms of volume owing to increasing
middle class and a young population. Moreover, the increasing interest of the companies in
exploring the rural markets further aided the growth of the sector.
India is also a prominent auto exporter and has strong export increase expectations for the
near future. Overall automobile exports from India grew at 6.86 % CAGR between FY13-18.
In addition, some initiatives by the central Government of India and the main automobile
players in the Indian market are estimated to make India a leader for the two wheelers as well
as for four wheeler markets in the world by 2020.

MARKET SIZE
The market size overall domestic automobile sales increase at 7.1 % CAGR between
fy13/18 with 24.97 million vehicles getting scolding FY 18. The auto industry is set to
witness major changes in the form of electric vehicles shared mobility, Bharat stage
emission and safety norms. Electric cars in India are expected to get new green number plates
and may also get free parking for 3 years along with toll waivers. Premium motorbike sale in
all India cross one million units in FY– 18.
Investments
Investment in order to keep up with the increasing demand, several automaker have started
investing heavily in various segment in the industrial during the previous few months.
The industry has attach with foreign direct investment worth Us $ 18.413 billion during
the period April 2000 to December 2016, according to data realized by department of
industrial policy and promotion.
Government Initiatives
The Government of India encourages foreign investment in the automotive industry and
allows 100 % FDI under the automatic route. Several of the current initiatives taken by the
central Government of India which are as follow:-
 The Government of Karnataka is going to obtain electric vehicles under FAME
Scheme and set up charging infrastructure across Bangalore, according to Mr. R V
Deshpande, Minister for big and Medium Industries of Karnataka.
 The Heavy industry and Government of India have short-list 11 big cities of India,
introduction of Electric Vehicle (EV) in the public moving systems below the FAME
(Faster Adoption and Manufacturing of and Electric Vehicles in India) scheme. The
government will also set up incubation centre for start-up working in electric vehicles
space.
 Energy Efficiency Services Limited (EESL), under Ministry for Power and New and
Renewable Energy, Government of India, is planning to procure 10,000 e-vehicles via
demand aggregation, and has already awarded agreements to Tata Motors Ltd for 250
electronic cars and to Mahindra and Mahindra for 150 electronic cars.

 The Indian government is planning for setting-up a group to develop an institutional
framework on large-scale approval of Electric vehicle (EV) in India as a practical
fresh energy mode, especially for shared mass transport, to help carry down pollution
level in major cities.
RoadAhead
The ROAD AHEAD automobile industry is supporting by various factor such as
availability of skilled labour at low cost, robust R&D centre and low cost steel
production. The industry is also providing the great opportunities for investment and
direct or indirect employment to skilled or unskilled labour. Indian automotive industry is
expected to reach Indian Rs 16.16/18.18 trillion (US$ /251.4/282.8 billion) by 2026.
Two-wheelers are expected to grow 9 percent in 2018.

About major companies in the Automobile Industry
No. Companies Names
1. Tata Motors
2. Mahindra & Mahindra Ltd
3. Maruti Suzuki
4. Hero MotoCorp Ltd
5. Bajaj Auto Limited
6. Toyota Motor Corporation
7. Chevrolet
8. Honda Motor Co Ltd. Company
9. Ford Motor Company

About The Company
 COMPANYPROFILE:
Type Public
Industry Automobile
Predecessor(s) Maruti Udyog Limited
Founded 1981
Headquarters New Delhi, India
Key people
R. C. Bhargava (chairman)
Kenichi Ayukawa (CEO & MD)
Product Automobiles
Parent SUZUKI
Website www.marutisuzuki.com

AUTHORIZED MARUTI SUZUKI CAR DEALER IN BARDOLI- OFFERS A
WEALTH OF VARIETY TO THE MARUTI AUTOMOTIVE CONSUMERS.
We think that our impressive strides in the market stop in equal parts from our practical
approach and our customers' unstinting maintain, earned the only way we know. By giving
our customers the most suitable car luxury solutions for each of their requirements, and by
support them up with consultant, finance, after sales service, customer satisfaction and a
responsive after-market network. We are conscious of the fact that vehicles are more than just
a means of transport people and goods. We understand that they have a deeper and important
impact on society, the national country and the environment.
As we start our second century of company, we are in a position to appeal to the widest
network of showrooms and service stations. Each of our Maruti Suzuki brands has a sole
quality and holds a different value in itself. We carefully select the opportunities that permit
us to distribute innovative ideas into the market in new and exciting ways. At Kataria, we are
trying to build network to better connection with the customers who are related with us. We
support our relationships with our customers by using our services like MGP, MOS, MF we
team up with others to develop our core business processes and to continue ahead of our
continuous changing in industry. We select new ideas to help system that maximizes
effectiveness and functioning services.
Kataria Group has its sights set firmly on the economic & premium sector of the national
automobile market. For achieving the goals, the company tries to know how to set up its
strengths with an effectiveness that is matchless in the automobile industry. Kataria Group is
dedicated to the highest in the quality for all its goods and services. The company's unique
success is proof of this strategy's truth.
Financialservices
We observe that financial services as a key factor for achievement in today's car world. We
have recognized a costly product collection which supplies specialist information and advice
for situations and questions relating to the finance sector. We are also proud to honour the
hard work of our industry and market partners.

History of Kataria Automobiles Pvt. Ltd.
The KATARIA GROUP was founded by Mr. Shobhagmal Kataria in the year 1956 and has
grown to become one of the biggest Transport Operators in India, having 60 branches. The
Kataria group has since expanded its wings, by way of expansion and diversification in
various sectors, the first being in 1984 with dealerships of LML – 2 wheelers. It is expanded
its wings to develop into one of the Most Trusted Brand for Maruti Suzuki Car Dealership in
1996 and also not stopping at its unclenched Automobile Growth, it additional acquire the
dealership of TVS Two Wheelers in 2003
Nowadays, Kataria Automobiles is one of the most trusted brands in the "Automobile
Dealership of Maruti Suzuki” with Showrooms in Ahmadabad, Surat, Navsari and Vapi,
Bardoli. Nowadays, the Kataria Group is proud to have a family of 2000 dedicated, satisfied
and committed work force to the company. The Group additional has a satisfied customer
base of more than 2, 50,000 happy families.
 Managementof Kataria Automobiles Pvt. Ltd.
In Kataria Groups, the Board of Directors and the Management are dedicated to the
improvement of its products and services, by improve sound business decisions, practical
financial management and high principles and ethics throughout the business, by ensuring
clearness and professionalism in all decisions and communication and achieving distinction
in Corporate Governance by conforming to, and beyond wherever possible, the prevalent
mandatory guidelines on Corporate Governance and by frequently reviewing the Board
processes and the Management systems for additional improvement.
 VISION, MISSION,VALUE:-
VISION:-
 The leader in the Indian automobile industry creating customer’s delight and shareholders
wealth, a pride of India.
 To be the top distribution service by customer satisfaction.

Mission
 Maruti Suzuki is an automobile manufacturer that was established in 1982. And its
mission is to please their customer through creating innovative and good value vehicles.
 Be a globally preferred provider of India and supply chain services and solutions, and a
leader in the India.
 Create service excellence in sector.
VALUES
 Care for customer
 Quality of services
 Reliability and efficiency
 Ethical and moral
 Superior performance
 Integrity
 Customer orientation
 Working together
 Respect for people
 STANDING RULES:
 Putting on a clean & ironed uniform with identify card and other accessories
reflecting association with mail and Kataria automobile ltd. During all working days
is mandatory. There will be no relaxation in uniform from Monday to Friday in the
week.
 Chewing tobacco, smoking or any of such activities will not be tolerable in said the
premises. If any employee found doing the same then the ultimate decision will be
made by the concerned had or the director / CEO and shall be acceptable for the
concerned person.
 Being punctual & regular on the job is fundamental requirement in the sales dept. the
detail reporting time will be morning 9:45 am sharp.
 For male employee working in sales dept. shaving at least once 7n two working days
in compulsory.

 Teamwork is very essential element for sales dept. as it is a sustainable way to grow
faster & safer.
 There will be no relaxation offered in tear of daily / periodic reporting to be made to
concerned authority.
 Employee will be reporting the concerned authority mentioned in their job description
only & not directly to the top authorized person or had.
 Sales executives need to maintain their sales kits & other material update & handy.
 In sales dept. when co-workers are females, make sure that they should not be
complained of embarrassing behavior of male workers.
Wearing jeans & t-shirt is strictly not allowance till Friday. T-shirt is not allowed on Saturday
also.
 LEAVE POLICY:
 A candidate will provide 2 holidays within a month after completion of probation
period of 3 months after DOJ.
 If anyone will not take his/her 2 holidays in a month then it will carry forward to next
month. Leave period is from April to March. Yearly balanced lean will not carry
forward in the next year.
o Other than emergency case, leave will not be approved more than 6
consecutive days and leave paid in salary as per the leave balance.
 If anyone would come on Sunday (full day only) then he will take set off against that
Sunday in the same month otherwise it will get lapse & it will be highlighted in the
next month. Set off will be valid only if it will be highlighted in the leave application.
Verbal set off will be considered as a normal leave.
 Holiday will be considered only when intimate before 2 days from taking leave.
 If anyone doesn’t inform before taking leave in that case it will considered as a LWP
(leave without pay) & salary will be deduct according to leave taken.
 The person who is going to take leave he/she has to handover his/her work before
going on leave & that person will be responsible for doing that work on that day.

 If anybody’s leave extend from 2 leave then salary will be deduct according to leaves
taken.
 Half day will be considering in 2 days i.e. one will take it before lunch or after lunch.
 First half is from 9:40 am to 1:30 pm.
 Second half is from 2:00 pm to 6:45 pm.
 HR POLICIES:
 Timings are from 9:40 am to 6:30 pm (only for winter) rest of the month evening
timing is 6:45 pm for all the employees (showroom).
 If there is rush on festivals then time will exceed for employees accordingly.
 If anybody comes late by 9:40 am then it will be consider as half day.
 Holiday will be considered only when intimate before 2 day from taking leave.
 The person who is going to take leave he/she has to handover his/her work before
going on leave & that person will be responsible for doing that work on that day.
 HR has also maintained IN & out register for employees to keep record of no of
outgoings from office between 9:40 am to 6:45 pm to control over absence in the
office timings.
 If all executives are busy in taking enquiry then its floor in charge & sales manger
duty to take enquiry at that time & no customer will roam around alone in the
showroom.
 If anybody has any problem with anyone then it will anyone then it will solve in
common discussion between HR & with management.
 If anybody misbehaves then he/she will be given 2 memo, even that he/she is
doing same thing in that case 3rd times he/she will give fine of rs.500/- or as per
management decision.
 Employee will come in uniform from Monday to Friday & they can come in civil
dress on Saturday. T-shirts & jeans are not allowed in any of the day.
 Employees must be in uniform in training/events.
 If any person want to leave his/her job then he/she has to give 1 month notice
period & complete all his/her pending work & he/she has to appoint one person in
place of him/her in this period then only he/she can leave the job.

 History Of Maruti Suzuki India Limited:
A subsidiary a Suzuki a Japanese automobile and motorbike manufacturer, Maruti Suzuki
India limited is an Indian automobile manufacturer. It is the most well known and well-
recognized automobile manufacturer in India. This Indian automobile industry is popularly
known as Maruti, which used to be called Maruti Udyog limited at the time of its inception.
Maruti Udyog limited was founded by the government of India in 1981, only to combine with
the Japanese automobile company Suzuki in october1982. The first manufacturing factory of
Maruti was established in Gurgaon, Haryana, in the same year. Mr. R.C. Bhargava is the
chairman of the company and Mr. Kenichi Yukawa is the CEO and managing director.
 About Maruti Suzuki Pvt Ltd:
Maruti Suzuki India ltd. primarily manufactures and has been the most favorite automobile
brand among Indian people since its inception. The company had started in 1982; however, it
commenced the production of automobile a year later in 1983. The very first model of
Maruti, Maruti Suzuki 800, finished its way to Indian roads in December 1983. The very first
unit was bought by Mr. Harpal Singh of Delhi and he was handed over the keys of the Maruti
Suzuki 800 by the then Prime Minister of India Indira Gandhi. The second in the sequence
was India's first MUV Maruti Suzuki Omni that was launched in November 1984. The other
models that came into market in subsequent years were Gypsy in 1985, Maruti 1000 in 1990,
Zen in 1993, Esteem in 1994, Wagoner in 1999, Swift in 2005, Grand Vitara in 2007, Maruti
Suzuki A-Star in 2008, Ritz in 2009, Eco in 2009, Alto K10 in 2010, Kizashi in 2011, Ertiga
in 2012, Alto 800 in 2012, Stingray in 2013, Celerio in 2013 and Ciaz in 2014.

ORGANIZATION CHART
Branch
Manager
Finance
Department
Sales
Department
H.R
Department
True-value
Department
Customer-
care
Department

FUNCTIONAL DEPARTMET
Maruti Suzuki production in India:
Maruti Suzuki India Ltd. has its developed services at two locations in India. The Gurgaon
capacity comprises three plants with the yearly capability of developed about 3, 50,000
vehicles. It is enabled to produce shut to 9, 00,000 units yearly; the praise goes to the
productivity advancements. Around 2, 40,000 K-Series engines are also created at the
Gurgaon skills every year those are Maruti 800, WagonR, Alto, Estilo, Gypsy, Omni, Eeco,
Ritz and Ertiga are produced at the Gurgaon facility. Inaugurated in 2007, the Maruti Suzuki
India Ltd. Manesar facility is spread over an area of around 600 acres. The Manesar facility
was initially able of developed 1, 00,000 units a year later, in October 2008, the productivity
improved to 3, 00,000 vehicles yearly. The production capacity of the Manesar facility
eventually improved to 8, 00,000 vehicles.
Maruti Suzuki Dealershipand Sales in India
The company has its existence in all the states and union territories of India. Maruti has its
service centres in around 1,454 cities and a sales network spread over 1,097 Indian cities. The
company has over 12,500 employees working tirelessly day and night. The company
achieved a giant landmark in 2012 when they sold their ten-millionth unit. Maruti produces
over 1.5 million cars every year. In India, Maruti had a total of 933 dealership outlets until 31
March 2014. They have total of 3,060 service centres all over in India. A secondary of Maruti
Suzuki India Limited, exports cars to El Salvador, Costa Rica, Chile, Guatemala, Uganda,
Morocco, Kenya, Europe, Ethiopia, Djibouti, Benin, Angola, Nepal and Sri Lanka. Clearly,
Maruti enjoys the status of being the found in Indian automobile industry that help the people
of India realize their dreams of enjoying a superb driving knowledge. The company has
tightly stood its ground despite rigid competition by foreign luxury car.
Financialservices
We observe financial services as a key factor for hit in today's automobile world. We have
recognized a wide product portfolio which stores expert’s information and suggestion for
situations and questions connecting to the finance sector. We are also proud to respect the
solid work of our company and marketing associates.

SWOT ANALYSIS OF MARUTI SUZUKI
Strengths in the SWOT analysis of Maruti Suzuki
 Maruti Udyog limited (MUL) is in a leadership position in the market with a market
share of 51%
 Major strength of Maruti Udyog Limited is having the largest network of suppliers and
after sales service centers in the nation (India).
 Better promotional strategy is adopted by MUL to transfer its opinion to
the people about its products.
 Maruti Suzuki recorded the highest number of domestic sales with 9, 66,447 units from
7, 65,533 units in the previous economic. It currently attained the 10million domestic
sales point.
 There are around 15 vehicles in Maruti Product portfolio and It has better product lines
with good fuel effectiveness like Maruti Swift, Diesel, Alto etc
 The Alto car still beats the small car segment with highest number of sales.
 Maruti Udyog Limited is the first automobile company which starts second hand
vehicle sales by its True-value entity.
Weaknessesin the SWOT analysis of Maruti Suzuki
 Low central quality inside the cars when it compared with other quality players
like Hyundai and other new foreign players like Volkswagen, Nissan and others.
 Government interference due to having share in Maruti Udyog Limited.
 Here, younger generations are started to get a great connection towards new foreign
brands.
 The management and the labor unions of company are not in good terms. The recent
strikes of the employees have slowed down production and in turn impacting in sales.
 Maruti Suzuki hasn’t proved itself in SUV segment like other players.

Opportunities in the SWOT analysis ofMaruti Suzuki
 MUL has launched its LPG version of Wagon R and it was a excellent move
concurrently.
 MUL can start R&D on electric cars for a much good substitute of the fuel.
 Maruti’s cervo 600 has a large potential in tapping for middle class segment and act as a
strong threat to TATA NANO.
 Foreign capacity of the company is giving new hopes in American market as well in
UK markets.
 Economic growth of the country is rapidly increasing and the government is working
hard to increase the GDP to double digit.
Threats in the SWOT analysis of Maruti Suzuki
 Maruti Udyog Limited is currently faced a decline problem in market share from its
50.09% to 48.09 %.
 Major players like Hyundai; Tata has lost its market share due to many small players like
Volkswagen- polo. Ford has shown a extensive increase in market share due to its Figo.
 Tata Motors recent launches like NANO 2012, Indigo e-CS are grand major threats to its
respective competitor’s segment
 China may give a good rivalry as they are also planning to enter into Indian car segment.

PRODUCT PROFILE
CARS CARS
NAME
RANGE
MARUTI
OMNI
(VANS)
RS.
1.99-3.4 LAKHS
MARUTI
ALTO
800
(HATCHBACK)
RS.
2.94-4.14 LAKHS
MARUTI
ALTO
K10
(HATHBACK)
RS.
3.45-4.45 LAKHS
MARUTI
ECO
(VANS)
RS.
3.52-4.66 LAKHS
MARUTI
WAGONR
(HATCHBACK)
RS.
4.2-5.7 LAKHS

MARUTI
CELIRIO
(HATCHBACK)
RS.
4.31-5.48 LAKHS
MARUTI
IGNIS
(HATCHBACK)
RS.
4.79-7.15 LAKHS
MARUTI
SWIFT
(HATCHBACK)
RS.
4.99-8.86 LAKHS
MARUTI
DZIRE
(SEDANS)
RS.
5.7-9.55 LAKHS
MARUTI
BALENO
(HATCHBACK)
RS.
5.75-8.9 LAKHS

MARUTI
GYPSY
(SUV)
RS.
6.5-6.65 LAKHS
MARUTI
ERTIGA
(SUV)
RS.
7.45-11.21 LAKHS
MARUTI
VITARA
BREZZA
(SUV)
RS.
7.68-10.65 LAKHS
MARUTI
CIAZ
(SEDANS)
RS.
8.2-11.38 LAKHS
MARUTI
S-CROSS
(SUV)
RS.
8.86-11.49 LAKHS

Literature Review
Bell (1967) analyzed how a consumer satisfaction after buying a new car. He also explored
the effect of customer’s personalities in relation to salesman influence that attempts to find
customer’s post purchase decision. During this period, 289 new cars were sold. Attempt was
made to interview all but succeeded with 234 persons. Personal interviews were conducted by
the investigator from 1-8 days after purchase. It was determined that person who had high
self confidence had very little dissonance i.e. they finished their decisions, accepted them and
were happy where as persons with low self confidence had low difference and they were
easily persuaded by salesmen but in between them, the customers with little confidence were
highly dissonant and were not easily persuaded. Perhaps their self doubts began to influence
their attitude after they completed their purchase.
Pickering and Isherwood (1975) tried to find out the determinants of expenditure on
consumer durables. The sample was taken of 386 households of 50 different areas of Britain
with higher income groups. It was taken in the year 1971. Regression analysis was used to
find out cause and effect relationship. Discriminate analysis was used to distinguish buyers
and non buyers. It was concluded that the level of funds available to be spent or expected to
be spent on consumer durable is higher and there was less commitment to the importance of
regular saving. A number of variables have found to have predictive significance across the
different types of analysis being carried out. It was suggested that attention should be given
particularly to obtain indications of expected household liquidity and willingness to devote
financial resources to the purchase of consumer durables.
Davis (1976) attempted to study the involvement of family members in economic decisions
and the process by which family decisions are made. Davis opined that overall economic
decisions could be into 3 groups. One time purchase (durables) is more likely to involve more
than one household member. Purchases of durables are often preceded by a progression of
interrelated decisions and activities through time. Husbands, wives and children have more
opportunities to become involved at one or more steps in process. He quotes the studies
showing dominant influence of husbands for decisions concerning price range and whether to
move, while the dominance of wives in deciding the number of bedrooms and other house
features.

He finds a clear dominance of husbands in automobile purchase, entertainment, small
decisions comprised of issues like financial management, money management, budgeting etc.
He discovered the role of wives as prominent in money management.
Arpita Srivastava1 and Mitu Matta (2010) This paper explores the consumer behaviour
towards passenger cars in Delhi NCR. The scope of the study is limited to certain important
behavioural aspects like information search and evaluation, brandpreference and brand
loyalty and factors of motivation. Understanding the customer’s satisfaction of the product
will help the automobile manufacturer in developing their products to meet customer’s needs
and designing the proper marketing programs and strategy.
Satya Sundaram (2008) analyzed how the competition makes the automobile manufacturer
to launch at least one new model or a variant of the model every year.
This investigation also pointed out that diesel cars are becoming popular in India and the
Announcement of reductions in excise duties by the government has helped to some
extent to boost the demand.
Clement Sudhakar and Venkatapathy (2009):- Studied the influence of social group in the
purchase of car with reference to Coimbatore District. It was also found that the influence
friends is higher for the purchase of small sized and midsized cars.
Brown et al (2010) analyzed the consumers‟ approach towards the European, Japanese and
the US cars. The country–of–origin plays an important role in the consumers behaviour. The
brand name, lower price and distributor status completely have a
Significant impact on the sale of passenger’s car.
However, the present study different from the above, in that, the buyer behaviour in
Delhi NCRis sought to be analyzed here. The scope and the area of the study are
Unique in nature.
Khasawneh and Hasouneh customers realize the importance of brand while in their
purchasing decisions and customer’s demographic characteristics have no significant relation
and effect on brand awareness. People prefer the branded products with higher prices because
they consider that branded items have more quality as compare to non-branded products.
Brand preference is also a symbol of status.

Nepalia summed up that to manage the brand means to apply marketing tools for a brand or
particular product or series. If brand will be managed effectively product value and brand
loyalty will also be improved in customer’s mind. Marketers consider a brand as a promise
with consumers that product quality will be same in future and due to this promise sales
improve.
Furthermore Saad Hussain said that sometimes companies social responsible activities
affect positivity to customer’s brand choice. Brand attitude and image affects positivity and
environmental issues affects negatively to customer buying behavior.
In Addition, Del Rio explained that the consumers know the value of any brand with respect
to its different functions like guarantee, social and personal identification and status symbol.
These factors have positive effects on customers brand loyalty and willingness to accept
additional in brands. Brand association has a good relation with buyer purchasing attentions.
Mentioned by tamm that brand is considered as valuable asset and attractive tool to capture
for particular products. Consumer behavior can be examined on the basis of the brand
awareness, association and unique loyalty. Chinese people have negative behavior
promotional for their own produced brands while in UK brand development is better than
China.
Niazi et al said that advertising is an effective tool to attract people and to divert their attitude
positively toward product. There is a moderate relationship between consumer purchase
attention, choice. Brand attitude and image affects positively and environmental factors are
emotionally attached with the product he/she will prefer purchase that product.

Background of the Study
 Meaning, Definition, Objective and Functions of Advertising
 Advertising is a paid form of non-personal presentation or promotion of ideas, goods
or services by an recognized sponsor with a view to allocate information about an
idea, product, goods or services. The message which is presented or distributed is
called advertisement.
 Now days, marketing activities hardly is there any business in the contemporary
world which does not advertise. For business to business the form of advertisement
differs.
 Advertisement has been defined differently by different persons. A few definitions are
being reproduced below:
 According to Wheeler, "Advertisement is paid form of non-personal for appearance of
new or existing ideas, goods or services for people to buy."
 The above definitions clearly disclose the nature of advertisement. This is a powerful
part of the promotion mix. Basically advertising means distribution of information
about the quality of the product to the potential customers with a view to sell the
product or increase the sale volume.
The main features of advertise are as under:
 It is focussed on for increasing the sales of business.
 Advertising is a paid form of publicity
 It is non-personal. They are focused at a bulk audience and nor at the individual as is in
the case of personal selling.
 Advertisement is identifiable with their sponsor of originator which is not always the case
with publicity or propaganda.
Objective / Functions of advertising
The intention of advertising is to sell something:-a product, a service or an idea. The real
purpose of advertising is effectively communication between producers and consumers. The
following are the main objectives of advertising:

 Preparing Ground for New Product
The new products are needed to introduction because of future potential customers have
never used such type of products earlier and the advertisement prepares a ground for that new
product.
 Creation of Demand
The main purpose of the advertisement is to generate a favourable climate for maintaining of
improving sales volume. Customers have to be reminded about the products and the brand. It
may encourage new customers to buy the product by informing them its qualities since it is
possible that some of the customers may change their brands.
 Facing the Competition
Advertisement is done to face the market competition. Under competitive conditions,
advertisement helps to construct brand image and brand loyalty towards customers. And
when customers have created a brand loyalty, becomes difficult for the middlemen to change
it.
 Creating the Goodwill:
Large scale advertising is often undertaken with the objective of creating or attractive the
goodwill of the advertising company which leads in increasing the market interest of the
company's product to customer’s mind and helps the salesmen to win customers easily.
 Informing the Changes to the Customers
When changes are done through the prices, channels of distribution or through the product by
way of any development in quality, size, weight, brand, packing, etc., they must be learned to
the public by the producer through advertisement.
 Neutralizing Competitor's Advertising
Advertising is obvious to complete with or neutralize competitor's advertising. When
competitors are adopt serious advertising as their promotional strategy, it is reasonable to
follow comparable practices to defuse their effects.

 Benefits or Importance of Advertisement
Advertising helps in increase the knowledge of the consumers. With the help of advertising,
consumers discover and buy necessary products without wasting the time. This grows up the
sales of goods, increases the effectiveness of labor in distribution, and falling the costs of
selling. The main benefits of advertising are as follows:
 Benefits to Manufacturers
 It increases the sales volume by creating interest towards the product.
 It will help for easy introduction of new products into the markets by the same
manufacturer.
 It helps to create and maintain an image and reputation not only of the products but also
of the producer or advertiser which leads to create the goodwill for the manufacturer.
 Advertising is the promotional strategy for maintain the retailing prices in market.
 It helps to set up a direct contact between manufacturers and consumers.
 Benefits to Wholesalers andRetailers
 Easy sale of the products is possible since consumers are aware of the product and its
quality.
 It increases the rate of the turn-over of the stock because demand is already created by
advertisement.
 It supplements the selling activities.
 The status created is shared by the wholesalers and retailers because they need not use
something for the advertising of already a well advertised product.
 Benefits to Consumers
 Advertising stresses quality and very often prices. This forms an indirect guarantee to the
consumers of the quality and price. Additional large scale of production is predicted by
advertising that enables the seller to seller product in lower cost in market.
 Advertising will help in reducing the middlemen by establishing straight contacts
between producers and consumers. It results in cheaper goods for customers.
 It helps them to know where and when the products are available. This reduces their
shopping time.

 Benefits to Salesmen
Salesmanship will be incomplete without advertising. For increase the sales, it is benefited
the advertisement in following ways:
 For introducing the product, it becomes pretty easy and suitable because manufacturer has
already advertised the goods and informing the consumers about the product and its
quality and features..
 The contact recognized with the customer by a salesman is ready everlasting during
effective advertising because a customer is supposed of the quality and price of the
product.

Objective of study:-
1) Primary Objective:-
“To Examine the Impact of Advertisement Effectiveness On Consumer”
2) SecondaryObjective:-
o To know the impact of advertisement effectiveness of Kataria
o To identified the consumer buying behaviour through the advertisement.
o To know the most effective media of advertisement.

Limitations of the study
o There was time shortage. Time provided to as was very short which make it difficult
for us to conduct survey at wider range
o Sometime respondent did not respond well to the entire question in the questionnaire.
o Since the employees were very busy in their work load, it took more time for me to
get the data

Research Methodology
 ResearchProblemStatement:
In the Automobile Industry, number of competitors increase day-by-day. “To know
the awareness of brand level and effectiveness of advertisement on consumers”
 Research design: - For the study of impact of advertisement effectiveness of
Kataria Automobiles in Bardoli Region, I used Descriptive Research Design.
 Sample Method:- For the sampling I used Non-Probability Sampling method and
under non- Probability method I used convenience sampling method.
 Population:- Bardoli region
 Sample Size:- 200 Respondents
 DATA COLLECTION METHOD
Data can be collected by:-
1) Primary source and
2) Secondary sources
1) Primary Data: Collected through a questionnaire, distributed personally
to the respondent.
2) Secondary Data: Collected from related research papers, company data
base, books & websites.
 Survey method: By using the Questionnaire survey method (PRIMARY
SOURCE) further study is done.
 Statisticaltool: - I used MS Excel..

DATA ANALYSIS & INTERPRETATIONS
Q-1 Have you seenthe advertisements of Maruti Suzuki?
 From the above chart we can observe that majority of respondents seen the
advertisement of Maruti Suzuki which is 100%.
Q-2 From which media you noticedadvertisement?
 From the above chart it is observed that majority of customers noticed this advisement
from internet. And 28% customers see that advertisement from television sources. 5%
see this advertisement from other sources.
100%
0%
Yes No
28%
19%
18%
30%
5%
T.V News Papar Magazine Internet Other

Q-3 Forwhat purpose you buy Maruti’s Product?
 According to above chart, we can observe that majority of customers are buying
Maruti products for household purpose that is 43%. And 7% of customers have other
purpose for buying Maruti products which is Lowest in chart.
Q-4 How frequently do you watch the advertisement of Maruti Suzuki?
 In the chart, we can observe that, most of the customers watch advertisement in
afternoon which is shown as 39% in chart. And the lowest observation is shown in
late night which is seen by 5% in chart.
17%
43%
33%
7%
Official Household Business Any Other
27%
39%
29%
5%
morning afternoon evening late night

Q-5 Basedon the advertisement of maruti Suzuki would you buy it?
 According to the chart, we can observe that majority of customers are buying Maruti
car by seeing the advertisement which is 70%. And 30% of customers are not buying
car based on advertisement of Maruti Suzuki advertisement.
Q-6 Which type of car do you prefer in Maruti Suzuki?
 From the chart, we can observe that majority of customers prefer SUV car which is
32% in the chart. And 13% customers prefer MINI SUV car which is the lowest in
chart.
70%
30%
YES NO
26%
29%
32%
13%
HATCHBACK SEDAN SUV MINI SUV

Q-7 Will Advertisement of celebrities Influences you?
 According to chart, we can observe that majority of customers are influenced by
advertisement of celebrities which is 73%. 27% of customers are not influenced by
advertisement of celebrities.
Q-8 Are you satisfiedwith advertisement Maruti Suzuki?
 From the chart, we can observe that 77% respondents are satisfied with advertisement
of Maruti Suzuki. And 13% of respondents are not satisfied with advertisement of
Maruti Suzuki.
73%
27%
YES NO
77%
23%
YES NO

Q-9 Indicate your level of agreement with the following sentences from
strongly agree to strongly disagree. (SA= Strong Agree, A= Agree, N=
Neutral, D= Disagree,SD= Strong Disagree)
From the graph, we can observe that….
 For 9.1 (My self-esteem affects my buying decision on products) statement 87
respondents which are highest for agree to the 9.1 statement.
 For 9.2 (I buy car which my role models use) statement 88 respondents are neutral.
 For 9.3 (My family income affects my buying decision on products) statement 85
respondents are agreed.
 For 9.4 (My personality and lifestyle affects my purchase of products) statement 87
respondents are agree.
 For 9.5 (Promotion and ads of Maruti Suzuki affects my buying decisions) statement
72 respondents are agree.
 For 9.6 (Ads correctly represent the performance of the products) statement 86
respondents are agree.
 For 9.7 (Ads make shopping easier by providing comparative information) statement
85 respondents are neutral.
9.1 9.2 9.3 9.4 9.5 9.6 9.7
SA 58 18 56 59 70 38 43
A 87 39 85 87 72 86 54
N 51 88 55 38 50 61 85
D 4 52 4 16 8 14 16
SD 0 3 0 0 0 1 2
0
10
20
30
40
50
60
70
80
90
100
SA
A
N
D
SD

DEMOGRAPHIC PROFILE
 Gender
 According to chart, we can observe that majority (76%) of respondents are male. And
24% of respondents are female.
 Age Group
 From the chart, we can observed that majority (58%) of respondents are in age
group of 25-35 years. And 20% of respondents are more than 35 years age
group.
76%
24%
MALE FEMALE
22%
58%
20%
LESS THAN 25 25-35 MORE THANE 35

 Marital Status
 From the chart, we can observe that majority (73%) of respondents are
married. And 27% of respondents are unmarried.
 Monthly Income
 From the chart, we can observed that majority (43%) of respondents are of income of
20001 to 30000. And 4% of respondents have income less than 10000.
73%
27%
MARRIED UNMARIDE
4%
21%
43%
32%
LESS THANE 10000 10001 TO 20000
20001 TO 30000 MORE THANE 30000

 Occupations
 From the chart, we can observe that majority of respondents (37%) have occupation
of self-employed. And 6% of respondents are retired.
 Educationallevel
 According to chart, we can observe that majority of respondents are graduate, which
is 34% in chart. And 5% of respondents are SSC.
7%
26%
37%
6%
24%
STUDENT PRIVATE-EMPLOYEE SALEF EMPLOYEE
RETIRED GOV.EMPLOYEE
5%
19%
34%
22%
20%
SSC HSC GRADUATE POSTGRADUATE OTHER

Findings
 Majority of respondents have seen the advertisement. It indicates most of the people
aware about the company. And few of them are unaware about advertisement.
 Most of the respondents had notice advertisement from internet. And few of
respondents had seen advertisement from other resources.
 Majority of respondents had purpose of household purpose for buying Maruti’s
product. And few have purpose of other.
 Most of the respondents have seen advertisement of Maruti Suzuki in afternoon. And
few of respondents have seen at late night.
 Most of the respondents have been buy Maruti Suzuki products based on
advertisement. And few of respondents haven’t agree about advertisement.
 Most of the respondents have preferred SUV car to buy. And few of respondents had
preferred MiniSUV.
 Most of the respondents had influence by advertisement of celebrities. And few of
respondents had not agreed with it.
 Majority of respondents had satisfied with advertisement of Maruti Suzuki. Few of
respondents had not satisfied.
 Most of the respondents are agree for My self-esteem affects my buying decision on
products.
 Majority of respondents had neutral with I buy car which my role models use.
 Majority of respondents had agree with My family income affects my buying decision
on products.
 Majority of respondents had agree with My personality and lifestyle affects my
purchase of products.

 Majority of respondents had agree with Promotion and ads of Maruti Suzuki affects
my buying decisions.
 Majority of respondents had agree with Ads correctly represent the performance of
the products.
 Majority of respondents had neutral with Ads make shopping easier by providing
comparative information.
 Majority of respondents are male.
 Most of the respondents had age between 25 to 35 years. And few of respondents had
age above 35 years.
 Most of the respondents got married.

Conclusion
 From this study I can conclude that below things,
Most of customers are seen the advertisement of Maruti Suzuki. Majority customers
watch the advertisement through Internet. Most of the customers think that the
presence of celebrity influences the effectiveness of advertisement. Most of the
customers like advertisement of Maruti Suzuki
Most of the customers think that Maruti Suzuki advertisement is more satisfied
compare to other advertisement. Most of the customers probably buy the product of
Maruti Suzuki. Customers agree with this statement that the advertisement of Maruti
Suzuki is informative and creative. Most of the customers are not facing any
confusion.

Recommendation
 To give more creative advertisement on TV, News paper and Internet
 To select more influence and popular celebrity for giving the advertisement so
customer are more attract by celebrity.
 To improve other media rather than TV and News paper for giving the advertisement.
 To give all the information regarding the product so the customer are motivated to by
the Maruti Suzuki car.
 To build the relation with the customer. And satisfy their perception towards
expectation of advertisement.

Bibliography
Www.Marutisuzuki.Com
Https://En.M.Wikipedia.Org/Wiki/Maruti_Suzuki
Https://Www.Researchgate.Net/Publication/232743560_The_Effectiveness_Of_Advertis
ing_A_Literature_Review
Https://Www.Academia.Edu/11504448/The_Effectiveness_Of_Advertising_A_Literatur
e_Review
Https://Www.Academia.Edu/11504448/The_Effectiveness_Of_Advertising_A_Literatur
e_Review

ANNEXURE
1. Have you seenthe advertisements of Maruti Suzuki?
Yes No
2. From which media you noticed advertisement?
T.V News Paper Magazine Internet
Other
3. For what purpose you buy Maruti’s Product?
Official Household Business Any other
4. How frequently do you watchthe advertisementof Maruti Suzuki?
Morning Afternoon Evening Late Night
5. Basedon the advertisement of maruti Suzuki would you buy it?
Yes No
6. Which type of cardo you prefer in Maruti Suzuki?
Hatchback Sedan SUV MiniSUV
7. Will Advertisement of celebrities Influences you?
Yes No
8. Are you satisfiedwith advertisement Maruti Suzuki?
Yes No
9. Indicate your level of agreementwith the following sentencesfrom
strongly agree to strongly disagree. (SA= Strongly Agree, A= Agree,
N= Neutral, D= Disagree,SD= StronglyDisagree)
I, MODI KEYUR R student of SY MBA at The Mandvi
Education Society, Mandvi Doing this summer research
training on “To Examine the Impact of Advertisement
Effectiveness on Consumer”. This study is for academic
purpose only. No information shall be disclosed anywhere.
Please spare few minutes to answer the following question.

No. Statement SA A N D SD
1. My self-esteem affects my buying decision on products
2. I buy car which my role models use.
3. My family income affects my buying decision on products.
4. My personality and lifestyle affects my purchase of products.
5. Promotion and ads of Maruti Suzuki affect my buying
decisions.
6. Ads correctly represent the performance of the products.
7. Ads make shopping easier by providing comparative
information
DemographicalProfile:-
1) Gender
Male Female
2) Age Group
Less than 25 25-35 More than 35
3) Marital Status
Married Unmarried
4) Monthly Income
Less than 10,000 10,001 to 20,000
20,001 to 30,000 More than 30,000
5) Occupations
Student Private-employee Self-employee
Retired Govt. Employee
6) Educationallevel
S.S.C H.S.C Graduate
Postgraduate Other

Thank You
~ Follow keyurmodi14 like and Share files.

“To Examine the Impact of Advertisement Effectiveness on Consumer”

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to “To Examine the Impact of Advertisement Effectiveness on Consumer”

Similar to “To Examine the Impact of Advertisement Effectiveness on Consumer” (20)

Recently uploaded

Recently uploaded (20)

“To Examine the Impact of Advertisement Effectiveness on Consumer”