Marketing research project on electric bike

Projectsformba.blogspot.com

1. INTRODUCTION
Purpose and need of electric-bike?

Economic conditions around the world have been very encouraging.
Global growth which as 4.8% in 2005 reached 4.9% in 2006 and is expected to hover
around this level in the current year also.While the Chinese economy is growing at around
10% without any signs of slow down, the Indian economy is also continuing to grow at
more than 8%. In the coming years, I am expecting that the Indian economy will be
booming owing to the heavy demand on infrastructure. Energy sector is growing by leaps
and bounds as it is receiving the highest attention of both the State Governments and
Central Government.

India has moved from an agrarian economy to a manufacturing
economy. The manufacturing sector now contributes around one-fourth of the total GDP
and the industrial output has now crossed USD 65 Billion in value.

Global steel production is continuing its growth and the production in 2006 crossed 1.2
billion ton mark. In spite of some control measures adopted by Chinese Government the
crude steel registered an impressive growth and has crossed 450 million tons. India is also
witnessing a huge growth in steel production and it is expected that steel industry will
continue to grow by more than 12% per annum.

Sustainable economic growth of India as well as rest of the world will
depend on effective energy planning. Nearly 40% of the world’s energy comes from
petroleum. Natural gas contributes to another 20% and these two natural resources account
for 60% of the world’s energy. The growth in consumption of oil and natural gas in the past
has been such that the consumption has been doubling every 15 years. This trend is likely to
continue and will lead to complete depletion of natural resources in next 30 years.


It is significant to note that more than 20% of the world’s total primary energy is
consumed in transportation. There are more than 410 million cars currently in the world and
in another 20 years the automobile population will reach one billion mark. It is also
significant to note that after 1970 the new oil discoveries have been very few and any new
discoveries will not make any significant contribution to the world’s energy pool.
Transportation sector which consumes a large share of energy resource of the
country also contributes significantly towards pollution. We at Electrotherm have made it
our mission to provide vehicles which are emission free, which do not use petroleum
products and which are inexpensive to acquire and operate. Our launch of battery operated
YoBykes has been highly successful and Electrotherm is now developing several new
vehicles for the Indian market. Our launch in India has developed interest for our vehicles
for international market also and in the future we will be exporting these vehicles to other
countries. Electrotherm will continue to provide leadership in this segment by delivering
innovative, cost effective, practical and environmental friendly electric vehicles.

Economic and environmental forces are frequently pitted against each
other and many a times the financial cost of environmentally friendly technologies and
goods is so high that one has to strike a balance or look for Government subsidies. Our
Electric Vehicles are unique in this aspect as they are not only economical but also
environment friendly. You will be pleased to note that the “2007 Overdrive Automotive
Product of the Year” award was given to Yo-Bykes of Electrotherm.

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OBJECTIVE OF STUDY

Objectives Of The Study

The objectives set for the study are –

• To find out the awareness of consumer about the electric bike in Raipur city.

• To find out the reason why consumer refers to electric bike.

• To find out the factor influencing the sales of electric bike.

• What are the post purchase experiences of electric bike consumer.

• To find out the market share of different manufacturing Companies dealing in electric
bike.

RESEARCH METHODOLOGY

The success of any event heavily depends upon the way chosen for its execution. This
includes ensures of some basic question to the specific focus on constraints as well. In
other words they can call the methodology as the backbone of any research. It also
includes research or study method. Thus when they talk of methodology they not only talk
of methodology they not talk of methods but also consider the logic behind the methods
they use in the context of their study objective and explain way use are using them so that
study results are capable of being evaluated logically.

Statement Of Problem:

“A study various factors which influence the consumer perception towards
electric bike - A study in Raipur City ”

Purpose Of The Study:

The purpose is to study the perception of buyer and user towards Electric-bike
in Raipur city.

Population:

Population refers to the total of items about which information is desire. The attributes that
are the object of study are referred to as characteristics and the units possessing them are
called as elementary units. The aggregate of such units is generally described as
population. Thus, all the units in any field of inquiry constitute universe and all elementary
units constitute population.

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The population can be finite and in finite the population is said to be finite if it is consist of a
fixed number of elements so that it is possible to enumerate it in its totality. An infinite
population is which it is theoretically impossible to observe all the elements.
The population is specific group of people, firms, conditions, activities etc. which forms the
pivotal of research for developing and using a sample, it become primary duty of a
researcher to define the population from which to draw the sample.

Population – To achieve the objective the city of Raipur was selected.

Sample:

The sample is the representative unit of population. The researcher has taken the
consumer as sample for this research. Since in this research the researcher has collected
the sample according to his own convenience. So the sample is stratified proportionate
sample and the sample size of the research is 30.

This refers to number of items to be selected from the universe to constitute a sample. The
size of the sample should neither be excessively large, nor too small. It should be
optimum. An optimum sample size is one, which fulfills the requirement of efficiency,
representativeness, reliability, and flexibility.

Sampling Method

In this research the stratified proportionate Sampling Method has been used. In this
method the population is divided into several sub-populations that are individually more
homogenous than the total population(the different sub population are called “strata”) and
then we select items from each stratum to constitute a sample. In other words, under this
sampling the organizers of the inquiry purposively choose the particulars unit of the
universe for constituting a sample on the basis that the small mass that they so select out
of a huge one will be typical or representative of the whole.

Here the total population i.e. the total number of consumer in raipur region is 300 it is
divided in the following four stratas
1. Working women………. = 90
2. Working men………….. = 30
3. College going girls……. = 130
4. College going boys…… = 50

Thus for strata with N=90 We have p = 90/300 =0.30
And hence n =0.30 * 30 = 9

Similarly for strata with N = 30 we have p = 30/300 = 0.10
And hence n = 0.10 * 30 = 3

And for strata with N = 130 we have p = 130/300
Hence n = 0.43 * 30 =13

And for strata with N = 50 we have p = 50/300 = 0.16
Hence n = 0.16 * 30 = 5
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Sample Plan:

Sample Unit 4

Sample Size 30

Geographical area covered Raipur

Sample ratio 1:10

Data Collection:

The task of data collection begins after a research problem has defined. Researcher
should keep in mind two types of data, primary data and secondary data. The primary data
are those, which are collected afresh and for the first time, and thus happen to be original
in character. The secondary data, on the other hand, are those which have already been
collected by someone else and which have already been passed through the statistical
process.

Both, primary data and secondary data were used in accomplishment of objective of the
research.

2.7 Questionnaire:

The term questionnaire refers to a self-administered process whereby the respondent
himself/herself reads the questions and records his/her answers without assistance of an
interviewer. Although the instrument is essentially question asking and data gathering tool.
A questionnaire is more structured and standardized. The questionnaire consists of a
number of questions printed or typed in a definite order on a form or a set of forms. This
method of data collection is quite popular in case of big enquiries.

2.9 Delimitation:

There is some specific delimitation in the study they are:-

1. The generalization of data is subjective to the population of Raipur city.

2. The generalization of finding is subject to the accuracy of data provided by the
respondents.

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LITERATURE REVIEW
company’s vision of electric-bike.

COMPANY’S VISION

Vision:
A world class engineering major, catering to manufacturing and metallurgical sector along
with leadership in electric vehicles.

Core Values:
• Business ethics
• Customer Focus
• Professional pride
• Mutual Respect
• Speed and innovation
• Excellence in manufacturing
• Total quality

Corporate Mission:
Develop and provide reliable metallurgical equipment, products and services at competitive
prices,
integrating best manufacturing practices and providing innovative and eco friendly
technologies and
products for the benefit of the society.

Corporate Objectives:

C Business Portfolio Growth:
o To further consolidate Electrotherm position as a leading supplier of metallurgical
equipment in national and international market.
o To grow its engineering capabilities by providing turnkey solutions to the customers and
implement projects from concept to full commercialization.
o To diversify across the electric vehicle business to become a leading player in battery
operated vehicles in the country.
o To establish a strong product and services brand in the domestic and international market.

o Customer Focus:
o To develop a special relationship with customers to ensure not only customer delight but
customer success.
o To expand the relationship with existing customers by offering additional services in
engineering, energy conservation strategies, environment protection technologies and best
operating practices.
o To expand the customer base by providing them with newer products.
o To use customer feedback for design improvement and new product development.

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P Dynamic Corporation:
o To develop an agile and effective organization which adopts and adapts to the
changes in business environment by continuously assessing the opportunities and
encashing them and evaluating the threats to mitigate them.
o To develop a learning organization having technology based competitive edge in
current businesses and future initiatives.
21st Annual Report for the year ending March 31,2007

2 Performance:
o To continuously improve the performance with emphasis on cycle time reduction and
cost control in order to sustain long term competitiveness.
o To improve on project execution time and cost to ensure long term viability.
o To operate and maintain the manufacturing facilities at par with the best-run
engineering and metallurgical companies in the world with respect to productivity,
equipment availability, operational reliability and product quality.
o To achieve quality by embedding the best practices in all systems and processes.

. Human Resource Development:
o To enhance commitment of employees by rewarding and recognizing superior
performance.
o To imbibe a culture of team building, innovation, empowerment and openness in
order to align all individuals towards the company’s goals.
o To build and sustain a learning organization of competent world class engineers and
professionals.

p Financial Soundness:
o To continuously strive to reduce cost of capital through prudent deployment of
funds.
o To develop sound commercial policies which ensure reasonable returns and
remuneration

r Environment Protection:
o To contribute to reduction in global warming and pollution by encouraging and
developing environmental friendly technologies and products.
o To become a lead player in developing electric and hybrid electric vehicles which not
only lead to cleaner cities but also will reduce consumption of liquid fuel which is
largely imported by the country.

. Research & Development:
o To continue efforts in developing cost effective, reliable and efficient technologies for
Indian and overseas customers.
o To pass on the benefit of Research & Development to the customers.
o To carry out research in development of alternate fuels and technologies

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Profile of electrotherm which is major manufacturers of electric
bike.
BOARD OF DIRECTORS

Mr. Mukesh Bhandari : Chairman

Mr. Shailesh Bhandari : Managing Director

Mr. Harish Sharma : Whole Time Director

Mr. Narendra Dalal : Whole Time Director

Mr. Avinash Bhandari : Whole Time Director

Mr. Naveen Nakra : Director

Mr. Nilesh Desai : Director

Mr. Madhusudan Somani : Director

Mr. Ram Singh : Director

Brig. Pradeep Krishna Prasad : Director

1.3 What is electric-bike?

Y0-BYKE runs on Battery and is the most economical two-wheeler in the world.
Cheapest to buy, cheapest to run and cheapest to maintain! I have extensively tested model
Y0-SMART and I am very happy with it and highly satisfied. I have driven it double seat
(120 kg), and it climbed a 20 degree slope double seat. On the steep slope, the speed
dropped to FIVE km per hour, but Y0-SMART climbed the full slope on its own. For a Y0-
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bike that costs less than the cheapest petrol scooter, having Self-start, almost zero
maintenance cost and almost zero running cost, and totally zero fear, this performance is
FANTASTIC. This top model Y0-SMART costing 29,000/- is the best and most socially
acceptable model. It has some lockable space under the seat to keep your stuff. It is very
comfortable. People won’t even know that it is an E-bike or Y0-BYKE. There is no self-
start button. Just insert the key and turn it, and twist the accelerator. The bike will move
absolutely silently. You won't even know.

I have also extensively tested Y0-TUFF, the cheapest model costing 17,500/-. It has a
beautiful, comfortable seat, excellent brakes, excellent headlight beam, shock absorbers in
front and ideal for school kids and such people whose day-to-day life is governed by
bicycles. There is a large carrier at the back, but no clasp. Company is going to provide
clasp soon. Since this model has pedals like bicycle, in case the charge in the battery is over
you can easily pedal it like an ordinary bicycle. The pedaling effort is almost same as that in
an ordinary bicycle and is very easy. I have actually manually pedaled it non-stop (single
seat) over a distance of SIX km, and the effort required was exactly same as required in an
ordinary bicycle.

I have also actually pedaled LUNA moped and TVS50 moped, and found that
pedaling effort required in Y0-TUFF is TWENTY TIMES LESS than the effort required in
LUNA and TVS50 moped. This is because of three main reasons: <1>The arm-length of the
pedals is same as ordinary bicycle, thus giving same mechanical advantage & velocity ratio
as ordinary bicycle. <2>The seating geometry on Y0-TUFF is very ergonomic for pedaling.
<3>The weight of YO-TUFF is much less than LUNA or TVS50.

Y0-Smart scooter Y0-TUFF model
Ac
harger is given free with each bike. I put it on charging every night and by morning it is
fully charged and I ride whole day without any problem. Electricity required for charging is
ONE UNIT, which costs Rs.3.75, for full SIX to EIGHT hour charge, which is almost like
free of cost.

In one full charge I have actually covered over 80 km on Y0-Smart. If you want to
calculate cost of charging, then it comes to less than FIVE paise per km (Rs.3.75 divided by
80 km), which is much cheaper than any petrol driven motorcycle. Even if your petrol
motorcycle is giving 80 km per liter of petrol which costs Rs.55/- per liter, your running
cost comes to almost 70 paise per km. Thus Y0-BYKE running cost is FOURTEEN TIMES
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CHEAPER than the cheapest petrol motorcycle. Y0-BYKE is much cheaper than even bus
fare.

front dicky of Y0-Smart scooterY0-Smart dials

Petrol driven motorcycles and scooters need regular change of engine oil every
2000 km, which costs @ Rs.200/- per litre. In Y0-BYKEs, there is no such cost, which is
further money saved. The petrol bikes also need regular maintenance like servicing, chain-
sprocket lubrication, spark plug cleaning and replacement, carburetor cleaning and many
other things which cost money. Y0-BYKEs need no such maintenance because there is
nothing to be serviced, there is no chain-sprocket, no spark plug, no carburetor, nothing!
Apart from wheels and pedals, the only moving part in Y0-BYKEs is the electric motor,
which is completely encased in metal and is located inside the rear hub.
There are SIX models of Y0-BYKE, ranging in price from Rs.17,500/- to Rs.29,000/-. The
cheapest model is named Y0-TUFF and price is Rs.17,500/-. It has the same frame like a
standard gents bicycle as well as large wheels and pedals like in bicycle. Y0-TUFF Tires
are 26 inch diameter and 1.75 inch thick, same like standard full size gents bicycle. Y0-tuff
is not suitable for females wearing long flowing dress or Saree. Two other large wheeled
Y0-BYKE models which have pedals and use the same Y0-Tuff battery, and suitable for
females wearing long dress, are Y0-TREND costing 19,500/-, and Y0-TEEN costing
20,400/-. Both Y0-TREND and Y0-TEEN have slightly smaller diameter wheels and have
lower seat height suitable for females. All these three models use a composite single battery
which is 41 cm tall, 17 cm wide and 11 cm thick. It is locked on the bike (there is a key to
open this lock), and can be unlocked and carried into the house for charging. Its weight is
13 kg. It is convenient to carry and has a convenient handle for carrying it. The battery can
be unlocked & removed from the bike by lifting the rider seat.
These three large wheeled models can carry 75 kg weight. Top speed is 25 km per hour, and
can run 50 km before charging is required.

Battery voltage is 36 Volts, and battery life is 20,000/- km. There is a fourth large wheeled
model with pedals named Y0-TRUST (also suitable for females) which uses TWO batteries
which can travel 75 km on a single charge and costs Rs.21,500/-.
There are TWO more models with small wheels like Scooty, named Y0-SPIN and Y0-
SMART. Both these models work at 48 Volts. Y0-SPIN costs Rs.26,000/-, range per charge
is 55 km and battery life is 20,000 kms.Y0-SMART costs 29,000/-, range per charge is75
kms and battery life is 25000 kms.

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Y0-BYKE number plate Y0-Smart handle

Charging the battery is very simple. The charger has two wires coming out of it. At the end
of one wire is two-pin plug which fits into any electric wall socket in your house. At the end
of the other wire is a suitable plug which fits into the socket of the Y0-BYKE. On the
charger is a small indicator light. While the battery is being charged this light is red. When
the charge is complete, this light turns green. When light goes green, just disconnect the
charger wires from both ends and keep the charger at home and start riding the Y0-BYKE.

The day I began my testing of the Y0-Smart model of Y0-BYKE was great. I got stopped
by a Cop for driving in the cycle lane on the one way part of Law College Road on which,
from Canal-Roads-Chowk up to Nal-Stop, on the right side there is a lane

reserved exclusively for cyclists, and marked by a few inches high divider. Many
motorcycles were going in that lane, which is illegal. I also went on Y0-Smart. At Nal-Stop
traffic light, Policeman was catching motorcyclists for going in bicycle lane. He was
confiscating their Licenses. I also was stopped. He asked for my License. I said I don’t have
License. Then he asked for P.U.C. I said I don’t have PUC. Then he asked for Regn.
Certificate. I said I don’t have. He then took out his official receipt book for collecting
FINE, and asked me vehicle number. I said I don’t have number. He said “Eh? How can
that be?” And walked behind the Y0-Smart and read the number, “Shree 420” (see photo).
“What nonsense” he shouted, “Come to inspector”. So he took me to inspector and
explained, “This man has no License, no PUC, no Registration Certificate, and on number
plate he has written Shree 420 see, policeman pointed at my Y0-Smart. Inspector looked at
my Y0-Smart and told policeman, “Let him go”.

Battery lock of model Y0-TUFF Y0-TUFF is the motor

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Policeman was shocked and asked inspector, “Why should we let him go?” Inspector
replied, “Because he is Shree 420! This is Y0-BYKE. It does not need anything.
It does not need even petrol. Then inspector turned to me and said, Sir, “can you please
explain about the bike to my man and educate him while I collect FINE from the
motorcyclists for doing exactly what you did. I was very happy. This is the biggest
advantage. But even bigger advantage than this is that I never have to go to petrol pump. I
don’t use petrol. Not even diesel or kerosene.

Basic features of electric bike.

Advantage of
ELECTRIC
bike
Ten good reasons from A to B magazine...

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1. Hill Climbing
That may sound obvious, but it's the primary advantage. A good electric bike effectively
flattens hills, increasing your average speed and eliminating the 'groan' factor when a
gradient comes into view. Provided you supply a reasonable amount of effort, you can
expect to climb hills of 1 in 10 (10%) on an electric bike with ease, and clear a maximum
gradient of 1 in 7 (14%), or much more. In hilly country, the effect is nothing short of
miraculous.

2. Safety
It sounds unlikely, doesn't it? But the mathematics is compelling. Think of a steep and busy
road, with cars climbing at 30mph. If you previously slogged up the hill at 6mph, but can
tackle the same gradient at 12mph with an electric bike, you will see 33% fewer cars, and
they will pass you at 18mph rather than 24mph. Or at least, we think that's correct.
Whatever the figures, there's no doubt that an electric bike helps to keep you out of danger.
The same general principle applies to road junctions - the faster your acceleration, the
sooner you can get out of trouble. And with no need to rush the hills, you won't be tempted
to ride downhill at breakneck speed... another useful safety feature.

3. Running Costs
Purchase cost is a little more than a conventional bike, mechanical wear and tear is about
the same, and electricity is so cheap as to be largely irrelevant, but there is an extra expense
in terms of battery depreciation. Consequently, an electric bike costs more to run - typically
5 - 8 pence per mile against 4.2 pence per mile for a non-assisted bike (a).
However, electric bike running costs should really be compared with those of a moped, or a
car, when the electric bike replaces car mileage. With cars costing 50 - 80 pence per mile,
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an electric bike can save a great deal of money.

4. Personal Fitness
Surely a conventional bike will keep you fitter? That, of course, depends how much - if at
all - you use it. Research (b) has found that 46% of conventional bikes are used only once
or twice a week, with a further 30% being used once a fortnight or even less. By contrast, a
recent survey of electric bicycle owners reveals that a third ride their bike at least once a
day and 81% use the bike at least once a week (c). The figures confirm our experience that
an electric bike typically gets used at least twice as often as a conventional machine.
Because riding an electric bike is a great deal more enjoyable in hilly country, into strong
winds, or when carrying heavy loads, users tend to make better use of them. The motor
provides up to half the effort, but more regular use means more exercise for the rider.

5. No Sweat!
Sweat may not be a serious issue when you're out for a leisure ride, but it's more important
if you're cycling to work. Although some employers are rather grudgingly providing
showers and other facilities for cyclists, the great majority have no intention of doing so. An
electric bike eliminates the problem at source. Oddly enough, you won't sweat on an
electric bike, even if you put in the same amount of effort as you do on an ordinary bike.
This is because you will be going faster, and the 'wind chill' effect is greater, keeping you
cool. In hot weather, it's possible to maintain a normal schedule by transferring a bit more
load to the electric motor. In colder weather - or if you feel in need of exercise - just throttle
back, or turn the motor off.

6. Clean & Green
Electric bikes obviously consume energy, where a conventional bikes does not (provided
we ignore the environmental cost of growing and processing food - see below). However,
the amount of energy used is very small compared to a moped, motorcycle or car. Besides
fuel, the only consumables are the batteries, and these can normally be recycled when life-
expired. As for energy use, electric bikes typically consume fuel at an average rate of 100 to
150 watts of electrical energy, against 15,000 or so for a car (admittedly travelling faster,
out of town at least). In terms of fuel consumption, an electric bike achieves about
800-2,000mpg (280 - 700 km/litre) (d). No other commercially available vehicle can match
figures of this kind.
If it's hard to place these numbers in your own lifestyle, think of a 100 watt electric light
bulb burning for an evening - that's enough energy to propel an electrically-assisted bike for
20 to 40 miles...

7. Genuinely Sustainable
There's a lot of nonsense talked about sustainability in transport, but an electric bicycle can
be made genuinely sustainable. Purchase electricity from a 'green' supplier, or generate your
own with a roof-mounted windmill or solar panel array, and the vehicles' fossil fuel
consumption will be zero. Surely a conventional bike does that already?
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Only if you grow the food you consume whilst riding it. Unfortunately, most modern food
production and distribution is so fuel-intensive that the consumption of a typical cyclist is
not terribly good. To see this in practise, take a look at our Climate Change pages.

8. Faster Travel
In theory a car can average a high speed, but in practise speed often falls below 10mph in
cities. The problem is congestion - motorcycles get around this to some extent, but they're
still confined to the road network. An electric bike can maintain a higher average speed than
a bicycle but take advantage of the same network of cycle facilities, giving access to routes
that cars and motorcycles cannot reach. The result is often a faster door-to-door journey
time than any other mode. And by taking advantage of the uncongested cycle network, but
eliminating hills and headwinds, electric bikes are often the most consistent mode of travel.

9. High Resale Value
Electric bikes are new technology, and these are early days, but the evidence points to a
much better resale value than a conventional bike. True, a typical electric bike costs more

to buy, at £400-£1,000, but it seems you'll get most of that back if you sell the machine on.

10. Motorized, but no Red Tape!
You know how it is... MOT due, log book missing, insurance costs rising year on year.
Electric bikes are treated just like ordinary bicycles for legislative purposes, so there's
absolutely no registration or legislation to worry about. You are of course free to insure the
machine if you wish, but there's no compulsion to do anything but enjoy yourself!

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ELECTROTHERM(INDIA)LIMITED FINANCIAL HIGHLIGHTS

DETAILS 2006-07 2005-06 2004-05

SALES (Rs. LACS.) 73088.65 34472.1 18376.84

COMPOUNDED ANNUAL GROWTH 89% 89% 89%
RATE (SALES)

GROWTH IN SALES (ANNUAL) 112% 88% 221%

EARNING BEFORE INTEREST & TAX 9635.35 3839.46 1629.42
(EBIT) (Rs. IN Lacs)

GROWTH IN EBIT (ANNUAL) 151% 136% 852%

PROFIT AFTER TAX - (Before 5448.35 2627.78 1350.14
Deferred Tax) (Rs. IN LACS)

GROWTH IN PROFIT AFTER TAX 107% 95% 1692%
(ANNUAL)

CAPITAL EMPLOYED (Rs. IN LACS.) 61824.08 28543.52 12428.97

NET WOTH (Rs. IN LACS.) (Incl.: 24437.19 7300.25 3527.45
Deferred Tax)

OPERATING PROFIT/ NET SALES 7.45% 7.62% 7.35%

GROSS RETURN ON CAPITAL 15.59% 13.45% 13.11%
EMPLOYED (ROCE)

DEBIT/ EQUITY RATIO 1.35 2.16 2.06

CURRENT RATIO 1.77 1.29 1.76

EARNING PER SHARE (Rs.) 82.86 35.54 28.33

DIVIDEND RATE 20% 20% 15%

BOOK VALUE PER SHARE (Rs.) 254.38 127.98 66.54

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Comparison of Fiscal 2007 with Fiscal 2006 and Fiscal 2005
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Income Comparison
SN Particulars 2006-07 Rs. Lacs 2005-06 Rs. Lacs 2004-05 Rs.
Lacs
A INCOME
1 Furnace & Engineering 16,561.15 17,585.38 183,76.84

2 Special Steel Division 49,633.61 16,998.00 -

3 Electric Vehicles 6,893.90 188.72 -
Sub Total 73,088.66 344,72.10 183,76.84
4 Other Income 318.66 1,83.60 2,21.62
5 Increase in Stock 2,553.76 9,73.59 11,14.79
Total Income 75,961.07 356,29.29 197,13.25

The income for Mar 05 increased from Rs.183.77 crores to Rs. 344.72 crores in Mar 06, a
jump of 88%. In the year Mar 07, the income further increased to Rs. 730.89 crores, a jump
of 112%. The jump was on account of increased sales of special steel division and
launching of Electric vehicles.

Export sales
The break of domestic and export sales for the last three years are given below:

2006-07 2005-06 2004-05
Particulars
Rs. Lacs Rs. Lacs Rs. Lacs

Domestic Sales 66,175.34 30,361.07 14,990.08

Exports
5,151.38 4,111.03 3,386.76
Export Sales
1,761.93 0.00 0.00
Deemed Export Sales
6,913.31 4,111.03 3,386.76
Total Exports
73,088.65 34,472.10 18,376.84
Total

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The exports are steadily increasing. The exports could have been much
higher, but several orders which are under execution will actually be completed in the
current financial year (2007-08) and the export figures will be reflected in the current year.

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Stock Performance

Performance of share price of ELECTROTHERM in comparison to BSE Sensex for the year
2006 – 2007 is as under:

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Manufactures of electric bike and their Products?

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Electric Scooter Products

Model: Hero Extra
Manufacturer: Hero
Electric, Ultra Motors

Model: Hero Maxi
Manufacturer: Hero
Electric, Ultra Motors

Model: YO Spin
Manufacturer:
Electrotherm
Price: 20,749

Model: Petra Envo
Manufacturer: Petra

Model: EKO
COSMIC - I
Manufacturer: Eko
Vehicles

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3.1 ANALYSIS AND INTERPRETATION OF DATA

Analysis is an attempt to organize and summaries data in order to increase result,
usefulness in such a manner that enables to relate critical points with the objectives of
study. The data after collection has to be processed an analyzed in accordance with the
out line laid down for the purpose at the time of developing the research plan. Technically
speaking, analyzing implies editing, coding, classification and tabulation of collected data
so that they are amenable to analysis. The terms analysis refers to the computation of
certain measures along with searching for pattern of relationship that exists among data
groups.

Interpretation refers to task of drawing inferences from the collected facts after an
analytical and/or experimental study. In fact, it is a search for broader meaning of
research finding the task of interpretation has to measure aspects that is (i) the effort to
establish continuity in research though linking the results of a given steady with those of
another and (ii) the establishment of some explanatory concepts.

Interpretation is concerned with relationships within the collected data, partially
over lapping analysis. Interpretation also extends beyond the data of the study to include
the result of other research, theory, and hypotheses. Thus, interpretation is the device
though which factors that seem to explain what has been observed by researcher in the
course of study can be better understood and it also provides a theoretical conception,
which can serve as a guide for further researches.

Interpretation is essential for the simple reason that the usefulness and utility of
research finding lie in proper interpretation. Interpretation leads to the establishment of
explanatory concepts that can serve as a guide for further research studies; it opens new
avenues of intellectual adventure and stimulates the quest for more knowledge.

24


Age Profile

Age-group Respondents Percentage (%)
Less than 25 years 24 80%
25 – 30 years 6 20%
30 – 35 years 0 0
35 – 40 years 0 0
40 years and above 0 0
Total 30 100%

Age Profile

24 Less than 25 years
25

20
25 – 30 years
15

10 30 – 35 years
6
5
0 0 0 35 – 40 years
0
1
40 years and
respondent
above

Interpretation – From the above table it is found that majority of respondents (80%)
are under the age group of less than 25 years.

25


Gender

Gender Respondents Percentage (%)
Male 8 26.67%
Female 22 73.33%
Total 30 100%

gender

27%

Male
Female

73%

26


Interpretation – From the above table it is found that majority of respondents (73.33%) are
female.

Occupation

Occupation Respondents Percentage (%)
Govt. employee 3 10%
Private employed 8 26.66%
Self-employed 2 6.66%
Other 17 56.66%
Total 30 100%

27


occupation

20 17
15
Govt. employee
10 8
Private employed
5 3 2
Self-employed
0
1 Other

respondent

Interpretation – It is found from the above table that majority of the respondents (56.66%)
are others (such as student).

Income Profile

Income (monthly) Respondents Percentage (%)
Below Rs.10,000 10 43.33%
Rs.10,001 – Rs.20,000 14 40%
Rs.20,001 – Rs.30,000 5 13.33%
Rs.31,000 – above 1 3.33%
Total 30 100%

28


Income profile

15 14
Below Rs.10,000
10
10
Rs.10,001 –
5 Rs.20,000
5
1 Rs.20,001 –
0 Rs.30,000
1 Rs.31,000 – above
respondent

Interpretation – It is found that majority of the respondents (43.33%) falls under the
income group of below-Rs.10,000 .

Size of Family

Size of Family Respondents Percentage (%)

29


Below-4 10 33.33%
5-8 20 66.67%
9-12 0 0%
12-above 0 0%
total 30 100%

Size of family
20
20
15 10 Below-4
10
5-8.
5 0 0 9-12.
0
1 12-above
respondent

belongs to 5-8 family size.

30


How many member eligible to ride two wheeler of Family

Member Respondents Percentage (%)
Below-2 10 33.33%
3-5 19 63.33%
5-7 1 3.33%
7-above 0 0
Total 30 100%

family member who is eligeble to ride
bike

19
20
10 Below-2
10
1 3-5.
0
0 5-7.
1
7-above
respondent

belongs to 3-5 family member are eligible to ride two wheeler bike.

31


Important feature would you look for while purchasing a two wheeler

Features Respondents Percentage (%)
Appearance and weight 2 6.66%
Speed and handling 0 0%
Cost and Mileage 25 83.33%
Others 3 10%
total 30 100%

25
25
Appearance and
20 weight
15 Speed and handling
10
5 2 3 Cost and Mileage
0
0
1 Others
respondent

are consider cost and mileage.

32


Price Range of two-wheeler Bike

Price range Respondents Percentage (%)
20000-30000 5 16.66%
30001-40000 14 46.66%
40001-50000 10 33.33%
50001-above 1 3.33
total 30 100%

Price range would you prefer while purchasing a to wheeler

14
14

12 10

10
20000-30000
8
5 30001-40000
6
40001-50000
4 50001-above
1
2

0
1
Respondent

prefer 30001-40000 price range while purchasing a two wheeler

33


Aware about Electric bike

Aware Respondents Percentage (%)
Yes 29 96.66%
No 1 3.33%
Total 30 100%

Percentage of awarness of electric bike

No
3%

Yes
No

Yes
97%

Interpretation - It is found from the above table that majority of respondents (97%) in
Raipur city are aware of Electric Bikes

34


Sources of Information about electric-bike

Sources Respondents Percentage (%)
Newspapers 5 16.66%
TV commercials 12 40%
Relatives /Friends 12 40%
Any Others 1 3.33%
Total 30 100%

Sources of information about E-bike
Newspapers
12 12
12
10 TV commercials
8
5
6
4 Relatives /Friends
1
2
0
1 Any Others
Respondent

35


Interpretation - From the above table it is found that majority of respondents (40%)
consider TV commercials and Relatives/Friends is a main source of information.

Advertising influence your buying Decision

Buyer decision Respondents Percentage (%)
Strongly agree 3 10%
agree 17 56.66%
undecided 9 30%
disagree 1 3.33%
Strongly disagree 0 0%
Total 30 100%

36


Chart of buyer who is influences with ad Strongly
agree
17
18 agree
16
14
12
9
10 undecided
8
6
3
4
1 disagree
2 0
0
1
Strongly
Respondent disagree

Interpretation - It is found from the above table that majority of respondents (56.66%) are
agree to influenced by the while seeing advertising .

Seen the ad of e-bike

Seen Respondents Percentage (%)
Yes 24 80.00%
No 06 20.00%
Total 30 100%

37


Percentage of Person who is seen the ad of E-bike

20% Yes

No

80%

Interpretation - From the above table it is found that majority of respondents (80%) in
Raipur city are aware that electric bike by seen the ad of e_bike

Basic features of Electric-bike, you are aware of

features Respondents Percentage (%)
Low weight 5 16.66%
38


Low running cost 19 63.33%
Registration not required 1 3.33%
Others 5 16.66%
Total 30 100%

Awarness of basic feature of E-bike

19
20 Low weight
15
Low running cost
10
5 5
5 1 Registration not
required
0
1
Others
Respondent

Interpretation - It is found from the above table that majority of respondents (63.33%) are
aware the low running cost of electric bike.

How would you rate of the electric bike in comparison to conventional bike

39


Rate Respondents Percentage (%)
0 0 0%
10 2 6.66%
20 2 6.66%
30 1 3.33%
40 6 20%
50 4 13.33%
60 6 20%
70 7 23.33%
80 2 6.66%
90 0 0%
100 0 0%
Total 30 100%

Rate of E-bike comparison to conventional bike
120

100 0, 100
0, 90
80 2, 80
7, 70
60 6, 60
4, 50
40 6, 40
1, 30
20 2, 20
2, 10
0 0, 0
-1 0 1 2 3 4 5 6 7 8
Respondent

Interpretation - From the above table it is found that majority of respondents (23.33%) rate
70 of electric bike in comparison to conventional bike.

-.

40


Factors are responsible for lower market share of E-bike compared to conventional
bike

Appearance
Appearance Respondents Percentage (%)
+5 0 0%
+4 0 0%
+3 7 23.33%
+2 10 33.33%
+1 8 26.67%
-1 3 10%
-2 2 6.67%
-3 0 0%
-4 0 0%
-5 0 0%
Total 30 100%

6
0; 5
4 0; 4
7; 3
2 10; 2
8; 1
Appearance

0
-2 0 2 3; -1
4 6 8 10 12
-2 2; -2
0; -3
-4 0; -4
0; -5
-6
respondent

41


Speed

Speed Respondents Percentage (%)
+5 1 3.33%
+4 0 0%
+3 3 10%
+2 9 30%
+1 11 36.67%
-1 0 0%
-2 3 10%
-3 2 6.67%
-4 0 0%
-5 1 3.33%
Total 30 100%

42


Speed
5 6
4 1; 5
4 0; 4
3; 3
2 9; 2
11; 1
Speed

0
-2 0 0; -1 2 4 6 8 10 12
-2 3; -2
2; -3
-4 0; -4
1; -5
-6
Respondent

Battery Backup
Battery backup Respondents Percentage (%)
+5 0 0%
+4 1 3.33%
+3 4 13.33%
+2 6 20%
+1 9 30%
-1 4 13.33%
-2 2 6.67%
-3 2 6.67%
-4 0 0%
-5 2 6.67%
Total 30 100%
43


6
0, 5
4 1, 4
4, 3
2 6, 2
Battery Backup

9, 1
0
0 2 4 4, -1 6 8 10
-2 2, -2
2, -3
-4 0, -4
2, -5
-6
Respondent

FACTORS Respo ndents PERCENTAGE%
POSITIVE NEGATIVE +VE -VE
Appearance 25 5 83.33% 16.67%
Speed 24 6 80% 20%
Battery Backup 20 10 66.67% 34.33%
Total 69 21 76.67% 23.33%

44


FACTORS RESPONSIBLE FOR LOWER MARKET SHARE OF E-
BIKE

30 5 6
10
25
NEGATIVE
20
15 25 24
20
10 POSITIVE
5
0
Appearance Speed Battery
Backup

Interpretation - According to respondent (34.33%) Battery Backup is one of the factor for
lower market share of E_Bike becouse which is got 10 higest Negative response rather
than others factors.

HYPOTHESIS TESTING

DEFINITION OF HYPOTHESIS

Hypothesis may be define as a proportion or a set of proportion set forth as an
explanation for the occurrence of some specified group of phenomena either
asserted merely as a provisional conjecture to guide some investigation or
accepted as highly probable in the light of establish facts.

Hypothesis also define as a principle instrument in research and is predictable
statement, capable of being tested by scientific method, that relate an independent
variable to some variable
45


Some characteristics of hypothesis

1. Hypothesis should be clear and precise.

2. It should be capable of being tested .

3. It should state relationship between variables.

4. It should be stated as far as possible in the most simple terms so that. the
same as easily understandably by all the concerned.

5. It should be limited in scope and must be specific.

TEST OF HYPOTHESIS

Basic concept in the context hypothesis :

1. Null hypothesis
2. Alternative hypothesis

Null hypothesis (Ho):- consumer’s are not affected by advertising promotional
strategy.

Alternative hypothesis (Ha):- consumer are affected by advertising promotional
strategy.

Level of significance = 5%

TEST ADOPTED:

t-test was adopted.

t-test: t-test is based on t-distribution and is considered an appropriate test for

judging the significance of a sample mean or for judging the significance of

difference between the means of two samples in case of small sample(s) when

population variance is not known (in which case we use variance of the sample as

an estimate of the population variance
46


Test of hypothesis:-

i) Ho : µ = 30 Ha : µ ≠ 30

Factor not influence the consumer Factor influence the consumer

Consumer perception toward Consumer perception toward

Electric Bike Electric Bike

As the sample size is 30(since n=9) and the population standard deviation is not

known we shall use T-test assuming normal population and shall work out the

statistic T under

Xi -µ
t=
S.D./ √n

ii) To Find X and S.D. we make the following:

s.no. Xi ( Xi – X ) (Xi – X )2
1 25 6.12 37.45
2 14 -4.88 23.81
3 29 10.12 102.41
4 12 -6.88 47.33
5 17 -1.88 3.53
6 24 5.12 26.21
7 19 0.12 0.01
8 7 -11.88 141.13
9 23 4.12 16.97
170 398.85

X = ∑ (Xi )/n

X = 170/9=18.88(Approx)

Standard Deviation = √∑( Xi - X)2/n-1

Degree of freedom = (n-1 ) = 9-1
47


= 8
= √398.85/9-1

= √398.85/8

= √49.85

= 7.28

Xi -µ
t =
S.D./ √n

µ = 30

18.88-30
T =
7.28./ √9

= 11.12/2.42

= 4.59.

The critical region for an alpha of .05

48


The value of t at 5% level of significance with 8 degree of freedom of two –tailed
test is 2.30
As , the critical value of t is more than the calculated value . Therefore , Null
hypothesis is rejected and alternative hypothesis is accepted .
Null Hypothesis-

Ho = factor not influence the consumer perception toward Electric Bike.

Alternative Hypothesis-

Ha ≠ Factor influence the consumer perception toward Electric Bike.

49


LIMITATIONS:

Any research or study always has some limitations under which this has to
be undertaken. This one too was not an exception. These limitations are poised by the
environment … some external and some inherent. This study has been conducted with
utmost consideration to the adequacy of data and quality of information, though as mention
earlier the reliance on the sources can not be minimized to zero in context of precision.
The limitation can be enlisted as hereunder:-

1. The perception level of the respondents.
2. Availability of documents as sources of secondary information.
3. Reliability of information collected from various public information sources such as
magazines and website.
4. Respondents are not willing to fill the questionnaire.
5. Sometimes the respondents are not available at their place.
6. Very often the respondent do not express their true feelings, in such case their habit,
preference, practice, cannot be assessed correctly.
7. Some of the respondents refuse to give the important information best known to
them.
However in spite of these limitations all efforts have been put to make the report correct,
genuine, and fulfilling the objectives of the reports.

50


FINDINGS:

• Majority of respondents i.e., 96.66% are aware of Electric Bike in Raipur city.

• Most of respondents i.e., 56.66% are agree to advertisements influence their buying
decision

• Most of the respondents i.e., 83.33% are consider the cost and mileage while
purchasing a new bike ,so there are ample potential to electric bike in two wheeler
sectors.

• Battery Backup is one of the factor which is affected the sales of electric bike

51


SUGGESTION AND RECOMMENDATION.

On the basis of this study, the following suggestions have been made to make the
help in sales of electric bike more effective: -

 There is need to bring more awareness of various others feature of electric bike
brings to a consumer mind by providing them vouchers and literatures in different
regional languages.

 There should be free, fair, justified and honest competition amongst the various
electric bike companies.

 Manufacturer/dealer should be given timely information of the governments
changed policies regarding two wheeler sector.

52


CONCLUSION

• This research identified and evaluated the consumer perception toward various
factor about electric bike. The results of this research show that there is a
combination of positive and negative effect of that factor on consumer
perception. Here most of the respondents are consider the cost and the mileage
while purchasing a new bike , so there are ample potential to electric bike in two
wheeler sectors. But their battery is one of the factor which is effected the sales
of electric bike because its performance is not good.

53


BIBLIOGRAPHY

Book Reference

1. Kotler philip, “Marketing Management” New Delhi, Prentice hall of India, 2003

2. Kothari C.R, “ Research Methodology” New Delhi, vishwa Prakash, 2003

3. Robbins S. P. “Organizational Behavior New Delhi, Pearson Education, 2004, Tenth
Edition, Page no. – 123 – 124.
54


4. “Business Research Methods” ICFAI books.

Web Reference

1. www.EVfuture.com

2. www.induselectrans.com

Questionnaire
Dear Sir/madam,
I am a MBA Student of Rungta College of engineering and
Technology. As a part of academic curriculum I am conducting a research on
the topic “A study of various factors which influence the consumer perception
towards electric bike with the Special reference of Raipur region.”
I need your kind help and support to complete this research. The success
of this research will depend on your true and clear response. So kindly provide
me your opinion to fill these questionnaires.
I hereby declare that this information is kept confidential and will not be
misused.
Bhupendra Kumar Verma
MBA-II(sem)

1. Name :- ------------------------------------------------------

2. Age :- -------------------------------------------------------------

3. Gender:-
55


a) Male b) Female

4. Occupation:- Put a tick( ) mark against the right option.
a) Govt. Employee b) Private Employee
c) Self employed d) Others

5. Income per month – Put a tick ( ) mark against the right option.
a) Below 10,000 b) 10,001-20,000
C) 20,001-30,000 d) 30,001 and above

6. Size of family-Put a tick ( ) mark against the right option.
a) Below -4 b) 5-8
c) 9-12 d)12 and above

7. Members in family who are eligible to ride two wheelers.
a) below-2 b) 3-5
c) 5-7 d) 7- above

8. What important Features would you look for while purchasing a
two –wheeler?
a)Appearance and weight b)Speed and handling
c)Cost and mileage d)Others

9. Which price range would you prefer while purchasing a two
Wheeler?
a) 20,000-30,000 b) 30,001-40,000
c) 40,001-50,000 d) 50,001 and above

56


10. Are you aware about Electric bikes?
a)Yes b) No

11. How did you come to know about e-bike?
a)news paper b)TV commercials
c) Relative/Friends d) Any others

12.Do advertisements influence your buying decision:-

Strongly
Agree Agree Undecided Disagree Strongly
Disagree

13. Have you seen the ad of E-bike?
a) Yes b) No

14. What are the basic features of e-bike, you are aware of:-
a) Low weight b) Low running cost
c) Registration not required d) Others

15. How would you rate the E-bike in comparison to conventional
Bike?
Best ------------------------------------------------------------worst
90 80 70 60 50 40 30 20 10 0
100
57


16. Which factor do you think responsible for lower market share of
E-bike as compared to conventional bike?
+5 +5 +5
+4 +4 +4
+3 +3 +3
+2 +2 +2
+1 +1 +1
Appearance Speed Battery Backup
-1 -1 -1
-2 -2 -2
-3 -3 -3
-4 -4 -4
-5 -5 -5

17. Please give your valuable suggestion to help increase the sales
of E-bike?

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Thanks for your co-operation!!!

58

Marketing research project on electric bike

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